Morgan Stanley is to sell its retail investment management business, including leading global company Van Kampen Investments, for $1.5 billion to Invesco, the mutual fund business.The deal will see Morgan Stanley receive around $500 million in cash and $1 billion worth of stock, giving the company a 9.4 per cent stake in Invesco.It means Morgan Stanley will become the company’s largest shareholder.Invesco will take nearly $120 billion worth of client assets from Morgan Stanley’s investment operations as part of the agreement. James Gorman, co-president of Morgan Stanley, said he was looking forward to Morgan Stanley’s partnership with Invesco and that the prospects for Van Kampen were excellent.”The combination of Invesco’s strong and diversified product portfolio with Van Kampen’s own product strengths and leading distribution capabilities will make a formidable new contender in the retail space,” he added.Morgan Stanley recently restarted making political donations following the repayment of its government bailout funds, reports Bloomberg.
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Morgan Stanley to sell investment management business for $1.5bn
October 24th, 2009 
Before You Invest 
Posted in Finance Fraud 
Tags: 1 Billion, Bailout, Client Assets, Co President, Contender, Distribution Capabilities, Diversified Product Portfolio, Global Company, Gorman Co, Invesco, Investment Management Business, Investment Operations, James Gorman, Morgan Stanley, Mutual Fund Business, Political Donations, Retail Investment, Retail Space, Shareholder, Van Kampen Investments 
No Comments »Morgan Stanley sells investment-management business
October 20th, 2009 Before You Invest Fund manager Invesco said Monday that it had agreed to buy Morgan Stanley’s retail investment-management business for $1.5 billion in stock and cash. Morgan Stanley will receive $500 million in cash and $1 billion in stock, remaining the largest shareholder in the business, with a 9.4% stake. “This combines two midsize firms to make more scale in an industry where we reckon the largest companies are pretty well-positioned,” said Jeffrey Hopson, an analyst with Stifel Nicolaus.more at http://www.bloomberg.com/apps/news?pid=20601087&sid=a_YV.9gvXkCI
Citi Wealth Management shifts to fee-based model
October 6th, 2009 Before You Invest Citigroup Inc. said Monday it is switching to a fee-based model in its retail investment business, eliminating commissions for its 600 in-house financial advisers by the end of next year.The shift is an effort to provide clients with more transparency, Deborah McWhinney, head of Citi Personal Banking and Wealth Management, said in an interview.
Posted in Finance Fraud Tags: Citigroup, Citigroup Inc, Credit Crisis, Deborah Mcwhinney, Financial Advisers, Investment Business, Investor Center, Joint Venture, Management Unit, Morgan Stanley, National Investor, Personal Banking, Registered Investment Advisers, Retail Brokerage, Retail Investment, Services Clients, Smith Barney, Stanley Smith, Vikram Pandit, Wealth Management No Comments »
