May 16 ValueAct Capital Management trimmed its
stake in Morgan Stanley by 9 million shares during the
first quarter, according to a U.S. regulatory filing.
That brings the hedge fund's total number of shares in
Morgan Stanley down to 17.8 million, according to the filing on
Monday with the Securities and Exchange Commission.
ValueAct owned as many as 41.9 million shares in the Wall
Street bank in 2016. It acquired a 2 percent stake in Morgan
Stanley last August, saying at the time it had no plans to take
a seat on the bank's board of directors or demand dramatic
shifts in strategy.
Agitating for meaningful change at large banks is very
difficult, analysts say, because banks are controlled tightly by
the U.S. Federal Reserve which governs how they use capital.
ValueAct founder Jeff Ubben said in February he got "super
lucky" with President Donald Trump administration's proposed
financial deregulation agenda, which caused bank shares -
including Morgan Stanley - to soar.
He said he sold some shares in Morgan Stanley following its
Shares in Morgan Stanley have risen 46 percent since
ValueAct took its initial stake.
(Reporting by Olivia Oran in New York; Editing by Lisa