NPORT-EX 2 3110.HTM HTML

AB Cap Fund, Inc.

AB FlexFee Emerging Markets Growth Portfolio

Portfolio of Investments

September 30, 2019 (unaudited)

 

Company

    Shares        U.S. $ Value  

COMMON STOCKS - 99.3%

 

Financials - 28.3%

 

Banks - 17.7%

 

Bank Central Asia Tbk PT

      63,000        $ 134,692  

Bank for Foreign Trade of Vietnam JSC

      24,850          88,019  

Bank Mandiri Persero Tbk PT

      185,000          90,993  

Bank of the Philippine Islands

      30,030          53,896  

Capitec Bank Holdings Ltd.

      150          12,751  

HDFC Bank Ltd.

      9,510          164,810  

IndusInd Bank Ltd.

      5,450          107,032  

Itau Unibanco Holding SA (Preference Shares)

      9,500          80,094  

Sberbank of Russia PJSC (Sponsored ADR)

      10,390          146,941  

TCS Group Holding PLC (GDR) (a)

      4,096          71,680  
       

 

 

  
          950,908  
       

 

 

  

Capital Markets - 2.3%

 

B3 SA - Brasil Bolsa Balcao

      11,500          120,759  
       

 

 

  

Consumer Finance - 2.9%

 

Manappuram Finance Ltd.

      26,630          52,913  

Muangthai Capital PCL

      27,200          50,691  

Muthoot Finance Ltd.

      5,480          52,687  
       

 

 

  
          156,291  
       

 

 

  

Insurance - 3.6%

 

Ping An Insurance Group Co. of China Ltd.-Class H

      17,000          195,393  
       

 

 

  

Thrifts & Mortgage Finance - 1.8%

 

Housing Development Finance Corp., Ltd.

      3,440          96,018  
       

 

 

  
          1,519,369  
       

 

 

  

Consumer Discretionary - 18.8%

 

Diversified Consumer Services - 4.3%

 

Four Seasons Education Cayman, Inc. (ADR) (b)

      1,102          2,006  

Fu Shou Yuan International Group Ltd.

      80,000          70,690  

New Oriental Education & Technology Group, Inc. (Sponsored ADR) (b)

      1,398          154,842  
       

 

 

  
          227,538  
       

 

 

  

Hotels, Restaurants & Leisure - 3.0%

 

Huazhu Group Ltd. (ADR)

      810          26,746  

OPAP SA

      12,040          123,855  

Premium Leisure Corp.

      845,000          11,404  
       

 

 

  
          162,005  
       

 

 

  

Internet & Direct Marketing Retail - 11.5%

 

Alibaba Group Holding Ltd. (Sponsored ADR) (b)

      2,054          343,491  

Baozun, Inc. (Sponsored ADR) (b)(c)

      1,580          67,466  

Naspers Ltd.-Class N

      834          126,275  

Prosus NV (b)

      1,074          78,840  
       

 

 

  
          616,072  
       

 

 

  
          1,005,615  
       

 

 

  

Company

    Shares        U.S. $ Value  

Information Technology - 15.3%

 

Electronic Equipment, Instruments & Components - 2.7%

 

Elite Material Co., Ltd.

      7,000        $ 28,327  

Hangzhou Hikvision Digital Technology Co., Ltd.-Class A

      5,800          26,295  

Samsung SDI Co., Ltd.

      490          91,223  
       

 

 

  
          145,845  
       

 

 

  

IT Services - 2.3%

 

HCL Technologies Ltd.

      4,230          64,394  

My EG Services Bhd

      60,500          20,238  

TravelSky Technology Ltd.-Class H

      19,000          39,455  
       

 

 

  
          124,087  
       

 

 

  

Semiconductors & Semiconductor Equipment - 4.3%

 

Micron Technology, Inc. (b)

      1,120          47,992  

Silergy Corp.

      1,000          24,800  

SK Hynix, Inc.

      1,470          100,960  

Taiwan Semiconductor Manufacturing Co., Ltd.

      6,000          53,289  
       

 

 

  
          227,041  
       

 

 

  

Technology Hardware, Storage & Peripherals - 6.0%

 

Samsung Electronics Co., Ltd.

