Morgan Stanley Inst Strategic Income IS
Name
As of 03/30/2022Price
Aum/Mkt Cap
YIELD
Annualized forward dividend yield. Multiplies the most recent dividend payout amount by its frequency and divides by the previous close price.
Exp Ratio
Expense ratio is the fund’s total annual operating expenses, including management fees, distribution fees, and other expenses, expressed as a percentage of average net assets.
Watchlist
$9.67
$26.5 M
2.17%
$0.21
0.57%
Vitals
YTD Return
-3.9%
1 yr return
-2.2%
3 Yr Avg Return
1.6%
5 Yr Avg Return
2.8%
Net Assets
$26.5 M
Holdings in Top 10
25.0%
52 WEEK LOW AND HIGH
$9.7
$9.66
$10.19
Expenses
OPERATING FEES
Expense Ratio 0.57%
SALES FEES
Front Load N/A
Deferred Load N/A
TRADING FEES
Turnover 38.00%
Redemption Fee N/A
Min Investment
Standard (Taxable)
$10,000,000
IRA
N/A
Fund Classification
Fund Type
Open End Mutual Fund
Name
As of 03/30/2022Price
Aum/Mkt Cap
YIELD
Annualized forward dividend yield. Multiplies the most recent dividend payout amount by its frequency and divides by the previous close price.
Exp Ratio
Expense ratio is the fund’s total annual operating expenses, including management fees, distribution fees, and other expenses, expressed as a percentage of average net assets.
Watchlist
$9.67
$26.5 M
2.17%
$0.21
0.57%
MSTCX - Profile
Distributions
- YTD Total Return -3.9%
- 3 Yr Annualized Total Return 1.6%
- 5 Yr Annualized Total Return 2.8%
- Capital Gain Distribution Frequency Annually
- Net Income Ratio 2.30%
- Dividend Yield 2.2%
- Dividend Distribution Frequency Monthly
Fund Details
-
Legal NameMorgan Stanley Institutional Fund Trust Strategic Income Portfolio
-
Fund Family NameMorgan Stanley
-
Inception DateDec 30, 2014
-
Shares OutstandingN/A
-
Share ClassOther
-
CurrencyUSD
-
Domiciled CountryUnited States
-
ManagerJames Caron
Fund Description
The Fund will primarily invest in fixed-income securities that the Adviser will allocate among asset classes or market segments and which include: (1) corporate securities, (2) residential and commercial mortgage-backed securities (“RMBS” and “CMBS”), (3) asset-backed securities, (4) foreign securities, including emerging market securities, and (5) U.S. government securities and foreign sovereign debt. The Fund may also invest in currency and other derivatives.
The Fund may invest up to 65% of its net assets in any one asset class or market segment. However, the amount of the Fund’s assets committed to any one asset class or market segment will fluctuate. The Adviser has the flexibility to select any combination of the aforementioned asset classes or market segments depending upon market conditions and the current economic environment and, as a result, at any given time the Fund’s assets may be invested in certain asset classes or market segments and not others. The Fund will invest at least 70% of its net assets in U.S. fixed-income securities and may have no more than 5% of net asset exposure to non-U.S. dollar currencies. The Fund will also invest at least 50% of its net assets in securities rated investment grade. The Fund may invest in securities of any duration; however, the average duration of the Fund will normally vary between zero and six years.
The Fund may invest in fixed-income securities issued or guaranteed by the U.S. Government, its agencies and instrumentalities or in fixed-income securities issued or guaranteed by foreign governments or supranational organizations or any of their instrumentalities, including debt obligations of governmental issuers located in emerging market or developing countries and sovereign debt.
The Fund may invest in fixed-income securities that are rated below “investment grade” or are not rated, but are of equivalent quality. These fixed-income securities are often referred to as “high yield securities” or “junk bonds.” High yield securities are fixed-income securities rated non-investment grade by a nationally recognized statistical rating organization (“NRSRO”) or, if unrated, considered by the Adviser to be of equivalent quality. In the case of a security that is rated differently by rating agencies, the security will be treated as rated in the highest rating category.
The corporate securities in which the Fund will invest may include fixed-income securities issued by corporations located in or outside of the United States, certificates of deposit and bankers’ acceptances issued or guaranteed by, or time deposits maintained at, banks, commercial paper and convertible securities.
The Fund’s mortgage securities may include agency mortgage-backed securities that are guaranteed by the Federal National Mortgage Association (“Fannie Mae”) or the Federal Home Loan Mortgage Corporation (“Freddie Mac”), each a government-sponsored enterprise, or the Government National Mortgage Association (“Ginnie Mae”), non-agency RMBS, CMBS and various other asset-backed securities.
