Schedule 14A Information required in proxy statement. Schedule 14A Information Proxy Statement Pursuant to Section 14(a) of the Securities and Exchange Act of 1934 (Amendment No. ) Filed by the Registrant [X] Filed by a Party other than the Registrant [ ] Check the appropriate box: [ ] Preliminary Proxy Statement [ ] Preliminary Additional Materials [ ] Confidential, for Use of the Commission Only (as permitted by Rule 14a-6 (e) (2) ) [ ] Definitive Proxy Statement [X] Definitive Additional Materials [ ] Soliciting Material Pursuant to Section 240.149-11 (c) or Section 240.14 Morgan Stanley Balanced Growth Fund ------------------------------------------------ (Name of Registrant as Specified in its Charter) - -------------------------------------------------------------------------------- (Name of Person(s) Filing Proxy Statement, if Other Than the Registrant) Payment of Filing Fee (check the appropriate box): [X] No fee required. [ ] Fee computed on table below per Exchange Act Rules 14a-6(j) (4) and 0-11. 1) Title of each class of securities to which transaction applies: 2) Aggregate number of securities to which transaction applies: 3) Per unit price or other underlying value of transaction computed pursuant to Exchange Act Rule 0-11: Set forth the amount on which the filing fee is calculated and state how it was determined. 4) Proposed maximum aggregate value of transaction: 5) Fee previously paid: [ ] Check box if any part of the fee is offset as provided by Exchange Act Rule 0-11(a) (2) and identify the filing for which the offsetting fee was paid previously. Identify the previous filing by registration statement number, or the Form or Schedule and the datez of its filing. 1) Amount Previously paid: 2) Form, Schedule or Registration Statement No.: 3) Filing Party: 4) Date Filed:
MORGAN STANLEY INVESTMENT MANAGEMENT [Morgan Stanley logo] Headline: Morgan Stanley Investment Management Announces the Proposed Merger of the Balanced Income Fund into the Balanced Growth Fund On February 6, 2006, the Board of Trustees of the Morgan Stanley Balanced Income Fund approved a plan to merge the fund into the Morgan Stanley Balanced Growth Fund. The proposed merger is subject to the approval of the Morgan Stanley Balanced Income Fund's shareholders at a special meeting, which is scheduled to occur on or about July 17, 2006. If shareholder approval is obtained, Morgan Stanley Balanced Income Fund will close prior to the consummation of the merger and the combined fund will be named the Morgan Stanley Balanced Fund. A SUPPLEMENT ANNOUNCING THE PROPOSED MERGER AND THE CLOSING OF THE FUND WAS MAILED TO MORGAN STANLEY BALANCED INCOME FUND SHAREHOLDERS IN FEBRUARY. A PROXY STATEMENT OUTLINING THE PROPOSED MERGER WAS MAILED TO SHAREHOLDERS IN MAY. WE ENCOURAGE SHAREHOLDERS TO CONTACT THEIR FINANCIAL ADVISORS WITH ANY QUESTIONS. FOR ADDITIONAL INFORMATION, OR TO VIEW A PROSPECTUS, VISIT MORGANSTANLEY.COM. - ------------------------------------------------------------------------------------------------------------- BALANCED INCOME FUND PROPOSED REORGANIZATION INTO THE BALANCED GROWTH FUND - ------------------------------------------------------------------------------------------------------------- Investment objective Current income and moderate capital Capital growth with reasonable current growth. income. - ------------------------------------------------------------------------------------------------------------- Investment strategy Invests at least 80% of its assets Invests at least 60% of its assets in income-producing securities, in dividend-paying common stocks and consisting of fixed-income securities convertible into common securities, dividend-paying common stocks and at least 25% of its stocks and securities convertible assets in fixed-income securities. into common stocks. - ------------------------------------------------------------------------------------------------------------- Benchmark Russell 1000(R) Value Index and the Russell 1000(R) Value Index and the Lehman Lehman Brothers U.S. Government/Credit Brothers U.S. Government/Credit Index. Index. - ------------------------------------------------------------------------------------------------------------- Management Team* Equity Income and Taxable Fixed-Income Equity Income and Taxable Fixed-Income teams. teams. The Equity Income team includes: James The Equity Income team includes: James A. Gilligan, James O. Roeder, Sergio A. Gilligan, James O. Roeder, Sergio Marcheli, Thomas B. Bastian, and Marcheli, Thomas B. Bastian, and Vincent Vincent E. Vizachero E. Vizachero The Taxable Fixed Income team The Taxable Fixed Income team includes: includes: W. David Armstrong, David S. W. David Armstrong, David S. Horowitz, Horowitz, and Stefania A. Perrucci and Stefania A. Perrucci - ------------------------------------------------------------------------------------------------------------- Symbols/CUSIPs Class A BINAX/616959102 BGRAX/616934105 Class B BINBX/616959201 BGRBX/616934204 Class C BINCX/616959300 BGRCX/616934303 Class D BINDX/616959409 BGRDX/616934402 - ------------------------------------------------------------------------------------------------------------- *Team members may change without notice from time to time. PLEASE CONSIDER THE INVESTMENT OBJECTIVES, RISKS, CHARGES AND EXPENSES OF A FUND CAREFULLY BEFORE INVESTING. THE PROSPECTUS CONTAINS THIS AND OTHER INFORMATION ABOUT THE FUND. TO OBTAIN A PROSPECTUS, CONTACT YOUR FINANCIAL ADVISOR OR DOWNLOAD ONE AT MORGANSTANLEY.COM. PLEASE READ THE PROSPECTUS CAREFULLY BEFORE INVESTING. - -------------------------------------------------------------------------------- NOT FDIC INSURED OFFER NO BANK GUARANTEE MAY LOSE VALUE - -------------------------------------------------------------------------------- NOT INSURED BY ANY FEDERAL GOVERNMENT AGENCY NOT A DEPOSIT - -------------------------------------------------------------------------------- Investments and services are offered through Morgan Stanley DW Inc., member SIPC. Morgan Stanley Distributors Inc. (C) 2006 Morgan Stanley RA06-00091P-N02/06