0001104659-13-084124.txt : 20131113 0001104659-13-084124.hdr.sgml : 20131113 20131113151754 ACCESSION NUMBER: 0001104659-13-084124 CONFORMED SUBMISSION TYPE: 485BPOS PUBLIC DOCUMENT COUNT: 7 FILED AS OF DATE: 20131113 DATE AS OF CHANGE: 20131113 EFFECTIVENESS DATE: 20131113 FILER: COMPANY DATA: COMPANY CONFORMED NAME: ACTIVE ASSETS TAX FREE TRUST CENTRAL INDEX KEY: 0000351881 IRS NUMBER: 133075002 STATE OF INCORPORATION: MA FISCAL YEAR END: 0630 FILING VALUES: FORM TYPE: 485BPOS SEC ACT: 1933 Act SEC FILE NUMBER: 002-71559 FILM NUMBER: 131214261 BUSINESS ADDRESS: STREET 1: 522 FIFTH AVENUE CITY: NEW YORK STATE: NY ZIP: 10036 BUSINESS PHONE: 800-869-6397 MAIL ADDRESS: STREET 1: 522 FIFTH AVENUE CITY: NEW YORK STATE: NY ZIP: 10036 FILER: COMPANY DATA: COMPANY CONFORMED NAME: ACTIVE ASSETS TAX FREE TRUST CENTRAL INDEX KEY: 0000351881 IRS NUMBER: 133075002 STATE OF INCORPORATION: MA FISCAL YEAR END: 0630 FILING VALUES: FORM TYPE: 485BPOS SEC ACT: 1940 Act SEC FILE NUMBER: 811-03162 FILM NUMBER: 131214262 BUSINESS ADDRESS: STREET 1: 522 FIFTH AVENUE CITY: NEW YORK STATE: NY ZIP: 10036 BUSINESS PHONE: 800-869-6397 MAIL ADDRESS: STREET 1: 522 FIFTH AVENUE CITY: NEW YORK STATE: NY ZIP: 10036 0000351881 S000004051 ACTIVE ASSETS TAX FREE TRUST C000011337 ACTIVE ASSETS TAX FREE TRUST aatxx 485BPOS 1 a13-20265_13485bpos.htm 485BPOS

As filed with the Securities and Exchange Commission on November 13, 2013

Registration Nos.: 2-71559
811-3162

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM N-1A

REGISTRATION STATEMENT
  UNDER THE SECURITIES ACT OF 1933  
x

  Pre-Effective Amendment No.  o

  Post-Effective Amendment No. 42  x

and/or

  REGISTRATION STATEMENT UNDER THE INVESTMENT COMPANY  

  ACT OF 1940  x

  Amendment No. 43  x

Active Assets Tax-Free Trust

(a Massachusetts business trust)

(Exact Name of Registrant as Specified in Charter)

522 Fifth Avenue
New York, New York 10036

(Address of Principal Executive Office)

Registrant's Telephone Number, Including Area Code: (212) 296-6970

Stefanie V. Chang Yu, Esq.
522 Fifth Avenue
New York, New York 10036

(Name and Address of Agent for Service)

Copy to:

        Carl Frischling, Esq.
Kramer Levin Naftalis & Frankel LLP
1177 Avenue of the Americas
New York, New York 10036
  Stuart M. Strauss, Esq.
Dechert LLP
1095 Avenue of the Americas
New York, New York 10036
 

Approximate Date of Proposed Public Offering:

As soon as practicable after this Post-Effective Amendment becomes effective.

It is proposed that this filing will become effective (check appropriate box):

         

X

   

Immediately upon filing pursuant to paragraph (b)

 
           

On (date) pursuant to paragraph (b)

 
           

60 days after filing pursuant to paragraph (a)(1)

 
           

On (date) pursuant to paragraph (a)(1)

 
           

75 days after filing pursuant to paragraph (a)(2)

 
           

On (date) pursuant to paragraph (a)(2) of Rule 485.

 

  Amending the Prospectus and Updating Financial Statements

  If appropriate, check the following box:

               

This post-effective amendment designates a new effective

 
               

date for a previously filed post-effective amendment.

 



 

SIGNATURES

 

Pursuant to the requirements of the Securities Act of 1933 and the Investment Company Act of 1940, the Registrant certifies that it meets all of the requirements for effectiveness of the Registration Statement pursuant to Rule 485(b) under the Securities Act of 1933 and has duly caused this Post-Effective Amendment to the Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of New York and State of New York on the 13th day of November, 2013.

 

ACTIVE ASSETS TAX-FREE TRUST

 

 

 

By:

/s/ Kevin Klingert

 

 

Kevin Klingert

 

 

President and Principal Executive Officer

 

Pursuant to the requirements of the Securities Act of 1933, this Post-Effective Amendment No. 42 has been signed below by the following persons in the capacities and on the dates indicated.

 

Signatures

 

Title

 

Date

 

 

 

 

 

(1) Principal Executive Officer

 

President and Principal

 

 

 

 

Executive Officer

 

 

 

 

 

 

 

By:

/s/ KEVIN KLINGERT

 

 

 

 

 

Kevin Klingert

 

 

 

November 13, 2013

 

 

 

 

 

(2) Principal Financial Officer

 

Principal Financial Officer

 

 

 

 

 

 

 

By:

/s/ FRANCIS J. SMITH

 

 

 

 

 

Francis J. Smith

 

 

 

November 13, 2013

 

 

 

 

 

(3) Majority of the Trustees

 

 

 

 

 

 

 

 

 

James F. Higgins

 

 

 

 

 

 

 

 

 

By:

/s/ STEFANIE V. CHANG YU

 

 

 

 

 

Stefanie V. Chang Yu

 

 

 

 

 

Attorney-in-Fact

 

 

 

November 13, 2013

 

 

 

 

 

 

Frank L. Bowman

 

Michael F. Klein

 

 

 

Michael Bozic

 

Michael E. Nugent (Chairman)

 

 

 

Kathleen A. Dennis

 

W. Allen Reed

 

 

 

Manuel H. Johnson

 

Fergus Reid

 

 

 

Joseph J. Kearns

 

 

 

 

 

 

 

 

 

By:

/s/ CARL FRISCHLING

 

 

 

 

 

Carl Frischling

 

 

 

 

 

Attorney-in-Fact

 

 

 

November 13, 2013

 

3



 

EXHIBIT INDEX

 

Index No.

