"Since the onset of the credit crisis one year ago, Morgan Stanley's financial performance and risk management has been inconsistent, and below the levels expected of a Aa3-rated financial institution," Moody's said. The most likely result of the rating review will be a cut from "Aa3," the fourth highest investment grade, to the one notch lower "A1" Moody's said. Morgan Stanley has profitable franchises in investment banking, equities, commodities and prime brokerage, but it also has risky concentrations in commercial real estate and leveraged loans, Moody's said.