UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM N-Q
QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS
OF REGISTERED MANAGEMENT INVESTMENT COMPANY
Investment Company Act file number 811-04797
Oppenheimer Equity Income Fund
(Exact name of registrant as specified in charter)
6803 South Tucson Way, Centennial, Colorado 80112-3924
(Address of principal executive offices) (Zip code)
Arthur S. Gabinet
OFI Global Asset Management, Inc.
Two World Financial Center, New York, New York 10281-1008
(Name and address of agent for service)
Registrants telephone number, including area code: (303) 768-3200
Date of fiscal year end: October 31
Date of reporting period: 7/31/2014
Item 1. | Schedule of Investments. |
STATEMENT OF INVESTMENTS July 31, 2014 Unaudited
Shares | Value | |||||||
|
||||||||
Common Stocks82.6% |
||||||||
|
||||||||
Consumer Discretionary14.0% |
||||||||
|
||||||||
Auto Components1.9% |
||||||||
|
||||||||
Lear Corp.1
|
1,240,000 | $ | 116,770,800 | |||||
|
||||||||
Automobiles5.0% |
||||||||
|
||||||||
Ford Motor Co.1 | 9,925,000 | 168,923,500 | ||||||
|
||||||||
General Motors Co.1 | 4,025,000 | 136,125,500 | ||||||
|
|
|||||||
|
305,049,000
|
| ||||||
|
||||||||
Household Durables0.9% |
||||||||
|
||||||||
Beazer Homes USA, Inc.2 | 1,300 | 19,955 | ||||||
|
||||||||
MDC Holdings, Inc. | 2,130,000 | 57,446,100 | ||||||
|
|
|||||||
|
57,466,055
|
| ||||||
|
||||||||
Media1.0% |
||||||||
|
||||||||
Time Warner Cable, Inc.
|
432,500 | 62,755,750 | ||||||
|
||||||||
Multiline Retail2.0% |
||||||||
|
||||||||
J.C. Penney Co., Inc.2 | 200,000 | 1,876,000 | ||||||
|
||||||||
Kohls Corp. | 1,005,000 | 53,807,700 | ||||||
|
||||||||
Target Corp. | 1,112,500 | 66,293,875 | ||||||
|
|
|||||||
|
121,977,575
|
| ||||||
|
||||||||
Specialty Retail3.2% |
||||||||
|
||||||||
Best Buy Co., Inc.1 | 4,036,000 | 119,990,280 | ||||||
|
||||||||
Foot Locker, Inc. | 1,357,500 | 64,521,975 | ||||||
|
||||||||
Staples, Inc. | 1,275,000 | 14,777,250 | ||||||
|
|
|||||||
|
199,289,505
|
| ||||||
|
||||||||
Consumer Staples3.9% |
||||||||
|
||||||||
Beverages0.6% |
||||||||
|
||||||||
Molson Coors Brewing Co., Cl. B, Non-Vtg., Cl. B | 267,000 | 18,030,510 | ||||||
|
||||||||
PepsiCo, Inc. | 230,000 | 20,263,000 | ||||||
|
|
|||||||
|
38,293,510
|
| ||||||
|
||||||||
Food & Staples Retailing1.6% |
||||||||
|
||||||||
CVS Caremark Corp.1 | 180,000 | 13,744,800 | ||||||
|
||||||||
Kroger Co. (The)1 | 750,000 | 36,735,000 | ||||||
|
||||||||
Walgreen Co. | 680,000 | 46,763,600 | ||||||
|
|
|||||||
|
97,243,400
|
| ||||||
|
||||||||
Food Products1.2% |
||||||||
|
||||||||
Archer-Daniels-Midland Co.1 | 685,000 | 31,784,000 | ||||||
|
||||||||
ConAgra Foods, Inc. | 610,000 | 18,379,300 | ||||||
|
||||||||
Pinnacle Foods, Inc. | 850,000 | 25,610,500 | ||||||
|
|
|||||||
|
75,773,800
|
| ||||||
|
||||||||
Tobacco0.5% |
||||||||
|
||||||||
Philip Morris International, Inc.1
|
370,000 | 30,343,700 | ||||||
|
||||||||
Energy11.4% |
||||||||
|
||||||||
Energy Equipment & Services1.7% |
||||||||
|
||||||||
Ensco plc, Cl. A1 | 1,105,300 | 55,983,445 |
1 OPPENHEIMER EQUITY INCOME FUND |
STATEMENT OF INVESTMENTS Unaudited / Continued
Shares | Value | |||||||
|
||||||||
Energy Equipment & Services (Continued) |
||||||||
|
||||||||
Halliburton Co.1 | 720,000 | $ | 49,672,800 | |||||
|
|
|||||||
|
105,656,245
|
| ||||||
|
||||||||
Oil, Gas & Consumable Fuels9.7% |
||||||||
|
||||||||
Apache Corp.1 | 655,000 | 67,242,300 | ||||||
|
||||||||
BP plc, Sponsored ADR | 1,832,500 | 89,737,525 | ||||||
|
||||||||
Chevron Corp. | 1,425,000 | 184,167,000 | ||||||
|
||||||||
Kinder Morgan, Inc. | 3,485,000 | 125,390,300 | ||||||
|
||||||||
Marathon Oil Corp.1 | 312,500 | 12,109,375 | ||||||
|
||||||||
Phillips 66 | 12,995 | 1,054,024 | ||||||
|
||||||||
Royal Dutch Shell plc, ADR | 780,000 | 63,827,400 | ||||||
|
||||||||
Williams Cos., Inc. (The)1 | 875,000 | 49,551,250 | ||||||
|
|
|||||||
|
593,079,174
|
| ||||||
|
||||||||
Financials25.0% |
||||||||
|
||||||||
Capital Markets4.2% |
||||||||
|
||||||||
Credit Suisse Group AG, Sponsored ADR2 | 1,170,000 | 31,707,000 | ||||||
|
||||||||
Goldman Sachs Group, Inc. (The) | 470,000 | 81,248,900 | ||||||
|
||||||||
KKR & Co. LP | 2,175,000 | 49,851,000 | ||||||
|
||||||||
Morgan Stanley | 2,205,000 | 71,309,700 | ||||||
|
||||||||
State Street Corp.1 | 382,500 | 26,943,300 | ||||||
|
|
|||||||
|
261,059,900
|
| ||||||
|
||||||||
Commercial Banks10.8% |
||||||||
|
||||||||
Banco Bilbao Vizcaya Argentaria SA, Sponsored ADR | 1,100,000 | 13,519,000 | ||||||
|
||||||||
Bank of America Corp. | 1,442,200 | 21,993,550 | ||||||
|
||||||||
CIT Group, Inc.1 | 750,000 | 36,832,500 | ||||||
|
||||||||
Citigroup, Inc. | 5,092,098 | 249,054,513 | ||||||
|
||||||||
JPMorgan Chase & Co.1 | 4,075,000 | 235,005,250 | ||||||
|
||||||||
M&T Bank Corp. | 25,000 | 3,037,500 | ||||||
|
||||||||
Wells Fargo & Co.1 | 2,000,000 | 101,800,000 | ||||||
|
|
|||||||
|
661,242,313
|
| ||||||
|
||||||||
Insurance5.3% |
||||||||
|
||||||||
ACE Ltd. | 50,000 | 5,005,000 | ||||||
|
||||||||
Assured Guaranty Ltd. | 5,350,100 | 119,414,232 | ||||||
|
||||||||
MBIA, Inc.2 | 1,950,000 | 18,681,000 | ||||||
|
||||||||
MetLife, Inc. | 2,625,000 | 138,075,000 | ||||||
|
||||||||
XL Group plc, Cl. A | 1,430,500 | 46,119,320 | ||||||
|
|
|||||||
|
327,294,552
|
| ||||||
|
||||||||
Real Estate Investment Trusts (REITs)4.4% |
||||||||
|
||||||||
Apollo Commercial Real Estate Finance, Inc. | 1,825,000 | 30,240,250 | ||||||
|
||||||||
Ashford Hospitality Trust, Inc. | 2,140,000 | 24,631,400 | ||||||
|
||||||||
Blackstone Mortgage Trust, Inc., Cl. A | 160,000 | 4,555,200 | ||||||
|
||||||||
Colony Financial, Inc. | 2,637,500 | 58,420,625 | ||||||
|
||||||||
CYS Investments, Inc. | 975,000 | 8,658,000 | ||||||
|
||||||||
Digital Realty Trust, Inc.1 | 495,000 | 31,873,050 | ||||||
|
||||||||
Rayonier, Inc. | 325,000 | 11,069,500 | ||||||
|
||||||||
Starwood Property Trust, Inc. | 2,982,925 | 70,397,030 |
2 OPPENHEIMER EQUITY INCOME FUND |
STATEMENT OF INVESTMENTS Unaudited / Continued
Shares | Value | |||||||
|
||||||||
Real Estate Investment Trusts (REITs) (Continued) |
||||||||
|
||||||||
Two Harbors Investment Corp. | 2,777,500 | $ | 28,413,825 | |||||
|
|
|||||||
|
268,258,880
|
| ||||||
|
||||||||
Thrifts & Mortgage Finance0.3% |
||||||||
|
||||||||
MGIC Investment Corp.2 | 1,125,000 | 8,313,750 | ||||||
|
||||||||
Radian Group, Inc. | 850,000 | 10,761,000 | ||||||
|
|
|||||||
|
19,074,750
|
| ||||||
|
||||||||
Health Care6.2% |
||||||||
|
||||||||
Health Care Equipment & Supplies0.8% |
||||||||
|
||||||||
Baxter International, Inc.1 | 250,000 | 18,672,500 | ||||||
|
||||||||
Medtronic, Inc.1 | 505,000 | 31,178,700 | ||||||
|
|
|||||||
|
49,851,200
|
| ||||||
|
||||||||
Health Care Providers & Services0.7% |
||||||||
|
||||||||
UnitedHealth Group, Inc. | 525,000 |
|
42,551,250
|
| ||||
|
||||||||
Pharmaceuticals4.7% |
||||||||
|
||||||||
AbbVie, Inc. | 115,000 | 6,019,100 | ||||||
|
||||||||
GlaxoSmithKline plc, Sponsored ADR | 675,000 | 32,649,750 | ||||||
|
||||||||
Merck & Co., Inc. | 1,825,000 | 103,550,500 | ||||||
|
||||||||
Pfizer, Inc.1 | 3,575,000 | 102,602,500 | ||||||
|
||||||||
Roche Holding AG, Sponsored ADR | 52,750 | 1,916,144 | ||||||
|
||||||||
Teva Pharmaceutical Industries Ltd., Sponsored ADR1 | 775,000 | 41,462,500 | ||||||
|
|
|||||||
|
288,200,494
|
| ||||||
|
||||||||
Industrials3.0% |
||||||||
|
||||||||
Aerospace & Defense0.8% |
||||||||
|
||||||||
General Dynamics Corp. | 267,500 | 31,235,975 | ||||||
|
||||||||
Textron, Inc.1 | 525,000 | 19,094,250 | ||||||
|
|
|||||||
|
50,330,225
|
| ||||||
|
||||||||
Commercial Services & Supplies0.8% |
||||||||
|
||||||||
R.R. Donnelley & Sons Co. | 2,860,000 |
|
49,649,600
|
| ||||
|
||||||||
Electrical Equipment0.3% |
||||||||
|
||||||||
General Cable Corp. | 825,000 |
|
18,339,750
|
| ||||
|
||||||||
Industrial Conglomerates0.3% |
||||||||
|
||||||||
General Electric Co.1 | 812,500 |
|
20,434,375
|
| ||||
|
||||||||
Machinery0.3% |
||||||||
|
||||||||
Navistar International Corp.2 | 460,000 |
|
16,178,200
|
| ||||
|
||||||||
Marine0.3% |
||||||||
|
||||||||
Costamare, Inc. | 685,000 |
|
16,234,500
|
| ||||
|
||||||||
Road & Rail0.2% |
||||||||
|
||||||||
CSX Corp. |
|
380,000
|
|
|
11,369,600
|
| ||
|
||||||||
Information Technology6.3% |
||||||||
|
||||||||
Communications Equipment0.8% |
||||||||
|
||||||||
Cisco Systems, Inc. | 1,225,000 | 30,906,750 |
3 OPPENHEIMER EQUITY INCOME FUND |
STATEMENT OF INVESTMENTS Unaudited / Continued
Shares | Value | |||||||
|
||||||||
Communications Equipment (Continued) |
||||||||
|
||||||||
QUALCOMM, Inc. | 245,000 | $ | 18,056,500 | |||||
|
|
|||||||
|
48,963,250
|
| ||||||
|
||||||||
Semiconductors & Semiconductor Equipment0.1% |
||||||||
|
||||||||
Intel Corp. | 150,000 | 5,083,500 | ||||||
|
||||||||
Maxim Integrated Products, Inc. | 100,000 | 2,931,000 | ||||||
|
|
|||||||
|
8,014,500
|
| ||||||
|
||||||||
Software2.0% |
||||||||
|
||||||||
Microsoft Corp.1 | 2,787,500 |
|
120,308,500
|
| ||||
|
||||||||
Technology Hardware, Storage & Peripherals3.4% |
||||||||
|
||||||||
Apple, Inc.1 | 2,020,000 | 193,051,400 | ||||||
|
||||||||
EMC Corp. | 337,500 | 9,888,750 | ||||||
|
||||||||
Seagate Technology plc | 153,250 | 8,980,450 | ||||||
|
|
|||||||
|
211,920,600
|
| ||||||
|
||||||||
Materials4.5% |
||||||||
|
||||||||
Chemicals1.3% |
||||||||
|
||||||||
Celanese Corp., Series A | 500,000 | 29,105,000 | ||||||
|
||||||||
LyondellBasell Industries NV, Cl. A | 190,000 | 20,187,500 | ||||||
|
||||||||
Mosaic Co. (The) | 372,300 | 17,166,753 | ||||||
|
||||||||
Potash Corp. of Saskatchewan, Inc.1 | 420,000 | 14,905,800 | ||||||
|
|
|||||||
|
81,365,053
|
| ||||||
|
||||||||
Metals & Mining0.8% |
||||||||
|
||||||||
Allegheny Technologies, Inc. | 292,500 | 11,012,625 | ||||||
|
||||||||
Freeport-McMoRan, Inc. | 1,032,500 | 38,429,650 | ||||||
|
|
|||||||
|
49,442,275
|
| ||||||
|
||||||||
Paper & Forest Products2.4% |
||||||||
|
||||||||
Domtar Corp. | 1,410,000 | 50,647,200 | ||||||