 

Description of Exhibit

 

 

 

EX-101.INS

 

XBRL Instance Document

EX-101.SCH

 

XBRL Taxonomy Extension Schema Document

EX-101.CAL

 

XBRL Taxonomy Extension Calculation Linkbase

EX-101.DEF

 

XBRL Taxonomy Extension Definition Linkbase

EX-101.LAB

 

XBRL Taxonomy Extension Labels Linkbase

EX-101.PRE

 

XBRL Taxonomy Extension Presentation Linkbase

 

EX-101.INS 2 ck0000351881-20131028.xml XBRL INSTANCE DOCUMENT 0000351881 2013-06-30 2013-06-30 0000351881 ck0000351881:S000004050Member 2013-06-30 2013-06-30 0000351881 ck0000351881:S000004050Member ck0000351881:C000011336Member 2013-06-30 2013-06-30 0000351881 ck0000351881:S000004051Member 2013-06-30 2013-06-30 0000351881 ck0000351881:S000004051Member ck0000351881:C000011337Member 2013-06-30 2013-06-30 0000351881 ck0000351881:S000004036Member 2013-06-30 2013-06-30 0000351881 ck0000351881:S000004036Member ck0000351881:C000011321Member 2013-06-30 2013-06-30 0000351881 ck0000351881:S000004040Member 2013-06-30 2013-06-30 0000351881 ck0000351881:S000004040Member ck0000351881:C000011325Member 2013-06-30 2013-06-30 xbrli:pure iso4217:USD The Fund's "Distributor," Morgan Stanley Distribution, Inc., its "Adviser," Morgan Stanley Investment Management Inc., and its "Administrator," Morgan Stanley Services Company Inc., have agreed to waive and/or reimburse all or a portion of the Fund's distribution fee, advisory fee and administration fee, respectively, to the extent that total expenses exceed total income on a daily basis. These fee waivers and/or expense reimbursements will continue for at least one year or until such time as the Fund's Board of Trustees acts to discontinue all or a portion of such waivers and/or expense reimbursements when it deems such action appropriate. ACTIVE ASSETS TAX FREE TRUST 485BPOS false 0000351881 2013-06-30 2013-10-28 2013-10-31 2013-10-31 ACTIVE ASSETS MONEY TRUST aamxx Principal Investment Strategies <p align="left" style="margin:0pt 0pt 4pt 0pt;"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">The Fund invests in high quality, short-term debt obligations. In selecting investments, the Adviser seeks to maintain the Fund's share price at $1.00. The Fund's investments include the following money market instruments: corporate obligations (including, but not limited to, commercial paper); debt obligations of U.S.-regulated banks (including domestic branches or subsidiaries of foreign banks) and instruments secured by those obligations (including certificates of deposit); certificates of deposit of savings banks and savings and loan associations; debt obligations issued or guaranteed as to principal and interest by the U.S. Government, its agencies or instrumentalities; asset-backed securities; U.S. dollar-denominated foreign bank obligations; repurchase agreements; and municipal obligations.</font> </p> Fees and Expenses <p align="left" style="margin:0pt 0pt 3pt 0pt;"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">The table below describes the fees and expenses that you may pay if you buy and hold shares of the Fund. The Fund is a no-load fund. The Fund does not impose any sales charges.</font> </p> 0.0025 0.0010 0.0007 0.0042 -0.0016 0.0026 ~ http://morganstanley.com/20131028/role/ScheduleAnnualFundOperatingExpenses20001 column dei_LegalEntityAxis compact ck0000351881_S000004050Member row primary compact * ~ Annual Fund Operating Expenses (expenses that you pay each year as a percentage of the value of your investment) Example <p align="left" style="margin:0pt 0pt 6pt 0pt;"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">The example below is intended to help you compare the cost of investing in the Fund with the cost of investing in other mutual funds.</font> </p> <br/><p align="left" style="margin:0pt 0pt 6pt 0pt;"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">The example assumes that you invest $10,000 in the Fund, your investment has a 5% return each year, and the Fund's operating expenses remain the same. Although your actual costs may be higher or lower, based on these assumptions your costs would be:</font> </p> 27 84 146 331 ~ http://morganstanley.com/20131028/role/ScheduleExpenseExampleTransposed20002 column dei_LegalEntityAxis compact ck0000351881_S000004050Member row primary compact * ~ Principal Risks <p align="left" style="margin:0pt 0pt 4pt 0pt;"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">There is no assurance that the Fund will achieve its investment objectives. Although the Fund seeks to preserve the value of your investment at $1.00 per share, if it is unable to do so, it is possible to lose money by investing in the Fund. The principal risks of investing in the Fund include:</font> </p> <br/><p align="left" style="margin:0pt 0pt 3pt 0pt;"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">&#8226;&#160;&#160;</font><font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;"><b><i>Credit and Interest Rate Risk.</i></b></font> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">Credit risk refers to the possibility that the issuer or guarantor of a security will be unable to make interest payments and/or repay the principal on its debt. Interest rate risk refers to fluctuations in the value of a debt security resulting from changes in the general level of interest rates. The historically low interest rate environment increases the risk associated with rising interest rates.</font> </p> <br/><p align="left" style="margin:0pt 0pt 3pt 0pt;"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">&#8226;&#160;&#160;</font><font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;"><b><i>U.S. Government Securities.</i></b></font> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">With respect to U.S. government securities that are not backed by the full faith and credit of the United States, there is the risk that the U.S. Government will not provide financial support to such U.S. government agencies, instrumentalities or sponsored enterprises if it is not obligated to do so by law.</font> </p> <br/><p align="left" style="margin:0pt 0pt 3pt 0pt;"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">&#8226;&#160;&#160;</font><font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;"><b><i>Asset-Backed Securities.</i></b></font> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">Asset-backed securities involve the risk that the various federal and state consumer laws and other legal and economic factors may result in the collateral backing the securities being insufficient to support payment on the securities. Some asset-backed securities also entail prepayment risk, which may vary depending on the type of asset.</font> </p> <br/><p align="left" style="margin:0pt 0pt 3pt 0pt;"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">&#8226;&#160;&#160;</font><font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;"><b><i>Foreign Money Market Securities.</i></b></font> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">Investing in money market securities of foreign issuers involves some additional risks, including the possibility of adverse political, economic or other developments affecting the issuers of these securities.</font> </p> <br/><p align="left" style="margin:0pt 0pt 3pt 0pt;"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">&#8226;&#160;&#160;</font><font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;"><b><i>Repurchase Agreements.