This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

20 Banks Slashing Jobs in 2011

Morgan Stanley

Morgan Stanley (MS - Get Report) said Dec.15 that it will cut 1,600 jobs by the end of the first quarter of 2012 as part investment bank's year-end performance review process.

The cuts will not impact year end performance-based bonuses, even for potential job-losers or financial advisors within Morgan Stanley Smith Barney, a spokesman said.

"As we conduct our year-end performance management process and evaluate the right size of the franchise for 2012, we anticipate the elimination of approximately 1,600 positions across the firm globally impacting all job levels," Morgan Stanley spokesperson Mark Lake said in an emailed statement.

Earlier this year the bank said it would shed about 300 underperforming financial advisers from its brokerage unit, Morgan Stanley Smith Barney, as it attempts to tighten its control on expenses.

The investment bank is targeting an annual expense savings rate of $1.4 billion in the next three years.

Morgan Stanley has a different compensation structure from its peers due to its significant global wealth management business. Its compensation- to- revenue ratio rose to 51% in the third quarter from 45% in the second quarter.

CFO Ruth Porat said during the third quarter earnings conference call that expenses played "catch-up" in the third quarter, with the year to date ratio coming in at a lower 46%.

Still she added that the investment bank would seek a balance between "protecting our important franchises and paying those employees who are delivering differential value" and the "need to deliver acceptable returns to shareholders."
2 of 21

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
C $54.32 0.20%
MS $34.39 1.80%
AAPL $119.08 1.10%
FB $104.32 -1.10%
GOOG $747.28 -0.40%


Chart of I:DJI
DOW 17,793.02 -5.47 -0.03%
S&P 500 2,088.50 -1.61 -0.08%
NASDAQ 5,112.7990 -14.7260 -0.29%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs