N-Q 1 y79070nvq.htm FORM N-Q nvq
 
 
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM N-Q
QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED
MANAGEMENT INVESTMENT COMPANY
Investment Company Act file number: 811-06346
Morgan Stanley Quality Municipal Investment Trust
(Exact name of registrant as specified in charter)
     
522 Fifth Avenue, New York, New York
(Address of principal executive offices)
  10036
(Zip code)
Randy Takian
522 Fifth Avenue, New York, New York 10036
(Name and address of agent for service)
Registrant’s telephone number, including area code: 212-296-6963
Date of fiscal year end: October 31, 2009
Date of reporting period: July 31, 2009
Item 1. Schedule of Investments.
The Trust’s schedule of investments as of the close of the reporting period prepared pursuant to Rule 12-12 of Regulation S-X is as follows:
 
 

 


 

Morgan Stanley Quality Municipal Investment Trust
Portfolio of Investments July 31, 2009 (unaudited)
                                 
PRINCIPAL                        
AMOUNT IN         COUPON     MATURITY        
THOUSANDS         RATE     DATE     VALUE  
       
Tax-Exempt Municipal Bonds (162.4%)
                       
       
Alabama (0.7%)
                       
$ 2,000    
Jefferson County, School Ser 2004 A
    5.50 %     01/01/22     $ 1,184,220  
       
 
                     
       
 
                       
       
Alaska (0.9%)
                       
  3,000    
Northern Tobacco Securitization Corporation, Asset Backed Ser 2006 A
    5.00       06/01/46       1,641,210  
       
 
                     
       
 
                       
       
Arizona (0.8%)
                       
  985    
Arizona, Ser 2008 A (COPs) (FSA Insd)
    5.00       09/01/24       1,002,848  
  400    
Maricopa County, Pollution Control Corp., 2009 Ser A
    6.00       05/01/29       407,000  
       
 
                     
       
 
                    1,409,848  
       
 
                     
       
California (23.7%)
                       
  985    
Alhambra Unified School District 2009 Ser B (f)
    0.00       08/01/35       177,093  
  1,590    
Alhambra Unified School District 2009 Ser B (f)
    0.00       08/01/36       269,012  
  690    
Alvord Unified School District, Ser 2007 A (FSA Insd)
    5.00       08/01/23       704,186  
  1,000    
Bay Area Toll Authority, Revenue Ser F
    5.00       04/01/31       997,310  
  680    
Beverly Hills California Unified School District Ser 2009 (f)
    0.00       08/01/26       286,008  
  1,310    
Beverly Hills California Unified School District Ser 2009 (f)
    0.00       08/01/31       395,371  
  5,000    
California, Economic Recovery, Ser 2004 A
    5.00       07/01/16       2,564,425  
  3,000    
California, Various Purpose dtd 05/01/03
    5.00       02/01/24       3,017,040  
  3,000    
California Health Facilities Financing Authority, Cedars-Sinai Medical Center Ser 2005
    5.00       11/15/34       2,618,880  
  2,000    
California Infrastructure & Economic Development Bank, The Scripps Research Institute Ser 2005 A
    5.00       07/01/29       2,003,980  
  3,000    
California Statewide Communities Development Authority, John Muir Health Ser 2006 A
    5.00       08/15/32       2,601,090  
  340    
Clovis Unified School District Election of 2004 Ser A (FGIC Insd) (f)
    0.00       08/01/29       93,361  
  430    
Dry Creek Joint Elementary School District Election 2008 E Ser 2009 (f)
    0.00       08/01/41       48,650  
  5,265    
Dry Creek Joint Elementary School District Election 2008 E Ser 2009 (f)
    0.00       08/01/42       555,405  
  770    
Dry Creek Joint Elementary School District Election 2008 E Ser 2009 (f)
    0.00       08/01/43       75,753  
  1,775    
EL Segundo School District Election of 2008 Ser A (f)
    0.00       08/01/31       421,775  
  3,000    
Golden State Tobacco Securitization Corporation, Enhanced Asset Backed Ser 2005 A (AMBAC Insd)
    5.00       06/01/29       2,555,550  
  1,500    
Golden State Tobacco Securitization Corporation, Enhanced Asset Backed Ser 2005 A (AMBAC Insd)
    5.00       06/01/45       1,209,600  
  3,700    
Golden State Tobacco Securitization Corporation, Enhanced Asset Backed Ser 2007 A-1
    5.125       06/01/47       2,000,738  
  1,100    
Golden State Tobacco Securitization Corporation, Enhanced Asset Backed Ser 2007 A-1
    5.75       06/01/47       660,165  
  585    
Indio Redevelopment Agency, Merged Redevelopment Project Area, Ser 2008 A
    5.00       08/15/24       528,097  
  2,000    
Los Angeles, Ser 2004 A (NATL-RE Insd)
    5.00       09/01/24       2,069,700  
  1,920    
Los Angeles Department of Water & Power, Water 2004 Ser C (NATL-RE Insd) (a)
    5.00       07/01/23       1,968,169  
  975    
Menifee Union School District, Election of 2008 Ser 2008 C (AGC Insd) (f)
    0.00       08/01/34       185,806  
  1,090    
Moreland School District, Santa Clara County 2006 Ser C (AMBAC Insd) (f)
    0.00       08/01/29       285,830  
  790    
Oak Grove School District, Santa Clara County Election 2008 Ser A (f)
    0.00       08/01/28       234,314  
  4,000    
Oxnard Financing Authority, Redwood Trunk Sewer & Headworks Ser 2004 A (FGIC Insd)
    5.00       06/01/29       3,867,800  
  1,000    
Port of Oakland Ser 2002 L (AMT) (FGIC Insd)
    5.00       11/01/21       916,630  
  1,965    
Poway, Unifield School District, School Facilities Improvement District No. 2007-1, 2008 Election Ser A (f)
    0.00       08/01/27       630,058  
  2,455    
Poway, Unifield School District, School Facilities Improvement District No. 2007-1, 2008 Election Ser A (f)
    0.00       08/01/31       583,357  
  10,800    
San Bernardino Community College District Election 2002 Ser B (f)
    0.00       08/01/44       1,015,524  
  4,610    
San Bernardino Community College District Election 2002 Ser B (f)
    0.00       08/01/48       322,977  
  540    
San Francisco City & County, Laguna Honda Hospital Ser 2008 R3 (AGC Insd) (a)
    5.00       06/15/28       543,356  
  3,300    
San Jose, Evergreen Community College District Election of 2004 Ser B (FSA Insd)
    0.00       09/01/30       896,049  
  450    
San Rafael City Elementary School District, Marin County Election 2002 Ser B (f)
    0.00       08/01/25       179,149  
  2,000    
Tobacco Securitization Authority of Northern California, Sacramento County Tobacco Securitization Corporation Ser 2005 A-1
    5.00       06/01/37       1,207,820  
  850    
Twin Rivers Unified School District, Ser 2009 (BANs) (f)
    0.00       04/01/14       674,424  
  6,300    
William S. Hart Union High School District, Los Angeles County Election 2008 Ser A (f)
    0.00       08/01/32       1,389,906  
       
