Bloomberg/Bloomberg via Getty Images
Morgan Stanley (NYSE:MS) announced on Friday that James Gorman’s total compensation as chairman and top boss for 2023 has been fixed at $37M, marking a 6% decrease from 2022.
Gorman relinquished his position as the CEO of Morgan Stanley (MS) at the end of last year and assumed the role of executive chairman effective January 1. Former co-president Ted Pick was appointed as Gorman’s successor.
The board’s compensation, management development, and succession committee, as in previous years, determined a target pay range for the CEO, set at $40M or more for 2023, as per Morgan Stanley.
In a regulatory filing, the lender stated, “The Compensation Committee based its decision of (Gorman’s) 2023 compensation on its assessment of (Gorman’s) outstanding performance, including his exemplary execution of CEO succession and the transition of leadership and the resolution of many outstanding legal and regulatory matters.”
Under Gorman’s leadership in 2023, the bank reported a total shareholder return of 14%, with net revenues of $54.1B and net income of $9.1B.
Morgan Stanley (MS) added, “Over his 14-year tenure as CEO and during 2023, (Gorman) reshaped the Firm into a stronger and more balanced institution positioned for long-term growth. As a result, the Firm’s business model performed as intended in a challenging market and macro environment in 2023.”
Earlier this week, the bank reported Q4 2023 profit that missed estimates due to the impact of some special items. Following the results, JPMorgan and KBW lowered their ratings, citing few near-term catalysts to move the stock higher.
A Closer Look at Morgan Stanley’s Performance
5 Stocks Our Experts Predict Could Double In the Next Year
By submitting your email, you'll also get a free pivot & flow membership. A free daily market overview. You can unsubscribe at any time.