Wealth Shortlist Update: Morgan Stanley Sterling Corporate Bond
Important notes
This article isn’t personal advice. If you’re not sure whether an investment is right for you please seek advice. If you choose to invest the value of your investment will rise and fall, so you could get back less than you put in.
3 May 2024 | 2m read
We've taken the decision to remove the Morgan Stanley Sterling Corporate Bond fund from the Wealth Shortlist.
Richard Ford, the fund's long-standing lead manager, has announced that he'll be retiring from Morgan Stanley on 31 August 2024. Ford joined Morgan Stanley in 1991 and has had multiple senior roles within their fixed interest teams during his career.
Dipen Patel, the other manager of the fund, will continue in his role. Leon Grenyer, Head of European Multi-Sector, and Joseph Mehlman, Head of US Investment Grade Credit, will join Patel as managers on the fund from 1 September 2024.
Morgan Stanley have confirmed there will be no changes to the investment process or philosophy for the fund. They have also confirmed they don't expect any further team changes in the near future.
Our View
While the fund's process is built on a team-based approach, which Grenyer and Mehlman have been a part of for two decades, our conviction in this fund was meaningfully influenced by Ford's involvement.
We think Ford has been instrumental in building the team, process and philosophy over a long period of time and while much will remain the same following his departure, his experience is not being replaced.
The news of Ford's retirement from Morgan Stanley comes as somewhat of a surprise and we note the relatively short timescale for him to transition his responsibilities to others within the team ahead of his departure on 31 August.
As a result, we have taken the decision to remove the fund from the Wealth Shortlist.
Although we're removing the Morgan Stanley Sterling Corporate Bond fund from the Wealth Shortlist, this isn't a recommendation to make any changes to an investment portfolio. Investors should make sure any investments match their investment goals and attitude to risk and are held as part of a diversified portfolio. If you're not sure if an investment is suitable for your circumstances, please seek personal advice.
Scroll across to see the full table.
| Annual percentage growth | |||||
|---|---|---|---|---|---|
|
Apr 19 - Apr 20 |
Apr 20 - Apr 21 |
Apr 21 - Apr 22 |
Apr 22 - Apr 23 |
Apr 23 - Apr 24 |
|
| Morgan Stanley Sterling Corporate Bond | 3.50% | 6.75% | -8.07% | -6.92% | 6.63% |
| IA £ Corporate Bond | 5.29% | 4.93% | -7.37% | -6.89% | 5.42% |
Past performance is not a guide to the future. Source: Lipper IM to 30/04/2024.
More on Morgan Stanley Sterling Corporate Bond, including charges
Morgan Stanley Sterling Corporate Bond Key Investor Information
Important notes
This article isn’t personal advice. If you’re not sure whether an investment is right for you please seek advice. If you choose to invest the value of your investment will rise and fall, so you could get back less than you put in.
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