 
                     
       
 
                    40,754,358  
       
 
                     

 


 

                                 
PRINCIPAL                        
AMOUNT IN         COUPON     MATURITY        
THOUSANDS         RATE     DATE     VALUE  
       
Colorado (1.0%)
                       
  1,585    
Colorado Educational & Cultural Facilities Authority, Peak to Peak Charter School Refg & Impr Ser 2004 (XLCA Insd)
    5.25       08/15/34       1,405,752  
  185    
Colorado Housing & Finance Authority, 2000 Ser D-2 (AMT)
    6.90       04/01/29       197,610  
  160    
Colorado Public Authority for Energy, Natural Gas Purchase Ser 2008
    6.25       11/15/28       154,766  
       
 
                     
       
 
                    1,758,128  
       
 
                     
       
District of Columbia (5.1%)
                       
  1,500    
District of Columbia Income Tax Ser 2009 A (a)
    5.25       12/01/27       1,616,505  
  380    
District of Columbia Ser 2008E (BHAC Insd) (a)
    5.00       06/01/26       396,220  
  380    
District of Columbia Ser 2008E (BHAC Insd) (a)
    5.00       06/01/27       396,220  
  760    
District of Columbia Ser 2008E (BHAC Insd) (a)
    5.00       06/01/28       792,438  
  2,000    
District of Columbia Ballpark, Ser 2006 B-1 (FGIC Insd)
    5.00       02/01/31       1,635,180  
  575    
District of Columbia Water and Sewer Authority, Public Utility Ser 2008 A (AGC Insd)
    5.00       10/01/27       598,121  
  265    
District of Columbia Water and Sewer Authority, Public Utility Ser 2008 A (AGC Insd)
    5.00       10/01/28       272,240  
  3,000    
Metropolitan Washington Airports Authority, District of Columbia & Virginia, Ser 2004 C-1 (AMT) (FSA Insd) (b)
    5.00       10/01/20       3,023,160  
       
 
                     
       
 
                    8,730,084  
       
 
                     
       
Florida (22.0%)
                       
