The bank, which last bought back shares in 2008, could make the request when it submits plans for its annual stress test in January, the Journal said.
Regular stress tests are part of a more rigorous regime required by the 2010 Dodd-Frank Act financial oversight law. They are designed to ensure banks have enough capital cushions and are not being overly aggressive in returning cash to shareholders.
"There's an incentive to push for what you can get, but you also don't want" to get denied, a Morgan Stanley official told the Journal.
In March, Citi (NYSE: C) and MetLife (NYSE: MET) led a list of financial institutions that failed to get permission to repurchase shares.
As of Sept. 30, Morgan Stanley had about $1.6 billion remaining under its current share repurchase authorization, according to a filing with the U.S. Securities and Exchange Commission. Share repurchases by the company are subject to regulatory approval, the bank said in the filing.
Morgan Stanley could not be reached for comment by Reuters outside of regular business hours.
Related Stories
Morgan Stanley Trader Faces Inquiry on Possible Manipulation
Morgan Stanley Chief Warns on Wall Street Pay
CNBC
CNBC is the recognized world leader in business news, providing real-time financial market coverage and business information to nearly 800 million homes worldwide, with headquarters on 3 continents and 20 bureaus around the globe. Award-winning journalists provide content on TV as well as online - where cnbc.com is the #1 non-portal business and news website. Our goal is for our consumers to Capitalize on CNBC - to increase their knowledge and profit from it. We want to make them the smartest people in the room; keep them ahead of the curve; make them members of an elite club.
The Alchemists: Three Central Bankers and a World on Fire
Hubris: How HBOS Wrecked the Best Bank in Britain
