Morgan Stanley: Capital Relief An Added Tailwind (Rating Upgrade)

  • Regulatory relief on SLR will unlock significant capital returns for Morgan Stanley, positioning it as a disproportionate beneficiary versus peers. Morgan Stanley's wealth and asset management focus drives recurring, resilient earnings, with Q3 revenue set to accelerate on higher market levels. Trading operations should deliver another strong quarter, offsetting temporary softness in wealth management and muted M&A advisory fees.