Ab Bond Fund N-CSR Certified annual shareholder report (management investment company)

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM N-CSR

CERTIFIED SHAREHOLDER REPORT OF REGISTERED

MANAGEMENT INVESTMENT COMPANIES

Investment Company Act file number: 811-02383

AB BOND FUND, INC.

(Exact name of registrant as specified in charter)

1345 Avenue of the Americas, New York, New York 10105

(Address of principal executive offices) (Zip code)

Stephen M. Woetzel

AllianceBernstein L.P.

1345 Avenue of the Americas

New York, New York 10105

(Name and address of agent for service)

Registrant’s telephone number, including area code: (800) 221-5672

Date of fiscal year end: October 31, 2023

Date of reporting period: October 31, 2023

ITEM 1. REPORTS TO STOCKHOLDERS.

OCT    ^10.31.23

ANNUAL REPORT

AB ALL MARKET REAL RETURN PORTFOLIO

Investment Products Offered •  Are Not FDIC Insured • May Lose Value • Are Not Bank Guaranteed

Investors should consider the investment objectives, risks, charges and expenses of the Fund carefully before investing. For copies of our prospectus or summary prospectus, which contain this and other information, visit us online at www.abfunds.com or contact your AB representative. Please read the prospectus and/or summary prospectus carefully before investing.

This shareholder report must be preceded or accompanied by the Fund’s prospectus for individuals who are not current shareholders of the Fund.

You may obtain a description of the Fund’s proxy voting policies and procedures, and information regarding how the Fund voted proxies relating to portfolio securities during the most recent 12-month period ended June 30, without charge. Simply visit AB’s website at www.abfunds.com, or go to the Securities and Exchange Commission’s (the “Commission”) website at www.sec.gov, or call AB at (800) 227 4618.

The Fund files its complete schedule of portfolio holdings with the Commission for the first and third quarters of each fiscal year as an exhibit to its reports on Form N-PORT. The Fund’s Form N-PORT reports are available on the Commission’s website at www.sec.gov. AB publishes full portfolio holdings for the Fund monthly at www.abfunds.com.

AllianceBernstein Investments, Inc. (ABI) is the distributor of the AB family of mutual funds. ABI is a member of FINRA and is an affiliate of AllianceBernstein L.P., the Adviser of the funds.

The [A/B] logo is a registered service mark of AllianceBernstein and AllianceBernstein^® is a registered service mark used by permission of the owner, AllianceBernstein L.P.

FROM THE PRESIDENT

Dear Shareholder,

We’re pleased to provide this report for the AB All Market Real Return Portfolio (the “Fund”). Please review the discussion of Fund performance, the market conditions during the reporting period and the Fund’s investment strategy.

At AB, we’re striving to help our clients achieve better outcomes by:

⁺  Fostering diverse perspectives that give us a distinctive approach to navigating global capital markets

⁺  Applying differentiated investment insights through a connected global research network

⁺  Embracing innovation to design better ways to invest and leading-edge mutual-fund solutions

Whether you’re an individual investor or a multibillion-dollar institution, we’re putting our knowledge and experience to work for you every day.

For more information about AB’s comprehensive range of products and shareholder resources, please log on to www.abfunds.com.

Thank you for your investment in AB mutual funds—and for placing your trust in our firm.

Sincerely,

Onur Erzan

President and Chief Executive Officer, AB Mutual Funds

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ANNUAL REPORT

December 11, 2023

This report provides management’s discussion of fund performance for the AB All Market Real Return Portfolio for the annual reporting period ended October 31, 2023.

The Fund’s investment objective is to maximize real return over inflation.

NAV RETURNS AS OF October 31, 2023 (unaudited)

	6 Months		12 Months
AB ALL MARKET REAL RETURN PORTFOLIO
Class 1 Shares1		-4.90%		-1.36%
Class 2 Shares1		-4.76%		-1.04%
Class A Shares		-4.90%		-1.37%
Class C Shares		-5.36%		-2.15%
Advisor Class Shares2		-4.80%		-1.25%
Class R Shares2		-5.10%		-1.77%
Class K Shares2		-4.97%		-1.52%
Class I Shares2		-4.75%		-1.09%
Class Z Shares2		-4.74%		-1.08%
MSCI AC World Commodity Producers Index (net)		-2.67%		2.78%

1 Class 1 shares are only available to Bernstein Global Wealth Management private client accounts. Class 2 shares are only available to the Adviser’s institutional clients or through other limited arrangements.

2 Please note that these share classes are for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or investment advisory clients of, and certain other persons associated with, the Adviser and its affiliates or the Fund.

INVESTMENT RESULTS

The table above shows the Fund’s performance compared with its benchmark, the Morgan Stanley Capital International All Country (“MSCI AC”) World Commodity Producers Index (net), for the six- and 12-month periods ended October 31, 2023.

All share classes of the Fund underperformed the benchmark for both periods before sales charges. For the 12-month period, the strategic allocation detracted overall relative to the benchmark, as real estate, infrastructure, future natural resources and commodity futures underperformed commodity producers. This underperformance was partially offset by our strategic allocation to inflation-sensitive equities, which contributed. Security selection within commodity equities and real estate was positive, while selection within inflation-sensitive equities was negative. The Fund’s tactical

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underweight to future natural resources and the tactical management of commodity futures contributed, while our modest underweight to commodity producers detracted.

During the six-month period, the strategic allocation detracted overall, as real estate, infrastructure, and future natural resource equities underperformed commodity producers. Security selection within real estate and inflation-sensitive equities contributed. With respect to tactical asset allocation decisions, the Fund’s underweight allocation to real estate and infrastructure, as well as the overweight allocation to inflation-sensitive equities have been additive. In contrast, the Fund’s tactical management of commodity futures detracted.

The Fund used derivatives for hedging and investment purposes in the form of futures and total return swaps, which detracted from absolute returns for both periods, while currency forwards and inflation swaps added for both periods.

MARKET REVIEW AND INVESTMENT STRATEGY

Over the 12-month period ended October 31, 2023, both US and international stocks have risen, while emerging-market stocks have declined. Aggressive central bank tightening, led by the US Federal Reserve, pressured global equity markets. However, stocks rallied amid signs of easing inflation and as central banks began to pause rate hikes. The collapse of select US regional banks, China’s faltering economic recovery, and concerns over a broadening United Auto Workers strike and a looming US government shutdown later in the year weighed on results. Stronger-than-expected third-quarter economic growth supported the Fed’s commitment to higher-for-longer rates, which triggered a rapid rise in bond yields, especially the 10-year US Treasury note, which briefly crossed the 5% threshold for the first time in 16 years. Headwinds from higher Treasury yields, conflict in the Middle East, and mixed third-quarter earnings weighed on investor sentiment globally. Over the six-month period, US stocks rose, while international and emerging-market stocks declined. Global markets experienced bouts of volatility as central banks, led by the US Federal Reserve, paused rate hikes. China’s faltering economic recovery, concern over a broadening United Auto Workers strike, and the looming risk of a US government shutdown later in the year weighed on results. As the period ended, equity markets rallied, led by a rebound in technology shares and earnings surprises across a range of sectors in the US. Within large-cap markets, growth stocks, supported by the technology sector and artificial intelligence optimism, rose and significantly outperformed value stocks, which declined. Large-cap stocks rose and outperformed small-cap stocks, which declined, by a wide margin.

Inflation assets were broadly negative over both periods ended October 31, 2023. Real estate, as measured by the FTSE EPRA NAREIT Global Index, fell over both periods, as a result of headwinds related to

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concerns regarding a slowdown in growth amid restrictive monetary policy. Infrastructure was negative over both periods. Commodity futures fell over the 12-month period and have been flat over the six-month period despite episodic gains from OECD supply announcements and rising geopolitical risk in the middle east. Natural resources, particularly future natural resource stocks, were negative over both horizons. Several prominent companies experienced idiosyncratic issues along with broad concerns related to rising interest rates. Inflation swaps, while positive over the 12-month period, modestly detracted over the six-month period.

The Fund’s Senior Investment Management Team continues to look for sources of value via asset allocation shifts, active security selection, risk overlay strategies and currency management. The Fund uses a blend of quantitative and fundamental research in order to determine overall portfolio risk, allocate risk across major real asset classes and identify idiosyncratic opportunities.

INVESTMENT POLICIES

The Fund seeks to maximize real return. Real return is the rate of return after adjusting for inflation. The Fund pursues an aggressive investment strategy involving a variety of asset classes. The Fund invests primarily in instruments that the Adviser expects to outperform broad equity indices during periods of rising inflation. Under normal circumstances, the Fund expects to invest its assets principally in the following instruments that, in the judgment of the Adviser, are affected directly or indirectly by the level and change in rate of inflation: inflation-indexed fixed-income securities, such as Treasury Inflation-Protected Securities (“TIPS”) and similar bonds issued by governments outside of the United States; commodities; commodity-related equity securities; real estate equity securities; inflation-sensitive equity securities, which the Fund defines as equity securities of companies that the Adviser believes have the ability to pass along increasing costs to consumers and maintain or grow margins in rising inflation environments, including equity securities of utilities and infrastructure-related companies (“inflation-sensitive equities”); securities and derivatives linked to the price of other assets (such as commodities, stock indices and real estate); and currencies. The Fund expects its investments in fixed-income securities to have a broad range of maturities and quality levels.

The Fund seeks inflation protection from investments around the globe, both in developed- and emerging-market countries. In selecting securities for purchase and sale, the Adviser utilizes its qualitative and quantitative resources to determine overall inflation sensitivity, asset allocation and security selection. The Adviser assesses the securities’

(continued on next page)

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risks and inflation sensitivity as well as the securities’ impact on the overall risks and inflation sensitivity of the Fund. When its analysis indicates that changes are necessary, the Adviser intends to implement them through a combination of changes to underlying positions and the use of inflation swaps and other types of derivatives, such as interest rate swaps.

The Fund anticipates that its targeted investment mix, other than its investments in inflation-indexed fixed-income securities, will focus on commodity-related equity securities, commodities and commodity derivatives, real estate equity securities and inflation-sensitive equities to provide a balance between expected return and inflation protection. The Fund may vary its investment allocations among these asset classes, at times significantly. Its commodities investments will include significant exposure to energy commodities, but will also include agricultural products, and industrial and precious metals, such as gold. The Fund’s investments in real estate equity securities will include real estate investment trusts and other real estate-related securities.

The Fund invests in both US and non-US dollar-denominated equity or fixed-income securities. The Fund may invest in currencies for hedging or investment purposes, both in the spot market and through long or short positions in currency-related derivatives. The Fund does not ordinarily expect to hedge its foreign currency exposure because it will be balanced by investments in US dollar-denominated securities, although it may hedge the exposure under certain circumstances.

The Fund may enter into derivatives, such as options, futures contracts, forwards, swaps or structured notes, to a significant extent, subject to the limits of applicable law. The Fund intends to use leverage for investment purposes through the use of cash made available by derivatives transactions to make other investments in accordance with its investment policies. In determining when and to what extent to employ leverage or enter into derivatives transactions, the Adviser considers factors such as the relative risks and returns expected of potential investments and the cost of such transactions. The Adviser considers the impact of derivatives in making its assessments of the Fund’s risks. The resulting exposures to markets, sectors, issuers or specific securities will be continuously monitored by the Adviser.

The Fund may seek to gain exposure to physical commodities traded in the commodities markets through use of a variety of derivative instruments, including investments in commodity index-linked notes. The Adviser expects that the Fund will seek to gain exposure to commodities and commodity-related instruments and derivatives primarily through investments in AllianceBernstein Cayman Inflation

(continued on next page)

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Strategy, Ltd., a wholly owned subsidiary of the Fund organized under the laws of the Cayman Islands (the “Subsidiary”). The Subsidiary is advised by the Adviser and has the same investment objective and substantially similar investment policies and restrictions as the Fund except that the Subsidiary, unlike the Fund, may invest, without limitation, in commodities and commodity-related instruments. The Fund is subject to the risks associated with the commodities, derivatives and other instruments in which the Subsidiary invests, to the extent of its investment in the Subsidiary. The Fund limits its investment in the Subsidiary to no more than 25% of its net assets. Investment in the Subsidiary is expected to provide the Fund with commodity exposure within the limitations of federal tax requirements that apply to the Fund.

The Fund is “non-diversified”, which means that it may concentrate its assets in a smaller number of issuers than a diversified fund.

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DISCLOSURES AND RISKS

Benchmark Disclosure

The MSCI AC World Commodity Producers Index is unmanaged and does not reflect fees and expenses associated with the active management of a mutual fund portfolio. The MSCI AC World Commodity Producers Index is a free float-adjusted, market capitalization index designed to track the performance of global listed commodity producers, including emerging markets. Commodities sectors include: energy, grains, industrial metals, petroleum, precious metals and softs. MSCI makes no express or implied warranties or representations, and shall have no liability whatsoever with respect to any MSCI data contained herein. The MSCI data may not be further redistributed or used as a basis for other indices, any securities or financial products. This report is not approved, reviewed or produced by MSCI. Net returns include the reinvestment of dividends after deduction of non-US withholding tax. An investor cannot invest directly in an index, and its results are not indicative of the performance for any specific investment, including the Fund.

A Word About Risk

Market Risk: The value of the Fund’s assets will fluctuate as the stock, commodity and bond markets fluctuate. The value of the Fund’s investments may decline, sometimes rapidly and unpredictably, simply because of economic changes or other events, including public health crises (including the occurrence of a contagious disease or illness) and regional and global conflicts, that affect large portions of the market.

Credit Risk: An issuer or guarantor of a fixed-income security, or the counterparty to a derivatives or other contract, may be unable or unwilling to make timely payments of interest or principal, or to otherwise honor its obligations. The issuer or guarantor may default, causing a loss of the full principal amount of a security and accrued interest. The degree of risk for a particular security may be reflected in its credit rating. There is the possibility that the credit rating of a fixed-income security may be downgraded after purchase, which may adversely affect the value of the security. Investments in fixed-income securities with lower ratings tend to have a higher probability that an issuer will default or fail to meet its payment obligations.

Interest-Rate Risk: Changes in interest rates will affect the value of investments in fixed-income securities. When interest rates rise, the value of existing investments in fixed-income securities tends to fall and this decrease in value may not be offset by higher income from new investments. Interest-rate risk is generally greater for fixed-income securities with longer maturities or durations. The Fund may be subject to a greater risk of rising interest rates than would normally be the case due to the recent end of a period of historically low rates and the effect of potential central bank monetary policy, and government fiscal policy, initiatives and resulting market reactions to those initiatives.

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DISCLOSURES AND RISKS (continued)

Commodity Risk: Investing in commodities and commodity-linked derivative instruments, either directly or through the Subsidiary, may subject the Fund to greater volatility than investments in traditional securities. The value of commodity-linked derivative instruments may be affected by changes in overall market movements, commodity index volatility, changes in interest rates, or factors affecting a particular industry or commodity, such as drought, floods, weather, livestock disease, embargoes, tariffs and international economic, political and regulatory developments.

Derivatives Risk: Derivatives may be difficult to price or unwind and leveraged so that small changes may produce disproportionate losses for the Fund. A short position in a derivative instrument involves the risk of a theoretically unlimited increase in the value of the underlying asset, which could cause the Fund to suffer a potentially unlimited loss. Derivatives, especially over-the-counter derivatives, are also subject to counterparty risk, which is the risk that the counterparty (the party on the other side of the transaction) on a derivative transaction will be unable or unwilling to honor its contractual obligations to the Fund.

Leverage Risk: To the extent the Fund uses leveraging techniques, its net asset value (“NAV”) may be more volatile because leverage tends to exaggerate the effect of changes in interest rates and any increase or decrease in the value of the Fund’s investments.

Inflation Risk: This is the risk that the value of assets or income from investments will be less in the future as inflation decreases the value of money. As inflation increases, the value of the Fund’s assets can decline as can the value of the Fund’s distributions. This risk is significantly greater for fixed-income securities with longer maturities.

Illiquid Investments Risk: Illiquid investments risk exists when certain investments are or become difficult to purchase or sell. Difficulty in selling such investments may result in sales at disadvantageous prices affecting the value of your investment in the Fund. Causes of illiquid investments risk may include low trading volumes and large positions. Foreign fixed-income securities may have more illiquid investments risk because secondary trading markets for these securities may be smaller and less well-developed and the securities may trade less frequently. Illiquid investments risk may be higher in a rising interest-rate environment, when the value and liquidity of fixed-income securities generally go down.

Foreign (Non-US) Risk: Investments in securities of non-US issuers may involve more risk than those of US issuers. These securities may fluctuate more widely in price and may be more difficult to trade due to adverse market, economic, political, regulatory or other factors.

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DISCLOSURES AND RISKS (continued)

Currency Risk: Fluctuations in currency exchange rates may negatively affect the value of the Fund’s investments or reduce its returns.

Subsidiary Risk: By investing in the Subsidiary, the Fund is indirectly exposed to the risks associated with the Subsidiary’s investments. The derivatives and other investments held by the Subsidiary are generally similar to those that are permitted to be held by the Fund and are subject to the same risks that apply to similar investments if held directly by the Fund. The Subsidiary is not registered under the Investment Company Act of 1940, as amended (the “1940 Act”), and, unless otherwise noted in the Fund’s prospectus, is not subject to all of the investor protections of the 1940 Act. However, the Fund wholly owns and controls the Subsidiary, and the Fund and the Subsidiary are managed by the Adviser, making it unlikely the Subsidiary will take actions contrary to the interests of the Fund or its shareholders.

Real Estate Risk: The Fund’s investments in real estate securities have many of the same risks as direct ownership of real estate, including the risk that the value of real estate could decline due to a variety of factors that affect the real estate market generally. Investments in REITs may have additional risks. REITs are dependent on the capability of their managers, may have limited diversification, and could be significantly affected by changes in taxes.

Non-Diversification Risk: The Fund may have more risk because it is “non-diversified”, meaning that it can invest more of its assets in a smaller number of issuers. Accordingly, changes in the value of a single security may have a more significant effect, either negative or positive, on the Fund’s NAV.

Management Risk: The Fund is subject to management risk because it is an actively managed investment fund. The Adviser will apply its investment techniques and risk analyses in making investment decisions, but there is no guarantee that its techniques will produce the intended results. Some of these techniques may incorporate, or rely upon, quantitative models, but there is no guarantee that these models will generate accurate forecasts, reduce risk or otherwise perform as expected.

These risks are fully discussed in the Fund’s prospectus. As with all investments, you may lose money by investing in the Fund.

An Important Note About Historical Performance

The investment return and principal value of an investment in the Fund will fluctuate, so that shares, when redeemed, may be worth more or less than their original cost. Performance shown in this report represents past performance and does not guarantee future

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DISCLOSURES AND RISKS (continued)

results. Current performance may be lower or higher than the performance information shown. You may obtain performance information current to the most recent month-end by visiting www.abfunds.com. For Class 1 shares, go to www.bernstein.com and click on “Investments”, found in the footer, then “Mutual Fund Information—Mutual Fund Performance at a Glance.”

Investors should consider the investment objectives, risks, charges and expenses of the Fund carefully before investing. For copies of our prospectus or summary prospectus, which contain this and other information, visit us online at www.abfunds.com. For Class 1 shares, go to www.bernstein.com, click on “Investments”, found in the footer, then “Mutual Fund Information—Prospectuses, SAIs and Shareholder Reports.” Please read the prospectus and/or summary prospectus carefully before investing.

All fees and expenses related to the operation of the Fund have been deducted. NAV returns do not reflect sales charges; if sales charges were reflected, the Fund’s quoted performance would be lower. SEC returns reflect the applicable sales charges for each share class: a 4.25% maximum front-end sales charge for Class A shares and a 1% 1-year contingent deferred sales charge for Class C shares. Returns for the different share classes will vary due to different expenses associated with each class. Performance assumes reinvestment of distributions and does not account for taxes.

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HISTORICAL PERFORMANCE

GROWTH OF A $10,000 INVESTMENT IN THE FUND (unaudited)

10/31/2013 TO 10/31/2023

This chart illustrates the total value of an assumed $10,000 investment in AB All Market Real Return Portfolio Class A shares (from 10/31/20123 to 10/31/2023) as compared to the performance of its benchmark. The chart reflects the deduction of the maximum 4.25% sales charge from the initial $10,000 investment in the Fund and assumes the reinvestment of dividends and capital gains distributions.

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HISTORICAL PERFORMANCE (continued)

AVERAGE ANNUAL RETURNS AS OF OCTOBER 31, 2023 (unaudited)

	NAV Returns		SEC Returns (reflects applicable sales charges)
CLASS 1 SHARES1
1 Year		-1.36%		-1.36%
5 Years		4.45%		4.45%
10 Years		0.68%		0.68%
CLASS 2 SHARES1
1 Year		-1.04%		-1.04%
5 Years		4.75%		4.75%
10 Years		0.94%		0.94%
CLASS A SHARES
1 Year		-1.37%		-5.60%
5 Years		4.29%		3.38%
10 Years		0.53%		0.09%
CLASS C SHARES
1 Year		-2.15%		-3.06%
5 Years		3.50%		3.50%
10 Years2		-0.21%		-0.21%
ADVISOR CLASS SHARES3
1 Year		-1.25%		-1.25%
5 Years		4.55%		4.55%
10 Years		0.78%		0.78%
CLASS R SHARES3
1 Year		-1.77%		-1.77%
5 Years		3.97%		3.97%
10 Years		0.25%		0.25%
CLASS K SHARES3
1 Year		-1.52%		-1.52%
5 Years		4.27%		4.27%
10 Years		0.52%		0.52%
CLASS I SHARES3
1 Year		-1.09%		-1.09%
5 Years		4.69%		4.69%
10 Years		0.92%		0.92%
CLASS Z SHARES3
1 Year		-1.08%		-1.08%
5 Years		4.72%		4.72%
Since Inception4		1.29%		1.29%

(footnotes continued on next page)

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HISTORICAL PERFORMANCE (continued)

The Fund’s prospectus fee table shows the Fund’s total annual operating expense ratios as 1.13%, 0.86%, 1.21%, 1.99%, 0.96%, 1.62%, 1.31%, 0.91% and 0.88% for Class 1, Class 2, Class A, Class C, Advisor Class, Class R, Class K, Class I and Class Z shares, respectively, gross of any fee waivers or expense reimbursements. Contractual fee waivers and/or expense reimbursements reduced the Fund’s total annual operating expense ratio (excluding extraordinary expenses, interest expense, and acquired fund fees and expenses other than the advisory fees of any AB mutual funds in which the Fund may invest) to 1.55% and 1.30% for Class R and Class K shares, respectively. These waivers/reimbursements may not be terminated before January 31, 2024, and may be extended by the Adviser for additional one-year terms. Absent reimbursements or waivers, performance would have been lower. The Financial Highlights section of this report sets forth expense ratio data for the current reporting period; the expense ratios shown above may differ from the expense ratios in the Financial Highlights section since they are based on different time periods.

1 Class 1 shares are only available to Bernstein Global Wealth Management private client accounts. Class 2 shares are only available to the Adviser’s institutional clients or through other limited arrangements. These share classes do not carry front-end sales charges; therefore, their respective NAV and SEC returns are the same.

2 Assumes conversion of Class C shares into Class A shares after eight years.

3 These share classes are offered at NAV to eligible investors and their SEC returns are the same as their NAV returns. Please note that these share classes are for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or investment advisory clients of, and certain other persons associated with, the Adviser and its affiliates or the Fund.

4 Inception date: 1/31/2014.

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HISTORICAL PERFORMANCE (continued)

SEC AVERAGE ANNUAL RETURNS

AS OF THE MOST RECENT CALENDAR QUARTER-END

SEPTEMBER 30, 2023 (unaudited)

	SEC Returns (reflects applicable sales charges)
CLASS 1 SHARES1
1 Year		6.55%
5 Years		3.80%
10 Years		1.11%
CLASS 2 SHARES1
1 Year		6.77%
5 Years		4.06%
10 Years		1.38%
CLASS A SHARES
1 Year		1.79%
5 Years		2.73%
10 Years		0.52%
CLASS C SHARES
1 Year		4.62%
5 Years		2.85%
10 Years2		0.21%
ADVISOR CLASS SHARES3
1 Year		6.61%
5 Years		3.88%
10 Years		1.22%
CLASS R SHARES3
1 Year		6.02%
5 Years		3.31%
10 Years		0.69%
CLASS K SHARES3
1 Year		6.30%
5 Years		3.60%
10 Years		0.95%
CLASS I SHARES3
1 Year		6.75%
5 Years		4.05%
10 Years		1.35%
CLASS Z SHARES3
1 Year		6.88%
5 Years		4.07%
Since Inception4		1.58%

(footnotes continued on next page)

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HISTORICAL PERFORMANCE (continued)

1 Class 1 shares are only available to Bernstein Global Wealth Management private client accounts. Class 2 shares are only available to the Adviser’s institutional clients or through other limited arrangements.

2 Assumes conversion of Class C shares into Class A shares after eight years.

3 Please note that these share classes are for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or investment advisory clients of, and certain other persons associated with, the Adviser and its affiliates or the Fund.

4 Inception date: 1/31/2014.

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EXPENSE EXAMPLE

(unaudited)

As a shareholder of a mutual fund, you may incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments, contingent deferred sales charges on redemptions and (2) ongoing costs, including management fees; distribution (12b-1) fees; and other fund expenses. This example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds.

The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period as indicated below.

Actual Expenses

The table below provides information about actual account values and actual expenses. You may use the information in this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the first line under the heading entitled “Expenses Paid During Period” to estimate the expenses you paid on your account during this period.

Hypothetical Example for Comparison Purposes

The table below provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed annual rate of return of 5% before expenses, which is not the Fund’s actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and other funds by comparing this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of other funds.

Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as sales charges (loads), or contingent deferred sales charges on redemptions. Therefore, the hypothetical example is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.

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EXPENSE EXAMPLE (continued)

	Beginning Account Value May 1, 2023		Ending Account Value October 31, 2023		Expenses Paid During Period*		Annualized Expense Ratio*			Total Expenses Paid During Period+		Total Annualized Expense Ratio+
Class A
Actual	$	1,000	$	951.00	$	5.75		1.17	%	$	6.10		1.24	%
Hypothetical**	$	1,000	$	1,019.31	$	5.96		1.17	%	$	6.31		1.24	%
Class C
Actual	$	1,000	$	946.40	$	9.42		1.92	%	$	9.76		1.99	%
Hypothetical**	$	1,000	$	1,015.53	$	9.75		1.92	%	$	10.11		1.99	%
Advisor Class
Actual	$	1,000	$	952.00	$	4.53		0.92	%	$	4.87		0.99	%
Hypothetical**	$	1,000	$	1,020.57	$	4.69		0.92	%	$	5.04		0.99	%
Class R
Actual	$	1,000	$	949.00	$	7.42		1.51	%	$	7.76		1.58	%
Hypothetical**	$	1,000	$	1,017.59	$	7.68		1.51	%	$	8.03		1.58	%
Class K
Actual	$	1,000	$	950.30	$	6.24		1.27	%	$	6.59		1.34	%
Hypothetical**	$	1,000	$	1,018.80	$	6.46		1.27	%	$	6.82		1.34	%
Class I
Actual	$	1,000	$	952.50	$	4.13		0.84	%	$	4.48		0.91	%
Hypothetical**	$	1,000	$	1,020.97	$	4.28		0.84	%	$	4.63		0.91	%
Class 1
Actual	$	1,000	$	951.00	$	5.36		1.09	%	$	5.70		1.16	%
Hypothetical**	$	1,000	$	1,019.71	$	5.55		1.09	%	$	5.90		1.16	%
Class 2
Actual	$	1,000	$	952.40	$	3.79		0.77	%	$	4.13		0.84	%
Hypothetical**	$	1,000	$	1,021.32	$	3.92		0.77	%	$	4.28		0.84	%
Class Z
Actual	$	1,000	$	952.60	$	4.23		0.86	%	$	4.58		0.93	%
Hypothetical**	$	1,000	$	1,020.87	$	4.38		0.86	%	$	4.74		0.93	%

* Expenses are equal to the Fund’s annualized expense ratio, multiplied by the average account value over the period, multiplied by 184/365 (to reflect the one-half year period).

** Assumes 5% annual return before expenses.

+ In connection with the Fund’s investments in affiliated/unaffiliated underlying portfolios, the Fund incurs no direct expenses, but bears proportionate shares of the fees and expenses (i.e., operating, administrative and investment advisory fees) of the affiliated/unaffiliated underlying portfolios. The Adviser has contractually agreed to waive its fees from the Fund in an amount equal to the Fund’s pro rata share of certain acquired fund fees and expenses of the affiliated underlying portfolios. The Fund’s total expenses are equal to the classes’ annualized expense ratio plus the Fund’s pro rata share of the weighted average expense ratio of the affiliated/unaffiliated underlying portfolios in which it invests, multiplied by the average account value over the period, multiplied by 184/365 (to reflect the one-half year period).

abfunds.com AB ALL MARKET REAL RETURN PORTFOLIO    ^|    17

PORTFOLIO SUMMARY

October 31, 2023 (unaudited)

PORTFOLIO STATISTICS

Net Assets ($mil): $782.2

1 The portfolio breakdown is expressed as an approximate percentage of the Fund’s net assets inclusive of derivative exposure, based on the Adviser’s internal classification guidelines.

2 The Fund’s security type breakdown is expressed as a percentage of total investments (excluding security lending collateral) and may vary over time. The Fund also enters into derivative transactions, which may be used for hedging or investment purposes (see “Consolidated Portfolio of Investments” section of the report for additional details).

18    ^|    AB ALL MARKET REAL RETURN PORTFOLIO abfunds.com

PORTFOLIO SUMMARY (continued)

October 31, 2023 (unaudited)

TEN LARGEST HOLDINGS²

Company	U.S. $ Value		Percent of Net Assets
Prologis, Inc.	$	15,536,758		2.0	%
Shell PLC		14,317,315		1.8
Exxon Mobil Corp.		13,758,912		1.8
Equinix, Inc.		12,447,659		1.6
Digital Realty Trust, Inc.		7,068,622		0.9
Welltower, Inc.		6,821,740		0.9
Mitsui Fudosan Co., Ltd.		6,422,260		0.8
iShares MSCI Global Metals & Mining Producers ETF		6,353,625		0.8
ConocoPhillips		6,300,796		0.8
TotalEnergies SE		6,155,369		0.8
	$	95,183,056		12.2	%

1 The Fund’s country breakdown is expressed as a percentage of total investments (excluding security lending collateral) and may vary over time. The Fund also enters into derivative transactions, which may be used for hedging or investment purposes (see “Portfolio of Investments” section of the report for additional details). “Other” country weightings represent 0.6% or less in the following: Austria, Belgium, Brazil, Chile, Denmark, Finland, Ireland, Luxembourg, Mexico, Netherlands, New Zealand, Russia, South Africa, South Korea, Sweden and Switzerland.

2 Long-term investments.

abfunds.com AB ALL MARKET REAL RETURN PORTFOLIO    ^|    19

CONSOLIDATED PORTFOLIO OF INVESTMENTS

October 31, 2023

Company	Shares		U.S. $ Value
COMMON STOCKS – 60.8%
Equity Real Estate Investment Trusts (REITs) – 22.8%
Data Center REITs – 2.5%
Digital Realty Trust, Inc.		56,840	$	7,068,622
Equinix, Inc.		17,060		12,447,659
				19,516,281
Diversified REITs – 1.2%
Alexander & Baldwin, Inc.		74,700		1,180,260
Essential Properties Realty Trust, Inc.		117,430		2,577,588
Land Securities Group PLC		177,190		1,228,228
LXI REIT PLC		407,020		424,216
Merlin Properties Socimi SA		160,970		1,342,133
Stockland		863,220		1,948,237
United Urban Investment Corp.		926		933,564
				9,634,226
Health Care REITs – 1.8%
Cofinimmo SA		10,030		623,720
Medical Properties Trust, Inc.(a)		196,870		941,039
Physicians Realty Trust		56,900		617,934
Ventas, Inc.		123,160		5,229,373
Welltower, Inc.		81,590		6,821,740
				14,233,806
Hotel & Resort REITs – 0.9%
Invincible Investment Corp.(a)		1,020		392,292
Japan Hotel REIT Investment Corp.		3,828		1,740,337
Park Hotels & Resorts, Inc.		155,060		1,787,842
RLJ Lodging Trust		162,530		1,527,782
Ryman Hospitality Properties, Inc.		16,560		1,417,536
				6,865,789
Industrial REITs – 4.7%
CapitaLand Ascendas REIT		1,154,700		2,193,981
Centuria Industrial REIT(a)		710,700		1,286,251
Dream Industrial Real Estate Investment Trust		216,884		1,831,413
GLP J-Reit(b)		2,156		1,931,036
LondonMetric Property PLC		862,990		1,739,052
Mapletree Logistics Trust		1,507,218		1,618,524
Mitsui Fudosan Logistics Park, Inc.(b)		530		1,602,312
Plymouth Industrial REIT, Inc.		54,566		1,088,046
Prologis, Inc.		154,211		15,536,758
Rexford Industrial Realty, Inc.		67,380		2,913,511
STAG Industrial, Inc.		100,740		3,346,583
Tritax Big Box REIT PLC		1,109,610		1,847,409
				36,934,876
Multi-Family Residential REITs – 2.2%
Apartment Income REIT Corp.		94,570		2,762,390

20    ^|    AB ALL MARKET REAL RETURN PORTFOLIO abfunds.com

CONSOLIDATED PORTFOLIO OF INVESTMENTS (continued)

Company	Shares		U.S. $ Value
Equity Residential		110,160	$	6,095,153
Kenedix Residential Next Investment Corp.(b)(c)(d)		620		855,356
Killam Apartment Real Estate Investment Trust		210,150		2,374,653
UDR, Inc.		110,470		3,514,051
UNITE Group PLC (The)		176,590		1,868,766
				17,470,369
Office REITs – 1.9%
Alexandria Real Estate Equities, Inc.		34,630		3,225,092
Boston Properties, Inc.		78,006		4,178,782
COPT Defense Properties		62,690		1,429,332
Daiwa Office Investment Corp.		301		1,316,713
Dexus		279,730		1,155,337
Japan Real Estate Investment Corp.		206		765,150
Kenedix Office Investment Corp.(a)		1,068		1,113,911
Nippon Building Fund, Inc.		404		1,623,245
				14,807,562
Other Specialized REITs – 0.7%
VICI Properties, Inc.		186,090		5,191,911
Retail REITs – 4.3%
Acadia Realty Trust		76,190		1,091,041
AEON REIT Investment Corp.		824		784,442
Brixmor Property Group, Inc.		156,800		3,259,872
CapitaLand Integrated Commercial Trust		1,095,760		1,408,292
Crombie Real Estate Investment Trust		104,210		915,290
Frasers Centrepoint Trust		687,500		1,040,019
Japan Metropolitan Fund Invest		1,059		683,422
Kite Realty Group Trust		122,310		2,607,649
Klepierre SA		83,990		2,039,595
Link REIT		774,060		3,552,269
NETSTREIT Corp.		124,816		1,778,628
Phillips Edison & Co., Inc.		83,250		2,939,557
Realty Income Corp.		37,410		1,772,486
Simon Property Group, Inc.		42,496		4,669,885
Spirit Realty Capital, Inc.		77,970		2,806,140
Vicinity Ltd.		2,020,920		2,188,921
				33,537,508
Self-Storage REITs – 1.2%
Extra Space Storage, Inc.		38,890		4,028,615
Public Storage		22,970		5,483,169
				9,511,784
Single-Family Residential REITs – 1.3%
American Homes 4 Rent – Class A		63,540		2,080,300
Equity LifeStyle Properties, Inc.		38,930		2,561,594
Invitation Homes, Inc.		97,860		2,905,463

abfunds.com AB ALL MARKET REAL RETURN PORTFOLIO    ^|    21

CONSOLIDATED PORTFOLIO OF INVESTMENTS (continued)

Company	Shares		U.S. $ Value
Sun Communities, Inc.		21,617	$	2,404,675
				9,952,032
Timber REITs – 0.1%
Weyerhaeuser Co.		32,681		937,618
				178,593,762
Energy – 9.9%
Coal & Consumable Fuels – 0.2%
Cameco Corp.		32,028		1,310,266
Integrated Oil & Gas – 6.7%
BP PLC		618,868		3,778,816
Chevron Corp.		28,797		4,196,587
Eni SpA		223,915		3,660,487
Equinor ASA		78,268		2,623,793
Exxon Mobil Corp.		129,985		13,758,912
Gazprom PJSC(b)(c)(d)		818,956		0
Imperial Oil Ltd.		17,764		1,012,359
LUKOIL PJSC(c)(d)(e)		20,541		0
Repsol SA		225,974		3,308,745
Shell PLC		444,267		14,317,315
TotalEnergies SE		92,067		6,155,369
				52,812,383
Oil & Gas Exploration & Production – 2.5%
ConocoPhillips		53,037		6,300,796
Coterra Energy, Inc.		44,841		1,233,127
Enerplus Corp.		68,040		1,150,559
EOG Resources, Inc.		44,921		5,671,276
Hess Corp.		24,130		3,484,372
Woodside Energy Group Ltd.		77,105		1,679,331
				19,519,461
Oil & Gas Refining & Marketing – 0.5%
Ampol Ltd.		12,413		251,708
Marathon Petroleum Corp.		7,927		1,198,959
Neste Oyj		6,712		225,576
Parkland Corp.(a)		35,897		1,086,423
Valero Energy Corp.		8,847		1,123,569
				3,886,235
				77,528,345
Materials – 5.9%
Aluminum – 0.2%
Norsk Hydro ASA		239,747		1,367,207
Commodity Chemicals – 0.4%
Beijing Haixin Energy Technology Co., Ltd. – Class A(b)		955,485		457,794
Corteva, Inc.		38,407		1,848,913
Ecopro Co., Ltd.		333		153,871

22    ^|    AB ALL MARKET REAL RETURN PORTFOLIO abfunds.com

CONSOLIDATED PORTFOLIO OF INVESTMENTS (continued)

Company	Shares		U.S. $ Value
LG Chem Ltd.		746	$	244,495
Mitsubishi Chemical Group Corp.(a)		85,900		486,074
W-Scope Corp.(a)(b)		39,300		227,411
				3,418,558
Construction Materials – 0.2%
CRH PLC (London)		10,202		547,509
GCC SAB de CV		122,907		1,096,612
Heidelberg Materials AG		4,740		344,092
				1,988,213
Copper – 0.1%
Capstone Mining Corp.(a)(b)		196,054		667,297
Lundin Mining Corp.		32,710		204,268
				871,565
Diversified Chemicals – 0.1%
Sumitomo Chemical Co., Ltd.		203,400		516,994
Diversified Metals & Mining – 1.8%
Anglo American PLC		67,148		1,710,903
BHP Group Ltd.		73,113		2,069,644
CMOC Group Ltd. – Class H		378,000		225,443
Glencore PLC		622,026		3,294,762
MMC Norilsk Nickel PJSC (ADR)(b)(c)(d)		66,074		0
Rio Tinto PLC		76,907		4,906,702
Teck Resources Ltd. – Class B		42,083		1,487,213
Zhejiang Huayou Cobalt Co., Ltd. – Class A		54,470		274,138
				13,968,805
Fertilizers & Agricultural Chemicals – 0.4%
CF Industries Holdings, Inc.		21,703		1,731,466
Nutrien Ltd.		25,266		1,356,784
				3,088,250
Gold – 1.0%
Agnico Eagle Mines Ltd.		49,163		2,305,795
Barrick Gold Corp.		142,782		2,281,657
Endeavour Mining PLC		131,413		2,711,329
Regis Resources Ltd.(b)		526,643		570,119
				7,868,900
Industrial Gases – 0.1%
Air Liquide SA		1,452		248,803
Air Products and Chemicals, Inc.		857		242,051
Linde PLC		612		233,882
				724,736
Specialty Chemicals – 0.5%
Albemarle Corp.		2,231		282,846
Danimer Scientific, Inc.(a)(b)		197,479		282,395
Ecolab, Inc.		1,342		225,107
Evonik Industries AG		20,367		374,852

abfunds.com AB ALL MARKET REAL RETURN PORTFOLIO    ^|    23

CONSOLIDATED PORTFOLIO OF INVESTMENTS (continued)

Company	Shares		U.S. $ Value
Ganfeng Lithium Group Co., Ltd – Class A		48,680	$	294,935
IMCD NV		2,010		241,995
Johnson Matthey PLC		15,989		290,667
Livent Corp.(b)		21,973		320,586
Shanghai Putailai New Energy Technology Co., Ltd. – Class A		51,919		177,600
Sherwin-Williams Co. (The)		3,288		783,234
Sika AG (REG)		822		196,712
Umicore SA		13,658		324,963
Wacker Chemie AG		2,252		276,373
				4,072,265
Steel – 1.1%
APERAM SA(a)		39,327		1,089,760
ArcelorMittal SA		128,084		2,834,146
BlueScope Steel Ltd.		80,278		962,329
Commercial Metals Co.		7,210		304,911
JFE Holdings, Inc.		20,100		280,050
Steel Dynamics, Inc.		12,692		1,351,825
Vale SA (Sponsored ADR)		104,736		1,435,931
				8,258,952
				46,144,445
Real Estate Management & Development – 3.8%
Diversified Real Estate Activities – 1.2%
City Developments Ltd.		117,000		540,050
Daito Trust Construction Co., Ltd.		6,300		675,778
Mitsui Fudosan Co., Ltd.		296,300		6,422,260
Sumitomo Realty & Development Co., Ltd.		86,200		2,163,097
				9,801,185
Real Estate Development – 0.6%
CK Asset Holdings Ltd.		646,000		3,228,917
Sino Land Co., Ltd.		1,482,000		1,479,522
				4,708,439
Real Estate Operating Companies – 1.8%
CA Immobilien Anlagen AG		35,749		1,208,788
Capitaland Investment Ltd./Singapore(a)		446,100		957,858
Castellum AB		138,750		1,329,747
CTP NV(f)		145,089		2,115,303
LEG Immobilien SE(b)		19,430		1,214,601
PSP Swiss Property AG (REG)		19,840		2,441,098
Shurgard Self Storage Ltd.		28,490		1,066,230
TAG Immobilien AG(b)		119,600		1,307,705
Vonovia SE		59,814		1,377,043
Wihlborgs Fastigheter AB		161,710		1,048,211
				14,066,584

24    ^|    AB ALL MARKET REAL RETURN PORTFOLIO abfunds.com

CONSOLIDATED PORTFOLIO OF INVESTMENTS (continued)

Company	Shares		U.S. $ Value
Real Estate Services – 0.2%
Unibail-Rodamco-Westfield(b)		28,610	$	1,417,602
				29,993,810
Capital Goods – 3.0%
Aerospace & Defense – 0.3%
BAE Systems PLC		50,618		680,628
Hexcel Corp.		4,598		284,708
Rheinmetall AG		3,855		1,106,745
				2,072,081
Agricultural & Farm Machinery – 0.2%
AGCO Corp.		3,679		421,834
Deere & Co.		734		268,174
Lindsay Corp.		2,818		352,025
Toro Co. (The)		3,225		260,709
				1,302,742
Building Products – 0.6%
A O Smith Corp.		4,363		304,363
Builders FirstSource, Inc.(b)		9,285		1,007,608
Carrier Global Corp.		4,783		227,958
Cie de Saint-Gobain SA		11,811		642,922
Kingspan Group PLC		3,923		264,013
Lennox International, Inc.		475		176,006
Nibe Industrier AB – Class B(a)		36,463		210,004
Owens Corning		11,184		1,267,930
Zurn Elkay Water Solutions Corp.		10,241		270,977
				4,371,781
Construction & Engineering – 0.0%
Arcosa, Inc.		5,617		387,966
Construction Machinery & Heavy Transportation Equipment – 0.3%
Caterpillar, Inc.		4,992		1,128,442
Cummins, Inc.		1,648		356,462
Volvo AB – Class B		53,578		1,061,658
				2,546,562
Electrical Components & Equipment – 0.8%
Acuity Brands, Inc.		5,944		962,750
Advent Technologies Holdings, Inc.(a)(b)		202,190		72,586
Ballard Power Systems, Inc.(a)(b)		83,062		277,322
Beijing Easpring Material Technology Co., Ltd. – Class A		59,369		357,967
Blink Charging Co.(a)(b)		89,881		213,917
Camel Group Co., Ltd. – Class A		336,700		379,058
Contemporary Amperex Technology Co., Ltd. – Class A		8,660		219,893
EnerSys		4,312		369,021

abfunds.com AB ALL MARKET REAL RETURN PORTFOLIO    ^|    25

CONSOLIDATED PORTFOLIO OF INVESTMENTS (continued)

Company	Shares		U.S. $ Value
FuelCell Energy, Inc.(b)		247,097	$	269,336
Gotion High-tech Co., Ltd. – Class A(b)		100,300		312,252
Hubbell, Inc.		1,602		432,700
Legrand SA		3,155		272,928
nVent Electric PLC		5,423		261,009
Plug Power, Inc.(a)(b)		39,173		230,729
Prysmian SpA		8,038		300,999
Signify NV(f)		19,197		497,640
SunPower Corp.(a)(b)		43,969		187,748
Sunrun, Inc.(b)		30,566		294,962
				5,912,817
Heavy Electrical Equipment – 0.3%
Bloom Energy Corp. – Class A(a)(b)		18,300		190,320
CS Wind Corp.		6,103		207,088
ITM Power PLC(a)(b)		275,347		216,264
Ming Yang Smart Energy Group Ltd. – Class A		190,396		363,958
NARI Technology Co., Ltd. – Class A		62,570		193,186
NEL ASA(b)		235,923		155,134
Nordex SE(b)		20,783		219,250
Siemens Energy AG(b)		32,303		287,204
TPI Composites, Inc.(a)(b)		92,694		214,123
Vestas Wind Systems A/S(b)		9,349		202,637
				2,249,164
Industrial Conglomerates – 0.0%
General Electric Co.		2,366		257,019
Industrial Machinery & Supplies & Components – 0.4%
Chart Industries, Inc.(a)(b)		2,051		238,388
Energy Recovery, Inc.(b)		8,141		123,743
John Bean Technologies Corp.		2,599		270,348
McPhy Energy SA(b)		25,437		93,092
Mueller Industries, Inc.		10,947		412,811
NGK Insulators Ltd.		27,500		336,002
Pentair PLC		4,006		232,829
Snap-on, Inc.		903		232,920
SPX Technologies, Inc.(b)		4,545		364,145
Watts Water Technologies, Inc. – Class A		1,581		273,529
Xylem, Inc./NY		3,099		289,881
				2,867,688
Trading Companies & Distributors – 0.1%
Fastenal Co.		19,084		1,113,361
				23,081,181
Utilities – 2.1%
Electric Utilities – 0.7%
Avangrid, Inc.		17,079		510,150
Endesa SA		52,779		993,020

26    ^|    AB ALL MARKET REAL RETURN PORTFOLIO abfunds.com

CONSOLIDATED PORTFOLIO OF INVESTMENTS (continued)

Company	Shares		U.S. $ Value
Enel SpA		462,915	$	2,938,390
Exelon Corp.		7,781		302,992
Iberdrola SA		20,672		229,914
NextEra Energy, Inc.		2,381		138,812
Orsted AS(f)		4,815		232,657
SSE PLC		15,865		315,294
				5,661,229
Gas Utilities – 0.2%
APA Group		224,100		1,174,719
Independent Power Producers & Energy Traders – 0.7%
AES Corp. (The)		20,022		298,328
Atlantica Sustainable Infrastructure PLC		17,426		315,585
Boralex, Inc. – Class A		11,272		209,793
Brookfield Renewable Corp. – Class A		14,168		322,337
China Longyuan Power Group Corp., Ltd. – Class H		307,000		259,884
Clearway Energy, Inc. – Class A		11,693		238,186
Drax Group PLC		67,734		347,915
EDP Renovaveis SA(a)		16,952		272,706
ERG SpA(a)		10,906		267,969
Guangxi Guiguan Electric Power Co., Ltd. – Class A		305,100		228,620
Innergex Renewable Energy, Inc.		39,154		241,121
NextEra Energy Partners LP		6,865		185,835
Northland Power, Inc.(a)		19,169		269,410
Ormat Technologies, Inc.		3,959		243,637
RWE AG		12,215		467,412
Solaria Energia y Medio Ambiente SA(a)(b)		18,266		274,001
Vistra Corp.		33,155		1,084,831
Xinyi Energy Holdings Ltd.(a)		1,220,000		213,709
				5,741,279
Multi-Utilities – 0.3%
Algonquin Power & Utilities Corp.(a)		56,035		282,044
E.ON SE		20,464		243,483
Public Service Enterprise Group, Inc.		18,562		1,144,347
Sembcorp Industries Ltd.		77,400		259,670
				1,929,544
Water Utilities – 0.2%
American States Water Co.		3,376		263,497
American Water Works Co., Inc.		1,679		197,534
Beijing Enterprises Water Group Ltd.		1,472,000		310,600
California Water Service Group		7,639		371,866
Middlesex Water Co.		2,795		177,566
SJW Group		5,108		319,148
				1,640,211
				16,146,982

abfunds.com AB ALL MARKET REAL RETURN PORTFOLIO    ^|    27

CONSOLIDATED PORTFOLIO OF INVESTMENTS (continued)

Company	Shares		U.S. $ Value
Software & Services – 1.7%
Application Software – 0.6%
Autodesk, Inc.(b)		5,532	$	1,093,289
Cadence Design Systems, Inc.(b)		4,913		1,178,383
Constellation Software, Inc./Canada(a)		99		198,465
Dropbox, Inc. – Class A(b)		40,572		1,067,044
Manhattan Associates, Inc.(b)		5,383		1,049,577
Roper Technologies, Inc.		608		297,051
				4,883,809
Internet Services & Infrastructure – 0.1%
VeriSign, Inc.(b)		5,193		1,036,834
IT Consulting & Other Services – 0.1%
CGI, Inc.(b)		5,630		543,533
Systems Software – 0.9%
Microsoft Corp.		15,219		5,145,696
Palo Alto Networks, Inc.(b)		2,589		629,179
ServiceNow, Inc.(b)		2,308		1,342,910
				7,117,785
				13,581,961
Pharmaceuticals & Biotechnology – 1.2%
Biotechnology – 0.5%
AbbVie, Inc.		6,968		983,742
Amgen, Inc.		2,833		724,398
Incyte Corp.(b)		8,662		467,142
Neurocrine Biosciences, Inc.(b)		4,339		481,369
United Therapeutics Corp.(b)		2,024		451,069
Vertex Pharmaceuticals, Inc.(b)		1,821		659,402
				3,767,122
Life Sciences Tools & Services – 0.1%
Danaher Corp.		1,378		264,603
Eurofins Scientific SE		7,473		379,148
Waters Corp.(b)		1,205		287,429
				931,180
Pharmaceuticals – 0.6%
Bayer AG (REG)		9,202		397,605
Elanco Animal Health, Inc.(b)		41,893		369,078
Eli Lilly & Co.		3,510		1,944,294
Jazz Pharmaceuticals PLC(b)		2,207		280,333
Novo Nordisk A/S – Class B		17,484		1,686,790
Zoetis, Inc.		1,012		158,884
				4,836,984
				9,535,286

28    ^|    AB ALL MARKET REAL RETURN PORTFOLIO abfunds.com

CONSOLIDATED PORTFOLIO OF INVESTMENTS (continued)

Company	Shares		U.S. $ Value
Technology Hardware & Equipment – 1.1%
Electronic Components – 0.0%
Samsung SDI Co., Ltd.		550	$	174,149
Electronic Equipment & Instruments – 0.1%
Itron, Inc.(b)		4,700		269,216
Landis+Gyr Group AG(b)		6,312		468,300
				737,516
Technology Hardware, Storage & Peripherals – 1.0%
Apple, Inc.		35,861		6,123,983
NetApp, Inc.		14,314		1,041,773
Ricoh Co., Ltd.		89,300		723,786
				7,889,542
				8,801,207
Food Beverage & Tobacco – 1.1%
Agricultural Products & Services – 0.3%
Archer-Daniels-Midland Co.		4,401		314,980
Bunge Ltd.		10,604		1,123,812
Darling Ingredients, Inc.(b)		18,805		832,873
				2,271,665
Brewers – 0.1%
Heineken Holding NV		12,376		941,609
Packaged Foods & Meats – 0.7%
Danone SA		4,351		258,843
Hormel Foods Corp.		9,467		308,151
JBS SA		107,900		428,668
Lamb Weston Holdings, Inc.		12,787		1,148,273
Maple Leaf Foods, Inc.		43,588		867,831
Marfrig Global Foods SA		224,400		287,524
Mowi ASA		46,390		753,822
Pilgrim’s Pride Corp.(b)		16,549		421,999
Sao Martinho SA		42,900		301,642
Tyson Foods, Inc. – Class A		6,494		300,997
				5,077,750
Soft Drinks & Non-alcoholic Beverages – 0.0%
Coca-Cola Europacific Partners PLC		2,810		164,413
				8,455,437

abfunds.com AB ALL MARKET REAL RETURN PORTFOLIO    ^|    29

CONSOLIDATED PORTFOLIO OF INVESTMENTS (continued)

Company	Shares		U.S. $ Value
Financial Services – 0.9%
Asset Management & Custody Banks – 0.2%
Ameriprise Financial, Inc.		3,364	$	1,058,213
Ares Management Corp. – Class A		807		79,562
				1,137,775
Consumer Finance – 0.1%
Synchrony Financial		14,675		411,634
Diversified Capital Markets – 0.1%
UBS Group AG (REG)(b)		45,963		1,079,966
Financial Exchanges & Data – 0.1%
Moody’s Corp.		2,842		875,336
TMX Group Ltd.		12,157		253,178
				1,128,514
Mortgage REITs – 0.0%
Hannon Armstrong Sustainable Infrastructure Capital, Inc.(a)		13,219		226,574
Multi-Sector Holdings – 0.0%
EXOR NV		2,707		232,339
Transaction & Payment Processing Services – 0.4%
Mastercard, Inc. – Class A		4,463		1,679,650
Visa, Inc. – Class A		5,398		1,269,070
				2,948,720
				7,165,522
Media & Entertainment – 0.9%
Broadcasting – 0.1%
Fox Corp. – Class B		34,476		962,225
Interactive Home Entertainment – 0.1%
Electronic Arts, Inc.		8,727		1,080,315
Interactive Media & Services – 0.6%
Alphabet, Inc. – Class A(b)		12,469		1,547,154
Alphabet, Inc. – Class C(b)		11,056		1,385,317
Meta Platforms, Inc. – Class A(b)		4,619		1,391,566
REA Group Ltd.		4,151		381,081
				4,705,118
Movies & Entertainment – 0.1%
Live Nation Entertainment, Inc.(b)		3,975		318,080
				7,065,738

30    ^|    AB ALL MARKET REAL RETURN PORTFOLIO abfunds.com

CONSOLIDATED PORTFOLIO OF INVESTMENTS (continued)

Company	Shares		U.S. $ Value
Semiconductors & Semiconductor Equipment – 0.9%
Semiconductor Materials & Equipment – 0.4%
Applied Materials, Inc.		9,594	$	1,269,766
Enphase Energy, Inc.(b)		2,168		172,530
KLA Corp.		2,354		1,105,674
SolarEdge Technologies, Inc.(b)		1,956		148,558
Xinyi Solar Holdings Ltd.		350,000		205,978
				2,902,506
Semiconductors – 0.5%
Canadian Solar, Inc.(a)(b)		13,755		274,825
First Solar, Inc.(b)		2,038		290,313
Lattice Semiconductor Corp.(b)		4,505		250,523
LONGi Green Energy Technology Co., Ltd. – Class A		87,232		287,924
NVIDIA Corp.		6,170		2,516,126
Wolfspeed, Inc.(a)(b)		4,780		161,755
				3,781,466
				6,683,972
Consumer Discretionary Distribution & Retail – 0.8%
Apparel Retail – 0.2%
Industria de Diseno Textil SA(a)		31,600		1,090,768
TJX Cos., Inc. (The)		5,026		442,640
				1,533,408
Broadline Retail – 0.3%
Amazon.com, Inc.(b)		19,915		2,650,487
Next PLC		1,444		121,069
				2,771,556
Broadline Retail – 0.1%
MercadoLibre, Inc.(b)		414		513,666
Home Improvement Retail – 0.2%
Home Depot, Inc. (The)		5,742		1,634,690
				6,453,320
Commercial & Professional Services – 0.8%
Commercial Printing – 0.2%
TOPPAN Holdings, Inc.		48,100		1,109,372
Diversified Support Services – 0.0%
Brambles Ltd.		18,884		157,601
Environmental & Facilities Services – 0.2%
Aker Carbon Capture ASA(b)		124,875		118,718

abfunds.com AB ALL MARKET REAL RETURN PORTFOLIO    ^|    31

CONSOLIDATED PORTFOLIO OF INVESTMENTS (continued)

Company	Shares		U.S. $ Value
Casella Waste Systems, Inc. – Class A(b)		4,121	$	310,929
Clean Harbors, Inc.(b)		2,095		321,939
Republic Services, Inc.		1,969		292,377
Tetra Tech, Inc.		1,799		271,487
Veralto Corp.(b)		460		31,740
Waste Management, Inc.		1,424		234,006
				1,581,196
Human Resource & Employment Services – 0.3%
Automatic Data Processing, Inc.		219		47,790
Paychex, Inc.		9,640		1,070,522
Robert Half, Inc.		14,119		1,055,678
				2,173,990
Research & Consulting Services – 0.1%
Verisk Analytics, Inc.		4,391		998,338
				6,020,497
Health Care Equipment & Services – 0.7%
Health Care Distributors – 0.3%
Cardinal Health, Inc.		12,172		1,107,652
Cencora, Inc.		6,046		1,119,417
McKesson Corp.		774		352,449
				2,579,518
Health Care Equipment – 0.2%
GE Healthcare, Inc.		10,183		677,882
IDEXX Laboratories, Inc.(b)		2,134		852,469
				1,530,351
Health Care Services – 0.0%
ABIOMED, Inc.(b)(c)(d)		1,321		– 0	–
Managed Health Care – 0.2%
Humana, Inc.		925		484,413
Molina Healthcare, Inc.(b)		1,716		571,342
				1,055,755
				5,165,624
Banks – 0.6%
Diversified Banks – 0.6%
Banco Bilbao Vizcaya Argentaria SA		143,805		1,131,347
Barclays PLC		122,973		197,377
First Citizens BancShares, Inc./NC – Class A		791		1,092,165
NatWest Group PLC		180,989		393,799
Standard Chartered PLC		120,611		924,765
UniCredit SpA		48,686		1,220,539
				4,959,992
Insurance – 0.6%
Life & Health Insurance – 0.4%
iA Financial Corp., Inc.		15,703		913,701

32    ^|    AB ALL MARKET REAL RETURN PORTFOLIO abfunds.com

CONSOLIDATED PORTFOLIO OF INVESTMENTS (continued)

Company	Shares		U.S. $ Value
Japan Post Insurance Co., Ltd.		60,400	$	1,163,067
Manulife Financial Corp.		35,192		612,609
Medibank Pvt Ltd.		75,017		163,708
Poste Italiane SpA(f)		36,643		362,774
				3,215,859
Multi-line Insurance – 0.2%
American International Group, Inc.		8,200		502,742
Assicurazioni Generali SpA		54,257		1,077,741
				1,580,483
				4,796,342
Consumer Services – 0.5%
Casinos & Gaming – 0.1%
La Francaise des Jeux SAEM(f)		16,096		519,208
Hotels, Resorts & Cruise Lines – 0.4%
Airbnb, Inc. – Class A(b)		9,410		1,113,109
Booking Holdings, Inc.(b)		434		1,210,669
Hyatt Hotels Corp. – Class A(a)		10,400		1,065,376
				3,389,154
Specialized Consumer Services – 0.0%
WW International, Inc.(b)		21,737		169,983
				4,078,345
Consumer Durables & Apparel – 0.5%
Apparel, Accessories & Luxury Goods – 0.2%
Pandora A/S		9,328		1,057,987
Consumer Electronics – 0.0%
Panasonic Holdings Corp.		27,900		244,780
Homebuilding – 0.3%
Desarrolladora Homex SAB de CV(b)		1,590		1
Installed Building Products, Inc.		1,324		147,851
NVR, Inc.(b)		181		979,684
PulteGroup, Inc.		16,590		1,220,858
Urbi Desarrollos Urbanos SAB de CV(b)		9		4
				2,348,398
				3,651,165
Automobiles & Components – 0.3%
Automobile Manufacturers – 0.3%
Nissan Motor Co., Ltd.		261,100		1,004,708
Tesla, Inc.(b)		6,039		1,212,873
				2,217,581

abfunds.com AB ALL MARKET REAL RETURN PORTFOLIO    ^|    33

CONSOLIDATED PORTFOLIO OF INVESTMENTS (continued)

Company	Shares		U.S. $ Value
Telecommunication Services – 0.3%
Integrated Telecommunication Services – 0.2%
Infrastrutture Wireless Italiane SpA(a)(f)		67,890	$	743,384
Spark New Zealand Ltd.		219,969		638,596
				1,381,980
Wireless Telecommunication Services – 0.1%
SoftBank Corp.		46,400		524,638
				1,906,618
Consumer Staples Distribution & Retail – 0.2%
Consumer Staples Merchandise Retail – 0.0%
Costco Wholesale Corp.		391		216,004
Food Distributors – 0.1%
Sysco Corp.		7,559		502,598
Food Retail – 0.1%
J Sainsbury PLC		254,697		796,900
				1,515,502
Transportation – 0.1%
Cargo Ground Transportation – 0.1%
Old Dominion Freight Line, Inc.		1,520		572,523
Passenger Airlines – 0.0%
Singapore Airlines Ltd.(a)		119,800		534,938
				1,107,461
Household & Personal Products – 0.1%
Household Products – 0.1%
Kimberly-Clark Corp.		8,924		1,067,667
Total Common Stocks (cost $487,042,696)				475,717,762
INVESTMENT COMPANIES – 0.8%
Funds and Investment Trusts – 0.8%
iShares MSCI Global Metals & Mining Producers ETF(a)(g) (cost $7,242,559)		169,430		6,353,625
WARRANTS – 0.0%
Constellation Software, Inc., expiring 03/31/2040(a)(b)(c) (cost $0)		421		– 0	–

34    ^|    AB ALL MARKET REAL RETURN PORTFOLIO abfunds.com

CONSOLIDATED PORTFOLIO OF INVESTMENTS (continued)

Company	Shares		U.S. $ Value
SHORT-TERM INVESTMENTS – 35.7%
Investment Companies – 35.7%
AB Fixed Income Shares, Inc. – Government Money Market Portfolio – Class AB, 5.27%(g)(h)(i) (cost $278,916,328)		278,916,328	$	278,916,328
Total Investments Before Security Lending Collateral for Securities Loaned – 97.3% (cost $773,201,583)				760,987,715
INVESTMENTS OF CASH COLLATERAL FOR SECURITIES LOANED – 1.0%
Investment Companies – 1.0%
AB Fixed Income Shares, Inc. – Government Money Market Portfolio – Class AB, 5.27%(g)(h)(i) (cost $8,077,773)		8,077,773		8,077,773
Total Investments – 98.3% (cost $781,279,356)				769,065,488
Other assets less liabilities – 1.7%				13,173,377
Net Assets – 100.0%			$	782,238,865

FUTURES (see Note D)

Description	Number of Contracts		Expiration Month		Current Notional		Value and Unrealized Appreciation (Depreciation)
Purchased Contracts
Brent Crude Futures		228		November 2023	$	19,384,560	$	(196,212	)
Coffee Robusta Futures		62		January 2024		1,466,920		49,366
Coffee ‘C’ Futures		103		March 2024		6,369,263		329,864
Copper Futures		120		December 2023		10,947,000		(142,013	)
Corn Futures		417		March 2024		10,279,050		(74,558	)
Cotton No.2 Futures		101		March 2024		4,217,255		(219,278	)
Euro STOXX 50 Index Futures		53		December 2023		2,282,428		1,058
FTSE 100 Index Futures		7		December 2023		623,477		(828	)
Gasoline RBOB Futures		44		December 2023		4,087,222		52,186
Gold 100 OZ Futures		309		December 2023		61,623,870		336,118
KC HRW Wheat Futures		106		March 2024		3,398,625		(491,605	)
Lean Hogs Futures		140		February 2024		4,193,000		(200,514	)
Live Cattle Futures		86		February 2024		6,351,100		(118,642	)
LME Lead Futures		32		November 2023		1,660,200		(119,304	)
LME Nickel Futures		34		November 2023		3,656,904		(457,071	)
LME Primary Aluminum Futures		180		November 2023		10,118,925		375,838
LME Zinc Futures		76		November 2023		4,603,700		(723	)
Low SU Gasoil Futures		95		January 2024		7,953,875		(59,554	)

abfunds.com AB ALL MARKET REAL RETURN PORTFOLIO    ^|    35

CONSOLIDATED PORTFOLIO OF INVESTMENTS (continued)

Description	Number of Contracts		Expiration Month		Current Notional		Value and Unrealized Appreciation (Depreciation)
MSCI Emerging Markets Futures		121		December 2023	$	5,561,160	$	(365,380	)
Natural Gas Futures		350		December 2023		13,345,500		785,390
NY Harbor ULSD Futures		53		December 2023		6,357,679		(94,478	)
Platinum Futures		30		January 2024		1,417,350		(12,967	)
S&P 500 E-Mini Futures		54		December 2023		11,373,075		87,098
S&P/TSX 60 Index Futures		4		December 2023		654,768		1,695
Silver Futures		86		December 2023		9,869,360		48,179
Soybean Futures		191		March 2024		12,651,363		157,892
Soybean Meal Futures		140		March 2024		5,695,200		521,327
Soybean Oil Futures		192		March 2024		5,812,992		(509,388	)
Sugar 11 (World) Futures		273		February 2024		8,283,038		565,260
Wheat Futures (CBT)		175		March 2024		5,120,938		(433,859	)
WTI Crude Futures		237		December 2023		19,078,500		(407,789	)
Sold Contracts
Bloomberg Commodity Index Futures		1,745		December 2023		18,256,190		73,187
LME Lead Futures		3		November 2023		155,644		3,067
LME Nickel Futures		3		November 2023		322,668		12,448
LME Primary Aluminum Futures		13		November 2023		730,811		(6,813	)
LME Zinc Futures		7		November 2023		424,025		11,215
							$	(499,788	)

FORWARD CURRENCY EXCHANGE CONTRACTS (see Note D)

Counterparty	Contracts to Deliver (000)		In Exchange For (000)		Settlement Date		Unrealized Appreciation (Depreciation)
Bank of America, NA	USD	4,601	ZAR	87,868		11/06/2023	$	111,608
Bank of America, NA	AUD	1,509	USD	970		11/08/2023		12,402
Bank of America, NA	USD	5,058	AUD	7,822		11/08/2023		(95,393	)
Bank of America, NA	CHF	16,723	USD	18,753		11/16/2023		341,712
Bank of America, NA	CLP	2,177,284	USD	2,350		11/16/2023		(80,956	)
Bank of America, NA	COP	4,126,004	USD	995		11/16/2023		(4,163	)
Bank of America, NA	MXN	24,503	USD	1,391		11/16/2023		34,573
Bank of America, NA	MXN	12,185	USD	660		11/16/2023		(14,592	)
Bank of America, NA	PEN	11,296	USD	2,950		11/16/2023		10,936
Bank of America, NA	PEN	4,650	USD	1,203		11/16/2023		(6,466	)
Bank of America, NA	USD	2,979	CHF	2,657		11/16/2023		(54,291	)
Bank of America, NA	USD	1,455	CLP	1,321,114		11/16/2023		20,476
Bank of America, NA	GBP	460	USD	560		11/17/2023		920
Bank of America, NA	USD	10,362	GBP	8,354		11/17/2023		(207,606	)
Bank of America, NA	HUF	495,500	USD	1,312		11/29/2023		(52,676	)
Bank of America, NA	PLN	6,043	USD	1,434		11/29/2023		152
Bank of America, NA	TWD	68,489	USD	2,146		11/29/2023		33,497
Bank of America, NA	USD	6,389	HUF	2,385,177		11/29/2023		180,129
Bank of America, NA	USD	1,598	TWD	50,608		11/29/2023		(36,799	)
Bank of America, NA	NOK	143,035	USD	13,280		12/07/2023		462,198
Bank of America, NA	SEK	25,466	USD	2,320		12/07/2023		35,749
Bank of America, NA	USD	12,403	NOK	135,714		12/07/2023		(241,795	)
Bank of America, NA	USD	18,663	SEK	205,657		12/07/2023		(212,037	)

36    ^|    AB ALL MARKET REAL RETURN PORTFOLIO abfunds.com

CONSOLIDATED PORTFOLIO OF INVESTMENTS (continued)

Counterparty	Contracts to Deliver (000)		In Exchange For (000)		Settlement Date		Unrealized Appreciation (Depreciation)
Bank of America, NA	INR	409,664	USD	4,910		12/14/2023	$	(3,027	)
Bank of America, NA	USD	3,919	EUR	3,685		01/10/2024		(6,626	)
Bank of America, NA	CNH	20,268	USD	2,776		01/11/2024		2,079
Bank of America, NA	USD	3,027	CNH	21,976		01/11/2024		(18,915	)
Bank of America, NA	JPY	88,266	USD	597		01/12/2024		7,240
Bank of America, NA	USD	4,790	JPY	707,144		01/12/2024		(69,257	)
Bank of America, NA	USD	2,614	KRW	3,513,454		01/18/2024		(5,010	)
Bank of America, NA	IDR	18,393,663	USD	1,181		01/25/2024		27,698
Bank of America, NA	PHP	66,358	USD	1,168		01/25/2024		(113	)
Bank of New York (The)	USD	597	EUR	564		01/10/2024		1,401
Barclays Bank PLC	USD	2,183	ZAR	41,338		11/06/2023		34,516
Barclays Bank PLC	ZAR	88,837	USD	4,651		11/06/2023		(114,002	)
Barclays Bank PLC	AUD	14,765	USD	9,502		11/08/2023		133,721
Barclays Bank PLC	CLP	781,446	USD	882		11/16/2023		9,182
Barclays Bank PLC	COP	3,046,879	USD	760		11/16/2023		22,307
Barclays Bank PLC	PEN	3,141	USD	843		11/16/2023		26,257
Barclays Bank PLC	USD	2,862	COP	12,231,278		11/16/2023		100,323
Barclays Bank PLC	USD	2,202	MXN	40,442		11/16/2023		36,425
Barclays Bank PLC	USD	805	PEN	3,088		11/16/2023		(1,850	)
Barclays Bank PLC	CZK	40,086	USD	1,719		11/29/2023		(5,746	)
Barclays Bank PLC	PLN	21,721	USD	5,167		11/29/2023		11,587
Barclays Bank PLC	USD	1,137	HUF	412,615		11/29/2023		(230	)
Barclays Bank PLC	USD	883	TWD	28,539		11/29/2023		(3,093	)
Barclays Bank PLC	NOK	32,233	USD	2,976		12/07/2023		87,865
Barclays Bank PLC	SEK	48,622	USD	4,416		12/07/2023		53,526
Barclays Bank PLC	USD	3,342	NOK	37,291		12/07/2023		93
Barclays Bank PLC	USD	679	SEK	7,484		12/07/2023		(7,957	)
Barclays Bank PLC	INR	85,564	USD	1,025		12/14/2023		(1,180	)
Barclays Bank PLC	EUR	971	USD	1,031		01/10/2024		41
Barclays Bank PLC	USD	1,562	MYR	7,416		01/11/2024		1,567
Barclays Bank PLC	USD	8,593	MYR	40,561		01/11/2024		(41,145	)
Barclays Bank PLC	USD	1,091	JPY	161,310		01/12/2024		(14,225	)
Barclays Bank PLC	IDR	165,602,217	USD	10,412		01/25/2024		30,549
Barclays Bank PLC	PHP	38,717	USD	682		01/25/2024		150
Barclays Bank PLC	USD	10,123	IDR	159,170,916		01/25/2024		(145,462	)
BNP Paribas SA	USD	594	AUD	923		11/08/2023		(8,253	)
BNP Paribas SA	USD	7,016	COP	28,607,833		11/16/2023		(87,870	)
BNP Paribas SA	USD	962	NZD	1,652		01/11/2024		235
Citibank, NA	USD	929	GBP	745		11/17/2023		(23,370	)
Citibank, NA	USD	598	JPY	88,266		01/12/2024		(8,317	)
Deutsche Bank AG	BRL	6,771	USD	1,327		11/03/2023		(16,322	)
Deutsche Bank AG	USD	1,338	BRL	6,771		11/03/2023		4,983
Deutsche Bank AG	ZAR	23,547	USD	1,212		11/06/2023		(51,083	)
Deutsche Bank AG	AUD	814	USD	515		11/08/2023		(1,387	)
Deutsche Bank AG	USD	3,471	AUD	5,399		11/08/2023		(45,354	)
Deutsche Bank AG	CLP	1,166,779	USD	1,238		11/16/2023		(64,905	)
Deutsche Bank AG	USD	823	COP	3,593,471		11/16/2023		47,585
Deutsche Bank AG	CZK	79,981	USD	3,524		11/29/2023		83,012
Deutsche Bank AG	HUF	220,423	USD	594		11/29/2023		(13,194	)
Deutsche Bank AG	PLN	6,236	USD	1,436		11/29/2023		(44,093	)
Deutsche Bank AG	TWD	182,866	USD	5,681		11/29/2023		39,721

abfunds.com AB ALL MARKET REAL RETURN PORTFOLIO    ^|    37

CONSOLIDATED PORTFOLIO OF INVESTMENTS (continued)

Counterparty	Contracts to Deliver (000)		In Exchange For (000)		Settlement Date		Unrealized Appreciation (Depreciation)
Deutsche Bank AG	USD	2,200	CZK	50,538		11/29/2023	$	(25,574	)
Deutsche Bank AG	USD	1,226	HUF	443,770		11/29/2023		(3,392	)
Deutsche Bank AG	DKK	13,713	USD	1,955		12/07/2023		7,248
Deutsche Bank AG	SEK	71,662	USD	6,498		12/07/2023		68,877
Deutsche Bank AG	INR	264,297	USD	3,173		12/14/2023		2,798
Deutsche Bank AG	INR	418,350	USD	5,013		12/14/2023		(5,048	)
Deutsche Bank AG	CNH	14,838	USD	2,035		01/11/2024		4,293
Deutsche Bank AG	USD	1,752	KRW	2,365,476		01/18/2024		4,654
Deutsche Bank AG	IDR	52,545,655	USD	3,306		01/25/2024		12,292
Goldman Sachs Bank USA	BRL	48,526	USD	9,726		11/03/2023		100,900
Goldman Sachs Bank USA	BRL	4,836	USD	952		11/03/2023		(7,520	)
Goldman Sachs Bank USA	USD	10,551	BRL	53,362		11/03/2023		32,961
Goldman Sachs Bank USA	USD	914	ZAR	17,260		11/06/2023		11,930
Goldman Sachs Bank USA	ZAR	51,435	USD	2,696		11/06/2023		(62,917	)
Goldman Sachs Bank USA	AUD	4,323	USD	2,738		11/08/2023		(4,909	)
Goldman Sachs Bank USA	USD	1,096	AUD	1,709		11/08/2023		(12,152	)
Goldman Sachs Bank USA	COP	5,170,620	USD	1,294		11/16/2023		41,788
Goldman Sachs Bank USA	PEN	3,941	USD	1,057		11/16/2023		32,175
Goldman Sachs Bank USA	USD	1,059	CHF	945		11/16/2023		(19,097	)
Goldman Sachs Bank USA	USD	638	MXN	11,446		11/16/2023		(4,525	)
Goldman Sachs Bank USA	GBP	14,387	USD	17,541		11/17/2023		52,997
Goldman Sachs Bank USA	CZK	22,444	USD	960		11/29/2023		(5,620	)
Goldman Sachs Bank USA	PLN	3,484	USD	822		11/29/2023		(4,780	)
Goldman Sachs Bank USA	EUR	6,310	USD	6,718		01/10/2024		18,698
Goldman Sachs Bank USA	EUR	3,571	USD	3,791		01/10/2024		(465	)
Goldman Sachs Bank USA	MYR	12,303	USD	2,623		01/11/2024		29,122
Goldman Sachs Bank USA	USD	3,715	CNH	27,068		01/11/2024		(10,608	)
Goldman Sachs Bank USA	USD	2,691	MYR	12,543		01/11/2024		(46,459	)
Goldman Sachs Bank USA	USD	470	KRW	632,693		01/18/2024		(234	)
Goldman Sachs Bank USA	USD	760	IDR	11,962,342		01/25/2024		(10,115	)
HSBC Bank USA	USD	646	ILS	2,563		01/17/2024		(8,810	)
JPMorgan Chase Bank, NA	USD	1,708	ZAR	32,467		11/06/2023		33,201
JPMorgan Chase Bank, NA	USD	1,792	CHF	1,600		11/16/2023		(30,383	)
JPMorgan Chase Bank, NA	CZK	34,152	USD	1,465		11/29/2023		(4,104	)
JPMorgan Chase Bank, NA	HUF	510,181	USD	1,389		11/29/2023		(15,916	)
JPMorgan Chase Bank, NA	TWD	59,280	USD	1,845		11/29/2023		16,057
JPMorgan Chase Bank, NA	USD	1,280	CZK	29,443		11/29/2023		(12,775	)
JPMorgan Chase Bank, NA	SEK	26,128	USD	2,390		12/07/2023		46,268
JPMorgan Chase Bank, NA	USD	2,012	NOK	22,484		12/07/2023		2,998
JPMorgan Chase Bank, NA	USD	2,423	EUR	2,290		01/10/2024		8,239
JPMorgan Chase Bank, NA	USD	2,091	EUR	1,962		01/10/2024		(8,105	)
JPMorgan Chase Bank, NA	CNH	13,522	USD	1,854		01/11/2024		2,999
JPMorgan Chase Bank, NA	USD	1,615	CNH	11,757		01/11/2024		(5,690	)
JPMorgan Chase Bank, NA	JPY	669,852	USD	4,526		01/12/2024		53,395
Morgan Stanley Capital Services, Inc.	BRL	51,765	USD	10,235		11/03/2023		(31,974	)
Morgan Stanley Capital Services, Inc.	USD	10,328	BRL	51,765		11/03/2023		(60,944	)
Morgan Stanley Capital Services, Inc.	USD	3,031	ZAR	57,520		11/06/2023		54,063
Morgan Stanley Capital Services, Inc.	AUD	10,072	USD	6,476		11/08/2023		85,210

38    ^|    AB ALL MARKET REAL RETURN PORTFOLIO abfunds.com

CONSOLIDATED PORTFOLIO OF INVESTMENTS (continued)

Counterparty	Contracts to Deliver (000)		In Exchange For (000)		Settlement Date		Unrealized Appreciation (Depreciation)
Morgan Stanley Capital Services, Inc.	USD	10,335	AUD	16,359		11/08/2023	$	44,745
Morgan Stanley Capital Services, Inc.	USD	905	AUD	1,409		11/08/2023		(10,528	)
Morgan Stanley Capital Services, Inc.	CLP	8,120,388	USD	9,025		11/16/2023		(41,843	)
Morgan Stanley Capital Services, Inc.	MXN	8,103	USD	469		11/16/2023		20,042
Morgan Stanley Capital Services, Inc.	USD	785	CHF	715		11/16/2023		2,221
Morgan Stanley Capital Services, Inc.	USD	693	CHF	626		11/16/2023		(4,293	)
Morgan Stanley Capital Services, Inc.	USD	665	COP	2,952,675		11/16/2023		50,332
Morgan Stanley Capital Services, Inc.	USD	13,553	MXN	235,068		11/16/2023		(542,691	)
Morgan Stanley Capital Services, Inc.	GBP	569	USD	693		11/17/2023		1,792
Morgan Stanley Capital Services, Inc.	USD	10,559	GBP	8,464		11/17/2023		(270,719	)
Morgan Stanley Capital Services, Inc.	USD	6,252	PLN	26,763		11/29/2023		99,551
Morgan Stanley Capital Services, Inc.	BRL	51,765	USD	10,290		12/04/2023		61,302
Morgan Stanley Capital Services, Inc.	SEK	17,200	USD	1,563		12/07/2023		20,234
Morgan Stanley Capital Services, Inc.	USD	6,987	NOK	75,844		12/07/2023		(190,387	)
Morgan Stanley Capital Services, Inc.	INR	69,569	USD	835		12/14/2023		902
Morgan Stanley Capital Services, Inc.	INR	71,054	USD	851		12/14/2023		(1,204	)
Morgan Stanley Capital Services, Inc.	USD	20,666	INR	1,728,219		12/14/2023		61,562
Morgan Stanley Capital Services, Inc.	USD	706	INR	58,817		12/14/2023		(76	)
Morgan Stanley Capital Services, Inc.	CAD	25,847	USD	18,797		01/10/2024		134,308
Morgan Stanley Capital Services, Inc.	EUR	4,705	USD	5,010		01/10/2024		15,031
Morgan Stanley Capital Services, Inc.	USD	885	EUR	829		01/10/2024		(4,912	)
Morgan Stanley Capital Services, Inc.	CNH	77,348	USD	10,641		01/11/2024		54,227
Morgan Stanley Capital Services, Inc.	MYR	17,850	USD	3,844		01/11/2024		80,596
Morgan Stanley Capital Services, Inc.	USD	1,142	MYR	5,307		01/11/2024		(23,111	)
Morgan Stanley Capital Services, Inc.	USD	9,588	NZD	16,462		01/11/2024		4,610
Morgan Stanley Capital Services, Inc.	JPY	95,348	USD	643		01/12/2024		6,022

abfunds.com AB ALL MARKET REAL RETURN PORTFOLIO    ^|    39

CONSOLIDATED PORTFOLIO OF INVESTMENTS (continued)

Counterparty	Contracts to Deliver (000)		In Exchange For (000)		Settlement Date		Unrealized Appreciation (Depreciation)
Morgan Stanley Capital Services, Inc.	IDR	115,353,523	USD	7,405		01/25/2024	$	174,312
Morgan Stanley Capital Services, Inc.	PHP	630,202	USD	11,088		01/25/2024		(9,858	)
State Street Bank & Trust Co.	AUD	1,849	USD	1,186		11/08/2023		13,167
State Street Bank & Trust Co.	USD	511	AUD	807		11/08/2023		1,421
State Street Bank & Trust Co.	USD	919	AUD	1,429		11/08/2023		(11,933	)
State Street Bank & Trust Co.	CHF	856	USD	957		11/16/2023		14,800
State Street Bank & Trust Co.	SGD	1,314	USD	966		11/16/2023		5,966
State Street Bank & Trust Co.	USD	473	MXN	8,700		11/16/2023		8,532
State Street Bank & Trust Co.	GBP	347	USD	423		11/17/2023		975
State Street Bank & Trust Co.	USD	808	HKD	6,310		11/22/2023		(1,689	)
State Street Bank & Trust Co.	THB	242,887	USD	6,579		11/28/2023		(193,215	)
State Street Bank & Trust Co.	USD	3,138	THB	114,014		11/28/2023		40,713
State Street Bank & Trust Co.	USD	10,074	THB	360,008		11/28/2023		(35,830	)
State Street Bank & Trust Co.	HUF	161,929	USD	441		11/29/2023		(4,848	)
State Street Bank & Trust Co.	NOK	4,819	USD	437		12/07/2023		5,304
State Street Bank & Trust Co.	SEK	5,520	USD	501		12/07/2023		6,049
State Street Bank & Trust Co.	USD	216	NOK	2,329		12/07/2023		(7,523	)
State Street Bank & Trust Co.	USD	775	SEK	8,586		12/07/2023		(4,940	)
State Street Bank & Trust Co.	USD	228	EUR	214		01/10/2024		(365	)
State Street Bank & Trust Co.	NZD	742	USD	432		01/11/2024		35
State Street Bank & Trust Co.	NZD	1,664	USD	966		01/11/2024		(3,276	)
State Street Bank & Trust Co.	USD	1,650	JPY	245,324		01/12/2024		(12,314	)
UBS AG	CHF	945	USD	1,046		11/16/2023		5,945
							$	77,843

INFLATION (CPI) SWAPS (see Note D)

Rate Type

Swap Counterparty

Notional Amount (000)

Termination Date

Payments made by the Fund

Payments received by the Fund

Payment Frequency Paid/ Received

Market Value

Upfront Premiums Paid (Received)

Unrealized Appreciation (Depreciation)

Goldman Sachs International

USD

110,190

04/25/2030

1.900

%

CPI

#

Maturity

$

3,523,208

$

– 0

–

$

3,523,208

Goldman Sachs International

USD

58,060

03/16/2031

2.289

%

CPI

#

Maturity

1,000,911

– 0

–

1,000,911

$

4,524,119

$

– 0

–

$

4,524,119

# Variable interest rate based on the rate of inflation as determined by the Consumer Price Index (CPI).

40    ^|    AB ALL MARKET REAL RETURN PORTFOLIO abfunds.com

CONSOLIDATED PORTFOLIO OF INVESTMENTS (continued)

TOTAL RETURN SWAPS (see Note D)

Counterparty & Referenced Obligation	Rate Paid/ Received	Payment Frequency		Current Notional (000)		Maturity Date		Unrealized Appreciation (Depreciation)
Receive Total Return on Reference Obligation
Bank of America, NA
MLABGLIN(1)	SOFR plus 0.25%	Quarterly	USD		40,700		04/15/2024	$	(911,176	)
Merrill Lynch International
Bloomberg Commodity Index	0.00%	Maturity	USD		25,971		12/15/2023		(728,442	)
Pay Total Return on Reference Obligation
UBS AG
FTSE EPRA/NAREIT Developed Real Estate Index	OBFR plus 0.25%	Quarterly	USD		1,159		02/15/2024		133,490
FTSE EPRA/NAREIT Developed Real Estate Index	OBFR plus 0.48%	Quarterly	USD		26,078		09/16/2024		3,100,720
								$	1,594,592

(a) Represents entire or partial securities out on loan. See Note E for securities lending information.

(b) Non-income producing security.

(c) Security in which significant unobservable inputs (Level 3) were used in determining fair value.

(d) Fair valued by the Adviser.

(e) Restricted and illiquid security.

Restricted & Illiquid Securities	Acquisition Date		Cost		Market Value		Percentage of Net Assets
LUKOIL PJSC		01/07/2021	$	1,631,127	$	0		0.00	%

(f) Security is exempt from registration under Rule 144A or Regulation S of the Securities Act of 1933. These securities are considered restricted, but liquid and may be resold in transactions exempt from registration. At October 31, 2023, the aggregate market value of these securities amounted to $4,470,966 or 0.6% of net assets.

(g) To obtain a copy of the fund’s shareholder report, please go to the Securities and Exchange Commission’s website at www.sec.gov. Additionally, shareholder reports for AB funds can be obtained by calling AB at (800) 227-4618.

(h) Affiliated investments.

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

Currency Abbreviations:   AUD – Australian Dollar BRL – Brazilian Real CAD – Canadian Dollar CHF – Swiss Franc CLP – Chilean Peso CNH – Chinese Yuan Renminbi (Offshore) COP – Colombian Peso CZK – Czech Koruna DKK – Danish Krone EUR – Euro GBP – Great British Pound HKD – Hong Kong Dollar HUF – Hungarian Forint IDR – Indonesian Rupiah ILS – Israeli Shekel INR – Indian Rupee JPY – Japanese Yen KRW – South Korean Won MXN – Mexican Peso MYR – Malaysian Ringgit NOK – Norwegian Krone NZD – New Zealand Dollar PEN – Peruvian Sol PHP – Philippine Peso PLN – Polish Zloty SEK – Swedish Krona SGD – Singapore Dollar THB – Thailand Baht TWD – New Taiwan Dollar USD – United States Dollar ZAR – South African Rand

abfunds.com AB ALL MARKET REAL RETURN PORTFOLIO    ^|    41

CONSOLIDATED PORTFOLIO OF INVESTMENTS (continued)

Glossary:

ADR – American Depositary Receipt

CBT – Chicago Board of Trade

CPI – Consumer Price Index

EPRA – European Public Real Estate Association

ETF – Exchange Traded Fund

FTSE – Financial Times Stock Exchange

KC HRW – Kansas City Hard Red Winter

LME – London Metal Exchange

NAREIT – National Association of Real Estate Investment Trusts

OBFR – Overnight Bank Funding Rate

PJSC – Public Joint Stock Company

RBOB – Reformulated Gasoline Blend-Stock for Oxygen Blending (Unleaded Gas)

REG – Registered Shares

REIT – Real Estate Investment Trust

SOFR – Secured Overnight Financing Rate

TSX – Toronto Stock Exchange

ULSD – Ultra-Low Sulfur Diesel

WTI – West Texas Intermediate

(1) The following table represents the 50 largest equity basket holdings underlying the total return swap in MLABGLIN as of October 31, 2023.

Security Description	Shares		Current Notional		Percent of Basket’s Value
Enbridge, Inc.		86,893	USD	2,781,585		6.8	%
American Tower Corp.		13,130		2,339,596		5.8	%
Vinci SA		20,277		2,239,272		5.5	%
National Grid PLC		1,486		1,764,951		4.3	%
TC Energy Corp.		42,113		1,448,798		3.6	%
Sempra		17,302		1,211,662		3.0	%
Williams Cos., Inc. (The)		33,574		1,154,932		2.8	%
Crown Castle, Inc.		12,200		1,134,350		2.8	%
Cheniere Energy, Inc.		6,617		1,101,120		2.7	%
Exelon Corp.		27,358		1,065,307		2.6	%
Energy Transfer LP		80,108		1,053,426		2.6	%
Enterprise Products Partners LP		39,732		1,034,618		2.5	%
ONEOK, Inc.		15,601		1,017,201		2.5	%
Transurban Group		129,386		968,302		2.4	%
PG&E Corp.		57,935		944,334		2.3	%
Kinder Morgan, Inc.		53,340		864,113		2.1	%
Consolidated Edison, Inc.		9,527		836,365		2.1	%
Fortis, Inc./Canada		19,583		776,674		1.9	%
Cellnex Telecom SA		25,032		733,429		1.8	%
Pembina Pipeline Corp.		22,447		690,096		1.7	%
American Water Works Co., Inc.		5,692		669,716		1.6	%
Edison International		10,452		659,125		1.6	%
SBA Communications Corp.		3,111		649,026		1.6	%
Ferrovial SE		19,918		598,754		1.5	%
Eversource Energy		9,961		535,826		1.3	%
Targa Resources Corp.		6,213		519,449		1.3	%
CenterPoint Energy, Inc.		17,182		461,860		1.1	%
Aena SME SA		1,055		454,358		1.1	%
Atmos Energy Corp.		4,104		441,885		1.1	%
Terna—Rete Elettrica Naziona		57,197		436,864		1.1	%
Snam SpA		82,740		378,683		0.9	%

42    ^|    AB ALL MARKET REAL RETURN PORTFOLIO abfunds.com

CONSOLIDATED PORTFOLIO OF INVESTMENTS (continued)

Security Description	Shares		Current Notional		Percent of Basket’s Value
Tokyo Gas Co., Ltd.		870,631	USD	359,302		0.9	%
Severn Trent PLC		109		350,846		0.9	%
United Utilities Group PLC		271		349,355		0.9	%
Hydro One Ltd.		13,147		340,555		0.8	%
MPLX LP		9,354		337,129		0.8	%
Hong Kong & China Gas Co., Ltd.		428,558		298,500		0.7	%
NiSource, Inc.		11,139		280,250		0.7	%
APA Group		50,076		261,255		0.6	%
Redeia Corporacion SA		16,173		251,372		0.6	%
Auckland International Airport Ltd.		15,268		236,668		0.6	%
Essential Utilities, Inc.		6,903		230,991		0.6	%
ENN Energy Holdings Ltd.		29,998		229,073		0.6	%
Brookfield Infrastructure Corp.		10,006		226,539		0.6	%
Keyera Corp.		9,140		212,333		0.5	%
Getlink SE		12,887		207,532		0.5	%
Naturgy Energy Group SA		7,209		203,439		0.5	%
Grupo Aeroportuario del Pacifico SAB de CV		1,717		199,928		0.5	%
Plains All American Pipeline LP		12,508		189,489		0.5	%
China Tower Corp. Ltd.		2,296		181,087		0.4	%
Other Long		3,031,931		4,775,422		11.8	%

See notes to consolidated financial statements.

abfunds.com AB ALL MARKET REAL RETURN PORTFOLIO    ^|    43

CONSOLIDATED STATEMENT OF ASSETS & LIABILITIES

October 31, 2023

Assets
Investments in securities, at value
Unaffiliated issuers (cost $494,285,255)	$	482,071,387	(a)
Affiliated issuers (cost $286,994,101—including investment of cash collateral for securities loaned of $8,077,773)		286,994,101
Cash		136,102
Cash collateral due from broker		22,269,066
Foreign currencies, at value (cost $2,250,601)		2,218,298
Unrealized appreciation on inflation swaps		4,524,119
Unrealized appreciation on forward currency exchange contracts		3,664,274
Unrealized appreciation on total return swaps		3,234,210
Unaffiliated dividends receivable		1,038,487
Affiliated dividends receivable		1,037,042
Receivable for capital stock sold		266,764
Receivable for investment securities sold		186,563
Total assets		807,640,413
Liabilities
Cash collateral due to broker		8,690,000
Payable for collateral received on securities loaned		8,077,773
Unrealized depreciation on forward currency exchange contracts		3,586,431
Unrealized depreciation on total return swaps		1,639,618
Payable for capital stock redeemed		1,051,741
Payable for variation margin on futures		1,033,904
Advisory fee payable		460,607
Distribution fee payable		122,206
Administrative fee payable		27,052
Transfer Agent fee payable		11,786
Directors’ fees payable		2,295
Accrued expenses		698,139
Total liabilities		25,401,548
Net Assets	$	782,238,865
Composition of Net Assets
Capital stock, at par	$	95,668
Additional paid-in capital		1,013,315,111
Accumulated loss		(231,171,914	)
Net Assets	$	782,238,865

(a) Includes securities on loan with a value of $17,022,058 (see Note E).

See notes to consolidated financial statements.

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CONSOLIDATED STATEMENT OF ASSETS & LIABILITIES (continued)

Net Asset Value Per Share—33 billion shares of capital stock authorized, $.001 par value

Class	Net Assets		Shares Outstanding		Net Asset Value
A	$	5,592,431		670,754	$	8.34	*
C	$	314,073		37,031	$	8.48
Advisor	$	22,009,919		2,641,600	$	8.33
R	$	68,808		8,217	$	8.37
K	$	691,432		84,104	$	8.22
I	$	8,646,368		1,050,625	$	8.23
1	$	569,539,861		69,885,209	$	8.15
2	$	8,399		1,000	$	8.40
Z	$	175,367,574		21,289,800	$	8.24

* The maximum offering price per share for Class A shares was $8.71 which reflects a sales charge of 4.25%.

See notes to consolidated financial statements.

abfunds.com AB ALL MARKET REAL RETURN PORTFOLIO    ^|    45

CONSOLIDATED STATEMENT OF OPERATIONS

Year Ended October 31, 2023

Investment Income
Dividends
Unaffiliated issuers (net of foreign taxes withheld of $973,320)	$	19,104,984
Affiliated issuers		12,702,196
Interest (net of foreign taxes withheld of $10)		818,052
Securities lending income		391,130
Other income		12,452		$	33,028,814
Expenses
Advisory fee (see Note B)		7,114,140
Distribution fee—Class A		16,852
Distribution fee—Class C		4,814
Distribution fee—Class R		352
Distribution fee—Class K		2,511
Distribution fee—Class 1		1,570,642
Transfer agency—Class A		7,463
Transfer agency—Class C		558
Transfer agency—Advisor Class		30,330
Transfer agency—Class R		184
Transfer agency—Class K		2,021
Transfer agency—Class I		5,322
Transfer agency—Class 1		119,521
Transfer agency—Class Z		68,967
Custody and accounting		336,890
Audit and tax		194,380
Registration fees		146,343
Administrative		85,046
Legal		59,961
Printing		45,530
Directors’ fees		28,880
Miscellaneous		81,517
Total expenses		9,922,224
Less: expenses waived and reimbursed by the Adviser (see Notes B & E)		(298,357	)
Net expenses					9,623,867
Net investment income					23,404,947

See notes to consolidated financial statements.

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CONSOLIDATED STATEMENT OF OPERATIONS (continued)

Realized and Unrealized Gain (Loss) on Investment and Foreign Currency Transactions
Net realized gain (loss) on:
Investment transactions(a)	$	(31,472,572	)
Forward currency exchange contracts		3,008,929
Futures		(31,592,506	)
Swaps		3,490,265
Foreign currency transactions		775,352
Net change in unrealized appreciation (depreciation) of:
Investments(b)		26,958,540
Forward currency exchange contracts		(105,603	)
Futures		9,052,066
Swaps		(5,322,091	)
Foreign currency denominated assets and liabilities		23,093
Net loss on investment and foreign currency transactions		(25,184,527	)
Net Decrease in Net Assets from Operations	$	(1,779,580	)

(a) Net of foreign realized capital gains taxes of $7,113.

(b) Net of decrease in accrued foreign capital gains taxes on unrealized gains of $9,091.

See notes to consolidated financial statements.

abfunds.com AB ALL MARKET REAL RETURN PORTFOLIO    ^|    47

CONSOLIDATED STATEMENT OF CHANGES IN NET ASSETS

	Year Ended October 31, 2023			Year Ended October 31, 2022
Increase (Decrease) in Net Assets from Operations
Net investment income	$	23,404,947		$	19,868,486
Net realized gain (loss) on investment and foreign currency transactions		(55,790,532	)		118,941,683
Net change in unrealized appreciation (depreciation) of investments and foreign currency denominated assets and liabilities		30,606,005			(227,760,785	)
Contributions from Affiliates (see Note B)		– 0	–		1,612
Net decrease in net assets from operations		(1,779,580	)		(88,949,004	)
Distributions to Shareholders
Class A		(527,694	)		(464,964	)
Class C		(41,047	)		(12,613	)
Advisor Class		(2,418,667	)		(1,665,845	)
Class R		(4,679	)		(5,635	)
Class K		(80,877	)		(108,197	)
Class I		(2,013,871	)		(2,495,051	)
Class 1		(50,008,810	)		(61,937,570	)
Class 2		(737	)		(981	)
Class Z		(26,372,386	)		(54,143,835	)
Capital Stock Transactions
Net decrease		(164,192,919	)		(92,876,275	)
Total decrease		(247,441,267	)		(302,659,970	)
Net Assets
Beginning of period		1,029,680,132			1,332,340,102
End of period	$	782,238,865		$	1,029,680,132

See notes to consolidated financial statements.

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

October 31, 2023

NOTE A

Significant Accounting Policies

AB Bond Fund, Inc. (the “Company”) is registered under the Investment Company Act of 1940 (the “1940 Act”) as an open-end management investment company. The Company, which is a Maryland corporation, operates as a series company comprised of nine portfolios currently in operation. Each portfolio is considered to be a separate entity for financial reporting and tax purposes. This report relates only to the AB All Market Real Return Portfolio (the “Fund”), a non-diversified portfolio. As part of the Fund’s investment strategy, the Fund seeks to gain exposure to commodities and commodities-related instruments and derivatives primarily through investments in AllianceBernstein Cayman Inflation Strategy, Ltd., a wholly-owned subsidiary of the Fund organized under the laws of the Cayman Islands (the “Subsidiary”). The Fund is the sole shareholder of the Subsidiary and it is intended that the Fund will remain the sole shareholder and will continue to control the Subsidiary. Under the Articles of Association of the Subsidiary, shares issued by the Subsidiary confer upon a shareholder the right to receive notice of, to attend and to vote at general meetings of the Subsidiary and shall confer upon the shareholder rights in a winding-up or repayment of capital and the right to participate in the profits or assets of the Subsidiary. As of October 31, 2023, consolidated net assets of the Fund were $782,238,865, of which $101,752,865, or 13%, represented the Fund’s ownership of all issued shares and voting rights of the Subsidiary. This report presents the consolidated financial statements of the Fund and the Subsidiary. All intercompany transactions and balances have been eliminated in consolidation. The Fund has authorized the issuance of Class A, Class B, Class C, Advisor Class, Class R, Class K, Class I, Class 1, Class 2, Class Z, and Class T shares. Class B and Class T shares have not been issued. Class 1 shares are sold only to the private clients of Sanford C. Bernstein & Co. LLC by its registered representatives. As of October 31, 2023, AllianceBernstein L.P. (the “Adviser”), was the sole shareholder of Class 2 shares. Class A shares are sold with a front-end sales charge of up to 4.25% for purchases not exceeding $1,000,000. With respect to purchases of $1,000,000 or more, Class A shares redeemed within one year of purchase may be subject to a contingent deferred sales charge of 1%. Class C shares are subject to a contingent deferred sales charge of 1% on redemptions made within the first year after purchase, and 0% after the first year of purchase. Class C shares automatically convert to Class A shares eight years after the end of the calendar month of purchase. Class R, Class K, Class 1, and Class Z shares are sold without an initial or contingent deferred sales charge. Advisor Class, Class I, and Class 2 shares are sold without an initial or contingent deferred sales charge and are not subject to ongoing distribution expenses. All 11 classes of shares have identical voting, dividend,

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (continued)

liquidation and other rights, except that the classes bear different distribution and transfer agency expenses. Each class has exclusive voting rights with respect to its distribution plan. The consolidated financial statements have been prepared in conformity with U.S. generally accepted accounting principles (“U.S. GAAP”), which require management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities in the consolidated financial statements and amounts of income and expenses during the reporting period. Actual results could differ from those estimates. The Fund is an investment company under U.S. GAAP and follows the accounting and reporting guidance applicable to investment companies. The following is a summary of significant accounting policies followed by the Fund.

1. Security Valuation

Portfolio securities are valued at market value determined on the basis of market quotations or, if market quotations are not readily available or are unreliable, at “fair value” as determined in accordance with procedures approved by and under the oversight of the Company’s Board of Directors (the “Board”). Pursuant to these procedures, the Adviser serves as the Fund’s valuation designee pursuant to Rule 2a-5 of the 1940 Act. In this capacity, the Adviser is responsible, among other things, for making all fair value determinations relating to the Fund’s portfolio investments, subject to the Board’s oversight.

In general, the market values of securities which are readily available and deemed reliable are determined as follows: securities listed on a national securities exchange (other than securities listed on the NASDAQ Stock Market, Inc. (“NASDAQ”)) or on a foreign securities exchange are valued at the last sale price at the close of the exchange or foreign securities exchange. If there has been no sale on such day, the securities are valued at the last traded price from the previous day. Securities listed on more than one exchange are valued by reference to the principal exchange on which the securities are traded; securities listed only on NASDAQ are valued in accordance with the NASDAQ Official Closing Price; listed or over the counter (“OTC”) market put or call options are valued at the mid level between the current bid and ask prices. If either a current bid or current ask price is unavailable, the Adviser will have discretion to determine the best valuation (e.g., last trade price in the case of listed options); open futures are valued using the closing settlement price or, in the absence of such a price, the most recent quoted bid price. If there are no quotations available for the day of valuation, the last available closing settlement price is used; U.S. Government securities and any other debt instruments having 60 days or less remaining until maturity are generally valued at market by an independent pricing vendor, if a market price is available. If a market price is not available, the securities are valued at amortized cost. This

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (continued)

methodology is commonly used for short term securities that have an original maturity of 60 days or less, as well as short term securities that had an original term to maturity that exceeded 60 days. In instances when amortized cost is utilized, the Valuation Committee (the “Committee”) must reasonably conclude that the utilization of amortized cost is approximately the same as the fair value of the security. Factors the Committee will consider include, but are not limited to, an impairment of the creditworthiness of the issuer or material changes in interest rates. Fixed-income securities, including mortgage-backed and asset-backed securities, may be valued on the basis of prices provided by a pricing service or at a price obtained from one or more of the major broker-dealers. In cases where broker-dealer quotes are obtained, the Adviser may establish procedures whereby changes in market yields or spreads are used to adjust, on a daily basis, a recently obtained quoted price on a security. Swaps and other derivatives are valued daily, primarily using independent pricing services, independent pricing models using market inputs, as well as third party broker-dealers or counterparties. Open-end mutual funds are valued at the closing net asset value per share, while exchange traded funds are valued at the closing market price per share.

Securities for which market quotations are not readily available (including restricted securities) or are deemed unreliable are valued at fair value as deemed appropriate by the Adviser. Factors considered in making this determination may include, but are not limited to, information obtained by contacting the issuer, analysts, analysis of the issuer’s financial statements or other available documents. In addition, the Fund may use fair value pricing for securities primarily traded in non-U.S. markets because most foreign markets close well before the Fund values its securities at 4:00 p.m., Eastern Time. The earlier close of these foreign markets gives rise to the possibility that significant events, including broad market moves, may have occurred in the interim and may materially affect the value of those securities. To account for this, the Fund generally values many of its foreign equity securities using fair value prices based on third party vendor modeling tools to the extent available.

2. Fair Value Measurements

In accordance with U.S. GAAP regarding fair value measurements, fair value is defined as the price that the Fund would receive to sell an asset or pay to transfer a liability in an orderly transaction between market participants at the measurement date. U.S. GAAP establishes a framework for measuring fair value, and a three-level hierarchy for fair value measurements based upon the transparency of inputs to the valuation of an asset or liability (including those valued based on their market values as described in Note A.1 above). Inputs may be observable or unobservable and refer broadly to the assumptions that market participants would use in

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (continued)

pricing the asset or liability. Observable inputs reflect the assumptions market participants would use in pricing the asset or liability based on market data obtained from sources independent of the Fund. Unobservable inputs reflect the Fund’s own assumptions about the assumptions that market participants would use in pricing the asset or liability based on the best information available in the circumstances. Each investment is assigned a level based upon the observability of the inputs which are significant to the overall valuation. The three-tier hierarchy of inputs is summarized below.

• Level 1—quoted prices in active markets for identical investments

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

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

The fair value of debt instruments, such as bonds, and over-the-counter derivatives is generally based on market price quotations, recently executed market transactions (where observable) or industry recognized modeling techniques and are generally classified as Level 2. Pricing vendor inputs to Level 2 valuations may include quoted prices for similar investments in active markets, interest rate curves, coupon rates, currency rates, yield curves, option adjusted spreads, default rates, credit spreads and other unique security features in order to estimate the relevant cash flows which are then discounted to calculate fair values. If these inputs are unobservable and significant to the fair value, these investments will be classified as Level 3.

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

Other fixed income investments, including non-U.S. government and corporate debt, are generally valued using quoted market prices, if available, which are typically impacted by current interest rates, maturity dates and

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (continued)

any perceived credit risk of the issuer. Additionally, in the absence of quoted market prices, these inputs are used by pricing vendors to derive a valuation based upon industry or proprietary models which incorporate issuer specific data with relevant yield/spread comparisons with more widely quoted bonds with similar key characteristics. Those investments for which there are observable inputs are classified as Level 2. Where the inputs are not observable, the investments are classified as Level 3.

The following table summarizes the valuation of the Fund’s investments by the above fair value hierarchy levels as of October 31, 2023:

Investments in Securities:	Level 1			Level 2			Level 3			Total
Assets:
Common Stocks:
Equity Real Estate Investment Trusts (REITs)	$	137,771,248		$	39,967,158		$	855,356		$	178,593,762
Energy		41,527,205			36,001,140			0	(a)		77,528,345
Materials		18,442,773			27,701,672			0	(a)		46,144,445
Real Estate Management & Development		– 0	–		29,993,810			– 0	–		29,993,810
Capital Goods		14,716,923			8,364,258			– 0	–		23,081,181
Utilities		7,464,934			8,682,048			– 0	–		16,146,982
Software & Services		13,581,961			– 0	–		– 0	–		13,581,961
Pharmaceuticals & Biotechnology		7,071,743			2,463,543			– 0	–		9,535,286
Technology Hardware & Equipment		7,434,972			1,366,235			– 0	–		8,801,207
Food Beverage & Tobacco		6,501,163			1,954,274			– 0	–		8,455,437
Financial Services		5,853,217			1,312,305			– 0	–		7,165,522
Media & Entertainment		6,684,657			381,081			– 0	–		7,065,738
Semiconductors & Semiconductor Equipment		6,190,070			493,902			– 0	–		6,683,972
Consumer Discretionary Distribution & Retail		5,241,483			1,211,837			– 0	–		6,453,320
Commercial & Professional Services		4,634,806			1,385,691			– 0	–		6,020,497
Health Care Equipment & Services		5,165,624			– 0	–		0	(a)		5,165,624
Banks		1,092,165			3,867,827			– 0	–		4,959,992
Insurance		2,029,052			2,767,290			– 0	–		4,796,342
Consumer Services		3,559,137			519,208			– 0	–		4,078,345

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (continued)

Investments in Securities:

Level 1

Level 2

Level 3

Total

Consumer Durables & Apparel

$

2,348,394

$

1,302,771

$

– 0

–

$

3,651,165

Automobiles & Components

1,212,873

1,004,708

– 0

–

2,217,581

Telecommunication Services

– 0

–

1,906,618

– 0

–

1,906,618

Consumer Staples Distribution & Retail

718,602

796,900

– 0

–

1,515,502

Transportation

572,523

534,938

– 0

–

1,107,461

Household & Personal Products

1,067,667

– 0

–

– 0

–

1,067,667

Investment Companies

6,353,625

– 0

–

– 0

–

6,353,625

Warrants

– 0

–

– 0

–

0

(a)

– 0

–

Short-Term Investments

278,916,328

– 0

–

– 0

–

278,916,328

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

8,077,773

– 0

–

– 0

–

8,077,773

Total Investments in Securities

594,230,918

173,979,214

855,356

(a)

769,065,488

Other Financial Instruments(b):

Assets:

Futures

3,411,188

– 0

–

– 0

–

3,411,188

(c)

Forward Currency Exchange Contracts

– 0

–

3,664,274

– 0

–

3,664,274

Inflation (CPI) Swaps

– 0

–

4,524,119

– 0

–

4,524,119

Total Return Swaps

– 0

–

3,234,210

– 0

–

3,234,210

Liabilities:

Futures

(3,910,976

)

– 0

–

– 0

–

(3,910,976

)(c)

Forward Currency Exchange Contracts

– 0

–

(3,586,431

)

– 0

–

(3,586,431

)

Total Return Swaps

– 0

–

(1,639,618

)

– 0

–

(1,639,618

)

Total

$

593,731,130

$

180,175,768

$

855,356

(a)

$

774,762,254

(a) The Fund held securities with zero market value at period end.

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

(c) Only variation margin receivable (payable) at period end is reported within the consolidated statement of assets and liabilities. This amount reflects cumulative unrealized appreciation (depreciation) on futures and centrally cleared swaps as reported in the consolidated portfolio of investments. Where applicable, centrally cleared swaps with upfront premiums are presented here at market value.

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (continued)

3. Currency Translation

Assets and liabilities denominated in foreign currencies and commitments under forward currency exchange contracts are translated into U.S. dollars at the mean of the quoted bid and ask prices of such currencies against the U.S. dollar. Purchases and sales of portfolio securities are translated into U.S. dollars at the rates of exchange prevailing when such securities were acquired or sold. Income and expenses are translated into U.S. dollars at rates of exchange prevailing when accrued.

Net realized gain or loss on foreign currency transactions represents foreign exchange gains and losses from sales and maturities of foreign fixed income investments, holding of foreign currencies, currency gains or losses realized between the trade and settlement dates on foreign investment transactions, and the difference between the amounts of dividends, interest and foreign withholding taxes recorded on the Fund’s books and the U.S. dollar equivalent amounts actually received or paid. Net unrealized currency gains and losses from valuing foreign currency denominated assets and liabilities at period end exchange rates are reflected as a component of net unrealized appreciation or depreciation of foreign currency denominated assets and liabilities.

4. Taxes

It is the Fund’s policy to meet the requirements of the Internal Revenue Code applicable to regulated investment companies and to distribute all of its investment company taxable income and net realized gains, if any, to shareholders. Therefore, no provisions for federal income or excise taxes are required. The Fund may be subject to taxes imposed by countries in which it invests. Such taxes are generally based on income and/or capital gains earned or repatriated. Taxes are accrued and applied to net investment income, net realized gains and net unrealized appreciation/depreciation as such income and/or gains are earned. The Fund files withholding tax reclaims in certain jurisdictions to recover a portion of amounts previously withheld. The Fund may record a reclaim receivable based on, among other things, a jurisdiction’s legal obligation to pay reclaims as well as payment history and market convention.

In consideration of recent decisions rendered by the European courts, the Fund received reclaims filed to recover taxes withheld on dividends earned from certain European Union countries during calendar years 2018 through 2020. These filings are subject to various administrative and judicial proceedings within these countries. For the year ended October 31, 2023, the Fund successfully recovered taxes withheld by France which is reflected in the statement of operations. No other amounts for additional tax reclaims are disclosed in the financial statements due to the uncertainty as to the ultimate resolution of proceedings, the likelihood of receipt of these reclaims, and the potential timing of payment.

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (continued)

If, during a taxable year, the Subsidiary’s taxable losses (and other deductible items) exceed its income and gains, the net loss will not pass through to the Fund as a deductible amount for federal income tax purposes. Note that the loss from the Subsidiary’s contemplated activities also cannot be carried forward to reduce future Subsidiary’s income in subsequent years. However, if the Subsidiary’s taxable gains exceed its losses and other deductible items during a taxable year, the net gain will pass through to the Fund as income for federal income tax purposes.

In accordance with U.S. GAAP requirements regarding accounting for uncertainties in income taxes, management has analyzed the Fund’s tax positions taken or expected to be taken on federal and state income tax returns for all open tax years (the current and the prior three tax years) and has concluded that no provision for income tax is required in the Fund’s consolidated financial statements.

5. Investment Income and Investment Transactions

Dividend income is recorded on the ex-dividend date or as soon as the Fund is informed of the dividend. Interest income is accrued daily. Investment transactions are accounted for on the date the securities are purchased or sold. Investment gains or losses are determined on the identified cost basis. Non-cash dividends, if any, are recorded on the ex-dividend date at the fair value of the securities received. The Fund amortizes premiums and accretes discounts as adjustments to interest income. The Fund accounts for distributions received from REIT investments or from regulated investment companies as dividend income, realized gain, or return of capital based on information provided by the REIT or the investment company.

6. Class Allocations

All income earned and expenses incurred by the Fund are borne on a pro-rata basis by each outstanding class of shares, based on the proportionate interest in the Fund represented by the net assets of such class, except for class specific expenses which are allocated to the respective class. Expenses of the Company are charged proportionately to each fund or based on other appropriate methods. Realized and unrealized gains and losses are allocated among the various share classes based on respective net assets.

7. Dividends and Distributions

Dividends and distributions to shareholders, if any, are recorded on the ex-dividend date. Income dividends and capital gains distributions are determined in accordance with federal tax regulations and may differ from those determined in accordance with U.S. GAAP. To the extent these differences are permanent, such amounts are reclassified within the capital

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (continued)

accounts based on their federal tax basis treatment; temporary differences do not require such reclassification.

NOTE B

Advisory Fee and Other Transactions with Affiliates

Under the terms of the investment advisory agreement, the Fund pays the Adviser an advisory fee at an annual rate of .75% of the Fund’s average daily net assets. The Adviser agreed to waive its fees and bear certain expenses to the extent necessary to limit total operating expenses (excluding extraordinary expenses, interest expense, and acquired fund fees and expenses other than the advisory fees of any AB mutual Funds in which the Fund may invest) on an annual basis (the “Expense Caps”) to 1.30%, 2.05%, 1.05%, 1.55%, 1.30%, 1.05%, 1.30%, 1.05% and 1.05% of daily average net assets for Class A, Class C, Advisor Class, Class R, Class K, Class I, Class 1, Class 2 and Class Z shares, respectively. This fee waiver and/or expense reimbursement agreement will remain in effect until January 31, 2024. For the year ended October 31, 2023, such reimbursement amounted to $45.

The Subsidiary has entered into a separate agreement with the Adviser for the management of the Subsidiary’s portfolio. The Adviser receives no compensation from the Subsidiary for its services under the agreement.

Pursuant to the investment advisory agreement, the Fund may reimburse the Adviser for certain legal and accounting services provided to the Fund by the Adviser. For the year ended October 31, 2023, the reimbursement for such services amounted to $85,046.

The Fund compensates AllianceBernstein Investor Services, Inc. (“ABIS”), a wholly-owned subsidiary of the Adviser, under a Transfer Agency Agreement for providing personnel and facilities to perform transfer agency services for the Fund. ABIS may make payments to intermediaries that provide omnibus account services, sub-accounting services and/or networking services. Such compensation retained by ABIS amounted to $152,913 for the year ended October 31, 2023.

AllianceBernstein Investments, Inc. (the “Distributor”), a wholly-owned subsidiary of the Adviser, serves as the distributor of the Fund’s shares. The Distributor has advised the Fund that it has retained front-end sales charges of $834 from the sale of Class A shares and received $2 and $0 in contingent deferred sales charges imposed upon redemptions by shareholders of Class A and Class C shares, respectively, for the year ended October 31, 2023.

The Fund may invest in AB Government Money Market Portfolio (the “Government Money Market Portfolio”) which has a contractual annual advisory fee rate of .20% of the portfolio’s average daily net assets and

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (continued)

bears its own expenses. The Adviser had contractually agreed to waive .10% of the advisory fee of Government Money Market Portfolio (resulting in a net advisory fee of ..10%) until August 31, 2023. Effective September 1, 2023, the Adviser has contractually agreed to waive .05% of the advisory fee of Government Money Market Portfolio (resulting in a net advisory fee of .15%) until August 31, 2024. In connection with the investment by the Fund in Government Money Market Portfolio, the Adviser has contractually agreed to waive its advisory fee from the Fund in an amount equal to the Fund’s pro rata share of the effective advisory fee of Government Money Market Portfolio, as borne indirectly by the Fund as an acquired fund fee and expense. For the year ended October 31, 2023, such waiver amounted to $293,946.

A summary of the Fund’s transactions in AB mutual funds for the year ended October 31, 2023 is as follows:

Fund	Market Value 10/31/22 (000)		Purchases at Cost (000)		Sales Proceeds (000)		Market Value 10/31/23 (000)		Dividend Income (000)
Government Money Market Portfolio	$	284,520	$	575,474	$	581,078	$	278,916	$	12,702
Government Money Market Portfolio*		5,936		158,848		156,706		8,078		111
Total							$	286,994	$	12,813

* Investments of cash collateral for securities lending transactions (see Note E).

During the year ended October 31, 2022, the Adviser reimbursed the Fund $1,612 for trading losses incurred due to a trade entry error.

NOTE C

Distribution Services Agreement

The Fund has adopted a Distribution Services Agreement (the “Agreement”) pursuant to Rule 12b-1 under the Investment Company Act of 1940. Under the Agreement, the Fund pays distribution and servicing fees to AllianceBernstein Investments, Inc. (the “Distributor”) at an annual rate of up to .30% of the Fund’s average daily net assets attributable to Class A shares, 1% of the Fund’s average daily net assets attributable to Class C shares, .50% of the Fund’s average daily net assets attributable to Class R shares, .25% of the Fund’s average daily net assets attributable to Class K shares and .25% of the Fund’s average daily net assets attributable to Class 1 shares. There are no distribution and servicing fees on the Advisor Class, Class I, Class 2 and Class Z shares. Payments under the Plan in respect of Class A shares are currently limited to an annual rate of .25% of Class A shares’ average daily net assets. The fees are accrued daily and paid monthly. The Agreement provides that the Distributor will use such payments in their entirety for distribution assistance and promotional activities.

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Since the commencement of the Fund’s operations, the Distributor has incurred expenses in excess of the distribution costs reimbursed by the Fund in the amounts of $160,607, $17,109, $19,741 and $1,943,071 for Class C, Class R, Class K and Class 1 shares, respectively. While such costs may be recovered from the Fund in future periods so long as the Agreement is in effect, the rate of the distribution and servicing fees payable under the Agreement may not be increased without a shareholder vote. In accordance with the Agreement, there is no provision for recovery of unreimbursed distribution costs incurred by the Distributor beyond the current fiscal year for Class A shares. The Agreement also provides that the Adviser may use its own resources to finance the distribution of the Fund’s shares.

NOTE D

Investment Transactions

Purchases and sales of investment securities (excluding short-term investments) for the year ended October 31, 2023 were as follows:

	Purchases			Sales
Investment securities (excluding U.S. government securities)	$	446,753,955		$	668,252,945
U.S. government securities		– 0	–		– 0	–

The cost of investments for federal income tax purposes, gross unrealized appreciation and unrealized depreciation are as follows:

Cost	$	1,158,681,003
Gross unrealized appreciation	$	53,297,326
Gross unrealized depreciation		(421,492,198	)
Net unrealized depreciation	$	(368,194,872	)

1. Derivative Financial Instruments

The Fund may use derivatives in an effort to earn income and enhance returns, to replace more traditional direct investments, to obtain exposure to otherwise inaccessible markets (collectively, “investment purposes”), or to hedge or adjust the risk profile of its portfolio.

The principal types of derivatives utilized by the Fund, as well as the methods in which they may be used are:

• Futures

The Fund may buy or sell futures for investment purposes or for the purpose of hedging its portfolio against adverse effects of potential movements in the market. The Fund bears the market risk that arises from changes in the value of these instruments and the imperfect correlation between movements in the price of the futures and movements in the price of the assets, reference rates or indices which

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they are designed to track. Among other things, the Fund may purchase or sell futures for foreign currencies or options thereon for non-hedging purposes as a means of making direct investment in foreign currencies, as described below under “Currency Transactions”.

At the time the Fund enters into futures, the Fund deposits and maintains as collateral an initial margin with the broker, as required by the exchange on which the transaction is effected. Such amount is shown as cash collateral due from broker on the consolidated statement of assets and liabilities. Pursuant to the contract, the Fund agrees to receive from or pay to the broker an amount of cash equal to the daily fluctuation in the value of the contract. Such receipts or payments are known as variation margin and are recorded by the Fund as unrealized gains or losses. Risks may arise from the potential inability of a counterparty to meet the terms of the contract. The credit/counterparty risk for exchange-traded futures is generally less than privately negotiated futures, since the clearinghouse, which is the issuer or counterparty to each exchange-traded future, has robust risk mitigation standards, including the requirement to provide initial and variation margin. 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 time it was closed.

Use of long futures subjects the Fund to risk of loss in excess of the amounts shown on the consolidated statement of assets and liabilities, up to the notional value of the futures. Use of short futures subjects the Fund to unlimited risk of loss. Under some circumstances, futures exchanges may establish daily limits on the amount that the price of futures can vary from the previous day’s settlement price, which could effectively prevent liquidation of unfavorable positions.

During the year ended October 31, 2023, the Fund held futures for hedging and non-hedging purposes.

• Forward Currency Exchange Contracts

The Fund may enter into forward currency exchange contracts in order to hedge its exposure to changes in foreign currency exchange rates on its foreign portfolio holdings, to hedge certain firm purchase and sale commitments denominated in foreign currencies and for non-hedging purposes as a means of making direct investments in foreign currencies, as described below under “Currency Transactions”.

A forward currency exchange contract is a commitment to purchase or sell a foreign currency at a future date at a negotiated forward rate. The gain or loss arising from the difference between the original contract and the closing of such contract would be included in net realized gain or loss on forward currency exchange contracts. Fluctuations in the value

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of open forward currency exchange contracts are recorded for financial reporting purposes as unrealized appreciation and/or depreciation by the Fund. Risks may arise from the potential inability of a counterparty to meet the terms of a contract and from unanticipated movements in the value of a foreign currency relative to the U.S. dollar.

