Morgan Stanley Achieves Profit Goal
Morgan Stanley reported a record quarter for wealth management revenues, driven by strong asset inflows in the third quarter, and made progress toward its goal of managing $10 trillion in assets.
The company's pretax margin for its wealth management business reached 30.3% in the third quarter, surpassing its long-standing goal of 30%.
The pretax margin is the proportion of revenue the firm has left over following the subtraction of nontax expenses.
On a call with analysts, Ebrahim Poonawala of Bank of America Securities asked if the pretax margin could be sustained above 30% in the medium term.
Morgan Stanley is marching toward $10 trillion in assets, with a strong quarter for wealth management revenues.
Author's summary: Morgan Stanley hits profit goal.