Morgan Stanley CFO Predicts Surge in Investment Banking Activity

Sharon Yeshaya, Morgan Stanley CFO, anticipates a rise in investment banking activity. She believes less uncertainty is due to the upcoming U.S. presidential election, rising IPO demand in the U.S. and Europe, and improved relations between the wealth and investment banking sectors, minimizing commercial real estate risks.

Morgan Stanley's Chief Financial Officer, Sharon Yeshaya, has forecasted a notable upswing in investment banking activities in the coming quarters. In an interview with Reuters, she highlighted several factors that could drive this growth.

Among these, Yeshaya pointed to the upcoming U.S. presidential election, which she believes will eliminate a major source of uncertainty hindering deal-making activities. She also notes the rising demand from private equity firms for initial public offerings (IPOs) across the U.S. and Europe, signaling a robust market.

Additionally, restructuring activities in specific areas of commercial real estate are expected to mitigate potential losses. The company is also witnessing new deals arising from the strengthening ties between its wealth management and investment banking divisions.

(With inputs from agencies.)