|
||||||||
International Paper Co.1 | 1,375,000 | 65,312,500 | ||||||
|
||||||||
Louisiana-Pacific Corp.2 | 2,262,500 | 30,634,250 | ||||||
|
|
|||||||
|
146,593,950
|
| ||||||
|
||||||||
Telecommunication Services5.8% |
||||||||
|
||||||||
Diversified Telecommunication Services5.8% |
||||||||
|
||||||||
AT&T, Inc.1 | 1,650,000 | 58,723,500 | ||||||
|
||||||||
CenturyLink, Inc.1 | 3,300,000 | 129,492,000 | ||||||
|
||||||||
Consolidated Communications Holdings, Inc.1 | 875,025 | 19,583,060 | ||||||
|
||||||||
Verizon Communications, Inc. | 1,210,000 | 61,008,200 | ||||||
|
||||||||
Windstream Holdings, Inc. | 7,500,000 | 85,950,000 | ||||||
|
|
|||||||
|
354,756,760
|
| ||||||
|
||||||||
Utilities2.5% |
||||||||
|
||||||||
Electric Utilities2.4% |
||||||||
|
||||||||
American Electric Power Co., Inc. | 662,500 | 34,443,375 | ||||||
|
||||||||
Edison International | 692,500 | 37,949,000 | ||||||
|
||||||||
Exelon Corp. | 215,000 | 6,682,200 | ||||||
|
||||||||
FirstEnergy Corp. | 1,082,500 | 33,784,825 | ||||||
|
||||||||
PPL Corp. | 1,055,000 | 34,804,450 |
4 OPPENHEIMER EQUITY INCOME FUND |
STATEMENT OF INVESTMENTS Unaudited / Continued
Shares | Value | |||||||
|
||||||||
Electric Utilities (Continued) |
||||||||
|
||||||||
Southern Co. (The) | 57,500 | $ | 2,489,175 | |||||
|
|
|||||||
|
150,153,025
|
| ||||||
|
||||||||
Independent Power and Renewable Electricity Producers0.1% |
||||||||
|
||||||||
NRG Energy, Inc.1 | 155,000 | 4,798,800 | ||||||
|
|
|||||||
Total Common Stocks (Cost $4,094,289,882) |
|
5,080,084,816
|
| |||||
|
||||||||
Preferred Stocks2.9% |
||||||||
|
||||||||
American Homes 4 Rent, 5% Cum., Series A, Non-Vtg. | 498,900 | 12,372,720 | ||||||
|
||||||||
American Homes 4 Rent, 5% Cum., Series B, Non-Vtg. | 675,800 | 16,476,004 | ||||||
|
||||||||
Beazer Homes USA, Inc., 7.50% Cv. | 1,666,825 | 42,287,350 | ||||||
|
||||||||
Continental Airlines Finance Trust II, 6% Cv., Non-Vtg. | 395,950 | 19,562,385 | ||||||
|
||||||||
Dominion Resources, Inc., 6.375% Cv.2 | 99,800 | 5,059,860 | ||||||
|
||||||||
iStar Financial, Inc., 4.50% Cv., Non-Vtg. | 658,400 | 41,841,320 | ||||||
|
||||||||
MetLife, Inc., 5% Cv., Non-Vtg. | 462,500 | 13,995,250 | ||||||
|
||||||||
Post Holdings, Inc., 2.50% Cv.3 | 90,175 | 8,290,464 | ||||||
|
||||||||
Post Holdings, Inc., 3.75% Cv.3 | 55,000 | 5,927,900 | ||||||
|
||||||||
Post Holdings, Inc., 5.25% Cv.2 | 140,500 | 13,766,106 | ||||||
|
|
|||||||
Total Preferred Stocks (Cost $178,819,555) | 179,579,359 | |||||||
Units | ||||||||
|
||||||||
Rights, Warrants and Certificates0.1% |
||||||||
|
||||||||
Kinder Morgan, Inc. Wts., Strike Price $40, Exp. 2/15/172 (Cost $2,577,600) | 1,440,000 | 3,945,600 | ||||||
Principal Amount | ||||||||
|
||||||||
Mortgage-Backed Obligations0.1% |
||||||||
|
||||||||
Banc of America Funding Trust, Series 2007-C, Cl. 1A4, 5.36%, 5/20/364 | $ | 119,345 | 116,330 | |||||
|
||||||||
Banc of America Mortgage Trust, Series 2004-E, Cl. 2A6, 2.652%, 6/25/344 | 187,409 | 188,076 | ||||||
|
||||||||
Countrywide Alternative Loan Trust, Series 2005-29CB, Cl. A4, 5%, 7/25/35 | 1,079,896 | 951,568 | ||||||
|
||||||||
Federal Home Loan Mortgage Corp. Gold Pool: | ||||||||
8.00%, 4/1/16 | 2,648 | 2,714 | ||||||
9.00%, 8/1/22-5/1/25 | 2,259 | 2,483 | ||||||
|
||||||||
Federal Home Loan Mortgage Corp., Interest-Only Stripped Mtg.-Backed Security: | ||||||||
Series 183, Cl. IO, 12.85%, 4/1/275 | 113,721 | 20,401 | ||||||
Series 192, Cl. IO, 8.174%, 2/1/285 | 33,227 | 7,084 | ||||||
Series 243, Cl. 6, 0.00%, 12/15/325,6 | 125,560 | 25,073 | ||||||
|
||||||||
Federal Home Loan Mortgage Corp., Principal-Only Stripped Mtg.-Backed Security, Series 176, Cl. PO, 4.074%, 6/1/267 | 34,193 | 32,351 | ||||||
|
||||||||
Federal Home Loan Mortgage Corp., Real Estate Mtg. Investment Conduit Multiclass Pass-Through Certificates, Series 151, Cl. F, 9%, 5/15/21 | 7,161 | 7,901 | ||||||
|
||||||||
Federal Home Loan Mortgage Corp., Real Estate Mtg. Investment Conduit Multiclass Pass-Through Certificates, Interest-Only Stripped Mtg.-Backed Security: | ||||||||
Series 2130, Cl. SC, 50.209%, 3/15/295 | 115,605 | 22,510 | ||||||
Series 2639, Cl. SA, 0.00%, 7/15/225,6 | 14,901 | 86 | ||||||
Series 2796, Cl. SD, 49.919%, 7/15/265 | 159,777 | 28,750 | ||||||
|
||||||||
Federal National Mortgage Assn. Pool: | ||||||||
7.50%, 1/1/33 | 124,798 | 146,146 | ||||||
8.50%, 7/1/32 | 6,377 | 7,345 |
5 OPPENHEIMER EQUITY INCOME FUND |
STATEMENT OF INVESTMENTS Unaudited / Continued
Principal Amount | Value | |||||||
|
||||||||
Mortgage-Backed Obligations (Continued) |
||||||||
|
||||||||
Federal National Mortgage Assn., Interest-Only Stripped Mtg.-Backed Security: | ||||||||
Series 214, Cl. 2, 39.954%, 3/25/235 | $ | 199,311 | $ | 37,174 | ||||
Series 222, Cl. 2, 19.635%, 6/25/235 | 248,120 | 53,139 | ||||||
Series 247, Cl. 2, 42.743%, 10/25/235 | 69,462 | 16,592 | ||||||
Series 252, Cl. 2, 39.708%, 11/25/235 | 233,608 | 45,680 | ||||||
Series 319, Cl. 2, 0.00%, 2/25/325,6 | 60,504 | 12,200 | ||||||
Series 320, Cl. 2, 6.601%, 4/25/325 | 340,234 | 75,235 | ||||||
Series 331, Cl. 9, 11.444%, 2/25/335 | 27,613 | 6,762 | ||||||
Series 334, Cl. 17, 12.001%, 2/25/335 | 133,570 | 31,249 | ||||||
Series 339, Cl. 12, 0.00%, 6/25/335,6 | 246,889 | 51,756 | ||||||
Series 343, Cl. 13, 0.00%, 9/25/335,6 | 238,475 | 44,320 | ||||||
Series 343, Cl. 18, 0.00%, 5/25/345,6 | 35,801 | 6,621 | ||||||
Series 345, Cl. 9, 0.00%, 1/25/345,6 | 199,189 | 41,492 | ||||||
Series 351, Cl. 10, 0.00%, 4/25/345,6 | 59,415 | 12,519 | ||||||
Series 351, Cl. 8, 0.00%, 4/25/345,6 | 124,378 | 23,754 | ||||||
Series 356, Cl. 10, 0.00%, 6/25/355,6 | 92,831 | 17,488 | ||||||
Series 356, Cl. 12, 0.00%, 2/25/355,6 | 45,379 | 8,568 | ||||||
Series 362, Cl. 13, 0.00%, 8/25/355,6 | 532,571 | 97,423 | ||||||
Series 364, Cl. 16, 0.00%, 9/25/355,6 | 202,607 | 37,804 | ||||||
|
||||||||
Federal National Mortgage Assn., Real Estate Mtg. Investment Conduit Multiclass Pass-Through Certificates, Interest-Only Stripped Mtg.-Backed Security: | ||||||||
Series 2001-63, Cl. SD, 27.539%, 12/18/315 | 3,476 | 667 | ||||||
Series 2001-65, Cl. S, 23.015%, 11/25/315 | 222,396 | 46,315 | ||||||
Series 2001-68, Cl. SC, 27.36%, 11/25/315 | 2,144 | 460 | ||||||
Series 2001-81, Cl. S, 21.31%, 1/25/325 | 55,916 | 12,068 | ||||||
Series 2002-47, Cl. NS, 28.62%, 4/25/325 | 136,316 | 28,436 | ||||||
Series 2002-51, Cl. S, 28.816%, 8/25/325 | 125,169 | 26,145 | ||||||
Series 2002-52, Cl. SD, 32.969%, 9/25/325 | 174,041 | 42,739 | ||||||
Series 2002-7, Cl. SK, 21.737%, 1/25/325 | 3,867 | 715 | ||||||
Series 2002-77, Cl. BS, 21.112%, 12/18/325 | 7,391 | 1,603 | ||||||
Series 2002-77, Cl. SH, 31.255%, 12/18/325 | 86,776 | 18,380 | ||||||
Series 2002-9, Cl. MS, 23.557%, 3/25/325 | 84,405 | 16,488 | ||||||
Series 2002-90, Cl. SN, 25.812%, 8/25/325 | 6,056 | 1,054 | ||||||
Series 2002-90, Cl. SY, 32.621%, 9/25/325 | 3,303 | 685 | ||||||
Series 2003-4, Cl. S, 27.056%, 2/25/335 | 133,951 | 31,331 | ||||||
Series 2003-46, Cl. IH, 0.00%, 6/25/235,6 | 824,001 | 118,602 | ||||||
Series 2004-54, Cl. DS, 37.518%, 11/25/305 | 155,686 | 32,472 | ||||||
Series 2005-14, Cl. SE, 35.386%, 3/25/355 | 194,504 | 31,314 | ||||||
Series 2005-93, Cl. SI, 12.613%, 10/25/355 | 115,171 | 18,502 | ||||||
|
||||||||
Federal National Mortgage Assn., Real Estate Mtg. Investment Conduit Multiclass Pass-Through Certificates, Principal-Only Stripped Mtg.-Backed Security, Series 1993-184, Cl. M, 4.794%, 9/25/237 | 97,970 | 94,533 | ||||||
|
||||||||
Government National Mortgage Assn. I Pool: | ||||||||
7.00%, 1/15/24-4/15/26 | 48,051 | 52,183 | ||||||
7.50%, 5/15/27 | 222,774 | 253,704 | ||||||
8.00%, 5/15/17 | 3,691 | 3,810 | ||||||
8.50%, 8/15/17-12/15/17 | 2,691 | 2,863 | ||||||
|
||||||||
Government National Mortgage Assn. II Pool, 1.625%, 3/20/264 | 8,412 | 8,651 | ||||||
|
||||||||
Government National Mortgage Assn., Interest-Only Stripped Mtg.-Backed Security, Series 2002-15, Cl. SM, 59.875%, 2/16/325 | 207,568 | 40,127 | ||||||
|
||||||||
JP Morgan Mortgage Trust, Series 2007-S3, Cl. 1A90, 7%, 8/25/37 | 493,793 | 458,666 |
6 OPPENHEIMER EQUITY INCOME FUND |
STATEMENT OF INVESTMENTS Unaudited / Continued
Principal Amount | Value | |||||||
|
||||||||
Mortgage-Backed Obligations (Continued) |
||||||||
|
||||||||
MASTR Adjustable Rate Mortgages Trust, Series 2004-13, Cl. 2A2, 2.642%, 4/21/344 | $ | 199,444 | $ | 204,946 | ||||
|
||||||||
RALI Trust: | ||||||||
Series 2003-QS1, Cl. A2, 5.75%, 1/25/33 | 55,166 | 56,018 | ||||||
Series 2006-QS13, Cl. 1A8, 6.00%, 9/25/36 | 31,444 | 25,107 | ||||||
|
||||||||
WaMu Mortgage Pass-Through Certificates Trust, Series 2005-AR14, Cl. 1A4, 2.375%, 12/25/354 | 271,662 | 265,533 | ||||||
|
||||||||
Wells Fargo Mortgage-Backed Securities Trust, Series 2006-AR14, Cl. 1A2, 5.688%, 10/25/364 | 263,024 | 258,065 | ||||||
|
|
|||||||
Total Mortgage-Backed Obligations (Cost $4,270,736) |
|
4,330,776
|
| |||||
|
||||||||
U.S. Government Obligation0.0% |
||||||||
|
||||||||
Federal Home Loan Mortgage Corp. Nts., 5.25%, 4/18/16 (Cost $439,674) | 425,000 |
|
459,504
|
| ||||
|
||||||||
Non-Convertible Corporate Bonds and Notes1.5% |
||||||||
|
||||||||
Agrium, Inc., 6.125% Sr. Unsec. Unsub. Nts., 1/15/41 | 240,000 | 286,601 | ||||||
|
||||||||
Airgas, Inc., 3.25% Sr. Unsec. Nts., 10/1/15 | 481,000 | 495,026 | ||||||
|
||||||||
Altria Group, Inc., 10.20% Sr. Unsec. Nts., 2/6/39 | 415,000 | 699,906 | ||||||
|
||||||||
American Tower Corp., 7% Sr. Unsec. Nts., 10/15/17 | 370,000 | 428,219 | ||||||
|
||||||||
Anadarko Petroleum Corp., 6.20% Sr. Unsec. Nts., 3/15/40 | 343,000 | 423,376 | ||||||
|
||||||||
Arrow Electronics, Inc., 3.375% Sr. Unsec. Nts., 11/1/15 | 990,000 | 1,019,351 | ||||||
|
||||||||
Bank of America Corp.: | ||||||||
5.875% Sr. Unsec. Nts., 1/5/21 | 210,000 | 242,896 | ||||||
7.75% Jr. Sub. Nts., 5/14/38 | 369,000 | 503,813 | ||||||
|
||||||||
Blackstone Holdings Finance Co. LLC, 6.625% Sr. Unsec. Nts., 8/15/193 | 940,000 | 1,118,863 | ||||||
|
||||||||
