Morgan Stanley Investment Funds - stockselection

European Currencies High Yield Bond Fund
INVESTMENT AIMS
To provide an attractive rate of return,
measured in Euro, through investments
worldwide primarily in lower rated and
unrated fixed income securities issued by
governments, agencies and corporations
that offer a yield above that generally
available on debt securities in the four
highest rating categories of S&P or Moody’s
denominated in European currencies.
Please refer to the full prospectus for the Fund’s investment objective and policy.
Corporate Bonds
Morgan Stanley Investment Funds 30 June 2009 70
STATEMENT OF INVESTMENTS
Transferable securities and money market instruments admitted
to official exchange listing or dealt in on another regulated
market. As at 30 June 2009, expressed in Euro.
Investments
Holdings/
Nominal in
Euro unless
specified
Market
value
% of net
assets
United States of America
GMAC nts SerRegS 5.375% /2011 (USD) 4,356,000 2,615,054 3.03
Fiat Finance North America co gtd
SerEMTN 5.625% /2017 3,000,000 2,085,000 2.41
Fresenius US Finance II sr nts SerRegS
8.75% /2015 1,500,000 1,612,500 1.87
CIT Group sr unsecur SerEMTN
4.65% /2016 3,000,000 1,530,000 1.77
Chesapeake Energy co gtd 6.25% /2017 1,190,000 1,023,400 1.19
Huntsman International co gtd SerRegS
6.875% /2013 1,315,000 956,663 1.11
Nalco co gtd 7.75% /2011 850,000 841,500 0.97
Owens-Brockway Glass Container co gtd
6.75% /2014 830,000 755,300 0.87
Johnsondiversey co gtd SerEURO
9.625% /2012 740,000 677,100 0.78
Iron Mountain co gtd SerEMTN
6.75% /2018 800,000 676,000 0.78
Xerox sr nts 8.25% /2014 (USD) 825,000 610,876 0.71
Iron Mountain co gtd Ser144A priv plmt
7.25% /2014 (GBP) 550,000 594,129 0.69
Qwest Capital Funding unsecur co gtd
6.5% /2018 (USD) 1,000,000 543,498 0.63
Nalco co gtd 9% /2013 545,000 536,825 0.62
Whirlpool nts 8.6% /2014 (USD) 725,000 532,288 0.62
Travelport co gtd 10.875% /2016 1,100,000 489,500 0.57
AES sr unsecur 8.375% /2011 (GBP) 431,000 483,293 0.56
HCA sr unsecur 6.25% /2013 (USD) 750,000 466,236 0.54
Momentive Performance Materials co gtd
9% /2014 1,000,000 395,000 0.46
HCA sr secured 9.125% /2014 (USD) 500,000 352,563 0.41
Community Health Systems co gtd
8.875% /2015 (USD) 500,000 349,011 0.40
Supervalu sr unsecur 8% /2016 (USD) 500,000 346,346 0.40
Huntsman International co gtd 7.5% /2015 500,000 335,000 0.39
Pilgrim’s Pride sr unsecur defaulted
7.625% /2015 (USD) 440,000 273,525 0.32
Truvo Subsidiary sr secured SerRegS
8.5% /2014 1,000,000 270,000 0.31
Travelport co gtd SerEXCH
5.895% /2014 (3) 500,000 245,000 0.28
Texas Competitive Electric Holdings co gtd
SerA 10.25% /2015 (USD) 500,000 219,353 0.25
General Motors sr unsecur defaulted
8.375% /2033 1,450,000 166,025 0.19
Oxford Industries co gtd 8.875% /2011 (USD) 130,000 92,821 0.11
Total for United States of America 23.24
France
Pernod-Ricard sr unsecur SerEMTN
7% /2015 1,750,000 1,783,827 2.07
Europcar Groupe sr secured SerRegS
4.781% /2013 (3) 2,700,000 1,579,500 1.83
Banque PSA Finance sr unsecur
SerEMTN 8.5% /2012 1,500,000 1,566,151 1.81
Crown European Holdings sr secured
6.25% /2011 1,500,000 1,440,000 1.67
RCI Banque unsubord SerEMTN
8.125% /2012 1,000,000 1,041,092 1.21
Renault sr unsecur SerEMTN
4.375% /2013 1,000,000 928,230 1.07
Lafarge sr unsecur SerEMTN
5.375% /2017 1,000,000 884,173 1.02