Morgan Stanley has begun using technology from Hyperlayer to control how eligible wealth management clients spend money borrowed against their securities.
According to The Paypers, clients can receive the loan proceeds directly into their existing accounts rather than opening a separate account for the funds.
Hyperlayer developed the technology to work with Morgan Stanley’s existing banking systems instead of replacing them.
Clients will see the loan proceeds in the same account as their other money. The funds will be marked separately, however, and cannot be used for transactions outside the limits set by Morgan Stanley.
Rob Rooney, Hyperlayer’s CEO, told The Paypers that customers would have all their money in one place. The bank, meanwhile, would still be able to monitor the loan funds and keep a record of transactions.
Aleksey Shevchenko, who heads Deposits and Core Banking Technology at Morgan Stanley, said the bank was looking at other ways to use the technology.
For large banks, replacing core banking systems is rarely a simple task. Rooney said Hyperlayer was designed with this in mind. It adds controls to the infrastructure banks already have them rather than asking them to replace it.
Hyperlayer did not start out as a banking technology provider. Its roots go back to HyperJar, a UK app for families. It lets parents set rules for how their children spend money. Rooney puts HyperJar’s user base at around 600,000. The company now works with several large banks.
Rooney and co-founder Paul Rolles both previously worked at Morgan Stanley.
AI-powered shopping is another area Rooney mentioned as a potential use for Hyperlayer. Banks could use the technology to decide what AI agents are allowed to buy and set spending limits for them. The idea is similar to the controls parents use in HyperJar to manage their children’s spending.
Hyperlayer raised £19.5 million in October 2026 in a Series A2 round. The funding put its valuation at £195 million.
