1. Managing
Multiple Products & Multiple Platforms
Mitchell M. Merin
President & Chief Operating Officer
Morgan Stanley Investment Management
2. Forces Of Change
NOTICE: This slide is part of a presentation by Morgan Stanley and is intended to be viewed as part of that presentation. The presentation is based on information
generally available to the public and does not contain any material, nonpublic information. The presentation has been prepared solely for information purposes,
is not a solicitation of an offer to buy or sell any security or instrument and has not been updated since it was originally presented June 26, 2001.
3. Asset
Management
Industry
ForcesForces
TechnologyTechnology
Forces Of Change
NOTICE: This slide is part of a presentation by Morgan Stanley and is intended to be viewed as part of that presentation. The presentation is based on information
generally available to the public and does not contain any material, nonpublic information. The presentation has been prepared solely for information purposes,
is not a solicitation of an offer to buy or sell any security or instrument and has not been updated since it was originally presented June 26, 2001.
4. Asset
Management
Industry
TechnologyTechnology
ChangingChanging
CustomersCustomers
Forces Of Change
ForcesForces
NOTICE: This slide is part of a presentation by Morgan Stanley and is intended to be viewed as part of that presentation. The presentation is based on information
generally available to the public and does not contain any material, nonpublic information. The presentation has been prepared solely for information purposes,
is not a solicitation of an offer to buy or sell any security or instrument and has not been updated since it was originally presented June 26, 2001.
5. Asset
Management
Industry
TechnologyTechnology
ChangingChanging
CustomersCustomers
Forces Of Change
U.S. MarketU.S. Market
MaturationMaturation
ForcesForces
NOTICE: This slide is part of a presentation by Morgan Stanley and is intended to be viewed as part of that presentation. The presentation is based on information
generally available to the public and does not contain any material, nonpublic information. The presentation has been prepared solely for information purposes,
is not a solicitation of an offer to buy or sell any security or instrument and has not been updated since it was originally presented June 26, 2001.
6. Asset
Management
Industry
TechnologyTechnology
ChangingChanging
CustomersCustomers
IncreasedIncreased
CompetitionCompetition
Forces Of Change
U.S. MarketU.S. Market
MaturationMaturation
ForcesForces
NOTICE: This slide is part of a presentation by Morgan Stanley and is intended to be viewed as part of that presentation. The presentation is based on information
generally available to the public and does not contain any material, nonpublic information. The presentation has been prepared solely for information purposes,
is not a solicitation of an offer to buy or sell any security or instrument and has not been updated since it was originally presented June 26, 2001.
7. Asset
Management
Industry
ChangesChanges
Power Shifting to DistributorsPower Shifting to Distributors
Losing Control of the CustomerLosing Control of the Customer
Greater Mobility of AssetsGreater Mobility of Assets
Ubiquity of Products & ServicesUbiquity of Products & Services
Performance TransparencyPerformance Transparency
Price TransparencyPrice Transparency
Commodization of the Mutual FundCommodization of the Mutual Fund
Slower Organic GrowthSlower Organic Growth
Increased Pressure On MarginsIncreased Pressure On Margins
Forces Of Change
TechnologyTechnology
ChangingChanging
CustomersCustomers
IncreasedIncreased
CompetitionCompetition
U.S. MarketU.S. Market
MaturationMaturation
ForcesForces
NOTICE: This slide is part of a presentation by Morgan Stanley and is intended to be viewed as part of that presentation. The presentation is based on information
generally available to the public and does not contain any material, nonpublic information. The presentation has been prepared solely for information purposes,
is not a solicitation of an offer to buy or sell any security or instrument and has not been updated since it was originally presented June 26, 2001.
8. Critical Success Attributes
NOTICE: This slide is part of a presentation by Morgan Stanley and is intended to be viewed as part of that presentation. The presentation is based on information
generally available to the public and does not contain any material, nonpublic information. The presentation has been prepared solely for information purposes,
is not a solicitation of an offer to buy or sell any security or instrument and has not been updated since it was originally presented June 26, 2001.
