Morgan Stanley COO John Pruzan to retire

Morgan Stanley's Chief Operating Officer Jon Pruzan, once considered a potential successor to CEO James Gorman, is quitting the Wall Street firm on January 31, 

After 28 years at Morgan Stanley, including six as Chief Financial Officer, Pruzan will relinquish his post to pursue other opportunities, Gorman said in a message to staff.

With his exit, the front-runners to succeed Gorman are Co-Presidents Ted Pick and Andy Saperstein, with investment management chief, Dan Simkowitz, also potential successor, Bloomberg said.

Pruzan had played a key role in Morgan Stanley's recent acquisitions, notably ETrade and Eaton Vance.

A 2021 management reshuffling in June 2021 set up Pick, Saperstein, Pruzan and Simkowitz as likely candidates for the CEO spot, when Gorman decides to step down. At the time, Gorman told the board he wanted to stay on for at least three more years. Gorman has been CEO since 2010 and added the chairman role in 2012.

Prior to becoming CFO, Pruzan served as Head of the Global Financial Institutions Group from 2010 to 2015. He joined the Firm in 1994 and spent his entire career in Investment Banking focused on Financial Institutions, advising clients and governments globally on a broad range of issues including mergers and acquisitions, restructurings and capital raising.

Pruzan was in the Financial Institutions Group at PaineWebber from 1990 to 1994.

Pruzan serves on the Board of Trustees of Tufts University and New York-Presbyterian Hospital. He also serves on the boards of the Peterson Institute for International Economics and the Morgan Stanley Foundation.  

Last month, the bank was reducing headcount by about 2% of its total 1,600 staffers.