The New York Stock Exchange’s board of directors elected former State Street Corp. CEO Marshall Carter as its new chairman.

Carter, 64, has been an NYSE director since December 2003.Most recently, he has been a Fellow at Harvard University’s Kennedy School of Government Center for Public Leadership. From 1992-2001, he was chairman and CEO of the State Street Bank and Trust Co., and its holding company, State Street Corp.

“Our market is positioned to extend our leadership on a broad range of fronts, including protecting investor interests, transforming our market model, raising the bar on self-regulation and governance, and ensuring the highest quality market for our customers,” Carter said in a statement. “My colleagues on the board of directors, the board of executives and the management team will continue to ensure the preeminence of the NYSE and America’s capital marketplace.”

Along with Carter, three new directors were elected by the NYSE’s members: Ellyn Brown, president, Brown & Associates and former Maryland state securities commissioner; Alice Rivlin, former vice chairman of the Federal Reserve Bank and budget director in the Clinton Administration; and Karl von der Heyden, former PepsiCo vice chairman.

NYSE members re-elected incumbent directors Herb Allison Jr., chairman, president and CEO, TIAA-CREF; Shirley Ann Jackson, president, Rensselaer Polytechnic Institute; James McDonald, president and CEO, Rockefeller & Co., Robert Shapiro, former chairman of Pharmacia Corp. and former chairman and CEO of Monsanto Co.; Dennis Weatherstone, retired chairman, J.P. Morgan & Co., and Edgar Woolard Jr., former chairman and CEO, DuPont.

NYSE members also approved six rule amendments. Four of the proposals expand the types of ownership of an NYSE membership; one authorizes the board to eliminate the 2% commission cap on transaction fees; and one modifies the exchange’s disciplinary procedures.

The board also announced that it appointed Colin Clark as vice president, competitive analysis. He will be responsible for creating profiles on the NYSE’s competitors, developing competitive models and providing competitive data analysis. His team will work with the Exchange’s buy- and sell-side teams to analyze trends and create support data for the NYSE’s management and Advisory Committees. His group will also be responsible for helping the NYSE migrate from ITS to NMS linkage.

Clark was most recently a vice president at Merrill Lynch, where he covered securities markets, trading platforms and brokerage firms as equity analyst.

Finally, the board also appointed Edward McMahon as senior vice president, Member Firm Relationship Management Group. In this newly created position, McMahon will manage the NYSE’s relationship with its member constituency as a whole, and with each of the major member firms individually.
He is responsible for developing and overseeing the delivery of the NYSE’s overall value proposition for its members with the goal of maintaining and building order flow.

McMahon is also from Merrill, where he was most recently managing director of U.S. cash equity trading in which he oversaw trading in listed and Nasdaq stocks.