AB Cap Fund, Inc.
AB FlexFee Emerging Markets Growth Portfolio
Portfolio of Investments
March 31, 2020 (unaudited)
Company | Shares | U.S. $ Value | ||||||
COMMON STOCKS 96.3% |
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Consumer Discretionary 20.1% |
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Diversified Consumer Services 7.4% |
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Fu Shou Yuan International Group Ltd. |
100,000 | $ | 87,404 | |||||
New Oriental Education & Technology Group, Inc. (Sponsored ADR)(a) |
1,523 | 164,850 | ||||||
TAL Education Group (ADR)(a) |
2,040 | 108,650 | ||||||
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360,904 | ||||||||
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Hotels, Restaurants & Leisure 1.7% |
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OPAP SA |
10,850 | 81,747 | ||||||
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Internet & Direct Marketing Retail 11.0% |
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Alibaba Group Holding Ltd.(a) |
12,040 | 291,741 | ||||||
Alibaba Group Holding Ltd. (Sponsored ADR)(a) |
469 | 91,211 | ||||||
JD.com, Inc. (ADR)(a) |
2,050 | 83,025 | ||||||
Naspers Ltd. - Class N |
530 | 75,321 | ||||||
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541,298 | ||||||||
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983,949 | ||||||||
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Information Technology 17.4% |
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Electronic Equipment, Instruments & Components 0.5% |
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Hangzhou Hikvision Digital Technology Co., Ltd. - Class A |
6,000 | 23,292 | ||||||
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IT Services 4.6% |
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GDS Holdings Ltd. (ADR)(a) |
2,910 | 168,693 | ||||||
My EG Services Bhd |
103,800 | 22,837 | ||||||
Network International Holdings PLC(a) (b) |
4,290 | 20,860 | ||||||
TravelSky Technology Ltd. - Class H |
7,000 | 12,251 | ||||||
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224,641 | ||||||||
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Semiconductors & Semiconductor Equipment 8.5% |
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ASPEED Technology, Inc. |
1,000 | 34,065 | ||||||
Broadcom, Inc. |
210 | 49,791 | ||||||
MediaTek, Inc. |
9,000 | 96,599 | ||||||
Micron Technology, Inc.(a) |
2,330 | 98,000 | ||||||
SK Hynix, Inc. |
180 | 12,169 | ||||||
Taiwan Semiconductor Manufacturing Co., Ltd. |
14,000 | 126,032 | ||||||
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416,656 | ||||||||
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Software 1.4% |
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Douzone Bizon Co., Ltd. |
1,020 | 67,312 | ||||||
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Technology Hardware, Storage & Peripherals 2.4% |
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Samsung Electronics Co., Ltd. (Preference Shares) |
3,670 | 119,597 | ||||||
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851,498 | ||||||||
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Consumer Staples 17.1% |
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Beverages 5.5% |
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Fomento Economico Mexicano SAB de CV |
7,200 | 43,775 | ||||||
Kweichow Moutai Co., Ltd. - Class A (Nth SSE-SEHK) |
1,080 | 167,814 | ||||||
Wuliangye Yibin Co., Ltd. - Class A (Nth SZ-SEHK) |
3,570 | 57,418 | ||||||
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269,007 | ||||||||
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Company | Shares | U.S. $ Value | ||||||
Food & Staples Retailing 5.8% |
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Dino Polska SA(a) (b) |
4,670 | $ | 181,659 | |||||
Jeronimo Martins SGPS SA |
5,720 | 103,241 | ||||||
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284,900 | ||||||||
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Household Products 1.6% |
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C&S Paper Co., Ltd. |
32,710 | 77,698 | ||||||
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Personal Products 3.8% |
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Unilever PLC |
3,640 | 183,566 | ||||||
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Tobacco 0.4% |
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VST Industries Ltd. |
590 | 21,508 | ||||||
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836,679 | ||||||||
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Communication Services 16.4% |
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Entertainment 5.6% |
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NCSoft Corp. |
278 | 148,370 | ||||||
NetEase, Inc. (ADR) |
400 | 128,384 | ||||||
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276,754 | ||||||||
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Interactive Media & Services 9.7% |
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Momo, Inc. (Sponsored ADR) |
2,360 | 51,188 | ||||||
Tencent Holdings Ltd. |
8,000 | 395,421 | ||||||
Yandex NV - Class A(a) |
790 | 26,900 | ||||||
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473,509 | ||||||||
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Wireless Telecommunication Services 1.1% |
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Safaricom PLC |
220,850 | 55,937 | ||||||
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806,200 | ||||||||
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Financials 11.7% |
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Banks 5.3% |
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Bank Central Asia Tbk PT |
38,000 | 64,027 | ||||||
Bank for Foreign Trade of Vietnam JSC |
24,850 | 64,413 | ||||||
Bank Tabungan Pensiunan Nasional Syariah Tbk PT(a) |
19,500 | 2,539 | ||||||
Capitec Bank Holdings Ltd. |
660 | 32,465 | ||||||
Sberbank of Russia PJSC (Sponsored ADR) |
7,904 | 74,298 | ||||||
TCS Group Holding PLC (GDR)(b) |
1,800 | 20,808 | ||||||
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258,550 | ||||||||
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Capital Markets 1.8% |
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B3 SA - Brasil Bolsa Balcao |
9,100 | 62,872 | ||||||
New Frontier Health Corp.(a) |
3,150 | 25,988 | ||||||
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88,860 | ||||||||
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Consumer Finance 1.5% |
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Manappuram Finance Ltd. |
18,231 | 22,797 | ||||||
Muangthai Capital PCL |
27,200 | 29,009 | ||||||
Muthoot Finance Ltd. |
3,092 | 24,984 | ||||||
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76,790 | ||||||||
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Company | Shares | U.S. $ Value | ||||||
Insurance 2.5% |
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IRB Brasil Resseguros S/A |
4,700 | $ | 8,756 | |||||
Ping An Insurance Group Co. of China Ltd. - Class H |
11,500 | 112,312 | ||||||
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121,068 | ||||||||
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Thrifts & Mortgage Finance 0.6% |
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Housing Development Finance Corp., Ltd. |
1,354 | 29,080 | ||||||
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574,348 | ||||||||
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Industrials 6.3% |
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Commercial Services & Supplies 5.1% |
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A-Living Services Co., Ltd. - Class H(b) |
21,750 | 104,309 | ||||||
Sunny Friend Environmental Technology Co., Ltd. |
19,000 | 145,243 | ||||||
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249,552 | ||||||||
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Professional Services 0.5% |
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L&T Technology Services Ltd.(b) |
1,580 | 24,184 | ||||||
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Road & Rail 0.7% |
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Globaltrans Investment PLC (Sponsored GDR)(b) |
3,166 | 16,780 | ||||||
Localiza Rent a Car SA |
3,590 | 18,171 | ||||||
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34,951 | ||||||||
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308,687 | ||||||||
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Real Estate 3.3% |
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Equity Real Estate Investment Trusts (REITs) 2.3% |
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Embassy Office Parks REIT(a) |
24,200 | 112,144 | ||||||
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Real Estate Management & Development 1.0% |
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Vincom Retail JSC |
64,280 | 51,182 | ||||||
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163,326 | ||||||||
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Health Care 2.0% |
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Health Care Equipment & Supplies 0.2% |
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Yestar Healthcare Holdings Co., Ltd.(a) |
57,500 | 9,585 | ||||||
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Health Care Providers & Services 1.1% |
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Jinxin Fertility Group Ltd.(a) (b) |
49,200 | 53,899 | ||||||
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Pharmaceuticals 0.7% |
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Genomma Lab Internacional SAB de CV - Class B(a) |
43,840 | 35,112 | ||||||
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98,596 | ||||||||
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Utilities 2.0% |
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Electric Utilities 2.0% |
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Equatorial Energia SA |
29,000 | 98,228 | ||||||
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Total Common Stocks |
4,721,511 | |||||||
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Company | Shares | U.S. $ Value | ||||||||||
EQUITY LINKED NOTES 1.3% |
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Information Technology 1.1% |
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Electronic Equipment, Instruments & Components 1.1% |
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FPT Corp., Macquarie Bank Ltd., expiring 04/06/2020(a) |
30,600 | $ | 53,252 | |||||||||
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Consumer Discretionary 0.2% |
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Specialty Retail 0.2% |
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Mobile World Investment Corp., Macquarie Bank Ltd., expiring 04/05/2021(a) |
3,666 | 9,143 | ||||||||||
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Total Equity Linked Notes |
62,395 | |||||||||||
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SHORT-TERM INVESTMENTS 3.8% |
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Investment Companies 3.8% |
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AB Fixed Income Shares, Inc. - Government Money Market Portfolio - Class AB, 0.53%(c) (d) (e) |
185,249 | 185,249 | ||||||||||
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Principal Amount (000) |
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Time Deposits 0.0% |
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BBH, Grand Cayman |
CHF | 0 | * | 13 | ||||||||
(0.65)%, 04/01/2020 |
EUR | 1 | 590 | |||||||||
0.01%, 04/01/2020 |
SGD | 0 | * | 40 | ||||||||
0.03%, 04/01/2020 |
GBP | 1 | 635 | |||||||||
0.63%, 04/01/2020 |
HKD | 4 | 476 | |||||||||
4.00%, 04/01/2020 |
ZAR | 8 | 465 | |||||||||
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Total Time Deposits |
2,219 | |||||||||||
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Total Short-Term Investments |
187,468 | |||||||||||
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Total Investments 101.4% |
4,971,374 | |||||||||||
Other assets less liabilities (1.4)% |
(67,928 | ) | ||||||||||
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Net Assets 100.0% |
$ | 4,903,446 | ||||||||||
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* | Principal amount less than 500. |
(a) | Non-income producing security. |
(b) | 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 March 31, 2020, the aggregate market value of these securities amounted to $422,499 or 8.6% of net assets. |
(c) | The rate shown represents the 7-day yield as of period end. |
(d) | To obtain a copy of the funds shareholder report, please go to the Securities and Exchange Commissions website at www.sec.gov, or call AB at (800) 227-4618. |
(e) | Affiliated investments. |
(f) | As of March 31, 2020, the cost basis of investment securities owned was substantially identical for both book and tax purposes. Gross unrealized appreciation of investments was $243,191 and gross unrealized depreciation of investments was $(632,402), resulting in net unrealized depreciation of $(389,211). |
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 & Poors. 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
REIT Real Estate Investment Trust
COUNTRY BREAKDOWN1
March 31, 2020 (unaudited)
44.0% | China | |||
8.1% | Taiwan | |||
7.0% | South Korea | |||
4.7% | India | |||
3.8% | Brazil | |||
3.7% | United Kingdom | |||
3.6% | Poland | |||
3.6% | Vietnam | |||
3.0% | United States | |||
2.8% | Russia | |||
2.2% | South Africa | |||
2.1% | Portugal | |||
1.6% | Greece | |||
6.0% | Other | |||
3.8% | Short-Term | |||
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100.0% | Total Investments | |||
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1 | All data are as of March 31, 2020. The Funds country breakdown is expressed as a percentage of total investments and may vary over time. Other country weightings represent 1.6% or less in the following: Hong Kong, Indonesia, Kenya, Malaysia, Mexico, Thailand and United Arab Emirates. |
AB Cap Fund, Inc.
AB FlexFee Emerging Markets Growth Portfolio
March 31, 2020 (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 Funds 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 Funds 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 Funds investments by the above fair value hierarchy levels as of March 31, 2020:
Investments in Securities |
Level 1 | Level 2 | Level 3 | Total | ||||||||||||
Assets: | ||||||||||||||||
Common Stocks: | ||||||||||||||||
Consumer Discretionary |
$ | 447,736 | $ | 536,213 | $ | -0- | $ | 983,949 | ||||||||
Information Technology |
316,484 | 535,014 | -0- | 851,498 | ||||||||||||
Consumer Staples |
43,775 | 792,904 | -0- | 836,679 | ||||||||||||
Communication Services |
206,472 | 599,728 | -0- | 806,200 | ||||||||||||
Financials |
192,722 | 381,626 | -0- | 574,348 | ||||||||||||
Industrials |
34,951 | 273,736 | -0- | 308,687 | ||||||||||||
Real Estate |
-0- | 163,326 | -0- | 163,326 | ||||||||||||
Health Care |
35,112 | 63,484 | -0- | 98,596 | ||||||||||||
Utilities |
98,228 | -0- | -0- | 98,228 | ||||||||||||
Equity Linked Notes: | ||||||||||||||||
Information Technology |
-0- | 53,252 | -0- | 53,252 | ||||||||||||
Consumer Discretionary |
-0- | 9,143 | -0- | 9,143 | ||||||||||||
Short-Term Investments: | ||||||||||||||||
Investment Companies |
185,249 | -0- | -0- | 185,249 | ||||||||||||
Time Deposits |
-0- | 2,219 | -0- | 2,219 | ||||||||||||
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Total Investments in Securities | 1,560,729 | 3,410,645 | | -0- | 4,971,374 | |||||||||||
Other Financial Instruments* | -0- | -0- | -0- | -0- | ||||||||||||
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Total | $ | 1,560,729 | $ | 3,410,645 | $ | -0- | $ | 4,971,374 | ||||||||
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| A significant portion of the Funds 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 Funds transactions in AB mutual funds for the three months ended March 31, 2020 is as follows:
Fund | Market Value 12/31/19 (000) |
Purchases at Cost (000) |
Sales Proceeds (000) |
Market Value 3/31/20 (000) |
Dividend Income (000) |
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Government Money Market Portfolio | $ | 27 | $ | 992 | $ | 834 | $ | 185 | $ | 0 | ** | |||||||||
Government Money Market Portfolio* | 80 | 248 | 328 | -0- | 0 | ** | ||||||||||||||
Total | $ | 185 | $ | 0 | ** |
* | Investment of cash collateral for securities lending transactions. |
** | Amount is less than $500. |