Morgan Stanley’s Brokers to Recommend Bitcoin ETFs Proactively

28 April 2024

Morgan Stanley will expand its Bitcoin ETF offerings to brokers, incorporating strict risk assessments and trading caps to ensure client safety.

Morgan Stanley is preparing to significantly expand its Bitcoin exchange-traded funds (ETFs) offerings. The financial giant is set to allow its approximately 15,000 brokers to proactively recommend Bitcoin ETFs to clients. This move could dramatically widen consumer access and boost the demand for these digital asset funds.

Previously, Morgan Stanley limited its Bitcoin ETF dealings to unsolicited transactions, requiring clients to initiate conversations with their advisors. Now, the firm is shifting to an active solicitation model with stringent safeguards, including risk tolerance assessments and trading caps.

“We’re going to make sure we’re very careful about it. We are going to make sure everybody has access to it. We just want to do it in a controlled way,” said a Morgan Stanley executive.

Despite the excitement around Bitcoin, Morgan Stanley remains cautious, reflecting a broader hesitation in the financial sector to fully embrace cryptocurrencies. Other financial institutions like Merrill Lynch and Wells Fargo also restrict access to Bitcoin ETFs primarily to ultra-wealthy clients.

News Writers, Fact Checkers and News Editors

Sophia Mitchell

News analyst

From the sun-soaked city of Sydney, Australia, Sophia Grace Mitchell is a distinguished business journalist. Armed with a Bachelor's in Business Journalism from the University of Sydney, Sophia has contributed significantly as a Business Reporter at the Australian Financial Review and a Lead Analyst at Crypto News Today. Her passions extend from fintech innovation to scuba diving and culinary arts.

Lucas Reynolds

News analyst

Toronto-born Lucas Benjamin Reynolds, with a Bachelor's in Economics from the University of Toronto, is a respected financial analyst. Lucas has contributed significantly as a Financial Analyst at the Canadian Economic Review and a Lead Writer at Crypto Trends Magazine. His interests span behavioral economics, skiing, jazz music, and environmental activism.

Aisha Patel

News analyst

Aisha Fatima Patel, born in Mumbai, India, is a seasoned financial correspondent with a Master's in Financial Journalism from Northwestern University. Aisha's impactful career spans roles as a Senior Financial Correspondent at the Mumbai Financial Times and a Lead Analyst at Global Crypto Insights. Her interests include emerging markets, impact investing, yoga, and Indian classical dance.