Morgan Stanley is one of the leading global investment banks, known as a bulge bracket bank on Wall Street. It provides a wide range of investment banking services, including advisory, capital raising, lending, sales & trading, etc. The key business groups within Morgan Stanley’s investment banking division include:
Morgan Stanley’s M&A and other advisory groups
Morgan Stanley’s investment banking business originated from its M&A advisory services. Today, M&A advisory remains a crown jewel of Morgan Stanley. The key M&A and advisory groups within the bank include:
– Global M&A Group: Morgan Stanley’s flagship M&A advisory team works on large cross-border, complex M&A transactions.
– North America M&A Group: Focuses on advising in US and Canadian markets.
– Europe, Middle East and Africa M&A Group: Focuses on EMEA markets.
– Asia Pacific M&A Group: Focuses on Asia Pacific markets.
– Healthcare M&A Group: Focuses on healthcare sector clients globally.
– Technology M&A Group: Focuses on tech sector clients globally.
In addition to M&A, Morgan Stanley’s advisory business also includes restructuring, activism and strategic advisory services catering to corporate clients.
Morgan Stanley’s equity and debt capital markets capabilities
In addition to advisory services, Morgan Stanley also has extensive capital markets capabilities to help clients raise equity and debt financing. The key groups include:
– Global Capital Markets Group: Works on IPOs, follow-on offerings, convertible bonds, etc.
– Leveraged Finance Capital Markets: Focuses on raising financing for LBOs and other leveraged finance situations.
– Liability Management Group: Focuses on helping clients optimize capital structure through activities like share repurchases, exchange offers, etc.
– Municipal Capital Markets: Focuses on raising financing for municipalities and public entities.
Sales & trading groups within Morgan Stanley
While advisory and capital markets groups work on the front-end to help clients raise financing, Morgan Stanley’s sales & trading business interacts with investors to facilitate client financing and trading activities. Key S&T groups include:
– Institutional Equity Division: Focuses on facilitating client equity financing activities and trading.
– Fixed Income Division: Same for fixed income instruments.
– Commodities Division: Facilitates trading and hedging of commodity-linked products.
– Prime Brokerage Group: Provides financing, clearing and settlement and reporting services to hedge funds and other institutional investors.
Other major businesses within Morgan Stanley’s investment bank
In addition to the above businesses, there are other major groups that make up Morgan Stanley’s investment bank:
– FIG Investment Banking Group: Focuses on advising and financing financial institutions.
– Asset Management Division: Manages assets on behalf of institutional and individual clients.
– Wealth Management Division: Focuses on high net worth individual investors.
Morgan Stanley’s investment bank consists of a wide range of advisory, capital raising, sales & trading and asset management businesses. Its crown jewel M&A advisory business works closely with equity capital markets, debt capital markets and sales & trading groups to provide a full range of investment banking services to clients.