Morgan Stanley seeks approval to offer first U.S.-

the big apple Morgan Stanley (MS.N) has requested securities regulators for the proper to launch its first U.S.-indexed exchange-traded budget, marking the cutting-edge example of a huge Wall street funding supervisor dating traders' growing use of these funds.

The business enterprise's asset control unit asked the U.S. Securities and change commission for permission to release "passive" ETFs that would mimic marketplace indexes in addition to "actively managed" ETFs, which allow portfolio managers to pick a set of stocks and bonds they assume to overcome the marketplace.

The pass comes as companies like funding management and wealth that provide greater solid varieties of revenue are growing in significance to Morgan Stanley and other Wall road banks amid regulatory strain that have crimped increase in traditional earnings regions like buying and selling.

The Morgan Stanley request got here in  programs filed past due on Friday.

A spokeswoman for Morgan Stanley declined to comment similarly on the filings.

In October, Morgan Stanley named former capital markets executive Dan Simkowitz as head of the unit, which includes conventional asset management, opportunity investments and the service provider bank. investment management represents less than 10 percent of the company's ordinary sales, and Morgan Stanley is actively seeking to develop this unit by means of introducing new merchandise.

in the first area, sales from traditional asset control fell 8 percent to $403 million from the yr-in the past duration. 

Morgan Stanley's conventional asset-management commercial enterprise oversaw $371 billion as of March 31.

corporations from Goldman Sachs group Inc (GS.N) to JPMorgan Chase & Co (JPM.N), Legg Mason Inc (LM.N) and Franklin Templeton Investments (BEN.N) were launching new price range and buying ETF corporations over the past numerous months. Their desire is to seize a slice of the ETF business, now accountable for $three trillion globally.

Goldman final September released its personal first-ever U.S. ETF.

within the mid-Nineteen Nineties, Morgan Stanley sponsored a number of the earliest ETFs via its indexing associate MSCI (MSCI.N), that is now an independent enterprise. those ETFs are actually managed via BlackRock Inc (BLK.N).