WDR - Asset managers gain as Morgan Stanley long bets on money management

The market turns bullish as Morgan Stanley goes on buying spree with the latest purchase of asset manager Eaton Vance (EV) in a $7B cash-and-stock deal.Eaton Vance +48%. Most asset management firms rise, with 180 Degree Capital (TURN) up 5.3%. By names, Sculptor Capital Management ([[SCU]] +5.8%), Waddell & Reed Financial ([[WDR]] +8.1%), Artisan Partners Asset Management ([[APAM]] +6%), Federated Hermes ([[FHI]] +8.4%), Ameriprise Financial ([[AMP]] +2.05%), and Affiliated Managers Group ([[AMG]] +3.6%).The deal comes just days after closing of $13B acquisition of online brokerage E*Trade, in a move to shift towards the safer businesses like money management.Morgan Stanley could execute a "string of pearls-type acquisition" and scale-up its fixed-income platform but not by betting on one, said CEO James Gorman in earnings call."Eaton Vance is a perfect fit for Morgan Stanley," he said.Eaton Vance shareholders will receive $28.25/share in cash and 0.5833 share of Morgan Stanley, a total of about $56.50 per share.The transaction is expected to close

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Asset managers gain as Morgan Stanley long bets on money management