Morgan Stanley to raise $1-3B property fund.

Morgan Stanley's (MS) Msref real-estate department reportedly intends to raise a new $1-3B global property fund and hopes that China Investment Corp., which owns 6.4% in the bank, will become an anchor investor. However, Morgan Stanley might have problems attracting other potential backers, such as Calpers and the New York State Common Retirement Fund, both of which have been burned by placing their money with Msref.