Morgan Stanley netted top honors in the 2004 Operational Performance of Brokers market survey of U.S. securities firms, conducted by London-based consulting group Z/Yen Limited. The Firm ranked first in fixed income and second in equities for overall operational performance, an aggregate of rankings for core domestic and international transaction management and client service.

The survey, conducted September 13 - November 9, asked 36 investment managers, pension funds and insurers to rank U.S. brokers in both equity and fixed income core transaction management and client management. According to the findings, a broker's operational performance continues to be a deciding factor in both allocating new business as well as retaining existing business.

In addition, Morgan Stanley ranked first in equities and second in fixed income for overall client management, which includes client service, client relationship management, product knowledge and regular management information systems. The Firm ranked second in fixed income for core international transaction management, which includes confirmation timing and accuracy, automation, settlement performance, fail management, interest claims and static data management.