N-Q 1 a13-12590_1nq.htm N-Q

 

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

811-08510

 

 

Matthews International Funds

(Exact name of registrant as specified in charter)

 

Four Embarcadero Center, Suite 550

 

San Francisco, CA 94111

 

(Address of principal executive offices) (Zip code)

 

William J. Hackett, President

Four Embarcadero Center, Suite 550

 

San Francisco, CA 94111

 

(Name and address of agent for service)

 

 

Registrant’s telephone number, including area code:

 415-788-7553

 

 

 

Date of fiscal year end:

 December 31

 

 

 

 

Date of reporting period:

 March 31, 2013

 

 

 

Form N-Q is to be used by management investment companies, other than small business investment companies registered on Form N-5 (§§ 239.24 and 274.5 of this chapter), to file reports with the Commission, not later than 60 days after the close of the first and third fiscal quarters, pursuant to rule 30b1-5 under the Investment Company Act of 1940 (17 CFR 270.30b1-5). The Commission may use the information provided on Form N-Q in its regulatory, disclosure review, inspection, and policymaking roles.

 

A registrant is required to disclose the information specified by Form N-Q, and the Commission will make this information public. A registrant is not required to respond to the collection of information contained in Form N-Q unless the Form displays a currently valid Office of Management and Budget (“OMB”) control number. Please direct comments concerning the accuracy of the information collection burden estimate and any suggestions for reducing the burden to the Secretary, Securities and Exchange Commission, 100 F Street, NE, Washington, DC 20549. The OMB has reviewed this collection of information under the clearance requirements of 44 U.S.C. § 3507.

 



 

Item 1. Schedule of Investments.

 

The Schedule(s) of Investments is attached herewith.

 



 

Matthews Asia Strategic Income Fund

 

March 28, 2013

Schedule of Investments(a) (unaudited)

 

 

 

 

 

Face Amount *

 

Value

 

FOREIGN GOVERNMENT OBLIGATIONS: 30.5%

 

 

 

 

 

MALAYSIA: 7.0%

 

 

 

 

 

Malaysian Government Bond

 

 

 

 

 

4.160%, 07/15/21

 

MYR

5,000,000

 

$

1,688,221

 

Malaysian Government Bond

 

 

 

 

 

 

3.492%, 03/31/20

 

MYR

5,000,000

 

1,621,997

 

Malaysian Government Bond

 

 

 

 

 

 

3.580%, 09/28/18

 

MYR

1,000,000

 

327,857

 

Malaysia Investment Issue

 

 

 

 

 

 

3.309%, 08/30/17

 

MYR

1,000,000

 

322,666

 

Total Malaysia

 

 

 

 

3,960,741

 

 

 

 

 

 

 

 

SOUTH KOREA: 6.9%

 

 

 

 

 

 

Korea Treasury Bond

 

 

 

 

 

 

2.750%, 09/10/17

 

KRW

1,600,000,000

 

1,451,644

 

Korea Treasury Bond

 

 

 

 

 

 

3.500%, 09/10/16

 

KRW

1,000,000,000

 

928,406

 

Korea Treasury Bond

 

 

 

 

 

 

5.750%, 09/10/18

 

KRW

500,000,000

 

521,727

 

Korea Treasury Bond

 

 

 

 

 

 

3.250%, 12/10/14

 

KRW

500,000,000

 

455,034

 

Korea Treasury Bond

 

 

 

 

 

 

4.000%, 09/10/15

 

KRW

300,000,000

 

279,230

 

Korea Treasury Bond

 

 

 

 

 

 

3.250%, 06/10/15

 

KRW

300,000,000

 

274,124

 

Total South Korea

 

 

 

3,910,165

 

 

 

 

 

 

 

PHILIPPINES: 5.3%

 

 

 

 

 

Republic of Philippines

 

 

 

 

 

6.250%, 01/14/36

 

PHP

40,000,000

 

1,302,377

 

Republic of Philippines

 

 

 

 

 

 

3.900%, 11/26/22

 

PHP

45,000,000

 

1,201,911

 

Republic of Philippines

 

 

 

 

 

 

4.950%, 01/15/21

 

PHP

18,000,000

 

503,921

 

Total Philippines

 

 

 

 

3,008,209

 

 

 

 

 

 

 

 

THAILAND: 4.6%

 

 

 

 

 

 

Thailand Government Bond

 

 

 

 

 

 

3.125%, 12/11/15

 

THB

45,000,000

 

1,545,658

 

Thailand Government Bond

 

 

 

 

 

 

3.250%, 06/16/17

 

THB

30,000,000

 

1,032,563

 

Total Thailand

 

 

 

 

2,578,221

 

 

 

 

 

 

 

 

SRI LANKA: 3.7%

 

 

 

 

 

 

Sri Lanka Government Bond

 

 

 

 

 

 

8.500%, 06/01/18

 

LKR

200,000,000

 

1,403,629

 

Sri Lanka Government Bond

 

 

 

 

 

 

8.500%, 07/15/18

 

LKR

100,000,000

 

701,128

 

Total Sri Lanka

 

 

 

 

2,104,757

 

 

 

 

 

 

 

 

INDONESIA: 1.9%

 

 

 

 

 

 

Indonesia Government Bond

 

 

 

 

 

 

8.250%, 07/15/21

 

IDR

9,000,000,000

 

1,095,580

 

Total Indonesia

 

 

 

 

1,095,580

 

 

 

 

 

 

 

 

AUSTRALIA: 1.1%

 

 

 

 

 

 

Australian Government Bond

 

 

 

 

 

 

5.750%, 07/15/22

 

AUD

500,000

 

617,962

 

Total Australia

 

 

 

617,962

 

TOTAL FOREIGN GOVERNMENT OBLIGATIONS:

(Cost $16,796,867)

 

 

 

17,275,635

 

 

 

 

 

 

 

CORPORATE BONDS: 60.3%

 

 

 

 

 

CHINA/HONG KONG: 22.6%

 

 

 

 

 

Home Inns & Hotels Management, Inc.

 

 

 

 

 

2.000%, 12/15/15

 

2,300,000

 

2,042,688

 

KWG Property Holding, Ltd.

 

 

 

 

 

12.500%, 08/18/17

 

1,800,000

 

2,041,115

 

Longfor Properties Co., Ltd.

 

 

 

 

 

9.500%, 04/07/16

 

1,750,000

 

1,916,250

 

Galaxy Entertainment Group, Ltd.

 

 

 

 

 

4.625%, 12/16/13

 

CNY

7,470,000

 

1,211,498

 

FPT Finance, Ltd.

 

 

 

 

 

 

6.375%, 09/28/20

 

 

1,050,000

 

1,179,942

 

MCE Finance, Ltd.

 

 

 

 

 

 

5.000%, 02/15/21

 

 

1,000,000

 

1,010,000

 

Wharf Finance No. 1, Ltd.

 

 

 

 

 

 

4.500%, 07/20/21

 

SGD

1,250,000

 

1,043,432

 

Fita International, Ltd.

 

 

 

 

 

 

7.000%, 02/10/20

 

 

800,000

 

920,264

 

Wheelock Finance, Ltd.

 

 

 

 

 

 

4.500%, 09/02/21

 

SGD

750,000

 

625,383

 

Hutchison Whampoa International 11, Ltd.

 

 

 

 

 

 

4.625%, 01/13/22(b)

 

 

500,000

 

545,726

 

Beijing Enterprises Water Group, Ltd.

 

 

 

 

 

 

3.750%, 06/30/14

 

CNY

1,500,000

 

242,422

 

Total China/Hong Kong

 

 

 

 

12,778,720

 

 

 

 

 

 

 

 

SINGAPORE: 7.2%

 

 

 

 

 

 

Global Logistic Properties, Ltd.

 

 

 

 

 

 

3.375%, 05/11/16

 

CNY

12,500,000

 

2,012,640

 

United Overseas Bank, Ltd.

 

 

 

 

 

 

3.150%(c), 07/11/22

 

SGD

2,000,000

 

1,651,128

 

Oversea-Chinese Banking Corp., Ltd.

 

 

 

 

 

 

3.750%(c), 11/15/22

 

 

400,000

 

420,624

 

Total Singapore

 

 

 

 

4,084,392

 

 

 

 

 

 

 

 

AUSTRALIA: 6.9%

 

 

 

 

 

 

Macquarie Bank, Ltd.

 

 

 

 

 

 

6.625%, 04/07/21

 

 

1,100,000

 

1,229,880

 

SPI Electricity & Gas Australia Holdings Pty, Ltd.

 

 

 

 

 

 

5.750%, 06/28/22

 

AUD

1,000,000

 

1,064,797

 

Lend Lease Financial International, Ltd.

 

 

 

 

 

 

4.625%, 07/24/17

 

SGD

1,250,000

 

1,062,535

 

Crown Group Finance, Ltd.

 

 

 

 

 

 

5.750%, 07/18/17

 

AUD

500,000

 

532,630

 

Total Australia

 

 

 

3,889,842

 

 

 

 

 

 

 

INDIA: 5.5%

 

 

 

 

 

Axis Bank, Ltd.

 

 

 

 

 

7.250%(c), 08/12/21

 

1,000,000

 

1,056,063

 

ICICI Bank, Ltd.

 

 

 

 

 

6.375% (c), 04/30/22

 

1,000,000

 

1,027,500

 

Bank of Baroda

 

 

 

 

 

6.625%(c), 05/25/22

 

500,000

 

520,142

 

Bharti Airtel International Netherlands BV

 

 

 

 

 

5.125%, 03/11/23(b)

 

500,000

 

502,000

 

Total India

 

 

 

3,105,705

 

 



 

 

 

Face Amount *

 

Value

 

CORPORATE BONDS: (continued)

 

 

 

 

 

PHILIPPINES: 5.1%

 

 

 

 

 

International Container Terminal Services, Inc.

 

 

 

 

 

7.375%, 03/17/20

 

1,000,000

 

$

1,189,710

 

Alliance Global Group, Inc.

 

 

 

 

 

6.500%, 08/18/17

 

1,050,000

 

1,151,000

 

SM Investments Corp.

 

 

 

 

 

5.500%, 10/13/17

 

500,000

 

531,150

 

Total Philippines

 

 

 

2,871,860

 

 

 

 

 

 

 

INDONESIA: 4.9%

 

 

 

 

 

Theta Capital Pte., Ltd.

 

 

 

 

 

7.000%, 05/16/19

 

1,000,000

 

1,080,250

 

TBG Global Pte, Ltd.

 

 

 

 

 

4.625%, 04/03/18(b)

 

1,000,000

 

1,002,500

 

Alam Synergy Pte, Ltd.

 

 

 

 

 

6.950%, 03/27/20(b)

 

700,000

 

710,500

 

Total Indonesia

 

 

 

2,793,250

 

 

 

 

 

 

 

MALAYSIA: 3.1%

 

 

 

 

 

Malayan Banking BHD

 

 

 

 

 

3.250%(c), 09/20/22

 

1,000,000

 

1,008,772

 

Axiata SPV1 Labuan, Ltd.

 

 

 

 

 

5.375%, 04/28/20

 

650,000

 

737,199

 

Total Malaysia

 

 

 

1,745,971

 

 

 

 

 

 

 

UNITED KINGDOM: 2.9%

 

 

 

 

 

Jaguar Land Rover Automotive PLC

 

 

 

 

 

7.750%, 05/15/18(b)

 

500,000

 

546,250

 

Jaguar Land Rover PLC, Reg S

 

 

 

 

 

7.750%, 05/15/18

 

500,000

 

546,250

 

Jaguar Land Rover Automotive PLC

 

 

 

 

 

5.625%, 02/01/23(b)

 

500,000

 

519,375

 

Total United Kingdom

 

 

 

1,611,875

 

 

 

 

 

 

 

THAILAND: 1.7%

 

 

 

 

 

Bangkok Bank Public Co., Ltd.

 

 

 

 

 

9.025%, 03/15/29

 

500,000

 

687,500

 

PTTEP Canada International Finance, Ltd.

 

 

 

 

 

5.692%, 04/05/21(b)

 

250,000

 

287,784

 

Total Thailand

 

 

 

975,284

 

 

 

 

 

 

 

JAPAN: 0.4%

 

 

 

 

 

ORIX Corp. 4.000%, 11/29/14

 

CNY

1,500,000

 

244,031

 

Total Japan

 

 

 

244,031

 

TOTAL CORPORATE BONDS

(Cost $33,274,506)

 

 

 

34,100,930

 

 

 

 

Shares

 

 

 

COMMON EQUITIES: 9.2%

 

 

 

 

 

THAILAND: 2.3%

 

 

 

 

 

Advanced Info Service Public Co., Ltd.

 

60,000

 

484,738

 

Kasikornbank Public Co., Ltd.

 

60,000

 

427,578

 

PTT Exploration & Production Public Co., Ltd.

 

75,000

 

381,748

 

Total Thailand

 

 

 

1,294,064

 

 

 

 

 

 

 

SINGAPORE: 2.0%

 

 

 

 

 

StarHub, Ltd.

 

140,000

 

492,156

 

Ascendas REIT

 

170,000

 

357,219

 

Mapletree Logistics Trust, REIT

 

320,000

 

313,699

 

Total Singapore

 

 

 

1,163,074

 

 

 

 

 

 

 

CHINA/HONG KONG: 1.5%

 

 

 

 

 

HSBC Holdings PLC

 

40,000

 

429,591

 

Kunlun Energy Co., Ltd.

 

200,000

 

426,102

 

Total China/Hong Kong

 

 

 

855,693

 

 

 

 

 

 

 

PHILIPPINES: 1.0%

 

 

 

 

 

Alliance Global Group, Inc.

 

1,060,000

 

549,579

 

Total Philippines

 

 

 

549,579

 

 

 

 

 

 

 

JAPAN: 0.9%

 

 

 

 

 

GLP J-REIT

 

480

 

515,515

 

Total Japan

 

 

 

515,515

 

 

 

 

 

 

 

MALAYSIA: 0.8%

 

 

 

 

 

Axiata Group BHD

 

200,000

 

428,055

 

Total Malaysia

 

 

 

428,055

 

 

 

 

 

 

 

AUSTRALIA: 0.7%

 

 

 

 

 

Telstra Corp., Ltd.

 

80,000

 

376,167

 

Total Australia

 

 

 

376,167

 

TOTAL COMMON EQUITIES

(Cost $4,233,246)

 

 

 

5,182,147

 

 

 

 

 

 

 

TOTAL INVESTMENTS: 100.0%

(Cost $54,304,619(d))

 

 

 

56,558,712

 

 

 

 

 

 

 

CASH AND OTHER ASSETS, LESS LIABILITIES : 0.0%

 

 

 

26,178

 

 

 

 

 

 

 

NET ASSETS: 100.0%

 

 

 

$

56,584,890

 

 



 


(a)

Certain securities were fair valued under the discretion of the Board of Trustees (Note A).

(b)

Security exempt from registration under Rule 144A of the Securities Act of 1933, as amended. The security may be resold in transactions exempt from registration normally to qualified institutional buyers. The security has been determined to be liquid in accordance with procedures adopted by the Fund’s Board of Directors.

(c)

Variable rate security. The rate represents the rate in effect at March 28, 2013.

(d)

Cost for federal income tax purposes is $54,304,619 and net unrealized appreciation consists of:

 

 

 

 

 

 

 

Gross unrealized appreciation

 

$

2,493,673

 

 

 

Gross unrealized depreciation

 

(239,580

)

 

 

Net unrealized appreciation

 

$

2,254,093

 

 

 

 

*

All values are in USD values unless otherwise noted.

AUD

Australian Dollar

CNY

Chinese Renminbi (Yuan)

IDR

Indonesian Rupiah

KRW

Korean Won

LKR

Sri Lankan Rupee

MYR

Malaysian Ringgit

PHP

Philippine Peso

REIT

Real Estate Investment Trust

SGD

Singapore Dollar

THB

Thai Baht

USD

U.S. Dollar

 

FORWARD FOREIGN CURRENCY EXCHANGE CONTRACTS:

 

 

Currency
Purchased

 

Currency 
Sold

 

Counterparty

 

Settlement 
Date

 

Unrealized 
Appreciation 
(Depreciation)

 

LONG

 

 

 

 

 

 

 

 

 

 

 

 

 

 

CNY

1,259,800

 

USD

 

200,000

 

Deutsche Banc Alex Brown, Inc.

 

04/11/13

 

$

719

 

 

IDR

1,987,200,000

 

USD

 

200,000

 

Deutsche Banc Alex Brown, Inc.

 

04/11/13

 

3,808

 

 

INR

11,172,000

 

USD

 

200,000

 

Deutsche Banc Alex Brown, Inc.

 

04/12/13

 

4,421

 

 

 

 

 

 

 

 

 

 

 

 

 

$

8,948

 

SHORT

 

 

 

 

 

 

 

 

 

 

 

 

 

 

USD

370,000

 

JPY

 

32,537,060

 

Brown Brothers Harriman

 

04/11/13

 

$

24,326

 

 

USD

200,000

 

PHP

 

8,138,000

 

Deutsche Banc Alex Brown, Inc.

 

04/11/13

 

666

 

 

USD

200,000

 

THB

 

6,112,000

 

Deutsche Banc Alex Brown, Inc.

 

04/11/13

 

(8,523

)

 

USD

200,000

 

TWD

 

5,786,000

 

Deutsche Banc Alex Brown, Inc.

 

04/11/13

 

6,530

 

 

 

 

 

 

 

 

 

 

 

 

 

$

22,999

 

 

FINANCIAL FUTURES CONTRACTS SOLD AS OF MARCH 28, 2013 WERE AS FOLLOWS:

 

Contracts

 

Issue

 

Exchange

 

Expiration

 

Notional Value

 

Unrealized 
Depreciation

 

10

 

U.S. Treasury Notes (10 Year)

 

Chicago Board of Trade

 

June, 2013

 

$

1,319,844

 

$

(12,163

)

 

See accompanying notes to schedules of investments.

 



 

Matthews Asian Growth and Income Fund

 

March 28, 2013

Schedule of Investments(a) (unaudited)

 

 

 

 

 

Shares

 

Value

 

COMMON EQUITIES: 83.3%

 

 

 

 

 

CHINA/HONG KONG: 22.0%

 

 

 

 

 

AIA Group, Ltd.

 

29,573,600

 

$

130,027,068

 

HSBC Holdings PLC ADR

 

2,230,333

 

118,965,962

 

Jardine Matheson Holdings, Ltd.

 

1,792,400

 

116,874,725

 

CLP Holdings, Ltd.

 

11,771,700

 

103,195,092

 

Hang Lung Properties, Ltd.

 

24,970,920

 

93,487,582

 

China Mobile, Ltd. ADR

 

1,555,700

 

82,654,341

 

VTech Holdings, Ltd.

 

5,879,800

 

71,844,912

 

Television Broadcasts, Ltd.

 

9,406,500

 

71,358,075

 

China Pacific Insurance Group Co., Ltd. H Shares

 

20,355,800

 

67,230,727

 

Vitasoy International Holdings, Ltd.†

 

51,771,000

 

58,371,822

 

Cafe’ de Coral Holdings, Ltd.

 

18,352,000

 

55,977,651

 

Citic Telecom International Holdings, Ltd.†

 

139,126,000

 

51,910,198

 

Total China/Hong Kong

 

 

 

1,021,898,155

 

 

 

 

 

 

 

SINGAPORE: 14.4%

 

 

 

 

 

Singapore Technologies Engineering, Ltd.

 

52,104,125

 

181,521,513

 

Keppel Corp., Ltd.

 

12,825,900

 

116,184,837

 

Ascendas REIT

 

53,925,000

 

113,312,104

 

United Overseas Bank, Ltd.

 

6,487,000

 

106,944,378

 

SIA Engineering Co., Ltd.

 

16,177,000

 

61,910,377

 

ARA Asset Management, Ltd.

 

31,219,210

 

48,413,926

 

Singapore Post, Ltd.

 

38,209,000

 

38,373,622

 

Total Singapore

 

 

 

666,660,757

 

 

 

 

 

 

 

JAPAN: 9.1%

 

 

 

 

 

Japan Real Estate Investment Corp., REIT

 

7,889

 

109,310,270

 

Hisamitsu Pharmaceutical Co., Inc.

 

1,983,600

 

107,455,549

 

Japan Tobacco, Inc.

 

3,264,600

 

104,426,448

 

Lawson, Inc.

 

1,333,600

 

102,396,074

 

Total Japan

 

 

 

423,588,341

 

 

 

 

 

 

 

AUSTRALIA: 8.4%

 

 

 

 

 

Orica, Ltd.

 

4,143,092

 

105,906,512

 

Coca-Cola Amatil, Ltd.

 

6,708,992

 

102,014,710

 

Telstra Corp., Ltd.

 

16,073,997

 

75,581,367

 

CSL, Ltd.

 

1,044,381

 

64,554,604

 

Macquarie Group, Ltd.

 

1,092,056

 

42,482,749

 

Total Australia

 

 

 

390,539,942

 

 

 

 

 

 

 

THAILAND: 6.9%

 

 

 

 

 

PTT Public Co., Ltd.

 

8,719,200

 

96,721,516

 

BEC World Public Co., Ltd.

 

30,807,800

 

67,516,603

 

Land & Houses Public Co., Ltd. NVDR

 

145,090,300

 

63,611,214

 

Glow Energy Public Co., Ltd.

 

21,887,400

 

55,493,920

 

Banpu Public Co., Ltd.

 

3,045,850

 

39,316,274

 

Total Thailand

 

 

 

322,659,527

 

 

 

 

 

 

 

MALAYSIA: 5.9%

 

 

 

 

 

AMMB Holdings BHD

 

46,718,300

 

98,671,946

 

Genting Malaysia BHD

 

65,690,600

 

77,981,541

 

Axiata Group BHD

 

29,634,423

 

63,425,752

 

Telekom Malaysia BHD

 

20,245,551

 

35,240,924

 

Total Malaysia

 

 

 

275,320,163

 

 

 

 

 

 

 

SOUTH KOREA: 3.7%

 

 

 

 

 

KT&G Corp.

 

1,104,197

 

74,929,780

 

GS Home Shopping, Inc.

 

298,935

 

52,580,028

 

S1 Corp.

 

771,922

 

43,192,122

 

Total South Korea

 

 

 

170,701,930

 

 

 

 

 

 

 

TAIWAN: 3.7%

 

 

 

 

 

Taiwan Semiconductor Manufacturing Co., Ltd.

 

20,673,187

 

69,239,797

 

Taiwan Semiconductor Manufacturing Co., Ltd. ADR

 

3,558,724

 

61,174,466

 

Chunghwa Telecom Co., Ltd. ADR

 

1,277,525

 

39,731,028

 

Total Taiwan

 

 

 

170,145,291

 

 

 

 

 

 

 

INDONESIA: 3.6%

 

 

 

 

 

PT Perusahaan Gas Negara Persero

 

159,343,000

 

97,784,310

 

PT Telekomunikasi Indonesia Persero ADR

 

1,544,000

 

69,603,520

 

Total Indonesia

 

 

 

167,387,830

 

 

 

 

 

 

 

UNITED KINGDOM: 1.6%

 

 

 

 

 

BHP Billiton PLC

 

2,588,378

 

75,378,369

 

Total United Kingdom

 

 

 

75,378,369

 

 

 

 

 

 

 

INDIA: 1.6%

 

 

 

 

 

Housing Development Finance Corp.

 

4,926,603

 

75,067,280

 

Total India

 

 

 

75,067,280

 

 

 

 

 

 

 

PHILIPPINES: 1.3%

 

 

 

 

 

Globe Telecom, Inc.

 

2,065,510

 

60,735,408

 

Total Philippines

 

 

 

60,735,408

 

 

 

 

 

 

 

VIETNAM: 1.1%

 

 

 

 

 

Vietnam Dairy Products JSC

 

9,093,802

 

49,841,704

 

Total Vietnam

 

 

 

49,841,704

 

TOTAL COMMON EQUITIES

(Cost $2,966,179,726)

 

 

 

3,869,924,697

 

 

 

 

 

 

 

PREFERRED EQUITIES: 3.0%

 

 

 

 

 

SOUTH KOREA: 3.0%

 

 

 

 

 

Hyundai Motor Co., Ltd., Pfd.

 

673,649

 

48,023,070

 

Samsung Fire & Marine Insurance Co., Ltd., Pfd.

 

515,311

 

37,859,384

 

Hyundai Motor Co., Ltd., 2nd Pfd.

 

447,375

 

34,331,679

 

LG Household & Health Care, Ltd., Pfd.

 

121,855

 

19,439,153

 

Total South Korea

 

 

 

139,653,286

 

TOTAL PREFERRED EQUITIES

(Cost $67,079,020)

 

 

 

139,653,286

 

 

 

 

Face Amount *

 

 

 

CORPORATE BONDS: 11.1%

 

 

 

 

 

CHINA/HONG KONG: 5.5%

 

 

 

 

 

China Petroleum & Chemical Corp. (Sinopec), Cnv.

 

 

 

 

 

0.000%, 04/24/14

 

HKD

676,210,000

 

104,403,538

 

Hong Kong Exchanges and Clearing, Ltd., Cnv.

 

 

 

 

 

0.500%, 10/23/17

 

82,400,000

 

89,548,200

 

Power Regal Group, Ltd., Cnv.

 

 

 

 

 

2.250%, 06/02/14

 

HKD

234,020,000

 

41,196,299

 

PB Issuer No. 2, Ltd., Cnv.

 

 

 

 

 

1.750%, 04/12/16

 

21,820,000

 

22,060,020

 

Total China/Hong Kong

 

 

 

257,208,057

 

 



 

 

 

Face Amount *

 

Value

 

CORPORATE BONDS: (continued)

 

 

 

 

 

INDIA: 2.2%

 

 

 

 

 

Tata Power Co., Ltd., Cnv.

 

 

 

 

 

1.750%, 11/21/14

 

56,200,000

 

$

59,122,400

 

Larsen & Toubro, Ltd., Cnv.

 

 

 

 

 

3.500%, 10/22/14

 

41,200,000

 

42,374,200

 

Total India

 

 

 

101,496,600

 

 

 

 

 

 

 

SINGAPORE: 1.9%

 

 

 

 

 

CapitaLand, Ltd., Cnv.

 

 

 

 

 

3.125%, 03/05/18

 

SGD

62,000,000

 

54,184,706

 

CapitaLand, Ltd., Cnv.

 

 

 

 

 

 

2.875%, 09/03/16

 

SGD

41,750,000

 

35,544,806

 

Total Singapore

 

 

 

89,729,512

 

 

 

 

 

 

 

AUSTRALIA: 1.5%

 

 

 

 

 

QBE Funding Trust, Cnv.

 

 

 

 

 

0.000%, 05/12/30

 

104,571,000

 

68,389,434

 

Total Australia

 

 

 

68,389,434

 

TOTAL CORPORATE BONDS

(Cost $502,604,983)

 

 

 

516,823,603

 

 

 

 

 

 

 

TOTAL INVESTMENTS: 97.4%

(Cost $3,535,863,729(b))

 

 

 

4,526,401,586

 

 

 

 

 

 

 

CASH AND OTHER ASSETS, LESS LIABILITIES : 2.6%

 

 

 

121,192,950

 

 

 

 

 

 

 

NET ASSETS: 100.0%

 

 

 

$

4,647,594,536

 

 


(a)

Certain securities were fair valued under the discretion of the Board of Trustees (Note A).

(b)

Cost for federal income tax purposes is $3,538,721,720 and net unrealized appreciation consists of:

 

 

 

Gross unrealized appreciation

 

$

1,042,489,801

 

 

 

Gross unrealized depreciation

 

(54,809,935

)

 

 

Net unrealized appreciation

 

$

987,679,866

 

 

 

 

Affiliated Issuer, as defined under the Investment Company Act of 1940 (ownership of 5% or more of the outstanding voting securities of this issuer)

*

All values are in USD unless otherwise noted.

ADR

American Depositary Receipt

BHD

Berhad

Cnv.

Convertible

HKD

Hong Kong Dollar

JSC

Joint Stock Co.

NVDR

Non-voting Depositary Receipt

Pfd.

Preferred

REIT

Real Estate Investment Trust

SGD

Singapore Dollar

USD

U.S. Dollar

 

See accompanying notes to schedules of investments.

 


 


 

Matthews Asia Dividend Fund

 

March 28, 2013

Schedule of Investments(a) (unaudited)

 

 

 

 

 

Shares

 

Value

 

COMMON EQUITIES: 95.4%

 

 

 

 

 

CHINA/HONG KONG: 32.1%

 

 

 

 

 

HSBC Holdings PLC ADR

 

3,149,791

 

$

168,009,852

 

China Mobile, Ltd. ADR

 

3,136,800

 

166,658,184

 

China Shenhua Energy Co., Ltd. H Shares

 

32,091,500

 

117,090,478

 

Television Broadcasts, Ltd.

 

15,411,200

 

116,909,962

 

Shenzhou International Group Holdings, Ltd.

 

37,691,000

 

106,101,242

 

Cheung Kong Holdings, Ltd.

 

6,780,000

 

100,440,685

 

Yum! Brands, Inc.

 

1,387,000

 

99,780,780

 

Minth Group, Ltd.†

 

59,807,000

 

88,309,126

 

Dongfeng Motor Group Co., Ltd. H Shares

 

62,300,000

 

87,819,593

 

Cheung Kong Infrastructure Holdings, Ltd.

 

12,768,000

 

87,740,695

 

Jiangsu Expressway Co., Ltd. H Shares†

 

72,604,000

 

72,797,404

 

Guangdong Investment, Ltd.

 

68,798,000

 

60,497,952

 

Haitian International Holdings, Ltd.

 

37,823,000

 

58,859,761

 

The Link REIT

 

10,220,000

 

55,740,623

 

Yuexiu Transport Infrastructure, Ltd.†

 

100,158,000

 

52,445,449

 

Cafe’ de Coral Holdings, Ltd.

 

16,750,000

 

51,091,197

 

Xingda International Holdings, Ltd. H Shares†

 

118,164,000

 

39,077,805

 

Sichuan Expressway Co., Ltd. H Shares

 

22,388,000

 

7,251,159

 

Total China/Hong Kong

 

 

 

1,536,621,947

 

 

 

 

 

 

 

JAPAN: 19.1%

 

 

 

 

 

ORIX Corp.

 

16,027,200

 

204,634,756

 

ITOCHU Corp.

 

15,604,800

 

191,741,525

 

Japan Tobacco, Inc.

 

5,406,400

 

172,937,313

 

Pigeon Corp.†

 

1,501,800

 

105,316,079

 

NTT DoCoMo, Inc.

 

44,250

 

65,780,623

 

Lawson, Inc.

 

815,100

 

62,584,763

 

Miraca Holdings, Inc.

 

1,114,200

 

53,546,764

 

EPS Corp.†

 

29,184

 

43,308,783

 

Shinko Plantech Co., Ltd.

 

1,962,600

 

15,879,139

 

Total Japan

 

 

 

915,729,745

 

 

 

 

 

 

 

SINGAPORE: 10.6%

 

 

 

 

 

Ascendas REIT

 

51,925,000

 

109,109,523

 

Singapore Technologies Engineering, Ltd.

 

30,906,000

 

107,671,012

 

United Overseas Bank, Ltd.

 

5,299,000

 

87,359,066

 

CapitaRetail China Trust, REIT†

 

47,540,000

 

67,114,821

 

ARA Asset Management, Ltd.

 

29,964,660

 

46,468,403

 

Super Group, Ltd.

 

14,023,000

 

44,155,953

 

Ascendas India Trust†

 

55,065,000

 

36,682,493

 

Sheng Siong Group, Ltd.

 

13,500,000

 

7,143,610

 

Total Singapore

 

 

 

505,704,881

 

 

 

 

 

 

 

AUSTRALIA: 9.3%

 

 

 

 

 

QBE Insurance Group, Ltd.

 

7,429,726

 

105,037,316

 

Metcash, Ltd.

 

20,917,446

 

90,396,906

 

Coca-Cola Amatil, Ltd.

 

5,285,090

 

80,363,328

 

Primary Health Care, Ltd.

 

13,541,361

 

70,126,981

 

Ansell, Ltd.

 

3,118,370

 

52,314,350

 

David Jones, Ltd.

 

14,887,739

 

46,467,728

 

Total Australia

 

 

 

444,706,609

 

 

 

 

 

 

 

TAIWAN: 7.2%

 

 

 

 

 

Chunghwa Telecom Co., Ltd. ADR

 

3,566,301

 

110,911,961

 

Taiwan Semiconductor Manufacturing Co., Ltd. ADR

 

4,005,040

 

68,846,638

 

Johnson Health Tech Co., Ltd.†

 

16,929,890

 

47,027,851

 

St. Shine Optical Co., Ltd.

 

1,911,000

 

37,378,912

 

TXC Corp.†

 

21,549,524

 

32,604,545

 

Taiwan Hon Chuan Enterprise Co., Ltd.

 

12,151,948

 

31,468,311

 

Taiwan Semiconductor Manufacturing Co., Ltd.

 

4,646,469

 

15,562,214

 

Total Taiwan

 

 

 

343,800,432

 

 

 

 

 

 

 

INDONESIA: 6.5%

 

 

 

 

 

PT Indofood Sukses Makmur

 

128,052,000

 

98,309,003

 

PT Perusahaan Gas Negara Persero

 

142,302,000

 

87,326,728

 

PT United Tractors

 

43,101,500

 

81,177,270

 

PT Telekomunikasi Indonesia Persero ADR

 

717,634

 

32,350,941

 

PT Telekomunikasi Indonesia Persero

 

9,036,500

 

10,256,069

 

Total Indonesia

 

 

 

309,420,011

 

 

 

 

 

 

 

THAILAND: 4.3%

 

 

 

 

 

Thai Beverage Public Co., Ltd.

 

184,213,000

 

90,715,342

 

PTT Exploration & Production Public Co., Ltd.

 

12,119,260

 

61,686,670

 

Tisco Financial Group Public Co., Ltd.

 

28,100,000

 

53,147,180

 

Total Thailand

 

 

 

205,549,192

 

 

 

 

 

 

 

MALAYSIA: 2.1%

 

 

 

 

 

AMMB Holdings BHD

 

45,950,000

 

97,049,249

 

Pavilion REIT

 

8,467,500

 

4,378,845

 

Total Malaysia

 

 

 

101,428,094

 

 

 

 

 

 

 

SOUTH KOREA: 2.0%

 

 

 

 

 

KT&G Corp.

 

1,214,000

 

82,380,910

 

MegaStudy Co., Ltd.

 

232,984

 

14,954,332

 

Total South Korea

 

 

 

97,335,242

 

 

 

 

 

 

 

INDIA: 1.1%

 

 

 

 

 

Tata Motors, Ltd. DVR A Shares

 

19,410,000

 

54,745,047

 

Total India

 

 

 

54,745,047

 

 

 

 

 

 

 

PHILIPPINES: 1.1%

 

 

 

 

 

Globe Telecom, Inc.

 

1,703,820

 

50,100,073

 

Total Philippines

 

 

 

50,100,073

 

TOTAL COMMON EQUITIES

(Cost $3,740,248,276)

 

 

 

4,565,141,273

 

 

 

 

 

 

 

PREFERRED EQUITIES: 1.5%

 

 

 

 

 

SOUTH KOREA: 1.5%

 

 

 

 

 

LG Chem, Ltd., Pfd.

 

876,255

 

70,621,517

 

Total South Korea

 

 

 

70,621,517

 

TOTAL PREFERRED EQUITIES

(Cost $77,717,476)

 

 

 

70,621,517

 

 

 

 

 

 

 

Total Investments: 96.9%

(Cost $3,817,965,752(b))

 

 

 

4,635,762,790

 

 

 

 

 

 

 

CASH AND OTHER ASSETS, LESS LIABILITIES : 3.1%

 

 

 

150,259,230

 

 

 

 

 

 

 

 

NET ASSETS: 100.0%

 

 

 

$

4,786,022,020

 

 



 


(a)

Certain securities were fair valued under the discretion of the Board of Trustees (Note A).

(b)

Cost for federal income tax purposes is $3,818,539,906 and net unrealized appreciation consists of:

 

 

 

Gross unrealized appreciation

 

$

921,192,846

 

 

 

Gross unrealized depreciation

 

(103,969,962

)

 

 

Net unrealized appreciation

 

$

817,222,884

 

 

 

 

 

 

 

 

Affiliated Issuer, as defined under the Investment Company Act of 1940 (ownership of 5% or more of the outstanding voting securities of this issuer)

ADR

American Depositary Receipt

BHD

Berhad

DVR

Differential Voting Right

Pfd.

Preferred

REIT

Real Estate Investment Trust

 

See accompanying notes to schedules of investments.

 



 

Matthews China Dividend Fund

 

March 28, 2013

Schedule of Investments(a) (unaudited)

 

 

 

 

 

Shares

 

Value

 

COMMON EQUITIES: 99.4%

 

 

 

 

 

CONSUMER DISCRETIONARY: 30.8%

 

 

 

 

 

Hotels, Restaurants & Leisure: 9.1%

 

 

 

 

 

Yum! Brands, Inc.

 

51,300

 

$

3,690,522

 

Shanghai Jinjiang International Hotels Development Co., Ltd. B Shares

 

2,244,510

 

3,606,384

 

Cafe’ de Coral Holdings, Ltd.

 

916,000

 

2,794,002

 

 

 

 

 

10,090,908

 

Auto Components: 5.6%

 

 

 

 

 

Minth Group, Ltd.

 

2,858,000

 

4,220,032

 

Xingda International Holdings, Ltd. H Shares

 

5,888,000

 

1,947,210

 

 

 

 

 

6,167,242

 

Automobiles: 3.7%

 

 

 

 

 

Dongfeng Motor Group Co., Ltd. H Shares

 

2,952,000

 

4,161,211

 

 

 

 

 

 

 

Media: 3.6%

 

 

 

 

 

Television Broadcasts, Ltd.

 

527,700

 

4,003,153

 

 

 

 

 

 

 

Textiles, Apparel & Luxury Goods: 3.1%

 

 

 

 

 

Shenzhou International Group Holdings, Ltd.

 

1,225,000

 

3,448,410

 

 

 

 

 

 

 

Multiline Retail: 3.1%

 

 

 

 

 

Springland International Holdings, Ltd.

 

6,772,000

 

3,424,555

 

 

 

 

 

 

 

Leisure Equipment & Products: 2.6%

 

 

 

 

 

Johnson Health Tech Co., Ltd.

 

1,033,132

 

2,869,834

 

Total Consumer Discretionary

 

 

 

34,165,313

 

 

 

 

 

 

 

FINANCIALS: 16.9%

 

 

 

 

 

Real Estate Investment Trusts: 8.9%

 

 

 

 

 

Yuexiu, REIT

 

7,118,000

 

4,050,939

 

CapitaRetail China Trust, REIT

 

2,829,000

 

3,993,854

 

The Link REIT

 

331,500

 

1,808,025

 

 

 

 

 

9,852,818

 

Real Estate Management & Development: 4.4%

 

 

 

 

 

Cheung Kong Holdings, Ltd.

 

181,000

 

2,681,381

 

E-House China Holdings, Ltd. ADS

 

231,500

 

1,076,475

 

Swire Pacific, Ltd. A Shares

 

82,500

 

1,053,912

 

 

 

 

 

4,811,768

 

Commercial Banks: 3.6%

 

 

 

 

 

HSBC Holdings PLC ADR

 

75,300

 

4,016,502

 

Total Financials

 

 

 

18,681,088

 

 

 

 

 

 

 

INDUSTRIALS: 14.0%

 

 

 

 

 

Transportation Infrastructure: 7.3%

 

 

 

 

 

China Merchants Holdings International Co., Ltd.

 

862,000

 

2,839,096

 

Jiangsu Expressway Co., Ltd. H Shares

 

2,678,000

 

2,685,134

 

Yuexiu Transport Infrastructure, Ltd.

 

4,874,000

 

2,552,159

 

 

 

 

 

8,076,389

 

Machinery: 4.1%

 

 

 

 

 

Haitian International Holdings, Ltd.

 

2,911,000

 

4,530,068

 

 

 

 

 

 

 

Air Freight & Logistics: 2.6%

 

 

 

 

 

Shenzhen Chiwan Petroleum B Shares

 

1,645,789

 

2,919,831

 

Total Industrials

 

 

 

15,526,288

 

 

 

 

 

 

 

HEALTH CARE: 8.4%

 

 

 

 

 

Health Care Equipment & Supplies: 5.9%

 

 

 

 

 

Pacific Hospital Supply Co., Ltd.

 

1,225,000

 

3,769,373

 

St. Shine Optical Co., Ltd.

 

139,811

 

2,734,685

 

 

 

 

 

6,504,058

 

Pharmaceuticals: 2.5%

 

 

 

 

 

Tianjin ZhongXin Pharmaceutical Group Corp., Ltd.S Shares

 

2,599,000

 

2,800,463

 

Total Health Care

 

 

 

9,304,521

 

 

 

 

 

 

 

ENERGY: 8.4%

 

 

 

 

 

Oil, Gas & Consumable Fuels: 8.4%

 

 

 

 

 

China Shenhua Energy Co., Ltd. H Shares

 

1,081,000

 

3,944,185

 

China Petroleum & Chemical Corp. ADR

 

27,940

 

3,266,745

 

CNOOC, Ltd. ADR

 

10,650

 

2,039,475

 

Total Energy

 

 

 

9,250,405

 

 

 

 

 

 

 

TELECOMMUNICATION SERVICES: 6.4%

 

 

 

 

 

Wireless Telecommunication Services: 3.4%

 

 

 

 

 

China Mobile, Ltd. ADR

 

70,830

 

3,763,198

 

 

 

 

 

 

 

Diversified Telecommunication Services: 3.0%

 

 

 

 

 

Chunghwa Telecom Co., Ltd. ADR

 

107,304

 

3,337,154

 

Total Telecommunication Services

 

 

 

7,100,352

 

 

 

 

 

 

 

CONSUMER STAPLES: 6.1%

 

 

 

 

 

Beverages: 3.6%

 

 

 

 

 

Yantai Changyu Pioneer Wine Co., Ltd. B Shares

 

889,160

 

3,935,768

 

 

 

 

 

 

 

Food Products: 2.5%

 

 

 

 

 

Vitasoy International Holdings, Ltd.

 

2,494,000

 

2,811,986

 

Total Consumer Staples

 

 

 

6,747,754

 

 

 

 

 

 

 

UTILITIES: 4.7%

 

 

 

 

 

Water Utilities: 2.9%

 

 

 

 

 

Guangdong Investment, Ltd.

 

3,696,000

 

3,250,101

 

 

 

 

 

 

 

Electric Utilities: 1.8%

 

 

 

 

 

Cheung Kong Infrastructure Holdings, Ltd.

 

282,000

 

1,937,882

 

Total Utilities

 

 

 

5,187,983

 

 

 

 

 

 

 

INFORMATION TECHNOLOGY: 2.6%

 

 

 

 

 

Electronic Equipment, Instruments & Components: 1.3%

 

 

 

 

 

TXC Corp.

 

974,199

 

1,473,968

 

 

 

 

 

 

 

Semiconductors & Semiconductor Equipment: 1.3%

 

 

 

 

 

Taiwan Semiconductor Manufacturing Co., Ltd.

 

424,000

 

1,420,085

 

Total Information Technology

 

 

 

2,894,053

 

 

 

 

 

 

 

MATERIALS: 1.1%

 

 

 

 

 

Containers & Packaging: 1.1%

 

 

 

 

 

Taiwan Hon Chuan Enterprise Co., Ltd.

 

483,354

 

1,251,679

 

Total Materials

 

 

 

1,251,679

 

 

 

 

 

 

 

TOTAL INVESTMENTS: 99.4%

(Cost $102,228,369(b))

 

 

 

110,109,436

 

 

 

 

 

 

 

CASH AND OTHER ASSETS, LESS LIABILITIES : 0.6%

 

 

 

680,055

 

 

 

 

 

 

 

NET ASSETS: 100.0%

 

 

 

$

110,789,491

 

 



 


(a)

Certain securities were fair valued under the discretion of the Board of Trustees (Note A).

(b)

Cost for federal income tax purposes is $102,228,369 and net unrealized appreciation consists of:

 

 

 

Gross unrealized appreciation

 

$

11,405,797

 

 

 

Gross unrealized depreciation

 

(3,524,730

)

 

 

Net unrealized appreciation

 

$

7,881,067

 

 

 

 

 

 

 

 

ADR

American Depositary Receipt

 

 

 

 

ADS

American Depositary Share

 

 

 

 

REIT

Real Estate Investment Trust

 

 

 

 

 

See accompanying notes to schedules of investments.

 



 

Matthews Asia Growth Fund

 

March 28, 2013

Schedule of Investments(a) (unaudited)

 

 

 

 

 

Shares

 

Value

 

COMMON EQUITIES: 97.8%

 

 

 

 

 

JAPAN: 42.1%

 

 

 

 

 

ORIX Corp.

 

2,305,600

 

$

29,437,824

 

Toyota Motor Corp.

 

512,900

 

26,448,087

 

Honda Motor Co., Ltd.

 

567,300

 

21,846,998

 

Mitsubishi UFJ Financial Group, Inc.

 

2,674,400

 

16,135,287

 

Nitto Denko Corp.

 

231,200

 

13,921,076

 

Kakaku.com, Inc.

 

529,200

 

13,323,130

 

Sumitomo Mitsui Financial Group, Inc.

 

301,600

 

12,373,101

 

Mizuho Financial Group, Inc.

 

5,599,300

 

12,015,001

 

Mitsui & Co., Ltd.

 

792,500

 

11,172,729

 

Rakuten, Inc.

 

1,079,000

 

11,035,112

 

Sysmex Corp.

 

173,600

 

10,577,011

 

Rinnai Corp.

 

117,500

 

8,376,897

 

FANUC Corp.

 

50,000

 

7,698,529

 

Fuji Heavy Industries, Ltd.

 

457,000

 

7,248,906

 

Unicharm Corp.

 

118,200

 

6,749,016

 

Otsuka Holdings Co., Ltd.

 

189,100

 

6,563,555

 

Nidec Corp.

 

109,400

 

6,557,879

 

Pigeon Corp.

 

72,700

 

5,098,201

 

Komatsu, Ltd.

 

208,900

 

4,996,318

 

Calbee, Inc.

 

39,000

 

3,068,922

 

Total Japan

 

 

 

234,643,579

 

 

 

 

 

 

 

CHINA/HONG KONG: 13.9%

 

 

 

 

 

Haitian International Holdings, Ltd.

 

7,655,000

 

11,912,632

 

Sinopharm Group Co., Ltd. H Shares

 

3,229,600

 

10,435,916

 

Sands China, Ltd.

 

1,895,200

 

9,861,563

 

Shenzhou International Group Holdings, Ltd.

 

3,186,000

 

8,968,681

 

China Lodging Group, Ltd. ADS(b)

 

526,600

 

8,667,836

 

Dairy Farm International Holdings, Ltd.

 

602,454

 

7,289,693

 

Tingyi (Cayman Islands) Holding Corp.

 

1,888,000

 

4,934,499

 

Shandong Weigao Group Medical Polymer Co., Ltd. H Shares

 

4,800,000

 

4,349,178

 

Sany Heavy Equipment International Holdings Co., Ltd.

 

9,375,000

 

4,348,023

 

Hang Lung Group, Ltd.

 

742,000

 

4,180,452

 

Baidu, Inc. ADR(b)

 

28,200

 

2,473,140

 

Total China/Hong Kong

 

 

 

77,421,613

 

 

 

 

 

 

 

INDONESIA: 6.6%

 

 

 

 

 

PT Indofood CBP Sukses Makmur

 

16,995,000

 

16,787,982

 

PT Bank Rakyat Indonesia Persero

 

11,610,500

 

10,494,155

 

PT Astra International

 

11,845,500

 

9,665,544

 

Total Indonesia

 

 

 

36,947,681

 

 

 

 

 

 

 

INDIA: 6.1%

 

 

 

 

 

Emami, Ltd.

 

975,093

 

10,799,581

 

HDFC Bank, Ltd.

 

813,560

 

9,375,557

 

Castrol India, Ltd.

 

974,370

 

5,690,384

 

Sun Pharmaceutical Industries, Ltd.

 

313,520

 

4,728,966

 

Multi Commodity Exchange of India, Ltd.

 

232,913

 

3,564,555

 

Total India

 

 

 

34,159,043

 

 

 

 

 

 

 

THAILAND: 5.9%

 

 

 

 

 

SVI Public Co., Ltd.(b)

 

63,593,700

 

9,912,637

 

Major Cineplex Group Public Co., Ltd.

 

11,921,000

 

8,358,325

 

Siam Commercial Bank Public Co., Ltd.

 

1,264,400

 

7,689,497

 

SNC Former Public Co., Ltd.

 

8,400,700

 

6,834,135

 

Total Thailand

 

 

 

32,794,594

 

 

 

 

 

 

 

SRI LANKA: 5.3%

 

 

 

 

 

John Keells Holdings PLC

 

9,556,504

 

18,648,848

 

Sampath Bank PLC

 

3,712,039

 

6,586,490

 

Lanka Orix Leasing Co. PLC

 

10,216,236

 

4,594,284

 

Total Sri Lanka

 

 

 

29,829,622

 

 

 

 

 

 

 

TAIWAN: 4.5%

 

 

 

 

 

St. Shine Optical Co., Ltd.

 

711,000

 

13,907,068

 

Synnex Technology International Corp.

 

3,133,000

 

5,678,518

 

Gourmet Master Co., Ltd.

 

966,800

 

5,401,060

 

Total Taiwan

 

 

 

24,986,646

 

 

 

 

 

 

 

AUSTRALIA: 3.3%

 

 

 

 

 

Oil Search, Ltd.

 

1,305,704

 

10,155,797

 

CSL, Ltd.

 

137,045

 

8,470,937

 

Total Australia

 

 

 

18,626,734

 

 

 

 

 

 

 

VIETNAM: 2.6%

 

 

 

 

 

Vietnam Dairy Products JSC

 

2,662,642

 

14,593,524

 

Total Vietnam

 

 

 

14,593,524

 

 

 

 

 

 

 

MALAYSIA: 2.4%

 

 

 

 

 

SapuraKencana Petroleum BHD(b)

 

6,092,700

 

5,914,273

 

Parkson Holdings BHD

 

3,093,969

 

4,696,158

 

Oldtown BHD

 

3,740,500

 

2,977,855

 

Total Malaysia

 

 

 

13,588,286

 

 

 

 

 

 

 

SINGAPORE: 2.1%

 

 

 

 

 

Keppel Land, Ltd.

 

2,204,000

 

7,029,609

 

Goodpack, Ltd.

 

2,919,000

 

4,412,565

 

Total Singapore

 

 

 

11,442,174

 

 

 

 

 

 

 

CAMBODIA: 1.5%

 

 

 

 

 

NagaCorp, Ltd.

 

10,200,000

 

8,621,473

 

Total Cambodia

 

 

 

8,621,473

 

 

 

 

 

 

 

PHILIPPINES: 1.5%

 

 

 

 

 

Vista Land & Lifescapes, Inc.

 

62,435,500

 

8,286,269

 

Total Philippines

 

 

 

8,286,269

 

 

 

 

 

 

 

TOTAL INVESTMENTS: 97.8%

(Cost $420,503,964(c))

 

 

 

545,941,238

 

 

 

 

 

 

 

CASH AND OTHER ASSETS, LESS LIABILITIES : 2.2%

 

 

 

12,013,476

 

 

 

 

 

 

 

NET ASSETS: 100.0%

 

 

 

$

557,954,714

 

 



 


(a)

Certain securities were fair valued under the discretion of the Board of Trustees (Note A).

(b)

Non-income producing security.

(c)

Cost for federal income tax purposes is $420,503,964 and net unrealized appreciation consists of:

 

 

 

Gross unrealized appreciation

 

$

141,724,231

 

 

 

Gross unrealized depreciation

 

(16,286,957

)

 

 

Net unrealized appreciation

 

$

125,437,274

 

 

 

 

 

 

 

 

ADR

American Depositary Receipt

ADS

American Depositary Share

BHD

Berhad

JSC

Joint Stock Co.

 

See accompanying notes to schedules of investments.

 



 

Matthews Pacific Tiger Fund

 

March 28, 2013

Schedule of Investments(a) (unaudited)

 

 

 

 

 

Shares

 

Value

 

COMMON EQUITIES: 97.2%

 

 

 

 

 

CHINA/HONG KONG: 27.0%

 

 

 

 

 

Ping An Insurance Group Co. of China, Ltd. H Shares

 

24,429,500

 

$

190,028,434

 

Dairy Farm International Holdings, Ltd.

 

13,226,346

 

160,038,787

 

China Resources Land, Ltd.

 

54,976,000

 

154,147,844

 

Hang Lung Group, Ltd.

 

26,089,000

 

146,986,270

 

Sinopharm Group Co., Ltd. H Shares†

 

43,788,000

 

141,493,655

 

Dongfeng Motor Group Co., Ltd. H Shares

 

78,440,000

 

110,570,929

 

China Mobile, Ltd. ADR

 

2,063,150

 

109,615,160

 

China Resources Enterprise, Ltd.

 

32,902,000

 

97,766,049

 

Lenovo Group, Ltd.

 

97,092,000

 

96,839,606

 

Tingyi (Cayman Islands) Holding Corp.

 

36,846,000

 

96,301,144

 

China Vanke Co., Ltd. B Shares

 

48,875,258

 

95,533,826

 

Digital China Holdings, Ltd.†

 

59,828,000

 

81,148,365

 

Hengan International Group Co., Ltd.

 

7,996,000

 

78,443,959

 

Swire Pacific, Ltd. A Shares

 

5,683,500

 

72,604,963

 

Tencent Holdings, Ltd.

 

2,011,900

 

64,349,843

 

Hong Kong Exchanges and Clearing, Ltd.

 

3,664,500

 

62,618,301

 

Baidu, Inc. ADR(b)

 

710,700

 

62,328,390

 

Shangri-La Asia, Ltd.

 

31,457,333

 

61,768,241

 

China Merchants Bank Co., Ltd. H Shares

 

22,182,350

 

47,136,354

 

Li & Fung, Ltd.

 

29,802,000

 

41,197,778

 

Total China/Hong Kong

 

 

 

1,970,917,898

 

 

 

 

 

 

 

INDIA: 15.8%

 

 

 

 

 

Tata Power Co., Ltd.

 

101,851,796

 

181,179,241

 

ITC, Ltd.

 

24,235,000

 

138,076,153

 

GAIL India, Ltd.

 

20,180,934

 

118,307,782

 

Housing Development Finance Corp.

 

7,485,685

 

114,060,339

 

Sun Pharmaceutical Industries, Ltd.

 

7,001,815

 

105,611,588

 

Kotak Mahindra Bank, Ltd.

 

8,767,491

 

105,561,483

 

HDFC Bank, Ltd.

 

8,635,920

 

99,521,309

 

Container Corp. of India, Ltd.

 

4,188,081

 

79,411,718

 

Titan Industries, Ltd.

 

15,686,666

 

74,093,219

 

Dabur India, Ltd.

 

25,308,038

 

63,770,668

 

Thermax, Ltd.

 

3,575,212

 

37,074,324

 

Infosys, Ltd.

 

313,401

 

16,722,518

 

HDFC Bank, Ltd. ADR

 

319,500

 

11,955,690

 

Infosys, Ltd. ADR

 

219,611

 

11,839,229

 

Total India

 

 

 

1,157,185,261

 

 

 

 

 

 

 

SOUTH KOREA: 15.0%

 

 

 

 

 

Dongbu Insurance Co., Ltd.†

 

3,911,360

 

167,236,520

 

Samsung Electronics Co., Ltd.

 

121,004

 

164,932,133

 

NHN Corp.

 

568,302

 

137,387,772

 

Amorepacific Corp.

 

142,442

 

119,880,912

 

Cheil Worldwide, Inc.(b)

 

5,510,440

 

119,440,555

 

Green Cross Corp.†

 

838,869

 

116,952,107

 

Yuhan Corp.†

 

568,453

 

97,286,715

 

Hyundai Mobis

 

317,719

 

89,191,690

 

POSCO

 

195,584

 

57,554,836

 

MegaStudy Co., Ltd.†

 

396,412

 

25,444,136

 

Total South Korea

 

 

 

1,095,307,376

 

 

 

 

 

 

 

INDONESIA: 10.4%

 

 

 

 

 

PT Perusahaan Gas Negara Persero

 

364,396,500

 

223,619,865

 

PT Astra International

 

185,902,300

 

151,690,255

 

PT Indofood CBP Sukses Makmur

 

138,070,500

 

136,388,651

 

PT Bank Central Asia

 

115,688,500

 

136,095,285

 

PT Telekomunikasi Indonesia Persero

 

80,460,500

 

91,319,478

 

PT Telekomunikasi Indonesia Persero ADR

 

375,700

 

16,936,556

 

Total Indonesia

 

 

 

756,050,090

 

 

 

 

 

 

 

THAILAND: 8.9%

 

 

 

 

 

Central Pattana Public Co., Ltd.

 

66,346,100

 

215,677,886

 

Bank of Ayudhya Public Co., Ltd.

 

136,106,700

 

160,861,997

 

Siam Cement Public Co., Ltd. NVDR

 

9,478,500

 

155,722,380

 

PTT Exploration & Production Public Co., Ltd.

 

23,423,867

 

119,226,780

 

Total Thailand

 

 

 

651,489,043

 

 

 

 

 

 

 

TAIWAN: 7.6%

 

 

 

 

 

Delta Electronics, Inc.

 

50,921,000

 

213,580,517

 

President Chain Store Corp.

 

20,439,608

 

112,274,137

 

Synnex Technology International Corp.

 

50,022,354

 

90,664,805

 

Taiwan Semiconductor Manufacturing Co., Ltd.

 

20,423,513

 

68,403,575

 

Yuanta Financial Holding Co., Ltd.

 

133,911,782

 

67,998,094

 

Total Taiwan

 

 

 

552,921,128

 

 

 

 

 

 

 

MALAYSIA: 4.9%

 

 

 

 

 

Genting BHD

 

47,065,500

 

152,783,155

 

Public Bank BHD

 

22,511,386

 

118,145,650

 

Top Glove Corp. BHD

 

25,175,960

 

43,904,468

 

IHH Healthcare BHD(b)

 

27,846,700

 

33,126,143

 

IHH Healthcare BHD(b)

 

11,543,000

 

13,114,685

 

Total Malaysia

 

 

 

361,074,101

 

 

 

 

 

 

 

PHILIPPINES: 3.0%

 

 

 

 

 

SM Prime Holdings, Inc.

 

466,949,271

 

218,708,329

 

Total Philippines

 

 

 

218,708,329

 

 

 

 

 

 

 

SINGAPORE: 2.5%

 

 

 

 

 

Keppel Land, Ltd.

 

34,212,000

 

109,118,420

 

Hyflux, Ltd.†

 

65,284,280

 

77,014,292

 

Total Singapore

 

 

 

186,132,712

 

 

 

 

 

 

 

VIETNAM: 1.4%

 

 

 

 

 

Vietnam Dairy Products JSC

 

18,122,812

 

99,328,292

 

Total Vietnam

 

 

 

99,328,292

 

 

 

 

 

 

 

SWITZERLAND: 0.7%

 

 

 

 

 

DKSH Holding, Ltd.(b)

 

550,878

 

49,277,638

 

Total Switzerland

 

 

 

49,277,638

 

 

 

 

 

 

 

TOTAL INVESTMENTS: 97.2%

(Cost $4,995,199,127(c))

 

 

 

7,098,391,868

 

 

 

 

 

 

 

CASH AND OTHER ASSETS, LESS LIABILITIES : 2.8%

 

 

 

205,499,618

 

 

 

 

 

 

 

NET ASSETS: 100.0%

 

 

 

$

7,303,891,486

 

 



 


(a)

Certain securities were fair valued under the discretion of the Board of Trustees (Note A).

 

(b)

Non-income producing security.

 

(c)

Cost for federal income tax purposes is $4,997,021,853 and net unrealized appreciation consists of:

 

 

 

 

 

 

 

 

Gross unrealized appreciation

 

$

2,287,625,855

 

 

 

Gross unrealized depreciation

 

(186,255,840

)

 

 

Net unrealized appreciation

 

$

2,101,370,015

 

 

 

 

 

Affiliated Issuer, as defined under the Investment Company Act of 1940 (ownership of 5% or more of the outstanding voting securities of this issuer)

 

ADR

American Depositary Receipt

 

BHD

Berhad

 

JSC

Joint Stock Co.

 

NVDR

Non-voting Depositary Receipt

 

 

See accompanying notes to schedules of investments.

 



 

Matthews China Fund

 

March 28, 2013

Schedule of Investments(a) (unaudited)

 

 

 

 

 

Shares

 

Value

 

COMMON EQUITIES: China/Hong Kong 99.9%

 

 

 

 

 

FINANCIALS: 24.9%

 

 

 

 

 

Real Estate Management & Development: 8.8%

 

 

 

 

 

China Vanke Co., Ltd. B Shares

 

24,772,268

 

$

48,421,014

 

China Resources Land, Ltd.

 

17,010,000

 

47,694,536

 

Hang Lung Group, Ltd.

 

6,844,000

 

38,559,319

 

Swire Pacific, Ltd. A Shares

 

2,289,500

 

29,247,658

 

 

 

 

 

163,922,527

 

Commercial Banks: 8.7%

 

 

 

 

 

China Merchants Bank Co., Ltd. H Shares

 

23,432,114

 

49,792,040

 

China Construction Bank Corp. H Shares

 

49,602,660

 

40,660,251

 

Agricultural Bank of China, Ltd. H Shares

 

79,788,000

 

38,396,822

 

BOC Hong Kong Holdings, Ltd.

 

9,672,500

 

32,350,917

 

 

 

 

 

161,200,030

 

Insurance: 5.3%

 

 

 

 

 

Ping An Insurance Group Co. of China, Ltd. H Shares

 

6,889,500

 

53,590,982

 

China Life Insurance Co., Ltd. H Shares

 

12,376,000

 

32,289,003

 

China Life Insurance Co., Ltd. ADR

 

324,600

 

12,795,732

 

 

 

 

 

98,675,717

 

Diversified Financial Services: 2.1%

 

 

 

 

 

Hong Kong Exchanges and Clearing, Ltd.

 

2,320,200

 

39,647,150

 

Total Financials

 

 

 

463,445,424

 

 

 

 

 

 

 

CONSUMER DISCRETIONARY: 17.3%

 

 

 

 

 

Hotels, Restaurants & Leisure: 7.6%

 

 

 

 

 

Cafe’ de Coral Holdings, Ltd.

 

14,652,100

 

44,692,139

 

Sands China, Ltd.

 

6,928,800

 

36,053,608

 

Home Inns & Hotels Management, Inc. ADR(b)

 

1,167,246

 

34,772,258

 

Shangri-La Asia, Ltd.

 

13,367,400

 

26,247,641

 

 

 

 

 

141,765,646

 

Automobiles: 2.0%

 

 

 

 

 

Dongfeng Motor Group Co., Ltd. H Shares

 

27,242,000

 

38,400,985

 

 

 

 

 

 

 

Specialty Retail: 1.9%

 

 

 

 

 

Belle International Holdings, Ltd.

 

21,405,000

 

35,764,738

 

 

 

 

 

 

 

Multiline Retail: 1.7%

 

 

 

 

 

Golden Eagle Retail Group, Ltd.

 

17,744,000

 

32,067,637

 

 

 

 

 

 

 

Media: 1.7%

 

 

 

 

 

Television Broadcasts, Ltd.

 

4,082,000

 

30,966,211

 

 

 

 

 

 

 

Distributors: 1.6%

 

 

 

 

 

Li & Fung, Ltd.

 

21,516,400

 

29,743,905

 

 

 

 

 

 

 

Textiles, Apparel & Luxury Goods: 0.8%

 

 

 

 

 

Li Ning Co., Ltd.(b)

 

24,670,000

 

14,561,353

 

Total Consumer Discretionary

 

 

 

323,270,475

 

 

 

 

 

 

 

INFORMATION TECHNOLOGY: 11.5%

 

 

 

 

 

Internet Software & Services: 4.6%

 

 

 

 

 

NetEase, Inc. ADR

 

556,500

 

30,479,505

 

Tencent Holdings, Ltd.

 

880,300

 

28,156,055

 

Sina Corp.(b)

 

562,100

 

27,312,439

 

 

 

 

 

85,947,999

 

Electronic Equipment, Instruments & Components: 2.2%

 

 

 

 

 

Digital China Holdings, Ltd.

 

30,018,000

 

40,715,244

 

 

 

 

 

 

 

Communications Equipment: 1.9%

 

 

 

 

 

ZTE Corp. H Shares

 

20,708,504

 

35,926,415

 

 

 

 

 

 

 

Computers & Peripherals: 1.7%

 

 

 

 

 

Lenovo Group, Ltd.

 

31,998,000

 

31,914,820

 

 

 

 

 

 

 

Software: 1.1%

 

 

 

 

 

Kingdee International Software Group Co., Ltd.(b)

 

123,524,800

 

20,434,427

 

Total Information Technology

 

 

 

214,938,905

 

 

 

 

 

 

 

CONSUMER STAPLES: 10.7%

 

 

 

 

 

Food Products: 3.9%

 

 

 

 

 

Tingyi (Cayman Islands) Holding Corp.

 

14,525,000

 

37,962,713

 

China Mengniu Dairy Co., Ltd.

 

12,266,000

 

35,198,660

 

 

 

 

 

73,161,373

 

Food & Staples Retailing: 3.6%

 

 

 

 

 

China Resources Enterprise, Ltd.

 

9,728,000

 

28,906,089

 

Lianhua Supermarket Holdings Co., Ltd. H Shares†

 

31,193,800

 

24,904,740

 

Sun Art Retail Group, Ltd.

 

9,443,000

 

13,154,588

 

 

 

 

 

66,965,417

 

Beverages: 1.6%

 

 

 

 

 

Tsingtao Brewery Co., Ltd. H Shares

 

4,753,000

 

30,327,448

 

 

 

 

 

 

 

Personal Products: 1.6%

 

 

 

 

 

Hengan International Group Co., Ltd.

 

3,009,000

 

29,519,494

 

Total Consumer Staples

 

 

 

199,973,732

 

 

 

 

 

 

 

INDUSTRIALS: 10.4%

 

 

 

 

 

Machinery: 3.5%

 

 

 

 

 

CSR Corp., Ltd. H Shares

 

48,012,000

 

34,218,286

 

Sany Heavy Equipment International Holdings Co., Ltd.

 

34,230,500

 

15,875,732

 

China National Materials Co., Ltd. H Shares

 

55,910,000

 

14,982,559

 

 

 

 

 

65,076,577

 

Transportation Infrastructure: 3.4%

 

 

 

 

 

China Merchants Holdings International Co., Ltd.

 

11,594,581

 

38,188,086

 

Yuexiu Transport Infrastructure, Ltd.

 

48,899,000

 

25,604,844

 

 

 

 

 

63,792,930

 

Airlines: 1.9%

 

 

 

 

 

Air China, Ltd. H Shares

 

39,109,900

 

34,842,961

 

 

 

 

 

 

 

Industrial Conglomerates: 1.6%

 

 

 

 

 

NWS Holdings, Ltd.

 

16,914,914

 

30,151,138

 

Total Industrials

 

 

 

193,863,606

 

 

 

 

 

 

 

ENERGY: 6.8%

 

 

 

 

 

Oil, Gas & Consumable Fuels: 4.6%

 

 

 

 

 

China Shenhua Energy Co., Ltd. H Shares

 

8,574,000

 

31,283,479

 

CNOOC, Ltd.

 

15,418,000

 

29,647,351

 

Kunlun Energy Co., Ltd.

 

11,798,000

 

25,135,785

 

 

 

 

 

86,066,615

 

Energy Equipment & Services: 2.2%

 

 

 

 

 

China Oilfield Services, Ltd. H Shares

 

19,196,000

 

40,345,610

 

Total Energy

 

 

 

126,412,225

 

 

 

 

 

 

 

UTILITIES: 6.5%

 

 

 

 

 

Electric Utilities: 2.9%

 

 

 

 

 

Cheung Kong Infrastructure Holdings, Ltd.

 

7,929,500

 

54,490,902

 

 

 

 

 

 

 

Gas Utilities: 2.1%

 

 

 

 

 

Hong Kong & China Gas Co., Ltd.

 

13,406,739

 

39,169,192

 

 



 

 

 

Shares

 

Value

 

COMMON EQUITIES: China/Hong Kong (continued)

 

 

 

 

 

Independent Power Producers & Energy Traders: 1.5%

 

 

 

 

 

China Longyuan Power Group Corp. H Shares

 

30,009,000

 

$

27,315,069

 

Total Utilities

 

 

 

120,975,163

 

 

 

 

 

 

 

TELECOMMUNICATION SERVICES: 5.9%

 

 

 

 

 

Wireless Telecommunication Services: 3.2%

 

 

 

 

 

China Mobile, Ltd.

 

3,297,083

 

34,970,157

 

China Mobile, Ltd. ADR

 

466,100

 

24,763,893

 

 

 

 

 

59,734,050

 

Diversified Telecommunication Services: 2.7%

 

 

 

 

 

China Communications Services Corp., Ltd. H Shares

 

78,498,800

 

50,823,896

 

Total Telecommunication Services

 

 

 

110,557,946

 

 

 

 

 

 

 

HEALTH CARE: 5.9%

 

 

 

 

 

Health Care Equipment & Supplies: 3.3%

 

 

 

 

 

Mindray Medical International, Ltd. ADR

 

1,527,468

 

61,007,072

 

 

 

 

 

 

 

Health Care Providers & Services: 2.6%

 

 

 

 

 

Sinopharm Group Co., Ltd. H Shares

 

14,896,400

 

48,135,244

 

Total Health Care

 

 

 

109,142,316

 

TOTAL COMMON EQUITIES

(Cost $1,611,725,085)

 

 

 

1,862,579,792

 

 

 

 

 

 

 

RIGHTS: 0.1%

 

 

 

 

 

CONSUMER DISCRETIONARY: 0.1%

 

 

 

 

 

Textiles, Apparel & Luxury Goods: 0.1%

 

 

 

 

 

Li Ning Co., Ltd., expires 04/10/13

 

12,335,000

 

1,719,037

 

Total Consumer Discretionary

 

 

 

1,719,037

 

TOTAL RIGHTS

(Cost $0)

 

 

 

1,719,037

 

 

 

 

 

 

 

TOTAL INVESTMENTS: 100.0%

(Cost $1,611,725,085(c))

 

 

 

1,864,298,829

 

 

 

 

 

 

 

LIABILITIES IN EXCESS OF CASH AND OTHER ASSETS: (0.0)%

 

 

 

(566,294

)

 

 

 

 

 

 

NET ASSETS: 100.0%

 

 

 

$

1,863,732,535

 

 


(a)

Certain securities were fair valued under the discretion of the Board of Trustees (Note A).

 

(b)

Non-income producing security.

 

(c)

Cost for federal income tax purposes is $1,613,335,771 and net unrealized appreciation consists of:

 

 

 

 

 

Gross unrealized appreciation

 

$

395,829,202

 

 

 

Gross unrealized depreciation

 

(144,866,144

)

 

 

Net unrealized appreciation

 

$

250,963,058

 

 

 

 

 

Affiliated Issuer, as defined under the Investment Company Act of 1940 (ownership of 5% or more of the outstanding voting securities of this issuer)

 

ADR

American Depositary Receipt

 

 

See accompanying notes to schedules of investments.

 



 

Matthews India Fund

 

March 28, 2013

Schedule of Investments(a) (unaudited)

 

 

 

 

 

Shares

 

Value

 

COMMON EQUITIES: 98.5%

 

 

 

 

 

FINANCIALS: 24.5%

 

 

 

 

 

Commercial Banks: 10.5%

 

 

 

 

 

HDFC Bank, Ltd.

 

1,830,165

 

$

21,091,026

 

ICICI Bank, Ltd.

 

840,000

 

16,324,435

 

Axis Bank, Ltd.

 

333,532

 

8,008,380

 

Allahabad Bank

 

3,158,529

 

7,361,723

 

HDFC Bank, Ltd. ADR

 

148,922

 

5,572,661

 

ICICI Bank, Ltd. ADR

 

113,283

 

4,859,841

 

 

 

 

 

63,218,066

 

Diversified Financial Services: 7.3%

 

 

 

 

 

Kotak Mahindra Bank, Ltd.

 

2,100,000

 

25,284,214

 

IDFC, Ltd.

 

6,211,855

 

16,470,539

 

Multi Commodity Exchange of India, Ltd.

 

159,509

 

2,441,163

 

 

 

 

 

44,195,916

 

Real Estate Management & Development: 3.6%

 

 

 

 

 

Ascendas India Trust

 

32,094,000

 

21,379,968

 

 

 

 

 

 

 

Thrifts & Mortgage Finance: 3.1%

 

 

 

 

 

Housing Development Finance Corp.

 

1,225,000

 

18,665,482

 

Total Financials

 

 

 

147,459,432

 

 

 

 

 

 

 

INDUSTRIALS: 18.8%

 

 

 

 

 

Machinery: 8.0%

 

 

 

 

 

Ashok Leyland, Ltd.

 

40,022,554

 

16,157,517

 

Thermax, Ltd.

 

1,378,128

 

14,290,946

 

AIA Engineering, Ltd.

 

2,306,467

 

13,490,816

 

Jain Irrigation Systems, Ltd.

 

3,675,635

 

4,160,563

 

 

 

 

 

48,099,842

 

Road & Rail: 3.3%

 

 

 

 

 

Container Corp. of India, Ltd.

 

1,039,216

 

19,704,950

 

 

 

 

 

 

 

Industrial Conglomerates: 3.0%

 

 

 

 

 

MAX India, Ltd.

 

4,388,102

 

18,123,019

 

 

 

 

 

 

 

Transportation Infrastructure: 2.9%

 

 

 

 

 

Gujarat Pipavav Port, Ltd.(b)

 

19,180,000

 

17,582,413

 

 

 

 

 

 

 

Electrical Equipment: 1.6%

 

 

 

 

 

Crompton Greaves, Ltd.

 

5,587,500

 

9,666,889

 

Total Industrials

 

 

 

113,177,113

 

 

 

 

 

 

 

CONSUMER STAPLES: 17.1%

 

 

 

 

 

Personal Products: 13.0%

 

 

 

 

 

Emami, Ltd.

 

3,240,555

 

35,890,563

 

Dabur India, Ltd.

 

10,654,430

 

26,846,811

 

Bajaj Corp., Ltd.

 

3,803,615

 

15,495,005

 

 

 

 

 

78,232,379

 

Tobacco: 4.1%

 

 

 

 

 

ITC, Ltd.

 

4,340,000

 

24,726,656

 

Total Consumer Staples

 

 

 

102,959,035

 

 

 

 

 

 

 

MATERIALS: 13.7%

 

 

 

 

 

Chemicals: 10.5%

 

 

 

 

 

Asian Paints, Ltd.

 

351,500

 

31,846,520

 

Castrol India, Ltd.

 

3,268,602

 

19,088,847

 

Supreme Industries, Ltd.

 

2,100,000

 

12,105,307

 

 

 

 

 

63,040,674

 

Construction Materials: 1.9%

 

 

 

 

 

Grasim Industries, Ltd.

 

224,459

 

11,631,765

 

 

 

 

 

 

 

Metals & Mining: 1.3%

 

 

 

 

 

NMDC, Ltd.

 

3,145,923

 

7,948,274

 

Total Materials

 

 

 

82,620,713

 

 

 

 

 

 

 

CONSUMER DISCRETIONARY: 10.2%

 

 

 

 

 

Auto Components: 4.3%

 

 

 

 

 

Exide Industries, Ltd.

 

10,906,722

 

25,971,406

 

 

 

 

 

 

 

Media: 3.7%

 

 

 

 

 

Jagran Prakashan, Ltd.

 

9,961,391

 

17,045,250

 

Dish TV India, Ltd.(b)

 

3,868,505

 

4,783,383

 

 

 

 

 

21,828,633

 

Textiles, Apparel & Luxury Goods: 1.2%

 

 

 

 

 

Titan Industries, Ltd.

 

1,538,820

 

7,268,347

 

 

 

 

 

 

 

Household Durables: 1.0%

 

 

 

 

 

Symphony, Ltd.

 

915,000

 

6,041,985

 

Total Consumer Discretionary

 

 

 

61,110,371

 

 

 

 

 

 

 

HEALTH CARE: 6.0%

 

 

 

 

 

Pharmaceuticals: 6.0%

 

 

 

 

 

Sun Pharmaceutical Industries, Ltd.

 

1,923,300

 

29,010,016

 

Cipla India, Ltd.

 

988,275

 

6,900,382

 

Total Health Care

 

 

 

35,910,398

 

 

 

 

 

 

 

INFORMATION TECHNOLOGY: 4.6%

 

 

 

 

 

Internet Software & Services: 3.7%

 

 

 

 

 

Info Edge India, Ltd.

 

3,324,978

 

21,987,067

 

 

 

 

 

 

 

IT Services: 0.9%

 

 

 

 

 

MindTree, Ltd.

 

320,000

 

5,384,655

 

Total Information Technology

 

 

 

27,371,722

 

 

 

 

 

 

 

UTILITIES: 2.9%

 

 

 

 

 

Gas Utilities: 2.9%

 

 

 

 

 

GAIL India, Ltd.

 

2,944,751

 

17,263,173

 

Total Utilities

 

 

 

17,263,173

 

 

 

 

 

 

 

ENERGY: 0.7%

 

 

 

 

 

Oil, Gas & Consumable Fuels: 0.7%

 

 

 

 

 

Reliance Industries, Ltd.

 

290,742

 

4,144,034

 

Total Energy

 

 

 

4,144,034

 

TOTAL COMMON EQUITIES

(Cost $540,169,126)

 

 

 

592,015,991

 

 

 

 

Face Amount

 

 

 

CORPORATE BONDS: 1.3%

 

 

 

 

 

UTILITIES: 1.3%

 

 

 

 

 

Electric Utilities: 1.3%

 

 

 

 

 

Tata Power Co., Ltd., Cnv.

 

 

 

 

 

1.750%, 11/21/14

 

$

7,700,000

 

8,100,400

 

Total Utilities

 

 

 

8,100,400

 

TOTAL CORPORATE BONDS

(Cost $8,893,250)

 

 

 

8,100,400

 

 

 

 

 

 

 

TOTAL INVESTMENTS: 99.8%

(Cost $549,062,376(c))

 

 

 

 

600,116,391

 

 

 

 

 

 

 

CASH AND OTHER ASSETS, LESS LIABILITIES : 0.2%

 

 

 

1,178,397

 

 

 

 

 

 

 

NET ASSETS: 100.0%

 

 

 

$

601,294,788

 

 



 


(a)

Certain securities were fair valued under the discretion of the Board of Trustees (Note A).

 

(b)

Non-income producing security.

 

(c)

Cost for federal income tax purposes is $549,126,066 and net unrealized appreciation consists of:

 

 

 

 

 

Gross unrealized appreciation

 

$

135,691,376

 

 

 

Gross unrealized depreciation

 

(84,701,051

)

 

 

Net unrealized appreciation

 

$

50,990,325

 

 

 

 

 

ADR

American Depositary Receipt

 

Cnv.

Convertible

 

 

See accompanying notes to schedules of investments.

 



 

Matthews Japan Fund

 

March 28, 2013

Schedule of Investments(a) (unaudited)

 

 

 

 

 

Shares

 

Value

 

COMMON EQUITIES: JAPAN: 95.9%

 

 

 

 

 

FINANCIALS: 23.2%

 

 

 

 

 

Commercial Banks: 8.8%

 

 

 

 

 

Mitsubishi UFJ Financial Group, Inc.

 

739,300

 

$

4,460,372

 

Mizuho Financial Group, Inc.

 

1,480,100

 

3,176,005

 

Sumitomo Mitsui Financial Group, Inc.

 

77,300

 

3,171,222

 

Shinsei Bank, Ltd.

 

1,122,000

 

2,578,232

 

 

 

 

 

13,385,831

 

Diversified Financial Services: 4.6%

 

 

 

 

 

ORIX Corp.

 

544,200

 

6,948,327

 

 

 

 

 

 

 

Real Estate Management & Development: 3.6%

 

 

 

 

 

Mitsui Fudosan Co., Ltd.

 

138,000

 

3,940,910

 

Hulic Co., Ltd.

 

182,100

 

1,499,230

 

 

 

 

 

5,440,140

 

Real Estate Investment Trusts: 3.4%

 

 

 

 

 

Kenedix Realty Investment Corp., REIT

 

558

 

2,709,647

 

GLP J-REIT

 

2,237

 

2,402,515

 

 

 

 

 

5,112,162

 

Insurance: 2.8%

 

 

 

 

 

Tokio Marine Holdings, Inc.

 

100,100

 

2,895,931

 

Anicom Holdings, Inc.(b)

 

121,900

 

1,373,888

 

 

 

 

 

4,269,819

 

Total Financials

 

 

 

35,156,279

 

 

 

 

 

 

 

INDUSTRIALS: 21.5%

 

 

 

 

 

Machinery: 7.7%

 

 

 

 

 

Mitsubishi Heavy Industries, Ltd.

 

561,000

 

3,245,647

 

FANUC Corp.

 

18,700

 

2,879,250

 

Nabtesco Corp.

 

111,400

 

2,287,194

 

Harmonic Drive Systems, Inc.

 

108,300

 

1,855,139

 

Komatsu, Ltd.

 

61,100

 

1,461,345

 

 

 

 

 

11,728,575

 

Trading Companies & Distributors: 6.1%

 

 

 

 

 

ITOCHU Corp.

 

304,500

 

3,741,496

 

Marubeni Corp.

 

439,000

 

3,361,028

 

Mitsui & Co., Ltd.

 

149,600

 

2,109,073

 

 

 

 

 

9,211,597

 

Commercial Services & Supplies: 3.0%

 

 

 

 

 

JP-Holdings, Inc.

 

213,500

 

4,513,799

 

 

 

 

 

 

 

Electrical Equipment: 2.0%

 

 

 

 

 

Nidec Corp.

 

32,400

 

1,942,187

 

Endo Lighting Corp.

 

35,300

 

1,063,345

 

 

 

 

 

3,005,532

 

Professional Services: 1.7%

 

 

 

 

 

Nihon M&A Center, Inc.

 

59,900

 

2,642,775

 

 

 

 

 

 

 

Building Products: 1.0%

 

 

 

 

 

Aica Kogyo Co., Ltd.

 

78,500

 

1,442,442

 

Total Industrials

 

 

 

32,544,720

 

 

 

 

 

 

 

CONSUMER DISCRETIONARY: 18.7%

 

 

 

 

 

Automobiles: 9.0%

 

 

 

 

 

Toyota Motor Corp.

 

119,900

 

6,182,737

 

Honda Motor Co., Ltd.

 

141,500

 

5,449,234

 

Fuji Heavy Industries, Ltd.

 

126,000

 

1,998,604

 

 

 

 

 

13,630,575

 

Household Durables: 3.3%

 

 

 

 

 

Rinnai Corp.

 

45,800

 

3,265,207

 

Sony Corp. ADR

 

57,600

 

1,002,240

 

Sony Corp.

 

41,700

 

725,616

 

 

 

 

 

4,993,063

 

Auto Components: 3.1%

 

 

 

 

 

Bridgestone Corp.

 

90,800

 

3,055,241

 

Nifco, Inc.

 

69,900

 

1,598,143

 

 

 

 

 

4,653,384

 

Internet & Catalog Retail: 1.3%

 

 

 

 

 

Rakuten, Inc.

 

189,100

 

1,933,957

 

 

 

 

 

 

 

Specialty Retail: 1.1%

 

 

 

 

 

VT Holdings Co., Ltd.

 

148,400

 

1,608,593

 

 

 

 

 

 

 

Diversified Consumer Services: 0.9%

 

 

 

 

 

ESCRIT, Inc.

 

181,800

 

1,444,071

 

Total Consumer Discretionary

 

 

 

28,263,643

 

 

 

 

 

 

 

INFORMATION TECHNOLOGY: 14.2%

 

 

 

 

 

Electronic Equipment, Instruments & Components: 6.3%

 

 

 

 

 

Murata Manufacturing Co., Ltd.

 

49,400

 

3,735,120

 

Hitachi, Ltd.

 

538,000

 

3,140,853

 

Kyocera Corp.

 

29,600

 

2,715,874

 

 

 

 

 

9,591,847

 

IT Services: 3.4%

 

 

 

 

 

GMO Payment Gateway, Inc.

 

130,800

 

3,043,866

 

Bit-isle, Inc.

 

156,900

 

2,183,663

 

 

 

 

 

5,227,529

 

Internet Software & Services: 3.1%

 

 

 

 

 

Yahoo! Japan Corp.

 

5,137

 

2,369,810

 

Kakaku.com, Inc.

 

91,600

 

2,306,120

 

 

 

 

 

4,675,930

 

Semiconductors & Semiconductor Equipment: 1.4%

 

 

 

 

 

Nuflare Technology, Inc.

 

342

 

2,051,154

 

Total Information Technology

 

 

 

21,546,460

 

 

 

 

 

 

 

HEALTH CARE: 7.2%

 

 

 

 

 

Health Care Equipment & Supplies: 4.0%

 

 

 

 

 

Asahi Intecc Co., Ltd.

 

63,000

 

3,328,713

 

Sysmex Corp.

 

38,100

 

2,321,337

 

Daiken Medical Co., Ltd.

 

13,100

 

383,942

 

 

 

 

 

6,033,992

 

Health Care Providers & Services: 2.2%

 

 

 

 

 

Ship Healthcare Holdings, Inc.

 

49,700

 

1,758,596

 

Message Co., Ltd.

 

572

 

1,535,501

 

 

 

 

 

3,294,097

 

Pharmaceuticals: 1.0%

 

 

 

 

 

Otsuka Holdings Co., Ltd.

 

42,500

 

1,475,151

 

Total Health Care

 

 

 

10,803,240

 

 

 

 

 

 

 

CONSUMER STAPLES: 5.4%

 

 

 

 

 

Household Products: 2.4%

 

 

 

 

 

Unicharm Corp.

 

38,600

 

2,203,993

 

 



 

 

 

Shares

 

Value

 

COMMON EQUITIES: JAPAN (continued)

 

 

 

 

 

Pigeon Corp.

 

20,500

 

$

1,437,595

 

 

 

 

 

3,641,588

 

Food & Staples Retailing: 2.0%

 

 

 

 

 

Daikokutenbussan Co., Ltd.

 

66,600

 

1,688,082

 

Ain Pharmaciez, Inc.

 

23,800

 

1,284,368

 

 

 

 

 

2,972,450

 

Food Products: 1.0%

 

 

 

 

 

Calbee, Inc.

 

20,100

 

1,581,675

 

Total Consumer Staples

 

 

 

8,195,713

 

 

 

 

 

 

 

MATERIALS: 4.6%

 

 

 

 

 

Chemicals: 4.6%

 

 

 

 

 

Nitto Denko Corp.

 

61,900

 

3,727,139

 

Shin-Etsu Chemical Co., Ltd.

 

48,100

 

3,190,123

 

Total Materials

 

 

 

6,917,262

 

 

 

 

 

 

 

TELECOMMUNICATION SERVICES: 1.1%

 

 

 

 

 

Wireless Telecommunication Services: 1.1%

 

 

 

 

 

Softbank Corp.

 

37,200

 

1,713,870

 

Total Telecommunication Services

 

 

 

1,713,870

 

 

 

 

 

 

 

TOTAL INVESTMENTS: 95.9%

(Cost $121,951,960(c))

 

 

 

145,141,187

 

 

 

 

 

 

 

CASH AND OTHER ASSETS, LESS LIABILITIES : 4.1%

 

 

 

6,236,779

 

 

 

 

 

 

 

NET ASSETS: 100.0%

 

 

 

$

151,377,966

 

 


(a)

Certain securities were fair valued under the discretion of the Board of Trustees (Note A).

 

(b)

Non-income producing security.

 

(c)

Cost for federal income tax purposes is $121,951,960 and net unrealized appreciation consists of:

 

 

 

 

 

 

 

 

Gross unrealized appreciation

 

$

27,073,041

 

 

 

Gross unrealized depreciation

 

(3,883,814

)

 

 

Net unrealized appreciation

 

$

23,189,227

 

 

 

 

 

ADR

American Depositary Receipt

 

REIT

Real Estate Investment Trust

 

 

See accompanying notes to schedules of investments.

 


 


 

Matthews Korea Fund

 

March 28, 2013

Schedule of Investments(a) (unaudited)

 

 

 

 

 

Shares

 

Value

 

COMMON EQUITIES: SOUTH KOREA: 88.4%

 

 

 

 

 

CONSUMER DISCRETIONARY: 25.1%

 

 

 

 

 

Hotels, Restaurants & Leisure: 6.9%

 

 

 

 

 

Kangwon Land, Inc.

 

97,770

 

$

2,710,220

 

Shinsegae Food Co., Ltd.

 

30,534

 

2,500,132

 

Modetour Network, Inc.

 

89,358

 

2,249,784

 

Hotel Shilla Co., Ltd.

 

31,080

 

1,540,949

 

 

 

 

 

9,001,085

 

Media: 4.7%

 

 

 

 

 

CJ CGV Co., Ltd.

 

58,870

 

2,662,230

 

SBS Media Holdings Co., Ltd.

 

388,280

 

2,062,090

 

Cheil Worldwide, Inc.(b)

 

65,490

 

1,419,517

 

 

 

 

 

6,143,837

 

Auto Components: 4.2%

 

 

 

 

 

Hyundai Mobis

 

10,533

 

2,956,877

 

Hankook Tire Co., Ltd.

 

60,131

 

2,604,580

 

 

 

 

 

5,561,457

 

Automobiles: 4.2%

 

 

 

 

 

Hyundai Motor Co.

 

17,586

 

3,554,921

 

Kia Motors Corp.

 

37,820

 

1,918,909

 

 

 

 

 

5,473,830

 

Multiline Retail: 3.1%

 

 

 

 

 

Hyundai Greenfood Co., Ltd.

 

142,440

 

2,175,189

 

Hyundai Department Store Co., Ltd.

 

13,076

 

1,923,189

 

 

 

 

 

4,098,378

 

Internet & Catalog Retail: 2.0%

 

 

 

 

 

Hyundai Home Shopping Network Corp.

 

21,041

 

2,624,652

 

Total Consumer Discretionary

 

 

 

32,903,239

 

 

 

 

 

 

 

INFORMATION TECHNOLOGY: 17.0%

 

 

 

 

 

Semiconductors & Semiconductor Equipment: 12.0%

 

 

 

 

 

Samsung Electronics Co., Ltd.

 

11,578

 

15,781,166

 

 

 

 

 

 

 

Internet Software & Services: 3.8%

 

 

 

 

 

NHN Corp.

 

9,425

 

2,278,506

 

Daum Communications Corp.

 

25,208

 

2,073,251

 

SBS Contents Hub Co., Ltd.

 

46,691

 

640,237

 

 

 

 

 

4,991,994

 

Electronic Equipment, Instruments & Components: 1.2%

 

 

 

 

 

Samsung SDI Co., Ltd.

 

12,528

 

1,590,027

 

Total Information Technology

 

 

 

22,363,187

 

 

 

 

 

 

 

FINANCIALS: 15.9%

 

 

 

 

 

Commercial Banks: 6.3%

 

 

 

 

 

Shinhan Financial Group Co., Ltd.

 

158,214

 

5,694,561

 

KB Financial Group, Inc.

 

75,446

 

2,520,366

 

 

 

 

 

8,214,927

 

Insurance: 6.1%

 

 

 

 

 

Dongbu Insurance Co., Ltd.

 

72,001

 

3,078,519

 

Samsung Fire & Marine Insurance Co., Ltd.

 

12,653

 

2,480,181

 

Hyundai Marine & Fire Insurance Co., Ltd.

 

85,630

 

2,459,900

 

 

 

 

 

8,018,600

 

Capital Markets: 2.8%

 

 

 

 

 

Samsung Securities Co., Ltd.

 

39,707

 

1,915,928

 

Kiwoom Securities Co., Ltd.

 

28,605

 

1,746,870

 

 

 

 

 

3,662,798

 

Diversified Financial Services: 0.7%

 

 

 

 

 

NICE Information Service Co., Ltd.

 

202,724

 

958,411

 

Total Financials

 

 

 

20,854,736

 

 

 

 

 

 

 

CONSUMER STAPLES: 11.7%

 

 

 

 

 

Food Products: 4.6%

 

 

 

 

 

Orion Corp.

 

2,118

 

2,073,089

 

Binggrae Co., Ltd.

 

17,468

 

2,067,609

 

Ottogi Corp.

 

7,247

 

1,966,124

 

 

 

 

 

6,106,822

 

Household Products: 2.2%

 

 

 

 

 

LG Household & Health Care, Ltd.

 

5,248

 

2,884,887

 

 

 

 

 

 

 

Tobacco: 1.8%

 

 

 

 

 

KT&G Corp.

 

35,657

 

2,419,651

 

 

 

 

 

 

 

Personal Products: 1.6%

 

 

 

 

 

Amorepacific Corp.

 

2,423

 

2,039,226

 

 

 

 

 

 

 

Food & Staples Retailing: 1.5%

 

 

 

 

 

E-Mart Co., Ltd.

 

9,732

 

1,924,539

 

Total Consumer Staples

 

 

 

15,375,125

 

 

 

 

 

 

 

MATERIALS: 5.8%

 

 

 

 

 

Chemicals: 3.2%

 

 

 

 

 

LG Chem, Ltd.

 

12,373

 

2,968,419

 

KPX Chemical Co., Ltd.

 

25,686

 

1,216,657

 

 

 

 

 

4,185,076

 

Metals & Mining: 2.6%

 

 

 

 

 

POSCO ADR

 

46,300

 

3,412,773

 

Total Materials

 

 

 

7,597,849

 

 

 

 

 

 

 

INDUSTRIALS: 4.7%

 

 

 

 

 

Trading Companies & Distributors: 1.6%

 

 

 

 

 

iMarketKorea, Inc.

 

92,610

 

2,102,191

 

 

 

 

 

 

 

Construction & Engineering: 1.4%

 

 

 

 

 

Samsung Engineering Co., Ltd.

 

10,330

 

1,197,721

 

Hyundai Engineering & Construction Co., Ltd.

 

11,154

 

669,228

 

 

 

 

 

1,866,949

 

Commercial Services & Supplies: 1.0%

 

 

 

 

 

KEPCO Plant Service & Engineering Co., Ltd.

 

24,814

 

1,251,559

 

 

 

 

 

 

 

Industrial Conglomerates: 0.7%

 

 

 

 

 

Samsung Techwin Co., Ltd.

 

16,517

 

979,064

 

Total Industrials

 

 

 

6,199,763

 

 

 

 

 

 

 

ENERGY: 3.2%

 

 

 

 

 

Oil, Gas & Consumable Fuels: 3.2%

 

 

 

 

 

SK Innovation Co., Ltd.

 

16,424

 

2,418,362

 

S-Oil Corp.

 

21,884

 

1,849,365

 

Total Energy

 

 

 

4,267,727

 

 

 

 

 

 

 

TELECOMMUNICATION SERVICES: 2.6%

 

 

 

 

 

Wireless Telecommunication Services: 2.6%

 

 

 

 

 

SK Telecom Co., Ltd. ADR

 

191,300

 

3,418,531

 

Total Telecommunication Services

 

 

 

3,418,531

 

 



 

 

 

Shares

 

Value

 

COMMON EQUITIES: SOUTH KOREA (continued)

 

 

 

 

 

HEALTH CARE: 2.4%

 

 

 

 

 

Pharmaceuticals: 2.4%

 

 

 

 

 

Yuhan Corp.

 

10,073

 

$

1,723,923

 

Dong-A Pharmaceutical Co., Ltd.(c)

 

12,818

 

1,444,157

 

Total Health Care

 

 

 

3,168,080

 

TOTAL COMMON EQUITIES

(Cost $67,862,389)

 

 

 

116,148,237

 

 

 

 

 

 

 

PREFERRED EQUITIES: SOUTH KOREA: 9.9%

 

 

 

 

 

CONSUMER DISCRETIONARY: 3.2%

 

 

 

 

 

Automobiles: 3.2%

 

 

 

 

 

Hyundai Motor Co., Ltd., 2nd Pfd.

 

55,405

 

4,251,795

 

Total Consumer Discretionary

 

 

 

4,251,795

 

 

 

 

 

 

 

INFORMATION TECHNOLOGY: 2.7%

 

 

 

 

 

Semiconductors & Semiconductor Equipment: 2.7%

 

 

 

 

 

Samsung Electronics Co., Ltd., Pfd.

 

4,598

 

3,600,286

 

Total Information Technology

 

 

 

3,600,286

 

 

 

 

 

 

 

FINANCIALS: 2.2%

 

 

 

 

 

Insurance: 2.2%

 

 

 

 

 

Samsung Fire & Marine Insurance Co., Ltd., Pfd.

 

38,451

 

2,824,957

 

Total Financials

 

 

 

2,824,957

 

 

 

 

 

 

 

MATERIALS: 1.2%

 

 

 

 

 

Chemicals: 1.2%

 

 

 

 

 

LG Chem, Ltd., Pfd.

 

19,649

 

1,583,605

 

Total Materials

 

 

 

1,583,605

 

 

 

 

 

 

 

ENERGY: 0.6%

 

 

 

 

 

Oil, Gas & Consumable Fuels: 0.6%

 

 

 

 

 

S-Oil Corp., Pfd.

 

13,183

 

710,871

 

Total Energy

 

 

 

710,871

 

TOTAL PREFERRED EQUITIES

(Cost $10,351,089)

 

 

 

12,971,514

 

 

 

 

 

 

 

TOTAL INVESTMENTS: 98.3%

(Cost $78,213,478(d))

 

 

 

129,119,751

 

 

 

 

 

 

 

CASH AND OTHER ASSETS, LESS LIABILITIES : 1.7%

 

 

 

2,234,600

 

 

 

 

 

 

 

NET ASSETS: 100.0%

 

 

 

$

131,354,351

 

 


(a)

Certain securities were fair valued under the discretion of the Board of Trustees (Note A).

 

(b)

Non-income producing security.

 

(c)

Illiquid security.

 

(d)

Cost for federal income tax purposes is $78,852,466 and net unrealized appreciation consists of:

 

 

 

 

 

 

 

 

Gross unrealized appreciation

 

$

52,008,474

 

 

 

Gross unrealized depreciation

 

(1,741,189

)

 

 

Net unrealized appreciation

 

$

50,267,285

 

 

 

 

 

ADR

American Depositary Receipt

 

Pfd.

Preferred

 

 

See accompanying notes to schedules of investments.

 



 

Matthews Asia Small Companies Fund

 

March 28, 2013

Schedule of Investments(a) (unaudited)

 

 

 

 

 

Shares

 

Value

 

COMMON EQUITIES: 97.3%

 

 

 

 

 

CHINA/HONG KONG: 28.4%

 

 

 

 

 

Towngas China Co., Ltd.

 

11,588,000

 

$

10,719,426

 

Yip’s Chemical Holdings, Ltd.

 

8,116,000

 

8,707,608

 

Minth Group, Ltd.

 

5,858,000

 

8,649,738

 

Vinda International Holdings, Ltd.

 

5,409,000

 

7,744,858

 

Haitian International Holdings, Ltd.

 

4,874,000

 

7,584,868

 

Stella International Holdings, Ltd.

 

2,426,500

 

7,298,808

 

Lee’s Pharmaceutical Holdings, Ltd.

 

9,485,000

 

6,597,638

 

Trinity, Ltd.

 

12,636,000

 

6,479,001

 

KWG Property Holding, Ltd.

 

10,279,000

 

6,458,466

 

SITC International Holdings Co., Ltd.

 

16,484,000

 

6,251,230

 

Sunny Optical Technology Group Co., Ltd.

 

5,229,000

 

6,047,809

 

Vitasoy International Holdings, Ltd.

 

5,232,000

 

5,899,082

 

Dorsett Hospitality International, Ltd.

 

19,052,000

 

5,436,609

 

Airtac International Group

 

1,036,000

 

5,292,291

 

Comba Telecom Systems Holdings, Ltd.

 

14,476,011

 

4,929,244

 

Pacific Online, Ltd.

 

13,049,000

 

4,908,578

 

Xingda International Holdings, Ltd. H Shares

 

13,805,000

 

4,565,427

 

AAC Technologies Holdings, Inc.

 

688,000

 

3,317,216

 

Dah Chong Hong Holdings, Ltd.

 

2,689,000

 

2,552,720

 

Fook Woo Group Holdings, Ltd.(b),(c)

 

24,622,000

 

190,314

 

Total China/Hong Kong

 

 

 

119,630,931

 

 

 

 

 

 

 

INDIA: 15.7%

 

 

 

 

 

Ipca Laboratories, Ltd.

 

808,208

 

7,872,407

 

Emami, Ltd.

 

690,319

 

7,645,585

 

GlaxoSmithKline Consumer Healthcare, Ltd.

 

94,290

 

7,286,800

 

Page Industries, Ltd.

 

95,185

 

5,832,905

 

Federal Bank, Ltd.

 

603,251

 

5,337,538

 

MindTree, Ltd.

 

301,803

 

5,078,453

 

Gujarat Pipavav Port, Ltd.(b)

 

5,474,625

 

5,018,619

 

AIA Engineering, Ltd.

 

849,415

 

4,968,335

 

Supreme Industries, Ltd.

 

850,878

 

4,904,828

 

Castrol India, Ltd.

 

797,362

 

4,656,646

 

CRISIL, Ltd.

 

275,483

 

4,489,754

 

Berger Paints India, Ltd.

 

850,637

 

3,058,831

 

Total India

 

 

 

66,150,701

 

 

 

 

 

 

 

TAIWAN: 10.3%

 

 

 

 

 

St. Shine Optical Co., Ltd.

 

763,492

 

14,933,805

 

Pacific Hospital Supply Co., Ltd.

 

2,154,670

 

6,630,004

 

Sinmag Equipment Corp.

 

1,385,650

 

6,346,401

 

PChome Online, Inc.

 

1,306,642

 

5,392,367

 

Chroma ATE, Inc.

 

2,142,081

 

5,167,803

 

TXC Corp.

 

3,204,792

 

4,848,867

 

Total Taiwan

 

 

 

43,319,247

 

 

 

 

 

 

 

INDONESIA: 10.2%

 

 

 

 

 

PT Bank Tabungan Pensiunan Nasional(b)

 

15,645,500

 

8,550,858

 

PT AKR Corporindo

 

15,601,000

 

8,050,505

 

PT Sumber Alfaria Trijaya

 

8,889,000

 

5,945,819

 

PT Nippon Indosari Corpindo

 

6,871,500

 

5,098,964

 

PT Jasa Marga Persero

 

8,199,500

 

5,032,137

 

PT Selamat Sempurna

 

16,730,500

 

4,390,304

 

PT Astra Otoparts

 

9,400,500

 

3,899,988

 

PT Sarana Menara Nusantara(b)

 

763,500

 

2,042,809

 

Total Indonesia

 

 

 

43,011,384

 

 

 

 

 

 

 

THAILAND: 8.1%

 

 

 

 

 

Supalai Public Co., Ltd.

 

8,863,200

 

6,313,946

 

Bangkok Chain Hospital Public Co., Ltd.

 

15,484,700

 

6,242,151

 

Oishi Group Public Co., Ltd.

 

1,044,900

 

5,899,065

 

Tisco Financial Group Public Co., Ltd.

 

3,029,100

 

5,729,115

 

Aeon Thana Sinsap Thailand Public Co., Ltd. NVDR

 

1,451,500

 

5,501,673

 

SNC Former Public Co., Ltd.

 

5,790,300

 

4,710,523

 

Total Thailand

 

 

 

34,396,473

 

 

 

 

 

 

 

SOUTH KOREA: 8.1%

 

 

 

 

 

Pyeong Hwa Automotive Co., Ltd.

 

394,010

 

5,908,791

 

Cheil Worldwide, Inc.(b)

 

247,635

 

5,367,568

 

Modetour Network, Inc.

 

204,541

 

5,149,770

 

Daum Communications Corp.

 

62,275

 

5,121,855

 

Kiwoom Securities Co., Ltd.

 

76,834

 

4,692,152

 

Dongbu Insurance Co., Ltd.

 

91,431

 

3,909,280

 

POSCO Chemtech Co., Ltd.

 

34,907

 

3,881,328

 

Total South Korea

 

 

 

34,030,744

 

 

 

 

 

 

 

SINGAPORE: 6.2%

 

 

 

 

 

Super Group, Ltd.

 

3,626,000

 

11,417,634

 

Petra Foods, Ltd.

 

3,072,000

 

10,304,771

 

Amtek Engineering, Ltd.

 

9,964,000

 

4,312,150

 

Total Singapore

 

 

 

26,034,555

 

 

 

 

 

 

 

MALAYSIA: 6.1%

 

 

 

 

 

KPJ Healthcare BHD

 

3,380,900

 

6,476,074

 

Alliance Financial Group BHD

 

3,828,000

 

5,439,432

 

Dialog Group BHD

 

6,995,205

 

5,383,963

 

LPI Capital BHD

 

1,111,000

 

4,919,117

 

Oldtown BHD

 

4,249,800

 

3,383,314

 

Total Malaysia

 

 

 

25,601,900

 

 

 

 

 

 

 

PHILIPPINES: 4.2%

 

 

 

 

 

RFM Corp.

 

48,320,000

 

5,570,098

 

Vista Land & Lifescapes, Inc.

 

34,709,200

 

4,606,510

 

Security Bank Corp.

 

1,000,030

 

4,461,831

 

Philippine Seven Corp.

 

1,265,000

 

2,913,747

 

Total Philippines

 

 

 

17,552,186

 

TOTAL COMMON EQUITIES

(Cost $353,693,949)

 

 

 

409,728,121

 

 

 

 

 

 

 

WARRANTS: 0.0%

 

 

 

 

 

MALAYSIA: 0.0%

 

 

 

 

 

Dialog Group BHD, expires 02/12/17

 

582,933

 

86,598

 

Total Malaysia

 

 

 

86,598

 

TOTAL WARRANTS

(Cost $0)

 

 

 

86,598

 

 

 

 

 

 

 

TOTAL INVESTMENTS: 97.3%

(Cost $353,693,949(d))

 

 

 

 

409,814,719

 

 

 

 

 

 

 

CASH AND OTHER ASSETS, LESS LIABILITIES : 2.7%

 

 

 

11,443,602

 

 

 

 

 

 

 

NET ASSETS: 100.0%

 

 

 

$

421,258,321

 

 



 


(a)

Certain securities were fair valued under the discretion of the Board of Trustees (Note A).

 

(b)

Non-income producing security.

 

(c)

Illiquid security.

 

(d)

Cost for federal income tax purposes is $353,727,372 and net unrealized appreciation consists of:

 

 

 

 

 

 

 

 

 

Gross unrealized appreciation

 

$

89,651,237

 

 

 

Gross unrealized depreciation

 

(33,563,890

)

 

 

Net unrealized appreciation

 

$

56,087,347

 

 

 

 

 

BHD

Berhad

 

NVDR

Non-voting Depositary Receipt

 

 

See accompanying notes to schedules of investments.

 



 

Matthews China Small Companies Fund

 

March 28, 2013

Schedule of Investments(a) (unaudited)

 

 

 

 

 

Shares

 

Value

 

COMMON EQUITIES: 94.3%

 

 

 

 

 

CONSUMER DISCRETIONARY: 25.7%

 

 

 

 

 

Leisure Equipment & Products: 7.6%

 

 

 

 

 

Sunny Optical Technology Group Co., Ltd.

 

625,000

 

$

722,869

 

Goodbaby International Holdings, Ltd.

 

1,045,000

 

615,376

 

 

 

 

 

1,338,245

 

Hotels, Restaurants & Leisure: 4.2%

 

 

 

 

 

Gourmet Master Co., Ltd.

 

50,970

 

284,746

 

Tao Heung Holdings, Ltd.

 

483,000

 

275,020

 

Home Inns & Hotels Management, Inc. ADR(b)

 

6,100

 

181,719

 

 

 

 

 

741,485

 

Auto Components: 3.4%

 

 

 

 

 

Minth Group, Ltd.

 

412,000

 

608,346

 

 

 

 

 

 

 

Multiline Retail: 2.8%

 

 

 

 

 

Springland International Holdings, Ltd.

 

961,000

 

485,971

 

 

 

 

 

 

 

Media: 2.6%

 

 

 

 

 

Television Broadcasts, Ltd.

 

61,300

 

465,024

 

 

 

 

 

 

 

Diversified Consumer Services: 2.0%

 

 

 

 

 

TAL Education Group ADR

 

38,300

 

358,871

 

 

 

 

 

 

 

Textiles, Apparel & Luxury Goods: 1.6%

 

 

 

 

 

Trinity, Ltd.

 

312,000

 

159,975

 

Anta Sports Products, Ltd.

 

149,000

 

127,714

 

 

 

 

 

287,689

 

Specialty Retail: 1.5%

 

 

 

 

 

Hengdeli Holdings, Ltd.

 

932,000

 

261,501

 

Total Consumer Discretionary

 

 

 

4,547,132

 

 

 

 

 

 

 

INDUSTRIALS: 17.0%

 

 

 

 

 

Machinery: 7.1%

 

 

 

 

 

Yungtay Engineering Co., Ltd.

 

274,000

 

536,324

 

Haitian International Holdings, Ltd.

 

214,000

 

333,025

 

Airtac International Group

 

43,000

 

219,661

 

Sany Heavy Equipment International Holdings Co., Ltd.

 

346,000

 

160,471

 

 

 

 

 

1,249,481

 

Electrical Equipment: 3.7%

 

 

 

 

 

Hangzhou Steam Turbine Co., Ltd. B Shares

 

318,843

 

534,970

 

Zhuzhou CSR Times Electric Co., Ltd. H Shares

 

43,000

 

122,473

 

 

 

 

 

657,443

 

Transportation Infrastructure: 2.3%

 

 

 

 

 

Yuexiu Transport Infrastructure, Ltd.

 

784,000

 

410,524

 

 

 

 

 

 

 

Professional Services: 2.1%

 

 

 

 

 

51job, Inc. ADR(b)

 

6,155

 

365,668

 

 

 

 

 

 

 

Marine: 1.8%

 

 

 

 

 

SITC International Holdings Co., Ltd.

 

851,000

 

322,725

 

Total Industrials

 

 

 

3,005,841

 

 

 

 

 

 

 

HEALTH CARE: 15.7%

 

 

 

 

 

Pharmaceuticals: 8.7%

 

 

 

 

 

Sino Biopharmaceutical

 

1,296,000

 

906,611

 

Lee’s Pharmaceutical Holdings, Ltd.

 

590,000

 

410,396

 

Tianjin ZhongXin Pharmaceutical Group Corp., Ltd. S Shares

 

203,000

 

218,736

 

 

 

 

 

1,535,743

 

Health Care Equipment & Supplies: 5.3%

 

 

 

 

 

Ginko International Co., Ltd.

 

37,000

 

611,299

 

St. Shine Optical Co., Ltd.

 

17,000

 

332,518

 

 

 

 

 

943,817

 

Life Sciences Tools & Services: 1.7%

 

 

 

 

 

WuXi PharmaTech Cayman, Inc. ADR(b)

 

17,500

 

300,650

 

Total Health Care

 

 

 

2,780,210

 

 

 

 

 

 

 

FINANCIALS: 12.2%

 

 

 

 

 

Real Estate Management & Development: 10.7%

 

 

 

 

 

China Overseas Grand Oceans Group, Ltd.

 

645,750

 

854,855

 

Franshion Properties China, Ltd.

 

1,620,000

 

531,147

 

K Wah International Holdings, Ltd.

 

516,000

 

290,647

 

KWG Property Holding, Ltd.

 

333,000

 

209,229

 

 

 

 

 

1,885,878

 

Diversified Financial Services: 1.5%

 

 

 

 

 

Chailease Holding Co., Ltd.

 

94,000

 

261,929

 

Total Financials

 

 

 

2,147,807

 

 

 

 

 

 

 

MATERIALS: 7.6%

 

 

 

 

 

Containers & Packaging: 5.0%

 

 

 

 

 

Greatview Aseptic Packaging Co., Ltd.

 

933,000

 

625,268

 

Taiwan Hon Chuan Enterprise Co., Ltd.

 

99,535

 

257,753

 

 

 

 

 

883,021

 

Chemicals: 2.6%

 

 

 

 

 

Yip’s Chemical Holdings, Ltd.

 

422,000

 

452,761

 

Total Materials

 

 

 

1,335,782

 

 

 

 

 

 

 

INFORMATION TECHNOLOGY: 6.2%

 

 

 

 

 

Electronic Equipment, Instruments & Components: 3.2%

 

 

 

 

 

Digital China Holdings, Ltd.

 

215,000

 

291,618

 

PAX Global Technology, Ltd.(b)

 

1,108,000

 

255,971

 

China High Precision Automation Group, Ltd.(c)

 

195,000

 

10,048

 

 

 

 

 

557,637

 

Internet Software & Services: 2.0%

 

 

 

 

 

21Vianet Group, Inc. ADR(b)

 

23,600

 

221,840

 

Sina Corp.(b)

 

2,900

 

140,911

 

 

 

 

 

362,751

 

Semiconductors & Semiconductor Equipment: 1.0%

 

 

 

 

 

Spreadtrum Communications, Inc. ADR

 

5,800

 

118,958

 

RDA Microelectronics, Inc. ADR

 

6,200

 

57,350

 

 

 

 

 

176,308

 

Total Information Technology

 

 

 

1,096,696

 

 

 

 

 

 

 

UTILITIES: 5.2%

 

 

 

 

 

Gas Utilities: 5.2%

 

 

 

 

 

Towngas China Co., Ltd.

 

990,000

 

915,795

 

Total Utilities

 

 

 

915,795

 

 

 

 

 

 

 

CONSUMER STAPLES: 4.1%

 

 

 

 

 

Food Products: 1.9%

 

 

 

 

 

Shenguan Holdings Group, Ltd.

 

498,000

 

258,650

 

Tenfu Cayman Holdings Co., Ltd.

 

136,000

 

71,847

 

 

 

 

 

330,497

 

 



 

 

 

Shares

 

Value

 

COMMON EQUITIES: (continued)

 

 

 

 

 

Household Products: 1.3%

 

 

 

 

 

Vinda International Holdings, Ltd.

 

163,000

 

$

233,391

 

 

 

 

 

 

 

Food & Staples Retailing: 0.9%

 

 

 

 

 

Wumart Stores, Inc. H Shares

 

85,000

 

153,658

 

Total Consumer Staples

 

 

 

717,546

 

 

 

 

 

 

 

ENERGY: 0.6%

 

 

 

 

 

Oil, Gas & Consumable Fuels: 0.6%

 

 

 

 

 

Sinopec Kantons Holdings, Ltd.

 

112,000

 

98,528

 

Total Energy

 

 

 

98,528

 

 

 

 

 

 

 

TOTAL INVESTMENTS: 94.3%

(Cost $15,062,608(d))

 

 

 

16,645,337

 

 

 

 

 

 

 

CASH AND OTHER ASSETS, LESS LIABILITIES : 5.7%

 

 

 

1,009,202

 

 

 

 

 

 

 

NET ASSETS: 100.0%

 

 

 

$

17,654,539

 

 


(a)

Certain securities were fair valued under the discretion of the Board of Trustees (Note A).

 

(b)

Non-income producing security.

 

(c)

Illiquid security.

 

(d)

Cost for federal income tax purposes is $15,143,472 and net unrealized appreciation consists of:

 

 

 

 

 

 

 

 

Gross unrealized appreciation

 

$

2,409,408

 

 

 

Gross unrealized depreciation

 

(907,543

)

 

 

Net unrealized appreciation

 

$

1,501,865

 

 

 

 

 

ADR

American Depositary Receipt

 

 

See accompanying notes to schedules of investments.

 



 

Matthews Asia Science and Technology Fund

 

March 28, 2013

Schedule of Investments(a) (unaudited)

 

 

 

 

 

Shares

 

Value

 

COMMON EQUITIES: 95.6%

 

 

 

 

 

CHINA/HONG KONG: 27.1%

 

 

 

 

 

Baidu, Inc. ADR(b)

 

83,800

 

$

7,349,260

 

Sunny Optical Technology Group Co., Ltd.

 

3,672,000

 

4,246,998

 

51job, Inc. ADR(b)

 

57,049

 

3,389,281

 

Sinopharm Group Co., Ltd. H Shares

 

770,000

 

2,488,127

 

NetEase, Inc. ADR

 

42,800

 

2,344,156

 

Airtac International Group

 

445,000

 

2,273,233

 

Haitian International Holdings, Ltd.

 

1,390,000

 

2,163,104

 

WuXi PharmaTech Cayman, Inc. ADR(b)

 

114,400

 

1,965,392

 

21Vianet Group, Inc. ADR(b)

 

202,001

 

1,898,809

 

Citic Telecom International Holdings, Ltd.

 

4,907,000

 

1,830,882

 

AAC Technologies Holdings, Inc.

 

351,500

 

1,694,770

 

Xingda International Holdings, Ltd. H Shares

 

4,526,000

 

1,496,785

 

Lenovo Group, Ltd.

 

1,442,000

 

1,438,251

 

Digital China Holdings, Ltd.

 

481,000

 

652,410

 

Total China/Hong Kong

 

 

 

35,231,458

 

 

 

 

 

 

 

JAPAN: 25.3%

 

 

 

 

 

Murata Manufacturing Co., Ltd.

 

52,300

 

3,954,388

 

Nitto Denko Corp.

 

64,600

 

3,889,713

 

Softbank Corp.

 

70,000

 

3,225,024

 

Asahi Intecc Co., Ltd.

 

53,800

 

2,842,615

 

Hitachi, Ltd.

 

461,000

 

2,691,326

 

Toshiba Corp.

 

506,000

 

2,580,339

 

FANUC Corp.

 

15,100

 

2,324,956

 

Nabtesco Corp.

 

103,300

 

2,120,890

 

OSG Corp.

 

132,600

 

1,831,782

 

Sony Corp. ADR

 

101,200

 

1,760,880

 

Kyocera Corp.

 

17,600

 

1,614,844

 

Bit-isle, Inc.

 

113,000

 

1,572,683

 

Nuflare Technology, Inc.

 

257

 

1,541,364

 

Endo Lighting Corp.

 

34,000

 

1,024,185

 

Total Japan

 

 

 

32,974,989

 

 

 

 

 

 

 

TAIWAN: 16.8%

 

 

 

 

 

Taiwan Semiconductor Manufacturing Co., Ltd.

 

1,765,933

 

5,914,562

 

St. Shine Optical Co., Ltd.

 

203,000

 

3,970,654

 

Delta Electronics, Inc.

 

871,000

 

3,653,279

 

MediaTek, Inc.

 

298,000

 

3,405,762

 

Largan Precision Co., Ltd.

 

62,000

 

1,624,641

 

Chroma ATE, Inc.

 

622,360

 

1,501,453

 

PChome Online, Inc.

 

305,732

 

1,261,722

 

TXC Corp.

 

341,198

 

516,234

 

Total Taiwan

 

 

 

21,848,307

 

 

 

 

 

 

 

SOUTH KOREA: 16.4%

 

 

 

 

 

Samsung Electronics Co., Ltd.

 

7,707

 

10,504,875

 

NHN Corp.

 

8,593

 

2,077,369

 

Daum Communications Corp.

 

23,644

 

1,944,619

 

iMarketKorea, Inc.

 

83,970

 

1,906,068

 

LG Chem, Ltd.

 

7,154

 

1,716,323

 

Samsung SDI Co., Ltd.

 

13,045

 

1,655,644

 

SK Telecom Co., Ltd. ADR

 

87,300

 

1,560,051

 

Total South Korea

 

 

 

21,364,949

 

 

 

 

 

 

 

INDIA: 4.6%

 

 

 

 

 

Info Edge India, Ltd.

 

428,182

 

2,831,437

 

Ipca Laboratories, Ltd.

 

193,078

 

1,880,690

 

MindTree, Ltd.

 

79,506

 

1,337,851

 

Total India

 

 

 

6,049,978

 

 

 

 

 

 

 

THAILAND: 1.6%

 

 

 

 

 

Advanced Info Service Public Co., Ltd.

 

251,300

 

2,030,246

 

Total Thailand

 

 

 

2,030,246

 

 

 

 

 

 

 

UNITED STATES: 1.4%

 

 

 

 

 

Cognizant Technology Solutions Corp. Class A(b)

 

24,400

 

1,869,284

 

Total United States

 

 

 

1,869,284

 

 

 

 

 

 

 

INDONESIA: 1.3%

 

 

 

 

 

PT Astra Graphia

 

8,981,500

 

1,725,764

 

Total Indonesia

 

 

 

1,725,764

 

 

 

 

 

 

 

MALAYSIA: 1.1%

 

 

 

 

 

KPJ Healthcare BHD

 

715,100

 

1,369,766

 

Total Malaysia

 

 

 

1,369,766

 

TOTAL COMMON EQUITIES

(Cost $96,466,970)

 

 

 

124,464,741

 

 

 

 

 

 

 

PREFERRED EQUITIES: 2.5%

 

 

 

 

 

SOUTH KOREA: 2.5%

 

 

 

 

 

Samsung Electronics Co., Ltd., Pfd.

 

4,182

 

3,274,554

 

Total South Korea

 

 

 

3,274,554

 

TOTAL PREFERRED EQUITIES

(Cost $2,841,593)

 

 

 

3,274,554

 

 

 

 

 

 

 

TOTAL INVESTMENTS: 98.1%

(Cost $99,308,563(c))

 

 

 

127,739,295

 

 

 

 

 

 

 

CASH AND OTHER ASSETS, LESS LIABILITIES : 1.9%

 

 

 

2,429,039

 

 

 

 

 

 

 

NET ASSETS: 100.0%

 

 

 

$

130,168,334

 

 


(a)

Certain securities were fair valued under the discretion of the Board of Trustees (Note A).

 

(b)

Non-income producing security.

 

(c)

Cost for federal income tax purposes is $99,460,155 and net unrealized appreciation consists of:

 

 

 

 

 

Gross unrealized appreciation

 

$

31,998,296

 

 

 

Gross unrealized depreciation

 

(3,719,156

)

 

 

Net unrealized appreciation

 

$

28,279,140

 

 

 

 

 

ADR

American Depositary Receipt

 

BHD

Berhad

 

Pfd.

Preferred

 

 

See accompanying notes to schedules of investments.

 



 

Notes to Schedules of Investments (unaudited)

 

A.    SECURITY VALUATION: The value of the Matthews Asia Funds’ (the “Trust”, each a “Fund”, collectively the “Funds”) securities is based on market quotations for those securities, or on their fair value determined by or under the direction of the Funds’ Board of Trustees (the “Board”). Market quotations and valuation information are provided by commercial pricing services or securities dealers that are independent of the Funds and Matthews International Capital Management, LLC (“Matthews”), in accordance with procedures established by the Funds’ Board. Foreign exchange-traded securities are valued as of the close of trading on the primary exchange on which they trade. Securities that trade in over-the-counter markets, including most debt securities (bonds), may be valued by other third-party vendors or by using indicative bid quotations from dealers or market makers, or other available market information. Market values for securities are determined based on quotations, market data or other information from the principal (or most advantageous) market on which the security is traded. Market quotations for equity securities used by the Funds include last reported sale prices, or, if such prices are not reported or available, bid and ask prices. Financial futures contracts traded on exchanges are valued at their settlement price. Foreign currency exchange contracts are valued at the mean between the bid and ask prices and are determined at the close of business on the New York Stock Exchange (“NYSE”). Interpolated values are derived when the settlement date of the contract is an interim date for which quotations are not available. The Funds may also utilize independent pricing services to assist them in determining a current market value for each security based on sources believed to be reliable.

 

The Board has delegated the responsibility of making fair value determinations to the Funds’ Valuation Committee (the “Valuation Committee”) subject to the Funds’ Pricing Policies. When fair value pricing is employed, the prices of securities used by a Fund to calculate its Net Asset Value (“NAV”) may differ from any quoted or published prices for the same securities for that day. All fair value determinations are made subject to the Board’s oversight. Events affecting the value of foreign investments may occur between the time at which they are determined and when the Funds calculate their NAV, which is normally the close of trading on the NYSE. If such events render market quotations unreliable, and the impact of such events can be reasonably determined, the investments will be valued at their fair value in accordance with pricing policies. The fair value of a security held by the Funds may be determined using the services of third-party pricing services to assist in this process.

 

The books and records of the Funds are maintained in U.S. dollars. Transactions, portfolio securities, and assets and liabilities denominated in a foreign currency are translated and recorded in U.S. dollars at the prevailing exchange rate as of the close of trading on the NYSE.  Translation gains or losses resulting from changes in the exchange rate during the reporting period and realized gains and losses on the settlement of foreign currency transactions are reported in the results of operations for the current period. The Funds do not isolate that portion of gains and losses on investments in securities that is due to changes in foreign exchange rate from that which is due to changes in market prices of securities.

 

Foreign securities held by the Funds may be traded on days and at times when the NYSE is closed. Accordingly, the NAV of the Funds may be significantly affected on days when shareholders have no access to the Funds.

 

B.    FAIR VALUE MEASUREMENTS: In accordance with the guidance on fair value measurements and disclosures under generally accepted accounting principles in the United States (“U.S. GAAP”), the Funds disclose the fair value of their investments in a hierarchy that prioritizes the inputs to valuation techniques used to measure the fair value. The hierarchy gives the highest priority to valuations based upon unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurement) and the lowest priority to valuations based upon unobservable inputs that are significant to the valuation (Level 3 measurements). Various inputs are used in determining the fair value of investments and derivative financial instruments, which are as follows:

 

Level 1: Quoted prices in active markets for identical securities.

 



 

Level 2: Other significant observable inputs (including quoted prices for similar securities, 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).

 

As of March 28, 2013, Level 3 securities consist of equities that, as of March 28, 2013, were suspended from trading and certain foreign government obligations, using a quoted price. As described in Note A, these securities are valued based on their fair value as determined under the direction of the Board. The significant unobservable inputs, the methodology used for valuing such securities, and the characterization of such securities as Level 3 securities are not necessarily an indication of liquidity, or the risk associated with investing in these securities. Certain of the Funds’ securities categorized as Level 3 were valued utilizing third party pricing information which is based on unobservable inputs. A significant change in the unobservable inputs could result in a significantly lower or higher value in such Level 3 securities.

 

The summary of inputs used to determine the fair valuation of the Fund’s investments and derivative financial instruments as of March 28, 2013 is as follows:

 

 

 

 

 

Matthews Asian

 

 

 

 

 

 

 

 

 

Matthews Asia

 

Growth and

 

Matthews Asia

 

Matthews Asia

 

Matthews Pacific

 

 

 

Strategic Income Fund

 

Income Fund

 

Dividend Fund

 

Growth Fund

 

Tiger Fund

 

Level 1: Quoted Prices

 

 

 

 

 

 

 

 

 

 

 

Common Equities:

 

 

 

 

 

 

 

 

 

 

 

China/Hong Kong

 

$

 

$

201,620,303

 

$

493,308,577

 

$

30,343,301

 

$

331,982,337

 

India

 

 

 

 

10,799,581

 

204,051,629

 

Indonesia

 

 

69,603,520

 

32,350,941

 

 

16,936,556

 

Japan

 

515,515

 

 

 

 

 

Malaysia

 

 

133,912,870

 

97,049,249

 

4,696,158

 

43,904,468

 

Philippines

 

 

60,735,408

 

50,100,073

 

 

 

Singapore

 

 

 

 

4,412,565

 

 

South Korea

 

 

74,929,780

 

82,380,910

 

 

 

Sri Lanka

 

 

 

 

11,180,774

 

 

Taiwan

 

 

100,905,494

 

179,758,599

 

 

 

Vietnam

 

 

49,841,704

 

 

14,593,524

 

99,328,292

 

Level 2: Other Significant Observable Inputs

 

 

 

 

 

 

 

 

 

 

 

Foreign Government Obligations(a)

 

15,170,878

 

 

 

 

 

Corporate Bonds(a)

 

34,100,930

 

516,823,603

 

 

 

 

Common Equities:

 

 

 

 

 

 

 

 

 

 

 

Australia

 

376,167

 

390,539,942

 

444,706,609

 

18,626,734

 

 

Cambodia

 

 

 

 

8,621,473

 

 

China/Hong Kong

 

855,693

 

820,277,852

 

1,043,313,370

 

47,078,312

 

1,638,935,561

 

India

 

 

75,067,280

 

54,745,047

 

23,359,462

 

953,133,632

 

Indonesia

 

 

97,784,310

 

277,069,070

 

36,947,681

 

739,113,534

 

Japan

 

 

423,588,341

 

915,729,745

 

234,643,579

 

 

Malaysia

 

428,055

 

141,407,293

 

4,378,845

 

8,892,128

 

317,169,633

 

Philippines

 

549,579

 

 

 

8,286,269

 

218,708,329

 

Singapore

 

1,163,074

 

666,660,757

 

505,704,881

 

7,029,609

 

186,132,712

 

South Korea

 

 

95,772,150

 

14,954,332

 

 

1,095,307,376

 

Sri Lanka

 

 

 

 

18,648,848

 

 

Switzerland

 

 

 

 

 

49,277,638

 

Taiwan

 

 

69,239,797

 

164,041,833

 

24,986,646

 

552,921,128

 

Thailand

 

1,294,064

 

322,659,527

 

205,549,192

 

32,794,594

 

651,489,043

 

United Kingdom

 

 

75,378,369

 

 

 

 

Preferred Equities:

 

 

 

 

 

 

 

 

 

 

 

South Korea

 

 

139,653,286

 

70,621,517

 

 

 

Level 3: Significant Unobservable Inputs

 

 

 

 

 

 

 

 

 

 

 

Corporate Bonds(a)

 

2,104,757

 

 

 

 

 

Total Market Value of Investments

 

$

56,558,712

 

$

4,526,401,586

 

$

4,635,762,790

 

$

545,941,238

 

$

7,098,391,868

 

 


(a)    Industry, countries, or security types are disclosed on the Schedule of Investments.

 

 

 

Matthews Asia

 

 

 

Strategic Income

 

 

 

Fund

 

Derivative Financial Instruments(1)

 

 

 

Assets:

 

 

 

Level 1:

Quoted Prices

 

 

 

 

Interest Rate Contracts

 

$

(12,163

)

Level 2:

Other Significant Observable Inputs

 

 

 

 

Foreign Currency Exchange Contracts

 

31,947

 

Total Market Value of Derivative Financial Instruments

 

$

19,784

 

 


(1)   Derivative financial instruments are financial futures contracts and foreign currency exchange contracts. Financial futures contracts and foreign currency exchange contracts are valued at the unrealized appreciation/depreciation on the instrument.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Matthews China

 

Matthews

 

Matthews

 

Matthews

 

Matthews

 

Matthews China

 

 

 

Dividend Fund

 

China Fund

 

India Fund

 

Japan Fund

 

Korea Fund

 

Small Companies Fund

 

Investments

 

 

 

 

 

 

 

 

 

 

 

 

 

Level 1: Quoted Prices

 

 

 

 

 

 

 

 

 

 

 

 

 

Common Equities:

 

 

 

 

 

 

 

 

 

 

 

 

 

Consumer Discretionary

 

$

3,690,522

 

$

34,772,258

 

$

17,045,250

 

$

1,002,240

 

$

2,500,132

 

$

815,610

 

Consumer Staples

 

 

 

62,737,374

 

2,972,450

 

2,419,651

 

 

Energy

 

5,306,220

 

 

 

 

 

 

Financials

 

5,092,977

 

12,795,732

 

10,432,502

 

2,402,515

 

958,411

 

 

Health Care

 

 

61,007,072

 

 

1,535,501

 

 

300,650

 

Industrials

 

4,530,068

 

 

47,486,712

 

 

 

698,693

 

Information Technology

 

 

57,791,944

 

27,371,722

 

 

 

539,059

 

Materials

 

 

 

 

 

4,629,430

 

 

Telecommunication Services

 

7,100,352

 

24,763,893

 

 

 

3,418,531

 

 

Level 2: Other Significant Observable Inputs

 

 

 

 

 

 

 

 

 

 

 

 

 

Common Equities:

 

 

 

 

 

 

 

 

 

 

 

 

 

Consumer Discretionary

 

30,474,791

 

288,498,217

 

44,065,121

 

27,261,403

 

30,403,107

 

3,731,522

 

Consumer Staples

 

6,747,754

 

199,973,732

 

40,221,661

 

5,223,263

 

12,955,474

 

717,546

 

Energy

 

3,944,185

 

126,412,225

 

4,144,034

 

 

4,267,727

 

98,528

 

Financials

 

13,588,111

 

450,649,692

 

137,026,930

 

32,753,764

 

19,896,325

 

2,147,807

 

Health Care

 

9,304,521

 

48,135,244

 

35,910,398

 

9,267,739

 

1,723,923

 

2,479,560

 

Industrials

 

10,996,220

 

193,863,606

 

65,690,401

 

32,544,720

 

6,199,763

 

2,307,148

 

Information Technology

 

2,894,053

 

157,146,961

 

 

21,546,460

 

22,363,187

 

547,589

 

Materials

 

1,251,679

 

 

82,620,713

 

6,917,262

 

2,968,419

 

1,335,782

 

Telecommunication Services

 

 

85,794,053

 

17,263,173

 

1,713,870

 

 

 

Utilities

 

5,187,983

 

120,975,163

 

 

 

 

915,795

 

Rights:

 

 

 

 

 

 

 

 

 

 

 

 

 

Consumer Discretionary

 

 

1,719,037

 

 

 

 

 

Preferred Equities:

 

 

 

 

 

 

 

 

 

 

 

 

 

Consumer Discretionary

 

 

 

 

 

4,251,795

 

 

Energy

 

 

 

 

 

710,871

 

 

Financials

 

 

 

 

 

2,824,957

 

 

Information Technology

 

 

 

 

 

3,600,286

 

 

Materials

 

 

 

 

 

1,583,605

 

 

Corporate Bonds(a)

 

 

 

8,100,400

 

 

 

 

Level 3: Significant Unobservable Inputs

 

 

 

 

 

 

 

 

 

 

 

 

 

Common Equities:

 

 

 

 

 

 

 

 

 

 

 

 

 

Health Care

 

 

 

 

 

1,444,157

 

 

Information Technology

 

 

 

 

 

 

10,048

 

Total Market Value of Investments

 

$

110,109,436

 

$

1,864,298,829

 

$

600,116,391

 

$

145,141,187

 

$

129,119,751

 

$

16,645,337

 

 


(a)    Industry, countries, or security types are disclosed on the Schedule of Investments.

 



 

 

 

Matthews Asia

 

Matthews Asia

 

 

 

Small Companies

 

Science and Technology

 

 

 

Fund

 

Fund

 

Level 1: Quoted Prices

 

 

 

 

 

Common Equities:

 

 

 

 

 

China/Hong Kong

 

$

12,493,446

 

$

19,110,002

 

India

 

31,397,685

 

6,049,978

 

Indonesia

 

12,378,932

 

 

Japan

 

 

1,760,880

 

Malaysia

 

5,439,432

 

 

Philippines

 

2,913,747

 

 

South Korea

 

 

1,560,051

 

Thailand

 

5,501,673

 

 

United States

 

 

1,869,284

 

Warrants:

 

 

 

 

 

Malaysia

 

86,598

 

 

Level 2: Other Significant Observable Inputs

 

 

 

 

 

Common Equities:

 

 

 

 

 

China/Hong Kong

 

106,947,171

 

16,121,456

 

India

 

34,753,016

 

 

Indonesia

 

30,632,452

 

1,725,764

 

Japan

 

 

31,214,109

 

Malaysia

 

20,162,468

 

1,369,766

 

Philippines

 

14,638,439

 

 

Singapore

 

26,034,555

 

 

South Korea

 

34,030,744

 

19,804,898

 

Taiwan

 

43,319,247

 

21,848,307

 

Thailand

 

28,894,800

 

2,030,246

 

Preferred Equities:

 

 

 

 

 

South Korea

 

 

3,274,554

 

Level 3: Significant Unobservable Inputs

 

 

 

 

 

Common Equities:

 

 

 

 

 

China/Hong Kong

 

190,314

 

 

Total Market Value of Investments

 

$

409,814,719

 

$

127,739,295

 

 

Certain foreign securities may be fair valued by external pricing services when the Funds determine that events affecting the value of foreign securities which occur between the time at which they are determined and the close of trading on the NYSE render market quotations unreliable. Such fair valuations are categorized as Level 2 in the fair value hierarchy. Foreign securities that are valued based on market quotations are categorized as Level 1 in the fair value hierarchy (see Note A). The Funds’ policy is to recognize transfers in and transfers out as of the beginning of the reporting period. At March 28, 2013, the Funds utilized third party pricing services to fair value certain markets which were different than markets which utilized third party pricing services at December 31, 2012. As a result, certain securities held by the Funds were transferred from Level 2 into Level 1 and certain securities held by the Funds were transferred from Level 1 into Level 2 with beginning of period values as follows:

 

 

 

Transfer to Level 1
from Level 2

 

Transfer to Level 2
from Level 1

 

Matthews Asian Growth and Income Fund

 

$

254,050,986

 

$

 

Matthews Asia Dividend Fund

 

207,099,433

 

33,808,481

 

Matthews China Dividend Fund

 

 

1,503,892

 

Matthews Asia Growth Fund

 

38,338,725

 

 

Matthews Pacific Tiger Fund

 

365,493,792

 

94,394,016

 

Matthews India Fund

 

101,579,439

 

20,318,857

 

Matthews Japan Fund

 

2,626,612

 

2,904,784

 

Matthews Korea Fund

 

3,855,860

 

5,150,775

 

Matthews Asia Small Companies Fund

 

43,452,076

 

13,244,976

 

Matthews Asia Science and Technology Fund

 

978,113

 

4,298,984

 

 



 

A reconciliation of Level 3 investments for which significant unobservable inputs were used to determine value are as follows:

 

 

 

Matthews Asia

 

Matthews Asia

 

Matthews

 

Matthews Asia

 

Matthews

 

 

 

Strategic Income Fund

 

Strategic Income Fund

 

Korea Fund

 

Small Companies Fund

 

China Small Companies Fund

 

 

 

 

 

 

 

Common Equities -

 

Common Equities -

 

Common Equities -

 

 

 

Corporate Bonds

 

Foreign Government Obligations

 

Health Care

 

China

 

Information Technology

 

Balance as of 12/31/12 (market value)

 

$

212,844

 

$

 

$

 

$

190,601

 

$

10,064

 

Accrued discounts/premiums

 

 

4,710

 

 

 

 

Realized gain/(loss)

 

 

 

235,530

 

 

 

Change in unrealized appreciation/depreciation

 

 

(61,052

)

(38,071

)

(287

)

(16

)

Purchases

 

 

2,161,099

 

 

 

 

Sales

 

 

 

(578,890

)

 

 

Transfers in to Level 3*

 

 

 

1,825,588

 

 

 

Transfers out of Level 3*

 

(212,844

)

 

 

 

 

Balance as of 3/28/13 (market value)

 

$

 

$

2,104,757

 

$

1,444,157

 

$

190,314

 

$

10,048

 

 

 

 

 

 

 

 

 

 

 

 

 

Net change in unrealized appreciation/depreciation on

 

 

 

 

 

 

 

 

 

 

 

Level 3 investments held as of 03/28/13

 

$

 

$

(61,052

)

$

(38,071

)

$

(287

)

$

(16

)

 


*   The Fund’s policy is to recognize transfers in and transfer out as of the beginning of the reporting period.

 

Certain foreign securities, for which market quotations are not readily available, may be fair valued and classified as either Level 2 or Level 3. When the underlying inputs include significant observable inputs obtained from sources independent of the Funds, the securities are classified as Level 2. When the underlying inputs include significant unobservable inputs and reflect assumptions of market participants, the securities are classified as Level 3. As of March 28, 2013, the Funds utilized significant observable inputs including evaluated prices from the Funds’ pricing vendors, day-on-day price changes, primary and ancillary pricing sources, and other available independent market indicators of value. As a result, certain securities held by the Funds that were previously classified as Level 3 were transferred to Level 2.  As of March 28, 2013, certain equity securities were suspended from trading and were transferred from Level 2 to Level 3.

 

C.    DERIVATIVE FINANCIAL INSTRUMENTS

 

Matthews Asia Strategic Income Fund engages in various portfolio investment strategies using derivative contracts to hedge its exposure to foreign currency exchange rate risk. Losses may arise if the value of the contract decreases due to an unfavorable change in the market rates or values of the underlying instrument or if the counterparty does not perform under the contract. The Fund’s primary risks associated with the use of derivatives include the other party to the derivative contract may fail to fulfill its obligation, reduced liquidity, the Fund may suffer disproportionate heavy losses relative to the amount invested, and changes in the value of the derivatives may not match or fully offset changes in the value of the hedged portfolio securities, thereby failing to achieve the original purpose for using the derivative.

 

Financial Futures Contracts: Matthews Asia Strategic Income Fund may purchase financial futures contracts for hedging purposes or to maintain liquidity. Financial futures contracts are agreements between the Fund and a counterparty to buy or sell a specific quantity of an underlying instrument at a specified price and at a specified date. Depending on the terms of the particular contract, futures contracts are settled either through physical delivery of the underlying instrument on the settlement date or by payment of a cash settlement amount on settlement date. Pursuant to the contract, the Fund agrees to receive from or pay an amount of cash equal to the daily fluctuation in value of the contract. Such receipts or payments are known as variation margin and are recorded by the Fund as unrealized appreciation or depreciation. When the contract is closed, the Fund records a realized gain or loss equal to the difference between the value of the contract at the time it was opened and the value at the time it was closed. The primary risks associated with the use of futures contracts are: (i) imperfect correlation between the change in market value of the securities held by the Fund and the price of futures contracts; (ii) possible lack of a liquid secondary market for a futures contract and the resulting inability to close a futures contract when desired; (iii) losses, which are potentially unlimited, due to unanticipated market movements; and (iv) Matthews’ ability to predict correctly the direction of security prices, interest rates and other economic factors.

 

Forward Foreign Currency Exchange Contracts: Matthews Asia Strategic Income Fund entered into forward foreign currency exchange contracts as a hedge against either specific transactions or portfolio instruments or to obtain exposure to foreign currencies (foreign currency exchange rate risk). Forward foreign currency exchange contracts, when used by the Fund, may also help to manage the overall exposure to the currencies (currency risk) in which some of the investments held by the Fund are denominated. A forward foreign currency exchange contract is an agreement between two parties to buy and sell a currency at a set exchange rate on a future date. The contract is marked-to-market daily and the change in market value is recorded by the Fund as an unrealized gain or loss. When the contract is closed, the Fund records a realized gain or loss equal to the difference between the value at the time it was opened and the value at the time it was closed.  The use of forward foreign currency exchange contracts involves the risk that the value of a forward foreign currency exchange contract changes unfavorably due to movements in the value of the referenced foreign currencies and the risk that the counterparty to the contract does not perform its obligations under the agreement.

 

D.    HOLDINGS OF 5% VOTING SHARES OF PORTFOLIO COMPANIES

 

The Investing Company Act of  1940 defines “affiliated companies” to include investments in portfolio companies in which a fund owns 5% or more of the outstanding voting shares. During the period ended March 28, 2013, the Funds below held 5% or more of the outstanding voting shares of the noted portfolio companies. During this period, other Funds in the Trust may also have held voting shares of the issuers at levels below 5%.

 



 

Investments in affiliates:

 

A summary of transactions in securities of issuers affiliated with a Fund for the period ended March 28, 2013 is set forth below:

 

 

 

Shares Held at

 

Shares

 

Shares

 

Shares Held at

 

Value at

 

 

 

Dec. 31, 2012

 

Purchased

 

Sold

 

Mar. 28, 2013

 

Mar. 28, 2013

 

MATTHEWS ASIAN GROWTH AND INCOME FUND

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Name of Issuer:

 

 

 

 

 

 

 

 

 

 

 

Citic Telecom International Holdings, Ltd.

 

139,126,000

 

 

 

139,126,000

 

$

51,910,198

 

Vitasoy International Holdings, Ltd.

 

51,771,000

 

 

 

51,771,000

 

58,371,822

 

Total Affiliates

 

 

 

 

 

 

 

 

 

$

110,282,020

 

 

 

 

 

 

 

 

 

 

 

 

 

MATTHEWS ASIA DIVIDEND FUND

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Name of Issuer:

 

 

 

 

 

 

 

 

 

 

 

Ascendas India Trust

 

55,065,000

 

 

 

55,065,000

 

$

36,682,493

 

CapitaRetail China Trust, REIT

 

47,540,000

 

 

 

47,540,000

 

67,114,821

 

EPS Corp.

 

14,592

 

14,592

 

29,184

 

43,308,783

 

Jiangsu Expressway Co., Ltd. H Shares

 

65,104,000

 

7,500,000

 

 

72,604,000

 

72,797,404

 

Johnson Health Tech Co., Ltd.

 

16,429,890

 

500,000

 

 

16,929,890

 

47,027,851

 

Minth Group, Ltd.

 

56,685,000

 

3,122,000

 

 

59,807,000

 

88,309,126

 

Pigeon Corp.

 

1,501,800

 

 

 

1,501,800

 

105,316,079

 

Shinko Plantech Co., Ltd.††

 

3,760,200

 

 

1,797,600

 

1,962,600

 

15,879,139

 

Sichuan Expressway Co., Ltd. H Shares††

 

74,946,000

 

 

52,558,000

 

22,388,000

 

7,251,159

 

TXC Corp.

 

21,549,524

 

 

 

21,549,524

 

32,604,545

 

Woongjin Thinkbig Co., Ltd.††

 

2,079,870

 

 

2,079,870

 

 

 

Xingda International Holdings, Ltd. H Shares

 

109,164,000

 

9,000,000

 

 

118,164,000

 

39,077,805

 

Yuexiu Transport Infrastructure, Ltd.

 

97,210,000

 

2,948,000

 

 

100,158,000

 

52,445,449

 

Total Affiliates

 

 

 

 

 

 

 

 

 

$

607,814,654

 

 

 

 

 

 

 

 

 

 

 

 

 

MATTHEWS PACIFIC TIGER FUND

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Name of Issuer:

 

 

 

 

 

 

 

 

 

 

 

Digital China Holdings, Ltd.

 

55,828,000

 

4,000,000

 

 

59,828,000

 

$

81,148,365

 

Dongbu Insurance Co., Ltd.

 

3,505,500

 

405,860

 

 

3,911,360

 

167,236,520

 

Green Cross Corp.

 

838,869

 

 

 

838,869

 

116,952,107

 

Hyflux, Ltd.

 

65,284,280

 

 

 

65,284,280

 

77,014,292

 

MegaStudy Co., Ltd.

 

396,412

 

 

 

396,412

 

25,444,136

 

Sinopharm Group Co., Ltd. H Shares

 

43,788,000

 

 

 

43,788,000

 

141,493,655

 

Yuhan Corp.

 

584,138

 

 

15,685

 

568,453

 

97,286,715

 

Total Affiliates

 

 

 

 

 

 

 

 

 

$

706,575,790

 

 

 

 

 

 

 

 

 

 

 

 

 

MATTHEWS CHINA FUND

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Name of Issuer:

 

 

 

 

 

 

 

 

 

 

 

Xinhua Supermarket Holdings Co., Ltd. H Shares

 

31,193,800

 

 

 

31,193,800

 

$

24,904,740

 

Total Affiliates

 

 

 

 

 

 

 

 

 

$

24,904,740

 

 


Includes stock split during the period.

††

Issuer was not an affiliated company as of March 28, 2013.

 



 

E.    TAX INFORMATION: Under current tax law, the Funds have elected to defer certain qualified late-year losses and recognize such losses in the year ending December 31, 2013.

 

 

 

Late Year

 

 

 

Losses*

 

Matthews Asia Dividend Fund

 

$

4,007,951

 

Matthews Asia Growth Fund

 

1,872,371

 

Matthews Pacific Tiger Fund

 

72,733

 

Matthews China Fund

 

3,835

 

Matthews India Fund

 

4,073,778

 

Matthews Japan Fund

 

545,902

 

Matthews Korea Fund

 

100,400

 

Matthews Asia Small Companies Fund

 

1,127,134

 

Matthews China Small Companies Fund

 

64,704

 

Matthews Asia Science and Technology Fund

 

503,896

 

 


* The Funds have elected to defer certain qualified late-year losses and recognize such losses in the next fiscal year.

 

For federal income tax purposes, the Funds indicated below have capital loss carryforwards as of December 31, 2012, which expire in year indicated, which are available to offset future capital gains, if any:

 

 

 

 

 

 

 

Amount With No Expiration*

 

 

 

 

 

 

 

 

 

Short-term

 

Long-term

 

 

 

LOSSES DEFERRED EXPIRING IN:

 

2016

 

2017

 

Losses

 

Losses

 

Total

 

Matthews Asia Dividend Fund

 

$

 

$

 

$

50,197,337

 

$

93,485,554

 

$

143,682,891

 

Matthews China Dividend Fund

 

 

 

749,904

 

1,142,893

 

1,892,797

 

Matthews Asia Growth Fund

 

 

47,329,141

 

 

 

47,329,141

 

Matthews Japan Fund

 

29,280,430

 

44,032,426

 

 

 

73,312,856

 

Matthews Asia Small Companies Fund

 

 

 

4,921,090

 

11,054,602

 

15,975,692

 

Matthews China Small Companies Fund

 

 

 

834,812

 

292,613

 

1,127,425

 

Matthews Asia Science and Technology Fund

 

 

10,329,226

 

1,414,823

 

 

11,744,049

 

 


* Post-Enactment Losses: Must be utilized prior to losses subject to expiration.

 

Under the Regulated Investment Company Modernization Act of 2010, the Funds are permitted to carry forward capital losses incurred in taxable years beginning after December 22, 2010 for an unlimited period. However, any losses incurred during those future taxable years will be required to be utilized prior to any losses incurred in pre-enactment taxable years, which generally expire after eight years from when they are incurred. Additionally, post-enactment capital losses that are carried forward will retain their character as either short-term or long-term capital losses rather than being considered all short-term as under previous law.

 

For additional information regarding the accounting policies of the Matthews Asia Funds, refer to the most recent financial statements in the N-CSR filing at www.sec.gov.

 



 

Item 2. Controls and Procedures.

 

(a)         The registrant’s principal executive and principal financial officers, or persons performing similar functions, have concluded that the registrant’s disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940, as amended (the “1940 Act”) (17 CFR 270.30a-3(c))) are effective, as of a date within 90 days of the filing date of the report that includes the disclosure required by this paragraph, based on their evaluation of these controls and procedures required by Rule 30a-3(b) under the 1940 Act (17 CFR 270.30a-3(b)) and Rules 13a-15(b) or 15d-15(b) under the Securities Exchange Act of 1934, as amended (17 CFR 240.13a-15(b) or 240.15d-15(b)).

 

(b)         There were no changes in the registrant’s internal control over financial reporting (as defined in Rule 30a-3(d) under the 1940 Act (17 CFR 270.30a-3(d)) that occurred during the registrant’s last fiscal quarter that have materially affected, or are reasonably likely to materially affect, the registrant’s internal control over financial reporting.

 

Item 3. Exhibits.

 

Certifications pursuant to Rule 30a-2(a) under the 1940 Act and Section 302 of the Sarbanes-Oxley Act of 2002 are 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.

 

(Registrant)

Matthews International Funds

 

 

 

 

By (Signature and Title)*

/s/ William J. Hackett

 

 

William J. Hackett, President

 

 

(principal executive officer)

 

 

 

 

 

 

 

Date

May 24, 2013

 

 

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 (Signature and Title)*

/s/ William J. Hackett

 

 

William J. Hackett, President

 

 

(principal executive officer)

 

 

 

 

 

 

 

Date

May 24, 2013

 

 

 

 

 

 

 

By (Signature and Title)*

/s/ Shai Malka

 

 

Shai Malka, Treasurer

 

 

(principal financial officer)

 

 

 

 

 

 

 

Date

May 24, 2013

 

 

* Print the name and title of each signing officer under his or her signature.