N-CSRS 1 g06205_globalx-ncsrs.txt UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 ---------- FORM N-CSRS ---------- CERTIFIED SHAREHOLDER REPORT OF REGISTERED MANAGEMENT INVESTMENT COMPANIES INVESTMENT COMPANY ACT FILE NUMBER 811-06400 THE GLOBAL X FUNDS (Exact name of registrant as specified in charter) ---------- 410 Park Avenue, 4th Floor New York, NY 10022 (Address of principal executive offices) (Zip code) SEI Investments Global Fund Services One Freedom Valley Drive Oaks, PA 19456 (Name and address of agent for service) REGISTRANT'S TELEPHONE NUMBER, INCLUDING AREA CODE: (888) 493-8631 DATE OF FISCAL YEAR END: OCTOBER 31, 2010 DATE OF REPORTING PERIOD: APRIL 30, 2010 ITEM 1. REPORTS TO STOCKHOLDERS. (GLOBAL FUNDS LOGO) The World in your Hands GLOBAL X SILVER MINERS ETF GLOBAL X COPPER MINERS ETF GLOBAL X CHINA FINANCIALS ETF GLOBAL X CHINA INDUSTRIALS ETF GLOBAL X CHINA CONSUMER ETF GLOBAL X CHINA MATERIALS ETF GLOBAL X CHINA TECHNOLOGY ETF GLOBAL X CHINA ENERGY ETF GLOBAL X FTSE NORDIC 30 ETF GLOBAL X /INTERBOLSA FTSE COLOMBIA 20 ETF SEMI-ANNUAL REPORT APRIL 30, 2010 (GLOBAL FUNDS LOGO) The World in your Hands TABLE OF CONTENTS Schedules of Investments 1 Statements of Assets and Liabilities 23 Statements of Operations 25 Statements of Changes 27 Financial Highlights 29 Notes to Financial Statements 30 Disclosure of Fund Expenses 39 Approval of Investment Advisory Agreement 41 Supplemental Information 46
The Funds file their complete schedules of Fund holdings with the Securities and Exchange Commission (the "Commission") for the first and third quarters of each fiscal year on Form N-Q within sixty days after the end of the period. The Funds' Forms N-Q are available on the Commission's website at http://www.sec.gov, and may be reviewed and copied at the Commission's Public Reference Room in Washington, DC. Information on the operation of the Public Reference Room may be obtained by calling 1-800-SEC-0330. A description of the policies and procedures that Global X Funds uses to determine how to vote proxies relating to Fund securities, as well as information relating to how the Funds voted proxies relating to Fund securities during the most recent 12-month period ended June 30, will be available (i) without charge, upon request, by calling 1-888-GXFund-1; and (ii) on the Commission's website at http://www.sec.gov. (GLOBAL FUNDS LOGO) The World in your Hands SCHEDULE OF INVESTMENTS APRIL 30, 2010 (UNAUDITED) GLOBAL X SILVER MINERS ETF SECTOR WEIGHTINGS +: (BAR CHART) Basic Materials 90.4% Short-Term Investments 9.6%
+ Percentages based on total investments. COMMON STOCK -- 99.9%++
SHARES VALUE ----------- ----------- CANADA-- 28.2% Basic Materials -- 28.2% Alexco Resource * ............................... 95,000 $ 370,500 Bear Creek Mining * ............................. 102,600 518,100 ECU Silver Mining * ............................. 532,000 377,045 Endeavour Silver * .............................. 93,480 365,507 Excellon Resources * ............................ 450,680 470,244 First Majestic Silver * ......................... 157,700 586,777 Fortuna Silver Mines * .......................... 191,900 430,684 Great Panther Silver * .......................... 191,900 171,896 Impact Silver * ................................. 72,200 85,284 MAG Silver * .................................... 88,160 671,779 Orko Silver * ................................... 201,400 339,004 Pan American Silver ............................. 134,140 3,552,027 Scorpio Mining * ................................ 190,000 157,102 ----------- TOTAL CANADA ....................................... 8,095,949 ----------- PERU-- 3.5% Basic Materials -- 3.5% Hochschild Mining ............................... 262,200 1,000,717 ----------- TOTAL PERU ......................................... 1,000,717 ----------- RUSSIA-- 4.1% Basic Materials -- 4.1% Polymetal GDR * ................................. 111,150 1,167,075 ----------- TOTAL RUSSIA ....................................... 1,167,075 ----------- UNITED STATES-- 64.1% Basic Materials -- 64.1% Coeur d'Alene Mines * ........................... 79,800 1,430,016 Fresnillo ....................................... 259,160 3,177,457 Gammon Gold * ................................... 178,600 1,325,212 Hecla Mining * .................................. 230,660 1,377,040 Industrias Penoles * ............................ 148,200 3,149,527 Minefinders * ................................... 114,000 1,146,840 Mines Management * .............................. 32,300 87,856 Silver Standard Resources * ..................... 68,780 1,410,678 Silver Wheaton * ................................ 195,700 3,820,064
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS. 1 (GLOBAL FUNDS LOGO) The World in your Hands SCHEDULE OF INVESTMENTS APRIL 30, 2010 (UNAUDITED) GLOBAL X SILVER MINERS ETF COMMON STOCK -- CONTINUED
SHARES/ FACE AMOUNT VALUE ----------- ----------- Basic Materials -- continued Silvercorp Metals ............................... 179,550 $ 1,477,697 ----------- TOTAL UNITED STATES ................................ 18,402,387 ----------- TOTAL COMMON STOCK (Cost $28,336,022) .............................. $28,666,128 =========== U.S. TREASURY OBLIGATION -- 10.4% United States Treasury Bill 0.125%, 05/27/10 (A) (Cost $2,999,729) ............................ $3,000,000 2,999,730 ----------- TOTAL U.S. TREASURY OBLIGATION (Cost $2,999,729) ............................... $ 2,999,730 =========== TIME DEPOSIT -- 0.1% Brown Brothers, 0.030% (Cost $37,972) ............................... 37,972 37,972 ----------- TOTAL TIME DEPOSIT (Cost $37,972) .................................. $ 37,972 =========== TOTAL INVESTMENTS-- 110.4% (Cost $31,373,723) .............................. $31,703,830 ===========
PERCENTAGES ARE BASED ON NET ASSETS OF $28,717,489. * Non-income producing security. ++ Narrow industries are utilized for compliance purposes, whereas broad sectors are utilized for reporting purposes. (A) Zero coupon security. The rate reported on the Schedule of Investments is the effective yield at time of purchase. GDR -- GLOBAL DEPOSITARY RECEIPT As of April 30, 2010, all of the Fund's investments are classified as Level 1, except for the U.S. Treasury Obligation and Time Deposit which are Level 2, in accordance with ASC 820. THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS. 2 (GLOBAL FUNDS LOGO) The World in your Hands SCHEDULE OF INVESTMENTS APRIL 30, 2010 (UNAUDITED) GLOBAL X COPPER MINERS ETF SECTOR WEIGHTINGS+: (BAR CHART) Basic Materials 99.9% Short-Term Investments 0.1%
+ Percentages based on total investments. COMMON STOCK -- 99.9++%
SHARES VALUE ----------- ----------- AUSTRALIA-- 1.5% Basic Materials -- 1.5% Cudeco * ........................................ 7,200 $ 29,973 ----------- TOTAL AUSTRALIA 29,973 ----------- CANADA-- 20.5% Basic Materials -- 20.5% Augusta Resource * .............................. 7,350 18,596 Continental Minerals * .......................... 6,750 14,883 Duluth Metals * ................................. 4,800 9,922 Equinox Minerals * .............................. 25,050 99,125 FNX Mining * .................................... 6,036 79,379 Imperial Metals * ............................... 933 18,111 Mercator Minerals * ............................. 11,850 26,478 Quadra Mining * ................................. 5,820 88,340 Taseko Mines * .................................. 10,995 62,452 ----------- TOTAL CANADA ....................................... 417,286 ----------- CHINA-- 4.8% Basic Materials -- 4.8% Jiangxi Copper, Cl H ............................ 45,600 98,203 ----------- TOTAL CHINA ........................................ 98,203 ----------- UNITED STATES-- 73.1% Basic Materials -- 73.1% Aditya Birla Minerals ........................... 18,900 18,883 Antofagasta ..................................... 6,720 102,694 Capstone Mining * ............................... 10,560 30,353 Corriente Resources, Cl A * ..................... 3,534 29,151 First Quantum Minerals .......................... 1,344 103,112 Freeport-McMoRan Copper & Gold .................. 1,245 94,035 Grupo Mexico .................................... 36,300 95,848 HudBay Minerals * ............................... 7,950 101,106 Inmet Mining .................................... 1,800 93,429 Ivanhoe Mines * ................................. 5,730 90,649 Kazakhmys ....................................... 4,500 96,647 KGHM Polska Miedz ............................... 2,592 97,166 Lundin Mining * ................................. 19,650 92,650 Metorex * ....................................... 34,500 19,804 Northern Dynasty Minerals * ..................... 5,625 53,156 OZ Minerals ..................................... 93,600 100,011 Southern Copper ................................. 3,000 91,740
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS. 3 (GLOBAL FUNDS LOGO) The World in your Hands SCHEDULE OF INVESTMENTS APRIL 30, 2010 (UNAUDITED) GLOBAL X COPPER MINERS ETF COMMON STOCK -- CONTINUED
SHARES/ FACE AMOUNT VALUE ----------- ----------- Basic Materials -- continued Vedanta Resources ............................... 2,400 $ 92,700 Xstrata ......................................... 5,445 90,497 ----------- TOTAL UNITED STATES ................................ 1,493,631 ----------- TOTAL COMMON STOCK (Cost $2,132,855) ............................... $ 2,039,093 =========== TIME DEPOSIT -- 0.1% Brown Brothers, 0.030% (Cost $2,884) ................................ $ 2,884 2,884 ----------- TOTAL TIME DEPOSIT (Cost $2,884) ................................... $ 2,884 =========== TOTAL INVESTMENTS-- 100.0% (Cost $2,135,739) ............................... $ 2,041,977 ===========
PERCENTAGES ARE BASED ON NET ASSETS OF $2,042,138. * Non-income producing security. ++ Narrow industries are utilized for compliance purposes, whereas broad sectors are utilized for reporting purposes. CL -- CLASS As of April 30, 2010, all of the Fund's investments are classified as Level 1, except for the Time Deposit which is Level 2, in accordance with ASC 820. THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS. 4 (GLOBAL FUNDS LOGO) The World in your Hands SCHEDULE OF INVESTMENTS APRIL 30, 2010 (UNAUDITED) GLOBAL X CHINA FINANCIALS ETF SECTOR WEIGHTINGS+: (BAR CHART) Financials 100%
+ Percentages based on total investments. COMMON STOCK -- 101.1++%
SHARES VALUE ----------- ----------- CHINA-- 83.1% Financials -- 83.1% Bank of China, Cl H ............................. 10,027,100 $ 5,269,400 Bank of Communications, Cl H .................... 2,268,000 2,637,889 China Citic Bank, Cl H .......................... 3,620,700 2,429,718 China Construction Bank, Cl H ................... 6,650,100 5,499,065 China Life Insurance, Cl H ...................... 1,154,108 5,314,326 China Merchants Bank, Cl H ...................... 1,060,033 2,648,785 China Pacific Insurance Group, Cl H ............. 638,085 2,666,975 CNinsure ADR .................................... 35,610 987,821 Country Garden Holdings ......................... 1,649,475 516,271 E-House China Holdings ADR ...................... 37,170 624,828 Evergrande Real Estate Group * .................. 2,225,558 908,707 Greentown China Holdings ........................ 284,692 308,754 Guangzhou R&F Properties ........................ 458,555 613,076 Industrial & Commercial Bank of China ........... 7,200,900 5,351,657 KWG Property Holding ............................ 569,262 337,284 Longfor Properties * ............................ 602,623 603,104 PICC Property & Casualty, Cl H * ................ 1,633,811 1,580,401 Ping An Insurance Group of China, Cl H .......... 307,800 2,689,950 Renhe Commercial Holdings ....................... 3,959,963 979,305 Shimao Property Holdings ........................ 705,092 1,104,345 Sino-Ocean Land Holdings ........................ 2,037,550 1,590,401 Soho China ...................................... 890,174 514,810 ----------- TOTAL CHINA ........................................ 45,176,872 ----------- HONG KONG-- 18.0% Financials -- 18.0% Agile Property Holdings ......................... 658,500 780,314 China Everbright ................................ 341,922 863,195 China Minsheng Banking, Cl H * .................. 423,559 459,358 China Overseas Land & Investment ................ 1,260,600 2,497,235 China Resources Land ............................ 892,429 1,664,439 China Taiping Insurance Holdings ................ 364,730 1,223,784 Franshion Properties China ...................... 1,887,300 544,521 Hopson Development Holdings ..................... 292,096 387,515 Poly Hong Kong Investments ...................... 545,859 549,107 Shenzhen Investment ............................. 911,062 281,634
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS. 5 (GLOBAL FUNDS LOGO) The World in your Hands SCHEDULE OF INVESTMENTS APRIL 30, 2010 (UNAUDITED) GLOBAL X CHINA FINANCIALS ETF COMMON STOCK -- CONTINUED
SHARES VALUE ----------- ----------- Financials -- continued Shui On Land .................................... 1,200,470 $ 555,100 ----------- TOTAL HONG KONG .................................... 9,806,202 ----------- TOTAL COMMON STOCK (Cost $56,869,522) .............................. $54,983,074 =========== TOTAL INVESTMENTS-- 101.1% (Cost $56,869,522) .............................. $54,983,074 ===========
PERCENTAGES ARE BASED ON NET ASSETS OF $54,371,814. * Non-income producing security. ++ Narrow industries are utilized for compliance purposes, whereas broad sectors are utilized for reporting purposes. ADR -- AMERICAN DEPOSITARY RECEIPT CL -- CLASS As of April 30, 2010, all of the Fund's investments are classified as Level 1, in accordance with ASC 820. THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS. 6 (GLOBAL FUNDS LOGO) The World in your Hands SCHEDULE OF INVESTMENTS APRIL 30, 2010 (UNAUDITED) GLOBAL X CHINA INDUSTRIALS ETF SECTOR WEIGHTINGS+: (BAR CHART) Industrials 99.8% Short-Term Investments 0.2%
+ Percentages based on total investments. COMMON STOCK -- 99.9++%
