EXHIBIT 12

Morgan Stanley

Ratio of Earnings to Fixed Charges

and Ratio of Earnings to Fixed Charges and Preferred Stock Dividends

(dollars in millions)

(unaudited)

	Six Months Ended June 30, 2013		2012			2011		2010		2009		Fiscal 2008		One Month Ended December 31, 2008
Ratio of Earnings to Fixed Charges
Earnings:
Income (loss) before income taxes(1)	$	2,686	$	(110	)	$	6,559	$	4,568	$	1,117	$	1,081	$	(1,993	)
Add: Fixed charges, net		2,574		6,206			7,166		6,684		7,112		36,636		1,180
Income (loss) before income taxes and fixed charges, net	$	5,260	$	6,096		$	13,725	$	11,252	$	8,229	$	37,717	$	(813	)
Fixed Charges:
Total interest expense	$	2,431	$	5,912		$	6,880	$	6,405	$	6,861	$	36,412	$	1,160
Interest factor in rents		143		294			286		279		251		224		20
Total fixed charges	$	2,574	$	6,206		$	7,166	$	6,684	$	7,112	$	36,636	$	1,180
Ratio of earnings to fixed charges		2.0		1.0			1.9		1.7		1.2		1.0			*
Ratio of Earnings to Fixed Charges and Preferred Stock Dividends
Earnings:
Income (loss) before income taxes(1)	$	2,686	$	(110	)	$	6,559	$	4,568	$	1,117	$	1,081	$	(1,993	)
Add: Fixed charges, net		2,574		6,206			7,166		6,684		7,112		36,636		1,180
Income (loss) before income taxes and fixed charges, net	$	5,260	$	6,096		$	13,725	$	11,252	$	8,229	$	37,717	$	(813	)
Fixed Charges:
Total interest expense	$	2,431	$	5,912		$	6,880	$	6,405	$	6,861	$	36,412	$	1,160
Interest factor in rents		143		294			286		279		251		224		20
Preferred stock dividends		65		96			380		1,001		2,041		122		496
Total fixed charges and preferred stock dividends	$	2,639	$	6,302		$	7,546	$	7,685	$	9,153	$	36,758	$	1,676
Ratio of earnings to fixed charges and preferred stock dividends		2.0		1.0			1.8		1.5		0.9		1.0			*

(1) Income (loss) from continuing operations before income taxes does not include dividends on preferred securities subject to mandatory redemption, gain (loss) on discontinued operations, noncontrolling interests and income or loss from equity investees.

Fixed charges consist of interest cost, including interest on deposits, interest on discontinued operations, dividends on preferred securities subject to mandatory redemption, and that portion of rent expense to be representative of the interest factor.

Fixed charges do not include interest expense on uncertain tax liabilities as the Company records these amounts within the Provision for income taxes.

The preferred stock dividend amounts represent pre-tax earnings required to cover dividends on preferred stock.

* The earnings for the one month ended December 31, 2008 were inadequate to cover total fixed charges and total fixed charges and preferred stock dividends.

The coverage deficiency for total fixed charges for the one month ended December 31, 2008 was $1,993 million.

The coverage deficiency for total fixed charges and preferred stock dividends for the one month ended December 31, 2008 was $2,489 million.