Morgan Stanley is looking to set up a financial mathematics research base in Eastern Europe and will choose one of three cities including Budapest as the location, business daily Napi Gazdaság reported.

Morgan Stanley will decide in November where to place the base, which will hire about 25 researchers, said Ervin Győri, deputy head of a Budapest mathematical research institute. Researchers will probably start work in March, Győri added. Morgan Stanley, the largest U.S. securities firm by market value, is joining other companies that have already established research and development facilities in Eastern Europe where labor is cheaper. Ericsson, the world's largest maker of mobile phone networks and SAP AG, the No. 1 maker of business-management software are among companies that have moved researchers to Hungary.