ALLIANCE MULTI-MARKET STRATEGY TRUST
ANNUAL REPORT
OCTOBER 31, 1996
LETTER TO SHAREHOLDERS ALLIANCE MULTI-MARKET STRATEGY TRUST, INC.
_______________________________________________________________________________
December 16, 1996
Dear Shareholder:
Slow worldwide economic growth, combined with extremely low inflation, have
provided an attractive environment for global bond investments. In the
non-dollar developed markets, fixed income returns have been very strong
throughout the fiscal year. The dollar-denominated markets of Canada and
Australia produced excellent returns, as did the higher yielding European
markets of Italy, Spain and Sweden.
INVESTMENT RESULTS
In spite of sluggish domestic bond market returns, the emerging market and
non-U.S. bond markets continued their strong performance over the past six
months. We are pleased to report that Alliance Multi-Market Strategy Trust was
well positioned to capitalize on gains in both of these sectors and posted
strong positive returns in both the six- and twelve-month periods ended October
31, 1996, as shown in the table below. For comparison, we have shown the
performance for the short maturity U.S. government bond market, represented by
the unmanaged Merrill Lynch (ML) 1-3 Year Government Bond Index, and for the
Lipper Short World Multi-Market Income Funds Average, which reflects
performance of 35 funds. This peer group has generally similar investment
objectives to Multi-Market Strategy Trust, though investment policies for the
various funds may differ.
TOTAL RETURN
PERIOD ENDED OCTOBER 31,1996
6 MONTHS 12 MONTHS
---------- -----------
ALLIANCE MULTI-MARKET STRATEGY TRUST
Class A 7.63% 16.37%
Class B 7.16% 15.35%
Class C 7.17% 15.36%
MERRILL LYNCH 1-3 YEAR GOVERNMENT BOND INDEX 3.75% 5.91%
LIPPER SHORT WORLD MULTI-MARKET INCOME FUNDS AVERAGE 5.20% 9.44%
TOTAL RETURNS ARE BASED ON THE NET ASSET VALUES OF EACH CLASS OF SHARES AS OF
OCTOBER 31, 1996; ADDITIONAL INVESTMENT RESULTS APPEAR ON PAGE 3. THE MERRILL
LYNCH 1-3 YEAR GOVERNMENT BOND INDEX IS UNMANAGED.
As of October 31, 1996, the Fund's net assets were distributed as follows:
PORTFOLIO DISTRIBUTION BY COUNTRY
COUNTRY PORTFOLIO %
- ------- -----------
U.S. 25.2%
Sweden 11.5%
Australia 9.6%
Germany 9.0%
Mexico 6.6%
Finland 6.5%
Denmark 6.0%
Spain 5.3%
United Kingdom 4.4%
Czech Republic 4.4%
New Zealand 4.4%
Italy 3.9%
Canada 3.2%
MARKET REVIEW
The Japanese economy produced what proved to be an unsustainably large growth
rate of 12.2% in the first quarter of 1996. Growth has since slowed
precipitously, and the Japanese authorities have continued their policy of
leaving official interest rates at the extremely low level of 0.50%. To ensure
that the Japanese economic recovery will be sustainable, authorities are
willing to err on the cautious side, potentially leaving rates too low for too
long. Two consequences have arisen in direct response to this policy of
artificially low rates in Japan. First, the Japanese yen has continued to
weaken, falling by another 8.5% over the past six months. Second, these low
rates have created a large build-up of liquidity which has spilled over into
the global markets, improving investment returns in many different asset
classes.
The strong performance of both the Australian and Canadian markets has been
most impressive given the relatively poor performance of the U.S. Treasury
market. Historically, the Australian and Canadian markets have not performed
well in an environment of low Treasury prices. However, lower growth and
inflation rates combined with drastic fiscal tightening and improvements in
their respective trade accounts have allowed for significant interest rate cuts
in Australia and Canada, even though the U.S. Federal Reserve has not lowered
U.S.
1
ALLIANCE MULTI-MARKET STRATEGY TRUST, INC.
_______________________________________________________________________________
rates at all. In fact, official rates in Canada are currently more than 2.0%
below rates in the United States. Given the high unemployment rates and large
output gaps in these markets, we believe inflation will remain controlled.
Therefore, Australian and Canadian securities should continue to outperform
U.S. debt.
In Europe, the driving force behind excellent bond market returns has been the
quest for monetary union. This has brought about a period of severe fiscal
retrenchment in Europe, even though many of their economies remain sluggish.
With fiscal policy so restrained, monetary policy, in the form of lower
interest rates, has been the only macroeconomic tool authorities have to
stimulate growth. This combination of tight fiscal policy and loose monetary
policy has led to stronger bond markets and weaker currencies. The U.S. dollar
has performed quite well against the core European currencies over the last six
months and we anticipate a continuation of this for the foreseeable future.
As European nations get closer and closer to forming a single currency, their
bond yields have begun to converge. We believe that monetary union will, in
fact, take place over the next few years and that this convergence will
continue. From time-to-time, market volatility is likely to lead to short-term
divergence in European yield spreads, and we will look to opportunistically add
to the portfolio's positions during these periods.
The Swiss economy continues to remain very weak. This has been caused, in part,
by the tremendous overvaluation of the Swiss franc. In September, the Swiss
National Bank cut their official discount rate to 1.0% in an attempt to weaken
the franc and relieve the ailing Swiss economy. The interest rate cut has
succeeded in reining in the franc, and the portfolio has benefited from this
move. We have used the Swiss franc as a hedge currency versus our other
European exposure, and will continue to do so as it provides a positive yield
advantage and depreciation potential.
U.S. ECONOMIC OUTLOOK
Overall, we think the non-dollar bond markets will continue to outperform the
U.S. Treasury market into 1997. Thus, the portfolio currently has significant
exposure to the European bond markets. However, if the Clinton Administration
and Congress pass a credible balanced budget for the next several years, the
domestic fixed income market will be revived. If a balanced budget is passed,
the portfolio's exposure to the U.S. market will be increased accordingly.
The economic fundamentals in the U.S., however, continue to be the strongest of
any country in the developed world. Low unemployment, high capacity utilization
rates, and GDP growth very close to potential are restraining bond market
returns in the U.S. European, Australian and Canadian fixed income markets
offer greater potential for price appreciation at this time.
Thank you for your continued interest and investment in Alliance Multi-Market
Strategy Trust. We look forward to reporting to you again on market activity
and the Trust's investment results in coming periods.
