Ex-Morgan Stanley executive Cruz to start fund

NEW YORK Oct 8 (Reuters) - Former Morgan Stanley (MS.N) Co-President Zoe Cruz is planning to launch a new hedge fund, the Wall Street Journal said, according to people familiar with the situation.

The 54-year-old former currency trader and bond-trading executive has opened a new office and is working on hiring staffers -- including some ex-colleagues at Morgan Stanley - for a firm she plans to call Voras Capital Management, the Journal said citing these people.

Cruz described Voras as a hedge fund with a planned strategy of investing in a wide range of distressed assets and making macroeconomic bets on currencies and other securities, the Journal said citing people she has spoken to.

Voras is the Greek word for "north" and Cruz was born a small Greek town before moving to the United States.

Cruz could not be reached for comment on Thursday evening.

Voras expects to launch with $200 million in assets, though the size isn't certain yet, a person familiar with the matter told the Journal. The fund may not open for several months or more, the Journal said.

Over a 25-year career at Morgan Stanley, Cruz ran some of the most profitable trading desks at the firm. She was often discussed as the heir apparent to Morgan Stanley Chief Executive John Mack.

Cruz left Morgan Stanley in 2007, a victim of the financial crisis. (Reporting by Ilaina Jonas; editing by Carol Bishopric)