# Investment Objectives and Policies
The purpose of the Company is to provide investors with an opportunity for investment in a professionally managed fund range which seeks to spread investment risks in order to achieve an optimum return from the capital invested.
For this purpose the Company offers a range of Funds which allow investors to make their own strategic allocation by combining holdings in the various Funds in proportions of their own choosing.
In accordance with the UCITS regime, the information below includes a description of the profile of the typical investor for whom each Fund has been designed. Please note however that this information does not constitute investment advice and potential investors should consult their own professional advisers concerning the acquisition, holding or disposal of any Shares in any of the Funds. Neither the Company nor the Management Company makes any representation in relation to the suitability, appropriateness or otherwise of an investment in Shares in any of the Funds.
Sub-distributors or other intermediaries who require the manufacturer’s target market assessment for the purposes of MiFID II should contact the Management Company at: cslux@morganstanley.com. Funds will not be offered for sale to the public in a given jurisdiction until all proper authorisations in the relevant jurisdiction are obtained.
Each of the Funds is managed in accordance with the investment and borrowing restrictions specified in Appendix A.
The Funds are authorised to use derivatives either for hedging or efficient portfolio management purposes or
as part of their investment strategies as described in the Funds’ investment objectives. Unless stated otherwise in the investment objectives of a Fund, a Fund which uses derivatives will do so for hedging and/or efficient portfolio management purposes only. Funds using derivatives will do so within the limits specified in Section 3 of Appendix
A. Investors should refer to Section 1.5 “Risk Factors” for special risk considerations applicable to derivatives. The Funds may gain exposure to eligible financial indices or reference assets which are in line with their investment objectives through one or several total return swaps (“TRS”) or similar financial derivative instruments, as further described under Appendix A.
The Funds listed below may engage in the trading of futures, options on futures or on commodities and/or certain swaps. Although Morgan Stanley Investment Management Inc., a Sub-Adviser, is registered with the
U.S. Commodity Futures Trading Commission (“CFTC”) as a commodity trading advisor (“CTA”) and is a member of the U.S. National Futures Association in such capacity, in respect of the Funds below for which it acts as sub-adviser, Morgan Stanley Investment Management Inc. relies on an exemption from registration as a CTA under CFTC Rule 4.14(a)(8) and, accordingly, will provide commodity interest trading advice to the Funds as if it were exempt from registration as a CTA. Morgan Stanley Investment Management Limited and the remaining Sub-Advisers are exempt from registration with the CFTC as a CTA under Rule 3.10(c)(3) in respect of the Funds below for which each entity acts as Investment Adviser or Sub- Adviser, as applicable.
American Resilience Fund	Global Focus Property Fund
Asia Opportunity Fund	Global High Yield Bond Fund
Calvert Sustainable Climate Aligned Fund	Global Infrastructure Fund
Calvert Sustainable Climate Transition Fund	Global Insight Fund Calvert Sustainable Developed Europe Equity Select Fund	Global Macro Fund
Calvert Sustainable Developed Markets Equity Select Fund	Global Multi-Asset Opportunities Fund Calvert Sustainable Diversity, Equity and Inclusion Fund	Global Opportunity Fund
Calvert Sustainable Emerging Markets Equity Select Fund	Global Permanence Fund Calvert Sustainable Global Equity Engagement Fund	Global Property Fund
Calvert Sustainable Global Green Bond Fund	Latin American Equity Fund
Calvert Sustainable US Equity Select Fund	NextGen Emerging Markets Fund
Counterpoint Global Fund	Parametric Emerging Markets Fund
Developing Opportunity Fund	Parametric Global Defensive Equity Fund
Emerging Markets Corporate Debt Fund	Short Duration US Government Income Fund
Emerging Markets Debt Fund	Short Maturity Euro Corporate Bond Fund
Emerging Markets Debt Opportunities Fund	Sustainable Emerging Markets Equity Fund
Emerging Markets Domestic Debt Fund	Sustainable European High Yield Bond Fund Emerging Markets Fixed Income Opportunities Fund	Sustainable Global Fixed Income Opportunities Fund Emerging Markets Local Income Fund	Sustainable Global High Yield Bond Fund
Europe Opportunity Fund	Sustainable US High Yield Bond Fund
European Fixed Income Opportunities Fund	US Advantage Fund
Floating Rate ABS Fund	US Core Equity Fund
Frontier Markets Local Debt Fund	US Dollar Corporate Bond Fund
Global Asset Backed Securities Fund	US Dollar High Yield Bond Fund
Global Balanced Sustainable Fund	US Dollar Short Duration Bond Fund
Global Bond Fund	US Dollar Short Duration High Yield Bond Fund
Global Convertible Bond Fund	US Focus Property Fund
Global Core Equity Fund	US Growth Fund
Global Credit Fund	US Insight Fund
Global Credit Opportunities Fund	US Permanence Fund
Global Endurance Fund	US Value Fund
Global Fixed Income Opportunities Fund	Vitality Fund
The Funds are authorised to employ efficient portfolio management techniques within the limits specified in Section 3 of Appendix A. The attention of investors is drawn to the fact that all Funds may from time to time use efficient portfolio management techniques such as securities lending and repurchase and reverse repurchase transactions. Investors should refer to Section 1.5 “Risk Factors” for special risk considerations applicable to efficient portfolio management techniques and derivatives.
An investment in any of the Company’s Funds is not a deposit in a bank or other insured depository institution. Investment may not be appropriate for all investors. Each Fund is not intended to be a complete investment programme and investors should consider their investment goals and financial needs when making an investment decision about a particular Fund. An investment in the Company’s Funds is intended to be a medium or long term investment. Funds should not be used as trading vehicle.
GENERAL INFORMATION RELATING TO THE FUNDS
The term “limited extent” will refer to a level equal to that of 10% or less of the actually invested assets (net assets after deducting Cash Equivalents) of each Fund. Individual Funds may impose different levels and these will be outlined in the objectives for that Fund. The investment objectives and strategies of the Funds may not exhaustively disclose all ancillary eligible investments under the 2010 Law that the Funds may hold, provided such eligible investments do not exceed 5% of the net assets of the Funds.
Each Fund may hold ancillary liquid assets (i.e. bank deposits at sight, such as cash held in current accounts with a bank accessible at any time) up to 20% of their net assets in order to cover current or exceptional payments, or for the time necessary to reinvest in eligible assets provided under article 41(1) of the 2010 Law or for a period of time strictly necessary in case of unfavourable market conditions. Such restriction may, under exceptionally unfavourable market conditions (for instance in highly serious circumstances such as the September 11 attacks or the bankruptcy of Lehman Brothers in 2008), temporarily be exceeded for a period of time strictly necessary up to 100% of their net assets, in order to take measures to mitigate risks relative to such exceptional unfavourable market conditions, in the best interest of the Shareholders.
Unless otherwise specified in their investment objectives and strategies, all Funds may hold Cash Equivalents up to 100% of their net assets in order to (i) achieve their investment goals, and/ or for (ii) treasury purposes, and/or (iii) in case of unfavourable market conditions. Money market instruments include without limitation commercial papers, certificates of deposit and short term government bonds. All Funds may also invest in short-term money market funds and money market funds as defined by CESR’s Guidelines on a common definition of European money market funds dated 19 May 2010 (CESR/10-049) (Short-Term Money Market Funds and Money Market Funds). This may include investment in any sub-funds of the Morgan Stanley Liquidity Funds or any other Short-Term Money Market Funds and Money Market Funds managed by the Investment Advisers or any of the Sub-Advisers.
2
The Russian Trading Stock Exchange and the Moscow Interbank Currency Exchange are the only exchanges in the Russian Federation that qualify as Recognised Exchanges within the meaning of Article 41 (1) of the 2010 Law.
Any investment in SPACs will be limited to 10% of the net assets of the Funds.
The Funds may invest in China A-Shares via Stock Connect to the extent authorised under their investment objective. Investors of the relevant Funds should refer to Section 1.5 “Risk Factors” for special risk considerations applicable to investment in China A-Shares via Stock Connect.
If a currency is mentioned in brackets in the name of a Fund, such currency is the reference currency of such Fund and is used for performance measurement and accounting purposes. It may differ from the investment currency of the Fund.
There can be no guarantee that the investment objectives of the Funds will be met.
Investors should consult the key investor information document of the relevant Class of Share, for information relating to historic performance.
GENERAL INFORMATION RELATING TO SUSTAINABILITY RISKS INTEGRATION
In keeping with Morgan Stanley Investment Management’s commitment to sustainable investing, the Company has adopted a Sustainable Investing Policy which can be found on www.morganstanley.com/im/sustainable-investing and on www.morganstanleyinvestmentfunds.com. The Company’s Sustainable Investing Policy outlines how the Company’s governance structure, ESG integration, ESG Funds and stewardship, engagement and voting activities support the Company to fulfil its fiduciary duty and respond to investor preferences and needs.
2  
The Morgan Stanley Liquidity Funds (including all of its sub-funds) are not approved for distribution to non-qualified investors in Switzerland).
Stewardship activities in particular, are integral to our role as active long-term investors as they enable us to encourage companies and issuers to improve their performance on a range of sustainability issues, risks and opportunities. Approaches to engagement and stewardship vary across our investment teams based on the specific security/company, asset class, investment strategy and materiality of sustainability issues, risks and opportunities. Further details can be found in our Sustainable Investing Policy which can be found on www.morganstanley.com/im/sustainable-investing and on www.morganstanleyinvestmentfunds.com.
Pursuant to EU Regulation (EU) 2019/2088 on sustainability-related disclosures in the financial services sector (the “
SFDR
”), the Funds are required to disclose the manner in which Sustainability Risks (as defined in section 1.5.1. General Risk Factors hereafter) are integrated into the investment decision and the results of the assessment of the likely impacts of Sustainability Risks on the returns of the Funds.
The Company recognizes that various Sustainability Risks can threaten the investments at individual asset level and portfolio level. These Sustainability Risks may include climate change transition and physical risks, natural resources depletion, waste intensity, labor retention, turnover and unrest, supply chain disruption, corruption and fraud and reputational concerns associated with human rights violations.
The Company recognizes that the universe of relevant Sustainability Risks will grow and evolve over time. The materiality of such risks and financial impacts on an individual asset and on a portfolio as a whole depends on industry, country, asset class, and investment style. The Investment Advisers, the Sub-Advisers, or the Management Company, as the case may be, are ultimately responsible for the incorporation of materially relevant Sustainability Risks into due diligence and research, valuation, asset selection, portfolio construction, and ongoing investment monitoring alongside with other material risk factors.
The assessment of the likely impact of the relevant Sustainability Risks must therefore be conducted at each Fund level. The Funds, having a diversified portfolio, may be exposed to different Sustainability Risks varying from issuers, markets, sectors, financial instruments, geographical regions, etc. Unless specific information is given in relation to a Fund under Section 1.2 “Investment Objectives and Policies”, it is not anticipated that any single Sustainability Risk will drive a material negative financial impact on the value of a Fund. Additional information about SFDR as applicable to the Company, as the case may be, can be found on www.morganstanley.com/im.
The Funds do not promote environmental or social characteristics nor have a sustainable investment as their objective and are considered as falling within the scope of Article 6 of the SFDR
except the Funds listed below
3
:
- American Resilience Fund (Article 8 of the SFDR);
- Asia Opportunity Fund (Article 8 of the SFDR);
- Calvert Sustainable Climate Aligned Fund (Article 9 of the SFDR);
- Calvert Sustainable Climate Transition Fund (Article 9 of the SFDR);
- Calvert Sustainable Developed Europe Equity Select Fund (Article 9 of the SFDR);
- Calvert Sustainable Developed Markets Equity Select Fund (Article 9 of the SFDR);
- Calvert Sustainable Diversity, Equity and Inclusion Fund (Article 9 of the SFDR);
- Calvert Sustainable Emerging Markets Equity Select Fund (Article 9 of the SFDR);
- Calvert Sustainable Global Equity Engagement Fund (Article 9 of the SFDR);
- Calvert Sustainable Global Green Bond Fund (Article 9 of the SFDR);
- Calvert Sustainable US Equity Select Fund (Article 9 of the SFDR);
- Counterpoint Global Fund (Article 8 of the SFDR);
- Developing Opportunity Fund (Article 8 of the SFDR);
- Emerging Leaders Equity Fund (Article 8 of the SFDR);
- Emerging Markets Corporate Debt Fund (Article 8 of the SFDR);
- Emerging Markets Debt Fund (Article 8 of the SFDR);
- Emerging Markets Debt Opportunities Fund (Article 8 of the SFDR);
- Emerging Markets Domestic Debt Fund (Article 8 of the SFDR);
- Emerging Markets Fixed Income Opportunities Fund (Article 8 of the SFDR);
- Emerging Markets Local Income Fund (Article 8 of the SFDR);
- Euro Bond Fund (Article 8 of the SFDR);3 As from the 12 December 2022, the following Funds will fall within the scope of Article 8 of the SFDR (please refer to the relevant footnotes under their respective investment objectives and policies below):
- Asian Property Fund;
- European Property Fund;
- Global Focus Property Fund;
- Global Infrastructure Fund;
- Global Property Fund;
- US Focus Property Fund; and
- US Property Fund.
- Euro Corporate Bond Fund (Article 8 of the SFDR);
- Euro Corporate Bond – Duration Hedged Fund (Article 8 of the SFDR);
- Euro Strategic Bond Fund (Article 8 of the SFDR);
- Europe Opportunity Fund (Article 8 of the SFDR);
- European Fixed Income Opportunities Fund (Article 8 of the SFDR);
- European High Yield Bond Fund (Article 8 of the SFDR);
- Floating Rate ABS Fund (Article 8 of the SFDR);
- Frontier Markets Local Debt Fund (Article 8 of the SFDR);
- Global Asset Backed Securities Fund (Article 8 of the SFDR);
- Global Balanced Fund (Article 8 of the SFDR);
- Global Balanced Sustainable Fund (Article 8 of the SFDR);
- Global Bond Fund (Article 8 of the SFDR);
- Global Brands Equity Income Fund (Article 8 of the SFDR);
- Global Brands Fund (Article 8 of the SFDR);
- Global Convertible Bond Fund (Article 8 of the SFDR);
- Global Credit Fund (Article 8 of the SFDR);
- Global Credit Opportunities Fund (Article 8 of the SFDR);
- Global Endurance Fund (Article 8 of the SFDR);
- Global Fixed Income Opportunities Fund (Article 8 of the SFDR);
- Global High Yield Bond Fund (Article 8 of the SFDR);
- Global Insight Fund (Article 8 of the SFDR);
- Global Opportunity Fund (Article 8 of the SFDR);
- Global Permanence Fund (Article 8 of the SFDR);
- Global Quality Fund (Article 8 of the SFDR);
- Global Sustain Fund (Article 8 of the SFDR);
- Japanese Equity Fund (Article 8 of the SFDR);
- NextGen Emerging Markets Fund (Article 8 of the SFDR);
- Short Maturity Euro Bond Fund (Article 8 of the SFDR);
- Short Maturity Euro Corporate Bond Fund (Article 8 of the SFDR);
- Sustainable Asia Equity Fund (Article 8 of the SFDR);
- Sustainable Emerging Markets Equity Fund (Article 8 of the SFDR);
- Sustainable Euro Corporate Bond Fund (Article 8 of the SFDR);
- Sustainable Euro Strategic Bond Fund (Article 8 of the SFDR);
- Sustainable European High Yield Bond Fund (Article 8 of the SFDR);
- Sustainable Global Fixed Income Opportunities Fund (Article 8 of the SFDR);
- Sustainable Global High Yield Bond Fund (Article 8 of the SFDR);
- Sustainable US High Yield Bond Fund (Article 8 of the SFDR);
- US Advantage Fund (Article 8 of the SFDR);
- US Dollar Corporate Bond Fund (Article 8 of the SFDR);
- US Dollar High Yield Bond Fund (Article 8 of the SFDR);
- US Dollar Short Duration Bond Fund (Article 8 of the SFDR);
- US Dollar Short Duration High Yield Bond Fund (Article 8 of the SFDR);
- US Growth Fund (Article 8 of the SFDR);
- US Insight Fund (Article 8 of the SFDR);
- US Permanence Fund (Article 8 of the SFDR); and
- Vitality Fund (Article 8 of the SFDR).

EQUITY FUNDS
The various Equity Funds have the following objectives:
AMERICAN RESILIENCE FUND
The American Resilience Fund’s investment objective is to seek long-term capital appreciation, measured in US Dollars by investing primarily in equity securities, including depositary receipts (including American Depositary Receipts (ADRs) and Global Depositary Receipts (GDRs)) of companies located in the U.S. An issuer is considered to be within the US if it meets the following test: (i) its securities are traded on a recognised stock exchange in the U.S.; (ii) alone or on a consolidated basis it derives 50% or more of its annual revenues or profits from either goods produced, sales made or services performed in the U.S.; (iii) it is organised or has a principal office in the U.S.; (iv) it has at least 50% of its assets, core business operations and/or employees in the U.S., or (v) any other factor which the Investment Adviser, acting reasonably, considers denote an economic exposure to the U.S.
The Investment Adviser seeks to invest in high quality companies that can generate sustainable and high returns on operating capital by identifying companies with dominant market positions typically underpinned by powerful, hard-to-replicate intangible assets (including brands, networks, licenses and patents) and pricing power, resulting in high gross margins. The Investment Adviser also seeks to identify capable management teams able to allocate capital effectively to grow the franchise, maintain the intangible assets and sustain and/or improve returns on operating capital.
The Fund may also invest, on an ancillary basis in equity securities not meeting the criteria of the Fund’s primary investments, debt securities convertible into common shares, preference shares, warrants and other equity linked instruments.
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange traded and over-the-counter options, futures and other derivatives for investment or efficient portfolio management (including hedging) purposes.
Investment restrictions:
- The Fund will apply climate-related restrictions to exclude investments in any company that the Investment Adviser determines:
	- has any tie to fossil fuels (such as oil, gas and coal); or
	- whose core business activity involves energy, construction materials, utilities (excluding renewable electricity and water utilities), metals and mining.

- In addition, the Fund shall not knowingly include any company:
	- whose core business activity involves weapons or civilian firearms; or
	- that is defined by the MSCI ESG Business Involvement Screening Research (“MSCI ESG BISR”) database to have any tie to controversial weapons.


The details of the above exclusions can be found in the Fund’s exclusion policy which is available on the Company’s website (www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im). Further to the above, the Investment Adviser may, in its discretion, elect to apply additional ESG-related investment restrictions over time that it believes are consistent with its investment objectives. Such additional restrictions will be disclosed as they are implemented on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im. Investments that are held by the Fund but become restricted under either the first or second bullet point above after they are acquired for the Fund will be sold. Such sales will take place over a time period to be determined by the Investment Adviser, taking into account the best interests of the Shareholders of the Fund.
As an essential and integrated part of the investment process, the Investment Adviser assesses relevant factors material to long-term sustainably high returns on operating capital including ESG factors and seeks to engage with company management teams as part of this (Subject to the Fund’s investment objective the Fund retains discretion over which investments are selected. Whilst ESG considerations are an integrated and fundamental part of the
investment process, ESG factors are not the sole determinant of whether an investment can be made or a holding can remain in the Fund’s portfolio, but instead the Investment Adviser considers material risks or opportunities in any of the ESG areas which could threaten or enhance high returns on operating capital of a company.
The Investment Adviser monitors business practices on an ongoing basis, through data on ESG controversies and standards screening that the Investment Adviser sources from third party providers, including UN Global Compact violations, as well as its own engagement with company management and research. The Investment Adviser reviews securities of issuers where it believes a significant breach of the above standards and principles has occurred and typically excludes such issuers where, after conducting our research and/or engagement, the Investment Adviser believes the breach is material to the sustainability of returns on operating capital, poses significant financial and reputational risk and the issuer has not committed to appropriate remedial action. Such exclusions are determined by the Investment Adviser in its discretion rather than by reliance on third party analysis. The analysis may be supported by third party ESG controversies analysis and business involvement metrics.
The Fund relies on its research capabilities, analytical resources, and judgement to identify and monitor high quality businesses meeting their investment criteria. The Investment Adviser believes that the number of issuers with high quality businesses meeting their criteria may be limited, and accordingly, the Fund may concentrate its holdings in a relatively small number of companies.
The Investment Adviser generally considers selling a portfolio holding when it determines that the holding no longer satisfies the investment criteria or that replacing the holding with another investment should improve the Fund’s valuation and/or quality.
The Fund is actively managed and is not designed to track a benchmark. Therefore, the management of the Fund is not constrained by the composition of a benchmark. The Fund’s performance is measured against a benchmark as detailed in the Fund’s key investor information document.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the American Resilience Fund’s investment objective, it may be appropriate for investors who:
- seek to invest in equity securities;
- seek capital appreciation over the medium term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

ASIA OPPORTUNITY FUND
The Asia Opportunity Fund’s investment objective is to seek long- term appreciation, measured in US Dollars.
The Fund will seek to achieve its investment objective by investing primarily in equity securities, including depositary receipts (including American Depositary Receipts (ADRs), Global Depositary Receipts (GDRs)), of issuers Located in Asia, excluding Japan, and China A-Shares via Stock Connect.
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange traded and over-the-counter options, futures and other derivatives for investment or efficient portfolio management (including hedging) purposes.
The Fund may also invest, on an ancillary basis, in equity securities not meeting the criteria of the Fund’s primary investments, debt securities convertible into common shares, preference shares, warrants and other equity linked instruments.
The Fund may invest to a limited extent in units/shares of other collective investment schemes, including the Company’s Funds and open-ended ETFs which are eligible investments for UCITS under the 2010 Law.
The Investment Adviser emphasises a bottom-up stock selection process, seeking attractive investments on an individual company basis. In selecting securities for investment, the Investment Adviser seeks high quality established and emerging companies that the Investment Adviser believes are undervalued at the time of purchase. The Investment Adviser typically favours companies it believes have sustainable competitive advantages that can be monetised through growth. The investment process integrates analysis of sustainability with respect to disruptive change, financial strength, environmental and social externalities and governance (also referred to as ESG). The Investment Adviser generally considers selling a portfolio holding when it determines that the holding no longer satisfies its investment criteria.
The Investment Adviser employs a holistic approach to ESG within its company quality assessment by analyzing potential impacts to humanity’s health, environment, liberty and productivity and corporate governance practices to ensure agency, culture and trust. The Investment Adviser views incorporating ESG-related potential risks and opportunities within the investment process as important to ensure long-term stewardship of capital. Over extended time horizons, the Investment Adviser believes that ESG risks are more likely to materialize and externalities not borne by the investee company are more likely to be priced into the value of securities. Since ESG risks could potentially impact the risk and reward profile of investment opportunities, the Investment Adviser typically engages company management in constructive discussions on a range of ESG issues the Investment Adviser deems materially important.
Investments shall not knowingly include any company whose primary business activity involves the following:
- tobacco 
- (securities of issuers classified as Global Industry Classification Standard (“
- GICS
- ”) sub-industry tobacco, or generate 5% or more of revenue from the manufacture of tobacco products);
- coal mining 
- (securities of issuers classified as GICS sub- industry coal & consumable fuels, or generate 10% or more of revenue from the mining and extraction of thermal coal); or
- weapons, including 
- civilian firearms 
- (securities of issuers that generate 10% or more of revenue from the manufacture or production of civilian firearms or ammunition) and 
- cluster munitions and anti-personnel mines 
- (securities of issuers that manufacture, produce or distribute cluster munitions or anti- personnel landmines).

The details of the above exclusions can be found in the Fund’s exclusion policy which is available on the Company’s website (www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im). Further to the above, the Investment Adviser may, in its discretion, elect to apply additional investment restrictions over time that it believes are consistent with its investment objectives. Such additional restrictions will be disclosed as they are implemented on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im. Investments that are held by the Fund but become restricted after they are acquired for the Fund will be sold. Such sales will take place over a time period to be determined by the Investment Adviser, taking into account the best interests of the Shareholders of the Fund.
The Fund is actively managed and is not designed to track a benchmark. Therefore, the management of the Fund is not constrained by the composition of a benchmark. The Fund’s performance is measured against a benchmark as detailed in the Fund’s key investor information document.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the Asia Opportunity Fund’s investment objective it may be appropriate for investors who:
- seek to invest in equity securities;
- seek capital appreciation over the long term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

ASIAN PROPERTY FUND
4
The Asian Property Fund’s investment objective is to seek long-term capital appreciation, measured in US Dollars, by investing primarily in equity securities of companies in the real estate industry Located throughout Asia and Oceania. Companies in the real estate industry may include companies principally engaged in the development and/ or ownership of income-producing property and collective investment vehicles with exposure to property such as publicly quoted property
4 
As from 12 December 2022, the investment policy of the Fund will be changed in order to promote, among other characteristics, environmental or social characteristics, or a combination of those characteristics, provided that the companies in which the investments are made follow good governance. The Fund will then fall within the scope of Article 8 of the SFDR. Consequently, the first paragraph will be amended, as follows:
“The Asian Property Fund’s investment objective is to seek long term capital appreciation, measured in US Dollars, by investing primarily in equity securities of companies in the real estate industry Located throughout Asia and Oceania. Companies in the real estate industry or closely related to the real estate industry may include companies principally engaged in the development and/or ownership of income-producing property; companies that operate, construct, finance or sell real estate; companies with substantial real estate related holdings and/or services or products related to the real estate industry, including, but not limited to, real estate management, brokers, building products and property technology; and collective investment vehicles with exposure to property, such as publicly quoted property unit trusts, all types of eligible closed-end Real Estate Investment Trusts (REITS) and undertakings for collective investment.”
In addition, the third paragraph will be replaced by the following paragraphs:
“The investment process utilizes internal proprietary research to invest in public real estate companies that may offer the best relative value relative to their underlying assets and earnings. The Investment Adviser utilizes a bottom-up approach, valuing each security within the investment universe to arrive at an estimate of net asset value and forward cash flows. Real estate specific factors, broader equity factors, and ESG factors are assessed in the fundamental analysis to calculate appropriate valuation metrics.
The Investment Adviser also incorporates a top-down approach in the portfolio construction process by integrating several factors which may include forecasted fundamental inflections, macroeconomic considerations, and geopolitical and country risk assessments, to achieve diversified exposure across regions, countries and/or sectors.
The Investment Adviser actively integrates sustainability into the investment process by assessing key ESG risks and opportunities in the bottom-up stock selection process primarily by leveraging third-party ESG providers to assess and quantify ESG performance for issuers, supplementing third-party research with proprietary research conducted by the Investment Adviser including utilizing a proprietary framework for assessing and quantifying risks and opportunities related to ESG which results in a quantitative adjustment to valuation estimates, and through engagements with company management to discuss ESG-related strengths, weaknesses, and opportunities in an effort to effect positive change within the industry. Key ESG topics may include, but are not limited to: energy usage and renewables, water usage, emissions, diversity and gender equality,
unit trusts, closed-end Real Estate Investment Trusts (REITS) and undertakings for collective investment.
The Fund may also invest, on an ancillary basis in preference shares, debt securities convertible into common shares, China A-Shares via Stock Connect, warrants and other equity linked instruments. The Fund may invest up to 20% of its net assets in China A-Shares via Stock Connect.
The investment process may consider information about ESG issues in its bottom-up stock selection process when making investment decisions. The Sub-Adviser may engage with company management regarding corporate governance practices as well as what the Sub-Adviser deems to be materially important environmental and/or social issues facing a company.
The Fund is actively managed and is not designed to track a benchmark. Therefore, the management of the Fund is not constrained by the composition of a benchmark. The Fund’s performance is measured against a benchmark as detailed in the Fund’s key investor information document.
Taxonomy Regulation disclosure
The investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities.
Profile of the typical investor
In light of the Asian Property Fund’s investment objective it may be appropriate for investors who:
- seek to invest in equity securities;labour and human rights, employee and tenant health, wellness and safety and company ESG governance and disclosure. In an effort to drive positive change and encourage companies to improve their performance on material ESG issues, the Investment Adviser may approach company management with competitive insights, financially sound business cases and practical solutions to potentially improve their real estate operations. While ESG considerations are an integrated and fundamental part of the investment process, they are only one of several key determinants used by the Investment Adviser to determine if an investment will be made or size adjusted in the overall portfolio.

Investments shall not knowingly include any company whose primary business activity in any of the following is more than 10% of company revenue:
- owning or operating real estate used for prisons;
- owning or operating real estate used to manufacture cannabis;
- owning, manufacturing or production of tobacco;
- owning, manufacturing or production of coal mining;
- owning, manufacturing or production of controversial weapons and civilian firearms; and
- owning, manufacturing or production of arctic oil and gas. Investments shall not knowingly include the following companies:
- companies that have a notable controversy related to their operations and/or products, where the severity of the social or environmental impact of the controversy, is judged by the Investment Adviser;
- companies that fail to comply with the UN Global Compact or the ILO fundamental principles, without material remediation and improvement.

The Investment Adviser references third party ESG data and its own proprietary research during the security research process. The Investment Adviser will review controversy cases (such as the exclusions noted above) that it views as being very severe using ratings by relevant ESG data providers and internal research. However, in some cases data on specific issuers or the exclusions noted above may not be readily available and/or may be estimated by the Investment Adviser using reasonable estimates.”
Finally, the Taxonomy Regulation disclosure will be amended as follows:
“In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.”
- seek capital appreciation over the long term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

CALVERT SUSTAINABLE CLIMATE ALIGNED FUND
The Calvert Sustainable Climate Aligned Fund’s investment objective is to provide long-term capital appreciation, measured in US Dollars, primarily investing in equity securities (as listed below) of companies Located in developed markets that are involved in economic activities that address climate transition and/or are aligned to the long term de-carbonisation objectives of the Paris Agreement.
The Fund will maintain a carbon profile that follows the net zero objectives of the Paris Agreement, as reflected in the appropriate Paris-Aligned benchmark, or in the absence of an approved Paris- Aligned benchmark it will maintain a substantially lower carbon footprint, of at least 50% less than that of the underlying market benchmark (MSCI World Index), and taking into account the long-term carbon reduction objectives of the Paris Agreement which may warrant a revision of the targeted range of reduction over time. Carbon footprint shall be measured as weighted average carbon intensity, defined as tonnes of CO2 per $1million enterprise value including cash.
Although the focus is intended to be on climate-related objectives, the Fund may invest across all of the environmental objectives described below.
The Fund will seek to achieve its investment objective by investing primarily in equity securities, including depositary receipts (such as American Depository Receipts (ADRs), Global Depositary Receipts (GDRs), and European Depository Receipts (EDRs).
The Fund utilizes a quantitative and qualitative ESG research process that applies the Calvert Principles for Responsible Investment to define the investment universe while making sure that such companies do not significantly harm any environmental or social objective. The Calvert Principles for Responsible Investment can be found on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im. The Investment Adviser may engage company management around financially material ESG issues that it deems to have a positive impact on society or the environment.
The Investment Adviser gives due consideration to the relevance and potential materiality of Sustainability Risks for a particular investment opportunity or for the portfolio as a whole in the context of the investment objective and intended time horizon for holding a particular security. Sustainability Risks may negatively impact the value of a security or portfolio. In order to mitigate
these risks, the Investment Adviser may sell or underweight a security, commence active dialogue/engagement with company management (e.g., an engagement with a company on its material ESG risks or opportunities such as climate change, diversity, labor and human rights and ESG disclosure, either solely or as part of a shareholder coalition, see “General information relating to Sustainability Risks integration” for further information), or make adjustments to allocations.
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange traded and over-the-counter options, futures and other derivatives for investment or efficient portfolio management (including hedging) purposes.
The Fund may also invest, on an ancillary basis, in equity securities not meeting the criteria of the Fund’s primary investments, in preference shares, debt securities convertible into common shares or preference shares, warrants on securities and other equity linked securities, provided such securities meet the Investment Adviser’s ESG criteria.
The Fund may invest to a limited extent in units/shares of other collective investment schemes, including the Company’s Funds and open-ended ETFs, which are eligible investments for UCITS under the 2010 Law.
The Investment Adviser utilizes an ESG research process that seeks to differentiate companies based on the contribution of their products and services in addressing the climate transition and/or identifies companies that demonstrate commitment to the goal of net zero greenhouse gas emissions by 2050 or sooner. The Investment Adviser evaluates carbon reduction commitments, carbon emission trends and progress toward meeting net zero commitments in its assessment. Once a universe of climate transition and/or aligned companies is established, the Investment Adviser then constructs the portfolio through an optimization process that tilts the portfolio towards companies with lower carbon risk, while minimizing factor risks relative to the MSCI World Index.
The aforementioned ESG criteria will result in a 20% or more reduction of the investment universe in a significantly engaging manner, and the aim of the Investment Adviser will be to ensure that at least 90% of the issuers in the portfolio are assessed against these ESG considerations. The investment universe for these purposes is defined as the constituents of the MSCI World Index.
The Investment Adviser shall not knowingly include the following companies in the investment universe companies:
- involved with severe ESG controversies without material remediation and improvement;
- manufacturing or production of controversial weapons and civilian firearms;
- manufacturing or production of tobacco; and
- gambling.

The Investment Adviser utilizes a quantitative and qualitative ESG research process that seeks to differentiate companies based on the contribution of their products and services in addressing climate transition and/or alignment.
In addition to the above sectoral exclusions, the Investment Adviser monitors business practices on an ongoing basis, through data on ESG controversies and standards screening sourced from third party providers. The Investment Adviser will consider controversy cases that it views as being very severe based on ratings by relevant ESG data providers, and failures to comply with the UN Global Compact or the ILO fundamental principles, although such incidents will not automatically result in exclusion from the portfolio.
Further to the above, the Investment Adviser may, at its discretion, elect to apply additional ESG-related investment restrictions over time that it believes are consistent with its investment objectives. Such additional restrictions will be disclosed as they are implemented on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im. The positive screening process, methodology and the Calvert Principles for Responsible Investment  is  available  on  the  following websites: www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im.
The Fund is actively managed, not designed to track a benchmark, and therefore not constrained by the composition of a benchmark. The Fund’s performance is measured against a benchmark as detailed in the Fund’s key investor information document. In the context of the Fund’s ESG integration, the Investment Adviser uses the MSCI World Index for the purposes of comparing the Fund’s carbon footprint.
The Fund references third party ESG data and its own proprietary research data during the security research process. The Investment Adviser may also utilize third party data in its portfolio construction process. However, in some cases data on specific issuers or the exclusions noted above may not be readily available and/or may be estimated by the Investment Adviser using reasonable estimates.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the Calvert Sustainable Climate Aligned Fund’s investment objective it may be appropriate for investors who:
- seek to invest in equity securities;
- seek capital appreciation over the long term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

CALVERT SUSTAINABLE CLIMATE TRANSITION FUND
The Calvert Sustainable Climate Transition Fund’s investment objective is to seek to provide an attractive level of total return, measured in US Dollars, by investing primarily in a concentrated portfolio of equity securities, including preference shares and depositary receipts (including American Depositary Receipts (ADRs), European Depositary Receipts (EDRs), and Global Depositary Receipts (GDRs)), of companies located throughout the world that are engaged in business models that help to mitigate or adapt to climate change and that qualify as sustainable investments.
The Fund may also invest on an ancillary basis in equity securities not meeting the criteria of the Fund’s primary investments, in Fixed Income Securities, debt securities convertible into common shares, warrants and other equity linked instruments issued by any corporations engaged in climate change businesses, as well as in China A-Shares via Stock Connect provided such investments qualify as sustainable investments. The Fund may invest up to 20% of its net assets in China A-Shares via Stock Connect.
Companies engaged in climate change-focused businesses may be involved directly or indirectly in, among other areas, renewable power, water management, waste management, electrification, battery storage, mobility, hydrogen, biofuels, and agriculture, as well as other operations that help to facilitate a lower carbon environment.
The Fund aims to achieve its climate change mitigation and adaptation objective by investing in companies in the aforementioned areas, and whose business models either have a current, direct impact on lowering carbon emissions or which are investing significant capital in Property, Plan, and Equipment (PP&E), technology, and processes that will help facilitate lower carbon emissions in the future and which qualify as sustainable investments. Companies are further delineated between those that are providers of an end-product or service (“
Providers
”) or part of the supply chain/process enabling an end-product or service (“
Enablers
”). Broad definitions of each category are articulated below.
- Providers and Enablers: 
- Companies whose products and services directly help to provide climate change mitigation support or those that enable mitigation through the supply chain of Providers;
- Transitioning Companies: 
- Companies that are not currently Providers or Enablers, but are in the process of introducing new business lines and/or changing old ones such that they will become Providers or Enablers in the future;
- Adapters: 
- Companies which currently provide or in the future will provide products and services that help other companies or human stakeholders to adapt to the risks posed by climate change.

The Investment Adviser actively manages the Fund utilizing internal proprietary research to implement a fundamentally driven investment process that combines bottom-up and top-down research. The Fund will be comprised of those securities which the Investment Adviser considers offer higher forecasted total return potential relative to other opportunities in the investment universe based upon absolute valuation within the described universe.
The Fund utilizes a quantitative and qualitative ESG research process that applies the Calvert Principles for Responsible Investment to define the investment universe, and which then seeks to differentiate companies based on the extent to which their business models help to mitigate or adapt to climate change, while making sure that such companies do not significantly harm any environmental or social objective. The Calvert Principles for Responsible Investment can be found on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im. The Investment Adviser will strive to engage company management around ESG issues where it is determined it is possible to generate positive impact on the sustainable investment objective, on a company’s environmental or social performance factors or its corporate governance practices.
The aforementioned ESG criteria will result in a 20% or more reduction of the investment universe in a significantly engaging manner, and the aim of the Investment Adviser will be to ensure that at least 90% of the issuers in the portfolio are assessed against these ESG considerations. The investment universe for these purposes is defined as a selection of companies across various industry groups that fit into GICS (Global Industry Classification Standard) categories including but not restricted to Industrials, Utilities, Materials, Energy, Financials, Information Technology, Consumer Discretionary and Consumer Staples and which are engaged in the climate-focused business areas described above. This selection is based on the quantitative and qualitative ESG research process that applies the Calvert Principles for Responsible Investment as mentioned in the paragraph above.
The Investment Adviser gives due consideration to the relevance and potential materiality of Sustainability Risks for a particular investment opportunity or for the portfolio as a whole in the context of the investment objective and intended time horizon for holding a particular security. Sustainability Risks may negatively impact the value of a security or portfolio. In order to mitigate these risks, the Investment Adviser may sell or underweight a security, commence active dialogue/engagement with company management (e.g., an engagement with a company on its material ESG risks or opportunities such as climate change, diversity, labor and human rights and ESG disclosure, either solely or as part of a shareholder coalition, see “General information relating to Sustainability Risks integration” for further information), or make adjustments to allocations.
In addition to the above ESG objectives, the Investment Adviser monitors business practices on an ongoing basis, through data on ESG controversies and standards screening sourced from third party providers. The Investment Adviser will consider controversy cases that it views as being very severe based on ratings by relevant ESG data providers, and failures to comply with the UN Global Compact or the ILO fundamental principles, although such incidents will not automatically result in exclusion from the portfolio.
The Fund references third party ESG data during the security research process, but does not rely on third party ESG data for the purposes of constructing the portfolio. The Investment Adviser relies on its own proprietary analysis for security selection and portfolio construction rather than third party analysis. However, in some cases data on specific issuers or the exclusions noted above may not be available and/or may be estimated by the Investment Adviser using reasonable estimates or third-party data.
In relation to this Fund, the use of “Calvert” in the name refers to Calvert Research and Management (“Calvert”), whose role in relation to this Fund is limited to the provision of non-discretionary investment advice to the Investment Adviser to assist the Investment Adviser in its management of the Fund. Calvert has no discretion to make discretionary investment decisions on behalf of the Fund, such investment discretion being vested solely in the Investment Adviser.
The Fund is actively managed, and the composition of the portfolio holdings is not constrained by any benchmarks.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the Calvert Sustainable Climate Transition Fund’s investment objective it may be appropriate for investors who:
- seek to invest in equity securities;
- seek capital appreciation over the long term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

CALVERT SUSTAINABLE DEVELOPED EUROPE EQUITY SELECT FUND
The Calvert Sustainable Developed Europe Equity Select Fund’s investment objective is to provide long-term capital appreciation, measured in Euro, primarily investing in equity securities (as listed below) of companies Located in Europe’s developed markets, based on classification in the MSCI Europe Index, that are involved in economic activities that address global environmental or societal challenges such as environmental sustainability and resource efficiency, diversity, equity and inclusion, respect for human rights, product responsibility, human capital management and accountable governance and transparent operations, or are leaders in managing financially material environmental or social risks and opportunities, such as carbon emission management and diversity, equity and inclusion. This strategy further takes into account the long-term carbon reduction objectives of the Paris Agreement.
The Fund will maintain a carbon profile that follows the net zero objectives of the Paris Agreement, as reflected in the appropriate Paris-Aligned benchmark, or in the absence of an approved Paris- Aligned benchmark it will maintain a substantially lower carbon footprint, in the range of 50% than that of the underlying market benchmark (MSCI Europe Index) and taking into account the long-term carbon reduction objectives of the Paris Agreement which may warrant a revision of the targeted range of reduction over time. Carbon footprint shall be measured as weighted average carbon intensity, defined as tonnes of CO2 per $1million revenue.
Independent from the carbon net zero profile pursued by the Fund, the Fund will seek to maintain higher levels of diversity at a portfolio level than the MSCI Europe Index as measured by weighted average number of women at the board level. The Investment Adviser obtains board gender diversity data from third party vendors, which provide data on the number of women on boards at the issuer level. The Investment Adviser collects this data for all names in its investment universe for which data is available and calculates the weighted average for the Fund and the MSCI Europe Index.
The Fund will seek to achieve its investment objective by investing primarily in equity securities, including depositary receipts (such as
American Depository Receipts (ADRs), Global Depositary Receipts (GDRs), and European Depository Receipts (EDRs).
The Fund utilizes a quantitative and qualitative ESG research process that applies the Calvert Principles for Responsible Investment to define the investment universe while making sure that such companies do not significantly harm any environmental or social objective. The Calvert Principles for Responsible Investment can be found on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im. The Investment Adviser may engage company management around financially material ESG issues that it deems to have a positive impact on society or the environment.
The Investment Adviser gives due consideration to the relevance and potential materiality of Sustainability Risks for a particular investment opportunity or for the portfolio as a whole in the context of the investment objective and intended time horizon for holding a particular security. Sustainability Risks may negatively impact the value of a security or portfolio. In order to mitigate these risks, the Investment Adviser may sell or underweight a security, commence active dialogue/engagement with company management (e.g., an engagement with a company on its material ESG risks or opportunities such as climate change, diversity, labor and human rights and ESG disclosure, either solely or as part of a shareholder coalition, see “General information relating to Sustainability Risks integration” for further information), or make adjustments to allocations.
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange traded and over-the-counter options, futures and other derivatives for investment or efficient portfolio management (including hedging) purposes.
The Fund may also invest, on an ancillary basis, in equity securities not meeting the criteria of the Fund’s primary investments, in preference shares, debt securities convertible into common shares or preference shares, warrants on securities and other equity linked securities, provided such securities meet the Investment Adviser’s ESG criteria.
The Fund may invest to a limited extent in units/shares of other collective investment schemes, including the Company’s Funds and open-ended ETFs, which are eligible investments for UCITS under the 2010 Law.
The Investment Adviser seeks to identify companies it considers leaders in areas of environmental, social, and governance performance that are material to the long-term performance of the company. The Investment Adviser’s investment strategy has three main elements: 1) company identification, 2) portfolio optimization, and 3) corporate engagement.
The Investment Adviser utilizes a quantitative and qualitative ESG research process that seeks to differentiate companies based on the contribution of their products and services in addressing global environmental or societal challenges, or their management of material environmental and social Sustainability Risk exposures and opportunities. Through the quantitative process, the Investment Adviser seeks to identify companies that are performing in the top 20-40% of their peer group on environmental or social factors determined to be financially material to the company, while not falling in the bottom 20-40% in any other material environmental, social, or governance issue based on the Investment Adviser’s proprietary research. The ESG scores are determined by the Investment Adviser, using a combination of third party and customized ESG data as a base, having regard to ESG themes such as environmental sustainability and resource efficiency, diversity, equity and inclusion, respect for human rights, product responsibility, human capital management and accountable governance and transparent operations. Companies identified also undergo a qualitative review.
Once a universe of ESG leaders is established, the Investment Adviser then constructs the portfolio through an optimization process that tilts the portfolio towards ESG-leading companies that have more gender diversity and lower carbon risk, while minimizing factor risks relative to the MSCI Europe Index.
The aforementioned ESG criteria will result in a 20% or more reduction of the investment universe in a significantly engaging manner, and the aim of the Investment Adviser will be to ensure that at least 90% of the issuers in the portfolio are assessed against these ESG considerations. The investment universe for these purposes is defined as the constituents of the MSCI Europe Index.
Investment restrictions
The Investment Adviser shall not knowingly include the following companies in the investment universe companies:
- involved with severe ESG controversies without material remediation and improvement;
- manufacturing or production of controversial weapons and civilian firearms;
- manufacturing or production of tobacco; and
- gambling.

In addition to the above sectoral exclusions, the Investment Adviser monitors business practices on an ongoing basis, through data on ESG controversies and standards screening sourced from third party providers. The Investment Adviser will consider controversy cases that it views as being very severe based on ratings by relevant ESG data providers, and failures to comply with the UN Global Compact or the ILO fundamental principles, although such incidents will not automatically result in exclusion from the portfolio.
Further to the above, the Investment Adviser may, at its discretion, elect to apply additional ESG-related investment restrictions over time that it believes are consistent with its investment objectives. Such additional restrictions will be disclosed as they are implemented on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im. The positive screening process, methodology and the Calvert Principles for Responsible Investment is available on the following websites: www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im.
The Fund is actively managed, not designed to track a benchmark, and therefore not constrained by the composition of a benchmark. The Fund’s performance is measured against a benchmark as detailed in the Fund’s key investor information document. The Fund references the MSCI Europe Index for the purpose of defining a geographical allocation of countries the Fund will invest into. In the context of the Fund’s ESG integration, the Investment Adviser also uses the MSCI Europe Index for the purposes of comparing the Fund’s carbon footprint and gender diversity at the level of the boards of the portfolio components.
The Fund references third party ESG data and its own proprietary research data during the security research process. The Investment Adviser may also utilize third party data in its portfolio construction process. However, in some cases data on specific issuers or the exclusions noted above may not be readily available and/or may be estimated by the Investment Adviser using reasonable estimates.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the Calvert Sustainable Developed Europe Equity Select Fund’s investment objective it may be appropriate for investors who:
- seek to invest in equity securities;
- seek capital appreciation over the medium term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

CALVERT SUSTAINABLE DEVELOPED MARKETS EQUITY SELECT FUND
The Calvert Sustainable Developed Markets Equity Select Fund’s investment objective is to provide long-term capital appreciation, measured in US Dollars, primarily investing in equity securities (as listed below) of companies Located in developed markets that are involved in economic activities that address global environmental or societal challenges, such as environmental sustainability and resource efficiency, diversity, equity and inclusion, respect for human rights, product responsibility, human capital management and accountable governance and transparent operations, or are leaders in managing financially material environmental or social risks and opportunities, such as carbon emission management and diversity, equity and inclusion. This strategy further takes into account the long-term carbon reduction objectives of the Paris Agreement.
The Fund will maintain a carbon profile that follows the net zero objectives of the Paris Agreement, as reflected in the appropriate Paris-Aligned benchmark, or in the absence of an approved Paris- Aligned benchmark it will maintain a substantially lower carbon footprint, in the range of 50% than that of the underlying market benchmark (MSCI World Index) and taking into account the long- term carbon reduction objectives of the Paris Agreement which may warrant a revision of the targeted range of reduction over time. Carbon footprint shall be measured as weighted average carbon intensity, defined as tonnes of CO2 per $1million revenue.
Independent from the carbon net zero profile pursued by the Fund, the Fund will seek to maintain higher levels of diversity at a portfolio level than the MSCI World Index as measured by weighted average number of women at the board level. The Investment Adviser obtains board gender diversity data from third party vendors, which provide data on the number of women on boards at the issuer level. The Investment Adviser collects this data for all names in its investment universe for which data is available and calculates the weighted average for the Fund and the MSCI World Index.
The Fund will seek to achieve its investment objective by investing primarily in equity securities, including depositary receipts (such as American Depository Receipts (ADRs), Global Depositary Receipts (GDRs), and European Depository Receipts (EDRs).
The Fund utilizes a quantitative and qualitative ESG research process that applies the Calvert Principles for Responsible Investment to define the investment universe while making sure that such companies do not significantly harm any environmental or social objective. The Calvert Principles for Responsible Investment can be found on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im. The Investment Adviser may engage company management around financially material ESG
issues that it deems to have a positive impact on society or the environment.
The Investment Adviser gives due consideration to the relevance and potential materiality of Sustainability Risks for a particular investment opportunity or for the portfolio as a whole in the context of the investment objective and intended time horizon for holding a particular security. Sustainability Risks may negatively impact the value of a security or portfolio. In order to mitigate these risks, the Investment Adviser may sell or underweight a security, commence active dialogue/engagement with company management (e.g., an engagement with a company on its material ESG risks or opportunities such as climate change, diversity, labor and human rights and ESG disclosure, either solely or as part of a shareholder coalition, see “General information relating to Sustainability Risks integration” for further information), or make adjustments to allocations.
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange traded and over-the-counter options, futures and other derivatives for investment or efficient portfolio management (including hedging) purposes.
The Fund may also invest, on an ancillary basis, in equity securities not meeting the criteria of the Fund’s primary investments, in preference shares, debt securities convertible into common shares or preference shares, warrants on securities and other equity linked securities, provided such securities meet the Investment Adviser’s ESG criteria.
The Fund may invest to a limited extent in units/shares of other collective investment schemes, including the Company’s Funds and open-ended ETFs, which are eligible investments for UCITS under the 2010 Law.
The Investment Adviser seeks to identify companies it considers leaders in areas of environmental, social, and governance performance that are material to the long-term performance of the company. The Investment Adviser’s investment strategy has three main elements: 1) company identification, 2) portfolio optimization, and 3) corporate engagement.
The Investment Adviser utilizes a quantitative and qualitative ESG research process that seeks to differentiate companies based on the contribution of their products and services in addressing global environmental or societal challenges, or their management of material environmental and social Sustainability Risk exposures and opportunities. Through the quantitative process, the Investment Adviser seeks to identify companies that are performing in the top 20-40% of their peer group on environmental or social factors determined to be financially material to the company, while not falling in the bottom 20-40% in any other material
environmental, social, or governance issue based on the Investment Adviser’s proprietary research. The ESG scores are determined by the Investment Adviser, using a combination of third party and customized ESG data as a base, having regard to ESG themes such as environmental sustainability and resource efficiency, diversity, equity and inclusion, respect for human rights, product responsibility, human capital management and accountable governance and transparent operations. Companies identified also undergo a qualitative review.
Once a universe of ESG leaders is established, the Investment Adviser then constructs the portfolio through an optimization process that tilts the portfolio towards ESG-leading companies that have more gender diversity and lower carbon risk, while minimizing factor risks relative to the MSCI World Index.
The aforementioned ESG criteria will result in a 20% or more reduction of the investment universe in a significantly engaging manner, and the aim of the Investment Adviser will be to ensure that at least 90% of the issuers in the portfolio are assessed against these ESG considerations. The investment universe for these purposes is defined as the constituents of the MSCI World Index.
Investment restrictions
The Investment Adviser shall not knowingly include the following companies in the investment universe companies:
- involved with severe ESG controversies without material remediation and improvement;
- manufacturing or production of controversial weapons and civilian firearms;
- manufacturing or production of tobacco; and
- gambling.

In addition to the above sectoral exclusions, the Investment Adviser monitors business practices on an ongoing basis, through data on ESG controversies and standards screening sourced from third party providers. The Investment Adviser will consider controversy cases that it views as being very severe based on ratings by relevant ESG data providers, and failures to comply with the UN Global Compact or the ILO fundamental principles, although such incidents will not automatically result in exclusion from the portfolio.
Further to the above, the Investment Adviser may, at its discretion, elect to apply additional ESG-related investment restrictions over time that it believes are consistent with its investment objectives. Such additional restrictions will be disclosed as they are implemented on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im. The positive screening process, methodology and the Calvert Principles for Responsible Investment  is  available  on  the  following  websites:
www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im.
The Fund is actively managed, not designed to track a benchmark, and therefore not constrained by the composition of a benchmark. The Fund’s performance is measured against a benchmark as detailed in the Fund’s key investor information document. In the context of the Fund’s ESG integration, the Investment Adviser uses the MSCI World Index for the purposes of comparing the Fund’s carbon footprint and gender diversity at the level of the boards of the portfolio components.
The Fund references third party ESG data and its own proprietary research data during the security research process. The Investment Adviser may also utilize third party data in its portfolio construction process. However, in some cases data on specific issuers or the exclusions noted above may not be readily available and/or may be estimated by the Investment Adviser using reasonable estimates.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the Calvert Sustainable Developed Markets Equity Select Fund’s investment objective it may be appropriate for investors who:
- seek to invest in equity securities;
- seek capital appreciation over the medium term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

CALVERT SUSTAINABLE DIVERSITY, EQUITY AND INCLUSION FUND
The Calvert Sustainable Diversity, Equity and Inclusion Fund’s investment objective is to provide long-term capital appreciation and advance diversity, equity and inclusion, measured in US Dollars, primarily investing in equity securities (as listed below) of companies Located globally, that demonstrate leadership or meaningful improvement in having a diverse workforce and an equal and inclusive work culture. The Investment Adviser will use an optimisation process to pick the positions that the Fund takes, based on a proprietary strategy.
The Fund will seek to achieve its investment objective by investing primarily in equity securities, including depositary receipts (such as American Depository Receipts (ADRs), Global Depositary Receipts (GDRs), and European Depository Receipts (EDRs)).
The Fund will seek to maintain higher levels of workforce diversity at a portfolio level than the underlying market benchmark (MSCI World Index) as measured by data available in relation to the average number of women at the board level and average number of board members representing underrepresented ethnicities. The Investment Adviser obtains board gender and ethnic diversity data from third party vendors, which provide data on the number of woman and members representing underrepresented ethnicities on boards at the issuer level. The Investment Adviser collects this data for all names in its investment universe for which data is available and calculates the average of women and members representing underrepresented ethnicities on the board for the Fund and the MSCI World Index.
The Fund utilizes a quantitative and qualitative ESG research process that applies the Calvert Principles for Responsible Investment to define the investment universe while making sure that such companies do not significantly harm any environmental or social objective. The Calvert Principles for Responsible Investment can be found on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im. The Investment Adviser may engage company management around financially material ESG issues that it deems to have a positive impact on society or the environment.
The Investment Adviser gives due consideration to the relevance and potential materiality of Sustainability Risks for a particular investment opportunity or for the portfolio as a whole in the context of the investment objective and intended time horizon for holding a particular security. Sustainability Risks may negatively impact the value of a security or portfolio. In order to mitigate these risks, the Investment Adviser may sell or underweight a security, commence active dialogue/engagement with company management (e.g., an engagement with a company on its material ESG risks or opportunities such as climate change, diversity, labor and human rights and ESG disclosure, either solely or as part of a shareholder coalition, see “General information relating to Sustainability Risks integration” for further information), or make adjustments to allocations.
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange traded and over-the-counter options, futures and other derivatives for investment or efficient portfolio management (including hedging) purposes.
The Fund may also invest, on an ancillary basis, in equity securities not meeting the criteria of the Fund’s primary investments, in
preference shares, debt securities convertible into common shares or preference shares, warrants on securities and other equity linked securities, provided such securities meet the Investment Adviser’s ESG criteria.
The Fund may invest to a limited extent in units/shares of other collective investment schemes, including the Company’s Funds and open-ended ETFs, which are eligible investments for UCITS under the 2010 Law.
The Investment Adviser utilizes an ESG research process that seeks to identify companies that exhibit leadership in having a gender balanced workforce across different levels and/or demonstrates leadership in ethnic diversity members relative to the country’s demographic in certain applicable countries. In addition, a company’s leadership in other dimensions of diversity among board members, specifically age, cultural background, and skill sets, are also considered. To identify companies that reflect an equal and inclusive work culture, the Investment Adviser seeks to invest in companies that have policies and procedures that adequately support equal opportunity in the hiring process, equal pay and fair promotion among all diversity groups.
The Investment Adviser also includes companies that are demonstrating meaningful improvement in their diversity practices, as evidenced by: 1) Increased diversity in workforce, specifically more gender balanced or more ethnically diverse; or 2) demonstrated progress after a severe controversy related to diversity and inclusion issues; or 3) resolved shareholder proposals (only companies based in US and Canada) on diversity and inclusion issues; or 4) identified as an engagement target by the Investment Adviser on diversity and inclusion issues.
Companies are excluded from the portfolio if the Investment Adviser determines they do not show improvement in diversity practices and they meet one of the following criteria: 1) lack diversity among their board members, specifically not gender balanced or not ethnically diverse; or 2) show significant risks associated with human capital practices; or 3) have severe controversies related to diversity and inclusion issues.
The aforementioned ESG criteria will result in a 20% or more reduction of the investment universe in a significantly engaging manner, and the aim of the Investment Adviser will be to ensure that at least 90% of the issuers in the portfolio are assessed against these ESG considerations. The investment universe for these purposes is defined as the constituents of the MSCI World Index.
The Investment Adviser may engage company management around financially material ESG issues, including diversity and inclusion, that it deems will have a positive impact on society and the environment.
The Investment Adviser shall not knowingly include the following companies in the investment universe companies:
- involved with severe ESG controversies without material remediation and improvement;
- manufacturing or production of controversial weapons and civilian firearms;
- manufacturing or production of tobacco; and
- gambling.

In addition to the above sectoral exclusions, the Investment Adviser monitors business practices on an ongoing basis, through data on ESG controversies and standards screening sourced from third party providers. The Investment Adviser will consider controversy cases that it views as being very severe based on ratings by relevant ESG data providers, and failures to comply with the UN Global Compact or the ILO fundamental principles, although such incidents will not automatically result in exclusion from the portfolio.
Further to the above, the Investment Adviser may, at its discretion, elect to apply additional ESG-related investment restrictions over time that it believes are consistent with its investment objectives. Such additional restrictions will be disclosed as they are implemented on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im. The positive screening process, methodology and the Calvert Principles for Responsible Investment is available on the following websites: www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im.
The Fund is actively managed, not designed to track a benchmark, and therefore not constrained by the composition of a benchmark. The Fund’s performance is measured against a benchmark as detailed in the Fund’s key investor information document. In the context of the Fund’s ESG integration, the Investment Adviser uses the MSCI World Index for the purposes of comparing the Fund’s gender and ethnic diversity at the level of the boards of the portfolio components.
The Fund references third party ESG data and its own proprietary research data during the security research process. The Investment Adviser may also utilize third party data in its portfolio construction process. However, in some cases data on specific issuers or the exclusions noted above may not be readily available and/or may be estimated by the Investment Adviser using reasonable estimates.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning
of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the Calvert Sustainable Diversity, Equity and Inclusion Fund’s investment objective it may be appropriate for investors who:
- seek to invest in equity securities;
- seek capital appreciation over the medium term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

CALVERT SUSTAINABLE EMERGING MARKETS EQUITY SELECT FUND
The Calvert Sustainable Emerging Markets Equity Select Fund’s investment objective is to provide long-term capital appreciation, measured in US Dollars, primarily investing in equity securities (as listed below) of companies Located in the world’s emerging markets, that are involved in economic activities that address global environmental or societal challenges, such as environmental sustainability and resource efficiency, diversity, equity and inclusion, respect for human rights, product responsibility, human capital management and accountable governance and transparent operations, or are leaders in managing financially material environmental or social risks and opportunities, such as carbon emission management and diversity, equity and inclusion. This strategy further takes into account the long-term carbon reduction objectives of the Paris Agreement.
The Fund will maintain a carbon profile that follows the net zero objectives of the Paris Agreement, as reflected in the appropriate Paris-Aligned benchmark, or in the absence of an approved Paris- Aligned benchmark it will maintain a substantially lower carbon footprint, in the range of 50% than that of the underlying market benchmark (MSCI Emerging Markets Index) and taking into account the long-term carbon reduction objectives of the Paris Agreement which may warrant a revision of the targeted range of reduction over time. Carbon footprint shall be measured as weighted average carbon intensity, defined as tonnes of CO2 per
$1million revenue.
Independent from the carbon net zero profile pursued by the Fund, the Fund will seek to maintain higher levels of diversity at a portfolio level than the MSCI Emerging Markets Index as measured by weighted average number of women at the board level. The Investment Adviser obtains board gender diversity data from third party vendors, which provide data on the number of women on boards at the issuer level. The Investment Adviser collects this data for all names in its investment universe for which
data is available and calculates the weighted average for the Fund and the MSCI Emerging Markets Index.
The Fund will seek to achieve its investment objective by investing primarily in equity securities, including depositary receipts (such as American Depository Receipts (ADRs), Global Depositary Receipts (GDRs), and European Depository Receipts (EDRs).
The Fund utilizes a quantitative and qualitative ESG research process that applies the Calvert Principles for Responsible Investment to define the investment universe while making sure that such companies do not significantly harm any environmental or social objective. The Calvert Principles for Responsible Investment can be found on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im. The Investment Adviser may engage company management around financially material ESG issues that it deems to have a positive impact on society or the environment.
The Investment Adviser gives due consideration to the relevance and potential materiality of Sustainability Risks for a particular investment opportunity or for the portfolio as a whole in the context of the investment objective and intended time horizon for holding a particular security. Sustainability Risks may negatively impact the value of a security or portfolio. In order to mitigate these risks, the Investment Adviser may sell or underweight a security, commence active dialogue/engagement with company management (e.g., an engagement with a company on its material ESG risks or opportunities such as climate change, diversity, labor and human rights and ESG disclosure, either solely or as part of a shareholder coalition, see “General information relating to Sustainability Risks integration” for further information), or make adjustments to allocations.
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange traded and over-the-counter options, futures and other derivatives for investment or efficient portfolio management (including hedging) purposes.
The Fund may also invest, on an ancillary basis, in equity securities not meeting the criteria of the Fund’s primary investments, in preference shares, debt securities convertible into common shares or preference shares, warrants on securities and other equity linked securities, provided such securities meet the Investment Adviser’s ESG criteria.
The Fund may invest to a limited extent in units/shares of other collective investment schemes, including the Company’s Funds and open-ended ETFs, which are eligible investments for UCITS under the 2010 Law.
The Investment Adviser seeks to identify companies it considers leaders in areas of environmental, social, and governance performance that are material to the long-term performance of the company. The Investment Adviser’s investment strategy has three main elements: 1) company identification, 2) portfolio optimization, and 3) corporate engagement.
The Investment Adviser utilizes a quantitative and qualitative ESG research process that seeks to differentiate companies based on the contribution of their products and services in addressing global environmental or societal challenges, or their management of material environmental and social Sustainability Risk exposures and opportunities. Through the quantitative process, the Investment Adviser seeks to identify companies that are performing in the top 20-40% of their peer group on environmental or social factors determined to be financially material to the company, while not falling in the bottom 20-40% in any other material environmental, social, or governance issue based on the Investment Adviser’s proprietary research. The ESG scores are determined by the Investment Adviser, using a combination of third party and customized ESG data as a base, having regard to ESG themes such as environmental sustainability and resource efficiency, diversity, equity and inclusion, respect for human rights, product responsibility, human capital management and accountable governance and transparent operations. Companies identified also undergo a qualitative review.
Once a universe of ESG leaders is established, the Investment Adviser then constructs the portfolio through an optimization process that tilts the portfolio towards ESG-leading companies that have more gender diversity and lower carbon risk, while minimizing factor risks relative to the MSCI Emerging Markets Index.
The aforementioned ESG criteria will result in a 20% or more reduction of the investment universe in a significantly engaging manner, and the aim of the Investment Adviser will be to ensure that at least 90% of the issuers in the portfolio are assessed against these ESG considerations. The investment universe for these purposes is defined as the constituents of the MSCI Emerging Markets Index.
Investment restrictions
The Investment Adviser shall not knowingly include the following companies in the investment universe companies:
- involved with severe ESG controversies without material remediation and improvement;
- manufacturing or production of controversial weapons and civilian firearms;
- manufacturing or production of tobacco; and
- gambling.

In addition to the above sectoral exclusions, the Investment Adviser monitors business practices on an ongoing basis, through data on ESG controversies and standards screening sourced from third party providers. The Investment Adviser will consider controversy cases that it views as being very severe based on ratings by relevant ESG data providers, and failures to comply with the UN Global Compact or the ILO fundamental principles, although such incidents will not automatically result in exclusion from the portfolio.
Further to the above, the Investment Adviser may, at its discretion, elect to apply additional ESG-related investment restrictions over time that it believes are consistent with its investment objectives. Such additional restrictions will be disclosed as they are implemented on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im. The positive screening process, methodology and the Calvert Principles for Responsible Investment is available on the following websites: www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im.
The Fund is actively managed, not designed to track a benchmark, and therefore not constrained by the composition of a benchmark. The Fund’s performance is measured against a benchmark as detailed in the Fund’s key investor information document. In the context of the Fund’s ESG integration, the Investment Adviser uses the MSCI Emerging Markets Index for the purposes of comparing the Fund’s carbon footprint and gender diversity at the level of the boards of the portfolio components.
The Fund references third party ESG data and its own proprietary research data during the security research process. The Investment Adviser may also utilize third party data in its portfolio construction process. However, in some cases data on specific issuers or the exclusions noted above may not be readily available and/or may be estimated by the Investment Adviser using reasonable estimates.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the Calvert Sustainable Emerging Markets Equity Select Fund’s investment objective it may be appropriate for investors who:
- seek to invest in equity securities;
- seek capital appreciation over the medium term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

CALVERT SUSTAINABLE GLOBAL EQUITY ENGAGEMENT FUND
The Calvert Sustainable Global Equity Engagement Fund’s investment objective is to provide high total return, consistent with reasonable risk, measured in US Dollars, by primarily investing in sustainable business models that can deliver value over time. The Fund seeks companies that are involved in economic activities that address global environmental or societal challenges, such as environmental sustainability and resource efficiency, diversity, equity and inclusion, respect for human rights, product responsibility, human capital management and accountable governance and transparent operations, or are leaders in managing financially material environmental or social risks and opportunities, such as carbon emission management and diversity, equity and inclusion. This strategy further takes into account the long-term carbon reduction objectives of the Paris Agreement.
The Fund will maintain a carbon profile that follows the net zero objectives of the Paris Agreement, as reflected in the appropriate Paris-Aligned benchmark, or in the absence of an approved Paris- Aligned benchmark it will maintain a substantially lower carbon footprint, in the range of 50% than that of the underlying market benchmark (MSCI All Country World Index) and taking into account the long-term carbon reduction objectives of the Paris Agreement which may warrant a revision of the targeted range of reduction over time. Carbon footprint shall be measured as weighted average carbon intensity, defined as tonnes of CO2 per
$1million revenue.
Independent from the carbon net zero profile pursued by the Fund, the Fund will seek to maintain higher levels of diversity at a portfolio level than the MSCI All Country World Index as measured by weighted average number of women at the board level. The Investment Adviser obtains board gender diversity data from third party vendors, which provide data on the number of women on boards at the issuer level. The Investment Adviser collects this data for all names in its investment universe for which data is available and calculates the weighted average for the Fund and the MSCI All Country World Index.
The Fund will seek to achieve its investment objective by investing primarily in equity securities of companies located in the world’s developed markets, including depositary receipts (including American Depositary Receipts (ADRs), European Depositary Receipts (EDRs), and Global Depositary Receipts (GDRs)).
The Fund utilizes a quantitative and qualitative ESG research process that applies the Calvert Principles for Responsible Investment to define the investment universe while making sure that the relevant companies do not significantly harm any environmental or social objective. The Calvert Principles for Responsible Investment can be found on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im. The Investment Adviser may engage company management around financially material ESG issues.
The Investment Adviser gives due consideration to the relevance and potential materiality of Sustainability Risks for a particular investment opportunity or for the portfolio as a whole in the context of the investment objective and intended time horizon for holding a particular security. Sustainability Risks may negatively impact the value of a security or portfolio. In order to mitigate these risks, the Investment Adviser may sell or underweight a security, commence active dialogue/engagement with company management (e.g., an engagement with a company on its material ESG risks or opportunities such as climate change, diversity, labor and human rights and ESG disclosure, either solely or as part of a shareholder coalition, see “General information relating to Sustainability Risks integration” for further information), or make adjustments to allocations.
The Fund may also invest, on an ancillary basis, in equity securities not meeting the criteria of the Fund’s primary investments including those located in emerging markets, in preference shares, debt securities convertible into common shares or preference shares, warrants on securities and other equity linked securities, provided such securities meet the Investment Adviser’s ESG criteria.
The Investment Adviser believes that an investment approach focused on sustainability, ESG integration and structured engagement is best positioned to minimize risk and capitalize on financial success, which it believes compounds over time. The Investment Adviser believes the real value in a stock lies in its ability to compound cash flow over time. For this reason, the Investment Adviser focuses on the long-term ownership of companies with sustainable businesses.
The Investment Adviser seeks to identify high or improving quality companies with secular growth characteristics, high or improving returns on invested capital, sustainable competitive advantages, durable balance sheets, and a strong capital allocation record that are trading at a discount to the Investment Adviser’s estimate of the security’s intrinsic value. Strong attention is also paid to the positive impact that each company is making on the environment and society.
The broad spectrum of ESG work completed by the Investment Adviser is integrated throughout the investment process employed by the Fund. The Investment Adviser takes a multifaceted approach
to integrating ESG into its process and firmly believes that strong ESG characteristics are critical to the sustainability of a company’s business model over time. When assessing the sustainability of a business model, the Investment Adviser places ESG related issues on the same level as inputs such as returns on invested capital or free-cash-flow generation. Each issuer is evaluated relative to an appropriate peer group based on financially material ESG factors as determined by the Investment Adviser. The evaluation of a particular security’s responsible investing characteristics generally involves both quantitative and qualitative analysis. In assessing investments, the Investment Adviser generally focuses on the ESG factors most relevant to the issuer’s operations, and an issuer may be acceptable for investment based primarily on such assessment.
The Investment Adviser also seeks to engage company management on financially material ESG issues identified through its fundamental and ESG research processes. Engagement seeks to drive positive change, to improve the sustainability of each company, and to enhance long-term value creation. The engagement approach may include active proxy voting, dialogue with corporate management teams and boards, working in coalitions with other organizations, filing shareholder resolutions, and other initiatives.
The aforementioned ESG criteria will result in a 20% or more reduction of the investment universe in a significantly engaging manner, and the aim of the Investment Adviser will be to ensure that at least 90% of the issuers in the portfolio are assessed against these ESG considerations. The investment universe for these purposes is defined as the constituents of the MSCI All Country World Index.
The Investment Adviser shall not knowingly include the following companies in the investment universe companies:
- involved with severe ESG controversies without material remediation and improvement;
- manufacturing or production of controversial weapons and civilian firearms;
- manufacturing or production of tobacco; and
- gambling.

In addition to the above sectoral exclusions, the Investment Adviser monitors business practices on an ongoing basis, assessing data on ESG controversies and utilizing information sourced from third party providers. The Investment Adviser will consider controversies that it views as being very severe based on ratings by relevant ESG data providers, and failures to comply with the UN Global Compact or the ILO fundamental principles, although such incidents will not automatically result in exclusion from the portfolio.
Further to the above, the Investment Adviser may, at its discretion, elect to apply additional ESG-related investment restrictions over
time that it believes are consistent with its investment objectives. Such additional restrictions will be disclosed as they are implemented on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im, together with the Calvert Principle for Responsible Investment.
In relation to this Fund, the use of “Calvert” in the name refers to Calvert Research and Management (“Calvert”), whose role in relation to this Fund is limited to the provision of non-discretionary investment advice to the Investment Adviser to assist the Investment Adviser in its management of the Fund. Calvert has no discretion to make discretionary investment decisions on behalf of the Fund, such investment discretion being vested solely in the Investment Adviser.
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange trades and over-the-counter options, futures and other derivatives for efficient portfolio management (including hedging) purposes.
The Fund is actively managed and is not designed to track a benchmark. The management of the Fund is not constrained by the composition of a benchmark. The Fund’s performance is compared against a benchmark as detailed in the Fund’s key investor information document. In the context of the Fund’s ESG integration, the Investment Adviser uses the MSCI All Country World Index for the purposes of comparing the Fund’s carbon footprint and gender diversity at the level of the boards of the portfolio components.
The Fund references third party ESG data and its own proprietary research data during the security research process. The Investment Adviser may also utilize third party data in its portfolio construction process. However, in some cases data on specific issuers or the exclusions noted above may not be readily available and/or may be estimated by the Investment Adviser using reasonable estimates.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the Calvert Sustainable Global Equity Engagement Fund’s investment objective it may be appropriate for investors who:
- seek to invest in equity securities;
- seek capital appreciation over the long term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

CALVERT SUSTAINABLE US EQUITY SELECT FUND
The Calvert Sustainable US Equity Select Fund’s investment objective is to provide long-term capital appreciation, measured in US Dollars, primarily investing in equity securities (as listed below) of large-capitalisation US companies that are involved in economic activities that address global environmental or societal challenges that relate to areas such as environmental sustainability and resource efficiency, diversity, equity and inclusion, respect for human rights, product responsibility, human capital management and accountable governance and transparent operations, or are leaders in managing financially material environmental or social risks and opportunities, such as carbon emission management and diversity, equity and inclusion. This strategy further takes into account the long-term carbon reduction objectives of the Paris Agreement.
The Fund will maintain a carbon profile that follows the net zero objectives of the Paris Agreement, as reflected in the appropriate Paris-Aligned benchmark, or in the absence of an approved Paris- Aligned benchmark it will maintain a substantially lower carbon footprint, in the range of 50% than that of the underlying market benchmark (Russell 1000 Index) and taking into account the long- term carbon reduction objectives of the Paris Agreement which may warrant a revision of the targeted range of reduction over time. Carbon footprint shall be measured as weighted average carbon intensity, defined as tonnes of CO2 per $1million revenue.
Independent from the carbon net zero profile pursued by the Fund, the Fund will seek to maintain higher levels of diversity at a portfolio level than the Russell 1000 Index as measured by weighted average number of women at the board level. The Investment Adviser obtains board gender diversity data from third party vendors, which provide data on the number of women on boards at the issuer level. The Investment Adviser collects this data for all names in its investment universe for which data is available and calculates the weighted average for the Fund and the Russell 1000 Index.
The Fund will seek to achieve its investment objective by investing primarily in equity securities including depositary receipts (such as American Depository Receipts (ADRs), Global Depositary Receipts (GDRs), and European Depository Receipts (EDRs).
The Fund utilizes a quantitative and qualitative ESG research process that applies the Calvert Principles for Responsible Investment to define the investment universe while making sure
that such companies do not significantly harm any environmental or social objective. The Calvert Principles for Responsible Investment can be found on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im. The Investment Adviser may engage company management around financially material ESG issues that it deems to have a positive impact on society or the environment.
The Investment Adviser gives due consideration to the relevance and potential materiality of Sustainability Risks for a particular investment opportunity or for the portfolio as a whole in the context of the investment objective and intended time horizon for holding a particular security. Sustainability Risks may negatively impact the value of a security or portfolio. In order to mitigate these risks, the Investment Adviser may sell or underweight a security, commence active dialogue/engagement with company management (e.g., an engagement with a company on its material ESG risks or opportunities such as climate change, diversity, labor and human rights and ESG disclosure, either solely or as part of a shareholder coalition, see “General information relating to Sustainability Risks integration” for further information), or make adjustments to allocations.
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange traded and over-the-counter options, futures and other derivatives for investment or efficient portfolio management (including hedging) purposes.
The Fund may also invest, on an ancillary basis, in equity securities not meeting the criteria of the Fund’s primary investments, in preference shares, debt securities convertible into common shares or preference shares, warrants on securities and other equity linked securities, provided such securities meet the Investment Adviser’s ESG criteria.
The Fund may invest to a limited extent in units/shares of other collective investment schemes, including the Company’s Funds and open-ended ETFs, which are eligible investments for UCITS under the 2010 Law.
The Investment Adviser seeks to identify companies it considers leaders in areas of environmental, social, and governance performance that are material to the long-term performance of the company. The Investment Adviser’s investment strategy has three main elements: 1) company identification, 2) portfolio optimization, and 3) corporate engagement.
The Investment Adviser utilizes a quantitative and qualitative ESG research process that seeks to differentiate companies based on the contribution of their products and services in addressing global environmental or societal challenges, or their management of material environmental and social Sustainability Risk exposures
and opportunities. Through the quantitative process, the Investment Adviser seeks to identify companies that are performing in the top 20-40% of their peer group on environmental or social factors determined to be financially material to the company, while not falling in the bottom 20-40% in any other material environmental, social, or governance issue based on the Investment Adviser’s proprietary research. The ESG scores are determined by the Investment Adviser, using a combination of third party and customized ESG data as a base, having regard to ESG themes such as environmental sustainability and resource efficiency, diversity, equity and inclusion, respect for human rights, product responsibility, human capital management and accountable governance and transparent operations. Companies identified also undergo a qualitative review.
Once a universe of ESG leaders is established, the Investment Adviser then constructs the portfolio through an optimization process that tilts the portfolio towards ESG-leading companies that have more gender diversity and lower carbon risk, while minimizing factor risks relative to the Russel 1000 Index.
The aforementioned ESG criteria will result in a 20% or more reduction of the investment universe in a significantly engaging manner, and the aim of the Investment Adviser will be to ensure that at least 90% of the issuers in the portfolio are assessed against these ESG considerations. The investment universe for these purposes is defined as the constituents of the Russel 1000 Index.
Investment restrictions
The Investment Adviser shall not knowingly include the following companies in the investment universe companies:
- involved with severe ESG controversies without material remediation and improvement;
- manufacturing or production of controversial weapons and civilian firearms;
- manufacturing or production of tobacco; and
- gambling.

In addition to the above sectoral exclusions, the Investment Adviser monitors business practices on an ongoing basis, through data on ESG controversies and standards screening sourced from third party providers. The Investment Adviser will consider controversy cases that it views as being very severe based on ratings by relevant ESG data providers, and failures to comply with the UN Global Compact or the ILO fundamental principles, although such incidents will not automatically result in exclusion from the portfolio.
Further to the above, the Investment Adviser may, at its discretion, elect to apply additional ESG-related investment restrictions over time that it believes are consistent with its investment objectives. Such additional restrictions will be disclosed as they are
implemented on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im. The positive screening process, methodology and the Calvert Principles for Responsible Investment is available on the following websites: www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im.
The Fund is actively managed, not designed to track a benchmark, and therefore not constrained by the composition of a benchmark. The Fund’s performance is measured against a benchmark as detailed in the Fund’s key investor information document. In the context of the Fund’s ESG integration, the Investment Adviser uses the Russel 1000 Index for the purposes of comparing the Fund’s carbon footprint and gender diversity at the level of the boards of the portfolio components.
The Fund references third party ESG data and its own proprietary research data during the security research process. The Investment Adviser may also utilize third party data in its portfolio construction process. However, in some cases data on specific issuers or the exclusions noted above may not be readily available and/or may be estimated by the Investment Adviser using reasonable estimates.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the Calvert Sustainable US Equity Select Fund’s investment objective it may be appropriate for investors who:
- seek to invest in equity securities;
- seek capital appreciation over the medium term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

CHINA A-SHARES FUND
The China A-shares Fund’s investment objective is to provide capital appreciation over the long term measured in U.S. Dollars.
The Fund will seek to achieve its investment objective by investing primarily in China A-Shares of companies listed on the Shanghai Stock Exchange and/or the Shenzhen Stock Exchange via Stock Connect. The Fund may also invest in issuers of other countries
including, but not limited to, those that are listed on the Hong Kong Exchange (including China H shares and red chips) and depositary receipts (including American Depositary Receipts (ADRs) and Global Depositary Receipts (GDRs)) of issuers located in any country and referring to China companies.
For the purposes of the investment policy of the China A-shares Fund, the term “China A-Shares” means shares of companies listed on the Shanghai Stock Exchange and/or the Shenzhen Stock Exchange that are quoted in Chinese Renminbi, which may include: (i) stocks, (ii) participatory notes, (iii) preferred shares, and
(iv) equity warrants.
The Fund may invest, on an ancillary basis, in equity securities that do not meet the definition of China A-Shares, which may include:
(i) preference shares, (ii) debt securities convertible into common shares or preferences shares, and (iii) other equity linked securities. The Fund may also invest, to a limited extent, in ETFs, warrants on securities and other instruments.
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange traded and over-the-counter options, futures and other derivatives for investment or efficient portfolio management (including hedging) purposes.
The Fund is actively managed and is not designed to track a benchmark. Therefore, the management of the Fund is not constrained by the composition of a benchmark. The Fund’s performance is measured against a benchmark as detailed in the Fund’s key investor information document.
Taxonomy Regulation disclosure
The investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities.
Profile of the typical investor
In light of the China A-shares Fund’s investment objective it may be appropriate for investors who:
- seek to invest in equity securities;
- seek capital appreciation over the long term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

Dealing Days for the China A-shares Fund
The China A-shares Fund invests primarily through Stock Connect. Dealing Days for the China A-shares Fund therefore take into account dates on which Stock Connect is closed for trading and
settlement. In this Prospectus references to Dealing Day in relation to the China A-shares Fund mean any day except: (a) any other day on which commercial banks in Luxembourg, China or Hong Kong are authorized by law or executive order to close (including Saturday and Sunday), and (b) any day on which Stock Connect is closed for trading.
CHINA EQUITY FUND
The China Equity Fund’s investment objective is to seek to provide an attractive risk-adjusted annualized return, measured in US Dollars.
The Fund will seek to achieve its investment objective by investing primarily in equity securities of companies located in China, for the avoidance of doubt, including China A-shares of companies listed on the Shanghai Stock Exchange and/or the Shenzhen Stock Exchange via Stock Connect, and in issuers of other countries including, but not limited to, those that are listed on the Hong Kong Exchange (including China H shares and red chips) and depositary receipts (including American Depositary Receipts (ADRs) and Global Depositary Receipts (GDRs)), where the underlying companies are located in China. The Fund may also invest, as part of its primary investment universe, in equity securities of companies domiciled in or exercising the predominant part of their economic activity in China and which are listed on any exchanges or over the counter markets (subject to Appendix A – Investment Powers and Restrictions).
For the purposes of the investment policy of the China Equity Fund, the term “China A-Shares” means shares of companies listed on the Shanghai Stock Exchange and/or the Shenzhen Stock Exchange that are quoted in Chinese Renminbi, which may include: (i) stocks, (ii) participatory notes, (iii) preferred shares, and (iv) equity warrants.
The Fund may invest, on an ancillary basis, in equity securities not meeting the criteria of the Fund’s primary investments, which may include: (i) preference shares, (ii) debt securities convertible into common shares or preferences shares, and (iii) other equity linked securities. The Fund may also invest, to a limited extent, warrants on securities and other instruments including open-ended ETFs which are eligible investments for UCITS under the 2010 Law.
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange traded and over-the-counter options, futures and other derivatives for investment or efficient portfolio management (including hedging) purposes.
The investment process takes into account information about ESG issues when making investment decisions. The Sub-Adviser focus on engaging company management around corporate governance practices as well as what we deem to be materially important environmental and/or social issues facing a company.
The Fund is actively managed and is not designed to track a benchmark. Therefore, the management of the Fund is not constrained by the composition of a benchmark. The Fund’s performance is measured against a benchmark as detailed in the Fund’s key investor information document.
Taxonomy Regulation disclosure
The investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities.
Profile of the typical investor
In light of the China Equity Fund’s investment objective it may be appropriate for investors who:
- seek to invest in equity securities;
- seek capital appreciation over the long term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

Dealing Days for the China Equity Fund
The China Equity Fund invests through Stock Connect. Dealing Days for the China Equity Fund therefore take into account dates on which Stock Connect is closed for trading and settlement. In this Prospectus references to Dealing Day in relation to the China Equity Fund mean any day except: (a) any other day on which commercial banks in Luxembourg, China or Hong Kong are authorized by law or executive order to close (including Saturday and Sunday), and (b) any day on which Stock Connect is closed for trading.
COUNTERPOINT GLOBAL FUND
The Counterpoint Global Fund’s investment objective is to seek long-term appreciation, measured in US Dollars.
The Fund will seek to achieve its investment objective by investing primarily in the equity securities, including depositary receipts (including ADRs and GDRs), of established and emerging companies Located throughout the world, with capitalisations within the range of companies include in the MSCI All Country World Index.
Investment process
The investment team has a long track record in the management of different investment strategies. The portfolio managers within the team will collaborate on an ongoing basis and will allocate and rebalance the Fund’s assets across each manager’s underlying and independently managed investment strategies on an opportunistic basis given current market conditions. The Fund may invest outside of these underlying and independently managed investment strategies to the extent such investments fit within the permissible investment universe of the Fund.
The investment team emphasises a bottom-up stock selection process, seeking attractive investments on an individual company basis. In selecting securities for investment, the Investment Adviser typically invests in companies it believes have strong name recognition and sustainable competitive advantages with above average business visibility, the ability to deploy capital at high rates of return, strong balance sheets and an attractive risk/reward.
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange traded and over-the-counter options, futures and other derivatives for investment or efficient portfolio management (including hedging) purposes.
The Fund may also invest on an ancillary basis, in debt securities convertible into common shares, preference shares, China A-Shares via Stock Connect, warrants on securities, Cash Equivalents and other equity linked securities. The Fund will not invest more than 15% of its net asset value in China A-Shares via Stock Connect. The Fund may invest to a limited extent in units/shares of other collective investment schemes, including the Company’s Funds and open-ended ETFs, which are eligible investments for UCITS under the 2010 Law.
The Investment Adviser actively integrates sustainability into the investment process by using ESG factors as a lens for additional fundamental research, which can contribute to investment decision- making. The Investment Adviser seeks to understand how environmental and social initiatives within companies can create value by strengthening durable competitive advantages, creating growth opportunities, driving profitability, and/or aligning with secular growth trends. The Investment Adviser generally engages with company management teams to discuss their ESG practices, with the aim of identifying how sustainability themes present opportunities and risks that can be material to the value of the security over the long term. Other aspects of the investment process include a proprietary, systematic evaluation of governance policies, specifically focusing on compensation alignment on long-term value creation.
Investments shall not knowingly include any company whose primary business activity involves the following:
- tobacco 
- (securities of issuers classified as Global Industry Classification Standard (“
- GICS
- ”) sub-industry tobacco, or generate 5% or more of revenue from the manufacture of tobacco products);
- coal mining 
- (securities of issuers classified as GICS sub- industry coal & consumable fuels, or generate 10% or more of revenue from the mining and extraction of thermal coal); or
- weapons, including 
- civilian firearms 
- (securities of issuers that generate 10% or more of revenue from the manufacture orproduction of civilian firearms or ammunition) and cluster munitions and anti-personnel mines (securities of issuers that manufacture, produce or distribute cluster munitions or anti- personnel landmines).

The details of the above exclusions can be found in the Fund’s exclusion policy which is available on the Company’s website (www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im). Further to the above, the Investment Adviser may, in its discretion, elect to apply additional investment restrictions over time that it believes are consistent with its investment objectives. Such additional restrictions will be disclosed as they are implemented on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im. Investments that are held by the Fund but become restricted after they are acquired for the Fund will be sold. Such sales will take place over a time period to be determined by the Investment Adviser, taking into account the best interests of the Shareholders of the Fund.
The Fund is actively managed, not designed to track a benchmark, and therefore not constrained by the composition of the MSCI All Country World Index. The Fund references the MSCI All Country World Index for the purpose of setting the capitalization range of issuers the Fund will invest in.
The Fund’s performance is measured against the MSCI All Country World Index as detailed in the Fund’s key investor information document.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the Counterpoint Global Fund’s investment objective it may be appropriate for investors who:
- seek to invest in equity securities;
- seek capital appreciation over the long term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

DEVELOPING OPPORTUNITY FUND
The Developing Opportunity Fund’s investment objective is to seek long-term appreciation, measured in US Dollars.
The Fund will seek to achieve its investment objective by investing primarily in equity securities of issuers Located in developing markets including depositary receipts (including American Depositary Receipts (ADRs), Global Depositary Receipts (GDRs)) and China A-Shares via Stock Connect.
Under normal market conditions, the Fund’s assets will be invested primarily in equity securities of issuers Located in developing, emerging or frontier emerging market countries. A country may be considered a developing, emerging or frontier emerging market based on classification in the MSCI Emerging Markets Net Index or similar classification as a developing economy by an organization such as the International Monetary Fund, the United Nations, or the World Bank. For the purpose of this Fund, “developing markets,” “developing market countries,” “emerging markets”, “emerging market countries”, “frontier emerging markets” and “frontier emerging market countries” and similar terms are used interchangeably but refer to the same underlying markets and countries.
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange traded and over-the-counter options, futures and other derivatives for investment or efficient portfolio management (including hedging) purposes.
The Fund may also invest, on an ancillary basis, in equity securities not meeting the criteria of the Fund’s primary investments, debt securities convertible into common shares, preference shares, warrants and other equity linked instruments.
The Fund may invest to a limited extent in units/shares of other collective investment schemes, including the Company’s Funds and open-ended ETFs which are eligible investments for UCITS under the 2010 Law.
The Investment Adviser emphasises a bottom-up stock selection process, seeking attractive investments on an individual company basis. In selecting securities for investment, the Investment Adviser seeks high quality companies that the Investment Adviser believes are undervalued at the time of purchase. The Investment Adviser typically favours companies it believes have sustainable competitive advantages that can be monetised through growth. The investment process integrates analysis of sustainability with respect to disruptive change, financial strength, environmental and social externalities and governance (also referred to as ESG). The Investment Adviser generally considers selling a portfolio holding when it determines that the holding no longer satisfies its investment criteria.
The Investment Adviser employs a holistic approach to ESG within its company quality assessment by analyzing potential impacts to humanity’s health, environment, liberty and productivity and corporate governance practices to ensure agency, culture and trust. The Investment Adviser views incorporating ESG-related potential risks and opportunities within the investment process as important to ensure long-term stewardship of capital. Over extended time horizons, the Investment Adviser believes that ESG risks are more likely to materialize and externalities not borne by the investee company are more likely to be priced into the value of securities. Since ESG risks could potentially impact the risk and reward profile of investment opportunities, the Investment Adviser typically engages company management in constructive discussions on a range of ESG issues the Investment Adviser deems materially important.
Investments shall not knowingly include any company whose primary business activity involves the following:
- tobacco 
- (securities of issuers classified as Global Industry Classification Standard (“
- GICS
- ”) sub-industry tobacco, or generate 5% or more of revenue from the manufacture of tobacco products);
- coal mining 
- (securities of issuers classified as GICS sub-industry coal & consumable fuels, or generate 10% or more of revenue from the mining and extraction of thermal coal); or
- weapons, including 
- civilian firearms 
- (securities of issuers that generate 10% or more of revenue from the manufacture or production of civilian firearms or ammunition) and 
- cluster munitions and anti-personnel mines 
- (securities of issuers that manufacture, produce or distribute cluster munitions or anti- personnel landmines).

The details of the above exclusions can be found in the Fund’s exclusion policy which is available on the Company’s website (www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im). Further to the above, the Investment Adviser may, in its discretion, elect to apply additional investment restrictions over time that it believes are consistent with its investment objectives. Such additional restrictions will be disclosed as they are implemented on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im. Investments that are held by the Fund but become restricted after they are acquired for the Fund will be sold. Such sales will take place over a time period to be determined by the Investment Adviser, taking into account the best interests of the Shareholders of the Fund.
The Fund is actively managed, not designed to track a benchmark, and therefore not constrained by the composition of the MSCI Emerging Markets Net Index. The Fund references the MSCI Emerging Markets Net Index for the purpose of defining a geographical allocation of countries the Fund will invest into. The
Fund’s performance is measured against a benchmark as detailed in the Fund’s key investor information document.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the Developing Opportunity Fund’s investment objective it may be appropriate for investors who:
- seek to invest in equity securities;
- seek capital appreciation over the long term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

EMERGING LEADERS EQUITY FUND
The Emerging Leaders Equity Fund’s investment objective is to seek long-term capital appreciation, measured in US Dollars, through investment primarily in a concentrated portfolio of equity securities, including American Depositary Receipts (ADRs), Global Depositary Receipts (GDRs) and China A-Shares via Stock Connect, in emerging and frontier countries. In targeting its investment objective, the Investment Adviser will invest in companies with strong performance and best-in-class practices relative to their peers on one or more ESG metrics (as detailed below).
A country may be considered emerging or frontier based on classification in the MSCI Emerging Markets Net Index or similar classification by an organisation such as the International Monetary Fund, the United Nations or the World Bank, provided that the markets of these countries are considered to be recognised exchanges (“Recognised Exchanges”) within the meaning of Article 41(1) of the 2010 Law.
On an ancillary basis the Fund may invest in Cash Equivalents, debt securities convertible into common shares, preference shares, warrants and other equity linked instruments and, for the purpose of efficient portfolio management (including hedging), exchange traded and over-the-counter options, futures and other derivatives.
The Fund may invest in the equity securities (including ADRs and GDRs) of companies organised and located in countries other than an emerging or frontier market where the value of the company’s
securities will reflect principally conditions in an emerging or frontier country, or where the principal securities trading market for the company is in an emerging or frontier country, or where 35% of the company’s revenue, sales, assets, EBITDA or profit before tax is derived from either goods produced, sales made or services performed in emerging or frontier countries. The Fund may invest in participatory notes that may be used to gain exposure to securities and markets which may not be efficiently accessed through direct investment. Exposure to participatory notes will not exceed 45% of the actually invested assets (gross assets after deducting Cash Equivalents). The Fund may invest up to 20% of its net assets in China A-Shares via Stock Connect.
The Investment Adviser integrates the consideration of ESG issues in its investment decision-making.
The Investment Adviser integrates Sustainability Risks into its investment decision-making process, including in the conduct of due diligence and research, valuation, asset selection, portfolio construction, and ongoing investment monitoring and portfolio management. In doing so, the Investment Adviser gives due consideration to the relevance and potential materiality of Sustainability Risks for a particular investment opportunity or for the portfolio as a whole in the context of the investment objective and intended time horizon for holding a particular security. Sustainability Risks may negatively impact the value of a security or portfolio. In order to mitigate these risks, the Investment Adviser may sell or underweight a security, commence active dialogue/ engagement with company management, or make adjustments to the top-down allocations to geographies, sectors, or asset classes. In implementing its integration of Sustainability Risks, the Investment Adviser may utilize a combination of information sources, including company-disclosed information, non-company disclosed information, and third-party research and data.
The Investment Adviser integrates the consideration of ESG issues in its investment decision-making. The Fund will also strive to align with the objectives of the Paris Agreement on climate change. The Fund seeks to achieve a lower carbon footprint than the MSCI Emerging Markets Net Index.
The Investment Adviser believes companies with forward-looking management teams that establish proactive strategies on these sustainability and ESG issues will be better positioned from a business and financial perspective over the long term than companies that do not consider them.
In addition to investing in companies that follow good governance practices and that exhibit strong management of sustainability factors relative to peers, the Fund may invest in companies in Emerging Markets that offer scalable and profitable solutions to address pressing sustainability issues including climate change and environmental/resource management. The Fund will seek to exclude certain companies that are highly exposed to Sustainability
Risks, applying both a best-in-class and best effort approach to its investment selection in this regard. The aim of the Investment Adviser will be to ensure that at least 90% of the Fund’s portfolio is subject to the sustainability analysis described above.
ESG criteria are considered by the Investment Adviser during both the investment and research process to limit exposure to Sustainability Risks. These criteria may include, but are not limited to carbon emissions, water scarcity, waste management, biodiversity, labour management, gender diversity, health & safety, product safety, data privacy & security, executive remuneration, board independence and shareholder rights. The Investment Adviser focuses on engaging company management on what it deems to be materially important governance, environmental and/or social issues facing a company. The application of the above ESG criteria should result in a 20% or more reduction of the investible universe, as defined in the first four paragraphs above.
Investments shall not knowingly include any company involved in the manufacturing or production of:
- tobacco
- 5
- ;
- adult entertainment;
- civilian firearms;
- controversial weapons;
- coal
- 6
- ;
- oil sands
- 7
- ;
- Arctic oil
- 8
- ; and
- gambling
- 9
- .

Further to the above, the Investment Adviser may, in its discretion, elect to apply additional ESG-related investment restrictions over time that it believes are consistent with its investment objectives. Such additional restrictions will be disclosed as they are implemented on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im. The exclusions are determined by the Investment Adviser’s own proprietary analysis rather than the reliance on third party analysis. However, the analysis may be supported by third party ESG controversies analysis and business involvement research. The exclusion criteria are applied to all equity investments within the Fund. The exclusion criteria will not
5 
The Fund does not invest in securities of issuers that generate 5% or more of revenue from the manufacture of tobacco products or from the supply of key products necessary for the production of tobacco products, such as filters.
6 
The Fund does not invest in securities of issuers that generate 10% or more of their revenue from the mining and extraction of thermal coal, or from coal-fired power.
7 
The Fund does not invest in securities that derive 5% or more of their revenues from the extraction or production of oil sands.
8 
The Fund does not invest in securities of issuers that generate 5% or more of their revenue from oil extraction or production in the Arctic region, including in the Arctic National Wildlife Refuge (ANWR).
9 
The Fund does not invest in securities of issuers that generate 5% or more of revenue from gambling activities.
be applied to investments in which the Investment Adviser does not have direct control of the underlying holdings, for example collective investment schemes or open-ended ETFs. The exclusion criteria are subject to periodic review and any changes will be reflected in the exclusion policy document. Investments that are held by the Fund but become restricted after they are acquired for the Fund will be sold. Such sales will take place over a time period to be determined by the Investment Adviser, taking into account the best interests of the Shareholders of the Fund.
The Fund references third party ESG data during the security research process, but does not rely on third party ESG data for the purposes of constructing the portfolio. The Investment Adviser relies on its own proprietary analysis for security selection and portfolio construction rather than third party analysis. However, in some cases data on specific issuers or the exclusions noted above may not be available and/or may be estimated by the Investment Adviser using reasonable estimates or third-party data.
The Fund will limit the use of derivatives to efficient portfolio management and for hedging purposes only.
The Fund is actively managed and uses the MSCI Emerging Markets Net Index as a comparator benchmark, which is representative of the Emerging Markets equities universe. The benchmark is used for performance comparison purposes only and does not integrate environmental or social characteristics.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the Emerging Leaders Equity Fund’s investment objective it may be appropriate for investors who:
- seek to invest in equity securities;
- seek capital appreciation over the medium term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

EUROPE OPPORTUNITY FUND
The Europe Opportunity Fund’s investment objective is to seek long-term capital appreciation, measured in Euro.
The Fund will seek to achieve its investment objective by investing primarily in equity securities, including depository receipts (American Depository Receipts (ADRs), Global Depositary Receipts (GDRs) and European Depository Receipts (EDRs)), of companies Located in Europe.
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange traded and over-the-counter options, futures and other derivatives for investment or efficient portfolio management (including hedging) purposes.
The Fund may also invest, on an ancillary basis, in equity securities not meeting the criteria of the Fund’s primary investments, debt securities convertible into common shares, preference shares, warrants and other equity linked instruments. The Fund may invest to a limited extent in units/shares of other collective investment schemes, including the Company’s Funds and open- ended ETFs, which are eligible investments for UCITS under the 2010 Law.
The Investment Adviser emphasises a bottom-up stock selection process, seeking attractive investments on an individual company basis. In selecting securities for investment, the Investment Adviser seeks high quality established and emerging companies that the Investment Adviser believes are undervalued at the time of purchase. The Investment Adviser typically favours companies it believes have sustainable competitive advantages that can be monetised through growth. The investment process integrates analysis of sustainability with respect to disruptive change, financial strength, environmental and social externalities and governance (also referred to as ESG). The Investment Adviser generally considers selling a portfolio holding when it determines that the holding no longer satisfies its investment criteria.
The Investment Adviser employs a holistic approach to ESG within its company quality assessment by analyzing potential impacts to humanity’s health, environment, liberty and productivity and corporate governance practices to ensure agency, culture and trust. The Investment Adviser views incorporating ESG-related potential risks and opportunities within the investment process as important to ensure long-term stewardship of capital. Over extended time horizons, the Investment Adviser believes that ESG risks are more likely to materialize and externalities not borne by the company are more likely to be priced into the value of securities. Since ESG risks could potentially impact the risk and reward profile of investment opportunities, the Investment Adviser typically engages company management in constructive discussions on a range of ESG issues the Investment Adviser deems materially important.
Investments shall not knowingly include any company whose primary business activity involves the following:
- tobacco 
- (securities of issuers classified as Global Industry Classification Standard (“
- GICS
- ”) sub-industry tobacco, or generate 5% or more of revenue from the manufacture of tobacco products);
- coal mining 
- (securities of issuers classified as GICS sub- industry coal & consumable fuels, or generate 10% or more of revenue from the mining and extraction of thermal coal); or
- weapons, including 
- civilian firearms 
- (securities of issuers that generate 10% or more of revenue from the manufacture or production of civilian firearms or ammunition) and 
- cluster munitions and anti-personnel mines 
- (securities of issuers that manufacture, produce or distribute cluster munitions or anti- personnel landmines).

The details of the above exclusions can be found in the Fund’s exclusion policy which is available on the Company’s website (www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im). Further to the above, the Investment Adviser may, in its discretion, elect to apply additional investment restrictions over time that it believes are consistent with its investment objectives. Such additional restrictions will be disclosed as they are implemented on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im. Investments that are held by the Fund but become restricted after they are acquired for the Fund will be sold. Such sales will take place over a time period to be determined by the Investment Adviser, taking into account the best interests of the Shareholders of the Fund.
The Fund is actively managed and is not designed to track a benchmark. Therefore, the management of the Fund is not constrained by the composition of a benchmark. The Fund’s performance is measured against a benchmark as detailed in the Fund’s key investor information document.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the Europe Opportunity Fund’s investment objective it may be appropriate for investors who:
- seek to invest in equity securities;
- seek capital appreciation over the long term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

EUROPEAN PROPERTY FUND
10
The European Property Fund’s investment objective is to seek long-term capital appreciation, measured in Euro, by investing primarily in equity securities of companies in the European real estate industry Located throughout Europe. Companies in the real estate industry may include property development companies, companies principally engaged in the development and/or ownership of income-producing property and collective investment vehicles with exposure to property such as publicly quoted property
10 
As from 12 December 2022, the investment policy of the Fund will be changed in order to promote, among other characteristics, environmental or social characteristics, or a combination of those characteristics, provided that the companies in which the investments are made follow good governance. The Fund will then fall within the scope of Article 8 of the SFDR. Consequently, the first paragraph will be amended, as follows:
“The European Property Fund’s investment objective is to seek long term capital appreciation, measured in Euro, by investing primarily in equity securities of companies in the European real estate industry Located throughout Europe. Companies in the real estate industry or closely related to the real estate industry may include companies principally engaged in the development and/or ownership of income-producing property; companies that operate, construct, finance or sell real estate; companies with substantial real estate related holdings and/or services or products related to the real estate industry, including, but not limited to, real estate management, brokers, building products and property technology; and collective investment vehicles with exposure to property, such as publicly quoted property unit trusts, all types of eligible closed-end Real Estate Investment Trusts (REITS) and undertakings for collective investment.”
In addition, the third paragraph will be replaced by the following paragraphs:
“The investment process utilizes internal proprietary research to invest in public real estate companies that may offer the best relative value relative to their underlying assets and earnings. The Investment Adviser utilizes a bottom-up approach, valuing each security within the investment universe to arrive at an estimate of net asset value and forward cash flows. Real estate specific factors, broader equity factors, and ESG factors are assessed in the fundamental analysis to calculate appropriate valuation metrics.
The Investment Adviser also incorporates a top-down approach in the portfolio construction process by integrating several factors which may include forecasted fundamental inflections, macroeconomic considerations, and geopolitical and country risk assessments, to achieve diversified exposure across regions, countries and/or sectors.
The Investment Adviser actively integrates sustainability into the investment process by assessing key ESG risks and opportunities in the bottom-up stock selection process primarily by leveraging third-party ESG providers to assess and quantify ESG performance for issuers, supplementing third-party research with proprietary research conducted by the Investment Adviser including utilizing a proprietary framework for assessing and quantifying risks and opportunities related to ESG which results in a quantitative adjustment to valuation estimates, and through engagements with company management to discuss ESG related strengths, weaknesses, and opportunities in an effort to effect positive change within the industry. Key ESG topics may include, but are not limited to: energy usage and renewables, water usage, emissions, diversity and gender equality, labour and human rights, employee and tenant health, wellness and safety and company ESG governance and disclosure. In an effort to drive positive change and encourage companies to improve their performance on material ESG issues, the Investment Adviser may approach company management with competitive insights, financially sound business cases and practical solutions to potentially improve their real estate operations. While ESG considerations are an integrated and fundamental part of the investment process, they are only one of several key determinants used by the Investment Adviser to determine if an investment will be made or size adjusted in the overall portfolio.
Investments shall not knowingly include any company whose primary business activity in any of the following is more than 10% of company revenue:
- owning or operating real estate used for prisons;
- owning or operating real estate used to manufacture cannabis;
- owning, manufacturing or production of tobacco;
- owning, manufacturing or production of coal mining;
- owning, manufacturing or production of controversial weapons and civilian firearms; and
- owning, manufacturing or production of arctic oil and gas. Investments shall not knowingly include the following companies:
- companies that have a notable controversy related to their operations and/or products, where the severity of the social or environmental impact of the controversy, is judged by the Investment Adviser;
- companies that fail to comply with the UN Global Compact or the ILO fundamental principles, without material remediation and improvement.

unit trusts, closed-end Real Estate Investment Trusts (REITS) and undertakings for collective investment.
The Fund may also invest on an ancillary basis in preference shares, debt securities convertible into common shares, warrants and other equity linked instruments.
The investment process may consider information about ESG issues in its bottom-up stock selection process when making investment decisions. The Investment Adviser may engage with company management regarding corporate governance practices as well as what the Investment Adviser deems to be materially important environmental and/or social issues facing a company.
The Fund is actively managed and is not designed to track a benchmark. Therefore, the management of the Fund is not constrained by the composition of the benchmark. The Fund’s performance is measured against a benchmark as detailed in the Fund’s key investor information document.
Taxonomy Regulation disclosure
The investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities.
Profile of the typical investor
In light of the European Property Fund’s investment objective it may be appropriate for investors who:
- seek to invest in equity securities;
- seek capital appreciation over the long term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

GLOBAL BRANDS EQUITY INCOME FUND
The Global Brands Equity Income Fund’s investment objective is to provide a regular income stream and long-term capital growth.
The Fund seeks to achieve its investment objective by investing primarily in high quality steady dividend yield distributing equity securities of issuers located in the world’s developed markets.
The Investment Adviser references third party ESG data and its own proprietary research during the security research process. The Investment Adviser will review controversy cases (such as the exclusions noted above) that it views as being very severe using ratings by relevant ESG data providers and internal research. However, in some cases data on specific issuers or the exclusions noted above may not be readily available and/or may be estimated by the Investment Adviser using reasonable estimates.”
Finally, the Taxonomy Regulation disclosure will be amended as follows:
“In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.”
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange traded and over-the-counter options, futures and other derivatives for investment or efficient portfolio management (including hedging) purposes.
The Fund may, on an ancillary basis, invest in equity securities of issuers Located in emerging markets, including China A-Shares via Stock Connect, and in preference shares, debt securities convertible into common shares or preference shares, warrants on securities and other equity linked securities to gain exposure to issuers Located in developed and emerging markets. The Fund may invest up to 10% of its net assets in China A-Shares via Stock Connect.
The Fund will invest in a concentrated portfolio of companies whose success the Investment Adviser believes depends on intangible assets (for example, but not limited to, brand names, copyrights, or methods of distribution) underpinning a strong business franchise.
The Fund will enter into financial derivative instruments with Morgan Stanley International Plc to enhance the level of income earned. This strategy is expected to include taking exposure via one or more swaps (the “Swaps”) to options on equity indices. This is expected to increase the amount of income earned, through receipt of the premiums received for writing the underlying options. However, in a rising market, the risk of capital losses on the Swaps resulting from the exercise of the options may be mitigated by the growth in the value of the underlying assets.
Investment restrictions:
- The Fund will apply climate-related restrictions to exclude investments in any company that the Investment Adviser determines:
	- have any tie to fossil fuels (such as oil, gas and coal); or
	- whose core business activity involves energy, construction materials, utilities (excluding renewable electricity and water utilities), metals and mining.

- In addition, the Fund shall not knowingly include any company:
	- whose core business activity involves weapons or civilian firearms; or
	- that is defined by the MSCI ESG Business Involvement Screening Research (“MSCI ESG BISR”) database to have any tie to controversial weapons.


The above restrictions are applied by the Investment Adviser to 100% of the equity securities in the Fund but are not able to be applied to the Swaps. The details of the above exclusions can be found in the Fund’s exclusion policy which is available on the Company’s website (www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im). Further to the above, the
Investment Adviser may, in its discretion, elect to apply additional ESG-related investment restrictions over time that it believes are consistent with its investment objectives. Such additional restrictions will be disclosed as they are implemented on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im. Investments that are held by the Fund but become restricted under either the first or second bullet point above after they are acquired for the Fund will be sold. Such sales will take place over a time period to be determined by the Investment Adviser, taking into account the best interests of the Shareholders of the Fund.
Investment process:
The Fund’s investment process focuses on high quality companies with sustainably high returns on operating capital. As an essential and integrated part of the investment process, the Investment Adviser assesses relevant factors material to long-term sustainably high returns on operating capital including ESG factors and seeks to engage with company management teams as part of this. Subject to the Fund’s investment objective the Investment Adviser retains discretion over which investments are selected. Whilst ESG considerations are an integrated and fundamental part of the investment process, ESG factors are not the sole determinant of whether an investment can be made or a holding can remain in the Fund’s portfolio, but instead the Investment Adviser considers material risks or opportunities in any of the ESG areas which could threaten or enhance the high returns on operating capital of a company.
The Investment Adviser monitors business practices on an ongoing basis, through data on ESG controversies and standards screening that the Investment Adviser sources from third party providers, including UN Global Compact violations, as well as its own engagement with company management and research. The Investment Adviser reviews securities of issuers where it believes a significant breach of the above standards and principles has occurred and typically excludes such issuers where, after conducting our research and/or engagement, the Investment Adviser believes the breach is material to the sustainability of returns on operating capital, poses significant financial and reputational risk and the issuer has not committed to appropriate remedial action. Such exclusions are determined by the Investment Adviser in its discretion rather than by reliance on third party analysis. The analysis may be supported by third party ESG controversies analysis and business involvement metrics.
The Fund is actively managed and is not designed to track a benchmark. The management of the Fund is not constrained by the composition of a benchmark. The Fund’s performance is compared against a benchmark as detailed in the Fund’s key investor information document.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the Global Brands Equity Income Fund’s investment objective it may be appropriate for investors who:
- seek to invest in equity securities;
- seek capital appreciation over the medium term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

GLOBAL BRANDS FUND
The Global Brands Fund’s investment objective is to seek an attractive long-term rate of return, measured in US Dollars, through investment primarily in equity securities of companies in the world’s developed countries. The Fund will invest in a concentrated portfolio of companies whose success the Company believes depends on intangible assets (for example, but not limited to, brand names, copyrights or methods of distribution) underpinning a strong business franchise.
The Fund may also invest, on an ancillary basis in preference shares, debt securities convertible into common shares or preference shares, warrants on securities and other equity linked securities to gain exposure to companies in developed and emerging markets, as well as equity securities of emerging market companies and China A-Shares via Stock Connect. The Fund may invest up to 10% of its net assets in China A-Shares via Stock Connect.
The Fund will limit the use of derivatives to hedging purposes only. Investment restrictions:
- The Fund will apply climate-related restrictions to excludeinvestments in any company that the Investment Adviser determines:
- have any tie to fossil fuels (such as oil, gas and coal); or
- whose core business activity involves energy, construction materials, utilities (excluding renewable electricity and water utilities), metals and mining.
- In addition, the Fund shall not knowingly include any company:
	- whose core business activity involves weapons or civilian firearms; or
	- that is defined by the MSCI ESG Business Involvement Screening Research (“MSCI ESG BISR”) database to have any tie to controversial weapons.


The details of the above exclusions can be found in the Fund’s exclusion policy which is available on the Company’s website (www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im). Further to the above, the Investment Adviser may, in its discretion, elect to apply additional ESG-related investment restrictions over time that it believes are consistent with its investment objectives. Such additional restrictions will be disclosed as they are implemented on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im. Investments that are held by the Fund but become restricted under either the first or second bullet point above after they are acquired for the Fund will be sold. Such sales will take place over a time period to be determined by the Investment Adviser, taking into account the best interests of the Shareholders of the Fund.
Investment process:
The Fund’s investment process focuses on high quality companies with sustainably high returns on operating capital. As an essential and integrated part of the investment process, the Investment Adviser assesses relevant factors material to long-term sustainably high returns on operating capital including ESG factors and seeks to engage with company management teams as part of this. Subject to the Fund’s investment objective the Investment Adviser retains discretion over which investments are selected. Whilst ESG considerations are an integrated and fundamental part of the investment process, ESG factors are not the sole determinant of whether an investment can be made or a holding can remain in the Fund’s portfolio, but instead the Investment Adviser considers material risks or opportunities in any of the ESG areas which could threaten or enhance the high returns on operating capital of a company.
The Investment Adviser monitors business practices on an ongoing basis, through data on ESG controversies and standards screening that the Investment Adviser sources from third party providers, including UN Global Compact violations, as well as its own engagement with company management and research. The Investment Adviser reviews securities of issuers where it believes a significant breach of the above standards and principles has occurred and typically excludes such issuers where, after conducting our research and/or engagement, the Investment Adviser believes the breach is material to the sustainability of returns on operating capital, poses significant financial and reputational risk and the issuer has not committed to appropriate remedial action. Such exclusions are determined by the Investment Adviser in its discretion rather than by
reliance on third party analysis. The analysis may be supported by third party ESG controversies analysis and business involvement metrics.
The Fund is actively managed and is not designed to track a benchmark. The management of the Fund is not constrained by the composition of a benchmark. The Fund’s performance is compared against a benchmark as detailed in the Fund’s key investor information document.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the Global Brands Fund’s investment objective it may be appropriate for investors who:
- seek to invest in equity securities;
- seek capital appreciation over the medium term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

GLOBAL CORE EQUITY FUND
The Global Core Equity Fund’s investment objective is to seek long-term capital appreciation, measured in USD. The Fund invests primarily in equity securities issued by mid to large capitalisation companies, including depositary receipts (such as American Depositary Receipts (ADRs) and Global Depositary Receipts (GDRs)) and closed-end Real Estate Investment Trusts (REITS), issued by companies worldwide.
The investment process uses a combination of quantitative models, to assess market drivers, and fundamental research of individual stocks to identify companies with attractive valuations, above- average appreciation potential and competitive dividend yields.
The Fund may also invest, on an ancillary basis, in equity securities not meeting the above requirements, debt securities convertible into common shares, preference shares, Cash Equivalents, warrants and other equity linked instruments.
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with Appendix A) make use of exchange traded and over-the-counter options, futures and other
derivatives for investment or efficient portfolio management (including hedging) purposes.
The Fund is actively managed and is not designed to track a benchmark. The management of the Fund is not constrained by the composition of any benchmark. The Fund’s performance is measured against a benchmark as detailed in the Fund’s key investor information document.
Taxonomy Regulation disclosure
The investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities.
Profile of the typical investor
In light of the Global Core Equity Fund’s investment objective it may be appropriate for investors who:
- seek to invest in equity securities;
- seek capital appreciation over the medium term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

GLOBAL ENDURANCE FUND
The Global Endurance Fund’s investment objective is to seek long- term capital appreciation, measured in US Dollars.
The Fund will seek to achieve its investment objective by investing primarily in equity securities, including depositary receipts (including American Depositary Receipts (ADRs) and Global Depositary Receipts (GDRs)), of established and emerging companies located throughout the world, with capitalizations within the range of companies included in the MSCI All Country World Index.
The Fund may also invest, on an ancillary basis, in equity securities not meeting the criteria of the Fund’s primary investments, debt securities convertible into common shares, preference shares, China A-Shares via Stock Connect, warrants and other equity linked instruments. The Fund may invest up to 10% of its net assets in China A-Shares via Stock Connect.
The Fund may invest to a limited extent in units/shares of other collective investment schemes, including the Company’s Funds and open-ended ETFs, which are eligible investments for UCITS under the 2010 Law.
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange traded and over-the-counter options, futures and other derivatives for investment or efficient portfolio management (including hedging) purposes.
The investment process will emphasize a bottom up stock selection process seeking attractive investments on an individual company basis. In selecting securities for investment, the Investment Adviser seeks to invest in companies with sustainable competitive advantages. The Investment Adviser typically favours companies with rising returns on invested capital, above-average business visibility, strong free cash flow generation and an attractive risk/reward.
The Fund will make long-term investments in companies globally that the Investment Adviser believes have the most durable long- term competitive advantages.
The Fund may also invest in more moderate growth companies, companies with lower earnings volatility and/or ones with some cyclicality in their end markets.
The Investment Adviser actively integrates sustainability into the investment process by using ESG factors as a lens for additional fundamental research, which can contribute to investment decision- making. The Investment Adviser seeks to understand how environmental and social initiatives within companies can create value by strengthening durable competitive advantages, creating growth opportunities, driving profitability, and/or aligning with secular growth trends. The Investment Adviser generally engages with company management teams to discuss their ESG practices, with the aim of identifying how sustainability themes present opportunities and risks that can be material to the value of the security over the long term. Other aspects of the investment process include a proprietary, systematic evaluation of governance policies, specifically focusing on compensation alignment on long-term value creation.
Investments shall not knowingly include any company whose primary business activity involves the following:
- tobacco 
- (securities of issuers classified as Global Industry Classification Standard (“
- GICS
- ”) sub-industry tobacco, or generate 5% or more of revenue from the manufacture of tobacco products);
- coal mining 
- (securities of issuers classified as GICS sub- industry coal & consumable fuels, or generate 10% or more of revenue from the mining and extraction of thermal coal); or
- weapons, including 
- civilian firearms 
- (securities of issuers that generate 10% or more of revenue from the manufacture or production of civilian firearms or ammunition) and 
- cluster munitions and anti-personnel mines 
- (securities of issuers that manufacture, produce or distribute cluster munitions or anti- personnel landmines).

The details of the above exclusions can be found in the Fund’s exclusion policy which is available on the Company’s website (www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im). Further to the above, the Investment
Adviser may, in its discretion, elect to apply additional investment restrictions over time that it believes are consistent with its investment objectives. Such additional restrictions will be disclosed as they are implemented on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im. Investments that are held by the Fund but become restricted after they are acquired for the Fund will be sold. Such sales will take place over a time period to be determined by the Investment Adviser, taking into account the best interests of the Shareholders of the Fund.
The Fund is actively managed, not designed to track a benchmark, and therefore not constrained by the composition of the MSCI All Country World Index. The Fund references the MSCI All Country World Index for the purpose of setting the capitalization range of issuers the Fund will invest in. The Fund’s performance is measured against the MSCI All Country World Index as detailed in the Fund’s key investor information document.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the Global Endurance Fund’s investment objective, it may be appropriate for investors who:
- seek to invest in equity securities;
- seek capital appreciation over the medium term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

GLOBAL FOCUS PROPERTY FUND
11
The Global Focus Property Fund’s investment objective is to seek long-term capital appreciation, measured in US Dollars, by
11 
As from 12 December 2022, the investment policy of the Fund will be changed in order to promote, among other characteristics, environmental or social characteristics, or a combination of those characteristics, provided that the companies in which the investments are made follow good governance. The Fund will then fall within the scope of Article 8 of the SFDR. Consequently, the second and fourth paragraphs will be amended, as follows:
“Companies in the real estate industry or closely related to the real estate industry may include companies principally engaged in the development and/or ownership of income-producing property; companies that operate, construct, finance or sell real estate; companies with substantial real estate related holdings and/or services or products related to the real estate industry, including, but not limited to, real estate management, brokers, building products and property technology; and collective investment vehicles with exposure to property, such as publicly quoted property unit trusts, all types of eligible closed-end Real Estate Investment Trusts (REITS) and undertakings for collective investment.
[…]
The Fund may also invest on an ancillary basis in equity securities not meeting the criteria of the Fund’s primary investments including but not limited to: preference shares and convertible
investing primarily in a focused, concentrated portfolio of equity securities, including depositary receipts (including American Depositary Receipts (ADRs) and Global Depositary Receipts (GDRs)), of companies in the real estate industry or closely related to the real estate industry Located throughout the world that the Investment Adviser considers offer higher forecasted total return potential relative to other opportunities within the above mentioned asset classes.
Companies in the real estate industry or closely related to the real estate industry may include companies principally engaged in the development and/or ownership of income-producing property, companies that operate, construct, finance or sell real estate, companies with substantial real estate related holdings and/or services related to the real estate industry, including, but not limited to, real estate management, brokers, and building products, and collective investment vehicles with exposure to property, such as publicly quoted property unit trusts, all types of closed-end Real Estate Investment Trusts (REITS) and undertakings for collective investment.
preferred securities, debt securities convertible into common shares, rights and warrants to purchase equity securities, shares of investment companies, limited partnership interests, and other equity linked instruments.”
In addition, the seventh paragraph will be replaced by the following paragraphs:
“The Investment Adviser actively integrates sustainability into the investment process by assessing key ESG risks and opportunities in the bottom-up stock selection process primarily by leveraging third-party ESG providers to assess and quantify ESG performance for issuers, supplementing third-party research with proprietary research conducted by the Investment Adviser including utilizing a proprietary framework for assessing and quantifying risks and opportunities related to ESG which results in a quantitative adjustment to valuation estimates, and through engagements with company management to discuss ESG related strengths, weaknesses, and opportunities in an effort to effect positive change within the industry. Key ESG topics may include, but are not limited to: energy usage and renewables, water usage, emissions, diversity and gender equality, labour and human rights, employee and tenant health, wellness and safety and company ESG governance and disclosure. In an effort to drive positive change and encourage companies to improve their performance on material ESG issues, the Investment Adviser may approach company management with competitive insights, financially sound business cases and practical solutions to potentially improve their real estate operations. While ESG considerations are an integrated and fundamental part of the investment process, they are only one of several key determinants used by the Investment Adviser to determine if an investment will be made or size adjusted in the overall portfolio.
Investments shall not knowingly include any company whose primary business activity in any of the following is more than 10% of company revenue:
- owning or operating real estate used for prisons;
- owning or operating real estate used to manufacture cannabis;
- owning, manufacturing or production of tobacco;
- owning, manufacturing or production of coal mining;
- owning, manufacturing or production of controversial weapons and civilian firearms; and
- owning, manufacturing or production of arctic oil and gas. Investments shall not knowingly include the following companies:
- companies that have a notable controversy related to their operations and/or products, where the severity of the social or environmental impact of the controversy, is judged by the Investment Adviser;
- companies that fail to comply with the UN Global Compact or the ILO fundamental principles, without material remediation and improvement.

The Investment Adviser references third party ESG data and its own proprietary research during the security research process. The Investment Adviser will review controversy cases (such as the exclusions noted above) that it views as being very severe using ratings by relevant ESG data providers and internal research. However, in some cases data on specific issuers or the exclusions noted above may not be readily available and/or may be estimated by the Investment Adviser using reasonable estimates.”
Finally, the Taxonomy Regulation disclosure will be amended as follows:
“In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.”
The Fund will invest primarily in companies located in the developed countries of North America, Europe and Asia, but may also invest in companies located in emerging markets.
The Fund may invest on an ancillary basis in in equity securities not meeting the criteria of the Fund’s primary investments, preference shares and convertible preferred securities, debt securities convertible into common shares, rights and warrants to purchase equity securities, shares of investment companies, China A-Shares via Stock Connect, limited partnership interests, and other equity linked instruments. The Fund may invest up to 10% of its net assets in China A-Shares via Stock Connect.
The Fund may invest to a limited extent in units/shares of other collective investment schemes, including the Company’s Funds and open-ended ETFs, which are eligible investments for UCITS under the 2010 Law. In accordance with Appendix A “Investment Powers and Restrictions” non-US Dollar currency exposure may be partially or fully hedged back to US Dollars. With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange traded and over-the-counter options, futures and other derivatives for investment or efficient portfolio management (including hedging) purposes.
The Investment Adviser actively manages the Fund using a high- conviction, disciplined, bottom-up, fundamentally driven investment methodology. The Fund will be comprised of those securities which the Investment Adviser considers offer higher forecasted total return potential based upon valuation relative to other opportunities in the investment universe. The Investment Adviser will assess real estate specific factors, broader equity factors, as well as ESG factors in their fundamental analysis in order to calculate appropriate valuation metrics. Top-down considerations are incorporated into the portfolio construction process and seek to achieve exposure across regions, countries and/or sectors and integrate forecasted fundamental inflections, macroeconomic considerations, geopolitical and country risk assessments, among other factors. The Investment Adviser actively selects positions in a limited number of equity securities.
The investment process may consider information about ESG issues in its bottom-up stock selection process when making investment decisions. The Investment Adviser and Sub-Advisers may engage with company management regarding corporate governance practices as well as what the Investment Adviser and Sub-Advisers deem to be materially important environmental and/ or social issues facing a company.
The Fund is actively managed and is not designed to track a benchmark. Therefore, the management of the Fund is not constrained by the composition of a benchmark. The Fund’s
performance is measured against a benchmark as detailed in the Fund’s key investor information document.
Taxonomy Regulation disclosure
The investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities.
Profile of the typical investor
In light of the Global Focus Property Fund’s investment objective it may be appropriate for investors who:
- seek to invest in equity securities;
- seek capital appreciation over the long term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

GLOBAL INFRASTRUCTURE FUND
12
The Global Infrastructure Fund’s investment objective is to seek to provide long-term capital appreciation, measured in US Dollars, by investing primarily in equity securities issued by companies, for the avoidance of doubt including closed-end Real Estate Investment
12 
As from 12 December 2022, the investment policy of the Fund will be changed in order to promote, among other characteristics, environmental or social characteristics, or a combination of those characteristics, provided that the companies in which the investments are made follow good governance. The Fund will then fall within the scope of Article 8 of the SFDR. Consequently, the third paragraph will be replaced by the following paragraphs:
“The Investment Adviser actively integrates sustainability into the investment process by assessing key ESG risks and opportunities in the bottom-up stock selection process primarily by leveraging third-party ESG providers to assess and quantify ESG performance for issuers, supplementing third-party research with proprietary research conducted by the Investment Adviser including utilizing a proprietary framework for assessing and quantifying risks and opportunities related to ESG which results in a quantitative adjustment to valuation estimates, and through engagements with company management to discuss ESG related strengths, weaknesses, and opportunities in an effort to effect positive change within the industry. In an effort to drive positive change and encourage companies to improve their performance on material ESG issues, the Investment Adviser may approach company management with competitive insights, financially sound business cases and practical solutions to potentially improve their infrastructure operations. While ESG considerations are an integrated and fundamental part of the investment process, they are only one of several key determinants used by the Investment Adviser to determine if an investment will be made or size adjusted in the overall portfolio.
Investments shall not knowingly include any company whose primary business activity in any of the following is more than 10% of company revenue:
- owning, manufacturing or production of tobacco;
- owning, manufacturing or production of controversial weapons and civilian firearms;
- owning or operating gambling activity; and
- owning or operating adult entertainment.

Investments shall not knowingly include the following companies:
- companies that have a notable controversy related to their operations and/or products, where the severity of the social or environmental impact of the controversy, is judged by the Investment Adviser;
- companies that fail to comply with the UN Global Compact or the ILO fundamental principles, without material remediation and improvement.

The Investment Adviser references third party ESG data and its own proprietary research during the security research process. The Investment Adviser will review controversy cases (such as the exclusions noted above) that it views as being very severe using ratings by relevant ESG data providers and internal research. However, in some cases data on specific issuers or the exclusions noted above may not be readily available and/or may be estimated by the Investment Adviser using reasonable estimates.”
Additionally, the Taxonomy Regulation disclosure will be amended as follows:
“In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.”
Trusts (REITS), Located throughout the world that are engaged in the infrastructure business. Companies in the infrastructure business may be involved in, among other areas, the transmission and distribution of electric energy; the storage, transportation and distribution of natural resources, such as natural gas, used to produce energy; the building, operation and maintenance of highways, toll roads, tunnels, bridges and parking lots; the building, operation and maintenance of airports and ports, railroads and mass transit systems; telecommunications; water treatment and distribution; waste operations; renewable power generation; and other emerging infrastructure sectors.
The Fund may also invest on an ancillary basis in preference shares, debt securities convertible into common shares, warrants and other equity linked instruments issued by any corporations engaged in infrastructure related business.
The investment process may consider information about ESG issues in its bottom-up stock selection process when making investment decisions. The Sub-Advisers may engage with company management regarding corporate governance practices as well as what the Sub-Advisers deem to be materially important environmental and/or social issues facing a company.
The Fund is actively managed and is not designed to track a benchmark. Therefore, the management of the Fund is not constrained by the composition of a benchmark. The Fund’s performance is measured against a benchmark as detailed in the Fund’s key investor information document.
Taxonomy Regulation disclosure
The investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities.
Profile of the typical investor
In light of the Global Infrastructure Fund’s investment objective it may be appropriate for investors who:
- seek to invest in equity securities;
- seek capital appreciation over the long term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

GLOBAL INSIGHT FUND
The Global Insight Fund’s investment objective is to seek long- term capital appreciation, measured in US Dollars, by investing primarily in securities issued by companies on a global basis. Under normal market conditions, the Fund’s investment objective will be pursued by investing primarily in equity securities of established and emerging companies. The investment process will emphasize a bottom-up stock selection process, seeking attractive investments
on an individual company basis. In selecting securities for investment, the Investment Adviser typically invests in unique companies it believes have and sustainable competitive advantages with above average business visibility, the ability to deploy capital at high rates of return, strong balance sheets and an attractive risk/ reward.
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange traded and over-the-counter options, futures and other derivatives for investment or efficient portfolio management (including hedging) purposes.
The Fund may also be invested, on an ancillary basis, in equities of companies not meeting the above requirements, debt securities convertible into common shares, China A-Shares via Stock Connect, depositary receipts (including American Depositary Receipts (ADRs) and Global Depositary Receipts (GDRs)), preference shares, warrants on securities, Cash Equivalents and other equity linked securities. The Fund may invest up to 10% of its net assets in China A-Shares via Stock Connect.
The Investment Adviser actively integrates sustainability into the investment process by using ESG factors as a lens for additional fundamental research, which can contribute to investment decision- making. The Investment Adviser seeks to understand how environmental and social initiatives within companies can create value by strengthening durable competitive advantages, creating growth opportunities, driving profitability, and/or aligning with secular growth trends. The Investment Adviser generally engages with company management teams to discuss their ESG practices, with the aim of identifying how sustainability themes present opportunities and risks that can be material to the value of the security over the long term. Other aspects of the investment process include a proprietary, systematic evaluation of governance policies, specifically focusing on compensation alignment on long-term value creation.
Investments shall not knowingly include any company whose primary business activity involves the following:
- tobacco 
- (securities of issuers classified as Global Industry Classification Standard (“
- GICS
- ”) sub-industry tobacco, or generate 5% or more of revenue from the manufacture of tobacco products);
- coal mining 
- (securities of issuers classified as GICS sub- industry coal & consumable fuels, or generate 10% or more of revenue from the mining and extraction of thermal coal); or
- weapons, including 
- civilian firearms 
- (securities of issuers that generate 10% or more of revenue from the manufacture or production of civilian firearms or ammunition) and 
- clustermunitions and anti-personnel mines (securities of issuers that manufacture, produce or distribute cluster munitions or anti- personnel landmines).

The details of the above exclusions can be found in the Fund’s exclusion policy which is available on the Company’s website (www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im). Further to the above, the Investment Adviser may, in its discretion, elect to apply additional investment restrictions over time that it believes are consistent with its investment objectives. Such additional restrictions will be disclosed as they are implemented on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im. Investments that are held by the Fund but become restricted after they are acquired for the Fund will be sold. Such sales will take place over a time period to be determined by the Investment Adviser, taking into account the best interests of the Shareholders of the Fund.
The Fund is actively managed, not designed to track a benchmark, and therefore not constrained by the composition of a benchmark. The Fund’s performance is measured against a benchmark as detailed in the Fund’s key investor information document.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the Global Insight Fund’s investment objective, it may be appropriate for investors who:
- seek to invest in equity securities;
- seek capital appreciation over the medium term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

GLOBAL OPPORTUNITY FUND
The Global Opportunity Fund’s investment objective is to seek long-term appreciation, measured in US Dollars. The Fund will seek to achieve its investment objective by investing primarily in equity securities, including depositary receipts (including American Depositary Receipts (ADRs) and Global Depositary Receipts (GDRs)), of issuers Located in any country.
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange traded and over-the-counter options, futures and other derivatives for investment or efficient portfolio management (including hedging) purposes.
The Fund may also invest on an ancillary basis, in debt securities convertible into common shares, preference shares, China A-Shares via Stock Connect, warrants on securities, Cash Equivalents and other equity linked securities. The Fund may invest up to 20% of its net assets in China A-Shares via Stock Connect.
The Fund may invest to a limited extent in units/shares of other collective investment schemes, including the Company’s Funds and open-ended ETFs, which are eligible investments for UCITS under the 2010 Law.
The Investment Adviser emphasises a bottom-up stock selection process, seeking attractive investments on an individual company basis. In selecting securities for investment, the Investment Adviser seeks high quality established and emerging companies that the Investment Adviser believes are undervalued at the time of purchase. The Investment Adviser typically favours companies it believes have sustainable competitive advantages that can be monetised through growth. The investment process integrates analysis of sustainability with respect to disruptive change, financial strength, environmental and social externalities and governance (also referred to as ESG). The Investment Adviser generally considers selling a portfolio holding when it determines that the holding no longer satisfies its investment criteria.
The Investment Adviser employs a holistic approach to ESG within its company quality assessment by analyzing potential impacts to humanity’s health, environment, liberty and productivity and corporate governance practices to ensure agency, culture and trust. The Investment Adviser views incorporating ESG-related potential risks and opportunities within the investment process as important to ensure long-term stewardship of capital. Over extended time horizons, the Investment Adviser believes that ESG risks are more likely to materialize and externalities not borne by the investee company are more likely to be priced into the value of securities. Since ESG risks could potentially impact the risk and reward profile of investment opportunities, the Investment Adviser typically engages company management in constructive discussions on a range of ESG issues the Investment Adviser deems materially important.
Investments shall not knowingly include any company whose primary business activity involves the following:
- tobacco 
- (securities of issuers classified as Global Industry Classification Standard (“
- GICS
- ”) sub-industry tobacco, or generate 5% or more of revenue from the manufacture of tobacco products);
- coal mining 
- (securities of issuers classified as GICS sub- industry coal & consumable fuels, or generate 10% or more of revenue from the mining and extraction of thermal coal); or
- weapons, including 
- civilian firearms 
- (securities of issuers that generate 10% or more of revenue from the manufacture or production of civilian firearms or ammunition) and 
- cluster munitions and anti-personnel mines 
- (securities of issuers that manufacture, produce or distribute cluster munitions or anti- personnel landmines).

The details of the above exclusions can be found in the Fund’s exclusion policy which is available on the Company’s website (www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im). Further to the above, the Investment Adviser may, in its discretion, elect to apply additional investment restrictions over time that it believes are consistent with its investment objectives. Such additional restrictions will be disclosed as they are implemented on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im. Investments that are held by the Fund but become restricted after they are acquired for the Fund will be sold. Such sales will take place over a time period to be determined by the Investment Adviser, taking into account the best interests of the Shareholders of the Fund.
The Fund is actively managed and is not designed to track a benchmark. Therefore, the management of the Fund is not constrained by the composition of a benchmark. The Fund’s performance is measured against a benchmark as detailed in the Fund’s key investor information document.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the Global Opportunity Fund’s investment objective it may be appropriate for investors who:
- seek to invest in equity securities;
- seek capital appreciation over the long term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

GLOBAL PERMANENCE FUND
The Global Permanence Fund’s investment objective is to seek long-term capital appreciation, measured in US Dollars.
The Fund will seek to achieve its investment objective by investing primarily in equity securities, including depositary receipts (including American Depositary Receipts (ADRs) and Global Depositary Receipts (GDRs)), of established companies located throughout the world, with capitalizations within the range of companies included in the MSCI All Country World Index.
The Fund may also invest, on an ancillary basis, in equity securities not meeting the criteria of the Fund’s primary investments, debt securities convertible into common shares, preference shares, China A-Shares via Stock Connect, warrants and other equity linked instruments. The Fund may invest up to 10% of its net assets in China A-Shares via Stock Connect.
The Fund may invest to a limited extent in units/shares of other collective investment schemes, including the Company’s Funds and open-ended ETFs, which are eligible investments for UCITS under the 2010 Law.
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange traded and over-the-counter options, futures and other derivatives for investment or efficient portfolio management (including hedging) purposes.
The investment process will emphasize a bottom up stock selection process seeking attractive investments on an individual company basis. In selecting securities for investment, the Investment Adviser typically invests in companies it believes have strong name recognition and sustainable competitive advantages with above average business visibility, the ability to deploy capital at high rates of return, strong balance sheets and an attractive risk/reward.
The Fund will make long-term investments in companies globally that the Investment Adviser believes have the most durable long- term competitive advantages. The Fund may also invest in more moderate growth companies, companies with lower earnings volatility and/or ones with some cyclicality in their end markets.
The Investment Adviser actively integrates sustainability into the investment process by using ESG factors as a lens for additional fundamental research, which can contribute to investment decision- making. The Investment Adviser seeks to understand how environmental and social initiatives within companies can create value by strengthening durable competitive advantages, creating growth opportunities, driving profitability, and/or aligning with secular growth trends. The Investment Adviser generally engages with company management teams to discuss their ESG practices, with the aim of identifying how sustainability themes present
opportunities and risks that can be material to the value of the security over the long term. Other aspects of the investment process include a proprietary, systematic evaluation of governance policies, specifically focusing on compensation alignment on long-term value creation.
Investments shall not knowingly include any company whose primary business activity involves the following:
- tobacco 
- (securities of issuers classified as Global Industry Classification Standard (“
- GICS
- ”) sub-industry tobacco, or generate 5% or more of revenue from the manufacture of tobacco products);
- coal mining 
- (securities of issuers classified as GICS sub- industry coal & consumable fuels, or generate 10% or more of revenue from the mining and extraction of thermal coal); or
- weapons, including 
- civilian firearms 
- (securities of issuers that generate 10% or more of revenue from the manufacture or production of civilian firearms or ammunition) and 
- cluster munitions and anti-personnel mines 
- (securities of issuers that manufacture, produce or distribute cluster munitions or anti- personnel landmines).

The details of the above exclusions can be found in the Fund’s exclusion policy which is available on the Company’s website (www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im). Further to the above, the Investment Adviser may, in its discretion, elect to apply additional investment restrictions over time that it believes are consistent with its investment objectives. Such additional restrictions will be disclosed as they are implemented on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im. Investments that are held by the Fund but become restricted after they are acquired for the Fund will be sold. Such sales will take place over a time period to be determined by the Investment Adviser, taking into account the best interests of the Shareholders of the Fund.
The Fund is actively managed, not designed to track a benchmark, and therefore not constrained by the composition of the MSCI All Country World Index. The Fund references the MSCI All Country World Index for the purpose of setting the capitalization range of issuers the Fund will invest in. The Fund’s performance is measured against the MSCI All Country World Index as detailed in the Fund’s key investor information document.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the Global Permanence Funds’ investment objective, it may be appropriate for investors who;
- seek to invest in equity securities;
- seek capital appreciation over the medium term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

GLOBAL PROPERTY FUND
13
The Global Property Fund’s investment objective is to seek long- term capital appreciation, measured in US Dollars, primarily through investment in the equity securities of companies in the real estate industry Located throughout the world. Companies in the
13 
As from 12 December 2022, the investment policy of the Fund will be changed in order to promote, among other characteristics, environmental or social characteristics, or a combination of those characteristics, provided that the companies in which the investments are made follow good governance. The Fund will then fall within the scope of Article 8 of the SFDR. Consequently, the first paragraph will be amended, as follows:
“The Global Property Fund’s investment objective is to seek long term capital appreciation, measured in US Dollars, primarily through investment in the equity securities of companies in the real estate industry Located throughout the world. Companies in the real estate industry or closely related to the real estate industry may include companies principally engaged in the development and/or ownership of income-producing property; companies that operate, construct, finance or sell real estate; companies with substantial real estate related holdings and/or services or products related to the real estate industry, including, but not limited to, real estate management, brokers, building products and property technology; and collective investment vehicles with exposure to property, such as publicly quoted property unit trusts, all types of eligible closed-end Real Estate Investment Trusts (REITS) and undertakings for collective investment. The Fund may also invest on an ancillary basis in preference shares, debt securities convertible into common shares, warrants and other equity linked instruments.”
In addition, the second paragraph will be replaced by the following paragraphs:
“The investment process utilizes internal proprietary research to invest in public real estate companies that may offer the best relative value relative to their underlying assets and earnings. The Investment Adviser utilizes a bottom-up approach, valuing each security within the investment universe to arrive at an estimate of net asset value and forward cash flows. Real estate specific factors, broader equity factors, and ESG factors are assessed in the fundamental analysis to calculate appropriate valuation metrics.
The Investment Adviser also incorporates a top-down approach in the portfolio construction process by integrating several factors which may include forecasted fundamental inflections, macroeconomic considerations, and geopolitical and country risk assessments, to achieve diversified exposure across regions, countries and/or sectors.
The Investment Adviser actively integrates sustainability into the investment process by assessing key ESG risks and opportunities in the bottom-up stock selection process primarily by leveraging third-party ESG providers to assess and quantify ESG performance for issuers, supplementing third-party research with proprietary research conducted by the Investment Adviser including utilizing a proprietary framework for assessing and quantifying risks and opportunities related to ESG which results in a quantitative adjustment to valuation estimates, and through engagements with company management to discuss ESG-related strengths, weaknesses, and opportunities in an effort to effect positive change within the industry. Key ESG topics may include, but are not limited to: energy usage and renewables, water usage, emissions, diversity and gender equality, labour and human rights, employee and tenant health, wellness and safety and company ESG governance and disclosure. In an effort to drive positive change and encourage companies to improve their performance on material ESG issues, the Investment Adviser may approach company management with competitive insights, financially sound business cases and practical solutions to potentially improve their real estate operations. While ESG considerations are an integrated and fundamental part of the investment process, they are only one of several key determinants used by the Investment Adviser to determine if an investment will be made or size adjusted in the overall portfolio.
Investments shall not knowingly include any company whose primary business activity in any of the following is more than 10% of company revenue:
- owning or operating real estate used for prisons;
- owning or operating real estate used to manufacture cannabis;
- owning, manufacturing or production of tobacco;
- owning, manufacturing or production of coal mining;
- owning, manufacturing or production of controversial weapons and civilian firearms; and
- owning, manufacturing or production of arctic oil and gas.

real estate industry may include companies principally engaged in the development and/or ownership of income-producing property and collective investment vehicles with exposure to property such as publicly quoted property unit trusts, closed-end Real Estate Investment Trusts (REITS) and undertakings for collective investment. The Fund may also invest on an ancillary basis in preference shares, debt securities convertible into common shares, warrants and other equity linked instruments.
The investment process may consider information about ESG issues in its bottom-up stock selection process when making investment decisions. The Investment Adviser may engage with company management regarding corporate governance practices as well as what the Investment Adviser deems to be materially important environmental and/or social issues facing a company.
The Fund is actively managed and is not designed to track a benchmark. Therefore, the management of the Fund is not constrained by the composition of a benchmark. The Fund’s performance is measured against a benchmark as detailed in the Fund’s key investor information document.
Taxonomy Regulation disclosure
The investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities.
Profile of the typical investor
In light of the Global Property Fund’s investment objective it may be appropriate for investors who:
- seek to invest in equity securities;
- seek capital appreciation over the long term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

Investments shall not knowingly include the following companies:
- companies that have a notable controversy related to their operations and/or products, where the severity of the social or environmental impact of the controversy, is judged by the Investment Adviser;
- companies that fail to comply with the UN Global Compact or the ILO fundamental principles, without material remediation and improvement.

The Investment Adviser references third party ESG data and its own proprietary research during the security research process. The Investment Adviser will review controversy cases (such as the exclusions noted above) that it views as being very severe using ratings by relevant ESG data providers and internal research. However, in some cases data on specific issuers or the exclusions noted above may not be readily available and/or may be estimated by the Investment Adviser using reasonable estimates.”
Finally, the Taxonomy Regulation disclosure will be amended as follows:
“In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.”
GLOBAL QUALITY FUND
The Global Quality Fund’s investment objective is to seek an attractive long-term rate of return, measured in US Dollars, through investment principally in equity securities of companies in the world’s developed countries. The strategy will invest in a concentrated portfolio of high quality businesses with strong managements that can sustain high cross-cycle returns on capital. The Investment Adviser believes that long term returns can best be achieved through compounding and downside protection and that high quality companies can generate superior returns for their owners over the long term. The search for high quality companies will focus on identifying companies with dominant market positions, typically underpinned by hard to replicate intangible assets. Characteristics include resilient revenue streams, pricing power, typically low capital intensity and the opportunity for organic growth. The Investment Adviser aims to buy these stocks at attractive valuations relative to their cash-flow based fundamental values.
The Fund may also invest, on an ancillary basis, in equity securities of companies Located in emerging markets, including China A-Shares via Stock Connect, in preference shares, debt securities convertible into common shares or preference shares, warrants on securities and other equity linked securities. The Fund will limit the use of derivatives to hedging purposes only. The Fund may invest up to 10% of its net assets in China A-Shares via Stock Connect.
Investment restrictions:
- The Fund will apply climate-related restrictions to exclude investments in any company that the Investment Adviser determines:
	- have any tie to fossil fuels (such as oil, gas and coal); or
	- whose core business activity involves energy, construction materials, utilities (excluding renewable electricity and water utilities), metals and mining.

- In addition, the Fund shall not knowingly include any company:
	- whose core business activity involves weapons or civilian firearms; or
	- that is defined by the MSCI ESG Business Involvement Screening Research (“MSCI ESG BISR”) database to have any tie to controversial weapons.


The details of the above exclusions can be found in the Fund’s exclusion policy which is available on the Company’s website (www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im). Further to the above, the Investment Adviser may, in its discretion, elect to apply additional ESG-related investment restrictions over time that it believes are consistent with its investment objectives. Such additional restrictions will be disclosed as they are implemented on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im. Investments that are held by the Fund but
become restricted under either the first or second bullet point above after they are acquired for the Fund will be sold. Such sales will take place over a time period to be determined by the Investment Adviser, taking into account the best interests of the Shareholders of the Fund.
Investment process:
The Fund’s investment process focuses on high quality companies with sustainably high returns on operating capital. As an essential and integrated part of the investment process, the Investment Adviser assesses relevant factors material to long-term sustainably high returns on operating capital including ESG factors and seeks to engage with company management teams as part of this. Subject to the Fund’s investment objective the Investment Adviser retains discretion over which investments are selected. Whilst ESG considerations are an integrated and fundamental part of the investment process, ESG factors are not the sole determinant of whether an investment can be made or a holding can remain in the Fund’s portfolio, but instead the Investment Adviser considers material risks or opportunities in any of the ESG areas which could threaten or enhance the high returns on operating capital of a company.
The Investment Adviser monitors business practices on an ongoing basis, through data on ESG controversies and standards screening that the Investment Adviser sources from third party providers, including UN Global Compact violations, as well as its own engagement with company management and research. The Investment Adviser reviews securities of issuers where it believes a significant breach of the above standards and principles has occurred and typically excludes such issuers where, after conducting our research and/or engagement, the Investment Adviser believes the breach is material to the sustainability of returns on operating capital, poses significant financial and reputational risk and the issuer has not committed to appropriate remedial action. Such exclusions are determined by the Investment Adviser in its discretion rather than by reliance on third party analysis. The analysis may be supported by third party ESG controversies analysis and business involvement metrics.
The Fund is actively managed and is not designed to track a benchmark. The management of the Fund is not constrained by the composition of a benchmark. The Fund’s performance is compared against a benchmark as detailed in the Fund’s key investor information document.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the Global Quality Fund’s investment objective it may be appropriate for investors who:
- seek to invest in equity securities;
- seek capital appreciation over the medium term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

GLOBAL SUSTAIN FUND
The Global Sustain Fund’s investment objective is to seek an attractive long-term rate of return, measured in US Dollars. The Investment Adviser will also apply ESG criteria that seek to achieve a greenhouse gas (“GHG”) emissions intensity for the Fund that is significantly lower than that of the reference universe (which is defined, only for the purposes of comparing GHG emissions intensity, as the MSCI AC World Index). For the purpose of this Fund, the term GHG shall be as defined by the GHG protocol and include carbon dioxide (CO2), methane (CH4), nitrous oxide (N2O), hydrofluorocarbons (HFCs), perfluorocarbons (PFCs) and sulphur hexafluoride (SF6) in metric tonnes and in tonnes of CO2 equivalent.
The Fund will seek to achieve its investment objective by investing primarily in equity securities, including depositary receipts, of issuers Located in any jurisdiction. The Fund may, on an ancillary basis, invest in equity securities of companies Located in emerging markets, including China A-Shares via Stock Connect, as well as in preference shares, debt securities convertible into common shares or preference shares, warrants on securities and other equity linked securities.
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange traded and over-the-counter options, futures and other derivatives for investment or efficient portfolio management (including hedging) purposes.
In order to meet the low GHG emissions intensity criteria:
- the Fund will firstly exclude investments in any company that the Investment Adviser determines:
	- have any tie to fossil fuels (such as oil, gas and coal),
	- any company whose core business activity involves energy, construction materials, utilities (excluding renewable electricity and water utilities), metals and mining, or
	- for which GHG emissions intensity estimates are not available and/or cannot be estimated (in the Investment Adviser’s discretion); and

- the remaining issuers will then be ranked according to their GHG emissions intensity estimates, and those with the highest intensity will be excluded from the reference universe.

