On the one hand, Morgan Stanley CEO John Mack did what everyone thought was wise as the credit crunch unraveled. He ratcheted down risk and took aim at becoming a more stable, deposit-oriented business--a far cry from the investment banks pre-crisis. And yet the bank has posted losses for three quarters in row, as other top banks have posted big profits.

A recent New York Times piece suggests that, fairly or not, he will be judged in large part according to how Morgan Stanley fares against resurgent Goldman Sachs. That strikes me as unfair. If he truly intends to turn Morgan Stanley into a different kind of animal, he ought to be considered against like companies. One danger here is that he pays attention to his critics and leaves the bank with a muddled strategy. In any case, the pressure is on. 

For more:
- here's the article

Related Articles:
Morgan Stanley: No imminent retail bank deal
John Mack inventing the future?
Who will run Morgan Stanley?