Tuesday, 21 April 2015
Last updated 4 hours ago
Dec 18 2008 | 2:56am ET
Morgan Stanley posted a whopping $2.36 billion loss in the fourth quarter, driven in part by poor performances and drawdowns in its asset management business.
The firm’s asset management business, posted a $1.81 billion pre-tax loss for the fiscal year. Net revenue at the core business—which includes hedge funds and funds of hedge funds—fell 49% to $1.6 billion. The firm said the decline was primarily due to $470 million in losses on structured investment vehicles in its portfolios.
Morgan Stanley’s prime brokerage, which was hit hard by investor skittishness following the Lehman Brothers bankruptcy, has recovered somewhat, according to CFO Colm Kelleher. Morgan Stanley’s prime brokerage assets were 37% lower on average in the fourth quarter than in the third, although it lost 65% of its assets during the quarter.
“What we're seeing is hedge funds wanting to move balances back now,'” he said. “We feel pretty encouraged about it. What we're not too encouraged about is the overall state of the hedge fund industry.”
Mar 20 2015 | 12:45pm ET
StreetWise Partners, a non-profit organization that works with low-income individuals to help them overcome employment barriers, raised over $275,000 at the 2015 Raising the Ante Charity Poker Tournament and Casino Event last Wednesday evening at Capitale. Here are some photos from the event. Read more…