The GHG emissions based investment criteria should collectively result in a reduction of the reference universe by at least 20% in a significantly engaging manner and the Investment Adviser will ensure that at least 90% of the issuers in the portfolio are assessed against these criteria.
Investment restrictions
- In addition to the above GHG-related exclusions, investments shall not knowingly include any company whose core business activity involves the following.
	- tobacco;
	- alcohol;
	- adult entertainment;
	- gambling;
	- civilian Firearms; or
	- weapons.

- The Fund will not invest in any company that is defined by the MSCI ESG Business Involvement Screening Research (“MSCI ESG BISR”) database to have any tie to controversial weapons.
- The Fund may invest no more than 10% of its net assets in China A-Shares via Stock Connect.

The details of the above exclusions can be found in the Fund’s exclusion policy which is available on the Company’s website (www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im). Further to the above, the Investment Adviser may, in its discretion, elect to apply additional ESG-related investment restrictions over time that it believes are consistent with its investment objectives. Such additional restrictions will be disclosed as they are implemented on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im. Investments that are held by the Fund but become restricted under either the first or second bullet point above after they are acquired for the Fund will be sold. Such sales will take place over a time period to be determined by the Investment Adviser, taking into account the best interests of the Shareholders of the Fund.
Investment process
The Investment Adviser seeks to invest in a concentrated portfolio of high quality, dominant franchises characterised by sustainable and high returns on operating capital, powerful intangible assets including brands, networks, licences and patents, and pricing power. The Investment Adviser seeks to identify capable management teams able to allocate capital effectively to grow the franchise and sustain and/or improve the return on operating capital.
The Fund’s investment process focuses on high quality companies with sustainably high returns on operating capital. As an essential and integrated part of the investment process, the Investment Adviser assesses relevant factors material to long-term sustainably high returns on operating capital including ESG factors and seeks to engage with company management teams as part of this. Subject to the Fund’s investment objective and the investment restrictions outlined above, the Investment Adviser retains discretion over which investments are selected. In exercising this discretion, ESG factors are not the sole determinant of whether an investment can be made or a holding can remain in the Fund’s portfolio, but instead the Investment Adviser considers material risks or opportunities in any of the ESG areas which could threaten or enhance the high returns on operating capital of a company.
The Investment Adviser monitors business practices on an ongoing basis, through data on ESG controversies and standards screening that the Investment Adviser sources from third party providers, including UN Global Compact violations, as well as its own engagement with company management and research. The Investment Adviser reviews securities of issuers where it believes a significant breach of the above standards and principles has occurred and typically excludes such issuers where, after conducting our research and/or engagement, the Investment Adviser believes the breach is material to the sustainability of returns on operating capital, poses significant financial and reputational risk and the issuer has not committed to appropriate remedial action. Such exclusions are determined by the Investment Adviser in its discretion rather than by reliance on third party analysis. The analysis may be supported by third party ESG controversies analysis and business involvement metrics.
As noted above, the Fund aims to achieve a GHG emissions intensity that is significantly lower than that of its reference universe by excluding issuers on the basis of their relative GHG emissions intensity estimates. The Investment Adviser uses third- party data providers to ascertain the GHG emissions intensity of specific issuers and in some cases data on specific issuers may not be available or may be estimated by an alternative third-party data provider or the Investment Adviser using internal methodologies or reasonable estimates. The methodologies used by different data providers may vary and if the preferred data provider changes its methodology, the GHG emissions intensity estimates for one or more issuers may also change significantly. The Investment Adviser will also use its best efforts to exclude any company that the Investment Adviser determines have a tie to fossil fuels (e.g. reserve ownership, related revenues and power generation) but in some cases the data may not be available or fully representative of the activities of the issuer.
The Fund is actively managed and is not designed to track a benchmark. The management of the Fund is not constrained by the composition of a benchmark. The Fund’s performance is
compared against the MSCI World Index as detailed in the Fund’s key investor information document.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the Global Sustain Fund’s investment objective it may be appropriate for investors who:
- seek to invest in equity securities;
- seek capital appreciation over the medium term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

INDIAN EQUITY FUND
The Indian Equity Fund’s investment objective is to seek long-term capital appreciation, measured in US Dollars, by investment, directly or indirectly, primarily in the equity securities of companies domiciled or exercising the predominant part of their economic activity in India. The Fund, either directly or indirectly, may also invest, on an ancillary basis, in companies listed on Indian stock exchanges which may not be domiciled or exercising the predominant part of their economic activity in India, in depositary receipts (including American Depositary Receipts (ADRs), Global Depositary Receipts (GDRs) and European Depositary Receipts (EDRs)), debt securities convertible into common shares, preference shares, debentures, warrants on securities and other equity linked securities, including participatory notes. The Fund, either directly or indirectly, will invest in a concentrated portfolio of companies.
The investment process takes into account information about ESG issues when making investment decisions. The Investment Adviser focuses on engaging company management around corporate governance practices as well as what it deems to be materially important environmental and/or social issues facing a company.
The Fund is actively managed and is not designed to track a benchmark. Therefore, the management of the Fund is not constrained by the composition of a benchmark. The Fund’s performance is measured against a benchmark as detailed in the Fund’s key investor information document.
Taxonomy Regulation disclosure
The investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities.
Profile of the typical investor
In light of the Indian Equity Fund’s investment objective it may be appropriate for investors who:
- seek to invest in equity securities;
- seek capital appreciation over the long term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

Dealing Days for the Indian Equity Fund
Dealing days for the Indian Equity Fund take into account dates on which the Bombay Stock Exchange (BSE) and the National Stock Exchange of India (NSE) are closed for trading and settlement. In this Prospectus references to Dealing Day in relation to the Indian Equity Fund mean any day except: (a) any other day on which commercial banks in Luxembourg or India are authorized by law or executive order to close (including Saturday and Sunday), and (b) any day on which the BSE and NSE are closed for trading.
INTERNATIONAL EQUITY (EX US) FUND
The International Equity (ex US) Fund’s investment objective is to seek an attractive long-term rate of return, measured in US Dollars.
The Fund will seek to achieve its investment objective by investing principally in equity securities, including depositary receipts (including American Depositary Receipts (ADRs) and Global Depositary Receipts (GDRs), of companies located in the world’s developed countries excluding the United States of America. The Fund will invest in a diversified portfolio of companies using in-depth bottom-up fundamental company research. The investment process relies on a disciplined, value-oriented approach to identify companies with capable management, dominant market positions, have the potential to generate stable, consistent returns. The Investment Adviser aims to buy these companies at attractive valuations relative to their cash-flow based fundamental values.
As an essential and integrated part of the investment process, the Investment Adviser assesses relevant factors material to long-term returns on operating capital including ESG factors and seeks to engage with company management teams as part of this. Subject to the Fund’s investment objective, the Investment Adviser retains discretion over which investments are selected. Whilst ESG considerations are an integrated and fundamental part of the investment process, ESG factors are not the sole determinant of whether an investment can be made or a holding can remain in the Fund’s portfolio, but instead the Investment Adviser considers
material risks or opportunities in any of the ESG areas which could threaten or enhance the long-term sustainability or direction of a company’s returns.
The Fund may also invest, on an ancillary basis, in equity securities of companies located in emerging markets, including in China A-Shares via Stock Connect; or, as a result of a corporate action, located in the United States of America, in preference shares, debt securities convertible into common shares or preference shares, warrants on securities and other equity linked securities. The Fund may invest up to 10% of its net assets in China A-Shares via Stock Connect.
The Fund will limit the use of derivatives to currency forwards for hedging purposes only.
The Fund is actively managed and is not designed to track a benchmark. The management of the Fund is not constrained by the composition of a benchmark. The Fund’s performance is compared against a benchmark as detailed in the Fund’s key investor information document.
Taxonomy Regulation disclosure
The investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities.
Profile of the typical investor
In light of the International Equity (ex US) Fund’s investment objective it may be appropriate for investors who:
- seek to invest in equity securities;
- seek capital appreciation over the medium term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

JAPANESE EQUITY FUND
The Japanese Equity Fund’s investment objective is to seek long term capital appreciation, measured in Yen, through investment primarily in the equity securities of companies that meet the Investment Adviser’s ESG criteria while integrating ESG characteristics by maintaining higher sustainability scores than the MSCI Japan Index. The Fund will primarily invest in companies domiciled in or exercising the predominant part of their economic activity in Japan and which are listed on any exchanges or over the counter markets (subject to Appendix A – Investment Powers and Restrictions). The Fund may also invest, on an ancillary basis, in debt securities convertible into common shares, warrants and other equity linked instruments.
The Investment Adviser integrates the consideration of ESG issues in its investment decision-making.
The Investment Adviser applies proprietary assessment and scoring methodologies on the equity securities the Fund may invest in. Additionally as part of the Investment Adviser’s bottom-up, fundamental research process, and in its engagements with companies, the Investment Adviser incorporates an assessment of sustainability- related risks and opportunities into the assessment process to determine impacts on the value of a security or portfolio. These criteria may include, but are not limited to ESG themes such as climate change, human rights and diversity, health and safety, governance, and disclosure, which the Investment Adviser considers as “material ESG issues”. The Investment Adviser focuses on engaging company management on health and safety, human resources, misconduct and other factors, subject to specific engagement from each company, based on material ESG issues. Companies are scored based on the expectation for improvement and how the company’s ESG activities may improve corporate value.
The Investment Adviser monitors business practices on an ongoing basis, through data on ESG controversies and standards screening sourced from third party providers. The Investment Adviser will exclude controversy cases that it views as being very severe based on ratings by relevant ESG data providers.
The Investment Adviser will monitor core sustainability indicators, including environmental, social and governance assessments from third-party providers in order to measure and evaluate the contribution of the securities to the ESG themes described above. The indicators will be measured and evaluated at on an annual basis.
Investments shall not knowingly include any company involved in the manufacturing or production of:
- tobacco
- 14
- ;
- gambling
- 15
- ;
- adult entertainment
- 16
- ;
- civilian firearms
- 17
- ;
- controversial weapons
- 18
- ; and
- thermal coal
- 19
- .

Further to the above, the Investment Adviser may, in its discretion, elect to apply additional ESG-related investment restrictions over time that it believes are consistent with its investment objectives.
14 
The Fund does not invest in securities of issuers that generate 5% or more of their revenues from tobacco related products or supplies such as filters.
15 
The Fund does not invest in securities of issuers that generate 5% or more of their revenue from gambling activities.
16 
The Fund does not invest in securities of issuers that generate 5% or more of their revenue from adult entertainment.
17 
The Fund does not invest in securities of issuers that generate 5% or more of their revenues from producing civilian firearms.
18 
The Fund does not invest in securities of issuers that manufacture whole controversial weapons systems including intended use components.
19 
The Fund does not invest in securities of issuers that generate 10% or more of their revenue from thermal coal mining, and/or 10% or more of their revenue from thermal coal power generation.
Such additional restrictions will be disclosed as they are implemented on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im. The exclusions are determined by the Investment Adviser’s own proprietary analysis rather than the reliance on third party analysis. However, the analysis may be supported by third party ESG controversies analysis and business involvement research. The exclusion criteria are applied to all equity investments within the Fund. The exclusion criteria are subject to periodic review and any changes will be reflected in the exclusion policy document. Investments that are held by the Fund but become restricted after they are acquired for the Fund will be sold. Such sales will take place over a time period to be determined by the Investment Adviser, taking into account the best interests of the Shareholders of the Fund.
The Fund references third party ESG data during the security research process, but does not rely on third party ESG data for the purposes of constructing the portfolio. The Investment Adviser relies on its own proprietary analysis for security selection and portfolio construction rather than third party analysis. However, in some cases data on specific issuers or the exclusions noted above may not be available and/or may be estimated by the Investment Adviser using reasonable estimates or third-party data.
The Fund is actively managed and is not designed to track a benchmark. The Fund’s performance is measured against a benchmark as detailed in the Fund’s key investor information document.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the Japanese Equity Fund’s investment objective it may be appropriate for investors who:
- seek to invest in equity securities;
- seek capital appreciation over the long term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

Dealing Days for the Japanese Equity Fund
Dealing Days for the Japanese Equity Fund take into account dates
(i) on which Japan Exchange Group markets are closed for trading
and settlement or (ii) the Directors, in consultation with the Investment Adviser, have determined in their absolute discretion. In this Prospectus references to Dealing Day in relation to the Japanese Equity Fund mean any day except: (a) any other day the Directors, in consultation with the Investment Adviser, have determined in their absolute discretion, and (b) any day on which Japan Exchange Group markets and commercial banks in Luxembourg or Japan are authorized by law or executive order to close (including Saturday and Sunday) are closed for trading. The list of expected “non-Dealing Days” will be available on the Company’s website (www.morganstanleyinvestmentfunds.com) and will be updated in advance, at least semi-annually. However, the list may be further updated from time to time in the presence of exceptional circumstances where the Directors believe that it is in the best interests of the Shareholders of the Fund.
JAPANESE SMALL CAP EQUITY FUND
The Japanese Small Cap Equity Fund’s investment objective is to seek long-term capital appreciation, measured in Yen, through investment primarily in equity securities of small-cap companies Located in Japan and which are listed on any exchanges or over the counter markets (subject to Appendix A – Investment Powers and Restrictions). The Fund may also invest, on an ancillary basis, in securities not meeting the criteria of the Fund’s primary investments, debt securities convertible into common shares, warrants, and other equity linked instruments.
For the purpose of this Fund, small-cap companies are companies with capitalizations within the range of companies included in the MSCI Japan Small Cap Index. The MSCI Japan Small Cap Index is designed to measure the performance of the small cap segment of the Japanese market. With over 900 constituents the index represents approximately 14% of the free float adjusted market capitalization of the Japanese equity universe. The average market cap of a company in the MSCI Japan Small Cap Index is approximately JPY 100 billion with a median of approximately JPY 60-70 billion (these numbers can fluctuate). Please refer to www.msci.com for the latest information on this index.
The Investment Adviser employs a bottom-up investment approach. The Investment Adviser seeks to exploit market inefficiencies applicable to small cap securities which often have limited sell-side coverage while managing the associated volatility. The Fund will include those securities which the Investment Adviser considers offer higher forecasted total growth potential based upon valuation relative to other opportunities.
The Fund is actively managed and is not designed to track a benchmark, and therefore not constrained by the composition of the MSCI Japan Small Cap Index. The Fund references the MSCI Japan Small Cap Index for the purpose of setting the capitalization range of issuers the Fund will invest in. The Fund’s performance is measured against a benchmark as detailed in the Fund’s key investor information document.
Taxonomy Regulation disclosure
The investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities.
Profile of the typical investor
In light of the Japanese Small Cap Equity Fund’s investment objective it may be appropriate for investors who:
- seek to invest in equity securities;
- seek capital appreciation over the long term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

Dealing Days for the Japanese Small Cap Equity Fund
Dealing Days for the Japanese Small Cap Equity Fund take into account dates on which Japan Exchange Group markets are closed for trading and settlement. In this Prospectus references to Dealing Day in relation to the Japanese Small Cap Equity Fund mean any day except any day on which Japan Exchange Group markets and commercial banks in Luxembourg or Japan are authorized by law or executive order to close (including Saturday and Sunday) are closed for trading. The list of expected “non-Dealing Days” will be available on the Company’s website (www.morganstanleyinvestmentfunds.com) and will be updated in advance, at least semi-annually. However, the Directors may decide that the day before a day on which Japan Exchange Group markets and commercial banks in Luxembourg or Japan are authorized by law or executive order to close and are closed for trading would also be a “non-Dealing Day”, when it is in the best interest of Shareholders.
LATIN AMERICAN EQUITY FUND
The Latin American Equity Fund’s investment objective is to seek to maximise total return, measured in US Dollars, through investment primarily in the equity and equity related securities of companies incorporated or exercising the predominant part of their economic activity in Latin American countries.
Such Latin American countries include Argentina, Bolivia, Brazil, Chile, Colombia, Costa Rica, Dominican Republic, Ecuador, El Salvador, Guatemala, Honduras, Mexico, Nicaragua, Panama, Paraguay, Peru, Uruguay and Venezuela provided that the markets in these countries are considered to be recognised exchanges (“Recognised Exchanges”) within the meaning of Article 41(1) of the 2010 Law. As markets in other countries develop, the Fund expects to expand and further diversify the Latin American markets in which it invests. From time to time, the Fund’s investments may be concentrated in a limited number of countries. Investments in securities listed on exchanges which are not Recognised Exchanges shall be treated as investments in non-listed securities (see Appendix
A – Investment Powers and Restrictions) until such time as such exchanges are deemed to be Recognised Exchanges.
As part of its primary investment universe, the Fund may also invest in preference shares, warrants and other equity linked instruments, including depositary receipts (such as American Depositary Receipts (ADRs) and Global Depositary Receipts (GDRs)), and debt securities convertible into common shares of companies incorporated or exercising the predominant part of their economic activity in Latin American countries.
Financial derivative instruments may be used for efficient portfolio management (in accordance with the investment powers and restrictions set out in Appendix A), in order to gain exposure to certain markets at a lower cost or to reduce risk. The Fund does not invest extensively or primarily in financial derivatives instruments for investment purposes.
On an ancillary basis, the Fund may invest in the securities of companies organised and located in countries other than the Latin American countries where the value of the company’s securities will reflect principally conditions in a Latin American country or where the principal securities trading market is in a Latin American country, or where 50% of the company’s revenue alone or on a consolidated basis is derived from either goods produced, sales made or services performed in Latin American countries.
The investment process takes into account information about ESG issues when making investment decisions. We focus on engaging company management around corporate governance practices as well as what we deem to be materially important environmental and/or social issues facing a company.
The Fund is actively managed and is not designed to track a benchmark. Therefore, the management of the Fund is not constrained by the composition of a benchmark. The Fund’s performance is measured against a benchmark as detailed in the Fund’s key investor information document.
Taxonomy Regulation disclosure
The investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities.
Profile of the typical investor
In light of the Latin American Equity Fund’s investment objective it may be appropriate for investors who:
- seek to invest in equity securities;
- seek capital appreciation over the long term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

NEXTGEN EMERGING MARKETS FUND
The NextGen Emerging Markets Fund’s investment objective is to seek long term capital appreciation, measured in Euro, by investing primarily in equity securities of “NextGen” issuers, including depositary receipts (including American Depositary Receipts (ADRs), Global Depositary Receipts (GDRs)), “NextGen” issuers being defined as 1) issuers Located in emerging market countries, including frontier market countries, which are determined based on classification in the MSCI Emerging Markets Net Index or MSCI Frontier Emerging Markets Index, or 2) issuers Located in upcoming developing markets outside the “mainstream” emerging markets, whose capital markets have traditionally been overlooked by foreign investors or are in early stages of capital market and/or economic development. These are countries that are not part of the MSCI Emerging Markets Net Index or MSCI Frontier Emerging Markets Index, that the International Monetary Fund, the United Nations or the World Bank generally consider to be less economically mature than developed nations. The Fund may invest in the countries under 2) provided that the markets of these countries are considered to be recognised exchanges (“Recognised Exchanges”) within the meaning of Article 41(1) of the 2010 Law.
The countries that fall within 1) or 2) of the definition of “NextGen” issuers above can include, among others, Albania, Algeria, Argentina, Bahrain, Bangladesh, Bolivia, Botswana, Brazil, Bulgaria, Chile, Colombia, Costa Rica, Cote d’Ivoire, Croatia, Czech Republic, Dominican Republic, Ecuador, Egypt, Estonia, Ethiopia, Georgia, Ghana, Greece, Guatemala, Guinea, Haiti, Honduras, Hungary, Iceland, India, Indonesia, Jamaica, Jordan, Kazakhstan, Kenya, Kuwait, Laos, Latvia, Lebanon, Lithuania, Malaysia, Mauritius, Mexico, Mongolia, Morocco, Mozambique, Namibia, Nigeria, Oman, Pakistan, Panama, Paraguay, Peru, Poland, Philippines, Qatar, Romania, Russia, Rwanda, Saudi Arabia, Serbia, Senegal, Slovenia, Slovakia, South Africa, Sri Lanka, Tanzania, Trinidad & Tobago, Thailand, Turkey, Turkmenistan, Ukraine, United Arab Emirates, Uganda, Uruguay, Uzbekistan, Vietnam, and Zambia. The countries within the investment universe may change from time to time.
The Fund may also invest on an ancillary basis in equity securities not meeting the criteria of the Fund’s primary investments, debt securities convertible into common shares, preference shares, warrants, and other equity linked instruments. The Fund may invest up to 20% of its net assets in China A-Shares via Stock Connect. Investments in securities listed on exchanges which are not Recognised Exchanges shall be treated as investments in non- listed securities (subject to Appendix A – Investment Powers and Restrictions) until such time as such exchanges are deemed to be Recognised Exchanges.
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange
traded and over-the-counter options, futures and other derivatives for investment or efficient portfolio management (including hedging) purposes.
The Fund may invest to a limited extent in units/shares of other collective investment schemes, including the Company’s Funds and open-ended ETFs which are eligible investments for UCITS under the 2010 Law.
The Investment Adviser integrates the consideration of ESG criteria in its investment decision-making, including in the conduct of due diligence and research, investment valuation, asset selection, portfolio construction, and ongoing investment monitoring and portfolio management. In doing so, the Investment Adviser gives due consideration to the relevance and potential materiality of Sustainability Risks for a particular investment opportunity or for the portfolio as a whole in the context of the investment objective and intended time horizon for holding a particular security. Sustainability Risks may negatively impact the value of a security or portfolio. In order to mitigate these risks, the Investment Adviser may sell or trim a security, commence active dialogue/engagement with company management, or make adjustments to the top-down allocations to geographies, sectors, or asset classes. In implementing its integration of Sustainability Risks, the Investment Adviser may utilize a combination of information sources, including company- disclosed information, non-company disclosed information, and third-party research and data.
ESG criteria are considered by the Investment Adviser during both the investment and research process to select investments which limit exposure to Sustainability Risks. These criteria may include, but are not limited to carbon emissions, resource management, biodiversity, labour management, diversity (for example, board diversity), health & safety, product safety, data privacy & security, executive remuneration, board independence and shareholder rights.
The Investment Adviser believes companies with forward-looking management teams that establish proactive strategies on ESG issues will be better positioned from a business and financial perspective over the long term than companies that do not consider them. The Fund will invest in companies that follow good governance practices and that exhibit strong management of materially important environmental and social factors relative to peers. The Fund will seek to exclude certain companies that are highly exposed to Sustainability Risks, applying both a best-in-class and best effort approach to its investment selection in this regard. By applying a best-in-class approach, priority is given to the companies best positioned from a non-financial viewpoint within their sector of activity, without favouring or excluding one sector relative to the stock market index used as a basis for starting. By applying a best- effort approach, priority is given to the issuers demonstrating an improvement in or good prospects for their ESG practices and performance over time.
The Investment Adviser focuses on engaging company management on what it deems to be materially important governance, environmental and/or social issues facing a company. The application of the above ESG criteria will result in a 20% or more reduction of the investible universe, as defined in the first three paragraphs above. The aim of the Investment Adviser will be to ensure that at least 90% of the Fund’s portfolio is subject to the analysis of ESG criteria described above.
Additionally, the Fund seeks to achieve a lower carbon footprint than the MSCI Frontier Emerging Markets Index (based on available third party data).
Investments shall not knowingly include any company whose core business activity, according to the Investment Adviser’s methodology, involve the following:
- thermal coal mining;
- oil sands;
- Arctic oil and gas;
- tobacco;
- adult entertainment;
- gambling; and
- weapons related: civilian firearms, cluster munitions, weapons and landmines.

For the purposes of all the investment restrictions outlined above, a core business activity is one that accounts for more than 10% of the relevant company’s revenue as classified by MSCI, except for oil sands, Arctic oil & gas, and gambling which is considered at a 5% revenue threshold and weapons related which is considered at above 0% revenue.
The Investment Adviser may, in its discretion, elect to apply additional ESG investment restrictions, including companies that do not meet the exclusionary criteria set forth above, over time that it believes are consistent with its investment objective. Such additional restrictions will be disclosed as they are implemented in the exclusion policy document, which will be available on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im. The exclusions are determined by the Investment Adviser’s own proprietary analysis rather than the reliance on third party analysis. However, the analysis may be supported by third party ESG controversies analysis and business involvement research. The exclusion criteria are applied to all equity investments within the Fund. The exclusion criteria will not be applied to investments in which the Investment Adviser does not have direct control of the underlying holdings, for example collective investment schemes or open-ended ETFs. The exclusion criteria are subject to periodic review and any changes will be reflected in the exclusion policy
document. Investments that are held by the Fund but become restricted after they are acquired for the Fund will be sold. Such sales will take place over a time period to be determined by the Investment Adviser, taking into account the best interests of the Shareholders of the Fund.
The Fund references third party ESG data during the security research process, but does not rely on third party ESG data for the purposes of constructing the portfolio. The Investment Adviser relies on its own proprietary analysis for security selection and portfolio construction rather than third party analysis. However, in some cases data on specific issuers or the exclusions noted above may not be available and/or may be estimated by the Investment Adviser using reasonable estimates or third-party data.
The Fund is actively managed and references the MSCI Emerging Markets Net Index or MSCI Frontier Emerging Markets Index for the purpose of partially defining a geographical allocation of the countries the Fund may invest into. The Investment Adviser has full discretion over the composition of the assets of the Fund. While the Fund will mostly hold assets within the countries referenced in the MSCI Emerging Markets Net Index or MSCI Frontier Emerging Markets Index and can invest in securities from such countries in different proportions, it may also hold assets which are not exposed to countries referenced in the MSCI Emerging Markets Net Index or MSCI Frontier Emerging Markets Index. Hence, there are no restrictions on the extent to which the Fund’s performance may deviate from the MSCI Emerging Markets Net Index or MSCI Frontier Emerging Markets Index.
The Fund’s performance is measured against a benchmark as detailed in the Fund’s key investor information document.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the NextGen Emerging Markets Fund’s investment objective it may be appropriate for investors who:
- seek to invest in equity securities;
- seek capital appreciation over the long term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

PARAMETRIC EMERGING MARKETS FUND
The Parametric Emerging Markets Fund’s investment objective is to seek long-term capital appreciation by investing primarily in a diversified portfolio of equity securities of companies which are Located in emerging market countries. Emerging market countries are generally countries not considered to be developed market countries, and therefore not included in the MSCI World Index. The Fund intends to invest primarily in securities of companies located in countries included in the MSCI Emerging Markets Index or the MSCI Frontier Markets Index.
The Fund’s primary investments will be limited to depositary receipts (including American Depositary Receipts (ADRs), Global Depositary Receipts (GDRs) and Non-Voting Depositary Receipts (NVDRS)), and common and preferred stocks.
The Fund may also invest, on an ancillary basis, in equity securities that do not fall within the Fund’s primary investment universe, Fixed Income Securities, warrants on securities, Cash Equivalents and other equity linked securities.
As part of integrating environmental, social and governance (“
ESG
”) factors and sustainability risk into its investment process as well as responding to European legal developments and investor preferences with regard to investing in companies directly involved in the development, production, maintenance or trade of so-called “controversial weapons,” the Fund has adopted a policy of excluding such investments from its portfolio. In addition, whilst not pursuing any particular environmental, social or governance objectives, the Fund will exclude investments based on criteria consistent with the UN Global Compact and the Norges Bank exclusion list. A public list of companies included on the Norges Bank exclusion list is available at the following website: https://www.nbim.no/en/responsibility/exclusion-of-companies/. In terms of which companies are excluded, the Fund will give consideration to the severity of company behaviour, pervasiveness within and/or materiality to the business, and management’s responsiveness to the issues.
In order to qualify as an “Equity Fund” within the meaning of sec. 2, para. 6 of the German Investment Tax Act, at least 51% of the Fund’s Net Asset Value will be invested on an ongoing basis in holdings in equity securities that are authorised for official trading on a stock exchange or included in an organised market.
The Fund may invest to a limited extent in units/shares of other collective investment schemes, including the Company’s Funds and open-ended ETFs, which are eligible investments for the UCITS under the 2010 Law.
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers
and restrictions set out in Appendix A) make use of exchange trades and over-the-counter options, futures and other derivatives for efficient portfolio management (including hedging) purposes.
The Fund is actively managed and references the MSCI Emerging Markets Index or the MSCI Frontier Markets Index for the purpose defining a geographical allocation of the countries the Fund will invest into. The Investment Adviser has full discretion over the composition of the assets in the Fund. While the Fund will generally hold assets within the countries referenced in the MSCI Emerging Markets Index or the MSCI Frontier Markets Index, it can invest in such securities from countries in different proportions, and it can hold assets which are not exposed to countries referenced in the MSCI Emerging Markets Index or the MSCI Frontier Markets Index. Hence, there are no restrictions on the extent to which the Fund’s performance may deviate from that of the MSCI Emerging Markets Index or the MSCI Frontier Markets Index.
The Fund’s performance is measured against a benchmark as detailed in the Fund’s key investor information document.
Taxonomy Regulation disclosure
The investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities.
Profile of the typical investor
In light of the Parametric Emerging Markets Fund’s investment objective it may be appropriate for investors who:
- seek to invest in equity securities;
- seek capital appreciation over the long term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

PARAMETRIC GLOBAL DEFENSIVE EQUITY FUND
The Parametric Global Defensive Equity Fund’s investment objective is to provide a defensive equity exposure that is expected to provide favourable risk adjusted performance relative to the MSCI All Country World Index in USD Net (base). The Fund generates returns through the receipt of option premiums as well as returns on the equity index positions held and Cash Equivalents held. In this regard, the Fund will sell equity index call options in respect of UCITS eligible equity indices which cumulatively will provide an exposure to the markets which are similar to those comprised in the MSCI All Country World Index in USD Net (base)and will sell equity index put options in respect of UCITS eligible equity indices which cumulatively will provide an exposure to the markets which are similar to those comprised in the MSCI All Country World Index in USD Net (base). Thus, the Fund’s
investment policy is designed to capitalise on volatility risk premium.
The Fund will invest in a base portfolio that is generally comprised of: (i) equity index positions normally comprised of regulated equity index UCITS ETFs; and (ii) Cash Equivalents, which will consist primarily of Fixed Income Securities with a maximum remaining maturity of one year or less. The Fund will generally have an equal exposure to (i) and (ii) (ie. 50% of the Fund’s Net Asset Value is intended to be invested in each of (i) and (ii)), however, the base portfolio will be rebalanced periodically where the exposure deviates from the above intended exposure by more than 5% (i.e. where exposure to (i) or (ii) falls below 45% of the Fund’s Net Asset Value or above 55% of the Fund’s Net Asset Value).
Each such ETF or money market will not charge annual management fees in excess of 3% of its net asset value and will be domiciled in the EEA, the United Kingdom, the United States, Guernsey, Jersey or the Isle of Man.
The Fund may also invest, on an ancillary basis, in equity securities not meeting the criteria of the Fund’s primary investments, fixed income securities, warrants on securities, Cash Equivalents, as well as in regulated equity index ETFs which are alternative investment funds (“AIFs”) but which are UCITS eligible and exchange traded equity index futures contracts.
In order to qualify as an “Equity Fund” within the meaning of sec. 2, para. 6 of the German Investment Tax Act, at least 25% of the Fund’s Net Asset Value will be invested on an ongoing basis in holdings in equity securities that are authorised for official trading on a stock exchange or included in an organised market.
With a view to enhancing returns and/or as part of the investment the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange traded and over-the-counter options, futures and other derivatives for investment or efficient portfolio management (including hedging) purposes.
The Investment Adviser does not integrate sustainability risks into its investment decisions as they are not relevant given the investment strategy of the Fund. Further information in respect of the integration of sustainability risks in relation to the Company is included in the section of the Prospectus headed “General information relating to Sustainability Risks integration”.
The Fund will be actively managed and is not designed to track the MSCI All Country World Index in USD Net (base)except to the extent that the ETFs in which the Fund will invest will be selected so as to provide exposure to the markets similar to those comprised in the MSCI All Country World Index in USD Net (base).
Taxonomy Regulation disclosure
The investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities.
Profile of the typical investor
In light of the Parametric Global Defensive Fund’s investment objective it may be appropriate for investors who:
- seek to invest in equity securities;
- seek capital appreciation over the long term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

SAUDI EQUITY FUND
The Saudi Equity Fund’s investment objective is to seek long-term capital appreciation and growth, measured in US Dollars.
The Fund will seek to achieve its investment objective by investing primarily in equity securities of issuers listed and traded on the main market of the Saudi Stock Exchange, the Tadawul, as well as issuers in the course of an initial public offering (IPO) (including rights issues, and subject to the restrictions stated below). The Fund’s investments in listed shares may include investments in the listed shares of smaller companies (meaning those that have a market value of less than SAR1 billion).
Furthermore, the Fund may invest up to 20% of its net assets in one or more eligible closed-ended Real Estate Investment Trusts (REITs) that are listed on Tadawul, as well as in units of eligible closed-ended REITs being offered in the course of an IPO and which will be listed on Tadawul in due course.
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange traded and over-the-counter options, futures and other derivatives for investment or efficient portfolio management (including hedging) purposes.
The Fund may also invest, on an ancillary basis, in equity securities not meeting the above requirements, debt securities convertible into common shares, preference shares, Cash Equivalents, warrants and other equity linked instruments.
The Fund is actively managed and is not designed to track a benchmark. The Fund’s performance is measured against a benchmark as detailed in the Fund’s key investor information document.
Taxonomy Regulation disclosure
The investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities.
Profile of the typical investor
In light of the Saudi Equity Fund’s investment objective it may be appropriate for investors who:
- Seek to invest in equity securities.
- Seek capital appreciation over the long term.
- Accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

Dealing Days and settlements for the Saudi Equity Fund
Dealing Days for the Saudi Equity Fund take into account both the Saudi Arabian trading calendar and Luxembourg trading calendar. In this Prospectus references to Dealing Day in relation to the Saudi Equity Fund means any Monday, Tuesday, Wednesday or Thursday in which both Luxembourg and Saudi Arabian financial markets are open for trading. The Saudi Equity Fund will not be available for dealing on the Dealing Day immediately prior to Saudi extended holidays, for example Eid holidays. In addition, there is no settlement of subscriptions and redemptions for the Saudi Equity Fund on Fridays and settlement of subscriptions and redemptions will take into account US Dollar and Saudi Riyal bank holidays. The list of expected “non-Dealing Days” and settlement holidays will be available on the Company’s website (www.morganstanleyinvestmentfunds.com) and will be updated in advance, at least semi-annually. However, the list may be further updated from time to time in the presence of exceptional circumstances where the Directors believe that it is in the best interests of the Shareholders of the Fund.
SUSTAINABLE ASIA EQUITY FUND
The Sustainable Asia Equity Fund’s investment objective is to seek long-term capital appreciation, measured in US Dollars, through investment primarily in the equity securities of companies domiciled in or exercising the predominant part of their economic activity in Asia, excluding Japan, thereby taking advantage of the dynamic economic growth capabilities of the region. In targeting this investment objective, the Investment Adviser will consider ESG criteria (as detailed below) in order to invest in companies which perform better than their peers on one or more sustainability themes and are positioned to benefit from, or contribute to, the sustainable development of the countries in which they operate based on the Investment Adviser’s ESG criteria. The application of these ESG criteria should result in a 20% or more reduction of the investible universe.
The Fund may also invest on an ancillary basis in debt securities convertible into common shares, preference shares, debentures, participatory notes, warrants, and to a limited extent the Fund may
also invest in collective investment schemes including closed-end funds and the Company’s Funds, ETFs and securities not widely traded.
In relation to this Fund, “Sustainable” means that the Investment Adviser integrates the consideration of sustainable themes and ESG issues in its investment decision-making. The Fund will invest in companies from the Asia excluding Japan region markets that positively contribute to and/or address one or more sustainability themes including but not limited to climate change, natural capital, human capital, access and affordability, and innovation/infrastructure. The Fund will also strive to align with the objectives of the Paris Agreement on climate change. The Fund seeks to achieve a lower carbon footprint than the MSCI All Country Asia ex-Japan Net Index.
The Investment Adviser believes companies with forward-looking management teams that establish proactive strategies on these sustainability and ESG issues will be better positioned from a business and financial perspective over the long term than companies that do not consider them. The Fund seeks to invest in companies whose product revenues, policies, initiatives, industry leadership, and/or established targets proactively address one or more of the above sustainability themes. The Investment Adviser will support this stock selection process with research and analysis, including direct company engagements and third-party data.
In addition to investing in companies that follow good governance practices and that exhibit strong management of sustainability factors relative to peers, the Fund will invest in companies in Asia excluding Japan that offer scalable and profitable solutions to address pressing sustainability issues including climate change and environmental/resource management. The Fund will be focused on companies that are positively contributing to the sustainable development of countries in Asia excluding Japan, and will seek to exclude certain companies that are highly exposed to Sustainability Risks. Up to 10% of the Fund’s portfolio may consist of assets that are not subject to the sustainability analysis described above.
The Investment Adviser will implement a top-down driven approach to identify investment opportunities across the permissible investment universe, and select companies utilizing the Investment Adviser’s fundamental bottom up security selection process. ESG criteria are considered by the Investment Adviser during both the investment and research process to limit exposure to Sustainability Risks and seek out investment opportunities that are aligned with the sustainability themes identified above. These criteria may include, but are not limited to carbon emissions, water scarcity, waste management, biodiversity, labour management, gender diversity, health & safety, product safety, data privacy & security, executive remuneration, board independence and shareholder rights. The Investment Adviser focuses on engaging company management on what it deems to be materially important
environmental and/or social issues facing a company as well as around corporate governance practices.
Investments shall not knowingly include any company involved in the manufacturing or production of:
- tobacco
- 20
- ;
- adult entertainment;
- civilian firearms;
- controversial weapons;
- coal
- 21
- ;
- oil sands
- 22
- ;
- Arctic oil
- 23
- ; and
- gambling
- 24
- .

The Investment Adviser may, in its discretion, elect to apply additional ESG-related investment restrictions over time that it believes are consistent with its investment objectives. Such additional restrictions will be disclosed as they are implemented on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im. The exclusions are determined by the Investment Adviser’s own proprietary analysis rather than the reliance on third party analysis. However, the analysis may be supported by third party ESG controversies analysis and business involvement research. The exclusions criteria are applied to all equity investments within the Fund. The exclusion criteria will not be applied to investments in which the Investment Adviser does not have direct control of the underlying holdings, for example collective investment schemes or open-ended ETFs. The exclusion criteria are subject to periodic review and any changes will be reflected in the exclusion policy document. Investments that are held by the Fund but become restricted after they are acquired for the Fund will be sold. Such sales will take place over a time period to be determined by the Investment Adviser, taking into account the best interests of the Shareholders of the Fund.
The Fund references third party ESG data during the security research process, but does not rely on third party ESG data for the purposes of constructing the portfolio. The Investment Adviser relies on its own proprietary analysis for security selection and portfolio construction rather than third party analysis. However, in some cases data on specific issuers or the exclusions noted above
20 
The Fund does not invest in securities of issuers that generate 5% or more of revenue from the manufacture of tobacco products or from the supply of key products necessary for the production of tobacco products, such as filters.
21 
The Fund does not invest in securities of issuers that generate 10% or more of their revenue from the mining and extraction of thermal coal, or from coal-fired power.
22 
The Fund does not invest in securities that derive 5% or more of their revenues from the extraction or production of oil sands.
23 
The Fund does not invest in securities of issuers that generate 5% or more of their revenue from oil extraction or production in the Arctic region, including in the Arctic National Wildlife Refuge (ANWR).
24 
The Fund does not invest in securities of issuers that generate 5% or more of revenue from gambling activities.
may not be available and/or may be estimated by the Investment Adviser using reasonable estimates or third-party data.
The Investment Adviser integrates Sustainability Risks into its investment decision-making process, including in the conduct of due diligence and research, valuation, asset selection, portfolio construction, and ongoing investment monitoring and portfolio management. In doing so, the Investment Adviser gives due consideration to the relevance and potential materiality of Sustainability Risks for a particular investment opportunity or for the portfolio as a whole in the context of the investment objective and intended time horizon for holding a particular security. Sustainability Risks may negatively impact the value of a security or portfolio. In order to mitigate these risks, the Investment Adviser may sell or underweight a security, commence active dialogue/ engagement with company management, or make adjustments to the top-down allocations to geographies, sectors, or asset classes. In implementing its integration of Sustainability Risks, the Investment Adviser may utilize a combination of information sources, including company-disclosed information, non-company disclosed information, and third-party research and data.
For the avoidance of doubt, equity securities includes depositary receipts (including American Depositary Receipts (ADRs), Global Depositary Receipts (GDRs), International Depository Receipts (IDRs) and European Depositary Receipts (EDRs)), and closed-end Real Estate Investment Trusts (REITS). The Fund invests in markets of the Asia, excluding Japan, region, such as China, Hong Kong, India, Malaysia, Singapore, South Korea, Taiwan, Indonesia and Thailand. Additional opportunities are also sought, whenever regulations permit, in any of the emerging markets and frontier markets in Asia including China A-Shares via Stock Connect. The Fund may invest up to 20% of its net assets in China A-Shares via Stock Connect.
The Fund uses MSCI All Country Asia ex-Japan Net Index as a comparator benchmark, which is representative of the Asia ex Japan equities universe. The benchmark is used for performance comparison purposes only and does not integrate environmental or social characteristics.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the Sustainable Asia Equity Fund’s investment objective it may be appropriate for investors who:
- seek to invest in equity securities;
- seek capital appreciation over the long term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

SUSTAINABLE EMERGING MARKETS EQUITY FUND
The Sustainable Emerging Markets Equity Fund’s investment objective is to seek to maximise total return, measured in US Dollars, through investment primarily in emerging market country equity securities. The Fund will principally invest in those Emerging Market (as defined below) countries in which the Company believes that economies are developing strongly and in which the markets are becoming more sophisticated. “Emerging Market” countries, for the purposes of this Fund, are as defined by the MSCI Emerging Markets Net Index, provided that the markets of these countries are considered to be recognised exchanges (“Recognised Exchanges”) within the meaning of Article 41(1) of the 2010 Law. To achieve its principal investment in Emerging Market countries, the Fund may invest in the securities of companies organized under the laws of, located in or which have a principal office in, Emerging Market countries and may also invest in the securities of companies organized under the laws of, located in or which have a principal office in Developed Market countries (for the purposes of this Fund, as defined by MSCI World Index) where the company’s principal securities trading market is in an Emerging Market country, or where, at the time of purchase, 50% of the company’s revenue alone or on a consolidated basis is derived from goods produced, sales made or services performed in one or more Emerging Market countries, or where the company has at least 50% of its assets, core business operations and/or employees in Emerging Market countries, or in other equity linked instruments located in Developed Markets but providing exposure to Emerging Markets (for example depositary receipts) (“EM Exposed Securities”).
The Fund may invest on an ancillary basis in eligible Frontier Markets equity (meaning those countries that are neither Developed Markets nor Emerging Markets as such terms are defined above for this Fund) or in equity securities not meeting the criteria of the Fund’s primary investments. The Fund may also invest on an ancillary basis in units/shares of other collective investment schemes, including the Company’s Funds as well as in closed-end funds, China A-Shares via Stock Connect, Fixed Income Securities, debt securities convertible into common shares, preference shares, participatory notes and warrants, in each case to gain exposure to Emerging Markets or Frontier Markets. The Fund may also invest up to 20% of its net assets in China A-Shares via Stock Connect. For temporary defensive purposes, during periods in which the Company believes changes in economic, financial or political conditions make it advisable, the Fund may reduce its holdings in Emerging Market country equity securities to below 50% of the
Fund’s assets and invest in equity securities in Developed Market countries (whether EM Exposed Securities or not) or in Fixed Income Securities (whether providing exposure to Emerging Markets or Developed Markets).
In relation to this Fund, “Sustainable” means that the Investment Adviser integrates the consideration of ESG criteria and sustainable themes in its investment decision-making.
In targeting its investment objective, the Investment Adviser will consider ESG criteria (as detailed below) in order to invest in companies which (i) perform better than their peers on one or more sustainability themes (as detailed below); and (ii) are positioned to benefit from, and/or contribute to, the sustainable development of the countries in which they operate based on the Investment Adviser’s ESG criteria. The application of these ESG criteria should result in a 20% or more reduction of the investible universe as defined in the first two paragraphs above. The aim of the Investment Adviser will be to ensure that at least 90% of the Fund’s portfolio is subject to the sustainability analysis described above.
ESG criteria may include, but are not limited to, carbon emissions, resource management, waste management, biodiversity, labour management, gender diversity, health & safety, product safety, data privacy & security, executive remuneration, board independence and shareholders rights. Sustainability themes may include, but are not limited to, climate change, natural capital, human capital, access and affordability, and innovation/infrastructure. The Fund seeks to achieve a lower carbon footprint than the MSCI Emerging Markets Net Index in aggregate at the portfolio level. With an increased investment focus on companies that positively contribute to and/or address one or more sustainability themes including climate change, the Fund will strive to align with the objectives of the Paris Agreement.
In terms of investing in companies that perform better than their peers on one or more sustainability themes, the Investment Adviser believes companies with forward-looking management teams that establish proactive strategies on the sustainability and ESG issues as described in this investment policy will be better positioned from a business and financial perspective over the long term than companies that do not consider them. Therefore, the Fund seeks to invest in companies whose product revenues, policies, initiatives, industry leadership, and/or established targets proactively address one or more of the above sustainability themes. The Investment Adviser will support this stock selection process with research and analysis, including direct company engagements and third-party data.
In addition to investing in companies that follow good governance practices and that exhibit strong management of sustainability factors relative to peers, the Fund will invest in companies from Emerging Market countries that offer scalable and profitable solutions to address pressing sustainability issues including climate
change and environmental/resource management. In this connection, the Fund will be focused on companies that are positively contributing to the sustainable development of Emerging Market countries, applying both a best-in-class and best effort approach to its investment selection in this regard. By applying a best-in-class approach, priority is given to the companies best positioned from a non-financial viewpoint within their sector of activity, without favouring or excluding one sector relative to the stock market index used as a basis for starting. By applying a best- effort approach, priority is given to the issuers demonstrating an improvement in or good prospects for their ESG practices and performance over time. The Fund will also seek to exclude companies that are highly exposed to Sustainability Risks.
The Investment Adviser will implement a top-down driven approach to identify investment opportunities across the permissible investment universe, and select companies utilizing the Investment Adviser’s fundamental bottom up security selection process. ESG criteria are considered by the Investment Adviser during both the investment and research process to limit exposure to Sustainability Risks and seek out investment opportunities that are aligned with the sustainability themes identified above. The Investment Adviser focuses on engaging company management on what it deems to be materially important environmental and/or social issues facing a company as well as around corporate governance practices.
Investments shall not knowingly include any company involved in the manufacturing or production of:
- tobacco
- 25
- ;
- adult entertainment;
- civilian firearms;
- controversial weapons;
- coal
- 26
- ;
- oil sands
- 27
- ;
- Arctic oil
- 28
- ; and
- gambling
- 29
- .

The Investment Adviser may, in its discretion, elect to apply additional ESG-related investment restrictions over time that it believes are consistent with its investment objectives. Such additional restrictions will be disclosed as they are implemented in
25 
The Fund does not invest in securities of issuers that generate 5% or more of revenue from the manufacture of tobacco products or from the supply of key products necessary for the production of tobacco products, such as filters.
26 
The Fund does not invest in securities of issuers that generate 10% or more of their revenue from the mining and extraction of thermal coal, or from coal-fired power.
27 
The Fund does not invest in securities that derive 5% or more of their revenues from the extraction or production of oil sands.
28 
The Fund does not invest in securities of issuers that generate 5% or more of their revenue from oil extraction or production in the Arctic region, including in the Arctic National Wildlife Refuge (ANWR).
29 
The Fund does not invest in securities of issuers that generate 5% or more of revenue from gambling activities.
the exclusion policy document, which is available on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im. The current exclusions (and any additional restrictions applied over time) are determined by the Investment Adviser’s own proprietary analysis rather than reliance on third party analysis. However, the analysis may be supported by third party ESG controversies analysis and business involvement research. The exclusions are applied to all equity investments within the Fund. The exclusions will not be applied to investments in which the Investment Adviser does not have direct control of the underlying holdings, for example collective investment schemes or open-ended ETFs. The exclusions are subject to periodic review and any changes will be reflected in the exclusion policy document. Investments that are held by the Fund but become restricted after they are acquired for the Fund will be sold. Such sales will take place over a time period to be determined by the Investment Adviser, taking into account the best interests of the Shareholders of the Fund.
The Fund references third party ESG data during the security research process, but does not rely on third party ESG data for the purposes of constructing the portfolio. The Investment Adviser relies on its own proprietary analysis for security selection and portfolio construction rather than third party analysis. However, in some cases data on specific issuers or the exclusions noted above may not be available and/or may be estimated by the Investment Adviser using reasonable estimates or third-party data.
The Investment Adviser integrates Sustainability Risks into its investment decision-making process, including in the conduct of due diligence and research, valuation, asset selection, portfolio construction, and ongoing investment monitoring and portfolio management. In doing so, the Investment Adviser gives due consideration to the relevance and potential materiality of Sustainability Risks for a particular investment opportunity or for the portfolio as a whole in the context of the investment objective and intended time horizon for holding a particular security. Sustainability Risks may negatively impact the value of a security or portfolio. In order to mitigate the Sustainability Risks, the Investment Adviser may sell or underweight a security that is subject to such risks, commence active dialogue/engagement with company management, or make adjustments to the top-down allocations to geographies, sectors, or asset classes. In implementing its integration of Sustainability Risks, the Investment Adviser may utilize a combination of information sources, including company- disclosed information, non-company disclosed information, and third-party research and data.
The Fund is actively managed and references the MSCI Emerging Markets Net Index for the purpose of defining a geographical allocation of the countries the Fund will invest into. The Investment Adviser has full discretion over the composition of the assets in the Fund. While the Fund will generally hold assets within the
countries referenced in the MSCI Emerging Markets Net Index, it can invest in such securities from countries in different proportions to their allocations under the MSCI Emerging Markets Net Index, and it can hold assets which are not exposed to countries referenced in the MSCI Emerging Markets Net Index. Hence, there are no restrictions on the extent to which the Fund’s performance may deviate from the MSCI Emerging Markets Net Index. The MSCI Emerging Markets Net Index is used for performance comparison purposes only and does not integrate environmental or social characteristics.
The Fund’s performance is measured against a benchmark as detailed in the Fund’s key investor information document.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the Sustainable Emerging Markets Equity Fund’s investment objective it may be appropriate for investors who:
- seek to invest in equity securities;
- seek capital appreciation over the long term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

US ADVANTAGE FUND
The US Advantage Fund’s investment objective is to seek long-term capital appreciation, measured in US Dollars, by investing primarily in securities issued by US companies and on an ancillary basis in securities issued by companies that are not from the US. An issuer may be considered to be from a particular country (including the US) or geographic region if (i) its principal securities trading market is in that country or geographic region; (ii) alone or on a consolidated basis it derives 50% or more of its annual revenue from goods produced, sales made or services performed in that country or geographic region; or (iii) it is organized under the laws of, or has a principal office in, that country or geographic region. By applying these tests, it is possible that a particular issuer could be deemed to be from more than one country or geographic region. Under normal market conditions, the Fund’s investment objective will be pursued by investing primarily in equity securities of established large-capitalization companies. The investment process will emphasize a bottom-up stock selection process, seeking attractive investments on an individual company basis. In selecting securities for investment, the Investment Adviser
typically invests in companies it believes have strong name recognition and sustainable competitive advantages with above average business visibility, the ability to deploy capital at high rates of return, strong balance sheets and an attractive risk/reward.
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange traded and over-the-counter options, futures and other derivatives for investment or efficient portfolio management (including hedging) purposes.
The Fund may also be invested, on an ancillary basis, in equities of companies not meeting the above requirements, debt securities convertible into common shares, depositary receipts (including American Depositary Receipts (ADRs) and Global Depositary Receipts (GDRs)), preference shares, warrants on securities, China A-Shares via Stock Connect, Cash Equivalents and other equity linked securities. The Fund may invest up to 10% of its net assets in China A-Shares via Stock Connect.
The Investment Adviser actively integrates sustainability into the investment process by using ESG factors as a lens for additional fundamental research, which can contribute to investment decision- making. The Investment Adviser seeks to understand how environmental and social initiatives within companies can create value by strengthening durable competitive advantages, creating growth opportunities, driving profitability, and/or aligning with secular growth trends. The Investment Adviser generally engages with company management teams to discuss their ESG practices, with the aim of identifying how sustainability themes present opportunities and risks that can be material to the value of the security over the long term. Other aspects of the investment process include a proprietary, systematic evaluation of governance policies, specifically focusing on compensation alignment on long-term value creation.
Investments shall not knowingly include any company whose primary business activity involves the following:
- tobacco 
- (securities of issuers classified as Global Industry Classification Standard (“
- GICS
- ”) sub-industry tobacco, or generate 5% or more of revenue from the manufacture of tobacco products);
- coal mining 
- (securities of issuers classified as GICS sub- industry coal & consumable fuels, or generate 10% or more of revenue from the mining and extraction of thermal coal); or
- weapons, including 
- civilian firearms 
- (securities of issuers that generate 10% or more of revenue from the manufacture or production of civilian firearms or ammunition) and 
- cluster munitions and anti-personnel mines 
- (securities of issuers that manufacture, produce or distribute cluster munitions or anti- personnel landmines).

The details of the above exclusions can be found in the Fund’s exclusion policy which is available on the Company’s website (www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im). Further to the above, the Investment Adviser may, in its discretion, elect to apply additional investment restrictions over time that it believes are consistent with its investment objectives. Such additional restrictions will be disclosed as they are implemented on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im. Investments that are held by the Fund but become restricted after they are acquired for the Fund will be sold. Such sales will take place over a time period to be determined by the Investment Adviser, taking into account the best interests of the Shareholders of the Fund.
The Fund is actively managed, not designed to track a benchmark, and therefore not constrained by the composition of a benchmark. The Fund’s performance is measured against a benchmark as detailed in the Fund’s key investor information document.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the US Advantage Fund’s investment objective it may be appropriate for investors who:
- seek to invest in equity securities;
- seek capital appreciation over the medium term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

US CORE EQUITY FUND
The US Core Equity Fund’s investment objective is to seek long-term capital appreciation, measured in US Dollars. The Fund invests primarily in equity securities issued by mid to large capitalization companies, including depositary receipts (including American Depositary Receipts (ADRs) and Global Depositary Receipts (GDRs)) and closed- end Real Estate Investment Trusts (REITS), issued by companies Located in the United States of America.
The investment process uses a combination of quantitative models, to assess market drivers, and fundamental research of individual stocks to identify companies with attractive valuations, above- average appreciation potential and competitive dividend yields.
The Fund may also invest, on an ancillary basis, in equity securities not meeting the above requirements, debt securities convertible into common shares, preference shares, Cash Equivalents, warrants and other equity linked instruments.
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with Appendix A) make use of exchange traded and over-the-counter options, futures and other derivatives for investment or efficient portfolio management (including hedging) purposes.
The Fund is actively managed and is not designed to track a benchmark. The management of the Fund is not constrained by the composition of any benchmark. The Fund’s performance is measured against a benchmark as detailed in the Fund’s key investor information document.
Taxonomy Regulation disclosure
The investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities.
Profile of the typical investor
In light of the US Core Equity Fund’s investment objective it may be appropriate for investors who:
- seek to invest in equity securities;
- seek capital appreciation over the medium term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

US FOCUS PROPERTY FUND
30
The US Focus Property Fund’s investment objective is to seek long-term capital appreciation, measured in US Dollars, by
30 
As from 12 December 2022, the investment policy of the Fund will be changed in order to promote, among other characteristics, environmental or social characteristics, or a combination of those characteristics, provided that the companies in which the investments are made follow good governance. The Fund will then fall within the scope of Article 8 of the SFDR. Consequently, the second and third paragraphs will be amended, as follows:
“Companies in the real estate industry or closely related to the real estate industry may include companies principally engaged in the development and/or ownership of income-producing property; companies that operate, construct, finance or sell real estate; companies with substantial real estate related holdings and/or services or products related to the real estate industry, including, but not limited to, real estate management, brokers, building products and property technology; and collective investment vehicles with exposure to property, such as publicly quoted property unit trusts, all types of eligible closed-end Real Estate Investment Trusts (REITS) and undertakings for collective investment.
The Fund may also invest on an ancillary basis in equity securities not meeting the criteria of the Fund’s primary investments including but not limited to: preference shares and convertible preferred securities, debt securities convertible into common shares, rights and warrants to purchase equity securities, shares of investment companies, limited partnership interests, and other equity linked instruments.”
In addition, the seventh paragraph will be replaced by the following paragraphs:
“The Investment Adviser actively integrates sustainability into the investment process by assessing key ESG risks and opportunities in the bottom-up stock selection process primarily by leveraging third-party ESG providers to assess and quantify ESG performance for issuers, supplementing third-party research with proprietary research conducted by the Investment Adviser including utilizing a proprietary framework for assessing and quantifying risks and opportunities related to ESG which results in a quantitative adjustment to valuation estimates, and
investing primarily in a focused, concentrated portfolio of equity securities, including depositary receipts (including American Depositary Receipts (ADRs) and Global Depositary Receipts (GDRs)), of companies in the real estate industry or closely related to the real estate industry Located in the United States that the Investment Adviser considers offer higher forecasted total return potential relative to other opportunities within the above mentioned asset classes.
Companies in the real estate industry or closely related to the real estate industry may include companies principally engaged in the development and/or ownership of income-producing property, companies that operate, construct, finance or sell real estate, companies with substantial real estate related holdings and/or services related to the real estate industry, including, but not limited to, real estate management, brokers, and building products, and collective investment vehicles with exposure to property, such as publicly quoted property unit trusts, all types of closed-end Real Estate Investment Trusts (REITS) and undertakings for collective investment.
The Fund may also invest on an ancillary basis in equity securities not meeting the criteria of the Fund’s primary investments, preference shares and convertible preferred securities, debt securities convertible into common shares, rights and warrants to purchase equity securities, shares of investment companies, limited partnership interests, and other equity linked instruments.
through engagements with company management to discuss ESG-related strengths, weaknesses, and opportunities in an effort to effect positive change within the industry. Key ESG topics may include, but are not limited to: energy usage and renewables, water usage, emissions, diversity and gender equality, labour and human rights, employee and tenant health, wellness and safety and company ESG governance and disclosure. In an effort to drive positive change and encourage companies to improve their performance on material ESG issues, the Investment Adviser may approach company management with competitive insights, financially sound business cases and practical solutions to potentially improve their real estate operations. While ESG considerations are an integrated and fundamental part of the investment process, they are only one of several key determinants used by the Investment Adviser to determine if an investment will be made or size adjusted in the overall portfolio.
Investments shall not knowingly include any company whose primary business activity in any of the following is more than 10% of company revenue:
- owning or operating real estate used for prisons;
- owning or operating real estate used to manufacture cannabis;
- owning, manufacturing or production of tobacco;
- owning, manufacturing or production of coal mining;
- owning, manufacturing or production of controversial weapons and civilian firearms; and
- owning, manufacturing or production of arctic oil and gas. Investments shall not knowingly include the following companies:
- companies that have a notable controversy related to their operations and/or products, where the severity of the social or environmental impact of the controversy, is judged by the Investment Adviser;
- companies that fail to comply with the UN Global Compact or the ILO fundamental principles, without material remediation and improvement.

The Investment Adviser references third party ESG data and its own proprietary research during the security research process. The Investment Adviser will review controversy cases (such as the exclusions noted above) that it views as being very severe using ratings by relevant ESG data providers and internal research. However, in some cases data on specific issuers or the exclusions noted above may not be readily available and/or may be estimated by the Investment Adviser using reasonable estimates.”
Finally, the Taxonomy Regulation disclosure will be amended as follows:
“In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.”
The Fund may invest to a limited extent in units/shares of other collective investment schemes, including the Company’s Funds and open-ended ETFs, which are eligible investments for UCITS under the 2010 Law.
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange traded and over-the-counter options, futures and other derivatives for investment or efficient portfolio management (including hedging) purposes.
The Investment Adviser actively manages the Fund using a high- conviction, disciplined, bottom-up, fundamentally driven investment methodology. The Fund will be comprised of those securities which the Investment Adviser considers offer higher forecasted total return potential based upon valuation relative to other opportunities in the investment universe. The Investment Adviser will assess real estate specific factors, broader equity factors, as well as ESG factors in their fundamental analysis in order to calculate appropriate valuation metrics. Top-down considerations are incorporated into the portfolio construction process and seek to achieve exposure across sectors and integrate forecasted fundamental inflections and macroeconomic considerations, among other factors. The Investment Adviser actively selects positions in a limited number of equity securities.
The investment process may consider information about ESG issues in its bottom-up stock selection process when making investment decisions. The Investment Adviser and Sub-Advisers may engage with company management regarding corporate governance practices as well as what the Investment Adviser and Sub-Advisers deem to be materially important environmental and/ or social issues facing a company.
The Fund is actively managed and is not designed to track a benchmark. Therefore, the management of the Fund is not constrained by the composition of a benchmark. The Fund’s performance is measured against a benchmark as detailed in the Fund’s key investor information document.
Taxonomy Regulation disclosure
The investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities.
Profile of the typical investor
In light of the US Focus Property Fund’s investment objective it may be appropriate for investors who:
- seek to invest in equity securities;
- seek capital appreciation over the long term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

US GROWTH FUND
The US Growth Fund’s investment objective is to seek long term capital appreciation, measured in US Dollars, by investing primarily in securities issued by US companies and on an ancillary basis in securities issued by companies that are not from the US. An issuer may be considered to be from a particular country (including the US) or geographic region if (i) its principal securities trading market is in that country or geographic region; (ii) alone or on a consolidated basis it derives 50% or more of its annual revenue from goods produced, sales made or services performed in that country or geographic region; or (iii) it is organized under the laws of, or has a principal office in, that country or geographic region. By applying these tests, it is possible that a particular issuer could be deemed to be from more than one country or geographic region. Under normal market conditions, the Fund’s investment objective will be pursued by investing primarily in equity securities of high quality growth oriented companies. The investment process will emphasize a bottom-up stock selection process, seeking attractive investments on an individual company basis. In selecting securities for investment, the Investment Adviser typically invests in unique companies it believes have sustainable competitive advantages with above average business visibility, the ability to deploy capital at high rates of return, strong balance sheets and an attractive risk/reward. Individual security selection will be emphasized.
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange traded and over-the-counter options, futures and other derivatives for investment or efficient portfolio management (including hedging) purposes.
The Fund may also invest on an ancillary basis, in equities of companies not meeting the above requirements, debt securities convertible into common shares, depositary receipts (including American Depositary Receipts (ADRs) and Global Depositary Receipts (GDRs)), preference shares, warrants on securities, China A-Shares via Stock Connect, Cash Equivalents and other equity linked securities. The Fund may invest up to 10% of its net assets in China A-Shares via Stock Connect.
The Investment Adviser actively integrates sustainability into the investment process by using ESG factors as a lens for additional fundamental research, which can contribute to investment decision- making. The Investment Adviser seeks to understand how environmental and social initiatives within companies can create value by strengthening durable competitive advantages creating growth opportunities, driving profitability, and/or aligning with secular growth trends. The Investment Adviser generally engages with company management teams to discuss their ESG practices,
with the aim of identifying how sustainability themes present opportunities and risks that can be material to the value of the security over the long term. Other aspects of the investment process include a proprietary, systematic evaluation of governance policies, specifically focusing on compensation alignment on long-term value creation.
Investments shall not knowingly include any company whose primary business activity involves the following:
- tobacco 
- (securities of issuers classified as Global Industry Classification Standard (“
- GICS
- ”) sub-industry tobacco, or generate 5% or more of revenue from the manufacture of tobacco products);
- coal mining 
- (securities of issuers classified as GICS sub- industry coal & consumable fuels, or generate 10% or more of revenue from the mining and extraction of thermal coal); or
- weapons, including 
- civilian firearms 
- (securities of issuers that generate 10% or more of revenue from the manufacture or production of civilian firearms or ammunition) and 
- cluster munitions and anti-personnel mines 
- (securities of issuers that manufacture, produce or distribute cluster munitions or anti- personnel landmines).

The details of the above exclusions can be found in the Fund’s exclusion policy which is available on the Company’s website (www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im). Further to the above, the Investment Adviser may, in its discretion, elect to apply additional investment restrictions over time that it believes are consistent with its investment objectives. Such additional restrictions will be disclosed as they are implemented on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im. Investments that are held by the Fund but become restricted after they are acquired for the Fund will be sold. Such sales will take place over a time period to be determined by the Investment Adviser, taking into account the best interests of the Shareholders of the Fund.
The Fund is actively managed, not designed to track a benchmark, and therefore not constrained by the composition of a benchmark. The Fund’s performance is measured against a benchmark as detailed in the Fund’s key investor information document.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the US Growth Fund’s investment objective it may be appropriate for investors who:
- seek to invest in equity securities;
- seek capital appreciation over the long term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

US INSIGHT FUND
The US Insight Fund’s investment objective is to seek long term capital appreciation, measured in US Dollars, by investing primarily in securities issued by US companies and on an ancillary basis in securities issued by companies that are not from the US. An issuer may be considered to be from a particular country (including the US) or geographic region if (i) its principal securities trading market is in that country or geographic region; (ii) alone or on a consolidated basis it derives 50% or more of its annual revenue from goods produced, sales made or services performed in that country or geographic region; or (iii) it is organized under the laws of, or has a principal office in, that country or geographic region. By applying these tests, it is possible that a particular issuer could be deemed to be from more than one country or geographic region.
Under normal market conditions, the Fund’s investment objective will be pursued by investing primarily in equity securities of established and emerging companies. The investment process will emphasize a bottom-up stock selection process, seeking attractive investments on an individual company basis. In selecting securities for investment, the Investment Adviser typically invests in unique companies it believes have sustainable competitive advantages with above average business visibility, the ability to deploy capital at high rates of return, strong balance sheets and an attractive risk/reward. Individual security selection will be emphasized.
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange traded and over-the-counter options, futures and other derivatives for investment or efficient portfolio management (including hedging) purposes.
The Fund may also invest on an ancillary basis, in equities of companies not meeting the above requirements, debt securities convertible into common shares, depositary receipts (including American Depositary Receipts (ADRs) and Global Depositary Receipts (GDRs)), preference shares, warrants on securities, China A-Shares via Stock Connect, Cash Equivalents and other equity linked securities. The Fund may invest up to 10% of its net assets in China A-Shares via Stock Connect.
The Investment Adviser actively integrates sustainability into the investment process by using ESG factors as a lens for additional fundamental research, which can contribute to investment decision- making. The Investment Adviser seeks to understand how environmental and social initiatives within companies can create value by strengthening durable competitive advantages, creating growth opportunities, driving profitability, and/or aligning with secular growth trends. The Investment Adviser generally engages with company management teams to discuss their ESG practices, with the aim of identifying how sustainability themes present opportunities and risks that can be material to the value of the security over the long term. Other aspects of the investment process include a proprietary, systematic evaluation of governance policies, specifically focusing on compensation alignment on long-term value creation.
Investments shall not knowingly include any company whose primary business activity involves the following:
- tobacco 
- (securities of issuers classified as Global Industry Classification Standard (“
- GICS
- ”) sub-industry tobacco, or generate 5% or more of revenue from the manufacture of tobacco products);
- coal mining 
- (securities of issuers classified as GICS sub- industry coal & consumable fuels, or generate 10% or more of revenue from the mining and extraction of thermal coal); or
- weapons, including 
- civilian firearms 
- (securities of issuers that generate 10% or more of revenue from the manufacture or production of civilian firearms or ammunition) and 
- cluster munitions and anti-personnel mines 
- (securities of issuers that manufacture, produce or distribute cluster munitions or anti- personnel landmines).

The details of the above exclusions can be found in the Fund’s exclusion policy which is available on the Company’s website (www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im). Further to the above, the Investment Adviser may, in its discretion, elect to apply additional investment restrictions over time that it believes are consistent with its investment objectives. Such additional restrictions will be disclosed as they are implemented on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im. Investments that are held by the Fund but become restricted after they are acquired for the Fund will be sold. Such sales will take place over a time period to be determined by the Investment Adviser, taking into account the best interests of the Shareholders of the Fund.
The Fund is actively managed, not designed to track a benchmark, and therefore not constrained by the composition of a benchmark. The Fund’s performance is measured against a benchmark as detailed in the Fund’s key investor information document.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the US Insight Fund’s investment objective it may be appropriate for investors who:
- seek to invest in equity securities;
- seek capital appreciation over the medium term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

US PERMANENCE FUND
The US Permanence Fund’s investment objective is to seek long- term capital appreciation, measured in US Dollars.
The Fund will seek to achieve its investment objective by investing primarily in equity securities, including depositary receipts (including American Depositary Receipts (ADRs) and Global Depositary Receipts (GDRs)), of established companies located in the US, with capitalizations within the range of companies included in the S&P 500 Index.
The Fund may also invest, on an ancillary basis, in equity securities not meeting the criteria of the Fund’s primary investments, debt securities convertible into common shares, preference shares, China A-Shares via Stock Connect, warrants and other equity linked instruments. The Fund may invest up to 10% of its net assets in China A-Shares via Stock Connect.
The Fund may invest to a limited extent in units/shares of other collective investment schemes, including the Company’s Funds and open-ended ETFs, which are eligible investments for UCITS under the 2010 Law.
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange traded and over-the-counter options, futures and other derivatives for investment or efficient portfolio management (including hedging) purposes.
The investment process will emphasize a bottom up stock selection process seeking attractive investments on an individual company basis. In selecting securities for investment, the Investment Adviser
typically invests in companies it believes have strong name recognition and sustainable competitive advantages with above average business visibility, the ability to deploy capital at high rates of return, strong balance sheets and an attractive risk/reward.
The Fund will make long-term investments in companies that the Investment Adviser believes have qualities of Permanence including durable long-term competitive advantages. The Fund may also invest in more moderate growth companies, companies with lower earnings volatility and/or companies with some cyclicality in their end markets.
The Investment Adviser actively integrates sustainability into the investment process by using ESG factors as a lens for additional fundamental research, which can contribute to investment decision- making. The Investment Adviser seeks to understand how environmental and social initiatives within companies can create value by strengthening durable competitive advantages, creating growth opportunities, driving profitability, and/or aligning with secular growth trends. The Investment Adviser generally engages with company management teams to discuss their ESG practices, with the aim of identifying how sustainability themes present opportunities and risks that can be material to the value of the security over the long term. Other aspects of the investment process include a proprietary, systematic evaluation of governance policies, specifically focusing on compensation alignment on long-term value creation.
Investments shall not knowingly include any company whose primary business activity involves the following:
- tobacco 
- (securities of issuers classified as Global Industry Classification Standard (“
- GICS
- ”) sub-industry tobacco, or generate 5% or more of revenue from the manufacture of tobacco products);
- coal mining 
- (securities of issuers classified as GICS sub- industry coal & consumable fuels, or generate 10% or more of revenue from the mining and extraction of thermal coal); or
- weapons, including 
- civilian firearms 
- (securities of issuers that generate 10% or more of revenue from the manufacture or production of civilian firearms or ammunition) and 
- cluster munitions and anti-personnel mines 
- (securities of issuers that manufacture, produce or distribute cluster munitions or anti- personnel landmines).

The details of the above exclusions can be found in the Fund’s exclusion policy which is available on the Company’s website (www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im). Further to the above, the Investment Adviser may, in its discretion, elect to apply additional investment restrictions over time that it believes are consistent with its investment objectives. Such additional restrictions will be disclosed
as they are implemented on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im. Investments that are held by the Fund but become restricted after they are acquired for the Fund will be sold. Such sales will take place over a time period to be determined by the Investment Adviser, taking into account the best interests of the Shareholders of the Fund.
The Fund is actively managed, not designed to track a benchmark, and therefore not constrained by the composition of the S&P 500 Index. The Fund references the S&P 500 Index for the purpose of setting the capitalization range of issuers the Fund will invest in. The Fund’s performance is measured against the S&P 500 Index as detailed in the Fund’s key investor information document.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the US Permanence Funds’ investment objective, it may be appropriate for investors who;
- seek to invest in equity securities;
- seek capital appreciation over the medium term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

US PROPERTY FUND
31
The US Property Fund’s investment objective is to seek long-term capital appreciation, measured in US Dollars, by investing primarily
31 
As from 12 December 2022, the investment policy of the Fund will be changed in order to promote, among other characteristics, environmental or social characteristics, or a combination of those characteristics, provided that the companies in which the investments are made follow good governance. The Fund will then fall within the scope of Article 8 of the SFDR. Consequently, the first paragraph will be amended, as follows:
“The US Property Fund’s investment objective is to seek long term capital appreciation, measured in US Dollars, by investing primarily in equity securities of companies in the US real estate industry Located in the US. Companies in the real estate industry or closely related to the real estate industry may include companies principally engaged in the development and/or ownership of income-producing property; companies that operate, construct, finance or sell real estate; companies with substantial real estate related holdings and/or services or products related to the real estate industry, including, but not limited to, real estate management, brokers, building products and property technology; and collective investment vehicles with exposure to property, such as publicly quoted property unit trusts, all types of eligible closed-end Real Estate Investment Trusts (REITS) and undertakings for collective investment.”
In addition, the second paragraph will be replaced by the following paragraphs:
“The investment process utilizes internal proprietary research to invest in public real estate companies that may offer the best relative value relative to their underlying assets and earnings. The Investment Adviser utilizes a bottom-up approach, valuing each security within the investment universe to arrive at an estimate of net asset value and forward cash flows. Real estate specific factors, broader equity factors, and ESG factors are assessed in the fundamental analysis to calculate appropriate valuation metrics.
in equity securities of companies in the US real estate industry Located in the US. The Fund intends to invest in the publicly traded securities of closed-end Real Estate Investment Trusts (REITS) and similar Real Estate Operating Companies (REOCS). REITS and REOCS are companies that acquire and/or develop real property for long term investment purposes. They invest the majority of their assets directly in real property and derive their income primarily from rents.
The investment process may consider information about ESG issues in its bottom-up stock selection process when making investment decisions. The Sub-Adviser may engage with company management regarding corporate governance practices as well as what the Sub-Adviser deems to be materially important environmental and/or social issues facing a company.
The Fund may also invest, on an ancillary basis, in preference shares, debt securities convertible into common shares, warrants and other equity-linked instruments.
The Investment Adviser also incorporates a top-down approach in the portfolio construction process by integrating several factors which may include forecasted fundamental inflections, macroeconomic considerations, and geopolitical and country risk assessments, to achieve diversified exposure across countries and/or sectors.
The Investment Adviser actively integrates sustainability into the investment process by assessing key ESG risks and opportunities in the bottom-up stock selection process primarily by leveraging third-party ESG providers to assess and quantify ESG performance for issuers, supplementing third-party research with proprietary research conducted by the Investment Adviser including utilizing a proprietary framework for assessing and quantifying risks and opportunities related to ESG which results in a quantitative adjustment to valuation estimates, and through engagements with company management to discuss ESG-related strengths, weaknesses, and opportunities in an effort to effect positive change within the industry. Key ESG topics may include, but are not limited to: energy usage and renewables, water usage, emissions, diversity and gender equality, labour and human rights, employee and tenant health, wellness and safety and company ESG governance and disclosure. In an effort to drive positive change and encourage companies to improve their performance on material ESG issues, the Investment Adviser may approach company management with competitive insights, financially sound business cases and practical solutions to potentially improve their real estate operations. While ESG considerations are an integrated and fundamental part of the investment process, they are only one of several key determinants used by the Investment Adviser to determine if an investment will be made or size adjusted in the overall portfolio.
Investments shall not knowingly include any company whose primary business activity in any of the following is more than 10% of company revenue:
- owning or operating real estate used for prisons;
- owning or operating real estate used to manufacture cannabis;
- owning, manufacturing or production of tobacco;
- owning, manufacturing or production of coal mining;
- owning, manufacturing or production of controversial weapons and civilian firearms; and
- owning, manufacturing or production of arctic oil and gas. Investments shall not knowingly include the following companies:
- companies that have a notable controversy related to their operations and/or products, where the severity of the social or environmental impact of the controversy, is judged by the Investment Adviser;
- companies that fail to comply with the UN Global Compact or the ILO fundamental principles, without material remediation and improvement.

The Investment Adviser references third party ESG data and its own proprietary research during the security research process. The Investment Adviser will review controversy cases (such as the exclusions noted above) that it views as being very severe using ratings by relevant ESG data providers and internal research. However, in some cases data on specific issuers or the exclusions noted above may not be readily available and/or may be estimated by the Investment Adviser using reasonable estimates.”
Finally, the Taxonomy Regulation disclosure will be amended as follows:
“In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.”
The Fund is actively managed and is not designed to track a benchmark. Therefore, the management of the Fund is not constrained by the composition of a benchmark. The Fund’s performance is measured against a benchmark as detailed in the Fund’s key investor information document.
Taxonomy Regulation disclosure
The investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities.
Profile of the typical investor
In light of the US Property Fund’s investment objective it may be appropriate for investors who:
- seek to invest in equity securities;
- seek capital appreciation over the long term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

US VALUE FUND
The US Value Fund’s investment objective is to seek long term capital growth, by investing in a broadly diversified selection of transferable equity securities, emphasizing common stocks of leading companies the Investment Adviser believes have been systematically mispriced by the market. Value stocks are common stocks that the Investment Adviser believes are inexpensive relative its estimates of the intrinsic value of the business.
The Fund will invest primarily in equity securities, including depositary receipts (including American Depositary Receipts (ADRs) and Global Depositary Receipts (GDRs)), of companies Located in the US.
The Fund may also invest, on an ancillary basis, in equity securities not meeting the criteria of the Fund’s primary investments, Fixed Income Securities, warrants on securities, Cash Equivalents and other equity linked securities.
The Investment Adviser of the Fund employs a bottom-up, research-driven and value-oriented approach that seeks to identify pricing anomalies that occur due to fundamental factors that are perceived to be temporary and not permanent. In selecting securities, the Fund focuses mainly on U.S. issuers with attractive valuations and sound business fundamentals. The Investment Adviser also considers how constructing the portfolio and purchasing or selling an investment impacts the overall portfolio’s risk profile (for example, the portfolio’s beta relative to its benchmark and each economic sector, its standard deviation of return, its active share and tracking error, as well as how its tracking error is composed on an industry and stock level).
In addition to the above, in making investment decisions, the Investment Adviser will integrate ESG criteria. The Investment Adviser utilizes the extensive proprietary ESG research generated by its affiliate, Calvert, in evaluating investments. The Investment Adviser may consider financially material ESG factors as part of the Fund’s securities selection process. Such financially material factors comprise Sustainability Risks or opportunities likely to affect the financial condition or performance of the issuer over a long-term investment horizon and may include, without limitation, business ethics, energy use, energy efficiency and renewable energy, workplace diversity, climate change, data security and workplace safety.
The Investment Adviser believes that corporate governance practices of issuers have a direct impact on business performance and results produced by those issuers and incorporating companies’ ESG behaviours into investment decisions provides a more comprehensive, holistic approach to investing that the Investment Adviser believes can enhance both stock selection and risk-adjusted returns over the long term.
The Fund is actively managed and is not designed to track a benchmark. Therefore, the management of the Fund is not constrained by the composition of a benchmark. The Fund’s performance is measured against a benchmark as detailed in the Fund’s key investor information document.
Taxonomy Regulation disclosure
The investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities.
Profile of the typical investor
In light of the US Value Fund’s investment objective it may be appropriate for investors who:
- seek to invest in equity securities;
- seek capital appreciation over the long term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

VITALITY FUND
The Vitality Fund’s investment objective is to seek long-term capital appreciation, measured in US Dollars.
The Fund will seek to achieve its investment objective by investing primarily in equity securities, including depositary receipts (including American Depositary Receipts (ADRs) and Global Depositary Receipts (GDRs)), of companies Located in the US that are principally engaged in the discovery, development, production, or distribution of products or services related to advances in
healthcare. These companies include, but are not limited to, biotechnology, pharmaceuticals, medical equipment and supplies, healthcare technology, healthcare providers and services, and life sciences tools and services.
In relation to this Fund, Vitality means the power to endure and thrive. This reflects the healthcare sector-oriented focus of the Fund and the view of the Investment Adviser that the sector will offer superior opportunity for long-term capital appreciation.
The Fund may also allocate to industries related to the healthcare industry, but are not primarily engaged in the scientific advancement of healthcare. The allocation among these areas will vary depending on the relative potential the Investment Adviser sees within each area and the outlook for the overall healthcare sector.
The Fund may also invest, on an ancillary basis, in equity securities not meeting the criteria of the Fund’s primary investments, debt securities convertible into common shares, preference shares, warrants and other equity linked instruments.
The Fund may invest to a limited extent in units/shares of other collective investment schemes, including the Company’s Funds and open-ended ETFs, which are eligible investments for UCITS under the 2010 Law.
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange traded and over-the-counter options, futures and other derivatives for investment or efficient portfolio management (including hedging) purposes.
The investment process will emphasize a bottom up stock selection process seeking attractive investments on an individual company basis. In selecting securities for investment, the Investment Adviser typically invests in unique companies it believes have sustainable competitive advantages, strong research and development and productive new product flow, financial strength, and an attractive risk/reward profile. The Fund generally seeks investments in companies that are developing new and effective medicines, enabling novel and more efficient research and development efforts, as well as companies whose business models reduce costs or improve quality in healthcare systems.
The Fund will make long-term investments in companies that the Investment Adviser believes have the most durable long-term competitive advantages. The Fund may also invest in more moderate growth companies, companies with lower earnings volatility and/or companies with some cyclicality in their end markets. The Investment Adviser generally considers selling a portfolio holding when it determines that the holding no longer satisfies its investment criteria.
The Investment Adviser actively integrates sustainability into the investment process by using ESG factors as a lens for additional fundamental research, which can contribute to investment decision- making. The Investment Adviser seeks to understand how environmental and social initiatives within companies can create value by strengthening durable competitive advantages, creating growth opportunities, driving profitability, and/or aligning with secular growth trends. The Investment Adviser generally engages with company management teams to discuss their ESG practices, with the aim of identifying how sustainability themes present opportunities and risks that can be material to the value of the security over the long term. Other aspects of the investment process include a proprietary, systematic evaluation of governance policies, specifically focusing on compensation alignment on long-term value creation.
Investments shall not knowingly include any company whose primary business activity involves the following:
- tobacco; 
- securities of issuers classified as GICS sub-industry tobacco, or generate >5% or more of revenue from the manufacture of tobacco products;
- coal mining; 
- securities of issuers classified as GICS sub-industry coal & consumable fuels, or generate >10% or more of revenue from the mining and extraction of thermal coal; and
- weapons, including 
- civilian firearms; 
- securities of issuers that generate >10% or more of revenue from the manufacture or production of civilian firearms or ammunition; and 
- cluster munitions and anti-personnel mines; 
- securities of issuers that manufacture, produce or distribute cluster munitions or anti- personnel landmines.

The details of the above exclusions can be found in the Fund’s exclusion policy which is available on the Company’s website (www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im). Further to the above, the Investment Adviser may, in its discretion, elect to apply additional investment restrictions over time that it believes are consistent with its investment objectives. Such additional restrictions will be disclosed as they are implemented on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im. Investments that are held by the Fund but become restricted after they are acquired for the Fund will be sold. Such sales will take place over a time period to be determined by the Investment Adviser, taking into account the best interests of the Shareholders of the Fund.
The Fund is actively managed, not designed to track a benchmark, and therefore not constrained by the composition of a benchmark. The Fund’s performance is measured against a benchmark as detailed in the Fund’s key investor information document.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments
underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the Vitality Fund’s investment objective, it may be appropriate for investors who;
- seek to invest in equity securities;
- seek capital appreciation over the long term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

BOND FUNDS
The various Bond Funds have the following objectives:
CALVERT SUSTAINABLE GLOBAL GREEN BOND FUND
The Calvert Sustainable Global Green Bond Fund’s investment objective is to provide an attractive level of total return, measured in US Dollars, through investment in global Fixed Income Securities that meet the Investment Adviser’s ESG and Impact criteria (as further described below) and qualify as sustainable investments under the SFDR, with the objective of supporting positive environmental and social impacts and outcomes. The Fund will seek to achieve the investment policy through allocation across fixed income asset classes as well as through market and instrument selection.
The Fund will invest primarily in Green Bonds (as defined below) including the global securities of corporate, government and government related issuers across a spectrum of fixed income asset classes including, investment-grade bonds, high yield bonds, mortgage-backed securities, asset-backed securities, convertibles and currencies, and subject to applicable law, in other asset-backed securities, loan participations and loan assignments, to the extent that these instruments are securitised. High yield bonds are considered to be Fixed Income Securities issued by corporations that are rated lower than “BBB-” by S&P or “Baa3” by Moody’s or similarly by another internationally recognised rating service or determined to be of similar creditworthiness by the Investment Adviser. These investments may include fixed income securities issued in emerging markets.
In relation to this Fund, “Sustainable” means that the Investment Adviser integrates the consideration of sustainability themes and ESG issues in its investment decision-making on a discretionary basis as detailed below. In addition, the Investment Adviser may include evaluation of positive and negative contributions towards the UN Sustainable Development Goals. The Investment Adviser may engage company management around corporate governance practices and what it deems to be materially important
environmental and/or social issues facing a company. It will also seek to support positive environmental and social impacts and outcomes, having regard to sustainability themes such as Decarbonisation & Climate Risk, Circular Economy & Waste Reduction, Diverse & Inclusive Business and Decent Work & Resilient Jobs.
For the purpose of this Fund, ‘Green Bonds’ include but are not limited to the following instruments:
- Green Use of Proceeds Bonds, with proceeds targeted to environmentally beneficial projects (with or without external Green Bond labelling);
- Sustainability Bonds, with a proportion of the proceeds targeted to environmentally beneficial projects;
- Transition Bonds, with proceeds targeted to transitioning to more environmentally favourable business models;
- Sustainability-linked Bonds, with environmental key performance indicators and targets; and
- Bonds of issuers that seek to provide environmental solutions or that demonstrate environmental sustainability leadership.

The Investment Adviser employs a proprietary assessment framework for Green Bonds (which has regard to, where appropriate, recognised green bond guidelines such as the Green Bonds Principles of the International Capital Market Association), through which the robustness, expected impact and transparency of all such instruments in the Fund are evaluated. The Investment Adviser uses third-party data and ESG research as part of its analysis. Where data may not be available, the Investment Adviser will use internal methodologies or reasonable estimates. The methodologies used by different data providers can vary and may result in different evaluations. Details of the evaluation methodology and Calvert Principles for Responsible Investment is available on the following websites: www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im.
On an ancillary basis the Fund may invest in securities which are not identified by the Investment Adviser as Green Bonds, provided the Investment Adviser has assessed that the issuer and/or security makes a significant contribution to positive social impacts or outcomes either through the issuer’s products and services or through its practices or through the specific projects or investments financed by the bond issue, and provided the Investment Adviser has established that the activities of the issuer or projects associated with the bond issue, as applicable, do not result in adverse environmental or social impacts, or cause significant harm in accordance with the SFDR sustainable investment requirements. Such investments may include labelled Social Bonds, with proceeds allocated to projects focussed on positive social outcomes and / or target populations, or labelled Sustainability-linked Bonds with social key performance indicators and targets. Such labelled bonds
will also be subject to the Investment Adviser’s proprietary assessment framework, as described above. The labels “Green”, “Social”, “Sustainability” and “Sustainability-Linked” attached to the bonds by their issuers stand for the fact that their frameworks are, in most cases, although not exclusively, aligned with the International Capital Market Association (ICMA) Green/Social/ Sustainability-Linked Bond Principles, or Sustainability Bond Guidelines, or principles/guidelines established in other jurisdictions.
The aim of the Investment Adviser will be to ensure that at least 90% of the securities in the portfolio are assessed with respect to the sustainability themes and ESG issues described above.
In relation to this Fund, the use of “Calvert” in the name refers to Calvert Research and Management (“Calvert”), whose role in relation to this Fund is limited to the provision of non-discretionary investment advice to the Investment Adviser to assist the Investment Adviser in its management of the Fund. Calvert has no discretion to make discretionary investment decisions on behalf of the Fund, such investment discretion being vested solely in the Investment Adviser.
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of derivative instruments such as index futures, contracts for difference (CFDs), TRS, structured notes (including participatory notes), convertible bonds, convertible preferred stocks, options, foreign exchange options, currency forwards and forward contracts and other derivatives for investment or efficient portfolio management (including hedging) purposes.
Investments shall not knowingly include any company whose business activity involves the following:
- manufacturing or production of:
	- controversial weapons;
	- manufacturing or production of civilian firearms;
	- manufacturing or production of tobacco, or where the company derives >10% revenue from tobacco distribution or retail;
	- gambling, where the company derives >10% revenue from such business activity; and
	- adult entertainment, where the company derives >10% revenue from such business activity.


The Fund will also not invest in securities of issuers that fail to comply with the UN Global Compact or the ILO fundamental principles, and where the Investment Adviser believes appropriate remedial action has not been taken.
Investments that are held by the Fund but subsequently become restricted due to the application of the ESG criteria above, after they are acquired for the Fund will be sold. Such sales will take place over a time period to be determined by the Investment Adviser, taking into account the best interests of the Shareholders of the Fund.
The Fund may invest no more than 20% of its assets in Contingent Convertible Instruments.
It is not expected that the Fund will invest more than 50% of its net assets in aggregate in securitized instruments. It is not expected that the Fund will invest more than 20% of its net assets in any one type of securitized instrument (e.g., asset-backed securities (ABS), commercial mortgage-backed securities (CMBS), residential mortgage-backed securities (RMBS), agency mortgage-backed securities (MBS)).
The Fund may invest in Fixed Income Securities acquired on the China Interbank Bond Market. No more than 10% of the Fund’s assets will be invested in such securities.
The Fund may invest to a limited extent in units/shares of other collective investment schemes, including the Company’s Funds and open-ended ETFs provided that any ETFs are eligible investments for UCITS funds.
The Fund is actively managed and is not designed to track a benchmark. The Fund’s performance is measured against a benchmark as detailed in the Fund’s key investor information document.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the Calvert Sustainable Global Green Bond Fund’s investment objective it may be appropriate for investors who:
- seek to invest in Fixed Income Securities;
- seek capital appreciation over the medium term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

EMERGING MARKETS CORPORATE DEBT FUND
The Emerging Markets Corporate Debt Fund’s investment objective is to seek to maximize total return, measured in US Dollars, primarily through investments across the credit spectrum of Fixed Income Securities of corporate issuers, together with investing in Fixed Income Securities of government and government related issuers located in each case in Emerging Markets countries. The Fund intends to invest its assets in Emerging Market countries’ Fixed Income Securities that provide a high level of current income, while at the same time holding the potential for capital appreciation.
“Emerging Market” countries, for the purposes of this Fund, are as defined by the JP Morgan Corporate Emerging Markets Bond Index – Broad Diversified, provided that the markets of these countries are considered to be recognized exchanges (“Recognized Exchanges”) within the meaning of Article 41(1) of the 2010 Law. As markets in other countries develop, the Fund expects to expand and further diversify the emerging markets in which it primarily invests as such markets are added to this index. To achieve its principal investment in Emerging Market countries, the Fund may invest in Fixed Income Securities of companies organised and located in Emerging Market countries and may also invest in Fixed Income Securities of companies organised and located in Developed Market countries (for the purpose of this Fund, as defined by the JP Morgan Government Bond Index) where the value of the company’s securities will reflect principally conditions in an Emerging Market country or where the principal securities trading market for such Emerging Market country, or where 50% of the company’s revenue alone or on a consolidated basis is derived from either goods produced, sales made or services performed in Emerging Market countries (“EM Exposed Securities”). Fixed Income Securities held by the Fund will take the form of bonds, notes, bills, debentures, convertible securities, bank debt obligations, short-term paper, mortgage and, subject to applicable law, other asset-backed securities, loan participations and loan assignments, to the extent that these instruments are securitised.
The Investment Adviser applies proprietary assessment and scoring methodologies that are bespoke to Fixed Income Securities the Fund may invest in, focussed on corporate, sovereign and securitized issuance. Additionally as part of the Investment Adviser’s bottom- up, fundamental research process, and in its engagements with issuers, the Investment Adviser incorporates an assessment of sustainability-related risks and opportunities into the assessment process to determine impacts on credit fundamentals, implications for valuation and spreads, and any material aspects that may affect the trading technicalities of the Fixed Income Securities. These criteria may include, but are not limited to ESG themes such as decarbonisation & climate risk, circular economy & waste reduction, diverse & inclusive business and decent work & resilient jobs. The Investment Adviser will monitor core sustainability indicators, including environmental, social and governance assessments from third-party providers, and carbon footprint
(measured by carbon intensity, defined as tonnes of CO2 per $1 million revenue for the proportion of the Fund invested in bonds issued by corporates) in order to measure and evaluate the contribution of the Fixed Income Securities to the ESG themes described above. The indicators will be measured and evaluated at least on an annual basis.
The Investment Adviser also deploys a proprietary assessment framework for labelled sustainable bonds, through which the robustness, impact and transparency of such instruments are evaluated.
The Investment Adviser promotes the low carbon transition through excluding corporate issuers for which thermal coal production is a core business, and promotes human life through excluding products that are detrimental to health and wellbeing, specifically tobacco, controversial weapons and civilian firearms manufacturing. Accordingly, investments shall not knowingly include any company whose business activity involves the following:
- manufacturing or production of controversial weapons;
- manufacturing or production of civilian firearms; and
- manufacturing or production of tobacco.

With respect to fossil fuel activities specifically, the Investment Adviser may engage company management around the topics of decarbonisation and climate risk, as well as corporate governance practices and what it deems to be materially important other environmental and/or social issues facing a company. Investments shall not knowingly include any company whose business activity involves the mining and extraction of thermal coal, where the company derives >5% revenue from such business activity.
The exceptions to the above is that the Fund may invest in labelled sustainable bonds, or other debt securities that are issued to raise capital specifically for climate-related or environmental projects, which are issued by issuers that would otherwise be subject to this fossil fuel exclusion, so long as it has been determined that the objectives of such instruments are consistent with a reduction by the issuer in its carbon emissions. Investment in such instruments will be subject to diligence by the Investment Adviser. The Fund may invest in issuers who may not themselves contribute to the specific environmental or social characteristics promoted by the financial product such as hedging instruments, unscreened investments for diversification purposes, or investments for which data are lacking.
In addition to the above sectoral exclusions, the Investment Adviser monitors business practices on an ongoing basis, through data on ESG controversies and standards screening sourced from third party providers. The Investment Adviser will consider controversy cases that it views as being very severe based on ratings by relevant ESG data providers, and failures to comply with the UN Global
Compact or the ILO fundamental principles, although such incidents will not automatically result in exclusion from the portfolio.
Further to the above, the Investment Adviser may, at its discretion, elect to apply additional ESG-related investment restrictions over time that it believes are consistent with its investment objectives. Such additional restrictions will be disclosed as they are implemented on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im.
Investments that are held by the Fund which as a result of the application of the ESG criteria above become restricted after they are acquired for the Fund, will be sold. Such sales will take place over a time period to be determined by the Investment Adviser, taking into account the best interests of the Shareholders of the Fund. The Investment Adviser uses third-party data and in some cases data on specific issuers, ESG themes or the exclusions noted above may not be available and/or may be estimated by the Investment Adviser using internal methodologies or reasonable estimates. The methodologies used by different data providers may also vary and may result in different scores.
The Fund may also invest on an ancillary basis in the aforementioned Fixed Income Securities where such securities are issued by issuers organised and located (1) in neither Developed Market countries nor Emerging Market countries; or (2) in Developed Market countries but the securities are not EM Exposed Securities.
The Fund may invest in Fixed Income Securities acquired on the China Interbank Bond Market. No more than 20% of the Fund’s assets will be invested in such securities.
The Fund may invest to a limited extent in open-ended ETFs provided that any ETFs are eligible investments for UCITS funds.
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange traded and over-the-counter options, futures and other derivatives for investment or efficient portfolio management (including hedging) purposes. The Fund may, on an ancillary basis, invest in other emerging markets Fixed Income Securities and in emerging markets Fixed Income Securities denominated in currencies other than US Dollars.
The Fund may also invest, to a limited extent, in warrants on transferable securities issued by issuers in emerging markets.
The Fund may invest no more than 20% of its assets in Contingent Convertible Instruments.
The Fund is actively managed and references the JP Morgan Corporate Emerging Markets Bond Index – Broad Diversified for the purpose of defining a geographical allocation of the countries the Fund will invest
into. The Investment Adviser has full discretion over the composition of the assets in the Fund. While the Fund will generally hold assets within the countries referenced in the JP Morgan Corporate Emerging Markets Bond Index – Broad Diversified, it can invest in such securities from countries in different proportions, and it can hold assets which are not exposed to countries referenced in the JP Morgan Corporate Emerging Markets Bond Index – Broad Diversified. Hence, there are no restrictions on the extent to which the Fund’s performance may deviate from the JP Morgan Corporate Emerging Markets Bond Index – Broad Diversified.
The Fund’s performance is measured against a benchmark as detailed in the Fund’s key investor information document.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the Emerging Markets Corporate Debt Fund’s investment objective, it may be appropriate for investors who:
- seek to invest in Fixed Income Securities in emerging markets;
- seek capital appreciation over the medium term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

EMERGING MARKETS DEBT FUND
The Emerging Markets Debt Fund’s investment objective is to seek to maximise total return, measured in US Dollars, primarily through investment in the Fixed Income Securities of government and government-related issuers located in Emerging Market (as defined below) countries (including, to the extent these instruments are securitised, participations in loans between governments and financial institutions), together with investing in the Fixed Income Securities of corporate issuers located in, organised under the laws of, or which have a principal office in, Emerging Market countries. The Fund intends to invest its assets in Emerging Market country Fixed Income Securities that provide a high level of current income, while at the same time holding the potential for capital appreciation.
“Emerging Market” countries, for the purposes of this Fund, are as defined by the JP Morgan Emerging Market Bond Index Global Diversified provided that the markets of these countries are considered to be recognised exchanges (“Recognised Exchanges”)
within the meaning of Article 41(1) of the 2010 Law. As markets in other countries develop, the Fund expects to expand and further diversify the emerging markets in which it primarily invests as or before such markets are added to the JP Morgan Emerging Market Bond Index Global Diversified. Fixed Income Securities held by the Fund will take the form of bonds, notes, bills, debentures, convertible securities, bank debt obligations, short-term paper, mortgage and, subject to applicable law, other asset-backed securities, loan participations and loan assignments (to the extent that these instruments are securitised) and interests issued by entities organised and operated for the purpose of restructuring the investment characteristics of instruments issued by Emerging Market issuers.
The Investment Adviser applies proprietary assessment and scoring methodologies that are bespoke to Fixed Income Securities the Fund may invest in, focussed on sovereign issuance. Additionally as part of the Investment Adviser’s bottom-up, fundamental research process, and in its engagements with issuers, the Investment Adviser incorporates an assessment of sustainability-related risks and opportunities into the assessment process to determine impacts on credit fundamentals, implications for valuation and spreads, and any material aspects that may affect the trading technicalities of the Fixed Income Securities. These criteria may include, but are not limited to ESG themes such as carbon emissions, climate vulnerability, forestry conservation, life expectancy & health, education, living standards, voice & accountability, political stability, effective government, regulatory quality, rule of law, corruption, violence/terrorism. The Investment Adviser will monitor core sustainability indicators, including ESG assessments from third-party providers in order to measure and evaluate the contribution of the Fixed Income Securities to the ESG themes described above. The indicators will be measured and evaluated at least on an annual basis.
The Investment Adviser also deploys a proprietary assessment framework for labelled sustainable bonds, through which the robustness, impact and transparency of such instruments are evaluated.
The Investment Adviser promotes good governance and social practices among sovereigns. Consequently, the Investment Adviser will not make any new investments in countries where there is evidence of significant social violations. However, any existing investments in such countries shall not necessarily need to be sold, and any countries exhibiting positive momentum with respect to such violations shall not be subject to the purchase restriction. The Investment Adviser shall disclose the methodology used to evaluate significant social violations on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im.
To achieve its principal investment in Emerging Market countries, the Fund may invest in the Fixed Income Securities of companies
organised under the laws of, located in or which have a principal office in Emerging Market countries and may also invest in the Fixed Income Securities of companies organised under the laws of, located in or which have a principal office in Developed Market countries (for the purpose of this Fund, as defined by JP Morgan Government Bond Index) where the company’s principal Fixed Income Securities trading market is in an Emerging Market country, or where 50% of the company’s revenue alone or on a consolidated basis is derived from goods produced, sales made or services performed in Emerging Market countries (“EM Exposed Securities”).
For investments in such companies specifically, investments shall not knowingly include any company whose business activity involves the following:
- manufacturing or production of controversial weapons;
- manufacturing or production of civilian firearms; and
- manufacturing or production of tobacco.

With respect to fossil fuel activities specifically, the Investment Adviser may engage company management around the topics of decarbonisation and climate risk, as well as corporate governance practices and what it deems to be materially important other environmental and/or social issues facing a company. Investments shall not knowingly include any company whose business activity involves the mining and extraction of thermal coal, where the company derives >5% revenue from such business activity.
The exception to the above is that the Fund may invest in labelled sustainable bonds, or other debt securities that are issued to raise capital specifically for climate-related or environmental projects, which are issued by issuers that would otherwise be subject to this fossil fuel exclusion, so long as it has been determined that the objectives of such instruments are consistent with a reduction by the issuer in its carbon emissions. Investment in such instruments will be subject to diligence by the Investment Adviser.
In addition to the above sectoral exclusions, the Investment Adviser monitors business practices on an ongoing basis, through data on ESG controversies and standards screening sourced from third party providers. The Investment Adviser will consider controversy cases that it views as being very severe based on ratings by relevant ESG data providers, and failures to comply with the UN Global Compact or the ILO fundamental principles, although such incidents will not automatically result in exclusion from the portfolio.
Further to the above, the Investment Adviser may, at its discretion, elect to apply additional ESG-related investment restrictions over time that it believes are consistent with its investment objectives. Such additional restrictions will be disclosed as they are implemented on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im.
Investments that are held by the Fund which as a result of the application of the ESG criteria above become restricted after they are acquired for the Fund, will be sold. Such sales will take place over a time period to be determined by the Investment Adviser, taking into account the best interests of the Shareholders of the Fund. The Investment Adviser uses third-party data and in some cases data on specific issuers, ESG themes or the exclusions noted above may not be available and/or may be estimated by the Investment Adviser using internal methodologies or reasonable estimates. The methodologies used by different data providers may also vary and may result in different scores.
The Fund may invest in issuers who may not themselves contribute to the specific environmental or social characteristics promoted by the financial product such as hedging instruments, unscreened investments for diversification purposes, or investments for which data are lacking.
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange traded and over-the-counter options, futures and other derivatives for investment or efficient portfolio management (including hedging) purposes.
The Fund may also invest on an ancillary basis in the aforementioned classes of Fixed Income Securities where such Fixed Income Securities are issued by issuers organised under the laws of and located (1) neither in Developed Market countries nor Emerging Market countries; or (2) in Developed Market countries, but where the Fixed Income Securities are not EM Exposed Securities.
The Fund may invest in Fixed Income Securities acquired on the China Interbank Bond Market. No more than 20% of the Fund’s assets will be invested in such securities.
The Fund may also invest, to a limited extent, in warrants issued by Emerging Market issuers and in open-ended ETFs provided that any such ETFs are eligible investments for UCITS funds.
The Fund may invest no more than 20% of its assets in Contingent Convertible Instruments.
The Fund is actively managed and references the JP Morgan Emerging Market Bond Index Global Diversified for the purpose of defining a geographical allocation of the countries the Fund will invest into. The Investment Adviser has full discretion over the composition of the assets in the Fund. While the Fund will generally hold assets within the countries referenced in the JP Morgan Emerging Market Bond Index Global Diversified, it can invest in such securities from countries in different proportions to their allocations under the JP Morgan Emerging Market Bond Index Global Diversified, and it can hold assets which are not exposed to countries referenced in the JP Morgan Emerging
Market Bond Index Global Diversified. Hence, there are no restrictions on the extent to which the Fund’s performance may deviate from the JP Morgan Emerging Market Bond Index Global Diversified. The JP Morgan Emerging Market Bond Index Global Diversified is used for performance comparison purposes only and does not integrate environmental or social characteristics.
The Fund’s performance is measured against a benchmark as detailed in the Fund’s key investor information document.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the Emerging Markets Debt Fund’s investment objective it may be appropriate for investors who:
- seek to invest in Fixed Income Securities in Emerging Markets;
- seek capital appreciation over the medium term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

EMERGING MARKETS DEBT OPPORTUNITIES FUND
The Emerging Markets Debt Opportunities Fund’s investment objective is to generate total return, which is defined as income plus capital appreciation, by establishing long and short investment exposures to Emerging Markets (as defined below) debt pool through currencies, local interest rates, and sovereign and corporate credit, while investing primarily in (i) Fixed Income Securities of corporate, government and government-related issuers Located in Emerging Market countries; and/or (ii) derivative instruments denominated in or based on the currencies, interest rates, or issuers of Emerging Market countries. Fixed Income Securities may include zero coupon bonds, preferred stocks, deferred interest bonds and notes and bonds and notes on which the interest is payable in the form of additional eligible stocks, bonds or notes of the same kind (Payment-in-Kind (PIK) securities).
“Emerging Market” country, for the purposes of this Fund, is any country determined by the Investment Adviser to have an emerging market economy, considering factors such as the country’s political and economic stability, and the development of its financial and capital markets. Emerging market countries include so-called frontier market countries. Frontier markets are a sub-category of
emerging markets and are generally considered by the Investment Adviser to be countries which are not developed countries and (i) are not included in the J.P. Morgan Emerging Markets Bond (JEMB) Hard Currency/Local Currency 50-50 Index; or (ii) represent 2% or less of the J.P. Morgan Emerging Markets Bond (JEMB) Hard Currency/Local Currency 50-50 Index, provided that in each case, the markets of these countries are considered to be recognised exchanges within the meaning of Article 41(1) of the 2010 Law. The Fund does not invest in developed countries except for purposes of hedging, gaining exposure to Fixed Income Securities denominated in currencies of emerging market countries and investments (including through derivative instruments) in U.S treasuries and U.S. government and agency securities and agency mortgage-backed securities.
The Fund may have significant investment in a geographic region or country and, subject to the foregoing in this paragraph, there is no limit on the Fund’s exposure to any geographic region or country. It is not intended that the Fund will have a particular sector or industry focus.
Fixed Income Securities held by the Fund will take the form of sovereign bonds and debentures, mortgage-backed securities and asset-backed securities, convertible debt securities (which may embed derivatives), contingent convertible instruments, municipal obligations, corporate bonds and debentures, fixed income and floating rate debt securities, loan participations and loan assignments, to the extent that these instruments are securitised, and participation notes.
The Fund may invest in instruments of any credit rating, including those rated below investment grade (rated below BBB by either Standard & Poor’s Ratings Services or Fitch Ratings, or below Baa by Moody’s Investors Service, Inc.) or in unrated instruments considered to be of comparable quality by the Investment Adviser.
In evaluating the Fixed Income Securities issued by emerging market corporates and in its engagement with issuers, the Investment Adviser incorporates an assessment of sustainability-related risks and opportunities into the assessment process to determine impacts on credit fundamentals, implications for valuation and spreads, currency and duration / local rates, and any material aspects that may affect the trading technicalities of the Fixed Income Securities. These criteria may include, but are not limited to ESG themes such as carbon emissions, climate vulnerability, forestry conservation, life expectancy & health, education, living standards, voice & accountability, political stability, effective government, regulatory quality, rule of law, corruption, and violence/terrorism. The Investment Adviser will monitor core sustainability indicators, including ESG assessments from third-party providers, in order to measure and evaluate the contribution of the Fixed Income Securities to the ESG themes described above. The indicators will be measured and evaluated at least annually.
The Investment Adviser also deploys a proprietary assessment framework for labelled sustainable bonds, through which the robustness, impact and transparency of such instruments are evaluated.
The Investment Adviser promotes good governance and social practices among corporate issuers. Consequently, the Investment Adviser will not make any new investments in issuers where there is evidence that the relevant issuer has engaged in significant social violations (being activities which infringe significantly on an individual or a group’s rights). However, any existing investments in such issuers shall not necessarily need to be sold, and any issuers exhibiting positive momentum with respect to such violations shall not be subject to the purchase restriction. The methodology used by the Investment Adviser to evaluate significant social violations shall be disclosed on the following websites: www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im.
With respect to investment in Fixed Income Securities issued by corporates, investments shall not knowingly include any company whose business activity involves the following:
- manufacturing or production of controversial weapons;
- manufacturing or production of civilian firearms; and
- manufacturing or production of tobacco.

With respect to fossil fuel activities specifically, the Investment Adviser may engage company management around the topics of decarbonisation and climate risk, as well as corporate governance practices and what it deems to be materially important other environmental and/or social issues facing a company. Investments shall not knowingly include any company whose business activity involves the mining and extraction of thermal coal, where the company derives >5% revenue from such business activity.
The exceptions to the above are that the Fund may invest in labelled sustainable bonds, or other debt securities that are issued to raise capital specifically for climate-related or environmental projects, which are issued by issuers that would otherwise be subject to this fossil fuel exclusion, so long as it has been determined that the objectives of such instruments are consistent with a reduction by the issuer in its carbon emissions. Investment in such instruments will be subject to diligence by the Investment Adviser.
In addition to the above sectoral exclusions, the Investment Adviser monitors business practices of issuers on an ongoing basis, through data on ESG controversies and standards screening sourced from third party providers. The Investment Adviser will consider controversy cases that it views as being very severe based on ratings by relevant ESG data providers, and failures to comply with the UN Global Compact or the ILO fundamental principles, although
such incidents will not automatically result in exclusion from the portfolio.
The Investment Adviser also promotes good governance and social practices among sovereigns. Consequently, the Investment Adviser will not make any new investments in countries where there is evidence of significant social violations (being significant failures by the government to ensure that an individual or a group’s social rights are protected). However, any existing investments in such countries shall not necessarily need to be sold, and any countries exhibiting positive momentum with respect to such violations shall not be subject to the purchase restriction. The Investment Adviser shall disclose the methodology used to evaluate significant social violations on its website.
Further to the above, the Investment Adviser may, at its discretion, elect to apply additional ESG-related investment restrictions over time that it believes are consistent with the investment objective of the Fund. Such additional restrictions will be disclosed as they are implemented on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im.
Investments that are held by the Fund which as a result of the application of the ESG criteria above become restricted after they are acquired for the Fund, will be sold. Such sales will take place over a time period to be determined by the Investment Adviser, taking into account the best interests of the Shareholders. The Investment Adviser uses third-party data and in some cases data on specific issuers, ESG themes or the exclusions noted above may not be available and/or may be estimated by the Investment Adviser using internal methodologies or reasonable estimates. The methodologies used by different data providers may also vary and may result in different scores.
The Fund may take exposure to issuers who may not themselves contribute to the specific environmental or social characteristics promoted by the Fund such as hedging instruments, unscreened investments for diversification purposes, or investments for which data is lacking.
The Investment Adviser believes that as sustainability issues are sources of long-term risk and return, the integration of sustainability risks as outlined above may assist in enhancing the returns of the Fund over the long term. Further information in respect of the integration of sustainability risks in relation to the Company is included in the section of the Prospectus headed “General information relating to Sustainability Risks integration”.
In managing the Fund, the Investment Adviser performs macroeconomic and political research and analysis on individual countries. It considers such factors as a country’s political system and environment, fiscal policy, monetary policy, incomes policy (i.e. any government policy that affects corporate or individual
earnings in the particular country subject to the policy (such as tax policy, subsidies in particular economic sectors, minimum wage laws, or industry regulations)) and trade policy, among other factors. Based on this research and analysis, the Investment Adviser seeks to identify countries and currencies it believes have potential to outperform investments in other countries and currencies, and to anticipate changes in global economies, markets, political conditions and other factors for this purpose. The Investment Adviser selects and adjusts investments in an effort to take advantage of differences in the perceived values of countries’ currencies, interest rates and credit spreads. To implement investment decisions, the Investment Adviser selects an asset class and specific instrument that most optimally and efficiently expresses the Investment Adviser’s view of that particular country. The Investment Adviser considers the relative risk/return characteristics of prospective investments in determining the most efficient means for achieving desired exposures.
The Fund may also invest, on an ancillary basis, in Fixed Income Securities not meeting the criteria of the Fund’s primary investments, equity securities, warrants on securities, Cash Equivalents and other equity linked securities.
The Fund may invest to a limited extent in units/shares of other collective investment schemes, including the Company’s Funds and open-ended ETFs, which are eligible investments for UCITS under the 2010 Law.
The Fund may invest no more than 20% of its assets in debt securities that are not paying current income in anticipation of the receipt of possible future income or capital appreciation which are unrated or categorised as the lowest rated obligations (rated C by Moody’s or D by S&P).
The Fund may invest no more than 10% of its assets in participation notes.
The Fund may invest no more than 20% of its assets in Contingent Convertible Instruments.
The Fund may invest no more than 20% of its assets in aggregate asset-backed securities (ABS) and/or mortgage-backed securities (MBS).
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange traded and over-the-counter options, futures and other derivatives for investment or efficient portfolio management (including hedging) purposes.
The Fund is actively managed and references the J.P. Morgan Emerging Markets Bond (JEMB) Hard Currency/Local Currency
50-50 Index for the purposes of defining a geographical allocation of the countries the Fund will invest into and monitoring error relative to the benchmark. The Investment Adviser has full discretion over the composition of the assets in the Fund. While the Fund will generally hold assets within the countries referenced in the J.P. Morgan Emerging Markets Bond (JEMB) Hard Currency/ Local Currency 50-50 Index, it can invest in such securities from countries in different proportions to their allocations under the J.P. Morgan Emerging Markets Bond (JEMB) Hard Currency/Local Currency 50-50 Index, and it can hold assets which are not exposed to countries referenced in the J.P. Morgan Emerging Markets Bond (JEMB) Hard Currency/Local Currency 50-50 Index. Hence, there are no restrictions on the extent to which the Fund’s performance may deviate from the J.P. Morgan Emerging Markets Bond (JEMB) Hard Currency/Local Currency 50-50 Index.
The Fund’s performance is measured against a benchmark as detailed in the Fund’s key information document.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the Emerging Markets Debt Opportunities Fund’s investment objective it may be appropriate for investors who:
- seek to invest in Fixed Income Securities;
- seek capital appreciation over the long term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

EMERGING MARKETS DOMESTIC DEBT FUND
The Emerging Markets Domestic Debt Fund’s investment objective is to seek to maximise total return, measured in US Dollars, primarily through investment in a portfolio of Emerging Market bonds and other Emerging Market (as defined below) Fixed Income Securities, denominated in the local currency of issue. The Fund intends to invest its assets in Emerging Market Fixed Income Securities that provide a high level of current income, while at the same time holding the potential for capital appreciation.
“Emerging Market” countries, for the purposes of this Fund, are as defined by the JP Morgan Government Bond Index – Emerging Markets Global Diversified, provided that the markets of these countries are considered to be recognised exchanges (“Recognised
Exchanges”) within the meaning of Article 41(1) of the 2010 Law. As emerging markets in other countries develop, the Fund expects to expand and further diversify the emerging markets in which it primarily invests as or before such markets are added to the JP Morgan Government Bond Index – Emerging Markets Global Diversified.
To achieve its principal investment in Emerging Market countries, the Fund may invest in Fixed Income Securities of government and government-related issuers located in Emerging Markets countries (including, to the extent these instruments are securitised, participations in loans between governments and financial institutions) and Fixed Income Securities of corporate issuers located in, organised under the laws of, or which have a principal office in, Emerging Market countries, denominated in the local currency of issue (“EM Exposed Securities”).
The Fund may invest in Fixed Income Securities of entities organised to restructure outstanding debt of Emerging Market issuers.
Fixed Income Securities held by the Fund will take the form of bonds, notes, bills, debentures, convertible securities, bank debt obligations, short-term paper, mortgage and, subject to applicable law, other asset-backed securities, loan participations and loan assignments to the extent that these instruments are securitised.
The Investment Adviser applies proprietary assessment and scoring methodologies that are bespoke to Fixed Income Securities the Fund may invest in, focussed on sovereign issuance. Additionally as part of the Investment Adviser’s bottom-up, fundamental research process, and in its engagements with issuers, the Investment Adviser incorporates an assessment of sustainability-related risks and opportunities into the assessment process to determine impacts on credit fundamentals, implications for valuation and spreads, and any material aspects that may affect the trading technicalities of the Fixed Income Securities. These criteria may include, but are not limited to ESG themes such as carbon emissions, climate vulnerability, forestry conservation, life expectancy & health, education, living standards, voice & accountability, political stability, effective government, regulatory quality, rule of law, corruption, violence/terrorism. The Investment Adviser will monitor core sustainability indicators, including ESG assessments from third-party providers in order to measure and evaluate the contribution of the Fixed Income Securities to the ESG themes described above. The indicators will be measured and evaluated at least on an annual basis.
The Investment Adviser also deploys a proprietary assessment framework for labelled sustainable bonds, through which the robustness, impact and transparency of such instruments are evaluated.
The Investment Adviser promotes good governance and social practices among sovereigns. Consequently, the Investment Adviser will not make any new investments in countries where there is evidence of significant social violations. However, any existing investments in such countries shall not necessarily need to be sold, and any countries exhibiting positive momentum with respect to such violations shall not be subject to the purchase restriction. The Investment Adviser shall disclose the methodology used to evaluate significant social violations on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im.
For investments in corporate issuers specifically, investments shall not knowingly include any company whose business activity involves the following:
- manufacturing or production of controversial weapons;
- manufacturing or production of civilian firearms; and
- manufacturing or production of tobacco.

With respect to fossil fuel activities specifically, the Investment Adviser may engage company management around the topics of decarbonisation and climate risk, as well as corporate governance practices and what it deems to be materially important other environmental and/or social issues facing a company. Investments shall not knowingly include any company whose business activity involves the mining and extraction of thermal coal, where the company derives >5% revenue from such business activity.
The exception to the above is that the Fund may invest in labelled sustainable bonds, or other debt securities that are issued to raise capital specifically for climate-related or environmental projects, which are issued by issuers that would otherwise be subject to this fossil fuel exclusion, so long as it has been determined that the objectives of such instruments are consistent with a reduction by the issuer in its carbon emissions. Investment in such instruments will be subject to diligence by the Investment Adviser.
In addition to the above sectoral exclusions, the Investment Adviser monitors business practices on an ongoing basis, through data on ESG controversies and standards screening sourced from third party providers. The Investment Adviser will consider controversy cases that it views as being very severe based on ratings by relevant ESG data providers, and failures to comply with the UN Global Compact or the ILO fundamental principles, although such incidents will not automatically result in exclusion from the portfolio.
Further to the above, the Investment Adviser may, at its discretion, elect to apply additional ESG-related investment restrictions over time that it believes are consistent with its investment objectives. Such additional restrictions will be disclosed as they are implemented on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im.
Investments that are held by the Fund which as a result of the application of the ESG criteria above become restricted after they are acquired for the Fund, will be sold. Such sales will take place over a time period to be determined by the Investment Adviser, taking into account the best interests of the Shareholders of the Fund. The Investment Adviser uses third-party data and in some cases data on specific issuers, ESG themes or the exclusions noted above may not be available and/or may be estimated by the Investment Adviser using internal methodologies or reasonable estimates. The methodologies used by different data providers may also vary and may result in different scores.
The Fund may invest in issuers who may not themselves contribute to the specific environmental or social characteristics promoted by the financial product such as hedging instruments, unscreened investments for diversification purposes, or investments for which data are lacking.
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange traded and over-the-counter options, futures and other derivatives for investment or efficient portfolio management (including hedging) purposes.
The Fund may also invest on an ancillary basis in the aforementioned classes of Fixed Income Securities where such securities are issued by issuers organised under the laws of and located (1) neither in Developed Market (for the purposes of this Fund, as defined by the JP Morgan Government Bond Index – Emerging Markets Global Diversified) countries nor Emerging Market countries; or (2) in Developed Market countries, but where the Fixed Income Securities are not EM Exposed Securities.
In addition, the Fund may invest on an ancillary basis in Fixed Income Securities which are not denominated in the local currency of issue, provided that for temporary defensive purposes, during periods in which the Company believes changes in economic, financial or political conditions make it advisable, the Fund may reduce its holdings denominated in the local Emerging Market currency of issue to below 50% of the Fund’s assets and invest in eligible Fixed Income Securities denominated in the currencies of Developed Market countries.
The Fund may also invest, to a limited extent, in warrants on transferable securities issued by issuers in Emerging Market countries and in open-ended ETFs provided that any such ETFs are eligible investments for UCITS funds.
The Fund may invest no more than 20% of its assets in Contingent Convertible Instruments.
The Fund may invest in Fixed Income Securities acquired on the China Interbank Bond Market. No more than 20% of the Fund’s assets will be invested in such securities.
The Fund is actively managed and references the JP Morgan Government Bond Index – Emerging Markets Global Diversified for the purpose of defining a geographical allocation of the countries the Fund will invest into. The Investment Adviser has full discretion over the composition of the assets in the Fund. While the Fund will generally hold assets within the countries referenced in the JP Morgan Government Bond Index – Emerging Markets Global Diversified, it can invest in such securities from countries in different proportions to their allocations under the JP Morgan Government Bond Index – Emerging Markets Global Diversified, and it can hold assets which are not exposed to countries referenced in the JP Morgan Government Bond Index – Emerging Markets Global Diversified. Hence, there are no restrictions on the extent to which the Fund’s performance may deviate from the JP Morgan Government Bond Index – Emerging Markets Global Diversified. The JP Morgan Government Bond Index – Emerging Markets Global Diversified is used for performance comparison purposes only and does not integrate environmental or social characteristics.
The Fund’s performance is measured against a benchmark as detailed in the Fund’s key investor information document.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the Emerging Markets Domestic Debt Fund’s investment objective it may be appropriate for investors who:
- seek to invest in Fixed Income Securities in Emerging Markets;
- seek capital appreciation over the medium term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”, specifically the risks relating to Emerging Markets and in particular Fixed Income Securities denominated in the currency of the countries of investment.

EMERGING MARKETS FIXED INCOME OPPORTUNITIES FUND
The Emerging Markets Fixed Income Opportunities Fund’s investment objective is to seek to maximise total return, measured in US Dollars, primarily through investment in the Fixed Income Securities of issuers located in Emerging Market Countries or issues denominated in the currencies of Emerging Market Countries. The Fund intends to invest its assets in Emerging Market countries’ Fixed Income Securities that provide a high level of current income, while at the same time holding the potential for capital appreciation.
“Emerging Market” countries, for the purposes of this Fund, are any countries included in JP Morgan Emerging Markets Blended Index – Equally Weighted which is an equally weighted index of JP Morgan Emerging Market Bond Index Global Diversified, JP Morgan Corporate Emerging Market Bond Index Broad Diversified and JP Morgan Government Bond Index – Emerging Markets Global Diversified Index, provided that the markets of these countries are considered to be recognised exchanges (“Recognised Exchanges”) within the meaning of Article 41(1) of the 2010 Law. For the avoidance of doubt, an investment in an issue included in this index will constitute an investment within the primary investment strategy of the Fund. As markets in other countries develop, the Fund expects to expand and further diversify the emerging markets in which it primarily invests as such markets are added to this index.
To achieve its principal investment in Emerging Market countries, the Fund may also invest in the Fixed Income Securities of companies organised and located in Developed Market countries (for the purpose of this Fund, as defined by the JP Morgan Government Bond Index) where the value of the company’s securities will reflect principally conditions in an Emerging Market country or where the principal securities trading market for such is in an Emerging Market country, or where 50% of the company’s revenue alone or on a consolidated basis is derived from either goods produced, sales made or services performed in Emerging Market countries (“EM Exposed Securities”).
The Fund may invest in Fixed Income Securities of issuers organised to restructure outstanding debt of Emerging Market issuers.
The Investment Adviser applies proprietary assessment and scoring methodologies that are bespoke to Fixed Income Securities the Fund may invest in, focussed on corporate, sovereign and securitized issuance. Additionally as part of the Investment Adviser’s bottom- up, fundamental research process, and in its engagements with issuers, the Investment Adviser incorporates an assessment of sustainability-related risks and opportunities into the assessment process to determine impacts on credit fundamentals, implications for valuation and spreads, and any material aspects that may affect the trading technicalities of the Fixed Income Securities. These
criteria may include, but are not limited to ESG themes such as decarbonisation & climate risk, circular economy & waste reduction, diverse & inclusive business and decent work & resilient jobs. The Investment Adviser will monitor core sustainability indicators, including environmental, social and governance assessments from third-party providers, and carbon footprint (measured by carbon intensity, defined as tonnes of CO2 per $1 million revenue for the proportion of the Fund invested in bonds issued by corporates) in order to measure and evaluate the contribution of the Fixed Income Securities to the ESG themes described above. The indicators will be measured and evaluated at least on an annual basis.
The Investment Adviser also deploys a proprietary assessment framework for labelled sustainable bonds, through which the robustness, impact and transparency of such instruments are evaluated.
The Investment Adviser promotes the low carbon transition through excluding corporate issuers for which thermal coal production is a core business, and promotes human life through excluding products that are detrimental to health and wellbeing, specifically tobacco, controversial weapons and civilian firearms manufacturing. Accordingly investments shall not knowingly include any company whose business activity involves the following:
- manufacturing or production of controversial weapons;
- manufacturing or production of civilian firearms; and
- manufacturing or production of tobacco.

With respect to fossil fuel activities specifically, the Investment Adviser may engage company management around the topics of decarbonisation and climate risk, as well as corporate governance practices and what it deems to be materially important other environmental and/or social issues facing a company. Investments shall not knowingly include any company whose business activity involves the mining and extraction of thermal coal, where the company derives >5% revenue from such business activity.
The exceptions to the above is that the Fund may invest in labelled sustainable bonds, or other debt securities that are issued to raise capital specifically for climate-related or environmental projects, which are issued by issuers that would otherwise be subject to this fossil fuel exclusion, so long as it has been determined that the objectives of such instruments are consistent with a reduction by the issuer in its carbon emissions. Investment in such instruments will be subject to diligence by the Investment Adviser. The Fund may invest in issuers who may not themselves contribute to the specific environmental or social characteristics promoted by the financial product such as hedging instruments, unscreened investments for diversification purposes, or investments for which data are lacking.
In addition to the above sectoral exclusions, the Investment Adviser monitors business practices on an ongoing basis, through data on ESG controversies and standards screening sourced from third party providers. The Investment Adviser will consider controversy cases that it views as being very severe based on ratings by relevant ESG data providers, and failures to comply with the UN Global Compact or the ILO fundamental principles, although such incidents will not automatically result in exclusion from the portfolio.
Further to the above, the Investment Adviser may, at its discretion, elect to apply additional ESG-related investment restrictions over time that it believes are consistent with its investment objectives. Such additional restrictions will be disclosed as they are implemented on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im.
Investments that are held by the Fund which as a result of the application of the ESG criteria above become restricted after they are acquired for the Fund, will be sold. Such sales will take place over a time period to be determined by the Investment Adviser, taking into account the best interests of the Shareholders of the Fund. The Investment Adviser uses third-party data and in some cases data on specific issuers, ESG themes or the exclusions noted above may not be available and/or may be estimated by the Investment Adviser using internal methodologies or reasonable estimates. The methodologies used by different data providers may also vary and may result in different scores.
The Fund may invest on an ancillary basis in Fixed Income Securities issued by issuers organised and located (1) in neither Developed Market countries nor Emerging Market countries; or
(2) in Developed Market countries but the securities are not EM Exposed Securities.
The Fund may invest in Fixed Income Securities acquired on the China Interbank Bond Market. No more than 20% of the Fund’s assets will be invested in such securities.
The Fund may invest to a limited extent in units/shares of other collective investment schemes, including the Company’s Funds and open-ended ETFs provided that any ETFs are eligible investments for UCITS funds.
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange traded and over-the-counter options, futures and other derivatives for investment or efficient portfolio management (including hedging) purposes.
The Fund may invest no more than 20% of its assets in Contingent Convertible Instruments.
The Fund is actively managed and references the JP Morgan Emerging Markets Blended Index – Equally Weighted for the purpose of defining a geographical allocation of the countries the Fund will invest into. The Investment Adviser has full discretion over the composition of the assets in the Fund. While the Fund will generally hold assets within the countries referenced in the JP Morgan Emerging Markets Blended Index – Equally Weighted, it can invest in such securities from countries in different proportions, and it can hold assets which are not exposed to countries referenced in the JP Morgan Emerging Markets Blended Index – Equally Weighted. Hence, there are no restrictions on the extent to which the Fund’s performance may deviate from the JP Morgan Emerging Markets Blended Index – Equally Weighted.
The Fund’s performance is measured against a benchmark as detailed in the Fund’s key investor information document.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the Emerging Markets Fixed Income Opportunities Fund’s investment objective it may be appropriate for investors who:
- seek to invest in Fixed Income Securities;
- seek capital appreciation over the medium term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

EMERGING MARKETS LOCAL INCOME FUND
The Emerging Markets Local Income Fund’s investment objective is to generate total return, which is defined as income plus capital appreciation, by establishing a locally denominated Emerging Markets (as defined below) debt pool through currencies and interest rates, while investing primarily in: (i) Fixed Income Securities of corporate, government and government related issuers Located in Emerging Market countries or denominated in currencies of Emerging Markets countries and/or (ii) derivative instruments, denominated in or based on the currencies, interest rates, or issues of, Emerging Market countries.
For the purposes of this Fund, “Emerging Markets” countries are defined to include any country that did not become a member of
the OECD prior to 1975 and Turkey. Emerging market countries include so-called frontier market countries, which generally are considered by the Investment Adviser to be less developed countries that: (i) are not included in the J.P. Morgan Government Bond Index: Emerging Market (JPM GBI-EM) Global Diversified; or (ii) represent 2% or less of the J.P. Morgan Government Bond Index: Emerging Market (JPM GBI-EM) Global Diversified.
The Fund may have significant investment in a geographic region or country. It is not intended that the Fund will have a particular sector or industry focus.
Fixed Income Securities held by the Fund will take the form of sovereign bonds and debentures, mortgage-backed securities and asset-backed securities, convertible debt securities, municipal obligations, corporate bonds and debentures, fixed-income and floating rate debt securities and, to a limited extent, participation notes. Fixed Income Securities may include zero coupon bonds, preferred stocks, deferred interest bonds and notes and bonds and notes on which the interest is payable in the form of additional eligible stocks, bonds or notes of the same kind (“Payment-in-Kind (PIK) securities”).
The Fund may invest in instruments of any credit rating, including those rated below investment grade (rated below BBB by either Standard & Poor’s Ratings Services or Fitch Ratings, or below Baa by Moody’s Investors Service, Inc.) or in unrated instrument considered to be of comparable quality by the Investment Adviser.
The investment process and strategy seeks to identify local emerging markets and their currencies that will outperform on a relative basis other comparable emerging markets and their currencies. The principal risk factors in analysing emerging markets debt are credit, duration, foreign exchange, and sustainability risk. Any or all of these factors may be identified as having the potential to contribute to outperformance. Therefore, in some cases, the Investment Manager will take the view that a country’s currency will appreciate and will seek to obtain exposure to that currency through the derivative instruments referenced above or investment in the securities denominated in such currency.
In evaluating the Fixed Income Securities issued by emerging market corporates and in its engagement with issuers, the Investment Adviser incorporates an assessment of sustainability- related risks and opportunities into the assessment process to determine impacts on credit fundamentals, implications for valuation and spreads, currency and duration / local rates, and any material aspects that may affect the trading technicalities of the Fixed Income Securities. These criteria may include, but are not limited to environmental, social and governance (“
ESG
”) themes such as carbon emissions, climate vulnerability, forestry conservation, life expectancy & health, education, living standards, voice & accountability, political stability, effective government,
regulatory quality, rule of law, corruption, and violence/terrorism. The Investment Adviser will monitor core sustainability indicators, including ESG assessments from third-party providers, in order to measure and evaluate the contribution of the Fixed Income Securities to the ESG themes described above. The indicators will be measured and evaluated at least annually.
The Investment Adviser also deploys a proprietary assessment framework for labelled sustainable bonds, through which the robustness, impact and transparency of such instruments are evaluated.
The Investment Adviser promotes good governance and social practices among corporate issuers. Consequently, the Investment Adviser will not make any new investments in issuers where there is evidence that the relevant issuer has engaged in significant social violations (being activities which infringe significantly on an individual or a group’s rights). However, any existing investments in such issuers shall not necessarily need to be sold, and any issuers exhibiting positive momentum with respect to such violations shall not be subject to the purchase restriction. The methodology used by the Investment Adviser to evaluate significant social violations shall be disclosed on the following websites: www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im.
With respect to investment in Fixed Income Securities issued by corporates, investments shall not knowingly include any company whose business activity involves the following:
- manufacturing or production of controversial weapons;
- manufacturing or production of civilian firearms; and
- manufacturing or production of tobacco.

With respect to fossil fuel activities specifically, the Investment Adviser may engage company management around the topics of decarbonisation and climate risk, as well as corporate governance practices and what it deems to be materially important other environmental and/or social issues facing a company. Investments shall not knowingly include any company whose business activity involves the mining and extraction of thermal coal, where the company derives >5% revenue from such business activity.
The exceptions to the above are that the Fund may invest in labelled sustainable bonds, or other debt securities that are issued to raise capital specifically for climate-related or environmental projects, which are issued by issuers that would otherwise be subject to this fossil fuel exclusion, so long as it has been determined that the objectives of such instruments are consistent with a reduction by the issuer in its carbon emissions. Investment in such instruments will be subject to diligence by the Investment Adviser.
In addition to the above sectoral exclusions, the Investment Adviser monitors business practices of issuers on an ongoing basis, through data on ESG controversies and standards screening sourced from third party providers. The Investment Adviser will consider controversy cases that it views as being very severe based on ratings by relevant ESG data providers, and failures to comply with the UN Global Compact or the ILO fundamental principles, although such incidents will not automatically result in exclusion from the portfolio.
The Investment Adviser also promotes good governance and social practices among sovereigns. Consequently, the Investment Adviser will not make any new investments in countries where there is evidence of significant social violations (being significant failures by the government to ensure that an individual or a group’s social rights are protected). However, any existing investments in such countries shall not necessarily need to be sold, and any countries exhibiting positive momentum with respect to such violations shall not be subject to the purchase restriction. The Investment Adviser shall disclose the methodology used to evaluate significant social violations on its website.
Further to the above, the Investment Adviser may, at its discretion, elect to apply additional ESG-related investment restrictions over time that it believes are consistent with the investment objective of the Fund. Such additional restrictions will be disclosed as they are implemented on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im.
Investments that are held by the Fund which as a result of the application of the ESG criteria above become restricted after they are acquired for the Fund, will be sold. Such sales will take place over a time period to be determined by the Investment Adviser, taking into account the best interests of the Shareholders. The Investment Adviser uses third-party data and in some cases data on specific issuers, ESG themes or the exclusions noted above may not be available and/or may be estimated by the Investment Adviser using internal methodologies or reasonable estimates. The methodologies used by different data providers may also vary and may result in different scores.
The Fund may take exposure to issuers who may not themselves contribute to the specific environmental or social characteristics promoted by the Fund such as hedging instruments, unscreened investments for diversification purposes, or investments for which data is lacking.
The Investment Adviser believes that as sustainability issues are sources of long-term risk and return, the integration of sustainability risks as outlined above may assist in enhancing the returns of the Fund over the long term. Further information in respect of the integration of sustainability risks in relation to the Company is included in the section of the Prospectus headed “General information relating to Sustainability Risks integration”.
In managing the Fund, the Investment Adviser performs macroeconomic and political research and analysis on individual countries. It considers such factors as a country’s political system and environment, fiscal policy, monetary policy, incomes policy (i.e. any government policy that affects corporate or individual earnings in the particular country subject to the policy (such as tax policy, subsidies in particular economic sectors, minimum wage laws, or industry regulations)) and trade policy, among other factors. Based on this research and analysis, the Investment Adviser seeks to identify countries and currencies it believes have potential to outperform investments in other countries and currencies, and to anticipate changes in global economies, markets, political conditions and other factors for this purpose. The Investment Adviser selects and adjusts investments in an effort to take advantage of differences in the perceived values of countries’ currencies, interest rates and credit spreads. To implement investment decisions, the Investment Adviser selects an asset class and specific instrument that most optimally and efficiently expresses the Investment Adviser’s view of that particular country. The Investment Adviser considers the relative risk/return characteristics of prospective investments in determining the most efficient means for achieving desired exposures.
The Fund may invest no more than 20% of its assets in debt securities that are not paying current income in anticipation of the receipt of possible future income or capital appreciation which are unrated or categorised as the lowest rated obligations (rated C by Moody’s or D by S&P).
The Fund may invest no more than 20% of its assets in aggregate in asset-backed securities (ABS) and/or mortgage-backed securities (MBS).
The Fund may invest to a limited extent in units/shares of other collective investment schemes, including the Company’s Funds and open-ended ETFs, which are eligible investments for UCITS under the 2010 Law.
The Fund may also invest, on an ancillary basis, in Fixed Income Securities not meeting the criteria of the Fund’s primary investments, equity securities, warrants on securities, Cash Equivalents and other equity linked securities.
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange traded and over-the-counter options, futures and other derivatives for investment or efficient portfolio management (including hedging) purposes.
The Fund is actively managed and references the J.P. Morgan Government Bond Index: Emerging Market (JPM GBI-EM) Global Diversified for the purposes of defining a geographical
allocation of the countries the Fund will invest into and monitoring error relative to the benchmark. The Investment Adviser has full discretion over the composition of the assets in the Fund. While the Fund will generally hold assets within the countries referenced in the J.P. Morgan Government Bond Index: Emerging Market (JPM GBI-EM) Global Diversified, it can invest in such securities from countries in different proportions to their allocations under the J.P. Morgan Government Bond Index: Emerging Market (JPM GBI- EM) Global Diversified, and it can hold assets which are not exposed to countries referenced in the J.P. Morgan Government Bond Index: Emerging Market (JPM GBI-EM) Global Diversified. Hence, there are no restrictions on the extent to which the Fund’s performance may deviate from the J.P. Morgan Government Bond Index: Emerging Market (JPM GBI-EM) Global Diversified.
The Fund’s performance is measured against a benchmark as detailed in the Fund’s key information document.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the Emerging Markets Local Income Fund’s investment objective it may be appropriate for investors who:
- seek to invest in Fixed Income Securities;
- seek capital appreciation over the long term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

EURO BOND FUND
The Euro Bond Fund’s investment objective is to provide an attractive rate of relative return, measured in Euro.
The Fund will invest primarily in Euro denominated Fixed Income Securities whether issued by corporations, governments or government guaranteed issuers. With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange traded and over-the-counter options, futures and other derivatives for investment or efficient portfolio management (including hedging) purposes.
The Fund will not invest in any securities that are rated below B- (or below BBB- in the case of asset-backed securities, including mortgage-backed securities) by Standard & Poor’s Corporation (“S&P”) or an equivalent rating from another rating agency or an equivalent internal rating from the Investment Adviser as at the date of investment. In the event that any securities held by the Fund are subsequently downgraded to a rating below B- (or below BBB- in the case of asset-backed securities, including mortgage- backed securities), the Investment Adviser may maintain a maximum total exposure of 3% of the Fund’s Net Asset Value to such downgraded securities but will divest any such security that has not been upgraded to a rating of at least B- within six months of its downgrade.
The Investment Adviser applies proprietary assessment and scoring methodologies that are bespoke to Fixed Income Securities the Fund may invest in, focussed on corporate, sovereign and securitized issuance. Additionally as part of the Investment Adviser’s bottom- up, fundamental research process, and in its engagements with issuers, the Investment Adviser incorporates an assessment of sustainability-related risks and opportunities into the assessment process to determine impacts on credit fundamentals, implications for valuation and spreads, and any material aspects that may affect the trading technicalities of the Fixed Income Securities. These criteria may include, but are not limited to ESG themes such as decarbonisation & climate risk, circular economy & waste reduction, diverse & inclusive business and decent work & resilient jobs. The Investment Adviser will monitor core sustainability indicators, including environmental, social and governance assessments from third-party providers, and carbon footprint (measured by carbon intensity, defined as tonnes of CO2 per $1 million revenue for the proportion of the Fund invested in bonds issued by corporates) in order to measure and evaluate the contribution of the Fixed Income Securities to the ESG themes described above. The indicators will be measured and evaluated at least on an annual basis.
The Investment Adviser also deploys a proprietary assessment framework for labelled sustainable bonds, through which the robustness, impact and transparency of such instruments are evaluated.
The Investment Adviser promotes the low carbon transition through excluding corporate issuers for which thermal coal production is a core business, and promotes human life through excluding products that are detrimental to health and wellbeing, specifically tobacco, controversial weapons and civilian firearms manufacturing. Accordingly, investments shall not knowingly include any company whose business activity involves the following:
- manufacturing or production of controversial weapons;
- manufacturing or production of civilian firearms; and
- manufacturing or production of tobacco.

With respect to fossil fuel activities specifically, the Investment Adviser may engage company management around the topics of decarbonisation and climate risk, as well as corporate governance practices and what it deems to be materially important other environmental and/or social issues facing a company. Investments shall not knowingly include any company whose business activity involves the mining and extraction of thermal coal, where the company derives >5% revenue from such business activity.
The exceptions to the above is that the Fund may invest in labelled sustainable bonds, or other debt securities that are issued to raise capital specifically for climate-related or environmental projects, which are issued by issuers that would otherwise be subject to this fossil fuel exclusion, so long as it has been determined that the objectives of such instruments are consistent with a reduction by the issuer in its carbon emissions. Investment in such instruments will be subject to diligence by the Investment Adviser. The Fund may invest in issuers who may not themselves contribute to the specific environmental or social characteristics promoted by the financial product such as hedging instruments, unscreened investments for diversification purposes, or investments for which data are lacking.
In addition to the above sectoral exclusions, the Investment Adviser monitors business practices on an ongoing basis, through data on ESG controversies and standards screening sourced from third party providers. The Investment Adviser will consider controversy cases that it views as being very severe based on ratings by relevant ESG data providers, and failures to comply with the UN Global Compact or the ILO fundamental principles, although such incidents will not automatically result in exclusion from the portfolio.
Further to the above, the Investment Adviser may, at its discretion, elect to apply additional ESG-related investment restrictions over time that it believes are consistent with its investment objectives. Such additional restrictions will be disclosed as they are implemented on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im.
Investments that are held by the Fund which as a result of the application of the ESG criteria above become restricted after they are acquired for the Fund, will be sold. Such sales will take place over a time period to be determined by the Investment Adviser, taking into account the best interests of the Shareholders of the Fund. The Investment Adviser uses third-party data and in some cases data on specific issuers, ESG themes or the exclusions noted above may not be available and/or may be estimated by the Investment Adviser using internal methodologies or reasonable estimates. The methodologies used by different data providers may also vary and may result in different scores.
The Fund may invest no more than 20% of its assets in Contingent Convertible Instruments.
The Fund may invest to a limited extent in open-ended ETFs provided that any ETFs are eligible investments for UCITS funds.
The Fund is actively managed and is not designed to track a benchmark. The Fund’s performance is measured against a benchmark as detailed in the Fund’s key investor information document.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the Euro Bond Fund’s investment objective it may be appropriate for investors who:
- seek to invest in Fixed Income Securities;
- seek capital appreciation over the medium term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

EURO CORPORATE BOND FUND
The Euro Corporate Bond Fund’s investment objective is to provide an attractive rate of relative return, measured in Euro.
The Fund will invest primarily in Euro denominated Fixed Income Securities, issued by corporations and other non-government related issuers (“Corporate Bonds”). With a view to enhancing returns and/ or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange traded and over-the-counter options, futures and other derivatives for investment or efficient portfolio management (including hedging) purposes.
The Fund will not invest in any securities that are rated below B- (or below BBB- in the case of asset-backed securities, including mortgage-backed securities) by Standard & Poor’s Corporation (“S&P”) or an equivalent rating from another rating agency or an equivalent internal rating from the Investment Adviser as at the date of investment. In the event that any securities held by the Fund are subsequently downgraded to a rating below B- (or below BBB- in the case of asset-backed securities, including mortgage-backed securities), the Investment Adviser may maintain a maximum total exposure of 3% of the Fund’s Net Asset Value to such downgraded securities but will divest any such security that has not been upgraded to a rating of at least B- within six months of its downgrade.
The Investment Adviser applies proprietary assessment and scoring methodologies that are bespoke to Fixed Income Securities the Fund may invest in, focussed on corporate, sovereign and securitized issuance. Additionally as part of the Investment Adviser’s bottom-up, fundamental research process, and in its engagements with issuers, the Investment Adviser incorporates an assessment of sustainability- related risks and opportunities into the assessment process to determine impacts on credit fundamentals, implications for valuation and spreads, and any material aspects that may affect the trading technicalities of the Fixed Income Securities. These criteria may include, but are not limited to ESG themes such as decarbonisation & climate risk, circular economy & waste reduction, diverse & inclusive business and decent work & resilient jobs. The Investment Adviser will monitor core sustainability indicators, including environmental, social and governance assessments from third-party providers, and carbon footprint (measured by carbon intensity, defined as tonnes of CO2 per $1 million revenue for the proportion of the Fund invested in bonds issued by corporates) in order to measure and evaluate the contribution of the Fixed Income Securities to the ESG themes described above. The indicators will be measured and evaluated at least on an annual basis.
The Investment Adviser also deploys a proprietary assessment framework for labelled sustainable bonds, through which the robustness, impact and transparency of such instruments are evaluated.
The Investment Adviser promotes the low carbon transition through excluding corporate issuers for which thermal coal production is a core business, and promotes human life through excluding products that are detrimental to health and wellbeing, specifically tobacco, controversial weapons and civilian firearms manufacturing. Accordingly, investments shall not knowingly include any company whose business activity involves the following:
- manufacturing or production of controversial weapons;
- manufacturing or production of civilian firearms; and
- manufacturing or production of tobacco.

With respect to fossil fuel activities specifically, the Investment Adviser may engage company management around the topics of decarbonisation and climate risk, as well as corporate governance practices and what it deems to be materially important other environmental and/or social issues facing a company. Investments shall not knowingly include any company whose business activity involves the mining and extraction of thermal coal, where the company derives >5% revenue from such business activity.
The exceptions to the above is that the Fund may invest in labelled sustainable bonds, or other debt securities that are issued to raise capital specifically for climate-related or environmental projects, which are issued by issuers that would otherwise be subject to this
fossil fuel exclusion, so long as it has been determined that the objectives of such instruments are consistent with a reduction by the issuer in its carbon emissions. Investment in such instruments will be subject to diligence by the Investment Adviser. The Fund may invest in issuers who may not themselves contribute to the specific environmental or social characteristics promoted by the financial product such as hedging instruments, unscreened investments for diversification purposes, or investments for which data are lacking.
In addition to the above sectoral exclusions, the Investment Adviser monitors business practices on an ongoing basis, through data on ESG controversies and standards screening sourced from third party providers. The Investment Adviser will consider controversy cases that it views as being very severe based on ratings by relevant ESG data providers, and failures to comply with the UN Global Compact or the ILO fundamental principles, although such incidents will not automatically result in exclusion from the portfolio.
Further to the above, the Investment Adviser may, at its discretion, elect to apply additional ESG-related investment restrictions over time that it believes are consistent with its investment objectives. Such additional restrictions will be disclosed as they are implemented on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im.
Investments that are held by the Fund which as a result of the application of the ESG criteria above become restricted after they are acquired for the Fund, will be sold. Such sales will take place over a time period to be determined by the Investment Adviser, taking into account the best interests of the Shareholders of the Fund. The Investment Adviser uses third-party data and in some cases data on specific issuers, ESG themes or the exclusions noted above may not be available and/or may be estimated by the Investment Adviser using internal methodologies or reasonable estimates. The methodologies used by different data providers may also vary and may result in different scores.
The Fund may, on an ancillary basis, invest in:
- Non-Euro denominated Fixed Income Securities. In accordance with Appendix A “Investment Powers and Restrictions” non- Euro currency exposure may be hedged back to the Euro.
- Fixed Income Securities that are not Corporate Bonds.

