S&P ups Morgan Stanley holding

S&P said it raised its long-term rating on Morgan Stanley's holding company and Morgan Stanley Finance LLC, a financing subsidiary, to A- from BBB+.

The rating on Morgan Stanley's core operating subsidiaries remains A+ with a stable outlook, but now incorporate only one notch of uplift based on additional loss absorbing capacity for these ratings instead of the two notches the agency had been applying.

“We believe Morgan Stanley has completed a major transformation, lowering risk and adding stability to its business model. That should enable it to continue to deliver consistent risk-adjusted returns in varied economic conditions, including in the current environment of elevated volatility and inflation with a possibility of recession. We also believe that Morgan Stanley has successfully integrated E*Trade (acquired October 2020) and Eaton Vance (acquired March 2021), which should buttress the company's ability to deliver consistent results in more challenging economic times,” S&P said in a press release.

The outlook is stable.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.