James Gorman

  • News

    Wall Street Bank That Might Consider Entering The Witness Protection Program Screws Zoe Cruz Out Of A Job For The Second Time

    [caption id="attachment_76125" align="alignleft" width="260" caption="How people smile when they're plotting cutting your brake lines."][/caption]

    Earlier this week, it was announced that Zoe Cruz would be closing her hedge fund, Voras Capital Management. Cruz started the fund in 2010, a few years after she was famously fired by John Mack at Morgan Stanley (where she was co-President), for reasons that remain unclear to this day but include theories like: a) the belief that she was responsible for losing the firm a few billion dollars b) a lot of people disliked her– including this guy named Vikram Pandi who was “not a fan“– and told Mack they would leave if he made Cruz CEO c) Mack had to blame either himself or Cruz for some losses and he chose her. d) She was, you know, a girl, and the boys didn’t like that. Regardless, the ousting was probably mildly to majorly humiliating for ZC and since Mack– who she was extremely close with prior to the personnel change– was the one who told her to hit the bricks, it would have been fair to assume she spent a least a little time fantasizing about  sticking pins in a Mack voodoo doll and/or slashing his tires.

    In 2009, though, Mack and Zoe had lunch and she told him she wanted to start a hedge fund. And maybe it was it was the fact that he was feeling nostalgic, maybe it was the fact that tragedy + time = comedy, maybe it was the fact that he was still riding high from “saving” Morgan Stanley, maybe it was the wine, maybe it was that he was feeling bad about the unceremonious canning and thought “Oh, why not just give the poor girl some money” but Mack went back to the office and “told bank executives that he would like to help her start her new investment business, according to people familiar with the matter.” And when they said, “But John, didn’t you fire her for supposedly taking on too much risk and losing the firm $4 billion,” he said “[Well], her track record was a very good track record.” So Morgan Stanley gave Cruz $20 million and she was on her way. And while we can’t say for sure, and we’re not suggesting money necessarily heals all wounds, the $20 million and the stamp of approval and the fact that she could say to investors she was trying to raise money from ,”Hey look, even the guy who fired me wants in” probably helped smooth things over and improve MS’s standing in the Cruz-missile’s eyes. She likely even had nice things to say about her former employer at social gatherings! And then this happened:

    Last month, Morgan Stanley asked for its money back, disappointed by the hedge fund’s performance and worried about the shrinking size of Ms. Cruz’s firm, according to people familiar with the matter…The retreat by Morgan Stanley was part of broader moves to sell off assets that Chief Executive James Gorman felt exposed the company to unnecessary risk or otherwise didn’t serve clients, the people said…On Thursday, the 57-year-old Ms. Cruz told clients in a letter that she has decided to close down Voras Capital Management. The letter cited “the difficult capital-raising environment for new funds and the enormous uncertainty and volatility in the markets,” according to a person who saw the letter. It was signed by Ms. Cruz.

    Oooo, that’s not good. In fact, it’s worse than if they’d never given her the $20 mill at all. But to give and take back? Yikes. All those nice things Cruz said about MS and Co? Strike them from the record because they are so over! Don’t call, don’t write, don’t cry don’t beg ’cause you’re done! Finished!

    Morgan Stanely Bailed On Firm [WSJ]

    / May 11, 2012 at 12:52 PM
  • News

    Charlie Gasparino Reminds James Gorman He Is Public Enemy Number One On Wall Street, Will Break Your Knee Caps To Make A Point

    Gasparino: Let’s get something straight right off that bat– 6 months ago, someone at your firm wanted to kill me…you don’t want to kill me, correct?
    Gorman: Charlie…I don’t wan to kill you…I don’t think they did either.
    Gasparino: I don’t blame them if they did..given my reputation with PR people. So thank you for coming here, checking your guns at the door.