BNP Paribas SA, 5.186% Jr. Sub. Perpetual Bonds3,4,8 | 170,000 | 173,825 | ||||||
|
||||||||
British Telecommunications plc, 9.625% Sr. Unsec. Nts., 12/15/30 | 325,000 | 513,922 | ||||||
|
||||||||
Bunge Ltd. Finance Corp., 8.50% Sr. Unsec. Nts., 6/15/19 | 365,000 | 456,064 | ||||||
|
||||||||
Burlington Northern Santa Fe LLC, 5.75% Sr. Unsec. Nts., 5/1/40 | 143,000 | 171,351 | ||||||
|
||||||||
Capital One Financial Corp., 4.75% Sr. Unsec. Nts., 7/15/21 | 262,000 | 289,020 | ||||||
|
||||||||
CBS Corp., 7.875% Sr. Unsec. Nts., 7/30/30 | 296,000 | 392,105 | ||||||
|
||||||||
Celgene Corp., 5.70% Sr. Unsec. Nts., 10/15/40 | 344,000 | 397,876 | ||||||
|
||||||||
CenturyLink, Inc., 7.60% Sr. Unsec. Nts., 9/15/39 | 193,000 | 193,965 | ||||||
|
||||||||
Citigroup, Inc., 6.125% Sr. Unsec. Nts., 11/21/17 | 968,000 | 1,100,177 | ||||||
|
||||||||
CNA Financial Corp.: | ||||||||
5.75% Sr. Unsec. Unsub. Nts., 8/15/21 | 462,000 | 535,354 | ||||||
5.875% Sr. Unsec. Unsub. Nts., 8/15/20 | 540,000 | 627,395 | ||||||
|
||||||||
Comcast Cable Communications Holdings, Inc., 9.455% Sr. Unsec. Nts., 11/15/22 | 317,000 | 458,777 | ||||||
|
||||||||
CSX Corp., 5.50% Sr. Unsec. Nts., 4/15/41 | 148,000 | 170,896 | ||||||
|
||||||||
DIRECTV Holdings LLC/DIRECTV Financing Co., Inc., 6.375% Sr. Unsec. Nts., 3/1/41 | 431,000 | 516,284 | ||||||
|
||||||||
El Paso Pipeline Partners Operating Co. LLC, 6.50% Sr. Unsec. Nts., 4/1/20 | 782,000 | 912,481 | ||||||
|
||||||||
Energizer Holdings, Inc., 4.70% Sr. Unsec. Nts., 5/19/21 | 552,000 | 573,136 | ||||||
|
||||||||
Ensco plc, 4.70% Sr. Unsec. Nts., 3/15/21 | 461,000 | 500,514 | ||||||
|
||||||||
Family Dollar Stores, Inc., 5% Sr. Unsec. Nts., 2/1/21 | 301,000 | 317,378 | ||||||
|
||||||||
FirstEnergy Solutions Corp., 6.80% Sr. Unsec. Nts., 8/15/39 | 317,000 | 343,213 |
7 OPPENHEIMER EQUITY INCOME FUND |
STATEMENT OF INVESTMENTS Unaudited / Continued
Principal Amount | Value | |||||||
|
||||||||
Non-Convertible Corporate Bonds and Notes (Continued) |
||||||||
|
||||||||
Frontier Communications Corp., 8.25% Sr. Unsec. Nts., 4/15/17 | $ | 465,000 | $ | 532,425 | ||||
|
||||||||
General Electric Capital Corp., 6.375% Unsec. Sub. Nts., 11/15/674 | 1,005,000 | 1,121,077 | ||||||
|
||||||||
Glen Meadow Pass-Through Trust, 6.505% Jr. Sub. Nts., 2/12/674,9 | 631,000 | 626,268 | ||||||
|
||||||||
Glencore Canada Corp.: | ||||||||
5.375% Sr. Unsec. Unsub. Nts., 6/1/15 | 170,000 | 176,125 | ||||||
6.00% Sr. Unsec. Unsub. Nts., 10/15/15 | 411,000 | 434,854 | ||||||
|
||||||||
Glencore Finance Canada Ltd., 5.80% Sr. Unsec. Unsub. Nts., 11/15/163 | 78,000 | 85,497 | ||||||
|
||||||||
Goldman Sachs Group, Inc. (The), 5.25% Sr. Unsec. Nts., 7/27/21 | 169,000 | 188,739 | ||||||
|
||||||||
Harris Corp., 6.15% Sr. Unsec. Nts., 12/15/40 | 168,000 | 198,931 | ||||||
|
||||||||
HSBC Finance Capital Trust IX, 5.911% Unsec. Sub. Nts., 11/30/354 | 1,330,000 | 1,383,200 | ||||||
|
||||||||
Huntington Bancshares, Inc., 7% Sub. Nts., 12/15/20 | 493,000 | 593,419 | ||||||
|
||||||||
International Lease Finance Corp., 5.75% Sr. Unsec. Nts., 5/15/16 | 539,000 | 564,939 | ||||||
|
||||||||
J.C. Penney Corp., Inc., 5.65% Sr. Unsec. Nts., 6/1/20 | 14,870,000 | 13,048,425 | ||||||
|
||||||||
JPMorgan Chase & Co., 7.90% Jr. Sub. Perpetual Bonds, Series 14,8 | 900,000 | 995,625 | ||||||
|
||||||||
Juniper Networks, Inc., 5.95% Sr. Unsec. Nts., 3/15/41 | 219,000 | 238,895 | ||||||
|
||||||||
Kinross Gold Corp., 3.625% Sr. Unsec. Nts., 9/1/16 | 419,000 | 434,993 | ||||||
|
||||||||
KLA-Tencor Corp., 6.90% Sr. Unsec. Nts., 5/1/18 | 373,000 | 434,458 | ||||||
|
||||||||
Liberty Mutual Group, Inc., 5% Sr. Unsec. Nts., 6/1/213 | 808,000 | 888,588 | ||||||
|
||||||||
Lincoln National Corp., 6.05% Jr. Unsec. Sub. Nts., 4/20/674 | 1,102,000 | 1,118,530 | ||||||
|
||||||||
Lloyds Bank plc, 6.50% Sub. Nts., 9/14/203 | 598,000 | 695,768 | ||||||
|
||||||||
Lorillard Tobacco Co., 7% Sr. Unsec. Nts., 8/4/41 | 354,000 | 432,939 | ||||||
|
||||||||
Macquarie Bank Ltd., 6.625% Unsec. Sub. Nts., 4/7/213 | 735,000 | 845,179 | ||||||
|
||||||||
Marriott International, Inc., 6.20% Sr. Unsec. Nts., 6/15/16 | 580,000 | 634,209 | ||||||
|
||||||||
MBIA Insurance Corp.: | ||||||||
11.494% Sub. Nts., 1/15/333,10 | 34,085,000 | 25,137,688 | ||||||
11.494% Sub. Nts., 1/15/3310 | 100,000 | 73,750 | ||||||
|
||||||||
McKesson Corp., 6% Sr. Unsec. Unsub. Nts., 3/1/41 | 288,000 | 350,057 | ||||||
|
||||||||
Morgan Stanley: | ||||||||
5.50% Sr. Unsec. Nts., 7/24/20 | 218,000 | 247,626 | ||||||
5.55% Sr. Unsec. Nts., 4/27/17 | 1,275,000 | 1,409,090 | ||||||
|
||||||||
Mylan, Inc., 6% Sr. Unsec. Nts., 11/15/183 | 565,000 | 588,601 | ||||||
|
||||||||
Nabors Industries, Inc., 6.15% Sr. Unsec. Nts., 2/15/18 | 680,000 | 772,384 | ||||||
|
||||||||
Navient LLC, 6.25% Sr. Unsec. Nts., 1/25/16 | 739,000 | 782,424 | ||||||
|
||||||||
Nexen Energy ULC, 6.40% Sr. Unsec. Unsub. Nts., 5/15/37 | 573,000 | 704,745 | ||||||
|
||||||||
NII Capital Corp., 7.625% Sr. Unsec. Nts., 4/1/21 | 25,217,500 | 6,808,725 | ||||||
|
||||||||
Nomura Holdings, Inc., 4.125% Sr. Unsec. Nts., 1/19/16 | 520,000 | 542,753 | ||||||
|
||||||||
Oncor Electric Delivery Co. LLC, 7% Sr. Sec. Nts., 9/1/22 | 470,000 | 600,455 | ||||||
|
||||||||
Potash Corp. of Saskatchewan, Inc., 5.625% Sr. Unsec. Nts., 12/1/40 | 323,000 | 387,252 | ||||||
|
||||||||
PPL WEM Holdings Ltd., 5.375% Sr. Unsec. Unsub. Nts., 5/1/213 | 763,000 | 856,046 | ||||||
|
||||||||
Quest Diagnostics, Inc., 5.75% Sr. Unsec. Nts., 1/30/40 | 345,000 | 374,799 | ||||||
|
||||||||
Ras Laffan Liquefied Natural Gas Co. Ltd. III, 5.50% Sr. Sec. Nts., 9/30/143 | 305,000 | 307,333 | ||||||
|
||||||||
Rent-A-Center, Inc., 6.625% Sr. Unsec. Nts., 11/15/20 | 569,000 | 563,310 | ||||||
|
||||||||
Rockies Express Pipeline LLC, 3.90% Sr. Unsec. Unsub. Nts., 4/15/159 | 930,000 | 934,650 | ||||||
|
||||||||
Rowan Cos, Inc., 5% Sr. Unsec. Nts., 9/1/17 | 579,000 | 625,356 | ||||||
|
||||||||
Standard Chartered plc, 6.409% Jr. Sub. Perpetual Bonds3,4,8 | 400,000 | 433,250 | ||||||
|
||||||||
Swiss Re Capital I LP, 6.854% Jr. Sub. Perpetual Bonds3,4,8 | 1,077,000 | 1,149,698 | ||||||
|
||||||||
Symantec Corp., 4.20% Sr. Unsec. Nts., 9/15/20 | 625,000 | 642,741 | ||||||
|
||||||||
Texas-New Mexico Power Co., 6.95% Sec. Nts., 4/1/433 | 540,000 | 723,162 | ||||||
|
||||||||
Time Warner Entertainment Co. LP, 8.375% Sr. Unsec. Nts., 7/15/33 | 279,000 | 407,646 |
8 OPPENHEIMER EQUITY INCOME FUND |
STATEMENT OF INVESTMENTS Unaudited / Continued
Principal Amount | Value | |||||||
|
||||||||
Non-Convertible Corporate Bonds and Notes (Continued) |
||||||||
|
||||||||
UBS Preferred Funding Trust V, 6.243% Jr. Sub. Perpetual Bonds,Series 14,8 | $ | 243,000 | $ | 255,454 | ||||
|
||||||||
Vale Canada Ltd., 5.70% Sr. Unsec. Nts., 10/15/15 | 31,000 | 32,714 | ||||||
|
||||||||
Verizon Communications, Inc., 6.40% Sr. Unsec. Nts., 2/15/38 | 318,000 | 387,821 | ||||||
|
||||||||
Virgin Media Secured Finance plc, 5.25% Sr. Sec. Nts., 1/15/21 | 307,000 | 312,373 | ||||||
|
||||||||
Wal-Mart Stores, Inc., 5.625% Sr. Unsec. Nts., 4/15/41 | 338,000 | 410,619 | ||||||
|
||||||||
Weatherford International Ltd. (Bermuda), 5.125% Sr. Unsec. Unsub. Nts., 9/15/20 | 576,000 | 639,564 | ||||||
|
||||||||
Wells Fargo & Co., 7.98% Jr. Sub. Perpetual Bonds, Series K4,8 | 382,000 | 435,098 | ||||||
|
||||||||
Willis Group Holdings plc, 4.125% Sr. Unsec. Unsub. Nts., 3/15/16 | 563,000 | 588,444 | ||||||
|
||||||||
Woodside Finance Ltd., 4.60% Sr. Unsec. Unsub. Nts., 5/10/213 | 390,000 | 426,970 | ||||||
|
||||||||
ZFS Finance USA Trust V, 6.50% Jr. Sub. Nts., 5/9/374,9 | 598,000 | 644,345 | ||||||
|
|
|||||||
Total Non-Convertible Corporate Bonds and Notes (Cost $90,277,139)
|
89,091,810 | |||||||
|
||||||||
Convertible Corporate Bonds and Notes7.9% |
||||||||
|
||||||||
General Cable Corp., 4.50% Cv. Unsec. Sub. Nts., 11/15/294 | 49,000,000 | 44,835,000 | ||||||
|
||||||||
iStar Financial, Inc., 3% Cv. Sr. Unsec. Nts., 11/15/16 | 9,530,000 | 12,710,638 | ||||||
|
||||||||
Liberty Interactive LLC, 0.75% Cv. Sr. Unsec. Nts., 3/30/43 | 7,670,000 | 10,718,825 | ||||||
|
||||||||
MGIC Investment Corp.: | ||||||||
5.00% Cv. Sr. Unsec. Nts., 5/1/17 | 23,955,000 | 26,455,303 | ||||||
9.00% Cv. Jr. Sub. Nts., 4/1/633 | 102,000,000 | 132,090,000 | ||||||
|
||||||||
Micron Technology, Inc., 3% Cv. Sr. Unsec. Nts., 11/15/43 | 28,595,000 | 35,261,210 | ||||||
|
||||||||
Molycorp, Inc., 6% Cv. Sr. Unsec. Nts., 9/1/17 | 15,750,000 | 9,833,906 | ||||||
|
||||||||
Navistar International Corp.: | ||||||||
4.50% Cv. Sr. Sub. Nts., 10/15/183 | 47,895,000 | 49,002,572 | ||||||
4.75% Cv. Sr. Sub. Nts., 4/15/193 | 13,977,000 | 14,667,114 | ||||||
|
||||||||
Peabody Energy Corp., 4.75% Cv. Jr. Sub. Nts., 12/15/41 | 52,435,000 | 37,753,200 | ||||||
|
||||||||
Radian Group, Inc., 2.25% Cv. Sr. Unsec. Nts., 3/1/19 | 32,498,000 | 43,384,830 | ||||||
|
||||||||
United Airlines, Inc., 4.50% Cv. Sr. Unsec. Nts., 1/15/15 | 28,949,000 | 71,666,868 | ||||||
|
|
|||||||
Total Convertible Corporate Bonds and Notes (Cost $400,268,139) | 488,379,466 | |||||||
Shares | ||||||||
|
||||||||
Structured Securities5.4% |
||||||||
|
||||||||
Bank of America Corp., Allegheny Technologies, Inc. Equity Linked Nts., 10/23/142,3 | 245,447 | 9,282,707 | ||||||
|
||||||||
Bank of America Corp., American Axle & Manufacturing Holdings, Inc. Equity Linked Nts., 11/3/142,3 | 574,713 | 10,649,255 | ||||||
|
||||||||
Bank of America Corp., American International Group Equity Linked Nts., 10/3/142,3 | 200,099 | 10,415,353 | ||||||
|
||||||||
Bank of America Corp., Standard Pacific Corp. Equity Linked Nts., 8/12/142,3 | 1,728,848 | 13,293,935 | ||||||
|
||||||||
Bank of America Corp., Teva Pharmaceutical Industries Ltd. Equity Linked Nts., 2/4/152 | 274,876 | 14,972,496 | ||||||
|
||||||||
Barclays Bank plc, Radian Group, Inc. Yield Enhanced Equity Linked Debt Securities, 11/24/142 | 1,314,000 | 16,940,978 | ||||||
|
||||||||
