Investors pulled an average $1bn (€700m) each working day from Morgan Stanley Asset Management's fixed-income and money market strategies over the three months to the end of November, contributing to a dramatic turnaround in the division's fortunes as it posted a $1.2bn loss for the period.

The funds arm looked after $399bn at the end of November, down from $570bn managed at the end of August, a drop of 30%. The figures were revealed in Morgan Stanley's fourth quarter results published today.