Breaking News
FONT-SIZE Plus   Neg
Share SHARE

Morgan Stanley To Sell EMEA Stock Plan Unit; Asked To Pay $1.5 Mln To Brokers

RELATED NEWS
Trade MS now with 

Morgan Stanley (MS: Quote) Wednesday said it has reached an agreement to sell the EMEA-based portion of its Global Stock Plan Services business or GSPS EMEA to Computershare Limited (CPU.AX). The transaction, said to be valued at $48.5 million, is expected to close during the second quarter.

The GSPS EMEA business provides employee stock plan record keeping and automated trade execution services. As part of the transaction, Morgan Stanley plans to continue to provide trade execution services to existing GSPS EMEA clients and their employees.

Gregory Fleming, President of Morgan Stanley Wealth Management and Morgan Stanley Investment Management, said, "This transaction is the result of our strategic decision to focus our stock plan service offering on the global needs of U.S.-based corporations. We are planning to make significant investments in the U.S. business to support our corporate clients and their employees around the world.''

Meanwhile, Standard Chartered Plc (STAN) is in discussions to buy Morgan Stanley's Indian wealth management unit, Bloomberg reported, quoting two people familiar with the discussions. The U.K. lender is looking to expand its business in India.

Elsewhere, an arbitration panel awarded two brokers about $1.5 million, denying the request of Morgan Stanley Smith Barney to claw back compensation from them.

The wealth management unit had asked the Financial Industry Regulatory Authority arbitration panel to make these brokers - Antonia Carreras and Carlos Javier Molina - repay promissory notes.

However, the brokers contended that the company breached contracts related to bonuses and commissions.

The brokers who were recruited from Merrill Lynch were initially told that they could manage assets from high-net-worth Latin and South American clients on Morgan Stanley's Swiss platform, but the lender decided to stop this later.

The panel said the work environment around the Swiss platform was changed and caused the brokers loss in commissions. While Carreras was awarded $655,786, Molina was awarded $834,637.

MS closed up 2.1 percent at $22.90 on Wednesday.

Register
To receive FREE breaking news email alerts for Morgan Stanley and others in your portfolio

by RTT Staff Writer

For comments and feedback: editorial@rttnews.com

Business News

Editors Pick
Here is a list of interesting stocks to watch on December 19. The good news is you can skip this step. There is a next move that can make your life a lot easier. Our research team has already done the groundwork for you. All these stocks listed below and many more have been researched already, and... Shares of OvaScience Inc. (OVAS) have had a strong run in 2014, rising over 370 percent year-to-date. And that's indeed a very impressive return delivered by the fertility treatment company, which suffered a setback last year when it had to suspend a U.S. trial of its flagship fertility treatment due to regulatory concerns raised by the FDA. Nike Inc., the world's largest athletic shoes and apparel maker, said Thursday after the markets closed that its second quarter profit rose 23% from last year, helped by higher revenue and improved gross margin. The company's quarterly earnings per share also came in above analysts' expectations as did its quarterly revenue.
comments powered by Disqus
FREE Newsletters, Analysis & Alerts

 

Stay informed with our FREE daily Newsletters and real-time breaking News Alerts. Sign up to receive the latest information on business news, health, technology, biotech, market analysis, currency trading and more.