Barclays Bank plc, Teva Pharmaceutical Industries Ltd. Yield Enhanced Equity Linked Debt Securities, 9/12/142 | 201,000 | 10,736,780 | ||||||
|
||||||||
Citigroup, Inc., J.C. Penney Co., Inc. Equity Linked Nts., 11/19/142,3 | 1,645,444 | 15,945,269 |
9 OPPENHEIMER EQUITY INCOME FUND |
STATEMENT OF INVESTMENTS Unaudited / Continued
Shares | Value | |||||||
|
||||||||
Structured Securities (Continued) |
||||||||
|
||||||||
Credit Suisse AG (New York Branch), Apple, Inc. Equity Linked Nts., 12/3/142 | 39,915 | $ | 26,272,753 | |||||
|
||||||||
Credit Suisse AG (New York Branch), Apple, Inc. Equity Linked Nts., 1/9/152 | 261,152 | 24,909,625 | ||||||
|
||||||||
Credit Suisse AG (New York Branch), J.C. Penney Co., Inc. Equity Linked Nts., 11/21/142 | 1,054,350 | 10,397,470 | ||||||
|
||||||||
Credit Suisse AG (New York Branch), Navistar International Group Equity Linked Nts., 10/7/142 | 293,170 | 10,418,743 | ||||||
|
||||||||
Credit Suisse AG (New York Branch), Standard Pacific Corp. Equity Linked Nts., 11/7/142 | 1,902,286 | 14,663,408 | ||||||
|
||||||||
Deutsche Bank AG (London), American Axle & Manufacturing Holdings, Inc. Equity Liinked Nts., 10/3/142,3 | 544,100 | 10,127,234 | ||||||
|
||||||||
Deutsche Bank AG (London), American Axle & Manufacturing Holdings, Inc. Equity Linked Nts., 9/4/142 | 495,300 | 9,252,434 | ||||||
|
||||||||
Deutsche Bank AG (London), J.C. Penney Co., Inc. Equity Linked Nts., 12/24/142,3 | 1,158,752 | 10,666,124 | ||||||
|
||||||||
Deutsche Bank AG (London), Standard Pacific Corp. Equity Linked Nts., 9/29/142,3 | 1,610,000 | 12,439,628 | ||||||
|
||||||||
Goldman Sachs Group, Inc. (The), Apple, Inc. Equity Linked Nts., 12/5/142,3 | 31,495 | 20,762,821 | ||||||
|
||||||||
Goldman Sachs Group, Inc. (The), MBIA, Inc. Equity Lnked Nts., 1/2/152,3 | 844,238 | 8,305,214 | ||||||
|
||||||||
Goldman Sachs Group, Inc. (The), Standard Pacific Corp. Equity Linked Nts., 9/5/142,3 | 1,682,600 | 13,090,342 | ||||||
|
||||||||
JPMorgan Chase & Co., Navistar International Corp. Equity Linked Nts., 11/21/142,3 | 288,520 | 10,215,783 | ||||||
|
||||||||
JPMorgan Chase & Co., Navistar International Corp. Equity Linked Nts., 11/25/142,3 | 265,252 | 9,687,803 | ||||||
|
||||||||
Merrill Lynch International & Co. CV Curacao, Standard Pacific Corp. Equity Linked Nts., 11/12/142 | 1,314,474 | 10,061,363 | ||||||
|
||||||||
Merrill Lynch International & Co. CV, Apple, Inc. Equity Linked Nts., 12/9/142 | 23,171 | 15,473,324 | ||||||
|
||||||||
Morgan Stanley, Rite Aid Corp. Performance Equity Linked Redemption Quarterly-pay Securities, 12/15/142,3 | 1,726,766 | 11,788,628 | ||||||
|
|
|||||||
Total Structured Securities (Cost $335,547,315) | 330,769,470 |
Exercise Price |
Expiration Date |
Contracts | ||||||||||||||||||||||
|
||||||||||||||||||||||||
Exchange-Traded Options Purchased0.0% |
||||||||||||||||||||||||
|
||||||||||||||||||||||||
AbbVie, Inc. Put2 | USD | 50.000 | 8/16/14 | USD | 2000 | 40,000 | ||||||||||||||||||
|
||||||||||||||||||||||||
Apache Corp. Put2 | USD | 92.500 | 8/16/14 | USD | 2000 | 12,000 | ||||||||||||||||||
|
||||||||||||||||||||||||
Apache Corp. Put2 | USD | 90.000 | 8/16/14 | USD | 1990 | 15,920 | ||||||||||||||||||
|
||||||||||||||||||||||||
Assured Guaranty Ltd. Call2 | USD | 26.000 | 10/18/14 | USD | 1500 | 49,500 | ||||||||||||||||||
|
||||||||||||||||||||||||
Assured Guaranty Ltd. Put2 | USD | 20.000 | 9/20/14 | USD | 2000 | 70,000 | ||||||||||||||||||
|
||||||||||||||||||||||||
Assured Guaranty Ltd. Put2 | USD | 21.000 | 8/16/14 | USD | 2000 | 51,000 | ||||||||||||||||||
|
||||||||||||||||||||||||
Assured Guaranty Ltd. Put2 | USD | 20.000 | 8/16/14 | USD | 1250 | 15,000 | ||||||||||||||||||
|
||||||||||||||||||||||||
Baxter International, Inc. Put2 | USD | 67.500 | 8/16/14 | USD | 1990 | 25,870 | ||||||||||||||||||
|
||||||||||||||||||||||||
Citigroup, Inc. Put2 | USD | 46.000 | 9/20/14 | USD | 3000 | 138,000 | ||||||||||||||||||
|
||||||||||||||||||||||||
Citigroup, Inc. Put2 | USD | 45.000 | 8/16/14 | USD | 1500 | 13,500 | ||||||||||||||||||
|
||||||||||||||||||||||||
Citigroup, Inc. Put2 | USD | 46.000 | 8/16/14 | USD | 2000 | 26,000 | ||||||||||||||||||
|
||||||||||||||||||||||||
Delta Air Lines, Inc. Put2 | USD | 33.500 | 8/16/14 | USD | 2000 | 26,000 | ||||||||||||||||||
|
||||||||||||||||||||||||
Delta Air Lines, Inc. Put2 | USD | 31.000 | 8/16/14 | USD | 4000 | 20,000 |
10 OPPENHEIMER EQUITY INCOME FUND |
STATEMENT OF INVESTMENTS Unaudited / Continued
Exercise Price |
Expiration Date |
Contracts | Value | |||||||||||||||||||||
|
||||||||||||||||||||||||
Exchange-Traded Options Purchased (Continued) |
||||||||||||||||||||||||
Ensco plc Put2 | USD | 50.000 | 8/16/14 | USD | 2000 | $ | 120,000 | |||||||||||||||||
|
||||||||||||||||||||||||
Exxon Mobil Corp. Put2 | USD | 90.000 | 8/16/14 | USD | 4500 | 36,000 | ||||||||||||||||||
|
||||||||||||||||||||||||
Exxon Mobil Corp. Put2 | USD | 92.500 | 8/16/14 | USD | 1990 | 27,860 | ||||||||||||||||||
|
||||||||||||||||||||||||
General Motors Co. Put2 | USD | 34.000 | 8/16/14 | USD | 2000 | 150,000 | ||||||||||||||||||
|
||||||||||||||||||||||||
Genworth Financial, Inc. Put2 | USD | 12.000 | 9/20/14 | USD | 7500 | 165,000 | ||||||||||||||||||
|
||||||||||||||||||||||||
J.C. Penney Co., Inc. Put2 | USD | 8.000 | 9/20/14 | USD | 2250 | 49,500 | ||||||||||||||||||
|
||||||||||||||||||||||||
Kinder Morgan, Inc. Put2 | USD | 35.000 | 9/20/14 | USD | 3500 | 217,000 | ||||||||||||||||||
|
||||||||||||||||||||||||
Kohls Corp. Put2 | USD | 45.000 | 10/18/14 | USD | 2000 | 60,000 | ||||||||||||||||||
|
||||||||||||||||||||||||
Marathon Oil Corp. Put2 | USD | 36.000 | 8/16/14 | USD | 2000 | 32,000 | ||||||||||||||||||
|
||||||||||||||||||||||||
Marathon Oil Corp. Put2 | USD | 36.000 | 9/20/14 | USD | 2000 | 76,000 | ||||||||||||||||||
|
||||||||||||||||||||||||
Marathon Oil Corp. Put2 | USD | 35.000 | 8/16/14 | USD | 5000 | 40,000 | ||||||||||||||||||
|
||||||||||||||||||||||||
Marathon Oil Corp. Put2 | USD | 37.000 | 9/20/14 | USD | 1500 | 105,000 | ||||||||||||||||||
|
||||||||||||||||||||||||
MBIA, Inc. Call2 | USD | 13.000 | 11/22/14 | USD | 5000 | 130,000 | ||||||||||||||||||
|
||||||||||||||||||||||||
MBIA, Inc. Call2 | USD | 13.000 | 8/16/14 | USD | 5000 | 12,500 | ||||||||||||||||||
|
||||||||||||||||||||||||
MBIA, Inc. Put2 | USD | 9.000 | 9/20/14 | USD | 2000 | 86,000 | ||||||||||||||||||
|
||||||||||||||||||||||||
McDonalds Corp. Put2 | USD | 91.000 | 8/16/14 | USD | 1500 | 24,750 | ||||||||||||||||||
|
||||||||||||||||||||||||
QUALCOMM, Inc. Put2 | USD | 70.000 | 8/16/14 | USD | 2000 | 44,000 | ||||||||||||||||||
|
||||||||||||||||||||||||
Target Corp. Put2 | USD | 52.500 | 8/16/14 | USD | 2000 | 5,000 | ||||||||||||||||||
|
||||||||||||||||||||||||
Time Warner Cable, Inc. Put2 | USD | 135.000 | 8/16/14 | USD | 3500 | 61,250 | ||||||||||||||||||
|
||||||||||||||||||||||||
United Continental Holdings Put2 | USD | 35.000 | 8/16/14 | USD | 2000 | 10,000 | ||||||||||||||||||
|
||||||||||||||||||||||||
Whirlpool Corp. Put2 | USD | 125.000 | 8/16/14 | USD | 1500 | 16,500 | ||||||||||||||||||
|
|
|||||||||||||||||||||||
Total Exchange-Traded Options Purchased (Cost $2,956,460)
|
1,971,150 | |||||||||||||||||||||||
|
||||||||||||||||||||||||
Total Investments, at Value (Cost $5,109,446,500) | 100.5 | % | 6,178,611,951 | |||||||||||||||||||||
|
||||||||||||||||||||||||
Net Other Assets (Liabilities) | (0.5 | ) | (31,148,114) | |||||||||||||||||||||
|
|
|||||||||||||||||||||||
Net Assets |
100.0 | % | $ | 6,147,463,837 | ||||||||||||||||||||
|
|
11 OPPENHEIMER EQUITY INCOME FUND |
STATEMENT OF INVESTMENTS Unaudited / Continued
Footnotes to Statement of Investments
1. All or a portion of the security position is held in segregated accounts and pledged to cover margin requirements with respect to outstanding written options. The aggregate market value of such securities is $375,185,660. See accompanying Notes.
2. Non-income producing security.
3. Represents securities sold under Rule 144A, which are exempt from registration under the Securities Act of 1933, as amended. These securities have been determined to be liquid under guidelines established by the Board of Trustees. These securities amount to $410,078,614 or 6.67% of the Funds net assets as of July 31, 2014.
4. Represents the current interest rate for a variable or increasing rate security.
5. Interest-Only Strips represent the right to receive the monthly interest payments on an underlying pool of mortgage loans. These securities typically decline in price as interest rates decline. Most other fixed income securities increase in price when interest rates decline. The principal amount of the underlying pool represents the notional amount on which current interest is calculated. The price of these securities is typically more sensitive to changes in prepayment rates than traditional mortgage-backed securities (for example, GNMA pass-throughs). Interest rates disclosed represent current yields based upon the current cost basis and estimated timing and amount of future cash flows. These securities amount to $1,191,783 or 0.02% of the Funds net assets as of July 31, 2014.
6. Interest rate is less than 0.0005%.
7. Principal-Only Strips represent the right to receive the monthly principal payments on an underlying pool of mortgage loans. The value of these securities generally increases as interest rates decline and prepayment rates rise. The price of these securities is typically more volatile than that of coupon-bearing bonds of the same maturity. Interest rates disclosed represent current yields based upon the current cost basis and estimated timing of future cash flows. These securities amount to $126,884 or less than 0.005% of the Funds net assets as of July 31, 2014.
8. This bond has no contractual maturity date, is not redeemable and contractually pays an indefinite stream of interest. Rate reported represents the current interest rate for this variable rate security.