Sincerely,
John D. Carifa
Chairman and President
SHARES OF THE FUND ARE NOT DEPOSITS OR OBLIGATIONS OF, GUARANTEED OR ENDORSED
BY, ANY BANK; FURTHER, SUCH SHARES ARE NOT FEDERALLY INSURED BY THE FEDERAL
DEPOSIT INSURANCE CORPORATION, THE FEDERAL RESERVE BOARD, OR ANY OTHER AGENCY.
SHARES OF THE FUND INVOLVE INVESTMENT RISKS, INCLUDING THE POSSIBLE LOSS OF
PRINCIPAL.
2
INVESTMENT OBJECTIVE AND POLICIES ALLIANCE MULTI-MARKET STRATEGY TRUST, INC.
_______________________________________________________________________________
Alliance Multi-Market Strategy Trust seeks the highest level of current income
that is available from a portfolio of high-quality debt securities having
remaining maturities of not more than five years. It invests primarily in a
non-diversified portfolio of debt securities denominated in the U.S. dollar and
selected foreign currencies. The Fund expects to maintain at least 70% of its
assets in debt securities denominated in foreign currencies, but not more than
25% of the Fund's total assets may be invested in debt securities denominated
in a single currency other than the U.S. dollar.
INVESTMENT RESULTS
_______________________________________________________________________________
AVERAGE ANNUAL TOTAL RETURN AS OF OCTOBER 31, 1996
CLASS A SHARES
WITHOUT WITH
SALES CHARGE SALES CHARGE
------------ ------------
. One Year 16.37% 11.47%
. Five Years 2.35% 1.46%
. Since Inception* 2.84% 2.03%
. SEC Yield** 5.83%
CLASS B SHARES
WITHOUT WITH
SALES CHARGE SALES CHARGE
------------ ------------
. One Year 15.35% 12.34%
. Five Years 1.54% 1.54%
. Since Inception* 2.03% 2.03%
. SEC Yield** 5.38%
CLASS C SHARES
WITHOUT WITH
SALES CHARGE SALES CHARGE
------------ ------------
. One Year 15.36% 14.36%
. Since Inception* 2.51% 2.51%
. SEC Yield** 5.38%
The average annual total returns reflect reinvestment of dividends and/or
capital gains distributions in additional shares -- with and without the effect
of the 4.25% maximum front-end sales charge for Class A or applicable
contingent deferred sales charge for Class B (3% year 1, 2% year 2, 1% year 3,
0% year 4); Class C shares are not subject to front-end sales charges, but are
subject to a 1 year 1% contingent deferred sales charge for shares purchased on
or after July 1, 1996. Past performance does not guarantee future results.
Investment return and principal value will fluctuate so that an investor's
shares, when redeemed, may be worth more or less than their original cost.
* Inception: 5/29/91 Class A and Class B; 5/3/93 Class C.
** Yields are for the 30 days ended October 31, 1996.
3
ALLIANCE MULTI-MARKET STRATEGY TRUST, INC.
_______________________________________________________________________________
ALLIANCE MULTI-MARKET STRATEGY TRUST
$10,000 INVESTMENT OVER LIFE OF FUND:
5/31/91 TO 10/31/96
$14,000
$13,000
$12,000
$11,000
$10,000
$9,000
ML 1-3 YEAR
GOV'T INDEX
LIPPER SHORT WORLD
MULTI-MARKET INCOME
FUNDS AVERAGE
MULTI-MARKET STRATEGY TRUST
CLASS A: $11,152
5/31/91 10/31/96
This chart illustrates the total value of an assumed $10,000 investment in
Alliance Multi-Market Strategy Trust Class A shares (from inception) as
compared to the performance of an appropriate broad-based index. The chart
reflects the deduction of the maximum 4.25% sales charge from the initial
$10,000 investment in the Fund and assumes the reinvestment of dividends and
capital gains. Performance for Class B and Class C shares will vary from the
results shown above due to differences in expenses charged to those classes.
Results should not be considered representative of future gain or loss in
capital value or dividend income.
The unmanaged Merrill Lynch 1-3 Year Government Index is composed of U.S.
Treasury Securities with maturities of one to three years. The Lipper Short
World Multi-Market Income Funds Average reflects performance of 35 funds that
invest in non-U.S. dollar and U.S. dollar debt instruments. The funds tracked
by Lipper Analytical Services have generally similar investment objectives to
Alliance Multi-Market Strategy Trust, though some of the funds may have
somewhat different investment policies.
When comparing Alliance Multi-Market Strategy Trust to the Merrill Lynch 1-3
Year Government Index, you should note that no charges or expenses are
reflected in the performance of the index. The Lipper average assumes deduction
of maximum sales charges where applicable.
Multi-Market Strategy Trust
ML1-3 Year Gov't Index
Lipper Short World Multi-Market Income Funds Average
4
PORTFOLIO OF INVESTMENTS
OCTOBER 31, 1996 ALLIANCE MULTI-MARKET STRATEGY TRUST, INC.