The Fund may invest no more than 20% of its assets in Contingent Convertible Instruments.
The Fund may invest in Fixed Income Securities acquired on the China Interbank Bond Market. No more than 10% of the Fund’s assets will be invested in such securities.
The Fund may invest to a limited extent in units/shares of other collective investment schemes, including the Company’s Funds and open-ended ETFs provided that any ETFs are eligible investments for UCITS funds.
The Fund is actively managed and is not designed to track a benchmark. The Fund’s performance is measured against a benchmark as detailed in the Fund’s key investor information document.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the Euro Corporate Bond Fund’s investment objective it may be appropriate for investors who:
- seek to invest in Fixed Income Securities;
- seek capital appreciation over the medium term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

EURO CORPORATE BOND – DURATION HEDGED FUND
The Euro Corporate Bond – Duration Hedged Fund’s investment objective is to provide an attractive rate of return, measured in Euro, while seeking to reduce the Fund’s exposure to market interest rate movements.
Duration is a measure of the sensitivity of the price of a debt security to changes in interest rates. Duration risk is the risk that an investment’s value will change due to changes in interest rates. The value of debt securities will generally increase when interest rates fall and decrease when interest rates rise. The Fund seeks to reduce its exposure to market interest rate movements by hedging the duration of the Fund.
The Fund will invest primarily in high quality issues of Euro denominated Fixed Income Securities, issued by corporations and other non-government related issuers (“Corporate Bonds”).
The Investment Adviser applies proprietary assessment and scoring methodologies that are bespoke to Fixed Income Securities the Fund may invest in, focussed on corporate, sovereign and securitized issuance. Additionally as part of the Investment Adviser’s bottom- up, fundamental research process, and in its engagements with issuers, the Investment Adviser incorporates an assessment of
sustainability-related risks and opportunities into the assessment process to determine impacts on credit fundamentals, implications for valuation and spreads, and any material aspects that may affect the trading technicalities of the Fixed Income Securities. These criteria may include, but are not limited to ESG themes such as decarbonisation & climate risk, circular economy & waste reduction, diverse & inclusive business and decent work & resilient jobs. The Investment Adviser will monitor core sustainability indicators, including environmental, social and governance assessments from third-party providers, and carbon footprint (measured by carbon intensity, defined as tonnes of CO2 per $1 million revenue for the proportion of the Fund invested in bonds issued by corporates) in order to measure and evaluate the contribution of the Fixed Income Securities to the ESG themes described above. The indicators will be measured and evaluated at least on an annual basis.
The Investment Adviser also deploys a proprietary assessment framework for labelled sustainable bonds, through which the robustness, impact and transparency of such instruments are evaluated.
The Investment Adviser promotes the low carbon transition through excluding corporate issuers for which thermal coal production is a core business, and promotes human life through excluding products that are detrimental to health and wellbeing, specifically tobacco, controversial weapons and civilian firearms manufacturing. Accordingly, investments shall not knowingly include any company whose business activity involves the following:
- manufacturing or production of controversial weapons;
- manufacturing or production of civilian firearms; and
- manufacturing or production of tobacco.

With respect to fossil fuel activities specifically, the Investment Adviser may engage company management around the topics of decarbonisation and climate risk, as well as corporate governance practices and what it deems to be materially important other environmental and/or social issues facing a company. Investments shall not knowingly include any company whose business activity involves the mining and extraction of thermal coal, where the company derives >5% revenue from such business activity.
The exceptions to the above is that the Fund may invest in labelled sustainable bonds, or other debt securities that are issued to raise capital specifically for climate-related or environmental projects, which are issued by issuers that would otherwise be subject to this fossil fuel exclusion, so long as it has been determined that the objectives of such instruments are consistent with a reduction by the issuer in its carbon emissions. Investment in such instruments will be subject to diligence by the Investment Adviser. The Fund may invest in issuers who may not themselves contribute to the specific environmental or social characteristics promoted by the
financial product such as hedging instruments, unscreened investments for diversification purposes, or investments for which data are lacking.
In addition to the above sectoral exclusions, the Investment Adviser monitors business practices on an ongoing basis, through data on ESG controversies and standards screening sourced from third party providers. The Investment Adviser will consider controversy cases that it views as being very severe based on ratings by relevant ESG data providers, and failures to comply with the UN Global Compact or the ILO fundamental principles, although such incidents will not automatically result in exclusion from the portfolio.
Further to the above, the Investment Adviser may, at its discretion, elect to apply additional ESG-related investment restrictions over time that it believes are consistent with its investment objectives. Such additional restrictions will be disclosed as they are implemented on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im.
Investments that are held by the Fund which as a result of the application of the ESG criteria above become restricted after they are acquired for the Fund, will be sold. Such sales will take place over a time period to be determined by the Investment Adviser, taking into account the best interests of the Shareholders of the Fund. The Investment Adviser uses third-party data and in some cases data on specific issuers, ESG themes or the exclusions noted above may not be available and/or may be estimated by the Investment Adviser using internal methodologies or reasonable estimates. The methodologies used by different data providers may also vary and may result in different scores.
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange traded and over-the-counter options, futures and other derivatives for investment or efficient portfolio management (including hedging) purposes.
Securities will be deemed to be high quality if at the time of purchase they are rated either “BBB-” or better by S&P or “Baa3” or better by Moody’s or similarly rated by another internationally recognised rating service or determined to be of similar creditworthiness by the Investment Adviser. The Fund may continue to hold such securities that are downgraded after purchase but it will not hold securitised bonds downgraded below “BBB-” by S&P or “Baa3” by Moody’s and/or other securities downgraded below “B-” by S&P or “B3” by Moody’s, or, in each case, a similar rating by another internationally recognised rating service or determined to be of similar creditworthiness by the Investment Adviser. The Fund may not make additional purchases of securities that are downgraded.
The Fund may, on an ancillary basis, invest in:
- Corporate Bonds which at the time of purchase are rated either lower than “BBB-” by S&P or “Baa3” by Moody’s or similarly by another internationally recognised rating service or determined to be of similar creditworthiness by the Investment Adviser.
- Non-Euro denominated Fixed Income Securities. In accordance with Appendix A “Investment Powers and Restrictions” non- Euro currency exposure may be hedged back to the Euro.
- Fixed Income Securities that are not Corporate Bonds.

The Fund may invest no more than 20% of its assets in Contingent Convertible Instruments.
The Fund may invest no more that 20% of its assets in mortgage- backed securities or assets backed securities.
The Fund may invest in Fixed Income Securities acquired on the China Interbank Bond Market. No more than 10% of the Fund’s assets will be invested in such securities.
The Fund may invest to a limited extent in units/shares of other collective investment schemes, including the Company’s Funds and open-ended ETFs provided that any ETFs are eligible investments for UCITS funds.
The Fund is actively managed and the composition of the portfolio holdings is not constrained by any benchmarks.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the Euro Corporate Bond – Duration Hedged Fund’s investment objective it may be appropriate for investors who:
- seek to invest in Fixed Income Securities;
- seek capital appreciation over the medium term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

EURO STRATEGIC BOND FUND
The Euro Strategic Bond Fund’s investment objective is to provide an attractive rate of relative return, measured in Euro.
The Fund will invest primarily in issues of Euro denominated Fixed Income Securities whether issued by corporations, government or government guaranteed issuers, and subject to applicable law, in asset-backed securities, loan participations and loan assignments, to the extent that these instruments are securitised.
The Investment Adviser applies proprietary assessment and scoring methodologies that are bespoke to Fixed Income Securities the Fund may invest in, focussed on corporate, sovereign and securitized issuance. Additionally as part of the Investment Adviser’s bottom- up, fundamental research process, and in its engagements with issuers, the Investment Adviser incorporates an assessment of sustainability-related risks and opportunities into the assessment process to determine impacts on credit fundamentals, implications for valuation and spreads, and any material aspects that may affect the trading technicalities of the Fixed Income Securities. These criteria may include, but are not limited to ESG themes such as decarbonisation & climate risk, circular economy & waste reduction, diverse & inclusive business and decent work & resilient jobs. The Investment Adviser will monitor core sustainability indicators, including environmental, social and governance assessments from third-party providers, and carbon footprint (measured by carbon intensity, defined as tonnes of CO2 per $1 million revenue for the proportion of the Fund invested in bonds issued by corporates) in order to measure and evaluate the contribution of the Fixed Income Securities to the ESG themes described above. The indicators will be measured and evaluated at least on an annual basis.
The Investment Adviser also deploys a proprietary assessment framework for labelled sustainable bonds, through which the robustness, impact and transparency of such instruments are evaluated.
The Investment Adviser promotes the low carbon transition through excluding corporate issuers for which thermal coal production is a core business, and promotes human life through excluding products that are detrimental to health and wellbeing, specifically tobacco, controversial weapons and civilian firearms manufacturing. Accordingly, investments shall not knowingly include any company whose business activity involves the following:
- manufacturing or production of controversial weapons;
- manufacturing or production of civilian firearms; and
- manufacturing or production of tobacco.

With respect to fossil fuel activities specifically, the Investment Adviser may engage company management around the topics of decarbonisation and climate risk, as well as corporate governance practices and what it deems to be materially important other environmental and/or social issues facing a company. Investments
shall not knowingly include any company whose business activity involves the mining and extraction of thermal coal, where the company derives >5% revenue from such business activity.
The exceptions to the above is that the Fund may invest in labelled sustainable bonds, or other debt securities that are issued to raise capital specifically for climate-related or environmental projects, which are issued by issuers that would otherwise be subject to this fossil fuel exclusion, so long as it has been determined that the objectives of such instruments are consistent with a reduction by the issuer in its carbon emissions. Investment in such instruments will be subject to diligence by the Investment Adviser. The Fund may invest in issuers who may not themselves contribute to the specific environmental or social characteristics promoted by the financial product such as hedging instruments, unscreened investments for diversification purposes, or investments for which data are lacking.
In addition to the above sectoral exclusions, the Investment Adviser monitors business practices on an ongoing basis, through data on ESG controversies and standards screening sourced from third party providers. The Investment Adviser will consider controversy cases that it views as being very severe based on ratings by relevant ESG data providers, and failures to comply with the UN Global Compact or the ILO fundamental principles, although such incidents will not automatically result in exclusion from the portfolio.
Further to the above, the Investment Adviser may, at its discretion, elect to apply additional ESG-related investment restrictions over time that it believes are consistent with its investment objectives. Such additional restrictions will be disclosed as they are implemented on www.morganstanleyinvestmentfunds.com and on www. morganstanley.com/im.
Investments that are held by the Fund which as a result of the application of the ESG criteria above become restricted after they are acquired for the Fund, will be sold. Such sales will take place over a time period to be determined by the Investment Adviser, taking into account the best interests of the Shareholders of the Fund. The Investment Adviser uses third-party data and in some cases data on specific issuers, ESG themes or the exclusions noted above may not be available and/or may be estimated by the Investment Adviser using internal methodologies or reasonable estimates. The methodologies used by different data providers may also vary and may result in different scores.
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange traded and over-the-counter options, futures and other derivatives for investment or efficient portfolio management (including hedging) purposes.
The Fund may, on an ancillary basis, invest in non-Euro denominated Fixed Income Securities. In accordance with Appendix A “Investment Powers and Restrictions” non-Euro currency exposure may be hedged back to the Euro.
The Fund may invest no more than 20% of its assets in Contingent Convertible Instruments.
The Fund may invest in Fixed Income Securities acquired on the China Interbank Bond Market. No more than 10% of the Fund’s assets will be invested in such securities.
The Fund may invest to a limited extent in units/shares of other collective investment schemes, including the Company’s Funds and open-ended ETFs provided that any ETFs are eligible investments for UCITS funds.
The Fund is actively managed and is not designed to track a benchmark. The Fund’s performance is measured against a benchmark as detailed in the Fund’s key investor information document.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the Euro Strategic Bond Fund’s investment objective it may be appropriate for investors who:
- seek to invest in Fixed Income Securities;
- seek capital appreciation over the medium term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

EUROPEAN FIXED INCOME OPPORTUNITIES FUND
32
The European Fixed Income Opportunities Fund’s investment objective is to provide an attractive level of total return, measured in Euro, through the selection of Euro-denominated Fixed Income Securities. The Fund will seek to achieve the investment policy through allocation across fixed income asset classes as well as through market and instrument selection.
32 
As from 12 December 2022, the investment policy of the Fund will be changed in order to reflect that it does no longer need to comply with certain German rules Versicherungsaufsichtsgesetz. Consequently, the third paragraph will be deleted.
The Fund will invest primarily in Euro-denominated Fixed Income Securities of corporate, government and government related issuers across a spectrum of fixed income asset classes including investment- grade bonds, high-yield bonds, mortgage-backed securities, convertibles and currencies and subject to applicable law, in other asset-backed securities as well as loan participations and loan assignments to the extent that these instruments are securitised. High yield bonds are considered to be Fixed Income Securities issued by corporations that are rated lower than “BBB-” by S&P or “Baa3” by Moody’s or similarly by another internationally recognised rating service or determined to be of similar creditworthiness by the Investment Adviser. The Investment Adviser may invest in any combination of two or more of the above asset classes.
The Fund will not invest in any securities that are rated below B- (or below BBB- in the case of Asset Backed Securities, including Mortgage Backed Securities) by Standard & Poor’s Corporation (“S&P”) or an equivalent rating from another rating agency or an equivalent internal rating from the Investment Adviser as at the date of investment. In the event that any securities held by the Fund are subsequently downgraded to a rating below B- (or below BBB- in the case of Asset Backed Securities, including Mortgage Backed Securities), the Investment Adviser may maintain a maximum total exposure of 3% of the Fund’s Net Asset Value to such downgraded securities but will divest any such security that has not been upgraded to a rating of at least B- within six months of its downgrade.
The Investment Adviser applies proprietary assessment and scoring methodologies that are bespoke to Fixed Income Securities the Fund may invest in, focussed on corporate, sovereign and securitized issuance. Additionally as part of the Investment Adviser’s bottom- up, fundamental research process, and in its engagements with issuers, the Investment Adviser incorporates an assessment of sustainability-related risks and opportunities into the assessment process to determine impacts on credit fundamentals, implications for valuation and spreads, and any material aspects that may affect the trading technicalities of the Fixed Income Securities. These criteria may include, but are not limited to ESG themes such as decarbonisation & climate risk, circular economy & waste reduction, diverse & inclusive business and decent work & resilient jobs. The Investment Adviser will monitor core sustainability indicators, including environmental, social and governance assessments from third-party providers, and carbon footprint (measured by carbon intensity, defined as tonnes of CO2 per $1 million revenue for the proportion of the Fund invested in bonds issued by corporates) in order to measure and evaluate the contribution of the Fixed Income Securities to the ESG themes described above. The indicators will be measured and evaluated at least on an annual basis.
The Investment Adviser also deploys a proprietary assessment framework for labelled sustainable bonds, through which the
robustness, impact and transparency of such instruments are evaluated.
The Investment Adviser promotes the low carbon transition through excluding corporate issuers for which thermal coal production is a core business, and promotes human life through excluding products that are detrimental to health and wellbeing, specifically tobacco, controversial weapons and civilian firearms manufacturing. Accordingly, investments shall not knowingly include any company whose business activity involves the following:
- manufacturing or production of controversial weapons;
- manufacturing or production of civilian firearms; and
- manufacturing or production of tobacco.

With respect to fossil fuel activities specifically, the Investment Adviser may engage company management around the topics of decarbonisation and climate risk, as well as corporate governance practices and what it deems to be materially important other environmental and/or social issues facing a company. Investments shall not knowingly include any company whose business activity involves the mining and extraction of thermal coal, where the company derives >5% revenue from such business activity.
The exceptions to the above is that the Fund may invest in labelled sustainable bonds, or other debt securities that are issued to raise capital specifically for climate-related or environmental projects, which are issued by issuers that would otherwise be subject to this fossil fuel exclusion, so long as it has been determined that the objectives of such instruments are consistent with a reduction by the issuer in its carbon emissions. Investment in such instruments will be subject to diligence by the Investment Adviser. The Fund may invest in issuers who may not themselves contribute to the specific environmental or social characteristics promoted by the financial product such as hedging instruments, unscreened investments for diversification purposes, or investments for which data are lacking.
In addition to the above sectoral exclusions, the Investment Adviser monitors business practices on an ongoing basis, through data on ESG controversies and standards screening sourced from third party providers. The Investment Adviser will consider controversy cases that it views as being very severe based on ratings by relevant ESG data providers, and failures to comply with the UN Global Compact or the ILO fundamental principles, although such incidents will not automatically result in exclusion from the portfolio.
Further to the above, the Investment Adviser may, at its discretion, elect to apply additional ESG-related investment restrictions over time that it believes are consistent with its investment objectives. Such additional restrictions will be disclosed as they are implemented on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im.
Investments that are held by the Fund which as a result of the application of the ESG criteria above become restricted after they are acquired for the Fund, will be sold. Such sales will take place over a time period to be determined by the Investment Adviser, taking into account the best interests of the Shareholders of the Fund. The Investment Adviser uses third-party data and in some cases data on specific issuers, ESG themes or the exclusions noted above may not be available and/or may be estimated by the Investment Adviser using internal methodologies or reasonable estimates. The methodologies used by different data providers may also vary and may result in different scores.
The Fund may also invest, on an ancillary basis, in Fixed Income Securities that are not denominated in Euro, emerging markets Fixed Income Securities and additional securities including but not limited to debt securities convertible into common shares, Cash Equivalents, equity or other equity linked securities.
The Fund may invest in Fixed Income Securities acquired on the China Interbank Bond Market. No more than 10% of the Fund’s assets will be invested in such securities.
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange-traded and over-the-counter options, futures and other derivatives for investment or efficient portfolio management (including hedging) purposes.
The Fund may invest no more than 20% of its assets in Contingent Convertible Instruments.
The Fund may invest to a limited extent in units/shares of other collective investment schemes, including the Company’s Funds and open-ended ETFs provided that any ETFs are eligible investments for UCITS funds.
The Fund is actively managed and the composition of the portfolio holdings is not constrained by any benchmarks.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the European Fixed Income Opportunities Fund’s investment objective it may be appropriate for investors who:
- seek to invest in Fixed Income Securities;
- seek capital appreciation over the medium term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

EUROPEAN HIGH YIELD BOND FUND
The European High Yield Bond Fund’s investment objective is 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 the Fixed Income Securities in the four highest rating categories of S&P or Moody’s denominated in European currencies. These investments may include Fixed Income Securities issued by non-European issuers and such securities issued in emerging markets and, subject to applicable law, asset-backed securities, loan participations and loan assignments, to the extent that these instruments are securitised.
The Investment Adviser applies proprietary assessment and scoring methodologies that are bespoke to Fixed Income Securities the Fund may invest in, focussed on corporate, sovereign and securitized issuance. Additionally as part of the Investment Adviser’s bottom- up, fundamental research process, and in its engagements with issuers, the Investment Adviser incorporates an assessment of sustainability-related risks and opportunities into the assessment process to determine impacts on credit fundamentals, implications for valuation and spreads, and any material aspects that may affect the trading technicalities of the Fixed Income Securities. These criteria may include, but are not limited to ESG themes such as decarbonisation & climate risk, circular economy & waste reduction, diverse & inclusive business and decent work & resilient jobs. The Investment Adviser will monitor core sustainability indicators, including environmental, social and governance assessments from third-party providers, and carbon footprint (measured by carbon intensity, defined as tonnes of CO2 per $1 million revenue for the proportion of the Fund invested in bonds issued by corporates) in order to measure and evaluate the contribution of the Fixed Income Securities to the ESG themes described above. The indicators will be measured and evaluated at least on an annual basis.
The Investment Adviser also deploys a proprietary assessment framework for labelled sustainable bonds, through which the robustness, impact and transparency of such instruments are evaluated.
The Investment Adviser promotes the low carbon transition through excluding corporate issuers for which thermal coal production is a core business, and promotes human life through excluding products that are detrimental to health and wellbeing, specifically tobacco, controversial weapons and civilian firearms
manufacturing. Accordingly, investments shall not knowingly include any company whose business activity involves the following:
- manufacturing or production of controversial weapons;
- manufacturing or production of civilian firearms; and
- manufacturing or production of tobacco.

With respect to fossil fuel activities specifically, the Investment Adviser may engage company management around the topics of decarbonisation and climate risk, as well as corporate governance practices and what it deems to be materially important other environmental and/or social issues facing a company. Investments shall not knowingly include any company whose business activity involves the mining and extraction of thermal coal, where the company derives >5% revenue from such business activity.
The exceptions to the above is that the Fund may invest in labelled sustainable bonds, or other debt securities that are issued to raise capital specifically for climate-related or environmental projects, which are issued by issuers that would otherwise be subject to this fossil fuel exclusion, so long as it has been determined that the objectives of such instruments are consistent with a reduction by the issuer in its carbon emissions. Investment in such instruments will be subject to diligence by the Investment Adviser. The Fund may invest in issuers who may not themselves contribute to the specific environmental or social characteristics promoted by the financial product such as hedging instruments, unscreened investments for diversification purposes, or investments for which data are lacking.
In addition to the above sectoral exclusions, the Investment Adviser monitors business practices on an ongoing basis, through data on ESG controversies and standards screening sourced from third party providers. The Investment Adviser will consider controversy cases that it views as being very severe based on ratings by relevant ESG data providers, and failures to comply with the UN Global Compact or the ILO fundamental principles, although such incidents will not automatically result in exclusion from the portfolio.
Further to the above, the Investment Adviser may, at its discretion, elect to apply additional ESG-related investment restrictions over time that it believes are consistent with its investment objectives. Such additional restrictions will be disclosed as they are implemented on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im.
Investments that are held by the Fund which as a result of the application of the ESG criteria above become restricted after they are acquired for the Fund, will be sold. Such sales will take place over a time period to be determined by the Investment Adviser, taking into account the best interests of the Shareholders of the Fund. The Investment Adviser uses third-party data and in some
cases data on specific issuers, ESG themes or the exclusions noted above may not be available and/or may be estimated by the Investment Adviser using internal methodologies or reasonable estimates. The methodologies used by different data providers may also vary and may result in different scores.
The Fund may, on an ancillary basis, invest in non-European currency denominated Fixed Income Securities. In order to optimize European currency exposure, the non-Euro currency exposure may be hedged back to the Euro and the Fund may, on an ancillary basis, use derivatives contracts to create synthetic European currency high yield Fixed Income Securities within the limits set forth in Appendix A – Investment Powers and Restrictions.
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange traded and over-the-counter options, futures and other derivatives for investment or efficient portfolio management (including hedging) purposes.
The Fund may invest no more than 20% of its assets in Contingent Convertible Instruments.
The Fund may invest in Fixed Income Securities acquired on the China Interbank Bond Market. No more than 10% of the Fund’s assets will be invested in such securities.
The Fund may invest to a limited extent in units/shares of other collective investment schemes, including the Company’s Funds and open-ended ETFs provided that any ETFs are eligible investments for UCITS funds.
The Fund is actively managed and is not designed to track a benchmark. The Fund’s performance is measured against a benchmark as detailed in the Fund’s key investor information document.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the European High Yield Bond Fund’s investment objective it may be appropriate for investors who:
- seek to invest in Fixed Income Securities;
- seek capital appreciation over the medium term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

FLOATING RATE ABS FUND
The Floating Rate ABS Fund’s investment objective is to generate an attractive return, whilst minimising exposure to changes in interest rates through investments in a portfolio of floating rate asset-backed securities (“ABS”), measured in Euro.
The Fund will invest primarily in floating-rate Fixed Income Securities with a duration of less than two years that are mortgage- backed securities, commercial mortgage-backed securities, collateralized mortgage obligations, covered bonds that are covered by mortgages including uniform mortgage-backed securities and other ABS rated investment-grade by an internationally recognised rating agency, securities determined to be of similar creditworthiness by the Investment Adviser, or securities backed by the United States of America. Floating-rate securities are defined as securities that are benchmarked to a floating-rate index. The Fund will maintain an average duration between 0-1 year.
The Investment Adviser applies proprietary assessment and scoring methodologies that are bespoke to Fixed Income Securities the Fund will invest in. Additionally, as part of the Investment Adviser’s bottom-up, fundamental research process, and in its engagements with issuers, lenders and servicers, the Investment Adviser incorporates an assessment of sustainability-related risks and opportunities into the assessment process to determine impacts on credit fundamentals, implications for valuation and spreads, and any material aspects that may affect the trading technicalities of the Fixed Income Securities. The Investment Adviser also deploys a proprietary assessment framework for labelled sustainable bonds, through which the robustness, impact and transparency of such instruments are evaluated.
The Fund promotes sustainable and responsible business practices by issuers of securitisations. In order to do this, the Fund shall not knowingly purchase any securitisation where the Investment Adviser has perceived any of the following which are directly related to the issuer of a securitisation:
- predatory lending practices;
- breaches in compliance of standards of the Consumer Financial Protection Bureau (CFPB);
- severe malpractice in payment collection processes and foreclosure practices; and
- fraudulent behaviour.

The Investment Adviser uses third-party data and in some cases data on specific issuers. ESG themes or the exclusions noted above
may not be available and/or may be estimated by the Investment Adviser using internal methodologies or reasonable estimates, using best efforts and in good faith. The methodologies used by different data providers may also vary and may result in different scores.
Further to the above, the Investment Adviser may, in its discretion, elect to apply additional ESG-related investment restrictions over time that it believes are consistent with its investment objectives.
Such additional restrictions will be disclosed as they are implemented on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im.
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange traded and over-the-counter options, futures, swaps, options on swaps (swaptions) and other derivatives for investment or efficient portfolio management (including hedging) purposes.
The Fund may, on an ancillary basis, invest in Fixed Income Securities not meeting the above requirements.
The Fund may invest to a limited extent in units/shares of other collective investment schemes, including the Company’s Funds and open-ended ETFs provided that any ETFs are eligible investments for UCITS funds.
The Fund is actively managed and is not designed to track a benchmark. The Fund’s performance is measured against a benchmark as detailed in the Fund’s key investor information document.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation.
Profile of the typical investor
In light of the Floating Rate ABS Fund’s investment objective it may be appropriate for investors who:
- seek to invest in Fixed Income Securities;
- seek capital appreciation over the short term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

FRONTIER MARKETS LOCAL DEBT FUND
The Frontier Markets Local Debt Fund’s investment objective is to generate total return, which is defined as income plus capital appreciation by investing primarily in (i) Fixed Income Securities of corporate, government and government-related issuers Located in Frontier Market countries or denominated in currencies of Frontier Market countries and/or (ii) derivative instruments, denominated in or based on the currencies, interest rates, or issues of, Frontier Market countries.
For the purposes of this Fund, “Frontier Market” are a sub-category of emerging markets and are generally considered by the Investment Adviser to be countries which are not developed countries and (i) are not included in the JP Morgan Government Bond Index – Emerging Markets Global Diversified (GBI-EM) or (ii) represent 2% or less of the JP Morgan Government Bond Index – Emerging Markets Global Diversified (GBI-EM), provided that in each case, the markets of these countries are considered to be recognised exchanges within the meaning of Article 41(1) of the 2010 Law. Large Emerging Market countries that are not included in the JP Morgan Government Bond Index – Emerging Markets Global Diversified (GBI-EM) such as Korea, Taiwan, Hong Kong, Singapore, Israel and India are not considered Frontier Markets countries and the Fund will not have exposure to such countries.
The Fund may have significant investment in a geographic region or country. It is not intended that the Fund will have a particular sector or industry focus.
Fixed Income Securities held by the Fund will take the form of sovereign bonds and debentures, corporate bonds and debentures, fixed-income and floating rate debt securities and, to a limited extent, participation notes. Fixed Income Securities may also include zero coupon bonds, preferred stocks, deferred interest bonds and notes and bonds and notes on which the interest is payable in the form of additional eligible stocks, bonds or notes of the same kind (“Payment-in-Kind (PIK) securities”).
The Fund may invest up to 100% of its assets in instruments which are rated at least B- by either Standard & Poor’s Ratings Services or Fitch Ratings, or B3 by Moody’s Investors Service, Inc. or an equivalent rating from another rating agency or an equivalent internal rating from the Investment Adviser as at the date of investment.
In evaluating the Fixed Income Securities issued by frontier market corporates and in its engagement with issuers, the Investment Adviser incorporates an assessment of sustainability-related risks and opportunities into the assessment process to determine impacts on credit fundamentals, implications for valuation and spreads, currency and duration / local rates, and any material aspects that may affect the trading technicalities of the Fixed Income Securities. These criteria may include, but are not limited to environmental,
social and governance (“
ESG
”) themes such as carbon emissions, climate vulnerability, forestry conservation, life expectancy & health, education, living standards, voice & accountability, political stability, effective government, regulatory quality, rule of law, corruption, and violence/terrorism. The Investment Adviser will monitor core sustainability indicators, including ESG assessments from third-party providers, in order to measure and evaluate the contribution of the Fixed Income Securities to the ESG themes described above. The indicators will be measured and evaluated at least annually.
The Investment Adviser also deploys a proprietary assessment framework for labelled sustainable bonds, through which the robustness, impact and transparency of such instruments are evaluated. The proprietary assessment framework is part of the Fund’s screening policy available on the following websites: www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im.
The Investment Adviser promotes good governance and social practices among corporate issuers. Consequently, the Investment Adviser will not make any new investments in issuers where there is evidence that the relevant issuer has engaged in significant social violations (being activities which infringe significantly on an individual or a group’s rights). However, any existing investments in such issuers shall not necessarily need to be sold, and any issuers exhibiting positive momentum with respect to such violations shall not be subject to the purchase restriction. The methodology used by the Investment Adviser to evaluate significant social violations shall be disclosed on the following websites: www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im.
With respect to investment in Fixed Income Securities issued by corporates, investments shall not knowingly include any company whose business activity involves the following:
- manufacturing or production of controversial weapons;
- manufacturing or production of civilian firearms; and
- manufacturing or production of tobacco.

With respect to fossil fuel activities specifically, the Investment Adviser may engage company management around the topics of decarbonisation and climate risk, as well as corporate governance practices and what it deems to be materially important other environmental and/or social issues facing a company. Investments shall not knowingly include any company whose business activity involves the mining and extraction of thermal coal, where the company derives >5% revenue from such business activity.
The exceptions to the above are that the Fund may invest in labelled sustainable bonds, or other debt securities that are issued to
raise capital specifically for climate-related or environmental projects, which are issued by issuers that would otherwise be subject to this fossil fuel exclusion, so long as it has been determined that the objectives of such instruments are consistent with a reduction by the issuer in its carbon emissions. Investment in such instruments will be subject to diligence by the Investment Adviser.
In addition to the above sectoral exclusions, the Investment Adviser monitors business practices of issuers on an ongoing basis, through data on ESG controversies and standards screening sourced from third party providers. The Investment Adviser will consider controversy cases that it views as being very severe based on ratings by relevant ESG data providers, and failures to comply with the UN Global Compact or the ILO fundamental principles, although such incidents will not automatically result in exclusion from the portfolio.
The Investment Adviser also promotes good governance and social practices among frontier markets sovereigns. Consequently, the Investment Adviser will not make any new investments in countries where there is evidence of significant social violations (being significant failures by the government to ensure that an individual or a group’s social rights are protected). However, any existing investments in such countries shall not necessarily need to be sold, and any countries exhibiting positive momentum with respect to such violations shall not be subject to the purchase restriction. The Investment Adviser shall disclose the methodology used to evaluate significant social violations on its website.
Further to the above, the Investment Adviser may, at its discretion, elect to apply additional ESG-related investment restrictions over time that it believes are consistent with the investment objective of the Fund. Such additional restrictions will be disclosed as they are implemented on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im.
Investments that are held by the Fund which as a result of the application of the ESG criteria above become restricted after they are acquired for the Fund, will be sold. Such sales will take place over a time period to be determined by the Investment Adviser, taking into account the best interests of the Shareholders. The Investment Adviser uses third-party data and in some cases data on specific issuers, ESG themes or the exclusions noted above may not be available and/or may be estimated by the Investment Adviser using internal methodologies or reasonable estimates. The methodologies used by different data providers may also vary and may result in different scores.” The Fund may take exposure to in issuers who may not themselves contribute to the specific environmental or social characteristics promoted by the Fund such as hedging instruments, unscreened investments for diversification purposes, or investments for which data is lacking.
The Investment Adviser believes that as sustainability issues are sources of long-term risk and return, the integration of sustainability risks as outlined above may assist in enhancing the returns of the Fund over the long term. Further information in respect of the integration of sustainability risks in relation to the Company is included in the section of the Prospectus headed “General information relating to Sustainability Risks integration”.
In managing the Fund, the Investment Adviser performs macroeconomic and political research and analysis on individual countries, including on a country’s political system and environment, fiscal policy, monetary policy, borrowing rates, the level of national debt, incomes policy (i.e. any government policy that affects corporate or individual earnings in the particular country subject to the policy (such as tax policy, subsidies in particular economic sectors, minimum wage laws, or industry regulations)), and trade policy. Based on this research and analysis, the Investment Adviser seeks to identify countries and currencies it believes have potential to outperform investments in other countries and currencies, and to anticipate changes in global economies, markets, political conditions and other factors for this purpose. The Investment Adviser selects and adjusts investments in an effort to take advantage of differences in the perceived values of countries’ currencies, interest rates and credit spreads. To implement investment decisions based on the research undertaken by the Investment Adviser, the Investment Adviser will select securities to which the Fund will obtain exposure, which it believes will provide the Fund with the most optimal and efficient exposure to the relevant country. The Investment Adviser considers the relative risk/return characteristics of prospective investments in determining the most efficient means for achieving desired exposures.
The Fund may invest to a limited extent in units/shares of other collective investment schemes, including the Company’s Funds and open-ended ETFs, which are eligible investments for UCITS under the 2010 Law.
The Fund may also invest, on an ancillary basis, in Fixed Income Securities not meeting the criteria of the Fund’s primary investments, equity securities, warrants on securities, Cash Equivalents and other equity linked securities.
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange traded and over-the-counter options, futures and other derivatives for investment or efficient portfolio management (including hedging) purposes.
The Fund is actively managed and references the JP Morgan Government Bond Index – Emerging Markets Global Diversified (GBI-EM)for the purpose of defining a geographical allocation of the countries the Fund will invest into. The Investment Adviser has
full discretion over the composition of the assets in the Fund. While the Fund will generally hold assets within the countries referenced in the JP Morgan Government Bond Index – Emerging Markets Global Diversified (GBI-EM), it can invest in such securities in different proportions to their allocations under the JP Morgan Government Bond Index – Emerging Markets Global Diversified (GBI-EM), and it can hold assets which are not exposed to countries referenced in the JP Morgan Government Bond Index – Emerging Markets Global Diversified (GBI-EM). Hence, there are no restrictions on the extent to which the Fund’s performance may deviate from the JP Morgan Government Bond Index – Emerging Markets Global Diversified (GBI-EM).
The Fund’s performance is measured against a benchmark as detailed in the Fund’s key information document.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the Frontier Markets Local Debt Fund’s investment objective it may be appropriate for investors who:
- seek to invest in Fixed Income Securities;
- seek capital appreciation over the long term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

GLOBAL ASSET BACKED SECURITIES FUND
The Global Asset Backed Securities Fund’s investment objective is to provide an attractive rate of total return, measured in USD.
The Fund will invest primarily in Fixed Income Securities that are mortgage-backed securities, commercial mortgage-backed securities, collateralized mortgage obligations and covered bonds that are covered by mortgages including uniform mortgage-backed securities (“Mortgage-Backed Securities”). At least 50% of the Fund’s assets will be invested in securities rated investment-grade by an internationally recognised rating agency, securities determined to be of similar creditworthiness by the Investment Adviser, or securities backed by the United States of America.
The Investment Adviser applies proprietary assessment and scoring methodologies that are bespoke to Fixed Income Securities the
Fund will invest in. Additionally, as part of the Investment Adviser’s bottom-up, fundamental research process, and in its engagements with issuers, lenders and servicers, the Investment Adviser incorporates an assessment of sustainability-related risks and opportunities into the assessment process to determine impacts on credit fundamentals, implications for valuation and spreads, and any material aspects that may affect the trading technicalities of the Fixed Income Securities. The Investment Adviser also deploys a proprietary assessment framework for labelled sustainable bonds, through which the robustness, impact and transparency of such instruments are evaluated.
The Fund promotes sustainable and responsible business practices by issuers of securitisations. In order to do this, the Fund shall not knowingly purchase any securitisation where the Investment Adviser has perceived any of the following which are directly related to the issuer of a securitisation:
- predatory lending practices;
- breaches in compliance of standards of the Consumer Financial Protection Bureau (CFPB);
- severe malpractice in payment collection processes and foreclosure practices; and
- fraudulent behaviour.

The Investment Adviser uses third-party data and in some cases data on specific issuers. ESG themes or the exclusions noted above may not be available and/or may be estimated by the Investment Adviser using internal methodologies or reasonable estimates, using best efforts and in good faith. The methodologies used by different data providers may also vary and may result in different scores.
Further to the above, the Investment Adviser may, in its discretion, elect to apply additional ESG-related investment restrictions over time that it believes are consistent with its investment objectives. Such additional restrictions will be disclosed as they are implemented on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im.
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange traded and over-the-counter options, futures, swaps, options on swaps (swaptions) and other derivatives for investment or efficient portfolio management (including hedging) purposes.
The Fund may, on an ancillary basis, invest in Fixed Income Securities that are not Mortgage-Backed Securities.
The Fund may invest to a limited extent in units/shares of other collective investment schemes, including the Company’s Funds and open-ended ETFs provided that any ETFs are eligible investments for UCITS funds.
The Fund is actively managed and is not designed to track a benchmark. The Fund’s performance is measured against a benchmark as detailed in the Fund’s key investor information document.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the Global Asset Backed Securities Fund’s investment objective it may be appropriate for investors who:
- seek to invest in Fixed Income Securities;
- seek capital appreciation over the medium term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

GLOBAL BOND FUND
The Global Bond Fund’s investment objective is to provide an attractive rate of return, measured in US Dollars, through market, instrument and currency selection. The Fund will invest primarily in domestic, international, emerging market and Euromarket Fixed Income Securities of varying maturities denominated in US Dollars and other currencies, including asset-backed securities (including mortgage-backed securities), loan participations and loan assignments, to the extent that these instruments are securitised.
The Investment Adviser applies proprietary assessment and scoring methodologies that are bespoke to Fixed Income Securities the Fund may invest in, focussed on corporate, sovereign and securitized issuance. Additionally as part of the Investment Adviser’s bottom- up, fundamental research process, and in its engagements with issuers, the Investment Adviser incorporates an assessment of sustainability-related risks and opportunities into the assessment process to determine impacts on credit fundamentals, implications for valuation and spreads, and any material aspects that may affect the trading technicalities of the Fixed Income Securities. These criteria may include, but are not limited to ESG themes such as decarbonisation & climate risk, circular economy & waste reduction, diverse & inclusive business and decent work & resilient jobs. The Investment Adviser will monitor core sustainability indicators, including ESG assessments from third-party providers, and carbon footprint (measured by carbon intensity, defined as tonnes of CO2 per $1 million revenue for the proportion of the
Fund invested in bonds issued by corporates) in order to measure and evaluate the contribution of the Fixed Income Securities to the ESG themes described above. The indicators will be measured and evaluated at least on an annual basis.
The Investment Adviser also deploys a proprietary assessment framework for labelled sustainable bonds, through which the robustness, impact and transparency of such instruments are evaluated.
The Investment Adviser promotes the low carbon transition through excluding corporate issuers for which thermal coal production is a core business, and promotes human life through excluding products that are detrimental to health and wellbeing, specifically tobacco, controversial weapons and civilian firearms manufacturing. Accordingly, investments shall not knowingly include any company whose business activity involves the following:
- manufacturing or production of controversial weapons;
- manufacturing or production of civilian firearms; and
- manufacturing or production of tobacco.

With respect to fossil fuel activities specifically, the Investment Adviser may engage company management around the topics of decarbonisation and climate risk, as well as corporate governance practices and what it deems to be materially important other environmental and/or social issues facing a company. Investments shall not knowingly include any company whose business activity involves the mining and extraction of thermal coal, where the company derives >5% revenue from such business activity.
The exceptions to the above are, firstly, that the Fund may invest in labelled sustainable bonds, or other debt securities that are issued to raise capital specifically for climate-related or environmental projects, which are issued by issuers that would otherwise be subject to this fossil fuel exclusion, so long as it has been determined that the objectives of such instruments are consistent with a reduction by the issuer in its carbon emissions. Investment in such instruments will be subject to diligence by the Investment Adviser. Secondly, the Fund may invest in issuers who may not themselves contribute to the specific environmental or social characteristics promoted by the financial product such as hedging instruments, unscreened investments for diversification purposes, or investments for which data are lacking.
In addition to the above sectoral exclusions, the Investment Adviser monitors business practices on an ongoing basis, through data on ESG controversies and standards screening sourced from third party providers. The Investment Adviser will consider controversy cases that it views as being very severe based on ratings by relevant ESG data providers, and failures to comply with the UN Global Compact or the ILO fundamental principles, although such incidents will not automatically result in exclusion from the portfolio.
Further to the above, the Investment Adviser may, at its discretion, elect to apply additional ESG-related investment restrictions over time that it believes are consistent with its investment objectives. Such additional restrictions will be disclosed as they are implemented on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im.
Investments that are held by the Fund which as a result of the application of the ESG criteria above become restricted after they are acquired for the Fund, will be sold. Such sales will take place over a time period to be determined by the Investment Adviser, taking into account the best interests of the Shareholders of the Fund. The Investment Adviser uses third-party data and in some cases data on specific issuers, ESG themes or the exclusions noted above may not be available and/or may be estimated by the Investment Adviser using internal methodologies or reasonable estimates. The methodologies used by different data providers may also vary and may result in different scores.
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange traded and over-the-counter options, futures and other derivatives for investment or efficient portfolio management (including hedging) purposes.
Securities will be deemed to be suitable for investment if at the time of purchase they are rated either “BBB-” or better by S&P or “Baa3” or better by Moody’s, or similarly rated by another internationally recognised rating service or determined to be of similar creditworthiness by the Investment Adviser. The Fund may continue to hold investments in such securities that are downgraded after purchase. In addition, the Fund may invest, up to 10% of its Net Asset Value, in securities which at the time of purchase are rated either lower than “BBB-” by S&P or “Baa3” by either Moody’s or similarly by another internationally recognised rating service or determined to be of similar creditworthiness by the Investment Adviser.
The Fund may invest no more than 20% of its assets in Contingent Convertible Instruments.
The Fund may invest in Fixed Income Securities acquired on the China Interbank Bond Market. No more than 10% of the Fund’s assets will be invested in such Fixed Income Securities.
The Fund may invest to a limited extent in units/shares of other collective investment schemes, including the Company’s Funds and open-ended ETFs provided that any such ETFs are eligible investments for UCITS funds.
The Fund is actively managed and is not designed to track a benchmark. The Fund’s performance is measured against a
benchmark as detailed in the Fund’s key investor information document.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the Global Bond Fund’s investment objective it may be appropriate for investors who:
- seek to invest in Fixed Income Securities;
- seek capital appreciation over the medium term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

GLOBAL CONVERTIBLE BOND FUND
The Global Convertible Bond Fund’s investment objective is to seek long-term capital appreciation, measured in US Dollars, through investment primarily in convertible bonds issued by companies organised or operating in either the developed or emerging markets which will be denominated in global currencies.
The Investment Adviser applies proprietary assessment and scoring methodologies that are bespoke to Fixed Income Securities the Fund may invest in, focussed on corporate, sovereign and securitized issuance. Additionally as part of the Investment Adviser’s bottom- up, fundamental research process, and in its engagements with issuers, the Investment Adviser incorporates an assessment of sustainability-related risks and opportunities into the assessment process to determine impacts on credit fundamentals, implications for valuation and spreads, and any material aspects that may affect the trading technicalities of the Fixed Income Securities. These criteria may include, but are not limited to ESG themes such as decarbonisation & climate risk, circular economy & waste reduction, diverse & inclusive business and decent work & resilient jobs. The Investment Adviser will monitor core sustainability indicators, including ESG assessments from third-party providers, and carbon footprint (measured by carbon intensity, defined as tonnes of CO2 per $1 million revenue for the proportion of the Fund invested in bonds issued by corporates) in order to measure and evaluate the contribution of the Fixed Income Securities to the ESG themes described above. The indicators will be measured and evaluated at least on an annual basis.
The Investment Adviser also deploys a proprietary assessment framework for labelled sustainable bonds, through which the robustness, impact and transparency of such instruments are evaluated.
The Investment Adviser promotes the low carbon transition through excluding corporate issuers for which thermal coal production is a core business, and promotes human life through excluding products that are detrimental to health and wellbeing, specifically tobacco, controversial weapons and civilian firearms manufacturing. Accordingly, investments shall not knowingly include any company whose business activity involves the following:
- manufacturing or production of controversial weapons;
- manufacturing or production of civilian firearms; and
- manufacturing or production of tobacco.

With respect to fossil fuel activities specifically, the Investment Adviser may engage company management around the topics of decarbonisation and climate risk, as well as corporate governance practices and what it deems to be materially important other environmental and/or social issues facing a company. Investments shall not knowingly include any company whose business activity involves the mining and extraction of thermal coal, where the company derives >5% revenue from such business activity.
The exceptions to the above are, firstly, that the Fund may invest in labelled sustainable bonds, or other debt securities that are issued to raise capital specifically for climate-related or environmental projects, which are issued by issuers that would otherwise be subject to this fossil fuel exclusion, so long as it has been determined that the objectives of such instruments are consistent with a reduction by the issuer in its carbon emissions. Investment in such instruments will be subject to diligence by the Investment Adviser. Secondly, the Fund may invest in issuers who may not themselves contribute to the specific environmental or social characteristics promoted by the financial product such as hedging instruments, unscreened investments for diversification purposes, or investments for which data are lacking.
In addition to the above sectoral exclusions, the Investment Adviser monitors business practices on an ongoing basis, through data on ESG controversies and standards screening sourced from third party providers. The Investment Adviser will consider controversy cases that it views as being very severe based on ratings by relevant ESG data providers, and failures to comply with the UN Global Compact or the ILO fundamental principles, although such incidents will not automatically result in exclusion from the portfolio.
Further to the above, the Investment Adviser may, at its discretion, elect to apply additional ESG-related investment restrictions over time that it believes are consistent with its investment objectives.
Such additional restrictions will be disclosed as they are implemented on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im.
Investments that are held by the Fund which as a result of the application of the ESG criteria above become restricted after they are acquired for the Fund, will be sold. Such sales will take place over a time period to be determined by the Investment Adviser, taking into account the best interests of the Shareholders of the Fund. The Investment Adviser uses third-party data and in some cases data on specific issuers, ESG themes or the exclusions noted above may not be available and/or may be estimated by the Investment Adviser using internal methodologies or reasonable estimates. The methodologies used by different data providers may also vary and may result in different scores.
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange traded and over-the-counter options, futures and other derivatives for investment or efficient portfolio management (including hedging) purposes.
The Fund may, on an ancillary basis, invest in other Fixed Income Securities as well as a combination of equities and warrants on transferable securities either as a result of exercising the conversion option in the convertible bonds in the Fund or as an alternative to convertible bonds when it deems it appropriate.
The Fund may invest no more than 20% of its assets in Contingent Convertible Instruments.
The Fund may invest to a limited extent in open-ended ETFs provided that any ETFs are eligible investments for UCITS funds.
The Fund is actively managed and is not designed to track a benchmark. The Fund’s performance is measured against a benchmark as detailed in the Fund’s key investor information document.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the Global Convertible Bond Fund’s investment objective it may be appropriate for investors who:
- seek to invest in Fixed Income Securities;
- seek capital appreciation over the medium term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- seek to invest in Fixed Income Securities;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

GLOBAL CREDIT FUND
The Global Credit Fund’s investment objective is to provide an attractive rate of relative return, measured in USD.
The Fund will invest primarily in Fixed Income Securities issued by corporations and other non-government issuers (“Corporate Bonds”) organised or operating in both developed and emerging markets and denominated in global currencies. With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange traded and over-the-counter options, futures and other derivatives for investment or efficient portfolio management (including hedging) purposes.
The Investment Adviser applies proprietary assessment and scoring methodologies that are bespoke to Fixed Income Securities the Fund may invest in, focused on corporate, sovereign and securitized issuance. Additionally, as part of the Investment Adviser’s bottom- up, fundamental research process, and in its engagements with issuers, the Investment Adviser incorporates an assessment of sustainability-related risks and opportunities into the assessment process to determine impacts on credit fundamentals, implications for valuation and spreads, and any material aspects that may affect the trading technicalities of the Fixed Income Securities. These criteria may include, but are not limited to ESG themes such as decarbonisation & climate risk, circular economy & waste reduction, diverse & inclusive business and decent work & resilient jobs. The Investment Adviser will monitor core sustainability indicators, including environmental, social and governance assessments from third-party providers, and carbon footprint (measured by carbon intensity, defined as tonnes of CO2 per $1 million revenue for the proportion of the Fund invested in bonds issued by corporates) in order to measure and evaluate the contribution of the Fixed Income Securities to the ESG themes described above. The indicators will be measured and evaluated at least on an annual basis.
The Investment Adviser also deploys a proprietary assessment framework for labelled sustainable bonds, through which the robustness, impact and transparency of such instruments are evaluated.
The Investment Adviser promotes the low carbon transition through excluding corporate issuers for which thermal coal production is a core business, and promotes human life through
excluding products that are detrimental to health and wellbeing, specifically tobacco, controversial weapons and civilian firearms manufacturing. Accordingly, investments shall not knowingly include any company whose business activity involves the following:
- manufacturing or production of controversial weapons;
- manufacturing or production of civilian firearms; and
- manufacturing or production of tobacco.

With respect to fossil fuel activities specifically, the Investment Adviser may engage company management around the topics of decarbonisation and climate risk, as well as corporate governance practices and what it deems to be materially important other environmental and/or social issues facing a company. Investments shall not knowingly include any company whose business activity involves the mining and extraction of thermal coal, where the company derives >5% revenue from such business activity.
The exception to the above is that the Fund may invest in labelled sustainable bonds, or other debt securities that are issued to raise capital specifically for climate-related or environmental projects, which are issued by issuers that would otherwise be subject to the fossil fuel exclusions above, so long as the Investment Adviser has determined that the objectives of such instruments are consistent with a reduction by the issuer in its carbon emissions. Investment in such instruments will be subject to diligence by the Investment Adviser. The Fund may invest in issuers who may not themselves contribute to the specific environmental or social characteristics promoted by the financial product such as hedging instruments, unscreened investments for diversification purposes, or investments for which data are lacking.
In addition to the above sectoral exclusions, the Investment Adviser monitors business practices on an ongoing basis, through data on ESG controversies and standards screening sourced from third party providers. The Investment Adviser will consider controversy cases that it views as being very severe based on ratings by relevant ESG data providers, and failures to comply with the UN Global Compact or the ILO fundamental principles, although such incidents will not automatically result in exclusion from the portfolio.
Further to the above, the Investment Adviser may, in its discretion, elect to apply additional ESG-related investment restrictions over time that it believes are consistent with its investment objectives. Such additional restrictions will be disclosed as they are implemented on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im.
Investments that are held by the Fund but subsequently become restricted due to the application of the ESG criteria above, after they are acquired for the Fund will be sold. Such sales will take
place over a time period to be determined by the Investment Adviser, taking into account the best interests of the Shareholders of the Fund. The Investment Adviser uses third-party data and in some cases data on specific issuers, ESG themes or the exclusions noted above may not be available and/or may be estimated by the Investment Adviser using internal methodologies or reasonable estimates. The methodologies used by different data providers may also vary and may result in different scores.
The Fund will not invest in any securities that are rated below B- (or below BBB- in the case of asset-backed securities, including mortgage-backed securities) by Standard & Poor’s Corporation (“S&P”) or an equivalent rating from another rating agency or an equivalent internal rating from the Investment Adviser as at the date of investment. In the event that any securities held by the Fund are subsequently downgraded to a rating below B- (or below BBB- in the case of asset-backed securities, including mortgage- backed securities), the Investment Adviser may maintain a maximum total exposure of 3% of the Fund’s Net Asset Value to such downgraded securities but will divest any such security that has not been upgraded to a rating of at least B- within six months of its downgrade.
The Fund may, on an ancillary basis, invest in Fixed Income Securities that are not Corporate Bonds.
The Fund may invest no more than 20% of its assets in Contingent Convertible Instruments.
The Fund may invest in Fixed Income Securities acquired on the China Interbank Bond Market. No more than 10% of the Fund’s assets will be invested in such securities.
The Fund may invest to a limited extent in units/shares of other collective investment schemes, including the Company’s Funds and open-ended ETFs provided that any ETFs are eligible investments for UCITS funds.
The Fund is actively managed and is not designed to track a benchmark. The Fund’s performance is measured against a benchmark as detailed in the Fund’s key investor information document.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the Global Credit Fund’s investment objective it may be appropriate for investors who:
- seek to invest in Fixed Income Securities;
- seek capital appreciation over the medium term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

GLOBAL CREDIT OPPORTUNITIES FUND
The Global Credit Opportunities Fund’s investment objective is to provide an attractive level of total return, measured in US Dollars.
The Fund will invest primarily in Fixed Income Securities issued by corporations (“Corporate Bonds”) and other non-government related issuers Located in developed markets, including investment- grade bonds, high-yield bonds. High yield bonds are considered to be Fixed Income Securities issued by corporations that are rated lower than “BBB-” by Standard & Poor’s Corporation (“S&P”) or “Baa3” by Moody’s Investors Services, Inc. or similarly by another internationally recognised rating service or determined to be of similar creditworthiness by the Investment Adviser. The Fund may also invest primarily in mortgage-backed securities, and convertibles subject to applicable law and in other asset-backed securities as well as loan participations and loan assignments to the extent that these instruments are securitised. The Investment Adviser may invest in any combination of two or more of the above asset classes.
The Fund will not invest in any securities that are rated below B- (or below BBB- in the case of asset-backed securities, including mortgage-backed securities) by S&P or an equivalent rating from another rating agency or an equivalent internal rating from the Investment Adviser as at the date of investment. In the event that any securities held by the Fund are subsequently downgraded to a rating below B- (or below BBB- in the case of asset-backed securities, including mortgage-backed securities), the Investment Adviser may maintain a maximum total exposure of 3% of the Fund’s Net Asset Value to such downgraded securities but will divest any such security that has not been upgraded to a rating of at least B- within six (6) months of its downgrade.
The Investment Adviser applies proprietary assessment and scoring methodologies that are bespoke to Fixed Income Securities the Fund may invest in, focussed on corporate and securitized issuance. Additionally, as part of the Investment Adviser’s bottom-up, fundamental research process, and in its engagements with issuers, the Investment Adviser incorporates an assessment of sustainability- related risks and opportunities into the assessment process to determine impacts on credit fundamentals, implications for valuation and spreads, and any material aspects that may affect the
trading technicalities of the Fixed Income Securities. These criteria may include, but are not limited to ESG themes such as decarbonisation & climate risk, circular economy & waste reduction, diverse & inclusive business and decent work & resilient jobs. The Investment Adviser will monitor core sustainability indicators, including environmental, social and governance assessments from third-party providers, in order to measure and evaluate the contribution of the Fixed Income Securities to the ESG themes described above. The indicators will be measured and evaluated at least on an annual basis.
The Investment Adviser also deploys a proprietary assessment framework for labelled sustainable bonds, through which the robustness, impact and transparency of such instruments are evaluated.
The Fund promotes the low carbon transition through excluding corporate issuers for which thermal coal production is a core business, and promotes human health and wellbeing, through exclusion of tobacco, controversial weapons and civilian firearms manufacturing. Accordingly, investments shall not knowingly include any company whose business activity involves the following:
- manufacturing or production of controversial weapons;
- manufacturing or production of civilian firearms; and
- manufacturing or production of tobacco.

With respect to fossil fuel activities specifically, the Investment Adviser may engage company management around the topics of decarbonisation and climate risk, as well as corporate governance practices and what it deems to be materially important other environmental and/or social issues facing a company. Investments shall not knowingly include any company whose business activity involves the mining and extraction of thermal coal, where the company derives >5% revenue from such business activity.
The exceptions to the above is that the Fund may invest in labelled sustainable bonds, or other debt securities that are issued to raise capital specifically for climate-related or environmental projects, which are issued by issuers that would otherwise be subject to this fossil fuel exclusion, so long as it has been determined that the objectives of such instruments are consistent with a reduction by the issuer in its carbon emissions. Investment in such instruments will be subject to diligence by the Investment Adviser. The Fund may invest in issuers who may not themselves contribute to the specific environmental or social characteristics promoted by the financial product such as hedging instruments, unscreened investments for diversification purposes, or investments for which data are lacking.
In addition to the above sectoral exclusions, the Investment Adviser monitors business practices on an ongoing basis, through data on
ESG controversies and standards screening sourced from third party providers. The Investment Adviser will consider controversy cases that it views as being very severe based on ratings by relevant ESG data providers, and failures to comply with the UN Global Compact or the ILO fundamental principles, although such incidents will not automatically result in exclusion from the portfolio.
Further to the above, the Investment Adviser may, at its discretion, elect to apply additional ESG-related investment restrictions over time that it believes are consistent with its investment objectives. Such additional restrictions will be disclosed as they are implemented on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im.
Investments that are held by the Fund which as a result of the application of the ESG criteria above become restricted after they are acquired for the Fund, will be sold. Such sales will take place over a time period to be determined by the Investment Adviser, taking into account the best interests of the Shareholders of the Fund. The Investment Adviser uses third-party data and in some cases data on specific issuers, ESG themes or the exclusions noted above may not be available and/or may be estimated by the Investment Adviser using internal methodologies or reasonable estimates. The methodologies used by different data providers may also vary and may result in different scores.
The Fund may, on an ancillary basis, invest in Fixed Income Securities not meeting the criteria of the Fund’s primary investments.
The Fund may invest in Fixed Income Securities acquired on the China Interbank Bond Market. No more than 10% of the Fund’s assets will be invested in such securities.
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange- traded and over-the-counter options, futures and other derivatives for investment or efficient portfolio management (including hedging) purposes.
The Fund may invest no more than 20% of its assets in Contingent Convertible Instruments.
The Fund may invest to a limited extent in units/shares of other collective investment schemes, including the Company’s Funds and open-ended ETFs provided that any ETFs are eligible investments for UCITS funds.
The Fund is actively managed and is not designed to track a benchmark. Therefore, the management of the Fund is not constrained by the composition of a benchmark. The Fund’s
performance is measured against a benchmark as detailed in the Fund’s key investor information document.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation.
Profile of the typical investor
In light of the Global Credit Opportunities Fund’s investment objective it may be appropriate for investors who:
- seek to invest in Fixed Income Securities;
- seek capital appreciation over the medium term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

GLOBAL FIXED INCOME OPPORTUNITIES FUND
The Global Fixed Income Opportunities Fund’s investment objective is to provide an attractive level of total return, measured in US Dollars, through investment in global fixed income securities. The Fund will seek to achieve the investment policy through allocation across fixed income asset classes as well as through market and instrument selection.
The Fund will invest primarily in the global securities of corporate, government and government related issuers across a spectrum of fixed income asset classes including high yield bonds, investment- grade bonds, mortgage-backed securities, convertibles and currencies, and subject to applicable law, in other asset-backed securities, loan participations and loan assignments, to the extent that these instruments are securitised. High yield bonds are considered to be Fixed Income Securities issued by corporations that are rated lower than “BBB-” by S&P or “Baa3” by Moody’s or similarly by another internationally recognised rating service or determined to be of similar creditworthiness by the Investment Adviser. These investments may include Fixed Income Securities issued in emerging markets. The Investment Adviser may invest in any combination of two or more of the above asset classes.
The Investment Adviser applies proprietary assessment and scoring methodologies that are bespoke to Fixed Income Securities the Fund may invest in, focussed on corporate, sovereign and securitized issuance. Additionally as part of the Investment Adviser’s bottom- up, fundamental research process, and in its engagements with issuers, the Investment Adviser incorporates an assessment of sustainability-related risks and opportunities into the assessment
process to determine impacts on credit fundamentals, implications for valuation and spreads, and any material aspects that may affect the trading technicalities of the Fixed Income Securities. These criteria may include, but are not limited to ESG themes such as decarbonisation & climate risk, circular economy & waste reduction, diverse & inclusive business and decent work & resilient jobs. The Investment Adviser will monitor core sustainability indicators, including environmental, social and governance assessments from third-party providers, and carbon footprint (measured by carbon intensity, defined as tonnes of CO2 per $1 million revenue for the proportion of the Fund invested in bonds issued by corporates) in order to measure and evaluate the contribution of the Fixed Income Securities to the ESG themes described above. The indicators will be measured and evaluated at least on an annual basis.
The Investment Adviser also deploys a proprietary assessment framework for labelled sustainable bonds, through which the robustness, impact and transparency of such instruments are evaluated.
The Investment Adviser promotes the low carbon transition through excluding corporate issuers for which thermal coal production is a core business, and promotes human life through excluding products that are detrimental to health and wellbeing, specifically tobacco, controversial weapons and civilian firearms manufacturing. Accordingly, investments shall not knowingly include any company whose business activity involves the following:
- manufacturing or production of controversial weapons;
- manufacturing or production of civilian firearms; and
- manufacturing or production of tobacco.

With respect to fossil fuel activities specifically, the Investment Adviser may engage company management around the topics of decarbonisation and climate risk, as well as corporate governance practices and what it deems to be materially important other environmental and/or social issues facing a company. Investments shall not knowingly include any company whose business activity involves the mining and extraction of thermal coal, where the company derives >5% revenue from such business activity.
The exceptions to the above is that the Fund may invest in labelled sustainable bonds, or other debt securities that are issued to raise capital specifically for climate-related or environmental projects, which are issued by issuers that would otherwise be subject to this fossil fuel exclusion, so long as it has been determined that the objectives of such instruments are consistent with a reduction by the issuer in its carbon emissions. Investment in such instruments will be subject to diligence by the Investment Adviser. The Fund may invest in issuers who may not themselves contribute to the specific environmental or social characteristics promoted by the
financial product such as hedging instruments, unscreened investments for diversification purposes, or investments for which data are lacking.
In addition to the above sectoral exclusions, the Investment Adviser monitors business practices on an ongoing basis, through data on ESG controversies and standards screening sourced from third party providers. The Investment Adviser will consider controversy cases that it views as being very severe based on ratings by relevant ESG data providers, and failures to comply with the UN Global Compact or the ILO fundamental principles, although such incidents will not automatically result in exclusion from the portfolio.
Further to the above, the Investment Adviser may, at its discretion, elect to apply additional ESG-related investment restrictions over time that it believes are consistent with its investment objectives. Such additional restrictions will be disclosed as they are implemented on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im.
Investments that are held by the Fund which as a result of the application of the ESG criteria above become restricted after they are acquired for the Fund, will be sold. Such sales will take place over a time period to be determined by the Investment Adviser, taking into account the best interests of the Shareholders of the Fund. The Investment Adviser uses third-party data and in some cases data on specific issuers, ESG themes or the exclusions noted above may not be available and/or may be estimated by the Investment Adviser using internal methodologies or reasonable estimates. The methodologies used by different data providers may also vary and may result in different scores.
The Fund may also invest, on an ancillary basis, additional securities including but not limited to Cash Equivalents, equity or other equity linked securities.
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange traded and over-the-counter options, futures and other derivatives for investment or efficient portfolio management (including hedging) purposes.
The Fund may invest no more than 20% of its assets in Contingent Convertible Instruments.
The Fund may invest in Fixed Income Securities acquired on the China Interbank Bond Market. No more than 10% of the Fund’s assets will be invested in such securities.
The Fund may invest to a limited extent in units/shares of other collective investment schemes, including the Company’s Funds and open-ended ETFs provided that any ETFs are eligible investments for UCITS funds.
The Fund is actively managed and the composition of the portfolio holdings is not constrained by any benchmarks.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the Global Fixed Income Opportunities Fund’s investment objective it may be appropriate for investors who:
- seek to invest in Fixed Income Securities;
- seek capital appreciation over the medium term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

GLOBAL HIGH YIELD BOND FUND
The Global High Yield Bond Fund’s investment objective is to provide an attractive rate of return, measured in US Dollars, through investments worldwide primarily in Fixed Income Securities issued by corporations that are rated lower than “BBB-” by S&P or “Baa3” by Moody’s or similarly by another internationally recognised rating service or determined to be of similar creditworthiness by the Investment Adviser. These investments may include Fixed Income Securities issued in emerging markets and, subject to applicable law, asset-backed securities, loan participations and loan assignments, to the extent that these instruments are securitised.
The Investment Adviser applies proprietary assessment and scoring methodologies that are bespoke to Fixed Income Securities the Fund may invest in, focussed on corporate, sovereign and securitized issuance. Additionally as part of the Investment Adviser’s bottom- up, fundamental research process, and in its engagements with issuers, the Investment Adviser incorporates an assessment of sustainability-related risks and opportunities into the assessment process to determine impacts on credit fundamentals, implications for valuation and spreads, and any material aspects that may affect the trading technicalities of the Fixed Income Securities. These criteria may include, but are not limited to ESG themes such as decarbonisation & climate risk, circular economy & waste reduction, diverse & inclusive business and decent work & resilient jobs. The Investment Adviser will monitor core sustainability indicators, including environmental, social and governance assessments from third-party providers, and carbon footprint
(measured by carbon intensity, defined as tonnes of CO2 per $1 million revenue for the proportion of the Fund invested in bonds issued by corporates) in order to measure and evaluate the contribution of the Fixed Income Securities to the ESG themes described above. The indicators will be measured and evaluated at least on an annual basis.
The Investment Adviser also deploys a proprietary assessment framework for labelled sustainable bonds, through which the robustness, impact and transparency of such instruments are evaluated.
The Investment Adviser promotes the low carbon transition through excluding corporate issuers for which thermal coal production is a core business, and promotes human life through excluding products that are detrimental to health and wellbeing, specifically tobacco, controversial weapons and civilian firearms manufacturing. Accordingly, investments shall not knowingly include any company whose business activity involves the following:
- manufacturing or production of controversial weapons;
- manufacturing or production of civilian firearms; and
- manufacturing or production of tobacco.

With respect to fossil fuel activities specifically, the Investment Adviser may engage company management around the topics of decarbonisation and climate risk, as well as corporate governance practices and what it deems to be materially important other environmental and/or social issues facing a company. Investments shall not knowingly include any company whose business activity involves the mining and extraction of thermal coal, where the company derives >5% revenue from such business activity.
The exceptions to the above is that the Fund may invest in labelled sustainable bonds, or other debt securities that are issued to raise capital specifically for climate-related or environmental projects, which are issued by issuers that would otherwise be subject to this fossil fuel exclusion, so long as it has been determined that the objectives of such instruments are consistent with a reduction by the issuer in its carbon emissions. Investment in such instruments will be subject to diligence by the Investment Adviser. The Fund may invest in issuers who may not themselves contribute to the specific environmental or social characteristics promoted by the financial product such as hedging instruments, unscreened investments for diversification purposes, or investments for which data are lacking.
In addition to the above sectoral exclusions, the Investment Adviser monitors business practices on an ongoing basis, through data on ESG controversies and standards screening sourced from third party providers. The Investment Adviser will consider controversy cases that it views as being very severe based on ratings by relevant ESG data providers, and failures to comply with the UN Global
Compact or the ILO fundamental principles, although such incidents will not automatically result in exclusion from the portfolio.
Further to the above, the Investment Adviser may, at its discretion, elect to apply additional ESG-related investment restrictions over time that it believes are consistent with its investment objectives. Such additional restrictions will be disclosed as they are implemented on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im.
Investments that are held by the Fund which as a result of the application of the ESG criteria above become restricted after they are acquired for the Fund, will be sold. Such sales will take place over a time period to be determined by the Investment Adviser, taking into account the best interests of the Shareholders of the Fund. The Investment Adviser uses third-party data and in some cases data on specific issuers, ESG themes or the exclusions noted above may not be available and/or may be estimated by the Investment Adviser using internal methodologies or reasonable estimates. The methodologies used by different data providers may also vary and may result in different scores.
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange traded and over-the-counter options, futures and other derivatives for investment or efficient portfolio management (including hedging) purposes.
The Fund may, on an ancillary basis, invest in other Fixed Income Securities (including securities issued by governments and agencies, and securities which are rated “BBB-” or higher by S&P or “Baa3” or higher by Moody’s, or similarly rated by another internationally recognised rating service or determined to be of similar creditworthiness by the Investment Adviser).
The Fund may invest no more than 20% of its assets in Contingent Convertible Instruments.
The Fund may invest in Fixed Income Securities acquired on the China Interbank Bond Market. No more than 10% of the Fund’s assets will be invested in such securities.
The Fund may invest to a limited extent in units/shares of other collective investment schemes, including the Company’s Funds and open-ended ETFs provided that any ETFs are eligible investments for UCITS funds.
The Fund is actively managed and is not designed to track a benchmark. The Fund’s performance is measured against a benchmark as detailed in the Fund’s key investor information document.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the Global High Yield Bond Fund’s investment objective it may be appropriate for investors who:
- seek to invest in Fixed Income Securities;
- seek capital appreciation over the medium term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

GLOBAL MACRO FUND
The Global Macro Fund’s investment objective is to deliver a positive absolute return in all market conditions, in the form of income plus capital appreciation over a rolling three-year period, through exposure to currencies, and U.S. and non-U.S. interest rates and issuers.
The Fund will seek to achieve its investment objective by investing primarily in a portfolio of transferable securities and Fixed Income Securities globally and through the use of financial derivative instruments.
The Fund’s primary investment universe will include Fixed Income Securities (issued by governments and government related, as well as corporate issuers Located in both developed and Emerging Market countries, which include, without limitation, mortgage- backed securities and other asset-backed securities, inflation- indexed bonds issued by governmental, government-related, and corporate issuers, corporate debt securities (including, without limitation, convertible securities and corporate commercial paper)), units in open and closed-ended collective investment schemes, structured products, deposits, and, to a limited extent, participation notes.
The Fund will not have any particular sectoral or industry focus. The Fund’s investments may be highly concentrated in a geographic region or country, and there is no limit on the Fund’s exposure to any geographic region or country. The Fund may invest up to 100% of its net assets in the securities of issuers Located in Emerging Market countries (for the purposes of this Fund, defined as any country which did not become a member of the OECD prior to 1975 and Turkey).
The Investment Adviser adjusts investments to take advantage of differences in securities, countries, currencies and credits based on its perception of various factors, including the most favourable markets, interest rates and issuers, the relative yield and appreciation potential of a particular country’s securities, and the relationship of a country’s currency to the USD. The Investment Adviser identifies countries and currencies where the Fund’s investments will out- perform comparable investments in other countries and currencies and in many cases seeks to predict changes in economies, markets, political conditions, and other factors.
In evaluating the debt securities issued by governments, government agencies and government- sponsored enterprises in which the Fund may invest, the Investment Adviser will integrate environmental, social and governance (“ESG”) criteria. The Investment Adviser, as part of its research and asset selection process in respect of debt securities, will consider the ESG issues in respect of each country and will carry out a qualitative analysis of each country, rating the ESG factors for each country based on information gathered by the research staff of the Investment Adviser, sub-adviser (if applicable) and/or their affiliates as well as third party sources. Such qualitative analysis will be supplemented by quantitative ESG scores attributed by the Investment Adviser to each country and the ESG scores allow for cross-country comparisons. As part of the Investment Adviser’s analysis, the Investment Adviser may have regard to ESG factors comprising Sustainability Risks or opportunities likely to affect the financial condition or performance of the country over a long term investment horizon, including, without limitation, pollution/environmental/ecosystem health, risk of social unrest, human development, democracy and rights and freedoms.
The Investment Adviser believes that as sustainability issues are sources of long-term risk and return, the integration of Sustainability Risks as outlined above may assist in enhancing the returns of the Fund over the long term.
The Fund may invest no more than 20% of its assets in aggregate in asset-backed securities (ABS) and/or mortgage-backed securities (MBS).
The Fund may invest to a limited extent in units/shares of other collective investment schemes, including the Company’s Funds and open-ended ETFs, which are eligible investments for UCITS under the 2010 Law.
The Fund may also invest, on an ancillary basis, in warrants.
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange traded and over-the-counter options, futures and other derivatives for investment or efficient portfolio management (including hedging) purposes.
The Fund is actively managed and is not designed to track a benchmark. Therefore, the management of the Fund is not constrained by the composition of a benchmark. The Fund’s performance is measured against a benchmark as detailed in the Fund’s key investor document.
Taxonomy Regulation disclosure
The investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities.
Profile of the typical investor
In light of the Global Macro Fund’s investment objective it may be appropriate for investors who:
- seek to invest in Fixed Income Securities;
- seek capital appreciation over the long term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- ccept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

SHORT DURATION US GOVERNMENT INCOME FUND
The Short Duration US Government Income Fund’s investment objective is to seek total return, which is defined as income plus capital appreciation, by investing at least 90% of its net assets in Fixed Income Securities issued, backed or otherwise guaranteed by the U.S. Government or its agencies or instrumentalities. The dollar weighted average duration of the Fund will normally be less than 3 years, although this may be higher under certain market conditions. In general, the longer the average duration of the portfolio the greater the exposure to interest rate risk and as such the more volatile the value of the fund. Due to the Fund’s relative short duration, the Fund is likely to generate reasonably steady returns and maintain relatively low levels of volatility in the value of the Fund. Since the Fund’s return will primarily be generated by income payments from the underlying investments rather than by capital appreciation of the portfolio.
The Fund may enter into forward commitments to purchase mortgage-backed securities (“
MBS
”) issued by Ginnie Mae, Fannie Mae and Freddie Mac (to-be-announced transactions, or “TBAs”). The Fund may also enter into generic MBS coupon swaps, agency swaps, and term swaps by entering into forward commitments to both purchase and sell MBS. Such forward commitments may be entered into for the purposes of increasing returns or reducing risk and may result in investment leverage.
The Fund may also enter into Mortgage Dollar Rolls, whereby the Fund sells MBS for delivery in the current month and simultaneously contracts to repurchase substantially similar (same type, coupon and maturity) MBS on a specified future date. During the roll period, the Fund forgoes principal and interest paid on the MBS.
The Fund’s Investment Adviser utilizes the information provided by, and the expertise of, the research staff of the Investment Adviser, sub-adviser (if applicable) and/or their affiliates in making investment decisions. When selecting which securities to invest in, the Investment Adviser seeks to identify the securities which it believes to be the best relative value with regard to price, yield, and expected total return in relation to other available instruments. Securities are analysed using various prepayment models (i.e., models which analyse the expected level of prepayments on a portfolio of assets) and scenarios which are proprietary to the Investment Adviser, and evaluated versus the overall market on a risk/return basis. Securities are also reviewed in the context of the Fund’s overall portfolio to determine if the security fits the portfolio and to make sure that allocation does not overweight the portfolio to a particular risk factor. As part of the selection process, the Investment Adviser will analyse a number of factors in relation to each security, including (i) the underlying collateral characteristics of the security, (ii) their prepayment expectations for the collateral, and (iii) the compatibility of the security’s structure with those prepayment expectations. Collateral analysis involves an in-depth examination of borrower characteristics that may influence a security’s propensity to prepay and includes factors such as agency, borrower geographic dispersion, mortgage servicer mix, loan size, etc. Security structure selection involves identifying structures that are expected to be enhanced by the Investment Adviser’s prepayment expectations. The Investment Adviser makes its investment decisions primarily on the basis of fundamental research, including the factors outlined above, and relative value and may sell a security when it believes it no longer represents the best relative value based on the fundamental research. Based on the analysis and research undertaken by the Investment Adviser, which will include the relative risk / return characteristics of each prospective investment, the Investment Adviser will select securities which it believes will provide the Fund with the most appropriate relative value.
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange trades and over-the-counter options, futures and other derivatives for efficient portfolio management (including hedging) purposes.
In addition to the above, in making investment decisions, the Investment Adviser may integrate environmental, social and governance (“ESG”) criteria. The Investment Adviser may utilize the extensive proprietary ESG research generated by its affiliate, Calvert Research and Management, as well as its own ESG research in evaluating investments. Given the investment focus of the Fund on debt instruments issued, backed or otherwise guaranteed by the
U.S. Government or its agencies or instrumentalities, it is not generally expected that ESG considerations will be an significant factor in the Fund’s investment decisions. The Investment Adviser believes that as sustainability issues are sources of long-term risk and return, the integration of sustainability risks as outlined above
may assist in enhancing the returns of the Fund over the long term.
The Fund may invest more than 20% of its assets in aggregate in mortgage-backed securities (MBS).
The Fund may invest to a limited extent in units/shares of other collective investment schemes, including the Company’s Funds and open-ended ETFs, which are eligible investments for UCITS under the 2010 Law.
The Fund may also invest, to a limited extent, in Fixed Income Securities not meeting the criteria of the Fund’s primary investments, warrants on securities, Cash Equivalents and other equity linked securities.
The Fund is actively managed and is not designed to track a benchmark. Therefore, the management of the Fund is not constrained by the composition of a benchmark. The Fund’s performance is measured against a benchmark as detailed in the Fund’s key investor information document.
Taxonomy Regulation disclosure
The investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities.
Profile of the typical investor
In light of the Short Duration US Government Income Fund’s investment objective it may be appropriate for investors who:
- seek to invest in Fixed Income Securities;
- seek capital appreciation over the long term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

SHORT MATURITY EURO BOND FUND
The Short Maturity Euro Bond Fund’s investment objective is to provide an attractive rate of relative return, measured in Euro.
The Fund will invest primarily in Euro denominated Fixed Income Securities whether issued by corporations, government or government guaranteed issuers. With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange traded and over-the-counter options, futures and other derivatives for investment or efficient portfolio management (including hedging) purposes.
The Fund will invest primarily, in order to reduce volatility, in individual securities with maturity dates having a maximum unexpired term of five years.
The Fund will not invest in any securities that are rated below B- (or below BBB- in the case of asset-backed securities, including mortgage-backed securities) by Standard & Poor’s Corporation (“S&P”) or an equivalent rating from another rating agency or an equivalent internal rating from the Investment Adviser as at the date of investment. In the event that any securities held by the Fund are subsequently downgraded to a rating below B- (or below BBB- in the case of asset-backed securities, including mortgage-backed securities), the Investment Adviser may maintain a maximum total exposure of 3% of the Fund’s Net Asset Value to such downgraded securities but will divest any such security that has not been upgraded to a rating of at least B- within six months of its downgrade.
The Investment Adviser applies proprietary assessment and scoring methodologies that are bespoke to Fixed Income Securities the Fund may invest in, focussed on corporate, sovereign and securitized issuance. Additionally as part of the Investment Adviser’s bottom- up, fundamental research process, and in its engagements with issuers, the Investment Adviser incorporates an assessment of sustainability-related risks and opportunities into the assessment process to determine impacts on credit fundamentals, implications for valuation and spreads, and any material aspects that may affect the trading technicalities of the Fixed Income Securities. These criteria may include, but are not limited to ESG themes such as decarbonisation & climate risk, circular economy & waste reduction, diverse & inclusive business and decent work & resilient jobs. The Investment Adviser will monitor core sustainability indicators, including environmental, social and governance assessments from third-party providers, and carbon footprint (measured by carbon intensity, defined as tonnes of CO2 per $1 million revenue for the proportion of the Fund invested in bonds issued by corporates) in order to measure and evaluate the contribution of the Fixed Income Securities to the ESG themes described above. The indicators will be measured and evaluated at least on an annual basis.
The Investment Adviser also deploys a proprietary assessment framework for labelled sustainable bonds, through which the robustness, impact and transparency of such instruments are evaluated.
The Investment Adviser promotes the low carbon transition through excluding corporate issuers for which thermal coal production is a core business, and promotes human life through excluding products that are detrimental to health and wellbeing, specifically tobacco, controversial weapons and civilian firearms manufacturing. Accordingly, investments shall not knowingly include any company whose business activity involves the following:
- manufacturing or production of controversial weapons;
- manufacturing or production of civilian firearms; and
- manufacturing or production of tobacco.

With respect to fossil fuel activities specifically, the Investment Adviser may engage company management around the topics of decarbonisation and climate risk, as well as corporate governance practices and what it deems to be materially important other environmental and/or social issues facing a company. Investments shall not knowingly include any company whose business activity involves the mining and extraction of thermal coal, where the company derives >5% revenue from such business activity.
The exceptions to the above is that the Fund may invest in labelled sustainable bonds, or other debt securities that are issued to raise capital specifically for climate-related or environmental projects, which are issued by issuers that would otherwise be subject to this fossil fuel exclusion, so long as it has been determined that the objectives of such instruments are consistent with a reduction by the issuer in its carbon emissions. Investment in such instruments will be subject to diligence by the Investment Adviser. The Fund may invest in issuers who may not themselves contribute to the specific environmental or social characteristics promoted by the financial product such as hedging instruments, unscreened investments for diversification purposes, or investments for which data are lacking.
In addition to the above sectoral exclusions, the Investment Adviser monitors business practices on an ongoing basis, through data on ESG controversies and standards screening sourced from third party providers. The Investment Adviser will consider controversy cases that it views as being very severe based on ratings by relevant ESG data providers, and failures to comply with the UN Global Compact or the ILO fundamental principles, although such incidents will not automatically result in exclusion from the portfolio.
Further to the above, the Investment Adviser may, at its discretion, elect to apply additional ESG-related investment restrictions over time that it believes are consistent with its investment objectives. Such additional restrictions will be disclosed as they are implemented on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im.
Investments that are held by the Fund which as a result of the application of the ESG criteria above become restricted after they are acquired for the Fund, will be sold. Such sales will take place over a time period to be determined by the Investment Adviser, taking into account the best interests of the Shareholders of the Fund. The Investment Adviser uses third-party data and in some cases data on specific issuers, ESG themes or the exclusions noted above may not be available and/or may be estimated by the Investment Adviser using internal methodologies or reasonable estimates. The methodologies used by different data providers may also vary and may result in different scores.
The Fund may invest no more than 20% of its assets in Contingent Convertible Instruments.
The Fund may invest to a limited extent in units/shares of other collective investment schemes, including the Company’s Funds and open-ended ETFs provided that any ETFs are eligible investments for UCITS funds.
The Fund is actively managed and is not designed to track a benchmark. The Fund’s performance is measured against a benchmark as detailed in the Fund’s key investor information document.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the Short Maturity Euro Bond Fund’s investment objective it may be appropriate for investors who:
- seek to invest in Fixed Income Securities;
- seek capital appreciation over the short term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

SHORT MATURITY EURO CORPORATE BOND FUND
The Short Maturity Euro Corporate Bond Fund’s investment objective is to provide an attractive rate of relative return, measured in Euro.
The Fund will invest, in order to reduce volatility, primarily in Euro denominated Fixed Income Securities, issued by corporations (“Corporate Bonds”) with maturity dates or call dates (whichever is earlier) having a maximum unexpired term of three (3) years.
The Fund will not invest in any securities that are rated below B- (or below BBB- in the case of asset-backed securities, including mortgage-backed securities) by Standard & Poor’s Corporation (“S&P”) or an equivalent rating from another rating agency or an equivalent internal rating from the Investment Adviser as at the date of investment. In the event that any securities held by the Fund are subsequently downgraded to a rating below B- (or below BBB- in the case of asset-backed securities, including mortgage- backed securities), the Investment Adviser may maintain a maximum total exposure of 3% of the Fund’s Net Asset Value to such downgraded securities but will divest any such security that has not been upgraded to a rating of at least B- within six (6) months of its downgrade.
The Investment Adviser applies proprietary assessment and scoring methodologies that are bespoke to Fixed Income Securities the Fund may invest in, focussed on corporate, and securitized issuance. Additionally, as part of the Investment Adviser’s bottom- up, fundamental research process, and in its engagements with issuers, the Investment Adviser incorporates an assessment of sustainability-related risks and opportunities into the assessment process to determine impacts on credit fundamentals, implications for valuation and spreads, and any material aspects that may affect the trading technicalities of the Fixed Income Securities. These criteria may include but are not limited to ESG themes such as decarbonisation and climate risk, circular economy and waste reduction, diverse and inclusive business and decent work and resilient jobs. The Investment Adviser will monitor core sustainability indicators, including environmental, social and governance assessments from third-party providers, in order to measure and evaluate the contribution of the Fixed Income Securities to the ESG themes described above. The indicators will be measured and evaluated at least on an annual basis.
The Investment Adviser also deploys a proprietary assessment framework for sustainable bonds, through which the robustness, impact and transparency of such instruments are evaluated.
The Fund promotes the low carbon transition through excluding corporate issuers for which thermal coal production is a core business, and promotes human health and wellbeing through exclusion of tobacco, controversial weapons and civilian firearms manufacturing. Accordingly, investments shall not knowingly include any company whose business activity involves the following:
- manufacturing or production of controversial weapons;
- manufacturing or production of civilian firearms; and
- manufacturing or production of tobacco.

With respect to fossil fuel activities specifically, the Investment Adviser may engage company management around the topics of decarbonisation and climate risk, as well as corporate governance practices and what it deems to be materially important other environmental and/or social issues facing a company. Investments shall not knowingly include any company whose business activity involves the mining and extraction of thermal coal, where the company derives >5% revenue from such business activity.
The exceptions to the above is that the Fund may invest in sustainable bonds, or other debt securities that are issued to raise capital specifically for climate-related or environmental projects, which are issued by issuers that would otherwise be subject to this fossil fuel exclusion, so long as it has been determined that the objectives of such instruments are consistent with a reduction by the issuer in its carbon emissions. Investment in such instruments will be subject to diligence by the Investment Adviser. The Fund
may invest in issuers who may not themselves contribute to the specific environmental or social characteristics promoted by the financial product such as hedging instruments, unscreened investments for diversification purposes, or investments for which data are lacking.
In addition to the above sectoral exclusions, the Investment Adviser monitors business practices on an ongoing basis, through data on ESG controversies and standards screening sourced from third party providers. The Investment Adviser will consider controversy cases that it views as being very severe based on ratings by relevant ESG data providers, and failures to comply with the UN Global Compact or the ILO fundamental principles, although such incidents will not automatically result in exclusion from the portfolio.
Further to the above, the Investment Adviser may, at its discretion, elect to apply additional ESG-related investment restrictions over time that it believes are consistent with its investment objectives. Such additional restrictions will be disclosed as they are implemented on www.morganstanleyinvestmentfunds.com and on www. morganstanley.com/im. Investments that are held by the Fund which as a result of the application of the ESG criteria above become restricted after they are acquired for the Fund, will be sold. Such sales will take place over a time period to be determined by the Investment Adviser, taking into account the best interests of the Shareholders of the Fund. The Investment Adviser uses third-party data and in some cases data on specific issuers, ESG themes or the exclusions noted above may not be available and/or may be estimated by the Investment Adviser using internal methodologies or reasonable estimates. The methodologies used by different data providers may also vary and may result in different scores.
The Fund may, on an ancillary basis, invest in Fixed Income Securities not meeting the criteria of the Fund’s primary investments.
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange traded and over-the-counter options, futures and other derivatives for investment or efficient portfolio management (including hedging) purposes.
The Fund may invest no more than 20% of its assets in Contingent Convertible Instruments.
The Fund may invest in Fixed Income Securities acquired on the China Interbank Bond Market. No more than 10% of the Fund’s assets will be invested in such securities.
The Fund may invest no more than 20% of its assets in aggregate asset-backed securities (ABS) and/or mortgage-backed securities (MBS).
The Fund may invest to a limited extent in units/shares of other collective investment schemes, including the Company’s Funds and open-ended ETFs provided that any ETFs are eligible investments for UCITS funds.
The Fund’s investments may result in exposure to emerging markets and to higher yielding securities.
The Fund is actively managed and is not designed to track a benchmark. Therefore, the management of the Fund is not constrained by the composition of a benchmark. The Fund’s performance is measured against a benchmark as detailed in the Fund’s key investor information document.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the Short Maturity Euro Corporate Bond Fund’s investment objective it may be appropriate for investors who:
- seek to invest in Fixed Income Securities;
- seek capital appreciation over the short term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

SUSTAINABLE EURO CORPORATE BOND FUND
The Sustainable Euro Corporate Bond Fund’s investment objective is to provide an attractive rate of relative return, measured in Euro, while integrating ESG characteristics by screening out sectors and issuers with low overall sustainability scores, and maintaining a lower carbon footprint than the corporate bond component of the Bloomberg European Corporate Index (see below) taking into account the long-term global warming objectives of the Paris Agreement, as further described below.
The Fund will invest primarily in Euro denominated Fixed Income Securities, issued by corporations and other non-government related issuers (“Corporate Bonds”).
In relation to this Fund, “Sustainable” means that the Investment Adviser integrates the consideration of sustainable themes and ESG issues in its investment decision-making on a discretionary basis as further detailed below. In addition, the investment Adviser may
include evaluation of positive and negative contributions towards the UN Sustainable Development Goals and may engage company management around corporate governance practices as well as what it deems to be materially important environmental and/or social issues facing a company.
The Investment Adviser applies proprietary assessment and scoring methodologies that are bespoke to Fixed Income Securities the Fund may invest in, focussed on corporate, sovereign and securitized issuance. Additionally, as part of the Investment Adviser’s bottom- up, fundamental research process, and in its engagements with issuers, the Investment Adviser incorporates an assessment of sustainability-related risks and opportunities into the assessment process to determine impacts on credit fundamentals, implications for valuation and spreads, and any material aspects that may affect the trading technicalities of the Fixed Income Securities. These criteria may include, but are not limited to ESG themes such as decarbonisation & climate risk, circular economy & waste reduction, diverse & inclusive business and decent work & resilient jobs. The Investment Adviser will monitor core sustainability indicators, including environmental, social and governance assessments from third-party providers, and carbon footprint (measured by carbon intensity, defined as tonnes of CO2 per $1 million revenue for the proportion of the Fund invested in bonds issued by corporates) in order to measure and evaluate the contribution of the Fixed Income Securities to the ESG themes described above. The indicators will be measured and evaluated at on an annual basis.
Investments shall not knowingly include any company whose business activity involves the following:
- manufacturing or production of:
	- controversial weapons;
	- manufacturing or production of civilian firearms;
	- manufacturing or production of tobacco, or where the company derives >10% revenue from tobacco distribution or retail; and
	- gambling, where the company derives >10% revenue from such business activity.


With respect to fossil fuel activities specifically, investments shall not knowingly include any company whose business activity involves the following:
- mining and extraction of thermal coal;
- coal-fired power generation, where the company derives>10% revenue from such business activity;
- extraction or production from oil sands, where the company derives >5% revenue from such business activity; and– oil or gas extraction or production in the Arctic region, where the company derives >5% revenue from such business activity.

The exception to the above is that the Fund may invest in labelled Sustainable Bonds (see below), or other debt securities that are issued to raise capital specifically for climate-related or environmental projects, which are issued by issuers that would otherwise be subject to the fossil fuel exclusions above, so long as the Investment Adviser has determined that the objectives of such instruments are consistent with a reduction by the issuer in its carbon emissions. Investment in such instruments will be subject to diligence by the Investment Adviser.
In addition to the above sectoral exclusions, the Investment Adviser monitors business practices on an ongoing basis, through data on ESG controversies and standards screening sourced from third party providers.
The Fund will not invest in securities of issuers with controversy cases that the Investment Adviser views as being very severe, including those related to the OECD Guidelines for Multinational Enterprises, based on ratings by relevant ESG data providers, where the Investment Adviser believes appropriate remedial action has not been taken.
The Fund will also not invest in securities of issuers that fail to comply with the UN Global Compact or the ILO fundamental principles, and where the Investment Adviser believes appropriate remedial action has not been taken.
The Investment Adviser may, in its discretion, elect to apply additional ESG-related investment restrictions over time that it believes are consistent with its investment objectives. Such additional restrictions will be disclosed as they are implemented on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im.
The Fund will only invest in the top 80% of rated ESG-scoring corporates in each sub-sector of the Bloomberg European Corporate Index. The ESG scores are determined by the Investment Adviser, using third party ESG data as a base having regard to ESG themes such as Decarbonisation & Climate Risk, Circular Economy & Waste Reduction, Diverse & Inclusive Business and Decent Work & Resilient Jobs. The aforementioned ESG criteria should result in at least 20% reduction of the investible universe of corporates, and the Investment Adviser will use its best efforts to ensure that at least 90% of the corporates in the portfolio are assessed through its ESG scoring methodology. The positive screening process and methodology is available on the following websites: www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im.
Investments that are held by the Fund but subsequently become restricted due to the application of the ESG criteria above, after they are acquired for the Fund will be sold. Such sales will take place over a time period to be determined by the Investment Adviser, taking into account the best interests of the Shareholders of the Fund.
For the proportion of the Fund invested in bonds issued by corporates, the Fund will maintain a lower carbon footprint than the corporate bond component of the Bloomberg European Corporate Index, taking into account the long-term global warming objectives of the Paris Agreement. Carbon footprint shall be measured as weighted average Carbon Intensity, defined as tonnes of CO2 per $1million revenue. Sustainable Bonds with climate- related objectives may be determined to have different carbon footprints than the issuers of the bonds. In such cases, the Investment Adviser shall disclose its methodology for determining the relevant carbon footprint of such instruments.
As part of its strategy, the Investment Adviser may invest a proportion of the Fund in Sustainable Bonds, defined as labelled Sustainable Bonds where the issuer has committed to financing or attaining specific environmental and/or social objectives, including but not limited to the below based on the main labels of bonds issued to date, including those recognised by the International Capital Market Association (ICMA):
- Green Bonds;
- Social Bonds;
- Sustainability Bonds;
- Transition Bonds; and
- Sustainability-linked Bonds.

The Investment Adviser deploys a proprietary assessment framework for labelled sustainable bonds, through which the robustness, impact and transparency of such instruments are evaluated.
As noted above, the Investment Adviser uses third-party data and ESG scores and in some cases data on specific issuers, ESG themes or the exclusions noted above may not be available and/or may be estimated by the Investment Adviser using internal methodologies or reasonable estimates. The methodologies used by different data providers may also vary and may result in different scores.
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of derivative instruments such as index futures, contracts for difference (CFDs), TRS, structured notes (including participatory notes), convertible bonds, convertible preferred stocks, options, foreign exchange options, currency forwards and forward contracts and other
derivatives for investment or efficient portfolio management (including hedging) purposes.
The Fund will not invest in any securities that are rated below B- (or below BBB- in the case of asset-backed securities, including mortgage-backed securities) by Standard & Poor’s Corporation (“S&P”) or an equivalent rating from another rating agency or an equivalent internal rating from the Investment Adviser as at the date of investment. In the event that any securities held by the Fund are subsequently downgraded to a rating below B- (or below BBB- in the case of asset-backed securities, including mortgage- backed securities), the Investment Adviser may maintain a maximum total exposure of 3% of the Fund’s Net Asset Value to such downgraded securities but will divest any such security that has not been upgraded to a rating of at least B- within six months of its downgrade.
The Fund may, on an ancillary basis, invest in:
- Non-Euro denominated Fixed Income Securities. In accordance with Appendix A “Investment Powers and Restrictions” non- Euro currency exposure may be hedged back to the Euro.
- Fixed Income Securities that are not Corporate Bonds.

The Fund may invest no more than 20% of its assets in asset- backed securities.
The Fund may invest no more than 20% of its assets in Contingent Convertible Instruments.
The Fund may invest in Fixed Income Securities acquired on the China Interbank Bond Market. No more than 10% of the Fund’s assets will be invested in such securities.
The Fund may invest to a limited extent in units/shares of other collective investment schemes, including the Company’s Funds and open-ended ETFs provided that any ETFs are eligible investments for UCITS funds.
The Fund is actively managed and references the Bloomberg European Corporate Index for the purpose of defining the investment universe. The Investment Adviser has full discretion over the composition of the assets in the Fund. While the Fund will primarily invest in securities that are within the Bloomberg European Corporate Index, it may invest in such components in different weights to those of the Bloomberg European Corporate Index, and it may hold securities which are not included within the Bloomberg European Corporate Index. Hence, there are no restrictions on the extent to which the Fund’s performance may deviate from the Bloomberg European Corporate Index.
In addition, the Fund’s performance is measured against a benchmark as detailed in the Fund’s key investor information
document. In the context of the Fund’s ESG integration, the Investment Adviser uses the corporate bond component of the Bloomberg European Corporate Index for the purposes of comparing the Fund’s carbon footprint.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the Sustainable Euro Corporate Bond Fund’s investment objective it may be appropriate for investors who:
- seek to invest in Fixed Income Securities;
- seek capital appreciation over the medium term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

SUSTAINABLE EURO STRATEGIC BOND FUND
The Sustainable Euro Strategic Bond Fund’s investment objective is to provide an attractive rate of relative return, measured in Euro, by investing in securities that meet the Investment Adviser’s Fixed Income Securities’ ESG criteria while integrating ESG characteristics by screening out sectors and issuers with low overall sustainability scores, and maintaining a lower carbon footprint than the corporate bond component of the Bloomberg Euro Aggregate Index (see below), taking into account the long-term global warming objectives of the Paris Agreement, as further described below.
The Fund will invest primarily in issues of Euro denominated Fixed Income Securities whether issued by corporations, government or government guaranteed issuers, and subject to applicable law, no more than 20% of its assets in asset-backed securities to the extent that these instruments are securitised.
In relation to this Fund, “Sustainable” means that the Investment Adviser integrates the consideration of sustainable themes and ESG issues in its investment decision-making on a discretionary basis as further detailed below. In addition, the investment Adviser may include evaluation of positive and negative contributions towards the UN Sustainable Development Goals and may engage company management around corporate governance practices as well as what it deems to be materially important environmental and/or social issues facing a company.
The Investment Adviser applies proprietary assessment and scoring methodologies that are bespoke to Fixed Income Securities the Fund may invest in, focussed on corporate, sovereign and securitized issuance. Additionally, as part of the Investment Adviser’s bottom- up, fundamental research process, and in its engagements with issuers, the Investment Adviser incorporates an assessment of sustainability-related risks and opportunities into the assessment process to determine impacts on credit fundamentals, implications for valuation and spreads, and any material aspects that may affect the trading technicalities of the Fixed Income Securities. These criteria may include, but are not limited to ESG themes such as decarbonisation & climate risk, circular economy & waste reduction, diverse & inclusive business and decent work & resilient jobs. The Investment Adviser will monitor core sustainability indicators, including environmental, social and governance assessments from third-party providers, and carbon footprint (measured by carbon intensity, defined as tonnes of CO2 per $1 million revenue for the proportion of the Fund invested in bonds issued by corporates) in order to measure and evaluate the contribution of the Fixed Income Securities to the ESG themes described above. The indicators will be measured and evaluated at on an annual basis.
Investments shall not knowingly include any company whose business activity involves the following:
- manufacturing or production of:
	- controversial weapons;
	- manufacturing or production of civilian firearms;
	- manufacturing or production of tobacco, or where the company derives >10% revenue from tobacco distribution or retail; and
	- gambling, where the company derives >10% revenue from such business activity.


With respect to fossil fuel activities specifically, investments shall not knowingly include any company whose business activity involves the following:
- mining and extraction of thermal coal;
- coal-fired power generation, where the company derives>10% revenue from such business activity;
- extraction or production from oil sands, where the company derives >5% revenue from such business activity; and
- oil or gas extraction or production in the Arctic region, where the company derives >5% revenue from such business activity.

The exception to the above is that the Fund may invest in labelled Sustainable Bonds (see below), or other debt securities that are issued to raise capital specifically for climate-related or environmental projects, which are issued by issuers that would otherwise be subject
to the fossil fuel exclusions above, so long as the Investment Adviser has determined that the objectives of such instruments are consistent with a reduction by the issuer in its carbon emissions. Investment in such instruments will be subject to diligence by the Investment Adviser.
In addition to the above sectoral exclusions, the Investment Adviser monitors business practices on an ongoing basis, through data on ESG controversies and standards screening sourced from third party providers.
The Fund will not invest in securities of issuers with controversy cases that the Investment Adviser views as being very severe, including those related to the OECD Guidelines for Multinational Enterprises, based on ratings by relevant ESG data providers, where the Investment Adviser believes appropriate remedial action has not been taken. The Fund will also not invest in securities of issuers that fail to comply with the UN Global Compact or the ILO fundamental principles, and where the Investment Adviser believes appropriate remedial action has not been taken.
The Investment Adviser may, in its discretion, elect to apply additional ESG-related investment restrictions over time that it believes are consistent with its investment objectives. Such additional restrictions will be disclosed as they are implemented on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im.
For its investments in Fixed Income Securities issued by corporations, the Fund will only invest in the top 80% of rated ESG-scoring corporates in each sub-sector of the Bloomberg Euro Aggregate Index. The ESG scores are determined by the Investment Adviser, using third party ESG data as a base having regard to ESG themes such as such as Decarbonisation & Climate Risk, Circular Economy & Waste Reduction, Diverse & Inclusive Business and Decent Work & Resilient Jobs. For the Fund’s investments in Fixed Income Securities issued by sovereigns, the Fund will only invest in sovereigns within the top 80% of ESG scoring sovereigns that we have evaluated, unless the Investment Adviser perceives that a sovereign in the bottom 20% is demonstrating positive sustainability momentum, and/or issues a Sustainable Bond (see below). The Fund will not invest in bonds from sovereigns which we have not scored. The aforementioned ESG criteria should result in at least 20% reduction of the investible universe of corporates and sovereigns, and the Investment Adviser will use its best efforts to ensure that at least 90% of the corporates in the portfolio are assessed through its ESG scoring methodology. The positive screening process and methodology is available on the following websites: www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im.
Investments that are held by the Fund but subsequently become restricted due to the application of the ESG criteria above, after they
are acquired for the Fund will be sold. Such sales will take place over a time period to be determined by the Investment Adviser, taking into account the best interests of the Shareholders of the Fund.
For the proportion of the Fund invested in bonds issued by corporates, the Fund will maintain a lower carbon footprint than the corporate bond component of the Bloomberg Euro Aggregate Index, taking into account the long-term global warming objectives of the Paris Agreement. Carbon footprint shall be measured as weighted average Carbon Intensity, defined as tonnes of CO2 per
$1million revenue. Sustainable Bonds with climate-related objectives may be determined to have different carbon footprints than the issuers of the bonds. In such cases, the Investment Adviser shall disclose its methodology for determining the relevant carbon footprint of such instruments.
As part of its strategy, the Investment Adviser may invest a proportion of the Fund in Sustainable Bonds, defined as labelled Sustainable Bonds where the issuer has committed to financing or attaining specific environmental and/or social objectives, including but not limited to the below based on the main labels of bonds issued to date, including those recognised by the International Capital Market Association (ICMA):
- Green Bonds;
- Social Bonds;
- Sustainability Bonds;
- Transition Bonds; and
- Sustainability-linked Bonds.

The Investment Adviser deploys a proprietary assessment framework for labelled sustainable bonds, through which the robustness, impact and transparency of such instruments are evaluated.
As noted above, the Investment Adviser uses third-party data and ESG scores and in some cases data on specific issuers, ESG themes or the exclusions noted above may not be available and/or may be estimated by the Investment Adviser using internal methodologies or reasonable estimates. The methodologies used by different data providers may also vary and may result in different scores.
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of derivative instruments such as index futures, contracts for difference (CFDs), TRS, structured notes (including participatory notes), convertible bonds, convertible preferred stocks, options, foreign exchange options, currency forwards and forward contracts and other derivatives for investment or efficient portfolio management (including hedging) purposes.
The Fund may, on an ancillary basis, invest in non-Euro denominated Fixed Income Securities. In accordance with Appendix A “Investment Powers and Restrictions” non-Euro currency exposure may be hedged back to the Euro.
The Fund may invest no more than 20% of its assets in Contingent Convertible Instruments.
The Fund may invest in Fixed Income Securities acquired on the China Interbank Bond Market. No more than 10% of the Fund’s assets will be invested in such securities.
The Fund may invest to a limited extent in units/shares of other collective investment schemes, including the Company’s Funds and open-ended ETFs provided that any ETFs are eligible investments for UCITS funds.
The Fund is actively managed and references the Bloomberg Euro Aggregate Index for the purpose of defining the investment universe. The Investment Adviser has full discretion over the composition of the assets in the Fund. While the Fund will primarily invest in securities that are within the Bloomberg Euro Aggregate Index, it may invest in such components in different weights to those of the Bloomberg Euro Aggregate Index, and it may hold securities which are not included within the Bloomberg Euro Aggregate Index. Hence, there are no restrictions on the extent to which the Fund’s performance may deviate from the Bloomberg Euro Aggregate Index.
In addition, the Fund’s performance is measured against a benchmark as detailed in the Fund’s key investor information document. In the context of the Fund’s ESG integration, the Investment Adviser uses the corporate bond component of the Bloomberg Euro Aggregate Index for the purposes of comparing the Fund’s carbon footprint.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the Sustainable Euro Strategic Bond Fund’s investment objective it may be appropriate for investors who:
- seek to invest in Fixed Income Securities;
- seek capital appreciation over the medium term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

SUSTAINABLE EUROPEAN HIGH YIELD BOND FUND
The Sustainable European High Yield Bond Fund’s investment objective is to generate current income and total return, while integrating ESG characteristics by screening out sectors and issuers with low overall sustainability scores, with a view to achieving the long-term global warming objectives of the Paris Agreement adopted under the United Nations Framework Convention on Climate Change (the “
Paris Agreement
”), as further described below.
The Fund will invest primarily in a diversified portfolio of Fixed Income Securities from issuers that are Located in Europe and which may include zero coupon bonds, deferred interest bonds and bonds on which the interest is payable in the form of additional eligible bonds of the same kind (Payment-in-Kind (PIK) bonds).
The Fund will invest in Fixed Income Securities that are rated Baa3 or lower by Moody’s Investors Service, Inc. (“Moody’s”), BBB- or lower by Standard & Poor’s Ratings Group (“S&P”), BBB- or lower by Fitch’s Investors Service, Inc. or an equivalent rating from another rating agency or an equivalent internal rating from the Investment Adviser as of the date of investment.
In relation to this Fund, “Sustainable” means that the Investment Adviser integrates the consideration of sustainable themes and ESG issues in its investment decision-making on a discretionary basis as further detailed below. In addition, the Investment Adviser may include evaluation of positive and negative contributions towards the UN Sustainable Development Goals and may engage company management around corporate governance practices as well as what it deems to be materially important environmental and/or social issues facing a company.
The Investment Adviser utilizes a screening process, the extensive proprietary ESG research generated by its affiliate, Calvert Research and Management, as well as its own ESG research and data from third party providers in evaluating investments. The Investment Adviser applies proprietary assessment and scoring methodologies that are bespoke to Fixed Income Securities the Fund may invest in, focused on corporate, sovereign and securitized issuance. Additionally, as part of the Investment Adviser’s bottom-up, fundamental research process, and in its engagements with issuers, the Investment Adviser incorporates an assessment of sustainability-related risks and opportunities into the assessment process to determine impacts on credit fundamentals, implications for valuation and spreads, and any material aspects that may affect the trading technicalities of the Fixed Income Securities. These criteria may include, but are not limited to ESG themes such as decarbonisation & climate risk, circular economy & waste reduction, diverse & inclusive business and decent work & resilient jobs. The Investment Adviser will monitor core
sustainability indicators, including environmental, social and governance assessments from third-party providers, and carbon footprint (measured by carbon intensity, defined as tonnes of CO2 per $1 million revenue for the proportion of the Fund invested in bonds issued by corporates) in order to measure and evaluate the contribution of the Fixed Income Securities to the ESG themes described above. The indicators will be measured and evaluated at least annually. This assessment has regard to ESG themes such as decarbonisation and climate risk, circular economy and waste reduction, diverse and inclusive business and decent work and resilient jobs.
Investments shall not knowingly include any company whose business activity involves the following:
- manufacturing or production of:
	- controversial weapons;
	- manufacturing or production of civilian firearms;
	- manufacturing or production of tobacco, or where the company derives >10% revenue from tobacco distribution or retail; and
	- gambling, where the company derives >10% revenue from such business activity.


With respect to fossil fuel activities specifically, investments shall not knowingly include any company whose business activity involves the following:
- mining and extraction of thermal coal;
- coal-fired power generation, where the company derives >10% revenue from such business activity;
- extraction or production from oil sands, where the company derives >5% revenue from such business activity; and
- oil or gas extraction or production in the Arctic region, where the company derives >5% revenue from such business activity.

The exception to the above is that the Fund may invest in labelled Sustainable Bonds (as defined below), or other debt securities that are issued to raise capital specifically for climate-related or environmental projects, which are issued by issuers that would otherwise be subject to the fossil fuel exclusions above, so long as the Investment Adviser has determined that the objectives of such instruments are consistent with a reduction by the issuer in its carbon emissions. Investment in such instruments will be subject to diligence by the Investment Adviser.
In addition to the above sectoral exclusions, the Investment Adviser monitors business practices on an ongoing basis, through data on ESG controversies and standards screening sourced from third party providers.
The Fund will not invest in securities of issuers with controversy cases that the Investment Adviser views as being very severe based on ratings by relevant ESG data providers, where the Investment Adviser believes appropriate remedial action has not been taken. The Fund will also not invest in securities of issuers that fail to comply with the UN Global Compact or the ILO fundamental principles, and where the Investment Adviser believes appropriate remedial action has not been taken.
Further to the above, the Investment Adviser may, in its discretion, elect to apply additional ESG-related investment restrictions over time that it believes are consistent with its investment objectives. Such additional restrictions will be disclosed as they are implemented on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im.
The Investment Adviser will also elect to apply positive screening criteria in its investment process that it believes are consistent with its objectives. The positive screening process and methodology are available at the following websites: www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im.
The aforementioned ESG criteria will result in a reduction of the investible universe by at least 20%, and the Investment Adviser will ensure that at least 90% of the Net Asset Value of the Fund is assessed through its ESG research. The investment universe for these purposes is defined as the Index. The Investment Adviser will also monitor core sustainability indicators, including ESG assessments from third-party providers, and carbon footprint (for the proportion of the Fund invested in fixed income debt securities issued by corporates) in order to measure and evaluate the contribution of the fixed income debt securities to the ESG themes described above. The investible universe will be reviewed on an ongoing basis. The ESG criteria will be reviewed in respect of each individual company at least annually, but this may be carried out more frequently. The Investment Adviser will make adjustments and changes to the methodology as necessary. The indicators referred to above will be measured and evaluated at least annually.
Investments that are held by the Fund but subsequently become restricted after they are acquired for the Fund due to the application of the ESG criteria above, will be sold. Such sales will take place over a time period to be determined by the Investment Adviser, taking into account the best interests of the Shareholders of the Fund.
The Fund will maintain a lower carbon footprint than the ICE BofA European Currency Developed Markets High Yield excluding Subordinated Financials Constrained Index, taking into account the long-term global warming objectives of the Paris Agreement. Carbon footprint shall be measured as weighted average Carbon Intensity, defined as tonnes of CO2 per $1million revenue.
Sustainable Bonds with climate-related objectives may be determined to have different carbon footprints than the issuers of the bonds. In such cases, the Investment Adviser shall disclose its methodology for determining the relevant carbon footprint of such instruments.
As part of its strategy, the Investment Adviser may invest a proportion of the Fund in “
Sustainable Bonds
”, defined as labelled sustainable bonds where the issuer has committed to financing or attaining specific environmental and/or social objectives, including but not limited to the below based on the main labels of bonds issued to date, including those recognised by the International Capital Market Association (ICMA):
- Green Bonds;
- Social Bonds;
- Sustainability Bonds;
- Transition Bonds; and
- Sustainability-linked Bonds.

The Investment Adviser deploys a proprietary assessment framework for labelled sustainable bonds, through which the robustness, impact and transparency of such instruments are evaluated.
As noted above, the Investment Adviser uses third-party data and ESG scores and in some cases data on specific issuers, ESG themes or the exclusions noted above may not be available and/or may be estimated by the Investment Adviser using internal methodologies or reasonable estimates. The methodologies used by different data providers may also vary and may result in different scores.
The Fund will not have any particular sectoral or industry focus and the investment by the Fund is generally not intended to exceed 25% of its net assets in any one industry but investment may exceed this from time to time.
The Fund may invest no more than 20% of its assets in debt securities that are not paying current income in anticipation of the receipt of possible future income or capital appreciation which are unrated or categorized as the lowest rated obligations (rated C by Moody’s or D by S&P).
The Fund may invest to a limited extent in units/shares of other collective investment schemes, including the Company’s Funds and open-ended ETFs, which are eligible investments for UCITS under the 2010 Law.
The Fund may also invest, on an ancillary basis, in equity securities or Fixed Income Securities not meeting the criteria of the Fund’s primary investments, warrants on securities, Cash Equivalents and other linked securities.
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange traded and over-the-counter options, futures and other derivatives for investment or efficient portfolio management (including hedging) purposes.
The Fund is actively managed and is not designed to track a benchmark. The Fund’s performance is measured against a benchmark as detailed in the Fund’s key investor information document, and this benchmark will also be designated as the ICE BofA European Currency Developed Markets High Yield excluding Subordinated Financials Constrained Index and will be used to monitor error relative to the benchmark. While the Fund will generally hold assets referenced in the ICE BofA European Currency Developed Markets High Yield excluding Subordinated Financials Constrained Index, it can invest in such securities in different proportions to their allocations under the ICE BofA European Currency Developed Markets High Yield excluding Subordinated Financials Constrained Index, and it can hold assets which are not referenced in the ICE BofA European Currency Developed Markets High Yield excluding Subordinated Financials Constrained Index. Hence, there are no restrictions on the extent to which the Fund’s performance may deviate from the ICE BofA European Currency Developed Markets High Yield excluding Subordinated Financials Constrained Index.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the Sustainable European High Yield Bond Fund’s investment objective it may be appropriate for investors who:
- seek to invest in Fixed Income Securities;
- seek capital appreciation over the long term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

SUSTAINABLE GLOBAL FIXED INCOME OPPORTUNITIES FUND
The Sustainable Global Fixed Income Opportunities Fund’s investment objective is to provide an attractive level of total return, measured in US Dollars, through investment in global Fixed
Income Securities that meet the Investment Adviser’s ESG criteria while integrating ESG characteristics by screening out sectors and issuers with low overall sustainability scores and maintaining a lower carbon footprint than the corporate bond component of the Bloomberg Global Aggregate Index, taking into account the long term global warming objectives of the Paris Agreement, as further described below. The Fund will seek to achieve the investment policy through allocation across fixed income asset classes as well as through market and instrument selection.
The Fund will invest primarily in the global securities of corporate, government and government related issuers across a spectrum of fixed income asset classes including high yield bonds, investment- grade bonds, mortgage-backed securities, convertibles and currencies, and subject to applicable law, in other asset-backed securities, loan participations and loan assignments, to the extent that these instruments are securitised. High yield bonds are considered to be Fixed Income Securities issued by corporations that are rated lower than “BBB-” by S&P or “Baa3” by Moody’s or similarly by another internationally recognised rating service or determined to be of similar creditworthiness by the Investment Adviser. These investments may include Fixed Income Securities issued in emerging markets.
In relation to this Fund, “Sustainable” means that the Investment Adviser, integrates the consideration of sustainable themes and ESG issues in its investment decision-making on a discretionary basis as detailed below. In addition, the Investment Adviser may include evaluation of positive and negative contributions towards the UN Sustainable Development Goals and may engage company management around corporate governance practices as well as what it deems to be important environmental and/or social issues facing a company.
The Investment Adviser applies proprietary assessment and scoring methodologies that are bespoke to Fixed Income Securities the Fund may invest in, focussed on corporate, sovereign and securitized issuance. Additionally, as part of the Investment Adviser’s bottom- up, fundamental research process, and in its engagements with issuers, the Investment Adviser incorporates an assessment of sustainability-related risks and opportunities into the assessment process to determine impacts on credit fundamentals, implications for valuation and spreads, and any material aspects that may affect the trading technicalities of the Fixed Income Securities. These criteria may include, but are not limited to ESG themes such as decarbonisation & climate risk, circular economy & waste reduction, diverse & inclusive business and decent work & resilient jobs. The Investment Adviser will monitor core sustainability indicators, including environmental, social and governance assessments from third-party providers, and carbon footprint (measured by carbon intensity, defined as tonnes of CO2 per $1 million revenue for the proportion of the Fund invested in bonds issued by corporates) in order to measure and evaluate the
contribution of the Fixed Income Securities to the ESG themes described above. The indicators will be measured and evaluated at least on an annual basis.
The Investment Adviser also deploys a proprietary assessment framework for labelled sustainable bonds, through which the robustness, impact and transparency of such instruments are evaluated.
Investments shall not knowingly include any company whose business activity involves the following:
- manufacturing or production of:
	- controversial weapons;
	- manufacturing or production of civilian firearms;
	- manufacturing or production of tobacco, or where the company derives >10% revenue from tobacco distribution or retail;
	- gambling, where the company derives >10% revenue from such business activity; and
	- adult entertainment, where the company derives >10% revenue from such business activity.


With respect to fossil fuel activities specifically, investments shall not knowingly include any company whose business activity involves the following:
- mining and extraction of thermal coal;
- coal-fired power generation, where the company derives >10% revenue from such business activity;
- extraction or production from oil sands, where the company derives >5% revenue from such business activity; and
- oil or gas extraction or production in the Arctic region, where the company derives >5% revenue from such business activity.

The exceptions to the above is that the Fund may invest in labelled sustainable bonds, or other debt securities that are issued to raise capital specifically for climate-related or environmental projects, which are issued by issuers that would otherwise be subject to this fossil fuel exclusion, so long as it has been determined that the objectives of such instruments are consistent with a reduction by the issuer in its carbon emissions. Investment in such instruments will be subject to diligence by the Investment Adviser.
In addition to the above sectoral exclusions, the Investment Adviser monitors business practices on an ongoing basis, through data on ESG controversies and standards screening sourced from third party providers.
The Fund will not invest in securities of issuers with controversy cases that the Investment Adviser views as being very severe based on ratings by relevant ESG data providers, where the Investment Adviser believes appropriate remedial action has not been taken. The Fund will also not invest in securities of issuers that fail to comply with the UN Global Compact or the ILO fundamental principles, and where the Investment Adviser believes appropriate remedial action has not been taken.
The Investment Adviser may, in its discretion, elect to apply additional ESG-related investment restrictions over time that it believes are consistent with its investment objectives. Such additional restrictions will be disclosed as they are implemented on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im.
The Fund will invest in the top 80% of rated ESG-scoring corporates in each sub-sector of any of the Bloomberg Global Aggregate Corporate Index, the Bloomberg Global High Yield Corporate Index and the J.P. Morgan CEMBI Broad Diversified Index. Where any corporates appear in both (A) the J.P. Morgan CEMBI Broad Diversified Index and (B) either the Bloomberg Global Aggregate Corporate Index or the Bloomberg Global High Yield Corporate Index, the ESG scoring for those corporates will be considered by reference to the J.P. Morgan CEMBI Broad Diversified Index only. The ESG scores are determined by the Investment Adviser, using third party ESG data as a base having regard to ESG themes such as decarbonisation & climate risk, circular economy & waste reduction, diverse & inclusive business and decent work & resilient jobs.
For the Fund’s investments in Fixed Income Securities issued by sovereigns, the Fund will only invest in sovereigns within the top 80% of ESG scoring sovereigns evaluated by the Investment Adviser, unless the Investment Adviser perceives that a sovereign in the bottom 20% is demonstrating positive sustainability momentum, and/or issues a Sustainable Bond (see below). The Fund will not invest in bonds from sovereigns which the Investment Adviser has not scored.
The aforementioned ESG criteria will seek to achieve a selection of corporates and sovereigns that are better rated than the other corporates and sovereigns of the investment universe (the corporate component of which is defined as corporates in any one or more of the Bloomberg Global Aggregate Corporate Index, the Bloomberg Global High Yield Corporate Index and the J.P. Morgan CEMBI Broad Diversified Index, subject to a maximum 10% of the Fund’s portfolio that may be invested in corporates not covered by these indices). In this respect, the ESG-scoring of corporates should result in at least a 20% reduction of the corporate component of the investment universe of the Fund, and the aim of the Investment Adviser will be to ensure that at least 90% of the corporate issuers in the portfolio are assessed through its ESG scoring methodology.
The positive screening process and methodology is available on the following websites: www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im.
For the Fund’s investments in non-corporate and non-sovereign Fixed Income Securities, ESG criteria are considered by the Investment Adviser during the research and investment process to limit exposure to Sustainability Risks and evaluate investment opportunities.
Investments that are held by the Fund but subsequently become restricted due to the application of the ESG criteria above, after they are acquired for the Fund, will be sold. Such sales will take place over a time period to be determined by the Investment Adviser, taking into account the best interests of the Shareholders of the Fund.
For the proportion of the Fund invested in bonds issued by corporates, the Fund will maintain a lower carbon footprint than the corporate bond component of the Bloomberg Global Aggregate Index, taking into account the long-term global warming objectives of the Paris Agreement. Carbon footprint shall be measured as weighted average Carbon Intensity, defined as tonnes of CO2 per
$1million revenue. Sustainable Bonds with climate-related objectives may be determined to have different carbon footprints than the issuers of the bonds. In such cases, the Investment Adviser shall disclose its methodology for determining the relevant carbon footprint of such instruments.
As part of its strategy, the Investment Adviser may invest a proportion of the Fund in Sustainable Bonds, defined as labelled Sustainable Bonds where the issuer has committed to financing or attaining specific environmental and/or social objectives, including but not limited to the below based on the main labels of bonds issued to date, including those recognised by the International Capital Market Association (ICMA):
- Green Bonds;
- Social Bonds;
- Sustainability Bonds;
- Transition Bonds; and
- Sustainability-linked Bonds.

The Investment Adviser uses third-party data and ESG scores and in some cases data on specific issuers, ESG themes or the exclusions noted above may not be available and/or may be estimated by the Investment Adviser using internal methodologies or reasonable estimates. The methodologies used by different data providers may also vary and may result in different scores.
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange traded and over-the-counter options, futures and other derivatives for investment or efficient portfolio management (including hedging) purposes.
The Fund may also invest, on an ancillary basis, in Fixed Income Securities not meeting the above requirements, Cash Equivalents, equity securities or other equity linked securities.
The Fund may invest no more than 20% of its assets in Contingent Convertible Instruments.
It is not expected that the Fund will invest more than 50% of its net assets in aggregate in securitized instruments. It is not expected that the Fund will invest more than 20% of its net assets in any one type of securitized instrument (e.g., asset-backed securities (ABS), commercial mortgage-backed securities (CMBS), residential mortgage-backed securities (RMBS), agency mortgage-backed securities (MBS)).
The Fund may invest in Fixed Income Securities acquired on the China Interbank Bond Market. No more than 10% of the Fund’s assets will be invested in such securities.
The Fund may invest to a limited extent in units/shares of other collective investment schemes, including the Company’s Funds and open-ended ETFs provided that any ETFs are eligible investments for UCITS funds.
The Fund is actively managed and is not designed to track a benchmark, and therefore the composition of the portfolio holdings is not constrained by any benchmarks. In the context of the Fund’s ESG integration, the Investment Adviser uses (i) the corporate bond component of the Bloomberg Global Aggregate Index for the purpose of comparing the Fund’s carbon footprint and (ii) the sub- sectors of the Bloomberg Global Aggregate Corporate Index, the Bloomberg Global High Yield Corporate Index and the J.P. Morgan CEMBI Broad Diversified Index for the purposes of defining the top rated ESG-scoring corporates the Fund will invest into.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the Sustainable Global Fixed Income Opportunities Fund’s investment objective it may be appropriate for investors who:
- seek to invest in Fixed Income Securities;
- seek capital appreciation over the medium term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

SUSTAINABLE GLOBAL HIGH YIELD BOND FUND
The Sustainable Global High Yield Bond Fund’s investment objective is to generate current income and total return, while integrating ESG characteristics by screening out sectors and issuers with low overall sustainability scores, with a view to achieving the long-term global warming objectives of the Paris Agreement adopted under the United Nations Framework Convention on Climate Change (the “
Paris Agreement
”), as further described below.
The Fund will invest primarily in a diversified portfolio of high yielding, Fixed Income Securities issued by corporations and other non-government issuers (“
Corporate Bonds
”) organised or operating in both developed and emerging markets and denominated in global currencies, which may include zero coupon bonds, preferred stocks, deferred interest bonds and notes and bonds and notes on which the interest is payable in the form of additional eligible stocks, bonds or notes of the same kind (Payment-in-Kind (PIK) securities).
The Fund will invest in securities that are rated Baa3 or lower by Moody’s, BBB- or lower by Standard & Poor’s, BBB- or lower by Fitch’s, or similarly rated by another internationally recognised rating service or determined to be of similar creditworthiness by the Investment Adviser as at the date of investment.
In relation to this Fund, “Sustainable” means that the Investment Adviser integrates the consideration of sustainable themes and ESG issues into its investment decision-making on a discretionary basis as further detailed below. In addition, the Investment Adviser may include evaluation of positive and negative contributions towards the UN Sustainable Development Goals and may engage company management around corporate governance practices, as well as what it deems to be materially important environmental and/or social issues facing a company. The Fund will maintain a lower carbon footprint than the ICE BofA Developed Markets High Yield Index Excluding Subordinated Financial Index with a view to achieving the long-term global warming objectives of the Paris Agreement. Carbon footprint shall be measured as weighted average carbon intensity (WACI), defined as tonnes of CO2 per $1million revenue.
Sustainable Bonds (as defined below) with climate-related objectives may be determined to have different carbon footprints than the issuers of the bonds, such as for example where the bond is issued as part of the climate transition strategy of an issuer.
The Investment Adviser utilizes a screening process, the extensive proprietary ESG research generated by its affiliate, Calvert Research and Management, as well as its own ESG research and data from third party providers in evaluating investments. The Investment Adviser also applies proprietary assessment and scoring methodologies that are bespoke to the Fixed Income Securities in which the Fund may invest, focused on corporate, sovereign and securitized issuance. Additionally, as part of the Investment Adviser’s bottom-up, fundamental research process, and in its engagements with issuers, the Investment Adviser incorporates an assessment of sustainability-related risks and opportunities into the assessment process to determine impacts on credit fundamentals, implications for valuation and spreads, and any material aspects that may affect the trading technicalities of the Fixed Income Securities. This assessment has regard to ESG themes such as decarbonisation and climate risk, circular economy and waste reduction, diverse and inclusive business and decent work and resilient jobs.
The Investment Adviser will also elect to apply positive screening criteria in its investment process that it believes are consistent with its objectives. The positive screening process and methodology are available at the following websites: www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im.
The aforementioned ESG criteria will result in a reduction of the investible universe by at least 20%, and the Investment Adviser will ensure that at least 90% of the Net Asset Value of the Fund is assessed through its ESG research. The investment universe for these purposes is defined as the Index. The Investment Adviser will also monitor core sustainability indicators, including ESG assessments from third-party providers, and carbon footprint (for the proportion of the Fund invested in fixed income debt securities issued by corporates) in order to measure and evaluate the contribution of the fixed income debt securities to the ESG themes described above. The investible universe will be reviewed on an ongoing basis. The ESG criteria will be reviewed in respect of each individual company at least annually, but this may be carried out more frequently. The Investment Adviser will make adjustments and changes to the methodology as necessary. The indicators referred to above will be measured and evaluated at least annually.
As part of the investment and screening process, the Fund shall not knowingly invest in any company whose business activity involves the following:
- manufacturing or production of:
	- controversial weapons;
	- manufacturing or production of civilian firearms;
	- manufacturing or production of tobacco, or where the company derives >10% revenue from tobacco distribution or retail; and
	- gambling, where the company derives >10% revenue from such business activity.


With respect to fossil fuel activities specifically, the Fund shall also not knowingly invest in any company whose business activity involves the following:
- mining and extraction of thermal coal;
- coal-fired power generation, where the company derives >10% revenue from such business activity;
- extraction or production from oil sands, where the company derives >5% revenue from such business activity; and
- oil or gas extraction or production in the Arctic region, where the company derives >5% revenue from such business activity.

An exception to the fossil fuel exclusions in the preceding paragraph is that the Fund may invest in labelled sustainable bonds or other Fixed Income Securities that are issued to raise capital specifically for climate-related or environmental projects (“
Sustainable Bonds
”), which are issued by issuers that would otherwise be subject to the fossil fuel exclusions above, so long as the Investment Adviser has determined that the objectives of such instruments are consistent with a reduction by the issuer of its carbon emissions. Investment in such instruments will be subject to diligence by the Investment Adviser. Examples of Sustainable Bonds include, but are not limited to:
- Green bonds;
- Social bonds;
- Sustainability bonds;
- Transition bonds; and
- Sustainability-linked bonds.

Prior to investing in Sustainable Bonds, the Investment Adviser deploys a proprietary assessment framework for labelled Sustainable Bonds, through which the robustness, impact and transparency of such instruments are evaluated.
In addition to the above sectoral exclusions, the Investment Adviser monitors business practices on an ongoing basis, through data on ESG controversies and standards screening sourced from third party providers.
In addition to the above exclusions, the Fund will not invest in securities of issuers with controversy cases that the Investment Adviser views as being very severe based on ratings by relevant ESG data providers, and where the Investment Adviser believes appropriate remedial action has not been taken. The Fund will also not invest in securities of issuers that fail to comply with the UN Global Compact or the ILO fundamental principles, and where the Investment Adviser believes appropriate remedial action has not been taken.
Further to the above, the Investment Adviser may, in its discretion, elect to apply additional ESG-related investment restrictions over time that it believes are consistent with its investment objectives. Such additional restrictions will be disclosed as they are implemented on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im.
Investments that are held by the Fund but subsequently become restricted after they are acquired for the Fund due to the application of the ESG criteria above, will be sold.
As noted above, the Investment Adviser uses third-party data and ESG scores and, in some cases, data on specific issuers, ESG themes or the exclusions noted above may not be available and/or may be estimated by the Investment Adviser using internal methodologies or reasonable estimates. The methodologies used by different data providers may also vary and may result in different scores.
Further information in respect of the integration of sustainability risks in relation to the Company is included in the section of the Prospectus headed “General information relating to Sustainability Risks integration”.
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange traded and over-the-counter options, futures and other derivatives for investment or efficient portfolio management (including hedging) purposes.
The Fund may also invest, on an ancillary basis, in Fixed Income Securities not meeting the criteria of the Fund’s primary investments such as fixed-income and floating rate transferable debt securities issued or guaranteed by the U.S. Government, any state or territory of the United States, any non-U.S. government or any of their respective political subdivisions, agencies or instrumentalities, equity securities, warrants on securities, Cash Equivalents and other equity linked securities. Under normal circumstances, the Fund may invest no more than 10% of its assets in such equity securities, warrants on securities and other equity linked securities.
The Fund generally intends to invest no more than 5% of its net assets in emerging markets, however, investment in emerging markets may comprise up to 20% of the net assets of the Fund.
In addition to exposure to sustainable investments, all investments made by the Fund will be deemed to do no significant harm to environmental or social factors, as determined by the Investment Adviser. The Investment Adviser assesses this according to an internal methodology (as amended from time to time) which considers a representative sub-set of principal adverse sustainability impact indicators.
The Fund will not have any particular sectoral or industry focus and the investment by the Fund is generally not intended to exceed 25% of its net assets in any one industry but investment may exceed this from time to time.
The Fund may invest to a limited extent in units/shares of other collective investment schemes, including the Company’s Funds and open-ended ETFs, which are eligible investments for UCITS under the 2010 Law.
The Fund may invest no more than 20% of its assets in unrated or lowest rated categorised debt securities (rated C by Moody’s or D by S&P).
The Fund may invest no more than 20% of its assets in Contingent Convertible Instruments.
The Fund is actively managed and is not designed to track a benchmark. The Fund’s performance is measured against a benchmark as detailed in the Fund’s key investor information document, and this benchmark will also be designated as the ICE BofA Developed Markets High Yield Index Excluding Subordinated Financial Index and used to monitor error relative to the benchmark. While the Fund will generally hold assets referenced in the ICE BofA Developed Markets High Yield Index Excluding Subordinated Financial Index, it can invest in such securities in different proportions to their allocations under the ICE BofA Developed Markets High Yield Index Excluding Subordinated Financial Index, and it can hold assets which are not referenced in the ICE BofA Developed Markets High Yield Index Excluding Subordinated Financial Index. Hence, there are no restrictions on the extent to which the Fund’s performance may deviate from the ICE BofA Developed Markets High Yield Index Excluding Subordinated Financial Index.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the Sustainable Global High Yield Bond Fund’s investment objective it may be appropriate for investors who:
- seek to invest in Fixed Income Securities;
- seek capital appreciation over the long term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

SUSTAINABLE US HIGH YIELD BOND FUND
The Sustainable US High Yield Bond Fund’s investment objective is to generate current income and total return, while integrating ESG characteristics by screening out sectors and issuers with low overall sustainability scores, with a view to achieving the long-term global warming objectives of the Paris Agreement adopted under the United Nations Framework Convention on Climate Change (the “
Paris Agreement
”), as further described below.
The Fund will invest primarily in a diversified portfolio of Fixed Income Securities from issuers that are Located in the U.S. and which may include zero coupon bonds, deferred interest bonds and bonds on which the interest is payable in the form of additional eligible bonds of the same kind (Payment-in-Kind (PIK) bonds).
The Fund will invest in Fixed Income Securities that are rated Baa3 or lower by Moody’s Investors Service, Inc. (“Moody’s”), BBB- or lower by Standard & Poor’s Ratings Group (“S&P”), BBB- or lower by Fitch’s Investors Service, Inc. or an equivalent rating from another rating agency or an equivalent internal rating from the Investment Adviser as of the date of investment.
In relation to this Fund, “Sustainable” means that the Investment Adviser integrates the consideration of sustainable themes and ESG issues into its investment decision-making on a discretionary basis, as further detailed below. In addition, the Investment Adviser may include evaluation of positive and negative contributions towards the UN Sustainable Development Goals and may engage company management around corporate governance practices, as well as what it deems to be materially important environmental and/or social issues facing a company. The Fund will maintain a lower carbon footprint than the ICE BofA U.S. High Yield Index with a view to achieving the long-term global warming objectives of the Paris Agreement. Carbon footprint shall be measured as weighted average carbon intensity (WACI), defined as tonnes of CO2 per
$1million revenue. Sustainable Bonds (as defined below) with
climate-related objectives may be determined to have different carbon footprints than the issuers of the bonds, such as for example where the bond is issued as part of the climate transition strategy of an issuer.
The Investment Adviser utilizes a screening process, the extensive proprietary ESG research generated by its affiliate, Calvert Research and Management, as well as its own ESG research and data from third party providers in evaluating investments. The Investment Adviser also applies proprietary assessment and scoring methodologies that are bespoke to the Fixed Income Securities in which the Fund may invest, focused on corporate, sovereign and securitized issuance. Additionally, as part of the Investment Adviser’s bottom-up, fundamental research process, and in its engagements with issuers, the Investment Adviser incorporates an assessment of sustainability-related risks and opportunities into the assessment process to determine impacts on credit fundamentals, implications for valuation and spreads, and any material aspects that may affect the trading technicalities of the Fixed Income Securities. This assessment has regard to ESG themes such as decarbonisation and climate risk, circular economy and waste reduction, diverse and inclusive business and decent work and resilient jobs.
The Investment Adviser will also elect to apply positive screening criteria in its investment process that it believes are consistent with its objectives. The positive screening process and methodology are available at the following websites: www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im.
The aforementioned ESG criteria will result in a reduction of the investible universe by at least 20%, and the Investment Adviser will ensure that at least 90% of the Net Asset Value of the Fund is assessed through its ESG research. The investment universe for these purposes is defined as the Index. The Investment Adviser will also monitor core sustainability indicators, including ESG assessments from third-party providers, and carbon footprint (for the proportion of the Fund invested in fixed income debt securities issued by corporates) in order to measure and evaluate the contribution of the fixed income debt securities to the ESG themes described above. The investible universe will be reviewed on an ongoing basis. The ESG criteria will be reviewed in respect of each individual company at least annually, but this may be carried out more frequently. The Investment Adviser will make adjustments and changes to the methodology as necessary. The indicators referred to above will be measured and evaluated at least annually.
As part of the investment and screening process, the Fund shall not knowingly invest in any company whose business activity involves the following:
- manufacturing or production of:
	- controversial weapons;
	- manufacturing or production of civilian firearms;

- manufacturing or production of tobacco, or where the company derives >10% revenue from tobacco distribution or retail; and
- gambling, where the company derives >10% revenue from such business activity.

With respect to fossil fuel activities specifically, the Fund shall also not knowingly invest in any company whose business activity involves the following:
- mining and extraction of thermal coal;
- coal-fired power generation, where the company derives >10% revenue from such business activity;
- extraction or production from oil sands, where the company derives >5% revenue from such business activity; and
- oil or gas extraction or production in the Arctic region, where the company derives >5% revenue from such business activity.

An exception to the fossil fuel exclusions in the preceding paragraph is that the Fund may invest in labelled sustainable bonds or other Fixed Income Securities that are issued to raise capital specifically for climate-related or environmental projects (“
Sustainable Bonds
”), which are issued by issuers that would otherwise be subject to the fossil fuel exclusions above, so long as the Investment Adviser has determined that the objectives of such instruments are consistent with a reduction by the issuer of its carbon emissions. Investment in such instruments will be subject to diligence by the Investment Adviser. Examples of Sustainable Bonds include, but are not limited to:
- Green bonds;
- Social bonds;
- Sustainability bonds;
- Transition bonds; and
- Sustainability-linked bonds.

Prior to investing in Sustainable Bonds, the Investment Adviser deploys a proprietary assessment framework for labelled Sustainable Bonds, through which the robustness, impact and transparency of such instruments are evaluated.
In addition to the above sectoral exclusions, the Investment Adviser monitors business practices on an ongoing basis, through data on ESG controversies and standards screening sourced from third party providers.
In addition to the above exclusions, the Fund will not invest in securities of issuers with controversy cases that the Investment Adviser views as being very severe based on ratings by relevant ESG data providers, and where the Investment Adviser believes
appropriate remedial action has not been taken. The Fund will also not invest in securities of issuers that fail to comply with the UN Global Compact or the ILO fundamental principles, and where the Investment Adviser believes appropriate remedial action has not been taken.
Further to the above, the Investment Adviser may, in its discretion, elect to apply additional ESG-related investment restrictions over time that it believes are consistent with its investment objectives. Such additional restrictions will be disclosed as they are implemented on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im.
Investments that are held by the Fund but subsequently become restricted after they are acquired for the Fund due to the application of the ESG criteria above, will be sold.
As noted above, the Investment Adviser uses third-party data and ESG scores and, in some cases, data on specific issuers, ESG themes or the exclusions noted above may not be available and/or may be estimated by the Investment Adviser using internal methodologies or reasonable estimates. The methodologies used by different data providers may also vary and may result in different scores.
Further information in respect of the integration of sustainability risks in relation to the Company is included in the section of the Prospectus headed “General information relating to Sustainability Risks integration”.
The Fund will not have any particular sectoral or industry focus.
The Fund may also invest, on an ancillary basis, in equity securities or Fixed Income Securities not meeting the criteria of the Fund’s primary investments, warrants on securities, Cash Equivalents and other linked securities.
The Fund may invest no more than 10% of its assets in debt securities that are not paying current income in anticipation of the receipt of possible future income or capital appreciation which are unrated or categorized as the lowest rated obligations (rated C by Moody’s or D by S&P).
The Fund may invest to a limited extent in units/shares of other collective investment schemes, including the Company’s Funds and open-ended ETFs, which are eligible investments for UCITS under the 2010 Law.
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange traded and over-the-counter options, futures and other derivatives for investment or efficient portfolio management (including hedging) purposes.
In addition to exposure to sustainable investments, all investments made by the Fund will be deemed to do no significant harm to environmental or social factors, as determined by the Investment Adviser. The Investment Adviser assesses this according to an internal methodology (as amended from time to time) which considers a representative sub-set of principal adverse sustainability impact indicators.
The Fund is actively managed and is not designed to track a benchmark. The Fund’s performance is measured against a benchmark as detailed in the Fund’s key investor information document, and this benchmark will also be designated as the ICE BofA U.S. High Yield Index and will be used to monitor error relative to the benchmark. While the Fund will generally hold assets referenced in the ICE BofA U.S. High Yield Index, it can invest in such securities in different proportions to their allocations under the ICE BofA U.S. High Yield Index, and it can hold assets which are not referenced in the ICE BofA U.S. High Yield Index. Hence, there are no restrictions on the extent to which the Fund’s performance may deviate from the ICE BofA U.S. High Yield Index.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the Sustainable US High Yield Bond Fund’s investment objective it may be appropriate for investors who:
- seek to invest in Fixed Income Securities;
- seek capital appreciation over the long term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

US DOLLAR CORPORATE BOND FUND
The US Dollar Corporate Bond Fund’s investment objective is to provide an attractive rate of relative return, measured in US Dollars.
The Fund will seek to achieve its investment objective by investing primarily in US Dollar denominated Fixed Income Securities issued by corporations and other non-government issuers (“Corporate Bonds”).
The Investment Adviser applies proprietary assessment and scoring methodologies that are bespoke to Fixed Income Securities the
Fund may invest in, focussed on corporate, sovereign and securitized issuance. Additionally as part of the Investment Adviser’s bottom- up, fundamental research process, and in its engagements with issuers, the Investment Adviser incorporates an assessment of sustainability-related risks and opportunities into the assessment process to determine impacts on credit fundamentals, implications for valuation and spreads, and any material aspects that may affect the trading technicalities of the Fixed Income Securities. These criteria may include, but are not limited to ESG themes such as decarbonisation & climate risk, circular economy & waste reduction, diverse & inclusive business and decent work & resilient jobs. The Investment Adviser will monitor core sustainability indicators, including environmental, social and governance assessments from third-party providers, and carbon footprint (measured by carbon intensity, defined as tonnes of CO2 per $1 million revenue for the proportion of the Fund invested in bonds issued by corporates) in order to measure and evaluate the contribution of the Fixed Income Securities to the ESG themes described above. The indicators will be measured and evaluated at least on an annual basis.
The Investment Adviser also deploys a proprietary assessment framework for labelled sustainable bonds, through which the robustness, impact and transparency of such instruments are evaluated.
The Investment Adviser promotes the low carbon transition through excluding corporate issuers for which thermal coal production is a core business, and promotes human life through excluding products that are detrimental to health and wellbeing, specifically tobacco, controversial weapons and civilian firearms manufacturing. Accordingly, investments shall not knowingly include any company whose business activity involves the following:
- manufacturing or production of controversial weapons;
- manufacturing or production of civilian firearms; and
- manufacturing or production of tobacco.

With respect to fossil fuel activities specifically, the Investment Adviser may engage company management around the topics of decarbonisation and climate risk, as well as corporate governance practices and what it deems to be materially important other environmental and/or social issues facing a company. Investments shall not knowingly include any company whose business activity involves the mining and extraction of thermal coal, where the company derives >5% revenue from such business activity.
The exceptions to the above is that the Fund may invest in labelled sustainable bonds, or other debt securities that are issued to raise capital specifically for climate-related or environmental projects, which are issued by issuers that would otherwise be subject to this fossil fuel exclusion, so long as it has been determined that the
objectives of such instruments are consistent with a reduction by the issuer in its carbon emissions. Investment in such instruments will be subject to diligence by the Investment Adviser. The Fund may invest in issuers who may not themselves contribute to the specific environmental or social characteristics promoted by the financial product such as hedging instruments, unscreened investments for diversification purposes, or investments for which data are lacking.
In addition to the above sectoral exclusions, the Investment Adviser monitors business practices on an ongoing basis, through data on ESG controversies and standards screening sourced from third party providers. The Investment Adviser will consider controversy cases that it views as being very severe based on ratings by relevant ESG data providers, and failures to comply with the UN Global Compact or the ILO fundamental principles, although such incidents will not automatically result in exclusion from the portfolio.
Further to the above, the Investment Adviser may, at its discretion, elect to apply additional ESG-related investment restrictions over time that it believes are consistent with its investment objectives. Such additional restrictions will be disclosed as they are implemented on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im.
Investments that are held by the Fund which as a result of the application of the ESG criteria above become restricted after they are acquired for the Fund, will be sold. Such sales will take place over a time period to be determined by the Investment Adviser, taking into account the best interests of the Shareholders of the Fund. The Investment Adviser uses third-party data and in some cases data on specific issuers, ESG themes or the exclusions noted above may not be available and/or may be estimated by the Investment Adviser using internal methodologies or reasonable estimates. The methodologies used by different data providers may also vary and may result in different scores.
With a view to enhancing returns and/or as part of the investment strategy, the Fund may invest in derivatives (in accordance with the investment powers and restrictions set out in Appendix A) such as exchange traded and over-the-counter options, futures, swaps and other derivatives for investment or efficient portfolio management (including hedging) purposes.
The Fund will not invest in any securities that are rated below B- (or below BBB- in the case of asset-backed securities, including mortgage-backed securities) by Standard & Poor’s Corporation (“S&P”) or an equivalent rating from another rating agency or an equivalent internal rating from the Investment Adviser as at the date of investment. In the event that any securities held by the Fund are subsequently downgraded to a rating below B- (or below BBB- in the case of asset-backed securities, including mortgage-backed securities),
the Investment Adviser may maintain a maximum total exposure of 3% of the Fund’s Net Asset Value to such downgraded securities but will divest any such security that has not been upgraded to a rating of at least B- within six months of its downgrade.
The Fund may, on an ancillary basis, invest in:
- Non-US Dollar denominated Fixed Income Securities. In accordance with Appendix A “Investment Powers and Restrictions” non US Dollar currency exposure may be hedged back to US Dollars;
- Fixed Income Securities that are not Corporate Bonds.

The Fund may invest no more than 20% of its assets in asset- backed securities and mortgage-backed securities.
The Fund may invest to a limited extent in units/shares of other collective investment schemes, including the Company’s Funds and open-ended ETFs provided that any ETFs are eligible investments for UCITS funds.
The Fund is actively managed and is not designed to track a benchmark. The Fund’s performance is measured against a benchmark as detailed in the Fund’s key investor information document.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the US Dollar Corporate Bond Fund’s investment objective it may be appropriate for investors who:
- seek to invest in Fixed Income Securities;
- seek capital appreciation over the medium term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

US DOLLAR HIGH YIELD BOND FUND
The US Dollar High Yield Bond Fund’s investment objective is to provide an attractive rate of total return, measured in US Dollars. The Fund will seek to achieve its investment objective by investing primarily in high yield and unrated US Dollar denominated Fixed Income Securities, including without limitation those issued by
governments, agencies and corporations located in emerging markets and for the avoidance of doubt and subject to applicable law, including asset-backed securities and loan participations and loan assignments, to the extent that these instruments are securitised.
The Investment Adviser applies proprietary assessment and scoring methodologies that are bespoke to Fixed Income Securities the Fund may invest in, focussed on corporate, sovereign and securitized issuance. Additionally as part of the Investment Adviser’s bottom-up, fundamental research process, and in its engagements with issuers, the Investment Adviser incorporates an assessment of sustainability- related risks and opportunities into the assessment process to determine impacts on credit fundamentals, implications for valuation and spreads, and any material aspects that may affect the trading technicalities of the Fixed Income Securities. These criteria may include, but are not limited to ESG themes such as decarbonisation & climate risk, circular economy & waste reduction, diverse & inclusive business and decent work & resilient jobs, The Investment Adviser also deploys a proprietary assessment framework for labelled sustainable bonds, through which the robustness, impact and transparency of such instruments are evaluated.
Investments shall not knowingly include any company whose business activity involves the following:
- manufacturing or production of controversial weapons;
- manufacturing or production of civilian firearms; and
- manufacturing or production of tobacco.

With respect to fossil fuel activities specifically, the Investment Adviser may engage company management around the topics of decarbonisation and climate risk, as well as corporate governance practices and what it deems to be materially important other environmental and/or social issues facing a company. Investments shall not knowingly include any company whose business activity involves the mining and extraction of thermal coal, where the company derives >5% revenue from such business activity.
The exception to the above is that the Fund may invest in labelled sustainable bonds, or other debt securities that are issued to raise capital specifically for climate-related or environmental projects, which are issued by issuers that would otherwise be subject to this fossil fuel exclusion, so long as it has determined that the objectives of such instruments are consistent with a reduction by the issuer in its carbon emissions. Investment in such instruments will be subject to diligence by the Investment Adviser.
In addition to the above sectoral exclusions, the Investment Adviser monitors business practices on an ongoing basis, through data on ESG controversies and standards screening sourced from third party providers. The Investment Adviser will consider controversy cases that it views as being very severe based on ratings by relevant ESG data providers, and failures to comply with the UN Global
Compact or the ILO fundamental principles, although such incidents will not automatically result in exclusion from the portfolio.
Further to the above, the Investment Adviser may, in its discretion, elect to apply additional ESG-related investment restrictions over time that it believes are consistent with its investment objectives. Such additional restrictions will be disclosed as they are implemented on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im.
Investments that are held by the Fund but, due to the application of the ESG criteria above, become restricted after they are acquired for the Fund will be sold. Such sales will take place over a time period to be determined by the Investment Adviser, taking into account the best interests of the Shareholders of the Fund. The Investment Adviser uses third-party data and in some cases data on specific issuers, ESG themes or the exclusions noted above may not be available and/or may be estimated by the Investment Adviser using internal methodologies or reasonable estimates. The methodologies used by different data providers may also vary and may result in different scores.
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange traded and over-the-counter options, futures and other derivatives for investment or efficient portfolio management (including hedging) purposes.
High yield Fixed Income Security means a Fixed Income Security that has a rating less than “BBB-” by S&P or “Baa3” by Moody’s or similarly rated by another internationally recognised rating service or determined to be of similar creditworthiness by the Investment Adviser.
The Fund may, on an ancillary basis, invest in higher quality Fixed Income Securities and non-USD denominated Fixed Income Securities.
The Fund may invest no more than 20% of its assets in Contingent Convertible Instruments.
The Fund may invest to a limited extent in units/shares of other collective investment schemes, including the Company’s Funds and open-ended ETFs provided that any ETFs are eligible investments for UCITS funds.
The Fund is actively managed and is not designed to track a benchmark. The Fund’s performance is measured against a benchmark as detailed in the Fund’s key investor information document.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the US Dollar High Yield Bond Fund’s investment objective it may be appropriate for investors who:
- seek to invest in Fixed Income Securities;
- seek capital appreciation over the medium term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

US DOLLAR SHORT DURATION BOND FUND
The US Dollar Short Duration Bond Fund’s investment objective is to provide an attractive rate of return, measured in US Dollars. The Fund will seek to achieve its investment objective by investing primarily in high quality USD denominated Fixed Income Securities, and for the avoidance of doubt including asset-backed securities (including mortgage-backed securities). The weighted average duration of the Fund will normally be less than 1 year, although this may be higher under certain market conditions.
The Investment Adviser applies proprietary assessment and scoring methodologies that are bespoke to Fixed Income Securities the Fund may invest in, focussed on corporate, sovereign and securitized issuance. Additionally as part of the Investment Adviser’s bottom- up, fundamental research process, and in its engagements with issuers, the Investment Adviser incorporates an assessment of sustainability-related risks and opportunities into the assessment process to determine impacts on credit fundamentals, implications for valuation and spreads, and any material aspects that may affect the trading technicalities of the Fixed Income Securities. These criteria may include, but are not limited to ESG themes such as decarbonisation & climate risk, circular economy & waste reduction, diverse & inclusive business and decent work & resilient jobs, The Investment Adviser also deploys a proprietary assessment framework for labelled sustainable bonds, through which the robustness, impact and transparency of such instruments are evaluated.
Investments shall not knowingly include any company whose business activity involves the following:
- manufacturing or production of controversial weapons;
- manufacturing or production of civilian firearms; and
- manufacturing or production of tobacco.

