Morgan Stanley

External links for this section:. Paradoxically, many media organizations that use these terms are, in fact, aiming to eliminate bias, on the basis that one person's "terrorist" is another person's "freedom fighter"; these words are avoided because they imply that the writer either supports or opposes the attacks carried out by such people. Another former executive and Purcell loyalist received a golden parachute of $32 million, which was criticized by analysts as a waste of shareholders' money to "buy off" the former executive. Accusations of bias are often prompted by the use of neutral words such as 'militants' or 'guerrillas'. Purcell's exit package, in excess of $113 million, has caused some talk of a proxy battle, especially when seen in the context of several other senior executives' contracts which have recently come to light in the press. Similarly, Reuters is accused by the left of exhibiting a pro-west and pro-corporate bias, being itself a western multinational corporation, based in London. What performance is meant is unclear since the main performance Morgan Stanley needs from its CEO (now Mack) is future strategy he never provided when CEO in the past. It has been pejoratively referred to as Al Reuters which is a reference to the Al Jazeera television channel.

Mack announced he does not want the $25 million per year guaranteed him in his rehiring, preferring instead to be paid based on performance. However, the company, along with many other major media organizations, has been accused by American right-wing and conservative people of showing left-wing or liberal bias. Part of the ironic background of the dispute was a rift, long pre-dating the merger, between John Mack and the members of the dissident group when they were all working at the firm, which resulted in Mack's ascendancy at the expense of that of the eight dissidents. Reuters has asserted adherence to principles of journalistic integrity ([3]). The current position of the eight dissident shareholders is not clear and can be assumed to be ambivalent. In March 2003, Reuters acquired Multex.com, Inc., a provider of global financial information. It has been speculated that he will seek the return of some departed colleagues, potentially including Vikram Pandit and Perella, but the validity of such speculation remains to be seen. In October 2001, the Group disposed of its majority stake in VentureOne Corp.

Former President John Mack was chosen to succeed Purcell and his appointment was made official by the board of directors on June 30, 2005. Also during the year, the Group acquired 100% of Diagram fip SA and 92% of ProTrader Group LP. A past head of fixed income, she has over 20 years of Wall street experience, but is relatively unknown outside of Morgan Stanley. On September 28, 2001, completed the largest acquisition in its history acquired certain businesses and assets of Bridge Information Systems Inc. Zoe Cruz, former co-President and President as of July 11, 2005, was under consideration to take Purcell's place. In May 2001 Instinet completed an IPO on NASDAQ; Reuters retains the majority of the shares. The focus of Morgan Stanley has historically been on institutional clients. Reuters announced in early 2000 a range of major initiatives designed to accelerate its use of internet technologies, open new markets and migrate its core business to an internet-based model.

Debate continues over Purcell's strategy of keeping the firm as a "financial supermarket" to all investors (both retail and institutional). In July 1999 TIBCO completed an IPO on NASDAQ; Reuters retains a substantial proportion of the shares. As of June 30, 2005 he was officially succeeded by John Mack in both capacities. In May 1999, Reuters entered a joint venture with long-time rival, Dow Jones & Company, to form Factiva [2], a business news and information provider. Former CEO Purcell announced on June 13, 2005 that he will retire as CEO when a successor is found, but no later than March of 2006. Notable investments include:. However, his successor (see below) announced that the division would be kept with the firm. Robinson starred in a Hollywood film about the company called A Dispatch from Reuters.

Purcell had announced plans to spin off the Discover Card division, a heavy earner for Morgan Stanley, as steadily hiking fees have increased profits while the number of card holders has remained the same. In 1940, Edward G. (See New York Times article, May 13, 2005.). In 1995, Reuters established its "Greenhouse Fund" to take minority investments in a range of start-up technology companies, initially in the United States. On May 12, 2005, dissidents announced a plan to split up Morgan Stanley into two firms: one retail (as former Dean Witter) and one institutional firm (as former Morgan Stanley), saying Purcell's plans to merge these two entities has not worked over the past eight years. A Reuters Radio News service was also set up to compete with Independent Radio News. At that time, Purcell retained support of the Morgan Stanley board, which some say he "packed". In the mid-1990s the company had a brief foray into the radio sector with London Radio's two stations, London News 97.3 FM and London News Talk 1152 AM, which replaced LBC in 1994.