The Fund may invest in securities of foreign issuers, including issuers located in emerging market or developing countries. The Fund may make global, regional and sector allocations to foreign and emerging markets. The securities in which the Fund may invest may be denominated in U.S. dollars or in currencies other than U.S. dollars. The Fund may also invest in restricted and illiquid securities.
The Fund may, but it is not required to, use derivative instruments for a variety of purposes, including hedging, risk management, portfolio management or to earn income. The Fund’s use of derivatives may involve the purchase and sale of derivative instruments such as futures, options, swaps and other related instruments and techniques. The Fund may utilize foreign currency forward exchange contracts, which are also derivatives, in connection with its investments in foreign securities. Derivative instruments used by the Fund will be counted toward the Fund’s exposure to the types of securities listed above to the extent they have economic characteristics similar to such securities.
The Adviser employs a value approach toward fixed-income investing. The Adviser relies upon value measures to guide its decisions regarding sector, security and country selection, such as the relative attractiveness of the extra yield offered by securities other than those issued by the U.S. Treasury. The Adviser also measures various types of risk by monitoring interest rates, inflation, the shape of the yield curve, credit risk, prepayment risk, country risk and currency valuations.
The Adviser may sell securities or exit positions when it believes that expected risk-adjusted return is low compared to other investment opportunities.
The Adviser believes that environmental, social and governance (“ESG”) factors have the ability to impact the fundamental credit risk of an entity and, in turn, the bond’s price. The Fund’s investment process incorporates information about ESG issues via an integrated approach within the Adviser’s fundamental investment analysis framework. The Adviser may engage with management of certain issuers regarding corporate governance practices as well as what the Adviser deems to be materially important environmental and/or social issues facing a company.
For corporate bonds, the Adviser has a proprietary ESG-scoring methodology that explicitly considers the risks and opportunities ESG factors pose to corporate bonds. By combining third-party ESG data with proprietary sector views, the Adviser creates a unique scoring methodology that it applies across issuers in the credit space.
From a sovereign perspective, ESG issues are considered within the framework of the Adviser’s fundamental country analysis and contribute to the Adviser’s view of a country.
Within securitized products, the Adviser’s consideration of ESG issues varies by underlying sector. For RMBS and asset-backed securities, the Adviser primarily focuses on the loan originators’ and servicers’ best practices. For CMBS, the focus is on the underlying commercial properties with particular emphasis on properties with potential environmental issues.
The Fund will not invest in the following:
| • | Corporations that generate revenue from the manufacturing or production of tobacco; |
| • | Corporations that generate revenue from the manufacturing or production of landmines and cluster munitions (i.e., an explosive weapon that randomly scatters submunitions); |
| • | Corporations that generate revenue from the manufacturing or production of firearms; |
| • | Corporations that generate revenue from the mining of thermal coal or coal fired power generation; and |
| • | Corporations that primarily generate revenue from the fossil fuel industries, which the Adviser has determined produce a certain level of carbon emissions. |
The Fund may invest in green bonds (a debt security that is typically issued to raise capital specifically to support climate-related or environmental projects) issued by companies that would otherwise be subject to fossil fuel exclusions so long as the Adviser has determined that the proceeds will not be used to finance fossil fuel generation capabilities.
In analyzing whether an issuer meets any of the criteria described above, the Adviser may rely upon, among other things, information provided by an independent third party.
