Morgan Stanley Debuts Ethereum and Solana Funds at 0.14% Fee

Both products carry an annual management fee of 0.14%, positioning them among the most competitively priced crypto-linked offerings in the United States. Unlike standard spot ETFs, these products incorporate staking functionality, allowing the funds to commit tokens to network validation. Filings indicate that MSSE plans to stake between 50% and 80% of its Ether holdings, while MSOL may stake up to 100% of its Solana assets. Figment and Coinbase Canada have been tapped as the primary staking providers.

The firm’s entry into the space provides institutional and retail investors with a regulated pathway to gain exposure to ETH and SOL through traditional brokerage accounts. This strategy follows the earlier release of the Morgan Stanley Bitcoin Trust, which currently holds approximately $392 million in assets. By leveraging its existing infrastructure and brand, the bank aims to capture market share despite recent volatility that has seen uneven flow patterns across broader crypto funds.

While the 0.14% fee is designed to exert pressure on competing issuers, potential investors are cautioned that staking introduces unique operational and liquidity risks. Returns will remain tied primarily to the underlying price performance of the digital assets, with custodians retaining up to 5% of staking rewards. The launch underscores a broader trend of traditional financial institutions deepening their commitment to digital asset products, even as market participants navigate a period of reduced risk appetite.