During the year ended October 31, 2023, the Fund held forward currency exchange contracts for hedging and non-hedging purposes.

• Swaps

The Fund may enter into swaps to hedge its exposure to interest rates, credit risk, equity markets or currencies. The Fund may also enter into swaps for non-hedging purposes as a means of gaining market exposures, making direct investments in foreign currencies, as described below under “Currency Transactions” or in order to take a “long” or “short” position with respect to an underlying referenced asset described below under “Total Return Swaps”. A swap is an agreement that obligates two parties to exchange a series of cash flows at specified intervals based upon or calculated by reference to changes in specified prices or rates for a specified amount of an underlying asset. The payment flows are usually netted against each other, with the difference being paid by one party to the other. In addition, collateral may be pledged or received by the Fund in accordance with the terms of the respective swaps to provide value and recourse to the Fund or its counterparties in the event of default, bankruptcy or insolvency by one of the parties to the swap.

Risks may arise as a result of the failure of the counterparty to the swap to comply with the terms of the swap. The loss incurred by the failure of a counterparty is generally limited to the net interim payment to be received by the Fund, and/or the termination value at the end of the contract. Therefore, the Fund considers the creditworthiness of each counterparty to a swap in evaluating potential counterparty risk. This risk is mitigated by having a netting arrangement between the Fund and the counterparty and by the posting of collateral by the counterparty to the Fund to cover the Fund’s exposure to the counterparty. Additionally, risks may arise from unanticipated movements in interest rates or in the value of the underlying securities. The Fund accrues for the interim payments on swaps on a daily basis, with the net amount recorded within unrealized appreciation/depreciation of swaps on the consolidated statement of assets and liabilities, where applicable. Once the interim payments are settled in cash, the net amount is recorded as realized gain/(loss) on swaps on the consolidated statement of operations, in addition to any realized gain/(loss) recorded upon the termination of swaps. Upfront premiums paid or received for swaps are recognized as cost or proceeds on the consolidated statement of assets and liabilities

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and are amortized on a straight line basis over the life of the contract. Amortized upfront premiums are included in net realized gain/(loss) from swaps on the consolidated statement of operations. Fluctuations in the value of swaps are recorded as a component of net change in unrealized appreciation/depreciation of swaps on the consolidated statement of operations.

Certain standardized swaps, including certain interest rate swaps and credit default swaps, are (or soon will be) subject to mandatory central clearing. Cleared swaps are transacted through futures commission merchants (“FCMs”) that are members of central clearinghouses, with the clearinghouse serving as central counterparty, similar to transactions in futures contracts. Centralized clearing will be required for additional categories of swaps on a phased-in basis based on requirements published by the Securities and Exchange Commission and Commodity Futures Trading Commission.

At the time the Fund enters into a centrally cleared swap, the Fund deposits and maintains as collateral an initial margin with the broker, as required by the clearinghouse on which the transaction is effected. Such amount is shown as cash collateral due from broker on the consolidated statement of assets and liabilities. Pursuant to the contract, the Fund agrees to receive from or pay to the broker an amount of cash equal to the daily fluctuation in the value of the contract. Such receipts or payments are known as variation margin and are recorded by the Fund as unrealized gains or losses. Risks may arise from the potential inability of a counterparty to meet the terms of the contract. The credit/counterparty risk for centrally cleared swaps is generally less than non-centrally cleared swaps, since the clearinghouse, which is the issuer or counterparty to each centrally cleared swap, has robust risk mitigation standards, including the requirement to provide initial and variation margin. 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 time it was closed.

Inflation (CPI) Swaps:

Inflation swap agreements are contracts in which one party agrees to pay the cumulative percentage increase in a price index (the Consumer Price Index with respect to CPI swaps) over the term of the swap (with some lag on the inflation index), and the other pays a compounded fixed rate. Inflation swaps may be used to protect the net asset value, or NAV, of a Fund against an unexpected change in the rate of inflation measured by an inflation index since the value of these agreements is expected to increase if there are unexpected inflation increases.

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During the year ended October 31, 2023, the Fund held inflation (CPI) swaps for hedging and non-hedging purposes.

Total Return Swaps:

The Fund may enter into total return swaps in order to take a “long” or “short” position with respect to an underlying referenced asset. The Fund is subject to market price volatility of the underlying referenced asset. A total return swap involves commitments to pay interest in exchange for a market linked return based on a notional amount. To the extent that the total return of the security, group of securities or index underlying the transaction exceeds or falls short of the offsetting interest obligation, the Fund will receive a payment from or make a payment to the counterparty.

During the year ended October 31, 2023, the Fund held total return swaps for hedging and non-hedging purposes.

The Fund typically enters into International Swaps and Derivatives Association, Inc. Master Agreements (“ISDA Master Agreement”) with its OTC derivative contract counterparties in order to, among other things, reduce its credit risk to OTC counterparties. ISDA Master Agreements include provisions for general obligations, representations, collateral and events of default or termination. Under an ISDA Master Agreement, the Fund typically may offset with the OTC counterparty certain derivative financial instruments’ payables and/or receivables with collateral held and/or posted and create one single net payment (close-out netting) in the event of default or termination. In the event of a default by an OTC counterparty, the return of collateral with market value in excess of the Fund’s net liability, held by the defaulting party, may be delayed or denied.

The Fund’s ISDA Master Agreements may contain provisions for early termination of OTC derivative transactions in the event the net assets of the Fund decline below specific levels (“net asset contingent features”). If these levels are triggered, the Fund’s OTC counterparty has the right to terminate such transaction and require the Fund to pay or receive a settlement amount in connection with the terminated transaction. If OTC derivatives were held at period end, please refer to netting arrangements by the OTC counterparty table below for additional details.

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During the year ended October 31, 2023, the Fund had entered into the following derivatives:

	Asset Derivatives				Liability Derivatives
Derivative Type	Consolidated Statement of Assets and Liabilities Location	Fair Value			Consolidated Statement of Assets and Liabilities Location	Fair Value
Equity contracts	Receivable for variation margin on futures	$	89,851	*	Payable for variation margin on futures	$	366,208	*
Commodity contracts	Receivable for variation margin on futures		3,321,337	*	Payable for variation margin on futures		3,544,768	*
Foreign currency contracts	Unrealized appreciation on forward currency exchange contracts		3,664,274		Unrealized depreciation on forward currency exchange contracts		3,586,431
Interest rate contracts	Unrealized appreciation on inflation swaps		4,524,119
Commodity contracts					Unrealized depreciation on total return swaps		728,442
Equity contracts	Unrealized appreciation on total return swaps		3,234,210		Unrealized depreciation on total return swaps		911,176
Total		$	14,833,791			$	9,137,025

* Only variation margin receivable/payable at period end is reported within the consolidated statement of assets and liabilities. This amount reflects cumulative unrealized appreciation (depreciation) on futures and centrally cleared swaps as reported in the consolidated portfolio of investments.

Derivative Type	Location of Gain or (Loss) on Derivatives Within Consolidated Statement of Operations	Realized Gain or (Loss) on Derivatives			Change in Unrealized Appreciation or (Depreciation)
Equity contracts	Net realized gain (loss) on futures; Net change in unrealized appreciation (depreciation) of futures	$	(2,120,981	)	$	(497,738	)
Commodity contracts	Net realized gain (loss) on futures; Net change in unrealized appreciation (depreciation) of futures		(29,471,525	)		9,549,804

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Derivative Type	Location of Gain or (Loss) on Derivatives Within Consolidated Statement of Operations	Realized Gain or (Loss) on Derivatives			Change in Unrealized Appreciation or (Depreciation)
Foreign currency contracts	Net realized gain (loss) on forward currency exchange contracts; Net change in unrealized appreciation (depreciation) of forward currency exchange contracts	$	3,008,929		$	(105,603	)
Interest rate contracts	Net realized gain (loss) on swaps; Net change in unrealized appreciation (depreciation) of swaps		4,104,901			(3,379,942	)
Commodity contracts	Net realized gain (loss) on swaps; Net change in unrealized appreciation (depreciation) of swaps		(21,600	)		(728,442	)
Equity contracts	Net realized gain (loss) on swaps; Net change in unrealized appreciation (depreciation) of swaps		(593,036	)		(1,213,707	)
Total		$	(25,093,312	)	$	3,624,372

The following table represents the average monthly volume of the Fund’s derivative transactions during the year ended October 31, 2023:

Futures:
Average notional amount of buy contracts	$	291,280,624
Average notional amount of sale contracts	$	27,265,049	(a)
Forward Currency Exchange Contracts:
Average principal amount of buy contracts	$	311,204,791
Average principal amount of sale contracts	$	315,713,290
Inflation Swaps:
Average notional amount	$	205,588,462
Total Return Swaps:
Average notional amount	$	84,877,001

(a)  Positions were open for nine months during the year.

For financial reporting purposes, the Fund does not offset derivative assets and derivative liabilities that are subject to netting arrangements in the consolidated statement of assets and liabilities.

All OTC derivatives held at period end were subject to netting arrangements. The following table presents the Fund’s derivative assets and liabilities by OTC counterparty net of amounts available for offset under

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ISDA Master Agreements (“MA”) and net of the related collateral received/pledged by the Fund as of October 31, 2023. Exchange-traded derivatives and centrally cleared swaps are not subject to netting arrangements and as such are excluded from the table.

AB All Market Real Return Portfolio

Counterparty	Derivative Assets Subject to a MA		Derivatives Available for Offset			Cash Collateral Received*			Security Collateral Received*			Net Amount of Derivative Assets
Bank of America, NA	$	1,281,369	$	(1,281,369	)	$	– 0	–	$	– 0	–	$	– 0	–
Bank of New York (The)		1,401		– 0	–		– 0	–		– 0	–		1,401
Barclays Bank PLC		548,109		(334,890	)		– 0	–		– 0	–		213,219
BNP Paribas SA		235		(235	)		– 0	–		– 0	–		– 0	–
Deutsche Bank AG		275,463		(270,352	)		– 0	–		– 0	–		5,111
Goldman Sachs Bank USA/Goldman Sachs International		4,844,690		(189,401	)		(4,430,000	)		– 0	–		225,289
JPMorgan Chase Bank, NA		163,157		(76,973	)		– 0	–		– 0	–		86,184
Morgan Stanley Capital Services, Inc.		971,062		(971,062	)		– 0	–		– 0	–		– 0	–
State Street Bank & Trust Co.		96,962		(96,962	)		– 0	–		– 0	–		– 0	–
UBS AG		3,240,155		– 0	–		(3,240,155	)		– 0	–		– 0	–
Total	$	11,422,603	$	(3,221,244	)	$	(7,670,155	)	$	– 0	–	$	531,204	^
Counterparty	Derivative Liabilities Subject to a MA		Derivatives Available for Offset			Cash Collateral Pledged*			Security Collateral Pledged*			Net Amount of Derivative Liabilities
Bank of America, NA	$	2,020,898	$	(1,281,369	)	$	(739,529	)	$	– 0	–	$	– 0	–
Barclays Bank PLC		334,890		(334,890	)		– 0	–		– 0	–		– 0	–
BNP Paribas SA		96,123		(235	)		(10,000	)		– 0	–		85,888
Citibank, NA		31,687		– 0	–		– 0	–		– 0	–		31,687
Deutsche Bank AG		270,352		(270,352	)		– 0	–		– 0	–		– 0	–
Goldman Sachs Bank USA/Goldman Sachs International		189,401		(189,401	)		– 0	–		– 0	–		– 0	–
HSBC Bank USA		8,810		– 0	–		– 0	–		– 0	–		8,810
JPMorgan Chase Bank, NA		76,973		(76,973	)		– 0	–		– 0	–		– 0	–
Morgan Stanley Capital Services, Inc.		1,192,540		(971,062	)		– 0	–		– 0	–		221,478
State Street Bank & Trust Co.		275,933		(96,962	)		– 0	–		– 0	–		178,971
Total	$	4,497,607	$	(3,221,244	)	$	(749,529	)	$	– 0	–	$	526,834	^

* The actual collateral received/pledged may be more than the amount reported due to over-collateralization.

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^ Net amount represents the net receivable/payable that would be due from/to the counterparty in the event of default or termination. The net amount from OTC financial derivative instruments can only be netted across transactions governed under the same master agreement with the same counterparty.

AllianceBernstein Cayman Inflation Strategy, Ltd.

Counterparty	Derivative Liabilities Subject to a MA		Derivatives Available for Offset			Cash Collateral Pledged*			Security Collateral Pledged*			Net Amount of Derivative Liabilities
Merrill Lynch International	$	728,442	$	– 0	–	$	(728,442	)	$	– 0	–	$	– 0	–
Total	$	728,442	$	– 0	–	$	(728,442	)	$	– 0	–	$	0	^

* The actual collateral received/pledged may be more than the amount reported due to over-collateralization.

^ Net amount represents the net receivable/payable that would be due from/to the counterparty in the event of default or termination. The net amount from OTC financial derivative instruments can only be netted across transactions governed under the same master agreement with the same counterparty.

2. Currency Transactions

The Fund may invest in non-U.S. Dollar-denominated securities on a currency hedged or unhedged basis. The Fund may seek investment opportunities by taking long or short positions in currencies through the use of currency-related derivatives, including forward currency exchange contracts, futures and options on futures, swaps, and other options. The Fund may enter into transactions for investment opportunities when it anticipates that a foreign currency will appreciate or depreciate in value but securities denominated in that currency are not held by the Fund and do not present attractive investment opportunities. Such transactions may also be used when the Adviser believes that it may be more efficient than a direct investment in a foreign currency-denominated security. The Fund may also conduct currency exchange contracts on a spot basis (i.e., for cash at the spot rate prevailing in the currency exchange market for buying or selling currencies).

NOTE E

Securities Lending

The Fund may enter into securities lending transactions. Under the Fund’s securities lending program, all loans of securities will be collateralized continually by cash collateral and/or non-cash collateral. Non-cash collateral will include only securities issued or guaranteed by the U.S. government or its agencies or instrumentalities. If the Fund cannot sell or repledge any non-cash collateral, such collateral will not be reflected in the portfolio of investments. If a loan is collateralized by cash, the Fund will be compensated for the loan from a portion of the net return from the income earned on cash collateral after a rebate is paid to the borrower (in some cases, this rebate may be a “negative rebate” or fee paid by the borrower to the Fund in connection with the loan), and payments are made for fees of the securities lending agent and for certain other administrative expenses. If

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the Fund receives non-cash collateral, the Fund will receive a fee from the borrower generally equal to a negotiated percentage of the market value of the loaned securities. The Fund will have the right to call a loan and obtain the securities loaned at any time on notice to the borrower within the normal and customary settlement time for the securities. While the securities are on loan, the borrower is obligated to pay the Fund amounts equal to any dividend income or other distributions from the securities; however, these distributions will not be afforded the same preferential tax treatment as qualified dividends. The Fund will not be able to exercise voting rights with respect to any securities during the existence of a loan, but will have the right to regain ownership of loaned securities in order to exercise voting or other ownership rights. Collateral received and securities loaned are marked to market daily to ensure that the securities loaned are secured by collateral. The lending agent currently invests the cash collateral received in Government Money Market Portfolio, an eligible money market vehicle, in accordance with the investment restrictions of the Fund, and as approved by the Board. The collateral received on securities loaned is recorded as an asset as well as a corresponding liability in the consolidated statement of assets and liabilities. The collateral will be adjusted the next business day to maintain the required collateral amount. The amounts of securities lending income from the borrowers and Government Money Market Portfolio are reflected in the consolidated statement of operations. When the Fund earns net securities lending income from Government Money Market Portfolio, the income is inclusive of a rebate expense paid to the borrower. In connection with the cash collateral investment by the Fund in Government Money Market Portfolio, the Adviser has agreed to waive a portion of the Fund’s share of the advisory fees of Government Money Market Portfolio, as borne indirectly by the Fund as an acquired fund fee and expense. When the Fund lends securities, its investment performance will continue to reflect changes in the value of the securities loaned. A principal risk of lending portfolio securities is that the borrower may fail to return the loaned securities upon termination of the loan and that the collateral will not be sufficient to replace the loaned securities. The lending agent has agreed to indemnify the Fund in the case of default of any securities borrower.

A summary of the Fund’s transactions surrounding securities lending for the year ended October 31, 2023 is as follows:

								Government Money Market Portfolio
Market Value of Securities on Loan*		Cash Collateral*		Market Value of Non-Cash Collateral*		Income from Borrowers		Income Earned		Advisory Fee Waived
$	17,022,058	$	8,077,773	$	10,362,081	$	279,869	$	111,261	$	4,366

* As of October 31, 2023.

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NOTE F

Capital Stock

Each class consists of 3,000,000,000 authorized shares. Transactions in capital shares for each class were as follows:

	Shares						Amount
	Year Ended October 31, 2023			Year Ended October 31, 2022			Year Ended October 31, 2023			Year Ended October 31, 2022
Class A
Shares sold		163,872			349,177		$	1,439,758		$	3,423,280
Shares issued in reinvestment of dividends		56,810			45,750			497,656			433,245
Shares converted from Class C		112			10,676			981			109,344
Shares redeemed		(281,777	)		(164,526	)		(2,471,495	)		(1,613,537	)
Net increase (decrease)		(60,983	)		241,077		$	(533,100	)	$	2,352,332
Class C
Shares sold		71			55,339		$	635		$	550,702
Shares issued in reinvestment of dividends		4,357			1,299			39,080			12,612
Shares converted to Class A		(109	)		(10,463	)		(981	)		(109,344	)
Shares redeemed		(28,932	)		(2,901	)		(257,538	)		(28,381	)
Net increase (decrease)		(24,613	)		43,274		$	(218,804	)	$	425,589
Advisor Class
Shares sold		789,004			2,640,030		$	6,886,700		$	26,830,283
Shares issued in reinvestment of dividends		189,885			135,873			1,657,704			1,282,638
Shares redeemed		(1,807,728	)		(982,915	)		(15,808,818	)		(9,652,710	)
Net increase (decrease)		(828,839	)		1,792,988		$	(7,264,414	)	$	18,460,211
Class R
Shares sold		1,112			926		$	9,974		$	9,244
Shares issued in reinvestment of dividends		530			591			4,679			5,634
Shares redeemed		(1,060	)		(26	)		(9,826	)		(262	)
Net increase		582			1,491		$	4,827		$	14,616

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (continued)

	Shares						Amount
	Year Ended October 31, 2023			Year Ended October 31, 2022			Year Ended October 31, 2023			Year Ended October 31, 2022
Class K
Shares sold		35,430			123,524		$	306,173		$	1,212,120
Shares issued in reinvestment of dividends		9,361			11,559			80,877			108,197
Shares redeemed		(78,127	)		(125,956	)		(667,661	)		(1,234,185	)
Net increase (decrease)		(33,336	)		9,127		$	(280,611	)	$	86,132
Class I
Shares sold		207,260			541,727		$	1,784,589		$	5,327,187
Shares issued in reinvestment of dividends		233,628			267,422			2,013,871			2,495,050
Shares redeemed		(2,408,629	)		(315,402	)		(20,798,036	)		(3,078,805	)
Net increase (decrease)		(1,967,741	)		493,747		$	(16,999,576	)	$	4,743,432
Class 1
Shares sold		10,846,957			14,122,033		$	92,918,321		$	137,649,533
Shares issued in reinvestment of dividends		3,020,775			5,191,186			25,827,622			48,122,290
Shares redeemed		(15,310,686	)		(11,984,056	)		(131,756,480	)		(117,086,783	)
Net increase (decrease)		(1,442,954	)		7,329,163		$	(13,010,537	)	$	68,685,040
Class Z
Shares sold		9,474			14,904,457		$	83,311		$	150,963,872
Shares issued in reinvestment of dividends		3,055,896			5,796,984			26,372,382			54,143,834
Shares redeemed		(17,636,850	)		(41,035,392	)		(152,346,397	)		(392,751,333	)
Net decrease		(14,571,480	)		(20,333,951	)	$	(125,890,704	)	$	(187,643,627	)

There were no transactions in capital shares for Class 2 for the year ended October 31, 2023 and the year ended October 31, 2022.

At October 31, 2023, certain AB mutual funds owned approximately 12% of the Fund’s outstanding shares. Significant transactions by such shareholder, if any, may impact the Fund’s performance.

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NOTE G

Risks Involved in Investing in the Fund

Market Risk—The value of the Fund’s assets will fluctuate as the stock, commodity and bond markets fluctuate. The value of the Fund’s investments may decline, sometimes rapidly and unpredictably, simply because of economic changes or other events, including public health crises (including the occurrence of a contagious disease or illness) and regional and global conflicts, that affect large portions of the market.

Credit Risk—An issuer or guarantor of a fixed-income security, or the counterparty to a derivatives or other contract, may be unable or unwilling to make timely payments of interest or principal, or to otherwise honor its obligations. The issuer or guarantor may default, causing a loss of the full principal amount of a security and accrued interest. The degree of risk for a particular security may be reflected in its credit rating. There is the possibility that the credit rating of a fixed-income security may be downgraded after purchase, which may adversely affect the value of the security. Investments in fixed-income securities with lower ratings tend to have a higher probability that an issuer will default or fail to meet its payment obligations.

Interest-Rate Risk—Changes in interest rates will affect the value of investments in fixed-income securities. When interest rates rise, the value of existing investments in fixed-income securities tends to fall and this decrease in value may not be offset by higher income from new investments. Interest-rate risk is generally greater for fixed-income securities with longer maturities or durations. The Fund may be subject to a greater risk of rising interest rates than would normally be the case due to the recent end of a period of historically low rates and the effect of potential central bank monetary policy, and government fiscal policy, initiatives and resulting market reactions to those initiatives.

Commodity Risk—Investing in commodities and commodity-linked derivative instruments, either directly or through the Subsidiary, may subject the Fund to greater volatility than investments in traditional securities. The value of commodity-linked derivative instruments may be affected by changes in overall market movements, commodity index volatility, changes in interest rates, or factors affecting a particular industry or commodity, such as drought, floods, weather, livestock disease, embargoes, tariffs and international economic, political and regulatory developments.

Derivatives Risk—Derivatives may be difficult to price or unwind and leveraged so that small changes may produce disproportionate losses for the Fund. A short position in a derivative instrument involves the risk of a theoretically unlimited increase in the value of the underlying asset, which

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (continued)

could cause the Fund to suffer a potentially unlimited loss. Derivatives, especially over-the-counter derivatives, are also subject to counterparty risk, which is the risk that the counterparty (the party on the other side of the transaction) on a derivative transaction will be unable or unwilling to honor its contractual obligations to the Fund.

Leverage Risk—When the Fund borrows money or otherwise leverages its investments, its performance may be volatile because leverage tends to exaggerate the effect of any increase or decrease in the value of the Fund’s investments. The Fund may create leverage through the use of reverse repurchase arrangements, forward currency exchange contracts, forward commitments, dollar rolls or futures or by borrowing money. The use of other types of derivative instruments by the Fund, such as options and swaps, may also result in a form of leverage. Leverage may result in higher returns to the Fund than if the Fund were not leveraged, but may also adversely affect returns, particularly if the market is declining.

Inflation Risk—This is the risk that the value of assets or income from investments will be less in the future as inflation decreases the value of money. As inflation increases, the value of the Fund’s assets can decline, as can the value of the Fund’s distributions. This risk is significantly greater for fixed-income securities with longer maturities.

Illiquid Investments Risk—Illiquid investments risk exists when certain investments are or become difficult to purchase or sell. Difficulty in selling such investments may result in sales at disadvantageous prices affecting the value of your investment in the Fund. Causes of illiquid investments risk may include low trading volumes and large positions. Foreign fixed-income securities may have more illiquid investments risk because secondary trading markets for these securities may be smaller and less well developed and the securities may trade less frequently. Illiquid investments risk may be higher in a rising interest rate environment, when the value and liquidity of fixed-income securities generally go down.

Foreign (Non-U.S.) Risk—Investments in securities of non-U.S. issuers may involve more risk than those of U.S. issuers. These securities may fluctuate more widely in price and may be more difficult to trade due to adverse market, economic, political, regulatory or other factors.

Currency Risk—Fluctuations in currency exchange rates may negatively affect the value of the Fund’s investments or reduce its returns.

Subsidiary Risk—By investing in the Subsidiary, the Fund is indirectly exposed to the risks associated with the Subsidiary’s investments. The derivatives and other investments held by the Subsidiary are generally similar to those that are permitted to be held by the Fund and are subject to

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (continued)

the same risks that apply to similar investments if held directly by the Fund. The Subsidiary is not registered under the Investment Company Act of 1940, as amended (the “1940 Act”), and, unless otherwise noted in the Fund’s Prospectus, is not subject to all of the investor protections of the 1940 Act. However, the Fund wholly owns and controls the Subsidiary, and the Fund and the Subsidiary are managed by the Adviser, making it unlikely the Subsidiary will take actions contrary to the interests of the Fund or its shareholders.

Real Estate Risk—The Fund’s investments in real estate securities have many of the same risks as direct ownership of real estate, including the risk that the value of real estate could decline due to a variety of factors that affect the real estate market generally. Investments in REITs, may have additional risks. REITs are dependent on the capability of their managers, may have limited diversification, and could be significantly affected by changes in taxes.

Non-Diversification Risk—The Fund may have more risk because it is “non-diversified”, meaning that it can invest more of its assets in a smaller number of issuers. Accordingly, changes in the value of a single security may have a more significant effect, either negative or positive, on the Fund’s NAV.

LIBOR Replacement Risk—The Fund may be exposed to debt securities, derivatives or other financial instruments that recently transitioned from the London Interbank Offered Rate, or “LIBOR,” as a “benchmark” or “reference rate” for various interest rate calculations. LIBOR’s administrator, ICE Benchmark Administration, ceased publishing most LIBOR settings (including some U.S. LIBOR settings) by the end of 2021 and the remaining (and most widely used) U.S. Dollar LIBOR settings after June 30, 2023. The United Kingdom Financial Conduct Authority, which regulates LIBOR, will permit the use of synthetic U.S. Dollar LIBOR rates for non-U.S. contracts through September 30, 2024, but any such rates would be considered non-representative of the underlying market. Since 2018 the Federal Reserve Bank of New York has published the Secured Overnight Financing Rate (referred to as SOFR), which is intended to replace U.S. Dollar LIBOR. SOFR is a broad measure of the cost of borrowing cash overnight collateralized by U.S. Treasury securities in the repurchase agreement (repo) market. There is no assurance that the composition or characteristics of SOFR or any such alternative reference rate will be similar to or produce the same value or economic equivalence as LIBOR or that the market for SOFR-linked financial instruments will have the same volume or liquidity as did the market for LIBOR-linked financial instruments prior to LIBOR’s discontinuance or unavailability. Neither the long-term effects of the LIBOR transition process nor its ultimate success can yet be known.

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (continued)

Indemnification Risk—In the ordinary course of business, the Fund enters into contracts that contain a variety of indemnifications. The Fund’s maximum exposure under these arrangements is unknown. However, the Fund has not had prior claims or losses pursuant to these indemnification provisions and expects the risk of loss thereunder to be remote. Therefore, the Fund has not accrued any liability in connection with these indemnification provisions.

Management Risk—The Fund is subject to management risk because it is an actively-managed investment fund. The Adviser will apply its investment techniques and risk analyses in making investment decisions, but there is no guarantee that its techniques will produce the intended results. Some of these techniques may incorporate, or rely upon, quantitative models, but there is no guarantee that these models will generate accurate forecasts, reduce risk or otherwise perform as expected.

NOTE H

Joint Credit Facility

A number of open-end mutual funds managed by the Adviser, including the Fund, participate in a $325 million revolving credit facility (the “Facility”) intended to provide short-term financing related to redemptions and other short term liquidity requirements, subject to certain restrictions. Commitment fees related to the Facility are paid by the participating funds and are included in miscellaneous expenses in the consolidated statement of operations. The Fund did not utilize the Facility during the year ended October 31, 2023.

NOTE I

Distributions to Shareholders

The tax character of distributions paid during the fiscal years ended October 31, 2023 and October 31, 2022 were as follows:

	2023		2022
Distributions paid from:
Ordinary income	$	81,468,768	$	120,834,691
Total distributions paid	$	81,468,768	$	120,834,691

As of October 31, 2023, the components of accumulated earnings (deficit) on a tax basis were as follows:

Undistributed ordinary income	$	27,849,084
Accumulated capital and other losses		(50,322,025	)(a)
Unrealized appreciation (depreciation)		(368,272,197	)(b)
Total accumulated earnings (deficit)	$	(390,745,138	)(c)

(a) As of October 31, 2023, the Fund had a net capital loss carryforward of $50,322,025.

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(b) The differences between book-basis and tax-basis unrealized appreciation (depreciation) are attributable primarily to the recognition for tax purposes of unrealized gains/losses on certain derivative instruments, the tax treatment of passive foreign investment companies (PFICs), the tax treatment of earnings from the Subsidiary, the tax treatment of swaps, and the tax deferral of losses on wash sales.

(c) The difference between book-basis and tax-basis components of accumulated earnings (deficit) is attributable primarily to the accrual of foreign capital gains tax.

For tax purposes, net realized capital losses may be carried over to offset future capital gains, if any. Funds are permitted to carry forward capital losses for an indefinite period, and such losses will retain their character as either short-term or long-term capital losses. As of October 31, 2023, the Fund had a net short-term capital loss carryforward of $37,807,735 and a net long-term capital loss carryforward of $12,514,290, which may be carried forward for an indefinite period.

During the current fiscal year, permanent differences primarily due to book/tax differences associated with the treatment of earnings from the Subsidiary resulted in a net decrease in accumulated loss and a net decrease in additional paid-in capital. These reclassifications had no effect on net assets.

NOTE J

Recent Accounting Pronouncements

In December 2022, the Financial Accounting Standards Board issued an Accounting Standards Update, ASU 2022-06, “Reference Rate Reform (Topic 848) – Deferral of the Sunset Date of Topic 848”. ASU 2022-06 is an amendment to ASU 2020-04, which provided optional guidance to ease the potential accounting burden due to the discontinuation of the LIBOR and other interbank-offered based reference rates and which was effective as of March 12, 2020 through December 31, 2022. ASU 2022-06 extends the effective period through December 31, 2024. Management is currently evaluating the impact, if any, of applying ASU 2022-06.

NOTE K

Subsequent Events

At a meeting held on October 31-November 2, 2023, the Board approved: (i) the discontinuance of the offering of Class K and Class R shares of the Fund to investors; (ii) the liquidation of the assets corresponding to such classes; (iii) the making of a final liquidating distribution to the remaining shareholders of each such class; and (iv) the redemption of all outstanding shares of each such class in the liquidating distribution or immediately thereafter. The Fund has suspended sales of Class K and Class R shares to new investors effective November 3, 2023. The Fund expects to make liquidating distributions to shareholders based on net asset value no later than nine months from the date of the approval of the Board. The Board also approved the suspension of the sale and closure of Class 2 shares. The Fund suspended sales of Class 2 shares effective November 3, 2023.

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (continued)

Management has evaluated subsequent events for possible recognition or disclosure in the consolidated financial statements through the date the consolidated financial statements are issued. Management has determined that there are no other material events that would require disclosure in the Fund’s consolidated financial statements through this date.

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CONSOLIDATED FINANCIAL HIGHLIGHTS

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

	Class A
	Year Ended October 31,
	2023			2022			2021			2020			2019
Net asset value, beginning of period		$  9.14			$  10.81			$  7.65			$  8.66			$  8.53
Income From Investment Operations
Net investment income(a)(b)		.20			.14			.27			.09			.12
Net realized and unrealized gain (loss) on investment and foreign currency transactions		(.29	)		(.86	)		3.14			(.96	)		.13
Contributions from Affiliates		– 0	–		.00	(c)		– 0	–		.00	(c)		– 0	–
Net increase (decrease) in net asset value from operations		(.09	)		(.72	)		3.41			(.87	)		.25
Less: Dividends
Dividends from net investment income		(.71	)		(.95	)		(.25	)		(.14	)		(.12	)
Net asset value, end of period		$  8.34			$  9.14			$  10.81			$  7.65			$  8.66
Total Return
Total investment return based on net asset value(d)*		(1.37	)%		(7.01	)%		45.48	%+		(10.11	)%		2.97	%
Ratios/Supplemental Data
Net assets, end of period (000’s omitted)		$5,592			$6,690			$5,306			$6,926			$10,634
Ratio to average net assets of:
Expenses, net of waivers/reimbursements(e)(f)‡		1.18	%		1.16	%		1.29	%		1.29	%		1.30	%
Expenses, before waivers/reimbursements(e)(f)‡		1.21	%		1.18	%		1.39	%		1.40	%		1.32	%
Net investment income(b)		2.29	%		1.46	%		2.86	%		1.10	%		1.42	%
Portfolio turnover rate		69	%		79	%		65	%		88	%		100	%
‡  Expense ratios exclude the estimated acquired fund fees of the affiliated/unaffiliated underlying
portfolios		.06	%		.03	%		.03	%		.04	%		.02	%

See footnote summary on page 86.

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CONSOLIDATED FINANCIAL HIGHLIGHTS (continued)

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

	Class C
	Year Ended October 31,
	2023			2022			2021			2020			2019
Net asset value, beginning of period		$  9.31			$  10.86			$  7.66			$  8.63			$  8.49
Income From Investment Operations
Net investment income (loss)(a)(b)		.14			.07			(.49	)		.03			.06
Net realized and unrealized gain (loss) on investment and foreign currency transactions		(.30	)		(.89	)		3.86			(.95	)		.11
Contributions from Affiliates		– 0	–		.00	(c)		– 0	–		.00	(c)		– 0	–
Net increase (decrease) in net asset value from operations		(.16	)		(.82	)		3.37			(.92	)		.17
Less: Dividends
Dividends from net investment income		(.67	)		(.73	)		(.17	)		(.05	)		(.03	)
Net asset value, end of period		$  8.48			$  9.31			$  10.86			$  7.66			$  8.63
Total Return
Total investment return based on net asset value(d)*		(2.15	)%		(7.71	)%		44.41	%		(10.74	)%+		2.05	%+
Ratios/Supplemental Data
Net assets, end of period (000’s omitted)		$314			$574			$199			$508			$754
Ratio to average net assets of:
Expenses, net of waivers/reimbursements(e)(f)‡		1.93	%		1.94	%		2.04	%		2.04	%		2.05	%
Expenses, before waivers/reimbursements(e)(f)‡		1.97	%		1.96	%		2.19	%		2.15	%		2.07	%
Net investment income (loss)(b)		1.54	%		.72	%		(5.20	)%		.34	%		.66	%
Portfolio turnover rate		69	%		79	%		65	%		88	%		100	%
‡  Expense ratios exclude the estimated acquired fund fees of the affiliated/unaffiliated underlying
portfolios		.06	%		.03	%		.03	%		.04	%		.02	%

See footnote summary on page 86.

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CONSOLIDATED FINANCIAL HIGHLIGHTS (continued)

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

	Advisor Class
	Year Ended October 31,
	2023			2022			2021			2020			2019
Net asset value, beginning of period		$  9.14			$  10.79			$  7.63			$  8.63			$  8.51
Income From Investment Operations
Net investment income(a)(b)		.22			.17			.16			.11			.14
Net realized and unrealized gain (loss) on investment and foreign currency transactions		(.30	)		(.87	)		3.27			(.95	)		.12
Contributions from Affiliates		– 0	–		.00	(c)		– 0	–		.00	(c)		– 0	–
Net increase (decrease) in net asset value from operations		(.08	)		(.70	)		3.43			(.84	)		.26
Less: Dividends
Dividends from net investment income		(.73	)		(.95	)		(.27	)		(.16	)		(.14	)
Net asset value, end of period		$  8.33			$  9.14			$  10.79			$  7.63			$  8.63
Total Return
Total investment return based on net asset value(d)*		(1.25	)%		(6.64	)%		45.82	%+		(9.79	)%		3.15	%
Ratios/Supplemental Data
Net assets, end of period (000’s omitted)		$22,010			$31,703			$18,096			$11,761			$18,611
Ratio to average net assets of:
Expenses, net of waivers/reimbursements(e)(f)‡		.93	%		.91	%		1.04	%		1.04	%		1.05	%
Expenses, before waivers/reimbursements(e)(f)‡		.96	%		.93	%		1.17	%		1.14	%		1.07	%
Net investment income(b)		2.53	%		1.75	%		1.60	%		1.33	%		1.66	%
Portfolio turnover rate		69	%		79	%		65	%		88	%		100	%
‡  Expense ratios exclude the estimated acquired fund fees of the affiliated/unaffiliated underlying
portfolios		.06	%		.03	%		.03	%		.04	%		.02	%

See footnote summary on page 86.

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CONSOLIDATED FINANCIAL HIGHLIGHTS (continued)

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

	Class R
	Year Ended October 31,
	2023			2022			2021			2020			2019
Net asset value, beginning of period		$  9.16			$  10.83			$  7.53			$  8.53			$  8.40
Income From Investment Operations
Net investment income (loss)(a)(b)		.17			.11			(.02	)		.07			.10
Net realized and unrealized gain (loss) on investment and foreign currency transactions		(.30	)		(.88	)		3.41			(.95	)		.11
Contributions from Affiliates		– 0	–		.00	(c)		– 0	–		.00	(c)		– 0	–
Net increase (decrease) in net asset value from operations		(.13	)		(.77	)		3.39			(.88	)		.21
Less: Dividends
Dividends from net investment income		(.66	)		(.90	)		(.09	)		(.12	)		(.08	)
Net asset value, end of period		$  8.37			$  9.16			$  10.83			$  7.53			$  8.53
Total Return
Total investment return based on net asset value(d)*		(1.77	)%		(7.32	)%		45.23	%+		(10.32	)%		2.62	%
Ratios/Supplemental Data
Net assets, end of period (000’s omitted)		$69			$70			$67			$54			$271
Ratio to average net assets of:
Expenses, net of waivers/reimbursements(e)(f)‡		1.52	%		1.53	%		1.54	%		1.54	%		1.55	%
Expenses, before waivers/reimbursements(e)(f)‡		1.61	%		1.59	%		1.57	%		1.60	%		1.57	%
Net investment income (loss)(b)		1.96	%		1.06	%		(.19	)%		.92	%		1.16	%
Portfolio turnover rate		69	%		79	%		65	%		88	%		100	%
‡  Expense ratios exclude the estimated acquired fund fees of the affiliated/unaffiliated underlying
portfolios		.06	%		.03	%		.03	%		.04	%		.02	%

See footnote summary on page 86.

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CONSOLIDATED FINANCIAL HIGHLIGHTS (continued)

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

	Class K
	Year Ended October 31,
	2023			2022			2021			2020			2019
Net asset value, beginning of period		$  9.02			$  10.68			$  7.55			$  8.55			$  8.42
Income From Investment Operations
Net investment income (loss)(a)(b)		.19			.13			(.02	)		.08			.12
Net realized and unrealized gain (loss) on investment and foreign currency transactions		(.29	)		(.85	)		3.39			(.94	)		.13
Contributions from Affiliates		– 0	–		.00	(c)		– 0	–		.00	(c)		– 0	–
Net increase (decrease) in net asset value from operations		(.10	)		(.72	)		3.37			(.86	)		.25
Less: Dividends
Dividends from net investment income		(.70	)		(.94	)		(.24	)		(.14	)		(.12	)
Net asset value, end of period		$  8.22			$  9.02			$  10.68			$  7.55			$  8.55
Total Return
Total investment return based on net asset value(d)*		(1.52	)%		(7.08	)%		45.60	%+		(10.10	)%		3.03	%
Ratios/Supplemental Data
Net assets, end of period (000’s omitted)		$691			$1,059			$1,157			$1,453			$2,069
Ratio to average net assets of:
Expenses, net of waivers/reimbursements(e)(f)‡		1.27	%		1.26	%		1.26	%		1.28	%		1.27	%
Expenses, before waivers/reimbursements(e)(f)‡		1.30	%		1.28	%		1.28	%		1.29	%		1.28	%
Net investment income (loss)(b)		2.22	%		1.33	%		(.18	)%		1.08	%		1.44	%
Portfolio turnover rate		69	%		79	%		65	%		88	%		100	%
‡  Expense ratios exclude the estimated acquired fund fees of the affiliated/unaffiliated underlying
portfolios		.06	%		.03	%		.03	%		.04	%		.02	%

See footnote summary on page 86.

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CONSOLIDATED FINANCIAL HIGHLIGHTS (continued)

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

	Class I
	Year Ended October 31,
	2023			2022			2021			2020			2019
Net asset value, beginning of period		$  9.03			$  10.70			$  7.58			$  8.58			$  8.46
Income From Investment Operations
Net investment income(a)(b)		.23			.17			.09			.12			.15
Net realized and unrealized gain (loss) on investment and foreign currency transactions		(.30	)		(.86	)		3.32			(.94	)		.13
Contributions from Affiliates		– 0	–		.00	(c)		– 0	–		.00	(c)		– 0	–
Net increase (decrease) in net asset value from operations		(.07	)		(.69	)		3.41			(.82	)		.28
Less: Dividends
Dividends from net investment income		(.73	)		(.98	)		(.29	)		(.18	)		(.16	)
Net asset value, end of period		$  8.23			$  9.03			$  10.70			$  7.58			$  8.58
Total Return
Total investment return based on net asset value(d)*		(1.09	)%		(6.75	)%		46.03	%+		(9.76	)%		3.39	%
Ratios/Supplemental Data
Net assets, end of period (000’s omitted)		$8,646			$27,260			$27,013			$21,817			$23,541
Ratio to average net assets of:
Expenses, net of waivers/reimbursements(e)(f)‡		.84	%		.86	%		.84	%		.86	%		.85	%
Expenses, before waivers/reimbursements(e)(f)‡		.87	%		.88	%		.85	%		.87	%		.86	%
Net investment income(b)		2.61	%		1.74	%		.88	%		1.49	%		1.79	%
Portfolio turnover rate		69	%		79	%		65	%		88	%		100	%
‡  Expense ratios exclude the estimated acquired fund fees of the affiliated/unaffiliated underlying
portfolios		.06	%		.03	%		.03	%		.04	%		.02	%

See footnote summary on page 86.

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CONSOLIDATED FINANCIAL HIGHLIGHTS (continued)

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

	Class 1
	Year Ended October 31,
	2023			2022			2021			2020			2019
Net asset value, beginning of period		$  8.95			$  10.61			$  7.52			$  8.51			$  8.39
Income From Investment Operations
Net investment income(a)(b)		.20			.15			.13			.10			.13
Net realized and unrealized gain (loss) on investment and foreign currency transactions		(.29	)		(.85	)		3.23			(.93	)		.12
Contributions from Affiliates		– 0	–		.00	(c)		– 0	–		.00	(c)		– 0	–
Net increase (decrease) in net asset value from operations		(.09	)		(.70	)		3.36			(.83	)		.25
Less: Dividends
Dividends from net investment income		(.71	)		(.96	)		(.27	)		(.16	)		(.13	)
Net asset value, end of period		$  8.15			$  8.95			$  10.61			$  7.52			$  8.51
Total Return
Total investment return based on net asset value(d)*		(1.36	)%		(6.85	)%		45.63	%		(9.94	)%		3.14	%
Ratios/Supplemental Data
Net assets, end of period (000’s omitted)		$569,541			$638,229			$678,946			$470,635			$608,485
Ratio to average net assets of:
Expenses, net of waivers/reimbursements(e)(f)‡		1.09	%		1.08	%		1.08	%		1.10	%		1.09	%
Expenses, before waivers/reimbursements(e)(f)‡		1.12	%		1.10	%		1.10	%		1.11	%		1.10	%
Net investment income(b)		2.38	%		1.50	%		1.33	%		1.26	%		1.62	%
Portfolio turnover rate		69	%		79	%		65	%		88	%		100	%
‡  Expense ratios exclude the estimated acquired fund fees of the affiliated/unaffiliated underlying
portfolios		.06	%		.03	%		.03	%		.04	%		.02	%

See footnote summary on page 86.

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CONSOLIDATED FINANCIAL HIGHLIGHTS (continued)

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

	Class 2
	Year Ended October 31,
	2023			2022			2021			2020			2019
Net asset value, beginning of period		$  9.20			$  10.88			$  7.70			$  8.71			$  8.58
Income From Investment Operations
Net investment income(a)(b)		.24			.18			.14			.12			.16
Net realized and unrealized gain (loss) on investment and foreign currency transactions		(.30	)		(.88	)		3.33			(.95	)		.13
Contributions from Affiliates		– 0	–		.00	(c)		– 0	–		.00	(c)		– 0	–
Net increase (decrease) in net asset value from operations		(.06	)		(.70	)		3.47			(.83	)		.29
Less: Dividends
Dividends from net investment income		(.74	)		(.98	)		(.29	)		(.18	)		(.16	)
Net asset value, end of period		$  8.40			$  9.20			$  10.88			$  7.70			$  8.71
Total Return
Total investment return based on net asset value(d)*		(1.04	)%		(6.63	)%		46.10	%		(9.70	)%		3.46	%
Ratios/Supplemental Data
Net assets, end of period (000’s omitted)		$8			$9			$11			$8			$9
Ratio to average net assets of:
Expenses, net of waivers/reimbursements(e)(f)‡		.77	%		.81	%		.83	%		.82	%		.81	%
Expenses, before waivers/reimbursements(e)(f)‡		.80	%		.83	%		.84	%		.84	%		.81	%
Net investment income(b)		2.68	%		1.78	%		1.45	%		1.53	%		1.90	%
Portfolio turnover rate		69	%		79	%		65	%		88	%		100	%
‡  Expense ratios exclude the estimated acquired fund fees of the affiliated/unaffiliated underlying
portfolios		.06	%		.03	%		.03	%		.04	%		.02	%

See footnote summary on page 86.

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CONSOLIDATED FINANCIAL HIGHLIGHTS (continued)

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

	Class Z
	Year Ended October 31,
	2023			2022			2021			2020			2019
Net asset value, beginning of period		$  9.04			$  10.70			$  7.58			$  8.58			$  8.46
Income From Investment Operations
Net investment income(a)(b)		.23			.17			.14			.12			.16
Net realized and unrealized gain (loss) on investment and foreign currency transactions		(.29	)		(.85	)		3.27			(.94	)		.12
Contributions from Affiliates		– 0	–		.00	(c)		– 0	–		.00	(c)		– 0	–
Net increase (decrease) in net asset value from operations		(.06	)		(.68	)		3.41			(.82	)		.28
Less: Dividends
Dividends from net investment income		(.74	)		(.98	)		(.29	)		(.18	)		(.16	)
Net asset value, end of period		$  8.24			$  9.04			$  10.70			$  7.58			$  8.58
Total Return
Total investment return based on net asset value(d)*		(1.08	)%		(6.64	)%		46.17	%		(9.75	)%		3.37	%
Ratios/Supplemental Data
Net assets, end of period (000’s omitted)		$175,368			$324,086			$601,545			$415,967			$487,326
Ratio to average net assets of:
Expenses, net of waivers/reimbursements(e)(f)‡		.85	%		.83	%		.84	%		.85	%		.84	%
Expenses, before waivers/reimbursements(e)(f)‡		.88	%		.85	%		.85	%		.86	%		.85	%
Net investment income(b)		2.66	%		1.76	%		1.44	%		1.51	%		1.89	%
Portfolio turnover rate		69	%		79	%		65	%		88	%		100	%
‡  Expense ratios exclude the estimated acquired fund fees of the affiliated/unaffiliated underlying
portfolios		.06	%		.03	%		.03	%		.04	%		.02	%

See footnote summary on page 86.

abfunds.com AB ALL MARKET REAL RETURN PORTFOLIO    ^|    85

CONSOLIDATED FINANCIAL HIGHLIGHTS (continued)

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

(a) Based on average shares outstanding.

(b) Net of expenses waived/reimbursed by the Adviser.

(c) Amount is less than $.005.

(d) Total investment return is calculated assuming an initial investment made at the net asset value at the beginning of the period, reinvestment of all dividends and distributions at net asset value during the period, and redemption on the last day of the period. Initial sales charges or contingent deferred sales charges are not reflected in the calculation of total investment return. Total return does not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of fund shares. Total investment return calculated for a period of less than one year is not annualized.

(e) In connection with the Fund’s investments in affiliated underlying portfolios, the Fund incurs no direct expenses, but bears proportionate shares of the fees and expenses (i.e., operating, administrative and investment advisory fees) of the affiliated underlying portfolios. The Adviser has contractually agreed to waive its fees from the Fund in an amount equal to the Fund’s pro rata share of certain acquired fund fees and expenses, and for the years ended October 31, 2023, October 31, 2022, October 31, 2021, October 31, 2020 and October 31, 2019, such waiver amounted to .03%, .02%, .01%, .01% and .01%, respectively.

(f) The expense ratios presented below exclude interest/bank overdraft expense:

	Year Ended October 31,
	2023	2022			2021	2020	2019
Class A
Net of waivers/reimbursements	1.18%		1.16	%	1.29%	1.29%	1.29%
Before waivers/reimbursements	1.21%		1.18	%	1.39%	1.40%	1.32%
Class C
Net of waivers/reimbursements	1.93%		1.94	%	2.04%	2.04%	2.04%
Before waivers/reimbursements	1.97%		1.96	%	2.19%	2.15%	2.07%
Advisor Class
Net of waivers/reimbursements	.93%		.91	%	1.04%	1.04%	1.04%
Before waivers/reimbursements	.96%		.93	%	1.17%	1.14%	1.07%
Class R
Net of waivers/reimbursements	1.52%		1.53	%	1.54%	1.54%	1.54%
Before waivers/reimbursements	1.61%		1.59	%	1.57%	1.60%	1.57%
Class K
Net of waivers/reimbursements	1.27%		1.26	%	1.26%	1.28%	1.27%
Before waivers/reimbursements	1.30%		1.28	%	1.28%	1.29%	1.28%
Class I
Net of waivers/reimbursements	.84%		.86	%	.84%	.86%	.84%
Before waivers/reimbursements	.87%		.88	%	.85%	.87%	.85%
Class 1
Net of waivers/reimbursements	1.09%		1.08	%	1.08%	1.10%	1.09%
Before waivers/reimbursements	1.12%		1.10	%	1.10%	1.11%	1.09%
Class 2
Net of waivers/reimbursements	.77%		.81	%	.83%	.82%	.81%
Before waivers/reimbursements	.80%		.82	%	.84%	.84%	.81%
Class Z
Net of waivers/reimbursements	.85%		.83	%	.84%	.85%	.83%
Before waivers/reimbursements	.88%		.85	%	.85%	.86%	.84%

* Includes the impact of proceeds received and credited to the Fund resulting from class action settlements, which enhanced the Fund’s performance for the years ended October 31, 2020 and October 31, 2019 by .02% and .07%, respectively.

+ The net asset value and total return include adjustments in accordance with accounting principles generally accepted in the United States of America for financial reporting purposes. As such, the net asset value and total return for shareholder transactions may differ from financial statements.

See notes to consolidated financial statements.

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REPORT OF INDEPENDENT REGISTERED

PUBLIC ACCOUNTING FIRM

To the Board of Directors and Shareholders of

AB All Market Real Return Portfolio

Opinion on the Financial Statements

We have audited the accompanying consolidated statement of assets and liabilities of AB All Market Real Return Portfolio (the “Fund”) (one of the portfolios constituting AB Bond Fund, Inc. (the “Company”)), including the consolidated portfolio of investments, as of October 31, 2023, and the related consolidated statement of operations for the year then ended, the consolidated statements of changes in net assets for each of the two years in the period then ended, the consolidated financial highlights for each of the five years in the period then ended, and the related notes (collectively referred to as the “financial statements”). In our opinion, the financial statements present fairly, in all material respects, the consolidated financial position of the Fund (one of the portfolios constituting AB Bond Fund, Inc.) at October 31, 2023, the consolidated results of its operations for the year then ended, the consolidated changes in its net assets for each of the two years in the period then ended and its consolidated financial highlights for each of the five years in the period then ended, in conformity with U.S. generally accepted accounting principles.

Basis for Opinion

These financial statements are the responsibility of the Company’s management. Our responsibility is to express an opinion on the Fund’s financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (“PCAOB”) and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. The Company is not required to have, nor were we engaged to perform, an audit of the Company’s internal control over financial reporting. As part of our audits, we are required to obtain an understanding of internal control over financial reporting but not for the purpose of expressing an opinion on the effectiveness of the Company’s internal control over financial reporting. Accordingly, we express no such opinion.

Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud,

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REPORT OF INDEPENDENT REGISTERED

PUBLIC ACCOUNTING FIRM (continued)

and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our procedures included confirmation of securities owned as of October 31, 2023, by correspondence with the custodian, brokers and others; when replies were not received from brokers or others, we performed other auditing procedures. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audits provide a reasonable basis for our opinion.

We have served as the auditor of one or more of the AB investment companies since 1968.

New York, New York

December 22, 2023

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2023 FEDERAL TAX INFORMATION

(unaudited)

For Federal income tax purposes, the following information is furnished with respect to the distributions paid by the Fund during the taxable year ended October 31, 2023. For individual shareholders, the Fund designates 22.44% of dividends paid as qualified dividend income. For corporate shareholders, 6.20% of dividends paid qualify for the dividends received deduction. For foreign shareholders, 2.81% of ordinary income dividends paid may be considered to be qualifying to be taxed as interest related dividends.

Shareholders should not use the above information to prepare their income tax returns. The information necessary to complete your income tax returns will be included with your Form 1099-DIV which will be sent to you separately in January 2024.

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BOARD OF DIRECTORS

Garry L. Moody⁽¹⁾, Chairman Jorge A. Bermudez⁽¹⁾ Michael J. Downey⁽¹⁾ Onur Erzan, President and Chief Executive Officer Nancy P. Jacklin⁽¹⁾ Jeanette W. Loeb⁽¹⁾ Carol C. McMullen⁽¹⁾ Marshall C. Turner, Jr.⁽¹⁾

OFFICERS

Vinod Chathlani⁽²⁾, Vice President Daniel J. Loewy⁽²⁾, Vice President Leon Zhu⁽²⁾, Vice President Nancy E. Hay, Secretary Michael B. Reyes, Senior Vice President Stephen M. Woetzel, Treasurer and Chief Financial Officer Phyllis J. Clarke, Controller Jennifer Friedland, Chief Compliance Officer

Custodian and Accounting Agent State Street Bank and Trust Company One Congress Street, Suite 1 Boston, MA 02114   Principal Underwriter AllianceBernstein Investments, Inc. 501 Commerce Street Nashville, TN 37203   Transfer Agent AllianceBernstein Investor Services, Inc. P.O. Box 786003 San Antonio, TX 78278 Toll-Free (800) 221-5672 Independent Registered Public Accounting Firm Ernst & Young LLP One Manhattan West New York, NY 10001   Legal Counsel Seward & Kissel LLP One Battery Park Plaza New York, NY 10004

1 Member of the Audit Committee, the Governance and Nominating Committee, and the Independent Directors Committee.

2 The day-to-day management of, and investment decisions for, the Fund’s portfolio are made by the Adviser’s All Market Real Return Portfolio Team. Messrs. Chathlani, Loewy and Zhu are the investment professionals with the most significant responsibility for the day-to-day management of the Fund’s portfolio.

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MANAGEMENT OF THE FUND

Board of Directors Information

The business and affairs of the Portfolio are managed under the direction of the Board of Directors. Certain information concerning the Portfolio’s Directors is set forth below.

NAME, ADDRESS*, AGE, (YEAR FIRST ELECTED**)	PRINCIPAL OCCUPATION(S) DURING PAST FIVE YEARS AND OTHER INFORMATION***	PORTFOLIOS IN AB FUND COMPLEX OVERSEEN BY DIRECTOR		OTHER PUBLIC COMPANY DIRECTORSHIPS CURRENTLY HELD BY DIRECTOR
INTERESTED DIRECTOR
Onur Erzan,# 1345 Avenue of the Americas New York, NY 10105 47 (2021)	Senior Vice President of AllianceBernstein L.P. (the “Adviser”), Head of Global Client Group and Head of Private Wealth. He oversees AB’s entire private wealth management business and third-party institutional and retail franchise, where he is responsible for all client services, sales and marketing, as well as product strategy, management and development worldwide. Director, President and Chief Executive Officer of the AB Mutual Funds as of April 1, 2021. He is also a member of the Equitable Holdings Management Committee. Prior to joining the firm in January 2021, he spent over 19 years with McKinsey (management consulting firm), most recently as a senior partner and co-leader of its Wealth & Asset Management practice. In addition, he co-led McKinsey’s Banking & Securities Solutions (a portfolio of data, analytics and digital assets and capabilities) globally.		82	None

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MANAGEMENT OF THE FUND (continued)

NAME, ADDRESS*, AGE, (YEAR FIRST ELECTED**)	PRINCIPAL OCCUPATION(S) DURING PAST FIVE YEARS AND OTHER INFORMATION***	PORTFOLIOS IN AB FUND COMPLEX OVERSEEN BY DIRECTOR		OTHER PUBLIC COMPANY DIRECTORSHIPS CURRENTLY HELD BY DIRECTOR
INDEPENDENT DIRECTORS
Garry L. Moody,## Chairman of the Board 71 (2008)	Private Investor since prior to 2018. Formerly, Partner, Deloitte & Touche LLP (1995-2008) where he held a number of senior positions, including Vice Chairman, and U.S. and Global Investment Management Practice Managing Partner; President, Fidelity Accounting and Custody Services Company (1993-1995), where he was responsible for accounting, pricing, custody and reporting for the Fidelity mutual funds; and Partner, Ernst & Young LLP (1975-1993), where he served as the National Director of Mutual Fund Tax Services and Managing Partner of its Chicago Office Tax department. He served as a member of the Investment Company Institute’s Board of Governors and the Independent Directors Council’s Governing Council from October 2019 through September 2023, where he also served as Chairman of the Governance Committee from October 2021 through September 2023. He is Chairman of the AB Funds and Chairman of the Independent Directors Committees since January 2023; he has served as a director or trustee since 2008, and served as Chairman of the Audit Committee of such funds from 2008 to February 2023.		82	None

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MANAGEMENT OF THE FUND (continued)

NAME, ADDRESS*, AGE, (YEAR FIRST ELECTED**)	PRINCIPAL OCCUPATION(S) DURING PAST FIVE YEARS AND OTHER INFORMATION***	PORTFOLIOS IN AB FUND COMPLEX OVERSEEN BY DIRECTOR		OTHER PUBLIC COMPANY DIRECTORSHIPS CURRENTLY HELD BY DIRECTOR
INDEPENDENT DIRECTORS (continued)
Jorge A. Bermudez,## 72 (2020)	Private Investor since prior to 2018. Formerly, Chief Risk Officer of Citigroup, Inc., a global financial services company, from November 2007 to March 2008; Chief Executive Officer of Citigroup’s Commercial Business Group in North America and Citibank Texas from 2005 to 2007; and a variety of other executive and leadership roles at various businesses within Citigroup prior to then; Chairman (2018) of the Texas A&M Foundation Board of Trustees (Trustee since 2013) and Chairman of the Smart Grid Center Board at Texas A&M University since 2012; director of, among others, Citibank N.A. from 2005 to 2008, the Federal Reserve Bank of Dallas, Houston Branch from 2009 to 2011, the Federal Reserve Bank of Dallas from 2011 to 2017, and the Electric Reliability Council of Texas from 2010 to 2016; and Chair of the Audit Committee of the Board of Directors of Moody’s Corporation since December 2022. He has served as director or trustee of the AB Funds since January 2020.		82	Moody’s Corporation since April 2011

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MANAGEMENT OF THE FUND (continued)

NAME, ADDRESS*, AGE, (YEAR FIRST ELECTED**)	PRINCIPAL OCCUPATION(S) DURING PAST FIVE YEARS AND OTHER INFORMATION***	PORTFOLIOS IN AB FUND COMPLEX OVERSEEN BY DIRECTOR		OTHER PUBLIC COMPANY DIRECTORSHIPS CURRENTLY HELD BY DIRECTOR
INDEPENDENT DIRECTORS (continued)
Michael J. Downey,## 79 (2005)	Private Investor since prior to 2018. Formerly, Chairman of The Asia Pacific Fund, Inc. (registered investment company) since prior to 2018 until January 2019. From 1987 until 1993, Chairman and CEO of Prudential Mutual Fund Management, director of the Prudential mutual funds, and member of the Executive Committee of Prudential Securities, Inc. He has served as a director or trustee of the AB Funds since 2005.		82	None
Nancy P. Jacklin,## 75 (2006)	Private Investor since prior to 2018. Professorial Lecturer at the Johns Hopkins School of Advanced International Studies (2008-2015). U.S. Executive Director of the International Monetary Fund (which is responsible for ensuring the stability of the international monetary system), (December 2002-May 2006); Partner, Clifford Chance (1992-2002); Sector Counsel, International Banking and Finance, and Associate General Counsel, Citicorp (1985-1992); Assistant General Counsel (International), Federal Reserve Board of Governors (1982-1985); and Attorney Advisor, U.S. Department of the Treasury (1973-1982). Member of the Bar of the District of Columbia and of New York; and member of the Council on Foreign Relations. She has served as a director or trustee of the AB Funds since 2006 and served as Chair of the Governance and Nominating Committees of the AB Funds from 2014 to August 2023.		82	None

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MANAGEMENT OF THE FUND (continued)

NAME, ADDRESS*, AGE, (YEAR FIRST ELECTED**)	PRINCIPAL OCCUPATION(S) DURING PAST FIVE YEARS AND OTHER INFORMATION***	PORTFOLIOS IN AB FUND COMPLEX OVERSEEN BY DIRECTOR		OTHER PUBLIC COMPANY DIRECTORSHIPS CURRENTLY HELD BY DIRECTOR
INDEPENDENT DIRECTORS (continued)
Jeanette W. Loeb,## 71 (2020)	Private Investor since prior to 2018. Director of New York City Center since 2005. Formerly, Chief Executive Officer of PetCareRx (e-commerce pet pharmacy) from 2002 to 2011 and 2015 to April 2023. She was a director of Apollo Investment Corp. (business development company) from August 2011 to July 2023 and a director of AB Multi-Manager Alternative Fund (fund of hedge funds) from 2012 to 2018. Formerly, affiliated with Goldman Sachs Group, Inc. (financial services) from 1977 to 1994, including as a partner thereof from 1986 to 1994. She has served as director or trustee of the AB Funds since April 2020 and serves as Chair of the Governance and Nominating Committees of the AB Funds since August 2023.		82	None

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MANAGEMENT OF THE FUND (continued)

NAME, ADDRESS*, AGE, (YEAR FIRST ELECTED**)	PRINCIPAL OCCUPATION(S) DURING PAST FIVE YEARS AND OTHER INFORMATION***	PORTFOLIOS IN AB FUND COMPLEX OVERSEEN BY DIRECTOR		OTHER PUBLIC COMPANY DIRECTORSHIPS CURRENTLY HELD BY DIRECTOR
INDEPENDENT DIRECTORS (continued)
Carol C. McMullen,## 68 (2016)	Private Investor and a member of the Advisory Board of Butcher Box (since 2018) and serves as Advisory Board Chair as of June 2023. Formerly, Managing Director of Slalom Consulting (consulting) from 2014 until July 2023; member, Mass General Brigham (formerly, Partners Healthcare) Investment Committee (2010-2019); Director of Norfolk & Dedham Group (mutual property and casualty insurance) from 2011 until November 2016; Director of Partners Community Physicians Organization (healthcare) from 2014 until December 2016; and Managing Director of The Crossland Group (consulting) from 2012 until 2013. She has held a number of senior positions in the asset and wealth management industries, including at Eastern Bank (where her roles included President of Eastern Wealth Management), Thomson Financial (Global Head of Sales for Investment Management), and Putnam Investments (where her roles included Chief Investment Officer, Core and Growth and Head of Global Investment Research). She has served on a number of private company and non-profit boards, and as a director or trustee of the AB Funds since June 2016 and serves as Chair of the Audit Committees of such funds since February 2023.		82	None

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MANAGEMENT OF THE FUND (continued)

NAME, ADDRESS*, AGE, (YEAR FIRST ELECTED**)	PRINCIPAL OCCUPATION(S) DURING PAST FIVE YEARS AND OTHER INFORMATION***	PORTFOLIOS IN AB FUND COMPLEX OVERSEEN BY DIRECTOR		OTHER PUBLIC COMPANY DIRECTORSHIPS CURRENTLY HELD BY DIRECTOR
INDEPENDENT DIRECTORS (continued)
Marshall C. Turner, Jr.,## 82 (2005)	Private Investor since prior to 2018. He was a Director of Xilinx, Inc. (programmable logic semi-conductors and adaptable, intelligent computing) from 2007 through August 2020, and is a former director of 33 other companies and organizations. Former Chairman and CEO of Dupont Photomasks, Inc. (semi-conductor manufacturing equipment) from 2003 through 2006. He has extensive operating leadership and venture capital investing experience, including five interim or full-time CEO roles, and prior service as general partner of institutional venture capital partnerships. He also has extensive non-profit board leadership experience, and currently serves on the board of the George Lucas Educational Foundation. He has served as a director of one AB Fund since 1992, and director or trustee of all the AB Funds since 2005. He has served as both Chairman of the AB Funds and Chairman of the Independent Directors Committees from 2014 through December 2022.		82	None

* The address for each of the Fund’s disinterested Directors is c/o AllianceBernstein L.P., Attention: Legal and Compliance Department—Mutual Fund Legal, 1345 Avenue of the Americas, New York, NY 10105.

** There is no stated term of office for the Fund’s Directors.

*** The information above includes each Director’s principal occupation during the last five years and other information relating to the experience, attributes and skills relevant to each Director’s qualifications to serve as a Director, which led to the conclusion that each Director should serve as a Director for the Fund.

# Mr. Erzan is an “interested person” of the Fund as defined in the “40 Act”, due to his position as a Senior Vice President of the Adviser.

## Member of the Audit Committee, the Governance and Nominating Committee, and the Independent Directors Committee.

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MANAGEMENT OF THE FUND (continued)

Officer Information

Certain information concerning the Fund’s Officers is listed below.

NAME, ADDRESS* AND AGE	PRINCIPAL POSITION(S) HELD WITH FUND	PRINCIPAL OCCUPATION DURING PAST 5 YEARS
Onur Erzan 47	President and Chief Executive Officer	See biography above.
Vinod Chathlani 41	Vice President	Senior Vice President of the Adviser**, with which he has been associated since prior to 2018.
Daniel J. Loewy 49	Vice President	Senior Vice President of the Adviser**, with which he has been associated since prior to 2018. He is Chief Investment Officer and Head of Multi-Asset and Hedge Fund Solutions; and Chief Investment Officer of Dynamic Asset Allocation.
Leon Zhu 56	Vice President	Senior Vice President of the Adviser**, with which he has been associated since prior to 2018.
Nancy E. Hay 51	Secretary	Senior Vice President and Counsel of the Adviser**, with which she has been associated since prior to 2018 and Assistant Secretary of ABI**.
Michael B. Reyes 47	Senior Vice President	Vice President of the Adviser**, with which he has been associated since prior to 2018.
Stephen M. Woetzel 52	Treasurer and Chief Financial Officer	Senior Vice President of ABIS**, with which he has been associated since prior to 2018.
Phyllis J. Clarke 62	Controller	Vice President of ABIS**, with which she has been associated since prior to 2018.
Jennifer Friedland 49	Chief Compliance Officer	Vice President of the Adviser** since 2020 and Mutual Fund Chief Compliance Officer (of all Funds since January 2023 and of the ETF Funds since 2022). Before joining the Adviser** in 2020, she was Chief Compliance Officer at WestEnd Advisors, LLC from prior to 2018 until 2019.

* The address for each of the Fund’s Officers is 1345 Avenue of the Americas, New York, NY 10105.

** The Adviser, ABI and ABIS are affiliates of the Strategy.

The Fund’s Statement of Additional Information (“SAI”) has additional information about the Fund’s Directors and Officers and is available without charge upon request. Contact your financial representative or AB at (800) 227-4618, or visit www.abfunds.com, for a free prospectus or SAI.

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Operation and Effectiveness of the Fund’s Liquidity Risk Management Program:

In October 2016, the Securities and Exchange Commission (“SEC”) adopted the open-end fund liquidity rule (the “Liquidity Rule”). In June 2018 the SEC adopted a requirement that funds disclose information about the operation and effectiveness of their Liquidity Risk Management Program (“LRMP”) in their reports to shareholders.

One of the requirements of the Liquidity Rule is for the Fund to designate an Administrator of the Fund’s Liquidity Risk Management Program. The Administrator of the Fund’s LRMP is AllianceBernstein L.P., the Fund’s investment adviser (the “Adviser”). The Adviser has delegated the responsibility to its Liquidity Risk Management Committee (the “Committee”).

Another requirement of the Liquidity Rule is for the Fund’s Board of Directors (the “Fund Board”) to receive an annual written report from the Administrator of the LRMP, which addresses the operation of the Fund’s LRMP and assesses its adequacy and effectiveness. The Adviser provided the Fund Board with such annual report during the first quarter of 2023, which covered the period January 1, 2022 through December 31, 2022 (the “Program Reporting Period”).

The LRMP’s principal objectives include supporting the Fund’s compliance with limits on investments in illiquid assets and mitigating the risk that the Fund will be unable to meet its redemption obligations in a timely manner.

Pursuant to the LRMP, the Fund classifies the liquidity of its portfolio investments into one of the four categories defined by the SEC: Highly Liquid, Moderately Liquid, Less Liquid, and Illiquid. These classifications are reported to the SEC on Form N-PORT.

During the Program Reporting Period, the Committee reviewed whether the Fund’s strategy is appropriate for an open-end structure, incorporating any holdings of less liquid and illiquid assets. If the Fund participated in derivative transactions, the exposure from such transactions were considered in the LRMP.

The Committee also performed an analysis to determine whether the Fund is required to maintain a Highly Liquid Investment Minimum (“HLIM”). The Committee also incorporated the following information when determining the Fund’s reasonably anticipated trading size for purposes of liquidity monitoring: historical net redemption activity, a Fund’s concentration in an issuer, shareholder concentration, investment performance, total net assets, and distribution channels.

The Adviser informed the Fund Board that the Committee believes the Fund’s LRMP is adequately designed, has been implemented as intended, and has operated effectively since its inception. No material exceptions have been noted since the implementation of the LRMP. During the Program Reporting Period, liquidity in all markets was challenged due to rising rates and economic uncertainty. However, markets also remained orderly during the Program Reporting Period. There were no liquidity events that impacted the Fund or its ability to timely meet redemptions during the Program Reporting Period.

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Information Regarding the Review and Approval of the Fund’s Advisory Agreement

The disinterested directors (the “directors”) of AB Bond Fund, Inc. (the “Company”) unanimously approved the continuance of the Company’s Advisory Agreement with the Adviser in respect of AB All Market Real Return Portfolio (the “Fund”) at meetings held in-person on August 1-2, 2023 and October 31-November 2, 2023 (the “Meetings”).

Prior to approval of the continuance of the Advisory Agreement, the directors had requested from the Adviser, and received and evaluated, extensive materials. They reviewed the proposed continuance of the Advisory Agreement with the Adviser and with experienced counsel who are independent of the Adviser, who advised on the relevant legal standards. The directors also reviewed additional materials, including comparative analytical data prepared by the Senior Vice President of the Fund. The directors also discussed the proposed continuance in private sessions with counsel.

The directors considered their knowledge of the nature and quality of the services provided by the Adviser to the Fund gained from their experience as directors or trustees of most of the registered investment companies advised by the Adviser, their overall confidence in the Adviser’s integrity and competence they have gained from that experience, the Adviser’s initiative in identifying and raising potential issues with the directors and its responsiveness, frankness and attention to concerns raised by the directors in the past, including the Adviser’s willingness to consider and implement organizational and operational changes designed to improve investment results and the services provided to the AB Funds. The directors noted that they have four regular meetings each year, at each of which they review extensive materials and information from the Adviser, including information on the investment performance of the Fund and the money market fund advised by the Adviser in which the Fund invests a portion of its assets.

The directors also considered all factors they believed relevant, including the specific matters discussed below. During the course of their deliberations, the directors evaluated, among other things, the reasonableness of the advisory fee. The directors did not identify any particular information that was all-important or controlling, and different directors may have attributed different weights to the various factors. The directors determined that the selection of the Adviser to manage the Fund and the overall arrangements between the Fund and the Adviser, as provided in the Advisory Agreement, including the advisory fee, were fair and reasonable in light of the services performed, expenses incurred and such other matters as the directors considered relevant in the exercise of their business

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judgment. The material factors and conclusions that formed the basis for the directors’ determinations included the following:

Nature, Extent and Quality of Services Provided

The directors considered the scope and quality of services provided by the Adviser under the Advisory Agreement, including the quality of the investment research capabilities of the Adviser and the other resources it has dedicated to performing services for the Fund. The directors noted that the Adviser from time to time reviews the Fund’s investment strategies and from time to time proposes changes intended to improve the Fund’s relative or absolute performance for the directors’ consideration. They also noted the professional experience and qualifications of the Fund’s portfolio management team and other senior personnel of the Adviser. The directors also considered that the Advisory Agreement provides that the Fund will reimburse the Adviser for the cost to it of providing certain clerical, accounting, administrative and other services to the Fund by employees of the Adviser or its affiliates. Requests for these reimbursements are made on a quarterly basis and subject to approval by the directors. Reimbursements, to the extent requested and paid, result in a higher rate of total compensation from the Fund to the Adviser than the fee rate stated in the Advisory Agreement. The directors noted that the methodology used to determine the reimbursement amounts had been reviewed by an independent consultant at the request of the directors. The quality of administrative and other services, including the Adviser’s role in coordinating the activities of the Fund’s other service providers, also was considered. The directors concluded that, overall, they were satisfied with the nature, extent and quality of services provided to the Fund under the Advisory Agreement.

Costs of Services Provided and Profitability

The directors reviewed a schedule of the revenues and expenses and related notes indicating the profitability of the Fund to the Adviser for calendar years 2021 and 2022 that had been prepared with an expense allocation methodology arrived at in consultation with an independent consultant at the request of the directors. The directors noted the assumptions and methods of allocation used by the Adviser in preparing fund-specific profitability data and understood that there are a number of potentially acceptable allocation methodologies for information of this type. The directors noted that the profitability information reflected all revenues and expenses of the Adviser’s relationship with the Fund, including those relating to its subsidiaries that provide transfer agency, distribution and brokerage services to the Fund. The directors recognized that it is difficult to make comparisons of the profitability of the Advisory Agreement with the profitability of fund advisory contracts for unaffiliated funds because comparative information is not generally publicly available and is affected by numerous factors. The directors focused on the profitability of the Adviser’s relationship with the Fund before taxes and distribution

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expenses. The directors concluded that the Adviser’s level of profitability from its relationship with the Fund was not unreasonable.

Fall-Out Benefits

The directors considered the other benefits to the Adviser and its affiliates from their relationships with the Fund and the money market fund advised by the Adviser in which the Fund invests, including, but not limited to, benefits relating to soft dollar arrangements (whereby investment advisers receive brokerage and research services from brokers that execute transactions for their clients); 12b-1 fees and sales charges received by the Fund’s principal underwriter (which is a wholly owned subsidiary of the Adviser) in respect of certain classes of the Fund’s shares; brokerage commissions paid by the Fund to brokers affiliated with the Adviser; and transfer agency fees paid by the Fund to a wholly owned subsidiary of the Adviser. The directors recognized that the Adviser’s profitability would be somewhat lower without these benefits. The directors understood that the Adviser also might derive reputational and other benefits from its association with the Fund.

Investment Results

In addition to the information reviewed by the directors in connection with the Meetings, the directors receive detailed performance information for the Fund at each regular Board meeting during the year.

At the Meetings, the directors reviewed performance information prepared by an independent service provider (the “15(c) service provider”), showing the performance of the Advisor Class shares of the Fund against a group of similar funds (“peer group”) and a larger group of similar funds (“peer universe”), each selected by the 15(c) service provider, and information prepared by the Adviser showing performance of the Advisor Class shares against a broad-based securities market index, in each case for the 1-, 3-, 5-, and 10-year periods ended May 31, 2023 and July 31, 2023 and (in the case of comparisons with the broad-based securities market index) for the period from inception. Based on their review, the directors concluded that the Fund’s investment performance was acceptable.

Advisory Fees and Other Expenses

The directors considered the advisory fee rate payable by the Fund to the Adviser and information prepared by the 15(c) service provider concerning advisory fee rates payable by other funds in the same category as the Fund. The directors recognized that it is difficult to make comparisons of advisory fees because there are variations in the services that are included in the fees payable by other funds. The directors compared the Fund’s contractual advisory fee rate with a peer group median and noted that it was lower than the median. They also noted that the Adviser’s total rate of compensation, taking into account the impact of the administrative

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expense reimbursement paid to the Adviser in the latest fiscal year, was lower than the median.

The directors also considered the Adviser’s fee schedule for other clients utilizing investment strategies similar to those of the Fund. For this purpose, they reviewed the relevant advisory fee information from the Adviser’s Form ADV and in a report from the Fund’s Senior Vice President and noted the differences between the Fund’s fee schedule, on the one hand, and the Adviser’s institutional fee schedule, on the other. The directors noted that the Adviser may, in some cases, agree to fee rates with large institutional clients that are lower than those reviewed by the directors and that they had previously discussed with the Adviser its policies in respect of such arrangements.

The Adviser reviewed with the directors the significantly greater scope of the services it provides to the Fund relative to institutional clients. In this regard, the Adviser noted, among other things, that, compared to institutional accounts, the Fund (i) demands considerably more portfolio management, research and trading resources due to significantly higher daily cash flows; (ii) has more tax and regulatory restrictions and compliance obligations; (iii) must prepare and file or distribute regulatory and other communications about fund operations; and (iv) must provide shareholder servicing to retail investors. The Adviser also reviewed the greater legal risks presented by the large and changing population of Fund shareholders who may assert claims against the Adviser in individual or class actions, and the greater entrepreneurial risk in offering new fund products, which require substantial investment to launch, may not succeed, and generally must be priced to compete with larger, more established funds resulting in lack of profitability to the Adviser until a new fund achieves scale. In light of the substantial differences in services rendered by the Adviser to institutional clients as compared to the Fund, and the different risk profile, the directors considered these fee comparisons inapt and did not place significant weight on them in their deliberations.

In connection with their review of the Fund’s advisory fee, the directors also considered the total expense ratio of the Advisor Class shares of the Fund in comparison to the medians for a peer group and a peer universe selected by the 15(c) service provider. The Advisor Class expense ratio of the Fund was based on the Fund’s latest fiscal year. The Adviser had agreed to cap the Fund’s expenses, but the directors noted that the Fund’s expense ratio was currently below the level of the Adviser’s cap. The directors noted that it was likely that the expense ratios of some of the other funds in the Fund’s category were lowered by waivers or reimbursements by those funds’ investment advisers, which in some cases might be voluntary or temporary. The directors view expense ratio information as relevant to their evaluation of the Adviser’s services because the Adviser is responsible for coordinating services provided to the Fund

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by others. The directors noted that the Fund’s expense ratio was above the medians. After reviewing and discussing the Adviser’s explanation of the reasons for this, the directors concluded that the Fund’s expense ratio was acceptable.

Economies of Scale

The directors noted that the advisory fee schedule for the Fund does not contain breakpoints and that they had discussed their strong preference for breakpoints in advisory contracts with the Adviser. The directors took into consideration prior presentations by an independent consultant on economies of scale in the mutual fund industry and for the AB Funds, and presentations from time to time by the Adviser concerning certain of its views on economies of scale. The directors also had requested and received from the Adviser certain updates on economies of scale in advance of the Meetings. The directors believe that economies of scale may be realized (if at all) by the Adviser across a variety of products and services, and not only in respect of a single fund. The directors noted that there is no established methodology for setting breakpoints that give effect to the fund-specific services provided by a fund’s adviser and to the economies of scale that an adviser may realize in its overall mutual fund business or those components of it which directly or indirectly affect a fund’s operations. The directors observed that in the mutual fund industry as a whole, as well as among funds similar to the Fund, there is no uniformity or pattern in the fees and asset levels at which breakpoints (if any) apply. The directors also noted that the advisory agreements for many funds do not have breakpoints at all. The directors informed the Adviser that they would monitor the Fund’s asset level (which was well below the level at which they would anticipate adding an initial breakpoint) and its profitability to the Adviser and anticipated revisiting the question of breakpoints in the future if circumstances warranted doing so.

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This page is not part of the Shareholder Report or the Financial Statements.

AB FAMILY OF FUNDS

US EQUITY

CORE

Core Opportunities Fund

Select US Equity Portfolio

Sustainable US Thematic Portfolio

GROWTH

Concentrated Growth Fund

Discovery Growth Fund

Growth Fund

Large Cap Growth Fund

Small Cap Growth Portfolio

VALUE

Discovery Value Fund

Equity Income Fund

Relative Value Fund

Small Cap Value Portfolio

Value Fund

INTERNATIONAL/GLOBAL EQUITY

CORE

Global Core Equity Portfolio

International Low Volatility Equity Portfolio¹

Sustainable Global Thematic Fund

Sustainable International Thematic Fund

Tax-Managed Wealth Appreciation Strategy

Wealth Appreciation Strategy

GROWTH

Concentrated International Growth Portfolio

VALUE

All China Equity Portfolio

International Value Fund

FIXED INCOME

MUNICIPAL

High Income Municipal Portfolio

Intermediate California Municipal Portfolio

Intermediate Diversified Municipal Portfolio

Intermediate New York Municipal Portfolio

Municipal Bond Inflation Strategy

Tax-Aware Fixed Income Opportunities Portfolio

National Portfolio

Arizona Portfolio

California Portfolio

Massachusetts Portfolio

Minnesota Portfolio

New Jersey Portfolio

New York Portfolio

Ohio Portfolio

Pennsylvania Portfolio

Virginia Portfolio

TAXABLE

Bond Inflation Strategy

Global Bond Fund

High Income Fund

Income Fund

Intermediate Duration Portfolio

Short Duration High Yield Portfolio¹

Short Duration Income Portfolio

Short Duration Portfolio

Sustainable Thematic Credit Portfolio

Total Return Bond Portfolio

ALTERNATIVES

All Market Real Return Portfolio

Global Real Estate Investment Fund

Select US Long/Short Portfolio

MULTI-ASSET

All Market Total Return Portfolio

Emerging Markets Multi-Asset Portfolio

Global Risk Allocation Fund

Sustainable Thematic Balanced Portfolio

CLOSED-END FUNDS

AllianceBernstein Global High Income Fund

AllianceBernstein National Municipal Income Fund

EXCHANGE-TRADED FUNDS

Disruptors ETF

High Yield ETF

Tax-Aware Short Duration Municipal ETF

Ultra Short Income ETF

US High Dividend ETF

US Large Cap Strategic Equities ETF

US Low Volatility Equity ETF

We also offer Government Money Market Portfolio, which serves as the money market fund exchange vehicle for the AB mutual funds. You could lose money by investing in the Fund. Although the Fund seeks to preserve the value of your investment at $1.00 per share, it cannot guarantee it will do so. The Fund may impose a fee upon sale of your shares or may temporarily suspend your ability to sell shares if the Fund’s liquidity falls below required minimums because of market conditions or other factors. An investment in the Fund is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. The Fund’s sponsor has no legal obligation to provide financial support to the Fund, and you should not expect that the sponsor will provide financial support to the Fund at any time.

Investors should consider the investment objectives, risks, charges and expenses of the Fund carefully before investing. For copies of our prospectus or summary prospectus, which contain this and other information, visit us online at www.abfunds.com or contact your AB representative. Please read the prospectus and/or summary prospectus carefully before investing.

1 Prior to July 5, 2023, International Low Volatility Equity Portfolio was named International Strategic Core Portfolio and Short Duration High Yield Portfolio was named Limited Duration High Income Portfolio.

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NOTES

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NOTES

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NOTES

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AB ALL MARKET REAL RETURN PORTFOLIO

1345 Avenue of the Americas

New York, NY 10105

800 221 5672

AMRR-0151-1023        

OCT    ^10.31.23

ANNUAL REPORT

AB BOND INFLATION STRATEGY

Investment Products Offered •  Are Not FDIC Insured • May Lose Value • Are Not Bank Guaranteed

Investors should consider the investment objectives, risks, charges and expenses of the Fund carefully before investing. For copies of our prospectus or summary prospectus, which contain this and other information, visit us online at www.abfunds.com or contact your AB representative. Please read the prospectus and/or summary prospectus carefully before investing.

This shareholder report must be preceded or accompanied by the Fund’s prospectus for individuals who are not current shareholders of the Fund.

You may obtain a description of the Fund’s proxy voting policies and procedures, and information regarding how the Fund voted proxies relating to portfolio securities during the most recent 12-month period ended June 30, without charge. Simply visit AB’s website at www.abfunds.com, or go to the Securities and Exchange Commission’s (the “Commission”) website at www.sec.gov, or call AB at (800) 227 4618.

The Fund files its complete schedule of portfolio holdings with the Commission for the first and third quarters of each fiscal year as an exhibit to its reports on Form N-PORT. The Fund’s Form N-PORT reports are available on the Commission’s website at www.sec.gov. AB publishes full portfolio holdings for the Fund monthly at www.abfunds.com.

AllianceBernstein Investments, Inc. (ABI) is the distributor of the AB family of mutual funds. ABI is a member of FINRA and is an affiliate of AllianceBernstein L.P., the Adviser of the funds.

The [A/B] logo is a registered service mark of AllianceBernstein and AllianceBernstein^® is a registered service mark used by permission of the owner, AllianceBernstein L.P.

FROM THE PRESIDENT

Dear Shareholder,

We’re pleased to provide this report for the AB Bond Inflation Strategy (the “Fund”). Please review the discussion of Fund performance, the market conditions during the reporting period and the Fund’s investment strategy.

At AB, we’re striving to help our clients achieve better outcomes by:

⁺  Fostering diverse perspectives that give us a distinctive approach to navigating global capital markets

⁺  Applying differentiated investment insights through a connected global research network

⁺  Embracing innovation to design better ways to invest and leading-edge mutual-fund solutions

Whether you’re an individual investor or a multibillion-dollar institution, we’re putting our knowledge and experience to work for you every day.

For more information about AB’s comprehensive range of products and shareholder resources, please log on to www.abfunds.com.

Thank you for your investment in AB mutual funds—and for placing your trust in our firm.

Sincerely,

Onur Erzan

President and Chief Executive Officer, AB Mutual Funds

abfunds.com AB BOND INFLATION STRATEGY    ^|    1

ANNUAL REPORT

December 4, 2023

This report provides management’s discussion of fund performance for the AB Bond Inflation Strategy for the annual reporting period ended October 31, 2023.

The Fund’s investment objective is to maximize real return without assuming what the Adviser considers to be undue risk.

NAV RETURNS AS OF OCTOBER 31, 2023 (unaudited)

	6 Months		12 Months
AB BOND INFLATION STRATEGY
Class 1 Shares1		-2.45%		1.84%
Class 2 Shares1		-2.49%		1.94%
Class A Shares		-2.56%		1.70%
Class C Shares		-2.93%		0.85%
Advisor Class Shares2		-2.43%		1.93%
Class R Shares2		-2.67%		1.41%
Class K Shares2		-2.65%		1.58%
Class I Shares2		-2.46%		1.88%
Class Z Shares2		-2.49%		1.83%
Bloomberg 1-10 Year TIPS Index		-2.72%		0.88%

1 Class 1 shares are only available to Bernstein Global Wealth Management private client accounts. Class 2 shares are only available to large Bernstein Global Wealth Management private client accounts and the Adviser’s institutional clients or through other limited arrangements.

2 Please note that these share classes are for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or investment advisory clients of, and certain other persons associated with, the Adviser and its affiliates or the Fund.

INVESTMENT RESULTS

The table above shows the Fund’s performance compared with its benchmark, the Bloomberg 1-10 Year Treasury Inflation-Protected Securities (“TIPS”) Index, for the six- and 12-month periods ended October 31, 2023.

During both periods, all share classes except Class C outperformed the benchmark, before sales charges. In the 12-month period, sector allocation was the largest contributor, relative to the benchmark, from allocations to investment-grade corporate bonds, agency risk-sharing transactions, collateralized loan obligations and asset-backed securities that contributed more to performance than losses from allocations to Consumer Price Index (“CPI”) swaps and interest-rate swaps. Yield-curve positioning on the

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two- and 10-year parts of the yield curve also contributed. Overall positioning in US TIPS detracted, as positioning in six-month TIPS contributed more than losses from positioning in two- and 10-year TIPS. Currency decisions in the British pound and Japanese yen were minor detractors.

Over the six-month period, sector allocation added the most to relative performance, mostly from allocations to investment-grade and high-yield corporate bonds, agency risk-sharing transactions and asset-backed securities that added more to relative performance than losses from allocations to US Treasury futures and interest-rate swaps. Yield-curve positioning also contributed, from positioning on the 10-year part of the yield curve that outweighed a loss from yield-curve positioning on the five-year part of the curve. Overall positioning in US TIPS detracted from results. Currency decisions in the British pound were a minor detractor to performance during the period.

The Fund’s heightened turnover rate of 125% was a result of the Fund shifting into more attractive government-related bonds. However, the Fund incurred lower turnover rate in non-government securities, which generally have higher transaction cost than government-related transactions.

During both periods, the Fund used currency forwards to hedge currency risk and actively manage currency positions. Treasury futures and interest rate swaps were used to manage duration, country exposure and yield-curve positioning. CPI swaps were used to hedge inflation and for investment purposes. Credit default swaps were used in the corporate and commercial mortgage-backed securities sectors for hedging and investment purposes.

MARKET REVIEW AND INVESTMENT STRATEGY

During the 12-month period ended October 2023, fixed-income government bond market yields were extremely volatile in all major developed markets, and developed-market government bond returns diverged based on individual country growth and inflation expectations. Most central banks raised interest rates significantly to combat inflation and then paused further interest-rate hikes. Government bond returns in aggregate were positive, as returns rose in Italy, Japan and Spain, and fell in the UK, Australia, Germany, the US and Canada. Overall, developed-market investment-grade corporate bonds significantly outperformed government bonds, including in the US and eurozone. High-yield corporate bonds advanced and materially outperformed government bonds—especially in the eurozone and US. Emerging-market local-currency sovereign bonds led risk asset returns, as the US dollar was mixed against all currencies. Emerging-market hard-currency sovereign and corporate bonds had strong relative positive returns, particularly among high-yield sovereigns and corporates.

abfunds.com AB BOND INFLATION STRATEGY    ^|    3

INVESTMENT POLICIES

The Fund seeks real return. Real return is the rate of return after adjusting for inflation. The Fund pursues its objective by investing principally in inflation-indexed securities (such as TIPS or inflation-indexed securities from issuers other than the US Treasury) or by gaining inflation protection through derivatives transactions, such as inflation (CPI) swaps or total return swaps linked to TIPS. In deciding whether to purchase inflation-indexed securities or use inflation-linked derivatives transactions, the Adviser considers the relative costs and efficiency of each method. In addition, in seeking to maximize real return, the Fund may also invest in other fixed-income investments, such as US and non-US government securities, corporate fixed-income securities and mortgage-related securities, as well as derivatives linked to such securities.

Under normal circumstances, the Fund invests at least 80% of its net assets in fixed-income securities. While the Fund expects to invest principally in investment-grade securities, it may invest up to 15% of its total assets in fixed-income securities rated BB or B or the equivalent by at least one nationally recognized statistical rating organization (or deemed by the Adviser to be of comparable credit quality), which are not investment-grade (“junk bonds”).

Inflation-indexed securities are fixed-income securities structured to provide protection against inflation. Their principal value and/or the interest paid on them are adjusted to reflect official inflation measures. The inflation measure for TIPS is the CPI for Urban Consumers. The Fund may also invest in other inflation-indexed securities, issued by both US and non-US issuers, and in derivative instruments linked to these securities.

The Fund may invest in derivatives, such as options, futures contracts, forwards or swaps. The Fund intends to use leverage for investment purposes. To do this, the Fund expects to enter into (i) reverse repurchase agreement transactions and use the cash made available from these transactions to make additional investments in fixed-income securities in accordance with the Fund’s investment policies and (ii) total return swaps. In determining when and to what extent to employ leverage or enter into derivatives transactions, the Adviser considers factors such as the relative risks and returns expected of potential investments and the costs of such transactions. The Adviser considers the impact of reverse repurchase agreements, swaps and other derivatives in making its assessments of the Fund’s risks. The resulting exposures to markets, sectors, issuers or specific securities will be continuously monitored by the Adviser.

(continued on next page)

4    ^|    AB BOND INFLATION  STRATEGY abfunds.com

The Adviser selects securities for purchase or sale based on its assessment of the securities’ risk and return characteristics as well as the securities’ impact on the overall risk and return characteristics of the Fund. In making this assessment, the Adviser takes into account various factors, including the credit quality and sensitivity to interest rates of the securities under consideration and of the Fund’s other holdings.

The Fund may also invest in loan participations and assignments; structured securities; mortgage-backed and other asset-backed securities; variable-, floating- and inverse-floating-rate instruments; and preferred stock, and may use other investment techniques. The Fund may invest in fixed-income securities of any maturity and duration. If the rating of a fixed-income security falls below investment-grade, the Fund will not be obligated to sell the security and may continue to hold it if, in the Adviser’s opinion, the investment is appropriate under the circumstances.

abfunds.com AB BOND INFLATION STRATEGY    ^|    5

DISCLOSURES AND RISKS

Benchmark Disclosure

The Bloomberg 1-10 Year TIPS Index is unmanaged and does not reflect fees and expenses associated with the active management of a mutual fund portfolio. The Bloomberg 1-10 Year TIPS Index represents the performance of inflation-protected securities issued by the US Treasury. An investor cannot invest directly in an index, and its results are not indicative of the performance for any specific investment, including the Fund.

A Word About Risk

Market Risk: The value of the Fund’s assets will fluctuate as the bond market fluctuates. The value of the Fund’s investments may decline, sometimes rapidly and unpredictably, simply because of economic changes or other events, including public health crises (including the occurrence of a contagious disease or illness) and regional and global conflicts, that affect large portions of the market.

Credit Risk: An issuer or guarantor of a fixed-income security, or the counterparty to a derivatives or other contract, may be unable or unwilling to make timely payments of interest or principal, or to otherwise honor its obligations. The issuer or guarantor may default, causing a loss of the full principal amount of a security and accrued interest. The degree of risk for a particular security may be reflected in its credit rating. There is the possibility that the credit rating of a fixed-income security may be downgraded after purchase, which may adversely affect the value of the security. Investments in fixed-income securities with lower ratings tend to have a higher probability that an issuer will default or fail to meet its payment obligations.

Interest-Rate Risk: Changes in interest rates will affect the value of investments in fixed-income securities. When interest rates rise, the value of existing investments in fixed-income securities tends to fall and this decrease in value may not be offset by higher income from new investments. Interest-rate risk is generally greater for fixed-income securities with longer maturities or durations. The Fund may be subject to a greater risk of rising interest rates than would normally be the case due to the recent end of a period of historically low rates and the effect of potential central bank monetary policy, and government fiscal policy, initiatives and resulting market reactions to those initiatives.

Duration Risk: Duration is a measure that relates the expected price volatility of a fixed-income security to changes in interest rates. The duration of a fixed-income security may be shorter than or equal to full maturity of a fixed-income security. Fixed-income securities with longer durations have more risk and will decrease in price as interest rates rise.

6    ^|    AB BOND INFLATION  STRATEGY abfunds.com

DISCLOSURES AND RISKS (continued)

Inflation Risk: This is the risk that the value of assets or income from investments will be less in the future as inflation decreases the value of money. As inflation increases, the value of the Fund’s assets can decline as can the value of the Fund’s distributions. This risk is significantly greater for fixed-income securities with longer maturities. Although the Fund invests principally in inflation-indexed securities, the value of its securities may be vulnerable to changes in expectations of inflation or interest rates.

Derivatives Risk: Derivatives may be difficult to price or unwind and leveraged so that small changes may produce disproportionate losses for the Fund. A short position in a derivative instrument involves the risk of a theoretically unlimited increase in the value of the underlying asset, which could cause the Fund to suffer a potentially unlimited loss. Derivatives, especially over-the-counter derivatives, are also subject to counterparty risk, which is the risk that the counterparty (the party on the other side of the transaction) on a derivative transaction will be unable or unwilling to honor its contractual obligations to the Fund.

Foreign (Non-US) Risk: Investments in securities of non-US issuers may involve more risk than those of US issuers. These securities may fluctuate more widely in price and may be more difficult to trade due to adverse market, economic, political, regulatory or other factors.

Currency Risk: Fluctuations in currency exchange rates may negatively affect the value of the Fund’s investments or reduce its returns.

Mortgage-Related and/or Other Asset-Backed Securities Risk: Investments in mortgage-related and other asset-backed securities are subject to certain additional risks. The value of these securities may be particularly sensitive to changes in interest rates. These risks include “extension risk”, which is the risk that, in periods of rising interest rates, issuers may delay the payment of principal, and “prepayment risk”, which is the risk that in periods of falling interest rates, issuers may pay principal sooner than expected, exposing the Fund to a lower rate of return upon reinvestment of principal. Mortgage-backed securities offered by non-governmental issuers and other asset-backed securities may be subject to other risks, such as higher rates of default in the mortgages or assets backing the securities or risks associated with the nature and servicing of mortgages or assets backing the securities.

Leverage Risk: To the extent the Fund uses leveraging techniques, its net asset value (“NAV”) may be more volatile because leverage tends to exaggerate the effect of changes in interest rates and any increase or decrease in the value of the Fund’s investments.

abfunds.com AB BOND INFLATION STRATEGY    ^|    7

DISCLOSURES AND RISKS (continued)

Illiquid Investments Risk: Illiquid investments risk exists when certain investments are or become difficult to purchase or sell. Difficulty in selling such investments may result in sales at disadvantageous prices affecting the value of your investment in the Fund. Causes of illiquid investments risk may include low trading volumes, large positions and heavy redemptions of Fund shares. Illiquid investments risk may be higher in a rising interest-rate environment, when the value and liquidity of fixed-income securities generally go down.

Management Risk: The Fund is subject to management risk because it is an actively managed investment fund. The Adviser will apply its investment techniques and risk analyses in making investment decisions, but there is no guarantee that its techniques will produce the intended results. Some of these techniques may incorporate, or rely upon, quantitative models, but there is no guarantee that these models will generate accurate forecasts, reduce risk or otherwise perform as expected.

These risks are fully discussed in the Fund’s prospectus. As with all investments, you may lose money by investing in the Fund.

An Important Note About Historical Performance

The investment return and principal value of an investment in the Fund will fluctuate, so that shares, when redeemed, may be worth more or less than their original cost. Performance shown in this report represents past performance and does not guarantee future results. Current performance may be lower or higher than the performance information shown. You may obtain performance information current to the most recent month-end by visiting www.abfunds.com. For Class 1 shares, go to www.bernstein.com and click on “Investments”, found in the footer, then “Mutual Fund Information—Mutual Fund Performance at a Glance.”

All fees and expenses related to the operation of the Fund have been deducted. NAV returns do not reflect sales charges; if sales charges were reflected, the Fund’s quoted performance would be lower. SEC returns reflect the applicable sales charges for each share class: a 2.25% maximum front-end sales charge for Class A shares and a 1% 1-year contingent deferred sales charge for Class C shares. Class 1 and Class 2 shares do not carry sales charges. Returns for the different share classes will vary due to different expenses associated with each class. Performance assumes reinvestment of distributions and does not account for taxes.

8    ^|    AB BOND INFLATION  STRATEGY abfunds.com

HISTORICAL PERFORMANCE

GROWTH OF A $10,000 INVESTMENT IN THE FUND (unaudited)

10/31/2013 TO 10/31/2023

This chart illustrates the total value of an assumed $10,000 investment in AB Bond Inflation Strategy Class A shares (from 10/31/2013 to 10/31/2023) as compared to the performance of the Fund’s benchmark. The chart reflects the deduction of the maximum 2.25% sales charge from the initial $10,000 investment in the Fund and assumes the reinvestment of dividends and capital gains distributions.

abfunds.com AB BOND INFLATION STRATEGY    ^|    9

HISTORICAL PERFORMANCE (continued)

AVERAGE ANNUAL RETURNS AS OF OCTOBER 31, 2023 (unaudited)

	NAV Returns		SEC Returns (reflects applicable sales charges)		SEC Yields1
CLASS 1 SHARES2						2.87%
1 Year		1.84%		1.84%
5 Years		2.97%		2.97%
10 Years		2.10%		2.10%
CLASS 2 SHARES2						2.97%
1 Year		1.94%		1.94%
5 Years		3.05%		3.05%
10 Years		2.19%		2.19%
CLASS A SHARES						2.74%
1 Year		1.70%		-0.62%
5 Years		2.80%		2.34%
10 Years		1.93%		1.69%
CLASS C SHARES						2.05%
1 Year		0.85%		-0.12%
5 Years		2.04%		2.04%
10 Years3		1.18%		1.18%
ADVISOR CLASS SHARES4						3.05%
1 Year		1.93%		1.93%
5 Years		3.06%		3.06%
10 Years		2.20%		2.20%
CLASS R SHARES4						2.23%
1 Year		1.41%		1.41%
5 Years		2.55%		2.55%
10 Years		1.70%		1.70%
CLASS K SHARES4						1.46%
1 Year		1.58%		1.58%
5 Years		2.77%		2.77%
10 Years		1.93%		1.93%
CLASS I SHARES4						2.75%
1 Year		1.88%		1.88%
5 Years		3.05%		3.05%
10 Years		2.20%		2.20%
CLASS Z SHARES4						2.96%
1 Year		1.83%		1.83%
5 Years		3.05%		3.05%
Since Inception5		2.42%		2.42%

(footnotes continued on next page)

10    ^|    AB BOND INFLATION  STRATEGY abfunds.com

HISTORICAL PERFORMANCE (continued)

The Fund’s prospectus fee table shows the Fund’s total annual operating expense ratios as 0.78%, 0.67%, 1.04%, 1.78%, 0.78%, 1.43%, 1.10%, 0.78% and 0.68% for Class 1, Class 2, Class A, Class C, Advisor Class, Class R, Class K, Class I and Class Z shares, respectively, gross of any fee waivers or expense reimbursements. Contractual fee waivers and/or expense reimbursements limited the Fund’s total annual operating expenses (excluding extraordinary expenses, interest expense and acquired fund fees and expenses other than the advisory fees of any AB mutual funds in which the Fund may invest) to 0.60%, 0.50%, 0.75%, 1.50%, 0.50%, 1.00%, 0.75%, 0.50% and 0.50% for Class 1, Class 2, Class A, Class C, Advisor Class, Class R, Class K, Class I and Class Z shares, respectively. These waivers/reimbursements may not be terminated before January 31, 2024, and may be extended by the Adviser for additional one-year terms. Absent reimbursements or waivers, performance would have been lower. The Financial Highlights section of this report sets forth expense ratio data for the current reporting period; the expense ratios shown above may differ from the expense ratios in the Financial Highlights section since they are based on different time periods.

1 SEC yields are calculated based on SEC guidelines for the 30-day period ended October 31, 2023.

2 Class 1 shares are only available to Bernstein Global Wealth Management private client accounts. Class 2 shares are only available to large Bernstein Global Wealth Management private client accounts and the Adviser’s institutional clients or through other limited arrangements. These share classes do not carry front-end sales charges; therefore, their respective NAV and SEC returns are the same.

3 Assumes conversion of Class C shares into Class A shares after eight years.

4 These share classes are offered at NAV to eligible investors and their SEC returns are the same as their NAV returns. Please note that these share classes are for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or investment advisory clients of, and certain other persons associated with, the Adviser and its affiliates or the Fund.

5 Inception date: 12/11/2014.

abfunds.com AB BOND INFLATION STRATEGY    ^|    11

HISTORICAL PERFORMANCE (continued)

SEC AVERAGE ANNUAL RETURNS

AS OF THE MOST RECENT CALENDAR QUARTER-END

SEPTEMBER 30, 2023 (unaudited)

	SEC Returns (reflects applicable sales charges)
CLASS 1 SHARES1
1 Year		3.07%
5 Years		2.78%
10 Years		2.18%
CLASS 2 SHARES1
1 Year		3.16%
5 Years		2.89%
10 Years		2.29%
CLASS A SHARES
1 Year		0.64%
5 Years		2.18%
10 Years		1.79%
CLASS C SHARES
1 Year		1.07%
5 Years		1.84%
10 Years2		1.26%
ADVISOR CLASS SHARES3
1 Year		3.12%
5 Years		2.87%
10 Years		2.28%
CLASS R SHARES3
1 Year		2.63%
5 Years		2.37%
10 Years		1.78%
CLASS K SHARES3
1 Year		2.89%
5 Years		2.61%
10 Years		2.02%
CLASS I SHARES3
1 Year		3.19%
5 Years		2.89%
10 Years		2.29%
CLASS Z SHARES3
1 Year		3.14%
5 Years		2.89%
Since Inception4		2.48%

(footnotes continued on next page)

12    ^|    AB BOND INFLATION  STRATEGY abfunds.com

HISTORICAL PERFORMANCE (continued)

1 Class 1 shares are only available to Bernstein Global Wealth Management private client accounts. Class 2 shares are only available to large Bernstein Global Wealth Management private client accounts and the Adviser’s institutional clients or through other limited arrangements.

2 Assumes conversion of Class C shares into Class A shares after eight years.

3 Please note that these share classes are for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or investment advisory clients of, and certain other persons associated with, the Adviser and its affiliates or the Fund.

4 Inception date: 12/11/2014.

abfunds.com AB BOND INFLATION STRATEGY    ^|    13

EXPENSE EXAMPLE

(unaudited)

As a shareholder of a mutual fund, you may incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments, contingent deferred sales charges on redemptions and (2) ongoing costs, including management fees; distribution (12b-1) fees; and other fund expenses. This example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds.

The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period as indicated below.

Actual Expenses

The table below provides information about actual account values and actual expenses. You may use the information in this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the first line under the heading entitled “Expenses Paid During Period” to estimate the expenses you paid on your account during this period.

Hypothetical Example for Comparison Purposes

The table below provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed annual rate of return of 5% before expenses, which is not the Fund’s actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and other funds by comparing this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of other funds.

Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as sales charges (loads), or contingent deferred sales charges on redemptions. Therefore, the hypothetical example is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.

14    ^|    AB BOND INFLATION  STRATEGY abfunds.com

EXPENSE EXAMPLE (continued)

	Beginning Account Value May 1, 2023		Ending Account Value October 31, 2023		Expenses Paid During Period*		Annualized Expense Ratio*
Class A
Actual	$	1,000	$	974.40	$	3.98		0.80	%
Hypothetical**	$	1,000	$	1,021.17	$	4.08		0.80	%
Class C
Actual	$	1,000	$	970.70	$	7.70		1.55	%
Hypothetical**	$	1,000	$	1,017.39	$	7.88		1.55	%
Advisor Class
Actual	$	1,000	$	975.70	$	2.74		0.55	%
Hypothetical**	$	1,000	$	1,022.43	$	2.80		0.55	%
Class R
Actual	$	1,000	$	973.30	$	5.17		1.04	%
Hypothetical**	$	1,000	$	1,019.96	$	5.30		1.04	%
Class K
Actual	$	1,000	$	973.50	$	3.93		0.79	%
Hypothetical**	$	1,000	$	1,021.22	$	4.02		0.79	%
Class I
Actual	$	1,000	$	975.40	$	2.69		0.54	%
Hypothetical**	$	1,000	$	1,022.48	$	2.75		0.54	%
Class 1
Actual	$	1,000	$	975.50	$	3.19		0.64	%
Hypothetical**	$	1,000	$	1,021.98	$	3.26		0.64	%
Class 2
Actual	$	1,000	$	975.10	$	2.69		0.54	%
Hypothetical**	$	1,000	$	1,022.48	$	2.75		0.54	%
Class Z
Actual	$	1,000	$	975.10	$	2.69		0.54	%
Hypothetical**	$	1,000	$	1,022.48	$	2.75		0.54	%

* Expenses are equal to each classes’ annualized expense ratios, multiplied by the average account value over the period, multiplied by 184/365 (to reflect the one-half year period).

** Assumes 5% annual return before expenses.

abfunds.com AB BOND INFLATION STRATEGY    ^|    15

PORTFOLIO SUMMARY

October 31, 2023 (unaudited)

PORTFOLIO STATISTICS

Net Assets ($mil): $684.6

Total Investments ($mil): $670.3

INFLATION PROTECTION BREAKDOWN¹

U.S. Inflation-Protected Exposure	72.6	%
Non-Inflation Exposure	27.4
	100.0	%

SECTOR BREAKDOWN OF NET PORTFOLIO ASSETS, EXCLUDING TREASURY SECURITIES, TIPS, INTEREST RATE DERIVATIVES AND NET CASH EQUIVALENTS¹

Corporates–Investment Grade	8.5%
Asset-Backed Securities	6.0%
Collateralized Mortgage Obligations	5.7%
Collateralized Loan Obligations	2.7%
Corporates–Non-Investment Grade	1.3%
Commercial Mortgage-Backed Securities	1.3%
Mortgage Pass-Throughs	1.1%
Quasi-Sovereigns	0.3%
Emerging Markets–Corporate Bonds	0.3%
Local Governments–US Municipal Bonds	0.1%
Emerging Markets–Sovereigns	0.1%
Common Stocks	0.1%

SECTOR BREAKDOWN OF TOTAL PORTFOLIO INVESTMENTS, EXCLUDING DERIVATIVES²

Inflation-Linked Securities	71.9%
Corporates–Investment Grade	8.7%
Asset-Backed Securities	6.1%
Collateralized Mortgage Obligations	5.8%
Collateralized Loan Obligations	2.7%
Commercial Mortgage-Backed Securities	1.4%
Corporates–Non-Investment Grade	1.3%
Mortgage Pass-Throughs	1.2%
Quasi-Sovereigns	0.3%
Emerging Markets–Corporate Bonds	0.3%
Local Governments–US Municipal Bonds	0.1%
Emerging Markets–Sovereigns	0.1%
Common Stocks	0.1%

1 The Fund’s sector and inflation protection exposure breakdowns are expressed as an approximate percentage of the Fund’s total net assets (and may vary over time) inclusive of derivative exposure except as noted, based on the Adviser’s internal classification.

2 The Fund’s sector breakdown is expressed, based on the Adviser’s internal classification, as a percentage of total investments and may vary over time. The Fund also enters into derivative transactions (not reflected in the table), which may be used for hedging or investment purposes or to adjust the risk profile or exposures of the Fund (see “Portfolio of Investments” section of the report for additional details). Derivative transactions may result in a form of leverage for the Fund. The Fund uses leverage for investment purposes by entering into reverse repurchase agreements. As a result, the Fund’s total investments will generally exceed its net assets.