9. Restricted security. The aggregate value of restricted securities as of July 31, 2014 was $2,205,263, which represents 0.04% of the Funds net assets. See accompanying Notes. Information concerning restricted securities is as follows:
Security | Acquisition Dates |
Cost | Value | Unrealized Appreciation |
||||||||||||
Glen Meadow Pass-Through Trust, 6.505% Jr. Sub. Nts., 2/12/67 | 1/5/11 | $ | 539,931 | $ | 626,268 | $ | 86,337 | |||||||||
Rockies Express Pipeline LLC, 3.90% Sr. Unsec. Unsub. Nts., 4/15/15 | 11/10/10-5/20/11 | 933,217 | 934,650 | 1,433 | ||||||||||||
ZFS Finance USA Trust V, 6.50% Jr. Sub. Nts., 5/9/37 | 2/24/11-7/26/11 | 600,732 | 644,345 | 43,613 | ||||||||||||
|
|
|||||||||||||||
$ | 2,073,880 | $ | 2,205,263 | $ | 131,383 | |||||||||||
|
|
10. This security is not accruing income because the issuer has missed an interest payment on it and/or is not anticipated to make future interest and or principal payments. The rate shown is the original contractual interest rate. See accompanying Notes.
The following issuer is or was an affiliate, as defined in the Investment Company Act of 1940, at or during the period ended July 31, 2014 by virtue of the Fund owning at least 5% of the voting securities of the issuer or as a result of the Fund and the issuer having the same investment adviser. There were no affiliate securities held by the Fund as of July 31, 2014. Transactions during the period in which the issuer was an affiliate are as follows:
12 OPPENHEIMER EQUITY INCOME FUND |
STATEMENT OF INVESTMENTS Unaudited / Continued
Shares October 31, 2013 |
Gross Additions |
Gross Reductions |
Shares July 31, 2014 |
|||||||||||||
|
||||||||||||||||
Oppenheimer Institutional Money Market Fund, Cl. E | 86,179,484 | 227,192,099 | 313,371,583 | | ||||||||||||
Income | ||||||||||||||||
|
||||||||||||||||
Oppenheimer Institutional Money Market Fund, Cl. E | $ | 14,259 |
|
||||||||||||||||||||||||||||
Exchange-Traded Options Written at July 31, 2014 |
||||||||||||||||||||||||||||
Description | Exercise Price |
Expiration Date |
Number of Contracts |
Premiums Received |
Value | |||||||||||||||||||||||
|
||||||||||||||||||||||||||||
AbbVie, Inc. Call |
USD | 55.000 | 8/16/14 | USD | (75) | $ | 5,797 | $ | (1,500) | |||||||||||||||||||
|
||||||||||||||||||||||||||||
AbbVie, Inc. Put |
USD | 52.500 | 8/16/14 | USD | (1,000) | 68,959 | (100,000) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
Apache Corp. Put |
USD | 97.500 | 8/16/14 | USD | (2,000) | 433,912 | (102,000) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
Apache Corp. Call |
USD | 105.000 | 8/16/14 | USD | (1,000) | 129,923 | (114,000) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
Apache Corp. Call |
USD | 107.000 | 8/16/14 | USD | (1,000) | 50,254 | (61,000) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
Apple, Inc. Call |
USD | 107.140 | 8/16/14 | USD | (250) | 9,490 | (1,250) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
Archer-Daniels-Midland Co. Call |
USD | 49.000 | 8/16/14 | USD | (250) | 7,565 | (4,750) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
Assured Guaranty Ltd. Put |
USD | 23.000 | 8/16/14 | USD | (4,500) | 310,614 | (468,000) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
Assured Guaranty Ltd. Put |
USD | 22.000 | 10/18/14 | USD | (2,500) | 223,386 | (287,500) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
Assured Guaranty Ltd. Put |
USD | 24.000 | 8/16/14 | USD | (2,999) | 365,016 | (554,815) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
Assured Guaranty Ltd. Put |
USD | 22.000 | 8/16/14 | USD | (3,500) | 202,786 | (189,000) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
AT&T, Inc. Call |
USD | 37.000 | 8/16/14 | USD | (1,000) | 20,959 | (7,000) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
AT&T, Inc. Call |
USD | 36.000 | 8/16/14 | USD | (1,000) | 37,659 | (29,000) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
AT&T, Inc. Call |
USD | 37.500 | 8/16/14 | USD | (1,000) | 18,980 | (4,000) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
Baxter International, Inc. Put |
USD | 72.500 | 8/16/14 | USD | (1,000) | 161,607 | (27,000) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
Baxter International, Inc. Call |
USD | 75.000 | 8/16/14 | USD | (250) | 46,239 | (21,500) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
Baxter International, Inc. Call |
USD | 77.500 | 8/16/14 | USD | (250) | 16,490 | (6,000) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
Beazer Homes USA, Inc. Put |
USD | 20.000 | 8/16/14 | USD | (4,762) | 622,542 | (1,700,034) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
Best Buy Co., Inc. Call |
USD | 34.000 | 8/16/14 | USD | (1,000) | 21,379 | (7,500) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
CenturyLink, Inc. Call |
USD | 42.000 | 8/16/14 | USD | (4,000) | 235,835 | (64,000) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
CenturyLink, Inc. Call |
USD | 43.000 | 8/16/14 | USD | (1,250) | 23,699 | (6,250) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
CenturyLink, Inc. Call |
USD | 38.000 | 8/16/14 | USD | (500) | 10,730 | (87,500) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
CenturyLink, Inc. Put |
USD | 35.000 | 8/16/14 | USD | (1,250) | 63,959 | (9,375) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
CenturyLink, Inc. Call |
USD | 44.000 | 8/16/14 | USD | (1,000) | 26,459 | (5,000) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
CenturyLink, Inc. Call |
USD | 43.000 | 9/20/14 | USD | (1,000) | 25,020 | (25,000) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
CenturyLink, Inc. Call |
USD | 37.000 | 8/16/14 | USD | (350) | 17,486 | (87,500) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
Citigroup, Inc. Put |
USD | 49.000 | 8/16/14 | USD | (3,500) | 279,067 | (301,000) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
Citigroup, Inc. Put |
USD | 49.000 | 9/20/14 | USD | (1,000) | 113,958 | (139,000) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
CVS Caremark Corp. Call |
USD | 80.000 | 8/16/14 | USD | (500) | 31,869 | (8,500) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
Delta Air Lines, Inc. Put |
USD | 35.000 | 8/16/14 | USD | (2,000) | 281,615 | (68,000) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
Delta Air Lines, Inc. Put |
USD | 36.000 | 8/16/14 | USD | (1,000) | 44,959 | (54,000) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
Digital Realty Trust, Inc. Call |
USD | 60.000 | 8/16/14 | USD | (255) | 39,792 | (122,910) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
Domtar Corp. Put |
USD | 42.500 | 10/18/14 | USD | (500) | 163,477 | (337,500) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
Ensco plc Put |
USD | 55.000 | 8/16/14 | USD | (2,500) | 454,892 | (1,100,000) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
Ensco plc Put |
USD | 57.500 | 9/20/14 | USD | (919) | 438,318 | (753,580) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
Ensco plc Call |
USD | 55.000 | 8/16/14 | USD | (1,000) | 76,969 | (8,000) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
Exelon Corp. Put |
USD | 34.000 | 8/16/14 | USD | (500) | 74,479 | (155,000) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
Exxon Mobil Corp. Put |
USD | 97.500 | 9/20/14 | USD | (1,000) | 164,957 | (175,000) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
Exxon Mobil Corp. Put |
USD | 97.500 | 8/16/14 | USD | (4,500) | 491,811 | (432,000) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
Ford Motor Co. Call |
USD | 18.000 | 8/16/14 | USD | (3,000) | 51,309 | (12,000) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
Ford Motor Co. Call |
USD | 18.500 | 8/16/14 | USD | (1,500) | 15,939 | (3,000) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
General Electric Co. Call |
USD | 26.000 | 8/16/14 | USD | (125) | 3,370 | (875) | |||||||||||||||||||||
|
13 OPPENHEIMER EQUITY INCOME FUND |
STATEMENT OF INVESTMENTS Unaudited / Continued
|
||||||||||||||||||||||||||||
Exchange-Traded Options Written (Continued) |
||||||||||||||||||||||||||||
Description | Exercise Price |
Expiration Date |
Number of Contracts |
Premiums Received |
Value | |||||||||||||||||||||||
|
||||||||||||||||||||||||||||
General Motors Co. Put |
USD | 38.000 | 9/20/14 | USD | (750) | $ | 216,716 | $ | (328,125) | |||||||||||||||||||
|
||||||||||||||||||||||||||||
General Motors Co. Put |
USD | 36.000 | 8/16/14 | USD | (1,000) | 84,958 | (228,000) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
General Motors Co. Put |
USD | 36.000 | 9/20/14 | USD | (950) | 282,107 | (257,450) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
General Motors Co. Put |
USD | 39.000 | 9/20/14 | USD | (1,225) | 443,393 | (655,375) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
Genworth Financial, Inc. Put |
USD | 14.000 | 9/20/14 | USD | (6,250) | 215,995 | (700,000) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
Halliburton Co. Call |
USD | 75.000 | 8/16/14 | USD | (1,000) | 58,009 | (7,000) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
International Paper Co. Call |
USD | 55.000 | 8/16/14 | USD | (1,000) | 23,960 | (9,000) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
International Paper Co. Call |
USD | 53.000 | 8/16/14 | USD | (1,000) | 56,559 | (4,000) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
International Paper Co. Call |
USD | 54.000 | 8/16/14 | USD | (2,000) | 80,998 | (18,000) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
J.C. Penney Co., Inc. Put |
USD | 8.500 | 8/16/14 | USD | (1,000) | 22,769 | (17,000) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
J.C. Penney Co., Inc. Put |
USD | 9.000 | 8/16/14 | USD | (10,000) | 1,189,578 | (330,000) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
J.C. Penney Co., Inc. Put |
USD | 10.000 | 8/16/14 | USD | (1,000) | 223,206 | (88,000) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
Kinder Morgan, Inc. Put |
USD | 37.500 | 9/20/14 | USD | (3,000) | 585,457 | (591,000) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
Kohls Corp. Put |
