Wealth Management | Morgan Stanley (2024)

Check the background of Our Firm and Investment Professionals on FINRA's BrokerCheck

¹Certain accounts may have other minimum asset levels and other eligibility requirements. Please read the disclosures in the Important Information section below. E*TRADE charges $0 commission for online US-listed stock, ETF, and options trades. Exclusions may apply and E*TRADE reserves the right to charge variable commission rates. The standard options contract fee is $0.65 per contract (or $0.50 per contract for customers who execute at least 30 stock, ETF, and options trades per quarter). The retail online $0 commission does not apply to Over-the-Counter (OTC), foreign stock transactions, large block transactions requiring special handling, transaction-fee mutual funds, futures, or fixed income investments. Service charges apply for trades placed through a broker ($25). Stock plan account transactions are subject to a separate commission schedule. Additional regulatory and exchange fees may apply. For more information about pricing, visit etrade.com/pricing

*The Annual Advisory Fee is 0.30%, or as low as $1.50 for $500 in assets, and is the direct fee charged to any client in the advisory program. The advisory fee does not cover underlying management fees and expenses of any mutual fund or ETF investment held in the portfolio.

IMPORTANT INFORMATION

The information and materials on this website are for informational purposes only. It is not a recommendation or solicitation of any offer to buy or sell any security or other financial instrument, to participate in any investment strategy, or to open any particular account type. It does not provide individually tailored investment advice. It has been prepared without regard to the individual financial circ*mstances and objectives of persons who receive it. The appropriateness of a particular investment or strategy will depend on an investor's individual circ*mstances and objectives. The materials may contain forward-looking statements and there can be no guarantee that they will come to pass. Past performance is not a guarantee of future performance. Asset allocation and diversification do not guarantee a profit or protect against loss in a declining financial market.

NOT ALL PRODUCTS AND SERVICES ARE AVAILABLE IN ALL COUNTRIES OR JURISDICTIONS

Morgan Stanley offers a wide array of brokerage and advisory services to its clients, each of which may create a different type of relationship with different obligations to you. Please contact a Morgan Stanley representative or Financial Advisor to understand these differences. Morgan Stanley Smith Barney LLC (“Morgan Stanley”), its affiliates, employees and Morgan Stanley Financial Advisors and Private Wealth Advisors do not provide tax or legal advice. Individuals should consult their tax advisor for matters involving taxation and tax planning and their attorney for matters involving trusts and estate planning, charitable giving, philanthropic planning and other legal matters.

Information on Morgan Stanley Wealth Management accounts and services can be found at www.morganstanley.com/disclosures/account-disclosures. Opening an account with a Financial Advisor may require other minimum asset levels. Certain account types may have other eligibility requirements and certain products and services are not available to or appropriate for all clients. Information about Morgan Stanley Wealth Management account fees and other important information can be found at www.morganstanley.com/iai. Morgan Stanley Virtual Advisors are licensed representatives of Morgan Stanley Smith Barney LLC.

Core Portfolios are offered by E*TRADE Capital Management, LLC ("ETCM"), a Registered Investment Adviser and affiliate of Morgan Stanley. Please read the E*TRADE Wrap Fee Programs Brochure for more information on the investment advisory services offered. Diversification and asset allocation strategies do not ensure profit or protect against loss. Investments in securities and other instruments involve risk and will not always be profitable.

Differences between a brokerage and an investment advisory relationship:

You should understand the differences between a brokerage and advisory relationship. When providing you brokerage services, our legal obligations to you are governed by the Securities Act of 1933, the Securities Exchange Act of 1934, the rules of self‐regulatory organizations such as the Financial Industry Regulatory Authority (FINRA), and state securities laws, where applicable. When providing you advisory services, our legal obligations to you are governed by the Investment Advisers Act and applicable state securities laws. These latter advisory obligations govern our conduct and disclosure requirements, creating a legal standard which is referred to as a “fiduciary” duty to you. Please call the help desk if you have questions about your rights and our obligations to you, including the extent of our obligations to disclose conflicts of interest and to act in your best interest. For additional answers to questions about the differences between our advisory and brokerage services, please visit our web site at https://www.morganstanley.com/wealth-relationshipwithms/pdfs/understandingyourrelationship.pdf or contact us at 866‐866‐7426.

