The South African banking CEO who took a R45 million pay cut, and still out-earns the rest

Investec CEO Fani Titi has seen his single-figure remuneration drop from £5.2 million (R127 million) in 2024 to £3.4 million (R82 million) in 2025.

Titi’s drop in pay comes amidst a volatile operating environment for the group in 2025. The group’s adjusted operating profit grew 7.8%, surpassing £1 billion (R24 billion) for the first time.

Although the group’s basic earnings per share declined by 32.5% to 72.8p (R18) per share, it still increased its final dividend to 20.0p (R5) per share. 

In its remuneration report, the group said it had successfully executed its strategy to simplify its business, which it announced in 2019.

“This has resulted in a 200 basis points structural improvement in group returns and created a strong foundation to power future growth,” it said.

Client acquisitions and ongoing entrenchment strategies supported revenue, strong net inflows in discretionary and annuity funds under management and growth in average interest-earning assets.

Despite this performance, Titi saw his remuneration reduced following shareholders’ adoption of a new Directors’ Remuneration Policy.

Like most other listed company executives, Titi sees many of his earnings linked to performance-related goals.

His single figure remuneration is calculated based on the value of fixed pay paid during the year, as well as short-term and long-term incentives, were performance conditions need to be met.

Titi’s remuneration for 2025 included:

• Short-term incentive (STI) overall achievement against both the financial and non-financial measures was between on-target and stretch
• Long-term incentive (LTI) achievement against the financial measures was slightly below on-target and between on-target and stretch for the non-financial measures.

Titi’s fixed remuneration dropped by 19% to £880,000 (R21 million), while his personal security benefit climbed 6.5% to £49,000 (R1.2 million).

After achieving his financial and non-financial measures, Titi’s STIs increased 8.8% to £1.6 million (R38 million). However, his LTIs saw a 67.6% decrease to £862,000 (R21 million).

Titi’s single figure remuneration dropped by 35.9% to £3.4 million (R82 million). This marks a sharp decrease from the £5.2 million (R127 million) he earned in 2024.

It is also well below the £7.5 million (R182 million at the current conversion rate) he earned in the 2023 financial year.

He was not alone in seeing his earnings drop, as the Group Finance Director, Nishlan Samujh, also saw his remuneration drop 25.6% to £2.270 million (R55 million).

Despite the pay cut, Titi remains one of the highest paid banking CEOs in South Africa, out-earning most of his peers. Notably, his pay reduction was more than some banking executives earn in total.

Still looking good

Despite the executives seeing their overall pay package decrease, the outlook for Investec remains positive if the latest information from Bank of America is to be believed.

Bank of America, the world’s second-largest bank by market cap, recently reiterated its buy rating on the stock.

Investec generated a return on equity of 13.9% in FY25, a decrease from the 14.6% seen a year prior.

However, Merrill Lynch, a division of Bank of America, said that Investec is undervalued compared to its circa 15% ROE potential over the next three years.

Merrill Lynch analyst Harry Botha pointed out that Investec is well capitalised, with excess capital in South Africa and the UK.

Merrill Lynch, a division of Bank of America, said that Investec is undervalued compared to its circa 15% ROE potential over the next three years.

Although margin compression from interest rate normalisation in the UK may occur, Investec is well placed to grow its private client and mid-market Corporate and Investment Banking operations.

Lower interest rates in South Africa and the UK should also support lending growth in both markets of 12% and 7-9%, respectively, from 2026 to 2028, offsetting lower net interest margins from lower rates.

The world’s second-largest bank also expects above-consensus increases in net interest revenue in both regions in 2026-27 as client activity levels increase amid higher economic growth. 

The group can also expect expansion into new products, such as UK Private Banking, which could add roughly £750 million to revenue by 2030.

It can also use its 10% stake in Ninety One, the nation’s largest asset manager, to support acquisitions, growth or improve shareholder returns.