Standard Life has named group finance director David Nish as successor to group chief executive Sir Sandy Crombie from 1 January 2010.
Nish joined Standard Life in November 2006 and is also a director of the insurer. Prior to joining Standard Life, Nisj held senior roles at Scottish Power and was a partner at Price Waterhouse.
His basic salary will be £700,000 per annum, with short-term and long-term bonuses.
Standard Life says the appointment follows an extensive worldwide search by chairman Gerry Grimstone. The FSA has approved this appointment.
Sir Crombie will remain with the business until end April next year to ensure a smooth transition.
"Since he joined us in 2006, David has made an outstanding contribution to Standard Life and I am delighted for him that he has been selected to lead this business," Sir Crombie says.
"I will continue to work with David and the executive team to deliver against our strategy in the next few months, ensuring the business is in the best of shape when he assumes his new role in January."
Nish says under Sir Crombie's leadership, Standard Life has built a strong, resilient and successful business.
"In these challenging markets, it is vital that we maintain the momentum we have built and I am very much looking forward to taking over from Sir Sandy to lead the company to what I hope will be even greater future success," he says.
Grimstone adds: "David has a proven track record in our business, and has played a pivotal role in the delivery of our strategy since he joined the company. His unrivalled understanding of our business, his leadership capabilities and strategic vision make him the ideal candidate to lead Standard Life into the next phase of its development."
Behaviours, animals or something else?
Questionnaires sent to firms
Expecting to recover around £200m
Financial regulators renew anti-pensions scam campaign