Morgan Stanley Investment Management Launches Morgan Stanley Institutional Fund Trust Long Duration Fixed Income Portfolio.
Morgan Stanley Investment Management (MSIM) today announced that it has launched the Morgan Stanley Institutional Fund Trust (MSIFT) Long Duration Fixed Income Portfolio. The primary objective of the Fund is to offer pension plans, endowments and foundations the opportunity to more closely match the duration of their plan assets with their liabilities.
"The MSIFT Long Duration Fixed Income Portfolio will help us serve the needs of clients in this sector whose investments are below the separate account minimum," said W. David Armstrong, Long Duration Fixed Income Portfolio Manager.
MSIM's Long Duration strategy seeks to provide investors with an above average total return over a market cycle of three to five years. To help achieve its objectives, the Fund will invest primarily in a diversified mix of dollar-denominated investment grade fixed income issues, particularly U.S. government, corporate and mortgage-backed securities. In building the Fund's portfolio, the team will utilize the same research-intensive value approach that they employ for all fixed income portfolios.
"The potential benefit of a Long Duration portfolio is that investors can position themselves further out on the yield curve than they can with Core and Core Plus portfolios," said David S. Horowitz, MSIFT Long Duration Fixed Income Portfolio Manager. "And now, our research-driven, value approach to this strategy, which is appealing to a broad range of investors, is available not only as a separate account but through a mutual fund vehicle as well."
The Portfolio will be managed by W. David Armstrong and David S. Horowitz, who together have nearly 40 years of investment experience and head up MSIM's Long Duration investment team. The combined team is comprised of 58 investment specialists, with a special focus on research in the following areas: credit, global bonds, mortgage-backed securities and interest rate analysis. At every stage, the investment process is supported by rigorous fundamental and quantitative research. Strict risk management is applied in portfolio construction and risk is managed daily to help ensure consistency with portfolio objectives and overall systematic risk targets.
"MSIM has managed Long Duration institutional separate accounts for many years, but we haven't before offered an institutional fund with a duration target longer than seven years," said Owen Thomas, President and Chief Operating Officer of MSIM. "The MSIFT Long Duration Fixed Income Portfolio will expand and complement our institutional fund line-up, which is one of our key priorities. As we move forward, we will continue to strengthen our institutional offerings and provide our clients with high quality products and services."
Morgan Stanley (NYSE: MS) is a global financial services firm and a market leader in securities, investment management and credit services. With more than 600 offices in 30 countries, Morgan Stanley connects people, ideas and capital to help clients achieve their financial aspirations.
Morgan Stanley Investment Management, Inc., the Fund's investment adviser, is a wholly owned subsidiary of Morgan Stanley. MSIM, with over 400 investment professionals around the world, has more than of $440 billion in assets under management and supervision as of May 31, 2006. MSIM offers investment management services to a diverse client base of institutions, including governments, corporations, endowments and foundations, as well as individual investors.
The information or opinions contained herein should not be construed as an offer to sell or the solicitation of an offer to buy any security nor shall any such security be offered or sold to any person in any jurisdiction in which such offer, solicitation, purchase, or sale would be unlawful under the securities laws of such jurisdiction. The information contained herein is descriptive of the operations of Morgan Stanley Investment Management as a whole and the services, securities and financial instruments described may not be available to or suitable for investment. Not all strategies are appropriate at all times. The opinions expressed herein do not constitute investment advice. No representation is made that the information contained herein is accurate or complete.
The views and opinions expressed above are those of the portfolio management team at the time of writing and are subject to change based on market, economic and other conditions.
Funds are subject to market risk, which is the possibility that the market values of securities owned by the fund will decline and that the value of fund shares may therefore be less than what you paid for them. Accordingly, you can lose money investing in this fund. Please be aware that this fund is subject to certain additional risks, including those associated with:
--Fixed Income - Credit risk refers to the possibility that the issuer of a security will be unable to make interest payments and repay principal on its debt. Interest-rate risk refers to fluctuations in a security's value resulting from changes in the general level of interest rates. In a rising interest rate environment, bond prices fall.
--Mortgage-backed securities - Faster or slower prepayments than expected on underlying mortgage loans can dramatically alter the yield-to-maturity of a mortgage-backed security and prepayment risk includes the possibility that the fund may invest the proceeds at generally lower interest rates.
--Derivative instruments - Investments in derivatives could magnify volatility.
Please consider the investment objectives, risks, charges and expenses of the portfolio carefully before investing. The prospectus contains this and other information about the portfolio. You can obtain a prospectus by contacting MSIM. Please read the prospectus carefully before you invest or send money.
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|Date:||Jul 31, 2006|
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