New Morgan Stanley CEO Ted Pick.
NEW YORK: Morgan Stanley granted special bonuses worth US$20mil each to incoming chief executive officer (CEO) Ted Pick and his two deputies, Andy Saperstein and Dan Simkowitz.
The share-based awards, announced in a filing, follow the firm’s announcement last week that Pick will succeed outgoing CEO James Gorman.
In a rare move for Wall Street, the two men who missed out on the top job – Saperstein and Simkowitz – will stay at the bank, with co-president Saperstein gaining oversight of the firm’s asset-management business in addition to his role leading wealth management, and Simkowitz replacing Pick as co-president leading the investment-banking and trading division.
The board’s succession committee “determined that granting the awards to each of our incoming chief executive officer and co-presidents is in the best interests of the company and its shareholders as the company transitions from 14 years of exceptional leadership by Gorman,” according to the filing.
“The committee granted the awards in acknowledgment of the board’s assessment of the criticality to the continued success of Morgan Stanley of ensuring that each executive continues their outstanding leadership in their new roles.”
The US$20mil each for Pick, Saperstein and Simkowitz “is approximately the average of the annual variable compensation of the three executives”, Morgan Stanley said in the filing. — Bloomberg