With respect to fossil fuel activities specifically, the Investment Adviser may engage company management around the topics of decarbonisation and climate risk, as well as corporate governance practices and what it deems to be materially important other environmental and/or social issues facing a company. Investments shall not knowingly include any company whose business activity involves the mining and extraction of thermal coal, where the company derives >5% revenue from such business activity.
The exception to the above is that the Fund may invest in labelled sustainable bonds, or other debt securities that are issued to raise capital specifically for climate-related or environmental projects, which are issued by issuers that would otherwise be subject to this fossil fuel exclusion, so long as it has determined that the objectives of such instruments are consistent with a reduction by the issuer in its carbon emissions. Investment in such instruments will be subject to diligence by the Investment Adviser.
In addition to the above sectoral exclusions, the Investment Adviser monitors business practices on an ongoing basis, through data on ESG controversies and standards screening sourced from third party providers. The Investment Adviser will consider controversy cases that it views as being very severe based on ratings by relevant ESG data providers, and failures to comply with the UN Global Compact or the ILO fundamental principles, although such incidents will not automatically result in exclusion from the portfolio.
Further to the above, the Investment Adviser may, in its discretion, elect to apply additional ESG-related investment restrictions over time that it believes are consistent with its investment objectives. Such additional restrictions will be disclosed as they are implemented on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im.
Investments that are held by the Fund but, due to the application of the ESG criteria above, become restricted after they are acquired for the Fund will be sold. Such sales will take place over a time period to be determined by the Investment Adviser, taking into account the best interests of the Shareholders of the Fund. The Investment Adviser uses third-party data and in some cases data on specific issuers, ESG themes or the exclusions noted above may not be available and/or may be estimated by the Investment Adviser using internal methodologies or reasonable estimates. The methodologies used by different data providers may also vary and may result in different scores.
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange traded and over-the-counter options, futures and other derivatives for investment or efficient portfolio management (including hedging) purposes.
Securities will be deemed to be high quality if at the time of purchase they are rated either “BBB-” or better by Standard & Poor’s Corporation (“S&P”) or “Baa3” or better by Moody’s Investors Service, Inc. (“Moody’s”), or similarly rated by another internationally recognised rating service or determined to be of similar creditworthiness by the Investment Adviser. The Fund may continue to invest in such securities that are downgraded after purchase but may not make additional purchases of such securities.
The Fund may invest to a limited extent in units/shares of other collective investment schemes, including the Company’s Funds and open-ended ETFs provided that any ETFs are eligible investments for UCITS funds.
The Fund is actively managed and is not designed to track a benchmark. The Fund’s performance is measured against a benchmark as detailed in the Fund’s key investor information document.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the US Dollar Short Duration Bond Fund’s investment objective it may be appropriate for investors who:
- seek to invest in Fixed Income Securities;
- seek capital appreciation over the short term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

US DOLLAR SHORT DURATION HIGH YIELD BOND FUND
The US Dollar Short Duration High Yield Bond Fund’s investment objective is to provide an attractive rate of total return, measured in USD. The Fund will seek to achieve its investment objective by investing primarily in high yield and unrated USD denominated High Yield Fixed Income Securities, including without limitation those issued by governments, agencies and corporations located in emerging markets and for the avoidance of doubt and subject to applicable law, including asset-backed securities, loan participations and loan assignments, to the extent that these instruments are securitised.
The Investment Adviser applies proprietary assessment and scoring methodologies that are bespoke to Fixed Income Securities the Fund may invest in, focussed on corporate, sovereign and securitized issuance. Additionally as part of the Investment Adviser’s bottom- up, fundamental research process, and in its engagements with issuers, the Investment Adviser incorporates an assessment of sustainability-related risks and opportunities into the assessment process to determine impacts on credit fundamentals, implications for valuation and spreads, and any material aspects that may affect the trading technicalities of the Fixed Income Securities. These criteria may include, but are not limited to ESG themes such as decarbonisation & climate risk, circular economy & waste reduction, diverse & inclusive business and decent work & resilient jobs, The Investment Adviser also deploys a proprietary assessment framework for labelled sustainable bonds, through which the robustness, impact and transparency of such instruments are evaluated.
Investments shall not knowingly include any company whose business activity involves the following:
- manufacturing or production of controversial weapons;
- manufacturing or production of civilian firearms; and
- manufacturing or production of tobacco.

With respect to fossil fuel activities specifically, the Investment Adviser may engage company management around the topics of decarbonisation and climate risk, as well as corporate governance practices and what it deems to be materially important other environmental and/or social issues facing a company. Investments shall not knowingly include any company whose business activity involves the mining and extraction of thermal coal, where the company derives >5% revenue from such business activity.
The exception to the above is that the Fund may invest in labelled sustainable bonds, or other debt securities that are issued to raise capital specifically for climate-related or environmental projects, which are issued by issuers that would otherwise be subject to this fossil fuel exclusion, so long as it has determined that the objectives of such instruments are consistent with a reduction by the issuer in
its carbon emissions. Investment in such instruments will be subject to diligence by the Investment Adviser.
In addition to the above sectoral exclusions, the Investment Adviser monitors business practices on an ongoing basis, through data on ESG controversies and standards screening sourced from third party providers. The Investment Adviser will consider controversy cases that it views as being very severe based on ratings by relevant ESG data providers, and failures to comply with the UN Global Compact or the ILO fundamental principles, although such incidents will not automatically result in exclusion from the portfolio.
Further to the above, the Investment Adviser may, in its discretion, elect to apply additional ESG-related investment restrictions over time that it believes are consistent with its investment objectives. Such additional restrictions will be disclosed as they are implemented on www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im.
Investments that are held by the Fund but, due to the application of the ESG criteria above, become restricted after they are acquired for the Fund will be sold. Such sales will take place over a time period to be determined by the Investment Adviser, taking into account the best interests of the Shareholders of the Fund. The Investment Adviser uses third-party data and in some cases data on specific issuers, ESG themes or the exclusions noted above may not be available and/or may be estimated by the Investment Adviser using internal methodologies or reasonable estimates. The methodologies used by different data providers may also vary and may result in different scores.
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange traded and over-the-counter options, futures and other derivatives for investment or efficient portfolio management (including hedging) purposes.
The weighted average duration of the Fund will normally be less than 3 years, although this may be higher under certain market conditions.
High Yield Fixed Income Security means a Fixed Income Security that has a rating less than “BBB-” by S&P or “Baa3” by Moody’s or similarly rated by another internationally recognised rating service or determined to be of similar creditworthiness by the Investment Adviser.
The Fund may, on an ancillary basis, invest in:
- Higher quality Fixed Income Securities than High Yield Fixed Income Securities; and
- Non-USD denominated Fixed Income Securities.

The Fund may invest to a limited extent in units/shares of other collective investment schemes, including the Company’s Funds and open-ended ETFs provided that any such ETFs are eligible investments for UCITS funds.
The Fund may invest no more than 20% of its assets in Contingent Convertible Instruments.
The Fund is actively managed and is not designed to track a benchmark. The Fund’s performance is measured against a benchmark as detailed in the Fund’s key investor information document.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the US Dollar Short Duration High Yield Bond Fund’s investment objective it may be appropriate for investors who:
- seek to invest in Fixed Income Securities;
- seek capital appreciation over the medium term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

ASSET ALLOCATION FUNDS
The following Asset Allocation Funds have the following objectives:
GLOBAL BALANCED DEFENSIVE FUND
The Global Balanced Defensive Fund’s investment objective is to provide an attractive level of total return, measured in Euro, through investing primarily in a portfolio of transferable securities and money market instruments globally and through the use of financial derivative instruments. The Fund is managed within a clearly-defined, risk-controlled framework, actively managing the total portfolio risk, by managing the portfolio volatility level in line with a pre-defined target volatility below that of the Global Balanced Fund. The Investment Adviser dynamically adjust the portfolio positioning in a balanced mix of equity, fixed income, Cash Equivalents, and commodity-linked securities, aiming to maintain a stable risk profile using an ex-ante approach.
The Fund will implement top-down, tactical views on global asset classes across (1) equity including closed-end Real Estate Investment Trusts (REITS); (2) Fixed Income Securities; and (3) Cash Equivalents.
The Investment Adviser’s tactical view will be implemented by accessing the following investment universe:
- Primary investments: equity securities, including closed-end Real Estate Investment Trusts (REITS); Fixed Income Securities (including investment grade, non-investment grade and unrated); and Cash Equivalents. This investment may be direct, or via derivatives. The Fund may invest in financial derivative instruments to achieve its investment objective and derivatives may be used for both investment and hedging purposes. These derivative instruments may include but are not limited to futures, options, warrants, contracts for difference, forward contracts on financial instruments and options on such contracts, credit linked instruments and swap contracts, whether traded on or off exchange.
- Ancillary investments: other transferable securities or, to a limited extent, to collective investment schemes including the Company’s Funds and ETFs as well as China A-Shares via Stock Connect. The Fund may invest up to 10% of its net assets in China A-Shares via Stock Connect.

The Investment Adviser anticipates it will predominantly employ the following investment strategies:
- Global asset allocation: investing in securities in line with individual asset class indices. The Investment Adviser will select the indices which will be used to make tactical views globally across (1) equity securities including Real Estate Investment Trusts (REITS); (2) Fixed Income Securities; and (3) Cash Equivalents. The Investment Adviser may use on or off exchange traded derivatives such as futures or swaps to gaindiversified and/or more efficient exposure to specific global markets where due to the intended allocation size or due to inefficiencies in transacting directly in the underlying securities, investing via derivatives is a preferable investment option in the Investment Adviser’s opinion.
- ESG screening: in addition, the Investment Adviser may consider ESG factors on a bottom-up basis; where investing directly in transferable securities, the Investment Adviser may consider the relative ranking of issuers for ESG factors as part of assessing the potential for return and as part of managing total portfolio risk.

The Investment Adviser may use additional investment strategies such as:
- Commodity-linked investments: the Fund may (in accordance with the investment powers and restrictions set out in AppendixA) implement tactical views on commodities via exchange traded commodities (ETCs) and/or commodity linked notes.
- Use of derivatives for efficient portfolio management: the Fund may also invest in Cash Equivalents, warrants, exchange traded and over-the-counter options, and other derivatives for efficient portfolio management (including hedging) purposes as well as for the investment purposes as outlined above.

The Fund’s investments may result in exposure to emerging markets and to higher yielding securities.
The Fund is actively managed and the composition of the portfolio holdings is not constrained by any benchmarks.
Taxonomy Regulation disclosure
The investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities.
Profile of the typical investor
In light of the Global Balanced Defensive Fund’s investment objective it may be appropriate for investors who:
- seek capital appreciation over the medium term;
- seek a balanced investment that focuses on those asset classes the Investment Adviser finds tactically most attractive;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

GLOBAL BALANCED FUND
The Global Balanced Fund’s investment objective is to provide an attractive level of total return, measured in Euro, by investing in a broad and balanced asset mix of both equity and Fixed Income Securities while incorporating ESG considerations. The Fund is managed within a clearly-defined, risk-controlled framework, actively managing the total portfolio risk, by managing the portfolio volatility
level in line with a pre-defined target volatility. The Investment Adviser dynamically adjust the portfolio positioning in a balanced mix of equity, fixed income, Cash Equivalents, and commodity- linked securities, aiming to maintain a stable risk profile using an ex-ante approach.
The Investment Adviser will implement a flexible top-down driven approach to identify investment opportunities across the permissible investment universe.
Sustainability factors are considered by the Investment Adviser during both the investment and research process to limit exposure to Sustainability Risks and seek out investment opportunities. These criteria may include, but are not limited to, climate change, carbon emissions, water scarcity, waste management, biodiversity, labour management, gender diversity, health & safety, product safety, data privacy & security, executive remuneration, board independence, shareholder rights, and bribery and corruption.
In relation to this Fund, “Sustainable” means that the Investment Adviser, in its discretion, integrates ESG considerations in its investment decision-making as further detailed below. The Investment Adviser may engage company management around corporate governance practices as well as what it deems to be materially important environmental and/or social issues facing a company in order to ensure that the target companies follow good governance practices.
The Investment Adviser shall not knowingly include the following companies in the investment universe, companies:
- associated with severe ESG controversies;
- involved with controversial weapons (including civilian firearms);
- involved in gambling;
- associated with tobacco; and
- that derive revenue from thermal coal and oil sands.

The details of the above exclusions can be found in the Fund’s exclusion policy which is available on the Company’s website (www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im). The exclusions (which comprise, but are not limited to, the above exclusions) are determined by the Investment Adviser’s own proprietary analysis rather than the reliance on third party analysis. However, the analysis may be supported by third party ESG controversies analysis and business involvement research. The exclusions criteria is applied to all direct investments within the Fund. The exclusion criteria will not be applied to investments in which the Investment Adviser does not have direct control of the underlying holdings, for example collective investment schemes or open-ended ETFs. The exclusion criteria is subject to periodic review and any changes will be reflected in the exclusion policy document.
Investments that are held by the Fund but become restricted after they are acquired for the Fund will be sold. Such sales will take place over a time period to be determined by the Investment Adviser, taking into account the best interests of the Shareholders of the Fund.
The Investment Adviser integrates ESG data including ratings and scores from third parties when constructing security baskets to implement asset class views, subject to a tracking error and other constraints. The Investment Adviser uses third-party data and ESG scores and in some cases data on specific issuers, ESG themes or the exclusions noted above may not be available and/or may be estimated by the Investment Adviser using internal methodologies or reasonable estimates. The methodologies used by different data providers may also vary and may result in different scores.
The Investment Adviser tilts the portfolio of the Fund towards high ESG performing stocks, and aims to improve the aggregated fund ESG performance versus that of the underlying equity index. In addition to ESG factors, the Investment Adviser treats climate change as a separate consideration, and also applies an additional climate change score during the tilting process.
The Investment Adviser creates – for all 11 GICS sectors within each regional equity market – individual baskets that tilt towards the top quartile ESG and low-carbon transition leaders.
The Fund’s primary investment universe includes equity securities, including eligible closed-end Real Estate Investment Trusts (REITS); Fixed Income Securities (including investment grade, non-investment grade and unrated); and Cash Equivalents. This investment may be direct, or via derivatives. The Fund may invest in financial derivative instruments for both investment and hedging purposes. These derivative instruments may include but are not limited to futures, options, warrants, contracts for difference, forward contracts on financial instruments and options on such contracts, credit linked instruments and swap contracts, whether traded on or off exchange.
The Fund’s ancillary investment universe may also invest to a limited extent in units/shares of other collective investment schemes including the Company’s Funds and open-ended ETFs, provided that any ETFs are eligible investments for UCITS funds. The Fund may invest up to 10% of its net assets in China A-Shares via Stock Connect.
The Investment Adviser may use additional investment strategies such as commodity-linked investments which qualify as transferable securities in accordance with article 1(34) of the 2010 Law and article 2 of the Grand-Ducal Regulation of 8 February 2008. The Fund may (in accordance with the investment powers and restrictions set out in Appendix A) implement tactical views on
commodities via exchange traded commodities (ETCs) and/or commodity linked notes.
The Fund may also invest in Cash Equivalents, warrants, exchange traded and over-the-counter options, and other derivatives for efficient portfolio management (including hedging) purposes as well as for the investment purposes as outlined above.
The Fund’s investments may result in exposure to emerging markets and to higher yielding securities.
The Fund is actively managed and the composition of the portfolio holdings is not constrained by any benchmarks.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the Global Balanced Fund’s investment objective it may be appropriate for investors who:
- seek capital appreciation over the medium term;
- seek a balanced investment that focuses on those asset classes the Investment Adviser finds tactically most attractive;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

GLOBAL BALANCED INCOME FUND
The Global Balanced Income Fund’s investment objective is to provide regular income and capital appreciation, measured in Euro, through investing primarily in a portfolio of transferable securities and money market instruments globally and through the use of financial derivative instruments. The Fund is managed within a clearly-defined, risk-controlled framework, actively managing the total portfolio risk, by managing the portfolio volatility level in line with a pre-defined target volatility. The Investment Adviser dynamically adjust the portfolio positioning in a balanced mix of equity, fixed income, Cash Equivalents, and commodity-linked securities, aiming to maintain a stable risk profile using an ex-ante approach.
The Fund will implement top-down, tactical views on global asset classes across (1) equity including closed-end Real Estate Investment Trusts (REITS); (2) Fixed Income Securities; and (3) Cash Equivalents. The Investment Adviser’s tactical view will be implemented by accessing the following investment universe:
- Primary investments: equity securities, including closed-end Real Estate Investment Trusts (REITS); Fixed Income Securities (including investment grade, non-investment grade and unrated); and Cash Equivalents. This investment may be direct, or via derivatives. The Fund may invest in financial derivative instruments to achieve its investment objective and derivatives may be used for both investment and hedging purposes. These derivative instruments may include but are not limited to futures, options, warrants, contracts for difference, forward contracts on financial instruments and options on such contracts, credit linked instruments and swap contracts, whether traded on or off exchange.
- Ancillary investments: other transferable securities or, to a limited extent, to UCIs including the Company’s Funds and ETFs as well as China A-Shares via Stock Connect. The Fund may invest up to 10% of its net assets in China A-Shares via Stock Connect.

Investment in equity securities will not be less than 10% of the Fund’s net asset value, nor more than 90% of the Fund’s net asset value.
Investment in non-investment grade bonds will not exceed 30% of the Fund’s net asset value.
The Investment Adviser anticipates it will predominantly employ the following investment strategies:
- Global asset allocation: investing in securities in line with individual asset class indices. The Investment Adviser will select the indices which will be used to make tactical views globally across (1) equity securities including Real Estate Investment Trusts (REITS); (2) Fixed Income Securities; and (3) Cash Equivalents. The Investment Adviser may use on or off exchange traded derivatives such as futures or swaps to gain diversified and/or more efficient exposure to specific global markets where due to the intended allocation size or due to inefficiencies in transacting directly in the underlying securities, investing via derivatives is a preferable investment option in the Investment Adviser’s opinion.
- Income generation: in addition to purchasing income generating transferable securities, additional income will be sought through the receipt of premiums as a result of writing on or off exchange traded options, which may be written on indices; single securities; or currencies.

The Investment Adviser may use additional investment strategies such as:
- Commodity-linked investments: the Fund may (in accordance with the investment powers and restrictions set out in Appendix
	- implement tactical views on commodities via exchange traded commodities (ETCs) and/or commodity linked notes.

- Use of derivatives for efficient portfolio management: the Fund may also invest in cash warrants, exchange traded and over-the- counter options, and other derivatives for efficient portfolio management (including hedging) purposes as well as for the investment purposes as outlined above.
- Use of open and closed ended UCIs, including the Company’s Funds and ETFs; the Investment Adviser would primarily use UCIs and ETFs to gain diversified and/or more efficient exposure to specific global markets where due to the intended allocation size or due to inefficiencies in transacting directly in the underlying securities an UCI or ETF is a preferable investment option in the Investment Adviser’s opinion.

The Fund’s investments may result in exposure to emerging markets and to higher yielding securities.
The Fund is actively managed and the composition of the portfolio holdings is not constrained by any benchmarks.
Taxonomy Regulation disclosure
The investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities.
Profile of the typical investor
In light of the Global Balanced Income Fund’s investment objective it may be appropriate for investors who:
- seek capital appreciation over the medium term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

GLOBAL BALANCED RISK CONTROL FUND OF FUNDS
The Global Balanced Risk Control Fund of Funds’ investment objective is to invest in units/shares of other collective investment schemes to provide an attractive level of total return, measured in Euro, while actively managing total portfolio risk. The Fund is managed within a clearly-defined, risk-controlled framework, actively managing the volatility level in line with a pre-defined target volatility. The Investment Adviser adjust the portfolio positioning in a balanced mix of equity, fixed income, Cash Equivalents, and commodity-linked securities, aiming to maintain a stable risk profile using an ex-ante approach. The Fund will implement tactical views on global fixed income and equity asset classes by investing primarily in undertakings for collective investments (“UCI”) including the Company’s Funds, ETFs, futures, investment funds managed by the Investment Adviser or its affiliates and other collective investment schemes.
On an ancillary basis and with a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance
with the investment powers and restrictions set out in Appendix A) implement tactical views on commodities via exchange traded commodities (ETCs) and/or commodity linked notes, and may also invest in Cash Equivalents, warrants, exchange traded and over-the-counter options, and other derivatives for investment or efficient portfolio management (including hedging) purposes.
The Fund may also invest on an ancillary basis in equity securities, including eligible closed-end Real Estate Investment Trusts (REITS); Fixed Income Securities (including investment grade, non-investment grade and unrated); China A-Shares via Stock Connect. The Fund may invest up to 10% of its net assets in China A-Shares via Stock Connect.
The Fund’s investments may result in exposure to emerging markets and to higher yielding securities.
The Fund is actively managed and the composition of the portfolio holdings is not constrained by any benchmarks.
Taxonomy Regulation disclosure
The investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities.
Profile of the typical investor
In light of the Global Balanced Risk Control Fund of Funds’ investment objective it may be appropriate for investors who:
- seek capital appreciation over the medium term;
- seek income whether in the form of capital appreciation or distributions, as outlined in “Dividend Policy”;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

GLOBAL BALANCED SUSTAINABLE FUND
The Global Balanced Sustainable Fund’s investment objective is to provide an attractive level of total return, measured in Euro, by investing in a broad and balanced asset mix of both equity and Fixed Income Securities while incorporating ESG considerations and taking into account the long term global warming objectives of the Paris Agreement. The Fund is managed within a clearly- defined, risk-controlled framework, actively managing the volatility level in line with a pre-defined target volatility. The managers adjust the portfolio positioning in a balanced mix of equity, fixed income, Cash Equivalents, and commodity-linked securities, aiming to maintain a stable risk profile using an ex-ante approach.
The Investment Adviser will implement a flexible top-down driven approach to identify investment opportunities across the permissible investment universe.
Sustainability factors are considered by the Investment Adviser during both the investment and research process to limit exposure to Sustainability Risks and seek out investment opportunities.
These criteria may include, but are not limited to, climate change, carbon emissions, water scarcity, waste management, biodiversity, labour management, gender diversity, health & safety, product safety, data privacy & security, executive remuneration, board independence, shareholder rights, and bribery and corruption.
In relation to this Fund, “Sustainable” means that the Investment Adviser, in its discretion, integrates ESG considerations in its investment decision-making as further detailed below. The Investment Adviser may engage company management around corporate governance practices as well as what it deems to be materially important environmental or social issues facing a company in order to ensure that the target companies follow good governance practices.
The Investment Advisor shall not knowingly include the following companies in the investment universe companies:
- associated with severe ESG controversies;
- involved with controversial weapons (including civilian firearms);
- involved in gambling;
- associated with tobacco;
- that derive revenue from thermal coal and oil sands.

The details of the above exclusions can be found in the Fund’s exclusion policy which is available on the Company’s website (www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im). The exclusions (which comprise, but are not limited to, the above exclusions) are determined by the Investment Adviser’s own proprietary analysis rather than the reliance on third party analysis. However, the analysis may be supported by third party ESG controversies analysis and business involvement research. The exclusions criteria is applied to all direct investments within the Fund. The exclusion criteria will not be applied to investments in which the Investment Adviser does not have direct control of the underlying holdings, for example collective investment schemes or open-ended ETFs. The exclusion criteria is subject to periodic review and any changes will be reflected in the exclusion policy document.
Investments that are held by the Fund but become restricted after they are acquired for the Fund will be sold. Such sales will take place over a time period to be determined by the Investment Adviser, taking into account the best interests of the Shareholders of the Fund.
The Investment Adviser integrates ESG rating scores data from third parties when constructing security baskets to implement asset class views, subject to a tracking error and other constraints. The Investment Adviser tilts the portfolio of the Fund towards high ESG performing stocks, and aims to improve the aggregated fund ESG performance versus that of the underlying equity index. In
addition to ESG factors, the Investment Adviser treats climate change as a separate consideration, and also applies an additional climate change score during the tilting process.
The Fund will take into account the long-term global warming objectives of the Paris Agreement. To reach this environmental objective the Investment Adviser’s ESG integration process has two distinct climate tilts: 1) stock-specific and 2) sector-specific.
For the stock-specific, the Investment Adviser creates – for all 11 GICS sectors within each regional equity market – individual baskets that tilt towards the top quartile ESG and low-carbon transition leaders. For the sector-specific, the Investment Adviser aggregates the sector baskets subject to an overall carbon budget, aligned with a science-based climate trajectory subject to tracking error.
The Investment Adviser will also allocate 5% to 30% of the Fund for investment in assets with a measurable positive social or environmental impact (based on the Investment Adviser’s methodology), alongside a competitive long term financial return. These investments can be held directly through equity or Fixed Income Securities, or indirectly through collective investment schemes.
The aforementioned ESG criteria should result in a reduction of the investible universe (as described below) in a significantly engaging manner, and the Investment Adviser will use its best efforts to ensure that at least 90% of the issuers in the portfolio are assessed against these ESG considerations.
As noted above, the Investment Adviser uses third-party data and ESG scores and in some cases data on specific issuers, ESG themes or the exclusions noted above may not be available and/or may be estimated by the Investment Adviser using internal methodologies or reasonable estimates. The methodologies used by different data providers may also vary and may result in different scores.
The Fund’s Primary investment universe includes equity securities, including eligible closed-end Real Estate Investment Trusts (REITS); Fixed Income Securities (including investment grade, non-investment grade and unrated); and Cash Equivalents. This investment may be direct, or via derivatives. The Fund may invest in financial derivative instruments for both investment and hedging purposes, including derivative instruments that may not, meet the ESG criteria noted above. These derivative instruments may include but are not limited to futures, options, warrants, contracts for difference, forward contracts on financial instruments and options on such contracts, credit linked instruments and swap contracts, whether traded on or off exchange.
The Fund’s ancillary investment universe may also invest to a limited extent in units/shares of other collective investment schemes, including the Company’s Funds, and open-ended ETFs, provided that any ETFs are eligible investments for UCITS funds. The Fund may invest up to 10% of its net assets in China A-Shares via Stock Connect.
The Investment Adviser may use additional investment strategies such as Commodity-linked investments which qualify as transferable securities in accordance with article 1(34) of the 2010 Law and article 2 of the Grand-Ducal Regulation of 8 February 2008. The Fund may (in accordance with the investment powers and restrictions set out in Appendix A) implement tactical views on commodities via exchange traded commodities (ETCs) and/or commodity linked notes.
The Fund may also invest in Cash Equivalents, warrants, exchange traded and over-the-counter options, and other derivatives for efficient portfolio management (including hedging) purposes as well as for the investment purposes as outlined above.
The Fund’s investments may result in exposure to emerging markets and to higher yielding securities.
The Fund is actively managed and the composition of the portfolio holdings is not constrained by any benchmarks.
Taxonomy Regulation disclosure
In light of the Taxonomy Regulation, investors’ attention is drawn to the fact that the “Do No Significant Harm” principle does not apply to any of the investments of the Fund, since the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation. Therefore the Fund’s alignment with the Taxonomy Regulation is 0%.
Profile of the typical investor
In light of the Global Balanced Sustainable Fund’s investment objective it may be appropriate for investors who:
- seek capital appreciation over the medium term;
- seek a balanced investment that focuses on those asset classes the Investment Adviser finds tactically most attractive;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

GLOBAL MULTI-ASSET OPPORTUNITIES FUND
The Global Multi-Asset Opportunities Fund’s investment objective is to provide an absolute return, measured in Euros, while actively managing total portfolio risk. The Investment Adviser seeks to manage downside risk and targets below market volatility.
The Fund will seek to achieve its investment objective by investing in baskets of stocks, ETFs, bonds and derivatives.
The Fund may take both long and short positions, either directly or (specifically in the case of short positions) through the use of derivatives as described below, in a diversified range of equity and equity related securities of any market capitalisation, Fixed Income Securities, currencies and commodities. The Fund will only take
indirect exposure to commodities, by investing into eligible structured products such as commodity-linked notes the underlying of which are commodity indices and/or sub-indices and/or derivative instruments referencing one or more commodity indices qualifying as financial indices under UCITS Regulations. When using such indices, the Fund must comply with the diversification limits set out in the UCITS Regulations: each component of a financial index may represent up to 20% of the index, except that in exceptional market circumstances one single component may represent up to 35% of the index.
With a view to enhancing returns and/or as part of the investment strategy, the Fund may (in accordance with the investment powers and restrictions set out in Appendix A) make use of exchange traded and over-the-counter options, futures, swaps and other derivatives for investment or efficient portfolio management (including hedging) purposes.
The Fund may also make the following investments or use the following financial instruments:
- currency spot transactions, currency forward transactions, non- deliverable currency forward transactions and Money Market Funds, the assets of which may be managed by the Investment Adviser or any of its related, associated or affiliated companies; and/or
- deposits, fixed or floating rate instruments (including but not limited to commercial paper), floating rate notes, certificates of deposit, debentures, asset-backed securities and government or corporate bonds, and Cash Equivalents; and/or
- Fixed Income Securities acquired on the China Interbank Bond Market which will account for no more than 20% of the Fund’s net assets; and/or
- China A-Shares via Stock Connect which will account for no more than 10% of the Fund’s net assets; and/or
- up to 10% of the Fund may be invested in accordance with paragraph 2.2. of Appendix A.

The Investment Adviser will utilize a top-down, global macroeconomic and thematic investment approach that focuses on asset class, sector, region and country selection, as opposed to individual security selection. The Fund’s allocations will be based upon the Investment Adviser’s evaluations and analyses, taking into account its fundamental investment research, which is primarily driven by quantitative macroeconomic and market data.
Investment decisions will be made without regard to any particular limit, subject to Appendix A, as to geographical location, sector, credit rating, maturity, currency denomination or market capitalization. The Fund may invest in any country, including developing or emerging market countries. The Fund’s
investments may be denominated in Euros or in currencies other than the Euro.
The Fund is actively managed and the composition of the portfolio holdings is not constrained by any benchmarks.
Taxonomy Regulation disclosure
The investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities.
Profile of the typical investor
In light of the Global Multi-Asset Opportunities Fund’s investment objective it may be appropriate for investors who:
- seek a return over the medium term;
- seek a balanced investment that focuses on those asset classes the Investment Adviser finds tactically most attractive;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.

MULTI-ASSET RISK CONTROL FUND
The Multi-Asset Risk Control Fund’s investment objective is to provide an attractive level of total return, measured in USD, through investing primarily in a portfolio of transferable securities and money market instruments globally and through the use of financial derivative instruments.
The Fund will implement top-down, tactical views on global asset classes across (1) equity including closed-end Real Estate Investment Trusts (REITS); (2) Fixed Income Securities; and (3) Cash Equivalents.
The Investment Adviser’s tactical view will be implemented by accessing the following investment universe:
- Primary investments: equity securities, including closed-end Real Estate Investment Trusts (REITS) which are eligible for investment by a UCITS under the 2010 Law; Fixed Income Securities (including investment grade, non-investment grade and unrated); and Cash Equivalents. This investment may be direct, or via derivatives. The Fund may invest in financial derivative instruments to achieve its investment objective and derivatives may be used for both investment and hedging purposes. These derivative instruments may include but are not limited to futures, options, warrants, contracts for difference, forward contracts on financial instruments and options on such contracts and swap contracts, whether traded on or off exchange.
- Ancillary investments: other transferable securities or, to a limited extent, to collective investment schemes including the Company’s Funds and open-ended ETFs, which are eligible investments for UCITS under the 2010 Law, as well as China A-Shares via Stock Connect. The Fund may invest up to 10% of its net assets in China A-Shares via Stock Connect.

The Investment Adviser anticipates it will predominantly employ the following investment strategies:
- Global asset allocation: investing in securities in line with individual asset class indices. The Investment Adviser will select the indices which will be used to make tactical views globally across (1) equity securities including Real Estate Investment Trusts (REITS); (2) Fixed Income Securities; and (3) Cash Equivalents. The Investment Adviser may use on or off exchange traded derivatives such as futures or swaps to gain diversified and/or more efficient exposure to specific global markets where due to the intended allocation size or due to inefficiencies in transacting directly in the underlying securities, investing via derivatives is a preferable investment option in the Investment Adviser’s opinion.
- ESG screening: in addition, the Investment Adviser may consider ESG factors on a bottom-up basis; where investing directly in transferable securities, the Investment Adviser may consider the relative ranking of issuers for ESG factors as part of assessing the potential for return and as part of managing total portfolio risk.

The Investment Adviser may use additional investment strategies such as:
- Commodity-linked investments: the Fund may (in accordance with the investment powers and restrictions set out in Appendix
	- implement tactical views on commodities via exchange traded commodities (ETCs) which qualify as transferable securities in accordance with article 1(34) of the 2010 Law and article 2 of the Grand-Ducal Regulation of 8 February 2008.

- Use of derivatives for efficient portfolio management: the Fund may also invest in Cash Equivalents, warrants, exchange traded and over-the counter options, and other derivatives for efficient portfolio management (including hedging) purposes as well as for the investment purposes as outlined above.

The Fund’s investments may result in exposure to emerging markets and to higher yielding securities. The Fund aims to manage total portfolio risk by managing the volatility level of the portfolio.
The Fund is actively managed and the composition of the portfolio holdings is not constrained by any benchmarks.
Taxonomy Regulation disclosure
The investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities.
Profile of the typical investor
In light of the Multi-Asset Risk Control Fund’s investment objective it may be appropriate for investors who:
- seek capital appreciation over the medium term;
- seek a balanced investment that focuses on those asset classes the Investment Adviser finds tactically most attractive;
- accept the risks associated with this type of investment, as set out in Section 1.5 “Risk Factors”.
-

Translation (ENIT, 2022-11-01):
# Obiettivi e Politiche di Investimento
Lo scopo della Società è fornire agli investitori l’opportunità di investire in una gamma di comparti che persegua una ripartizione dei rischi di investimento, gestita professionalmente, al fine di ottenere un rendimento ottimale dal capitale investito.
A tale scopo la Società offre una gamma di Comparti, che permettono agli investitori di realizzare le proprie strategie di allocazione combinando partecipazioni nei vari Comparti nelle proporzioni desiderate.
In conformità alle prescrizioni sugli OICVM, le informazioni di seguito riportate comprendono una descrizione del profilo dell’investitore tipico per il quale il Comparto è stato concepito. Si prega tuttavia di notare che tale informativa non costituisce una consulenza in materia di investimenti e i potenziali investitori dovrebbero consultare i propri consulenti professionali in merito all’acquisto, la detenzione o gli atti di disposizione di Azioni di un Comparto. Né la Società né la Società di Gestione rilasciano alcuna dichiarazione in merito alla adeguatezza, appropriatezza o dichiarazioni di altro tipo in relazione agli investimenti in Azioni dei Comparti.
I sub-distributori o gli altri intermediari che hanno bisogno della dichiarazione del produttore relativa al mercato di riferimento devono contattare la Società di Gestione all’indirizzo cslux@morganstanley.com. I Comparti non saranno offerti per la vendita al pubblico in una certa giurisdizione fino a quando non saranno state ottenute nella stessa tutte le necessarie autorizzazioni.
Ciascun Comparto viene gestito in conformità ai limiti di investimento e alle assunzioni di prestiti specificati nell’Appendice A.
I Comparti sono autorizzati all’utilizzo di derivati sia a fini di copertura che di efficiente gestione del portafoglio o come parte delle loro strategie di investimento come
descritte negli obiettivi di investimento dei Comparti. Salvo sia diversamente specificato nell’obiettivo di investimento del Comparto, l’utilizzo di derivati può essere effettuato solo ai fini di copertura e/o efficiente gestione del portafoglio. L’utilizzo da parte dei Comparti di derivati può essere effettuato solo nei limiti specificati nella Sezione 3 dell’Appendice A. Gli investitori dovrebbero verificare la Sezione 1.5 relativa ai “Fattori di Rischio” illustrati per speciali considerazioni di rischio che riguardano i derivati. I Comparti possono guadagnare un’esposizione in indici finanziari eleggibili o attività di riferimento in linea con i loro obiettivi d’investimento mediante uno o più total return swap (“TRS”) o simili strumenti finanziari derivati, come ulteriormente descritto nell’Appendice A.
I Comparti di seguito elencati possono effettuare negoziazioni di contratti a termine (future), opzioni su contratti a termine o su merci e/o taluni swap. Anche se il Sub-consulente Morgan Stanley Investment Management Inc. è registrato presso la U.S. Commodity Futures Trading Commission (“CFTC”) come consulente per le negoziazioni su materie prime (“CTA”) ed in tale veste è membro della U.S. National Futures Association, con riguardo ai Comparti di seguito elencati per i quali agisce come Sub-consulente, il Sub-consulente opera avvalendosi di una esenzione dalla registrazione quale CTA ai sensi della Rule 14.14(a)(8) CFTC e, conseguentemente, fornirà consulenza sulle negoziazioni su materie prime come se fosse esonerato dalla registrazione come CTA. Morgan Stanley Investment Management Limited e gli altri Subconsulenti sono esenti dalla registrazione presso CFTC come CTA ai sensi della Rule 3.10(c)(3) con riguardo ai Comparti di seguito elencati, per i quali ciascuna entità, a seconda dei casi, opera come Consulente per gli Investimenti o Sub-consulente.
American Resilience Fund	Global Focus Property Fund
Asia Opportunity Fund	Global High Yield Bond Fund
Calvert Sustainable Climate Aligned Fund	Global Infrastructure Fund
Calvert Sustainable Climate Transition Fund	Global Insight Fund Calvert Sustainable Developed Europe Equity Select Fund	Global Macro Fund
Calvert Sustainable Developed Markets Equity Select Fund	Global Multi-Asset Opportunities Fund Calvert Sustainable Diversity, Equity and Inclusion Fund	Global Opportunity Fund
Calvert Sustainable Emerging Markets Equity Select Fund	Global Permanence Fund Calvert Sustainable Global Equity Engagement Fund	Global Property Fund Calvert Sustainable Global Green Bond Fund	Latin American Equity Fund
Calvert Sustainable US Equity Select Fund	NextGen Emerging Markets Fund
Counterpoint Global Fund	Parametric Emerging Markets Fund
Developing Opportunity Fund	Parametric Global Defensive Equity Fund
Emerging Markets Corporate Debt Fund	Short Duration US Government Income Fund
Emerging Markets Debt Fund	Short Maturity Euro Corporate Bond Fund Emerging Markets Debt Opportunities Fund	Sustainable Emerging Markets Equity Fund Emerging Markets Domestic Debt Fund	Sustainable European High Yield Bond Fund Emerging Markets Fixed Income Opportunities Fund	Sustainable Global Fixed Income Opportunities Fund Emerging Markets Local Income Fund	Sustainable Global High Yield Bond Fund
Europe Opportunity Fund	Sustainable US High Yield Bond Fund
European Fixed Income Opportunities Fund	US Advantage Fund
Floating Rate ABS Fund	US Core Equity Fund
Frontier Markets Local Debt Fund	US Dollar Corporate Bond Fund
Global Asset Backed Securities Fund	US Dollar High Yield Bond Fund
Global Balanced Sustainable Fund	US Dollar Short Duration Bond Fund
Global Bond Fund	US Dollar Short Duration High Yield Bond Fund
Global Convertible Bond Fund	US Focus Property Fund
Global Core Equity Fund	US Growth Fund
Global Credit Fund	US Insight Fund
Global Credit Opportunities Fund	US Permanence Fund
Global Endurance Fund	US Value Fund
Global Fixed Income Opportunities Fund	Vitality Fund
I Comparti sono autorizzati ad utilizzare tecniche di gestione efficiente del portafoglio nei limiti specificati nella Sezione 3 dell’Appendice A. Si informano gli investitori che tutti i Comparti possono di volta in volta utilizzare tecniche di gestione efficiente del portafoglio come il prestito titoli o contratti di riacquisto e contratti di riacquisto inverso. Gli investitori dovrebbero fare riferimento alla Sezione 1.5 relativa ai “Fattori di Rischio” per speciali considerazioni di rischio applicabili alle tecniche di gestione efficiente del portafoglio e ai derivati.
Un investimento in qualsiasi Comparto della Società non è un deposito in banca o in un altro istituto di deposito riconosciuto. L’investimento potrebbe non essere adatto per tutti gli investitori. Ciascun Comparto non si prefigge un programma di investimento completo e gli investitori dovrebbero considerare i loro obiettivi di investimento e le loro esigenze finanziarie nel momento in cui decidono di investire in un particolare Comparto. Un investimento nei Comparti della Società deve essere considerato come un investimento a medio o lungo termine . I Comparti non devono essere utilizzati come uno strumento di negoziazione.
INFORMAZIONI GENERALI RELATIVE AI COMPARTI
L’espressione “misura limitata” indicherà il 10% o meno delle attività effettivamente investite (attività nette, dedotte le Attività Equivalenti alla Liquidità) di ciascun Comparto. Alcuni singoli Comparti possono imporre livelli percentuali diversi, che saranno indicati negli obiettivi di investimento di tali Comparti. Gli obiettivi e le strategie di investimento dei Comparti potrebbero non indicare in modo esaustivo tutti gli investimenti accessori, ammessi ai sensi della Legge del 2010 che i Comparti possono detenere, a condizione che tali investimenti ammissibili non superino il 5% del patrimonio netto dei Comparti.
Ciascun Comparto può detenere attività liquide in via accessoria (e cioè depositi bancari a vista, come denaro liquido detenuto in conti correnti presso una banca accessibile in qualsiasi momento) fino al 20% del proprio patrimonio netto al fine di coprire pagamenti correnti o eccezionali, o per il tempo necessario a reinvestire in
attività idonee previste dall’articolo 41, paragrafo 1, della Legge del 2010 o per un periodo di tempo strettamente necessario in caso di condizioni di mercato sfavorevoli. Tale limite può, in condizioni di mercato eccezionalmente sfavorevoli (ad esempio in circostanze molto gravi come gli attentati dell’11 settembre o il fallimento di Lehman Brothers nel 2008), essere temporaneamente superato per un periodo di tempo strettamente necessario fino al 100% del patrimonio netto, al fine di adottare misure per mitigare i rischi relativi a tali condizioni di mercato eccezionalmente sfavorevoli, nel migliore interesse degli Azionisti.
Salvo ove diversamente specificato nei loro obiettivi e strategie d’investimento, tutti i Comparti possono detenere Attività Equivalenti alla Liquidità fino al 100% del loro patrimonio netto al fine di (i) raggiungere i loro obiettivi d’investimento, e/o per (ii) finalità di tesoreria, e/o (iii) in caso di condizioni di mercato sfavorevoli. Gli strumenti del mercato monetario comprendono in via esemplificativa ma non esaustiva carte commerciali, certificati di deposito e obbligazioni governative a breve termine. Tutti i Comparti possono anche investire in comparti del mercato monetario a breve termine e comparti del mercato monetario, in base alla definizione di cui alle Linee Guida del CESR 10-049 datate 19 maggio 2010 sulla comune definizione dei comparti del mercato monetario europeo (Comparti del Mercato Monetario a Breve Termine e Comparti del Mercato Monetario). Ciò può comprendere investimenti nei comparti di Morgan Stanley Liquidity Funds o in altri Comparti del Mercato Monetario a Breve Termine e Comparti del Mercato Monetario gestiti da Consulenti per gli Investimenti o da uno qualsiasi dei Subconsulenti.
2
Il Russian Trading Stock Exchange e il Moscow Interbank Currency Exchange sono gli unici mercati nella Federazione Russa che rientrano nella definizione dei Mercati Riconosciuti contenuta nell’Articolo 41(1) della Legge del 2010.
Qualsiasi investimento in SPAC (Special Purpose Acquisition Company) avrà come limite il 10% dell’attivo netto dei Comparti.
I Comparti possono investire in Azioni A cinesi via Stock Connect nella misura consentita dal rispettivo obiettivo d’investimento. Gli investitori dei relativi Comparti dovrebbero fare riferimento alla Sezione 1.5 relativa ai “Fattori di Rischio” per speciali considerazioni di rischio applicabili agli investimenti in Azioni A cinesi via Stock Connect.
Se una valuta è menzionata tra parentesi nel nome di un Comparto, tale valuta è la valuta di riferimento di tale comparto ed è usata ai fini del calcolo della performance e per finalità contabili. Essa può differire dalla valuta di investimento del Comparto.
2 
Il Morgan Stanley Liquidity Funds (compresi tutti i suoi comparti) non è approvato per la distribuzione ad investitori non qualificati in Svizzera.
Non vi può essere garanzia che gli obiettivi di investimento dei Comparti saranno raggiunti.
Per informazioni relative ai rendimenti passati, si consiglia agli investitori di consultare il documento contenente le informazioni chiave per l’investitore (“Key Investor Information Document” o “KIID”) della relativa Classe di Azioni.
Informazioni generali riguardanti l’integrazione del Rischio di Sostenibilità
Per mantenere l’impegno di Morgan Stanley Investment Management ad effettuare investimenti sostenibili, la Società ha adottato una Politica per gli Investimenti Sostenibili, che è disponibile nei siti: www.morganstanley.com/im/sustainable- investing e www.morganstanleyinvestmentfunds.com. La Politica per gli Investimenti Sostenibili della Società indica come la struttura di governance della Società, l’integrazione ESG, i Comparti ESG e le attività di gestione (stewardship), coinvolgimento societario e voto supportino la Società nell’adempimento dei suoi obblighi fiduciari e nelle risposte che dà alle preferenze e alle necessità degli investitori. Le attività di stewardship, in particolare, sono parte integrante del nostro ruolo di investitori attivi a lungo termine, in quanto ci permettono di incoraggiare le società e gli emittenti a migliorare i loro risultati in una serie di questioni, rischi e opportunità legati alla sostenibilità. Gli approcci al coinvolgimento nelle società e alla stewardship variano tra i nostri team d’investimento in base al titolo/società specifici, al tipo di attivi, alla strategia d’investimento e alla rilevanza delle questioni, dei rischi e delle opportunità legati alla sostenibilità. Ulteriori dettagli possono essere trovati nella nostra Politica per gli Investimenti Sostenibili, disponibile nei siti www.morganstanley.com/im/sustainable-investing e www.morganstanleyinvestmentfunds.com.
Ai sensi del Regolamento (UE) 2019/2088 sull’informativa sulla sostenibilità nel settore dei servizi finanziari (il “
SFDR
”), i Comparti sono tenuti a rendere noto il modo in cui i Rischi di Sostenibilità (come definiti nella successiva sezione 1.5.1. intitolata Fattori di Rischio Generali) sono integrati nelle decisioni di investimento e i risultati della valutazione del probabile impatto dei Rischi di Sostenibilità nei rendimenti dei Comparti.
La Società riconosce che vari Rischi di Sostenibilità possono compromettere gli investimenti a livello di singola attività e di portafoglio. Questi Rischi di Sostenibilità possono ricomprendere i rischi di cambiamento climatico e quelli fisici, il depauperamento delle risorse naturali, la quantità dei rifiuti, il mantenimento dell’occupazione, il turnover e i disordini, le interruzioni nelle catene di fornitura, la corruzione e la frode e i problemi reputazionali associati alle violazioni dei diritti umani.
La Società riconosce che l’insieme dei Rischi di Sostenibilità rilevanti crescerà e si evolverà nel tempo. La rilevanza di tali rischi e degli impatti finanziari su una singola attività e su un portafoglio nel suo complesso dipendono dal settore, dal Paese, dalla classe di attivi e dallo stile di investimento. I Consulenti per gli Investimenti, i Subconsulenti o la Società di Gestione, a seconda dei casi, sono in ultima analisi responsabili per l’integrazione dei Rischi di Sostenibilità sostanzialmente rilevanti nelle verifiche e nella ricerca, nella valutazione, nella selezione delle attività, nella costruzione del portafoglio e nel monitoraggio continuo degli investimenti insieme agli altri fattori di rischio rilevanti.
Pertanto, la valutazione del probabile impatto dei Rischi di Sostenibilità rilevanti deve essere condotta a livello di singolo Comparto. Avendo un portafoglio diversificato, i Comparti possono essere esposti a diversi Rischi di Sostenibilità che variano a seconda degli emittenti, i mercati, i settori, gli strumenti finanziari, le regioni geografiche, ecc. A meno che non vengano fornite informazioni specifiche in relazione a singoli Comparti nella sezione 1.2 “Obiettivi e Politiche di Investimento”, non si prevede che un singolo Rischio di Sostenibilità possa avere un impatto finanziario negativo di rilevante entità sul valore di un Comparto. Ulteriori informazioni sul SFDR applicabili alla Società nei vari casi sono disponibili nel sito www.morganstanley.com/im.
I Comparti non promuovono aspetti ambientali o sociali né hanno come obiettivo gli investimenti sostenibili, e sono considerati come rientranti nel campo di applicazione dell’articolo 6 del SFDR, eccetto i Comparti qui di seguito elencati
3
:
- American Resilience Fund (Articolo 8 del SFDR);
- Asia Opportunity Fund (Articolo 8 del SFDR);
- Calvert Sustainable Climate Aligned Fund (Articolo 9 del SFDR);
- Calvert Sustainable Climate Transition Fund (Articolo 9 del SFDR);
- Calvert Sustainable Developed Europe Equity Select Fund (Articolo 9 del SFDR);
- Calvert Sustainable Developed Markets Equity Select Fund (Articolo 9 del SFDR);
- Calvert Sustainable Diversity, Equity and Inclusion Fund (Articolo 9 del SFDR);3 Dal 12 dicembre 2022, i seguenti Comparti ricadranno nell’ambito di applicazione dell’Articolo 8 del SFDR (si prega di fare riferimento alle relative note sotto la descrizione dei loro obiettivi e politiche di investimento più avanti):
- Asian Property Fund;
- European Property Fund;
- Global Focus Property Fund;
- Global Infrastructure Fund;
- Global Property Fund
- US Focus Property Fund; e
- US Property Fund.
- Calvert Sustainable Emerging Markets Equity Select Fund (Articolo 9 del SFDR);
- Calvert Sustainable Global Equity Engagement Fund (Articolo 9 del SFDR);
- Calvert Sustainable Global Green Bond Fund (Articolo 9 del SFDR);
- Calvert Sustainable US Equity Select Fund (Articolo 9 del SFDR);
- Counterpoint Global Fund (Articolo 8 del SFDR);
- Developing Opportunity Fund (Articolo 8 del SFDR);
- Emerging Leaders Equity Fund (Articolo 8 del SFDR);
- Emerging Markets Corporate Debt Fund (Articolo 8 del SFDR);
- Emerging Markets Debt Fund (Articolo 8 del SFDR);
- Emerging Markets Debt Opportunities Fund (Articolo 8 del SFDR);
- Emerging Markets Domestic Debt Fund (Articolo 8 del SFDR);
- Emerging Markets Fixed Income Opportunities Fund (Articolo 8 del SFDR);
- Emerging Markets Local Income Fund (Articolo 8 del SFDR);
- Euro Bond Fund (Articolo 8 del SFDR);
- Euro Corporate Bond Fund (Articolo 8 del SFDR);
- Euro Corporate Bond – Duration Hedged Fund (Articolo 8 del SFDR);
- Euro Strategic Bond Fund (Articolo 8 del SFDR);
- Europe Opportunity Fund (Articolo 8 del SFDR);
- European Fixed Income Opportunities Fund (Articolo 8 del SFDR);
- European High Yield Bond Fund (Articolo 8 del SFDR);
- Floating Rate ABS Fund (Articolo 8 del SFDR);
- Frontier Markets Local Debt Fund (Articolo 8 del SFDR);
- Global Asset Backed Securities Fund (Articolo 8 del SFDR);
- Global Balanced Fund (Articolo 8 del SFDR);
- Global Balanced Sustainable Fund (Articolo 8 del SFDR);
- Global Bond Fund (Articolo 8 del SFDR);
- Global Brands Equity Income Fund (Articolo 8 del SFDR);
- Global Brands Fund (Articolo 8 del SFDR);
- Global Convertible Bond Fund (Articolo 8 del SFDR);
- Global Credit Fund (Articolo 8 del SFDR);
- Global Credit Opportunities Fund (Articolo 8 del SFDR);
- Global Fixed Income Opportunities Fund (Articolo 8 del SFDR);
- Global High Yield Bond Fund (Articolo 8 del SFDR);
- Global Insight Fund (Articolo 8 del SFDR);
- Global Opportunity Fund (Articolo 8 del SFDR);
- Global Permanence Fund (Articolo 8 del SFDR);
- Global Quality Fund (Articolo 8 del SFDR);
- Global Sustain Fund (Articolo 8 del SFDR);
- Japanese Equity Fund (Articolo 8 del of the SFDR);
- NextGen Emerging Markets Fund (Article 8 SFDR);
- Short Maturity Euro Bond Fund (Articolo 8 del SFDR);
- Short Maturity Euro Corporate Bond Fund (Articolo 8 del SFDR);
- Sustainable Asia Equity Fund (Articolo 8 del SFDR);
- Sustainable Emerging Markets Equity Fund (Articolo 8 del SFDR);
- Sustainable Euro Corporate Bond Fund (Articolo 8 del SFDR);
- Sustainable Euro Strategic Bond Fund (Articolo 8 del SFDR);
- Sustainable European High Yield Bond Fund (Articolo 8 del SFDR);
- Sustainable Global Fixed Income Opportunities Fund (Articolo 8 del SFDR);
- Sustainable Global High Yield Bond Fund (Articolo 8 del SFDR);
- Sustainable US High Yield Bond Fund (Articolo 8 del SFDR);
- US Advantage Fund (Articolo 8 del SFDR);
- US Dollar Corporate Bond Fund (Articolo 8 del SFDR);
- US Dollar High Yield Bond Fund (Articolo 8 del SFDR);
- US Dollar Short Duration Bond Fund (Articolo 8 del SFDR);
- US Dollar Short Duration High Yield Bond Fund (Articolo 8 del SFDR);
- US Growth Fund (Articolo 8 del SFDR);
- US Insight Fund (Articolo 8 del SFDR);
- US Permanence Fund (Articolo 8 del SFDR); e
- Vitality Fund (Articolo 8 del SFDR).

COMPARTI AZIONARI
I vari Comparti Azionari hanno i seguenti obiettivi:
AMERICAN RESILIENCE FUND
L’obiettivo di investimento dell’American Resilience è l’aumento a lungo termine del capitale, denominato in Dollari Statunitensi, investendo principalmente in titoli azionari, inclusi certificati rappresentativi di azioni in deposito “depositary receipts” (compresi “American Depositary Receipts”- ADRs; “Global Depositary Receipts” – GDRs) di società situate negli Stati Uniti. Un emittente è considerato come situato negli Stati Uniti se soddisfa i seguenti criteri: (i) i suoi titoli sono negoziati in un mercato azionario riconosciuto negli Stati Uniti; (ii) da solo o su base consolidata ricava il 50% o più dei suoi ricavi o profitti annuali da beni prodotti, vendite effettuate o servizi prestati negli Stati Uniti; (iii) è organizzato o ha una sede principale negli Stati Uniti; (iv) ha almeno il 50% dei suoi attivi, delle sue attività principali e/o dei suoi dipendenti negli Stati Uniti, o (v) qualsiasi altro fattore che il Consulente per gli Investimenti, agendo ragionevolmente, ritenga che denoti un’esposizione economica agli Stati Uniti.
Il Consulente per gli Investimenti cerca di investire in società di alta qualità in grado di generare rendimenti sostenibili ed elevati sul capitale investito, individuando società con posizioni di mercato dominanti, tipicamente sostenute da beni immateriali importanti e difficilmente replicabili (tra cui marchi, reti, licenze e brevetti) e dal potere di determinazione dei prezzi, con conseguenti margini lordi elevati. Il Consulente per gli Investimenti cerca inoltre di individuare team di gestione capaci di allocare efficacemente il capitale per far crescere le reti di vendita, mantenere i beni immateriali e sostenere e/o migliorare i rendimenti del capitale investito.
Il Comparto può anche investire in via accessoria in titoli azionari che non soddisfano i criteri degli investimenti principali del Comparto, titoli di debito convertibili in azioni ordinarie, azioni privilegiate, warrant e altri strumenti collegati alle azioni.
Al fine di incrementare il rendimento e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) utilizzare opzioni, contratti a termine (future) e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini di investimento e della gestione efficiente del portafoglio (compresa la copertura).
Restrizioni agli investimenti:
- Il Comparto applicherà delle restrizioni che riguardano il clima per escludere gli investimenti in qualsiasi società per la quale il Consulente per gli Investimenti ritenga:– che abbia un qualsiasi legame con i combustibili fossili (come petrolio, gas e carbone); o
- che la sua attività principale riguardi l’energia, i materiali da costruzione, i servizi di pubblica utilità (esclusa l’elettricità da fonti rinnovabili e la fornitura di acqua), i metalli e le attività estrattive.
- Inoltre, non sarà ricompresa consapevolmente nel Comparto alcuna società:
- la cui attività principale riguarda le armi o le armi da fuoco per uso civile; o
- che sia classificata dalla banca dati del MSCI ESG Business Involvement Screening Research (“MSCI ESG BISR”) come una società con un qualsiasi tipo di collegamento con le armi controverse.

I dettagli delle suddette esclusioni si trovano nelle politiche di esclusione del Comparto, disponibili nel sito Internet della Società (www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im). In aggiunta a quanto precede, il Consulente per gli Investimenti può, a propria discrezione, decidere di applicare nel tempo ulteriori restrizioni agli investimenti legate alle tematiche ESG che ritiene coerenti con gli obiettivi di investimento. Tali restrizioni aggiuntive saranno pubblicate sul sito www.morganstanleyinvestmentfunds.com e sul sito www.morganstanley.com/im al momento della loro implementazione. Gli investimenti detenuti dal Comparto che diventino non ammissibili ai sensi del primo o del secondo trattino che precedono dopo essere stati acquisiti per il Comparto saranno venduti. Tali vendite saranno disposte con tempistiche determinate dal Consulente per gli Investimenti, tenendo conto in primo luogo degli interessi degli Azionisti del Comparto.
Come parte essenziale e integrante del processo di investimento, il Consulente per gli Investimenti determina i fattori rilevanti che incidono sulla sostenibilità di rendimenti elevati del capitale investito nel lungo termine, inclusi i fattori ESG, e si confronta con gli organi di gestione delle società in relazione a ciò. Nei limiti degli obiettivi di investimento del Comparto, questo mantiene la discrezionalità sulla scelta degli investimenti. Anche se le considerazioni ESG sono parte integrante e fondamentale del processo di investimento, i fattori ESG non sono l’unico elemento determinante per decidere se un investimento possa essere effettuato o una partecipazione possa rimanere nel portafoglio del Comparto, dato che il Consulente per gli Investimenti considera altresì i rischi o le opportunità sostanziali in una qualsiasi delle aree ESG che potrebbero compromettere o migliorare gli elevati rendimenti correnti del capitale investito di una società.
Il Consulente per gli Investimenti monitora su base continuativa le pratiche aziendali, attraverso i dati sulle controversie ESG e dei controlli standard su dati ottenuti da fornitori terzi, comprese le
violazioni del Global Compact delle Nazioni Unite, nonché attraverso le proprie interlocuzioni con gli amministratori delle società e la ricerca. Il Consulente per gli Investimenti sottopone a revisione i titoli degli emittenti qualora ritenga che si sia verificata una violazione significativa dei suddetti standard e principi e normalmente esclude tali emittenti quando, dopo aver condotto la propria ricerca e/o interlocuzioni, il Consulente per gli Investimenti ritenga che la violazione influisca sulla sostenibilità dei rendimenti sul capitale investito, o comporti un rischio finanziario e reputazionale significativo e l’emittente non si sia impegnato a intraprendere adeguate azioni correttive. Tali esclusioni sono determinate dal Consulente per gli Investimenti a propria discrezione piuttosto che facendo affidamento su analisi di terzi. L’analisi può essere supportata da analisi delle controversie ESG di terzi e da parametri di impegno aziendale.
Il Comparto fa affidamento sulle proprie capacità di ricerca ed risorse per l’analisi e al proprio giudizio per identificare e monitorare le aziende di alta qualità che soddisfano i loro criteri di investimento. Il Consulente per gli Investimenti ritiene che il numero di emittenti con attività di alta qualità che soddisfano i criteri possa essere limitato e, di conseguenza, il Comparto può concentrare le proprie partecipazioni in un numero relativamente ridotto di società.
In generale, il Consulente per gli Investimenti prenderà in considerazione la vendita di un titolo nel portafoglio qualora ritenga che tale titolo non risponda più ai criteri di investimento o che la sostituzione di esso con un altro investimento possa migliorare la valutazione del Comparto e/o la sua qualità.
Il Comparto è gestito attivamente e non è concepito per seguire un benchmark. Pertanto, la gestione del Comparto non è vincolata dalla composizione di un benchmark. La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento dell’American Resilience Fund, questo comparto può essere adatto per investitori che:
- Intendono investire in titoli azionari.
- Ricercano un apprezzamento del capitale a medio termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

ASIA OPPORTUNITY FUND
L’obiettivo d’investimento dell’Asia Opportunity Fund è l’aumento a lungo termine del valore del capitale, denominato in Dollari USA.
Il Comparto tenterà di raggiungere il suo obiettivo d’investimento investendo principalmente in titoli azionari, inclusi certificati rappresentativi di azioni in deposito “depositary receipts” (compresi “American Depositary Receipts”- ADRs; “Global Depositary Receipts” – GDRs) di emittenti Situati in Asia, escluso il Giappone,e Azioni A cinesi via Stock Connect.
Al fine di incrementare il rendimento e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) utilizzare opzioni, contratti a termine (future) e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini di investimento e della gestione efficiente del portafoglio (compresa la copertura).
Il Comparto può anche investire, in via accessoria, in titoli azionari che non soddisfano i criteri degli investimenti principali del Comparto, strumenti di debito convertibili in azioni ordinarie, azioni privilegiate, warrant e altri titoli collegati ad azioni. Il Comparto può investire, in quantità limitata, in quote/azioni di organismi di investimento collettivo compresi i Comparti della Società e ETF aperti che sono investimenti ammissibili per gli OICVM ai sensi della Legge del 2010.
Il Consulente per gli Investimenti enfatizzerà un processo bottom- up nella selezione dei titoli, ricercando investimenti interessanti esaminando ogni singola società. Nella selezione dei titoli per l’investimento, il Consulente per gli Investimenti ricercherà delle società di alta qualità, già affermate od emergenti, che nell’opinione del Consulente per gli Investimenti sono sottovalutate al momento dell’acquisto. Il Consulente per gli Investimenti privilegerà tipicamente delle società che ritiene abbiano dei vantaggi competitivi sostenibili che possono essere monetizzati attraverso la crescita. Il processo di investimento comprende l’analisi della sostenibilità con riferimento a cambiamenti dirompenti, solidità finanziaria, esternazioni ambientali e sociali e governo societario (anche definiti “ESG”). In generale, il Consulente per gli Investimenti prenderà in considerazione la vendita di un titolo nel portafoglio qualora
ritenga che tale titolo non risponda più ai criteri di investimento del Consulente stesso.
Il Consulente per gli Investimenti impiega un approccio olistico all’ESG nel contesto della sua valutazione della qualità di una società, analizzando gli impatti potenziali sulla salute dell’umanità, l’ambiente, la libertà e la produttività e le pratiche di governance aziendale per garantire la rappresentatività, la cultura e la fiducia. Il Consulente per gli Investimenti ritiene che incorporare i rischi e le opportunità potenziali legati all’ESG all’interno del processo di investimento sia importante per assicurare una gestione a lungo termine del capitale. Il Consulente per gli Investimenti ritiene che in un orizzonte temporale lungo sia più probabile che si materializzino dei rischi ESG e che le esternalità non sostenute dalla società in cui si investe abbiano maggiori probabilità di essere riflesse nel valore dei titoli. Poiché i rischi ESG potrebbero avere potenzialmente un impatto sul profilo di rischio e di rendimento delle opportunità di investimento, il Consulente per gli Investimenti tipicamente coinvolge gli amministratori delle società in discussioni costruttive su una serie di questioni ESG che il Consulente per gli Investimenti ritiene di importanza sostanziale.
Gli investimenti non potranno ricomprendere consapevolmente qualsiasi società la cui attività principale riguardi i seguenti settori:
- tabacco 
- (titoli di emittenti classificati nel sottosettore “tabacco” (Tobacco) nei Global Industry Classification Standard (“GICS”), o che generano il 5% o più dei loro ricavi dalla manifattura di prodotti a base di tabacco);
- estrazione di carbone 
- (titoli di emittenti classificati nel sottosettore GICS “carbone e combustibili di consumo” (coal & consumable fuels)), o che generano il 10% o più dei loro ricavi dalla estrazione del carbone);
- armi, comprese 
- armi da fuoco civili 
- (titoli di emittenti che generano il 10% o più dei loro ricavi dalla fabbricazione o produzione di armi da fuoco civili o munizioni) e 
- munizioni a grappolo e mine antiuomo 
- (titoli di emittenti che fabbricano, producono o distribuiscono munizioni a grappolo o mine antiuomo).

I dettagli delle suddette esclusioni si trovano nelle politiche di esclusione del Comparto, disponibili nel sito Internet della Società (www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im). In aggiunta a quanto precede, il Consulente per gli Investimenti può, a propria discrezione, decidere di applicare nel tempo ulteriori restrizioni agli investimenti legate alle tematiche ESG che ritiene coerenti con gli obiettivi di investimento. Tali restrizioni aggiuntive saranno pubblicate sul sito www.morganstanleyinvestmentfunds.com e sul sito www.morganstanley.com/im  al  momento  della  loro
implementazione. Gli investimenti detenuti dal Comparto che diventino non ammissibili dopo essere stati acquisiti per il Comparto saranno venduti. Tali vendite saranno disposte con tempistiche determinate dal Consulente per gli Investimenti, tenendo conto in primo luogo degli interessi degli Azionisti del Comparto.
Il Comparto è gestito attivamente e non è concepito per seguire un benchmark. Pertanto, la gestione del Comparto non è vincolata dalla composizione di un benchmark. La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento dell’Asia Opportunity Fund, questo comparto può essere adatto per investitori che:
- Intendono investire in titoli azionari.
- Ricercano un apprezzamento del capitale a lungo termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

ASIAN PROPERTY FUND
4
L’obiettivo di investimento dell’Asian Property Fund è cercare l’aumento a lungo termine del valore del capitale, denominato in
4 
A decorrere dal 12 dicembre 2022, la politica di investimento del Comparto sarà modificata al fine di promuovere, tra le altre caratteristiche, quelle ambientali o sociali, o una combinazione delle stesse, a condizione che le società in cui vengono effettuati gli investimenti seguano pratiche di buona governance. Pertanto, il Comparto ricadrà nell’ambito di applicazione dell’articolo 8 del SFDR.
Pertanto, il primo paragrafo sarà modificato come segue:
“L’obiettivo di investimento dell’Asian Property Fund è cercare l’aumento a lungo termine del valore del capitale, denominato in Dollari USA, investendo principalmente in titoli azionari di società operanti nel settore immobiliare e ubicate in Asia e Oceania. Le società del settore immobiliare o strettamente correlate al settore immobiliare possono annoverare società aventi come attività principale lo sviluppo e/o la titolarità della proprietà di immobili che producono redditi, società che gestiscono, costruiscono, finanziano o vendono degli immobili; società con una parte sostanziale dei loro investimenti nel settore immobiliare e/o in servizi o prodotti collegati all’immobiliare come, a titolo non esaustivo, gestione degli immobili, intermediazione, prodotti per le costruzioni e tecnologia per le proprietà immobiliari, e veicoli di investimento collettivo con esposizione verso proprietà immobiliari, quali i fondi immobiliari quotati (“property unit trusts”), Real Estate Investment Trust (Fondi comuni di investimento immobiliare) chiusi di ogni tipo ammesso e organismi per l’investimento collettivo.”
Dollari USA, investendo principalmente in titoli azionari di società operanti nel settore immobiliare e ubicate in Asia e Oceania. Le società del settore immobiliare possono annoverare società aventi come attività principale lo sviluppo e/o la titolarità della proprietà di immobili che producono redditi, e veicoli di investimento collettivo con esposizione verso proprietà immobiliari, quali i fondi immobiliari quotati (“property unit trusts”), Real Estate Investment Trust (Fondi comuni di investimento immobiliare) chiusi e organismi per l’investimento collettivo.
Il Comparto può altresì investire, in via accessoria, in azioni privilegiate, strumenti di debito convertibili in azioni ordinarie,
Inoltre, il terzo paragrafo sarà sostituito dai seguenti paragrafi:
“Il processo di investimento si avvale di ricerche interne proprietarie per investire in società immobiliari quotate in mercati aperti al pubblico che possono offrire il miglior valore relativo rispetto alle attività e agli utili sottostanti. Il Consulente per gli Investimenti utilizza un approccio bottom-up, valutando ogni titolo all’interno dell’universo di investimento per ottenere una stima del valore patrimoniale netto e dei flussi di cassa futuri. I fattori specifici del settore immobiliare, i fattori azionari più ampi e i fattori ESG sono valutati nell’analisi dei fondamentali per calcolare le metriche di valutazione appropriate.
Il Consulente per gli Investimenti incorpora anche un approccio top-down nel processo di costruzione del portafoglio, integrando diversi fattori che possono includere delle flessioni previste dei fondamentali, considerazioni macroeconomiche e valutazioni del rischio geopolitico e di paese, per ottenere un’esposizione diversificata tra regioni, paesi e/o settori.
Il Consulente per gli Investimenti integra attivamente la sostenibilità nel processo di investimento valutando i principali rischi e opportunità ESG nel processo bottom-up di selezione dei titoli, avvalendosi principalmente di fornitori ESG terzi per valutare e quantificare le performance ESG degli emittenti, integrando le ricerche di terzi con ricerche proprietarie condotte dal Consulente per gli Investimenti, tra cui l’utilizzo di un quadro di propria concezione per la valutazione e la quantificazione dei rischi e delle opportunità legate all’ESG, che si traduce in un aggiustamento quantitativo delle stime di valutazione, e attraverso l’interlocuzione con gli amministratori delle società per discutere i punti di forza, le debolezze e le opportunità legate all’ESG nel tentativo di realizzare un cambiamento positivo all’interno del settore. I temi ESG principali possono includere, a titolo esemplificativo ma non esaustivo: l’utilizzo dell’energia e delle fonti rinnovabili, l’utilizzo dell’acqua, le emissioni, la diversità e l’uguaglianza di genere, il lavoro e i diritti umani, la salute, il benessere e la sicurezza dei dipendenti e dei conduttori, e la governance e la divulgazione ESG della società. Nel tentativo di promuovere un cambiamento positivo e di incoraggiare le società a migliorare le proprie prestazioni in merito alle questioni ESG rilevanti, il Consulente per gli Investimenti può rivolgersi agli amministratori delle società con soluzioni interne competitive, casi aziendali finanziariamente validi e soluzioni pratiche che possono migliorare le loro operazioni immobiliari. Sebbene le considerazioni ESG siano parte integrante e fondamentale del processo d’investimento, esse sono solo uno dei diversi fattori determinanti utilizzati dal Consulente per gli Investimenti per stabilire se un investimento verrà effettuato o se ne verrà modificata l’entità nel portafoglio complessivo.
Gli investimenti non potranno annoverare consapevolmente qualsiasi società la cui attività principale in uno dei seguenti settori rappresenti più del 10% dei suoi ricavi:
- proprietà o gestione di immobili adibiti a carceri;
- proprietà o gestione di immobili adibiti alla lavorazione della cannabis;
- proprietà, manifattura o produzione di tabacco:
- proprietà, lavorazione o estrazione di carbone;
- proprietà, fabbricazione o produzione di armi controverse o armi da fuoco civili;
- proprietà, lavorazione o produzione di gas e petrolio proveniente dall’Artide. Gli investimenti non potranno annoverare consapevolmente le seguenti società:
- società coinvolte in importanti controversie in relazione alle loro attività e/o ai loro prodotti, nel caso in cui il Consulente per gli Investimenti ritenga che la controversia rilevante abbia un grave impatto sociale o ambientale;
- società che violano il Global Compact delle Nazioni Unite o i principi fondamentali dell’Ufficio Internazionale del Lavoro senza significative azioni di rimedio e miglioramento.

Il Consulente per gli Investimenti fa riferimento ai dati ESG di terzi e alle proprie analisi nel processo di ricerca dei titoli. Il Consulente per gli Investimenti rivedrà i casi alla base dei contenziosi (come le sopra indicate esclusioni) che ritiene essere molto gravi utilizzando i punteggi dei fornitori di dati ESG e la propria ricerca interna. Tuttavia, in alcuni casi, i dati su emittenti specifici o sulle esclusioni di cui sopra potrebbero non essere disponibili in tempi brevi e/o possono essere determinati dal Consulente per gli Investimenti utilizzando stime ragionevoli.”
Infine, l’informativa prevista dal Regolamento sulla Tassonomia sarà modificata come segue:
“Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.”
Azioni A cinesi via Stock Connect warrant od altri titoli collegati alle azioni. Il Comparto può investire fino al 20% del patrimonio netto in Azioni A cinesi via Stock Connect.
Il processo di investimento può prendere in considerazione delle informazioni relative alle tematiche ESG nel suo processo di selezione dei titoli bottom-up quando vengono prese delle decisioni in merito agli investimenti. Il Sub-consulente per gli Investimenti può confrontarsi con gli amministratori delle società in relazione alle pratiche di governance societaria, nonché su quelle che il Sub- consulente reputa essere delle questioni ambientali e/o sociali di notevole importanza per una società.
Il Comparto è gestito attivamente e non è concepito per seguire un benchmark. Pertanto, la gestione del Comparto non è vincolata dalla composizione di un benchmark. La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Gli investimenti sottostanti il Comparto non tengono conto dei criteri dell’UE per le attività ecosostenibili.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento dell’Asian Property Fund, questo comparto può essere adatto per investitori che:
- Intendono investire in titoli azionari.
- Ricercano un apprezzamento del capitale a lungo termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

CALVERT SUSTAINABLE CLIMATE ALIGNED FUND
L’obiettivo di investimento del Calvert Sustainable Climate Aligned Fund è l’aumento a lungo termine del valore del capitale, denominato in Dollari USA, investendo principalmente in titoli azionari (come di seguito elencati) di società Situate nei mercati sviluppati che hanno attività economiche che tengono conto della transizione climatica e/o sono allineate agli obiettivi di di decarbonizzazione a lungo termine dell’Accordo di Parigi.
Il Comparto manterrà un profilo di carbonio che segue gli obiettivi di zero emissioni nette dell’Accordo di Parigi, come riflesso nel benchmark applicabile ove esso sia allineato all’Accordo di Parigi, o, in assenza di un simile benchmark, manterrà un’impronta di carbonio sostanzialmente inferiore, di almeno il 50%, di quella dell’indice di mercato sottostante (MSCI World Index), tenendo
anche conto degli obiettivi di riduzione del carbonio a lungo termine dell’Accordo di Parigi che possano giustificare una revisione dell’intervallo di riduzione previsto nel tempo. L’impronta di carbonio è misurata come intensità di carbonio media ponderata, definita come tonnellate di CO2 per 1 milione di dollari di valore aziendale, compresa la liquidità.
Sebbene l’attenzione sia rivolta agli obiettivi legati al clima, il Comparto può investire nell’ambito di tutti gli obiettivi ambientali descritti di seguito.
Il Comparto cercherà di perseguire il proprio obiettivo di investimento investendo principalmente in titoli azionari, comprese ricevute di deposito (o depositary receipts, come American Depositary Receipts o “ADR”, Global Depositary Receipts o “GDR” e European Depository Receipts o “EDR”).
Il Comparto utilizza un processo di ricerca ESG quantitativo e qualitativo che applica i Principi Calvert per l’Investimento Responsabile (Calvert Principles for Responsible Investment) per definire l’universo di investimento, assicurandosi che tali società non danneggino significativamente alcun obiettivo ambientale o sociale. I principi Calvert per l’investimento responsabile sono disponibili su www.morganstanleyinvestmentfunds.com e www.morganstanley.com/im. Il Consulente per gli Investimenti può coinvolgere gli amministratori delle società su questioni ESG finanziariamente rilevanti che ritiene abbiano un impatto positivo sulla società o sull’ambiente. Il Consulente per gli Investimenti prende in debita considerazione la rilevanza e la potenziale importanza dei Rischi di Sostenibilità per una particolare opportunità di investimento o per il portafoglio nel suo complesso nel contesto dell’obiettivo di investimento e dell’orizzonte temporale previsto per la detenzione di un titolo specifico. I Rischi di Sostenibilità possono avere un impatto negativo sul valore di un titolo o del portafoglio. Al fine di mitigare tali rischi, il Consulente per gli Investimenti può vendere o sottopesare un titolo, avviare un dialogo/interlocuzione attivi con il management della società (ad esempio interagendo con una società in merito ai suoi rischi o opportunità importanti per l’ESG come il cambiamento climatico, la diversità, il lavoro e i diritti umani e la divulgazione ESG, singolarmente o come parte di un gruppo di azionisti, si veda “Informazioni generali riguardanti l’integrazione del Rischio di Sostenibilità “ per ulteriori informazioni), o apportare modifiche alle allocazioni.
Al fine di incrementare il rendimento e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) utilizzare opzioni, contratti a termine (future) e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini di investimento e della gestione efficiente del portafoglio (compresa la copertura).
Il Comparto può anche investire, in via accessoria, in titoli azionari che non soddisfano i criteri degli investimenti principali del Comparto, azioni privilegiate, strumenti di debito convertibili in azioni ordinarie o privilegiate, warrant su titoli, e altri titoli collegati ad azioni, a condizione che tali titoli siano conformi ai criteri ESG del Consulente per gli Investimenti.. Il Comparto può investire, in quantità limitata, in quote/azioni di altri organismi di investimento collettivo compresi i Comparti della Società e ETF aperti, che siano investimenti ammissibili per gli OICVM ai sensi della Legge del 2010.
Il Consulente per gli Investimenti utilizza un processo di ricerca ESG che cerca di differenziare le società in base al contributo dei loro prodotti e servizi nell’affrontare la transizione climatica e/o identifica le società che dimostrano impegno verso l’obiettivo delle emissioni nette di gas serra pari a zero entro il 2050 o prima. Nella sua valutazione, il Consulente per gli Investimenti valuta gli impegni di riduzione del carbonio, l’andamento delle emissioni di carbonio e i progressi verso il rispetto degli impegni di zero emissioni nette. Una volta stabilito un universo di società impegnate nella transizione climatica e/o allineate, il Consulente per gli Investimenti costruisce il portafoglio attraverso un processo di ottimizzazione che orienta il portafoglio verso società con un rischio di carbonio inferiore, minimizzando al contempo i fattori di rischio rispetto all’indice MSCI World.
I suddetti criteri ESG potrebbero comportare una riduzione dell’universo investibile di almeno il 20% in un modo significativamente impegnativo, e il Consulente per gli Investimenti farà in modo di assicurare che almeno il 90% degli emittenti in portafoglio siano valutati rispetto ai criteri ESG. A tal fine, l’universo di investimento considerato sono i componenti del MSCI World Index.
Il Consulente per gli Investimenti non includerà consapevolmente le seguenti società nell’universo di investimento:
- coinvolte in gravi controversie ESG senza significative azioni di rimedio e miglioramento;
- che fabbricano o producono armi controverse e armi da fuoco per uso civile;
- attive nella manifattura o produzione del tabacco; e
- attive nel gioco d’azzardo.

Il Consulente per gli Investimenti utilizza un processo quantitativo e qualitativo di ricerca ESG che cerca di differenziare le società in base al contributo dei loro prodotti e servizi nell’affrontare la transizione e/o l’allineamento climatico.
Oltre alle esclusioni settoriali di cui sopra, il Consulente per gli Investimenti verifica costantemente le pratiche commerciali attraverso i dati sulle controversie ESG ed il controllo degli standard provenienti da fornitori terzi. Il Consulente per gli Investimenti prenderà in considerazione i casi di controversia che considera molto gravi in base alle valutazioni dei competenti fornitori di dati ESG, nonché le violazioni del Global Compact delle Nazioni Unite o dei principi fondamentali dell’Ufficio Internazionale del Lavoro, anche se tali eventi non comporteranno automaticamente l’esclusione dal portafoglio.
In aggiunta a quanto precede, il Consulente per gli Investimenti può, a propria discrezione, scegliere di applicare nel tempo ulteriori restrizioni agli investimenti legati all’ESG che ritiene coerenti con i suoi obiettivi di investimento. Tali ulteriori restrizioni saranno rese note ogni volta che vengano attuate su www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im. Il processo di screening positivo, la metodologia e i Principi Calvert per gli Investimenti Responsabili (Calvert Principles for Responsible Investment) sono disponibili sui seguenti siti web: www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im.
Il Comparto è gestito attivamente e non è concepito per seguire un benchmark. Pertanto, la gestione del Comparto non è vincolata dalla composizione di un benchmark. La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto. Nel contesto dell’integrazione delle tematiche ESG nel Comparto, il Consulente per gli Investimenti utilizza l’indice MSCI World Index allo scopo di determinare l’impronta di carbonio del Comparto.
Il Comparto fa riferimento ai dati ESG di terzi ed alle proprie analisi nel processo di ricerca dei titoli. Il Consulente per gli Investimenti può anche utilizzare dati di terzi per la costruzione del portafoglio. Tuttavia, in alcuni casi, i dati su emittenti specifici o sulle esclusioni di cui sopra potrebbero non essere disponibili in tempi brevi e/o possono essere determinati dal Consulente per gli Investimenti utilizzando stime ragionevoli.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento del Calvert Sustainable Climate Aligned Fund, questo comparto può essere adatto per investitori che:
- Intendono investire in titoli azionari.
- Ricercano un apprezzamento del capitale nel lungo termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

dialogo/interlocuzione attivi con il management della società (ad esempio interagendo con una società in merito ai suoi rischi o opportunità importanti per l’ESG come il cambiamento climatico, la diversità, il lavoro e i diritti umani e la divulgazione ESG, singolarmente o come parte di un gruppo di azionisti, si veda “Informazioni generali riguardanti l’integrazione del Rischio di Sostenibilità”per ulteriori informazioni).
CALVERT SUSTAINABLE CLIMATE TRANSITION FUND
L’obiettivo d’investimento del Calvert Sustainable Climate Transition Fund è cercare di fornire un livello interessante di rendimento totale, denominato in Dollari USA, investendo principalmente in un portafoglio concentrato di titoli azionari, comprese azioni privilegiate e ricevute di deposito (tra cui American Depositary Receipts (ADRs), European Depositary Receipts (EDRs), e Global Depositary Receipts (GDRs)), di società Situate in tutto il mondo che sono impegnate in modelli di business che aiutano a mitigare o adattarsi al cambiamento climatico e che si qualificano come investimenti sostenibili.
Il Comparto può anche investire, in via accessoria, in titoli azionari che non soddisfano i criteri degli investimenti principali del Comparto, Titoli a Reddito Fisso, strumenti di debito convertibili in azioni ordinarie, warrant su titoli, e altri titoli collegati ad azioni emessi da società impegnate in attività incentrate sul cambiamento climatico, nonché in Azioni A cinesi via Stock Connect, a condizione che tali titoli siano conformi ai criteri ESG del Consulente per gli Investimenti. Il Comparto può investire fino al 20% delle sue attività nette in Azioni A cinesi via Stock Connect.
Le società impegnate in attività incentrate sul cambiamento climatico possono operare, direttamente o indirettamente, tra le altre aree, nelle energie rinnovabili, la gestione delle acque, la gestione dei rifiuti, l’elettrificazione, lo stoccaggio delle batterie, la mobilità, l’idrogeno, i biocarburanti e nell’agricoltura, così come in altre attività che aiutano a rendere possibile un ambiente con basse emissioni di carbonio.
Il Comparto cerca di raggiungere il suo obiettivo di mitigazione e adattamento ai cambiamenti climatici investendo in società nelle aree summenzionate e i cui modelli di business hanno un impatto attuale e diretto sulla riduzione delle emissioni di carbonio o che stanno investendo un capitale significativo in Proprietà, Progetti e Attrezzature (PP&E), tecnologia e processi che contribuiranno a facilitare la riduzione delle emissioni di carbonio in futuro e che si qualificano come investimenti sostenibili. Le società sono ulteriormente distinte tra quelle che forniscono prodotti o servizi finali (“Fornitrici”) o parte della catena di fornitura/processo che consente un prodotto finale o un servizio (“Ausilarie”). Le definizioni generali di ogni categoria sono indicate qui di seguito:
- Fornitrici e Ausiliarie: Società i cui prodotti e servizi aiutano direttamente a fornire supporto alla riduzione del cambiamento climatico o quelle che permettono tale riduzione attraverso la catena dei Fornitori;
- Società in Transizione: Società che attualmente non sono Fornitrici e Ausiliarie, ma sono in procinto di introdurre nuove linee di business e/o di cambiare quelle vecchie in modo da diventare Fornitrici e Ausiliarie in futuro;
- Adattatrici: Società che forniscono attualmente o che forniranno in futuro prodotti e servizi che aiutano altre aziende o persone interessate ad adattarsi ai rischi posti dal cambiamento climatico;Il Consulente per gli Investimenti gestisce attivamente il Comparto utilizzando la ricerca proprietaria interna per attuare un processo di investimento guidato dai fondamentali che combina la ricerca bottom-up e top-down. Il Comparto sarà composto da quei titoli che il Consulente per gli Investimenti ritiene offrano un potenziale di rendimento totale previsto più elevato rispetto ad altre opportunità nell’universo di investimento, sulla base della valutazione assoluta all’interno del sopra descritto universo.

Il Comparto utilizza un processo di ricerca ESG quantitativo e qualitativo che applica i Principi Calvert per l’Investimento Responsabile (Calvert Principles for Responsible Investment) per definire l’universo di investimento, e cerca poi di differenziare le società in base a come il loro modello di business aiuta a ridurre o ad adattarsi al cambiamento climatico, assicurandosi che tali società non danneggino significativamente alcun obiettivo ambientale o sociale. I principi Calvert per l’investimento responsabile sono disponibili su www.morganstanleyinvestmentfunds.com and on www.morganstanley.com/im. Il Consulente per gli Investimenti può coinvolgere gli amministratori delle società in questioni ESG quando si ritenga che è possibile generare un impatto positivo sull’obiettivo di investimento sostenibile, sui fattori di performance ambientale o sociale di una società o sulle sue pratiche di governo societario.
I suddetti criteri ESG potrebbero comportare una riduzione dell’universo investibile di almeno il 20% in un modo significativamente impegnativo, e il Consulente per gli Investimenti farà in modo di assicurare che almeno il 90% degli emittenti in portafoglio siano valutati rispetto ai criteri ESG. L’universo d’investimento per tali fini è definito come una selezione di società in vari settori che rientrano nelle categorie GICS (Global Industry Classification Standard), tra cui, a titolo non esaustivo, Industriali, Utilities, Materiali, Energia, Finanziari, Information Technology, Beni Voluttuari (
Consumer Discretionary
) e Beni di Prima Necessità (Consumer Staples) e che sono impegnati nelle aree di business incentrate sul clima sopra descritte. Questa selezione si basa sul processo di ricerca ESG quantitativa e qualitativa che applica i principi di Calvert per gli Investimenti Responsabili menzionati nel paragrafo precedente.
Il Consulente per gli Investimenti prende in debita considerazione la rilevanza e la potenziale importanza dei Rischi di Sostenibilità per una particolare opportunità di investimento o per il portafoglio nel suo complesso nel contesto dell’obiettivo di investimento e dell’orizzonte temporale previsto per la detenzione di un titolo specifico. I Rischi di Sostenibilità possono avere un impatto negativo sul valore di un titolo o del portafoglio. Al fine di mitigare tali rischi, il Consulente per gli Investimenti può vendere o sottopesare un titolo, avviare un dialogo/interlocuzione attivi con il management della società (ad esempio interagendo con una società in merito ai suoi rischi o opportunità importanti per l’ESG come il cambiamento climatico, la diversità, il lavoro e i diritti umani e la divulgazione ESG, singolarmente o come parte di un gruppo di azionisti, si veda “Informazioni generali riguardanti l’integrazione del Rischio di Sostenibilità” per ulteriori informazioni), o apportare modifiche alle allocazioni.
Oltre agli obiettivi ESG di cui sopra, il Consulente per gli Investimenti verifica costantemente le pratiche commerciali attraverso i dati sulle controversie ESG ed il controllo degli standard provenienti da fornitori terzi. Il Consulente per gli Investimenti prenderà in considerazione i casi di controversia che considera molto gravi in base alle valutazioni dei competenti fornitori di dati ESG, nonché le violazioni del Global Compact delle Nazioni Unite o dei principi fondamentali dell’Ufficio Internazionale del Lavoro, anche se tali eventi non comporteranno automaticamente l’esclusione dal portafoglio.
Il Comparto fa riferimento a dati ESG di terzi durante il processo di ricerca sui titoli, ma non si basa su di essi per la costruzione del portafoglio. Il Consulente per gli Investimenti si affida alle proprie analisi proprietarie per la selezione dei titoli e la costruzione del portafoglio piuttosto che ad analisi di terzi. Tuttavia, in alcuni casi, i dati su emittenti specifici o sulle esclusioni di cui sopra potrebbero
non essere disponibili e/o essere stimati dal Consulente per gli Investimenti utilizzando stime ragionevoli o dati di terzi.
In relazione a questo Comparto, l’uso di “Calvert” nel nome si riferisce a Calvert Research and Management (“Calvert”), il cui ruolo in relazione a questo Comparto è limitato alla fornitura di consulenza per gli investimenti su base non discrezionale al Consulente per gli Investimenti per assisterlo nella sua gestione del Comparto. Calvert non ha alcun potere discrezionale di prendere delle decisioni di investimento su base discrezionale per conto del Comparto, essendo tale potere discrezionale di investimento conferito esclusivamente al Consulente per gli Investimenti.
Il Comparto è gestito attivamente e la composizione del portafoglio non è vincolata da alcun benchmark.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento del Calvert Sustainable Climate Transition Fund, questo comparto può essere adatto per investitori che:
- Intendono investire in titoli azionari.
- Ricercano un apprezzamento del capitale nel lungo termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

CALVERT SUSTAINABLE DEVELOPED EUROPE EQUITY SELECT FUND
L’obiettivo di investimento del Calvert Sustainable Developed Europe Equity Select Fund è l’aumento a lungo termine del valore del capitale, denominato in Euro, investendo principalmente in titoli azionari (come di seguito elencati) di società Situate nei mercati sviluppati europei, sulla base della classificazione del MSCI Europe Index, che hanno attività economiche che tengono conto delle sfide ambientali e sociali globali come la sostenibilità ambientale e l’efficienza delle risorse, la diversità, l’equità e l’inclusione, il rispetto dei diritti umani, la responsabilità per i
prodotti, la gestione del capitale umano e una governance responsabile e operazioni trasparenti, o sono leader nella gestione di rischi e opportunità ambientali o sociali finanziariamente rilevanti come la gestione delle emissioni di carbonio, la diversità, l’equità e l’inclusione. Questa strategia tiene inoltre conto degli obiettivi di riduzione del carbonio a lungo termine dell’Accordo di Parigi.
Il Comparto manterrà un profilo di carbonio che segue gli obiettivi di zero emissioni nette dell’Accordo di Parigi, come riflesso nel benchmark applicabile ove esso sia allineato all’Accordo di Parigi, o, in assenza di un simile benchmark, manterrà un’impronta di carbonio sostanzialmente inferiore, di almeno il 50%, di quella dell’indice di mercato sottostante (MSCI Europe Index), tenendo anche conto degli obiettivi di riduzione del carbonio a lungo termine dell’Accordo di Parigi che possano giustificare una revisione dell’intervallo di riduzione previsto nel tempo. L’impronta di carbonio è misurata come intensità di carbonio media ponderata, definita come tonnellate di CO2 per 1 milione di dollari di ricavi.
Indipendentemente dal profilo zero carbonio perseguito dal Comparto, quest’ultimo cercherà di mantenere livelli più elevati di diversità a livello di portafoglio rispetto all’indice MSCI Europe, come misurato dal numero medio ponderato di donne a livello di consiglio di amministrazione. Il Consulente per gli Investimenti ottiene dati sulla diversità di genere nei consigli di amministrazione da fornitori terzi, che forniscono dati sul numero di donne nei consigli di amministrazione a livello di emittente. Il Consulente per gli Investimenti raccoglie questi dati per tutti i nomi nel suo universo di investimento per i quali sono disponibili dati e calcola la media ponderata per il Comparto e l’indice MSCI Europe.
Il Comparto cercherà di perseguire il proprio obiettivo di investimento investendo principalmente in titoli azionari, comprese ricevute di deposito (o depositary receipts, come American Depositary Receipts o “ADR”, Global Depositary Receipts o “GDR” e European Depository Receipts o “EDR”).
Il Comparto utilizza un processo di ricerca ESG quantitativo e qualitativo che applica i Principi Calvert per l’Investimento Responsabile (Calvert Principles for Responsible Investment) per definire l’universo di investimento, assicurandosi che tali società non danneggino significativamente alcun obiettivo ambientale o sociale. I principi Calvert per l’investimento responsabile sono disponibili su www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im. Il Consulente per gli Investimenti può coinvolgere gli amministratori delle società su questioni ESG finanziariamente rilevanti che ritiene abbiano un impatto positivo sulla società o sull’ambiente.
Il Consulente per gli Investimenti prende in debita considerazione la rilevanza e la potenziale importanza dei Rischi di Sostenibilità per
una particolare opportunità di investimento o per il portafoglio nel suo complesso nel contesto dell’obiettivo di investimento e dell’orizzonte temporale previsto per la detenzione di un titolo specifico. I Rischi di Sostenibilità possono avere un impatto negativo sul valore di un titolo o del portafoglio. Al fine di mitigare tali rischi, il Consulente per gli Investimenti può vendere o sottopesare un titolo, avviare un dialogo/interlocuzione attivi con il management della società (ad esempio interagendo con una società in merito ai suoi rischi o opportunità importanti per l’ESG come il cambiamento climatico, la diversità, il lavoro e i diritti umani e la divulgazione ESG, singolarmente o come parte di un gruppo di azionisti, si veda “Informazioni generali riguardanti l’integrazione del Rischio di Sostenibilità” per ulteriori informazioni), o apportare modifiche alle allocazioni.
Al fine di incrementare il rendimento e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) utilizzare opzioni, contratti a termine (future) e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini di investimento e della gestione efficiente del portafoglio (compresa la copertura).
Il Comparto può anche investire, in via accessoria, in titoli azionari che non soddisfano i criteri degli investimenti principali del Comparto, azioni privilegiate, strumenti di debito convertibili in azioni ordinarie o privilegiate, warrant su titoli, e altri titoli collegati ad azioni, a condizione che tali titoli siano conformi ai criteri ESG del Consulente per gli Investimenti.
Il Comparto può investire, in quantità limitata, in quote/azioni di altri organismi di investimento collettivo compresi i Comparti della Società e ETF aperti, che siano investimenti ammissibili per gli OICVM ai sensi della Legge del 2010.
Il Consulente per gli Investimenti cerca di identificare le società che considera leader nelle aree di performance ambientale, sociale e di governance che sono rilevanti per il rendimento nel lungo termine della società. La strategia d’investimento del Consulente per gli Investimenti ha tre elementi principali: 1) identificazione della società, 2) ottimizzazione del portafoglio e 3) interlocuzione con le società.
Il Consulente per gli Investimenti utilizza un processo quantitativo e qualitativo di ricerca ESG che cerca di differenziare le società in base al contributo dei loro prodotti e servizi nell’affrontare le sfide ambientali o sociali globali, o la loro gestione delle esposizioni e delle opportunità di Rischio di Sostenibilità ambientale e sociale rilevanti. Attraverso il processo quantitativo, il Consulente per gli Investimenti cerca di identificare le società che si collocano nella fascia più alta del 20-40% del loro gruppo di appartenenza per quanto riguarda i fattori ambientali o sociali che si ritengono finanziariamente rilevanti per la società, mentre non devono
rientrare nella fascia più bassa del 20-40% per qualsiasi altra questione ambientale, sociale o di governance importante in base alla ricerca proprietaria del Consulente per gli Investimenti. I punteggi ESG sono determinati dal Consulente per gli Investimenti, utilizzando una combinazione di dati ESG di terzi e personalizzati come base, tenendo conto di temi ESG quali la sostenibilità ambientale e l’efficienza delle risorse, la diversità, l’equità e l’inclusione, il rispetto dei diritti umani, la responsabilità per i prodotti, la gestione del capitale umano e la governance responsabile e le operazioni trasparenti. Le aziende identificate sono anche sottoposte a una revisione qualitativa.
Una volta determinato un universo di leader ESG, il Consulente per gli Investimenti costruisce il portafoglio attraverso un processo di ottimizzazione che orienta il portafoglio verso le aziende leader ESG che hanno più diversità di genere e meno rischio di carbonio, minimizzando al contempo i fattori di rischio rispetto all’indice MSCI Europe.
I suddetti criteri ESG potrebbero comportare una riduzione dell’universo investibile di almeno il 20% in un modo significativamente impegnativo, e il Consulente per gli Investimenti farà in modo di assicurare che almeno il 90% degli emittenti in portafoglio siano valutati rispetto ai criteri ESG. A tal fine, l’universo di investimento considerato sono i componenti del MSCI Europe Index.
Restrizioni agli investimenti
Il Consulente per gli Investimenti non includerà consapevolmente le seguenti società nell’universo di investimento:
- coinvolte in gravi controversie ESG senza significative azioni di rimedio e miglioramento;
- che fabbricano o producono armi controverse e armi da fuoco per uso civile;
- attive nella manifattura o produzione del tabacco; e
- attive nel gioco d’azzardo.

Oltre alle esclusioni settoriali di cui sopra, il Consulente per gli Investimenti verifica costantemente le pratiche commerciali attraverso i dati sulle controversie ESG ed il controllo degli standard provenienti da fornitori terzi. Il Consulente per gli Investimenti prenderà in considerazione i casi di controversia che considera molto gravi in base alle valutazioni dei competenti fornitori di dati ESG, nonché le violazioni del Global Compact delle Nazioni Unite o dei principi fondamentali dell’Ufficio Internazionale del Lavoro, anche se tali eventi non comporteranno automaticamente l’esclusione dal portafoglio.
In aggiunta a quanto precede, il Consulente per gli Investimenti può, a propria discrezione, scegliere di applicare nel tempo ulteriori restrizioni agli investimenti legati all’ESG che ritiene coerenti con i suoi obiettivi di investimento. Tali ulteriori restrizioni saranno rese note ogni volta che vengano attuate su www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im. Il processo di screening positivo, la metodologia e i Principi Calvert per gli Investimenti Responsabili (Calvert Principles for Responsible Investment) sono disponibili sui seguenti siti web: www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im.
Il Comparto è gestito attivamente e non è concepito per seguire un benchmark. Pertanto, la gestione del Comparto non è vincolata dalla composizione di un benchmark. La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto. Il Comparto fa riferimento all’indice MSCI Europe allo scopo di definire un’allocazione geografica dei paesi in cui il Comparto investirà. Nel contesto dell’integrazione ESG del Comparto, il Consulente per gli Investimenti utilizza anche l’Indice MSCI Europe ai fini del confronto dell’impronta di carbonio del Comparto e della diversità di genere a livello dei consigli di amministrazione dei componenti del portafoglio.
Il Comparto fa riferimento ai dati ESG di terzi ed alle proprie analisi nel processo di ricerca dei titoli. Il Consulente per gli Investimenti può anche utilizzare dati di terzi per la costruzione del portafoglio. Tuttavia, in alcuni casi, i dati su emittenti specifici o sulle esclusioni di cui sopra potrebbero non essere disponibili in tempi brevi e/o possono essere determinati dal Consulente per gli Investimenti utilizzando stime ragionevoli.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento del Calvert Sustainable Developed Europe Equity Select Fund, questo comparto può essere adatto per investitori che:
- Intendono investire in titoli azionari.
- Ricercano un apprezzamento del capitale nel medio termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

CALVERT SUSTAINABLE DEVELOPED MARKETS EQUITY SELECT FUND
L’obiettivo di investimento del Calvert Sustainable Developed Markets Equity Select Fund è l’aumento a lungo termine del valore del capitale, denominato in Dollari USA, investendo principalmente in titoli azionari (come di seguito elencati) di società Situate nei mercati sviluppati che hanno attività economiche che tengono conto delle sfide ambientali e sociali globali come la sostenibilità ambientale e l’efficienza delle risorse, la diversità, l’equità e l’inclusione, il rispetto dei diritti umani, la responsabilità per i prodotti, la gestione del capitale umano e una governance responsabile e operazioni trasparenti, o sono leader nella gestione di rischi e opportunità ambientali o sociali finanziariamente rilevanti come la gestione delle emissioni di carbonio, la diversità, l’equità e l’inclusione. Questa strategia tiene inoltre conto degli obiettivi di riduzione del carbonio a lungo termine dell’Accordo di Parigi.
Il Comparto manterrà un profilo di carbonio che segue gli obiettivi di zero emissioni nette dell’Accordo di Parigi, come riflesso nel benchmark applicabile ove esso sia allineato all’Accordo di Parigi, o, in assenza di un simile benchmark, manterrà un’impronta di carbonio sostanzialmente inferiore, di almeno il 50%, di quella dell’indice di mercato sottostante (MSCI World Index), tenendo anche conto degli obiettivi di riduzione del carbonio a lungo termine dell’Accordo di Parigi che possano giustificare una revisione dell’intervallo di riduzione previsto nel tempo. L’impronta di carbonio è misurata come intensità di carbonio media ponderata, definita come tonnellate di CO2 per 1 milione di dollari di ricavi.
Indipendentemente dal profilo zero carbonio perseguito dal Comparto, quest’ultimo cercherà di mantenere livelli più elevati di diversità a livello di portafoglio rispetto all’indice MSCI World, come misurato dal numero medio ponderato di donne a livello di consiglio di amministrazione. Il Consulente per gli Investimenti ottiene dati sulla diversità di genere nei consigli di amministrazione da fornitori terzi, che forniscono dati sul numero di donne nei consigli di amministrazione a livello di emittente. Il Consulente per gli Investimenti raccoglie questi dati per tutti i nomi nel suo universo di investimento per i quali sono disponibili dati e calcola la media ponderata per il Comparto e l’indice MSCI World.
Il Comparto cercherà di perseguire il proprio obiettivo di investimento investendo principalmente in titoli azionari, comprese ricevute di deposito (o depositary receipts, come American Depositary
Receipts o “ADR”, Global Depositary Receipts o “GDR” e European Depository Receipts o “EDR”).
Il Comparto utilizza un processo di ricerca ESG quantitativo e qualitativo che applica i Principi Calvert per l’Investimento Responsabile (Calvert Principles for Responsible Investment) per definire l’universo di investimento, assicurandosi che tali società non danneggino significativamente alcun obiettivo ambientale o sociale. I principi Calvert per l’investimento responsabile sono disponibili su www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im. Il Consulente per gli Investimenti può coinvolgere gli amministratori delle società su questioni ESG finanziariamente rilevanti che ritiene abbiano un impatto positivo sulla società o sull’ambiente.
Il Consulente per gli Investimenti prende in debita considerazione la rilevanza e la potenziale importanza dei Rischi di Sostenibilità per una particolare opportunità di investimento o per il portafoglio nel suo complesso nel contesto dell’obiettivo di investimento e dell’orizzonte temporale previsto per la detenzione di un titolo specifico. I Rischi di Sostenibilità possono avere un impatto negativo sul valore di un titolo o del portafoglio. Al fine di mitigare tali rischi, il Consulente per gli Investimenti può vendere o sottopesare un titolo, avviare un dialogo/interlocuzione attivi con il management della società (ad esempio interagendo con una società in merito ai suoi rischi o opportunità importanti per l’ESG come il cambiamento climatico, la diversità, il lavoro e i diritti umani e la divulgazione ESG, singolarmente o come parte di un gruppo di azionisti, si veda “Informazioni generali riguardanti l’integrazione del Rischio di Sostenibilità” per ulteriori informazioni), o apportare modifiche alle allocazioni.
Al fine di incrementare il rendimento e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) utilizzare opzioni, contratti a termine (future) e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini di investimento e della gestione efficiente del portafoglio (compresa la copertura).
Il Comparto può anche investire, in via accessoria, in titoli azionari che non soddisfano i criteri degli investimenti principali del Comparto, azioni privilegiate, strumenti di debito convertibili in azioni ordinarie o privilegiate, warrant su titoli, e altri titoli collegati ad azioni, a condizione che tali titoli siano conformi ai criteri ESG del Consulente per gli Investimenti.
Il Comparto può investire, in quantità limitata, in quote/azioni di altri organismi di investimento collettivo compresi i Comparti della Società e ETF aperti, che siano investimenti ammissibili per gli OICVM ai sensi della Legge del 2010.
Il Consulente per gli Investimenti cerca di identificare le società che considera leader nelle aree di performance ambientale, sociale e di governance che sono rilevanti per il rendimento nel lungo termine della società. La strategia d’investimento del Consulente per gli Investimenti ha tre elementi principali: 1) identificazione della società, 2) ottimizzazione del portafoglio e 3) interlocuzione con le società.
Il Consulente per gli Investimenti utilizza un processo quantitativo e qualitativo di ricerca ESG che cerca di differenziare le società in base al contributo dei loro prodotti e servizi nell’affrontare le sfide ambientali o sociali globali, o la loro gestione delle esposizioni e delle opportunità di Rischio di Sostenibilità ambientale e sociale rilevanti. Attraverso il processo quantitativo, il Consulente per gli Investimenti cerca di identificare le società che si collocano nella fascia più alta del 20-40% del loro gruppo di appartenenza per quanto riguarda i fattori ambientali o sociali che si ritengono finanziariamente rilevanti per la società, mentre non devono rientrare nella fascia più bassa del 20-40% per qualsiasi altra questione ambientale, sociale o di governance importante in base alla ricerca proprietaria del Consulente per gli Investimenti. I punteggi ESG sono determinati dal Consulente per gli Investimenti, utilizzando una combinazione di dati ESG di terzi e personalizzati come base, tenendo conto di temi ESG quali la sostenibilità ambientale e l’efficienza delle risorse, la diversità, l’equità e l’inclusione, il rispetto dei diritti umani, la responsabilità per i prodotti, la gestione del capitale umano e la governance responsabile e le operazioni trasparenti. Le società identificate sono anche sottoposte a una revisione qualitativa.
Una volta determinato un universo di leader ESG, il Consulente per gli Investimenti costruisce il portafoglio attraverso un processo di ottimizzazione che orienta il portafoglio verso le aziende leader ESG che hanno più diversità di genere e meno rischio di carbonio, minimizzando al contempo i fattori di rischio rispetto all’indice MSCI World.
I suddetti criteri ESG potrebbero comportare una riduzione dell’universo investibile di almeno il 20% in un modo significativamente impegnativo, e il Consulente per gli Investimenti farà in modo di assicurare che almeno il 90% degli emittenti in portafoglio siano valutati rispetto ai criteri ESG. A tal fine, l’universo di investimento considerato sono i componenti del MSCI World Index.
Restrizioni agli investimenti
Il Consulente per gli Investimenti non includerà consapevolmente le seguenti società nell’universo di investimento:
- coinvolte in gravi controversie ESG senza significative azioni di rimedio e miglioramento;
- che fabbricano o producono armi controverse e armi da fuoco per uso civile;
- attive nella manifattura o produzione del tabacco; e
- attive nel gioco d’azzardo.

Oltre alle esclusioni settoriali di cui sopra, il Consulente per gli Investimenti verifica costantemente le pratiche commerciali attraverso i dati sulle controversie ESG ed il controllo degli standard provenienti da fornitori terzi. Il Consulente per gli Investimenti prenderà in considerazione i casi di controversia che considera molto gravi in base alle valutazioni dei competenti fornitori di dati ESG, nonché le violazioni del Global Compact delle Nazioni Unite o dei principi fondamentali dell’Ufficio Internazionale del Lavoro, anche se tali eventi non comporteranno automaticamente l’esclusione dal portafoglio.
In aggiunta a quanto precede, il Consulente per gli Investimenti può, a propria discrezione, scegliere di applicare nel tempo ulteriori restrizioni agli investimenti legati all’ESG che ritiene coerenti con i suoi obiettivi di investimento. Tali ulteriori restrizioni saranno rese note ogni volta che vengano attuate su www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im. Il processo di screening positivo, la metodologia e i Principi Calvert per gli Investimenti Responsabili (Calvert Principles for Responsible Investment) sono disponibili sui seguenti siti web: www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im.
Il Comparto è gestito attivamente e non è concepito per seguire un benchmark. Pertanto, la gestione del Comparto non è vincolata dalla composizione di un benchmark. La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto. Nel contesto dell’integrazione ESG del Comparto, il Consulente per gli Investimenti utilizza l’Indice MSCI World ai fini del confronto dell’impronta di carbonio del Comparto e della diversità di genere a livello dei consigli di amministrazione dei componenti del portafoglio.
Il Comparto fa riferimento ai dati ESG di terzi ed alle proprie analisi nel processo di ricerca dei titoli. Il Consulente per gli Investimenti può anche utilizzare dati di terzi per la costruzione del portafoglio. Tuttavia, in alcuni casi, i dati su emittenti specifici o sulle esclusioni di cui sopra potrebbero non essere disponibili in tempi brevi e/o possono essere determinati dal Consulente per gli Investimenti utilizzando stime ragionevoli.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno
significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento del Calvert Sustainable Developed Markets Equity Select Fund, questo comparto può essere adatto per investitori che:
- Intendono investire in titoli azionari.
- Ricercano un apprezzamento del capitale nel medio termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

CALVERT SUSTAINABLE DIVERSITY, EQUITY AND INCLUSION FUND
L’obiettivo d’investimento del Calvert Sustainable Diversity, Equity and Inclusion Fund è l’aumento del capitale nel lungo termine, denominato in Dollari USA, e l’avanzamento della diversità, dell’equità e dell’inclusione, investendo principalmente in titoli azionari (come elencati di seguito) di società Situate a livello globale, che dimostrano leadership o miglioramenti significativi nell’avere una forza lavoro diversificata e una cultura lavorativa equa e inclusiva. Il Consulente per gli Investimenti utilizzerà un processo di ottimizzazione per scegliere le posizioni che il Comparto acquisice, sulla base di una strategia proprietaria.
Il Comparto cercherà di perseguire il proprio obiettivo di investimento investendo principalmente in titoli azionari, comprese ricevute di deposito (o depositary receipts, come American Depositary Receipts o “ADR”, Global Depositary Receipts o “GDR” e European Depository Receipts o “EDR”).
Il Comparto cercherà di mantenere livelli più elevati di diversità a livello di portafoglio rispetto all’indice di mercato sottostante (MSCI World Index), come misurato con i dati disponibili sul numero medio di donne a livello di consiglio di amministrazione e di numero di componenti dei consigli che sono esponenti di minoranze etniche sottorappresentate. Il Consulente per gli Investimenti ottiene dati sulla diversità di genere ed etnica nei consigli di amministrazione da fornitori terzi, che forniscono dati a livello di emittente sulla percentuale di donne e delle minoranze etniche sottorappresentate nei consigli di amministrazione. Il Consulente per gli Investimenti raccoglie questi dati per tutti i
nomi nel suo universo di investimento per i quali sono disponibili dati e calcola la media delle donne e dei membri delle minoranze etniche sottorappresentate per il Comparto e l’indice MSCI World.
Il Comparto utilizza un processo di ricerca ESG quantitativo e qualitativo che applica i Principi Calvert per l’Investimento Responsabile (Calvert Principles for Responsible Investment) per definire l’universo di investimento, assicurandosi che tali società non danneggino significativamente alcun obiettivo ambientale o sociale. I principi Calvert per l’investimento responsabile sono disponibili su www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im. Il Consulente per gli Investimenti può coinvolgere gli amministratori delle società su questioni ESG finanziariamente rilevanti che ritiene abbiano un impatto positivo sulla società o sull’ambiente.
Il Consulente per gli Investimenti prende in debita considerazione la rilevanza e la potenziale importanza dei Rischi di Sostenibilità per una particolare opportunità di investimento o per il portafoglio nel suo complesso nel contesto dell’obiettivo di investimento e dell’orizzonte temporale previsto per la detenzione di un titolo specifico. I Rischi di Sostenibilità possono avere un impatto negativo sul valore di un titolo o del portafoglio. Al fine di mitigare tali rischi, il Consulente per gli Investimenti può vendere o sottopesare un titolo, avviare un dialogo/interlocuzione attivi con il management della società (ad esempio interagendo con una società in merito ai suoi rischi o opportunità importanti per l’ESG come il cambiamento climatico, la diversità, il lavoro e i diritti umani e la divulgazione ESG, singolarmente o come parte di un gruppo di azionisti, si veda “Informazioni generali riguardanti l’integrazione del Rischio di Sostenibilità” per ulteriori informazioni), o apportare modifiche alle allocazioni.
Al fine di incrementare il rendimento e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) utilizzare opzioni, contratti a termine (future) e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini di investimento e della gestione efficiente del portafoglio (compresa la copertura).
Il Comparto può anche investire, in via accessoria, in titoli azionari che non soddisfano i criteri degli investimenti principali del Comparto, azioni privilegiate, strumenti di debito convertibili in azioni ordinarie o privilegiate, warrant su titoli, e altri titoli collegati ad azioni, a condizione che tali titoli siano conformi ai criteri ESG del Consulente per gli Investimenti.
Il Comparto può investire, in quantità limitata, in quote/azioni di altri organismi di investimento collettivo compresi i Comparti della Società e ETF aperti, che siano investimenti ammissibili per gli OICVM ai sensi della Legge del 2010.
Il Consulente per gli Investimenti utilizza un processo di ricerca ESG che cerca di identificare le società che mostrano di essere le migliori nell’avere una forza lavoro equilibrata in termini di genere a diversi livelli e/o, per alcuni Paesi, nella diversità etnica dello staff rispetto alla demografia dello stesso Paese. Inoltre, viene considerata anche la primazia di una società in altri aspetti della diversità tra i membri del consiglio, in particolare l’età, il retaggio culturale e le competenze. Per identificare le società che riflettono una cultura del lavoro equa e inclusiva, il Consulente per gli Investimenti cerca di investire in società che hanno politiche e procedure che supportano adeguatamente le pari opportunità nel processo di assunzione, la parità di retribuzione e la promozione equa tra tutti i gruppi di diversità.
Il Consulente per gli Investimenti include anche le società che stanno dimostrando un miglioramento significativo nelle loro pratiche di diversità, come evidenziato da: 1) aumento della diversità nella forza lavoro, in particolare più equilibrata dal punto di vista del genere o più diversificata dal punto di vista etnico; o 2) progressi dimostrati dopo una grave controversia relativa a questioni di diversità e inclusione; o 3) risoluzioni societarie proposte dagli azionisti (solo società con sede negli Stati Uniti e in Canada) su questioni di diversità e inclusione; o 4) identificate come un obiettivo di impegno da parte del Consulente per gli Investimenti su questioni di diversità e inclusione.
Le società sono escluse dal portafoglio se il Consulente per gli Investimenti reputa che non mostrano miglioramenti nelle pratiche di diversità e che non soddisfano uno dei seguenti criteri: 1) mancanza di diversità tra i membri del consiglio di amministrazione, in particolare non equilibrata dal punto di vista del genere o non diversificata dal punto di vista etnico; o 2) mostrano rischi significativi associati alle questioni relative al capitale umano; o 3) sono coinvolte in gravi controversie relative a questioni di diversità e inclusione.
I suddetti criteri ESG potrebbero comportare una riduzione dell’universo investibile di almeno il 20% in un modo significativamente impegnativo, e il Consulente per gli Investimenti farà in modo di assicurare che almeno il 90% degli emittenti in portafoglio siano valutati rispetto ai criteri ESG. A tal fine, l’universo di investimento considerato sono i componenti del MSCI World Index.
Il Consulente per gli Investimenti può coinvolgere gli amministratori delle società su questioni ESG finanziariamente rilevanti che ritiene abbiano un impatto positivo sulla società o sull’ambiente.
Il Consulente per gli Investimenti non includerà consapevolmente le seguenti società nell’universo di investimento:
- coinvolte in gravi controversie ESG senza significative azioni di rimedio e miglioramento;
- che fabbricano o producono armi controverse e armi da fuoco per uso civile;
- attive nella manifattura o produzione del tabacco; e
- attive nel gioco d’azzardo.

Oltre alle esclusioni settoriali di cui sopra, il Consulente per gli Investimenti verifica costantemente le pratiche commerciali attraverso i dati sulle controversie ESG ed il controllo degli standard provenienti da fornitori terzi. Il Consulente per gli Investimenti prenderà in considerazione i casi di controversia che considera molto gravi in base alle valutazioni dei competenti fornitori di dati ESG, nonché le violazioni del Global Compact delle Nazioni Unite o dei principi fondamentali dell’Ufficio Internazionale del Lavoro, anche se tali eventi non comporteranno automaticamente l’esclusione dal portafoglio.
In aggiunta a quanto precede, il Consulente per gli Investimenti può, a propria discrezione, scegliere di applicare nel tempo ulteriori restrizioni agli investimenti legati all’ESG che ritiene coerenti con i suoi obiettivi di investimento. Tali ulteriori restrizioni saranno rese note ogni volta che vengano attuate su www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im. Il processo di screening positivo, la metodologia e i Principi Calvert per gli Investimenti Responsabili (Calvert Principles for Responsible Investment) sono disponibili sui seguenti siti web: www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im.
Il Comparto è gestito attivamente e non è concepito per seguire un benchmark. Pertanto, la gestione del Comparto non è vincolata dalla composizione di un benchmark. La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto. Nel contesto dell’integrazione ESG del Comparto, il Consulente per gli Investimenti utilizza l’MSCI World Index ai fini del confronto della diversità di genere ed etnica a livello dei consigli di amministrazione dei componenti del portafoglio.
Il Comparto fa riferimento ai dati ESG di terzi ed alle proprie analisi nel processo di ricerca dei titoli. Il Consulente per gli Investimenti può anche utilizzare dati di terzi per la costruzione del portafoglio. Tuttavia, in alcuni casi, i dati su emittenti specifici o sulle esclusioni di cui sopra potrebbero non essere disponibili in tempi brevi e/o possono essere determinati dal Consulente per gli Investimenti utilizzando stime ragionevoli.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento del Calvert Sustainable Diversity, Equity and Inclusion Fund, questo comparto può essere adatto per investitori che:
- Intendono investire in titoli azionari.
- Ricercano un apprezzamento del capitale nel medio termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

CALVERT SUSTAINABLE EMERGING MARKETS EQUITY SELECT FUND
L’obiettivo di investimento del Calvert Sustainable Emerging Markets Equity Select Fund è l’aumento a lungo termine del valore del capitale, denominato in Dollari USA, investendo principalmente in titoli azionari (come di seguito elencati) di società Situate nei mercati emergenti che hanno attività economiche che tengono conto delle sfide ambientali e sociali globali come la sostenibilità ambientale e l’efficienza delle risorse, la diversità, l’equità e l’inclusione, il rispetto dei diritti umani, la responsabilità per i prodotti, la gestione del capitale umano e una governance responsabile e operazioni trasparenti, o sono leader nella gestione di rischi e opportunità ambientali o sociali finanziariamente rilevanti come la gestione delle emissioni di carbonio, la diversità, l’equità e l’inclusione. Questa strategia tiene inoltre conto degli obiettivi di riduzione del carbonio a lungo termine dell’Accordo di Parigi.
Il Comparto manterrà un profilo di carbonio che segue gli obiettivi di zero emissioni nette dell’Accordo di Parigi, come riflesso nel benchmark applicabile ove esso sia allineato all’Accordo di Parigi, o, in assenza di un simile benchmark, manterrà un’impronta di carbonio sostanzialmente inferiore, di almeno il 50%, di quella dell’indice di mercato sottostante (MSCI Emerging Markets Index), tenendo anche conto degli obiettivi di riduzione del carbonio a lungo termine dell’Accordo di Parigi che possano giustificare una revisione dell’intervallo di riduzione previsto nel tempo. L’impronta di carbonio è misurata come intensità di
carbonio media ponderata, definita come tonnellate di CO2 per 1 milione di dollari di ricavi.
Indipendentemente dal profilo zero carbonio perseguito dal Comparto, quest’ultimo cercherà di mantenere livelli più elevati di diversità a livello di portafoglio rispetto all’indice MSCI Emerging Markets, come misurato dal numero medio ponderato di donne a livello di consiglio di amministrazione. Il Consulente per gli Investimenti ottiene dati sulla diversità di genere nei consigli di amministrazione da fornitori terzi, che forniscono dati sul numero di donne nei consigli di amministrazione a livello di emittente. Il Consulente per gli Investimenti raccoglie questi dati per tutti i nomi nel suo universo di investimento per i quali sono disponibili dati e calcola la media ponderata per il Comparto e l’indice MSCI Emerging Markets.
Il Comparto cercherà di perseguire il proprio obiettivo di investimento investendo principalmente in titoli azionari, comprese ricevute di deposito (o depositary receipts, come American Depositary Receipts o “ADR”, Global Depositary Receipts o “GDR” e European Depository Receipts o “EDR”).
Il Comparto utilizza un processo di ricerca ESG quantitativo e qualitativo che applica i Principi Calvert per l’Investimento Responsabile (Calvert Principles for Responsible Investment) per definire l’universo di investimento, assicurandosi che tali società non danneggino significativamente alcun obiettivo ambientale o sociale. I principi Calvert per l’investimento responsabile sono disponibili su www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im. Il Consulente per gli Investimenti può coinvolgere gli amministratori delle società su questioni ESG finanziariamente rilevanti che ritiene abbiano un impatto positivo sulla società o sull’ambiente.
Il Consulente per gli Investimenti prende in debita considerazione la rilevanza e la potenziale importanza dei Rischi di Sostenibilità per una particolare opportunità di investimento o per il portafoglio nel suo complesso nel contesto dell’obiettivo di investimento e dell’orizzonte temporale previsto per la detenzione di un titolo specifico. I Rischi di Sostenibilità possono avere un impatto negativo sul valore di un titolo o del portafoglio. Al fine di mitigare tali rischi, il Consulente per gli Investimenti può vendere o sottopesare un titolo, avviare un dialogo/interlocuzione attivi con il management della società (ad esempio interagendo con una società in merito ai suoi rischi o opportunità importanti per l’ESG come il cambiamento climatico, la diversità, il lavoro e i diritti umani e la divulgazione ESG, singolarmente o come parte di un gruppo di azionisti, si veda “Informazioni generali riguardanti l’integrazione del Rischio di Sostenibilità” per ulteriori informazioni), o apportare modifiche alle allocazioni.
Al fine di incrementare il rendimento e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) utilizzare opzioni, contratti a termine (future) e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini di investimento e della gestione efficiente del portafoglio (compresa la copertura).
Il Comparto può anche investire, in via accessoria, in titoli azionari che non soddisfano i criteri degli investimenti principali del Comparto, azioni privilegiate, strumenti di debito convertibili in azioni ordinarie o privilegiate, warrant su titoli, e altri titoli collegati ad azioni, a condizione che tali titoli siano conformi ai criteri ESG del Consulente per gli Investimenti.
Il Comparto può investire, in quantità limitata, in quote/azioni di altri organismi di investimento collettivo compresi i Comparti della Società e ETF aperti, che siano investimenti ammissibili per gli OICVM ai sensi della Legge del 2010.
Il Consulente per gli Investimenti cerca di identificare le società che considera leader nelle aree di performance ambientale, sociale e di governance che sono rilevanti per il rendimento nel lungo termine della società. La strategia d’investimento del Consulente per gli Investimenti ha tre elementi principali: 1) identificazione della società, 2) ottimizzazione del portafoglio e 3) interlocuzione con le società.
Il Consulente per gli Investimenti utilizza un processo quantitativo e qualitativo di ricerca ESG che cerca di differenziare le società in base al contributo dei loro prodotti e servizi nell’affrontare le sfide ambientali o sociali globali, o la loro gestione delle esposizioni e delle opportunità di Rischio di Sostenibilità ambientale e sociale rilevanti. Attraverso il processo quantitativo, il Consulente per gli Investimenti cerca di identificare le società che si collocano nella fascia più alta del 20-40% del loro gruppo di appartenenza per quanto riguarda i fattori ambientali o sociali che si ritengono finanziariamente rilevanti per la società, mentre non devono rientrare nella fascia più bassa del 20-40% per qualsiasi altra questione ambientale, sociale o di governance importante in base alla ricerca proprietaria del Consulente per gli Investimenti. I punteggi ESG sono determinati dal Consulente per gli Investimenti, utilizzando una combinazione di dati ESG di terzi e personalizzati come base, tenendo conto di temi ESG quali la sostenibilità ambientale e l’efficienza delle risorse, la diversità, l’equità e l’inclusione, il rispetto dei diritti umani, la responsabilità per i prodotti, la gestione del capitale umano e la governance responsabile e le operazioni trasparenti. Le società identificate sono anche sottoposte a una revisione qualitativa.
Una volta determinato un universo di leader ESG, il Consulente per gli Investimenti costruisce il portafoglio attraverso un processo
di ottimizzazione che orienta il portafoglio verso le aziende leader ESG che hanno più diversità di genere e meno rischio di carbonio, minimizzando al contempo i fattori di rischio rispetto all’indice MSCI Emerging Markets.
I suddetti criteri ESG potrebbero comportare una riduzione dell’universo investibile di almeno il 20% in un modo significativamente impegnativo, e il Consulente per gli Investimenti farà in modo di assicurare che almeno il 90% degli emittenti in portafoglio siano valutati rispetto ai criteri ESG. A tal fine, l’universo di investimento considerato sono i componenti del MSCI Emerging Markets Index.
Restrizioni agli investimenti
Il Consulente per gli Investimenti non includerà consapevolmente le seguenti società nell’universo di investimento:
- coinvolte in gravi controversie ESG senza significative azioni di rimedio e miglioramento;
- che fabbricano o producono armi controverse e armi da fuoco per uso civile;
- attive nella manifattura o produzione del tabacco; e
- attive nel gioco d’azzardo.

Oltre alle esclusioni settoriali di cui sopra, il Consulente per gli Investimenti verifica costantemente le pratiche commerciali attraverso i dati sulle controversie ESG ed il controllo degli standard provenienti da fornitori terzi. Il Consulente per gli Investimenti prenderà in considerazione i casi di controversia che considera molto gravi in base alle valutazioni dei competenti fornitori di dati ESG, nonché le violazioni del Global Compact delle Nazioni Unite o dei principi fondamentali dell’Ufficio Internazionale del Lavoro, anche se tali eventi non comporteranno automaticamente l’esclusione dal portafoglio.
In aggiunta a quanto precede, il Consulente per gli Investimenti può, a propria discrezione, scegliere di applicare nel tempo ulteriori restrizioni agli investimenti legati all’ESG che ritiene coerenti con i suoi obiettivi di investimento. Tali ulteriori restrizioni saranno rese note ogni volta che vengano attuate su www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im. Il processo di screening positivo, la metodologia e i Principi Calvert per gli Investimenti Responsabili (Calvert Principles for Responsible Investment) sono disponibili sui seguenti siti web: www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im.
Il Comparto è gestito attivamente e non è concepito per seguire un benchmark. Pertanto, la gestione del Comparto non è vincolata dalla composizione di un benchmark. La performance del Comparto
è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto. Nel contesto dell’integrazione ESG del Comparto, il Consulente per gli Investimenti utilizza l’Indice MSCI Emerging Markets ai fini del confronto dell’impronta di carbonio del Comparto e della diversità di genere a livello dei consigli di amministrazione dei componenti del portafoglio.
Il Comparto fa riferimento ai dati ESG di terzi ed alle proprie analisi nel processo di ricerca dei titoli. Il Consulente per gli Investimenti può anche utilizzare dati di terzi per la costruzione del portafoglio. Tuttavia, in alcuni casi, i dati su emittenti specifici o sulle esclusioni di cui sopra potrebbero non essere disponibili in tempi brevi e/o possono essere determinati dal Consulente per gli Investimenti utilizzando stime ragionevoli.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento del Calvert Sustainable Emerging Markets Equity Select Fund, questo comparto può essere adatto per investitori che:
- Intendono investire in titoli azionari.
- Ricercano un apprezzamento del capitale nel medio termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

CALVERT SUSTAINABLE GLOBAL EQUITY ENGAGEMENT FUND
L’obiettivo di investimento del Calvert Sustainable Global Equity Engagement Fund è di fornire un elevato rendimento totale, coerente con un rischio ragionevole, denominato in dollari USA, investendo principalmente in modelli di business sostenibili che possano dare valore nel tempo. Il Comparto cerca società che hanno attività economiche che tengono conto delle sfide ambientali e sociali globali come la sostenibilità ambientale e l’efficienza delle risorse, la diversità, l’equità e l’inclusione, il rispetto dei diritti umani, la responsabilità per i prodotti, la gestione del capitale
umano e una governance responsabile e operazioni trasparenti, o sono leader nella gestione di rischi e opportunità ambientali o sociali finanziariamente rilevanti come la gestione delle emissioni di carbonio, la diversità, l’equità e l’inclusione. Questa strategia tiene inoltre conto degli obiettivi di riduzione del carbonio a lungo termine dell’Accordo di Parigi e dell’avanzamento della diversità, dell’equità e dell’inclusione.
Il Comparto manterrà un profilo di carbonio che segue gli obiettivi di zero emissioni nette dell’Accordo di Parigi, come riflesso nel benchmark applicabile ove esso sia allineato all’Accordo di Parigi, o, in assenza di un simile benchmark, manterrà un’impronta di carbonio sostanzialmente inferiore, di almeno il 50%, di quella dell’indice di mercato sottostante (MSCI All Country World Index), tenendo anche conto degli obiettivi di riduzione del carbonio a lungo termine dell’Accordo di Parigi che possano giustificare una revisione dell’intervallo di riduzione previsto nel tempo. L’impronta di carbonio è misurata come intensità di carbonio media ponderata, definita come tonnellate di CO2 per 1 milione di dollari di ricavi.
Indipendentemente dall’obiettivo di profilo zero carbonio perseguito dal Comparto, quest’ultimo cercherà di mantenere livelli più elevati di diversità a livello di portafoglio rispetto all’indice MSCI All Country World, come misurato dalla percentuale media ponderata di donne a livello di consiglio di amministrazione. Il Consulente per gli Investimenti ottiene dati sulla diversità di genere nei consigli di amministrazione da fornitori terzi, che forniscono dati sulla percentuale di donne nei consigli di amministrazione a livello di emittente. Il Consulente per gli Investimenti raccoglie questi dati per tutti i nomi nel suo universo di investimento per i quali sono disponibili dati e calcola la media ponderata per il Comparto e l’indice MSCI All Country World.
Il Comparto cercherà di perseguire il proprio obiettivo di investimento investendo principalmente in titoli azionari di società situate nei mercati sviluppati mondiali, comprese ricevute di deposito (o depositary receipts, come American Depositary Receipts o “ADR”, European Depository Receipts o “EDR” e Global Depositary Receipts o “GDR”).
Il Comparto utilizza un processo di ricerca ESG quantitativo e qualitativo che applica i Principi Calvert per l’Investimento Responsabile (Calvert Principles for Responsible Investment) per definire l’universo di investimento, assicurandosi che le società rilevanti non danneggino significativamente alcun obiettivo ambientale o sociale. I principi Calvert per l’investimento responsabile sono disponibili su www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im. Il Consulente per gli Investimenti può coinvolgere gli amministratori delle società su questioni ESG finanziariamente rilevanti.
Il Consulente per gli Investimenti prende in debita considerazione la rilevanza e la potenziale importanza dei Rischi di Sostenibilità per una particolare opportunità di investimento o per il portafoglio nel suo complesso nel contesto dell’obiettivo di investimento e dell’orizzonte temporale previsto per la detenzione di un titolo specifico. I Rischi di Sostenibilità possono avere un impatto negativo sul valore di un titolo o del portafoglio. Al fine di mitigare tali rischi, il Consulente per gli Investimenti può vendere o sottopesare un titolo, avviare un dialogo/interlocuzione attivi con il management della società (ad esempio interagendo con una società in merito ai suoi rischi o opportunità importanti per l’ESG come il cambiamento climatico, la diversità, il lavoro e i diritti umani e la divulgazione ESG, singolarmente o come parte di un gruppo di azionisti, si veda “Informazioni generali riguardanti l’integrazione del Rischio di Sostenibilità” per ulteriori informazioni), o apportare modifiche alle allocazioni.
Il Comparto può anche investire, in via accessoria, in titoli azionari che non soddisfano i criteri degli investimenti principali del Comparto, azioni privilegiate, strumenti di debito convertibili in azioni ordinarie o privilegiate, warrant su titoli, e altri titoli collegati ad azioni, a condizione che tali titoli siano conformi ai criteri ESG del Consulente per gli Investimenti.
Il Consulente per gli Investimenti ritiene che un approccio d’investimento incentrato sulla sostenibilità, l’integrazione ESG e l’impegno strutturato sia meglio posizionato per minimizzare il rischio e capitalizzare il successo finanziario, che a suo parere si forma nel tempo. Il Consulente per gli Investimenti ritiene che il valore reale di un titolo risieda nella sua capacità di formare flussi di cassa nel tempo. Per questo motivo, il Consulente per gli Investimenti si concentra sulla proprietà a lungo termine di società con attività sostenibili.
Il Consulente per gli Investimenti cerca di identificare società di alta qualità o in via di miglioramento con caratteristiche di crescita secolare, rendimenti elevati o in via di miglioramento sul capitale investito, vantaggi competitivi sostenibili, bilanci durevoli e una solida storia di allocazione del capitale, che sono scambiate a sconto rispetto alla stima del Consulente per gli Investimenti del valore intrinseco del titolo. Una forte attenzione è anche rivolta all’impatto positivo che ogni società sta avendo sull’ambiente e sulla società.
L’ampio spettro di lavoro ESG svolto dal Consulente per gli Investimenti viene integrato in tutto il processo di investimento impiegato dal Comparto. Il Consulente per gli Investimenti adotta un approccio poliedrico all’integrazione dell’ESG nel proprio processo e crede fermamente che forti caratteristiche ESG siano fondamentali per la sostenibilità del modello di business di una società nel tempo. Nel valutare la sostenibilità di un modello di business, il Consulente per gli Investimenti pone le questioni ESG
sullo stesso piano di fattori come il rendimento del capitale investito o la generazione di flussi di cassa disponibili. Ogni emittente viene valutato rispetto a un gruppo di suoi pari ritenuto appropriato sulla base di fattori ESG finanziariamente rilevanti, come determinati dal Consulente per gli Investimenti. La valutazione delle caratteristiche di investimento responsabile di un particolare titolo comporta generalmente un’analisi sia quantitativa che qualitativa. Nel valutare gli investimenti, il Consulente per gli Investimenti si concentra generalmente sui fattori ESG più rilevanti per le operazioni dell’emittente, e un emittente può essere ritenuto accettabile per l’investimento basandosi principalmente su tale valutazione.
Il Consulente per gli Investimenti cerca anche di coinvolgere il management della società su questioni ESG finanziariamente rilevanti identificate attraverso i suoi processi di ricerca sui fondamentali e l’ESG. L’interlocuzione cerca di avviare un cambiamento positivo, a migliorare la sostenibilità di ciascuna società e a potenziare la creazione di valore nel lungo termine. L’approccio basato sull’attivismo può includere il voto per delega attivo, il dialogo con i team di gestione aziendale e i consigli di amministrazione, il lavorare congiuntamente ad altre organizzazioni, la presentazione di risoluzioni degli azionisti e altre iniziative.
I suddetti criteri ESG potrebbero comportare una riduzione dell’universo investibile di almeno il 20% in modo molto impegnativo, e il Consulente per gli Investimenti farà in modo di assicurare che almeno il 90% degli emittenti in portafoglio siano valutati rispetto questi criteri ESG. A tal fine, l’universo di investimento considerato sono i componenti del MSCI All Country World Index.
Il Consulente per gli Investimenti non includerà consapevolmente le seguenti società nell’universo di investimento:
- coinvolte in gravi controversie ESG senza significative azioni di rimedio e miglioramento;
- che fabbricano o producono armi controverse e armi da fuoco per uso civile;
- attive nella manifattura o produzione del tabacco; e
- attive nel gioco d’azzardo.

Oltre alle esclusioni settoriali di cui sopra, il Consulente per gli Investimenti verifica costantemente le pratiche commerciali attraverso i dati sulle controversie ESG ed il controllo degli standard provenienti da fornitori terzi. Il Consulente per gli Investimenti prenderà in considerazione i casi di controversia che considera molto gravi in base alle valutazioni dei competenti fornitori di dati ESG, nonché le violazioni del Global Compact delle Nazioni Unite o dei principi fondamentali dell’Ufficio
Internazionale del Lavoro, anche se tali eventi non comporteranno automaticamente l’esclusione dal portafoglio.
In aggiunta a quanto precede, il Consulente per gli Investimenti può, a propria discrezione, scegliere di applicare nel tempo ulteriori restrizioni agli investimenti legati all’ESG che ritiene coerenti con i suoi obiettivi di investimento. Tali ulteriori restrizioni saranno rese note ogni volta che vengano attuate su www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im.
In relazione a questo Comparto, l’uso di “Calvert” nel nome si riferisce a Calvert Research and Management (“Calvert”), il cui ruolo in relazione a questo Comparto è limitato alla consulenza per gli investimenti su base non discrezionale al Consulente per gli Investimenti per assisterlo nella sua gestione del Comparto. Calvert non ha alcun potere discrezionale di prendere decisioni di investimento su base discrezionale per conto del Comparto, essendo tale potere discrezionale di investimento conferito esclusivamente al Consulente per gli Investimenti.
Al fine di incrementare il rendimento e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) utilizzare opzioni, contratti a termine (future) e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini della gestione efficiente del portafoglio (compresa la copertura).
Il Comparto è gestito attivamente e non è concepito per seguire un benchmark. Pertanto, la gestione del Comparto non è vincolata dalla composizione di un benchmark. La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto. Nel contesto dell’integrazione ESG del Comparto, il Consulente per gli Investimenti utilizza l’Indice MSCI All Country World ai fini del confronto dell’impronta di carbonio del Comparto e della diversità di genere a livello dei consigli di amministrazione dei componenti del portafoglio.
Il Comparto fa riferimento ai dati ESG di terzi ed alle proprie analisi nel processo di ricerca dei titoli. Il Consulente per gli Investimenti può anche utilizzare dati di terzi per la costruzione del portafoglio. Tuttavia, in alcuni casi, i dati su emittenti specifici o sulle esclusioni di cui sopra potrebbero non essere disponibili in tempi brevi e/o possono essere determinati dal Consulente per gli Investimenti utilizzando stime ragionevoli.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del
Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento del Calvert Sustainable Global Equity Engagement Fund, questo comparto può essere adatto per investitori che:
- Intendono investire in titoli azionari.
- Ricercano un apprezzamento del capitale nel lungo termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

CALVERT SUSTAINABLE US EQUITY SELECT FUND
L’obiettivo di investimento del Calvert Sustainable US Equity Select Fund è l’aumento a lungo termine del valore del capitale, denominato in Dollari USA, investendo principalmente in titoli azionari (come di seguito elencati) di società statunitensi ad elevata capitalizzazione che hanno attività economiche che tengono conto delle sfide ambientali e sociali globali come la sostenibilità ambientale e l’efficienza delle risorse, la diversità, l’equità e l’inclusione, il rispetto dei diritti umani, la responsabilità per i prodotti, la gestione del capitale umano e una governance responsabile e operazioni trasparenti, o sono leader nella gestione di rischi e opportunità ambientali o sociali finanziariamente rilevanti come la gestione delle emissioni di carbonio, la diversità, l’equità e l’inclusione. Questa strategia tiene inoltre conto degli obiettivi di riduzione del carbonio a lungo termine dell’Accordo di Parigi.
Il Comparto manterrà un profilo di carbonio che segue gli obiettivi di zero emissioni nette dell’Accordo di Parigi, come riflesso nel benchmark applicabile ove esso sia allineato all’Accordo di Parigi, o, in assenza di un simile benchmark, manterrà un’impronta di carbonio sostanzialmente inferiore, di almeno il 50%, di quella dell’indice di mercato sottostante (Russell 1000 Index), tenendo anche conto degli obiettivi di riduzione del carbonio a lungo termine dell’Accordo di Parigi che possano giustificare una revisione dell’intervallo di riduzione previsto nel tempo. L’impronta di carbonio è misurata come intensità di carbonio media ponderata, definita come tonnellate di CO2 per 1 milione di dollari di ricavi.
Indipendentemente dal profilo zero carbonio perseguito dal Comparto, quest’ultimo cercherà di mantenere livelli più elevati di diversità a livello di portafoglio rispetto all’indice Russell 1000,
come misurato dal numero medio ponderato di donne a livello di consiglio di amministrazione. Il Consulente per gli Investimenti ottiene dati sulla diversità di genere nei consigli di amministrazione da fornitori terzi, che forniscono dati sul numero di donne nei consigli di amministrazione a livello di emittente. Il Consulente per gli Investimenti raccoglie questi dati per tutti i nomi nel suo universo di investimento per i quali sono disponibili dati e calcola la media ponderata per il Comparto e l’indice Russell 1000.
Il Comparto cercherà di perseguire il proprio obiettivo di investimento investendo principalmente in titoli azionari, comprese ricevute di deposito (o depositary receipts, come American Depositary Receipts o “ADR”, Global Depositary Receipts o “GDR” e European Depository Receipts o “EDR”).
Il Comparto utilizza un processo di ricerca ESG quantitativo e qualitativo che applica i Principi Calvert per l’Investimento Responsabile (Calvert Principles for Responsible Investment) per definire l’universo di investimento, assicurandosi che tali società non danneggino significativamente alcun obiettivo ambientale o sociale. I principi Calvert per l’investimento responsabile sono disponibili su www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im. Il Consulente per gli Investimenti può coinvolgere gli amministratori delle società su questioni ESG finanziariamente rilevanti che ritiene abbiano un impatto positivo sulla società o sull’ambiente.
Il Consulente per gli Investimenti prende in debita considerazione la rilevanza e la potenziale importanza dei Rischi di Sostenibilità per una particolare opportunità di investimento o per il portafoglio nel suo complesso nel contesto dell’obiettivo di investimento e dell’orizzonte temporale previsto per la detenzione di un titolo specifico. I Rischi di Sostenibilità possono avere un impatto negativo sul valore di un titolo o del portafoglio. Al fine di mitigare tali rischi, il Consulente per gli Investimenti può vendere o sottopesare un titolo, avviare un dialogo/interlocuzione attivi con il management della società (ad esempio interagendo con una società in merito ai suoi rischi o opportunità importanti per l’ESG come il cambiamento climatico, la diversità, il lavoro e i diritti umani e la divulgazione ESG, singolarmente o come parte di un gruppo di azionisti, si veda “Informazioni generali riguardanti l’integrazione del Rischio di Sostenibilità” per ulteriori informazioni), o apportare modifiche alle allocazioni.
Al fine di incrementare il rendimento e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) utilizzare opzioni, contratti a termine (future) e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini di investimento e della gestione efficiente del portafoglio (compresa la copertura).
Il Comparto può anche investire, in via accessoria, in titoli azionari che non soddisfano i criteri degli investimenti principali del Comparto, azioni privilegiate, strumenti di debito convertibili in azioni ordinarie o privilegiate, warrant su titoli, e altri titoli collegati ad azioni, a condizione che tali titoli siano conformi ai criteri ESG del Consulente per gli Investimenti.
Il Comparto può investire, in quantità limitata, in quote/azioni di altri organismi di investimento collettivo compresi i Comparti della Società e ETF aperti, che siano investimenti ammissibili per gli OICVM ai sensi della Legge del 2010.
Il Consulente per gli Investimenti cerca di identificare le società che considera leader nelle aree di performance ambientale, sociale e di governance che sono rilevanti per il rendimento nel lungo termine della società. La strategia d’investimento del Consulente per gli Investimenti ha tre elementi principali: 1) identificazione della società, 2) ottimizzazione del portafoglio e 3) interlocuzione con le società.
Il Consulente per gli Investimenti utilizza un processo quantitativo e qualitativo di ricerca ESG che cerca di differenziare le società in base al contributo dei loro prodotti e servizi nell’affrontare le sfide ambientali o sociali globali, o la loro gestione delle esposizioni e delle opportunità di Rischio di Sostenibilità ambientale e sociale rilevanti. Attraverso il processo quantitativo, il Consulente per gli Investimenti cerca di identificare le società che si collocano nella fascia più alta del 20-40% del loro gruppo di appartenenza per quanto riguarda i fattori ambientali o sociali che si ritengono finanziariamente rilevanti per la società, mentre non devono rientrare nella fascia più bassa del 20-40% per qualsiasi altra questione ambientale, sociale o di governance importante in base alla ricerca proprietaria del Consulente per gli Investimenti. I punteggi ESG sono determinati dal Consulente per gli Investimenti, utilizzando una combinazione di dati ESG di terzi e personalizzati come base, tenendo conto di temi ESG quali la sostenibilità ambientale e l’efficienza delle risorse, la diversità, l’equità e l’inclusione, il rispetto dei diritti umani, la responsabilità per i prodotti, la gestione del capitale umano e la governance responsabile e le operazioni trasparenti. Le società identificate sono anche sottoposte a una revisione qualitativa.
Una volta determinato un universo di leader ESG, il Consulente per gli Investimenti costruisce il portafoglio attraverso un processo di ottimizzazione che orienta il portafoglio verso le aziende leader ESG che hanno più diversità di genere e meno rischio di carbonio, minimizzando al contempo i fattori di rischio rispetto all’indice Russell 1000.
I suddetti criteri ESG potrebbero comportare una riduzione dell’universo investibile di almeno il 20% in un modo
significativamente impegnativo, e il Consulente per gli Investimenti farà in modo di assicurare che almeno il 90% degli emittenti in portafoglio siano valutati rispetto ai criteri ESG. A tal fine, l’universo di investimento considerato sono i componenti del Russell 1000 Index.
Restrizioni agli investimenti
Il Consulente per gli Investimenti non includerà consapevolmente le seguenti società nell’universo di investimento:
- coinvolte in gravi controversie ESG senza significative azioni di rimedio e miglioramento;
- che fabbricano o producono armi controverse e armi da fuoco per uso civile;
- attive nella manifattura o produzione del tabacco; e
- attive nel gioco d’azzardo.

