Morgan Stanley Investment Funds - stockselection

US Bond Fund
STATEMENT OF INVESTMENTS (continued)
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 US dollars.
Investments
Corporate Bonds (continued)
Nominal in
US dollars
unless specified
Market
value
% of net
assets
United States of America (continued)
Enterprise Products Operating co gtd 6.5% /2019 75,000 76,457 0.17
Farmers Exchange Capital debentures
Ser144A priv plmt 7.05% /2028 110,000 76,309 0.17
MetLife sr unsecur SerA 6.817% /2018 75,000 75,799 0.17
Time Warner Cable co gtd 8.75% /2019 65,000 75,520 0.17
Public Service Company of Colorado 1st
Mortgage 6.5% /2038 65,000 74,012 0.17
Amgen sr nts 5.7% /2019 70,000 73,904 0.17
Ohio Edison sr unsecur 6.4% /2016 70,000 71,719 0.16
Coca-Cola sr unsecur 4.875% /2019 70,000 71,632 0.16
US Bancorp sr nts 4.2% /2014 70,000 70,963 0.16
Cisco Systems sr unsecur 4.95% /2019 70,000 70,044 0.16
Devon Financing co gtd
7.875% /2031 (Canada) (4) 60,000 69,783 0.16
PPL Energy Supply sr unsecur 6.3% /2013 65,000 68,287 0.15
Plains All American Pipeline / PAA Finance co gtd
6.7% /2036 75,000 67,819 0.15
BB&T sr unsecur 6.85% /2019 65,000 67,519 0.15
Illinois St Toll 6.184% /2034 65,000 66,260 0.15
Biogen Idec sr unsecur 6.875% /2018 65,000 66,093 0.15
Emerson Electric sr unsecur 4.875% /2019 65,000 65,825 0.15
Hewlett-Packard sr unsecur 4.75% /2014 60,000 62,495 0.14
Detroit Edison sr secured 6.125% /2010 60,000 62,155 0.14
Yum! Brands sr unsecur 6.25% /2018 60,000 61,963 0.14
Nisource Finance co gtd 6.8% /2019 65,000 61,511 0.14
PNC Funding co gtd 6.7% /2019 60,000 61,355 0.14
NYSE Euronext sr unsecur 4.8% /2013 60,000 61,218 0.14
Alabama Power sr unsecur 5.8% /2013 55,000 59,872 0.13
Archer-Daniels-Midland sr unsecur 5.45% /2018 55,000 57,527 0.13
Verizon Communications sr unsecur 8.95% /2039 45,000 57,198 0.13
Kraft Foods sr unsecur 6.125% /2018 55,000 56,934 0.13
Kla-Tencor sr unsecur 6.9% /2018 70,000 56,398 0.13
Altria Group co gtd 9.25% /2019 50,000 55,849 0.13
Peco Energy 1st reference mortgage 5.35% /2018 55,000 55,781 0.13
Ohio Power sr unsecur SerK 6% /2016 55,000 54,323 0.12
FPL Group Capital co gtd 6% /2019 (3) 50,000 54,147 0.12
EI Du Pont de Nemours & Co sr unsecur 6% /2018 50,000 53,472 0.12
Verizon Wireless Capital sr unsecur
Ser144A priv plmt 5.55% /2014 50,000 53,170 0.12
Comcast co gtd 6.5% /2017 50,000 53,017 0.12
Texas Eastern Transmission sr unsecur 7% /2032 50,000 52,747 0.12
General Mills sr unsecur 5.25% /2013 50,000 52,298 0.12
Bank of New York Mellon sr unsecur 5.125% /2013 50,000 52,201 0.12
Honeywell International sr unsecur 5.3% /2018 50,000 52,053 0.12
Questar Market Resources sr unsecur 6.8% /2018 55,000 52,003 0.12
Harley-Davidson Funding sr nts Ser144A priv plmt
6.8% /2018 60,000 51,935 0.12
Union Electric sr secured 6.7% /2019 50,000 51,865 0.12
John Deere Capital sr nts SerMTN 5.75% /2018 50,000 51,750 0.12
Apache nts 6.9% /2018 45,000 51,429 0.12
Travelers Cos sr unsecur 5.8% /2018 50,000 51,373 0.12
Time Warner Cable co gtd 8.25% /2019 45,000 51,124 0.12
ACE INA Holdings co gtd 5.9% /2019 50,000 50,323 0.11
Time Warner co gtd 5.875% /2016 50,000 49,916 0.11
Boeing sr unsecur 6% /2019 45,000 48,530 0.11
Daimler Finance North America co gtd 7.3% /2012 45,000 46,732 0.11
Monsanto sr unsecur 5.125% /2018 45,000 46,503 0.10
Pripal Financial Group sr unsecur 8.875% /2019 45,000 46,296 0.10
Norfolk Southern sr unsecur Ser144A priv plmt
5.75% /2016 45,000 46,250 0.10
Parker Hannifin sr unsecur SerMTNA 5.5% /2018 45,000 46,196 0.10
Kroger co gtd 5% /2013 45,000 46,118 0.10
Public Service Electric & Gas secured SerMTNB
5% /2013 45,000 46,070 0.10
Investments
