In accordance with U.S. GAAP, “fair value” is defined as the price that a Fund would receive upon selling an investment in an orderly transaction to an independent buyer in the principal or most advantageous market for the investment. Various inputs are used in determining the value of a Fund’s investments. U.S. GAAP established a three-tier hierarchy of inputs to establish a classification of fair value measurements for disclosure purposes. Level 1 includes quoted prices in active markets for identical securities. Level 2 includes other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.). Level 3 includes significant unobservable inputs (including the Fund’s own assumptions in determining fair value of investments).
The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.
The following is a summary of the inputs used to value the Fund’s investments as of September 30, 2023:
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Level 2
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Level 3
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Quoted Prices
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Other
Significant
Observable
Inputs
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Significant
Unobservable
Inputs
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Total
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COMMON STOCKS
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$49,872,391
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$—
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$—
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$49,872,391
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TOTAL INVESTMENTS
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$49,872,391
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$—
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$—
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$49,872,391
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The Fund held no Level 3 securities at any time during the period.
There were no transfers into or out of Levels 1 and 2 during the period ended September 30, 2023.
At September 30, 2023 the cost of investments for Federal income tax purposes has been estimated since the final tax characteristics cannot be determined until fiscal year end. Cost of securities for Federal income tax purpose is $49,425,131 and the related tax-based net unrealized appreciation (depreciation) consists of:
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Gross unrealized appreciation
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$2,058,747
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Gross unrealized depreciation
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(1,611,487
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)
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Net unrealized appreciation
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$447,260
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