Certificate of Deposit (CD) with Morgan Stanley

Protect capital, lock in a competitive fixed rate, and plan cash flows with a Certificate of Deposit (CD) available through Morgan Stanley. Designed for savers and income-focused investors, brokered CDs combine the simplicity of a traditional time deposit with the convenience, selection, and service you expect from a leading wealth manager.

When you purchase a CD through Morgan Stanley, you can choose from a range of terms—typically from three months to five years—issued by multiple U.S. banks. Your rate is set at purchase, so your return is predictable for the entire term, regardless of market fluctuations.

Key Benefits

• Fixed, predictable interest for the full term
• Access to CDs from multiple issuing banks in one platform
• FDIC insurance up to applicable limits per depositor, per insured bank and ownership category
• Flexible term selection for short-, mid-, or long‑term goals
• Potential secondary market liquidity if you need to sell before maturity
• Eligible for taxable accounts, trusts, and many IRAs

How a Morgan Stanley CD Works

These are brokered CDs: Morgan Stanley offers new-issue and secondary-market CDs that are issued by FDIC-insured banks. You purchase at a stated price and receive interest according to the CD’s schedule—monthly, quarterly, semiannual, or at maturity—until the term ends. At maturity, your principal is returned by the issuing bank, and you can reinvest, ladder across new terms, or transfer proceeds to cash. The payment of principal and interest is subject to the credit of the issuing bank.

Safety and Transparency

Principal and interest on CDs are obligations of the issuing bank. If the issuer is FDIC-insured, coverage generally applies up to $250,000 per depositor, per insured bank, per ownership category. Because CDs purchased through Morgan Stanley may come from different banks, you can diversify issuers to help optimize FDIC coverage while staying within statutory limits. Note that FDIC insurance covers bank failure risk; it does not protect against price changes if you sell before maturity.

Liquidity and Early Access

Unlike branch CDs, brokered CDs typically cannot be “broken” early with a bank penalty. If you need funds before maturity, you may sell a CD in the secondary market through Morgan Stanley. Market prices fluctuate with interest rates, remaining term, and issuer credit, so you may receive more or less than face value. Some CDs may be callable, meaning the issuing bank can redeem them early; call features will be disclosed before you buy.

CD Laddering Strategy

To balance yield and access, build a CD ladder—staggering maturities across, for example, 6, 12, 18, 24, and 36 months. As each rung matures, you can reinvest at current CD rates or redirect the cash to new opportunities. Laddering helps smooth reinvestment risk, provides periodic liquidity, and can enhance overall returns compared with holding a single maturity.

Why Choose Morgan Stanley

Working with Morgan Stanley gives you curated CD inventories, transparent pricing, and the ability to integrate CDs into a broader fixed income strategy. Pair CDs with U.S. Treasuries and high-quality bonds for diversified income, or use CDs as a secure savings anchor alongside money market funds and cash management solutions—all within one consolidated view.

Rates, Terms, and Minimums

CD rates vary by term, issuer, call features, and market conditions. Minimum investment amounts typically start at a set denomination per CD; your Morgan Stanley team can provide the current schedule and available offerings. There are no bank early-withdrawal penalties on brokered CDs; standard brokerage commissions or markups may apply and will be disclosed on your trade confirmation.

Who It’s For

• Conservative investors seeking capital preservation and fixed income
• Households planning for near-term expenses with a secure savings vehicle
• Retirement savers who prefer FDIC-insured options inside IRAs
• Investors reallocating from cash or money markets to longer-dated fixed rates

Risks and Considerations

Brokered CDs carry interest rate risk if sold before maturity; prices generally fall when rates rise. Callable CDs introduce reinvestment risk if redeemed early by the issuer. Inflation can erode real returns. FDIC insurance applies to covered bank failures, while securities held in a brokerage account are subject to SIPC protections for custody risks, not market losses. Review each CD’s disclosure for details before investing.

Digital Access and Support

Track your CDs in Morgan Stanley Online with clear labeling for issuer, coupon, maturity date, and insurance status. Set alerts for upcoming maturities, view interest payments, and access statements and tax documents. Your Financial Advisor can help you compare CD offerings, build a ladder, and align fixed income choices with your broader wealth plan.

Getting Started

Open or use your existing Morgan Stanley brokerage or advisory account, review current CD inventories, select terms that match your time horizon, and place your order online or through your advisor. Choose a Certificate of Deposit through Morgan Stanley to help safeguard cash, earn steady interest, and plan with confidence—one straightforward investment at a time.

Address Bank: Morgan Stanley Building New York City, New York, U.S.
Bank: Morgan Stanley
Headquarters: New York City
Products: Deposit Accounts
Type: Certificate of Deposit (CD)