Additionally, Morgan Stanley has demonstrated a proactive approach to regulatory scrutiny, particularly in terms of anti-money laundering (AML) controls within their wealth management sector, indicating a well-managed risk framework that is unlikely to hinder future growth. Fotheringham's confidence is also reflected in the increased target price for Morgan Stanley's stock, which is now based on an enhanced tangible common equity (TCE) multiple. This adjustment reflects a strong expected return on tangible common equity (RoTCE) and a sum-of-the-parts (SOTP) derived price-to-earnings (P/E) ratio. The overall assessment suggests that investors have begun to recognize the inherent value in Morgan Stanley's wealth management and investment management businesses, and Fotheringham anticipates a significant total return potential from the current valuation levels.