Morgan Stanley

Investor Relations

By putting clients first, leading with exceptional ideas, doing the right thing, and giving back, Morgan Stanley aims to deliver results today, while setting strategic goals for the future.

The following table presents an index of Morgan Stanley's risk and capital disclosures in the 2020 Annual Report on Form 10-K and the Basel III Pillar 3 Disclosure Report for the quarterly period ended December 31, 2020.

Morgan Stanley's Pillar 3 Disclosures are not required to be, and have not been, audited by an independent registered public accounting firm. Morgan Stanley's Pillar 3 Disclosures were based on our current understanding of U.S. Basel III and other factors, which may be subject to change as additional clarification and implementation guidance from regulators relating to U.S. Basel III are received, and as the interpretation of the final rule evolves over time. Some measures of exposures may not be consistent with U.S. GAAP, and may not be comparable with measures reported in Morgan Stanley's Annual Reports on Form 10-K or Quarterly Reports on Form 10-Q.

  Details 2020
Report on
Form 10-K
Q4 2020
Basel III
Pillar 3
Risk Overview Risk factors 12
Liquidity risk management framework 46
Regulatory requirements 51
Regulatory developments 57
Risk management 61
Liquidity Risk
and Funding
Liquidity risk 78
Required liquidity framework 47
Liquidity resources 47
Funding management 48
Off-Balance sheet arrangements and contractual obligations 51
Borrowings and other secured financings 123
Commitments, guarantees and contingencies 125
Supervision and regulation 2  
Risk governance structure 61  
Risk management process 64
Operational risk 76 23
Legal and compliance risk 78
Capital Adequacy and Risk-Weighted Assets Regulatory capital framework 51, 133 1
Regulatory capital requirements 51, 134 1
Regulatory capital ratios 52, 135 3
Capital conservation buffer, countercyclical capital buffer and global systemically important bank surcharge 52 4
Internal ratings system exposures   9
Regulatory capital changes 53
Risk-weighted assets rollforward 54
Supplementary leverage ratio 52 24
Attribution of average common equity according to the required capital framework 56
Market risk Market risk 64 19
Risk limits framework 64  
Trading risks 64
Non-trading risks 67
Credit spread sensitivity to our own credit spread 67
Interest rate risk sensitivity 67 19
Model methodology, assumptions and exposure measures   20
Model limitations   21
Model validation   22
Regulatory VaR backtesting   22
Covered positions   22
Stress testing of covered positions   23
Credit Risk Credit risk 68 5
Credit risk: General disclosures   5
Monitoring and control 68  
Credit exposures: Derivatives 74, 113
Country risk exposure 75
Derivative instruments and hedging activities 110
Loans, lending commitments and allowance for credit losses 69, 118 6
Credit risk mitigation 69 13
Equities not subject to the market risk capital rule   14
Securitization exposures   15