Corporate Bonds (continued)
Morgan Stanley Investment Funds 30 June 2009 84
Nominal in
US dollars
unless specified
Market
value
% of net
assets
United States of America (continued)
Xerox sr unsecur 6.35% /2018 50,000 44,397 0.10
Yum! Brands sr unsecur 8.875% /2011 40,000 43,414 0.10
Allstate sr unsecur 7.45% /2019 40,000 43,236 0.10
Delhaize America unsecur co gtd 9% /2031 35,000 42,602 0.10
Viacom sr unsecur 6.875% /2036 45,000 41,594 0.09
Travelers sr unsecur 5.9% /2019 40,000 41,381 0.09
JPMorgan Chase & Co sr unsecur 4.75% /2013 40,000 40,620 0.09
Ace INA Holdings co gtd 5.6% /2015 40,000 40,603 0.09
Corning sr unsecur 6.625% /2019 40,000 40,308 0.09
Microsoft sr unsecur 4.2% /2019 40,000 39,079 0.09
Daimler Finance North America co gtd 8.5% /2031 35,000 36,912 0.08
Procter & Gamble sr unsecur 4.6% /2014 35,000 36,708 0.08
Hewlett-Packard sr unsecur 5.5% /2018 35,000 36,609 0.08
CVS Pass-Through Trust pass through certs
Ser144A priv plmt 8.353% /2031 35,000 34,976 0.08
Citigroup sr unsecur 6.125% /2018 40,000 34,893 0.08
ConocoPhillips co gtd 5.75% /2019 30,000 31,550 0.07
Bunge Finance co gtd 8.5% /2019 30,000 31,245 0.07
Baxter International sr unsecur 4.625% /2015 30,000 30,851 0.07
Caterpillar Financial Services sr unsecur SerMTNF
4.9% /2013 30,000 30,829 0.07
Simon Property Group sr unsecur 6.75% /2014 30,000 30,444 0.07
Cisco Systems nts 5.9% /2039 30,000 29,923 0.07
Citigroup sr unsecur 6.125% /2017 30,000 26,263 0.06
American Express sr unsecur 8.125% /2019 25,000 26,183 0.06
Capital One Financial sr nts 7.375% /2014 25,000 25,743 0.06
McDonald’s sr unsecur SerMTNI 5% /2019 25,000 25,646 0.06
State Street sr unsecur 4.3% /2014 25,000 25,205 0.06
Kroger co gtd 6.4% /2017 20,000 21,454 0.05
MetLife nts 7.717% /2019 20,000 21,343 0.05
Chubb sr unsecur 5.75% /2018 20,000 20,752 0.05
Union Pacific sr unsecur 6.125% /2020 20,000 20,590 0.05
WellPoint sr unsecur 7% /2019 20,000 20,585 0.05
MetLife sr unsecur 6.75% /2016 20,000 20,408 0.05
Emerson Electric sr unsecur 5% /2019 20,000 20,207 0.05
Nisource Finance co gtd 1.231% 23/11/2009 (3) 20,000 19,842 0.04
Kraft Foods sr unsecur 6.75% /2014 15,000 16,457 0.04
Bristol-Myers Squibb sr unsecur 5.45% /2018 15,000 15,955 0.04
Kraft Foods sr unsecur 7% /2037 15,000 15,891 0.04
Pacificorp 1st motgage 5.5% /2019 15,000 15,823 0.04
Wyeth sr unsecur 5.45% /2017 15,000 15,565 0.04
Oracle sr unsecur 5.75% /2018 10,000 10,640 0.02
Time Warner unsecur co gtd 7.7% /2032 5,000 5,007 0.01
Anheuser-Busch InBev Worldwide co gtd
Ser144A priv plmt 5.375% /2014 5,000 4,977 0.01
Total for United States of America 32.46
United Kingdom
Systems 2001 Asset Trust ‘G’ co gtd Ser144A
priv plmt 6.664% /2013 (Cayman Islands) (4) 109,322 109,322 0.25
Barclays Bank sr unsecur 6.75% /2019 105,000 104,096 0.24
WPP Finance co gtd 8% /2014 100,000 102,134 0.23
HBOS subord nts Ser144A priv plmt
6.75% /2018 130,000 99,579 0.22
Pearson Dollar Finance Two co gtd
Ser144A priv plmt 6.25% /2018 100,000 96,269 0.22
Nationwide Building Society sr unsecur
Ser144A priv plmt 4.25% /2010 95,000 94,031 0.21
BP Capital Markets co gtd 4.75% /2019 90,000 89,714 0.20
Diageo Capital co gtd 7.375% /2014 75,000 85,246 0.19
BAT International Finance co gtd
Ser144A priv plmt 9.5% /2018 65,000 76,674 0.17
Catlin Insurance sr nts Ser144A priv plmt
7.249% perpetual (Bermuda) (3) (4) 125,000 70,085 0.16
AstraZeneca sr unsecur 5.9% /2017 60,000 64,413 0.14
GlaxoSmithKline Capital co gtd
5.65% /2018 (United States of America) (4) 50,000 52,884 0.12
Vodafone Group sr unsecur 5.625% /2017 50,000 50,751 0.11
BP Capital Markets co gtd 3.875% /2015 40,000 40,503 0.09
Total for United Kingdom 2.55