SHARES VALUE ----------- ----------- CHINA-- 81.7% Industrials -- 81.7% Anhui Conch Cement, Cl H ........................ 374,000 $ 1,211,533 A-Power Energy Generation Systems * ............. 19,800 207,702 Asia Cement China Holdings ...................... 323,000 158,093 BBMG * .......................................... 684,310 680,449 Byd, Cl H ....................................... 132,600 1,204,942 China Communications Construction, Cl H ......... 1,265,392 1,212,617 China COSCO Holdings, Cl H ...................... 923,156 1,208,077 China National Building Material, Cl H .......... 720,406 1,204,419 China National Materials ........................ 708,153 466,094 China Railway Construction, Cl H ................ 918,000 1,158,762 China Railway Group, Cl H * ..................... 1,576,800 1,104,845 China Shanshui Cement Group ..................... 1,032,267 531,836 China Shipping Container Lines, Cl H ............ 2,223,470 947,949 China Shipping Development, Cl H ................ 794,675 1,209,853 China South Locomotive and Rolling Stock ........ 1,126,381 858,880 Dongfang Electric, Cl H ......................... 97,202 641,019 Duoyuan Global Water ADR * ...................... 12,850 342,838 Guangshen Railway, Cl H ......................... 883,154 346,946 Harbin Electric * ............................... 11,600 254,156 Harbin Power Equipment, Cl H .................... 379,695 302,727 Metallurgical Corp of China, Cl H * ............. 1,829,200 958,918 Sany Heavy Equipment International Holdings * ... 366,992 450,952 Shanghai Electric Group, Cl H ................... 1,720,818 831,174 Sinotrans, Cl H ................................. 941,909 226,870 Sinotruk Hong Kong .............................. 404,906 395,842 Weichai Power, Cl H ............................. 112,245 932,508 Yangzijiang Shipbuilding Holdings ............... 1,067,376 1,051,717 Zhuzhou CSR Times Electric, Cl H ................ 287,460 614,626 ----------- TOTAL CHINA 20,716,344 ----------- HONG KONG-- 18.2% Industrials -- 18.2% Beijing Capital International Airport, Cl H ..... 903,211 552,597 China High Speed Transmission Equipment Group ... 508,276 1,221,622 China Resources Cement Holdings * ............... 1,055,362 488,002 Citic Resources Holdings * ...................... 1,284,408 307,710 Shanghai Industrial Holdings .................... 258,400 1,134,939 Shenzhen International Holdings ................. 4,205,346 319,580
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS. 7 (GLOBAL FUNDS LOGO) The World in your Hands SCHEDULE OF INVESTMENTS APRIL 30, 2010 (UNAUDITED) GLOBAL X CHINA INDUSTRIALS ETF COMMON STOCK -- CONTINUED
SHARES/ FACE AMOUNT VALUE ----------- ----------- Industrials -- continued Sinotrans Shipping .............................. 788,250 $ 360,427 Tianjin Development Holdings .................... 380,800 242,298 ----------- TOTAL HONG KONG .................................... 4,627,175 ----------- TOTAL COMMON STOCK (Cost $26,921,430) .............................. $25,343,519 =========== TIME DEPOSIT -- 0.2% Brown Brothers, 0.030% (Cost $44,654) ............................... $ 44,654 44,654 ----------- TOTAL TIME DEPOSIT (Cost $44,654) .................................. $ 44,654 =========== TOTAL INVESTMENTS-- 100.1% (Cost $26,966,084) .............................. $25,388,173 ===========
PERCENTAGES ARE BASED ON NET ASSETS OF $25,363,050. * Non-income producing security. ++ Narrow industries are utilized for compliance purposes, whereas broad sectors are utilized for reporting purposes. ADR -- AMERICAN DEPOSITARY RECEIPT CL -- CLASS As of April 30, 2010, all of the Fund's investments are classified as Level 1, except for the Time Deposit which is Level 2, in accordance with ASC 820. THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS. 8 (GLOBAL FUNDS LOGO) The World in your Hands SCHEDULE OF INVESTMENTS APRIL 30, 2010 (UNAUDITED) GLOBAL X CHINA CONSUMER ETF SECTOR WEIGHTINGS+: (BAR CHART) Consumer Goods 47.3% Consumer Services 44.9% Health Care 7.8%
+ Percentages based on total investments. COMMON STOCK -- 103.8++%
SHARES VALUE ----------- ----------- CHINA-- 82.3% Consumer Goods -- 38.6% 361 Degrees International ....................... 399,600 $ 290,803 Anta Sports Products ............................ 457,200 829,153 AviChina Industry & Technology, Cl H ............ 972,000 419,408 BaWang International Group Holding * ............ 540,000 403,411 China Huiyuan Juice Group ....................... 349,200 267,169 China Yurun Food Group .......................... 484,687 1,485,813 Dongfeng Motor Group, Cl H ...................... 970,500 1,412,536 Great Wall Motor, Cl H .......................... 262,800 484,724 Li Ning ......................................... 384,519 1,493,244 Shenzhou International Group Holdings ........... 237,600 315,217 Tingyi Cayman Islands Holding ................... 573,500 1,434,526 Tsingtao Brewery, Cl H .......................... 237,347 1,183,097 Uni-President China Holdings .................... 640,800 362,337 Want Want China Holdings ........................ 1,984,500 1,510,651 Zhongpin * ...................................... 18,000 228,240 ----------- 12,120,329 ----------- Consumer Services -- 35.6% Air China, Cl H ................................. 1,422,000 1,609,956 AirMedia Group ADR * ............................ 43,200 276,912 Ajisen China Holdings ........................... 255,600 275,228 China Nepstar Chain Drugstore ADR ............... 68,400 450,756 China Southern Airlines, Cl H * ................. 895,122 465,789 Focus Media Holding ADR * ....................... 64,800 1,087,344 Golden Eagle Retail Group ....................... 399,600 781,309 Home Inns & Hotels Management ADR * ............. 21,600 752,760 Intime Department Store Group ................... 651,600 629,460 New Oriental Education & Technology Group ADR * ........................................ 16,830 1,574,783 Parkson Retail Group ............................ 782,000 1,289,266 PCD Stores * .................................... 1,577,644 518,173 Peak Sport Products * 550,800 426,377 Shanghai Jin Jiang International Hotels Group, Cl H ......................................... 813,600 254,650 VisionChina Media ADR * ......................... 47,850 205,276 Wumart Stores, Cl H ............................. 280,800 607,620 ----------- 11,205,659 -----------
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS. 9 (GLOBAL FUNDS LOGO) The World in your Hands SCHEDULE OF INVESTMENTS APRIL 30, 2010 (UNAUDITED) GLOBAL X CHINA CONSUMER ETF COMMON STOCK -- CONTINUED
SHARES VALUE ----------- ----------- Health Care -- 8.1% Shandong Weigao Group Medical Polymer, Cl H ..... 223,200 $ 1,047,894 Sinopharm Group, Cl H ........................... 324,000 1,487,751 ----------- 2,535,645 ----------- TOTAL CHINA 25,861,633 ----------- HONG KONG-- 21.5% Consumer Goods -- 15.5% Bosideng International Holdings ................. 1,407,600 393,427 China Agri-Industries Holdings .................. 875,361 1,168,080 China Foods ..................................... 482,400 359,138 China Resources Enterprise ...................... 427,243 1,529,838 Denway Motors (1, 2) ............................ 2,416,500 1,419,310 ----------- 4,869,793 ----------- Consumer Services -- 6.0% China Dongxiang Group ........................... 1,695,164 1,163,763 China Travel International ...................... 1,815,000 455,866 New World Department Store China ................ 311,700 266,983 ----------- 1,886,612 ----------- TOTAL HONG KONG 6,756,405 ----------- TOTAL COMMON STOCK (Cost $31,140,925) .............................. $32,618,038 =========== TOTAL INVESTMENTS-- 103.8% (Cost $31,140,925) .............................. $32,618,038 ===========
PERCENTAGES ARE BASED ON NET ASSETS OF $31,416,760. * Non-income producing security. ++ Narrow industries are utilized for compliance purposes, whereas broad sectors are utilized for reporting purposes. (1) Security is fair valued using methods determined in good faith by the Fair Value Committee designated by the Board of Trustees. The total value of such securities as of April 30, 2010, was $1,419,310 and represented 4.52% of net assets. (2) Security considered illiquid. The total value of such securities as of April 30, 2010 was $1,419,310 and represents 4.52% of net assets. ADR -- AMERICAN DEPOSITARY RECEIPT CL -- CLASS THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS. 10 (GLOBAL FUNDS LOGO) The World in your Hands SCHEDULE OF INVESTMENTS APRIL 30, 2010 (UNAUDITED) GLOBAL X CHINA CONSUMER ETF The following is a summary of the inputs used as of April 30, 2010 valuing the Funds investments in accordance with ASC 820 carried at value :
Investments in Securities Level 1 Level 2 Level 3 Total ------------------------- ----------- ------- ---------- ----------- Common Stock Consumer Goods $14,040,974 $-- $1,419,310 $15,460,284 Consumer Services 14,622,109 -- -- 14,622,109 Health Care 2,535,645 -- -- 2,535,645 ----------- --- ---------- ----------- Total Common Stock 31,198,728 -- 1,419,310 32,618,038 ----------- --- ---------- ----------- Total Investments in Securities $31,198,728 $-- $1,419,310 $32,618,038 =========== === ========== ===========
Consumer Goods -------------- Beginning balance as of November 23, 2009 $ -- Accrued discounts/premiums -- Realized gain/(loss) -- Change in unrealized appreciation/(depreciation) -- Net purchases/sales -- Net transfer in and/or out of Level 3 1,419,310 ---------- Ending balance as of April 30, 2010 $1,419,310 ==========
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS. 11 (GLOBAL FUNDS LOGO) The World in your Hands SCHEDULE OF INVESTMENTS APRIL 30, 2010 (UNAUDITED) GLOBAL X CHINA MATERIALS ETF SECTOR WEIGHTINGS+: (BAR CHART) Basic Materials 100.0% Short-Term Investments 0.0%
+ Percentages based on total investments. COMMON STOCK --97.8++%
SHARES VALUE ----------- ----------- CHINA-- 80.0% Basic Materials -- 80.0% Aluminum Corp of China, Cl H .................... 653,400 $ 651,397 Angang Steel, Cl H .............................. 406,200 644,579 China Agritech * ................................ 12,320 203,650 China BlueChemical .............................. 1,129,185 706,850 China Green Agriculture * ....................... 18,700 237,116 China Molybdenum, Cl H .......................... 805,114 639,835 China Vanadium Titano - Magnetite Mining * ...... 1,023,000 527,062 China XLX Fertiliser ............................ 427,879 185,817 Chongqing Iron & Steel, Cl H .................... 554,217 163,471 Dongyue Group ................................... 989,334 231,921 General Steel Holdings * ........................ 37,400 139,502 Hunan Non-Ferrous Metal, Cl H ................... 1,614,800 686,370 Jiangxi Copper, Cl H ............................ 305,800 658,566 Maanshan Iron & Steel, Cl H ..................... 1,252,608 672,786 Real Gold Mining * .............................. 336,905 538,090 ShengdaTech * ................................... 46,200 318,318 Shougang Concord International Enterprises ...... 3,082,200 567,705 Sinopec Shanghai Petrochemical, Cl H ............ 1,804,000 704,052 Sinopec Yizheng Chemical Fibre, Cl H * .......... 1,527,017 369,766 Xinjiang Xinxin Mining Industry, Cl H ........... 725,954 423,578 Yingde Gases * .................................. 594,000 663,332 Zhaojin Mining Industry ......................... 347,600 683,219 Zijin Mining Group, Cl H ........................ 852,249 680,587 ----------- TOTAL CHINA ........................................ 11,297,569 ----------- HONG KONG-- 17.8% Basic Materials -- 17.8% China Rare Earth Holdings ....................... 1,054,945 262,249 Citic Pacific ................................... 308,489 684,224 Fufeng Group .................................... 796,407 638,045 Lumena Resources * .............................. 772,855 229,951 Sinofert Holdings ............................... 1,271,600 692,814 ----------- TOTAL HONG KONG .................................... 2,507,283 ----------- TOTAL COMMON STOCK (Cost $13,783,025) .............................. $13,804,852 ===========
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS. 12 (GLOBAL FUNDS LOGO) The World in your Hands SCHEDULE OF INVESTMENTS APRIL 30, 2010 (UNAUDITED) GLOBAL X CHINA MATERIALS ETF TIME DEPOSIT -- 0.0%
FACE AMOUNT VALUE ----------- ----------- Brown Brothers, 0.030% (Cost $917) .................................. $ 917 $ 917 ----------- TOTAL TIME DEPOSIT (Cost $917) ..................................... $ 917 =========== TOTAL INVESTMENTS-- 97.8% (Cost $13,783,942) .............................. $13,805,769 ===========
PERCENTAGES ARE BASED ON NET ASSETS OF $14,123,251. * Non-income producing security. ++ Narrow industries are utilized for compliance purposes, whereas broad sectors are utilized for reporting purposes. CL -- CLASS As of April 30, 2010, all of the Fund's investments are classified as Level 1, except for the Time Deposit which is Level 2, in accordance with ASC 820. THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS. 13 (GLOBAL FUNDS LOGO) The World in your Hands SCHEDULE OF INVESTMENTS APRIL 30, 2010 (UNAUDITED) GLOBAL X CHINA TECHNOLOGY ETF SECTOR WEIGHTINGS+: (BAR SHART) Technology 86.0% Telecommunications 14.0%
+ Percentages based on total investments. COMMON STOCK -- 102.0++%
SHARES VALUE ----------- ----------- CHINA--92.7% Technology -- 87.7% AAC Acoustic Technologies Holdings .............. 79,000 $ 131,263 Alibaba.com ..................................... 96,567 187,069 AsiaInfo Holdings * ............................. 4,000 113,640 Baidu ADR * ..................................... 435 299,846 BYD Electronic International .................... 94,000 67,923 China Communications Services, Cl H ............. 223,000 113,456 Ctrip.com International ADR * ................... 6,000 219,120 Foxconn International Holdings * ................ 182,000 166,439 Giant Interactive Group ADR ..................... 22,500 170,100 Kingdee International Software Group ............ 173,000 67,740 Kingsoft ........................................ 58,000 45,720 Lenovo Group .................................... 289,500 218,510 Longtop Financial Technologies ADR * ............ 5,485 188,739 Netease.com ADR * ............................... 4,250 148,197 Perfect World ADR * ............................. 3,550 118,818 Semiconductor Manufacturing International * ..... 1,925,000 210,754 Shanda Interactive Entertainment ADR * .......... 3,750 170,025 Sina * .......................................... 4,460 163,682 Sohu.com * ...................................... 2,990 143,969 Tencent Holdings ................................ 9,450 198,888 VanceInfo Technologies ADR * .................... 4,500 107,325 ZTE, Cl H ....................................... 41,400 150,908 ----------- 3,402,131 ----------- Telecommunications -- 5.0% China Telecom, Cl H ............................. 363,000 169,255 KongZhong ADR * ................................. 3,480 25,195 ----------- 194,450 ----------- TOTAL CHINA 3,596,581 ----------- HONG KONG-- 9.3% Telecommunications -- 9.3% China Mobile .................................... 17,000 169,151 China Unicom Hong Kong .......................... 149,904 189,605 ----------- TOTAL HONG KONG .................................... 358,756 ----------- TOTAL COMMON STOCK (Cost $3,840,792) ............................... $ 3,955,337 ===========
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS. 14 (GLOBAL FUNDS LOGO) The World in your Hands SCHEDULE OF INVESTMENTS APRIL 30, 2010 (UNAUDITED) GLOBAL X CHINA TECHNOLOGY ETF
VALUE ----------- TOTAL INVESTMENTS-- 102.0% (Cost $3,840,792) ............................... $ 3,955,337 ===========