  6,890    
Florida State Board of Education, Capital Outlay Refg Ser 2001 D
    5.375       06/01/18       7,395,864  
  945    
Florida State Mid-Bay Bridge Auth, Ser 2008 (AGC Insd)
    5.00       10/01/22       1,000,651  
  3,000    
Highlands County Health Facilities Authority, Florida, Adventist Health Refg Ser 2005 C
    5.00       11/15/31       2,726,040  
  1,900    
Jacksonville, Sales Tax Ser 2001 (AMBAC Insd)
    5.50       10/01/18       2,024,811  
  2,000    
Martin County, Utilities Ser 2001 (FGIC Insd)
    5.00       10/01/26       2,003,920  
  1,000    
Miami-Dade County, Ser 2005 A (NATL-RE Insd)
    0.00 (c)     10/01/30       641,270  
  1,000    
Miami-Dade County, Building Better Communities Program Ser 2008 B-1
    6.00       07/01/38       1,042,680  
  1,300    
Miami-Dade County, Educational Facilities Authority, University of Miami Ser 2008 A (BHAC Insd)
    5.50       04/01/38       1,331,187  
  800    
Miami-Dade County, Miami International Airport Ser 2009 A
    5.00       10/01/25       805,016  
  750    
Palm Beach County, Solid Waste Authority Ser 2009 (BHAC Insd)
    5.50       10/01/23       828,000  
  8,000    
South Miami Health Facilities Authority, Baptist Health Ser 2007 (a)
    5.00       08/15/42       6,773,216  
  1,000    
St Johns, Industrial Development Authority, Glenmoor Refg 2006 Ser A
    5.375       01/01/40       641,760  
  1,000    
Tampa Bay Water Authority, Ser 2001 A (FGIC Insd)
    6.00       10/01/29       1,156,700  
  8,000    
Tampa Bay Water,Ser 2001 B (FGIC Insd)
    5.00       10/01/31       8,009,200  
  1,545    
Tampa Sports Authority, Local Option Sales Refg Tax Ser 2005 (FSA Insd)
    5.00       01/01/26       1,573,536  
       
 
                     
       
 
                    37,953,851  
       
 
                     
       
Georgia (7.6%)
                       
  2,000    
Atlanta, Airport Passenger Facilities Charge Airport Ser 2004 J (FSA Insd)
    5.00       01/01/34       1,983,200  
  5,000    
Georgia Road & Tollway Authority, Ser 2001
    5.375       03/01/17       5,422,050  
  2,000    
Georgia Road & Tollway Authority, Ser 2004
    5.00       10/01/22       2,122,060  
  2,000    
Municipal Electric Authority of Georgia, Combustion Turbine Ser 2002 A (NATL-RE Insd)
    5.25       11/01/21       2,053,380  
  1,500    
Municipal Electric Authority of Georgia, Combustion Turbine Ser 2002 A (NATL-RE Insd)
    5.25       11/01/22       1,534,830  
       
 
                     
       
 
                    13,115,520  
       
 
                     
       
Idaho (0.4%)
                       
  1,000    
Madison County Industrial Development Authority, Madison Memorial Hospital Ser 2006 (COPs)
    5.25       09/01/37       749,970  
       
 
                     
       
 
                       
       
Illinois (3.1%)
                       
  2,000    
Chicago, O’ Hare Int’l Airport Third Lien Ser 2003 B-2 (AMT) (FSA Insd)
    5.75       01/01/23       2,026,300  
  1,035    
Chicago Transit Authority, Capital Grant Receipts Ser 2008 (AGC Insud)
    5.25       06/01/24       1,105,152  
  710    
De Kalb County, Community United School District No. 428 (FSA Insd)
    5.00       01/01/23       757,677  
  400    
Illinois Finance Authority, Rush University Medical Center Obligated Group Ser 2009 A
    7.25       11/01/38       421,692  
  935    
Illinois Finance Authority, Northwestern Memorial Hospital Ser 2009 B
    5.375       08/15/24       963,882  
       
 
                     
       
 
                    5,274,703  
       
 
                     
       
Indiana (1.8%)
                       
  3,000    
Indiana Health & Educational Facility Financing Authority, Clarian Health Ser 2006 A
    5.25       02/15/40       2,622,510  
  510    
Rockport Indiana Michigan Power Company Project, Refg Ser 2009 B
    6.25       06/01/25       534,368  
       
 
                     
       
 
                    3,156,878  
       
 
                     
       
Iowa (3.3%)
                       
  2,200    
Coralville,Marriot Hotel & Convention Center Ser 2006 D (COPs)
    5.25       06/01/26       2,182,840  
  1,275    
Coralville, Urban Renewal Ser 2007 C
    5.00       06/01/47       984,734  
  1,320    
Iowa State LJOBS Program Ser 2009 A (a)
    5.00       06/01/25       1,417,927  
  990    
Iowa State LJOBS Program Ser 2009 A (a)
    5.00       06/01/26       1,056,026  
       
 
                     
       
 
                    5,641,527  
       
 
                     
       
Kansas (0.3%)
                       
  455    
Kansas Development Finance Authority, Adventist Health System Sunbelt Obligated Group Ser 2009 C
    5.50       11/15/29       458,872  
       
 
                     

 


 

