Parametric Proprietary Technology Platform Radius Helps Accelerate Asset Growth in Its First Year, Drives Enhanced Data Analysis and Allows Increased Trading Volume

Key Terms

cloud native technical

Cloud native describes software built specifically to run in internet-based data centers rather than on a single company server. Think of it like designing a building from interchangeable Lego pieces so rooms can be added, moved or repaired without shutting everything down. For investors, cloud-native businesses can scale faster, update products more cheaply, and recover from problems more quickly, which can translate into lower operating costs and quicker revenue growth.

direct indexing financial

Direct indexing is a way for investors to own the individual stocks that make up an index instead of buying a single pooled fund, allowing customization of holdings, tax management, and cost control. It matters because it lets investors tailor exposure—like removing certain companies or harvesting tax losses—while still tracking broad market performance, similar to building a personalized playlist rather than listening to a pre-set radio station.

factor-based equities financial

Stocks chosen or weighted according to measurable traits—called factors—such as cheapness, steady profits, rising prices, low volatility or company quality. Think of it like picking apples by color, firmness and sweetness instead of at random: the goal is to tilt a portfolio toward characteristics that historically delivered higher returns or lower risk. Investors use factor-based equities to pursue specific outcomes (more return, less risk or diversification) in a transparent, rules-driven way.

loss harvesting financial

Loss harvesting is the practice of selling investments that have fallen in value to lock in a loss for tax purposes, then replacing them with similar but not identical assets to keep the portfolio’s market exposure. It matters because those realized losses can be used to offset taxable gains or reduce taxable income, effectively lowering a tax bill over time—like applying a coupon to reduce what you owe—though tax rules and trading costs can affect the benefit.

scenario modeling technical

Scenario modeling is a method of creating multiple plausible future financial outcomes by varying key assumptions—such as sales, costs, interest rates, or market size—and calculating how those changes affect profits, cash flow, and valuation. It matters to investors because it reveals how sensitive a company’s performance and value are to different risks and opportunities, like mapping alternate routes for a trip so you can see which path is safest or most rewarding under different conditions.

automation technical

Automation is the use of technology to perform tasks with minimal human intervention, often replacing manual work with machines or software. It matters to investors because it can increase efficiency, reduce costs, and enable faster decision-making, potentially leading to higher profits and competitive advantages for businesses.

SEATTLE--(BUSINESS WIRE)-- Parametric Portfolio Associates LLC (Parametric), part of Morgan Stanley Investment Management (MSIM), announced today that Radius, its proprietary integrated multi-asset technology platform contributed to more than 19% asset growth and account growth in its first year, while helping deliver tax efficiency for clients. Radius, launched in January 2025, integrates capabilities across asset classes to facilitate a highly customized, seamless client experience beginning with account onboarding and extending through ongoing account management and reporting. It delivers cloud-native scale enabling advanced data analysis across hundreds of thousands of investment portfolios every day and powers higher trading volume.

“Today’s investors want customized, multi-asset solutions that address a full range of investment needs, and they want to access them within a single portfolio,” said Ranjit Kapila, Co-President and Chief Operating Officer, Parametric. “Technology innovations like Radius are critical to delivering highly personalized solutions at scale, while making account management fast, flexible and accessible.”

Parametric provides customized solutions to both institutional and retail investors across a wide range of rules-based investment strategies including tax management, direct indexing, custom portfolio solutions and factor-based equities. Radius automates and scales these complex functions, which makes it easier to manage a large number of highly customized accounts that are tailored to each investor’s distinct needs and preferences.

Key features of Radius include:

• Cloud native scale enables large data volumes to interact reliably and efficiently
• Increased trading capacity powers significantly higher trading volumes that seek to deliver greater tax efficiency through systematic loss harvesting
• Enhanced reporting tools offer clients comprehensive transition analysis reports and a range of analytical options including pretax and after-tax return illustrations
• Simplified client onboarding results in high-speed account activation and the ability to incorporate scenario modeling from prior transition analyses.
• Streamlined data architecture offers increased customization across asset classes and specific investment preferences
• Dynamic automation for formerly manual workflows and operational tasks

“We will continue to enhance Radius and evolve the platform, but year one has already helped us improve our interactions with clients, created an opportunity for greater scale and positioned us to more easily integrate our systems with end user platforms,” said Kapila.

Radius is positioned to continue increasing scale for both the fixed income tax optimized business, as well as the equity direct indexing business, thereby improving the advisor and client experience by reducing onboarding times and streamlining portfolio activities.

About Parametric
Parametric partners with advisors, institutions, and consultants to build innovative portfolio solutions focused on achieving their long-term financial objectives. A leader in custom solutions for more than 30 years, Parametric helps investors efficiently access market exposure, solve implementation challenges, and design multi-asset portfolios that respond to evolving needs. Parametric also offers systematic alpha strategies to complement clients’ core holdings. Parametric is part of Morgan Stanley Investment Management, the asset management division of Morgan Stanley. Learn more at parametricportfolio.com.

About Morgan Stanley Investment Management
Morgan Stanley Investment Management, together with its investment advisory affiliates, has more than 1,400 investment professionals around the world and $1.9 trillion in assets under management or supervision as of December 31, 2025. 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 www.morganstanley.com/im.

About Morgan Stanley
Morgan Stanley (NYSE: MS) is a leading global financial services firm providing a wide range of investment banking, securities, wealth management and investment management services. With offices in 42 countries, the Firm's employees serve clients worldwide including corporations, governments, institutions and individuals. For more information about Morgan Stanley, please visit www.morganstanley.com.

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Media Relations:

Pia Saurbier

646.469.5902

Pia.Saurbier@morganstanley.com



Colleen McElhinney

617.672.8995

Colleen.McElhinney@morganstanley.com

Source: Parametric Portfolio Associates LLC