_______________________________________________________________________________
PRINCIPAL
AMOUNT
(000) U.S. $ VALUE
- -------------------------------------------------------------------------
AUSTRALIA-9.8%
GOVERNMENT OBLIGATION-5.0%
Republic of Australia
13.00%, 7/15/00 (a) AU$ 8,300 $ 7,876,359
DEBT OBLIGATIONS-4.8%
Deutsche Bank AG
6.00%, 7/05/00 (a) 10,000 7,603,558
Total Australian Securities
(cost $14,918,884) 15,479,917
CANADA-3.3%
GOVERNMENT OBLIGATION-3.3%
Government of Canada
7.50%, 3/01/01 (a)
(cost $4,818,338) CA$ 6,500 5,236,064
CZECH REPUBLIC-4.5%
DEBT OBLIGATIONS-4.5%
ING Baring Securities
11.00%, 5/29/97 (b) CZK 77,000 2,852,806
International Bank For Reconstruction
& Development 11.50%, 10/09/97 115,000 4,279,915
Total Czech Republic Securities
(cost $7,062,497) 7,132,721
DENMARK-6.1%
GOVERNMENT OBLIGATION-6.1%
Kingdom of Denmark
9.00%, 11/15/00 (a)
(cost $9,941,782) DKK 50,000 9,699,112
FINLAND-6.7%
GOVERNMENT OBLIGATION-6.7%
Republic of Finland
10.00%, 9/15/01 (a)
(cost $10,531,868) FIM 40,000 10,589,906
GERMANY-9.2%
DEBT OBLIGATIONS-9.2%
Dresdner Finance
6.50%, 5/22/00 (a) DEM 10,000 7,005,086
SMM Trust Co., Ltd. FRN
3.4625%, 11/22/96 (a) (c) 4,000 2,641,654
Union Bank of Switzerland
6.50%, 5/02/00 (a) 7,000 4,903,560
Total German Securities
(cost $15,321,544) 14,550,300
ITALY-4.0%
GOVERNMENT OBLIGATION-4.0%
Republic of Italy
9.50%, 5/01/01 (a)
(cost $5,947,947) ITL 8,800,000 6,264,047
MEXICO-6.8%
GOVERNMENT OBLIGATION-6.8%
Mexican Treasury Bills
32.53%, 1/02/97 (a) (d) MXP 40,861 4,841,719
33.00%, 12/26/96 (a) (d) 49,172 5,857,164
Total Mexican Securities
(cost $11,293,704) 10,698,883
NEW ZEALAND-4.5%
GOVERNMENT OBLIGATION-4.5%
Government of New Zealand
9.00%, 11/15/96 (a)
(cost $6,594,245) NZ$ 10,000 7,074,500
SPAIN-5.4%
GOVERNMENT OBLIGATION-5.4%
Government of Spain
10.10%, 2/28/01 (a)
(cost $8,446,222) ESP 990,000 8,629,697
SWEDEN-11.8%
GOVERNMENT OBLIGATION-11.8%
Kingdom of Sweden
10.25%, 5/05/00 (a) SEK 39,700 6,822,804
13.00%, 6/15/01 (a) 62,000 11,842,218
Total Swedish Securities
(cost $17,940,489) 18,665,022
5
PORTFOLIO OF INVESTMENTS
(CONTINUED) ALLIANCE MULTI-MARKET STRATEGY TRUST, INC.
_______________________________________________________________________________
PRINCIPAL
AMOUNT
(000) U.S. $ VALUE
- -------------------------------------------------------------------------
UNITED KINGDOM-4.5%
GOVERNMENT OBLIGATION-4.5%
U.K. Treasury Gilts 10.00%, 2/26/01
(cost $7,138,559) GBP 4,000 $ 7,171,156
UNITED STATES-25.7%
GOVERNMENT OBLIGATION-11.5%
U.S. Treasury Note
6.375%, 9/30/01 (a) US$ 18,000 18,210,942
DEBT OBLIGATIONS-9.0%
Bayerische Landesbank Girozentrale
5.75%, 2/28/01 (a) 5,000 4,920,500
Bayerische Vereinsbank Finansiering
8.125%, 1/27/00 (a) 7,000 7,360,500
SMM Trust Co., Ltd. FRN
5.625%, 11/22/96 (a) (c) 2,000 1,999,800
-------------
14,280,800
TIME DEPOSIT-5.2%
Societe Generale
5.65%, 11/01/96 8,300 8,300,000
Total United States Securities
(cost $40,784,856) 40,791,742
TOTAL INVESTMENTS-102.3%
(cost $160,740,935) 161,983,067
Other assets less liabilities-(2.3%) (3,703,948)
NET ASSETS-100% $158,279,119
(a) Securities, or portion thereof, with an aggregate market value of
$139,379,190 have been segregated to collateralize forward exchange currency
contracts.
(b) The redemption value of this security is indexed to the spread between the
Czech Crown and the U.S. dollar exchange.
(c) Stated interest rate in effect at October 31, 1996.
(d) Annualized yield to maturity at purchase date.
Glossary:
FRN - Floating Rate Note.
See notes to financial statements.
6
STATEMENT OF ASSETS AND LIABILITIES
OCTOBER 31, 1996
ALLIANCE MULTI-MARKET STRATEGY TRUST, INC.
_______________________________________________________________________________
ASSETS
Investments in securities, at value (cost $160,740,935) $161,983,067
Cash 44,308
Interest receivable 4,421,543
Receivable for capital stock sold 210,506
Unrealized appreciation of forward exchange currency contracts 144,236
Unrealized appreciation of swap contracts 103,838
Receivable for investment securities sold 77,073
Total assets 166,984,571
LIABILITIES
Payable for investment securities purchased 7,335,427
Payable for capital stock redeemed 564,667
Dividend payable 410,160
Distribution fee payable 94,417
Advisory fee payable 81,505
Accrued expenses and other liabilities 219,276
Total liabilities 8,705,452
NET ASSETS $158,279,119
COMPOSITION OF NET ASSETS
Capital stock, at par $ 21,906
Additional paid-in capital 178,047,430
Undistributed net investment income 2,010,110
Accumulated net realized loss on investments, swaps,
and foreign currency transactions (23,295,070)
Net unrealized appreciation of investments, swaps, and
foreign currency denominated assets and liabilities 1,494,743
$158,279,119
CALCULATION OF MAXIMUM OFFERING PRICE
CLASS A SHARES
Net asset value and redemption price per share ($68,775,540/
9,518,778 shares of capital stock issued and outstanding) $7.23
Sales charge--4.25% of public offering price .32
Maximum offering price $7.55
CLASS B SHARES
Net asset value and offering price per share ($88,427,280/
12,238,412 shares of capital stock issued and outstanding) $7.23
CLASS C SHARES
Net asset value and offering price per share ($1,076,299/
148,955 shares of capital stock issued and outstanding) $7.23
See notes to financial statements.
7
STATEMENT OF OPERATIONS
YEAR ENDED OCTOBER 31, 1996 ALLIANCE MULTI-MARKET STRATEGY TRUST, INC.
_______________________________________________________________________________
INVESTMENT INCOME
Interest (net of foreign taxes withheld of $55,479) $17,249,350
EXPENSES
Advisory fee $1,030,962
Distribution fee - Class A 212,119
Distribution fee - Class B 1,003,153
Distribution fee - Class C 7,928
Transfer agency 416,952
Custodian 252,581
Loan commitment fees (see note E) 176,189
Administrative 157,818
Audit and legal 140,157
Registration 35,799
Printing 35,610
Amortization of organization expenses 27,939
Directors' fees 22,392
Miscellaneous 18,438
Total expenses 3,538,037
Net investment income 13,711,313
REALIZED AND UNREALIZED GAIN ON INVESTMENTS
AND FOREIGN CURRENCY TRANSACTIONS
Net realized gain on investment and swap transactions 3,872,885
Net realized gain on foreign currency transactions 5,093,067
Net change in unrealized appreciation (depreciation) of:
Investment and swap transactions 866,009
Foreign currency denominated assets and liabilities 1,655,712
Net gain on investments 11,487,673
NET INCREASE IN NET ASSETS FROM OPERATIONS $25,198,986
See notes to financial statements.
