Morgan Stanley Mack on the attack

Any dummy can make more money by taking more risks. Provided, that is, the risks don’t blow up. The big question for John Mack, as he prepares to take Morgan Stanley further out on the risk curve, is whether the investment bank can do that in an intelligent way. It is easy to see the temptation. Morgan Stanley has looked on enviously as arch-rival Goldman Sachs has pulled ahead in the profits stakes. A big explanation of the difference is that Goldman has made a push into proprietary business –...