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...I think about our talent management here over decades.” Gorman, an Australian described by colleagues as an introvert, was not a natural candidate for one of Wall Street’s biggest jobs....
...Gorman was chief executive of Morgan Stanley from 2010 until the end of 2023, during which time the bank’s stock price tripled as Wall Street cheered his strategy to expand in wealth and asset management...
...Growth in wealth management was a centrepiece of James Gorman’s tenure as chief executive, with the business growing to more than $5tn in assets, aided by the acquisitions of online trading platform ETrade...
...But European banks may be tempted to think Gorman’s December prophecy is already coming true....
...The quarter was the first under Pick, whose background in investment banking and trading contrasts with predecessor James Gorman’s years in wealth management....
...Gorman, a former management consultant, has won kudos from investors and analysts for the way he organised his departure from the bank....
...management behemoth....
...“As a result of strong net new asset growth, the firm has reached $7tn of client assets across wealth and investment management,” said chief executive Ted Pick, who took over from James Gorman at the start...
...Gorman seems to recognise the problem....
...expected to nominate candidates for the company’s board....
...to nominate candidates for the company’s board....
...The lay-offs, which were reported earlier by the Wall Street Journal, come just weeks into Pick’s tenure as CEO after he took over in January from longtime boss James Gorman....
...from wealth and asset management....
...Costs linked to the integration of recent acquisitions, among other things, also drove up expenses at Morgan Stanley’s powerhouse wealth management unit by 10 per cent....
...The company emphasised that growth in assets managed and the management fees earned on those assets should balance the pressures from tighter spreads between lending and borrowing....
...“The downside is a perceived de-emphasis of wealth management within the company,” said Christian Bolu, banking analyst at Autonomous Research. “That certainly to investors is a risk....
...The management shake-up caps weeks of turmoil for the group after a door panel blew out mid-air during an Alaska Airlines flight in January....
...Pick, who took over from Gorman in January, spooked some investors by warning during a fourth-quarter earnings call on Tuesday that Morgan Stanley’s pre-tax profit margins from wealth management would “consolidate...
...“Managing directors” who are not directors of any company and don’t manage anything. “Vice-presidents” who carry bags and take minutes. “Executive directors” who are mid-level bureaucrats....
...James Gorman, who stepped down as chief executive of Morgan Stanley at the start of 2024, was paid $37mn, up 17.5 per cent year on year. Goldman lifted David Solomon’s pay by 24 per cent to $31mn....
...Gorman, 65, is nearing the end of his tenure as chief executive after nearly 14 years....
...JPMorgan’s Jamie Dimon, whose bank reported record profits for 2023, had his pay rise about 4 per cent to $36mn, while Morgan Stanley’s James Gorman, who stepped down as CEO at the start of 2024, was paid...
...Kevin Lansberry, the company’s chief financial officer, recently said he expects the company to increase dividends and buy back shares in future....
...In November, Disney named two new directors — former Morgan Stanley chair and chief executive James Gorman and Sir Jeremy Darroch, the former group chief executive of British pay-TV and broadband company...
...The margin call followed the collapse of family office Archegos Capital Management in March 2021, which resulted in Morgan Stanley losing $911mn....
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