Morgan Stanley

Morgan Stanley to Preserve Client Choice for Retirement Accounts

Oct 26, 2016

Clients receiving advice will have choice of paying commissions or asset-based fees in retirement accounts subject to new Department of Labor fiduciary rule

New York —

Morgan Stanley (NYSE: MS) today announced that its Wealth Management clients who receive advice from Financial Advisors will continue to have choice in how they pay for retirement accounts covered by the new Department of Labor fiduciary rule – either commissions for transactions, or a fee based on the value of account assets.

“Morgan Stanley’s core values of putting clients first and doing the right thing are behind our plan for implementing the Department of Labor’s upcoming fiduciary rule for retirement accounts. Client needs vary by their individual situations, and they tell us they want choice in how they pay for services.  We believe our advisors can most effectively uphold a fiduciary standard of care and work in clients’ best interests by continuing to offer choice,” said Shelley O’Connor and Andy Saperstein, Co-Heads of Wealth Management.

  • Morgan Stanley clients who prefer transaction-based pricing will continue to have access to retirement brokerage accounts and receive advice that complies with the DOL fiduciary rule and Best Interest Contract Exemption (BIC).  These accounts will offer a broad product suite including mutual funds and exchange traded products (such as ETFs) amongst other products.
  • Clients who prefer a fee-based retirement account will continue to have access to the Firm’s world class investment advisory offerings.  Morgan Stanley is an industry leader in fee-based advisory accounts with over $850 billion in retirement and non-retirement assets.

“We believe we have the best and most professional advisors in the industry.  Delivering a retirement account platform based on fiduciary principles that provides the widest possible capabilities and preserves client choice is our vote of confidence in our advisors’ continuing commitment to placing client interests first,” O’Connor and Saperstein said.

Morgan Stanley Wealth Management, a global leader, provides access to a wide range of products and services to individuals, businesses and institutions, including brokerage and investment advisory services, financial and wealth planning, cash management and lending products and services, annuities and insurance, retirement and trust services.

Morgan Stanley is a leading global financial services firm providing investment banking, securities, wealth management and investment management services.  With offices in more than 43 countries, the Firm’s employees serve clients worldwide including corporations, governments, institutions and individuals.  For further information about Morgan Stanley, please visit www.morganstanley.com

Morgan Stanley Smith Barney LLC. Member SIPC.

CRC 1627312 10/2016

Media Relations, Jim Wiggins, 914.225.6161

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