Morgan Stanley CEO Says Rivals May Outperform During Boom MarketBy
Morgan Stanley, which gets more revenue from wealth management than its U.S. rivals, may underperform when trading markets improve, Chief Executive Officer James Gorman said.
“We’ll do a little less well when the trading markets are on fire then some of our competitors,” Gorman said Wednesday during an interview on Bloomberg TV.
In about five years, the New York-based bank will probably get a majority of its revenue from wealth management and asset management, he said. The CEO also expects to retain the firm’s No. 1 ranking in equities trading, he said.
Morgan Stanley’s business model helped bolster results compared to that of rival Goldman Sachs Group Inc., which gets a larger share of its revenue from fixed income and equities trading, areas that struggled in 2017.