                                 
PRINCIPAL                        
AMOUNT IN         COUPON     MATURITY        
THOUSANDS         RATE     DATE     VALUE  
       
Kentucky (6.6%)
                       
  5,000    
Louisville & Jefferson County Metropolitan Sewer District, Ser 1999 A (FGIC Insd)
    5.75       05/15/33       5,047,450  
  2,925    
Louisville & Jefferson County Metropolitan Sewer District, Ser 2001 A (NATL-RE Insd)
    5.375       05/15/20       3,112,785  
  3,075    
Louisville & Jefferson County Metropolitan Sewer District, Ser 2001 A (NATL-RE Insd)
    5.375       05/15/21       3,245,017  
       
 
                     
       
 
                    11,405,252  
       
 
                     
       
Maryland (5.1%)
                       
  685    
Baltimore County, Oak Crest Village Ser 2007 A
    5.00       01/01/37       590,093  
  1,440    
Maryland Health & Higher Educational Facilities Authority, King Farm Presbyterian Community 2006 Ser B
    5.00       01/01/17       1,207,786  
  3,000    
Maryland Health & Higher Educational Facilities Authority, Medstar Health Refg Ser 2004
    5.375       08/15/24       2,989,200  
  900    
Maryland Health & Higher Edlucational Facilities Authority, University of Maryland Medical Ser 2006 A
    5.00       07/01/41       776,088  
  3,000    
Northeast Maryland Waste Disposal Authority, Montgomery County Ser 2003 (AMT) (AMBAC Insd)
    5.50       04/01/16       3,137,310  
       
 
                     
       
 
                    8,700,477  
       
 
                     
       
Massachusetts (4.1%)
                       
  415    
Massachusetts Bay Transportation Authority, Assess 2000 Ser A
    5.25       07/01/30       416,664  
  1,400    
Massachusetts Health and Educational Facilities Authority, Boston College 2008 Ser M-2
    5.50       06/01/30       1,567,622  
  4,715    
Massachusetts Health and Educational Facilities Authority, Harvard University Ser 2009 A (a)
    5.50       11/15/36       5,082,524  
       
 
                     
       
 
                    7,066,810  
       
 
                     
       
Michigan (2.9%)
                       
  875    
Detroit Water Supply System Refg Ser 2006 C (FSA Insd)
    5.00       07/01/26       853,510  
  1,075    
Michigan State Hospital Finance Authority, Henry Ford Health Refg Ser 2006 A
    5.25       11/15/46       823,504  
  3,500    
Michigan Strategic Fund, Detroit Edison Co Ser 2001 C
    5.45       09/01/29       3,331,685  
       
 
                     
       
 
                    5,008,699  
       
 
                     
       
Missouri (0.8%)
                       
  750    
Fenton, Gravois Bluffs Refg Ser 2006
    4.50       04/01/21       678,953  
  1,000    
Missouri Health & Educational Facilities Authority, Lutheran Senior Services Ser 2005 A
    5.375       02/01/35       773,000  
       
 
                     
       
 
                    1,451,953  
       
 
                     
       
Nevada (4.0%)
                       
  2,000    
Clark County, Airport Sub Lien Ser 2004 A (AMT) (FGIC Insd)
    5.50       07/01/22       1,967,260  
  400    
Las Vegas Redevelopment Agency, Tax Increment Ser 2009 A
    6.25       06/15/16       423,508  
  2,925    
Las Vegas Water District,Impr and Refg Ser 2003 A (FGIC Insd)
    5.25       06/01/22       2,977,416  
  1,600    
Nevada, Capital Improvement & Cultural Affairs Ser 2008 C (FSA Insd) (a)
    5.00       06/01/26       1,605,589  
       
 
                     
       
 
                    6,973,773  
       
 
                     
       
New Jersey (8.8%)
                       
  7,000    
New Jersey, 2001 Ser H (d)
    5.25       07/01/19       8,159,130  
  615    
New Jersey Economic Development Authority, Cigarette Tax Ser 2004
    5.75       06/15/34       497,947  
  4,135    
New Jersey Transportation Trust Fund Authority, Transportation System 2006 Ser C (AGC Insd) (f)
    0.00       12/15/26       1,555,959  
  2,750    
New Jersey Turnpike Authority, Ser 2003 A (AMBAC Insd)
    5.00       01/01/30       2,774,200  
  3,000    
Tobacco Settlement Financing Corporation, Ser 2007-1A
    4.625       06/01/26       2,078,430  
  3,000    
Tobacco Settlement Financing Corporation, Ser 2007-1B
    0.00       06/01/41       131,880  
       
 
                     
       
 
                    15,197,546  
       
 
                     
       
New Mexico (0.6%)
                       
  920    
New Mexico Finance Authority, Senior Lien Public Project Revolving Fund Ser 2008 A
    5.00       06/01/27       961,354  
       
 
                     
       
 
                       
       
New York (14.6%)
                       