16    ^|    AB BOND INFLATION  STRATEGY abfunds.com

PORTFOLIO OF INVESTMENTS

October 31, 2023

		Principal Amount (000)		U.S. $ Value
INFLATION-LINKED SECURITIES – 70.4%
United States – 70.4%
U.S. Treasury Inflation Index 0.125%, 07/15/2024 (TIPS)	U.S.$		31,715	$	30,986,704
0.125%, 07/15/2026 (TIPS)			108,353		101,327,136
0.125%, 07/15/2030 (TIPS)(a)(b)			281,926		242,015,950
0.125%, 07/15/2031 (TIPS)			19,391		16,263,913
0.625%, 07/15/2032 (TIPS)			3,052		2,619,161
1.375%, 07/15/2033 (TIPS)			15,754		14,286,639
2.50%, 01/15/2029 (TIPS)(b)			74,767		74,708,949
Total Inflation-Linked Securities (cost $504,627,527)					482,208,452
CORPORATES - INVESTMENT GRADE – 8.5%
Financial Institutions – 4.3%
Banking – 3.4%
AIB Group PLC 4.263%, 04/10/2025(c)			746		736,406
Ally Financial, Inc. 6.992%, 06/13/2029			575		549,372
Banco de Credito del Peru S.A. 3.125%, 07/01/2030(c)			958		875,373
Banco Santander SA 6.921%, 08/08/2033			800		743,760
BNP Paribas SA 4.625%, 02/25/2031(c)(d)			489		338,046
8.50%, 08/14/2028(c)(d)			1,036		993,379
Capital One Financial Corp. 6.377%, 06/08/2034			1,080		985,241
Citigroup, Inc. 7.625%, 11/15/2028(d)			84		81,032
Series W 4.00%, 12/10/2025(d)			504		431,817
Series Y 4.15%, 11/15/2026(d)			480		373,205
Credit Agricole SA 6.316%, 10/03/2029(c)			373		366,812
Deutsche Bank AG/New York NY 2.129%, 11/24/2026			296		267,033
3.961%, 11/26/2025			405		390,618
7.146%, 07/13/2027			233		232,672
Discover Bank 5.974%, 08/09/2028			327		295,611

abfunds.com AB BOND INFLATION STRATEGY    ^|    17

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Goldman Sachs Group, Inc. (The) Series P 8.501% (SOFR + 3.14%), 12/01/2023(d)(e)	U.S.$		244	$	243,012
Series V 4.125%, 11/10/2026(d)			775		613,785
HSBC Holdings PLC 8.113%, 11/03/2033			1,738		1,800,255
ING Groep NV 6.083%, 09/11/2027			659		652,924
JPMorgan Chase & Co. 6.07%, 10/22/2027			1,079		1,077,597
Lloyds Banking Group PLC 8.00%, 09/27/2029(d)			1,011		887,577
Morgan Stanley 0.406%, 10/29/2027	EUR		1,030		967,868
NatWest Group PLC 4.269%, 03/22/2025	U.S.$		648		641,527
PNC Financial Services Group, Inc. (The) 6.875%, 10/20/2034			376		375,774
Series R 8.711% (SOFR + 3.30%), 12/01/2023(d)(e)			352		348,455
Santander Holdings USA, Inc. 2.49%, 01/06/2028			497		427,987
6.499%, 03/09/2029			458		442,950
6.565%, 06/12/2029			37		35,695
Standard Chartered PLC 3.971%, 03/30/2026(c)			657		631,995
6.00%, 07/26/2025(c)(d)			1,267		1,195,655
7.162% (LIBOR 3 Month + 1.51%), 01/30/2027(c)(d)(e)			400		366,048
Svenska Handelsbanken AB 4.75%, 03/01/2031(c)(d)			1,400		1,048,824
UBS Group AG 4.194%, 04/01/2031(c)			614		524,706
6.373%, 07/15/2026(c)			1,025		1,018,532
UniCredit SpA 1.982%, 06/03/2027(c)			204		179,863
2.569%, 09/22/2026(c)			1,071		980,854
3.127%, 06/03/2032(c)			368		275,558
US Bancorp Series J 5.30%, 04/15/2027(d)			427		335,870
Wells Fargo & Co. 7.625%, 09/15/2028(d)			493		495,179
Series BB 3.90%, 03/15/2026(d)			418		362,812
					23,591,679

18    ^|    AB BOND INFLATION  STRATEGY abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Brokerage – 0.2%
Charles Schwab Corp. (The) Series G 5.375%, 06/01/2025(d)	U.S.$		253	$	241,372
Series I 4.00%, 06/01/2026(d)			1,366		1,085,328
					1,326,700
Finance – 0.5%
Aircastle Ltd. 4.125%, 05/01/2024			232		228,822
Aviation Capital Group LLC 1.95%, 09/20/2026(c)			346		300,743
4.125%, 08/01/2025(c)			7		6,665
4.375%, 01/30/2024(c)			194		192,704
4.875%, 10/01/2025(c)			246		236,590
5.50%, 12/15/2024(c)			425		417,745
6.375%, 07/15/2030(c)			245		232,096
Synchrony Financial 2.875%, 10/28/2031			791		537,049
3.95%, 12/01/2027			429		367,722
4.50%, 07/23/2025			244		229,104
4.875%, 06/13/2025			414		392,373
					3,141,613
REITs – 0.2%
GLP Capital LP/GLP Financing II, Inc. 3.25%, 01/15/2032			949		717,966
4.00%, 01/15/2031			414		336,226
Vornado Realty LP 3.40%, 06/01/2031			625		432,800
					1,486,992
					29,546,984
Industrial – 3.8%
Basic – 0.1%
Freeport Indonesia PT 4.763%, 04/14/2027(c)			415		393,138
Glencore Funding LLC 6.50%, 10/06/2033(c)			543		531,070
					924,208
Communications - Media – 0.3%
Cox Communications, Inc. 5.70%, 06/15/2033(c)			281		264,615
Interpublic Group of Cos., Inc. (The) 5.375%, 06/15/2033			547		502,119
Prosus NV 3.257%, 01/19/2027(c)			593		523,441
4.027%, 08/03/2050(c)			487		265,415

abfunds.com AB BOND INFLATION STRATEGY    ^|    19

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Tencent Holdings Ltd. 3.24%, 06/03/2050(c)	U.S.$		655	$	357,505
					1,913,095
Communications - Telecommunications – 0.2%
AT&T, Inc. 4.50%, 05/15/2035			157		130,768
T-Mobile USA, Inc. 5.05%, 07/15/2033			764		690,244
Verizon Communications, Inc. 4.50%, 08/10/2033			809		701,055
					1,522,067
Consumer Cyclical - Automotive – 0.5%
Ford Motor Credit Co., LLC 7.35%, 11/04/2027			501		507,032
General Motors Financial Co., Inc. 5.80%, 06/23/2028			723		700,320
Harley-Davidson Financial Services, Inc. 3.05%, 02/14/2027(c)			1,942		1,715,349
Hyundai Capital America 6.10%, 09/21/2028(c)			486		477,728
					3,400,429
Consumer Cyclical - Other – 0.0%
Marriott International, Inc./MD Series EE 5.75%, 05/01/2025			92		91,688
Consumer Non-Cyclical – 0.5%
BAT Capital Corp. 6.421%, 08/02/2033			268		252,558
Cargill, Inc. 5.125%, 10/11/2032(c)			632		595,717
JBS USA LUX SA/JBS USA Food Co./JBS Luxembourg SARL 6.75%, 03/15/2034(c)			627		586,590
Ochsner LSU Health System of North Louisiana Series 2021 2.51%, 05/15/2031			1,190		747,320
Pilgrim’s Pride Corp. 6.875%, 05/15/2034			731		692,761
Takeda Pharmaceutical Co., Ltd. 4.40%, 11/26/2023			384		383,547
					3,258,493
Energy – 0.8%
Continental Resources, Inc./OK 2.875%, 04/01/2032(c)			1,803		1,334,094
5.75%, 01/15/2031(c)			796		738,457

20    ^|    AB BOND INFLATION  STRATEGY abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Ecopetrol SA 8.625%, 01/19/2029	U.S.$		1,134	$	1,128,897
Oleoducto Central SA 4.00%, 07/14/2027(c)			229		200,556
ONEOK Partners LP 6.125%, 02/01/2041			105		95,200
ONEOK, Inc. 6.05%, 09/01/2033			458		439,185
Var Energi ASA 7.50%, 01/15/2028(c)			867		883,716
8.00%, 11/15/2032(c)			680		699,469
					5,519,574
Other Industrial – 0.1%
LKQ Corp. 6.25%, 06/15/2033			312		291,889
Technology – 1.1%
Honeywell International, Inc. 4.125%, 11/02/2034	EUR		1,853		1,908,820
Kyndryl Holdings, Inc. 2.05%, 10/15/2026	U.S.$		1,428		1,244,116
Lenovo Group Ltd. 5.831%, 01/27/2028(c)			1,193		1,159,477
6.536%, 07/27/2032(c)			1,139		1,103,042
NXP BV/NXP Funding LLC 5.55%, 12/01/2028			711		687,345
SK Hynix, Inc. 2.375%, 01/19/2031(c)			382		281,247
TSMC Arizona Corp. 3.875%, 04/22/2027			1,009		953,919
					7,337,966
Transportation - Railroads – 0.1%
Lima Metro Line 2 Finance Ltd. 4.35%, 04/05/2036(c)			211		178,604
5.875%, 07/05/2034(c)			267		252,990
					431,594
Transportation - Services – 0.1%
ENA Master Trust 4.00%, 05/19/2048(c)			303		207,279
ERAC USA Finance LLC 4.90%, 05/01/2033(c)			635		577,399
					784,678
					25,475,681

abfunds.com AB BOND INFLATION STRATEGY    ^|    21

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Utility – 0.4%
Electric – 0.4%
AES Panama Generation Holdings SRL 4.375%, 05/31/2030(c)	U.S.$		355	$	287,668
Alexander Funding Trust II 7.467%, 07/31/2028(c)			656		650,011
Duke Energy Carolinas NC Storm Funding LLC Series A-2 2.617%, 07/01/2041			1,183		780,638
Electricite de France SA 9.125%, 03/15/2033(c)(d)			415		424,595
Engie Energia Chile SA 3.40%, 01/28/2030(c)			751		599,808
NRG Energy, Inc. 4.45%, 06/15/2029(c)			148		127,848
					2,870,568
Total Corporates - Investment Grade (cost $63,888,162)					57,893,233
ASSET-BACKED SECURITIES – 6.0%
Autos - Fixed Rate – 3.0%
ACM Auto Trust Series 2023-1A, Class A 6.61%, 01/22/2030(c)			611		610,496
American Credit Acceptance Receivables Trust Series 2022-3, Class A 4.12%, 02/13/2026(c)			20		20,240
Avis Budget Rental Car Funding AESOP LLC Series 2023-3A, Class A 5.44%, 02/22/2028(c)			1,294		1,260,127
Carvana Auto Receivables Trust Series 2021-N3, Class C 1.02%, 06/12/2028			187		172,324
Series 2021-N4, Class D 2.30%, 09/11/2028			916		872,964
Series 2021-P4, Class D 2.61%, 09/11/2028			1,206		1,018,069
CPS Auto Receivables Trust Series 2021-C, Class D 1.69%, 06/15/2027(c)			1,080		1,021,912
Series 2022-A, Class C 2.17%, 04/16/2029(c)			1,765		1,689,464
FHF Trust Series 2021-2A, Class A 0.83%, 12/15/2026(c)			243		233,564

22    ^|    AB BOND INFLATION  STRATEGY abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Ford Credit Auto Owner Trust Series 2021-1, Class D 2.31%, 10/17/2033(c)	U.S.$		1,000	$	876,952
Hertz Vehicle Financing III LLC Series 2022-1A, Class C 2.63%, 06/25/2026(c)			1,660		1,550,941
LAD Auto Receivables Trust Series 2021-1A, Class A 1.30%, 08/17/2026(c)			324		318,365
Series 2022-1A, Class A 5.21%, 06/15/2027(c)			1,152		1,140,498
Lendbuzz Securitization Trust Series 2023-2A, Class A2 7.09%, 10/16/2028(c)			1,179		1,173,539
Octane Receivables Trust Series 2021-2A, Class B 2.02%, 09/20/2028(c)			1,508		1,396,908
Prestige Auto Receivables Trust Series 2022-1A, Class A2 5.90%, 07/15/2025(c)			563		562,155
Research-Driven Pagaya Motor Asset Trust VII Series 2022-3A, Class A 5.38%, 11/25/2030(c)			1,461		1,439,240
Santander Bank Auto Credit-Linked Notes Series 2022-A, Class B 5.281%, 05/15/2032(c)			1,127		1,112,871
Series 2022-B, Class B 5.721%, 08/16/2032(c)			1,044		1,037,521
Santander Bank NA – SBCLN Series 2021-1A, Class B 1.833%, 12/15/2031(c)			350		340,740
United Auto Credit Securitization Trust Series 2022-2, Class A 4.39%, 04/10/2025(c)			184		184,171
Series 2023-1, Class A 5.57%, 07/10/2025(c)			514		513,389
Westlake Automobile Receivables Trust Series 2023-2A, Class A2A 5.87%, 07/15/2026(c)			1,889		1,885,933
					20,432,383
Other ABS - Fixed Rate – 2.6%
AB Issuer LLC Series 2021-1, Class A2 3.734%, 07/30/2051(c)			1,442		1,188,660
Affirm Asset Securitization Trust Series 2021-Z1, Class A 1.07%, 08/15/2025(c)			79		77,498

abfunds.com AB BOND INFLATION STRATEGY    ^|    23

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Series 2021-Z2, Class A 1.17%, 11/16/2026(c)	U.S.$		159	$	153,538
Series 2022-X1, Class A 1.75%, 02/15/2027(c)			213		209,206
Amur Equipment Finance Receivables XI LLC Series 2022-2A, Class A2 5.30%, 06/21/2028(c)			738		731,182
Atalaya Equipment Leasing Trust Series 2021-1A, Class B 2.08%, 02/15/2027(c)			482		460,898
BHG Securitization Trust Series 2022-A, Class D 3.56%, 02/20/2035(c)			1,350		1,057,939
Cajun Global LLC Series 2021-1, Class A2 3.931%, 11/20/2051(c)			452		393,880
College Ave Student Loans LLC Series 2021-C, Class B 2.72%, 07/26/2055(c)			603		516,327
Dext ABS LLC Series 2021-1, Class B 1.76%, 02/15/2028(c)			197		182,105
Series 2023-1, Class A2 5.99%, 03/15/2032(c)			2,148		2,114,679
Diamond Issuer Series 2021-1A, Class A 2.305%, 11/20/2051(c)			2,152		1,827,042
Domino’s Pizza Master Issuer LLC Series 2021-1A, Class A2I 2.662%, 04/25/2051(c)			761		635,851
GCI Funding I LLC Series 2021-1, Class A 2.38%, 06/18/2046(c)			456		383,758
Hardee’s Funding LLC Series 2018-1A, Class A23 5.71%, 06/20/2048(c)			492		435,457
Series 2020-1A, Class A2 3.981%, 12/20/2050(c)			325		272,436
MVW LLC Series 2021-2A, Class B 1.83%, 05/20/2039(c)			653		586,907
Neighborly Issuer LLC Series 2021-1A, Class A2 3.584%, 04/30/2051(c)			512		422,575
Series 2022-1A, Class A2 3.695%, 01/30/2052(c)			1,636		1,317,303
Series 2023-1A, Class A2 7.308%, 01/30/2053(c)			1,950		1,871,084

24    ^|    AB BOND INFLATION  STRATEGY abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Nelnet Student Loan Trust Series 2021-CA, Class B 2.53%, 04/20/2062(c)	U.S.$		758	$	576,087
Series 2021-DA, Class B 2.90%, 04/20/2062(c)			793		622,949
NMEF Funding LLC Series 2022-B, Class A2 6.07%, 06/15/2029(c)			806		801,734
Upstart Securitization Trust Series 2021-3, Class B 1.66%, 07/20/2031(c)			1,014		994,971
					17,834,066
Credit Cards - Fixed Rate – 0.4%
Brex Commercial Charge Card Master Trust Series 2022-1, Class A 4.63%, 07/15/2025(c)			2,894		2,851,227
Total Asset-Backed Securities (cost $44,340,458)					41,117,676
COLLATERALIZED MORTGAGE OBLIGATIONS – 5.7%
Risk Share Floating Rate – 5.5%
Bellemeade Re Ltd. Series 2019-3A, Class M1C 7.389% (LIBOR 1 Month + 1.95%), 07/25/2029(c)(e)			264		265,085
Series 2021-1A, Class M1C 8.271% (SOFR + 2.95%), 03/25/2031(c)(e)			728		739,911
Series 2021-2A, Class M1B 6.821% (SOFR + 1.50%), 06/25/2031(c)(e)			1,425		1,420,533
Series 2021-3A, Class A2 6.321% (SOFR + 1.00%), 09/25/2031(c)(e)			1,699		1,682,185
Series 2022-1, Class M1B 7.471% (SOFR + 2.15%), 01/26/2032(c)(e)			1,255		1,253,368
Series 2022-2, Class M1A 9.321% (SOFR + 4.00%), 09/27/2032(c)(e)			2,594		2,659,532
Connecticut Avenue Securities Trust Series 2018-R07, Class 1M2 7.835% (SOFR + 2.51%), 04/25/2031(c)(e)			12		12,475
Series 2019-R07, Class 1M2 7.535% (SOFR + 2.21%), 10/25/2039(c)(e)			15		15,274
Series 2020-R01, Class 1M2 7.485% (SOFR + 2.16%), 01/25/2040(c)(e)			296		299,139
Series 2020-R02, Class 2M2 7.435% (SOFR + 2.11%), 01/25/2040(c)(e)			144		144,390
Series 2022-R01, Class 1M2 7.221% (SOFR + 1.90%), 12/25/2041(c)(e)			2,899		2,855,398

abfunds.com AB BOND INFLATION STRATEGY    ^|    25

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Series 2022-R02, Class 2M1 6.521% (SOFR + 1.20%), 01/25/2042(c)(e)	U.S.$		1,277	$	1,272,636
Series 2022-R03, Class 1M2 8.821% (SOFR + 3.50%), 03/25/2042(c)(e)			2,283		2,371,619
Series 2022-R04, Class 1M2 8.421% (SOFR + 3.10%), 03/25/2042(c)(e)			573		583,443
Series 2023-R02, Class 1M1 7.621% (SOFR + 2.30%), 01/25/2043(c)(e)			978		990,161
Eagle Re Ltd. Series 2021-2, Class M1B 7.371% (SOFR + 2.05%), 04/25/2034(c)(e)			675		674,765
Federal Home Loan Mortgage Corp. Structured Agency Credit Risk Debt Notes Series 2015-HQA2, Class M3 10.235% (SOFR + 4.91%), 05/25/2028(e)			76		79,267
Series 2019-DNA4, Class M2 7.385% (SOFR + 2.06%), 10/25/2049(c)(e)			15		14,538
Series 2020-DNA1, Class M2 7.135% (SOFR + 1.81%), 01/25/2050(c)(e)			114		113,843
Series 2020-DNA5, Class M2 8.121% (SOFR + 2.80%), 10/25/2050(c)(e)			267		270,810
Series 2021-DNA5, Class M2 6.971% (SOFR + 1.65%), 01/25/2034(c)(e)			385		385,386
Series 2021-DNA6, Class M2 6.821% (SOFR + 1.50%), 10/25/2041(c)(e)			2,561		2,522,468
Series 2021-HQA3, Class M1 6.171% (SOFR + 0.85%), 09/25/2041(c)(e)			911		898,363
Series 2021-HQA4, Class M2 7.671% (SOFR + 2.35%), 12/25/2041(c)(e)			1,765		1,710,192
Series 2022-DNA1, Class M1B 7.171% (SOFR + 1.85%), 01/25/2042(c)(e)			1,542		1,519,080
Series 2022-DNA2, Class M1B 7.721% (SOFR + 2.40%), 02/25/2042(c)(e)			2,468		2,472,504
Series 2022-DNA3, Class M1B 8.221% (SOFR + 2.90%), 04/25/2042(c)(e)			1,069		1,088,586
Series 2022-DNA4, Class M1B 8.671% (SOFR + 3.35%), 05/25/2042(c)(e)			2,051		2,117,759
Series 2022-DNA5, Class M1B 9.821% (SOFR + 4.50%), 06/25/2042(c)(e)			3,681		3,919,703
Series 2023-DNA2, Class M1A 7.421% (SOFR + 2.10%), 04/25/2043(c)(e)			935		942,462
Federal National Mortgage Association Connecticut Avenue Securities Series 2015-C04, Class 1M2 11.135% (SOFR + 5.81%), 04/25/2028(e)			333		354,294
Series 2021-R02, Class 2M2 7.321% (SOFR + 2.00%), 11/25/2041(c)(e)			1,221		1,198,548

26    ^|    AB BOND INFLATION  STRATEGY abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
PMT Credit Risk Transfer Trust Series 2019-2R, Class A 9.191% (SOFR + 3.86%), 05/30/2025(c)(e)	U.S.$		460	$	459,589
Series 2019-3R, Class A 9.135% (SOFR + 3.81%), 11/27/2031(c)(e)			40		39,934
Series 2020-1R, Class A 8.785% (SOFR + 3.46%), 02/27/2023(c)(e)(f)(g)			149		147,065
Triangle Re Ltd. Series 2021-3, Class M1A 7.221% (SOFR + 1.90%), 02/25/2034(c)(e)			313		313,195
					37,807,500
Agency Floating Rate – 0.2%
Federal Home Loan Mortgage Corp. REMICs Series 3955, Class SD 1.165% (6.49% – SOFR), 11/15/2041(e)(h)			1,651		118,222
Series 4693, Class SL 0.715% (6.04% – SOFR), 06/15/2047(e)(h)			1,035		81,317
Series 4954, Class SL 0.615% (5.94% – SOFR), 02/25/2050(e)(h)			1,269		93,754
Series 4981, Class HS 0.665% (5.99% – SOFR), 06/25/2050(e)(h)			2,562		189,620
Federal National Mortgage Association REMICs Series 2014-78, Class SE 0.665% (5.99% – SOFR), 12/25/2044(e)(h)			744		55,179
Series 2016-77, Class DS 0.565% (5.89% – SOFR), 10/25/2046(e)(h)			815		58,924
Series 2017-62, Class AS 0.715% (6.04% – SOFR), 08/25/2047(e)(h)			877		73,734
Series 2017-97, Class LS 0.765% (6.09% – SOFR), 12/25/2047(e)(h)			1,258		109,000
Government National Mortgage Association Series 2017-122, Class SA 0.746% (6.09% – SOFR), 08/20/2047(e)(h)			667		59,511
Series 2017-134, Class MS 0.746% (6.09% – SOFR), 09/20/2047(e)(h)			770		68,698
					907,959
Non-Agency Floating Rate – 0.0%
JPMorgan Chase Bank, NA Series 2019-CL1, Class M3 7.539% (SOFR + 2.21%), 04/25/2047(c)(e)			131		129,376
Total Collateralized Mortgage Obligations (cost $38,486,615)					38,844,835

abfunds.com AB BOND INFLATION STRATEGY    ^|    27

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
COLLATERALIZED LOAN OBLIGATIONS – 2.7%
CLO - Floating Rate – 2.7%
AGL CLO 10 Ltd. Series 2021-10A, Class A 6.786% (SOFR + 1.39%), 04/15/2034(c)(e)	U.S.$		250	$	247,276
AGL CLO 16 Ltd. Series 2021-16A, Class D 8.777% (SOFR + 3.36%), 01/20/2035(c)(e)			650		609,333
Balboa Bay Loan Funding Ltd. Series 2020-1A, Class DR 8.824% (SOFR + 3.41%), 01/20/2032(c)(e)			415		397,499
Series 2021-1A, Class A 6.877% (SOFR + 1.46%), 07/20/2034(c)(e)			1,111		1,098,447
Ballyrock CLO 15 Ltd. Series 2021-1A, Class C 8.756% (SOFR + 3.36%), 04/15/2034(c)(e)			1,000		935,560
Ballyrock CLO 16 Ltd. Series 2021-16A, Class C 8.577% (SOFR + 3.16%), 07/20/2034(c)(e)			660		607,621
Crown Point CLO 11 Ltd. Series 2021-11A, Class D 9.264% (SOFR + 3.86%), 01/17/2034(c)(e)			400		380,114
Dryden 78 CLO Ltd. Series 2020-78A, Class C 7.614% (SOFR + 2.21%), 04/17/2033(c)(e)			880		845,644
Series 2020-78A, Class D 8.664% (SOFR + 3.26%), 04/17/2033(c)(e)			460		431,274
Dryden 98 CLO Ltd. Series 2022-98A, Class D 8.516% (SOFR + 3.10%), 04/20/2035(c)(e)			500		459,113
Goldentree Loan Management US CLO 7 Ltd. Series 2020-7A, Class AR 6.747% (SOFR + 1.33%), 04/20/2034(c)(e)			1,077		1,066,170
Magnetite XXVI Ltd. Series 2020-26A, Class A1R 6.76% (SOFR + 1.38%), 07/25/2034(c)(e)			2,348		2,328,270
Neuberger Berman Loan Advisers CLO 42 Ltd. Series 2021-42A, Class D 8.456% (SOFR + 3.06%), 07/16/2035(c)(e)			1,295		1,211,850
Neuberger Berman Loan Advisers CLO 43 Ltd. Series 2021-43A, Class A 6.794% (SOFR + 1.39%), 07/17/2035(c)(e)			1,354		1,345,938
New Mountain CLO 3 Ltd. Series CLO-3A, Class A 6.857% (SOFR + 1.44%), 10/20/2034(c)(e)			500		495,559

28    ^|    AB BOND INFLATION  STRATEGY abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
OCP CLO Ltd. Series 2020-18A, Class AR 6.767% (SOFR + 1.35%), 07/20/2032(c)(e)	U.S.$		1,424	$	1,413,870
Pikes Peak CLO 8 Series 2021-8A, Class A 6.847% (SOFR + 1.43%), 07/20/2034(c)(e)			1,450		1,434,199
Rad CLO 14 Ltd. Series 2021-14A, Class A 6.826% (SOFR + 1.43%), 01/15/2035(c)(e)			291		288,135
Rad CLO 7 Ltd. Series 2020-7A, Class C 7.664% (SOFR + 2.26%), 04/17/2033(c)(e)			400		393,840
Regatta XX Funding Ltd. Series 2021-2A, Class D 8.756% (SOFR + 3.36%), 10/15/2034(c)(e)			1,425		1,347,320
Regatta XXIV Funding Ltd. Series 2021-5A, Class D 8.777% (SOFR + 3.36%), 01/20/2035(c)(e)			500		487,104
Sixth Street CLO XVII Ltd. Series 2021-17A, Class A 6.917% (SOFR + 1.50%), 01/20/2034(c)(e)			381		379,677
Total Collateralized Loan Obligations (cost $18,747,060)					18,203,813
COMMERCIAL MORTGAGE-BACKED SECURITIES – 1.3%
Non-Agency Fixed Rate CMBS – 0.7%
BAMLL Commercial Mortgage Securities Trust Series 2013-WBRK, Class D 3.534%, 03/10/2037(c)			520		416,813
GS Mortgage Securities Trust Series 2011-GC5, Class D 5.153%, 08/10/2044(c)			19		5,513
Series 2014-GC18, Class D 5.089%, 01/10/2047(c)			157		37,929
GSF Series 2021-1, Class A1 1.433%, 08/15/2026(g)			572		538,597
Series 2021-1, Class A2 2.435%, 08/15/2026(g)			1,421		1,331,854
Series 2021-1, Class AS 2.638%, 08/15/2026(g)			40		36,323
HFX Funding Issuer Series 2017-1A, Class A3 3.647%, 03/15/2035(g)			1,070		1,027,622

abfunds.com AB BOND INFLATION STRATEGY    ^|    29

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
JPMBB Commercial Mortgage Securities Trust Series 2014-C21, Class B 4.341%, 08/15/2047	U.S.$		314	$	289,224
Series 2014-C22, Class XA 0.785%, 09/15/2047(i)			15,651		51,031
LB-UBS Commercial Mortgage Trust Series 2006-C6, Class AJ 5.452%, 09/15/2039			78		29,569
Morgan Stanley Bank of America Merrill Lynch Trust Series 2015-C25, Class XA 1.028%, 10/15/2048(i)			9,118		113,075
Wells Fargo Commercial Mortgage Trust Series 2016-LC25, Class C 4.334%, 12/15/2059			330		273,596
Series 2016-NXS6, Class C 4.389%, 11/15/2049			525		440,350
					4,591,496
Non-Agency Floating Rate CMBS – 0.6%
BAMLL Commercial Mortgage Securities Trust Series 2017-SCH, Class AF 6.382% (SOFR + 1.05%), 11/15/2033(c)(e)			1,755		1,587,740
BBCMS Mortgage Trust Series 2020-BID, Class A 7.59% (SOFR + 2.25%), 10/15/2037(c)(e)			1,383		1,341,351
BX Commercial Mortgage Trust Series 2019-IMC, Class D 7.28% (SOFR + 1.95%), 04/15/2034(c)(e)			185		183,079
Series 2019-IMC, Class E 7.53% (SOFR + 2.20%), 04/15/2034(c)(e)			895		876,530
Federal Home Loan Mortgage Corp. Series 2021-MN1, Class M1 7.321% (SOFR + 2.00%), 01/25/2051(c)(e)			105		101,826
Natixis Commercial Mortgage Securities Trust Series 2019-MILE, Class A 6.914% (SOFR + 1.58%), 07/15/2036(c)(e)			391		357,907
					4,448,433
Total Commercial Mortgage-Backed Securities (cost $9,939,933)					9,039,929
CORPORATES - NON-INVESTMENT GRADE – 1.3%
Industrial – 1.2%
Capital Goods – 0.1%
TK Elevator Midco GmbH 4.375%, 07/15/2027(c)	EUR		401		384,024

30    ^|    AB BOND INFLATION  STRATEGY abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Communications - Media – 0.6%
Altice Financing SA 3.00%, 01/15/2028(c)	EUR		642	$	551,803
CCO Holdings LLC/CCO Holdings Capital Corp. 4.50%, 08/15/2030(c)	U.S.$		104		83,495
4.50%, 06/01/2033(c)			368		274,528
4.75%, 02/01/2032(c)			2,261		1,765,072
DISH DBS Corp. 5.75%, 12/01/2028(c)			1,067		762,830
VZ Vendor Financing II BV 2.875%, 01/15/2029(c)	EUR		561		452,907
					3,890,635
Communications - Telecommunications – 0.1%
Altice France SA/France 3.375%, 01/15/2028(c)			307		233,834
Lorca Telecom Bondco SA 4.00%, 09/18/2027(c)			642		630,411
					864,245
Consumer Cyclical - Entertainment – 0.1%
Carnival Corp. 4.00%, 08/01/2028(c)	U.S.$		1,235		1,074,956
Consumer Non-Cyclical – 0.1%
Organon & Co./Organon Foreign Debt Co-Issuer BV 2.875%, 04/30/2028(c)	EUR		550		501,936
Services – 0.1%
APCOA Parking Holdings GmbH 4.625%, 01/15/2027(c)			642		605,950
Technology – 0.1%
Seagate HDD Cayman 8.25%, 12/15/2029(c)	U.S.$		881		896,884
					8,218,630
Utility – 0.1%
Electric – 0.1%
Vistra Corp. 7.00%, 12/15/2026(c)(d)			751		686,512
Total Corporates - Non-Investment Grade (cost $10,863,393)					8,905,142

abfunds.com AB BOND INFLATION STRATEGY    ^|    31

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
MORTGAGE PASS-THROUGHS – 1.1%
Agency Fixed Rate 30-Year – 1.1%
Federal National Mortgage Association Series 2022 2.50%, 03/01/2052	U.S.$		3,557	$	2,742,178
3.00%, 02/01/2052			6,247		5,046,562
Total Mortgage Pass-Throughs (cost $9,809,060)					7,788,740
QUASI-SOVEREIGNS – 0.3%
Quasi-Sovereign Bonds – 0.3%
Hungary – 0.2%
Magyar Export-Import Bank Zrt 6.125%, 12/04/2027(c)			1,197		1,169,948
Mexico – 0.1%
Comision Federal de Electricidad 4.688%, 05/15/2029(c)			1,016		899,160
Total Quasi-Sovereigns (cost $2,208,931)					2,069,108
EMERGING MARKETS - CORPORATE BONDS – 0.3%
Industrial – 0.3%
Basic – 0.0%
Volcan Cia Minera SAA 4.375%, 02/11/2026(c)			125		59,163
Capital Goods – 0.1%
Embraer Netherlands Finance BV 5.40%, 02/01/2027			590		567,515
Odebrecht Holdco Finance Ltd. Zero Coupon, 09/10/2058(c)			270		290
					567,805
Communications - Media – 0.0%
Globo Comunicacao e Participacoes SA 4.875%, 01/22/2030(c)			427		339,465
Consumer Cyclical - Other – 0.1%
Wynn Macau Ltd. 5.625%, 08/26/2028(c)			483		402,339
Consumer Non-Cyclical – 0.1%
Natura & Co. Luxembourg Holdings SARL 6.00%, 04/19/2029(c)			592		535,020

32    ^|    AB BOND INFLATION  STRATEGY abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Virgolino de Oliveira Finance SA 10.50%, 01/28/2018(f)(g)(j)(k)(l)	U.S.$		655	$	65
					535,085
					1,903,857
Utility – 0.0%
Electric – 0.0%
Terraform Global Operating LP 6.125%, 03/01/2026(c)			89		85,720
Financial Institutions – 0.0%
Other Finance – 0.0%
OEC Finance Ltd. 5.25%, 12/27/2033(c)(m)(n)			266		10,659
Total Emerging Markets - Corporate Bonds (cost $3,158,665)					2,000,236
LOCAL GOVERNMENTS - US MUNICIPAL BONDS – 0.1%
United States – 0.1%
University of California Series 2021-B 3.071%, 05/15/2051 (cost $1,451,263)			1,465		870,812
EMERGING MARKETS - SOVEREIGNS – 0.1%
Dominican Republic – 0.1%
Dominican Republic International Bond 4.875%, 09/23/2032(c) (cost $922,000)			922		745,437
		Shares
COMMON STOCKS – 0.1%
Financials – 0.1%
Insurance – 0.1%
Mt Logan Re Ltd. Special Investment, Series 2, December 2021 – Class U-1(j)(k)(l)			226		126,674
Mt Logan Re Ltd. Special Investment, Series 2, December 2022 – Class U-1(j)(k)(l)			330		290,289
Total Common Stocks (cost $493,491)					416,963

abfunds.com AB BOND INFLATION STRATEGY    ^|    33

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
GOVERNMENTS - SOVEREIGN BONDS – 0.0%
Colombia – 0.0%
Colombia Government International Bond 3.125%, 04/15/2031 (cost $247,350)	U.S.$		248	$	182,652
Total Investments – 97.9% (cost $709,183,908)					670,287,028
Other assets less liabilities – 2.1%					14,347,619
Net Assets – 100.0%				$	684,634,647

FUTURES (see Note D)

Description	Number of Contracts		Expiration Month		Current Notional		Value and Unrealized Appreciation (Depreciation)
Purchased Contracts
U.S. 10 Yr Ultra Futures		301		December 2023	$	32,757,266	$	(1,607,856	)
U.S. T-Note 2 Yr (CBT) Futures		800		December 2023		161,937,501		(601,131	)
U.S. T-Note 5 Yr (CBT) Futures		230		December 2023		24,029,609		(246,293	)
Sold Contracts
U.S. Ultra Bond (CBT) Futures		28		December 2023		3,151,750		380,957
							$	(2,074,323	)

FORWARD CURRENCY EXCHANGE CONTRACTS (see Note D)

Counterparty	Contracts to Deliver (000)		In Exchange For (000)		Settlement Date		Unrealized Appreciation (Depreciation)
Morgan Stanley Capital Services, Inc.		EUR  5,880		USD  6,262		01/10/2024	$	18,786

CENTRALLY CLEARED CREDIT DEFAULT SWAPS (see Note D)

Description	Fixed Rate (Pay) Receive			Payment Frequency		Implied Credit Spread at October 31, 2023			Notional Amount (000)			Market Value			Upfront Premiums Paid (Received)			Unrealized Appreciation (Depreciation)
Buy Contracts
CDX-NAHY Series 41, 5 Year Index, 12/20/2028*		(5.00	)%		Quarterly		5.16	%		USD	4,390	$	1,588		$	(41,394	)	$	42,982
iTraxx Australia Series 40, 5 Year Index, 12/20/2028*		(1.00	)		Quarterly		0.97			USD	32,150		(76,115	)		(253,830	)		177,715

34    ^|    AB BOND INFLATION  STRATEGY abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

Description	Fixed Rate (Pay) Receive			Payment Frequency		Implied Credit Spread at October 31, 2023			Notional Amount (000)			Market Value		Upfront Premiums Paid (Received)		Unrealized Appreciation (Depreciation)
Sale Contracts
CDX-NAIG Series 41, 5 Year Index, 12/20/2028*		1.00	%		Quarterly		0.79	%		USD	32,150	$	332,799	$	429,227	$	(96,428	)
												$	258,272	$	134,003	$	124,269

* Termination date

CENTRALLY CLEARED INFLATION (CPI) SWAPS (see Note D)

				Rate Type
Notional Amount (000)		Termination Date		Payments made by the Fund		Payments received by the Fund		Payment Frequency Paid/ Received	Market Value			Upfront Premiums Paid (Received)			Unrealized Appreciation (Depreciation)
USD	3,000		01/15/2024		1.599%		CPI#	Maturity	$	411,840		$	– 0	–	$	411,840
USD	20,700		07/15/2024		3.440%		CPI#	Maturity		132,838			– 0	–		132,838
USD	64,600		02/26/2025		1.589%		CPI#	Maturity		8,601,639			– 0	–		8,601,639
USD	38,550		02/28/2025		1.527%		CPI#	Maturity		5,249,602			– 0	–		5,249,602
USD	61,010		05/13/2027		3.263%		CPI#	Maturity		(115,545	)		– 0	–		(115,545	)
USD	29,760		07/08/2027		2.770%		CPI#	Maturity		394,527			– 0	–		394,527
USD	29,760		07/08/2027		2.778%		CPI#	Maturity		384,001			– 0	–		384,001
									$	15,058,902		$	– 0	–	$	15,058,902

# Variable interest rate based on the rate of inflation as determined by the Consumer Price Index (CPI).

CENTRALLY CLEARED INTEREST RATE SWAPS (see Note D)

				Rate Type
Notional Amount (000)		Termination Date		Payments made by the Fund		Payments received by the Fund	Payment Frequency Paid/ Received	Market Value		Upfront Premiums Paid (Received)			Unrealized Appreciation (Depreciation)
USD	1,160		06/09/2025		2.000%	1 Day SOFR	Annual	$	70,357	$	50,554		$	19,803
USD	2,106		08/04/2025		1.970%	1 Day SOFR	Annual		125,532		99,331			26,201
USD	5,400		10/04/2026		1.170%	1 Day SOFR	Annual		535,240		465,664			69,576
USD	1,080		11/08/2026		1.451%	1 Day SOFR	Annual		123,534		86,429			37,105
USD	1,080		11/09/2026		1.470%	1 Day SOFR	Annual		122,835		86,443			36,392
USD	7,030		04/04/2027		2.235%	1 Day SOFR	Annual		650,548		444,687			205,861
USD	20,920		06/05/2027		0.345%	1 Day SOFR	Annual		3,355,319		2,641,787			713,532
USD	715		07/12/2027		2.000%	1 Day SOFR	Annual		70,109		51,885			18,224
USD	5,395		06/04/2029		1.985%	1 Day SOFR	Annual		742,794		513,412			229,382
USD	3,170		09/27/2029		1.300%	1 Day SOFR	Annual		536,209		424,372			111,837
USD	40,300		05/21/2031		1.394%	1 Day SOFR	Annual		8,659,546		6,123,773			2,535,773
USD	1,490		11/10/2035		2.410%	1 Day SOFR	Annual		317,553		172,682			144,871
USD	595		03/06/2042		3.500%	1 Day SOFR	Annual		81,485		– 0	–		81,485
								$	15,391,061	$	11,161,019		$	4,230,042

abfunds.com AB BOND INFLATION STRATEGY    ^|    35

PORTFOLIO OF INVESTMENTS (continued)

CREDIT DEFAULT SWAPS (see Note D)

Swap Counterparty & Referenced Obligation	Fixed Rate (Pay) Receive			Payment Frequency		Implied Credit Spread at October 31, 2023			Notional Amount (000)			Market Value			Upfront Premiums Paid (Received)			Unrealized Appreciation (Depreciation)
Sale Contracts
Citigroup Global Markets, Inc.
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00	%		Monthly		7.50	%		USD	4	$	(569	)	$	(625	)	$	56
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50			USD	13		(1,706	)		(1,735	)		29
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50			USD	4		(569	)		(500	)		(69	)
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50			USD	13		(1,705	)		(1,580	)		(125	)
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50			USD	6		(821	)		(570	)		(251	)
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50			USD	12		(1,579	)		(1,300	)		(279	)
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50			USD	20		(2,716	)		(2,429	)		(287	)
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50			USD	18		(2,337	)		(2,024	)		(313	)
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50			USD	20		(2,716	)		(2,352	)		(364	)
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50			USD	28		(3,790	)		(3,282	)		(508	)
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50			USD	24		(3,158	)		(2,364	)		(794	)
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50			USD	44		(5,811	)		(4,908	)		(903	)
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50			USD	41		(5,495	)		(4,294	)		(1,201	)
Credit Suisse International
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50			USD	2		(316	)		(269	)		(47	)
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50			USD	58		(7,705	)		(6,410	)		(1,295	)
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50			USD	62		(8,211	)		(4,545	)		(3,666	)
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50			USD	80		(10,673	)		(6,033	)		(4,640	)
Deutsche Bank AG
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50			USD	14		(1,895	)		(1,516	)		(379	)
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50			USD	71		(9,474	)		(8,148	)		(1,326	)
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50			USD	103		(13,769	)		(10,745	)		(3,024	)
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50			USD	338		(45,095	)		(17,667	)		(27,428	)
Goldman Sachs International
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50			USD	7		(947	)		(982	)		35
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50			USD	7		(947	)		(579	)		(368	)
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50			USD	14		(1,894	)		(1,277	)		(617	)
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50			USD	14		(1,894	)		(1,180	)		(714	)
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50			USD	28		(3,727	)		(2,746	)		(981	)
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50			USD	62		(8,211	)		(7,062	)		(1,149	)
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50			USD	79		(10,484	)		(7,624	)		(2,860	)

36    ^|    AB BOND INFLATION  STRATEGY abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

Swap Counterparty & Referenced Obligation	Fixed Rate (Pay) Receive			Payment Frequency		Implied Credit Spread at October 31, 2023			Notional Amount (000)			Market Value			Upfront Premiums Paid (Received)			Unrealized Appreciation (Depreciation)
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00	%		Monthly		7.50	%		USD	103	$	(13,705	)	$	(10,700	)	$	(3,005	)
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50			USD	84		(11,243	)		(6,631	)		(4,612	)
Morgan Stanley Capital Services LLC
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50			USD	90		(12,063	)		(5,806	)		(6,257	)
												$	(195,225	)	$	(127,883	)	$	(67,342	)

* Termination date

REVERSE REPURCHASE AGREEMENTS (see Note D)

Broker	Currency		Principal Amount (000)		Interest Rate			Maturity		U.S. $ Value at October 31, 2023
HSBC Securities (USA), Inc.†		USD		11,321		5.44	%		—	$	11,300,581

† The reverse repurchase agreement matures on demand. Interest rate resets daily and the rate shown is the rate in effect on October 31, 2023.

The type of underlying collateral and the remaining maturity of open reverse repurchase agreements on the statements of assets and liabilities is as follows:

Overnight and Continuous

Up to 30 Days

31-90 Days

Greater than 90 Days

Total

Inflation-Linked Securities

$

11,300,581

$

– 0

–

$

– 0

–

$

– 0

–

$

11,300,581

(a) Position, or a portion thereof, has been segregated to collateralize reverse repurchase agreements.

(b) Position, or a portion thereof, has been segregated to collateralize OTC derivatives outstanding.

(c) Security is exempt from registration under Rule 144A or Regulation S of the Securities Act of 1933. These securities are considered restricted, but liquid and may be resold in transactions exempt from registration. At October 31, 2023, the aggregate market value of these securities amounted to $139,157,900 or 20.3% of net assets.

(d) Securities are perpetual and, thus, do not have a predetermined maturity date. The date shown, if applicable, reflects the next call date.

(e) Floating Rate Security. Stated interest/floor/ceiling rate was in effect at October 31, 2023.

(f) Defaulted matured security.

(g) Security is exempt from registration under Rule 144A or Regulation S of the Securities Act of 1933. These securities, which represent 0.45% of net assets as of October 31, 2023, are considered illiquid and restricted. Additional information regarding such securities follows:

144A/Restricted & Illiquid Securities	Acquisition Date		Cost		Market Value		Percentage of Net Assets
GSF Series 2021-1, Class A1 1.433%, 08/15/2026		02/25/2021	$	553,459	$	538,597		0.08	%
GSF Series 2021-1, Class A2 2.435%, 08/15/2026		02/25/2021		1,447,754		1,331,854		0.19	%

abfunds.com AB BOND INFLATION STRATEGY    ^|    37

PORTFOLIO OF INVESTMENTS (continued)

144A/Restricted & Illiquid Securities	Acquisition Date		Cost		Market Value		Percentage of Net Assets
GSF Series 2021-1, Class AS 2.638%, 08/15/2026		02/25/2021	$	40,630	$	36,323		0.01	%
HFX Funding Issuer Series 2017-1A, Class A3 3.647%, 03/15/2035		11/19/2020		1,134,720		1,027,622		0.15	%
PMT Credit Risk Transfer Trust Series 2020-1R, Class A 8.785%, 02/27/2023		11/02/2000		148,818		147,065		0.02	%
Virgolino de Oliveira Finance SA 10.50%, 01/28/2018		01/24/2014		363,153		65		0.00	%

(h) Inverse interest only security.

(i) IO – Interest Only.

(j) Fair valued by the Adviser.

(k) Security in which significant unobservable inputs (Level 3) were used in determining fair value.

(l) Non-income producing security.

(m) Coupon rate adjusts periodically based upon a predetermined schedule. Stated interest rate in effect at October 31, 2023.

(n) Pay-In-Kind Payments (PIK). The issuer may pay cash interest and/or interest in additional debt securities. Rates shown are the rates in effect at October 31, 2023.

Currency Abbreviations:

EUR – Euro

USD – United States Dollar

Glossary:

ABS – Asset-Backed Securities

CBT – Chicago Board of Trade

CDX-CMBX.NA – North American Commercial Mortgage-Backed Index

CDX-NAHY – North American High Yield Credit Default Swap Index

CDX-NAIG – North American Investment Grade Credit Default Swap Index

CLO – Collateralized Loan Obligations

CMBS – Commercial Mortgage-Backed Securities

CPI – Consumer Price Index

LIBOR – London Interbank Offered Rate

REIT – Real Estate Investment Trust

REMICs – Real Estate Mortgage Investment Conduits

SOFR – Secured Overnight Financing Rate

TIPS – Treasury Inflation Protected Security

See notes to financial statements.

38    ^|    AB BOND INFLATION  STRATEGY abfunds.com

STATEMENT OF ASSETS & LIABILITIES

October 31, 2023

Assets
Investments in securities, at value (cost $709,183,908)	$	670,287,028
Cash		2,440,332
Cash collateral due from broker		10,529,753
Foreign currencies, at value (cost $12,783)		12,797
Receivable for investment securities sold and foreign currency transactions		34,270,002
Interest receivable		2,181,215
Receivable for capital stock sold		546,952
Unrealized appreciation on forward currency exchange contracts		18,786
Affiliated dividends receivable		10,141
Total assets		720,297,006
Liabilities
Payable for investment securities purchased		21,344,699
Payable for reverse repurchase agreements		11,300,581
Payable for capital stock redeemed		1,668,812
Advisory fee payable		235,937
Payable for variation margin on futures		218,744
Market value on credit default swaps (net premiums received $127,883)		195,225
Distribution fee payable		46,499
Administrative fee payable		31,414
Payable for variation margin on centrally cleared swaps		27,533
Transfer Agent fee payable		15,955
Foreign capital gains tax payable		6,626
Directors’ fees payable		2,157
Accrued expenses		568,177
Total liabilities		35,662,359
Net Assets	$	684,634,647
Composition of Net Assets
Capital stock, at par	$	69,280
Additional paid-in capital		834,364,580
Accumulated loss		(149,799,213	)
Net Assets	$	684,634,647

See notes to financial statements.

abfunds.com AB BOND INFLATION STRATEGY    ^|    39

STATEMENT OF ASSETS & LIABILITIES (continued)

Net Asset Value Per Share—33 billion shares of capital stock authorized, $.001 par value

Class	Net Assets		Shares Outstanding		Net Asset Value
A	$	46,879,932		4,679,539	$	10.02	*
C	$	7,973,255		823,930	$	9.68
Advisor	$	220,987,376		22,023,405	$	10.03
R	$	2,409,270		239,619	$	10.05
K	$	4,562,074		455,628	$	10.01
I	$	5,538,844		559,483	$	9.90
1	$	340,648,981		34,816,685	$	9.78
2	$	41,598,633		4,253,228	$	9.78
Z	$	14,036,282		1,428,899	$	9.82

* The maximum offering price per share for Class A shares was $10.25 which reflects a sales charge of 2.25%.

See notes to financial statements.

40    ^|    AB BOND INFLATION  STRATEGY abfunds.com

STATEMENT OF OPERATIONS

Year Ended October 31, 2023

Investment Income
Interest	$	42,175,124
Dividends
Affiliated issuers		519,811
Unaffiliated issuers		145,031
Other income		30,983		$	42,870,949
Expenses
Advisory fee (see Note B)		4,316,625
Distribution fee—Class A		139,995
Distribution fee—Class C		113,553
Distribution fee—Class R		12,248
Distribution fee—Class K		11,643
Distribution fee—Class 1		368,159
Transfer agency—Class A		69,619
Transfer agency—Class C		14,461
Transfer agency—Advisor Class		458,171
Transfer agency—Class R		6,369
Transfer agency—Class K		13,362
Transfer agency—Class I		6,674
Transfer agency—Class 1		56,481
Transfer agency—Class 2		7,018
Transfer agency—Class Z		2,774
Custody and accounting		202,590
Registration fees		193,535
Printing		136,789
Audit and tax		122,065
Administrative		101,582
Legal		61,841
Directors’ fees		28,067
Miscellaneous		42,034
Total expenses before interest expense		6,485,655
Interest expense		1,013,270
Total expenses		7,498,925
Less: expenses waived and reimbursed by the Adviser (see Note B)		(1,534,852	)
Net expenses					5,964,073
Net investment income					36,906,876

See notes to financial statements.

abfunds.com AB BOND INFLATION STRATEGY    ^|    41

STATEMENT OF OPERATIONS (continued)

Realized and Unrealized Gain (Loss) on Investment and Foreign Currency Transactions
Net realized gain (loss) on:
Investment transactions	$	(105,431,510	)
Forward currency exchange contracts		(172,394	)
Futures		(6,308,596	)
Swaps		14,059,381
Foreign currency transactions		(881,628	)
Net change in unrealized appreciation (depreciation) of:
Investments		97,700,747
Forward currency exchange contracts		123,580
Futures		(1,754,011	)
Swaps		(11,865,493	)
Foreign currency denominated assets and liabilities		18,358
Net loss on investment and foreign currency transactions		(14,511,566	)
Net Increase in Net Assets from Operations	$	22,395,310

See notes to financial statements.

42    ^|    AB BOND INFLATION  STRATEGY abfunds.com

STATEMENT OF CHANGES IN NET ASSETS

	Year Ended October 31, 2023			Year Ended October 31, 2022
Increase (Decrease) in Net Assets from Operations
Net investment income	$	36,906,876		$	68,607,369
Net realized loss on investment and foreign currency transactions		(98,734,747	)		(30,103,162	)
Net change in unrealized appreciation (depreciation) of investments and foreign currency denominated assets and liabilities		84,223,181			(147,233,438	)
Net increase (decrease) in net assets from operations		22,395,310			(108,729,231	)
Distributions to Shareholders
Class A		(2,383,662	)		(4,072,663	)
Class C		(415,252	)		(935,082	)
Advisor Class		(15,525,103	)		(35,350,604	)
Class R		(97,892	)		(134,438	)
Class K		(199,485	)		(306,142	)
Class I		(259,635	)		(438,474	)
Class 1		(16,743,802	)		(25,583,456	)
Class 2		(2,102,742	)		(4,260,551	)
Class Z		(522,386	)		(1,252,299	)
Capital Stock Transactions
Net increase (decrease)		(358,017,074	)		215,890,499
Total increase (decrease)		(373,871,723	)		34,827,559
Net Assets
Beginning of period		1,058,506,370			1,023,678,811
End of period	$	684,634,647		$	1,058,506,370

See notes to financial statements.

abfunds.com AB BOND INFLATION STRATEGY    ^|    43

NOTES TO FINANCIAL STATEMENTS

October 31, 2023

NOTE A

Significant Accounting Policies

AB Bond Fund, Inc. (the “Company”) is registered under the Investment Company Act of 1940 (the “1940 Act”) as an open-end management investment company. The Company, which is a Maryland corporation, operates as a series company comprised of nine portfolios currently in operation. Each portfolio is considered to be a separate entity for financial reporting and tax purposes. This report relates only to the AB Bond Inflation Strategy (the “Fund”), a diversified portfolio. The Fund has authorized the issuance of Class A, Class B, Class C, Advisor Class, Class R, Class K, Class I, Class Z, Class T, Class 1 and Class 2. Class B and Class T shares have not been issued. Class 1 shares are sold only to the private clients of Sanford C. Bernstein & Co. LLC by its registered representatives. Effective March 7, 2022, the maximum sales charge for purchases of Class A shares was reduced from 4.25% to 2.25% and purchases in amounts of $500,000 or more, or by certain group retirement plans, may be subject to a 1%, 18-month contingent deferred sales charge, which may be subject to waiver in certain circumstances. Prior to March 7, 2022, purchases of Class A shares in amounts of $1,000,000 or more, or by certain group retirement plans, may have been subject to a 1%, 1-year contingent deferred sales charge, which may have been subject to waiver in certain circumstances. Class C shares are subject to a contingent deferred sales charge of 1% on redemptions made within the first year after purchase, and 0% after the first year of purchase. Class C shares automatically convert to Class A shares eight years after the end of the calendar month of purchase. Class R, Class K, and Class 1 shares are sold without an initial or contingent deferred sales charge. Advisor Class, Class I, Class 2 and Class Z shares are sold without an initial or contingent deferred sales charge and are not subject to ongoing distribution expenses. All 11 classes of shares have identical voting, dividend, liquidation and other rights, except that the classes bear different distribution and transfer agency expenses. Each class has exclusive voting rights with respect to its distribution plan. The financial statements have been prepared in conformity with U.S. generally accepted accounting principles (“U.S. GAAP”), which require management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities in the financial statements and amounts of income and expenses during the reporting period. Actual results could differ from those estimates. The Fund is an investment company under U.S. GAAP and follows the accounting and reporting guidance applicable to investment companies. The following is a summary of significant accounting policies followed by the Fund.

44    ^|    AB BOND INFLATION  STRATEGY abfunds.com

NOTES TO FINANCIAL STATEMENTS (continued)

1. Security Valuation

Portfolio securities are valued at market value determined on the basis of market quotations or, if market quotations are not readily available or are unreliable, at “fair value” as determined in accordance with procedures approved by and under the oversight of the Company’s Board of Directors (the “Board”). Pursuant to these procedures, AllianceBernstein L.P. (the “Adviser”) serves as the Fund’s valuation designee pursuant to Rule 2a-5 of the 1940 Act. In this capacity, the Adviser is responsible, among other things, for making all fair value determinations relating to the Fund’s portfolio investments, subject to the Board’s oversight.

In general, the market values of securities which are readily available and deemed reliable are determined as follows: securities listed on a national securities exchange (other than securities listed on the NASDAQ Stock Market, Inc. (“NASDAQ”)) or on a foreign securities exchange are valued at the last sale price at the close of the exchange or foreign securities exchange. If there has been no sale on such day, the securities are valued at the last traded price from the previous day. Securities listed on more than one exchange are valued by reference to the principal exchange on which the securities are traded; securities listed only on NASDAQ are valued in accordance with the NASDAQ Official Closing Price; listed or over the counter (“OTC”) market put or call options are valued at the mid level between the current bid and ask prices. If either a current bid or current ask price is unavailable, the Adviser will have discretion to determine the best valuation (e.g., last trade price in the case of listed options); open futures are valued using the closing settlement price or, in the absence of such a price, the most recent quoted bid price. If there are no quotations available for the day of valuation, the last available closing settlement price is used; U.S. Government securities and any other debt instruments having 60 days or less remaining until maturity are generally valued at market by an independent pricing vendor, if a market price is available. If a market price is not available, the securities are valued at amortized cost. This methodology is commonly used for short term securities that have an original maturity of 60 days or less, as well as short term securities that had an original term to maturity that exceeded 60 days. In instances when amortized cost is utilized, the Valuation Committee (the “Committee”) must reasonably conclude that the utilization of amortized cost is approximately the same as the fair value of the security. Factors the Committee will consider include, but are not limited to, an impairment of the creditworthiness of the issuer or material changes in interest rates. Fixed-income securities, including mortgage-backed and asset-backed securities, may be valued on the basis of prices provided by a pricing service or at a price obtained from one or more of the major broker-dealers. In cases where broker-dealer quotes are obtained, the Adviser may establish procedures whereby changes in market yields or spreads are used to adjust, on a daily basis, a recently obtained quoted

abfunds.com AB BOND INFLATION STRATEGY    ^|    45

NOTES TO FINANCIAL STATEMENTS (continued)

price on a security. Swaps and other derivatives are valued daily, primarily using independent pricing services, independent pricing models using market inputs, as well as third party broker-dealers or counterparties. Open-end mutual funds are valued at the closing net asset value per share, while exchange traded funds are valued at the closing market price per share.

Securities for which market quotations are not readily available (including restricted securities) or are deemed unreliable are valued at fair value as deemed appropriate by the Adviser. Factors considered in making this determination may include, but are not limited to, information obtained by contacting the issuer, analysts, analysis of the issuer’s financial statements or other available documents. In addition, the Fund may use fair value pricing for securities primarily traded in non-U.S. markets because most foreign markets close well before the Fund values its securities at 4:00 p.m., Eastern Time. The earlier close of these foreign markets gives rise to the possibility that significant events, including broad market moves, may have occurred in the interim and may materially affect the value of those securities. To account for this, the Fund generally values many of its foreign equity securities using fair value prices based on third party vendor modeling tools to the extent available.

2. Fair Value Measurements

In accordance with U.S. GAAP regarding fair value measurements, fair value is defined as the price that the Fund would receive to sell an asset or pay to transfer a liability in an orderly transaction between market participants at the measurement date. U.S. GAAP establishes a framework for measuring fair value, and a three-level hierarchy for fair value measurements based upon the transparency of inputs to the valuation of an asset or liability (including those valued based on their market values as described in Note A.1 above). Inputs may be observable or unobservable and refer broadly to the assumptions that market participants would use in pricing the asset or liability. Observable inputs reflect the assumptions market participants would use in pricing the asset or liability based on market data obtained from sources independent of the Fund. Unobservable inputs reflect the Fund’s own assumptions about the assumptions that market participants would use in pricing the asset or liability based on the best information available in the circumstances. Each investment is assigned a level based upon the observability of the inputs which are significant to the overall valuation. The three-tier hierarchy of inputs is summarized below.

• Level 1—quoted prices in active markets for identical investments

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

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

46    ^|    AB BOND INFLATION  STRATEGY abfunds.com

NOTES TO FINANCIAL STATEMENTS (continued)

The fair value of debt instruments, such as bonds, and over-the-counter derivatives is generally based on market price quotations, recently executed market transactions (where observable) or industry recognized modeling techniques and are generally classified as Level 2. Pricing vendor inputs to Level 2 valuations may include quoted prices for similar investments in active markets, interest rate curves, coupon rates, currency rates, yield curves, option adjusted spreads, default rates, credit spreads and other unique security features in order to estimate the relevant cash flows which are then discounted to calculate fair values. If these inputs are unobservable and significant to the fair value, these investments will be classified as Level 3.

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

Valuations of mortgage-backed or other asset-backed securities, by pricing vendors, are based on both proprietary and industry recognized models and discounted cash flow techniques. Significant inputs to the valuation of these instruments are value of the collateral, the rates and timing of delinquencies, the rates and timing of prepayments, and default and loss expectations, which are driven in part by housing prices for residential mortgages. Significant inputs are determined based on relative value analyses, which incorporate comparisons to instruments with similar collateral and risk profiles, including relevant indices. Mortgage and asset-backed securities for which management has collected current observable data through pricing services are generally categorized within Level 2. Those investments for which current observable data has not been provided are classified as Level 3.

Other fixed income investments, including non-U.S. government and corporate debt, are generally valued using quoted market prices, if available, which are typically impacted by current interest rates, maturity dates and any perceived credit risk of the issuer. Additionally, in the absence of quoted market prices, these inputs are used by pricing vendors to derive a

abfunds.com AB BOND INFLATION STRATEGY    ^|    47

NOTES TO FINANCIAL STATEMENTS (continued)

valuation based upon industry or proprietary models which incorporate issuer specific data with relevant yield/spread comparisons with more widely quoted bonds with similar key characteristics. Those investments for which there are observable inputs are classified as Level 2. Where the inputs are not observable, the investments are classified as Level 3.

The following table summarizes the valuation of the Fund’s investments by the above fair value hierarchy levels as of October 31, 2023:

Investments in Securities:

Level 1

Level 2

Level 3

Total

Assets:

Inflation-Linked Securities

$

– 0

–

$

482,208,452

$

– 0

–

$

482,208,452

Corporates—Investment Grade

– 0

–

57,893,233

– 0

–

57,893,233

Asset-Backed Securities

– 0

–

41,117,676

– 0

–

41,117,676

Collateralized Mortgage Obligations

– 0

–

38,844,835

– 0

–

38,844,835

Collateralized Loan Obligations

– 0

–

18,203,813

– 0

–

18,203,813

Commercial Mortgage-Backed Securities

– 0

–

9,039,929

– 0

–

9,039,929

Corporates—Non-Investment Grade

– 0

–

8,905,142

– 0

–

8,905,142

Mortgage Pass-Throughs

– 0

–

7,788,740

– 0

–

7,788,740

Quasi-Sovereigns

– 0

–

2,069,108

– 0

–

2,069,108

Emerging Markets—Corporate Bonds

– 0

–

2,000,171

65

2,000,236

Local Governments—US Municipal Bonds

– 0

–

870,812

– 0

–

870,812

Emerging Markets—Sovereigns

– 0

–

745,437

– 0

–

745,437

Common Stocks

– 0

–

– 0

–

416,963

416,963

Governments—Sovereign Bonds

– 0

–

182,652

– 0

–

182,652

Total Investments in Securities

– 0

–

669,870,000

417,028

670,287,028

Other Financial Instruments(a):

Assets:

Futures

380,957

– 0

–

– 0

–

380,957

(b)

Forward Currency Exchange Contracts

– 0

–

18,786

– 0

–

18,786

Centrally Cleared Credit Default Swaps

– 0

–

334,387

– 0

–

334,387

(b)

Centrally Cleared Inflation (CPI) Swaps

– 0

–

15,174,447

– 0

–

15,174,447

(b)

Centrally Cleared Interest Rate Swaps

– 0

–

15,391,061

– 0

–

15,391,061

(b)

48    ^|    AB BOND INFLATION  STRATEGY abfunds.com

NOTES TO FINANCIAL STATEMENTS (continued)

Investments in Securities:	Level 1			Level 2			Level 3			Total
Liabilities:
Futures	$	(2,455,280	)	$	– 0	–	$	– 0	–	$	(2,455,280	)(b)
Centrally Cleared Credit Default Swaps		– 0	–		(76,115	)		– 0	–		(76,115	)(b)
Centrally Cleared Inflation (CPI) Swaps		– 0	–		(115,545	)		– 0	–		(115,545	)(b)
Credit Default Swaps		– 0	–		(195,225	)		– 0	–		(195,225	)
Reverse Repurchase Agreements		(11,300,581	)		– 0	–		– 0	–		(11,300,581	)
Total	$	(13,374,904	)	$	700,401,796		$	417,028		$	687,443,920

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

(b) Only variation margin receivable (payable) at period end is reported within the statement of assets and liabilities. This amount reflects cumulative unrealized appreciation (depreciation) on futures and centrally cleared swaps as reported in the portfolio of investments. Where applicable, centrally cleared swaps with upfront premiums are presented here at market value.

3. Currency Translation

Assets and liabilities denominated in foreign currencies and commitments under forward currency exchange contracts are translated into U.S. dollars at the mean of the quoted bid and ask prices of such currencies against the U.S. dollar. Purchases and sales of portfolio securities are translated into U.S. dollars at the rates of exchange prevailing when such securities were acquired or sold. Income and expenses are translated into U.S. dollars at rates of exchange prevailing when accrued.

Net realized gain or loss on foreign currency transactions represents foreign exchange gains and losses from sales and maturities of foreign fixed income investments, holding of foreign currencies, currency gains or losses realized between the trade and settlement dates on foreign investment transactions, and the difference between the amounts of dividends, interest and foreign withholding taxes recorded on the Fund’s books and the U.S. dollar equivalent amounts actually received or paid. Net unrealized currency gains and losses from valuing foreign currency denominated assets and liabilities at period end exchange rates are reflected as a component of net unrealized appreciation or depreciation of foreign currency denominated assets and liabilities.

4. Taxes

It is the Fund’s policy to meet the requirements of the Internal Revenue Code applicable to regulated investment companies and to distribute all of its investment company taxable income and net realized gains, if any, to shareholders. Therefore, no provisions for federal income or excise taxes are required. The Fund may be subject to taxes imposed by countries in

abfunds.com AB BOND INFLATION STRATEGY    ^|    49

NOTES TO FINANCIAL STATEMENTS (continued)

which it invests. Such taxes are generally based on income and/or capital gains earned or repatriated. Taxes are accrued and applied to net investment income, net realized gains and net unrealized appreciation/depreciation as such income and/or gains are earned.

In accordance with U.S. GAAP requirements regarding accounting for uncertainties in income taxes, management has analyzed the Fund’s tax positions taken or expected to be taken on federal and state income tax returns for all open tax years (the current and the prior three tax years) and has concluded that no provision for income tax is required in the Fund’s financial statements.

5. Investment Income and Investment Transactions

Dividend income is recorded on the ex-dividend date or as soon as the Fund is informed of the dividend. Interest income is accrued daily. Investment transactions are accounted for on the date the securities are purchased or sold. Investment gains or losses are determined on the identified cost basis. Non-cash dividends, if any, are recorded on the ex-dividend date at the fair value of the securities received. The Fund amortizes premiums and accretes discounts as adjustments to interest income.

The Fund accounts for distributions received from REIT investments or from regulated investment companies as dividend income, realized gain, or return of capital based on information provided by the REIT or the investment company.

6. Class Allocations

All income earned and expenses incurred by the Fund are borne on a pro-rata basis by each outstanding class of shares, based on the proportionate interest in the Fund represented by the net assets of such class, except for class specific expenses which are allocated to the respective class. Expenses of the Company are charged proportionately to each fund or based on other appropriate methods. Realized and unrealized gains and losses are allocated among the various share classes based on respective net assets.

7. Dividends and Distributions

Dividends and distributions to shareholders, if any, are recorded on the ex-dividend date. Income dividends and capital gains distributions are determined in accordance with federal tax regulations and may differ from those determined in accordance with U.S. GAAP. To the extent these differences are permanent, such amounts are reclassified within the capital accounts based on their federal tax basis treatment; temporary differences do not require such reclassification.

50    ^|    AB BOND INFLATION  STRATEGY abfunds.com

NOTES TO FINANCIAL STATEMENTS (continued)

NOTE B

Advisory Fee and Other Transactions with Affiliates

Under the terms of the investment advisory agreement, the Fund pays the Adviser an advisory fee at an annual rate of .50% of the first $2.5 billion, .45% of the next $2.5 billion and .40% in excess of $5 billion, of the Fund’s average daily net assets. The Adviser has agreed to waive its fees and bear certain expenses to the extent necessary to limit total operating expenses (excluding extraordinary expenses, interest expense, and acquired fund fees and expenses other than the advisory fees of any AB mutual funds in which the Fund may invest), on an annual basis (“Expense Caps”) to .75%, 1.50%, .50%, 1.00%, .75%, .50%, ..60%, .50% and .50% of the daily average net assets for the Class A, Class C, Advisor Class, Class R, Class K, Class I, Class 1, Class 2, and Class Z shares, respectively. This fee waiver and/or expense reimbursement agreement will remain in effect until January 31, 2024 and then may be extended for additional one-year terms. For the year ended October 31, 2023, such reimbursement amounted to $1,523,432.

Pursuant to the investment advisory agreement, the Fund may reimburse the Adviser for certain legal and accounting services provided to the Fund by the Adviser. For the year ended October 31, 2023, the reimbursement for such services amounted to $101,582.

The Fund compensates AllianceBernstein Investor Services, Inc. (“ABIS”), a wholly-owned subsidiary of the Adviser, under a Transfer Agency Agreement for providing personnel and facilities to perform transfer agency services for the Fund. ABIS may make payments to intermediaries that provide omnibus account services, sub-accounting services and/or networking services. Such compensation retained by ABIS amounted to $187,182 for the year ended October 31, 2023.

AllianceBernstein Investments, Inc. (the “Distributor”), a wholly-owned subsidiary of the Adviser, serves as the distributor of the Fund’s shares. The Distributor has advised the Fund that it has retained front-end sales charges of $3,464 from the sale of Class A shares and received $2,401 and $3,494 in contingent deferred sales charges imposed upon redemptions by shareholders of Class A and Class C shares, respectively, for the year ended October 31, 2023.

The Fund may invest in AB Government Money Market Portfolio (the “Government Money Market Portfolio”) which has a contractual annual advisory fee rate of .20% of the portfolio’s average daily net assets and bears its own expenses. The Adviser had contractually agreed to waive .10% of the advisory fee of Government Money Market Portfolio (resulting in a net advisory fee of .10%) until August 31, 2023. Effective September 1,

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NOTES TO FINANCIAL STATEMENTS (continued)

2023, the Adviser has contractually agreed to waive .05% of the advisory fee of Government Money Market Portfolio (resulting in a net advisory fee of .15%) until August 31, 2024. In connection with the investment by the Fund in Government Money Market Portfolio, the Adviser has contractually agreed to waive its advisory fee from the Fund in an amount equal to the Fund’s pro rata share of the effective advisory fee of Government Money Market Portfolio, as borne indirectly by the Fund as an acquired fund fee and expense. For the year ended October 31, 2023, such waiver amounted to $11,420.

A summary of the Fund’s transactions in AB mutual funds for the year ended October 31, 2023 is as follows:

Fund	Market Value 10/31/22 (000)		Purchases at Cost (000)		Sales Proceeds (000)		Market Value 10/31/23 (000)			Dividend Income (000)
Government Money Market Portfolio	$	43,764	$	570,093	$	613,857	$	– 0	–	$	520

NOTE C

Distribution Services Agreement

The Fund has adopted a Distribution Services Agreement (the “Agreement”) pursuant to Rule 12b-1 under the Investment Company Act of 1940. Under the Agreement, the Fund pays distribution and servicing fees to the Distributor at an annual rate of up to .30% of the Fund’s average daily net assets attributable to Class A shares, 1% of the Fund’s average daily net assets attributable to Class C shares, .50% of the Fund’s average daily net assets attributable to Class R shares, .25% of the Fund’s average daily net assets attributable to Class K shares and .10% of the Fund’s average daily net assets attributable to Class 1 shares. There are no distribution and servicing fees on the Advisor Class, Class I, Class 2 and Class Z shares. Payments under the Agreement in respect of Class A shares are currently limited to an annual rate of .25% of Class A shares’ average daily net assets. The fees are accrued daily and paid monthly. The Agreement provides that the Distributor will use such payments in their entirety for distribution assistance and promotional activities. Since the commencement of the Fund’s operations, the Distributor has incurred expenses in excess of the distribution costs reimbursed by the Fund in the amounts of $299,878, $63,131, $61,265 and $1,583,257 for Class C, Class R, Class K and Class 1 shares, respectively. While such costs may be recovered from the Fund in future periods so long as the Agreement is in effect, the rate of the distribution and servicing fees payable under the Agreement may not be increased without a shareholder vote. In accordance with the Agreement, there is no provision for recovery of unreimbursed distribution costs incurred by the Distributor

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beyond the current fiscal year for Class A shares. The Agreement also provides that the Adviser may use its own resources to finance the distribution of the Fund’s shares.

NOTE D

Investment Transactions

Purchases and sales of investment securities (excluding short-term investments) for the year ended October 31, 2023 were as follows:

	Purchases		Sales
Investment securities (excluding U.S. government securities)	$	80,253,528	$	153,451,784
U.S. government securities		1,006,734,717		1,331,037,653

The cost of investments for federal income tax purposes, gross unrealized appreciation and unrealized depreciation are as follows:

Cost	$	710,970,008
Gross unrealized appreciation	$	20,890,226
Gross unrealized depreciation		(43,309,827	)
Net unrealized depreciation	$	(22,419,601	)

1. Derivative Financial Instruments

The Fund may use derivatives in an effort to earn income and enhance returns, to replace more traditional direct investments, to obtain exposure to otherwise inaccessible markets (collectively, “investment purposes”), or to hedge or adjust the risk profile of its portfolio.

The principal types of derivatives utilized by the Fund, as well as the methods in which they may be used are:

• Futures

The Fund may buy or sell futures for investment purposes or for the purpose of hedging its portfolio against adverse effects of potential movements in the market. The Fund bears the market risk that arises from changes in the value of these instruments and the imperfect correlation between movements in the price of the futures and movements in the price of the assets, reference rates or indices which they are designed to track. Among other things, the Fund may purchase or sell futures for foreign currencies or options thereon for non-hedging purposes as a means of making direct investment in foreign currencies, as described below under “Currency Transactions”.

At the time the Fund enters into futures, the Fund deposits and maintains as collateral an initial margin with the broker, as required by the exchange on which the transaction is effected. Such amount is shown as cash collateral due from broker on the statement of assets

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and liabilities. Pursuant to the contract, the Fund agrees to receive from or pay to the broker an amount of cash equal to the daily fluctuation in the value of the contract. Such receipts or payments are known as variation margin and are recorded by the Fund as unrealized gains or losses. Risks may arise from the potential inability of a counterparty to meet the terms of the contract. The credit/counterparty risk for exchange-traded futures is generally less than privately negotiated futures, since the clearinghouse, which is the issuer or counterparty to each exchange-traded future, has robust risk mitigation standards, including the requirement to provide initial and variation margin. 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 time it was closed.

Use of long futures subjects the Fund to risk of loss in excess of the amounts shown on the statement of assets and liabilities, up to the notional value of the futures. Use of short futures subjects the Fund to unlimited risk of loss. Under some circumstances, futures exchanges may establish daily limits on the amount that the price of futures can vary from the previous day’s settlement price, which could effectively prevent liquidation of unfavorable positions.

During the year ended October 31, 2023, the Fund held futures for hedging and non-hedging purposes.

• Forward Currency Exchange Contracts

The Fund may enter into forward currency exchange contracts in order to hedge its exposure to changes in foreign currency exchange rates on its foreign portfolio holdings, to hedge certain firm purchase and sale commitments denominated in foreign currencies and for non-hedging purposes as a means of making direct investments in foreign currencies, as described below under “Currency Transactions”.

A forward currency exchange contract is a commitment to purchase or sell a foreign currency at a future date at a negotiated forward rate. The gain or loss arising from the difference between the original contract and the closing of such contract would be included in net realized gain or loss on forward currency exchange contracts. Fluctuations in the value of open forward currency exchange contracts are recorded for financial reporting purposes as unrealized appreciation and/or depreciation by the Fund. Risks may arise from the potential inability of a counterparty to meet the terms of a contract and from unanticipated movements in the value of a foreign currency relative to the U.S. dollar.

During the year ended October 31, 2023, the Fund held forward currency exchange contracts for hedging and non-hedging purposes.

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• Swaps

The Fund may enter into swaps to hedge its exposure to interest rates, credit risk or currencies. The Fund may also enter into swaps for non-hedging purposes as a means of gaining market exposures, making direct investments in foreign currencies, as described below under “Currency Transactions.” A swap is an agreement that obligates two parties to exchange a series of cash flows at specified intervals based upon or calculated by reference to changes in specified prices or rates for a specified amount of an underlying asset. The payment flows are usually netted against each other, with the difference being paid by one party to the other. In addition, collateral may be pledged or received by the Fund in accordance with the terms of the respective swaps to provide value and recourse to the Fund or its counterparties in the event of default, bankruptcy or insolvency by one of the parties to the swap.

Risks may arise as a result of the failure of the counterparty to the swap to comply with the terms of the swap. The loss incurred by the failure of a counterparty is generally limited to the net interim payment to be received by the Fund, and/or the termination value at the end of the contract. Therefore, the Fund considers the creditworthiness of each counterparty to a swap in evaluating potential counterparty risk. This risk is mitigated by having a netting arrangement between the Fund and the counterparty and by the posting of collateral by the counterparty to the Fund to cover the Fund’s exposure to the counterparty. Additionally, risks may arise from unanticipated movements in interest rates or in the value of the underlying securities. The Fund accrues for the interim payments on swaps on a daily basis, with the net amount recorded within unrealized appreciation/depreciation of swaps on the statement of assets and liabilities, where applicable. Once the interim payments are settled in cash, the net amount is recorded as realized gain/(loss) on swaps on the statement of operations, in addition to any realized gain/(loss) recorded upon the termination of swaps. Upfront premiums paid or received for swaps are recognized as cost or proceeds on the statement of assets and liabilities and are amortized on a straight line basis over the life of the contract. Amortized upfront premiums are included in net realized gain/(loss) from swaps on the statement of operations. Fluctuations in the value of swaps are recorded as a component of net change in unrealized appreciation/depreciation of swaps on the statement of operations.

Certain standardized swaps, including certain interest rate swaps and credit default swaps, are (or soon will be) subject to mandatory central clearing. Cleared swaps are transacted through futures commission merchants (“FCMs”) that are members of central clearinghouses, with the clearinghouse serving as central counterparty, similar to

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transactions in futures contracts. Centralized clearing will be required for additional categories of swaps on a phased-in basis based on requirements published by the Securities and Exchange Commission and Commodity Futures Trading Commission.

At the time the Fund enters into a centrally cleared swap, the Fund deposits and maintains as collateral an initial margin with the broker, as required by the clearinghouse on which the transaction is effected. Such amount is shown as cash collateral due from broker on the statement of assets and liabilities. Pursuant to the contract, the Fund agrees to receive from or pay to the broker an amount of cash equal to the daily fluctuation in the value of the contract. Such receipts or payments are known as variation margin and are recorded by the Fund as unrealized gains or losses. Risks may arise from the potential inability of a counterparty to meet the terms of the contract. The credit/counterparty risk for centrally cleared swaps is generally less than non-centrally cleared swaps, since the clearinghouse, which is the issuer or counterparty to each centrally cleared swap, has robust risk mitigation standards, including the requirement to provide initial and variation margin. 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 time it was closed.

Interest Rate Swaps:

The Fund is subject to interest rate risk exposure in the normal course of pursuing its investment objectives. Because the Fund holds fixed rate bonds, the value of these bonds may decrease if interest rates rise. To help hedge against this risk and to maintain its ability to generate income at prevailing market rates, the Fund may enter into interest rate swaps. Interest rate swaps are agreements between two parties to exchange cash flows based on a notional amount. The Fund may elect to pay a fixed rate and receive a floating rate, or, receive a fixed rate and pay a floating rate on a notional amount.

In addition, the Fund may also enter into interest rate swap transactions to preserve a return or spread on a particular investment or portion of its portfolio, or protecting against an increase in the price of securities the Fund anticipates purchasing at a later date. Interest rate swaps involve the exchange by the Fund with another party of their respective commitments to pay or receive interest (e.g., an exchange of floating rate payments for fixed rate payments) computed based on a contractually-based principal (or “notional”) amount. Interest rate swaps are entered into on a net basis (i.e., the two payment streams are netted out, with the Fund receiving or paying, as the case may be, only the net amount of the two payments).

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During the year ended October 31, 2023, the Fund held interest rate swaps for hedging and non-hedging purposes.

Inflation (CPI) Swaps:

Inflation swap agreements are contracts in which one party agrees to pay the cumulative percentage increase in a price index (the Consumer Price Index with respect to CPI swaps) over the term of the swap (with some lag on the inflation index), and the other pays a compounded fixed rate. Inflation swaps may be used to protect the net asset value, or NAV, of the Fund against an unexpected change in the rate of inflation measured by an inflation index since the value of these agreements is expected to increase if there are unexpected inflation increases.

During the year ended October 31, 2023, the Fund held inflation (CPI) swaps for hedging and non-hedging purposes.

Credit Default Swaps:

The Fund may enter into credit default swaps, including to manage its exposure to the market or certain sectors of the market, to reduce its risk exposure to defaults by corporate and sovereign issuers held by the Fund, or to create exposure to corporate or sovereign issuers to which it is not otherwise exposed. The Fund may purchase credit protection (“Buy Contract”) or provide credit protection (“Sale Contract”) on the referenced obligation of the credit default swap. During the term of the swap, the Fund receives/(pays) fixed payments from/(to) the respective counterparty, calculated at the agreed upon rate applied to the notional amount. If the Fund is a buyer/(seller) of protection and a credit event occurs, as defined under the terms of the swap, the Fund will either (i) receive from the seller/(pay to the buyer) of protection an amount equal to the notional amount of the swap (the “Maximum Payout Amount”) and deliver/(take delivery of) the referenced obligation or (ii) receive/(pay) a net settlement amount in the form of cash or securities equal to the notional amount of the swap less the recovery value of the referenced obligation. In certain circumstances Maximum Payout Amounts may be partially offset by recovery values of the respective referenced obligations, upfront premium received upon entering into the agreement, or net amounts received from settlement of buy protection credit default swaps entered into by the Fund for the same referenced obligations with the same counterparty.

Credit default swaps may involve greater risks than if the Fund had invested in the referenced obligation directly. Credit default swaps are subject to general market risk, liquidity risk, counterparty risk and credit risk. If the Fund is a buyer of protection and no credit event occurs, it will lose the payments it made to its counterparty. If the

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Fund is a seller of protection and a credit event occurs, the value of the referenced obligation received by the Fund coupled with the periodic payments previously received, may be less than the Maximum Payout Amount it pays to the buyer, resulting in a net loss to the Fund.

Implied credit spreads over U.S. Treasuries of comparable maturity utilized in determining the market value of credit default swaps on issuers as of period end are disclosed in the portfolio of investments. The implied spreads serve as an indicator of the current status of the payment/performance risk and typically reflect the likelihood of default by the issuer of the referenced obligation. The implied credit spread of a particular reference obligation also reflects the cost of buying/selling protection and may reflect upfront payments required to be made to enter into the agreement. Widening credit spreads typically represent a deterioration of the referenced obligation’s credit soundness and greater likelihood of default or other credit event occurring as defined under the terms of the agreement. A credit spread identified as “Defaulted” indicates a credit event has occurred for the referenced obligation.

During the year ended October 31, 2023, the Fund held credit default swaps for hedging and non-hedging purposes.

The Fund typically enters into International Swaps and Derivatives Association, Inc. Master Agreements (“ISDA Master Agreement”) with its OTC derivative contract counterparties in order to, among other things, reduce its credit risk to OTC counterparties. ISDA Master Agreements include provisions for general obligations, representations, collateral and events of default or termination. Under an ISDA Master Agreement, the Fund typically may offset with the OTC counterparty certain derivative financial instruments’ payables and/or receivables with collateral held and/or posted and create one single net payment (close-out netting) in the event of default or termination. In the event of a default by an OTC counterparty, the return of collateral with market value in excess of the Fund’s net liability, held by the defaulting party, may be delayed or denied.

The Fund’s ISDA Master Agreements may contain provisions for early termination of OTC derivative transactions in the event the net assets of the Fund decline below specific levels (“net asset contingent features”). If these levels are triggered, the Fund’s OTC counterparty has the right to terminate such transaction and require the Fund to pay or receive a settlement amount in connection with the terminated transaction. If OTC derivatives were held at period end, please refer to netting arrangements by the OTC counterparty table below for additional details.

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During the year ended October 31, 2023, the Fund had entered into the following derivatives:

	Asset Derivatives				Liability Derivatives
Derivative Type	Statement of Assets and Liabilities Location	Fair Value			Statement of Assets and Liabilities Location	Fair Value
Interest rate contracts	Receivable for variation margin on futures	$	380,957	*	Payable for variation margin on futures	$	2,455,280	*
Credit contracts	Receivable for variation margin on centrally cleared swaps		220,697	*	Payable for variation margin on centrally cleared swaps		96,428	*
Interest rate contracts	Receivable for variation margin on centrally cleared swaps		19,404,489	*	Payable for variation margin on centrally cleared swaps		115,545	*
Foreign currency contracts	Unrealized appreciation on forward currency exchange contracts		18,786
Credit contracts					Market value on credit default swaps		195,225
Total		$	20,024,929			$	2,862,478

* Only variation margin receivable/payable at period end is reported within the statement of assets and liabilities.

This amount reflects cumulative unrealized appreciation (depreciation) on futures and centrally cleared swaps as reported in the portfolio of investments.

Derivative Type	Location of Gain or (Loss) on Derivatives Within Statement of Operations	Realized Gain or (Loss) on Derivatives			Change in Unrealized Appreciation or (Depreciation)
Interest rate contracts	Net realized gain (loss) on futures; Net change in unrealized appreciation (depreciation) of futures	$	(6,308,596	)	$	(1,754,011	)

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Derivative Type	Location of Gain or (Loss) on Derivatives Within Statement of Operations	Realized Gain or (Loss) on Derivatives			Change in Unrealized Appreciation or (Depreciation)
Foreign currency contracts	Net realized gain (loss) on forward currency exchange contracts; Net change in unrealized appreciation (depreciation) of forward currency exchange contracts	$	(172,394	)	$	123,580
Interest rate contracts	Net realized gain (loss) on swaps; Net change in unrealized appreciation (depreciation) of swaps		15,547,808			(13,072,796	)
Credit contracts	Net realized gain (loss) on swaps; Net change in unrealized appreciation (depreciation) of swaps		(1,488,427	)		1,207,303
Total		$	7,578,391		$	(13,495,924	)

The following table represents the average monthly volume of the Fund’s derivative transactions during the year ended October 31, 2023:

Futures:
Average notional amount of buy contracts	$	183,916,829
Average notional amount of sale contracts	$	45,208,270
Forward Currency Exchange Contracts:
Average principal amount of buy contracts	$	405,549	(a)
Average principal amount of sale contracts	$	7,170,130
Interest Rate Swaps:
Average notional amount	$	595,000	(b)
Inflation Swaps:
Average notional amount	$	23,800,000	(c)
Centrally Cleared Interest Rate Swaps:
Average notional amount	$	90,212,154
Centrally Cleared Inflation Swaps:
Average notional amount	$	273,255,385
Credit Default Swaps:
Average notional amount of buy contracts	$	9,596,000	(d)
Average notional amount of sale contracts	$	3,082,297
Centrally Cleared Credit Default Swaps:
Average notional amount of buy contracts	$	18,977,000
Average notional amount of sale contracts	$	30,708,800	(e)

(a) Positions were open for two months during the year.

(b) Positions were open for four months during the year.

(c) Positions were open for eight months during the year.

(d) Positions were open for one month during the year.

(e) Positions were open for five months during the year.

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For financial reporting purposes, the Fund does not offset derivative assets and derivative liabilities that are subject to netting arrangements in the statement of assets and liabilities.

All OTC derivatives held at period end were subject to netting arrangements. The following table presents the Fund’s derivative assets and liabilities by OTC counterparty net of amounts available for offset under ISDA Master Agreements (“MA”) and net of the related collateral received/pledged by the Fund as of October 31, 2023. Exchange-traded derivatives and centrally cleared swaps are not subject to netting arrangements and as such are excluded from the table.

Counterparty	Derivative Assets Subject to a MA		Derivatives Available for Offset			Cash Collateral Received*			Security Collateral Received*			Net Amount of Derivative Assets
Morgan Stanley Capital Services, Inc./Morgan Stanley Capital Services LLC	$	18,786	$	(12,063	)	$	– 0	–	$	– 0	–	$	6,723
Total	$	18,786	$	(12,063	)	$	– 0	–	$	– 0	–	$	6,723	^

Counterparty	Derivative Liabilities Subject to a MA		Derivatives Available for Offset			Cash Collateral Pledged*			Security Collateral Pledged*			Net Amount of Derivative Liabilities
Citigroup Global Markets, Inc.	$	32,972	$	– 0	–	$	– 0	–	$	– 0	–	$	32,972
Credit Suisse International		26,905		– 0	–		(26,905	)		– 0	–		– 0	–
Deutsche Bank AG		68,338		– 0	–		– 0	–		(68,338	)		– 0	–
Goldman Sachs International		54,947		– 0	–		– 0	–		(54,947	)		– 0	–
Morgan Stanley Capital Services, Inc./Morgan Stanley Capital Services LLC		12,063		(12,063	)		– 0	–		– 0	–		– 0	–
Total	$	195,225	$	(12,063	)	$	(26,905	)	$	(123,285	)	$	32,972	^

* The actual collateral received/pledged may be more than the amount reported due to over-collateralization.

^ Net amount represents the net receivable/payable that would be due from/to the counterparty in the event of default or termination. The net amount from OTC financial derivative instruments can only be netted across transactions governed under the same master agreement with the same counterparty.

See Note D.3 for additional disclosure of netting arrangements regarding reverse repurchase agreements.

2. Currency Transactions

The Fund may invest in non-U.S. Dollar-denominated securities on a currency hedged or unhedged basis. The Fund may seek investment

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opportunities by taking long or short positions in currencies through the use of currency-related derivatives, including forward currency exchange contracts, futures and options on futures, swaps, and other options. The Fund may enter into transactions for investment opportunities when it anticipates that a foreign currency will appreciate or depreciate in value but securities denominated in that currency are not held by the Fund and do not present attractive investment opportunities. Such transactions may also be used when the Adviser believes that it may be more efficient than a direct investment in a foreign currency-denominated security. The Fund may also conduct currency exchange contracts on a spot basis (i.e., for cash at the spot rate prevailing in the currency exchange market for buying or selling currencies).

3. TBA and Dollar Rolls

The Fund may invest in TBA mortgage-backed securities. A TBA, or “To Be Announced”, trade represents a contract for the purchase or sale of mortgage-backed securities to be delivered at a future agree-upon date; however, the specific mortgage pool numbers or the number of pools that will be delivered to fulfill the trade obligation or terms of the contract are unknown at the time of the trade. Mortgage pools (including fixed-rate or variable-rate mortgages) guaranteed by the Government National Mortgage Association, or GNMA, the Federal National Mortgage Association, or FNMA, or the Federal Home Loan Mortgage Corporation, or FHLMC, are subsequently allocated to the TBA transactions.

The Fund may enter into certain TBA transactions known as dollar rolls. Dollar rolls involve sales by the Fund of securities for delivery in the current month and the Fund’s simultaneously contracting to repurchase substantially similar (same type and coupon) securities on a specified future date. During the roll period, the Fund forgoes principal and interest paid on the securities. The Fund is compensated by the difference between the current sales price and the lower forward price for the future purchase (often referred to as the “drop”) as well as by the interest earned on the cash proceeds of the initial sale. Dollar rolls involve the risk that the market value of the securities the Fund is obligated to repurchase under the agreement may decline below the repurchase price. Dollar rolls are speculative techniques. For the year ended October 31, 2023, the Fund earned drop income of $7,794 which is included in interest income in the accompanying statement of operations.

4. Reverse Repurchase Agreements

The Fund may enter into reverse repurchase transactions (“RVP”) in accordance with the terms of a Master Repurchase Agreement (“MRA”), under which the Fund sells securities and agrees to repurchase them at a mutually agreed upon date and price. At the time the Fund enters into a

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reverse repurchase agreement, it will establish a segregated account with the custodian containing liquid assets having a value comparable to the repurchase price. Under the MRA and other master agreements, the Fund is permitted to offset payables and/or receivables with collateral held and/or posted to the counterparty and create one single net payment due to or from the Fund in the event of a default. In the event of a default by a MRA counterparty, the Fund may be considered an unsecured creditor with respect to any excess collateral (collateral with a market value in excess of the repurchase price) held by and/or posted to the counterparty, and as such the return of such excess collateral may be delayed or denied. For the year ended October 31, 2023, the average amount of reverse repurchase agreements outstanding was $21,280,855 and the daily weighted average interest rate was 4.71%. At October 31, 2023, the Fund had reverse repurchase agreements outstanding in the amount of $11,300,581 as reported on the statement of assets and liabilities.

The following table presents the Fund’s RVP liabilities by counterparty net of the related collateral pledged by the Fund as of October 31, 2023:

Counterparty	RVP Liabilities Subject to a MRA		Securities Collateral Pledged†*			Net Amount of RVP Liabilities
HSBC Securities (USA), Inc.	$	11,300,581	$	(11,300,581	)	$	– 0 –

† Including accrued interest.

* The actual collateral pledged may be more than the amount reported due to overcollateralization.

NOTE E

Capital Stock

Each class consists of 3,000,000,000 authorized shares. Transactions in capital shares for each class were as follows:

	Shares						Amount
	Year Ended October 31, 2023			Year Ended October 31, 2022			Year Ended October 31, 2023			Year Ended October 31, 2022
Class A
Shares sold		1,374,148			3,408,664		$	14,206,566		$	39,211,778
Shares issued in reinvestment of dividends and distributions		177,750			255,057			1,841,367			2,866,214
Shares converted from Class C		25,396			26,159			260,530			297,352
Shares redeemed		(3,113,596	)		(2,041,123	)		(32,165,303	)		(22,492,315	)
Net increase (decrease)		(1,536,302	)		1,648,757		$	(15,856,840	)	$	19,883,029

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	Shares						Amount
	Year Ended October 31, 2023			Year Ended October 31, 2022			Year Ended October 31, 2023			Year Ended October 31, 2022
Class C
Shares sold		107,722			957,369		$	1,079,055		$	10,835,221
Shares issued in reinvestment of dividends and distributions		34,730			73,644			348,336			802,273
Shares converted to Class A		(26,256	)		(26,969	)		(260,530	)		(297,352	)
Shares redeemed		(846,986	)		(560,082	)		(8,475,373	)		(6,068,964	)
Net increase (decrease)		(730,790	)		443,962		$	(7,308,512	)	$	5,271,178
Advisor Class
Shares sold		8,103,379			40,616,333		$	84,039,313		$	468,051,394
Shares issued in reinvestment of dividends and distributions		1,049,467			2,345,667			10,891,755			26,434,513
Shares redeemed		(36,258,220	)		(33,515,631	)		(377,020,172	)		(375,042,679	)
Net increase (decrease)		(27,105,374	)		9,446,369		$	(282,089,104	)	$	119,443,228
Class R
Shares sold		62,283			141,704		$	647,299		$	1,603,993
Shares issued in reinvestment of dividends and distributions		9,426			11,932			97,891			134,438
Shares redeemed		(87,272	)		(95,894	)		(905,130	)		(1,097,267	)
Net increase (decrease)		(15,563	)		57,742		$	(159,940	)	$	641,164
Class K
Shares sold		131,607			112,908		$	1,359,848		$	1,294,450
Shares issued in reinvestment of dividends and distributions		19,301			27,068			199,485			306,141
Shares redeemed		(120,706	)		(335,148	)		(1,233,703	)		(3,896,262	)
Net increase (decrease)		30,202			(195,172	)	$	325,630		$	(2,295,671	)
Class I
Shares sold		260,243			423,106		$	2,649,082		$	4,824,045
Shares issued in reinvestment of dividends and distributions		25,398			39,405			259,635			438,474
Shares redeemed		(356,853	)		(346,343	)		(3,634,655	)		(3,852,368	)
Net increase (decrease)		(71,212	)		116,168		$	(725,938	)	$	1,410,151

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	Shares						Amount
	Year Ended October 31, 2023			Year Ended October 31, 2022			Year Ended October 31, 2023			Year Ended October 31, 2022
Class 1
Shares sold		6,139,563			11,062,605		$	62,318,139		$	125,319,297
Shares issued in reinvestment of dividends and distributions		1,228,769			1,752,879			12,427,665			19,320,268
Shares redeemed		(11,321,158	)		(6,204,606	)		(114,476,455	)		(68,561,063	)
Net increase (decrease)		(3,952,826	)		6,610,878		$	(39,730,651	)	$	76,078,502
Class 2
Shares sold		394,500			3,439,902		$	4,022,442		$	39,531,686
Share issued in reinvestment of dividends and distributions		178,128			347,497			1,800,737			3,835,645
Shares redeemed		(2,212,509	)		(3,552,396	)		(22,375,665	)		(40,218,571	)
Net increase (decrease)		(1,639,881	)		235,003		$	(16,552,486	)	$	3,148,760
Class Z
Shares sold		637,043			660,539		$	6,411,147		$	7,478,978
Share issued in reinvestment of dividends and distributions		51,428			113,031			521,312			1,250,674
Shares redeemed		(281,603	)		(1,528,362	)		(2,851,692	)		(16,419,494	)
Net increase (decrease)		406,868			(754,792	)	$	4,080,767		$	(7,689,842	)

NOTE F

Risks Involved in Investing in the Fund

Market Risk—The value of the Fund’s assets will fluctuate as the bond market fluctuates. The value of the Fund’s investments may decline, sometimes rapidly and unpredictably, simply because of economic changes or other events, including public health crises (including the occurrence of a contagious disease or illness) and regional and global conflicts, that affect large portions of the market.

Credit Risk—An issuer or guarantor of a fixed-income security, or the counterparty to a derivatives or other contract, may be unable or unwilling to make timely payments of interest or principal, or to otherwise honor its obligations. The issuer or guarantor may default, causing a loss of the full principal amount of a security and accrued interest. The degree of risk for a particular security may be reflected in its credit rating. There is the possibility that the credit rating of a fixed-income security may be

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NOTES TO FINANCIAL STATEMENTS (continued)

downgraded after purchase, which may adversely affect the value of the security. Investments in fixed-income securities with lower ratings tend to have a higher probability that an issuer will default or fail to meet its payment obligations.

Interest-Rate Risk—Changes in interest rates will affect the value of investments in fixed-income securities. When interest rates rise, the value of existing investments in fixed-income securities tends to fall and this decrease in value may not be offset by higher income from new investments. Interest-rate risk is generally greater for fixed-income securities with longer maturities or durations. The Fund may be subject to a greater risk of rising interest rates than would normally be the case due to the recent end of a period of historically low rates and the effect of potential central bank monetary policy, and government fiscal policy initiatives and resulting market reactions to those initiatives.

Duration Risk—Duration is a measure that relates the expected price volatility of a fixed-income security to changes in interest rates. The duration of a fixed-income security may be shorter than or equal to full maturity of a fixed-income security. Fixed-income securities with longer durations have more risk and will decrease in price as interest rates rise.

Inflation Risk—This is the risk that the value of assets or income from investments will be less in the future as inflation decreases the value of money. As inflation increases, the value of the Fund’s assets can decline as can the value of the Fund’s distributions. This risk is significantly greater for fixed-income securities with longer maturities. Although the Fund invests principally in inflation-indexed securities, the value of its securities may be vulnerable to changes in expectations of inflation or interest rates.

Derivatives Risk—Derivatives may be difficult to price or unwind and leveraged so that small changes may produce disproportionate losses for the Fund. A short position in a derivative instrument involves the risk of a theoretically unlimited increase in the value of the underlying asset, which could cause the Fund to suffer a potentially unlimited loss. Derivatives, especially over-the-counter derivatives, are also subject to counterparty risk, which is the risk that the counterparty (the party on the other side of the transaction) on a derivative transaction will be unable or unwilling to honor its contractual obligations to the Fund.

Foreign (Non-U.S.) Risk—Investments in securities of non-U.S. issuers may involve more risk than those of U.S. issuers. These securities may fluctuate more widely in price and may be more difficult to trade due to adverse market, economic, political, regulatory or other factors.

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NOTES TO FINANCIAL STATEMENTS (continued)

Currency Risk—Fluctuations in currency exchange rates may negatively affect the value of the Fund’s investments or reduce its returns.

Mortgage-Related and/or Other Asset-Backed Securities Risk—Investments in mortgage-related and other asset-backed securities are subject to certain additional risks. The value of these securities may be particularly sensitive to changes in interest rates. These risks include “extension risk”, which is the risk that, in periods of rising interest rates, issuers may delay the payment of principal, and “prepayment risk”, which is the risk that in periods of falling interest rates, issuers may pay principal sooner than expected, exposing the Fund to a lower rate of return upon reinvestment of principal. Mortgage-backed securities offered by non-governmental issuers and other asset-backed securities may be subject to other risks, such as higher rates of default in the mortgages or assets backing the securities or risks associated with the nature and servicing of mortgages or assets backing the securities.

Leverage Risk—When the Fund borrows money or otherwise leverages its investments, its performance may be volatile because leverage tends to exaggerate the effect of any increase or decrease in the value of the Fund’s investments. The Fund may create leverage through the use of reverse repurchase arrangements, forward currency exchange contracts, forward commitments, dollar rolls or futures or by borrowing money. The use of other types of derivative instruments by the Fund, such as options and swaps, may also result in a form of leverage. Leverage may result in higher returns to the Fund than if the Fund were not leveraged, but may also adversely affect returns, particularly if the market is declining.

Illiquid Investments Risk—Illiquid investments risk exists when certain investments are or become difficult to purchase or sell. Difficulty in selling such investments may result in sales at disadvantageous prices affecting the value of your investment in the Fund. Causes of illiquid investments risk may include low trading volumes, large positions and heavy redemptions of Fund shares. Illiquid investments risk may be higher in a rising interest rate environment, when the value and liquidity of fixed-income securities generally go down.

LIBOR Replacement Risk—The Fund may be exposed to debt securities, derivatives or other financial instruments that recently transitioned from the London Interbank Offered Rate, or “LIBOR,” as a “benchmark” or “reference rate” for various interest rate calculations. LIBOR’s administrator, ICE Benchmark Administration, ceased publishing most LIBOR settings (including some U.S. LIBOR settings) by the end of 2021 and the remaining (and most widely used) U.S. Dollar LIBOR settings after June 30, 2023. The United Kingdom Financial Conduct Authority, which

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NOTES TO FINANCIAL STATEMENTS (continued)

regulates LIBOR, will permit the use of synthetic U.S. Dollar LIBOR rates for non-U.S. contracts through September 30, 2024, but any such rates would be considered non-representative of the underlying market. Since 2018 the Federal Reserve Bank of New York has published the Secured Overnight Financing Rate (referred to as SOFR), which is intended to replace U.S. Dollar LIBOR. SOFR is a broad measure of the cost of borrowing cash overnight collateralized by U.S. Treasury securities in the repurchase agreement (repo) market. There is no assurance that the composition or characteristics of SOFR or any such alternative reference rate will be similar to or produce the same value or economic equivalence as LIBOR or that the market for SOFR-linked financial instruments will have the same volume or liquidity as did the market for LIBOR-linked financial instruments prior to LIBOR’s discontinuance or unavailability. Neither the long-term effects of the LIBOR transition process nor its ultimate success can yet be known.

Indemnification Risk—In the ordinary course of business, the Fund enters into contracts that contain a variety of indemnifications. The Fund’s maximum exposure under these arrangements is unknown. However, the Fund has not had prior claims or losses pursuant to these indemnification provisions and expects the risk of loss thereunder to be remote. Therefore, the Fund has not accrued any liability in connection with these indemnification provisions.

Management Risk—The Fund is subject to management risk because it is an actively-managed investment fund. The Adviser will apply its investment techniques and risk analyses in making investment decisions, but there is no guarantee that its techniques will produce the intended results. Some of these techniques may incorporate, or rely upon, quantitative models, but there is no guarantee that these models will generate accurate forecasts, reduce risk or otherwise perform as expected.

NOTE G

Joint Credit Facility

A number of open-end mutual funds managed by the Adviser, including the Fund, participate in a $325 million revolving credit facility (the “Facility”) intended to provide short-term financing related to redemptions and other short term liquidity requirements, subject to certain restrictions. Commitment fees related to the Facility are paid by the participating funds and are included in miscellaneous expenses in the statement of operations. The Fund did not utilize the Facility during the year ended October 31, 2023.

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NOTES TO FINANCIAL STATEMENTS (continued)

NOTE H

Distributions to Shareholders

The tax character of distributions paid during the fiscal years ended October 31, 2023 and October 31, 2022 were as follows:

	2023			2022
Distributions paid from:
Ordinary income	$	38,249,959		$	68,537,505
Net long-term capital gains		– 0	–		3,796,204
Total taxable distributions paid	$	38,249,959		$	72,333,709

As of October 31, 2023, the components of accumulated earnings (deficit) on a tax basis were as follows:

Undistributed ordinary income	$	2,428,427
Accumulated capital and other losses		(129,498,099	)(a)
Unrealized appreciation (depreciation)		(22,437,122	)(b)
Total accumulated earnings (deficit)	$	(149,506,794	)(c)

(a) As of October 31, 2023, the Fund had a net capital loss carryforward of $129,498,099.

(b) The differences between book-basis and tax-basis unrealized appreciation (depreciation) are attributable primarily to the recognition for tax purposes of unrealized gains/losses on certain derivative instruments, the tax treatment of passive foreign investment companies (PFICs), the tax treatment of callable bonds, the tax treatment of swaps, and the tax deferral of losses on wash sales.

(c) The differences between book-basis and tax-basis components of accumulated earnings (deficit) are attributable primarily to the accrual of foreign capital gains tax, the tax treatment of defaulted securities, and dividends payable.

For tax purposes, net realized capital losses may be carried over to offset future capital gains, if any. Funds are permitted to carry forward capital losses for an indefinite period, and such losses will retain their character as either short-term or long-term capital losses. As of October 31, 2023, the Fund had a net short-term capital loss carryforward of $57,636,641 and a net long-term capital loss carryforward of $71,861,458, which may be carried forward for an indefinite period.

During the current fiscal year, there were no permanent differences that resulted in adjustments to accumulated loss or additional paid-in capital.

NOTE I

Recent Accounting Pronouncements

In December 2022, the Financial Accounting Standards Board issued an Accounting Standards Update, ASU 2022-06, “Reference Rate Reform (Topic 848) – Deferral of the Sunset Date of Topic 848”. ASU 2022-06 is an amendment to ASU 2020-04, which provided optional guidance to ease the potential accounting burden due to the discontinuation of the LIBOR and other interbank-offered based reference rates and which was

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NOTES TO FINANCIAL STATEMENTS (continued)

effective as of March 12, 2020 through December 31, 2022. ASU 2022-06 extends the effective period through December 31, 2024. Management is currently evaluating the impact, if any, of applying ASU 2022-06.

NOTE J

Subsequent Events

At a meeting held on October 31-November 2, 2023, the Board approved: (i) the discontinuance of the offering of Class K and Class R shares of the Fund to investors; (ii) the liquidation of the assets corresponding to such classes; (iii) the making of a final liquidating distribution to the remaining shareholders of each such class; and (iv) the redemption of all outstanding shares of each such class in the liquidating distribution or immediately thereafter. The Fund has suspended sales of Class K and Class R shares to new investors effective November 3, 2023. The Fund expects to make liquidating distributions to shareholders based on net asset value no later than nine months from the date of the approval of the Board.

Management has evaluated subsequent events for possible recognition or disclosure in the financial statements through the date the financial statements are issued. Management has determined that there are no other material events that would require disclosure in the Fund’s financial statements through this date.

70    ^|    AB BOND INFLATION  STRATEGY abfunds.com

FINANCIAL HIGHLIGHTS

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

	Class A
	Year Ended October 31,
	2023			2022			2021			2020			2019
Net asset value, beginning of period		$  10.29			$  11.97			$  11.56			$  10.95			$  10.47
Income From Investment Operations
Net investment income(a)(b)		.43			.64			.51			.25			.21
Net realized and unrealized gain (loss) on investment and foreign currency transactions		(.26	)		(1.66	)		.35			.59			.52
Contributions from Affiliates		– 0	–		– 0	–		– 0	–		– 0	–		.00	(c)
Net increase (decrease) in net asset value from operations		.17			(1.02	)		.86			.84			.73
Less: Dividends and Distributions
Dividends from net investment income		(.44	)		(.62	)		(.45	)		(.23	)		(.24	)
Distributions from net realized gain on investment transactions		– 0	–		(.04	)		– 0	–		– 0	–		– 0	–
Return of capital		– 0	–		– 0	–		– 0	–		– 0	–		(.01	)
Total dividends and distributions		(.44	)		(.66	)		(.45	)		(.23	)		(.25	)
Net asset value, end of period		$  10.02			$  10.29			$  11.97			$  11.56			$  10.95
Total Return
Total investment return based on net asset value(d)		1.70	%		(8.93	)%		7.63	%		7.64	%		7.00	%
Ratios/Supplemental Data
Net assets, end of period (000’s omitted)		$46,881			$63,936			$54,687			$31,248			$38,422
Ratio to average net assets of:
Expenses, net of waivers/reimbursements(e)		.86	%		.84	%		.78	%		.91	%		1.25	%
Expenses, before waivers/reimbursements(e)		1.09	%		1.04	%		1.00	%		1.18	%		1.51	%
Net investment income(b)		4.16	%		5.69	%		4.29	%		2.26	%		1.93	%
Portfolio turnover rate		125	%		79	%		62	%		48	%		40	%

See footnote summary on page 80.

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FINANCIAL HIGHLIGHTS (continued)

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

	Class C
	Year Ended October 31,
	2023			2022			2021			2020			2019
Net asset value, beginning of period		$  9.96			$  11.63			$  11.25			$  10.67			$  10.24
Income From Investment Operations
Net investment income(a)(b)		.33			.54			.44			.18			.13
Net realized and unrealized gain (loss) on investment and foreign currency transactions		(.24	)		(1.62	)		.31			.56			.49
Contributions from Affiliates		– 0	–		– 0	–		– 0	–		– 0	–		.00	(c)
Net increase (decrease) in net asset value from operations		.09			(1.08	)		.75			.74			.62
Less: Dividends and Distributions
Dividends from net investment income		(.37	)		(.55	)		(.37	)		(.16	)		(.19	)
Distributions from net realized gain on investment transactions		– 0	–		(.04	)		– 0	–		– 0	–		– 0	–
Total dividends and distributions		(.37	)		(.59	)		(.37	)		(.16	)		(.19	)
Net asset value, end of period		$  9.68			$  9.96			$  11.63			$  11.25			$  10.67
Total Return
Total investment return based on net asset value(d)		.85	%		(9.58	)%		6.87	%		6.92	%		6.18	%
Ratios/Supplemental Data
Net assets, end of period (000’s omitted)		$7,973			$15,480			$12,915			$3,823			$2,607
Ratio to average net assets of:
Expenses, net of waivers/reimbursements(e)		1.62	%		1.59	%		1.53	%		1.64	%		1.99	%
Expenses, before waivers/reimbursements(e)		1.85	%		1.78	%		1.75	%		1.91	%		2.26	%
Net investment income(b)		3.33	%		4.91	%		3.79	%		1.62	%		1.28	%
Portfolio turnover rate		125	%		79	%		62	%		48	%		40	%

See footnote summary on page 80.

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FINANCIAL HIGHLIGHTS (continued)

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

	Advisor Class
	Year Ended October 31,
	2023			2022			2021			2020			2019
Net asset value, beginning of period		$  10.30			$  11.99			$  11.57			$  10.96			$  10.49
Income From Investment Operations
Net investment income(a)(b)		.44			.67			.57			.27			.27
Net realized and unrealized gain (loss) on investment and foreign currency transactions		(.25	)		(1.67	)		.33			.60			.48
Contributions from Affiliates		– 0	–		– 0	–		– 0	–		– 0	–		.00	(c)
Net increase (decrease) in net asset value from operations		.19			(1.00	)		.90			.87			.75
Less: Dividends and Distributions
Dividends from net investment income		(.46	)		(.65	)		(.48	)		(.26	)		(.27	)
Distributions from net realized gain on investment transactions		– 0	–		(.04	)		– 0	–		– 0	–		– 0	–
Return of capital		– 0	–		– 0	–		– 0	–		– 0	–		(.01	)
Total dividends and distributions		(.46	)		(.69	)		(.48	)		(.26	)		(.28	)
Net asset value, end of period		$  10.03			$  10.30			$  11.99			$  11.57			$  10.96
Total Return
Total investment return based on net asset value(d)		1.93	%		(8.72	)%		7.98	%		7.93	%		7.21	%
Ratios/Supplemental Data
Net assets, end of period (000’s omitted)		$220,987			$506,033			$475,604			$135,677			$168,440
Ratio to average net assets of:
Expenses, net of waivers/reimbursements(e)		.62	%		.59	%		.53	%		.66	%		.97	%
Expenses, before waivers/reimbursements(e)		.85	%		.78	%		.74	%		.92	%		1.24	%
Net investment income(b)		4.23	%		5.95	%		4.76	%		2.44	%		2.47	%
Portfolio turnover rate		125	%		79	%		62	%		48	%		40	%

See footnote summary on page 80.

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FINANCIAL HIGHLIGHTS (continued)

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

	Class R
	Year Ended October 31,
	2023			2022			2021			2020			2019
Net asset value, beginning of period		$  10.32			$  12.00			$  11.57			$  10.93			$  10.46
Income From Investment Operations
Net investment income(a)(b)		.41			.61			.45			.21			.20
Net realized and unrealized gain (loss) on investment and foreign currency transactions		(.27	)		(1.67	)		.38			.62			.49
Contributions from Affiliates		– 0	–		– 0	–		– 0	–		– 0	–		.00	(c)
Net increase (decrease) in net asset value from operations		.14			(1.06	)		.83			.83			.69
Less: Dividends and Distributions
Dividends from net investment income		(.41	)		(.58	)		(.40	)		(.19	)		(.22	)
Distributions from net realized gain on investment transactions		– 0	–		(.04	)		– 0	–		– 0	–		– 0	–
Total dividends and distributions		(.41	)		(.62	)		(.40	)		(.19	)		(.22	)
Net asset value, end of period		$  10.05			$  10.32			$  12.00			$  11.57			$  10.93
Total Return
Total investment return based on net asset value(d)		1.41	%		(9.15	)%		7.44	%		7.61	%(f)		6.64	%
Ratios/Supplemental Data
Net assets, end of period (000’s omitted)		$2,409			$2,633			$2,369			$3,066			$6,992
Ratio to average net assets of:
Expenses, net of waivers/reimbursements(e)		1.11	%		1.09	%		1.04	%		1.21	%		1.47	%
Expenses, before waivers/reimbursements(e)		1.47	%		1.43	%		1.40	%		1.58	%		1.83	%
Net investment income(b)		3.99	%		5.36	%		3.74	%		1.88	%		1.88	%
Portfolio turnover rate		125	%		79	%		62	%		48	%		40	%

See footnote summary on page 80.

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FINANCIAL HIGHLIGHTS (continued)

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

	Class K
	Year Ended October 31,
	2023			2022			2021			2020			2019
Net asset value, beginning of period		$  10.28			$  11.96			$  11.54			$  10.92			$  10.45
Income From Investment Operations
Net investment income(a)(b)		.44			.61			.52			.27			.17
Net realized and unrealized gain (loss) on investment and foreign currency transactions		(.27	)		(1.64	)		.34			.58			.54
Contributions from Affiliates		– 0	–		– 0	–		– 0	–		– 0	–		.00	(c)
Net increase (decrease) in net asset value from operations		.17			(1.03	)		.86			.85			.71
Less: Dividends and Distributions
Dividends from net investment income		(.44	)		(.61	)		(.44	)		(.23	)		(.23	)
Distributions from net realized gain on investment transactions		– 0	–		(.04	)		– 0	–		– 0	–		– 0	–
Return of capital		– 0	–		– 0	–		– 0	–		– 0	–		(.01	)
Total dividends and distributions		(.44	)		(.65	)		(.44	)		(.23	)		(.24	)
Net asset value, end of period		$  10.01			$  10.28			$  11.96			$  11.54			$  10.92
Total Return
Total investment return based on net asset value(d)		1.58	%		(8.94	)%		7.64	%		7.74	%		6.88	%
Ratios/Supplemental Data
Net assets, end of period (000’s omitted)		$4,562			$4,373			$7,420			$6,790			$5,051
Ratio to average net assets of:
Expenses, net of waivers/reimbursements(e)		.86	%		.82	%		.78	%		.89	%		1.27	%
Expenses, before waivers/reimbursements(e)		1.25	%		1.10	%		1.09	%		1.21	%		1.57	%
Net investment income(b)		4.27	%		5.33	%		4.34	%		2.40	%		1.61	%
Portfolio turnover rate		125	%		79	%		62	%		48	%		40	%

See footnote summary on page 80.

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FINANCIAL HIGHLIGHTS (continued)

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

	Class I
	Year Ended October 31,
	2023			2022			2021			2020			2019
Net asset value, beginning of period		$  10.17			$  11.84			$  11.44			$  10.84			$  10.38
Income From Investment Operations
Net investment income(a)(b)		.46			.66			.51			.27			.25
Net realized and unrealized gain (loss) on investment and foreign currency transactions		(.26	)		(1.64	)		.37			.59			.49
Contributions from Affiliates		– 0	–		– 0	–		– 0	–		– 0	–		.00	(c)
Net increase (decrease) in net asset value from operations		.20			(.98	)		.88			.86			.74
Less: Dividends and Distributions
Dividends from net investment income		(.47	)		(.65	)		(.48	)		(.26	)		(.27	)
Distributions from net realized gain on investment transactions		– 0	–		(.04	)		– 0	–		– 0	–		– 0	–
Return of capital		– 0	–		– 0	–		– 0	–		– 0	–		(.01	)
Total dividends and distributions		(.47	)		(.69	)		(.48	)		(.26	)		(.28	)
Net asset value, end of period		$  9.90			$  10.17			$  11.84			$  11.44			$  10.84
Total Return
Total investment return based on net asset value(d)		1.88	%		(8.67	)%		7.88	%		7.97	%		7.23	%
Ratios/Supplemental Data
Net assets, end of period (000’s omitted)		$5,539			$6,414			$6,093			$8,297			$9,893
Ratio to average net assets of:
Expenses, net of waivers/reimbursements(e)		.61	%		.59	%		.53	%		.65	%		.94	%
Expenses, before waivers/reimbursements(e)		.83	%		.78	%		.74	%		.88	%		1.18	%
Net investment income(b)		4.50	%		5.92	%		4.31	%		2.42	%		2.40	%
Portfolio turnover rate		125	%		79	%		62	%		48	%		40	%

See footnote summary on page 80.

76    ^|    AB BOND INFLATION  STRATEGY abfunds.com

FINANCIAL HIGHLIGHTS (continued)

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

	Class 1
	Year Ended October 31,
	2023			2022			2021			2020			2019
Net asset value, beginning of period		$  10.06			$  11.73			$  11.35			$  10.77			$  10.33
Income From Investment Operations
Net investment income(a)(b)		.44			.64			.52			.26			.24
Net realized and unrealized gain (loss) on investment and foreign currency transactions		(.26	)		(1.62	)		.34			.59			.48
Contributions from Affiliates		– 0	–		– 0	–		– 0	–		– 0	–		.00	(c)
Net increase (decrease) in net asset value from operations		.18			(.98	)		.86			.85			.72
Less: Dividends and Distributions
Dividends from net investment income		(.46	)		(.65	)		(.48	)		(.27	)		(.27	)
Distributions from net realized gain on investment transactions		– 0	–		(.04	)		– 0	–		– 0	–		– 0	–
Return of capital		– 0	–		– 0	–		– 0	–		– 0	–		(.01	)
Total dividends and distributions		(.46	)		(.69	)		(.48	)		(.27	)		(.28	)
Net asset value, end of period		$  9.78			$  10.06			$  11.73			$  11.35			$  10.77
Total Return
Total investment return based on net asset value(d)		1.84	%		(8.75	)%		7.77	%		7.84	%		7.18	%
Ratios/Supplemental Data
Net assets, end of period (000’s omitted)		$340,649			$390,055			$377,333			$312,381			$319,282
Ratio to average net assets of:
Expenses, net of waivers/reimbursements(e)		.71	%		.69	%		.63	%		.75	%		1.07	%
Expenses, before waivers/reimbursements(e)		.83	%		.78	%		.75	%		.88	%		1.20	%
Net investment income(b)		4.34	%		5.76	%		4.44	%		2.42	%		2.31	%
Portfolio turnover rate		125	%		79	%		62	%		48	%		40	%

See footnote summary on page 80.

abfunds.com AB BOND INFLATION STRATEGY    ^|    77

FINANCIAL HIGHLIGHTS (continued)

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

	Class 2
	Year Ended October 31,
	2023			2022			2021			2020			2019
Net asset value, beginning of period		$  10.06			$  11.73			$  11.34			$  10.76			$  10.32
Income From Investment Operations
Net investment income(a)(b)		.44			.64			.53			.28			.26
Net realized and unrealized gain (loss) on investment and foreign currency transactions		(.25	)		(1.61	)		.35			.58			.48
Contributions from Affiliates		– 0	–		– 0	–		– 0	–		– 0	–		.00	(c)
Net increase (decrease) in net asset value from operations		.19			(.97	)		.88			.86			.74
Less: Dividends and Distributions
Dividends from net investment income		(.47	)		(.66	)		(.49	)		(.28	)		(.29	)
Distributions from net realized gain on investment transactions		– 0	–		(.04	)		– 0	–		– 0	–		– 0	–
Return of capital		– 0	–		– 0	–		– 0	–		– 0	–		(.01	)
Total dividends and distributions		(.47	)		(.70	)		(.49	)		(.28	)		(.30	)
Net asset value, end of period		$  9.78			$  10.06			$  11.73			$  11.34			$  10.76
Total Return
Total investment return based on net asset value(d)		1.94	%		(8.77	)%		7.98	%		7.96	%		7.19	%
Ratios/Supplemental Data
Net assets, end of period (000’s omitted)		$41,599			$59,262			$66,348			$60,289			$58,829
Ratio to average net assets of:
Expenses, net of waivers/reimbursements(e)		.61	%		.58	%		.53	%		.65	%		.96	%
Expenses, before waivers/reimbursements(e)		.73	%		.67	%		.65	%		.78	%		1.09	%
Net investment income(b)		4.38	%		5.75	%		4.51	%		2.53	%		2.45	%
Portfolio turnover rate		125	%		79	%		62	%		48	%		40	%

See footnote summary on page 80.

78    ^|    AB BOND INFLATION  STRATEGY abfunds.com

FINANCIAL HIGHLIGHTS (continued)

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

	Class Z
	Year Ended October 31,
	2023			2022			2021			2020			2019
Net asset value, beginning of period		$  10.10			$  11.77			$  11.38			$  10.80			$  10.35
Income From Investment Operations
Net investment income(a)(b)		.46			.67			.56			.24			.27
Net realized and unrealized gain (loss) on investment and foreign currency transactions		(.27	)		(1.65	)		.32			.62			.47
Contributions from Affiliates		– 0	–		– 0	–		– 0	–		– 0	–		.00	(c)
Net increase (decrease) in net asset value from operations		.19			(.98	)		.88			.86			.74
Less: Dividends and Distributions
Dividends from net investment income		(.47	)		(.65	)		(.49	)		(.28	)		(.28	)
Distributions from net realized gain on investment transactions		– 0	–		(.04	)		– 0	–		– 0	–		– 0	–
Return of capital		– 0	–		– 0	–		– 0	–		– 0	–		(.01	)
Total dividends and distributions		(.47	)		(.69	)		(.49	)		(.28	)		(.29	)
Net asset value, end of period		$  9.82			$  10.10			$  11.77			$  11.38			$  10.80
Total Return
Total investment return based on net asset value(d)		1.83	%		(8.65	)%		7.94	%		7.92	%		7.26	%
Ratios/Supplemental Data
Net assets, end of period (000’s omitted)		$14,036			$10,320			$20,910			$11,016			$32,606
Ratio to average net assets of:
Expenses, net of waivers/reimbursements(e)		.60	%		.58	%		.53	%		.67	%		.96	%
Expenses, before waivers/reimbursements(e)		.74	%		.68	%		.65	%		.81	%		1.10	%
Net investment income(b)		4.53	%		6.02	%		4.81	%		2.16	%		2.50	%
Portfolio turnover rate		125	%		79	%		62	%		48	%		40	%

See footnote summary on page 80.

abfunds.com AB BOND INFLATION STRATEGY    ^|    79

FINANCIAL HIGHLIGHTS (continued)

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

(a) Based on average shares outstanding.

(b) Net of expenses waived/reimbursed by the Adviser.

(c) Amount is less than $.005.

(d) Total investment return is calculated assuming an initial investment made at the net asset value at the beginning of the period, reinvestment of all dividends and distributions at net asset value during the period, and redemption on the last day of the period. Initial sales charges or contingent deferred sales charges are not reflected in the calculation of total investment return. Total return does not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of fund shares. Total investment return calculated for a period of less than one year is not annualized.

(e) The expense ratios presented below exclude interest/bank overdraft expense:

	Year Ended October 31,
	2023			2022			2021			2020			2019
Class A
Net of waivers/reimbursements		.75	%		.75	%		.75	%		.75	%		.75	%
Before waivers/reimbursements		.98	%		.95	%		.97	%		1.01	%		1.02	%
Class C
Net of waivers/reimbursements		1.50	%		1.50	%		1.50	%		1.50	%		1.50	%
Before waivers/reimbursements		1.73	%		1.69	%		1.72	%		1.77	%		1.77	%
Advisor Class
Net of waivers/reimbursements		.50	%		.50	%		.50	%		.50	%		.50	%
Before waivers/reimbursements		.73	%		.69	%		.72	%		.77	%		.77	%
Class R
Net of waivers/reimbursements		1.00	%		1.00	%		1.00	%		1.00	%		1.00	%
Before waivers/reimbursements		1.37	%		1.34	%		1.36	%		1.37	%		1.36	%
Class K
Net of waivers/reimbursements		.75	%		.75	%		.75	%		.75	%		.75	%
Before waivers/reimbursements		1.14	%		1.02	%		1.05	%		1.07	%		1.04	%
Class I
Net of waivers/reimbursements		.50	%		.50	%		.50	%		.50	%		.50	%
Before waivers/reimbursements		.72	%		.69	%		.71	%		.73	%		.73	%
Class 1
Net of waivers/reimbursements		.60	%		.60	%		.60	%		.60	%		.60	%
Before waivers/reimbursements		.72	%		.69	%		.72	%		.73	%		.73	%
Class 2
Net of waivers/reimbursements		.50	%		.50	%		.50	%		.50	%		.50	%
Before waivers/reimbursements		.62	%		.59	%		.62	%		.63	%		.63	%
Class Z
Net of waivers/reimbursements		.50	%		.50	%		.50	%		.50	%		.50	%
Before waivers/reimbursements		.63	%		.60	%		.62	%		.63	%		.64	%

(f) The net asset value and total return include adjustments in accordance with accounting principles generally accepted in the United States of America for financial reporting purposes. As such, the net asset value and total return for shareholder transactions may differ from financial statements.

See notes to financial statements.

80    ^|    AB BOND INFLATION  STRATEGY abfunds.com

REPORT OF INDEPENDENT REGISTERED

PUBLIC ACCOUNTING FIRM

To the Board of Directors and Shareholders of

AB Bond Inflation Strategy

Opinion on the Financial Statements

We have audited the accompanying statement of assets and liabilities of AB Bond Inflation Strategy (the “Fund”) (one of the portfolios constituting AB Bond Fund, Inc. (the “Company”)), including the portfolio of investments, as of October 31, 2023, and the related statement of operations for the year then ended, the statements of changes in net assets for each of the two years in the period then ended, the financial highlights for each of the five years in the period then ended, and the related notes (collectively referred to as the “financial statements”). In our opinion, the financial statements present fairly, in all material respects, the financial position of the Fund (one of the portfolios constituting AB Bond Fund, Inc.) at October 31, 2023, the results of its operations for the year then ended, the changes in its net assets for each of the two years in the period then ended and its financial highlights for each of the five years in the period then ended, in conformity with U.S. generally accepted accounting principles.

Basis for Opinion

These financial statements are the responsibility of the Company’s management. Our responsibility is to express an opinion on the Fund’s financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (“PCAOB”) and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. The Company is not required to have, nor were we engaged to perform, an audit of the Company’s internal control over financial reporting. As part of our audits, we are required to obtain an understanding of internal control over financial reporting but not for the purpose of expressing an opinion on the effectiveness of the Company’s internal control over financial reporting. Accordingly, we express no such opinion.

Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures

abfunds.com AB BOND INFLATION STRATEGY    ^|    81

REPORT OF INDEPENDENT REGISTERED

PUBLIC ACCOUNTING FIRM (continued)

included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our procedures included confirmation of securities owned as of October 31, 2023, by correspondence with the custodian, brokers and others; when replies were not received from brokers or others, we performed other auditing procedures. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audits provide a reasonable basis for our opinion.

We have served as the auditor of one or more of the AB investment companies since 1968.

New York, New York

December 22, 2023

82    ^|    AB BOND INFLATION  STRATEGY abfunds.com

2023 FEDERAL TAX INFORMATION

(unaudited)

For Federal income tax purposes, the following information is furnished with respect to the distributions paid by the Fund during the taxable year ended October 31, 2023. For foreign shareholders, 88.34% of ordinary income dividends paid may be considered to be qualifying to be taxed as interest-related dividends.

Shareholders should not use the above information to prepare their income tax returns. The information necessary to complete your income tax returns will be included with your Form 1099-DIV which will be sent to you separately in January 2024.

abfunds.com AB BOND INFLATION STRATEGY    ^|    83

BOARD OF DIRECTORS

Garry L. Moody⁽¹⁾, Chairman Jorge A. Bermudez⁽¹⁾ Michael J. Downey⁽¹⁾ Onur Erzan, President and Chief Executive Officer Nancy P. Jacklin⁽¹⁾ Jeanette W. Loeb⁽¹⁾ Carol C. McMullen⁽¹⁾ Marshall C. Turner, Jr.⁽¹⁾

OFFICERS

Michael Canter⁽²⁾, Vice President Michael Rosborough⁽²⁾, Vice President Nancy E. Hay, Secretary Michael B. Reyes, Senior Vice President Stephen M. Woetzel, Treasurer and Chief Financial Officer Phyllis J. Clarke, Controller Jennifer Friedland, Chief Compliance Officer

Custodian and Accounting Agent State Street Bank and Trust Company One Congress Street, Suite 1 Boston, MA 02114   Principal Underwriter AllianceBernstein Investments, Inc. 501 Commerce Street Nashville, TN 37203   Transfer Agent AllianceBernstein Investor Services, Inc. P.O. Box 786003 San Antonio, TX 78278 Toll-Free (800) 221-5672 Independent Registered Public
Accounting Firm Ernst & Young LLP One Manhattan West New York, NY 10001   Legal Counsel Seward & Kissel LLP One Battery Park Plaza New York, NY 10004

1 Member of the Audit Committee, the Governance and Nominating Committee, and the Independent Directors Committee.

2 The day-to-day management of, and investment decisions for, the Fund’s portfolio are made by the Adviser’s U.S. Multi-Sector Fixed-Income Team. Messrs. Canter and Rosborough are the investment professionals with the most significant responsibility for the day-to-day management of the Fund’s portfolio.

84    ^|    AB BOND INFLATION STRATEGY abfunds.com

MANAGEMENT OF THE FUND

Board of Directors Information

The business and affairs of the Fund are managed under the direction of the Board of Directors. Certain information concerning the Fund’s Directors is set forth below.

