CEO Ted Pick signals readiness for acquisitions in wealth and asset management amid easing US regulatory scrutiny on bank transactions.
Morgan Stanley is actively monitoring merger and acquisition opportunities as US regulators adopt a more favorable stance toward bank deals. CEO Ted Pick indicated the bank is prepared to pursue inorganic growth, particularly in wealth and asset management, citing a shift in regulatory willingness to approve transactions.
The bank’s last major acquisition was the $7bn purchase of Eaton Vance in 2021, following a period of limited deal activity. Investment banking revenue surged 36% in the first quarter, driven by M&A advisory, while net income rose to $5.5bn from $4.3bn a year earlier. Record equities trading revenue was boosted by volatility linked to geopolitical tensions.
Morgan Stanley is also a lead underwriter for SpaceX’s $75bn IPO, set to debut Friday, marking the largest listing of its kind. Pick emphasized the challenges of M&A in the sector, stressing the need for precision in execution.