Morgan Stanley

Morgan Stanley posts record 2Q26 net revenues of $21.3B, up 27% YoY, driven by Equity (+69%) and Investment Banking (+58%) surge

Morgan Stanley's 2Q 2026 results reflect a decisive shift in revenue composition toward capital markets, with Institutional Securities delivering $11.0 billion in net revenues — up 44% year-over-year — as Equity revenues alone reached $6.3 billion on surging client activity in Asia and prime brokerage financing. Wealth Management NII expanded 18% to $2.25 billion on lending growth and sweep deposit accumulation, even as management flagged ongoing sensitivity to rate path and competitive deposit pricing dynamics. ROTCE of 26.6% materially exceeds the firm's stated 20% target, and the expense efficiency ratio held at 65% — six percentage points better than the prior year quarter — demonstrating meaningful operating leverage at scale.

Global financial services firm operating across Institutional Securities (investment banking, equity and fixed income markets, lending), Wealth Management (advisory, brokerage, banking, lending for individuals and institutions), and Investment Management (asset management across equity, fixed income, alternatives, and liquidity strategies).

Primary products

• Investment Banking (Advisory, Equity Underwriting, Fixed Income Underwriting)
• Equity Sales and Trading (Financing, Execution Services)
• Fixed Income Sales and Trading (Credit, Macro, Commodities)
• Wealth Management (Fee-based Advisory, NII, Transactional)
• Investment Management (Long-Term AUM, Liquidity and Overlay Services)
• Securities-Based Lending