Movement of Executives from US Trust

July 5, 2007

U.S. Trust continues to lose top talent after its acquisition by Bank of America from Schwab.

Morgan Stanley has hired managing directors Robert Stolar, Christine Guidera and Mary Davey to lead its newly formed Family Wealth Group, which will cater to families with net worth of more than $50 million.

The new unit will report to managing director Donald Herrema, head of Morgan Stanley’s Private Wealth Management, Americas. Herrema was hired in April 2006 and charged with growing the firm’s ultra-wealthy business. The industry veteran was previously CEO at Canadian wealth management firm Loring Ward and has held the same position at both Atlantic Trust and Bessemer Trust.

Stolar, who will head the new family wealth group, will also be president of Morgan Stanley Trust, N.A. He joins after 16 years with U.S. Trust, where he last served as head of the Western Region Multi-Family Office Group. He had previously been head of the firm’s Family Wealth Consulting Group.

Guidera, with nine years at U.S. Trust, and Davey, with seven years, were both managing directors in the Multi-Family Office Group. Prior to U.S. Trust, Guidera had worked for Rockefeller Family Office and the Chase Manhattan Private Bank.



In June, Citigroup picked up eight from U.S. Trust’s Washington, D.C. office, along with the manager of the firm’s Long Island office.

US Trust also lost the manager of its Houston office, Joseph Bybee, and two professionals from its Manhattan office, Linda Ludwig and Lisa Marcus.

This week, B of A named senior v.p. and client advisor Larry Bell to head its Houston office.

AFormer U.S. Trust CEO Peter Scaturro and COO Miriam Esteve were slated to leave when the deal closed.

Frances Aldrich Sevilla-Sacasa, whom Scaturro hired in late 2005, and with whom he also worked at Citigroup, is now president of the combined organization.



Sevilla-Sacasa has selected a leadership team that is the optimal mix of experience and talent, he says, drawing from the ranks of both U.S. Trust and B of A. The firm has named five regional directors who will report to Sevilla-Sacasa: Tim Maloney, Central; Alan Rappaport, Great Tri-State; Eric Hayes, Northeast; Doug DiVirgilio, Southeast; and Tracey Warson, West. U.S. Trust CIO Leo Grohowski will stay on as head of investments.

Morgan Stanley has grabbed wealth advisors by the handfuls from its competitors this year, especially on the global ultra-high-net-worth front. In January, it lifted out a $3 billion Latin American markets team from Goldman Sachs. In early February, it lured UBS advisor Kevin Schaefer to the firm’s San Francisco branch and Smith Barney advisor David Greene to its Michigan Capital region. And in April, after hiring six Smith Barney advisors with a combined $800 million in client assets, the firm snared a $1.4 billion practice under Sheila Klehm from JPMorgan Private Bank.