It was announced on April 13, 2005 that Perella was also leaving Morgan Stanley. Recent key product launches include Equities 2000 (1987), Dealing 2000-2 (1992), Business Briefing (1994), Reuters Television for the financial markets (1994), 3000 Series (1996) and the Reuters 3000 Xtra service (1999). Perella left Wasserella to join Morgan Stanley and managed the Investment Banking Division at Morgan Stanley for a time. Reuters began to grow rapidly in the 1980s, widening the range of its business products and expanding its global reporting network for media, financial and economic services. (Perella joined Bruce Wasserstein to form the former "Wasserstein Perella" (aka "Wasserella") specialist firm dealing mainly in mergers and later sold to Dresdner Bank). These principles set out the company's aim to preserve its independence, integrity and freedom from bias in its news reporting [[1]]. Key to the firm's future was Joe Perella, the head of investment banking and former head of M&A at CSFB (Credit Suisse First Boston). It holds one "Founders Share" which can outvote all other shares in the event that an attempt is made to alter any of the rules relating to the Reuters Trust Principles.

The dispute, which the eight former executives claim represents a groundswell within the company, concerns Phil Purcell's alleged neglect for Morgan Stanley's traditional and most profitable institutionally ingrained business, investment banking. This is a company whose sole task is to protect the integrity of the company's news output. Three days later, on March 31, the so called “Group of Eight” published a full-page advertisement in the Wall Street Journal revealing their position. At the same time, as a further measure to protect the independence of Reuters news reporting, The Reuters Founders Share Company was set up. On March 29, Purcell announced that he would be replacing then President Stephan Newhouse, a 26 year Morgan Stanley veteran and former Navy officer, with Zoe Cruz and Steve Crawford, two of Purcells most recognized supporters. The acquisition meant that Murdoch then held more than 15% and he was obliged to reduce the holding to less than 15% in line with the rules. Parker Gilbert, who had been chairman of Morgan Stanley several years before the merger, and Robert Scott, who had been President under Purcell before being pushed out by Purcell, sent a letter to the Board on March 3, 2005, requesting immediate replacement of Purcell as CEO. This rule was applied in the late 1980s when Rupert Murdoch's News Corporation, which already held around 15% of Reuters, bought an Australian news company which also had a holding in Reuters.

Concerned over lackluster performance, eight former senior Morgan Stanley executives, including S. If this limit is exceeded the directors can order the shareholder to reduce the holding to less than 15%.
External links for this section:. To counter this possibility, the constitution of the company at the time of flotation included a rule that no individual was allowed to hold more than 15% of the company. From a business ethics perspective, it is also questionable whether Morgan Stanley, in its analyst capacity, was responsible for or even capable of ensuring the accuracy of Sunbeam financial data, which is generally considered the responsibility of internal and external accounting faculties. However, there were concerns that the company's tradition for objective reporting might be jeopardised if control of the company later fell into the hands of a single shareholder. It should be noted that Morgan Stanley lost an estimated $300 million on the Sunbeam collapse, calling into serious question any alleged motive on the firm's part. Reuters was floated as a public company in 1984 on the London Stock Exchange and on NASDAQ in the US.

Morgan Stanley asserts many rulings in the trial were "unprecedented and highly prejudicial" (from a statement, see links below). It operates in 200 cities in 94 countries, supplying text in 19 languages. Morgan Stanley has stated the decision will be appealed and is confident the decision will be overturned. Today, almost every major news outlet in the world subscribes to Reuters. This case was seen as a significant mishandling on the firm's part, particularly by the 'dissidents' (see Disputes section below), who claim it as further evidence of Purcell's poor management. Reuter's agency built a reputation in Europe for being the first to report scoops from abroad, like the news of Abraham Lincoln’s assassination. To that $604 million was added punitive damages by the jury for a total of compensatory and punitive damages of $1.450 billion. The company was founded by Paul Julius Reuter, a German-Jewish immigrant to London who as early as 1851 began transmitting stock-market quotes between Paris and London via the new Calais-Dover telegraph cable.

On May 16, 2005, A Florida jury found that Morgan Stanley did in fact fail to give adequate information to Ronald Perelman about Sunbeam thereby defrauding him and causing damages to him of $604 million. . On January 12, 2005, The New York Stock Exchange imposed a $19 million fine on Morgan Stanley for alleged regulatory and supervisory lapses. These include market data, such as share prices and currency rates, research and analytics, as well as trading systems that allow dealers to buy and sell such things as currencies and shares on a computer screen instead of by telephone or on a trading floor like that of the New York Stock Exchange. On July 12, 2004, Morgan Stanley settled a sex discrimination suit brought by the Equal Employment Opportunity Commission for $54 million. Its main focus is on supplying the financial markets with information and trading products. In criminal activity in the US similar to that alleged in the UK, Morgan Stanley was fined $125 million. However, news reporting accounts for less than 10% of the company's income.

