Fund Evaluator:
Morgan Stanley Inst Growth A (MSEGX)
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Best Performing in Large Growth Over the Last Year
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Fund Details
Morgan Stanley Inst Growth A Overview
Morgan Stanley Inst Growth A (MSEGX) is an actively managed U.S. Equity Large Growth fund. Morgan Stanley launched the fund in 1996.
The investment seeks long-term capital appreciation by investing primarily in growth-oriented equity securities of large capitalization companies. The fund invests primarily in established and emerging companies, with capitalizations within the range of companies included in the Russell 1000® Growth Index. It may invest up to 25% of its total assets in foreign securities.
About Morgan Stanley Inst Growth A (MSEGX)
There are 5 members of the management team with an average tenure of 20.38 years: Alexander Norton (2005), Jason Yeung (2007), Armistead Nash (2008), Dennis Lynch (2004), Sandeep (Sam) Chainani (2004). Management tenure is more important for actively managed funds than passive index funds.
The fund has 2 primary benchmarks: Russell 1000 TR USD index with a weighting of 100% and Russell 1000 Growth TR USD index with a weighting of 100%. Morgan Stanley Inst Growth A has 38 securities in its portfolio. The top 10 holdings constitute 66.8% of the fund’s assets. The fund meets the SEC requirement of being classified as a diversified fund. The fund is not considered to have an ESG focus with its investment selection and management.
Morgan Stanley Inst Growth A is part of the Equity global asset class and is within the U.S. Equity fund group. Morgan Stanley Inst Growth A has 10.3% of its portfolio invested in foreign issues. The overall assets allocated to domestic stock is 77.2%. There is 10.3% allocated to foreign stock, and 0.7% is allocated to preferred stocks. The bond allocation as a percentage of total assets is 0.0% (0.0% domestic bond, 0.0% foreign bond and 0.0% convertible bond). Morgan Stanley Inst Growth A has 4.9% of the portfolio in cash.
Assets Under Management
The fund has $1 billion in total assets, which is below the $2 billion average for the Large Growth category. Normally, lower assets under management translates to higher average expense ratios, and greater total assets are desired. However, for some investment categories, such as small-cap investing, it may be difficult for the manager to fully employ the desired active strategy if assets grow too large or too quickly.
MSEGX Performance and Fees
The expense ratio measures how much of a fund’s assets are used for administrative expenses and operating expenses, including adviser fees and fees for the transfer agent and custodial services. The Morgan Stanley Inst Growth A expense ratio is high compared to funds in the Large Growth category. Morgan Stanley Inst Growth A has an expense ratio of 0.89%, which is 7% lower than its category average, making the fund expense ratio grade a C. While it is difficult to predict returns, it is known that high annual expense ratios reduce your rate of return, and excessive fees are difficult to overcome. Active management normally comes with higher expense ratios than passive index management. Certain investment categories such as small company and foreign also normally have higher expense ratios. It is best to compare fund expense ratios against the category averages for meaningful assessments.
High portfolio turnover can translate to higher expenses and lower aftertax returns. Morgan Stanley Inst Growth A has a portfolio turnover rate of 53%, indicating that holds its assets around 0.0 years. By way of comparison, the average portfolio turnover is 54% for the Large Growth category.
Recently, in the month of July 2026, Morgan Stanley Inst Growth A returned -7.8%, which earned it a grade of F, as the Large Growth category had an average return of -3.1%. The letter grades of A, B, C, D and F are based upon relative rankings within the investment category. A grade of A, for example, would indicate that the return is in the highest 20% for that time period compared to all funds in that category.
Morgan Stanley Inst Growth A has a trailing yield of 0.00%, which is below the 0.06% category average. The fund normally distributes its income semi-annually and its capital gains semi-annually.
It’s natural to seek the best-performing investments, but you must consider the relationship between risk and return and the impact of costs and taxes on your realized returns.
Morgan Stanley Inst Growth A Grades
Year to date, the fund has returned -10.4%, 14.1 percentage points worse than the category, which translates into a grade of F. The fund has returned -8.1% over the past year (grade of F), 19.3% over the past three years (grade of B) and -3.0% per year over the past five years (grade of F) and 14.2% per year over the past 10 years (grade of D).