</i></b></font> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">Repurchase agreements are subject to risks associated with the possibility of default by the seller at a time when the collateral has declined in value, or insolvency of the seller, which may affect the Fund's right to control the collateral and result in certain costs and delays. Repurchase agreements may involve a greater degree of credit risk than investments in U.S. government securities.</font> </p> <br/><p align="left" style="margin:0pt 0pt 3pt 0pt;"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">&#8226;&#160;&#160;</font><font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;"><b><i>Municipal Obligations.</i></b></font> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">To the extent the Fund invests in municipal obligations issued by state and local governments and their agencies, the Fund may be susceptible to political, economic, regulatory or other factors affecting issuers of these municipal obligations.</font> </p> <br/><p align="left" style="margin:0pt 0pt 6pt 0pt;"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">Shares of the Fund are not bank deposits and are not guaranteed or insured by the Federal Deposit Insurance Corporation or any other government agency.</font> </p> Shares of the Fund are not bank deposits and are not guaranteed or insured by the Federal Deposit Insurance Corporation or any other government agency. Although the Fund seeks to preserve the value of your investment at $1.00 per share, if it is unable to do so, it is possible to lose money by investing in the Fund. Past Performance <p align="left" style="margin:0pt 0pt 3pt 0pt;"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">The bar chart and table below provide some indication of the risks of investing in the Fund by showing changes in the Fund's performance from year to year and by showing the Fund's average annual returns for the one, five and 10 year periods. The Fund's past performance does not indicate how the Fund will perform in the future.</font> </p> Annual Total Returns-Calendar Years 0.0078 0.0099 0.0285 0.0468 0.0501 0.0263 0.0003 0.0001 0.0001 0.0001 ~ http://morganstanley.com/20131028/role/ScheduleAnnualTotalReturnsBarChart20003 column dei_LegalEntityAxis compact ck0000351881_S000004050Member column rr_ProspectusShareClassAxis compact ck0000351881_C000011336Member row primary compact * ~ High Quarter 0.0124 2007-09-30 Low Quarter 0.0000 2009-06-30 year-to-date total return 0.0001 2013-09-30 <p align="left" style="margin:0pt 0pt 3pt 0pt;"> <font style="font-size:8pt; font-family: Arial, Helvetica;">The year-to-date total return as of September 30, 2013 was 0.01%.</font> </p> <br/><table border="0" cellpadding="0" cellspacing="0" width="100%"> <tr> <td align="left" colspan="3" style="padding:6pt .7pt 0pt 0pt;" valign="bottom" width="65"> <p style="margin:0pt 0pt 0pt 0pt"> <font style="font-size:8pt; font-family: Arial, Helvetica;"><b>High Quarter</b></font> </p> </td> <td colspan="1"> &#160; </td> <td align="left" colspan="3" style="padding:6pt .7pt 0pt 0pt;" valign="bottom" width="47"> <p style="margin:0pt 0pt 0pt 0pt"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">9/30/07</font> </p> </td> <td colspan="1"> &#160; </td> <td colspan="1" style="padding:6pt .7pt 0pt 0pt;" valign="bottom" width="8"> &#160; </td> <td align="right" colspan="1" style="padding:6pt .7pt 0pt 0pt;" valign="bottom" width="33"> <p style="margin:0pt 0pt 0pt 0pt"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">1.24</font> </p> </td> <td align="left" colspan="1" style="padding:6pt .7pt 0pt 0pt;" valign="bottom" width="24"> <p style="margin:0pt 0pt 0pt 0pt; white-space:nowrap"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">%</font> </p> </td> <td colspan="1" width="8"> &#160; </td> </tr> <tr> <td align="left" colspan="3" style="padding:0pt .7pt 6pt 0pt;" valign="bottom" width="65"> <p style="margin:0pt 0pt 0pt 0pt"> <font style="font-size:8pt; font-family: Arial, Helvetica;"><b>Low Quarter</b></font> </p> </td> <td colspan="1"> &#160; </td> <td align="left" colspan="3" style="padding:0pt .7pt 6pt 0pt;" valign="bottom" width="47"> <p style="margin:0pt 0pt 0pt 0pt"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">6/30/09</font> </p> </td> <td colspan="1"> &#160; </td> <td colspan="1" style="padding:0pt .7pt 6pt 0pt;" valign="bottom" width="8"> &#160; </td> <td align="right" colspan="1" style="padding:0pt .7pt 6pt 0pt;" valign="bottom" width="33"> <p style="margin:0pt 0pt 0pt 0pt"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">0.00</font> </p> </td> <td align="left" colspan="1" style="padding:0pt .7pt 6pt 0pt;" valign="bottom" width="24"> <p style="margin:0pt 0pt 0pt 0pt; white-space:nowrap"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">%</font> </p> </td> <td colspan="1" width="8"> &#160; </td> </tr> </table> 0.0001 0.0053 0.0168 ~ http://morganstanley.com/20131028/role/ScheduleAverageAnnualReturnsTransposed20004 column dei_LegalEntityAxis compact ck0000351881_S000004050Member column rr_PerformanceMeasureAxis compact * row primary compact * ~ <p align="left" style="margin:6pt 0pt 6pt 0pt;"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">For the Fund's most recent 7-day annualized yield you may call toll-free (800) 548-7786.</font> </p> Average Annual Total Returns (as of December 31, 2012) The bar chart and table below provide some indication of the risks of investing in the Fund by showing changes in the Fund's performance from year to year and by showing the Fund's average annual returns for the one, five and 10 year periods. (800) 548-7786 The Fund's past performance does not indicate how the Fund will perform in the future. Investment Objectives <p align="left" style="margin:0pt 0pt 6pt 0pt;"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">Active Assets Money Trust is a money market fund that seeks to provide high current income, preservation of capital and liquidity.</font> </p> ACTIVE ASSETS TAX-FREE TRUST aatxx Principal Investment Strategies <p align="left" style="margin:0pt 0pt 5pt 0pt;"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">The Fund will invest in high quality, short-term securities that are normally municipal obligations that pay interest exempt from federal income taxes. The Adviser seeks to maintain the Fund's share price at $1.00. The Fund has a fundamental policy of investing at least 80% of its net assets in securities the interest on which is exempt from federal personal income tax. This policy may not be changed without shareholder approval. In addition, the Fund may invest up to 20% of its net assets in securities that pay interest income subject to the "alternative minimum tax," and some taxpayers may have to pay tax on a Fund distribution of this income. For more information, please refer to the section of this</font> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;"><i>Prospectus</i></font> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">entitled "Tax Consequences."</font> </p> <br/><p align="left" style="margin:0pt 0pt 5pt 0pt;"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">Municipal obligations are securities issued by state and local governments and their agencies. These securities typically are "general obligation" or "revenue" bonds, notes or commercial paper, including participations in lease obligations and installment purchase contracts of municipalities.