Morgan Stanley is reviewing the position of its chief risk officer amid mounting internal recriminations following this week's $9.4bn (£4.7bn) writedown on subprime losses.

A number of senior executives say the officer, Tom Daula, was too late in sounding the alarm about the dangers stemming from the bank's exposure to subprime-related trades, or used language that was too technical or obscure. Mr Daula's supporters within the bank say his repeated warnings were ignored.