Form 4: Morgan Stanley Chief Risk Officer Sells 20,000 Shares Under Pre-Arranged Plan

Morgan Stanley's Chief Risk Officer, Charles A. Smith, sold 20,000 shares of common stock on July 17, 2025, for a weighted average price of $140.2959 per share, as part of a Rule 10b5-1 trading plan.

Summary

• Charles A. Smith, the Chief Risk Officer of Morgan Stanley, reported a sale of common stock.
• The transaction occurred on July 17, 2025.
• A total of 20,000 shares of Morgan Stanley common stock were disposed of.
• The shares were sold at a weighted average price of $140.2959 per share, with individual transaction prices ranging from $140.17 to $140.40.
• The sale was executed pursuant to a Rule 10b5-1(c) contract, instruction, or written plan.
• Following this transaction, Charles A. Smith directly beneficially owns 119,239.139 shares and indirectly owns 5,427.297 shares through a 401(k) Plan.

Sentiment

Score: 5

Explanation: The sale of shares by the Chief Risk Officer is a neutral event as it was conducted under a Rule 10b5-1 plan, indicating a pre-scheduled transaction rather than a discretionary sale based on immediate market views, which mitigates any negative sentiment typically associated with insider sales.

Positives

• The sale was executed under a Rule 10b5-1 plan, indicating a pre-scheduled transaction rather than a discretionary sale based on immediate market views, which enhances transparency and mitigates concerns about insider trading.

Negatives

• An insider, the Chief Risk Officer, sold a significant number of shares (20,000), which represents a reduction in personal exposure to the company's stock.

Risks

• NA

Future Outlook

NA

Industry Context

Insider transactions, particularly those executed under Rule 10b5-1 plans, are a routine part of executive compensation and personal financial management within the financial services industry. This specific transaction by a Chief Risk Officer at a major investment bank like Morgan Stanley is typical for managing personal stock holdings and does not inherently signal broader industry trends.

Stakeholder Impact

• Shareholders: The sale by a key executive, even if pre-planned, could be perceived as a slight reduction in management's direct alignment with shareholder interests, though the Rule 10b5-1 plan mitigates this concern.

Next Steps

• NA

Key Dates

Recommendation

Keywords

Morgan Stanley, MS, Insider Trading, Form 4, Stock Sale, Chief Risk Officer, Charles A. Smith, 10b5-1 Plan, Financial Services, Banking