Morgan Stanley's MSSE Brings Spot Ether Exposure at Market-Leading Fee

Morgan Stanley's MSSE is a new spot ether exchange-traded fund that allows everyday investors to hold ether (ETH) inside an ordinary brokerage or retirement account. The fund, which launched on July 28, 2026, trades on NYSE Arca and is sponsored by Morgan Stanley Investment Management.

The expense ratio for MSSE is a market-leading 0.14%, or roughly $14 a year on a $10,000 investment. This undercuts several established rivals whose sponsor fees sit higher. Investors paying more elsewhere may be getting longer track records or waived fees that expire.

MSSE can stake its ether holdings and pass rewards directly to investors. However, ETH has fallen 51% over the past year. The fund's objective is to track the performance of ether as measured by the CoinDesk Ether Benchmark 4PM NY Settlement Rate, adjusted for expenses and staking rewards.

The risks are substantial. Ether itself has been volatile, down about 36.62% year to date and 50.51% over the past year. Bitcoin has fared better recently, down 27.28% year to date at around $63,630.