  2,000    
Long Island Power Authority, New York, Ser 2004 A (AMBAC Insd)
    5.00       09/01/34       1,921,200  
  3,000    
Metropolitan Transportation Authority, New York, State Service Contract Refg Ser 2002 B (NATL-RE Insd)
    5.50       07/01/20       3,124,290  
  1,840    
New York City, 2009 Subser A-1 (a)
    5.25       08/15/27       1,915,760  
  1,840    
New York City, 2009 Subser A-1 (a)
    5.25       08/15/28       1,915,760  
  1,015    
New York City Transitional Finance Authority, 2010 Subser A-1 (a)
    5.00       05/01/28       1,048,779  
  1,015    
New York City Transitional Finance Authority, 2010 Subser A-1 (a)
    5.00       05/01/29       1,048,779  
  1,270    
New York City Transitional Finance Authority, 2010 Subser A-1 (a)
    5.00       05/01/30       1,312,266  
  2,000    
New York City Industrial Development Agency, Yankee Stadium Ser 2006 (FGIC Insd)
    5.00       03/01/46       1,646,640  
  3,000    
New York City Municipal Water Finance Authority, 2003 Ser A
    5.375       06/15/18       3,247,230  
  3,700    
New York City Trust for Cultural Resources, Museum of Modern Art Refg Ser 2008 1A (a)
    5.00       04/01/26       3,899,284  
  1,500    
New York State Dormitory Authority, Mental Health Services Facilities Improvement Ser 2007 A (FSA Insd)
    5.00       02/15/27       1,546,500  
  2,000    
New York State Energy & Research Development Authority, Brooklyn Union Gas Co 1991 Ser B (AMT)
    14.62 (e)     05/15/20       1,703,859  
  1,000    
Seneca Nation of Indians, Ser 2007 A
    5.00       12/01/23       749,160  
       
 
                     
       
 
                    25,079,507  
       
 
                     
       
North Carolina (1.2%)
                       
  1,100    
North Carolina Medical Care Commission, Salemtowne Refg Ser 2006
    5.10       10/01/30       801,240  

 


 

                                 
PRINCIPAL                        
AMOUNT IN         COUPON     MATURITY        
THOUSANDS         RATE     DATE     VALUE  
  1,200    
University of North Carolina, Chapel Hill Ser 2003
    5.00       12/01/24       1,251,072  
       
 
                     
       
 
                    2,052,312  
       
 
                     
       
Ohio (3.7%)
                       
  3,000    
American Municipal Power — Ohio, Inc., Prairie State Energy Campus Project Ser 2008 A (AGC Insd) (a)
    5.25       02/15/33       3,045,546  
  3,000    
Lorain County, Ohio, Catholic Healthcare Partners Ser 2001 A
    5.75       10/01/18       3,094,200  
  255    
Ohio State Water Development Authority 2009 Ser A
    5.875       06/01/33       265,264  
       
 
                     
       
 
                    6,405,010  
       
 
                     
       
Pennsylvania (3.6%)
                       
  2,000    
Allegheny County Development Authority, West Penn Allegheny Health Ser 2007 A
    5.375       11/15/40       1,205,380  
  5,000    
Pennsylvania Turnpike Commission, Ser 2004 A (AMBAC Insd)
    5.00       12/01/34       4,962,750  
       
 
                     
       
 
                    6,168,130  
       
 
                     
       
Puerto Rico (0.5%)
                       
  855    
Puerto Rico, Sales Tax Financing 2009 Subser A
    5.00       08/01/39       869,629  
       
 
                     
       
 
                       
       
South Carolina (6.4%)
                       
  3,000    
Charleston Educational Excellence Financing Corporation, Charleston County School District Ser 2005
    5.25       12/01/29       3,040,080  
  40    
Lexington County, Health Services District Inc., Lexington Medical Center Ser 2007
    5.00       11/01/16       41,820  
  205    
Richland County Environmental Improvement, 2007 Refg Ser A
    4.60       09/01/12       200,816  
  1,500    
South Carolina Public Service Authority, Santee Cooper, 2002 Refg Ser A (FSA Insd)
    5.125       01/01/20       1,609,290  
  1,000    
South Carolina Public Service Authority, Santee Cooper, 2002 Refg Ser A (FSA Insd)
    5.125       01/01/21       1,047,130  
  4,000    
South Carolina Public Service Authority, Santee Cooper, 2003 Refg Ser A (AMBAC Insd) (a)
    5.00       01/01/27       4,106,542  
  1,000    
South Carolina Public Transportation Infrastructure Bank Ser 2002 A (AMBAC Insd)
    5.25       10/01/22       1,022,790  
       
 
                     
       
 
                    11,068,468  
       
 
                     
       
Tennessee (0.6%)
                       
  1,005    
Tennessee Energy Acquisition Corporation, Ser 2006 A
    5.25       09/01/19       965,634  
       