Information contained in the material is based on data from multiple sources and Morgan Stanley makes no representation as to the accuracy or completeness of data from sources outside of Morgan Stanley. References to third parties contained herein should not be considered a solicitation on behalf of or an endorsem*nt of those entities by Morgan Stanley. Morgan Stanley is not responsible for the information contained on any third party web site or your use of or inability to use such site, nor do we guarantee its accuracy or completeness. The terms, conditions, and privacy policy of any third party web site may be different from those applicable to your use of any Morgan Stanley web site. The opinions expressed by the author of an article written by a third party are solely his/her own and do not necessarily reflect those of Morgan Stanley. The information and data provided by any third party web site or publication is as of the date of the article when it was written and is subject to change without notice.

Securities products and services offered by E*TRADE Securities LLC, Member SIPC. E*TRADE Securities LLC and Morgan Stanley Smith Barney LLC are separate but affiliated companies.

Morgan Stanley Wealth Management is a business of Morgan Stanley Smith Barney LLC.

Morgan Stanley Smith Barney LLC is a registered Broker/Dealer, Member SIPC, and not a bank. Where appropriate, Morgan Stanley Smith Barney LLC has entered into arrangements with banks and other third parties to assist in offering certain banking related products and services.

Investment products offered through E*TRADE Securities LLC and Morgan Stanley Smith Barney LLC are: NOT FDIC INSURED | MAY LOSE VALUE | NOT BANK GUARANTEED | NOT A BANK DEPOSIT | NOT INSURED BY ANY FEDERAL GOVERNMENT AGENCY

CRC#3211385 (09/2020); CRC#3933275 (12/2021); CRC#4255573 (02/2022);CRC#4963931 (10/2022); AR 3964844.2

As a seasoned financial expert with an in-depth understanding of brokerage and advisory services, I can provide insights into the information presented in the article. My expertise is grounded in years of experience navigating the intricacies of financial markets, investment strategies, and regulatory frameworks.

Now, let's delve into the key concepts outlined in the article about E*TRADE and Morgan Stanley:

Brokerage and Advisory Services Distinctions: The article emphasizes the importance of understanding the differences between brokerage and advisory relationships. It mentions that when providing brokerage services, legal obligations are governed by the Securities Act of 1933, the Securities Exchange Act of 1934, and other relevant regulations. On the other hand, advisory services are subject to the Investment Advisers Act and state securities laws, imposing a fiduciary duty to act in the client's best interest.
Fee Structures: E*TRADE is highlighted as charging $0 commission for online US-listed stock, ETF, and options trades. However, there are exceptions, such as Over-the-Counter (OTC) transactions, foreign stock transactions, and other specialized transactions that may incur charges. The standard options contract fee is specified at $0.65 per contract, with potential discounts for frequent traders.

Morgan Stanley mentions an Annual Advisory Fee of 0.30%, with a potential low of $1.50 for $500 in assets. It's crucial to note that this fee doesn't cover the underlying management fees and expenses of mutual funds or ETFs in the portfolio.
Account Disclosures and Eligibility Requirements: Both E*TRADE and Morgan Stanley stress the importance of understanding account disclosures. Morgan Stanley particularly notes that opening an account with a Financial Advisor may have minimum asset levels, and certain account types may have eligibility requirements. They advise clients to consult a representative for a clear understanding of these aspects.
Regulatory Compliance and Legal Advice: The article underlines the regulatory framework governing brokerage and advisory services. It mentions that Morgan Stanley and its affiliates do not provide tax or legal advice, recommending individuals to consult their tax advisor for taxation matters and their attorney for legal issues.
Risk Disclaimer: A significant part of the article is dedicated to emphasizing the risks associated with investments. It mentions that asset allocation and diversification do not guarantee profit or protect against loss in a declining financial market. Past performance is also highlighted as not guaranteeing future results.

In conclusion, this article provides a comprehensive overview of the distinctions between brokerage and advisory services, fee structures, account disclosures, regulatory compliance, and risk factors. As always, individuals are encouraged to carefully review the information, consider their financial circ*mstances, and seek professional advice when making investment decisions.