Morgan Stanley: allowed to resume share buybacks

(CercleFinance.com) - The Federal Reserve allowed Morgan Stanley to resume its share buybacks in the first quarter of 2021, prompting the Wall Street firm to announce plans to repurchase stock for up to 10 billion dollars next year.


"The results announced today allow us to restart our share repurchase program in January, and we expect to continue the program throughout the coming year," CEO James P. Gorman said.

The chief executive said the Fed's decision was a recognition of the bank's "significant capital buffer."

"With over 400bps of excess capital, we are in a position to continue to invest in our businesses while returning capital to shareholders and absorbing market volatility," he added.

Morgan Stanley shares were up over 5% on the news.

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