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James Gorman Will Say Something Nice About Wall Street When Wall Street Earns It

If you’re looking for a cheerleader, go bark up another tree.

“Say you want to be out ahead of it and give a lot of speeches and talk about all the good we’re doing,” Gorman said today at an industry conference in New York. “And then some trader does some stupid thing like this guy at UBS did and he’s in jail and all bets are off,” Gorman said. He was referring to Kweku Adoboli, the UBS AG trader convicted of fraud this month in the largest unauthorized trading loss in British history…Traders at New York-based Morgan Stanley had too much latitude in the past, “what I call having an outsized sandbox,” Gorman, 54, said at the conference, which was sponsored by the Securities Industry and Financial Markets Association. “Until we can be really confident we’ve got discipline around the sandboxes, I think you have to be really careful not to be holier than thou,” Gorman said. “We’re going to be in the doghouse for a while.”

Incidentally, this would a good time to mention that Gorman’s bonus policy instituted last January– STFU or GTFO— still stands.

Wall Street bankers should likewise resist the temptation to feel sorry for themselves because many are getting lower pay, Gorman said. “There’s not a lot of sympathy,” he said. “The rest of society is going through at least as difficult a time from a much lower starting base.” Banks haven’t cut compensation enough when faced with falling profits, and “the industry is still overpaid,” Gorman said in an interview with the Financial Times published last month. Morgan Stanley will consider a new round of cost-cutting next year, and that could include lower pay, he told the FT.

Wall Street’s Reputation Remains In The Doghouse, Gorman Says [Bloomberg]
Earlier: James Gorman To Morgan Stanley Employees: STFU Or GTFO

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28 Responses to “James Gorman Will Say Something Nice About Wall Street When Wall Street Earns It”

  1. J. Gorman says:

    Kwe..who? I was talking about Grubel…

  2. Guest says:

    Aye, fight and you may die, run, and you'll live… at least a while. And dying in your beds, many years from now, would you be willing to trade ALL the days, from this day to that, for one chance, just one chance, to come back here and tell our enemies that they may lower our bonuses, but they'll never take… OUR ELITISM!

  3. Guest says:

    And from this day forward, all offices under my control shall stink of feet and flop sweat.

    -Rex Gorman

  4. Guest says:

    Did someone say overpaid?

    -Former Union Head of Hostess Bread-Only Truck Drivers

  5. Guest says:

    Hypocrite.

    —Kweku "Don't Call me 'this guy'" Adoboli

  6. PermaGuestII says:

    Lower pay? You first, Jimmy my boy.

    -reader who thinks a guy paid $12,981,856 in 2011 to oversee a 46% drop in his company's stock price should STFU about people earning too much money

  7. Wildcard says:

    Anybody else have the sudden impulse to hunt humans on a large private reserve?

  8. Aunt Esther says:

    Watch it, sucka.

  9. juniormistmaker says:

    What the fck is this guy's deal?!

    How can anyone stand working for him? Does he send out sorry emails after each on of his little diatribes? A tear filled vm saying he won't do it again?

  10. GTFO'd MS'er says:

    This guy sucks worse than UBS.

    Sick of the "UBS Sucks" thing, but these are facts

  11. Your shareholders says:

    Speaking of doghouses, checked MS stock price during your tenure, Jimmy?

  12. guest says:

    Nice of him to offer up UBS/Kweku as his example, but I think we all know his barb was directed squarely at Dimon/JP – who is frequently "out ahead of it" and "holier than thou," and whose bank also had a major and preventable trading loss.