Morgan Stanley Adds Mary Shapiro to Board and Hires AI Expert
Wirehouse Morgan Stanley is bringing on fresh blood to help the firm bolster its compliance chops and build out its artificial intelligence capabilities.
The wirehouse has brought on former SEC Chairwoman Mary Shapiro, whose seat on the board goes into effect on Sunday, as part of its strategy to strengthen its brokerage business, according to the New York Times.
Shapiro was appointed SEC chair by President Barack Obama in 2009 and headed the commission until 2012, the paper writes. She was also Finra’s chairwoman and chief executive for three years and headed the Commodity Futures Trading Commission under President Bill Clinton in the 1990s, according to the Times.
“Her leadership experience at the SEC, Finra and CFTC brings strong finance, risk management and regulatory expertise to the firm,” James Gorman, Morgan Stanley’s chief executive, says in a statement cited by the paper. “The board, our management and our shareholders will benefit greatly from her extensive experience in government and public policy.”
In addition, the company has hired Michael Kearns, a computer science professor at the University of Pennsylvania who worked with Steve Cohen’s former hedge fund, according to Bloomberg.
Kearns will head Morgan Stanley’s foray into AI and advise the firm on implementing the technology firm-wide, the news service writes, citing a memo sent to the firm’s employees Tuesday. One of Kearns’ areas of expertise, meanwhile, is reinforcement learning, which the Times says can be employed to improve trade execution and cut costs.