USD | 52.500 | 8/16/14 | USD | (2,000) | 335,414 | (190,000) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
Kroger Co. (The) Call |
USD | 52.500 | 9/20/14 | USD | (3,000) | 167,877 | (120,000) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
Lear Corp. Call |
USD | 105.000 | 9/20/14 | USD | (250) | 23,160 | (9,375) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
Louisiana-Pacific Corp. Put |
USD | 14.000 | 9/20/14 | USD | (1,000) | 70,959 | (92,500) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
Louisiana-Pacific Corp. Put |
USD | 14.000 | 8/16/14 | USD | (2,000) | 96,668 | (130,000) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
Marathon Oil Corp. Call |
USD | 41.000 | 8/16/14 | USD | (25) | 924 | (575) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
Marathon Oil Corp. Put |
USD | 40.000 | 8/16/14 | USD | (3,250) | 305,534 | (539,500) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
Marathon Oil Corp. Put |
USD | 39.000 | 8/16/14 | USD | (3,500) | 325,354 | (224,000) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
Marathon Oil Corp. Put |
USD | 39.000 | 9/20/14 | USD | (1,000) | 116,278 | (138,000) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
MBIA, Inc. Put |
USD | 10.000 | 8/16/14 | USD | (7,000) | 347,063 | (392,000) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
MBIA, Inc. Put |
USD | 11.000 | 8/16/14 | USD | (10,000) | 424,841 | (1,450,000) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
MBIA, Inc. Put |
USD | 9.000 | 8/16/14 | USD | (500) | 18,980 | (10,000) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
McDonalds Corp. Put |
USD | 94.000 | 8/16/14 | USD | (1,000) | 37,959 | (73,000) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
MDC Holdings, Inc. Put |
USD | 29.000 | 8/16/14 | USD | (2,000) | 237,016 | (485,000) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
Medtronic, Inc. Call |
USD | 67.500 | 8/16/14 | USD | (50) | 1,798 | (300) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
Medtronic, Inc. Call |
USD | 65.000 | 8/16/14 | USD | (100) | 6,146 | (1,200) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
Medtronic, Inc. Call |
USD | 64.500 | 8/16/14 | USD | (150) | 4,359 | (1,950) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
MGIC Investment Corp. Put |
USD | 8.000 | 8/16/14 | USD | (2,000) | 71,918 | (120,000) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
Microsoft Corp. Call |
USD | 45.000 | 8/16/14 | USD | (1,500) | 49,439 | (24,000) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
Microsoft Corp. Call |
USD | 47.000 | 8/16/14 | USD | (1,000) | 51,359 | (7,000) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
Microsoft Corp. Call |
USD | 46.500 | 8/16/14 | USD | (1,000) | 17,960 | (7,000) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
Microsoft Corp. Call |
USD | 46.000 | 8/16/14 | USD | (500) | 21,624 | (4,500) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
Microsoft Corp. Call |
USD | 44.000 | 8/16/14 | USD | (1,000) | 36,959 | (36,000) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
Mosaic Co. (The) Put |
USD | 50.000 | 8/16/14 | USD | (152) | 39,410 | (57,000) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
NRG Energy, Inc. Call |
USD | 32.000 | 8/16/14 | USD | (50) | 2,298 | (1,500) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
NRG Energy, Inc. Put |
USD | 31.000 | 8/16/14 | USD | (250) | 13,240 | (18,750) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
Pfizer, Inc. Call |
USD | 30.000 | 8/16/14 | USD | (500) | 10,979 | (3,500) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
Pfizer, Inc. Call |
USD | 31.000 | 8/16/14 | USD | (500) | 7,916 | (1,000) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
Philip Morris International, Inc. Call |
USD | 85.000 | 8/16/14 | USD | (25) | 1,029 | (500) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
Potash Corp. of Saskatchewan, Inc. Call |
USD | 36.500 | 8/16/14 | USD | (3,700) | 187,223 | (81,400) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
Potash Corp. of Saskatchewan, Inc. Call |
USD | 37.000 | 8/16/14 | USD | (500) | 28,505 | (5,500) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
PPL Corp. Put |
USD | 33.000 | 8/16/14 | USD | (250) | 7,490 | (8,750) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
QUALCOMM, Inc. Put |
USD | 74.500 | 8/16/14 | USD | (1,000) | 53,959 | (158,000) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
Radian Group, Inc. Put |
USD | 14.000 | 8/16/14 | USD | (3,000) | 215,416 | (450,000) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
Radian Group, Inc. Put |
USD | 13.000 | 8/16/14 | USD | (1,500) | 59,939 | (105,000) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
State Street Corp. Call |
USD | 72.500 | 8/16/14 | USD | (2,500) | 121,193 | (105,000) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
Target Corp. Put |
USD | 57.500 | 8/16/14 | USD | (1,000) | 113,958 | (20,000) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
Teva Pharmaceutical Industries Ltd. Call |
USD | 55.000 | 8/16/14 | USD | (250) | 11,170 | (10,500) | |||||||||||||||||||||
|
14 OPPENHEIMER EQUITY INCOME FUND |
STATEMENT OF INVESTMENTS Unaudited / Continued
|
||||||||||||||||||||||||||||
Exchange-Traded Options Written (Continued) |
||||||||||||||||||||||||||||
Description | Exercise Price |
Expiration Date |
Number of Contracts |
Premiums Received |
Value | |||||||||||||||||||||||
|
||||||||||||||||||||||||||||
Textron, Inc. Call |
USD | 38.000 | 8/16/14 | USD | (100) | $ | 7,696 | $ | (2,100) | |||||||||||||||||||
|
||||||||||||||||||||||||||||
Time Warner Cable, Inc. Put |
USD | 145.000 | 8/16/14 | USD | (2,500) | 493,211 | (300,000) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
United Continental Holdings Put |
USD | 40.000 | 8/16/14 | USD | (1,000) | 249,955 | (18,000) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
Wells Fargo & Co. Call |
USD | 52.500 | 8/16/14 | USD | (8,250) | 164,861 | (66,000) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
Whirlpool Corp. Put |
USD | 135.000 | 8/16/14 | USD | (1,000) | 258,955 | (44,000) | |||||||||||||||||||||
|
||||||||||||||||||||||||||||
Williams Cos., Inc. (The) Call |
USD | 60.000 | 8/16/14 | USD | (250) | 5,240 | (5,000) | |||||||||||||||||||||
|
|
|||||||||||||||||||||||||||
Total of Exchange-Traded Options Written |
$ | 14,190,463 | $ | (16,391,189) | ||||||||||||||||||||||||
|
|
15 OPPENHEIMER EQUITY INCOME FUND |
NOTES TO
STATEMENT OF INVESTMENTS July 31, 2014 Unaudited
Oppenheimer Equity Income Fund (the Fund) is a diversified open-end management investment company registered under the Investment Company Act of 1940, as amended. The Funds investment objective is to seek total return. The Funds investment adviser is OFI Global Asset Management, Inc. (OFI Global or the Manager), a wholly-owned subsidiary of OppenheimerFunds, Inc. (OFI or the Sub-Adviser). The Manager has entered into a sub-advisory agreement with OFI.
Structured Securities. The Fund invests in structured securities whose market values, interest rates and/or redemption prices are linked to the performance of underlying foreign currencies, interest rate spreads, stock market indices, prices of individual securities, commodities or other financial instruments or the occurrence of other specific events. The structured securities are often leveraged, increasing the volatility of each notes market value relative to the change in the underlying linked financial element or event. Fluctuations in value of these securities are recorded as unrealized gains and losses in the accompanying Statement of Operations in the annual and semiannual reports. The Fund records a realized gain or loss when a structured security is sold or matures.
Credit Risk. The Fund invests in high-yield, non-investment-grade bonds, which may be subject to a greater degree of credit risk. Credit risk relates to the ability of the issuer to meet interest or principal payments or both as they become due. The Fund may acquire securities that have missed an interest payment, and is not obligated to dispose of securities whose issuers or underlying obligors subsequently miss an interest payment. Information concerning securities not accruing interest as of July 31, 2014 is as follows:
Cost |
$ | 21,871,987 | ||
Market Value |
$ | 25,211,438 | ||
Market Value as % of Net Assets |
0.41% |
Investment in Oppenheimer Institutional Money Market Fund. The Fund is permitted to invest daily available cash balances in an affiliated money market fund. The Fund may invest the available cash in Class E shares of Oppenheimer Institutional Money Market Fund (IMMF) to seek current income while preserving liquidity. IMMF is a registered open-end management investment company, regulated as a money market fund under the Investment Company Act of 1940, as amended. The Manager is the investment adviser of IMMF, and the Sub-Adviser provides investment and related advisory services to IMMF. When applicable, the Funds investment in IMMF is included in the Statement of Investments. Shares of IMMF are valued at their net asset value per share. As a shareholder, the Fund is subject to its proportional share of IMMFs Class E expenses, including its management fee. The Manager will waive fees and/or reimburse Fund expenses in an amount equal to the indirect management fees incurred through the Funds investment in IMMF.
Foreign Currency Translation. The Funds accounting records are maintained in U.S. dollars. The values of securities denominated in foreign currencies and amounts related to the purchase and sale of foreign securities and foreign investment income are translated into U.S. dollars as of the close of the New York Stock Exchange (the Exchange), normally 4:00 P.M.
16 OPPENHEIMER EQUITY INCOME FUND |
NOTES TO
STATEMENT OF INVESTMENTS Unaudited / Continued
Eastern time, on each day the Exchange is open for trading. Foreign exchange rates may be valued primarily using a reliable bank, dealer or service authorized by the Board of Trustees.
