Form 4: Morgan Stanley Officer's Equity Grant & Tax Sale

Morgan Stanley's Chief Legal/Admin Officer reported receiving 36,965.47 restricted stock units as 2025 year-end compensation and selling 20,893 shares for tax obligations.

Summary

• Eric F. Grossman, Chief Legal/Admin Officer of Morgan Stanley, acquired 36,965.47 shares of Common Stock on January 16, 2026, as Restricted Stock Units (RSUs).
• These RSUs were granted as part of 2025 year-end compensation and are convertible to Common Stock at a 1:1 ratio.
• Grossman also disposed of 20,893 shares of Common Stock on January 16, 2026, at a price of $191.23 per share.
• This disposition was for shares withheld to satisfy tax obligations upon the conversion of Restricted Stock Units originally granted on January 18, 2023.
• Following these transactions, Grossman beneficially owns 204,325.59 shares of Common Stock directly.

Sentiment

Score: 7

Explanation: The sentiment is positive as a key executive received a substantial equity grant as part of their compensation, aligning their interests with shareholders. The tax-related disposition is a neutral, routine event.

Positives

• The Chief Legal/Admin Officer received a significant grant of 36,965.47 Restricted Stock Units as part of his 2025 year-end compensation, indicating continued executive alignment with shareholder interests through equity incentives.

Negatives

• A disposition of 20,893 shares occurred to cover tax liabilities, which is a standard practice upon RSU vesting but results in a reduction of direct beneficial ownership.

Future Outlook

NA

Industry Context

This filing reflects a routine executive compensation event within the financial services industry, where equity grants like Restricted Stock Units are a common component of year-end compensation packages for senior management. The subsequent tax withholding upon vesting is also a standard practice.

Comparison to Industry Standards

• The use of Restricted Stock Units (RSUs) as a component of executive compensation is a widely adopted practice across major financial institutions, including peers like Goldman Sachs, JPMorgan Chase, and Bank of America, aligning executive incentives with long-term company performance.
• The disposition of shares to cover tax obligations upon the vesting of equity awards is a standard and expected procedure, consistent with practices observed at virtually all publicly traded companies that grant equity compensation.

Stakeholder Impact

• Shareholders: The grant of RSUs to an executive aligns management's interests with long-term shareholder value. The disposition for tax purposes represents a minor, routine dilution.

Key Dates

Recommendation

This Form 4 filing details routine executive compensation and tax-related transactions. It does not provide new information regarding the company's operational performance, financial health, or strategic direction that would warrant a change in investment recommendation. The transactions are expected and do not indicate any material shift in the company's outlook or valuation.

Keywords

Morgan Stanley, MS, Insider Transaction, Form 4, Executive Compensation, Restricted Stock Units, RSU Grant, Tax Withholding, Equity Compensation