Why finance chiefs are punching out after just 3 years, 10 months
Let’s be honest, the Chief Financial Officer role has never been a tranquil posting. But it has always been the corporate world’s rock—a position of stability and long-term vision.
Now? Your role is officially a sprint, not a marathon.
New analysis from Vestd’s ‘C-Suite Churn Report‘ on the UK’s FTSE100 reveals that the average CFO tenure is just 3 years and 10 months. That makes the finance seat the most volatile position in the C-suite, clocking in a whopping seven months shorter than the overall executive average. Think of it as a 14% discount on your planned stay.
This isn’t just a UK problem. The pressure is universal. Management consultancy Russell Reynolds Associates confirmed that global CFO turnover hit 15.1% in 2024, just shy of the record. In the markets that matter most to you, the volatility was a six-year high, spiking both in the S&P 500 (US) and the FTSE 250 (UK).
The message is clear: The financial quarterback is caught in a global game of executive musical chairs. Considering the immense cost of replacing you, plus the strategic chaos an empty seat causes, what is driving this high-speed revolving door?
It turns out the short tenure isn’t due to one factor, but a perfect storm of three interlocking pressures:
The biggest factor driving your departure often isn’t your own performance—it’s your boss’s.
Global CEO departures reached a record high in 2024, representing a 9% year-over-year jump. When a new Chief Executive walks through the door, they often arrive with a new strategy and a mandate to build “their” team. You are now expected to be an operational partner, a capital allocation wizard, and a flawless investor relations face. If your strategy or timeline doesn’t align with the incoming CEO’s vision, you become collateral damage. It’s the ultimate executive “domino effect.”
Artificial Intelligence is supposed to be the great efficiency multiplier. It is. But it’s currently adding more to your plate than it’s taking off.
While 72% of finance organizations now use AI, double the adoption rate from the previous year, the tech still presents a dual-edged sword. You’re tasked with:
This dual responsibility turns every tech mandate into an exhausting project, adding immense pressure to an already overloaded role.
The pressure to manage global supply chains, economic volatility, AI integration, and a restless CEO is taking a serious toll on the C-suite psyche.
The data confirms what many of you already feel: a prior Deloitte survey found that 75% of C-suite respondents were seriously considering quitting their current job for one that offered a higher level of personal wellbeing. More than three-quarters of UK CEOs feel overworked. The job is simply unsustainable at its current pace for too many high performers. While AI can eventually help—by automating mundane tasks and reducing the “cognitive load” that leads to mental fatigue—we are currently in the transition period where the stress of implementation outweighs the relief of automation.
How do you make the CFO role worth the relentless pressure and keep that talent in your company? The solution lies in fundamentally changing the incentive structure from short-term rewards to long-term alignment.
Vestd highlights a powerful equity tool: growth shares. Instead of relying on short-term cash bonuses or stock options based on the company’s current value, growth shares reward executives with a stake only in the future capital growth of the business.
Why is this game-changer for the CFO?
Executive churn is not an unavoidable force of nature; it is a strategic flaw. Making use of long-term incentives and actively addressing the relentless pressure of the role are the keys to building a stable finance team built to last.
What is your firm doing today to ensure your successor isn’t needed in less than four years?