Invesco Ltd, the parent company of Invesco Perpetual, will acquire Morgan Stanley's retail asset management business for $1.5bn.
The deal, which includes US mutual fund subsidiary Van Kampen Investments, will see Morgan Stanley receive $500m in cash and a 9.4% stake in Invesco.
Morgan Stanley Investment Management (MSIM) will now focus on its institutional operations. The UK operations remain at Morgan Stanley.
Invesco will acquire $119bn in assets under management from MSIM - across equity, fixed income, alternatives and investment trusts.
The deal has been both companies and is expected to be completed by mid-2010.
Caring for children and elderly relatives
Similar to June 2007
Square Mile’s series of informal interviews
Fine reduced to £60,000
Two roles created