Dow Jones said it will immediately begin a search for Brauchliâ€™s successor.
Dow Jones CEO Les Hinton and Brauchli announced the move Tuesday after a meeting of a special committee created to protect the editorial integrity of the newspaper.
In his new role, Brauchli will provide guidance to senior management in several areas, including advising the Journal about the possibility of creating a business news channel for STAR-TV in Asia.
Brauchli was named managing editor of the Journal last May. Before that, he served as deputy managing editor, global news editor and national editor. He began his career at Dow Jones in 1984 in New York.