James Gorman, the former chief executive officer (CEO) of Morgan Stanley (MS), is now stepping down as chair of the investment bank’s board of directors.
Earlier this year, Gorman left his longtime post as CEO of Morgan Stanley and was replaced by bank insider Ted Pick.
In a statement, Gorman said: “Given this successful transition, it’s appropriate to confirm that I will formally step down as chairman of Morgan Stanley.”
Gorman, who is age 65 and originally from Australia, will leave the board on December 31 of this year.
Previously, Gorman had led Morgan Stanley for 14 years and retained his chairman role when he retired as CEO.
Pick has been with the investment bank for 34 years and had run the institutional securities group before his appointment to the CEO role.
Under Gorman’s leadership, Morgan Stanley branched out from running Wall Street deals such as mergers and acquisitions (M&A) and into a successful wealth management business.
Separately, shareholders approved the investment bank’s proposed 2023 pay packages for top executives, including both Gorman and Pick.
Gorman was paid $37 million U.S. over the past year, while Pick made $45 million U.S., including a $20 million U.S. bonus.
The stock of Morgan Stanley has risen 22% over the past 12 months to trade at $98.92 U.S. per share. Over five years, the stock has increased 130%.
