New York credit hedge fund Aravali Partners has added a 22-year Morgan Stanley veteran to boost its institutional sales and business development efforts.

David McMahon joins the $225 million firm, which specializes in municipal arbitrage, relative-value fixed-income and concurrent hedging strategies, from Morgan Stanley, where he focused on municipal bond and derivative sales.

“We are excited to tap David’s unique knowledge and 22 years of experience in the municipal market to expand our collective talents here at the firm,” Mark Young, president, said. “The timing of David’s association with the firm comes during a period of unprecedented dislocation in our markets and we look forward to working with him to capitalize on these opportunities.”