Morgan Stanley's AUM up 3% on liquidity strategy inflows

Morgan Stanley

Morgan Stanley (MS) Investment Management reported $417 billion in assets under management as of Sept. 30, up 3% from June 30 and also up 3% from a year earlier, said parent company Morgan Stanley's earnings statement on Wednesday.

Net inflows totaled $3.9 billion for the quarter ended Sept. 30, compared to net outflows of $1.7 billion for the quarter ended June 30 and net inflows of $11 billion for the quarter ended Sept. 30, 2015.

By asset class, net inflows of $5.4 billion went into liquidity strategies, while fixed income experienced net inflows of $950 million. Equities, meanwhile, saw net outflows of $1.9 billion, while alternatives saw net outflows of $500 million.

The earnings release also reported that liquidity strategies had $154 billion in assets as of Sept. 30, up 3% from June 30 and up 4% from Sept. 30, 2015. Alternatives had $117 billion in assets, up 2% from three months earlier and up 3% from a year earlier. Equity had $83 billion, up 2% from both three months earlier and a year earlier. Fixed income had $63 billion, up 3% from both June 30 and 12 months earlier.

Net revenue for MSIM totaled $552 million in the third quarter, down 5% from the previous quarter but up 101% from the year-earlier quarter. Results for the prior year quarter included the reversal of previously accrued carried interest associated with the Asia private equity business.

Investment management's net income was $67 million for the third quarter, compared to net income of $78 million for the quarter ended June 30 and a net loss of $9 million during the third quarter of 2015.