8
STATEMENT OF CHANGES IN NET ASSETS
ALLIANCE MULTI-MARKET STRATEGY TRUST, INC.
_______________________________________________________________________________
YEAR ENDED YEAR ENDED
OCTOBER 31, OCTOBER 31,
1996 1995
------------- -------------
INCREASE (DECREASE) IN NET ASSETS FROM OPERATIONS
Net investment income $ 13,711,313 $ 16,952,551
Net realized gain (loss) on investments, swaps
and foreign currency transactions 8,965,952 (44,131,178)
Net change in unrealized appreciation
(depreciation) of investments, swaps, and
foreign currency denominated assets and
liabilities 2,521,721 6,324,586
Net increase (decrease) in net assets from
operations 25,198,986 (20,854,041)
DIVIDENDS AND DISTRIBUTIONS TO SHAREHOLDERS FROM:
Net investment income
Class A (6,739,295) -0-
Class B (8,667,262) -0-
Class C (68,303) -0-
Tax return of capital
Class A -0- (6,001,336)
Class B -0- (13,227,764)
Class C -0- (77,659)
CAPITAL STOCK TRANSACTIONS
Net decrease (45,618,195) (53,199,891)
Total decrease (35,894,069) (93,360,691)
NET ASSETS
Beginning of year 194,173,188 287,533,879
End of year (including undistributed net
investment income of $2,010,110, and $21,359
respectively) $158,279,119 $194,173,188
See notes to financial statements.
9
NOTES TO FINANCIAL STATEMENTS
OCTOBER 31, 1996 ALLIANCE MULTI-MARKET STRATEGY TRUST, INC.
_______________________________________________________________________________
NOTE A: SIGNIFICANT ACCOUNTING POLICIES
Alliance Multi-Market Strategy Trust, Inc. (the "Fund"), was incorporated in
the State of Maryland as a non-diversified, open-end management investment
company. The Fund offers Class A, Class B and Class C shares. Class A shares
are sold with a front-end sales charge of up to 4.25%. Class B shares are sold
with a contingent deferred sales charge which declines from 3.0% to zero
depending on the period of time the shares are held. Class B shares will
automatically convert to Class A shares six years after the end of the calendar
month of purchase. Class C shares purchased on or after July 1, 1996 are
subject to a contingent deferred sales charge of 1.0% on redemptions made
within the first year after purchase. All three classes of shares have
identical voting, dividend, liquidation and other rights and the same terms and
conditions, except that each class bears different distribution expenses and
has exclusive voting rights with respect to its distribution plan. The
following is a summary of significant accounting policies followed by the Fund.
1. SECURITY VALUATION
Investments are stated at value. Investments for which market quotations are
readily available are valued at the closing price on the day of valuation or,
if no such closing price is available, at the mean of the last bid and ask
price quoted on such day. Options are valued at market value or fair value
using methods determined by the Board of Directors. Securities which mature in
60 days or less are valued at amortized cost, which approximates market value,
unless this method does not represent fair value. Securities for which market
quotations are not readily available and restricted securities are valued in
good faith at fair value as determined by the Board of Directors. In
determining fair value, consideration is given to cost, operating and other
financial data.
2. CURRENCY TRANSLATION
Assets and liabilities denominated in foreign currencies and commitments under
forward foreign exchange currency contracts are translated into U.S. dollars at
the mean of the quoted bid and asked price of such currencies against the U.S.
dollar. Purchases and sales of portfolio securities are translated at the rates
of exchange prevailing when such securities were acquired or sold. Income and
expenses are translated at rates of exchange prevailing when accrued.
Net realized gains on foreign currency transactions represent foreign exchange
gains and losses from sales and maturities of securities, holdings of foreign
currencies, exchange gains and losses realized between the trade and settlement
dates on security transactions, and the difference between the amounts of
interest recorded on the Fund's books and the U.S. dollar equivalent amounts
actually received or paid. Net change in unrealized appreciation (depreciation)
of foreign currency denominated assets and liabilities represents net currency
gains and losses from valuing foreign currency denominated assets and
liabilities at period end exchange rates.
3. ORGANIZATION EXPENSES
Organization expenses of approximately $243,000 have been deferred and were
amortized on a straight-line basis through May 1996.
4. TAXES
It is the Fund's policy to meet the requirements of the Internal Revenue Code
applicable to regulated investment companies and to distribute all of its
investment company taxable income and net realized gains, if applicable, to
shareholders. Therefore, no provisions for federal income or excise taxes are
required.
5. INVESTMENT INCOME AND INVESTMENT TRANSACTIONS
Interest income is accrued daily. Investment transactions are accounted for on
the date the securities are purchased or sold. Investment gains and losses are
determined on the identified cost basis. The Fund accretes discounts as
adjustments to interest income.
6. DIVIDENDS AND DISTRIBUTIONS
Dividends and distributions to shareholders are recorded on the ex-dividend
date and are determined in accordance with income tax regulations.
7. RECLASSIFICATION OF NET ASSETS
As of October 31, 1996, the Fund, reclassified certain components of net
assets. The reclassifications resulted in a net decrease to accumulated net
realized loss on investments, swaps and foreign currency transactions of
$11,927,525, and a net increase to undistributed net investment income and
additional paid-in capital of
10
ALLIANCE MULTI-MARKET STRATEGY TRUST, INC.
_______________________________________________________________________________
$3,752,298 and $8,175,227 respectively. These reclassifications were the result
of permanent book to tax differences resulting primarily from foreign currency
gains and purchased capital loss carryforwards. Net assets were not affected by
the change.
NOTE B: ADVISORY FEE AND OTHER TRANSACTIONS WITH AFFILIATES
Under the terms of an investment advisory agreement, the Fund pays Alliance
Capital Management L.P. (the "Adviser"), an advisory fee at an annual rate of
.60 of 1% of the average daily net assets of the Fund. Such fee is accrued
daily and paid monthly.
Pursuant to the advisory agreement, the Fund paid $157,818 to the Adviser
representing the costs of certain legal and accounting services provided to the
Fund by the Adviser for the year ended October 31, 1996.
The Fund compensates Alliance Fund Services, Inc. (a wholly-owned subsidiary of
the Adviser) under a Transfer Agency Agreement for providing personnel and
facilities to perform transfer agency services for the Fund. Such compensation
amounted to $234,551 for the year ended October 31, 1996.
