19 January 2018
visit www.ebaday.com

IT woes hit Morgan Stanley, Citi joint venture - FT

15 June 2009  |  5394 views  |  0 power leads

Morgan Stanley and Citigroup will have to wait up to two years to gain the full benefit of their $14bn-a-year brokerage joint venture as the complexity of merging information technology systems delays integration, the FT reports.

The IT issues are frustrating some of the new business' 18,500 financial advisers, who had expected to be able to sell a full suite of products from both Morgan Stanley and Citi to their wealthy clients, the paper reported on Sunday, citing people close to the situation.

The deal to create Morgan Stanley Smith Barney was wrapped up on 1 June, three months ahead of schedule in an effort to reassure brokers and customers of the combined companies. At the time Morgan Stanley executives said the venture would create a single distribution channel for the marketing and cross-sale of investment products to Citi's retail deposit base.

But the difficulties of integrating IT systems will mean that Morgan Stanley's financial advisers will not be able to access products from Citi's capital markets business, and vice-versa, for months, says the FT.

"People are working extremely hard to put all the components in place, but it is going to take some time," Morgan Stanley Smith Barney told the paper.

M Stanley and Citi venture keeps brokers waiting - FT

Comments: (0)

Comment on this story (membership required)

Finextra news in your inbox

For Finextra's free daily newsletter, breaking news flashes and weekly jobs board: sign up now

Related stories

Direct channel integration costs 210 Lloyds jobs

Direct channel integration costs 210 Lloyds jobs

22 May 2009  |  9332 views  |  0 comments
Citi ramps up IT integration project - FT

Citi ramps up IT integration project - FT

22 May 2009  |  7440 views  |  0 comments
Westpac pushes ahead with St George IT integration

Westpac pushes ahead with St George IT integration

06 May 2009  |  8712 views  |  0 comments
Banco Santander awards Accenture EUR100m integration contract

Banco Santander awards Accenture EUR100m integration contract

25 March 2009  |  13898 views  |  0 comments
JPMorgan to cut 12,000 jobs as it begins WaMu integration

JPMorgan to cut 12,000 jobs as it begins WaMu integration

26 February 2009  |  7364 views  |  0 comments
ANZ National puts IT integration project on ice - report

ANZ National puts IT integration project on ice - report

04 February 2009  |  8112 views  |  0 comments
Westpac to spend A$338 million on IT integration of St George

Westpac to spend A$338 million on IT integration of St George

18 December 2008  |  8676 views  |  0 comments
JPMorgan take-over of WaMu sparks two-year systems integration project

JPMorgan take-over of WaMu sparks two-year systems integration project

26 September 2008  |  11380 views  |  0 comments
HSBC talks up IT integration initiative

HSBC talks up IT integration initiative

04 August 2008  |  15224 views  |  0 comments

Related company news

 

Related blogs

Create a blog about this story (membership required)
16 June 2009
visit www.vasco.comvisit www.ebaday.comvisit www.capgemini.com

Top topics

Most viewed Most shared
Europe begins Open Banking era in subdued styleEurope begins Open Banking era in subdued...
11211 views comments | 32 tweets | 38 linkedin
Crypto mining threatened by power capacity concernsCrypto mining threatened by power capacity...
10329 views comments | 17 tweets | 18 linkedin
Wells Fargo to close 900 branchesWells Fargo to close 900 branches
9934 views comments | 14 tweets | 16 linkedin
KFC introduces Bitcoin BucketKFC introduces Bitcoin Bucket
9395 views comments | 18 tweets | 16 linkedin
FinTech Scotland appoints new CEOFinTech Scotland appoints new CEO
8479 views comments | 8 tweets | 6 linkedin

Featured job

Competitive base + commission + benefits
London, UK

Find your next job