The folks at a money center bank's $1.7-trillion-AUMS (as of December 31) asset manager are expanding their $4.7-billion-AUM ETF business with the launch of their 17th ETF.

On Tuesday (March 4), Brian Weinstein, head of global markets at Morgan Stanley Investment Management [profile], and Bill Delahunty, managing director and municipals portfolio manager at MSIM, unveiled the launch of the Eaton Vance High Income Municipal ETF (EVYM on the Nasdaq). New York City-based MSIM serves as the new fund's investment advisor.

EVYM's inception date was February 25, and it comes with an expense ratio of 39 basis points. As of yesterday (March 5), the new ETF had $11.03 million in AUM.

The PM team for EVYM includes four people: Brandon Matsui, Trevor Smith, and Carl Thompson, all executive directors at MSIM; and Delahunty himself.

Weinstein puts the launch of EVYM in the context of the MSIM team seeing "significant demand" for their active fixed income ETFs. Those funds have brought in more than $600 million in net flows so far in 2020, Weinstein notes.

"Our latest client, EVYM, enhances our ability to meet client demand across the full spectrum of active fixed income investments," Weinstein states. "We are pleased to be able to meet our clients' needs for a broad range of ETF strategies and remain focused on building a comprehensive platform that makes use of MSIM's distinct capabilities."

Delahunty notes that EVYM draws on the MSIM team's "deep experience in the municipals space."

"EVYM brings together our team's extensive experience and knowledge in the Municipals space with the in-demand ETF structure, and reflects investors' strong preference for tax-efficiencies, custom fixed income exposures and lower cost vehicles," Delahunty states.

EVYM is an actively managed series of the Morgan Stanley ETF Trust. The ETF's other service providers include: Dechert LLP as counsel; Ernst & Young LLP as independent accounting firm; ACA's Foreside Fund Services, LLC as distributor and exclusive principal underwriter; and JPMorgan Chase Bank, N.A. as administrator, custodian, dividend disbursing agent, and transfer agent. 

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