Recently, the Federal Reserve approved the investment company Morgan Stanley Capital accounts for about 9.86% mandatory convertible bonds to maturity into common stock, the news that Morgan Stanley shares rose 1.1%. The agreement stems from the end of 2007 the cast and large Moda into an investment agreement, investment, Morgan Stanley bought 5.6 billion face value of the mandatory convertible bond offer is that to enjoy up to 9% annual interest rate, but were asked 31 months forced into the stock, the conversion price of at least $ 48.07 per share.

double marginalization faced by the Beijing-Kowloon Railway Economic Zone to promote economic Zhou explained less than 1% interest rate market anti-inflation measures national interview next year, experts say the reserve ratio, or divided up over 20% of infrastructure investment in state-owned exclusive Disney China's foreign trade the total is expected to record high prices just because China is too luxury to force Li CA: I appreciate the great truth

Ren said the investment losses in the heavy investment, but an objective look back to the deal, you will find the error The point is to predict systemic risk. To 5.6 billion convertible bonds, access to $ 13 in interest to the original amount of convertible debt conversion unit 20.8 and the number of operators into 116 million shares, then the price per share will be $ 59, which is prior agreement for the 48.07-57.68 range of the stock conversion price ceiling, that is, assume that Morgan Stanley stock situation is not serious, this is a can not lose. However, the systemic risk has occurred, the United States after the Great Depression years of the most serious financial crisis, Morgan Stanley's most miserable fallen by 78% when the market value.

financial crisis not only in the cast played down the concerns of financial assets, the focus turned to energy, mining, and real estate investment real economy, while the financial crisis changed the rules of the game, the Americans through a new financial reform bill, increased investment review and monitoring of information, which makes the vote consciously reduced investment in Morgan Stanley that is similar to

However, because of the Morgan Stanley investment is considered to be cast Morgan Stanley holding, the way to reduce the number of shared cost per share, making the cost per share to 32 dollars. Followed by numerous holdings holdings, keep Morgan Stanley's share capital at 10% or less, to avoid the U.S. regulatory requirements.

now price is $ 25.41, Morgan Stanley, which means the loss of about 20% of the vote. Morgan Stanley reported a recent two quarters, the growth momentum well. Turnaround in the first quarter results, recent reports second quarter earnings per share of $ 1.09, net profit of 1.44 billion, higher than market expectations. This also greatly enhanced the Morgan Stanley stock price, choose the times in the reduction of investment,

problem is that Morgan Stanley held in the capital investment is a long-term behavior, or will continue to fully sell? Whether the profitability of Morgan Stanley stock price will bring more than $ 32, so that the final out in the investment Fukui? Frankly, we believe that Morgan Stanley in a longer period of time are unlikely to stock rose 20%. The reasons are multiple, one is the U.S. economic growth may not be as optimistic to imagine, to bring economic growth to reduce the natural decline in financial market activities. In addition, this round of economic salvation in the United States, Goldman Sachs and Merrill Lynch are the biggest winners, politicians, the unique resources of Goldman Sachs has always allowed a great advantage, and Bank of America is the savior of Merrill Lynch, Merrill Lynch provided more customers resources and assets, while Morgan Stanley is the capital injection by Japan's Mitsubishi UFJ.

Merrill Lynch, Morgan Stanley profits though less than, but its pre-tax profit margin was 16.7%, only 7.8% of Morgan Stanley, Merrill Lynch is the 2 times. If the slowdown in financial activity, equivalent to the total of the cake has shrunk, but the advantage of the decline in Morgan Stanley, which is detrimental to investment in Morgan Stanley. Recently, Morgan Stanley's global wealth management customers continue to move their assets away in the second quarter had moved away 55 billion dollars. Therefore, we believe in living on fixed investment and if held, relying on Morgan Stanley's profit rose to win, Fukui exists because this time much longer than imagined, on the contrary, perhaps with a flexible band operation to deal with a more appropriate number.