Alliance Fund Distributors, Inc. (a wholly-owned subsidiary of the Adviser)
serves as the Distributor of the Fund's shares. The Distributor received
front-end sales charges of $2,744 from the sale of Class A shares and $16,503
in contingent deferred sales charges imposed upon redemptions by shareholders
of Class B shares for the year ended October 31, 1996.
NOTE C: DISTRIBUTION SERVICES AGREEMENT
The Fund has adopted a Distribution Services Agreement (the "Agreement")
pursuant to Rule 12b-1 under the Investment Company Act of 1940. Under the
Agreement, the Fund pays a distribution fee to the Distributor at an annual
rate of up to .30 of 1% of the average daily net assets attributable to the
Class A shares and up to 1% of the average daily net assets attributable to
both Class B and Class C shares. Such fee is accrued daily and paid monthly.
The Agreement provides that the Distributor will use such payments in their
entirety for distribution assistance and promotional activities. The
Distributor has incurred expenses in excess of the distribution costs
reimbursed by the Fund in the amount of $9,610,982 and $454,910 for Class B and
C shares, respectively. Such costs may be recovered from the Fund in future
periods so long as the agreement is in effect. In accordance with the
Agreement, there is no provision for recovery of unreimbursed distribution
costs, incurred by the Distributor, beyond the current fiscal year for Class A
shares. The Agreement also provides that the Adviser may use its own resources
to finance the distribution of the Fund's shares.
11
NOTES TO FINANCIAL STATEMENTS
(CONTINUED) ALLIANCE MULTI-MARKET STRATEGY TRUST, INC.
_______________________________________________________________________________
NOTE D: INVESTMENT TRANSACTIONS
Purchases and sales of investment securities (excluding short-term investments
and U.S. Government obligations) aggregated $302,633,916 and $293,908,569
respectively, for the year ended October 31, 1996. There were purchases of
$18,021,563 of U.S. Government and government agency obligations for the year
ended October 31, 1996.
1. FORWARD EXCHANGE CURRENCY CONTRACTS
The Fund enters into forward exchange currency contracts for investment
purposes and to hedge its exposure to changes in foreign currency exchange
rates on its foreign portfolio holdings and to hedge certain firm purchase and
sales commitments denominated in foreign currencies. A forward exchange
currency contract is a commitment to purchase or sell a foreign currency at a
future date at a negotiated forward rate. The gain or loss arising from the
difference between the original contracts and the closing of such contracts is
included in realized gains or losses from foreign currency transactions.
Fluctuations in the value of forward exchange currency contracts are recorded
for financial reporting purposes as unrealized gains or losses by the Fund.
The Fund's custodian will place and maintain cash not available for investment
or other liquid high quality debt securities in a separate account of the Fund
having a value equal to the aggregate amount of the Fund's commitments under
forward exchange currency contracts entered into with respect to position
hedges.
Risks may arise from the potential inability of a counterparty to meet the
terms of a contract and from unanticipated movements in the value of a foreign
currency relative to the U.S. dollar. The face or contract amount, in U.S.
dollars, as reflected in the following table, reflects the total exposure of
the Fund in that particular currency contract.
At October 31, 1996, the Fund had outstanding forward exchange currency
contracts, as follows:
CONTRACT VALUE ON U.S. $ UNREALIZED
AMOUNT ORIGINATION CURRENT APPRECIATION
(000) DATE VALUE (DEPRECIATION)
-------- ----------- ----------- --------------
FOREIGN CURRENCY BUY CONTRACTS
Canadian Dollars,
expiring 11/18/96 6,455 $ 4,819,324 $ 4,819,229 $ (95)
Deutsche Marks,
expiring 1/27/97 15,874 10,478,190 10,543,224 65,034
Netherlands Guilder,
expiring 11/05/96 14,573 8,596,589 8,588,054 (8,535)
Polish Zloty,
expiring 4/11/97 7,600 2,555,739 2,547,624 (8,115)
12
ALLIANCE MULTI-MARKET STRATEGY TRUST, INC.
_______________________________________________________________________________
CONTRACT VALUE ON U.S. $ UNREALIZED
AMOUNT ORIGINATION CURRENT APPRECIATION
(000) DATE VALUE (DEPRECIATION)
-------- ----------- ----------- --------------
FOREIGN CURRENCY SALE CONTRACTS
Australian Dollars,
expiring 11/07/96 19,262 $15,286,601 $15,262,014 $ 24,587
Canadian Dollars,
expiring 11/18/96 6,456 4,722,726 4,819,229 (96,503)
Deutsche Marks,
expiring 11/25/96-4/11/97 35,662 23,736,672 23,669,544 67,128
Finnish Markka,
expiring 1/17/97 68,411 14,979,504 15,166,546 (187,042)
Italian Lira,
expiring 11/27/96 9,200,000 5,999,700 6,057,728 (58,028)
Japanese Yen,
expiring 11/07/96 775,470 6,986,216 6,818,295 167,921
Netherlands Guilder,
expiring 11/05/96-2/04/97 29,146 17,454,029 17,229,581 224,448
New Zealand Dollars,
expiring 11/15/96 10,000 7,037,060 7,065,085 (28,025)
Spanish Pesetas,
expiring 11/25/96 900,000 7,014,262 7,048,329 (34,067)
Swedish Krona,
expiring 11/25/96-1/15/97 120,818 18,297,304 18,396,850 (99,546)
Swiss Francs,
expiring 1/06/97 22,905 18,373,161 18,258,087 115,074
---------
$144,236
2. OPTION TRANSACTIONS
For hedging and investment purposes, the Fund purchases and writes (sells) put
and call options on U.S. and foreign government securities and foreign
currencies that are traded on U.S. and foreign securities exchanges and
over-the-counter markets.
The risk associated with purchasing an option is that the Fund pays a premium
whether or not the option is exercised. Additionally, the Fund bears the risk
of loss of premium and change in market value should the counterparty not
perform under the contract. Put and call options purchased are accounted for in
the same manner as portfolio securities. The cost of securities acquired
through the exercise of call options is increased by premiums paid. The
proceeds from securities sold through the exercise of put options are decreased
by the premiums paid.
When the Fund writes an option, the premium received by the Fund is recorded as
a liability and is subsequently adjusted to the current market value of the
option written. Premiums received from written options which expire unexercised
are recorded by the Fund on the expiration date as realized gains from options
written. The difference between the premium and the amount paid on effecting a
closing purchase transaction, including brokerage commissions, is also treated
as a realized gain, or if the premium is less than the amount paid for the
closing purchase transaction, as a realized loss. If a call option is
exercised, the premium is added to the proceeds from the sale of the underlying
security or currency in determining whether the Fund has realized a gain or
loss. If a put option is exercised, the premium reduces the cost basis of the
security or currency purchased by the Fund.
