You control how the contents of managed folders are handled by applying managed content settings to the folders.
By applying managed content settings to managed folders, you can control the contents in ways that are not possible with folders that do not have managed content settings. For example, the managed content settings that you apply to a user's Inbox folder could specify that its contents will be automatically deleted or moved to another folder after 60 days.
Managed content settings that you apply to a special managed default folder named Entire Mailbox apply to the following folders:
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All managed custom folders that users manually create at the root level of the mailbox folder hierarchy
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All managed default folders that are not applied by means of a policy.
Just as with managed default folders, you apply managed content settings to managed custom folders to specify how their contents are handled.
You can create managed content settings that control how long the items in managed folders (and their subfolders) are retained, and whether copies of items in those folders are journaled to a location outside the mailbox for long-term storage.
You can set storage limits on managed custom folders, thereby limiting the amount of content that can be put into folders and their subfolders.
Finally, you can add folder policy statements with customizable text that describe the folder's messaging records management settings. These settings are displayed to the user as text labels in Outlook 2007.