Morgan Stanley

Strong Q3 operating performance; momentum persists - Reported Q3’26 revenue of $20.3B and EPS of $3.03 with ROTCE 22.6%; efficiency ratio 66% and operating leverage helped by strong revenues (more than offsetting higher execution costs vs. prior year). - Client assets (Wealth + Investment Management) up $400B to a record $10.5T, reinforcing the integrated-firm narrative.

Wealth Management delivered record flows and earnings (core earnings engine) - Wealth revenues > $9B (record), net new assets (NNA) $232B (milestone), and fee-based flows $80B (record). - First 9 months: roughly $0.5T of ~$1T NNA and ~$175B fee-based flows, implying continued progress into year end. - Wealth economics: management emphasized high retention (steady; adviser-led relationships building), and believe flows can be retained and converted into annuitized/fee-based advisory assets.

Institutional Securities: solid growth, but activity moderated into year end - Institutional Securities revenue $10B, +18% YoY, with Equities $5.8B (+41% YoY) supported by global franchise strength and active engagement. - Investment banking revenues $2.2B (+2% YoY); advisory $887M up, equity underwriting $525M down (deal concentration), fixed income underwriting $747M strong. - Management described two phases: July/Aug unusually brisk on AI ecosystem-related activity; Sep moderated due to Middle East tensions + higher global rates, with slower volumes into year end.