NAME, ADDRESS*, AGE, (YEAR FIRST ELECTED**)	PRINCIPAL OCCUPATION(S) DURING PAST FIVE YEARS AND OTHER INFORMATION***	PORTFOLIOS IN AB FUND COMPLEX OVERSEEN BY DIRECTOR		OTHER PUBLIC COMPANY DIRECTORSHIPS CURRENTLY HELD BY DIRECTOR
INTERESTED DIRECTOR
Onur Erzan,# 1345 Avenue of the Americas New York, NY 10105 47 (2021)	Senior Vice President of AllianceBernstein L.P. (the “Adviser”), Head of Global Client Group and Head of Private Wealth. He oversees AB’s entire private wealth management business, third-party institutional and retail franchise, where he is responsible for all client services, sales and marketing, as well as product strategy, management and development worldwide. Director, President and Chief Executive Officer of the AB Mutual Funds as of April 1, 2021. He is also a member of the Equitable Holdings Management Committee. Prior to joining the firm in January 2021, he spent over 19 years with McKinsey (management consulting firm), most recently as a senior partner and co-leader of its Wealth & Asset Management practice. In addition, he co-led McKinsey’s Banking & Securities Solutions (a portfolio of data, analytics and digital assets, and capabilities) globally.		82	None

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MANAGEMENT OF THE FUND (continued)

NAME, ADDRESS*, AGE, (YEAR FIRST ELECTED**)	PRINCIPAL OCCUPATION(S) DURING PAST FIVE YEARS AND OTHER INFORMATION***	PORTFOLIOS IN AB FUND COMPLEX OVERSEEN BY DIRECTOR		OTHER PUBLIC COMPANY DIRECTORSHIPS CURRENTLY HELD BY DIRECTOR
INDEPENDENT DIRECTORS
Garry L. Moody,## Chairman of the Board 71 (2008)	Private Investor since prior to 2018. Formerly, Partner, Deloitte & Touche LLP (1995-2008) where he held a number of senior positions, including Vice Chairman, and U.S. and Global Investment Management Practice Managing Partner; President, Fidelity Accounting and Custody Services Company (1993-1995), where he was responsible for accounting, pricing, custody and reporting for the Fidelity mutual funds; and Partner, Ernst & Young LLP (1975-1993), where he served as the National Director of Mutual Fund Tax Services and Managing Partner of its Chicago Office Tax department. He served as a member of the Investment Company Institute’s Board of Governors and the Independent Directors Council’s Governing Council from October 2019 through September 2023, where he also served as Chairman of the Governance Committee from October 2021 through September 2023. He is Chairman of the AB Funds and Chairman of the Independent Directors Committees since January 2023; he has served as a director or trustee since 2008, and served as Chairman of the Audit Committee of such funds from 2008 to February 2023.		82	None

86    ^|    AB BOND INFLATION STRATEGY abfunds.com

MANAGEMENT OF THE FUND (continued)

NAME, ADDRESS*, AGE, (YEAR FIRST ELECTED**)	PRINCIPAL OCCUPATION(S) DURING PAST FIVE YEARS AND OTHER INFORMATION***	PORTFOLIOS IN AB FUND COMPLEX OVERSEEN BY DIRECTOR		OTHER PUBLIC COMPANY DIRECTORSHIPS CURRENTLY HELD BY DIRECTOR
INDEPENDENT DIRECTORS (continued)
Jorge A. Bermudez,## 72 (2020)	Private Investor since prior to 2018. Formerly, Chief Risk Officer of Citigroup, Inc., a global financial services company, from November 2007 to March 2008; Chief Executive Officer of Citigroup’s Commercial Business Group in North America and Citibank Texas from 2005 to 2007; and a variety of other executive and leadership roles at various businesses within Citigroup prior to then; Chairman (2018) of the Texas A&M Foundation Board of Trustees (Trustee since 2013) and Chairman of the Smart Grid Center Board at Texas A&M University since 2012; director of, among others, Citibank N.A. from 2005 to 2008, the Federal Reserve Bank of Dallas, Houston Branch from 2009 to 2011, the Federal Reserve Bank of Dallas from 2011 to 2017, and the Electric Reliability Council of Texas from 2010 to 2016; and Chair of the Audit Committee of the Board of Directors of Moody’s Corporation since December 2022. He has served as director or trustee of the AB Funds since January 2020.		82	Moody’s Corporation since April 2011
Michael J. Downey,## 79 (2005)	Private Investor since prior to 2018. Formerly, Chairman of The Asia Pacific Fund, Inc. (registered investment company) since prior to 2018 until January 2019. From 1987 until 1993, Chairman and CEO of Prudential Mutual Fund Management, director of the Prudential mutual funds, and member of the Executive Committee of Prudential Securities, Inc. He has served as a director or trustee of the AB Funds since 2005.		82	None

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MANAGEMENT OF THE FUND (continued)

NAME, ADDRESS*, AGE, (YEAR FIRST ELECTED**)	PRINCIPAL OCCUPATION(S) DURING PAST FIVE YEARS AND OTHER INFORMATION***	PORTFOLIOS IN AB FUND COMPLEX OVERSEEN BY DIRECTOR		OTHER PUBLIC COMPANY DIRECTORSHIPS CURRENTLY HELD BY DIRECTOR
INDEPENDENT DIRECTORS (continued)
Nancy P. Jacklin,## 75 (2006)	Private Investor since prior to 2018. Professorial Lecturer at the Johns Hopkins School of Advanced International Studies (2008-2015). U.S. Executive Director of the International Monetary Fund (which is responsible for ensuring the stability of the international monetary system), (December 2002-May 2006); Partner, Clifford Chance (1992-2002); Sector Counsel, International Banking and Finance, and Associate General Counsel, Citicorp (1985-1992); Assistant General Counsel (International), Federal Reserve Board of Governors (1982-1985); and Attorney Advisor, U.S. Department of the Treasury (1973-1982). Member of the Bar of the District of Columbia and of New York; and member of the Council on Foreign Relations. She has served as a director or trustee of the AB Funds since 2006 and served as Chair of the Governance and Nominating Committees of the AB Funds from 2014 to August 2023.		82	None

88    ^|    AB BOND INFLATION STRATEGY abfunds.com

MANAGEMENT OF THE FUND (continued)

NAME, ADDRESS*, AGE, (YEAR FIRST ELECTED**)	PRINCIPAL OCCUPATION(S) DURING PAST FIVE YEARS AND OTHER INFORMATION***	PORTFOLIOS IN AB FUND COMPLEX OVERSEEN BY DIRECTOR		OTHER PUBLIC COMPANY DIRECTORSHIPS CURRENTLY HELD BY DIRECTOR
INDEPENDENT DIRECTORS (continued)
Jeanette W. Loeb,## 71 (2020)	Private Investor since prior to 2018. Director of New York City Center since 2005. Formerly, Chief Executive Officer of PetCareRx (e-commerce pet pharmacy) from 2002 to 2011 and 2015 to April 2023. She was a director of Apollo Investment Corp. (business development company) from August 2011 to July 2023 and a director of AB Multi-Manager Alternative Fund (fund of hedge funds) from 2012 to 2018. Formerly, affiliated with Goldman Sachs Group, Inc. (financial services) from 1977 to 1994, including as a partner thereof from 1986 to 1994. She has served as director or trustee of the AB Funds since April 2020 and serves as Chair of the Governance and Nominating Committees of the AB Funds since August 2023.		82	None

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MANAGEMENT OF THE FUND (continued)

NAME, ADDRESS*, AGE, (YEAR FIRST ELECTED**)	PRINCIPAL OCCUPATION(S) DURING PAST FIVE YEARS AND OTHER INFORMATION***	PORTFOLIOS IN AB FUND COMPLEX OVERSEEN BY DIRECTOR		OTHER PUBLIC COMPANY DIRECTORSHIPS CURRENTLY HELD BY DIRECTOR
INDEPENDENT DIRECTORS (continued)
Carol C. McMullen,## 68 (2016)	Private Investor and a member of the Advisory Board of Butcher Box (since 2018) and serves as Advisory Board Chair as of June 2023. Formerly, Managing Director of Slalom Consulting (consulting) from 2014 until July 2023; member, Mass General Brigham (formerly, Partners Healthcare) Investment Committee (2010-2019); Director of Norfolk & Dedham Group (mutual property and casualty insurance) from 2011 until November 2016; Director of Partners Community Physicians Organization (healthcare) from 2014 until December 2016; and Managing Director of The Crossland Group (consulting) from 2012 until 2013. She has held a number of senior positions in the asset and wealth management industries, including at Eastern Bank (where her roles included President of Eastern Wealth Management), Thomson Financial (Global Head of Sales for Investment Management), and Putnam Investments (where her roles included Chief Investment Officer, Core and Growth and Head of Global Investment Research). She has served on a number of private company and non-profit boards, and as a director or trustee of the AB Funds since June 2016 and serves as Chair of the Audit Committees of such funds since February 2023.		82	None

90    ^|    AB BOND INFLATION STRATEGY abfunds.com

MANAGEMENT OF THE FUND (continued)

NAME, ADDRESS*, AGE, (YEAR FIRST ELECTED**)	PRINCIPAL OCCUPATION(S) DURING PAST FIVE YEARS AND OTHER INFORMATION***	PORTFOLIOS IN AB FUND COMPLEX OVERSEEN BY DIRECTOR		OTHER PUBLIC COMPANY DIRECTORSHIPS CURRENTLY HELD BY DIRECTOR
INDEPENDENT DIRECTORS (continued)
Marshall C. Turner, Jr.,## 82 (2005)	Private Investor since prior to 2018. He was a Director of Xilinx, Inc. (programmable logic semi-conductors and adaptable, intelligent computing) from 2007 through August 2020, and is a former director of 33 other companies and organizations. Former Chairman and CEO of Dupont Photomasks, Inc. (semi-conductor manufacturing equipment) from 2003 through 2006. He has extensive operating leadership and venture capital investing experience, including five interim or full-time CEO roles, and prior service as general partner of institutional venture capital partnerships. He also has extensive non-profit board leadership experience, and currently serves on the board of the George Lucas Educational Foundation. He has served as a director of one AB Fund since 1992, and director or trustee of all the AB Funds since 2005. He has served as both Chairman of the AB Funds and Chairman of the Independent Directors Committees from 2014 through December 2022.		82	None

* The address for each of the Fund’s disinterested Directors is c/o AllianceBernstein L.P., Attention Legal and Compliance Department—Mutual Fund Legal, 1345 Avenue of the Americas, New York, NY 10105.

** There is no stated term of office for the Fund’s Directors.

*** The information above includes each Director’s principal occupation during the last five years and other information relating to the experience, attributes and skills relevant to each Director’s qualifications to serve as a Director, which led to the conclusion that each Director should serve as a Director for the Fund.

# Mr. Erzan is an “interested person” of the Fund as defined in the “40 Act”, due to his position as a Senior Vice President of the Adviser.

## Member of the Audit Committee, the Governance and Nominating Committee, and the Independent Directors Committee.

abfunds.com AB BOND INFLATION STRATEGY    ^|    91

MANAGEMENT OF THE FUND (continued)

Officer Information

Certain information concerning the Fund’s Officers is listed below.

NAME, ADDRESS* AND AGE	PRINCIPAL POSITION(S) HELD WITH FUND	PRINCIPAL OCCUPATION DURING PAST 5 YEARS
Onur Erzan 47	President and Chief Executive Officer	See biography above.
Michael Canter 54	Vice President	Senior Vice President of the Adviser**, with which he has been associated since prior to 2018. He is also Director and Chief Investment Officer – Securitized Assets.
Michael Rosborough 61	Vice President	Senior Vice President of the Adviser**, with which he has been associated in a substantially similar capacity since 2020. Prior to 2020, he was an investment director, portfolio manager and member of the tactical asset allocation committee at California Public Employees’ Retirement System (CalPERS) since prior to 2018.
Nancy E. Hay 51	Secretary	Senior Vice President and Counsel of the Adviser**, with which she has been associated since prior to 2018 and Assistant Secretary of ABI**.
Michael B. Reyes 47	Senior Vice President	Vice President of the Adviser**, with which he has been associated since prior to 2018.
Stephen M. Woetzel 52	Treasurer and Chief Financial Officer	Senior Vice President of ABIS**, with which he has been associated since prior to 2018.
Phyllis J. Clarke 62	Controller	Vice President of ABIS**, with which she has been associated since prior to 2018.
Jennifer Friedland 49	Chief Compliance Officer	Vice President of the Adviser** since 2020 and Mutual Fund Chief Compliance Officer (of all Funds since January 2023 and of the ETF Funds since 2022). Before joining the Adviser** in 2020, she was Chief Compliance Officer at WestEnd Advisors, LLC from prior to 2018 until 2019.

* The address for each of the Fund’s Officers is 1345 Avenue of the Americas, New York, NY 10105.

** The Adviser, ABI and ABIS are affiliates of the Fund.

The Fund’s Statement of Additional Information (“SAI”) has additional information about the Fund’s Directors and Officers and is available without charge upon request. Contact your financial representative or AB at (800) 227-4618, or visit www.abfunds.com, for a free prospectus or SAI.

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Operation and Effectiveness of the Fund’s Liquidity Risk Management Program:

In October 2016, the Securities and Exchange Commission (“SEC”) adopted the open-end fund liquidity rule (the “Liquidity Rule”). In June 2018 the SEC adopted a requirement that funds disclose information about the operation and effectiveness of their Liquidity Risk Management Program (“LRMP”) in their reports to shareholders.

One of the requirements of the Liquidity Rule is for the Fund to designate an Administrator of the Fund’s Liquidity Risk Management Program. The Administrator of the Fund’s LRMP is AllianceBernstein L.P., the Fund’s investment adviser (the “Adviser”). The Adviser has delegated the responsibility to its Liquidity Risk Management Committee (the “Committee”).

Another requirement of the Liquidity Rule is for the Fund’s Board of Directors (the “Fund Board”) to receive an annual written report from the Administrator of the LRMP, which addresses the operation of the Fund’s LRMP and assesses its adequacy and effectiveness. The Adviser provided the Fund Board with such annual report during the first quarter of 2023, which covered the period January 1, 2022 through December 31, 2022 (the “Program Reporting Period”).

The LRMP’s principal objectives include supporting the Fund’s compliance with limits on investments in illiquid assets and mitigating the risk that the Fund will be unable to meet its redemption obligations in a timely manner.

Pursuant to the LRMP, the Fund classifies the liquidity of its portfolio investments into one of the four categories defined by the SEC: Highly Liquid, Moderately Liquid, Less Liquid, and Illiquid. These classifications are reported to the SEC on Form N-PORT.

During the Program Reporting Period, the Committee reviewed whether the Fund’s strategy is appropriate for an open-end structure, incorporating any holdings of less liquid and illiquid assets. If the Fund participated in derivative transactions, the exposure from such transactions were considered in the LRMP.

The Committee also performed an analysis to determine whether the Fund is required to maintain a Highly Liquid Investment Minimum (“HLIM”). The Committee also incorporated the following information when determining the Fund’s reasonably anticipated trading size for purposes of liquidity monitoring: historical net redemption activity, a Fund’s concentration in an issuer, shareholder concentration, investment performance, total net assets, and distribution channels.

The Adviser informed the Fund Board that the Committee believes the Fund’s LRMP is adequately designed, has been implemented as intended,

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and has operated effectively since its inception. No material exceptions have been noted since the implementation of the LRMP. During the Program Reporting Period, liquidity in all markets was challenged due to rising rates and economic uncertainty. However, markets also remained orderly during the Program Reporting Period. There were no liquidity events that impacted the Fund or its ability to timely meet redemptions during the Program Reporting Period.

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Information Regarding the Review and Approval of the Fund’s Advisory Agreement

The disinterested directors (the “directors”) of AB Bond Fund, Inc. (the “Company”) unanimously approved the continuance of the Company’s Advisory Agreement with the Adviser in respect of AB Bond Inflation Strategy (the “Fund”) at a meeting held in-person on August 1-2, 2023 (the “Meeting”).

Prior to approval of the continuance of the Advisory Agreement, the directors had requested from the Adviser, and received and evaluated, extensive materials. They reviewed the proposed continuance of the Advisory Agreement with the Adviser and with experienced counsel who are independent of the Adviser, who advised on the relevant legal standards. The directors also reviewed additional materials, including comparative analytical data prepared by the Senior Vice President of the Fund. The directors also discussed the proposed continuance in private sessions with counsel.

The directors considered their knowledge of the nature and quality of the services provided by the Adviser to the Fund gained from their experience as directors or trustees of most of the registered investment companies advised by the Adviser, their overall confidence in the Adviser’s integrity and competence they have gained from that experience, the Adviser’s initiative in identifying and raising potential issues with the directors and its responsiveness, frankness and attention to concerns raised by the directors in the past, including the Adviser’s willingness to consider and implement organizational and operational changes designed to improve investment results and the services provided to the AB Funds. The directors noted that they have four regular meetings each year, at each of which they review extensive materials and information from the Adviser, including information on the investment performance of the Fund and the money market fund advised by the Adviser in which the Fund invests a portion of its assets.

The directors also considered all factors they believed relevant, including the specific matters discussed below. During the course of their deliberations, the directors evaluated, among other things, the reasonableness of the advisory fee. The directors did not identify any particular information that was all-important or controlling, and different directors may have attributed different weights to the various factors. The directors determined that the selection of the Adviser to manage the Fund and the overall arrangements between the Fund and the Adviser, as provided in the Advisory Agreement, including the advisory fee, were fair and reasonable in light of the services performed, expenses incurred and such other matters as the directors considered relevant in the exercise of their business

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judgment. The material factors and conclusions that formed the basis for the directors’ determinations included the following:

Nature, Extent and Quality of Services Provided

The directors considered the scope and quality of services provided by the Adviser under the Advisory Agreement, including the quality of the investment research capabilities of the Adviser and the other resources it has dedicated to performing services for the Fund. The directors noted that the Adviser from time to time reviews the Fund’s investment strategies and from time to time proposes changes intended to improve the Fund’s relative or absolute performance for the directors’ consideration. They also noted the professional experience and qualifications of the Fund’s portfolio management team and other senior personnel of the Adviser. The directors also considered that the Advisory Agreement provides that the Fund will reimburse the Adviser for the cost to it of providing certain clerical, accounting, administrative and other services to the Fund by employees of the Adviser or its affiliates. Requests for these reimbursements are made on a quarterly basis and subject to approval by the directors. Reimbursements, to the extent requested and paid, result in a higher rate of total compensation from the Fund to the Adviser than the fee rate stated in the Advisory Agreement. The directors noted that the methodology used to determine the reimbursement amounts had been reviewed by an independent consultant at the request of the directors. The quality of administrative and other services, including the Adviser’s role in coordinating the activities of the Fund’s other service providers, also was considered. The directors concluded that, overall, they were satisfied with the nature, extent and quality of services provided to the Fund under the Advisory Agreement.

Costs of Services Provided and Profitability

The directors reviewed a schedule of the revenues and expenses and related notes indicating the profitability of the Fund to the Adviser for calendar years 2021 and 2022 that had been prepared with an expense allocation methodology arrived at in consultation with an independent consultant at the request of the directors. The directors noted the assumptions and methods of allocation used by the Adviser in preparing fund-specific profitability data and understood that there are a number of potentially acceptable allocation methodologies for information of this type. The directors noted that the profitability information reflected all revenues and expenses of the Adviser’s relationship with the Fund, including those relating to its subsidiaries that provide transfer agency and distribution services to the Fund. The directors recognized that it is difficult to make comparisons of the profitability of the Advisory Agreement with the profitability of fund advisory contracts for unaffiliated funds because comparative information is not generally publicly available and is affected by numerous factors. The directors focused on the profitability of the Adviser’s relationship with the Fund before taxes and distribution

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expenses. The directors concluded that the Adviser’s level of profitability from its relationship with the Fund was not unreasonable.

Fall-Out Benefits

The directors considered the other benefits to the Adviser and its affiliates from their relationships with the Fund and the money market fund advised by the Adviser in which the Fund invests, including, but not limited to, benefits relating to 12b-1 fees and sales charges received by the Fund’s principal underwriter (which is a wholly owned subsidiary of the Adviser) in respect of certain classes of the Fund’s shares; and transfer agency fees paid by the Fund to a wholly owned subsidiary of the Adviser. The directors recognized that the Adviser’s profitability would be somewhat lower without these benefits. The directors understood that the Adviser also might derive reputational and other benefits from its association with the Fund.

Investment Results

In addition to the information reviewed by the directors in connection with the Meeting, the directors receive detailed performance information for the Fund at each regular Board meeting during the year.

At the Meeting, the directors reviewed performance information prepared by an independent service provider (the “15(c) service provider”), showing the performance of the Advisor Class shares of the Fund against a group of similar funds (“peer group”) and a larger group of similar funds (“peer universe”), each selected by the 15(c) service provider, and information prepared by the Adviser showing performance of the Advisor Class shares against a broad-based securities market index, in each case for the 1-, 3-, 5- and 10-year periods ended May 31, 2023 and (in the case of comparisons with the broad-based securities market index) for the period from inception. Based on their review, the directors concluded that the Fund’s investment performance was acceptable.

Advisory Fees and Other Expenses

The directors considered the advisory fee rate payable by the Fund to the Adviser and information prepared by the 15(c) service provider concerning advisory fee rates payable by other funds in the same category as the Fund. The directors recognized that it is difficult to make comparisons of advisory fees because there are variations in the services that are included in the fees payable by other funds. The directors compared the Fund’s contractual effective advisory fee rate with a peer group median and discussed with the Adviser the reasons it was above the median. The directors also noted the Adviser’s total rate of compensation, taking into account the impact of the administrative expense reimbursement paid to the Adviser in the latest fiscal year.

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The directors also considered the Adviser’s fee schedule for other clients utilizing investment strategies similar to those of the Fund. For this purpose, they reviewed the relevant advisory fee information from the Adviser’s Form ADV and in a report from the Fund’s Senior Vice President and noted the differences between the Fund’s fee schedule, on the one hand, and the Adviser’s institutional fee schedule and the schedule of fees charged by the Adviser to any offshore funds and for services to any sub-advised funds utilizing investment strategies similar to those of the Fund, on the other. The directors noted that the Adviser may, in some cases, agree to fee rates with large institutional clients that are lower than those reviewed by the directors and that they had previously discussed with the Adviser its policies in respect of such arrangements.

The Adviser reviewed with the directors the significantly greater scope of the services it provides to the Fund relative to institutional, offshore fund and sub-advised fund clients. In this regard, the Adviser noted, among other things, that, compared to institutional and offshore or sub-advisory accounts, the Fund (i) demands considerably more portfolio management, research and trading resources due to significantly higher daily cash flows; (ii) has more tax and regulatory restrictions and compliance obligations; (iii) must prepare and file or distribute regulatory and other communications about fund operations; and (iv) must provide shareholder servicing to retail investors. The Adviser also reviewed the greater legal risks presented by the large and changing population of Fund shareholders who may assert claims against the Adviser in individual or class actions, and the greater entrepreneurial risk in offering new fund products, which require substantial investment to launch, may not succeed, and generally must be priced to compete with larger, more established funds resulting in lack of profitability to the Adviser until a new fund achieves scale. In light of the substantial differences in services rendered by the Adviser to institutional, offshore fund and sub-advised fund clients as compared to the Fund, and the different risk profile, the directors considered these fee comparisons inapt and did not place significant weight on them in their deliberations.

In connection with their review of the Fund’s advisory fee, the directors also considered the total expense ratio of the Advisor Class shares of the Fund in comparison to the medians for a peer group and a peer universe selected by the 15(c) service provider. The Advisor Class expense ratio of the Fund was based on the Fund’s latest fiscal year and reflected the impact of the Adviser’s expense cap for the Fund. The directors noted that it was likely that the expense ratios of some of the other funds in the Fund’s category were lowered by waivers or reimbursements by those funds’ investment advisers, which in some cases might be voluntary or temporary. The directors view expense ratio information as relevant to their evaluation of the Adviser’s services because the Adviser is responsible for coordinating services provided to the Fund by others. The directors noted that the Fund’s expense ratio was above the medians. After reviewing and

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discussing the Adviser’s explanation of the reasons for this, the directors concluded that the Fund’s expense ratio was acceptable.

Economies of Scale

The directors noted that the advisory fee schedule for the Fund contains breakpoints that reduce the fee rates on assets above specified levels. The directors took into consideration prior presentations by an independent consultant on economies of scale in the mutual fund industry and for the AB Funds, and presentations from time to time by the Adviser concerning certain of its views on economies of scale. The directors also had requested and received from the Adviser certain updates on economies of scale in advance of the Meeting. The directors believe that economies of scale may be realized (if at all) by the Adviser across a variety of products and services, and not only in respect of a single fund. The directors noted that there is no established methodology for setting breakpoints that give effect to the fund-specific services provided by a fund’s adviser and to the economies of scale that an adviser may realize in its overall mutual fund business or those components of it which directly or indirectly affect a fund’s operations. The directors observed that in the mutual fund industry as a whole, as well as among funds similar to the Fund, there is no uniformity or pattern in the fees and asset levels at which breakpoints (if any) apply. The directors also noted that the advisory agreements for many funds do not have breakpoints at all. Having taken these factors into account, the directors concluded that the Fund’s shareholders would benefit from a sharing of economies of scale in the event the Fund’s net assets exceed a breakpoint in the future.

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This page is not part of the Shareholder Report or the Financial Statements.

AB FAMILY OF FUNDS

US EQUITY

CORE

Core Opportunities Fund

Select US Equity Portfolio

Sustainable US Thematic Portfolio

GROWTH

Concentrated Growth Fund

Discovery Growth Fund

Growth Fund

Large Cap Growth Fund

Small Cap Growth Portfolio

VALUE

Discovery Value Fund

Equity Income Fund

Relative Value Fund

Small Cap Value Portfolio

Value Fund

INTERNATIONAL/GLOBAL EQUITY

CORE

Global Core Equity Portfolio

International Low Volatility Equity Portfolio¹

Sustainable Global Thematic Fund

Sustainable International Thematic Fund

Tax-Managed Wealth Appreciation Strategy

Wealth Appreciation Strategy

GROWTH

Concentrated International Growth Portfolio

VALUE

All China Equity Portfolio

International Value Fund

FIXED INCOME

MUNICIPAL

High Income Municipal Portfolio

Intermediate California Municipal Portfolio

Intermediate Diversified Municipal Portfolio

Intermediate New York Municipal Portfolio

Municipal Bond Inflation Strategy

Tax-Aware Fixed Income Opportunities Portfolio

National Portfolio

Arizona Portfolio

California Portfolio

Massachusetts Portfolio

Minnesota Portfolio

New Jersey Portfolio

New York Portfolio

Ohio Portfolio

Pennsylvania Portfolio

Virginia Portfolio

TAXABLE

Bond Inflation Strategy

Global Bond Fund

High Income Fund

Income Fund

Intermediate Duration Portfolio

Short Duration High Yield Portfolio¹

Short Duration Income Portfolio

Short Duration Portfolio

Sustainable Thematic Credit Portfolio

Total Return Bond Portfolio

ALTERNATIVES

All Market Real Return Portfolio

Global Real Estate Investment Fund

Select US Long/Short Portfolio

MULTI-ASSET

All Market Total Return Portfolio

Emerging Markets Multi-Asset Portfolio

Global Risk Allocation Fund

Sustainable Thematic Balanced Portfolio

CLOSED-END FUNDS

AllianceBernstein Global High Income Fund

AllianceBernstein National Municipal Income Fund

EXCHANGE-TRADED FUNDS

Disruptors ETF

High Yield ETF

Tax-Aware Short Duration Municipal ETF

Ultra Short Income ETF

US High Dividend ETF

US Large Cap Strategic Equities ETF

US Low Volatility Equity ETF

We also offer Government Money Market Portfolio, which serves as the money market fund exchange vehicle for the AB mutual funds. You could lose money by investing in the Fund. Although the Fund seeks to preserve the value of your investment at $1.00 per share, it cannot guarantee it will do so. The Fund may impose a fee upon sale of your shares or may temporarily suspend your ability to sell shares if the Fund’s liquidity falls below required minimums because of market conditions or other factors. An investment in the Fund is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. The Fund’s sponsor has no legal obligation to provide financial support to the Fund, and you should not expect that the sponsor will provide financial support to the Fund at any time.

Investors should consider the investment objectives, risks, charges and expenses of the Fund carefully before investing. For copies of our prospectus or summary prospectus, which contain this and other information, visit us online at www.abfunds.com or contact your AB representative. Please read the prospectus and/or summary prospectus carefully before investing.

1 Prior to July 5, 2023, International Low Volatility Equity Portfolio was named International Strategic Core Portfolio and Short Duration High Yield Portfolio was named Limited Duration High Income Portfolio.

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AB BOND INFLATION STRATEGY

1345 Avenue of the Americas

New York, NY 10105

800 221 5672

BIS-0151-1023                

OCT    ^10.31.23

ANNUAL REPORT

AB INCOME FUND

Investment Products Offered •  Are Not FDIC Insured • May Lose Value • Are Not Bank Guaranteed

Investors should consider the investment objectives, risks, charges and expenses of the Fund carefully before investing. For copies of our prospectus or summary prospectus, which contain this and other information, visit us online at www.abfunds.com or contact your AB representative. Please read the prospectus and/or summary prospectus carefully before investing.

This shareholder report must be preceded or accompanied by the Fund’s prospectus for individuals who are not current shareholders of the Fund.

You may obtain a description of the Fund’s proxy voting policies and procedures, and information regarding how the Fund voted proxies relating to portfolio securities during the most recent 12-month period ended June 30, without charge. Simply visit AB’s website at www.abfunds.com, or go to the Securities and Exchange Commission’s (the “Commission”) website at www.sec.gov, or call AB at (800) 227 4618.

The Fund files its complete schedule of portfolio holdings with the Commission for the first and third quarters of each fiscal year as an exhibit to its reports on Form N-PORT. The Fund’s Form N-PORT reports are available on the Commission’s website at www.sec.gov. AB publishes full portfolio holdings for the Fund monthly at www.abfunds.com.

AllianceBernstein Investments, Inc. (ABI) is the distributor of the AB family of mutual funds. ABI is a member of FINRA and is an affiliate of AllianceBernstein L.P., the Adviser of the funds.

The [A/B] logo is a registered service mark of AllianceBernstein and AllianceBernstein^® is a registered service mark used by permission of the owner, AllianceBernstein L.P.

FROM THE PRESIDENT

Dear Shareholder,

We’re pleased to provide this report for the AB Income Fund (the “Fund”). Please review the discussion of Fund performance, the market conditions during the reporting period and the Fund’s investment strategy.

At AB, we’re striving to help our clients achieve better outcomes by:

⁺  Fostering diverse perspectives that give us a distinctive approach to navigating global capital markets

⁺  Applying differentiated investment insights through a connected global research network

⁺  Embracing innovation to design better ways to invest and leading-edge mutual-fund solutions

Whether you’re an individual investor or a multibillion-dollar institution, we’re putting our knowledge and experience to work for you every day.

For more information about AB’s comprehensive range of products and shareholder resources, please log on to www.abfunds.com.

Thank you for your investment in AB mutual funds—and for placing your trust in our firm.

Sincerely,

Onur Erzan

President and Chief Executive Officer, AB Mutual Funds

abfunds.com AB INCOME FUND    ^|    1

ANNUAL REPORT

December 7, 2023

This report provides management’s discussion of fund performance for the AB Income Fund for the annual reporting period ended October 31, 2023.

The investment objective of the Fund is to seek high current income consistent with preservation of capital.

NAV RETURNS AS OF OCTOBER 31, 2023 (unaudited)

	6 Months		12 Months
AB INCOME FUND
Class A Shares		-5.96%		1.76%
Class C Shares		-6.16%		1.00%
Advisor Class Shares1		-5.69%		2.02%
Class Z Shares1		-5.68%		2.02%
Bloomberg US Aggregate Bond Index		-6.13%		0.36%

1 Please note that these share classes are for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or investment advisory clients of, and certain other persons associated with, the Adviser and its affiliates or the Fund, or through other limited or special arrangements approved by the Adviser, such as purchases by shareholders of the Fund’s Predecessor Fund.

INVESTMENT RESULTS

The table above shows the Fund’s performance compared with its benchmark, the Bloomberg US Aggregate Bond Index, for the six- and 12-month periods ended October 31, 2023.

During the 12-month period, all share classes outperformed the benchmark, before sales charges. Sector allocation was the primary contributor, relative to the benchmark, mostly from off-benchmark exposure to emerging-market sovereign and corporate bonds, collateralized loan obligations, agency risk-sharing transactions, and bank loans that added more to relative performance than losses from an overweight to US Treasury bonds and an underweight to US investment-grade corporate bonds. Security selection also contributed, mainly from selection in investment-grade and high-yield corporate bonds, emerging-market sovereign bonds and quasi-sovereign bonds that were partially offset by a loss from selections in commercial mortgage-backed securities. Yield-curve positioning detracted, as losses from overweights to the two- to 10-year parts of the curve were greater than gains from an overweight to the six-month part of the curve and an underweight to the 30-year part of the yield curve. Off-benchmark country allocation to Canada was a minor detractor. Currency decisions did not impact performance during the period.

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In the six-month period, all share classes, except Class C, outperformed the benchmark, before sales charges. Security selection was the greatest contributor to relative performance, from selection in investment-grade and high-yield corporate bonds, emerging-market sovereign bonds and quasi-sovereign bonds. Sector allocation also added to relative performance, because of gains from off-benchmark exposures to collateralized loan obligations, emerging-market corporate bonds, bank loans and agency risk-sharing transactions that were partially offset by losses from an underweight to investment-grade corporate bonds. Yield-curve positioning detracted from relative performance, mainly from overweights to the two- to 10-year parts of the yield curve that were partially offset by gains from an overweight to the six-month part of the curve and underweights to the 20- and 30-year parts of the curve. Off-benchmark country allocation to Canada was a minor detractor. Currency decisions did not have a meaningful impact of results.

During both periods, the Fund used derivatives in the form of treasury futures and interest rate swaps to manage and hedge duration risk and/or to take active yield-curve positioning. Consumer Price Index swaps were used to obtain active inflation exposure. Currency forwards were used to hedge foreign currency exposure. Credit default swap indices were utilized to effectively gain exposure to specific sectors. Purchased options were used to reduce credit sensitive volatility. Written options were used to generate income from credit sensitive options.

MARKET REVIEW AND INVESTMENT STRATEGY

During the 12-month period ended October 2023, fixed-income government bond market yields were extremely volatile in all major developed markets, and developed-market government bond returns diverged based on individual country growth and inflation expectations. Most central banks raised interest rates significantly to combat inflation and then paused further interest-rate hikes. Government bond returns in aggregate were positive, as returns rose in Italy, Japan and Spain, and fell in the UK, Australia, Germany, the US and Canada. Overall, developed-market investment-grade corporate bonds significantly outperformed government bonds, including in the US and eurozone. High-yield corporate bonds advanced and materially outperformed government bonds, especially in the eurozone and US. Emerging-market local-currency sovereign bonds led risk asset returns, as the US dollar was mixed against all currencies. Emerging-market hard-currency sovereign and corporate bonds had strong relative positive returns, particularly among high-yield sovereigns and corporates.

The Fund’s Senior Investment Management Team (the “Team”) continues to pursue high income, while preserving capital by investing primarily in government bonds from both US and non-US issuers as well as corporate bonds, with scope to invest a select amount in below investment-grade

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bonds. The Team manages the Fund with a core fixed-income strategy through a global, multi-sector approach that seeks an attractive risk/return profile.

INVESTMENT POLICIES

The Fund pursues its objective by investing, under normal circumstances, at least 80% of its net assets in income-producing securities. The Fund also normally invests at least 65% of its total assets in securities of US and foreign governments, their agencies or instrumentalities and repurchase agreements relating to US government securities.

The Fund normally invests at least 65% of its total assets in US dollar-denominated securities. The Fund may also invest up to 35% of its total assets in non-government fixed-income securities, including corporate debt securities, non-government mortgage-backed and other asset-backed securities, certificates of deposit and commercial paper. The Fund may invest up to 35% of its net assets in below investment-grade securities (commonly known as “junk bonds”). The Fund may invest no more than 25% of its total assets in securities of issuers in any one country other than the US. The Fund’s investments in foreign securities may include investments in securities of emerging-market countries or of issuers in emerging markets.

The Adviser selects securities for purchase or sale based on its assessment of the securities’ risks and return characteristics as well as the securities’ impact on the overall risks and return characteristics of the Fund. In making this assessment, the Adviser takes into account various factors, including the credit quality and sensitivity to interest rates of the securities under consideration and of the Fund’s other holdings. The Fund may invest in fixed-income securities with any maturity or duration.

The Fund utilizes derivatives, such as options, futures contracts, forwards and swaps to a significant extent, subject to the limits of applicable law. The Fund may, for example, use credit default, interest rate and total return swaps to establish exposure to the fixed-income markets or particular fixed-income securities. Derivatives may provide a more efficient and economical exposure to market segments than direct investments, and may also be a more efficient way to alter the Fund’s exposure. The Fund may also enter into transactions such as reverse repurchase agreements that are similar to borrowings for investment purposes. The Fund’s use of derivatives and these borrowing transactions may create aggregate exposure that is substantially in excess of its net assets, effectively leveraging the Fund.

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DISCLOSURES AND RISKS

Benchmark Disclosure

The Bloomberg US Aggregate Bond Index is unmanaged and does not reflect fees and expenses associated with the active management of a mutual fund portfolio. The Bloomberg US Aggregate Bond Index represents the performance of securities within the US investment-grade fixed-rate bond market, with index components for government and corporate securities, mortgage pass-through securities, asset-backed securities and CMBS. The index is not leveraged, whereas the Fund utilizes leverage. An investor cannot invest directly in an index, and its results are not indicative of the performance for any specific investment, including the Fund.

A Word About Risk

Market Risk: The value of the Fund’s assets will fluctuate as the bond market fluctuates. The value of its investments may decline, sometimes rapidly and unpredictably, simply because of economic changes or other events, including public health crises (including the occurrence of a contagious disease or illness) and regional and global conflicts, that affect large portions of the market.

Credit Risk: An issuer or guarantor of a fixed-income security, or the counterparty to a derivatives or other contract, may be unable or unwilling to make timely payments of interest or principal, or to otherwise honor its obligations. The issuer or guarantor may default, causing a loss of the full principal amount of a security and accrued interest. The degree of risk for a particular security may be reflected in its credit rating. There is the possibility that the credit rating of a fixed-income security may be downgraded after purchase, which may adversely affect the value of the security.

Below Investment-Grade Securities Risk: Investments in fixed-income securities with lower ratings (commonly known as “junk bonds”) are subject to higher probability that an issuer will default or fail to meet its payment obligations. These securities may be subject to greater price volatility due to such factors as specific corporate developments and negative perceptions of the junk bond market generally and may be more difficult to trade than other types of securities.

Interest-Rate Risk: Changes in interest rates will affect the value of investments in fixed-income securities. When interest rates rise, the value of existing investments in fixed-income securities tends to fall and this decrease in value may not be offset by higher income from new investments. Interest-rate risk is generally greater for fixed-income securities with longer maturities or durations. The Fund may be subject to a greater risk of rising interest rates than would normally be the case due to the recent end of a period of historically low rates and the effect of potential central bank

abfunds.com AB INCOME FUND    ^|    5

DISCLOSURES AND RISKS (continued)

monetary policy, and government fiscal policy, initiatives and resulting market reactions to those initiatives.

Duration Risk: Duration is a measure that relates the expected price volatility of a fixed-income security to changes in interest rates. The duration of a fixed-income security may be shorter than or equal to the full maturity of a fixed-income security. Fixed-income securities with longer durations have more risk and will decrease in price as interest rates rise.

Inflation Risk: This is the risk that the value of assets or income from investments will be less in the future as inflation decreases the value of money. As inflation increases, the value of the Fund’s assets can decline, as can the value of the Fund’s distributions. This risk is significantly greater for fixed-income securities with longer maturities.

Foreign (Non-US) Risk: Investments in securities of non-US issuers may involve more risk than those of US issuers. These securities may fluctuate more widely in price and may be more difficult to trade due to adverse market, economic, political, regulatory or other factors.

Emerging-Market Risk: Investments in emerging-market countries may have more risk because the markets are less developed and less liquid and are subject to increased economic, political, regulatory or other uncertainties.

Currency Risk: Fluctuations in currency exchange rates may negatively affect the value of the Fund’s investments or reduce its returns.

Mortgage-Related and/or Other Asset-Backed Securities Risk: Investments in mortgage-related and other asset-backed securities are subject to certain additional risks. The value of these securities may be particularly sensitive to changes in interest rates. These risks include “extension risk”, which is the risk that, in periods of rising interest rates, issuers may delay the payment of principal, and “prepayment risk”, which is the risk that in periods of falling interest rates, issuers may pay principal sooner than expected, exposing the Fund to a lower rate of return upon reinvestment of principal. Mortgage-backed securities offered by non-governmental issuers and other asset-backed securities may be subject to other risks, such as higher rates of default in the mortgages or assets backing the securities or risks associated with the nature and servicing of mortgages or assets backing the securities.

Illiquid Investments Risk: Illiquid investments risk exists when certain investments are or become difficult to purchase or sell. Difficulty in selling such investments may result in sales at disadvantageous prices affecting the value of your investment in the Fund. Causes of illiquid investments risk

6    ^|    AB INCOME FUND abfunds.com

DISCLOSURES AND RISKS (continued)

may include low trading volumes, large positions and heavy redemptions of Fund shares. Illiquid investments risk may be higher in a rising interest-rate environment, when the value and liquidity of fixed-income securities generally decline.

Leverage Risk: To the extent the Fund uses leveraging techniques, its net asset value (“NAV”) may be more volatile because leverage tends to exaggerate the effect of changes in interest rates and any increase or decrease in the value of the Fund’s investments.

Derivatives Risk: Derivatives may be difficult to price or unwind and leveraged so that small changes may produce disproportionate losses for the Fund. A short position in a derivative instrument involves the risk of a theoretically unlimited increase in the value of the underlying asset, which could cause the Fund to suffer a potentially unlimited loss. Derivatives, especially over-the-counter derivatives, are also subject to counterparty risk, which is the risk that the counterparty (the party on the other side of the transaction) on a derivative transaction will be unable or unwilling to honor its contractual obligations to the Fund.

Active Trading Risk: The Fund expects to engage in active and frequent trading of its portfolio securities and its portfolio turnover rate may greatly exceed 100%. A higher rate of portfolio turnover increases transaction costs, which may negatively affect the Fund’s return. In addition, a high rate of portfolio turnover may result in substantial short-term gains, which may have adverse tax consequences for Fund shareholders.

Management Risk: The Fund is subject to management risk because it is an actively managed investment fund. The Adviser will apply its investment techniques and risk analyses in making investment decisions, but there is no guarantee that its techniques will produce the intended results. Some of these techniques may incorporate, or rely upon, quantitative models, but there is no guarantee that these models will generate accurate forecasts, reduce risk or otherwise perform as expected.

These risks are fully discussed in the Fund’s prospectus. As with all investments, you may lose money by investing in the Fund.

An Important Note About Historical Performance

The investment return and principal value of an investment in the Fund will fluctuate, so that shares, when redeemed, may be worth more or less than their original cost. Performance shown in this report represents past performance and does not guarantee future results. Current performance may be lower or higher than the performance information shown. You may obtain performance information current to the most recent month-end by visiting www.abfunds.com.

abfunds.com AB INCOME FUND    ^|    7

DISCLOSURES AND RISKS (continued)

All fees and expenses related to the operation of the Fund have been deducted. NAV returns do not reflect sales charges; if sales charges were reflected, the Fund’s quoted performance would be lower. SEC returns reflect the applicable sales charges for each share class: a 4.25% maximum front-end sales charge for Class A shares and a 1% 1-year contingent deferred sales charge for Class C shares. Returns for the different share classes will vary due to different expenses associated with each class. Performance assumes reinvestment of distributions and does not account for taxes.

The Fund commenced operations on April 22, 2016. The Fund acquired the assets and liabilities of the AllianceBernstein Income Fund, Inc., a closed-end fund (the “Predecessor Fund”), effective at the close of business on April 21, 2016 (the “Reorganization”). The Fund has the same investment objective that the Predecessor Fund had and similar investment strategies and policies. In addition, the Fund has higher expenses (including transfer agency and shareholder servicing fees), and a different advisory fee arrangement than the Predecessor Fund had.

Performance information prior to April 22, 2016, shown in this report reflects the historical performance of the Predecessor Fund based on its NAV. Such performance information may not be representative of performance the Fund would have achieved as an open-end fund under its current investment strategies and policies and expense levels.

8    ^|    AB INCOME FUND abfunds.com

HISTORICAL PERFORMANCE

GROWTH OF A $10,000 INVESTMENT IN THE FUND (unaudited)

10/31/2013 TO 10/31/2023

This chart illustrates the total value of an assumed $10,000 investment in AB Income Fund Advisor Class shares (from 10/31/2013 to 10/31/2023) as compared to the performance of the Fund’s benchmark. The chart assumes the reinvestment of dividends and capital gains distributions.

1 Performance returns of Advisor Class shares for the periods prior to April 21, 2016, are based on the NAV per share of the Predecessor Fund. Please note that this share class is for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or investment advisory clients of, and certain other persons associated with, the Adviser and its affiliates or the Fund, or through other limited or special arrangements approved by the Adviser, such as purchases by shareholders of the Fund’s Predecessor Fund.

abfunds.com AB INCOME FUND    ^|    9

HISTORICAL PERFORMANCE (continued)

AVERAGE ANNUAL RETURNS AS OF OCTOBER 31, 2023 (unaudited)

	NAV Returns		SEC Returns (reflects applicable sales charges)		SEC Yields1
CLASS A SHARES						5.25%
1 Year		1.76%		-2.49%
5 Years		-0.46%		-1.31%
Since Inception2		0.41%		-0.16%
CLASS C SHARES						4.74%
1 Year		1.00%		0.03%
5 Years		-1.20%		-1.20%
Since Inception2,3		-0.32%		-0.32%
ADVISOR CLASS SHARES4,5						5.76%
1 Year		2.02%		2.02%
5 Years		-0.21%		-0.21%
10 Years		1.64%		1.64%
CLASS Z SHARES5						5.80%
1 Year		2.02%		2.02%
Since Inception2		-2.99%		-2.99%

The Fund’s current prospectus fee table shows the Fund’s total annual operating expense ratios as 1.08%, 1.82%, 0.82% and 0.78% for Class A, Class C, Advisor Class and Class Z shares, respectively, gross of any fee waivers or expense reimbursements. Contractual fee waivers and/or expense reimbursements limited the Fund’s total annual operating expense ratios, exclusive of acquired fund fees and expenses other than the advisory fees of any AB mutual funds in which the Fund may invest, interest expense, taxes, extraordinary expenses and brokerage commissions and other transaction costs, to 0.77%, 1.52%, 0.52% and 0.52% for Class A, Class C, Advisor Class and Class Z shares, respectively. These waivers/reimbursements may not be terminated before January 31, 2024. Any fees waived and expenses borne by the Adviser through April 22, 2018, under the expense limitations in effect prior to that date may be reimbursed by the Fund until the end of the third fiscal year after the fiscal period in which the fee was waived or the expense was borne, provided that no reimbursement payment will be made that would cause the Fund’s total annual operating expenses to exceed the expense limitations. Absent reimbursements or waivers, performance would have been lower. The Financial Highlights section of this report sets forth expense ratio data for the current reporting period; the expense ratios shown above may differ from the expense ratios in the Financial Highlights section since they are based on different time periods.

1 SEC yields are calculated based on SEC guidelines for the 30-day period ended October 31, 2023.

2 Inception dates: 4/21/2016 for all share classes except Class Z; 11/20/2019 for Class Z shares.

3 Assumes conversion of Class C shares into Class A shares after eight years.

4 Performance returns of Advisor Class shares for the periods prior to April 21, 2016, are based on the NAV per share of the Predecessor Fund.

5 These share classes are offered at NAV to eligible investors and their SEC returns are the same as their NAV returns. Please note that these share classes are for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or investment advisory clients of, and certain other persons associated with, the Adviser and its affiliates or the Fund, or through other limited or special arrangements approved by the Adviser, such as purchases by shareholders of the Fund’s Predecessor Fund.

10    ^|    AB INCOME FUND abfunds.com

HISTORICAL PERFORMANCE (continued)

SEC AVERAGE ANNUAL RETURNS

AS OF THE MOST RECENT CALENDAR QUARTER-END

SEPTEMBER 30, 2023 (unaudited)

	SEC Returns (reflects applicable sales charges)
CLASS A SHARES
1 Year		-2.14%
5 Years		-1.12%
Since Inception1		0.09%
CLASS C SHARES
1 Year		0.46%
5 Years		-1.00%
Since Inception1,2		-0.07%
ADVISOR CLASS SHARES3,4
1 Year		2.46%
5 Years		0.00%
10 Years		2.00%
CLASS Z SHARES4
1 Year		2.30%
Since Inception1		-2.63%

1 Inception dates: 4/21/2016 for all share classes except Class Z; 11/20/2019 for Class Z shares.

2 Assumes conversion of Class C shares into Class A shares after eight years.

3 Performance returns of Advisor Class shares for the periods prior to April 21, 2016, are based on the NAV per share of the Predecessor Fund.

4 Please note that these share classes are for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or investment advisory clients of, and certain other persons associated with, the Adviser and its affiliates or the Fund, or through other limited or special arrangements approved by the Adviser, such as purchases by shareholders of the Fund’s Predecessor Fund.

abfunds.com AB INCOME FUND    ^|    11

EXPENSE EXAMPLE

(unaudited)

As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments, contingent deferred sales charges on redemptions and (2) ongoing costs, including management fees; distribution (12b-1) fees; and other Fund expenses. This example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds.

The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period as indicated below.

Actual Expenses

The first line of the table below provides information about actual account values and actual expenses. You may use the information in this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the first line under the heading entitled “Expenses Paid During Period” to estimate the expenses you paid on your account during this period.

Hypothetical Example for Comparison Purposes

The second line of the table below provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed annual rate of return of 5% before expenses, which is not the Fund’s actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and other funds by comparing this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of other funds.

	Beginning Account Value May 1, 2023		Ending Account Value October 31, 2023		Expenses Paid During Period*		Annualized Expense Ratio*
Class A
Actual	$	1,000	$	940.40	$	9.68		1.98	%
Hypothetical**	$	1,000	$	1,015.22	$	10.06		1.98	%
Class C
Actual	$	1,000	$	938.40	$	13.29		2.72	%
Hypothetical**	$	1,000	$	1,011.49	$	13.79		2.72	%
Advisor Class
Actual	$	1,000	$	943.10	$	8.42		1.72	%
Hypothetical**	$	1,000	$	1,016.53	$	8.74		1.72	%
Class Z
Actual	$	1,000	$	943.20	$	8.42		1.72	%
Hypothetical**	$	1,000	$	1,016.53	$	8.74		1.72	%

* Expenses are equal to the classes’ annualized expense ratios, multiplied by the average account value over the period, multiplied by 184/365 (to reflect the one-half year period).

** Assumes 5% annual return before expenses.

12    ^|    AB INCOME FUND abfunds.com

PORTFOLIO SUMMARY

October 31, 2023 (unaudited)

PORTFOLIO STATISTICS

Net Assets ($mil): $2,402.1

1 The Fund’s security type breakdown is expressed as a percentage of total investments and may vary over time. The Fund also enters into derivative transactions, which may be used for hedging or investment purposes (see “Portfolio of Investments” section of the report for additional details). “Other” security type weightings represent 0.3% or less in the following types: Common Stocks, Governments–Sovereign Bonds, Local Governments–US Municipal Bonds, Preferred Stocks, Purchased Options–Puts, and Rights.

abfunds.com AB INCOME FUND    ^|    13

PORTFOLIO SUMMARY (continued)

October 31, 2023 (unaudited)

1 The Fund’s country breakdown is expressed as a percentage of total investments and may vary over time. The Fund also enters into derivative transactions, which may be used for hedging or investment purposes (see “Portfolio of Investments” section of the report for additional details). “Other” country weightings represent 0.3% or less in the following: Angola, Canada, Cayman Islands, Chile, Czech Republic, Denmark, Dominican Republic, El Salvador, Finland, Ghana, Guatemala, Hong Kong, Hungary, Indonesia, Ireland, Israel, Ivory Coast, Jamaica, Japan, Kazakhstan, Kenya, Lebanon, Luxembourg, Macau, Netherlands, Nigeria, Norway, Panama, Peru, Senegal, South Africa, South Korea, Sweden, Turkey and Ukraine.

14    ^|    AB INCOME FUND abfunds.com

PORTFOLIO OF INVESTMENTS

October 31, 2023

		Principal Amount (000)		U.S. $ Value
GOVERNMENTS - TREASURIES – 49.1%
United States – 49.1%
U.S. Treasury Bonds 3.00%, 08/15/2052(a)(b)	U.S.$		49,257	$	34,056,252
U.S. Treasury Notes  2.875%, 05/15/2032			14		11,868
3.875%, 08/15/2033			10,430		9,624,934
4.125%, 09/30/2027(b)(c)(d)			351,519		342,291,431
4.125%, 10/31/2027			104,988		102,182,560
4.125%, 07/31/2028(a)			99,948		97,011,639
4.75%, 07/31/2025			446,365		443,365,489
5.00%, 08/31/2025			151,900		151,567,719
Total Governments - Treasuries (cost $1,199,721,018)					1,180,111,892
MORTGAGE PASS-THROUGHS – 26.5%
Agency Fixed Rate 30-Year – 26.5%
Federal National Mortgage Association Series 1998 8.00%, 06/01/2028			1		634
Series 1999 7.50%, 11/01/2029			4		4,289
Series 2020 2.50%, 12/01/2050			85,242		65,422,061
Series 2022 3.00%, 03/01/2052			20,911		16,788,286
3.00%, 08/01/2052			11,494		9,197,266
Government National Mortgage Association Series 2021 4.00%, 11/20/2053, TBA			13,732		12,063,527
4.50%, 11/20/2053, TBA			70,886		63,978,082
Series 2023 5.50%, 05/20/2053			42,302		40,463,007
5.50%, 08/20/2053			34,245		32,755,774
6.00%, 10/20/2053			9,350		9,163,440
6.50%, 10/20/2053			9,100		9,095,493
Uniform Mortgage-Backed Security Series 2022 4.00%, 11/13/2053, TBA			44,832		38,733,998
Series 2023 3.00%, 11/13/2053, TBA			61,874		49,443,711
3.50%, 11/13/2053, TBA			82,946		69,036,631
4.50%, 11/13/2053, TBA			5,755		5,142,172
5.00%, 11/13/2053, TBA			82,077		75,661,743
5.50%, 11/13/2053, TBA			9,700		9,204,769

abfunds.com AB INCOME FUND    ^|    15

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
6.00%, 11/13/2053, TBA	U.S.$		64,900	$	63,145,675
6.50%, 11/13/2053, TBA			67,500		67,072,853
Total Mortgage Pass-Throughs (cost $640,666,317)					636,373,411
CORPORATES - INVESTMENT GRADE – 16.2%
Financial Institutions – 9.4%
Banking – 6.8%
Ally Financial, Inc. 6.992%, 06/13/2029			4,859		4,642,434
8.00%, 11/01/2031			75		73,235
Series B 4.70%, 05/15/2026(e)			3,727		2,430,787
Banco de Credito del Peru SA 3.125%, 07/01/2030(f)			3,765		3,440,269
Banco Santander SA 3.225%, 11/22/2032			200		147,164
4.175%, 03/24/2028			2,800		2,563,904
6.921%, 08/08/2033			5,400		5,020,380
Bank of America Corp. Series U 8.806% (SOFR + 3.40%), 12/01/2023(e)(g)			2,518		2,520,065
Barclays PLC 6.125%, 12/15/2025(e)			7,868		7,009,680
7.125%, 06/15/2025(e)	GBP		333		377,210
BNP Paribas SA 4.625%, 02/25/2031(e)(f)	U.S.$		2,545		1,759,358
CaixaBank SA 6.84%, 09/13/2034(f)			3,893		3,677,912
Capital One Financial Corp. 6.377%, 06/08/2034			4,743		4,326,849
7.624%, 10/30/2031			3,035		3,034,363
Citigroup, Inc. 3.875%, 02/18/2026(e)			3,286		2,751,039
7.625%, 11/15/2028(e)			1,873		1,806,827
Series U 5.00%, 09/12/2024(e)			2,540		2,403,475
Series V 4.70%, 01/30/2025(e)			1,811		1,619,559
Series W 4.00%, 12/10/2025(e)			2,865		2,454,675
Credit Agricole SA 8.125%, 12/23/2025(e)(f)			4,972		4,911,690

16    ^|    AB INCOME FUND abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Danske Bank A/S 3.244%, 12/20/2025(f)	U.S.$		200	$	191,764
6.466%, 01/09/2026(f)			2,440		2,429,459
Deutsche Bank AG/New York NY 1.447%, 04/01/2025			150		146,362
6.119%, 07/14/2026			4,938		4,860,572
7.079%, 02/10/2034			2,615		2,299,736
7.146%, 07/13/2027			962		960,644
Discover Financial Services 6.70%, 11/29/2032			2,653		2,457,235
Goldman Sachs Group, Inc. (The) Series P 8.501% (SOFR + 3.14%), 12/01/2023(e)(g)			1,882		1,874,378
Series W 7.50%, 02/10/2029(e)			2,147		2,102,664
HSBC Holdings PLC 4.60%, 12/17/2030(e)			1,030		743,093
6.375%, 03/30/2025(e)			468		441,792
ING Groep NV 6.50%, 04/16/2025(e)			3,085		2,891,139
6.75%, 04/16/2024(e)(f)			3,383		3,308,878
Intesa Sanpaolo SpA 5.017%, 06/26/2024(f)			999		980,459
JPMorgan Chase & Co. Series Q 8.889% (SOFR + 3.51%), 02/01/2024(e)(g)			3,871		3,888,961
Series R 8.939% (SOFR + 3.56%), 02/01/2024(e)(g)			282		283,517
Nationwide Building Society 6.557%, 10/18/2027(f)			9,636		9,616,439
Nordea Bank Abp 6.625%, 03/26/2026(e)(f)			8,725		8,148,714
PNC Financial Services Group, Inc. (The) Series O 9.312% (SOFR + 3.94%), 11/01/2023(e)(g)			1,247		1,247,000
Series R 8.711% (SOFR + 3.30%), 12/01/2023(e)(g)			2,740		2,712,408
Santander Holdings USA, Inc. 6.499%, 03/09/2029			6,064		5,864,737
6.565%, 06/12/2029			5,635		5,436,254
Standard Chartered PLC 7.162% (LIBOR 3 Month + 1.51%), 01/30/2027(e)(f)(g)			7,500		6,863,400

abfunds.com AB INCOME FUND    ^|    17

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Swedbank AB Series NC5 5.625%, 09/17/2024(e)(f)	U.S.$		8,800	$	8,486,104
Truist Financial Corp. Series L 8.773% (SOFR + 3.36%), 12/15/2024(e)(g)			4,473		4,234,008
Series Q 5.10%, 03/01/2030(e)			7,152		5,725,462
UBS Group AG 4.375%, 02/10/2031(e)			4,958		3,434,258
6.246%, 09/22/2029(f)			5,435		5,323,093
6.373%, 07/15/2026(f)			1,114		1,106,971
7.00%, 02/19/2025(e)(f)			211		204,813
UniCredit SpA 1.982%, 06/03/2027(f)			250		220,420
2.569%, 09/22/2026(f)			3,984		3,648,667
Wells Fargo & Co. 7.625%, 09/15/2028(e)			3,806		3,822,822
					162,927,098
Brokerage – 0.1%
Nomura Holdings, Inc. 5.709%, 01/09/2026			1,854		1,826,987
Finance – 1.2%
Aircastle Ltd. 5.25%, 06/15/2026(e)(f)			1,325		1,049,705
Aviation Capital Group LLC 4.125%, 08/01/2025(f)			1,592		1,515,871
4.375%, 01/30/2024(f)			1,694		1,682,684
4.875%, 10/01/2025(f)			1,315		1,264,701
6.375%, 07/15/2030(f)			3,735		3,538,277
6.75%, 10/25/2028(f)			4,298		4,238,774
GTCR W-2 Merger Sub LLC/GTCR W Dutch Finance Sub BV 8.50%, 01/15/2031(f)	GBP		333		407,108
Huarong Finance II Co., Ltd. Series E 4.625%, 06/03/2026	U.S.$		630		560,631
4.875%, 11/22/2026(f)			737		650,963
5.50%, 01/16/2025(f)			5,167		4,941,409
REC Ltd. 5.625%, 04/11/2028(f)			648		627,620
Synchrony Financial 3.95%, 12/01/2027			9,789		8,390,739
					28,868,482

18    ^|    AB INCOME FUND abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Insurance – 1.1%
Assicurazioni Generali SpA Series E 5.50%, 10/27/2047(f)	EUR		6,630	$	6,970,518
Credit Agricole Assurances SA 4.75%, 09/27/2048(f)			3,200		3,233,081
Fairfax Financial Holdings Ltd. 8.30%, 04/15/2026	U.S.$		5,000		5,212,300
Hartford Financial Services Group, Inc. (The) Series ICON 7.751% (SOFR + 2.39%), 02/12/2047(f)(g)			3,275		2,805,594
MetLife Capital Trust IV 7.875%, 12/15/2037(f)			4,117		4,192,959
Prudential Financial, Inc. 5.20%, 03/15/2044			4,029		3,973,319
					26,387,771
REITs – 0.2%
GLP Capital LP/GLP Financing II, Inc. 5.375%, 04/15/2026			283		271,434
Spirit Realty LP 3.40%, 01/15/2030			1,800		1,496,772
STORE Capital Corp. 4.625%, 03/15/2029			1,143		964,052
Trust Fibra Uno 4.869%, 01/15/2030(f)			2,288		1,899,040
4.869%, 01/15/2030(a)(f)			2,110		1,751,300
					6,382,598
					226,392,936
Industrial – 5.8%
Basic – 1.3%
Anglo American Capital PLC 2.625%, 09/10/2030(f)			707		552,315
5.625%, 04/01/2030(f)			3,165		2,991,352
Braskem Netherlands Finance BV 4.50%, 01/31/2030(f)			408		312,610
8.50%, 01/12/2031(f)			3,397		3,179,333
Celanese US Holdings LLC 6.55%, 11/15/2030			3,008		2,890,267
Freeport Indonesia PT 4.763%, 04/14/2027(f)			964		913,217
Glencore Funding LLC 5.40%, 05/08/2028(f)			3,775		3,649,934
5.70%, 05/08/2033(f)			2,856		2,647,683
6.375%, 10/06/2030(f)			5,937		5,822,713

abfunds.com AB INCOME FUND    ^|    19

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Gold Fields Orogen Holdings BVI Ltd. 5.125%, 05/15/2024(f)	U.S.$		1,445	$	1,430,145
UPL Corp. Ltd. 4.50%, 03/08/2028(f)			923		755,605
4.625%, 06/16/2030(f)			2,029		1,567,484
Vale Overseas Ltd. 3.75%, 07/08/2030			4,396		3,713,301
					30,425,959
Capital Goods – 0.1%
Regal Rexnord Corp. 6.30%, 02/15/2030(f)			1,078		1,017,341
6.40%, 04/15/2033(f)			1,275		1,171,317
					2,188,658
Communications - Media – 0.3%
DirecTV Financing LLC/DirecTV Financing Co-Obligor, Inc. 5.875%, 08/15/2027(f)			2,691		2,356,482
Prosus NV 3.68%, 01/21/2030(f)			5,224		4,140,020
Telecomunicaciones Digitales SA 4.50%, 01/30/2030(f)			433		338,281
					6,834,783
Communications - Telecommunications – 0.1%
AT&T, Inc. 4.50%, 05/15/2035			1,140		949,529
Xiaomi Best Time International Ltd. 3.375%, 04/29/2030(f)			1,860		1,470,888
					2,420,417
Consumer Cyclical - Automotive – 0.9%
Ford Motor Co. 6.10%, 08/19/2032			4,859		4,496,081
General Motors Financial Co., Inc. 2.35%, 01/08/2031			820		610,137
2.70%, 06/10/2031			3,193		2,403,084
5.85%, 04/06/2030			3,196		3,020,923
Harley-Davidson Financial Services, Inc. 3.05%, 02/14/2027(f)			655		578,555
Hyundai Capital America 5.68%, 06/26/2028(f)			6,110		5,909,898
6.10%, 09/21/2028(f)			2,860		2,811,323
6.50%, 01/16/2029			1,536		1,531,530
					21,361,531

20    ^|    AB INCOME FUND abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Consumer Cyclical - Other – 0.1%
PulteGroup, Inc. 6.375%, 05/15/2033	U.S.$		2,868	$	2,789,617
Resorts World Las Vegas LLC/RWLV Capital, Inc. 4.625%, 04/16/2029(f)			1,100		842,842
					3,632,459
Consumer Cyclical - Retailers – 0.1%
Macy’s Retail Holdings LLC 5.875%, 03/15/2030(f)			985		837,546
6.125%, 03/15/2032(f)			1,510		1,248,785
					2,086,331
Consumer Non-Cyclical – 0.4%
BAT Capital Corp. 6.421%, 08/02/2033			4,709		4,437,667
7.75%, 10/19/2032			15		15,387
Charles River Laboratories International, Inc. 4.00%, 03/15/2031(f)			423		345,392
Philip Morris International, Inc. 5.50%, 09/07/2030			5,999		5,742,303
					10,540,749
Energy – 1.2%
Continental Resources, Inc./OK 2.875%, 04/01/2032(f)			865		640,039
5.75%, 01/15/2031(f)			1,793		1,663,384
Ecopetrol SA 4.625%, 11/02/2031			1,138		849,517
6.875%, 04/29/2030			3,520		3,155,504
8.875%, 01/13/2033			440		420,640
Hess Corp. 7.30%, 08/15/2031			5,128		5,550,393
Hunt Oil Co. of Peru LLC Sucursal Del Peru 8.55%, 09/18/2033(f)			1,272		1,271,523
KazMunayGas National Co. JSC 4.75%, 04/19/2027(f)			2,107		1,963,724
5.375%, 04/24/2030(f)			3,400		3,031,100
Ovintiv, Inc. 6.25%, 07/15/2033			3,489		3,311,515
Raizen Fuels Finance SA 5.30%, 01/20/2027(f)			2,218		2,117,968
Tengizchevroil Finance Co. International Ltd. 3.25%, 08/15/2030(f)			1,918		1,426,033
Var Energi ASA 7.50%, 01/15/2028(f)			2,892		2,947,758

abfunds.com AB INCOME FUND    ^|    21

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
8.00%, 11/15/2032(f)	U.S.$		1,436	$	1,477,113
					29,826,211
Other Industrial – 0.1%
LKQ Corp. 6.25%, 06/15/2033			1,491		1,394,890
Services – 0.2%
GTCR W-2 Merger Sub LLC 7.50%, 01/15/2031(f)			3,810		3,757,079
Technology – 0.6%
Baidu, Inc. 3.425%, 04/07/2030			225		190,190
Entegris Escrow Corp. 4.75%, 04/15/2029(f)			7,688		6,907,361
Lenovo Group Ltd. 3.421%, 11/02/2030(f)			509		407,678
5.831%, 01/27/2028(f)			3,434		3,337,505
SK Hynix, Inc. 2.375%, 01/19/2031(f)			1,255		923,994
6.25%, 01/17/2026(f)			582		579,916
6.50%, 01/17/2033(f)			787		748,831
Western Digital Corp. 2.85%, 02/01/2029			185		144,050
3.10%, 02/01/2032			522		367,744
Xiaomi Best Time International Ltd. 2.875%, 07/14/2031(f)			1,406		1,025,501
					14,632,770
Transportation - Airlines – 0.1%
Delta Air Lines, Inc./SkyMiles IP Ltd. 4.75%, 10/20/2028(f)			1,640		1,540,796
Transportation - Railroads – 0.1%
Lima Metro Line 2 Finance Ltd. 4.35%, 04/05/2036(f)			514		435,764
5.875%, 07/05/2034(f)			1,484		1,408,733
					1,844,497
Transportation - Services – 0.2%
Adani Ports & Special Economic Zone Ltd. 4.00%, 07/30/2027(f)			4,585		3,755,023
AerCap Global Aviation Trust  6.50%, 06/15/2045(f)			1,944		1,906,773
					5,661,796
					138,148,926

22    ^|    AB INCOME FUND abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Utility – 1.0%
Electric – 1.0%
Adani Transmission Step-One Ltd. 4.00%, 08/03/2026(f)	U.S.$		3,064	$	2,609,272
AES Panama Generation Holdings SRL 4.375%, 05/31/2030(f)			2,452		1,987,961
Alexander Funding Trust II 7.467%, 07/31/2028(f)			2,973		2,945,856
Chile Electricity PEC SpA Zero Coupon, 01/25/2028(f)(h)			3,169		2,421,940
ComEd Financing III 6.35%, 03/15/2033			3,462		3,347,339
Cometa Energia SA de CV 6.375%, 04/24/2035(f)			1,416		1,286,943
Electricite de France SA 9.125%, 03/15/2033(e)(f)			1,132		1,158,172
Empresa Electrica Cochrane SpA 5.50%, 05/14/2027(f)			254		235,032
LLPL Capital Pte Ltd. 6.875%, 02/04/2039(f)			2,808		2,445,113
NRG Energy, Inc. 4.45%, 06/15/2029(f)			1,127		973,548
7.00%, 03/15/2033(f)			992		935,436
Vistra Operations Co., LLC 6.95%, 10/15/2033(f)			3,770		3,580,595
					23,927,207
Total Corporates - Investment Grade (cost $415,291,251)					388,469,069
CORPORATES - NON-INVESTMENT GRADE – 9.2%
Industrial – 7.4%
Basic – 0.2%
ASP Unifrax Holdings, Inc. 5.25%, 09/30/2028(f)			277		188,299
7.50%, 09/30/2029(f)			280		151,284
ERP Iron Ore LLC 9.039%, 12/31/2019(h)(i)(j)(k)(l)			118		37,837
FMG Resources (August 2006) Pty Ltd. 6.125%, 04/15/2032(f)			3,761		3,322,280
Graphic Packaging International LLC 4.75%, 07/15/2027(f)			32		29,888
INEOS Styrolution Ludwigshafen GmbH 2.25%, 01/16/2027(f)	EUR		107		97,976
Magnetation LLC/Mag Finance Corp. 11.00%, 05/15/2018(h)(i)(j)(k)(m)	U.S.$		1,407		– 0	–

abfunds.com AB INCOME FUND    ^|    23

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
SCIL IV LLC/SCIL USA Holdings LLC 5.375%, 11/01/2026(f)	U.S.$		1,782	$	1,577,266
					5,404,830
Capital Goods – 0.2%
Ball Corp. 6.00%, 06/15/2029			421		403,221
Bombardier, Inc. 6.00%, 02/15/2028(f)			7		6,215
7.50%, 02/01/2029(f)			16		14,820
7.875%, 04/15/2027(f)			63		60,660
Eco Material Technologies, Inc. 7.875%, 01/31/2027(f)			2,807		2,664,292
LSB Industries, Inc. 6.25%, 10/15/2028(f)(n)			1,402		1,245,579
TK Elevator US Newco, Inc. 5.25%, 07/15/2027(f)			743		676,383
TransDigm, Inc. 6.25%, 03/15/2026(f)			33		32,266
Trivium Packaging Finance BV 3.75%, 08/15/2026(f)	EUR		100		95,611
					5,199,047
Communications - Media – 0.8%
Altice Financing SA 5.75%, 08/15/2029(f)	U.S.$		611		471,845
AMC Networks, Inc. 4.25%, 02/15/2029			3,809		2,386,643
Banijay Entertainment SASU 7.00%, 05/01/2029(f)	EUR		1,730		1,811,732
8.125%, 05/01/2029(f)	U.S.$		2,545		2,493,464
CCO Holdings LLC/CCO Holdings Capital Corp. 4.50%, 08/15/2030(f)			688		552,354
4.50%, 06/01/2033(f)			6,459		4,818,414
4.75%, 02/01/2032(f)			519		405,163
DISH DBS Corp. 5.25%, 12/01/2026(f)			1,033		834,550
McGraw-Hill Education, Inc. 5.75%, 08/01/2028(f)			3,282		2,767,678
Sinclair Television Group, Inc. 5.50%, 03/01/2030(f)			1,119		607,102
Sirius XM Radio, Inc. 3.875%, 09/01/2031(f)			264		198,607
4.00%, 07/15/2028(f)			792		673,287
5.00%, 08/01/2027(f)			522		479,290
					18,500,129

24    ^|    AB INCOME FUND abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Communications - Telecommunications – 0.2%
Altice France SA/France 5.125%, 07/15/2029(f)	U.S.$		1,984	$	1,359,099
5.50%, 01/15/2028(f)			878		652,389
5.50%, 10/15/2029(f)			1,528		1,054,427
Intelsat Jackson Holdings SA 5.50%, 08/01/2023(h)(i)(j)(k)(w)			4,941		– 0	–
Vmed O2 UK Financing I PLC 4.75%, 07/15/2031(f)			1,329		1,069,739
					4,135,654
Consumer Cyclical - Automotive – 0.5%
Clarios Global LP/Clarios US Finance Co. 4.375%, 05/15/2026(f)	EUR		360		364,933
Dealer Tire LLC/DT Issuer LLC 8.00%, 02/01/2028(f)	U.S.$		2,682		2,513,839
Exide Technologies 11.00%, 10/31/2024(h)(j)(k)(m)(w)			3,206		– 0 –
IHO Verwaltungs GmbH 3.875% (3.875% Cash or 4.625% PIK), 05/15/2027(f)(l)	EUR		623		593,494
8.75% (8.75% Cash or 9.50% PIK), 05/15/2028(f)(l)			506		551,749
Jaguar Land Rover Automotive PLC 5.50%, 07/15/2029(f)	U.S.$		2,707		2,335,545
7.75%, 10/15/2025(f)			661		662,315
PM General Purchaser LLC 9.50%, 10/01/2028(f)			1,509		1,418,581
Tenneco, Inc. 8.00%, 11/17/2028(f)			3,028		2,429,970
ZF North America Capital, Inc. 6.875%, 04/14/2028(f)			1,328		1,289,568
7.125%, 04/14/2030(f)			328		318,583
					12,478,577
Consumer Cyclical - Entertainment – 1.2%
Carnival Corp. 4.00%, 08/01/2028(f)			1,841		1,602,425
5.75%, 03/01/2027(f)			2,598		2,318,819
Cedar Fair LP/Canada’s Wonderland Co./Magnum Management Corp./Millennium Op 5.50%, 05/01/2025(f)			8,053		7,897,658
Lindblad Expeditions LLC 6.75%, 02/15/2027(f)			779		707,527
NCL Corp., Ltd. 8.125%, 01/15/2029(f)			4,400		4,301,396

abfunds.com AB INCOME FUND    ^|    25

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
8.375%, 02/01/2028(f)	U.S.$		524	$	517,780
Royal Caribbean Cruises Ltd. 5.375%, 07/15/2027(f)			433		399,083
5.50%, 08/31/2026(f)			82		77,507
5.50%, 04/01/2028(f)			1,617		1,474,526
11.50%, 06/01/2025(f)			847		895,880
SeaWorld Parks & Entertainment, Inc. 8.75%, 05/01/2025(f)			4,017		4,078,701
Six Flags Entertainment Corp. 7.25%, 05/15/2031(f)			1,570		1,444,808
Viking Cruises Ltd. 5.875%, 09/15/2027(f)			1,057		951,934
Viking Ocean Cruises Ship VII Ltd. 5.625%, 02/15/2029(f)			1,376		1,217,389
VOC Escrow Ltd. 5.00%, 02/15/2028(f)			75		67,486
					27,952,919
Consumer Cyclical - Other – 0.3%
Adams Homes, Inc. 7.50%, 02/15/2025(f)			514		502,327
Brookfield Residential Properties, Inc./Brookfield Residential US LLC 6.25%, 09/15/2027(f)			1,846		1,614,844
Caesars Entertainment, Inc. 7.00%, 02/15/2030(f)			705		678,577
Hilton Grand Vacations Borrower Escrow LLC/Hilton Grand Vacations Borrower Esc 4.875%, 07/01/2031(f)			140		111,132
5.00%, 06/01/2029(f)			1,864		1,568,500
Installed Building Products, Inc. 5.75%, 02/01/2028(f)			846		767,313
Travel + Leisure Co. 6.625%, 07/31/2026(f)			2,404		2,340,030
					7,582,723
Consumer Cyclical - Restaurants – 0.0%
1011778 BC ULC/New Red Finance, Inc. 3.875%, 01/15/2028(f)			546		487,884
Consumer Cyclical - Retailers – 0.4%
Arko Corp. 5.125%, 11/15/2029(f)			845		684,839
Bath & Body Works, Inc. 6.75%, 07/01/2036			704		608,200
6.875%, 11/01/2035			2,210		1,950,016
9.375%, 07/01/2025(f)			185		190,607

26    ^|    AB INCOME FUND abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Beacon Roofing Supply, Inc. 6.50%, 08/01/2030(f)	U.S.$		944	$	901,803
FirstCash, Inc. 5.625%, 01/01/2030(f)			66		58,806
Kontoor Brands, Inc. 4.125%, 11/15/2029(f)			2,225		1,842,011
LCM Investments Holdings II LLC 8.25%, 08/01/2031(f)			1,042		995,985
PetSmart, Inc./PetSmart Finance Corp. 7.75%, 02/15/2029(f)			480		442,171
Sonic Automotive, Inc. 4.875%, 11/15/2031(f)			753		599,923
Staples, Inc. 7.50%, 04/15/2026(f)			2,956		2,408,785
					10,683,146
Consumer Non-Cyclical – 0.7%
Bausch & Lomb Escrow Corp. 8.375%, 10/01/2028(f)			7,165		7,120,935
CHS/Community Health Systems, Inc. 6.875%, 04/15/2029(f)			2,079		851,849
DaVita, Inc. 4.625%, 06/01/2030(f)			5,479		4,295,646
Embecta Corp. 5.00%, 02/15/2030(f)			1,087		862,795
Fortrea Holdings, Inc. 7.50%, 07/01/2030(f)			816		788,770
Garden Spinco Corp. 8.625%, 07/20/2030(f)			1,594		1,644,227
IQVIA, Inc. 6.50%, 05/15/2030(f)			471		456,955
Legacy LifePoint Health LLC 4.375%, 02/15/2027(f)			695		574,550
US Acute Care Solutions LLC 6.375%, 03/01/2026(f)			1,383		1,181,552
					17,777,279
Energy – 1.5%
CITGO Petroleum Corp. 7.00%, 06/15/2025(f)			2,880		2,832,422
8.375%, 01/15/2029(f)			6,469		6,406,898
Civitas Resources, Inc. 8.375%, 07/01/2028(f)			2,280		2,296,370
8.75%, 07/01/2031(f)			2,213		2,234,532
Crescent Energy Finance LLC 7.25%, 05/01/2026(f)			1,339		1,295,282
Encino Acquisition Partners Holdings LLC 8.50%, 05/01/2028(f)			826		805,664

abfunds.com AB INCOME FUND    ^|    27

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
EQM Midstream Partners LP 4.75%, 01/15/2031(f)	U.S.$		538	$	450,597
Genesis Energy LP/Genesis Energy Finance Corp. 6.50%, 10/01/2025			123		120,530
7.75%, 02/01/2028			3,367		3,175,384
8.00%, 01/15/2027			537		516,444
Global Partners LP/GLP Finance Corp. 6.875%, 01/15/2029			1,924		1,710,109
Gulfport Energy Corp. 6.00%, 10/15/2024(h)(w)			438		272
6.375%, 05/15/2025(h)(w)			1,351		838
6.375%, 01/15/2026(h)(w)			1,194		740
6.625%, 05/01/2023(h)(i)(w)			236		146
8.00%, 05/17/2026(f)			580		579,473
Nabors Industries Ltd. 7.50%, 01/15/2028(f)			1,372		1,209,980
New Fortress Energy, Inc. 6.50%, 09/30/2026(f)			3,972		3,555,734
6.75%, 09/15/2025(f)			1,399		1,298,580
Venture Global LNG, Inc. 8.125%, 06/01/2028(f)			1,342		1,302,921
8.375%, 06/01/2031(f)			1,340		1,278,869
9.50%, 02/01/2029(f)			2,009		2,037,749
9.875%, 02/01/2032(f)			1,934		1,961,540
					35,071,074
Services – 0.6%
ADT Security Corp. (The) 4.875%, 07/15/2032(f)			90		75,262
ANGI Group LLC 3.875%, 08/15/2028(f)			458		344,224
APX Group, Inc. 5.75%, 07/15/2029(f)			2,079		1,736,360
6.75%, 02/15/2027(f)			967		934,093
Cars.com, Inc. 6.375%, 11/01/2028(f)			2,427		2,160,151
ION Trading Technologies SARL 5.75%, 05/15/2028(f)			284		235,700
Millennium Escrow Corp. 6.625%, 08/01/2026(f)			3,319		2,465,718
Monitronics International, Inc. 9.125%, 04/01/2020(h)(i)(j)(k)(w)			1,835		– 0	–
MPH Acquisition Holdings LLC 5.75%, 11/01/2028(a)(f)			4,123		3,075,304
Neptune Bidco US, Inc. 9.29%, 04/15/2029(f)			2,658		2,347,838

28    ^|    AB INCOME FUND abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Prime Security Services Borrower LLC/Prime Finance, Inc. 6.25%, 01/15/2028(f)	U.S.$		473	$	439,053
					13,813,703
Technology – 0.3%
CommScope, Inc. 4.75%, 09/01/2029(f)			68		46,403
Entegris Escrow Corp. 5.95%, 06/15/2030(f)			2,001		1,830,435
Gen Digital, Inc. 6.75%, 09/30/2027(f)			1,528		1,488,792
7.125%, 09/30/2030(f)			528		513,908
NCR Voyix Corp. 5.125%, 04/15/2029(f)			1,017		874,823
Seagate HDD Cayman 8.25%, 12/15/2029(f)			939		955,930
8.50%, 07/15/2031(f)			993		1,011,271
Veritas US, Inc./Veritas Bermuda Ltd. 7.50%, 09/01/2025(f)			687		562,440
Virtusa Corp. 7.125%, 12/15/2028(f)			947		753,670
					8,037,672
Transportation - Airlines – 0.1%
Spirit Loyalty Cayman Ltd./Spirit IP Cayman Ltd. 8.00%, 09/20/2025(f)			1,668		1,234,892
Transportation - Services – 0.4%
Albion Financing 1 SARL/Aggreko Holdings, Inc. 6.125%, 10/15/2026(f)			842		778,960
BCP V Modular Services Finance II PLC 4.75%, 11/30/2028(f)	EUR		264		231,063
Loxam SAS 4.50%, 02/15/2027(f)			2,338		2,319,224
NAC Aviation 29 DAC 4.75%, 06/30/2026	U.S.$		5,658		5,206,633
PROG Holdings, Inc. 6.00%, 11/15/2029(f)			304		257,731
					8,793,611
					177,153,140
Financial Institutions – 1.3%
Banking – 0.1%
Bread Financial Holdings, Inc. 7.00%, 01/15/2026(f)			3,414		3,118,074

abfunds.com AB INCOME FUND    ^|    29

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Brokerage – 0.4%
Aretec Escrow Issuer 2, Inc. 10.00%, 08/15/2030(f)	U.S.$		2,053	$	2,077,041
NFP Corp. 6.875%, 08/15/2028(f)			1,258		1,075,011
7.50%, 10/01/2030(f)			1,206		1,143,939
Osaic Holdings, Inc. 10.75%, 08/01/2027(f)			4,330		4,306,791
					8,602,782
Finance – 0.4%
Castlelake Aviation Finance DAC 5.00%, 04/15/2027(f)			1,799		1,587,312
Curo Group Holdings Corp. 7.50%, 08/01/2028(f)			3,057		1,203,663
18.00%, 08/01/2028(k)			695		650,281
Enova International, Inc. 8.50%, 09/01/2024(f)			3,418		3,401,354
GGAM Finance Ltd. 7.75%, 05/15/2026(f)			1,041		1,033,192
8.00%, 06/15/2028(f)			1,561		1,541,207
SLM Corp. 3.125%, 11/02/2026			473		411,199
					9,828,208
Insurance – 0.4%
Acrisure LLC/Acrisure Finance, Inc. 7.00%, 11/15/2025(f)			4,241		4,116,442
Ardonagh Midco 2 PLC 11.50% (11.50% Cash or 12.75% PIK), 01/15/2027(f)(l)			1,789		1,766,854
AssuredPartners, Inc. 5.625%, 01/15/2029(f)			222		188,731
HUB International Ltd. 7.25%, 06/15/2030(f)			2,071		2,025,707
					8,097,734
REITs – 0.0%
Brookfield Property REIT, Inc./BPR Cumulus LLC/BPR Nimbus LLC/GGSI Sellco LL 4.50%, 04/01/2027(f)			320		266,682
					29,913,480
Utility – 0.5%
Electric – 0.4%
NRG Energy, Inc. 3.875%, 02/15/2032(f)			3,485		2,603,016
10.25%, 03/15/2028(e)(f)			782		754,630

30    ^|    AB INCOME FUND abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Vistra Corp. 7.00%, 12/15/2026(e)(f)	U.S.$		3,399	$	3,107,128
8.00%, 10/15/2026(e)(f)			4,113		3,907,679
					10,372,453
Natural Gas – 0.0%
AmeriGas Partners LP/AmeriGas Finance Corp. 5.75%, 05/20/2027			654		600,856
5.875%, 08/20/2026			488		457,520
					1,058,376
Other Utility – 0.1%
Solaris Midstream Holdings LLC 7.625%, 04/01/2026(f)			1,318		1,259,731
					12,690,560
Total Corporates - Non-Investment Grade (cost $240,893,609)					219,757,180
COLLATERALIZED LOAN OBLIGATIONS – 3.6%
CLO - Floating Rate – 3.6%
Ares XXXIV CLO Ltd. Series 2015-2A, Class CR 7.664% (SOFR + 2.26%), 04/17/2033(f)(g)			9,437		9,100,184
Balboa Bay Loan Funding Ltd. Series 2021-1A, Class D 8.727% (SOFR + 3.31%), 07/20/2034(f)(g)			2,750		2,531,744
Ballyrock CLO 15 Ltd. Series 2021-1A, Class C 8.756% (SOFR + 3.36%), 04/15/2034(f)(g)			2,750		2,572,790
Black Diamond CLO Ltd. Series 2016-1A, Class A2AR 7.391% (SOFR + 2.01%), 04/26/2031(f)(g)			5,300		5,220,903
CBAM Ltd. Series 2018-7A, Class B1 7.277% (SOFR + 1.86%), 07/20/2031(f)(g)			1,996		1,937,615
CIFC Funding Ltd. Series 2020-4A, Class D 9.056% (SOFR + 3.66%), 01/15/2034(f)(g)			300		298,111

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PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Crown Point CLO 11 Ltd. Series 2021-11A, Class D 9.264% (SOFR + 3.86%), 01/17/2034(f)(g)	U.S.$		2,000	$	1,900,572
Dryden 78 CLO Ltd. Series 2020-78A, Class C 7.614% (SOFR + 2.21%), 04/17/2033(f)(g)			1,480		1,422,219
Series 2020-78A, Class D 8.664% (SOFR + 3.26%), 04/17/2033(f)(g)			6,824		6,397,519
Elevation CLO Ltd. Series 2020-11A, Class D1 9.506% (SOFR + 4.11%), 04/15/2033(f)(g)			4,490		4,174,160
Galaxy 30 CLO Ltd. Series 2022-30A, Class D 8.744% (SOFR + 3.35%), 04/15/2035(f)(g)			6,350		5,828,754
Greywolf CLO VI Ltd. Series 2018-1A, Class A2 7.27% (SOFR + 1.89%), 04/26/2031(f)(g)			5,300		5,242,781
Halcyon Loan Advisors Funding Ltd. Series 2018-1A, Class A2 7.477% (SOFR + 2.06%), 07/21/2031(f)(g)			1,826		1,787,879
Madison Park Funding LI Ltd. Series 2021-51A, Class D 8.708% (SOFR + 3.31%), 07/19/2034(f)(g)			3,650		3,467,281
Magnetite XXV Ltd. Series 2020-25A, Class D 8.94% (SOFR + 3.56%), 01/25/2032(f)(g)			3,000		2,999,355
Northwoods Capital XII-B Ltd. Series 2018-12BA, Class B 7.521% (SOFR + 2.11%), 06/15/2031(f)(g)			1,350		1,324,188
OCP CLO Ltd. Series 2021-21A, Class D 8.627% (SOFR + 3.21%), 07/20/2034(f)(g)			4,750		4,343,001
OZLM VII Ltd. Series 2014-7RA, Class CR 8.664% (SOFR + 3.26%), 07/17/2029(f)(g)			1,000		979,620

32    ^|    AB INCOME FUND abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
OZLM XVIII Ltd. Series 2018-18A, Class B 7.206% (SOFR + 1.81%), 04/15/2031(f)(g)	U.S.$		5,450	$	5,325,936
Palmer Square CLO Ltd. Series 2021-3A, Class D 8.606% (SOFR + 3.21%), 01/15/2035(f)(g)			2,400		2,306,429
Regatta XIX Funding Ltd. Series 2022-1A, Class D 8.716% (SOFR + 3.30%), 04/20/2035(f)(g)			4,423		4,291,607
Regatta XXIV Funding Ltd. Series 2021-5A, Class D 8.777% (SOFR + 3.36%), 01/20/2035(f)(g)			7,500		7,306,552
Rockford Tower CLO Ltd. Series 2021-2A, Class D 8.927% (SOFR + 3.51%), 07/20/2034(f)(g)			950		912,176
Sixth Street CLO XVII Ltd. Series 2021-17A, Class D 8.827% (SOFR + 3.41%), 01/20/2034(f)(g)			2,400		2,355,036
Sixth Street CLO XX Ltd. Series 2021-20A, Class D 8.727% (SOFR + 3.31%), 10/20/2034(f)(g)			3,250		3,139,412
Total Collateralized Loan Obligations (cost $90,925,449)					87,165,824
COMMERCIAL MORTGAGE-BACKED SECURITIES – 2.2%
Non-Agency Fixed Rate CMBS – 1.5%
BANK Series 2020-BN25, Class XA 0.876%, 01/15/2063(o)			62,734		2,552,488
Bank of America Merrill Lynch Commercial Mortgage Trust  Series 2016-UB10, Class C 4.825%, 07/15/2049			372		318,569
Barclays Commercial Mortgage Trust  Series 2019-C3, Class XA 1.309%, 05/15/2052(o)			10,479		562,121
CD Mortgage Trust  Series 2017-CD3, Class XA 0.962%, 02/10/2050(o)			13,498		311,703

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PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
CFCRE Commercial Mortgage Trust  Series 2016-C4, Class XA 1.603%, 05/10/2058(o)	U.S.$		11,896	$	337,725
Commercial Mortgage Trust  Series 2014-CR15, Class XA 0.541%, 02/10/2047(o)			23,433		234
Series 2015-CR27, Class XA 0.903%, 10/10/2048(o)			6,034		80,150
CSAIL Commercial Mortgage Trust  Series 2019-C15, Class B 4.476%, 03/15/2052			960		796,423
GS Mortgage Securities Trust  Series 2011-GC5, Class C 5.153%, 08/10/2044(f)			375		261,565
Series 2011-GC5, Class D 5.153%, 08/10/2044(f)			4,025		1,185,714
Series 2016-GS3, Class XA 1.193%, 10/10/2049(o)			29,475		760,340
Series 2019-GC39, Class XA 1.106%, 05/10/2052(o)			15,127		587,932
JPMBB Commercial Mortgage Securities Trust  Series 2014-C21, Class B 4.341%, 08/15/2047			1,599		1,474,454
Series 2014-C24, Class C 4.381%, 11/15/2047			5,869		4,485,960
JPMDB Commercial Mortgage Securities Trust  Series 2019-COR6, Class XA 0.924%, 11/13/2052(o)			36,797		1,410,184
JPMorgan Chase Commercial Mortgage Securities Trust  Series 2012-LC9, Class E 3.784%, 12/15/2047(f)			7,500		5,625,000
Series 2012-LC9, Class G 3.784%, 12/15/2047(f)			831		473,511
Series 2016-JP2, Class XA 1.788%, 08/15/2049(o)			13,638		482,128
LB-UBS Commercial Mortgage Trust  Series 2006-C6, Class AJ 5.452%, 09/15/2039			632		240,289
LCCM Series 2017-LC26, Class XA 1.518%, 07/12/2050(f)(o)			32,353		1,295,454
Morgan Stanley Bank of America Merrill Lynch Trust  Series 2013-C9, Class D 3.843%, 05/15/2046(f)			680		462,400

34    ^|    AB INCOME FUND abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Series 2014-C18, Class C 4.471%, 10/15/2047	U.S.$		4,408	$	4,130,456
Series 2015-C22, Class XA 0.998%, 04/15/2048(o)			11,083		93,648
UBS Commercial Mortgage Trust  Series 2017-C1, Class XA 1.522%, 06/15/2050(o)			6,751		273,833
Series 2019-C16, Class XA 1.522%, 04/15/2052(o)			14,077		745,869
Series 2019-C18, Class XA 1.009%, 12/15/2052(o)			43,070		1,704,683
UBS-Barclays Commercial Mortgage Trust  Series 2013-C5, Class B 3.649%, 03/10/2046(f)			1,033		898,997
Series 2013-C5, Class C 3.752%, 03/10/2046(f)			782		547,390
Wells Fargo Commercial Mortgage Trust  Series 2015-LC20, Class XA 1.277%, 04/15/2050(o)			7,291		87,343
Series 2016-C36, Class XA 1.164%, 11/15/2059(o)			40,970		1,057,775
Series 2016-LC24, Class XA 1.601%, 10/15/2049(o)			25,939		898,297
Series 2016-LC25, Class XA 0.822%, 12/15/2059(o)			16,581		336,189
Series 2019-C52, Class XA 1.602%, 08/15/2052(o)			18,648		1,139,608
WF-RBS Commercial Mortgage Trust  Series 2011-C4, Class E 4.979%, 06/15/2044(f)			489		335,979
Series 2014-LC14, Class C 4.344%, 03/15/2047			134		120,930
					36,075,341
Non-Agency Floating Rate CMBS – 0.7%
BFLD Trust  Series 2019-DPLO, Class E 7.689% (SOFR + 2.35%), 10/15/2034(f)(g)			11,227		10,972,308
Great Wolf Trust  Series 2019-WOLF, Class D 7.382% (SOFR + 2.05%), 12/15/2036(f)(g)			5,005		4,923,025
Morgan Stanley Capital I Trust  Series 2019-BPR, Class D 9.907% (SOFR + 4.59%), 05/15/2036(f)(g)			1,651		1,532,381
					17,427,714

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PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Agency CMBS – 0.0%
Government National Mortgage Association Series 2006-32, Class XM 0.128%, 11/16/2045(o)	U.S.$		87	$	1
Total Commercial Mortgage-Backed Securities (cost $62,490,802)					53,503,056
COLLATERALIZED MORTGAGE OBLIGATIONS – 2.2%
Risk Share Floating Rate – 1.8%
Bellemeade Re Ltd. Series 2019-1A, Class M2 8.139% (LIBOR 1 Month + 2.70%), 03/25/2029(f)(g)			942		948,657
Connecticut Avenue Securities Trust  Series 2022-R03, Class 1M2 8.821% (SOFR + 3.50%), 03/25/2042(f)(g)			2,657		2,760,408
Series 2023-R05, Class 1M1 7.221% (SOFR + 1.90%), 06/25/2043(f)(g)			5,414		5,435,863
Series 2023-R07, Class 2M1 7.271% (SOFR + 1.95%), 09/25/2043(f)(g)			3,618		3,623,609
Eagle Re Ltd. Series 2018-1, Class M1 7.139% (LIBOR 1 Month + 1.70%), 11/25/2028(f)(g)			513		513,317
Federal Home Loan Mortgage Corp. Structured Agency Credit Risk Debt Notes  Series 2013-DN2, Class M2 9.685% (SOFR + 4.36%), 11/25/2023(g)			1,261		1,263,323
Series 2015-DNA2, Class B 12.985% (SOFR + 7.66%), 12/25/2027(g)			1,290		1,359,139
Series 2015-DNA3, Class B 14.785% (SOFR + 9.46%), 04/25/2028(g)			2,457		2,670,173
Series 2015-HQA1, Class B 14.235% (SOFR + 8.91%), 03/25/2028(g)			1,569		1,634,708
Series 2016-DNA1, Class B 15.435% (SOFR + 10.11%), 07/25/2028(g)			2,216		2,456,652

36    ^|    AB INCOME FUND abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)			U.S. $ Value
Series 2023-HQA2, Class M1A 7.321% (SOFR + 2.00%), 06/25/2043(g)	U.S.$		3,472		$	3,485,343
Federal National Mortgage Association Connecticut Avenue Securities Series 2014-C01, Class M2 9.835% (SOFR + 4.51%), 01/25/2024(g)			1,585			1,597,104
Series 2014-C04, Class 2M2 10.435% (SOFR + 5.11%), 11/25/2024(g)			0	**		118
Series 2015-C04, Class 2M2 10.985% (SOFR + 5.66%), 04/25/2028(g)			895			932,251
Series 2016-C01, Class 2M2 12.385% (SOFR + 7.06%), 08/25/2028(g)			324			339,540
Series 2016-C02, Class 1M2 11.435% (SOFR + 6.11%), 09/25/2028(g)			1,499			1,566,842
Series 2016-C05, Class 2B 16.185% (SOFR + 10.86%), 01/25/2029(g)			2,736			3,096,292
Series 2016-C07, Class 2B 14.935% (SOFR + 9.61%), 05/25/2029(g)			1,186			1,318,372
Home Re Ltd. Series 2020-1, Class M2 10.689% (LIBOR 1 Month + 5.25%), 10/25/2030(f)(g)			2,069			2,087,164
JPMorgan Madison Avenue Securities Trust  Series 2014-CH1, Class M2 9.685% (SOFR + 4.36%), 11/25/2024(g)(m)			316			320,817
Series 2015-CH1, Class M2 10.935% (SOFR + 5.61%), 10/25/2025(g)(m)			583			592,423
PMT Credit Risk Transfer Trust  Series 2019-2R, Class A 9.191% (SOFR + 3.86%), 05/30/2025(f)(g)			1,216			1,214,093
Series 2019-3R, Class A 9.135% (SOFR + 3.81%), 11/27/2031(f)(g)			330			328,136
Series 2020-1R, Class A 8.785% (SOFR + 3.46%), 02/27/2023(g)(m)			1,639			1,619,921

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PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Triangle Re Ltd. Series 2021-3, Class M1A 7.221% (SOFR + 1.90%), 02/25/2034(f)(g)	U.S.$		2,360	$	2,362,238
Wells Fargo Credit Risk Transfer Securities Trust  Series 2015-WF1, Class 1M2 10.685% (SOFR + 5.36%), 11/25/2025(g)(m)			212		214,911
					43,741,414
Agency Floating Rate – 0.3%
Federal Home Loan Mortgage Corp. REMICs Series 3119, Class PI 1.765% (7.09% - SOFR), 02/15/2036(g)(p)			761		83,932
Series 3856, Class KS 1.115% (6.44% - SOFR), 05/15/2041(g)(p)			4,347		362,088
Series 4248, Class SL 0.615% (5.94% - SOFR), 05/15/2041(g)(p)			443		22,315
Series 4372, Class JS 0.665% (5.99% - SOFR), 08/15/2044(g)(p)			2,468		173,005
Series 4570, Class ST 0.565% (5.89% - SOFR), 04/15/2046(g)(p)			1,132		87,039
Series 4735, Class SA 0.765% (6.09% - SOFR), 12/15/2047(g)(p)			5,542		455,415
Series 4763, Class SB 1.565% (6.89% - SOFR), 03/15/2048(g)(p)			7,785		944,233
Series 4774, Class BS 0.765% (6.09% - SOFR), 02/15/2048(g)(p)			3,816		340,440
Series 4774, Class SL 0.765% (6.09% - SOFR), 04/15/2048(g)(p)			5,224		450,728
Series 4927, Class SJ 0.615% (5.94% - SOFR), 11/25/2049(g)(p)			2,138		219,285
Federal National Mortgage Association REMICs Series 2013-4, Class ST 0.715% (6.04% - SOFR), 02/25/2043(g)(p)			1,714		135,277

38    ^|    AB INCOME FUND abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Series 2014-88, Class BS 0.715% (6.04% - SOFR), 01/25/2045(g)(p)	U.S.$		1,322	$	97,094
Series 2015-90, Class SA 0.715% (6.04% - SOFR), 12/25/2045(g)(p)			11,938		1,106,091
Series 2016-69, Class DS 0.665% (5.99% - SOFR), 10/25/2046(g)(p)			16,096		827,742
Series 2017-49, Class SP 0.715% (6.04% - SOFR), 07/25/2047(g)(p)			1,597		131,331
Series 2018-32, Class SB 0.765% (6.09% - SOFR), 05/25/2048(g)(p)			3,016		257,053
Series 2018-45, Class SL 0.765% (6.09% - SOFR), 06/25/2048(g)(p)			2,222		192,088
Series 2018-57, Class SL 0.765% (6.09% - SOFR), 08/25/2048(g)(p)			5,953		630,475
Series 2018-58, Class SA 0.765% (6.09% - SOFR), 08/25/2048(g)(p)			2,875		253,378
Series 2018-59, Class HS 0.765% (6.09% - SOFR), 08/25/2048(g)(p)			6,770		674,221
Series 2019-25, Class SA 0.615% (5.94% - SOFR), 06/25/2049(g)(p)			2,749		212,622
Series 2019-60, Class SJ 0.615% (5.94% - SOFR), 10/25/2049(g)(p)			2,542		215,491
					7,871,343
Non-Agency Fixed Rate – 0.1%
Alternative Loan Trust  Series 2006-24CB, Class A15 5.75%, 08/25/2036			833		429,434
CHL Mortgage Pass-Through Trust  Series 2007-3, Class A30 5.75%, 04/25/2037			437		192,946
Series 2007-HY4, Class 1A1 4.39%, 09/25/2047			144		122,726
Citigroup Mortgage Loan Trust  Series 2007-AR4, Class 1A1A 4.107%, 03/25/2037			77		64,373

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PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Wells Fargo Mortgage Backed Securities Trust  Series 2007-AR7, Class A1 5.696%, 12/28/2037	U.S.$		478	$	407,541
					1,217,020
Non-Agency Floating Rate – 0.0%
First Horizon Alternative Mortgage Securities Trust  Series 2007-FA2, Class 1A10 5.689% (SOFR + 0.36%), 04/25/2037(g)			320		75,903
Lehman XS Trust  Series 2007-10H, Class 2AIO 1.571% (6.89% - SOFR), 07/25/2037(g)(p)			176		11,995
					87,898
Agency Fixed Rate – 0.0%
Federal National Mortgage Association REMICs Series 2016-26, Class IO 5.00%, 05/25/2046(o)			313		47,627
Total Collateralized Mortgage Obligations (cost $53,459,143)					52,965,302
EMERGING MARKETS - CORPORATE BONDS – 2.2%
Industrial – 1.9%
Basic – 0.6%
Braskem Idesa SAPI 6.99%, 02/20/2032(f)			3,833		2,236,364
7.45%, 11/15/2029(f)			2,459		1,557,039
CSN Resources SA 4.625%, 06/10/2031(f)			4,293		3,209,017
Eldorado Gold Corp. 6.25%, 09/01/2029(f)			2,385		2,036,194
JSW Steel Ltd. 3.95%, 04/05/2027(f)			857		733,806
5.05%, 04/05/2032(f)			1,441		1,112,308
Sasol Financing USA LLC 8.75%, 05/03/2029(f)			908		862,600
Stillwater Mining Co. 4.50%, 11/16/2029(f)			891		674,933
Vedanta Resources Finance II PLC 13.875%, 01/21/2024(f)			1,131		1,006,986

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PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Volcan Cia Minera SAA 4.375%, 02/11/2026(f)	U.S.$		1,565	$	740,714
					14,169,961
Capital Goods – 0.1%
Embraer Netherlands Finance BV 7.00%, 07/28/2030(f)			1,572		1,529,163
Odebrecht Holdco Finance Ltd. Zero Coupon, 09/10/2058(f)(h)			5,578		5,969
					1,535,132
Communications - Telecommunications – 0.0%
C&W Senior Financing DAC 6.875%, 09/15/2027(f)			247		211,136
Digicel Group Holdings Ltd. 7.00%, 12/04/2023(e)(h)(l)(m)(q)			93		4,670
Digicel International Finance Ltd./Digicel International Holdings Ltd. 8.75%, 05/25/2024(f)			339		310,530
					526,336
Consumer Cyclical - Other – 0.2%
Allwyn Entertainment Financing UK PLC 7.875%, 04/30/2029(f)			1,264		1,238,720
MGM China Holdings Ltd. 5.25%, 06/18/2025(f)			895		851,682
5.375%, 05/15/2024(f)			569		559,796
5.875%, 05/15/2026(f)			598		556,571
Studio City Co., Ltd. 7.00%, 02/15/2027(f)			336		312,480
Studio City Finance Ltd. 6.50%, 01/15/2028(f)			998		814,977
Wynn Macau Ltd. 5.50%, 01/15/2026(f)			1,168		1,076,335
					5,410,561
Consumer Non-Cyclical – 0.2%
BRF GmbH 4.35%, 09/29/2026(f)			253		231,495
BRF SA 4.875%, 01/24/2030(f)			1,133		915,464
MARB BondCo PLC 3.95%, 01/29/2031(f)			3,303		2,402,932
Tonon Luxembourg SA 6.50%, 10/31/2024(h)(j)(m)(q)			871		87
Ulker Biskuvi Sanayi AS 6.95%, 10/30/2025(f)			609		567,893

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PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Virgolino de Oliveira Finance SA 10.50%, 01/28/2018(h)(i)(j)(k)(m)	U.S.$		4,738	$	474
10.875%, 01/13/2020(h)(i)(j)(k)(m)			750		75
11.75%, 02/09/2022(h)(i)(j)(k)(m)			1,690		169
					4,118,589
Energy – 0.7%
Acu Petroleo Luxembourg SARL 7.50%, 01/13/2032(f)			2,189		1,961,901
Canacol Energy Ltd. 5.75%, 11/24/2028(f)			1,531		1,096,655
Continuum Energy Aura Pte Ltd. 9.50%, 02/24/2027(f)			1,080		1,064,361
Geopark Ltd. 5.50%, 01/17/2027(f)			1,611		1,348,810
Gran Tierra Energy, Inc. 9.50%, 10/15/2029(f)			2,037		1,741,024
Greenko Wind Projects Mauritius Ltd. 5.50%, 04/06/2025(f)			1,925		1,824,534
Kosmos Energy Ltd. 7.50%, 03/01/2028(f)			1,388		1,206,033
Leviathan Bond Ltd. 6.125%, 06/30/2025(f)			1,763		1,619,547
Medco Maple Tree Pte Ltd. 8.96%, 04/27/2029(f)			1,680		1,650,600
Medco Platinum Road Pte Ltd. 6.75%, 01/30/2025(f)			979		984,894
ReNew Pvt Ltd. 5.875%, 03/05/2027(f)			200		181,840
SEPLAT Energy PLC 7.75%, 04/01/2026(f)			1,049		881,160
SierraCol Energy Andina LLC 6.00%, 06/15/2028(f)			2,098		1,610,215
					17,171,574
Technology – 0.1%
CA Magnum Holdings 5.375%, 10/31/2026(f)			1,397		1,216,591
Transportation - Services – 0.0%
JSW Infrastructure Ltd. 4.95%, 01/21/2029(f)			583		497,964
					44,646,708
Utility – 0.3%
Electric – 0.3%
AES Andes SA 6.35%, 10/07/2079(f)			1,816		1,673,499

42    ^|    AB INCOME FUND abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Diamond II Ltd. 7.95%, 07/28/2026(f)	U.S.$		2,208	$	2,149,289
India Clean Energy Holdings 4.50%, 04/18/2027(f)			2,686		2,176,815
Investment Energy Resources Ltd. 6.25%, 04/26/2029(f)			1,306		1,136,220
Terraform Global Operating LP 6.125%, 03/01/2026(f)			289		278,350
					7,414,173
Other Utility – 0.0%
Aegea Finance SARL 9.00%, 01/20/2031(a)(f)			433		431,918
					7,846,091
Financial Institutions – 0.0%
Other Finance – 0.0%
OEC Finance Ltd. 4.375%, 10/25/2029(f)(l)(n)			4,135		165,415
5.25%, 12/27/2033(f)(l)(n)			1,315		52,619
					218,034
REITs – 0.0%
Yango Justice International Ltd. 7.50%, 02/17/2025(f)(h)(q)			665		1,662
8.25%, 11/25/2023(f)(h)(q)			400		1,000
10.25%, 09/15/2022(h)(i)			215		538
					3,200
					221,234
Total Emerging Markets - Corporate Bonds (cost $78,747,920)					52,714,033
BANK LOANS – 1.9%
Industrial – 1.6%
Capital Goods – 0.1%
Apex Tool Group, LLC 10.689% (SOFR 1 Month + 5.25%), 02/08/2029(r)			1,875		1,594,157
Chariot Buyer LLC 8.674% (SOFR 1 Month + 3.25%), 11/03/2028(r)			226		219,196
					1,813,353
Communications - Media – 0.0%
Coral-US Co-Borrower LLC 8.449% (SOFR 1 Month + 3.00%), 10/15/2029(r)			1,046		1,034,596

abfunds.com AB INCOME FUND    ^|    43

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Communications - Telecommunications – 0.3%
Crown Subsea Communications Holding, Inc. 10.435% (SOFR 1 Month + 5.00%), 04/27/2027(r)	U.S.$		3,967	$	3,960,156
DirecTV Financing, LLC 10.439% (SOFR 1 Month + 5.00%), 08/02/2027(r)			1,870		1,816,522
Zacapa SARL 9.390% (SOFR 3 Month + 4.00%), 03/22/2029(r)			3,258		3,205,409
					8,982,087
Consumer Cyclical - Automotive – 0.1%
Garrett Motion SARL 9.883% (SOFR 3 Month + 4.50%), 04/30/2028(k)(r)			537		537,143
10.131% (SOFR 3 Month + 4.50%), 04/30/2028(h)(k)(r)			806		805,714
					1,342,857
Consumer Cyclical - Restaurants – 0.0%
IRB Holding Corp. 8.424% (SOFR 1 Month + 3.00%), 12/15/2027(r)			536		529,665
Consumer Cyclical - Retailers – 0.0%
Great Outdoors Group, LLC 9.402% (SOFR 3 Month + 3.75%), 03/06/2028(r)			1,177		1,166,795
Consumer Non-Cyclical – 0.2%
PetSmart LLC 9.174% (SOFR 1 Month + 3.75%), 02/11/2028(r)			4,272		4,213,837
Energy – 0.3%
GIP II Blue Holding, LP 9.939% (SOFR 1 Month + 4.50%), 09/29/2028(r)			2,865		2,864,620
Parkway Generation, LLC 10.390% (SOFR 3 Month + 4.75%), 02/18/2029(r)			4,490		4,320,042
					7,184,662

44    ^|    AB INCOME FUND abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)			U.S. $ Value
Other Industrial – 0.1%
Dealer Tire Financial, LLC 9.824% (SOFR 1 Month + 4.50%), 12/14/2027(r)	U.S.$		1,284		$	1,282,928
Rockwood Service Corporation 9.439% (SOFR 1 Month + 4.00%), 01/23/2027(r)			172			172,012
						1,454,940
Technology – 0.5%
Amentum Government Services Holdings LLC 9.439% (SOFR 1 Month + 4.00%), 01/29/2027(r)			435			426,668
Ascend Learning, LLC 11.174% (SOFR 1 Month + 5.75%), 12/10/2029(r)			930			781,972
Banff Guarantor, Inc. 10.939% (SOFR 1 Month + 5.50%), 02/27/2026(r)			1,050			1,041,254
Boxer Parent Company, Inc. 9.189% (SOFR 1 Month + 3.75%), 10/02/2025(r)			3,344			3,338,660
FINThrive Software Intermediate Holdings, Inc. 12.189% (SOFR 1 Month + 6.75%), 12/17/2029(r)			580			339,880
Loyalty Ventures, Inc. 14.000% (PRIME 3 Month + 5.50%), 11/03/2027(h)(k)(q)(r)			4,133			20,666
Peraton Corp. 9.174% (SOFR 1 Month + 3.75%), 02/01/2028(r)			1,584			1,552,528
Presidio Holdings, Inc. 8.924% (SOFR 1 Month + 3.50%), 01/22/2027(r)			52			51,796
8.983% (SOFR 3 Month + 3.50%), 01/22/2027(r)			1,542			1,539,086
Veritas US, Inc. 10.439% (SOFR 1 Month + 5.00%), 09/01/2025(r)			2,794			2,354,393
						11,446,903
				��
						39,169,695
Financial Institutions – 0.2%
Finance – 0.0%
Orbit Private Holdings I Ltd. 10.087% (SOFR 6 Month + 4.50%), 12/11/2028(k)(r)			373			373,350

abfunds.com AB INCOME FUND    ^|    45

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Insurance – 0.2%
Asurion, LLC 9.674% (SOFR 1 Month + 4.25%), 08/19/2028(r)	U.S.$		1,701	$	1,622,230
Hub International Limited 9.662% (SOFR 3 Month + 4.25%), 06/20/2030(r)			1,658		1,657,030
					3,279,260
					3,652,610
Utility – 0.1%
Electric – 0.1%
Granite Generation, LLC 9.189% (SOFR 1 Month + 3.75%), 11/09/2026(r)			3,508		3,437,588
Total Bank Loans (cost $51,612,543)					46,259,893
ASSET-BACKED SECURITIES – 1.4%
Other ABS - Fixed Rate – 1.0%
Affirm Asset Securitization Trust  Series 2022-Z1, Class A 4.55%, 06/15/2027(f)			1,080		1,063,917
Series 2023-A, Class 1A 6.61%, 01/18/2028(f)			250		248,586
Series 2023-A, Class A 6.61%, 01/18/2028(f)			9,617		9,562,618
BHG Securitization Trust  Series 2023-A, Class A 5.55%, 04/17/2036(f)			4,558		4,488,354
Consumer Loan Underlying Bond Club Certificate Issuer Trust I Series 2018-20, Class PT 1.321%, 11/16/2043(m)			12		11,913
Series 2019-36, Class PT 12.508%, 10/17/2044(m)			127		123,345
Pagaya AI Debt Trust  Series 2022-6, Class A1 6.159%, 05/15/2030(f)(k)			323		322,926
Series 2022-6, Class A2 6.811%, 05/15/2030(f)(k)			183		183,061
Series 2022-6, Class A3 7.656%, 05/15/2030(f)(k)			227		226,074
Series 2022-6, Class A4 55.042%, 05/15/2030(f)(k)			80		102,525
Series 2023-1, Class A 7.556%, 07/15/2030(f)			2,610		2,615,276

46    ^|    AB INCOME FUND abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Theorem Funding Trust  Series 2022-1A, Class A 1.85%, 02/15/2028(f)	U.S.$		628	$	624,040
Series 2022-3A, Class A 7.60%, 04/15/2029(f)			5,295		5,315,065
					24,887,700
Autos - Fixed Rate – 0.4%
ACM Auto Trust  Series 2023-1A, Class A 6.61%, 01/22/2030(f)			946		945,155
Flagship Credit Auto Trust  Series 2019-4, Class E 4.11%, 03/15/2027(f)			2,970		2,813,294
Lendbuzz Securitization Trust  Series 2023-1A, Class A2 6.92%, 08/15/2028(f)			5,744		5,713,194
					9,471,643
Total Asset-Backed Securities (cost $34,681,999)					34,359,343
AGENCIES – 1.2%
Agency Debentures – 1.2%
Federal Home Loan Banks 5.50%, 07/15/2036			8,695		8,881,073
Federal Home Loan Mortgage Corp. 6.25%, 07/15/2032(a)			10,400		11,224,584
6.75%, 03/15/2031			4,000		4,391,499
Series GDIF 6.75%, 09/15/2029			4,606		4,997,586
Total Agencies (cost $34,379,637)					29,494,742
EMERGING MARKETS - SOVEREIGNS – 0.9%
Angola – 0.2%
Angolan Government International Bond 8.00%, 11/26/2029(f)			6,169		4,935,200
Dominican Republic – 0.2%
Dominican Republic International Bond 4.50%, 01/30/2030(f)			5,298		4,479,459
El Salvador – 0.1%
El Salvador Government International Bond 8.625%, 02/28/2029(a)(f)			1,766		1,424,279

abfunds.com AB INCOME FUND    ^|    47

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Ivory Coast – 0.1%
Ivory Coast Government International Bond 4.875%, 01/30/2032(f)	EUR		1,195		953,064
6.375%, 03/03/2028(f)	U.S.$		1,377		1,277,168
					2,230,232
Kenya – 0.1%
Republic of Kenya Government International Bond 7.00%, 05/22/2027(f)			1,680		1,461,600
Lebanon – 0.0%
Lebanon Government International Bond 6.65%, 04/22/2024(f)(h)(q)			507		31,054
6.85%, 03/23/2027(f)(h)(q)			1,053		64,178
Series G 6.60%, 11/27/2026(f)(h)(q)			1,284		75,358
					170,590
Nigeria – 0.0%
Nigeria Government International Bond 6.125%, 09/28/2028(f)			233		189,312
7.143%, 02/23/2030(f)			211		169,064
7.875%, 02/16/2032(f)			226		180,235
					538,611
Senegal – 0.2%
Senegal Government International Bond 4.75%, 03/13/2028(f)	EUR		1,465		1,340,851
6.25%, 05/23/2033(f)	U.S.$		5,158		4,081,268
					5,422,119
Ukraine – 0.0%
Ukraine Government International Bond 7.253%, 03/15/2035(f)(n)			1,964		493,946
Total Emerging Markets - Sovereigns (cost $29,152,028)					21,156,036
QUASI-SOVEREIGNS – 0.8%
Quasi-Sovereign Bonds – 0.8%
Chile – 0.0%
Corp. Nacional del Cobre de Chile 5.125%, 02/02/2033(f)			480		422,534
5.95%, 01/08/2034(f)			832		772,928
					1,195,462

48    ^|    AB INCOME FUND abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Hungary – 0.1%
Magyar Export-Import Bank Zrt 6.125%, 12/04/2027(f)	U.S.$		1,330	$	1,299,942
Indonesia – 0.1%
Indonesia Asahan Aluminium PT/Mineral Industri Indonesia Persero PT 4.75%, 05/15/2025(f)			2,044		1,995,966
Mexico – 0.4%
Comision Federal de Electricidad 4.688%, 05/15/2029(f)			4,031		3,567,435
Petroleos Mexicanos 5.95%, 01/28/2031			5,321		3,767,268
6.49%, 01/23/2027			1,455		1,284,969
6.50%, 03/13/2027			587		515,571
6.70%, 02/16/2032			3,060		2,233,800
					11,369,043
South Africa – 0.1%
Transnet SOC Ltd. 8.25%, 02/06/2028(f)			1,294		1,222,830
Ukraine – 0.1%
NAK Naftogaz Ukraine via Kondor Finance PLC 7.625%, 11/08/2026(h)(m)(n)(q)			2,168		1,029,800
State Agency of Roads of Ukraine 6.25%, 06/24/2030(m)(n)			7,856		2,062,200
					3,092,000
Total Quasi-Sovereigns (cost $28,093,198)					20,175,243
LOCAL GOVERNMENTS - US MUNICIPAL BONDS – 0.3%
United States – 0.3%
Texas Transportation Commission State Highway Fund  Series 2010-B 5.178%, 04/01/2030			2,560		2,508,304
Wisconsin Public Finance Authority (Catholic Bishop of Chicago (The)) Series 2021 5.75%, 07/25/2041(m)			6,915		5,567,493
Total Local Governments - US Municipal Bonds (cost $9,475,000)					8,075,797

abfunds.com AB INCOME FUND    ^|    49

PORTFOLIO OF INVESTMENTS (continued)

Company	Shares		U.S. $ Value
COMMON STOCKS – 0.3%
Consumer Staples – 0.1%
Household Products – 0.1%
Southeastern Grocers, Inc.(h)(j)(k)		71,086	$	1,812,693
Financials – 0.1%
Banks – 0.1%
Nordic Aviation Capital DAC(h)(j)(k)		103,735		1,685,694
Consumer Discretionary – 0.1%
Automobile Components – 0.0%
Energy Technology(h)(j)(k)		497		155,561
Broadline Retail – 0.1%
ATD New Holdings, Inc.(h)(k)		29,486		1,061,496
Diversified Consumer Services – 0.0%
Paysafe AG Tracker(h)(j)(k)		61,303		– 0	–
Internet & Catalog Retail – 0.0%
GOLO Mobile, Inc.(h)(j)(k)		30,264		– 0	–
				1,217,057
Communication Services – 0.0%
Diversified Telecommunication Services – 0.0%
Intelsat Emergence SA(h)(k)		46,306		1,102,083
Media – 0.0%
iHeartMedia, Inc. - Class A(h)		10,274		24,144
				1,126,227
Energy – 0.0%
Oil, Gas & Consumable Fuels – 0.0%
Berry Corp.		9,763		81,522
Golden Energy Offshore Services AS(h)		1,497,659		172,947
SandRidge Energy, Inc.		105		1,664
				256,133
Information Technology – 0.0%
IT Services – 0.0%
Paysafe Ltd.(h)		8,409		81,735
Total Common Stocks (cost $10,295,103)				6,179,539

50    ^|    AB INCOME FUND abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
GOVERNMENTS - SOVEREIGN BONDS – 0.3%
Colombia – 0.1%
Colombia Government International Bond 3.125%, 04/15/2031	U.S.$		864	$	636,336
Panama – 0.2%
Panama Government International Bond 6.875%, 01/31/2036			677		634,688
Panama Notas del Tesoro 3.75%, 04/17/2026			5,027		4,652,438
					5,287,126
Total Governments - Sovereign Bonds (cost $6,676,801)					5,923,462
		Shares
PREFERRED STOCKS – 0.1%
Industrial – 0.1%
Auto Components – 0.1%
Exide International Holdings LP 0.00%(h)(j)(k)(w) (cost $2,325,936)			3,093		2,591,934
		Notional Amount
PURCHASED OPTIONS - PUTS – 0.0%
Options on Indices – 0.0%
S&P 500 Index Expiration: Nov 2023; Contracts: 78; Exercise Price: USD 4,220.00; Counterparty: Morgan Stanley & Co., Inc.(h) (premiums paid $325,496)	USD		32,916,000		566,670
		Shares
RIGHTS – 0.0%
Golden Energy Offshore, expiring 11/06/2023(h)(j)(k)			2,553,733		66,295
Intelsat Jackson Holdings SA, Series A expiring 12/31/2049(h)(j)(k)			4,848		3,936
Intelsat Jackson Holdings SA, Series B, expiring 12/31/2049(h)(j)(k)			4,848		29,088
Total Rights (cost $471,936)					129,319

abfunds.com AB INCOME FUND    ^|    51

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
SHORT-TERM INVESTMENTS – 3.1%
U.S. Treasury Bills – 2.6%
U.S. Treasury Bill Zero Coupon, 02/29/2024	U.S.$		26,100	$	25,638,030
Zero Coupon, 03/14/2024			19,000		18,623,404
Zero Coupon, 03/28/2024			17,955		17,561,566
Total U.S. Treasury Bills (cost $61,828,700)					61,823,000
		Shares
Investment Companies – 0.5%
AB Fixed Income Shares, Inc. – Government Money Market Portfolio – Class AB, 5.27%(s)(t)(u) (cost $10,865,651)			10,865,651		10,865,651
Total Short-Term Investments (cost $72,694,351)					72,688,651
Total Investments – 121.5% (cost $3,062,379,537)					2,918,660,396
Other assets less liabilities – (21.5)%					(516,565,193	)
Net Assets – 100.0%				$	2,402,095,203

FUTURES (see Note D)

Description	Number of Contracts		Expiration Month		Current Notional		Value and Unrealized Appreciation (Depreciation)
Purchased Contracts
Long Gilt Futures		10		December 2023	$	1,132,313	$	(13,988	)
U.S. 10 Yr Ultra Futures		1,841		December 2023		200,352,578		(8,506,120	)
U.S. Long Bond (CBT) Futures		1,029		December 2023		112,611,188		(9,721,897	)
U.S. T-Note 5 Yr (CBT) Futures		3,892		December 2023		406,622,783		(5,223,799	)
U.S. T-Note 10 Yr (CBT) Futures		952		December 2023		101,075,625		(3,174,012	)
U.S. Ultra Bond (CBT) Futures		787		December 2023		88,586,688		(9,006,970	)
Sold Contracts
Euro Buxl 30 Yr Bond Futures		13		December 2023		1,656,414		140,016
Euro-BOBL Futures		14		December 2023		1,722,651		9,023
Euro-Bund Futures		49		December 2023		6,687,733		121,793
Euro-Schatz Futures		100		December 2023		11,128,570		19,479
U.S. T-Note 2 Yr (CBT) Futures		103		December 2023		20,849,453		2,281
							$	(35,354,194	)

52    ^|    AB INCOME FUND abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

FORWARD CURRENCY EXCHANGE CONTRACTS (see Note D)

Counterparty	Contracts to Deliver (000)		In Exchange For (000)		Settlement Date		Unrealized Appreciation (Depreciation)
Morgan Stanley Capital Services, Inc.	EUR	18,563	USD	19,767		01/10/2024	$	59,305
UBS AG	CAD	2,911	USD	2,114		01/10/2024		12,698
							$	72,003

PUT WRITTEN OPTIONS (see Note D)

Description

Counterparty

Contracts

Exercise Price

Expiration Month

Notional (000)

Premiums Received

U.S. $ Value

S&P 500 Index (v)

Morgan Stanley & Co., Inc.