</font> </p> <br/><p align="left" style="margin:0pt 0pt 6pt 0pt;"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">The Fund may purchase debt obligations that have fixed, variable or floating rates of interest. The interest rates payable on variable or floating rate obligations may fluctuate based upon changes in market rates.</font> </p> <br/><p align="left" style="margin:0pt 0pt 6pt 0pt;"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">The Fund's investments may include tender option bonds and custodial receipts. Tender option bonds are municipal obligations held pursuant to a custodial arrangement and issued pursuant to an agreement with a third-party such as a bank or financial institution to provide the holder with the</font> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">option of tendering the bond at periodic intervals. The holder of the tender option bond effectively holds a demand obligation that bears interest at prevailing short-term rates. Custodial receipts represent interests in future interest and/or principal payments on U.S. government securities or municipal obligations. Additionally, the Fund may invest in investment companies, including money market funds some or all of which may be advised or managed by the Adviser or its affiliates.</font> </p> Fees and Expenses <p align="left" style="margin:0pt 0pt 3pt 0pt;"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">The table below describes the fees and expenses that you may pay if you buy and hold shares of the Fund. The Fund is a no-load fund. The Fund does not impose any sales charges.</font> </p> 0.0024 0.0010 0.0007 0.0041 -0.0025 0.0016 ~ http://morganstanley.com/20131028/role/ScheduleAnnualFundOperatingExpenses20007 column dei_LegalEntityAxis compact ck0000351881_S000004051Member row primary compact * ~ Annual Fund Operating Expenses (expenses that you pay each year as a percentage of the value of your investment) Example <p align="left" style="margin:0pt 0pt 6pt 0pt;"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">The example below is intended to help you compare the cost of investing in the Fund with the cost of investing in other mutual funds.</font> </p> <br/><p align="left" style="margin:0pt 0pt 6pt 0pt;"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">The example assumes that you invest $10,000 in the Fund, your investment has a 5% return each year, and the Fund's operating expenses remain the same. Although your actual costs may be higher or lower, based on these assumptions your costs would be:</font> </p> 16 52 90 205 ~ http://morganstanley.com/20131028/role/ScheduleExpenseExampleTransposed20008 column dei_LegalEntityAxis compact ck0000351881_S000004051Member row primary compact * ~ Principal Risks <p align="left" style="margin:0pt 0pt 6pt 0pt;"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">There is no assurance that the Fund will achieve its investment objectives. Although the Fund seeks to preserve the value of your investment at $1.00 per share, if it is unable to do so, it is possible to lose money by investing in the Fund. The principal risks of investing in the Fund include:</font> </p> <br/><p align="left" style="margin:0pt 0pt 4pt 0pt;"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">&#8226;&#160;&#160;</font><font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;"><b><i>Credit and Interest Rate Risk.</i></b></font> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">Credit risk refers to the possibility that the issuer or guarantor of a security will be unable to make interest payments and/or repay the principal on its debt. In the case of revenue bonds, notes or commercial paper, for example, the credit risk is the possibility that the user fees from a project or other specified revenue sources are insufficient to meet interest and/or principal payment obligations. Interest rate risk refers to fluctuations in the value of a debt security resulting from changes in the general level of interest rates. The historically low interest rate environment increases the risk associated with rising interest rates.</font> </p> <br/><p align="left" style="margin:0pt 0pt 4pt 0pt;"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">&#8226;&#160;&#160;</font><font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;"><b><i>Tender Option Bonds and Custodial Receipts.</i></b></font> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">The risks of tender option bonds and custodial receipts include the risk that the owner of such instruments may not be considered the owner for federal income tax purposes and thus will not be entitled to treat such interest as exempt from federal income tax. Additionally, the occurrence of certain defaults or a credit rating downgrade on the underlying security may impair the ability to tender the bond or receipt back to the third-party provider of the demand option, thus causing the bond or receipt to become illiquid.</font> </p> <br/><p align="left" style="margin:0pt 0pt 6pt 0pt;"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">&#8226;&#160;&#160;</font><font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;"><b><i>Investment Companies.</i></b></font> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">An investment in an investment company is subject to the underlying risks of that investment company's portfolio securities. In addition to the Fund's fees and expenses, the Fund generally would bear its share of the investment company's fees and expenses.</font> </p> <br/><p align="left" style="margin:0pt 0pt 6pt 0pt;"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">Shares of the Fund are not bank deposits and are not guaranteed or insured by the Federal Deposit Insurance Corporation or any other government agency.</font> </p> Shares of the Fund are not bank deposits and are not guaranteed or insured by the Federal Deposit Insurance Corporation or any other government agency. Although the Fund seeks to preserve the value of your investment at $1.00 per share, if it is unable to do so, it is possible to lose money by investing in the Fund. Past Performance <p align="left" style="margin:0pt 0pt 6pt 0pt;"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">The bar chart and table below provide some indication of the risks of investing in the Fund by showing changes in the Fund's performance from year to year and by showing the Fund's average annual returns for the one, five and 10 year periods. The Fund's past performance does not indicate how the Fund will perform in the future.</font> </p> Annual Total Returns-Calendar Years 0.0057 0.0074 0.0194 0.0301 0.0328 0.0173 0.0004 0.0001 0.0001 0.0001 ~ http://morganstanley.com/20131028/role/ScheduleAnnualTotalReturnsBarChart20009 column dei_LegalEntityAxis compact ck0000351881_S000004051Member column rr_ProspectusShareClassAxis compact ck0000351881_C000011337Member row primary compact * ~ High Quarter 0.0083 2007-06-30 Low Quarter 0.0000 2011-03-31 year-to-date total return 0.0001 2013-09-30 <p align="left" style="margin:0pt 0pt 6pt 0pt;"> <font style="font-size:8pt; font-family: Arial, Helvetica;">The year-to-date total return as of September 30, 2013 was 0.01%.