PERCENTAGES ARE BASED ON NET ASSETS OF $3,876,857. * Non-income producing security. ++ Narrow industries are utilized for compliance purposes, whereas broad sectors are utilized for reporting purposes. ADR -- AMERICAN DEPOSITARY RECEIPT CL -- CLASS As of April 30, 2010, all of the Fund's investments are classified as Level 1, in accordance with ASC 820. THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS. 15 (GLOBAL FUNDS LOGO) The World in your Hands SCHEDULE OF INVESTMENTS APRIL 30, 2010 (UNAUDITED) GLOBAL X CHINA ENERGY ETF SECTOR WEIGHTINGS+: (BAR CHART) Energy 80.8% Utilities 19.2% Short-Term Investments 0.0%
+ Percentages based on total investments. COMMON STOCK -- 106.3++%
SHARES VALUE ----------- ----------- CHINA-- 77.5% Energy -- 62.4% China Coal Energy, Cl H ......................... 135,000 $ 209,356 China Oilfield Services, Cl H ................... 107,043 152,489 China Petroleum & Chemical, Cl H ................ 515,400 417,562 China Shenhua Energy ............................ 96,800 423,916 Honghua Group ................................... 113,400 20,157 JA Solar Holdings ADR * ......................... 19,200 117,312 LDK Solar ADR * ................................. 13,200 102,696 PetroChina, Cl H ................................ 360,000 421,958 Renesola ADR * .................................. 10,200 79,662 Solarfun Power Holdings ADR * ................... 7,700 66,528 Suntech Power Holdings ADR * .................... 11,940 162,384 Tianneng Power International .................... 69,000 45,237 Trina Solar ADR * ............................... 6,040 156,255 Yanzhou Coal Mining, Cl H ....................... 84,204 241,860 Yingli Green Energy Holding ADR * ............... 10,800 136,404 ----------- 2,753,776 ----------- Utilities -- 15.1% China Longyuan Power Group, Cl H * .............. 144,655 153,900 Datang International Power Generation, Cl H ..... 217,069 92,265 GCL Poly Energy Holdings ........................ 418,657 94,367 Huadian Power International, Cl H ............... 149,400 36,177 Huaneng Power International, Cl H ............... 224,123 130,771 Xinao Gas Holdings .............................. 51,712 158,857 ----------- 666,337 ----------- TOTAL CHINA 3,420,113 ----------- HONG KONG-- 28.8% Energy -- 18.8% CNOOC ........................................... 263,400 469,545 Fushan International Energy Group ............... 210,609 150,827 Kunlun Energy ................................... 155,341 209,688 ----------- 830,060 -----------
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS. 16 (GLOBAL FUNDS LOGO) The World in your Hands SCHEDULE OF INVESTMENTS APRIL 30, 2010 (UNAUDITED) GLOBAL X CHINA ENERGY ETF COMMON STOCK -- CONTINUED
SHARES/ FACE AMOUNT VALUE ----------- ----------- Utilities -- 10.0% Beijing Enterprises Holdings .................... 31,800 $ 207,049 China Power International Development ........... 183,600 42,330 China Resources Power Holdings .................. 92,400 189,470 ----------- 438,849 ----------- TOTAL HONG KONG .................................... 1,268,909 ----------- TOTAL COMMON STOCK (Cost $4,736,191) ............................... $ 4,689,022 =========== TIME DEPOSIT -- 0.0% Brown Brothers, 0.030% (Cost $933) .................................. $ 933 933 ----------- TOTAL TIME DEPOSIT (Cost $933) ..................................... $ 933 =========== TOTAL INVESTMENTS-- 106.3% (Cost $4,737,124) ............................... $ 4,689,955 ===========
PERCENTAGES ARE BASED ON NET ASSETS OF $4,410,374. * Non-income producing security. ++ Narrow industries are utilized for compliance purposes, whereas broad sectors are utilized for reporting purposes. ADR -- American Depositary Receipt Cl -- Class As of April 30, 2010, all of the Fund's investments are classified as Level 1, except for the Time Deposit which is Level 2, in accordance with ASC 820. THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS. 17 (GLOBAL FUNDS LOGO) The World in your Hands SCHEDULE OF INVESTMENTS APRIL 30, 2010 (UNAUDITED) GLOBAL X FTSE NORDIC 30 ETF SECTOR WEIGHTINGS+: (BAR CHART) Financials 28.4% Industrials 16.0% Technology 14.4% Oil & Gas 9.8% Health Care 9.1% Telecommunications 5.7% Consumer Goods 5.6% Basic Materials 4.7% Consumer Services 3.9% Utilities 2.4% Short-Term Investments 0.0%
+ Percentages based on total investments. COMMON STOCK -- 99.3%
SHARES VALUE ----------- ----------- DENMARK-- 20.6% Consumer Goods -- 2.1% Carlsberg, Cl B ................................. 1,580 $ 128,806 ----------- Financials -- 3.9% Danske Bank ..................................... 9,200 242,539 ----------- Health Care -- 9.0% Novo Nordisk ADR ................................ 6,789 557,377 ----------- Industrials -- 3.0% A P Moller - Maersk, Cl B ....................... 22 186,437 ----------- Oil & Gas -- 2.6% Vestas Wind Systems * ........................... 2,580 158,012 ----------- TOTAL DENMARK 1,273,171 ----------- FINLAND-- 15.8% Basic Materials -- 1.6% UPM-Kymmene ..................................... 6,650 96,160 ----------- Financials -- 3.1% Sampo, Cl A ..................................... 7,750 191,421 ----------- Industrials -- 1.5% Kone, Cl B ...................................... 2,080 91,948 ----------- Technology -- 7.2% Nokia ADR ....................................... 36,650 445,664 ----------- Utilities -- 2.4% Fortum .......................................... 5,650 146,548 ----------- TOTAL FINLAND ...................................... 971,741 ----------- NORWAY-- 17.2% Basic Materials -- 3.1% Norsk Hydro ..................................... 11,200 86,987
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS. 18 (GLOBAL FUNDS LOGO) The World in your Hands SCHEDULE OF INVESTMENTS APRIL 30, 2010 (UNAUDITED) GLOBAL X FTSE NORDIC 30 ETF COMMON STOCK -- CONTINUED
SHARES VALUE ----------- ----------- Basic Materials -- continued Yara International .............................. 2,920 $ 102,400 ----------- 189,387 ----------- Consumer Goods -- 1.8% Orkla ........................................... 13,100 111,138 ----------- Financials -- 2.7% DnB ............................................. 13,755 164,328 ----------- Oil & Gas -- 7.2% Seadrill ........................................ 3,140 80,084 Statoil ADR ..................................... 15,048 363,710 ----------- 443,794 ----------- Telecommunications -- 2.4% Telenor ......................................... 10,500 150,280 ----------- TOTAL NORWAY ....................................... 1,058,927 ----------- SWEDEN-- 44.1% Consumer Goods -- 1.7% Svenska Cellulosa, Cl B ......................... 7,900 103,674 ----------- Consumer Services -- 3.9% Hennes & Mauritz, Cl B .......................... 3,736 239,674 ----------- Financials -- 16.9% Investor, Cl B .................................. 6,000 114,215 Nordea Bank ..................................... 52,000 511,452 Skandinaviska Enskilda Banken, Cl A ............. 26,700 184,344 Svenska Handelsbanken, Cl A ..................... 8,100 228,823 ----------- 1,038,834 ----------- Industrials -- 11.4% Atlas Copco, Cl A ............................... 8,400 136,693 Sandvik ......................................... 15,700 227,725 SKF, Cl B ....................................... 5,400 108,835 Volvo, Cl B ..................................... 18,200 229,166 ----------- 702,419 ----------- Technology -- 7.0% Ericsson ADR .................................... 37,600 432,400 ----------- Telecommunications -- 3.2% TeliaSonera ..................................... 28,700 197,439 ----------- TOTAL SWEDEN ....................................... 2,714,440 ----------- UNITED STATES-- 1.6% Financials -- 1.6% Swedbank ........................................ 8,977 98,339 ----------- TOTAL UNITED STATES ................................ 98,339 ----------- TOTAL COMMON STOCK (Cost $5,730,569) ............................... $ 6,116,618 ===========
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS. 19 (GLOBAL FUNDS LOGO) The World in your Hands SCHEDULE OF INVESTMENTS APRIL 30, 2010 (UNAUDITED) GLOBAL X FTSE NORDIC 30 ETF TIME DEPOSIT -- 0.0%
FACE AMOUNT VALUE ----------- ----------- Brown Brothers, 0.030% (Cost $422) .................................. $ 422 $ 422 ----------- TOTAL TIME DEPOSIT (Cost $422) ..................................... $ 422 =========== TOTAL INVESTMENTS-- 99.3% (Cost $5,730,991) ............................... $ 6,117,040 ===========
PERCENTAGES ARE BASED ON NET ASSETS OF $6,162,586. * Non-income producing security. ADR -- AMERICAN DEPOSITARY RECEIPT CL -- CLASS As of April 30, 2010, all of the Fund's investments are classified as Level 1, except for the Time Deposit which is Level 2, in accordance with ASC 820. THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS. 20 (GLOBAL FUNDS LOGO) The World in your Hands SCHEDULE OF INVESTMENTS APRIL 30, 2010 (UNAUDITED) GLOBAL X /INTERBOLSA FTSE COLOMBIA 20 ETF SECTOR WEIGHTINGS +: (BAR CHART) Financials 42.1% Oil & Gas 29.3% Industrials 9.6% Utilities 8.4% Consumer Goods 5.7% Consumer Services 3.8% Telecommunications 1.1%
+ Percentages based on total investments. COMMON STOCK -- 99.9++%
SHARES VALUE(1) ----------- ----------- CANADA-- 9.7% Oil & Gas -- 9.7% Pacific Rubiales Energy * ....................... 7,063 159,211 Pacific Rubiales Energy * MXP ................... 35,316 802,070 ----------- TOTAL CANADA ....................................... 961,281 ----------- COLOMBIA-- 90.2% Consumer Goods -- 5.7% Cia Colombiana del Tejidos * .................... 131,856,614 66,127 Grupo Nacional de Chocolates .................... 38,009 424,419 Textiles Fabricato Tejicondor * ................. 4,471,277 69,331 ----------- 559,877 ----------- Consumer Services -- 3.8% Almacenes Exito ................................. 41,615 376,518 ----------- Financials -- 42.1% BanColombia ADR ................................. 41,286 1,929,708 Bolsa de Valores de Colombia .................... 7,516,180 141,931 Cia Colombiana de Inversiones ................... 156,190 493,964 Financiera Colombiana ........................... 29,922 457,841 Grupo Aval Acciones y Valores ................... 976,291 469,635 Grupo de Inversiones Suramericana ............... 32,113 488,408 Helm Bank ....................................... 406,991 91,641 Interbolsa ...................................... 68,262 87,332 ----------- 4,160,460 ----------- Industrials -- 9.6% Cementos Argos .................................. 75,083 442,636 Inversiones Argos ............................... 45,074 447,488 Tableros y Maderas de Caldas .................... 13,810,708 55,056 ----------- 945,180 ----------- Oil & Gas -- 19.6% Ecopetrol ADR ................................... 68,063 1,938,434 ----------- Telecommunications -- 1.0% Empresa de Telecomunicaciones de Bogota ......... 172,643 102,043 -----------
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS. 21 (GLOBAL FUNDS LOGO) The World in your Hands SCHEDULE OF INVESTMENTS APRIL 30, 2010 (UNAUDITED) GLOBAL X /INTERBOLSA FTSE COLOMBIA 20 ETF COMMON STOCK -- CONTINUED
SHARES VALUE(1) ----------- ----------- Utilities -- 8.4% Interconexion Electrica ......................... 65,618 435,864 Isagen .......................................... 330,535 394,964 ----------- 830,828 ----------- TOTAL COLOMBIA ..................................... 8,913,340 ----------- TOTAL COMMON STOCK (Cost $7,122,311) ............................... $ 9,874,621 =========== TOTAL INVESTMENTS-- 99.9% (Cost $7,122,311) ............................... $ 9,874,621 ===========
PERCENTAGES ARE BASED ON NET ASSETS OF $9,884,797. * Non-income producing security. (1) In U.S. dollars unless otherwise indicated. ++ Narrow industries are utilized for compliance purposes, whereas broad sectors are utilized for reporting purposes. ADR -- AMERICAN DEPOSITARY RECEIPT MXP --MEXICAN PESO As of April 30, 2010, all of the Fund's investments are classified as Level 1 in accordance with ASC 820. THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS. 22 (GLOBAL FUNDS LOGO) The World in your Hands STATEMENTS OF ASSETS AND LIABILITIES APRIL 30, 2010 (UNAUDITED)
GLOBAL X SILVER GLOBAL X COPPER GLOBAL X CHINA GLOBAL X CHINA MINERS ETF MINERS ETF FINANCIALS ETF INDUSTRIALS ETF --------------- --------------- -------------- --------------- ASSETS: Cost of Investments $31,373,723 $2,135,739 $56,869,522 $26,966,084 Cost of Foreign Currency -- -- -- -- ----------- ---------- ----------- ----------- Investments, at Value $31,703,830 $2,041,977 $54,983,074 $25,388,173 Foreign Currency, at Value -- -- -- -- Receivable for Capital Shares Sold 5,294,500 -- -- -- Dividend and Interest Receivable 3,877 390 208,905 28,770 Receivable for Investment Securities Sold -- -- 6,892,029 2,840,355 Reclaim Receivable -- 37 -- -- ----------- ---------- ----------- ----------- TOTAL ASSETS 37,002,207 2,042,404 62,084,008 28,257,298 ----------- ---------- ----------- ----------- LIABILITIES: Payable for Investment Securities Purchased 5,284,825 -- 7,580,126 2,880,304 Payable for Capital Shares Redeemed -- -- -- -- Custody fee Payable -- -- -- -- Payable due to Investment Adviser 1,505 266 30,833 13,944 Due to Custodian 2,998,388 -- -- -- Overdraft of Foreign Currency* -- -- 101,235 -- ----------- ---------- ----------- ----------- TOTAL LIABILITIES 8,284,718 266 7,712,194 2,894,248 ----------- ---------- ----------- ----------- NET ASSETS $28,717,489 $2,042,138 $54,371,814 $25,363,050 =========== ========== =========== =========== Proceeds of Foreign Currency* $ -- $ -- $ 101,229 $ -- ----------- ---------- ----------- ----------- NET ASSETS CONSIST OF: Paid-in Capital $28,385,000 $2,132,500 $57,360,500 $27,227,000 Undistributed (Distributions in Excess of) Net Investment Income/Accumulated Net Investment Loss 2,355 165 114,587 (36,537) Accumulated Net Realized Gain (Loss) on Investments and Foreign Currency Translations -- 3,238 (1,216,843) (249,500) Net Unrealized Appreciation (Depreciation) on Investments 330,107 (93,762) (1,886,448) (1,577,911) Net Unrealized Appreciation (Depreciation) on Foreign Currency Translations 27 (3) 18 (2) ----------- ---------- ----------- ----------- NET ASSETS $28,717,489 $2,042,138 $54,371,814 $25,363,050 =========== ========== =========== =========== Outstanding Shares of Beneficial Interest (unlimited authorization -- no par value) 1,900,000 150,000 4,050,000 1,700,000 Net Asset Value, Offering and Redemption Price Per Share $ 15.11 $ 13.61 $ 13.43 $ 14.92 =========== ========== =========== ===========
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS. 23 (GLOBAL FUNDS LOGO) The World in your Hands STATEMENTS OF ASSETS AND LIABILITIES APRIL 30, 2010 (UNAUDITED)