78

USD

3,980

November 2023

USD

31,044

$

188,680

$

(90,090

)

CENTRALLY CLEARED CREDIT DEFAULT SWAPS (see Note D)

Description	Fixed Rate (Pay) Receive			Payment Frequency		Implied Credit Spread at October 31, 2023			Notional Amount (000)		Market Value			Upfront Premiums Paid (Received)			Unrealized Appreciation (Depreciation)
Buy Contracts
iTraxx Australia Series 40, 5 Year Index, 12/20/2028*		(1.00	)%		Quarterly		0.97	%	USD	104,760	$	(248,017	)	$	(827,098	)	$	579,081
Sale Contracts
CDX-NAHY Series 41, 5 Year Index, 12/20/2028*		5.00			Quarterly		5.16		USD	350		(148	)		2,135			(2,283	)
CDX-NAIG Series 41, 5 Year Index, 12/20/2028*		1.00			Quarterly		0.79		USD	104,760		1,084,416			1,398,625			(314,209	)
											$	836,251		$	573,662		$	262,589

* Termination date

CENTRALLY CLEARED INFLATION (CPI) SWAPS (see Note D)

				Rate Type
Notional Amount (000)		Termination Date		Payments made by the Fund			Payments received by the Fund			Payment Frequency Paid/ Received		Market Value			Upfront Premiums Paid (Received)			Unrealized Appreciation (Depreciation)
USD	24,500		10/12/2028		2.504	%		CPI	#		Maturity	$	119,245		$	– 0	–	$	119,245
USD	24,100		10/20/2028		2.656	%		CPI	#		Maturity		(60,028	)		– 0	–		(60,028	)
												$	59,217		$	– 0	–	$	59,217

# Variable interest rate based on the rate of inflation as determined by the Consumer Price Index (CPI).

abfunds.com AB INCOME FUND    ^|    53

PORTFOLIO OF INVESTMENTS (continued)

CREDIT DEFAULT SWAPS (see Note D)

Swap Counterparty & Referenced Obligation	Fixed Rate (Pay) Receive			Payment Frequency		Implied Credit Spread at October 31, 2023			Notional Amount (000)		Market Value			Upfront Premiums Paid (Received)			Unrealized Appreciation (Depreciation)
Sale Contracts
Citigroup Global Markets, Inc.
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00	%		Monthly		7.50	%	USD	1,406	$	(187,517	)	$	(319,069	)	$	131,552
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50		USD	1,054		(140,654	)		(239,329	)		98,675
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50		USD	562		(74,969	)		(139,160	)		64,191
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50		USD	543		(72,379	)		(79,572	)		7,193
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50		USD	77		(10,247	)		(4,450	)		(5,797	)
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50		USD	304		(40,611	)		(31,596	)		(9,015	)
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50		USD	473		(63,159	)		(38,477	)		(24,682	)
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50		USD	724		(96,569	)		(67,565	)		(29,004	)
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50		USD	932		(124,359	)		(86,464	)		(37,895	)
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50		USD	2,367		(315,792	)		(222,785	)		(93,007	)
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50		USD	4,524		(603,606	)		(415,662	)		(187,944	)
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50		USD	4,524		(603,606	)		(415,662	)		(187,944	)
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50		USD	4,274		(570,258	)		(338,953	)		(231,305	)
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50		USD	4,528		(604,048	)		(261,031	)		(343,017	)
Credit Suisse International
CDX-CMBX.NA.A Series 6, 05/11/2063*		2.00			Monthly		7.50		USD	163		(29,665	)		(5,916	)		(23,749	)
CDX-CMBX.NA.A Series 6, 05/11/2063*		2.00			Monthly		7.50		USD	326		(59,435	)		(12,078	)		(47,357	)
CDX-CMBX.NA.A Series 6, 05/11/2063*		2.00			Monthly		7.50		USD	814		(148,534	)		(29,622	)		(118,912	)
CDX-CMBX.NA.A Series 6, 05/11/2063*		2.00			Monthly		7.50		USD	1,864		(340,076	)		(92,456	)		(247,620	)
CDX-CMBX.NA.A Series 6, 05/11/2063*		2.00			Monthly		7.50		USD	4,302		(784,790	)		(127,186	)		(657,604	)
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50		USD	636		(84,822	)		(72,306	)		(12,516	)
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50		USD	4,365		(582,321	)		(484,438	)		(97,883	)
Goldman Sachs International
CDX-CMBX.NA.A Series 6, 05/11/2063*		2.00			Monthly		7.50		USD	6,798		(1,239,968	)		(273,463	)		(966,505	)
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50		USD	4,179		(557,499	)		(630,875	)		73,376
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50		USD	2,993		(399,350	)		(445,501	)		46,151
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50		USD	2,031		(271,013	)		(216,875	)		(54,138	)
JPMorgan Securities, LLC
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50		USD	1,420		(189,475	)		(82,287	)		(107,188	)
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50		USD	2,137		(285,097	)		(168,606	)		(116,491	)
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50		USD	4,518		(602,721	)		(467,848	)		(134,873	)

54    ^|    AB INCOME FUND abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

Swap Counterparty & Referenced Obligation	Fixed Rate (Pay) Receive			Payment Frequency		Implied Credit Spread at October 31, 2023			Notional Amount (000)		Market Value			Upfront Premiums Paid (Received)			Unrealized Appreciation (Depreciation)
Morgan Stanley & Co. International PLC
CDX-CMBX.NA.A Series 6, 05/11/2063*		2.00	%		Monthly		7.50	%	USD	84	$	(15,332	)	$	(3,169	)	$	(12,163	)
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50		USD	259		(34,548	)		(19,815	)		(14,733	)
											$	(9,132,420	)	$	(5,792,216	)	$	(3,340,204	)

* Termination date

REVERSE REPURCHASE AGREEMENTS (see Note D)

Broker	Currency		Principal Amount (000)		Interest Rate			Maturity			U.S. $ Value at October 31, 2023
Barclay Capital, Inc.†		USD		2,920		(2.00	)%*		– 0	–	$	2,920,000
HSBC Securities (USA), Inc.†		USD		25,575		5.44	%		– 0	–		25,786,775
HSBC Securities (USA), Inc.†		USD		19,008		5.44	%		– 0	–		19,131,283
HSBC Securities (USA), Inc.†		USD		12,025		5.10	%		– 0	–		12,190,244
Jefferies LLC†		USD		883		3.50	%		– 0	–		883,522
Jefferies LLC†		USD		416		4.75	%		– 0	–		417,153
RBC Capital Markets†		USD		1,110		3.75	%		– 0	–		1,126,113
											$	62,455,090

* Interest payment due from counterparty.

† The reverse repurchase agreement matures on demand. Interest rate resets daily and the rate shown is the rate in effect on October 31, 2023.

The type of underlying collateral and the remaining maturity of open reverse repurchase agreements on the statements of assets and liabilities is as follows:

Overnight and Continuous

Up to 30 Days

31-90 Days

Greater than 90 Days

Total

Governments – Treasuries

$

44,918,058

$

– 0

–

$

– 0

–

$

– 0

–

$

44,918,058

Agencies

12,190,244

– 0

–

– 0

–

– 0

–

12,190,244

Corporates – Non-Investment Grade

2,920,000

– 0

–

– 0

–

– 0

–

2,920,000

Corporates – Investment Grade

1,126,113

– 0

–

– 0

–

– 0

–

1,126,113

Emerging Markets – Sovereigns

883,522

– 0

–

– 0

–

– 0

–

883,522

Emerging Markets – Corporate Bonds

417,153

– 0

–

– 0

–

– 0

–

417,153

Total

$

62,455,090

$

– 0

–

$

– 0

–

$

– 0

–

$

62,455,090

��

** Principal amount less than 500.

(a) Position, or a portion thereof, has been segregated to collateralize reverse repurchase agreements.

(b) Position, or a portion thereof, has been segregated to collateralize OTC derivatives outstanding.

(c) Position, or a portion thereof, has been segregated to collateralize margin requirements for open centrally cleared swaps.

(d) Position, or a portion thereof, has been segregated to collateralize margin requirements for open futures contracts.

abfunds.com AB INCOME FUND    ^|    55

PORTFOLIO OF INVESTMENTS (continued)

(e) Securities are perpetual and, thus, do not have a predetermined maturity date. The date shown, if applicable, reflects the next call date.

(f) Security is exempt from registration under Rule 144A or Regulation S of the Securities Act of 1933. These securities are considered restricted, but liquid and may be resold in transactions exempt from registration. At October 31, 2023, the aggregate market value of these securities amounted to $669,675,659 or 27.9% of net assets.

(g) Floating Rate Security. Stated interest/floor/ceiling rate was in effect at October 31, 2023.

(h) Non-income producing security.

(i) Defaulted matured security.

(j) Fair valued by the Adviser.

(k) Security in which significant unobservable inputs (Level 3) were used in determining fair value.

(l) Pay-In-Kind Payments (PIK). The issuer may pay cash interest and/or interest in additional debt securities. Rates shown are the rates in effect at October 31, 2023.

(m) Security is exempt from registration under Rule 144A or Regulation S of the Securities Act of 1933. These securities, which represent 0.48% of net assets as of October 31, 2023, are considered illiquid and restricted. Additional information regarding such securities follows:

144A/Restricted & Illiquid Securities	Acquisition Date		Cost		Market Value			Percentage of Net Assets
Consumer Loan Underlying Bond Club Certificate Issuer Trust I Series 2018-20, Class PT 1.321%, 11/16/2043		09/27/2018	$	12,125	$	11,913			0.00	%
Consumer Loan Underlying Bond Club Certificate Issuer Trust I Series 2019-36, Class PT 12.508%, 10/17/2044		09/04/2019		127,237		123,345			0.01	%
Digicel Group Holdings Ltd. 7.00%, 12/04/2023		06/19/2020- 04/05/2023		22,404		4,670			0.00	%
Exide Technologies 11.00%, 10/31/2024		06/21/2019- 10/26/2020		692,006		– 0	–		0.00	%
JPMorgan Madison Avenue Securities Trust Series 2014-CH1, Class M2 9.685%, 11/25/2024		11/06/2015		315,332		320,817			0.01	%
JPMorgan Madison Avenue Securities Trust Series 2015-CH1, Class M2 10.935%, 10/25/2025		09/18/2015		582,320		592,423			0.02	%
Magnetation LLC/Mag Finance Corp. 11.00%, 05/15/2018		02/19/2015		861,788		– 0	–		0.00	%
NAK Naftogaz Ukraine via Kondor Finance PLC 7.625%, 11/08/2026		11/04/2019		2,168,000		1,029,800			0.04	%
PMT Credit Risk Transfer Trust Series 2020-1R, Class A 8.785%, 02/27/2023		02/11/2020		1,639,234		1,619,921			0.07	%
State Agency of Roads of Ukraine 6.25%, 06/24/2030		06/17/2021		7,856,000		2,062,200			0.09	%
Tonon Luxembourg SA 6.50%, 10/31/2024		01/16/2013- 10/31/2021		1,804,783		87			0.00	%
Virgolino de Oliveira Finance SA 10.50%, 01/28/2018		06/19/2013		3,510,949		474			0.00	%

56    ^|    AB INCOME FUND abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

144A/Restricted & Illiquid Securities	Acquisition Date		Cost		Market Value		Percentage of Net Assets
Virgolino de Oliveira Finance SA 10.875%, 01/13/2020		06/09/2014	$	745,965	$	75		0.00	%
Virgolino de Oliveira Finance SA 11.75%, 02/09/2022		01/29/2014		916,308		169		0.00	%
Wells Fargo Credit Risk Transfer Securities Trust Series 2015-WF1, Class 1M2 10.685%, 11/25/2025		09/06/2016		212,635		214,911		0.01	%
Wisconsin Public Finance Authority (Catholic Bishop of Chicago (The)) Series 2021 5.75%, 07/25/2041		08/03/2021		6,915,000		5,567,493		0.23	%

(n) Coupon rate adjusts periodically based upon a predetermined schedule. Stated interest rate in effect at October 31, 2023.

(o) IO – Interest Only.

(p) Inverse interest only security.

(q) Defaulted.

(r) The stated coupon rate represents the greater of the SOFR or an alternate base rate such as the PRIME or the SOFR/PRIME floor rate plus a spread at October 31, 2023.

(s) Affiliated investments.

(t) To obtain a copy of the fund’s shareholder report, please go to the Securities and Exchange Commission’s website at www.sec.gov, or call AB at (800) 227-4618.

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

(v) One contract relates to 100 shares.

(w) Escrow shares.

Currency Abbreviations:

CAD – Canadian Dollar

EUR – Euro

GBP – Great British Pound

USD – United States Dollar

Glossary:

ABS – Asset-Backed Securities

BOBL – Bundesobligationen

CBT – Chicago Board of Trade

CDX-CMBX.NA – North American Commercial Mortgage-Backed Index

CDX-NAHY – North American High Yield Credit Default Swap Index

CDX-NAIG – North American Investment Grade Credit Default Swap Index

CLO – Collateralized Loan Obligations

CMBS – Commercial Mortgage-Backed

CPI – Consumer Price Index

JSC – Joint Stock Company

LIBOR – London Interbank Offered Rate

REIT – Real Estate Investment Trust

REMICs – Real Estate Mortgage Investment Conduits

SOFR – Secured Overnight Financing Rate

TBA – To Be Announced

See notes to financial statements.

abfunds.com AB INCOME FUND    ^|    57

STATEMENT OF ASSETS & LIABILITIES

October 31, 2023

Assets
Investments in securities, at value
Unaffiliated issuers (cost $3,051,513,886)	$	2,907,794,745
Affiliated issuers (cost $10,865,651)		10,865,651
Cash		218,434
Foreign currencies, at value (cost $2,472,686)		2,338,276
Receivable for investment securities sold		225,353,308
Unaffiliated interest and dividends receivable		23,570,270
Receivable for capital stock sold		3,640,091
Unrealized appreciation on forward currency exchange contracts		72,003
Affiliated dividends receivable		59,183
Receivable for variation margin on centrally cleared swaps		48,064
Other assets		43,477
Total assets		3,174,003,502
Liabilities
Payable for investment securities purchased		690,662,820
Payable for reverse repurchase agreements		62,455,090
Market value on credit default swaps (net premiums received $5,792,216)		9,132,420
Payable for capital stock repurchased		6,182,865
Dividends payable		1,008,652
Advisory fee payable		813,461
Foreign capital gains tax payable		358,888
Distribution fee payable		98,257
Options written, at value (premiums received $188,680)		90,090
Transfer Agent fee payable		44,129
Payable for variation margin on futures		41,878
Administrative fee payable		29,136
Directors’ fees payable		3,929
Accrued expenses and other liabilities		986,684
Total liabilities		771,908,299
Net Assets	$	2,402,095,203
Composition of Net Assets
Capital stock, at par	$	399,947
Additional paid-in capital		3,344,829,710
Accumulated loss		(943,134,454	)
Net Assets	$	2,402,095,203

Net Asset Value Per Share—33 billion shares of capital stock authorized, $.001 par value

Class	Net Assets		Shares Outstanding		Net Asset Value
A	$	126,078,476		21,017,069	$	6.00	*
C	$	85,417,702		14,220,548	$	6.01
Advisor	$	2,171,738,080		361,568,433	$	6.01
Z	$	18,860,945		3,140,724	$	6.01

* The maximum offering price per share for Class A shares was $6.27 which reflects a sales charge of 4.25%.

See notes to financial statements.

58    ^|    AB INCOME FUND abfunds.com

STATEMENT OF OPERATIONS

Year Ended October 31, 2023

Investment Income
Interest	$	157,113,092
Dividends
Affiliated issuers		749,408
Unaffiliated issuers		145,567
Other income		129,488		$	158,137,555
Expenses
Advisory fee (see Note B)		11,640,452
Distribution fee—Class A		377,542
Distribution fee—Class C		1,033,893
Transfer agency—Class A		127,521
Transfer agency—Class C		87,753
Transfer agency—Advisor Class		1,943,977
Transfer agency—Class Z		4,717
Custody and accounting		316,394
Printing		299,422
Audit and tax		165,635
Administrative		93,875
Registration fees		90,139
Legal		64,724
Directors’ fees		49,626
Miscellaneous		88,324
Total expenses before interest expense/bank overdraft		16,383,994
Interest expense/bank overdraft		26,757,290
Total expenses					43,141,284
Less: expenses waived and reimbursed by the Adviser (see Note B)		(1,482,855	)
Net expenses					41,658,429
Net investment income					116,479,126
Realized and Unrealized Gain (Loss) on Investment and Foreign Currency Transactions
Net realized loss on:
Investment transactions(a)					(179,372,855	)
Forward currency exchange contracts					(891,645	)
Futures					(55,515,525	)
Options written					(78,083	)
Swaps					(2,128,240	)
Foreign currency transactions					(19,523,292	)
Net change in unrealized appreciation (depreciation) of:
Investments					184,589,747
Forward currency exchange contracts					1,222,006
Futures					5,638,410
Options written					98,590
Swaps					5,755,317
Foreign currency denominated assets and liabilities					3,098
Net loss on investment and foreign currency transactions					(60,202,472	)
Net Increase in Net Assets from Operations				$	56,276,654

(a) Net of foreign realized capital gains taxes of $1,522.

See notes to financial statements.

abfunds.com AB INCOME FUND    ^|    59

STATEMENT OF CHANGES IN NET ASSETS

	Year Ended October 31, 2023			Year Ended October 31, 2022
Increase (Decrease) in Net Assets from Operations
Net investment income	$	116,479,126		$	122,535,702
Net realized loss on investment and foreign currency transactions		(257,509,640	)		(537,822,684	)
Net change in unrealized appreciation (depreciation) of investments and foreign currency denominated assets and liabilities		197,307,168			(310,736,514	)
Net increase (decrease) in net assets from operations		56,276,654			(726,023,496	)
Distributions to Shareholders
Class A		(6,139,059	)		(7,242,847	)
Class C		(3,570,199	)		(4,015,362	)
Advisor Class		(98,818,254	)		(117,190,413	)
Class Z		(932,157	)		(938,821	)
Return of Capital
Class A		(1,234,366	)		– 0	–
Class C		(717,851	)		– 0	–
Advisor Class		(19,869,152	)		– 0	–
Class Z		(187,427	)		– 0	–
Capital Stock Transactions
Net decrease		(152,901,365	)		(1,158,104,578	)
Total decrease		(228,093,176	)		(2,013,515,517	)
Net Assets
Beginning of period		2,630,188,379			4,643,703,896
End of period	$	2,402,095,203		$	2,630,188,379

See notes to financial statements.

60    ^|    AB INCOME FUND abfunds.com

STATEMENT OF CASH FLOWS

For the year ended October 31, 2023

Cash flows from operating activities
Net increase in net assets from operations				$	56,276,654
Reconciliation of net increase in net assets from operations to net increase in cash from operating activities
Purchases of long-term investments	$	(8,200,767,890	)
Purchases of short-term investments		(909,372,244	)
Proceeds from disposition of long-term investments		9,243,738,750
Proceeds from disposition of short-term investments		844,316,400
Net realized loss on investment transactions and foreign currency transactions		269,111,792
Net realized loss on forward currency exchange contracts		(891,645	)
Net change in unrealized appreciation (depreciation) of investments and foreign currency denominated assets and liabilities		(197,307,168	)
Net accretion of bond discount and amortization of bond premium		3,007,304
Increase in receivable for investments sold		(8,492,700	)
Decrease in interest receivable		1,793,956
Increase in affiliated dividends receivable		(40,930	)
Increase in other assets		(1,170	)
Decrease in cash collateral due from broker		1,033,000
Increase in payable for investments purchased		38,405,712
Decrease in advisory fee payable		(204,887	)
Decrease in administrative fee payable		(3,556	)
Decrease in Foreign capital gains tax payable		(1,522	)
Decrease in Transfer Agent fee payable		(18,338	)
Decrease in distribution fee payable		(27,503	)
Decrease in Directors’ fee payable		(924	)
Increase in accrued expenses		262,181
Proceeds from options written, net		110,597
Payments on swaps, net		(16,764,091	)
Payments for exchange-traded derivatives settlements, net		(50,006,140	)
Total adjustments					1,017,878,984
Net cash provided by (used in) operating activities					1,074,155,638
Cash flows from financing activities
Redemptions of capital stock		(1,100,757,715	)
Subscriptions of capital stock		858,612,977
Cash dividends paid (net of dividend reinvestments)†		(44,228,839	)
Repayment of reverse repurchase agreements		(774,556,808	)
Net cash provided by (used in) financing activities					(1,060,930,385	)
Effect of exchange rate on cash					(19,520,194	)
Net decrease in cash and foreign currency					(6,294,941	)
Cash and foreign currency at beginning of year					8,851,651
Cash and foreign currency at end of year				$	2,556,710
Supplemental disclosure of cash flow information
† Reinvestment of dividends	$	86,961,042
Interest expense paid during the year	$	26,476,343

In accordance with U.S. GAAP, the Fund has included a Statement of Cash Flows as a result of its significant investments in reverse repurchase agreements throughout the year.

See notes to financial statements.

abfunds.com AB INCOME FUND    ^|    61

NOTES TO FINANCIAL STATEMENTS

October 31, 2023

NOTE A

Significant Accounting Policies

AB Bond Fund, Inc. (the “Company”) is registered under the Investment Company Act of 1940 (the “1940 Act”) as an open-end management investment company. The Company, which is a Maryland corporation, operates as a series company comprised of nine portfolios currently in operation. Each portfolio is considered to be a separate entity for financial reporting and tax purposes. This report relates only to the AB Income Fund (the “Fund”), a diversified portfolio. The Fund has authorized the issuance of Class A, Class B, Class C, Advisor Class, Class R, Class K, Class I, Class Z, Class T, Class 1 and Class 2 shares. Class B, Class K, Class R, Class I, Class T, Class 1 and Class 2 shares have not been issued. Class A shares are sold with a front-end sales charge of up to 4.25% for purchases not exceeding $1,000,000. With respect to purchases of $1,000,000 or more, Class A shares redeemed within one year of purchase may be subject to a contingent deferred sales charge of 1%. Class C shares are subject to a contingent deferred sales charge of 1% on redemptions made within the first year after purchase, and 0% after the first year of purchase. Class C shares automatically convert to Class A shares eight years after the end of the calendar month of purchase. Advisor Class and Class Z shares are sold without an initial or contingent deferred sales charge and are not subject to ongoing distribution expenses. All 11 classes of shares have identical voting, dividend, liquidation and other rights, except that the classes bear different distribution and transfer agency expenses. Each class has exclusive voting rights with respect to its distribution plan. The financial statements have been prepared in conformity with U.S. generally accepted accounting principles (“U.S. GAAP”), which require management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities in the financial statements and amounts of income and expenses during the reporting period. Actual results could differ from those estimates. The Fund is an investment company under U.S. GAAP and follows the accounting and reporting guidance applicable to investment companies. The following is a summary of significant accounting policies followed by the Fund.

1. Security Valuation

Portfolio securities are valued at market value determined on the basis of market quotations or, if market quotations are not readily available or are unreliable, at “fair value” as determined in accordance with procedures approved by and under the oversight of the Company’s Board of Directors (the “Board”). Pursuant to these procedures, AllianceBernstein L.P. (the “Adviser”) serves as the Fund’s valuation designee pursuant to Rule 2a-5 of the 1940 Act. In this capacity, the Adviser is responsible, among other things, for making all fair value determinations relating to the Fund’s portfolio investments, subject to the Board’s oversight.

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NOTES TO FINANCIAL STATEMENTS (continued)

In general, the market values of securities which are readily available and deemed reliable are determined as follows: securities listed on a national securities exchange (other than securities listed on the NASDAQ Stock Market, Inc. (“NASDAQ”)) or on a foreign securities exchange are valued at the last sale price at the close of the exchange or foreign securities exchange. If there has been no sale on such day, the securities are valued at the last traded price from the previous day. Securities listed on more than one exchange are valued by reference to the principal exchange on which the securities are traded; securities listed only on NASDAQ are valued in accordance with the NASDAQ Official Closing Price; listed or over the counter (“OTC”) market put or call options are valued at the mid level between the current bid and ask prices. If either a current bid or current ask price is unavailable, the Adviser will have discretion to determine the best valuation (e.g., last trade price in the case of listed options); open futures are valued using the closing settlement price or, in the absence of such a price, the most recent quoted bid price. If there are no quotations available for the day of valuation, the last available closing settlement price is used; U.S. Government securities and any other debt instruments having 60 days or less remaining until maturity are generally valued at market by an independent pricing vendor, if a market price is available. If a market price is not available, the securities are valued at amortized cost. This methodology is commonly used for short term securities that have an original maturity of 60 days or less, as well as short term securities that had an original term to maturity that exceeded 60 days. In instances when amortized cost is utilized, the Valuation Committee (the “Committee”) must reasonably conclude that the utilization of amortized cost is approximately the same as the fair value of the security. Factors the Committee will consider include, but are not limited to, an impairment of the creditworthiness of the issuer or material changes in interest rates. Fixed-income securities, including mortgage-backed and asset-backed securities, may be valued on the basis of prices provided by a pricing service or at a price obtained from one or more of the major broker-dealers. In cases where broker-dealer quotes are obtained, the Adviser may establish procedures whereby changes in market yields or spreads are used to adjust, on a daily basis, a recently obtained quoted price on a security. Swaps and other derivatives are valued daily, primarily using independent pricing services, independent pricing models using market inputs, as well as third party broker-dealers or counterparties. Open-end mutual funds are valued at the closing net asset value per share, while exchange traded funds are valued at the closing market price per share.

Securities for which market quotations are not readily available (including restricted securities) or are deemed unreliable are valued at fair value as deemed appropriate by the Adviser. Factors considered in making this determination may include, but are not limited to, information obtained by

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NOTES TO FINANCIAL STATEMENTS (continued)

contacting the issuer, analysts, analysis of the issuer’s financial statements or other available documents. In addition, the Fund may use fair value pricing for securities primarily traded in non-U.S. markets because most foreign markets close well before the Fund values its securities at 4:00 p.m., Eastern Time. The earlier close of these foreign markets gives rise to the possibility that significant events, including broad market moves, may have occurred in the interim and may materially affect the value of those securities. To account for this, the Fund generally values many of its foreign equity securities using fair value prices based on third party vendor modeling tools to the extent available.

2. Fair Value Measurements

In accordance with U.S. GAAP regarding fair value measurements, fair value is defined as the price that the Fund would receive to sell an asset or pay to transfer a liability in an orderly transaction between market participants at the measurement date. U.S. GAAP establishes a framework for measuring fair value, and a three-level hierarchy for fair value measurements based upon the transparency of inputs to the valuation of an asset or liability (including those valued based on their market values as described in Note A.1 above). Inputs may be observable or unobservable and refer broadly to the assumptions that market participants would use in pricing the asset or liability. Observable inputs reflect the assumptions market participants would use in pricing the asset or liability based on market data obtained from sources independent of the Fund. Unobservable inputs reflect the Fund’s own assumptions about the assumptions that market participants would use in pricing the asset or liability based on the best information available in the circumstances. Each investment is assigned a level based upon the observability of the inputs which are significant to the overall valuation. The three-tier hierarchy of inputs is summarized below.

• Level 1—quoted prices in active markets for identical investments

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

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

The fair value of debt instruments, such as bonds, and over-the-counter derivatives is generally based on market price quotations, recently executed market transactions (where observable) or industry recognized modeling techniques and are generally classified as Level 2. Pricing vendor inputs to Level 2 valuations may include quoted prices for similar investments in active markets, interest rate curves, coupon rates, currency rates, yield curves, option adjusted spreads, default rates, credit spreads and other unique security features in order to estimate the relevant cash flows

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which are then discounted to calculate fair values. If these inputs are unobservable and significant to the fair value, these investments will be classified as Level 3.

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

Options are valued using market-based inputs to models, broker or dealer quotations, or alternative pricing sources with reasonable levels of price transparency, where such inputs and models are available. Alternatively, the values may be obtained through unobservable management determined inputs and/or management’s proprietary models. Where models are used, the selection of a particular model to value an option depends upon the contractual terms of, and specific risks inherent in, the option as well as the availability of pricing information in the market. Valuation models require a variety of inputs, including contractual terms, market prices, measures of volatility and correlations of such inputs. Exchange traded options will be classified as Level 2. For options that do not trade on an exchange but trade in liquid markets, inputs can generally be verified and model selection does not involve significant management judgment. Options are classified within Level 2 on the fair value hierarchy when all of the significant inputs can be corroborated to market evidence. Otherwise such instruments are classified as Level 3.

Valuations of mortgage-backed or other asset-backed securities, by pricing vendors, are based on both proprietary and industry recognized models and discounted cash flow techniques. Significant inputs to the valuation of these instruments are value of the collateral, the rates and timing of delinquencies, the rates and timing of prepayments, and default and loss expectations, which are driven in part by housing prices for residential mortgages. Significant inputs are determined based on relative value analyses, which incorporate comparisons to instruments with similar collateral and risk profiles, including relevant indices. Mortgage and asset-backed securities for which management has collected current observable

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NOTES TO FINANCIAL STATEMENTS (continued)

data through pricing services are generally categorized within Level 2. Those investments for which current observable data has not been provided are classified as Level 3.

Bank loan prices are provided by third party pricing services and consist of a composite of the quotes received by the vendor into a consensus price. Certain bank loans are classified as Level 3, as a significant input used in the fair value measurement of these instruments is the market quotes that are received by the vendor and these inputs are not observable.

Other fixed income investments, including non-U.S. government and corporate debt, are generally valued using quoted market prices, if available, which are typically impacted by current interest rates, maturity dates and any perceived credit risk of the issuer. Additionally, in the absence of quoted market prices, these inputs are used by pricing vendors to derive a valuation based upon industry or proprietary models which incorporate issuer specific data with relevant yield/spread comparisons with more widely quoted bonds with similar key characteristics. Those investments for which there are observable inputs are classified as Level 2. Where the inputs are not observable, the investments are classified as Level 3.

The following table summarizes the valuation of the Fund’s investments by the above fair value hierarchy levels as of October 31, 2023:

Investments in Securities:	Level 1			Level 2		Level 3			Total
Assets:
Governments - Treasuries	$	– 0	–	$	1,180,111,892	$	– 0	–	$	1,180,111,892
Mortgage Pass-Throughs		– 0	–		636,373,411		– 0	–		636,373,411
Corporates - Investment Grade		– 0	–		388,469,069		– 0	–		388,469,069
Corporates - Non-Investment Grade		– 0	–		219,069,062		688,118	(a)		219,757,180
Collateralized Loan Obligations		– 0	–		87,165,824		– 0	–		87,165,824
Commercial Mortgage-Backed Securities		– 0	–		53,503,056		– 0	–		53,503,056
Collateralized Mortgage Obligations		– 0	–		52,965,302		– 0	–		52,965,302
Emerging Markets - Corporate Bonds		– 0	–		52,713,315		718			52,714,033
Bank Loans		– 0	–		44,523,020		1,736,873			46,259,893
Asset-Backed Securities		– 0	–		33,524,757		834,586			34,359,343
Agencies		– 0	–		29,494,742		– 0	–		29,494,742

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Investments in Securities:

Level 1

Level 2

Level 3

Total

Emerging Markets - Sovereigns

$

– 0

–

$

21,156,036

$

– 0

–

$

21,156,036

Quasi-Sovereigns

– 0

–

20,175,243

– 0

–

20,175,243

Local Governments - US Municipal Bonds

– 0

–

8,075,797

– 0

–

8,075,797

Common Stocks

362,012

– 0

–

5,817,527

(a)

6,179,539

Governments - Sovereign Bonds

– 0

–

5,923,462

– 0

–

5,923,462

Preferred Stocks

– 0

–

– 0

–

2,591,934

2,591,934

Purchased Options - Puts

– 0

–

566,670

– 0

–

566,670

Rights

– 0

–

– 0

–

129,319

129,319

Short-Term Investments:

U.S. Treasury Bills

– 0

–

61,823,000

– 0

–

61,823,000

Investment Companies

10,865,651

– 0

–

– 0

–

10,865,651

Total Investments in Securities

11,227,663

2,895,633,658

11,799,075

(a)

2,918,660,396

Other Financial Instruments(b):

Assets:

Futures

292,592

– 0

–

– 0

–

292,592

(c)

Forward Currency Exchange Contracts

– 0

–

72,003

– 0

–

72,003

Centrally Cleared Credit Default Swaps

– 0

–

1,084,416

– 0

–

1,084,416

(c)

Centrally Cleared Inflation (CPI) Swaps

– 0

–

119,245

– 0

–

119,245

(c)

Liabilities:

Futures

(35,646,786

)

– 0

–

– 0

–

(35,646,786

)(c)

Put Written Options

– 0

–

(90,090

)

– 0

–

(90,090

)(c)

Centrally Cleared Credit Default Swaps

– 0

–

(248,165

)

– 0

–

(248,165

)(c)

Centrally Cleared Inflation (CPI) Swaps

– 0

–

(60,028

)

– 0

–

(60,028

)(c)

Credit Default Swaps

– 0

–

(9,132,420

)

– 0

–

(9,132,420

)

Reverse Repurchase Agreements

(62,455,090

)

– 0

–

– 0

–

(62,455,090

)

Total

$

(86,581,621

)

$

2,887,378,619

$

11,799,075

(a)

$

2,812,596,073

(a) The Fund held securities with zero market value at period end.

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

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NOTES TO FINANCIAL STATEMENTS (continued)

(c) Only variation margin receivable (payable) at period end is reported within the statement of assets and liabilities. This amount reflects cumulative unrealized appreciation (depreciation) on futures and centrally cleared swaps as reported in the portfolio of investments. Where applicable, centrally cleared swaps with upfront premiums are presented here at market value.

3. Currency Translation

Assets and liabilities denominated in foreign currencies and commitments under forward currency exchange contracts are translated into U.S. dollars at the mean of the quoted bid and ask prices of such currencies against the U.S. dollar. Purchases and sales of portfolio securities are translated into U.S. dollars at the rates of exchange prevailing when such securities were acquired or sold. Income and expenses are translated into U.S. dollars at rates of exchange prevailing when accrued.

Net realized gain or loss on foreign currency transactions represents foreign exchange gains and losses from sales and maturities of foreign fixed income investments, holding of foreign currencies, currency gains or losses realized between the trade and settlement dates on foreign investment transactions, and the difference between the amounts of dividends, interest and foreign withholding taxes recorded on the Fund’s books and the U.S. dollar equivalent amounts actually received or paid. Net unrealized currency gains and losses from valuing foreign currency denominated assets and liabilities at period end exchange rates are reflected as a component of net unrealized appreciation or depreciation of foreign currency denominated assets and liabilities.

4. Taxes

It is the Fund’s policy to meet the requirements of the Internal Revenue Code applicable to regulated investment companies and to distribute all of its investment company taxable income and net realized gains, if any, to shareholders. Therefore, no provisions for federal income or excise taxes are required. The Fund may be subject to taxes imposed by countries in which it invests. Such taxes are generally based on income and/or capital gains earned or repatriated. Taxes are accrued and applied to net investment income, net realized gains and net unrealized appreciation/depreciation as such income and/or gains are earned.

In accordance with U.S. GAAP requirements regarding accounting for uncertainties in income taxes, management has analyzed the Fund’s tax positions taken or expected to be taken on federal and state income tax returns for all open tax years (the current and the prior three tax years) and has concluded that no provision for income tax is required in the Fund’s financial statements.

5. Investment Income and Investment Transactions

Dividend income is recorded on the ex-dividend date or as soon as the Fund is informed of the dividend. Interest income is accrued daily.

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Investment transactions are accounted for on the date the securities are purchased or sold. Investment gains or losses are determined on the identified cost basis. Non-cash dividends, if any, are recorded on the ex-dividend date at the fair value of the securities received. The Fund amortizes premiums and accretes discounts as adjustments to interest income. The Fund accounts for distributions received from REIT investments or from regulated investment companies as dividend income, realized gain, or return of capital based on information provided by the REIT or the investment company.

6. Class Allocations

All income earned and expenses incurred by the Fund are borne on a pro-rata basis by each outstanding class of shares, based on the proportionate interest in the Fund represented by the net assets of such class, except for class specific expenses which are allocated to the respective class. Expenses of the Company are charged proportionately to each fund or based on other appropriate methods. Realized and unrealized gains and losses are allocated among the various share classes based on respective net assets.

7. Dividends and Distributions

Dividends and distributions to shareholders, if any, are recorded on the ex-dividend date. Income dividends and capital gains distributions are determined in accordance with federal tax regulations and may differ from those determined in accordance with U.S. GAAP. To the extent these differences are permanent, such amounts are reclassified within the capital accounts based on their federal tax basis treatment; temporary differences do not require such reclassification.

NOTE B

Advisory Fee and Other Transactions with Affiliates

Under the terms of the investment advisory agreement, the Fund pays the Adviser an advisory fee at an annual rate of .45% of the first $2.5 billion of the Fund’s average daily net assets, .40% of the excess over $2.5 billion up to $5 billion and .35% in excess of $5 billion, of the Fund’s average daily net assets. The fee is accrued daily and paid monthly. The Adviser has agreed to waive its fees and bear certain expenses to the extent necessary to limit total operating expenses (excluding acquired fund fees and expenses other than the advisory fees of any AB mutual funds in which the Fund may invest, interest expense, taxes, extraordinary expenses, and brokerage commissions and other transaction costs) on an annual basis (the “Expense Caps”) to .77%, 1.52%, .52%, and .52% of daily average net assets for Class A, Class C, Advisor Class, and Class Z shares, respectively. For the year ended October 31, 2023, such reimbursement/waivers amounted to $1,466,009. The Expense Caps may not be terminated by the Adviser before January 31, 2024.

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NOTES TO FINANCIAL STATEMENTS (continued)

Pursuant to the investment advisory agreement, the Fund may reimburse the Adviser for certain legal and accounting services provided to the Fund by the Adviser. For the year ended October 31, 2023, the reimbursement for such services amounted to $93,875.

The Fund compensates AllianceBernstein Investor Services, Inc. (“ABIS”), a wholly-owned subsidiary of the Adviser, under a Transfer Agency Agreement for providing personnel and facilities to perform transfer agency services for the Fund. ABIS may make payments to intermediaries that provide omnibus account services, sub-accounting services and/or networking services. Such compensation retained by ABIS amounted to $553,942 for the year ended October 31, 2023.

AllianceBernstein Investments, Inc. (the “Distributor”), a wholly-owned subsidiary of the Adviser, serves as the distributor of the Fund’s shares. The Distributor has advised the Fund that it has retained front-end sales charges of $6,319 from the sale of Class A shares and received $11 and $6,473 in contingent deferred sales charges imposed upon redemptions by shareholders of Class A and Class C shares, respectively, for the year ended October 31, 2023.

The Fund may invest in AB Government Money Market Portfolio (the “Government Money Market Portfolio”) which has a contractual annual advisory fee rate of .20% of the portfolio’s average daily net assets and bears its own expenses. The Adviser had contractually agreed to waive .10% of the advisory fee of Government Money Market Portfolio (resulting in a net advisory fee of .10%) until August 31, 2023. Effective September 1, 2023, the Adviser has contractually agreed to waive .05% of the advisory fee of Government Money Market Portfolio (resulting in a net advisory fee of .15%) until August 31, 2024. In connection with the investment by the Fund in Government Money Market Portfolio, the Adviser has contractually agreed to waive its advisory fee from the Fund in an amount equal to the Fund’s pro rata share of the effective advisory fee of Government Money Market Portfolio, as borne indirectly by the Fund as an acquired fund fee and expense. For the year ended October 31, 2023, such waiver amounted to $16,846.

A summary of the Fund’s transactions in AB mutual funds for the year ended October 31, 2023 is as follows:

Fund	Market Value 10/31/22 (000)		Purchases at Cost (000)		Sales Proceeds (000)		Market Value 10/31/23 (000)		Dividend Income (000)
Government Money Market Portfolio	$	5,642	$	812,983	$	807,759	$	10,866	$	749

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NOTE C

Distribution Services Agreement

The Fund has adopted a Distribution Services Agreement (the “Agreement”) pursuant to Rule 12b-1 under the Investment Company Act of 1940. Under the Agreement, the Fund pays distribution and servicing fees to the Distributor at an annual rate of up to .25% of the Fund’s average daily net assets attributable to Class A shares and 1% of the Fund’s average daily net assets attributable to Class C shares. There are no distribution and servicing fees on the Advisor Class and Class Z shares. The fees are accrued daily and paid monthly. The Agreement provides that the Distributor will use such payments in their entirety for distribution assistance and promotional activities. Since the commencement of the Fund’s operations, the Distributor has incurred expenses in excess of the distribution costs reimbursed by the Fund in the amount of $1,127,225 for Class C shares. While such costs may be recovered from the Fund in future periods so long as the Agreement is in effect, the rate of the distribution and servicing fees payable under the Agreement may not be increased without a shareholder vote. In accordance with the Agreement, there is no provision for recovery of unreimbursed distribution costs incurred by the Distributor beyond the current fiscal year for Class A shares. The Agreement also provides that the Adviser may use its own resources to finance the distribution of the Fund’s shares.

NOTE D

Investment Transactions

Purchases and sales of investment securities (excluding short-term investments) for the year ended October 31, 2023 were as follows:

	Purchases		Sales
Investment securities (excluding U.S. government securities)	$	582,331,775	$	1,034,012,387
U.S. government securities		7,613,764,996		8,138,292,294

The cost of investments for federal income tax purposes, gross unrealized appreciation and unrealized depreciation are as follows:

Cost	$	3,066,089,688
Gross unrealized appreciation	$	50,868,596
Gross unrealized depreciation		(189,854,486	)
Net unrealized depreciation	$	(138,985,890	)

1. Derivative Financial Instruments

The Fund may use derivatives in an effort to earn income and enhance returns, to replace more traditional direct investments, to obtain exposure to otherwise inaccessible markets (collectively, “investment purposes”), or to hedge or adjust the risk profile of its portfolio.

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The principal types of derivatives utilized by the Fund, as well as the methods in which they may be used are:

• Futures

The Fund may buy or sell futures for investment purposes or for the purpose of hedging its portfolio against adverse effects of potential movements in the market. The Fund bears the market risk that arises from changes in the value of these instruments and the imperfect correlation between movements in the price of the futures and movements in the price of the assets, reference rates or indices which they are designed to track. Among other things, the Fund may purchase or sell futures for foreign currencies or options thereon for non-hedging purposes as a means of making direct investment in foreign currencies, as described below under “Currency Transactions”.

At the time the Fund enters into futures, the Fund deposits and maintains as collateral an initial margin with the broker, as required by the exchange on which the transaction is effected. Such amount is shown as cash collateral due from broker on the statement of assets and liabilities. Pursuant to the contract, the Fund agrees to receive from or pay to the broker an amount of cash equal to the daily fluctuation in the value of the contract. Such receipts or payments are known as variation margin and are recorded by the Fund as unrealized gains or losses. Risks may arise from the potential inability of a counterparty to meet the terms of the contract. The credit/counterparty risk for exchange-traded futures is generally less than privately negotiated futures, since the clearinghouse, which is the issuer or counterparty to each exchange-traded future, has robust risk mitigation standards, including the requirement to provide initial and variation margin. 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 time it was closed.

Use of long futures subjects the Fund to risk of loss in excess of the amounts shown on the statement of assets and liabilities, up to the notional value of the futures. Use of short futures subjects the Fund to unlimited risk of loss. Under some circumstances, futures exchanges may establish daily limits on the amount that the price of futures can vary from the previous day’s settlement price, which could effectively prevent liquidation of unfavorable positions.

During the year ended October 31, 2023, the Fund held futures for hedging and non-hedging purposes.

• Forward Currency Exchange Contracts

The Fund may enter into forward currency exchange contracts in order to hedge its exposure to changes in foreign currency exchange rates

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on its foreign portfolio holdings, to hedge certain firm purchase and sale commitments denominated in foreign currencies and for non-hedging purposes as a means of making direct investments in foreign currencies, as described below under “Currency Transactions”.

A forward currency exchange contract is a commitment to purchase or sell a foreign currency at a future date at a negotiated forward rate. The gain or loss arising from the difference between the original contract and the closing of such contract would be included in net realized gain or loss on forward currency exchange contracts. Fluctuations in the value of open forward currency exchange contracts are recorded for financial reporting purposes as unrealized appreciation and/or depreciation by the Fund. Risks may arise from the potential inability of a counterparty to meet the terms of a contract and from unanticipated movements in the value of a foreign currency relative to the U.S. dollar.

During the year ended October 31, 2023, the Fund held forward currency exchange contracts for hedging purposes.

• Option Transactions

For hedging and investment purposes, the Fund may purchase and write (sell) put and call options on U.S. and foreign securities, including government securities, and foreign currencies that are traded on U.S. and foreign securities exchanges and over-the-counter markets. Among other things, the Fund may use options transactions for non-hedging purposes as a means of making direct investments in foreign currencies, as described below under “Currency Transactions” and may use options strategies involving the purchase and/or writing of various combinations of call and/or put options, for hedging and investment purposes.

The risk associated with purchasing an option is that the Fund pays a premium whether or not the option is exercised. Additionally, the Fund bears the risk of loss of the premium and change in market value should the counterparty not perform under the contract. If a put or call purchased option by the Fund were permitted to expire without being sold or exercised, its premium would represent a loss to the Fund. Put and call purchased options are accounted for in the same manner as portfolio securities. The cost of securities acquired through the exercise of call options is increased by premiums paid. The proceeds from securities sold through the exercise of put options are decreased by the premiums paid.

When the Fund writes an option, the premium received by the Fund is recorded as a liability and is subsequently adjusted to the current market value of the written option. The Fund’s maximum payment for

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written put options equates to the number of shares multiplied by the strike price. In certain circumstances maximum payout amounts may be partially offset by recovery values of the respective referenced assets and upfront premium received upon entering into the contract. Premiums received from written options which expire unexercised are recorded by the Fund on the expiration date as realized gains from written options. The difference between the premium received and the amount paid on effecting a closing purchase transaction, including brokerage commissions, is also treated as a realized gain, or if the premium received is less than the amount paid for the closing purchase transaction, as a realized loss. If a call option is exercised, the premium received is added to the proceeds from the sale of the underlying security or currency in determining whether the Fund has realized a gain or loss. If a put option is exercised, the premium received reduces the cost basis of the security or currency purchased by the Fund. In writing an option, the Fund bears the market risk of an unfavorable change in the price of the security or currency underlying the written option. Exercise of the written option by the Fund could result in the Fund selling or buying a security or currency at a price different from the current market value.

During the year ended October 31, 2023, the Fund held purchased options for hedging purposes.

During the year ended October 31, 2023, the Fund held written options for non-hedging purposes.

• Swaps

The Fund may enter into swaps to hedge its exposure to interest rates, credit risk, equity markets or currencies. The Fund may also enter into swaps for non-hedging purposes as a means of gaining market exposures, making direct investments in foreign currencies, as described below under “Currency Transactions.” A swap is an agreement that obligates two parties to exchange a series of cash flows at specified intervals based upon or calculated by reference to changes in specified prices or rates for a specified amount of an underlying asset. The payment flows are usually netted against each other, with the difference being paid by one party to the other. In addition, collateral may be pledged or received by the Fund in accordance with the terms of the respective swaps to provide value and recourse to the Fund or its counterparties in the event of default, bankruptcy or insolvency by one of the parties to the swap.

Risks may arise as a result of the failure of the counterparty to the swap to comply with the terms of the swap. The loss incurred by the failure of a counterparty is generally limited to the net interim payment to be received by the Fund, and/or the termination value at the end of

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the contract. Therefore, the Fund considers the creditworthiness of each counterparty to a swap in evaluating potential counterparty risk. This risk is mitigated by having a netting arrangement between the Fund and the counterparty and by the posting of collateral by the counterparty to the Fund to cover the Fund’s exposure to the counterparty. Additionally, risks may arise from unanticipated movements in interest rates or in the value of the underlying securities. The Fund accrues for the interim payments on swaps on a daily basis, with the net amount recorded within unrealized appreciation/depreciation of swaps on the statement of assets and liabilities, where applicable. Once the interim payments are settled in cash, the net amount is recorded as realized gain/(loss) on swaps on the statement of operations, in addition to any realized gain/(loss) recorded upon the termination of swaps. Upfront premiums paid or received for swaps are recognized as cost or proceeds on the statement of assets and liabilities and are amortized on a straight line basis over the life of the contract. Amortized upfront premiums are included in net realized gain/(loss) from swaps on the statement of operations. Fluctuations in the value of swaps are recorded as a component of net change in unrealized appreciation/depreciation of swaps on the statement of operations.

Certain standardized swaps, including certain interest rate swaps and credit default swaps, are (or soon will be) subject to mandatory central clearing. Cleared swaps are transacted through futures commission merchants (“FCMs”) that are members of central clearinghouses, with the clearinghouse serving as central counterparty, similar to transactions in futures contracts. Centralized clearing will be required for additional categories of swaps on a phased-in basis based on requirements published by the Securities and Exchange Commission and Commodity Futures Trading Commission.

At the time the Fund enters into a centrally cleared swap, the Fund deposits and maintains as collateral an initial margin with the broker, as required by the clearinghouse on which the transaction is effected. Such amount is shown as cash collateral due from broker on the statement of assets and liabilities. Pursuant to the contract, the Fund agrees to receive from or pay to the broker an amount of cash equal to the daily fluctuation in the value of the contract. Such receipts or payments are known as variation margin and are recorded by the Fund as unrealized gains or losses. Risks may arise from the potential inability of a counterparty to meet the terms of the contract. The credit/counterparty risk for centrally cleared swaps is generally less than non-centrally cleared swaps, since the clearinghouse, which is the issuer or counterparty to each centrally cleared swap, has robust risk mitigation standards, including the requirement to provide initial

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and variation margin. 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 time it was closed.

Interest Rate Swaps:

The Fund is subject to interest rate risk exposure in the normal course of pursuing its investment objectives. Because the Fund holds fixed rate bonds, the value of these bonds may decrease if interest rates rise. To help hedge against this risk and to maintain its ability to generate income at prevailing market rates, the Fund may enter into interest rate swaps. Interest rate swaps are agreements between two parties to exchange cash flows based on a notional amount. The Fund may elect to pay a fixed rate and receive a floating rate, or, receive a fixed rate and pay a floating rate on a notional amount.

In addition, the Fund may also enter into interest rate swap transactions to preserve a return or spread on a particular investment or portion of its portfolio, or protecting against an increase in the price of securities the Fund anticipates purchasing at a later date. Interest rate swaps involve the exchange by the Fund with another party of their respective commitments to pay or receive interest (e.g., an exchange of floating rate payments for fixed rate payments) computed based on a contractually-based principal (or “notional”) amount. Interest rate swaps are entered into on a net basis (i.e., the two payment streams are netted out, with the Fund receiving or paying, as the case may be, only the net amount of the two payments).

During the year ended October 31, 2023, the Fund held interest rate swaps for hedging purposes.

Inflation (CPI) Swaps:

Inflation swap agreements are contracts in which one party agrees to pay the cumulative percentage increase in a price index (the Consumer Price Index with respect to CPI swaps) over the term of the swap (with some lag on the inflation index), and the other pays a compounded fixed rate. Inflation swaps may be used to protect the net asset value, or NAV, of a Fund against an unexpected change in the rate of inflation measured by an inflation index since the value of these agreements is expected to increase if there are unexpected inflation increases.

During the year ended October 31, 2023, the Fund held inflation (CPI) swaps for non-hedging purposes.

Credit Default Swaps:

The Fund may enter into credit default swaps, including to manage its exposure to the market or certain sectors of the market, to reduce its risk exposure to defaults by corporate and sovereign issuers held by the Fund, or to create exposure to corporate or sovereign issuers to

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which it is not otherwise exposed. The Fund may purchase credit protection (“Buy Contract”) or provide credit protection (“Sale Contract”) on the referenced obligation of the credit default swap. During the term of the swap, the Fund receives/(pays) fixed payments from/(to) the respective counterparty, calculated at the agreed upon rate applied to the notional amount. If the Fund is a buyer/(seller) of protection and a credit event occurs, as defined under the terms of the swap, the Fund will either (i) receive from the seller/(pay to the buyer) of protection an amount equal to the notional amount of the swap (the “Maximum Payout Amount”) and deliver/(take delivery of) the referenced obligation or (ii) receive/(pay) a net settlement amount in the form of cash or securities equal to the notional amount of the swap less the recovery value of the referenced obligation. In certain circumstances Maximum Payout Amounts may be partially offset by recovery values of the respective referenced obligations, upfront premium received upon entering into the agreement, or net amounts received from settlement of buy protection credit default swaps entered into by the Fund for the same referenced obligations with the same counterparty.

Credit default swaps may involve greater risks than if the Fund had invested in the referenced obligation directly. Credit default swaps are subject to general market risk, liquidity risk, counterparty risk and credit risk. If the Fund is a buyer of protection and no credit event occurs, it will lose the payments it made to its counterparty. If the Fund is a seller of protection and a credit event occurs, the value of the referenced obligation received by the Fund coupled with the periodic payments previously received, may be less than the Maximum Payout Amount it pays to the buyer, resulting in a net loss to the Fund.

Implied credit spreads over U.S. Treasuries of comparable maturity utilized in determining the market value of credit default swaps on issuers as of period end are disclosed in the portfolio of investments. The implied spreads serve as an indicator of the current status of the payment/performance risk and typically reflect the likelihood of default by the issuer of the referenced obligation. The implied credit spread of a particular reference obligation also reflects the cost of buying/selling protection and may reflect upfront payments required to be made to enter into the agreement. Widening credit spreads typically represent a deterioration of the referenced obligation’s credit soundness and greater likelihood of default or other credit event occurring as defined under the terms of the agreement. A credit spread identified as “Defaulted” indicates a credit event has occurred for the referenced obligation.

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During the year ended October 31, 2023, the Fund held credit default swaps for non-hedging purposes.

The Fund typically enters into International Swaps and Derivatives Association, Inc. Master Agreements (“ISDA Master Agreement”) with its OTC derivative contract counterparties in order to, among other things, reduce its credit risk to OTC counterparties. ISDA Master Agreements include provisions for general obligations, representations, collateral and events of default or termination. Under an ISDA Master Agreement, the Fund typically may offset with the OTC counterparty certain derivative financial instruments’ payables and/or receivables with collateral held and/or posted and create one single net payment (close-out netting) in the event of default or termination. In the event of a default by an OTC counterparty, the return of collateral with market value in excess of the Fund’s net liability, held by the defaulting party, may be delayed or denied.

The Fund’s ISDA Master Agreements may contain provisions for early termination of OTC derivative transactions in the event the net assets of the Fund decline below specific levels (“net asset contingent features”). If these levels are triggered, the Fund’s OTC counterparty has the right to terminate such transaction and require the Fund to pay or receive a settlement amount in connection with the terminated transaction. If OTC derivatives were held at period end, please refer to netting arrangements by the OTC counterparty table below for additional details.

During the year ended October 31, 2023, the Fund had entered into the following derivatives:

	Asset Derivatives				Liability Derivatives
Derivative Type	Statement of Assets and Liabilities Location	Fair Value			Statement of Assets and Liabilities Location	Fair Value
Interest rate contracts	Receivable for variation margin on futures	$	292,592	*	Payable for variation margin on futures	$	35,646,786	*
Credit contracts	Receivable for variation margin on centrally cleared swaps		579,081	*	Payable for variation margin on centrally cleared swaps		316,492	*
Interest rate contracts	Receivable for variation margin on centrally cleared swaps		119,245	*	Payable for variation margin on centrally cleared swaps		60,028	*

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	Asset Derivatives			Liability Derivatives
Derivative Type	Statement of Assets and Liabilities Location	Fair Value		Statement of Assets and Liabilities Location	Fair Value
Foreign currency contracts	Unrealized appreciation on forward currency exchange contracts	$	72,003
Equity contracts	Investments in securities, at value		566,670
Equity contracts				Options written, at value	$	90,090
Credit contracts				Market value on credit default swaps		9,132,420
Total		$	1,629,591		$	45,245,816

* Only variation margin receivable/payable at period end is reported within the statement of assets and liabilities. This amount reflects cumulative unrealized appreciation (depreciation) on futures and centrally cleared swaps as reported in the portfolio of investments.

Derivative Type	Location of Gain or (Loss) on Derivatives Within Statement of Operations	Realized Gain or (Loss) on Derivatives			Change in Unrealized Appreciation or (Depreciation)
Interest rate contracts	Net realized gain (loss) on futures; Net change in unrealized appreciation (depreciation) of futures	$	(55,515,525	)	$	5,638,410
Foreign currency contracts	Net realized gain (loss) on forward currency exchange contracts; Net change in unrealized appreciation (depreciation) of forward currency exchange contracts		(891,645	)		1,222,006
Equity contracts	Net realized gain (loss) on investment transactions; Net change in unrealized appreciation (depreciation) of investments		708,912			241,174
Equity contracts	Net realized gain (loss) on options written; Net change in unrealized appreciation (depreciation) of options written		(78,083	)		98,590

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Derivative Type	Location of Gain or (Loss) on Derivatives Within Statement of Operations	Realized Gain or (Loss) on Derivatives			Change in Unrealized Appreciation or (Depreciation)
Interest rate contracts	Net realized gain (loss) on swaps; Net change in unrealized appreciation (depreciation) of swaps	$	5,002,649		$	(6,362,717	)
Credit contracts	Net realized gain (loss) on swaps; Net change in unrealized appreciation (depreciation) of swaps		(7,130,889	)		12,118,034
Total		$	(57,904,581	)	$	12,955,497

The following table represents the average monthly volume of the Fund’s derivative transactions during the year ended October 31, 2023:

Futures:
Average notional amount of buy contracts	$	732,223,470
Average notional amount of sale contracts	$	498,469,435
Forward Currency Exchange Contracts:
Average principal amount of buy contracts	$	17,857,080	(a)
Average principal amount of sale contracts	$	171,212,597
Purchased Options:
Average notional amount	$	55,141,333	(b)
Options Written:
Average notional amount	$	52,005,333	(b)
Centrally Cleared Interest Rate Swaps:
Average notional amount	$	196,228,125	(c)
Centrally Cleared Inflation Swaps:
Average notional amount	$	48,600,000	(d)
Credit Default Swaps:
Average notional amount of buy contracts	$	31,273,000	(d)
Average notional amount of sale contracts	$	88,167,635
Centrally Cleared Credit Default Swaps:
Average notional amount of buy contracts	$	93,817,000	(e)
Average notional amount of sale contracts	$	49,583,405	(a)

(a) Positions were open for eleven months during the year.

(b) Positions were open for three months during the year.

(c) Positions were open for seven months during the year.

(d) Positions were open for one month during the year.

(e) Positions were open for five months during the year.

For financial reporting purposes, the Fund does not offset derivative assets and derivative liabilities that are subject to netting arrangements in the statement of assets and liabilities.

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All OTC derivatives held at period end were subject to netting arrangements. The following table presents the Fund’s derivative assets and liabilities by OTC counterparty net of amounts available for offset under ISDA Master Agreements (“MA”) and net of the related collateral received/pledged by the Fund as of October 31, 2023. Exchange-traded derivatives and centrally cleared swaps are not subject to netting arrangements and as such are excluded from the table.

Counterparty	Derivative Assets Subject to a MA		Derivatives Available for Offset			Cash Collateral Received*			Security Collateral Received*			Net Amount of Derivative Assets
Morgan Stanley & Co. International PLC/Morgan Stanley Capital Services, Inc.	$	59,305	$	(49,880	)	$	– 0	–	$	– 0	–	$	9,425
UBS AG		12,698		– 0	–		– 0	–		– 0	–		12,698
Total	$	72,003	$	(49,880	)	$	– 0	–	$	– 0	–	$	22,123	^

Counterparty	Derivative Liabilities Subject to a MA		Derivatives Available for Offset			Cash Collateral Pledged*			Security Collateral Pledged*			Net Amount of Derivative Liabilities
Citigroup Global Markets, Inc.	$	3,507,774	$	– 0	–	$	– 0	–	$	(3,507,774	)	$	– 0	–
Credit Suisse International		2,029,643		– 0	–		– 0	–		(1,971,357	)		58,286
Goldman Sachs International		2,467,830		– 0	–		– 0	–		(2,467,830	)		– 0	–
JPMorgan Securities, LLC		1,077,293		– 0	–		– 0	–		(1,077,293	)		– 0	–
Morgan Stanley & Co. International PLC/Morgan Stanley Capital Services, Inc.		49,880		(49,880	)		– 0	–		– 0	–		– 0	–
Total	$	9,132,420	$	(49,880	)	$	– 0	–	$	(9,024,254	)	$	58,286	^

* The actual collateral received/pledged may be more than the amount reported due to over-collateralization.

^ Net amount represents the net receivable/payable that would be due from/to the counterparty in the event of default or termination. The net amount from OTC financial derivative instruments can only be netted across transactions governed under the same master agreement with the same counterparty.

2. Currency Transactions

The Fund may invest in non-U.S. Dollar-denominated securities on a currency hedged or unhedged basis. The Fund may seek investment opportunities by taking long or short positions in currencies through the use of currency-related derivatives, including forward currency exchange contracts, futures and options on futures, swaps, and other options. The Fund may enter into transactions for investment opportunities when it anticipates that a foreign

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currency will appreciate or depreciate in value but securities denominated in that currency are not held by the Fund and do not present attractive investment opportunities. Such transactions may also be used when the Adviser believes that it may be more efficient than a direct investment in a foreign currency-denominated security. The Fund may also conduct currency exchange contracts on a spot basis (i.e., for cash at the spot rate prevailing in the currency exchange market for buying or selling currencies).

3. TBA and Dollar Rolls

The Fund may invest in TBA mortgage-backed securities. A TBA, or “To Be Announced”, trade represents a contract for the purchase or sale of mortgage-backed securities to be delivered at a future agree-upon date; however, the specific mortgage pool numbers or the number of pools that will be delivered to fulfill the trade obligation or terms of the contract are unknown at the time of the trade. Mortgage pools (including fixed-rate or variable-rate mortgages) guaranteed by the Government National Mortgage Association, or GNMA, the Federal National Mortgage Association, or FNMA, or the Federal Home Loan Mortgage Corporation, or FHLMC, are subsequently allocated to the TBA transactions.

The Fund may enter into certain TBA transactions known as dollar rolls. Dollar rolls involve sales by the Fund of securities for delivery in the current month and the Fund’s simultaneously contracting to repurchase substantially similar (same type and coupon) securities on a specified future date. During the roll period, the Fund forgoes principal and interest paid on the securities. The Fund is compensated by the difference between the current sales price and the lower forward price for the future purchase (often referred to as the “drop”) as well as by the interest earned on the cash proceeds of the initial sale. Dollar rolls involve the risk that the market value of the securities the Fund is obligated to repurchase under the agreement may decline below the repurchase price. Dollar rolls are speculative techniques. For the year ended October 31, 2023, the Fund earned drop income of $616,822 which is included in interest income in the accompanying statement of operations.

4. Reverse Repurchase Agreements

The Fund may enter into reverse repurchase transactions (“RVP”) in accordance with the terms of a Master Repurchase Agreement (“MRA”), under which the Fund sells securities and agrees to repurchase them at a mutually agreed upon date and price. At the time the Fund enters into a reverse repurchase agreement, it will establish a segregated account with the custodian containing liquid assets having a value comparable to the repurchase price. Under the MRA and other master agreements, the Fund is permitted to offset payables and/or receivables with collateral held and/or posted to the counterparty and create one single net payment due to or

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from the Fund in the event of a default. In the event of a default by a MRA counterparty, the Fund may be considered an unsecured creditor with respect to any excess collateral (collateral with a market value in excess of the repurchase price) held by and/or posted to the counterparty, and as such the return of such excess collateral may be delayed or denied. For the year ended October 31, 2023, the average amount of reverse repurchase agreements outstanding was $565,373,334 and the daily weighted average interest rate was 4.67%. At October 31, 2023, the Fund had reverse repurchase agreements outstanding in the amount of $62,455,090 as reported on the statement of assets and liabilities.

The following table presents the Fund’s RVP liabilities by counterparty net of the related collateral pledged by the Fund as of October 31, 2023:

Counterparty	RVP Liabilities Subject to a MRA		Securities Collateral Pledged†*			Net Amount of RVP Liabilities
Barclays Capital, Inc.	$	2,920,000	$	(2,920,000	)	$	– 0	–
HSBC Securities (USA), Inc.		57,108,302		(56,912,708	)		195,594
Jefferies LLC		1,300,675		(1,300,675	)		– 0	–
RBC Capital Markets		1,126,113		(1,083,393	)		42,720
Total	$	62,455,090	$	(62,216,776	)	$	238,314

† Including accrued interest.

* The actual collateral pledged may be more than the amount reported due to overcollateralization.

NOTE E

Capital Stock

Each class consists of 3,000,000,000 authorized shares. Transactions in capital shares for each class were as follows:

	Shares						Amount
	Year Ended October 31, 2023			Year Ended October 31, 2022			Year Ended October 31, 2023			Year Ended October 31, 2022
Class A
Shares sold		5,375,800			5,504,143		$	34,188,667		$	39,565,166
Shares issued in reinvestment of dividends		788,190			683,436			5,039,591			4,848,123
Shares converted from Class C		778,379			150,661			4,907,291			1,067,762
Shares redeemed		(11,739,591	)		(14,232,001	)		(74,338,740	)		(100,905,810	)
Net decrease		(4,797,222	)		(7,893,761	)	$	(30,203,191	)	$	(55,424,759	)

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	Shares						Amount
	Year Ended October 31, 2023			Year Ended October 31, 2022			Year Ended October 31, 2023			Year Ended October 31, 2022
Class C
Shares sold		1,415,028			737,142		$	9,121,503		$	5,442,290
Shares issued in reinvestment of dividends		420,906			367,071			2,696,794			2,605,062
Shares converted to Class A		(777,719	)		(150,476	)		(4,907,291	)		(1,067,762	)
Shares redeemed		(5,219,417	)		(7,173,549	)		(33,362,726	)		(51,179,390	)
Net decrease		(4,161,202	)		(6,219,812	)	$	(26,451,720	)	$	(44,199,800	)
Advisor Class
Shares sold		124,730,756			125,018,791		$	800,267,067		$	895,171,374
Shares issued in reinvestment of dividends		12,237,569			10,905,106			78,257,364			77,665,707
Shares redeemed		(152,016,152	)		(285,020,744	)		(973,162,989	)		(2,028,413,744	)
Net decrease		(15,047,827	)		(149,096,847	)	$	(94,638,558	)	$	(1,055,576,663	)
Class Z
Shares sold		1,082,163			987,963		$	6,936,690		$	6,992,661
Shares issued in reinvestment of dividends		151,270			106,789			967,293			757,805
Shares redeemed		(1,484,578	)		(1,516,427	)		(9,511,879	)		(10,653,822	)
Net decrease		(251,145	)		(421,675	)	$	(1,607,896	)	$	(2,903,356	)

NOTE F

Risks Involved in Investing in the Fund

Market Risk—The value of the Fund’s assets will fluctuate as the bond market fluctuates. The value of its investments may decline, sometimes rapidly and unpredictably, simply because of economic changes or other events, including public health crises (including the occurrence of a contagious disease or illness) and regional and global conflicts, that affect large portions of the market.

Credit Risk—An issuer or guarantor of a fixed-income security, or the counterparty to a derivatives or other contract, may be unable or unwilling to make timely payments of interest or principal, or to otherwise honor its obligations. The issuer or guarantor may default, causing a loss of the full principal amount of a security and accrued interest. The degree of risk for a particular security may be reflected in its credit rating. There is the possibility that the credit rating of a fixed-income security may be downgraded after purchase, which may adversely affect the value of the security.

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Below Investment-Grade Securities Risk—Investments in fixed-income securities with lower ratings (commonly known as “junk bonds”) are subject to a higher probability that an issuer will default or fail to meet its payment obligations. These securities may be subject to greater price volatility due to such factors as specific corporate developments and negative perceptions of the junk bond market generally and may be more difficult to trade than other types of securities.

Interest-Rate Risk—Changes in interest rates will affect the value of investments in fixed-income securities. When interest rates rise, the value of existing investments in fixed-income securities tends to fall and this decrease in value may not be offset by higher income from new investments. Interest-rate risk is generally greater for fixed-income securities with longer maturities or durations. The Fund may be subject to a greater risk of rising interest rates than would normally be the case due to the recent end of a period of historically low rates and the effect of potential central bank monetary policy, and government fiscal policy, initiatives and resulting market reactions to those initiatives.

Duration Risk—Duration is a measure that relates the expected price volatility of a fixed-income security to changes in interest rates. The duration of a fixed-income security may be shorter than or equal to the full maturity of a fixed-income security. Fixed-income securities with longer durations have more risk and will decrease in price as interest rates rise.

Inflation Risk—This is the risk that the value of assets or income from investments will be less in the future as inflation decreases the value of money. As inflation increases, the value of the Fund’s assets can decline, as can the value of the Fund’s distributions. This risk is significantly greater for fixed-income securities with longer maturities.

Foreign (Non-U.S.) Risk—Investments in securities of non-U.S. issuers may involve more risk than those of U.S. issuers. These securities may fluctuate more widely in price and may be more difficult to trade due to adverse market, economic, political, regulatory or other factors.

Emerging-Market Risk—Investments in emerging market countries may have more risk because the markets are less developed and less liquid and are subject to increased economic, political, regulatory or other uncertainties.

Currency Risk—Fluctuations in currency exchange rates may negatively affect the value of the Fund’s investments or reduce its returns.

Mortgage-Related and/or Other Asset-Backed Securities Risk—Investments in mortgage-related and other asset-backed securities are

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subject to certain additional risks. The value of these securities may be particularly sensitive to changes in interest rates. These risks include “extension risk”, which is the risk that, in periods of rising interest rates, issuers may delay the payment of principal, and “prepayment risk”, which is the risk that in periods of falling interest rates, issuers may pay principal sooner than expected, exposing the Fund to a lower rate of return upon reinvestment of principal. Mortgage-backed securities offered by non-governmental issuers and other asset-backed securities may be subject to other risks, such as higher rates of default in the mortgages or assets backing the securities or risks associated with the nature and servicing of mortgages or assets backing the securities.

Illiquid Investments Risk—Illiquid investments risk exists when certain investments become difficult to purchase or sell. Difficulty in selling such investments may result in sales at disadvantageous prices affecting the value of your investment in the Fund. Causes of illiquid investments risk may include low trading volumes, large positions and heavy redemptions of Fund shares. Illiquid investments risk may be higher in a rising interest rate environment, when the value and liquidity of fixed-income securities generally decline.

Leverage Risk—When the Fund borrows money or otherwise leverages its investments, its performance may be volatile because leverage tends to exaggerate the effect of any increase or decrease in the value of the Fund’s investments. The Fund may create leverage through the use of reverse repurchase arrangements, forward currency exchange contracts, forward commitments, dollar rolls or futures or by borrowing money. The use of other types of derivative instruments by the Fund, such as options and swaps, may also result in a form of leverage. Leverage may result in higher returns to the Fund than if the Fund were not leveraged, but may also adversely affect returns, particularly if the market is declining.

Derivatives Risk—Derivatives may be difficult to price or unwind and leveraged so that small changes may produce disproportionate losses for the Fund. A short position in a derivative instrument involves the risk of a theoretically unlimited increase in the value of the underlying asset, which could cause the Fund to suffer a potentially unlimited loss. Derivatives, especially over-the-counter derivatives, are also subject to counterparty risk, which is the risk that the counterparty (the party on the other side of the transaction) on a derivative transaction will be unable or unwilling to honor its contractual obligations to the Fund.

Active Trading Risk—The Fund expects to engage in active and frequent trading of its portfolio securities and its portfolio turnover rate may greatly exceed 100%. A higher rate of portfolio turnover increases transaction

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NOTES TO FINANCIAL STATEMENTS (continued)

costs, which may negatively affect the Fund’s return. In addition, a high rate of portfolio turnover may result in substantial short-term gains, which may have adverse tax consequences for Fund shareholders.

LIBOR Replacement Risk—The Fund may be exposed to debt securities, derivatives or other financial instruments that recently transitioned from the London Interbank Offered Rate, or “LIBOR,” as a “benchmark” or “reference rate” for various interest rate calculations. LIBOR’s administrator, ICE Benchmark Administration, ceased publishing most LIBOR settings (including some U.S. LIBOR settings) by the end of 2021 and the remaining (and most widely used) U.S. Dollar LIBOR settings after June 30, 2023. The United Kingdom Financial Conduct Authority, which regulates LIBOR, will permit the use of synthetic U.S. Dollar LIBOR rates for non-U.S. contracts through September 30, 2024, but any such rates would be considered non-representative of the underlying market. Since 2018 the Federal Reserve Bank of New York has published the Secured Overnight Financing Rate (referred to as SOFR), which is intended to replace U.S. Dollar LIBOR. SOFR is a broad measure of the cost of borrowing cash overnight collateralized by U.S. Treasury securities in the repurchase agreement (repo) market. There is no assurance that the composition or characteristics of SOFR or any such alternative reference rate will be similar to or produce the same value or economic equivalence as LIBOR or that the market for SOFR-linked financial instruments will have the same volume or liquidity as did the market for LIBOR-linked financial instruments prior to LIBOR’s discontinuance or unavailability. Neither the long-term effects of the LIBOR transition process nor its ultimate success can yet be known.

Indemnification Risk—In the ordinary course of business, the Fund enters into contracts that contain a variety of indemnifications. The Fund’s maximum exposure under these arrangements is unknown. However, the Fund has not had prior claims or losses pursuant to these indemnification provisions and expects the risk of loss thereunder to be remote. Therefore, the Fund has not accrued any liability in connection with these indemnification provisions.

Management Risk—The Fund is subject to management risk because it is an actively-managed investment fund. The Adviser will apply its investment techniques and risk analyses in making investment decisions, but there is no guarantee that its techniques will produce the intended results. Some of these techniques may incorporate, or rely upon, quantitative models, but there is no guarantee that these models will generate accurate forecasts, reduce risk or otherwise perform as expected.

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NOTES TO FINANCIAL STATEMENTS (continued)

NOTE G

Joint Credit Facility

A number of open-end mutual funds managed by the Adviser, including the Fund, participate in a $325 million revolving credit facility (the “Facility”) intended to provide short-term financing related to redemptions and other short term liquidity requirements, subject to certain restrictions. Commitment fees related to the Facility are paid by the participating funds and are included in miscellaneous expenses in the statement of operations. The Fund did not utilize the Facility during the year ended October 31, 2023.

NOTE H

Distributions to Shareholders

The tax character of distributions paid during the fiscal years ended October 31, 2023 and October 31, 2022 were as follows:

	2023		2022
Distributions paid from:
Ordinary income	$	109,459,669	$	129,387,443
Total taxable distributions paid	$	109,459,669	$	129,387,443
Return of Capital		22,008,796		– 0	–
Total distributions paid	$	131,468,465	$	129,387,443

As of October 31, 2023, the components of accumulated earnings (deficit) on a tax basis were as follows:

Accumulated capital and other losses	$	(788,620,748	)(a)
Unrealized appreciation (depreciation)		(143,745,135	)(b)
Total accumulated earnings (deficit)	$	(932,365,883	)(c)

(a) As of October 31, 2023, the Fund had a net capital loss carryforward of $788,620,748.

(b) The differences between book-basis and tax-basis unrealized appreciation (depreciation) are attributable primarily to the recognition for tax purposes of unrealized gains (losses) on certain derivative instruments, the tax treatment of callable bonds, the tax treatment of swaps, and the tax deferral of losses on wash sales.

(c) The differences between book-basis and tax-basis components of accumulated earnings (deficit) are attributable primarily to the accrual of foreign capital gains tax, the tax treatment of defaulted securities, and dividends payable.

For tax purposes, net realized capital losses may be carried over to offset future capital gains, if any. Funds are permitted to carry forward capital losses for an indefinite period, and such losses will retain their character as either short-term or long-term capital losses. As of October 31, 2023, the Fund had a net short-term capital loss carryforward of $239,830,869 and a net long-term capital loss carryforward of $548,789,879, which may be carried forward for an indefinite period.

During the current fiscal year, there were no permanent differences that resulted in adjustments to accumulated loss or additional paid-in capital.

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NOTES TO FINANCIAL STATEMENTS (continued)

NOTE I

Recent Accounting Pronouncements

In December 2022, the Financial Accounting Standards Board issued an Accounting Standards Update, ASU 2022-06, “Reference Rate Reform (Topic 848) – Deferral of the Sunset Date of Topic 848”. ASU 2022-06 is an amendment to ASU 2020-04, which provided optional guidance to ease the potential accounting burden due to the discontinuation of the LIBOR and other interbank-offered based reference rates and which was effective as of March 12, 2020 through December 31, 2022. ASU 2022-06 extends the effective period through December 31, 2024. Management is currently evaluating the impact, if any, of applying ASU 2022-06.

NOTE J

Subsequent Events

Management has evaluated subsequent events for possible recognition or disclosure in the financial statements through the date the financial statements are issued. Management has determined that there are no material events that would require disclosure in the Fund’s financial statements through this date.

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FINANCIAL HIGHLIGHTS

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

	Class A
	Year Ended October 31,
	2023			2022			2021			2020			2019
Net asset value, beginning of period		$  6.19			$  7.89			$  7.96			$  7.98			$  7.49
Income From Investment Operations
Net investment income(a)(b)		.28			.23			.24			.26			.31
Net realized and unrealized gain (loss) on investment and foreign currency transactions		(.16	)		(1.69	)		(.04	)		.02	(c)		.53
Contributions from Affiliates		– 0	–		– 0	–		.00	(d)		– 0	–		.00	(d)
Net increase (decrease) in net asset value from operations		.12			(1.46	)		.20			.28			.84
Less: Dividends and Distributions
Dividends from net investment income		(.26	)		(.24	)		(.27	)		(.30	)		(.30	)
Return of capital		(.05	)		– 0	–		– 0	–		– 0	–		(.05	)
Total dividends and distributions		(.31	)		(.24	)		(.27	)		(.30	)		(.35	)
Net asset value, end of period		$  6.00			$  6.19			$  7.89			$  7.96			$  7.98
Total Return
Total investment return based on net asset value(e)*		1.76	%		(18.83	)%		2.48	%		3.55	%		11.50	%
Ratios/Supplemental Data
Net assets, end of period (000’s omitted)		$126,078			$159,887			$265,990			$289,619			$240,567
Ratio to average net assets of:
Expenses, net of waivers/reimbursements(f)		1.81	%		1.04	%		.79	%		.78	%		.77	%
Expenses, before waivers/reimbursements(f)		1.86	%		1.08	%		.80	%		.80	%		.83	%
Net investment income(b)		4.30	%		3.15	%		3.04	%		3.24	%		4.02	%
Portfolio turnover rate**		231	%		167	%		166	%		246	%		270	%

See footnote summary on page 94.

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FINANCIAL HIGHLIGHTS (continued)

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

	Class C
	Year Ended October 31,
	2023			2022			2021			2020			2019
Net asset value, beginning of period		$  6.20			$  7.90			$  7.97			$  7.99			$  7.50
Income From Investment Operations
Net investment income(a)(b)		.23			.17			.18			.20			.25
Net realized and unrealized gain (loss) on investment and foreign currency transactions		(.16	)		(1.68	)		(.04	)		.02	(c)		.53
Contributions from Affiliates		– 0	–		– 0	–		.00	(d)		– 0	–		.00	(d)
Net increase (decrease) in net asset value from operations		.07			(1.51	)		.14			.22			.78
Less: Dividends and Distributions
Dividends from net investment income		(.22	)		(.19	)		(.21	)		(.24	)		(.25	)
Return of capital		(.04	)		– 0	–		– 0	–		– 0	–		(.04	)
Total dividends and distributions		(.26	)		(.19	)		(.21	)		(.24	)		(.29	)
Net asset value, end of period		$  6.01			$  6.20			$  7.90			$  7.97			$  7.99
Total Return
Total investment return based on net asset value(e)*		1.00	%		(19.41	)%		1.71	%		2.77	%		10.65	%
Ratios/Supplemental Data
Net assets, end of period (000’s omitted)		$85,418			$113,982			$194,363			$217,968			$164,413
Ratio to average net assets of:
Expenses, net of waivers/reimbursements(f)		2.54	%		1.79	%		1.54	%		1.53	%		1.52	%
Expenses, before waivers/reimbursements(f)		2.60	%		1.82	%		1.55	%		1.55	%		1.57	%
Net investment income(b)		3.57	%		2.39	%		2.29	%		2.49	%		3.21	%
Portfolio turnover rate**		231	%		167	%		166	%		246	%		270	%

See footnote summary on page 94.

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FINANCIAL HIGHLIGHTS (continued)

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

	Advisor Class
	Year Ended October 31,
	2023			2022			2021			2020			2019
Net asset value, beginning of period		$  6.20			$  7.90			$  7.97			$  7.99			$  7.50
Income From Investment Operations
Net investment income(a)(b)		.29			.24			.26			.27			.33
Net realized and unrealized gain (loss) on investment and foreign currency transactions		(.15	)		(1.68	)		(.04	)		.03	(c)		.53
Contributions from Affiliates		– 0	–		– 0	–		.00	(d)		– 0	–		.00	(d)
Net increase (decrease) in net asset value from operations		.14			(1.44	)		.22			.30			.86
Less: Dividends and Distributions
Dividends from net investment income		(.27	)		(.26	)		(.29	)		(.32	)		(.31	)
Return of capital		(.06	)		– 0	–		– 0	–		– 0	–		(.06	)
Total dividends and distributions		(.33	)		(.26	)		(.29	)		(.32	)		(.37	)
Net asset value, end of period		$  6.01			$  6.20			$  7.90			$  7.97			$  7.99
Total Return
Total investment return based on:
Net asset value(e)*		2.02	%		(18.60	)%		2.73	%		3.80	%		11.76	%
Ratios/Supplemental Data
Net assets, end of period (000,000’s omitted)		$2,172			$2,334			$4,152			$4,097			$3,562
Ratio to average net assets of:
Expenses, net of waivers/reimbursements(f)		1.55	%		.79	%		.54	%		.53	%		.52	%
Expenses, before waivers/reimbursements(f)		1.61	%		.82	%		.55	%		.55	%		.58	%
Net investment income(b)		4.54	%		3.38	%		3.28	%		3.48	%		4.24	%
Portfolio turnover rate**		231	%		167	%		166	%		246	%		270	%

See footnote summary on page 94.

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FINANCIAL HIGHLIGHTS (continued)

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

	Class Z
	Year Ended October 31,									November 20, 2019(g) to October 31, 2020
	2023			2022			2021
Net asset value, beginning of period		$  6.20			$  7.90			$  7.97			$  7.97
Income From Investment Operations
Net investment income(a)(b)		.29			.25			.27			.27
Net realized and unrealized gain (loss) on investment and foreign currency transactions		(.15	)		(1.69	)		(.05	)		.03	(c)
Net increase (decrease) in net asset value from operations		.14			(1.44	)		.22			.30
Less: Dividends and Distributions
Dividends from net investment income		(.27	)		(.26	)		(.29	)		(.30	)
Return of Capital		(.06	)		– 0	–		– 0	–		– 0	–
Total dividends and distributions		(.33	)		(.26	)		(.29	)		(.30	)
Net asset value, end of period		$  6.01			$  6.20			$  7.90			$  7.97
Total Return
Total investment return based on net asset value(e)*		2.02	%		(18.57	)%		2.78	%		3.89	%
Ratios/Supplemental Data
Net assets, end of period (000’s omitted)		$18,861			$21,026			$30,118			$18,492
Ratio to average net assets of:
Expenses, net of waivers/reimbursements(f)		1.55	%		.78	%		.49	%		.48	%^
Expenses, before waivers/reimbursements(f)		1.55	%		.78	%		.49	%		.48	%^
Net investment income(b)		4.56	%		3.44	%		3.32	%		3.49	%^
Portfolio turnover rate**		231	%		167	%		166	%		246	%

See footnote summary on page 94.

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FINANCIAL HIGHLIGHTS (continued)

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

(a) Based on average shares outstanding.

(b) Net of expenses waived/reimbursed by the Adviser.

(c) Due to timing of sales and repurchase of capital shares, the net realized and unrealized gain (loss) per share is not in accordance with the Fund’s change in net realized and unrealized gain (loss) on investment transactions for the period.

(d) Amount is less than $.005.

(e) Total investment return is calculated assuming an initial investment made at the net asset value at the beginning of the period, reinvestment of all dividends and distributions at net asset value during the period, and redemption on the last day of the period. Initial sales charges or contingent deferred sales charges are not reflected in the calculation of total investment return. Total return does not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of fund shares. Total investment return calculated for a period of less than one year is not annualized.

(f) The expense ratios, excluding interest expense are:

	Year Ended October 31,
	2023			2022			2021			2020			2019
Class A
Net of waivers/reimbursements		.77	%		.77	%		.77	%		.77	%		.77	%
Before waivers/reimbursements		.83	%		.80	%		.78	%		.79	%		.82	%
Class C
Net of waivers/reimbursements		1.52	%		1.52	%		1.52	%		1.52	%		1.52	%
Before waivers/reimbursements		1.58	%		1.55	%		1.53	%		1.54	%		1.57	%
Advisor Class
Net of waivers/reimbursements		.52	%		.52	%		.52	%		.52	%		.52	%
Before waivers/reimbursements		.58	%		.55	%		.53	%		.54	%		.57	%
Class Z
Net of waivers/reimbursements		.51	%		.49	%		.47	%		.46	%		N/A
Before waivers/reimbursements		.52	%		.49	%		.47	%		.46	%		N/A

(g) Commencement of distributions.

* Includes the impact of proceeds received by the Fund in connection with a trade-error reimbursement from the Adviser, which enhanced performance by .04% for the year ended October 31, 2021.

** The Fund accounts for dollar roll transactions as purchases and sales.

^ Annualized.

See notes to financial statements.

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REPORT OF INDEPENDENT REGISTERED

PUBLIC ACCOUNTING FIRM

To the Board of Directors and Shareholders of AB Income Fund

Opinion on the Financial Statements

We have audited the accompanying statement of assets and liabilities of AB Income Fund (the “Fund”) (one of the portfolios constituting AB Bond Fund, Inc. (the “Company”)), including the portfolio of investments, as of October 31, 2023, and the related statements of operations and cash flows for the year then ended, the statements of changes in net assets for each of the two years in the period then ended, the financial highlights for each of the five years in the period then ended, and the related notes (collectively referred to as the “financial statements”). In our opinion, the financial statements present fairly, in all material respects, the financial position of the Fund (one of the portfolios constituting AB Bond Fund, Inc.) at October 31, 2023, the results of its operations and its cash flows for the year then ended, the changes in its net assets for each of the two years in the period then ended and its financial highlights for each of the five years in the period then ended, in conformity with U.S. generally accepted accounting principles.

Basis for Opinion

These financial statements are the responsibility of the Company’s management. Our responsibility is to express an opinion on the Fund’s financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (“PCAOB”) and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. The Company is not required to have, nor were we engaged to perform, an audit of the Company’s internal control over financial reporting. As part of our audits, we are required to obtain an understanding of internal control over financial reporting but not for the purpose of expressing an opinion on the effectiveness of the Company’s internal control over financial reporting. Accordingly, we express no such opinion.

Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and

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REPORT OF INDEPENDENT REGISTERED

PUBLIC ACCOUNTING FIRM (continued)

disclosures in the financial statements. Our procedures included confirmation of securities owned as of October 31, 2023, by correspondence with the custodian, brokers and others; when replies were not received from brokers or others, we performed other auditing procedures. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audits provide a reasonable basis for our opinion.

We have served as the auditor of one or more of the AB investment companies since 1968.

New York, New York

December 28, 2023

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BOARD OF DIRECTORS

Garry L. Moody⁽¹⁾, Chairman Jorge A. Bermudez⁽¹⁾ Michael J. Downey⁽¹⁾ Onur Erzan, President and Chief Executive Officer Nancy P. Jacklin⁽¹⁾ Jeanette W. Loeb⁽¹⁾ Carol C. McMullen⁽¹⁾ Marshall C. Turner, Jr.⁽¹⁾

OFFICERS

Scott A. DiMaggio⁽²⁾, Vice President Gershon M. Distenfeld⁽²⁾, Vice President Fahd Malik⁽²⁾, Vice President Matthew S. Sheridan⁽²⁾, Vice President William Smith⁽²⁾, Vice President Nancy E. Hay, Secretary Michael B. Reyes, Senior Vice President Stephen M. Woetzel, Treasurer and Chief Financial Officer Phyllis J. Clarke, Controller
Jennifer Friedland, Chief Compliance Officer

Custodian and Accounting Agent State Street Bank and Trust Company One Congress Street, Suite 1 Boston, MA 02114   Principal Underwriter AllianceBernstein Investments, Inc. 501 Commerce Street Nashville, TN 37203   Transfer Agent AllianceBernstein Investor Services, Inc. P.O. Box 786003 San Antonio, TX 78278 Toll-Free (800) 221-5672 Independent Registered Public Accounting Firm Ernst & Young LLP One Manhattan West
New York, NY 10001   Legal Counsel Seward & Kissel LLP One Battery Park Plaza New York, NY 10004

1 Member of the Audit Committee, the Governance and Nominating Committee and the Independent Directors Committee.

2 The day-to-day management of, and investment decisions for, the Fund’s portfolio are made by the Adviser’s U.S. Investment Grade: Core Fixed Income Investment Team. Messrs. DiMaggio, Distenfeld, Malik, Sheridan and Smith are the investment professionals with the most significant responsibility for the day-to-day management of the Fund’s portfolio.

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MANAGEMENT OF THE FUND

Board of Directors Information

The business and affairs of the Fund are managed under the direction of the Board of Directors. Certain information concerning the Fund’s Directors is set forth below.

NAME, ADDRESS*, AGE, (YEAR FIRST ELECTED**)	PRINCIPAL OCCUPATION(S) DURING PAST FIVE YEARS AND OTHER INFORMATION***	PORTFOLIOS IN AB FUND COMPLEX OVERSEEN BY DIRECTOR		OTHER PUBLIC COMPANY DIRECTORSHIPS CURRENTLY HELD BY DIRECTOR
INTERESTED DIRECTOR
Onur Erzan,# 1345 Avenue of the Americas New York, NY 10105 47 (2021)	Senior Vice President of AllianceBernstein L.P. (the “Adviser”), Head of Global Client Group and Head of Private Wealth. He oversees AB’s entire private wealth management business and third-party institutional and retail franchise, where he is responsible for all client services, sales and marketing, as well as product strategy, management and development worldwide. Director, President and Chief Executive Officer of the AB Mutual Funds as of April 1, 2021. He is also a member of the Equitable Holdings Management Committee. Prior to joining the firm in January 2021, he spent over 19 years with McKinsey (management consulting firm), most recently as a senior partner and co-leader of its Wealth & Asset Management practice. In addition, he co-led McKinsey’s Banking & Securities Solutions (a portfolio of data, analytics, digital assets and capabilities) globally.		82	None

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MANAGEMENT OF THE FUND (continued)

NAME, ADDRESS*, AGE, (YEAR FIRST ELECTED**)	PRINCIPAL OCCUPATION(S) DURING PAST FIVE YEARS AND OTHER INFORMATION***	PORTFOLIOS IN AB FUND COMPLEX OVERSEEN BY DIRECTOR		OTHER PUBLIC COMPANY DIRECTORSHIPS CURRENTLY HELD BY DIRECTOR
DISINTERESTED DIRECTORS
Garry L. Moody,## Chairman of the Board 71 (2015)	Private Investor since prior to 2018. Formerly, Partner, Deloitte & Touche LLP (1995-2008) where he held a number of senior positions, including Vice Chairman, and U.S. and Global Investment Management Practice Managing Partner; President, Fidelity Accounting and Custody Services Company (1993-1995), where he was responsible for accounting, pricing, custody and reporting for the Fidelity mutual funds; and Partner, Ernst & Young LLP (1975-1993), where he served as the National Director of Mutual Fund Tax Services and Managing Partner of its Chicago Office Tax department. He served as a member of the Investment Company Institute’s Board of Governors and the Independent Directors Council’s Governing Council from October 2019 through September 2023, where he also served as Chairman of the Governance Committee from October 2021 through September 2023. He is Chairman of the AB Funds and Chairman of the Independent Directors Committees since January 2023; he has served as a director or trustee since 2008, and served as Chairman of the Audit Committee of such funds from 2008 to February 2023.		82	None

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MANAGEMENT OF THE FUND (continued)

NAME, ADDRESS*, AGE, (YEAR FIRST ELECTED**)	PRINCIPAL OCCUPATION(S) DURING PAST FIVE YEARS AND OTHER INFORMATION***	PORTFOLIOS IN AB FUND COMPLEX OVERSEEN BY DIRECTOR		OTHER PUBLIC COMPANY DIRECTORSHIPS CURRENTLY HELD BY DIRECTOR
DISINTERESTED DIRECTORS (continued)
Jorge A. Bermudez,## 72 (2020)	Private Investor since prior to 2018. Formerly, Chief Risk Officer of Citigroup, Inc., a global financial services company, from November 2007 to March 2008; Chief Executive Officer of Citigroup’s Commercial Business Group in North America and Citibank Texas from 2005 to 2007; and a variety of other executive and leadership roles at various businesses within Citigroup prior to then; Chairman (2018) of the Texas A&M Foundation Board of Trustees (Trustee since 2013) and Chairman of the Smart Grid Center Board at Texas A&M University since 2012; director of, among others, Citibank N.A. from 2005 to 2008, the Federal Reserve Bank of Dallas, Houston Branch from 2009 to 2011, the Federal Reserve Bank of Dallas from 2011 to 2017, and the Electric Reliability Council of Texas from 2010 to 2016; and Chair of the Audit Committee of the Board of Directors of Moody’s Corporation since December 2022. He has served as director or trustee of the AB Funds since January 2020.		82	Moody’s Corporation since April 2011

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MANAGEMENT OF THE FUND (continued)

NAME, ADDRESS*, AGE, (YEAR FIRST ELECTED**)	PRINCIPAL OCCUPATION(S) DURING PAST FIVE YEARS AND OTHER INFORMATION***	PORTFOLIOS IN AB FUND COMPLEX OVERSEEN BY DIRECTOR		OTHER PUBLIC COMPANY DIRECTORSHIPS CURRENTLY HELD BY DIRECTOR
DISINTERESTED DIRECTORS (continued)
Michael J. Downey,## 79 (2015)	Private Investor since prior to 2018. Formerly, Chairman of The Asia Pacific Fund, Inc. (registered investment company) since prior to 2018 until January 2019. From 1987 until 1993, Chairman and CEO of Prudential Mutual Fund Management, director of the Prudential mutual funds, and member of the Executive Committee of Prudential Securities Inc. He has served as a director or trustee of the AB Funds since 2005.		82	None
Nancy P. Jacklin,## 75 (2015)	Private Investor since prior to 2018. Professorial Lecturer at the Johns Hopkins School of Advanced International Studies (2008-2015). U.S. Executive Director of the International Monetary Fund (which is responsible for ensuring the stability of the international monetary system), (December 2002-May 2006); Partner, Clifford Chance (1992-2002); Sector Counsel, International Banking and Finance, and Associate General Counsel, Citicorp (1985-1992); Assistant General Counsel (International), Federal Reserve Board of Governors (1982-1985); and Attorney Advisor, U.S. Department of the Treasury (1973-1982). Member of the Bar of the District of Columbia and of New York; and member of the Council on Foreign Relations. She has served as a director or trustee of the AB Funds since 2006 and served as Chair of the Governance and Nominating Committees of the AB Funds from 2014 to August 2023.		82	None

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MANAGEMENT OF THE FUND (continued)

NAME, ADDRESS*, AGE, (YEAR FIRST ELECTED**)	PRINCIPAL OCCUPATION(S) DURING PAST FIVE YEARS AND OTHER INFORMATION***	PORTFOLIOS IN AB FUND COMPLEX OVERSEEN BY DIRECTOR		OTHER PUBLIC COMPANY DIRECTORSHIPS CURRENTLY HELD BY DIRECTOR
DISINTERESTED DIRECTORS (continued)
Jeanette W. Loeb,## 71 (2020)	Private Investor since prior to 2018. Director of New York City Center since 2005. Formerly, Chief Executive Officer of PetCareRx (e-commerce pet pharmacy) from 2002 to 2011 and 2015 to April 2023. She was a director of Apollo Investment Corp. (business development company) from August 2011 to July 2023 and a director of AB Multi-Manager Alternative Fund (fund of hedge funds) from 2012 to 2018. Formerly, affiliated with Goldman Sachs Group, Inc. (financial services) from 1977 to 1994, including as a partner thereof from 1986 to 1994. She has served as director or trustee of the AB Funds since April 2020 and serves as Chair of the Governance and Nominating Committees of the AB Funds since August 2023.		82	None

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MANAGEMENT OF THE FUND (continued)

NAME, ADDRESS*, AGE, (YEAR FIRST ELECTED**)	PRINCIPAL OCCUPATION(S) DURING PAST FIVE YEARS AND OTHER INFORMATION***	PORTFOLIOS IN AB FUND COMPLEX OVERSEEN BY DIRECTOR		OTHER PUBLIC COMPANY DIRECTORSHIPS CURRENTLY HELD BY DIRECTOR
DISINTERESTED DIRECTORS (continued)
Carol C. McMullen,## 68 (2016)	Private Investor and a member of the Advisory Board of Butcher Box (since 2018) and serves as Advisory Board Chair as of June 2023. Formerly, Managing Director of Slalom Consulting (consulting) from 2014 until July 2023; member, Mass General Brigham (formerly, Partners Healthcare) Investment Committee (2010-2019); Director of Norfolk & Dedham Group (mutual property and casualty insurance) from 2011 until November 2016; Director of Partners Community Physicians Organization (healthcare) from 2014 until December 2016; and Managing Director of The Crossland Group (consulting) from 2012 to 2013. She has held a number of senior positions in the asset and wealth management industries, including at Eastern Bank (where her roles included President of Eastern Wealth Management), Thomson Financial (Global Head of Sales for Investment Management), and Putnam Investments (where her roles included Chief Investment Officer, Core and Growth and Head of Global Investment Research). She has served on a number of private company and non-profit boards, and as a director or trustee of the AB Funds since June 2016 and serves as Chair of the Audit Committees of such funds since February 2023.		82	None

abfunds.com AB INCOME FUND    ^|     103

MANAGEMENT OF THE FUND (continued)

NAME, ADDRESS*, AGE, (YEAR FIRST ELECTED**)	PRINCIPAL OCCUPATION(S) DURING PAST FIVE YEARS AND OTHER INFORMATION***	PORTFOLIOS IN AB FUND COMPLEX OVERSEEN BY DIRECTOR		OTHER PUBLIC COMPANY DIRECTORSHIPS CURRENTLY HELD BY DIRECTOR
DISINTERESTED DIRECTORS (continued)
Marshall C. Turner, Jr.,## 82 (2015)	Private Investor since prior to 2018. He was a Director of Xilinx, Inc. (programmable logic semi-conductors and adaptable, intelligent computing) from 2007 through August 2020, and is a former director of 33 other companies and organizations. Former Chairman and CEO of Dupont Photomasks, Inc. (semi-conductor manufacturing equipment) from 2003 through 2006. He has extensive operating leadership and venture capital investing experience, including five interim or full-time CEO roles, and prior service as general partner of institutional venture capital partnerships. He also has extensive non-profit board leadership experience, and currently serves on the board of the George Lucas Educational Foundation. He has served as a director of one AB Fund since 1992, and director or trustee of all the AB Funds since 2005. He has served as both Chairman of the AB Funds and Chairman of the Independent Directors Committees from 2014 through December 2022.		82	None

* The address for each of the Fund’s disinterested Directors is c/o AllianceBernstein L.P., Attention: Legal & Compliance Dept. Mutual Fund Legal, 1345 Avenue of the Americas, New York, NY 10105

** There is no stated term of office for the Fund’s Directors.

*** The information above includes each Director’s principal occupation during the last five years and other information relating to the experience, attributes, and skills relevant to each Director’s qualifications to serve as a Director, which led to the conclusion that each Director should serve as a Director for the Fund.

# Mr. Erzan is an “interested person” of the Fund, as defined in the 1940 Act, due to this position as a Senior Vice President of the Adviser.

## Member of the Audit Committee, the Governance and Nominating Committee and the Independent Directors Committee.

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MANAGEMENT OF THE FUND (continued)

Officer Information

Certain information concerning the Fund’s Officers is listed below.

NAME, ADDRESS* AND AGE	POSITION(S) HELD WITH FUND	PRINCIPAL OCCUPATION DURING PAST FIVE YEARS
Onur Erzan 47	President and Chief Executive Officer	See biography above.
Scott A. DiMaggio 52	Vice President	Senior Vice President of the Adviser**, with which he has been associated since prior to 2018. He is also co-Head of Fixed-Income.
Gershon M. Distenfeld 47	Vice President	Senior Vice President of the Adviser**, with which he has been associated since prior to 2018. He is also co-Head of Fixed Income.
Fahd Malik 39	Vice President	Senior Vice President of the Adviser**, with which he has been associated since prior to 2018.
Matthew S. Sheridan 47	Vice President	Senior Vice President of the Adviser**, with which he has been associated since prior to 2018. He is also Director – US Multi-Sector Fixed Income.
William Smith 36	Vice President	Senior Vice President of the Adviser**, with which he has been associated since prior to 2018. He is also Director of US High Yield Credit.
Nancy E. Hay 51	Secretary	Senior Vice President and Counsel of the Adviser**, with which she has been associated since prior to 2018 and Assistant Secretary of ABI**.
Michael B. Reyes 47	Senior Vice President	Vice President of the Adviser**, with which has been associated since prior to 2018.
Stephen M. Woetzel 52	Treasurer and Chief Financial Officer	Senior Vice President of ABIS**, with which he has been associated since prior to 2018.
Phyllis J. Clarke 62	Controller	Vice President of ABIS**, with which she has been associated since prior to 2018.
Jennifer Friedland 49	Chief Compliance Officer	Vice President of the Adviser** since 2020 and Mutual Fund Chief Compliance Officer (of all Funds since January 2023 and of the ETF Funds since 2022). Before joining the Adviser** in 2020, she was Chief Compliance Officer at WestEnd Advisors, LLC from prior to 2018 until 2019.

* The address for each of the Fund’s Officers is 1345 Avenue of the Americas, New York, NY 10105.

** The Adviser, ABI and ABIS are affiliates of the Fund.

The Fund’s Statement of Additional Information (“SAI”) has additional information about the Fund’s Directors and Officers and is available without charge upon request. Contact your financial representative or AB at (800) 227-4618, or visit www.abfunds.com for a free prospectus or SAI.

abfunds.com AB INCOME FUND    ^|     105

Operation and Effectiveness of the Fund’s Liquidity Risk Management Program:

In October 2016, the Securities and Exchange Commission (“SEC”) adopted the open-end fund liquidity rule (the “Liquidity Rule”). In June 2018 the SEC adopted a requirement that funds disclose information about the operation and effectiveness of their Liquidity Risk Management Program (“LRMP”) in their reports to shareholders.

One of the requirements of the Liquidity Rule is for the Fund to designate an Administrator of the Fund’s Liquidity Risk Management Program. The Administrator of the Fund’s LRMP is AllianceBernstein L.P., the Fund’s investment adviser (the “Adviser”). The Adviser has delegated the responsibility to its Liquidity Risk Management Committee (the “Committee”).

Another requirement of the Liquidity Rule is for the Fund’s Board of Directors (the “Fund Board”) to receive an annual written report from the Administrator of the LRMP, which addresses the operation of the Fund’s LRMP and assesses its adequacy and effectiveness. The Adviser provided the Fund Board with such annual report during the first quarter of 2023, which covered the period January 1, 2022 through December 31, 2022 (the “Program Reporting Period”).

The LRMP’s principal objectives include supporting the Fund’s compliance with limits on investments in illiquid assets and mitigating the risk that the Fund will be unable to meet its redemption obligations in a timely manner.

Pursuant to the LRMP, the Fund classifies the liquidity of its portfolio investments into one of the four categories defined by the SEC: Highly Liquid, Moderately Liquid, Less Liquid, and Illiquid. These classifications are reported to the SEC on Form N-PORT.

During the Program Reporting Period, the Committee reviewed whether the Fund’s strategy is appropriate for an open-end structure, incorporating any holdings of less liquid and illiquid assets. If the Fund participated in derivative transactions, the exposure from such transactions were considered in the LRMP.

The Committee also performed an analysis to determine whether the Fund is required to maintain a Highly Liquid Investment Minimum (“HLIM”). The Committee also incorporated the following information when determining the Fund’s reasonably anticipated trading size for purposes of liquidity monitoring: historical net redemption activity, a Fund’s concentration in an issuer, shareholder concentration, investment performance, total net assets, and distribution channels.

The Adviser informed the Fund Board that the Committee believes the Fund’s LRMP is adequately designed, has been implemented as intended, and has operated effectively since its inception. No material exceptions

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have been noted since the implementation of the LRMP. During the Program Reporting Period, liquidity in all markets was challenged due to rising rates and economic uncertainty. However, markets also remained orderly during the Program Reporting Period. There were no liquidity events that impacted the Fund or its ability to timely meet redemptions during the Program Reporting Period.

abfunds.com AB INCOME FUND    ^|    107

Information Regarding the Review and Approval of the Fund’s Advisory Agreement

The disinterested directors (the “directors”) of AB Bond Fund, Inc. (the “Company”) unanimously approved the continuance of the Company’s Advisory Agreement with the Adviser in respect of AB Income Fund (the “Fund”) at a meeting held in-person on August 1-2, 2023 (the “Meeting”).

Prior to approval of the continuance of the Advisory Agreement, the directors had requested from the Adviser, and received and evaluated, extensive materials. They reviewed the proposed continuance of the Advisory Agreement with the Adviser and with experienced counsel who are independent of the Adviser, who advised on the relevant legal standards. The directors also reviewed additional materials, including comparative analytical data prepared by the Senior Vice President of the Fund. The directors also discussed the proposed continuance in private sessions with counsel.

The directors considered their knowledge of the nature and quality of the services provided by the Adviser to the Fund gained from their experience as directors or trustees of most of the registered investment companies advised by the Adviser, their overall confidence in the Adviser’s integrity and competence they have gained from that experience, the Adviser’s initiative in identifying and raising potential issues with the directors and its responsiveness, frankness and attention to concerns raised by the directors in the past, including the Adviser’s willingness to consider and implement organizational and operational changes designed to improve investment results and the services provided to the AB Funds. The directors noted that they have four regular meetings each year, at each of which they review extensive materials and information from the Adviser, including information on the investment performance of the Fund and the money market fund advised by the Adviser in which the Fund invests a portion of its assets.

The directors also considered all factors they believed relevant, including the specific matters discussed below. During the course of their deliberations, the directors evaluated, among other things, the reasonableness of the advisory fee. The directors did not identify any particular information that was all-important or controlling, and different directors may have attributed different weights to the various factors. The directors determined that the selection of the Adviser to manage the Fund and the overall arrangements between the Fund and the Adviser, as provided in the Advisory Agreement, including the advisory fee, were fair and reasonable in light of the services performed, expenses incurred and such other matters as the directors considered relevant in the exercise of their business judgment. The material factors and conclusions that formed the basis for the directors’ determinations included the following:

Nature, Extent and Quality of Services Provided

The directors considered the scope and quality of services provided by the Adviser under the Advisory Agreement, including the quality of the

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investment research capabilities of the Adviser and the other resources it has dedicated to performing services for the Fund. The directors noted that the Adviser from time to time reviews the Fund’s investment strategies and from time to time proposes changes intended to improve the Fund’s relative or absolute performance for the directors’ consideration. They also noted the professional experience and qualifications of the Fund’s portfolio management team and other senior personnel of the Adviser. The directors also considered that the Advisory Agreement provides that the Fund will reimburse the Adviser for the cost to it of providing certain clerical, accounting, administrative and other services to the Fund by employees of the Adviser or its affiliates. Requests for these reimbursements are made on a quarterly basis and subject to approval by the directors. Reimbursements, to the extent requested and paid, result in a higher rate of total compensation from the Fund to the Adviser than the fee rate stated in the Advisory Agreement. The directors noted that the methodology used to determine the reimbursement amounts had been reviewed by an independent consultant at the request of the directors. The quality of administrative and other services, including the Adviser’s role in coordinating the activities of the Fund’s other service providers, also was considered. The directors concluded that, overall, they were satisfied with the nature, extent and quality of services provided to the Fund under the Advisory Agreement.

Costs of Services Provided and Profitability

The directors reviewed a schedule of the revenues and expenses and related notes indicating the profitability of the Fund to the Adviser for calendar years 2021 and 2022 that had been prepared with an expense allocation methodology arrived at in consultation with an independent consultant at the request of the directors. The directors noted the assumptions and methods of allocation used by the Adviser in preparing fund-specific profitability data and understood that there are a number of potentially acceptable allocation methodologies for information of this type. The directors noted that the profitability information reflected all revenues and expenses of the Adviser’s relationship with the Fund, including those relating to its subsidiaries that provide transfer agency, distribution and brokerage services to the Fund. The directors recognized that it is difficult to make comparisons of the profitability of the Advisory Agreement with the profitability of fund advisory contracts for unaffiliated funds because comparative information is not generally publicly available and is affected by numerous factors. The directors focused on the profitability of the Adviser’s relationship with the Fund before taxes and distribution expenses. The directors concluded that the Adviser’s level of profitability from its relationship with the Fund was not unreasonable.

Fall-Out Benefits

The directors considered the other benefits to the Adviser and its affiliates from their relationships with the Fund and the money market fund advised

abfunds.com AB INCOME FUND    ^|    109

by the Adviser in which the Fund invests, including, but not limited to, benefits relating to 12b-1 fees and sales charges received by the Fund’s principal underwriter (which is a wholly owned subsidiary of the Adviser) in respect of certain classes of the Fund’s shares; and transfer agency fees paid by the Fund to a wholly owned subsidiary of the Adviser. The directors recognized that the Adviser’s profitability would be somewhat lower without these benefits. The directors understood that the Adviser also might derive reputational and other benefits from its association with the Fund.

Investment Results

In addition to the information reviewed by the directors in connection with the Meeting, the directors receive detailed performance information for the Fund at each regular Board meeting during the year.

At the Meeting, the directors reviewed performance information prepared by an independent service provider (the “15(c) service provider”), showing the performance of the Advisor Class shares of the Fund against a group of similar funds (“peer group”) and a larger group of similar funds (“peer universe”), each selected by the 15(c) service provider, and information prepared by the Adviser showing performance of the Advisor Class shares against a broad-based securities market index, in each case for the 1-, 3-, 5-and 10-year periods ended May 31, 2023 and (in the case of comparisons with the broad-based securities market index) for the period from inception. Based on their review and their discussion with the Adviser of the reasons for the Fund’s underperformance in the periods reviewed, the directors concluded that the Fund’s investment performance was acceptable. The directors determined to continue to monitor the Fund’s performance closely.

Advisory Fees and Other Expenses

The directors considered the advisory fee rate payable by the Fund to the Adviser and information prepared by the 15(c) service provider concerning advisory fee rates payable by other funds in the same category as the Fund. The directors recognized that it is difficult to make comparisons of advisory fees because there are variations in the services that are included in the fees payable by other funds. The directors compared the Fund’s contractual effective advisory fee rate with a peer group median and noted that it was lower than the median. They also noted that the Adviser’s total rate of compensation, taking into account the impact of the administrative expense reimbursement paid to the Adviser in the latest fiscal year, was lower than the median.

The Adviser informed the directors that there were no institutional products managed by the Adviser that utilize investment strategies similar to those of the Fund.

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In connection with their review of the Fund’s advisory fee, the directors also considered the total expense ratio of the Advisor Class shares of the Fund in comparison to the medians for a peer group and a peer universe selected by the 15(c) service provider. The Advisor Class expense ratio of the Fund was based on the Fund’s latest fiscal year and reflected the impact of the Adviser’s expense cap for the Fund. The directors noted that it was likely that the expense ratios of some of the other funds in the Fund’s category were lowered by waivers or reimbursements by those funds’ investment advisers, which in some cases might be voluntary or temporary. The directors view expense ratio information as relevant to their evaluation of the Adviser’s services because the Adviser is responsible for coordinating services provided to the Fund by others. The directors noted that the Fund’s expense ratio was above the medians. After reviewing and discussing the Adviser’s explanation for this, the directors concluded that the Fund’s expense ratio was acceptable.

Economies of Scale

The directors noted that the advisory fee schedule for the Fund contains breakpoints that reduce the fee rates on assets above specified levels and that the Fund’s net assets were higher than a breakpoint level. Accordingly, the Fund’s current effective advisory fee rate reflected a reduction due to the breakpoint and would be further reduced to the extent the net assets of the Fund increase. The directors took into consideration prior presentations by an independent consultant on economies of scale in the mutual fund industry and for the AB Funds, and presentations from time to time by the Adviser concerning certain of its views on economies of scale. The directors also had requested and received from the Adviser certain updates on economies of scale in advance of the Meeting. The directors believe that economies of scale may be realized (if at all) by the Adviser across a variety of products and services, and not only in respect of a single fund. The directors noted that there is no established methodology for setting breakpoints that give effect to the fund-specific services provided by a fund’s adviser and to the economies of scale that an adviser may realize in its overall mutual fund business or those components of it which directly or indirectly affect a fund’s operations. The directors observed that in the mutual fund industry as a whole, as well as among funds similar to the Fund, there is no uniformity or pattern in the fees and asset levels at which breakpoints (if any) apply. The directors also noted that the advisory agreements for many funds do not have breakpoints at all. Having taken these factors into account, the directors concluded that the Fund’s breakpoint arrangements were acceptable and provide a means for sharing any economies of scale.

abfunds.com AB INCOME FUND    ^|    111

This page is not part of the Shareholder Report or the Financial Statements.

AB FAMILY OF FUNDS

US EQUITY

CORE

Core Opportunities Fund

Select US Equity Portfolio

Sustainable US Thematic Portfolio

GROWTH

Concentrated Growth Fund

Discovery Growth Fund

Growth Fund

Large Cap Growth Fund

Small Cap Growth Portfolio

VALUE

Discovery Value Fund

Equity Income Fund

Relative Value Fund

Small Cap Value Portfolio

Value Fund

INTERNATIONAL/ GLOBAL EQUITY

CORE

Global Core Equity Portfolio

International Strategic Core Portfolio

Sustainable Global Thematic Fund

Sustainable International Thematic Fund

Tax-Managed Wealth Appreciation Strategy

Wealth Appreciation Strategy

GROWTH

Concentrated International Growth Portfolio

VALUE

All China Equity Portfolio

International Value Fund

FIXED INCOME

MUNICIPAL

High Income Municipal Portfolio

Intermediate California Municipal Portfolio

Intermediate Diversified Municipal Portfolio

Intermediate New York Municipal Portfolio

Municipal Bond Inflation Strategy

Tax-Aware Fixed Income Opportunities Portfolio

National Portfolio

Arizona Portfolio

California Portfolio

Massachusetts Portfolio

Minnesota Portfolio

New Jersey Portfolio

New York Portfolio

Ohio Portfolio

Pennsylvania Portfolio

Virginia Portfolio

TAXABLE

Bond Inflation Strategy

Global Bond Fund

High Income Fund

Income Fund

Intermediate Duration Portfolio

Limited Duration High Income Portfolio

Short Duration Income Portfolio

Short Duration Portfolio

Sustainable Thematic Credit Portfolio

Total Return Bond Portfolio

ALTERNATIVES

All Market Real Return Portfolio

Global Real Estate Investment Fund

Select US Long/Short Portfolio

MULTI-ASSET

All Market Total Return Portfolio

Emerging Markets Multi-Asset Portfolio

Global Risk Allocation Fund

Sustainable Thematic Balanced Portfolio

CLOSED-END FUNDS

AllianceBernstein Global High Income Fund

AllianceBernstein National Municipal Income Fund

EXCHANGE-TRADED FUNDS

Disruptors ETF

High Yield ETF

Tax-Aware Short Duration Municipal ETF

Ultra Short Income ETF

US High Dividend ETF

US Low Volatility Equity ETF

We also offer Government Money Market Portfolio, which serves as the money market fund exchange vehicle for the AB mutual funds. You could lose money by investing in the Fund. Although the Fund seeks to preserve the value of your investment at $1.00 per share, it cannot guarantee it will do so. The Fund may impose a fee upon sale of your shares or may temporarily suspend your ability to sell shares if the Fund’s liquidity falls below required minimums because of market conditions or other factors. An investment in the Fund is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. The Fund’s sponsor has no legal obligation to provide financial support to the Fund, and you should not expect that the sponsor will provide financial support to the Fund at any time.

Investors should consider the investment objectives, risks, charges and expenses of the Fund carefully before investing. For copies of our prospectus or summary prospectus, which contain this and other information, visit us online at www.abfunds.com or contact your AB representative. Please read the prospectus and/or summary prospectus carefully before investing.

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AB INCOME FUND

1345 Avenue of the Americas

New York, NY 10105

800 221 5672

IF-0151-1023                

OCT    ^10.31.23

ANNUAL REPORT

AB MUNICIPAL BOND INFLATION STRATEGY

Investment Products Offered •  Are Not FDIC Insured • May Lose Value • Are Not Bank Guaranteed

Investors should consider the investment objectives, risks, charges and expenses of the Fund carefully before investing. For copies of our prospectus or summary prospectus, which contain this and other information, visit us online at www.abfunds.com or contact your AB representative. Please read the prospectus and/or summary prospectus carefully before investing.

This shareholder report must be preceded or accompanied by the Fund’s prospectus for individuals who are not current shareholders of the Fund.

You may obtain a description of the Fund’s proxy voting policies and procedures, and information regarding how the Fund voted proxies relating to portfolio securities during the most recent 12-month period ended June 30, without charge. Simply visit AB’s website at www.abfunds.com, or go to the Securities and Exchange Commission’s (the “Commission”) website at www.sec.gov, or call AB at (800) 227 4618.

The Fund files its complete schedule of portfolio holdings with the Commission for the first and third quarters of each fiscal year as an exhibit to its reports on Form N-PORT. The Fund’s Form N-PORT reports are available on the Commission’s website at www.sec.gov. AB publishes full portfolio holdings for the Fund monthly at www.abfunds.com.

AllianceBernstein Investments, Inc. (ABI) is the distributor of the AB family of mutual funds. ABI is a member of FINRA and is an affiliate of AllianceBernstein L.P., the Adviser of the funds.

The [A/B] logo is a registered service mark of AllianceBernstein and AllianceBernstein^® is a registered service mark used by permission of the owner, AllianceBernstein L.P.

FROM THE PRESIDENT

Dear Shareholder,

We’re pleased to provide this report for the AB Municipal Bond Inflation Strategy (the “Fund”). Please review the discussion of Fund performance, the market conditions during the reporting period and the Fund’s investment strategy.

At AB, we’re striving to help our clients achieve better outcomes by:

⁺  Fostering diverse perspectives that give us a distinctive approach to navigating global capital markets

⁺  Applying differentiated investment insights through a connected global research network

⁺  Embracing innovation to design better ways to invest and leading-edge mutual-fund solutions

Whether you’re an individual investor or a multibillion-dollar institution, we’re putting our knowledge and experience to work for you every day.

For more information about AB’s comprehensive range of products and shareholder resources, please log on to www.abfunds.com.

Thank you for your investment in AB mutual funds—and for placing your trust in our firm.

Sincerely,

Onur Erzan

President and Chief Executive Officer, AB Mutual Funds

abfunds.com AB MUNICIPAL BOND INFLATION STRATEGY    ^|    1

ANNUAL REPORT

December 20, 2023

This report provides management’s discussion of fund performance for the AB Municipal Bond Inflation Strategy for the annual period ended October 31, 2023.

The Fund’s investment objective is to maximize real after-tax return for investors subject to federal income taxes, without undue risk to principal.

NAV RETURNS AS OF OCTOBER 31, 2023 (unaudited)

	6 Months		12 Months
AB MUNICIPAL BOND INFLATION STRATEGY
Class 1 Shares1		-1.95%		2.71%
Class 2 Shares1		-1.90%		2.81%
Class A Shares		-2.01%		2.60%
Class C Shares		-2.38%		1.83%
Advisor Class Shares2		-1.88%		2.85%
Bloomberg 1-10 Year TIPS Index		-2.72%		0.88%

1 Class 1 shares are only available to Bernstein Global Wealth Management private client accounts. Class 2 shares are only available to large Bernstein Global Wealth Management private client accounts and the Adviser’s institutional clients or through other limited arrangements.

2 Please note that this share class is for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or investment advisory clients of, and certain other persons associated with, the Adviser and its affiliates or the Fund.

INVESTMENT RESULTS

The table above shows the Fund’s performance compared with its benchmark, the Bloomberg 1-10 Year Treasury Inflation-Protected Securities (“TIPS”) Index, for the six- and 12-month periods ended October 31, 2023.

During both periods, all share classes of the Fund outperformed the benchmark, before sales charges. Municipal exposure, including an overweight to municipal credit, contributed, relative to the benchmark, for the 12-month period but detracted during the six-month period. Yield-curve positioning was the main contributor to performance during the six-month period. The use of Consumer Price Index (“CPI”) swaps underperformed taxable inflation-hedging alternatives during both periods.

During both periods, the Fund used derivatives in the form of interest rate swaps for hedging purposes, which had no material impact during the six-month period and added to performance over the 12-month period. Credit

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default swaps were used for hedging and investment purposes, which had no material impact on performance. CPI swaps were used for hedging purposes, which detracted over both periods.

MARKET REVIEW AND INVESTMENT STRATEGY

For the 12-month period ending October 31, 2023, the yield on a 10-Year AAA municipal bond rose to 3.61% from 3.34% and the yield on the 10-Year US Treasury rose to 4.91% from 4.06%. After-tax spreads widened on the short end of the curve, while spreads compressed five-years and out. This indicated that municipals became cheaper relative to Treasuries on the short end, while becoming more expensive on the intermediate and long part. Performance was particularly strong for the first 10 months of this period. However, worries that the US Federal Reserve would continue its policy tightening stance longer than anticipated caused a sell-off in September and October, leading to a moderate return over the 12-month period.

The Fund’s Senior Investment Management Team (the “Team”) continues to focus on after-tax return by investing in municipal bonds that generate income exempt from federal income taxes. In seeking to manage volatility and interest-rate risk, the Team focuses on intermediate-term bonds and seeks to provide inflation protection by entering into inflation swap agreements or investing in other inflation-protected instruments.

The Fund may purchase municipal securities that are insured under policies issued by certain insurance companies. Historically, insured municipal securities typically received a higher credit rating, which meant that the issuer of the securities paid a lower interest rate. As a result of declines in the credit quality and associated downgrades of most bond insurers, insurance has less value than it did in the past. In purchasing such insured securities, the Adviser evaluates the risk and return of municipal securities through its own research. If an insurance company’s rating is downgraded or the company becomes insolvent, the prices of municipal securities insured by the insurance company may decline. As of October 31, 2023, the Fund’s percentages of investments in municipal bonds that are insured and in insured municipal bonds that have been pre-refunded or escrowed to maturity were 3.02% and 0.00%, respectively.

INVESTMENT POLICIES

The Fund seeks real after-tax return for investors subject to federal income taxes. Real return is the rate of return after adjusting for inflation. The Fund pursues its objective by investing principally in high-quality, predominantly investment-grade, municipal securities that pay interest exempt from federal taxation. As a fundamental policy, the

(continued on next page)

abfunds.com AB MUNICIPAL BOND INFLATION STRATEGY    ^|    3

Fund will invest at least 80% of its net assets in municipal securities. These securities may be subject to the federal alternative minimum tax for some taxpayers.

The Fund will invest at least 80% of its total assets in fixed-income securities rated A or better or the equivalent by one or more nationally recognized statistical rating organizations (or deemed to be of comparable credit quality by the Adviser). The Fund may invest up to 20% of its total assets in below investment-grade fixed-income securities (“junk bonds”). If the rating of a fixed-income security falls below investment-grade, the Fund will not be obligated to sell the security and may continue to hold it if, in the Adviser’s opinion, the investment is appropriate under the circumstances.

The Fund may invest in fixed-income securities with any maturity and duration.

To provide inflation protection, the Fund will typically enter into inflation swaps. The Fund may use other inflation-indexed instruments. Payments to the Fund pursuant to swaps will result in taxable income, either ordinary income or capital gains, rather than income exempt from federal income taxation. It is expected that the Fund’s primary use of derivatives will be for the purpose of inflation protection.

The Fund may also invest in forward commitments; zero-coupon municipal securities and variable-, floating- and inverse-floating-rate municipal securities; certain types of mortgage-related securities; and derivatives, such as options, futures contracts, forwards and swaps.

The Fund may utilize leverage for investment purposes through the use of tender option bond (“TOB”) transactions. The Adviser considers the impact of TOB transactions, swaps and other derivatives in making its assessments of the Fund’s risks. The resulting exposures to markets, sectors, issuers or specific securities will be continuously monitored by the Adviser.

