Morgan Stanley is a kind of investment Services Corporation founded by J.P.Morgan & Co. in 1935 in New York, USA. It has its branches in 33 countries with 600 offices and approximately 45,000 workers.
Morgan Stanley company provides its services to the customers, corporations, governments, institutions, and individuals and deal with the three business segments namely Institutional Securities, Global Wealth Management group, and Investment management.
Under the Glass Steagall Act it is not possible to hold both the retail banking and investment banking business under one roof. As a result of which many employees left and joined the Drexel partners to form the Morgan Stanley. Finally on 16 September, 1935 it was officially opened for business in New York in United States. After a year Morgan Stanley achieved a great success in the market share and become a large syndicate in U.S. rail financing in 1939.
From 1951 to 1961 the head of the firm was Parry Hall. In the same period this firm also deals with the IBM, AT&T’s, and General Motors. In 1962 it entered the field of the financial analysis by making a computer model for financial analysis. In 1967 Morgan Stanley established its presence in the European Securities market and also in the real estate business and in 1970 in Japanese markets.
In 1975 Morgan Stanley established another branch in London known by the name Morgan Stanley Reality Inc. in which the wealth management department was added in 1977. On December 1980 the merger between the Morgan Stanley and Shuman of Agnew were held. In 1984 this firm entered the Prime Brokerage business and listed on the New York Stock Exchange by the year 1986.
In 1997 the firm was again merged with the Dean Witter Reynolds and known by the name Morgan Stanley Dean Witter and Co. until 2001. In 1999 Morgan Stanley entered India in joint venture with JM Financials. IN 2004 it also managed the internet IPO named Google and also obtained the Canary Wharf Group. Morgan Stanley declared its withdrawal from the discover card unit on 19 December 2006. In exchange of securities Morgan Stanley also received 5 billion US dollars from the China Investment Corporation which in 2010 would be converted into 9.9% of its shares.
Morgan Stanley deals with the three business segments namely:
This segment provides a large business to the Morgan Stanley by providing the services like capital raising, real estate finance, advice on gains and mergers, and corporate lending. Morgan Stanley also includes the equities and fixed income divisions of the firm.
Morgan Stanley - Global Wealth Management Group:-
This segment basically provides the advisory services on brokerage and investment and the financial and wealth planning services to the clients.
This segment provides its products and services to the institutional investors which include pension plans, corporations, foundations, non profit organizations, insurance companies and banks. They also provide its services to the retail clients through Morgan Stanley’s institutional distribution channel.
Morgan Stanley was involved in many controversies. Some of these were:-
The lists of awards won by Morgan Stanley are:-