13
NOTES TO FINANCIAL STATEMENTS
(CONTINUED) ALLIANCE MULTI-MARKET STRATEGY TRUST, INC.
_______________________________________________________________________________
In writing an option, the Fund bears the market risk of an unfavorable change
in the price of the security or currency underlying the written option.
Exercise of an option written by the Fund could result in the Fund selling or
buying a security or currency at a price different from the current market
value. There were no transactions in written options for the year ended October
31, 1996.
3. INTEREST RATE SWAP AGREEMENTS
The Fund enters into currency and interest rate swaps to protect itself from
interest rate fluctuations on the underlying debt instruments as well as
foreign currency fluctuations. A swap is an agreement that obligates two
parties to exchange a series of cash flows at specified intervals based upon or
calculated by reference to changes in specified prices or rates for a specified
amount of an underlying asset. The payment flows are usually netted against
each other, with the difference being paid by one party to the other.
Risks may arise as a result of the failure of a counterparty to the swap
contract to comply with the terms of the swap contract. The loss incurred by
the failure of a counterparty is generally limited to the net interest payment
to be received by the Fund, and/or the termination value at the end of the
contract. Therefore, the Fund considers the creditworthiness of each
counterparty to a swap contract in evaluating potential credit risk.
Additionally, risks may arise from unanticipated movements in interest rates or
in the value of the foreign securities or currencies.
The Fund records a net receivable or payable on a daily basis for the net
interest income or expense expected to be received or paid in the interest
period. Net interest received or paid on these contracts is recorded as
interest income (or as an offset to interest income). Fluctuations in the value
of swap contracts are recorded for financial statement purposes as unrealized
appreciation or depreciation of swap contracts. Realized gains and losses from
terminated swaps are included in net realized gains on investment and swap
transactions.
At October 31, 1996, the Fund had outstanding currency and interest rate swap
contracts with the following terms:
<TABLE>
<CAPTION>
RATE TYPE
----------------------------------- UNREALIZED
SWAP NOTIONAL TERMINATION PAYMENTS MADE PAYMENTS RECEIVED APPRECIATION
COUNTERPARTY AMOUNT DATE BY THE FUND BY THE FUND (DEPRECIATION)
- ------------ -------------- ----------- ---------------- ----------------- --------------
<S> <C> <C> <C> <C> <C>
J.P. Morgan DEM 15,000,000 8/17/97 Fixed - 5.225% Floating - LIBOR* $(155,558)
J.P. Morgan DEM 7,000,000 8/17/00 Floating - LIBOR Fixed - 6.33% 259,396
----------
$ 103,838
</TABLE>
* London Interbank Offered Rate
At October 31, 1996, the cost of investments for federal income tax purposes
was $160,931,133. Accordingly, gross unrealized appreciation of investments was
$3,073,115 and gross unrealized depreciation of investments was $2,021,181,
resulting in net unrealized appreciation of $1,051,934 (excluding foreign
currency transactions). At October 31, 1996, the Fund had a capital loss
carryfoward of $16,200,279 of which $1,403,394 expires in 2001, $8,740,976
expires in 2002, and $6,055,909 expires in the year 2003.
In addition, under certain conditions, the Fund may be able to use up to
$7,984,508 of ACM Managed Multi-Market Trust, Inc.'s capital loss carryforward,
which was acquired by the Fund on May 5, 1995.
NOTE E: BANK BORROWING
The Fund entered into a Multi-Currency Credit Agreement with Morgan Guaranty
Trust Company of New York on November 18, 1994, which was terminated on August
6, 1996. The maximum credit available was $50,000,000 and required no
collateralization. There was no loan outstanding during the year. The Fund was
obligated to pay Morgan Guaranty a commitment fee computed at a rate of .1875
of 1% per annum on the unused daily portion of the revolving credit.
14
ALLIANCE MULTI-MARKET STRATEGY TRUST, INC.
_______________________________________________________________________________
NOTE F: CAPITAL STOCK
There are 9,000,000,000 shares of $.001 par value capital stock authorized,
divided into three classes, designated Class A, Class B and Class C shares.
Each class consists of 3,000,000,000 authorized shares. Transactions in capital
stock were as follows:
SHARES AMOUNT
--------------------------- ------------------------------
YEAR ENDED YEAR ENDED YEAR ENDED YEAR ENDED
OCTOBER 31, OCTOBER 31, OCTOBER 31, OCTOBER 31,
1996 1995 1996 1995
------------ ------------ -------------- --------------
Shares sold 302,988 305,681 $ 2,125,120 $ 2,874,213
Shares issued in
reinvestment of
dividends 223,790 260,742 1,567,466 1,837,650
Shares issued in
connection with
the acquisition
of ACM Managed
Multi-Market Trust -0- 11,271,799 -0- 76,655,259
Shares converted
from Class B 481,948 -0- 3,382,773 -0-
Shares redeemed (2,745,589) (7,101,609) (19,157,166) (48,938,183)
Net increase
(decrease) (1,736,863) 4,736,613 $(12,081,807) $ 32,428,939
CLASS B
Shares sold 711,413 635,644 $ 5,004,343 $ 4,405,832
Shares issued in
reinvestment of
dividends 249,020 655,586 1,743,484 4,703,261
Shares converted
to Class A (481,948) -0- (3,382,773) -0-
Shares redeemed (5,315,003) (13,315,785) (37,147,265) (94,453,615)
Net decrease (4,836,518) (12,024,555) $(33,782,211) $(85,344,522)
CLASS C
Shares sold 98,250 56,352 $ 694,497 $ 405,752
Shares issued in
reinvestment of
dividends 3,744 5,580 26,251 39,757
Shares redeemed (68,091) (102,739) (474,925) (729,817)
Net increase(decrease) 33,903 (40,807) $ 245,823 $ (284,308)
15
FINANCIAL HIGHLIGHTS ALLIANCE MULTI-MARKET STRATEGY TRUST, INC.