    Charlie Gasparino with Morgan Stanley CEO James Gorman [FBN]

    / Apr 19, 2012 at 2:18 PM
  • News

    One More Peep Out Of Morgan Stanley Employees And Next Year’s Bonuses Will Be Determined By IQ Test (Results Posted In Lobby)

    Gorman doesn’t fit the image of a Wall Street titan. Notwithstanding his $10.5 million pay package, he shows up at black-tie events in a rumpled tuxedo he bought as a business- school student in the 1980s. He keeps supplies of Vegemite — a favorite Australian food that’s made from yeast extract — in the executive […]

    / Feb 6, 2012 at 11:49 AM
  • News

    Brian Moynihan Has Already Spent A Year Apologizing To Shareholders, Please Don’t Make Him Handle Another Confrontation

    Earlier this week, in an interview with Bloomberg TV, Morgan Stanley CEO James Gorman was asked how he would respond to employees expressing disappointment with this year’s bonuses. Perhaps at his wits end with compensation complaining, perhaps to indicate there is a new James Gorman in town and he is not to be fucked with, […]

    / Jan 27, 2012 at 3:28 PM
  • News

    James Gorman To Morgan Stanley Employees: STFU Or GTFO

    As you may have heard, bonuses were announced at Morgan Stanley last week and while some employees here and there did okay for themselves, for the most part, people were not pleased with the fact that pay was down, on average by 20-30 percent. In fact, many were downright distraught, particularly among those who received […]

    / Jan 25, 2012 at 1:27 PM
  • News

    Morgan Stanley Names 210 Managing Directors

    Which apparently represents a 9.5% drop from last year and “the lowest number of employees it promoted to that role since 2008,” lest anyone think Jim Gorman is fucking around. The era of cannolis and promotion free-for-alls is over. [WSJ, full list]

    / Jan 24, 2012 at 12:52 PM
  • News

    James Gorman: This Isn’t The End. No Way. We’re Gonna Show This Market A Thing Or Two.

    “The stock price in no way reflects how well the firm is doing,” Gorman said last night at a private party for current and former Morgan Stanley executives. “We have a strategy in place, the market isn’t appreciating that yet.” [FBN]

    / Nov 30, 2011 at 4:33 PM
  • News

    Layoffs Watch ’11: Morgan Stanley

    Cuts occurring circa now, tomorrow.

    / Nov 16, 2011 at 12:47 PM
  • Banks

    Bonus Watch ’11: James Gorman Doesn’t Want To Talk About It

    In his tenure as CEO of Morgan Stanley, bonuses have been a bit of a sore spot for James Gorman. Last year he swore to god that he would “personally escort” anyone caught leaking numbers out of the building, earlier this month he was said to have suggested that things will be way, way down […]

    / Oct 19, 2011 at 11:38 AM
  • bonuses

    Bonus Watch ’11: James Gorman Advises MD’s To Keep Their Expectation Low

    Really low. Like lucky if you get a free cannoli low.

    / Oct 5, 2011 at 2:25 PM
  • Banks

    Morgan Stanley Joins Goldman Sachs In FirmScaping

    Back in August, it was revealed that Goldman Sachs had added a disturbing element to its cost-cutting efforts: plant murder. The lobby philodendrons? Gone. Boston Ferns by the elevator? To the dumpster. The third floor Geraniums that lined the windows? Left for dead. The While every bank on Wall Street is bracing for serious reductions […]

    / Sep 27, 2011 at 11:57 AM
  • News

    James Gorman Looks At Today’s Smoking Wreckage, Decides He Could Use A Smidge More MS In His Portfolio

    Not only is Morgan Stanley gaining FICC market share, dominating tech IPOs, and not laying off scads of people, but its CEO thinks it’s a buy: James Gorman, chief executive officer of Morgan Stanley, purchased $2.06 million of stock in the firm as the shares touched their lowest level since March 2009. Gorman bought 100,000 […]

    / Aug 4, 2011 at 6:49 PM
  • News

    Who Wants To Be President Of Morgan Stanley?

    As was reported earlier this week by Charlie Gasparino, John Mack plans to step down as Chairman of Morgan Stanley at the end of the year, at which time CEO James Gorman will inherit the gig. Will he share the wealth by appointing an underling president when he’s done with the title? For anyone hoping […]

    / Jun 30, 2011 at 12:37 PM
  • News

    Morgan Stanley Practically Beating Silicon Valley Off With A Stick

    Morgan Stanley, run by chief James Gorman, is rapidly becoming the go-to bank in the Valley, having landed the lead on a number of high-profile tech IPOs this year, including LinkedIn and Pandora. It has also signed on to head Groupon’s expected public debut. Goldman, headed by CEO Lloyd Blankfein, is also on Zynga’s underwriting […]

    / Jun 29, 2011 at 3:48 PM
  • News

    Layoffs Watch ’11: Morgan Stanley (Update)

    Cuts have been going down this morning at the House of Gorman.

