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Firms compared · Updated October 10, 2026

Morgan Stanley vs. Merrill: Wirehouse pay grids and recruiting compared

The short answer

Morgan Stanley is the larger wealth business by reported client assets, with $8.08 trillion in wealth management client assets at June 30, 2026, including $6.27 trillion advisor-led, compared with $4.1 trillion in Merrill client balances on the same date. Both employ advisors on production grids, and neither publishes a current advisor headcount. Morgan Stanley's grid runs from 28% to 55.5%, unchanged for 2027 but with 10% higher revenue thresholds, while Merrill kept a 34% to 51% cash grid for 2026 and pays reduced or no credit on smaller households. Diamond Consultants counted Morgan Stanley with a net gain of 23 experienced advisors in the first half of 2026 and Merrill with a net loss of 404.

Wirehouse

Morgan Stanley

Wealth Management client assets (advisor-led plus self-directed) · Jun 2026
$8.08 trillion1
Advisor-led client assets · Jun 2026
$6.27 trillion1
Wealth Management net revenues, second quarter 2026 · Jun 2026
$8.9 billion1
Net change in experienced wirehouse advisors, first half 2026 (Diamond Consultants) · Jun 2026
+2311
Parent company
Morgan Stanley3
Ownership
Public (NYSE: MS)3
Headquarters
New York, N.Y.3

How advisors affiliate

  • Employee advisor
Full Morgan Stanley profile and news →

Wirehouse

Merrill

Merrill client balances · Jun 2026
$4.1 trillion2
Merrill assets under management · Jun 2026
$1.8 trillion2
Net change in experienced wirehouse advisors, first half 2026 (Diamond Consultants) · Jun 2026
-40412
Parent company
Bank of America Corp.2
Ownership
Public, through parent (NYSE: BAC)2
Business segment
Global Wealth & Investment Management4

How advisors affiliate

  • Employee advisor
Full Merrill profile and news →

Key differences

  • Size: Morgan Stanley reported $8.08 trillion in wealth management client assets at June 30, 2026, including $6.27 trillion in advisor-led assets and E*Trade's self-directed accounts. Merrill reported $4.1 trillion in client balances and $1.8 trillion in assets under management at June 30, 2026.1,2
  • Ownership: Both are units of public companies, Morgan Stanley (NYSE: MS) and Bank of America (NYSE: BAC). Merrill sits in Bank of America's Global Wealth & Investment Management segment and targets households with more than $250,000 in investable assets.2,3,4
  • Payout grid: Morgan Stanley's grid ranges from 28% to 55.5% and is unchanged for 2027, though revenue thresholds rise 10%; a $1 million producer keeps 44% under the current grid, Financial Planning reported in September 2026. Merrill left its standard cash grid of 34% to 51% unchanged for 2026, AdvisorHub reported in September 2025.5,6,7
  • Small accounts and deferrals: Merrill's 2026 plan pays a reduced 20% on households with $250,000 to $500,000 and nothing on households under $250,000. Morgan Stanley's 2026 plan roughly halved the share of advisor pay it defers, moving more into upfront cash.7,8
  • Recruiting: Merrill offered top producers with $5 million or more in revenue deals worth up to 400% of trailing-12-month revenue, with up to 250% upfront and a nine-year commitment, AdvisorHub reported in December 2023. Morgan Stanley's forgivable recruiting and retention loans to advisors totaled nearly $4.9 billion at year-end 2025, typically amortizing over nine to 12 years.9,10
  • Advisor movement: Diamond Consultants counted a net gain of 23 experienced advisors at Morgan Stanley and a net loss of 404 at Merrill in the first half of 2026.11,12

Questions

Which pays advisors more, Morgan Stanley or Merrill?

It depends on production and household mix. Morgan Stanley's grid runs from 28% to 55.5%, with a $1 million producer keeping 44% under the current grid (Financial Planning, September 2026). Merrill's 2026 standard cash grid runs from 34% to 51% (AdvisorHub, September 2025), but it pays only 20% on households with $250,000 to $500,000 and nothing below $250,000. The grids are reported for different plan years and aren't built the same way.

Is Morgan Stanley bigger than Merrill?

By reported client assets, yes. Morgan Stanley reported $8.08 trillion in wealth management client assets at June 30, 2026, including self-directed E*Trade accounts, or $6.27 trillion advisor-led. Merrill reported $4.1 trillion in client balances at the same date. Neither firm publishes a current advisor headcount.

Which firm is losing more advisors?

Diamond Consultants counted Merrill as the biggest net loser of experienced advisors among the four wirehouses in the first half of 2026, down 404, while Morgan Stanley was up 23.

What recruiting deals do Morgan Stanley and Merrill offer?

Merrill offered up to 400% of trailing-12-month revenue to teams with $5 million or more in production, with up to 250% upfront and a nine-year commitment, according to a December 2023 AdvisorHub report. Morgan Stanley's profile doesn't list a current deal percentage, but its forgivable advisor loans stood at nearly $4.9 billion at year-end 2025, typically amortizing over nine to 12 years.

Sources

  1. 1Morgan Stanley: Second Quarter 2026 Earnings Results Quarterly Financial Supplement (Jul 2026) →
  2. 2Bank of America: Bank of America Second Quarter 2026 Earnings Press Release (Jul 2026) →
  3. 3Morgan Stanley: Morgan Stanley Second Quarter 2026 Earnings Results (Jul 2026) →
  4. 4Bank of America: Bank of America Review & Update Second Quarter 2026 (Fixed Income Investor Materials) (Jul 2026) →
  5. 5Financial Planning: Morgan Stanley asks advisors to produce more to keep same pay (Sep 2026) →
  6. 6ThinkAdvisor: Morgan Stanley Advisors Face Higher Revenue Hurdles in 2027 (Sep 2026) →
  7. 7AdvisorHub: 2026 COMP: Merrill Lynch Doubles 'Small Household' Threshold to $500K (Sep 2025) →
  8. 8AdvisorHub: 2026 COMP: Morgan Stanley Reworks Deferred Comp, Boosting Advisors' Take-Home Pay (Sep 2025) →
  9. 9AdvisorHub: Merrill Seeks 'Momentum Change' With 400% Recruiting Deals–Sources (Dec 2023) →
  10. 10AdvisorHub: Morgan Stanley Recruiting Loan Tab Nears $5 Billion (Feb 2026) →
  11. 11Wealth Solutions Report: Diamond Report Finds Accelerating Wirehouse Advisor Movement In H1 2026 (Oct 2026) →
  12. 12Wealth Solutions Report: Diamond Report Finds Accelerating Wirehouse Advisor Movement In H1 2026 (Oct 2026) →

Built only from each firm’s sourced Financial ADVSR profile; figures carry their own as-of dates and may measure different things at each firm. Not investment or career advice. Spot an error? Tell the editors.