Morgan Stanley CEO James Gorman spoke with Bloomberg Television’s Erik Schatzker from the World Economic Forum in Davos, Switzerland today. On cutting employees’ compensation, Gorman said that “everyone is comfortable with somebody getting well rewarded for doing a good job, but the problem in our industry and others in the past has been getting rewarded for not doing a good job.” Video and excerpts below: On how far along the process is of the...
Read More »
Morgan Stanley (MS) CEO James Gorman spoke with FOX Business Network’s (FBN) Charlie Gasparino about the issue of breaking up the big banks in the United States and about the state of the economy. When asked whether he thinks Congress will break up the big banks, Gorman said, “No. I do not. I think it will make America less competitive.” Gorman also talked about Facebook’s troubled IPO and whether the overall IPO process should...
Read More »
Morgan Stanley CEO James Gorman sat down with Bloomberg Television’s Erik Schatzker at the bank’s headquarters in New York and said that he’s “very comfortable with the headcount we have right now. These have been tough decisions.” Gorman also said that “fixed income can be a terrific business” and “we’re getting there.” He said that “it would be foolish to exit.” Video and excerpts below: Gorman on how Morgan Stanley aggressively cuts costs without...
Read More »
Morgan Stanley (NYSE: MS) has kicked off the new year with some aggressive structural changes. According to a new directive, the bank has moved to defer all employee bonuses for top earners – those who make more than $350,000 with a bonus of more than $50,000 over a three year period. The new orders do not include the compensations paid to the financial advisers. Just last week, the bank announced that it will lay off 1,600 employees...
Read More »
Dan Loeb is fighting on many fronts these days. First we saw him going long on Herbalife Ltd. (NYSE:HLF) with the acquisition of 8 percent stake and calling Bill Ackman’s short thesis on the company ‘preposterous’. In the same investor letter of Third Point, he disclosed a long position in Morgan Stanley (NYSE:MS). Loeb accumulated an undisclosed amount of stake in the bank over the last quarter of 2012, at the average price of $16.77 per share....
Read More »
Morgan Stanley (NYSE:MS), one of the leading banks in the United States plans to cut the number of its employees within its investment banking and trading division by 6 percent or 1,600 in the next few weeks, according to report from Bloomberg, citing an unidentified source familiar with the issue. According to the source, 50 percent of the workforce reduction will come from the United States and 50 percent will come from the company’s...
Read More »
Morgan Stanley (NYSE:MS) CEO James Gorman has stated that there is little likelihood of the federal government supporting a break up of the country’s biggest banks, reports WSJ. Gorman stated that he actually expects firms in the industry to get larger, as smaller regional banks consolidate in a bid to meet higher costs. The statement is in direct conflict with the sentiment that the country’s largest banks would be worth more to their shareholders...
Read More »
Morgan Stanley (NYSE:MS) announced Monday, that one of the co-heads of its core securities arm and a top deal-maker, Paul J. Taubman, will be retiring by the end of the year, following years of internal tussle between two of its top executives. After the retirement of Mr. Taubman, Colm Kelleher, co-head of the institutional securities division, will become the sole president of the unit and will report to the chairman and chief executive, James...
Read More »
James Gorman, the chief executive officer of Morgan Stanley (NYSE:MS), earned a total of $13 million in compensation last year- that’s about 25% less than what he made the previous year which was $15.19 million. This news came from a proxy statement that was filed with Securities and Exchange Commission on Thursday. His pay included $5.9 million in stocks, $3.5 million in option awards, $2.7 million in bonuses, and $800,000 in salary/miscellaneous earnings. The...
Read More »
