NEW YORK, Jan. 20 (UPI) -- New York banking giant Morgan Stanley said Wednesday it earned $413 million in the fourth quarter and increased its ratio of compensation to employees.
With earnings below expectations, the bank said it managed to set aside $3.8 billion in the fourth quarter for employees, The New York Times reported.
For the year Morgan Stanley set employee compensation at $14.4 billion, about 62 percent of its total revenue, as the firm said it is attempting to retain talented staff.
Compensation aside, it was a cautious year at Morgan Stanley, which stumbled hard in 2008 and sought to regain stability and balance in 2009.
In addition to financial difficulties, Morgan Stanley's leader John Mack stepped down as chief executive officer and took over as chairman Jan. 1. His CEO responsibilities were assumed by Australian James Gorman.
Earnings for the year came to $1.15 billion, the bank said.