Oltre alle esclusioni settoriali di cui sopra, il Consulente per gli Investimenti verifica costantemente le pratiche commerciali attraverso i dati sulle controversie ESG ed il controllo degli standard provenienti da fornitori terzi. Il Consulente per gli Investimenti prenderà in considerazione i casi di controversia che considera molto gravi in base alle valutazioni dei competenti fornitori di dati ESG, nonché le violazioni del Global Compact delle Nazioni Unite o dei principi fondamentali dell’Ufficio Internazionale del Lavoro, anche se tali eventi non comporteranno automaticamente l’esclusione dal portafoglio.
In aggiunta a quanto precede, il Consulente per gli Investimenti può, a propria discrezione, scegliere di applicare nel tempo ulteriori restrizioni agli investimenti legati all’ESG che ritiene coerenti con i suoi obiettivi di investimento. Tali ulteriori restrizioni saranno rese note ogni volta che vengano attuate su www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im. Il processo di screening positivo, la metodologia e i Principi Calvert per gli Investimenti Responsabili (Calvert Principles for Responsible Investment) sono disponibili sui seguenti siti web: www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im.
Il Comparto è gestito attivamente e non è concepito per seguire un benchmark. Pertanto, la gestione del Comparto non è vincolata dalla composizione di un benchmark. La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto. Nel contesto dell’integrazione ESG del Comparto, il Consulente per gli Investimenti utilizza l’Indice Russell 1000 ai fini del confronto dell’impronta di carbonio del Comparto e della diversità di genere a livello dei consigli di amministrazione dei componenti del portafoglio.
Il Comparto fa riferimento ai dati ESG di terzi ed alle proprie analisi nel processo di ricerca dei titoli. Il Consulente per gli Investimenti può anche utilizzare dati di terzi per la costruzione del portafoglio. Tuttavia, in alcuni casi, i dati su emittenti specifici o sulle esclusioni di cui sopra potrebbero non essere disponibili in tempi brevi e/o possono essere determinati dal Consulente per gli Investimenti utilizzando stime ragionevoli.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento del Calvert Sustainable US Equity Select Fund, questo comparto può essere adatto per investitori che:
- Intendono investire in titoli azionari.
- Ricercano un apprezzamento del capitale nel medio termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

CHINA A-SHARES FUND
L’obiettivo di investimento del China A-shares Fund è l’aumento a lungo termine del valore del capitale, denominato in Dollari USA.
Il Comparto cercherà di perseguire il proprio obiettivo investendo principalmente in Azioni A cinesi (o China A-shares) di società quotate alla Borsa di Shanghai e/o alla Borsa di Shenzhen attraverso il sistema Stock Connect. Il Comparto può anche investire in emittenti di altri Paesi, compresi, a titolo non esaustivo, quelli quotati alla Borsa di Hong Kong (comprese le Azioni C cinesi e le c.d. “red chips”) e in ricevute di deposito (o depositary receipts, compresi American Depositary Receipts – o ADR – e Global Depositary Receipts – GDR) di emittenti situati in qualsiasi Paese, relative a società cinesi.
Con riferimento alla politica di investimento del Comparto China A-shares Fund, il termine Azioni A cinesi (o China A-shares) significa azioni di società quotate alla Borsa di Shanghai e/o alla Borsa di Shenzhen i cui prezzi sono espressi in Renmimbi cinesi, e
possono ricomprendere (i) azioni, (ii) titoli di partecipazione, (iii) azioni privilegiate e (iv) diritti di sottoscrizione (warrant) su azioni.
In via accessoria, il Comparto può anche investire in titoli azionari che non rientrano nella definizione di Azioni A cinesi, comprese: (i) azioni privilegiate, (ii) titoli di debito convertibili in azioni ordinarie o in azioni privilegiate e (iii) altri titoli connessi alle azioni. Il Comparto può anche investire in misura limitata in ETF, diritti su titoli ed altri strumenti finanziari.
Al fine di incrementare il rendimento e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) utilizzare opzioni, contratti a termine (future) e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini di investimento e della gestione efficiente del portafoglio (compresa la copertura).
Il Comparto è gestito attivamente e non è concepito per seguire un benchmark. Pertanto, la gestione del Comparto non è vincolata dalla composizione di un benchmark. La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Gli investimenti sottostanti il Comparto non tengono conto dei criteri dell’UE per le attività ecosostenibili.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento del China A-shares Fund, questo comparto può essere adatto per investitori che:
- Intendono investire in titoli azionari.
- Ricercano un apprezzamento del capitale a lungo termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

Date di Trattazione per il China A-shares Fund.
Questo Comparto investe principalmente attraverso il sistema Stock Connect. Pertanto, le Date di Trattazione per il Comparto China A-shares Fund devono considerare i giorni in cui lo Stock Connect è chiuso per le transazioni e i regolamenti. Ogni riferimento nel presente Prospetto a Data di Trattazione per il China A-shares Fund significa ogni giorno eccetto: (a) qualsiasi giorno in cui le banche commerciali a Lussemburgo, in Cina o a Hong Kong sono autorizzzate dalla legge o da disposizioni amministrative a rimanere chiuse (compresi i sabati e le domeniche)
e (b) qualsiasi giorno in cui lo Stock Connect è chiuso per le transazioni.
CHINA EQUITY FUND
L’obiettivo d’investimento del China Equity Fund è cercare di fornire un interessante tasso di rendimento annualizzato rettificato in base ai rischi, denominato in Dollari USA.
Il Comparto cerca di raggiungere il suo obiettivo d’investimento investendo principalmente in titoli azionari di società situate in Cina, incluse, per evitare ogni dubbio, Azioni A cinesi di società quotate alla Borsa di Shanghai e/o alla Borsa di Shenzhen via Stock Connect, ed in emittenti di altri Paesi inclusi, a titolo non esaustivo, quelli quotati alla Borsa di Hong Kong (comprese le Azioni H cinesi e le c.d. “red chips”) e in certificati rappresentativi di azioni in deposito (compresi “American Depositary Receipts” – ADRs; “Global Depositary Receipts” – GDRs), ove le società sottostanti siano situate in Cina. Il Comparto può anche investire, quale parte del suo universo d’investimento principale, in titoli azionari di società domiciliate o che esercitano la maggior parte della propria attività economica in Cina e che sono quotate in una Borsa o “over the counter” (in conformità alle disposizioni dell’“Appendice A” – “Poteri e limiti di investimento”).
Con riferimento alla politica di investimento del Comparto China Equity Fund, il termine Azioni A cinesi (o China A-shares) significa azioni di società quotate alla Borsa di Shanghai e/o alla Borsa di Shenzhen i cui prezzi sono espressi in Renmimbi cinesi, e possono ricomprendere (i) azioni, (ii) titoli di partecipazione, (iii) azioni privilegiate e (iv) diritti di sottoscrizione (warrant) su azioni.
In via accessoria, il Comparto può anche investire in titoli azionari che non rientrano nella definizione dei suoi investimenti principali, comprese: (i) azioni privilegiate, (ii) titoli di debito convertibili in azioni ordinarie o in azioni privilegiate e (iii) altri titoli connessi alle azioni. Il Comparto può anche investire in misura limitata in diritti di sottoscrizione (warrant) su titoli e in altri strumenti inclusi ETF di tipo aperto che siano investimenti ammissibili per gli OICVM ai sensi della Legge del 2010.
Al fine di incrementare il rendimento e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) utilizzare opzioni, contratti a termine (future) e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini di investimento e della gestione efficiente del portafoglio (compresa la copertura).
Il processo di investimento considera le informazioni relative alle tematiche ESG quando vengono prese delle decisioni in merito agli investimenti. Il Sub-consulente per gli Investimenti si concentra sull’attenzione degli amministratori delle imprese per le pratiche di
governance societaria, nonché per quelle che il Sub-consulente reputi essere delle questioni ambientali e/o sociali di notevole importanza con le quali l’impresa stessa deve confrontarsi.
Il Comparto è gestito attivamente e non è concepito per seguire un benchmark. Pertanto, la gestione del Comparto non è vincolata dalla composizione di un benchmark. La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Gli investimenti sottostanti il Comparto non tengono conto dei criteri dell’UE per le attività ecosostenibili.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento del China Equity Fund, questo comparto può essere adatto per investitori che:
- Intendono investire in titoli azionari.
- Ricercano un apprezzamento del capitale a lungo termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

Date di Trattazione per il China Equity Fund.
Questo Comparto investe attraverso il sistema Stock Connect. Pertanto, le Date di Trattazione per il Comparto China Equity Fund devono considerare i giorni in cui lo Stock Connect è chiuso per le transazioni e i regolamenti. Ogni riferimento nel presente Prospetto a Data di Trattazione per il China Equity Fund significa ogni giorno eccetto: (a) qualsiasi giorno in cui le banche commerciali a Lussemburgo, in Cina o a Hong Kong sono autorizzzate dalla legge o da disposizioni amministrative a rimanere chiuse (compresi i sabati e le domeniche) e (b) qualsiasi giorno in cui lo Stock Connect è chiuso per le transazioni.
COUNTERPOINT GLOBAL FUND
L’obiettivo di investimento del Counterpoint Global Fund è l’aumento a lungo termine del capitale, denominato in Dollari Statunitensi.
Il Comparto cercherà di raggiungere il suo obiettivo d’investimento investendo principalmente in titoli azionari, inclusi certificati rappresentativi di azioni in deposito “depositary receipts” (compresi “American Depositary Receipts” – ADRs; “Global Depositary Receipts” – GDRs) di società già affermate ed emergenti Situate in tutto il mondo, con capitalizzazioni rientranti nella gamma di
società comprese nell’MSCI All Country World Index (il “Benchmark CG”).
Processo di investimento
Il team d’investimento ha una lunga esperienza nella gestione di diverse strategie di investimento. I gestori del portafoglio d’investimento del team collaboreranno in modo continuo e riallocheranno e ribilanceranno le attività del Comparto tra ciascuna delle strategie di investimento sottostanti attuate in modo indipendente da ciascun gestore, con criteri opportunistici alla luce delle attuali condizioni di mercato. Il Comparto potrà investire al di fuori di tali strategie di investimento sottostanti, gestite indipendentemente tra loro, nella misura in cui tali investimenti rientrino nell’universo investibile del Comparto.
Il team d’investimento insiste su un processo di selezione di titoli bottom-up, ricercando investimenti interessanti a livello di singole società. Nella selezione dei titoli per l’investimento, il Consulente per gli Investimenti investe tipicamente in società che ritiene abbiano un significativo grado di notorietà e vantaggi competitivi sostenibili, con una visibilità commerciale superiore alla media, la capacità di impiegare capitali con rendimenti elevati, bilanci solidi e un rapporto rischio/remunerazione interessante.
Al fine di incrementare i rendimenti e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) utilizzare opzioni, contratti a termine (future) e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini di investimento e della gestione efficiente del portafoglio (compresa la copertura).
Il Comparto può anche investire, in via accessoria, in strumenti di debito convertibili in azioni ordinarie, azioni privilegiate, Azioni A cinesi via Stock Connect, warrant su titoli, Attività Equivalenti alla Liquidità e altri titoli collegati alle azioni. Il Comparto non investirà più del 15% delle proprie attività nette in Azioni A Cinesi via Stock Connect. Il Comparto può investire, in quantità limitata, in quote/azioni di organismi di investimento collettivo compresi i Comparti della Società e gli ETF aperti che siano investimenti ammissibili per gli OICVM ai sensi della Legge del 2010.
Il Consulente per gli Investimenti integra fattivamente la sostenibilità nel processo di investimento utilizzando i fattori ESG come un parametro aggiuntivo per la ricerca sui fondamentali, che può contribuire al processo decisionale per gli investimenti. Il Consulente per gli Investimenti cerca di comprendere come le iniziative ambientali e sociali delle società possano creare valore consolidando i vantaggi competitivi durevoli, creando opportunità di crescita, apportando profittabilità e/o allineandosi con i trend secolari di crescita. In generale, il Consulente per gli Investimenti si impegna con gli organi di gestione delle società per discutere le loro
pratiche ESG, con l’obiettivo di identificare come i temi della sostenibilità presentino delle opportunità e rischi che possono essere rilevanti per il valore del titolo nel lungo termine. Gli altri aspetti del processo di investimento comprendono una valutazione sistematica, di proprietà del Consulente per gli Investimenti, delle politiche di governo societario, che si concentra sull’adeguamento dei compensi nel contesto della creazione di valore nel lungo periodo.
Gli investimenti non potranno ricomprendere consapevolmente qualsiasi società la cui attività principale riguardi i seguenti settori:
- tabacco 
- (titoli di emittenti classificati nel sottosettore “tabacco” (Tobacco) nei Global Industry Classification Standard (“GICS”), o che generano il 5% o più dei loro ricavi dalla manifattura di prodotti a base di tabacco);
- estrazione di carbone 
- (titoli di emittenti classificati nel sottosettore GICS “carbone e combustibili di consumo” (coal & consumable fuels)), o che generano il 10% o più dei loro ricavi dalla estrazione del carbone);
- armi, comprese 
- armi da fuoco civili 
- (titoli di emittenti che generano il 10% o più dei loro ricavi dalla fabbricazione o produzione di armi da fuoco civili o munizioni) e 
- munizioni a grappolo 
- e mine antiuomo (titoli di emittenti che fabbricano, producono o distribuiscono munizioni a grappolo o mine antiuomo).

I dettagli delle suddette esclusioni si trovano nelle politiche di esclusione del Comparto, disponibili nel sito Internet della Società (www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im). In aggiunta a quanto precede, il Consulente per gli Investimenti può, a propria discrezione, decidere di applicare nel tempo ulteriori restrizioni agli investimenti legate alle tematiche ESG che ritiene coerenti con gli obiettivi di investimento. Tali restrizioni aggiuntive saranno pubblicate sul sito www.morganstanleyinvestmentfunds.com e sul sito www.morganstanley.com/im al momento della loro implementazione. Gli investimenti detenuti dal Comparto che diventino non ammissibili dopo essere stati acquisiti per il Comparto saranno venduti. Tali vendite saranno disposte con tempistiche determinate dal Consulente per gli Investimenti, tenendo conto in primo luogo degli interessi degli Azionisti del Comparto.
Il Comparto è gestito attivamente, non è concepito per seguire un benchmark e pertanto, la gestione del Comparto non è vincolata dalla composizione del Benchmark CG. I riferimenti del Comparto al Benchmark CG hanno lo scopo di definire la fascia di capitalizzazione degli emittenti in cui il Comparto investe.
La performance del Comparto è misurata rispetto al Benchmark CG, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento del Counterpoint Global Fund, questo comparto può essere adatto per investitori che:
- Intendono investire in titoli azionari.
- Ricercano un apprezzamento del capitale a lungo termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

DEVELOPING OPPORTUNITY FUND
L’obiettivo di investimento del Developing Opportunity Fund è l’aumento a lungo termine del valore del capitale, denominato in Dollari USA.
Il Comparto cerca di raggiungere il suo obiettivo d’investimento investendo principalmente in titoli azionari di emittenti Situati in mercati in via di sviluppo, inclusi certificati rappresentativi di azioni in deposito “depositary receipts” (compresi “American Depositary Receipts” – ADRs; “Global Depositary Receipts” – GDRs) e Azioni A cinesi via Stock Connect.
In condizioni normali di mercato, le attività del Comparto saranno investite principalmente in titoli azionari di emittenti Situati in Paesi con mercati in via di sviluppo, emergenti o emergenti di frontiera. Un Paese può essere considerato un mercato in via di sviluppo, emergente o emergente di frontiera in base alla classificazione nell’indice MSCI Emerging Markets Net Index, (il “Benchmark DO”) oppure a una classificazione similare come economia in via di sviluppo attribuita da organizzazioni come il Fondo Monetario Internazionale, le Nazioni Unite o la Banca Mondiale. Per i fini del presente Comparto, i termini “mercati in via di sviluppo”, “Paesi con mercati in via di sviluppo”, “mercati emergenti”, “paesi con mercati emergenti” “mercati emergenti di
frontiera” e “Paesi con mercati emergenti di frontiera” e simili sono utilizzati in modo equivalente ma si riferiscono agli stessi mercati e Paesi sottostanti.
Al fine di incrementare il rendimento e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) utilizzare opzioni, contratti a termine (future) e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini di investimento e della gestione efficiente del portafoglio (compresa la copertura).
Il Comparto può anche investire, in via accessoria, in titoli azionari che non soddisfano i criteri degli investimenti principali del Comparto, strumenti di debito convertibili in azioni ordinarie, azioni privilegiate, warrant, e altri titoli collegati ad azioni.
Il Comparto può investire, in quantità limitata, in quote/azioni di altri organismi di investimento collettivo compresi i Comparti della Società e ETF aperti, che sono investimenti ammissibili per gli OICVM ai sensi della Legge del 2010.
Il Consulente per gli Investimenti enfatizzerà un processo bottom- up nella selezione dei titoli, ricercando investimenti interessanti esaminando ogni singola società. Nella selezione dei titoli per l’investimento, il Consulente per gli Investimenti ricercherà delle società di alta qualità che nell’opinione del Consulente per gli Investimenti sono sottovalutate al momento dell’acquisto. Il Consulente per gli Investimenti privilegerà tipicamente delle società che ritiene abbiano dei vantaggi competitivi sostenibili che possono essere monetizzati attraverso la crescita. Il processo di investimento comprende l’analisi della sostenibilità con riferimento a cambiamenti dirompenti, solidità finanziaria, esternazioni ambientali e sociali e governo societario (anche definiti “ESG”). In generale, il Consulente per gli Investimenti prenderà in considerazione la vendita di un titolo nel portafoglio qualora ritenga che tale titolo non risponda più ai criteri di investimento del Consulente stesso.
Il Consulente per gli Investimenti impiega un approccio olistico all’ESG nel contesto della sua valutazione della qualità di una società, analizzando gli impatti potenziali sulla salute dell’umanità, l’ambiente, la libertà e la produttività e le pratiche di governance aziendale per garantire la rappresentatività, la cultura e la fiducia. Il Consulente per gli Investimenti ritiene che incorporare i rischi e le opportunità potenziali legati all’ESG all’interno del processo di investimento sia importante per assicurare una gestione a lungo termine del capitale. Il Consulente per gli Investimenti ritiene che in un orizzonte temporale lungo sia più probabile che si materializzino dei rischi ESG e che le esternalità non sostenute dalla società in cui si investe abbiano maggiori probabilità di essere riflesse nel valore dei titoli. Poiché i rischi ESG potrebbero avere
potenzialmente un impatto sul profilo di rischio e di rendimento delle opportunità di investimento, il Consulente per gli Investimenti tipicamente coinvolge gli amministratori delle società in discussioni costruttive su una serie di questioni ESG che il Consulente per gli Investimenti ritiene di importanza sostanziale.
Gli investimenti non potranno ricomprendere consapevolmente qualsiasi società la cui attività principale riguardi i seguenti settori:
- tabacco 
- (titoli di emittenti classificati nel sottosettore “tabacco” (Tobacco) nei Global Industry Classification Standard (“GICS”), o che generano il 5% o più dei loro ricavi dalla manifattura di prodotti a base di tabacco);
- estrazione di carbone 
- (titoli di emittenti classificati nel sottosettore GICS “carbone e combustibili di consumo” (coal & consumable fuels)), o che generano il 10% o più dei loro ricavi dalla estrazione del carbone);
- armi, comprese 
- armi da fuoco civili 
- (titoli di emittenti che generano il 10% o più dei loro ricavi dalla fabbricazione o produzione di armi da fuoco civili o munizioni) e 
- munizioni a grappolo 
- e mine antiuomo (titoli di emittenti che fabbricano, producono o distribuiscono munizioni a grappolo o mine antiuomo).

I dettagli delle suddette esclusioni si trovano nelle politiche di esclusione del Comparto, disponibili nel sito Internet della Società (www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im). In aggiunta a quanto precede, il Consulente per gli Investimenti può, a propria discrezione, decidere di applicare nel tempo ulteriori restrizioni agli investimenti legate alle tematiche ESG che ritiene coerenti con gli obiettivi di investimento. Tali restrizioni aggiuntive saranno pubblicate sul sito www.morganstanleyinvestmentfunds.com e sul sito www.morganstanley.com/im al momento della loro implementazione. Gli investimenti detenuti dal Comparto che diventino non ammissibili dopo essere stati acquisiti per il Comparto saranno venduti. Tali vendite saranno disposte con tempistiche determinate dal Consulente per gli Investimenti, tenendo conto in primo luogo degli interessi degli Azionisti del Comparto.
Il Comparto è gestito attivamente, non è concepito per seguire un benchmark e pertanto non è vincolato dalla composizione del Benchmark DO. I riferimenti del Comparto al Benchmark DO hanno lo scopo di definire l’ambito geografico di Paesi in cui il Comparto investe.
La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento del Developing Opportunity Fund, questo comparto può essere adatto per investitori che:
- intendono investire in titoli azionari.
- ricercano un apprezzamento del capitale a lungo termine.
- ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni dei proventi come illustrato nel paragrafo “Politica di distribuzione dei dividendi.
- accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

EMERGING LEADERS EQUITY FUND
L’obiettivo di investimento dell’Emerging Leaders Equity Fund è l’aumento a lungo termine del valore del capitale, denominato in Dollari Statunitensi, investendo principalmente in un portafoglio concentrato di titoli azionari, compresi “American Depositary Receipts” – ADRs, Global Depositary Receipts -GDRs – e Azioni A cinesi via Stock Connect, di paesi emergenti e di frontiera. Nel perseguimento dell’obiettivo d’investimento, il Consulente per gli Investimenti investirà in società con forti performance e le migliori pratiche (“best-in-class) rispetto alle loro pari in relazione a uno o più parametri ESG (come di seguito specificato).
Un paese può essere considerato emergente o di frontiera in base alla classificazione dell’indice MSCI Emerging Markets Net Index o a una classificazione simile di una organizzazione come il Fondo Monetario Internazionale , le Nazioni Unite o la Banca Mondiale a condizione che i mercati di detti paesi siano considerati mercati riconosciuti (“Mercati Riconosciuti”) ai sensi dell’Articolo 41 (1) della Legge del 2010.
Il Comparto può anche investire, in via accessoria, in Attività Equivalenti alla Liquidità, strumenti di debito convertibili in azioni ordinarie, azioni privilegiate, warrant e in altri titoli collegati alle azioni e, ai fini della gestione efficiente del portafoglio (inclusa la copertura), opzioni, future e altri derivati quotati in borsa o trattati nel terzo mercato.
Il Comparto può investire in titoli azionari (compresi ADR e GDR) di società costituite e con sede in paesi diversi dai paesi emergenti e di frontiera nei quali il valore dei titoli della società rifletterà in linea di massima le condizioni dei paesi emergenti o di frontiera, o il cui mercato di negoziazione di titoli principale per la società sia in un paese emergente o di frontiera, o per i quali il 35% del reddito della società, vendite, EBITDA, o profitto lordo derivi da merci prodotte, vendite effettuate, attivi o servizi distribuiti in paesi emergenti o di frontiera. Il Comparto può investire in note di partecipazione che possono essere usate per guadagnare esposizione su titoli e mercati cui non si potrebbe accedere in maniera efficiente mediante l’investimento diretto. L’esposizione su note di partecipazione non potrà superare il 45% delle attività effettivamente investite (attività lorde al netto delle Attività Equivalenti alla Liquidità). Il Comparto può investire fino al 20% delle sue attività nette in Azioni A cinesi via Stock Connect.
Il Consulente per gli Investimenti integra la considerazione delle tematiche ESG nel proprio processo decisionale in merito agli investimenti.
Il Consulente per gli Investimenti integra il Rischio di Sostenibilità nel proprio processo decisionale di investimento, compreso in fase di verifica e ricerca, nella valutazione, nella selezione degli attivi, nella costruzione del portafoglio, e nella verifica su base continuativa degli investimenti e nella gestione del portafoglio. Nel fare ciò, il Consulente per gli Investimenti prende in debita considerazione la rilevanza e la potenziale importanza dei Rischi di Sostenibilità per una particolare opportunità di investimento o per il portafoglio nel suo complesso nel contesto dell’obiettivo di investimento e dell’orizzonte temporale previsto per la detenzione di un titolo specifico. I rischi di sostenibilità possono avere un impatto negativo sul valore di un titolo o di un portafoglio. Al fine di mitigare tali rischi, il Consulente per gli Investimenti può vendere o sottopesare un titolo, avviare un dialogo/interlocuzione attivi con il management della società o apportare modifiche alle allocazioni top-down in aree geografiche, settori o classi di attività. Nell’attuare la sua integrazione dei rischi di sostenibilità, il Consulente per gli Investimenti può utilizzare una combinazione di fonti di informazione, comprese le informazioni divulgate dalle società, le informazioni non divulgate dalle società e la ricerca e i dati di terzi.
Il Consulente per gli Investimenti considererà le questioni ESG quando prende delle decisioni in merito agli investimenti. Il Comparto cercherà inoltre di allinearsi agli obiettivi dell’Accordo di Parigi sui cambiamenti climatici. Il Comparto cercherà di avere una impronta di carbonio inferiore a quella dell’indice MSCI Emerging Markets Net Index.
Il Consulente per gli Investimenti ritiene che le società con team di gestione lungimiranti che stabiliscono strategie proattive su questi temi di sostenibilità ed ESG saranno meglio posizionate da un
punto di vista commerciale e finanziario nel lungo termine rispetto alle società che non li considerano.
Oltre a investire in società che seguono buone pratiche di governance e che mostrano una forte gestione dei fattori di sostenibilità rispetto alle loro pari, il Comparto investirà in società dei Mercati Emergenti, che offrono soluzioni remunerative e adatte a esigenze diverse per affrontare urgenti questioni di sostenibilità, tra cui il cambiamento climatico e la gestione dell’ambiente/delle risorse. Il Comparto cercherà di escludere alcune società che sono altamente esposte al Rischio di Sostenibilità applicando sia un approccio “best in class” (migliore della categoria) che di tipo “best effort” (migliori sforzi) a questo aspetto della propria selezione degli investimenti. L’obiettivo del Consulente degli Investimenti sarà di assicurare che almeno il 90% del portafoglio del Comparto venga sottoposto all’analisi di sostenibilità sopra descritta.
I criteri ESG sono tenuti in considerazione dal Consulente per gli Investimenti sia durante il processo di ricerca che in quello di investimento per limitare l’esposizione al Rischio di Sostenibilità e cercare opportunità di investimento che sono allineate alle tematiche di sostenibilità sopra indicate. Questi criteri possono includere, a titolo non esaustivo, le emissioni di carbonio, la scarsità d’acqua, la gestione dei rifiuti, la biodiversità, la gestione dei rapporti di lavoro, la diversità di genere, la salute e la sicurezza, la sicurezza dei prodotti, la riservatezza e la sicurezza dei dati, le retribuzioni dei dirigenti, l’indipendenza dei consigli di amministrazione e i diritti degli azionisti. Il Consulente per gli Investimenti si concentra sull’attenzione degli amministratori delle imprese per quelle che il Consulente per gli Investimenti reputi essere delle questioni di governance, ambientali e/o sociali di notevole importanza con le quali l’impresa stessa deve confrontarsi. L’applicazione dei sopra descritti criteri ESG può comportare una riduzione di almeno il 20% dell’universo di investimento, come definito nei primi quattro paragrafi che precedono.
Gli investimenti non devono consapevolmente includere alcuna impresa attiva nei seguenti settori:
- tabacco
- 5
- ;
- intrattenimento per adulti;
- armi da fuoco per uso civile;
- armi controverse;
- carbone
- 6
- ;5 Il Comparto non investirà in titoli di emittenti con il 5% o più dei loro ricavi derivanti dalla lavorazione di prodotti a base di tabacco o dalla fornitura di prodotti essenziali per la manifattura di prodotti a base di tabacco come i filtri.

6 
Il Comparto non investirà in titoli di emittenti che hanno ricavi da miniere e estrazione di carbone termico, o in titoli di emittenti che traggono il 10% o più dei loro ricavi da elettricità ricavata dal carbone.
- sabbie bituminose
- 7
- ;
- estrazione di petrolio nell’Artide
- 8
- ; e
- gioco di azzardo
- 9
- .

In aggiunta a quanto precede, il Consulente per gli Investimenti può, a propria discrezione, decidere di applicare nel tempo ulteriori restrizioni agli investimenti legate alle tematiche ESG che ritiene coerenti con gli obiettivi di investimento. Tali restrizioni aggiuntive saranno pubblicate sul sito www.morganstanleyinvestmentfunds.com e sul sito www.msim.com. Le esclusioni sono decise in base alle analisi proprietarie del Consulente per gli Investimenti piuttosto che facendo affidamento sulle analisi di terzi. Tuttavia, tali analisi possono essere supportate da ricerche di terzi sulle controversie in materie ESG e sul coinvolgimento delle imprese. I criteri di esclusione sono applicati a tutti gli investimenti azionari del Comparto. I criteri di esclusione non saranno applicati agli investimenti sui quali il Consulente per gli Investimenti non ha il controllo diretto delle partecipazioni sottostanti, come ad esempio gli organismi di investimento collettivo o gli ETF aperti. I criteri di esclusione sono soggetti a revisione periodica e ogni modifica sarà riflessa nel documento sulle politiche di esclusione. Gli investimenti detenuti dal Comparto che diventino non ammissibili dopo essere stati acquisiti per il Comparto saranno venduti. Tali vendite saranno disposte con tempistiche determinate dal Consulente per gli Investimenti, tenendo conto in primo luogo degli interessi degli Azionisti del Comparto.
Il Comparto fa riferimento a dati ESG di terzi durante il processo di ricerca sui titoli, ma non si basa su di essi per la costruzione del portafoglio. Il Consulente per gli Investimenti si affida alle proprie analisi proprietarie per la selezione dei titoli e la costruzione del portafoglio piuttosto che ad analisi di terzi. Tuttavia, in alcuni casi, i dati su emittenti specifici o sulle esclusioni di cui sopra potrebbero non essere disponibili e/o essere stimati dal Consulente per gli Investimenti utilizzando stime ragionevoli o dati di terzi.
Il Comparto limiterà l’uso dei derivati ai fini della gestione efficiente del portafoglio e ai soli fini di copertura.
Il Comparto è gestito attivamente e utilizza il MSCI Emerging Markets Net Index come un parametro rappresentativo dell’universo dei titoli azionari dei Mercati Emergenti. Il benchmark è utilizzato solo ai fini di comparazione della performance, e non integra caratteristiche ambientali o sociali.
7 
Il Comparto non investirà in titoli di emittenti con il 5% o più dei loro ricavi derivanti dall’estrazione o produzione di petrolio da sabbie bituminose.
8 
Il Comparto non investirà in titoli di emittenti con il 5% o più dei loro ricavi derivanti dall’estrazione o produzione di petrolio nella regione artica, compreso l’Artic National Wildlife Refuge (ANWR).
9 
Il Comparto non investirà in titoli di emittenti con il 5% o più dei loro ricavi derivanti dal gioco d’azzardo.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento dell’Emerging Leaders Equity Fund, questo comparto può essere adatto per investitori che:
- Intendono investire in titoli azionari.
- Ricercano un apprezzamento del capitale a medio termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni dei proventi come illustrato nel paragrafo “Politica di distribuzione dei dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

EUROPE OPPORTUNITY FUND
L’obiettivo di investimento dello Europe Opportunity Fund è l’apprezzamento nel lungo termine del capitale, denominato in Euro.
Il Comparto tenterà di raggiungere il suo obiettivo di investimento investendo principalmente in titoli azionari, inclusi certificati rappresentativi di azioni in deposito “depositary receipts” (compresi “American Depositary Receipts” – ADRs, Global Depositary Receipts -GDRs – e “European Depositary Receipts” – EDRs) di società Situate in Europa.
Al fine di incrementare il rendimento e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) utilizzare opzioni, contratti a termine (future) e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini di investimento e della gestione efficiente del portafoglio (compresa la copertura).
Il Comparto può anche investire, in via accessoria, in titoli azionari che non soddisfano i criteri degli investimenti principali del Comparto, strumenti di debito convertibili in azioni ordinarie, azioni privilegiate, warrant, e altri titoli collegati ad azioni. Il Comparto può investire, in quantità limitata, in quote/azioni di organismi di investimento collettivo compresi i Comparti della Società e ETF aperti, che sono investimenti ammissibili per gli OICVM ai sensi della Legge del 2010.
Il Consulente per gli Investimenti enfatizzerà un processo bottom- up nella selezione dei titoli, ricercando investimenti interessanti esaminando ogni singola società. Nella selezione dei titoli per l’investimento, il Consulente per gli Investimenti ricercherà delle società di alta qualità, già affermate od emergenti, che nell’opinione del Consulente per gli Investimenti sono sottovalutate al momento dell’acquisto. Il Consulente per gli Investimenti privilegerà tipicamente delle società che ritiene abbiano dei vantaggi competitivi sostenibili che possono essere monetizzati attraverso la crescita. Il processo di investimento comprende l’analisi della sostenibilità con riferimento a cambiamenti dirompenti, solidità finanziaria, esternazioni ambientali e sociali e governo societario (anche definiti “ESG”). In generale, il Consulente per gli Investimenti prenderà in considerazione la vendita di un titolo nel portafoglio qualora ritenga che tale titolo non risponda più ai criteri di investimento del Consulente stesso.
Il Consulente per gli Investimenti impiega un approccio olistico all’ESG nel contesto della sua valutazione della qualità di una società, analizzando gli impatti potenziali sulla salute dell’umanità, l’ambiente, la libertà e la produttività e le pratiche di governance aziendale per garantire la rappresentatività, la cultura e la fiducia. Il Consulente per gli Investimenti ritiene che incorporare i rischi e le opportunità potenziali legati all’ESG all’interno del processo di investimento sia importante per assicurare una gestione a lungo termine del capitale. Il Consulente per gli Investimenti ritiene che in un orizzonte temporale lungo sia più probabile che si materializzino dei rischi ESG e che le esternalità non sostenute dalla società in cui si investe abbiano maggiori probabilità di essere riflesse nel valore dei titoli. Poiché i rischi ESG potrebbero avere potenzialmente un impatto sul profilo di rischio e di rendimento delle opportunità di investimento, il Consulente per gli Investimenti tipicamente coinvolge gli amministratori delle società in discussioni costruttive su una serie di questioni ESG che il Consulente per gli Investimenti ritiene di importanza sostanziale.
Gli investimenti non potranno ricomprendere consapevolmente qualsiasi società la cui attività principale riguardi i seguenti settori:
- tabacco 
- (titoli di emittenti classificati nel sottosettore “tabacco” (Tobacco) nei Global Industry Classification Standard (“GICS”), o che generano il 5% o più dei loro ricavi dalla manifattura di prodotti a base di tabacco);
- estrazione di carbone 
- (titoli di emittenti classificati nel sottosettore GICS “carbone e combustibili di consumo” (coal & consumable fuels)), o che generano il 10% o più dei loro ricavi dalla estrazione del carbone);
- armi, comprese 
- armi da fuoco civili 
- (titoli di emittenti che generano il 10% o più dei loro ricavi dalla fabbricazione oproduzione di armi da fuoco civili o munizioni) e munizioni a grappolo e mine antiuomo (titoli di emittenti che fabbricano, producono o distribuiscono munizioni a grappolo o mine antiuomo).

I dettagli delle suddette esclusioni si trovano nelle politiche di esclusione del Comparto, disponibili nel sito Internet della Società (www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im). In aggiunta a quanto precede, il Consulente per gli Investimenti può, a propria discrezione, decidere di applicare nel tempo ulteriori restrizioni agli investimenti legate alle tematiche ESG che ritiene coerenti con gli obiettivi di investimento. Tali restrizioni aggiuntive saranno pubblicate sul sito www.morganstanleyinvestmentfunds.com e sul sito www.morganstanley.com/im al momento della loro implementazione. Gli investimenti detenuti dal Comparto che diventino non ammissibili dopo essere stati acquisiti per il Comparto saranno venduti. Tali vendite saranno disposte con tempistiche determinate dal Consulente per gli Investimenti, tenendo conto in primo luogo degli interessi degli Azionisti del Comparto.
Il Comparto è gestito attivamente e non è concepito per seguire un benchmark. Pertanto, la gestione del Comparto non è vincolata dalla composizione di un benchmark. La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento dello Europe Opportunity Fund, questo comparto può essere adatto per investitori che:
- Intendono investire in titoli azionari.
- Ricercano un apprezzamento del capitale nel lungo termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

EUROPEAN PROPERTY FUND
10
L’obiettivo di investimento dell’European Property Fund è cercare l’aumento a lungo termine del valore del capitale, denominato in Euro, investendo principalmente in titoli azionari di società operanti nel settore immobiliare Situate in Europa. Le società del settore immobiliare possono annoverare società per lo sviluppo di proprietà, società aventi come attività principale lo sviluppo e/o la titolarità della proprietà di immobili che producono redditi, e veicoli di investimento collettivo con esposizione alle proprietà immobiliari, quali i fondi immobiliari quotati (“property unit trusts”), Real Estate Investment Trust (REITS) chiusi e organismi per l’investimento collettivo.
Il Comparto può anche investire, in via accessoria, in azioni privilegiate, strumenti di debito convertibili in azioni ordinarie, warrant ed altri titoli collegati alle azioni.
10 
A decorrere dal 12 dicembre 2022, la politica di investimento del Comparto sarà modificata al fine di promuovere, tra le altre caratteristiche, quelle ambientali o sociali, o una combinazione delle stesse, a condizione che le società in cui vengono effettuati gli investimenti seguano pratiche di buona governance. Pertanto, il Comparto ricadrà nell’ambito di applicazione dell’articolo 8 del SFDR.
Pertanto, il primo paragrafo sarà modificato come segue:
“L’obiettivo di investimento dell’European Property Fund è cercare l’aumento a lungo termine del valore del capitale, denominato in Euro, investendo principalmente in titoli azionari di società operanti nel settore immobiliare Situate in Europa. Le società del settore immobiliare o strettamente correlate al settore immobiliare possono annoverare società aventi come attività principale lo sviluppo e/o la titolarità della proprietà di immobili che producono redditi, società che gestiscono, costruiscono, finanziano o vendono degli immobili; società con una parte sostanziale dei loro investimenti nel settore immobiliare e/o in servizi o prodotti collegati all’immobiliare come, a titolo non esaustivo, gestione degli immobili, intermediazione, prodotti per le costruzioni e tecnologia per le proprietà immobiliari e veicoli di investimento collettivo con esposizione alle proprietà immobiliari, quali i fondi immobiliari quotati (“property unit trusts”), Real Estate Investment Trust (REITS) chiusi di ogni tipo ammesso e organismi per l’investimento collettivo.”
Inoltre, il terzo paragrafo sarà sostituito dai seguenti paragrafi:
“Il processo di investimento si avvale di ricerche interne proprietarie per investire in società immobiliari quotate in mercati aperti al pubblico che possono offrire il miglior valore relativo rispetto alle attività e agli utili sottostanti. Il Consulente per gli Investimenti utilizza un approccio bottom-up, valutando ogni titolo all’interno dell’universo di investimento per ottenere una stima del valore patrimoniale netto e dei flussi di cassa futuri. I fattori specifici del settore immobiliare, i fattori azionari più ampi e i fattori ESG sono valutati nell’analisi dei fondamentali per calcolare le metriche di valutazione appropriate.
Il Consulente per gli Investimenti incorpora anche un approccio top-down nel processo di costruzione del portafoglio, integrando diversi fattori che possono includere delle flessioni previste dei fondamentali, considerazioni macroeconomiche e valutazioni del rischio geopolitico e di paese, per ottenere un’esposizione diversificata tra regioni, paesi e/o settori.
Il Consulente per gli Investimenti integra attivamente la sostenibilità nel processo di investimento valutando i principali rischi e opportunità ESG nel processo bottom-up di selezione dei titoli, avvalendosi principalmente di fornitori ESG terzi per valutare e quantificare le performance ESG degli emittenti, integrando le ricerche di terzi con ricerche proprietarie condotte dal Consulente per gli Investimenti, tra cui l’utilizzo di un quadro di propria concezione per la valutazione e la quantificazione dei rischi e delle opportunità legate all’ESG, che si traduce in un aggiustamento quantitativo delle stime di valutazione, e attraverso l’interlocuzione con gli amministratori delle società per discutere i punti di forza, le debolezze e le opportunità legate all’ESG nel tentativo di realizzare un cambiamento positivo all’interno del settore. I temi ESG principali possono includere, a titolo esemplificativo ma non esaustivo: l’utilizzo dell’energia e delle fonti rinnovabili, l’utilizzo dell’acqua, le emissioni, la diversità e l’uguaglianza di genere, il lavoro e i diritti umani, la salute, il benessere e la sicurezza dei dipendenti e dei conduttori, e la governance e la divulgazione ESG della società. Nel tentativo di promuovere un cambiamento positivo e di incoraggiare le società a migliorare le proprie prestazioni in merito alle questioni ESG rilevanti, il Consulente per gli Investimenti può rivolgersi agli amministratori delle società con soluzioni interne competitive, casi aziendali finanziariamente validi e soluzioni pratiche che possono migliorare le loro operazioni immobiliari. Sebbene le considerazioni ESG siano parte integrante e fondamentale del processo d’investimento, esse sono solo uno dei diversi fattori determinanti utilizzati dal Consulente per gli Investimenti per stabilire se un investimento verrà effettuato o se ne verrà modificata l’entità nel portafoglio complessivo.
Il processo di investimento può prendere in considerazione delle informazioni sull’ESG nel suo processo di selezione dei titoli bottom-up quando vengono prese delle decisioni in merito agli investimenti. Il Consulente per gli Investimenti del Comparto può confrontarsi con gli amministratori delle società in relazione alle pratiche di governance societaria, nonché su quelle che il Consulente per gli Investimenti reputa essere delle questioni ambientali e/o sociali di notevole importanza per una società.
Il Comparto è gestito attivamente e non è concepito per seguire un benchmark. Pertanto, la gestione del Comparto non è vincolata dalla composizione di un benchmark. La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Gli investimenti sottostanti il Comparto non tengono conto dei criteri dell’UE per le attività ecosostenibili.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento dell’European Property Fund, questo comparto può essere adatto per investitori che:
- Intendono investire in titoli azionari.
- Ricercano un apprezzamento del capitale a lungo termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

Gli investimenti non potranno annoverare consapevolmente qualsiasi società la cui attività principale in uno dei seguenti settori rappresenti più del 10% dei suoi ricavi:
- proprietà o gestione di immobili adibiti a carceri;
- proprietà o gestione di immobili adibiti alla lavorazione della cannabis;
- proprietà, manifattura o produzione di tabacco:
- proprietà, lavorazione o estrazione di carbone;
- proprietà, fabbricazione o produzione di armi controverse o armi da fuoco civili;
- proprietà, lavorazione o produzione di gas e petrolio proveniente dall’Artide. Gli investimenti non potranno annoverare consapevolmente le seguenti società:
- società coinvolte in importanti controversie in relazione alle loro attività e/o ai loro prodotti, nel caso in cui il Consulente per gli Investimenti ritenga che la controversia rilevante abbia un grave impatto sociale o ambientale;
- società che violano il Global Compact delle Nazioni Unite o i principi fondamentali dell’Ufficio Internazionale del Lavoro senza significative azioni di rimedio e miglioramento.

Il Consulente per gli Investimenti fa riferimento ai dati ESG di terzi e alle proprie analisi nel processo di ricerca dei titoli. Il Consulente per gli Investimenti rivedrà i casi alla base dei contenziosi (come le sopra indicate esclusioni) che ritiene essere molto gravi utilizzando i punteggi dei fornitori di dati ESG e la propria ricerca interna. Tuttavia, in alcuni casi, i dati su emittenti specifici o sulle esclusioni di cui sopra potrebbero non essere disponibili in tempi brevi e/o possono essere determinati dal Consulente per gli Investimenti utilizzando stime ragionevoli.”
Infine, l’informativa prevista dal Regolamento sulla Tassonomia sarà modificata come segue:
“Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.”
GLOBAL BRANDS EQUITY INCOME FUND
L’obiettivo di investimento del Global Brands Equity Income Fund è di fornire un flusso di reddito regolare ed una crescita del capitale nel lungo termine.
Il Comparto cerca di raggiungere il suo obiettivo d’investimento investendo principalmente in titoli azionari di alta qualità che distribuiscono stabilmente dei dividendi di emittenti situati nei paesi sviluppati del mondo.
Al fine di incrementare il rendimento e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) utilizzare opzioni, contratti a termine (future) e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini di investimento e della gestione efficiente del portafoglio (compresa la copertura).
Il Comparto può investire, in via accessoria, in titoli azionari di emittenti Situati in mercati emergenti comprese Azioni A cinesi via Stock Connect, e in azioni privilegiate, strumenti di debito convertibili in azioni ordinarie o privilegiate, warrant su titoli e altri titoli collegati alle azioni al fine di ottenere un’esposizione in emittenti Situati in mercati emergenti e sviluppati. Il Comparto può investire fino al 10% delle sue attività nette in Azioni A cinesi via Stock Connect.
Il Comparto investirà in un portafoglio ristretto di titoli di società il cui successo, ad avviso del Consulente per gli Investimenti, è basato su beni immateriali (come, a titolo esemplificativo e non esaustivo, marchi, diritti di proprietà intellettuale o metodi di distribuzione) atti a sostenere forti reti di attività in franchising.
Il Comparto sottoscriverà strumenti finanziari derivati con Morgan Stanley International Plc per incrementare il livello di reddito guadagnato. Si prevede che tale strategia comprenda l’assunzione di esposizione mediante uno o più swap (gli “Swap”) su opzioni su indici. Si prevede che ciò aumenti il reddito guadagnato, mediante il ricevimento di premi ricevuti per la sottoscrizione delle opzioni sottostanti. Tuttavia, in un mercato in crescita, il rischio di perdite di capitale sugli Swap derivanti dall’esercizio delle opzioni può essere mitigato dalla crescita del valore delle attività sottostanti.
Restrizioni agli investimenti:
- Il Comparto applicherà delle restrizioni che riguardano il clima per escludere gli investimenti in qualsiasi società per la quale il Consulente per gli Investimenti ritenga:
	- che abbia un qualsiasi legame con i combustibili fossili (come petrolio, gas e carbone); o
	- che la sua attività principale riguardi l’energia, i materiali da costruzione, i servizi di pubblica utilità (esclusa l’elettricità dafonti rinnovabili e la fornitura di acqua), i metalli e le attività estrattive.

- Inoltre, non sarà ricompresa consapevolmente nel Comparto alcuna società:
- la cui attività principale riguarda le armi o le armi da fuoco per uso civile; o
- che sia classificata dalla banca dati del MSCI ESG Business Involvement Screening Research (“MSCI ESG BISR”) come una società con un qualsiasi tipo di collegamento con le armi controverse.

Le restrizioni di cui sopra sono applicate dal Consulente per gli Investimenti al 100% dei titoli azionari del Comparto, ma non possono essere applicate agli Swap. I dettagli delle suddette esclusioni si trovano nelle politiche di esclusione del Comparto, disponibili nel sito Internet della Società (www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im). In aggiunta a quanto precede, il Consulente per gli Investimenti può, a propria discrezione, decidere di applicare nel tempo ulteriori restrizioni agli investimenti legate alle tematiche ESG che ritiene coerenti con gli obiettivi di investimento. Tali restrizioni aggiuntive saranno pubblicate sul sito www.morganstanleyinvestmentfunds.com e sul sito www.morganstanley.com/im al momento della loro implementazione. Gli investimenti detenuti dal Comparto che diventino non ammissibili ai sensi del primo e secondo punto dell’elenco che precede dopo essere stati acquisiti per il Comparto saranno venduti. Tali vendite saranno disposte con tempistiche determinate dal Consulente per gli Investimenti, tenendo conto in primo luogo degli interessi degli Azionisti del Comparto.
Processo di investimento:
Il processo di investimento del Comparto si concentra su società di alta qualità con rendimenti del capitale elevati in modo sostenibile. In quanto parte essenziale e integrante del processo di investimento, il Consulente per gli Investimenti determina i fattori rilevanti che incidono sulla sostenibilità di rendimenti elevati del capitale investito nel lungo termine, inclusi i fattori ESG, e si confronta con gli organi di gestione delle società in relazione a ciò. Nei limiti degli obiettivi di investimento del Comparto, il Consulente per gli Investimenti mantiene la discrezionalità sulla scelta degli investimenti. Anche se le considerazioni ESG sono parte integrante e fondamentale del processo di investimento, i fattori ESG non sono l’unico elemento determinante per decidere se un investimento possa essere effettuato o una partecipazione possa rimanere nel portafoglio del Comparto, dato che il Consulente per gli Investimenti considera altresì i rischi sostanziali o le opportunità in una qualsiasi delle aree ESG che potrebbero compromettere o
migliorare gli elevati rendimenti correnti del capitale investito di una società.
Il Consulente per gli Investimenti monitora su base continuativa le pratiche aziendali, attraverso i dati sulle controversie ESG e dei controlli standard su dati ottenuti da fornitori terzi, comprese le violazioni del Global Compact delle Nazioni Unite, nonché attraverso le proprie interlocuzioni con gli amministratori delle società e la ricerca. Il Consulente per gli Investimenti sottopone a revisione i titoli degli emittenti qualora ritenga che si sia verificata una violazione significativa dei suddetti standard e principi e normalmente esclude tali emittenti quando, dopo aver condotto la propria ricerca e/o interlocuzioni, il Consulente per gli Investimenti ritenga che la violazione influisca sulla sostenibilità dei rendimenti sul capitale investito, o comporti un rischio finanziario e reputazionale significativo e l’emittente non si sia impegnato a intraprendere adeguate azioni correttive. Tali esclusioni sono determinate dal Consulente per gli Investimenti a propria discrezione piuttosto che facendo affidamento su analisi di terzi. L’analisi può essere supportata da analisi delle controversie ESG di terzi e da parametri di impegno aziendale.
Il Comparto è gestito attivamente e non è concepito per seguire un benchmark. Pertanto, la gestione del Comparto non è vincolata dalla composizione di un benchmark. La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento del Global Brands Equity Income Fund, questo comparto può essere adatto per investitori che:
- Intendono investire in titoli azionari.
- Ricercano un apprezzamento del capitale a medio termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

GLOBAL BRANDS FUND
L’obiettivo di investimento del Global Brands Fund è ottenere un interessante tasso di rendimento nel lungo termine, denominato in Dollari USA, investendo principalmente in titoli azionari di società dei paesi sviluppati. Il Comparto investirà in un portafoglio ristretto di titoli di società il cui successo, ad avviso della Società, è basato su beni immateriali (come, a titolo esemplificativo e non esaustivo, marchi, diritti di proprietà intellettuale o metodi di distribuzione) atti a sostenere forti reti di attività in franchising.
Il Comparto può anche investire, in via accessoria, in azioni privilegiate, strumenti di debito convertibili in azioni ordinarie, privilegiate e warrant su titoli, e altri titoli collegati alle azioni al fine di ottenere un’esposizione in società di mercati emergenti e sviluppati, così come in titoli azionari di società di mercati emergenti e Azioni A cinesi via Stock Connect. Il Comparto può investire fino al 10% delle sue attività nette in Azioni A cinesi via Stock Connect.
Il Comparto limiterà l’uso dei derivati esclusivamente a fini di copertura.
Restrizioni agli investimenti:
- Il Comparto applicherà delle restrizioni che riguardano il clima per escludere gli investimenti in qualsiasi società per la quale il Consulente per gli Investimenti ritenga:
- che abbia un qualsiasi legame con i combustibili fossili (come petrolio, gas e carbone); o
- che la sua attività principale riguardi l’energia, i materiali da costruzione, i servizi di pubblica utilità (esclusa l’elettricità da fonti rinnovabili e la fornitura di acqua), i metalli e le attività estrattive.
- Inoltre, non sarà ricompresa consapevolmente nel Comparto alcuna società:
- la cui attività principale riguarda le armi o le armi da fuoco per uso civile; o
- o che sia classificata dalla banca dati del MSCI ESG Business Involvement Screening Research (“MSCI ESG BISR”) come una società con un qualsiasi tipo di collegamento con le armi controverse.

I dettagli delle suddette esclusioni si trovano nelle politiche di esclusione del Comparto, disponibili nel sito Internet della Società (www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im). In aggiunta a quanto precede, il Consulente per gli Investimenti può, a propria discrezione, decidere di applicare nel tempo ulteriori restrizioni agli investimenti legate alle tematiche ESG che ritiene coerenti con gli obiettivi di investimento. Tali restrizioni aggiuntive  saranno  pubblicate  sul  sito  www.
morganstanleyinvestmentfunds.com e sul sito www.morganstanley.com/im al momento della loro implementazione. Gli investimenti detenuti dal Comparto che diventino non ammissibili dopo essere stati acquisiti per il Comparto saranno venduti. Tali vendite saranno disposte con tempistiche determinate dal Consulente per gli Investimenti, tenendo conto in primo luogo degli interessi degli Azionisti del Comparto.
Processo di investimento:
Il processo di investimento del Comparto si concentra su società di alta qualità con rendimenti del capitale elevati in modo sostenibile. In quanto parte essenziale e integrante del processo di investimento, il Consulente per gli Investimenti determina i fattori rilevanti che incidono sulla sostenibilità di rendimenti elevati del capitale investito nel lungo termine, inclusi i fattori ESG, e si confronta con gli organi di gestione delle società in relazione a ciò. Nei limiti degli obiettivi di investimento del Comparto, il Consulente per gli Investimenti mantiene la discrezionalità sulla scelta degli investimenti. Anche se le considerazioni ESG sono parte integrante e fondamentale del processo di investimento, i fattori ESG non sono l’unico elemento determinante per decidere se un investimento possa essere effettuato o una partecipazione possa rimanere nel portafoglio del Comparto, dato che il Consulente per gli Investimenti considera altresì i rischi sostanziali o le opportunità in una qualsiasi delle aree ESG che potrebbero compromettere o migliorare gli elevati rendimenti correnti del capitale investito di una società.
Il Consulente per gli Investimenti monitora su base continuativa le pratiche aziendali, attraverso i dati sulle controversie ESG e dei controlli standard su dati ottenuti da fornitori terzi, comprese le violazioni del Global Compact delle Nazioni Unite, nonché attraverso le proprie interlocuzioni con gli amministratori delle società e la ricerca. Il Consulente per gli Investimenti sottopone a revisione i titoli degli emittenti qualora ritenga che si sia verificata una violazione significativa dei suddetti standard e principi e normalmente esclude tali emittenti quando, dopo aver condotto la propria ricerca e/o interlocuzioni, il Consulente per gli Investimenti ritenga che la violazione influisca sulla sostenibilità dei rendimenti sul capitale investito, o comporti un rischio finanziario e reputazionale significativo e l’emittente non si sia impegnato a intraprendere adeguate azioni correttive. Tali esclusioni sono determinate dal Consulente per gli Investimenti a propria discrezione piuttosto che facendo affidamento su analisi di terzi. L’analisi può essere supportata da analisi delle controversie ESG di terzi e da parametri di impegno aziendale.
Il Comparto è gestito attivamente e non è concepito per seguire un benchmark. Pertanto, la gestione del Comparto non è vincolata dalla composizione di un benchmark. La performance del Comparto
è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento del Global Brands Fund, questo comparto può essere adatto per investitori che:
- Intendono investire in titoli azionari.
- Ricercano un apprezzamento del capitale a medio termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

GLOBAL CORE EQUITY FUND
L’obiettivo di investimento del Global Core Equity Fund è l’aumento a lungo termine del capitale, denominato in Dollari USA. Il Comparto investe principalmente in titoli azionari emessi da società di capitalizzazione media e grande, compresi certificati rappresentativi di azioni in deposito “depositary receipts” (American Depositary Receipts (ADR) e certificati di deposito globali “Global Depositary Receipts” – (GDR)). e “Real Estate Investment Trusts” (REITS) chiusi, emessi da società di tutto il mondo.
Il processo d’investimento utilizza una combinazione di modelli quantitativi, per individuare i driver di mercato, e la ricerca fondamentale di singole azioni, per identificare società con valutazioni attraenti, potenziale di crescita al di sopra della media e rendimenti da dividendi competitivi.
Il Comparto può inoltre investire, in via accessoria, in titoli azionari che non soddisfano i requisiti di cui sopra, strumenti di debito convertibili in azioni ordinarie, azioni privilegiate, in Attività Equivalenti alla Liquidità, warrant e altri titoli collegati alle azioni.
Al fine di incrementare il rendimento e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) utilizzare opzioni, contratti a termine (future) e altri derivati, quotati in borsa o
trattati nel terzo mercato (“over the counter”), ai fini di investimento e della gestione efficiente del portafoglio (compresa la copertura).
Il Comparto è gestito attivamente e non è concepito per seguire un benchmark. Pertanto, la gestione del Comparto non è vincolata dalla composizione di un benchmark. La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Gli investimenti sottostanti il Comparto non tengono conto dei criteri dell’UE per le attività ecosostenibili.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento del Global Core Equity Fund, questo comparto può essere adatto per investitori che:
- Intendono investire in titoli azionari.
- Ricercano un apprezzamento del capitale a medio termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

GLOBAL ENDURANCE FUND
L’obiettivo di investimento del Global Endurance Fund è l’aumento a lungo termine del capitale, denominato in Dollari Statunitensi.
Il Comparto tenterà di raggiungere il suo obiettivo d’investimento investendo principalmente in titoli azionari, inclusi certificati rappresentativi di azioni in deposito “depositary receipts” (compresi “American Depositary Receipts” – ADR e “Global Depositary Receipts” – GDR) di società affermate ed emergenti con sede in tutto il mondo, con capitalizzazioni rientranti nella gamma di società comprese nell’MSCI All Country World Index.
Il Comparto può anche investire, in via accessoria, in titoli azionari che non soddisfano i criteri degli investimenti principali del Comparto, strumenti di debito convertibili in azioni ordinarie, azioni privilegiate, Azioni A cinesi via Stock Connect, warrant e altri titoli collegati alle azioni. Il Comparto non investirà più del 10% delle proprie attività nette in Azioni A Cinesi via Stock Connect.
Il Comparto può investire in misura limitata in quote/azioni di altri organismi di investimento collettivo, inclusi i Comparti della Società ed ETF aperti, che siano investimenti ammissibili per gli OICVM ai sensi della Legge del 2010.
Al fine di incrementare i rendimenti e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) utilizzare opzioni, contratti a termine (future) e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini di investimento e della gestione efficiente del portafoglio (compresa la copertura).
Il processo d’investimento privilegerà un processo di selezione di titoli bottom-up, in cerca di investimenti interessanti a livello di singole società. Nella selezione dei titoli in cui investire, il Consulente per gli Investimenti cercherà di investire in società con vantaggi competitivi sostenibili. Il Consulente per gli Investimenti preferirà generalmente delle società con ricavi sul capitale investito crescenti, visibilità commerciale al di sopra della media, generazione di un forte flusso di cassa ed un favorevole rapporto rischio/ricavi.
Il Comparto farà investimenti a lungo termine su base globale in società che ad avviso del Sub-consulente hanno i vantaggi competitivi più idonei a resistere nel lungo periodo.
Il Comparto può anche investire in società con una crescita più moderata, società con una bassa volatilità dei profitti e/o società con alcune ciclicità nei loro mercati di sbocco.
Il Consulente per gli Investimenti integra fattivamente la sostenibilità nel processo di investimento utilizzando i fattori ESG come un parametro aggiuntivo per la ricerca sui fondamentali, che può contribuire al processo decisionale per gli investimenti. Il Consulente per gli Investimenti cerca di comprendere come le iniziative ambientali e sociali delle società possano creare valore consolidando i vantaggi competitivi durevoli, creando opportunità di crescita, apportando profittabilità e/o allineandosi con i trend secolari di crescita. In generale, il Consulente per gli Investimenti si impegna con gli organi di gestione delle società per discutere le loro pratiche ESG, con l’obiettivo di identificare come i temi della sostenibilità presentino delle opportunità e rischi che possono essere rilevanti per il valore del titolo nel lungo termine. Gli altri aspetti del processo di investimento comprendono una valutazione sistematica, di proprietà del Consulente per gli Investimenti, delle politiche di governo societario, che si concentra sull’adeguamento dei compensi nel contesto della creazione di valore nel lungo periodo.
Gli investimenti non potranno ricomprendere consapevolmente qualsiasi società la cui attività principale riguardi i seguenti settori:
- tabacco 
- (titoli di emittenti classificati nel sottosettore “tabacco” (Tobacco) nei Global Industry Classification Standard (“GICS”), o che generano il 5% o più dei loro ricavi dalla manifattura di prodotti a base di tabacco);
- estrazione di carbone 
- (titoli di emittenti classificati nel sottosettore GICS “carbone e combustibili di consumo” (coal & consumable fuels)), o che generano il 10% o più dei loro ricavi dalla estrazione del carbone);
- armi, comprese 
- armi da fuoco civili 
- (titoli di emittenti che generano il 10% o più dei loro ricavi dalla fabbricazione o produzione di armi da fuoco civili o munizioni) e 
- munizioni a grappolo e mine antiuomo 
- (titoli di emittenti che fabbricano, producono o distribuiscono munizioni a grappolo o mine antiuomo).

I dettagli delle suddette esclusioni si trovano nelle politiche di esclusione del Comparto, disponibili nel sito Internet della Società (www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im). In aggiunta a quanto precede, il Consulente per gli Investimenti può, a propria discrezione, decidere di applicare nel tempo ulteriori restrizioni agli investimenti legate alle tematiche ESG che ritiene coerenti con gli obiettivi di investimento. Tali restrizioni aggiuntive saranno pubblicate sul sito www.morganstanleyinvestmentfunds.com e sul sito www.morganstanley.com/im al momento della loro implementazione. Gli investimenti detenuti dal Comparto che diventino non ammissibili dopo essere stati acquisiti per il Comparto saranno venduti. Tali vendite saranno disposte con tempistiche determinate dal Consulente per gli Investimenti, tenendo conto in primo luogo degli interessi degli Azionisti del Comparto.
Il Comparto è gestito attivamente, non è concepito per seguire un benchmark e pertanto, la gestione del Comparto non è vincolata dalla composizione del MSCI All Country World Index. I riferimenti del Comparto al MSCI All Country World Index hanno lo scopo di definire la fascia di capitalizzazione degli emittenti in cui il Comparto investe. La performance del Comparto è misurata rispetto al MSCI All Country World Index, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento del Global Endurance Fund, questo comparto può essere adatto per investitori che:
- Intendono investire in titoli azionari.
- Ricercano un apprezzamento del capitale a medio termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

GLOBAL FOCUS PROPERTY FUND
11
L’obiettivo di investimento del Global Focus Property Fund è l’aumento a lungo termine del capitale, denominato in Dollari USA, investendo principalmente in un portafoglio concentrato e focalizzato di titoli azionari, compresi certificati rappresentativi di azioni in deposito o “depositary receipts” (tra i quali American Depositary Receipts (ADR) e certificati di deposito globali Global Depositary Receipts – (GDR)), di società operanti nel settore immobiliare o strettamente correlate al settore immobiliare Situate in tutto il
11 
A decorrere dal 12 dicembre 2022, la politica di investimento del Comparto sarà modificata al fine di promuovere, tra le altre caratteristiche, quelle ambientali o sociali, o una combinazione delle stesse, a condizione che le società in cui vengono effettuati gli investimenti seguano pratiche di buona governance. Pertanto, il Comparto ricadrà nell’ambito di applicazione dell’articolo 8 del SFDR.
Pertanto, il secondo e il quarto paragrafo saranno modificati come segue:
“Le società del settore immobiliare o strettamente correlate al settore immobiliare possono annoverare società attive principalmente nello sviluppo e/o la titolarità della proprietà di immobili che producono redditi, società che gestiscono, costruiscono, finanziano o vendono immobili, società con una parte sostanziale dei loro investimenti in immobili e/o servizi o prodotti connessi al settore immobiliare come, a titolo non esaustivo, gestione di immobili, intermediari, prodotti per la costruzione e tecnologie per le proprietà immobiliari, e veicoli di investimento collettivo con esposizione alle proprietà immobiliari, quali i fondi immobiliari pubblicamente quotati (“property unit trusts”), tutti i tipi ammessi di Real Estate Investment Trust (REITS) chiusi e gli organismi per l’investimento collettivo.
[…]
Il Comparto può anche investire, in via accessoria, in titoli azionari che non soddisfano i requisiti degli investimenti primari del Comparto, compresi a titolo non esaustivo azioni privilegiate e valori mobiliari privilegiati convertibili, strumenti di debito convertibili in azioni ordinarie, diritti e warrant per acquistare titoli azionari, azioni di società di investimento, partecipazioni in società di persone e altri titoli collegati alle azioni.”
Inoltre, il settimo paragrafo sarà sostituito dai seguenti paragrafi:
“Il Consulente per gli Investimenti integra attivamente la sostenibilità nel processo di investimento valutando i principali rischi e opportunità ESG nel processo bottom-up di selezione dei titoli, avvalendosi principalmente di fornitori ESG terzi per valutare e quantificare le performance ESG degli emittenti, integrando le ricerche di terzi con ricerche proprietarie condotte dal Consulente per gli Investimenti, tra cui l’utilizzo di un quadro di propria concezione per la valutazione e la quantificazione dei rischi e delle opportunità legate all’ESG, che si traduce in un aggiustamento quantitativo delle stime di valutazione, e attraverso l’interlocuzione con gli amministratori delle società per discutere i punti di forza, le debolezze e le opportunità legate all’ESG nel tentativo di realizzare un cambiamento positivo all’interno del settore. I temi ESG principali possono includere, a titolo esemplificativo ma non esaustivo: l’utilizzo dell’energia e delle fonti rinnovabili, l’utilizzo dell’acqua, le emissioni, la diversità e l’uguaglianza di genere, il lavoro e i diritti umani, la salute, il benessere e la sicurezza dei dipendenti e dei conduttori, e la governance e la divulgazione ESG della società. Nel tentativo di promuovere un cambiamento positivo e di incoraggiare le società a migliorare le proprie prestazioni in merito alle questioni ESG rilevanti, il Consulente per gli Investimenti può rivolgersi agli amministratori delle società con soluzioni interne competitive, casi aziendali finanziariamente validi e soluzioni pratiche che possono migliorare le loro operazioni immobiliari. Sebbene le considerazioni ESG siano parte integrante e fondamentale del processo d’investimento, esse sono solo uno dei diversi fattori determinanti utilizzati dal Consulente per gli Investimenti per stabilire se un investimento verrà effettuato o se ne verrà modificata l’entità nel portafoglio complessivo.
mondo che il Consulente per gli Investimenti reputa che abbiamo un potenziale previsto di incassi globali superiore a quello di altre opportunità di investimento presenti nella suddetta classe di attivi.
Le società del settore immobiliare o strettamente correlate al settore immobiliare possono annoverare società attive principalmente nello sviluppo e/o la titolarità della proprietà di immobili che producono redditi, società che gestiscono, costruiscono, finanziano o vendono immobili, società con una parte sostanziale dei loro investimenti in immobili e/o servizi connessi al settore immobiliare come, a titolo non esaustivo, gestione di immobili, intermediari, prodotti per la costruzione, e veicoli di investimento collettivo con esposizione alle proprietà immobiliari, quali i fondi immobiliari pubblicamente quotati (“property unit trusts”), tutti i tipi di Real Estate Investment Trust (REITS) chiusi e gli organismi per l’investimento collettivo.
Il Comparto investira principalmente in società situate nei Paesi sviluppati in Nord America, Europa e Asia, ma può anche investire in società situate nei mercati emergenti.
Il Comparto può investire, in via accessoria, in titoli azionari che non soddisfano i requisiti degli investimenti primari del Comparto, azioni privilegiate e valori mobiliari privilegiati convertibili, strumenti di debito convertibili in azioni ordinarie, diritti e warrant per acquistare titoli azionari, azioni di società di investimento, Azioni A cinesi via Stock Connect, partecipazioni in società di persone e altri titoli collegati alle azioni. Il Comparto può investire fino al 10% delle sue attività nette in Azioni A cinesi via Stock Connect.
Il Comparto può, in misura limitata, investire in quote/azioni di altri organismi di investimento collettivo, compresi i Comparti della Società e gli ETF aperti, che siano investimenti idonei per gli OICVM ai sensi della Legge del 2010. In conformità all’Appendice
Gli investimenti non potranno annoverare consapevolmente qualsiasi società la cui attività principale in uno dei seguenti settori rappresenti più del 10% dei suoi ricavi:
- proprietà o gestione di immobili adibiti a carceri;
- proprietà o gestione di immobili adibiti alla lavorazione della cannabis;
- proprietà, manifattura o produzione di tabacco:
- proprietà, lavorazione o estrazione di carbone;
- proprietà, fabbricazione o produzione di armi controverse o armi da fuoco civili;
- proprietà, lavorazione o produzione di gas e petrolio proveniente dall’Artide. Gli investimenti non potranno annoverare consapevolmente le seguenti società:
- società coinvolte in importanti controversie in relazione alle loro attività e/o ai loro prodotti, nel caso in cui il Consulente per gli Investimenti ritenga che la controversia rilevante abbia un grave impatto sociale o ambientale;
- società che violano il Global Compact delle Nazioni Unite o i principi fondamentali dell’Ufficio Internazionale del Lavoro senza significative azioni di rimedio e miglioramento.

Il Consulente per gli Investimenti fa riferimento ai dati ESG di terzi e alle proprie analisi nel processo di ricerca dei titoli. Il Consulente per gli Investimenti rivedrà i casi alla base dei contenziosi (come le sopra indicate esclusioni) che ritiene essere molto gravi utilizzando i punteggi dei fornitori di dati ESG e la propria ricerca interna. Tuttavia, in alcuni casi, i dati su emittenti specifici o sulle esclusioni di cui sopra potrebbero non essere disponibili in tempi brevi e/o possono essere determinati dal Consulente per gli Investimenti utilizzando stime ragionevoli.”
Infine, l’informativa prevista dal Regolamento sulla Tassonomia sarà modificata come segue:
“Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.”
A “Poteri e limiti di investimento”, l’esposizione valutaria non in Dollari USA può essere parzialmente o totalmente coperta in Dollari USA. Al fine di incrementare il rendimento e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) utilizzare opzioni, contratti a termine (future) e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini di investimento e della gestione efficiente del portafoglio (compresa la copertura).
Il Consulente per gli Investimenti gestisce attivamente il Comparto utilizzando una metodologia bottom-up ad alta convinzione (high conviction) disciplinata e guidata dai fondamentali. Il Comparto sarà composto dai titoli che il Consulente per gli Investimenti reputa che offrano un potenziale previsto di incassi globali superiore in base a una comparazione con le altre opportunità di presenti nello stesso universo di investimento. Il Consulente per gli Investimenti valuterà i fattori specifici del settore immobiliare, dei fattori azionari più ampi, nonché i fattori ESG nella propria analisi fondamentale, al fine di determinare delle appropriate metriche di valutazione. Le considerazioni top-down sono incorporate nel processo di costruzione del portafoglio e cercano di ottenere un’esposizione attraverso regioni, paesi e/o settori e di integrare, tra gli altri fattori, le inflessioni fondamentali previste, le considerazioni macroeconomiche, e le valutazioni geopolitiche e del rischio paese. Il Consulente per gli Investimenti seleziona attivamente le posizioni in un numero limitato di titoli azionari.
Il processo di investimento può prendere in considerazione delle informazioni relative alle tematiche ESG nel suo processo di selezione dei titoli bottom-up quando vengono prese delle decisioni in merito agli investimenti. Il Consulente per gli Investimenti e Subconsulenti per gli Investimenti possono confrontarsi con gli amministratori delle società in relazione alle pratiche di governance societaria, nonché su quelle che il Consulente per gli Investimenti e i Subconsulenti reputino essere delle questioni ambientali e/o sociali di notevole importanza per una società.
Il Comparto è gestito attivamente e non è concepito per seguire un benchmark. Pertanto, la gestione del Comparto non è vincolata alla composizione di un benchmark La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Gli investimenti sottostanti il Comparto non tengono conto dei criteri dell’UE per le attività ecosostenibili.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento del Global Focus Property Fund, questo comparto può essere adatto per investitori che:
- Intendono investire in titoli azionari.
- Ricercano un apprezzamento del capitale nel lungo termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

GLOBAL INFRASTRUCTURE FUND
12
L’obiettivo di investimento del Global Infrastructure Fund è cercare l’aumento a lungo termine del valore del capitale, denominato in Dollari USA, investendo principalmente in titoli azionari, compresi, al fine di evitare dubbi, i “Real Estate Investment Trusts” (REITS) chiusi, di società operanti nel settore delle infrastrutture di tutto il mondo.
12 
A decorrere dal 12 dicembre 2022, la politica di investimento del Comparto sarà modificata al fine di promuovere, tra le altre caratteristiche, quelle ambientali o sociali, o una combinazione delle stesse, a condizione che le società in cui vengono effettuati gli investimenti seguano pratiche di buona governance. Pertanto, il Comparto ricadrà nell’ambito di applicazione dell’articolo 8 del SFDR.
Pertanto, il terzo paragrafo sarà sostituito dai seguenti paragrafi:
“Il Consulente per gli Investimenti integra attivamente la sostenibilità nel processo di investimento valutando i principali rischi e opportunità ESG nel processo bottom-up di selezione dei titoli, avvalendosi principalmente di fornitori ESG terzi per valutare e quantificare le performance ESG degli emittenti, integrando le ricerche di terzi con ricerche proprietarie condotte dal Consulente per gli Investimenti, tra cui l’utilizzo di un quadro di propria concezione per la valutazione e la quantificazione dei rischi e delle opportunità legate all’ESG, che si traduce in un aggiustamento quantitativo delle stime di valutazione, e attraverso l’interlocuzione con gli amministratori delle società per discutere i punti di forza, le debolezze e le opportunità legate all’ESG nel tentativo di realizzare un cambiamento positivo all’interno del settore. Nel tentativo di promuovere un cambiamento positivo e di incoraggiare le società a migliorare le proprie prestazioni in merito alle questioni ESG rilevanti, il Consulente per gli Investimenti può rivolgersi agli amministratori delle società con soluzioni interne competitive, casi aziendali finanziariamente validi e soluzioni pratiche per migliorare potenzialmente le loro operazioni nelle infrastrutture. Sebbene le considerazioni ESG siano parte integrante e fondamentale del processo d’investimento, esse sono solo uno dei diversi fattori determinanti utilizzati dal Consulente per gli Investimenti per stabilire se un investimento verrà effettuato o se ne verrà modificata l’entità nel portafoglio complessivo.
Gli investimenti non potranno annoverare consapevolmente qualsiasi società la cui attività principale in uno dei seguenti settori rappresenti più del 10% dei suoi ricavi:
- proprietà, manifattura o produzione di tabacco:
- proprietà, fabbricazione o produzione di armi controverse o armi da fuoco civili;
- proprietà o svolgimento di attività connesse al gioco di azzardo;
- proprietà o svolgimento di attività connesse all’intrattenimento per adulti. Gli investimenti non potranno annoverare consapevolmente le seguenti società:
- società coinvolte in importanti controversie in relazione alle loro attività e/o ai loro prodotti, nel caso in cui il Consulente per gli Investimenti ritenga che la controversia rilevante abbia un grave impatto sociale o ambientale;
- società che violano il Global Compact delle Nazioni Unite o i principi fondamentali dell’Ufficio Internazionale del Lavoro senza significative azioni di rimedio e miglioramento.

Il Consulente per gli Investimenti fa riferimento ai dati ESG di terzi e alle proprie analisi nel processo di ricerca dei titoli. Il Consulente per gli Investimenti rivedrà i casi alla base dei contenziosi (come le sopra indicate esclusioni) che ritiene essere molto gravi utilizzando i punteggi dei fornitori di dati ESG e la propria ricerca interna. Tuttavia, in alcuni casi, i dati su emittenti specifici o sulle esclusioni di cui sopra potrebbero non essere disponibili in tempi brevi e/o possono essere determinati dal Consulente per gli Investimenti utilizzando stime ragionevoli.”
Infine, l’informativa prevista dal Regolamento sulla Tassonomia sarà modificata come segue:
“Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.”
Le società del settore delle infrastrutture possono operare, tra le varie aree, in quelle della trasmissione e la distribuzione di energia elettrica; lo stoccaggio, il trasporto e la distribuzione di risorse naturali, come il gas naturale, usato per la produzione di energia; la costruzione, la messa in funzione e la manutenzione di autostrade, strade a pedaggio, gallerie, ponti e parcheggi; la costruzione, la gestione e la manutenzione di aeroporti e porti, ferrovie e sistemi di trasporto di massa; telecomunicazioni; trattamento e distribuzione delle acque; cicli produttivi da rifiuti, generazione di elettricità da fonti rinnovabili ed altri settori emergenti delle infrastrutture.
Il Comparto può anche investire, in via accessoria, in azioni privilegiate, in strumenti di debito convertibili in azioni ordinarie, warrant e altri titoli collegati alle azioni emessi da qualsiasi società impegnata nel settore delle infrastrutture.
Il processo di investimento può prendere in considerazione delle informazioni relative alle tematiche ESG nel suo processo di selezione dei titoli bottom-up quando vengono prese delle decisioni in merito agli investimenti. I Subconsulenti per gli Investimenti possono confrontarsi con gli amministratori delle società in relazione alle pratiche di governance societaria, nonché su quelle che i Subconsulenti reputano essere delle questioni ambientali e/o sociali di notevole importanza per una società.
Il Comparto è gestito attivamente e non è concepito per seguire un benchmark. Pertanto, la gestione del Comparto non è vincolata dalla composizione di un benchmark. La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Gli investimenti sottostanti il Comparto non tengono conto dei criteri dell’UE per le attività ecosostenibili.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento del Global Infrastructure Fund, questo comparto può essere adatto per investitori che:
- Intendono investire in titoli azionari.
- Ricercano un apprezzamento del capitale a lungo termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

GLOBAL INSIGHT FUND
L’obiettivo di investimento del Global Insight Fund è l’aumento a lungo termine del capitale, denominato in Dollari USA, investendo principalmente in titoli emessi da società su base globale. In condizioni normali di mercato, l’obiettivo d’investimento del Comparto sarà perseguito investendo principalmente in titoli azionari di società affermate ed emergenti. Il processo d’investimento privilegierà un processo di selezione di titoli bottom-up, in cerca di investimenti interessanti a livello di singole società. Nel selezionare i titoli in cui investire, il Consulente degli Investimenti investe tipicamente in società uniche che ritiene abbiano vantaggi competitivi sostenibili, con visibilità di business superiore alla media, la capacità di impiegare capitali con rendimenti elevati, bilanci solidi ed un interessante rapporto rischio/ricavi.
Al fine di incrementare il rendimento e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) utilizzare opzioni, contratti a termine (future) e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini di investimento e della gestione efficiente del portafoglio (compresa la copertura).
Il Comparto può inoltre investire, in via accessoria, in azioni di società che non soddisfano i requisiti di cui sopra, strumenti di debito convertibili in azioni ordinarie, Azioni A cinesi via Stock Connect, certificati rappresentativi di azioni in deposito “depositary receipts” (compresi American Depositary Receipts (ADR) e certificati di deposito globali “Global Depositary Receipts” – (GDR)) azioni privilegiate, warrant su titoli, Attività Equivalenti alla Liquidità e altri titoli collegati alle azioni. Il Comparto può investire fino al 10% delle sue attività nette in Azioni A cinesi via Stock Connect.
Il Consulente per gli Investimenti integra fattivamente la sostenibilità nel processo di investimento utilizzando i fattori ESG come un parametro aggiuntivo per la ricerca sui fondamentali, che può contribuire al processo decisionale per gli investimenti. Il Consulente per gli Investimenti cerca di comprendere come le iniziative ambientali e sociali delle società possano creare valore consolidando i vantaggi competitivi durevoli, creando opportunità di crescita, apportando profittabilità e/o allineandosi con i trend secolari di crescita. In generale, il Consulente per gli Investimenti si impegna con gli organi di gestione delle società per discutere le loro pratiche ESG, con l’obiettivo di identificare come i temi della sostenibilità presentino delle opportunità e rischi che possono essere rilevanti per il valore del titolo nel lungo termine. Gli altri aspetti del processo di investimento comprendono una valutazione sistematica, di proprietà del Consulente per gli Investimenti, delle politiche di governo societario, che si concentra sull’adeguamento dei compensi nel contesto della creazione di valore nel lungo periodo.
Gli investimenti non potranno ricomprendere consapevolmente qualsiasi società la cui attività principale riguardi i seguenti settori:
- tabacco 
- (titoli di emittenti classificati nel sottosettore “tabacco” (Tobacco) nei Global Industry Classification Standard (“GICS”), o che generano il 5% o più dei loro ricavi dalla manifattura di prodotti a base di tabacco);
- estrazione di carbone 
- (titoli di emittenti classificati nel sottosettore GICS “carbone e combustibili di consumo” (coal & consumable fuels)), o che generano il 10% o più dei loro ricavi dalla estrazione del carbone);
- armi, comprese 
- armi da fuoco civili 
- (titoli di emittenti che generano il 10% o più dei loro ricavi dalla fabbricazione o produzione di armi da fuoco civili o munizioni) e 
- munizioni a grappolo e mine antiuomo 
- (titoli di emittenti che fabbricano, producono o distribuiscono munizioni a grappolo o mine antiuomo).

I dettagli delle suddette esclusioni si trovano nelle politiche di esclusione del Comparto, disponibili nel sito Internet della Società (www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im). In aggiunta a quanto precede, il Consulente per gli Investimenti può, a propria discrezione, decidere di applicare nel tempo ulteriori restrizioni agli investimenti che ritiene coerenti con gli obiettivi di investimento. Tali restrizioni aggiuntive saranno pubblicate sul sito www.morganstanleyinvestmentfunds.com e sul sito www.morganstanley.com/im al momento della loro implementazione. Gli investimenti detenuti dal Comparto che diventino non ammissibili dopo essere stati acquisiti per il Comparto saranno venduti. Tali vendite saranno disposte con tempistiche determinate dal Consulente per gli Investimenti, tenendo conto in primo luogo degli interessi degli Azionisti del Comparto.
Il Comparto è gestito attivamente e non è concepito per seguire un benchmark. Pertanto, la gestione del Comparto non è vincolata dalla composizione di un benchmark. La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento del Global Insight Fund, questo comparto può essere adatto per investitori che:
- Intendono investire in titoli azionari.
- Ricercano un apprezzamento del capitale a medio termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

GLOBAL OPPORTUNITY FUND
L’obiettivo di investimento del Global Opportunity Fund è cercare l’aumento a lungo termine del valore del capitale, denominato in Dollari USA. Il Comparto tenterà di raggiungere il suo obiettivo d’investimento investendo principalmente in titoli azionari, inclusi certificati rappresentativi di azioni in deposito “depositary receipts” (compresi “American Depositary Receipts” – ADR e “Global Depositary Receipts” – GDR) di emittenti Situati in qualunque paese.
Al fine di incrementare i rendimenti e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) utilizzare opzioni, contratti a termine (future) e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini di investimento e della gestione efficiente del portafoglio (compresa la copertura).
Il Comparto può anche investire, in via accessoria, in strumenti di debito convertibili in azioni ordinarie, azioni privilegiate, Azioni A cinesi via Stock Connect, warrant su titoli, Attività Equivalenti alla Liquidità e altri titoli collegati alle azioni. Il Comparto può investire fino al 20% delle sue attività nette in Azioni A cinesi via Stock Connect.
Il Comparto può investire, in quantità limitata, in quote/azioni di organismi di investimento collettivo compresi i Comparti della Società e ETF aperti, che sono investimenti ammissibili per gli OICVM ai sensi della Legge del 2010.
Il Consulente per gli Investimenti enfatizzerà un processo bottom- up nella selezione dei titoli, ricercando investimenti interessanti esaminando ogni singola società. Nella selezione dei titoli per l’investimento, il Consulente per gli Investimenti ricercherà delle società di alta qualità, già affermate od emergenti, che nell’opinione del Consulente per gli Investimenti sono sottovalutate al momento dell’acquisto. Il Consulente per gli Investimenti privilegerà tipicamente delle società che ritiene abbiano dei vantaggi competitivi sostenibili che possono essere monetizzati attraverso la crescita. Il
processo di investimento comprende l’analisi della sostenibilità con riferimento a cambiamenti dirompenti, solidità finanziaria, esternazioni ambientali e sociali e governo societario (anche definiti “ESG”). In generale, il Consulente per gli Investimenti prenderà in considerazione la vendita di un titolo nel portafoglio qualora ritenga che tale titolo non risponda più ai criteri di investimento del Consulente stesso.
Il Consulente per gli Investimenti impiega un approccio olistico all’ESG nel contesto della sua valutazione della qualità di una società, analizzando gli impatti potenziali sulla salute dell’umanità, l’ambiente, la libertà e la produttività e le pratiche di governance aziendale per garantire la rappresentatività, la cultura e la fiducia. Il Consulente per gli Investimenti ritiene che incorporare i rischi e le opportunità potenziali legati all’ESG all’interno del processo di investimento sia importante per assicurare una gestione a lungo termine del capitale. Il Consulente per gli Investimenti ritiene che in un orizzonte temporale lungo sia più probabile che si materializzino dei rischi ESG e che le esternalità non sostenute dalla società in cui si investe abbiano maggiori probabilità di essere riflesse nel valore dei titoli. Poiché i rischi ESG potrebbero avere potenzialmente un impatto sul profilo di rischio e di rendimento delle opportunità di investimento, il Consulente per gli Investimenti tipicamente coinvolge gli amministratori delle società in discussioni costruttive su una serie di questioni ESG che il Consulente per gli Investimenti ritiene di importanza sostanziale.
Gli investimenti non potranno ricomprendere consapevolmente qualsiasi società la cui attività principale riguardi i seguenti settori:
- tabacco 
- (titoli di emittenti classificati nel sottosettore “tabacco” (Tobacco) nei Global Industry Classification Standard (“GICS”), o che generano il 5% o più dei loro ricavi dalla manifattura di prodotti a base di tabacco);
- estrazione di carbone 
- (titoli di emittenti classificati nel sottosettore GICS “carbone e combustibili di consumo” (coal & consumable fuels)), o che generano il 10% o più dei loro ricavi dalla estrazione del carbone);
- armi, comprese 
- armi da fuoco civili 
- (titoli di emittenti che generano il 10% o più dei loro ricavi dalla fabbricazione o produzione di armi da fuoco civili o munizioni) e 
- munizioni a grappolo e mine antiuomo 
- (titoli di emittenti che fabbricano, producono o distribuiscono munizioni a grappolo o mine antiuomo).

I dettagli delle suddette esclusioni si trovano nelle politiche di esclusione del Comparto, disponibili nel sito Internet della Società (www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im). In aggiunta a quanto precede, il Consulente per gli
Investimenti può, a propria discrezione, decidere di applicare nel tempo ulteriori restrizioni agli investimenti legate alle tematiche ESG che ritiene coerenti con gli obiettivi di investimento. Tali restrizioni aggiuntive saranno pubblicate sul sito www.morganstanleyinvestmentfunds.com e sul sito www.morganstanley.com/im al momento della loro implementazione. Gli investimenti detenuti dal Comparto che diventino non ammissibili dopo essere stati acquisiti per il Comparto saranno venduti. Tali vendite saranno disposte con tempistiche determinate dal Consulente per gli Investimenti, tenendo conto in primo luogo degli interessi degli Azionisti del Comparto.
Il Comparto è gestito attivamente e non è concepito per seguire un benchmark. Pertanto, la gestione del Comparto non è vincolata dalla composizione di un benchmark. La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento del Global Opportunity Fund, questo comparto può essere adatto per investitori che:
- Intendono investire in titoli azionari.
- Ricercano un apprezzamento del capitale a lungo termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

GLOBAL PERMANENCE FUND
L’obiettivo di investimento del Global Permanence Fund è l’aumento a lungo termine del capitale, denominato in Dollari USA.
Il Comparto tenterà di raggiungere il suo obiettivo d’investimento investendo principalmente in titoli azionari, inclusi certificati rappresentativi di azioni in deposito “depositary receipts” (compresi “American Depositary Receipts” – ADR e “Global Depositary Receipts” – GDR) di società affermate con sede in tutto il mondo,
con capitalizzazioni rientranti nella gamma di società comprese nell’MSCI All Country World Index.
Il Comparto può anche investire, in via accessoria, in titoli azionari che non soddisfano i criteri degli investimenti principali del Comparto, strumenti di debito convertibili in azioni ordinarie, azioni privilegiate, Azioni A cinesi via Stock Connect, warrant e altri titoli collegati alle azioni. Il Comparto non investirà più del 10% delle proprie attività nette in Azioni A Cinesi via Stock Connect.
Il Comparto può investire in misura limitata in quote/azioni di altri organismi di investimento collettivo, inclusi i Comparti della Società ed ETF aperti, che sono investimenti ammissibili per gli OICVM ai sensi della Legge del 2010.
Al fine di incrementare i rendimenti e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) utilizzare opzioni, contratti a termine (future) e altri derivati, quotati in borsa o trattati “over the counter”, ai fini di investimento e della gestione efficiente del portafoglio (compresa la copertura).
Il processo d’investimento privilegierà un processo di selezione di titoli bottom-up, in cerca di investimenti interessanti a livello di singole società. Nella selezione dei titoli in cui investire il Consulente per gli Investimenti investe tipicamente in società che ritiene abbiano un significativo grado di notorietà e vantaggi competitivi sostenibili, con visibilità di business superiore alla media, la capacità di impiegare capitali con rendimenti elevati, bilanci solidi ed un interessante rapporto rischio/ricavi.
Il Comparto effettuerà investimenti a lungo termine in società globali che il Consulente per gli Investimenti ritenga abbiano i vantaggi competitivi di lungo termine più duraturi. Il Comparto può anche investire in società a crescita più moderata, società con minore volatilità dei guadagni e/o con alcune ciclicità nei loro mercati finali.
Il Consulente per gli Investimenti integra fattivamente la sostenibilità nel processo di investimento utilizzando i fattori ESG come un parametro aggiuntivo per la ricerca sui fondamentali, che può contribuire al processo decisionale per gli investimenti. Il Consulente per gli Investimenti cerca di comprendere come le iniziative ambientali e sociali delle società possano creare valore consolidando i vantaggi competitivi durevoli, creando opportunità di crescita, apportando profittabilità e/o allineandosi con i trend secolari di crescita. In generale, il Consulente per gli Investimenti si impegna con gli organi di gestione delle società per discutere le loro pratiche ESG, con l’obiettivo di identificare come i temi della sostenibilità presentino delle opportunità e rischi che possono
essere rilevanti per il valore del titolo nel lungo termine. Gli altri aspetti del processo di investimento comprendono una valutazione sistematica, di proprietà del Consulente per gli Investimenti, delle politiche di governo societario, che si concentra sull’adeguamento dei compensi nel contesto della creazione di valore nel lungo periodo.
Gli investimenti non potranno ricomprendere consapevolmente qualsiasi società la cui attività principale riguardi i seguenti settori:
- tabacco 
- (titoli di emittenti classificati nel sottosettore “tabacco” (Tobacco) nei Global Industry Classification Standard (“GICS”), o che generano il 5% o più dei loro ricavi dalla manifattura di prodotti a base di tabacco);
- estrazione di carbone 
- (titoli di emittenti classificati nel sottosettore GICS “carbone e combustibili di consumo” (coal & consumable fuels)), o che generano il 10% o più dei loro ricavi dalla estrazione del carbone);
- armi, comprese 
- armi da fuoco civili 
- (titoli di emittenti che generano il 10% o più dei loro ricavi dalla fabbricazione o produzione di armi da fuoco civili o munizioni) e 
- munizioni a grappolo e mine antiuomo 
- (titoli di emittenti che fabbricano, producono o distribuiscono munizioni a grappolo o mine antiuomo).

I dettagli delle suddette esclusioni si trovano nelle politiche di esclusione del Comparto, disponibili nel sito Internet della Società (www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im). In aggiunta a quanto precede, il Consulente per gli Investimenti può, a propria discrezione, decidere di applicare nel tempo ulteriori restrizioni agli investimenti che ritiene coerenti con gli obiettivi di investimento. Tali restrizioni aggiuntive saranno pubblicate sul sito www.morganstanleyinvestmentfunds.com e sul sito www.morganstanley.com/im al momento della loro implementazione. Gli investimenti detenuti dal Comparto che diventino non ammissibili dopo essere stati acquisiti per il Comparto saranno venduti. Tali vendite saranno disposte con tempistiche determinate dal Consulente per gli Investimenti, tenendo conto in primo luogo degli interessi degli Azionisti del Comparto.
Il Comparto è gestito attivamente, non è concepito per seguire un benchmark e pertanto, la gestione del Comparto non è vincolata dalla composizione del MSCI All Country World Index. I riferimenti del Comparto al MSCI All Country World Index hanno lo scopo di definire la fascia di capitalizzazione degli emittenti in cui il Comparto investe. La performance del Comparto è misurata rispetto al MSCI All Country World Index, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento del Global Permanence Fund, questo comparto può essere adatto per investitori che:
- Intendono investire in titoli azionari.
- Ricercano un apprezzamento del capitale a medio termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

GLOBAL PROPERTY FUND
13
L’obiettivo di investimento del Global Property Fund è cercare l’aumento a lungo termine del valore del capitale, denominato in
13 
A decorrere dal 12 dicembre 2022, la politica di investimento del Comparto sarà modificata al fine di promuovere, tra le altre caratteristiche, quelle ambientali o sociali, o una combinazione delle stesse, a condizione che le società in cui vengono effettuati gli investimenti seguano pratiche di buona governance. Pertanto, il Comparto ricadrà nell’ambito di applicazione dell’articolo 8 del SFDR.
Pertanto, il primo paragrafo sarà modificato come segue:
“L’obiettivo di investimento del Global Property Fund è cercare l’aumento a lungo termine del valore del capitale, denominato in Dollari USA, investendo principalmente in titoli azionari di società operanti nel settore immobiliare Situate in tutto il mondo. Le società del settore immobiliare o strettamente correlate al settore immobiliare possono annoverare società aventi come attività principale lo sviluppo e/o la titolarità della proprietà di immobili che producono redditi, società che gestiscono, costruiscono, finanziano o vendono degli immobili; società con una parte sostanziale dei loro investimenti nel settore immobiliare e/o in servizi o prodotti collegati all’immobiliare come, a titolo non esaustivo, gestione degli immobili, intermediazione, prodotti per le costruzioni e tecnologia per le proprietà immobiliari e veicoli di investimento collettivo con una esposizione alle proprietà immobiliari, quali i fondi immobiliari quotati (“property unit trusts”), Real Estate Investment Trust (REITS) (fondi comuni di investimento immobiliare) chiusi di ogni tipo ammesso e organismi per l’investimento collettivo. Il Comparto può altresì investire, in via accessoria, in azioni privilegiate, strumenti di debito convertibili in azioni ordinarie, warrant o altri titoli collegati alle azioni.”
Inoltre, il secondo paragrafo sarà sostituito dai seguenti paragrafi:
“Il processo di investimento si avvale di ricerche interne proprietarie per investire in società immobiliari quotate in mercati aperti al pubblico che possono offrire il miglior valore relativo rispetto alle attività e agli utili sottostanti. Il Consulente per gli Investimenti utilizza un approccio bottom-up, valutando ogni titolo all’interno dell’universo di investimento per ottenere una stima del valore patrimoniale netto e dei flussi di cassa futuri. I fattori specifici del settore immobiliare, i fattori azionari più ampi e i fattori ESG sono valutati nell’analisi dei fondamentali per calcolare le metriche di valutazione appropriate.
Il Consulente per gli Investimenti incorpora anche un approccio top-down nel processo di costruzione del portafoglio, integrando diversi fattori che possono includere delle flessioni previste dei fondamentali, considerazioni macroeconomiche e valutazioni del rischio geopolitico e di paese, per ottenere un’esposizione diversificata tra regioni, paesi e/o settori.
Il Consulente per gli Investimenti integra attivamente la sostenibilità nel processo di investimento valutando i principali rischi e opportunità ESG nel processo bottom-up di selezione dei titoli, avvalendosi principalmente di fornitori ESG terzi per valutare e quantificare le performance ESG degli emittenti, integrando le ricerche di terzi con ricerche proprietarie condotte dal Consulente per gli Investimenti, tra cui l’utilizzo di un quadro di propria concezione per la valutazione e la
Dollari USA, investendo principalmente in titoli azionari di società operanti nel settore immobiliare Situate in tutto il mondo. Le società del settore immobiliare possono annoverare società aventi come attività principale lo sviluppo e/o la titolarità della proprietà di immobili che producono redditi, e veicoli di investimento collettivo con una esposizione alle proprietà immobiliari, quali i fondi immobiliari quotati (“property unit trusts”), Real Estate Investment Trust (REITS) (fondi comuni di investimento immobiliare) chiusi e organismi per l’investimento collettivo. Il Comparto può altresì investire, in via accessoria, in azioni privilegiate, strumenti di debito convertibili in azioni ordinarie, warrant o altri titoli collegati alle azioni.
Il processo di investimento può prendere in considerazione delle informazioni relative alle tematiche ESG nel suo processo di selezione dei titoli bottom-up quando vengono prese delle decisioni in merito agli investimenti. Il Consulente per gli Investimenti del Comparto, può confrontarsi con gli amministratori delle società in relazione alle pratiche di governance societaria, nonché su quelle che il Consulente per gli Investimenti reputa essere delle questioni ambientali e/o sociali di notevole importanza per una società.
quantificazione dei rischi e delle opportunità legate all’ESG, che si traduce in un aggiustamento quantitativo delle stime di valutazione, e attraverso l’interlocuzione con gli amministratori delle società per discutere i punti di forza, le debolezze e le opportunità legate all’ESG nel tentativo di realizzare un cambiamento positivo all’interno del settore. I temi ESG principali possono includere, a titolo esemplificativo ma non esaustivo: l’utilizzo dell’energia e delle fonti rinnovabili, l’utilizzo dell’acqua, le emissioni, la diversità e l’uguaglianza di genere, il lavoro e i diritti umani, la salute, il benessere e la sicurezza dei dipendenti e dei conduttori, e la governance e la divulgazione ESG della società. Nel tentativo di promuovere un cambiamento positivo e di incoraggiare le società a migliorare le proprie prestazioni in merito alle questioni ESG rilevanti, il Consulente per gli Investimenti può rivolgersi agli amministratori delle società con soluzioni interne competitive, casi aziendali finanziariamente validi e soluzioni pratiche che possono migliorare le loro operazioni immobiliari. Sebbene le considerazioni ESG siano parte integrante e fondamentale del processo d’investimento, esse sono solo uno dei diversi fattori determinanti utilizzati dal Consulente per gli Investimenti per stabilire se un investimento verrà effettuato o se ne verrà modificata l’entità nel portafoglio complessivo.
Gli investimenti non potranno annoverare consapevolmente qualsiasi società la cui attività principale in uno dei seguenti settori rappresenti più del 10% dei suoi ricavi:
- proprietà o gestione di immobili adibiti a carceri;
- proprietà o gestione di immobili adibiti alla lavorazione della cannabis;
- proprietà, manifattura o produzione di tabacco:
- proprietà, lavorazione o estrazione di carbone;
- proprietà, fabbricazione o produzione di armi controverse o armi da fuoco civili;
- proprietà, lavorazione o produzione di gas e petrolio proveniente dall’Artide. Gli investimenti non potranno annoverare consapevolmente le seguenti società:
- società coinvolte in importanti controversie in relazione alle loro attività e/o ai loro prodotti, nel caso in cui il Consulente per gli Investimenti ritenga che la controversia rilevante abbia un grave impatto sociale o ambientale;
- società che violano il Global Compact delle Nazioni Unite o i principi fondamentali dell’Ufficio Internazionale del Lavoro senza significative azioni di rimedio e miglioramento.

Il Consulente per gli Investimenti fa riferimento ai dati ESG di terzi e alle proprie analisi nel processo di ricerca dei titoli. Il Consulente per gli Investimenti rivedrà i casi alla base dei contenziosi (come le sopra indicate esclusioni) che ritiene essere molto gravi utilizzando i punteggi dei fornitori di dati ESG e la propria ricerca interna. Tuttavia, in alcuni casi, i dati su emittenti specifici o sulle esclusioni di cui sopra potrebbero non essere disponibili in tempi brevi e/o possono essere determinati dal Consulente per gli Investimenti utilizzando stime ragionevoli.”
Infine, l’informativa prevista dal Regolamento sulla Tassonomia sarà modificata come segue:
“Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.”
Il Comparto è gestito attivamente e non è concepito per seguire un benchmark. Pertanto, la gestione del Comparto non è vincolata dalla composizione di un benchmark. La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Gli investimenti sottostanti il Comparto non tengono conto dei criteri dell’UE per le attività ecosostenibili.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento del Global Property Fund, questo comparto può essere adatto per investitori che:
- Intendono investire in titoli azionari.
- Ricercano un apprezzamento del capitale a lungo termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

GLOBAL QUALITY FUND
L’obiettivo di investimento del Global Quality Fund è ottenere un interessante tasso di rendimento nel lungo termine, denominato in Dollari statunitensi, investendo principalmente in titoli azionari di società dei paesi del mondo sviluppati. La strategia prevede l’investimento in un portafoglio concentrato di attività di alta qualità con gestioni forti in grado di sostenere alti rendimenti a cicli incrociati sul capitale. Il Consulente per gli Investimenti ritiene che i rendimenti a lungo termine possono essere più efficacemente ottenuti attraverso la capitalizzazione e la protezione da ribassi e che società di alta qualità possono generare nel lungo termine rendimenti superiori per i relativi detentori. La ricerca di società di alta qualità si concentrerà sull’individuare società con posizioni di mercato dominanti, in grado di replicare beni immateriali. Tali società saranno caratterizzate da flussi di entrate resistenti, potere di fissare i prezzi, e generalmente da capitale basso e da opportunità di crescita organica. Il Consulente per gli Investimenti cercherà di acquistare titoli di questo tipo con attraenti valutazioni dei relativi valori di flussi di cassa basati sui fondamentali.
Il Comparto può anche investire, in via accessoria, in azioni di società Situate nei mercati emergenti, Azioni A cinesi via Stock Connect, in azioni privilegiate, in strumenti di debito convertibili in azioni ordinarie o privilegiate, warrant su titoli e altri titoli collegati alle azioni. Il Comparto limiterà l’uso dei derivati esclusivamente a fini di copertura. Il Comparto può investire fino al 10% delle sue attività nette in Azioni A cinesi via Stock Connect.
Restrizioni agli investimenti:
- Il Comparto applicherà delle restrizioni che riguardano il clima per escludere gli investimenti in qualsiasi società per la quale il Consulente per gli Investimenti ritenga:
	- che abbia un qualsiasi legame con i combustibili fossili (come petrolio, gas e carbone); o
	- che la sua attività principale riguardi l’energia, i materiali da costruzione, i servizi di pubblica utilità (esclusa l’elettricità da fonti rinnovabili e la fornitura di acqua), i metalli e le attività estrattive.

- Inoltre, non sarà ricompresa consapevolmente nel Comparto alcuna società:
	- la cui attività principale riguarda le armi o le armi da fuoco per uso civile; o
	- che sia classificata dalla banca dati del MSCI ESG Business Involvement Screening Research (“MSCI ESG BISR”) come una società con un qualsiasi tipo di collegamento con le armi controverse.


I dettagli delle suddette esclusioni si trovano nelle politiche di esclusione del Comparto, disponibili nel sito Internet della Società (www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im). In aggiunta a quanto precede, il Consulente per gli Investimenti può, a propria discrezione, decidere di applicare nel tempo ulteriori restrizioni agli investimenti legate alle tematiche ESG che ritiene coerenti con gli obiettivi di investimento. Tali restrizioni aggiuntive saranno pubblicate sul sito www.morganstanleyinvestmentfunds.com e sul sito www.morganstanley.com/im al momento della loro implementazione. Gli investimenti detenuti dal Comparto che diventino non ammissibili dopo essere stati acquisiti per il Comparto saranno venduti. Tali vendite saranno disposte con tempistiche determinate dal Consulente per gli Investimenti, tenendo conto in primo luogo degli interessi degli Azionisti del Comparto.
Processo di investimento:
Il processo di investimento del Comparto si concentra su società di alta qualità con rendimenti del capitale elevati in modo sostenibile. In quanto parte essenziale e integrante del processo di investimento, il Consulente per gli Investimenti determina i fattori rilevanti che incidono sulla sostenibilità di rendimenti elevati del capitale investito nel lungo termine, inclusi i fattori ESG, e si confronta con gli organi di gestione delle società in relazione a ciò. Nei limiti degli obiettivi di investimento del Comparto, il Consulente per gli Investimenti mantiene la discrezionalità sulla scelta degli investimenti. Anche se le considerazioni ESG sono parte integrante e fondamentale del processo di investimento, i fattori ESG non sono l’unico elemento determinante per decidere se un investimento
possa essere effettuato o una partecipazione possa rimanere nel portafoglio del Comparto, dato che il Consulente per gli Investimenti considera altresì i rischi sostanziali o le opportunità in una qualsiasi delle aree ESG che potrebbero compromettere o migliorare gli elevati rendimenti correnti del capitale investito di una società.
Il Consulente per gli Investimenti monitora su base continuativa le pratiche aziendali, attraverso i dati sulle controversie ESG e dei controlli standard su dati ottenuti da fornitori terzi, comprese le violazioni del Global Compact delle Nazioni Unite, nonché attraverso le proprie interlocuzioni con gli amministratori delle società e la ricerca. Il Consulente per gli Investimenti sottopone a revisione i titoli degli emittenti qualora ritenga che si sia verificata una violazione significativa dei suddetti standard e principi e normalmente esclude tali emittenti quando, dopo aver condotto la propria ricerca e/o interlocuzioni, il Consulente per gli Investimenti ritenga che la violazione influisca sulla sostenibilità dei rendimenti sul capitale investito, o comporti un rischio finanziario e reputazionale significativo e l’emittente non si sia impegnato a intraprendere adeguate azioni correttive. Tali esclusioni sono determinate dal Consulente per gli Investimenti a propria discrezione piuttosto che facendo affidamento su analisi di terzi. L’analisi può essere supportata da analisi delle controversie ESG di terzi e da parametri di impegno aziendale.
Il Comparto è gestito attivamente e non è concepito per seguire un benchmark. Pertanto, la gestione del Comparto non è vincolata dalla composizione di un benchmark. La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento del Global Quality Fund, questo comparto può essere adatto per investitori che:
- Intendono investire in titoli azionari.
- Ricercano un apprezzamento del capitale a medio termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di Rischio”.

GLOBAL SUSTAIN FUND
L’obiettivo di investimento del Global Sustain Fund è di ottenere un interessante aumento a lungo termine del capitale, denominato in Dollari Statunitensi. Il Consulente per gli Investimenti applicherà inoltre criteri ESG che mirano a ottenere un’intensità di emissioni di gas a effetto serra (GS) per il Comparto significativamente inferiore a quella dell’universo di riferimento (definito, solo ai fini del confronto dell’intensità di emissioni GS, come quello delle società dell’indice MSCI AC World). In relazione al presente Comparto, il termine GS è quello definito dal protocollo GS (GHG in inglese), e comprende anidride carbonica (CO2), metano (CH4), protossido di azoto (N2O), idrofluorocarburi (HFC), perfluorocarburi (PFC) ed esafluoruro di zolfo (SF6) in tonnellate metriche e in tonnellate di CO2 equivalente.
Il Comparto cercherà di raggiungere il suo obiettivo d’investimento investendo principalmente in titoli azionari, inclusi certificati rappresentativi di azioni in deposito, di emittenti aventi sede in ogni Paese.
Il Comparto può anche investire, in via accessoria, in azioni di società con sede nei mercati emergenti, Azioni A cinesi via Stock Connect, in azioni privilegiate, in strumenti di debito convertibili in azioni ordinarie o privilegiate, warrant su titoli e altri titoli collegati alle azioni.
Al fine di aumentare i rendimenti e/o come parte della strategia di investimento, il Comparto può (in conformità con i poteri e i limiti di investimento di cui alla Appendice A) utilizzare opzioni, contratti a termine (future) o altri derivati, quotati o over-the- counter, per finalità di investimento o di gestione efficiente del portafoglio (comprese finalità di copertura).
Al fine di rispettare i criteri di bassa intensità di emissioni di GS:
- il Comparto escluderà in primo luogo gli investimenti in qualsiasi società che secondo il Consulente per gli Investimenti:
	- hanno un qualsiasi collegamento con i combustibili fossili (come petrolio, gas e carbone);
	- la cui attività principale riguardi l’energia, i materiali da costruzione e le forniture di elettricità e di gas (escluse l’elettricità da fonti rinnovabili e le forniture d’acqua), i metalli e l’estrazione mineraria; o,
	- per le quali le stime dell’intensità delle emissioni di GS non siano disponibili e/o non possano essere determinate (a discrezione del Consulente per gli Investimenti); e

- gli emittenti rimasti saranno poi classificati in base alle loro stime di intensità di emissioni di GS, e quelli con l’intensità più elevata saranno esclusi dall’universo di riferimento.

L’applicazione congiunta dei criteri di investimento basati sui GS dovrebbe comportare una riduzione dell’universo investibile di almeno il 20% in un modo significativamente impegnativo, e il Consulente per gli Investimenti assicurerà che almeno il 90% degli emittenti in portafoglio siano valutati rispetto a questi criteri.
Restrizioni agli investimenti
- Oltre alle sopra indicate esclusioni connesse ai GS, gli investimenti non devono consapevolmente includere alcuna impresa la cui attività principale riguardi i seguenti settori:
- tabacco;
- alcool;
- intrattenimento per adulti;
- gioco d’azzardo;
- armi da fuoco per uso civile; o
- armi.
- Il Comparto non investirà in alcuna società che sia classificata dalla banca dati del MSCI ESG Business Involvement Screening Research (“MSCI ESG BISR”) come una società con un qualsiasi tipo di collegamento con le armi controverse.
- Il Comparto non investirà più del 10% delle proprie attività nette in Azioni A cinesi via Stock Connect.

Informazioni dettagliate sulle suddette esclusioni possono essere reperite nelle politiche di esclusione del Comparto, disponibili nel sito della Società (www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im). In aggiunta a quanto precede, il Consulente per gli Investimenti può a propria discrezione decidere di applicare nel tempo agli investimenti delle ulteriori limitazioni di tipo ESG che ritenga siano coerenti con gli obiettivi di investimento. Tali ulteriori limitazioni saranno rese note al momento della loro applicazione su www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im. Gli investimenti detenuti dal Comparto che dopo l’acquisizione per conto di quest’ultimo divengano non ammissibili ai sensi del primo e secondo punto che precedono saranno venduti. Tali vendite si svolgeranno nel corso di un arco di tempo che verrà determinato dal Consulente per gli Investimenti, prendendo in considerazione i migliori interessi degli Azionisti del Comparto.
Processo di investmento
Il Consulente per gli Investimenti intende investire in un portafoglio concentrato di marchi di alta qualità e dominanti, caratterizzati da
rendimenti sul capitale investito alti e sostenibili, beni immateriali di grandissimo valore, inclusi marchi, reti, licenze e brevetti, e dal potere di determinare i prezzi. Il Consulente per gli Investimenti intende identificare delle squadre di amministratori competenti e in grado di allocare efficacemente il capitale per far crescere il marchio e sostenere e/o migliorare i rendimenti del capitale investito.
Il processo di investimento del Comparto si concentra su società di alta qualità con rendimenti del capitale elevati in modo sostenibile. Quale parte essenziale e integrata del processo d’investimento, il Consulente per gli Investimenti determina i fattori rilevanti che incidono sulla sostenibilità di rendimenti elevati del capitale investito nel lungo termine, inclusi i fattori ESG, e si confronta con gli organi di gestione delle società in relazione a ciò. Nei limiti degli obiettivi di investimento del Comparto e di quelli sopra indicati, il Consulente per gli Investimenti mantiene la discrezionalità sulla scelta degli investimenti. I fattori ESG non sono l’unico elemento determinante per decidere se un investimento possa essere effettuato o una partecipazione possa rimanere nel portafoglio del Comparto, dato che il Consulente per gli Investimenti considera altresì i rischi sostanziali o le opportunità in una qualsiasi delle aree ESG che potrebbero compromettere o migliorare gli elevati rendimenti del capitale investito di una società.
Il Consulente per gli Investimenti monitora su base continuativa le pratiche aziendali, attraverso i dati sulle controversie ESG e dei controlli standard su dati ottenuti da fornitori terzi, comprese le violazioni del Global Compact delle Nazioni Unite, nonché attraverso le proprie interlocuzioni con gli amministratori delle società e la ricerca. Il Consulente per gli Investimenti sottopone a revisione i titoli degli emittenti qualora ritenga che si sia verificata una violazione significativa dei suddetti standard e principi e normalmente esclude tali emittenti quando, dopo aver condotto la propria ricerca e/o interlocuzioni, il Consulente per gli Investimenti ritenga che la violazione influisca sulla la sostenibilità dei rendimenti sul capitale investito, o comporti un rischio finanziario e reputazionale significativo e l’emittente non si sia impegnato a intraprendere adeguate azioni correttive. Tali esclusioni sono determinate dal Consulente per gli Investimenti a propria discrezione piuttosto che facendo affidamento su analisi di terzi. L’analisi può essere supportata da analisi delle controversie ESG di terzi e da parametri di coinvolgimento aziendale.
Come sopra indicato, il Comparto mira a raggiungere un’intensità di emissioni di GS significativamente inferiore a quella del suo universo di riferimento, escludendo degli emittenti sulla base delle loro stime relative all’intensità di emissioni di GS. Il Consulente per gli Investimenti utilizza fornitori di dati terzi per accertare l’intensità delle emissioni di GS di emittenti specifici e in alcuni casi i dati su tali emittenti specifici potrebbero non essere disponibili o potrebbero essere stimati da un fornitore di dati terzo
alternativo o dal Consulente per gli Investimenti utilizzando metodologie interne o stime ragionevoli. Le metodologie utilizzate dai diversi fornitori di dati possono variare e se il fornitore di dati prescelto cambia la propria metodologia, anche le stime dell’intensità delle emissioni di GS per uno o più emittenti possono cambiare significativamente. Il Consulente per gli Investimenti farà inoltre del suo meglio per escludere qualsiasi società che il Consulente per gli Investimenti determina abbia un legame con i combustibili fossili (ad esempio la proprietà delle riserve, i ricavi e la produzione di energia relativi ad essi), ma in alcuni casi i dati potrebbero non essere disponibili o pienamente rappresentativi delle attività dell’emittente.
Il Comparto è gestito attivamente e non è concepito per seguire un benchmark. Pertanto, la gestione del Comparto non è vincolata dalla composizione di un benchmark. La performance del Comparto è misurata rispetto all’indice MSCI World Index, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento del Global Sustain Fund, questo comparto può essere adatto per investitori che:
- Intendono investire in titoli azionari.
- Ricercano un apprezzamento del capitale a medio termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

INDIAN EQUITY FUND
L’obiettivo d’investimento dell’Indian Equity Fund è l’aumento a lungo termine del valore del capitale, denominato in Dollari USA, direttamente mediante investimenti (subordinatamente al fatto che il Comparto ottenga le approvazioni regolamentari applicabili a seconda dei casi) o attraverso la Controllata, principalmente in titoli azionari di società che hanno sede o che svolgono la maggior parte della loro attività economica in India. Il Comparto, o
direttamente (subordinamente alle summenzionate approvazioni) o attraverso la Controllata (come di seguito definita) può anche investire, in via accessoria, in società quotate nelle Borse Indiane, che possono anche non avere sede o svolgere la maggior parte della loro attività economica in India, in certificati rappresentativi di azioni in deposito “depositary receipts” (compresi “American Depositary Receipts” – ADRs; “Global Depositary Receipts” – GDRs; “European Depositary Receipts” – EDRs) in strumenti di debito convertibili in azioni ordinarie, azioni privilegiate, warrants, ed altri titoli connessi ad azioni, comprese note di partecipazione. Il Comparto o direttamente (subordinamente alle summenzionate approvazioni) o tramite la Controllata, investirà in un portafoglio concentrato di società.
Il processo di investimento considera le informazioni relative alle tematiche ESG quando vengono prese delle decisioni in merito agli investimenti. Il Consulente per gli Investimenti si concentra sull’attenzione degli amministratori delle imprese per le pratiche di governance societaria, nonché per quelle che il Consulente per gli Investimenti reputi essere delle questioni ambientali e/o sociali di notevole importanza con le quali l’impresa stessa deve confrontarsi.
Il Comparto è gestito attivamente e non è concepito per seguire un benchmark. Pertanto, la gestione del Comparto non è vincolata dalla composizione di un benchmark. La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Gli investimenti sottostanti il Comparto non tengono conto dei criteri dell’UE per le attività ecosostenibili.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento dell’Indian Equity Fund, questo comparto può essere adatto per investitori che:
- Intendono investire in titoli azionari.
- Ricercano un apprezzamento del capitale a lungo termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

Date di Trattazione per l’Indian Equity Fund
I giorni di trattazione dell’Indian Equity Fund tengono conto delle date in cui la Borsa di Bombay (Bombay Stock Exchange – BSE) e la Borsa Nazionale dell’India (National Stock Exchange of India – NSE) non sono aperte per le transazioni ed i regolamenti. In questo Prospetto, i riferimenti alle Date di Trattazione in
relazione all’Indian Equity Fund significano tutti i giorni eccetto:
(a) qualsiasi giorno in cui le banche commerciali a Lussemburgo o in India sono autorizzzate dalla legge o da disposizioni amministrative a rimanere chiuse (compresi i sabati e le domeniche) e (b) qualsiasi giorno in cui la BSE e la NSE sono chiuse per le transazioni.
INTERNATIONAL EQUITY (EX US) FUND
L’obiettivo di investimento dell’International Equity (ex US) Fund è cercare un interessante tasso di rendimento nel lungo termine, denominato in Dollari Statunitensi.
Il Comparto cercherà di raggiungere il proprio obiettivo di investimento mediante investimenti principalmente in titoli azionari compresi certificati rappresentativi di azioni in deposito “depositary receipts” (compresi “American Depositary Receipts” – ADR e “Global Depositary Receipts” – GDR) di società con sede nei paesi sviluppati del mondo esclusi gli Stati Uniti d’America. Il Comparto investirà in un portafoglio diversificato di società utilizzando una ricerca approfondita bottom- up dei fondamentali delle società. Il processo di investimento si basa su un approccio disciplinato e orientato al valore per identificare società con un management capace, posizioni di mercato dominante e che abbiano il potenziale di generare rendimenti stabili e consistenti. Il Consulente per gli Investimenti ha come obiettivo quello di acquistare tali società a valorizzazioni interessanti collegate ai loro valori fondamentali basati sui flussi di cassa.
Quale parte essenziale e integrata del processo di investimento, il Consulente per gli Investimenti determina i fattori rilevanti che incidono sui rendimenti di lungo termine del capitale investito, inclusi i fattori ESG, e si confronta con gli organi di gestione delle società in relazione a ciò. Nei limiti degli obiettivi di investimento del Comparto, il Consulente per gli Investimenti mantiene la discrezionalità sulla scelta degli investimenti. Anche se le considerazioni ESG sono parte integrante e fondamentale del processo di investimento, i fattori ESG non sono l’unico elemento determinante per decidere se un investimento possa essere effettuato o una partecipazione possa rimanere nel portafoglio del Comparto, dato che il Consulente per gli Investimenti considera altresì i rischi sostanziali o le opportunità in una qualsiasi delle aree ESG che potrebbero compromettere o invece favorire la sostenibilità di lungo termine o la direzione dei rendimenti di una società.
Il Comparto può anche investire, in via accessoria, in azioni di società con sede nei mercati emergenti, comprese Azioni A cinesi via Stock Connect, o in conseguenza di un’azione societaria, negli Stati Uniti d’America, in azioni privilegiate, titoli di debito convertibili in azioni ordinarie o in azioni privilegiate, warrant su titoli e altri titoli collegati ad azioni. Il Comparto può investire fino al 10% delle sue attività nette in Azioni A cinesi via Stock Connect.
Il Comparto limiterà l’uso dei derivati a titoli a termine su valuta solo a fini di copertura.
Il Comparto è gestito attivamente e non è concepito per seguire un benchmark. Pertanto, la gestione del Comparto non è vincolata dalla composizione di un benchmark. La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Gli investimenti sottostanti il Comparto non tengono conto dei criteri dell’UE per le attività ecosostenibili.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento dell’International Equity (ex US) Fund, questo comparto può essere adatto per investitori che:
- Intendono investire in titoli azionari.
- Ricercano un apprezzamento del capitale a medio termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

JAPANESE EQUITY FUND
L’obiettivo d’investimento del Japanese Equity Fund è l’aumento a lungo termine del valore del capitale, denominato in Yen, mediante investimenti principalmente in azioni di società che soddisfano i criteri ESG del Consulente per gli Investimenti, integrando nel contempo le caratteristiche ESG con il mantenimento di punteggi di sostenibilità più elevati rispetto all’indice MSCI Japan. Il Comparto investirà principalmente in società che hanno sede o che esercitano la maggior parte della propria attività economica in Giappone e che sono quotate in una Borsa o in un terzo mercato (“over the counter”) (in conformità alle disposizioni dell’“Appendice A” – “Poteri e limiti di investimento”). Il Comparto può anche investire, in via accessoria, in strumenti di debito convertibili in azioni ordinarie, warrant ed altri titoli collegati alle azioni.
Il Consulente per gli Investimenti integra la considerazione delle tematiche ESG nel proprio processo decisionale di investimento.
Il Consulente per gli Investimenti applica dei metodi di classificazione e dei coefficienti di propria concezione ai titoli azionari in cui il Comparto può investire. Inoltre, come parte del proprio processo di ricerca di tipo bottom-up basata sui fondamentali, e nelle verifiche con le società, il Consulente per gli Investimenti include una valutazione dei rischi e delle opportunità legati alla sostenibilità nel processo di valutazione per determinare gli effetti sul valore di un
titolo o del portafoglio. Questi criteri possono ricomprendere, a titolo non esaustivo, delle tematiche ESG come il rischio climatico, i diritti umani e la diversità, il governo societario e la relativa informazione, che il Consulente per gli Investimenti considera delle “questioni ESG rilevanti”. Il Consulente per gli Investimenti si concentra sull’impegno degli amministratori delle società in materia di salute e sicurezza, risorse umane, violazioni e altri fattori, nei limiti dell’impegno specifico di ciascuna società nell’ambito delle questioni ESG rilevanti. Alle società viene assegnato un punteggio in base all’aspettativa di miglioramento e al modo in cui le attività ESG della società possono aumentarne il valore.
Il Consulente per gli Investimenti verifica costantemente le pratiche commerciali attraverso i dati sulle controversie ESG ed il controllo degli standard provenienti da fornitori terzi. Il Consulente per gli Investimenti escluderà i casi di controversia che considera molto gravi in base alle valutazioni dei competenti fornitori di dati ESG.
Il Consulente per gli Investimenti monitorerà i principali indicatori di sostenibilità, comprese le valutazioni ambientali, sociali e di governance fornite da terzi al fine di misurare e valutare il contributo dei titoli alle tematiche ESG sopra descritte. Gli indicatori saranno misurati e valutati almeno su base annuale.
Gli investimenti non devono consapevolmente includere alcuna impresa attiva nella produzione o fornitura di:
- tabacco
- 14
- ;
- gioco di azzardo
- 15
- ;
- intrattenimento per adulti
- 16
- ;
- armi da fuoco per uso civile
- 17
- armi controverse
- 18
- ; e
- carbone
- 19
- .

In aggiunta a quanto precede, il Consulente per gli Investimenti può, a propria discrezione, decidere di applicare nel tempo ulteriori restrizioni agli investimenti legate alle tematiche ESG che ritiene coerenti con gli obiettivi di investimento. Tali restrizioni aggiuntive saranno pubblicate sul sito www.morganstanleyinvestmentfunds.com e sul sito www.morganstanley.com/im. Le esclusioni sono
14 
Il Comparto non investirà in titoli di emittenti con il 5% o più dei loro ricavi derivanti da prodotti a base di tabacco o dalle relative forniture come i filtri.
15 
Il Comparto non investirà in titoli di emittenti con il 5% o più dei loro ricavi derivanti dal gioco d’azzardo
16 
Il Comparto non investirà in titoli di emittenti con il 5% o più dei loro ricavi derivanti dall’intrattenimento per adulti.
17 
Il Comparto non investirà in titoli di emittenti con il 5% o più dei loro ricavi derivanti dalla produzione di armi da fuoco per uso civile.
18 
Il Comparto non investirà in titoli di emittenti che fabbricano sistemi completi di armi controverse, o componenti destinati ad esse.
19 
Il Comparto non investirà in titoli di emittenti con più del 10% dei ricavi ottenuti dall’estrazione di carbone, o il 5% o più dei loro ricavi da elettricità ottenuta dal carbone.
decise in base alle analisi proprietarie del Consulente per gli Investimenti piuttosto che facendo affidamento sulle analisi di terzi. Tuttavia, tali analisi possono essere supportate da ricerche di terzi sulle controversie in materie ESG e sul coinvolgimento delle imprese. I criteri di esclusione sono applicati a tutti gli investimenti azionari del Comparto. I criteri di esclusione sono soggetti a revisione periodica e ogni modifica sarà riflessa nel documento sulle politiche di esclusione. Gli investimenti detenuti dal Comparto che diventino non ammissibili dopo essere stati acquisiti per il Comparto saranno venduti. Tali vendite saranno disposte con tempistiche determinate dal Consulente per gli Investimenti, tenendo conto in primo luogo degli interessi degli Azionisti del Comparto.
Il Comparto fa riferimento a dati ESG di terzi durante il processo di ricerca sui titoli, ma non si basa su di essi per la costruzione del portafoglio. Il Consulente per gli Investimenti si affida alle proprie analisi proprietarie per la selezione dei titoli e la costruzione del portafoglio piuttosto che ad analisi di terzi. Tuttavia, in alcuni casi, i dati su emittenti specifici o sulle esclusioni di cui sopra potrebbero non essere disponibili e/o essere stimati dal Consulente per gli Investimenti utilizzando stime ragionevoli o dati di terzi.
Il Comparto è gestito attivamente e non è concepito per seguire un benchmark. La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento del Japanese Equity Fund, questo comparto può essere adatto per investitori che:
- Intendono investire in titoli azionari.
- Ricercano un apprezzamento del capitale a lungo termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

Date di Trattazione per il Japanese Equity Fund
Le Date di Trattazione del Japanese Equity Fund prenderanno in considerazione: (i) i giorni in cui i mercati del Japan Exchange Group non sono aperti per quanto riguarda le negoziazioni ed i regolamenti o (ii) gli altri giorni individuati a propria esclusiva discrezione dagli Amministratori, previa consultazione con il Consulente per gli Investimenti. Nel presente Prospetto, i riferimenti alla Data di Trattazione per quanto riguarda il Japanese Equity Fund indicheranno ogni giorno eccetto: (a) qualsiasi altro giorno che gli Amministratori abbiano individuato a propria esclusiva discrezione previa consultazione con il Consulente per gli Investimenti e (b) ogni altro giorno in cui i mercati del Japan Exchange Group e le banche del Lussemburgo o del Giappone sono autorizzati a restare chiusi per legge o per ordine esecutivo delle Autorità (compresi i sabati e le domeniche) per quanto riguarda l’attività di negoziazione. L’elenco dei “Giorni di Non Trattazione” sarà disponibile nel sito della Società (www.morganstanleyinvestmentfunds.com) e sarà preventivamente aggiornato almeno ogni sei mesi. Tuttavia, tale elenco potrà di volta in volta essere ulteriormente modificato in presenza di eventi eccezionali, nel caso in cui gli Amministratori ritengano che ciò sia nel migliore interesse degli Azionisti del Comparto.
JAPANESE SMALL CAP EQUITY FUND
L’obiettivo di investimento del Japanese Small Cap Equity Fund è l’aumento nel lungo termine del capitale, denominato in Yen, investendo principalmente in titoli azionari di società a bassa capitalizzazione Situate in Giappone e quotate in qualsiasi borsa o mercato over-the-counter (nei limiti di cui all’Appendice A – Poteri e limiti di investimento). Il Comparto può anche investire, in via accessoria, in titoli che non soddisfano i criteri degli investimenti principali del Comparto, strumenti di debito convertibili in azioni ordinarie, warrant su titoli, e altri titoli collegati ad azioni.
In relazione a questo Comparto, le società a piccola capitalizzazione sono quelle con capitalizzazioni ricomprese nella gamma delle società incluse nell’indice MSCI Japan Small Cap. L’indice MSCI Japan Small Cap è concepito per misurare la performance del segmento small cap del mercato giapponese. Con oltre 900 componenti, l’indice rappresenta circa il 14% della capitalizzazione di mercato corretta per il flottante dell’universo azionario giapponese. La capitalizzazione di mercato media di una società nell’indice MSCI Japan Small Cap è di circa 100 miliardi di JPY con una mediana di circa 60-70 miliardi di JPY (questi numeri possono variare). Si prega di fare riferimento a www.msci.com per le ultime informazioni su questo indice.
Il Consulente per gli Investimenti adotta un approccio all’investimento di tipo bottom-up. Il Consulente per gli Investimenti cerca di sfruttare le inefficienze di mercato applicabili ai titoli small cap che spesso hanno una copertura limitata dal lato
delle vendite, gestendo nel contempo la volatilità a ciò associata. Il Comparto includerà i titoli che il Consulente per gli Investimenti ritiene che in base alla valutazione offrano un potenziale di crescita totale previsto più elevato rispetto ad altre opportunità.
Il Comparto è gestito attivamente e pertanto non è vincolato dalla composizione del MSCI Japan Small Cap Index. I riferimenti del Comparto al MSCI Japan Small Cap Index lo scopo di definire la fascia di capitalizzazione degli emittenti in cui il Comparto investe. La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Gli investimenti sottostanti il Comparto non tengono conto dei criteri dell’UE per le attività ecosostenibili.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento del Japanese Small Cap Equity Fund, questo comparto può essere adatto per investitori che:
- Intendono investire in titoli azionari.
- Ricercano un apprezzamento del capitale a lungo termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

Date di Trattazione per il Japanese Small Cap Equity Fund
Le Date di Trattazione del Japanese Small Cap Equity Fund tengono conto dei giorni in cui i mercati del Japan Exchange Group non sono aperti per quanto riguarda le negoziazioni ed i regolamenti. Nel presente Prospetto, i riferimenti alla Data di Trattazione per quanto riguarda il Japanese Small Cap Equity Fund indicheranno ogni giorno eccetto ogni giorno in cui i mercati del Japan Exchange Group e le banche del Lussemburgo o del Giappone sono autorizzati a restare chiusi per legge o per ordine esecutivo delle Autorità (compresi i sabati e le domeniche) per quanto riguarda l’attività di negoziazione. L’elenco dei “Giorni di Non Trattazione” sarà disponibile nel sito della Società (www.morganstanleyinvestmentfunds.com) e sarà preventivamente aggiornato almeno ogni sei mesi. Tuttavia, gli Amministratori possono decidere che un giorno che ne precede uno in cui i mercati del Japan Exchange Group e le banche del Lussemburgo o del Giappone sono autorizzati a restare chiusi per legge o per ordine esecutivo delle Autorità per quanto riguarda l’attività di negoziazione sia anch’esso un “Giorno di Non Trattazione” qualora ciò sia nel migliore interesse degli Azionisti.
LATIN AMERICAN EQUITY FUND
L’obiettivo di investimento del Latin American Equity Fund è la massimizzazione del rendimento totale, denominato in Dollari USA, principalmente tramite investimenti in azioni e in titoli collegati ad azioni di società costituite o che svolgono la maggior parte della loro attività economica in Paesi latinoamericani.
Fra tali paesi latinoamericani sono annoverati Argentina, Bolivia, Brasile, Cile, Colombia, Costarica, Repubblica Dominicana, Ecuador, El Salvador, Guatemala, Honduras, Messico, Nicaragua, Panama, Paraguay, Perù, Uruguay e Venezuela, nella misura in cui i mercati di tali Paesi possano essere ritenuti mercati riconosciuti (“Mercati Riconosciuti”) ai sensi dell’Articolo 41 (1) della Legge del 2010. Atteso che anche i mercati di altri paesi sono in fase di sviluppo, il Comparto si aspetta di espandere e diversificare ulteriormente la scelta dei mercati latinoamericani in cui investe. Di tanto in tanto, gli investimenti del Comparto potranno essere concentrati in un limitato numero di paesi. Gli investimenti in titoli quotati in borse che non siano Mercati Riconosciuti saranno trattati come investimenti in titoli non quotati (vedi “Appendice A” del Prospetto – “Poteri e Limiti di Investimento”) fin quando tali borse non saranno considerate Mercati Riconosciuti.
Nel contesto del proprio universo di investimento principale, il Comparto può anche investire in azioni privilegiate, warrant e altri titoli collegati alle azioni, compresi i certificati rappresentativi di azioni in deposito o “depositary receipts” (come gli American Depositary Receipts (ADR) e i certificati di deposito globali “Global Depositary Receipts” (GDR)), nonché in titoli di debito convertibili in azioni ordinarie di società costituite o che svolgono la maggior parte della loro attività economica in Paesi latinoamericani.
È possibile utilizzare strumenti finanziari derivati ai fini di una gestione efficiente del portafoglio (in conformità con i poteri e i limiti di investimento di cui alla Appendice A), per ottenere una esposizione ad alcuni mercati a costi inferiori o per ridurre il rischio. Il Comparto non investe in modo rilevante o principalmente in strumenti finanziari derivati per finalità di investimento.
In via accessoria il Comparto può investire nei titoli di società costituite e situate in paesi non latinoamericani qualora il valore dei titoli di tali società sia influenzato principalmente dalla situazione di un paese latino americano o il cui principale mercato sia in un paese latinoamericano, o qualora il 50% del reddito della società in questione, da solo o su base consolidata, derivi o da beni prodotti, vendite effettuate o servizi resi in paesi latinoamericani.
Il processo di investimento considera le informazioni relative alle tematiche ESG quando vengono prese delle decisioni in merito agli investimenti. Il Consulente per gli Investimenti si concentra
sull’attenzione degli amministratori delle imprese per le pratiche di governance societaria, nonché per quelle che il Consulente per gli Investimenti reputi essere delle questioni ambientali e/o sociali di notevole importanza con le quali l’impresa stessa deve confrontarsi.
Il Comparto è gestito attivamente e non è concepito per seguire un benchmark. Pertanto, la gestione del Comparto non è vincolata dalla composizione di un benchmark. La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Gli investimenti sottostanti il Comparto non tengono conto dei criteri dell’UE per le attività ecosostenibili.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento del Latin American Equity Fund, questo comparto può essere adatto per investitori che:
- Intendono investire in titoli azionari.
- Ricercano un apprezzamento del capitale a lungo termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

NEXTGEN EMERGING MARKETS FUND
L’obiettivo di investimento del NextGen Emerging Markets Fund è l’aumento a lungo termine del valore del capitale, denominato in Euro, investendo principalmente in titoli azionari di emittenti “NextGen”, compresi certificati rappresentativi di azioni in deposito “depositary receipts” (American Depositary Receipts (ADR) e certificati di deposito globali “Global Depositary Receipts” – (GDR)). Per emittenti “NextGen” si intendono quelli definiti come: 1) emittenti Situati in Paesi con mercati emergenti, compresi i Paesi con mercati di frontiera, secondo la classificazione dell’indice MSCI Emerging Markets Net Index o del MSCI Frontier Emerging Markets Index (i “Benchmark di classificazione dei Paesi”), o 2) emittenti situati in mercati di prossimo sviluppo al di fuori dei mercati comunemente definiti come emergenti, i cui mercati dei capitali sono stati tradizionalmente trascurati dagli investitori stranieri oche si trovano nelle prime fasi del mercato dei capitali e/o dello sviluppo economico. Si tratta di paesi che non fanno parte dei Benchmark di classificazione dei Paesi, che il Fondo Monetario Internazionale, le Nazioni Unite o la Banca Mondiale considerano generalmente meno maturi economicamente delle nazioni sviluppate. Il Comparto può investire nei Paesi di cui al punto 2) a condizione che i mercati di tali Paesi siano considerati mercati
riconosciuti (“Mercati Riconosciuti”) ai sensi dell’articolo 41(1) della Legge del 2010.
I Paesi che rientrano nei punti 1) o 2) della definizione di emittenti “NextGen” di cui sopra possono includere, tra gli altri, Albania, Algeria, Argentina, Bahrain, Bangladesh, Bolivia, Botswana, Brasile, Bulgaria, Cile, Colombia, Costa Rica, Costa d’Avorio, Croazia, Repubblica Ceca, Repubblica Dominicana, Ecuador, Egitto, Estonia, Etiopia, Georgia, Ghana, Grecia, Guatemala, Guinea, Haiti, Honduras, Ungheria, Islanda, India, Indonesia, Jamaica, Giordania, Kazakistan, Kenya, Kuwait, Laos, Lettonia, Libano, Lituania, Malaysia, Mauritius, Messico, Mongolia, Marocco, Mozambico, Namibia, Nigeria, Oman, Pakistan, Panama, Paraguay, Perù, Polonia, Filippine, Qatar, Romania, Russia, Ruanda, Arabia Saudita, Serbia, Senegal, Slovenia, Slovacchia, Sudafrica, Sri Lanka, Tanzania, Trinidad e Tobago, Thailandia, Turchia, Turkmenistan, Ucraina, Emirati Arabi Uniti, Uganda, Uruguay, Uzbekistan, Vietnam e Zambia. I paesi dell’universo d’investimento possono cambiare nel tempo.
Il Comparto può anche investire, in via accessoria, in titoli azionari non conformi ai criteri degli investimenti principali del Comparto, strumenti di debito convertibili in azioni ordinarie, azioni privilegiate, warrant e in altri titoli collegati alle azioni. Il Comparto può investire fino al 20% delle sue attività nette in Azioni A cinesi via Stock Connect. Gli investimenti in titoli quotati in borse che non sono Mercati Riconosciuti saranno trattati come investimenti in titoli non quotati (vedi “Appendice A” del Prospetto – “Poteri e limiti di investimento”) fino a quando tali borse non saranno considerate Mercati Riconosciuti.
Al fine di incrementare il rendimento e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) utilizzare opzioni, contratti a termine (future) e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini di investimento e della gestione efficiente del portafoglio (compresa la copertura).
Il Comparto può investire, in quantità limitata, in quote/azioni di altri organismi di investimento collettivo compresi i Comparti della Società e ETF aperti, che sono investimenti ammissibili per gli OICVM ai sensi della Legge del 2010.
Il Consulente per gli Investimenti integra la considerazione delle tematiche ESG nel proprio processo decisionale di investimento, compreso in fase di verifica e ricerca, nella valutazione, nella selezione degli attivi, nella costruzione del portafoglio, e nella verifica su base continuativa degli investimenti e nella gestione del portafoglio. Nel fare ciò, il Consulente per gli Investimenti prende in debita considerazione la rilevanza e la potenziale importanza dei Rischi di Sostenibilità per una particolare opportunità di
investimento o per il portafoglio nel suo complesso nel contesto dell’obiettivo di investimento e dell’orizzonte temporale previsto per la detenzione di un titolo specifico. I Rischi di Sostenibilità possono avere un impatto negativo sul valore di un titolo o di un portafoglio. Al fine di mitigare tali rischi, il Consulente per gli Investimenti può vendere o sottopesare un titolo, avviare un dialogo/interlocuzione attivi con il management della società o apportare modifiche alle allocazioni top-down in aree geografiche, settori o classi di attività. Nell’attuare la sua integrazione dei Rischi di Sostenibilità, il Consulente per gli Investimenti può utilizzare una combinazione di fonti di informazione, comprese le informazioni divulgate dalle società, le informazioni non divulgate dalle società e la ricerca e i dati di terzi.
I criteri ESG sono tenuti in considerazione dal Consulente per gli Investimenti sia durante il processo di ricerca che in quello di investimento per selezionare degli investimenti che limitino il Rischio di Sostenibilità. Questi criteri possono includere, a titolo non esaustivo, le emissioni di carbonio, la gestione delle risorse, la biodiversità, la gestione dei rapporti di lavoro, la diversità (ad esempio quella nei consigli), la salute e la sicurezza, la sicurezza dei prodotti, la riservatezza e la sicurezza dei dati, le retribuzioni dei dirigenti, l’indipendenza dei consigli di amministrazione e i diritti degli azionisti.
Il Consulente per gli Investimenti ritiene che le società con team di gestione lungimiranti che stabiliscono strategie proattive sulle tematiche ESG saranno meglio posizionate da un punto di vista commerciale e finanziario nel lungo termine rispetto alle società che non li considerano. Il Comparto investirà in società che seguono pratiche di buona governance e che mostrano rispetto alle loro pari una forte gestione dei fattori ambientali e sociali di maggiore importanza. Il Comparto cercherà di escludere alcune società che sono altamente esposte al Rischio di Sostenibilità applicando sia un approccio “best in class” (migliore della categoria) che di tipo “best effort” (migliori sforzi) a questo aspetto della propria selezione degli investimenti. Applicando un approccio “best-in-class”, viene data priorità alle società meglio posizionate dal punto di vista non finanziario all’interno del loro settore di attività, senza favorire o escludere un settore rispetto all’indice di borsa utilizzato come base di partenza. Applicando un approccio “best-effort”, la priorità è data agli emittenti che mostrano nel tempo un miglioramento o buone prospettive per le loro pratiche e performance ESG.
Il Consulente per gli Investimenti si concentra sull’attenzione degli amministratori delle società per quelle che il Consulente per gli Investimenti reputi essere delle questioni ambientali e/o sociali di notevole importanza con le quali la società stessa deve confrontarsi. L’applicazione di tali criteri ESG comporterà una riduzione del 20% o superiore dell’universo di investimento, come definito nei primi tre paragrafi che precedono. L’obiettivo del Consulente degli
Investimenti sarà di assicurare che almeno il 90% del portafoglio del Comparto venga sottoposto all’analisi dei criteri ESG sopra descritta.
Inoltre, il Comparto cerca di ottenere una impronta di carbonio inferiore rispetto a quella dell’indice MSCI Frontier Emerging Markets Index (sulla base dei dati di terze parti disponibili).
Gli investimenti non devono consapevolmente includere alcuna società la cui attività principale, secondo la metodologia del Consulente per gli Investimenti, riguarda quanto segue:
- estrazione di carbone;
- sabbie bituminose;
- petrolio e gas dell’Artide;
- tabacco;
- intrattenimento per adulti;
- gioco di azzardo e
- settore armi: armi da fuoco per uso civile, munizioni a grappolo, armi e mine terrestri.

Ai fini delle restrizioni agli investimenti sopra descritte, per attività principale si intende quella che rappresenta più del 10% dei ricavi della società in questione, come classificata da MSCI, ad eccezione delle sabbie bituminose, del petrolio e gas dell’Artide e del gioco d’azzardo, per i quali la soglia è il 5% dei ricavi, e il settore armi, per il quale la soglia è lo 0%.
Il Consulente per gli Investimenti può, a propria discrezione, decidere di applicare nel tempo ulteriori restrizioni agli investimenti legate alle tematiche ESG, comprese società che non rispettano i criteri di esclusione sopra indicati, che ritiene siano coerenti con gli obiettivi di investimento. Tali restrizioni aggiuntive saranno pubblicate sul sito www.morganstanleyinvestmentfunds.com e sul sito www.morganstanley.com/im. Le esclusioni sono decise in base alle analisi proprietarie del Consulente per gli Investimenti piuttosto che facendo affidamento sulle analisi di terzi. Tuttavia, tali analisi possono essere supportate da ricerche di terzi sulle controversie in materie ESG e sul coinvolgimento delle imprese. I criteri di esclusione sono applicati a tutti gli investimenti azionari del Comparto. I criteri di esclusione non saranno applicati agli investimenti sui quali il Consulente per gli Investimenti non ha il controllo diretto delle partecipazioni sottostanti, come ad esempio gli organismi di investimento collettivo o gli ETF aperti. I criteri di esclusione sono soggetti a revisione periodica e ogni modifica sarà riflessa nel documento sulle politiche di esclusione. Gli investimenti detenuti dal Comparto che diventino non ammissibili dopo essere stati acquisiti per il Comparto saranno venduti. Tali vendite saranno disposte con tempistiche determinate dal Consulente per
gli Investimenti, tenendo conto in primo luogo degli interessi degli Azionisti del Comparto.
Il Comparto fa riferimento a dati ESG di terzi durante il processo di ricerca sui titoli, ma non si basa su di essi per la costruzione del portafoglio. Il Consulente per gli Investimenti si affida alle proprie analisi proprietarie per la selezione dei titoli e la costruzione del portafoglio piuttosto che ad analisi di terzi. Tuttavia, in alcuni casi, i dati su emittenti specifici o sulle esclusioni di cui sopra potrebbero non essere disponibili e/o essere stimati dal Consulente per gli Investimenti utilizzando stime ragionevoli o dati di terzi.
Il Comparto è gestito attivamente e i riferimenti agli indici MSCI Emerging Markets Net Index o MSCI Frontier Emerging Markets Index servono a definire una parte dell’allocazione geografica in cui il Comparto può investire. Il Consulente per gli Investimenti ha piena discrezione sulla composizione del patrimonio del Comparto. Mentre il Comparto deterrà per lo più attività dei Paesi indicati negli indici MSCI Emerging Markets Net Index o MSCI Frontier Emerging Markets Index dei Paesi e potrà investire in titoli di tali Paesi in proporzioni diverse, esso potrà anche detenere attività che non sono esposte ai paesi indicati negli indici MSCI Emerging Markets Net Index o MSCI Frontier Emerging Markets Index. Pertanto, non vi sono limiti alla misura in cui la performance del Comparto può discostarsi dagli indici MSCI Emerging Markets Net Index o MSCI Frontier Emerging Markets Index.
La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento del Next Gen Emerging Markets Fund, questo comparto può essere adatto per investitori che:
- Intendono investire in titoli azionari.
- Ricercano un apprezzamento del capitale a lungo termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni dei proventi come illustrato nel paragrafo “Politica di distribuzione dei dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

PARAMETRIC EMERGING MARKETS FUND
L’obiettivo d’investimento del Parametric Emerging Markets Fund è di cercare un apprezzamento del capitale nel lungo termine investendo principalmente in un portafoglio diversificato di titoli azionari di società Situate nei Paesi dei mercati emergenti. I Paesi dei mercati emergenti sono generalmente quelli non considerati come Paesi con mercati sviluppati, e quindi non ricompresi nell’indice MSCI World Index. Il Comparto intende investire principalmente in titoli di società situate in paesi inclusi nell’indice MSCI Emerging Markets Index o nel MSCI Frontier Markets Index.
Gli investimenti principali del Comparto si limiteranno alle ricevute di deposito (o depositary receipts, come American Depositary Receipts o “ADR”, Global Depositary Receipts o “GDR” e Non- Voting Depositary Receipts “NVDRS”), nonché alle azioni ordinarie e privilegiate.
Il Comparto può anche investire, in via accessoria, in titoli azionari al di fuori dell’universo di investimento principale del Comparto, Titoli a Reddito Fisso, warrant su titoli, Attività Equivalenti alla Liquidità e altri titoli collegati ad azioni.
Nell’ambito dell’integrazione dei fattori ambientali, sociali e di governo societario (“
ESG
”) e del rischio di sostenibilità nel suo processo d’investimento, nonché in risposta agli sviluppi normativi europei e alle preferenze degli investitori riguardo agli investimenti in società direttamente coinvolte nello sviluppo, nella produzione, nella manutenzione o nel commercio delle cosiddette “armi controverse”, il Comparto ha adottato una politica di esclusione di tali investimenti dal suo portafoglio. Inoltre, pur non perseguendo particolari obiettivi ambientali, sociali o di governance, il Comparto escluderà gli investimenti sulla base di criteri coerenti con il Global Compact delle Nazioni Unite e la lista di esclusione della Norges Bank. Un elenco pubblico delle società presenti nella lista di esclusione della Norges Bank è disponibile al seguente sito web: https://www.nbim.no/en/responsibility/exclusion-of-companies/. Per quanto riguarda le società da escludere, il Comparto prenderà in considerazione la gravità del comportamento della società, la pervasività all’interno e/o la rilevanza per la sua attività, e la capacità di risposta del management ai problemi.
Al fine di qualificarsi come “Comparto Azionario” ai sensi dell’art. 2, par. 6 della legge tedesca sulla tassazione degli investimenti, almeno il 51% del Valore Patrimoniale Netto del Comparto sarà investito su base continuativa in partecipazioni in titoli azionari autorizzati alla negoziazione ufficiale in una borsa valori o inclusi in un mercato organizzato.
Il Comparto può investire, in quantità limitata, in quote/azioni di altri organismi di investimento collettivo compresi i Comparti della Società e ETF aperti, che siano investimenti ammissibili per gli OICVM ai sensi della Legge del 2010.
Al fine di incrementare il rendimento e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) utilizzare opzioni, contratti a termine (future) e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini della gestione efficiente del portafoglio (compresa la copertura).
Il Comparto è gestito attivamente e fa riferimento all’indice MSCI Emerging Markets Index o al MSCI Frontier Markets Index allo scopo di definire un’allocazione geografica dei Paesi in cui il Comparto investirà. Il Consulente per gli Investimenti ha piena discrezione in merito alla composizione delle attività del Comparto. Se da un lato il Comparto deterrà generalmente attività nell’ambito dei Paesi ricompresi nel MSCI Emerging Markets Index o nel MSCI Frontier Markets Index, esso può anche investire negli stessi titoli con proporzioni diverse tra tali Paesi, e può detenere attività che non sono esposte ai Paesi ricompresi nel MSCI Emerging Markets Index o nel MSCI Frontier Markets Index. Pertanto, non vi sono limiti alla misura in cui la performance del Comparto può discostarsi da quella del MSCI Emerging Markets Index o del MSCI Frontier Markets Index.
La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Gli investimenti sottostanti il Comparto non tengono conto dei criteri dell’UE per le attività ecosostenibili.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento del Parametric Emerging Markets Fund, questo comparto può essere adatto per investitori che:
- Intendono investire in titoli azionari.
- Ricercano un apprezzamento del capitale a lungo termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

PARAMETRIC GLOBAL DEFENSIVE EQUITY FUND
L’obiettivo d’investimento del Parametric Global Defensive Equity Fund è quello di fornire un’esposizione azionaria difensiva che prevedibilmente darà una performance corretta per il rischio favorevole rispetto all’indice MSCI All Country World Index in USD Net (base). Il Comparto genera proventi attraverso l’incasso di premi su opzioni nonché i rendimenti delle posizioni in indici azionari detenute e dalle Attività Equivalenti alla Liquidità detenute. A tale riguardo, il Comparto venderà opzioni call (di acquisto) su indici azionari in relazione a indici azionari idonei per gli OICVM che in aggregato forniranno un’esposizione ai mercati simili a quelli compresi nell’indice MSCI All Country World Index in USD Net (base) e venderà opzioni put (di vendita) su indici azionari in relazione a indici azionari idonei per gli OICVM che in aggregato forniranno un’esposizione ai mercati simili a quelli compresi nell’indice MSCI All Country World Index in USD Net (base). Pertanto, la politica d’investimento del Comparto è concepita per capitalizzare il premio per il rischio di volatilità.
Il Comparto investirà in un portafoglio di base che è generalmente composto da: (i) posizioni su indici azionari normalmente costituite da ETF regolamentati armonizzati su indici azionari; e (ii) Attività Equivalenti alla Liquidità, che consisteranno principalmente in titoli a reddito fisso con una scadenza residua massima di un anno o meno. Il Comparto avrà generalmente delle esposizioni ai punti
(i) e (ii) uguali (e cioè dire che il 50% del Valore Patrimoniale Netto del Comparto sarà investito in ciascuno dei punti (i) e (ii)), tuttavia il portafoglio di base sarà riequilibrato periodicamente qualora l’esposizione si discosti dall’esposizione prevista di oltre il 5% (vale a dire qualora l’esposizione a (i) o (ii) scenda al di sotto del 45% del Valore Patrimoniale Netto del Comparto o superi il 55% del Valore Patrimoniale Netto del Comparto).
Nessuno dei suddetti ETF o strumenti mercato monetario applicherà commissioni di gestione annuali superiori al 3% del suo valore patrimoniale netto, e sarà comunque domiciliato nello SEE, nel Regno Unito, negli Stati Uniti, a Guernsey, Jersey o nell’Isola di Man.
Il Comparto può anche investire, in via accessoria, in titoli azionari non conformi ai criteri per gli investimenti principali del Comparto, titoli a reddito fisso, warrant su titoli, Attività Equivalenti alla Liquidità, nonché in ETF indicizzati soggeti a regolamentazione che hanno le caratteristiche di fondi di investimento alternativi (“FIA”) ma che sono investimenti consentiti per gli OICVM, e in contratti future su indici su azioni negoziati in mercati regolamentati.
Al fine di qualificarsi come “Comparto Azionario” ai sensi dell’art. 2, par. 6 della legge tedesca sulla tassazione degli investimenti, almeno il 25% del Valore Patrimoniale Netto del Comparto sarà investito su base continuativa in partecipazioni in titoli azionari autorizzati alla negoziazione ufficiale in una borsa valori o inclusi in un mercato organizzato.
Al fine di incrementare il rendimento e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) utilizzare opzioni, contratti a termine (future) e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini di investimento e della gestione efficiente del portafoglio (compresa la copertura).
Il Consulente per gli Investimenti non integra i rischi di sostenibilità nelle sue decisioni d’investimento in quanto non sono rilevanti data la strategia di investimento del Comparto. Ulteriori informazioni sull’integrazione dei rischi di sostenibilità in relazione alla Società sono contenute nella sezione del Prospetto intitolata “Informazioni generali riguardanti l’integrazione del Rischio di Sostenibilità”.
Il Comparto sarà gestito attivamente e non è concepito per seguire l’indice MSCI All Country World Index in USD Net (base) tranne nella misura in cui gli ETF in cui il Comparto investirà saranno selezionati in modo da fornire un’esposizione a mercati simili a quelli compresi nell’indice MSCI All Country World Index in USD Net (base).
Informativa prevista dal Regolamento sulla Tassonomia
Gli investimenti sottostanti il Comparto non tengono conto dei criteri dell’UE per le attività ecosostenibili.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento del Parametric Global Defensive Fund, questo comparto può essere adatto per investitori che:
- Intendono investire in titoli azionari.
- Ricercano un apprezzamento del capitale a lungo termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

SAUDI EQUITY FUND
L’obiettivo d’investimento del Saudi Equity Fund è l’aumento a lungo termine del valore del capitale, e la crescita, denominati in Dollari USA.
Il Comparto cercherà di raggiungere il proprio obiettivo di investimento investendo principalmente in titoli azionari di emittenti quotati e negoziati sul mercato principale della Borsa Saudita, il Tadawul, nonché degli emittenti nel corso di una offerta pubblica di vendita iniziale (IPO) (comprese le emissioni di diritti, e fatte salve le restrizioni indicate di seguito). Gli investimenti del Comparto in azioni quotate possono includere investimenti in azioni quotate di società più piccole (vale a dire quelle che hanno un valore di mercato inferiore a 1 miliardo di SAR).
Inoltre, il Comparto può investire fino al 20% del proprio patrimonio netto in uno o più fondi comuni di investimento immobiliare (Real Estate Investment Trust – REIT) di tipo chiuso idonei, quotati nel Tadawul, nonché in quote di REIT di tipo chiuso idonei offerti nel corso di un’IPO e che saranno quotati a tempo debito nel Tadawul.
Al fine di incrementare i rendimenti e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) utilizzare opzioni, contratti a termine (future) e altri derivati, quotati in borsa o trattati “over the counter”, ai fini di investimento e della gestione efficiente del portafoglio (compresa la copertura).
Il Comparto può anche investire, in via accessoria, in titoli azionari non conformi ai suddetti requisiti, titoli di debito convertibili in azioni ordinarie, azioni privilegiate, Attività Equivalenti alla Liquidità, warrant su titoli e altri titoli collegati ad azioni.
Il Comparto è gestito attivamente e non è concepito per seguire un benchmark. La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Gli investimenti sottostanti il Comparto non tengono conto dei criteri dell’UE per le attività ecosostenibili.
Alla luce dell’obiettivo di investimento del Saudi Equity Fund, questo comparto può essere adatto per investitori che:
- Intendono investire in titoli azionari.
- Ricercano un apprezzamento del capitale a lungo termine.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischioDate di Trattazione e regolamenti per il Saudi Equity Fund.

