Wednesday, 26 October 2016
Last updated 16 hours ago
Sep 15 2011 | 8:51pm ET
After more than three decades at Morgan Stanley, John Mack is stepping down as its chairman at the beginning of next year.
Mack, who served as chairman of Pequot Capital Management during his brief exile from the firm, will hand the title to James Gorman on Jan. 1. Gorman took over for Mack as CEO of Morgan Stanley last year.
Mack will become a senior adviser to Morgan Stanley.
"His contributions to the firm are innumerable, but none was more critical than the leadership he provided in guiding Morgan Stanley through a financial crisis that claimed many of our peers," Gorman said. "For more than 30 years, he has helped to define the firm's distinctive culture and build our franchise around the globe."
Mack joined Pequot after a stint as CEO of Credit Suisse First Boston. His time at the hedge fund was marred by a Securities and Exchange Commission insider-trading investigation; a former lawyer at the regulator claimed he was fired for pushing too hard to interview Mack, who by then had become CEO of Morgan Stanley.
Pequot founder Arthur Samberg pulled the plug on the firm in 2009 in the wake of a renewed insider-trading probe.