Misleading financial analysis was disclosed amongst investment banks in the United Kingdom, but the FSA Financial Services Authority, decided not to intervene. See International Phonetic Alphabet." class="IPA" style="white-space: nowrap; font-family:'Code2000', 'Chrysanthi Unicode', 'Doulos SIL', 'Gentium', 'GentiumAlt', 'TITUS Cyberbit Basic', 'Bitstream Vera', 'Bitstream Cyberbit', 'Arial Unicode MS', 'Lucida Sans Unicode', 'Hiragino Kaku Gothic Pro'; font-family /**/:inherit; text-decoration: none">[ˈrɔɪt ə z]) is best known as a news service that provides reports from around the world to newspapers and broadcasters.
External links for this section:. Reuters Group plc (pronounced IPA: TIBCO Software:. The merged company was briefly known as "Morgan Stanley Dean Witter Discover & Co." until 1998 when it was known as "Morgan Stanley Dean Witter & Co." until late 2001. Factiva:. Dean Witter Reynolds) the spun-off financial services business of Sears Roebuck.

(a.k.a. On February 5, 1997, the company merged with Dean Witter, Discover & Co. In 1996, Morgan Stanley acquired Van Kampen American Capital (website), a respected mutual fund company. becomes publicly listed.

In 1986 Morgan Stanley Group, Inc. By 1971 the Mergers & Acquisitions business was established along with Sales & Trading. In 1964 Morgan Stanley creates the first computer model for financial analysis. Within its first year it achieved 24% of market share among public offerings.

This split of the commercial and investment banks came as a result of the Glass-Steagall Act. along with others from Drexel & Co. Morgan & Co. P.

Morgan, and Harold Stanley of J. Morgan Stanley was founded in New York on September 5, 1935, by Henry S. (See 2004 Annual Report (pdf)). The company considers its brand name and reputation as a longtime leading financial firm among its most valuable assets.

Despite offering such a diverse array of services, Morgan Stanley is an industry leader in many areas, particularly equity and debt underwriting and investment banking. A partial list of these products and services includes:. Morgan Stanley is a large global financial services firm, offering a wide variety of products and services. .

Morgan Stanley NYSE: MWD is an investment bank, retail broker, and credit card provider based in New York. "Group of Eight" Homepage. John Mack Elected Chairman and CEO of Morgan Stanley. Morgan Stanley CEO surrenders.

Morgan Stanley Will Fight to Have Sunbeam Verdict Overturned. Morgan Stanley's Comeuppance (registration required). A Jury Assesses Morgan Stanley $604 Million (registration required). Morgan Stanley returns staff to lower Manhattan.

Quick facts. "Visionaries honored with Red Hat Summit Awards". In June 2005, the company announced it would return 2,300 workers to lower Manhattan, marking the largest return of jobs since the attacks. Morgan Stanley was the largest employer in the World Trade Center prior to the events of September 11, 2001.

As of June 2005, the firm's market capitalization was around $58.5 billion. Morgan Stanley was a principal underwriter of the 2004 Google IPO. Its IT department has also received accolades from the open source community for its continual work in commercial proliferation and improvement of OSS, including such projects as the A+ programming language and a computing architecture which led to the Stateless Linux project for Fedora Core. Morgan Stanley is considered the industry leader in information technology, with an IT budget rivaling the operating budget of many medium and large software companies.

Morgan Stanley had 53,718 total employees worldwide as of February 28, 2005. In 2004, Morgan Stanley held the #1 industry rank for the following categories: Global Equity and Equity-Related Underwriting Market Share, Global IPO Market Share, and Global Equity Trading Market Share. Morgan Stanley reported net revenues of $23.8 billion in 2004. Morgan Stanley is an industry leader in underwriting Initial public offerings of stock worldwide.

He announced his retirement on June 13, 2005 (see "Recent disputes (2005)"), and John Mack was ultimately named his successor. Purcell, who headed Dean Witter Discover, was Chairman and CEO since the merger until June 30, 2005. Former Chairman and CEO: Philip J. Hispanic magazine selected Morgan Stanley as one of the "100 Companies Providing the Most Opportunities to Hispanics" in February 2004.

Asian Enterprise magazine named Morgan Stanley as one of the "Top Companies for Asian Americans" in April 2004. Essence magazine named Morgan Stanley as one of the "30 Great Places to Work" in May 2004. Family Digest magazine named Morgan Stanley one of the "Best Companies for African Americans" in June 2004. Morgan Stanley was named one of the 100 Best Companies for Working Mothers in 2004 by Working Mothers magazine.

Credit Services. Investment Management. Individual Investor Group. Institutional Securities.

Alternative investments such as hedge funds, managed futures, and real estate. Traditional investments such as mutual funds and separately managed accounts. Individual investor services such as credit (see also: Discover Card), private wealth management, and financial and estate planning. Research services.

Institutional sales and trading, including both equity and fixed income investments. Investment banking services such as advising, securities underwriting.