GLOBAL X/ INTERBOLSA GLOBAL X CHINA GLOBAL X CHINA GLOBAL X CHINA GLOBAL X CHINA GLOBAL X FTSE FTSE COLOMBIA 20 CONSUMER ETF MATERIALS ETF TECHNOLOGY ETF ENERGY ETF NORDIC 30 ETF ETF -------------- -------------- -------------- -------------- ------------- -------------------- $31,140,925 $13,783,942 $3,840,792 $4,737,124 $5,730,991 $7,122,311 5,857 -- -- -- 16,765 10,272 ----------- ----------- ---------- ---------- ---------- ---------- $32,618,038 $13,805,769 $3,955,337 $4,689,955 $6,117,040 $9,874,621 5,855 -- -- -- 16,361 10,126 -- -- -- -- -- -- 71,138 29,638 9,237 2,415 36,628 28,091 1,018,456 1,469,954 -- 377,319 2,458,244 -- -- -- -- -- 1,837 -- ----------- ----------- ---------- ---------- ---------- ---------- 33,713,487 15,305,361 3,964,574 5,069,689 8,630,110 9,912,838 ----------- ----------- ---------- ---------- ---------- ---------- 2,278,163 1,171,958 83,178 655,242 -- -- -- -- -- -- 2,462,600 -- -- -- -- -- -- 7,633 16,004 10,152 2,127 2,039 4,924 5,466 2,560 -- 2,412 -- -- 14,942 -- -- -- 2,034 -- -- ----------- ----------- ---------- ---------- ---------- ---------- 2,296,727 1,182,110 87,717 659,315 2,467,524 28,041 ----------- ----------- ---------- ---------- ---------- ---------- $31,416,760 $14,123,251 $3,876,857 $4,410,374 $6,162,586 $9,884,797 =========== =========== ========== ========== ========== ========== $ -- $ -- $ -- $ 2,032 $ -- $ -- ----------- ----------- ---------- ---------- ---------- ---------- $29,927,500 $14,090,500 $3,761,500 $4,500,000 $5,252,101 $6,896,000 34,056 12,433 814 (4,860) 105,352 (62,173) (21,894) (1,505) -- (37,596) 419,405 298,811 1,477,113 21,827 114,545 (47,169) 386,049 2,752,310 (15) (4) (2) (1) (321) (151) ----------- ----------- ---------- ---------- ---------- ---------- $31,416,760 $14,123,251 $3,876,857 $4,410,374 $6,162,586 $9,884,797 =========== =========== ========== ========== ========== ========== 1,800,000 1,100,000 250,000 300,000 350,000 300,000 $ 17.45 $ 12.84 $ 15.51 $ 14.70 $ 17.61 $ 32.95 =========== =========== ========== ========== ========== ==========
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS. 24 (GLOBAL FUNDS LOGO) The World in your Hands STATEMENTS OF OPERATIONS FOR THE PERIOD ENDED APRIL 30, 2010 (UNAUDITED)
GLOBAL X GLOBAL X GLOBAL X GLOBAL X GLOBAL X SILVER COPPER CHINA CHINA CHINA MINERS MINERS FINANCIALS INDUSTRIALS CONSUMER ETF(1) ETF(1) ETF(2) ETF(3) ETF(3) -------- -------- ----------- ----------- ---------- INVESTMENT INCOME: Dividend Income $ 4,277 $ 489 $ 208,879 $ 28,771 $ 85,271 Interest Income 11 -- 10 9 3 Less: Foreign Taxes Withheld (428) (58) -- -- -- -------- -------- ----------- ----------- ---------- TOTAL INVESTMENT INCOME 3,860 431 208,889 28,780 85,274 -------- -------- ----------- ----------- ---------- Supervision and Administration Fees(4) 1,505 266 94,302 65,317 51,218 -------- -------- ----------- ----------- ---------- TOTAL EXPENSES 1,505 266 94,302 65,317 51,218 -------- -------- ----------- ----------- ---------- NET INVESTMENT INCOME (LOSS) 2,355 165 114,587 (36,537) 34,056 -------- -------- ----------- ----------- ---------- NET REALIZED GAIN (LOSS) ON: Investments -- 107 (1,215,101) (249,500) (21,760) Foreign Currency Transactions -- 3,131 (1,742) -- (134) -------- -------- ----------- ----------- ---------- NET REALIZED GAIN (LOSS) ON INVESTMENTS -- 3,238 (1,216,843) (249,500) (21,894) -------- -------- ----------- ----------- ---------- NET CHANGE IN UNREALIZED APPRECIATION (DEPRECIATION) ON: Investments 330,107 (93,762) (1,886,448) (1,577,911) 1,477,113 Foreign Currency Transactions 27 (3) 18 (2) (15) -------- -------- ----------- ----------- ---------- NET CHANGE IN UNREALIZED APPRECIATION (DEPRECIATION) ON INVESTMENTS 330,134 (93,765) (1,886,430) (1,577,913) 1,477,098 -------- -------- ----------- ----------- ---------- NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS 330,134 (90,527) (3,103,273) (1,827,413) 1,455,204 -------- -------- ----------- ----------- ---------- NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS $332,489 $(90,362) $(2,988,686) $(1,863,950) $1,489,260 ======== ======== =========== =========== ==========
(1) THE FUND COMMENCED OPERATIONS ON APRIL 19, 2010. (2) THE FUND COMMENCED OPERATIONS ON DECEMBER 10, 2009. (3) THE FUND COMMENCED OPERATIONS ON NOVEMBER 30, 2009. (4) THE SUPERVISION AND ADMINISTRATION FEES REFLECT THE SUPERVISORY AND ADMINISTRATIVE FEE, WHICH INCLUDES FEES PAID BY THE FUNDS FOR THE INVESTMENT ADVISORY SERVICES PROVIDED BY THE ADVISER. THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS. 25 (GLOBAL FUNDS LOGO) The World in your Hands STATEMENTS OF OPERATIONS FOR THE PERIOD ENDED APRIL 30, 2010 (UNAUDITED)
GLOBAL GLOBAL X GLOBAL X GLOBAL X X/INTERBOLSA CHINA CHINA CHINA GLOBAL X FTSE MATERIALS TECHNOLOGY ENERGY FTSE NORDIC COLOMBIA 20 ETF(1) ETF(2) ETF(3) 30 ETF ETF --------- ---------- -------- ----------- ------------ INVESTMENT INCOME: Dividend Income $29,641 $ 8,823 $ 2,159 $145,721 $ 122,957 Interest Income 2 -- 1 1 7 Less: Foreign Taxes Withheld -- -- -- (22,774) (3,086) ------- -------- -------- -------- ----------- TOTAL INVESTMENT INCOME 29,643 8,823 2,160 122,948 119,878 ------- -------- -------- -------- ----------- Supervision and Administration Fees(4) 17,210 8,009 7,020 13,433 26,772 Custodian Fees -- -- -- -- 7,087 ------- -------- -------- -------- ----------- TOTAL EXPENSES 17,210 8,009 7,020 13,433 33,859 ------- -------- -------- -------- ----------- NET INVESTMENT INCOME (LOSS) 12,433 814 (4,860) 109,515 86,019 ------- -------- -------- -------- ----------- NET REALIZED GAIN (LOSS) ON: Investments (1,437) -- (37,596) 416,464 299,912 Foreign Currency Transactions (68) -- -- 784 (4,648) ------- -------- -------- -------- ----------- NET REALIZED GAIN (LOSS) ON INVESTMENTS (1,505) -- (37,596) 417,248 295,264 ------- -------- -------- -------- ----------- NET CHANGE IN UNREALIZED APPRECIATION (DEPRECIATION) ON: Investments 21,827 114,545 (47,169) 120,853 1,219,346 Foreign Currency Transactions (4) (2) (1) (217) (2,652) ------- -------- -------- -------- ----------- NET CHANGE IN UNREALIZED APPRECIATION (DEPRECIATION) ON INVESTMENTS 21,823 114,543 (47,170) 120,636 1,216,694 ------- -------- -------- -------- ----------- NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS 20,318 114,543 (84,766) 537,884 1,511,958 ------- -------- -------- -------- ----------- NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS $32,751 $115,357 $(89,626) $647,399 $ 1,597,977 ======= ======== ======== ======== ===========
(1) THE FUND COMMENCED OPERATIONS ON JANUARY 12, 2010. (2) THE FUND COMMENCED OPERATIONS ON DECEMBER 8, 2009. (3) THE FUND COMMENCED OPERATIONS ON DECEMBER 15, 2009. (4) THE SUPERVISION AND ADMINISTRATION FEES REFLECT THE SUPERVISORY AND ADMINISTRATIVE FEE, WHICH INCLUDES FEES PAID BY THE FUNDS FOR THE INVESTMENT ADVISORY SERVICES PROVIDED BY THE ADVISER. THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS. 26 (GLOBAL FUNDS LOGO) The World in your Hands STATEMENTS OF CHANGES IN NET ASSETS (UNAUDITED)
GLOBAL X GLOBAL X GLOBAL X GLOBAL X GLOBAL X CHINA CHINA CHINA SILVER COPPER FINANCIALS INDUSTRIALS CONSUMER MINERS ETF(1) MINERS ETF(1) ETF(2) ETF(3) ETF(3) PERIOD ENDED PERIOD ENDED PERIOD ENDED PERIOD ENDED PERIOD ENDED APRIL 30, 2010 APRIL 30, 2010 APRIL 30, 2010 APRIL 30, 2010 APRIL 30, 2010 -------------- -------------- -------------- -------------- -------------- OPERATIONS: Net Investment Income (Loss) $ 2,355 $ 165 $ 114,587 $ (36,537) $ 34,056 Net Realized Gain (Loss) on Investments and Foreign Currency Transactions -- 3,238 (1,216,843) (249,500) (21,894) Net Change in Unrealized Appreciation (Depreciation) on Investments and Foreign Currency 330,134 (93,765) (1,886,430) (1,577,913) 1,477,098 ----------- ----------- ------------ ------------ ----------- NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS 332,489 (90,362) (2,988,686) (1,863,950) 1,489,260 ----------- ----------- ------------ ------------ ----------- DIVIDENDS AND DISTRIBUTIONS: Net Investment Income -- -- -- -- -- ----------- ----------- ------------ ------------ ----------- TOTAL DIVIDENDS AND DISTRIBUTIONS -- -- -- -- -- ----------- ----------- ------------ ------------ ----------- CAPITAL SHARE TRANSACTIONS: Issued 28,385,000 2,132,500 57,360,500 27,227,000 29,927,500 Redeemed -- -- -- -- -- ----------- ----------- ------------ ------------ ----------- INCREASE IN NET ASSETS FROM CAPITAL SHARE TRANSACTIONS 28,385,000 2,132,500 57,360,500 27,227,000 29,927,500 ----------- ----------- ------------ ------------ ----------- TOTAL INCREASE IN NET ASSETS 28,717,489 2,042,138 54,371,814 25,363,050 31,416,760 ----------- ----------- ------------ ------------ ----------- NET ASSETS: Beginning of Period -- -- -- -- -- ----------- ----------- ------------ ------------ ----------- End of Period $28,717,489 $ 2,042,138 $ 54,371,814 $ 25,363,050 $31,416,760 =========== =========== ============ ============ =========== SHARE TRANSACTIONS: Issued 1,900,000 150,000 4,050,000 1,700,000 1,800,000 Redeemed -- -- -- -- -- ----------- ----------- ------------ ------------ ----------- NET INCREASE IN SHARES OUTSTANDING FROM SHARE TRANSACTIONS 1,900,000 150,000 4,050,000 1,700,000 1,800,000 =========== =========== ============ ============ =========== Undistributed (Distributions in Excess of) Net Investment Income/Accumulated Net Investment Loss $ 2,355 $ 165 $ 114,587 $ (36,537) $ 34,056 =========== =========== ============ ============ ===========
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS. 27 (GLOBAL FUNDS LOGO) The World in your Hands STATEMENTS OF CHANGES IN NET ASSETS (UNAUDITED)
GLOBAL X GLOBAL X GLOBAL X/INTERBOLSA FTSE CHINA CHINA GLOBAL X GLOBAL X FTSE NORDIC 30 ETF(7) COLOMBIA 20 ETF(8) MATERIALS TECHNOLOGY CHINA ENERGY ------------------------------- ----------------------------- ETF(4) ETF(5) ETF(6) PERIOD ENDED PERIOD ENDED PERIOD ENDED PERIOD ENDED PERIOD ENDED PERIOD ENDED OCTOBER 31, PERIOD ENDED OCTOBER 31, APRIL 30, 2010 APRIL 30, 2010 APRIL 30, 2010 APRIL 30, 2010 2009 APRIL 30, 2010 2009 -------------- -------------- -------------- -------------- ------------ -------------- ------------ $ 12,433 $ 814 $ (4,860) $ 109,515 $ (2,689) $ 86,019 $ 68,711 (1,505) -- (37,596) 417,248 2,840 295,264 51,378 21,823 114,543 (47,170) 120,636 265,092 1,216,694 1,535,465 ----------- ---------- ---------- ----------- ---------- ---------- ---------- 32,751 115,357 (89,626) 647,399 265,243 1,597,977 1,655,554 ----------- ---------- ---------- ----------- ---------- ---------- ---------- -- -- -- (2,157) -- (264,734) -- ----------- ---------- ---------- ----------- ---------- ---------- ---------- -- -- -- (2,157) -- (264,734) -- ----------- ---------- ---------- ----------- ---------- ---------- ---------- 14,090,500 3,761,500 4,500,000 4,605,300 3,009,396 1,591,500 5,304,500 -- -- -- (2,462,600) -- -- -- ----------- ---------- ---------- ----------- ---------- ---------- ---------- 14,090,500 3,761,500 4,500,000 2,142,700 3,009,396 1,591,500 5,304,500 ----------- ---------- ---------- ----------- ---------- ---------- ---------- 14,123,251 3,876,857 4,410,374 2,787,942 3,274,639 2,924,743 6,960,054 ----------- ---------- ---------- ----------- ---------- ---------- ---------- -- -- -- 3,374,644 100,005 6,960,054 -- ----------- ---------- ---------- ----------- ---------- ---------- ---------- $14,123,251 $3,876,857 $4,410,374 $ 6,162,586 $3,374,644 $9,884,797 $6,960,054 =========== ========== ========== =========== ========== ========== ========== 1,100,000 250,000 300,000 280,000 210,000 50,000 250,000 -- -- -- (140,000) -- -- -- ----------- ---------- ---------- ----------- ---------- ---------- ---------- 1,100,000 250,000 300,000 140,000 210,000 50,000 250,000 =========== ========== ========== =========== ========== ========== ========== $ 12,433 $ 814 $ (4,860) $ 105,352 $ (2,006) $ (62,173) $ 116,542 =========== ========== ========== =========== ========== ========== ==========
(1) THE FUND COMMENCED OPERATIONS ON APRIL 19, 2010. (2) THE FUND COMMENCED OPERATIONS ON DECEMBER 10, 2009. (3) THE FUND COMMENCED OPERATIONS ON NOVEMBER 30, 2009. (4) THE FUND COMMENCED OPERATIONS ON JANUARY 12, 2010. (5) THE FUND COMMENCED OPERATIONS ON DECEMBER 8, 2009. (6) THE FUND COMMENCED OPERATIONS ON DECEMBER 15, 2009. (7) THE FUND COMMENCED OPERATIONS ON AUGUST 17, 2009. (8) THE FUND COMMENCED OPERATIONS ON FEBRUARY 5, 2009. THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS. 28 (GLOBAL FUNDS LOGO) The World in your Hands FINANCIAL HIGHLIGHTS (UNAUDITED) SELECTED PER SHARE DATA & RATIOS FOR A SHARE OUTSTANDING THROUGHOUT THE PERIOD
NET RATIO OF REALIZED RATIO OF NET AND NET NET EXPENSES INVESTMENT NET ASSET NET UNREALIZED DISTRIBUTION ASSET ASSETS TO INCOME VALUE, INVESTMENT GAIN (LOSS) FROM NET VALUE, END OF AVERAGE (LOSS) TO BEGINNING INCOME ON TOTAL FROM INVESTMENT END OF TOTAL PERIOD NET AVERAGE PORTFOLIO OF PERIOD (LOSS)* INVESTMENTS OPERATIONS INCOME PERIOD RETURN** (000) ASSETS NET ASSETS TURNOVER --------- ---------- ----------- ------------ ------------ ------ -------- ------- -------- ---------- --------- Global X Silver Miners ETF(1) Institutional Shares 2010 $14.50 $ -- $ 0.61 $ 0.61 $ -- $15.11 4.21% $28,717 0.65%+ 1.02%+ --% Global X Copper Miners ETF(1) Institutional Shares 2010 $14.40 $ -- $(0.79) $(0.79) $ -- $13.61 (5.49)% $ 2,042 0.65%+ 0.40%+ 0.09% Global X China Financials ETF(2) Institutional Shares 2010 $14.90 $ 0.04 $(1.51) $(1.47) $ -- $13.43 (9.87)% $54,372 0.65%+ 0.79%+ 17.39% Global X China Industrials ETF(3) Institutional Shares 2010 $15.50 $(0.02) $(0.56) $(0.58) $ -- $14.92 (3.74)% $25,363 0.65%+ (0.36)%+ 11.27% Global X China Consumer ETF(3) Institutional Shares 2010 $15.65 $ 0.03 $ 1.77 $ 1.80 $ -- $17.45 11.50% $31,417 0.65%+ 0.43%+ 4.61% Global X China Materials ETF(4) Institutional Shares 2010 $14.95 $ 0.02 $(2.13) $(2.11) $ -- $12.84 (14.11)% $14,123 0.65%+ 0.47%+ 13.05% Global X China Technology ETF(5) Institutional Shares 2010 $14.90 $ -- $ 0.61 $ 0.61 $ -- $15.51 4.09% $ 3,877 0.65%+ 0.07%+ --% Global X China Energy ETF(6) Institutional Shares 2010 $15.02 $(0.02) $(0.30) $(0.32) $ -- $14.70 (2.13)% $ 4,410 0.65%+ (0.45)%+ 15.36% Global X FTSE Nordic 30 ETF(7) Institutional Shares 2010 $16.07 $ 0.34 $ 1.21 $ 1.55 $(0.01) $17.61 9 .65% $ 6,163 0.50%+ 4.08%+ 2.03% 2009 $14.50 (0.02) 1.59 1.57 -- 16.07 10 .83 3,375 0.50+ (0.50)+ 0.70 Global X/InterBolsa FTSE Colombia 20 ETF(8) Institutional Shares 2010 $27.84 $ 0.33 $ 5.84 $ 6.17 $(1.06) $32.95 22.74% $ 9,885 0.86%+ 2.18%+ 15.84% 2009 $15.00 0.50 12.34 12.84 -- 27.84 85.60 6,960 0.86+ 2.93+ 1.94
