Morgan Stanley and Raymond James executives expressed optimism at industry conferences Tuesday about their firms’ ability to gather new assets after slowing down a bit in 2024.

Speaking at the Bank of America Securities Financial Services Conference in Miami Beach, Florida, Morgan Stanley co-president Andy Saperstein said the dip seen in his firm’s net new assets last year obscured just how strong its growth prospects remain. Morgan Stanley reported last month that its net new assets — a measure of asset collections irrespective of market ups and downs — was down by nearly 11% in 2024 to $252 billion.

Saperstein, the head of Morgan Stanley’s wealth and investment management unit, said the decline was really the result of greater outflows rather than a significant slowdown in inflows. In fact, he said, Morgan Stanley’s asset inflows last year were roughly equal to what they were in 2021, when the firm reported a record of $437.8 billion in net new assets. 

It’s just that in 2024, clients took a lot more money out, he said. 

Saperstein in part blamed high interest rates, which prompted many investors to use their money to pay off debts. Other clients were simply spending more to keep pace with inflation.

Stay Ahead of the Financial Trends with Our Latest FinTech News Updates! 

Source : https://www.financial-planning.com/news/morgan-stanley-raymond-james-bullish-on-asset-growth