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Morgan Stanley booked a $1.9-billion (U.S.) profit in the second quarter, generating its best return on equity in years.
Morgan Stanley booked a $1.9-billion (U.S.) profit in the second quarter, generating its best return on equity in years.
(MARK LENNIHAN/AP)

Morgan Stanley discovers a new path to prosperity

Morgan Stanley is dangling a sneak peak at prosperity. The financial institution run by James Gorman earned $1.9-billion (U.S.) in the second quarter, generating its best return on equity in years. It relied on a whopping $600-million tax break to get there, but results are improving, albeit slowly. And the path to beating its cost of capital, at least in the short term, may spring from an unlikely source.