MSTCX - Performance
Return Ranking - Trailing
| Period | MSTCX Return | Category Return Low | Category Return High | Rank in Category (%) |
|---|---|---|---|---|
| YTD | -3.9% | -19.2% | 17.7% | 44.73% |
| 1 Yr | -2.2% | -17.2% | 23.1% | 57.18% |
| 3 Yr | 1.6%* | -10.9% | 14.4% | 73.72% |
| 5 Yr | 2.8%* | -15.0% | 10.3% | 47.80% |
| 10 Yr | N/A* | -12.3% | 12.5% | N/A |
* Annualized
Return Ranking - Calendar
| Period | MSTCX Return | Category Return Low | Category Return High | Rank in Category (%) |
|---|---|---|---|---|
| 2023 | -0.4% | -26.6% | 25.7% | 26.53% |
| 2022 | -0.7% | -49.2% | 314.3% | 68.74% |
| 2021 | 4.0% | -35.1% | 16.7% | 57.10% |
| 2020 | -4.4% | -48.0% | 10.9% | 36.56% |
| 2019 | 4.9% | -14.8% | 11.2% | 6.02% |
Total Return Ranking - Trailing
| Period | MSTCX Return | Category Return Low | Category Return High | Rank in Category (%) |
|---|---|---|---|---|
| YTD | -3.9% | -18.8% | 22.7% | 42.91% |
| 1 Yr | -2.2% | -17.2% | 38.5% | 47.05% |
| 3 Yr | 1.6%* | -12.6% | 14.4% | 69.64% |
| 5 Yr | 2.8%* | -16.0% | 10.3% | 43.31% |
| 10 Yr | N/A* | -12.9% | 12.5% | N/A |
* Annualized
Total Return Ranking - Calendar
| Period | MSTCX Return | Category Return Low | Category Return High | Rank in Category (%) |
|---|---|---|---|---|
| 2023 | -0.4% | -26.6% | 25.7% | 26.53% |
| 2022 | -0.7% | -49.2% | 314.3% | 68.74% |
| 2021 | 4.0% | -35.1% | 16.7% | 59.87% |
| 2020 | -2.9% | -48.0% | 10.9% | 42.29% |
| 2019 | 7.2% | -14.8% | 15.2% | 9.51% |
NAV & Total Return History
MSTCX - Holdings
Concentration Analysis
| MSTCX | Category Low | Category High | MSTCX % Rank | |
|---|---|---|---|---|
| Net Assets | 26.5 M | 100 | 133 B | 92.49% |
| Number of Holdings | 227 | 2 | 8096 | 67.14% |
| Net Assets in Top 10 | -1.18 M | -12.7 B | 15.3 B | 90.65% |
| Weighting of Top 10 | 24.98% | 4.3% | 100.0% | 54.08% |
Top 10 Holdings
- Us 5yr Note (Cbt) Sep21 Xcbt 20210930 10.06%
- Us 5yr Note (Cbt) Sep21 Xcbt 20210930 10.06%
- Us 5yr Note (Cbt) Sep21 Xcbt 20210930 10.06%
- Us 5yr Note (Cbt) Sep21 Xcbt 20210930 10.06%
- Us 5yr Note (Cbt) Sep21 Xcbt 20210930 10.06%
- Us 5yr Note (Cbt) Sep21 Xcbt 20210930 10.06%
- Us 5yr Note (Cbt) Sep21 Xcbt 20210930 10.06%
- Us 5yr Note (Cbt) Sep21 Xcbt 20210930 10.06%
- Us 5yr Note (Cbt) Sep21 Xcbt 20210930 10.06%
- Us 5yr Note (Cbt) Sep21 Xcbt 20210930 10.06%
Asset Allocation
| Weighting | Return Low | Return High | MSTCX % Rank | |
|---|---|---|---|---|
| Bonds | 91.47% | -150.81% | 272.05% | 35.32% |
| Cash | 5.21% | -179.17% | 258.91% | 57.66% |
| Convertible Bonds | 3.33% | 0.00% | 33.50% | 28.83% |
| Stocks | 0.00% | -13.04% | 257.52% | 71.30% |
| Preferred Stocks | 0.00% | 0.00% | 31.29% | 54.55% |
| Other | 0.00% | -25.82% | 147.28% | 38.18% |
Bond Sector Breakdown
| Weighting | Return Low | Return High | MSTCX % Rank | |
|---|---|---|---|---|
| Securitized | 46.04% | 0.00% | 97.82% | 15.63% |
| Corporate | 41.32% | 0.00% | 100.00% | 48.05% |
| Derivative | 4.97% | 0.00% | 62.46% | 27.34% |
| Cash & Equivalents | 4.41% | 0.00% | 100.00% | 69.14% |
| Government | 3.26% | 0.00% | 99.55% | 73.57% |
| Municipal | 0.00% | 0.00% | 54.95% | 42.97% |
Bond Geographic Breakdown
| Weighting | Return Low | Return High | MSTCX % Rank | |
|---|---|---|---|---|
| US | 68.68% | -151.11% | 369.35% | 39.48% |
| Non US | 22.79% | -313.67% | 121.47% | 42.99% |
MSTCX - Expenses
Operational Fees
| MSTCX Fees (% of AUM) | Category Return Low | Category Return High | Rank in Category (%) | |
|---|---|---|---|---|
| Expense Ratio | 0.57% | 0.02% | 6.46% | 88.37% |
| Management Fee | 0.32% | 0.00% | 2.29% | 4.34% |
| 12b-1 Fee | N/A | 0.00% | 1.00% | N/A |
| Administrative Fee | 0.08% | 0.01% | 0.70% | 38.40% |
Sales Fees
| MSTCX Fees (% of AUM) | Category Return Low | Category Return High | Rank in Category (%) | |
|---|---|---|---|---|
| Front Load | N/A | 0.00% | 5.75% | N/A |
| Deferred Load | N/A | 1.00% | 5.50% | N/A |
Trading Fees
| MSTCX Fees (% of AUM) | Category Return Low | Category Return High | Rank in Category (%) | |
|---|---|---|---|---|
| Max Redemption Fee | N/A | 0.50% | 2.00% | N/A |
Related Fees
Turnover provides investors a proxy for the trading fees incurred by mutual fund managers who frequently adjust position allocations. Higher turnover means higher trading fees.
