Morgan Stanley Expands Research Unit to Cover Private Companies in Major Market Shift

Major financial firm Morgan Stanley has formally introduced a new research offering focused specifically on private companies, according to an internal memo seen by reporters. The move reflects growing investor interest in high-growth start-ups and mature private firms that have opted to stay out of public markets.

The new portal will provide clients with insights into leading private‐market players, including emerging AI firms and tech start-ups, covering their competitive dynamics, valuations, strategic positioning and potential market impact. Morgan Stanley noted that while it has covered private companies since 2017, this next phase expands both the depth of analysis and the number of companies tracked.

Competition is rising: other Wall Street heavyweights such as JPMorgan Chase and Citigroup began publishing private‐company research earlier this year, signalling that this segment is becoming central to institutional strategy.

Analysis / Impact:
Morgan Stanley’s pivot underscores a broader shift in how financial institutions are responding to the fact that many of the most influential companies today remain privately held. With thousands of firms valued at over $1 billion (“unicorns”) and more staying private longer, traditional public-market research models are less adequate.

For investors, the new offering promises earlier access to analysis of the firms shaping sectors from AI and biotech to mobility and fintech. For Morgan Stanley, it opens a potential growth stream—research on private companies can deepen client engagement, support advisory services and position the bank ahead of a major trend.

However, research on private firms carries its own risks: data transparency is lower, valuations can be more speculative, and firms may lack the public reporting governance of listed companies. Analysts will need to refine their models and methodologies accordingly.