Morgan Stanley in biggest acquisition by Wall St, bank in 12 years

Morgan Stanley and E-Trade offices are seen in these file pictures. - Reuters

NEW YORK: Morgan Stanley said on Thursday it would buy discount brokerage E*Trade Financial Corp in a stock deal worth about $13 billion, the biggest acquisition by a Wall Street bank since the 2008-2009 financial crisis.

Part of a broader consolidation in the discount brokerage sector, the move will add breadth to Morgan Stanley's wealth management unit, a business that Chief Executive Officer James Gorman has been trying to build out to insulate the bank from weak periods for trading and investment banking.