(Adds quotes from CEO and CFO about investment banking

activity)

By Tatiana Bautzer

NEW YORK, July 21 (Reuters) - Morgan Stanley ( MS ) has

hired Aftab Shahsingh from UBS to lead industrial

services coverage in its investment bank in North America,

according to a source familiar with the situation.

Shahsingh has worked in industrial services for over 15

years and led more than 50 advisory and capital-raising

transactions since 2020, said the source, who declined to be

identified discussing personnel matters. Shahsingh will join

Morgan Stanley ( MS ) later this year.

The bank has been adding to its industrials practice with

recent hires, including David Hammond in metals and mining and

Sean Murray for chemicals, both from Goldman Sachs ( GS ), and Andy

Lipsky and Chris Khouri for industrial technology coverage from

JPMorgan Chase ( JPM ).

Last week, Morgan Stanley ( MS ) reported a profit that beat Wall

Street estimates in the second quarter, but its investment

banking revenue shrank. The bank saw a pick-up in activity in

the latest part of the second quarter, CEO Ted Pick told

investors during the earnings call.

"The second half ended with increasing engagement and a

steady rebound in capital markets," Pick told analysts.

Chief Financial Officer Sharon Yeshaya told Reuters in an

interview the bank is optimistic about M&A discussions.

"Companies are looking past tariffs for strategic movements and

growth," she said.