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DISCLOSURES AND RISKS

Benchmark Disclosure

The Bloomberg 1-10 Year TIPS Index is unmanaged and does not reflect fees and expenses associated with the active management of a mutual fund portfolio. The Bloomberg 1-10 Year TIPS Index represents the performance of inflation-protected securities issued by the US Treasury. An investor cannot invest directly in an index, and its results are not indicative of the performance for any specific investment, including the Fund.

A Word About Risk

Market Risk: The value of the Fund’s assets will fluctuate as the bond market fluctuates. The value of the Fund’s investments may decline, sometimes rapidly and unpredictably, simply because of economic changes or other events, including public health crises (including the occurrence of a contagious disease or illness) and regional and global conflicts, that affect large portions of the market.

Credit Risk: An issuer or guarantor of a fixed-income security, or the counterparty to a derivatives or other contract, may be unable or unwilling to make timely payments of interest or principal, or to otherwise honor its obligations. The issuer or guarantor may default, causing a loss of the full principal amount of a security and accrued interest. The degree of risk for a particular security may be reflected in its credit rating. There is the possibility that the credit rating of a fixed-income security may be downgraded after purchase, which may adversely affect the value of the security. Investments in fixed-income securities with lower ratings tend to have a higher probability that an issuer will default or fail to meet its payment obligations.

Municipal Market Risk: This is the risk that special factors may adversely affect the value of municipal securities and have a significant effect on the yield or value of the Fund’s investments in municipal securities. These factors include economic conditions, political or legislative changes, public health crises, uncertainties related to the tax status of municipal securities, and the rights of investors in these securities. To the extent that the Fund invests more of its assets in a particular state’s municipal securities, the Fund is vulnerable to events adversely affecting that state, including economic, political and regulatory occurrences, court decisions, terrorism, public health crises (including the occurrence of a contagious disease or illness) and catastrophic natural disasters, such as hurricanes, fires or earthquakes. For example, the novel coronavirus (COVID-19) pandemic has significantly stressed the financial resources of many issuers of municipal securities, which could impair any such issuer’s ability to meet its financial obligations when due and adversely impact the value of its securities held by the Fund. As the full effects of the COVID-19 pandemic on state and local economies and on issuers of municipal securities are still

abfunds.com AB MUNICIPAL BOND INFLATION STRATEGY    ^|    5

DISCLOSURES AND RISKS (continued)

uncertain, the financial difficulties of issuers of municipal securities may worsen, adversely affecting the performance of the Fund. The Fund’s investments in certain municipal securities with principal and interest payments that are made from the revenues of a specific project or facility, and not general tax revenues, may have increased risks. Factors affecting the project or facility, such as local business or economic conditions, could have a significant effect on the project’s ability to make payments of principal and interest on these securities.

In addition, changes in tax rates or the treatment of income from certain types of municipal securities, among other things, could negatively affect the municipal securities markets.

Interest-Rate Risk: Changes in interest rates will affect the value of investments in fixed-income securities. When interest rates rise, the value of existing investments in fixed-income securities tends to fall and this decrease in value may not be offset by higher income from new investments. Interest-rate risk is generally greater for fixed-income securities with longer maturities or durations. The Fund may be subject to a greater risk of rising interest rates than would normally be the case due to the recent end of a period of historically low rates and the effect of potential central bank monetary policy, and government fiscal policy, initiatives and resulting market reactions to those initiatives.

Duration Risk: Duration is a measure that relates the expected price volatility of a fixed-income security to changes in interest rates. The duration of a fixed-income security may be shorter than or equal to full maturity of a fixed-income security. Fixed-income securities with longer durations have more risk and will decrease in price as interest rates rise.

Inflation Risk: This is the risk that the value of assets or income from investments will be less in the future as inflation decreases the value of money. As inflation increases, the value of the Fund’s assets can decline as can the value of the Fund’s distributions. This risk is significantly greater for fixed-income securities with longer maturities.

Derivatives Risk: Derivatives may be difficult to price or unwind and leveraged so that small changes may produce disproportionate losses for the Fund. A short position in a derivative instrument involves the risk of a theoretically unlimited increase in the value of the underlying asset, which could cause the Fund to suffer a potentially unlimited loss. Derivatives, especially over-the-counter derivatives, are also subject to counterparty risk, which is the risk that the counterparty (the party on the other side of the transaction) on a derivative transaction will be unable or unwilling to honor its contractual obligations to the Fund.

6    ^|    AB MUNICIPAL BOND INFLATION STRATEGY abfunds.com

DISCLOSURES AND RISKS (continued)

Leverage Risk: To the extent the Fund uses leveraging techniques, such as TOB transactions, its net asset value (“NAV”) may be more volatile because leverage tends to exaggerate the effect of changes in interest rates and any increase or decrease in the value of the Fund’s investments.

Illiquid Investments Risk: Illiquid investments risk exists when certain investments are or become more difficult to purchase or sell. Difficulty in selling such investments may result in sales at disadvantageous prices affecting the value of your investment in the Fund. Causes of illiquid investments risk may include low trading volumes, large positions and heavy redemptions of Fund shares. Illiquid investments risk may be higher in a rising interest-rate environment, when the value and liquidity of fixed-income securities generally go down.

Management Risk: The Fund is subject to management risk because it is an actively managed investment fund. The Adviser will apply its investment techniques and risk analyses in making investment decisions, but there is no guarantee that its techniques will produce the intended results. Some of these techniques may incorporate, or rely upon, quantitative models, but there is no guarantee that these models will generate accurate forecasts, reduce risk or otherwise perform as expected.

These risks are fully discussed in the Fund’s prospectus. As with all investments, you may lose money by investing in the Fund.

An Important Note About Historical Performance

The investment return and principal value of an investment in the Fund will fluctuate, so that shares, when redeemed, may be worth more or less than their original cost. Performance shown in this report represents past performance and does not guarantee future results. Current performance may be lower or higher than the performance information shown. You may obtain performance information current to the most recent month-end by visiting www.abfunds.com. For Class 1 shares, go to www.bernstein.com and click on “Investments”, found in the footer, then “Mutual Fund Information—Mutual Fund Performance at a Glance.”

All fees and expenses related to the operation of the Fund have been deducted. NAV returns do not reflect sales charges; if sales charges were reflected, the Fund’s quoted performance would be lower. SEC returns reflect the applicable sales charges for each share class: a 3.00% maximum front-end sales charge for Class A shares and a 1% 1-year contingent deferred sales charge for Class C shares. Class 1 and 2 shares do not carry sales charges. Returns for the different share classes will vary due to different expenses associated with each class. Performance assumes reinvestment of distributions and does not account for taxes.

abfunds.com AB MUNICIPAL BOND INFLATION STRATEGY    ^|    7

HISTORICAL PERFORMANCE

GROWTH OF A $10,000 INVESTMENT IN THE FUND (unaudited)

10/31/2013 TO 10/31/2023

This chart illustrates the total value of an assumed $10,000 investment in AB Municipal Bond Inflation Strategy Class A shares (from 10/31/2013 to 10/31/2023) as compared to the performance of the Fund’s benchmark. The chart reflects the deduction of the maximum 3.00% sales charge from the initial $10,000 investment in the Fund and assumes the reinvestment of dividends and capital gains distributions.

8    ^|    AB MUNICIPAL BOND INFLATION STRATEGY abfunds.com

HISTORICAL PERFORMANCE (continued)

AVERAGE ANNUAL RETURNS AS OF OCTOBER 31, 2023 (unaudited)

	NAV Returns		SEC Returns (reflects applicable sales charges)		SEC Yields1		Taxable Equivalent Yields2
CLASS 1 SHARES3						3.66%		5.63%
1 Year		2.71%		2.71%
5 Years		2.59%		2.59%
10 Years		1.90%		1.90%
CLASS 2 SHARES3						3.76%		5.78%
1 Year		2.81%		2.81%
5 Years		2.69%		2.69%
10 Years		2.01%		2.01%
CLASS A SHARES						3.37%		5.18%
1 Year		2.60%		-0.51%
5 Years		2.45%		1.83%
10 Years		1.75%		1.44%
CLASS C SHARES						2.72%		4.18%
1 Year		1.83%		0.83%
5 Years		1.68%		1.68%
10 Years4		1.00%		1.00%
ADVISOR CLASS SHARES5						3.73%		5.74%
1 Year		2.85%		2.85%
5 Years		2.71%		2.71%
10 Years		2.02%		2.02%

The Fund’s current prospectus fee table shows the Fund’s total annual operating expense ratios as 0.64%, 0.55%, 0.82%, 1.58% and 0.58% for Class 1, Class 2, Class A, Class C and Advisor Class shares, respectively, gross of any fee waivers or expense reimbursements. Contractual fee waivers and/or expense reimbursements limited the Fund’s total annual operating expense ratios (excluding extraordinary expenses, interest expense, and acquired fund fees and expenses other than the advisory fees of any AB mutual funds in which the Fund may invest) to 0.60%, 0.50%, 0.75%, 1.50% and 0.50% for Class 1, Class 2, Class A, Class C and Advisor Class shares, respectively. These waivers/reimbursements may not be terminated prior to January 31, 2024, and may be extended by the Adviser for additional one-year terms. Absent reimbursements or waivers, performance would have been lower. The Financial Highlights section of this report sets forth expense ratio data for the current reporting period; the expense ratios shown above may differ from the expense ratios in the Financial Highlights section since they are based on different time periods.

1 SEC yields are calculated based on SEC guidelines for the 30-day period ended October 31, 2023.

2 Taxable equivalent yields are based on SEC yields and a 35% marginal federal income tax rate and maximum state taxes where applicable.

3 Class 1 shares are only available to Bernstein Global Wealth Management private client accounts. Class 2 shares are only available to large Bernstein Global Wealth Management private client accounts and the Adviser’s institutional clients or through other limited arrangements. These share classes do not carry front-end sales charges; therefore, their respective NAV and SEC returns are the same.

4 Assumes conversion of Class C shares into Class A shares after eight years.

(footnotes continued on next page)

abfunds.com AB MUNICIPAL BOND INFLATION STRATEGY    ^|    9

HISTORICAL PERFORMANCE (continued)

5 This share class is offered at NAV to eligible investors and the SEC returns are the same as the NAV returns. Please note that this share class is for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or investment advisory clients of, and certain other persons associated with, the Adviser and its affiliates or the Fund.

10    ^|    AB MUNICIPAL BOND INFLATION STRATEGY abfunds.com

HISTORICAL PERFORMANCE (continued)

SEC AVERAGE ANNUAL RETURNS

AS OF THE MOST RECENT CALENDAR QUARTER-END

SEPTEMBER 30, 2023 (unaudited)

	SEC Returns (reflects applicable sales charges)
CLASS 1 SHARES1
1 Year		4.72%
5 Years		2.45%
10 Years		2.00%
CLASS 2 SHARES1
1 Year		4.72%
5 Years		2.53%
10 Years		2.10%
CLASS A SHARES
1 Year		1.38%
5 Years		1.67%
10 Years		1.52%
CLASS C SHARES
1 Year		2.71%
5 Years		1.52%
10 Years2		1.08%
ADVISOR CLASS SHARES3
1 Year		4.75%
5 Years		2.54%
10 Years		2.11%

1 Class 1 shares are only available to Bernstein Global Wealth Management private client accounts. Class 2 shares are only available to large Bernstein Global Wealth Management private client accounts and the Adviser’s institutional clients or through other limited arrangements.

2 Assumes conversion of Class C shares into Class A shares after eight years.

3 Please note that this share class is for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or investment advisory clients of, and certain other persons associated with, the Adviser and its affiliates or the Fund.

abfunds.com AB MUNICIPAL BOND INFLATION STRATEGY    ^|    11

EXPENSE EXAMPLE

(unaudited)

As a shareholder of a mutual fund, you may incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments, contingent deferred sales charges on redemptions and (2) ongoing costs, including management fees; distribution (12b-1) fees; and other fund expenses. This example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds.

The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period as indicated below.

Actual Expenses

The table below provides information about actual account values and actual expenses. You may use the information in this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the first line under the heading entitled “Expenses Paid During Period” to estimate the expenses you paid on your account during this period.

Hypothetical Example for Comparison Purposes

The table below provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed annual rate of return of 5% before expenses, which is not the Fund’s actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and other funds by comparing this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of other funds.

Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as sales charges (loads), or contingent deferred sales charges on redemptions. Therefore, the hypothetical example is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.

12    ^|    AB MUNICIPAL BOND  INFLATION STRATEGY abfunds.com

EXPENSE EXAMPLE (continued)

	Beginning Account Value May 1, 2023		Ending Account Value October 31, 2023		Expenses Paid During Period*		Annualized Expense Ratio*
Class A
Actual	$	1,000	$	979.90	$	3.74		0.75	%
Hypothetical**	$	1,000	$	1,021.42	$	3.82		0.75	%
Class C
Actual	$	1,000	$	976.20	$	7.47		1.50	%
Hypothetical**	$	1,000	$	1,017.64	$	7.63		1.50	%
Advisor Class
Actual	$	1,000	$	981.20	$	2.50		0.50	%
Hypothetical**	$	1,000	$	1,022.68	$	2.55		0.50	%
Class 1
Actual	$	1,000	$	980.50	$	3.00		0.60	%
Hypothetical**	$	1,000	$	1,022.18	$	3.06		0.60	%
Class 2
Actual	$	1,000	$	981.00	$	2.50		0.50	%
Hypothetical**	$	1,000	$	1,022.68	$	2.55		0.50	%

* Expenses are equal to the classes’ annualized expense ratios, multiplied by the average account value over the period, multiplied by 184/365 (to reflect the one-half year period).

** Assumes 5% annual return before expenses.

abfunds.com AB MUNICIPAL BOND INFLATION STRATEGY    ^|    13

PORTFOLIO SUMMARY

October 31, 2023 (unaudited)

PORTFOLIO STATISTICS

Net Assets ($mil): $1,578.3

1 The Fund’s quality rating breakdown is expressed as a percentage of the Fund’s total investments in municipal securities and may vary over time. The Fund also enters into derivative transactions, which may be used for hedging or investment purposes (see “Portfolio of Investments” section of the report for additional details). The quality ratings are determined by using the S&P Global Ratings (“S&P”), Moody’s Investors Services, Inc.(“Moody’s”) and Fitch Ratings, Ltd.(“Fitch”). The Fund considers the credit ratings issued by S&P, Moody’s and Fitch and uses the highest rating issued by the agencies. These ratings are a measure of the quality and safety of a bond or portfolio, based on the issuer’s financial condition. AAA is the highest (best) and D is the lowest (worst). If applicable, the pre-refunded category includes bonds which are secured by U.S. Government securities and therefore are deemed high-quality investment grade by the Adviser. If applicable, Not Applicable (N/A) includes non-creditworthy investments such as equities, currency contracts, futures and options. If applicable, the Not Rated category includes bonds that are not rated by a nationally recognized statistical rating organization. The Adviser evaluates the creditworthiness of non-rated securities based on a number of factors including, but not limited to, cash flows, enterprise value and economic environment.

14    ^|    AB MUNICIPAL BOND INFLATION STRATEGY abfunds.com

PORTFOLIO OF INVESTMENTS

October 31, 2023

	Principal Amount (000)		U.S. $ Value
MUNICIPAL OBLIGATIONS – 94.9%
Long-Term Municipal Bonds – 94.9%
Alabama – 4.0%
Alabama Special Care Facilities Financing Authority-Birmingham AL (Children’s Hospital of Alabama Obligated Group (The)) Series 2015 5.00%, 06/01/2028	$	3,905	$	3,934,542
Black Belt Energy Gas District (Goldman Sachs Group, Inc. (The)) Series 2023-A 5.25%, 01/01/2054		1,830		1,831,864
Series 2023-D 5.401% (SOFR + 1.85%), 06/01/2049(a)		2,500		2,494,147
Series 2021 4.00%, 10/01/2052		4,000		3,852,807
Black Belt Energy Gas District (Royal Bank of Canada) Series 2021 4.00%, 06/01/2051		21,155		19,459,820
Series 2022-D 4.00%, 07/01/2052		2,555		2,464,038
Infirmary Health System Special Care Facilities Financing Authority of Mobile (Infirmary Health System Obligated Group) Series 2016 5.00%, 02/01/2025		2,110		2,119,464
Series 2021 4.00%, 02/01/2039		1,675		1,408,128
Southeast Energy Authority A Cooperative District (Goldman Sachs Group, Inc. (The)) Series 2022-B 5.00%, 05/01/2053		1,000		990,302
Southeast Energy Authority A Cooperative District (Morgan Stanley) Series 2021-B 4.00%, 12/01/2051		18,485		16,855,307
Southeast Energy Authority A Cooperative District (Royal Bank of Canada) Series 2023-B 5.00%, 01/01/2054		2,000		1,986,493

abfunds.com AB MUNICIPAL BOND INFLATION STRATEGY    ^|    15

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Southeast Energy Authority A Cooperative District (Sumitomo Mitsui Financial Group, Inc.) Series 2023-A 5.25%, 01/01/2054	$	3,000	$	2,989,412
Sumter County Industrial Development Authority/AL (Enviva, Inc.) Series 2022 6.00%, 07/15/2052		3,770		2,544,569
				62,930,893
Alaska – 0.2%
Alaska Housing Finance Corp. (Pre-refunded – Others) Series 2023 4.39%, 07/01/2026(b)		4,000		3,981,314
American Samoa – 0.1%
American Samoa Economic Development Authority (Territory of American Samoa) Series 2015-A 6.625%, 09/01/2035		1,335		1,366,077
Series 2018 6.50%, 09/01/2028(b)		295		303,638
7.125%, 09/01/2038(b)		280		293,391
				1,963,106
Arizona – 1.8%
Arizona Industrial Development Authority (Equitable School Revolving Fund LLC Obligated Group) Series 2020 4.00%, 11/01/2030		935		901,206
5.00%, 11/01/2031		800		822,922
5.00%, 11/01/2032		650		668,150
5.00%, 11/01/2033		900		923,458
Arizona Industrial Development Authority (KIPP NYC Public Charter Schools) Series 2021-B 4.00%, 07/01/2041		500		412,091
Arizona Industrial Development Authority (Legacy Cares, Inc.) Series 2020 6.50%, 07/01/2026(c)(d)(e)		1,000		60,000
6.75%, 07/01/2030(c)(d)(e)		1,000		60,000

16    ^|    AB MUNICIPAL BOND INFLATION STRATEGY abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Arizona Industrial Development Authority (Phoenix Children’s Hospital Obligated Group) Series 2021 4.00%, 02/01/2039	$	1,800	$	1,539,097
5.00%, 02/01/2026		1,200		1,223,297
Chandler Industrial Development Authority (Intel Corp.) Series 2022 5.00%, 09/01/2052		5,000		5,035,525
City of Glendale AZ (City of Glendale AZ COP) Series 2021 2.542%, 07/01/2033		4,000		3,008,288
City of Phoenix Civic Improvement Corp. (Phoenix Sky Harbor International Airport) Series 2017-A 5.00%, 07/01/2029		3,945		4,015,172
City of Tempe AZ (City of Tempe AZ COP) Series 2021 1.951%, 07/01/2031		2,400		1,831,083
Industrial Development Authority of the County of Pima (The) (La Posada at Park Centre, Inc. Obligated Group) Series 2022 5.125%, 11/15/2029(b)		2,000		1,934,979
State of Arizona Lottery Revenue (Pre-refunded – US Treasuries) Series 2019 5.00%, 07/01/2028		5,000		5,289,028
				27,724,296
Arkansas – 0.1%
Arkansas Development Finance Authority (Hybar LLC) Series 2023 12.00%, 07/01/2048(b)		1,000		1,007,407
City of Fayetteville AR Sales & Use Tax Revenue Series 2022 2.875%, 11/01/2032		1,000		937,110
				1,944,517

abfunds.com AB MUNICIPAL BOND INFLATION STRATEGY    ^|    17

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
California – 9.5%
ARC70 II TRUST Series 2023 4.84%, 04/01/2065(e)(h)	$	5,000	$	4,791,635
California Community Choice Financing Authority (American International Group, Inc.) Series 2023-D 5.50%, 05/01/2054		2,000		2,045,383
California Community Choice Financing Authority (Deutsche Bank AG) Series 2023 5.25%, 01/01/2054		4,925		4,818,393
California Community Housing Agency (California Community Housing Agency Brio Apartments & Next on Lex Apartments) Series 2021-A 4.00%, 08/01/2047(b)		3,315		2,346,951
California Community Housing Agency (California Community Housing Agency Fountains at Emerald Park) Series 2021 4.00%, 08/01/2046(b)		995		732,525
California Infrastructure & Economic Development Bank (DesertXpress Enterprises LLC) Series 2023 3.65%, 01/01/2050(b)		9,040		8,989,447
California Pollution Control Financing Authority (Rialto Bioenergy Facility LLC) Series 2019 7.50%, 12/01/2040(b)(c)(d)		250		132,500
California State Public Works Board (State of California Department of Corrections & Rehabilitation Lease) Series 2018 5.00%, 05/01/2029		2,995		3,163,578
California State University Series 2021-B 2.374%, 11/01/2035		1,000		699,572
City of Los Angeles CA Series 2023 5.00%, 06/27/2024		9,000		9,075,971

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PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
City of Los Angeles Department of Airports Series 2019 5.00%, 05/15/2027	$	1,410	$	1,433,499
Series 2021 5.00%, 05/15/2035		4,000		4,078,649
CSCDA Community Improvement Authority (CSCDA Community Improvement Authority 777 Place-Pomona) Series 2021 3.60%, 05/01/2047(b)		6,500		4,697,722
CSCDA Community Improvement Authority (CSCDA Community Improvement Authority Acacia on Santa Rosa Creek) Series 2021 4.00%, 10/01/2046(b)		2,000		1,373,755
CSCDA Community Improvement Authority (CSCDA Community Improvement Authority Altana Apartments) Series 2021 3.50%, 10/01/2046(b)		2,000		1,368,273
CSCDA Community Improvement Authority (CSCDA Community Improvement Authority Jefferson Platinum Triangle Apartments) Series 2021-A2 3.125%, 08/01/2056(b)		1,500		916,003
CSCDA Community Improvement Authority (CSCDA Community Improvement Authority Millennium South Bay-Hawthorne) Series 2021 3.375%, 07/01/2043(b)		3,200		2,339,056
CSCDA Community Improvement Authority (CSCDA Community Improvement Authority Theo Apartments) Series 2021 3.50%, 05/01/2047(b)		2,300		1,637,543
CSCDA Community Improvement Authority (CSCDA Community Improvement Authority Union South Bay) Series 2021-A 3.10%, 07/01/2045(b)		1,000		683,609
CSCDA Community Improvement Authority (CSCDA Community Improvement Authority Vineyard Gardens Apartments) Series 2021 4.00%, 10/01/2048(b)		2,000		1,283,569

abfunds.com AB MUNICIPAL BOND INFLATION STRATEGY    ^|    19

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Sacramento County Water Financing Authority (Sacramento County Water Agency) NATL Series 2007-B 4.37% (LIBOR 3 Month + 0.57%), 06/01/2039(a)	$	5,000	$	4,099,772
San Diego County Regional Airport Authority Series 2021-B 4.00%, 07/01/2035		3,100		2,900,307
4.00%, 07/01/2036		8,395		7,686,706
4.00%, 07/01/2039		7,075		6,174,253
4.00%, 07/01/2040		8,655		7,460,033
4.00%, 07/01/2041		3,325		2,830,556
5.00%, 07/01/2030		2,785		2,861,246
San Francisco Intl Airport Series 2019-H 5.00%, 05/01/2025		5,480		5,537,036
Series 2021-A 5.00%, 05/01/2031		3,275		3,352,268
5.00%, 05/01/2036		5,960		6,016,735
Series 2023-E 5.50%, 05/01/2040(f)		5,000		5,173,907
San Joaquin Hills Transportation Corridor Agency Series 2021 5.00%, 01/15/2033		5,000		5,266,999
State of California Series 2021 4.00%, 12/01/2024		2,655		2,666,284
4.00%, 10/01/2034		2,690		2,698,156
4.00%, 10/01/2035		2,935		2,911,312
5.00%, 10/01/2024		3,590		3,636,294
Series 2023 5.00%, 09/01/2037		10,000		10,765,724
5.10%, 03/01/2029		1,200		1,188,136
University of California Series 2022-S 5.00%, 05/15/2024		6,000		6,042,463
5.00%, 05/15/2025		4,000		4,082,058
				149,957,878
Colorado – 3.1%
Arapahoe County School District No. 5 Cherry Creek (Arapahoe County School District No. 5 Cherry Creek COP) Series 2022 4.00%, 12/15/2038		2,655		2,408,263

20    ^|    AB MUNICIPAL BOND INFLATION STRATEGY abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Centerra Metropolitan District No. 1 Series 2017 5.00%, 12/01/2029(b)	$	1,510	$	1,446,529
City & County of Denver CO Airport System Revenue 5.00%, 11/15/2031		7,910		8,121,547
City & County of Denver CO Airport System Revenue (Denver Intl Airport) Series 2018-A 5.00%, 12/01/2026		1,700		1,726,274
5.00%, 12/01/2028		2,090		2,132,060
5.00%, 12/01/2029		6,555		6,667,680
Colorado Health Facilities Authority (AdventHealth Obligated Group) Series 2021 5.00%, 11/15/2041		2,600		2,615,185
Series 2023 5.00%, 11/15/2058		5,280		5,482,015
Colorado Health Facilities Authority (CommonSpirit Health) Series 2019-A 5.00%, 08/01/2030		1,015		1,040,817
5.00%, 08/01/2032		640		654,559
5.00%, 08/01/2033		750		764,455
Colorado Health Facilities Authority (Intermountain Healthcare Obligated Group) Series 2019-B 4.00%, 01/01/2040		1,445		1,282,040
Colorado Health Facilities Authority (Sanford Obligated Group) Series 2019-A 5.00%, 11/01/2033		1,525		1,571,090
E-470 Public Highway Authority Series 2021-B 3.908% (SOFR + 0.35%), 09/01/2039(a)		2,000		1,990,861
Johnstown Plaza Metropolitan District Series 2022 4.25%, 12/01/2046		1,952		1,429,883
Platte River Metropolitan District Series 2023-A 6.50%, 08/01/2053(b)(f)		365		341,814
State of Colorado (State of Colorado COP) Series 2022 6.00%, 12/15/2041		6,000		6,668,177

abfunds.com AB MUNICIPAL BOND INFLATION STRATEGY    ^|    21

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Sterling Ranch Community Authority Board (Sterling Ranch Colorado Metropolitan District No. 2) Series 2020-A 3.75%, 12/01/2040	$	1,050	$	825,372
Sterling Ranch Community Authority Board (Sterling Ranch Metropolitan District No. 3) Series 2022 6.50%, 12/01/2042		1,000		974,370
Vauxmont Metropolitan District AGM Series 2019 5.00%, 12/15/2024		260		262,504
				48,405,495
Connecticut – 2.5%
City of New Haven CT Series 2018-A 5.50%, 08/01/2035		1,920		1,988,124
Connecticut State Health & Educational Facilities Authority (Stamford Hospital Obligated Group (The)) Series 2022 4.00%, 07/01/2040		1,500		1,276,501
Connecticut State Health & Educational Facilities Authority (Yale University) Series 2022 1.10%, 07/01/2049		8,000		7,660,841
Series 2023-A 2.80%, 07/01/2048		7,710		7,434,159
State of Connecticut Series 2014-A 5.00%, 03/01/2028		2,230		2,235,107
Series 2014-F 5.00%, 11/15/2026		1,275		1,287,547
Series 2015-B 5.00%, 06/15/2025		4,310		4,388,109
5.00%, 06/15/2028		2,840		2,882,580
Series 2016-A 5.00%, 03/15/2032		2,160		2,204,416
Series 2018-B 5.00%, 04/15/2028		1,440		1,515,748
State of Connecticut Special Tax Revenue Series 2020 5.00%, 05/01/2038		3,040		3,144,194

22    ^|    AB MUNICIPAL BOND INFLATION STRATEGY abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Series 2023-A 5.25%, 07/01/2042(f)	$	3,000	$	3,166,070
				39,183,396
District of Columbia – 2.1%
District of Columbia (District of Columbia International School Obligated Group) Series 2019 5.00%, 07/01/2039		2,400		2,253,916
District of Columbia (Plenary Infrastructure DC LLC State Lease) Series 2022 5.00%, 08/31/2029		4,765		4,885,474
5.00%, 08/31/2030		5,025		5,159,330
5.00%, 02/29/2032		5,475		5,610,055
Metropolitan Washington Airports Authority Aviation Revenue Series 2018-A 5.00%, 10/01/2025		5,500		5,552,026
5.00%, 10/01/2026		3,065		3,113,922
Series 2021-A 4.00%, 10/01/2038		2,500		2,198,890
5.00%, 10/01/2036		1,695		1,697,298
Washington Metropolitan Area Transit Authority Dedicated Revenue (Washington Metropolitan Area Transit Authority Dedicated Revenue Lease) Series 2023 5.00%, 07/15/2040		2,540		2,632,101
				33,103,012
Florida – 3.9%
Align Affordable Housing Bond Fund LP (SHI – Lake Worth LLC) Series 2021 3.25%, 12/01/2051(b)		2,500		2,059,190
Capital Trust Agency, Inc. (Franklin Academy Series 2020 Obligated Group) Series 2020 4.00%, 12/15/2025(b)		300		288,633
City of Palmetto FL (Renaissance Arts and Education Inc) Series 2022 5.125%, 06/01/2042		2,400		2,258,056

abfunds.com AB MUNICIPAL BOND INFLATION STRATEGY    ^|    23

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
City of South Miami Health Facilities Authority, Inc. (Baptist Health South Florida Obligated Group) Series 2017 5.00%, 08/15/2025	$	4,500	$	4,558,791
County of Broward FL Airport System Revenue Series 2019-C 2.384%, 10/01/2026		2,600		2,391,151
County of Miami-Dade FL (County of Miami-Dade FL Non-Ad Valorem) Series 2015-A 5.00%, 06/01/2024		5,000		5,026,277
5.00%, 06/01/2026		2,885		2,905,792
5.00%, 06/01/2027		4,515		4,542,684
County of Osceola FL Transportation Revenue Series 2020-A Zero Coupon, 10/01/2030		115		80,621
Zero Coupon, 10/01/2031		140		93,082
Zero Coupon, 10/01/2032		100		62,964
Zero Coupon, 10/01/2033		115		68,732
Zero Coupon, 10/01/2034		125		70,317
County of Pasco FL (H Lee Moffitt Cancer Center & Research Institute Obligated Group) Series 2023 5.00%, 07/01/2030(b)		8,000		8,081,382
Florida Development Finance Corp. (Mater Academy, Inc.) Series 2022-A 4.00%, 06/15/2042		2,000		1,616,352
Florida Municipal Power Agency (Florida Municipal Power Agency All-Requirements Power Supply Project Revenue) Series 2021 1.425%, 10/01/2026		500		446,449
Greater Orlando Aviation Authority Series 2017-A 5.00%, 10/01/2033		4,000		4,008,314
Greater Orlando Aviation Authority (Pre-refunded – US Treasuries) Series 2017-A 5.00%, 10/01/2029		4,420		4,559,373

24    ^|    AB MUNICIPAL BOND INFLATION STRATEGY abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Hillsborough County Aviation Authority (Hillsborough County Aviation Authority) Series 2015-A 5.00%, 10/01/2044	$	10,000	$	10,053,687
Orange County Health Facilities Authority (Presbyterian Retirement Communities, Inc. Obligated Group) Series 2023 4.00%, 08/01/2036		1,000		865,949
Polk County Industrial Development Authority (Mineral Development LLC) Series 2020 5.875%, 01/01/2033(b)		1,000		957,912
Village Community Development District No. 13 (Village Community Development District No. 13 Phase I Series 2019 Special Assmnts) Series 2019 3.55%, 05/01/2039		4,160		3,243,978
Village Community Development District No. 14 Series 2022 5.50%, 05/01/2053		2,720		2,594,444
				60,834,130
Georgia – 3.2%
Augusta Development Authority (WellStar Health System Obligated Group) Series 2018 5.00%, 07/01/2034		4,490		4,532,246
City of Atlanta GA Department of Aviation Series 2022-B 5.00%, 07/01/2038		3,440		3,387,812
5.00%, 07/01/2042		6,830		6,618,066
Cobb County Kennestone Hospital Authority (WellStar Health System Obligated Group) Series 2021 5.00%, 04/01/2025		1,650		1,665,923
Main Street Natural Gas, Inc. (Citadel LP) Series 2022-C 4.00%, 08/01/2052(b)		5,000		4,656,055
Main Street Natural Gas, Inc. (Citigroup, Inc.) Series 2022-A 4.00%, 09/01/2052		2,075		1,929,168

abfunds.com AB MUNICIPAL BOND INFLATION STRATEGY    ^|    25

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Main Street Natural Gas, Inc. (Pre-refunded – US Treasuries) Series 2018-C 4.00%, 08/01/2048	$	6,850	$	6,849,234
Main Street Natural Gas, Inc. (Royal Bank of Canada) Series 2023-B 5.00%, 07/01/2053		8,000		7,947,477
Main Street Natural Gas, Inc. (Toronto-Dominion Bank (The)) Series 2019-B 4.00%, 08/01/2049		2,000		1,980,762
Private Colleges & Universities Authority (Emory University) Series 2023 5.00%, 09/01/2033(b)		10,000		10,565,002
				50,131,745
Guam – 0.1%
Territory of Guam Series 2019 5.00%, 11/15/2031		125		123,470
Territory of Guam (Territory of Guam Business Privilege Tax) Series 2015-D 5.00%, 11/15/2025		865		862,646
Series 2021-F 5.00%, 01/01/2028		500		504,320
				1,490,436
Illinois – 4.7%
Chicago Board of Education Series 2018-A 5.00%, 12/01/2027		1,200		1,203,461
Series 2019-B 5.00%, 12/01/2030		135		133,333
5.00%, 12/01/2031		265		261,013
5.00%, 12/01/2033		100		97,905
Series 2023 5.25%, 04/01/2033		1,375		1,436,183
5.25%, 04/01/2040		1,720		1,674,034
Chicago Housing Authority Series 2018-A 5.00%, 01/01/2034		2,500		2,553,504
5.00%, 01/01/2037		5,260		5,297,813
5.00%, 01/01/2038		1,000		1,001,599

26    ^|    AB MUNICIPAL BOND INFLATION STRATEGY abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Chicago O’Hare International Airport Series 2015-B 5.00%, 01/01/2029	$	5,000	$	4,996,681
Series 2016-C 5.00%, 01/01/2033		5,000		5,042,316
Series 2018-A 5.00%, 01/01/2037		1,000		979,730
Series 2022 4.00%, 01/01/2042		2,000		1,747,265
5.00%, 01/01/2028		680		689,720
5.00%, 01/01/2031		600		613,681
5.00%, 01/01/2042		3,850		3,732,452
Illinois Finance Authority (Ascension Health Credit Group) Series 2016-C 5.00%, 02/15/2024		1,630		1,633,559
Illinois Finance Authority (Illinois Institute of Technology) Series 2019 5.00%, 09/01/2026		100		97,982
5.00%, 09/01/2027		100		97,681
5.00%, 09/01/2029		100		96,561
5.00%, 09/01/2033		200		187,410
5.00%, 09/01/2034		100		92,562
Illinois Finance Authority (Washington and Jane Smith Community – Orland Park) Series 2022 4.00%, 10/15/2040		9,375		6,855,853
Illinois Housing Development Authority Series 2022 5.67%, 12/01/2025(b)		1,250		1,244,819
7.17%, 11/01/2038		125		119,385
Illinois State Toll Highway Authority Series 2021-A 5.00%, 01/01/2041		14,805		15,008,166
5.00%, 01/01/2043		6,700		6,781,301
State of Illinois Series 2014 5.00%, 05/01/2030		3,810		3,768,427
Series 2022-A 5.50%, 03/01/2042		2,945		2,993,184
Series 2022-B 5.25%, 10/01/2037		3,000		3,057,166
				73,494,746

abfunds.com AB MUNICIPAL BOND INFLATION STRATEGY    ^|    27

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Indiana – 2.3%
City of Fort Wayne IN 10.75%, 12/01/2029(c)(d)	$	87	$	9
City of Whiting IN (BP Products North America, Inc.) Series 2023 4.40%, 11/01/2045		5,000		4,755,693
Indiana Finance Authority (Brightmark Plastics Renewal Indiana LLC) Series 2019 7.00%, 03/01/2039(e)		2,305		1,606,591
Indiana Finance Authority (CWA Authority, Inc.) Series 2024 5.00%, 10/01/2033(f)		2,000		2,065,683
Indiana Finance Authority (Duke Energy Indiana LLC) Series 2022 3.75%, 03/01/2031		5,750		5,595,433
4.50%, 05/01/2035		7,555		7,289,163
Indiana Finance Authority (Good Samaritan Hospital Obligated Group) Series 2022 4.00%, 04/01/2035		1,210		1,026,621
Indiana Finance Authority (Greencroft Goshen Obligated Group) Series 2023-2 4.00%, 11/15/2037		1,000		777,517
Indiana Finance Authority (Indiana University Health, Inc. Obligated Group) Series 2021 0.70%, 12/01/2046		7,150		6,474,795
Indiana Finance Authority (Ohio Valley Electric Corp.) Series 2021-B 2.50%, 11/01/2030		495		422,153
Indiana Finance Authority (University of Evansville) Series 2022 5.25%, 09/01/2037		5,000		4,603,067
Indianapolis Local Public Improvement Bond Bank Series 2023 5.00%, 02/01/2043		1,030		1,049,663
				35,666,388

28    ^|    AB MUNICIPAL BOND INFLATION STRATEGY abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Iowa – 1.5%
Iowa Finance Authority Series 2022-E 4.51% (SOFR + 0.80%), 01/01/2052(a)	$	8,000	$	7,900,368
Iowa Higher Education Loan Authority (Simpson College) Series 2020 5.25%, 11/01/2040		2,275		1,951,514
Iowa Tobacco Settlement Authority Series 2021-A 4.00%, 06/01/2034		500		481,711
4.00%, 06/01/2035		515		491,670
4.00%, 06/01/2037		1,000		925,447
4.00%, 06/01/2038		1,000		910,798
4.00%, 06/01/2040		500		446,006
5.00%, 06/01/2031		900		934,719
PEFA, Inc. (Goldman Sachs Group, Inc. (The)) Series 2019 5.00%, 09/01/2049		9,300		9,236,634
				23,278,867
Kansas – 0.0%
Kansas Development Finance Authority (Pre-refunded – US Treasuries) Series 2021 5.00%, 11/15/2054		720		756,598
Kentucky – 1.7%
City of Ashland KY (Ashland Hospital Corp. Obligated Group) Series 2019 5.00%, 02/01/2026		180		181,034
5.00%, 02/01/2027		195		197,053
5.00%, 02/01/2030		125		127,160
5.00%, 02/01/2031		150		149,609
Kentucky Public Energy Authority (BP PLC) Series 2020-A 4.00%, 12/01/2050		7,260		7,061,355
Kentucky Public Energy Authority (Morgan Stanley) Series 2018-C 4.228% (CPI + 1.05%), 12/01/2049(a)		20,000		19,763,238
				27,479,449

abfunds.com AB MUNICIPAL BOND INFLATION STRATEGY    ^|    29

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Louisiana – 1.0%
City of New Orleans LA Series 2021-A 5.00%,��12/01/2030	$	1,910	$	2,014,554
5.00%, 12/01/2035		2,680		2,772,310
Jefferson Sales Tax District AGM Series 2017-B 5.00%, 12/01/2034		1,800		1,842,981
Louisiana Local Government Environmental Facilities & Community Development Auth (Louisiana Utilities Restoration Corp ELL System Restoration Revenue) Series 2023 5.081%, 06/01/2031		3,000		2,957,316
Parish of St. James LA (NuStar Logistics LP) Series 2020 5.85%, 08/01/2041(b)		340		343,706
6.10%, 06/01/2038(b)		455		474,456
6.10%, 12/01/2040(b)		390		406,684
State of Louisiana Gasoline & Fuels Tax Revenue Series 2022-A 4.217% (SOFR + 0.50%), 05/01/2043(a)		4,920		4,803,186
				15,615,193
Maryland – 1.5%
County of Montgomery MD Series 2019-A 5.00%, 11/01/2026		5,925		6,151,514
Maryland Health & Higher Educational Facilities Authority (Stevenson University, Inc.) Series 2021 4.00%, 06/01/2039		500		434,152
State of Maryland Series 2017-B 5.00%, 08/01/2024		5,790		5,842,558
Series 2022-C 5.00%, 03/01/2026		11,500		11,836,227
				24,264,451
Massachusetts – 1.4%
Commonwealth of Massachusetts Series 2014-C 5.00%, 08/01/2024		7,000		7,065,090
Series 2020-B 5.00%, 07/01/2024		7,380		7,440,796

30    ^|    AB MUNICIPAL BOND INFLATION STRATEGY abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Massachusetts Port Authority Series 2021-E 5.00%, 07/01/2037	$	2,250	$	2,253,529
5.00%, 07/01/2039		5,000		4,947,501
				21,706,916
Michigan – 1.3%
City of Detroit MI Series 2018 5.00%, 04/01/2035		750		744,033
5.00%, 04/01/2036		305		299,328
City of Detroit MI Sewage Disposal System Revenue (Great Lakes Water Authority Sewage Disposal System Revenue) AGM Series 2006-D 4.39% (LIBOR 3 Month + 0.60%), 07/01/2032(a)		2,605		2,418,296
Michigan Finance Authority (City of Detroit MI) Series 2016-C 5.00%, 04/01/2026		1,000		1,022,059
5.00%, 04/01/2027		1,735		1,775,232
Michigan Finance Authority (Great Lakes Water Authority Water Supply System Revenue) AGM Series 2014-D2 5.00%, 07/01/2024		10,545		10,588,452
Michigan Finance Authority (Henry Ford Health System Obligated Group) Series 2016 5.00%, 11/15/2031		1,785		1,800,015
Michigan Finance Authority (Michigan Finance Authority Drinking Water Revolving Fund) Series 2021 5.00%, 10/01/2026		1,250		1,292,751
Michigan Finance Authority (Michigan Finance Authority Tobacco Settlement Revenue) Series 2020-A 3.267%, 06/01/2039		1,000		856,179
				20,796,345

abfunds.com AB MUNICIPAL BOND INFLATION STRATEGY    ^|    31

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Minnesota – 0.6%
Dakota County Community Development Agency (Rosemont AH I LLLP) Series 2023 5.30%, 07/01/2028(b)	$	370	$	364,214
5.66%, 07/01/2041(b)		1,000		916,345
Minneapolis-St Paul Metropolitan Airports Commission Series 2022-B 4.00%, 01/01/2038		4,250		3,739,896
5.00%, 01/01/2039		2,105		2,050,836
State of Minnesota Series 2022-B 5.00%, 08/01/2024		2,000		2,018,007
				9,089,298
Mississippi – 0.1%
Mississippi Development Bank (Magnolia Regional Health Center) Series 2021 5.00%, 10/01/2033(b)		1,000		962,892
Missouri – 0.9%
Health & Educational Facilities Authority of the State of Missouri (BJC Healthcare Obligated Group) Series 2021-B 4.00%, 05/01/2051		11,975		11,884,249
Howard Bend Levee District XLCA Series 2005 5.75%, 03/01/2025		135		135,222
5.75%, 03/01/2027		120		119,790
Lee’s Summit Industrial Development Authority (John Knox Village Obligated Group) Series 2016-A 5.00%, 08/15/2036		1,675		1,445,790
				13,585,051
Montana – 0.2%
Montana Facility Finance Authority (Benefis Health System Obligated Group) Series 2016 5.00%, 02/15/2031		1,925		1,930,385
5.00%, 02/15/2033		1,350		1,352,776
				3,283,161

32    ^|    AB MUNICIPAL BOND INFLATION STRATEGY abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Nebraska – 1.5%
Central Plains Energy Project (Bank of Montreal) Series 2023-A 5.00%, 05/01/2054	$	2,000	$	1,989,629
Central Plains Energy Project (Pre-refunded – US Treasuries) Series 2018 5.00%, 03/01/2050		15,000		15,045,822
Central Plains Energy Project (Royal Bank of Canada) Series 2019 4.00%, 12/01/2049		6,115		6,015,578
				23,051,029
Nevada – 2.4%
Clark County School District Series 2021-A 4.00%, 06/15/2034		10,085		9,566,305
5.00%, 06/15/2027		3,500		3,628,804
Series 2021-B 5.00%, 06/15/2027		5,170		5,360,262
Las Vegas Valley Water District Series 2022-A 4.00%, 06/01/2036		5,000		4,797,494
4.00%, 06/01/2037		6,350		5,979,526
State of Nevada Department of Business & Industry (DesertXpress Enterprises LLC) Series 2023 3.70%, 01/01/2050(b)		1,010		1,004,472
8.125%, 01/01/2050(b)		1,630		1,635,175
Tahoe-Douglas Visitors Authority Series 2020 4.00%, 07/01/2027		1,200		1,154,550
5.00%, 07/01/2029		2,625		2,597,252
5.00%, 07/01/2032		2,035		1,994,376
5.00%, 07/01/2035		805		777,064
				38,495,280
New Jersey – 4.7%
Federal Home Loan Mortgage Corp. Enhanced Receipt (FCR 2019-B) Series 2019-B, Class 1 3.87%, 11/15/2035		12,363		10,258,021

abfunds.com AB MUNICIPAL BOND INFLATION STRATEGY    ^|    33

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)			U.S. $ Value
New Jersey Economic Development Authority (New Jersey-American Water Co., Inc.) Series 2023 3.75%, 11/01/2034	$	2,000	��	$	1,879,624
New Jersey Economic Development Authority (Pre-refunded – US Treasuries) Series 2014-P 5.00%, 06/15/2029		1,150			1,156,854
New Jersey Educational Facilities Authority (Ramapo College of New Jersey) AGM Series 2022-A 4.00%, 07/01/2039		550			472,191
4.00%, 07/01/2040		750			638,815
4.00%, 07/01/2041		835			709,246
5.00%, 07/01/2034		845			897,572
5.00%, 07/01/2035		400			423,193
5.00%, 07/01/2036		600			629,269
5.00%, 07/01/2037		600			620,244
5.00%, 07/01/2038		745			765,032
New Jersey Transportation Trust Fund Authority (New Jersey Transportation Fed Hwy Grant) Series 2016 5.00%, 06/15/2029		4,390			4,466,482
Series 2018-A 5.00%, 06/15/2028		4,170			4,245,714
5.00%, 06/15/2029		17,500			17,804,883
5.00%, 06/15/2030		1,500			1,524,298
5.00%, 06/15/2031		3,000			3,044,896
New Jersey Transportation Trust Fund Authority (New Jersey Transportation Trust Fund Authority State Lease) Series 2014-C 5.25%, 06/15/2032		2,960			2,977,383
Series 2020-A 5.00%, 06/15/2036		1,140			1,174,867
New Jersey Turnpike Authority Series 2014-A 5.00%, 01/01/2028		4,785			4,804,323
Series 2017-A 5.00%, 01/01/2033		7,300			7,437,328
Series 2021-B 0.897%, 01/01/2025		1,000			948,522
1.713%, 01/01/2029		1,350			1,136,458

34    ^|    AB MUNICIPAL BOND INFLATION STRATEGY abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Tobacco Settlement Financing Corp./NJ Series 2018-A 5.00%, 06/01/2030	$	4,750	$	4,898,846
Series 2018-B 5.00%, 06/01/2046		2,260		2,095,511
				75,009,572
New Mexico – 0.1%
State of New Mexico Severance Tax Permanent Fund Series 2022-A 5.00%, 07/01/2031		1,000		1,084,258
Winrock Town Center Tax Increment Development District No. 1 Series 2022 4.00%, 05/01/2033(b)		1,035		869,345
				1,953,603
New York – 10.2%
City of New York NY Series 2020-A 5.00%, 08/01/2026		3,940		4,066,929
Series 2021 1.396%, 08/01/2027		3,120		2,697,157
Series 2021-A 4.00%, 08/01/2041		2,000		1,762,382
Series 2021-F 5.00%, 06/01/2044(g)		2,500		2,532,070
County of Nassau NY Series 2022-A 4.00%, 04/01/2042		2,205		1,950,252
Metropolitan Transportation Authority Series 2016-A 5.00%, 11/15/2024		1,130		1,136,166
Series 2016-B 5.00%, 11/15/2027		1,370		1,390,315
Series 2017-B 5.00%, 11/15/2023		1,110		1,110,162
5.00%, 11/15/2025		1,935		1,960,100
5.00%, 11/15/2026		555		566,025
Series 2017-C 5.00%, 11/15/2026		1,275		1,300,128
5.00%, 11/15/2027		1,745		1,786,142
5.00%, 11/15/2028		1,000		1,022,036
Series 2020-A 5.00%, 11/15/2045		5,120		5,219,805
Series 2020-E 4.00%, 11/15/2026		1,000		988,423
5.00%, 11/15/2028		4,000		4,095,080

abfunds.com AB MUNICIPAL BOND INFLATION STRATEGY    ^|    35

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Series 2021-D 3.888% (SOFR + 0.33%), 11/01/2035(a)	$	1,855	$	1,850,395
Metropolitan Transportation Authority (Pre-refunded – US Treasuries) Series 2013-E 5.00%, 11/15/2025		3,510		3,511,380
New York City Municipal Water Finance Authority Series 2023 5.00%, 06/15/2034		2,000		2,221,174
New York Liberty Development Corp. (3 World Trade Center LLC) Series 2014 5.375%, 11/15/2040(b)		200		184,764
New York State Dormitory Authority (New York State Sales Tax) Series 2028-C 5.00%, 03/15/2040		2,000		2,023,886
New York State Dormitory Authority (Pre-refunded – US Treasuries) Series 2014-A 5.00%, 02/15/2028		6,565		6,587,966
New York State Dormitory Authority (State of New York Pers Income Tax) Series 2021 2.202%, 03/15/2034		2,000		1,467,694
2.252%, 03/15/2032		2,000		1,559,893
Series 2021-A 4.00%, 03/15/2039		1,000		899,455
Series 2022-A 4.00%, 03/15/2039		2,000		1,798,910
New York State Environmental Facilities Corp. (State of New York SRF) Series 2021 4.00%, 08/15/2038		800		742,632
New York State Thruway Authority (State of New York Pers Income Tax) Series 2021-A 5.00%, 03/15/2025		2,225		2,257,878
Series 2022-A 5.00%, 03/15/2030		21,850		23,349,194
New York State Urban Development Corp. (State of New York Pers Income Tax) Series 2022 5.00%, 09/15/2029		37,115		39,452,796

36    ^|    AB MUNICIPAL BOND INFLATION STRATEGY abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
New York Transportation Development Corp. (JFK International Air Terminal LLC) Series 2022 5.00%, 12/01/2042	$	1,610	$	1,518,725
New York Transportation Development Corp. (Laguardia Gateway Partners LLC) Series 2016-A 5.00%, 07/01/2046		345		317,280
Port Authority of New York & New Jersey Series 2021-2 5.00%, 07/15/2028		1,025		1,047,368
Suffolk Tobacco Asset Securitization Corp. Series 2021 5.00%, 06/01/2028		2,265		2,345,442
5.00%, 06/01/2032		2,245		2,335,954
Triborough Bridge & Tunnel Authority (Metropolitan Transportation Authority Payroll Mobility Tax Revenue) Series 2021 5.00%, 05/15/2050		4,740		4,818,835
Series 2021-A 2.00%, 05/15/2045		2,945		2,741,609
2.591%, 05/15/2036		2,000		1,430,467
2.917%, 05/15/2040		1,000		672,743
Series 2022-A 5.00%, 08/15/2024		16,500		16,629,726
Series 2022-E 4.608% (SOFR + 1.05%), 04/01/2026(a)		6,000		5,921,174
				161,270,512
North Carolina – 0.5%
Fayetteville State University Series 2023 5.00%, 04/01/2032(b)		655		681,024
State of North Carolina (State of North Carolina Fed Hwy Grant) Series 2015 5.00%, 03/01/2026		6,710		6,782,956
				7,463,980
North Dakota – 0.0%
County of Grand Forks ND (Red River Biorefinery LLC) Series 2021 6.625%, 12/15/2031(c)(d)(e)		425		85,000
7.00%, 12/15/2043(c)(d)(e)		440		88,000
				173,000

abfunds.com AB MUNICIPAL BOND INFLATION STRATEGY    ^|    37

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Ohio – 2.4%
American Municipal Power, Inc. (American Municipal Power Combined Hydroelectric Revenue) Series 2016-A 5.00%, 02/15/2036	$	5,000	$	5,056,080
American Municipal Power, Inc. (American Municipal Power Prairie State Energy Campus Revenue) Series 2019 5.00%, 02/15/2035		1,425		1,478,744
Buckeye Tobacco Settlement Financing Authority Series 2020-A 4.00%, 06/01/2039		1,000		917,021
City of Chillicothe OH (Adena Health System Obligated Group) Series 2017 5.00%, 12/01/2037		3,385		3,305,053
City of Cleveland OH Airport System Revenue AGM Series 2016-B 5.00%, 01/01/2024		1,075		1,076,298
City of Cleveland OH Income Tax Revenue Series 2017-B1 5.00%, 10/01/2027		2,500		2,614,696
5.00%, 10/01/2029		3,085		3,222,257
5.00%, 10/01/2030		2,000		2,085,207
Series 2017-B2 5.00%, 10/01/2029		1,485		1,551,070
County of Washington OH (Marietta Area Health Care, Inc. Obligated Group) Series 2022 6.375%, 12/01/2037		2,000		1,848,958
Ohio Higher Educational Facility Commission (University of Dayton) Series 2022 5.00%, 02/01/2038		1,250		1,275,305
5.00%, 02/01/2039		3,860		3,912,958
University of Toledo Series 2023-B 4.61% (SOFR + 0.90%), 06/01/2036(a)(e)		10,000		9,832,986
				38,176,633

38    ^|    AB MUNICIPAL BOND INFLATION STRATEGY abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Oklahoma – 0.2%
Oklahoma Development Finance Authority Oklahoma Development Finance Authority Series 2022 4.38%, 11/01/2045	$	2,500	$	2,145,401
Oklahoma Development Finance Authority (OU Medicine Obligated Group) Series 2022-A 5.50%, 08/15/2037		2,000		1,810,794
				3,956,195
Oregon – 1.5%
Deschutes County Hospital Facilities Authority (St. Charles Health System Obligated Group) Series 2016-A 4.00%, 01/01/2033		1,000		940,666
Lane County School District No. 4J Eugene Series 2022 5.00%, 06/15/2024		8,780		8,841,024
Oregon Health & Science University (Oregon Health & Science University Obligated Group) Series 2021-B 5.00%, 07/01/2046		4,750		4,917,694
Port of Portland OR Airport Revenue Series 2022-2 4.00%, 07/01/2038		5,000		4,385,669
4.00%, 07/01/2040		3,500		3,016,767
Tri-County Metropolitan Transportation District of Oregon Series 2018-A 5.00%, 10/01/2029		1,910		1,981,827
				24,083,647
Other – 0.2%
Federal Home Loan Mortgage Corp. Multifamily VRD Certificates (FHLMC Multifamily VRD Certificates) 2.65%, 06/15/2036(b)		3,700		2,797,737
Pennsylvania – 6.5%
Allegheny County Hospital Development Authority (UPMC Obligated Group) Series 2022 4.89% (MUNIPSA + 0.70%), 11/15/2047(a)		5,000		4,949,051

abfunds.com AB MUNICIPAL BOND INFLATION STRATEGY    ^|    39

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Berks County Municipal Authority (The) (Tower Health Obligated Group) Series 2012-A 4.50%, 11/01/2041	$	1,000	$	544,442
Series 2020-B 5.00%, 02/01/2040		2,000		1,412,112
Bucks County Industrial Development Authority (Grand View Hospital/Sellersville PA Obligated Group) Series 2021 5.00%, 07/01/2032		1,150		1,013,336
5.00%, 07/01/2033		1,150		1,001,523
5.00%, 07/01/2034		1,300		1,122,580
5.00%, 07/01/2035		1,050		895,284
Chester County Industrial Development Authority (Collegium Charter School) Series 2022 5.00%, 10/15/2032(b)		925		883,177
City of Philadelphia PA Series 2017 5.00%, 08/01/2028		12,990		13,360,875
City of Philadelphia PA Airport Revenue Series 2021 5.00%, 07/01/2028		3,035		3,090,349
City of Philadelphia PA Water & Wastewater Revenue Series 2017-A 5.00%, 10/01/2032		1,000		1,036,301
5.00%, 10/01/2033		1,135		1,173,290
Commonwealth of Pennsylvania Series 2017 5.00%, 01/01/2024		3,600		3,606,436
Hospitals & Higher Education Facilities Authority of Philadelphia (The) (Temple University Health System Obligated Group) AGM Series 2022 4.00%, 07/01/2040		10,000		8,698,326
Lancaster County Hospital Authority/PA (St. Anne’s Retirement Community Obligated Group) Series 2022 3.50%, 03/01/2025		955		920,967
5.00%, 03/01/2033		1,600		1,415,423

40    ^|    AB MUNICIPAL BOND INFLATION STRATEGY abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Montgomery County Higher Education and Health Authority (Thomas Jefferson University Obligated Group) Series 2018 5.00%, 09/01/2034	$	1,500	$	1,514,311
Series 2022 4.00%, 05/01/2036		1,100		994,669
4.00%, 05/01/2037		1,500		1,344,383
4.00%, 05/01/2038		1,375		1,215,589
4.00%, 05/01/2039		1,500		1,313,294
4.00%, 05/01/2040		2,000		1,735,251
4.00%, 05/01/2041		3,000		2,580,278
4.00%, 05/01/2042		2,125		1,813,059
Moon Industrial Development Authority (Baptist Homes Society) Series 2015 5.125%, 07/01/2025		890		845,367
Pennsylvania Economic Development Financing Authority (PA Bridges Finco LP) Series 2015 5.00%, 06/30/2042		1,000		919,877
Pennsylvania Economic Development Financing Authority (UPMC Obligated Group) Series 2022-C 4.89% (MUNIPSA + 0.70%), 11/15/2047(a)		5,000		4,945,449
Pennsylvania Higher Educational Facilities Authority (University of Pennsylvania Health System Obligated Group (The)) Series 2022 4.00%, 08/15/2042		2,000		1,719,272
Pennsylvania Turnpike Commission Series 2017 5.00%, 12/01/2028		1,750		1,822,958
5.00%, 12/01/2029		1,255		1,310,992
Series 2017-B 5.00%, 06/01/2034		5,830		5,952,503
5.00%, 06/01/2036		1,750		1,768,376
Series 2021-A 3.00%, 12/01/2042		1,245		865,752
Series 2021-B 4.00%, 12/01/2039		2,000		1,744,050

abfunds.com AB MUNICIPAL BOND INFLATION STRATEGY    ^|    41

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Series 2022-A 5.00%, 12/01/2036	$	1,000	$	1,050,417
Philadelphia Authority for Industrial Development (MaST Community Charter School III) Series 2021 5.00%, 08/01/2040		1,000		896,817
Pittsburgh Water & Sewer Authority AGM Series 2023-C 4.517% (SOFR + 0.80%), 09/01/2040(a)(b)		10,000		9,888,854
School District of Philadelphia (The) Series 2016-F 5.00%, 09/01/2034		5,000		5,032,738
Series 2023-A 5.25%, 09/01/2039(f)		2,000		2,059,352
5.25%, 09/01/2043(f)		4,000		4,046,330
				102,503,410
Puerto Rico – 0.5%
Commonwealth of Puerto Rico Series 2021-A Zero Coupon, 07/01/2024		127		123,279
Zero Coupon, 07/01/2033		4,179		2,386,826
4.00%, 07/01/2035		3		2,186
4.00%, 07/01/2046		3		2,310
5.625%, 07/01/2029		788		805,155
5.75%, 07/01/2031		228		234,580
Series 2022-C Zero Coupon, 11/01/2043		19		9,509
HTA HRRB Custodial Trust Series 2022 5.25%, 07/01/2036		100		100,425
HTA TRRB Custodial Trust Series 2022 5.25%, 07/01/2034		1,010		984,345
5.25%, 07/01/2036		1,095		1,099,651
5.25%, 07/01/2041		790		771,099
Puerto Rico Electric Power Authority AGM Series 2007-V 5.25%, 07/01/2031		970		957,306
Puerto Rico Highway & Transportation Authority Series 2022-B Zero Coupon, 07/01/2032		1,260		803,250

42    ^|    AB MUNICIPAL BOND INFLATION STRATEGY abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Puerto Rico Sales Tax Financing Corp. Sales Tax Revenue Series 2018-A 0.01%, 07/01/2024	$	447	$	433,118
				8,713,039
Rhode Island – 0.2%
Rhode Island Health and Educational Building Corp. (City of Newport RI) Series 2022-C 4.00%, 05/15/2040		3,435		3,079,026
South Carolina – 0.8%
Columbia Housing Authority/SC Series 2022 4.80%, 11/01/2024		525		511,088
5.26%, 11/01/2032		100		91,461
5.41%, 11/01/2039		1,315		1,152,375
6.28%, 11/01/2039		100		86,948
South Carolina Jobs-Economic Development Authority (Last Step Recycling LLC) Series 2021 6.25%, 06/01/2040(b)		1,000		736,528
South Carolina Public Service Authority Series 2016-A 5.00%, 12/01/2034		1,000		1,003,241
5.00%, 12/01/2036		1,535		1,515,755
Series 2016-B 5.00%, 12/01/2037		5,040		4,936,545
Series 2016-C 5.00%, 12/01/2035		930		931,126
Series 2021-B 4.00%, 12/01/2039		1,975		1,707,194
				12,672,261
Tennessee – 1.9%
Bristol Industrial Development Board (Bristol Industrial Development Board Sales Tax) Series 2016-A 5.00%, 12/01/2035(b)		1,410		1,239,605
Series 2016-B Zero Coupon, 12/01/2024(b)		1,405		1,318,194
Zero Coupon, 12/01/2031(b)		1,000		603,381
City of Pigeon Forge TN Series 2021-B 5.00%, 06/01/2024		4,545		4,574,869

abfunds.com AB MUNICIPAL BOND INFLATION STRATEGY    ^|    43

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Knox County Industrial Development Board (Tompaul Knoxville LLC) Series 2022 8.75%, 11/01/2032(b)	$	1,000	$	960,173
9.25%, 11/01/2042(b)		1,000		943,431
Metropolitan Nashville Airport Authority (The) Series 2022-B 5.50%, 07/01/2038		1,300		1,347,195
5.50%, 07/01/2042		1,485		1,514,350
State of Tennessee (Pre-refunded – US Treasuries) Series 2015-A 5.00%, 08/01/2034		2,750		2,811,203
Tennergy Corp./TN (Goldman Sachs Group, Inc. (The)) Series 2022-A 5.50%, 10/01/2053		5,000		5,016,130
Tennergy Corp./TN (Morgan Stanley) Series 2021-A 4.00%, 12/01/2051		9,015		8,499,441
Wilson County Health & Educational Facilities Board Series 2021 4.00%, 12/01/2039		1,000		747,113
4.25%, 12/01/2024		1,000		953,153
				��
				30,528,238
Texas – 4.3%
Central Texas Regional Mobility Authority Series 2021-B 5.00%, 01/01/2030		1,800		1,877,775
5.00%, 01/01/2034		1,575		1,648,377
5.00%, 01/01/2035		1,350		1,405,932
5.00%, 01/01/2037		1,675		1,717,039
5.00%, 01/01/2039		1,000		1,008,471
City of Houston TX Series 2021-A 5.00%, 03/01/2026		2,500		2,564,090
5.00%, 03/01/2027		4,180		4,334,145
City of Houston TX Airport System Revenue Series 2021-A 4.00%, 07/01/2035		1,100		1,024,457
5.00%, 07/01/2032		1,000		1,023,636
5.00%, 07/01/2033		3,000		3,069,378
City of Houston TX Combined Utility System Revenue Series 2014-C 5.00%, 05/15/2024		1,100		1,106,620

44    ^|    AB MUNICIPAL BOND INFLATION STRATEGY abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Series 2019-B 4.00%, 11/15/2039	$	1,015	$	902,532
City of San Antonio TX Electric & Gas Systems Revenue Series 2021-A 5.00%, 02/01/2038		1,750		1,792,331
5.00%, 02/01/2039		2,000		2,035,668
5.00%, 02/01/2040		2,470		2,502,161
Conroe Local Government Corp. (Conroe Local Government Corp. Conroe Convention Center Hotel) Series 2021 4.00%, 10/01/2041		905		756,743
Fort Worth Independent School District Series 2021-A 5.00%, 02/15/2026		2,900		2,975,963
5.00%, 02/15/2027		2,350		2,442,731
Harris County Cultural Education Facilities Finance Corp. (Memorial Hermann Health System Obligated Group) Series 2022 5.04% (MUNIPSA + 0.85%), 07/01/2049(a)		1,000		999,025
Harris County Cultural Education Facilities Finance Corp. (Texas Children’s Hospital Obligated Group) Series 2021 4.00%, 10/01/2041		2,000		1,708,029
Hidalgo County Regional Mobility Authority Series 2022-A 4.00%, 12/01/2040		1,000		829,087
4.00%, 12/01/2041		750		616,117
5.00%, 12/01/2033		750		751,392
Series 2022-B 4.00%, 12/01/2041		1,000		783,019
Lewisville Independent School District Series 2020 5.00%, 08/15/2024		2,295		2,314,996
Lower Colorado River Authority (LCRA Transmission Services Corp.) Series 2021 5.00%, 05/15/2029		800		836,810
New Hope Cultural Education Facilities Finance Corp. Series 2023 8.50%, 09/01/2027(e)		1,435		1,397,946

abfunds.com AB MUNICIPAL BOND INFLATION STRATEGY    ^|    45

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
New Hope Cultural Education Facilities Finance Corp. (Buckingham Senior Living Community, Inc. Obligated Group) Series 2021 2.00%, 11/15/2061(c)(d)(g)	$	927	$	347,663
7.50%, 11/15/2036(c)(d)		225		177,735
7.50%, 11/15/2037(c)(d)		35		25,608
New Hope Cultural Education Facilities Finance Corp. (Morningside Ministries Obligated Group) Series 2022 4.00%, 01/01/2042		1,825		1,233,957
Newark Higher Education Finance Corp. (TLC Academy) Series 2021-A 4.00%, 08/15/2041		1,690		1,289,603
North Texas Tollway Authority (North Texas Tollway System) Series 2021-B 4.00%, 01/01/2032		1,080		1,042,214
North Texas Tollway Authority (Pre-refunded – US Treasuries) Series 2017-A 5.00%, 01/01/2038		335		335,166
Port Authority of Houston of Harris County Texas Series 2021 5.00%, 10/01/2027		1,065		1,105,603
Port Beaumont Navigation District (Jefferson Railport Terminal II LLC) Series 2020 3.625%, 01/01/2035(b)		240		181,199
Series 2021 2.00%, 01/01/2027(b)		550		481,076
Spring Independent School District (Spring Independent School District) Series 2021 5.00%, 08/15/2027		1,430		1,492,098
Tarrant County Cultural Education Facilities Finance Corp. (CHRISTUS Health Obligated Group) Series 2018-A 5.00%, 07/01/2030		2,465		2,533,814
5.00%, 07/01/2031		10,940		11,216,580

46    ^|    AB MUNICIPAL BOND INFLATION STRATEGY abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Tarrant Regional Water District Water Supply System Revenue (Pre-refunded – US Govt Agencies) Series 2014 5.00%, 03/01/2044	$	2,000	$	2,006,490
				67,893,276
Utah – 0.3%
City of Salt Lake City UT Airport Revenue Series 2021-A 4.00%, 07/01/2040		2,915		2,512,536
Intermountain Power Agency Series 2023 5.00%, 07/01/2039		2,000		2,086,360
				4,598,896
Virginia – 1.0%
Align Affordable Housing Bond Fund LP (Park Landing LP) Series 2022-2 5.66%, 08/01/2052		2,000		1,714,681
Halifax County Industrial Development Authority (Virginia Electric and Power Co.) Series 2022 1.65%, 12/01/2041		5,000		4,893,361
Hampton Roads Transportation Accountability Commission (Pre-refunded – US Govt Agencies) Series 2021-A 5.00%, 07/01/2026		2,685		2,748,002
US Bank Trust Co NA (Park Landing LP) Series 2022-B 5.90%, 08/01/2052		312		270,595
Virginia Small Business Financing Authority Series 2023 5.00%, 11/01/2052(f)		2,000		1,999,680
Virginia Small Business Financing Authority (Pure Salmon Virginia, LLC) Series 2022 3.50%, 11/01/2052		4,000		4,000,000
				15,626,319
Washington – 5.8%
Energy Northwest (Bonneville Power Administration) Series 2016 5.00%, 07/01/2025		19,925		20,311,932

abfunds.com AB MUNICIPAL BOND INFLATION STRATEGY    ^|    47

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Series 2021-A 4.00%, 07/01/2042	$	1,000	$	880,825
Port of Seattle WA Series 2013 5.00%, 07/01/2024		4,820		4,821,106
Series 2018-A 5.00%, 05/01/2029		8,280		8,382,557
5.00%, 05/01/2030		6,200		6,258,859
5.00%, 05/01/2038		1,000		982,364
Series 2019 5.00%, 04/01/2033		2,000		2,036,252
5.00%, 04/01/2034		1,000		1,015,889
Series 2021 4.00%, 08/01/2041		13,380		11,273,940
Series 2022 5.00%, 08/01/2024		2,000		2,007,731
Spokane County School District No. 81 Spokane Series 2012 3.00%, 12/01/2031		5,000		4,404,603
State of Washington Series 2015-R 5.00%, 07/01/2026		13,325		13,487,509
University of Washington Series 2022-B 2.787%, 07/01/2033		2,500		1,995,856
Washington Economic Development Finance Authority (Mura Cascade ELP LLC) Series 2022 3.90%, 12/01/2042(b)		12,400		12,384,087
Washington State Housing Finance Commission (Presbyterian Retirement Communities Northwest Obligated Group) Series 2016 5.00%, 01/01/2036(b)		2,125		1,748,633
				91,992,143
West Virginia – 0.4%
City of South Charleston WV (City of South Charleston WV South Charleston Park Place Excise Tax District) Series 2022 4.25%, 06/01/2042(b)		1,185		866,387
Tobacco Settlement Finance Authority/WV Series 2020 4.875%, 06/01/2049		2,565		2,282,897

48    ^|    AB MUNICIPAL BOND INFLATION STRATEGY abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
West Virginia Economic Development Authority (Arch Resources, Inc.) Series 2021 4.125%, 07/01/2045	$	265	$	259,060
Series 2023 9.00%, 06/01/2038(b)		2,500		2,366,419
				5,774,763
Wisconsin – 1.7%
St. Croix Chippewa Indians of Wisconsin Series 2021 5.00%, 09/30/2041(b)		1,000		698,650
State of Wisconsin Series 2021-2 5.00%, 05/01/2026		5,850		6,033,569
UMA Education, Inc. Series 2019 5.00%, 10/01/2025(b)		555		549,898
5.00%, 10/01/2026(b)		590		582,751
5.00%, 10/01/2027(b)		610		601,677
5.00%, 10/01/2028(b)		335		329,409
5.00%, 10/01/2029(b)		155		151,506
Wisconsin Health & Educational Facilities Authority (Advocate Aurora Health Obligated Group) Series 2023 5.00%, 08/15/2054		2,000		2,036,992
Wisconsin Housing & Economic Development Authority (Roers Sun Prairie Apartments Owner LLC) Series 2022 4.625%, 03/15/2040(b)		280		222,362
Series 2022-A 3.875%, 12/01/2039(b)		1,285		1,007,427
Wisconsin Public Finance Authority Series 2022 5.50%, 02/01/2042(b)		3,100		2,758,294
Wisconsin Public Finance Authority (Appalachian Regional Healthcare System Obligated Group) Series 2021 5.00%, 07/01/2035		300		294,675
5.00%, 07/01/2036		350		337,514
5.00%, 07/01/2038		375		349,896

abfunds.com AB MUNICIPAL BOND INFLATION STRATEGY    ^|    49

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Wisconsin Public Finance Authority (Catholic Bishop of Chicago (The)) Series 2021 5.75%, 07/25/2041(e)	$	5,000	$	4,025,664
Wisconsin Public Finance Authority (CFC-SA LLC) Series 2022 5.00%, 02/01/2042		2,000		1,843,895
Wisconsin Public Finance Authority (National Senior Communities, Inc. Obligated Group) Series 2022 4.00%, 01/01/2042		1,375		1,121,701
Wisconsin Public Finance Authority (Prerefunded – US Treasuries) Series 2022 4.00%, 04/01/2032(b)		15		15,053
Wisconsin Public Finance Authority (Renown Regional Medical Center Obligated Group) Series 2020 4.00%, 06/01/2035		1,220		1,065,645
Wisconsin Public Finance Authority (Roseman University of Health Sciences) Series 2022 4.00%, 04/01/2032(b)		860		779,954
Wisconsin Public Finance Authority (Samaritan Housing Foundation Obligated Group) Series 2021-B 2.25%, 06/01/2027(b)		1,500		1,376,431
				26,182,963
Total Municipal Obligations (cost $1,635,911,787)				1,497,625,095
COMMERCIAL MORTGAGE-BACKED SECURITIES – 1.6%
Agency CMBS – 0.2%
Federal Home Loan Mortgage Corp. Series 2021-ML10, Class ACA 2.046%, 06/25/2038		973		676,979
Federal Home Loan Mortgage Corp. Multifamily VRD Certificates Series 2021-ML12, Class AUS 2.34%, 07/25/2041(b)		2,456		1,720,031
Series 2022-ML13, Class XCA 0.955%, 07/25/2036(i)		1,173		64,494

50    ^|    AB MUNICIPAL BOND INFLATION STRATEGY abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Series 2022-ML13, Class XUS 0.984%, 09/25/2036(i)	$	2,068	$	140,165
				2,601,669
Non-Agency Fixed Rate CMBS – 1.4%
California Housing Finance Agency Series 2021-1, Class A 3.50%, 11/20/2035		962		832,134
California Housing Finance Agency Series 2021-2, Class A 3.75%, 03/25/2035		4,870		4,450,091
Series 2021-2, Class X 0.82%, 03/25/2035(i)		2,435		117,919
Series 2021-3, Class A 3.25%, 08/20/2036		1,941		1,662,904
National Finance Authority Series 2022-2, Class X 0.674%, 10/01/2036(i)		4,933		233,659
New Hampshire Business Finance Authority Series 2022-1, Class A 4.375%, 09/20/2036		9,832		8,970,561
Series 2020-1, Class A 4.125%, 01/20/2034		1,468		1,351,238
Series 2022-2, Class A 4.00%, 10/20/2036		4,933		4,352,333
New Hampshire Business Finance Authority Series 2022-2 0.334%, 09/20/2036(i)		8,357		182,736
Washington State Housing Finance Commission
Series 2021-1, Class A 3.50%, 12/20/2035		965		818,724
Series 2021-1, Class X 0.726%, 12/20/2035(i)		967		43,181
Series 2023-1, Class X 1.447%, 04/20/2037(i)		3,000		320,954
				23,336,434
Total Commercial Mortgage-Backed Securities (cost $30,199,836)				25,938,103
CORPORATES - INVESTMENT GRADE – 0.8%
Industrial – 0.8%
Capital Goods – 0.2%
Caterpillar Financial Services Corp. 5.614% (SOFR + 0.27%), 09/13/2024(a)		2,500		2,498,500

abfunds.com AB MUNICIPAL BOND INFLATION STRATEGY    ^|    51

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Consumer Non-Cyclical – 0.6%
Baylor Scott & White Holdings Series 2021 0.827%, 11/15/2025	$	1,000	$	894,790
1.777%, 11/15/2030		1,000		761,490
Hackensack Meridian Health, Inc. Series 2020 2.675%, 09/01/2041		1,790		1,108,064
Ochsner LSU Health System of North Louisiana Series 2021 2.51%, 05/15/2031		2,300		1,444,400
Sutter Health Series 20A 3.161%, 08/15/2040		1,000		666,430
UPMC Series D-1 3.60%, 04/03/2025		5,600		5,412,624
				10,287,798
Total Corporates - Investment Grade (cost $15,356,655)				12,786,298
CORPORATES - NON-INVESTMENT GRADE – 0.3%
Industrial – 0.3%
Communications - Media – 0.2%
CCO Holdings LLC/CCO Holdings Capital Corp. 4.25%, 01/15/2034(b)		1,933		1,395,587
DISH DBS Corp. 5.25%, 12/01/2026(b)		959		774,767
5.75%, 12/01/2028(b)		996		712,070
				2,882,424
Consumer Non-Cyclical – 0.1%
Medline Borrower LP 3.875%, 04/01/2029(b)		2,000		1,687,860
Energy – 0.0%
Red River Biorefinery LLC Series 23A 15.00%, 12/31/2023(e)(j)(k)		65		65,000
Total Corporates - Non-Investment Grade (cost $5,951,782)				4,635,284

52    ^|    AB MUNICIPAL BOND INFLATION STRATEGY abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
ASSET-BACKED SECURITIES – 0.2%
Other ABS - Fixed Rate – 0.2%
Commonwealth of Massachusetts Series 2022-B 4.11%, 07/15/2031	$	2,411	$	2,315,361
Tarrant County Cultural Education Facilities Finance Corp. Series 2015-A 5.00%, 11/15/2025(c)(d)(j)(k)(l)		931		– 0	–
Total Asset-Backed Securities (cost $3,391,424)				2,315,361
COLLATERALIZED MORTGAGE OBLIGATIONS – 0.0%
Risk Share Floating Rate – 0.0%
Federal Home Loan Mortgage Corp. Structured Agency Credit Risk Debt Notes Series 2013-DN2, Class M2 9.685% (SOFR + 4.36%), 11/25/2023(a)		96		96,138
Series 2014-DN3, Class M3 9.435% (SOFR + 4.11%), 08/25/2024(a)		28		27,920
Federal National Mortgage Association Connecticut Avenue Securities Series 2014-C03, Class 2M2 8.335% (SOFR + 3.01%), 07/25/2024(a)		36		35,936
Series 2015-C02, Class 1M2 9.435% (SOFR + 4.11%), 05/25/2025(a)		44		45,533
Total Collateralized Mortgage Obligations (cost $202,772)				205,527
	Shares
SHORT-TERM INVESTMENTS – 0.4%
Investment Companies – 0.4%
AB Fixed Income Shares, Inc. – Government Money Market Portfolio – Class AB, 5.27%(m)(n)(o) (cost $6,662,388)		6,662,388		6,662,388
Total Investments – 98.2%
(cost $1,697,676,644)				1,550,168,056
Other assets less liabilities – 1.8%				28,128,118
Net Assets – 100.0%			$	1,578,296,174

abfunds.com AB MUNICIPAL BOND INFLATION STRATEGY    ^|    53

PORTFOLIO OF INVESTMENTS (continued)

CENTRALLY CLEARED CREDIT DEFAULT SWAPS (see Note D)

Description	Fixed Rate (Pay) Receive			Payment Frequency		Implied Credit Spread at October 31, 2023			Notional Amount (000)			Market Value		Upfront Premiums Paid (Received)			Unrealized Appreciation (Depreciation)
Buy Contracts
CDX-NAHY Series 41, 5 Year Index, 12/20/2028*		(5.00	)%		Quarterly		5.16	%		USD	10,200	$	3,690	$	(96,177	)	$	99,867

* Termination date

CENTRALLY CLEARED INFLATION (CPI) SWAPS (see Note D)

				Rate Type
Notional Amount (000)		Termination Date		Payments made by the Fund		Payments received by the Fund		Payment Frequency Paid/ Received	Market Value		Upfront Premiums Paid (Received)			Unrealized Appreciation (Depreciation)
USD	30,000		08/06/2024		2.815%		CPI#	Maturity	$	2,172,957	$	– 0	–	$	2,172,957
USD	5,345		01/15/2025		2.565%		CPI#	Maturity		522,495		– 0	–		522,495
USD	2,673		01/15/2025		2.585%		CPI#	Maturity		259,130		– 0	–		259,130
USD	2,672		01/15/2025		2.613%		CPI#	Maturity		256,053		– 0	–		256,053
USD	48,000		01/15/2026		3.508%		CPI#	Maturity		2,275,547		– 0	–		2,275,547
USD	30,000		08/06/2026		2.689%		CPI#	Maturity		2,058,271		– 0	–		2,058,271
USD	25,000		10/04/2026		2.725%		CPI#	Maturity		1,406,981		– 0	–		1,406,981
USD	74,000		01/15/2028		3.232%		CPI#	Maturity		3,538,497		– 0	–		3,538,497
USD	19,310		01/15/2028		1.230%		CPI#	Maturity		3,510,427		– 0	–		3,510,427
USD	14,770		01/15/2028		0.735%		CPI#	Maturity		3,202,883		– 0	–		3,202,883
USD	25,000		10/04/2028		2.661%		CPI#	Maturity		1,468,476		– 0	–		1,468,476
USD	12,000		08/29/2029		1.748%		CPI#	Maturity		1,899,868		– 0	–		1,899,868
USD	4,825		01/15/2030		1.572%		CPI#	Maturity		835,277		– 0	–		835,277
USD	4,825		01/15/2030		1.587%		CPI#	Maturity		828,961		– 0	–		828,961
USD	1,670		01/15/2030		1.714%		CPI#	Maturity		268,288		– 0	–		268,288
USD	1,670		01/15/2030		1.731%		CPI#	Maturity		265,779		– 0	–		265,779
USD	7,850		01/15/2031		2.782%		CPI#	Maturity		586,091		– 0	–		586,091
USD	6,150		01/15/2031		2.680%		CPI#	Maturity		517,143		– 0	–		517,143
USD	15,000		12/02/2035		2.074%		CPI#	Maturity		2,279,476		– 0	–		2,279,476
USD	25,000		04/01/2036		2.438%		CPI#	Maturity		2,630,179		– 0	–		2,630,179
USD	32,000		04/29/2036		2.503%		CPI#	Maturity		3,066,191		– 0	–		3,066,191
USD	10,000		05/01/2036		2.510%		CPI#	Maturity		948,030		– 0	–		948,030
USD	10,000		08/03/2036		2.488%		CPI#	Maturity		856,346		– 0	–		856,346
USD	20,000		08/06/2036		2.440%		CPI#	Maturity		1,811,538		– 0	–		1,811,538
USD	40,000		10/04/2036		2.510%		CPI#	Maturity		2,934,031		– 0	–		2,934,031
									$	40,398,915	$	– 0	–	$	40,398,915

# Variable interest rate based on the rate of inflation as determined by the Consumer Price Index (CPI).

54    ^|    AB MUNICIPAL BOND INFLATION STRATEGY abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

CENTRALLY CLEARED INTEREST RATE SWAPS (see Note D)

				Rate Type
Notional Amount (000)		Termination Date		Payments made by the Fund		Payments received by the Fund		Payment Frequency Paid/ Received	Market Value			Upfront Premiums Paid (Received)			Unrealized Appreciation (Depreciation)
USD	31,900		07/31/2030		1 Day SOFR		4.016%	Annual	$	(1,004,077	)	$	– 0	–	$	(1,004,077	)
USD	25,600		07/31/2030		1 Day SOFR		3.897%	Annual		(967,114	)		– 0	–		(967,114	)
USD	8,600		07/31/2030		1 Day SOFR		4.504%	Annual		(8,973	)		– 0	–		(8,973	)
USD	50,800		03/31/2033		3.553%		1 Day SOFR	Annual		3,977,114			– 0	–		3,977,114
									$	1,996,950		$	– 0	–	$	1,996,950

CREDIT DEFAULT SWAPS (see Note D)

Swap Counterparty & Referenced Obligation	Fixed Rate (Pay) Receive			Payment Frequency		Implied Credit Spread at October 31, 2023			Notional Amount (000)			Market Value			Upfront Premiums Paid (Received)			Unrealized Appreciation (Depreciation)
Sale Contracts
Citigroup Global Markets, Inc.
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00	%		Monthly		7.50	%		USD	33	$	(4,358	)	$	(2,969	)	$	(1,389	)
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50			USD	283		(37,768	)		(33,198	)		(4,570	)
Credit Suisse International
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50			USD	19		(2,527	)		(2,154	)		(373	)
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50			USD	18		(2,400	)		(1,650	)		(750	)
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50			USD	102		(13,643	)		(11,523	)		(2,120	)
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50			USD	184		(24,506	)		(16,430	)		(8,076	)
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50			USD	223		(29,748	)		(20,480	)		(9,268	)
Goldman Sachs International
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50			USD	109		(14,590	)		(12,771	)		(1,819	)
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50			USD	291		(38,779	)		(25,248	)		(13,531	)
												$	(168,319	)	$	(126,423	)	$	(41,896	)

* Termination date

abfunds.com AB MUNICIPAL BOND INFLATION STRATEGY    ^|    55

PORTFOLIO OF INVESTMENTS (continued)

INFLATION (CPI) SWAPS (see Note D)

Rate Type

Swap Counterparty

Notional Amount (000)

Termination Date

Payments made by the Fund

Payments received by the Fund

Payment Frequency Paid/ Received

Market Value

Upfront Premiums Paid (Received)

Unrealized Appreciation (Depreciation)

Bank of America, NA

USD

25,000

02/02/2032

2.403%

CPI#

Maturity

$

2,479,146

$

– 0

–

$

2,479,146

Bank of America, NA

USD

50,000

02/15/2041

2.403%

CPI#

Maturity

1,993,349

– 0

–

1,993,349

Bank of America, NA

USD

30,000

02/15/2041

2.463%

CPI#

Maturity

969,628

– 0

–

969,628

Barclays Bank PLC

USD

19,000

05/05/2025

2.125%

CPI#

Maturity

2,055,913

– 0

–

2,055,913

Barclays Bank PLC

USD

20,000

06/06/2032

2.145%

CPI#

Maturity

2,722,591

– 0

–

2,722,591

Barclays Bank PLC

USD

14,000

09/01/2032

2.128%

CPI#

Maturity

1,978,445

– 0

–

1,978,445

Barclays Bank PLC

USD

22,000

08/29/2033

2.368%

CPI#

Maturity

2,255,369

– 0

–

2,255,369

Citibank, NA

USD

30,000

09/19/2024

2.070%

CPI#

Maturity

3,737,080

– 0

–

3,737,080

Citibank, NA

USD

25,000

07/03/2025

2.351%

CPI#

Maturity

2,296,029

– 0

–

2,296,029

Citibank, NA

USD

12,000

11/05/2033

2.273%

CPI#

Maturity

1,405,469

– 0

–

1,405,469

Citibank, NA

USD

35,000

02/15/2041

2.888%

CPI#

Maturity

195,326

– 0

–

195,326

Citibank, NA

USD

13,000

02/15/2041

2.744%

CPI#

Maturity

341,619

– 0

–

341,619

Deutsche Bank AG

USD

25,000

09/02/2025

1.880%

CPI#

Maturity

3,238,207

– 0

–

3,238,207

Goldman Sachs International

USD

400,000

04/15/2024

5.207%

CPI#

Maturity

5,825,452

– 0

–

5,825,452

Goldman Sachs International

USD

39,000

01/15/2027

3.534%

CPI#

Maturity

1,386,049

– 0

–

1,386,049

Goldman Sachs International

USD

18,000

04/15/2032

2.994%

CPI#

Maturity

861,122

– 0

–

861,122

Goldman Sachs International

USD

100,000

02/15/2041

2.665%

CPI#

Maturity

657,033

– 0

–

657,033

Goldman Sachs International

USD

20,000

02/15/2041

2.890%

CPI#

Maturity

104,311

– 0

–

104,311

Goldman Sachs International

USD

15,000

02/15/2041

2.815%

CPI#

Maturity

242,622

– 0

–

242,622

Goldman Sachs International

USD

14,000

02/15/2041

2.380%

CPI#

Maturity

1,071,033

– 0

–

1,071,033

Goldman Sachs International

USD

7,000

02/15/2041

2.413%

CPI#

Maturity

505,032

– 0

–

505,032

JPMorgan Chase Bank, NA

USD

13,000

03/01/2027

2.279%

CPI#

Maturity

1,315,360

– 0

–

1,315,360

JPMorgan Chase Bank, NA

USD

10,000

07/03/2028

2.356%

CPI#

Maturity

956,855

– 0

–

956,855

JPMorgan Chase Bank, NA

USD

25,000

11/05/2028

2.234%

CPI#

Maturity

2,719,228

– 0

–

2,719,228

JPMorgan Chase Bank, NA

USD

18,000

04/17/2030

2.378%

CPI#

Maturity

1,728,010

– 0

–

1,728,010

JPMorgan Chase Bank, NA

USD

29,000

04/15/2032

2.944%

CPI#

Maturity

1,533,875

– 0

–

1,533,875

56    ^|    AB MUNICIPAL BOND INFLATION STRATEGY abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

Rate Type

Swap Counterparty

Notional Amount (000)

Termination Date

Payments made by the Fund

Payments received by the Fund

Payment Frequency Paid/ Received

Market Value

Upfront Premiums Paid (Received)

Unrealized Appreciation (Depreciation)

JPMorgan Chase Bank, NA

USD

24,000

11/17/2032

2.183%

CPI#

Maturity

$

3,163,567

$

– 0

–

$

3,163,567

JPMorgan Chase Bank, NA

USD

76,000

02/15/2041

2.605%

CPI#

Maturity

1,087,501

– 0

–

1,087,501

$

48,825,221

$

– 0

–

$

48,825,221

# Variable interest rate based on the rate of inflation as determined by the Consumer Price Index (CPI).

INTEREST RATE SWAPS (see Note D)

Rate Type

Swap Counterparty

Notional Amount (000)

Termination Date

Payments made by the Fund

Payments received by the Fund

Payment Frequency Paid/ Received

Market Value

Upfront Premiums Paid/ (Received)

Unrealized Appreciation/ (Depreciation)

Citibank, NA

USD

11,075

10/09/2029

1.125%

SIFMA*

Quarterly

$

1,378,894

$

– 0 –

$

1,378,894

* Variable interest rate based on the Securities Industry & Financial Markets Association (SIFMA) Municipal Swap Index.

(a) Floating Rate Security. Stated interest/floor/ceiling rate was in effect at October 31, 2023.

(b) Security is exempt from registration under Rule 144A or Regulation S of the Securities Act of 1933. These securities are considered restricted, but liquid and may be resold in transactions exempt from registration. At October 31, 2023, the aggregate market value of these securities amounted to $124,268,703 or 7.9% of net assets.

(c) Non-income producing security.

(d) Defaulted.

(e) Security is exempt from registration under Rule 144A or Regulation S of the Securities Act of 1933. These securities, which represent 1.39% of net assets as of October 31, 2023, are considered illiquid and restricted. Additional information regarding such securities follows:

144A/Restricted & Illiquid Securities	Acquisition Date		Cost		Market Value		Percentage of Net Assets
ARC70 II TRUST Series 2023 4.84%, 04/01/2065		07/18/2023	$	5,000,000	$	4,791,635		0.30	%
Arizona Industrial Development Authority (Legacy Cares, Inc.) Series 2020 6.50%, 07/01/2026		06/13/2022		1,038,658		60,000		0.00	%
Arizona Industrial Development Authority (Legacy Cares, Inc.) Series 2020 6.75%, 07/01/2030		07/21/2022		1,036,663		60,000		0.00	%
County of Grand Forks ND (Red River Biorefinery LLC) Series 2021 6.625%, 12/15/2031		05/21/2021		425,000		85,000		0.01	%

abfunds.com AB MUNICIPAL BOND INFLATION STRATEGY    ^|    57

PORTFOLIO OF INVESTMENTS (continued)

144A/Restricted & Illiquid Securities	Acquisition Date		Cost		Market Value		Percentage of Net Assets
County of Grand Forks ND (Red River Biorefinery LLC) Series 2021 7.00%, 12/15/2043		05/21/2021	$	440,000	$	88,000		0.01	%
Indiana Finance Authority (Brightmark Plastics Renewal Indiana LLC) Series 2019 7.00%, 03/01/2039		03/28/2019		2,278,176		1,606,591		0.10	%
New Hope Cultural Education Facilities Finance Corp. Series 2023 8.50%, 09/01/2027		02/03/2023		1,435,000		1,397,946		0.09	%
Red River Biorefinery LLC Series 23A 15.00%, 12/31/2023		05/31/2023		65,000		65,000		0.00	%
University of Toledo Series 2023-B 4.61%, 06/01/2036		06/30/2023		10,000,000		9,832,986		0.62	%
Wisconsin Public Finance Authority (Catholic Bishop of Chicago (The)) Series 2021 5.75%, 07/25/2041		08/03/2021		5,000,000		4,025,664		0.26	%

(f) When-Issued or delayed delivery security.

(g) Coupon rate adjusts periodically based upon a predetermined schedule. Stated interest rate in effect at October 31, 2023.

(h) Inverse floater security.

(i) IO – Interest Only.

(j) Security in which significant unobservable inputs (Level 3) were used in determining fair value.

(k) Fair valued by the Adviser.

(l) Restricted and illiquid security.

Restricted & Illiquid Securities	Acquisition Date		Cost		Market Value		Percentage of Net Assets
Tarrant County Cultural Education Facilities Finance Corp. Series 2015-A 5.00%, 11/15/2025		01/30/2020 - 07/06/2023	$	980,595	$	– 0 –		0.00	%

(m) Affiliated investments.

(n) To obtain a copy of the fund’s shareholder report, please go to the Securities and Exchange Commission’s website at www.sec.gov. Additionally, shareholder reports for AB funds can be obtained by calling AB at (800) 227-4618.

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

As of October 31, 2023, the Fund’s percentages of investments in municipal bonds that are insured and in insured municipal bonds that have been pre-refunded or escrowed to maturity are 3.0% and 0.0%, respectively.

58    ^|    AB MUNICIPAL BOND INFLATION STRATEGY abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

Glossary:

ABS – Asset-Backed Securities

AGM – Assured Guaranty Municipal

CDX-CMBX.NA – North American Commercial Mortgage-Backed Index

CDX-NAHY – North American High Yield Credit Default Swap Index

CMBS – Commercial Mortgage-Backed Securities

COP – Certificate of Participation

CPI – Consumer Price Index

ETM – Escrowed to Maturity

FHLMC – Federal Home Loan Mortgage Corporation

LIBOR – London Interbank Offered Ra

MUNIPSA – SIFMA Municipal Swap Index

NATL – National Interstate Corporation

SOFR – Secured Overnight Financing Rate

SRF – State Revolving Fund

UPMC – University of Pittsburgh Medical Center

XLCA – XL Capital Assurance Inc.

See notes to financial statements.

abfunds.com AB MUNICIPAL BOND INFLATION STRATEGY    ^|    59

STATEMENT OF ASSETS & LIABILITIES

October 31, 2023

Assets
Investments in securities, at value
Unaffiliated issuers (cost $1,691,014,256)	$	1,543,505,668
Affiliated issuers (cost $6,662,388)		6,662,388
Cash		2,387
Cash collateral due from broker		18,349,472
Unrealized appreciation on inflation swaps		48,825,221
Interest receivable		21,243,338
Unrealized appreciation on interest rate swaps		1,378,894
Receivable for capital stock sold		878,275
Receivable for investment securities sold		175,000
Affiliated dividends receivable		13,803
Total assets		1,641,034,446
Liabilities
Cash collateral due to broker		34,796,394
Payable for investment securities purchased		19,006,202
Payable for capital stock redeemed		7,173,476
Advisory fee payable		554,045
Payable for variation margin on centrally cleared swaps		272,930
Market value on credit default swaps (net premiums received $126,423)		168,319
Distribution fee payable		97,113
Administrative fee payable		27,847
Transfer Agent fee payable		19,843
Directors’ fees payable		3,123
Accrued expenses		618,980
Total liabilities		62,738,272
Net Assets	$	1,578,296,174
Composition of Net Assets
Capital stock, at par	$	153,950
Additional paid-in capital		1,700,943,017
Accumulated loss		(122,800,793	)
Net Assets	$	1,578,296,174

Net Asset Value Per Share—30 billion shares of capital stock authorized, $.001 par value

Class	Net Assets		Shares Outstanding		Net Asset Value
A	$	185,880,910		18,082,695	$	10.28	*
C	$	18,850,193		1,836,229	$	10.27
Advisor	$	610,806,274		59,374,561	$	10.29
1	$	504,942,569		49,434,568	$	10.21
2	$	257,816,228		25,222,133	$	10.22

* The maximum offering price per share for Class A shares was $10.60 which reflects a sales charge of 3.00%.

See notes to financial statements.

60    ^|    AB MUNICIPAL BOND INFLATION STRATEGY abfunds.com

STATEMENT OF OPERATIONS

Year Ended October 31, 2023

Investment Income
Interest	$	52,315,172
Dividends—Affiliated issuers		558,370
Other income		66,182		$	52,939,724
Expenses
Advisory fee (see Note B)		9,502,330
Distribution fee—Class A		567,899
Distribution fee—Class C		226,421
Distribution fee—Class 1		570,499
Transfer agency—Class A		108,042
Transfer agency—Class C		10,794
Transfer agency—Advisor Class		371,977
Transfer agency—Class 1		32,834
Transfer agency—Class 2		17,225
Custody and accounting		240,786
Registration fees		169,638
Printing		121,723
Audit and tax		94,164
Administrative		85,966
Legal		66,747
Directors’ fees		41,272
Miscellaneous		63,249
Total expenses before bank overdraft expense		12,291,566
Bank overdraft expense		108,403
Total expenses		12,399,969
Less: expenses waived and reimbursed by the Adviser (see Note B)		(1,437,119	)
Net expenses					10,962,850
Net investment income					41,976,874
Realized and Unrealized Gain (Loss) on Investment Transactions
Net realized gain (loss) on:
Investment transactions					(54,384,823	)
Swaps					52,225,314
Net change in unrealized appreciation (depreciation) of:
Investments					83,969,181
Swaps					(56,807,491	)
Net gain on investment transactions					25,002,181
Net Increase in Net Assets from Operations				$	66,979,055

See notes to financial statements.

abfunds.com AB MUNICIPAL BOND INFLATION STRATEGY    ^|    61

STATEMENT OF CHANGES IN NET ASSETS

	Year Ended October 31, 2023			Year Ended October 31, 2022
Increase (Decrease) in Net Assets from Operations
Net investment income	$	41,976,874		$	36,017,887
Net realized loss on investment transactions		(2,159,509	)		(40,805,988	)
Net change in unrealized appreciation (depreciation) of investments		27,161,690			(154,403,003	)
Net increase (decrease) in net assets from operations		66,979,055			(159,191,104	)
Distributions to Shareholders
Class A		(4,978,141	)		(4,564,616	)
Class C		(322,763	)		(123,917	)
Advisor Class		(19,005,152	)		(16,355,224	)
Class 1		(13,585,528	)		(8,507,777	)
Class 2		(7,460,044	)		(4,417,481	)
Capital Stock Transactions
Net increase (decrease)		(636,425,654	)		370,480,605
Total increase (decrease)		(614,798,227	)		177,320,486
Net Assets
Beginning of period		2,193,094,401			2,015,773,915
End of period	$	1,578,296,174		$	2,193,094,401

See notes to financial statements.

62    ^|    AB MUNICIPAL BOND INFLATION STRATEGY abfunds.com

NOTES TO FINANCIAL STATEMENTS

October 31, 2023

NOTE A

Significant Accounting Policies

AB Bond Fund, Inc. (the “Company”) is registered under the Investment Company Act of 1940 (the “1940 Act”) as an open-end management investment company. The Company, which is a Maryland corporation, operates as a series company comprised of nine portfolios currently in operation. Each portfolio is considered to be a separate entity for financial reporting and tax purposes. This report relates only to the AB Municipal Bond Inflation Strategy (the “Fund”), a diversified portfolio. The Fund offers Class A, Class C, Advisor Class, Class 1 and Class 2 shares. Class 1 shares are sold only to the private clients of Sanford C. Bernstein & Co. LLC by its registered representatives. Class B, Class R, Class K, Class I and Class T shares have been authorized but currently are not offered. Class A shares are sold with a front-end sales charge of up to 3% for purchases not exceeding $500,000. With respect to purchases of $500,000 or more, Class A shares redeemed within one year of purchase may be subject to a contingent deferred sales charge of 1%. Class C shares are subject to a contingent deferred sales charge of 1% on redemptions made within the first year after purchase, and 0% after the first year of purchase. Class C shares automatically convert to Class A shares eight years after the end of the calendar month of purchase. Advisor Class and Class 2 shares are sold without an initial or contingent deferred sales charge and are not subject to ongoing distribution expenses. Class 1 shares are sold without an initial or contingent deferred sales charge, but are subject to ongoing distribution expenses. All 10 classes of shares have identical voting, dividend, liquidation and other rights, except that the classes bear different distribution and transfer agency expenses. Each class has exclusive voting rights with respect to its distribution plan. The financial statements have been prepared in conformity with U.S. generally accepted accounting principles (“U.S. GAAP”), which require management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities in the financial statements and amounts of income and expenses during the reporting period. Actual results could differ from those estimates. The Fund is an investment company under U.S. GAAP and follows the accounting and reporting guidance applicable to investment companies. The following is a summary of significant accounting policies followed by the Fund.

1. Security Valuation

Portfolio securities are valued at market value determined on the basis of market quotations or, if market quotations are not readily available or are unreliable, at “fair value” as determined in accordance with procedures approved by and under the oversight of the Company’s Board of Directors (the “Board”). Pursuant to these procedures, AllianceBernstein L.P. (the

abfunds.com AB MUNICIPAL BOND INFLATION STRATEGY    ^|    63

NOTES TO FINANCIAL STATEMENTS (continued)

“Adviser”) serves as the Company’s valuation designee pursuant to Rule 2a-5 of the 1940 Act. In this capacity, the Adviser is responsible, among other things, for making all fair value determinations relating to the Fund’s portfolio investments, subject to the Board’s oversight.

In general, the market values of securities which are readily available and deemed reliable are determined as follows: securities listed on a national securities exchange (other than securities listed on the NASDAQ Stock Market, Inc. (“NASDAQ”)) or on a foreign securities exchange are valued at the last sale price at the close of the exchange or foreign securities exchange. If there has been no sale on such day, the securities are valued at the last traded price from the previous day. Securities listed on more than one exchange are valued by reference to the principal exchange on which the securities are traded; securities listed only on NASDAQ are valued in accordance with the NASDAQ Official Closing Price; listed or over the counter (“OTC”) market put or call options are valued at the mid level between the current bid and ask prices. If either a current bid or current ask price is unavailable, the Adviser will have discretion to determine the best valuation (e.g., last trade price in the case of listed options); open futures are valued using the closing settlement price or, in the absence of such a price, the most recent quoted bid price. If there are no quotations available for the day of valuation, the last available closing settlement price is used; U.S. Government securities and any other debt instruments having 60 days or less remaining until maturity are generally valued at market by an independent pricing vendor, if a market price is available. If a market price is not available, the securities are valued at amortized cost. This methodology is commonly used for short term securities that have an original maturity of 60 days or less, as well as short term securities that had an original term to maturity that exceeded 60 days. In instances when amortized cost is utilized, the Valuation Committee (the “Committee”) must reasonably conclude that the utilization of amortized cost is approximately the same as the fair value of the security. Factors the Committee will consider include, but are not limited to, an impairment of the creditworthiness of the issuer or material changes in interest rates. Fixed-income securities, including mortgage-backed and asset-backed securities, may be valued on the basis of prices provided by a pricing service or at a price obtained from one or more of the major broker-dealers. In cases where broker-dealer quotes are obtained, the Adviser may establish procedures whereby changes in market yields or spreads are used to adjust, on a daily basis, a recently obtained quoted price on a security. Swaps and other derivatives are valued daily, primarily using independent pricing services, independent pricing models using market inputs, as well as third party broker-dealers or counterparties. Open-end mutual funds are valued at the closing net asset value per share, while exchange traded funds are valued at the closing market price per share.

64    ^|    AB MUNICIPAL BOND INFLATION STRATEGY abfunds.com

NOTES TO FINANCIAL STATEMENTS (continued)

Securities for which market quotations are not readily available (including restricted securities) or are deemed unreliable are valued at fair value as deemed appropriate by the Adviser. Factors considered in making this determination may include, but are not limited to, information obtained by contacting the issuer, analysts, analysis of the issuer’s financial statements or other available documents. In addition, the Fund may use fair value pricing for securities primarily traded in non-U.S. markets because most foreign markets close well before the Fund values its securities at 4:00 p.m., Eastern Time. The earlier close of these foreign markets gives rise to the possibility that significant events, including broad market moves, may have occurred in the interim and may materially affect the value of those securities. To account for this, the Fund generally values many of its foreign equity securities using fair value prices based on third party vendor modeling tools to the extent available.

2. Fair Value Measurements

In accordance with U.S. GAAP regarding fair value measurements, fair value is defined as the price that the Fund would receive to sell an asset or pay to transfer a liability in an orderly transaction between market participants at the measurement date. U.S. GAAP establishes a framework for measuring fair value, and a three-level hierarchy for fair value measurements based upon the transparency of inputs to the valuation of an asset or liability (including those valued based on their market values as described in Note A.1 above). Inputs may be observable or unobservable and refer broadly to the assumptions that market participants would use in pricing the asset or liability. Observable inputs reflect the assumptions market participants would use in pricing the asset or liability based on market data obtained from sources independent of the Fund. Unobservable inputs reflect the Fund’s own assumptions about the assumptions that market participants would use in pricing the asset or liability based on the best information available in the circumstances. Each investment is assigned a level based upon the observability of the inputs which are significant to the overall valuation. The three-tier hierarchy of inputs is summarized below.

• Level 1—quoted prices in active markets for identical investments

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

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

The fair value of debt instruments, such as bonds, and over-the-counter derivatives is generally based on market price quotations, recently executed market transactions (where observable) or industry recognized

abfunds.com AB MUNICIPAL BOND INFLATION STRATEGY    ^|    65

NOTES TO FINANCIAL STATEMENTS (continued)

modeling techniques and are generally classified as Level 2. Pricing vendor

inputs to Level 2 valuations may include quoted prices for similar investments in active markets, interest rates, coupon rates, yield curves, option adjusted spreads, default rates, credit spreads and other unique security features in order to estimate the relevant cash flows which is then discounted to calculate fair values. If these inputs are unobservable and significant to the fair value, these investments will be classified as Level 3.

Valuations of mortgage-backed or other asset-backed securities, by pricing vendors, are based on both proprietary and industry recognized models and discounted cash flow techniques. Significant inputs to the valuation of these instruments are value of the collateral, the rates and timing of delinquencies, the rates and timing of prepayments, and default and loss expectations, which are driven in part by housing prices for residential mortgages. Significant inputs are determined based on relative value analyses, which incorporate comparisons to instruments with similar collateral and risk profiles, including relevant indices. Mortgage and asset backed securities for which management has collected current observable data through pricing services are generally categorized within Level 2. Those investments for which current observable data has not been provided are classified as Level 3.

Other fixed income investments, including non-U.S. government and corporate debt, are generally valued using quoted market prices, if available, which are typically impacted by current interest rates, maturity dates and any perceived credit risk of the issuer. Additionally, in the absence of quoted market prices, these inputs are used by pricing vendors to derive a valuation based upon industry or proprietary models which incorporate issuer specific data with relevant yield/spread comparisons with more widely quoted bonds with similar key characteristics. Those investments for which there are observable inputs are classified as Level 2. Where the inputs are not observable, the investments are classified as Level 3.

The following table summarizes the valuation of the Fund’s investments by the above fair value hierarchy levels as of October 31, 2023:

Investments in Securities:	Level 1			Level 2		Level 3			Total
Assets:
Long-Term Municipal Bonds	$	– 0	–	$	1,497,625,095	$	– 0	–	$	1,497,625,095
Commercial Mortgage-Backed Securities		– 0	–		25,938,103		– 0	–		25,938,103
Corporates – Investment Grade		– 0	–		12,786,298		– 0	–		12,786,298
Corporates – Non-Investment Grade		– 0	–		4,570,284		65,000			4,635,284
Asset-Backed Securities		– 0	–		2,315,361		0	(a)		2,315,361

66    ^|    AB MUNICIPAL BOND INFLATION STRATEGY abfunds.com

NOTES TO FINANCIAL STATEMENTS (continued)

Investments in Securities:

Level 1

Level 2

Level 3

Total

Collateralized Mortgage Obligations

$

– 0

–

$

205,527

$

– 0

–

$

205,527

Short-Term Investments

6,662,388

– 0

–

– 0

–

6,662,388

Total Investments in Securities

6,662,388

1,543,440,668

65,000

(a)

1,550,168,056

Other Financial Instruments(b):

Assets:

Centrally Cleared Credit Default Swaps

–0

–

3,690

–0

–

3,690

(c)

Centrally Cleared Inflation (CPI) Swaps

– 0

–

40,398,915

– 0

–

40,398,915

(c)

Centrally Cleared Interest Rate Swaps

– 0

–

3,977,114

– 0

–

3,977,114

(c)

Inflation (CPI) Swaps

– 0

–

48,825,221

– 0

–

48,825,221

Interest Rate Swaps

– 0

–

1,378,894

– 0

–

1,378,894

Liabilities:

Centrally Cleared Interest Rate Swaps

– 0

–

(1,980,164

)

– 0

–

(1,980,164

)(c)

Credit Default Swaps

– 0

–

(168,319

)

– 0

–

(168,319

)

Total

$

6,662,388

$

1,635,876,019

$

65,000

(a)

$

1,642,603,407

(a) The Fund held securities with zero market value at period end.

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

(c) Only variation margin receivable (payable) at period end is reported within the statement of assets and liabilities. This amount reflects cumulative unrealized appreciation (depreciation) on futures and centrally cleared swaps as reported in the portfolio of investments. Where applicable, centrally cleared swaps with upfront premiums are presented here at market value.

3. Taxes

It is the Fund’s policy to meet the requirements of the Internal Revenue Code applicable to regulated investment companies and to distribute all of its investment company taxable income and net realized gains, if any, to shareholders. Therefore, no provisions for federal income or excise taxes are required.

In accordance with U.S. GAAP requirements regarding accounting for uncertainties in income taxes, management has analyzed the Fund’s tax positions taken or expected to be taken on federal and state income tax returns for all open tax years (the current and the prior three tax years) and has concluded that no provision for income tax is required in the Fund’s financial statements.

4. Investment Income and Investment Transactions

Dividend income is recorded on the ex-dividend date or as soon as the Fund is informed of the dividend. Interest income is accrued daily. Investment transactions are accounted for on the date the securities are

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NOTES TO FINANCIAL STATEMENTS (continued)

purchased or sold. Investment gains or losses are determined on the identified cost basis. Non-cash dividends, if any, are recorded on the ex-dividend date at the fair value of the securities received. The Fund amortizes premiums and accretes original issue and market discounts as adjustments to interest income. The Fund accounts for distributions received from REIT investments or from regulated investment companies as dividend income, realized gain, or return of capital based on information provided by the REIT or the investment company.

5. Class Allocations

All income earned and expenses incurred by the Fund are borne on a pro-rata basis by each outstanding class of shares, based on the proportionate interest in the Fund represented by the net assets of such class, except for class specific expenses which are allocated to the respective class. Expenses of the Company are charged proportionately to each fund or based on other appropriate methods. Realized and unrealized gains and losses are allocated among the various share classes based on respective net assets.

6. Dividends and Distributions

Dividends and distributions to shareholders, if any, are recorded on the ex-dividend date. Income dividends and capital gains distributions are determined in accordance with federal tax regulations and may differ from those determined in accordance with U.S. GAAP. To the extent these differences are permanent, such amounts are reclassified within the capital accounts based on their federal tax basis treatment; temporary differences do not require such reclassification.

NOTE B

Advisory Fee and Other Transactions with Affiliates

Under the terms of the investment advisory agreement, the Fund pays the Adviser an advisory fee at an annual rate of .50% of the first $2.5 billion, .45% of the next $2.5 billion and .40% in excess of $5 billion, of the Fund’s average daily net assets. The fee is accrued daily and paid monthly. The Adviser has agreed to waive its fees and bear certain expenses to the extent necessary to limit total operating expenses (excluding extraordinary expenses, interest expense, and acquired fund fees and expenses other than the advisory fees of any AB mutual funds in which the Fund may invest) on an annual basis (the “Expense Caps”) to ..75%, 1.50%, .50%, .60% and .50% of the daily average net assets for the Class A, Class C, Advisor Class, Class 1 and Class 2 shares, respectively. This fee waiver and/or expense reimbursement agreement will remain in effect until January 31, 2024 and then may be extended by the Adviser for additional one-year terms. For the year ended October 31, 2023, such reimbursements/waivers amounted to $1,424,418.

68    ^|    AB MUNICIPAL BOND INFLATION STRATEGY abfunds.com

NOTES TO FINANCIAL STATEMENTS (continued)

Pursuant to the investment advisory agreement, the Fund may reimburse the Adviser for certain legal and accounting services provided to the Fund by the Adviser. For the year ended October 31, 2023, the reimbursement for such services amounted to $85,966.

The Fund compensates AllianceBernstein Investor Services, Inc. (“ABIS”), a wholly-owned subsidiary of the Adviser, under a Transfer Agency Agreement for providing personnel and facilities to perform transfer agency services for the Fund. ABIS may make payments to intermediaries that provide omnibus account services, sub-accounting services and/or networking services. Such compensation retained by ABIS amounted to $135,006 for the year ended October 31, 2023.

AllianceBernstein Investments, Inc. (the “Distributor”), a wholly-owned subsidiary of the Adviser, serves as the distributor of the Fund’s shares. The Distributor has advised the Fund that it has retained front-end sales charges of $134 from the sale of Class A shares and received $9,849 and $4,171 in contingent deferred sales charges imposed upon redemptions by shareholders of Class A and Class C shares, respectively, for the year ended October 31, 2023.

The Fund may invest in AB Government Money Market Portfolio (the “Government Money Market Portfolio”) which has a contractual annual advisory fee rate of .20% of the portfolio’s average daily net assets and bears its own expenses. The Adviser had contractually agreed to waive .10% of the advisory fee of Government Money Market Portfolio (resulting in a net advisory fee of .10%) until August 31, 2023. Effective September 1, 2023, the Adviser has contractually agreed to waive .05% of the advisory fee of Government Money Market Portfolio (resulting in a net advisory fee of .15%) until August 31, 2024. In connection with the investment by the Fund in Government Money Market Portfolio, the Adviser has contractually agreed to waive its advisory fee from the Fund in an amount equal to the Fund’s pro rata share of the effective advisory fee of Government Money Market Portfolio, as borne indirectly by the Fund as an acquired fund fee and expense. For the year ended October 31, 2023, such waiver amounted to $12,701.

A summary of the Fund’s transactions in AB mutual funds for the year ended October 31, 2023 is as follows:

Fund	Market Value 10/31/22 (000)		Purchases at Cost (000)		Sales Proceeds (000)		Market Value 10/31/23 (000)		Dividend Income (000)
Government Money Market Portfolio	$	10,358	$	524,180	$	527,876	$	6,662	$	558

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NOTE C

Distribution Services Agreement

The Fund has adopted a Distribution Services Agreement (the “Agreement”) pursuant to Rule 12b-1 under the Investment Company Act of 1940. Under the Agreement, the Fund pays distribution and servicing fees to the Distributor at an annual rate of up to .30% of the Fund’s average daily net assets attributable to Class A shares, 1% of the Fund’s average daily net assets attributable to Class C shares and .10% of the Fund’s average daily net assets attributable to Class 1 shares. There are no distribution and servicing fees on the Advisor Class and Class 2 shares. Payments under the Agreement in respect of Class A shares are currently limited to an annual rate of .25% of Class A shares’ average daily net assets. The fees are accrued daily and paid monthly. The Agreement provides that the Distributor will use such payments in their entirety for distribution assistance and promotional activities. Since the commencement of the Fund’s operations, the Distributor has incurred expenses in excess of the distribution costs reimbursed by the Fund in the amount of $507,335 and $1,796,908 for Class C and Class 1 shares, respectively. While such costs may be recovered from the Fund in future periods so long as the Agreement is in effect, the rate of the distribution and servicing fees payable under the Agreement may not be increased without a shareholder vote. In accordance with the Agreement, there is no provision for recovery of unreimbursed distribution costs incurred by the Distributor beyond the current fiscal year for Class A shares. The Agreement also provides that the Adviser may use its own resources to finance the distribution of the Fund’s shares.

NOTE D

Investment Transactions

Purchases and sales of investment securities (excluding short-term investments) for the year ended October 31, 2023 were as follows:

	Purchases		Sales
Investment securities (excluding U.S. government securities)	$	458,301,946	$	918,776,609
U.S. government securities		216,882		4,666,758

The cost of investments for federal income tax purposes, gross unrealized appreciation and unrealized depreciation are as follows:

Cost	$	1,697,676,023
Gross unrealized appreciation	$	95,050,276
Gross unrealized depreciation		(149,698,133	)
Net unrealized depreciation	$	(54,647,857	)

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1. Derivative Financial Instruments

The Fund may use derivatives in an effort to earn income and enhance returns, to replace more traditional direct investments, to obtain exposure to otherwise inaccessible markets (collectively, “investment purposes”), or to hedge or adjust the risk profile of its portfolio.

The principal type of derivative utilized by the Fund, as well as the methods in which they may be used are:

• Swaps

The Fund may enter into swaps to hedge its exposure to interest rates or credit risk. A swap is an agreement that obligates two parties to exchange a series of cash flows at specified intervals based upon or calculated by reference to changes in specified prices or rates for a specified amount of an underlying asset. The payment flows are usually netted against each other, with the difference being paid by one party to the other. In addition, collateral may be pledged or received by the Fund in accordance with the terms of the respective swaps to provide value and recourse to the Fund or its counterparties in the event of default, bankruptcy or insolvency by one of the parties to the swap.

Risks may arise as a result of the failure of the counterparty to the swap to comply with the terms of the swap. The loss incurred by the failure of a counterparty is generally limited to the net interim payment to be received by the Fund, and/or the termination value at the end of the contract. Therefore, the Fund considers the creditworthiness of each counterparty to a swap in evaluating potential counterparty risk. This risk is mitigated by having a netting arrangement between the Fund and the counterparty and by the posting of collateral by the counterparty to the Fund to cover the Fund’s exposure to the counterparty. Additionally, risks may arise from unanticipated movements in interest rates or in the value of the underlying securities. The Fund accrues for the interim payments on swaps on a daily basis, with the net amount recorded within unrealized appreciation/depreciation of swaps on the statement of assets and liabilities, where applicable. Once the interim payments are settled in cash, the net amount is recorded as realized gain/(loss) on swaps on the statement of operations, in addition to any realized gain/(loss) recorded upon the termination of swaps. Upfront premiums paid or received for swaps are recognized as cost or proceeds on the statement of assets and liabilities and are amortized on a straight line basis over the life of the contract. Amortized upfront premiums are included in net realized gain/(loss) from swaps on the statement of operations. Fluctuations in the value of swaps are recorded as a component of net change in unrealized appreciation/depreciation of swaps on the statement of operations.

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Certain standardized swaps, including certain interest rate swaps and credit default swaps, are (or soon will be) subject to mandatory central clearing. Cleared swaps are transacted through futures commission merchants (“FCMs”) that are members of central clearinghouses, with the clearinghouse serving as central counterparty, similar to transactions in futures contracts. Centralized clearing will be required for additional categories of swaps on a phased-in basis based on requirements published by the Securities and Exchange Commission and Commodity Futures Trading Commission.

At the time the Fund enters into a centrally cleared swap, the Fund deposits and maintains as collateral an initial margin with the broker, as required by the clearinghouse on which the transaction is effected. Such amount is shown as cash collateral due from broker on the statement of assets and liabilities. Pursuant to the contract, the Fund agrees to receive from or pay to the broker an amount of cash equal to the daily fluctuation in the value of the contract. Such receipts or payments are known as variation margin and are recorded by the Fund as unrealized gains or losses. Risks may arise from the potential inability of a counterparty to meet the terms of the contract. The credit/counterparty risk for centrally cleared swaps is generally less than non-centrally cleared swaps, since the clearinghouse, which is the issuer or counterparty to each centrally cleared swap, has robust risk mitigation standards, including the requirement to provide initial and variation margin. 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 time it was closed.

Interest Rate Swaps:

The Fund is subject to interest rate risk exposure in the normal course of pursuing its investment objectives. Because the Fund holds fixed rate bonds, the value of these bonds may decrease if interest rates rise. To help hedge against this risk and to maintain its ability to generate income at prevailing market rates, the Fund may enter into interest rate swaps. Interest rate swaps are agreements between two parties to exchange cash flows based on a notional amount. The Fund may elect to pay a fixed rate and receive a floating rate, or, receive a fixed rate and pay a floating rate on a notional amount.

In addition, the Fund may also enter into interest rate swap transactions to preserve a return or spread on a particular investment or portion of its portfolio, or protecting against an increase in the price of securities the Fund anticipates purchasing at a later date. Interest rate swaps involve the exchange by the Fund with another party of their respective commitments to pay or receive interest (e.g., an exchange of floating rate payments for fixed rate payments) computed based on a contractually-based principal (or “notional”) amount.

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Interest rate swaps are entered into on a net basis (i.e., the two payment streams are netted out, with the Fund receiving or paying, as the case may be, only the net amount of the two payments).

During the year ended October 31, 2023, the Fund held interest rate swaps for hedging purposes.

Inflation (CPI) Swaps:

Inflation swap agreements are contracts in which one party agrees to pay the cumulative percentage increase in a price index (the Consumer Price Index with respect to CPI swaps) over the term of the swap (with some lag on the inflation index), and the other pays a compounded fixed rate. Inflation swaps may be used to protect the net asset value, or NAV, of the Fund against an unexpected change in the rate of inflation measured by an inflation index since the value of these agreements is expected to increase if there are unexpected inflation increases.

During the year ended October 31, 2023, the Fund held inflation (CPI) swaps for hedging purposes.

Credit Default Swaps:

The Fund may enter into credit default swaps, including to manage its exposure to the market or certain sectors of the market, to reduce its risk exposure to defaults by corporate and sovereign issuers held by the Fund, or to create exposure to corporate or sovereign issuers to which it is not otherwise exposed. The Fund may purchase credit protection (“Buy Contract”) or provide credit protection (“Sale Contract”) on the referenced obligation of the credit default swap. During the term of the swap, the Fund receives/(pays) fixed payments from/(to) the respective counterparty, calculated at the agreed upon rate applied to the notional amount. If the Fund is a buyer/(seller) of protection and a credit event occurs, as defined under the terms of the swap, the Fund will either (i) receive from the seller/(pay to the buyer) of protection an amount equal to the notional amount of the swap (the “Maximum Payout Amount”) and deliver/(take delivery of) the referenced obligation or (ii) receive/(pay) a net settlement amount in the form of cash or securities equal to the notional amount of the swap less the recovery value of the referenced obligation. In certain circumstances Maximum Payout Amounts may be partially offset by recovery values of the respective referenced obligations, upfront premium received upon entering into the agreement, or net amounts received from settlement of buy protection credit default swaps entered into by the Fund for the same referenced obligations with the same counterparty.

