MS Q2'26 Conference Call Notes
Three things from MS's call, starting with: The sleeper: Workplace channel IPO flows are becoming the dominant NNA driver at 50%+ of $148B this quarter
Three things that matter from MS’s Q2’26 call:
The sleeper: Workplace channel IPO flows are becoming the dominant NNA driver at 50%+ of $148B this quarter: While everyone focuses on the AI trade, MS is quietly monetizing its 70% coverage of top unicorns through workplace relationships, with $1.2T of adviser-led assets now sourced from workplace/E*TRADE channels.
Record equities revenue of $6.3B masks a critical shift: Asia is now the growth engine: The obvious headline celebrates records, but the real story is geographic mix shift with Asia driving prime balances and derivatives growth while U.S. activity moderates.
They stopped disclosing DSO and specific geographic revenue breakdowns: Management pivoted to ‘broad-based’ language when pressed on sustainability, and notably absent: any discussion of deposit beta or sweep pricing despite rate environment questions.
Disclosure Quality: B- | Financial Quality: C