Securities Valuation
The Fund calculates the net asset value of its shares as of the close of the New York Stock Exchange (the Exchange), normally 4:00 P.M. Eastern time, on each day the Exchange is open for trading.
The Funds Board has adopted procedures for the valuation of the Funds securities and has delegated the day-to-day responsibility for valuation determinations under those procedures to the Manager. The Manager has established a Valuation Committee which is responsible for determining a fair valuation for any security for which market quotations are not readily available. The Valuation Committees fair valuation determinations are subject to review, approval and ratification by the Funds Board at its next regularly scheduled meeting covering the calendar quarter in which the fair valuation was determined.
Valuation Methods and Inputs
Securities are valued using unadjusted quoted market prices, when available, as supplied primarily by third party pricing services or dealers.
The following methodologies are used to determine the market value or the fair value of the types of securities described below:
Securities traded on a registered U.S. securities exchange (including exchange-traded derivatives other than futures and futures options) are valued based on the last sale price of the security reported on the principal exchange on which it is traded, prior to the time when the Funds assets are valued. In the absence of a sale, the security is valued at the last sale price on the prior trading day, if it is within the spread of the current days closing bid and asked prices, and if not, at the current days closing bid price. A security of a foreign issuer traded on a foreign exchange, but not listed on a registered U.S. securities exchange, is valued based on the last sale price on the principal exchange on which the security is traded, as identified by the third party pricing service used by the Manager, prior to the time when the Funds assets are valued. If the last sale price is unavailable, the security is valued at the most recent official closing price on the principal exchange on which it is traded. If the last sales price or official closing price for a foreign security is not available, the security is valued at the mean between the bid and asked price per the exchange or, if not available from the exchange, obtained from two dealers. If bid and asked prices are not available from either the exchange or two dealers, the security is valued by using one of the following methodologies (listed in order of priority): (1) using a bid from the exchange, (2) the mean between the bid and asked price as provided by a single dealer, or (3) a bid from a single dealer.
Shares of a registered investment company that are not traded on an exchange are valued at that investment companys net asset value per share.
Corporate and government debt securities (of U.S. or foreign issuers) and municipal debt securities, event-linked bonds, loans, mortgage-backed securities, collateralized mortgage obligations, and asset-backed securities are valued at the mean between the bid and asked prices utilizing evaluated prices obtained from third party pricing services or broker-dealers who may use matrix pricing methods to determine the evaluated prices.
17 OPPENHEIMER EQUITY INCOME FUND |
NOTES TO
STATEMENT OF INVESTMENTS Unaudited / Continued
Securities Valuation (Continued)
Short-term money market type debt securities with a remaining maturity of sixty days or less are valued at cost adjusted by the amortization of discount or premium to maturity (amortized cost), which approximates market value. Short-term debt securities with a remaining maturity in excess of sixty days are valued at the mean between the bid and asked prices utilizing evaluated prices obtained from third party pricing services or broker-dealers.
Structured securities, swaps, swaptions, and other over-the-counter derivatives are valued utilizing evaluated prices obtained from third party pricing services or broker-dealers.
A description of the standard inputs that may generally be considered by the third party pricing vendors in determining their evaluated prices is provided below.
Security Type | Standard inputs generally considered by third-party pricing vendors | |
Corporate debt, government debt, municipal, mortgage-backed and asset-backed securities | Reported trade data, broker-dealer price quotations, benchmark yields, issuer spreads on comparable securities, the credit quality, yield, maturity, and other appropriate factors. | |
Loans | Information obtained from market participants regarding reported trade data and broker-dealer price quotations. | |
Event-linked bonds | Information obtained from market participants regarding reported trade data and broker-dealer price quotations. | |
Structured securities | Relevant market information such as the price of underlying financial instruments, stock market indices, foreign currencies, interest rate spreads, commodities, or the occurrence of other specific events. | |
Swaps | Relevant market information, including underlying reference assets such as credit spreads, credit event probabilities, index values, individual security values, forward interest rates, variable interest rates, volatility measures, and forward currency rates. |
If a market value or price cannot be determined for a security using the methodologies described above, or if, in the good faith opinion of the Manager, the market value or price obtained does not constitute a readily available market quotation, or a significant event has occurred that would materially affect the value of the security the security is fair valued either (i) by a standardized fair valuation methodology applicable to the security type or the significant event as previously approved by the Valuation Committee and the Funds Board or (ii) as determined in good faith by the Managers Valuation Committee. The Valuation Committee considers all relevant facts that are reasonably available, through either public information or information available to the Manager, when determining the fair value of a security. Fair value determinations by the Manager are subject to review, approval and ratification by the Funds Board at its next regularly scheduled meeting covering the calendar quarter in which the fair valuation was determined. Those fair valuation standardized methodologies include, but are not limited to, valuing securities at the last sale price or initially at cost and subsequently adjusting the value based on: changes in company specific fundamentals, changes in an appropriate securities index, or changes in the value of similar securities which may be further adjusted for any discounts related to security-specific resale
18 OPPENHEIMER EQUITY INCOME FUND |
NOTES TO
STATEMENT OF INVESTMENTS Unaudited / Continued
Securities Valuation (Continued)
restrictions. When possible, such methodologies use observable market inputs such as unadjusted quoted prices of similar securities, observable interest rates, currency rates and yield curves. The methodologies used for valuing securities are not necessarily an indication of the risks associated with investing in those securities nor can it be assured that the Fund can obtain the fair value assigned to a security if it were to sell the security.
To assess the continuing appropriateness of security valuations, the Manager, or its third party service provider who is subject to oversight by the Manager, regularly compares prior day prices, prices on comparable securities, and sale prices to the current day prices and challenges those prices exceeding certain tolerance levels with the third party pricing service or broker source. For those securities valued by fair valuations, whether through a standardized fair valuation methodology or a fair valuation determination, the Valuation Committee reviews and affirms the reasonableness of the valuations based on such methodologies and fair valuation determinations on a regular basis after considering all relevant information that is reasonably available.
Classifications
Each investment asset or liability of the Fund is assigned a level at measurement date based on the significance and source of the inputs to its valuation. Various data inputs are used in determining the value of each of the Funds investments as of the reporting period end. These data inputs are categorized in the following hierarchy under applicable financial accounting standards:
1) Level 1-unadjusted quoted prices in active markets for identical assets or liabilities (including securities actively traded on a securities exchange)
2) Level 2-inputs other than unadjusted quoted prices that are observable for the asset or liability (such as unadjusted quoted prices for similar assets and market corroborated inputs such as interest rates, prepayment speeds, credit risks, etc.)
3) Level 3-significant unobservable inputs (including the Managers own judgments about assumptions that market participants would use in pricing the asset or liability).
The inputs used for valuing securities are not necessarily an indication of the risks associated with investing in those securities.
The table below categorizes amounts as of July 31, 2014 based on valuation input level:
Level 1 Quoted Prices |
Level 2 Other Significant |
Level 3 Significant Unobservable Inputs |
Value | |||||||||||||
Assets Table |
| |||||||||||||||
Investments, at Value: |
| |||||||||||||||
Common Stocks |
||||||||||||||||
Consumer Discretionary |
$ | 863,308,685 | $ | | $ | | $ | 863,308,685 | ||||||||
Consumer Staples |
241,654,410 | | | 241,654,410 | ||||||||||||
Energy |
698,735,419 | | | 698,735,419 | ||||||||||||
Financials |
1,536,930,395 | | | 1,536,930,395 | ||||||||||||
Health Care |
380,602,944 | | | 380,602,944 | ||||||||||||
Industrials |
182,536,250 | | | 182,536,250 |
19 OPPENHEIMER EQUITY INCOME FUND |
NOTES TO
STATEMENT OF INVESTMENTS Unaudited / Continued
Securities Valuation (Continued) |
| |||||||||||||||
Level 1 Unadjusted Quoted Prices |
Level 2 Other Significant Observable Inputs |
Level 3 Significant Unobservable Inputs |
Value | |||||||||||||
Information Technology |
$ | 389,206,850 | $ | | $ | | $ | 389,206,850 | ||||||||
Materials |
277,401,278 | | | 277,401,278 | ||||||||||||
Telecommunication Services |
354,756,760 | | | 354,756,760 | ||||||||||||
Utilities |
154,951,825 | | | 154,951,825 | ||||||||||||
Preferred Stocks |
103,957,290 | 75,622,069 | | 179,579,359 | ||||||||||||
Rights, Warrants and Certificates |
3,945,600 | | | 3,945,600 | ||||||||||||
Mortgage-Backed Obligations |
| 4,330,776 | | 4,330,776 | ||||||||||||
U.S. Government Obligation |
| 459,504 | | 459,504 | ||||||||||||
Non-Convertible Corporate Bonds and Notes |
| 89,091,810 | | 89,091,810 | ||||||||||||
Convertible Corporate Bonds and Notes |
| 488,379,466 | | 488,379,466 | ||||||||||||
Structured Securities |
14,972,496 | 315,796,974 | | 330,769,470 | ||||||||||||
Exchange-Traded Options Purchased |
1,971,150 | | | 1,971,150 | ||||||||||||
|
|
|||||||||||||||
Total Assets |
$ | 5,204,931,352 | $ | 973,680,599 | $ | | $ | 6,178,611,951 | ||||||||
|
|
|||||||||||||||
Liabilities Table |
||||||||||||||||
Other Financial Instruments: |
||||||||||||||||
Options written, at value |
$ | (16,391,189) | $ | | $ | | $ | (16,391,189) | ||||||||
|
|
|||||||||||||||
Total Liabilities |
$ | (16,391,189) | $ | | $ | | $ | (16,391,189) | ||||||||
|
|
Forward currency exchange contracts and futures contracts, if any, are reported at their unrealized appreciation/depreciation at measurement date, which represents the change in the contracts value from trade date. All additional assets and liabilities included in the above table are reported at their market value at measurement date.
Risk Exposures and the Use of Derivative Instruments
The Funds investment objective not only permits the Fund to purchase investment securities, it also allows the Fund to enter into various types of derivatives contracts, including, but not limited to, futures contracts, forward currency exchange contracts, credit default swaps, interest rate swaps, total return swaps, variance swaps and purchased and written options. In doing so, the Fund will employ strategies in differing combinations to permit it to increase, decrease, or change the level or types of exposure to market risk factors. These instruments may allow the Fund to pursue its objectives more quickly and efficiently than if it were to make direct purchases or sales of securities capable of effecting a similar response to market factors. Such contracts may be entered into through a bilateral over-the-counter (OTC) transaction, or through a securities or futures exchange and cleared through a clearinghouse.
Market Risk Factors. In accordance with its investment objectives, the Fund may use derivatives to increase or decrease its exposure to one or more of the following market risk factors:
Commodity Risk. Commodity risk relates to the change in value of commodities or commodity indexes as they relate to increases or decreases in the commodities market.
20 OPPENHEIMER EQUITY INCOME FUND |
NOTES TO
STATEMENT OF INVESTMENTS Unaudited / Continued
Risk Exposures and the Use of Derivative Instruments (Continued)
Commodities are physical assets that have tangible properties. Examples of these types of assets are crude oil, heating oil, metals, livestock, and agricultural products.
Credit Risk. Credit risk relates to the ability of the issuer to meet interest and principal payments, or both, as they come due. In general, lower-grade, higher-yield bonds are subject to credit risk to a greater extent than lower-yield, higher-quality bonds.
Equity Risk. Equity risk relates to the change in value of equity securities as they relate to increases or decreases in the general market.
Foreign Exchange Rate Risk. Foreign exchange rate risk relates to the change in the U.S. dollar value of a security held that is denominated in a foreign currency. The U.S. dollar value of a foreign currency denominated security will decrease as the dollar appreciates against the currency, while the U.S. dollar value will increase as the dollar depreciates against the currency.
Interest Rate Risk. Interest rate risk refers to the fluctuations in value of fixed-income securities resulting from the inverse relationship between price and yield. For example, an increase in general interest rates will tend to reduce the market value of already issued fixed-income investments, and a decline in general interest rates will tend to increase their value. In addition, debt securities with longer maturities, which tend to have higher yields, are subject to potentially greater fluctuations in value from changes in interest rates than obligations with shorter maturities.
Volatility Risk. Volatility risk refers to the magnitude of the movement, but not the direction of the movement, in a financial instruments price over a defined time period. Large increases or decreases in a financial instruments price over a relative time period typically indicate greater volatility risk, while small increases or decreases in its price typically indicate lower volatility risk.
Derivatives may have little or no initial cash investment relative to their market value exposure and therefore can produce significant gains or losses in excess of their cost due to unanticipated changes in the market risk factors and the overall market. This use of embedded leverage allows the Fund to increase its market value exposure relative to its net assets and can substantially increase the volatility of the Funds performance. In instances where the Fund is using derivatives to decrease, or hedge, exposures to market risk factors for securities held by the Fund, there are also risks that those derivatives may not perform as expected resulting in losses for the combined or hedged positions. Some derivatives have the potential for unlimited loss, regardless of the size of the Funds initial investment.