</font> </p> <br/><table border="0" cellpadding="0" cellspacing="0" width="100%"> <tr> <td align="left" colspan="3" style="padding:6pt .7pt 0pt 0pt;" valign="bottom" width="65"> <p style="margin:0pt 0pt 0pt 0pt"> <font style="font-size:8pt; font-family: Arial, Helvetica;"><b>High Quarter</b></font> </p> </td> <td colspan="1"> &#160; </td> <td align="left" colspan="3" style="padding:6pt .7pt 0pt 0pt;" valign="bottom" width="47"> <p style="margin:0pt 0pt 0pt 0pt"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">6/30/07</font> </p> </td> <td colspan="1"> &#160; </td> <td colspan="1" style="padding:6pt .7pt 0pt 0pt;" valign="bottom" width="8"> &#160; </td> <td align="right" colspan="1" style="padding:6pt .7pt 0pt 0pt;" valign="bottom" width="33"> <p style="margin:0pt 0pt 0pt 0pt"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">0.83</font> </p> </td> <td align="left" colspan="1" style="padding:6pt .7pt 0pt 0pt;" valign="bottom" width="24"> <p style="margin:0pt 0pt 0pt 0pt; white-space:nowrap"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">%</font> </p> </td> <td colspan="1" width="8"> &#160; </td> </tr> <tr> <td align="left" colspan="3" style="padding:0pt .7pt 6pt 0pt;" valign="bottom" width="65"> <p style="margin:0pt 0pt 0pt 0pt"> <font style="font-size:8pt; font-family: Arial, Helvetica;"><b>Low Quarter</b></font> </p> </td> <td colspan="1"> &#160; </td> <td align="left" colspan="3" style="padding:0pt .7pt 6pt 0pt;" valign="bottom" width="47"> <p style="margin:0pt 0pt 0pt 0pt"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">3/31/11</font> </p> </td> <td colspan="1"> &#160; </td> <td colspan="1" style="padding:0pt .7pt 6pt 0pt;" valign="bottom" width="8"> &#160; </td> <td align="right" colspan="1" style="padding:0pt .7pt 6pt 0pt;" valign="bottom" width="33"> <p style="margin:0pt 0pt 0pt 0pt"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">0.00</font> </p> </td> <td align="left" colspan="1" style="padding:0pt .7pt 6pt 0pt;" valign="bottom" width="24"> <p style="margin:0pt 0pt 0pt 0pt; white-space:nowrap"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">%</font> </p> </td> <td colspan="1" width="8"> &#160; </td> </tr> </table> 0.0001 0.0036 0.0113 ~ http://morganstanley.com/20131028/role/ScheduleAverageAnnualReturnsTransposed20010 column dei_LegalEntityAxis compact ck0000351881_S000004051Member column rr_PerformanceMeasureAxis compact * row primary compact * ~ <p align="left" style="margin:6pt 0pt 6pt 0pt;"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">For the Fund's most recent 7-day annualized yield you may call toll-free (800) 548-7786.</font> </p> Average Annual Total Returns (as of December 31, 2012) The bar chart and table below provide some indication of the risks of investing in the Fund by showing changes in the Fund's performance from year to year and by showing the Fund's average annual returns for the one, five and 10 year periods. (800) 548-7786 The Fund's past performance does not indicate how the Fund will perform in the future. Investment Objective <p align="left" style="margin:0pt 0pt 6pt 0pt;"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">Active Assets Tax-Free Trust is a money market fund that seeks to provide as high a level of daily income exempt from federal personal income tax as is consistent with stability of principal and liquidity.</font> </p> ACTIVE ASSETS CALIFORNIA TAX-FREE TRUST aacxx Principal Investment Strategies <p align="left" style="margin:0pt 0pt 5pt 0pt;"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">The Fund will invest in high quality, short-term securities that are normally municipal obligations that pay interest exempt from federal and California personal income taxes. The Adviser seeks to maintain the Fund's share price at $1.00. The Adviser generally invests substantially all of the Fund's assets in California municipal obligations and the Fund has a fundamental policy of investing at least 80% of its net assets in securities the interest on which is exempt from federal and California personal income tax. This policy may not be changed without shareholder approval. In addition, the Fund may invest up to 20% of its net assets in securities that pay interest income subject to the "alternative minimum tax," and some taxpayers may have to pay tax on a Fund distribution of this income. For more information, please refer to the section of this</font> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;"><i>Prospectus</i></font> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">entitled "Tax Consequences."</font> </p> <br/><p align="left" style="margin:0pt 0pt 6pt 0pt;"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">Municipal obligations are securities issued by state and local governments and their agencies. These securities typically are "general obligation" or "revenue" bonds, notes or commercial paper, including participations in lease obligations and installment purchase contracts of municipalities.</font> </p> <br/><p align="left" style="margin:0pt 0pt 6pt 0pt;"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">The Fund may purchase debt obligations that have fixed, variable or floating rates of interest. The interest rates payable on variable or floating rate obligations may fluctuate based upon changes in market rates.</font> </p> <br/><p align="left" style="margin:0pt 0pt 6pt 0pt;"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">The Fund's investments may include tender option bonds and custodial receipts. Tender option bonds are municipal obligations held pursuant to a custodial arrangement and issued pursuant to an agreement with a third-party such as a</font> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">bank or financial institution to provide the holder with the option of tendering the bond at periodic intervals. The holder of the tender option bond effectively holds a demand obligation that bears interest at prevailing short-term rates. Custodial receipts represent interests in future interest and/or principal payments on U.S. government securities or municipal obligations. Additionally, the Fund may invest in investment companies, including money market funds some or all of which may be advised or managed by the Adviser or its affiliates.</font> </p> Fees and Expenses <p align="left" style="margin:0pt 0pt 3pt 0pt;"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">The table below describes the fees and expenses that you may pay if you buy and hold shares of the Fund. The Fund is a no-load fund. The Fund does not impose any sales charges.</font> </p> 0.0033 0.0010 0.0008 0.0051 -0.0037 0.0014 ~ http://morganstanley.com/20131028/role/ScheduleAnnualFundOperatingExpenses20013 column dei_LegalEntityAxis compact ck0000351881_S000004036Member row primary compact * ~ Annual Fund Operating Expenses(expenses that you pay each year as a percentage of the value of your investment) Example <p align="left" style="margin:0pt 0pt 6pt 0pt;"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">The example below is intended to help you compare the cost of investing in the Fund with the cost of investing in other mutual funds.</font> </p> <br/><p align="left" style="margin:0pt 0pt 6pt 0pt;"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">The example assumes that you invest $10,000 in the Fund, your investment has a 5% return each year, and the Fund's operating expenses remain the same. Although your actual costs may be higher or lower, based on these assumptions your costs would be:</font> </p> 14 45 79 179 ~ http://morganstanley.com/20131028/role/ScheduleExpenseExampleTransposed20014 column dei_LegalEntityAxis compact ck0000351881_S000004036Member row primary compact * ~ Principal Risks <p align="left" style="margin:0pt 0pt 6pt 0pt;"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">There is no assurance that the Fund will achieve its investment objectives. Although the Fund seeks to preserve the value of your investment at $1.00 per share, if it is unable to do so, it is possible to lose money by investing in the Fund. The principal risks of investing in the Fund include:</font> </p> <br/><p align="left" style="margin:0pt 0pt 4pt 0pt;"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">&#8226;&#160;&#160;</font><font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;"><b><i>Credit and Interest Rate Risk.