9. NOTICE: This slide is part of a presentation by Morgan Stanley and is intended to be viewed as part of that presentation. The presentation is based on information
generally available to the public and does not contain any material, nonpublic information. The presentation has been prepared solely for information purposes,
is not a solicitation of an offer to buy or sell any security or instrument and has not been updated since it was originally presented June 26, 2001.
Critical Success Attributes
Customer Focus / SegmentationCustomer Focus / Segmentation
10. NOTICE: This slide is part of a presentation by Morgan Stanley and is intended to be viewed as part of that presentation. The presentation is based on information
generally available to the public and does not contain any material, nonpublic information. The presentation has been prepared solely for information purposes,
is not a solicitation of an offer to buy or sell any security or instrument and has not been updated since it was originally presented June 26, 2001.
Customer Focus / SegmentationCustomer Focus / Segmentation
Quality Investment Manufacturing / Superior PerformanceQuality Investment Manufacturing / Superior Performance
Critical Success Attributes
11. NOTICE: This slide is part of a presentation by Morgan Stanley and is intended to be viewed as part of that presentation. The presentation is based on information
generally available to the public and does not contain any material, nonpublic information. The presentation has been prepared solely for information purposes,
is not a solicitation of an offer to buy or sell any security or instrument and has not been updated since it was originally presented June 26, 2001.
Customer Focus / SegmentationCustomer Focus / Segmentation
Quality Investment Manufacturing / Superior PerformanceQuality Investment Manufacturing / Superior Performance
Multi-Tiered DistributionMulti-Tiered Distribution
Critical Success Attributes
12. NOTICE: This slide is part of a presentation by Morgan Stanley and is intended to be viewed as part of that presentation. The presentation is based on information
generally available to the public and does not contain any material, nonpublic information. The presentation has been prepared solely for information purposes,
is not a solicitation of an offer to buy or sell any security or instrument and has not been updated since it was originally presented June 26, 2001.
Customer Focus / SegmentationCustomer Focus / Segmentation
Quality Investment Manufacturing / Superior PerformanceQuality Investment Manufacturing / Superior Performance
Multi-Tiered DistributionMulti-Tiered Distribution
Strong Brand IdentityStrong Brand Identity
Critical Success Attributes
13. NOTICE: This slide is part of a presentation by Morgan Stanley and is intended to be viewed as part of that presentation. The presentation is based on information
generally available to the public and does not contain any material, nonpublic information. The presentation has been prepared solely for information purposes,
is not a solicitation of an offer to buy or sell any security or instrument and has not been updated since it was originally presented June 26, 2001.
Customer Focus / SegmentationCustomer Focus / Segmentation
Quality Investment Manufacturing / Superior PerformanceQuality Investment Manufacturing / Superior Performance
Multi-Tiered DistributionMulti-Tiered Distribution
Strong Brand IdentityStrong Brand Identity
Economies of ScaleEconomies of Scale
Critical Success Attributes
14. TTHEHE CCOMPETITIVEOMPETITIVE LLANDSCAPEANDSCAPE
Small Boutiques
Mid-Tier Firms
Large Institutions
Today’s Asset Management Industry
Three Tiers Of Competitors
NOTICE: This slide is part of a presentation by Morgan Stanley and is intended to be viewed as part of that presentation. The presentation is based on information
generally available to the public and does not contain any material, nonpublic information. The presentation has been prepared solely for information purposes,
is not a solicitation of an offer to buy or sell any security or instrument and has not been updated since it was originally presented June 26, 2001.
15. R I
P ?
TTHEHE CCOMPETITIVEOMPETITIVE LLANDSCAPEANDSCAPE
Small Boutiques
Mid-Tier Firms
Large Institutions
Tomorrow’s Asset Management Industry
More And More Bifurcated
NOTICE: This slide is part of a presentation by Morgan Stanley and is intended to be viewed as part of that presentation. The presentation is based on information
generally available to the public and does not contain any material, nonpublic information. The presentation has been prepared solely for information purposes,
is not a solicitation of an offer to buy or sell any security or instrument and has not been updated since it was originally presented June 26, 2001.