      2,930          119,966  

Samsung Electronics Co., Ltd. (Preference Shares)

      6,110          201,686  
       

 

 

  
          321,652  
       

 

 

  
          818,625  
       

 

 

  

Consumer Staples - 10.0%

 

Beverages - 7.9%

 

Budweiser Brewing Co. APAC Ltd. (a)(b)

      10,400          37,286  

Fomento Economico Mexicano SAB de CV

      13,900          127,378  

Kweichow Moutai Co., Ltd.-Class A

      780          125,726  

Wuliangye Yibin Co., Ltd.-Class A

      7,370          134,114  
       

 

 

  
          424,504  
       

 

 

  

Food & Staples Retailing - 1.3%

 

CP ALL PCL

      26,500          70,398  
       

 

 

  

Personal Products - 0.2%

 

TCI Co., Ltd.

      1,148          11,548  
       

 

 

  

Tobacco - 0.6%

 

VST Industries Ltd.

      590          31,344  
       

 

 

  
          537,794  
       

 

 

  

Communication Services - 8.1%

 

Interactive Media & Services - 6.7%

 

58.com, Inc. (ADR) (b)

      825          40,681  

Momo, Inc. (Sponsored ADR)

      2,360          73,113  

Tencent Holdings Ltd.

      1,600          66,924  

Yandex NV-Class A (b)

      5,000          175,050  
       

 

 

  
          355,768  
       

 

 

  

Company

    Shares        U.S. $ Value  

Wireless Telecommunication Services - 1.4%

 

Safaricom PLC

      290,440        $ 76,910  
       

 

 

  
          432,678  
       

 

 

  

Industrials - 6.7%

 

Commercial Services & Supplies - 1.8%

 

Sunny Friend Environmental Technology Co., Ltd.

      11,000          96,291  
       

 

 

  

Construction & Engineering - 1.5%

 

Larsen & Toubro Ltd.

      3,784          79,027  
       

 

 

  

Road & Rail - 2.1%

 

Globaltrans Investment PLC (Sponsored GDR) (a)

      3,166          27,228  

Localiza Rent a Car SA

      7,800          85,341  
       

 

 

  
          112,569  
       

 

 

  

Transportation Infrastructure - 1.3%

 

Adani Ports & Special Economic Zone Ltd.

      11,927          69,914  
       

 

 

  
          357,801  
       

 

 

  

Health Care - 4.9%

 

Health Care Equipment & Supplies - 0.2%

 

Yestar Healthcare Holdings Co., Ltd. (b)

      57,500          10,931  
       

 

 

  

Health Care Providers & Services - 4.7%

 

Jinxin Fertility Group Ltd. (a)(b)

      67,200          97,171  

NMC Health PLC

      4,630          154,314  
       

 

 

  
          251,485  
       

 

 

  
          262,416  
       

 

 

  

Energy - 2.7%

 

Oil, Gas & Consumable Fuels - 2.7%

 

CNOOC Ltd.

      27,000          41,340  

Petroleo Brasileiro SA (Preference Shares)

      15,400          102,112  
       

 

 

  
          143,452  
       

 

 

  

Utilities - 2.4%

 

Electric Utilities - 2.4%

 

Equatorial Energia SA

      5,400          130,342  
       

 

 

  

Real Estate - 1.5%

 

Real Estate Management & Development - 1.5%

 

Vincom Retail JSC

      56,140          80,149  
       

 

 

  

Materials - 0.6%

 

Chemicals - 0.6%

 

UPL Ltd.

      3,870          32,851  
       

 

 

  

Total Common Stocks
(cost $5,045,612)

           5,321,092  
       

 

 

  

EQUITY LINKED NOTES - 1.8%

 

Industrials - 0.8%

 

Machinery - 0.8%

 

Han’s Laser Technology Industry Group Co., UBS AG, expiring 3/06/20 (b)

      8,700          43,327  
       

 

 

  

Company

    Shares        U.S. $ Value  

Real Estate - 0.5%

 

Real Estate Management & Development - 0.5%

 

Vincom Retail JSC, Deutsche Bank AG, expiring 11/12/27 (b)

 

     20,220        $ 28,847  
         

 

 

  

Consumer Discretionary - 0.4%

 

Specialty Retail - 0.4%

 

Mobile World Investment Corp., Macquarie Bank Ltd., expiring 4/05/21 (b)

 

     3,666          19,925  
         

 

 

  

Information Technology - 0.1%

 

Electronic Equipment, Instruments & Components - 0.1%

 

FPT Corp., Macquarie Bank Ltd., expiring 3/31/20 (b)

 

     1,120          2,786  
         

 

 

  

Total Equity Linked Notes
(cost $103,917)

 

        94,885  
         

 

 

  
     Principal
Amount
(000)		           

SHORT-TERM INVESTMENTS - 0.0%

 

Time Deposits - 0.0%

 

BBH Grand Cayman

 

       

