CHARLOTTE, North Carolina (Reuters) - Morgan Stanley's proprietary trading unit will be spun off as an independent firm by the end of 2012, the New York-based investment bank said on Monday.
The unit, known internally as process driven trading, will be named PDT Advisers and will be run by Morgan Stanley's proprietary trading chief, Peter Muller.
Morgan Stanley said the 60 employees worldwide currently working in proprietary trading are expected to move to the new firm.
During a two-year transition period, PDT Advisers will continue to manage Morgan Stanley's proprietary trading, as well as expand its business to include third-party investors.
(Reporting by Joe Rauch; editing by John Wallace)
