We discussed this week how Wall Street was increasingly investing in green companies and adopting green practices. While we noted that Goldman Sachs, in part due to the personal interests of former CEO Henry Paulson, was considered the leader of the pack, Morgan Stanley--not to be out done--announced that it will invest $3 billion in projects oriented around reducing greenhouse gas emissions. The move marks a significant expansion of the bank's existing carbon trading activities that it launched in 2004 within its commodities division. Most of the $3 billion will be spent on commitments to purchase carbon credits. It seems that Morgan aims to be the most influential market maker in this still nascent market.

For more on this:
- Here's a press release