_______________________________________________________________________________
SELECTED DATA FOR A SHARE OF CAPITAL STOCK OUTSTANDING THROUGHOUT EACH YEAR
<TABLE>
<CAPTION>
CLASS A
---------------------------------------------------------------
YEAR ENDED OCTOBER 31,
---------------------------------------------------------------
1996 1995 1994 1993 1992
----------- ----------- ----------- ----------- -----------
<S> <C> <C> <C> <C> <C>
Net asset value, beginning of year $6.83 $8.04 $8.94 $8.85 $9.91
INCOME FROM INVESTMENT OPERATIONS
Net investment income .59(a) .77(a) .85 1.02 1.00
Net realized and unrealized gain (loss)
on investments and foreign currency
transactions .48 (1.31) (1.08) (.26) (1.23)
Net increase (decrease) in net asset
value from operations 1.07 (.54) (.23) .76 (.23)
LESS: DIVIDENDS AND DISTRIBUTIONS
Dividends from net investment income (.67) -0- (.09) (.67) (.81)
Distributions from net realized gains -0- -0- -0- -0- (.02)
Tax return of capital -0- (.67) (.58) -0- -0-
Total dividends and distributions (.67) (.67) (.67) (.67) (.83)
Net asset value, end of year $7.23 $6.83 $8.04 $8.94 $8.85
TOTAL RETURN
Total investment return based on net
asset value(b) 16.37% (6.47)% (2.64)% 9.01% (2.80)%
RATIOS/SUPPLEMENTAL DATA
Net assets, end of year (000's omitted) $68,776 $76,837 $52,385 $82,977 $141,526
Ratio to average net assets of:
Expenses 1.64% 1.60% 1.41% 1.94% 2.53%
Expenses, excluding interest expense(c) 1.60% 1.55% 1.30% 1.40% 1.33%
Net investment income 8.40% 8.56% 7.17% 9.17% 10.58%
Portfolio turnover rate 2.15% 400% 605% 200% 239%
</TABLE>
See footnote summary on page 18.
16
ALLIANCE MULTI-MARKET STRATEGY TRUST, INC.
_______________________________________________________________________________
SELECTED DATA FOR A SHARE OF CAPITAL STOCK OUTSTANDING THROUGHOUT EACH YEAR
<TABLE>
<CAPTION>
CLASS B
---------------------------------------------------------------
YEAR ENDED OCTOBER 31,
---------------------------------------------------------------
1996 1995 1994 1993 1992
----------- ----------- ----------- ----------- -----------
<S> <C> <C> <C> <C> <C>
Net asset value, beginning of year $6.83 $8.04 $8.94 $8.85 $9.91
INCOME FROM INVESTMENT OPERATIONS
Net investment income .53(a) .44(a) .88 .92 1.04
Net realized and unrealized gain (loss)
on investments and foreign currency
transactions .47 (1.05) (1.18) (.22) (1.34)
Net increase (decrease) in net asset
value from operations 1.00 (.61) (.30) .70 (.30)
LESS: DIVIDENDS AND DISTRIBUTIONS
Dividends from net investment income (.60) -0- (.08) (.61) (.74)
Distributions from net realized gains -0- -0- -0- -0- (.02)
Tax return of capital -0- (.60) (.52) -0- -0-
Total dividends and distributions (.60) (.60) (.60) (.61) (.76)
Net asset value, end of year $7.23 $6.83 $8.04 $8.94 $8.85
TOTAL RETURN
Total investment return based on net
asset value(b) 15.35% (7.31)% (3.35)% 8.25% (3.51)%
RATIOS/SUPPLEMENTAL DATA
Net assets, end of year (000's omitted) $88,427 $116,551 $233,896 $431,186 $701,465
Ratio to average net assets of:
Expenses 2.35% 2.29% 2.11% 2.64% 3.24%
Expenses, excluding interest expense(c) 2.31% 2.22% 2.01% 2.11% 2.05%
Net investment income 7.69% 7.53% 6.44% 8.46% 9.83%
Portfolio turnover rate 215% 400% 605% 200% 239%
</TABLE>
See footnote summary on page 18.
17
FINANCIAL HIGHLIGHTS (CONTINUED) ALLIANCE MULTI-MARKET STRATEGY TRUST, INC.
_______________________________________________________________________________
SELECTED DATA FOR A SHARE OF CAPITAL STOCK OUTSTANDING THROUGHOUT EACH PERIOD
<TABLE>
<CAPTION>
CLASS C
----------------------------------------------------
MAY 3,1993(D)
YEAR ENDED OCTOBER 31, TO
------------------------------------- OCTOBER 31,
1996 1995 1994 1993
----------- ----------- ----------- -------------
<S> <C> <C> <C> <C>
Net asset value, beginning of period $6.83 $8.04 $8.94 $8.76
INCOME FROM INVESTMENT OPERATIONS
Net investment income .54(a) .44(a) .46 .32
Net realized and unrealized gain (loss)
on investments and foreign currency
transactions .47 (1.04) (.75) .16
Net increase (decrease) in net asset
value from operations 1.01 (.60) (.29) .48
LESS: DIVIDENDS AND DISTRIBUTIONS
Dividends from net investment income (.61) -0- (.09) (.30)
Distributions from net realized gains -0- -0- -0- -0-
Tax return of capital -0- (.61) (.52) -0-
Total dividends and distributions (.61) (.61) (.61) (.30)
Net asset value, end of period $7.23 $6.83 $8.04 $8.94
TOTAL RETURN
Total investment return based on net
asset value(b) 15.36% (7.29)% (3.34)% 5.54%
RATIOS/SUPPLEMENTAL DATA
Net assets, end of period (000's omitted) $1,076 $786 $1,252 $718
Ratio to average net assets of:
Expenses 2.34% 2.29% 2.08% 2.44%(e)
Expenses, excluding interest expense (c) 2.30% 2.24% 1.99% 2.11%(e)
Net investment income 7.62% 7.55% 6.10% 7.17%(e)
Portfolio turnover rate 215% 400% 605% 200%
</TABLE>
(a) Based on average shares outstanding.
(b) Total investment return is calculated assuming an initial investment made
at the net asset value at the beginning of the period, reinvestment of all
dividends and distributions at net asset value during the period, and
redemption on the last day of the period. Initial sales charge or contingent
deferred sales charge is not reflected in the calculation of the total
investment return. Total investment return calculated for a period of less than
one year is not annualized.
(c) Interest expense includes commitment fees paid.
(d) Commencement of distribution.
(e) Annualized.
18
REPORT OF ERNST & YOUNG LLP
INDEPENDENT AUDITORS ALLIANCE MULTI-MARKET STRATEGY TRUST, INC.
_______________________________________________________________________________
TO THE SHAREHOLDERS AND BOARD OF DIRECTORS
ALLIANCE MULTI-MARKET STRATEGY TRUST, INC.