Le Date di Trattazione per il Saudi Equity Fund prenderanno in considerazione sia il calendario delle negoziazioni dell’Arabia Saudita che quello del Lussemburgo. Nel presente Prospetto, i riferimenti alla Data di Trattazione per quanto riguarda il Saudi Equity Fund indicheranno ogni lunedì, martedì, mercoledì o giovedì in cui i mercati finanziari dell’Arabia Saudita e del Lussemburgo sono aperti per le negoziazioni. Il Saudi Equity Fund non sarà disponibile per operazioni che abbiano luogo in una Data di Trattazione immediatamente precedente una festività saudita di più giorni, come le festività Eid. Inoltre, non vi saranno regolamenti di sottoscrizioni e rimborsi del Saudi Equity Fund il venerdì, e i regolamenti delle sottoscrizioni e dei rimborsi terranno conto dei giorni di chiusura per le banche per i Dollari USA e i Riyal sauditi. L’elenco dei “Giorni di Non Trattazione” e dei giorni in cui non si effettuano regolamenti sarà disponibile nel sito della Società (www.morganstanleyinvestmentfunds.com) e sarà preventivamente aggiornato almeno ogni sei mesi. Tuttavia, tale elenco potrà di volta in volta essere ulteriormente modificato in presenza di eventi eccezionali, nel caso in cui gli Amministratori ritengano che ciò sia nel migliore interesse degli Azionisti del Comparto.
SUSTAINABLE ASIA EQUITY FUND
L’obiettivo d’investimento del Sustainable Asia Equity Fund è l’aumento a lungo termine del valore del capitale, denominato in Dollari USA, mediante investimenti principalmente in titoli azionari di società che hanno sede o che svolgono la maggior parte della loro attività economica in Asia, escluso il Giappone, in modo da trarre profitto dalla dinamica capacità di crescita della regione. Nel perseguire tale obiettivo, il Consulente per gli Investimenti considererà dei criteri ESG (come di seguito descritti) per investire in società che hanno risultati migliori delle loro pari in una o più tematiche legate alla sostenibilità e sono posizionate in modo tale da beneficiare o contribuire allo sviluppo sostenibile dei Paesi in cui operano, sulla base dei criteri ESG del Consulente per gli Investimenti. L’applicazione di tali criteri ESG comporterà una riduzione dell’universo di investimento del 20% o superiore.
Il Comparto può anche investire, in via accessoria, in strumenti di debito convertibili in azioni ordinarie, azioni privilegiate, obbligazioni, note di partecipazione, warrant, e, in quantità limitata, anche in organismi di investimento collettivo compresi i fondi chiusi ed i Comparti della Società, ETF e titoli non trattati ampiamente.
In relazione a questo Comparto, “Sostenibile” significa che il Consulente per gli Investimenti considererà anche le tematiche della sostenibilità e le questioni ESG quando vengono prese delle decisioni in merito agli investimenti. Il Comparto investirà in società dei mercati della regione Asia escluso il Giappone, che considerano e/o contribuiscono positivamente a una o più tematiche di sostenibilità, tra cui, a titolo esemplificativo, il cambiamento
climatico, il capitale naturale, il capitale umano, l’accessibilità, l’economicità e l’innovazione/infrastrutture. Il Comparto cercherà inoltre di allinearsi agli obiettivi dell’Accordo di Parigi sui cambiamenti climatici. Il Comparto cerca di ottenere una impronta di carbonio inferiore rispetto a quella dell’indice MSCI All Country Asia ex-Japan Net Index.
Il Consulente per gli Investimenti ritiene che le società con team di gestione lungimiranti che stabiliscono strategie proattive su questi temi di sostenibilità ed ESG saranno meglio posizionate da un punto di vista commerciale e finanziario nel lungo termine rispetto alle società che non li considerano. Il Comparto cerca di investire in società con ricavi da prodotti, politiche, iniziative, leadership di settore e/o obiettivi prefissati per dedicarsi in modo proattivo a una o più delle suddette tematiche di sostenibilità. Il Consulente per gli Investimenti supporterà questo processo di selezione dei titoli con la ricerca e l’analisi, comprese interlocuzioni dirette con le società, e con dati di terzi.
Oltre a investire in società che seguono buone pratiche di governance e che mostrano una forte gestione dei fattori di sostenibilità rispetto alle loro pari, il Comparto investirà in società dell’Asia, escluso il Giappone, che offrono soluzioni remunerative e adatte a esigenze diverse per affrontare urgenti questioni di sostenibilità, tra cui il cambiamento climatico e la gestione dell’ambiente/delle risorse. Il Comparto si concentrerà su società che stanno contribuendo positivamente allo sviluppo sostenibile dei paesi dell’Asia escluso il Giappone, e cercherà di escludere alcune società che sono altamente esposte al Rischio di Sostenibilità. Fino al 10% del portafoglio del Comparto può consistere in attivi non assoggettati all’analisi di sostenibilità sopra descritta.
Il Consulente per gli Investimenti utilizzerà un approccio di investimento top-down per individuare delle opportunità di investimento nell’ambito dell’universo degli investimenti consentiti, e selezionerà delle società utilizzando il proprio processo di selezione dei titoli di tipo bottom-up basato sui fondamentali.. I criteri ESG sono tenuti in considerazione dal Consulente per gli Investimenti sia durante il processo di ricerca che in quello di investimento per limitare l’esposizione al Rischio di Sostenibilità e cercare opportunità di investimento che sono allineate alle tematiche di sostenibiità sopra indicate. Questi criteri possono includere, a titolo non esaustivo, le emissioni di carbonio, la scarsità d’acqua, la gestione dei rifiuti, la biodiversità, la gestione dei rapporti di lavoro, la diversità di genere, la salute e la sicurezza, la sicurezza dei prodotti, la riservatezza e la sicurezza dei dati, le retribuzioni dei dirigenti, l’indipendenza dei consigli di amministrazione e i diritti degli azionisti. Il Consulente per gli Investimenti si concentra sull’attenzione degli amministratori delle imprese per quelle che il Consulente per gli Investimenti reputi essere delle questioni ambientali e/o sociali di notevole importanza
con le quali l’impresa stessa deve confrontarsi, nonché per le pratiche di governance societaria.
Gli investimenti non devono consapevolmente includere alcuna impresa attiva nei seguenti settori:
- tabacco
- 20
- ;
- intrattenimento per adulti;
- armi da fuoco per uso civile;
- armi controverse;
- carbone
- 21
- ;
- sabbie bituminose;
- 22
- estrazione di petrolio nell’Artide;
- 23 
- e
- gioco di azzardo
- 24
- .

Il Consulente per gli Investimenti può, a propria discrezione, decidere di applicare nel tempo ulteriori restrizioni agli investimenti legate alle tematiche ESG che ritiene coerenti con gli obiettivi di investimento. Tali restrizioni aggiuntive saranno pubblicate sul sito www.morganstanleyinvestmentfunds.com e sul sito www.morganstanley.com/im. Le esclusioni sono decise in base alle analisi proprietarie del Consulente per gli Investimenti piuttosto che facendo affidamento sulle analisi di terzi. Tuttavia, tali analisi possono essere supportate da ricerche di terzi sulle controversie in materie ESG e sul coinvolgimento delle imprese. I criteri di esclusione sono applicati a tutti gli investimenti azionari del Comparto. I criteri di esclusione non saranno applicati agli investimenti sui quali il Consulente per gli Investimenti non ha il controllo diretto delle partecipazioni sottostanti, come ad esempio gli organismi di investimento collettivo o gli ETF aperti. I criteri di esclusione sono soggetti a revisione periodica e ogni modifica sarà riflessa nel documento sulle politiche di esclusione. Gli investimenti detenuti dal Comparto che diventino non ammissibili dopo essere stati acquisiti per il Comparto saranno venduti. Tali vendite saranno disposte con tempistiche determinate dal Consulente per gli Investimenti, tenendo conto in primo luogo degli interessi degli Azionisti del Comparto.
20 
Il Comparto non investirà in titoli di emittenti con il 5% o più dei loro ricavi derivanti dalla lavorazione di prodotti a base di tabacco o dalla fornitura di prodotti essenziali per la manifattura di prodotti a base di tabacco come i filtri.
21 
Il Comparto non investirà in titoli di emittenti che hanno ricavi da miniere e estrazione di carbone termico, o in titoli di emittenti che traggono il 10% o più dei loro ricavi da elettricità ricavata dal carbone.
22 
Il Comparto non investirà in titoli di emittenti con il 5% o più dei loro ricavi derivanti dall’estrazione o produzione di petrolio da sabbie bituminose.
23 
Il Comparto non investirà in titoli di emittenti con il 5% o più dei loro ricavi derivanti dall’estrazione o produzione di petrolio nella regione artica, compreso l’Artic National Wildlife Refuge (ANWR).
24 
Il Comparto non investirà in titoli di emittenti con il 5% o più dei loro ricavi derivanti dal gioco d’azzardo.
Il Comparto fa riferimento a dati ESG di terzi durante il processo di ricerca sui titoli, ma non si basa su di essi per la costruzione del portafoglio. Il Consulente per gli Investimenti si affida alle proprie analisi proprietarie per la selezione dei titoli e la costruzione del portafoglio piuttosto che ad analisi di terzi. Tuttavia, in alcuni casi, i dati su emittenti specifici o sulle esclusioni di cui sopra potrebbero non essere disponibili e/o essere stimati dal Consulente per gli Investimenti utilizzando stime ragionevoli o dati di terzi.
Il Consulente per gli Investimenti integra il Rischio di Sostenibilità nel proprio processo decisionale di investimento, compreso in fase di verifica e ricerca, nella valutazione, nella selezione degli attivi, nella costruzione del portafoglio, e nella verifica su base continuativa degli investimenti e nella gestione del portafoglio. Nel fare ciò, il Consulente per gli Investimenti prende in debita considerazione la rilevanza e la potenziale importanza dei Rischi di Sostenibilità per una particolare opportunità di investimento o per il portafoglio nel suo complesso nel contesto dell’obiettivo di investimento e dell’orizzonte temporale previsto per la detenzione di un titolo specifico. I rischi di sostenibilità possono avere un impatto negativo sul valore di un titolo o di un portafoglio. Al fine di mitigare tali rischi, il Consulente per gli Investimenti può vendere o sottopesare un titolo, avviare un dialogo/interlocuzione attivi con il management della società o apportare modifiche alle allocazioni top-down in aree geografiche, settori o classi di attività. Nell’attuare la sua integrazione dei rischi di sostenibilità, il Consulente per gli Investimenti può utilizzare una combinazione di fonti di informazione, comprese le informazioni divulgate dalle società, le informazioni non divulgate dalle società e la ricerca e i dati di terzi.
Per evitare dubbi, i titoli azionari comprendono i certificati rappresentativi di azioni in deposito “depositary receipts”(compresi “American Depositary Receipts” – ADRs -; “Global Depositary Receipts” – GDRs -; “International Depositary Receipts” – IDRs – e “European Depositary Receipts” – EDRs -) e i “Real Estate Investment Trusts” (REITS) chiusi. Il Comparto investe nei mercati della regione Asia, escluso il Giappone, come Cina, Hong Kong, India, Malesia, Singapore, Corea del Sud, Taiwan, Indonesia e Tailandia. Vengono anche ricercate anche ulteriori opportunità, ovunque la legislazione lo permetta e in qualsiasi mercato emergente e di frontiera dell’Asia, comprese Azioni A cinesi via Stock Connect. Il Comparto può investire fino al 20% delle sue attività nette in Azioni A cinesi via Stock Connect.
Il Comparto utilizza l’indice MSCI All Country Asia ex-Japan Net Index come parametro di riferimento per rappresentare l’universo azionario dell’Asia escluso il Giappone. Il benchmark è usato solo ai fini di confronto del rendimento e non integra alcuna caratteristica ambientale o sociale.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento del Sustainable Asia Equity Fund, questo comparto può essere adatto per investitori che:
- Intendono investire in titoli azionari.
- Ricercano un apprezzamento del capitale a lungo termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

SUSTAINABLE EMERGING MARKETS EQUITY FUND
L’obiettivo del Sustainable Emerging Markets Equity Fund è massimizzare il rendimento totale, denominato in Dollari USA, investendo principalmente in titoli azionari di paesi emergenti. Il Comparto investirà principalmente nei Paesi con Mercati Emergenti (come di seguito definiti) nei quali la Società ritiene che l’economia si stia fortemente sviluppando e nei quali i mercati stanno evolvendo verso forme più complesse. Per paesi con “Mercati Emergenti”, nell’ambito di questo Comparto, si intendono quelli così definiti dall’MSCI Emerging Markets Net Index nella misura in cui i mercati di questi paesi possano essere ritenuti mercati riconosciuti (“Mercati Riconosciuti”) ai sensi dell’Articolo 41 (1) della Legge del 2010. Ai fini del raggiungimento del suo investimento principale nei paesi con Mercati Emergenti, il Comparto può investire nei titoli di società costituite ai sensi delle leggi, o con la sede principale o situate in paesi con Mercati Emergenti e potrà anche investire in titoli di società costituite ai sensi delle leggi, o con la sede principale o situate in paesi con Mercati Sviluppati (nell’ambito del presente Comparto, come definiti dal MSCI World Index) qualora il valore dei titoli di tali società sia influenzato principalmente dalla situazione di un paese emergente o il cui principale mercato sia in un paese emergente, o qualora al momento dell’acquisto il 50% del reddito della società in questione, da solo o su base consolidata, derivi o da beni prodotti, vendite effettuate o servizi resi in uno o più paesi con Mercati Emergenti o nel caso in cui la Società abbia più del 50% dei propri attivi, attività principali e/o dipendenti in paesi con Mercati Emergenti o in altri strumenti collegati ad azioni situati in Mercati
Sviluppati ma che prevedano un’esposizione su Mercati Emergenti (ad esempio i depositary receipts) (“Titoli Esposti ai Mercati Emergenti”).
In via accessoria, il Comparto può investire in azioni di Mercati di Frontiera idonei (intendendosi i paesi che non siano né Mercati Sviluppati né Mercati Emergenti come definiti per questo Comparto), oppure in titoli azionari non conformi ai requisiti per gli investimenti principali del Comparto. Il Comparto può anche investire in via accessoria in quote/azioni di altri organismi di investimento collettivo compresi i Comparti della Società e i comparti chiusi, Azioni A cinesi via Stock Connect, Titoli a Reddito Fisso, titoli di debito convertibili in azioni ordinarie, azioni privilegiate, note di partecipazione e warrant, in ciascun caso al fine di ottenere esposizione su Mercati Emergenti o su Mercati di Frontiera. Il Comparto può investire fino al 20% delle sue attività nette in Azioni A cinesi via Stock Connect. Nel corso di periodi nei quali la Società ritenga che mutamenti delle condizioni economiche, finanziarie o politiche lo rendano consigliabile e per temporanee esigenze di tutela, il Comparto può ridurre i suoi investimenti in titoli di paesi con Mercati Emergenti a meno del 50% delle attività del Comparto stesso ed investire in azioni di paesi con Mercati Sviluppati (sia Titoli Esposti ai Mercati Emergenti che non) o in Titoli a Reddito Fisso (che prevedano un’esposizione sia su Mercati Emergenti che su Mercati Sviluppati).
In relazione a questo Comparto, “Sostenibile” significa che il Consulente per gli Investimenti considererà anche i criteri ESG e le tematiche della sostenibilità quando vengono prese delle decisioni in merito agli investimenti.
Nel perseguire il proprio obiettivo, il Consulente per gli Investimenti considererà dei criteri ESG (come di seguito descritti) per investire in società che (i) hanno risultati migliori delle loro pari in una o più tematiche legate alla sostenibilità (come descritte in dettaglio più sotto) e (ii) sono posizionate in modo tale da beneficiare o contribuire allo sviluppo sostenibile dei Paesi in cui operano, sulla base dei criteri ESG del Consulente per gli Investimenti. L’applicazione di tali criteri ESG comporterà una riduzione del 20% o superiore dell’universo di investimento, come definito nei primi due paragrafi che precedono. L’obiettivo del Consulente degli Investimenti sarà di assicurare che almeno il 90% del portafoglio del Comparto venga sottoposto all’analisi di sostenibilità sopra descritta.
I criteri ESG comprendono, a titolo esemplificativo, le emissioni di carbonio, la gestione delle risorse, la gestione dei rifiuti, la biodiversità, la gestione dei rapporti di lavoro, la diversità di genere, la salute e la sicurezza, la sicurezza dei prodotti, la riservatezza e la sicurezza dei dati, le retribuzioni dei dirigenti, l’indipendenza dei consigli di amministrazione e i diritti degli azionisti. Le tematiche della sostenibilità comprendono, a titolo esemplificativo, il cambiamento climatico, il capitale naturale, il capitale umano,
l’accessibilità, l’economicità e l’innovazione/infrastrutture. Il Comparto cerca di ottenere a livello di portafoglio una impronta di carbonio inferiore rispetto a quella del MSCI Emerging Markets Net Index nel suo insieme. Focalizzando in modo crescente gli investimenti nelle società che contribuiscono positivamente e/o che si occupano di una o più tematiche di sostenibilità, compresi i cambiamenti climatici, il Comparto cercherà di allinearsi agli obiettivi dell’Accordo di Parigi.
Per quanto riguarda gli investimenti in società che fanno meglio delle loro pari in una o più tematiche della sostenibilità, il Consulente per gli Investimenti ritiene che le società con team di gestione lungimiranti che stabiliscono strategie proattive sulle tematiche di sostenibilità ed ESG descritte nella presente politica di investimento saranno meglio posizionate da un punto di vista commerciale e finanziario nel lungo termine rispetto alle società che non li considerano. Il Comparto cerca di investire in società con ricavi da prodotti, politiche, iniziative, leadership di settore e/o obiettivi prefissati per dedicarsi in modo proattivo a una o più delle suddette tematiche di sostenibilità. Il Consulente per gli Investimenti supporterà il processo di selezione dei titoli con la ricerca e l’analisi, comprese interlocuzioni dirette con le società, e con dati di terzi.
Oltre a investire in società che seguono buone pratiche di governance e che mostrano una forte gestione dei fattori di sostenibilità rispetto alle loro pari, il Comparto investirà in società dei Paesi con Mercati Emergenti, che offrono soluzioni remunerative e adatte a esigenze diverse per affrontare urgenti questioni di sostenibilità, tra cui il cambiamento climatico e la gestione dell’ambiente/delle risorse. A tale riguardo, il Comparto si concentrerà su società che stanno contribuendo positivamente allo sviluppo sostenibile dei paesi con Mercati Emergenti applicando sia un criterio “best in class” (migliore della categoria) che di tipo “best effort” (migliori sforzi) a questo aspetto della propria selezione degli investimenti. Applicando un approccio “best-in-class”, viene data priorità alle società meglio posizionate dal punto di vista non finanziario all’interno del loro settore di attività, senza favorire o escludere un settore rispetto all’indice azionario utilizzato come base di partenza. Applicando un approccio “best effort”, viene data priorità agli emittenti che dimostrano un miglioramento o buone prospettive per le loro pratiche e performance ESG nel tempo. Il Comparto cercherà anche di escludere le società che sono altamente esposte al Rischio di Sostenibilità.
Il Consulente per gli Investimenti utilizzerà un approccio di investimento top-down per individuare delle opportunità di investimento nell’ambito dell’universo degli investimenti consentiti, e selezionerà delle società utilizzando il proprio processo di selezione dei titoli di tipo bottom-up basato sui fondamentali. I criteri ESG sono tenuti in considerazione dal Consulente per gli Investimenti sia durante il processo di ricerca che in quello di investimento per limitare l’esposizione al Rischio di Sostenibilità e
cercare opportunità di investimento che sono allineate alle tematiche di sostenibilità sopra indicate. Il Consulente per gli Investimenti si concentra sull’attenzione degli amministratori delle imprese per quelle che il Consulente per gli Investimenti reputi essere delle questioni ambientali e/o sociali di notevole importanza con le quali l’impresa stessa deve confrontarsi, nonché per le pratiche di governance societaria.
Gli investimenti non devono consapevolmente includere alcuna impresa attiva nei seguenti settori:
- tabacco
- 25
- ;
- intrattenimento per adulti;
- armi da fuoco per uso civile;
- armi controverse;
- carbone
- 26
- ;
- sabbie bituminose
- 27
- ;
- estrazione di petrolio nell’Artide
- 28
- ; e
- gioco di azzardo
- 29
- .

Il Consulente per gli Investimenti può, a propria discrezione, decidere di applicare nel tempo ulteriori restrizioni agli investimenti legate alle tematiche ESG che ritiene coerenti con gli obiettivi di investimento. Tali restrizioni aggiuntive saranno pubblicate nel documento sulle politiche di esclusione, che è disponibile nel sito www.morganstanleyinvestmentfunds.com e nel sito www.morganstanley.com/im. Le esclusioni attuali (e quelle che possono essere eventualmente aggiunte in seguito) sono decise in base alle analisi proprietarie del Consulente per gli Investimenti piuttosto che facendo affidamento sulle analisi di terzi. Tuttavia, tali analisi possono essere supportate da ricerche di terzi sulle controversie in materie ESG e sul coinvolgimento delle imprese. I criteri di esclusione sono applicati a tutti gli investimenti azionari del Comparto. Le esclusioni non saranno applicate agli investimenti sui quali il Consulente per gli Investimenti non ha il controllo diretto delle partecipazioni sottostanti, come ad esempio gli organismi di investimento collettivo o gli ETF aperti. Le esclusioni sono soggette a revisione periodica e ogni modifica sarà riflessa nel documento sulle politiche di esclusione. Gli investimenti detenuti dal Comparto
25 
Il Comparto non investirà in titoli di emittenti con il 5% o più dei loro ricavi derivanti dalla lavorazione di prodotti a base di tabacco o dalla fornitura di prodotti essenziali per la manifattura di prodotti a base di tabacco come i filtri.
26 
Il Comparto non investirà in titoli di emittenti che hanno ricavi da miniere e estrazione di carbone termico, o in titoli di emittenti che traggono il 10% o più dei loro ricavi da elettricità ricavata dal carbone.
27 
Il Comparto non investirà in titoli di emittenti con il 5% o più dei loro ricavi derivanti dall’estrazione o produzione di petrolio da sabbie bituminose.
28 
Il Comparto non investirà in titoli di emittenti con il 5% o più dei loro ricavi derivanti dall’estrazione o produzione di petrolio nella regione artica, compreso l’Artic National Wildlife Refuge (ANWR).
29 
Il Comparto non investirà in titoli di emittenti con il 5% o più dei loro ricavi derivanti dal gioco d’azzardo.
che diventino non ammissibili dopo essere stati acquisiti per il Comparto saranno venduti. Tali vendite saranno disposte con tempistiche determinate dal Consulente per gli Investimenti, tenendo conto in primo luogo degli interessi degli Azionisti del Comparto.
Il Comparto fa riferimento a dati ESG di terzi durante il processo di ricerca sui titoli, ma non si basa su di essi per la costruzione del portafoglio. Il Consulente per gli Investimenti si affida alle proprie analisi proprietarie per la selezione dei titoli e la costruzione del portafoglio piuttosto che ad analisi di terzi. Tuttavia, in alcuni casi, i dati su emittenti specifici o sulle esclusioni di cui sopra potrebbero non essere disponibili e/o essere stimati dal Consulente per gli Investimenti utilizzando stime ragionevoli o dati di terzi.
Il Consulente per gli Investimenti integra il Rischio di Sostenibilità nel proprio processo decisionale di investimento, compreso in fase di verifica e ricerca, nella valutazione, nella selezione degli attivi, nella costruzione del portafoglio, e nella verifica su base continuativa degli investimenti e nella gestione del portafoglio. Nel fare ciò, il Consulente per gli Investimenti prende in debita considerazione la rilevanza e la potenziale importanza dei Rischi di Sostenibilità per una particolare opportunità di investimento o per il portafoglio nel suo complesso nel contesto dell’obiettivo di investimento e dell’orizzonte temporale previsto per la detenzione di un titolo specifico. I rischi di sostenibilità possono avere un impatto negativo sul valore di un titolo o di un portafoglio. Al fine di mitigare i Rischi di Sostenibilità, il Consulente per gli Investimenti può vendere o sottopesare un titolo interessato da tali rischi, avviare un dialogo/interlocuzione attivi con il management della società o apportare modifiche alle allocazioni top-down in aree geografiche, settori o classi di attività. Nell’attuare la sua integrazione dei rischi di sostenibilità, il Consulente per gli Investimenti può utilizzare una combinazione di fonti di informazione, comprese le informazioni divulgate dalle società, le informazioni non divulgate dalle società e la ricerca e i dati di terzi.
Il Comparto è gestito attivamente e i riferimenti al MSCI Emerging Markets Net Index hanno lo scopo di definire l’allocazione geografica dei Paesi in cui il Comparto investe. Il Consulente per gli Investimenti mantiene la piena discrezionalità in relazione alla composizione degli attivi del Comparto. Sebbene in generale il Comparto deterrà degli attivi dei Paesi ricompresi nel MSCI Emerging Markets Net Index, esso potrà anche investire in titoli di alcuni Paesi con proporzioni diverse rispetto alle ponderazioni nel MSCI Emerging Markets Net Index, e potrà anche detenere attivi non esposti ai Paesi ricompresi nel MSCI Emerging Markets Net Index. Pertanto, non vi sono limiti all’entità della deviazione della performance del Comparto rispetto al MSCI Emerging Markets Net Index. Il MSCI Emerging Markets Net Index è utilizzato solo
ai fini di comparazione della performance, e non integra caratteristiche ambientali o sociali.”
La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento del Sustainable Emerging Markets Equity Fund, questo comparto può essere adatto per investitori che:
- Intendono investire in titoli azionari.
- Ricercano un apprezzamento del capitale a medio termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

US ADVANTAGE FUND
L’obiettivo di investimento dell’ US Advantage Fund è l’aumento a lungo termine del valore del capitale, denominato in Dollari USA, mediante investimenti principalmente in titoli azionari di società che hanno sede negli Stati Uniti e, in via accessoria, in titoli di società non statunitensi. Un emittente può essere considerato provenire da un determinato paese (compresi gli Stati Uniti) o regione geografica se (i) il suo principale mercato di negoziazione è in quel determinato paese o regione geografica; (ii) a livello individuale o su base consolidata esso ottiene il 50% o più dei suoi ricavi annuali da merci prodotte, vendite effettuate o servizi resi in quel determinato paese o regione geografica; o (iii) esso è costituito ai sensi delle leggi di, o ha la sua sede principale in quel determinato paese o regione geografica. All’esito delle suddette verifiche, è possibile che un determinato emittente possa essere ritenuto provenire da più di un paese o regione geografica. In condizioni normali di mercato, l’obiettivo d’investimento del Comparto sarà perseguito investendo principalmente in titoli azionari di società costituite con grande capitalizzazione Il processo d’investimento privilegierà un processo di selezione di titoli bottom-up, in cerca di
investimenti interessanti a livello di singole società. Nella selezione dei titoli per l’investimento, il Consulente per gli Investimenti investe tipicamente in società che ritiene abbiano un significativo grado di notorietà e vantaggi competitivi sostenibili, con una visibilità commerciale superiore alla media, la capacità di impiegare capitali con rendimenti elevati, bilanci solidi e un rapporto rischio/ remunerazione interessante.
Al fine di incrementare i rendimenti e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) utilizzare opzioni, contratti a termine (future) e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini di investimento e della gestione efficiente del portafoglio (compresa la copertura).
Il Comparto può anche investire, in via accessoria, in azioni di società che non abbiano i requisiti sopra descritti, in strumenti di debito convertibili in azioni ordinarie, certificati rappresentativi di azioni in deposito (“depositary receipts”) (compresi “American Depositary Receipts” (ADRs) e “Global Depositary Receipts” (GDRs)), privilegiate e warrant su titoli, Azioni A cinesi via Stock Connect, Attività Equivalenti alla Liquidità e altri titoli collegati alle azioni. Il Comparto può investire fino al 10% delle sue attività nette in Azioni A cinesi via Stock Connect.
Il Consulente per gli Investimenti integra fattivamente la sostenibilità nel processo di investimento utilizzando i fattori ESG come un parametro aggiuntivo per la ricerca sui fondamentali, che può contribuire al processo decisionale per gli investimenti. Il Consulente per gli Investimenti cerca di comprendere come le iniziative ambientali e sociali delle società possano creare valore consolidando i vantaggi competitivi durevoli, creando opportunità di crescita, apportando profittabilità e/o allineandosi con i trend secolari di crescita. In generale, il Consulente per gli Investimenti si impegna con gli organi di gestione delle società per discutere le loro pratiche ESG, con l’obiettivo di identificare come i temi della sostenibilità presentino delle opportunità e rischi che possono essere rilevanti per il valore del titolo nel lungo termine. Gli altri aspetti del processo di investimento comprendono una valutazione sistematica, di proprietà del Consulente per gli Investimenti, delle politiche di governo societario, che si concentra sull’adeguamento dei compensi nel contesto della creazione di valore nel lungo periodo.
Gli investimenti non potranno ricomprendere consapevolmente qualsiasi società la cui attività principale riguardi i seguenti settori:
- tabacco 
- (titoli di emittenti classificati nel sottosettore “tabacco” (Tobacco) nei Global Industry Classification Standard (“GICS”), o che generano il 5% o più dei loro ricavi dalla manifattura di prodotti a base di tabacco);
- estrazione di carbone 
- (titoli di emittenti classificati nel sottosettore GICS “carbone e combustibili di consumo” (coal & consumable fuels)), o che generano il 10% o più dei loro ricavi dalla estrazione del carbone);
- armi, comprese armi da fuoco civili 
- (titoli di emittenti che generano il 10% o più dei loro ricavi dalla fabbricazione o produzione di armi da fuoco civili o munizioni) e 
- munizioni a grappolo e mine antiuo
- mo (titoli di emittenti che fabbricano, producono o distribuiscono munizioni a grappolo o mine antiuomo).

I dettagli delle suddette esclusioni si trovano nelle politiche di esclusione del Comparto, disponibili nel sito Internet della Società (www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im). In aggiunta a quanto precede, il Consulente per gli Investimenti può, a propria discrezione, decidere di applicare nel tempo ulteriori restrizioni agli investimenti legate alle tematiche ESG che ritiene coerenti con gli obiettivi di investimento. Tali restrizioni aggiuntive saranno pubblicate sul sito www.morganstanleyinvestmentfunds.com e sul sito www.morganstanley.com/im al momento della loro implementazione. Gli investimenti detenuti dal Comparto che diventino non ammissibili dopo essere stati acquisiti per il Comparto saranno venduti. Tali vendite saranno disposte con tempistiche determinate dal Consulente per gli Investimenti, tenendo conto in primo luogo degli interessi degli Azionisti del Comparto.
Il Comparto è gestito attivamente e non è concepito per seguire un benchmark. Pertanto, la gestione del Comparto non è vincolata dalla composizione di un benchmark. La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento dell’US Advantage Fund, questo comparto può essere adatto per investitori che:
- Intendono investire in titoli azionari.
- Ricercano un apprezzamento del capitale a medio termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

US CORE EQUITY FUND
L’obiettivo di investimento dello US Core Equity Fund è l’aumento a lungo termine del capitale, denominato in Dollari USA. Il Comparto investe principalmente in titoli azionari emessi da società di capitalizzazione media e grande, compresi certificati rappresentativi di azioni in deposito “depositary receipts” (American Depositary Receipts (ADR) e certificati di deposito globali “Global Depositary Receipts” – (GDR)). e “Real Estate Investment Trusts” (REITS) chiusi, emessi da società Situate negli Stati Uniti d’America.
Il processo d’investimento utilizza una combinazione di modelli quantitativi, per individuare i driver di mercato, e la ricerca fondamentale di singole azioni, per identificare società con valutazioni attraenti, potenziale di crescita al di sopra della media e rendimenti da dividendi competitivi.
Il Comparto può inoltre investire, in via accessoria, in titoli azionari che non soddisfano i requisiti di cui sopra, strumenti di debito convertibili in azioni ordinarie, azioni privilegiate, Attività Equivalenti alla Liquidità, warrant e altri titoli collegati alle azioni.
Al fine di incrementare il rendimento e/o come parte della strategia di investimento, il Comparto potrà (in conformità all’“Appendice A”) utilizzare opzioni, contratti a termine (future) e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini di investimento e della gestione efficiente del portafoglio (compresa la copertura).
Il Comparto è gestito attivamente e non è concepito per seguire un benchmark. Pertanto, la gestione del Comparto non è vincolata dalla composizione di un benchmark. La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Gli investimenti sottostanti il Comparto non tengono conto dei criteri dell’UE per le attività ecosostenibili.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento dello US Core Equity Fund, questo comparto può essere adatto per investitori che:
- Intendono investire in titoli azionari.
- Ricercano un apprezzamento del capitale a medio termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

US FOCUS PROPERTY FUND
30
L’obiettivo di investimento dello US Focus Fund è l’aumento a lungo termine del capitale, denominato in Dollari USA, investendo principalmente in un portafoglio concentrato e focalizzato di titoli azionari, compresi certificati rappresentativi di azioni in deposito o “depositary receipts” (tra i quali American Depositary Receipts (ADR) e certificati di deposito globali “Global Depositary Receipts” – (GDR)), di società operanti nel settore immobiliare o strettamente correlate al settore immobiliare Situate negli Stati Uniti che il Consulente per gli Investimenti reputa che abbiamo un potenziale
30 
A decorrere dal 12 dicembre 2022, la politica di investimento del Comparto sarà modificata al fine di promuovere, tra le altre caratteristiche, quelle ambientali o sociali, o una combinazione delle stesse, a condizione che le società in cui vengono effettuati gli investimenti seguano pratiche di buona governance. Pertanto, il Comparto ricadrà nell’ambito di applicazione dell’articolo 8 del SFDR.
Pertanto, il secondo e il terzo paragrafo saranno modificati come segue:
“Le società del settore immobiliare o strettamente correlate al settore immobiliare possono annoverare società attive principalmente nello sviluppo e/o la titolarità della proprietà di immobili che producono redditi, società che gestiscono, costruiscono, finanziano o vendono immobili, società con una parte sostanziale dei loro investimenti in immobili e/o servizi o prodotti connessi al settore immobiliare come, a titolo non esaustivo, gestione di immobili, intermediari, prodotti per la costruzione e tecnologie per le proprietà immobiliari, e veicoli di investimento collettivo con esposizione alle proprietà immobiliari, quali i fondi immobiliari pubblicamente quotati (“property unit trusts”), tutti i tipi ammessi di Real Estate Investment Trust (REITS) chiusi e gli organismi per l’investimento collettivo.
Il Comparto può investire, in via accessoria, in titoli azionari che non soddisfano i requisiti degli investimenti primari del Comparto, compresi a titolo non esaustivo azioni privilegiate e valori mobiliari privilegiati convertibili, strumenti di debito convertibili in azioni ordinarie, diritti e warrant per acquistare titoli azionari, azioni di società di investimento, partecipazioni in società di persone e altri titoli collegati alle azioni.”
Inoltre, il settimo paragrafo sarà sostituito dai seguenti paragrafi:
“Il Consulente per gli Investimenti integra attivamente la sostenibilità nel processo di investimento valutando i principali rischi e opportunità ESG nel processo bottom-up di selezione dei titoli, avvalendosi principalmente di fornitori ESG terzi per valutare e quantificare le performance ESG degli emittenti, integrando le ricerche di terzi con ricerche proprietarie condotte dal Consulente per gli Investimenti, tra cui l’utilizzo di un quadro di propria concezione per la valutazione e la quantificazione dei rischi e delle opportunità legate all’ESG, che si traduce in un aggiustamento quantitativo delle stime di valutazione, e attraverso l’interlocuzione con gli amministratori delle società per discutere i punti di forza, le debolezze e le opportunità legate all’ESG nel tentativo di realizzare un cambiamento positivo all’interno del settore. I temi ESG principali possono includere, a titolo esemplificativo ma non esaustivo: l’utilizzo dell’energia e delle fonti rinnovabili, l’utilizzo dell’acqua, le emissioni, la diversità e l’uguaglianza di genere, il lavoro e i diritti umani, la salute, il benessere e la sicurezza dei dipendenti e dei conduttori, e la governance e la divulgazione ESG della società. Nel tentativo di promuovere un cambiamento positivo e di incoraggiare le società a migliorare le proprie prestazioni in merito alle questioni ESG rilevanti, il Consulente per gli Investimenti può rivolgersi agli amministratori delle società con soluzioni interne competitive, casi aziendali finanziariamente validi e soluzioni pratiche che possono migliorare le loro operazioni immobiliari. Sebbene le considerazioni ESG siano parte integrante e fondamentale del processo d’investimento, esse sono solo uno dei diversi fattori determinanti utilizzati dal Consulente per gli Investimenti per stabilire se un investimento verrà effettuato o se ne verrà modificata l’entità nel portafoglio complessivo.
Gli investimenti non potranno annoverare consapevolmente qualsiasi società la cui attività principale in uno dei seguenti settori rappresenti più del 10% dei suoi ricavi:
- proprietà o gestione di immobili adibiti a carceri;
- proprietà o gestione di immobili adibiti alla lavorazione della cannabis;
- proprietà, manifattura o produzione di tabacco:
- proprietà, lavorazione o estrazione di carbone;
- proprietà, fabbricazione o produzione di armi controverse o armi da fuoco civili;
- proprietà, lavorazione o produzione di gas e petrolio proveniente dall’Artide.

previsto di incassi globali superiore a quello di altre opportunità di investimento presenti nella suddetta classe di attivi.
Le società del settore immobiliare o strettamente correlate al settore immobiliare possono annoverare società attive principalmente nello sviluppo e/o la titolarità della proprietà di immobili che producono redditi, società che gestiscono, costruiscono, finanziano o vendono immobili, società con una parte sostanziale dei loro investimenti in immobili e/o servizi connessi al settore immobiliare come, a titolo non esaustivo, gestione di immobili, intermediari, prodotti per la costruzione, e veicoli di investimento collettivo con esposizione alle proprietà immobiliari, quali i fondi immobiliari pubblicamente quotati (“property unit trusts”), tutti i tipi di Real Estate Investment Trust (REITS) chiusi e gli organismi per l’investimento collettivo.
Il Comparto può investire, in via accessoria, in titoli azionari che non soddisfano i requisiti degli investimenti primari del Comparto, azioni privilegiate e valori mobiliari privilegiati convertibili, strumenti di debito convertibili in azioni ordinarie, diritti e warrant per acquistare titoli azionari, azioni di società di investimento, partecipazioni in società di persone e altri titoli collegati alle azioni.
Il Comparto può, in misura limitata, investire in quote/azioni di altri organismi di investimento collettivo, compresi i Comparti della Società e gli ETF aperti, che siano investimenti idonei per gli OICVM ai sensi della Legge del 2010.
Al fine di incrementare il rendimento e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) utilizzare opzioni, contratti a termine (future) e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini di investimento e della gestione efficiente del portafoglio (compresa la copertura).
Il Consulente per gli Investimenti gestisce attivamente il Comparto utilizzando una metodologia bottom-up ad alta convinzione (high conviction) disciplinata e guidata dai fondamentali. Il Comparto sarà composto dai titoli che il Consulente per gli Investimenti reputa che offrano un potenziale previsto di incassi globali superiore
Gli investimenti non potranno annoverare consapevolmente le seguenti società:
- società coinvolte in importanti controversie in relazione alle loro attività e/o ai loro prodotti, nel caso in cui il Consulente per gli Investimenti ritenga che la controversia rilevante abbia un grave impatto sociale o ambientale;
- società che violano il Global Compact delle Nazioni Unite o i principi fondamentali dell’Ufficio Internazionale del Lavoro senza significative azioni di rimedio e miglioramento.

Il Consulente per gli Investimenti fa riferimento ai dati ESG di terzi e alle proprie analisi nel processo di ricerca dei titoli. Il Consulente per gli Investimenti rivedrà i casi alla base dei contenziosi (come le sopra indicate esclusioni) che ritiene essere molto gravi utilizzando i punteggi dei fornitori di dati ESG e la propria ricerca interna. Tuttavia, in alcuni casi, i dati su emittenti specifici o sulle esclusioni di cui sopra potrebbero non essere disponibili in tempi brevi e/o possono essere determinati dal Consulente per gli Investimenti utilizzando stime ragionevoli.”
Infine, l’informativa prevista dal Regolamento sulla Tassonomia sarà modificata come segue:
“Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.”
in base a una comparazione con le altre opportunità di presenti nello stesso universo di investimento. Il Consulente per gli Investimenti valuterà i fattori specifici del settore immobiliare, dei fattori azionari più ampi, nonché i fattori ESG nella propria analisi fondamentale, al fine di determinare delle appropriate metriche di valutazione. Le considerazioni top-down sono incorporate nel processo di costruzione del portafoglio e cercano di ottenere un’esposizione attraverso regioni, paesi e/o settori e di integrare, tra gli altri fattori, le inflessioni fondamentali previste, le considerazioni macroeconomiche, e le valutazioni geopolitiche e del rischio paese. Il Consulente per gli Investimenti seleziona attivamente le posizioni in un numero limitato di titoli azionari.
Il processo di investimento può prendere in considerazione delle informazioni relative alle tematiche ESG nel suo processo di selezione dei titoli bottom-up quando vengono prese delle decisioni in merito agli investimenti. Il Consulente per gli Investimenti e Subconsulenti per gli Investimenti possono confrontarsi con gli amministratori delle società in relazione alle pratiche di governance societaria, nonché su quelle che il Consulente per gli Investimenti e i Subconsulenti reputino essere delle questioni ambientali e/o sociali di notevole importanza per una società.
Il Comparto è gestito attivamente e non è concepito per seguire un benchmark. Pertanto, la gestione del Comparto non è vincolata alla composizione di un benchmark La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Gli investimenti sottostanti il Comparto non tengono conto dei criteri dell’UE per le attività ecosostenibili.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento dello US Focus Property Fund, questo comparto può essere adatto per investitori che:
- Intendono investire in titoli azionari.
- Ricercano un apprezzamento del capitale nel lungo termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

US GROWTH FUND
L’obiettivo di investimento dello US Growth Fund è l’aumento a lungo termine del valore del capitale, denominato in Dollari USA, mediante investimenti principalmente in titoli azionari di società che hanno sede negli Stati Uniti e, in via accessoria, in titoli di
società non statunitensi. Un emittente può essere considerato provenire da un determinato paese (compresi gli Stati Uniti) o regione geografica se (i) il suo principale mercato di negoziazione è in quel determinato paese o regione geografica; (ii) a livello individuale o su base consolidata esso ottiene il 50% o più dei suoi ricavi annuali da merci prodotte, vendite effettuate o servizi resi in quel determinato paese o regione geografica; o (iii) esso è costituito ai sensi delle leggi di, o ha la sua sede principale, in quel determinato paese o regione geografica. All’esito delle suddette verifiche, è possibile che un determinato emittente possa essere ritenuto provenire da più di un paese o regione geografica. In condizioni normali di mercato, l’obiettivo d’investimento del Comparto sarà perseguito investendo principalmente in titoli azionari di società di alta qualità orientate alla crescita. Il processo d’investimento privilegierà un processo di selezione di titoli bottom-up, in cerca di investimenti interessanti a livello di singole società. Nella selezione dei titoli per l’investimento, il Consulente per gli Investimenti investe tipicamente insocietà uniche che ritiene presentino vantaggi competitivi sostenibili, una visibilità commerciale superiore alla media, la capacità di impiegare capitale con rendimenti elevati, bilanci solidi e un rapporto rischio/remunerazione interessante. Sarà enfatizzata la selezione dei singoli titoli.
Al fine di incrementare i rendimenti e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) utilizzare opzioni, contratti a termine (future) e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini di investimento e della gestione efficiente del portafoglio (compresa la copertura).
Il Comparto può anche investire, in via accessoria, in azioni di società che non soddisfino i requisiti sopra descritti, in strumenti di debito convertibili in azioni ordinarie, certificati rappresentativi di azioni in deposito (“depositary receipts”) (compresi “American Depositary Receipts” (ADRs) e “Global Depositary Receipts” (GDRs)), privilegiate e warrant su titoli, Azioni A cinesi via Stock Connect, Attività Equivalenti alla Liquidità e altri titoli collegati alle azioni. Il Comparto può investire fino al 10% delle sue attività nette in Azioni A cinesi via Stock Connect.
Il Consulente per gli Investimenti integra fattivamente la sostenibilità nel processo di investimento utilizzando i fattori ESG come un parametro aggiuntivo per la ricerca sui fondamentali, che può contribuire al processo decisionale per gli investimenti. Il Consulente per gli Investimenti cerca di comprendere come le iniziative ambientali e sociali delle società possano creare valore consolidando i vantaggi competitivi durevoli, creando opportunità di crescita, apportando profittabilità e/o allineandosi con i trend secolari di crescita. In generale, il Consulente per gli Investimenti si impegna con gli organi di gestione delle società per discutere le loro pratiche ESG, con l’obiettivo di identificare come i temi della
sostenibilità presentino delle opportunità e rischi che possono essere rilevanti per il valore del titolo nel lungo termine. Gli altri aspetti del processo di investimento comprendono una valutazione sistematica, di proprietà del Consulente per gli Investimenti, delle politiche di governo societario, che si concentra sull’adeguamento dei compensi nel contesto della creazione di valore nel lungo periodo.
Gli investimenti non potranno ricomprendere consapevolmente qualsiasi società la cui attività principale riguardi i seguenti settori:
- tabacco 
- (titoli di emittenti classificati nel sottosettore “tabacco” (Tobacco) nei Global Industry Classification Standard (“GICS”), o che generano il 5% o più dei loro ricavi dalla manifattura di prodotti a base di tabacco);
- estrazione di carbone 
- (titoli di emittenti classificati nel sottosettore GICS “carbone e combustibili di consumo” (coal & consumable fuels)), o che generano il 10% o più dei loro ricavi dalla estrazione del carbone);
- armi, comprese 
- armi da fuoco civili 
- (titoli di emittenti che generano il 10% o più dei loro ricavi dalla fabbricazione o produzione di armi da fuoco civili o munizioni) e 
- munizioni a grappolo e mine antiuomo 
- (titoli di emittenti che fabbricano, producono o distribuiscono munizioni a grappolo o mine antiuomo).

I dettagli delle suddette esclusioni si trovano nelle politiche di esclusione del Comparto, disponibili nel sito Internet della Società (www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im). In aggiunta a quanto precede, il Consulente per gli Investimenti può, a propria discrezione, decidere di applicare nel tempo ulteriori restrizioni agli investimenti legate alle tematiche ESG che ritiene coerenti con gli obiettivi di investimento. Tali restrizioni aggiuntive saranno pubblicate sul sito www.morganstanleyinvestmentfunds.com e sul sito www.morganstanley.com/im al momento della loro implementazione. Gli investimenti detenuti dal Comparto che diventino non ammissibili dopo essere stati acquisiti per il Comparto saranno venduti. Tali vendite saranno disposte con tempistiche determinate dal Consulente per gli Investimenti, tenendo conto in primo luogo degli interessi degli Azionisti del Comparto.
Il Comparto è gestito attivamente e non è concepito per seguire un benchmark. Pertanto, la gestione del Comparto non è vincolata dalla composizione di un benchmark. La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno
significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento dell’US Growth Fund, questo comparto può essere adatto per investitori che:
- Intendono investire in titoli azionari.
- Ricercano un apprezzamento del capitale a lungo termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzione di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

US INSIGHT FUND
L’obiettivo di investimento dello US Insight Fund è cercare la crescita del capitale a lungo termine, denominato in Dollari Statunitensi, investendo principalmente in titoli emessi da società statunitensi e, in via accessoria, in titoli emessi da società non statunitensi. Un emittente può essere considerato provenire da un determinato paese (compresi gli Stati Uniti) o regione geografica se
(i) il suo principale mercato di negoziazione è in quel determinato paese o regione geografica; (ii) a livello individuale o su base consolidata esso ottiene il 50% o più dei suoi ricavi annuali da merci prodotte, vendite effettuate o servizi resi in quel determinato paese o regione geografica; o (iii) esso è costituito ai sensi delle leggi di, o ha la sua sede principale in quel determinato paese o regione geografica. L’applicazione dei suddetti parametri può far sì che un emittente risulti appartenere a più di un paese o regione geografica.
In condizioni normali di mercato, l’obiettivo d’investimento del Comparto sarà perseguito investendo principalmente in titoli azionari di società già affermate o emergenti. Il processo d’investimento privilegierà un processo di selezione di titoli bottom-up, in cerca di investimenti interessanti a livello di singole società. Nella selezione dei titoli per l’investimento, il Consulente per gli Investimenti investe tipicamente in società uniche che ritiene abbiano vantaggi competitivi sostenibili, con una visibilità commerciale superiore alla media, la capacità di impiegare capitali con rendimenti elevati, bilanci solidi e un rapporto rischio/ remunerazione interessante. Sarà enfatizzata la selezione dei singoli titoli.
Al fine di incrementare i rendimenti e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti
di investimento di cui all’“Appendice A”) utilizzare opzioni, contratti a termine (future) e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini di investimento e della gestione efficiente del portafoglio (compresa la copertura).
Il Comparto può anche investire, in via accessoria, in azioni di società che non abbiano i requisiti sopra descritti, in strumenti di debito convertibili in azioni ordinarie, certificati rappresentativi di azioni in deposito (“depositary receipts”) (compresi “American Depositary Receipts” (ADRs) e “Global Depositary Receipts” (GDRs)), azioni privilegiate e warrant su titoli, Azioni A cinesi via Stock Connect, Attività Equivalenti aella Liquidità e altri titoli collegati alle azioni. Il Comparto può investire fino al 10% delle sue attività nette in Azioni A cinesi via Stock Connect.
Il Consulente per gli Investimenti integra fattivamente la sostenibilità nel processo di investimento utilizzando i fattori ESG come un parametro aggiuntivo per la ricerca sui fondamentali, che può contribuire al processo decisionale per gli investimenti. Il Consulente per gli Investimenti cerca di comprendere come le iniziative ambientali e sociali delle società possano creare valore consolidando i vantaggi competitivi durevoli, creando opportunità di crescita, apportando profittabilità e/o allineandosi con i trend secolari di crescita. In generale, il Consulente per gli Investimenti si impegna con gli organi di gestione delle società per discutere le loro pratiche ESG, con l’obiettivo di identificare come i temi della sostenibilità presentino delle opportunità e rischi che possono essere rilevanti per il valore del titolo nel lungo termine. Gli altri aspetti del processo di investimento comprendono una valutazione sistematica, di proprietà del Consulente per gli Investimenti, delle politiche di governo societario, che si concentra sull’adeguamento dei compensi nel contesto della creazione di valore nel lungo periodo.
Gli investimenti non potranno ricomprendere consapevolmente qualsiasi società la cui attività principale riguardi i seguenti settori:
- tabacco 
- (titoli di emittenti classificati nel sottosettore “tabacco” (Tobacco) nei Global Industry Classification Standard (“GICS”), o che generano il 5% o più dei loro ricavi dalla manifattura di prodotti a base di tabacco);
- estrazione di carbone 
- (titoli di emittenti classificati nel sottosettore GICS “carbone e combustibili di consumo” (coal & consumable fuels)), o che generano il 10% o più dei loro ricavi dalla estrazione del carbone);
- armi, comprese 
- armi da fuoco civili 
- (titoli di emittenti che generano il 10% o più dei loro ricavi dalla fabbricazione o produzione di armi da fuoco civili o munizioni) e 
- munizioni a grappolo e mine antiuomo 
- (titoli di emittenti che fabbricano,producono o distribuiscono munizioni a grappolo o mine antiuomo).

I dettagli delle suddette esclusioni si trovano nelle politiche di esclusione del Comparto, disponibili nel sito Internet della Società (www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im). In aggiunta a quanto precede, il Consulente per gli Investimenti può, a propria discrezione, decidere di applicare nel tempo ulteriori restrizioni agli investimenti legate alle tematiche ESG che ritiene coerenti con gli obiettivi di investimento. Tali restrizioni aggiuntive saranno pubblicate sul sito www.morganstanleyinvestmentfunds.com e sul sito www.morganstanley.com/im al momento della loro implementazione. Gli investimenti detenuti dal Comparto che diventino non ammissibili dopo essere stati acquisiti per il Comparto saranno venduti. Tali vendite saranno disposte con tempistiche determinate dal Consulente per gli Investimenti, tenendo conto in primo luogo degli interessi degli Azionisti del Comparto.
Il Comparto è gestito attivamente, non è concepito per seguire un benchmark e pertanto, la gestione del Comparto non è vincolata dalla composizione di un benchmark. La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento dello US Insight Fund, questo comparto può essere adatto per investitori che:
- Intendono investire in titoli azionari.
- Ricercano un apprezzamento del capitale a medio termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

US PERMANENCE FUND
L’obiettivo di investimento dello US Permanence Fund è cercare la crescita del capitale a lungo termine, denominato in Dollari Statunitensi.
Il Comparto cercherà di raggiungere il proprio obiettivo d’investimento investendo principalmente in titoli azionari, inclusi certificati rappresentativi di azioni in deposito “depositary receipts” (compresi “American Depositary Receipts” – ADR e “Global Depositary Receipts” – GDR) di società affermate con sede negli Stati Uniti, con capitalizzazioni rientranti nella gamma di società comprese nell’indice S&P 500.
Il Comparto può anche investire, in via accessoria, in titoli azionari che non soddisfano i criteri degli investimenti principali del Comparto, strumenti di debito convertibili in azioni ordinarie, azioni privilegiate, Azioni A cinesi via Stock Connect, warrant e altri titoli collegati alle azioni. Il Comparto può investire fino al 10% delle proprie attività nette in Azioni A Cinesi via Stock Connect.
Il Comparto può investire in misura limitata in quote/azioni di altri organismi di investimento collettivo, inclusi i Comparti della Società ed ETF aperti, che siano investimenti ammissibili per gli OICVM ai sensi della Legge del 2010.
Al fine di incrementare i rendimenti e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) utilizzare opzioni, contratti a termine (future) e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini di investimento e della gestione efficiente del portafoglio (compresa la copertura).
Il processo d’investimento privilegerà un processo di selezione di titoli bottom-up, in cerca di investimenti interessanti a livello di singole società. Nella selezione dei titoli per l’investimento, il Consulente per gli Investimenti investe tipicamente in società che ritiene abbiano un significativo grado di notorietà e vantaggi competitivi sostenibili, con una visibilità commerciale superiore alla media, la capacità di impiegare capitali con rendimenti elevati, bilanci solidi e un rapporto rischio/remunerazione interessante.
Il Comparto effettuerà investimenti a lungo termine in società che il Consulente per gli Investimenti reputa avere le qualità di Permanenza (“Permanence”), compresi vantaggi competitivi sostenibili nel lungo termine. Il Comparto può anche investire in società con una crescita più moderata, società con una minore volatilità dei profitti e/o in società con alcune ciclicità nei mercati di sbocco.
Il Consulente per gli Investimenti integra fattivamente la sostenibilità nel processo di investimento utilizzando i fattori ESG come un parametro aggiuntivo per la ricerca sui fondamentali, che può contribuire al processo decisionale per gli investimenti. Il Consulente per gli Investimenti cerca di comprendere come le iniziative ambientali e sociali delle società possano creare valore consolidando i vantaggi competitivi durevoli, creando opportunità di crescita, apportando profittabilità e/o allineandosi con i trend secolari di crescita. In generale, il Consulente per gli Investimenti si impegna con gli organi di gestione delle società per discutere le loro pratiche ESG, con l’obiettivo di identificare come i temi della sostenibilità presentino delle opportunità e rischi che possono essere rilevanti per il valore del titolo nel lungo termine. Gli altri aspetti del processo di investimento comprendono una valutazione sistematica, di proprietà del Consulente per gli Investimenti, delle politiche di governo societario, che si concentra sull’adeguamento dei compensi nel contesto della creazione di valore nel lungo periodo.
Gli investimenti non potranno ricomprendere consapevolmente qualsiasi società la cui attività principale riguardi i seguenti settori:
- tabacco 
- (titoli di emittenti classificati nel sottosettore “tabacco” (Tobacco) nei Global Industry Classification Standard (“GICS”), o che generano il 5% o più dei loro ricavi dalla manifattura di prodotti a base di tabacco);
- estrazione di carbone 
- (titoli di emittenti classificati nel sottosettore GICS “carbone e combustibili di consumo” (coal & consumable fuels)), o che generano il 10% o più dei loro ricavi dalla estrazione del carbone);
- armi, comprese 
- armi da fuoco civili 
- (titoli di emittenti che generano il 10% o più dei loro ricavi dalla fabbricazione o produzione di armi da fuoco civili o munizioni) e 
- munizioni a grappolo e mine antiuomo 
- (titoli di emittenti che fabbricano, producono o distribuiscono munizioni a grappolo o mine antiuomo).

I dettagli delle suddette esclusioni si trovano nelle politiche di esclusione del Comparto, disponibili nel sito Internet della Società (www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im). In aggiunta a quanto precede, il Consulente per gli Investimenti può, a propria discrezione, decidere di applicare nel tempo ulteriori restrizioni agli investimenti legate alle tematiche ESG che ritiene coerenti con gli obiettivi di investimento. Tali restrizioni aggiuntive saranno pubblicate sul sito www.morganstanleyinvestmentfunds.com e sul sito www.morganstanley.com/im al momento della loro implementazione. Gli investimenti detenuti dal Comparto che diventino non ammissibili dopo essere stati acquisiti per il Comparto saranno venduti. Tali vendite saranno disposte con tempistiche determinate dal Consulente per gli
Investimenti, tenendo conto in primo luogo degli interessi degli Azionisti del Comparto.
Il Comparto è gestito attivamente, non è concepito per seguire un benchmark e pertanto, la gestione del Comparto non è vincolata dalla composizione del S&P 500. I riferimenti del Comparto al S&P 500 hanno lo scopo di definire la fascia di capitalizzazione degli emittenti in cui il Comparto investe. La performance del Comparto è misurata rispetto al S&P 500, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento dello US Permanence Fund, questo comparto può essere adatto per investitori che:
- Intendono investire in titoli azionari.
- Ricercano un apprezzamento del capitale a medio termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

US PROPERTY FUND
31
L’obiettivo di investimento dell’US Property Fund è fornire un aumento a lungo termine del capitale, denominato in Dollari USA, mediante investimenti effettuati principalmente in azioni di società
31 
A decorrere dal 12 dicembre 2022, la politica di investimento del Comparto sarà modificata al fine di promuovere, tra le altre caratteristiche, quelle ambientali o sociali, o una combinazione delle stesse, a condizione che le società in cui vengono effettuati gli investimenti seguano pratiche di buona governance. Pertanto, il Comparto ricadrà nell’ambito di applicazione dell’articolo 8 del SFDR.
Pertanto, il primo paragrafo sarà modificato come segue:
“L’obiettivo di investimento dell’US Property Fund è fornire un aumento a lungo termine del capitale, denominato in Dollari USA, mediante investimenti effettuati principalmente in azioni di società appartenenti al settore immobiliare statunitense Situate negli Stati Uniti. Le società del settore immobiliare o strettamente correlate al settore immobiliare possono annoverare società aventi come attività principale lo sviluppo e/o la titolarità della proprietà di immobili che producono redditi, società che gestiscono, costruiscono, finanziano o vendono degli immobili; società con una parte sostanziale dei loro investimenti nel settore immobiliare e/o in servizi o prodotti collegati all’immobiliare come, a titolo non esaustivo, gestione degli immobili, intermediazione, prodotti per le costruzioni e tecnologia per le proprietà immobiliari e veicoli di investimento collettivo con esposizione alle proprietà immobiliari, quali i fondi immobiliari quotati (“property unit trusts”), Real Estate Investment Trust (REITS) chiusi di ogni tipo ammesso e organismi per l’investimento collettivo.”
appartenenti al settore immobiliare statunitense Situate negli Stati Uniti. Il Comparto intende investire in valori mobiliari commercializzati presso il pubblico emessi da “Real Estate Investment Trusts” (“REITS”) (fondi di investimento immobiliare) chiusi e da entità similari, definite “Real Estate Operating Companies” (“REOCS”) (società operative immobiliari). REITS e REOCS sono società che acquisiscono e/o sviluppano proprietà immobiliari allo scopo di effettuare investimenti a lungo termine. Esse investono la maggior parte della propria attività direttamente in beni immobili e ricavano le loro entrate principalmente dai canoni di locazione.
Inoltre, il secondo paragrafo sarà sostituito dai seguenti paragrafi:
“Il processo di investimento si avvale di ricerche interne proprietarie per investire in società immobiliari quotate in mercati aperti al pubblico che possono offrire il miglior valore relativo rispetto alle attività e agli utili sottostanti. Il Consulente per gli Investimenti utilizza un approccio bottom-up, valutando ogni titolo all’interno dell’universo di investimento per ottenere una stima del valore patrimoniale netto e dei flussi di cassa futuri. I fattori specifici del settore immobiliare, i fattori azionari più ampi e i fattori ESG sono valutati nell’analisi dei fondamentali per calcolare le metriche di valutazione appropriate.
Il Consulente per gli Investimenti incorpora anche un approccio top-down nel processo di costruzione del portafoglio, integrando diversi fattori che possono includere delle flessioni previste dei fondamentali, considerazioni macroeconomiche e valutazioni del rischio geopolitico e di paese, per ottenere un’esposizione diversificata tra regioni, paesi e/o settori.
Il Consulente per gli Investimenti integra attivamente la sostenibilità nel processo di investimento valutando i principali rischi e opportunità ESG nel processo bottom-up di selezione dei titoli, avvalendosi principalmente di fornitori ESG terzi per valutare e quantificare le performance ESG degli emittenti, integrando le ricerche di terzi con ricerche proprietarie condotte dal Consulente per gli Investimenti, tra cui l’utilizzo di un quadro di propria concezione per la valutazione e la quantificazione dei rischi e delle opportunità legate all’ESG, che si traduce in un aggiustamento quantitativo delle stime di valutazione, e attraverso l’interlocuzione con gli amministratori delle società per discutere i punti di forza, le debolezze e le opportunità legate all’ESG nel tentativo di realizzare un cambiamento positivo all’interno del settore. I temi ESG principali possono includere, a titolo esemplificativo ma non esaustivo: l’utilizzo dell’energia e delle fonti rinnovabili, l’utilizzo dell’acqua, le emissioni, la diversità e l’uguaglianza di genere, il lavoro e i diritti umani, la salute, il benessere e la sicurezza dei dipendenti e dei conduttori, e la governance e la divulgazione ESG della società. Nel tentativo di promuovere un cambiamento positivo e di incoraggiare le società a migliorare le proprie prestazioni in merito alle questioni ESG rilevanti, il Consulente per gli Investimenti può rivolgersi agli amministratori delle società con soluzioni interne competitive, casi aziendali finanziariamente validi e soluzioni pratiche che possono migliorare le loro operazioni immobiliari. Sebbene le considerazioni ESG siano parte integrante e fondamentale del processo d’investimento, esse sono solo uno dei diversi fattori determinanti utilizzati dal Consulente per gli Investimenti per stabilire se un investimento verrà effettuato o se ne verrà modificata l’entità nel portafoglio complessivo.
Gli investimenti non potranno annoverare consapevolmente qualsiasi società la cui attività principale in uno dei seguenti settori rappresenti più del 10% dei suoi ricavi:
- proprietà o gestione di immobili adibiti a carceri;
- proprietà o gestione di immobili adibiti alla lavorazione della cannabis;
- proprietà, manifattura o produzione di tabacco:
- proprietà, lavorazione o estrazione di carbone;
- proprietà, fabbricazione o produzione di armi controverse o armi da fuoco civili;
- proprietà, lavorazione o produzione di gas e petrolio proveniente dall’Artide. Gli investimenti non potranno annoverare consapevolmente le seguenti società:
- società coinvolte in importanti controversie in relazione alle loro attività e/o ai loro prodotti, nel caso in cui il Consulente per gli Investimenti ritenga che la controversia rilevante abbia un grave impatto sociale o ambientale;
- società che violano il Global Compact delle Nazioni Unite o i principi fondamentali dell’Ufficio Internazionale del Lavoro senza significative azioni di rimedio e miglioramento.

Il Consulente per gli Investimenti fa riferimento ai dati ESG di terzi e alle proprie analisi nel processo di ricerca dei titoli. Il Consulente per gli Investimenti rivedrà i casi alla base dei contenziosi (come le sopra indicate esclusioni) che ritiene essere molto gravi utilizzando i punteggi dei fornitori di dati ESG e la propria ricerca interna. Tuttavia, in alcuni casi, i dati su emittenti specifici o sulle esclusioni di cui sopra potrebbero non essere disponibili in tempi brevi e/o possono essere determinati dal Consulente per gli Investimenti utilizzando stime ragionevoli.”
Infine, l’informativa prevista dal Regolamento sulla Tassonomia sarà modificata come segue:
“Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.”
Il processo di investimento può prendere in considerazione delle informazioni relative alle tematiche ESG nel suo processo di selezione dei titoli bottom-up quando vengono prese delle decisioni in merito agli investimenti. Il Sub-consulente per gli Investimenti può confrontarsi con gli amministratori delle società in relazione alle pratiche di governance societaria, nonché su quelle che il Sub- consulente reputa essere delle questioni ambientali e/o sociali di notevole importanza per una società.
Il Comparto può anche investire, in via accessoria, in azioni privilegiate, strumenti di debito convertibili in azioni ordinarie, warrant ed altri titoli collegati alle azioni.
Il Comparto è gestito attivamente e non è concepito per seguire un benchmark. Pertanto, la gestione del Comparto non è vincolata dalla composizione di un benchmark. La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Gli investimenti sottostanti il Comparto non tengono conto dei criteri dell’UE per le attività ecosostenibili.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento dello US Property Fund, questo comparto può essere adatto per investitori che:
- Intendono investire in titoli azionari.
- Ricercano un apprezzamento del capitale a lungo termine.
- Ricercano un reddito sotto forma di aprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

US VALUE FUND
L’obiettivo d’investimento dello US Value Fund è di cercare la crescita del capitale nel lungo termine investendo in una selezione ampiamente diversificata di titoli azionari trasferibili, privilegiando le azioni ordinarie di società leader che il Consulente per gli Investimenti ritiene che siano state sistematicamente valutate male dal mercato. I titoli “Value” sono azioni ordinarie che il Consulente per gli Investimenti ritiene siano poco costosi rispetto alle sue stime del valore intrinseco dell’attività correlata.
Il Comparto investirà principalmente in titoli azionari, inclusi certificati rappresentativi di azioni in deposito “depositary receipts” (compresi “American Depositary Receipts”- ADR e “Global Depositary Receipts” – GDR) di società Situate negli Stati Uniti.
Il Comparto può anche investire, in via accessoria, in titoli azionari che non soddisfano i criteri degli investimenti principali del Comparto, Titoli a Reddito Fisso, warrant su titoli, Attività Equivalenti aella Liquidità e altri titoli collegati alle azioni.
Il Consulente per gli Investimenti del Comparto impiega un approccio bottom-up, guidato dalla ricerca e orientato al valore, che cerca di identificare le anomalie di prezzo che si verificano a causa di fattori fondamentali che sono percepite come temporanee e non permanenti. Nella selezione dei titoli, il Comparto si concentra principalmente su emittenti statunitensi con valutazioni interessanti e solidi fondamentali aziendali. Il Consulente per gli Investimenti considera anche come la costruzione del portafoglio e l’acquisto o la vendita di un singolo investimento abbiano un impatto sul profilo di rischio complessivo del portafoglio (per esempio, il beta del portafoglio rispetto al suo benchmark e a ciascun settore economico, la sua deviazione standard di rendimento, la sua quota attiva e il suo tracking error, nonché la composizione del tracking error a livello di settore e di titoli).
In aggiunta a quanto precede, il Consulente per gli Investimenti integrerà i criteri ESG quando prende decisioni di investimento. Il Consulente per gli Investimenti utilizza nella valutazione degli investimenti la vasta ricerca ESG di proprietà generata dalla sua collegata Calvert. Il Consulente per gli Investimenti può prendere in considerazione dei fattori ESG finanziariamente rilevanti nell’ambito del processo di selezione dei titoli del Comparto. Tali fattori finanziariamente rilevanti comprendono i Rischi o le opportunità di Sostenibilità in grado di influenzare la condizione finanziaria o la performance dell’emittente in un orizzonte d’investimento a lungo termine e possono includere, a titolo non esaustivo, etica aziendale, uso dell’energia, efficienza energetica ed energia rinnovabile, diversità nel posto di lavoro, cambiamento climatico, sicurezza dei dati e sicurezza sul lavoro.
Il Consulente per gli Investimenti ritiene che le pratiche di governo societario degli emittenti abbiano un impatto diretto sulla performance aziendale e sui risultati prodotti da tali emittenti e che l’incorporazione dei comportamenti ESG delle società nelle decisioni di investimento fornisca un approccio più completo e olistico agli investimenti che il Consulente per gli Investimenti ritiene possa migliorare sia la selezione dei titoli che i rendimenti corretti per il rischio nel lungo periodo.
Il Comparto è gestito attivamente e non è concepito per seguire un benchmark. Pertanto, la gestione del Comparto non è vincolata dalla composizione di un benchmark. La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Gli investimenti sottostanti il Comparto non tengono conto dei criteri dell’UE per le attività ecosostenibili.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento dello US Value Fund, questo comparto può essere adatto per investitori che:
- Intendono investire in titoli azionari.
- Ricercano un apprezzamento del capitale a lungo termine.
- Ricercano un reddito sotto forma di aprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

VITALITY FUND
L’obiettivo d’investimento del Vitality Fund è di cercare la crescita del capitale nel lungo termine, denominato in Dollari USA.
Il Comparto cercherà di raggiungere il proprio obiettivo d’investimento investendo principalmente in titoli azionari, inclusi certificati rappresentativi di azioni in deposito “depositary receipts” (compresi “American Depositary Receipts” – ADR e “Global Depositary Receipts” – GDR) di società Situate negli Stati Uniti che sono principalmente impegnate nella scoperta, sviluppo, produzione o distribuzione di prodotti o servizi relativi ai progressi nel settore sanitario. Queste aziende includono, a titolo non esaustivo, biotecnologia, prodotti farmaceutici, attrezzature e forniture mediche, tecnologia sanitaria, forniture e servizi sanitari e strumenti e servizi per le scienze della vita.
In relazione a questo Comparto, Vitality significa il potere di durare e prosperare. Ciò riflette l’orientamento verso il settore sanitario del Comparto e l’opinione del Consulente per gli Investimenti secondo cui il settore offrirà opportunità superiori di apprezzamento del capitale nel lungo termine.
Il Comparto può anche allocare in settori correlati a quello sanitario, ma che non sono focalizzati in via principale nel progresso scientifico dell’assistenza sanitaria. L’allocazione tra queste aree varierà a seconda del potenziale relativo che il Consulente per gli Investimenti troverà all’interno di ogni area e delle prospettive per il settore sanitario nel suo complesso.
Il Comparto può anche investire, in via accessoria, in titoli azionari che non soddisfano i criteri degli investimenti principali del Comparto, strumenti di debito convertibili in azioni ordinarie, azioni privilegiate, warrant e altri titoli collegati alle azioni.
Il Comparto può investire in misura limitata in quote/azioni di altri organismi di investimento collettivo, inclusi i Comparti della Società ed ETF aperti, che siano investimenti ammissibili per gli OICVM ai sensi della Legge del 2010.
Al fine di incrementare i rendimenti e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) utilizzare opzioni, contratti a termine (future) e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini di investimento e della gestione efficiente del portafoglio (compresa la copertura).
Il processo d’investimento privilegerà un processo di selezione dei titoli dal basso verso l’alto (bottom up) alla ricerca di investimenti interessanti a livello di singola società. Nel selezionare i titoli per l’investimento, il Consulente per gli Investimenti in genere investe in società uniche che ritiene abbiano vantaggi competitivi sostenibili, una forte ricerca e sviluppo e un flusso continuo di nuovi prodotti, forza finanziaria e un interessante profilo di rischio/ rendimento. Il Comparto cerca in generale investimenti in società che stanno sviluppando farmaci nuovi ed efficaci, che consentiranno sforzi di ricerca e sviluppo rinnovati e più efficienti, nonché società i cui modelli di business riducono i costi o migliorano la qualità dei sistemi sanitari.
Il Comparto effettuerà investimenti a lungo termine in società che il Consulente per gli Investimenti ritiene abbiano i vantaggi competitivi più duraturi nel lungo termine. Il Comparto può anche investire in società con una crescita più moderata, società con una minore volatilità degli utili e/o in società con una certa ciclicità nei loro mercati finali. Il Consulente per gli Investimenti generalmente prende in considerazione la vendita di una posizione in portafoglio quando determina che essa non soddisfa più i suoi criteri di investimento.
Il Consulente per gli Investimenti integra fattivamente la sostenibilità nel processo di investimento utilizzando i fattori ESG come un parametro aggiuntivo per la ricerca sui fondamentali, che può contribuire al processo decisionale per gli investimenti. Il Consulente per gli Investimenti cerca di comprendere come le iniziative ambientali e sociali delle società possano creare valore consolidando i vantaggi competitivi durevoli, creando opportunità di crescita, apportando profittabilità e/o allineandosi con i trend secolari di crescita. In generale, il Consulente per gli Investimenti si impegna con gli organi di gestione delle società per discutere le loro pratiche ESG, con l’obiettivo di identificare come i temi della sostenibilità presentino delle opportunità e rischi che possono essere rilevanti per il valore del titolo nel lungo termine. Gli altri aspetti del processo di investimento comprendono una valutazione sistematica, di proprietà del Consulente per gli Investimenti, delle politiche di governo societario, che si concentra sull’adeguamento
dei compensi nel contesto della creazione di valore nel lungo periodo.
Gli investimenti non potranno ricomprendere consapevolmente qualsiasi società la cui attività principale riguardi i seguenti settori:
- tabacco 
- (titoli di emittenti classificati nel sottosettore “tabacco” (Tobacco) nei Global Industry Classification Standard (“GICS”), o che generano il 5% o più dei loro ricavi dalla manifattura di prodotti a base di tabacco);
- estrazione di carbone 
- (titoli di emittenti classificati nel sottosettore GICS “carbone e combustibili di consumo” (coal & consumable fuels)), o che generano il 10% o più dei loro ricavi dalla estrazione del carbone);
- armi, comprese 
- armi da fuoco civili 
- (titoli di emittenti che generano il 10% o più dei loro ricavi dalla fabbricazione o produzione di armi da fuoco civili o munizioni) e 
- munizioni a grappolo e mine antiuomo 
- (titoli di emittenti che fabbricano, producono o distribuiscono munizioni a grappolo o mine antiuomo).

I dettagli delle suddette esclusioni si trovano nelle politiche di esclusione del Comparto, disponibili nel sito Internet della Società (www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im). In aggiunta a quanto precede, il Consulente per gli Investimenti può, a propria discrezione, decidere di applicare nel tempo ulteriori restrizioni agli investimenti legate alle tematiche ESG che ritiene coerenti con gli obiettivi di investimento. Tali restrizioni aggiuntive saranno pubblicate sul sito www.morganstanleyinvestmentfunds.com e sul sito www.morganstanley.com/im al momento della loro implementazione. Gli investimenti detenuti dal Comparto che diventino non ammissibili dopo essere stati acquisiti per il Comparto saranno venduti. Tali vendite saranno disposte con tempistiche determinate dal Consulente per gli Investimenti, tenendo conto in primo luogo degli interessi degli Azionisti del Comparto.
Il Comparto è gestito attivamente e non è concepito per seguire un benchmark. Pertanto, la gestione del Comparto non è vincolata dalla composizione di un benchmark. La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto,
l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento del Vitality Fund, questo comparto può essere adatto per investitori che:
- Intendono investire in titoli azionari.
- Ricercano un apprezzamento del capitale a lungo termine.
- Ricercano un reddito sotto forma di aprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

COMPARTI OBBLIGAZIONARI
I vari Comparti Obbligazionari hanno i seguenti obiettivi:
CALVERT SUSTAINABLE GLOBAL GREEN BOND FUND
L’obiettivo d’investimento di Calvert Sustainable Global Green Bond Fund è di fornire un livello interessante di rendimento totale, denominato in Dollari USA, attraverso l’investimento in Titoli a Reddito Fisso globali che soddisfino i criteri ESG e di Impatto del Consulente per gli Investimenti (come di seguito descritti) e si qualifichino come investimenti sostenibili ai sensi della SFDR, con l’obiettivo di sostenere impatti e risultati ambientali e sociali positivi. Il Comparto cercherà di realizzare la politica d’investimento attraverso l’allocazione nelle varie classi di attività a reddito fisso, nonché attraverso una selezione di mercati e di strumenti.
Il Comparto investirà principalmente in “Obbligazioni Verdi” o Green Bonds (come di seguito definite) compresi i titoli globali di emittenti societari, governativi e collegati ai governi, attraverso un’ampia gamma di classi di attività a reddito fisso, tra cui obbligazioni investment grade, obbligazioni ad alto rendimento (high yield), titoli garantiti da ipoteche, titoli obbligazionari cartolarizzati, titoli convertibili e valute e, nel rispetto delle leggi applicabili, in altri titoli obbligazionari cartolarizzati, partecipazioni in prestiti e cessioni di prestiti, nella misura in cui tali strumenti siano cartolarizzati. Per titoli high yield si intendono i Titoli a Reddito Fisso emessi da società che hanno un rating inferiore a “BBB-” di S&P o “Baa3” di Moody’s o equivalente attribuito da un’altra agenzia di rating riconosciuta a livello internazionale o che il Consulente per gli Investimenti ritiene abbiano un merito di credito simile. Questi investimenti possono includere titoli a reddito fisso emessi nei mercati emergenti.
In relazione a questo Comparto, “Sostenibile” significa che il Consulente per gli Investimenti considera le tematiche della sostenibilità e quelle ESG nel processo decisionale relativo agli
investimenti su base discrezionale, secondo quanto spiegato in dettaglio più sotto. Inoltre, il Consulente per gli Investimenti può includere la valutazione dei contributi positivi e negativi agli Obiettivi di Sviluppo Sostenibile delle Nazioni Unite (UN Sustainable Development Goals) e può impegnare l’attenzione degli amministratori delle imprese sulle pratiche di governance societaria, nonché per quelle che il Consulente per gli Investimenti reputi essere delle questioni ambientali e/o sociali di notevole importanza con le quali l’impresa stessa deve confrontarsi. Cercherà anche di sostenere impatti e risultati ambientali e sociali positivi, tenendo conto di tematiche di sostenibilità come la decarbonizzazione e il rischio climatico, l’economia circolare e la riduzione dei rifiuti, l’inclusività e il rispetto delle diversità nelle attività, il lavoro dignitoso e la solidità dell’occupazione.
In relazione al presente Comparto, il termine Green Bonds ricomprende, a titolo non esaustivo, i seguenti strumenti:
- Green Use of Proceeds Bonds (uso per fini ambientali dei proventi), con i proventi destinati a progetti vantaggiosi per l’ambiente (che siano definiti espressamente o meno come Green Bond);
- Sustainability Bonds (Obbligazioni per la Sostenibilità ), con una parte dei proventi destinati a progetti vantaggiosi per l’ambiente;
- Transition Bonds (Obbligazioni per la Transizione), con i proventi destinati alla transizione verso modelli di attività più favorevoli all’ambiente;
- Sustainability-linked Bonds (Obbligazioni legate alla sostenibilità), con indicatori e obiettivi chiave di performance ambientale; e
- Obbligazioni di emittenti che cercano di fornire soluzioni ambientali o che dimostrano di essere tra i leader nella sostenibilità ambientale.

Il Consulente per gli Investimenti impiega un quadro di valutazione di propria concezione per i green bond (che tiene conto, se del caso, di linee guida riconosciute per questi strumenti come i Green Bonds Principles dell’International Capital Market Association), attraverso il quale vengono valutati la solidità, l’impatto previsto e la trasparenza di tutti questi strumenti nel Comparto. Il Consulente per gli Investimenti utilizza dati di terzi e ricerche ESG come parte della sua analisi. Nel caso in cui non fossero disponibili dei dati, il Consulente per gli Investimenti utilizzerà metodologie interne o stime ragionevoli. Le metodologie utilizzate dai diversi fornitori di dati possono essere differenti e dar luogo a risultati diversi. I dettagli della metodologia di valutazione e dei Principi Calvert per l’investimento responsabile (Calvert Principles for Responsible Investment)  sono  disponibili  nei  seguenti  siti:  www.
morganstanleyinvestmentfunds.com e www.morganstanley.com/im.
In via accessoria, il Comparto può investire in titoli che non sono identificati dal Consulente per gli Investimenti come Green Bond, a condizione che il Consulente per gli Investimenti ritenga che l’emittente e/o il titolo contribuisca in modo significativo a impatti
o risultati sociali positivi attraverso i prodotti e i servizi dell’emittente
o attraverso le sue pratiche o attraverso i progetti o gli investimenti specifici finanziati dall’emissione obbligazionaria, e a condizione che il Consulente per gli Investimenti abbia determinato che le attività dell’emittente o, a seconda dei casi, i progetti associati all’emissione obbligazionaria, non comportino impatti ambientali o sociali negativi, o causino danni significativi secondo i criteri di investimento sostenibile della SFDR. Tali investimenti possono includere obbligazioni qualificate come “sociali” (Social Bonds), con proventi destinati a progetti incentrati su risultati sociali positivi e/o popolazioni target, o obbligazioni qualificate come legate alla sostenibilità (Sustainability-linked) con indicatori di performance e obiettivi sociali. Le obbligazioni classificate come sopra saranno inoltre soggette al quadro di valutazione proprietario del Consulente per gli Investimenti descritto in precedenza. Le denominazioni “Green”, “Social”, “Sustainability” e “Sustainability-Linked” assegnate alle obbligazioni dai loro emittenti indicano che i rispettivi quadri di riferimento sono, nella maggior parte dei casi, anche se non esclusivamente, allineati ai Green/Social/Sustainability- Linked Bond Principles dell’International Capital Market Association (ICMA), o alle Sustainability Bond Guidelines, o a principi/linee guida stabiliti in altre giurisdizioni.
Il Consulente per gli Investimenti cercherà di fare in modo che almeno il 90% dei titoli in portafoglio sia verificato in relazione alle tematiche ESG e le questioni di sostenibilità descritte sopra.
In relazione a questo Comparto, l’uso di “Calvert” nel nome si riferisce a Calvert Research and Management (“Calvert”), il cui ruolo in relazione a questo Comparto è limitato alla fornitura di consulenza per gli investimenti su base non discrezionale al Consulente per gli Investimenti per assistere il Consulente per gli Investimenti nella gestione del Comparto. Calvert non ha la facoltà di prendere decisioni di investimento su base discrezionale per conto del Comparto, in quanto tale discrezionalità di investimento spetta esclusivamente al Consulente per gli Investimenti.
Al fine di incrementare il rendimento e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) utilizzare strumenti derivati come future su indici, contratti sui differenziali (“Contract for differences” – CFD), swap di rendimento totale (TRS), obbligazioni strutturate (comprese quelle di partecipazione), obbligazioni convertibili, azioni privilegiate convertibili, opzioni,
opzioni su valute, contratti a termine su valute e contratti a termine e altri derivati, ai fini di investimento e della gestione efficiente del portafoglio (compresa la copertura).
Gli investimenti non ricomprenderanno consapevolmente alcuna società la cui attività comprenda quanto segue:
- fabbricazione o produzione di:
	- armi controverse;
	- armi da fuoco per uso civile;
	- tabacco, o quando la società ottiene più del 10% dei proventi dalla distribuzione di tabacco o dalla sua vendita al dettaglio;
	- gioco d’azzardo, quando la società ottiene più del 10% dei proventi da tale attività; e
	- intrattenimento per adulti, quando la società ottiene più del 10% dei proventi da tale attività.


Inoltre, il Comparto non investirà in titoli di emittenti che non si conformano ai principi fondamentali del Global Compact delle Nazioni Unite o dell’Ufficio Internazionale del Lavoro, e quando il Consulente per gli Investimenti ritenga che non siano state messe in atto appropriate misure di rimedio.
Gli investimenti detenuti dal Comparto che a seguito dell’applicazione dei criteri ESG diventino non ammissibili dopo essere stati acquisiti per il Comparto saranno venduti. Tali vendite saranno disposte con tempistiche determinate dal Consulente per gli Investimenti, tenendo conto in primo luogo degli interessi degli Azionisti del Comparto.
Il Comparto non può investire più del 20% delle sue attività in Strumenti Convertibili Speciali.
Non si prevede che il Comparto investirà più del 50% delle proprie attività nette totali in strumenti cartolarizzati. Non si prevede che il Comparto investa più del 20% delle proprie attività nette in un qualsiasi tipo di strumento cartolarizzato (ad esempio, titoli obbligazionari cartolarizzati (ABS), titoli garantiti da ipoteche commerciali (CMBS), titoli garantiti da ipoteche residenziali (RMBS), titoli garantiti da ipoteche di agenzie (MBS).
Il Comparto può investire in Titoli a Reddito Fisso acquisiti sul Mercato Interbancario delle Obbligazioni cinese (China Interbank Bond Market). Non più del 10% dell’attivo del Comparto può essere investito in tali strumenti.
Il Comparto può investire in misura limitata in quote/azioni di altri organismi di investimento collettivo, inclusi i Comparti della
Società ed ETF aperti, nella misura in cui ciascun ETF sia un investimento ammissibile per gli OICVM.
Il Comparto è gestito attivamente e non è concepito per seguire un benchmark. La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento del Calvert Sustainable Global Green Bond Fund, questo comparto può essere adatto ad investitori che:
- Intendono investire in Titoli a Reddito Fisso.
- Ricercano un apprezzamento del capitale a medio termine.
- Ricercano un reddito sotto forma di apprezzamento di capitale o di distribuzioni dei proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”EMERGING MARKETS CORPORATE DEBT FUNDL’obiettivo di investimento dell’Emerging Markets Corporate Debt Fund è la massimizzazione del rendimento totale, denominato in Dollari USA, principalmente mediante investimenti attraverso la gamma del credito di Titoli a Reddito Fisso di emittenti societari nonché investimenti in Titoli a Reddito Fisso di emittenti governativi e di emittenti collegati a governi con sede in ciascun caso in paesi con Mercati Emergenti. Il Comparto intende investire le sue attività in Titoli a Reddito Fisso di paesi con Mercati Emergenti che offrano elevati rendimenti correnti, e che nel contempo abbiano il potenziale per un aumento del capitale.

Per paesi con “Mercati Emergenti”, nell’ambito di questo Comparto, s’intendono quelli definiti dal JP Morgan Corporate Emerging Markets Bond Index – Broad Diversified, nella misura in cui i mercati di questi paesi possano essere ritenuti mercati riconosciuti (“Mercati Riconosciuti”) ai sensi dell’Articolo 41 (1) della Legge del 2010. Poiché anche i mercati di altri paesi sono in fase di sviluppo, il Comparto si aspetta di espandersi e di
diversificare ulteriormente i mercati emergenti in cui investe in via principale nel momento in cui tali mercati siano aggiunti nell’indice. Ai fini della realizzazione del suo investimento principale nei paesi con Mercati Emergenti, il Comparto può investire nei Titoli a Reddito Fisso di società costituite e situate in paesi con Mercati Emergenti e potrà anche investire in Titoli a Reddito Fisso di società costituite e situate in paesi con Mercati Sviluppati (nell’ambito del presente Comparto, come definiti da JP Morgan Government Bond Index) qualora il valore dei titoli di tali società sia influenzato principalmente dalla situazione di un paese con Mercati Emergenti o il cui principale mercato sia tale paese con Mercati Emergenti, o qualora il 50% del reddito della società in questione, da solo o su base consolidata, derivi o da beni prodotti, vendite effettuate o servizi resi in paesi con Mercati Emergenti (“Titoli Esposti ai Mercati Emergenti”). I Titoli a Reddito Fisso detenuti dal Comparto avranno forma di obbligazioni, note, certificati, strumenti di debito, titoli convertibili, obbligazioni relative a debiti di banche, titoli a breve termine, ipoteche e, nei limiti imposti dalle norme applicabili, altri titoli rappresentativi, titoli di partecipazione a finanziamenti e cessioni di crediti, nella misura in cui siano rappresentati da titoli.
Il Consulente per gli Investimenti applica dei metodi di classificazione e dei coefficienti di propria concezione che sono specifici per i Titoli a Reddito Fisso in cui il Comparto può investire e si concentrano su emittenti societari, sovrani e veicoli di cartolarizzazioni. Inoltre, come parte del proprio processo di ricerca di tipo bottom-up basata sui fondamentali, e nelle verifiche con gli emittenti, il Consulente per gli Investimenti incorpora una valutazione dei rischi e delle opportunità legati alla sostenibilità nel processo di valutazione per determinare gli impatti sui fondamentali del credito, le implicazioni per la valutazione e gli spread, e qualsiasi aspetto sostanziale che possa influenzare le tecniche di negoziazione dei Titoli a Reddito Fisso. Questi criteri possono ricomprendere, a titolo non esaustivo, delle tematiche ESG come la decarbonizzazione e il rischio climatico, l’economia circolare e la riduzione dei rifiuti, l’inclusività e il rispetto delle diversità nelle attività, il lavoro dignitoso e la solidità dell’occupazione. Il Consulente per gli Investimenti monitorerà i principali indicatori di sostenibilità, comprese le valutazioni ambientali, sociali e di governance fornite da terzi, e l’impronta di carbonio (misurata come intensità di carbonio, definita come tonnellate di CO2 per 1 milione di dollari di entrate per la parte del Comparto investita in obbligazioni emesse da società) al fine di misurare e valutare il contributo dei Titoli a Reddito Fisso alle tematiche ESG sopra descritte. Gli indicatori saranno misurati e valutati almeno su base annuale.
Il Consulente per gli Investimenti utilizza anche un quadro di valutazione di propria concezione per le obbligazioni definite come sostenibili, attraverso il quale vengono valutati la solidità, l’impatto e la trasparenza di tali strumenti.
Il Consulente per gli Investimenti promuove la transizione verso basse emissioni di carbonio escludendo gli emittenti corporate che hanno la produzione di carbone termico tra le attività principali, e promuove la vita umana escludendo i prodotti che sono dannosi per la salute e il benessere, in particolare il tabacco, le armi controverse e la produzione delle armi da fuoco civili. Di conseguenza, gli investimenti non potranno ricomprendere consapevolmente qualsiasi società la cui attività commerciale riguardi i seguenti settori:
- fabbricazione o produzione di armi controverse;
- fabbricazione o produzione di armi da fuoco civili; e
- fabbricazione o produzione di tabacco.

Per quanto riguarda specificatamente le attività legate ai combustibili fossili, il Consulente per gli Investimenti può confrontarsi con gli amministratori delle società sui temi della decarbonizzazione e del rischio climatico, nonché sulle pratiche di governance societaria e su quelle che ritiene essere altre questioni ambientali e/o sociali di notevole importanza per una società. Gli investimenti non potranno ricomprendere consapevolmente qualsiasi società la cui attività commerciale comporta l’estrazione di carbone termico, qualora la stessa società ottenga più del 5% dei propri ricavi da questa attività commerciale.
Come eccezione a quanto precede, il Comparto può investire in obbligazioni definite come sostenibili, o in altri titoli di debito emessi per raccogliere capitali specificamente per progetti ambientali o legati al clima, emessi da entità che sarebbero altrimenti soggette alla suddetta esclusione dei combustibili fossili, nella misura in cui sia stato indicato che gli obiettivi di tali strumenti sono coerenti con una riduzione delle emissioni di carbonio dell’emittente. Gli investimenti in tali strumenti saranno soggetti a verifiche da parte del Consulente per gli Investimenti. Il Comparto può investire in emittenti che potrebbero non contribuire essi stessi alle specifiche caratteristiche ambientali o sociali promosse dal prodotto finanziario, come strumenti di copertura, investimenti non verificati ai fini della diversificazione, o investimenti per i quali mancano dati.
Oltre alle esclusioni settoriali di cui sopra, il Consulente per gli Investimenti verifica costantemente le pratiche commerciali attraverso i dati sulle controversie ESG ed il controllo degli standard provenienti da fornitori terzi. Il Consulente per gli Investimenti prenderà in considerazione i casi di controversia che considera molto gravi in base alle valutazioni dei competenti fornitori di dati ESG, nonché le violazioni del Global Compact delle Nazioni Unite o dei principi fondamentali dell’Ufficio Internazionale del Lavoro, anche se tali eventi non comporteranno automaticamente l’esclusione dal portafoglio.
In aggiunta a quanto precede, il Consulente per gli Investimenti può, a propria discrezione, scegliere di applicare nel tempo ulteriori restrizioni agli investimenti legati all’ESG che ritiene coerenti con i suoi obiettivi di investimento. Tali ulteriori restrizioni saranno rese note ogni volta che vengano attuate su www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im.
Gli investimenti detenuti dal Comparto che a seguito dell’applicazione dei criteri ESG diventino non ammissibili dopo essere stati acquisiti per il Comparto saranno venduti. Tali vendite saranno disposte con tempistiche determinate dal Consulente per gli Investimenti, tenendo conto in primo luogo degli interessi degli Azionisti del Comparto. Il Consulente per gli Investimenti utilizza dati di terzi e in alcuni casi i dati su emittenti specifici, delle tematiche ESG o le esclusioni di cui sopra potrebbero non essere disponibili e/o essere stimati dal Consulente per gli Investimenti utilizzando metodologie interne o stime ragionevoli. Anche le metodologie utilizzate dai diversi fornitori di dati possono variare e portare a punteggi diversi.
Il Comparto può inoltre investire in via accessoria nei suddetti Titoli a Reddito Fisso qualora tali titoli siano emessi da emittenti costituiti e situati (1) nè in paesi con Mercati Sviluppati né in paesi con Mercati Emergenti; o (2) in paesi con Mercati Sviluppati a condizione che i titoli non siano Titoli Esposti ai Mercati Emergenti.
Il Comparto può investire in Titoli a Reddito Fisso acquisiti sul Mercato Interbancario delle Obbligazioni cinese (China Interbank Bond Market). Non più del 20% dell’attivo del Comparto può essere investito in tali strumenti.
Il Comparto può investire in misura limitata in ETF aperti che siano investimenti consentiti per i fondi OICVM.
Al fine di incrementare il rendimento e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) utilizzare opzioni, contratti a termine (future) e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini di investimento e della gestione efficiente del portafoglio (compresa la copertura). Il Comparto può anche investire, in via accessoria, in altri Titoli a Reddito Fisso di mercati emergenti ed in Titoli a Reddito Fisso di mercati emergenti denominati in valute diverse dal Dollaro USA.
Il Comparto può anche investire, in misura limitata, in warrant su valori mobiliari emessi da emittenti di mercati emergenti.
Il Comparto non può investire più del 20% delle sue attività in Strumenti Convertibili Speciali.
Il Comparto è gestito attivamente e i riferimenti al JP Morgan Corporate Emerging Markets Bond Index – Broad Diversified hanno lo scopo di definire l’ambito geografico dei Paesi in cui il Comparto investe. Il Consulente per gli Investimenti ha piena discrezionalità in merito alla composizione delle attività del Comparto. Sebbene in generale il Comparto deterrà degli attivi dei Paesi ricompresi nel JP Morgan Corporate Emerging Markets Bond Index – Broad Diversified, esso potrà anche investire in titoli di alcuni Paesi con proporzioni diverse, e potrà anche detenere attivi non esposti ai Paesi ricompresi nel JP Morgan Corporate Emerging Markets Bond Index – Broad Diversified. Pertanto, non vi sono limiti all’entità della deviazione della performance del Comparto rispetto al JP Morgan Corporate Emerging Markets Bond Index – Broad Diversified.
La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento dell’Emerging Markets Corporate Debt Fund, questo comparto può essere adatto ad investitori che:
- Intendono investire in Titoli a Reddito Fisso dei mercati emergenti.
- Ricercano un apprezzamento del capitale a medio termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

EMERGING MARKETS DEBT FUND
L’obiettivo di investimento dell’Emerging Markets Debt Fund è la massimizzazione del rendimento totale, denominato in Dollari USA, principalmente mediante investimenti in Titoli a Reddito Fisso di governi e di entità collegate ai governi di paesi con Mercati Emergenti (come di seguito definiti) (compresi, nella misura in cui tali strumenti siano rappresentati da titoli, partecipazioni a
finanziamenti concessi da istituzioni finanziarie a governi), nonché in Titoli a Reddito Fisso di entità societarie situate o con la sede principale in paesi con Mercati Emergenti o soggette al loro diritto. Il Comparto intende investire le sue attività in Titoli a Reddito Fisso di paesi con Mercati Emergenti che diano luogo a elevati rendimenti correnti, e che nel contempo abbiano il potenziale per un aumento del capitale.
Per paesi con “Mercati Emergenti”, nell’ambito di questo Comparto, si intendono quelli definiti dal JP Morgan Emerging Market Bond Index Global Diversified, nella misura in cui i mercati di questi paesi possano essere ritenuti mercati riconosciuti (“Mercati Riconosciuti”) ai sensi dell’Articolo 41 (1) della Legge del 2010. Poiché anche i mercati di altri paesi sono in fase di sviluppo, il Comparto si aspetta di espandersi e di diversificare ulteriormente i mercati emergenti in cui investe in via principale sia nel momento in cui tali mercati vengono aggiunti al JP Morgan Emerging Market Bond Index Global Diversified sia anteriormente. I Titoli a Reddito Fisso detenuti dal Comparto avranno forma di obbligazioni, note, certificati, strumenti di debito titoli convertibili, obbligazioni relative a debiti di banche, titoli a breve termine, ipoteche e, nei limiti imposti dalle norme applicabili, altri titoli rappresentativi, titoli di partecipazione a finanziamenti e cessioni di crediti (nella misura in cui siano rappresentati da titoli) e interessi da parte di entità istituite e operanti allo scopo di ristrutturare le caratteristiche di investimento dei titoli emessi da soggetti appartenenti a mercati di Paesi Emergenti.
Il Consulente per gli Investimenti applica dei metodi di classificazione e dei coefficienti di propria concezione che sono specifici per i Titoli a Reddito Fisso in cui il Comparto può investire e si concentrano su emittenti sovrani. Inoltre, come parte del proprio processo di ricerca di tipo bottom-up basata sui fondamentali, e nelle verifiche con gli emittenti, il Consulente per gli Investimenti incorpora una valutazione dei rischi e delle opportunità legati alla sostenibilità nel processo di valutazione per determinare gli impatti sui fondamentali del credito, le implicazioni per la valutazione e gli spread, e qualsiasi aspetto sostanziale che possa influenzare le tecniche di negoziazione dei Titoli a Reddito Fisso. Questi criteri possono ricomprendere, a titolo non esaustivo, delle tematiche ESG come le emissioni di carbonio, la vulnerabilità climatica, la protezione delle foreste, le aspettative di vita e di salute, l’istruzione, il tenore di vita, la voce e la responsabilità sociale, la stabilità politica, l’efficacia dell’azione di governo, la qualità delle leggi, lo stato di diritto, la corruzione, la violenza e il terrorismo. Il Consulente per gli Investimenti monitorerà i principali indicatori di sostenibilità, comprese le valutazioni ESG fornite da terzi al fine di misurare e valutare il contributo dei Titoli a Reddito Fisso alle tematiche ESG sopra descritte. Gli indicatori saranno misurati e valutati almeno su base annuale.
Il Consulente per gli Investimenti utilizza anche un quadro di valutazione di propria concezione per le obbligazioni definite come sostenibili, attraverso il quale vengono valutati la solidità, l’impatto e la trasparenza di tali strumenti.
Il Consulente per gli Investimenti promuove le pratiche di buon governo e sociali da parte degli emittenti sovrani. Di conseguenza, il Consulente per gli Investimenti non effettuerà nuovi investimenti in paesi in cui abbiano luogo comprovate e significative violazioni sociali. Tuttavia, gli eventuali investimenti già effettuati in tali paesi non dovranno necessariamente essere venduti, e i paesi che mostrano una tendenza positiva rispetto a simili violazioni non saranno soggetti alle limitazioni all’acquisto di titoli. Il Consulente per gli Investimenti renderà nota la metodologia utilizzata per valutare le violazioni sociali significative su www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im.
Ai fini della realizzazione del suo investimento principale nei paesi con Mercati Emergenti, il Comparto può investire in Titoli a Reddito Fisso di società costituite ai sensi delle leggi, o con la sede principale, o situate in paesi con Mercati Emergenti e potrà anche investire in Titoli a Reddito Fisso di società costituite ai sensi delle leggi, o con la sede principale, o situate in paesi con Mercati Sviluppati (nell’ambito del presente Comparto, come definiti da JP Morgan Government Bond Index) qualora il principale mercato di Titoli a Reddito Fisso di tali società sia un Paese con Mercato Emergente, o qualora il 50% del reddito della società in questione, da solo o su base consolidata, derivi o da beni prodotti, vendite effettuate o servizi resi in paesi con Mercati Emergenti (“Titoli Esposti ai Mercati Emergenti”).
Con specifico riferimento a tali società, gli investimenti non potranno ricomprendere consapevolmente qualsiasi società la cui attività commerciale copra i seguenti settori:
- fabbricazione o produzione di armi controverse;
- fabbricazione o produzione di armi da fuoco civili; e
- fabbricazione o produzione di tabacco.

Per quanto riguarda specificatamente le attività legate ai combustibili fossili, il Consulente per gli Investimenti può confrontarsi con gli amministratori delle società sui temi della decarbonizzazione e del rischio climatico, nonché sulle pratiche di governance societaria e su quelle che ritiene essere altre questioni ambientali e/o sociali di notevole importanza per una società. Gli investimenti non potranno ricomprendere consapevolmente qualsiasi società la cui attività commerciale comporta l’estrazione di carbone termico, qualora la stessa società ottenga più del 5% dei propri ricavi da questa attività commerciale.
Come eccezione a quanto precede, il Comparto può investire in obbligazioni definite come sostenibili, o in altri titoli di debito emessi per raccogliere capitali specificamente per progetti ambientali o legati al clima, emessi da soggetti che sarebbero altrimenti soggetti alla suddetta esclusione dei combustibili fossili, nella misura in cui sia stato indicato che gli obiettivi di tali strumenti sono coerenti con una riduzione delle emissioni di carbonio dell’emittente. Gli investimenti in tali strumenti saranno soggetti a verifiche da parte del Consulente per gli Investimenti.
Oltre alle esclusioni settoriali di cui sopra, il Consulente per gli Investimenti verifica costantemente le pratiche commerciali attraverso i dati sulle controversie ESG ed il controllo degli standard provenienti da fornitori terzi. Il Consulente per gli Investimenti prenderà in considerazione i casi di controversia che considera molto gravi in base alle valutazioni dei competenti fornitori di dati ESG, nonché le violazioni del Global Compact delle Nazioni Unite o dei principi fondamentali dell’Ufficio Internazionale del Lavoro, anche se tali eventi non comporteranno automaticamente l’esclusione dal portafoglio.
In aggiunta a quanto precede, il Consulente per gli Investimenti può, a propria discrezione, scegliere di applicare nel tempo ulteriori restrizioni agli investimenti legati all’ESG che ritiene coerenti con i suoi obiettivi di investimento. Tali ulteriori restrizioni saranno rese note ogni volta che vengano attuate su www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im.
Gli investimenti detenuti dal Comparto che a seguito dell’applicazione dei criteri ESG diventino non ammissibili dopo essere stati acquisiti per il Comparto saranno venduti. Tali vendite saranno disposte con tempistiche determinate dal Consulente per gli Investimenti, tenendo conto in primo luogo degli interessi degli Azionisti del Comparto. Il Consulente per gli Investimenti utilizza dati di terzi e in alcuni casi i dati su emittenti specifici, delle tematiche ESG o le esclusioni di cui sopra potrebbero non essere disponibili e/o essere stimati dal Consulente per gli Investimenti utilizzando metodologie interne o stime ragionevoli. Anche le metodologie utilizzate dai diversi fornitori di dati possono variare e portare a punteggi diversi.
Il Comparto può investire in emittenti che potrebbero non contribuire essi stessi alle specifiche caratteristiche ambientali o sociali promosse dal prodotto finanziario, come strumenti di copertura, investimenti non verificati ai fini della diversificazione, o investimenti per i quali mancano dati.
Al fine di incrementare il rendimento e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) utilizzare opzioni,
contratti a termine (future) e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini di investimento e della gestione efficiente del portafoglio (compresa la copertura).
Il Comparto può inoltre investire in via accessoria nelle suddette classi di Titoli a Reddito Fisso qualora tali Titoli a Reddito Fisso siano emessi da emittenti costituiti ai sensi delle leggi e situati (1) né in paesi con Mercati Sviluppati né in paesi con Mercati Emergenti; o (2) in paesi con Mercati Sviluppati ma con i Titoli a Reddito Fisso che non sono Titoli Esposti ai Mercati Emergenti.
Il Comparto può investire in Titoli a Reddito Fisso acquisiti sul Mercato Interbancario delle Obbligazioni cinese (China Interbank Bond Market). Non più del 20% dell’attivo del Comparto può essere investito in tali strumenti.
In misura limitata il Comparto può anche investire in warrant emessi da emittenti appartenenti a Mercati Emergenti e in ETF aperti che siano investimenti consentiti per i fondi OICVM.
Il Comparto non può investire più del 20% delle sue attività in Strumenti Convertibili Speciali.
Il Comparto è gestito attivamente e i riferimenti al JP Morgan Emerging Market Bond Index Global Diversified hanno lo scopo di definire l’ambito geografico dei Paesi in cui il Comparto investe. Il Consulente per gli Investimenti ha piena discrezionalità in merito alla composizione delle attività del Comparto. Sebbene in generale il Comparto deterrà degli attivi dei Paesi ricompresi nel JP Morgan Emerging Market Bond Index Global Diversified, esso potrà anche investire in titoli di alcuni Paesi con proporzioni diverse rispetto alle ponderazioni nel JP Morgan Emerging Market Bond Index Global Diversified, e potrà anche detenere attivi non esposti ai Paesi ricompresi nel JP Morgan Emerging Market Bond Index Global Diversified. Pertanto, non vi sono limiti all’entità della deviazione della performance del Comparto rispetto al JP Morgan Emerging Market Bond Index Global Diversified. Quest’ultimo è utilizzato solo ai fini di comparazione della performance, e non integra caratteristiche ambientali o sociali.
La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto,
l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento dell’Emerging Markets Debt Fund, questo comparto può essere adatto ad investitori che:
- Intendono investire in Titoli a Reddito Fisso dei Mercati Emergenti.
- Ricercano un apprezzamento del capitale a medio termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio.”EMERGING MARKETS DEBT OPPORTUNITIES FUNDL’obiettivo di investimento dell’Emerging Markets Debt Opportunities Fund è di generare un rendimento totale, definito come reddito più rivalutazione del capitale, mediante posizioni lunghe e corte (long e short) in strumenti di debito di varia natura dei Mercati Emergenti (come definiti di seguito) attraverso valute, tassi d’interesse locali e credito sovrano e societario, investendo principalmente in (i) Titoli a Reddito Fisso di emittenti societari, governativi e collegati ai governi Situati nei paesi con Mercati Emergenti; e/o (ii) strumenti derivati denominati o aventi come sottostante valute, tassi di interesse o emittenti dei paesi con Mercati Emergenti. I Titoli a Reddito Fisso possono includere obbligazioni senza cedola (zero coupon), azioni privilegiate, obbligazioni e titoli a interesse differito e obbligazioni e titoli su cui l’interesse è pagabile sotto forma di ulteriori azioni, obbligazioni o titoli idonei dello stesso tipo (titoli con pagamento in natura o Payment-in-Kind (PIK)).

In relazione al presente Comparto, per paese con “Mercato Emergente” si intende qualsiasi paese che il Consulente per gli Investimenti ritiene abbia un’economia di mercato emergente, considerando fattori quali la stabilità politica ed economica del paese e lo sviluppo dei suoi mercati finanziari e dei capitali. I paesi con Mercati Emergenti includono i cosiddetti paesi dei mercati di frontiera. I mercati di frontiera sono una sottocategoria dei mercati emergenti e sono generalmente considerati dal Consulente per gli Investimenti come paesi che non sono paesi sviluppati e che (i) non sono ricompresi nel J.P. Morgan Emerging Markets Bond (JEMB) Hard Currency/Local Currency 50-50 Index; o (ii) rappresentano il 2% o meno del J.P. Morgan Emerging Markets Bond (JEMB) Hard Currency/Local Currency 50-50 Index, purché in ogni caso i mercati di questi paesi siano considerati mercati riconosciuti ai sensi dell’articolo 41(1) della Legge del 2010. Il Comparto non investe in paesi sviluppati se non per finalità di copertura,
esposizione a Titoli a Reddito Fisso denominati in valute di paesi con Mercati Emergenti e investimento (anche mediante strumenti derivati) in titoli del Tesoro statunitense e titoli governativi e di agenzie statunitensi e titoli garantiti da ipoteca di tali agenzie.
Il Comparto può avere investimenti significativi in una regione geografica o in un Paese e, fatto salvo quanto precede nel presente paragrafo, non vi sono limiti all’esposizione del Comparto a una regione geografica o a un Paese. Non è previsto che il Comparto si concentri su un particolare settore o industria.
I Titoli a Reddito Fisso detenuti dal Comparto avranno forma di obbligazioni e titoli obbligazionari di emittenti sovrani, titoli garantiti da ipoteche e titoli obbligazionari cartolarizzati, titoli di debito convertibili (che possono incorporare dei derivati), strumenti convertibili speciali, obbligazioni di enti locali, obbligazioni e titoli di debito obbligazionari societari (corporate bond), titoli di debito a tasso fisso e variabile, titoli di partecipazione a finanziamenti e cessioni di crediti nella misura in cui siano cartolarizzati, e titoli di partecipazione.
Il Comparto può investire in strumenti con qualsiasi rating di credito, compresi quelli con rating inferiore a investment grade (con rating inferiore a BBB di Standard & Poor’s Ratings Services o Fitch Ratings, o inferiore a Baa di Moody’s Investors Service, Inc.) o in strumenti senza rating considerati di qualità comparabile dal Consulente per gli Investimenti.
Nel valutare i Titoli a Reddito Fisso emessi da società dei mercati emergenti e nelle sue interlocuzioni con gli emittenti, il Consulente per gli Investimenti include una valutazione dei rischi e delle opportunità legati alla sostenibilità nel processo di valutazione per determinare gli impatti sui fondamentali del credito, le implicazioni per la valutazione e gli spread, la valuta e la durata / i tassi locali, e qualsiasi aspetto sostanziale che possa influenzare le tecniche di negoziazione dei Titoli a Reddito Fisso. Questi criteri possono includere, a titolo non esaustivo, tematiche ESG come le emissioni di carbonio, la vulnerabilità climatica, la conservazione delle foreste, l’aspettativa di vita e la salute, l’istruzione, gli standard di vita, la possibilità di esprimersi e la responsabilità, la stabilità politica, il governo effettivo, la qualità delle norme, lo stato di diritto, la corruzione e la violenza/terrorismo. Il Consulente per gli Investimenti monitorerà i principali indicatori di sostenibilità, comprese le valutazioni ESG di fornitori terzi, al fine di misurare e valutare il contributo dei Titoli a Reddito Fisso alle tematiche ESG sopra descritte. Gli indicatori saranno misurati e valutati almeno annualmente.
Il Consulente per gli Investimenti utilizza anche un quadro di valutazione di propria concezione per le obbligazioni definite come
sostenibili, attraverso il quale vengono valutati la solidità, l’impatto e la trasparenza di tali strumenti.
Il Consulente per gli Investimenti promuove le pratiche di buon governo e sociali da parte degli emittenti societari. Di conseguenza, il Consulente per gli Investimenti non effettuerà nuovi investimenti in emittenti presso cui abbiano luogo comprovate e significative violazioni sociali (intese come attività che violano un modo significativo i diritti di un singolo o di un gruppo). Tuttavia, gli eventuali investimenti già effettuati in tali emittenti non dovranno necessariamente essere venduti, e quelli che mostrano una tendenza positiva rispetto a simili violazioni non saranno soggetti alle limitazioni all’acquisto di titoli. Il Consulente per gli Investimenti renderà nota la metodologia utilizzata per valutare le violazioni sociali significative su www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im.
Con riferimento agli investimenti in Titoli a Reddito Fisso di emittenti societari, gli investimenti non potranno ricomprendere consapevolmente qualsiasi società la cui attività commerciale copra i seguenti settori:
- fabbricazione o produzione di armi controverse;
- fabbricazione o produzione di armi da fuoco civili; e
- fabbricazione o produzione di tabacco.

Per quanto riguarda specificatamente le attività legate ai combustibili fossili, il Consulente per gli Investimenti può confrontarsi con gli amministratori delle società sui temi della decarbonizzazione e del rischio climatico, nonché sulle pratiche di governance societaria e su quelle che ritiene essere altre questioni ambientali e/o sociali di notevole importanza per una società. Gli investimenti non potranno ricomprendere consapevolmente qualsiasi società la cui attività commerciale comporta l’estrazione di carbone termico, qualora la stessa società ottenga più del 5% dei propri ricavi da questa attività commerciale.
Come eccezione a quanto precede, il Comparto può investire in obbligazioni definite come sostenibili, o in altri titoli di debito emessi per raccogliere capitali specificamente per progetti ambientali o legati al clima, emessi da soggetti che sarebbero altrimenti soggetti alla suddetta esclusione dei combustibili fossili, nella misura in cui sia stato indicato che gli obiettivi di tali strumenti sono coerenti con una riduzione delle emissioni di carbonio dell’emittente. Gli investimenti in tali strumenti saranno soggetti a verifiche da parte del Consulente per gli Investimenti.
Oltre alle esclusioni settoriali di cui sopra, il Consulente per gli Investimenti verifica costantemente le pratiche commerciali attraverso i dati sulle controversie ESG ed il controllo degli standard provenienti da fornitori terzi. Il Consulente per gli
Investimenti prenderà in considerazione i casi di controversia che considera molto gravi in base alle valutazioni dei competenti fornitori di dati ESG, nonché le violazioni del Global Compact delle Nazioni Unite o dei principi fondamentali dell’Ufficio Internazionale del Lavoro, anche se tali eventi non comporteranno automaticamente l’esclusione dal portafoglio.
Il Consulente per gli Investimenti promuove le pratiche di buon governo e sociali da parte degli emittenti sovrani. Di conseguenza, il Consulente per gli Investimenti non effettuerà nuovi investimenti in Paesi in cui abbiano luogo comprovate e significative violazioni sociali (intese come significative mancanze da parte del Governo nell’assicurare che i diritti di un singolo o di un gruppo non siano violati). Tuttavia, gli eventuali investimenti già effettuati in tali paesi non dovranno necessariamente essere venduti, e i Paesi che mostrano una tendenza positiva rispetto a simili violazioni non saranno soggetti alle limitazioni all’acquisto di titoli. Il Consulente per gli Investimenti renderà nota sul proprio sito la metodologia utilizzata per valutare le violazioni sociali.
In aggiunta a quanto precede, il Consulente per gli Investimenti può, a propria discrezione, scegliere di applicare nel tempo ulteriori restrizioni agli investimenti legati all’ESG che ritiene coerenti con gli obiettivi di investimento del Comparto. Tali ulteriori restrizioni saranno rese note ogni volta che vengano attuate su www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im.
Gli investimenti detenuti dal Comparto che a seguito dell’applicazione dei criteri ESG diventino non ammissibili dopo essere stati acquisiti per il Comparto saranno venduti. Tali vendite saranno disposte con tempistiche determinate dal Consulente per gli Investimenti, tenendo conto in primo luogo degli interessi degli Azionisti del Comparto. Il Consulente per gli Investimenti utilizza dati di terzi e in alcuni casi i dati su emittenti specifici, delle tematiche ESG o le esclusioni di cui sopra potrebbero non essere disponibili e/o essere stimati dal Consulente per gli Investimenti utilizzando metodologie interne o stime ragionevoli. Le metodologie utilizzate dai diversi fornitori di dati possono variare e portare a punteggi diversi.
Il Comparto può investire in emittenti che potrebbero non contribuire essi stessi alle specifiche caratteristiche ambientali o sociali promosse dal Comparto, come strumenti di copertura, investimenti non verificati ai fini della diversificazione, investimenti per i quali mancano dati o liquidità detenuta in via accessoria.
Il Consulente per gli Investimenti ritiene che, poiché le questioni di sostenibilità sono fonti di rischio e rendimento a lungo termine, l’integrazione dei rischi di sostenibilità come sopra indicato possa contribuire a migliorare i rendimenti del Comparto nel lungo
periodo. Ulteriori informazioni sull’integrazione dei rischi di sostenibilità in relazione alla Società sono incluse nella sezione del Prospetto intitolata “Informazioni generali riguardanti l’integrazione del Rischio di Sostenibilità”.
Nella gestione del Comparto, il Consulente per gli Investimenti esegue ricerche e analisi macroeconomiche e politiche sui singoli paesi. Prende in considerazione, tra gli altri, fattori quali il sistema e l’ambiente politico di un paese, la politica fiscale, la politica monetaria, la politica dei redditi (cioè qualsiasi politica governativa che influisce sui redditi delle società o delle persone fisiche nel paese a cui si applicano tali politiche, come la politica fiscale, i sussidi in particolari settori economici, le leggi sul salario minimo o le normative di settore) e la politica commerciale. Sulla base di questa ricerca e analisi, il Consulente per gli Investimenti cerca di identificare i paesi e le valute che ritiene abbiano il potenziale per avere rendimenti migliori rispetto a altri paesi e valute, e di anticipare i cambiamenti nelle economie globali, nei mercati, nelle condizioni politiche e in altri fattori a questo scopo. Il Consulente per gli Investimenti seleziona e regola gli investimenti nel tentativo di trarre vantaggio dalle differenze nei valori percepiti delle valute dei paesi, dei tassi di interesse e degli spread di credito. Per attuare le decisioni d’investimento, il Consulente per gli Investimenti seleziona una classe di attività e uno strumento specifico che esprime nel modo migliore e più efficiente la visione del Consulente per gli Investimenti di quel particolare paese. Il Consulente per gli Investimenti considera le caratteristiche di rischio/rendimento relativo dei potenziali investimenti nel determinare i mezzi più efficienti per raggiungere le esposizioni desiderate.
Il Comparto può anche investire, in via accessoria, in Titoli a Reddito Fisso non conformi ai criteri per gli investimenti principali del Comparto, titoli azionari, warrant su titoli, Attività Equivalenti alla Liquidità e altri titoli collegati alle azioni.
Il Comparto può investire in misura limitata in quote/azioni di altri organismi di investimento collettivo, inclusi i Comparti della Società ed ETF aperti, che siano investimenti ammissibili per gli OICVM ai sensi della Legge del 2010.
Il Comparto non può investire più del 20% delle sue attività in titoli di debito che non pagano un delle distribuzioni periodiche in previsione dell’ottenimento di possibili proventi futuri o di una rivalutazione del capitale che siano privi di rating o classificati come obbligazioni con il rating più basso (rating C da Moody’s o D da S&P).
Il Comparto non può investire più del 10% delle sue attività in note di partecipazione.
Il Comparto non può investire più del 20% delle sue attività in Strumenti Convertibili Speciali.
Il Comparto non può investire più del 20% delle sue attività totali in titoli obbligazionari cartolarizzati (ABS) e/o in titoli garantiti da ipoteche (MBS).
Al fine di incrementare i rendimenti e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) utilizzare opzioni, contratti a termine (future) e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini di investimento e della gestione efficiente del portafoglio (compresa la copertura).
Il Comparto è gestito attivamente e fa riferimento all’indice J.P. Morgan Emerging Markets Bond (JEMB) Hard Currency/Local Currency 50-50 allo scopo di definire un’allocazione geografica dei paesi in cui il Comparto investirà e monitorare il discostamento rispetto al benchmark. Il Consulente per gli Investimenti ha piena discrezione in merito alla composizione delle attività del Comparto. Mentre il Comparto deterrà generalmente attività nell’ambito dei paesi indicati nell’indice J.P. Morgan Emerging Markets Bond (JEMB) Hard Currency/Local Currency 50-50, esso può investire in titoli di questi paesi in proporzioni diverse rispetto alle loro allocazioni nell’ambito dell’indice J.P. Morgan Emerging Markets Bond (JEMB) Hard Currency/Local Currency 50-50, e può detenere attività che non sono esposte ai paesi indicati in tale indice. Pertanto, non vi sono limiti alla misura in cui la performance del Comparto può discostarsi da quella dell’indice J.P. Morgan Emerging Markets Bond (JEMB) Hard Currency/Local Currency 50-50.
La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento dell’Emerging Markets Debt Opportunities Fund, questo comparto può essere adatto a investitori che:
- Intendono investire in Titoli a Reddito Fisso.
- Ricercano un apprezzamento del capitale nel lungo termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

EMERGING MARKETS DOMESTIC DEBT FUND
L’obiettivo di investimento dell’Emerging Markets Domestic Debt Fund è la massimizzazione del rendimento totale, denominato in Dollari USA, principalmente attraverso investimenti in un portafoglio di obbligazioni dei Mercati Emergenti e di altri Titoli a Reddito Fisso dei Mercati Emergenti (come di seguito definiti), denominati nella valuta di emissione locale. Il Comparto intende investire le sue attività in Titoli a Reddito Fisso di Paesi Emergenti che diano elevati rendimenti correnti e che nel contempo abbiano il potenziale per un aumento del capitale.
Per paesi con “Mercati Emergenti”, nell’ambito di questo Comparto, s’intendono quelli definiti dal JP Morgan Government Bond Index – Emerging Markets Global Diversified, nella misura in cui i mercati di questi paesi possano essere ritenuti mercati riconosciuti (“Mercati Riconosciuti”) ai sensi dell’Articolo 41 (1) della Legge del 2010. Poiché anche i mercati di altri paesi sono in fase di sviluppo, il Comparto si aspetta di espandere e di diversificare ulteriormente i mercati emergenti in cui investe in via principale sia nel momento in cui tali mercati siano aggiunti al JP Morgan Government Bond Index – Emerging Markets Global Diversified, sia anteriormente.
Ai fini della realizzazione del suo investimento principale nei paesi con Mercati Emergenti, il Comparto può investire in Titoli a Reddito Fisso di governi e di entità collegate ai governi di paesi con Mercati Emergenti (compresi, nella misura in cui tali strumenti siano rappresentati da titoli, partecipazioni a finanziamenti concessi da istituzioni finanziarie a governi) e in Titoli a Reddito Fisso di entità societarie situate, soggette alle leggi o con la sede principale in paesi con Mercati Emergenti denominati nella locale valuta di emissione (i “Titoli Esposti ai Mercati Emergenti”).
Il Comparto può investire in Titoli a Reddito Fisso emessi da entità costituite per ristrutturare il debito in circolazione del Paesi Emergenti.
I Titoli a Reddito Fisso detenuti dal Comparto avranno forma di obbligazioni, note, certificati, strumenti di debito, titoli convertibili, obbligazioni relative a debiti di banche, titoli a breve termine, ipoteche e, nei limiti imposti dalle norme applicabili, altri titoli rappresentativi, titoli di partecipazione a finanziamenti e cessioni di crediti nella misura in cui siano rappresentati da titoli.
Il Consulente per gli Investimenti applica dei metodi di classificazione e dei coefficienti di propria concezione che sono specifici per i Titoli a Reddito Fisso in cui il Comparto può investire e si concentrano su emittenti sovrani. Inoltre, come parte del proprio processo di ricerca di tipo bottom-up basata sui fondamentali, e nelle verifiche con gli emittenti, il Consulente per gli Investimenti incorpora una valutazione dei rischi e delle opportunità legati alla sostenibilità nel processo di valutazione per determinare gli impatti sui fondamentali del credito, le implicazioni per la valutazione e gli spread, e qualsiasi aspetto sostanziale che possa influenzare le tecniche di negoziazione dei Titoli a Reddito Fisso. Questi criteri possono ricomprendere, a titolo non esaustivo, delle tematiche ESG come le emissioni di carbonio, la vulnerabilità climatica, la protezione delle foreste, le aspettative di vita e di salute, l’istruzione, il tenore di vita, la voce e la responsabilità sociale, la stabilità politica, l’efficacia dell’azione di governo, la qualità delle leggi, lo stato di diritto, la corruzione, la violenza e il terrorismo. Il Consulente per gli Investimenti monitorerà i principali indicatori di sostenibilità, comprese le valutazioni ESG fornite da terzi al fine di misurare e valutare il contributo dei Titoli a Reddito Fisso alle tematiche ESG sopra descritte. Gli indicatori saranno misurati e valutati almeno su base annuale.
Il Consulente per gli Investimenti utilizza anche un quadro di valutazione di propria concezione per le obbligazioni definite come sostenibili, attraverso il quale vengono valutati la solidità, l’impatto e la trasparenza di tali strumenti.
Il Consulente per gli Investimenti promuove le pratiche di buon governo e sociali da parte degli emittenti sovrani. Di conseguenza, il Consulente per gli Investimenti non effettuerà nuovi investimenti in paesi in cui abbiano luogo comprovate e significative violazioni sociali. Tuttavia, gli eventuali investimenti già effettuati in tali paesi non dovranno necessariamente essere venduti, e i paesi che mostrano una tendenza positiva rispetto a simili violazioni non saranno soggetti alle limitazioni all’acquisto di titoli. Il Consulente per gli Investimenti renderà nota la metodologia utilizzata per valutare le violazioni sociali significative su www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im.
Con specifico riferimento agli emittenti societari, gli investimenti non potranno ricomprendere consapevolmente qualsiasi società la cui attività commerciale copra i seguenti settori:
- fabbricazione o produzione di armi controverse;
- fabbricazione o produzione di armi da fuoco civili; e
- fabbricazione o produzione di tabacco.

Per quanto riguarda specificatamente le attività legate ai combustibili fossili, il Consulente per gli Investimenti può confrontarsi con gli
amministratori delle società sui temi della decarbonizzazione e del rischio climatico, nonché sulle pratiche di governance societaria e su quelle che ritiene essere altre questioni ambientali e/o sociali di notevole importanza per una società. Gli investimenti non potranno ricomprendere consapevolmente qualsiasi società la cui attività commerciale comporta l’estrazione di carbone termico, qualora la stessa società ottenga più del 5% dei propri ricavi da questa attività commerciale.
Come eccezione a quanto precede, il Comparto può investire in obbligazioni definite come sostenibili, o in altri titoli di debito emessi per raccogliere capitali specificamente per progetti ambientali o legati al clima, emessi da soggetti che sarebbero altrimenti soggetti alla suddetta esclusione dei combustibili fossili, nella misura in cui sia stato indicato che gli obiettivi di tali strumenti sono coerenti con una riduzione delle emissioni di carbonio dell’emittente. Gli investimenti in tali strumenti saranno soggetti a verifiche da parte del Consulente per gli Investimenti.
Oltre alle esclusioni settoriali di cui sopra, il Consulente per gli Investimenti verifica costantemente le pratiche commerciali attraverso i dati sulle controversie ESG ed il controllo degli standard provenienti da fornitori terzi. Il Consulente per gli Investimenti prenderà in considerazione i casi di controversia che considera molto gravi in base alle valutazioni dei competenti fornitori di dati ESG, nonché le violazioni del Global Compact delle Nazioni Unite o dei principi fondamentali dell’Ufficio Internazionale del Lavoro, anche se tali eventi non comporteranno automaticamente l’esclusione dal portafoglio.
In aggiunta a quanto precede, il Consulente per gli Investimenti può, a propria discrezione, scegliere di applicare nel tempo ulteriori restrizioni agli investimenti legati all’ESG che ritiene coerenti con i suoi obiettivi di investimento. Tali ulteriori restrizioni saranno rese note ogni volta che vengano attuate su www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im.
Gli investimenti detenuti dal Comparto che a seguito dell’applicazione dei criteri ESG diventino non ammissibili dopo essere stati acquisiti per il Comparto saranno venduti. Tali vendite saranno disposte con tempistiche determinate dal Consulente per gli Investimenti, tenendo conto in primo luogo degli interessi degli Azionisti del Comparto. Il Consulente per gli Investimenti utilizza dati di terzi e in alcuni casi i dati su emittenti specifici, delle tematiche ESG o le esclusioni di cui sopra potrebbero non essere disponibili e/o essere stimati dal Consulente per gli Investimenti utilizzando metodologie interne o stime ragionevoli. Anche le metodologie utilizzate dai diversi fornitori di dati possono variare e portare a punteggi diversi.
Il Comparto può investire in emittenti che potrebbero non contribuire essi stessi alle specifiche caratteristiche ambientali o sociali promosse dal prodotto finanziario, come strumenti di copertura, investimenti non verificati ai fini della diversificazione, o investimenti per i quali mancano dati.
Al fine di incrementare il rendimento e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) utilizzare opzioni, contratti a termine (future) e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini di investimento e della gestione efficiente del portafoglio (compresa la copertura).
Il Comparto può investire altresì in via accessoria nelle suddette classi di Titoli a Reddito Fisso qualora tali titoli siano emessi da emittenti costituiti ai sensi delle leggi e situati (1) né in paesi con Mercati Sviluppati (ai fini del presente Comparto, come definiti nel JP Morgan Government Bond Index – Emerging Markets Global Diversified) né in paesi con Mercati Emergenti; o (2) in paesi con Mercati Sviluppati ma con i Titoli a Reddito Fisso che non sono Titoli Esposti ai Mercati Emergenti.
Inoltre, il Comparto può investire in via accessoria in Titoli a Reddito Fisso non denominati nella valuta di emissione locale, a condizione che per temporanee esigenze di tutela, nel corso di periodi nei quali la Società ritenga che mutamenti delle condizioni economiche, finanziarie o politiche lo rendano consigliabile, il Comparto può ridurre le proprie partecipazioni denominate nella locale valuta di emissione dei Mercati Emergenti al di sotto del 50% delle attività del Comparto ed investire in Titoli a Reddito Fisso idonei denominati nelle valute di paesi con Mercati Sviluppati.
Il Comparto può anche investire, in misura limitata, in warrant su valori mobiliari emessi da emittenti appartenenti a paesi con Mercati Emergenti e in ETF aperti che siano investimenti consentiti per i fondi OICVM.
Il Comparto non può investire più del 20% delle sue attività in Strumenti Convertibili Speciali.
Il Comparto può investire in Titoli a Reddito Fisso acquisiti sul Mercato Interbancario delle Obbligazioni cinese (China Interbank Bond Market). Non più del 20% dell’attivo del Comparto può essere investito in tali strumenti.
Il Comparto è gestito attivamente e i riferimenti al JP Morgan Government Bond Index – Emerging Markets Global Diversified hanno lo scopo di definire l’ambito geografico dei Paesi in cui il Comparto investe. Il Consulente per gli Investimenti ha piena discrezionalità in merito alla composizione delle attività del Comparto. Sebbene in generale il Comparto deterrà degli attivi dei
Paesi ricompresi nel JP Morgan Government Bond Index – Emerging Markets Global Diversified, esso potrà anche investire in titoli di alcuni Paesi con proporzioni diverse rispetto alle ponderazioni nel JP Morgan Government Bond Index – Emerging Markets Global Diversified, e potrà anche detenere attivi non esposti ai Paesi ricompresi nel JP Morgan Government Bond Index – Emerging Markets Global Diversified. Pertanto, non vi sono limiti all’entità della deviazione della performance del Comparto rispetto a quella del JP Morgan Government Bond Index – Emerging Markets Global Diversified. Quest’ultimo è utilizzato solo ai fini di comparazione della performance, e non integra caratteristiche ambientali o sociali.
La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento dell’Emerging Markets Domestic Debt Fund, questo comparto può essere adatto a investitori che:
- Intendono investire in Titoli a Reddito Fisso dei Mercati Emergenti.
- Ricercano un apprezzamento del capitale a medio termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”, specificamente i rischi relativi ai Mercati Emergenti ed in particolare ai Titoli a Reddito Fisso denominati nella valuta dei paesi di investimento.”EMERGING MARKETS FIXED INCOME OPPORTUNITIES FUNDL’obiettivo di investimento dell’Emerging Markets Fixed Income Opportunities Fund è la massimizzazione del rendimento totale, denominato in Dollari statunitensi, principalmente attraverso investimenti in Titoli a Reddito Fisso di emittenti con sede in Paesi con Mercati Emergenti, o in emissioni denominate nelle valute diPaesi con Mercati Emergenti. Il Comparto intende investire le sue attività in Titoli a Reddito Fisso di paesi con Mercati Emergenti che diano luogo a elevati rendimenti correnti e che nel contempo abbiano il potenziale per un aumento del capitale.

Per paesi con “Mercati Emergenti”, nell’ambito di questo Comparto, s’intendono quelli definiti dal JP Morgan Emerging Markets Blended Index – Equally Weighted, che è un indice risultante dalla combinazione degli indici JP Morgan Emerging Market Bond Index Global Diversified, JP Morgan Corporate Emerging Market Bond Index Broad Diversified e JP Morgan Government Bond Index –Emerging Markets Global Diversified Index, ognuno con la stessa ponderazione, nella misura in cui i mercati di questi paesi possano essere ritenuti mercati riconosciuti (“Mercati Riconosciuti”) ai sensi dell’Articolo 41 (1) della Legge del 2010. Al fine di evitare dubbi, un investimento in un’emissione compresa in questo indice costituirà un investimento nel contesto della primaria strategia di investimento del Comparto. Poiché anche i mercati di altri paesi sono in fase di sviluppo, il Comparto si aspetta di espandere e di diversificare ulteriormente i mercati emergenti in cui investe in via principale nel momento in cui tali mercati siano aggiunti a tale indice.
Ai fini della realizzazione del suo investimento principale nei paesi con Mercati Emergenti, il Comparto può anche investire nei Titoli a Reddito Fisso di società costituite e situate in paesi con Mercati Sviluppati (nell’ambito del presente Comparto, come definiti da JP Morgan Government Bond Index) qualora il valore dei titoli di tale società sia influenzato principalmente dalla situazione di un paese con Mercati Emergenti o il cui principale mercato di negoziazione di titoli sia in un paese con Mercato Emergente, o qualora il 50% del reddito della società in questione, da solo o su base consolidata, derivi o da beni prodotti, vendite effettuate o servizi resi in paesi con Mercati Emergenti (“Titoli Esposti ai Mercati Emergenti”).
Il Comparto può investire in Titoli a Reddito Fisso di entità incaricate della ristrutturazione del debito ancora non pagato di emittenti di Mercati Emergenti.
Il Consulente per gli Investimenti applica dei metodi di classificazione e dei coefficienti di propria concezione che sono specifici per i Titoli a Reddito Fisso in cui il Comparto può investire e si concentrano su emittenti societari, sovrani e veicoli di cartolarizzazioni. Inoltre, come parte del proprio processo di ricerca di tipo bottom-up basata sui fondamentali, e nelle verifiche con gli emittenti, il Consulente per gli Investimenti incorpora una valutazione dei rischi e delle opportunità legati alla sostenibilità nel processo di valutazione per determinare gli impatti sui fondamentali del credito, le implicazioni per la valutazione e gli spread, e qualsiasi aspetto sostanziale che possa influenzare le tecniche di negoziazione dei Titoli a Reddito Fisso. Questi criteri possono ricomprendere, a
titolo non esaustivo, delle tematiche ESG come la decarbonizzazione e il rischio climatico, l’economia circolare e la riduzione dei rifiuti, l’inclusività e il rispetto delle diversità nelle attività, il lavoro dignitoso e la solidità dell’occupazione. Il Consulente per gli Investimenti monitorerà i principali indicatori di sostenibilità, comprese le valutazioni ambientali, sociali e di governance fornite da terzi, e l’impronta di carbonio (misurata come intensità di carbonio, definita come tonnellate di CO2 per 1 milione di dollari di entrate per la parte del Comparto investita in obbligazioni emesse da società) al fine di misurare e valutare il contributo dei Titoli a Reddito Fisso alle tematiche ESG sopra descritte. Gli indicatori saranno misurati e valutati almeno su base annuale.
Il Consulente per gli Investimenti utilizza anche un quadro di valutazione di propria concezione per le obbligazioni definite come sostenibili, attraverso il quale vengono valutati la solidità, l’impatto e la trasparenza di tali strumenti.
Il Consulente per gli Investimenti promuove la transizione verso basse emissioni di carbonio escludendo gli emittenti corporate che hanno la produzione di carbone termico tra le attività principali, e promuove la vita umana escludendo i prodotti che sono dannosi per la salute e il benessere, in particolare il tabacco, le armi controverse e la produzione delle armi da fuoco civili. Di conseguenza, gli investimenti non potranno ricomprendere consapevolmente qualsiasi società la cui attività commerciale riguardi i seguenti settori:
- fabbricazione o produzione di armi controverse;
- fabbricazione o produzione di armi da fuoco civili; e
- fabbricazione o produzione di tabacco.

Per quanto riguarda specificatamente le attività legate ai combustibili fossili, il Consulente per gli Investimenti può confrontarsi con gli amministratori delle società sui temi della decarbonizzazione e del rischio climatico, nonché sulle pratiche di governance societaria e su quelle che ritiene essere altre questioni ambientali e/o sociali di notevole importanza per una società. Gli investimenti non potranno ricomprendere consapevolmente qualsiasi società la cui attività commerciale comporta l’estrazione di carbone termico, qualora la stessa società ottenga più del 5% dei propri ricavi da questa attività commerciale.
Come eccezione a quanto precede, il Comparto può investire in obbligazioni definite come sostenibili, o in altri titoli di debito emessi per raccogliere capitali specificamente per progetti ambientali o legati al clima, emessi da entità che sarebbero altrimenti soggette alla suddetta esclusione dei combustibili fossili, nella misura in cui sia stato indicato che gli obiettivi di tali strumenti sono coerenti con una riduzione delle emissioni di carbonio dell’emittente. Gli investimenti in tali strumenti saranno soggetti a verifiche da parte
del Consulente per gli Investimenti. Il Comparto può investire in emittenti che potrebbero non contribuire essi stessi alle specifiche caratteristiche ambientali o sociali promosse dal prodotto finanziario, come strumenti di copertura, investimenti non verificati ai fini della diversificazione, o investimenti per i quali mancano dati.
Oltre alle esclusioni settoriali di cui sopra, il Consulente per gli Investimenti verifica costantemente le pratiche commerciali attraverso i dati sulle controversie ESG ed il controllo degli standard provenienti da fornitori terzi. Il Consulente per gli Investimenti prenderà in considerazione i casi di controversia che considera molto gravi in base alle valutazioni dei competenti fornitori di dati ESG, nonché le violazioni del Global Compact delle Nazioni Unite o dei principi fondamentali dell’Ufficio Internazionale del Lavoro, anche se tali eventi non comporteranno automaticamente l’esclusione dal portafoglio.
In aggiunta a quanto precede, il Consulente per gli Investimenti può, a propria discrezione, scegliere di applicare nel tempo ulteriori restrizioni agli investimenti legati all’ESG che ritiene coerenti con i suoi obiettivi di investimento. Tali ulteriori restrizioni saranno rese note ogni volta che vengano attuate su www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im.
Gli investimenti detenuti dal Comparto che a seguito dell’applicazione dei criteri ESG diventino non ammissibili dopo essere stati acquisiti per il Comparto saranno venduti. Tali vendite saranno disposte con tempistiche determinate dal Consulente per gli Investimenti, tenendo conto in primo luogo degli interessi degli Azionisti del Comparto. Il Consulente per gli Investimenti utilizza dati di terzi e in alcuni casi i dati su emittenti specifici, delle tematiche ESG o le esclusioni di cui sopra potrebbero non essere disponibili e/o essere stimati dal Consulente per gli Investimenti utilizzando metodologie interne o stime ragionevoli. Anche le metodologie utilizzate dai diversi fornitori di dati possono variare e portare a punteggi diversi.
Il Comparto può investire in via accessoria in Titoli a Reddito Fisso emessi da emittenti costituiti e situati (1) nè in paesi con Mercati Sviluppati né in paesi con Mercati Emergenti; o (2) in paesi con Mercati Sviluppati a condizione che i titoli non siano Titoli Esposti ai Mercati Emergenti.
Il Comparto può investire in Titoli a Reddito Fisso acquisiti sul Mercato Interbancario delle Obbligazioni cinese (China Interbank Bond Market). Non più del 20% dell’attivo del Comparto può essere investito in tali strumenti.
Il Comparto può investire in misura limitata in quote/azioni di altri organismi di investimento collettivo, inclusi i Comparti della Società ed ETF aperti, nella misura in cui un ETF sia un investimento ammissibile per gli OICVM.
Al fine di incrementare il rendimento e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) utilizzare opzioni, contratti a termine (future) e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini di investimento e della gestione efficiente del portafoglio (compresa la copertura).
Il Comparto non può investire più del 20% delle sue attività in Strumenti Convertibili Speciali.
Il Comparto è gestito attivamente e i riferimenti al JP Morgan Emerging Markets Blended Index – Equally Weighted hanno lo scopo di definire l’ambito geografico dei Paesi in cui il Comparto investe. Il Consulente per gli Investimenti ha piena discrezionalità in merito alla composizione delle attività del Comparto. Sebbene in generale il Comparto deterrà degli attivi dei Paesi ricompresi nel JP Morgan Emerging Markets Blended Index – Equally Weighted, esso potrà anche investire in titoli di alcuni Paesi con proporzioni diverse, e potrà anche detenere attivi non esposti ai Paesi ricompresi nel JP Morgan Emerging Markets Blended Index – Equally Weighted. Pertanto, non vi sono limiti all’entità della deviazione della performance del Comparto rispetto al JP Morgan Emerging Markets Blended Index – Equally Weighted.
La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento dell’Emerging Markets Fixed Income Opportunities Fund, questo comparto può essere adatto a investitori che:
- Intendono investire in Titoli a Reddito Fisso.
- Ricercano un apprezzamento del capitale a medio termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

EMERGING MARKETS LOCAL INCOME FUND
L’obiettivo di investimento dell’Emerging Markets Local Income Fund è di generare un rendimento totale, definito come reddito più rivalutazione del capitale, mediante la costituzione di un insieme di strumenti di debito di Mercati Emergenti (come di seguito definiti) denominati nelle diverse valute locali e con tassi di interesse differenziati, investendo principalmente in (i) Titoli a Reddito Fisso di emittenti societari, governativi e collegati ai governi Situati nei paesi con Mercati Emergenti; e/o (ii) strumenti derivati denominati o aventi come sottostante valute, tassi di interesse o emittenti dei paesi con Mercati Emergenti (i) Titoli a Reddito Fisso di emittenti societari, governativi e collegati ai governi Situati nei paesi con Mercati Emergenti o denominati in valute di paesi con Mercati Emergenti; e/o (ii) strumenti derivati denominati o aventi come sottostante valute, tassi di interesse o emittenti dei paesi con Mercati Emergenti.
In relazione al presente Comparto, per paese con “Mercati Emergenti” si intende qualsiasi paese che non è diventato membro dell’OCSE prima del 1975 e la Turchia. I paesi con mercati emergenti includono i cosiddetti paesi con mercati di frontiera, che generalmente sono considerati dal Consulente per gli Investimenti come paesi meno sviluppati che: (i) non sono inclusi nel J.P. Morgan Government Bond Index: Emerging Market (JPM GBI- EM) Global Diversified; o (ii) rappresentano il 2% o meno del J.P. Morgan Government Bond Index: Emerging Market (JPM GBI- EM) Global Diversified.
Il Comparto può avere investimenti significativi in una regione geografica o in un Paese. Non è previsto che il Comparto si concentri su un particolare settore o industria.
I Titoli a Reddito Fisso detenuti dal Comparto avranno forma di obbligazioni e titoli obbligazionari di emittenti sovrani, titoli garantiti da ipoteche e titoli obbligazionari cartolarizzati, titoli di debito convertibili, obbligazioni di enti locali, obbligazioni e titoli di debito obbligazionari societari, titoli di debito a tasso fisso e variabile e, in misura limitata, titoli di partecipazione. I Titoli a Reddito Fisso possono includere obbligazioni senza cedola (zero coupon), azioni privilegiate, obbligazioni e titoli a interesse differito e obbligazioni e titoli su cui l’interesse è pagabile sotto forma di ulteriori azioni, obbligazioni o titoli dello stesso tipo (titoli con pagamento in natura o Payment-in-Kind (PIK)).
Il Comparto può investire in strumenti con qualsiasi rating di credito, compresi quelli con rating inferiore a investment grade (con rating inferiore a BBB di Standard & Poor’s Ratings Services o Fitch Ratings, o inferiore a Baa di Moody’s Investors Service, Inc.) o in strumenti senza rating considerati di qualità comparabile dal Consulente per gli Investimenti.
Il processo e la strategia d’investimento cercano di identificare i singoli mercati emergenti e le rispettive valute che avranno un andamento migliore rispetto ad altri mercati emergenti comparabili e le loro valute. I principali fattori di rischio nell’analisi del debito dei mercati emergenti sono il credito, la duration, il cambio e il rischio di sostenibilità. Uno qualsiasi o tutti questi fattori possono essere identificati come potenzialmente in grado di contribuire alla sovraperformance. Pertanto, in alcuni casi, il Gestore degli Investimenti riterrà che la valuta di un paese si apprezzerà e cercherà di ottenere un’esposizione a tale valuta per mezzo degli strumenti derivati di cui sopra o l’investimento in titoli denominati in tale valuta.
Nel valutare i Titoli a Reddito Fisso emessi da società dei mercati emergenti e nelle sue interlocuzioni con gli emittenti, il Consulente per gli Investimenti include una valutazione dei rischi e delle opportunità legati alla sostenibilità nel processo di valutazione per determinare gli impatti sui fondamentali del credito, le implicazioni per la valutazione e gli spread, la valuta e la durata / i tassi locali, e qualsiasi aspetto sostanziale che possa influenzare le tecniche di negoziazione dei Titoli a Reddito Fisso. Questi criteri possono includere, a titolo non esaustivo, tematiche ambientali, sociali e di governo societario (“
ESG
”) come le emissioni di carbonio, la vulnerabilità climatica, la conservazione delle foreste, l’aspettativa di vita e la salute, l’istruzione, gli standard di vita, la possibilità di esprimersi e la responsabilità, la stabilità politica, l’efficacia dell’azione di governo, la qualità delle norme, lo stato di diritto, la corruzione e la violenza/terrorismo. Il Consulente per gli Investimenti monitorerà i principali indicatori di sostenibilità, comprese le valutazioni ESG di fornitori terzi, al fine di misurare e valutare il contributo dei Titoli a Reddito Fisso alle tematiche ESG sopra descritte. Gli indicatori saranno misurati e valutati almeno annualmente.
Il Consulente per gli Investimenti utilizza anche un quadro di valutazione di propria concezione per le obbligazioni definite come sostenibili, attraverso il quale vengono valutati la solidità, l’impatto e la trasparenza di tali strumenti.
Il Consulente per gli Investimenti promuove le pratiche di buon governo e sociali da parte degli emittenti societari. Di conseguenza, il Consulente per gli Investimenti non effettuerà nuovi investimenti in emittenti presso cui abbiano luogo comprovate e significative violazioni sociali (intese come attività che violano un modo
significativo i diritti di un singolo o di un gruppo). Tuttavia, gli eventuali investimenti già effettuati in tali emittenti non dovranno necessariamente essere venduti, e quelli che mostrano una tendenza positiva rispetto a simili violazioni non saranno soggetti alle limitazioni all’acquisto di titoli. Il Consulente per gli Investimenti renderà nota la metodologia utilizzata per valutare le violazioni sociali significative su www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im.
Con riferimento agli investimenti in Titoli a Reddito Fisso di emittenti societari, gli investimenti non potranno ricomprendere consapevolmente qualsiasi società la cui attività commerciale copra i seguenti settori:
- fabbricazione o produzione di armi controverse;
- fabbricazione o produzione di armi da fuoco civili; e
- fabbricazione o produzione di tabacco.

