Morgan Stanley's board of directors has announced that Co-President James P. Gorman will become the firm's CEO, effective January 1, 2010, while Chairman and CEO John J. Mack will continue to serve as chairman.
Gorman also will join Morgan Stanley's board at year end. He presently serves as chairman of the Morgan Stanley Smith Barney joint venture, which includes 18,450 financial advisors.
Co-President Walid A. Chammah will become chairman of Morgan Stanley International at year end and will continue to be based in London.
"John [Mack] and the board believe James Gorman is ideally suited to lead Morgan Stanley forward," says Robert Kidder, lead director of the board.
"James has a long track record of developing aggressive strategies backed by strong operating skills and relentless execution. He is a proven leader who has shown the ability to attract and retain top talent throughout his career," Kidders shares.
"During the past two decades, James has worked in virtually every aspect of the financial services industry. As Co-President of the Firm since 2007, he has been central to our success in the most challenging period in history and served as a key architect of Morgan Stanley's strategy. He led dramatic turnarounds of major businesses at both Merrill Lynch and Morgan Stanley, and this year forged the world's largest wealth management business with the Smith Barney joint venture," Kidder notes.
"We are confident that with James Gorman as CEO and John Mack as Chairman, Morgan Stanley will continue building our premier franchises in investment banking as well as sales and trading, grow market share across all key businesses and deliver tremendous value for our clients, colleagues and shareholders," concludes Kidder.