Morgan Stanley Wealth Management Posts Record Net New Assets; Equity Trading Revenue Tops Estimates

Morgan Stanley's third-quarter profit climbed, with equity trading revenue significantly exceeding analysts' expectations, while the wealth management business attracted record new funds. The bank announced on Wednesday that equity trading revenue reached $5.8 billion, above the market expectation of $4.9 billion; its closely watched wealth management business recorded a record $232 billion in net new assets. Morgan Stanley said half of the net new assets were related to initial public offerings. The bank's investment banking business has participated in several major listings this year, including SpaceX. Elon Musk's aerospace company is also a client of Morgan Stanley's workplace wealth management channel, which provides equity incentives, retirement plans and other executive services to corporate employees.