SCHEDULE: Morgan Stanley Discloses 5.3% Stake in abrdn Fund

Morgan Stanley and its subsidiary, Parametric Portfolio Associates LLC, have disclosed a 5.3% beneficial ownership stake in abrdn Income Credit Strategies Fund.

Summary

• Morgan Stanley and its wholly-owned subsidiary, Parametric Portfolio Associates LLC, reported beneficial ownership of 6,588,286 common shares of abrdn Income Credit Strategies Fund.
• This represents 5.3% of the total class of securities.
• The filing was made under Rule 13d-1(b), indicating the shares were acquired in the ordinary course of business and not for the purpose of changing or influencing control.
• Morgan Stanley is classified as a parent holding company, and Parametric Portfolio Associates LLC as an investment adviser.
• The event date requiring this filing was September 30, 2025, with the filing dated November 7, 2025.

Sentiment

Score: 5

Explanation: The filing is a factual disclosure of beneficial ownership and does not inherently convey positive or negative sentiment regarding the issuer's performance or prospects.

Positives

• NA

Negatives

• NA

Risks

• NA

Future Outlook

NA

Industry Context

This Schedule 13G filing indicates a significant institutional investment by Morgan Stanley and its subsidiary, Parametric Portfolio Associates LLC, in abrdn Income Credit Strategies Fund. Such filings are routine disclosures required when an entity acquires more than 5% beneficial ownership of a company's voting securities, signaling a notable position taken by a major financial institution in the closed-end fund space.

Comparison to Industry Standards

• NA

Related Party Transactions

• Parametric Portfolio Associates LLC, one of the reporting persons, is a wholly-owned subsidiary of Morgan Stanley, the other reporting person, indicating a related party relationship in the beneficial ownership structure.

Stakeholder Impact

• Shareholders: Provides transparency regarding significant institutional ownership, potentially signaling confidence from a major financial institution.
• Management: Awareness of a substantial institutional shareholder, which could influence future engagement.

Key Dates

Recommendation

This filing is a routine disclosure of beneficial ownership by a major financial institution. It does not contain information about the issuer's financial performance, strategic changes, or future prospects that would warrant a 'buy' or 'sell' recommendation. The disclosure of a significant stake by Morgan Stanley and its subsidiary is generally a neutral to slightly positive signal, suggesting institutional interest, but without further context on the fund's performance or market conditions, a 'hold' recommendation is appropriate for existing investors, and 'na' for new investors as it doesn't provide enough information for a new investment decision.

Keywords

Morgan Stanley, Parametric Portfolio Associates, abrdn Income Credit Strategies Fund, Schedule 13G, Beneficial Ownership, Common Shares, Investment Adviser, Holding Company, SEC Filing, Institutional Ownership