Morgan Stanley’s new exchange-traded fund platform will focus on actively managed funds, with Anthony Rochte, global head of ETFs at Morgan Stanley, seeing a “significant uptick in active transparent fixed income purchasing.” Rochte told ETF.com at the recent Exchange conference in Miami that “There's no doubt active management is where we're focused in additional series of ETFs. At the core of Morgan Stanley Investment Management is active management; that’s what we do.” The financial services giant made its return to the ETF industry on February 1st with the launch of six Calvert ETFs, including an active ultra-short investment grade ETF. Rochte stated that the firm is looking to launch funds across its Calvert, Eaton Vance, and Morgan Stanley brands. More specifically, he stated, “In the next suite of products you could expect to see from us, the ETF platform would be active, transparent.” According to ETF.com data, $57.4 billion flowed into active products last year as passive investments were hammered by the markets. Active funds comprise $407.9 billion of the ETF market, with many financial professionals seeing that segment growing. Currently, there are 1,027 actively managed ETFs in the U.S. market. With Morgan Stanley looking to add to its product suite, transparent, fixed-income products are squarely in focus, according to Rochte.
Finsum:With many financial professionals expecting the active ETF segment to grow, Morgan Stanley is looking to add to its product suite with a focus on actively managed transparent fixed-income funds.