Morgan Stanley (MS) is stepping up its presence in Asia, betting on deregulated markets, booming IPO activity, and rising trading volumes to fuel its next phase of expansion.
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Gokul Laroia, the firm’s Asia CEO, said in a Bloomberg Television interview that the bank is hiring financial advisers and capital market specialists, focusing on large economies that have opened up through deregulation.
Record Growth and Future Themes Fuel Asia Expansion
The push comes after Morgan Stanley posted its second consecutive record year in Asia, with revenue climbing 23% to $9.4 billion.
The strong performance was driven by a reviving Hong Kong IPO pipeline and surging trading volumes across China. Also, Laroia noted that global uncertainty and local capital reallocation are pushing investors out of low-yielding deposits and bonds into higher-dividend equities. This trend, first observed in India, is now gaining traction in Japan.
Morgan Stanley’s move is linked to long-term trends. Laroia pointed to AI, semiconductor supply chains, and industrial automation as areas set to reshape Asia’s markets. While investment in the region still lags the U.S., these themes are starting to grow and could fuel strong future gains.
Overall, with deregulation opening new opportunities in several Asian markets, Morgan Stanley sees this as the right moment to deepen its footprint.
Is Morgan Stanley a Good Stock to Buy?
Turning to Wall Street, MS stock has a Moderate Buy consensus rating based on six Buys and eight Holds assigned in the last three months. At $192.33, the average Morgan Stanley price target implies a 7.45% upside potential.