(1) THE FUND COMMENCED OPERATIONS ON APRIL 19, 2010. (2) THE FUND COMMENCED OPERATIONS ON DECEMBER 10, 2009. (3) THE FUND COMMENCED OPERATIONS ON NOVEMBER 30, 2009. (4) THE FUND COMMENCED OPERATIONS ON JANUARY 12, 2010. (5) THE FUND COMMENCED OPERATIONS ON DECEMBER 8, 2009. (6) THE FUND COMMENCED OPERATIONS ON DECEMBER 15, 2009. (7) THE FUND COMMENCED OPERATIONS ON AUGUST 17, 2009. (8) THE FUND COMMENCED OPERATIONS ON FEBRUARY 5, 2009. * PER SHARE CALCULATIONS WERE PERFORMED USING AVERAGE SHARES. ** TOTAL RETURN IS FOR THE PERIOD INDICATED AND HAS NOT BEEN ANNUALIZED. RETURNS SHOWN DO NOT REFLECT THE DEDUCTIONS OF TAXES THAT A SHAREHOLDER WOULD PAY ON FUND DISTRIBUTIONS OR THE REDEMPTION OF FUND + ANNUALIZED AMOUNTS DESIGNATED AS "--" ARE EITHER $0 OR HAVE BEEN ROUNDED TO $0. THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS. 29 (GLOBAL FUNDS LOGO) The World in your Hands NOTES TO FINANCIAL STATEMENTS April 30, 2010 (unaudited) 1. ORGANIZATION The Global X Funds (the "Trust") is a Delaware Statutory Trust formed on March 6, 2008. The Trust is registered with the Securities and Exchange Commission under the Investment Company Act of 1940, as amended, as an open-end management investment company and as of April 30, 2010 had twenty-three investment portfolios: Global X FTSE Nordic 30 ETF, Global X FTSE Denmark 30 ETF, Global X FTSE Finland 30 ETF, Global X FTSE Norway 30 ETF, Global X FTSE Argentina 20 ETF, Global X/InterBolsa FTSE Colombia 20 ETF, Global X FTSE Egypt 30 ETF, Global X FTSE Peru 20 ETF, Global X FTSE Philippines 30 ETF, Global X FTSE Poland 30 ETF, Global X FTSE United Arab Emirates 20 ETF, Global X Emerging Africa NRX 40 ETF, Global X Pakistan KSE30 ETF, Global X China Consumer ETF, Global X China Energy ETF, Global X China Financials ETF, Global X China Industrials ETF, Global X China Materials ETF and Global X China Technology ETF, Global X Copper Miners ETF, Global X Silver Miners ETF, Global X Gold Miners ETF, and the Global X Platinum Miners ETF. As of April 30, 2010, only the Global X Silver Miners ETF, Global X Copper Miners ETF, Global X China Financials ETF, Global X China Industrials ETF, Global X China Consumer ETF, Global X China Materials ETF, Global X China Technology ETF, Global X China Energy ETF, Global X FTSE Nordic 30 ETF, and the Global X/InterBolsa FTSE Colombia 20 ETF, (the "Funds") were operational. The Funds seek to provide investment results that correspond generally to the price and yield performance, before fees and expenses, of its underlying index. Each Fund is classified as "non-diversified" for purposes of the 1940 Act. This means that each Fund may invest most of its assets in securities issued by or representing a small number of companies. As a result, each Fund may be more susceptible to the risks associated with these particular companies, or to a single economic, political or regulatory occurrence affecting these companies. Global X Management Company LLC (the "Adviser"), a Delaware Limited Liability Company, serves as the investment adviser and the administrator for the Funds. Subject to the supervision of the Board of Trustees (the "Board"), the Adviser is responsible for managing the investment activities of the Funds, the Funds' business affairs and other administrative matters. 2. SIGNIFICANT ACCOUNTING POLICIES The following is a summary of the Significant Accounting Policies followed by the Funds. USE OF ESTIMATES -- The preparation of financial statements in conformity with U.S. Generally Accepted Accounting Principals ("U.S. GAAP") requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of increases and decreases in net assets from operations during the reporting period. Actual results could differ from those estimates, and could have a material impact to the Funds. SECURITY VALUATION -- Securities listed on a securities exchange, market or automated quotation system for which quotations are readily available (except for securities traded on NASDAQ), including securities traded over the counter, are valued at the last quoted sale price on the primary exchange or market (foreign or domestic) on which they are traded (or at approximately 4:00 pm if a security's primary exchange is normally open at that time), or, if there is no such reported sale, at the most recent mean between the quoted bid and asked prices (absent both bid and asked prices on such exchange, the bid price may be used). 30 (GLOBAL FUNDS LOGO) The World in your Hands NOTES TO FINANCIAL STATEMENTS (CONTINUED) April 30, 2010 (unaudited) 2. SIGNIFICANT ACCOUNTING POLICIES (continued) SECURITY VALUATION (continued) For securities traded on NASDAQ, the NASDAQ Official Closing Price will be used. If available, debt securities are priced based upon valuations provided by independent, third-party pricing agents. Such values generally reflect the last reported sales price if the security is actively traded. The third-party pricing agents may also value debt securities at an evaluated bid price by employing methodologies that utilize actual market transactions, broker-supplied valuations, or other methodologies designed to identify the market value for such securities. Debt obligations with remaining maturities of sixty days or less may be valued at their amortized cost, which approximates market value. The prices for foreign securities are reported in local currency and converted to U.S. dollars using currency exchange rates. Prices for most securities held in the Funds are provided daily by recognized independent pricing agents. If a security price cannot be obtained from an independent, third-party pricing agent, the Funds seek to obtain a bid price from at least one independent broker. Securities for which market prices are not "readily available" are valued in accordance with Fair Value Procedures established by the Board. The Funds' Fair Value Procedures are implemented through a Fair Value Committee (the "Committee") designated by the Board. Some of the more common reasons that may necessitate that a security be valued using Fair Value Procedures include: the security's trading has been halted or suspended; the security has been de-listed from a national exchange; the security's primary trading market is temporarily closed at a time when under normal conditions it would be open; the security has not been traded for an extended period of time; the security's primary pricing source is not able or willing to provide a price; or trading of the security is subject to local government-imposed restrictions. When a security is valued in accordance with the Fair Value Procedures, the Committee will determine the value after taking into consideration relevant information reasonably available to the Committee. As of April 30, 2010 there were $1,419,310 of fair valued securities in the Global X China Consumer ETF. As of April 30, 2010, no other Fund has fair valued securities. For securities that principally trade on a foreign market or exchange, a significant gap in time can exist between the time of a particular security's last trade and the time at which the Fund's calculated their net asset value. The closing prices of such securities may no longer reflect their market value at the time the Funds calculated net asset value if an event that could materially affect the value of those securities (a "Significant Event") has occurred between the time of the security's last close and the time that the Funds calculate net asset value. A Significant Event may relate to a single issuer or to an entire market sector. If the Adviser becomes aware of a Significant Event that has occurred with respect to a security or group of securities after the closing of the exchange or market on which the security or securities principally trade, but before the time at which the Funds calculate net asset value, it may request that a Committee meeting be called. In addition, the Funds' Sub-administrator, SEI Investments Global Funds Services ("SEIGFS"), monitors price movements among certain selected indices, securities and/or baskets of securities that may be an indicator that the closing prices received earlier from foreign exchanges or markets may not reflect market value at the time the Funds calculate net asset value. If price movements in a monitored index or security exceed levels established by the administrator, the administrator notifies the Adviser that such limits have been exceeded. In such event, the Adviser makes the determination whether a Committee meeting should be called based on the information provided. 31 (GLOBAL FUNDS LOGO) The World in your Hands NOTES TO FINANCIAL STATEMENTS (CONTINUED) April 30, 2010 (unaudited) 2. SIGNIFICANT ACCOUNTING POLICIES (continued) SECURITY VALUATION (continued) In accordance with the authoritative guidance on fair value measurements and disclosure under U.S. GAAP, the Funds discloses the fair value of their investments in a hierarchy that prioritizes the inputs to valuation techniques used to measure the fair value. The objective of a fair value measurement is to determine the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (an exit price). Accordingly, the fair value hierarchy gives the highest priority to quoted prices (unadjusted) in active markets for identical assets or liabilities (Level 1) and the lowest priority to unobservable inputs (Level 3). The three levels of the fair value hierarchy are described below: The three levels of the fair value hierarchy are described below: Level 1 - Unadjusted quoted prices in active markets for identical, unrestricted assets or liabilities that the funds have has the ability to access at the measurement date; Level 2 - Other significant observable inputs (including quoted prices for similar investments, fair value of investments for which the Fund has the ability to fully redeem tranches at net asset value as of the measurement date or within the near term, and short-term investments valued at amortized cost) Level 3 - Significant unobservable inputs (including the Fund's own assumptions in determining the fair value of investments, fair value of investments for which the Fund does not have the ability to fully redeem tranches at net asset value as of the measurement date or within the near term) Investments are classified within the level of the lowest significant input considered in determining fair value. Investments classified within Level 3 whose fair value measurement considers several inputs may include Level 1 or Level 2 inputs as components of the overall fair value measurement. For the period ended April 30, 2010 there has been no significant changes to the Funds' fair valuation methodologies. FEDERAL INCOME TAXES -- It is the Funds' intention to qualify or continue to qualify as a regulated investment company for Federal income tax purposes by complying with the appropriate provisions of the Subchapter M of the Internal Revenue Code of 1986, as amended. Accordingly, no provisions for Federal income taxes have been made in the financial statements. The Funds evaluate tax positions taken or expected to be taken in the course of preparing the Funds' tax returns to determine whether it is "more-likely-than-not" (i.e., greater than 50 percent) that each tax position will be sustained upon examination by a taxing authority based on the technical merits of the position. Tax positions not deemed to meet the more-likely-than-not threshold are recorded as a tax benefit or expense in the current year. The Funds did not record any tax provision in the current period. However, management's conclusions regarding tax positions taken may be subject to review and adjustment at a later date based on factors including, but not limited to, examination by tax authorities (i.e., the last 3 tax year ends, as applicable), on-going analysis of and changes to tax laws, regulations and interpretations thereof. 32 (GLOBAL FUNDS LOGO) The World in your Hands NOTES TO FINANCIAL STATEMENTS (CONTINUED) April 30, 2010 (unaudited) 2. SIGNIFICANT ACCOUNTING POLICIES (continued) SECURITY TRANSACTIONS AND INVESTMENT INCOME -- Security transactions are accounted for on trade date. Costs used in determining realized gains and losses on the sale of investment securities are based on specific identification. Dividend income is recorded on the ex-dividend date. Interest income is recognized on the accrual basis from the settlement date. FOREIGN CURRENCY TRANSLATION -- The books and records of the Funds are maintained in U.S. dollars. Investment securities and other assets and liabilities denominated in a foreign currency are translated into U.S. dollars on the date of valuation. Purchases and sales of (i) investment securities, (ii) income and (iii) expenses are translated into U.S. dollars at the relevant rates of exchange prevailing on the respective dates of such transactions. The Funds' do not isolate that portion of realized or unrealized gains and losses resulting from changes in the foreign exchange rate from fluctuations arising from changes in the market prices of the securities. These gains and losses are included in net realized and unrealized gains and losses on investments on the Statement of Operations. Net realized and unrealized gains and losses on foreign currency transactions represent net foreign exchange gains or losses from foreign currency exchange contracts, disposition of foreign currencies, currency gains or losses realized between trade and settlement dates on securities transactions and the difference between the amount of the investment income and foreign withholding taxes recorded on the Funds' books and the U.S. dollar equivalent amounts actually received or paid. FORWARD FOREIGN CURRENCY EXCHANGE CONTRACTS -- The Funds may enter into forward foreign currency exchange contracts to protect the value of securities held and related receivables and payables against changes in future foreign exchange rates. A forward currency contract is an agreement between two parties to buy and sell currency at a set price on a future date. The market value of the contract will fluctuate with changes in currency exchange rates. The contract is marked-to market daily using the current forward rate and the change in market value is recorded by the Funds as unrealized gain or loss. The Funds' recognize realized gains or losses when the contract is closed, equal to the difference between the value of the contract at the time it was opened and the value at the time it was closed. Risks may arise from the unanticipated movements in the value of a foreign currency relative to the U.S. dollar. Risks may also arise upon entering into these contracts from the potential inability of counterparties to meet the terms of their contracts and are generally limited to the amount of unrealized gain on the contracts, if any, at the date of default. As of April 30, 2010, there were no open forward foreign currency exchange contracts. DIVIDENDS AND DISTRIBUTIONS TO SHAREHOLDERS -- The Funds distribute substantially all of their net investment income annually. Any net realized capital gains are distributed annually. All distributions are recorded on ex-dividend date. CREATION UNITS -- The Funds issue and redeem Shares at NAV and only in large blocks of Shares, (each block of Shares for a Fund is called a "Creation Unit" or multiples thereof). Purchasers of Creation Units at NAV must pay a standard Creation Transaction Fee per transaction. The fee is a single charge and will be the same regardless of the number of Creation Units purchased by an investor on the same day. An Authorized Participant who holds Creation Units and wishes to redeem at NAV would also pay a standard Redemption Fee per transaction on the date of such redemption, regardless of the number of Creation Units redeemed that day. 33 (GLOBAL FUNDS LOGO) The World in your Hands NOTES TO FINANCIAL STATEMENTS (CONTINUED) April 30, 2010 (unaudited) 2. SIGNIFICANT ACCOUNTING POLICIES (concluded) CREATION UNITS (continued) If a Creation Unit is purchased or redeemed for cash, a higher Transaction Fee will be charged. The following table discloses Creation Unit breakdown:
