AI Assistant Could Free Up Advisers’ Time: Morgan Stanley CEO

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Morgan Stanley’s CEO Ted Pick discussed the potential of artificial intelligence (AI) to significantly enhance the productivity of the bank’s financial advisers at a recent investor conference. He highlighted that AI tools could save advisers between 10 to 15 hours weekly by transcribing and entering notes from client meetings into a database. This improvement could boost productivity and help advisers better tailor their discussions and investment products to the needs of wealthy clients.

Morgan Stanley had been testing a generative AI chatbot developed with OpenAI, according to a Reuters report from the previous year. 

Regarding economic conditions, Pick expressed an expectation that high interest rates in the U.S. would continue, aligning with the views of other financial leaders like Jamie Dimon of JPMorgan Chase and David Solomon of Goldman Sachs. He mentioned that this scenario could be beneficial for business, as it would lead to increased activity in trading platforms, market-making, and client hedging in volatile conditions.

The bank also plans to expand its lending to high net worth clients through sophisticated products such as structured lending, supported by the growth in deposits. Additionally, Pick affirmed the importance of maintaining Morgan Stanley’s “sacrosanct” dividend while indicating that stock buybacks would be contingent on share prices.

Over the past year, Morgan Stanley’s stock has seen an increase of more than 12%.