16. Our Business Model
NOTICE: This slide is part of a presentation by Morgan Stanley and is intended to be viewed as part of that presentation. The presentation is based on information
generally available to the public and does not contain any material, nonpublic information. The presentation has been prepared solely for information purposes,
is not a solicitation of an offer to buy or sell any security or instrument and has not been updated since it was originally presented June 26, 2001.
17. A Quick History
Morgan Stanley acquires Van Kampen (1996)Morgan Stanley acquires Van Kampen (1996)
Dean Witter acquires InterCapital (1977)Dean Witter acquires InterCapital (1977)
Morgan Stanley Asset Management founded (1975)Morgan Stanley Asset Management founded (1975)
Morgan Stanley acquires MAS (1996)Morgan Stanley acquires MAS (1996)
Morgan Stanley merges with Dean Witter (1997)Morgan Stanley merges with Dean Witter (1997)
MSDW Asset Management formed (1999)MSDW Asset Management formed (1999)
MSIM formed (2000)MSIM formed (2000)
NOTICE: This slide is part of a presentation by Morgan Stanley and is intended to be viewed as part of that presentation. The presentation is based on information
generally available to the public and does not contain any material, nonpublic information. The presentation has been prepared solely for information purposes,
is not a solicitation of an offer to buy or sell any security or instrument and has not been updated since it was originally presented June 26, 2001.
18. MORGAN STANLEY DEAN WITTER ASSET MANAGEMENTMORGAN STANLEY DEAN WITTER ASSET MANAGEMENT
InvestmentsInvestments
Sales & MarketingSales & Marketing
OperationsOperations
TechnologyTechnology
InvestmentsInvestments
Sales & MarketingSales & Marketing
OperationsOperations
TechnologyTechnology
InvestmentsInvestments
Sales & MarketingSales & Marketing
OperationsOperations
TechnologyTechnology
MAS
MILLER
ANDERSON
& SHERRERD, LLP
InvestmentsInvestments
Sales & MarketingSales & Marketing
OperationsOperations
TechnologyTechnology
Our Old Organization
NOTICE: This slide is part of a presentation by Morgan Stanley and is intended to be viewed as part of that presentation. The presentation is based on information
generally available to the public and does not contain any material, nonpublic information. The presentation has been prepared solely for information purposes,
is not a solicitation of an offer to buy or sell any security or instrument and has not been updated since it was originally presented June 26, 2001.
19. Proprietary Retail
Proprietary Institutional
Non-Proprietary Retail
Non-Proprietary Institutional
Non-U.S.
MSDW Advisors
MSDW Investment Mgmt.
Miller Anderson & Sherrerd
Van Kampen Investments
MSDW Investment Mgmt.
Miller Anderson & Sherrerd
Van Kampen Mgmt.
MSDW Investment Mgmt.
MSDW Family of Funds
MSDW Institutional Funds
MAS Funds
Van Kampen Funds
Universal Funds
MAS Funds
Van Kampen Institutional
Morgan Stanley
Dean Witter
Client Segment Organization Brand
Our Old Branding Strategy
NOTICE: This slide is part of a presentation by Morgan Stanley and is intended to be viewed as part of that presentation. The presentation is based on information
generally available to the public and does not contain any material, nonpublic information. The presentation has been prepared solely for information purposes,
is not a solicitation of an offer to buy or sell any security or instrument and has not been updated since it was originally presented June 26, 2001.
20. Our Old Distribution Approach
MORGAN STANLEY DEAN WITTER ASSET MANAGEMENTMORGAN STANLEY DEAN WITTER ASSET MANAGEMENT
MAS
MILLER
ANDERSON
& SHERRERD, LLP
High NetHigh Net
WorthWorth
Full-ServiceFull-Service
Self-ServiceSelf-Service
Proprietary
Retail
BanksBanks
Non-Proprietary
Retail
Broker-DealersBroker-Dealers ConsultantsConsultants
Public PlansPublic Plans
CorporationsCorporations
Institutional
InvestmentInvestment
AdvisorsAdvisors
NOTICE: This slide is part of a presentation by Morgan Stanley and is intended to be viewed as part of that presentation. The presentation is based on information
generally available to the public and does not contain any material, nonpublic information. The presentation has been prepared solely for information purposes,
is not a solicitation of an offer to buy or sell any security or instrument and has not been updated since it was originally presented June 26, 2001.
