gorman

Weak markets leave Morgan Stanley struggling to reach return-on-equity target

Trouble in fixed-income markets cut deep into Morgan Stanley’s trading revenue. Morgan Stanley’s return-on-equity, a key measure of how well it uses shareholder capital to earn profits, was 6.2 percent, well below Gorman’s goal of 9 percent to 11 percent by the end of next year. “It must be said that if these markets were to continue as is, our goals would be extremely difficult to achieve and we would therefore take additional appropriate actions,” Gorman said on a conference call

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Weak markets leave Morgan Stanley struggling to reach return-on-equity target