Investment intelligence. Re-defined

More investment strategies coverage. More access to investment insiders and gurus. More info to make more informed decisions.

»

Finra fined Morgan Stanley $90K for unfair trading practices

By Sara Hansard

October 19, 2009 2:03 pm ET

Morgan Stanley has agreed to pay a $90,000 fine to the Financial Industry Regulatory Authority Inc. to settle charges that it traded municipal bonds at unfair prices.

Advertisment



The fine covered 11 corporate-bond trades and three municipal-securities trades made in 2003. Markups or markdowns listed in Finra's complaint ranged from 5.25% to 24.3%. In addition to paying the fine, Morgan Stanley agreed to make restitutions to investors totaling nearly $41,000.

Morgan Stanley agreed to the settlement without admitting or denying the findings. The settlement was reached with Finra in August, but it was not announced by Finra until mid-October.

“We don't comment on regulatory matters,” said Eric Grossman, managing director at Morgan Stanley, when asked about the Finra fine.

Comments