21. SERVICE
Call
Centers
Traditional
Broker
eAdvice
High
Net Worth
Morgan
Stanley
Individual Investor Group
Morgan
Stanley
Individual Investor Group
IIS
IAS
PW
M
C
O
S
T
We Were Not Harnessing Our Collective PowerWe Were Not Harnessing Our Collective Power
To Meet The Divergent Needs Of Our CustomersTo Meet The Divergent Needs Of Our Customers
NOTICE: This slide is part of a presentation by Morgan Stanley and is intended to be viewed as part of that presentation. The presentation is based on information
generally available to the public and does not contain any material, nonpublic information. The presentation has been prepared solely for information purposes,
is not a solicitation of an offer to buy or sell any security or instrument and has not been updated since it was originally presented June 26, 2001.
22. MORGAN STANLEY DEAN WITTER ASSET MANAGEMENTMORGAN STANLEY DEAN WITTER ASSET MANAGEMENT
InvestmentsInvestments
Sales & MarketingSales & Marketing
OperationsOperations
TechnologyTechnology
InvestmentsInvestments
Sales & MarketingSales & Marketing
OperationsOperations
TechnologyTechnology
InvestmentsInvestments
Sales & MarketingSales & Marketing
OperationsOperations
TechnologyTechnology
MAS
MILLER
ANDERSON
& SHERRERD, LLP
InvestmentsInvestments
Sales & MarketingSales & Marketing
OperationsOperations
TechnologyTechnology
Our Old Organization
NOTICE: This slide is part of a presentation by Morgan Stanley and is intended to be viewed as part of that presentation. The presentation is based on information
generally available to the public and does not contain any material, nonpublic information. The presentation has been prepared solely for information purposes,
is not a solicitation of an offer to buy or sell any security or instrument and has not been updated since it was originally presented June 26, 2001.
24. InvestmentsInvestments
Sales & MarketingSales & Marketing
OperationsOperations
TechnologyTechnology
Our New Organization
NOTICE: This slide is part of a presentation by Morgan Stanley and is intended to be viewed as part of that presentation. The presentation is based on information
generally available to the public and does not contain any material, nonpublic information. The presentation has been prepared solely for information purposes,
is not a solicitation of an offer to buy or sell any security or instrument and has not been updated since it was originally presented June 26, 2001.
25. Our New Organization = The Keys To Success
The Critical Success AttributesThe Critical Success Attributes
InvestmentsInvestments
Sales & MarketingSales & Marketing
OperationsOperations
TechnologyTechnology
Customer Focus / SegmentationCustomer Focus / Segmentation
Quality Investment Manufacturing /Quality Investment Manufacturing /
Superior PerformanceSuperior Performance
Multi-Tiered DistributionMulti-Tiered Distribution
Strong Brand IdentityStrong Brand Identity
Economies of ScaleEconomies of Scale
NOTICE: This slide is part of a presentation by Morgan Stanley and is intended to be viewed as part of that presentation. The presentation is based on information
generally available to the public and does not contain any material, nonpublic information. The presentation has been prepared solely for information purposes,
is not a solicitation of an offer to buy or sell any security or instrument and has not been updated since it was originally presented June 26, 2001.
