Hedge Funds

Morgan Stanley preps fund administration


Morgan Stanley is getting ready to launch a hedge fund administration business in early 2005 in a play to offer prospective prime brokerage clients with yet another service and earn additional fees from those that opt to use it.

The leading prime brokerage provider had already been offering its hedge fund clients many services associated with fund administration, including fund accounting, risk analytics, tax management and performance measurement and attribution.

But by setting up a separate entity that will also provide such things as onshore and offshore accounting, "middle-office" and compliance assistance, investor services and calculation of fund net asset