Morgan Stanley’s incoming CEO outlines investment banking-led business cycle

Ted Pick, the soon-to-be CEO of Morgan Stanley, expressed confidence in the firm’s potential to lead in equities, fixed income, and investment banking sectors during a recent interview. This comes as he prepares to assume his new role in January, following his selection earlier this week to succeed current CEO James Gorman.

Pick has been serving as co-president of the firm and is known for his successful restructuring of Morgan Stanley’s equities-trading business after the financial crisis. He also played a key role in reviving its underperforming fixed-income unit. His promotion to CEO was announced amid Gorman’s impending retirement in May, which set off a competition among senior executives for the top position.

Despite not securing the CEO role, Andy Saperstein and Dan Simkowitz will maintain their current positions within the company. Saperstein will also take on additional responsibilities by managing the asset-management business alongside wealth management. Simkowitz, on the other hand, will succeed Pick as co-president, overseeing the investment-banking and trading division. Gorman confirmed both executives’ continued commitment to the bank without any lockup periods.

During Gorman’s tenure, Morgan Stanley underwent significant strategic changes, including the acquisitions of E*Trade Financial (NASDAQ:) Corp., Eaton (NYSE:) Vance Corp., and Smith Barney. Pick expressed satisfaction with these acquisitions and hinted at potential future acquisition candidates, indicating a continuation of this strategy under his leadership.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.