26. The Power of All Products & Services Under One RoofThe Power of All Products & Services Under One Roof
TraditionalTraditional
InvestmentInvestment
ProductsProducts
Mutual FundsMutual Funds
SeparatelySeparately
ManagedManaged
AccountsAccounts
Non-U.S. FundsNon-U.S. Funds
Mutual FundMutual Fund
Wrap ProgramsWrap Programs
VariableVariable
AnnuitiesAnnuities
Unit InvestmentUnit Investment
TrustsTrusts
AlternativeAlternative
InvestmentsInvestments
Hedge FundsHedge Funds
Fund-of-FundsFund-of-Funds
ConsultingConsulting
Private EquityPrivate Equity
ManagedManaged
FuturesFutures
Real EstateReal Estate
RetirementRetirement
ServicesServices
DefinedDefined
ContributionContribution
Defined BenefitDefined Benefit
AdviceAdvice
FinancialFinancial
PlanningPlanning
Asset AllocationAsset Allocation
ServicesServices
Trust ServicesTrust Services
Estate PlanningEstate Planning
OtherOther
Transfer AgencyTransfer Agency
Section 529Section 529
PlansPlans
Donor-AdvisedDonor-Advised
FundFund
Life InsuranceLife Insurance
NOTICE: This slide is part of a presentation by Morgan Stanley and is intended to be viewed as part of that presentation. The presentation is based on information
generally available to the public and does not contain any material, nonpublic information. The presentation has been prepared solely for information purposes,
is not a solicitation of an offer to buy or sell any security or instrument and has not been updated since it was originally presented June 26, 2001.
27. Morgan Stanley Funds
Morgan Stanley
Institutional Funds
Van Kampen Investments
TBD
Morgan Stanley
Client Segment Organization Brand
Proprietary Retail
Proprietary Institutional
Non-Proprietary Retail
Non-Proprietary Institutional
Non-U.S.
Our New Branding Strategy
NOTICE: This slide is part of a presentation by Morgan Stanley and is intended to be viewed as part of that presentation. The presentation is based on information
generally available to the public and does not contain any material, nonpublic information. The presentation has been prepared solely for information purposes,
is not a solicitation of an offer to buy or sell any security or instrument and has not been updated since it was originally presented June 26, 2001.
28. High NetHigh Net
WorthWorth
Full-ServiceFull-Service
Self-ServiceSelf-Service
Proprietary Retail Broker-DealersBroker-Dealers
BanksBanks
InvestmentInvestment
AdvisorsAdvisors
Non-Proprietary Retail
ConsultantsConsultants
Public PlansPublic Plans
CorporationsCorporations
Institutional
Our New Distribution Approach
NOTICE: This slide is part of a presentation by Morgan Stanley and is intended to be viewed as part of that presentation. The presentation is based on information
generally available to the public and does not contain any material, nonpublic information. The presentation has been prepared solely for information purposes,
is not a solicitation of an offer to buy or sell any security or instrument and has not been updated since it was originally presented June 26, 2001.
29. High NetHigh Net
WorthWorth
Full-ServiceFull-Service
Self-ServiceSelf-Service
Proprietary Retail Broker-DealersBroker-Dealers
BanksBanks
InvestmentInvestment
AdvisorsAdvisors
Non-Proprietary Retail
ConsultantsConsultants
Public PlansPublic Plans
CorporationsCorporations
Institutional
Our New Distribution Approach
NOTICE: This slide is part of a presentation by Morgan Stanley and is intended to be viewed as part of that presentation. The presentation is based on information
generally available to the public and does not contain any material, nonpublic information. The presentation has been prepared solely for information purposes,
is not a solicitation of an offer to buy or sell any security or instrument and has not been updated since it was originally presented June 26, 2001.
30. Our New Organization = The Keys To Success
The Critical Success AttributesThe Critical Success Attributes
InvestmentsInvestments
Sales & MarketingSales & Marketing
OperationsOperations
TechnologyTechnology
Customer Focus / SegmentationCustomer Focus / Segmentation
Quality Investment Manufacturing /Quality Investment Manufacturing /
Superior PerformanceSuperior Performance
Multi-Tiered DistributionMulti-Tiered Distribution
Strong Brand IdentityStrong Brand Identity
Economies of ScaleEconomies of Scale
NOTICE: This slide is part of a presentation by Morgan Stanley and is intended to be viewed as part of that presentation. The presentation is based on information
generally available to the public and does not contain any material, nonpublic information. The presentation has been prepared solely for information purposes,
is not a solicitation of an offer to buy or sell any security or instrument and has not been updated since it was originally presented June 26, 2001.
31. Superior PerformanceSuperior Performance
65 Funds Rated
4- or 5-Stars by Morningstar
Source: Morningstar Principia, May 2001
NOTICE: This slide is part of a presentation by Morgan Stanley and is intended to be viewed as part of that presentation. The presentation is based on information
generally available to the public and does not contain any material, nonpublic information. The presentation has been prepared solely for information purposes,
is not a solicitation of an offer to buy or sell any security or instrument and has not been updated since it was originally presented June 26, 2001.