</i></b></font> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">Credit risk refers to the possibility that the issuer or guarantor of a security will be unable to make interest payments and/or repay the principal on its debt. In the case of revenue bonds, notes or commercial paper, for example, the credit risk is the possibility that the user fees from a project or other specified revenue sources are insufficient to meet interest and/or principal payment obligations. Interest rate risk refers to fluctuations in the value of a debt security resulting from changes in the general level of interest rates. The historically low interest rate environment increases the risk associated with rising interest rates.</font> </p> <br/><p align="left" style="margin:0pt 0pt 4pt 0pt;"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">&#8226;&#160;&#160;</font><font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;"><b><i>Tender Option Bonds and Custodial Receipts.</i></b></font> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">The risks of tender option bonds and custodial receipts include the risk that the owner of such instruments may not be considered the owner for federal income tax purposes and thus will not be entitled to treat such interest as exempt from federal income tax. Additionally, the occurrence of certain defaults or a credit rating downgrade on the underlying security may impair the ability to tender the bond or receipt back to the third-party provider of the demand option, thus causing the bond or receipt to become illiquid.</font> </p> <br/><p align="left" style="margin:0pt 0pt 6pt 0pt;"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">&#8226;&#160;&#160;</font><font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;"><b><i>Investment Companies.</i></b></font> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">An investment in an investment company is subject to the underlying risks of that investment company's portfolio securities. In addition to the Fund's fees and expenses, the Fund generally would bear its share of the investment company's fees and expenses.</font> </p> <br/><p align="left" style="margin:0pt 0pt 6pt 0pt;"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">&#8226;&#160;&#160;</font><font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;"><b><i>California Municipal Securities Risks.</i></b></font> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">As the Fund invests principally in municipal obligations issued by state and local governments and their agencies, the Fund is susceptible to political, economic, or other factors affecting issuers of California municipal obligations. The deterioration of California's fiscal situation during the recent economic downturn increases the risk of investing in California municipal securities. Several ratings agencies have downgraded California's general obligation bond rating in recent years. A default or credit rating downgrade of a small number of California municipal security issuers could affect the market values and marketability of all California municipal obligations held by the Fund and the Fund's performance.</font> </p> <br/><p align="left" style="margin:0pt 0pt 6pt 0pt;"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">Shares of the Fund are not bank deposits and are not guaranteed or insured by the Federal Deposit Insurance Corporation or any other government agency.</font> </p> Shares of the Fund are not bank deposits and are not guaranteed or insured by the Federal Deposit Insurance Corporation or any other government agency. Although the Fund seeks to preserve the value of your investment at $1.00 per share, if it is unable to do so, it is possible to lose money by investing in the Fund. Past Performance <p align="left" style="margin:0pt 0pt 6pt 0pt;"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">The bar chart and table below provide some indication of the risks of investing in the Fund by showing changes in the Fund's performance from year to year and by showing the Fund's average annual returns for the one, five and 10 year periods. The Fund's past performance does not indicate how the Fund will perform in the future.</font> </p> Annual Total Returns-Calendar Years 0.0041 0.0060 0.0178 0.0282 0.0310 0.0155 0.0002 0.0001 0.0001 0.0001 ~ http://morganstanley.com/20131028/role/ScheduleAnnualTotalReturnsBarChart20015 column dei_LegalEntityAxis compact ck0000351881_S000004036Member column rr_ProspectusShareClassAxis compact ck0000351881_C000011321Member row primary compact * ~ High Quarter 0.0079 2007-06-30 Low Quarter 0.0000 2009-06-30 year-to-date total return 0.0001 2013-09-30 <p align="left" style="margin:0pt 0pt 6pt 0pt;"> <font style="font-size:8pt; font-family: Arial, Helvetica;">The year-to-date total return as of September 30, 2013 was 0.01%.</font> </p> <br/><table border="0" cellpadding="0" cellspacing="0" width="100%"> <tr> <td align="left" colspan="3" style="padding:6pt .7pt 0pt 0pt;" valign="bottom" width="65"> <p style="margin:0pt 0pt 0pt 0pt"> <font style="font-size:8pt; font-family: Arial, Helvetica;"><b>High Quarter</b></font> </p> </td> <td colspan="1"> &#160; </td> <td align="left" colspan="3" style="padding:6pt .7pt 0pt 0pt;" valign="bottom" width="47"> <p style="margin:0pt 0pt 0pt 0pt"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">6/30/07</font> </p> </td> <td colspan="1"> &#160; </td> <td colspan="1" style="padding:6pt .7pt 0pt 0pt;" valign="bottom" width="8"> &#160; </td> <td align="right" colspan="1" style="padding:6pt .7pt 0pt 0pt;" valign="bottom" width="33"> <p style="margin:0pt 0pt 0pt 0pt"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">0.79</font> </p> </td> <td align="left" colspan="1" style="padding:6pt .7pt 0pt 0pt;" valign="bottom" width="24"> <p style="margin:0pt 0pt 0pt 0pt; white-space:nowrap"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">%</font> </p> </td> <td colspan="1" width="8"> &#160; </td> </tr> <tr> <td align="left" colspan="3" style="padding:0pt .7pt 6pt 0pt;" valign="bottom" width="65"> <p style="margin:0pt 0pt 0pt 0pt"> <font style="font-size:8pt; font-family: Arial, Helvetica;"><b>Low Quarter</b></font> </p> </td> <td colspan="1"> &#160; </td> <td align="left" colspan="3" style="padding:0pt .7pt 6pt 0pt;" valign="bottom" width="47"> <p style="margin:0pt 0pt 0pt 0pt"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">6/30/09</font> </p> </td> <td colspan="1"> &#160; </td> <td colspan="1" style="padding:0pt .7pt 6pt 0pt;" valign="bottom" width="8"> &#160; </td> <td align="right" colspan="1" style="padding:0pt .7pt 6pt 0pt;" valign="bottom" width="33"> <p style="margin:0pt 0pt 0pt 0pt"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">0.00</font> </p> </td> <td align="left" colspan="1" style="padding:0pt .7pt 6pt 0pt;" valign="bottom" width="24"> <p style="margin:0pt 0pt 0pt 0pt; white-space:nowrap"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">%</font> </p> </td> <td colspan="1" width="8"> &#160; </td> </tr> </table> 0.0001 0.0032 0.0102 ~ http://morganstanley.com/20131028/role/ScheduleAverageAnnualReturnsTransposed20016 column dei_LegalEntityAxis compact ck0000351881_S000004036Member column rr_PerformanceMeasureAxis compact * row primary compact * ~ <p align="left" style="margin:0pt 0pt 6pt 0pt;"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">For the Fund's most recent 7-day annualized yield you may call toll-free (800) 548-7786.