Morgan Stanley Reworks Wealth Management Leadership

Morgan Stanley is moving to flatten management hierarchy in its wealth management business, InvestmentNews reports.

The firm on Friday announced the promotion of Vince Lumia to head of the field, a newly created post that reports to co-chiefs of wealth management Shelley O'Connor and Andy Saperstein.

At the same time, Morgan Stanley is pulling the plug on two national division leader positions. The firm is "eliminating the divisional level and naming a new head of the field with the goal of flattening the organization and further empowering the regional directors and local managers," O'Connor and Saperstein said in an internal memo obtained by InvestmentNews.

The memo cites the objective of bringing "decision making even closer to the client."

Western division chief Bill McMahon and his Eastern division counterpart, Rick Skae, are to become vice chairmen of wealth management, the memo says.

Lumia is an 18-year veteran of Morgan Stanley, where he's been an advisor, run the wealth management capital markets business and headed private wealth management. Regional directors will report directly to him, the company memo said.

Replacing Lumia as head of private wealth management is Mandell Crawley, who was previously Morgan Stanley's chie f marketing officer.

Source: Morgan Stanley Reworks Wealth Management Leadership