Institutional Investor conducted phone interviews with portfolio managers and traders from the 300 largest U.S. money management firms to create their list of the top 20 trading firms. Morgan Stanley rose from seventh overall in 1996 to fifth in 1997 and made the top five in most trading categories, including:

• Short Coupon Treasuries & Bills (#5)
• Commercial Mortgage Securities (#2)
• Adjustable-Rate Mortgage Obligation (#5)
• Investment-Grade Corporate Securities (#2)
• High-Yield Corporate Securities (#5)
• Municipal Bonds (#5)
• U.S.-Dollar-Denominated Emerging-Markets Debt (#3)
• Local-Curreny Emerging-Markets Debt (#5)
• Yankee Bonds (#3)
• Relative-Value Trading (#4)
• Basis Trading (#3)
• Advice or Strategy (#5)
• Pricing & Execution (#5)