When Morgan Stanley Smith Barney LLC, its affiliates, and Morgan Stanley Financial Advisors and Private Wealth Advisors (collectively, “Morgan Stanley”) provide “investment advice” as defined under the Employee Retirement Income Security Act of 1974, as amended (“ERISA”), and/or section 4975 of the Internal Revenue Code of 1986 (the “Code”) (collectively, the “Retirement Laws”) regarding a Retirement Account,* Morgan Stanley is a “fiduciary” under the Retirement Laws. This acknowledgment of status under the Retirement Laws is not intended to create or expand any “fiduciary” relationship, capacity or obligations of Morgan Stanley under other federal, state or local laws. When Morgan Stanley provides brokerage services or investment education or otherwise does not provide “investment advice”, Morgan Stanley will generally not be considered a “fiduciary” under ERISA and/or the Code.
Morgan Stanley provides “investment advice” as defined under the Retirement Laws when Morgan Stanley:
- renders advice (a) as to the value of securities or other property, or makes recommendations as to the advisability of investing in, purchasing, or selling securities or other property, (b) on a regular basis, (c) pursuant to a mutual agreement, arrangement, or understanding with the Retirement Account owner or fiduciary, that (d) the advice will serve as a primary basis for investment decisions with respect to the Retirement Account assets, and that (e) the advice will be individualized based on the particular needs of the Retirement Account; and
- receives a fee or other compensation (direct or indirect) for such advice.
For a description of our brokerage fees, services and conflicts of interest, please refer to our Client Relationship Summary and Important Account Information booklet at https://www.morganstanley.com/disclosures/account-disclosures and your Retirement Account agreement.
For information on Morgan Stanley's role, services and conflicts of interest with respect to held away ERISA broker of record qualified retirement plans, please visit https://www.morganstanley.com/atwork/plan-sponsors-policy-statement.
For information about the services offered under an investment advisory program, the advisory fees, potential conflicts between Morgan Stanley’s interests and yours, and Morgan Stanley’s role and responsibilities to you, please refer to your program ADV at https://www.morganstanley.com/wealth-investmentsolutions/advbrochures.html and your advisory agreement.
*“Retirement Account” means any Individual Retirement Account (“IRA”), Roth IRA, Health Savings Account, Coverdell Education Savings Account, Archer Medical Savings Account, a Plan covered by ERISA or a plan described in section 4975(e)(1)(A) of the Code.