Morgan Stanley IM Opens Up American Resilience Equity Fund To UK Investors

The Morgan Stanley Funds (UK) American Resilience Equity fund is now available to UK investors, following the launch of the Luxembourg vehicle in 2022. 

American Resilience invests in a concentrated portfolio of 20 to 50 US-listed companies judged to have earnings resilience.

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It is managed by Morgan Stanley's international equity team, which has over 25 years of experience in managing global equity portfolios, using a bottom-up high quality investment approach.

The fund will seek to invest exclusively in robust, well managed, reasonably priced businesses that can sustain their high returns on operating capital over the long term. 

According to Morgan Stanley IM, the combination of these companies' earnings visibility, pricing power and recurring revenues, should help investors defend against challenging market environments and deliver resilient returns over the long term.

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William Lock, head of Morgan Stanley IM's international equity team, said: "We believe the secret to compounding is steady growth at sustained high returns on operating capital over the long term, something lower quality companies are unable to do. 

"Using the same time-tested investment process we have used to manage our Global Franchise strategy, we believe that the American Resilience strategy should deliver attractive long-term returns with resilience during testing times."

Rob Lunn, Morgan Stanley's head of UK & Ireland intermediary distribution, added the investment team has "proven experience in picking a portfolio of companies which can innovate, grow and adapt to market conditions during challenging times".

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