32. 19 Locations & 4,000 Employees World-Wide
West Conshohocken
Chicago
New York London
TokyoMumbai
Singapore
Hong Kong
Sydney
Melbourne
Amsterdam
Milan
Jersey
City
Boston
San Francisco
Houston
Cedar Rapids
Oakbrook Terrace
Kansas City
Strong Global ReachStrong Global Reach
NOTICE: This slide is part of a presentation by Morgan Stanley and is intended to be viewed as part of that presentation. The presentation is based on information
generally available to the public and does not contain any material, nonpublic information. The presentation has been prepared solely for information purposes,
is not a solicitation of an offer to buy or sell any security or instrument and has not been updated since it was originally presented June 26, 2001.
33. Strong Brand IdentityStrong Brand Identity
NOTICE: This slide is part of a presentation by Morgan Stanley and is intended to be viewed as part of that presentation. The presentation is based on information
generally available to the public and does not contain any material, nonpublic information. The presentation has been prepared solely for information purposes,
is not a solicitation of an offer to buy or sell any security or instrument and has not been updated since it was originally presented June 26, 2001.
34. Strong Brand IdentityStrong Brand Identity
NOTICE: This slide is part of a presentation by Morgan Stanley and is intended to be viewed as part of that presentation. The presentation is based on information
generally available to the public and does not contain any material, nonpublic information. The presentation has been prepared solely for information purposes,
is not a solicitation of an offer to buy or sell any security or instrument and has not been updated since it was originally presented June 26, 2001.
35. Economies of ScaleEconomies of Scale
Rationalizing Expenses Across The BusinessRationalizing Expenses Across The Business
NOTICE: This slide is part of a presentation by Morgan Stanley and is intended to be viewed as part of that presentation. The presentation is based on information
generally available to the public and does not contain any material, nonpublic information. The presentation has been prepared solely for information purposes,
is not a solicitation of an offer to buy or sell any security or instrument and has not been updated since it was originally presented June 26, 2001.
36. Economies of ScaleEconomies of Scale
Rationalizing Expenses Across The BusinessRationalizing Expenses Across The Business
Driving-Home Our #4 Commission RankingDriving-Home Our #4 Commission Ranking
NOTICE: This slide is part of a presentation by Morgan Stanley and is intended to be viewed as part of that presentation. The presentation is based on information
generally available to the public and does not contain any material, nonpublic information. The presentation has been prepared solely for information purposes,
is not a solicitation of an offer to buy or sell any security or instrument and has not been updated since it was originally presented June 26, 2001.
37. Economies of ScaleEconomies of Scale
Rationalizing Expenses Across The BusinessRationalizing Expenses Across The Business
Driving-Home Our #4 Commission RankingDriving-Home Our #4 Commission Ranking
Vendor RelationshipsVendor Relationships
NOTICE: This slide is part of a presentation by Morgan Stanley and is intended to be viewed as part of that presentation. The presentation is based on information
generally available to the public and does not contain any material, nonpublic information. The presentation has been prepared solely for information purposes,
is not a solicitation of an offer to buy or sell any security or instrument and has not been updated since it was originally presented June 26, 2001.
38. Rationalizing Expenses Across The BusinessRationalizing Expenses Across The Business
Driving-Home Our #4 Commission RankingDriving-Home Our #4 Commission Ranking
Vendor RelationshipsVendor Relationships
TechnologyTechnology
Economies of ScaleEconomies of Scale
NOTICE: This slide is part of a presentation by Morgan Stanley and is intended to be viewed as part of that presentation. The presentation is based on information
generally available to the public and does not contain any material, nonpublic information. The presentation has been prepared solely for information purposes,
is not a solicitation of an offer to buy or sell any security or instrument and has not been updated since it was originally presented June 26, 2001.
39. Managing
Multiple Products & Multiple Platforms
Mitchell M. Merin
President & Chief Operating Officer
Morgan Stanley Investment Management
