PROSPECTUS dated February 9, 1994            Pricing Supplement No. 31
PROSPECTUS SUPPLEMENT                        to Registration No. 33-52007
Dated February 9, 1994                       February 8, 1995
                                             Rule 424(b)(3)



                           MORGAN STANLEY GROUP INC.
                         MEDIUM - TERM NOTES, SERIES C

Floating Rate Notes Due More Than 9 Months From Date of Issue

Principal Amount:   $200,000,000       Annual Redemption  N/A
                                       Package:
                                                          
Maturity Date:      February 10, 1997  Interest Payment   The 9th day of May,
                                       Dates:             August, November
                                                          and February
                                                          
Interest Rate           CD Rate        Interest Reset     The 9th day of May,
Basis:              ---                Dates:             August, November
                                                          and February
                        Commercial                        
                    --- Paper Rate
                                       Interest Payment   Quarterly
                                       Period:
                        Federal Funds                     
                    --- Rate
                                       Interest Reset     Quarterly
                     X  LIBOR          Period:
                    ---
                                                          
                        Prime Rate
                    ---
                                       Interest           Two London Banking
                        Treasury Rate  Determination      Days prior to the
                    ---                Dates:             Interest Reset Date
                                                          
                        Other
                    ---
                                       Settlement Date:   
                                       (Original Issue    February 9, 1995
                                        Date)
Applicability of                                          
Modified            
Banking Day         Yes
Convention:
                                       Ranking:           Senior
Index Maturity:     3-Month                               
                                       Calculation        Chemical Bank
                                       Agent:
Spread:             +0.25%                                
                                       Book Entry Note    Book Entry
                                       or Certified:
Spread Multiplier:  N/A                                   
                                       Reporting          Reuters (LIBO
                                       Service:           Screen)
Maximum Interest    N/A                                   
Rate:
                                       Alternative Rate   N/A
                                       Event
                                       Spread:
Minimum Interest    N/A                                   
Rate:
                                       Put/Call Date:     N/A
Initial Repayment   N/A                                   
Date:
                                       Put/Call Price:    N/A
Initial Repayment                                         
Percentage          N/A                Put/Call           N/A
Reduction:                             Modification:
                                                          
Interest Accrual    February 9, 1995   Initial Interest   May 9, 1995
Date:                                  Reset Date:
                                                          
Initial Interest    To be determined   Initial            N/A
Rate:               on February 9,     Redemption
                    1995               Percentage:
                                                          
Initial Redemption  N/A                                   
Date:
                                                          
Capitalized terms not defined above have the meanings given to such terms in
the accompanying Prospectus Supplement.