</font> </p> Average Annual Total Returns (as of December 31, 2012) The bar chart and table below provide some indication of the risks of investing in the Fund by showing changes in the Fund's performance from year to year and by showing the Fund's average annual returns for the one, five and 10 year periods. (800) 548-7786 The Fund's past performance does not indicate how the Fund will perform in the future. Investment Objective <p align="left" style="margin:0pt 0pt 6pt 0pt;"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">Active Assets California Tax-Free Trust is a money market fund that seeks to provide as high a level of daily income exempt from federal and California personal income tax as is consistent with stability of principal and liquidity.</font> </p> ACTIVE ASSETS GOVERNMENT SECURITIES TRUST aagxx Principal Investment Strategies <p align="left" style="margin:0pt 0pt 5pt 0pt;"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">The Fund invests in high quality, short-term U.S. government securities. In selecting investments, the Adviser seeks to maintain the Fund's share price at $1.00. The U.S. government securities that the Fund may purchase include: U.S Treasury bills, notes and bonds, all of which are direct obligations of the U.S. Government; securities issued by agencies and instrumentalities of the U.S. Government which are backed by the full faith and credit of the United States; securities issued by agencies and instrumentalities which are not backed by the full faith and credit of the United States, but whose issuing agency or instrumentality has the right to borrow from the U.S. Treasury to meet its obligations; and securities issued by agencies and instrumentalities which are backed solely by the credit of the issuing agency or instrumentality. The Fund also may invest up to 10% of its assets in Federal Deposit Insurance Corporation ("FDIC") insured certificates of deposit of banks and savings and loan institutions. In addition, the Fund may invest in repurchase agreements.</font> </p> Fees and Expenses <p align="left" style="margin:0pt 0pt 3pt 0pt;"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">The table below describes the fees and expenses that you may pay if you buy and hold shares of the Fund. The Fund is a no-load fund. The Fund does not impose any sales charges.</font> </p> 0.0045 0.0010 0.0012 0.0067 -0.0053 0.0014 ~ http://morganstanley.com/20131028/role/ScheduleAnnualFundOperatingExpenses20019 column dei_LegalEntityAxis compact ck0000351881_S000004040Member row primary compact * ~ Annual Fund Operating Expenses (expenses that you pay each year as a percentage of the value of your investment) Example <p align="left" style="margin:0pt 0pt 6pt 0pt;"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">The example below is intended to help you compare the cost of investing in the Fund with the cost of investing in other mutual funds.</font> </p> <br/><p align="left" style="margin:0pt 0pt 6pt 0pt;"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">The example assumes that you invest $10,000 in the Fund, your investment has a 5% return each year, and the Fund's operating expenses remain the same. Although your actual costs may be higher or lower, based on these assumptions your costs would be:</font> </p> 14 45 79 179 ~ http://morganstanley.com/20131028/role/ScheduleExpenseExampleTransposed20020 column dei_LegalEntityAxis compact ck0000351881_S000004040Member row primary compact * ~ Principal Risks <p align="left" style="margin:0pt 0pt 6pt 0pt;"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">There is no assurance that the Fund will achieve its investment objectives. Although the Fund seeks to preserve the value of your investment at $1.00 per share, if it is unable to do so, it is possible to lose money by investing in the Fund. The principal risks of investing in the Fund include:</font> </p> <br/><p align="left" style="margin:0pt 0pt 6pt 0pt;"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">&#8226;&#160;&#160;</font><font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;"><b><i>Credit and Interest Rate Risk.</i></b></font> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">Credit risk refers to the possibility that the issuer or guarantor of a security will be unable to make interest payments and/or repay the principal on its debt. Interest rate risk refers to fluctuations in the</font> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">value of a debt security resulting from changes in the general level of interest rates. The historically low interest rate environment increases the risk associated with rising interest rates.</font> </p> <br/><p align="left" style="margin:0pt 0pt 6pt 0pt;"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">&#8226;&#160;&#160;</font><font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;"><b><i>U.S. Government Securities.</i></b></font> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">With respect to U.S. government securities that are not backed by the full faith and credit of the United States, there is the risk that the U.S. Government will not provide financial support to such U.S. government agencies, instrumentalities or sponsored enterprises if it is not obligated to do so by law.</font> </p> <br/><p align="left" style="margin:0pt 0pt 6pt 0pt;"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">&#8226;&#160;&#160;</font><font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;"><b><i>Repurchase Agreements.</i></b></font> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">Repurchase agreements are subject to risks associated with the possibility of default by the seller at a time when the collateral has declined in value, or insolvency of the seller, which may affect the Fund's right to control the collateral and result in certain costs and delays. Repurchase agreements may involve a greater degree of credit risk than investments in U.S. government securities.</font> </p> <br/><p align="left" style="margin:0pt 0pt 6pt 0pt;"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">Shares of the Fund are not bank deposits and are not guaranteed or insured by the FDIC or any other government agency.</font> </p> Shares of the Fund are not bank deposits and are not guaranteed or insured by the FDIC or any other government agency. Although the Fund seeks to preserve the value of your investment at $1.00 per share, if it is unable to do so, it is possible to lose money by investing in the Fund. Past Performance <p align="left" style="margin:0pt 0pt 6pt 0pt;"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">The bar chart and table below provide some indication of the risks of investing in the Fund by showing changes in the Fund's performance from year to year and by showing the Fund's average annual returns for the one, five and 10 year periods. The Fund's past performance does not indicate how the Fund will perform in the future.