 
                     
       
 
                       
       
Texas (17.4%)
                       
  1,090    
Aldine Independent School District, Bldg & Refg Ser 2001 (PSF Insd)
    5.00       02/15/26       1,105,445  
  2,000    
Alliance Airport Authority, Federal Express Corp Refg Ser 2006 (AMT)
    4.85       04/01/21       1,708,060  
  1,360    
Austin, Water & Wastewater ROLS RR II R — 674 (FSA Insd)
    12.87 (e)     05/15/27       1,412,577  
  3,000    
Board of Regents of the University of Houston System Ser 2008 (FSA Insd) (a)
    5.00       02/15/33       3,020,690  
  5,000    
Dallas-Fort Worth International Airport, Ser 2003 A (AMT) (FSA Insd) (a)
    5.375       11/01/22       5,023,600  
  555    
Friendswood Independent School District, Schoolhouse Ser 2008 (PSF Insd)
    5.00       02/15/25       595,593  
  1,335    
Harris County Health Facilities Development Corp,TECO Project, Ser 2008 (AGC Insd)
    5.25       11/15/23       1,350,553  
  1,485    
Harris County, Toll Road Unlimited Tax Ser 2007 C
    5.25       08/15/31       1,619,957  
  3,180    
Houston, Combined Utility First Lien Refg 2004 Ser A (FGIC Insd)
    5.25       05/15/23       3,307,900  
  4,500    
Houston, Combined Utility First Lien Refg 2004 Ser A (NATL-RE Insd)
    5.25       05/15/25       4,641,660  
  420    
Houston, Community College System Sr-Lien-Student Fee Ser 2008 (FSA Insd)
    5.00       04/15/23       448,715  
  2,300    
Houston, Hotel Occupancy Ser 2001 B (FSA Insd) (f)
    0.00       09/01/25       869,584  
  5,100    
North Texas Tollway Authority, System Rev Refunding Bond Ser 2008 D (AGC Insd) (f)
    0.00       01/01/28       1,677,441  
  1,025    
North Texas Tollway Authority Refg First Tier Ser 2008 D (f)
    0.00       01/01/31       271,512  
  1,000    
Tarrant County Cultural Educational Facilities Finance Corp, Air Force Village II Inc Ser 2007
    5.125       05/15/37       719,650  
  890    
Texas A&M University System Health Science Center,, Financing System Ser 2009 A
    5.00       05/15/25       967,163  
  835    
Texas A&M University System Health Science Center,, Financing System Ser 2009 A
    5.00       05/15/26       900,631  
  320    
Texas Municipal Gas Acquisition and Supply Corp. Ser 2008 D
    6.25       12/15/26       309,453  
       
 
                     
       
 
                    29,950,184  
       
 
                     
       
Utah (1.8%)
                       
  3,000    
Salt Lake City, IHC, Hospital Inc Refg Ser 1991 (ETM) (AMBAC Insd)
    12.56 (e)     05/15/20       3,028,380  
       
 
                     
       
 
                       
       
Virginia (0.8%)
                       
  1,750    
Fairfax County Economic Development Authority, Virginia, Residential Care Facilities, Goodwin House Inc Ser 2007
    5.125       10/01/37       1,366,260  
       
 
                     
       
 
                       
       
Washington (7.6%)
                       
  2,000    
Lewis County Public Utility District #1, Washington, Cowlitz Falls Refg Ser 2003 (NATL-RE Insd)
    5.00       10/01/22       2,048,180  
  3,020    
Port of Seattle, Washington, Passenger Facility Ser 1998 A (NATL-RE Insd)
    5.00       12/01/23       2,989,347  
  3,000    
Port of Seattle, Washington, Sub Lien Ser 1999 A (FGIC Insd)
    5.25       09/01/22       3,049,050  
  2,435    
Washington State, Various Purpose Ser 2010 A (a)
    5.00       08/01/29       2,540,010  
  2,315    
Washington State, Various Purpose Ser 2010 A (a)
    5.00       08/01/30       2,414,835  
       
 
                     
       
 
                    13,041,422  
       
 
                     
       
Wisconsin (0.6%)
                       
  1,000    
Wisconsin, 2009 Ser A
    5.625       05/01/28       1,079,730  
       
 
                     

 


 

                                 
PRINCIPAL                        
AMOUNT IN         COUPON     MATURITY        
THOUSANDS         RATE     DATE     VALUE  
       
Total Investments
(Cost $290,994,212) (h) (i)
    162.4 %             279,669,699  
       
Other Assets in Excess of Liabilities
    2.9               4,911,200  
       
Floating Rate Notes and Dealer Trusts Obligations Related to Securities Held
                       
       
Notes with interest rates ranging from 0.31% to 0.71% at July 31, 2009 and contractual maturities of collateral ranging from 07/01/16 to 08/15/42 (g)
(Cost ($31,340,000))
    (18.2 )             (31,340,000 )
       
Preferred Shares of Beneficial Interest
    (47.0 )             (81,000,000 )
       
 
                   
       
Net Assets Applicable to Common Shareholders
    100.0 %           $ 172,240,899  
       
 
                   
Note: The categories of investments are shown as a percentage of net assets applicable to common shareholders.
 