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Credit default swaps may involve greater risks than if the Fund had invested in the referenced obligation directly. Credit default swaps are subject to general market risk, liquidity risk, counterparty risk and credit risk. If the Fund is a buyer of protection and no credit event occurs, it will lose the payments it made to its counterparty. If the Fund is a seller of protection and a credit event occurs, the value of the referenced obligation received by the Fund coupled with the periodic payments previously received, may be less than the Maximum Payout Amount it pays to the buyer, resulting in a net loss to the Fund.

Implied credit spreads over U.S. Treasuries of comparable maturity utilized in determining the market value of credit default swaps on issuers as of period end are disclosed in the portfolio of investments. The implied spreads serve as an indicator of the current status of the payment/performance risk and typically reflect the likelihood of default by the issuer of the referenced obligation. The implied credit spread of a particular reference obligation also reflects the cost of buying/selling protection and may reflect upfront payments required to be made to enter into the agreement. Widening credit spreads typically represent a deterioration of the referenced obligation’s credit soundness and greater likelihood of default or other credit event occurring as defined under the terms of the agreement. A credit spread identified as “Defaulted” indicates a credit event has occurred for the referenced obligation.

During the year ended October 31, 2023, the Fund held credit default swaps for hedging and non-hedging purposes.

The Fund typically enters into International Swaps and Derivatives Association, Inc. Master Agreements (“ISDA Master Agreement”) with its OTC derivative contract counterparties in order to, among other things, reduce its credit risk to OTC counterparties. ISDA Master Agreements include provisions for general obligations, representations, collateral and events of default or termination. Under an ISDA Master Agreement, the Fund typically may offset with the OTC counterparty certain derivative financial instruments’ payables and/or receivables with collateral held and/or posted and create one single net payment (close-out netting) in the event of default or termination. In the event of a default by an OTC counterparty, the return of collateral with market value in excess of the Fund’s net liability, held by the defaulting party, may be delayed or denied.

The Fund’s ISDA Master Agreements may contain provisions for early termination of OTC derivative transactions in the event the net assets of the Fund decline below specific levels (“net asset contingent features”). If these levels are triggered, the Fund’s OTC counterparty has the right to terminate such transaction and require the Fund to pay or receive a

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settlement amount in connection with the terminated transaction. If OTC derivatives were held at period end, please refer to netting arrangements by the OTC counterparty table below for additional details.

During the year ended October 31, 2023, the Fund had entered into the following derivatives:

	Asset Derivatives				Liability Derivatives
Derivative Type	Statement of Assets and Liabilities Location	Fair Value			Statement of Assets and Liabilities Location	Fair Value
Credit contracts	Receivable for variation margin on centrally cleared swaps	$	99,867	*
Interest rate contracts	Receivable for variation margin on centrally cleared swaps		44,376,029	*	Payable for variation margin on centrally cleared swaps	$	1,980,164	*
Interest rate contracts	Unrealized appreciation on interest rate swaps		1,378,894
Interest rate contracts	Unrealized appreciation on inflation swaps		48,825,221
Credit contracts					Market value on credit default swaps		168,319
Total		$	94,680,011			$	2,148,483

* Only variation margin receivable/payable at period end is reported within the statement of assets and liabilities. This amount reflects cumulative unrealized appreciation (depreciation) on futures and centrally cleared swaps as reported in the portfolio of investments.

Derivative Type	Location of Gain or (Loss) on Derivatives Within Statement of Operations	Realized Gain or (Loss) on Derivatives			Change in Unrealized Appreciation or (Depreciation)
Interest rate contracts	Net realized gain (loss) on swaps; Net change in unrealized appreciation (depreciation) of swaps	$	52,634,693		$	(57,203,648	)
Credit contracts	Net realized gain (loss) on swaps; Net change in unrealized appreciation (depreciation) of swaps		(409,379	)		396,157
Total		$	52,225,314		$	(56,807,491	)

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The following table represents the average monthly volume of the Fund’s derivative transactions during the year ended October 31, 2023:

Interest Rate Swaps:
Average notional amount	$	11,075,000
Inflation Swaps:
Average notional amount	$	1,172,419,231
Centrally Cleared Interest Rate Swaps:
Average notional amount	$	218,460,769
Centrally Cleared Inflation Swaps:
Average notional amount	$	770,836,923
Credit Default Swaps:
Average notional amount of sale contracts	$	2,149,782
Centrally Cleared Credit Default Swaps:
Average notional amount of buy contracts	$	10,200,000	(a)

(a) Positions were open for ten months during the year.

For financial reporting purposes, the Fund does not offset derivative assets and derivative liabilities that are subject to netting arrangements in the statement of assets and liabilities.

All OTC derivatives held at period end were subject to netting arrangements. The following table presents the Fund’s derivative assets and liabilities by OTC counterparty net of amounts available for offset under ISDA Master Agreements (“MA”) and net of the related collateral received/pledged by the Fund as of October 31, 2023. Exchange-traded derivatives and centrally cleared swaps are not subject to netting arrangements and as such are excluded from the table.

Counterparty	Derivative Assets Subject to a MA		Derivatives Available for Offset			Cash Collateral Received*			Security Collateral Received*			Net Amount of Derivative Assets
Bank of America, NA	$	5,442,123	$	– 0	–	$	– 0	–	$	(5,442,123	)	$	– 0	–
Barclays Bank PLC		9,012,318		– 0	–		(9,012,318	)		– 0	–		– 0	–
Citigroup Global Markets, Inc./Citibank, NA		9,354,417		(42,126	)		(9,288,894	)		– 0	–		23,397
Deutsche Bank AG		3,238,207		– 0	–		(3,135,000	)		– 0	–		103,207
Goldman Sachs International		10,652,654		(53,369	)		(490,000	)		(10,109,285	)		– 0	–
JPMorgan Chase Bank, NA		12,504,396		– 0	–		(12,504,396	)		– 0	–		– 0	–
Total	$	50,204,115	$	(95,495	)	$	(34,430,608	)	$	(15,551,408	)	$	126,604	^

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Counterparty	Derivative Liabilities Subject to a MA		Derivatives Available for Offset			Cash Collateral Pledged*			Security Collateral Pledged*			Net Amount of Derivative Liabilities
Citigroup Global Markets, Inc./Citibank, NA	$	42,126	$	(42,126	)	$	– 0	–	$	– 0	–	$	– 0	–
Credit Suisse International		72,824		– 0	–		(72,824	)		– 0	–		– 0	–
Goldman Sachs International		53,369		(53,369	)		– 0	–		– 0	–		– 0	–
Total	$	168,319	$	(95,495	)	$	(72,824	)	$	– 0	–	$	0	^

* The actual collateral received/pledged may be more than the amount reported due to over-collateralization.

^ Net amount represents the net receivable/payable that would be due from/to the counterparty in the event of default or termination. The net amount from OTC financial derivative instruments can only be netted across transactions governed under the same master agreement with the same counterparty.

NOTE E

Capital Stock

Each class consists of 3,000,000,000 authorized shares. Transactions in capital shares for Class A, Class C, Advisor Class, Class 1 and Class 2 were as follows:

	Shares						Amount
	Year Ended October 31, 2023			Year Ended October 31, 2022			Year Ended October 31, 2023			Year Ended October 31, 2022
Class A
Shares sold		3,487,357			20,786,123		$	36,572,812		$	227,190,213
Shares issued in reinvestment of dividends		292,953			256,254			3,073,982			2,761,704
Shares converted from Class C		55,084			70,654			577,398			756,530
Shares redeemed		(15,928,322	)		(23,990,159	)		(167,072,852	)		(257,236,835	)
Net decrease		(12,092,928	)		(2,877,128	)	$	(126,848,660	)	$	(26,528,388	)
Class C
Shares sold		336,732			1,491,246		$	3,519,598		$	16,249,698
Shares issued in reinvestment of dividends		24,027			9,150			252,105			97,341
Shares converted to Class A		(55,153	)		(70,744	)		(577,398	)		(756,530	)
Shares redeemed		(1,010,750	)		(711,491	)		(10,597,238	)		(7,556,918	)
Net increase (decrease)		(705,144	)		718,161		$	(7,402,933	)	$	8,033,591

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	Shares						Amount
	Year Ended October 31, 2023			Year Ended October 31, 2022			Year Ended October 31, 2023			Year Ended October 31, 2022
Advisor Class
Shares sold		27,383,477			106,945,004		$	287,848,170		$	1,163,480,337
Shares issued in reinvestment of dividends		1,175,811			1,005,972			12,350,382			10,820,742
Shares redeemed		(61,754,813	)		(91,220,153	)		(649,022,834	)		(971,609,434	)
Net increase (decrease)		(33,195,525	)		16,730,823		$	(348,824,282	)	$	202,691,645
Class 1
Shares sold		7,223,576			18,622,654		$	75,546,207		$	201,949,554
Shares issued in reinvestment of dividends		940,761			595,910			9,816,809			6,366,894
Shares redeemed		(17,097,406	)		(11,503,338	)		(178,630,464	)		(122,716,651	)
Net increase (decrease)		(8,933,069	)		7,715,226		$	(93,267,448	)	$	85,599,797
Class 2
Shares sold		2,589,026			14,163,464		$	27,123,232		$	152,841,464
Shares issued in reinvestment of dividends		388,681			257,519			4,058,383			2,754,756
Shares redeemed		(8,712,862	)		(5,173,157	)		(91,263,946	)		(54,912,260	)
Net increase (decrease)		(5,735,155	)		9,247,826		$	(60,082,331	)	$	100,683,960

NOTE F

Risks Involved in Investing in the Fund

Market Risk—The value of the Fund’s assets will fluctuate as the bond market fluctuates. The value of the Fund’s investments may decline, sometimes rapidly and unpredictably, simply because of economic changes or other events, including public health crises (including the occurrence of a contagious disease or illness) and regional and global conflicts, that affect large portions of the market.

Credit Risk—An issuer or guarantor of a fixed-income security, or the counterparty to a derivatives or other contract, may be unable or unwilling to make timely payments of interest or principal, or to otherwise honor its obligations. The issuer or guarantor may default, causing a loss of the full principal amount of a security and accrued interest. The degree of risk for a particular security may be reflected in its credit rating. There is the

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possibility that the credit rating of a fixed-income security may be downgraded after purchase, which may adversely affect the value of the security. Investments in fixed-income securities with lower ratings tend to have a higher probability that an issuer will default or fail to meet its payment obligations.

Municipal Market Risk—This is the risk that special factors may adversely affect the value of municipal securities and have a significant effect on the yield or value of the Fund’s investments in municipal securities. These factors include economic conditions, political or legislative changes, public health crises, uncertainties related to the tax status of municipal securities, and the rights of investors in these securities. To the extent that the Fund invests more of its assets in a particular state’s municipal securities, the Fund is vulnerable to events adversely affecting that state, including economic, political and regulatory occurrences, court decisions, terrorism, public health crises (including the occurrence of a contagious disease or illness) and catastrophic natural disasters, such as hurricanes, fires or earthquakes. For example, the novel coronavirus (COVID-19) pandemic has significantly stressed the financial resources of many issuers of municipal securities, which could impair any such issuer’s ability to meet its financial obligations when due and adversely impact the value of its securities held by the Fund. As the full effects of the COVID-19 pandemic on state and local economies and on issuers of municipal securities are still uncertain, the financial difficulties of issuers of municipal securities may worsen, adversely affecting the performance of the Fund. The Fund’s investments in certain municipal securities with principal and interest payments that are made from the revenues of a specific project or facility, and not general tax revenues, may have increased risks. Factors affecting the project or facility, such as local business or economic conditions, could have a significant effect on the project’s ability to make payments of principal and interest on these securities.

In addition, changes in tax rates or the treatment of income from certain types of municipal securities, among other things, could negatively affect the municipal securities markets.

Interest-Rate Risk—Changes in interest rates will affect the value of investments in fixed-income securities. When interest rates rise, the value of existing investments in fixed-income securities tends to fall and this decrease in value may not be offset by higher income from new investments. Interest-rate risk is generally greater for fixed-income securities with longer maturities or durations. The Fund may be subject to a greater risk of rising interest rates than would normally be the case due to the recent end of a period of historically low rates and the effect of potential central bank monetary policy, and government fiscal policy, initiatives and resulting market reactions to those initiatives.

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Duration Risk—Duration is a measure that relates the expected price volatility of a fixed-income security to changes in interest rates. The duration of a fixed-income security may be shorter than or equal to full maturity of a fixed-income security. Fixed-income securities with longer durations have more risk and will decrease in price as interest rates rise.

Inflation Risk—This is the risk that the value of assets or income from investments will be less in the future as inflation decreases the value of money. As inflation increases, the value of the Fund’s assets can decline as can the value of the Fund’s distributions. This risk is significantly greater for fixed-income securities with longer maturities.

Derivatives Risk—Derivatives may be difficult to price or unwind and leveraged so that small changes may produce disproportionate losses for the Fund. A short position in a derivative instrument involves the risk of a theoretically unlimited increase in the value of the underlying asset, which could cause the Fund to suffer a potentially unlimited loss. Derivatives, especially over-the-counter derivatives, are also subject to counterparty risk, which is the risk that the counterparty (the party on the other side of the transaction) on a derivative transaction will be unable or unwilling to honor its contractual obligations to the Fund.

Leverage Risk—When the Fund borrows money or otherwise leverages its investments, its performance may be volatile because leverage tends to exaggerate the effect of any increase or decrease in the value of the Fund’s investments. The Fund may create leverage through the use of reverse repurchase arrangements, forward currency exchange contracts, forward commitments, dollar rolls or futures or by borrowing money. The use of other types of derivative instruments by the Fund, such as options and swaps, may also result in a form of leverage. Leverage may result in higher returns to the Fund than if the Fund were not leveraged, but may also adversely affect returns, particularly if the market is declining.

Illiquid Investments Risk—Illiquid investments risk exists when certain investments are or become difficult to purchase or sell. Difficulty in selling such investments may result in sales at disadvantageous prices affecting the value of your investment in the Fund. Causes of illiquid investments risk may include low trading volumes, large positions and heavy redemptions of Fund shares. Illiquid investments risk may be higher in a rising interest rate environment, when the value and liquidity of fixed-income securities generally go down.

LIBOR Replacement Risk—The Fund may be exposed to debt securities, derivatives or other financial instruments that recently transitioned from the London Interbank Offered Rate, or “LIBOR,” as a “benchmark” or

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“reference rate” for various interest rate calculations. LIBOR’s administrator, ICE Benchmark Administration, ceased publishing most LIBOR settings (including some U.S. LIBOR settings) by the end of 2021 and the remaining (and most widely used) U.S. Dollar LIBOR settings after June 30, 2023. The United Kingdom Financial Conduct Authority, which regulates LIBOR, will permit the use of synthetic U.S. Dollar LIBOR rates for non-U.S. contracts through September 30, 2024, but any such rates would be considered non-representative of the underlying market. Since 2018 the Federal Reserve Bank of New York has published the Secured Overnight Financing Rate (referred to as SOFR), which is intended to replace U.S. Dollar LIBOR. SOFR is a broad measure of the cost of borrowing cash overnight collateralized by U.S. Treasury securities in the repurchase agreement (repo) market. There is no assurance that the composition or characteristics of SOFR or any such alternative reference rate will be similar to or produce the same value or economic equivalence as LIBOR or that the market for SOFR-linked financial instruments will have the same volume or liquidity as did the market for LIBOR-linked financial instruments prior to LIBOR’s discontinuance or unavailability. Neither the long-term effects of the LIBOR transition process nor its ultimate success can yet be known.

Indemnification Risk—In the ordinary course of business, the Fund enters into contracts that contain a variety of indemnifications. The Fund’s maximum exposure under these arrangements is unknown. However, the Fund has not had prior claims or losses pursuant to these indemnification provisions and expects the risk of loss thereunder to be remote. Therefore, the Fund has not accrued any liability in connection with these indemnification provisions.

Management Risk—The Fund is subject to management risk because it is an actively-managed investment fund. The Adviser will apply its investment techniques and risk analyses in making investment decisions, but there is no guarantee that its techniques will produce the intended results. Some of these techniques may incorporate, or rely upon, quantitative models, but there is no guarantee that these models will generate accurate forecasts, reduce risk or otherwise perform as expected.

NOTE G

Joint Credit Facility

A number of open-end mutual funds managed by the Adviser, including the Fund, participate in a $325 million revolving credit facility (the “Facility”) intended to provide short-term financing related to redemptions and other short term liquidity requirements, subject to certain restrictions. Commitment fees related to the Facility are paid by the participating funds and are included in miscellaneous expenses in the statement of operations. The Fund did not utilize the Facility during the year ended October 31, 2023.

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NOTES TO FINANCIAL STATEMENTS (continued)

NOTE H

Distributions to Shareholders

The tax character of distributions paid during the fiscal years ended October 31, 2023 and October 31, 2022 were as follows:

	2023		2022
Distributions paid from:
Ordinary income	$	7,006,894	$	1,429,775
Total taxable distributions	$	7,006,894	$	1,429,775
Tax-exempt distributions		38,344,734		32,539,240
Total distributions paid	$	45,351,628	$	33,969,015

As of October 31, 2023, the components of accumulated earnings (deficit) on a tax basis were as follows:

Undistributed tax-exempt income	$	363,848
Accumulated capital and other losses		(68,517,096	)(a)
Unrealized appreciation (depreciation)		(54,647,545	)(b)
Total accumulated earnings (deficit)	$	(122,800,793	)

(a) As of October 31, 2023, the Fund had a net capital loss carryforward of $68,517,096.

(b) The differences between book-basis and tax-basis unrealized appreciation (depreciation) are attributable primarily to the tax treatment of swaps, the tax deferral of losses on wash sales, and the tax treatment of bond restructuring.

For tax purposes, net realized capital losses may be carried over to offset future capital gains, if any. Funds are permitted to carry forward capital losses for an indefinite period, and such losses will retain their character as either short-term or long-term capital losses. As of October 31, 2023, the Fund had a net short-term capital loss carryforward of $64,979,775 and a net long-term capital loss carryforward of $3,537,321, which may be carried forward for an indefinite period.

During the current fiscal year, there were no permanent differences that resulted in adjustments to accumulated loss or additional paid-in capital.

NOTE I

Recent Accounting Pronouncements

In December 2022, the Financial Accounting Standards Board issued an Accounting Standards Update, ASU 2022-06, “Reference Rate Reform (Topic 848) – Deferral of the Sunset Date of Topic 848”. ASU 2022-06 is an amendment to ASU 2020-04, which provided optional guidance to ease the potential accounting burden due to the discontinuation of the LIBOR and other interbank-offered based reference rates and which was effective as of March 12, 2020 through December 31, 2022. ASU 2022-06

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NOTES TO FINANCIAL STATEMENTS (continued)

extends the effective period through December 31, 2024. Management is currently evaluating the impact, if any, of applying ASU 2022-06.

NOTE J

Subsequent Events

Management has evaluated subsequent events for possible recognition or disclosure in the financial statements through the date the financial statements are issued. Management has determined that there are no material events that would require disclosure in the Fund’s financial statements through this date.

abfunds.com AB MUNICIPAL BOND INFLATION STRATEGY    ^|    83

FINANCIAL HIGHLIGHTS

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

	Class A
	Year Ended October 31,
	2023			2022			2021			2020			2019
Net asset value, beginning of period		$  10.24			$  11.03			$  10.30			$  10.24			$  10.02
Income From Investment Operations
Net investment income(a)(b)		.21			.13			.16			.22			.24
Net realized and unrealized gain (loss) on investment transactions		.06			(.79	)		.75			.07	(c)		.21
Contributions from Affiliates		– 0	–		– 0	–		.00	(d)		– 0	–		– 0	–
Net increase (decrease) in net asset value from operations		.27			(.66	)		.91			.29			.45
Less: Dividends
Dividends from net investment income		(.23	)		(.13	)		(.18	)		(.23	)		(.23	)
Net asset value, end of period		$  10.28			$  10.24			$  11.03			$  10.30			$  10.24
Total Return
Total investment return based on net asset value(e)*		2.60	%		(6.06	)%		8.89	%		2.85	%		4.58	%
Ratios/Supplemental Data
Net assets, end of period (000’s omitted)		$185,881			$308,986			$364,599			$138,454			$54,316
Ratio to average net assets of:
Expenses, net of waivers/reimbursements(f)		.75	%		.75	%		.75	%		.75	%		.75	%
Expenses, before waivers/reimbursements(f)		.85	%		.82	%		.84	%		.85	%		.86	%
Net investment income(b)		2.02	%		1.24	%		1.51	%		2.14	%		2.32	%
Portfolio turnover rate		26	%		27	%		10	%		29	%		12	%

See footnote summary on page 89.

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FINANCIAL HIGHLIGHTS (continued)

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

	Class C
	Year Ended October 31,
	2023			2022			2021			2020			2019
Net asset value, beginning of period		$  10.23			$  11.02			$  10.29			$  10.22			$  10.01
Income From Investment Operations
Net investment income(a)(b)		.13			.06			.08			.14			.16
Net realized and unrealized gain (loss) on investment transactions		.06			(.80	)		.74			.08	(c)		.20
Contributions from Affiliates		– 0	–		– 0	–		.01			– 0	–		– 0	–
Net increase (decrease) in net asset value from operations		.19			(.74	)		.83			.22			.36
Less: Dividends
Dividends from net investment income		(.15	)		(.05	)		(.10	)		(.15	)		(.15	)
Net asset value, end of period		$  10.27			$  10.23			$  11.02			$  10.29			$  10.22
Total Return
Total investment return based on net asset value(e)*		1.83	%		(6.75	)%		8.12	%		2.16	%		3.63	%
Ratios/Supplemental Data
Net assets, end of period (000’s omitted)		$18,850			$25,986			$20,086			$6,710			$7,717
Ratio to average net assets of:
Expenses, net of waivers/reimbursements(f)		1.51	%		1.50	%		1.50	%		1.50	%		1.50	%
Expenses, before waivers/reimbursements(f)		1.60	%		1.58	%		1.59	%		1.61	%		1.61	%
Net investment income(b)		1.28	%		.54	%		.75	%		1.43	%		1.57	%
Portfolio turnover rate		26	%		27	%		10	%		29	%		12	%

See footnote summary on page 89.

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FINANCIAL HIGHLIGHTS (continued)

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

	Advisor Class
	Year Ended October 31,
	2023			2022			2021			2020			2019
Net asset value, beginning of period		$  10.25			$  11.04			$  10.31			$  10.24			$  10.03
Income From Investment Operations
Net investment income(a)(b)		.24			.16			.18			.25			.26
Net realized and unrealized gain (loss) on investment transactions		.06			(.80	)		.75			.07	(c)		.21
Contributions from Affiliates		– 0	–		– 0	–		.01			– 0	–		– 0	–
Net increase (decrease) in net asset value from operations		.30			(.64	)		.94			.32			.47
Less: Dividends
Dividends from net investment income		(.26	)		(.15	)		(.21	)		(.25	)		(.26	)
Net asset value, end of period		$  10.29			$  10.25			$  11.04			$  10.31			$  10.24
Total Return
Total investment return based on net asset value(e)*		2.85	%		(5.82	)%		9.14	%		3.19	%		4.76	%
Ratios/Supplemental Data
Net assets, end of period (000’s omitted)		$610,806			$948,603			$837,132			$185,829			$205,541
Ratio to average net assets of:
Expenses, net of waivers/reimbursements(f)		.50	%		.50	%		.50	%		.50	%		.50	%
Expenses, before waivers/reimbursements(f)		.60	%		.58	%		.59	%		.60	%		.61	%
Net investment income(b)		2.28	%		1.52	%		1.70	%		2.43	%		2.57	%
Portfolio turnover rate		26	%		27	%		10	%		29	%		12	%

See footnote summary on page 89.

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FINANCIAL HIGHLIGHTS (continued)

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

	Class 1
	Year Ended October 31,
	2023			2022			2021			2020			2019
Net asset value, beginning of period		$  10.18			$  10.97			$  10.25			$  10.19			$  9.98
Income From Investment Operations
Net investment income(a)(b)		.23			.15			.18			.23			.25
Net realized and unrealized gain (loss) on investment transactions		.05			(.79	)		.74			.07	(c)		.22
Contributions from Affiliates		– 0	–		– 0	–		.00	(d)		– 0	–		– 0	–
Net increase (decrease) in net asset value from operations		.28			(.64	)		.92			.30			.47
Less: Dividends
Dividends from net investment income		(.25	)		(.15	)		(.20	)		(.24	)		(.26	)
Net asset value, end of period		$  10.21			$  10.18			$  10.97			$  10.25			$  10.19
Total Return
Total investment return based on net asset value(e)*		2.71	%		(5.92	)%		9.01	%		3.04	%		4.72	%
Ratios/Supplemental Data
Net assets, end of period (000’s omitted)		$504,943			$594,155			$555,642			$444,500			$498,857
Ratio to average net assets of:
Expenses, net of waivers/reimbursements(f)		.61	%		.60	%		.60	%		.60	%		.60	%
Expenses, before waivers/reimbursements(f)		.66	%		.64	%		.66	%		.67	%		.67	%
Net investment income(b)		2.19	%		1.43	%		1.72	%		2.33	%		2.47	%
Portfolio turnover rate		26	%		27	%		10	%		29	%		12	%

See footnote summary on page 89.

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FINANCIAL HIGHLIGHTS (continued)

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

	Class 2
	Year Ended October 31,
	2023			2022			2021			2020			2019
Net asset value, beginning of period		$  10.19			$  10.98			$  10.25			$  10.19			$  9.99
Income From Investment Operations
Net investment income(a)(b)		.24			.17			.20			.24			.26
Net realized and unrealized gain (loss) on investment transactions		.05			(.80	)		.74			.07	(c)		.21
Contributions from Affiliates		– 0	–		– 0	–		.00	(d)		– 0	–		– 0	–
Net increase (decrease) in net asset value from operations		.29			(.63	)		.94			.31			.47
Less: Dividends
Dividends from net investment income		(.26	)		(.16	)		(.21	)		(.25	)		(.27	)
Net asset value, end of period		$  10.22			$  10.19			$  10.98			$  10.25			$  10.19
Total Return
Total investment return based on net asset value(e)*		2.81	%		(5.83	)%		9.21	%		3.14	%		4.73	%
Ratios/Supplemental Data
Net assets, end of period (000’s omitted)		$257,816			$315,364			$238,315			$215,763			$238,306
Ratio to average net assets of:
Expenses, net of waivers/reimbursements(f)		.51	%		.50	%		.50	%		.50	%		.50	%
Expenses, before waivers/reimbursements(f)		.56	%		.55	%		.56	%		.57	%		.57	%
Net investment income(b)		2.28	%		1.56	%		1.84	%		2.43	%		2.57	%
Portfolio turnover rate.		26	%		27	%		10	%		29	%		12	%

See footnote summary on page 89.

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FINANCIAL HIGHLIGHTS (continued)

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

(a) Based on average shares outstanding.

(b) Net of expenses waived/reimbursed by the Adviser.

(c) Due to timing of sales and repurchase of capital shares, the net realized and unrealized gain (loss) per share is not in accordance with the Fund’s change in net realized and unrealized gain (loss) on investment transactions for the period.

(d) Amount is less than $.005.

(e) Total investment return is calculated assuming an initial investment made at the net asset value at the beginning of the period, reinvestment of all dividends and distributions at net asset value during the period, and redemption on the last day of the period. Initial sales charges or contingent deferred sales charges are not reflected in the calculation of total investment return. Total return does not reflect the deduction of taxes that a shareholder would pay on portfolio distributions or the redemption of portfolio shares. Total investment return calculated for a period of less than one year is not annualized.

(f) The expense ratios presented below exclude interest/bank overdraft expense:

	Year Ended October 31,
	2023		2022		2021		2020		2019
Class A
Net of waivers/reimbursements		.75%		.75%		.75%		.75%		.75%
Before waivers/reimbursements		.84%		.82%		.84%		.85%		.86%
Class C
Net of waivers/reimbursements		1.50%		1.50%		1.50%		1.50%		1.50%
Before waivers/reimbursements		1.59%		1.58%		1.59%		1.61%		1.61%
Advisor Class
Net of waivers/reimbursements		.50%		.50%		.50%		.50%		.50%
Before waivers/reimbursements		.59%		.58%		.59%		.60%		.61%
Class 1
Net of waivers/reimbursements		.60%		.60%		.60%		.60%		.60%
Before waivers/reimbursements		.65%		.64%		.66%		.67%		.67%
Class 2
Net of waivers/reimbursements		.50%		.50%		.50%		.50%		.50%
Before waivers/reimbursements		.55%		.55%		.56%		.57%		.57%

* Includes the impact of proceeds received by the Fund in connection with a trade-error reimbursement from the Adviser, which enhanced performance by .03% for the year ended October 31, 2021.

See notes to financial statements.

abfunds.com AB MUNICIPAL BOND INFLATION STRATEGY    ^|    89

REPORT OF INDEPENDENT REGISTERED

PUBLIC ACCOUNTING FIRM

To the Board of Directors and Shareholders of

AB Municipal Bond Inflation Strategy

Opinion on the Financial Statements

We have audited the accompanying statement of assets and liabilities of AB Municipal Bond Inflation Strategy (the “Fund”) (one of the portfolios constituting AB Bond Fund, Inc. (the “Company”)), including the portfolio of investments, as of October 31, 2023, and the related statement of operations for the year then ended, the statements of changes in net assets for each of the two years in the period then ended, the financial highlights for each of the five years in the period then ended and the related notes (collectively referred to as the “financial statements”). In our opinion, the financial statements present fairly, in all material respects, the financial position of the Fund (one of the portfolios constituting AB Bond Fund, Inc.) at October 31, 2023, the results of its operations for the year then ended, the changes in its net assets for each of the two years in the period then ended and its financial highlights for each of the five years in the period then ended, in conformity with U.S. generally accepted accounting principles.

Basis for Opinion

These financial statements are the responsibility of the Company’s management. Our responsibility is to express an opinion on the Fund’s financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (“PCAOB”) and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. The Company is not required to have, nor were we engaged to perform, an audit of the Company’s internal control over financial reporting. As part of our audits, we are required to obtain an understanding of internal control over financial reporting but not for the purpose of expressing an opinion on the effectiveness of the Company’s internal control over financial reporting. Accordingly, we express no such opinion.

Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures

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REPORT OF INDEPENDENT REGISTERED

PUBLIC ACCOUNTING FIRM (continued)

included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our procedures included confirmation of securities owned as of October 31, 2023, by correspondence with the custodian, brokers and others; when replies were not received from brokers or others, we performed other auditing procedures. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audits provide a reasonable basis for our opinion.

We have served as the auditor of one or more of the AB investment companies since 1968.

New York, New York

December 28, 2023

abfunds.com AB MUNICIPAL BOND INFLATION STRATEGY    ^|    91

BOARD OF DIRECTORS

Garry L. Moody⁽¹⁾,
Chairman Jorge A. Bermudez⁽¹⁾ Michael J. Downey⁽¹⁾ Onur Erzan, President and Chief Executive Officer Nancy P. Jacklin⁽¹⁾ Jeanette W. Loeb⁽¹⁾ Carol C. McMullen⁽¹⁾ Marshall C. Turner, Jr.⁽¹⁾

OFFICERS

Daryl Clements⁽²⁾, Vice President Matthew J. Norton⁽²⁾, Vice President Andrew D. Potter⁽²⁾, Vice President Nancy E. Hay, Secretary Michael B. Reyes, Senior Vice President Stephen M. Woetzel, Treasurer and Chief Financial Officer Phyllis J. Clarke, Controller Jennifer Friedland, Chief Compliance Officer

Custodian and Accounting Agent State Street Bank and Trust Company One Congress Street, Suite 1 Boston, MA 02114   Principal Underwriter AllianceBernstein Investments, Inc. 501 Commerce Street Nashville, TN 37203   Transfer Agent AllianceBernstein Investor Services, Inc. P.O. Box 786003 San Antonio, TX 78278 Toll-Free (800) 221-5672 Independent Registered Public Accounting Firm Ernst & Young LLP One Manhattan West New York, NY 10001   Legal Counsel Seward & Kissel LLP One Battery Park Plaza New York, NY 10004

1 Member of the Audit Committee, the Governance and Nominating Committee, and the Independent Directors Committee.

2 The day-to-day management of, and investment decisions for, the Fund’s portfolio are made by the Adviser’s Municipal Bond Investment Team. Messrs. Clements, Norton and Potter are the investment professionals with the most significant responsibility for the day-to-day management of the Fund’s portfolio.

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MANAGEMENT OF THE FUND

Board of Directors Information

The business and affairs of the Fund are managed under the direction of the Board of Directors. Certain information concerning the Fund’s Directors is set forth below.

NAME, ADDRESS*, AGE, (YEAR FIRST ELECTED**)	PRINCIPAL OCCUPATION(S) DURING PAST FIVE YEARS AND OTHER INFORMATION***	PORTFOLIOS IN AB FUND COMPLEX OVERSEEN BY DIRECTOR		OTHER PUBLIC COMPANY DIRECTORSHIPS CURRENTLY HELD BY DIRECTOR
INTERESTED DIRECTOR
Onur Erzan,# 1345 Avenue of the Americas New York, NY 10105 47 (2021)	Senior Vice President of AllianceBernstein L.P. (the “Adviser”), Head of Global Client Group and Head of Private Wealth. He oversees AB’s entire private wealth management business and third-party institutional and retail franchise, where he is responsible for all client services, sales and marketing, as well as product strategy, management and development worldwide. Director, President and Chief Executive Officer of the AB Mutual Funds as of April 1, 2021. He is also a member of the Equitable Holdings Management Committee. Prior to joining the firm in January 2021, he spent over 19 years with McKinsey (management consulting firm), most recently as a senior partner and co-leader of its Wealth & Asset Management practice. In addition, he co-led McKinsey’s Banking & Securities Solutions (a portfolio of data, analytics and digital assets and capabilities) globally.		82	None

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MANAGEMENT OF THE FUND (continued)

NAME, ADDRESS*, AGE, (YEAR FIRST ELECTED**)	PRINCIPAL OCCUPATION(S) DURING PAST FIVE YEARS AND OTHER INFORMATION***	PORTFOLIOS IN AB FUND COMPLEX OVERSEEN BY DIRECTOR		OTHER PUBLIC COMPANY DIRECTORSHIPS CURRENTLY HELD BY DIRECTOR
INDEPENDENT DIRECTORS
Garry L. Moody,## Chairman of the Board 71 (2008)	Private Investor since prior to 2018. Formerly, Partner, Deloitte & Touche LLP (1995-2008) where he held a number of senior positions, including Vice Chairman, and U.S. and Global Investment Management Practice Managing Partner; President, Fidelity Accounting and Custody Services Company (1993-1995), where he was responsible for accounting, pricing, custody and reporting for the Fidelity mutual funds; and Partner, Ernst & Young LLP (1975-1993), where he served as the National Director of Mutual Fund Tax Services and Managing Partner of its Chicago Office Tax department. He served as a member of the Investment Company Institute’s Board of Governors and the Independent Directors Council’s Governing Council from October 2019 through September 2023, where he also served as Chairman of the Governance Committee from October 2021 through September 2023. He is Chairman of the AB Funds and Chairman of the Independent Directors Committees since January 2023; he has served as a director or trustee since 2008, and served as Chairman of the Audit Committee of such funds from 2008 to February 2023.		82	None

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MANAGEMENT OF THE FUND (continued)

NAME, ADDRESS*, AGE, (YEAR FIRST ELECTED**)	PRINCIPAL OCCUPATION(S) DURING PAST FIVE YEARS AND OTHER INFORMATION***	PORTFOLIOS IN AB FUND COMPLEX OVERSEEN BY DIRECTOR		OTHER PUBLIC COMPANY DIRECTORSHIPS CURRENTLY HELD BY DIRECTOR
INDEPENDENT DIRECTORS (continued)
Jorge A. Bermudez,## 72 (2020)	Private Investor since prior to 2018. Formerly, Chief Risk Officer of Citigroup, Inc., a global financial services company, from November 2007 to March 2008; Chief Executive Officer of Citigroup’s Commercial Business Group in North America and Citibank Texas from 2005 to 2007; and a variety of other executive and leadership roles at various businesses within Citigroup prior to then; Chairman (2018) of the Texas A&M Foundation Board of Trustees (Trustee since 2013) and Chairman of the Smart Grid Center Board at Texas A&M University since 2012; director of, among others, Citibank N.A. from 2005 to 2008, the Federal Reserve Bank of Dallas, Houston Branch from 2009 to 2011, the Federal Reserve Bank of Dallas from 2011 to 2017, and the Electric Reliability Council of Texas from 2010 to 2016; and Chair of the Audit Committee of the Board of Directors of Moody’s Corporation since December 2022. He has served as director or trustee of the AB Funds since January 2020.		82	Moody’s Corporation since April 2011
Michael J. Downey,## 79 (2005)	Private Investor since prior to 2018. Formerly, Chairman of The Asia Pacific Fund, Inc. (registered investment company) since prior to 2018 until January 2019. From 1987 until 1993, Chairman and CEO of Prudential Mutual Fund Management, director of the Prudential mutual funds, and member of the Executive Committee of Prudential Securities, Inc. He has served as a director or trustee of the AB Funds since 2005.		82	None

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MANAGEMENT OF THE FUND (continued)

NAME, ADDRESS*, AGE, (YEAR FIRST ELECTED**)	PRINCIPAL OCCUPATION(S) DURING PAST FIVE YEARS AND OTHER INFORMATION***	PORTFOLIOS IN AB FUND COMPLEX OVERSEEN BY DIRECTOR		OTHER PUBLIC COMPANY DIRECTORSHIPS CURRENTLY HELD BY DIRECTOR
INDEPENDENT DIRECTORS (continued)
Nancy P. Jacklin,## 75 (2006)	Private Investor since prior to 2018. Professorial Lecturer at the Johns Hopkins School of Advanced International Studies (2008-2015). U.S. Executive Director of the International Monetary Fund (which is responsible for ensuring the stability of the international monetary system), (December 2002-May 2006); Partner, Clifford Chance (1992-2002); Sector Counsel, International Banking and Finance, and Associate General Counsel, Citicorp (1985-1992); Assistant General Counsel (International), Federal Reserve Board of Governors (1982-1985); and Attorney Advisor, U.S. Department of the Treasury (1973-1982). Member of the Bar of the District of Columbia and of New York; and member of the Council on Foreign Relations. She has served as a director or trustee of the AB Funds since 2006 and served as Chair of the Governance and Nominating Committees of the AB Funds from 2014 to August 2023.		82	None

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MANAGEMENT OF THE FUND (continued)

NAME, ADDRESS*, AGE, (YEAR FIRST ELECTED**)	PRINCIPAL OCCUPATION(S) DURING PAST FIVE YEARS AND OTHER INFORMATION***	PORTFOLIOS IN AB FUND COMPLEX OVERSEEN BY DIRECTOR		OTHER PUBLIC COMPANY DIRECTORSHIPS CURRENTLY HELD BY DIRECTOR
INDEPENDENT DIRECTORS (continued)
Jeanette W. Loeb,## 71 (2020)	Private Investor since prior to 2018. Director of New York City Center since 2005. Formerly, Chief Executive Officer of PetCareRx (e-commerce pet pharmacy) from 2002 to 2011 and 2015 to April 2023. She was a director of Apollo Investment Corp. (business development company) from August 2011 to July 2023 and a director of AB Multi-Manager Alternative Fund (fund of hedge funds) from 2012 to 2018. Formerly, affiliated with Goldman Sachs Group, Inc. (financial services) from 1977 to 1994, including as a partner thereof from 1986 to 1994. She has served as director or trustee of the AB Funds since April 2020 and serves as Chair of the Governance and Nominating Committees of the AB Funds since August 2023.		82	None

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MANAGEMENT OF THE FUND (continued)

NAME, ADDRESS*, AGE, (YEAR FIRST ELECTED**)	PRINCIPAL OCCUPATION(S) DURING PAST FIVE YEARS AND OTHER INFORMATION***	PORTFOLIOS IN AB FUND COMPLEX OVERSEEN BY DIRECTOR		OTHER PUBLIC COMPANY DIRECTORSHIPS CURRENTLY HELD BY DIRECTOR
INDEPENDENT DIRECTORS (continued)
Carol C. McMullen,## 68 (2016)	Private Investor and a member of the Advisory Board of Butcher Box (since 2018) and serves as Advisory Board Chair as of June 2023. Formerly, Managing Director of Slalom Consulting (consulting) from 2014 until July 2023; member, Mass General Brigham (formerly, Partners Healthcare) Investment Committee (2010-2019); Director of Norfolk & Dedham Group (mutual property and casualty insurance) from 2011 until November 2016; Director of Partners Community Physicians Organization (healthcare) from 2014 until December 2016; and Managing Director of The Crossland Group (consulting) from 2012 until 2013. She has held a number of senior positions in the asset and wealth management industries, including at Eastern Bank (where her roles included President of Eastern Wealth Management), Thomson Financial (Global Head of Sales for Investment Management), and Putnam Investments (where her roles included Chief Investment Officer, Core and Growth and Head of Global Investment Research). She has served on a number of private company and non-profit boards, and as a director or trustee of the AB Funds since June 2016 and serves as Chair of the Audit Committees of such funds since February 2023.		82	None

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MANAGEMENT OF THE FUND (continued)

NAME, ADDRESS*, AGE, (YEAR FIRST ELECTED**)	PRINCIPAL OCCUPATION(S) DURING PAST FIVE YEARS AND OTHER INFORMATION***	PORTFOLIOS IN AB FUND COMPLEX OVERSEEN BY DIRECTOR		OTHER PUBLIC COMPANY DIRECTORSHIPS CURRENTLY HELD BY DIRECTOR
INDEPENDENT DIRECTORS (continued)
Marshall C. Turner, Jr.,## 82 (2005)	Private Investor since prior to 2018. He was a Director of Xilinx, Inc. (programmable logic semi-conductors and adaptable, intelligent computing) from 2007 through August 2020, and is a former director of 33 other companies and organizations. Former Chairman and CEO of Dupont Photomasks, Inc. (semi-conductor manufacturing equipment) from 2003 through 2006. He has extensive operating leadership and venture capital investing experience, including five interim or full-time CEO roles, and prior service as general partner of institutional venture capital partnerships. He also has extensive non-profit board leadership experience, and currently serves on the board of the George Lucas Educational Foundation. He has served as a director of one AB Fund since 1992, and director or trustee of all the AB Funds since 2005. He has served as both Chairman of the AB Funds and Chairman of the Independent Directors Committees from 2014 through December 2022.		82	None

* The address for each of the Fund’s disinterested Directors is c/o AllianceBernstein L.P., Attention: Legal and Compliance Department—Mutual Fund Legal, 1345 Avenue of the Americas, New York, NY 10105.

** There is no stated term of office for the Fund’s Directors.

*** The information above includes each Director’s principal occupation during the last five years and other information relating to the experience, attributes and skills relevant to each Director’s qualifications to serve as a Director, which led to the conclusion that each Director should serve as a Director for the Fund.

# Mr. Erzan is an “interested person” of the Fund as defined in the “40 Act,” due to his position as a Senior Vice President of the Adviser.

## Member of the Audit Committee, the Governance and Nominating Committee, and the Independent Directors Committee.

abfunds.com AB MUNICIPAL BOND INFLATION STRATEGY    ^|    99

MANAGEMENT OF THE FUND (continued)

Officer Information

Certain information concerning the Fund’s Officers is listed below.

NAME, ADDRESS* AND AGE	PRINCIPAL POSITION(S) HELD WITH FUND	PRINCIPAL OCCUPATION DURING PAST 5 YEARS
Onur Erzan 47	President and Chief Executive Officer	See biography above.
Daryl Clements 56	Vice President	Senior Vice President of the Adviser**, with which he has been associated since prior to 2018.
Matthew J. Norton 40	Vice President	Senior Vice President of the Adviser**, with which he has been associated since prior to 2018. He is also Chief Investment Officer-Municipal Bonds.
Andrew D. Potter 38	Vice President	Vice President of the Adviser**, with which he has been associated since prior to 2018.
Nancy E. Hay 51	Secretary	Senior Vice President and Counsel of the Adviser**, with which she has been associated since prior to 2018 and Assistant Secretary of ABI**.
Michael B. Reyes 47	Senior Vice President	Vice President of the Adviser**, with which he has been associated since prior to 2018.
Stephen M. Woetzel 52	Treasurer and Chief Financial Officer	Senior Vice President of ABIS,** with which he has been associated since prior to 2018.
Phyllis J. Clarke 62	Controller	Vice President of ABIS**, with which she has been associated since prior to 2018.
Jennifer Friedland 49	Chief Compliance Officer	Vice President of the Adviser** since 2020 and Mutual Fund Chief Compliance Officer (of all Funds since January 2023 and of the ETF Funds since 2022). Before joining the Adviser** in 2020, she was Chief Compliance Officer at WestEnd Advisors, LLC from prior to 2018 until 2019.

* The address for each of the Fund’s Officers is 1345 Avenue of the Americas, New York, NY 10105.

** The Adviser, ABI and ABIS are affiliates of the Fund.

The Fund’s Statement of Additional Information (“SAI”) has additional information about the Fund’s Directors and Officers and is available without charge upon request. Contact your financial representative or AB at (800) 227-4618, or visit www.abfunds.com, for a free prospectus or SAI.

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Operation and Effectiveness of the Fund’s Liquidity Risk Management Program:

In October 2016, the Securities and Exchange Commission (“SEC”) adopted the open-end fund liquidity rule (the “Liquidity Rule”). In June 2018 the SEC adopted a requirement that funds disclose information about the operation and effectiveness of their Liquidity Risk Management Program (“LRMP”) in their reports to shareholders.

One of the requirements of the Liquidity Rule is for the Fund to designate an Administrator of the Fund’s Liquidity Risk Management Program. The Administrator of the Fund’s LRMP is AllianceBernstein L.P., the Fund’s investment adviser (the “Adviser”). The Adviser has delegated the responsibility to its Liquidity Risk Management Committee (the “Committee”).

Another requirement of the Liquidity Rule is for the Fund’s Board of Directors (the “Fund Board”) to receive an annual written report from the Administrator of the LRMP, which addresses the operation of the Fund’s LRMP and assesses its adequacy and effectiveness. The Adviser provided the Fund Board with such annual report during the first quarter of 2023, which covered the period January 1, 2022 through December 31, 2022 (the “Program Reporting Period”).

The LRMP’s principal objectives include supporting the Fund’s compliance with limits on investments in illiquid assets and mitigating the risk that the Fund will be unable to meet its redemption obligations in a timely manner.

Pursuant to the LRMP, the Fund classifies the liquidity of its portfolio investments into one of the four categories defined by the SEC: Highly Liquid, Moderately Liquid, Less Liquid, and Illiquid. These classifications are reported to the SEC on Form N-PORT.

During the Program Reporting Period, the Committee reviewed whether the Fund’s strategy is appropriate for an open-end structure, incorporating any holdings of less liquid and illiquid assets. If the Fund participated in derivative transactions, the exposure from such transactions were considered in the LRMP.

The Committee also performed an analysis to determine whether the Fund is required to maintain a Highly Liquid Investment Minimum (“HLIM”). The Committee also incorporated the following information when determining the Fund’s reasonably anticipated trading size for purposes of liquidity monitoring: historical net redemption activity, a Fund’s concentration in an issuer, shareholder concentration, investment performance, total net assets, and distribution channels.

abfunds.com AB MUNICIPAL BOND INFLATION STRATEGY    ^|    101

The Adviser informed the Fund Board that the Committee believes the Fund’s LRMP is adequately designed, has been implemented as intended, and has operated effectively since its inception. No material exceptions have been noted since the implementation of the LRMP. During the Program Reporting Period, liquidity in all markets was challenged due to rising rates and economic uncertainty. However, markets also remained orderly during the Program Reporting Period. There were no liquidity events that impacted the Fund or its ability to timely meet redemptions during the Program Reporting Period.

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Information Regarding the Review and Approval of the Fund’s Advisory Agreement

The disinterested directors (the “directors”) of AB Bond Fund, Inc. (the “Company”) unanimously approved the continuance of the Company’s Advisory Agreement with the Adviser in respect of AB Municipal Bond Inflation Strategy (the “Fund”) at a meeting held in-person on August 1-2, 2023 (the “Meeting”).

Prior to approval of the continuance of the Advisory Agreement, the directors had requested from the Adviser, and received and evaluated, extensive materials. They reviewed the proposed continuance of the Advisory Agreement with the Adviser and with experienced counsel who are independent of the Adviser, who advised on the relevant legal standards. The directors also reviewed additional materials, including comparative analytical data prepared by the Senior Vice President of the Fund. The directors also discussed the proposed continuance in private sessions with counsel.

The directors considered their knowledge of the nature and quality of the services provided by the Adviser to the Fund gained from their experience as directors or trustees of most of the registered investment companies advised by the Adviser, their overall confidence in the Adviser’s integrity and competence they have gained from that experience, the Adviser’s initiative in identifying and raising potential issues with the directors and its responsiveness, frankness and attention to concerns raised by the directors in the past, including the Adviser’s willingness to consider and implement organizational and operational changes designed to improve investment results and the services provided to the AB Funds. The directors noted that they have four regular meetings each year, at each of which they review extensive materials and information from the Adviser, including information on the investment performance of the Fund and the money market fund advised by the Adviser in which the Fund invests a portion of its assets.

The directors also considered all factors they believed relevant, including the specific matters discussed below. During the course of their deliberations, the directors evaluated, among other things, the reasonableness of the advisory fee. The directors did not identify any particular information that was all-important or controlling, and different directors may have attributed different weights to the various factors. The directors determined that the selection of the Adviser to manage the Fund and the overall arrangements between the Fund and the Adviser, as provided in the Advisory Agreement, including the advisory fee, were fair and reasonable in light of the services performed, expenses incurred and such other matters as the directors considered relevant in the exercise of their business

abfunds.com AB MUNICIPAL BOND INFLATION STRATEGY    ^|    103

judgment. The material factors and conclusions that formed the basis for the directors’ determinations included the following:

Nature, Extent and Quality of Services Provided

The directors considered the scope and quality of services provided by the Adviser under the Advisory Agreement, including the quality of the investment research capabilities of the Adviser and the other resources it has dedicated to performing services for the Fund. The directors noted that the Adviser from time to time reviews the Fund’s investment strategies and from time to time proposes changes intended to improve the Fund’s relative or absolute performance for the directors’ consideration. They also noted the professional experience and qualifications of the Fund’s portfolio management team and other senior personnel of the Adviser. The directors also considered that the Advisory Agreement provides that the Fund will reimburse the Adviser for the cost to it of providing certain clerical, accounting, administrative and other services to the Fund by employees of the Adviser or its affiliates. Requests for these reimbursements are made on a quarterly basis and subject to approval by the directors. Reimbursements, to the extent requested and paid, result in a higher rate of total compensation from the Fund to the Adviser than the fee rate stated in the Advisory Agreement. The directors noted that the methodology used to determine the reimbursement amounts had been reviewed by an independent consultant at the request of the directors. The quality of administrative and other services, including the Adviser’s role in coordinating the activities of the Fund’s other service providers, also was considered. The directors concluded that, overall, they were satisfied with the nature, extent and quality of services provided to the Fund under the Advisory Agreement.

Costs of Services Provided and Profitability

The directors reviewed a schedule of the revenues and expenses and related notes indicating the profitability of the Fund to the Adviser for calendar years 2021 and 2022 that had been prepared with an expense allocation methodology arrived at in consultation with an independent consultant at the request of the directors. The directors noted the assumptions and methods of allocation used by the Adviser in preparing fund-specific profitability data and understood that there are a number of potentially acceptable allocation methodologies for information of this type. The directors noted that the profitability information reflected all revenues and expenses of the Adviser’s relationship with the Fund, including those relating to its subsidiaries that provide transfer agency and distribution services to the Fund. The directors recognized that it is difficult to make comparisons of the profitability of the Advisory Agreement with the profitability of fund advisory contracts for unaffiliated funds because comparative information is not generally publicly available and is affected by numerous factors. The directors focused on the profitability of the Adviser’s relationship with the Fund before taxes and distribution

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expenses. The directors concluded that the Adviser’s level of profitability from its relationship with the Fund was not unreasonable.

Fall-Out Benefits

The directors considered the other benefits to the Adviser and its affiliates from their relationships with the Fund and the money market fund advised by the Adviser in which the Fund invests, including, but not limited to, benefits relating to 12b-1 fees and sales charges received by the Fund’s principal underwriter (which is a wholly owned subsidiary of the Adviser) in respect of certain classes of the Fund’s shares; and transfer agency fees paid by the Fund to a wholly owned subsidiary of the Adviser. The directors recognized that the Adviser’s profitability would be somewhat lower without these benefits. The directors understood that the Adviser also might derive reputational and other benefits from its association with the Fund.

Investment Results

In addition to the information reviewed by the directors in connection with the Meeting, the directors receive detailed performance information for the Fund at each regular Board meeting during the year.

At the Meeting, the directors reviewed performance information prepared by an independent service provider (the “15(c) service provider”), showing the performance of the Advisor Class shares of the Fund against a group of similar funds (“peer group”) and a larger group of similar funds (“peer universe”), each selected by the 15(c) service provider, and information prepared by the Adviser showing performance of the Advisor Class shares against a broad-based securities market index, in each case for the 1-, 3-, 5- and 10-year periods ended May 31, 2023 and (in the case of comparisons with the broad-based securities market index) for the period from inception. Based on their review, the directors concluded that the Fund’s investment performance was acceptable.

Advisory Fees and Other Expenses

The directors considered the advisory fee rate payable by the Fund to the Adviser and information prepared by the 15(c) service provider concerning advisory fee rates payable by other funds in the same category as the Fund. The directors recognized that it is difficult to make comparisons of advisory fees because there are variations in the services that are included in the fees payable by other funds. The directors compared the Fund’s contractual effective advisory fee rate with a peer group median and discussed with the Adviser the reasons it was above the median. The directors also noted the Adviser’s total rate of compensation, taking into account the impact of the administrative expense reimbursement paid to the Adviser in the latest fiscal year.

abfunds.com AB MUNICIPAL BOND INFLATION STRATEGY    ^|    105

The Adviser informed the directors that there were no institutional products managed by the Adviser that utilize investment strategies similar to those of the Fund.

In connection with their review of the Fund’s advisory fee, the directors also considered the total expense ratio of the Advisor Class shares of the Fund in comparison to the medians for a peer group and a peer universe selected by the 15(c) service provider. The Advisor Class expense ratio of the Fund was based on the Fund’s latest fiscal year and reflected the impact of the Adviser’s expense cap for the Fund. The directors noted that it was likely that the expense ratios of some of the other funds in the Fund’s category were lowered by waivers or reimbursements by those funds’ investment advisers, which in some cases might be voluntary or temporary. The directors view expense ratio information as relevant to their evaluation of the Adviser’s services because the Adviser is responsible for coordinating services provided to the Fund by others. The directors noted that the Fund’s expense ratio was above the medians. After reviewing and discussing the Adviser’s explanations of the reasons for this, the directors concluded that the Fund’s expense ratio was acceptable.

Economies of Scale

The directors noted that the advisory fee schedule for the Fund contains breakpoints that reduce the fee rates on assets above specified levels. The directors took into consideration prior presentations by an independent consultant on economies of scale in the mutual fund industry and for the AB Funds, and presentations from time to time by the Adviser concerning certain of its views on economies of scale. The directors also had requested and received from the Adviser certain updates on economies of scale in advance of the Meeting. The directors believe that economies of scale may be realized (if at all) by the Adviser across a variety of products and services, and not only in respect of a single fund. The directors noted that there is no established methodology for setting breakpoints that give effect to the fund-specific services provided by a fund’s adviser and to the economies of scale that an adviser may realize in its overall mutual fund business or those components of it which directly or indirectly affect a fund’s operations. The directors observed that in the mutual fund industry as a whole, as well as among funds similar to the Fund, there is no uniformity or pattern in the fees and asset levels at which breakpoints (if any) apply. The directors also noted that the advisory agreements for many funds do not have breakpoints at all. Having taken these factors into account, the directors concluded that the Fund’s shareholders would benefit from a sharing of economies of scale in the event the Fund’s net assets exceed a breakpoint in the future.

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This page is not part of the Shareholder Report or the Financial Statements.

AB FAMILY OF FUNDS

US EQUITY

CORE

Core Opportunities Fund

Select US Equity Portfolio

Sustainable US Thematic Portfolio

GROWTH

Concentrated Growth Fund

Discovery Growth Fund

Growth Fund

Large Cap Growth Fund

Small Cap Growth Portfolio

VALUE

Discovery Value Fund

Equity Income Fund

Relative Value Fund

Small Cap Value Portfolio

Value Fund

INTERNATIONAL/GLOBAL EQUITY

CORE

Global Core Equity Portfolio

International Low Volatility Equity Portfolio¹

Sustainable Global Thematic Fund

Sustainable International Thematic Fund

Tax-Managed Wealth Appreciation Strategy

Wealth Appreciation Strategy

GROWTH

Concentrated International Growth Portfolio

VALUE

All China Equity Portfolio

International Value Fund

FIXED INCOME

MUNICIPAL

High Income Municipal Portfolio

Intermediate California Municipal Portfolio

Intermediate Diversified Municipal Portfolio

Intermediate New York Municipal Portfolio

Municipal Bond Inflation Strategy

Tax-Aware Fixed Income Opportunities Portfolio

National Portfolio

Arizona Portfolio

California Portfolio

Massachusetts Portfolio

Minnesota Portfolio

New Jersey Portfolio

New York Portfolio

Ohio Portfolio

Pennsylvania Portfolio

Virginia Portfolio

TAXABLE

Bond Inflation Strategy

Global Bond Fund

High Income Fund

Income Fund

Intermediate Duration Portfolio

Short Duration High Yield Portfolio¹

Short Duration Income Portfolio

Short Duration Portfolio

Sustainable Thematic Credit Portfolio

Total Return Bond Portfolio

ALTERNATIVES

All Market Real Return Portfolio

Global Real Estate Investment Fund

Select US Long/Short Portfolio

MULTI-ASSET

All Market Total Return Portfolio

Emerging Markets Multi-Asset Portfolio

Global Risk Allocation Fund

Sustainable Thematic Balanced Portfolio

CLOSED-END FUNDS

AllianceBernstein Global High Income Fund

AllianceBernstein National Municipal Income Fund

EXCHANGE-TRADED FUNDS

Disruptors ETF

High Yield ETF

Tax-Aware Short Duration Municipal ETF

Ultra Short Income ETF

US High Dividend ETF

US Large Cap Strategic Equities ETF

US Low Volatility Equity ETF

We also offer Government Money Market Portfolio, which serves as the money market fund exchange vehicle for the AB mutual funds. You could lose money by investing in the Fund. Although the Fund seeks to preserve the value of your investment at $1.00 per share, it cannot guarantee it will do so. The Fund may impose a fee upon sale of your shares or may temporarily suspend your ability to sell shares if the Fund’s liquidity falls below required minimums because of market conditions or other factors. An investment in the Fund is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. The Fund’s sponsor has no legal obligation to provide financial support to the Fund, and you should not expect that the sponsor will provide financial support to the Fund at any time.

Investors should consider the investment objectives, risks, charges and expenses of the Fund carefully before investing. For copies of our prospectus or summary prospectus, which contain this and other information, visit us online at www.abfunds.com or contact your AB representative. Please read the prospectus and/or summary prospectus carefully before investing.

1 Prior to July 5, 2023, International Low Volatility Equity Portfolio was named International Strategic Core Portfolio and Short Duration High Yield Portfolio was named Limited Duration High Income Portfolio.

abfunds.com AB MUNICIPAL BOND INFLATION STRATEGY    ^|    107

NOTES

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AB MUNICIPAL BOND INFLATION STRATEGY

1345 Avenue of the Americas

New York, NY 10105

800 221 5672

MBIS-0151-1023                

OCT    ^10.31.23

ANNUAL REPORT

AB SHORT DURATION INCOME PORTFOLIO

Investment Products Offered •  Are Not FDIC Insured • May Lose Value • Are Not Bank Guaranteed

Investors should consider the investment objectives, risks, charges and expenses of the Fund carefully before investing. For copies of our prospectus or summary prospectus, which contain this and other information, visit us online at www.abfunds.com or contact your AB representative. Please read the prospectus and/or summary prospectus carefully before investing.

This shareholder report must be preceded or accompanied by the Fund’s prospectus for individuals who are not current shareholders of the Fund.

You may obtain a description of the Fund’s proxy voting policies and procedures, and information regarding how the Fund voted proxies relating to portfolio securities during the most recent 12-month period ended June 30, without charge. Simply visit AB’s website at www.abfunds.com, or go to the Securities and Exchange Commission’s (the “Commission”) website at www.sec.gov, or call AB at (800) 227 4618.

The Fund files its complete schedule of portfolio holdings with the Commission for the first and third quarters of each fiscal year as an exhibit to its reports on Form N-PORT. The Fund’s Form N-PORT reports are available on the Commission’s website at www.sec.gov. AB publishes full portfolio holdings for the Fund monthly at www.abfunds.com.

AllianceBernstein Investments, Inc. (ABI) is the distributor of the AB family of mutual funds. ABI is a member of FINRA and is an affiliate of AllianceBernstein L.P., the Adviser of the funds.

The [A/B] logo is a registered service mark of AllianceBernstein and AllianceBernstein^® is a registered service mark used by permission of the owner, AllianceBernstein L.P.

FROM THE PRESIDENT

Dear Shareholder,

We’re pleased to provide this report for the AB Short Duration Income Portfolio (the “Fund”). Please review the discussion of Fund performance, the market conditions during the reporting period and the Fund’s investment strategy.

At AB, we’re striving to help our clients achieve better outcomes by:

⁺  Fostering diverse perspectives that give us a distinctive approach to navigating global capital markets

⁺  Applying differentiated investment insights through a connected global research network

⁺  Embracing innovation to design better ways to invest and leading-edge mutual-fund solutions

Whether you’re an individual investor or a multibillion-dollar institution, we’re putting our knowledge and experience to work for you every day.

For more information about AB’s comprehensive range of products and shareholder resources, please log on to www.abfunds.com.

Thank you for your investment in AB mutual funds—and for placing your trust in our firm.

Sincerely,

Onur Erzan

President and Chief Executive Officer, AB Mutual Funds

abfunds.com AB SHORT DURATION INCOME PORTFOLIO    ^|    1

ANNUAL REPORT

December 4, 2023

This report provides management’s discussion of fund performance for the AB Short Duration Income Portfolio for the annual reporting period ended October 31, 2023.

At a meeting held on May 2-4, 2023, the Adviser recommended, and the Fund’s Board of Directors approved, changes to the Fund’s principal investment strategies. These changes will be effective on or about July 5, 2023.

The Fund’s investment objective is to seek high current income consistent with preservation of capital.

NAV RETURNS AS OF OCTOBER 31, 2023 (unaudited)

	6 Months		12 Months
AB SHORT DURATION INCOME PORTFOLIO
Class A Shares		0.00%		5.01%
Class C Shares		-0.51%		4.18%
Advisor Class Shares1		0.10%		5.22%
Bloomberg 1-5 Year US Government/Credit Index		-0.86%		2.90%

1 Please note that this share class is for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or investment advisory clients of, and certain other persons associated with, the Adviser and its affiliates or the Fund.

INVESTMENT RESULTS

The table above shows the Fund’s performance compared with its benchmark, the Bloomberg 1-5 Year US Government/Credit Index, for the six- and 12-month periods ended October 31, 2023.

During both periods, all share chasses of the Fund outperformed the benchmark, before sales charges. In the 12-month period, industry allocation was the primary contributor to performance, relative to the benchmark, from off-benchmark exposure to collateralized mortgage obligations (“CMOs”), US high-yield credit default swaps and eurozone credit default swaps. Security selection also contributed, from selection in consumer cyclical-other, consumer cyclical-entertainment, energy and sovereign bonds that exceeded losses from selection in banking and media. Overall yield-curve positioning in the US added to performance. Off-benchmark country allocation to the eurozone also added to performance. Currency decisions did not impact performance during the period.

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Over the six-month period, industry allocation added the most to relative performance, mainly from off-benchmark exposure to collateralized loan obligations, CMOs and asset-backed securities. Security selection in energy, consumer cyclical-entertainment and technology also contributed. Country allocation to Canada and the eurozone also contributed. Overall yield-curve positioning in the US detracted from results.

The Fund’s heightened turnover rate of 185% was a result of the Fund shifting into more attractive government-related bonds. However, the Fund incurred lower turnover rate in non-government securities, which generally have higher transaction costs than government-related transactions.

During both periods, the Fund used derivatives in the form of treasury futures to manage and hedge duration risk and/or to take active yield-curve positioning. Currency forwards were used to hedge foreign currency exposure. Credit default swaps were used to effectively obtain high-yield credit exposure. Total return swaps were used to create synthetic high-yield exposure in the Fund. During the 12-month period, interest rate swaps were used to manage and hedge duration risk and/or take active yield-curve positioning.

MARKET REVIEW AND INVESTMENT STRATEGY

During the 12-month period ended October 2023, fixed-income government bond market yields were extremely volatile in all major developed markets, and developed-market government bond returns diverged based on individual country growth and inflation expectations. Most central banks raised interest rates significantly to combat inflation and then paused further interest-rate hikes. Government bond returns in aggregate were positive, as returns rose in Italy, Japan and Spain, and fell in the UK, Australia, Germany, the US and Canada. Overall, developed-market investment-grade corporate bonds significantly outperformed government bonds, including in the US and eurozone. High-yield corporate bonds advanced and materially outperformed government bonds—especially in the eurozone and US. Emerging-market local-currency sovereign bonds led risk asset returns, as the US dollar was mixed against all currencies. Emerging-market hard-currency sovereign and corporate bonds had strong relative positive returns, particularly among high-yield sovereigns and corporates.

The Fund’s Senior Investment Management Team (the “Team”) continues to pursue high income, while preserving capital by investing primarily in government bonds from both US and non-US issuers as well as corporate bonds, with scope to invest a select amount in below investment-grade bonds. The Team manages the Fund with a core fixed-income strategy through a global, multi-sector approach that seeks an attractive risk/return profile.

abfunds.com AB SHORT DURATION INCOME PORTFOLIO    ^|    3

INVESTMENT POLICIES

The Fund pursues its objective by investing, under normal circumstances, primarily in income-producing securities. The Fund also normally invests at least 65% of its total assets in securities of US and foreign governments and their agencies and instrumentalities (including mortgage-backed securities), derivatives related to such securities, and repurchase agreements relating to US government securities. Under normal circumstances, the Fund will maintain a dollar-weighted average duration of less than three years, although it may invest in securities of any duration or maturity.

The Fund may invest in non-government fixed-income securities, including corporate debt securities, non-government mortgage-backed and other asset-backed securities, certificates of deposit and commercial paper. The Fund may invest up to 35% of its net assets in below investment-grade securities (commonly known as “junk bonds”). The Fund’s investments in foreign securities may include both government and corporate securities, and securities of emerging-market countries or of issuers in emerging markets.

The Adviser selects securities for purchase or sale based on its assessment of the securities’ risks and return characteristics as well as the securities’ impact on the overall risks and return characteristics of the Fund. In making this assessment, the Adviser takes into account various factors, including the credit quality and sensitivity to interest rates of the securities under consideration and of the Fund’s other holdings.

The Fund may utilize derivatives, such as options, futures contracts, forwards and swaps. The Fund may, for example, use interest rate futures contracts and swaps to establish exposure to the fixed-income markets or particular fixed-income securities. Derivatives may provide a more efficient and economical exposure to market segments than direct investments, and may also be a more efficient way to alter the Fund’s exposure. The Fund may also enter into transactions such as reverse repurchase agreements that are similar to borrowings for investment purposes. The Fund’s use of derivatives and these borrowing transactions may create aggregate exposure that is substantially in excess of its net assets, effectively leveraging the Fund.

The Adviser may hedge the foreign currency exposure resulting from the Fund’s security positions, and may take long or short positions in currencies, through the use of currency-related derivatives.

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DISCLOSURES AND RISKS

Benchmark Disclosure

The Bloomberg 1-5 Year US Government/Credit Index is unmanaged and does not reflect fees and expenses associated with the active management of a mutual fund portfolio. The Bloomberg 1-5 Year US Government/Credit Index is a broad-based benchmark that measures the nonsecuritized component of the Bloomberg US Aggregate Index. It includes investment-grade, US dollar-denominated, fixed-rate Treasuries and government-related and corporate securities that have a remaining maturity of greater than or equal to one year and less than five years. An investor cannot invest directly in an index or average, and their results are not indicative of the performance for any specific investment, including the Fund.

A Word About Risk

Market Risk: The value of the Fund’s assets will fluctuate as the bond market fluctuates. The value of its investments may decline, sometimes rapidly and unpredictably, simply because of economic changes or other events, including public health crises (including the occurrence of a contagious disease or illness) and regional and global conflicts, that affect large portions of the market.

Credit Risk: An issuer or guarantor of a fixed-income security, or the counterparty to a derivatives or other contract, may be unable or unwilling to make timely payments of interest or principal, or to otherwise honor its obligations. The issuer or guarantor may default, causing a loss of the full principal amount of a security and accrued interest. The degree of risk for a particular security may be reflected in its credit rating. There is the possibility that the credit rating of a fixed-income security may be downgraded after purchase, which may adversely affect the value of the security.

Below Investment-Grade Securities Risk: Investments in fixed-income securities with lower ratings (commonly known as “junk bonds”) are subject to a higher probability that an issuer will default or fail to meet its payment obligations. These securities may be subject to greater price volatility due to such factors as specific corporate developments and negative perceptions of the junk bond market generally and may be more difficult to trade than other types of securities.

Interest-Rate Risk: Changes in interest rates will affect the value of investments in fixed-income securities. When interest rates rise, the value of existing investments in fixed-income securities tends to fall and this decrease in value may not be offset by higher income from new investments. Interest-rate risk is generally greater for fixed-income securities with longer maturities or durations. The Fund may be subject to a greater risk of rising interest rates than would normally be the case due to the recent end of a period of historically low rates and the effect of potential central bank monetary policy, and government fiscal policy, initiatives and resulting market reactions to those initiatives.

abfunds.com AB SHORT DURATION INCOME PORTFOLIO    ^|    5

DISCLOSURES AND RISKS (continued)

Duration Risk: Duration is a measure that relates the expected price volatility of a fixed-income security to changes in interest rates. The duration of a fixed-income security may be shorter than or equal to full maturity of a fixed-income security. Fixed-income securities with longer durations have more risk and will decrease in price as interest rates rise.

Inflation Risk: This is the risk that the value of assets or income from investments will be less in the future as inflation decreases the value of money. As inflation increases, the value of the Fund’s assets can decline as can the value of the Fund’s distributions. This risk is significantly greater for fixed-income securities with longer maturities.

Mortgage-Related and/or Other Asset-Backed Securities Risk: Investments in mortgage-related and other asset-backed securities are subject to certain additional risks. The value of these securities may be particularly sensitive to changes in interest rates. These risks include “extension risk”, which is the risk that, in periods of rising interest rates, issuers may delay the payment of principal, and “prepayment risk”, which is the risk that in periods of falling interest rates, issuers may pay principal sooner than expected, exposing the Fund to a lower rate of return upon reinvestment of principal. Mortgage-backed securities offered by non-governmental issuers and other asset-backed securities may be subject to other risks, such as higher rates of default in the mortgages or assets backing the securities or risks associated with the nature and servicing of mortgages or assets backing the securities.

Foreign (Non-US) Risk: Investments in securities of non-US issuers may involve more risk than those of US issuers. These securities may fluctuate more widely in price and may be more difficult to trade due to adverse market, economic, political, regulatory or other factors.

Emerging-Market Risk: Investments in emerging-market countries may have more risk because the markets are less developed and less liquid and are subject to increased economic, political, regulatory or other uncertainties.

Derivatives Risk: Derivatives may be difficult to price or unwind and leveraged so that small changes may produce disproportionate losses for the Fund. A short position in a derivative instrument involves the risk of a theoretically unlimited increase in the value of the underlying asset, which could cause the Fund to suffer a potentially unlimited loss. Derivatives, especially over-the-counter derivatives, are also subject to counterparty risk, which is the risk that the counterparty (the party on the other side of the transaction) on a derivative transaction will be unable or unwilling to honor its contractual obligations to the Fund.

6    ^|    AB SHORT DURATION INCOME PORTFOLIO abfunds.com

DISCLOSURES AND RISKS (continued)

Leverage Risk: To the extent the Fund uses leveraging techniques, its net asset value (“NAV”) may be more volatile because leverage tends to exaggerate the effect of changes in interest rates and any increase or decrease in the value of the Fund’s investments.

Currency Risk: Fluctuations in currency exchange rates may negatively affect the value of the Fund’s investments or reduce its returns.

Illiquid Investments Risk: Illiquid investments risk exists when certain investments become difficult to purchase or sell. Difficulty in selling such investments may result in sales at disadvantageous prices affecting the value of your investment in the Fund. Causes of illiquid investments risk may include low trading volumes, large positions and heavy redemptions of Fund shares. Illiquid investments risk may be higher in a rising interest-rate environment, when the value and liquidity of fixed-income securities generally decline.

Management Risk: The Fund is subject to management risk because it is an actively managed investment fund. The Adviser will apply its investment techniques and risk analyses in making investment decisions, but there is no guarantee that its techniques will produce the intended results. Some of these techniques may incorporate, or rely upon, quantitative models, but there is no guarantee that these models will generate accurate forecasts, reduce risk or otherwise perform as expected.

These risks are fully discussed in the Fund’s prospectus. As with all investments, you may lose money by investing in the Fund.

An Important Note About Historical Performance

The investment return and principal value of an investment in the Fund will fluctuate, so that shares, when redeemed, may be worth more or less than their original cost. Performance shown in this report represents past performance and does not guarantee future results. Current performance may be lower or higher than the performance information shown. You may obtain performance information current to the most recent month-end by visiting www.abfunds.com.

All fees and expenses related to the operation of the Fund have been deducted. NAV returns do not reflect sales charges; if sales charges were reflected, the Fund’s quoted performance would be lower. SEC returns reflect the applicable sales charges for each share class: a 2.25% maximum front-end sales charge for Class A shares and a 1% 1-year contingent deferred sales charge for Class C shares. Returns for the different share classes will vary due to different expenses associated with each class. Performance assumes reinvestment of distributions and does not account for taxes.

abfunds.com AB SHORT DURATION INCOME PORTFOLIO    ^|    7

HISTORICAL PERFORMANCE

GROWTH OF A $10,000 INVESTMENT IN THE FUND (unaudited)

12/12/2018¹ TO 10/31/2023

This chart illustrates the total value of an assumed $10,000 investment in AB Short Duration Income Portfolio Class A shares (from 12/12/2018¹ to 10/31/2023) as compared to the performance of the Fund’s benchmark. The chart reflects the deduction of the maximum 2.25% sales charge from the initial $10,000 investment in the Fund and assumes the reinvestment of dividends and capital gains distributions.

1 Inception date: 12/12/2018.

8    ^|    AB SHORT DURATION INCOME PORTFOLIO abfunds.com

HISTORICAL PERFORMANCE (continued)

AVERAGE ANNUAL RETURNS AS OF OCTOBER 31, 2023 (unaudited)

	NAV Returns		SEC Returns (reflects applicable sales charges)		SEC Yields1
CLASS A SHARES						4.63%
1 Year		5.01%		2.65%
Since Inception2		1.21%		0.74%
CLASS C SHARES						3.96%
1 Year		4.18%		3.18%
Since Inception2		0.39%		0.39%
ADVISOR CLASS SHARES3						4.95%
1 Year		5.22%		5.22%
Since Inception2		1.38%		1.38%

The Fund’s current prospectus fee table shows the Fund’s total annual operating expense ratios as 1.66%, 2.42% and 1.48% for Class A, Class C and Advisor Class shares, respectively, gross of any fee waivers or expense reimbursements. Contractual fee waivers and/or expense reimbursements limited the Fund’s total annual operating expense ratios, exclusive of acquired fund fees and expenses other than the advisory fees of any AB mutual funds in which the Fund may invest, interest expense, taxes, extraordinary expenses and brokerage commissions and other transaction costs, to 0.65%, 1.45% and 0.45% for Class A, Class C and Advisor Class shares, respectively. These waivers/reimbursements may not be terminated before January 31, 2024. Any fees waived and expenses borne by the Adviser may be reimbursed by the Fund until the end of the third fiscal year after the fiscal period in which the fee was waived or the expense was borne, provided that no reimbursement payment will be made that would cause the Fund’s total operating expenses to exceed the applicable expense limitations. Absent reimbursements or waivers, performance would have been lower. The Financial Highlights section of this report sets forth expense ratio data for the current reporting period; the expense ratios shown above may differ from the expense ratios in the Financial Highlights section since they are based on different time periods.

1 SEC yields are calculated based on SEC guidelines for the 30-day period ended October 31, 2023.

2 Inception date: 12/12/2018.

3 This share class is offered at NAV to eligible investors and the SEC returns are the same as the NAV returns. Please note that this share class is for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or investment advisory clients of and certain other persons associated with, the Adviser and its affiliates or the Fund.

abfunds.com AB SHORT DURATION INCOME PORTFOLIO    ^|    9

HISTORICAL PERFORMANCE (continued)

SEC AVERAGE ANNUAL RETURNS

AS OF THE MOST RECENT CALENDAR QUARTER-END

SEPTEMBER 30, 2023 (unaudited)

	SEC Returns (reflects applicable sales charges)
CLASS A SHARES
1 Year		3.25%
Since Inception1		0.76%
CLASS C SHARES
1 Year		3.92%
Since Inception1		0.44%
ADVISOR CLASS SHARES2
1 Year		5.97%
Since Inception1		1.43%

1 Inception date: 12/12/2018.

2 Please note that this share class is for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or investment advisory clients of and certain other persons associated with, the Adviser and its affiliates or the Fund.

10    ^|    AB SHORT DURATION INCOME PORTFOLIO abfunds.com

EXPENSE EXAMPLE

(unaudited)

As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments, contingent deferred sales charges on redemptions and (2) ongoing costs, including management fees; distribution (12b-1) fees; and other Fund expenses. This example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds.

The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period as indicated below.

Actual Expenses

The first line of the table below provides information about actual account values and actual expenses. You may use the information in this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the first line under the heading entitled “Expenses Paid During Period” to estimate the expenses you paid on your account during this period.

Hypothetical Example for Comparison Purposes

The second line of the table below provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed annual rate of return of 5% before expenses, which is not the Fund’s actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and other funds by comparing this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of other funds.

	Beginning Account Value May 1, 2023		Ending Account Value October 31, 2023		Expenses Paid During Period*		Annualized Expense Ratio*
Class A
Actual	$	1,000	$	1,000.00	$	3.23		0.64	%
Hypothetical**	$	1,000	$	1,021.98	$	3.26		0.64	%
Class C
Actual	$	1,000	$	994.90	$	7.34		1.46	%
Hypothetical**	$	1,000	$	1,017.85	$	7.43		1.46	%
Advisor Class
Actual	$	1,000	$	1,001.00	$	2.27		0.45	%
Hypothetical**	$	1,000	$	1,022.94	$	2.29		0.45	%

* Expenses are equal to the Fund’s annualized expense ratio (interest expense incurred) multiplied by the average account value over the period, multiplied by 184/365 (to reflect the one-half year period). The Fund’s operating expenses are borne by the Adviser or its affiliates.

** Assumes 5% annual return before expenses.

abfunds.com AB SHORT DURATION INCOME PORTFOLIO    ^|    11

PORTFOLIO SUMMARY

October 31, 2023 (unaudited)

PORTFOLIO STATISTICS

Net Assets ($mil): $108.7

1 The Fund’s security type breakdown is expressed as a percentage of total investments and may vary over time. The Fund also enters into derivative transactions, which may be used for hedging or investment purposes (see “Portfolio of Investments” section of the report for additional details).

12    ^|    AB SHORT DURATION INCOME PORTFOLIO abfunds.com

PORTFOLIO OF INVESTMENTS

October 31, 2023

		Principal Amount (000)		U.S. $ Value
CORPORATES - INVESTMENT GRADE – 38.8%
Industrial – 24.1%
Basic – 1.1%
Berry Global, Inc. 4.875%, 07/15/2026(a)	U.S.$		43	$	40,992
BHP Billiton Finance USA Ltd. 4.875%, 02/27/2026			152		149,601
5.25%, 09/08/2026			330		327,053
Celanese US Holdings LLC 6.35%, 11/15/2028			68		66,390
Glencore Funding LLC 1.625%, 09/01/2025(a)			408		376,865
4.00%, 03/27/2027(a)			46		42,928
Sherwin-Williams Co. (The) 3.45%, 06/01/2027			161		148,935
					1,152,764
Capital Goods – 2.2%
Boeing Co. (The) 2.196%, 02/04/2026			394		362,078
4.875%, 05/01/2025			371		364,504
Caterpillar Financial Services Corp. 0.80%, 11/13/2025			366		333,313
0.90%, 03/02/2026			169		152,379
4.80%, 01/06/2026			110		108,498
Series D 4.35%, 05/15/2026			153		149,154
John Deere Capital Corp. 0.70%, 01/15/2026			177		159,550
3.40%, 06/06/2025			99		95,900
4.15%, 09/15/2027			155		148,271
4.75%, 01/20/2028			123		119,486
4.80%, 01/09/2026			152		150,018
Regal Rexnord Corp. 6.05%, 02/15/2026(a)			149		146,531
RTX Corp. 3.125%, 05/04/2027			161		146,637
					2,436,319
Communications - Media – 1.0%
Charter Communications Operating LLC/Charter Communications Operating Capital 4.908%, 07/23/2025			376		367,642
Comcast Corp. 3.95%, 10/15/2025			155		150,365
DirecTV Financing LLC/DirecTV Financing Co-Obligor, Inc. 5.875%, 08/15/2027(a)			46		40,282

abfunds.com AB SHORT DURATION INCOME PORTFOLIO    ^|    13

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Pinewood Finance Co., Ltd. 3.25%, 09/30/2025(a)	GBP		118	$	135,366
Warnermedia Holdings, Inc. 3.638%, 03/15/2025	U.S.$		378		365,397
					1,059,052
Communications - Telecommunications – 1.0%
AT&T, Inc. 1.70%, 03/25/2026			407		369,446
Rogers Communications, Inc. 2.95%, 03/15/2025			266		254,331
Sprint LLC 7.625%, 03/01/2026			345		354,370
T-Mobile USA, Inc. 3.50%, 04/15/2025			156		150,721
					1,128,868
Consumer Cyclical - Automotive – 1.6%
General Motors Financial Co., Inc. 1.25%, 01/08/2026			228		204,302
2.75%, 06/20/2025			383		361,632
5.40%, 04/06/2026			123		120,360
6.05%, 10/10/2025			150		149,423
Honda Motor Co., Ltd. 2.534%, 03/10/2027			164		148,269
Hyundai Capital America 1.30%, 01/08/2026(a)			49		44,184
1.50%, 06/15/2026(a)			50		44,435
1.80%, 10/15/2025(a)			165		152,011
5.80%, 06/26/2025(a)			173		172,000
Nissan Motor Acceptance Co., LLC 1.85%, 09/16/2026(a)			6		5,200
2.75%, 03/09/2028(a)			66		54,720
Toyota Motor Credit Corp. 3.95%, 06/30/2025			154		150,145
4.45%, 05/18/2026			153		149,368
					1,756,049
Consumer Cyclical - Other – 0.5%
Las Vegas Sands Corp. 3.90%, 08/08/2029			150		129,647
Marriott International, Inc./MD 5.55%, 10/15/2028			200		194,822
Sands China Ltd. 5.375%, 08/08/2025(b)			200		192,698
					517,167

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PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Consumer Cyclical - Restaurants – 0.7%
McDonald’s Corp. 3.50%, 03/01/2027	U.S.$		158	$	147,662
3.70%, 01/30/2026			328		315,379
Starbucks Corp. 3.80%, 08/15/2025			156		150,925
4.75%, 02/15/2026			152		149,294
					763,260
Consumer Cyclical - Retailers – 0.1%
TJX Cos., Inc. (The) 2.25%, 09/15/2026			163		149,678
Consumer Non-Cyclical – 8.4%
AbbVie, Inc. 2.95%, 11/21/2026			200		185,176
3.20%, 05/14/2026			238		224,339
3.60%, 05/14/2025			381		368,557
Altria Group, Inc. 2.35%, 05/06/2025			389		368,367
Amgen, Inc. 2.20%, 02/21/2027			227		203,428
3.125%, 05/01/2025			405		389,553
Anheuser-Busch Cos. LLC/Anheuser-Busch InBev Worldwide, Inc. 3.65%, 02/01/2026			156		149,886
Astrazeneca Finance LLC 1.20%, 05/28/2026			168		151,056
AstraZeneca PLC 0.70%, 04/08/2026			169		151,100
BAT International Finance PLC 1.668%, 03/25/2026			168		151,292
Baxalta, Inc. 4.00%, 06/23/2025			379		367,808
Biogen, Inc. 4.05%, 09/15/2025			156		150,548
Campbell Soup Co. 3.95%, 03/15/2025			356		346,210
Cigna Group (The) 1.25%, 03/15/2026			168		151,134
4.50%, 02/25/2026			154		149,429
Conagra Brands, Inc. 4.60%, 11/01/2025			154		149,534
CVS Health Corp. 3.00%, 08/15/2026			161		149,257
5.00%, 02/20/2026			152		149,041
General Mills, Inc. 4.00%, 04/17/2025			399		388,323

abfunds.com AB SHORT DURATION INCOME PORTFOLIO    ^|    15

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Gilead Sciences, Inc. 2.95%, 03/01/2027	U.S.$		149	$	136,542
3.50%, 02/01/2025			155		150,620
3.65%, 03/01/2026			157		149,869
HCA, Inc. 5.25%, 06/15/2026			252		245,992
5.375%, 02/01/2025			152		150,393
5.375%, 09/01/2026			47		45,962
5.875%, 02/15/2026			151		149,665
Kenvue, Inc. 5.35%, 03/22/2026			247		246,010
5.50%, 03/22/2025			287		286,584
Kraft Heinz Foods Co. 3.00%, 06/01/2026			390		364,311
Merck & Co., Inc. 1.70%, 06/10/2027			169		148,965
Molson Coors Brewing Co. 3.00%, 07/15/2026			393		364,763
Mondelez International, Inc. 2.625%, 03/17/2027			164		148,412
Pfizer Investment Enterprises Pte Ltd. 4.45%, 05/19/2026			234		228,407
Philip Morris International, Inc. 1.50%, 05/01/2025			50		46,998
4.875%, 02/13/2026			399		391,782
4.875%, 02/15/2028			37		35,552
5.00%, 11/17/2025			151		149,173
Reynolds American, Inc. 4.45%, 06/12/2025			126		122,871
Royalty Pharma PLC 1.20%, 09/02/2025			167		152,322
Shire Acquisitions Investments Ireland DAC 3.20%, 09/23/2026			310		288,595
Stryker Corp. 3.375%, 11/01/2025			384		366,977
Tyson Foods, Inc. 4.00%, 03/01/2026			374		358,572
					9,073,375
Energy – 2.2%
BP Capital Markets America, Inc. 3.017%, 01/16/2027			122		112,661
Columbia Pipelines Holding Co. LLC 6.055%, 08/15/2026			276		275,382
Continental Resources, Inc./OK 2.268%, 11/15/2026(a)			29		25,717
EOG Resources, Inc. 4.15%, 01/15/2026			416		402,938

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PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
EQT Corp. 6.125%, 02/01/2025(b)	U.S.$		148	$	147,557
Hess Corp. 4.30%, 04/01/2027			157		150,252
Marathon Oil Corp. 4.40%, 07/15/2027			381		356,905
Marathon Petroleum Corp. 4.70%, 05/01/2025			154		150,775
Occidental Petroleum Corp. 5.55%, 03/15/2026			14		13,810
ONEOK, Inc. 5.65%, 11/01/2028			214		208,858
Pioneer Natural Resources Co. 5.10%, 03/29/2026			392		387,660
Williams Cos., Inc. (The) 3.90%, 01/15/2025			155		150,930
					2,383,445
Services – 1.4%
Booking Holdings, Inc. 3.60%, 06/01/2026			437		416,063
Global Payments, Inc. 1.20%, 03/01/2026			170		151,504
GTCR W-2 Merger Sub LLC 7.50%, 01/15/2031(a)			200		197,222
Mastercard, Inc. 3.30%, 03/26/2027			257		239,943
PayPal Holdings, Inc. 2.65%, 10/01/2026			163		150,146
Verisk Analytics, Inc. 4.00%, 06/15/2025			379		367,043
					1,521,921
Technology – 2.7%
Apple, Inc. 0.70%, 02/08/2026			167		150,818
2.05%, 09/11/2026			164		150,298
2.45%, 08/04/2026			161		149,535
3.35%, 02/09/2027			130		122,570
Fiserv, Inc. 3.20%, 07/01/2026			391		365,245
Intel Corp. 4.875%, 02/10/2026			151		148,912
International Business Machines Corp. 3.30%, 05/15/2026			158		149,452
4.00%, 07/27/2025			154		149,965
4.50%, 02/06/2026			153		149,293
Intuit, Inc. 5.25%, 09/15/2026			160		159,498

abfunds.com AB SHORT DURATION INCOME PORTFOLIO    ^|    17

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Oracle Corp. 1.65%, 03/25/2026	U.S.$		166	$	150,497
2.50%, 04/01/2025			385		367,325
2.65%, 07/15/2026			68		62,572
Skyworks Solutions, Inc. 1.80%, 06/01/2026			165		147,305
VMware, Inc. 4.50%, 05/15/2025			154		150,406
Western Digital Corp. 4.75%, 02/15/2026			378		354,439
					2,928,130
Transportation - Airlines – 0.5%
Delta Air Lines, Inc./SkyMiles IP Ltd. 4.50%, 10/20/2025(a)			379		368,324
Mileage Plus Holdings LLC/Mileage Plus Intellectual Property Assets Ltd. 6.50%, 06/20/2027(a)			207		204,541
					572,865
Transportation - Railroads – 0.0%
Union Pacific Corp. 3.95%, 09/10/2028			9		8,419
Transportation - Services – 0.7%
ERAC USA Finance LLC 3.80%, 11/01/2025(a)			420		403,419
United Parcel Service, Inc. 3.90%, 04/01/2025			377		368,159
					771,578
					26,222,890
Financial Institutions – 13.8%
Banking – 11.3%
Ally Financial, Inc.
4.75%, 06/09/2027			64		57,946
5.80%, 05/01/2025			395		386,626
American Express Co. 2.25%, 03/04/2025			159		151,247
3.95%, 08/01/2025			128		123,670
4.20%, 11/06/2025			155		150,055
4.99%, 05/01/2026			297		291,295
Banco Santander SA 1.722%, 09/14/2027			200		173,478
Bank of America Corp. 1.53%, 12/06/2025			87		82,167
2.015%, 02/13/2026			176		165,952
2.456%, 10/22/2025			158		151,860
3.366%, 01/23/2026			157		150,863
3.384%, 04/02/2026			161		154,217

18    ^|    AB SHORT DURATION INCOME PORTFOLIO abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Series L 3.95%, 04/21/2025	U.S.$		129	$	124,712
Bank of New York Mellon Corp. (The) 4.414%, 07/24/2026			63		61,177
4.947%, 04/26/2027			153		148,685
Citigroup, Inc. 1.462%, 06/09/2027			170		149,602
3.106%, 04/08/2026			158		150,730
3.29%, 03/17/2026			266		254,682
3.40%, 05/01/2026			132		124,127
3.70%, 01/12/2026			158		150,339
Credit Agricole SA 4.375%, 03/17/2025(a)			200		193,314
Deutsche Bank AG/New York NY 2.129%, 11/24/2026			557		502,492
7.146%, 07/13/2027			364		363,487
Fifth Third Bancorp 2.375%, 01/28/2025			160		152,125
Goldman Sachs Group, Inc. (The) 0.855%, 02/12/2026			429		397,893
3.50%, 04/01/2025			316		304,169
3.75%, 05/22/2025			129		124,339
JPMorgan Chase & Co. 1.561%, 12/10/2025			217		205,414
2.005%, 03/13/2026			156		147,169
2.083%, 04/22/2026			325		305,406
4.08%, 04/26/2026			50		48,459
5.546%, 12/15/2025			125		124,071
Lloyds Banking Group PLC 3.75%, 03/18/2028			545		496,588
Macquarie Group Ltd. 1.34%, 01/12/2027(a)			294		262,827
5.108%, 08/09/2026(a)			154		151,457
Morgan Stanley 2.188%, 04/28/2026			161		151,424
2.63%, 02/18/2026			296		281,824
4.679%, 07/17/2026			409		397,348
Nationwide Building Society 6.557%, 10/18/2027(a)			210		209,574
PNC Financial Services Group, Inc. (The) 4.758%, 01/26/2027			172		165,473
5.812%, 06/12/2026			413		407,532
6.615%, 10/20/2027			147		147,375
Royal Bank of Canada Series G 4.65%, 01/27/2026			155		150,215

abfunds.com AB SHORT DURATION INCOME PORTFOLIO    ^|    19

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Santander Holdings USA, Inc. 3.244%, 10/05/2026	U.S.$		47	$	42,189
3.45%, 06/02/2025			197		186,248
Santander UK Group Holdings PLC 6.833%, 11/21/2026			359		358,526
State Street Corp. 5.104%, 05/18/2026			152		149,778
Sumitomo Mitsui Financial Group, Inc. 2.632%, 07/14/2026			296		270,870
3.352%, 10/18/2027			75		67,622
3.784%, 03/09/2026			441		418,844
Toronto-Dominion Bank (The) 0.75%, 01/06/2026			169		151,072
5.103%, 01/09/2026			152		149,655
Truist Financial Corp. 4.26%, 07/28/2026			378		361,992
5.90%, 10/28/2026			152		148,881
6.047%, 06/08/2027			209		204,582
US Bancorp 6.787%, 10/26/2027			84		84,582
Wells Fargo & Co. 2.164%, 02/11/2026			101		95,546
2.188%, 04/30/2026			161		151,456
2.406%, 10/30/2025			319		306,106
3.908%, 04/25/2026			156		150,423
4.54%, 08/15/2026			125		121,142
					12,312,919
Finance – 0.4%
Air Lease Corp. 3.375%, 07/01/2025			387		367,290
Aviation Capital Group LLC 6.75%, 10/25/2028(a)			80		78,898
					446,188
Insurance – 0.3%
UnitedHealth Group, Inc. 2.95%, 10/15/2027			163		148,292
3.75%, 07/15/2025			155		150,950
					299,242
REITs – 1.8%
American Tower Corp. 4.00%, 06/01/2025			330		318,896
5.80%, 11/15/2028			53		51,765
Boston Properties LP 2.75%, 10/01/2026			27		23,870
3.20%, 01/15/2025			159		152,153
3.65%, 02/01/2026			314		291,841

20    ^|    AB SHORT DURATION INCOME PORTFOLIO abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
GLP Capital LP/GLP Financing II, Inc. 5.375%, 04/15/2026	U.S.$		421	$	403,794
Simon Property Group LP 3.50%, 09/01/2025			157		150,426
WEA Finance LLC 2.875%, 01/15/2027(a)			249		213,007
Welltower OP LLC 4.00%, 06/01/2025			380		367,456
					1,973,208
					15,031,557
Utility – 0.9%
Electric – 0.9%
American Electric Power Co., Inc. 5.699%, 08/15/2025			142		140,846
DTE Energy Co. Series F 1.05%, 06/01/2025			164		151,559
NextEra Energy Capital Holdings, Inc. 6.051%, 03/01/2025			150		149,935
Pacific Gas and Electric Co. 3.45%, 07/01/2025			372		352,608
WEC Energy Group, Inc. 4.75%, 01/09/2026			153		149,181
					944,129
Total Corporates - Investment Grade (cost $42,683,083)					42,198,576
GOVERNMENTS - TREASURIES – 31.9%
United States – 31.9%
U.S. Treasury Notes 3.50%, 01/31/2028(c)			865		820,669
3.50%, 01/31/2030			380		351,163
3.50%, 02/15/2033			605		542,539
3.875%, 01/15/2026(d)			2,828		2,760,049
3.875%, 11/30/2027			4,167		4,016,405
3.875%, 12/31/2027			816		786,165
4.00%, 02/29/2028			1,675		1,620,369
4.125%, 10/31/2027			103		100,053
4.125%, 07/31/2028			3,357		3,258,485
4.25%, 12/31/2024(e)			1,042		1,029,044
4.25%, 05/31/2025			3,930		3,872,399
4.375%, 10/31/2024			1,750		1,731,680
4.375%, 08/31/2028			3,161		3,101,928
4.50%, 11/30/2024			2,732		2,704,878

abfunds.com AB SHORT DURATION INCOME PORTFOLIO    ^|    21

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
4.625%, 09/30/2028	U.S.$		4,330	$	4,292,112
5.00%, 09/30/2025			3,657		3,649,572
Total Governments - Treasuries (cost $35,310,963)					34,637,510
COLLATERALIZED MORTGAGE OBLIGATIONS – 9.2%
Risk Share Floating Rate – 9.1%
Bellemeade Re Ltd. Series 2019-1A, Class M2 8.139% (LIBOR 1 Month + 2.70%), 03/25/2029(a)(f)			107		107,574
Series 2019-4A, Class M2
8.289% (LIBOR 1 Month + 2.85%), 10/25/2029(a)(f)			150		151,265
Series 2021-16A, Class M1A 7.521% (SOFR + 2.20%), 10/25/2033(f)			200		200,533
Series 2022-1, Class M1B 7.471% (SOFR + 2.15%), 01/26/2032(a)(f)			193		192,695
Series 2022-2, Class M1A 9.321% (SOFR + 4.00%), 09/27/2032(a)(f)			200		205,042
Connecticut Avenue Securities Trust Series 2022-R04, Class 1M1 7.321% (SOFR + 2.00%), 03/25/2042(a)(f)			264		265,336
Series 2022-R06, Class 1M1 8.071% (SOFR + 2.75%), 05/25/2042(a)(f)			252		257,949
Series 2022-R08, Class 1M1 7.871% (SOFR + 2.55%), 07/25/2042(a)(f)			507		515,050
Series 2023-R01, Class 1M1 7.721% (SOFR + 2.40%), 12/25/2042(a)(f)			322		325,355
Series 2023-R02, Class 1M1 7.621% (SOFR + 2.30%), 01/25/2043(a)(f)			338		342,629
Series 2023-R03, Class 2M1 7.821% (SOFR + 2.50%), 04/25/2043(a)(f)			487		492,475
Series 2023-R04, Class 1M1 7.621% (SOFR + 2.30%), 05/25/2043(a)(f)			518		524,460
Series 2023-R05, Class 1M1 7.221% (SOFR + 1.90%), 06/25/2043(a)(f)			212		212,808
Series 2023-R06, Class 1M1 7.021% (SOFR + 1.70%), 07/25/2043(a)(f)			280		280,336
Series 2023-R07, Class 2M1 7.271% (SOFR + 1.95%), 09/25/2043(a)(f)			314		314,807
Eagle Re Ltd. Series 2021-2, Class M1B 7.371% (SOFR + 2.05%), 04/25/2034(a)(f)			150		150,041
Series 2023-1, Class M1A 7.321% (SOFR + 2.00%), 09/26/2033(f)			350		350,204

22    ^|    AB SHORT DURATION INCOME PORTFOLIO abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Federal Home Loan Mortgage Corp. Structured Agency Credit Risk Debt Notes
Series 2015-HQA1, Class M3
10.135% (SOFR + 4.81%), 03/25/2028(f)	U.S.$		63	$	64,720
Series 2019-DNA4, Class M2 7.385% (SOFR + 2.06%), 10/25/2049(a)(f)			1		517
Series 2020-DNA1, Class M2 7.135% (SOFR + 1.81%), 01/25/2050(a)(f)			17		17,328
Series 2021-DNA1, Class M2 7.121% (SOFR + 1.80%), 01/25/2051(a)(f)			173		171,858
Series 2021-DNA5, Class M2 6.971% (SOFR + 1.65%), 01/25/2034(a)(f)			50		50,334
Series 2021-DNA6, Class M2 6.821% (SOFR + 1.50%), 10/25/2041(a)(f)			150		147,722
Series 2021-DNA7, Class M1 6.171% (SOFR + 0.85%), 11/25/2041(a)(f)			168		166,341
Series 2021-DNA7, Class M2 7.121% (SOFR + 1.80%), 11/25/2041(a)(f)			225		220,997
Series 2021-HQA4, Class M1 6.271% (SOFR + 0.95%), 12/25/2041(a)(f)			490		483,251
Series 2022-DNA2, Class M1B 7.721% (SOFR + 2.40%), 02/25/2042(a)(f)			144		144,269
Series 2022-DNA7, Class M1A 7.821% (SOFR + 2.50%), 03/25/2052(a)(f)			486		492,360
Series 2022-HQA1, Class M1B 8.821% (SOFR + 3.50%), 03/25/2042(a)(f)			20		20,459
Series 2022-HQA2, Class M1B 9.321% (SOFR + 4.00%), 07/25/2042(a)(f)			184		192,479
Series 2022-HQA3, Class M1A 7.621% (SOFR + 2.30%), 08/25/2042(a)(f)			122		123,052
Series 2023-DNA1, Class M1A 7.421% (SOFR + 2.10%), 03/25/2043(a)(f)			529		532,459
Series 2023-DNA2, Class M1A 7.421% (SOFR + 2.10%), 04/25/2043(a)(f)			423		425,989
Series 2023-HQA1, Class M1A 7.321% (SOFR + 2.00%), 05/25/2043(a)(f)			188		188,686
Series 2023-HQA2, Class M1A 7.321% (SOFR + 2.00%), 06/25/2043(f)			133		133,436
Federal National Mortgage Association Connecticut Avenue Securities Series 2015-C04, Class 2M2 10.985% (SOFR + 5.66%), 04/25/2028(f)			2		2,016
Series 2016-C01, Class 2M2 12.385% (SOFR + 7.06%), 08/25/2028(f)			6		6,748
Series 2016-C04, Class 1B 15.685% (SOFR + 10.36%), 01/25/2029(f)			118		132,790

abfunds.com AB SHORT DURATION INCOME PORTFOLIO    ^|    23

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Series 2017-C06, Class 2M2 8.235% (SOFR + 2.91%), 02/25/2030(f)	U.S.$		337	$	345,829
Series 2021-R02, Class 2M2 7.321% (SOFR + 2.00%), 11/25/2041(a)(f)			230		225,710
Home Re Ltd. Series 2020-1, Class M2 10.689% (LIBOR 1 Month + 5.25%), 10/25/2030(a)(f)			66		66,133
Series 2023-1, Class 1MA 7.471% (SOFR + 2.15%), 10/25/2033(a)(f)			550		550,258
PMT Credit Risk Transfer Trust Series 2019-2R, Class A 9.191% (SOFR + 3.86%), 05/30/2025(a)(f)			26		25,739
Series 2019-3R, Class A 9.135% (SOFR + 3.81%), 11/27/2031(a)(f)			13		12,915
Triangle Re Ltd. Series 2021-3, Class M1A 7.221% (SOFR + 1.90%), 02/25/2034(a)(f)			39		39,505
					9,872,459
Agency Fixed Rate – 0.1%
Federal Home Loan Mortgage Corp. REMICs Series 4913, Class IO 6.00%, 04/15/2041(g)			65		13,138
Federal National Mortgage Association REMICs Series 2012-120, Class CI 3.50%, 12/25/2031(g)			80		1,780
Series 2016-26, Class IO 5.00%, 05/25/2046(g)			143		21,713
Series 2016-31, Class IO 5.00%, 06/25/2046(g)			192		30,983
Series 2016-64, Class BI 5.00%, 09/25/2046(g)			23		3,263
					70,877
Agency Floating Rate – 0.0%
Federal Home Loan Mortgage Corp. REMICs Series 4372, Class JS 0.665% (5.99% – SOFR), 08/15/2044(f)(h)			82		5,777
Federal National Mortgage Association REMICs Series 2012-17, Class ES 1.115% (6.44% – SOFR), 03/25/2041(f)(h)			53		1,427
Series 2012-17, Class SE 0.515% (5.84% – SOFR), 03/25/2042(f)(h)			60		5,044
Series 2019-25, Class SA 0.615% (5.94% – SOFR), 06/25/2049(f)(h)			40		3,082

24    ^|    AB SHORT DURATION INCOME PORTFOLIO abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Series 2019-42, Class SQ 0.615% (5.94% – SOFR), 08/25/2049(f)(h)	U.S.$		35	$	3,077
					18,407
Total Collateralized Mortgage Obligations (cost $9,927,618)					9,961,743
ASSET-BACKED SECURITIES – 6.5%
Other ABS - Fixed Rate – 4.0%
Affirm Asset Securitization Trust Series 2023-A, Class A 6.61%, 01/18/2028(a)			383		380,834
Series 2023-B, Class A 6.82%, 09/15/2028			150		150,055
BHG Securitization Trust Series 2023-A, Class A 5.55%, 04/17/2036(a)			141		138,905
Series 2023-B, Class A 7.35%, 12/17/2036			300		299,960
Dext ABS LLC Series 2023-1, Class A2 5.99%, 03/15/2032(a)			210		206,742
Granite Park Equipment Leasing LLC Series 2023-1A, Class A3 6.46%, 09/20/2032			250		248,730
Lendmark Funding Trust Series 2023-1A, Class A 5.59%, 05/20/2033(a)			210		206,437
Mariner Finance Issuance Trust Series 2023-AA, Class A 6.70%, 10/22/2035			500		499,326
Pagaya AI Debt Trust Series 2023-1, Class A 7.556%, 07/15/2030(a)			76		75,905
Series 2023-3, Class A 7.60%, 12/16/2030(a)			80		80,024
Series 2023-5, Class A 7.179%, 04/15/2031			209		209,536
Series 2023-6, Class A 7.128%, 06/16/2031			100		99,959
Prosper Marketplace Issuance Trust Series 2023-1A, Class A 7.06%, 07/16/2029			465		464,638
Reach ABS Trust Series 2023-1A, Class A 7.05%, 02/18/2031			202		202,579

abfunds.com AB SHORT DURATION INCOME PORTFOLIO    ^|    25

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Theorem Funding Trust Series 2022-1A, Class A 1.85%, 02/15/2028(a)	U.S.$		20	$	19,579
Series 2022-3A, Class A 7.60%, 04/15/2029(a)			152		152,560
Series 2023-1A, Class A 7.58%, 04/15/2029(a)			136		136,213
Upstart Securitization Trust Series 2023-2, Class A 6.77%, 06/20/2033			210		209,561
Series 2023-3 6.90%, 10/20/2033			160		159,292
Verdant Receivables LLC Series 2023-1A, Class A2 6.24%, 01/13/2031			460		457,123
					4,397,958
Autos - Fixed Rate – 2.3%
ACM Auto Trust Series 2023-1A, Class A 6.61%, 01/22/2030(a)			51		51,398
FHF Trust Series 2023-1A, Class A2 6.57%, 06/15/2028(a)			202		198,863
Foursight Capital Automobile Receivables Trust Series 2023-1, Class A2 5.43%, 10/15/2026(a)			135		134,287
Lendbuzz Securitization Trust Series 2023-1A, Class A2 6.92%, 08/15/2028(a)			174		173,404
7.50%, 12/15/2028			150		149,991
Series 2023-2A, Class A2 7.09%, 10/16/2028(a)			210		209,027
Lobel Automobile Receivables Trust Series 2023-1, Class A 6.97%, 07/15/2026(a)			135		134,584
Series 2023-2, Class A 7.59%, 04/16/2029			250		250,032
Merchants Fleet Funding LLC Series 2023-1A, Class A 7.21%, 05/20/2036(a)			550		550,533
Research-Driven Pagaya Motor Asset Trust Series 2023-3A, Class A 7.13%, 01/26/2032			500		500,100
Tricolor Auto Securitization Trust Series 2023-1A, Class A 6.48%, 08/17/2026(a)			105		105,116

26    ^|    AB SHORT DURATION INCOME PORTFOLIO abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
United Auto Credit Securitization Trust Series 2023-1, Class A 5.57%, 07/10/2025(a)	U.S.$		49	$	48,509
					2,505,844
Credit Cards - Fixed Rate – 0.2%
Mission Lane Credit Card Master Trust Series 2023-A, Class A 7.23%, 07/17/2028(a)			200		197,997
Total Asset-Backed Securities (cost $7,124,249)					7,101,799
CORPORATES - NON-INVESTMENT GRADE – 6.2%
Industrial – 5.8%
Basic – 0.1%
Arsenal AIC Parent LLC 8.00%, 10/01/2030(a)			38		37,523
ASP Unifrax Holdings, Inc. 5.25%, 09/30/2028(a)			10		6,798
Sealed Air Corp./Sealed Air Corp. US 6.125%, 02/01/2028(a)			27		25,680
					70,001
Capital Goods – 0.8%
Ardagh Packaging Finance PLC/Ardagh Holdings USA, Inc. 4.125%, 08/15/2026(a)			200		176,524
Ball Corp. 6.00%, 06/15/2029			97		92,904
Chart Industries, Inc. 7.50%, 01/01/2030(a)			25		24,563
Eco Material Technologies, Inc. 7.875%, 01/31/2027(a)			92		87,323
Emerald Debt Merger Sub LLC 6.625%, 12/15/2030(a)			69		65,692
Gates Global LLC/Gates Corp. 6.25%, 01/15/2026(a)			61		59,612
LSB Industries, Inc. 6.25%, 10/15/2028(a)(b)			110		97,727
Renk AG/Frankfurt am Main 5.75%, 07/15/2025(a)	EUR		100		104,139
Trinity Industries, Inc. 7.75%, 07/15/2028(a)	U.S.$		174		171,835
					880,319

abfunds.com AB SHORT DURATION INCOME PORTFOLIO    ^|    27

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Communications - Media – 0.6%
AMC Networks, Inc. 4.75%, 08/01/2025	U.S.$		85	$	77,549
Banijay Entertainment SASU 7.00%, 05/01/2029(a)	EUR		170		178,031
CCO Holdings LLC/CCO Holdings Capital Corp. 4.50%, 08/15/2030(a)	U.S.$		26		20,874
5.125%, 05/01/2027(a)			59		54,277
Clear Channel Outdoor Holdings, Inc. 5.125%, 08/15/2027(a)			60		53,304
DISH DBS Corp. 5.25%, 12/01/2026(a)			87		70,286
5.75%, 12/01/2028(a)			32		22,878
McGraw-Hill Education, Inc. 5.75%, 08/01/2028(a)			56		47,224
Radiate Holdco LLC/Radiate Finance, Inc. 4.50%, 09/15/2026(a)			85		65,168
Sirius XM Radio, Inc. 3.875%, 09/01/2031(a)			12		9,028
4.00%, 07/15/2028(a)			62		52,707
5.00%, 08/01/2027(a)			70		64,273
					715,599
Consumer Cyclical - Automotive – 0.1%
Tenneco, Inc. 8.00%, 11/17/2028(a)			79		63,397
Consumer Cyclical - Entertainment – 0.7%
Carnival Corp. 4.00%, 08/01/2028(a)			36		31,335
5.75%, 03/01/2027(a)			62		55,337
7.00%, 08/15/2029(a)			122		119,560
Cedar Fair LP/Canada’s Wonderland Co./Magnum Management Corp./Millennium Op 5.50%, 05/01/2025(a)			29		28,441
Lindblad Expeditions LLC 6.75%, 02/15/2027(a)			28		25,431
NCL Corp. Ltd. 8.125%, 01/15/2029(a)			135		131,975
Royal Caribbean Cruises Ltd. 5.375%, 07/15/2027(a)			42		38,710
5.50%, 08/31/2026(a)			31		29,302
7.25%, 01/15/2030(a)			20		19,767
11.50%, 06/01/2025(a)			17		17,981
SeaWorld Parks & Entertainment, Inc. 8.75%, 05/01/2025(a)			20		20,307

28    ^|    AB SHORT DURATION INCOME PORTFOLIO abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Viking Cruises Ltd. 5.875%, 09/15/2027(a)	U.S.$		12	$	10,807
Viking Ocean Cruises Ship VII Ltd. 5.625%, 02/15/2029(a)			14		12,386
VOC Escrow Ltd. 5.00%, 02/15/2028(a)			226		203,357
					744,696
Consumer Cyclical - Other – 0.3%
Brookfield Residential Properties, Inc./Brookfield Residential US LLC 6.25%, 09/15/2027(a)			86		75,231
Caesars Entertainment, Inc. 7.00%, 02/15/2030(a)			40		38,501
Churchill Downs, Inc. 4.75%, 01/15/2028(a)			59		52,978
Hilton Grand Vacations Borrower Escrow LLC/Hilton Grand Vacations Borrower Esc 4.875%, 07/01/2031(a)			9		7,144
5.00%, 06/01/2029(a)			45		37,866
MGM Resorts International 4.75%, 10/15/2028			7		6,111
Shea Homes LP/Shea Homes Funding Corp. 4.75%, 02/15/2028			11		9,721
Taylor Morrison Communities, Inc. 5.875%, 06/15/2027(a)			15		14,062
Travel + Leisure Co. 6.625%, 07/31/2026(a)			20		19,468
Wynn Las Vegas LLC/Wynn Las Vegas Capital Corp. 5.25%, 05/15/2027(a)			33		30,533
					291,615
Consumer Cyclical - Restaurants – 0.0%
1011778 BC ULC/New Red Finance, Inc. 3.875%, 01/15/2028(a)			17		15,191
4.375%, 01/15/2028(a)			35		31,516
					46,707
Consumer Cyclical - Retailers – 0.3%
Bath & Body Works, Inc. 7.50%, 06/15/2029			64		62,573
9.375%, 07/01/2025(a)			6		6,182
Beacon Roofing Supply, Inc. 6.50%, 08/01/2030(a)			31		29,614
eG Global Finance PLC 4.375%, 02/07/2025(a)	EUR		133		137,775
Staples, Inc. 7.50%, 04/15/2026(a)	U.S.$		15		12,223

abfunds.com AB SHORT DURATION INCOME PORTFOLIO    ^|    29

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Wolverine World Wide, Inc. 4.00%, 08/15/2029(a)	U.S.$		81	$	60,317
					308,684
Consumer Non-Cyclical – 0.5%
Bausch & Lomb Escrow Corp. 8.375%, 10/01/2028(a)			190		188,831
Coty, Inc./HFC Prestige Products, Inc./HFC Prestige International US LLC 6.625%, 07/15/2030(a)			76		72,749
Elanco Animal Health, Inc. 6.65%, 08/28/2028(b)			82		78,424
Embecta Corp. 5.00%, 02/15/2030(a)			48		38,099
Legacy LifePoint Health LLC 4.375%, 02/15/2027(a)			114		94,243
Medline Borrower LP 3.875%, 04/01/2029(a)			26		21,942
Newell Brands, Inc. 4.875%, 06/01/2025			7		6,723
5.20%, 04/01/2026(b)			26		24,532
6.375%, 09/15/2027			15		14,049
US Acute Care Solutions LLC 6.375%, 03/01/2026(a)			81		69,202
					608,794
Energy – 1.1%
Blue Racer Midstream LLC/Blue Racer Finance Corp. 7.625%, 12/15/2025(a)			8		8,011
CITGO Petroleum Corp. 7.00%, 06/15/2025(a)			33		32,455
8.375%, 01/15/2029(a)			186		184,214
Civitas Resources, Inc. 5.00%, 10/15/2026(a)			30		28,057
8.375%, 07/01/2028(a)			179		180,285
Crescent Energy Finance LLC 7.25%, 05/01/2026(a)			28		27,086
9.25%, 02/15/2028(a)			88		89,242
Genesis Energy LP/Genesis Energy Finance Corp. 7.75%, 02/01/2028			15		14,146
8.00%, 01/15/2027			21		20,196
Howard Midstream Energy Partners LLC 8.875%, 07/15/2028(a)			107		107,899
Nabors Industries Ltd. 7.25%, 01/15/2026(a)			12		11,243

30    ^|    AB SHORT DURATION INCOME PORTFOLIO abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Nabors Industries, Inc. 7.375%, 05/15/2027(a)	U.S.$		11	$	10,288
New Fortress Energy, Inc. 6.50%, 09/30/2026(a)			96		85,939
6.75%, 09/15/2025(a)			75		69,617
NGL Energy Operating LLC/NGL Energy Finance Corp. 7.50%, 02/01/2026(a)			44		42,962
Summit Midstream Holdings LLC/Summit Midstream Finance Corp. 9.00%, 10/15/2026(a)(b)			40		38,402
Venture Global LNG, Inc. 8.125%, 06/01/2028(a)			131		127,185
9.50%, 02/01/2029(a)			70		71,002
9.875%, 02/01/2032(a)			66		66,940
					1,215,169
Other Industrial – 0.1%
Ritchie Bros Holdings, Inc. 6.75%, 03/15/2028(a)			78		76,867
Services – 0.5%
ADT Security Corp. (The) 4.875%, 07/15/2032(a)			7		5,854
Allied Universal Holdco LLC/Allied Universal Finance Corp. 6.625%, 07/15/2026(a)			57		53,362
ANGI Group LLC 3.875%, 08/15/2028(a)			127		95,451
APX Group, Inc. 6.75%, 02/15/2027(a)			53		51,196
Garda World Security Corp. 7.75%, 02/15/2028(a)			103		99,026
MPH Acquisition Holdings LLC 5.75%, 11/01/2028(a)			78		58,179
Neptune Bidco US, Inc. 9.29%, 04/15/2029(a)			108		95,398
Prime Security Services Borrower LLC/Prime Finance, Inc. 3.375%, 08/31/2027(a)			23		20,338
6.25%, 01/15/2028(a)			82		76,115
ZipRecruiter, Inc. 5.00%, 01/15/2030(a)			63		49,163
					604,082
Technology – 0.3%
Gen Digital, Inc. 6.75%, 09/30/2027(a)			42		40,922

abfunds.com AB SHORT DURATION INCOME PORTFOLIO    ^|    31

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
NCR Voyix Corp. 5.00%, 10/01/2028(a)	U.S.$		105	$	90,706
Presidio Holdings, Inc. 4.875%, 02/01/2027(a)			56		51,182
Seagate HDD Cayman 8.25%, 12/15/2029(a)			97		98,749
Virtusa Corp. 7.125%, 12/15/2028(a)			10		7,959
					289,518
Transportation - Airlines – 0.1%
Hawaiian Brand Intellectual Property Ltd./HawaiianMiles Loyalty Ltd. 5.75%, 01/20/2026(a)			94		69,393
Transportation - Services – 0.3%
Albion Financing 1 SARL/Aggreko Holdings, Inc. 6.125%, 10/15/2026(a)			200		185,026
Loxam SAS 4.50%, 02/15/2027(a)	EUR		100		99,197
					284,223
					6,269,064
Financial Institutions – 0.4%
Banking – 0.1%
Bread Financial Holdings, Inc. 7.00%, 01/15/2026(a)	U.S.$		127		115,992
Brokerage – 0.1%
Osaic Holdings, Inc. 10.75%, 08/01/2027(a)			52		51,721
Finance – 0.2%
Castlelake Aviation Finance DAC 5.00%, 04/15/2027(a)			62		54,704
Curo Group Holdings Corp. 7.50%, 08/01/2028(a)			53		20,868
GGAM Finance Ltd. 7.75%, 05/15/2026(a)			51		50,618
8.00%, 06/15/2028(a)			77		76,024
SLM Corp. 3.125%, 11/02/2026			23		19,995
					222,209
					389,922

32    ^|    AB SHORT DURATION INCOME PORTFOLIO abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Utility – 0.0%
Other Utility – 0.0%
Solaris Midstream Holdings LLC 7.625%, 04/01/2026(a)	U.S.$		25	$	23,895
Total Corporates - Non-Investment Grade (cost $7,043,237)					6,682,881
COLLATERALIZED LOAN OBLIGATIONS – 3.5%
CLO - Floating Rate – 3.5%
AGL CLO 16 Ltd. Series 2021-16A, Class A 6.807% (SOFR + 1.39%), 01/20/2035(a)(f)			500		493,508
Ballyrock CLO 15 Ltd. Series 2021-1A, Class C 8.756% (SOFR + 3.36%), 04/15/2034(a)(f)			250		233,890
Dryden 78 CLO Ltd. Series 2020-78A, Class A 6.844% (SOFR + 1.44%), 04/17/2033(a)(f)			550		545,483
Galaxy 30 CLO Ltd. Series 2022-30A, Class D 8.744% (SOFR + 3.35%), 04/15/2035(a)(f)			250		229,479
Neuberger Berman Loan Advisers CLO 42 Ltd Series 2021-42A, Class A 6.756% (SOFR + 1.36%), 07/16/2035(a)(f)			500		496,126
Palmer Square CLO Ltd. Series 2021-3A, Class D 8.606% (SOFR + 3.21%), 01/15/2035(a)(f)			250		240,253
PPM CLO 5 Ltd. Series 2021-5A, Class A 6.857% (SOFR + 1.46%), 10/18/2034(a)(f)			500		491,127
Rad CLO 14 Ltd. Series 2021-14A, Class A 6.826% (SOFR + 1.43%), 01/15/2035(a)(f)			550		543,939
Regatta XXIV Funding Ltd. Series 2021-5A, Class D 8.777% (SOFR + 3.36%), 01/20/2035(a)(f)			250		243,552
Rockford Tower CLO Ltd. Series 2021-2A, Class D 8.927% (SOFR + 3.51%), 07/20/2034(a)(f)			250		240,046
Total Collateralized Loan Obligations (cost $3,816,976)					3,757,403

abfunds.com AB SHORT DURATION INCOME PORTFOLIO    ^|    33

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
COMMERCIAL MORTGAGE-BACKED SECURITIES – 1.7%
Non-Agency Fixed Rate CMBS – 1.5%
BAMLL Commercial Mortgage Securities Trust Series 2013-WBRK, Class D 3.534%, 03/10/2037(a)	U.S.$		100	$	80,156
BANK Series 2020-BN28, Class XA 1.76%, 03/15/2063(g)			2,030		179,173
Series 2020-BN29, Class XA 1.329%, 11/15/2053(g)			976		64,722
Barclays Commercial Mortgage Trust Series 2019-C3, Class XA 1.309%, 05/15/2052(g)			956		51,296
BBCMS Mortgage Trust Series 2017-C1, Class XA 1.455%, 02/15/2050(g)			1,292		48,294
CD Mortgage Trust Series 2016-CD1, Class XA 1.363%, 08/10/2049(g)			1,483		38,743
CFCRE Commercial Mortgage Trust Series 2016-C4, Class XA 1.603%, 05/10/2058(g)			79		2,244
Series 2017-C8, Class XA 1.477%, 06/15/2050(g)			272		10,511
Citigroup Commercial Mortgage Trust Series 2017-P7, Class XA 1.086%, 04/14/2050(g)			797		22,590
Commercial Mortgage Trust Series 2014-CR16, Class D 4.916%, 04/10/2047(a)			100		74,909
Series 2016-DC2, Class XA 0.92%, 02/10/2049(g)			2,354		36,669
GS Mortgage Securities Trust Series 2013-GC13, Class D 3.828%, 07/10/2046(a)			100		36,891
Series 2016-GS3, Class XA 1.193%, 10/10/2049(g)			1,270		32,762
Series 2017-GS5, Class XA 0.826%, 03/10/2050(g)			1,407		30,170
Series 2017-GS7, Class XA 1.079%, 08/10/2050(g)			3,259		99,020
Series 2019-GC39, Class XA 1.106%, 05/10/2052(g)			4,506		175,133
JPMBB Commercial Mortgage Securities Trust Series 2013-C14, Class D 4.15%, 08/15/2046(a)			75		31,275

34    ^|    AB SHORT DURATION INCOME PORTFOLIO abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
JPMorgan Chase Commercial Mortgage Securities Trust Series 2012-LC9, Class G 3.784%, 12/15/2047(a)	U.S.$		100	$	57,000
Series 2013-LC11, Class B 3.499%, 04/15/2046			110		92,538
UBS Commercial Mortgage Trust Series 2017-C1, Class XA 1.522%, 06/15/2050(g)			1,031		41,829
Series 2017-C2, Class XA 1.069%, 08/15/2050(g)			1,993		61,649
Series 2018-C14, Class XA 0.882%, 12/15/2051(g)			804		27,581
Series 2018-C15, Class XA 0.896%, 12/15/2051(g)			590		20,189
Series 2019-C18, Class XA 1.009%, 12/15/2052(g)			1,248		49,408
UBS-Barclays Commercial Mortgage Trust Series 2013-C6, Class D 3.97%, 04/10/2046(a)			80		65,469
Wells Fargo Commercial Mortgage Trust Series 2016-LC24, Class XA 1.601%, 10/15/2049(g)			766		26,511
Series 2018-C48, Class XA 0.935%, 01/15/2052(g)			754		27,412
Series 2019-C52, Class XA 1.602%, 08/15/2052(g)			925		56,519
WF-RBS Commercial Mortgage Trust Series 2011-C4, Class D 4.979%, 06/15/2044(a)			60		49,086
Series 2011-C4, Class E 4.979%, 06/15/2044(a)			25		17,169
					1,606,918
Non-Agency Floating Rate CMBS – 0.2%
BFLD Trust Series 2019-DPLO, Class E 7.689% (SOFR + 2.35%), 10/15/2034(a)(f)			10		9,773
Great Wolf Trust Series 2019-WOLF, Class D 7.382% (SOFR + 2.05%), 12/15/2036(a)(f)			45		44,263
Morgan Stanley Capital I Trust Series 2019-BPR, Class D 9.907% (SOFR + 4.59%), 05/15/2036(a)(f)			133		123,445

abfunds.com AB SHORT DURATION INCOME PORTFOLIO    ^|    35

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Starwood Retail Property Trust Series 2014-STAR, Class A 8.50% (PRIME + 0.00%), 11/15/2027(a)(f)	U.S.$		81	$	57,885
					235,366
Total Commercial Mortgage-Backed Securities (cost $2,100,000)					1,842,284
BANK LOANS – 0.7%
Industrial – 0.6%
Capital Goods – 0.0%
Chariot Buyer LLC 8.674% (SOFR 1 Month + 3.25%), 11/03/2028(i)			10		9,530
Communications - Telecommunications – 0.1%
Crown Subsea Communications Holding, Inc. 10.435% (SOFR 1 Month + 5.00%), 04/27/2027(i)			40		40,001
DIRECTV Financing, LLC 10.439% (SOFR 1 Month + 5.00%), 08/02/2027(i)			25		23,902
Zacapa SARL 9.390% (SOFR 3 Month + 4.00%), 03/22/2029(i)			43		42,101
					106,004
Consumer Cyclical - Automotive – 0.0%
Garrett Motion SARL
9.883% (SOFR 3 Month + 4.50%), 04/30/2028(i)(j)			17		17,143
10.131% (SOFR 3 Month + 4.50%), 04/30/2028(i)(j)			26		25,714
					42,857
Consumer Cyclical - Entertainment – 0.1%
Seaworld Parks & Entertainment, Inc. 8.439% (SOFR 1 Month + 3.00%), 08/25/2028(i)			140		139,731
Energy – 0.2%
GIP II Blue Holding, L.P. 9.939% (SOFR 1 Month + 4.50%), 09/29/2028(i)			67		67,293
Parkway Generation, LLC 10.395% (SOFR 3 Month + 4.75%), 02/18/2029(i)			118		113,407
					180,700

36    ^|    AB SHORT DURATION INCOME PORTFOLIO abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)			U.S. $ Value
Other Industrial – 0.1%
American Tire Distributors, Inc. 11.905% (SOFR 3 Month + 6.25%), 10/20/2028(i)	U.S.$		59		$	50,338
Rockwood Service Corporation 9.439% (SOFR 1 Month + 4.00%), 01/23/2027(i)			3			2,975
						53,313
Technology – 0.1%
Amentum Government Services Holdings LLC 9.439% (SOFR 1 Month + 4.00%), 01/29/2027(i)			3			2,844
Ascend Learning, LLC 11.174% (SOFR 1 Month + 5.75%), 12/10/2029(i)			30			25,225
Banff Guarantor, Inc. 10.939% (SOFR 1 Month + 5.50%), 02/27/2026(i)			10			9,917
Boxer Parent Company, Inc. 9.189% (SOFR 1 Month + 3.75%), 10/02/2025(i)			27			26,537
FINThrive Software Intermediate Holdings, Inc. 12.189% (SOFR 1 Month + 6.75%), 12/17/2029(i)			20			11,720
Loyalty Ventures, Inc. 14.000% (PRIME 3 Month + 5.50%), 11/03/2027(i)(j)(k)(l)			72			362
Peraton Corp. 9.174% (SOFR 1 Month + 3.75%), 02/01/2028(i)			19			18,705
Presidio Holdings, Inc.
8.924% (SOFR 1 Month + 3.50%), 01/22/2027(i)			0	**		299
8.983% (SOFR 3 Month + 3.50%), 01/22/2027(i)			9			8,873
						104,482
						636,617
Financial Institutions – 0.1%
Finance – 0.0%
Orbit Private Holdings I Ltd. 10.087% (SOFR 6 Month + 4.50%), 12/11/2028(i)(j)			29			29,475

abfunds.com AB SHORT DURATION INCOME PORTFOLIO    ^|    37

PORTFOLIO OF INVESTMENTS (continued)

Company		Principal Amount (000)		U.S. $ Value
Insurance – 0.1%
Asurion, LLC 9.674% (SOFR 1 Month + 4.25%), 08/19/2028(i)	U.S.$		70	$	66,407
Cross Financial Corp. 9.439% (SOFR 1 Month + 4.00%), 09/15/2027(i)			49		48,672
					115,079
					144,554
Utility – 0.0%
Electric – 0.0%
Granite Generation, LLC 9.189% (SOFR 1 Month + 3.75%), 11/09/2026(i)			23		22,830
Total Bank Loans (cost $898,680)					804,001
EMERGING MARKETS - CORPORATE BONDS – 0.0%
Industrial – 0.0%
Basic – 0.0%
Eldorado Gold Corp. 6.25%, 09/01/2029(a) (cost $28,000)			28		23,905
SHORT-TERM INVESTMENTS – 1.4%
U.S. Treasury Bills – 0.9%
U.S. Treasury Bill Zero Coupon, 03/28/2024 (cost $978,067)			1,000		978,088
		Shares
Investment Companies – 0.5%
AB Fixed Income Shares, Inc. – Government Money Market Portfolio – Class AB, 5.27%(m)(n)(o) (cost $507,447)			507,447		507,447
Total Short-Term Investments (cost $1,485,514)					1,485,535
Total Investments – 99.9% (cost $110,418,320)					108,495,637
Other assets less liabilities – 0.1%					159,412
Net Assets – 100.0%				$	108,655,049

38    ^|    AB SHORT DURATION INCOME PORTFOLIO abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

FUTURES (see Note D)

Description	Number of Contracts		Expiration Month	Current Notional		Value and Unrealized Appreciation (Depreciation)
Purchased Contracts
U.S. Long Bond (CBT) Futures		6	December 2023	$	656,625	$	(64,079	)
U.S. T-Note 2 Yr (CBT) Futures		30	December 2023		6,072,656		(7,117	)
U.S. T-Note 5 Yr (CBT) Futures		133	December 2023		13,895,383		(255,211	)
Sold Contracts
U.S. 10 Yr Ultra Futures		10	December 2023		1,088,281		40,501
U.S. T-Note 10 Yr (CBT) Futures		9	December 2023		955,547		33,808
						$	(252,098	)

FORWARD CURRENCY EXCHANGE CONTRACTS (see Note D)

Counterparty	Contracts to Deliver (000)		In Exchange For (000)		Settlement Date	Unrealized Appreciation (Depreciation)
State Street Bank & Trust Co.	GBP	109	USD	135	11/17/2023	$	3,383
State Street Bank & Trust Co.	CAD	14	USD	10	01/10/2024		44
State Street Bank & Trust Co.	EUR	962	USD	1,024	01/10/2024		2,919
State Street Bank & Trust Co.	USD	343	EUR	324	01/10/2024		857
State Street Bank & Trust Co.	NZD	78	USD	45	01/11/2024		(66	)
						$	7,137

CENTRALLY CLEARED CREDIT DEFAULT SWAPS (see Note D)

Description	Fixed Rate (Pay) Receive			Payment Frequency		Implied Credit Spread at October 31, 2023			Notional Amount (000)			Market Value			Upfront Premiums Paid (Received)			Unrealized Appreciation (Depreciation)
Buy Contracts
iTraxx Australia Series 40, 5 Year Index, 12/20/2028*		(1.00	)%		Quarterly		0.97	%		USD	4,080	$	(9,659	)	$	(32,212	)	$	22,553
Sale Contracts
CDX-NAHY Series 41, 5 Year Index, 12/20/2028*		5.00			Quarterly		5.16			USD	3,440		(1,447	)		20,933			(22,380	)
CDX-NAIG Series 41, 5 Year Index, 12/20/2028*		1.00			Quarterly		0.79			USD	4,080		42,234			54,471			(12,237	)
iTraxxx Xover Series 40, 5 Year Index, 12/20/2028*		5.00			Quarterly		4.51			EUR	640		17,279			26,010			(8,731	)
												$	48,407		$	69,202		$	(20,795	)

* Termination date

abfunds.com AB SHORT DURATION INCOME PORTFOLIO    ^|    39

PORTFOLIO OF INVESTMENTS (continued)

CREDIT DEFAULT SWAPS (see Note D)

Swap Counterparty & Referenced Obligation	Fixed Rate (Pay) Receive			Payment Frequency		Implied Credit Spread at October 31, 2023			Notional Amount (000)		Market Value			Upfront Premiums Paid (Received)			Unrealized Appreciation (Depreciation)
Sale Contracts
Credit Suisse International
CDX-CMBX.NA.A Series 6, 05/11/2063*		2.00	%		Monthly		7.50	%		USD  103	$	(18,835	)	$	(3,041	)	$	(15,794	)
Morgan Stanley & Co. International PLC
CDX-CMBX.NA.A Series 6, 05/11/2063*		2.00			Monthly		7.50			USD  115		(20,928	)		(10,876	)		(10,052	)
											$	(39,763	)	$	(13,917	)	$	(25,846	)

* Termination date

** Principal amount less than 500.

(a) Security is exempt from registration under Rule 144A or Regulation S of the Securities Act of 1933. These securities are considered restricted, but liquid and may be resold in transactions exempt from registration. At October 31, 2023, the aggregate market value of these securities amounted to $26,085,501 or 24.0% of net assets.

