M&G, the savings and investment business, has appointed Caroline Connellan as chief executive of M&G Wealth.

Ms Connellan, who was briefly head of Abrdn Personal Wealth, is one of two CEOs who will replace head of retail and savings Clare Bousfield.

David Montgomery, Scotland-based managing director of the wealth division, had been tipped to get the job having been lured back from the US to re-energise the business. He has now decided to leave the company.

Ms Connellan will head up financial advice and adviser services, including the wealth platform, and investment solutions. It currently has c£85 billion of assets under administration. The business works with c500 of its own advisers, and has an active relationship with more than 3,000 advice firms.

Prior to her role at Abrdn, Ms Connellan was CEO and executive director of wealth manager Brooks Macdonald and has held key roles at HSBC and Standard Life. She spent eight years with McKinsey after beginning her career as a private client investment manager with Newton Investment Management.

She will join M&G in September and become a member of its executive committee, reporting to group chief executive Andrea Rossi.