Strategy. Under normal circumstances, at least 80% of the Funds net assets (plus any borrowings for investment purposes) will be invested in high yield securities. This policy may be changed without shareholder approval; however, shareholders would be notified upon 60 days notice in writing of any changes. ?High-yield securities (commonly referred to as junk bonds) include U.S. dollar denominated high risk corporate bonds which are rated lower than investment grade ?(i.e., bonds rated lower than Baa3 by Moodys Investors Service, Inc. (Moodys) or lower than BBB- by S&P Global Ratings (S&P) or Fitch Ratings (Fitch)) or are unrated and of comparable quality as determined by the Adviser or Morgan Stanley Investment Management Limited (the Sub-Adviser). Bonds rated BBB and Baa have … Show more… Under normal circumstances, at least 80% of the Funds net assets (plus any borrowings for investment purposes) will be invested in high yield securities. This policy may be changed without shareholder approval; however, shareholders would be notified upon 60 days notice in writing of any changes. ?High-yield securities (commonly referred to as junk bonds) include U.S. dollar denominated high risk corporate bonds which are rated lower than investment grade ?(i.e., bonds rated lower than Baa3 by Moodys Investors Service, Inc. (Moodys) or lower than BBB- by S&P Global Ratings (S&P) or Fitch Ratings (Fitch)) or are unrated and of comparable quality as determined by the Adviser or Morgan Stanley Investment Management Limited (the Sub-Adviser). Bonds rated BBB and Baa have speculative characteristics, while lower-rated bonds are predominantly speculative. The Fund may not hold more than 10% of its net assets in securities rated below B3 by Moodys or lower than B- by S&P or Fitch. The Fund may invest up to 15% of its net assets in securities that are rated investment grade (i.e., bonds rated higher than Ba1 by Moodys or higher than BB+ by S&P ?or Fitch). ?The Fund may invest up to 5% of its total assets in subordinated preferred securities. The Fund may invest up to 20% of its net assets in foreign and emerging market securities, which are predominantly U.S. dollar- denominated. The Fund may invest in securities with a minimum primary issuance of $500 million or greater. The Funds investment in an individual sector may be equal to an amount up to the greater of 15% of its total assets or 1.2x the relative weight of such sector in the ICE BofA BB-B U.S. High Yield Index. As of September 30, 2025, the Fund invested a substantial portion of its assets in the consumer discretionary sector. The Fund may purchase or sell derivative instruments for hedging purposes, to seek return, to manage certain investment risks and/ or as a substitute for the purchase or sale of securities. Transactions in derivative instruments may include: the purchase or sale of futures contracts on securities, indices or other financial instruments or currencies; options on futures contracts; exchange-traded and over-the-counter options on securities, indices, currencies and other instruments; interest rate, credit default, inflation and total return swaps; forward rate contracts and credit linked notes as well as instruments that have a greater or lesser credit risk than the security underlying that instrument. The Fund may use interest rate swaps for risk management purposes and not as a speculative investment and would typically use interest rate swaps to seek to shorten the average interest rate reset dates of its holdings. With respect to non-U.S. dollar-denominated securities, the Fund may seek to hedge currency fluctuations by entering into forward foreign currency exchange contracts. Derivative instruments used by the Fund will be counted toward the Funds 80% policy discussed above to the extent they have economic characteristics similar to the securities included within that policy. The Fund may invest in pooled investment vehicles, including exchange-traded funds (ETFs) and money market funds, for various portfolio management purposes, such as to maintain exposure to certain investments or for cash management purposes. The Funds investments are actively managed and securities may be bought and sold on a daily basis. Preservation of capital is considered when consistent with the Funds investment objectives. The Adviser and/or Sub-Adviser monitor the credit quality of securities held by the Fund. Although the Adviser and/or Sub-Adviser consider security ratings when making investment decisions, they perform their own credit and investment analysis utilizing various methodologies including bottom up/top down analysis and consideration of ?macroeconomic and technical factors, and do not rely primarily on the ratings assigned by the rating services. When deemed by the Adviser and/or Sub-Adviser to be relevant to their evaluation of creditworthiness and when applicable information is available, the Adviser and/or Sub-Adviser consider environmental, social and/or governance issues (referred to as ESG) which may impact the prospects of an issuer (or obligor) or financial performance of an obligation. When considered, one or more ESG issues are taken into account alongside other factors in the investment decision-making process and are not the sole determinant of whether an investment can be made or will remain in the Funds portfolio. The portfolio managers attempt to improve yield and preserve and enhance principal value through timely trading. The portfolio managers also consider the relative value of securities in the marketplace in making investment decisions. Show less