The US bank reported a broadly positive set of wealth results, as seen by assets and inflows as well as revenues, in the first three months of 2026.

The wealth management arm of Morgan Stanley yesterday reported net revenues of $8.52 billion in the first three months of 2026, rising from $7.327 billion a year earlier.

Total costs rose to $5.922 billion from $5.322 billion, the US-listed group said in a statement. 

Transactional revenues increased from a year ago driven by a broad-based increase in client activity across products, the firm said. The prior year quarter included mark-to-market losses on investments associated with DCP (deferred cash-based compensation plans) which are no longer presented in net revenues. Net interest income increased from a year ago, Morgan Stanley said. 

Fee-based assets stood at $2.792 trillion at the end of March, it said. Net new assets were $118.4 billion in the first quarter, up from $93.8 billion a year earlier. Fee-based asset flows stood at $53.7 billion in Q1 2026, almost doubling from $29.8 billion a year earlier.

Compensation expense increased from a year ago primarily driven by higher compensable revenues. Non-compensation expenses decreased from a year ago primarily due to lower amortization of intangible assets. 

Across all business divisions, Morgan Stanley reported net revenues of $20.6 billion for the first quarter ended March 31, compared with $17.7 billion a year ago. Net income applicable to Morgan Stanley was $5.6 billion, or $3.43 per diluted share, compared with $4.3 billion, or $2.60 per diluted share, for the same period a year ago.