CREATION TRANSACTION REDEMPTION UNIT SHARES FEE VALUE FEE ----------- ----------- ---------- ---------- Global X Silver Miners ETF 50,000 $1,000 $ 750,000 $1,000 Global X Copper Miners ETF 50,000 1,000 750,000 1,000 Global X China Financials ETF 50,000 2,300 750,000 2,300 Global X China Industrials ETF 50,000 2,300 750,000 2,300 Global X China Consumer ETF 50,000 2,300 750,000 2,300 Global X China Materials ETF 50,000 2,300 750,000 2,300 Global X China Technology ETF 50,000 2,300 750,000 2,300 Global X China Energy ETF 50,000 2,300 750,000 2,300 Global X FTSE Nordic 30 ETF 70,000 1,500 1,015,000 1,500 Global X/InterBolsa FTSE Colombia 20 ETF 50,000 2,600 750,000 2,600
3. RELATED PARTY TRANSACTIONS The Adviser serves as the investment adviser and the administrator for the Funds. Subject to the supervision of the Board of Trustees, the Adviser is responsible for managing the investment activities of the Funds and the Funds' business affairs and other administrative matters and provides or causes to be furnished all supervisory, administrative and other services reasonably necessary for the operation of the Funds, including certain distribution services (provided pursuant to a separate Distribution Agreement), certain shareholder and distribution-related services (provided pursuant to a separate Rule 12b-1 Plan and related agreements) and investment advisory services (provided pursuant to a separate Investment Advisory Agreement), under what is essentially an "all-in" fee structure. For its service to the Funds, under the Supervision and Administration Agreement, each Fund pays a monthly a fee to the Adviser at the annual rate (stated as a percentage of the average daily net assets of the Fund). In addition, the Funds bear other expenses that are not covered by the Supervision and Administration Agreement, which may vary and affect the total expense ratios of the Funds, such as taxes and governmental fees, brokerage fees, commissions and other transaction expenses, costs of borrowing money, including interest expenses and extraordinary expenses (such as litigation and indemnification expenses).
SUPERVISION AND ADMINISTRATION FEE --------------- Global X Silver Miners ETF 0.65% Global X Copper Miners ETF 0.65% Global X China Financials ETF 0.65% Global X China Industrials ETF 0.65% Global X China Consumer ETF 0.65% Global X China Materials ETF 0.65% Global X China Technology ETF 0.65% Global X China Energy ETF 0.65% Global X FTSE Nordic 30 ETF 0.50% Global X/InterBolsa FTSE Colombia 20 ETF 0.68%
34 (GLOBAL FUNDS LOGO) The World in your Hands NOTES TO FINANCIAL STATEMENTS (CONTINUED) April 30, 2010 (unaudited) 3. RELATED PARTY TRANSACTIONS (continued) The Adviser and InterBolsa S.A. ("InterBolsa"), one of the leading broker-dealers located in Colombia, entered into an agreement, pursuant to which InterBolsa has agreed to provide certain marketing, marketing-related and other services and allows the use of InterBolsa's name and brand with respect to the Global X/InterBolsa FTSE Colombia 20 ETF. Under this agreement, InterBolsa agreed to make an initial payment to the Adviser regarding certain start up expenses for the Fund and the Adviser has agreed to share with InterBolsa fifty percent (50%) of the Adviser's legitimate profits with respect to the Global X/InterBolsa FTSE Colombia 20 ETF. SEIGFS serves as Sub-Administrator to the Funds. As Sub-Administrator, SEIGFS provides the Funds with the required general administrative services, including, without limitation: office space, equipment, and personnel; clerical and general back office services; bookkeeping, internal accounting and secretarial services; the calculation of NAV; and assistance with the preparation and filing of reports, registration statements, proxy statements and other materials required to be filed or furnished by the Funds under federal and state securities laws. As compensation for these services, the Sub-Administrator receives certain out-of-pocket costs, transaction fees and asset-based fees which are accrued daily and paid monthly by the Adviser. SEI Investments Distribution Co. ("SIDCO") serves as each Funds underwriter and distributor of Shares pursuant to a Distribution Agreement. Under the Distribution Agreement, SIDCO, as agent, receives orders to create and redeem shares in Creation Unit Aggregations and transmits such orders to the Trust's custodian and transfer agent. The Distributor has no obligation to sell any specific quantity of Fund shares. SIDCO bears the following costs and expenses relating to the distribution of shares: (i) the costs of processing and maintaining records of creations of Creation Units; (ii) all costs of maintaining the records required of a registered broker/dealer; (iii) the expenses of maintaining its registration or qualification as a dealer or broker under federal or state laws; (iv) filing fees; and (v) all other expenses incurred in connection with the distribution services as contemplated in the Distribution Agreement. 4. INVESTMENT TRANSACTIONS For the period ended April 30, 2010, the purchases and sales of investments in securities excluding in-kind transactions, long-term U.S. Government and short-term securities were:
SALES AND PURCHASES MATURITIES ---------- ---------- Global X Silver Miners ETF $ -- $ -- Global X Copper Miners ETF 197,084 1,809 Global X China Financials ETF 8,260,574 6,940,207 Global X China Industrials ETF 2,880,304 2,840,355 Global X China Consumer ETF 2,306,782 1,018,565 Global X China Materials ETF 1,255,676 1,469,573 Global X China Technology ETF 83,178 -- Global X China Energy ETF 770,583 490,627 Global X FTSE Nordic 30 ETF 183,188 103,684 Global X/Interbolsa FTSE Colombia 20 ETF 2,158,174 1,267,026
35 (GLOBAL FUNDS LOGO) The World in your Hands NOTES TO FINANCIAL STATEMENTS (CONTINUED) April 30, 2010 (unaudited) 4. INVESTMENT TRANSACTIONS (concluded) For the period ended April 30, 2010, in-kind transactions associated with creations and redemptions were:
SALES AND REALIZED PURCHASES MATURITIES GAIN/LOSS -------------- ---------- --------- Global X Silver Miners ETF $28,336,022 $ -- $ -- Global X Copper Miners ETF 1,937,472 -- -- Global X China Financials ETF 56,764,257 -- -- Global X China Industrials ETF 27,130,981 -- -- Global X China Consumer ETF 29,874,467 -- -- Global X China Materials ETF 13,998,359 -- -- Global X China Technology ETF 3,757,614 -- -- Global X China Energy ETF 4,497,831 -- -- Global X FTSE Nordic 30 ETF 4,582,826 2,458,243 425,443 Global X/Interbolsa FTSE Colombia 20 ETF 630,783 -- --
During the period ended April 30, 2010, there were no purchases or sales of long-term U.S. Government securities for the Funds. 5. TAX INFORMATION The amount and character of income and capital gain distributions to be paid, if any, are determined in accordance with Federal income tax regulations, which may differ from U.S. GAAP. As a result, net investment income (loss) and net realized gain (loss) on investment transactions for a reporting period may differ significantly from distributions during such period. These book/tax differences may be temporary or permanent. To the extent these differences are permanent in nature, they are charged or credited to undistributed net investment income (loss), accumulated net realized gain (loss) or paid-in capital, as appropriate, in the period that the differences arise. The following differences, primarily attributable to foreign currency and net operating losses, have been reclassified to/from the following accounts during the fiscal period ended October 31, 2009.
UNDISTRIBUTED ACCUMULATED NET INVESTMENT NET REALIZED GLOBAL X FUNDS INCOME LOSS -------------- -------------- ------------ InterBolsa FTSE Colombia 20 ETF $47,831 $(47,831) FTSE Nordic 30 ETF 683 (683)
There were no distributions from either Fund during the period ended October 31, 2009. 36 (GLOBAL FUNDS LOGO) The World in your Hands NOTES TO FINANCIAL STATEMENTS (CONTINUED) April 30, 2010 (unaudited) 5. TAX INFORMATION (concluded) As of October 31, 2009, the components of Distributable Earnings on a tax basis were as follows:
GLOBAL X FUNDS --------------------------- GLOBAL GLOBAL X X/INTERBOLSA FTSE NORDIC FTSE COLOMBIA 30 ETF 20 ETF ----------- ------------- UNDISTRIBUTED ORDINARY INCOME $ 2,156 $ 215,829 UNREALIZED APPRECIATION ON INVESTMENTS AND FOREIGN CURRENCY 263,087 1,441,777 OTHER TEMPORARY DIFFERENCES -- (2,052) -------- ---------- TOTAL DISTRIBUTABLE EARNINGS $265,243 $1,655,554 -------- ----------
For Federal income tax purposes, capital loss carryforwards represent realized losses of the Funds that may be carried forward for a maximum period of eight years and applied against future gains. As of October 31, 2009, the Funds had no capital loss carryforwards. The Federal tax cost and aggregate gross unrealized appreciation and depreciation on investments held by the Funds at April 30, 2010 were as follows:
AGGREGATED AGGREGATED GROSS GROSS NET UNREALIZED FEDERAL TAX UNREALIZED UNREALIZED APPRECIATION GLOBAL X FUNDS COST APPRECIATION DEPRECIATION (DEPRECIATION) -------------- ------------ ------------ ------------ -------------- Global X Silver Miners ETF $ 31,373,723 $ 725,337 $ (395,230) $ 330,107 Global X Copper Miners ETF 2,135,739 2,566 (96,328) (93,762) Global X China Financials ETF 56,869,522 781,933 (2,668,381) (1,886,448) Global X China Industrials ETF 26,966,084 445,542 (2,023,453) (1,577,911) Global X China Consumer ETF 31,140,925 2,422,737 (945,624) 1,477,113 Global X China Materials ETF 13,783,942 596,069 (574,242) 21,827 Global X China Technology ETF 3,840,792 114,545 -- 114,545 Global X China Energy ETF 4,737,124 152,736 (199,905) (47,169) Global X FTSE Nordic 30 ETF 5,730,991 501,817 (115,768) 386,049 Global X/InterBolsa FTSE Colombia 20 ETF 7,122,311 2,752,310 -- 2,752,310
6. CONCENTRATION OF RISKS The Funds invest in securities of foreign issuers in several countries. These investments may involve certain considerations and risks not typically associated with investments in the United States as a result of, among other factors, the possibility of future political and economic developments and the level of governmental supervision and regulation of securities markets in the respective countries. The Funds may be subject to taxes imposed by countries in which it invests. Such taxes are generally based on either income or gains earned or repatriated. The Funds accrue and apply such taxes to net investment income, net realized gains and net unrealized gains as income and/or capital gains are earned. 37 (GLOBAL FUNDS LOGO) The World in your Hands NOTES TO FINANCIAL STATEMENTS (CONCLUDED) April 30, 2010 (unaudited) 7. OTHER At April 30, 2010, the total Shares outstanding that were held by shareholders was as follows:
PERCENTAGE OF NUMBER OF SHARES SHAREHOLDERS OUSTANDING ------------ ------------- Global X Silver Miners ETF 3 100% Global X Copper Miners ETF 2 100% Global X China Financials ETF 5 100% Global X China Industrials ETF 3 100% Global X China Consumer ETF 5 100% Global X China Materials ETF 5 100% Global X China Technology ETF 2 100% Global X China Energy ETF 3 100% Global X FTSE Nordic 30 ETF 2 100% Global X/Interbolsa FTSE Colombia 20 ETF 2 100%
Pursuant to the Trust's organizational documents, the Trustees of the Trust and the Trust's officers are indemnified against certain liabilities that may arise out of the performance of their duties. Additionally, in the normal course of business, the Funds enter into contracts that provide general indemnifications. The Funds' maximum exposure under these arrangements is dependent on future claims that may be made against the Funds and, therefore, cannot be established. 8. NEW ACCOUNTING PRONOUNCEMENT In January 2010, the Financial Accounting standards Board ("FASB") issued Accounting Standards Update ("ASU") No, 2010-06 "Improving Disclosures about Fair Value Measurements". ASU 2010-06 amends FASB Accounting Standards Codification Topic 820, Fair Value Measurements and Disclosures, to require additional disclosures regarding fair value measurements. Certain disclosures required by ASU No. 2010-06 are effective for interim and annual reporting periods beginning after December 15, 2009, and other required disclosures are effective for fiscal years beginning after December 15, 2010, and for interim periods within those fiscal years. The Advisers for the Funds are currently evaluating the impact ASU No. 2010-06 will have on financial statement disclosures for the Funds. 9. SUBSEQUENT EVENT The Funds have evaluated the need for additional disclosures and/or adjustments resulting from subsequent events. Based on this evaluation, no additional disclosures or adjustments were required to the financial statements. 38 (GLOBAL FUNDS LOGO) The World in your Hands DISCLOSURE OF FUND EXPENSES (UNAUDITED) All funds have operating expenses. As a shareholder of a fund, your investment is affected by these ongoing costs, which include (among others) costs for Fund management, administrative services, brokerage fees, and shareholder reports like this one. It is important for you to understand the impact of these costs on your investment returns. Operating expenses such as these are deducted from a fund's gross income and directly reduce your final investment return. These expenses are expressed as a percentage of the fund's average net assets; this percentage is known as the fund's expense ratio. The following examples use the expense ratio and are intended to help you understand the ongoing costs (in dollars) of investing in your Fund and to compare these costs with those of other funds. The examples are based on an investment of $1,000 made at the beginning of the period shown and held for the entire period. The table on the next page illustrates your Fund's costs in two ways: ACTUAL FUND RETURN. This section helps you to estimate the actual expenses that your Fund incurred over the period. The "Expenses Paid During Period" column shows the actual dollar expense cost incurred by a $1,000 investment in the Fund, and the "Ending Account Value" number is derived from deducting that expense cost from the Fund's gross investment return. You can use this information, together with the actual amount you invested in the Funds, to estimate the expenses you paid over that period. Simply divide your actual account value by $1,000 to arrive at a ratio (for example, an $8,600 account value divided by $1,000 = $8.6), then multiply that ratio by the number shown for your Funds under "Expenses Paid During Period." HYPOTHETICAL 5% RETURN. This section helps you compare your Fund's costs with those of other funds. It assumes that the Funds had an annual 5% return before expenses during the year, but that the expense ratio (Column 3) for the period is unchanged. This example is useful in making comparisons because the Securities and Exchange Commission requires all funds to make this 5% calculation. You can assess your Fund's comparative cost by comparing the hypothetical result for your Fund in the "Expense Paid During Period" column with those that appear in the same charts in the shareholder reports for other funds. NOTE: Because the return is set at 5% for comparison purposes -- NOT your Fund's actual return -- the account values shown may not apply to your specific investment. 39 (GLOBAL FUNDS LOGO) The World in your Hands DISCLOSURE OF FUND EXPENSES (UNAUDITED) (CONTINUED)