    / Jun 21, 2011 at 11:04 AM
  • News

    Dick Bové “Believes In” James Gorman, Morgan Stanley

    As many of you may recall, for several years, analyst Dick Bové’s heart belonged to one CEO and one CEO only- Ken Lewis. The two of them had something special and it seemed like their love could withstand the strongest of tests. When her man was essentially forced out of his job, she rallied to […]

    / Jun 9, 2011 at 11:47 AM
  • News

    Great News For Morgan Stanley Shareholders

    James Gorman’s poker performance indicates he’s unlikely to run the firm into the ground.

    / Mar 30, 2011 at 10:15 AM
  • News

    Jamie Dimon Not The Only CEO Making The Trip To Japan

    James Gorman is there too! While his reception was a bit less lively than Dimon’s, which included employees waiting on a 2 hour line to get an autograph and a picture with the JPMorgan CEO who they were said to have treated like a “pop idol,” Gorman ought to still get credit for being there. […]

    / Mar 25, 2011 at 10:07 AM
  • News

    If You Had To Guess Which Wall Street CEO Was A Huge Lady Gaga Fan, Who Would It Be?

    Lloyd? Jamie? Gorman? Vikram loves a good beat, how about him?

    / Feb 25, 2011 at 2:17 PM
  • News

    Never Call James Gorman ‘Jim,’ Or The Real Reason Morgan Stanley’s In The Toilet, According To Charlie Gasparino

    For those of you who were unaware, Morgan Stanley CEO James Gorman has one hard and fast rule, which is simply this: he will cut a bitch who refers to or calls him anything other than James. As in no Jim, no Jimbo, no Big J, no Jimmy, no Uncle Jim, no Jimmy Crack Corn, […]

    / Feb 3, 2011 at 4:20 PM
  • News

    Noted Optimist James Gorman’s Life Advice

    Morgan Stanley employees should feel free to interpret this as they see fit.

    / Jan 31, 2011 at 12:48 PM
  • News

    James Gorman Keeping Employees In Suspense

    Despite just last month receiving the official word that bonuses will be down ten to thirty percent (at best) this year, Morgan Stanley employees have been girding their loins for the bad news since at least September. With a few weeks to go ’til real numbers are communicated, they’re at the ‘just rip it off […]

    / Jan 5, 2011 at 12:33 PM
  • News

    Morgan Stanley CEO James Gorman Threatens To Personally Fire Anyone Caught Leaking Bonus Information

    By its own estimation, Morgan Stanley’s bonuses are set to suck this year. The best employees have been told to hope for is a year on year decrease of 10 to 30 percent. And for his own part, chief exec James Gorman has been fairly vocal about the need for Wall Street to get to […]

    / Dec 17, 2010 at 2:05 PM
  • News

    James Gorman Wants Every Narcissistic Wall Streeter To Know They’re Not Special

    What was one factor that largely contributed to the financial crisis? According to Morgan Stanley CEO James Gorman, it was the guys who all thought they were suchhhhh big shots, whose formidable market savvy was matched only by the formidable bulge in their pants. “There are a fair number of the senior folks who actually […]

    / Nov 8, 2010 at 4:12 PM
  • News

    James Gorman Promises Morgan Stanley Employees They Get To Keep Their Jobs For At Least Another 10 Weeks

    As you may have heard, Morgan Stanley didn’t have the “best” third quarter. Inside the bank employees have been girding their loins for what that will mean for bonuses and in some cases, what it will mean for their jobs, period. At the same time, Meredith Whitney has been on tour saying that everyone is […]

    / Oct 22, 2010 at 11:15 AM
  • News

    Blind Item: Which Wall Street Chief Executive Thinks Tim Geithner Is Useless?

    From a friend of DB: “Bess– [Redacted] was seated next to me at [Manhattan restaurant] last night.  I figured given the shitstorm Wall Street’s been through the last couple years he’d keep shop talk to a minimum. But, he didn’t hold back; I wasn’t making an effort to eavesdrop, but he’s not exactly the softest […]

    / Oct 12, 2010 at 11:55 AM
  • News

    Morning Grooming Plays A Large Role In Morgan Stanley’s New Recruiting Video

    Does watching a couple twenty-somethings shave get you pumped about working in finance? Morgan Stanley may be the place for you.

    / Oct 8, 2010 at 10:55 AM

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