The fund will invest in a range of Asia ex-Japan fixed income securities with no sector limitations.
Through a top-down macro assessment process, the fund will invest in hard and local currency debt, sovereign and corporate debt, the firm said.
“Following a growing emphasis on Asian bonds within the global strategy, the decision to launch the Asia Fixed Income Opportunities fund highlights our confidence in, and commitment to, this fast growing region,” said Michael Kushma, portfolio manager of the fund and global fixed income chief investment officer.
Kushma is the lead manager on the Morgan Stanley Global Fixed Income Opportunities fund, which invests across the global fixed income spectrum such as currencies, credit, and interest rate markets.
A look at the performance of Morgan Stanley Asia Fixed Income Opportunities, which has been available in Luxembourg and Switzerland since Feburary, against the category of Asia-Pacific including Japan fixed income funds in the offshore universe:
A look at the three-year performance of the Morgan Stanley Global Fixed Income Opportunities against its benchmark: