-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, HLPA+l/FYd4n4aQ576fc6uuxSXBLSu+M7PWocuDwNAp184YpOkKG0Tmcc5cTjXO8 Sx7L+NaW3Bgri6aHhY6rQQ== 0000909226-05-000004.txt : 20050128 0000909226-05-000004.hdr.sgml : 20050128 20050128100133 ACCESSION NUMBER: 0000909226-05-000004 CONFORMED SUBMISSION TYPE: N-Q PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20041130 FILED AS OF DATE: 20050128 DATE AS OF CHANGE: 20050128 EFFECTIVENESS DATE: 20050128 FILER: COMPANY DATA: COMPANY CONFORMED NAME: TEMPLETON CHINA WORLD FUND CENTRAL INDEX KEY: 0000909226 IRS NUMBER: 593192206 STATE OF INCORPORATION: DE FISCAL YEAR END: 0831 FILING VALUES: FORM TYPE: N-Q SEC ACT: 1940 Act SEC FILE NUMBER: 811-07876 FILM NUMBER: 05555988 BUSINESS ADDRESS: STREET 1: BROWARD FINANCIAL CENTRE STREET 2: 500 EAST BROWARD BLVD SUITE 2100 CITY: FORT LAUDERDALE STATE: FL ZIP: 33394 BUSINESS PHONE: 9545277500 MAIL ADDRESS: STREET 1: BROWARD FINANCIAL CENTRE STREET 2: 500 EAST BROWARD BLVD SUITE 2100 CITY: FORT LAUDERDALE STATE: FL ZIP: 33394 FORMER COMPANY: FORMER CONFORMED NAME: TEMPLETON CHINA WORLD FUND INC DATE OF NAME CHANGE: 19930716 N-Q 1 tch-nq1104.txt TCH N-Q PE 11/30/04 FORM N-Q QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED MANAGEMENT INVESTMENT COMPANIES Investment Company Act file number 811-07876 --------- TEMPLETON CHINA WORLD FUND -------------------------------------------------- (Exact name of registrant as specified in charter) 500 EAST BROWARD BLVD., SUITE 2100, FORT LAUDERDALE, FL 33394-3091 -------------------------------------------------------------------- (Address of principal executive offices) (Zip code) MURRAY L. SIMPSON, ONE FRANKLIN PARKWAY, SAN MATEO, CA 94403-1906 ------------------------------------------------------------------- (Name and address of agent for service) Registrant's telephone number, including area code: (954) 527-7500 -------------- Date of fiscal year end: 08/31 ----- Date of reporting period: 11/30/04 -------- ITEM 1. SCHEDULE OF INVESTMENTS. TEMPLETON CHINA WORLD FUND QUARTERLY STATEMENT OF INVESTMENTS NOVEMBER 30, 2004 - -------------------------------------------------------------------------------- CONTENTS Templeton China World Fund ............................................... 2 Notes to Statement of Investments ........................................ 5 [LOGO](R) FRANKLIN(R) TEMPLETON(R) INVESTMENTS Franklin o TEMPLETON o Mutual Series Quarterly Statement of Investments | 1 TEMPLETON CHINA WORLD FUND STATEMENT OF INVESTMENTS, NOVEMBER 30, 2004 (UNAUDITED)
- ------------------------------------------------------------------------------------------------------------------------------------ COUNTRY SHARES VALUE - ------------------------------------------------------------------------------------------------------------------------------------ COMMON STOCKS 92.5% AUTO COMPONENTS 2.6% Cheng Shin Rubber Industry Co. Ltd. .................................. Taiwan 5,061,328 $ 6,285,412 Weifu High-Technology Co. Ltd., B .................................... China 598,916 477,549 ------------ 6,762,961 ------------ CAPITAL MARKETS 1.0% (a)Yuanta Core Pacific Securities Co. ................................... Taiwan 3,464,211 2,742,545 ------------ COMMERCIAL BANKS 8.5% Chinatrust Financial Holding Co. Ltd. ................................ Taiwan 2,407,655 2,750,751 HSBC Holdings PLC .................................................... United Kingdom 621,276 10,626,659 Mega Financial Holdings Co. Ltd. ..................................... Taiwan 11,941,000 7,785,191 Sinopac Holdings ..................................................... Taiwan 2,280,258 1,267,203 ------------ 22,429,804 ------------ COMMUNICATIONS EQUIPMENT 1.2% D-Link Corp. ......................................................... Taiwan 2,863,565 3,093,824 (a)TCL Communication Technology Holdings ................................ China 742,185 67,769 ------------ 3,161,593 ------------ COMPUTERS & PERIPHERALS 7.3% Acer Inc. ............................................................ Taiwan 6,208,454 9,483,264 Asustek Computer Inc. ................................................ Taiwan 1,102,062 2,549,010 Lenovo Group Ltd., H ................................................. China 4,226,789 1,467,692 Lite-on Technology Corp. ............................................. Taiwan 5,564,300 5,648,948 ------------ 19,148,914 ------------ CONSTRUCTION MATERIALS 1.0% Anhui Conch Cement Co. Ltd. .......................................... China 2,192,000 2,635,801 ------------ DISTRIBUTORS 4.2% China Resources Enterprise Ltd. ...................................... China 6,700,000 9,822,910 Test-Rite International Co. Ltd. ..................................... Taiwan 2,182,620 1,307,810 ------------ 11,130,720 ------------ DIVERSIFIED TELECOMMUNICATION SERVICES 1.6% China Telecom Corp. Ltd., H .......................................... China 11,773,833 4,353,276 ------------ ELECTRIC UTILITIES 8.0% Cheung Kong Infrastructure Holdings Ltd. ............................. Hong Kong 3,320,548 9,544,382 Datang International Power Generation Co. Ltd. ....................... China 9,620,320 7,732,680 Guangdong Electric Power Development Co Ltd., B ...................... China 3,610,763 1,950,333 Huadian Power International Corp. Ltd., H ............................ China 2,870,000 987,339 Huaneng Power International Inc., H .................................. China 1,218,776 971,798 ------------ 21,186,532 ------------ ELECTRICAL EQUIPMENT .2% Phoenixtec Power Co. Ltd. ............................................ Taiwan 454,055 511,711 ------------ ELECTRONIC EQUIPMENT & INSTRUMENTS 2.4% Delta Electronics Inc. ............................................... Taiwan 4,076,520 6,328,035 ------------ FOOD & STAPLES RETAILING 11.7% Dairy Farm International Holdings Ltd. ............................... Singapore 10,219,776 26,673,616 President Chain Store Corp. .......................................... Taiwan 2,844,088 4,238,318 ------------ 30,911,934 ------------
2 | Quarterly Statement of Investments TEMPLETON CHINA WORLD FUND STATEMENT OF INVESTMENTS, NOVEMBER 30, 2004 (UNAUDITED) (CONTINUED)
- ------------------------------------------------------------------------------------------------------------------------------------ COUNTRY SHARES VALUE - ------------------------------------------------------------------------------------------------------------------------------------ COMMON STOCKS (CONT.) FOOD PRODUCTS .9% Tingyi (Cayman Islands) Holding Corp. ..................................... China 962,827 $ 220,409 UNI-President Enterprises Corp. ........................................... Taiwan 4,347,950 2,146,303 ------------ 2,366,712 ------------ HOTELS RESTAURANTS & LEISURE 2.8% Hong Kong & Shanghai Hotels Ltd. .......................................... Hong Kong 7,892,757 7,409,896 ------------ HOUSEHOLD DURABLES .5% TCL International Holdings Inc. ........................................... China 5,052,000 1,413,133 Tsann Kuen Enterprise Co. Ltd. ............................................ Taiwan 31,000 32,242 ------------ 1,445,375 ------------ INDUSTRIAL CONGLOMERATES 2.3% Citic Pacific Ltd. ........................................................ China 860,092 2,439,012 Shanghai Industrial Holdings Ltd. ......................................... China 1,810,253 3,655,101 ------------ 6,094,113 ------------ MACHINERY 2.6% China International Marine Containers (Group) Co., B ...................... China 3,123,515 6,025,531 Yung Tay Engineering Co. Ltd. ............................................. Taiwan 1,410,000 757,311 ------------ 6,782,842 ------------ METALS & MINING .1% Aluminum Corp. of China Ltd., H ........................................... China 372,000 239,207 ------------ OFFICE ELECTRONICS .5% Kinpo Electronics ......................................................... Taiwan 2,897,760 1,241,512 ------------ OIL & GAS 9.0% China Petroleum & Chemical Corp., H ....................................... China 37,309,395 15,954,028 PetroChina Co. Ltd., H .................................................... China 13,601,903 7,653,115 ------------ 23,607,143 ------------ REAL ESTATE 9.3% Cheung Kong Holdings Ltd. ................................................. Hong Kong 1,360,690 13,124,445 Henderson China Holdings Ltd. ............................................. Hong Kong 5,581,684 2,835,456 Henderson Investment Ltd. ................................................. Hong Kong 2,888,756 4,309,524 Hong Kong Land Holdings Ltd. .............................................. Hong Kong 1,645,000 4,194,750 ------------ 24,464,175 ------------ SEMICONDUCTORS & SEMICONDUCTOR EQUIPMENT 3.8% Samsung Electronics Co. Ltd. .............................................. South Korea 5,510 2,283,352 Siliconware Precision Industries Co. Ltd. ................................. Taiwan 1,549,000 1,187,839 Sunplus Technology Co. Ltd. ............................................... Taiwan 1,683,660 2,352,210 Taiwan Semiconductor Manufacturing Co. .................................... Taiwan 2,886,000 4,238,057 ------------ 10,061,458 ------------ SPECIALTY RETAIL .3% Tack Fat Group International Ltd. ......................................... Hong Kong 6,352,000 669,861 ------------ TRANSPORTATION INFRASTRUCTURE 3.1% China Merchants Holdings (International) Co. Ltd. ......................... China 1,263,216 2,014,465 Cosco Pacific Ltd. ........................................................ Hong Kong 3,489,449 6,260,248 ------------ 8,274,713 ------------
Quarterly Statement of Investments | 3 TEMPLETON CHINA WORLD FUND STATEMENT OF INVESTMENTS, NOVEMBER 30, 2004 (UNAUDITED) (CONTINUED)
- ------------------------------------------------------------------------------------------------------------------------------------ COUNTRY SHARES VALUE - ------------------------------------------------------------------------------------------------------------------------------------ COMMON STOCKS (CONT.) WIRELESS TELECOMMUNICATION SERVICES 7.6% China Mobile (Hong Kong) Ltd. ............................................ China 5,322,770 $ 17,421,518 Taiwan Cellular Corp. .................................................... Taiwan 2,496,930 2,674,452 ------------ 20,095,970 ------------ TOTAL COMMON STOCKS (COST $165,374,376) .................................. 244,056,803 ------------ ---------------- PRINCIPAL AMOUNT ---------------- SHORT TERM INVESTMENTS (COST $19,234,915) 7.3% (b)U.S. Treasury Bills, 12/02/04 - 2/24/05 .................................. United States $19,301,000 19,232,357 ------------ TOTAL INVESTMENTS (COST $184,609,291) 99.8% .............................. 263,289,160 OTHER ASSETS, LESS LIABILITIES .2% ........................................ 437,640 ------------ NET ASSETS 100.0% ........................................................ $263,726,800 ============
(a) Non-income producing. (b) Security is traded on a discount basis with no stated coupon rate. 4 | See notes to financial statements. | Quarterly Statement of Investments TEMPLETON CHINA WORLD FUND NOTES TO STATEMENT OF INVESTMENTS (UNAUDITED) Templeton China World Fund (the Fund) is registered under the Investment Company Act of 1940 as an open-end, non-diversified investment company. 1. INCOME TAXES At November 30, 2004 the net unrealized appreciation (depreciation) based on the cost of investments for income tax purposes was as follows: Cost of investments .................................... $ 186,029,327 ------------- Unrealized appreciation ................................ $ 78,724,880 Unrealized depreciation ................................ (1,465,047) ------------- Net unrealized appreciation (depreciation) ............. $ 77,259,833 ============= For information on the Fund's policy regarding valuation of investments and other significant accounting policies, please refer to the Fund's most recent semiannual or annual shareholder report. Quarterly Statement of Investments | 5 ITEM 2. CONTROLS AND PROCEDURES. (a) EVALUATION OF DISCLOSURE CONTROLS AND PROCEDURES. The Registrant maintains disclosure controls and procedures that are designed to ensure that information required to be disclosed in the Registrant's filings under the Securities Exchange Act of 1934 and the Investment Company Act of 1940 is recorded, processed, summarized and reported within the periods specified in the rules and forms of the Securities and Exchange Commission. Such information is accumulated and communicated to the Registrant's management, including its principal executive officer and principal financial officer, as appropriate, to allow timely decisions regarding required disclosure. The Registrant's management, including the principal executive officer and the principal financial officer, recognizes that any set of controls and procedures, no matter how well designed and operated, can provide only reasonable assurance of achieving the desired control objectives. Within 90 days prior to the filing date of this Quarterly Schedule of Portfolio Holdings on Form N-Q, the Registrant had carried out an evaluation, under the supervision and with the participation of the Registrant's management, including the Registrant's principal executive officer and the Registrant's principal financial officer, of the effectiveness of the design and operation of the Registrant's disclosure controls and procedures. Based on such evaluation, the Registrant's principal executive officer and principal financial officer concluded that the Registrant's disclosure controls and procedures are effective. (b) CHANGES IN INTERNAL CONTROLS. There have been no significant changes in the Registrant's internal controls or in other factors that could significantly affect the internal controls subsequent to the date of their evaluation in connection with the preparation of this Quarterly Schedule of Portfolio Holdings on Form N-Q. ITEM 3. EXHIBITS. (a) Certifications pursuant to Section 30a-2 of the Investment Company Act of 1940 of Jimmy D. Gambill, Chief Executive Officer - Finance and Administration, and Galen G. Vetter, Chief Financial Officer. 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. TEMPLETON CHINA WORLD FUND By /s/JIMMY D. GAMBILL ----------------------- Jimmy D. Gambill Chief Executive Officer - Finance and Administration Date January 20, 2005 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/JIMMY D. GAMBILL ----------------------- Jimmy D. Gambill Chief Executive Officer - Finance and Administration Date January 20, 2005 By /s/GALEN G. VETTER ------------------------------ Galen G. Vetter Chief Financial Officer Date January 20, 2005 EX-99.CERT 2 ex31.txt CERTIFICATION LETTERS I, Galen G. Vetter, certify that: 1. I have reviewed this report on Form N-Q of Templeton China World 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 registrant's other certifying officer(s) 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 registrant's 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 registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and 5. The registrant's other certifying officer(s) and I have disclosed to the registrant's auditors and the audit committee of the registrant's board of directors (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 registrant's 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 registrant's internal control over financial reporting. January 20, 2005 S\GALEN G. VETTER Galen G. Vetter Chief Financial Officer I, Jimmy D. Gambill, certify that: 1. I have reviewed this report on Form N-Q of Templeton China World 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 registrant's other certifying officer(s) 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 registrant's 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 registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and 5. The registrant's other certifying officer(s) and I have disclosed to the registrant's auditors and the audit committee of the registrant's board of directors (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 registrant's 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 registrant's internal control over financial reporting. January 20, 2005 S\JIMMY D. GAMBILL Jimmy D. Gambill Chief Executive Officer - Finance and Administration -----END PRIVACY-ENHANCED MESSAGE-----