Per quanto riguarda specificatamente le attività legate ai combustibili fossili, il Consulente per gli Investimenti può confrontarsi con gli amministratori delle società sui temi della decarbonizzazione e del rischio climatico, nonché sulle pratiche di governance societaria e su quelle che ritiene essere altre questioni ambientali e/o sociali di notevole importanza per una società. Gli investimenti non potranno ricomprendere consapevolmente qualsiasi società la cui attività commerciale comporta l’estrazione di carbone termico, qualora la stessa società ottenga più del 5% dei propri ricavi da questa attività commerciale.
Come eccezione a quanto precede, il Comparto può investire in obbligazioni definite come sostenibili, o in altri titoli di debito emessi per raccogliere capitali specificamente per progetti ambientali o legati al clima, emessi da soggetti che sarebbero altrimenti soggetti alla suddetta esclusione dei combustibili fossili, nella misura in cui sia stato indicato che gli obiettivi di tali strumenti sono coerenti con una riduzione delle emissioni di carbonio dell’emittente. Gli investimenti in tali strumenti saranno soggetti a verifiche da parte del Consulente per gli Investimenti.
Oltre alle esclusioni settoriali di cui sopra, il Consulente per gli Investimenti verifica costantemente le pratiche commerciali attraverso i dati sulle controversie ESG ed il controllo degli standard provenienti da fornitori terzi. Il Consulente per gli Investimenti prenderà in considerazione i casi di controversia che considera molto gravi in base alle valutazioni dei competenti fornitori di dati ESG, nonché le violazioni del Global Compact delle Nazioni Unite o dei principi fondamentali dell’Ufficio Internazionale del Lavoro, anche se tali eventi non comporteranno automaticamente l’esclusione dal portafoglio.
Il Consulente per gli Investimenti promuove le pratiche di buon governo e sociali da parte degli emittenti sovrani. Di conseguenza, il Consulente per gli Investimenti non effettuerà nuovi investimenti in Paesi in cui abbiano luogo comprovate e significative violazioni sociali (intese come significative mancanze da parte del Governo nell’assicurare che i diritti di un singolo o di un gruppo non siano violati). Tuttavia, gli eventuali investimenti già effettuati in tali paesi non dovranno necessariamente essere venduti, e i Paesi che mostrano una tendenza positiva rispetto a simili violazioni non saranno soggetti alle limitazioni all’acquisto di titoli. Il Consulente per gli Investimenti renderà nota sul proprio sito la metodologia utilizzata per valutare le violazioni sociali.
In aggiunta a quanto precede, il Consulente per gli Investimenti può, a propria discrezione, scegliere di applicare nel tempo ulteriori restrizioni agli investimenti legati all’ESG che ritiene coerenti con gli obiettivi di investimento del Comparto. Tali ulteriori restrizioni saranno rese note ogni volta che vengano attuate su www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im.
Gli investimenti detenuti dal Comparto che a seguito dell’applicazione dei criteri ESG diventino non ammissibili dopo essere stati acquisiti per il Comparto saranno venduti. Tali vendite saranno disposte con tempistiche determinate dal Consulente per gli Investimenti, tenendo conto in primo luogo degli interessi degli Azionisti del Comparto. Il Consulente per gli Investimenti utilizza dati di terzi e in alcuni casi i dati su emittenti specifici, delle tematiche ESG o le esclusioni di cui sopra potrebbero non essere disponibili e/o essere stimati dal Consulente per gli Investimenti utilizzando metodologie interne o stime ragionevoli. Le metodologie utilizzate dai diversi fornitori di dati possono variare e portare a punteggi diversi.
Il Comparto può investire in emittenti che potrebbero non contribuire essi stessi alle specifiche caratteristiche ambientali o sociali promosse dal Comparto, come strumenti di copertura, investimenti non verificati ai fini della diversificazione, o investimenti per i quali mancano dati.
Il Consulente per gli Investimenti ritiene che, poiché le questioni di sostenibilità sono fonti di rischio e rendimento a lungo termine, l’integrazione dei rischi di sostenibilità come sopra indicato possa contribuire a migliorare i rendimenti del Comparto nel lungo periodo. Ulteriori informazioni sull’integrazione dei rischi di sostenibilità in relazione alla Società sono incluse nella sezione del Prospetto intitolata “Informazioni generali riguardanti l’integrazione del Rischio di Sostenibilità”.
Nella gestione del Comparto, il Consulente per gli Investimenti esegue ricerche e analisi macroeconomiche e politiche sui singoli
paesi. Prende in considerazione, tra gli altri, fattori quali il sistema e l’ambiente politico di un paese, la politica fiscale, la politica monetaria, la politica dei redditi (cioè qualsiasi politica governativa che influisce sui redditi delle società o delle persone fisiche nel paese a cui si applicano tali politiche, come la politica fiscale, i sussidi in particolari settori economici, le leggi sul salario minimo o le normative di settore) e la politica commerciale. Sulla base di questa ricerca e analisi, il Consulente per gli Investimenti cerca di identificare i paesi e le valute che ritiene abbiano il potenziale per avere rendimenti migliori rispetto a altri paesi e valute, e di anticipare i cambiamenti nelle economie globali, nei mercati, nelle condizioni politiche e in altri fattori a questo scopo. Il Consulente per gli Investimenti seleziona e regola gli investimenti nel tentativo di trarre vantaggio dalle differenze nei valori percepiti delle valute dei paesi, dei tassi di interesse e degli spread di credito. Per attuare le decisioni d’investimento, il Consulente per gli Investimenti seleziona una classe di attività e uno strumento specifico che esprime nel modo migliore e più efficiente la visione del Consulente per gli Investimenti di quel particolare paese. Il Consulente per gli Investimenti considera le caratteristiche di rischio/rendimento relativo dei potenziali investimenti nel determinare i mezzi più efficienti per raggiungere le esposizioni desiderate.
Il Comparto non può investire più del 20% delle sue attività in titoli di debito che non pagano un delle distribuzioni periodiche in previsione dell’ottenimento di possibili proventi futuri o di una rivalutazione del capitale che siano privi di rating o classificati come obbligazioni con il rating più basso (rating C da Moody’s o D da S&P).
Il Comparto non può investire più del 20% delle sue attività totali in titoli obbligazionari cartolarizzati (ABS) e/o in titoli garantiti da ipoteche (MBS).
Il Comparto può investire in misura limitata in quote/azioni di altri organismi di investimento collettivo, inclusi i Comparti della Società ed ETF aperti, che siano investimenti ammissibili per gli OICVM ai sensi della Legge del 2010.
Il Comparto può anche investire, in via accessoria, in Titoli a Reddito Fisso non conformi ai criteri per gli investimenti principali del Comparto, titoli azionari, warrant su titoli, Attività Equivalenti alla Liquidità e altri titoli collegati alle azioni.
Al fine di incrementare i rendimenti e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) utilizzare opzioni, contratti a termine (future) e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini di investimento e della gestione efficiente del portafoglio (compresa la copertura).
Il Comparto è gestito attivamente e fa riferimento all’indice J.P. Morgan Government Bond Index: Emerging Market (JPM GBI- EM) Global Diversified allo scopo di definire un’allocazione geografica dei paesi in cui il Comparto investirà e monitorare il discostamento rispetto al benchmark. Il Consulente per gli Investimenti ha piena discrezione in merito alla composizione delle attività del Comparto. Mentre il Comparto deterrà generalmente attività nell’ambito dei paesi indicati nell’indice J.P. Morgan Government Bond Index: Emerging Market (JPM GBI-EM) Global Diversified, esso può investire in titoli di questi paesi in proporzioni diverse rispetto alle loro allocazioni nell’ambito dell’indice J.P. Morgan Government Bond Index: Emerging Market (JPM GBI-EM) Global Diversified, e può detenere attività che non sono esposte ai paesi indicati in tale indice. Pertanto, non vi sono limiti alla misura in cui la performance del Comparto può discostarsi da quella dell’indice J.P. Morgan Government Bond Index: Emerging Market (JPM GBI-EM) Global Diversified.
La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento dell’Emerging Markets Local Income Fund, questo comparto può essere adatto a investitori che:
- Intendono investire in Titoli a Reddito Fisso.
- Ricercano un apprezzamento del capitale nel lungo termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

EURO BOND FUND
L’obiettivo di investimento dell’Euro Bond Fund è di offrire un interessante tasso di rendimento relativo, denominato in Euro.
Il Comparto investirà principalmente in emissioni di Titoli a Reddito Fisso denominati in Euro, emessi da società, enti governativi o emittenti garantiti da governi. Al fine di incrementare il rendimento e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) utilizzare opzioni, contratti a termine (future) e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini dell’investimento e della gestione efficiente del portafoglio (compresa la copertura).
Il Comparto non investirà in titoli che, alla data dell’acquisto, siano classificati con un rating inferiore a B- (ovvero a BBB- nel caso di titoli obbligazionari cartolarizzati, ivi inclusi titoli garantiti da ipoteche) da parte della Standard & Poor’s Corporation (“S&P”), ovvero a una classificazione equivalente da parte di un’altra agenzia di rating ovvero a una classificazione interna analoga da parte del Consulente per gli Investimenti. Nel caso in cui qualsiasi titolo detenuto dal Comparto venga successivamente declassato a un rating inferiore a B- (ovvero a BBB- nel caso di titoli obbligazionari cartolarizzati, ivi inclusi i titoli garantiti da ipoteche), il Consulente per gli Investimenti può mantenere un’esposizione complessiva massima del 3% del Valore Patrimoniale Netto del Comparto in tali titoli declassati ma disinvestirà ogni titolo il cui rating non sia stato rialzato ad almeno B- entro sei mesi dall’abbassamento del rating.
Il Consulente per gli Investimenti applica dei metodi di classificazione e dei coefficienti di propria concezione che sono specifici per i Titoli a Reddito Fisso in cui il Comparto può investire e si concentrano su emittenti societari, sovrani e veicoli di cartolarizzazioni. Inoltre, come parte del proprio processo di ricerca di tipo bottom-up basata sui fondamentali, e nelle verifiche con gli emittenti, il Consulente per gli Investimenti incorpora una valutazione dei rischi e delle opportunità legati alla sostenibilità nel processo di valutazione per determinare gli impatti sui fondamentali del credito, le implicazioni per la valutazione e gli spread, e qualsiasi aspetto sostanziale che possa influenzare le tecniche di negoziazione dei Titoli a Reddito Fisso. Questi criteri possono ricomprendere, a titolo non esaustivo, delle tematiche ESG come la decarbonizzazione e il rischio climatico, l’economia circolare e la riduzione dei rifiuti, l’inclusività e il rispetto delle diversità nelle attività, il lavoro dignitoso e la solidità dell’occupazione. Il Consulente per gli Investimenti monitorerà i principali indicatori di sostenibilità, comprese le valutazioni ambientali, sociali e di governance fornite da terzi, e l’impronta di carbonio (misurata come intensità di carbonio, definita come tonnellate di CO2 per 1 milione di dollari di entrate per la parte del Comparto investita in obbligazioni
emesse da società) al fine di misurare e valutare il contributo dei Titoli a Reddito Fisso alle tematiche ESG sopra descritte. Gli indicatori saranno misurati e valutati almeno su base annuale.
Il Consulente per gli Investimenti utilizza anche un quadro di valutazione di propria concezione per le obbligazioni definite come sostenibili, attraverso il quale vengono valutati la solidità, l’impatto e la trasparenza di tali strumenti.
Il Consulente per gli Investimenti promuove la transizione verso basse emissioni di carbonio escludendo gli emittenti corporate che hanno la produzione di carbone termico tra le attività principali, e promuove la vita umana escludendo i prodotti che sono dannosi per la salute e il benessere, in particolare il tabacco, le armi controverse e la produzione delle armi da fuoco civili. Di conseguenza, gli investimenti non potranno ricomprendere consapevolmente qualsiasi società la cui attività commerciale riguardi i seguenti settori:
- fabbricazione o produzione di armi controverse;
- fabbricazione o produzione di armi da fuoco civili; e
- fabbricazione o produzione di tabacco.

Per quanto riguarda specificatamente le attività legate ai combustibili fossili, il Consulente per gli Investimenti può confrontarsi con gli amministratori delle società sui temi della decarbonizzazione e del rischio climatico, nonché sulle pratiche di governance societaria e su quelle che ritiene essere altre questioni ambientali e/o sociali di notevole importanza per una società. Gli investimenti non potranno ricomprendere consapevolmente qualsiasi società la cui attività commerciale comporta l’estrazione di carbone termico, qualora la stessa società ottenga più del 5% dei propri ricavi da questa attività commerciale.
Come eccezione a quanto precede, il Comparto può investire in obbligazioni definite come sostenibili, o in altri titoli di debito emessi per raccogliere capitali specificamente per progetti ambientali o legati al clima, emessi da entità che sarebbero altrimenti soggette alla suddetta esclusione dei combustibili fossili, nella misura in cui sia stato indicato che gli obiettivi di tali strumenti sono coerenti con una riduzione delle emissioni di carbonio dell’emittente. Gli investimenti in tali strumenti saranno soggetti a verifiche da parte del Consulente per gli Investimenti. Il Comparto può investire in emittenti che potrebbero non contribuire essi stessi alle specifiche caratteristiche ambientali o sociali promosse dal prodotto finanziario, come strumenti di copertura, investimenti non verificati ai fini della diversificazione, o investimenti per i quali mancano dati.
Oltre alle esclusioni settoriali di cui sopra, il Consulente per gli Investimenti verifica costantemente le pratiche commerciali
attraverso i dati sulle controversie ESG ed il controllo degli standard provenienti da fornitori terzi. Il Consulente per gli Investimenti prenderà in considerazione i casi di controversia che considera molto gravi in base alle valutazioni dei competenti fornitori di dati ESG, nonché le violazioni del Global Compact delle Nazioni Unite o dei principi fondamentali dell’Ufficio Internazionale del Lavoro, anche se tali eventi non comporteranno automaticamente l’esclusione dal portafoglio.
In aggiunta a quanto precede, il Consulente per gli Investimenti può, a propria discrezione, scegliere di applicare nel tempo ulteriori restrizioni agli investimenti legati all’ESG che ritiene coerenti con i suoi obiettivi di investimento. Tali ulteriori restrizioni saranno rese note ogni volta che vengano attuate su www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im.
Gli investimenti detenuti dal Comparto che a seguito dell’applicazione dei criteri ESG diventino non ammissibili dopo essere stati acquisiti per il Comparto saranno venduti. Tali vendite saranno disposte con tempistiche determinate dal Consulente per gli Investimenti, tenendo conto in primo luogo degli interessi degli Azionisti del Comparto. Il Consulente per gli Investimenti utilizza dati di terzi e in alcuni casi i dati su emittenti specifici, delle tematiche ESG o le esclusioni di cui sopra potrebbero non essere disponibili e/o essere stimati dal Consulente per gli Investimenti utilizzando metodologie interne o stime ragionevoli. Anche le metodologie utilizzate dai diversi fornitori di dati possono variare e portare a punteggi diversi.
Il Comparto non può investire più del 20% delle sue attività in Strumenti Convertibili Speciali.
Il Comparto può investire in misura limitata in ETF aperti che siano investimenti consentiti per i fondi OICVM.
Il Comparto è gestito attivamente e non è concepito per seguire un benchmark. La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento dell’Euro Bond Fund, questo comparto può essere adatto ad investitori che:
- Intendono investire in Titoli a Reddito Fisso.
- Ricercano un apprezzamento del capitale a medio termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

EURO CORPORATE BOND FUND
L’obiettivo di investimento dell’Euro Corporate Bond Fund è di ffrire un interessante tasso di rendimento relativo, denominato in Euro.
Il Comparto investirà principalmente in emissioni di Titoli a Reddito Fisso denominati in Euro, emessi da società ed emittenti non connessi a governi (“Obbligazioni Societarie”). Al fine di incrementare il rendimento e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) utilizzare opzioni, contratti a termine (future) e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini dell’investimento e della gestione efficiente del portafoglio (compresa la copertura).
Il Comparto non investirà in titoli che, alla data dell’acquisto, siano classificati con un rating inferiore a B- (ovvero a BBB- nel caso di titoli obbligazionari cartolarizzati, ivi inclusi titoli garantiti da ipoteche) da parte della Standard & Poor’s Corporation (“S&P”), ovvero a una classificazione equivalente da parte di un’altra agenzia di rating ovvero a una classificazione interna analoga da parte del Consulente per gli Investimenti. Nel caso in cui qualsiasi titolo detenuto dal Comparto venga successivamente declassato a un rating inferiore a B- (ovvero a BBB- nel caso di titoli obbligazionari cartolarizzati, ivi inclusi i titoli garantiti da ipoteche), il Consulente per gli Investimenti può mantenere un’esposizione complessiva massima del 3% del Valore Patrimoniale Netto del Comparto in tali titoli declassati ma disinvestirà ogni titolo il cui rating non sia stato rialzato ad almeno B- entro sei mesi dall’abbassamento del rating.
Il Consulente per gli Investimenti applica dei metodi di classificazione e dei coefficienti di propria concezione che sono specifici per i Titoli a Reddito Fisso in cui il Comparto può investire e si concentrano su emittenti societari, sovrani e veicoli di cartolarizzazioni. Inoltre, come parte del proprio processo di ricerca di tipo bottom-up basata sui fondamentali, e nelle verifiche con gli emittenti, il Consulente per gli Investimenti incorpora una
valutazione dei rischi e delle opportunità legati alla sostenibilità nel processo di valutazione per determinare gli impatti sui fondamentali del credito, le implicazioni per la valutazione e gli spread, e qualsiasi aspetto sostanziale che possa influenzare le tecniche di negoziazione dei Titoli a Reddito Fisso. Questi criteri possono ricomprendere, a titolo non esaustivo, delle tematiche ESG come la decarbonizzazione e il rischio climatico, l’economia circolare e la riduzione dei rifiuti, l’inclusività e il rispetto delle diversità nelle attività, il lavoro dignitoso e la solidità dell’occupazione. Il Consulente per gli Investimenti monitorerà i principali indicatori di sostenibilità, comprese le valutazioni ambientali, sociali e di governance fornite da terzi, e l’impronta di carbonio (misurata come intensità di carbonio, definita come tonnellate di CO2 per 1 milione di dollari di entrate per la parte del Comparto investita in obbligazioni emesse da società) al fine di misurare e valutare il contributo dei Titoli a Reddito Fisso alle tematiche ESG sopra descritte. Gli indicatori saranno misurati e valutati almeno su base annuale.
Il Consulente per gli Investimenti utilizza anche un quadro di valutazione di propria concezione per le obbligazioni definite come sostenibili, attraverso il quale vengono valutati la solidità, l’impatto e la trasparenza di tali strumenti.
Il Consulente per gli Investimenti promuove la transizione verso basse emissioni di carbonio escludendo gli emittenti corporate che hanno la produzione di carbone termico tra le attività principali, e promuove la vita umana escludendo i prodotti che sono dannosi per la salute e il benessere, in particolare il tabacco, le armi controverse e la produzione delle armi da fuoco civili. Di conseguenza, gli investimenti non potranno ricomprendere consapevolmente qualsiasi società la cui attività commerciale riguardi i seguenti settori:
- fabbricazione o produzione di armi controverse;
- fabbricazione o produzione di armi da fuoco civili; e
- fabbricazione o produzione di tabacco.

Per quanto riguarda specificatamente le attività legate ai combustibili fossili, il Consulente per gli Investimenti può confrontarsi con gli amministratori delle società sui temi della decarbonizzazione e del rischio climatico, nonché sulle pratiche di governance societaria e su quelle che ritiene essere altre questioni ambientali e/o sociali di notevole importanza per una società. Gli investimenti non potranno ricomprendere consapevolmente qualsiasi società la cui attività commerciale comporta l’estrazione di carbone termico, qualora la stessa società ottenga più del 5% dei propri ricavi da questa attività commerciale.
Come eccezione a quanto precede, il Comparto può investire in obbligazioni definite come sostenibili, o in altri titoli di debito emessi per raccogliere capitali specificamente per progetti ambientali
o legati al clima, emessi da entità che sarebbero altrimenti soggette alla suddetta esclusione dei combustibili fossili, nella misura in cui sia stato indicato che gli obiettivi di tali strumenti sono coerenti con una riduzione delle emissioni di carbonio dell’emittente. Gli investimenti in tali strumenti saranno soggetti a verifiche da parte del Consulente per gli Investimenti. Il Comparto può investire in emittenti che potrebbero non contribuire essi stessi alle specifiche caratteristiche ambientali o sociali promosse dal prodotto finanziario, come strumenti di copertura, investimenti non verificati ai fini della diversificazione, o investimenti per i quali mancano dati.
Oltre alle esclusioni settoriali di cui sopra, il Consulente per gli Investimenti verifica costantemente le pratiche commerciali attraverso i dati sulle controversie ESG ed il controllo degli standard provenienti da fornitori terzi. Il Consulente per gli Investimenti prenderà in considerazione i casi di controversia che considera molto gravi in base alle valutazioni dei competenti fornitori di dati ESG, nonché le violazioni del Global Compact delle Nazioni Unite o dei principi fondamentali dell’Ufficio Internazionale del Lavoro, anche se tali eventi non comporteranno automaticamente l’esclusione dal portafoglio.
In aggiunta a quanto precede, il Consulente per gli Investimenti può, a propria discrezione, scegliere di applicare nel tempo ulteriori restrizioni agli investimenti legati all’ESG che ritiene coerenti con i suoi obiettivi di investimento. Tali ulteriori restrizioni saranno  rese  note  ogni  volta  che  vengano attuate su www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im.
Gli investimenti detenuti dal Comparto che a seguito dell’applicazione dei criteri ESG diventino non ammissibili dopo essere stati acquisiti per il Comparto saranno venduti. Tali vendite saranno disposte con tempistiche determinate dal Consulente per gli Investimenti, tenendo conto in primo luogo degli interessi degli Azionisti del Comparto. Il Consulente per gli Investimenti utilizza dati di terzi e in alcuni casi i dati su emittenti specifici, delle tematiche ESG o le esclusioni di cui sopra potrebbero non essere disponibili e/o essere stimati dal Consulente per gli Investimenti utilizzando metodologie interne o stime ragionevoli. Anche le metodologie utilizzate dai diversi fornitori di dati possono variare e portare a punteggi diversi.
Il Comparto può investire, in via accessoria, in:
- Titoli a Reddito Fisso non denominati in Euro. In conformità all’“Appendice A” del Prospetto – “Poteri e limiti di investimento” l’esposizione in valute diverse dall’Euro potrà essere coperta riconducendola all’Euro.
- Titoli a Reddito Fisso che non siano Obbligazioni Societarie.

Il Comparto non può investire più del 20% delle sue attività in Strumenti Convertibili Speciali.
Il Comparto può investire in Titoli a Reddito Fisso acquisiti sul Mercato Interbancario delle Obbligazioni cinese (China Interbank Bond Market). Non più del 10% dell’attivo del Comparto può essere investito in tali strumenti.
Il Comparto può investire in misura limitata in quote/azioni di altri organismi di investimento collettivo, inclusi i Comparti della Società ed ETF aperti, nella misura in cui un ETF sia un investimento ammissibile per gli OICVM.
Il Comparto è gestito attivamente e non è concepito per seguire un benchmark. La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento dell’Euro Corporate Bond Fund, questo comparto può essere adatto ad investitori che:
- Intendono investire in Titoli a Reddito Fisso.
- Ricercano un apprezzamento del capitale a medio termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

EURO CORPORATE BOND – DURATION HEDGED FUND
L’obiettivo di investimento dell’Euro Corporate Bond – Duration Hedged Fund è di offrire un interessante tasso di rendimento relativo, denominato in Euro, cercando nel contempo di ridurre l’esposizione del Comparto alle variazioni dei tassi di interesse sui mercati.
Il rischio di tasso (“Duration”) è una misura della sensibilità del prezzo di uno strumento di debito rispetto alle variazioni dei tassi di interesse. Il rischio di tasso è il rischio che il valore di un
investimento vari a seguito delle variazioni dei tassi di interesse. Il valore degli strumenti di debito generalmente aumenta quando i tassi di interesse scendono, e diminuisce quando i tassi di interesse aumentano. Il Comparto cerca di ridurre la propria esposizione alle variazioni dei tassi di interesse sui mercati attraverso la copertura del rischio di tasso del Comparto.
Il Comparto investirà principalmente in emissioni di alta qualità di Titoli a Reddito Fisso denominati in Euro, emessi da società ed emittenti non connessi a governi (“Obbligazioni Societarie”).
Il Consulente per gli Investimenti applica dei metodi di classificazione e dei coefficienti di propria concezione che sono specifici per i Titoli a Reddito Fisso in cui il Comparto può investire e si concentrano su emittenti societari, sovrani e veicoli di cartolarizzazioni. Inoltre, come parte del proprio processo di ricerca di tipo bottom-up basata sui fondamentali, e nelle verifiche con gli emittenti, il Consulente per gli Investimenti incorpora una valutazione dei rischi e delle opportunità legati alla sostenibilità nel processo di valutazione per determinare gli impatti sui fondamentali del credito, le implicazioni per la valutazione e gli spread, e qualsiasi aspetto sostanziale che possa influenzare le tecniche di negoziazione dei Titoli a Reddito Fisso. Questi criteri possono ricomprendere, a titolo non esaustivo, delle tematiche ESG come la decarbonizzazione e il rischio climatico, l’economia circolare e la riduzione dei rifiuti, l’inclusività e il rispetto delle diversità nelle attività, il lavoro dignitoso e la solidità dell’occupazione. Il Consulente per gli Investimenti monitorerà i principali indicatori di sostenibilità, comprese le valutazioni ambientali, sociali e di governance fornite da terzi, e l’impronta di carbonio (misurata come intensità di carbonio, definita come tonnellate di CO2 per 1 milione di dollari di entrate per la parte del Comparto investita in obbligazioni emesse da società) al fine di misurare e valutare il contributo dei Titoli a Reddito Fisso alle tematiche ESG sopra descritte. Gli indicatori saranno misurati e valutati almeno su base annuale.
Il Consulente per gli Investimenti utilizza anche un quadro di valutazione di propria concezione per le obbligazioni definite come sostenibili, attraverso il quale vengono valutati la solidità, l’impatto e la trasparenza di tali strumenti.
Il Consulente per gli Investimenti promuove la transizione verso basse emissioni di carbonio escludendo gli emittenti corporate che hanno la produzione di carbone termico tra le attività principali, e promuove la vita umana escludendo i prodotti che sono dannosi per la salute e il benessere, in particolare il tabacco, le armi controverse e la produzione delle armi da fuoco civili. Di conseguenza, gli investimenti non potranno ricomprendere consapevolmente qualsiasi società la cui attività commerciale riguardi i seguenti settori:
- fabbricazione o produzione di armi controverse;
- fabbricazione o produzione di armi da fuoco civili; e
- fabbricazione o produzione di tabacco.

Per quanto riguarda specificatamente le attività legate ai combustibili fossili, il Consulente per gli Investimenti può confrontarsi con gli amministratori delle società sui temi della decarbonizzazione e del rischio climatico, nonché sulle pratiche di governance societaria e su quelle che ritiene essere altre questioni ambientali e/o sociali di notevole importanza per una società. Gli investimenti non potranno ricomprendere consapevolmente qualsiasi società la cui attività commerciale comporta l’estrazione di carbone termico, qualora la stessa società ottenga più del 5% dei propri ricavi da questa attività commerciale.
Come eccezione a quanto precede, il Comparto può investire in obbligazioni definite come sostenibili, o in altri titoli di debito emessi per raccogliere capitali specificamente per progetti ambientali o legati al clima, emessi da entità che sarebbero altrimenti soggette alla suddetta esclusione dei combustibili fossili, nella misura in cui sia stato indicato che gli obiettivi di tali strumenti sono coerenti con una riduzione delle emissioni di carbonio dell’emittente. Gli investimenti in tali strumenti saranno soggetti a verifiche da parte del Consulente per gli Investimenti. Il Comparto può investire in emittenti che potrebbero non contribuire essi stessi alle specifiche caratteristiche ambientali o sociali promosse dal prodotto finanziario, come strumenti di copertura, investimenti non verificati ai fini della diversificazione, o investimenti per i quali mancano dati.
Oltre alle esclusioni settoriali di cui sopra, il Consulente per gli Investimenti verifica costantemente le pratiche commerciali attraverso i dati sulle controversie ESG ed il controllo degli standard provenienti da fornitori terzi. Il Consulente per gli Investimenti prenderà in considerazione i casi di controversia che considera molto gravi in base alle valutazioni dei competenti fornitori di dati ESG, nonché le violazioni del Global Compact delle Nazioni Unite o dei principi fondamentali dell’Ufficio Internazionale del Lavoro, anche se tali eventi non comporteranno automaticamente l’esclusione dal portafoglio.
In aggiunta a quanto precede, il Consulente per gli Investimenti può, a propria discrezione, scegliere di applicare nel tempo ulteriori restrizioni agli investimenti legati all’ESG che ritiene coerenti con i suoi obiettivi di investimento. Tali ulteriori restrizioni saranno  rese  note  ogni  volta  che  vengano attuate su www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im.
Gli investimenti detenuti dal Comparto che a seguito dell’applicazione dei criteri ESG diventino non ammissibili dopo essere stati acquisiti per il Comparto saranno venduti. Tali vendite saranno disposte con tempistiche determinate dal Consulente per gli Investimenti, tenendo conto in primo luogo degli interessi degli Azionisti del Comparto. Il Consulente per gli Investimenti utilizza dati di terzi e in alcuni casi i dati su emittenti specifici, delle tematiche ESG o le esclusioni di cui sopra potrebbero non essere disponibili e/o essere stimati dal Consulente per gli Investimenti utilizzando metodologie interne o stime ragionevoli. Anche le metodologie utilizzate dai diversi fornitori di dati possono variare e portare a punteggi diversi.
Al fine di incrementare il rendimento e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) utilizzare opzioni, contratti a termine (future) e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini dell’investimento e della gestione efficiente del portafoglio (compresa la copertura).
I titoli saranno considerati di alta qualità se, al momento dell’acquisto, sono classificati “BBB-”, o con un “rating” superiore, da S&P, o “Baa3”, o con un “rating” superiore, da Moody’s, ovvero se sono classificati in modo analogo da altra agenzia di “rating” riconosciuta a livello internazionale o se il loro credito è considerato di qualità analoga da parte del Consulente per gli Investimenti. Il Comparto può continuare a detenere dei titoli il cui “rating” sia stato abbassato dopo l’acquisto, ma non potrà detenere delle obbligazioni cartolarizzate il cui “rating” sia stato abbassato al di sotto di “BBB-” da S&P oppure “Baa3” da Moody’s e/o altri titoli il cui “rating” sia stato abbassato al di sotto di “B-” da S&P o “B3” da Moody’s, o, in ogni caso, un “rating” corrispondente attribuito da altre agenzie internazionalmente riconosciute oppure ritenuto corrispondente dal Consulente per gli Investimenti. Il Comparto non potrà fare acquisti aggiuntivi di titoli il cui “rating” sia stato abbassato.
Il Comparto può investire, in via accessoria, in:
- Obbligazioni Societarie che al momento dell’acquisto sono classificate con un “rating” inferiore a “BBB-” da S&P oppure a “Baa3” da Moody’s ovvero se sono classificate in modo analogo da altra agenzia di “rating” riconosciuta a livello internazionale o se il loro credito è considerato di qualità analoga da parte del Consulente per gli Investimenti.
- Titoli a Reddito Fisso non denominati in Euro.
- In conformità all’“Appendice A” del Prospetto – “Poteri e limiti di investimento” l’esposizione in valute diverse dall’Euro potrà essere coperta riconducendola all’Euro.
- Titoli a Reddito Fisso che non siano Obbligazioni Societarie.

Il Comparto non può investire più del 20% delle sue attività in Strumenti Convertibili Speciali.
Il Comparto può investire in misura non superiore al 20% delle sue attività in titoli garantiti da ipoteca (mortgage asset securities) o in titoli obbligazionari cartolarizzati (asset backed securities).
Il Comparto può investire in Titoli a Reddito Fisso acquisiti sul Mercato Interbancario delle Obbligazioni cinese (China Interbank Bond Market). Non più del 10% dell’attivo del Comparto può essere investito in tali strumenti.
Il Comparto può investire in misura limitata in quote/azioni di altri organismi di investimento collettivo, inclusi i Comparti della Società ed ETF aperti, nella misura in cui un ETF sia un investimento ammissibile per gli OICVM.
Il Comparto è gestito attivamente e la composizione dei suoi investimenti non è vincolata rispetto ad alcun benchmark.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento dell’Euro Corporate Bond – Duration Hedged Fund, questo comparto può essere adatto ad investitori che:
- Intendono investire in Titoli a Reddito Fisso.
- Ricercano un apprezzamento del capitale a medio termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

EURO STRATEGIC BOND FUND
L’obiettivo di investimento dello Euro Strategic Bond Fund è di offrire un interessante tasso di rendimento relativo, denominato in Euro.
Il Comparto investirà principalmente in emissioni di Titoli a Reddito Fisso denominati in Euro emessi da società, governi o emittenti garantiti da governi e, nella misura prevista dalla legge applicabile, in titoli rappresentativi, in titoli di partecipazione a finanziamenti e cessioni di crediti, nella misura in cui essi siano cartolarizzati.
Il Consulente per gli Investimenti applica dei metodi di classificazione e dei coefficienti di propria concezione che sono specifici per i Titoli a Reddito Fisso in cui il Comparto può investire e si concentrano su emittenti societari, sovrani e veicoli di cartolarizzazioni. Inoltre, come parte del proprio processo di ricerca di tipo bottom-up basata sui fondamentali, e nelle verifiche con gli emittenti, il Consulente per gli Investimenti incorpora una valutazione dei rischi e delle opportunità legati alla sostenibilità nel processo di valutazione per determinare gli impatti sui fondamentali del credito, le implicazioni per la valutazione e gli spread, e qualsiasi aspetto sostanziale che possa influenzare le tecniche di negoziazione dei Titoli a Reddito Fisso. Questi criteri possono ricomprendere, a titolo non esaustivo, delle tematiche ESG come la decarbonizzazione e il rischio climatico, l’economia circolare e la riduzione dei rifiuti, l’inclusività e il rispetto delle diversità nelle attività, il lavoro dignitoso e la solidità dell’occupazione. Il Consulente per gli Investimenti monitorerà i principali indicatori di sostenibilità, comprese le valutazioni ambientali, sociali e di governance fornite da terzi, e l’impronta di carbonio (misurata come intensità di carbonio, definita come tonnellate di CO2 per 1 milione di dollari di entrate per la parte del Comparto investita in obbligazioni emesse da società) al fine di misurare e valutare il contributo dei Titoli a Reddito Fisso alle tematiche ESG sopra descritte. Gli indicatori saranno misurati e valutati almeno su base annuale.
Il Consulente per gli Investimenti utilizza anche un quadro di valutazione di propria concezione per le obbligazioni definite come sostenibili, attraverso il quale vengono valutati la solidità, l’impatto e la trasparenza di tali strumenti.
Il Consulente per gli Investimenti promuove la transizione verso basse emissioni di carbonio escludendo gli emittenti corporate che hanno la produzione di carbone termico tra le attività principali, e promuove la vita umana escludendo i prodotti che sono dannosi per la salute e il benessere, in particolare il tabacco, le armi controverse e la produzione delle armi da fuoco civili. Di conseguenza, gli investimenti non potranno ricomprendere consapevolmente qualsiasi società la cui attività commerciale riguardi i seguenti settori:
- fabbricazione o produzione di armi controverse;
- fabbricazione o produzione di armi da fuoco civili; e
- fabbricazione o produzione di tabacco.

Per quanto riguarda specificatamente le attività legate ai combustibili fossili, il Consulente per gli Investimenti può confrontarsi con gli amministratori delle società sui temi della decarbonizzazione e del rischio climatico, nonché sulle pratiche di governance societaria e su quelle che ritiene essere altre questioni ambientali e/o sociali di notevole importanza per una società. Gli investimenti non potranno ricomprendere consapevolmente qualsiasi società la cui attività commerciale comporta l’estrazione di carbone termico, qualora la stessa società ottenga più del 5% dei propri ricavi da questa attività commerciale.
Come eccezione a quanto precede, il Comparto può investire in obbligazioni definite come sostenibili, o in altri titoli di debito emessi per raccogliere capitali specificamente per progetti ambientali o legati al clima, emessi da entità che sarebbero altrimenti soggette alla suddetta esclusione dei combustibili fossili, nella misura in cui sia stato indicato che gli obiettivi di tali strumenti sono coerenti con una riduzione delle emissioni di carbonio dell’emittente. Gli investimenti in tali strumenti saranno soggetti a verifiche da parte del Consulente per gli Investimenti. Il Comparto può investire in emittenti che potrebbero non contribuire essi stessi alle specifiche caratteristiche ambientali o sociali promosse dal prodotto finanziario, come strumenti di copertura, investimenti non verificati ai fini della diversificazione, o investimenti per i quali mancano dati.
Oltre alle esclusioni settoriali di cui sopra, il Consulente per gli Investimenti verifica costantemente le pratiche commerciali attraverso i dati sulle controversie ESG ed il controllo degli standard provenienti da fornitori terzi. Il Consulente per gli Investimenti prenderà in considerazione i casi di controversia che considera molto gravi in base alle valutazioni dei competenti fornitori di dati ESG, nonché le violazioni del Global Compact delle Nazioni Unite o dei principi fondamentali dell’Ufficio Internazionale del Lavoro, anche se tali eventi non comporteranno automaticamente l’esclusione dal portafoglio.
In aggiunta a quanto precede, il Consulente per gli Investimenti può, a propria discrezione, scegliere di applicare nel tempo ulteriori restrizioni agli investimenti legati all’ESG che ritiene coerenti con i suoi obiettivi di investimento. Tali ulteriori restrizioni saranno  rese  note  ogni  volta  che  vengano attuate su www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im.
Gli investimenti detenuti dal Comparto che a seguito dell’applicazione dei criteri ESG diventino non ammissibili dopo essere stati acquisiti per il Comparto saranno venduti. Tali vendite saranno disposte con tempistiche determinate dal Consulente per gli Investimenti, tenendo conto in primo luogo degli interessi degli Azionisti del Comparto. Il Consulente per gli Investimenti utilizza dati di terzi e in alcuni casi i dati su emittenti specifici, delle tematiche ESG o le esclusioni di cui sopra potrebbero non essere disponibili e/o essere stimati dal Consulente per gli Investimenti utilizzando metodologie interne o stime ragionevoli. Anche le metodologie utilizzate dai diversi fornitori di dati possono variare e portare a punteggi diversi.
Al fine di incrementare il rendimento e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’ “Appendice A”) utilizzare opzioni, contratti a termine (future) e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini di investimento e della gestione efficiente del portafoglio (compresa la copertura).
Il Comparto potrà investire, in via accessoria, in Titoli a Reddito Fisso non denominati in Euro. In conformità all’“Appendice A” del Prospetto – “Poteri e limiti di investimento” l’esposizione in valute diverse dall’Euro potrà essere coperta riconducendola all’Euro.
Il Comparto non può investire più del 20% delle sue attività in Strumenti Convertibili Speciali.
Il Comparto può investire in Titoli a Reddito Fisso acquisiti sul Mercato Interbancario delle Obbligazioni cinese (China Interbank Bond Market). Non più del 10% dell’attivo del Comparto può essere investito in tali strumenti.
Il Comparto può investire in misura limitata in quote/azioni di altri organismi di investimento collettivo, inclusi i Comparti della Società ed ETF aperti, nella misura in cui un ETF sia un investimento ammissibile per gli OICVM.
Il Comparto è gestito attivamente e non è concepito per seguire un benchmark. La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto,
l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento dell’Euro Strategic Bond Fund, questo comparto può essere adatto a investitori che:
- Intendono investire in Titoli a Reddito Fisso.
- Ricercano un apprezzamento del capitale a medio termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti più avanti nella Sezione 1.5 “Fattori di rischio”.

EUROPEAN FIXED INCOME OPPORTUNITIES FUND
32
L’obiettivo di investimento dello European Fixed Income Opportunities Fund è di offrire un interessante livello di rendimento totale, denominato in Euro, attraverso una selezione di Titoli a Reddito Fisso denominati in Euro. Il Comparto cercherà di perseguire la politica di investimento per mezzo di una allocazione attraverso classi di attività a reddito fisso, nonché attraverso una selezione di mercati e di strumenti.
Il Comparto investirà principalmente in Titoli a Reddito Fisso denominati in Euro di emittenti societari, governativi e di entità connesse a governi attraverso una gamma di classi di attività a reddito fisso comprese obbligazioni investment-grade e ad alto rendimento, titoli garantiti da ipoteche, titoli convertibili e valute e, in conformità a quanto previsto dalla legge applicabile, in altri titoli obbligazionari cartolarizzati nonché in titoli di partecipazione a finanziamenti e cessioni di crediti, nella misura in cui tali strumenti siano cartolarizzati. Le obbligazioni ad alto rendimento sono considerate Titoli a Reddito Fisso emessi da società classificate con rating inferiori a “BBB-” da S&P, o “Baa3” da Moody’s”, ovvero classificate in modo analogo da un’altra agenzia di “rating” riconosciuta a livello internazionale o se il loro credito è considerato di qualità analoga da parte del Consulente per gli Investimenti. Il Consulente per gli Investimenti potrà investire in una qualunque combinazione di due o più delle suddette classi di attività.
Il Comparto non investirà in titoli che, alla data dell’investimento, siano classificati con un rating inferiore a B- (ovvero a BBB- nel caso di titoli obbligazionari cartolarizzati, ivi inclusi titoli garantiti da ipoteche) da parte della Standard & Poor’s Corporation (“S&P”), ovvero a una classificazione equivalente da parte di un’altra agenzia di rating ovvero a una classificazione interna
32 
A decorrere dal 12 dicembre 2022 la politica di investimento del Comparto sarà modificata in modo da riflettere il fatto che essa non deve più conformarsi alle prescrizioni di alcune disposizioni tedesche denominate Versicherungsaufsichtsgesetz (legge sulla vigilanza sulle assicurazioni). Pertanto, il terzo paragrafo sarà eliminato.
analoga da parte del Consulente per gli Investimenti. Nel caso in cui qualsiasi titolo detenuto dal Comparto venga successivamente declassato a un rating inferiore a B- (ovvero a BBB- nel caso di titoli obbligazionari cartolarizzati, ivi inclusi i titoli garantiti da ipoteche), il Consulente per gli Investimenti può mantenere un’esposizione complessiva massima del 3% del Valore Patrimoniale Netto del Comparto in tali titoli declassati ma disinvestirà ogni titolo il cui rating non sia stato rialzato ad almeno B- entro sei mesi dall’abbassamento del rating.
Il Consulente per gli Investimenti applica dei metodi di classificazione e dei coefficienti di propria concezione che sono specifici per i Titoli a Reddito Fisso in cui il Comparto può investire e si concentrano su emittenti societari, sovrani e veicoli di cartolarizzazioni. Inoltre, come parte del proprio processo di ricerca di tipo bottom-up basata sui fondamentali, e nelle verifiche con gli emittenti, il Consulente per gli Investimenti incorpora una valutazione dei rischi e delle opportunità legati alla sostenibilità nel processo di valutazione per determinare gli impatti sui fondamentali del credito, le implicazioni per la valutazione e gli spread, e qualsiasi aspetto sostanziale che possa influenzare le tecniche di negoziazione dei Titoli a Reddito Fisso. Questi criteri possono ricomprendere, a titolo non esaustivo, delle tematiche ESG come la decarbonizzazione e il rischio climatico, l’economia circolare e la riduzione dei rifiuti, l’inclusività e il rispetto delle diversità nelle attività, il lavoro dignitoso e la solidità dell’occupazione. Il Consulente per gli Investimenti monitorerà i principali indicatori di sostenibilità, comprese le valutazioni ambientali, sociali e di governance fornite da terzi, e l’impronta di carbonio (misurata come intensità di carbonio, definita come tonnellate di CO2 per 1 milione di dollari di entrate per la parte del Comparto investita in obbligazioni emesse da società) al fine di misurare e valutare il contributo dei Titoli a Reddito Fisso alle tematiche ESG sopra descritte. Gli indicatori saranno misurati e valutati almeno su base annuale.
Il Consulente per gli Investimenti utilizza anche un quadro di valutazione di propria concezione per le obbligazioni definite come sostenibili, attraverso il quale vengono valutati la solidità, l’impatto e la trasparenza di tali strumenti.
Il Consulente per gli Investimenti promuove la transizione verso basse emissioni di carbonio escludendo gli emittenti corporate che hanno la produzione di carbone termico tra le attività principali, e promuove la vita umana escludendo i prodotti che sono dannosi per la salute e il benessere, in particolare il tabacco, le armi controverse e la produzione delle armi da fuoco civili. Di conseguenza, gli investimenti non potranno ricomprendere consapevolmente qualsiasi società la cui attività commerciale riguardi i seguenti settori:
- fabbricazione o produzione di armi controverse;
- fabbricazione o produzione di armi da fuoco civili; e
- fabbricazione o produzione di tabacco.

Per quanto riguarda specificatamente le attività legate ai combustibili fossili, il Consulente per gli Investimenti può confrontarsi con gli amministratori delle società sui temi della decarbonizzazione e del rischio climatico, nonché sulle pratiche di governance societaria e su quelle che ritiene essere altre questioni ambientali e/o sociali di notevole importanza per una società. Gli investimenti non potranno ricomprendere consapevolmente qualsiasi società la cui attività commerciale comporta l’estrazione di carbone termico, qualora la stessa società ottenga più del 5% dei propri ricavi da questa attività commerciale.
Come eccezione a quanto precede, il Comparto può investire in obbligazioni definite come sostenibili, o in altri titoli di debito emessi per raccogliere capitali specificamente per progetti ambientali o legati al clima, emessi da entità che sarebbero altrimenti soggette alla suddetta esclusione dei combustibili fossili, nella misura in cui sia stato indicato che gli obiettivi di tali strumenti sono coerenti con una riduzione delle emissioni di carbonio dell’emittente. Gli investimenti in tali strumenti saranno soggetti a verifiche da parte del Consulente per gli Investimenti. Il Comparto può investire in emittenti che potrebbero non contribuire essi stessi alle specifiche caratteristiche ambientali o sociali promosse dal prodotto finanziario, come strumenti di copertura, investimenti non verificati ai fini della diversificazione, o investimenti per i quali mancano dati.
Oltre alle esclusioni settoriali di cui sopra, il Consulente per gli Investimenti verifica costantemente le pratiche commerciali attraverso i dati sulle controversie ESG ed il controllo degli standard provenienti da fornitori terzi. Il Consulente per gli Investimenti prenderà in considerazione i casi di controversia che considera molto gravi in base alle valutazioni dei competenti fornitori di dati ESG, nonché le violazioni del Global Compact delle Nazioni Unite o dei principi fondamentali dell’Ufficio Internazionale del Lavoro, anche se tali eventi non comporteranno automaticamente l’esclusione dal portafoglio.
In aggiunta a quanto precede, il Consulente per gli Investimenti può, a propria discrezione, scegliere di applicare nel tempo ulteriori restrizioni agli investimenti legati all’ESG che ritiene coerenti con i suoi obiettivi di investimento. Tali ulteriori restrizioni saranno rese note ogni volta che vengano attuate su www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im.
Gli investimenti detenuti dal Comparto che a seguito dell’applicazione dei criteri ESG diventino non ammissibili dopo essere stati acquisiti per il Comparto saranno venduti. Tali vendite
saranno disposte con tempistiche determinate dal Consulente per gli Investimenti, tenendo conto in primo luogo degli interessi degli Azionisti del Comparto. Il Consulente per gli Investimenti utilizza dati di terzi e in alcuni casi i dati su emittenti specifici, delle tematiche ESG o le esclusioni di cui sopra potrebbero non essere disponibili e/o essere stimati dal Consulente per gli Investimenti utilizzando metodologie interne o stime ragionevoli. Anche le metodologie utilizzate dai diversi fornitori di dati possono variare e portare a punteggi diversi.
Il Comparto potrà anche investire, in via accessoria, in Titoli a Reddito Fisso non denominati in Euro, in Titoli a Reddito Fisso di mercati emergenti e in ulteriori titoli, compresi, a titolo esemplificativo, titoli di debito convertibili in azioni ordinarie, Attività Equivalenti alla Liquidità, azioni o titoli collegati ad azioni.
Il Comparto può investire in Titoli a Reddito Fisso acquisiti sul Mercato Interbancario delle Obbligazioni cinese (China Interbank Bond Market). Non più del 10% dell’attivo del Comparto può essere investito in tali strumenti.
Al fine di incrementare il rendimento e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’Appendice A) utilizzare opzioni, contratti a termine (future) e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini di investimento e della gestione efficiente del portafoglio (compresa la copertura).
Il Comparto non può investire più del 20% delle sue attività in Strumenti Convertibili Speciali.
Il Comparto può investire in misura limitata in quote/azioni di altri organismi di investimento collettivo, inclusi i Comparti della Società ed ETF aperti, nella misura in cui un ETF sia un investimento ammissibile per gli OICVM.
Il Comparto è gestito attivamente la composizione dei suoi investimenti non è vincolata rispetto ad alcun benchmark.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento dell’European Fixed Income Opportunities Fund, questo comparto può essere adatto ad investitori che:
- Intendono investire in Titoli a Reddito Fisso.
- Ricercano un apprezzamento del capitale a medio termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

EUROPEAN HIGH YIELD BOND FUND
L’obiettivo di investimento dello European High Yield Bond Fund è di offrire un interessante tasso di rendimento, denominato in Euro, mediante investimenti su base mondiale, effettuati principalmente in Titoli europei a Reddito Fisso con un rating inferiore, o non classificati, emessi da governi, agenzie e società, che offrono un rendimento superiore a quello generalmente disponibile per Titoli a Reddito Fisso appartenenti alle quattro classi più alte di S&P o Moody’s, denominati in valute europee. I suddetti Investimenti potranno comprendere Titoli a Reddito Fisso emessi da emittenti non europei e simili titoli emessi in mercati emergenti e, nella misura prevista dalla legge applicabile, in titoli rappresentativi, in titoli di partecipazione a finanziamenti e cessioni di crediti, nella misura in cui essi siano cartolarizzati.
Il Consulente per gli Investimenti applica dei metodi di classificazione e dei coefficienti di propria concezione che sono specifici per i Titoli a Reddito Fisso in cui il Comparto può investire e si concentrano su emittenti societari, sovrani e veicoli di cartolarizzazioni. Inoltre, come parte del proprio processo di ricerca di tipo bottom-up basata sui fondamentali, e nelle verifiche con gli emittenti, il Consulente per gli Investimenti incorpora una valutazione dei rischi e delle opportunità legati alla sostenibilità nel processo di valutazione per determinare gli impatti sui fondamentali del credito, le implicazioni per la valutazione e gli spread, e qualsiasi aspetto sostanziale che possa influenzare le tecniche di negoziazione dei Titoli a Reddito Fisso. Questi criteri possono ricomprendere, a titolo non esaustivo, delle tematiche ESG come la decarbonizzazione e il rischio climatico, l’economia circolare e la riduzione dei rifiuti, l’inclusività e il rispetto delle diversità nelle attività, il lavoro dignitoso e la solidità dell’occupazione. Il Consulente per gli Investimenti monitorerà i principali indicatori di sostenibilità, comprese le valutazioni ambientali, sociali e di governance fornite da terzi, e l’impronta di carbonio (misurata come intensità di carbonio, definita come tonnellate di CO2 per 1 milione di dollari di entrate per la parte del Comparto investita in obbligazioni emesse da società) al fine di misurare e valutare il contributo dei
Titoli a Reddito Fisso alle tematiche ESG sopra descritte. Gli indicatori saranno misurati e valutati almeno su base annuale.
Il Consulente per gli Investimenti utilizza anche un quadro di valutazione di propria concezione per le obbligazioni definite come sostenibili, attraverso il quale vengono valutati la solidità, l’impatto e la trasparenza di tali strumenti.
Il Consulente per gli Investimenti promuove la transizione verso basse emissioni di carbonio escludendo gli emittenti corporate che hanno la produzione di carbone termico tra le attività principali, e promuove la vita umana escludendo i prodotti che sono dannosi per la salute e il benessere, in particolare il tabacco, le armi controverse e la produzione delle armi da fuoco civili. Di conseguenza, gli investimenti non potranno ricomprendere consapevolmente qualsiasi società la cui attività commerciale riguardi i seguenti settori:
- fabbricazione o produzione di armi controverse;
- fabbricazione o produzione di armi da fuoco civili; e
- fabbricazione o produzione di tabacco.

Per quanto riguarda specificatamente le attività legate ai combustibili fossili, il Consulente per gli Investimenti può confrontarsi con gli amministratori delle società sui temi della decarbonizzazione e del rischio climatico, nonché sulle pratiche di governance societaria e su quelle che ritiene essere altre questioni ambientali e/o sociali di notevole importanza per una società. Gli investimenti non potranno ricomprendere consapevolmente qualsiasi società la cui attività commerciale comporta l’estrazione di carbone termico, qualora la stessa società ottenga più del 5% dei propri ricavi da questa attività commerciale.
Come eccezione a quanto precede, il Comparto può investire in obbligazioni definite come sostenibili, o in altri titoli di debito emessi per raccogliere capitali specificamente per progetti ambientali o legati al clima, emessi da entità che sarebbero altrimenti soggette alla suddetta esclusione dei combustibili fossili, nella misura in cui sia stato indicato che gli obiettivi di tali strumenti sono coerenti con una riduzione delle emissioni di carbonio dell’emittente. Gli investimenti in tali strumenti saranno soggetti a verifiche da parte del Consulente per gli Investimenti. Il Comparto può investire in emittenti che potrebbero non contribuire essi stessi alle specifiche caratteristiche ambientali o sociali promosse dal prodotto finanziario, come strumenti di copertura, investimenti non verificati ai fini della diversificazione, o investimenti per i quali mancano dati.
Oltre alle esclusioni settoriali di cui sopra, il Consulente per gli Investimenti verifica costantemente le pratiche commerciali attraverso i dati sulle controversie ESG ed il controllo degli
standard provenienti da fornitori terzi. Il Consulente per gli Investimenti prenderà in considerazione i casi di controversia che considera molto gravi in base alle valutazioni dei competenti fornitori di dati ESG, nonché le violazioni del Global Compact delle Nazioni Unite o dei principi fondamentali dell’Ufficio Internazionale del Lavoro, anche se tali eventi non comporteranno automaticamente l’esclusione dal portafoglio.
In aggiunta a quanto precede, il Consulente per gli Investimenti può, a propria discrezione, scegliere di applicare nel tempo ulteriori restrizioni agli investimenti legati all’ESG che ritiene coerenti con i suoi obiettivi di investimento. Tali ulteriori restrizioni saranno rese note ogni volta che vengano attuate su www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im.
Gli investimenti detenuti dal Comparto che a seguito dell’applicazione dei criteri ESG diventino non ammissibili dopo essere stati acquisiti per il Comparto saranno venduti. Tali vendite saranno disposte con tempistiche determinate dal Consulente per gli Investimenti, tenendo conto in primo luogo degli interessi degli Azionisti del Comparto. Il Consulente per gli Investimenti utilizza dati di terzi e in alcuni casi i dati su emittenti specifici, delle tematiche ESG o le esclusioni di cui sopra potrebbero non essere disponibili e/o essere stimati dal Consulente per gli Investimenti utilizzando metodologie interne o stime ragionevoli. Anche le metodologie utilizzate dai diversi fornitori di dati possono variare e portare a punteggi diversi.”
Il Comparto potrà, in via accessoria, investire in Titoli a Reddito Fisso denominati in valute non europee. Al fine di ottimizzare l’esposizione nella valuta europea, l’esposizione in valute diverse dall’Euro potrà essere coperta riconducendola all’Euro e il Comparto potrà, in via accessoria, usare contratti su derivati per creare strumenti sintetici a reddito fisso in valuta europea ad elevato rendimento entro i limiti di cui all’“Appendice A” – “Poteri e limiti di investimento”.
Al fine di incrementare il rendimento e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) utilizzare opzioni, contratti a termine (future) e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini di investimento e della gestione efficiente del portafoglio (compresa la copertura).
Il Comparto non può investire più del 20% delle sue attività in Strumenti Convertibili Speciali.
Il Comparto può investire in Titoli a Reddito Fisso acquisiti sul Mercato Interbancario delle Obbligazioni cinese (China Interbank
Bond Market). Non più del 10% dell’attivo del Comparto può essere investito in tali strumenti.
Il Comparto può investire in misura limitata in quote/azioni di altri organismi di investimento collettivo, inclusi i Comparti della Società ed ETF aperti, nella misura in cui un ETF sia un investimento ammissibile per gli OICVM.
Il Comparto è gestito attivamente e non è concepito per seguire un benchmark. La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento dell’European High Yield Bond Fund, questo comparto può essere adatto a investitori che:
- Intendono investire in Titoli a Reddito Fisso.
- Ricercano un apprezzamento del capitale a medio termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

FLOATING RATE ABS FUND
L’obiettivo di investimento del Floating Rate ABS Fund è di generare un interessante tasso di rendimento, minimizzando allo stesso tempo l’esposizione ai rischi da variazioni dei tassi di interesse, mediante investimenti in un portafoglio di titoli obbligazionari cartolarizzati (o asset-backed securities – “ABS”) denominati in Euro.
Il Comparto investirà principalmente in Titoli a Reddito Fisso a tasso variabile con una duration inferiore a due anni che sono titoli rappresentativi di mutui ipotecari, titoli rappresentativi di mutui ipotecari commerciali, obbligazioni garantite da ipoteca e obbligazioni coperte da ipoteche, compresi i titoli di tipo “uniforme” (“uniform mortgage-backed securities”) e altri ABS con rating investment grade attribuito da un’agenzia di rating riconosciuta a
livello internazionale, in titoli di emittenti ritenuti di analoga capacità di credito da parte del Consulente per gli Investimenti, o in titoli garantiti dagli Stati Uniti d’America. I titoli a tasso variabile sono definiti come titoli che hanno come benchmark un indice a tasso variabile. Il Comparto manterrà una duration media compresa tra 0 e 1 anno.
Il Consulente per gli Investimenti applica dei metodi di classificazione e dei coefficienti di propria concezione che sono specifici per i Titoli a Reddito Fisso in cui il Comparto investe. Inoltre, come parte del proprio processo di ricerca di tipo bottom- up basata sui fondamentali, e nelle verifiche con gli emittenti, i prestatori di denaro ed i fornitori di servizi, il Consulente per gli Investimenti incorpora una valutazione dei rischi e delle opportunità legati alla sostenibilità nel processo di valutazione per determinare gli impatti sui fondamentali del credito, le implicazioni per la valutazione e gli spread, e qualsiasi aspetto sostanziale che possa influenzare le tecniche di negoziazione dei Titoli a Reddito Fisso. Il Consulente per gli Investimenti utilizza anche un quadro di valutazione di propria concezione per le obbligazioni definite come sostenibili, attraverso il quale vengono valutati la solidità, l’impatto e la trasparenza di tali strumenti.
Il Comparto promuove pratiche commerciali sostenibili e responsabili da parte degli emittenti in operazioni di cartolarizzazione. A tal fine, il Comparto non acquisterà consapevolmente alcun titolo cartolarizzato qualora il Consulente per gli Investimenti abbia la percezione che un emittente in operazioni di cartolarizzazione possa essere implicato in una delle seguenti pratiche:
- prestiti predatori;
- violazioni degli standard del Consumer Financial Protection Bureau statunitense (CFPB);
- gravi mancanze nelle procedure di recupero dei pagamenti e di esecuzione immobiliare; e
- comportamenti fraudolenti.

Il Consulente per gli Investimenti utilizza dati di terzi e in alcuni casi i dati su emittenti specifici. Le tematiche ESG o le esclusioni di cui sopra potrebbero non essere disponibili e/o essere stimati dal Consulente per gli Investimenti utilizzando metodologie interne o stime ragionevoli sulla base dei migliori sforzi e in buona fede. Anche le metodologie utilizzate dai diversi fornitori di dati possono variare e portare a punteggi diversi.
In aggiunta a quanto precede, il Consulente per gli Investimenti può, a propria discrezione, scegliere di applicare nel tempo ulteriori restrizioni agli investimenti legati all’ESG che ritiene coerenti con i suoi obiettivi di investimento.
Tali ulteriori restrizioni saranno rese note ogni volta che vengano attuate su www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im.
Al fine di incrementare il rendimento e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri ed ai limiti di investimento di cui all’Appendice A) utilizzare opzioni, contratti a termine (future), swaps, opzioni su swap (swaption), e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini di investimento o per la gestione efficiente del portafoglio (compresa la copertura).
Il Comparto, in via accessoria, potrà investire in Titoli a Reddito Fisso non conformi ai suddetti requisiti.
Il Comparto può investire in misura limitata in quote/azioni di altri organismi di investimento collettivo, inclusi i Comparti della Società ed ETF aperti, nella misura in cui un ETF sia un investimento ammissibile per gli OICVM.
Il Comparto è gestito attivamente e non è concepito per seguire un benchmark. La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento del Floating Rate ABS Fund, questo comparto può essere adatto ad investitori che:
- Intendono investire in Titoli a Reddito Fisso.
- Ricercano un apprezzamento del capitale a breve termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

FRONTIER MARKETS LOCAL DEBT FUND
L’obiettivo di investimento del Frontier Markets Local Debt Fund è di generare un rendimento totale, definito come reddito più rivalutazione del capitale, investendo principalmente in (i) Titoli a Reddito Fisso di emittenti societari, governativi e collegati ai
governi Situati nei paesi con Mercati di Frontiera o denominati in valute di paesi con Mercati di Frontiera; e/o (ii) strumenti derivati denominati o aventi come sottostante valute, tassi di interesse o emittenti dei paesi con Mercati di Frontiera.
In relazione al presente Comparto, i “Mercati di Frontiera” sono una categoria all’interno dei mercati emergenti che generalmente sono considerati dal Consulente per gli Investimenti come paesi che non sono sviluppati e che: (i) non sono ricompresi nel JP Morgan Government Bond Index – Emerging Markets Global Diversified (GBI-EM); o (ii) rappresentano il 2% o meno del JP Morgan Government Bond Index – Emerging Markets Global Diversified (GBI-EM), a condizione che in ogni caso i mercati di tali paesi siano mercati riconosciuti secondo quanto previsto dall’articolo 41(1) della Legge del 2010. Alcuni grandi paesi con Mercati Emergenti che non sono ricompresi nel JP Morgan Government Bond Index – Emerging Markets Global Diversified (GBI-EM), come Corea, Taiwan, Hong Kong, Singapore, Israele e India non sono considerati Mercati di Frontiera e il Comparto non sarà esposto verso tali Paesi.
Il Comparto può avere investimenti significativi in una regione geografica o in un Paese. Non è previsto che il Comparto si concentri su un particolare settore o industria.
I Titoli a Reddito Fisso detenuti dal Comparto avranno forma di obbligazioni e titoli obbligazionari di emittenti sovrani, obbligazioni e titoli di debito obbligazionari societari (corporate bond), titoli di debito a tasso fisso e variabile e, in misura limitata, titoli di partecipazione I Titoli a Reddito Fisso possono includere obbligazioni senza cedola (zero coupon), azioni privilegiate, obbligazioni e titoli a interesse differito e obbligazioni e titoli su cui l’interesse è pagabile sotto forma di ulteriori azioni, obbligazioni o titoli dello stesso tipo (titoli con pagamento in natura o Payment- in-Kind (PIK)).
Il Comparto può investire fino al 100% delle sue attività in strumenti con rating di almeno B- di Standard & Poor’s Ratings Services o Fitch Ratings, o B3 di Moody’s Investors Service, Inc. o in strumenti con un rating equivalente assegnato da un’altra agenzia di rating, o con un rating interno equivalente assegnato dal Consulente per gli Investimenti alla data dell’investimento.
Nel valutare i Titoli a Reddito Fisso emessi da società dei mercati di frontiera e nelle sue interlocuzioni con gli emittenti, il Consulente per gli Investimenti include una valutazione dei rischi e delle opportunità legati alla sostenibilità nel processo di valutazione per determinare gli impatti sui fondamentali del credito, le implicazioni per la valutazione e gli spread, la valuta e la durata / i tassi locali, e qualsiasi aspetto sostanziale che possa influenzare le tecniche di negoziazione dei Titoli a Reddito Fisso. Questi criteri possono
includere, a titolo non esaustivo, tematiche ambientali, sociali e di governo societario (“
ESG
”) come le emissioni di carbonio, la vulnerabilità climatica, la conservazione delle foreste, l’aspettativa di vita e la salute, l’istruzione, gli standard di vita, la possibilità di esprimersi e la responsabilità, la stabilità politica, il governo effettivo, la qualità delle norme, lo stato di diritto, la corruzione e la violenza/terrorismo. Il Consulente per gli Investimenti monitorerà i principali indicatori di sostenibilità, comprese le valutazioni ESG di fornitori terzi, al fine di misurare e valutare il contributo dei Titoli a Reddito Fisso alle tematiche ESG sopra descritte. Gli indicatori saranno misurati e valutati almeno annualmente.
Il Consulente per gli Investimenti utilizza anche un quadro di valutazione di propria concezione per le obbligazioni definite come sostenibili, attraverso il quale vengono valutati la solidità, l’impatto e la trasparenza di tali strumenti. Il quadro di valutazione proprietario fa parte della politica di  screening  del  Comparto,  disponibile  sui seguenti siti web: www.morganstanleyinvestmentfunds.com e www.morganstanley.com/im.
Il Consulente per gli Investimenti promuove le pratiche di buon governo e sociali da parte degli emittenti societari. Di conseguenza, il Consulente per gli Investimenti non effettuerà nuovi investimenti in emittenti presso cui abbiano luogo comprovate e significative violazioni sociali (intese come attività che violano un modo significativo i diritti di un singolo o di un gruppo). Tuttavia, gli eventuali investimenti già effettuati in tali emittenti non dovranno necessariamente essere venduti, e quelli che mostrano una tendenza positiva rispetto a simili violazioni non saranno soggetti alle limitazioni all’acquisto di titoli. Il Consulente per gli Investimenti renderà nota la metodologia utilizzata per valutare le violazioni sociali significative su www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im.
Con riferimento agli investimenti in Titoli a Reddito Fisso di emittenti societari, gli investimenti non potranno ricomprendere consapevolmente qualsiasi società la cui attività commerciale copra i seguenti settori:
- fabbricazione o produzione di armi controverse;
- fabbricazione o produzione di armi da fuoco civili; e
- fabbricazione o produzione di tabacco.

Per quanto riguarda specificatamente le attività legate ai combustibili fossili, il Consulente per gli Investimenti può confrontarsi con gli amministratori delle società sui temi della decarbonizzazione e del rischio climatico, nonché sulle pratiche di governance societaria e su quelle che ritiene essere altre questioni ambientali e/o sociali di notevole importanza per una società. Gli investimenti non potranno
ricomprendere consapevolmente qualsiasi società la cui attività commerciale comporta l’estrazione di carbone termico, qualora la stessa società ottenga più del 5% dei propri ricavi da questa attività commerciale.
Come eccezione a quanto precede, il Comparto può investire in obbligazioni definite come sostenibili, o in altri titoli di debito emessi per raccogliere capitali specificamente per progetti ambientali o legati al clima, emessi da soggetti che sarebbero altrimenti soggetti alla suddetta esclusione dei combustibili fossili, nella misura in cui sia stato indicato che gli obiettivi di tali strumenti sono coerenti con una riduzione delle emissioni di carbonio dell’emittente. Gli investimenti in tali strumenti saranno soggetti a verifiche da parte del Consulente per gli Investimenti.
Oltre alle esclusioni settoriali di cui sopra, il Consulente per gli Investimenti verifica costantemente le pratiche commerciali attraverso i dati sulle controversie ESG ed il controllo degli standard provenienti da fornitori terzi. Il Consulente per gli Investimenti prenderà in considerazione i casi di controversia che considera molto gravi in base alle valutazioni dei competenti fornitori di dati ESG, nonché le violazioni del Global Compact delle Nazioni Unite o dei principi fondamentali dell’Ufficio Internazionale del Lavoro, anche se tali eventi non comporteranno automaticamente l’esclusione dal portafoglio.
Il Consulente per gli Investimenti promuove le pratiche di buon governo e sociali da parte degli emittenti sovrani dei Paesi di frontiera. Di conseguenza, il Consulente per gli Investimenti non effettuerà nuovi investimenti in Paesi in cui abbiano luogo comprovate e significative violazioni sociali (intese come significative mancanze da parte del Governo nell’assicurare che i diritti di un singolo o di un gruppo non siano violati). Tuttavia, gli eventuali investimenti già effettuati in tali paesi non dovranno necessariamente essere venduti, e i Paesi che mostrano una tendenza positiva rispetto a simili violazioni non saranno soggetti alle limitazioni all’acquisto di titoli. Il Consulente per gli Investimenti renderà nota sul proprio sito la metodologia utilizzata per valutare le violazioni sociali.
In aggiunta a quanto precede, il Consulente per gli Investimenti può, a propria discrezione, scegliere di applicare nel tempo ulteriori restrizioni agli investimenti legati all’ESG che ritiene coerenti con gli obiettivi di investimento del Comparto. Tali ulteriori restrizioni saranno rese note ogni volta che vengano attuate su www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im.
Gli investimenti detenuti dal Comparto che a seguito dell’applicazione dei criteri ESG diventino non ammissibili dopo essere stati acquisiti per il Comparto saranno venduti. Tali vendite saranno disposte con tempistiche determinate dal Consulente per
gli Investimenti, tenendo conto in primo luogo degli interessi degli Azionisti del Comparto. Il Consulente per gli Investimenti utilizza dati di terzi e in alcuni casi i dati su emittenti specifici, delle tematiche ESG o le esclusioni di cui sopra potrebbero non essere disponibili e/o essere stimati dal Consulente per gli Investimenti utilizzando metodologie interne o stime ragionevoli. Le metodologie utilizzate dai diversi fornitori di dati possono variare e portare a punteggi diversi. Il Comparto può investire in emittenti che potrebbero non contribuire essi stessi alle specifiche caratteristiche ambientali o sociali promosse dal Comparto, come strumenti di copertura, investimenti non verificati ai fini della diversificazione, o investimenti per i quali mancano dati.
Il Consulente per gli Investimenti ritiene che, poiché le questioni di sostenibilità sono fonti di rischio e rendimento a lungo termine, l’integrazione dei rischi di sostenibilità come sopra indicato possa contribuire a migliorare i rendimenti del Comparto nel lungo periodo. Ulteriori informazioni sull’integrazione dei rischi di sostenibilità in relazione alla Società sono incluse nella sezione del Prospetto intitolata “Informazioni generali riguardanti l’integrazione del Rischio di Sostenibilità”.
Nella gestione del Comparto, il Consulente per gli Investimenti esegue ricerche e analisi macroeconomiche e politiche sui singoli paesi. Prende in considerazione, tra gli altri, fattori quali il sistema e l’ambiente politico di un paese, la politica fiscale, la politica monetaria, la politica dei redditi (cioè qualsiasi politica governativa che influisce sui redditi delle società o delle persone fisiche nel paese a cui si applicano tali politiche, come la politica fiscale, i sussidi in particolari settori economici, le leggi sul salario minimo o le normative di settore) e la politica commerciale. Sulla base di questa ricerca e analisi, il Consulente per gli Investimenti cerca di identificare i paesi e le valute che ritiene abbiano il potenziale per avere rendimenti migliori rispetto a altri paesi e valute, e di anticipare i cambiamenti nelle economie globali, nei mercati, nelle condizioni politiche e in altri fattori a questo scopo. Il Consulente per gli Investimenti seleziona e regola gli investimenti nel tentativo di trarre vantaggio dalle differenze nei valori percepiti delle valute dei paesi, dei tassi di interesse e degli spread di credito. Per attuare le decisioni d’investimento sulla base della ricerca da esso svolta, il Consulente per gli Investimenti seleziona i titoli, a cui il Comparto sarà esposto, che il Consulente per gli Investimenti ritiene che forniscano la migliore e più efficiente esposizione a quel paese. Il Consulente per gli Investimenti considera le caratteristiche di rischio/rendimento relativo dei potenziali investimenti nel determinare i mezzi più efficienti per raggiungere le esposizioni desiderate.
Il Comparto può investire in misura limitata in quote/azioni di altri organismi di investimento collettivo, inclusi i Comparti della
Società ed ETF aperti, che siano investimenti ammissibili per gli OICVM ai sensi della Legge del 2010.
Il Comparto può anche investire, in via accessoria, in Titoli a Reddito Fisso non conformi ai criteri per gli investimenti principali del Comparto, titoli azionari, warrant su titoli, Attività Equivalenti alla Liquidità e altri titoli collegati alle azioni.
Al fine di incrementare i rendimenti e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) utilizzare opzioni, contratti a termine (future) e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini di investimento e della gestione efficiente del portafoglio (compresa la copertura).
Il Comparto è gestito attivamente e fa riferimento all’indice JP Morgan Government Bond Index – Emerging Markets Global Diversified (GBI-EM) allo scopo di definire un’allocazione geografica dei paesi in cui il Comparto investirà e monitorare il discostamento rispetto al benchmark. Il Consulente per gli Investimenti ha piena discrezione in merito alla composizione delle attività del Comparto. Mentre il Comparto deterrà generalmente attività nell’ambito dei paesi indicati nell’indice JP Morgan Government Bond Index – Emerging Markets Global Diversified (GBI-EM), esso può investire in titoli di questi paesi in proporzioni diverse rispetto alle loro allocazioni nell’ambito dell’indice J JP Morgan Government Bond Index – Emerging Markets Global Diversified (GBI-EM), e può detenere attività che non sono esposte ai paesi indicati in tale indice. Pertanto, non vi sono limiti alla misura in cui la performance del Comparto può discostarsi da quella dell’indice JP Morgan Government Bond Index – Emerging Markets Global Diversified (GBI-EM).
La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento del Frontier Markets Local Debt Fund, questo comparto può essere adatto a investitori che:
- Intendono investire in Titoli a Reddito Fisso.
- Ricercano un apprezzamento del capitale nel lungo termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

GLOBAL ASSET BACKED SECURITIES FUND
L’obiettivo di investimento del Global Asset Backed Securities Fund è quello di offrire un interessante tasso di rendimento totale, denominato in Dollari statunitensi.
Il Comparto investirà principalmente in Titoli a Reddito Fisso che sono titoli rappresentativi di mutui ipotecari, titoli rappresentativi di mutui ipotecari commerciali, obbligazioni garantite da ipoteca e obbligazioni coperte da ipoteche (“Titoli Rappresentativi di Mutui Ipotecari” – “Asset-Backed Securities”), compresi i titoli di tipo “uniforme” (“uniform mortgage-backed securities”). Almeno il 50% delle attività del Comparto saranno investite in titoli con rating investment grade attribuito da un’agenzia di rating riconosciuta a livello internazionale, in titoli di emittenti ritenuti di analoga capacità di credito da parte del Consulente per gli Investimenti, o in titoli garantiti dagli Stati Uniti d’America.
Il Consulente per gli Investimenti applica dei metodi di classificazione e dei coefficienti di propria concezione che sono specifici per i Titoli a Reddito Fisso in cui il Comparto investe. Inoltre, come parte del proprio processo di ricerca di tipo bottom- up basata sui fondamentali, e nelle verifiche con gli emittenti, i prestatori di denaro ed i fornitori di servizi, il Consulente per gli Investimenti incorpora una valutazione dei rischi e delle opportunità legati alla sostenibilità nel processo di valutazione per determinare gli impatti sui fondamentali del credito, le implicazioni per la valutazione e gli spread, e qualsiasi aspetto sostanziale che possa influenzare le tecniche di negoziazione dei Titoli a Reddito Fisso. Il Consulente per gli Investimenti utilizza anche un quadro di valutazione di propria concezione per le obbligazioni definite come sostenibili, attraverso il quale vengono valutati la solidità, l’impatto e la trasparenza di tali strumenti.
Il Comparto promuove pratiche commerciali sostenibili e responsabili da parte degli emittenti in operazioni di cartolarizzazione. A tal fine, il Comparto non acquisterà consapevolmente alcun titolo cartolarizzato qualora il Consulente per gli Investimenti abbia la percezione che un emittente in
operazioni di cartolarizzazione possa essere implicato in una delle seguenti pratiche:
- prestiti predatori;
- violazioni degli standard del Consumer Financial Protection Bureau statunitense (CFPB);
- gravi mancanze nelle procedure di recupero dei pagamenti e di esecuzione immobiliare; e
- comportamenti fraudolenti.

Il Consulente per gli Investimenti utilizza dati di terzi e in alcuni casi i dati su emittenti specifici. Le tematiche ESG o le esclusioni di cui sopra potrebbero non essere disponibili e/o essere stimati dal Consulente per gli Investimenti utilizzando metodologie interne o stime ragionevoli sulla base dei migliori sforzi e in buona fede. Anche le metodologie utilizzate dai diversi fornitori di dati possono variare e portare a punteggi diversi.
In aggiunta a quanto precede, il Consulente per gli Investimenti può, a propria discrezione, scegliere di applicare nel tempo ulteriori restrizioni agli investimenti legati all’ESG che ritiene coerenti con i suoi obiettivi di investimento. Tali ulteriori restrizioni saranno  rese  note  ogni  volta  che  vengano attuate su www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im.
Al fine di incrementare il rendimento e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri ed ai limiti di investimento di cui all’Appendice A) utilizzare opzioni, swaps, opzioni su swap (swaption), contratti a termine (future) e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini di investimento e della gestione efficiente del portafoglio (compresa la copertura).
Il Comparto, in via accessoria, potrà investire in Titoli a Reddito Fisso diversi dai Titoli Rappresentativi di Mutui Ipotecari.
Il Comparto può investire in misura limitata in quote/azioni di altri organismi di investimento collettivo, inclusi i Comparti della Società ed ETF aperti, nella misura in cui un ETF sia un investimento ammissibile per gli OICVM.
Il Comparto è gestito attivamente e non è concepito per seguire un benchmark. La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno
significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento del Global Asset Backed Securities Fund, questo comparto può essere adatto ad investitori che:
- Intendono investire in Titoli a Reddito Fisso.
- Ricercano un apprezzamento del capitale a medio termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

GLOBAL BOND FUND
L’obiettivo di investimento del Global Bond Fund è di offrire un interessante tasso di rendimento, denominato in Dollari USA, mediante una selezione di mercati, titoli e valute. Il Comparto investirà principalmente in Titoli a Reddito Fisso nazionali, internazionali, di mercati emergenti e dell’Euromercato con scadenze variabili, in Dollari USA e altre valute, compresi titoli garantiti (compresi i titoli garantiti da ipoteche), partecipazioni a finanziamenti e cessioni di finanziamenti, nella misura in cui tali strumenti siano cartolarizzati.
Il Consulente per gli Investimenti applica dei metodi di classificazione e dei coefficienti di propria concezione che sono specifici per i Titoli a Reddito Fisso in cui il Comparto può investire e si concentrano su emittenti societari, sovrani e veicoli di cartolarizzazioni. Inoltre, come parte del proprio processo di ricerca di tipo bottom-up basata sui fondamentali, e nelle verifiche con gli emittenti, il Consulente per gli Investimenti incorpora una valutazione dei rischi e delle opportunità legati alla sostenibilità nel processo di valutazione per determinare gli impatti sui fondamentali del credito, le implicazioni per la valutazione e gli spread, e qualsiasi aspetto sostanziale che possa influenzare le tecniche di negoziazione dei Titoli a Reddito Fisso. Questi criteri possono ricomprendere, a titolo non esaustivo, delle tematiche ESG come la decarbonizzazione e il rischio climatico, l’economia circolare e la riduzione dei rifiuti, l’inclusività e il rispetto delle diversità nelle attività, il lavoro dignitoso e la solidità dell’occupazione. Il Consulente per gli Investimenti monitorerà i principali indicatori di sostenibilità, comprese le valutazioni ESG fornite da terzi, e l’impronta di carbonio (misurata come intensità di carbonio, definita come
tonnellate di CO2 per 1 milione di dollari di entrate per la parte del Comparto investita in obbligazioni emesse da società) al fine di misurare e valutare il contributo dei Titoli a Reddito Fisso alle tematiche ESG sopra descritte. Gli indicatori saranno misurati e valutati almeno su base annuale.
Il Consulente per gli Investimenti utilizza anche un quadro di valutazione di propria concezione per le obbligazioni definite come sostenibili, attraverso il quale vengono valutati la solidità, l’impatto e la trasparenza di tali strumenti.
Il Consulente per gli Investimenti promuove la transizione verso basse emissioni di carbonio escludendo gli emittenti corporate che hanno la produzione di carbone termico tra le attività principali, e promuove la vita umana escludendo i prodotti che sono dannosi per la salute e il benessere, in particolare il tabacco, le armi controverse e la produzione delle armi da fuoco civili. Di conseguenza, gli investimenti non potranno ricomprendere consapevolmente qualsiasi società la cui attività commerciale riguardi i seguenti settori:
- fabbricazione o produzione di armi controverse;
- fabbricazione o produzione di armi da fuoco civili; e
- fabbricazione o produzione di tabacco.

Per quanto riguarda specificatamente le attività legate ai combustibili fossili, il Consulente per gli Investimenti può confrontarsi con gli amministratori delle società sui temi della decarbonizzazione e del rischio climatico, nonché sulle pratiche di governance societaria e su quelle che ritiene essere altre questioni ambientali e/o sociali di notevole importanza per una società. Gli investimenti non potranno ricomprendere consapevolmente qualsiasi società la cui attività commerciale comporta l’estrazione di carbone termico, qualora la stessa società ottenga più del 5% dei propri ricavi da questa attività commerciale.
Come eccezione a quanto precede, in primo luogo il Comparto può investire in obbligazioni definite come sostenibili, o in altri titoli di debito emessi per raccogliere capitali specificamente per progetti ambientali o legati al clima, emessi da soggetti che sarebbero altrimenti soggetti alla suddetta esclusione dei combustibili fossili, nella misura in cui sia stato indicato che gli obiettivi di tali strumenti sono coerenti con una riduzione delle emissioni di carbonio dell’emittente. Gli investimenti in tali strumenti saranno soggetti a verifiche da parte del Consulente per gli Investimenti. In secondo luogo, il Comparto può investire in emittenti che potrebbero non contribuire essi stessi alle specifiche caratteristiche ambientali o sociali promosse dal prodotto finanziario, come strumenti di copertura, investimenti non verificati ai fini della diversificazione, o investimenti per i quali mancano dati.
Oltre alle esclusioni settoriali di cui sopra, il Consulente per gli Investimenti verifica costantemente le pratiche commerciali attraverso i dati sulle controversie ESG ed il controllo degli standard provenienti da fornitori terzi. Il Consulente per gli Investimenti prenderà in considerazione i casi di controversia che considera molto gravi in base alle valutazioni dei competenti fornitori di dati ESG, nonché le violazioni del Global Compact delle Nazioni Unite o dei principi fondamentali dell’Ufficio Internazionale del Lavoro, anche se tali eventi non comporteranno automaticamente l’esclusione dal portafoglio.
In aggiunta a quanto precede, il Consulente per gli Investimenti può, a propria discrezione, scegliere di applicare nel tempo ulteriori restrizioni agli investimenti legati all’ESG che ritiene coerenti con i suoi obiettivi di investimento. Tali ulteriori restrizioni saranno rese note ogni volta che vengano attuate su www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im.
Gli investimenti detenuti dal Comparto che a seguito dell’applicazione dei criteri ESG diventino non ammissibili dopo essere stati acquisiti per il Comparto saranno venduti. Tali vendite saranno disposte con tempistiche determinate dal Consulente per gli Investimenti, tenendo conto in primo luogo degli interessi degli Azionisti del Comparto. Il Consulente per gli Investimenti utilizza dati di terzi e in alcuni casi i dati su emittenti specifici, delle tematiche ESG o le esclusioni di cui sopra potrebbero non essere disponibili e/o essere stimati dal Consulente per gli Investimenti utilizzando metodologie interne o stime ragionevoli. Anche le metodologie utilizzate dai diversi fornitori di dati possono variare e portare a punteggi diversi.
Al fine di incrementare il rendimento e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) utilizzare opzioni, contratti a termine (future) e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini di investimento e della gestione efficiente del portafoglio (compresa la copertura).
I titoli saranno considerati adatti per l’investimento se, al momento dell’acquisto, sono classificati “BBB-”, o con un rating superiore, da S&P, o “Baa3”, o con un rating superiore, da Moody’s, ovvero se sono classificati in modo analogo da altra agenzia di “rating” riconosciuta a livello internazionale o se il loro credito è ritenuto di qualità analoga da parte del Consulente per gli Investimenti. Il Comparto potrà continuare a detenere posizioni negli stessi titoli, anche se il loro “rating” sarà abbassato dopo l’acquisto. Inoltre, il Comparto può investire, sino a un massimo del 10% del proprio Valore Patrimoniale Netto, in titoli che al momento dell’acquisto sono classificati con un “rating” inferiore a “BBB-” da S&P oppure a “Baa3” da Moody’s ovvero se sono classificati in modo analogo da
altra agenzia di “rating” riconosciuta a livello internazionale o se il loro credito è considerato di qualità analoga da parte del Consulente per gli Investimenti.
Il Comparto non può investire più del 20% delle sue attività in Strumenti Convertibili Speciali.
Il Comparto può investire in Titoli a Reddito Fisso acquisiti sul Mercato Interbancario delle Obbligazioni cinese (China Interbank Bond Market). Non più del 10% dell’attivo del Comparto può essere investito in tali Titoli a Reddito Fisso.
Il Comparto può investire, in quantità limitata, in quote/azioni di altri organismi di investimento collettivo compresi i Comparti della Società e gli ETF aperti che siano investimenti ammissibili per gli OICVM.
Il Comparto è gestito attivamente e non è concepito per seguire un benchmark. La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento del Global Bond Fund, questo comparto può essere adatto a investitori che:
- Intendono investire in Titoli a Reddito Fisso.
- Ricercano un apprezzamento del capitale a medio termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

GLOBAL CONVERTIBLE BOND FUND
L’obiettivo di investimento del Global Convertible Bond Fund è ottenere un aumento a lungo termine del valore del capitale, denominato in Dollari USA, principalmente attraverso investimenti in obbligazioni convertibili emesse da società costituite o operanti
in mercati sviluppati o emergenti, che saranno denominate in valute globali.
Il Consulente per gli Investimenti applica dei metodi di classificazione e dei coefficienti di propria concezione che sono specifici per i Titoli a Reddito Fisso in cui il Comparto può investire e si concentrano su emittenti societari, sovrani e veicoli di cartolarizzazioni. Inoltre, come parte del proprio processo di ricerca di tipo bottom-up basata sui fondamentali, e nelle verifiche con gli emittenti, il Consulente per gli Investimenti incorpora una valutazione dei rischi e delle opportunità legati alla sostenibilità nel processo di valutazione per determinare gli impatti sui fondamentali del credito, le implicazioni per la valutazione e gli spread, e qualsiasi aspetto sostanziale che possa influenzare le tecniche di negoziazione dei Titoli a Reddito Fisso. Questi criteri possono ricomprendere, a titolo non esaustivo, delle tematiche ESG come la decarbonizzazione e il rischio climatico, l’economia circolare e la riduzione dei rifiuti, l’inclusività e il rispetto delle diversità nelle attività, il lavoro dignitoso e la solidità dell’occupazione. Il Consulente per gli Investimenti monitorerà i principali indicatori di sostenibilità, comprese le valutazioni ambientali, sociali e di governance fornite da terzi, e l’impronta di carbonio (misurata come intensità di carbonio, definita come tonnellate di CO2 per 1 milione di dollari di entrate per la parte del Comparto investita in obbligazioni emesse da società) al fine di misurare e valutare il contributo dei Titoli a Reddito Fisso alle tematiche ESG sopra descritte. Gli indicatori saranno misurati e valutati almeno su base annuale.
Il Consulente per gli Investimenti utilizza anche un quadro di valutazione di propria concezione per le obbligazioni definite come sostenibili, attraverso il quale vengono valutati la solidità, l’impatto e la trasparenza di tali strumenti.
Il Consulente per gli Investimenti promuove la transizione verso basse emissioni di carbonio escludendo gli emittenti corporate che hanno la produzione di carbone termico tra le attività principali, e promuove la vita umana escludendo i prodotti che sono dannosi per la salute e il benessere, in particolare il tabacco, le armi controverse e la produzione delle armi da fuoco civili. Di conseguenza, gli investimenti non potranno ricomprendere consapevolmente qualsiasi società la cui attività commerciale riguardi i seguenti settori:
- fabbricazione o produzione di armi controverse;
- fabbricazione o produzione di armi da fuoco civili; e
- fabbricazione o produzione di tabacco.

Per quanto riguarda specificatamente le attività legate ai combustibili fossili, il Consulente per gli Investimenti può confrontarsi con gli amministratori delle società sui temi della decarbonizzazione e del rischio climatico, nonché sulle pratiche di governance societaria e
su quelle che ritiene essere altre questioni ambientali e/o sociali di notevole importanza per una società. Gli investimenti non potranno ricomprendere consapevolmente qualsiasi società la cui attività commerciale comporta l’estrazione di carbone termico, qualora la stessa società ottenga più del 5% dei propri ricavi da questa attività commerciale.
Come eccezione a quanto precede, in primo luogo il Comparto può investire in obbligazioni definite come sostenibili, o in altri titoli di debito emessi per raccogliere capitali specificamente per progetti ambientali o legati al clima, emessi da soggetti che sarebbero altrimenti soggetti alla suddetta esclusione dei combustibili fossili, nella misura in cui sia stato indicato che gli obiettivi di tali strumenti sono coerenti con una riduzione delle emissioni di carbonio dell’emittente. Gli investimenti in tali strumenti saranno soggetti a verifiche da parte del Consulente per gli Investimenti. In secondo luogo, il Comparto può investire in emittenti che potrebbero non contribuire essi stessi alle specifiche caratteristiche ambientali o sociali promosse dal prodotto finanziario, come strumenti di copertura, investimenti non verificati ai fini della diversificazione, o investimenti per i quali mancano dati.
Oltre alle esclusioni settoriali di cui sopra, il Consulente per gli Investimenti verifica costantemente le pratiche commerciali attraverso i dati sulle controversie ESG ed il controllo degli standard provenienti da fornitori terzi. Il Consulente per gli Investimenti prenderà in considerazione i casi di controversia che considera molto gravi in base alle valutazioni dei competenti fornitori di dati ESG, nonché le violazioni del Global Compact delle Nazioni Unite o dei principi fondamentali dell’Ufficio Internazionale del Lavoro, anche se tali eventi non comporteranno automaticamente l’esclusione dal portafoglio.
In aggiunta a quanto precede, il Consulente per gli Investimenti può, a propria discrezione, scegliere di applicare nel tempo ulteriori restrizioni agli investimenti legati all’ESG che ritiene coerenti con i suoi obiettivi di investimento. Tali ulteriori restrizioni saranno rese note ogni volta che vengano attuate su www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im.
Gli investimenti detenuti dal Comparto che a seguito dell’applicazione dei criteri ESG diventino non ammissibili dopo essere stati acquisiti per il Comparto saranno venduti. Tali vendite saranno disposte con tempistiche determinate dal Consulente per gli Investimenti, tenendo conto in primo luogo degli interessi degli Azionisti del Comparto. Il Consulente per gli Investimenti utilizza dati di terzi e in alcuni casi i dati su emittenti specifici, delle tematiche ESG o le esclusioni di cui sopra potrebbero non essere disponibili e/o essere stimati dal Consulente per gli Investimenti utilizzando metodologie interne o stime ragionevoli. Anche le
metodologie utilizzate dai diversi fornitori di dati possono variare e portare a punteggi diversi.
Al fine di incrementare il rendimento e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) utilizzare opzioni, contratti a termine (future) e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini dell’investimento e della gestione efficiente del portafoglio (compresa la copertura).
Il Comparto può anche investire, in via accessoria, in altri Titoli a Reddito Fisso oltre che in combinazioni tra azioni e warrant su valori mobiliari, o come risultato dell’opzione di conversione esercitata per le obbligazioni convertibili del Comparto oppure come alternativa alle obbligazioni convertibili, qualora lo ritenga opportuno.
Il Comparto non può investire più del 20% delle sue attività in Strumenti Convertibili Speciali.
Il Comparto può investire in misura limitata in ETF aperti che siano investimenti consentiti per i fondi OICVM.
Il Comparto è gestito attivamente e non è concepito per seguire un benchmark. La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento del Global Convertible Bond Fund, questo comparto può essere adatto ad investitori che:
- Intendono investire in Titoli a Reddito Fisso.
- Ricercano un apprezzamento del capitale a medio termine.
- Ricercano un reddito sotto forma di apprezzamento di capitale o di distribuzioni dei proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Intendono investire in Titoli a Reddito Fisso.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

GLOBAL CREDIT FUND
L’obiettivo d’investimento del Global Credit Fund è di offrire un interessante tasso di rendimento relativo, denominato in Dollari Statunitensi.
Il Comparto investirà principalmente in Titoli a Reddito Fisso emessi da società ed altri emittenti non governativi (“Obbligazioni Societarie”) costituiti o operanti sia in paesi sviluppati che emergenti e denominati in valute globali. Al fine di incrementare il rendimento e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) utilizzare opzioni, contratti a termine (future) e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini di investimento o della gestione efficiente del portafoglio (compresa la copertura).
Il Consulente per gli Investimenti applica dei metodi di classificazione e dei coefficienti di propria concezione che sono specifici per i Titoli a Reddito Fisso in cui il Comparto può investire e si concentrano su emittenti societari, sovrani e veicoli di cartolarizzazioni. Inoltre, come parte del proprio processo di ricerca di tipo bottom-up basata sui fondamentali, e nelle verifiche con gli emittenti, il Consulente per gli Investimenti incorpora una valutazione dei rischi e delle opportunità legati alla sostenibilità nel processo di valutazione per determinare gli impatti sui fondamentali del credito, le implicazioni per la valutazione e gli spread, e qualsiasi aspetto sostanziale che possa influenzare le tecniche di negoziazione dei Titoli a Reddito Fisso. Questi criteri possono ricomprendere, a titolo non esaustivo, delle tematiche ESG come la decarbonizzazione e il rischio climatico, l’economia circolare e la riduzione dei rifiuti, l’inclusività e il rispetto delle diversità nelle attività, il lavoro dignitoso e la solidità dell’occupazione. Il Consulente per gli Investimenti monitorerà i principali indicatori di sostenibilità, comprese le valutazioni ambientali, sociali e di governance fornite da terzi, e l’impronta di carbonio (misurata come intensità di carbonio, definita come tonnellate di CO2 per 1 milione di dollari di entrate per la parte del Comparto investita in obbligazioni emesse da società) al fine di misurare e valutare il contributo dei Titoli a Reddito Fisso alle tematiche ESG sopra descritte. Gli indicatori saranno misurati e valutati almeno su base annuale.
Il Consulente per gli Investimenti utilizza anche un quadro di valutazione di propria concezione per le obbligazioni definite come sostenibili, attraverso il quale vengono valutati la solidità, l’impatto e la trasparenza di tali strumenti.
Il Consulente per gli Investimenti promuove la transizione verso basse emissioni di carbonio escludendo gli emittenti corporate che
hanno la produzione di carbone termico tra le attività principali, e promuove la vita umana escludendo i prodotti che sono dannosi per la salute e il benessere, in particolare il tabacco, le armi controverse e la produzione delle armi da fuoco civili. Di conseguenza, gli investimenti non potranno ricomprendere consapevolmente qualsiasi società la cui attività commerciale riguardi i seguenti settori:
- fabbricazione o produzione di armi controverse;
- fabbricazione o produzione di armi da fuoco civili; e
- fabbricazione o produzione di tabacco.

Per quanto riguarda specificatamente le attività legate ai combustibili fossili, il Consulente per gli Investimenti può confrontarsi con gli amministratori delle società sui temi della decarbonizzazione e del rischio climatico, nonché sulle pratiche di governance societaria e su quelle che ritiene essere altre questioni ambientali e/o sociali di notevole importanza per una società. Gli investimenti non potranno ricomprendere consapevolmente qualsiasi società la cui attività commerciale comporta l’estrazione di carbone termico, qualora la stessa società ottenga più del 5% dei propri ricavi da questa attività commerciale.
Come eccezione a quanto precede, il Comparto può investire in obbligazioni definite come obbligazioni sostenibili, o in altri titoli di debito emessi per raccogliere capitali specificamente per progetti ambientali o legati al clima, emessi da soggetti che sarebbero altrimenti soggetti alla suddetta esclusione dei combustibili fossili, nella misura in cui il Consulente per gli Investimenti abbia determinato che gli obiettivi di tali strumenti sono coerenti con una riduzione delle emissioni di carbonio dell’emittente. Gli investimenti in tali strumenti saranno soggetti a verifiche da parte del Consulente per gli Investimenti. Il Comparto può investire in emittenti che potrebbero non contribuire essi stessi alle specifiche caratteristiche ambientali o sociali promosse dal prodotto finanziario, come strumenti di copertura, investimenti non verificati ai fini della diversificazione, o investimenti per i quali mancano dati.
Oltre alle esclusioni settoriali di cui sopra, il Consulente per gli Investimenti verifica costantemente le pratiche commerciali attraverso i dati sulle controversie ESG ed i controlli standard su dati provenienti da fornitori terzi. Il Consulente per gli Investimenti prenderà in considerazione i casi di controversia che considera molto gravi in base alle valutazioni dei competenti fornitori di dati ESG, nonché le violazioni del Global Compact delle Nazioni Unite o dei principi fondamentali dell’Ufficio Internazionale del Lavoro, anche se tali eventi non comporteranno automaticamente l’esclusione dal portafoglio.
Oltre a quanto precede, il Consulente per gli Investimenti potrà a propria discrezione decidere di applicare nel tempo ulteriori
Restrizioni agli investimenti legate a tematiche ESG che ritenga essere coerenti con i suoi obiettivi di investimento. Ove implementate, verrà data notizia di tali ulteriori limitazioni nei siti www.morganstanleyinvestmentfunds.com e www.morganstanley.com/im.
Gli investimenti detenuti dal Comparto che a seguito dell’applicazione dei criteri ESG diventino non ammissibili dopo essere stati acquisiti per il Comparto saranno venduti. Tali vendite saranno disposte con tempistiche determinate dal Consulente per gli Investimenti, tenendo conto in primo luogo degli interessi degli Azionisti del Comparto. Il Consulente per gli Investimenti utilizza dati di terzi e in alcuni casi i dati su emittenti specifici, delle tematiche ESG o le esclusioni di cui sopra potrebbero non essere disponibili e/o essere stimati dal Consulente per gli Investimenti utilizzando metodologie interne o stime ragionevoli. Anche le metodologie utilizzate dai diversi fornitori di dati possono variare e portare a punteggi diversi.
Il Comparto non investirà in titoli che, alla data dell’acquisto, siano classificati con un rating inferiore a B- (ovvero a BBB- nel caso di titoli obbligazionari cartolarizzati, ivi inclusi titoli garantiti da ipoteche) da parte della Standard & Poor’s Corporation (“S&P”), ovvero a una classificazione equivalente da parte di un’altra agenzia di rating ovvero a una classificazione interna analoga da parte del Consulente per gli Investimenti. Nel caso in cui qualsiasi titolo detenuto dal Comparto venga successivamente declassato a un rating inferiore a B- (ovvero a BBB- nel caso di titoli obbligazionari cartolarizzati, ivi inclusi i titoli garantiti da ipoteche), il Consulente per gli Investimenti può mantenere un’esposizione complessiva massima del 3% del Valore Patrimoniale Netto del Comparto in tali titoli declassati ma disinvestirà ogni titolo il cui rating non sia stato rialzato ad almeno B- entro sei mesi dall’abbassamento del rating.
Il Comparto può investire, in via accessoria, in Titoli a Reddito Fisso che non siano Obbligazioni Societarie.
Il Comparto non può investire più del 20% delle sue attività in Strumenti Convertibili Speciali.
Il Comparto può investire in Titoli a Reddito Fisso acquisiti sul Mercato Interbancario delle Obbligazioni cinese (China Interbank Bond Market). Non più del 10% dell’attivo del Comparto può essere investito in tali strumenti.
Il Comparto può investire in misura limitata in quote/azioni di altri organismi di investimento collettivo, inclusi i Comparti della Società ed ETF aperti, nella misura in cui ogni ETF sia un investimento ammissibile per i fondi OICVM.
Il Comparto è gestito attivamente e non è concepito per seguire un benchmark. La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento del Global Credit Fund, questo comparto può essere adatto ad investitori che:
- Intendono investire in Titoli a Reddito Fisso.
- Ricercano un apprezzamento del capitale a medio termine.
- Ricercano un reddito sotto forma di apprezzamento di capitale o di distribuzioni dei proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio.

GLOBAL CREDIT OPPORTUNITIES FUND
L’obiettivo d’investimento del Global Credit Opportunities Fund è di offrire un interessante tasso di rendimento relativo, denominato in Dollari Statunitensi.
Il Comparto investirà principalmente in Titoli a Reddito Fisso emessi da società (“Corporate Bonds”) ed altri emittenti non governativi Situati in paesi sviluppati, comprese obbligazioni di tipo investment grade e ad alto rendimento. Con obbligazioni ad alto rendimento si definiscono dei Titoli a Reddito Fisso emessi da società classificate con rating inferiori a “BBB-” assegnato da Standard & Poor’s Corporation (“S&P”) o “Baa3” da Moody’s Investors Services, Inc., ovvero classificate in modo analogo da un’altra agenzia di “rating” riconosciuta a livello internazionale o se il loro credito è considerato di qualità analoga da parte del Consulente per gli Investimenti. Il Comparto può inoltre investire in via principale in titoli garantiti da ipoteca e convertibili, nel rispetto della legge applicabile, e in altri titoli obbligazionari cartolarizzati, nonché in partecipazioni a prestiti e cessioni di prestiti nella misura in cui tali strumenti siano cartolarizzati. Il Consulente per gli Investimenti potrà investire in una qualunque combinazione di due o più delle suddette classi di attività.
Il Comparto non investirà in titoli che, alla data dell’investimento, siano classificati con un rating inferiore a B- (ovvero a BBB- nel caso di titoli obbligazionari cartolarizzati, ivi inclusi titoli garantiti da ipoteche) da parte di S&P, ovvero a una classificazione equivalente da parte di un’altra agenzia di rating ovvero a una classificazione interna analoga da parte del Consulente per gli Investimenti. Nel caso in cui qualsiasi titolo detenuto dal Comparto venga successivamente declassato a un rating inferiore a B- (ovvero a BBB- nel caso di titoli obbligazionari cartolarizzati, ivi inclusi i titoli garantiti da ipoteche), il Consulente per gli Investimenti può mantenere un’esposizione complessiva massima del 3% del Valore Patrimoniale Netto del Comparto in tali titoli declassati ma disinvestirà ogni titolo il cui rating non sia stato rialzato ad almeno B- entro sei mesi dall’abbassamento del rating.
Il Consulente per gli Investimenti applica dei metodi di classificazione e dei coefficienti di propria concezione che sono specifici per i Titoli a Reddito Fisso in cui il Comparto può investire e si concentrano su emittenti societari, sovrani e veicoli di cartolarizzazioni. Inoltre, come parte del proprio processo di ricerca di tipo bottom-up basata sui fondamentali, e nelle verifiche con gli emittenti, il Consulente per gli Investimenti incorpora una valutazione dei rischi e delle opportunità legati alla sostenibilità nel processo di valutazione per determinare gli impatti sui fondamentali del credito, le implicazioni per la valutazione e gli spread, e qualsiasi aspetto sostanziale che possa influenzare le tecniche di negoziazione dei Titoli a Reddito Fisso. Questi criteri possono ricomprendere, a titolo non esaustivo, delle tematiche ESG come la decarbonizzazione e il rischio climatico, l’economia circolare e la riduzione dei rifiuti, l’inclusività e il rispetto delle diversità nelle attività, il lavoro dignitoso e la solidità dell’occupazione. Il Consulente per gli Investimenti monitorerà i principali indicatori di sostenibilità, comprese le valutazioni ambientali, sociali e di governance fornite da terzi al fine di misurare e valutare il contributo dei Titoli a Reddito Fisso alle tematiche ESG sopra descritte. Gli indicatori saranno misurati e valutati almeno su base annuale.
Il Consulente per gli Investimenti utilizza anche un quadro di valutazione di propria concezione per le obbligazioni definite come sostenibili, attraverso il quale vengono valutati la solidità, l’impatto e la trasparenza di tali strumenti.
Il Comparto promuove la transizione verso basse emissioni di carbonio escludendo gli emittenti corporate che hanno la produzione di carbone termico tra le attività principali, e promuove la vita umana escludendo i prodotti che sono dannosi per la salute e il benessere, in particolare il tabacco, le armi controverse e la produzione delle armi da fuoco civili. Di conseguenza, gli investimenti non potranno ricomprendere consapevolmente qualsiasi società la cui attività commerciale riguardi i seguenti settori:
- fabbricazione o produzione di armi controverse;
- fabbricazione o produzione di armi da fuoco civili; e
- fabbricazione o produzione di tabacco.

Per quanto riguarda specificatamente le attività legate ai combustibili fossili, il Consulente per gli Investimenti può confrontarsi con gli amministratori delle società sui temi della decarbonizzazione e del rischio climatico, nonché sulle pratiche di governance societaria e su quelle che ritiene essere altre questioni ambientali e/o sociali di notevole importanza per una società. Gli investimenti non potranno ricomprendere consapevolmente qualsiasi società la cui attività commerciale comporta l’estrazione di carbone termico, qualora la stessa società ottenga più del 5% dei propri ricavi da questa attività commerciale.
Come eccezione a quanto precede, il Comparto può investire in obbligazioni definite come sostenibili, o in altri titoli di debito emessi per raccogliere capitali specificamente per progetti ambientali o legati al clima, emessi da entità che sarebbero altrimenti soggette alla suddetta esclusione dei combustibili fossili, nella misura in cui sia stato indicato che gli obiettivi di tali strumenti sono coerenti con una riduzione delle emissioni di carbonio dell’emittente. Gli investimenti in tali strumenti saranno soggetti a verifiche da parte del Consulente per gli Investimenti. Il Comparto può investire in emittenti che potrebbero non contribuire essi stessi alle specifiche caratteristiche ambientali o sociali promosse dal prodotto finanziario, come strumenti di copertura, investimenti non verificati ai fini della diversificazione, o investimenti per i quali mancano dati.
Oltre alle esclusioni settoriali di cui sopra, il Consulente per gli Investimenti verifica costantemente le pratiche commerciali attraverso i dati sulle controversie ESG ed il controllo degli standard provenienti da fornitori terzi. Il Consulente per gli Investimenti prenderà in considerazione i casi di controversia che considera molto gravi in base alle valutazioni dei competenti fornitori di dati ESG, nonché le violazioni del Global Compact delle Nazioni Unite o dei principi fondamentali dell’Ufficio Internazionale del Lavoro, anche se tali eventi non comporteranno automaticamente l’esclusione dal portafoglio.
In aggiunta a quanto precede, il Consulente per gli Investimenti può, a propria discrezione, scegliere di applicare nel tempo ulteriori restrizioni agli investimenti legati all’ESG che ritiene coerenti con i suoi obiettivi di investimento. Tali ulteriori restrizioni saranno rese note ogni volta che vengano attuate su www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im.
Gli investimenti detenuti dal Comparto che a seguito dell’applicazione dei criteri ESG diventino non ammissibili dopo essere stati acquisiti per il Comparto saranno venduti. Tali vendite saranno disposte con tempistiche determinate dal Consulente per gli Investimenti, tenendo conto in primo luogo degli interessi degli Azionisti del Comparto. Il Consulente per gli Investimenti utilizza dati di terzi e in alcuni casi i dati su emittenti specifici, delle tematiche ESG o le esclusioni di cui sopra potrebbero non essere disponibili e/o essere stimati dal Consulente per gli Investimenti utilizzando metodologie interne o stime ragionevoli. Anche le metodologie utilizzate dai diversi fornitori di dati possono variare e portare a punteggi diversi.
Il Comparto potrà anche investire, in via accessoria, in Titoli a Reddito Fisso non conformi ai criteri per gli investimenti principali del Comparto.
Il Comparto può investire in Titoli a Reddito Fisso acquisiti sul Mercato Interbancario delle Obbligazioni cinese (China Interbank Bond Market). Non più del 10% dell’attivo del Comparto può essere investito in tali strumenti.
Al fine di incrementare il rendimento e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’Appendice A) utilizzare opzioni, contratti a termine (future) e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini di investimento e della gestione efficiente del portafoglio (compresa la copertura).
Il Comparto non può investire più del 20% delle sue attività in Strumenti Convertibili Speciali.
Il Comparto può investire in misura limitata in quote/azioni di altri organismi di investimento collettivo, inclusi i Comparti della Società ed ETF aperti, nella misura in cui un ETF sia un investimento ammissibile per gli OICVM.
Il Comparto è gestito attivamente la composizione dei suoi investimenti non è vincolata rispetto ad alcun benchmark. Pertanto, la gestione del Comparto non è vincolata dalla composizione di un benchmark. La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento del Global Credit Opportunities Fund, questo comparto può essere adatto ad investitori che:
- Intendono investire in Titoli a Reddito Fisso.
- Ricercano un apprezzamento del capitale a medio termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

GLOBAL FIXED INCOME OPPORTUNITIES FUND
L’obiettivo di investimento del Global Fixed Income Opportunities Fund è di offrire un interessante tasso di rendimento totale, denominato in Dollari USA, mediante investimenti in titoli a reddito fisso globali. Il Comparto cercherà di realizzare la politica di investimento mediante l’investimento in classi di attività a reddito fisso così come attraverso la selezione di mercati e titoli.
Il Comparto investirà principalmente in titoli globali di emittenti societari, governativi e di entità connesse a governi attraverso una gamma di classi di attività a reddito fisso comprese obbligazioni ad alto rendimento ed investment-grade, titoli rappresentativi di mutui ipotecari, titoli convertibili e valute e, nella misura prevista dalla legge applicabile, in titoli rappresentativi, in titoli di partecipazione a finanziamenti e cessioni di crediti, nella misura in cui essi siano cartolarizzati. Sono considerate obbligazioni ad alto rendimento i Titoli a Reddito Fisso emessi da società classificate con rating inferiori a “BBB-” da S&P, o “Baa3” da Moody’s”, ovvero se sono classificati in modo analogo da altra agenzia di “rating” riconosciuta a livello internazionale o se il loro credito è considerato di qualità analoga da parte del Consulente per gli Investimenti. Tali investimenti potranno comprendere Titoli a Reddito Fisso emessi in mercati emergenti. Il Consulente per gli Investimenti potrà investire in una qualunque combinazione di due o più delle suddette classi di attivo.
Il Consulente per gli Investimenti applica dei metodi di classificazione e dei coefficienti di propria concezione che sono specifici per i Titoli a Reddito Fisso in cui il Comparto può investire e si concentrano su emittenti societari, sovrani e veicoli di cartolarizzazioni. Inoltre, come parte del proprio processo di ricerca di tipo bottom-up basata sui fondamentali, e nelle verifiche con gli emittenti, il Consulente per gli Investimenti incorpora una valutazione dei rischi e delle opportunità legati alla sostenibilità nel processo di valutazione per determinare gli impatti sui fondamentali del credito, le implicazioni per la valutazione e gli spread, e qualsiasi aspetto sostanziale che possa influenzare le tecniche di negoziazione
dei Titoli a Reddito Fisso. Questi criteri possono ricomprendere, a titolo non esaustivo, delle tematiche ESG come la decarbonizzazione e il rischio climatico, l’economia circolare e la riduzione dei rifiuti, l’inclusività e il rispetto delle diversità nelle attività, il lavoro dignitoso e la solidità dell’occupazione. Il Consulente per gli Investimenti monitorerà i principali indicatori di sostenibilità, comprese le valutazioni ambientali, sociali e di governance fornite da terzi, e l’impronta di carbonio (misurata come intensità di carbonio, definita come tonnellate di CO2 per 1 milione di dollari di entrate per la parte del Comparto investita in obbligazioni emesse da società) al fine di misurare e valutare il contributo dei Titoli a Reddito Fisso alle tematiche ESG sopra descritte. Gli indicatori saranno misurati e valutati almeno su base annuale.
Il Consulente per gli Investimenti utilizza anche un quadro di valutazione di propria concezione per le obbligazioni definite come sostenibili, attraverso il quale vengono valutati la solidità, l’impatto e la trasparenza di tali strumenti.
Il Consulente per gli Investimenti promuove la transizione verso basse emissioni di carbonio escludendo gli emittenti corporate che hanno la produzione di carbone termico tra le attività principali, e promuove la vita umana escludendo i prodotti che sono dannosi per la salute e il benessere, in particolare il tabacco, le armi controverse e la produzione delle armi da fuoco civili. Di conseguenza, gli investimenti non potranno ricomprendere consapevolmente qualsiasi società la cui attività commerciale riguardi i seguenti settori:
- fabbricazione o produzione di armi controverse;
- fabbricazione o produzione di armi da fuoco civili; e
- fabbricazione o produzione di tabacco.

Per quanto riguarda specificatamente le attività legate ai combustibili fossili, il Consulente per gli Investimenti può confrontarsi con gli amministratori delle società sui temi della decarbonizzazione e del rischio climatico, nonché sulle pratiche di governance societaria e su quelle che ritiene essere altre questioni ambientali e/o sociali di notevole importanza per una società. Gli investimenti non potranno ricomprendere consapevolmente qualsiasi società la cui attività commerciale comporta l’estrazione di carbone termico, qualora la stessa società ottenga più del 5% dei propri ricavi da questa attività commerciale.
Come eccezione a quanto precede, il Comparto può investire in obbligazioni definite come sostenibili, o in altri titoli di debito emessi per raccogliere capitali specificamente per progetti ambientali o legati al clima, emessi da entità che sarebbero altrimenti soggette alla suddetta esclusione dei combustibili fossili, nella misura in cui sia stato indicato che gli obiettivi di tali strumenti sono coerenti con una riduzione delle emissioni di carbonio dell’emittente. Gli
investimenti in tali strumenti saranno soggetti a verifiche da parte del Consulente per gli Investimenti. Il Comparto può investire in emittenti che potrebbero non contribuire essi stessi alle specifiche caratteristiche ambientali o sociali promosse dal prodotto finanziario, come strumenti di copertura, investimenti non verificati ai fini della diversificazione, o investimenti per i quali mancano dati.
Oltre alle esclusioni settoriali di cui sopra, il Consulente per gli Investimenti verifica costantemente le pratiche commerciali attraverso i dati sulle controversie ESG ed il controllo degli standard provenienti da fornitori terzi. Il Consulente per gli Investimenti prenderà in considerazione i casi di controversia che considera molto gravi in base alle valutazioni dei competenti fornitori di dati ESG, nonché le violazioni del Global Compact delle Nazioni Unite o dei principi fondamentali dell’Ufficio Internazionale del Lavoro, anche se tali eventi non comporteranno automaticamente l’esclusione dal portafoglio.
In aggiunta a quanto precede, il Consulente per gli Investimenti può, a propria discrezione, scegliere di applicare nel tempo ulteriori restrizioni agli investimenti legati all’ESG che ritiene coerenti con i suoi obiettivi di investimento. Tali ulteriori restrizioni saranno rese note ogni volta che vengano attuate su www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im.
Gli investimenti detenuti dal Comparto che a seguito dell’applicazione dei criteri ESG diventino non ammissibili dopo essere stati acquisiti per il Comparto saranno venduti. Tali vendite saranno disposte con tempistiche determinate dal Consulente per gli Investimenti, tenendo conto in primo luogo degli interessi degli Azionisti del Comparto. Il Consulente per gli Investimenti utilizza dati di terzi e in alcuni casi i dati su emittenti specifici, delle tematiche ESG o le esclusioni di cui sopra potrebbero non essere disponibili e/o essere stimati dal Consulente per gli Investimenti utilizzando metodologie interne o stime ragionevoli. Anche le metodologie utilizzate dai diversi fornitori di dati possono variare e portare a punteggi diversi.
Il Comparto potrà anche investire, in via accessoria, in ulteriori titoli, compresi, a titolo esemplificativo, Attività Equivalenti alla Liquidità, azioni o titoli collegati ad azioni.
Al fine di incrementare il rendimento e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) utilizzare opzioni, contratti a termine (future) e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini dell’investimento e della gestione efficiente del portafoglio (compresa la copertura).
Il Comparto non può investire più del 20% delle sue attività in Strumenti Convertibili Speciali.
Il Comparto può investire in Titoli a Reddito Fisso acquisiti sul Mercato Interbancario delle Obbligazioni cinese (China Interbank Bond Market). Non più del 10% dell’attivo del Comparto può essere investito in tali strumenti.
Il Comparto può investire in misura limitata in quote/azioni di altri organismi di investimento collettivo, inclusi i Comparti della Società ed ETF aperti, nella misura in cui un ETF sia un investimento ammissibile per gli OICVM.
Il Comparto è gestito attivamente e la composizione del suo portafoglio non è vincolata rispetto ad alcun benchmark.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento del Global Fixed Income Opportunities Fund, questo comparto può essere adatto ad investitori che:
- Intendono investire in Titoli a Reddito Fisso.
- Ricercano un apprezzamento del capitale a medio termine.
- Ricercano un reddito sotto forma di apprezzamento di capitale o di distribuzioni dei proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

GLOBAL HIGH YIELD BOND FUND
L’obiettivo di investimento del Global High Yield Bond Fund è offrire un interessante tasso di rendimento, denominato in Dollari USA, mediante investimenti in tutto il mondo principalmente in Titoli a Reddito Fisso emessi da società classificate con un “rating” inferiore a “BBB-” da S&P oppure a “Baa3” da Moody’s ovvero classificati in modo analogo da altra agenzia di “rating” riconosciuta a livello internazionale o se il loro credito è considerato di qualità analoga da parte del Consulente per gli Investimenti. Tali investimenti possono comprendere Titoli a Reddito Fisso emessi in mercati emergenti e, nella misura prevista dalle leggi applicabili,
titoli rappresentativi, titoli di partecipazione a finanziamenti e cessioni di crediti, nella misura in cui essi siano cartolarizzati.
Il Consulente per gli Investimenti applica dei metodi di classificazione e dei coefficienti di propria concezione che sono specifici per i Titoli a Reddito Fisso in cui il Comparto può investire e si concentrano su emittenti societari, sovrani e veicoli di cartolarizzazioni. Inoltre, come parte del proprio processo di ricerca di tipo bottom-up basata sui fondamentali, e nelle verifiche con gli emittenti, il Consulente per gli Investimenti incorpora una valutazione dei rischi e delle opportunità legati alla sostenibilità nel processo di valutazione per determinare gli impatti sui fondamentali del credito, le implicazioni per la valutazione e gli spread, e qualsiasi aspetto sostanziale che possa influenzare le tecniche di negoziazione dei Titoli a Reddito Fisso. Questi criteri possono ricomprendere, a titolo non esaustivo, delle tematiche ESG come la decarbonizzazione e il rischio climatico, l’economia circolare e la riduzione dei rifiuti, l’inclusività e il rispetto delle diversità nelle attività, il lavoro dignitoso e la solidità dell’occupazione. Il Consulente per gli Investimenti monitorerà i principali indicatori di sostenibilità, comprese le valutazioni ambientali, sociali e di governance fornite da terzi, e l’impronta di carbonio (misurata come intensità di carbonio, definita come tonnellate di CO2 per 1 milione di dollari di entrate per la parte del Comparto investita in obbligazioni emesse da società) al fine di misurare e valutare il contributo dei Titoli a Reddito Fisso alle tematiche ESG sopra descritte. Gli indicatori saranno misurati e valutati almeno su base annuale.
Il Consulente per gli Investimenti utilizza anche un quadro di valutazione di propria concezione per le obbligazioni definite come sostenibili, attraverso il quale vengono valutati la solidità, l’impatto e la trasparenza di tali strumenti.
Il Consulente per gli Investimenti promuove la transizione verso basse emissioni di carbonio escludendo gli emittenti corporate che hanno la produzione di carbone termico tra le attività principali, e promuove la vita umana escludendo i prodotti che sono dannosi per la salute e il benessere, in particolare il tabacco, le armi controverse e la produzione delle armi da fuoco civili. Di conseguenza, gli investimenti non potranno ricomprendere consapevolmente qualsiasi società la cui attività commerciale riguardi i seguenti settori:
- fabbricazione o produzione di armi controverse;
- fabbricazione o produzione di armi da fuoco civili; e
- fabbricazione o produzione di tabacco.

Per quanto riguarda specificatamente le attività legate ai combustibili fossili, il Consulente per gli Investimenti può confrontarsi con gli amministratori delle società sui temi della decarbonizzazione e del rischio climatico, nonché sulle pratiche di governance societaria e
su quelle che ritiene essere altre questioni ambientali e/o sociali di notevole importanza per una società. Gli investimenti non potranno ricomprendere consapevolmente qualsiasi società la cui attività commerciale comporta l’estrazione di carbone termico, qualora la stessa società ottenga più del 5% dei propri ricavi da questa attività commerciale.
Come eccezione a quanto precede, il Comparto può investire in obbligazioni definite come sostenibili, o in altri titoli di debito emessi per raccogliere capitali specificamente per progetti ambientali o legati al clima, emessi da entità che sarebbero altrimenti soggette alla suddetta esclusione dei combustibili fossili, nella misura in cui sia stato indicato che gli obiettivi di tali strumenti sono coerenti con una riduzione delle emissioni di carbonio dell’emittente. Gli investimenti in tali strumenti saranno soggetti a verifiche da parte del Consulente per gli Investimenti. Il Comparto può investire in emittenti che potrebbero non contribuire essi stessi alle specifiche caratteristiche ambientali o sociali promosse dal prodotto finanziario, come strumenti di copertura, investimenti non verificati ai fini della diversificazione, o investimenti per i quali mancano dati.
Oltre alle esclusioni settoriali di cui sopra, il Consulente per gli Investimenti verifica costantemente le pratiche commerciali attraverso i dati sulle controversie ESG ed il controllo degli standard provenienti da fornitori terzi. Il Consulente per gli Investimenti prenderà in considerazione i casi di controversia che considera molto gravi in base alle valutazioni dei competenti fornitori di dati ESG, nonché le violazioni del Global Compact delle Nazioni Unite o dei principi fondamentali dell’Ufficio Internazionale del Lavoro, anche se tali eventi non comporteranno automaticamente l’esclusione dal portafoglio.
In aggiunta a quanto precede, il Consulente per gli Investimenti può, a propria discrezione, scegliere di applicare nel tempo ulteriori restrizioni agli investimenti legati all’ESG che ritiene coerenti con i suoi obiettivi di investimento. Tali ulteriori restrizioni saranno rese note ogni volta che vengano attuate su www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im.
Gli investimenti detenuti dal Comparto che a seguito dell’applicazione dei criteri ESG diventino non ammissibili dopo essere stati acquisiti per il Comparto saranno venduti. Tali vendite saranno disposte con tempistiche determinate dal Consulente per gli Investimenti, tenendo conto in primo luogo degli interessi degli Azionisti del Comparto. Il Consulente per gli Investimenti utilizza dati di terzi e in alcuni casi i dati su emittenti specifici, delle tematiche ESG o le esclusioni di cui sopra potrebbero non essere disponibili e/o essere stimati dal Consulente per gli Investimenti utilizzando metodologie interne o stime ragionevoli. Anche le
metodologie utilizzate dai diversi fornitori di dati possono variare e portare a punteggi diversi.
Al fine di incrementare il rendimento e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) utilizzare opzioni, contratti a termine (future) e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini dell’investimento e della gestione efficiente del portafoglio (compresa la copertura).
Il Comparto può anche investire, in via accessoria, in altri Titoli a Reddito Fisso (compresi i titoli emessi da governi e agenzie, nonché i titoli classificati “BBB-”, o con un “rating” superiore, da S&P, o “Baa3”, o con un “rating” superiore, da Moody’s, ovvero classificati in modo analogo da altra agenzia di “rating” riconosciuta a livello internazionale o se il loro credito è considerato di qualità analoga da parte del Consulente per gli Investimenti).
Il Comparto non può investire più del 20% delle sue attività in Strumenti Convertibili Speciali.
Il Comparto può investire in Titoli a Reddito Fisso acquisiti sul Mercato Interbancario delle Obbligazioni cinese (China Interbank Bond Market). Non più del 10% dell’attivo del Comparto può essere investito in tali strumenti.
Il Comparto può investire in misura limitata in quote/azioni di altri organismi di investimento collettivo, inclusi i Comparti della Società ed ETF aperti, nella misura in cui un ETF sia un investimento ammissibile per gli OICVM.
Il Comparto è gestito attivamente e non è concepito per seguire un benchmark. La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento del Global High Yield Bond Fund, questo comparto può essere adatto ad investitori che:
- Intendono investire in Titoli a Reddito Fisso.
- Ricercano un apprezzamento del capitale a medio termine.
- Ricercano un reddito sotto forma di apprezzamento di capitale o di distribuzioni dei proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

GLOBAL MACRO FUND
L’obiettivo di investimento del Global Macro Fund è quello di dare un rendimento assoluto positivo in tutte le condizioni di mercato, sotto forma di reddito più apprezzamento del capitale su periodi di tre anni, attraverso l’esposizione a valute e a tassi di interesse ed emittenti statunitensi e non statunitensi.
Il Comparto cercherà di raggiungere l’obiettivo di investimento investendo principalmente in un portafoglio globale di valori mobiliari e di Titoli a Reddito Fisso, e mediante strumenti finanziari derivati.
L’universo di investimento principale del Comparto comprenderà Titoli a Reddito Fisso (emessi da governi e entità collegate ai governi, nonché da emittenti societari Situati sia nei paesi sviluppati che in quelli con Mercati Emergenti, compresi, a titolo non esaustivo, titoli garantiti da ipoteca e altri titoli obbligazionari cartolarizzati, obbligazioni indicizzate all’inflazione emesse da emittenti governativi e collegati ai governi e societari, titoli di debito societari – compresi, a titolo non esaustivo, titoli convertibili e cambiali finanziarie), quote di organismi di investimento collettivo aperti e chiusi, prodotti strutturati, depositi e, in misura limitata, titoli di partecipazione.
Non è previsto che il Comparto si concentri su un particolare settore o industria. Gli investimenti del Comparto possono essere altamente concentrati in una regione geografica o in un Paese, e non vi sono limiti all’esposizione del Comparto a una regione geografica o a un Paese. Il Comparto può investire fino al 100% delle sue attività nette in titoli di emittenti Situati in paesi con Mercati Emergenti (e cioè, ai fini del presente Comparto, qualsiasi paese che non sia diventato membro dell’OCSE prima del 1975 e la Turchia).
Il Consulente per gli Investimenti adegua gli investimenti per trarre vantaggio dalle differenze fra titoli, paesi, valute e credito in base alla sua percezione di vari fattori, compresi i mercati, i tassi di interesse e gli emittenti più favorevoli, il rendimento relativo e il potenziale di apprezzamento dei titoli di un particolare paese e il rapporto di cambio della valuta di un paese con il Dollaro USA. Il Consulente per gli Investimenti identifica i paesi e le valute in cui gli investimenti del Comparto avranno dei risultati migliori rispetto a quelli in altri paesi e valute comparabili e in molti casi cerca di
prevedere i cambiamenti nelle economie, nei mercati, nelle condizioni politiche e in altri fattori.
Nel valutare i titoli di debito emessi da governi, agenzie governative e imprese collegate ai governi in cui il Comparto può investire, il Consulente per gli Investimenti integrerà criteri ambientali, sociali e di governo societario (“ESG”). Il Consulente per gli Investimenti, nell’ambito del suo processo di ricerca e selezione delle attività per quanto riguarda i titoli di debito, prenderà in considerazione le questioni ESG rispetto a ciascun paese ed effettuerà un’analisi qualitativa di ciascun paese, valutando i fattori ESG per ciascun paese sulla base delle informazioni raccolte dal personale di ricerca del Consulente per gli Investimenti, dal sub-consulente (se applicabile) e/o dalle società loro collegate, nonché da fonti terze. Tale analisi qualitativa sarà integrata da punteggi ESG quantitativi attribuiti dal Consulente per gli Investimenti a ciascun paese e i punteggi ESG consentono confronti tra paesi. Nell’ambito della sua analisi, il Consulente per gli Investimenti può prendere in considerazione i fattori ESG che comprendono i Rischi di Sostenibilità o le relative opportunità in grado di influenzare la condizione finanziaria o la performance del paese in un orizzonte d’investimento a lungo termine, tra cui, a titolo esemplificativo, l’inquinamento/salute ambientale/ecosistema, rischio di disordini sociali, sviluppo umano, democrazia e diritti e libertà.
Il Consulente per gli Investimenti ritiene che, poiché le questioni di sostenibilità sono fonti di rischio e rendimento a lungo termine, l’integrazione dei rischi di sostenibilità come sopra indicato possa contribuire a migliorare i rendimenti del Comparto nel lungo periodo.
Il Comparto non può investire più del 20% delle sue attività totali in titoli obbligazionari cartolarizzati (ABS) e/o in titoli garantiti da ipoteche.
Il Comparto può investire in misura limitata in quote/azioni di altri organismi di investimento collettivo, inclusi i Comparti della Società ed ETF aperti, che siano investimenti ammissibili per gli OICVM ai sensi della Legge del 2010. he (MBS).
Il Comparto può anche investire, in via accessoria, in warrant.
Al fine di incrementare i rendimenti e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) utilizzare opzioni, contratti a termine (future) e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini di investimento e della gestione efficiente del portafoglio (compresa la copertura).
Il Comparto è gestito attivamente e non è concepito per seguire un benchmark. Pertanto, la gestione del Comparto non è vincolata alla
composizione di un benchmark. La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Gli investimenti sottostanti il Comparto non tengono conto dei criteri dell’UE per le attività ecosostenibili.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento del Global Macro Fund, questo comparto può essere adatto a investitori che:
- Intendono investire in Titoli a Reddito Fisso.
- Ricercano un apprezzamento del capitale nel lungo termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

SHORT DURATION US GOVERNMENT INCOME FUND
L’obiettivo d’investimento dello Short Duration US Government Income Fund è generare un rendimento totale, definito come reddito più rivalutazione del capitale, investendo almeno il 90% del patrimonio netto in titoli a reddito fisso emessi, garantiti o sostenuti in altro modo dal governo statunitense o dalle sue agenzie o entità strumentali. La durata media ponderata del Comparto sarà normalmente inferiore a 3 anni, sebbene questa possa essere superiore in determinate condizioni di mercato. In generale, più lunga è la durata media del portafoglio, maggiore è l’esposizione al rischio di tasso d’interesse e quindi il valore del comparto sarà più volatile. A causa della durata relativamente breve del Comparto, è probabile che esso dia luogo a rendimenti ragionevolmente costanti e mantenga livelli relativamente bassi di volatilità del proprio valore poiché il rendimento del Comparto sarà generato principalmente dai pagamenti di reddito dagli investimenti sottostanti piuttosto che dalla rivalutazione del capitale del portafoglio.
Il Comparto può stipulare impegni a termine per l’acquisto di titoli garantiti da ipoteca (“
MBS
”) emessi da Ginnie Mae, Fannie Mae e Freddie Mac (operazioni da annunciare, o “TBA”). Il Comparto può anche stipulare swap generici su cedole di MBS, swap fra titoli di diverse agenzie e swap su termini assumendo impegni a termine per l’acquisto e la vendita di MBS. Tali impegni a termine possono essere stipulati al fine di aumentare i rendimenti o ridurre i rischi, e possono dar luogo a una leva finanziaria dell’investimento.
Il Comparto può anche stipulare contratti denominati “Mortgage Dollar Rolls”, in base ai quali il Comparto vende MBS da consegnare nel mese in corso e contemporaneamente stipula contratti di riacquisto di MBS sostanzialmente simili (stesso tipo, cedola e scadenza) a una data futura specificata. Durante il periodo di riacquisto (“roll”), il Comparto rinuncia al capitale e agli interessi pagati sulle MBS.
Nel prendere le decisioni di investimento, il Consulente per gli Investimenti del Comparto utilizza l’esperienza e le informazioni fornite dal personale di ricerca del Consulente per gli Investimenti stesso, del sub-consulente (se applicabile) e/o delle società loro collegate. Nel selezionare i titoli in cui investire, il Consulente per gli Investimenti cerca di identificare i titoli che ritiene abbiano il miglior valore relativo per quanto riguarda il prezzo, il rendimento e il rendimento totale previsto in confronto ad altri strumenti disponibili. I titoli vengono analizzati utilizzando vari modelli di pagamento anticipato (cioè modelli che analizzano il livello previsto di pagamenti anticipati su un portafoglio di attività) e scenari concepiti dal Consulente per gli Investimenti , e valutati rispetto al mercato nella sua totalità sulla base del rischio/rendimento. I titoli vengono anche esaminati nel contesto del portafoglio complessivo del Comparto per determinare se un titolo è adatto al portafoglio e per assicurarsi che l’allocazione non pesi eccessivamente sul portafoglio per un particolare fattore di rischio. Come parte del processo di selezione, il Consulente per gli Investimenti analizzerà una serie di fattori in relazione a ciascun titolo, tra cui (i) le caratteristiche del collaterale sottostante al titolo, (ii) le aspettative di pagamento anticipato del collaterale e (iii) la compatibilità della struttura del titolo con tali aspettative di pagamento anticipato. L’analisi del collaterale comporta un esame approfondito delle caratteristiche del mutuatario che possono influenzare la propensione al pagamento anticipato di un titolo e comprende fattori quali l’agenzia, la dispersione geografica del mutuatario, il mix di prestatori di servizi ipotecari, la dimensione del prestito, ecc. La selezione della struttura dei titoli implica l’identificazione di strutture che si prevede siano valorizzate dalle aspettative di pagamento anticipato del Consulente per gli Investimenti. Il Consulente per gli Investimenti prende le sue decisioni di investimento principalmente sulla base della ricerca sui fondamentali, compresi i fattori sopra descritti, e del valore relativo e può vendere un titolo quando ritiene che non rappresenti più il miglior valore relativo basato sulla ricerca sui fondamentali. Sulla base dell’analisi e della ricerca da esso intrapresa, che comprenderà le caratteristiche di rischio/rendimento relativo di ogni potenziale investimento, il Consulente per gli Investimenti selezionerà i titoli che ritiene possano fornire al Comparto il valore relativo più appropriato.
Al fine di incrementare i rendimenti e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti
di investimento di cui all’“Appendice A”) utilizzare opzioni, contratti a termine (future) e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini di della gestione efficiente del portafoglio (compresa la copertura).
In aggiunta a quanto precede, il Consulente per gli Investimenti integrerà i criteri ambientali, sociali e di governo societario (“
ESG
”) quando prende decisioni di investimento. Il Consulente per gli Investimenti può utilizzare nella valutazione degli investimenti la vasta ricerca ESG di proprietà generata dalla sua collegata Calvert. Research and Management, nonché la propria ricercar ESG. Dato che gli investimenti del Comparto si concentrano su strumenti di debito emessi, garantiti o sostenuti in altro modo dal governo degli Stati Uniti o dalle sue agenzie o entità, non si prevede in genere che le considerazioni ESG costituiranno un fattore significativo nelle decisioni di investimento del Comparto. Il Consulente per gli Investimenti ritiene che, poiché le questioni di sostenibilità sono fonti di rischio e rendimento nel lungo termine, l’integrazione dei rischi di sostenibilità come sopra indicato possa contribuire a migliorare i rendimenti del Comparto nel lungo termine.
Il Comparto può investire più del 20% delle sue attività totali in titoli garantiti da ipoteche (MBS).
Il Comparto può investire in misura limitata in quote/azioni di altri organismi di investimento collettivo, inclusi i Comparti della Società ed ETF aperti, che siano investimenti ammissibili per gli OICVM ai sensi della Legge del 2010.
Il Comparto può anche investire, in via accessoria, in Titoli a Reddito Fisso non conformi ai criteri per gli investimenti principali del Comparto, warrant su titoli, Attività Equivalenti alla Liquidità e altri titoli collegati alle azioni.
Il Comparto è gestito attivamente e non è concepito per seguire un benchmark. Pertanto, la gestione del Comparto non è vincolata alla composizione di un benchmark. La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Gli investimenti sottostanti il Comparto non tengono conto dei criteri dell’UE per le attività ecosostenibili.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento dello Short Duration US Government Income Fund, questo comparto può essere adatto a investitori che:
- Intendono investire in Titoli a Reddito Fisso.
- Ricercano un apprezzamento del capitale nel lungo termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

SHORT MATURITY EURO BOND FUND
L’obiettivo di investimento dello Short Maturity Euro Bond Fund è di offrire un interessante tasso di rendimento relativo, denominato in Euro.
Il Comparto investirà principalmente in emissioni di Titoli a Reddito Fisso denominati in Euro emessi da società, governi o emittenti garantiti da governi. Al fine di incrementare il rendimento e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) utilizzare opzioni, contratti a termine (future) e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini di investimento e della gestione efficiente del portafoglio (compresa la copertura).
Per ridurre la volatilità, il Comparto investirà principalmente in singoli titoli aventi una data di scadenza massima di cinque anni.
Il Comparto non investirà in titoli che, alla data dell’acquisto, siano classificati con un rating inferiore a B- (ovvero a BBB- nel caso di titoli obbligazionari cartolarizzati, ivi inclusi titoli garantiti da ipoteche) da parte della Standard & Poor’s Corporation (“S&P”), ovvero a una classificazione equivalente da parte di un’altra agenzia di rating ovvero a una classificazione interna analoga da parte del Consulente per gli Investimenti. Nel caso in cui qualsiasi titolo detenuto dal Comparto venga successivamente declassato a un rating inferiore a B- (ovvero a BBB- nel caso di titoli obbligazionari cartolarizzati, ivi inclusi i titoli garantiti da ipoteche), il Consulente per gli Investimenti può mantenere un’esposizione complessiva massima del 3% del Valore Patrimoniale Netto del Comparto in tali titoli declassati ma disinvestirà ogni titolo il cui rating non sia stato rialzato ad almeno B- entro sei mesi dall’abbassamento del rating.
Il Consulente per gli Investimenti applica dei metodi di classificazione e dei coefficienti di propria concezione che sono specifici per i Titoli a Reddito Fisso in cui il Comparto può investire e si concentrano su emittenti societari, sovrani e veicoli di cartolarizzazioni. Inoltre, come parte del proprio processo di ricerca di tipo bottom-up basata sui fondamentali, e nelle verifiche con gli emittenti, il Consulente per gli Investimenti incorpora una valutazione dei rischi e delle opportunità legati alla sostenibilità nel processo di valutazione per determinare gli impatti sui fondamentali del credito, le implicazioni per la valutazione e gli spread, e qualsiasi aspetto sostanziale che possa influenzare le tecniche di negoziazione
dei Titoli a Reddito Fisso. Questi criteri possono ricomprendere, a titolo non esaustivo, delle tematiche ESG come la decarbonizzazione e il rischio climatico, l’economia circolare e la riduzione dei rifiuti, l’inclusività e il rispetto delle diversità nelle attività, il lavoro dignitoso e la solidità dell’occupazione. Il Consulente per gli Investimenti monitorerà i principali indicatori di sostenibilità, comprese le valutazioni ambientali, sociali e di governance fornite da terzi, e l’impronta di carbonio (misurata come intensità di carbonio, definita come tonnellate di CO2 per 1 milione di dollari di entrate per la parte del Comparto investita in obbligazioni emesse da società) al fine di misurare e valutare il contributo dei Titoli a Reddito Fisso alle tematiche ESG sopra descritte. Gli indicatori saranno misurati e valutati almeno su base annuale.
Il Consulente per gli Investimenti utilizza anche un quadro di valutazione di propria concezione per le obbligazioni definite come sostenibili, attraverso il quale vengono valutati la solidità, l’impatto e la trasparenza di tali strumenti.
Il Consulente per gli Investimenti promuove la transizione verso basse emissioni di carbonio escludendo gli emittenti corporate che hanno la produzione di carbone termico tra le attività principali, e promuove la vita umana escludendo i prodotti che sono dannosi per la salute e il benessere, in particolare il tabacco, le armi controverse e la produzione delle armi da fuoco civili. Di conseguenza, gli investimenti non potranno ricomprendere consapevolmente qualsiasi società la cui attività commerciale riguardi i seguenti settori:
- fabbricazione o produzione di armi controverse;
- fabbricazione o produzione di armi da fuoco civili; e
- fabbricazione o produzione di tabacco.

Per quanto riguarda specificatamente le attività legate ai combustibili fossili, il Consulente per gli Investimenti può confrontarsi con gli amministratori delle società sui temi della decarbonizzazione e del rischio climatico, nonché sulle pratiche di governance societaria e su quelle che ritiene essere altre questioni ambientali e/o sociali di notevole importanza per una società. Gli investimenti non potranno ricomprendere consapevolmente qualsiasi società la cui attività commerciale comporta l’estrazione di carbone termico, qualora la stessa società ottenga più del 5% dei propri ricavi da questa attività commerciale.
Come eccezione a quanto precede, il Comparto può investire in obbligazioni definite come sostenibili, o in altri titoli di debito emessi per raccogliere capitali specificamente per progetti ambientali o legati al clima, emessi da entità che sarebbero altrimenti soggette alla suddetta esclusione dei combustibili fossili, nella misura in cui sia stato indicato che gli obiettivi di tali strumenti sono coerenti con una riduzione delle emissioni di carbonio dell’emittente. Gli
investimenti in tali strumenti saranno soggetti a verifiche da parte del Consulente per gli Investimenti. Il Comparto può investire in emittenti che potrebbero non contribuire essi stessi alle specifiche caratteristiche ambientali o sociali promosse dal prodotto finanziario, come strumenti di copertura, investimenti non verificati ai fini della diversificazione, o investimenti per i quali mancano dati.
Oltre alle esclusioni settoriali di cui sopra, il Consulente per gli Investimenti verifica costantemente le pratiche commerciali attraverso i dati sulle controversie ESG ed il controllo degli standard provenienti da fornitori terzi. Il Consulente per gli Investimenti prenderà in considerazione i casi di controversia che considera molto gravi in base alle valutazioni dei competenti fornitori di dati ESG, nonché le violazioni del Global Compact delle Nazioni Unite o dei principi fondamentali dell’Ufficio Internazionale del Lavoro, anche se tali eventi non comporteranno automaticamente l’esclusione dal portafoglio.
In aggiunta a quanto precede, il Consulente per gli Investimenti può, a propria discrezione, scegliere di applicare nel tempo ulteriori restrizioni agli investimenti legati all’ESG che ritiene coerenti con i suoi obiettivi di investimento. Tali ulteriori restrizioni saranno rese note ogni volta che vengano attuate su www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im.
Gli investimenti detenuti dal Comparto che a seguito dell’applicazione dei criteri ESG diventino non ammissibili dopo essere stati acquisiti per il Comparto saranno venduti. Tali vendite saranno disposte con tempistiche determinate dal Consulente per gli Investimenti, tenendo conto in primo luogo degli interessi degli Azionisti del Comparto. Il Consulente per gli Investimenti utilizza dati di terzi e in alcuni casi i dati su emittenti specifici, delle tematiche ESG o le esclusioni di cui sopra potrebbero non essere disponibili e/o essere stimati dal Consulente per gli Investimenti utilizzando metodologie interne o stime ragionevoli. Anche le metodologie utilizzate dai diversi fornitori di dati possono variare e portare a punteggi diversi.
Il Comparto non può investire più del 20% delle sue attività in Strumenti Convertibili Speciali.
Il Comparto può investire in misura limitata in quote/azioni di altri organismi di investimento collettivo, inclusi i Comparti della Società ed ETF aperti, nella misura in cui un ETF sia un investimento ammissibile per gli OICVM.
Il Comparto è gestito attivamente e non è concepito per seguire un benchmark. La performance del Comparto è misurata rispetto a un
benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento dello Short Maturity Euro Bond Fund, questo comparto può essere adatto ad investitori che:
- Intendono investire in Titoli a Reddito Fisso.
- Ricercano un apprezzamento del capitale a breve termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

SHORT MATURITY EURO CORPORATE BOND FUND
L’obiettivo di investimento dello Short Maturity Euro Corporate Bond Fund è di offrire un interessante tasso di rendimento relativo, denominato in Euro.
Al fine di ridurre la volatilità, il Comparto investirà principalmente in Titoli a Reddito Fisso denominati in Euro, emessi da società (“Obbligazioni societarie”) con date di scadenza o data di rimborso anticipato (call date) (a seconda di quale cada per prima) aventi una durata massima non trascorsa di tre (3) anni.
Il Comparto non investirà in titoli che, alla data dell’acquisto, siano classificati con un rating inferiore a B- (ovvero a BBB- nel caso di titoli obbligazionari cartolarizzati, ivi inclusi titoli garantiti da ipoteche) da parte della Standard & Poor’s Corporation (“S&P”), ovvero a una classificazione equivalente da parte di un’altra agenzia di rating ovvero a una classificazione interna analoga da parte del Consulente per gli Investimenti. Nel caso in cui qualsiasi titolo detenuto dal Comparto venga successivamente declassato a un rating inferiore a B- (ovvero a BBB- nel caso di titoli obbligazionari cartolarizzati, ivi inclusi i titoli garantiti da ipoteche), il Consulente per gli Investimenti può mantenere un’esposizione complessiva massima del 3% del Valore Patrimoniale Netto del Comparto in tali titoli declassati ma disinvestirà ogni titolo il cui rating non sia
stato rialzato ad almeno B- entro sei mesi dall’abbassamento del rating.
Il Consulente per gli Investimenti applica dei metodi di classificazione e dei coefficienti di propria concezione che sono specifici per i Titoli a Reddito Fisso in cui il Comparto può investire e si concentrano su emittenti societari, sovrani e veicoli di cartolarizzazioni. Inoltre, come parte del proprio processo di ricerca di tipo bottom-up basata sui fondamentali, e nelle verifiche con gli emittenti, il Consulente per gli Investimenti incorpora una valutazione dei rischi e delle opportunità legati alla sostenibilità nel processo di valutazione per determinare gli impatti sui fondamentali del credito, le implicazioni per la valutazione e gli spread, e qualsiasi aspetto sostanziale che possa influenzare le tecniche di negoziazione dei Titoli a Reddito Fisso. Questi criteri possono ricomprendere, a titolo non esaustivo, delle tematiche ESG come la decarbonizzazione e il rischio climatico, l’economia circolare e la riduzione dei rifiuti, l’inclusività e il rispetto delle diversità nelle attività, il lavoro dignitoso e la solidità dell’occupazione. Il Consulente per gli Investimenti monitorerà i principali indicatori di sostenibilità, comprese le valutazioni ambientali, sociali e di governance fornite da terzi, al fine di misurare e valutare il contributo dei Titoli a Reddito Fisso alle tematiche ESG sopra descritte. Gli indicatori saranno misurati e valutati almeno su base annuale.
Il Consulente per gli Investimenti utilizza anche un quadro di valutazione di propria concezione per le obbligazioni sostenibili, attraverso il quale vengono valutati la solidità, l’impatto e la trasparenza di tali strumenti.
Il Consulente per gli Investimenti promuove la transizione verso basse emissioni di carbonio escludendo gli emittenti corporate che hanno la produzione di carbone termico tra le attività principali, e promuove la vita umana escludendo i prodotti che sono dannosi per la salute e il benessere, in particolare il tabacco, le armi controverse e la produzione delle armi da fuoco civili. Di conseguenza, gli investimenti non potranno ricomprendere consapevolmente qualsiasi società la cui attività commerciale riguardi i seguenti settori:
- fabbricazione o produzione di armi controverse;
- fabbricazione o produzione di armi da fuoco civili; e
- fabbricazione o produzione di tabacco.

