Morgan Stanley's Greg Fleming to depart

Morgan Stanley's Greg Fleming to depart
Morgan Stanley said Greg Fleming, who led the firm's retail brokerage, has decided to leave the bank, with Colm Kelleher named president.
JAN 11, 2016
By  Bloomberg
Greg Fleming, who led Morgan Stanley's retail brokerage, is leaving the bank as Colm Kelleher was named president of the firm. Mr. Kelleher, who runs the investment banking and trading division, now also gains responsibility for the brokerage, Chief Executive Officer James Gorman told staff Wednesday in a memo, which was obtained by Bloomberg. Shelley O'Connor and Andy Saperstein were named co-heads of wealth management, according to a separate memo. Mr. Gorman has cemented his hold on power after five years spent turning the firm around in the wake of the financial crisis. He intends to stay as chairman and CEO for five to seven years, said two people familiar with the matter who asked not to be identified discussing his plans. (Related read: Morgan Stanley's recent move to shuffle Greg Fleming's role) Mr. Fleming's departure establishes Mr. Kelleher as the most likely to succeed Mr. Gorman if the CEO leaves earlier than planned. Mr. Kelleher was promoted before Mr. Fleming decided to leave, and Mr. Fleming could have stayed in his current role with Mr. Kelleher as his superior, the people said. Mr. Gorman now plans to remain CEO for longer than he previously indicated to other executives, one of the people said. 'HORIZONS BEYOND' “The new year always brings change and new challenges and, for me, those challenges will be on the horizon beyond Morgan Stanley,” Mr. Fleming wrote in a memo to wealth-management staff, which includes about 15,800 brokers. He praised the division's accomplishments in recent years, quoting Aristotle on the pursuit of excellence. Mr. Fleming, who previously worked with Mr. Gorman at Merrill Lynch & Co., joined Morgan Stanley in 2009 and took over the brokerage unit a year later as the New York-based firm was integrating its purchase of Smith Barney from Citigroup Inc. Mr. Kelleher has been at Morgan Stanley for more than 25 years. Mr. Fleming is teaching a class on financial markets and corporate law at Yale Law School this semester, and has taught courses there in previous years, according to the school's website. In October, Mr. Gorman promoted two younger executives to new roles, naming Ted Pick global head of sales and trading, and Dan Simkowitz to succeed Mr. Fleming as chief of the asset management division. Colleagues have said both managers are among long-term CEO candidates.

Latest News

Married retirees could be in for an $18,100 Social Security cut by 2032, CRFB says
Married retirees could be in for an $18,100 Social Security cut by 2032, CRFB says

A new analysis finds long-running fiscal woes coupled with impacts from the One Big Beautiful Bill Act stand to erode the major pillar for retirement income planning.

SEC bars New Jersey advisor after $9.9M fraud against Gold Star families
SEC bars New Jersey advisor after $9.9M fraud against Gold Star families

Caz Craffy, whom the Department of Justice hit with a 12-year prison term last year for defrauding grieving military families, has been officially exiled from the securities agency.

Navigating the great wealth transfer: Are advisors ready for both waves?
Navigating the great wealth transfer: Are advisors ready for both waves?

After years or decades spent building deep relationships with clients, experienced advisors' attention and intention must turn toward their spouses, children, and future generations.

UBS Financial loses another investor lawsuit involving Tesla stock
UBS Financial loses another investor lawsuit involving Tesla stock

The customer’s UBS financial advisor allegedly mishandled an options strategy called a collar, according to the client’s attorney.

Trump's one big beautiful bill reshapes charitable giving for donors and advisors
Trump's one big beautiful bill reshapes charitable giving for donors and advisors

An expansion to a 2017 TCJA provision, a permanent increase to the standard deduction, and additional incentives for non-itemizers add new twists to the donate-or-wait decision.

SPONSORED How advisors can build for high-net-worth complexity

Orion's Tom Wilson on delivering coordinated, high-touch service in a world where returns alone no longer set you apart.

SPONSORED RILAs bring stability, growth during volatile markets

Barely a decade old, registered index-linked annuities have quickly surged in popularity, thanks to their unique blend of protection and growth potential—an appealing option for investors looking to chart a steadier course through today's choppy market waters, says Myles Lambert, Brighthouse Financial.