AMT   Alternative Minimum Tax.
 
COPs   Certificates of Participation.
 
ETM   Escrowed to Maturity.
 
PSF   Texas Permanent School Fund Guarantee Program.
 
ROLS   Reset Option Longs.
 
(a)   Underlying security related to inverse floater entered into by the Trust.
 
(b)   Joint exemption in locations shown.
 
(c)   Security is a “step-up” bond where the coupon increases on a pre-determined future date.
 
(d)   A portion of this security has been physically segregated in connection with open futures contracts.
 
(e)   Current coupon rate for inverse floating rate municipal obligations. This rate resets periodically as the auction rate on the related security changes. Position in inverse floating rate municipal obligations have a total value of $6,144,816 which represents 3.6% of net assets applicable to common shareholders.
 
(f)   Capital appreciation bond.
 
(g)   The Fund invests in Morgan Stanley Institutional Liquidity Funds — Tax-Exempt Portfolio — Institutional Class, an open-end management investment company managed by the Investment Adviser. Investment Advisory fees paid by the Fund are reduced by an amount equal to the advisory and administrative service fees paid by Morgan Stanley Institutional Liquidity Funds — Tax-Exempt Portfolio — Institutional Class with respect to assets invested by the Fund in Morgan Stanley Institutional Liquidity Funds — Tax-Exempt Portfolio — Institutional Class .
 
(g)   Floating rate note and dealer trusts obligations related to securities held — The Trust enters into transactions in which it transfers to Dealer Trusts (“Dealer Trusts”), fixed rate bonds in exchange for cash and residual interests in the Dealer Trusts’ assets and cash flows, which are in the form of inverse floating rate investments. The Dealer Trusts fund the purchases of the fixed rate bonds by issuing floating rate notes to third parties and allowing the Trust to retain residual interest in the bonds. The Trust enters into shortfall agreements with the Dealer Trusts which commit the Trust to pay the Dealer Trusts, in certain circumstances, the difference between the liquidation value of the fixed rate bonds held by the Dealer Trusts and the liquidation value of the floating rate notes held by third parties, as well as any shortfalls in interest cash flows. The residual interests held by the Trust (inverse floating rate investments) include the right of the Fund (1) to cause the holders of the floating rate notes to tender their notes at par at the next interest rate reset date, and (2) to transfer the municipal bond from the Dealer Trusts to the Trust, thereby collapsing the Dealer Trusts. The Trust accounts for the transfer of bonds to the Dealer Trusts as secured borrowings, with the securities transferred remaining in the Trust’s investment assets, and the related floating rate notes reflected as Trust liabilities. The notes issued by the Dealer Trusts have interest rates that reset weekly and the floating rate note holders have the option to tender their notes to the Dealer Trusts for redemption at par at each reset date. At July 31, 2009, Trust investments with a value of $52,940,041 are held by the Dealer Trusts and serve as collateral for the $31,340,000 in floating rate note obligations outstanding at that date.
 
(h)   Securities have been designated as collateral in connection with open futures contracts and inverse floating rate municipal obligations.
 
(i)   The aggregate cost for federal income tax purposes approximates the aggregate cost for book purposes.
Bond Insurance:
         
AGC  
Assured Guaranty Corporation.
AMBAC  
AMBAC Assurance Corporation.
BHAC  
Berkshire Hathaway Assurance Corporation.
FGIC  
Financial Guaranty Insurance Company.
FSA  
Financial Security Assurance Inc.
NATL-RE  
National Public Finance Guarantee Corporation.
XLCA  
XL Capital Assurance Inc.

 


 

Morgan Stanley Quality Municipal Investment Trust
Futures Contracts Open at July 31, 2009:
                                 
                            UNREALIZED  
NUMBER OF             DESCRIPTION, DELIVERY   UNDERLYING FACE     APPRECIATION  
CONTRACTS     LONG/SHORT     MONTH AND YEAR   AMOUNT AT VALUE     (DEPRECIATION)  
 
  25     Long  
U.S. Treasury Notes 5 Year, September 2009
  $ 2,884,570     $ 39,303  
 
  11     Long  
U.S. Treasury Notes 2 Year, September 2009
    2,382,359       (1,025 )
 
  14     Long  
U.S. Treasury Notes 10 Year, September 2009
    1,641,938       765  
 
  174     Short  
U.S. Treasury Notes 20 Year, September 2009
    (20,706,000 )     (529,055 )
 
               
 
             
 
               
Net Unrealized Depreciation
          $ (490,012 )
               