BEGINNING ENDING EXPENSES ACCOUNT ACCOUNT ANNUALIZED PAID VALUE VALUE EXPENSE DURING 11/01/09 04/30/10 RATIOS PERIOD --------- --------- ---------- -------- GLOBAL X SILVER MINERS ETF ACTUAL FUND RETURN $1,000.00 $1,007.30 0.65% $0.26(1) HYPOTHETICAL 5% RETURN 1,000.00 1,021.57 0.65 3.26(7) GLOBAL X COPPER MINERS ETF ACTUAL FUND RETURN 1,000.00 907.30 0.65 0.19(1) HYPOTHETICAL 5% RETURN 1,000.00 1,021.57 0.65 3.26(7) GLOBAL X CHINA FINANCIALS ETF ACTUAL FUND RETURN 1,000.00 901.30 0.65 2.39(2) HYPOTHETICAL 5% RETURN 1,000.00 1,021.57 0.65 3.26(7) GLOBAL X CHINA INDUSTRIALS ETF ACTUAL FUND RETURN 1,000.00 962.60 0.65 2.64(3) HYPOTHETICAL 5% RETURN 1,000.00 1,021.57 0.65 3.26(7) GLOBAL X CHINA CONSUMER ETF ACTUAL FUND RETURN 1,000.00 1,115.00 0.65 2.84(3) HYPOTHETICAL 5% RETURN 1,000.00 1,021.57 0.65 3.26(7) GLOBAL X CHINA MATERIALS ETF ACTUAL FUND RETURN 1,000.00 858.90 0.65 1.79(4) HYPOTHETICAL 5% RETURN 1,000.00 1,021.57 0.65 3.26(7) GLOBAL X CHINA TECHNOLOGY ETF ACTUAL FUND RETURN 1,000.00 1,034.00 0.65 2.59(5) HYPOTHETICAL 5% RETURN 1,000.00 1,021.57 0.65 3.26(7) GLOBAL X CHINA ENERGY ETF ACTUAL FUND RETURN 1,000.00 978.70 0.65 2.40(6) HYPOTHETICAL 5% RETURN 1,000.00 1,021.57 0.65 3.26(7) GLOBAL X FTSE NORDIC 30 ETF(7) ACTUAL FUND RETURN 1,000.00 1,096.50 0.50 2.60 HYPOTHETICAL 5% RETURN 1,000.00 1,022.32 0.50 2.51 GLOBAL X/INTERBOLSA FTSE COLOMBIA 20 ETF(7) ACTUAL FUND RETURN 1,000.00 1,227.40 0.86 4.75 HYPOTHETICAL 5% RETURN 1,000.00 1,020.53 0.86 4.31
(1) COMMENCED OPERATIONS ON APRIL 19, 2010. EXPENSES ARE EQUAL TO THE FUND'S ANNUALIZED EXPENSE RATIO MULTIPLIED BY THE AVERAGE ACCOUNT VALUE OVER THE PERIOD, MULTIPLIED BY 11/365 (TO REFLECT THE PERIOD FROM INCEPTION TO DATE.) (2) COMMENCED OPERATIONS ON DECEMBER 10, 2009. EXPENSES ARE EQUAL TO THE FUND'S ANNUALIZED EXPENSE RATIO MULTIPLIED BY THE AVERAGE ACCOUNT VALUE OVER THE PERIOD, MULTIPLIED BY 141/365 (TO REFLECT THE PERIOD FROM INCEPTION TO DATE.) (3) COMMENCED OPERATIONS ON NOVEMBER 30, 2009. EXPENSES ARE EQUAL TO THE FUND'S ANNUALIZED EXPENSE RATIO MULTIPLIED BY THE AVERAGE ACCOUNT VALUE OVER THE PERIOD, MULTIPLIED BY 151/365 (TO REFLECT THE PERIOD FROM INCEPTION TO DATE.) (4) COMMENCED OPERATIONS ON JANUARY 12, 2010. EXPENSES ARE EQUAL TO THE FUND'S ANNUALIZED EXPENSE RATIO MULTIPLIED BY THE AVERAGE ACCOUNT VALUE OVER THE PERIOD, MULTIPLIED BY 108/365 (TO REFLECT THE PERIOD FROM INCEPTION TO DATE.) (5) COMMENCED OPERATIONS ON DECEMBER 8, 2009. EXPENSES ARE EQUAL TO THE FUND'S ANNUALIZED EXPENSE RATIO MULTIPLIED BY THE AVERAGE ACCOUNT VALUE OVER THE PERIOD, MULTIPLIED BY 143/365 (TO REFLECT THE PERIOD FROM INCEPTION TO DATE.) (6) COMMENCED OPERATIONS ON DECEMBER 15, 2009. EXPENSES ARE EQUAL TO THE FUND'S ANNUALIZED EXPENSE RATIO MULTIPLIED BY THE AVERAGE ACCOUNT VALUE OVER THE PERIOD, MULTIPLIED BY 136/365 (TO REFLECT THE PERIOD FROM INCEPTION TO DATE.) (7) EXPENSES ARE EQUAL TO THE FUND'S ANNUALIZED EXPENSE RATIO MULTIPLIED BY THE AVERAGE ACCOUNT VALUE OVER THE PERIOD, MULTIPLIED 181/365 (TO REFLECT THE ONE-HALF YEAR PERIOD.) 40 (GLOBAL FUNDS LOGO) The World in your Hands APPROVAL OF INVESTMENT ADVISORY AGREEMENT (UNAUDITED) Section 15(c) of the Investment Company Act of 1940, as amended ("1940 Act"), requires that each mutual fund's board of trustees, including a majority of those trustees who are not "interested persons" of the mutual fund, as defined in the 1940 Act ("Independent Trustees"), consider and approve the terms of the Funds' investment advisory agreement. At a Board of Trustees ("Board") meeting held on October 2, 2009, the Board of the Trust, including each of the Independent Trustees, unanimously voted to approve the Investment Advisory Agreement between the Trust, on behalf of Global X China Financials ETF, Global X China Industrials ETF, Global X China Consumer ETF, Global X China Materials ETF, Global X Technology ETF, and Global X China Energy, ("China Funds") and Global X Management. At a meeting held on March 26, 2010, the Board of the Trust, including each of the Independent Trustees, unanimously voted to approve the Investment Advisory Agreement between the Trust, on behalf of Global X Silver Miners ETF and Global X Copper Miners ETF, ("Miner Funds") and Global X Management. Please note that Board (including the Independent Trustees) considered and approved the Investment Advisory Agreement for the Global X FTSE Nordic 30 ETF and the Global X/InterBolsa FTSE Columbia ETF at Board meetings that took place prior to the six months ended April 30, 2010. Consequently, a discussion of the factors that the Board (including the Independent Trustees) took into consideration with respect to their approval of the Investment Advisory Agreement for each of those Funds is included in the annual or semi-annual report that corresponds to the inception of each of those Funds (and, therefore, is not discussed herein). In advance of each Board meeting noted above, the Board reviewed written responses from Global X Management to questions posed to them on behalf of the Independent Trustees and supporting materials relating to those questions and responses. In determining to approve each Investment Advisory Agreement, the Board concluded that each Investment Advisory Agreement was fair and reasonable and in the best interests of each of the Funds and its shareholders. The Board considered the following categories of material factors, among others, relating to each Investment Advisory Agreement. Based upon its review of these various factors, as well as other information, the Board concluded that it is in the best interests of each Fund and its shareholders for the Board to approve each Investment Advisory Agreement. In reaching this decision, the Board did not assign relative weights to the factors discussed below or deem any one factor or group of them to be controlling in and of themselves. The factors considered by the Board (including the Independent Trustees) with respect to their approval of the Investment Advisory Agreement for each of the China Funds and each of the Miners Funds are discussed separately below. CHINA FUNDS NATURE, EXTENT AND QUALITY OF SERVICES The Board considered information and data concerning the nature, extent, and quality of the services to be provided to the Funds by Global X Management. The Board considered, among other things, the terms of Investment Advisory Agreement and the range of services to be provided to the China Funds. The Board reviewed information about Global X Management's key personnel and the portfolio managers who would provide investment advisory services to the China Funds. The Board also considered Global X Management's responsibilities under the Investment Advisory Agreement 41 (GLOBAL FUNDS LOGO) The World in your Hands APPROVAL OF INVESTMENT ADVISORY AGREEMENT (UNAUDITED) to, among other things, (i) manage the investment operations of the China Funds and the composition of the Funds' assets, including the purchase, retention and disposition thereof, (ii) provide quarterly reports to the Trust's officers and Board, (iii) vote proxies, exercise consents, and exercise all other rights appertaining to securities and assets held by the China Funds, (iv) select broker-dealers to execute portfolio transactions for the China Funds, (v) assist in the preparation and filing of reports and proxy statements (if any) to the shareholders of the China Funds, the periodic updating of the registration statement, prospectus, statement of additional information, and other reports and documents for the Funds required to be filed by the Trust with the Securities and Exchange Commission ("SEC") and other governmental bodies, and (vi) monitor anticipated purchases and redemptions of the Funds' Shares (including Creation Units) by shareholders and new investors. The Board also considered the quality of the services to be provided and the quality of Global X Management's resources that would be made available to the Funds. The Board evaluated Global X Management's administrative and compliance services, and information the Board received regarding the experience and professional qualifications of Global X Management's key personnel. Based on these considerations, the Board concluded that it was satisfied with the nature, extent and quality of the services to be provided to the China Funds by Global X Management. PERFORMANCE The Board considered that, because the China Funds had not started operations at the time of the Board meetings noted above, meaningful data relating to their performance was not available and could not be a factor in approving each Agreement. COST OF SERVICES AND PROFITABILITY The Board reviewed information regarding Global X Management's cost to provide investment management and related services to the Funds and its profitability from managing the China Funds. The Board considered the proposed advisory fee schedule for the China Funds and considered information about the profitability to Global X Management from all services to be provided to the China Funds and all aspects of its relationships with the China Funds. The Board noted that Global X Management was uncertain whether it would not be generating any profits from its services to the China Funds during the first year of the Funds' operations. Based on these considerations, the Board concluded that the profits anticipated to be realized by Global X Management from its relationship with the Funds would not be excessive. COMPARISON OF FEES AND SERVICES The Board considered comparative information with respect to the investment advisory fees to be paid by the China Funds to Global X Management. In this regard, the Board considered the proposed unitary fee structure and the projected expenses of the China Funds. The Board noted that, under a Supervision and Administration Agreement, Global X Management would be responsible for most ordinary expenses of the Funds, including the cost of transfer agency, custody, fund administration, legal, audit, and other services for the Funds, except taxes and governmental fees, brokerage fees, commissions and other transaction expenses, costs of borrowing money, including interest expenses and extraordinary expenses (such as litigation and indemnification expenses). In this regard, the Board took into consideration that the purpose of adopting a unified fee structure for the China Funds was to create a simple, all inclusive fee that would provide a level of predictability with respect to the overall expense ratio (i.e., the total fees) of each of the China Funds. 42 (GLOBAL FUNDS LOGO) The World in your Hands APPROVAL OF INVESTMENT ADVISORY AGREEMENT (UNAUDITED) In addition, the Board considered comparative expense data for the China Funds, including the fees and expenses paid by other China exchange traded funds ("ETFs"). For example, Board considered whether the size of those China ETFs and their investment focus and investment strategies were comparable to the expected size, investment focus and investment strategies of each of the China Funds. The Board also considered (i) proposed expense ratios for each of the China Funds, (ii) how those proposed expense ratios compared to those of the Global X FTSE Nordic 30 ETF and the Global X/InterBolsa FTSE Columbia ETF and (iii) the reasons for any difference in the proposed expense ratios for the China Funds. Based on these considerations, the Board concluded that the investment advisory fee for each of the China Funds, in conjunction with the information about quality of services, profitability, and other matters discussed, supports the conclusion that the investment advisory fee for each of the China is reasonable. ECONOMIES OF SCALE The Board considered the extent to which economies of scale would be realized as the Funds grow and whether the fee level reflects these economies of scale for the benefit of Funds' investors. The Board reviewed the fee arrangements for the China Funds, and considered (i) that Global X Management was uncertain whether it would not be generating any profits from its advisory services to the China Funds during the first year of the Funds' operations and (ii) the significant investment of time and resources that Global X Management would need to make to China Funds before they might generate a profit for Global X Management. The Trustees also considered that a unitary fee provides certainty with respect to the ordinary expenses for the China Funds. Based on these considerations, the Board concluded that a flat investment advisory fee was reasonable. OTHER BENEFITS In addition to the categories discussed above, the Board considered other benefits that may be realized by Global X Management as a result from its relations relationships with the Funds. MINERS FUNDS NATURE, EXTENT AND QUALITY OF SERVICES The Board considered information and data concerning the nature, extent, and quality of the services to be provided to the each of the Miners Funds by Global X Management. The Board considered, among other things, the terms of the Investment Advisory Agreement and the range of services to be provided to each of the Miners Funds. The Board reviewed information about Global X Management's key personnel and the portfolio managers who would provide investment advisory services to the Miners Funds. The Board also considered Global X Management's responsibilities under the Investment Advisory Agreement with respect to the each of the Miners Funds to, among other things, (i) manage the investment operations of the Miners Funds and the composition of the Miners Funds' assets, including the purchase, retention and disposition thereof, (ii) provide quarterly reports to the Trust's officers and Board, (iii) vote proxies, exercise consents, and exercise all other rights appertaining to securities and assets held by the Miners Funds, (iv) select broker-dealers to execute portfolio transactions for the Miners Funds, (v) assist in the preparation and filing of reports and proxy statements (if any) to the shareholders of the Miners Funds, the periodic updating of the registration statement, prospectus, statement of additional information, and other reports and documents for the Miners Funds required