Open for Trading: Morgan Stanley Choice Select
With Choice Select—an innovative, first-of-its-kind pricing solution for brokerage accounts—you can trade and invest as actively as your strategy requires.
Choice Select allows you to invest your way, with:
- Innovative pricing—a transparent, sliding-scale commissions schedule for eligible equity and option1 trades in your brokerage account.2 The more you trade, the lower your marginal commissions rate.
- Complete investment access — enjoy Morgan Stanley’s full array of brokerage investments, including capital markets products such as structured investments and Strategic Equity Portfolios (“STEPs”).3
- Flexibility — hold all Morgan Stanley investment products in one account. Group with other eligible accounts (for example, IRAs) to lower your trading costs.4
- Quarterly billing — pay commissions on your Choice Select trades at the end of a quarter and gain greater control over your cash flow.
- Convenient tax reporting — have your quarterly commissions automatically applied to each eligible transaction, for simplified gain/loss and year-end tax reporting.5
- Online trading — place your trades anytime with Choice Select Online.SM
Speak to your Morgan Stanley Financial Advisor today about how you can benefit from trading up — to Choice Select.
1 Options are not suitable for all investors.
2 Choice Select commissions are calculated and charged quarterly in arrears based upon the Principal Volume (“PV”) of the eligible equity and option transactions executed in your Brokerage Account, according to the declining marginal commission schedule detailed below. “Principal Volume” means the total purchase or sale price of securities, net of any fees. It is the price of the security you are buying, selling or shorting multiplied by the quantity.
Quarterly commissions replace the commissions that you would otherwise be charged on a trade-by-trade basis in your Brokerage Account. Choice Select pricing follows an annual schedule based on your Choice Select anniversary date. As you trade throughout the year, your PV grows and your marginal commission rate declines. On the day after your Choice Select anniversary date, your PV resets to zero and the cycle begins again. Choice Select pricing applies only to eligible equity and option transactions. All other transactions (e.g., fixed income and mutual funds) are subject to loads, mark-ups/mark-downs and/or other applicable fees.
3 Investments in structured products involve risks, including but not limited to, price and yield fluctuations, loss of principal and limited liquidity. Strategic Equity Portfolios (“STEP”) are structured and monitored on an ongoing basis by members of Morgan Stanley’s STEP Portfolio Strategy Team and may be purchased in a single transaction as individual stocks. Periodically, changes in the portfolios are recommended; investors then decide whether the recommendation makes sense for their particular financial situation. After an investor purchases the STEP, the same stocks will remain in his or her account unless individual stocks are bought or sold in response to subsequent changes in the model STEP or as otherwise individually determined by the investor. Investors should ask their Financial Advisor about the commission charges associated with STEPs and whether STEPs are suitable for them.
4 Certain brokerage accounts with Choice Select pricing in the same statement account link group may be grouped together to aggregate PV and thereby lower the group’s commission rates. Please ask your Financial Advisor for details.
5 Morgan Stanley and its Financial Advisors do not provide tax or legal advice. Individuals should consult their personal tax and legal advisors before making any tax or legal-related decisions.
Choice Select pricing is an alternative way to pay commissions on equity and option transactions in a brokerage account. Any investment advice is solely incidental to Morgan Stanley’s business as a broker-dealer. Clients do not pay for, nor do they receive, a level of advice different from that provided to other full-service brokerage clients who pay on a per-trade basis.
Morgan Stanley, Choice Select and Choice Select Online are service marks of Morgan Stanley.
Investments and services are offered through Morgan Stanley & Co. Incorporated, member SIPC.
