Morgan Stanley Q3 profits surge

Added On October 19, 2014

Investment bank Morgan Stanley has reported a better-than-expected profit in the third quarter of this year, helped by strength in its institutional securities and wealth management divisions.  
The bank reported a net income of 1.7 billion U.S. dollars for the third quarter, almost doubled the 899 million dollars of the same period last year.
Net revenue rose to 8.9 billion dollars, beating the market expectation of 8 billion dollars.
The bank attributes the jump in earnings to strong performance in its institutional securities business, which includes the firm's prime brokerage, trading and investment banking divisions. 
The increase was also driven by the firm's equity underwriting business, which has been helped by initial public offerings.
Thanks to the solid recovery of the U.S. economy, Morgan Stanley chairman and CEO James Gorman says the bank is "well positioned to create superior returns" for its shareholders.