James Gorman To Step Down As Morgan Stanley Executive Chairman
During his tenure, Gorman is credited with transforming Morgan Stanley into a leading wealth management firm
At Morgan Stanley's annual shareholder meeting, Executive Chairman James Gorman announced his decision to step down on 31 December. Gorman, who served as CEO for 14 years, highlighted the smooth transition of his successor, Ted Pick, into the top position earlier this year.
During his tenure, Gorman is credited with transforming Morgan Stanley into a leading wealth management firm. He also orchestrated a unique succession plan, retaining two other CEO candidates, Andy Saperstein and Dan Simkowitz, alongside Pick, a rare occurrence in the financial industry.
Shareholders unanimously approved all management proposals, including director elections and executive compensation packages. Despite this, all shareholder proposals were rejected, despite influential proxy adviser Glass Lewis recommending against the bank's executive pay proposal.
Gorman received a USD 37 million award from the company's board, while Pick and the two other CEO candidates were given USD 20 million one-time awards each.
Morgan Stanley reported better than expected first quarter profits, driven by a resurgence in investment banking and growth in wealth management.
In his concluding remarks, Gorman noted that this year's shareholder meeting was the quickest in 15 years, citing it as evidence of the exceptional start made by his successors.