Additional associated risks from investing in derivatives also exist and potentially could have significant effects on the valuation of the derivative and the Fund. Typically, the associated risks are not the risks that the Fund is attempting to increase or decrease exposure to, per its investment objectives, but are the additional risks from investing in derivatives. Examples of these associated risks are liquidity risk, which is the risk that the Fund will not be able to sell the derivative in the open market in a timely manner, and counterparty credit risk, which is the risk that the counterparty will not fulfill its obligation to the Fund.
The Funds actual exposures to these market risk factors and associated risks during the period are discussed in further detail, by derivative type, below.
21 OPPENHEIMER EQUITY INCOME FUND |
NOTES TO
STATEMENT OF INVESTMENTS Unaudited / Continued
Risk Exposures and the Use of Derivative Instruments (Continued)
Option Activity
The Fund may buy and sell put and call options, or write put and call options. When an option is written, the Fund receives a premium and becomes obligated to sell or purchase the underlying security, currency or other underlying financial instrument at a fixed price, upon exercise of the option.
Options can be traded through an exchange or through a privately negotiated arrangement with a dealer in an OTC transaction. Options traded through an exchange are generally cleared through a clearinghouse (such as The Options Clearing Corporation). The difference between the premium received or paid, and market value of the option, is recorded as unrealized appreciation or depreciation. The net change in unrealized appreciation or depreciation is reported in the Statement of Operations in the annual and semiannual reports. When an option is exercised, the cost of the security purchased or the proceeds of the security sale are adjusted by the amount of premium received or paid. Upon the expiration or closing of the option transaction, a gain or loss is reported in the Statement of Operations in the annual and semiannual reports.
The Fund has purchased call options on individual equity securities and/or equity indexes to increase exposure to equity risk. A purchased call option becomes more valuable as the price of the underlying financial instrument appreciates relative to the strike price.
The Fund has purchased put options on individual equity securities and/or equity indexes to decrease exposure to equity risk. A purchased put option becomes more valuable as the price of the underlying financial instrument depreciates relative to the strike price.
During the period ended July 31, 2014, the Fund had an ending monthly average market value of $1,599,525 and $530,647 on purchased call options and purchased put options, respectively.
Options written, if any, are reported in a schedule following the Statement of Investments and as a liability in the Statement of Assets and Liabilities in the annual and semiannual reports. Securities held in collateral accounts to cover potential obligations with respect to outstanding written options are noted in the Statement of Investments.
The risk in writing a call option is that the market price of the security increases and if the option is exercised, the Fund must either purchase the security at a higher price for delivery or, if the Fund owns the underlying security, give up the opportunity for profit. The risk in writing a put option is that the Fund may incur a loss if the market price of the security decreases and the option is exercised. The risk in buying an option is that the Fund pays a premium whether or not the option is exercised. The Fund also has the additional risk that there may be an illiquid market where the Fund is unable to close the contract.
The Fund has written put options on individual equity securities and/or equity indexes to increase exposure to equity risk. A written put option becomes more valuable as the price of the underlying financial instrument appreciates relative to the strike price.
The Fund has written call options on individual equity securities and/or equity indexes to decrease exposure to equity risk. A written call option becomes more valuable as the price of the underlying financial instrument depreciates relative to the strike price.
22 OPPENHEIMER EQUITY INCOME FUND |
NOTES TO
STATEMENT OF INVESTMENTS Unaudited / Continued
Risk Exposures and the Use of Derivative Instruments (Continued)
During the period ended July 31, 2014, the Fund had an ending monthly average market value of $4,442,148 and $14,153,641 on written call options and written put options, respectively.
Additional associated risks to the Fund include counterparty credit risk and liquidity risk.
Written option activity for the period ended July 31, 2014 was as follows:
Call Options | Put Options | |||||||||||||||
|
|
|
|
|||||||||||||
Number of Contracts |
Amount of Premiums |
Number of Contracts |
Amount of Premiums |
|||||||||||||
|
||||||||||||||||
Options outstanding as of October 31, 2013 | 58,952 | $ | 8,369,646 | 169,269 | $ | 18,120,089 | ||||||||||
Options written | 551,998 | 44,739,937 | 681,603 | 79,684,482 | ||||||||||||
Options closed or expired | (343,641) | (28,961,191) | (450,454) | (45,615,870) | ||||||||||||
Options exercised | (215,554) | (22,075,939) | (287,411) | (40,070,691) | ||||||||||||
|
|
|||||||||||||||
Options outstanding as of July 31, 2014 | 51,755 | $ | 2,072,453 | 113,007 | $ | 12,118,010 | ||||||||||
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Counterparty Credit Risk. Derivative positions are subject to the risk that the counterparty will not fulfill its obligation to the Fund. The Fund intends to enter into derivative transactions with counterparties that the Manager believes to be creditworthy at the time of the transaction.
For financial reporting purposes, the Fund does not offset derivative assets and derivative liabilities that are subject to netting arrangements in the Statement of Assets and Liabilities in the annual and semiannual reports. Bankruptcy or insolvency laws of a particular jurisdiction may impose restrictions on or prohibitions against the right of offset in bankruptcy, insolvency or other events.
The Funds risk of loss from counterparty credit risk on exchange-traded derivatives cleared through a clearinghouse and for centrally cleared swaps is generally considered lower than as compared to OTC derivatives. However, counterparty credit risk exists with respect to initial and variation margin deposited/paid by the Fund that is held in futures commission merchant, broker and/or clearinghouse accounts for such exchange-traded derivatives and for centrally cleared swaps.
With respect to centrally cleared swaps, such transactions will be submitted for clearing, and if cleared, will be held in accounts at futures commission merchants or brokers that are members of clearinghouses. While brokers, futures commission merchants and clearinghouses are required to segregate customer margin from their own assets, in the event that a broker, futures commission merchant or clearinghouse becomes insolvent or goes into bankruptcy and at that time there is a shortfall in the aggregate amount of margin held by the broker, futures commission merchant or clearinghouse for all its customers, U.S. bankruptcy laws will typically allocate that shortfall on a pro-rata basis across all the brokers, futures commission merchants or clearinghouses customers, potentially resulting in losses to the Fund.
There is the risk that a broker, futures commission merchant or clearinghouse will decline to clear a transaction on the Funds behalf, and the Fund may be required to pay a termination fee to the executing broker with whom the Fund initially enters into the transaction. Clearinghouses may also be permitted to terminate centrally cleared swaps at any
23 OPPENHEIMER EQUITY INCOME FUND |
NOTES TO
STATEMENT OF INVESTMENTS Unaudited / Continued
Risk Exposures and the Use of Derivative Instruments (Continued)
time. The Fund is also subject to the risk that the broker or futures commission merchant will improperly use the Funds assets deposited/paid as initial or variation margin to satisfy payment obligations of another customer. In the event of a default by another customer of the broker or futures commission merchant, the Fund might not receive its variation margin payments from the clearinghouse, due to the manner in which variation margin payments are aggregated for all customers of the broker/futures commission merchant.
Collateral and margin requirements differ by type of derivative. Margin requirements are established by the broker, futures commission merchant or clearinghouse for exchange-traded and cleared derivatives, including centrally cleared swaps. Brokers, futures commission merchants and clearinghouses can ask for margin in excess of the regulatory minimum, or increase the margin amount, in certain circumstances.
For financial reporting purposes, cash collateral that has been pledged to cover obligations of the Fund, if any, is reported separately on the Statement of Assets and Liabilities in the annual and semiannual reports as cash pledged as collateral. Non-cash collateral pledged by the Fund, if any, is noted in the Statement of Investments. Generally, the amount of collateral due from or to a party must exceed a minimum transfer amount threshold (e.g. $250,000) before a transfer has to be made. To the extent amounts due to the Fund from its counterparties are not fully collateralized, contractually or otherwise, the Fund bears the risk of loss from counterparty nonperformance.
Restricted Securities
As of July 31, 2014, investments in securities included issues that are restricted. A restricted security may have a contractual restriction on its resale and is valued under methods approved by the Board of Trustees as reflecting fair value. Securities that are restricted are marked with an applicable footnote on the Statement of Investments. Restricted securities are reported on a schedule following the Statement of Investments.
Federal Taxes
The approximate aggregate cost of securities and other investments and the composition of unrealized appreciation and depreciation of securities and other investments for federal income tax purposes as of July 31, 2014 are noted below. The primary difference between book and tax appreciation or depreciation of securities and other investments, if applicable, is attributable to the tax deferral of losses.
Federal tax cost of securities |
$ | 5,116,792,062 | ||
Federal tax cost of other investments |
(14,190,463) | |||
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Total federal tax cost |
$ | 5,102,601,599 | ||
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Gross unrealized appreciation |
$ | 1,185,458,481 | ||
Gross unrealized depreciation |
(125,839,318) | |||
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Net unrealized appreciation |
$ | 1,059,619,163 | ||
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24 OPPENHEIMER EQUITY INCOME FUND |
Item 2. | Controls and Procedures. |
(a) | Based on their evaluation of the registrants disclosure controls and procedures (as defined in rule 30a-3(c) under the Investment Company Act of 1940 (17 CFR 270.30a-3(c)) as of 7/31/2014, the registrants principal executive officer and principal financial officer found the registrants disclosure controls and procedures to provide reasonable assurances that information required to be disclosed by the registrant in the reports that it files under the Securities Exchange Act of 1934 (a) is accumulated and communicated to the registrants management, including its principal executive officer and principal financial officer, to allow timely decisions regarding required disclosure, and (b) is recorded, processed, summarized and reported, within the time periods specified in the rules and forms adopted by the U.S. Securities and Exchange Commission. |
(b) | There have been no significant changes in the registrants internal controls over financial reporting that occurred during the registrants last fiscal quarter that has materially affected, or is reasonably likely to materially affect, the registrants internal control over financial reporting. |
Item 3. | Exhibits. |
Exhibits attached hereto.
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.
Oppenheimer Equity Income Fund
By: | /s/ William F. Glavin, Jr. | |
William F. Glavin, Jr. | ||
Principal Executive Officer | ||
Date: 9/10/2014 |
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: | /s/ William F. Glavin, Jr. | |
William F. Glavin, Jr. | ||
Principal Executive Officer | ||
Date: 9/10/2014 |
By: | /s/ Brian W. Wixted | |
Brian W. Wixted | ||
Principal Financial Officer | ||
Date: 9/10/2014 |
Exhibit 99.CERT
Section 302 Certifications
CERTIFICATIONS
I, William F. Glavin, Jr., certify that:
1. | I have reviewed this report on Form N-Q of Oppenheimer Equity Income Fund; |
2. | Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report; |
3. | Based on my knowledge, the schedules of investments included in this report fairly present in all material respects the investments of the registrant as of the end of the fiscal quarter for which the report is filed; |
4. | The registrants other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940) and internal control over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940) for the registrant and have: |
(a) | Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared; |
(b) | Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles; |
(c) | Evaluated the effectiveness of the registrants disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of a date within 90 days prior to the filing date of this report, based on such evaluation; and |
(d) | Disclosed in this report any change in the registrants internal control over financial reporting that occurred during the registrants most recent fiscal quarter that has materially affected, or is reasonably likely to materially affect, the registrants internal control over financial reporting; and |
5. | The registrants other certifying officer and I have disclosed to the registrants auditors and the audit committee of the registrants board of Trustees (or persons performing the equivalent functions): |
(a) | All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrants ability to record, process, summarize, and report financial information; and |
(b) | Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrants internal control over financial reporting. |
/s/ William F. Glavin, Jr. |
William F. Glavin, Jr. |
Principal Executive Officer |
Date: 9/10/2014 |
Exhibit 99.CERT
Section 302 Certifications
CERTIFICATIONS
I, Brian W. Wixted, certify that:
1. | I have reviewed this report on Form N-Q of Oppenheimer Equity Income Fund; |
2. | Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report; |
3. | Based on my knowledge, the schedules of investments included in this report fairly present in all material respects the investments of the registrant as of the end of the fiscal quarter for which the report is filed; |
4. | The registrants other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940) and internal control over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940) for the registrant and have: |
(a) | Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared; |
(b) | Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles; |
(c) | Evaluated the effectiveness of the registrants disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of a date within 90 days prior to the filing date of this report, based on such evaluation; and |
(d) | Disclosed in this report any change in the registrants internal control over financial reporting that occurred during the registrants most recent fiscal quarter that has materially affected, or is reasonably likely to materially affect, the registrants internal control over financial reporting; and |
5. | The registrants other certifying officer and I have disclosed to the registrants auditors and the audit committee of the registrants board of Trustees (or persons performing the equivalent functions): |
(a) | All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrants ability to record, process, summarize, and report financial information; and |
(b) | Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrants internal control over financial reporting. |
/s/ Brian W. Wixted |
Brian W. Wixted |
Principal Financial Officer |
Date: 9/10/2014 |