(1.62)%, 10/01/19

      CHF       0 *         12  

(0.67)%, 10/01/19

      EUR       0 *         39  

0.38%, 10/01/19

      GBP       0 *         298  

0.79%, 10/01/19

      SGD       0 *         41  

2.20%, 10/02/19

      HKD       4          560  

5.40%, 10/01/19

      ZAR       8          541  
         

 

 

  

Total Time Deposits
(cost $1,491)

 

        1,491  
         

 

 

  
     Shares           

Investment Companies - 0.0%

 

AB Fixed Income Shares, Inc.-Government Money Market Portfolio-Class AB,
1.89% (d)(e)(f)
(cost $189)

        189          189  
         

 

 

  

Total Short-Term Investments
(cost $1,680)

             1,680  
         

 

 

  

Total Investments Before Security Lending Collateral for Securities Loaned - 101.1%
(cost $5,151,209)

             5,417,657  
         

 

 

  

INVESTMENTS OF CASH COLLATERAL FOR SECURITIES LOANED - 1.3%

          

Investment Companies - 1.3%

          

AB Fixed Income Shares, Inc.-Government Money Market Portfolio-Class AB,
1.89% (d)(e)(f)
(cost $68,000)

        68,000          68,000  
         

 

 

  

              U.S. $ Value  

Total Investments - 102.4%
(cost $5,219,209) (g)

         $ 5,485,657  

Other assets less liabilities - (2.4)%

           (128,901 ) 
       

 

 

  

Net Assets - 100.0%

         $ 5,356,756  
       

 

 

  

 

*

Principal amount less than 500.

(a)

Security is exempt from registration under Rule 144A of the Securities Act of 1933. These securities are considered restricted, but liquid and may be resold in transactions exempt from registration, normally to qualified institutional buyers. At September 30, 2019, the aggregate market value of these securities amounted to $233,365 or 4.4% of net assets.

(b)

Non-income producing security.

(c)

Represents entire or partial securities out on loan.

(d)

To obtain a copy of the fund’s shareholder report, please go to the Securities and Exchange Commission’s website at www.sec.gov, or call AB at (800) 227-4618.

(e)

Affiliated investments.

(f)

The rate shown represents the 7-day yield as of period end.

(g)

As of September 30, 2019, the cost basis of investment securities owned was substantially identical for both book and tax purposes. Gross unrealized appreciation of investments was $447,692 and gross unrealized depreciation of investments was $(181,244), resulting in net unrealized appreciation of $266,448.

Please note: The sector classifications presented herein are based on the Global Industry Classification Standard (GICS) which was developed by Morgan Stanley Capital International and Standard & Poor’s. The components are divided into sector, industry group, and industry sub-indices as classified by the GICS for each of the market capitalization indices in the broad market.

 

Currency Abbreviations:
CHF    -    Swiss Franc
EUR    -    Euro
GBP    -    Great British Pound
HKD    -    Hong Kong Dollar
SGD    -    Singapore Dollar
ZAR    -    South African Rand
Glossary:
ADR    -    American Depositary Receipt
GDR    -    Global Depositary Receipt
JSC    -    Joint Stock Company
PJSC    -    Public Joint Stock Company

COUNTRY BREAKDOWN1

September 30, 2019 (unaudited)

 

  30.6%       

China

  13.9%       

India

  9.6%       

Brazil

  9.5%       

South Korea

  7.7%       

Russia

  4.2%       

Indonesia

  4.1%       

Vietnam

  3.5%       

Taiwan

  2.8%       

United Arab Emirates

  2.6%       

South Africa

  2.3%       

Mexico

  2.3%       

Greece

  2.2%       

Thailand

  4.7%       

Other

  0.0%       

Short-Term

 

 

       
  100.0%       

Total Investments

 

 

       

 

1

All data are as of September 30, 2019. The Fund’s country breakdown is expressed as a percentage of total investments (excluding security lending collateral) and may vary over time. “Other” country weightings represent 1.4% or less in the following countries: Kenya, Malaysia, Philippines, Switzerland and United States.

AB Cap Fund, Inc.