We have audited the accompanying statement of assets and liabilities of
Alliance Multi-Market Strategy Trust, Inc. (the "Fund"), including the
portfolio of investments, as of October 31, 1996, and the related statement of
operations for the year then ended, the statement of changes in net assets for
each of the two years in the period then ended, and the financial highlights
for each of the periods indicated therein. These financial statements and
financial highlights are the responsibility of the Fund's management. Our
responsibility is to express an opinion on these financial statements and
financial highlights based on our audits.
We conducted our audits in accordance with generally accepted auditing
standards. Those standards require that we plan and perform the audit to obtain
reasonable assurance about whether the financial statements and financial
highlights are free of material misstatement. An audit includes examining, on a
test basis, evidence supporting the amounts and disclosures in the financial
statements. Our procedures included confirmation of securities owned at October
31, 1996, by correspondence with the
custodian and brokers. An audit also includes assessing the accounting
principles used and significant estimates made by management, as well as
evaluating the overall financial statement presentation. We believe that our
audits provide a reasonable basis for our opinion.
In our opinion, the financial statements and financial highlights referred to
above present fairly, in all material respects, the financial position of
Alliance Multi-Market Strategy Trust, Inc. at October 31, 1996, the results of
its operations for the year then ended, the changes in its net assets for each
of the two years in the period then ended, and the financial highlights for
each of the indicated periods, in conformity with generally accepted accounting
principles.
ERNST & YOUNG LLP
New York, New York,
December 12, 1996
19
ALLIANCE MULTI-MARKET STRATEGY TRUST, INC.
_______________________________________________________________________________
BOARD OF DIRECTORS
JOHN D. CARIFA, CHAIRMAN AND PRESIDENT
RUTH BLOCK (1)
DAVID H. DIEVLER (1)
JOHN H. DOBKIN (1)
WILLIAM H. FOULK, JR. (1)
DR. JAMES M. HESTER (1)
CLIFFORD L. MICHEL (1)
DONALD J. ROBINSON (1)
ROBERT C. WHITE (1)
OFFICERS
KATHLEEN A. CORBET, SENIOR VICE PRESIDENT
WAYNE D. LYSKI, SENIOR VICE PRESIDENT
DOUGLAS J. PEEBLES, VICE PRESIDENT
EDMUND P. BERGAN, JR., SECRETARY
MARK D. GERSTEN, TREASURER & CHIEF FINANCIAL OFFICER
JUAN J. RODRIGUEZ, CONTROLLER
CUSTODIAN
BROWN BROTHERS HARRIMAN & CO.
40 Water Street
Boston, MA 02109
PRINCIPAL UNDERWRITER
ALLIANCE FUND DISTRIBUTORS, INC.
1345 Avenue of the Americas
New York, NY 10105
LEGAL COUNSEL
SEWARD & KISSEL
One Battery Park Plaza
New York, NY 10004
TRANSFER AGENT
ALLIANCE FUND SERVICES, INC.
P.O. Box 1520
Secaucus, NJ 07096-1520
Toll-Free 1-(800) 221-5672
INDEPENDENT AUDITORS
ERNST & YOUNG LLP
787 Seventh Avenue
New York, NY 10019
(1) Member of the Audit Committee.
20
THE ALLIANCE FAMILY OF MUTUAL FUNDS
_______________________________________________________________________________
FIXED INCOME
Alliance Bond Fund
U.S. Government Portfolio
Corporate Bond Portfolio
Alliance Global Dollar Government Fund
Alliance Global Strategic Income Trust
Alliance Mortgage Securities Income Fund
Alliance Limited Maturity Government Fund
Alliance Multi-Market Strategy Trust
Alliance North American Government Income Trust
Alliance Short-Term Multi-Market Trust
Alliance Short-Term U.S. Government Fund
Alliance World Income Trust
TAX-FREE INCOME
Alliance Municipal Income Fund
California Portfolio
Insured California Portfolio
Insured National Portfolio
National Portfolio
New York Portfolio
Alliance Municipal Income Fund II
Arizona Portfolio
Florida Portfolio
Massachusetts Portfolio
Michigan Portfolio
Minnesota Portfolio
New Jersey Portfolio
Ohio Portfolio
Pennsylvania Portfolio
Virginia Portfolio
MONEY MARKET
AFD Exchange Reserves
GROWTH
The Alliance Fund
Alliance Global Small Cap Fund
Alliance Growth Fund
Alliance Premier Growth Fund
GROWTH & INCOME
Alliance Strategic Balanced Fund
Alliance Balanced Shares
Alliance Conservative Investors Fund
Alliance Growth & Income Fund
Alliance Growth Investors Fund
Alliance Income Builder Fund
Alliance Utility Income Fund
AGGRESSIVE GROWTH
Alliance Quasar Fund
Alliance Technology Fund
INTERNATIONAL
Alliance All-Asia Investment Fund
Alliance International Fund
Alliance New Europe Fund
Alliance Worldwide Privatization Fund
CLOSED-END FUNDS
Alliance All-Market Advantage Fund
Alliance Global Environment Fund
ACM Government Income Fund
ACM Government Opportunity Fund
ACM Government Securities Fund
ACM Government Spectrum Fund
ACM Managed Dollar Income Fund
ACM Managed Income Fund
ACM Municipal Securities Income Fund
Alliance World Dollar Government Fund
Alliance World Dollar Government Fund II
The Austria Fund
The Korean Investment Fund
The Spain Fund
The Southern Africa Fund
CASH MANAGEMENT SERVICES
ACM Institutional Reserves
Government Portfolio
Prime Portfolio
Tax-Free Portfolio
Trust Portfolio
Alliance Capital Reserves
Alliance Government Reserves
Alliance Insured Account
Alliance Money Reserves
Alliance Municipal Trust
California Portfolio
Connecticut Portfolio
Florida Portfolio
General Portfolio
New Jersey Portfolio
New York Portfolio
Virginia Portfolio
Alliance Treasury Reserves
Alliance Money Market Fund
Prime Portfolio
Government Portfolio
General Municipal Portfolio
21
ALLIANCE MULTI-MARKET STRATEGY TRUST, INC.
1345 Avenue of the Americas
New York, NY 10105
(800) 221-5672
ALLIANCE CAPITAL
INVESTING WITHOUT THE MYSTERY
THIS REPORT IS INTENDED SOLELY FOR DISTRIBUTION TO CURRENT SHAREHOLDERS
OF THE FUND.
R THESE REGISTERED SERVICE MARKS USED UNDER LICENSE FROM THE OWNER,
ALLIANCE CAPITAL MANAGEMENT L.P.
ASTAR