</font> </p> Annual Total Returns-Calendar Years 0.0060 0.0079 0.0263 0.0439 0.0464 0.0199 0.0001 0.0001 0.0001 0.0001 ~ http://morganstanley.com/20131028/role/ScheduleAnnualTotalReturnsBarChart20021 column dei_LegalEntityAxis compact ck0000351881_S000004040Member column rr_ProspectusShareClassAxis compact ck0000351881_C000011325Member row primary compact * ~ High Quarter 0.0116 2006-09-30 Low Quarter 0.0000 2009-06-30 year-to-date total return 0.0001 2013-09-30 <p align="left" style="margin:0pt 0pt 6pt 0pt;"> <font style="font-size:8pt; font-family: Arial, Helvetica;">The year-to-date total return as of September 30, 2013 was 0.01%.</font> </p> <br/><table border="0" cellpadding="0" cellspacing="0" width="100%"> <tr> <td align="left" colspan="3" style="padding:6pt .7pt 0pt 0pt;" valign="bottom" width="65"> <p style="margin:0pt 0pt 0pt 0pt"> <font style="font-size:8pt; font-family: Arial, Helvetica;"><b>High Quarter</b></font> </p> </td> <td colspan="1"> &#160; </td> <td align="left" colspan="3" style="padding:6pt .7pt 0pt 0pt;" valign="bottom" width="47"> <p style="margin:0pt 0pt 0pt 0pt"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">9/30/06</font> </p> </td> <td colspan="1"> &#160; </td> <td colspan="1" style="padding:6pt .7pt 0pt 0pt;" valign="bottom" width="8"> &#160; </td> <td align="right" colspan="1" style="padding:6pt .7pt 0pt 0pt;" valign="bottom" width="33"> <p style="margin:0pt 0pt 0pt 0pt"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">1.16</font> </p> </td> <td align="left" colspan="1" style="padding:6pt .7pt 0pt 0pt;" valign="bottom" width="24"> <p style="margin:0pt 0pt 0pt 0pt; white-space:nowrap"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">%</font> </p> </td> <td colspan="1" width="8"> &#160; </td> </tr> <tr> <td align="left" colspan="3" style="padding:0pt .7pt 6pt 0pt;" valign="bottom" width="65"> <p style="margin:0pt 0pt 0pt 0pt"> <font style="font-size:8pt; font-family: Arial, Helvetica;"><b>Low Quarter</b></font> </p> </td> <td colspan="1"> &#160; </td> <td align="left" colspan="3" style="padding:0pt .7pt 6pt 0pt;" valign="bottom" width="47"> <p style="margin:0pt 0pt 0pt 0pt"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">6/30/09</font> </p> </td> <td colspan="1"> &#160; </td> <td colspan="1" style="padding:0pt .7pt 6pt 0pt;" valign="bottom" width="8"> &#160; </td> <td align="right" colspan="1" style="padding:0pt .7pt 6pt 0pt;" valign="bottom" width="33"> <p style="margin:0pt 0pt 0pt 0pt"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">0.00</font> </p> </td> <td align="left" colspan="1" style="padding:0pt .7pt 6pt 0pt;" valign="bottom" width="24"> <p style="margin:0pt 0pt 0pt 0pt; white-space:nowrap"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">%</font> </p> </td> <td colspan="1" width="8"> &#160; </td> </tr> </table> 0.0001 0.0040 0.0149 ~ http://morganstanley.com/20131028/role/ScheduleAverageAnnualReturnsTransposed20022 column dei_LegalEntityAxis compact ck0000351881_S000004040Member column rr_PerformanceMeasureAxis compact * row primary compact * ~ <p align="left" style="margin:6pt 0pt 6pt 0pt;"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">For the Fund's most recent 7-day annualized yield you may call toll-free (800) 548-7786.</font> </p> Average Annual Total Returns (as of December 31, 2012) The bar chart and table below provide some indication of the risks of investing in the Fund by showing changes in the Fund's performance from year to year and by showing the Fund's average annual returns for the one, five and 10 year periods. (800) 548-7786 The Fund's past performance does not indicate how the Fund will perform in the future. Investment Objectives <p align="left" style="margin:0pt 0pt 6pt 0pt;"> <font style="font-size:9pt; font-family: Times New Roman PS Std, Times New Roman PS, Times New Roman, Times;">Active Assets Government Securities Trust is a money market fund that seeks to provide high current income, preservation of capital and liquidity.</font> </p> EX-101.SCH 3 ck0000351881-20131028.xsd XBRL TAXONOMY EXTENSION SCHEMA DOCUMENT 000001 - Document - Document and Entity Information link:presentationLink link:definitionLink link:calculationLink 020000 - Document - Risk/Return Summary {Unlabeled} - ACTIVE ASSETS MONEY TRUST link:presentationLink link:definitionLink link:calculationLink 020001 - Schedule - Annual Fund Operating Expenses link:presentationLink link:definitionLink link:calculationLink 020002 - Schedule - Expense Example {Transposed} link:presentationLink link:definitionLink link:calculationLink 020003 - Schedule - Annual Total Returns [Bar Chart] link:presentationLink link:definitionLink link:calculationLink 020004 - Schedule - Average Annual Returns {Transposed} link:presentationLink link:definitionLink link:calculationLink 020006 - Document - Risk/Return Summary {Unlabeled} - ACTIVE ASSETS TAX-FREE TRUST link:presentationLink link:definitionLink link:calculationLink 020007 - Schedule - Annual Fund Operating Expenses link:presentationLink link:definitionLink link:calculationLink 020008 - Schedule - Expense Example {Transposed} link:presentationLink link:definitionLink link:calculationLink 020009 - Schedule - Annual Total Returns [Bar Chart] link:presentationLink link:definitionLink link:calculationLink 020010 - Schedule - Average Annual Returns {Transposed} link:presentationLink link:definitionLink link:calculationLink 020012 - Document - Risk/Return Summary {Unlabeled} - ACTIVE ASSETS CALIFORNIA TAX-FREE TRUST link:presentationLink link:definitionLink link:calculationLink 020013 - Schedule - Annual Fund Operating Expenses link:presentationLink link:definitionLink link:calculationLink 020014 - Schedule - Expense Example {Transposed} link:presentationLink link:definitionLink link:calculationLink 020015 - Schedule - Annual Total Returns [Bar Chart] link:presentationLink link:definitionLink link:calculationLink 020016 - Schedule - Average Annual Returns {Transposed} link:presentationLink link:definitionLink link:calculationLink 020018 - Document - Risk/Return Summary {Unlabeled} - ACTIVE ASSETS GOVERNMENT SECURITIES TRUST link:presentationLink link:definitionLink link:calculationLink 020019 - Schedule - Annual Fund Operating Expenses link:presentationLink link:definitionLink link:calculationLink 020020 - Schedule - Expense Example {Transposed} link:presentationLink link:definitionLink link:calculationLink 020021 - Schedule - Annual Total Returns [Bar Chart] link:presentationLink link:definitionLink link:calculationLink 020022 - Schedule - Average Annual Returns {Transposed} link:presentationLink link:definitionLink link:calculationLink 020005 - Disclosure - Risk/Return Detail Data {Elements} - ACTIVE ASSETS MONEY TRUST link:presentationLink link:definitionLink link:calculationLink 020011 - Disclosure - Risk/Return Detail Data {Elements} - ACTIVE ASSETS TAX-FREE TRUST link:presentationLink link:definitionLink link:calculationLink 020017 - Disclosure - Risk/Return Detail Data {Elements} - ACTIVE ASSETS CALIFORNIA TAX-FREE TRUST link:presentationLink link:definitionLink link:calculationLink 020023 - Disclosure - Risk/Return Detail Data {Elements} - ACTIVE ASSETS GOVERNMENT SECURITIES TRUST link:presentationLink link:definitionLink link:calculationLink EX-101.LAB 4 ck0000351881-20131028_lab.xml XBRL TAXONOMY EXTENSION LABELS LINKBASE DOCUMENT EX-101.DEF 5 ck0000351881-20131028_def.xml XBRL TAXONOMY EXTENSION DEFINITION LINKBASE DOCUMENT EX-101.PRE 6 ck0000351881-20131028_pre.xml XBRL TAXONOMY EXTENSION PRESENTATION LINKBASE DOCUMENT