Bloomberg News reports that Morgan Stanley borrowed more than $100 billion from the Federal Reserve, received $10 billion in rescue funds from the U.S. government and sold a $9 billion stake to Japanese bank Mitsubishi UFJ Financial Group Inc. to survive the 2008 credit crisis.
Since then, the New York-based firm has increased capital and liquidity and bought retail brokerage Smith Barney from Citigroup Inc. to rely more on a steady-fee business.
Similar steps taken by other large U.S. lenders to change their business offerings and improve their financial ratios have helped secure the health of the banking system, Gorman said.
Banks also face increased scrutiny both from regulators and their own management and board of directors, he said.
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