to be filed by the Trust with the SEC and other 43 (GLOBAL FUNDS LOGO) The World in your Hands APPROVAL OF INVESTMENT ADVISORY AGREEMENT (UNAUDITED) governmental bodies, and (vi) monitor anticipated purchases and redemptions of the Shares (including Creation Units) of the Miners Funds by shareholders and new investors. The Board also considered the quality of the services to be provided and the quality of Global X Management's resources that would be made available to the Funds. In particular, the Board considered Global X Management's administrative and compliance services and capabilities (including information considered by the Board at the March 26, 2010 Board meeting with respect to the Trust's Rule 38a-1 review and report by the Trust's Chief Compliance Officer) and information the Board received regarding the experience and professional qualifications of Global X Management's key personnel. Based on these considerations, the Board concluded that it was satisfied with the nature, extent and quality of the services to be provided to the Miners Funds by Global X Management. PERFORMANCE The Board considered that, because the Miners Funds had not started operations at the time of the Board meetings noted above, meaningful data relating to their performance was not available and could not be a factor in approving each Agreement. COST OF SERVICES AND PROFITABILITY The Board reviewed information regarding Global X Management's cost to provide investment management and related services to the Miners Funds and its profitability from managing the Miners Funds. The Board considered the proposed advisory fee schedule for the Miners Funds and considered information about the profitability to Global X Management from all services to be provided to the China Funds and all aspects of its relationships with the Miners Funds. The Board noted that Global X Management was uncertain whether it would not be generating any profits from its services to the Miners Funds during the first year of the Funds' operations. Based on these considerations, the Board concluded that the profits anticipated to be realized by Global X Management from its relationship with the Miners Funds would not be excessive. COMPARISON OF FEES AND SERVICES The Board considered comparative information with respect to the investment advisory fees to be paid by the Miners Funds to Global X Management. In this regard, the Board considered the proposed unitary fee structure and the projected expenses. The Board noted that, under a Supervision and Administration Agreement, Global X Management would be responsible for most ordinary expenses of the Miners Funds, including the cost of transfer agency, custody, fund administration, legal, audit, and other services for the Funds, except taxes and governmental fees, brokerage fees, commissions and other transaction expenses, costs of borrowing money, including interest expenses and extraordinary expenses (such as litigation and indemnification expenses). In this regard, the Board took into consideration that the purpose of adopting a unified fee structure for the Miners Funds was to create a simple, all inclusive fee that would provide a level of predictability with respect to the overall expense ratio (i.e., the total fees) of each of the Miners Funds. In addition, the Board considered comparative expense data for the Miners Funds, including the fees and expenses paid by single precious metal ETFs sponsored and/or advised by other firms. For example, Board considered data regarding other gold, silver, platinum, palladium and copper ETFs, including those investing in physical metals, exchange traded notes or equity securities relating to specific precious metals as well as the investment focus and investment strategies used by each of those ETFs as were comparable to the expected size, investment focus and investment strategies of 44 (GLOBAL FUNDS LOGO) The World in your Hands APPROVAL OF INVESTMENT ADVISORY AGREEMENT (UNAUDITED) each of the Miners Funds. The Board also considered (i) proposed expense ratios for each of the Miners Funds, (ii) how those proposed expense ratios compared to those of the other Funds sponsored and advisers by Global X Funds and (iii) the reasons for the differences (if any) in the proposed expense ratios for the Miners Funds compared to those of the other Funds sponsored and advisers by Global X Funds. Based on these considerations, the Board concluded that the investment advisory fee for each of the Miners, in conjunction with the information about quality of services, profitability, and other matters discussed, supports the conclusion that the investment advisory fee for each of the Miners is reasonable. ECONOMIES OF SCALE The Board considered the extent to which economies of scale would be realized as the Miners Funds grow and whether the fee level reflects these economies of scale for the benefit of investors and shareholders in the Miners Funds. The Board reviewed the fee arrangements for the Miners Funds, and considered (i) that Global X Management was uncertain whether it would not be generating any profits from its advisory services to the Miners Funds during the first year of the Funds' operations and (ii) the significant investment of time and resources that Global X Management would need to make to Miners Funds before they might generate a profit for Global X Management. The Trustees also considered that a unitary fee provides certainty with respect to the ordinary expenses for the Funds. Based on these considerations, the Board concluded that a flat investment advisory fee was reasonable. OTHER BENEFITS In addition to the categories discussed above, the Board considered other benefits that may be realized by Global X Management as a result from its relations relationships with the Funds. 45 (GLOBAL FUNDS LOGO) The World in your Hands SUPPLEMENTAL INFORMATION (UNAUDITED) Net asset value, or "NAV", is the price per share at which the Funds issue and redeems shares. It is calculated in accordance with the standard formula for valuing mutual fund shares. The "Market Price" of the Funds generally is determined using the midpoint between the highest bid and the lowest offer on the stock exchange on which the shares of the Funds are listed for trading, as of the time that the Funds' NAV is calculated. The Funds' Market Price may be at, above or below their NAV. The NAV of the Funds will fluctuate with changes in the market value of their Funds holdings. The Market Price of the Funds will fluctuate in accordance with changes in its NAV, as well as market supply and demand. Premiums or discounts are the differences (expressed as a percentage) between the NAV and Market Price of the Funds on a given day, generally at the time NAV is calculated. A premium is the amount that the Funds are trading above the reported NAV, expressed as a percentage of the NAV. A discount is the amount that the Funds are trading below the reported NAV, expressed as a percentage of the NAV. The following information shows the frequency distributions of premiums and discounts for the Funds. The information shown is for the full calendar quarter completed after the inception date through the date of the most recent calendar quarter end. Information for the Global X Silver Miners ETF and the Global X Copper Miners ETF, showing the frequency distributions of premiums and discounts for the Funds are not presented as they did not have a full quarter of information as of April 30, 2010. Each line in the table shows the number of trading days in which the Funds traded within the premium/discount range indicated. The number of trading days in each premium/discount range is also shown as a percentage of the total number of trading days in the period covered by each table. All data presented here represents past performance, which cannot be used to predict future results. 46 (GLOBAL FUNDS LOGO) The World in your Hands SUPPLEMENTAL INFORMATION (UNAUDITED)
PERCENTAGE OF TOTAL DAYS -------------------------------------------------------------------------------------- Global Global X Global X Global X Global X Global X Global X X/Interbolsa China China China China China FTSE FTSE Financials Industrials Consumer Technology Energy Nordic 30 Colombia 20 Premium/Discount Range ETF(1) ETF(2) ETF(2) ETF(3) ETF(4) ETF(5) ETF(6) ---------------------- ---------- ----------- -------- ---------- -------- --------- ------------ Greater than 3.0% and Less than 3.5% -- -- -- -- -- -- 0.40% Greater than 2.0% and Less than 2.5% 3.23% 1.61% 1.61% -- 1.61% -- 1.20% Greater than 1.5% and Less than 2.0% 1.61% 3.23% 3.23% -- 1.61% -- 4.00% Greater than 1.0% and Less than 1.5% 11.29% 11.29% 12.90% 4.84% 9.68% 4.07% 9.60% Greater than 0.5% and Less than 1.0% 29.03% 33.87% 43.55% 19.35% 32.26% 14.63% 15.60% Between 0.5% and -0.5% 25.81% 22.58% 11.29% 48.39% 25.81% 41.46% 18.40% Less than -0.5% and Greater than -1.0% 8.06% 8.06% 12.90% 20.97% 12.90% 28.46% 16.40% Less than -1.0% and Greater than -1.5% 11.29% 8.06% 8.06% 1.61% 8.06% 8.94% 13.60% Less than -1.5% and Greater than -2.0% 3.23% 6.45% 3.23% 4.84% 3.23% 2.44% 10.00% Less than -2.0% and Greater than -2.5% 1.61% 3.23% 1.61% -- 3.23% -- 5.20% Less than -2.5% and Greater than -3.0% 1.61% 1.62% 1.62% -- 1.61% -- 2.00% Less than -3.0% and Greater than -3.5% 3.23% -- -- -- -- -- 1.60% Less than -3.5% and Greater than -4.0% -- -- -- -- -- -- 0.80% Less than -4.0% and Greater than -4.5% -- -- -- -- -- -- 0.80% Less than -4.5% and Greater than -5.0% -- -- -- -- -- -- 0.40% ------ ------ ------ ------ ------ ------ ------ Total 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% ------ ------ ------ ------ ------ ------ ------
NUMBER OF DAYS -------------------------------------------------------------------------------------- Global Global X Global X Global X Global X Global X Global X X/Interbolsa China China China China China FTSE FTSE Financials Industrials Consumer Technology Energy Nordic 30 Colombia 20 Premium/Discount Range ETF(1) ETF(2) ETF(2) ETF(3) ETF(4) ETF(5) ETF(6) ---------------------- ---------- ----------- -------- ---------- -------- --------- ------------ Greater than 3.0% and Less than 3.5% -- -- -- -- -- -- 1 Greater than 2.0% and Less than 2.5% 2 1 1 -- 1 -- 3 Greater than 1.5% and Less than 2.0% 1 2 2 -- 1 -- 10 Greater than 1.0% and Less than 1.5% 7 7 8 3 6 5 24 Greater than 0.5% and Less than 1.0% 18 21 27 12 20 18 39 Between 0.5% and -0.5% 16 14 7 30 16 51 46 Less than -0.5% and Greater than -1.0% 5 5 8 13 8 35 41 Less than -1.0% and Greater than -1.5% 7 5 5 1 5 11 34 Less than -1.5% and Greater than -2.0% 2 4 2 3 2 3 25 Less than -2.0% and Greater than -2.5% 1 2 1 -- 2 -- 13 Less than -2.5% and Greater than -3.0% 1 1 1 -- 1 -- 5 Less than -3.0% and Greater than -3.5% 2 -- -- -- -- -- 4 Less than -3.5% and Greater than -4.0% -- -- -- -- -- -- 2 Less than -4.0% and Greater than -4.5% -- -- -- -- -- -- 2 Less than -4.5% and Greater than -5.0% -- -- -- -- -- -- 1 --- --- --- --- --- --- --- Total 62 62 62 62 62 123 250 --- --- --- --- --- --- ---
(1) The Fund commenced operations on December 10, 2009. (2) The Fund commenced operations on November 30, 2009. (3) The Fund commenced operations on December 8, 2009. (4) The Fund commenced operations on December 15, 2009. (5) The Fund commenced operations on August 17, 2009. (6) The Fund commenced operations on February 5, 2009. 47 (GLOBAL FUNDS LOGO) The World in your Hands 410 Park Ave, 4th floor New York, NY 10022 1-888-GXFund-1 (1-888-493-8631) www.globalxfunds.com INVESTMENT ADVISER: Global X Management Company LLC 410 Park Ave, 4th floor New York, NY 10022 DISTRIBUTOR: SEI Investments Distribution Co. One Freedom Valley Drive Oaks, PA 19456 SUB-ADMINISTRATOR: SEI Investments Global Funds Services One Freedom Valley Drive Oaks, PA 19456 COUNSEL FOR THE INDEPENDENT TRUSTEES: Dechert LLP 1175 I Street N.W. Washington, DC 20007 This information must be preceded or accompanied by a current prospectus for the Funds described. GLX-SA-001-0200 ITEM 2. CODE OF ETHICS. Not applicable for semi-annual report. ITEM 3. AUDIT COMMITTEE FINANCIAL EXPERT. Not applicable for semi-annual report. ITEM 4. PRINCIPAL ACCOUNTANT FEES AND SERVICES. Not applicable for semi-annual report. ITEM 5. AUDIT COMMITTEE OF LISTED REGISTRANTS. Not applicable to open-end management investment companies. ITEM 6. SCHEDULE OF INVESTMENTS. Not applicable. ITEM 7. DISCLOSURE OF PROXY VOTING POLICIES AND PROCEDURES FOR CLOSED-END MANAGEMENT INVESTMENT COMPANIES. Not applicable to open-end management investment companies. ITEM 8. PORTFOLIO MANAGERS OF CLOSED-END MANAGEMENT INVESTMENT COMPANIES. Not applicable to open-end management investment companies. ITEM 9. PURCHASES OF EQUITY SECURITIES BY CLOSED-END MANAGEMENT COMPANY AND AFFILIATED PURCHASERS. Not applicable to open-end management investment companies. ITEM 10. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS. There have been no material changes. (a) The Registrant's principal executive and principal financial officers, or persons performing similar functions, have concluded that the Registrant's disclosure controls and procedures (as defined in Rule 30a-3(c) under the Act (17 CFR 270.30a-3(c))) as of a date within 90 days of the filing date of the report are effective based on the evaluation of these controls and procedures required by Rule 30a-3(b) under the Act (17 CFR 270.30a-3(b)) and Rules 13a-15(b) or 15d-15(b) under the Exchange Act (17 CFR 240.13a-15(b) or 240.15d-15(b)). (b) There has been no change in the Registrant's internal control over financial reporting (as defined in Rule 30a-3(d) under the Act (17 CFR 270.30a-3(d)) that occurred during the second fiscal quarter of the period covered by this report that has materially affected, or is reasonably likely to materially affect, the Registrant's internal control over financial reporting. ITEMS 12. EXHIBITS. (a)(1) Not applicable for semi-annual report. (a)(2) A separate certification for the principal executive officer and the principal financial officer of the registrant as required by Rule 30a-2(a) under the Investment Company Act of 1940, as amended (17 CFR 270.30a-2(a)), are filed herewith. (b) Officer certifications as required by Rule 30a-2(b) under the Investment Company Act of 1940, as amended (17 CFR 270.30a-2(b)) also accompany this filing as an Exhibit. SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized. (Registrant) The Global X Funds By (Signature and Title)* \s\ Bruno del Ama ---------------------------------------- Bruno del Ama President Date: July 7, 2010 Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated. By (Signature and Title)* \s\ Bruno del Ama ---------------------------------------- Bruno del Ama President Date: July 7, 2010 By (Signature and Title)* \s\ Jose C. Gonzalez ---------------------------------------- Jose C. Gonzalez CFO Date: July 7, 2010 * Print the name and title of each signing officer under his or her signature.