 
             

 


 

Morgan Stanley Quality Municipal Investment Trust
Notes to the Portfolio of Investments
SFAS 157 Disclosure
7/31/2009
The Fund adopted Financial Accounting Standards Board Statement of Financial Accounting Standards No. 157, Fair Value Measurements (“SFAS 157”), effective November 1, 2008. In accordance with SFAS 157, fair value is defined as the price that the Fund would receive to sell an investment or pay to transfer a liability in a timely transaction with an independent buyer in the principal market, or in the absence of a principal market the most advantageous market for the investment or liability. SFAS 157 establishes a three-tier hierarchy to distinguish between (1) inputs that reflect the assumptions market participants would use in pricing an asset or liability developed based on market data obtained from sources independent of the reporting entity (observable inputs) and (2) inputs that reflect the reporting entity’s own assumptions about the assumptions market participants would use in pricing an asset or liability developed based on the best information available in the circumstances (unobservable inputs) and to establish classification of fair value measurements for disclosure purposes. Various inputs are used in determining the value of the Fund’s investments. The inputs are summarized in the three broad levels listed below.
Level 1 — unadjusted quoted prices in active markets for identical investments
Level 2 — other significant observable inputs (including quoted prices for similar investments, interest rates, prepayment speeds, credit risk, etc.)
Level 3 — significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments)
The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities and the determination of the significance of a particular input to the fair value measurement in its entirety requires judgment and considers factors specific to each security.
The following is a summary of the inputs used as of July 31, 2009 in valuing the Fund’s investments carried at value:
                                 
    Fair Value Measurements at July 31, 2009 Using
            Unadjusted        
            Quoted Prices In   Significant   Significant
            Active Market for   Other Observable   Unobservable
            Identical Investments   Inputs   Inputs
Investment Type   Total   (Level 1)   (Level 2)   (Level 3)
 
Assets
                               
Tax-Exempt Municipal Bonds
  $ 279,669,699           $ 279,669,699        
Futures
    40,068       40,068              
 
Total
  $ 279,709,767     $ 40,068     $ 279,669,699        
 
Liabilities
                               
Futures
    ($530,080 )     ($530,080 )            
 
Valuation of Investments — (1) portfolio securities are valued by an outside independent pricing service approved by the Trustees. The pricing service uses both a computerized grid matrix of tax-exempt securities and evaluations by its staff, in each case based on information concerning market transactions and quotations from dealers which reflect the mean between the last reported bid and asked price. The portfolio securities are thus valued by reference to a combination of transactions and quotations for the same or other securities believed to be comparable in quality, coupon, maturity, type of issue, call provisions, trading characteristics and other features deemed to be relevant. The Trustees believe that timely and reliable market quotations are generally not readily available for purposes of valuing tax-exempt securities and that the valuations supplied by the pricing service are more likely to approximate the fair value of such securities; (2) futures are valued at the latest sale price on the commodities exchange on which they trade unless it is determined that such price does not reflect their market value, in which case they will be valued at their fair value as determined in good faith under procedures established by and under the supervision of the Trustees; (3) interest rate swaps are marked-to-market daily based upon quotations from market makers; (4) investments in open-end mutual funds, including the Morgan Stanley Institutional Liquidity Funds, are valued at the net asset value as of the close of each business day; and (5) short-term debt securities having a maturity date of more than sixty days at time of purchase are valued on a mark-to-market basis until sixty days prior to maturity and thereafter at amortized cost based on their value on the 61st day. Short-term debt securities having a maturity date of sixty days or less at the time of purchase are valued at amortized cost, which approximates market value.

 


 

Item 2. Controls and Procedures.
(a) The Trust’s principal executive officer and principal financial officer have concluded that the Trust’s disclosure controls and procedures are sufficient to ensure that information required to be disclosed by the Trust’s in this Form N-Q was recorded, processed, summarized and reported within the time periods specified in the Securities and Exchange Commission’s rules and forms, based upon such officers’ evaluation of these controls and procedures as of a date within 90 days of the filing date of the report.
(b) There were no changes in the Trust’s internal control over financial reporting that occurred during the registrant’s fiscal quarter that has materially affected, or is reasonably likely to materially affect, the Trust’s internal control over financial reporting.
Item 3. Exhibits.
(a) A separate certification for each principal executive officer and principal financial officer of the registrant are attached hereto.

2


 

SIGNATURES
     Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
         
Morgan Stanley Quality Municipal Investment Trust
 
   
/s/ Randy Takian      
Randy Takian     
Principal Executive Officer     
September 17, 2009
     Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed by the following persons on behalf of the registrant and in the capacities and on the dates indicated.
         
     
/s/ Randy Takian      
Randy Takian     
Principal Executive Officer     
September 17, 2009
         
     
/s/ Francis Smith      
Francis Smith     
Principal Financial Officer     
September 17, 2009

3