Morgan Stanley to hire hundreds of new traders

Morgan Stanley plans to hire several hundred traders over the next few years to boost its underperforming securities business, its new chief executive James Gorman said yesterday.

The US investment bank’s sales and trading unit has failed to win enough new business, Gorman said in an interview with the Financial Times.

He added: “We need to seriously grow our footprint in products like currencies, equity derivatives, commodities. We could easily be 25 per cent bigger than we are.”

The bank lost $807m (£506m) in 2009. It returned to profit in the third quarter but weak trading results weighed on its profits in its fourth quarter.

Gorman has already announced a shakeup of senior management.