- Morgan Stanley (MS, Financial) has launched five new no-fee index mutual funds available exclusively through E*TRADE, with a 0% expense ratio.
- The new funds include Large Cap (ETLGX), Total Market (ETTOX), International (ETISX), Municipal Bond (ETMUX), and U.S. Bond Index (ETBOX) funds.
- These funds have no minimum initial investment requirement and can only be purchased through E*TRADE self-directed accounts.
Morgan Stanley (MS) has unveiled an innovative suite of five no-fee index mutual funds exclusively for E*TRADE clients, designed to enhance the firm's retail investment offerings. The funds, managed by Morgan Stanley Investment Management (MSIM), boast a 0% expense ratio, allowing investors to allocate funds without incurring management fees.
The newly introduced funds encompass a diverse range of asset classes, including the E*TRADE No Fee Large Cap Index Fund (Ticker: ETLGX), E*TRADE No Fee Total Market Index Fund (Ticker: ETTOX), E*TRADE No Fee International Index Fund (Ticker: ETISX), E*TRADE No Fee Municipal Bond Index Fund (Ticker: ETMUX), and E*TRADE No Fee U.S. Bond Index Fund (Ticker: ETBOX). Notably, these funds are accessible without a minimum initial investment, making them an attractive option for individual investors seeking cost-effective diversification.
This launch further supports E*TRADE's strategy of eliminating trade commissions and early redemption fees for online mutual fund trades, a move that now sees the platform offering over 5,000 mutual funds. Nearly 300 of these are managed by MSIM. While shares can be transferred to Morgan Stanley Wealth Management accounts, initial purchases must occur through E*TRADE.
By leveraging the integration of E*TRADE with Morgan Stanley's broader wealth management ecosystem, the platform enhances investment opportunities for self-directed investors while potentially expanding Morgan Stanley's client base. This initiative underscores Morgan Stanley's commitment to providing competitive and innovative investment solutions in the self-directed retail market.
