The excellent performance of the Morgan Stanley Japan Growth Fund has been honored by two major Morningstar distinctions. First, the fund received the Excellent Fund Award in the Morningstar "1999 Fund of the Year" awards (Rookie Fund category). Second, it was immediately granted the full five-star rating by Morningstar when the fund completed a 3-year track record and graduated from the Rookie Fund category (as of December 31, 1999).

MS Japan Growth Fund, which invests in Japanese stocks covering small- to large-cap issues, employs the Equity Growth discipline that is one of three Japanese equity investment strategies offered by Morgan StanleyIIM to clients globally. In combination, Japanese Equity Growth, Japanese Equity Value and Japanese Equity Core offer investors several ways to participate in the growth of the Japanese equity market. Since establishment of the fund in December 1996, the investment results have grown at an annual rate of 36.53%.