Market Overview

Morgan Stanley Alternative Investment Partners Raises $516 Million for Riverview Strategic Opportunities Fund III


Morgan Stanley Alternative Investment Partners (AIP), an investment team
within Morgan Stanley Investment Management, has closed the unit's
latest investment fund, the Riverview Strategic Opportunities Fund III
("SOF III" or the "Fund") with over $500 million in commitments. The
fundraise saw robust interest from both institutional and high net worth
investors with the raise being completed within a few weeks. The Fund is
an opportunistic hedge fund solution focused on hedge fund secondaries
and co-investments.

"We are pleased investors continue to see promise in our fund's
differentiated approach as hedge funds look to alleviate the constraints
they face in the market and seek opportunities in the liquidity gap
between traditional hedge fund and private equity investments," said
Mark van der Zwan, Chief Investment Officer and Head of AIP Hedge Funds
Team. "Our experienced team is well positioned to deliver consistency in
expertise and execution. We are confident that the Fund will benefit
from access to AIP's strong global network of hedge fund relationships,
deep proprietary research and rigorous due diligence process."

The Fund is AIP's third vintage of the Strategic Opportunities series.
Consistent with SOF I and SOF II, SOF III aims to solve recent liquidity
pressure on hedge funds by purchasing hedge fund secondaries and
pursuing co-investment partnerships with managers on medium-term

"Morgan Stanley is pleased to offer this attractive opportunity to our
clients again, leveraging the team's experience and sophisticated
resources to help capture transient opportunities in the market and
value for investors," said Jacques Chappuis, Global Head of Distribution
and Co-Head of the Solutions and Multi-Asset Group. "AIP is one of the
first and most experienced buyers in the hedge fund secondaries market
and has built some of the strongest relationships in the hedge fund
industry as a result, allowing us to offer a well sourced and
competitive investment product. We look forward to watching the market
evolve as hedge funds continue to search for solutions in a changing

SOF III's investors include institutions such as private and public
pensions, corporations, foundations and family offices, as well as high
net worth individuals, from a broad range of geographies.

About AIP's Hedge Fund Solutions Business

AIP's Hedge Fund Team specializes in assisting institutional and high
net worth investors achieve their goals through the design and
management of hedge fund-focused programs. The team has broad expertise
making direct fund investments, secondary investments and co-investments
across all hedge fund strategies. The business includes custom
portfolios, diversified and opportunistic multi-manager strategies and
advisory services. Established in 2000, AIP's hedge fund solutions
business has approximately $23 billion in assets under management and
advisement as of March 31, 2018.

About Morgan Stanley Investment Management

Morgan Stanley Investment Management, together with its investment
advisory affiliates, has more than 645 investment professionals around
the world and $474 billion in assets under management or supervision as
of June 30, 2018. Morgan Stanley Investment Management strives to
provide outstanding long-term investment performance, service and a
comprehensive suite of investment management solutions to a diverse
client base, which includes governments, institutions, corporations and
individuals worldwide. For further information about Morgan Stanley
Investment Management, please visit

About Morgan Stanley

Morgan Stanley (NYSE:MS) is a leading global financial services firm
providing investment banking, securities, wealth management and
investment management services. With offices in more than 41 countries,
the Firm's employees serve clients worldwide including corporations,
governments, institutions and individuals. For more information about
Morgan Stanley, please visit

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