| MSTCX Fees (% of AUM) | Category Return Low | Category Return High | Rank in Category (%) | |
|---|---|---|---|---|
| Turnover | 38.00% | 0.00% | 496.00% | 13.53% |
MSTCX - Distributions
Dividend Yield Analysis
| MSTCX | Category Low | Category High | MSTCX % Rank | |
|---|---|---|---|---|
| Dividend Yield | 2.17% | 0.00% | 3.06% | 11.93% |
Dividend Distribution Analysis
| MSTCX | Category Low | Category High | Category Mod | |
|---|---|---|---|---|
| Dividend Distribution Frequency | Monthly | Monthly | Monthly | Monthly |
Net Income Ratio Analysis
| MSTCX | Category Low | Category High | MSTCX % Rank | |
|---|---|---|---|---|
| Net Income Ratio | 2.30% | -1.55% | 11.51% | 72.99% |
Capital Gain Distribution Analysis
| MSTCX | Category Low | Category High | Capital Mode | |
|---|---|---|---|---|
| Capital Gain Distribution Frequency | Annually | Annually | Annually | Annually |
Distributions History
| Date | Amount | Type |
|---|---|---|
| Apr 02, 2019 | $0.055 | |
| Oct 02, 2018 | $0.054 | |
| Jul 03, 2018 | $0.054 | |
| Apr 03, 2018 | $0.054 | |
| Dec 11, 2017 | $0.054 | |
| Oct 03, 2017 | $0.054 | |
| Jul 05, 2017 | $0.054 | |
| Apr 04, 2017 | $0.054 | |
| Dec 16, 2016 | $0.054 | |
| Oct 04, 2016 | $0.049 | |
| Jul 05, 2016 | $0.049 | |
| Apr 04, 2016 | $0.049 | |
| Dec 16, 2015 | $0.157 | |
| Oct 02, 2015 | $0.058 | |
| Jul 02, 2015 | $0.046 | |
| Apr 02, 2015 | $0.027 |
MSTCX - Fund Manager Analysis
Managers
James Caron
Start Date
Tenure
Tenure Rank
Dec 30, 2014
7.25
7.3%
Jim is a portfolio manager and senior member of the MSIM Global Fixed Income team and a member of the Asset Allocation Committee focusing on macro strategies. He joined Morgan Stanley in 2006 and has been with financial industry since 1992. Prior to this role, Jim held the position of global head of interest rates, foreign exchange and emerging markets strategy with Morgan Stanley Research. He authored two interest rate publications, the monthly Global Perspectives and the weekly Interest Rate Strategist. Previously, he was a director at Merrill Lynch where he headed the U.S. interest rate strategy group. Prior to that, Jim held various trading positions. He headed the U.S. options trading desk at Sanwa Bank, was a proprietary trader at Tokai Securities and traded U.S. Treasuries at JP Morgan. Jim received a B.A. in physics from Bowdoin College, a B.S. in aeronautical engineering from the California Institute of Technology and an M.B.A in finance from New York University, Stern School of Business.
Gregory Finck
Start Date
Tenure
Tenure Rank
Oct 01, 2019
2.5
2.5%
Greg is a portfolio manager and head of the Securitized team. He joined Morgan Stanley in December 2014 and has been with financial industry since 1992. Previously, he was a managing director and portfolio manager of mortgage-backed securities portfolios for various Fortress funds at Fortress Investment Group. Prior to that, Greg was a managing director at Goldman, Sachs & Co. where he ran the residential mortgage trading business. Greg received a B.S.E in civil engineering from Princeton University.
Joseph Mehlman
Start Date
Tenure
Tenure Rank
Oct 01, 2019
2.5
2.5%
Joe is a member of the Global Fixed Income team and is the head of U.S. Credit. He joined Morgan Stanley in 2002 and has 14 years of investment experience. Joe received a B.A. with honours in economics from Trinity College. Joe holds the Chartered Financial Analyst designation and is a member of the New York Society of Security Analysts.
Tenure Analysis
| Category Low | Category High | Category Average | Category Mode |
|---|---|---|---|
| 0.04 | 28.02 | 5.47 | 3.03 |