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MSEGX Trailing NAV Total Returns Data as of 7/31/26
| Last Month |
Last Quarter |
Ann'l. 1Yr |
Ann'l. 3Yr |
Ann'l. 5Yr |
Ann'l. 10Yr |
|
| MSEGX Return (NAV) | -7.8% | -2.2% | -8.1% | 19.3% | -3.0% | 14.2% |
| MSEGX Grade | F | F | F | B | F | D |
| +/- Category | -4.8% | -3.9% | -17.2% | 1.3% | -11.7% | -1.2% |
| Large Growth Avg | -3.1% | 1.7% | 9.1% | 18.1% | 8.7% | 15.4% |
| MSEGX Tax Cost Ratio | na | na | 0.0% | 0.1% | 1.9% | 2.3% |
MSEGX Annual NAV Total ReturnsData as of 7/31/26
| 2026 | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | |
| MSEGX Return (NAV) | -10.4% | 24.4% | 46.3% | 49.9% | -60.4% | 0.2% | 115.1% | 22.8% | 7.4% | 43.4% | -2.2% |
| MSEGX Grade | F | A | A | A | F | F | A | F | A | A | F |
| +/- Category | -14.1% | 8.7% | 16.6% | 11.0% | -28.3% | -20.2% | 72.8% | -10.4% | 8.1% | 13.6% | -4.9% |
| Large Growth Avg | 3.7% | 15.7% | 29.7% | 38.9% | -32.1% | 20.4% | 42.3% | 33.2% | -0.7% | 29.8% | 2.7% |
| Risk Measures | |
| Standard Deviation: | 30.2% |
| Total Risk Index: | 2.47 - High |
| Category Risk Index: | 1.71 - High |
| Category Risk Grade: | F (100% Rank) |
| Beta: | 1.75 |
| R-Squared: | 57% |
| Leveraged Fund: | No |
| Inverse Fund: | No |
| Portfolio Characteristics | |
| Equity Investment Style: | Mid-Cap Growth |
| Bond Investment Style: | na |
| Yield: | 0.0% |
| Dividend Distribution: | Semi-Annually |
| Cap Gains Distribution: | Semi-Annually |
| Total Assets: | $3235 Mil |
| Fund Total Assets: | $1,905 Mil |
| Share Class Type: | A |
| Portfolio Turnover: | 53% |
Management Team
| Number of Managers: 5 | |||
| Longest Tenure: 22.1 years | |||
| Average Tenure: 20.4 years | |||
| Managers (Year): Lynch Dennis (2004), Chainani Sandeep (Sam) (2004), Norton Alexander (2005), Yeung Jason (2007), Nash Armistead (2008) | |||
Portfolio Composition (as of 3/31/26)
| # of Holdings: | 38 |
| % in Top 10 Holdings: | 66.8% |
| Fund is Non-Diversified: | No |
| % in Foreign Issues: | 10.3% |
Portfolio Allocation |
|
| Domestic Stock: | 77.2% |
| Foreign Stock: | 10.3% |
| Preferred Stock: | 0.7% |
| Domestic Bond: | 0.0% |
| Foreign Bond: | 0.0% |
| Convertible Bond: | 0.0% |
| Other: | 6.9% |
| Cash: | 4.9% |
Purchase Information
| Fund Family: | Morgan Stanley |
| Phone Number: | 800-869-6397 |
| Website: | www.morganstanley.com/im |
| Status: | Open |
| Inception Date: | January 2, 1996 |
| Min. Initial Purchase: | $1,000 |
| Min. Initial IRA Purchase: | $ 0 |
| True No-Load: | No |
| Front Load Maximum: | 5.25% |
| Deferred Charge Maximum: | 0.00% |
| Redemption Charge Maximum: | 0.00% |
| 12b-1 Fee: | 0.25% |
Expenses and Fees | |
| Expense Ratio (%): | 0.89% ( Rating : High ) |
| Category Average Expense Ratio (%): | 0.96% |
| Share Class: | Morgan Stanley Inst Growth I |
| Min. Subsequent Purchase: | $ 0 |
| Min. Subsequent IRA Purchase: | $ 0 |
