Wealth Manager - the site for professional investment managers

Register to get unlimited access to all of Citywire’s Fund Manager database. Registration is free and only takes a minute.

Morgan Stanley in double ‘alpha and alternative’ fund launch

Morgan Stanley in double ‘alpha and alternative’ fund launch

Morgan Stanley has launched two new funds to offer exposure to different types of alternative alpha strategies.

The Liquid Alpha Capture fund will be managed by Ryan Meredith and Janghoon Kim, and will seek to generate absolute returns through strategies derived from hedge funds.

The Morgan Stanley team will analyse a universe of around 22,000 hedge funds and identify a top tier of between 20 and 50. It will then conduct a bottom-up review of the publicly disclosed holdings of these stars in order to develop quantitative processes for capturing their ideas. The managers will also draw on hedge funds’ alternative beta ideas.

The fund’s annual management charge will be 0.75%, and it will only invest in assets liquid enough to enable daily dealing.

Morgan Stanley has also unveiled a Liquid Alternatives fund, which will invest ‘primarily in non-traditional asset classes’ both directly and through other funds.

As examples of the types of asset the fund will buy, Morgan Stanley cited emerging-market debt, high-yield debt, convertible bonds, real estate, commodities, frontier-market equity, insurance-linked strategies, mortgage-backed securities, infrastructure, private equity, and absolute-return funds.

The Liquid Alternatives fund will be managed by Meredith, Kim, Joseph McDonnell and Rui De Figueiredo. Its annual management charge will be 0.60%.

Leave a comment!

Please sign in or register to comment. It is free to register and only takes a minute or two.
Citywire TV
Play Nick Hayes: finding good bonds in negative yield world

Nick Hayes: finding good bonds in negative yield world

Why do some bonds offer 'negative yields' and how do you avoid them? Nick Hayes of AXA Investment Managers explains.

Play Neil Gregson: gold is prettiest in ugly contest

Neil Gregson: gold is prettiest in ugly contest

The JP Morgan Natural Resource fund manager talks about the prospects for gold with plenty of uncertainty in the global economy.

Brewin's Gutteridge & Foster talk property with Standard Life's Baggaley

Brewin's Gutteridge & Foster talk property with Standard Life's Baggaley

Gutteridge and Foster discuss UK commercial property with Jason Baggaley, manager of the Standard Life Property Income investment trust

Your Business: Cover Star Club

Profile: Creechurch Capital’s CEO on going the extra mile in a crowded market

Profile: Creechurch Capital’s CEO on going the extra mile in a crowded market

Growing a business is the main aim of many company owners but managing that growth in a controlled way is just as important

Wealth Manager on Twitter