Morgan Stanley Chairman James Gorman informed the bank’s annual shareholder meeting on Thursday that he intends to step down on Dec. 31.
The former CEO said his successor, Ted Pick, who took over as chief executive earlier this year, had “completed successfully.”
The bank’s shares fell nearly 2 percent to close at $98.92.
The former CEO was in charge for 14 years and was credited with transforming the bank into an asset management powerhouse.
He also drew up a succession plan that would see Ted Pick take the reins while retaining the other two CEO contenders, executives Andy Saperstein and Dan Simkowitz, a rarity on Wall Street.
Shareholders on Thursday approved all of management’s proposals, including electing directors and approving executive compensation.
Meanwhile, all shareholder proposals were rejected.
Influential proxy advisory firm Glass Lewis had urged shareholders to vote against the bank’s executive pay proposals.
Gorman received $37 million in compensation from the company’s board of directors, while Pick and the other two CEO candidates were given lump sums of $20 million.
Morgan Stanley’s first-quarter profit beat expectations, helped by a revival in investment banking and growth in its wealth management business.
With the annual general meeting lasting just under 30 minutes, Gorman concluded that it was the fastest shareholders’ meeting in 15 years and a testament to the “great start” his successors had made.