Per quanto riguarda specificatamente le attività legate ai combustibili fossili, il Consulente per gli Investimenti può confrontarsi con gli amministratori delle società sui temi della decarbonizzazione e del rischio climatico, nonché sulle pratiche di governance societaria e su quelle che ritiene essere altre questioni ambientali e/o sociali di notevole importanza per una società. Gli investimenti non potranno ricomprendere consapevolmente qualsiasi società la cui attività
commerciale comporta l’estrazione di carbone termico, qualora la stessa società ottenga più del 5% dei propri ricavi da questa attività commerciale.
Come eccezione a quanto precede, il Comparto può investire in obbligazioni sostenibili, o in altri titoli di debito emessi per raccogliere capitali specificamente per progetti ambientali o legati al clima, emessi da entità che sarebbero altrimenti soggette alla suddetta esclusione dei combustibili fossili, nella misura in cui sia stato indicato che gli obiettivi di tali strumenti sono coerenti con una riduzione delle emissioni di carbonio dell’emittente. Gli investimenti in tali strumenti saranno soggetti a verifiche da parte del Consulente per gli Investimenti. Il Comparto può investire in emittenti che potrebbero non contribuire essi stessi alle specifiche caratteristiche ambientali o sociali promosse dal prodotto finanziario, come strumenti di copertura, investimenti non verificati ai fini della diversificazione, o investimenti per i quali mancano dati.
Oltre alle esclusioni settoriali di cui sopra, il Consulente per gli Investimenti verifica costantemente le pratiche commerciali attraverso i dati sulle controversie ESG ed il controllo degli standard provenienti da fornitori terzi. Il Consulente per gli Investimenti prenderà in considerazione i casi di controversia che considera molto gravi in base alle valutazioni dei competenti fornitori di dati ESG, nonché le violazioni del Global Compact delle Nazioni Unite o dei principi fondamentali dell’Ufficio Internazionale del Lavoro, anche se tali eventi non comporteranno automaticamente l’esclusione dal portafoglio.
In aggiunta a quanto precede, il Consulente per gli Investimenti può, a propria discrezione, scegliere di applicare nel tempo ulteriori restrizioni agli investimenti legati all’ESG che ritiene coerenti con i suoi obiettivi di investimento. Tali ulteriori restrizioni saranno rese note ogni volta che vengano attuate su www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im. Gli investimenti detenuti dal Comparto che a seguito dell’applicazione dei criteri ESG diventino non ammissibili dopo essere stati acquisiti per il Comparto saranno venduti. Tali vendite saranno disposte con tempistiche determinate dal Consulente per gli Investimenti, tenendo conto in primo luogo degli interessi degli Azionisti del Comparto. Il Consulente per gli Investimenti utilizza dati di terzi e in alcuni casi i dati su emittenti specifici, delle tematiche ESG o le esclusioni di cui sopra potrebbero non essere disponibili e/o essere stimati dal Consulente per gli Investimenti utilizzando metodologie interne o stime ragionevoli. Anche le metodologie utilizzate dai diversi fornitori di dati possono variare e portare a punteggi diversi.
Il Comparto potrà anche investire, in via accessoria, in Titoli a Reddito Fisso non conformi ai criteri per gli investimenti principali del Comparto.
Al fine di incrementare il rendimento e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’Appendice A) utilizzare opzioni, contratti a termine (future) e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini di investimento e della gestione efficiente del portafoglio (compresa la copertura).
Il Comparto non può investire più del 20% delle sue attività in Strumenti Convertibili Speciali.
Il Comparto può investire in Titoli a Reddito Fisso acquisiti sul Mercato Interbancario delle Obbligazioni cinese (China Interbank Bond Market). Non più del 10% dell’attivo del Comparto può essere investito in tali strumenti.
Il Comparto non può investire più di un totale del 20% delle sue attività in titoli obbligazionari cartolarizzati (ABS) e/o in titoli garantiti da ipoteche (MBS).
Il Comparto può investire in misura limitata in quote/azioni di altri organismi di investimento collettivo, inclusi i Comparti della Società ed ETF aperti, nella misura in cui un ETF sia un investimento ammissibile per gli OICVM.
Gli investimenti del Comparto possono comportare un’esposizione ai mercati emergenti e ai titoli a più alto rendimento.
Il Comparto è gestito attivamente la composizione dei suoi investimenti non è vincolata rispetto ad alcun benchmark. Pertanto, la gestione del Comparto non è vincolata dalla composizione di un benchmark. La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento dello Short Maturity Euro Corporate Bond Fund, questo comparto può essere adatto ad investitori che:
- Intendono investire in Titoli a Reddito Fisso.
- Ricercano un apprezzamento del capitale a breve termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

SUSTAINABLE EURO CORPORATE BOND FUND
L’obiettivo di investimento del Sustainable Euro Corporate Bond Fund è di offrire un interessante tasso di rendimento relativo, denominato in Euro, integrando nel contempo le caratteristiche ESG attraverso l’esclusione di settori ed emittenti con bassi punteggi complessivi di sostenibilità e mantenendo un’impronta di carbonio inferiore rispetto alla componente di obbligazioni societarie del Bloomberg European Corporate Index (vedi sotto), tenendo conto degli obiettivi di riscaldamento globale a lungo termine dell’Accordo di Parigi, come descritto più avanti.
Il Comparto investirà principalmente in Titoli a Reddito Fisso denominati in Euro emessi da società e altri emittenti similari, diversi da quelli sovrani (“Obbligazioni Societarie”).
In relazione a questo Comparto, “Sostenibile” significa che il Consulente per gli Investimenti considera le tematiche della sostenibilità e quelle ESG nel processo decisionale relativo agli investimenti su base discrezionale, secondo quanto spiegato in dettaglio più sotto. Inoltre, il Consulente per gli Investimenti può includere la valutazione dei contributi positivi e negativi agli Obiettivi di Sviluppo Sostenibile delle Nazioni Unite (UN Sustainable Development Goals) e può impegnare l’attenzione degli amministratori delle imprese sulle pratiche di governance societaria, nonché per quelle che il Consulente per gli Investimenti reputi essere delle questioni ambientali e/o sociali di notevole importanza con le quali l’impresa stessa deve confrontarsi.
Il Consulente per gli Investimenti applica dei metodi di classificazione e dei coefficienti di propria concezione che sono specifici per i Titoli a Reddito Fisso in cui il Comparto può investire e si concentrano su emittenti societari, sovrani e veicoli di cartolarizzazioni. Inoltre, come parte del proprio processo di ricerca di tipo bottom-up basata sui fondamentali, e nelle verifiche con gli emittenti, il Consulente per gli Investimenti incorpora una valutazione dei rischi e delle opportunità legati alla sostenibilità nel processo di valutazione per determinare gli impatti sui fondamentali
del credito, le implicazioni per la valutazione e gli spread, e qualsiasi aspetto sostanziale che possa influenzare le tecniche di negoziazione dei Titoli a Reddito Fisso. Questi criteri possono ricomprendere, a titolo non esaustivo, delle tematiche ESG come la decarbonizzazione e il rischio climatico, l’economia circolare e la riduzione dei rifiuti, l’inclusività e il rispetto delle diversità nelle attività, il lavoro dignitoso e la solidità dell’occupazione. Il Consulente per gli Investimenti monitorerà i principali indicatori di sostenibilità, comprese le valutazioni ambientali, sociali e di governance fornite da terzi, e l’impronta di carbonio (misurata come intensità di carbonio, definita come tonnellate di CO2 per 1 milione di dollari di entrate per la parte del Comparto investita in obbligazioni emesse da società) al fine di misurare e valutare il contributo dei Titoli a Reddito Fisso alle tematiche ESG sopra descritte. Gli indicatori saranno misurati e valutati almeno su base annuale.
Gli investimenti non ricomprenderanno consapevolmente alcuna società la cui attività comprenda quanto segue:
- fabbricazione o produzione di:
	- armi controverse;
	- armi da fuoco per uso civile; e
	- tabacco, o quando la società ottiene più del 10% dei proventi dalla distribuzione di tabacco o dalla sua vendita al dettaglio; e
	- gioco d’azzardo, quando la società ottiene più del 10% dei proventi da tale attività.


Con specifico riferimento alle attività nei combustibili fossili, gli investimenti non ricomprenderanno consapevolmente alcuna società la cui attività comprenda quanto segue:
- estrazione di carbone;
- produzione di elettricità da carbone, qualora la società ottenga più del 10% dei ricavi da tale attività;
- estrazione o produzione di petrolio da sabbie bituminose, qualora qualora la società ottenga più del 5% dei ricavi da tale attività; e
- estrazione o produzione di petrolio o gas dalla regione artica, qualora la società ottenga più del 5% dei ricavi da tale attività.

Come eccezione a quanto precede, il Comparto può investire in obbligazioni definite come Obbligazioni Sostenibili (vedi sotto), o in altri titoli di debito emessi per raccogliere capitali specificamente per progetti ambientali o legati al clima, emessi da soggetti che sarebbero altrimenti soggetti alla suddetta esclusione dei combustibili fossili, nella misura in cui il Consulente per gli Investimento abbia determinato che gli obiettivi di tali strumenti
sono coerenti con una riduzione delle emissioni di carbonio dell’emittente. Gli investimenti in tali strumenti saranno soggetti a verifiche da parte del Consulente per gli Investimenti.
Oltre alle esclusioni settoriali di cui sopra, il Consulente per gli Investimenti verifica costantemente le pratiche commerciali attraverso i dati sulle controversie ESG ed i controlli standard su dati provenienti da fornitori terzi.
Il Comparto non investirà in titoli di emittenti coinvolti in controversie che il Consulente per gli Investimenti considera molto gravi, comprese quelle relative alle Guidelines dell’OCSE sulle imprese multinazionali (OECD Guidelines for Multinational Enterprises), in base alle valutazioni dei competenti fornitori di dati ESG, nel caso in cui il Consulente per gli Investimenti ritenga che non siano state messe in atto appropriate misure di rimedio. Il Comparto non investirà inoltre in titoli di emittenti che non si conformano ai principi fondamentali del Global Compact delle Nazioni Unite o dell’Ufficio Internazionale del Lavoro, e quando il Consulente per gli Investimenti ritenga che non siano state messe in atto appropriate misure di rimedio.
Il Consulente per gli Investimenti potrà a propria discrezione decidere di applicare nel tempo ulteriori Restrizioni agli investimenti legate a tematiche ESG che ritenga essere coerenti con i suoi obiettivi di investimento. Ove implementate, verrà data notizia di tali ulteriori limitazioni nei siti www.morganstanleyinvestmentfunds.com e www.morganstanley.com/im.
Il Comparto investirà esclusivamente nell’80% degli emittenti “corporate” con rating ESG che hannp il punteggio ESG più alto all’interno di ciascun sottogruppo del Bloomberg European Corporate Index. I punteggi ESG sono assegnati dal Consulente per gli Investimenti utilizzando dati ESG forniti da terzi, avendo riguardo a tematiche ESG come Decarbonizzazione e rischio climatico, Economia circolare e riduzione dei rifiuti, Attività di impresa inclusiva e che tiene conto delle diversità e Lavoro dignitoso e solidità dell’occupazione. I suddetti criteri ESG dovrebbero comportare una riduzione di almeno il 20% dell’universo investibile delle obbligazioni corporate, e il Consulente per gli Investimenti farà del suo meglio per garantire che almeno il 90% delle obbligazioni corporate in portafoglio sia valutato attraverso la sua metodologia di punteggio ESG. Il processo e la metodologia di verifica positivi sono disponbili nei seguenti siti: www.morganstanleyinvestmentfunds.com e www.morganstanley.com/im.
Gli investimenti detenuti dal Comparto che a seguito dell’applicazione dei criteri ESG diventino successivamente non ammissibili dopo essere stati acquisiti per il Comparto saranno
venduti. Tali vendite saranno disposte con tempistiche determinate dal Consulente per gli Investimenti, tenendo conto in primo luogo degli interessi degli Azionisti del Comparto.
Per la parte del Comparto investita in obbligazioni emesse da società, il Comparto manterrà un’impronta di carbonio inferiore alla componente di obbligazioni societarie del Bloomberg European Corporate Index, tenendo conto degli obiettivi di riscaldamento globale a lungo termine dell’Accordo di Parigi. L’impronta di carbonio è misurata come media ponderata dell’Intensità di Carbonio, definita come tonnellate di CO2 per 1 milione di dollari di entrate. Le Obbligazioni Sostenibili con obiettivi legati al clima possono essere ritenute avere un’impronta di carbonio diversa rispetto a quella dei loro emittenti. In questi casi, il Consulente per gli Investimenti renderà nota la propria metodologia per determinare l’impronta di carbonio applicabile di tali strumenti.
Nell’ambito della sua strategia, il Consulente per gli Investimenti può investire una parte del Comparto in Obbligazioni Sostenibili, definite e qualificate come tali quando l’emittente si impegna a finanziare o raggiungere specifici obiettivi ambientali e/o sociali, compresi, a titolo non esaustivo, i seguenti tipi, basati sulle principali qualificazioni delle obbligazioni emesse finora, comprese quelle riconosciute dall’International Capital Market Association (ICMA):
- Obbligazioni Verdi (Green Bonds);
- Obbligazioni Sociali (Social Bonds);
- Obbligazioni per la Sostenibilità (Sustainability Bonds);
- Obbligazioni per la Transizione (Transition Bonds); e
- Obbligazioni legate alla sostenibilità (Sustainability-linked Bonds).

Il Consulente per gli Investimenti utilizza anche un quadro di valutazione di propria concezione per le obbligazioni definite come sostenibili, attraverso il quale vengono valutati la solidità, l’impatto e la trasparenza di tali strumenti.
Come indicato in precedenza, il Consulente per gli Investimenti utilizza dati e punteggi ESG di terzi e in alcuni casi i dati su emittenti specifici, le tematiche ESG o le esclusioni di cui sopra potrebbero non essere disponibili e/o essere stimati dal Consulente per gli Investimenti utilizzando metodologie interne o stime ragionevoli. Anche le metodologie utilizzate dai diversi fornitori di dati possono variare e portare a punteggi diversi.
Al fine di incrementare il rendimento e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) utilizzare strumenti derivati come future su indici, contratti sui differenziali (“Contract
for differences” – CFD), swap di rendimento totale (TRS), obbligazioni strutturate (comprese quelle di partecipazione), obbligazioni convertibili, azioni privilegiate convertibili, opzioni, opzioni su valute, contratti a termine su valute e contratti a termine e altri derivati, ai fini di investimento e della gestione efficiente del portafoglio (compresa la copertura).
Il Comparto non investirà in titoli che, alla data dell’acquisto, siano classificati con un rating inferiore a B- (ovvero a BBB- nel caso di titoli obbligazionari cartolarizzati, ivi inclusi titoli garantiti da ipoteche) da parte della Standard & Poor’s Corporation (“S&P”), ovvero a una classificazione equivalente da parte di un’altra agenzia di rating ovvero a una classificazione interna analoga da parte del Consulente per gli Investimenti. Nel caso in cui qualsiasi titolo detenuto dal Comparto venga successivamente declassato a un rating inferiore a B- (ovvero a BBB- nel caso di titoli obbligazionari cartolarizzati, ivi inclusi i titoli garantiti da ipoteche), il Consulente per gli Investimenti può mantenere un’esposizione complessiva massima del 3% del Valore Patrimoniale Netto del Comparto in tali titoli declassati ma disinvestirà ogni titolo il cui rating non sia stato rialzato ad almeno B- entro sei mesi dall’abbassamento del rating.
Il Comparto può investire, in via accessoria, in:
- Titoli a Reddito Fisso non denominati in Euro. In conformità all’“Appendice A” del Prospetto – “Poteri e limiti di investimento” l’esposizione in valute diverse dall’Euro potrà essere coperta riconducendola all’Euro.
- Titoli a Reddito Fisso che non siano Obbligazioni Societarie.

Il Comparto può investire in misura non superiore al 20% delle sue attività in titoli obbligazionari cartolarizzati.
Il Comparto non può investire più del 20% delle sue attività in Strumenti Convertibili Speciali.
Il Comparto può investire in Titoli a Reddito Fisso acquisiti sul Mercato Interbancario delle Obbligazioni cinese (China Interbank Bond Market). Non più del 10% dell’attivo del Comparto può essere investito in tali strumenti.
Il Comparto può investire in misura limitata in quote/azioni di altri organismi di investimento collettivo, inclusi i Comparti della Società ed ETF aperti, nella misura in cui un ETF sia un investimento ammissibile per gli OICVM.
Il Comparto è gestito attivamente e i riferimenti al Bloomberg European Corporate Index hanno lo scopo di definire l’universo di investimento. Il Consulente per gli Investimenti ha piena discrezionalità in merito alla composizione delle attività del
Comparto. Sebbene in generale il Comparto deterrà dei titoli ricompresi nel Bloomberg European Corporate Index, esso potrà anche investire in titoli con proporzioni diverse rispetto al Bloomberg European Corporate Index, e potrà anche detenere titolinon ricompresi nel Bloomberg European Corporate Index. Pertanto, non vi sono limiti all’entità della deviazione della performance del Comparto rispetto a quella del Bloomberg European Corporate Index.
Inoltre, la performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto. Nel contesto della integrazione ESG del Comparto, il Consulente per gli Investimenti utilizza la componente di obbligazioni societarie del Bloomberg European Corporate Indexcome raffronto per l’impronta di carbonio del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento del Sustainable Euro Corporate Bond Fund, questo comparto può essere adatto ad investitori che:
- Intendono investire in Titoli a Reddito Fisso.
- Ricercano un apprezzamento del capitale a medio termine.
- Ricercano un reddito sotto forma di apprezzamento di capitale o di distribuzioni dei proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”SUSTAINABLE EURO STRATEGIC BOND FUNDL’obiettivo di investimento del Sustainable Euro Strategic Bond Fund è di offrire un interessante tasso di rendimento relativo, denominato in Euro, investendo in titoli che rispettano i parametri ESG del Consulente per gli Investimenti per i Titoli a Reddito Fisso integrando nel contempo le caratteristiche ESG attraverso l’esclusione di settori ed emittenti con bassi punteggi complessivi di sostenibilità e mantenendo un’impronta di carbonio inferiore rispetto alla componente di obbligazioni societarie del Bloomberg Euro Aggregate Index (vedi sotto), tenendo conto degli obiettivi diriscaldamento globale a lungo termine dell’Accordo di Parigi, come descritto più avanti.

Il Comparto investirà principalmente in emissioni di Titoli a Reddito Fisso denominati in Euro, emessi da società, Stati o emittenti con garanzia dello Stato e, nei limiti delle leggi applicabili, non più del 20% del suo patrimonio in titoli obbligazionari cartolarizzati nella misura in cui tali strumenti siano cartolarizzati.
In relazione a questo Comparto, “Sostenibile” significa che il Consulente per gli Investimenti considera le tematiche della sostenibilità e quelle ESG nel processo decisionale relativo agli investimenti su base discrezionale, secondo quanto spiegato in dettaglio più sotto. Inoltre, il Consulente per gli Investimenti può includere la valutazione dei contributi positivi e negativi agli Obiettivi di Sviluppo Sostenibile delle Nazioni Unite (UN Sustainable Development Goals) e può impegnare l’attenzione degli amministratori delle imprese per le pratiche di governance societaria, nonché per quelle che il Consulente per gli Investimenti reputi essere delle questioni ambientali e/o sociali di notevole importanza con le quali l’impresa stessa deve confrontarsi.
Il Consulente per gli Investimenti applica dei metodi di classificazione e dei coefficienti di propria concezione che sono specifici per i Titoli a Reddito Fisso in cui il Comparto può investire e si concentrano su emittenti societari, sovrani e veicoli di cartolarizzazioni. Inoltre, come parte del proprio processo di ricerca di tipo bottom-up basata sui fondamentali, e nelle verifiche con gli emittenti, il Consulente per gli Investimenti incorpora una valutazione dei rischi e delle opportunità legati alla sostenibilità nel processo di valutazione per determinare gli impatti sui fondamentali del credito, le implicazioni per la valutazione e gli spread, e qualsiasi aspetto sostanziale che possa influenzare le tecniche di negoziazione dei Titoli a Reddito Fisso. Questi criteri possono ricomprendere, a titolo non esaustivo, delle tematiche ESG come la decarbonizzazione e il rischio climatico, l’economia circolare e la riduzione dei rifiuti, l’inclusività e il rispetto delle diversità nelle attività, il lavoro dignitoso e la solidità dell’occupazione. Il Consulente per gli Investimenti monitorerà i principali indicatori di sostenibilità, comprese le valutazioni ambientali, sociali e di governance fornite da terzi, e l’impronta di carbonio (misurata come intensità di carbonio, definita come tonnellate di CO2 per 1 milione di dollari di entrate per la parte del Comparto investita in obbligazioni emesse da società) al fine di misurare e valutare il contributo dei Titoli a Reddito Fisso alle tematiche ESG sopra descritte. Gli indicatori saranno misurati e valutati almeno su base annuale.
Gli investimenti non ricomprenderanno consapevolmente alcuna società la cui attività comprenda quanto segue:
- fabbricazione o produzione di:
- armi controverse;
- armi da fuoco per uso civile;
- tabacco, o quando la società ottiene più del 10% dei proventi dalla distribuzione di tabacco o dalla sua vendita al dettaglio; e
- gioco d’azzardo, quando la società ottiene più del 10% dei proventi da tale attività.

Con specifico riferimento alle attività nei combustibili fossili, gli investimenti non ricomprenderanno consapevolmente alcuna società la cui attività comprenda quanto segue:
- estrazione di carbone;
- produzione di elettricità da carbone, qualora la società ottenga più del 10% dei ricavi da tale attività;
- estrazione o produzione di petrolio da sabbie bituminose, qualora qualora la società ottenga più del 5% dei ricavi da tale attività; e
- estrazione o produzione di petrolio o gas dalla regione artica, qualora la società ottenga più del 5% dei ricavi da tale attività.

Come eccezione a quanto precede, il Comparto può investire in obbligazioni definite come Obbligazioni Sostenibili (vedi sotto), o in altri titoli di debito emessi per raccogliere capitali specificamente per progetti ambientali o legati al clima, emessi da soggetti che sarebbero altrimenti soggetti alla suddetta esclusione dei combustibili fossili, nella misura in cui il Consulente per gli Investimenti abbia determinato che gli obiettivi di tali strumenti sono coerenti con una riduzione delle emissioni di carbonio dell’emittente. Gli investimenti in tali strumenti saranno soggetti a verifiche da parte del Consulente per gli Investimenti.
Oltre alle esclusioni settoriali di cui sopra, il Consulente per gli Investimenti verifica costantemente le pratiche commerciali attraverso i dati sulle controversie ESG ed i controlli standard su dati provenienti da fornitori terzi.
Il Comparto non investirà in titoli di emittenti coinvolti in controversie che il Consulente per gli Investimenti considera molto gravi, comprese quelle relative alle Guidelines dell’OCSE sulle imprese multinazionali (OECD Guidelines for Multinational Enterprises), in base alle valutazioni dei competenti fornitori di dati ESG, nel caso in cui il Consulente per gli Investimenti ritenga che non siano state messe in atto appropriate misure di rimedio. Il Comparto non investirà inoltre in titoli di emittenti che non si conformano ai principi fondamentali del Global Compact delle Nazioni Unite o dell’Ufficio Internazionale del Lavoro, e quando il
Consulente per gli Investimenti ritenga che non siano state messe in atto appropriate misure di rimedio.
Il Consulente per gli Investimenti potrà a propria discrezione decidere di applicare nel tempo ulteriori Restrizioni agli investimenti legate a tematiche ESG che ritenga essere coerenti con i suoi obiettivi di investimento. Ove implementate, verrà data notizia di tali ulteriori limitazioni nei siti www.morganstanleyinvestmentfunds.com e www.morganstanley.com/im.
Per gli investimenti in Titoli a Reddito Fisso emessi da società con rating ESG, il Comparto investirà esclusivamente nell’80% degli emittenti “corporate” con il punteggio ESG più alto all’interno di ciascun sottogruppo del Bloomberg Euro Aggregate Index. I punteggi ESG sono assegnati dal Consulente per gli Investimenti utilizzando dati ESG forniti da terzi, avendo riguardo a tematiche ESG come Decarbonizzazione e rischio climatico, Economia circolare e riduzione dei rifiuti, Attività di impresa inclusiva e che tiene conto delle diversità e Lavoro dignitoso e solidità dell’occupazione. Per gli investimenti del Comparto in Titoli a Reddito Fisso emessi da soggetti sovrani, il Comparto investirà solo in soggetti sovrani che rientrano nel migliore 80% dei soggetti sovrani con punteggio ESG che sono stati valutati, a meno che il Consulente per gli Investimenti ritenga che un soggetto sovrano nel 20% più basso in termini di punteggio ESG stia dimostrando una tendenza positiva alla sostenibilità e/o emetta un’Obbligazione Sostenibile (vedi sotto). Il Comparto non investirà in obbligazioni di emittenti sovrani a cui non sia stato assegnato un punteggio. I suddetti criteri ESG dovrebbero comportare una riduzione di almeno il 20% dell’universo investibile delle obbligazioni corporate, e il Consulente per gli Investimenti farà del suo meglio per garantire che almeno il 90% delle obbligazioni corporate in portafoglio sia valutato attraverso la sua metodologia di punteggio ESG. Il processo e la metodologia di verifica positivi sono disponbili nei seguenti siti: www.morganstanleyinvestmentfunds.com e www.morganstanley.com/im.
Gli investimenti detenuti dal Comparto che a seguito dell’applicazione dei criteri ESG diventino successivamente non ammissibili dopo essere stati acquisiti per il Comparto saranno venduti. Tali vendite saranno disposte con tempistiche determinate dal Consulente per gli Investimenti, tenendo conto in primo luogo degli interessi degli Azionisti del Comparto.
Per la parte del Comparto investita in obbligazioni emesse da società, il Comparto manterrà un’impronta di carbonio inferiore alla componente di obbligazioni societarie del Bloomberg Euro Aggregate Index, tenendo conto degli obiettivi di riscaldamento globale a lungo termine dell’Accordo di Parigi. L’impronta di carbonio è misurata come media ponderata dell’Intensità di
Carbonio, definita come tonnellate di CO2 per 1 milione di dollari di entrate. Le Obbligazioni Sostenibili con obiettivi legati al clima possono essere ritenute avere un’impronta di carbonio diversa rispetto a quella dei loro emittenti. In questi casi, il Consulente per gli Investimenti renderà nota la propria metodologia per determinare l’impronta di carbonio applicabile di tali strumenti.
Nell’ambito della sua strategia, il Consulente per gli Investimenti può investire una parte del Comparto in Obbligazioni Sostenibili, definite e qualificate come tali quando l’emittente si impegna a finanziare o raggiungere specifici obiettivi ambientali e/o sociali, compresi, a titolo non esaustivo, i seguenti tipi, basati sulle principali qualificazioni delle obbligazioni emesse finora, comprese quelle riconosciute dall’International Capital Market Association (ICMA):
- Obbligazioni Verdi (Green Bonds);
- Obbligazioni Sociali (Social Bonds);
- Obbligazioni per la Sostenibilità (Sustainability Bonds);
- Obbligazioni per la Transizione (Transition Bonds); e
- Obbligazioni legate alla sostenibilità (Sustainability-linked Bonds).

Il Consulente per gli Investimenti utilizza anche un quadro di valutazione di propria concezione per le obbligazioni definite come sostenibili, attraverso il quale vengono valutati la solidità, l’impatto e la trasparenza di tali strumenti.
Come indicato in precedenza, il Consulente per gli Investimenti utilizza dati e punteggi ESG di terzi e in alcuni casi i dati su emittenti specifici, le tematiche ESG o le esclusioni di cui sopra potrebbero non essere disponibili e/o essere stimati dal Consulente per gli Investimenti utilizzando metodologie interne o stime ragionevoli. Anche le metodologie utilizzate dai diversi fornitori di dati possono variare e portare a punteggi diversi.
Al fine di incrementare il rendimento e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) utilizzare strumenti derivati come future su indici, contratti sui differenziali (“Contract for differences” – CFD), swap di rendimento totale (TRS), obbligazioni strutturate (comprese quelle di partecipazione), obbligazioni convertibili, azioni privilegiate convertibili, opzioni, opzioni su valute, contratti a termine su valute e contratti a termine e altri derivati, ai fini di investimento e della gestione efficiente del portafoglio (compresa la copertura).
Il Comparto potrà anche investire, in via accessoria, in Titoli a Reddito Fisso non denominati in Euro. In conformità all’“Appendice A” del Prospetto – “Poteri e limiti di investimento” l’esposizione in
valute diverse dall’Euro potrà essere coperta riconducendola all’Euro.
Il Comparto non può investire più del 20% delle sue attività in Strumenti Convertibili Speciali.
Il Comparto può investire in Titoli a Reddito Fisso acquisiti sul Mercato Interbancario delle Obbligazioni cinese (China Interbank Bond Market). Non più del 10% dell’attivo del Comparto può essere investito in tali strumenti.
Il Comparto può investire in misura limitata in quote/azioni di altri organismi di investimento collettivo, inclusi i Comparti della Società ed ETF aperti, nella misura in cui un ETF sia un investimento ammissibile per gli OICVM.
Il Comparto è gestito attivamente e i riferimenti al Bloomberg Euro Aggregate Index hanno lo scopo di definire l’universo di investimento. Il Consulente per gli Investimenti ha piena discrezionalità in merito alla composizione delle attività del Comparto. Sebbene in generale il Comparto deterrà dei titoli ricompresi nel Bloomberg Euro Aggregate Index, esso potrà anche investire in titoli con proporzioni diverse rispetto al Bloomberg Euro Aggregate Index, e potrà anche detenere titolinon ricompresi nel Bloomberg Euro Aggregate Index. Pertanto, non vi sono limiti all’entità della deviazione della performance del Comparto rispetto a quella del Bloomberg Euro Aggregate Index.
Inoltre, la performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto. Nel contesto della integrazione ESG del Comparto, il Consulente per gli Investimenti utilizza la componente di obbligazioni societarie del Bloomberg Euro Aggregate Indexcome raffronto per l’impronta di carbonio del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento del Sustainable Euro Strategic Bond Fund, questo comparto può essere adatto ad investitori che:
- Intendono investire in Titoli a Reddito Fisso.
- Ricercano un apprezzamento del capitale a medio termine.
- Ricercano un reddito sotto forma di apprezzamento di capitale o di distribuzioni dei proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”SUSTAINABLE EUROPEAN HIGH YIELD BOND FUNDL’obiettivo d’investimento del Sustainable European High Yield Bond Fund è di generare un reddito corrente e un rendimento totale, integrando nel contempo le caratteristiche ESG, attraverso la selezione di settori ed emittenti con bassi punteggi complessivi di sostenibilità, al fine di conseguire gli obiettivi di riscaldamento globale a lungo termine dell’Accordo di “Parigi adottato nell’ambito della Convenzione quadro delle Nazioni Unite sui cambiamenti climatici (l’“Accordo di Parigi”), come di seguito descritto.

Il Comparto investirà principalmente in un portafoglio diversificato di Titoli a Reddito Fisso di emittenti Situati in Europa e che possono includere obbligazioni senza cedola (zero coupon), obbligazioni a interesse differito e obbligazioni per le quali l’interesse può essere pagato sotto forma di ulteriori obbligazioni dello stesso tipo (obbligazioni Payment-in-Kind (PIK)).
Il Comparto investirà in Titoli a Reddito Fisso con rating Baa3 o inferiore attribuito da Moody’s Investors Service, Inc. (“Moody’s”), BBB- o inferiore secondo Standard & Poor’s Ratings Group (“S&P”), BBB- o inferiore secondo Fitch’s Investors Service, Inc. o un rating equivalente di un’altra agenzia di rating, o un rating interno equivalente assegnato dal Consulente per gli Investimenti alla data dell’investimento.
In relazione a questo Comparto, “Sostenibile” significa che il Consulente per gli Investimenti considera le tematiche della sostenibilità e quelle ESG nel processo decisionale relativo agli investimenti su base discrezionale, secondo quanto spiegato in dettaglio più sotto. Inoltre, il Consulente per gli Investimenti può includere la valutazione dei contributi positivi e negativi agli Obiettivi di Sviluppo Sostenibile delle Nazioni Unite (UN Sustainable Development Goals) e può impegnare l’attenzione degli amministratori delle imprese sulle pratiche di governance societaria, nonché per quelle che il Consulente per gli Investimenti reputi essere delle questioni ambientali e/o sociali di notevole importanza con le quali l’impresa stessa deve confrontarsi.
Il Consulente per gli Investimenti utilizza un processo di screening, la vasta ricerca ESG proprietaria generata dalla sua collegata, Calvert Research and Management, nonché la propria ricerca ESG e i dati di fornitori terzi nella valutazione degli investimenti. Il Consulente per gli Investimenti applica metodologie di valutazione
e punteggio proprietarie che sono specifiche per i Titoli a Reddito Fisso in cui il Comparto può investire, incentrate su emissioni societarie, sovrane e cartolarizzate. Inoltre, nell’ambito del processo di ricerca sui fondamentali di tipo bottom-up del Consulente per gli Investimenti e nelle sue interlocuzioni con gli emittenti, il Consulente per gli Investimenti incorpora una valutazione dei rischi e delle opportunità legati alla sostenibilità nel processo di valutazione per determinare gli impatti sui fondamentali del credito, le implicazioni per la valutazione e gli spread e qualsiasi aspetto sostanziale che possa influenzare le tecniche di negoziazione dei Titoli a Reddito Fisso. Questi criteri possono includere, a titolo non esaustivo, delle tematiche ESG come la decarbonizzazione e il rischio climatico, l’economia circolare e la riduzione dei rifiuti, l’inclusività e il rispetto delle diversità nelle attività, e il lavoro dignitoso e la solidità dell’occupazione. Il Consulente per gli investimenti monitorerà i principali indicatori di sostenibilità, comprese le valutazioni ambientali, sociali e di governance di fornitori terzi, e l’impronta di carbonio (misurata dall’intensità di carbonio, definita come tonnellate di CO2 per 1 milione di dollari di ricavi per la parte del Comparto investita in obbligazioni societarie) al fine di misurare e valutare il contributo dei Titoli a Reddito Fisso alle tematiche ESG sopra descritte. Gli indicatori saranno misurati e valutati almeno annualmente. Questa valutazione tiene conto di tematiche ESG quali la decarbonizzazione e il rischio climatico, l’economia circolare e la riduzione dei rifiuti, l’inclusività e il rispetto delle diversità nelle attività, e il lavoro dignitoso e la solidità dell’occupazione.
Gli investimenti non ricomprenderanno consapevolmente alcuna società la cui attività comprenda quanto segue:
- fabbricazione o produzione di:
	- armi controverse;
	- armi da fuoco per uso civile; e
	- tabacco, o quando la società ottiene più del 10% dei proventi dalla distribuzione di tabacco o dalla sua vendita al dettaglio; e
	- gioco d’azzardo, quando la società ottiene più del 10% dei proventi da tale attività.


Con specifico riferimento alle attività nei combustibili fossili, gli investimenti non ricomprenderanno consapevolmente alcuna società la cui attività comprenda quanto segue:
- estrazione di carbone;
- produzione di elettricità da carbone, qualora la società ottenga più del 10% dei ricavi da tale attività;
- estrazione o produzione di petrolio da sabbie bituminose, qualora la società ottenga più del 5% dei ricavi da tale attività; e
- estrazione o produzione di petrolio o gas dalla regione artica, qualora la società ottenga più del 5% dei ricavi da tale attività.

Come eccezione a quanto precede, il Comparto può investire in obbligazioni definite come Obbligazioni Sostenibili (come definite qui sotto), o in altri titoli di debito emessi per raccogliere capitali specificamente per progetti ambientali o legati al clima, emessi da soggetti che sarebbero altrimenti soggetti alla suddetta esclusione dei combustibili fossili, nella misura in cui il Consulente per gli Investimenti abbia determinato che gli obiettivi di tali strumenti sono coerenti con una riduzione delle emissioni di carbonio dell’emittente. Gli investimenti in tali strumenti saranno soggetti a verifiche da parte del Consulente per gli Investimenti.
Oltre alle esclusioni settoriali di cui sopra, il Consulente per gli Investimenti verifica costantemente le pratiche commerciali attraverso i dati sulle controversie ESG ed i controlli standard su dati provenienti da fornitori terzi.
Il Comparto non investirà in titoli di emittenti coinvolti in controversie che il Consulente per gli Investimenti considera molto gravi in base alle valutazioni dei competenti fornitori di dati ESG, nel caso in cui il Consulente per gli Investimenti ritenga che non siano state messe in atto appropriate misure di rimedio. Il Comparto non investirà inoltre in titoli di emittenti che non si conformano ai principi fondamentali del Global Compact delle Nazioni Unite o dell’Ufficio Internazionale del Lavoro, e quando il Consulente per gli Investimenti ritenga che non siano state messe in atto appropriate misure di rimedio.
Oltre a quanto precede, il Consulente per gli Investimenti potrà a propria discrezione decidere di applicare nel tempo ulteriori Restrizioni agli investimenti legate a tematiche ESG che ritenga essere coerenti con i suoi obiettivi di investimento. Ove implementate, verrà data notizia di tali ulteriori limitazioni nei siti www.morganstanleyinvestmentfunds.com e www.morganstanley.com/im.
Il Consulente per gli Investimenti può anche decidere di applicare nel suo processo di investimento dei criteri di screening positivi che ritiene coerenti con i suoi obiettivi. Il processo di screening positivo e la metodologia sono disponibili nei seguenti siti: www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im.
I suddetti criteri ESG dovrebbero comportare una riduzione del 20% dell’universo investibile, e il Consulente per gli Investimenti
farà del suo meglio per garantire che almeno il 90% del Valore Patrimoniale Netto del Comparto sia valutato attraverso la sua ricerca ESG. L’universo d’investimento per queste finalità è definito come l’Indice. Il Consulente per gli Investimenti monitorerà inoltre gli indicatori di sostenibilità fondamentali, comprese le valutazioni ESG di terzi, e l’impronta di carbonio (per la parte del Comparto investita in titoli di debito a reddito fisso emessi da società) al fine di misurare e valutare il contributo dei titoli di debito a reddito fisso alle tematiche ESG sopra descritte. L’universo investibile sarà rivisto su base continuativa. I criteri ESG saranno rivisti per ogni singola società almeno una volta all’anno, ma ciò potrà avvenire anche più spesso. Se necessario, il Consulente per gli Investimenti apporterà adeguamenti e modifiche alla metodologia. Gli indicatori di cui sopra saranno misurati e valutati almeno annualmente.
Gli investimenti detenuti dal Comparto che a seguito dell’applicazione dei criteri ESG diventino non ammissibili dopo essere stati acquisiti per il Comparto saranno venduti. Tali vendite saranno disposte con tempistiche determinate dal Consulente per gli Investimenti, tenendo conto in primo luogo degli interessi degli Azionisti del Comparto.
Il Comparto manterrà un’impronta di carbonio inferiore all’indice ICE BofA European Currency Developed Markets High Yield excluding Subordinated Financials Constrained Index, tenendo conto degli obiettivi di riscaldamento globale a lungo termine dell’Accordo di Parigi. L’impronta di carbonio è misurata come media ponderata dell’intensità di carbonio, definita come tonnellate di CO2 per 1 milione di dollari di ricavi. Le Obbligazioni Sostenibili con obiettivi legati al clima possono ricevere una valutazione sull’impronta di carbonio diversa da quella dei loro emittenti. In tali casi, il Consulente per gli Investimenti divulgherà la sua metodologia per determinare l’impronta di carbonio di tali strumenti.
Nell’ambito della sua strategia, il Consulente per gli Investimenti può investire una parte del Comparto in “
Obbligazioni Sostenibili
”, definite e qualificate come tali quando l’emittente si impegna a finanziare o raggiungere specifici obiettivi ambientali e/o sociali, compresi, a titolo non esaustivo, i seguenti tipi, basati sulle principali qualificazioni delle obbligazioni emesse finora, comprese quelle riconosciute dall’International Capital Market Association (ICMA):
- Obbligazioni Verdi (Green Bonds);
- Obbligazioni Sociali (Social Bonds);
- Obbligazioni per la Sostenibilità (Sustainability Bonds);
- Obbligazioni per la Transizione (Transition Bonds); e
- Obbligazioni legate alla sostenibilità (Sustainability-linked Bonds).

Il Consulente per gli Investimenti utilizza un quadro di valutazione di propria concezione per le obbligazioni definite come sostenibili, attraverso il quale vengono valutati la solidità, l’impatto e la trasparenza di tali strumenti.
Come indicato in precedenza, il Consulente per gli Investimenti utilizza dati e punteggi ESG di terzi e in alcuni casi i dati su emittenti specifici, le tematiche ESG o le esclusioni di cui sopra potrebbero non essere disponibili e/o essere stimati dal Consulente per gli Investimenti utilizzando metodologie interne o stime ragionevoli. Anche le metodologie utilizzate dai diversi fornitori di dati possono variare e portare a punteggi diversi.
Il Comparto non sarà focalizzato su alcun settore o industria particolari e in generale non ci si aspetta che gli investimenti del Comparto in uno specifico settore superino il 25% delle sue attività nette, anche se può accadere che tale percentuale sia di volta in volta superata.
ll Comparto non può investire più del 20% delle sue attività in titoli di debito che non pagano delle distribuzioni periodiche in previsione dell’ottenimento di possibili proventi futuri o di una rivalutazione del capitale che siano privi di rating o classificati come obbligazioni con il rating più basso (rating C da Moody’s o D da S&P).
Il Comparto può investire in misura limitata in quote/azioni di altri organismi di investimento collettivo, inclusi i Comparti della Società ed ETF aperti, che siano investimenti ammissibili per gli OICVM ai sensi della Legge del 2010.
Il Comparto può anche investire, in via accessoria, in titoli azionari o Titoli a Reddito Fisso non conformi ai criteri per gli investimenti principali del Comparto, warrant su titoli, Attività Equivalenti alla Liquidità e altri titoli collegati.
Al fine di incrementare i rendimenti e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) utilizzare opzioni, contratti a termine (future) e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini di investimento e della gestione efficiente del portafoglio (compresa la copertura).
Il Comparto è gestito attivamente e non è concepito per seguire un benchmark. La performance del Comparto è misurata rispetto a un benchmark come specificato nel documento contenente le informazioni chiave per gli investitori del Comparto, e questo benchmark sarà anche indicato come ICE BofA European Currency
Developed Markets High Yield excluding Subordinated Financials Constrained Index e sarà utilizzato per monitorare lo scostamento rispetto al benchmark. Mentre il Comparto generalmente deterrà attività ricomprese nell’ICE BofA European Currency Developed Markets High Yield excluding Subordinated Financials Constrained Index, esso può investire in tali titoli in proporzioni diverse dalle loro allocazioni nell’ambito dell’ICE BofA European Currency Developed Markets High Yield excluding Subordinated Financials Constrained Index, e può detenere attività non ricomprese in tale indice. Pertanto, non vi sono limiti alla misura in cui la performance del Comparto possa discostarsi da quella dell’ICE BofA European Currency Developed Markets High Yield excluding Subordinated Financials Constrained Index.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento del Sustainable European High Yield Bond Fund, questo comparto può essere adatto ad investitori che:
- Intendono investire in Titoli a Reddito Fisso.
- Ricercano un apprezzamento del capitale nel lungo termine.
- Ricercano un reddito sotto forma di apprezzamento di capitale o di distribuzioni dei proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

SUSTAINABLE GLOBAL FIXED INCOME OPPORTUNITIES FUND
L’obiettivo d’investimento del Sustainable Global Fixed Income Opportunities Fund è di fornire un livello interessante di rendimento totale, denominato in Dollari USA, per mezzo di investimenti in Titoli a Reddito Fisso globali che soddisfino i criteri ESG del Consulente per gli Investimenti, integrando nel contempo le caratteristiche ESG attraverso la selezione di settori ed emittenti con bassi punteggi globali di sostenibilità e mantenendo un’impronta di carbonio inferiore rispetto alla componente di obbligazioni societarie dell’indice Bloomberg Global Aggregate Index, tenendo conto degli obiettivi di riscaldamento globale a lungo termine dell’Accordo di Parigi, come descritto più avanti. Il
Comparto cercherà di realizzare la politica d’investimento attraverso l’allocazione nelle varie classi di attività a reddito fisso, nonché attraverso una selezione di mercati e di strumenti.
Il Comparto investirà principalmente in titoli globali di emittenti societari, governativi e di entità collegate ai governi attraverso una gamma di classi di attività a reddito fisso comprese obbligazioni investment-grade e ad alto rendimento, titoli garantiti da ipoteche, titoli convertibili e valute e, in conformità a quanto previsto dalla legge applicabile, in altri titoli obbligazionari cartolarizzati nonché in titoli di partecipazione a finanziamenti e cessioni di crediti, nella misura in cui tali strumenti siano cartolarizzati. Le obbligazioni ad alto rendimento sono considerate Titoli a Reddito Fisso emessi da società classificate con rating inferiori a “BBB-” da S&P, o “Baa3” da Moody’s”, ovvero classificate in modo analogo da un’altra agenzia di “rating” riconosciuta a livello internazionale o se il loro credito è considerato di qualità analoga da parte del Consulente per gli Investimenti. Questi investimenti possono ricomprendere Titoli a Reddito Fisso emessi in mercati emergenti.
In relazione a questo Comparto, “Sostenibile” significa che il Consulente per gli Investimenti considera le tematiche della sostenibilità e quelle ESG nel processo decisionale relativo agli investimenti su base discrezionale, secondo quanto spiegato in dettaglio più sotto. Inoltre, il Consulente per gli Investimenti può includere la valutazione dei contributi positivi e negativi agli Obiettivi di Sviluppo Sostenibile delle Nazioni Unite (UN Sustainable Development Goals) e può impegnare l’attenzione degli amministratori delle imprese sulle pratiche di governance societaria, nonché per quelle che il Consulente per gli Investimenti reputi essere delle questioni ambientali e/o sociali di notevole importanza con le quali l’impresa stessa deve confrontarsi.
Il Consulente per gli Investimenti applica dei metodi di classificazione e dei coefficienti di propria concezione che sono specifici per i Titoli a Reddito Fisso in cui il Comparto può investire e si concentrano su emittenti societari, sovrani e veicoli di cartolarizzazioni. Inoltre, come parte del proprio processo di ricerca di tipo bottom-up basata sui fondamentali, e nelle verifiche con gli emittenti, il Consulente per gli Investimenti incorpora una valutazione dei rischi e delle opportunità legati alla sostenibilità nel processo di valutazione per determinare gli impatti sui fondamentali del credito, le implicazioni per la valutazione e gli spread, e qualsiasi aspetto sostanziale che possa influenzare le tecniche di negoziazione dei Titoli a Reddito Fisso. Questi criteri possono ricomprendere, a titolo non esaustivo, delle tematiche ESG come la decarbonizzazione e il rischio climatico, l’economia circolare e la riduzione dei rifiuti, l’inclusività e il rispetto delle diversità nelle attività, il lavoro dignitoso e la solidità dell’occupazione. Il Consulente per gli Investimenti monitorerà i principali indicatori di sostenibilità, comprese le valutazioni ambientali, sociali e di governance fornite
da terzi, e l’impronta di carbonio (misurata come intensità di carbonio, definita come tonnellate di CO2 per 1 milione di dollari di entrate per la parte del Comparto investita in obbligazioni emesse da società) al fine di misurare e valutare il contributo dei Titoli a Reddito Fisso alle tematiche ESG sopra descritte. Gli indicatori saranno misurati e valutati almeno su base annuale.
Il Consulente per gli Investimenti utilizza anche un quadro di valutazione di propria concezione per le obbligazioni definite come sostenibili, attraverso il quale vengono valutati la solidità, l’impatto e la trasparenza di tali strumenti.
Gli investimenti non ricomprenderanno consapevolmente alcuna società la cui attività comprenda quanto segue:
- fabbricazione o produzione di:
	- armi controverse;
	- armi da fuoco per uso civile; e
	- tabacco, o quando la società ottiene più del 10% dei proventi dalla distribuzione di tabacco o dalla sua vendita al dettaglio;
	- gioco d’azzardo, quando la società ottiene più del 10% dei proventi da tale attività; e
	- intrattenimento per adulti, quando la società ottiene più del 10% dei proventi da tale attività.


Con specifico riferimento alle attività nei combustibili fossili, gli investimenti non ricomprenderanno consapevolmente alcuna società la cui attività comprenda quanto segue:
- estrazione di carbone;
- produzione di elettricità da carbone, qualora la società ottenga più del 10% dei ricavi da tale attività;
- estrazione o produzione di petrolio da sabbie bituminose, qualora la società ottenga più del 5% dei ricavi da tale attività; e
- estrazione o produzione di petrolio o gas dalla regione artica, qualora la società ottenga più del 5% dei ricavi da tale attività.

Come eccezione a quanto precede, il Comparto può investire in obbligazioni definite come Obbligazioni Sostenibili (come definite qui sotto), o in altri titoli di debito emessi per raccogliere capitali specificamente per progetti ambientali o legati al clima, emessi da soggetti che sarebbero altrimenti soggetti alla suddetta esclusione dei combustibili fossili, nella misura in cui il Consulente per gli Investimenti abbia determinato che gli obiettivi di tali strumenti sono coerenti con una riduzione delle emissioni di carbonio
dell’emittente. Gli investimenti in tali strumenti saranno soggetti a verifiche da parte del Consulente per gli Investimenti.
Oltre alle esclusioni settoriali di cui sopra, il Consulente per gli Investimenti verifica costantemente le pratiche commerciali attraverso i dati sulle controversie ESG ed i controlli standard su dati provenienti da fornitori terzi.
Il Comparto non investirà in titoli di emittenti coinvolti in controversie che il Consulente per gli Investimenti considera molto gravi in base alle valutazioni dei competenti fornitori di dati ESG, nel caso in cui il Consulente per gli Investimenti ritenga che non siano state messe in atto appropriate misure di rimedio. Il Comparto non investirà inoltre in titoli di emittenti che non si conformano ai principi fondamentali del Global Compact delle Nazioni Unite o dell’Ufficio Internazionale del Lavoro, e quando il Consulente per gli Investimenti ritenga che non siano state messe in atto appropriate misure di rimedio.
Il Consulente per gli Investimenti potrà a propria discrezione decidere di applicare nel tempo ulteriori Restrizioni agli investimenti legate a tematiche ESG che ritenga essere coerenti con i suoi obiettivi di investimento. Ove implementate, verrà data notizia di tali ulteriori limitazioni nei siti www.morganstanleyinvestmentfunds.com e www.morganstanley.com/im.
Il Comparto investirà nell’80% degli emittenti “corporate” con rating ESG che hanno il punteggio ESG più alto all’interno di ciascun sottogruppo di ciascuno degli indici Bloomberg Global Aggregate Corporate Index, Bloomberg Global High Yield Corporate Index e J.P. Morgan CEMBI Broad Diversified Index. Se alcune società emittenti appaiono sia (A) nell’indice J.P. Morgan CEMBI Broad Diversified che (B) nell’indice Bloomberg Global Aggregate Corporate oppure nell’indice Bloomberg Global High Yield Corporate, il punteggio ESG per tali società sarà considerato solo in riferimento all’indice J.P. Morgan CEMBI Broad Diversified. I punteggi ESG sono assegnati dal Consulente per gli Investimenti utilizzando dati ESG forniti da terzi, avendo riguardo a tematiche ESG come decarbonizzazione e rischio climatico, economia circolare e riduzione dei rifiuti, attività di impresa inclusiva e che tiene conto delle diversità e lavoro dignitoso e solidità dell’occupazione.
Per gli investimenti del Comparto in Titoli a Reddito Fisso emessi da soggetti sovrani, il Comparto investirà nei titoli dell’80% dei soggetti sovrani che hanno il punteggio ESG migliore come valutati dal Consulente per gli Investimenti, a meno che esso non ritenga che un soggetto sovrano nella fascia del 20% più bassa stia dimostrando uno slancio di sostenibilità positivo e/o emetta un’obbligazione sostenibile (vedi sotto). Il Comparto non investirà
in obbligazioni di emittenti sovrani a cui il Consulente per gli Investimenti non abbia attribuito un punteggio.
I suddetti criteri ESG cercheranno di ottenere una selezione di emittenti societari e sovrani con un rating migliore rispetto agli altri emittenti dello stesso tipo nell’universo di investimento (la cui componente societaria è definita come società presenti in uno o più degli indici Bloomberg Global Aggregate Corporate Index, Bloomberg Global High Yield Corporate Index e J.P. Morgan CEMBI Broad Diversified Index, fatto salvo un massimo del 10% del portafoglio del Comparto che può essere investito in società non ricomprese in questi indici). A tale proposito, l’attribuzione del punteggio ESG-alle società dovrebbe comportare una riduzione di almeno il 20% della componente societaria dell’universo di investimento del Comparto, e l’obiettivo del Consulente per gli Investimenti sarà quello di garantire che almeno il 90% degli emittenti societari in portafoglio sia valutato attraverso la sua metodologia di punteggio ESG. Il processo di screening positivo e la metodologia sono disponibili nei seguenti siti: www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im.
Per gli investimenti del Comparto in Titoli a Reddito Fisso di emittenti non societari e non sovrani, i criteri ESG sono considerati dal Consulente per gli Investimenti durante il processo di ricerca e investimento per limitare l’esposizione ai Rischi di Sostenibilità e valutare le opportunità di investimento.
Gli investimenti detenuti dal Comparto che a seguito dell’applicazione dei criteri ESG diventino non ammissibili dopo essere stati acquisiti per il Comparto saranno venduti. Tali vendite saranno disposte con tempistiche determinate dal Consulente per gli Investimenti, tenendo conto in primo luogo degli interessi degli Azionisti del Comparto.
Per la parte del Comparto investita in obbligazioni emesse da società, il Comparto manterrà un’impronta di carbonio inferiore alla componente di obbligazioni societarie dell’indice Bloomberg Global Aggregate Index, tenendo conto degli obiettivi di riscaldamento globale a lungo termine dell’Accordo di Parigi. L’impronta di carbonio è misurata come media ponderata dell’intensità di carbonio, definita come tonnellate di CO2 per 1 milione di dollari di ricavi. Le Obbligazioni Sostenibili con obiettivi legati al clima possono ricevere una valutazione sull’impronta di carbonio diversa da quella dei loro emittenti. In tali casi, il Consulente per gli Investimenti divulgherà la sua metodologia per determinare l’impronta di carbonio di tali strumenti.
Nell’ambito della sua strategia, il Consulente per gli Investimenti può investire una parte del Comparto in Obbligazioni Sostenibili, definite e qualificate come tali quando l’emittente si impegna a
finanziare o raggiungere specifici obiettivi ambientali e/o sociali, compresi, a titolo non esaustivo, i seguenti tipi, basati sulle principali qualificazioni delle obbligazioni emesse finora, comprese quelle riconosciute dall’International Capital Market Association (ICMA):
- Obbligazioni Verdi (Green Bonds);
- Obbligazioni Sociali (Social Bonds);
- Obbligazioni per la Sostenibilità (Sustainability Bonds);
- Obbligazioni per la Transizione (Transition Bonds); e
- Obbligazioni legate alla sostenibilità (Sustainability-linked Bonds).

Il Consulente per gli Investimenti utilizza dati e punteggi ESG di terzi e in alcuni casi i dati su emittenti specifici, le tematiche ESG o le esclusioni di cui sopra potrebbero non essere disponibili e/o essere stimati dal Consulente per gli Investimenti utilizzando metodologie interne o stime ragionevoli. Anche le metodologie utilizzate dai diversi fornitori di dati possono variare e portare a punteggi diversi.
Al fine di incrementare i rendimenti e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) utilizzare opzioni, contratti a termine (future) e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini di investimento e della gestione efficiente del portafoglio (compresa la copertura).
Il Comparto può anche investire, in via accessoria, in Titoli a Reddito Fisso non conformi ai requisiti di cui sopra, Attività Equivalenti alla Liquidità e altri titoli collegati alle azioni.
Il Comparto non può investire più del 20% delle sue attività in Strumenti Convertibili Speciali.
Non si prevede che il Comparto investirà più del 50% delle proprie attività nette in aggregato in strumenti cartolarizzati. Non si prevede che il Comparto investa più del 20% delle proprie attività nette in un qualsiasi tipo di strumento cartolarizzato (ad esempio, titoli obbligazionari cartolarizzati (ABS), titoli garantiti da ipoteca (CMBS), titoli garantiti da ipoteca residenziale (RMBS), titoli garantiti da ipoteca di agenzie (MBS)).
Il Comparto può investire in Titoli a Reddito Fisso acquisiti sul Mercato Interbancario delle Obbligazioni cinese (China Interbank Bond Market). Non più del 10% dell’attivo del Comparto può essere investito in tali strumenti.
Il Comparto può investire in misura limitata in quote/azioni di altri organismi di investimento collettivo, inclusi i Comparti della
Società ed ETF aperti, che siano investimenti ammissibili per gli OICVM.
Il Comparto è gestito attivamente e non è concepito per seguire un benchmark, pertanto la composizione delle partecipazioni del portafoglio non è vincolata da alcun benchmark. Nel contesto dell’integrazione ESG del Comparto, il Consulente per gli Investimenti utilizza: (i) la componente delle obbligazioni societarie dell’Indice Bloomberg Global Aggregate Index allo scopo di confrontare l’impronta di carbonio del Comparto e (ii) i sottosettori del Bloomberg Global Aggregate Corporate Index, del Bloomberg Global High Yield Corporate Index e del J.P. Morgan CEMBI Broad Diversified Index allo scopo di definire le società con il miglior rating ESG in cui il Comparto investirà.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento del Sustainable Global Fixed Income Opportunities Fund, questo comparto può essere adatto ad investitori che:
- Intendono investire in Titoli a Reddito Fisso.
- Ricercano un apprezzamento del capitale a medio termine.
- Ricercano un reddito sotto forma di apprezzamento di capitale o di distribuzioni dei proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

SUSTAINABLE GLOBAL HIGH YIELD BOND FUND
L’obiettivo d’investimento del Sustainable Global High Yield Bond Fund è quello di generare un reddito corrente e un rendimento totale, integrando nel contempo le caratteristiche ESG, attraverso la selezione di settori ed emittenti con bassi punteggi complessivi di sostenibilità, al fine di conseguire gli obiettivi di riscaldamento globale a lungo termine dell’Accordo di Parigi adottato nell’ambito della Convenzione quadro delle Nazioni Unite sui cambiamenti climatici (l’“
Accordo di Parigi
”), come descritto più avanti.
Il Comparto investirà principalmente in un portafoglio diversificato di Titoli a Reddito Fisso ad alto rendimento emessi da società e altri
emittenti non governativi (“
Corporate Bond
”) organizzati ed operanti sia nei paesi sviluppati che in quelli emergenti e denominati in valute globali, che possono includere obbligazioni senza cedola (zero coupon), azioni privilegiate, obbligazioni a interesse differito e obbligazioni e titoli per i quali l’interesse può essere pagato sotto forma di ulteriori azioni, obbligazioni o titoli dello stesso tipo (titoli Payment-in-Kind (PIK)).
Il Comparto investirà in titoli con rating Baa3 o inferiore attribuito da Moody’s, BBB- o inferiore secondo Standard & Poor’s Ratings Group, BBB- o inferiore secondo Fitch, o un rating equivalente di un’altra agenzia di rating riconosciuta internazionalmente, o con una affidabilità del credito equivalente riconosciuta dal Consulente per gli Investimenti alla data dell’investimento.
In relazione a questo Comparto, “Sostenibile” significa che il Consulente per gli Investimenti considera le tematiche della sostenibilità e quelle ESG nel processo decisionale relativo agli investimenti su base discrezionale, secondo quanto spiegato in dettaglio più sotto. Inoltre, il Consulente per gli Investimenti può includere la valutazione dei contributi positivi e negativi agli Obiettivi di Sviluppo Sostenibile delle Nazioni Unite (UN Sustainable Development Goals) e può impegnare l’attenzione degli amministratori delle imprese sulle pratiche di governance societaria, nonché per quelle che il Consulente per gli Investimenti reputi essere delle questioni ambientali e/o sociali di notevole importanza con le quali l’impresa stessa deve confrontarsi. Il Comparto manterrà un’impronta di carbonio inferiore all’indice ICE BofA Developed Markets High Yield Index Excluding Subordinated Financial Index, al fine di raggiungere gli obiettivi di riscaldamento globale a lungo termine dell’Accordo di Parigi. L’impronta di carbonio è misurata come media ponderata dell’intensità di carbonio, definita come tonnellate di CO2 per 1 milione di dollari di ricavi. Le Obbligazioni Sostenibili (come di seguito definite) con obiettivi legati al clima possono ricevere una valutazione sull’impronta di carbonio diversa da quella dei loro emittenti, come nel caso in cui l’obbligazione è emessa nel contesto della strategia di transizione climatica di un emittente.
Il Consulente per gli Investimenti utilizza un processo di screening, la vasta ricerca ESG proprietaria generata dalla sua collegata, Calvert Research and Management, nonché la propria ricerca ESG e i dati di fornitori terzi nella valutazione degli investimenti. Il Consulente per gli Investimenti applica anche metodologie di valutazione e punteggio proprietarie che sono specifiche per i Titoli a Reddito Fisso in cui il Comparto può investire, incentrate su emissioni societarie, sovrane e cartolarizzate. Inoltre, nell’ambito del processo di ricerca sui fondamentali di tipo bottom-up del Consulente per gli Investimenti e nelle sue interlocuzioni con gli emittenti, il Consulente per gli Investimenti incorpora una valutazione dei rischi e delle opportunità legati alla sostenibilità nel
processo di valutazione per determinare gli impatti sui fondamentali del credito, le implicazioni per la valutazione e gli spread e qualsiasi aspetto sostanziale che possa influenzare le tecniche di negoziazione dei Titoli a Reddito Fisso. Questi criteri possono includere, a titolo non esaustivo, delle tematiche ESG come la decarbonizzazione e il rischio climatico, l’economia circolare e la riduzione dei rifiuti, l’inclusività e il rispetto delle diversità nelle attività, e il lavoro dignitoso e la solidità dell’occupazione.
Il Consulente per gli Investimenti può anche decidere di applicare nel suo processo di investimento dei criteri di screening positivi che ritiene coerenti con i suoi obiettivi. Il processo di screening positivo e la metodologia sono disponibili nei seguenti siti: www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im.
I suddetti criteri ESG dovrebbero comportare una riduzione del 20% dell’universo investibile, e il Consulente per gli Investimenti farà del suo meglio per garantire che almeno il 90% del Valore Patrimoniale Netto del Comparto sia valutato attraverso la sua ricerca ESG. L’universo d’investimento per queste finalità è definito come l’Indice. Il Consulente per gli Investimenti monitorerà inoltre gli indicatori di sostenibilità fondamentali, comprese le valutazioni ESG di terzi, e l’impronta di carbonio (per la parte del Comparto investita in titoli di debito a reddito fisso emessi da società) al fine di misurare e valutare il contributo dei titoli di debito a reddito fisso alle tematiche ESG sopra descritte. L’universo investibile sarà rivisto su base continuativa. I criteri ESG saranno rivisti per ogni singola società almeno una volta all’anno, ma ciò potrà avvenire anche più spesso. Se necessario, il Consulente per gli Investimenti apporterà adeguamenti e modifiche alla metodologia. Gli indicatori di cui sopra saranno misurati e valutati almeno annualmente.
Nell’ambito del processo di investimento e di screening, il Comparto non investirà consapevolmente in alcuna società la cui attività comprenda quanto segue:
- fabbricazione o produzione di:
	- armi controverse;
	- armi da fuoco per uso civile; e
	- tabacco, o quando la società ottiene più del 10% dei proventi dalla distribuzione di tabacco o dalla sua vendita al dettaglio; e
	- gioco d’azzardo, quando la società ottiene più del 10% dei proventi da tale attività.


Con specifico riferimento alle attività nei combustibili fossili, gli investimenti non ricomprenderanno consapevolmente alcuna società la cui attività comprenda quanto segue:
- estrazione di carbone;
- produzione di elettricità da carbone, qualora la società ottenga più del 10% dei ricavi da tale attività;
- estrazione o produzione di petrolio da sabbie bituminose, qualora la società ottenga più del 5% dei ricavi da tale attività; e
- estrazione o produzione di petrolio o gas dalla regione artica, qualora la società ottenga più del 5% dei ricavi da tale attività.

Come eccezione a quanto precede, il Comparto può investire in obbligazioni definite come sostenibili o in altri Titoli a Reddito Fisso emessi per raccogliere capitali specificamente per progetti ambientali o legati al clima (“
Obbligazioni Sostenibili
”), emessi da soggetti che sarebbero altrimenti soggetti alla suddetta esclusione dei combustibili fossili, nella misura in cui il Consulente per gli Investimenti abbia determinato che gli obiettivi di tali strumenti sono coerenti con una riduzione delle emissioni di carbonio dell’emittente. Gli investimenti in tali strumenti saranno soggetti a verifiche da parte del Consulente per gli Investimenti. Degli esempi di Obbligazioni Sostenibili comprendono, a titolo non esaustivo:
- Obbligazioni Verdi (Green Bonds);
- Obbligazioni Sociali (Social Bonds);
- Obbligazioni per la Sostenibilità (Sustainability Bonds);
- Obbligazioni per la Transizione (Transition Bonds); e
- Obbligazioni legate alla sostenibilità (Sustainability-linked Bonds).

Prima di investire in Obbligazioni Sostenibili, il Consulente per gli Investimenti utilizza un quadro di valutazione di propria concezione per le obbligazioni definite come sostenibili, attraverso il quale vengono valutati la solidità, l’impatto e la trasparenza di tali strumenti.
Oltre alle esclusioni settoriali di cui sopra, il Consulente per gli Investimenti verifica costantemente le pratiche commerciali attraverso i dati sulle controversie ESG ed i controlli standard su dati provenienti da fornitori terzi.
Oltre alle esclusioni settoriali di cui sopra, il Comparto non investirà in titoli di emittenti coinvolti in controversie che il Consulente per gli Investimenti considera molto gravi in base alle valutazioni dei competenti fornitori di dati ESG, e nel caso in cui il Consulente per gli Investimenti ritenga che non siano state messe in atto appropriate misure di rimedio. Il Comparto non investirà inoltre in titoli di emittenti che non si conformano ai principi fondamentali del Global Compact delle Nazioni Unite o dell’Ufficio Internazionale del Lavoro, e quando il Consulente per gli
Investimenti ritenga che non siano state messe in atto appropriate misure di rimedio.
Oltre a quanto precede, il Consulente per gli Investimenti potrà a propria discrezione decidere di applicare nel tempo ulteriori Restrizioni agli investimenti legate a tematiche ESG che ritenga essere coerenti con i suoi obiettivi di investimento. Ove implementate, verrà data notizia di tali ulteriori limitazioni nei siti www.morganstanleyinvestmentfunds.com e www.morganstanley.com/im.
Gli investimenti detenuti dal Comparto che a seguito dell’applicazione dei criteri ESG diventino non ammissibili dopo essere stati acquisiti per il Comparto saranno venduti.
Come indicato in precedenza, il Consulente per gli Investimenti utilizza dati e punteggi ESG di terzi e in alcuni casi i dati su emittenti specifici, le tematiche ESG o le esclusioni di cui sopra potrebbero non essere disponibili e/o essere stimati dal Consulente per gli Investimenti utilizzando metodologie interne o stime ragionevoli. Anche le metodologie utilizzate dai diversi fornitori di dati possono variare e portare a punteggi diversi.
Ulteriori informazioni sull’integrazione dei rischi di sostenibilità in relazione alla Società sono contenute nella sezione del Prospetto intitolata “Informazioni generali riguardanti l’integrazione del Rischio di Sostenibilità”.
Al fine di incrementare i rendimenti e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) utilizzare opzioni, contratti a termine (future) e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini di investimento e della gestione efficiente del portafoglio (compresa la copertura).
Il Comparto può anche investire, in via accessoria, in Titoli a Reddito Fisso non conformi ai criteri per gli investimenti principali del Comparto, come titoli di debito trasferibili a reddito fisso e a tasso variabile emessi o garantiti dal governo degli Stati Uniti, da qualsiasi stato o territorio degli Stati Uniti, da qualsiasi governo non statunitense o da qualsiasi rispettiva suddivisione politica, agenzia o ente strumentale, titoli azionari, warrant su titoli, Attività Equivalenti alla Liquidità e altri titoli collegati ad azioni. In circostanze normali, il Comparto non può investire più del 10% delle proprie attività in tali titoli azionari, warrant su titoli e altri titoli collegati alle azioni.
In generale, il Comparto non intende investire più del 5% delle sue attività nette nei mercati emergenti, tuttavia gli investimenti in mercati emergenti possono arrivare fino al 20% delle attività nette del Comparto.
Oltre all’esposizione agli investimenti sostenibili, si ritiene che tutti gli investimenti effettuati dal Comparto non arrechino danni significativi ai fattori ambientali o sociali, secondo quanto determinato dal Consulente per gli Investimenti. Il Consulente per gli Investimenti valuta ciò secondo una metodologia interna (come di volta in volta modificata) che considera un sottoinsieme rappresentativo dei principali indicatori di impatto negativo sulla sostenibilità.
Il Comparto non sarà focalizzato su alcun settore o industria particolari e in generale non ci si aspetta che gli investimenti del Comparto in uno specifico settore superino il 25% delle sue attività nette, anche se può accadere che tale percentuale sia di volta in volta superata.
Il Comparto può investire in misura limitata in quote/azioni di altri organismi di investimento collettivo, inclusi i Comparti della Società ed ETF aperti, che siano investimenti ammissibili per gli OICVM ai sensi della Legge del 2010.
ll Comparto non può investire più del 20% delle sue attività in titoli di debito privi di rating o classificati come obbligazioni con il rating più basso (rating C da Moody’s o D da S&P).
Il Comparto non può investire più del 20% delle sue attività in Strumenti Convertibili Speciali.
Il Comparto è gestito attivamente e non è concepito per seguire un benchmark. La performance del Comparto è misurata rispetto a un benchmark come specificato nel documento contenente le informazioni chiave per gli investitori del Comparto, e questo benchmark sarà anche indicato come ICE BofA Developed Markets High Yield Index Excluding Subordinated Financial Index e sarà utilizzato per monitorare lo scostamento rispetto al benchmark. Mentre il Comparto generalmente deterrà attività ricomprese nell’ICE BofA Developed Markets High Yield Index Excluding Subordinated Financial Index, esso può investire in tali titoli in proporzioni diverse dalle loro allocazioni nell’ambito dell’ICE BofA Developed Markets High Yield Index Excluding Subordinated Financial Index, e può detenere attività non ricomprese in tale indice. Pertanto, non vi sono limiti alla misura in cui la performance del Comparto possa discostarsi da quella dell’ICE BofA Developed Markets High Yield Index Excluding Subordinated Financial Index.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
- Alla luce dell’obiettivo di investimento del Sustainable Global High Yield Bond Fund, questo comparto può essere adatto ad investitori che:
- Intendono investire in Titoli a Reddito Fisso.
- Ricercano un apprezzamento del capitale nel lungo termine.
- Ricercano un reddito sotto forma di apprezzamento di capitale o di distribuzioni dei proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

SUSTAINABLE US HIGH YIELD BOND FUND
L’obiettivo d’investimento del Sustainable US High Yield Bond Fund è quello di generare un reddito corrente e un rendimento totale, integrando nel contempo le caratteristiche ESG attraverso la selezione di settori ed emittenti con bassi punteggi complessivi di sostenibilità, al fine di conseguire gli obiettivi di riscaldamento globale a lungo termine dell’Accordo di Parigi adottato nell’ambito della Convenzione quadro delle Nazioni Unite sui cambiamenti climatici (l’“
Accordo di Parigi
”), come di seguito descritto.
Il Comparto investirà principalmente in un portafoglio diversificato di Titoli a Reddito Fisso ad alto rendimento di emittenti Situati negli Stati Uniti, che possono includere obbligazioni senza cedola (zero coupon), obbligazioni a interesse differito e obbligazioni per le quali l’interesse può essere pagato sotto forma di ulteriori obbligazioni dello stesso tipo (titoli Payment-in-Kind (PIK)).
Il Comparto investirà in Titoli a Reddito Fisso con rating Baa3 o inferiore attribuito da Moody’s Investors Service, Inc. (“Moody’s”), BBB- o inferiore secondo Standard & Poor’s Ratings Group (“S&P”), BBB- o inferiore secondo Fitch’s Investors Service, o un rating equivalente di un’altra agenzia di rating, o un rating interno equivalente assegnato dal Consulente per gli Investimenti alla data dell’investimento.
In relazione a questo Comparto, “Sostenibile” significa che il Consulente per gli Investimenti integra le tematiche della sostenibilità e quelle ESG nel processo decisionale relativo agli investimenti su base discrezionale, secondo quanto spiegato in dettaglio più sotto. Inoltre, il Consulente per gli Investimenti può includere la valutazione dei contributi positivi e negativi agli Obiettivi di Sviluppo Sostenibile delle Nazioni Unite (UN Sustainable Development Goals) e può impegnare l’attenzione degli amministratori delle imprese sulle pratiche di governance societaria, nonché per quelle che il Consulente per gli Investimenti reputi essere delle questioni ambientali e/o sociali di notevole importanza con le quali l’impresa stessa deve confrontarsi. Il
Comparto manterrà un’impronta di carbonio inferiore all’indice ICE BofA U.S. High Yield Index, al fine di raggiungere gli obiettivi di riscaldamento globale a lungo termine dell’Accordo di Parigi. L’impronta di carbonio è misurata come media ponderata dell’intensità di carbonio, definita come tonnellate di CO2 per 1 milione di dollari di ricavi. Le Obbligazioni Sostenibili (come di seguito definite) con obiettivi legati al clima possono ricevere una valutazione sull’impronta di carbonio diversa da quella dei loro emittenti, come nel caso in cui, ad esempio, l’obbligazione è emessa nel contesto della strategia di transizione climatica di un emittente.
Il Consulente per gli Investimenti utilizza un processo di screening, la vasta ricerca ESG proprietaria generata dalla sua collegata, Calvert Research and Management, nonché la propria ricerca ESG e i dati di fornitori terzi nella valutazione degli investimenti. Il Consulente per gli Investimenti applica anche metodologie di valutazione e punteggio proprietarie che sono specifiche per i Titoli a Reddito Fisso in cui il Comparto può investire, incentrate su emissioni societarie, sovrane e cartolarizzate. Inoltre, nell’ambito del processo di ricerca sui fondamentali di tipo bottom-up del Consulente per gli Investimenti e nelle sue interlocuzioni con gli emittenti, il Consulente per gli Investimenti incorpora una valutazione dei rischi e delle opportunità legati alla sostenibilità nel processo di valutazione per determinare gli impatti sui fondamentali del credito, le implicazioni per la valutazione e gli spread e qualsiasi aspetto sostanziale che possa influenzare le tecniche di negoziazione dei Titoli a Reddito Fisso. Questa verifica riguarda le tematiche ESG come la decarbonizzazione e il rischio climatico, l’economia circolare e la riduzione dei rifiuti, l’inclusività e il rispetto delle diversità nelle attività, e il lavoro dignitoso e la solidità dell’occupazione.
Il Consulente per gli Investimenti può anche decidere di applicare nel suo processo di investimento dei criteri di screening positivi che ritiene coerenti con i suoi obiettivi. Il processo di screening positivo e la metodologia sono disponibili nei seguenti siti: www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im.
I suddetti criteri ESG dovrebbero comportare una riduzione del 20% dell’universo investibile, e il Consulente per gli Investimenti farà del suo meglio per garantire che almeno il 90% del Valore Patrimoniale Netto del Comparto sia valutato attraverso la sua ricerca ESG. L’universo d’investimento per queste finalità è definito come l’Indice. Il Consulente per gli Investimenti monitorerà inoltre gli indicatori di sostenibilità fondamentali, comprese le valutazioni ESG di terzi, e l’impronta di carbonio (per la parte del Comparto investita in titoli di debito a reddito fisso emessi da società) al fine di misurare e valutare il contributo dei titoli di debito a reddito fisso alle tematiche ESG sopra descritte. L’universo investibile sarà rivisto su base continuativa. I criteri ESG saranno rivisti per ogni singola società almeno una volta all’anno,
ma ciò potrà avvenire anche più spesso. Se necessario, il Consulente per gli Investimenti apporterà adeguamenti e modifiche alla metodologia. Gli indicatori di cui sopra saranno misurati e valutati almeno annualmente.
Nell’ambito del processo di investimento e di screening, gli investimenti non ricomprenderanno consapevolmente alcuna società la cui attività comprenda quanto segue:
- fabbricazione o produzione di:
	- armi controverse;
	- armi da fuoco per uso civile; e
	- tabacco, o quando la società ottiene più del 10% dei proventi dalla distribuzione di tabacco o dalla sua vendita al dettaglio; e
	- gioco d’azzardo, quando la società ottiene più del 10% dei proventi da tale attività.


Con specifico riferimento alle attività nei combustibili fossili, gli investimenti non ricomprenderanno consapevolmente alcuna società la cui attività comprenda quanto segue:
- estrazione di carbone;
- produzione di elettricità da carbone, qualora la società ottenga più del 10% dei ricavi da tale attività;
- estrazione o produzione di petrolio da sabbie bituminose, qualora la società ottenga più del 5% dei ricavi da tale attività; e
- estrazione o produzione di petrolio o gas dalla regione artica, qualora la società ottenga più del 5% dei ricavi da tale attività.

Come eccezione a quanto precede, il Comparto può investire in obbligazioni definite come sostenibili o in altri Titoli a Reddito Fisso emessi per raccogliere capitali specificamente per progetti ambientali o legati al clima (“
Obbligazioni Sostenibili
”), emessi da soggetti che sarebbero altrimenti soggetti alla suddetta esclusione dei combustibili fossili, nella misura in cui il Consulente per gli Investimenti abbia determinato che gli obiettivi di tali strumenti sono coerenti con una riduzione delle emissioni di carbonio dell’emittente. Gli investimenti in tali strumenti saranno soggetti a verifiche da parte del Consulente per gli Investimenti. Degli esempi di Obbligazioni Sostenibili comprendono, a titolo non esaustivo:
- Obbligazioni Verdi (Green Bonds);
- Obbligazioni Sociali (Social Bonds);
- Obbligazioni per la Sostenibilità (Sustainability Bonds);
- Obbligazioni per la Transizione (Transition Bonds); e
- Obbligazioni legate alla sostenibilità (Sustainability-linked Bonds).

Prima di investire in Obbligazioni Sostenibili, il Consulente per gli Investimenti utilizza un quadro di valutazione di propria concezione per le obbligazioni definite come sostenibili, attraverso il quale vengono valutati la solidità, l’impatto e la trasparenza di tali strumenti.
Oltre alle esclusioni settoriali di cui sopra, il Consulente per gli Investimenti verifica costantemente le pratiche commerciali attraverso i dati sulle controversie ESG ed i controlli standard su dati provenienti da fornitori terzi.
Oltre alle esclusioni settoriali di cui sopra, il Comparto non investirà in titoli di emittenti coinvolti in controversie che il Consulente per gli Investimenti considera molto gravi in base alle valutazioni dei competenti fornitori di dati ESG, e nel caso in cui il Consulente per gli Investimenti ritenga che non siano state messe in atto appropriate misure di rimedio. Il Comparto non investirà inoltre in titoli di emittenti che non si conformano ai principi fondamentali del Global Compact delle Nazioni Unite o dell’Ufficio Internazionale del Lavoro, e quando il Consulente per gli Investimenti ritenga che non siano state messe in atto appropriate misure di rimedio.
Oltre a quanto precede, il Consulente per gli Investimenti potrà a propria discrezione decidere di applicare nel tempo ulteriori Restrizioni agli investimenti legate a tematiche ESG che ritenga essere coerenti con i suoi obiettivi di investimento. Ove implementate, verrà data notizia di tali ulteriori limitazioni nei siti www.morganstanleyinvestmentfunds.com e www.morganstanley.com/im.
Gli investimenti detenuti dal Comparto che a seguito dell’applicazione dei criteri ESG diventino non ammissibili dopo essere stati acquisiti per il Comparto saranno venduti.
Come indicato in precedenza, il Consulente per gli Investimenti utilizza dati e punteggi ESG di terzi e in alcuni casi i dati su emittenti specifici, le tematiche ESG o le esclusioni di cui sopra potrebbero non essere disponibili e/o essere stimati dal Consulente per gli Investimenti utilizzando metodologie interne o stime ragionevoli. Anche le metodologie utilizzate dai diversi fornitori di dati possono variare e portare a punteggi diversi.
Ulteriori informazioni sull’integrazione dei rischi di sostenibilità in relazione alla Società sono contenute nella sezione del Prospetto intitolata “Informazioni generali riguardanti l’integrazione del Rischio di Sostenibilità”.
Il Comparto non sarà focalizzato su alcun settore o industria particolari.
Il Comparto può anche investire, in via accessoria, in titoli azionari o in Titoli a Reddito Fisso non conformi ai criteri per gli investimenti principali del Comparto, warrant su titoli, Attività Equivalenti alla Liquidità e altri titoli collegati.
ll Comparto non può investire più del 10% delle sue attività in titoli di debito che non pagano delle distribuzioni periodiche in previsione dell’ottenimento di possibili proventi futuri o di una rivalutazione del capitale che siano privi di rating o classificati come obbligazioni con il rating più basso (rating C da Moody’s o D da S&P).
Il Comparto può investire in misura limitata in quote/azioni di altri organismi di investimento collettivo, inclusi i Comparti della Società ed ETF aperti, che siano investimenti ammissibili per gli OICVM ai sensi della Legge del 2010.
Al fine di incrementare i rendimenti e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) utilizzare opzioni, contratti a termine (future) e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini di investimento e della gestione efficiente del portafoglio (compresa la copertura).
Oltre all’esposizione agli investimenti sostenibili, si ritiene che tutti gli investimenti effettuati dal Comparto non arrechino danni significativi ai fattori ambientali o sociali, secondo quanto determinato dal Consulente per gli Investimenti. Il Consulente per gli Investimenti valuta ciò secondo una metodologia interna (come di volta in volta modificata) che considera un sottoinsieme rappresentativo dei principali indicatori di impatto negativo sulla sostenibilità.
Il Comparto è gestito attivamente e non è concepito per seguire un benchmark. La performance del Comparto è misurata rispetto a un benchmark come specificato nel documento contenente le informazioni chiave per gli investitori del Comparto, e questo benchmark sarà anche indicato come ICE BofA U.S. High Yield Index e sarà utilizzato per monitorare lo scostamento rispetto al benchmark. Mentre il Comparto generalmente deterrà attività ricomprese nell’ICE BofA U.S. High Yield Index, esso può investire in tali titoli in proporzioni diverse dalle loro allocazioni nell’ambito dell’ICE BofA U.S. High Yield Index, e può detenere attività non ricomprese in tale indice. Pertanto, non vi sono limiti alla misura in cui la performance del Comparto possa discostarsi da quella dell’ICE BofA U.S. High Yield Index.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento del Sustainable US High Yield Bond Fund, questo comparto può essere adatto ad investitori che:
- Intendono investire in Titoli a Reddito Fisso.
- Ricercano un apprezzamento del capitale nel lungo termine.
- Ricercano un reddito sotto forma di apprezzamento di capitale o di distribuzioni dei proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

US DOLLAR CORPORATE BOND FUND
L’obiettivo di investimento dello US Dollar Corporate Bond Fund è di offrire un interessante tasso di rendimento relativo, denominato in Dollari statunitensi.
Il Comparto tenterà di raggiungere il suo obiettivo d’investimento investendo principalmente in emissioni di Titoli a Reddito Fisso denominati in Dollari statunitensi emessi da società ed altri emittenti non connessi a governi (“Obbligazioni Societarie”).
Il Consulente per gli Investimenti applica dei metodi di classificazione e dei coefficienti di propria concezione che sono specifici per i Titoli a Reddito Fisso in cui il Comparto può investire e si concentrano su emittenti societari, sovrani e veicoli di cartolarizzazioni. Inoltre, come parte del proprio processo di ricerca di tipo bottom-up basata sui fondamentali, e nelle verifiche con gli emittenti, il Consulente per gli Investimenti incorpora una valutazione dei rischi e delle opportunità legati alla sostenibilità nel processo di valutazione per determinare gli impatti sui fondamentali del credito, le implicazioni per la valutazione e gli spread, e qualsiasi aspetto sostanziale che possa influenzare le tecniche di negoziazione dei Titoli a Reddito Fisso. Questi criteri possono ricomprendere, a titolo non esaustivo, delle tematiche ESG come la decarbonizzazione e il rischio climatico, l’economia circolare e la riduzione dei rifiuti, l’inclusività e il rispetto delle diversità nelle attività, il lavoro dignitoso e la solidità dell’occupazione. Il Consulente per gli Investimenti monitorerà i principali indicatori di sostenibilità,
comprese le valutazioni ambientali, sociali e di governance fornite da terzi, e l’impronta di carbonio (misurata come intensità di carbonio, definita come tonnellate di CO2 per 1 milione di dollari di entrate per la parte del Comparto investita in obbligazioni emesse da società) al fine di misurare e valutare il contributo dei Titoli a Reddito Fisso alle tematiche ESG sopra descritte. Gli indicatori saranno misurati e valutati almeno su base annuale.
Il Consulente per gli Investimenti utilizza anche un quadro di valutazione di propria concezione per le obbligazioni definite come sostenibili, attraverso il quale vengono valutati la solidità, l’impatto e la trasparenza di tali strumenti.
Il Consulente per gli Investimenti promuove la transizione verso basse emissioni di carbonio escludendo gli emittenti corporate che hanno la produzione di carbone termico tra le attività principali, e promuove la vita umana escludendo i prodotti che sono dannosi per la salute e il benessere, in particolare il tabacco, le armi controverse e la produzione delle armi da fuoco civili. Di conseguenza, gli investimenti non potranno ricomprendere consapevolmente qualsiasi società la cui attività commerciale riguardi i seguenti settori:
- fabbricazione o produzione di armi controverse;
- fabbricazione o produzione di armi da fuoco civili; e
- fabbricazione o produzione di tabacco.

Per quanto riguarda specificatamente le attività legate ai combustibili fossili, il Consulente per gli Investimenti può confrontarsi con gli amministratori delle società sui temi della decarbonizzazione e del rischio climatico, nonché sulle pratiche di governance societaria e su quelle che ritiene essere altre questioni ambientali e/o sociali di notevole importanza per una società. Gli investimenti non potranno ricomprendere consapevolmente qualsiasi società la cui attività commerciale comporta l’estrazione di carbone termico, qualora la stessa società ottenga più del 5% dei propri ricavi da questa attività commerciale.
Come eccezione a quanto precede, il Comparto può investire in obbligazioni definite come sostenibili, o in altri titoli di debito emessi per raccogliere capitali specificamente per progetti ambientali o legati al clima, emessi da entità che sarebbero altrimenti soggette alla suddetta esclusione dei combustibili fossili, nella misura in cui sia stato indicato che gli obiettivi di tali strumenti sono coerenti con una riduzione delle emissioni di carbonio dell’emittente. Gli investimenti in tali strumenti saranno soggetti a verifiche da parte del Consulente per gli Investimenti. Il Comparto può investire in emittenti che potrebbero non contribuire essi stessi alle specifiche caratteristiche ambientali o sociali promosse dal prodotto finanziario, come strumenti di copertura, investimenti non verificati
ai fini della diversificazione, o investimenti per i quali mancano dati.
Oltre alle esclusioni settoriali di cui sopra, il Consulente per gli Investimenti verifica costantemente le pratiche commerciali attraverso i dati sulle controversie ESG ed il controllo degli standard provenienti da fornitori terzi. Il Consulente per gli Investimenti prenderà in considerazione i casi di controversia che considera molto gravi in base alle valutazioni dei competenti fornitori di dati ESG, nonché le violazioni del Global Compact delle Nazioni Unite o dei principi fondamentali dell’Ufficio Internazionale del Lavoro, anche se tali eventi non comporteranno automaticamente l’esclusione dal portafoglio.
In aggiunta a quanto precede, il Consulente per gli Investimenti può, a propria discrezione, scegliere di applicare nel tempo ulteriori restrizioni agli investimenti legati all’ESG che ritiene coerenti con i suoi obiettivi di investimento. Tali ulteriori restrizioni saranno rese note ogni volta che vengano attuate su www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im.
Gli investimenti detenuti dal Comparto che a seguito dell’applicazione dei criteri ESG diventino non ammissibili dopo essere stati acquisiti per il Comparto saranno venduti. Tali vendite saranno disposte con tempistiche determinate dal Consulente per gli Investimenti, tenendo conto in primo luogo degli interessi degli Azionisti del Comparto. Il Consulente per gli Investimenti utilizza dati di terzi e in alcuni casi i dati su emittenti specifici, delle tematiche ESG o le esclusioni di cui sopra potrebbero non essere disponibili e/o essere stimati dal Consulente per gli Investimenti utilizzando metodologie interne o stime ragionevoli. Anche le metodologie utilizzate dai diversi fornitori di dati possono variare e portare a punteggi diversi.
Al fine di incrementare il rendimento e/o come parte della strategia di investimento, il Comparto potrà investire in derivati (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) come opzioni, contratti a termine (future), swap e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini dell’investimento e della gestione efficiente del portafoglio (compresa la copertura).
Il Comparto non investirà in titoli che, alla data dell’acquisto, siano classificati con un rating inferiore a B- (ovvero a BBB- nel caso di titoli obbligazionari cartolarizzati, ivi inclusi titoli garantiti da ipoteche) da parte della Standard & Poor’s Corporation (“S&P”), ovvero a una classificazione equivalente da parte di un’altra agenzia di rating ovvero a una classificazione interna analoga da parte del Consulente per gli Investimenti. Nel caso in cui qualsiasi titolo detenuto dal Comparto venga successivamente declassato a un
rating inferiore a B- (ovvero a BBB- nel caso di titoli obbligazionari cartolarizzati, ivi inclusi i titoli garantiti da ipoteche), il Consulente per gli Investimenti può mantenere un’esposizione complessiva massima del 3% del Valore Patrimoniale Netto del Comparto in tali titoli declassati ma disinvestirà ogni titolo il cui rating non sia stato rialzato ad almeno B- entro sei mesi dall’abbassamento del rating.
Il Comparto può investire, in via accessoria, in:
- Titoli a Reddito Fisso non denominati in Dollari statunitensi. In conformità all’“Appendice A” del Prospetto – “Poteri e limiti di investimento” l’esposizione in valute diverse dal Dollaro statunitense potrà essere coperta riconducendola al Dollaro statunitense;
- Titoli a Reddito Fisso che non siano Obbligazioni Societarie.

Il Comparto può investire in misura non superiore al 20% delle sue attività in titoli garantiti e titoli garantiti da ipoteca.
Il Comparto può investire in misura limitata in quote/azioni di altri organismi di investimento collettivo, inclusi i Comparti della Società ed ETF aperti, nella misura in cui un ETF sia un investimento ammissibile per gli OICVM.
Il Comparto è gestito attivamente e non è concepito per seguire un benchmark. La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento dello US Dollar Corporate Bond Fund, questo comparto può essere adatto ad investitori che:
- Intendono investire in Titoli a Reddito Fisso.
- Ricercano un apprezzamento del capitale a medio termine.
- Ricercano un reddito sotto forma di apprezzamento di capitale o di distribuzioni dei proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

US DOLLAR HIGH YIELD BOND FUND
L’obiettivo di investimento dello US Dollar High Yield Bond Fund è di offrire un interessante tasso di rendimento totale, denominato in Dollari statunitensi. Il Comparto cercherà di raggiungere il suo obiettivo di investimento investendo principalmente in Titoli a Reddito Fisso ad alto rendimento e non classificati denominati in Dollari statunitensi, compresi a titolo esemplificativo quelli emessi da governi, agenzie e società con sede nei paesi emergenti e al fine di evitare dubbi, e nella misura prevista dalla legge applicabile, i titoli cartolarizzati e i titoli di partecipazione a finanziamenti e cessioni di crediti, nella misura in cui essi siano cartolarizzati.
Il Consulente per gli Investimenti applica dei metodi di classificazione e dei coefficienti di propria concezione che sono specifici per i Titoli a Reddito Fisso in cui il Comparto può investire e si concentrano su emittenti societari, sovrani e veicoli di cartolarizzazioni. Inoltre, come parte del proprio processo di ricerca di tipo bottom-up basata sui fondamentali, e nelle verifiche con gli emittenti, il Consulente per gli Investimenti incorpora una valutazione dei rischi e delle opportunità legati alla sostenibilità nel processo di valutazione per determinare gli impatti sui fondamentali del credito, le implicazioni per la valutazione e gli spread, e qualsiasi aspetto sostanziale che possa influenzare le tecniche di negoziazione dei Titoli a Reddito Fisso. Questi criteri possono ricomprendere, a titolo non esaustivo, delle tematiche ESG come la decarbonizzazione e il rischio climatico, l’economia circolare e la riduzione dei rifiuti, l’inclusività e il rispetto delle diversità nelle attività, il lavoro dignitoso e la solidità dell’occupazione. Il Consulente per gli Investimenti utilizza anche un quadro di valutazione di propria concezione per le obbligazioni definite come sostenibili, attraverso il quale vengono valutati la solidità, l’impatto e la trasparenza di tali strumenti.
Gli investimenti non potranno ricomprendere consapevolmente qualsiasi società la cui attività commerciale riguardi i seguenti settori:
- fabbricazione o produzione di armi controverse;
- fabbricazione o produzione di armi da fuoco civili; e
- fabbricazione o produzione di tabacco.

Per quanto riguarda specificatamente le attività legate ai combustibili fossili, il Consulente per gli Investimenti può confrontarsi con gli amministratori delle società sui temi della decarbonizzazione e del rischio climatico, nonché sulle pratiche di governance societaria e su quelle che ritiene essere altre questioni ambientali e/o sociali di notevole importanza per una società. Gli investimenti non potranno ricomprendere consapevolmente qualsiasi società la cui attività
commerciale comporta l’estrazione di carbone termico, qualora la stessa società ottenga più del 5% dei propri ricavi da questa attività commerciale.
Come eccezione a quanto precede, il Comparto può investire in obbligazioni definite come sostenibili, o in altri titoli di debito emessi per raccogliere capitali specificamente per progetti ambientali o legati al clima, emessi da entità che sarebbero altrimenti soggette alla suddetta esclusione dei combustibili fossili, nella misura in cui sia stato indicato che gli obiettivi di tali strumenti sono coerenti con una riduzione delle emissioni di carbonio dell’emittente. Gli investimenti in tali strumenti saranno soggetti a verifiche da parte del Consulente per gli Investimenti.
Oltre alle esclusioni settoriali di cui sopra, il Consulente per gli Investimenti verifica costantemente le pratiche commerciali attraverso i dati sulle controversie ESG ed il controllo degli standard provenienti da fornitori terzi. Il Consulente per gli Investimenti prenderà in considerazione i casi di controversia che considera molto gravi in base alle valutazioni dei competenti fornitori di dati ESG, nonché le violazioni del Global Compact delle Nazioni Unite o dei principi fondamentali dell’Ufficio Internazionale del Lavoro, anche se tali eventi non comporteranno automaticamente l’esclusione dal portafoglio.
In aggiunta a quanto precede, il Consulente per gli Investimenti può, a propria discrezione, scegliere di applicare nel tempo ulteriori restrizioni agli investimenti legati all’ESG che ritiene coerenti con i suoi obiettivi di investimento. Tali ulteriori restrizioni saranno rese note ogni volta che vengano attuate su www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im.
Gli investimenti detenuti dal Comparto che a seguito dell’applicazione dei criteri ESG diventino non ammissibili dopo essere stati acquisiti per il Comparto saranno venduti. Tali vendite saranno disposte con tempistiche determinate dal Consulente per gli Investimenti, tenendo conto in primo luogo degli interessi degli Azionisti del Comparto. Il Consulente per gli Investimenti utilizza dati di terzi e in alcuni casi i dati su emittenti specifici, delle tematiche ESG o le esclusioni di cui sopra potrebbero non essere disponibili e/o essere stimati dal Consulente per gli Investimenti utilizzando metodologie interne o stime ragionevoli. Anche le metodologie utilizzate dai diversi fornitori di dati possono variare e portare a punteggi diversi.
Al fine di incrementare il rendimento e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) utilizzare opzioni, contratti a termine (future) e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini di investimento e della gestione efficiente del portafoglio (compresa la copertura).
Per Titoli a Reddito Fisso ad alto rendimento si intendono i Titoli a Reddito Fisso con rating inferiore a “BBB-” da S&P, o “Baa3”, da Moody’s, ovvero classificati in modo analogo da altra agenzia di “rating” riconosciuta a livello internazionale o con credito ritenuto di qualità analoga da parte del Consulente per gli Investimenti.
Il Comparto, in via accessoria, potrà investire in Titoli a Reddito Fisso di più alta qualità e Titoli a Reddito Fisso non denominati in Dollari statunitensi.
Il Comparto non può investire più del 20% delle sue attività in Strumenti Convertibili Speciali.
Il Comparto può investire in misura limitata in quote/azioni di altri organismi di investimento collettivo, inclusi i Comparti della Società ed ETF aperti, nella misura in cui un ETF sia un investimento ammissibile per gli OICVM.
Il Comparto è gestito attivamente e non è concepito per seguire un benchmark. La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento dello US Dollar High Yield Bond Fund, questo comparto può essere adatto ad investitori che:
- Intendono investire in Titoli a Reddito Fisso.
- Ricercano un apprezzamento del capitale a medio termine.
- Ricercano un reddito sotto forma di apprezzamento di capitale o di distribuzioni dei proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

US DOLLAR SHORT DURATION BOND FUND
L’obiettivo di investimento dello US Dollar Short Duration Bond Fund è di offrire un interessante tasso di rendimento, denominato in Dollari statunitensi. Il Comparto cercherà di raggiungere il suo obiettivo di investimento investendo principalmente in Titoli a
Reddito Fisso di alta qualità denominati in Dollari statunitensi, e al fine di evitare dubbi, in attività garantite da ipoteche (compresi titoli garantiti da ipoteca). La duration media ponderata del Comparto sarà normalmente inferiore a un anno, sebbene essa potrà essere più alta in alcune condizioni di mercato.
Il Consulente per gli Investimenti applica dei metodi di classificazione e dei coefficienti di propria concezione che sono specifici per i Titoli a Reddito Fisso in cui il Comparto può investire e si concentrano su emittenti societari, sovrani e veicoli di cartolarizzazioni. Inoltre, come parte del proprio processo di ricerca di tipo bottom-up basata sui fondamentali, e nelle verifiche con gli emittenti, il Consulente per gli Investimenti incorpora una valutazione dei rischi e delle opportunità legati alla sostenibilità nel processo di valutazione per determinare gli impatti sui fondamentali del credito, le implicazioni per la valutazione e gli spread, e qualsiasi aspetto sostanziale che possa influenzare le tecniche di negoziazione dei Titoli a Reddito Fisso. Questi criteri possono ricomprendere, a titolo non esaustivo, delle tematiche ESG come la decarbonizzazione e il rischio climatico, l’economia circolare e la riduzione dei rifiuti, l’inclusività e il rispetto delle diversità nelle attività, il lavoro dignitoso e la solidità dell’occupazione. Il Consulente per gli Investimenti utilizza anche un quadro di valutazione di propria concezione per le obbligazioni definite come sostenibili, attraverso il quale vengono valutati la solidità, l’impatto e la trasparenza di tali strumenti.
Gli investimenti non potranno ricomprendere consapevolmente qualsiasi società la cui attività commerciale riguardi i seguenti settori:
- fabbricazione o produzione di armi controverse;
- fabbricazione o produzione di armi da fuoco civili; e
- fabbricazione o produzione di tabacco.

Per quanto riguarda specificatamente le attività legate ai combustibili fossili, il Consulente per gli Investimenti può confrontarsi con gli amministratori delle società sui temi della decarbonizzazione e del rischio climatico, nonché sulle pratiche di governance societaria e su quelle che ritiene essere altre questioni ambientali e/o sociali di notevole importanza per una società. Gli investimenti non potranno ricomprendere consapevolmente qualsiasi società la cui attività commerciale comporta l’estrazione di carbone termico, qualora la stessa società ottenga più del 5% dei propri ricavi da questa attività commerciale.
Come eccezione a quanto precede, il Comparto può investire in obbligazioni definite come sostenibili, o in altri titoli di debito emessi per raccogliere capitali specificamente per progetti ambientali o legati al clima, emessi da entità che sarebbero altrimenti soggette alla suddetta esclusione dei combustibili fossili, nella misura in cui
sia stato indicato che gli obiettivi di tali strumenti sono coerenti con una riduzione delle emissioni di carbonio dell’emittente. Gli investimenti in tali strumenti saranno soggetti a verifiche da parte del Consulente per gli Investimenti.
Oltre alle esclusioni settoriali di cui sopra, il Consulente per gli Investimenti verifica costantemente le pratiche commerciali attraverso i dati sulle controversie ESG ed il controllo degli standard provenienti da fornitori terzi. Il Consulente per gli Investimenti prenderà in considerazione i casi di controversia che considera molto gravi in base alle valutazioni dei competenti fornitori di dati ESG, nonché le violazioni del Global Compact delle Nazioni Unite o dei principi fondamentali dell’Ufficio Internazionale del Lavoro, anche se tali eventi non comporteranno automaticamente l’esclusione dal portafoglio.
In aggiunta a quanto precede, il Consulente per gli Investimenti può, a propria discrezione, scegliere di applicare nel tempo ulteriori restrizioni agli investimenti legati all’ESG che ritiene coerenti con i suoi obiettivi di investimento. Tali ulteriori restrizioni saranno rese note ogni volta che vengano attuate su www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im.
Gli investimenti detenuti dal Comparto che a seguito dell’applicazione dei criteri ESG diventino non ammissibili dopo essere stati acquisiti per il Comparto saranno venduti. Tali vendite saranno disposte con tempistiche determinate dal Consulente per gli Investimenti, tenendo conto in primo luogo degli interessi degli Azionisti del Comparto. Il Consulente per gli Investimenti utilizza dati di terzi e in alcuni casi i dati su emittenti specifici, delle tematiche ESG o le esclusioni di cui sopra potrebbero non essere disponibili e/o essere stimati dal Consulente per gli Investimenti utilizzando metodologie interne o stime ragionevoli. Anche le metodologie utilizzate dai diversi fornitori di dati possono variare e portare a punteggi diversi.
Al fine di incrementare il rendimento e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) utilizzare opzioni, contratti a termine (future) e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini di investimento e della gestione efficiente del portafoglio (compresa la copertura).
I titoli saranno ritenuti essere di qualità alta se al momento dell’acquisto essi sono classificati come “BBB-” o con rating superiore da Stardard & Poor’s Corporation (“S&P”), o come “Baa3” o con rating superiore da Moody’s Investors Service (“Moody’s”), ovvero se sono classificate in modo analogo da altra agenzia di “rating” riconosciuta a livello internazionale o se il loro credito è considerato di qualità analoga da parte del Consulente per
gli Investimenti. Il Comparto potrà continuare a detenere investimenti in tali titoli anche se declassati dopo l’acquisto, ma non potrà effettuare ulteriori acquisti degli stessi.
Il Comparto può investire in misura limitata in quote/azioni di altri organismi di investimento collettivo, inclusi i Comparti della Società ed ETF aperti, nella misura in cui un ETF sia un investimento ammissibile per gli OICVM.
Il Comparto è gestito attivamente e non è concepito per seguire un benchmark. La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento dello US Dollar Short Duration Bond Fund, questo comparto può essere adatto ad investitori che:
- Intendono investire in Titoli a Reddito Fisso.
- Ricercano un apprezzamento del capitale a breve termine.
- Ricercano un reddito sotto forma di apprezzamento di capitale o di distribuzioni dei proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

US DOLLAR SHORT DURATION HIGH YIELD BOND FUND
L’obiettivo di investimento dello US Dollar Short Duration High Yield Bond Fund è di offrire un interessante tasso di rendimento totale, denominato in Dollari statunitensi. Il Comparto cercherà di raggiungere il suo obiettivo di investimento investendo principalmente in Titoli a Reddito Fisso ad alto rendimento e non classificati denominati in Dollari statunitensi, compresi a titolo esemplificativo i titoli emessi da governi, agenzie e società con sede in paesi emergenti e al fine di evitare dubbi, e nella misura prevista dalla legge applicabile, i titoli cartolarizzati, i titoli di partecipazione a finanziamenti e cessioni di crediti, nella misura in cui essi siano cartolarizzati.
Il Consulente per gli Investimenti applica dei metodi di classificazione e dei coefficienti di propria concezione che sono specifici per i Titoli a Reddito Fisso in cui il Comparto può investire e si concentrano su emittenti societari, sovrani e veicoli di cartolarizzazioni. Inoltre, come parte del proprio processo di ricerca di tipo bottom-up basata sui fondamentali, e nelle verifiche con gli emittenti, il Consulente per gli Investimenti incorpora una valutazione dei rischi e delle opportunità legati alla sostenibilità nel processo di valutazione per determinare gli impatti sui fondamentali del credito, le implicazioni per la valutazione e gli spread, e qualsiasi aspetto sostanziale che possa influenzare le tecniche di negoziazione dei Titoli a Reddito Fisso. Questi criteri possono ricomprendere, a titolo non esaustivo, delle tematiche ESG come la decarbonizzazione e il rischio climatico, l’economia circolare e la riduzione dei rifiuti, l’inclusività e il rispetto delle diversità nelle attività, il lavoro dignitoso e la solidità dell’occupazione. Il Consulente per gli Investimenti utilizza anche un quadro di valutazione di propria concezione per le obbligazioni definite come sostenibili, attraverso il quale vengono valutati la solidità, l’impatto e la trasparenza di tali strumenti.
Gli investimenti non potranno ricomprendere consapevolmente qualsiasi società la cui attività commerciale riguardi i seguenti settori:
- fabbricazione o produzione di armi controverse;
- fabbricazione o produzione di armi da fuoco civili; e
- fabbricazione o produzione di tabacco.

Per quanto riguarda specificatamente le attività legate ai combustibili fossili, il Consulente per gli Investimenti può confrontarsi con gli amministratori delle società sui temi della decarbonizzazione e del rischio climatico, nonché sulle pratiche di governance societaria e su quelle che ritiene essere altre questioni ambientali e/o sociali di notevole importanza per una società. Gli investimenti non potranno ricomprendere consapevolmente qualsiasi società la cui attività commerciale comporta l’estrazione di carbone termico, qualora la stessa società ottenga più del 5% dei propri ricavi da questa attività commerciale.
Come eccezione a quanto precede, il Comparto può investire in obbligazioni definite come sostenibili, o in altri titoli di debito emessi per raccogliere capitali specificamente per progetti ambientali o legati al clima, emessi da soggetti che sarebbero altrimenti soggetti alla suddetta esclusione dei combustibili fossili, nella misura in cui sia stato indicato che gli obiettivi di tali strumenti sono coerenti con una riduzione delle emissioni di carbonio dell’emittente. Gli investimenti in tali strumenti saranno soggetti a verifiche da parte del Consulente per gli Investimenti.
Oltre alle esclusioni settoriali di cui sopra, il Consulente per gli Investimenti verifica costantemente le pratiche commerciali attraverso i dati sulle controversie ESG ed il controllo degli standard provenienti da fornitori terzi. Il Consulente per gli Investimenti prenderà in considerazione i casi di controversia che considera molto gravi in base alle valutazioni dei competenti fornitori di dati ESG, nonché le violazioni del Global Compact delle Nazioni Unite o dei principi fondamentali dell’Ufficio Internazionale del Lavoro, anche se tali eventi non comporteranno automaticamente l’esclusione dal portafoglio.
In aggiunta a quanto precede, il Consulente per gli Investimenti può, a propria discrezione, scegliere di applicare nel tempo ulteriori restrizioni agli investimenti legati all’ESG che ritiene coerenti con i suoi obiettivi di investimento. Tali ulteriori restrizioni saranno rese note ogni volta che vengano attuate su www.morganstanleyinvestmentfunds.com e su www.morganstanley.com/im.
Gli investimenti detenuti dal Comparto che a seguito dell’applicazione dei criteri ESG diventino non ammissibili dopo essere stati acquisiti per il Comparto saranno venduti. Tali vendite saranno disposte con tempistiche determinate dal Consulente per gli Investimenti, tenendo conto in primo luogo degli interessi degli Azionisti del Comparto. Il Consulente per gli Investimenti utilizza dati di terzi e in alcuni casi i dati su emittenti specifici, delle tematiche ESG o le esclusioni di cui sopra potrebbero non essere disponibili e/o essere stimati dal Consulente per gli Investimenti utilizzando metodologie interne o stime ragionevoli. Anche le metodologie utilizzate dai diversi fornitori di dati possono variare e portare a punteggi diversi.
Al fine di incrementare il rendimento e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) utilizzare opzioni, contratti a termine (future) e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini di investimento e della gestione efficiente del portafoglio (compresa la copertura).
La duration media ponderata del Comparto sarà normalmente inferiore ai tre anni, sebbene essa potrà essere più alta in alcune condizioni di mercato.
Per Titoli a Reddito Fisso ad Alto Rendimento si intendono i Titoli a Reddito Fisso con rating inferiore a “BBB-” da S&P, o “Baa3”, da Moody’s, ovvero classificati in modo analogo da altra agenzia di “rating” riconosciuta a livello internazionale o con credito ritenuto di qualità analoga da parte del Consulente per gli Investimenti.
Il Comparto, in via accessoria, potrà investire in:
- Titoli a Reddito Fisso di qualità più alta rispetto ai Titoli a Reddito Fisso ad alto rendimento; e
- Titoli a Reddito Fisso non denominati in Dollari statunitensi.

Il Comparto può investire in misura limitata in quote/azioni di altri organismi di investimento collettivo, inclusi i Comparti della Società ed ETF aperti, nella misura in cui un ETF sia un investimento ammissibile per gli OICVM. Il Comparto non può investire più del 20% delle sue attività in Strumenti Convertibili Speciali.
Il Comparto è gestito attivamente e non è concepito per seguire un benchmark. La performance del Comparto è misurata rispetto a un benchmark, come descritto nel documento contenente le informazioni chiave per gli investitori del Comparto.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento dello US Dollar Short Duration High Yield Bond Fund, questo comparto può essere adatto ad investitori che:
- Intendono investire in Titoli a Reddito Fisso.
- Ricercano un apprezzamento del capitale a medio termine.
- Ricercano un reddito sotto forma di apprezzamento di capitale o di distribuzioni dei proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

COMPARTI BILANCIATI
I Comparti Bilanciati riportati qui di seguito hanno i seguenti obiettivi:
GLOBAL BALANCED DEFENSIVE FUND
L’obiettivo di investimento del Global Balanced Defensive Fund è di fornire un interessante livello di rendimento totale, denominato in Euro, mediante investimenti principalmente in un portafoglio di valori mobiliari e strumenti del mercato monetario su base globale
e mediante l’uso di strumenti finanziari derivati. Il Comparto è gestito all’interno di un quadro chiaramente definito e con il rischio controllato, gestendo attivamente il rischio totale del portafoglio e gestendo il livello di volatilità del portafoglio in linea con una volatilità target predefinita, che deve essere al di sotto di quella del Global Balanced Fund. Il Consulente per gli Investimenti regola dinamicamente il posizionamento del portafoglio con una combinazione equilibrata di titoli azionari, a reddito fisso, Attività Equivalenti alla Liquidità e titoli legati alle materie prime, con l’obiettivo di mantenere un profilo di rischio stabile utilizzando un approccio ex-ante.
Il Comparto adotterà tattiche di tipo top-down su classi di attività globali attraverso 1) azioni compresi i Real Estate Investment Trust (REITS) chiusi; 2) Titoli a Reddito Fisso; e 3) Attività Equivalenti alla Liquidità.
La strategia del Consulente per gli Investimenti sarà realizzata attraverso l’accesso all’universo di investimento di seguito descritto:
- Investimenti principali: titoli azionari, compresi i Real Estate Investment Trust (REITS) chiusi; Titoli a Reddito Fisso (compresi titoli investment grade; non-investment grade e non classificati); Attività Equivalenti alla Liquidità. Tale investimento può essere diretto, o via derivati. Il Comparto può investire in strumenti finanziari derivati per raggiungere il suo obiettivo di investimento e i derivati possono essere usati sia per investimento che ai fini di copertura. Tali strumenti derivati possono comprendere in via esemplificativa future, opzioni, warrant, contratti differenziali, contratti a termine su strumenti finanziari ed opzioni su tali contratti, strumenti legati al credito e contratti swap, negoziati sia in borsa che fuori borsa.
- Investimenti accessori: altri valori mobiliari o, in quantità limitata, OIC compresi i Comparti della Società e ETF, nonché Azioni A cinesi via Stock Connect. Il Comparto può investire fino al 10% delle sue attività nette in Azioni A cinesi via Stock Connect.

Il Consulente per gli Investimenti anticipa che userà prevalentemente le seguenti strategie di investimento:
- Allocazione globale delle attività: investendo in titoli in linea con i singoli indici delle classi di attività. Il Consulente per gli Investimenti selezionerà gli indici che saranno utilizzati per attuare le strategie globali attraverso 1) titoli azionari compresi i Real Estate Investment Trust (REITS); 2) Titoli a Reddito Fisso; e 3) Attività Equivalenti alla Liquidità. Il Consulente per gli Investimenti può usare derivati negoziati sia su borsa che fuori borsa come future o swap per ottenere un’esposizione diversificata e/o più efficiente a mercati globali specifici se a causa delle dimensioni dell’allocazione voluta o delle inefficienze del trattare direttamente nei titoli sottostanti, l’investimento viaderivati è un’opzione di investimento preferibile secondo l’opinione del Consulente per gli Investimenti.
- Screening ESG: inoltre, il Consulente per gli Investimenti può considerare i fattori ESG su base bottom-up; nell’investire direttamente in valori mobiliari, il Consulente per gli Investimenti può considerare il relativo ranking degli emittenti per i fattori ESG come parte della verifica del potenziale di rendimento e come parte della gestione del rischio totale di portafoglio.

Il Consulente per gli Investimenti può utilizzare ulteriori strategie di investimento come:
- Investimenti collegati a merci: il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) adottare strategie su merci via exchange traded commodities (ETC) e/o note collegate a merci.
- Uso di derivati per la gestione efficiente del portafoglio: il Comparto e potrà anche investire in Attività Equivalenti alla Liquidità, warrants, opzioni, e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini della gestione efficiente del portafoglio (compresa la copertura) così come ai fini dell’investimento come sopra illustrato. Gli investimenti del Comparto potranno comportare un’esposizione sui mercati emergenti e su titoli con rendimenti più alti.

Il Comparto è gestito attivamente e la composizione del suo portafoglio non è vincolata rispetto ad alcun benchmark.
Informativa prevista dal Regolamento sulla Tassonomia
Gli investimenti sottostanti il Comparto non tengono conto dei criteri dell’UE per le attività ecosostenibili.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento del Global Balanced Defensive Fund, questo comparto può essere adatto ad investitori che:
- Ricercano un apprezzamento del capitale a medio termine;
- Ricercano un investimento bilanciato concentrato su quelle classi di attività che il Consulente per gli Investimenti ritiene essere tatticamente più interessanti;
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

GLOBAL BALANCED FUND
L’obiettivo di investimento del Global Balanced Fund è di fornire un attraente livello di rendimento totale, denominato in Euro, mediante investimenti in una combinazione ampia e bilanciata di azioni e Titoli a Reddito Fisso, tenendo anche conto delle tematiche ESG. Il Comparto è gestito all’interno di un quadro chiaramente definito e con il rischio controllato, gestendo attivamente il rischio totale del portafoglio e gestendo il livello di volatilità del portafoglio in linea con una volatilità target predefinita. Il Consulente per gli Investimenti regola dinamicamente il posizionamento del portafoglio con una combinazione equilibrata di titoli azionari, a reddito fisso, Attività Equivalenti alla Liquidità e titoli legati alle materie prime, con l’obiettivo di mantenere un profilo di rischio stabile utilizzando un approccio ex-ante.
Il Consulente per gli Investimenti adotterà un approcciodi tipo top-down flessibile per individuare le opportunità di investimento nell’ambito dell’universo degli investimenti consentiti.
I criteri di sostenibilità sono tenuti in considerazione dal Consulente per gli Investimenti sia nella fase della ricerca che in quella dell’investimento per limitare l’esposizione al Rischio di Sostenibilità e cercare opportunità di investimento. Questi criteri possono comprendere, a titolo non esaustivo, le variazioni climatiche, le emissioni di anidride carbonica, la scarsità di risorse idriche, il trattamento dei rifiuti, la biodiversità, le tematiche del lavoro, la diversità di genere, la salute e la sicurezza, la sicurezza dei prodotti, la riservatezza e la sicurezza dei dati, le remunerazioni dei dirigenti, l’indipendenza degli organi sociali, i diritti degli azionisti e la corruzione e concussione.
In relazione a questo Comparto, “Sustainable” (“Sostenibile”) significa che il Consulente per gli Investimenti integra a propria discrezione le considerazioni ESG nel proprio processo decisionale relativo agli investimenti, come ulteriormente esplicitato più sotto. Il Consulente per gli Investimenti può confrontarsi con gli amministratori delle società in relazione alle pratiche di governance societaria, nonché su quelle che il Consulente reputi essere delle questioni ambientali e/o sociali di notevole importanza per una società per assicurare che le società in cui si investe seguano delle buone pratiche di governance.
Il Consulente per gli Investimenti non inserirà consapevolmente le seguenti società fra quelle che costituiscono l’universo di investimento:
- associate a gravi controversie in materia ESG;
- con coinvolgimenti nelle armi controverse (comprese armi per uso civile);
- con attività nel gioco d’azzardo;
- associate al tabacco;
- con proventi derivanti dal carbone termico e dalle sabbie bituminose.

Informazioni dettagliate sulle esclusioni di cui sopra possono essere reperite nella politica di esclusione del Comparto, disponibile nel sito della Società (www.morganstanleyinvestmentfunds.com e in www.morganstanley.com/im). Le esclusioni (che comprendono, a titolo non esaustivo, quelle sopra indicate) sono stabilite dal Consulente per gli Investimenti utilizzando le proprie analisi e non quelle di terzi. Tuttavia, queste analisi possono appoggiarsi su ricerche di terzi per quanto riguarda le controversie ESG ed il coinvolgimento in talune attività. I criteri di esclusione si applicano a tutti gli investimenti diretti del Comparto. I criteri di esclusione non si applicheranno agli investimenti in cui il Consulente per gli Investimenti non ha il controllo diretto delle attività sottostanti, per esempio organismi di investimento collettivo o ETF aperti. I criteri di esclusione sono soggetti a verifica periodica ed ogni variazione sarà riflessa nel documento sulle politiche di esclusione.
Gli investimenti detenuti dal Comparto che cessino di essere ammissibili dopo la loro acquisizione per il Comparto saranno venduti. Tale vendita avrà luogo con le tempistiche fissate dal Consulente per gli Investimenti tenendo conto degli interessi degli Azionisti del Comparto.
Il Consulente per gli Investimenti integrerà i dati ESG, compresi rating e punteggi, di soggetti terzi in occasione della costruzione di panieri di titoli per attuare gli orientamenti sulla classe di attivi, e ciò sarà soggetto a tracking error e altri vincoli. Il Consulente per gli Investimenti utilizza dati e punteggi ESG di terzi e in alcuni casi i dati su emittenti specifici, le tematiche ESG o le esclusioni di cui sopra potrebbero non essere disponibili e/o essere stimati dal Consulente per gli Investimenti utilizzando metodologie interne o stime ragionevoli. Anche le metodologie utilizzate dai diversi fornitori di dati possono variare e portare a punteggi diversi.
Il Consulente per gli Investimenti orienta il portafoglio del Comparto verso titoli con elevate caratteristiche ESG, ed intende migliorare il rendimento combinato ESG del Comparto rispetto a quello dell’indice azionario sottostante. Inoltre, il Consulente per gli Investimenti tratterà i cambiamenti climatici separatamente, applicando inoltre dei distinti coefficienti relativi al cambiamento climatico quando orienterà gli investimenti del Comparto.
Per tutti gli undici settori GICS (Global Industry Classification Standard) di ciascun mercato azionario regionale, il Consulente per gli Investimenti crea dei panieri separati che vengono orientati verso il quartile migliore per quanto riguarda l’ESG e le società migliori in termini di transizione verso ridotte emissioni di carbonio.
L’universo di investimento principale del Comparto include titoli azionari, compresi i Real Estate Investment Trust (REITS) chiusi; Titoli a Reddito Fisso (compresi titoli investment grade; non- investment grade e non classificati); Attività Equivalenti alla Liquidità. Tale investimento può essere diretto, o via derivati. Il Comparto può investire in strumenti finanziari derivati sia per investimento che ai fini di copertura. Tali strumenti derivati possono comprendere in via esemplificativa future, opzioni, warrant, contratti differenziali, contratti a termine su strumenti finanziari ed opzioni su tali contratti, strumenti legati al credito e contratti swap, negoziati sia in borsa che fuori borsa.
Gli investimenti accessori del Comparto possono ricomprendere, in quantità limitata, quote/azioni di altri OIC compresi i Comparti della Società e ETF aperti, a condizione che siano investimenti ammissibili per gli OICVM. Il Comparto può investire fino al 10% delle sue attività nette in Azioni A cinesi via Stock Connect.
Il Consulente per gli Investimenti può utilizzare ulteriori strategie di investimento come investimenti collegati a merci che hanno le caratteristiche di “valori mobiliari” a senso dell’articolo 1(34) della Legge del 2010 e dell’articolo 2 del Regolamento Granducale dell’8 febbraio 2008. Il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) adottare strategie su merci via exchange traded commodities (ETC) e/o note collegate a merci.
Il Comparto potrà anche investire in Attività Equivalenti alla Liquidità, warrants, opzioni, e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini della gestione efficiente del portafoglio (compresa la copertura) così come ai fini dell’investimento come sopra illustrato.
Gli investimenti del Comparto potranno comportare un’esposizione sui mercati emergenti e su titoli con rendimenti più alti.
Il Comparto è gestito attivamente e la composizione del suo portafoglio non è vincolata rispetto ad alcun benchmark.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento del Global Balanced Fund, questo comparto può essere adatto ad investitori che:
- Ricercano un apprezzamento del capitale a medio termine.
- Ricercano un investimento bilanciato concentrato su quelle classi di attività che il Consulente per gli Investimenti ritiene essere tatticamente più interessanti.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

GLOBAL BALANCED INCOME FUND
L’obiettivo di investimento del Global Balanced Income Fund è di fornire un rendimento regolare e aumento del capitale, denominato in Euro, mediante investimenti principalmente in un portafoglio di valori mobiliari e strumenti del mercato monetario su base globale e mediante l’uso di strumenti finanziari derivati. Il Comparto è gestito all’interno di un quadro chiaramente definito e con il rischio controllato, gestendo attivamente il rischio totale del portafoglio e gestendo il livello di volatilità del portafoglio in linea con una volatilità target predefinita. Il Consulente per gli Investimenti regola dinamicamente il posizionamento del portafoglio con una combinazione equilibrata di titoli azionari, a reddito fisso, Attività Equivalenti alla Liquidità e titoli legati alle materie prime, con l’obiettivo di mantenere un profilo di rischio stabile utilizzando un approccio ex-ante.
Il Comparto adotterà tattiche di tipo top-down su classi di attività globali attraverso 1) azioni compresi i Real Estate Investment Trust (REITS) chiusi; 2) Titoli a Reddito Fisso; e 3) Attività Equivalenti alla Liquidità. La visione tattica del Consulente per gli Investimenti sarà realizzata attraverso l’accesso all’universo di investimento di seguito descritto:
- Investimenti principali: titoli azionari, compresi i Real Estate Investment Trust (REITS) chiusi; Titoli a Reddito Fisso (compresi titoli investment grade; non-investment grade e non classificati; Attività Equivalenti alla Liquidità. Tale investimento può essere diretto, o via derivati. Il Comparto può investire in strumenti finanziari derivati per raggiungere il suo obiettivo di investimento e i derivati possono essere usati sia per investimento che ai fini di copertura. Tali strumenti derivati possono comprendere in via esemplificativa future, opzioni, warrant, contratti differenziali, contratti a termine su strumenti finanziari ed opzioni su tali contratti, strumenti legati al credito e contratti swap, negoziati sia in borsa che fuori borsa.
- Investimenti accessori: altri valori mobiliari o, in quantità limitata, OIC compresi i Comparti della Società e ETF, nonché Azioni A cinesi via Stock Connect. Il Comparto può investirefino al 10% delle sue attività nette in Azioni A cinesi via Stock Connect.

L’investimento in titoli azionari non sarà inferiore al 10% del valore patrimoniale netto del Comparto, né superiore al 90% del valore patrimoniale netto del Comparto.
L’investimento in obbligazioni non “investment grade” non sarà superiore al 30% del valore patrimoniale netto del Comparto.
Il Consulente per gli Investimenti anticipa che userà prevalentemente le seguenti strategie di investimento:
- Allocazione globale delle attività: investendo in titoli in linea con i singoli indici delle classi di attività. Il Consulente per gli Investimenti selezionerà gli indici che saranno utilizzati per attuare le strategie globali attraverso 1) titoli azionari compresi i Real Estate Investment Trust (REITS); 2) Titoli a Reddito Fisso; e 3) Attività Equivalenti alla Liquidità. Il Consulente per gli Investimenti può usare derivati negoziati sia su borsa che fuori borsa come future o swap per ottenere un’esposizione diversificata e/o più efficiente a mercati globali specifici se a causa delle dimensioni dell’allocazione voluta o delle inefficienze del trattare direttamente nei titoli sottostanti, l’investimento via derivati è un’opzione di investimento preferibile secondo l’opinione del Consulente per gli Investimenti.
- Generazione di rendimenti: oltre all’acquisto di valori mobiliari che generano rendimento, ulteriori rendimenti saranno cercati attraverso il ricevimento di premi in conseguenza della sottoscrizione di opzioni negoziate in borsa o fuori borsa, che possono essere sottoscritte su indici; titoli singoli; o valute.

Il Consulente per gli Investimenti può utilizzare ulteriori strategie di investimento come:
- Investimenti collegati a merci: il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) adottare strategie su merci via exchange traded commodities (ETC) e/o note collegate a merci.
- Uso di derivati per la gestione efficiente del portafoglio: il Comparto e potrà anche investire in contante ed equivalente del contante, warrants, opzioni, e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini della gestione efficiente del portafoglio (compresa la copertura) così come ai fini dell’investimento come sopra illustrato.
- Uso di OIC aperti e chiusi, compresi i Comparti della Società e ETF; il Consulente per gli Investimenti userebbe principalmente OIC e ETF per ottenere un’esposizione diversificata e/o più efficiente a mercati globali specifici se a causa delle dimensioni dell’allocazione voluta o delle inefficienze del trattare direttamente nei titoli sottostanti, gli OIC e gli ETF sonoun’opzione di investimento preferibile secondo l’opinione del Consulente per gli Investimenti.

Gli investimenti del Comparto potranno comportare un’esposizione sui mercati emergenti e sui titoli con rendimenti più alti.
Il Comparto è gestito attivamente e la composizione del suo portafoglio non è vincolata rispetto ad alcun benchmark.
Informativa prevista dal Regolamento sulla Tassonomia
Gli investimenti sottostanti il Comparto non tengono conto dei criteri dell’UE per le attività ecosostenibili.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento del Global Balanced Income Fund, questo comparto può essere adatto ad investitori che:
- Ricercano un apprezzamento del capitale a medio termine.
- Ricercano un reddito sotto forma di apprezzamento del capitale oppure di distribuzioni di proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

GLOBAL BALANCED RISK CONTROL FUND OF FUNDS
L’obiettivo di investimento del Global Balanced Risk Control Fund of Funds è di investire in quote/azioni di altri organismi di investimento collettivo al fine di offrire un interessante livello di rendimento totale, denominato in Euro, con una gestione attiva del rischio totale di portafoglio. Il Comparto è gestito all’interno di un quadro chiaramente definito e con il rischio controllato, gestendo attivamente il livello di volatilità in linea con una volatilità target predefinita. Il Consulente per gli Investimenti regola dinamicamente il posizionamento del portafoglio con una combinazione equilibrata di titoli azionari, a reddito fisso, Attività Equivalenti alla Liquidità e titoli legati alle materie prime, con l’obiettivo di mantenere un profilo di rischio stabile utilizzando un approccio ex-ante. Il Comparto adotterà tattiche che riguarderanno il reddito fisso globale e classi di attività azionarie investendo principalmente in organismi di investimento collettivi (“OIC”) compresi i Comparti della Società, ETF, future, fondi di investimento gestiti dal Consulente per gli Investimenti o da sue collegate ed altri organismi di investimento collettivo.
In via accessoria ed al fine di aumentare il rendimento e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) adottare tattiche su merci via exchange traded commodities (ETC) e/o note collegate a merci e potrà investire anche in Attività Equivalenti alla Liquidità, warrants, opzioni, e altri derivati, quotati
in borsa o trattati nel terzo mercato (“over the counter”), ai fini di investimento e della gestione efficiente del portafoglio (compresa la copertura).
Il Comparto può anche investire in via accessoria in titoli azionari, compresi Real Estate Investment Trusts (REITS) chiusi ammissibili, Titoli a Reddito Fisso (compresi titoli investment grade, non- investment grade e non classificati) e Azioni A cinesi tramite Stock Connect. Il Comparto può investire fino al 10% del suo patrimonio netto in Azioni A cinesi tramite Stock Connect.
Gli investimenti del Comparto potranno comportare un’esposizione sui mercati emergenti e su titoli con rendimenti più alti.
Il Comparto è gestito attivamente e la composizione del suo portafoglio non è vincolata rispetto ad alcun benchmark.
Informativa prevista dal Regolamento sulla Tassonomia
Gli investimenti sottostanti il Comparto non tengono conto dei criteri dell’UE per le attività ecosostenibili.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento del Global Balanced Risk Control Fund of Funds, questo comparto può essere adatto ad investitori che:
- Ricercano un apprezzamento del capitale a medio termine.
- Ricercano un reddito sotto forma di apprezzamento di capitale o di distribuzioni dei proventi, come illustrato nel paragrafo “Politica di Distribuzione dei Dividendi”.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

GLOBAL BALANCED SUSTAINABLE FUND
L’obiettivo di investimento del Global Balanced Sustainable Fund Fund è di fornire un interessante livello di rendimento totale, denominato in Euro, mediante investimenti in una combinazione di attività consistente in azioni e Titoli a Reddito Fisso, tenendo anche conto delle tematiche ESG e degli obiettivi a lungo termine di riduzione del riscaldamento globale di cui all’Accordo di Parigi. Il Comparto è gestito all’interno di un quadro chiaramente definito e con il rischio controllato, gestendo attivamente il livello di volatilità in linea con una volatilità target predefinita. Il gestore regola dinamicamente il posizionamento del portafoglio con una combinazione equilibrata di titoli azionari, a reddito fisso, Attività Equivalenti alla Liquidità e titoli legati alle materie prime, con l’obiettivo di mantenere un profilo di rischio stabile utilizzando un approccio ex-ante.
Il Consulente per gli Investimenti adotterà un approccio top-down flessibile per individuare le opportunità di investimento nell’ambito dell’universo degli investimenti consentiti.
I fattori di sostenibilità sono tenuti in considerazione dal Consulente per gli Investimenti sia nella fase della ricerca che in quella dell’investimento per limitare l’esposizione ai Rischi di Sostenibilità e cercare opportunità di investimento. Questi criteri possono comprendere, a titolo non esaustivo, le variazioni climatiche, le emissioni di anidride carbonica, la scarsità di risorse idriche, il trattamento dei rifiuti, la biodiversità, le tematiche del lavoro, la diversità di genere, la salute e la sicurezza, la sicurezza dei prodotti, la riservatezza e la sicurezza dei dati, le remunerazioni dei dirigenti, l’indipendenza degli organi sociali, i diritti degli azionisti e la corruzione e concussione.
In relazione a questo Comparto, “Sustainable” (“Sostenibile”) significa che il Consulente per gli Investimenti integra a propria discrezione le considerazioni ESG nel proprio processo decisionale relativo agli investimenti, come ulteriormente esplicitato più sotto. Il Consulente per gli Investimenti può confrontarsi con gli amministratori delle società in relazione alle pratiche di governance societaria, nonché su quelle che il Consulente reputi essere delle questioni ambientali e/o sociali di notevole importanza per una società per assicurare che le società in cui si investe seguano delle buone pratiche di governance.
Il Consulente per gli Investimenti non inserirà consapevolmente le seguenti società fra quelle che costituiscono l’universo di investimento:
- associate a gravi controversie in materia ESG;
- con coinvolgimenti nelle armi controverse (comprese armi per uso civile);
- con attività nel gioco d’azzardo;
- associate al tabacco;
- con proventi derivanti dal carbone termico e dalle sabbie bituminose.

Informazioni dettagliate sulle esclusioni di cui sopra possono essere reperite nella politica di esclusione del Comparto, disponibile nel sito della Società (www.morganstanleyinvestmentfunds.com e in www.morganstanley.com/im). Le esclusioni (che comprendono, a titolo non esaustivo, quelle sopra indicate) sono stabilite dal Consulente per gli Investimenti utilizzando le proprie analisi e non quelle di terzi. Tuttavia, queste analisi possono appoggiarsi su ricerche di terzi per quanto riguarda le controversie ESG ed il coinvolgimento in talune attività. I criteri di esclusione si applicano a tutti gli investimenti diretti del Comparto. I criteri di esclusione non si applicheranno agli investimenti in cui il Consulente per gli Investimenti non ha il controllo diretto delle attività sottostanti, per
esempio organismi di investimento collettivo o ETF aperti. I criteri di esclusione sono soggetti a verifica periodica ed ogni variazione sarà riflessa nel documento sulle politiche di esclusione.
Gli investimenti detenuti dal Comparto che cessino di essere ammissibili dopo la loro acquisizione per il Comparto saranno venduti. Tale vendita avrà luogo con le tempistiche fissate dal Consulente per gli Investimenti tenendo conto degli interessi degli Azionisti del Comparto.
Il Consulente per gli Investimenti integrerà i punteggi e i rating ESG di soggetti terzi in occasione della costruzione di panieri di titoli per attuare gli orientamenti sulla classe di attivi, e ciò sarà soggetto a tracking error e altri vincoli. Il Consulente per gli Investimenti orienta il portafoglio del Comparto verso titoli con elevate caratteristiche ESG, ed intende migliorare il rendimento combinato ESG del Comparto rispetto a quello dell’indice azionario sottostante. Inoltre, il Consulente per gli Investimenti tratterà i cambiamenti climatici separatamente, applicando inoltre dei distinti coefficienti relativi al cambiamento climatico quando orienterà gli investimenti del Comparto.
Il Comparto terrà conto degli obiettivi a lungo termine di riduzione del riscaldamento globale di cui all’Accordo di aParigi. Per raggiungere questo obiettivo di tipo ambientale, il processo di integrazione del Consulente per gli Investimenti ha due direttrici per gli aspetti climatici: 1) relative ai singoli titoli e 2) relative a settori specifici.
Per quanto riguarda i singoli titoli, il Consulente per gli Investimenti crea dei panieri separati per tutti gli undici settori GICS (Global Industry Classification Standard) di ciascun mercato azionario regionale, che vengono orientati verso il quartile migliore per quanto riguarda l’ESG e le società migliori in termini di transizione verso ridotte emissioni di carbonio. Per quanto riguarda i settori specifici, il Consulente per gli Investimenti consolida i panieri dei settori entro dei limiti relativi alle emissioni di carbonio in linea con un percorso climatico basato su dati scientifici e soggetto a tracking error.
Il Consulente per gli Investimenti allocherà inoltre tra il 5% e il 30% del Comparto su investimenti in attività con un impatto sociale e ambientale positivo e misurabile (sulla base della metodologia del Consulente per gli Investimenti) e con rendimenti finanziari competitivi nel lungo termine. Tali investimenti saranno detenuti direttamente tramite azioni g Titoli a Reddito Fisso, o indirettamente attraverso organismi di investimento collettivo.
I suddetti criteri ESG dovrebbero dar luogo a una riduzione dell’universo investibile (come di seguito descritto) in modo molto impegnativo, e il Consulente per gli Investimenti userà i migliori sforzi per assicurare che almeno il 90% degli emittenti nel portafoglio siano verificati in base a tali tematiche ESG.
Come indicato sopra, il Consulente per gli Investimenti utilizza dati e punteggi ESG di terzi e in alcuni casi i dati su emittenti specifici, le tematiche ESG o le esclusioni di cui sopra potrebbero non essere disponibili e/o essere stimati dal Consulente per gli Investimenti utilizzando metodologie interne o stime ragionevoli. Anche le metodologie utilizzate dai diversi fornitori di dati possono variare e portare a punteggi diversi.
L’universo di investimento Principale del Comparto comprende titoli azionari, compresi i Real Estate Investment Trust (REITS) chiusi idonei, Titoli a Reddito Fisso (compresi titoli investment grade; non-investment grade e non classificati) Attività Equivalenti alla Liquidità. Tali investimenti possono essere diretti, o via derivati. Il Comparto può investire in strumenti finanziari derivati sia per finalità di investimento che di copertura, compresi strumenti finanziari derivati che potrebbero non rispettare i criteri ESG di cui sopra. Tali strumenti derivati possono comprendere in via esemplificativa future, opzioni, warrant, contratti differenziali, contratti a termine su strumenti finanziari ed opzioni su tali contratti, strumenti legati al credito e contratti swap, negoziati sia in borsa che fuori borsa.
L’universo degli investimenti accessori del Comparto comprende in misura limitata quote/azioni di altri organismi di investimento collettivo, compresi i Comparti della Società e gli ETF aperti, a condizione che gli ETF siano investimenti ammissibili per fondi OICVM. Il Comparto può investire fino al 10% delle proprie attività nette in Azioni A cinesi via Stock Connect.
Il Consulente per gli Investimenti può usare ulteriori strategie di investimento come investimenti collegati a Merci che possano essere considerati dei valori mobiliari ai sensi dell’articolo 1(34) della Legge del 2010 e dell’articolo 2 del Regolamento Granducale dell’8 febbraio 2008. Il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) adottare delle visioni tattiche su merci per mezzo di exchange traded commodities (ETC) e/o strumenti collegati a merci.
Ai fini della gestione efficiente del portafoglio (compresa la copertura) nonché per i fini di investimento sopra indicati, il Comparto potrà anche investire in Attività Equivalenti alla Liquidità, warrants, opzioni, e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”).
Gli investimenti del Comparto possono dar luogo ad una esposizione ai mercati emergent ed ai titoli con rendimenti più alti.
Il Comparto è gestito attivamente e la composizione del suo portafoglio non è vincolata rispetto ad alcun benchmark.
Informativa prevista dal Regolamento sulla Tassonomia
Alla luce del Regolamento sulla Tassonomia, si richiama l’attenzione degli investitori sul fatto che il principio “Non arrecare un danno significativo” non si applica a nessuno degli investimenti del Comparto, poiché gli investimenti sottostanti allo stesso non tengono conto dei criteri UE per le attività economiche ecosostenibili nel significato di cui al Regolamento sulla Tassonomia. Pertanto, l’allineamento del Comparto con il Regolamento sulla Tassonomia è pari allo 0%.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento del Global Balanced Sustainable Fund, questo Comparto può essere adatto a investitori che:
- Ricercano un apprezzamento del capitale a medio termine.
- Ricercano un investimento bilanciato concentrato su quelle classi di attività che il Consulente per gli Investimenti ritiene essere tatticamente più interessanti.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

GLOBAL MULTI-ASSET OPPORTUNITIES FUND
L’obiettivo di investimento del Global Multi-Asset Opportunities Fund è di fornire un rendimento assoluto, denominato in Euro, unitamente alla gestione attiva del rischio totale di portafoglio. Il Consulente per gli Investimenti cerca di gestire il rischio di ribasso e di puntare a una volatilità al di sotto di quella di mercato.
Il Comparto cercherà di raggiungere il proprio obiettivo di investimento investendo in panieri di azioni, ETF, obbligazioni e derivati.
Il Comparto può assumere posizioni sia lunghe che corte, sia direttamente o (specificatamente nel caso di posizioni corte) attraverso l’uso di derivati come di seguito descritti in una gamma diversificata di azioni e di titoli connessi ad azioni con qualunque capitalizzazione di mercato, Titoli a Reddito Fisso, valute e merci. Il Comparto assumerà solo un’esposizione indiretta su merci, investendo in prodotti strutturati eleggibili come i titoli su merci i cui titoli sottostanti sono indici e/o subindici su merci, e/o strumenti derivati che facciano riferimento a uno o più indici su merci che si qualificano come indici finanziari ai sensi dei Regolamenti OICVM. Quando usa tali indici, il Comparto deve rispettare i limiti di diversificazione previsti dai Regolamenti OICVM: ciascun componente di un indice finanziario deve rappresentare fino al 20% dell’indice, salvo che in eccezionali circostanze di mercato un singolo componente possa rappresentare fino al 35% dell’indice.
Al fine di incrementare il rendimento e/o come parte della strategia di investimento, il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) utilizzare opzioni, contratti a termine (future), swap e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini di investimento e della gestione efficiente del portafoglio (compresa la copertura).
Il Comparto potrà inoltre effettuare i seguenti investimenti o fare uso dei seguenti strumenti finanziari:
- transazioni a pronti su valute, transazioni a termine su valute, transazioni a termine su valute non consegnabili (Non Consegnabile) e Comparti del Mercato Monetario, le cui attività possono essere gestite dal Consulente per gli Investimenti o da una qualsiasi delle sue società connesse, controllate o collegate; e/o
- depositi bancari, strumenti a tasso fisso o variabile (compresi, a titolo esemplificativo ma non esaustivo, carte commerciali) note a tasso variabile, certificati di deposito, obbligazioni, titoli rappresentativi e obbligazioni governative o di società, Attività Equivalenti alla Liquidità; e/o
- Titoli a Reddito Fisso acquisiti sul Mercato Interbancario delle Obbligazioni cinese (China Interbank Bond Market), che non potranno rappresentare più del 20% delle attività nette del Comparto; e/o
- Azioni A cinesi via Stock Connect, che non potranno rappresentare più del 10% delle attività nette del Comparto; e/o
- Fino al 10% del Comparto può essere investito in conformità al paragrafo 2.2 dell’Appendice A.

Il Consulente per gli Investimenti utilizzerà un approccio di investimento top-down, macroeconomico globale e tematico che si concentra su una selezione di classi di attività, settori, regioni e paesi, invece che su una selezione di titoli individuale. Le allocazioni del Comparto si baseranno sulle valutazioni e sulle analisi del Consulente per gli Investimenti, tenendo in considerazione la sua ricerca dei fondamentali dell’investimento, principalmente guidata da dati macroeconomici e di mercato quantitativi.
Le decisioni di investimento saranno effettuate senza considerare alcun limite (nei limiti di cui all’Appendice A) con particolare riguardo alla localizzazione geografica, settore, rating di credito, scadenza, denominazione della valuta o capitalizzazione di mercato. Il Comparto può investire in qualsiasi paese, compresi i paesi con mercati in via di sviluppo ed emergenti. Gli investimenti del Comparto possono essere denominati in Euro o in valute diverse dall’Euro.
Il Comparto è gestito attivamente e la composizione del suo portafoglio non è vincolata rispetto ad alcun benchmark.
Informativa prevista dal Regolamento sulla Tassonomia
Gli investimenti sottostanti il Comparto non tengono conto dei criteri dell’UE per le attività ecosostenibili.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento del Global Multi-Asset Opportunities Fund, questo Comparto può essere adatto a investitori che:
- Ricercano un apprezzamento del capitale a medio termine.
- Ricercano un investimento bilanciato concentrato su quelle classi di attività che il Consulente per gli Investimenti ritiene essere tatticamente più interessanti.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.

MULTI-ASSET RISK CONTROL FUND
L’obiettivo di investimento del Multi-Asset Risk Control Fund è di fornire un interessante livello di rendimento totale, denominato in Dollari statunitensi, mediante investimenti principalmente in un portafoglio di valori mobiliari e strumenti del mercato monetario su base globale e mediante l’uso di strumenti finanziari derivati.
Il Comparto adotterà tattiche di tipo top-down su classi di attività globali attraverso 1) azioni, compresi i Real Estate Investment Trust (REITS) chiusi; 2) Titoli a Reddito Fisso; e 3) Attività Equivalenti alla Liquidità.
La strategia del Consulente per gli Investimenti sarà realizzata attraverso l’accesso all’universo di investimento di seguito descritto:
- Investimenti principali: titoli azionari, compresi Real Estate Investment Trust (REITS) chiusi che siano investimenti ammissibili per gli OICVM ai sensi della Legge del 2010; Titoli a Reddito Fisso (compresi titoli investment grade; non- investment grade e non classificati); Attività Equivalenti alla Liquidità. Tale investimento può essere diretto, o via derivati. Il Comparto può investire in strumenti finanziari derivati per raggiungere il suo obiettivo di investimento e i derivati possono essere usati sia per investimento che ai fini di copertura. Tali strumenti derivati possono comprendere in via esemplificativa future, opzioni, warrant, contratti differenziali, contratti a termine su strumenti finanziari ed opzioni su tali contratti e contratti swap, negoziati sia in borsa che fuori borsa.
- Investimenti accessori: altri valori mobiliari o, in quantità limitata, OIC compresi i Comparti della Società e ETF aperti, che siano investimenti ammissibili per gli OICVM ai sensi della Legge del 2010, nonché Azioni A cinesi via Stock Connect. Il Comparto può investire fino al 10% delle sue attività nette in Azioni A cinesi via Stock Connect.

Il Consulente per gli Investimenti anticipa che userà prevalentemente le seguenti strategie di investimento:
- Allocazione globale delle attività: investendo in titoli in linea con i singoli indici delle classi di attività. Il Consulente per gli Investimenti selezionerà gli indici che saranno utilizzati per attuare le strategie globali attraverso 1) titoli azionari compresi i Real Estate Investment Trust (REITS); 2) Titoli a Reddito Fisso; e 3) Attività Equivalenti alla Liquidità. Il Consulente per gli Investimenti può usare derivati negoziati sia su borsa che fuori borsa come future o swap per ottenere un’esposizione diversificata e/o più efficiente a mercati globali specifici se a causa delle dimensioni dell’allocazione voluta o delle inefficienze nel trattare direttamente i titoli sottostanti, l’investimento via derivati sia un’opzione di investimento preferibile secondo l’opinione del Consulente per gli Investimenti.
- Screening ESG: inoltre, il Consulente per gli Investimenti può considerare i fattori ESG su base bottom-up; nell’investire direttamente in valori mobiliari, il Consulente per gli Investimenti può considerare il relativo ranking degli emittenti per i fattori ESG come parte della verifica del potenziale di rendimento e come parte della gestione del rischio totale di portafoglio.

Il Consulente per gli Investimenti può utilizzare ulteriori strategie di investimento come:
- Investimenti collegati a merci: il Comparto potrà (in conformità ai poteri e limiti di investimento di cui all’“Appendice A”) adottare delle visioni tattiche su merci via exchange traded commodities (ETC) che possano essere considerati dei valori mobiliari ai sensi dell’articolo 1(34) della Legge del 2010 e dell’articolo 2 del Regolamento Granducale dell’8 febbraio 2008.
- Uso di derivati per la gestione efficiente del portafoglio: il Comparto e potrà anche investire in Attività Equivalenti alla Liquidità, warrants, opzioni, e altri derivati, quotati in borsa o trattati nel terzo mercato (“over the counter”), ai fini della gestione efficiente del portafoglio (compresa la copertura) così come ai fini dell’investimento come sopra illustrato.

Gli investimenti del Comparto potranno comportare un’esposizione sui mercati emergenti e su titoli con rendimenti più alti. Il Comparto mira a gestire il rischio totale di portafoglio attraverso la gestione del livello di volatilità del portafoglio.
Il Comparto è gestito attivamente e la composizione del suo portafoglio non è vincolata rispetto ad alcun benchmark.
Informativa prevista dal Regolamento sulla Tassonomia
Gli investimenti sottostanti il Comparto non tengono conto dei criteri dell’UE per le attività ecosostenibili.
Profilo dell’investitore tipico
Alla luce dell’obiettivo di investimento del Multi-Asset Risk Control Fund, questo Comparto può essere adatto a investitori che:
- Ricercano un apprezzamento del capitale a medio termine.
- Ricercano un investimento bilanciato concentrato su quelle classi di attività che il Consulente per gli Investimenti ritiene essere tatticamente più interessanti.
- Accettano i rischi connessi a questo tipo di investimento, come descritti nella Sezione 1.5 “Fattori di rischio”.
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