AB FlexFee Emerging Markets Growth Portfolio

September 30, 2019 (unaudited)

In accordance with U.S. GAAP regarding fair value measurements, fair value is defined as the price that the Fund would receive to sell an asset or pay to transfer a liability in an orderly transaction between market participants at the measurement date. U.S GAAP establishes a framework for measuring fair value, and a three-level hierarchy for fair value measurements based upon the transparency of inputs to the valuation of an asset or liability (including those valued based on their market values). Inputs may be observable or unobservable and refer broadly to the assumptions that market participants would use in pricing the asset or liability. Observable inputs reflect the assumptions market participants would use in pricing the asset or liability based on market data obtained from sources independent of the Fund. Unobservable inputs reflect the Fund’s own assumptions about the assumptions that market participants would use in pricing the asset or liability based on the best information available in the circumstances. Each investment is assigned a level based upon the observability of the inputs which are significant to the overall valuation. The three-tier hierarchy of inputs is summarized below.

 

  •  

Level 1—quoted prices in active markets for identical investments

  •  

Level 2—other significant observable inputs (including quoted prices for similar investments, interest rates, prepayment speeds, credit risk, etc.)

  •  

Level 3—significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments)

Where readily available market prices or relevant bid prices are not available for certain equity investments, such investments may be valued based on similar publicly traded investments, movements in relevant indices since last available prices or based upon underlying company fundamentals and comparable company data (such as multiples to earnings or other multiples to equity). Where an investment is valued using an observable input, such as another publicly traded security, the investment will be classified as Level 2. If management determines that an adjustment is appropriate based on restrictions on resale, illiquidity or uncertainty, and such adjustment is a significant component of the valuation, the investment will be classified as Level 3. An investment will also be classified as Level 3 where management uses company fundamentals and other significant inputs to determine the valuation.

The following table summarizes the valuation of the Fund’s investments by the above fair value hierarchy levels as of September 30, 2019:

 

Investments in Securities

    Level 1     Level 2     Level 3     Total  

Assets:

         

Common Stocks:

         

Financials

    $ 432,225     $ 1,087,144     $  – 0  –    $ 1,519,369  

Consumer Discretionary

      673,391       332,224       – 0  –      1,005,615  

Information Technology

      47,992       770,633       – 0  –      818,625  

Consumer Staples

      196,008       341,786       – 0  –      537,794  

Communication Services

      365,754       66,924       – 0  –      432,678  

Industrials

      112,569       245,232       – 0  –      357,801  

Health Care

      10,931       251,485       – 0  –      262,416  

Energy

      102,112       41,340       – 0  –      143,452  

Utilities

      130,342       – 0  –      – 0  –      130,342  

Real Estate

      – 0  –      80,149       – 0  –      80,149  

Materials

      – 0  –      32,851       – 0  –      32,851  

Equity Linked Notes:

         

Industrials

      – 0  –      43,327       – 0  –      43,327  

Real Estate

      – 0  –      28,847       – 0  –      28,847  

Consumer Discretionary

      – 0  –      19,925       – 0  –      19,925  

Information Technology

      – 0  –      2,786       – 0  –      2,786  

Short-Term Investments:

         

Time Deposits

      – 0  –      1,491       – 0  –      1,491  

Investment Companies

      189       – 0  –      – 0  –      189  

Investments of Cash Collateral for Securities Loaned in Affiliated Money Market Fund

      68,000       – 0  –      – 0  –      68,000  
  

 

 

    

 

 

    

 

 

    

 

 

  

Total Investments in Securities

      2,139,513       3,346,144 +       – 0  –      5,485,657  

Other Financial Instruments*

      – 0  –      – 0  –      – 0  –      – 0  – 
  

 

 

    

 

 

    

 

 

    

 

 

  

Total

    $     2,139,513     $     3,346,144     $             – 0  –    $     5,485,657  
  

 

 

    

 

 

    

 

 

    

 

 

  

 

+

A significant portion of the Fund’s foreign equity investments are categorized as Level 2 investments since they are valued using fair value prices based on third party vendor modeling tools to the extent available.

*

Other financial instruments are derivative instruments, such as futures, forwards and swaps, which are valued at the unrealized appreciation/(depreciation) on the instrument. Other financial instruments may also include swaps with upfront premiums, options written and swaptions written which are valued at market value.

A summary of the Fund’s transactions in AB mutual funds for the nine months ended September 30, 2019 is as follows:

 

     Market Value     Purchases      Sales      Market Value     Dividend  
     12/31/18     at Cost      Proceeds      9/30/19     Income  

Fund

    (000)     (000)      (000)      (000)     (000)  

Government Money Market Portfolio

    $ – 0  –    $ 2,176      $ 2,176      $ – 0  –**    $ 1  

Government Money Market Portfolio*

      31       424        387        68       1  
          

 

 

    

 

 

  

Total

            $ 68     $ 2  
          

 

 

    

 

 

  

 

*

Investment of cash collateral for securities lending transactions.

**

Amount is less than $500.