(b) Coupon rate adjusts periodically based upon a predetermined schedule. Stated interest rate in effect at October 31, 2023.

(c) Position, or a portion thereof, has been segregated to collateralize margin requirements for open centrally cleared swaps.

(d) Position, or a portion thereof, has been segregated to collateralize margin requirements for open futures contracts.

(e) Position, or a portion thereof, has been segregated to collateralize OTC derivatives outstanding.

(f) Floating Rate Security. Stated interest/floor/ceiling rate was in effect at October 31, 2023.

(g) IO – Interest Only.

(h) Inverse interest only security.

(i) The stated coupon rate represents the greater of the SOFR or an alternate base rate such as the PRIME or the SOFR/PRIME floor rate plus a spread at October 31, 2023.

(j) Security in which significant unobservable inputs (Level 3) were used in determining fair value.

(k) Defaulted.

(l) Non-income producing security.

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

(n) Affiliated investments.

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

Currency Abbreviations:

CAD – Canadian Dollar

EUR – Euro

GBP – Great British Pound

NZD – New Zealand Dollar

USD – United States Dollar

40    ^|    AB SHORT DURATION INCOME PORTFOLIO abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

Glossary:

ABS – Asset-Backed Securities

CBT – Chicago Board of Trade

CDX-CMBX.NA – North American Commercial Mortgage-Backed Index

CDX-NAHY – North American High Yield Credit Default Swap Index

CDX-NAIG – North American Investment Grade Credit Default Swap Index

CLO – Collateralized Loan Obligations

CMBS – Commercial Mortgage-Backed Securities

LIBOR – London Interbank Offered Rate

REIT – Real Estate Investment Trust

REMICs – Real Estate Mortgage Investment Conduits

SOFR – Secured Overnight Financing Rate

See notes to financial statements.

abfunds.com AB SHORT DURATION INCOME PORTFOLIO    ^|    41

STATEMENT OF ASSETS & LIABILITIES

October 31, 2023

Assets
Investments in securities, at value
Unaffiliated issuers (cost $109,910,873)	$	107,988,190
Affiliated issuers (cost $507,447)		507,447
Cash		3,484
Foreign currencies, at value (cost $2,378)		2,368
Interest receivable		980,608
Receivable for capital stock sold		75,634
Receivable due from Adviser		42,284
Receivable for variation margin on centrally cleared swaps		16,014
Affiliated dividends receivable		9,389
Unrealized appreciation on forward currency exchange contracts		7,203
Total assets		109,632,621
Liabilities
Payable for investment securities purchased		481,260
Custody and accounting fees payable		169,645
Dividends payable		104,766
Payable for capital stock redeemed		71,821
Audit and tax fee payable		57,733
Market value on credit default swaps (net premiums received $13,917)		39,763
Payable for variation margin on futures		13,331
Foreign capital gains tax payable		1,976
Directors’ fees payable		1,501
Transfer Agent fee payable		1,479
Distribution fee payable		901
Unrealized depreciation on forward currency exchange contracts		66
Accrued expenses		33,330
Total liabilities		977,572
Net Assets	$	108,655,049
Composition of Net Assets
Capital stock, at par	$	12,532
Additional paid-in capital		117,784,695
Accumulated loss		(9,142,178	)
Net Assets	$	108,655,049

Net Asset Value Per Share—33 billion shares of capital stock authorized, $.001 par value

Class	Net Assets		Shares Outstanding		Net Asset Value
A	$	2,599,020		299,544	$	8.68	*
C	$	437,961		50,523	$	8.67
Advisor	$	105,618,068		12,182,408	$	8.67

* The maximum offering price per share for Class A shares was $8.88 which reflects a sales charge of 2.25%.

See notes to financial statements.

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STATEMENT OF OPERATIONS

Year Ended October 31, 2023

Investment Income
Interest	$	4,227,138
Dividends—Affiliated issuers		70,727
Other income		10,382		$	4,308,247
Expenses
Advisory fee (see Note B)		301,837
Distribution fee—Class A		5,812
Distribution fee—Class C		2,448
Transfer agency—Class A		1,031
Transfer agency—Class C		114
Transfer agency—Advisor Class		27,804
Legal		123,514
Custody and accounting		119,290
Administrative		102,346
Audit and tax		66,111
Registration fees		54,132
Printing		27,844
Directors’ fees		17,925
Miscellaneous		21,022
Total expenses before interest expense		871,230
Interest expense		225,592
Total expenses		1,096,822
Less: expenses waived and reimbursed by the Adviser (see Note B)		(475,564	)
Net expenses					621,258
Net investment income					3,686,989
Realized and Unrealized Gain (Loss) on Investment and Foreign Currency Transactions
Net realized gain (loss) on:
Investment transactions					(6,135,616	)
Forward currency exchange contracts					45,902
Futures					316,422
Swaps					819,419
Foreign currency transactions					(454,510	)
Net change in unrealized appreciation (depreciation) of:
Investments					6,400,393
Forward currency exchange contracts					41,243
Futures					(870,519	)
Swaps					(246,430	)
Foreign currency denominated assets and liabilities					12,067
Net loss on investment and foreign currency transactions					(71,629	)
Net Increase in Net Assets from Operations				$	3,615,360

See notes to financial statements.

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STATEMENT OF CHANGES IN NET ASSETS

	Year Ended October 31, 2023			Year Ended October 31, 2022
Increase (Decrease) in Net Assets from Operations
Net investment income	$	3,686,989		$	1,287,861
Net realized loss on investment and foreign currency transactions		(5,408,383	)		(345,257	)
Net change in unrealized appreciation (depreciation) of investments and foreign currency denominated assets and liabilities		5,336,754			(6,635,271	)
Contributions from Affiliates (see Note B)		– 0	–		7,236
Net increase (decrease) in net assets from operations		3,615,360			(5,685,431	)
Distributions to Shareholders
Class A		(147,440	)		(173,022	)
Class C		(10,939	)		(17,051	)
Advisor Class		(4,293,613	)		(2,076,356	)
Capital Stock Transactions
Net increase		39,863,963			14,728,932
Total increase		39,027,331			6,777,072
Net Assets
Beginning of period		69,627,718			62,850,646
End of period	$	108,655,049		$	69,627,718

See notes to financial statements.

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NOTES TO FINANCIAL STATEMENTS

October 31, 2023

NOTE A

Significant Accounting Policies

AB Bond Fund, Inc. (the “Company”) is registered under the Investment Company Act of 1940 (the “1940 Act”) as an open-end management investment company. The Company, which is a Maryland corporation, operates as a series company comprised of nine portfolios currently in operation. Each portfolio is considered to be a separate entity for financial reporting and tax purposes. This report relates only to the AB Short Duration Income Portfolio (the “Fund”), a diversified portfolio. The Fund has authorized the issuance of Class A, Class B, Class C, Advisor Class, Class R, Class K, Class I, Class Z, Class T, Class 1 and Class 2 shares. Class B, Class R, Class K, Class I, Class Z, Class T, Class 1 and Class 2 shares have not been issued. Effective March 7, 2022, the maximum sales charge for purchases of Class A shares was reduced from 4.25% to 2.25% and purchases in amounts of $500,000 or more, or by certain group retirement plans, may have been subject to a 1%, 18-month contingent deferred sales charge, which may have been subject to waiver in certain circumstances. Prior to March 7, 2022, purchases of Class A shares in amounts of $1,000,000 or more, or by certain group retirement plans, may be subject to a 1%, 1-year contingent deferred sales charge, which may be subject to waiver in certain circumstances. Class C shares are subject to a contingent deferred sales charge of 1% on redemptions made within the first year after purchase, and 0% after the first year of purchase. Class C shares automatically convert to Class A shares eight years after the end of the calendar month of purchase. Advisor Class shares are sold without any initial or contingent deferred sales charge and are not subject to ongoing distribution expenses. All 11 classes of shares have identical voting, dividend, liquidation and other rights, except that the classes bear different distribution and transfer agency expenses. Each class has exclusive voting rights with respect to its distribution plan. The financial statements have been prepared in conformity with U.S. generally accepted accounting principles (“U.S. GAAP”), which require management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities in the financial statements and amounts of income and expenses during the reporting period. Actual results could differ from those estimates. The Fund is an investment company under U.S. GAAP and follows the accounting and reporting guidance applicable to investment companies. The following is a summary of significant accounting policies followed by the Fund.

1. Security Valuation

Portfolio securities are valued at market value determined on the basis of market quotations or, if market quotations are not readily available or are

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NOTES TO FINANCIAL STATEMENTS (continued)

unreliable, at “fair value” as determined in accordance with procedures approved by and under the oversight of the Company’s Board of Directors (the “Board”). Pursuant to these procedures, AllianceBernstein L.P. (the “Adviser”) serves as the Fund’s valuation designee pursuant to Rule 2a-5 of the 1940 Act. In this capacity, the Adviser is responsible, among other things, for making all fair value determinations relating to the Fund’s portfolio investments, subject to the Board’s oversight.

In general, the market values of securities which are readily available and deemed reliable are determined as follows: securities listed on a national securities exchange (other than securities listed on the NASDAQ Stock Market, Inc. (“NASDAQ”)) or on a foreign securities exchange are valued at the last sale price at the close of the exchange or foreign securities exchange. If there has been no sale on such day, the securities are valued at the last traded price from the previous day. Securities listed on more than one exchange are valued by reference to the principal exchange on which the securities are traded; securities listed only on NASDAQ are valued in accordance with the NASDAQ Official Closing Price; listed or over the counter (“OTC”) market put or call options are valued at the mid level between the current bid and ask prices. If either a current bid or current ask price is unavailable, the Adviser will have discretion to determine the best valuation (e.g., last trade price in the case of listed options); open futures are valued using the closing settlement price or, in the absence of such a price, the most recent quoted bid price. If there are no quotations available for the day of valuation, the last available closing settlement price is used; U.S. Government securities and any other debt instruments having 60 days or less remaining until maturity are generally valued at market by an independent pricing vendor, if a market price is available. If a market price is not available, the securities are valued at amortized cost. This methodology is commonly used for short term securities that have an original maturity of 60 days or less, as well as short term securities that had an original term to maturity that exceeded 60 days. In instances when amortized cost is utilized, the Valuation Committee (the “Committee”) must reasonably conclude that the utilization of amortized cost is approximately the same as the fair value of the security. Factors the Committee will consider include, but are not limited to, an impairment of the creditworthiness of the issuer or material changes in interest rates. Fixed-income securities, including mortgage-backed and asset-backed securities, may be valued on the basis of prices provided by a pricing service or at a price obtained from one or more of the major broker-dealers. In cases where broker-dealer quotes are obtained, the Adviser may establish procedures whereby changes in market yields or spreads are used to adjust, on a daily basis, a recently obtained quoted price on a security. Swaps and other derivatives are valued daily, primarily using independent pricing services, independent pricing models using market inputs, as well as third party broker-dealers or

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NOTES TO FINANCIAL STATEMENTS (continued)

counterparties. Open-end mutual funds are valued at the closing net asset value per share, while exchange traded funds are valued at the closing market price per share.

Securities for which market quotations are not readily available (including restricted securities) or are deemed unreliable are valued at fair value as deemed appropriate by the Adviser. Factors considered in making this determination may include, but are not limited to, information obtained by contacting the issuer, analysts, analysis of the issuer’s financial statements or other available documents. In addition, the Fund may use fair value pricing for securities primarily traded in non-U.S. markets because most foreign markets close well before the Fund values its securities at 4:00 p.m., Eastern Time. The earlier close of these foreign markets gives rise to the possibility that significant events, including broad market moves, may have occurred in the interim and may materially affect the value of those securities. To account for this, the Fund generally values many of its foreign equity securities using fair value prices based on third party vendor modeling tools to the extent available.

2. Fair Value Measurements

In accordance with U.S. GAAP regarding fair value measurements, fair value is defined as the price that the Fund would receive to sell an asset or pay to transfer a liability in an orderly transaction between market participants at the measurement date. U.S. GAAP establishes a framework for measuring fair value, and a three-level hierarchy for fair value measurements based upon the transparency of inputs to the valuation of an asset or liability (including those valued based on their market values as described in Note A.1 above). Inputs may be observable or unobservable and refer broadly to the assumptions that market participants would use in pricing the asset or liability. Observable inputs reflect the assumptions market participants would use in pricing the asset or liability based on market data obtained from sources independent of the Fund. Unobservable inputs reflect the Fund’s own assumptions about the assumptions that market participants would use in pricing the asset or liability based on the best information available in the circumstances. Each investment is assigned a level based upon the observability of the inputs which are significant to the overall valuation. The three-tier hierarchy of inputs is summarized below.

• Level 1—quoted prices in active markets for identical investments

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

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

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NOTES TO FINANCIAL STATEMENTS (continued)

The fair value of debt instruments, such as bonds, and over-the-counter derivatives is generally based on market price quotations, recently executed market transactions (where observable) or industry recognized modeling techniques and are generally classified as Level 2. Pricing vendor inputs to Level 2 valuations may include quoted prices for similar investments in active markets, interest rate curves, coupon rates, currency rates, yield curves, option adjusted spreads, default rates, credit spreads and other unique security features in order to estimate the relevant cash flows which are then discounted to calculate fair values. If these inputs are unobservable and significant to the fair value, these investments will be classified as Level 3.

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

Valuations of mortgage-backed or other asset-backed securities, by pricing vendors, are based on both proprietary and industry recognized models and discounted cash flow techniques. Significant inputs to the valuation of these instruments are value of the collateral, the rates and timing of delinquencies, the rates and timing of prepayments, and default and loss expectations, which are driven in part by housing prices for residential mortgages. Significant inputs are determined based on relative value analyses, which incorporate comparisons to instruments with similar collateral and risk profiles, including relevant indices. Mortgage and asset-backed securities for which management has collected current observable data through pricing services are generally categorized within Level 2. Those investments for which current observable data has not been provided are classified as Level 3.

Bank loan prices are provided by third party pricing services and consist of a composite of the quotes received by the vendor into a consensus price. Certain bank loans are classified as Level 3, as a significant input used in the fair value measurement of these instruments is the market quotes that are received by the vendor and these inputs are not observable.

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NOTES TO FINANCIAL STATEMENTS (continued)

Other fixed income investments, including non-U.S. government and corporate debt, are generally valued using quoted market prices, if available, which are typically impacted by current interest rates, maturity dates and any perceived credit risk of the issuer. Additionally, in the absence of quoted market prices, these inputs are used by pricing vendors to derive a valuation based upon industry or proprietary models which incorporate issuer specific data with relevant yield/spread comparisons with more widely quoted bonds with similar key characteristics. Those investments for which there are observable inputs are classified as Level 2. Where the inputs are not observable, the investments are classified as Level 3.

The following table summarizes the valuation of the Fund’s investments by the above fair value hierarchy levels as of October 31, 2023:

Investments in Securities:

Level 1

Level 2

Level 3

Total

Assets:

Corporates – Investment Grade

$

– 0

–

$

42,198,576

$

– 0

–

$

42,198,576

Governments – Treasuries

– 0

–

34,637,510

– 0

–

34,637,510

Collateralized Mortgage Obligations

– 0

–

9,961,743

– 0

–

9,961,743

Asset-Backed Securities

– 0

–

7,101,799

– 0

–

7,101,799

Corporates – Non-Investment Grade

– 0

–

6,682,881

– 0

–

6,682,881

Collateralized Loan Obligations

– 0

–

3,757,403

– 0

–

3,757,403

Commercial Mortgage-Backed Securities

– 0

–

1,842,284

– 0

–

1,842,284

Bank Loans

– 0

–

731,307

72,694

804,001

Emerging Markets – Corporate Bonds

– 0

–

23,905

– 0

–

23,905

Short-Term Investments:

U.S. Treasury Bills

– 0

–

978,088

– 0

–

978,088

Investment Companies

507,447

– 0

–

– 0

–

507,447

Total Investments in Securities

507,447

107,915,496

72,694

108,495,637

Other Financial Instruments(a):

Assets:

Futures

74,309

– 0

–

– 0

–

74,309

(b)

Forward Currency Exchange Contracts

– 0

–

7,203

– 0

–

7,203

Centrally Cleared Credit Default Swaps

– 0

–

59,513

– 0

–

59,513

(b)

Liabilities:

Futures

(326,407

)

– 0

–

– 0

–

(326,407

)(b)

Forward Currency Exchange Contracts

– 0

–

(66

)

– 0

–

(66

)

Centrally Cleared Credit Default Swaps

– 0

–

(11,106

)

– 0

–

(11,106

)(b)

Credit Default Swaps

– 0

–

(39,763

)

– 0

–

(39,763

)

Total

$

255,349

$

107,931,277

$

72,694

$

108,259,320

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

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NOTES TO FINANCIAL STATEMENTS (continued)

(b) Only variation margin receivable (payable) at period end is reported within the statement of assets and liabilities. This amount reflects cumulative unrealized appreciation (depreciation) on futures and centrally cleared swaps as reported in the portfolio of investments. Where applicable, centrally cleared swaps with upfront premiums are presented here at market value.

3. Currency Translation

Assets and liabilities denominated in foreign currencies and commitments under forward currency exchange contracts are translated into U.S. dollars at the mean of the quoted bid and ask prices of such currencies against the U.S. dollar. Purchases and sales of portfolio securities are translated into U.S. dollars at the rates of exchange prevailing when such securities were acquired or sold. Income and expenses are translated into U.S. dollars at rates of exchange prevailing when accrued.

Net realized gain or loss on foreign currency transactions represents foreign exchange gains and losses from sales and maturities of foreign fixed income investments, holding of foreign currencies, currency gains or losses realized between the trade and settlement dates on foreign investment transactions, and the difference between the amounts of dividends, interest and foreign withholding taxes recorded on the Fund’s books and the U.S. dollar equivalent amounts actually received or paid. Net unrealized currency gains and losses from valuing foreign currency denominated assets and liabilities at period end exchange rates are reflected as a component of net unrealized appreciation or depreciation of foreign currency denominated assets and liabilities.

4. Taxes

It is the Fund’s policy to meet the requirements of the Internal Revenue Code applicable to regulated investment companies and to distribute all of its investment company taxable income and net realized gains, if any, to shareholders. Therefore, no provisions for federal income or excise taxes are required. The Fund may be subject to taxes imposed by countries in which it invests. Such taxes are generally based on income and/or capital gains earned or repatriated. Taxes are accrued and applied to net investment income, net realized gains and net unrealized appreciation/depreciation as such income and/or gains are earned.

In accordance with U.S. GAAP requirements regarding accounting for uncertainties in income taxes, management has analyzed the Fund’s tax positions taken or expected to be taken on federal and state income tax returns for all open tax years (the current and the prior two tax years) and has concluded that no provision for income tax is required in the Fund’s financial statements.

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NOTES TO FINANCIAL STATEMENTS (continued)

5. Investment Income and Investment Transactions

Dividend income is recorded on the ex-dividend date or as soon as the Fund is informed of the dividend. Interest income is accrued daily. Investment transactions are accounted for on the date the securities are purchased or sold. Investment gains or losses are determined on the identified cost basis. Non-cash dividends, if any, are recorded on the ex-dividend date at the fair value of the securities received. The Fund amortizes premiums and accretes discounts as adjustments to interest income. The Fund accounts for distributions received from REIT investments or from regulated investment companies as dividend income, realized gain, or return of capital based on information provided by the REIT or the investment company.

6. Class Allocations

All income earned and expenses incurred by the Fund are borne on a pro-rata basis by each outstanding class of shares, based on the proportionate interest in the Fund represented by the net assets of such class, except for class specific expenses which are allocated to the respective class. Expenses of the Company are charged proportionately to each fund or based on other appropriate methods. Realized and unrealized gains and losses are allocated among the various share classes based on respective net assets.

7. Dividends and Distributions

Dividends and distributions to shareholders, if any, are recorded on the ex-dividend date. Income dividends and capital gains distributions are determined in accordance with federal tax regulations and may differ from those determined in accordance with U.S. GAAP. To the extent these differences are permanent, such amounts are reclassified within the capital accounts based on their federal tax basis treatment; temporary differences do not require such reclassification.

NOTE B

Advisory Fee and Other Transactions with Affiliates

Under the terms of the investment advisory agreement, the Fund pays the Adviser an advisory fee at an annual rate of .35% of the first $2.5 billion of the Fund’s average daily net assets and .30% of the excess over $2.5 billion of the Fund’s average daily net assets. The fee is accrued daily and paid monthly. The Adviser has agreed to waive its fees and bear certain expenses to the extent necessary to limit total operating expenses (excluding acquired fund fees and expenses other than the advisory fees of any AB mutual funds in which the Fund may invest, interest expense, taxes, extraordinary expenses, and brokerage commissions and other transaction costs), on an annual basis (the “Expense Caps”) to .65%, 1.45% and .45% of daily average net assets for Class A, Class C, and

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NOTES TO FINANCIAL STATEMENTS (continued)

Advisor Class shares, respectively. For the year ended October 31, 2023, such reimbursement/waivers amounted to $372,547. The Expense Caps may not be terminated by the Adviser before January 31, 2024. Any fees waived and expenses borne by the Adviser through January 20, 2021 may be reimbursed by Fund until the end of the third fiscal year after the fiscal period in which the fee was waived or the expense was borne; such waivers that are subject to repayment amounted to $63,883 for the year ended October 31, 2021. In any case, no reimbursement payment will be made that would cause the Fund’s total annual operating expenses to exceed the Expense Caps’ net fee percentage set forth above.

Pursuant to the investment advisory agreement, the Fund may reimburse the Adviser for certain legal and accounting services provided to the Fund by the Adviser. For the year ended October 31, 2023, the Adviser voluntarily agreed to waive such fees in the amount of $102,346.

The Fund compensates AllianceBernstein Investor Services, Inc. (“ABIS”), a wholly-owned subsidiary of the Adviser, under a Transfer Agency Agreement for providing personnel and facilities to perform transfer agency services for the Fund. ABIS may make payments to intermediaries that provide omnibus account services, sub-accounting services and/or networking services. Such compensation retained by ABIS amounted to $18,004 for the year ended October 31, 2023.

AllianceBernstein Investments, Inc. (the “Distributor”), a wholly-owned subsidiary of the Adviser, serves as the distributor of the Fund’s shares. The Distributor has advised the Fund that it has retained front-end sales charges of $1,513 from the sale of Class A shares and received $0 and $0 in contingent deferred sales charges imposed upon redemptions by shareholders of Class A and Class C shares, respectively, for the year ended October 31, 2023.

The Fund may invest in AB Government Money Market Portfolio (the “Government Money Market Portfolio”) which has a contractual annual advisory fee rate of .20% of the portfolio’s average daily net assets and bears its own expenses. The Adviser had contractually agreed to waive .10% of the advisory fee of Government Money Market Portfolio (resulting in a net advisory fee of .10%) until August 31, 2023. Effective September 1, 2023, the Adviser has contractually agreed to waive .05% of the advisory fee of Government Money Market Portfolio (resulting in a net advisory fee of .15%) until August 31, 2024. In connection with the investment by the Fund in Government Money Market Portfolio, the Adviser has contractually agreed to waive its advisory fee from the Fund in an amount equal to the Fund’s pro rata share of the effective advisory fee of Government Money

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NOTES TO FINANCIAL STATEMENTS (continued)

Market Portfolio, as borne indirectly by the Fund as an acquired fund fee and expense. For the year ended October 31, 2023, such waiver amounted to $671.

A summary of the Fund’s transactions in AB mutual funds for the year ended October 31, 2023 is as follows:

Fund	Market Value 10/31/22 (000)		Purchases at Cost (000)		Sales Proceeds (000)		Market Value 10/31/23 (000)		Dividend Income (000)
Government Money Market Portfolio	$	921	$	79,686	$	80,100	$	507	$	71

During the year ended October 31, 2022, the Adviser reimbursed the Fund $7,236 for trading losses incurred due to a trade entry error.

NOTE C

Distribution Services Agreement

The Fund has adopted a Distribution Services Agreement (the “Agreement”) pursuant to Rule 12b-1 under the Investment Company Act of 1940. Under the Agreement, the Fund pays distribution and servicing fees to the Distributor at an annual rate of up to .25% of the Fund’s average daily net assets attributable to Class A shares and 1% of the Fund’s average daily net assets attributable to Class C shares. There are no distribution and servicing fees on the Advisor Class. Payments under the Agreement in respect of Class A shares are currently limited to an annual rate of .20% of Class A shares’ average daily net assets. The fees are accrued daily and paid monthly. The Agreement provides that the Distributor will use such payments in their entirety for distribution assistance and promotional activities. Since the commencement of the Fund’s operations, the Distributor has incurred expenses in excess of the distribution costs reimbursed by the Fund in the amount of $1,196 for Class C shares. While such costs may be recovered from the Fund in future periods so long as the Agreement is in effect, the rate of the distribution and servicing fees payable under the Agreement may not be increased without a shareholder vote. In accordance with the Agreement, there is no provision for recovery of unreimbursed distribution costs incurred by the Distributor beyond the current fiscal year for Class A shares. The Agreement also provides that the Adviser may use its own resources to finance the distribution of the Fund’s shares.

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NOTES TO FINANCIAL STATEMENTS (continued)

NOTE D

Investment Transactions

Purchases and sales of investment securities (excluding short-term investments) for the year ended October 31, 2023 were as follows:

	Purchases		Sales
Investment securities (excluding U.S. government securities)	$	78,017,461	$	41,095,160
U.S. government securities		115,331,257		127,205,912

The cost of investments for federal income tax purposes, gross unrealized appreciation and unrealized depreciation are as follows:

Cost	$	110,432,473
Gross unrealized appreciation	$	408,258
Gross unrealized depreciation		(2,405,927	)
Net unrealized depreciation	$	(1,997,669	)

1. Derivative Financial Instruments

The Fund may use derivatives in an effort to earn income and enhance returns, to replace more traditional direct investments, to obtain exposure to otherwise inaccessible markets (collectively, “investment purposes”), or to hedge or adjust the risk profile of its portfolio.

The principal types of derivatives utilized by the Fund, as well as the methods in which they may be used are:

• Futures

The Fund may buy or sell futures for investment purposes or for the purpose of hedging its portfolio against adverse effects of potential movements in the market. The Fund bears the market risk that arises from changes in the value of these instruments and the imperfect correlation between movements in the price of the futures and movements in the price of the assets, reference rates or indices which they are designed to track. Among other things, the Fund may purchase or sell futures for foreign currencies or options thereon for non-hedging purposes as a means of making direct investment in foreign currencies, as described below under “Currency Transactions”.

At the time the Fund enters into futures, the Fund deposits and maintains as collateral an initial margin with the broker, as required by the exchange on which the transaction is effected. Such amount is shown as cash collateral due from broker on the statement of assets and liabilities. Pursuant to the contract, the Fund agrees to receive from or pay to the broker an amount of cash equal to the daily fluctuation in the value of the contract. Such receipts or payments are

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known as variation margin and are recorded by the Fund as unrealized gains or losses. Risks may arise from the potential inability of a counterparty to meet the terms of the contract. The credit/counterparty risk for exchange-traded futures is generally less than privately negotiated futures, since the clearinghouse, which is the issuer or counterparty to each exchange-traded future, has robust risk mitigation standards, including the requirement to provide initial and variation margin. 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 time it was closed.

Use of long futures subjects the Fund to risk of loss in excess of the amounts shown on the statement of assets and liabilities, up to the notional value of the futures. Use of short futures subjects the Fund to unlimited risk of loss. Under some circumstances, futures exchanges may establish daily limits on the amount that the price of futures can vary from the previous day’s settlement price, which could effectively prevent liquidation of unfavorable positions.

During the year ended October 31, 2023, the Fund held futures for hedging and non-hedging purposes.

• Forward Currency Exchange Contracts

The Fund may enter into forward currency exchange contracts in order to hedge its exposure to changes in foreign currency exchange rates on its foreign portfolio holdings, to hedge certain firm purchase and sale commitments denominated in foreign currencies and for non-hedging purposes as a means of making direct investments in foreign currencies, as described below under “Currency Transactions”.

A forward currency exchange contract is a commitment to purchase or sell a foreign currency at a future date at a negotiated forward rate. The gain or loss arising from the difference between the original contract and the closing of such contract would be included in net realized gain or loss on forward currency exchange contracts. Fluctuations in the value of open forward currency exchange contracts are recorded for financial reporting purposes as unrealized appreciation and/or depreciation by the Fund. Risks may arise from the potential inability of a counterparty to meet the terms of a contract and from unanticipated movements in the value of a foreign currency relative to the U.S. dollar.

During the year ended October 31, 2023, the Fund held forward currency exchange contracts for hedging purposes.

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• Swaps

The Fund may enter into swaps to hedge its exposure to interest rates, credit risk, equity markets or currencies. The Fund may also enter into swaps for non-hedging purposes as a means of gaining market exposures, making direct investments in foreign currencies, as described below under “Currency Transactions.” A swap is an agreement that obligates two parties to exchange a series of cash flows at specified intervals based upon or calculated by reference to changes in specified prices or rates for a specified amount of an underlying asset. The payment flows are usually netted against each other, with the difference being paid by one party to the other. In addition, collateral may be pledged or received by the Fund in accordance with the terms of the respective swaps to provide value and recourse to the Fund or its counterparties in the event of default, bankruptcy or insolvency by one of the parties to the swap.

Risks may arise as a result of the failure of the counterparty to the swap to comply with the terms of the swap. The loss incurred by the failure of a counterparty is generally limited to the net interim payment to be received by the Fund, and/or the termination value at the end of the contract. Therefore, the Fund considers the creditworthiness of each counterparty to a swap in evaluating potential counterparty risk. This risk is mitigated by having a netting arrangement between the Fund and the counterparty and by the posting of collateral by the counterparty to the Fund to cover the Fund’s exposure to the counterparty. Additionally, risks may arise from unanticipated movements in interest rates or in the value of the underlying securities. The Fund accrues for the interim payments on swaps on a daily basis, with the net amount recorded within unrealized appreciation/depreciation of swaps on the statement of assets and liabilities, where applicable. Once the interim payments are settled in cash, the net amount is recorded as realized gain/(loss) on swaps on the statement of operations, in addition to any realized gain/(loss) recorded upon the termination of swaps. Upfront premiums paid or received for swaps are recognized as cost or proceeds on the statement of assets and liabilities and are amortized on a straight line basis over the life of the contract. Amortized upfront premiums are included in net realized gain/(loss) from swaps on the statement of operations. Fluctuations in the value of swaps are recorded as a component of net change in unrealized appreciation/depreciation of swaps on the statement of operations.

Certain standardized swaps, including certain interest rate swaps and credit default swaps, are (or soon will be) subject to mandatory central clearing. Cleared swaps are transacted through futures commission

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merchants (“FCMs”) that are members of central clearinghouses, with the clearinghouse serving as central counterparty, similar to transactions in futures contracts. Centralized clearing will be required for additional categories of swaps on a phased-in basis based on requirements published by the Securities and Exchange Commission and Commodity Futures Trading Commission.

At the time the Fund enters into a centrally cleared swap, the Fund deposits and maintains as collateral an initial margin with the broker, as required by the clearinghouse on which the transaction is effected. Such amount is shown as cash collateral due from broker on the statement of assets and liabilities. Pursuant to the contract, the Fund agrees to receive from or pay to the broker an amount of cash equal to the daily fluctuation in the value of the contract. Such receipts or payments are known as variation margin and are recorded by the Fund as unrealized gains or losses. Risks may arise from the potential inability of a counterparty to meet the terms of the contract. The credit/counterparty risk for centrally cleared swaps is generally less than non-centrally cleared swaps, since the clearinghouse, which is the issuer or counterparty to each centrally cleared swap, has robust risk mitigation standards, including the requirement to provide initial and variation margin. 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 time it was closed.

Interest Rate Swaps:

The Fund is subject to interest rate risk exposure in the normal course of pursuing its investment objectives. Because the Fund holds fixed rate bonds, the value of these bonds may decrease if interest rates rise. To help hedge against this risk and to maintain its ability to generate income at prevailing market rates, the Fund may enter into interest rate swaps. Interest rate swaps are agreements between two parties to exchange cash flows based on a notional amount. The Fund may elect to pay a fixed rate and receive a floating rate, or, receive a fixed rate and pay a floating rate on a notional amount.

In addition, the Fund may also enter into interest rate swap transactions to preserve a return or spread on a particular investment or portion of its portfolio, or protecting against an increase in the price of securities the Fund anticipates purchasing at a later date. Interest rate swaps involve the exchange by the Fund with another party of their respective commitments to pay or receive interest (e.g., an exchange of floating rate payments for fixed rate payments) computed based on a contractually-based principal (or “notional”) amount. Interest rate swaps are entered into on a net basis (i.e., the two

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payment streams are netted out, with the Fund receiving or paying, as the case may be, only the net amount of the two payments).

During the year ended October 31, 2023, the Fund held interest rate swaps for hedging and non-hedging purposes.

Credit Default Swaps:

The Fund may enter into credit default swaps, including to manage its exposure to the market or certain sectors of the market, to reduce its risk exposure to defaults by corporate and sovereign issuers held by the Fund, or to create exposure to corporate or sovereign issuers to which it is not otherwise exposed. The Fund may purchase credit protection (“Buy Contract”) or provide credit protection (“Sale Contract”) on the referenced obligation of the credit default swap. During the term of the swap, the Fund receives/(pays) fixed payments from/(to) the respective counterparty, calculated at the agreed upon rate applied to the notional amount. If the Fund is a buyer/(seller) of protection and a credit event occurs, as defined under the terms of the swap, the Fund will either (i) receive from the seller/(pay to the buyer) of protection an amount equal to the notional amount of the swap (the “Maximum Payout Amount”) and deliver/(take delivery of) the referenced obligation or (ii) receive/(pay) a net settlement amount in the form of cash or securities equal to the notional amount of the swap less the recovery value of the referenced obligation. In certain circumstances Maximum Payout Amounts may be partially offset by recovery values of the respective referenced obligations, upfront premium received upon entering into the agreement, or net amounts received from settlement of buy protection credit default swaps entered into by the Fund for the same referenced obligations with the same counterparty.

Credit default swaps may involve greater risks than if the Fund had invested in the referenced obligation directly. Credit default swaps are subject to general market risk, liquidity risk, counterparty risk and credit risk. If the Fund is a buyer of protection and no credit event occurs, it will lose the payments it made to its counterparty. If the Fund is a seller of protection and a credit event occurs, the value of the referenced obligation received by the Fund coupled with the periodic payments previously received, may be less than the Maximum Payout Amount it pays to the buyer, resulting in a net loss to the Fund.

Implied credit spreads over U.S. Treasuries of comparable maturity utilized in determining the market value of credit default swaps on issuers as of period end are disclosed in the portfolio of investments. The implied spreads serve as an indicator of the current status of the

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payment/performance risk and typically reflect the likelihood of default by the issuer of the referenced obligation. The implied credit spread of a particular reference obligation also reflects the cost of buying/selling protection and may reflect upfront payments required to be made to enter into the agreement. Widening credit spreads typically represent a deterioration of the referenced obligation’s credit soundness and greater likelihood of default or other credit event occurring as defined under the terms of the agreement. A credit spread identified as “Defaulted” indicates a credit event has occurred for the referenced obligation.

During the year ended October 31, 2023, the Fund held credit default swaps for non-hedging purposes.

Total Return Swaps:

The Fund may enter into total return swaps in order to take a “long” or “short” position with respect to an underlying referenced asset. The Fund is subject to market price volatility of the underlying referenced asset. A total return swap involves commitments to pay interest in exchange for a market linked return based on a notional amount. To the extent that the total return of the security, group of securities or index underlying the transaction exceeds or falls short of the offsetting interest obligation, the Fund will receive a payment from or make a payment to the counterparty.

During the year ended October 31, 2023, the Fund held total return swaps for non-hedging purposes.

The Fund typically enters into International Swaps and Derivatives Association, Inc. Master Agreements (“ISDA Master Agreement”) with its OTC derivative contract counterparties in order to, among other things, reduce its credit risk to OTC counterparties. ISDA Master Agreements include provisions for general obligations, representations, collateral and events of default or termination. Under an ISDA Master Agreement, the Fund typically may offset with the OTC counterparty certain derivative financial instruments’ payables and/or receivables with collateral held and/or posted and create one single net payment (close-out netting) in the event of default or termination. In the event of a default by an OTC counterparty, the return of collateral with market value in excess of the Fund’s net liability, held by the defaulting party, may be delayed or denied.

The Fund’s ISDA Master Agreements may contain provisions for early termination of OTC derivative transactions in the event the net assets of the Fund decline below specific levels (“net asset contingent features”). If these levels are triggered, the Fund’s OTC counterparty has the right to terminate such transaction and require the Fund to pay or receive a

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settlement amount in connection with the terminated transaction. If OTC derivatives were held at period end, please refer to netting arrangements by the OTC counterparty table below for additional details.

During the year ended October 31, 2023, the Fund had entered into the following derivatives:

	Asset Derivatives				Liability Derivatives
Derivative Type	Statement of Assets and Liabilities Location	Fair Value			Statement of Assets and Liabilities Location	Fair Value
Interest rate contracts	Receivable for variation margin on futures	$	74,309	*	Payable for variation margin on futures	$	326,407	*
Credit contracts	Receivable for variation margin on centrally cleared swaps		22,553	*	Payable for variation margin on centrally cleared swaps		43,348	*
Foreign currency contracts	Unrealized appreciation on forward currency exchange contracts		7,203		Unrealized depreciation on forward currency exchange contracts		66
Credit contracts					Market value on credit default swaps		39,763
Total		$	104,065			$	409,584

* Only variation margin receivable/payable at period end is reported within the statement of assets and liabilities. This amount reflects cumulative unrealized appreciation (depreciation) on futures and centrally cleared swaps as reported in the portfolio of investments.

Derivative Type	Location of Gain or (Loss) on Derivatives Within Statement of Operations	Realized Gain or (Loss) on Derivatives		Change in Unrealized Appreciation or (Depreciation)
Interest rate contracts	Net realized gain (loss) on futures; Net change in unrealized appreciation (depreciation) of futures	$	316,422	$	(870,519	)

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Derivative Type	Location of Gain or (Loss) on Derivatives Within Statement of Operations	Realized Gain or (Loss) on Derivatives			Change in Unrealized Appreciation or (Depreciation)
Foreign currency contracts	Net realized gain (loss) on forward currency exchange contracts; Net change in unrealized appreciation (depreciation) of forward currency exchange contracts	$	45,902		$	41,243
Interest rate contracts	Net realized gain (loss) on swaps; Net change in unrealized appreciation (depreciation) of swaps		(19,023	)		10,611
Credit contracts	Net realized gain (loss) on swaps; Net change in unrealized appreciation (depreciation) of swaps		838,442			(257,041	)
Total		$	1,181,743		$	(1,075,706	)

The following table represents the average monthly volume of the Fund’s derivative transactions during the year ended October 31, 2023:

Futures:
Average notional amount of buy contracts	$	10,215,765	(a)
Average notional amount of sale contracts	$	8,883,486
Forward Currency Exchange Contracts:
Average principal amount of buy contracts	$	249,499	(b)
Average principal amount of sale contracts	$	4,789,762
Centrally Cleared Interest Rate Swaps:
Average notional amount	$	763,258	(c)
Credit Default Swaps:
Average notional amount of buy contracts	$	1,218,000	(d)
Average notional amount of sale contracts	$	1,037,800
Centrally Cleared Credit Default Swaps:
Average notional amount of buy contracts	$	3,652,600	(e)
Average notional amount of sale contracts	$	7,045,592
Total Return Swaps:
Average notional amount	$	150,000	(f)

(a) Positions were open for ten months during the year.

(b) Positions were open for six months during the year.

(c) Positions were open for four months during the year.

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(d) Positions were open for one month during the year.

(e) Positions were open for five months during the year.

(f) Positions were open for seven months during the year.

For financial reporting purposes, the Fund does not offset derivative assets and derivative liabilities that are subject to netting arrangements in the statement of assets and liabilities.

All OTC derivatives held at period end were subject to netting arrangements. The following table presents the Fund’s derivative assets and liabilities by OTC counterparty net of amounts available for offset under ISDA Master Agreements (“MA”) and net of the related collateral received/pledged by the Fund as of October 31, 2023. Exchange-traded derivatives and centrally cleared swaps are not subject to netting arrangements and as such are excluded from the table.

Counterparty	Derivative Assets Subject to a MA		Derivatives Available for Offset			Cash Collateral Received*			Security Collateral Received*			Net Amount of Derivative Assets
State Street Bank & Trust Co.	$	7,203	$	(66	)	$	– 0	–	$	– 0	–	$	7,137
Total	$	7,203	$	(66	)	$	– 0	–	$	– 0	–	$	7,137	^
Counterparty	Derivative Liabilities Subject to a MA		Derivatives Available for Offset			Cash Collateral Pledged*			Security Collateral Pledged*			Net Amount of Derivative Liabilities
Credit Suisse International	$	18,835	$	– 0	–	$	– 0	–	$	(18,835	)	$	– 0	–
Morgan Stanley & Co. International PLC		20,928		– 0	–		– 0	–		– 0	–		20,928
State Street Bank & Trust Co.		66		(66	)		– 0	–		– 0	–		– 0	–
Total	$	39,829	$	(66	)	$	– 0	–	$	(18,835	)	$	20,928	^

* The actual collateral received/pledged may be more than the amount reported due to over-collateralization.

^ Net amount represents the net receivable/payable that would be due from/to the counterparty in the event of default or termination. The net amount from OTC financial derivative instruments can only be netted across transactions governed under the same master agreement with the same counterparty.

2. Currency Transactions

The Fund may invest in non-U.S. Dollar-denominated securities on a currency hedged or unhedged basis. The Fund may seek investment opportunities by taking long or short positions in currencies through the use of currency-related derivatives, including forward currency exchange contracts, futures and options on futures, swaps, and other options. The Fund may enter into transactions for investment opportunities when it anticipates that a foreign currency will appreciate or depreciate in value but securities denominated in that currency are not held by the Fund and do not present

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attractive investment opportunities. Such transactions may also be used when the Adviser believes that it may be more efficient than a direct investment in a foreign currency-denominated security. The Fund may also conduct currency exchange contracts on a spot basis (i.e., for cash at the spot rate prevailing in the currency exchange market for buying or selling currencies).

3. TBA and Dollar Rolls

The Fund may invest in TBA mortgage-backed securities. A TBA, or “To Be Announced”, trade represents a contract for the purchase or sale of mortgage-backed securities to be delivered at a future agree-upon date; however, the specific mortgage pool numbers or the number of pools that will be delivered to fulfill the trade obligation or terms of the contract are unknown at the time of the trade. Mortgage pools (including fixed-rate or variable-rate mortgages) guaranteed by the Government National Mortgage Association, or GNMA, the Federal National Mortgage Association, or FNMA, or the Federal Home Loan Mortgage Corporation, or FHLMC, are subsequently allocated to the TBA transactions.

The Fund may enter into certain TBA transactions known as dollar rolls. Dollar rolls involve sales by the Fund of securities for delivery in the current month and the Fund’s simultaneously contracting to repurchase substantially similar (same type and coupon) securities on a specified future date. During the roll period, the Fund forgoes principal and interest paid on the securities. The Fund is compensated by the difference between the current sales price and the lower forward price for the future purchase (often referred to as the “drop”) as well as by the interest earned on the cash proceeds of the initial sale. Dollar rolls involve the risk that the market value of the securities the Fund is obligated to repurchase under the agreement may decline below the repurchase price. Dollar rolls are speculative techniques. For the year ended October 31, 2023, the Fund earned drop income of $3,653 which is included in interest income in the accompanying statement of operations.

4. Reverse Repurchase Agreements

The Fund may enter into reverse repurchase transactions (“RVP”) in accordance with the terms of a Master Repurchase Agreement (“MRA”), under which the Fund sells securities and agrees to repurchase them at a mutually agreed upon date and price. At the time the Fund enters into a reverse repurchase agreement, it will establish a segregated account with the custodian containing liquid assets having a value comparable to the repurchase price. Under the MRA and other Master Agreements, the Fund is permitted to offset payables and/or receivables with collateral held and/or posted to the counterparty and create one single net payment due to or from the Fund in the event of a default. In the event of a default by a MRA

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counterparty, the Fund may be considered an unsecured creditor with respect to any excess collateral (collateral with a market value in excess of the repurchase price) held by and/or posted to the counterparty, and as such the return of such excess collateral may be delayed or denied. For the year ended October 31, 2023, the average amount of reverse repurchase agreements outstanding was $5,179,904 and the daily weighted average interest rate was 4.30%. At October 31, 2023, the Fund had no reverse repurchase agreements outstanding.

NOTE E

Capital Stock

Each class consists of 3,000,000,000 authorized shares. Transactions in capital shares for each class were as follows:

	Shares						Amount
	Year Ended October 31, 2023			Year Ended October 31, 2022			Year Ended October 31, 2023			Year Ended October 31, 2022
Class A
Shares sold		161,357			159,760		$	1,417,247		$	1,490,085
Shares issued in reinvestment of dividends and distributions		12,523			15,651			110,490			147,338
Shares converted from Class C		135			– 0	–		1,197			– 0	–
Shares redeemed		(376,175	)		(231,832	)		(3,319,598	)		(2,212,710	)
Net decrease		(202,160	)		(56,421	)	$	(1,790,664	)	$	(575,287	)
Class C
Shares sold		29,648			1,337		$	257,425		$	12,177
Shares issued in reinvestment of dividends and distributions		925			1,520			8,162			14,464
Shares converted to Class A		(136	)		– 0	–		(1,197	)		– 0	–
Shares redeemed		(13,529	)		(43,026	)		(120,665	)		(389,257	)
Net increase (decrease)		16,908			(40,169	)	$	143,725		$	(362,616	)

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	Shares						Amount
	Year Ended October 31, 2023			Year Ended October 31, 2022			Year Ended October 31, 2023			Year Ended October 31, 2022
Advisor Class
Shares sold		9,455,023			3,459,154		$	83,357,649		$	31,395,603
Shares issued in reinvestment of dividends and distributions		350,712			93,772			3,087,814			881,855
Shares redeemed		(5,098,784	)		(1,797,996	)		(44,934,561	)		(16,610,623	)
Net increase		4,706,951			1,754,930		$	41,510,902		$	15,666,835

At October 31, 2023, the Adviser owns approximately 20% of the Fund’s outstanding shares. At October 31, 2023, certain unaffiliated shareholders of the Fund owned 13% of the Fund’s outstanding shares. Significant transactions by such shareholder, if any, may impact the Fund’s performance.

NOTE F

Risks Involved in Investing in the Fund

Market Risk—The value of the Fund’s assets will fluctuate as the bond market fluctuates. The value of its investments may decline, sometimes rapidly and unpredictably, simply because of economic changes or other events, including public health crises (including the occurrence of a contagious disease or illness) and regional and global conflicts, that affect large portions of the market.

Credit Risk—An issuer or guarantor of a fixed-income security, or the counterparty to a derivatives or other contract, may be unable or unwilling to make timely payments of interest or principal, or to otherwise honor its obligations. The issuer or guarantor may default, causing a loss of the full principal amount of a security and accrued interest. The degree of risk for a particular security may be reflected in its credit rating. There is the possibility that the credit rating of a fixed-income security may be downgraded after purchase, which may adversely affect the value of the security.

Below Investment-Grade Securities Risk—Investments in fixed-income securities with lower ratings (commonly known as “junk bonds”) are subject to a higher probability that an issuer will default or fail to meet its payment obligations. These securities may be subject to greater price volatility due to such factors as specific corporate developments and negative perceptions of the junk bond market generally and may be more difficult to trade than other types of securities.

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Interest-Rate Risk—Changes in interest rates will affect the value of investments in fixed-income securities. When interest rates rise, the value of existing investments in fixed-income securities tends to fall and this decrease in value may not be offset by higher income from new investments. Interest-rate risk is generally greater for fixed-income securities with longer maturities or durations. The Fund may be subject to a greater risk of rising interest rates than would normally be the case due to the recent end of a period of historically low rates and the effect of potential central bank monetary policy, and government fiscal policy, initiatives and resulting market reactions to those initiatives.

Duration Risk—Duration is a measure that relates the expected price volatility of a fixed-income security to changes in interest rates. The duration of a fixed-income security may be shorter than or equal to the full maturity of a fixed-income security. Fixed-income securities with longer durations have more risk and will decrease in price as interest rates rise.

Inflation Risk—This is the risk that the value of assets or income from investments will be less in the future as inflation decreases the value of money. As inflation increases, the value of the Fund’s assets can decline as can the value of the Fund’s distributions. This risk is significantly greater for fixed-income securities with longer maturities.

Mortgage-Related and/or Other Asset-Backed Securities Risk—Investments in mortgage-related and other asset-backed securities are subject to certain additional risks. The value of these securities may be particularly sensitive to changes in interest rates. These risks include “extension risk”, which is the risk that, in periods of rising interest rates, issuers may delay the payment of principal, and “prepayment risk”, which is the risk that in periods of falling interest rates, issuers may pay principal sooner than expected, exposing the Fund to a lower rate of return upon reinvestment of principal. Mortgage-backed securities offered by non-governmental issuers and other asset-backed securities may be subject to other risks, such as higher rates of default in the mortgages or assets backing the securities or risks associated with the nature and servicing of mortgages or assets backing the securities.

Foreign (Non-U.S.) Risk—Investments in securities of non-U.S. issuers may involve more risk than those of U.S. issuers. These securities may fluctuate more widely in price and may be more difficult to trade due to adverse market, economic, political, regulatory or other factors.

Emerging-Market Risk—Investments in emerging market countries may have more risk because the markets are less developed and less liquid and are subject to increased economic, political, regulatory or other uncertainties.

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Derivatives Risk—Derivatives may be difficult to price or unwind and leveraged so that small changes may produce disproportionate losses for the Fund. A short position in a derivative instrument involves the risk of a theoretically unlimited increase in the value of the underlying asset, which could cause the Fund to suffer a potentially unlimited loss. Derivatives, especially over-the-counter derivatives, are also subject to counterparty risk, which is the risk that the counterparty (the party on the other side of the transaction) on a derivative transaction will be unable or unwilling to honor its contractual obligations to the Fund.

Leverage Risk—When the Fund borrows money or otherwise leverages its investments, its performance may be volatile because leverage tends to exaggerate the effect of any increase or decrease in the value of the Fund’s investments. The Fund may create leverage through the use of reverse repurchase arrangements, forward currency exchange contracts, forward commitments, dollar rolls or futures or by borrowing money. The use of other types of derivative instruments by the Fund, such as options and swaps, may also result in a form of leverage. Leverage may result in higher returns to the Fund than if the Fund were not leveraged, but may also adversely affect returns, particularly if the market is declining.

Currency Risk—Fluctuations in currency exchange rates may negatively affect the value of the Fund’s investments or reduce its returns.

Illiquid Investments Risk—Illiquid investments risk exists when certain investments become difficult to purchase or sell. Difficulty in selling such investments may result in sales at disadvantageous prices affecting the value of your investment in the Fund. Causes of illiquid investments risk may include low trading volumes, large positions and heavy redemptions of Fund shares. Illiquid investments risk may be higher in a rising interest rate environment, when the value and liquidity of fixed-income securities generally decline.

LIBOR Replacement Risk—The Fund may be exposed to debt securities, derivatives or other financial instruments that recently transitioned from the London Interbank Offered Rate, or “LIBOR,” as a “benchmark” or “reference rate” for various interest rate calculations. LIBOR’s administrator, ICE Benchmark Administration, ceased publishing most LIBOR settings (including some U.S. LIBOR settings) by the end of 2021 and the remaining (and most widely used) U.S. Dollar LIBOR settings after June 30, 2023. The United Kingdom Financial Conduct Authority, which regulates LIBOR, will permit the use of synthetic U.S. Dollar LIBOR rates for non-U.S. contracts through September 30, 2024, but any such rates would be considered non-representative of the underlying market. Since 2018 the Federal Reserve Bank of New York has published the Secured

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Overnight Financing Rate (referred to as SOFR), which is intended to replace U.S. Dollar LIBOR. SOFR is a broad measure of the cost of borrowing cash overnight collateralized by U.S. Treasury securities in the repurchase agreement (repo) market. There is no assurance that the composition or characteristics of SOFR or any such alternative reference rate will be similar to or produce the same value or economic equivalence as LIBOR or that the market for SOFR-linked financial instruments will have the same volume or liquidity as did the market for LIBOR-linked financial instruments prior to LIBOR’s discontinuance or unavailability. Neither the long-term effects of the LIBOR transition process nor its ultimate success can yet be known.

Indemnification Risk—In the ordinary course of business, the Fund enters into contracts that contain a variety of indemnifications. The Fund’s maximum exposure under these arrangements is unknown. However, the Fund has not had prior claims or losses pursuant to these indemnification provisions and expects the risk of loss thereunder to be remote. Therefore, the Fund has not accrued any liability in connection with these indemnification provisions.

Management Risk—The Fund is subject to management risk because it is an actively-managed investment fund. The Adviser will apply its investment techniques and risk analyses in making investment decisions, but there is no guarantee that its techniques will produce the intended results. Some of these techniques may incorporate, or rely upon, quantitative models, but there is no guarantee that these models will generate accurate forecasts, reduce risk or otherwise perform as expected.

NOTE G

Joint Credit Facility

A number of open-end mutual funds managed by the Adviser, including the Fund, participate in a $325 million revolving credit facility (the “Facility”) intended to provide short-term financing related to redemptions and other short term liquidity requirements, subject to certain restrictions. Commitment fees related to the Facility are paid by the participating funds and are included in miscellaneous expenses in the statement of operations. The Fund did not utilize the Facility during the year ended October 31, 2023.

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NOTES TO FINANCIAL STATEMENTS (continued)

NOTE H

Distributions to Shareholders

The tax character of distributions paid during the fiscal years ended October 31, 2023 and October 31, 2022 were as follows:

	2023			2022
Distributions paid from:
Ordinary income	$	4,451,992		$	1,979,832
Net long-term capital gains		– 0	–		286,597
Total taxable distributions paid	$	4,451,992		$	2,266,429

As of October 31, 2023, the components of accumulated earnings (deficit) on a tax basis were as follows:

Undistributed ordinary income	$	151,013
Accumulated capital and other losses		(7,183,420	)(a)
Unrealized appreciation (depreciation)		(1,994,954	)(b)
Total accumulated earnings (deficit)	$	(9,027,361	)(c)

(a) As of October 31, 2023, the Fund had a net capital loss carryforward of $7,183,420.

(b) The differences between book-basis and tax-basis unrealized appreciation (depreciation) are attributable primarily to the recognition for tax purposes of unrealized gains/losses on certain derivative instruments, the tax treatment of callable bonds, the tax treatment of swaps, and the tax deferral of losses on wash sales.

(c) The differences between book-basis and tax-basis components of accumulated earnings (deficit) are attributable primarily to the accrual of foreign capital gains tax, the tax treatment of defaulted securities, and dividends payable.

For tax purposes, net realized capital losses may be carried over to offset future capital gains, if any. Funds are permitted to carry forward capital losses for an indefinite period, and such losses will retain their character as either short-term or long-term capital losses. As of October 31, 2023, the Fund had a net short-term capital loss carryforward of $2,796,644 and a net long-term capital loss carryforward of $4,386,776, which may be carried forward for an indefinite period.

During the current fiscal year, there were no permanent differences that resulted in adjustments to accumulated loss or additional paid-in capital.

NOTE I

Recent Accounting Pronouncements

In December 2022, the Financial Accounting Standards Board issued an Accounting Standards Update, ASU 2022-06, “Reference Rate Reform (Topic 848)—Deferral of the Sunset Date of Topic 848”. ASU 2022-06 is an amendment to ASU 2020-04, which provided optional guidance to ease the potential accounting burden due to the discontinuation of the LIBOR and other interbank-offered based reference rates and which was effective as of March 12, 2020 through December 31, 2022. ASU 2022-06

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NOTES TO FINANCIAL STATEMENTS (continued)

extends the effective period through December 31, 2024. Management is currently evaluating the impact, if any, of applying ASU 2022-06.

NOTE J

Subsequent Events

At meetings held on October 31—November 2, 2023, the Board approved the reorganization of the Fund into a newly-created exchange-traded fund (“ETF”) (the “Conversion”), to be managed by the Adviser. Pursuant to an Agreement and Plan of Acquisition and Termination (the “Plan”), the Fund will be converted into an ETF (the “Acquiring Fund”), a newly-created series of AB Active ETFs, Inc., with an identical investment objective, and identical fundamental investment policies and investment strategies as the Fund. The closing date of the Conversion is expected to occur on or about June 7, 2024.

In connection with the Conversion, the assets and liabilities of the Fund will be transferred to the Acquiring Fund, and stockholders of the Fund will receive shares of the Acquiring Fund, equal in aggregate net asset value (“NAV”) to the NAV of their shares of the Fund (less cash corresponding to any fractional share amount). After the Conversion, the Fund will be liquidated. The Conversion does not require stockholder approval and stockholders are not being asked to vote.

Management has evaluated subsequent events for possible recognition or disclosure in the financial statements through the date the financial statements are issued. Management has determined that there are no other material events that would require disclosure in the Fund’s financial statements through this date.

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FINANCIAL HIGHLIGHTS

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

	Class A
	Year Ended October 31,												December 12, 2018(a) to October 31, 2019
	2023			2022			2021			2020
Net asset value, beginning of period		$8.70			$9.90			$9.95			$10.35			$10.00
Income From Investment Operations
Net investment income(b)(c)		.34			.18			.22			.23			.28
Net realized and unrealized gain (loss) on investment and foreign currency transactions		.09	(d)		(1.05	)		.02	(d)		(.28	)(d)		.42
Contributions from Affiliates		– 0	–		.00	(e)		– 0	–		– 0	–		– 0	–
Capital contributions		– 0	–		– 0	–		– 0	–		.16			– 0	–
Net increase (decrease) in net asset value from operations		.43			(.87	)		.24			.11			.70
Less: Dividends and Distributions
Dividends from net investment income		(.45	)		(.22	)		(.29	)		(.38	)		(.35	)
Distributions from net realized gain on investment transactions		– 0	–		(.11	)		– 0	–		(.13	)		– 0	–
Total dividends and distributions		(.45	)		(.33	)		(.29	)		(.51	)		(.35	)
Net asset value, end of period		$8.68			$8.70			$9.90			$9.95			$10.35
Total Return
Total investment return based on net asset value(f)		5.01	%		(8.94	)%		2.37	%		1.17	%		7.09	%
Ratios/Supplemental Data
Net assets, end of period (000’s omitted)		$2,599			$4,364			$5,528			$371			$10
Ratio to average net assets of:
Expenses, net of waivers/reimbursements(g)		1.00	%		.95	%		.68	%		.68	%		.70	%^
Expenses, before waivers/reimbursements(g)		1.53	%		1.66	%		1.26	%		1.77	%		3.18	%^
Net investment income(c)		3.89	%		1.95	%		2.24	%		2.28	%		3.14	%^
Portfolio turnover rate*		185	%		60	%		163	%		336	%		178	%
Portfolio turnover rate (including securities sold short)*		N/A			N/A			N/A			336	%		181	%

See footnote summary on page 74.

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FINANCIAL HIGHLIGHTS (continued)

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

	Class C
	Year Ended October 31,												December 12, 2018(a) to October 31, 2019
	2023			2022			2021			2020
Net asset value, beginning of period		$8.69			$9.89			$9.95			$10.34			$10.00
Income From Investment Operations
Net investment income(b)(c)		.28			.10			.15			.09			.21
Net realized and unrealized gain (loss) on investment and foreign currency transactions		.08	(d)		(1.04	)		.00	(d)(e)		(.04	)(d)		.41
Contributions from Affiliates		– 0	–		.00	(e)		– 0	–		– 0	–		– 0	–
Net increase (decrease) in net asset value from operations		.36			(.94	)		.15			.05			.62
Less: Dividends and Distributions
Dividends from net investment income		(.38	)		(.15	)		(.21	)		(.31	)		(.28	)
Distributions from net realized gain on investment transactions		– 0	–		(.11	)		– 0	–		(.13	)		– 0	–
Total dividends and distributions		(.38	)		(.26	)		(.21	)		(.44	)		(.28	)
Net asset value, end of period		$8.67			$8.69			$9.89			$9.95			$10.34
Total Return
Total investment return based on net asset value(f)		4.18	%		(9.67	)%		1.46	%		.51	%		6.23	%
Ratios/Supplemental Data
Net assets, end of period (000’s omitted)		$438			$292			$730			$730			$10
Ratio to average net assets of:
Expenses, net of waivers/reimbursements(g)		1.78	%		1.71	%		1.47	%		1.48	%		1.49	%^
Expenses, before waivers/reimbursements(g)		2.36	%		2.42	%		2.19	%		2.57	%		4.02	%^
Net investment income(c)		3.16	%		1.10	%		1.53	%		.93	%		2.34	%^
Portfolio turnover rate*		185	%		60	%		163	%		336	%		178	%
Portfolio turnover rate (including securities sold short)*		N/A			N/A			N/A			336	%		181	%

See footnote summary on page 74.

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FINANCIAL HIGHLIGHTS (continued)

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

	Advisor Class
	Year Ended October 31,												December 12, 2018(a) to October 31, 2019
	2023			2022			2021			2020
Net asset value, beginning of period		$8.69			$9.89			$9.95			$10.35			$10.00
Income From Investment Operations
Net investment income(b)(c)		.38			.20			.25			.21			.30
Net realized and unrealized gain (loss) on investment and foreign currency transactions		.07	(d)		(1.05	)		.00	(d)(e)		(.08	)(d)		.41
Contributions from Affiliates		– 0	–		.00	(e)		– 0	–		– 0	–		– 0	–
Net increase (decrease) in net asset value from operations		.45			(.85	)		.25			.13			.71
Less: Dividends and Distributions
Dividends from net investment income		(.47	)		(.24	)		(.31	)		(.40	)		(.36	)
Distributions from net realized gain on investment transactions		– 0	–		(.11	)		– 0	–		(.13	)		– 0	–
Total dividends and distributions		(.47	)		(.35	)		(.31	)		(.53	)		(.36	)
Net asset value, end of period		$8.67			$8.69			$9.89			$9.95			$10.35
Total Return
Total investment return based on net asset value(f)		5.22	%		(8.76	)%		2.48	%		1.34	%		7.25	%
Ratios/Supplemental Data
Net assets, end of period (000’s omitted)		$105,618			$64,972			$56,593			$41,681			$15,498
Ratio to average net assets of:
Expenses, net of waivers/reimbursements(g)		.71	%		.77	%		.47	%		.48	%		.49	%^
Expenses, before waivers/reimbursements(g)		1.26	%		1.48	%		1.18	%		1.68	%		2.99	%^
Net investment income(c)		4.29	%		2.17	%		2.52	%		2.13	%		3.31	%^
Portfolio turnover rate*		185	%		60	%		163	%		336	%		178	%
Portfolio turnover rate (including securities sold short)*		N/A			N/A			N/A			336	%		181	%

See footnote summary on page 74.

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FINANCIAL HIGHLIGHTS (continued)

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

(a) Commencement of operations.

(b) Based on average shares outstanding.

(c) Net of expenses waived/reimbursed by the Adviser.

(d) Due to timing of sales and repurchase of capital shares, the net realized and unrealized gain (loss) per share is not in accordance with the Fund’s change in net realized and unrealized gain (loss) on investment transactions for the period.

(e) Amount is less than $.005.

(f) Total investment return is calculated assuming an initial investment made at the net asset value at the beginning of the period, reinvestment of all dividends and distributions at net asset value during the period, and redemption on the last day of the period. Total return does not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of fund shares. Total investment return calculated for a period of less than one year is not annualized.

(g) The expense ratios presented below exclude interest/bank overdraft expense:

	Year Ended October 31,												December 12, 2018(a) to October 31,
	2023			2022			2021			2020			2019
Class A
Net of waivers/reimbursements		.65	%		.65	%		.65	%		.65	%		.65	%^
Before waivers/reimbursements		1.18	%		1.35	%		1.23	%		1.73	%		3.13	%^
Class C
Net of waivers/reimbursements		1.45	%		1.45	%		1.45	%		1.45	%		1.45	%^
Before waivers/reimbursements		2.03	%		2.16	%		2.18	%		2.54	%		3.97	%^
Advisor Class
Net of waivers/reimbursements		.45	%		.45	%		.45	%		.45	%		.45	%^
Before waivers/reimbursements		1.00	%		1.16	%		1.16	%		1.64	%		2.95	%^

* The Fund accounts for dollar roll transactions as purchases and sales.

^ Annualized.

See notes to financial statements.

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REPORT OF INDEPENDENT REGISTERED

PUBLIC ACCOUNTING FIRM

To the Board of Directors and Shareholders of AB Short Duration Income Portfolio

Opinion on the Financial Statements

We have audited the accompanying statement of assets and liabilities of AB Short Duration Income Portfolio (the “Fund”) (one of the portfolios constituting AB Bond Fund, Inc. (the “Company”)), including the portfolio of investments, as of October 31, 2023, and the related statement of operations for the year then ended, the statements of changes in net assets for each of the two years in the period then ended, the financial highlights for each of the four years in the period ended October 31, 2023 and the period from December 12, 2018 (commencement of operations) through October 31, 2019 and the related notes (collectively referred to as the “financial statements”). In our opinion, the financial statements present fairly, in all material respects, the financial position of the Fund (one of the portfolios constituting AB Bond Fund, Inc.) at October 31, 2023, the result of its operations for the year then ended, the changes in its net assets for each of the two years in the period then ended and its financial highlights for each of the four years in the period ended October 31, 2023 and the period from December 12, 2018 (commencement of operations) through October 31, 2019, in conformity with U.S. generally accepted accounting principles.

Basis for Opinion

These financial statements are the responsibility of the Company’s management. Our responsibility is to express an opinion on the Fund’s financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (“PCAOB”) and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. The Company is not required to have, nor were we engaged to perform, an audit of the Company’s internal control over financial reporting. As part of our audits, we are required to obtain an understanding of internal control over financial reporting but not for the purpose of expressing an opinion on the effectiveness of the Company’s internal control over financial reporting. Accordingly, we express no such opinion.

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REPORT OF INDEPENDENT REGISTERED

PUBLIC ACCOUNTING FIRM (continued)

Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our procedures included confirmation of securities owned as of October 31, 2023, by correspondence with the custodian, brokers and others; when replies were not received from brokers or others, we performed other auditing procedures. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audits provide a reasonable basis for our opinion.

We have served as the auditor of one or more of the AB investment companies since 1968.

New York, New York

December 22, 2023

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BOARD OF DIRECTORS

Garry L. Moody⁽¹⁾, Chairman Jorge A. Bermudez⁽¹⁾ Michael J. Downey⁽¹⁾ Onur Erzan, President and Chief Executive Officer Nancy P. Jacklin⁽¹⁾ Jeanette W. Loeb⁽¹⁾ Carol C. McMullen⁽¹⁾ Marshall C. Turner, Jr.⁽¹⁾

OFFICERS

Scott A. DiMaggio⁽²⁾, Vice President Gershon M. Distenfeld⁽²⁾,
Vice President Fahd Malik⁽²⁾, Vice President Matthew S. Sheridan⁽²⁾, Vice President William Smith⁽²⁾, Vice President Nancy E. Hay, Secretary Michael B. Reyes, Senior Vice President Stephen M. Woetzel, Treasurer and Chief Financial Officer Phyllis J. Clarke, Controller
Jennifer Friedland,
Chief Compliance Officer

Custodian and Accounting Agent State Street Bank and Trust Company One Congress Street, Suite 1 Boston, MA 02114   Principal Underwriter AllianceBernstein Investments, Inc. 501 Commerce Street Nashville, TN 37203   Transfer Agent AllianceBernstein Investor Services, Inc. P.O. Box 786003 San Antonio, TX 78278 Toll-Free (800) 221-5672 Independent Registered Public
Accounting Firm Ernst & Young LLP One Manhattan West New York, NY 10001   Legal Counsel Seward & Kissel LLP One Battery Park Plaza New York, NY 10004

1 Member of the Audit Committee, the Governance and Nominating Committee and the Independent Directors Committee.

2 The day-to-day management of, and investment decisions for, the Fund’s portfolio are made by the Adviser’s Short Duration Income Investment team. Messrs. DiMaggio, Distenfeld, Malik Sheridan and Smith are the investment professionals with the most significant responsibility for the day-to-day management of the Fund’s portfolio.

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MANAGEMENT OF THE FUND

Board of Directors Information

The business and affairs of the Fund are managed under the direction of the Board of Directors. Certain information concerning the Fund’s Directors is set forth below.

NAME, ADDRESS*, AGE, (YEAR FIRST ELECTED**)	PRINCIPAL OCCUPATION(S) DURING PAST FIVE YEARS AND OTHER INFORMATION***	PORTFOLIOS IN AB FUND COMPLEX OVERSEEN BY DIRECTOR		OTHER PUBLIC COMPANY DIRECTORSHIPS CURRENTLY HELD BY DIRECTOR
INTERESTED DIRECTOR
Onur Erzan,# 1345 Avenue of the Americas New York, NY 10105 47 (2021)	Senior Vice President of AllianceBernstein L.P. (the “Adviser”), Head of Global Client Group and Head of Private Wealth. He oversees AB’s entire private wealth management business and third-party institutional and retail franchise, where he is responsible for all client services, sales and marketing, as well as product strategy, management and development worldwide. Director, President and Chief Executive Officer of the AB Mutual Funds as of April 1, 2021. He is also a member of the Equitable Holdings Management Committee. Prior to joining the firm in January 2021, he spent over 19 years with McKinsey (management consulting firm), most recently as a senior partner and co-leader of its Wealth & Asset Management practice. In addition, he co-led McKinsey’s Banking & Securities Solutions (a portfolio of data, analytics, digital assets and capabilities) globally.		82	None

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MANAGEMENT OF THE FUND (continued)

NAME, ADDRESS*, AGE, (YEAR FIRST ELECTED**)	PRINCIPAL OCCUPATION(S) DURING PAST FIVE YEARS AND OTHER INFORMATION***	PORTFOLIOS IN AB FUND COMPLEX OVERSEEN BY DIRECTOR		OTHER PUBLIC COMPANY DIRECTORSHIPS CURRENTLY HELD BY DIRECTOR
DISINTERESTED DIRECTORS
Garry L. Moody,## Chairman of the Board 71 (2018)	Private Investor since prior to 2018. Formerly, Partner, Deloitte & Touche LLP (1995-2008) where he held a number of senior positions, including Vice Chairman, and U.S. and Global Investment Management Practice Managing Partner; President, Fidelity Accounting and Custody Services Company (1993-1995), where he was responsible for accounting, pricing, custody and reporting for the Fidelity mutual funds; and Partner, Ernst & Young LLP (1975-1993), where he served as the National Director of Mutual Fund Tax Services and Managing Partner of its Chicago Office Tax department. He served as a member of the Investment Company Institute’s Board of Governors and the Independent Directors Council’s Governing Council from October 2019 through September 2023, where he also served as Chairman of the Governance Committee from October 2021 through September 2023. He is Chairman of the AB Funds and Chairman of the Independent Directors Committees since January 2023; he has served as a director or trustee since 2008, and served as Chairman of the Audit Committee of such funds from 2008 to February 2023.		82	None

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MANAGEMENT OF THE FUND (continued)

NAME, ADDRESS*, AGE, (YEAR FIRST ELECTED**)	PRINCIPAL OCCUPATION(S) DURING PAST FIVE YEARS AND OTHER INFORMATION***	PORTFOLIOS IN AB FUND COMPLEX OVERSEEN BY DIRECTOR		OTHER PUBLIC COMPANY DIRECTORSHIPS CURRENTLY HELD BY DIRECTOR
DISINTERESTED DIRECTORS (continued)
Jorge A. Bermudez,## 72 (2020)	Private Investor since prior to 2018. Formerly, Chief Risk Officer of Citigroup, Inc., a global financial services company, from November 2007 to March 2008; Chief Executive Officer of Citigroup’s Commercial Business Group in North America and Citibank Texas from 2005 to 2007; and a variety of other executive and leadership roles at various businesses within Citigroup prior to then; Chairman (2018) of the Texas A&M Foundation Board of Trustees (Trustee since 2013) and Chairman of the Smart Grid Center Board at Texas A&M University since 2012; director of, among others, Citibank N.A. from 2005 to 2008, the Federal Reserve Bank of Dallas, Houston Branch from 2009 to 2011, the Federal Reserve Bank of Dallas from 2011 to 2017, and the Electric Reliability Council of Texas from 2010 to 2016; and Chair of the Audit Committee of the Board of Directors of Moody’s Corporation since December 2022. He has served as director or trustee of the AB Funds since January 2020.		82	Moody’s Corporation since April 2011

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MANAGEMENT OF THE FUND (continued)

NAME, ADDRESS*, AGE, (YEAR FIRST ELECTED**)	PRINCIPAL OCCUPATION(S) DURING PAST FIVE YEARS AND OTHER INFORMATION***	PORTFOLIOS IN AB FUND COMPLEX OVERSEEN BY DIRECTOR		OTHER PUBLIC COMPANY DIRECTORSHIPS CURRENTLY HELD BY DIRECTOR
DISINTERESTED DIRECTORS (continued)
Michael J. Downey,## 79 (2018)	Private Investor since prior to 2018. Formerly, Chairman of The Asia Pacific Fund, Inc. (registered investment company) since prior to 2018 until January 2019. From 1987 until 1993, Chairman and CEO of Prudential Mutual Fund Management, director of the Prudential mutual funds, and member of the Executive Committee of Prudential Securities, Inc. He has served as a director or trustee of the AB Funds since 2005.		82	None
Nancy P. Jacklin,## 75 (2018)	Private Investor since prior to 2018. Professorial Lecturer at the Johns Hopkins School of Advanced International Studies (2008-2015). U.S. Executive Director of the International Monetary Fund (which is responsible for ensuring the stability of the international monetary system), (December 2002-May 2006); Partner, Clifford Chance (1992-2002); Sector Counsel, International Banking and Finance, and Associate General Counsel, Citicorp (1985-1992); Assistant General Counsel (International), Federal Reserve Board of Governors (1982-1985); and Attorney Advisor, U.S. Department of the Treasury (1973-1982). Member of the Bar of the District of Columbia and of New York; and member of the Council on Foreign Relations. She has served as a director or trustee of the AB Funds since 2006 and served as Chair of the Governance and Nominating Committees of the AB Funds from 2014 to August 2023.		82	None

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MANAGEMENT OF THE FUND (continued)

NAME, ADDRESS*, AGE, (YEAR FIRST ELECTED**)	PRINCIPAL OCCUPATION(S) DURING PAST FIVE YEARS AND OTHER INFORMATION***	PORTFOLIOS IN AB FUND COMPLEX OVERSEEN BY DIRECTOR		OTHER PUBLIC COMPANY DIRECTORSHIPS CURRENTLY HELD BY DIRECTOR
DISINTERESTED DIRECTORS (continued)
Jeanette W. Loeb,## 71 (2020)	Private Investor since prior to 2018. Director of New York City Center since 2005. Formerly, Chief Executive Officer of PetCareRx (e-commerce pet pharmacy) from 2002 to 2011 and 2015 to April 2023. She was a director of Apollo Investment Corp. (business development company) from August 2011 to July 2023 and a director of AB Multi-Manager Alternative Fund (fund of hedge funds) from 2012 to 2018. Formerly, affiliated with Goldman Sachs Group, Inc. (financial services) from 1977 to 1994, including as a partner thereof from 1986 to 1994. She has served as director or trustee of the AB Funds since April 2020 and serves as Chair of the Governance and Nominating Committees of the AB Funds since August 2023.		82	None

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MANAGEMENT OF THE FUND (continued)

NAME, ADDRESS*, AGE, (YEAR FIRST ELECTED**)	PRINCIPAL OCCUPATION(S) DURING PAST FIVE YEARS AND OTHER INFORMATION***	PORTFOLIOS IN AB FUND COMPLEX OVERSEEN BY DIRECTOR		OTHER PUBLIC COMPANY DIRECTORSHIPS CURRENTLY HELD BY DIRECTOR
DISINTERESTED DIRECTORS (continued)
Carol C. McMullen,## 68 (2018)	Private Investor and a member of the Advisory Board of Butcher Box (since 2018) and serves as Advisory Board Chair as of June 2023. Formerly, Managing Director of Slalom Consulting (consulting) from 2014 until July 2023; member, Mass General Brigham (formerly, Partners Healthcare) Investment Committee (2010-2019); Director of Norfolk & Dedham Group (mutual property and casualty insurance) from 2011 until November 2016; Director of Partners Community Physicians Organization (healthcare) from 2014 until December 2016; and Managing Director of The Crossland Group (consulting) from 2012 until 2013. She has held a number of senior positions in the asset and wealth management industries, including at Eastern Bank (where her roles included President of Eastern Wealth Management), Thomson Financial (Global Head of Sales for Investment Management), and Putnam Investments (where her roles included Chief Investment Officer, Core and Growth and Head of Global Investment Research). She has served on a number of private company and non-profit boards, and as a director or trustee of the AB Funds since June 2016 and serves as Chair of the Audit Committees of such funds since February 2023.		82	None

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MANAGEMENT OF THE FUND (continued)

NAME, ADDRESS*, AGE, (YEAR FIRST ELECTED**)	PRINCIPAL OCCUPATION(S) DURING PAST FIVE YEARS AND OTHER INFORMATION***	PORTFOLIOS IN AB FUND COMPLEX OVERSEEN BY DIRECTOR		OTHER PUBLIC COMPANY DIRECTORSHIPS CURRENTLY HELD BY DIRECTOR
DISINTERESTED DIRECTORS (continued)
Marshall C. Turner, Jr.,## 82 (2018)	Private Investor since prior to 2018. He was a Director of Xilinx, Inc. (programmable logic semi-conductors and adaptable, intelligent computing) from 2007 through August 2020, and is a former director of 33 other companies and organizations. Former Chairman and CEO of Dupont Photomasks, Inc. (semi-conductor manufacturing equipment) from 2003 through 2006. He has extensive operating leadership and venture capital investing experience, including five interim or full-time CEO roles, and prior service as general partner of institutional venture capital partnerships. He also has extensive non-profit board leadership experience, and currently serves on the board of the George Lucas Educational Foundation. He has served as a director of one AB Fund since 1992, and director or trustee of all the AB Funds since 2005. He has served as both Chairman of the AB Funds and Chairman of the Independent Directors Committees from 2014 through December 2022.		82	None

* The address for each of the Fund’s disinterested Directors is c/o AllianceBernstein L.P., Attention: Legal & Compliance Dept.—Mutual Fund Legal, 1345 Avenue of the Americas, New York, NY 10105.

** There is no stated term of office for the Fund’s Directors.

*** The information above includes each Director’s principal occupation during the last five years and other information relating to the experience, attributes and skills relevant to each Director’s qualifications to serve as a Director, which led to the conclusion that each Director should serve as a Director for the Fund.

# Mr. Erzan is an “interested person” of the Fund as defined in the “40 Act”, due to his position as a Senior Vice President of the Adviser.

## Member of the Audit Committee, the Governance and Nominating Committee and the Independent Directors Committee.

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Officer Information

Certain information concerning the Fund’s Officers is set forth below.

NAME, ADDRESS* AND AGE	PRINCIPAL POSITION(S) HELD WITH FUND	PRINCIPAL OCCUPATION DURING PAST FIVE YEARS
Onur Erzan 47	President and Chief Executive Officer	See biography above.
Scott A. DiMaggio 52	Vice President	Senior Vice President of the Adviser**, with which he has been associated since prior to 2018. He is also co-Head of Fixed-Income.
Gershon M. Distenfeld 48	Vice President	Senior Vice President of the Adviser**, with which he has been associated since prior to 2018. He is also co-Head of Fixed-Income.
Fahd Malik 39	Vice President	Senior Vice President of the Adviser**, with which he has been associated since prior to 2018.
Matthew S. Sheridan 47	Vice President	Senior Vice President of the Adviser**, with which he has been associated since prior to 2018. He is also Director – US Multi-Sector Fixed Income.
William Smith 36	Vice President	Senior Vice President of the Adviser**, with which he has been associated since prior to 2018. He is also Director of US High Yield Credit.
Nancy E. Hay 51	Secretary	Senior Vice President and Counsel of the Adviser**, with which she has been associated since prior to 2018 and Assistant Secretary of ABI**.
Michael B. Reyes 47	Senior Vice President	Vice President of the Adviser**, with which he has been associated since prior to 2018.
Stephen M. Woetzel 52	Treasurer and Chief Financial Officer	Senior Vice President of ABIS**, with which he has been associated since prior to 2018.
Phyllis J. Clarke 62	Controller	Vice President of ABIS**, with which she has been associated since prior to 2018.
Jennifer Friedland 49	Chief Compliance Officer	Vice President of the Adviser** since 2020 and Mutual Fund Chief Compliance Officer (of all Funds since January 2023 and of the ETF Funds since 2022). Before joining the Adviser** in 2020, she was Chief Compliance Officer at WestEnd Advisors, LLC from prior to 2018 until 2019.

* The address for each of the Fund’s Officers is 1345 Avenue of the Americas, New York, NY 10105.

** The Adviser, ABI and ABIS are affiliates of the Fund.

The Fund’s Statement of Additional Information (“SAI”) has additional information about the Fund’s Directors and Officers and is available without charge upon request. Contact your financial representative or AB at (800) 227-4618, or visit www.abfunds.com for a free prospectus or SAI.

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MANAGEMENT OF THE FUND (continued)

Operation and Effectiveness of the Fund’s Liquidity Risk Management Program:

In October 2016, the Securities and Exchange Commission (“SEC”) adopted the open-end fund liquidity rule (the “Liquidity Rule”). In June 2018 the SEC adopted a requirement that funds disclose information about the operation and effectiveness of their Liquidity Risk Management Program (“LRMP”) in their reports to shareholders.

One of the requirements of the Liquidity Rule is for the Fund to designate an Administrator of the Fund’s Liquidity Risk Management Program. The Administrator of the Fund’s LRMP is AllianceBernstein L.P., the Fund’s investment adviser (the “Adviser”). The Adviser has delegated the responsibility to its Liquidity Risk Management Committee (the “Committee”).

Another requirement of the Liquidity Rule is for the Fund’s Board of Directors (the “Fund Board”) to receive an annual written report from the Administrator of the LRMP, which addresses the operation of the Fund’s LRMP and assesses its adequacy and effectiveness. The Adviser provided the Fund Board with such annual report during the first quarter of 2023, which covered the period January 1, 2022 through December 31, 2022 (the “Program Reporting Period”).

The LRMP’s principal objectives include supporting the Fund’s compliance with limits on investments in illiquid assets and mitigating the risk that the Fund will be unable to meet its redemption obligations in a timely manner.

Pursuant to the LRMP, the Fund classifies the liquidity of its portfolio investments into one of the four categories defined by the SEC: Highly Liquid, Moderately Liquid, Less Liquid, and Illiquid. These classifications are reported to the SEC on Form N-PORT.

During the Program Reporting Period, the Committee reviewed whether the Fund’s strategy is appropriate for an open-end structure, incorporating any holdings of less liquid and illiquid assets. If the Fund participated in derivative transactions, the exposure from such transactions were considered in the LRMP.

The Committee also performed an analysis to determine whether the Fund is required to maintain a Highly Liquid Investment Minimum (“HLIM”). The Committee also incorporated the following information when determining the Fund’s reasonably anticipated trading size for purposes of liquidity monitoring: historical net redemption activity, a Fund’s concentration in an issuer, shareholder concentration, investment performance, total net assets, and distribution channels.

The Adviser informed the Fund Board that the Committee believes the Fund’s LRMP is adequately designed, has been implemented as intended, and has operated effectively since its inception. No material exceptions

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have been noted since the implementation of the LRMP. During the Program Reporting Period, liquidity in all markets was challenged due to rising rates and economic uncertainty. However, markets also remained orderly during the Program Reporting Period. There were no liquidity events that impacted the Fund or its ability to timely meet redemptions during the Program Reporting Period.

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Information Regarding the Review and Approval of the Fund’s Advisory Agreement

The disinterested directors (the “directors”) of AB Bond Fund, Inc. (the “Company”) unanimously approved the continuance of the Company’s Advisory Agreement with the Adviser in respect of AB Short Duration Income Portfolio (the “Fund”) at a meeting held in-person on August 1-2, 2023 (the “Meeting”).

Prior to approval of the continuance of the Advisory Agreement, the directors had requested from the Adviser, and received and evaluated, extensive materials. They reviewed the proposed continuance of the Advisory Agreement with the Adviser and with experienced counsel who are independent of the Adviser, who advised on the relevant legal standards. The directors also reviewed additional materials, including comparative analytical data prepared by the Senior Vice President of the Fund. The directors also discussed the proposed continuance in private sessions with counsel.

The directors considered their knowledge of the nature and quality of the services provided by the Adviser to the Fund gained from their experience as directors or trustees of most of the registered investment companies advised by the Adviser, their overall confidence in the Adviser’s integrity and competence they have gained from that experience, the Adviser’s initiative in identifying and raising potential issues with the directors and its responsiveness, frankness and attention to concerns raised by the directors in the past, including the Adviser’s willingness to consider and implement organizational and operational changes designed to improve investment results and the services provided to the AB Funds. The directors noted that they have four regular meetings each year, at each of which they review extensive materials and information from the Adviser, including information on the investment performance of the Fund and the money market fund advised by the Adviser in which the Fund invests a portion of its assets.

The directors also considered all factors they believed relevant, including the specific matters discussed below. During the course of their deliberations, the directors evaluated, among other things, the reasonableness of the advisory fee. The directors did not identify any particular information that was all-important or controlling, and different directors may have attributed different weights to the various factors. The directors determined that the selection of the Adviser to manage the Fund and the overall arrangements between the Fund and the Adviser, as provided in the Advisory Agreement, including the advisory fee, were fair and reasonable in light of the services performed, expenses incurred and such other matters

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as the directors considered relevant in the exercise of their business judgment. The material factors and conclusions that formed the basis for the directors’ determinations included the following:

Nature, Extent and Quality of Services Provided

The directors considered the scope and quality of services provided by the Adviser under the Advisory Agreement, including the quality of the investment research capabilities of the Adviser and the other resources it has dedicated to performing services for the Fund. The directors noted that the Adviser from time to time reviews the Fund’s investment strategies and from time to time proposes changes intended to improve the Fund’s relative or absolute performance for the directors’ consideration. They also noted the professional experience and qualifications of the Fund’s portfolio management team and other senior personnel of the Adviser. The directors also considered that the Advisory Agreement provides that the Fund will reimburse the Adviser for the cost to it of providing certain clerical, accounting, administrative and other services to the Fund by employees of the Adviser or its affiliates. Requests for these reimbursements are made on a quarterly basis and subject to approval by the directors. The Adviser had not requested any reimbursements from the Fund since the Fund’s inception. The quality of administrative and other services, including the Adviser’s role in coordinating the activities of the Fund’s other service providers, also was considered. The directors concluded that, overall, they were satisfied with the nature, extent and quality of services provided to the Fund under the Advisory Agreement.

Costs of Services Provided and Profitability

The directors reviewed a schedule of the revenues and expenses and related notes indicating the profitability of the Fund to the Adviser for calendar years 2021 and 2022 that had been prepared with an expense allocation methodology arrived at in consultation with an independent consultant at the request of the directors. The directors noted the assumptions and methods of allocation used by the Adviser in preparing fund-specific profitability data and understood that there are a number of potentially acceptable allocation methodologies for information of this type. The directors noted that the profitability information reflected all revenues and expenses of the Adviser’s relationship with the Fund, including those relating to its subsidiaries that provide transfer agency and distribution services to the Fund. The directors recognized that it is difficult to make comparisons of the profitability of the Advisory Agreement with the profitability of fund advisory contracts for unaffiliated funds because comparative information is not generally publicly available and is affected by numerous factors. The directors focused on the profitability of the Adviser’s relationship with the Fund before taxes and distribution expenses. The directors noted that the Fund was not profitable to the Adviser in the periods reviewed.

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Fall-Out Benefits

The directors considered the other benefits to the Adviser and its affiliates from their relationships with the Fund and the money market fund advised by the Adviser in which the Fund invests, including, but not limited to, benefits relating to 12b-1 fees and sales charges received by the Fund’s principal underwriter (which is a wholly owned subsidiary of the Adviser) in respect of certain classes of the Fund’s shares; and transfer agency fees paid by the Fund to a wholly owned subsidiary of the Adviser. The directors recognized that the Fund’s unprofitability to the Adviser would be exacerbated without these benefits. The directors understood that the Adviser also might derive reputational and other benefits from its association with the Fund.

Investment Results

In addition to the information reviewed by the directors in connection with the Meeting, the directors receive detailed performance information for the Fund at each regular Board meeting during the year.

At the Meeting, the directors reviewed performance information prepared by an independent service provider (the “15(c) service provider”), showing the performance of the Advisor Class shares of the Fund against a group of similar funds (“peer group”) and a larger group of similar funds (“peer universe”), each selected by the 15(c) service provider, and information prepared by the Adviser showing performance of the Advisor Class shares against a broad-based securities market index, in each case for the 1- and 3- year periods ended May 31, 2023 and (in the case of comparisons with the broad-based securities market index) for the period from inception. Based on their review, the directors concluded that the Fund’s investment performance was acceptable.

Advisory Fees and Other Expenses

The directors considered the advisory fee rate payable by the Fund to the Adviser and information prepared by the 15(c) service provider concerning advisory fee rates payable by other funds in the same category as the Fund. The directors recognized that it is difficult to make comparisons of advisory fees because there are variations in the services that are included in the fees payable by other funds. The directors compared the Fund’s contractual effective advisory fee rate with a peer group median and noted that it was close to the median.

The directors also considered the Adviser’s fee schedule for other clients utilizing investment strategies similar to those of the Fund. For this purpose, they reviewed the relevant advisory fee information from the Adviser’s Form ADV and in a report from the Fund’s Senior Vice President and noted the differences between the Fund’s fee schedule, on the one hand, and the Adviser’s institutional fee schedule and the schedule of fees charged by the Adviser to any offshore funds and for services to any sub-advised funds utilizing investment strategies similar to those of the

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Fund, on the other. The directors noted that the Adviser may, in some cases, agree to fee rates with large institutional clients that are lower than those reviewed by the directors and that they had previously discussed with the Adviser its policies in respect of such arrangements. The directors also compared the advisory fee rate for the Fund with that for another fund advised by the Adviser utilizing similar investment strategies.

The Adviser reviewed with the directors the significantly greater scope of the services it provides to the Fund relative to institutional, offshore fund and sub-advised fund clients. In this regard, the Adviser noted, among other things, that, compared to institutional and offshore or sub-advisory accounts, the Fund (i) demands considerably more portfolio management, research and trading resources due to significantly higher daily cash flows; (ii) has more tax and regulatory restrictions and compliance obligations; (iii) must prepare and file or distribute regulatory and other communications about fund operations; and (iv) must provide shareholder servicing to retail investors. The Adviser also reviewed the greater legal risks presented by the large and changing population of Fund shareholders who may assert claims against the Adviser in individual or class actions, and the greater entrepreneurial risk in offering new fund products, which require substantial investment to launch, may not succeed, and generally must be priced to compete with larger, more established funds resulting in lack of profitability to the Adviser until a new fund achieves scale. In light of the substantial differences in services rendered by the Adviser to institutional, offshore fund and sub-advised fund clients as compared to the Fund, and the different risk profile, the directors considered these fee comparisons inapt and did not place significant weight on them in their deliberations.

In connection with their review of the Fund’s advisory fee, the directors also considered the total expense ratio of the Advisor Class shares of the Fund in comparison to the medians for a peer group and a peer universe selected by the 15(c) service provider. The Advisor Class expense ratio of the Fund was based on the Fund’s latest fiscal year and reflected the impact of the Adviser’s expense cap for the Fund. The directors noted that it was likely that the expense ratios of some of the other funds in the Fund’s category were lowered by waivers or reimbursements by those funds’ investment advisers, which in some cases might be voluntary or temporary. The directors view expense ratio information as relevant to their evaluation of the Adviser’s services because the Adviser is responsible for coordinating services provided to the Fund by others. The directors noted that the Fund’s expense ratio was above a median. After reviewing and discussing the Adviser’s explanation of the reasons for this, the directors concluded that the Fund’s expense ratio was acceptable.    

Economies of Scale

The directors noted that the advisory fee schedule for the Fund contains a breakpoint that reduces the fee rate on assets above a specified level. The directors took into consideration prior presentations by an independent

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consultant on economies of scale in the mutual fund industry and for the AB Funds, and presentations from time to time by the Adviser concerning certain of its views on economies of scale. The directors also had requested and received from the Adviser certain updates on economies of scale in advance of the Meeting. The directors believe that economies of scale may be realized (if at all) by the Adviser across a variety of products and services, and not only in respect of a single fund. The directors noted that there is no established methodology for setting breakpoints that give effect to the fund-specific services provided by a fund’s adviser and to the economies of scale that an adviser may realize in its overall mutual fund business or those components of it which directly or indirectly affect a fund’s operations. The directors observed that in the mutual fund industry as a whole, as well as among funds similar to the Fund, there is no uniformity or pattern in the fees and asset levels at which breakpoints (if any) apply. The directors also noted that the advisory agreements for many funds do not have breakpoints at all. Having taken these factors into account, the directors concluded that the Fund’s shareholders would benefit from a sharing of economies of scale in the event the Fund’s net assets exceed the breakpoint in the future.

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This page is not part of the Shareholder Report or the Financial Statements.

AB FAMILY OF FUNDS

US EQUITY

CORE

Core Opportunities Fund

Select US Equity Portfolio

Sustainable US Thematic Portfolio

GROWTH

Concentrated Growth Fund

Discovery Growth Fund

Growth Fund

Large Cap Growth Fund

Small Cap Growth Portfolio

VALUE

Discovery Value Fund

Equity Income Fund

Relative Value Fund

Small Cap Value Portfolio

Value Fund

INTERNATIONAL/GLOBAL EQUITY

CORE

Global Core Equity Portfolio

International Low Volatility Equity Portfolio¹

Sustainable Global Thematic Fund

Sustainable International Thematic Fund

Tax-Managed Wealth Appreciation Strategy

Wealth Appreciation Strategy

GROWTH

Concentrated International Growth Portfolio

VALUE

All China Equity Portfolio

International Value Fund

FIXED INCOME

MUNICIPAL

High Income Municipal Portfolio

Intermediate California Municipal Portfolio

Intermediate Diversified Municipal Portfolio

Intermediate New York Municipal Portfolio

Municipal Bond Inflation Strategy

Tax-Aware Fixed Income Opportunities Portfolio

National Portfolio

Arizona Portfolio

California Portfolio

Massachusetts Portfolio

Minnesota Portfolio

New Jersey Portfolio

New York Portfolio

Ohio Portfolio

Pennsylvania Portfolio

Virginia Portfolio

TAXABLE

Bond Inflation Strategy

Global Bond Fund

High Income Fund

Income Fund

Intermediate Duration Portfolio

Short Duration High Yield Portfolio¹

Short Duration Income Portfolio

Short Duration Portfolio

Sustainable Thematic Credit Portfolio

Total Return Bond Portfolio

ALTERNATIVES

All Market Real Return Portfolio

Global Real Estate Investment Fund

Select US Long/Short Portfolio

MULTI-ASSET

All Market Total Return Portfolio

Emerging Markets Multi-Asset Portfolio

Global Risk Allocation Fund

Sustainable Thematic Balanced Portfolio

CLOSED-END FUNDS

AllianceBernstein Global High Income Fund

AllianceBernstein National Municipal Income Fund

EXCHANGE-TRADED FUNDS

Disruptors ETF

High Yield ETF

Tax-Aware Short Duration Municipal ETF

Ultra Short Income ETF

US High Dividend ETF

US Large Cap Strategic Equities ETF

US Low Volatility Equity ETF

We also offer Government Money Market Portfolio, which serves as the money market fund exchange vehicle for the AB mutual funds. You could lose money by investing in the Fund. Although the Fund seeks to preserve the value of your investment at $1.00 per share, it cannot guarantee it will do so. The Fund may impose a fee upon sale of your shares or may temporarily suspend your ability to sell shares if the Fund’s liquidity falls below required minimums because of market conditions or other factors. An investment in the Fund is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. The Fund’s sponsor has no legal obligation to provide financial support to the Fund, and you should not expect that the sponsor will provide financial support to the Fund at any time.

Investors should consider the investment objectives, risks, charges and expenses of the Fund carefully before investing. For copies of our prospectus or summary prospectus, which contain this and other information, visit us online at www.abfunds.com or contact your AB representative. Please read the prospectus and/or summary prospectus carefully before investing.

1 Prior to July 5, 2023, International Low Volatility Equity Portfolio was named International Strategic Core Portfolio and Short Duration High Yield Portfolio was named Limited Duration High Income Portfolio.

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NOTES

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NOTES

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NOTES

AB SHORT DURATION INCOME PORTFOLIO

1345 Avenue of the Americas

New York, NY 10105

800 221 5672

SDI-0151-1023                

OCT    ^10.31.23

ANNUAL REPORT

AB SUSTAINABLE THEMATIC CREDIT PORTFOLIO

Investment Products Offered •  Are Not FDIC Insured • May Lose Value • Are Not Bank Guaranteed

Investors should consider the investment objectives, risks, charges and expenses of the Fund carefully before investing. For copies of our prospectus or summary prospectus, which contain this and other information, visit us online at www.abfunds.com or contact your AB representative. Please read the prospectus and/or summary prospectus carefully before investing.

This shareholder report must be preceded or accompanied by the Fund’s prospectus for individuals who are not current shareholders of the Fund.

You may obtain a description of the Fund’s proxy voting policies and procedures, and information regarding how the Fund voted proxies relating to portfolio securities during the most recent 12-month period ended June 30, without charge. Simply visit AB’s website at www.abfunds.com, or go to the Securities and Exchange Commission’s (the “Commission”) website at www.sec.gov, or call AB at (800) 227 4618.

The Fund files its complete schedule of portfolio holdings with the Commission for the first and third quarters of each fiscal year as an exhibit to its reports on Form N-PORT. The Fund’s Form N-PORT reports are available on the Commission’s website at www.sec.gov. AB publishes full portfolio holdings for the Fund monthly at www.abfunds.com.

AllianceBernstein Investments, Inc. (ABI) is the distributor of the AB family of mutual funds. ABI is a member of FINRA and is an affiliate of AllianceBernstein L.P., the Adviser of the funds.

The [A/B] logo is a registered service mark of AllianceBernstein and AllianceBernstein^® is a registered service mark used by permission of the owner, AllianceBernstein L.P.

FROM THE PRESIDENT

Dear Shareholder,

We’re pleased to provide this report for the AB Sustainable Thematic Credit Portfolio (the “Fund”). Please review the discussion of Fund performance, the market conditions during the reporting period and the Fund’s investment strategy.

At AB, we’re striving to help our clients achieve better outcomes by:

⁺  Fostering diverse perspectives that give us a distinctive approach to navigating global capital markets

⁺  Applying differentiated investment insights through a connected global research network

⁺  Embracing innovation to design better ways to invest and leading-edge mutual-fund solutions

Whether you’re an individual investor or a multibillion-dollar institution, we’re putting our knowledge and experience to work for you every day.

For more information about AB’s comprehensive range of products and shareholder resources, please log on to www.abfunds.com.

Thank you for your investment in AB mutual funds—and for placing your trust in our firm.

Sincerely,

Onur Erzan

President and Chief Executive Officer, AB Mutual Funds

abfunds.com AB SUSTAINABLE THEMATIC CREDIT PORTFOLIO    ^|    1

ANNUAL REPORT

December 11, 2023

This report provides management’s discussion of fund performance for the AB Sustainable Thematic Credit Portfolio for the annual reporting period ended October 31, 2023.

The Fund’s investment objective is to maximize total return through current income and long-term capital appreciation.

NAV RETURNS AS OF OCTOBER 31, 2023 (unaudited)

	6 Months		12 Months
AB SUSTAINABLE THEMATIC CREDIT PORTFOLIO
Class A Shares		-5.95%		2.42%
Advisor Class Shares1		-5.83%		2.67%
Bloomberg US Corporate Bond Index		-5.90%		2.77%

1 Please note that this share class is for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or investment advisory clients of, and certain other persons associated with, the Adviser and its affiliates or the Fund.

INVESTMENT RESULTS

The table above shows the Fund’s performance compared with its benchmark, the Bloomberg US Corporate Bond Index, for the six- and 12-month periods ended October 31, 2023.

During the 12-month period, all share classes underperformed the benchmark, before sales charges. Sector allocation was the largest detractor to relative performance to the benchmark, from off-benchmark exposure to high-yield corporate bonds that was partially offset by gains from off-benchmark exposure to investment-grade corporate bonds in the eurozone and emerging-market corporate bonds. Yield-curve positioning also detracted, because of an overweight to the 30-year part of the curve and an underweight to the two-year part of the curve, partially offset by gains from an overweight to the 10-year part of the curve. Security selection contributed, because of selection among investment-grade and high-yield corporate bonds. Off-benchmark country allocation to the eurozone also contributed. Currency decisions did not impact performance.

In the six-month period, Class A underperformed the benchmark and the Advisor Class outperformed the benchmark, before sales charges. Sector allocation was the primary detractor to performance, relative to the benchmark, because of off-benchmark exposure to high-yield corporate bonds. Yield-curve positioning also detracted, mainly because of overweights to the five- to 10-year and 30-year parts of the yield curve that

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was partially offset by a gain from being underweight the 20-year part of the curve. Security selection among investment-grade and high-yield corporate bonds contributed to performance. Country allocation and currency decisions were minor contributors to performance during the period.

The Fund used derivatives in the form of futures and currency forwards for hedging purposes; currency forwards had no material impact on absolute returns for either period; futures had no material impact on returns for the six-month period and detracted for the 12-month period.

MARKET REVIEW AND INVESTMENT STRATEGY

During the 12-month period ended October 2023, fixed-income government bond market yields were extremely volatile in all major developed markets, and developed-market government bond returns diverged based on individual country growth and inflation expectations. Most central banks raised interest rates significantly to combat inflation and then paused further interest-rate hikes. Government bond returns in aggregate were positive, as returns rose in Italy, Japan and Spain, and fell in the UK, Australia, Germany, the US and Canada. Overall, developed-market investment-grade corporate bonds significantly outperformed government bonds, including in the US and eurozone. High-yield corporate bonds advanced and materially outperformed government bonds — especially in the eurozone and US. Emerging-market local-currency sovereign bonds led risk asset returns, as the US dollar was mixed against all currencies. Emerging-market hard-currency sovereign and corporate bonds had strong relative positive returns, particularly among high-yield sovereigns and corporates.

The Fund’s Senior Investment Management Team (the “Team”) seeks to maximize total return through investments that benefit society and the environment. The Team employs top-down and bottom-up investment processes with the goal of identifying securities that fit into sustainable investment themes, such as health, climate and empowerment. The Team’s approach to building a sustainable portfolio with attractive financial return potential has been to align with the United Nations Sustainable Development Goals (“SDGs”), which 193 nations have committed to advancing. The Team invests primarily in investment-grade corporate bonds from US issuers, but may also invest in non-US issuers and high-yield bonds.

INVESTMENT POLICIES

The Fund seeks to achieve its investment objective by investing primarily in fixed-income securities of corporate issuers whose business activities the Adviser believes position the issuer to benefit from certain sustainable investment themes that align with one or more of the United Nations SDGs. These themes principally include the advancement of health,

(continued on next page)

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climate, and empowerment. Under normal circumstances, at least 80% of the Fund’s net assets will be invested in fixed-income securities of corporate issuers that satisfy the Fund’s sustainability criteria. An issuer that derives at least 25% of its total revenues from activities consistent with the achievement of the SDGs meets such criteria, although many of the issuers in which the Fund invests will derive a much greater portion of their revenues from such activities.

The Adviser employs a combination of “top-down” and “bottom-up” investment processes with the goal of identifying, based on its internal research and analysis, securities and issuers that fit into sustainable investment themes. First, the Adviser identifies through its top-down process the sustainable investment themes. In addition to this top-down thematic approach, the Adviser then uses a bottom-up analysis of individual bond issues that focuses on the use of proceeds, issuer fundamentals and valuation and on evaluating an issuer’s risks, including those related to environmental, social and governance (“ESG”) factors. ESG factors, which can vary across companies and industries, may include environmental impact, corporate governance, ethical business practices, diversity and employee practices, product safety, supply chain management and community impact. Eligible investments include securities of issuers that the Adviser believes will maximize total return while also contributing to positive societal impact aligned with one or more SDGs. While the Adviser emphasizes focusing on individual issuers with favorable ESG attributes over the use of broad-based negative screens (e.g., disqualifying business activities) in assessing an issuer’s exposure to ESG factors, the Fund will not invest in companies that derive significant revenue from involvement in adult entertainment, alcohol, coal, controversial weapons, firearms, gambling, genetically modified organisms, military contracting, prisons, or tobacco. The Fund also typically invests in ESG bond structures, including “Use of Proceeds” bonds, which are instruments the proceeds of which are specifically earmarked for environmental, social or sustainability projects.

The Fund may invest up to 20% of its net assets in securities rated below investment grade (“junk bonds”). The Fund may invest up to 30% of its net assets in securities denominated in currencies other than the US dollar. Foreign investments may include securities issued by emerging-market companies and governments. The Adviser expects under normal circumstances to hedge the majority of the Fund’s foreign currency exposure through the use of currency-related derivatives, although it is not required to do so.

The Fund expects to use derivatives, such as options, futures contracts,

(continued on next page)

4    ^|    AB SUSTAINABLE THEMATIC CREDIT PORTFOLIO abfunds.com

forwards and swaps. Derivatives may provide a more efficient and economical exposure to market segments than direct investments, and may also be a more efficient way to alter the Fund’s exposure. The Fund may, for example, use interest rate futures contracts or swaps to manage the Fund’s average duration and may, as noted above, use currency-related derivatives to hedge foreign currency exposure.

The Adviser may use derivatives to effectively leverage the Fund by creating aggregate market exposure significantly in excess of the Fund’s net assets.

The Fund is “non-diversified.”

abfunds.com AB SUSTAINABLE THEMATIC CREDIT PORTFOLIO     ^|    5

DISCLOSURES AND RISKS

Benchmark Disclosure

The Bloomberg US Corporate Bond Index is unmanaged and does not reflect fees and expenses associated with the active management of a mutual fund portfolio. The Bloomberg US Corporate Bond Index measures the investment-grade, fixed-rate, taxable corporate bond market. It includes USD-denominated securities publicly issued by US and non-US industrial, utility and financial issuers. An investor cannot invest directly in an index or average, and their results are not indicative of the performance for any specific investment, including the Fund.

A Word About Risk

Market Risk: The value of the Fund’s assets will fluctuate as the stock, bond or currency markets fluctuate. The value of the Fund’s investments may decline, sometimes rapidly and unpredictably, simply because of economic changes or other events, including public health crises (including the occurrence of a contagious disease or illness) and regional and global conflicts, that affect large portions of the market.

ESG Risk: Applying ESG and sustainability criteria to the investment process may exclude securities of certain issuers for non-investment reasons and, therefore, the Fund may forgo some market opportunities available to funds that do not use ESG or sustainability criteria. Securities of companies with ESG practices may shift into and out of favor depending on market and economic conditions, and the Fund’s performance may at times be better or worse than the performance of funds that do not use ESG or sustainability criteria. Furthermore, ESG factors and “sustainability” criteria are not uniformly defined, and may differ from those used by other funds. In addition, in evaluating an investment, the Advisor is dependent upon information and data that may be incomplete, inaccurate or unavailable, which could adversely affect the analysis of the ESG and sustainability factors relevant to a particular investment.

Interest-Rate Risk: Changes in interest rates will affect the value of investments in fixed-income securities. When interest rates rise, the value of existing investments in fixed-income securities tends to fall and this decrease in value may not be offset by higher income from new investments. Interest-rate risk is generally greater for fixed-income securities with longer maturities or durations. The Fund may be subject to a greater risk of rising interest rates than would normally be the case due to the recent end of a period of historically low rates and the effect of potential central bank monetary policy, and government fiscal policy, initiatives and resulting market reactions to those initiatives.

Credit Risk: An issuer or guarantor of a fixed-income security, or the counterparty to a derivatives or other contract, may be unable or unwilling to make timely payments of interest or principal, or to otherwise honor its

6    ^|    AB SUSTAINABLE THEMATIC CREDIT PORTFOLIO abfunds.com

DISCLOSURES AND RISKS (continued)

obligations. The issuer or guarantor may default, causing a loss of the full principal amount of a security and accrued interest. The degree of risk for a particular security may be reflected in its credit rating. There is the possibility that the credit rating of a fixed-income security may be downgraded after purchase, which may adversely affect the value of the security.

Below Investment-Grade Securities Risk: Investments in fixed-income securities with lower ratings (commonly known as “junk bonds”) tend to have a higher probability that an issuer will default or fail to meet its payment obligations. These securities may be subject to greater price volatility due to factors such as specific corporate developments, interest-rate sensitivity and negative perceptions of the junk bond market generally, and may be more difficult to trade than other types of securities.

Duration Risk: Duration is a measure that relates the expected price volatility of a fixed-income security to changes in interest rates. The duration of a fixed-income security may be shorter than or equal to full maturity of a fixed-income security. Fixed-income securities with longer durations have more risk and will decrease in price as interest rates rise.

Inflation Risk: This is the risk that the value of assets or income from investments will be less in the future as inflation decreases the value of money. As inflation increases, the value of the Fund’s assets can decline as can the value of the Fund’s distributions. This risk is significantly greater for fixed-income securities with longer maturities. The Fund invests in inflation-indexed securities, the value of which may be vulnerable to changes in expectations of inflation or interest rates.

Foreign (Non-US) Risk: Investments in securities of non-US issuers may involve more risk than those of US issuers. These securities may fluctuate more widely in price and may be more difficult to trade due to adverse market, economic, political, regulatory or other factors.

Emerging-Market Risk: Investments in emerging-market countries may have more risk because the markets are less developed and less liquid and are subject to increased economic, political, regulatory or other uncertainties.

Currency Risk: Fluctuations in currency exchange rates may negatively affect the value of the Fund’s investments or reduce its returns. Emerging-market currencies may be more volatile and less liquid, and subject to significantly greater risk of currency controls and convertibility restrictions, than currencies of developed countries.

abfunds.com AB SUSTAINABLE THEMATIC CREDIT PORTFOLIO     ^|    7

DISCLOSURES AND RISKS (continued)

Derivatives Risk: Derivatives may be difficult to price or unwind and leveraged so that small changes may produce disproportionate losses for the Fund. A short position in a derivative instrument involves the risk of a theoretically unlimited increase in the value of the underlying asset, which could cause the Fund to suffer a potentially unlimited loss. Derivatives, especially over-the-counter derivatives, are also subject to counterparty risk, which is the risk that the counterparty (the party on the other side of the transaction) on a derivative transaction will be unable or unwilling to honor its contractual obligations to the Fund.

Leverage Risk: To the extent the Fund uses leveraging techniques, its net asset value (“NAV”) may be more volatile because leverage tends to exaggerate the effect of changes in interest rates and any increase or decrease in the value of the Fund’s investments.

Illiquid Investments Risk: Illiquid investments risk exists when certain investments are or become difficult to purchase or sell. Difficulty in selling such investments may result in sales at disadvantageous prices affecting the value of your investment in the Fund. Causes of illiquid investments risk may include low trading volumes, large positions and heavy redemptions of Fund shares. Illiquid investments risk may be higher in a rising interest-rate environment, when the value and liquidity of fixed-income securities generally decline.

Non-Diversification Risk: The Fund may have more risk because it is “non-diversified,” meaning that it can invest more of its assets in a smaller number of issuers. Accordingly, changes in the value of a single security may have a more significant effect, either negative or positive, on the Fund’s NAV.

Active Trading Risk: The Fund expects to engage in active and frequent trading of its portfolio securities and its portfolio turnover rate may greatly exceed 100%. A higher rate of portfolio turnover increases transaction costs, which may negatively affect the Fund’s return. In addition, a high rate of portfolio turnover may result in substantial short-term gains, which may have adverse tax consequences for Fund shareholders.

Management Risk: The Fund is subject to management risk because it is an actively managed investment fund. The Adviser will apply its investment techniques and risk analyses in making investment decisions, but there is no guarantee that its techniques will produce the intended results. Some of these techniques may incorporate, or rely upon, quantitative models, but there is no guarantee that these models will generate accurate forecasts, reduce risk or otherwise perform as expected.

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DISCLOSURES AND RISKS (continued)

These risks are fully discussed in the Fund’s prospectus. As with all investments, you may lose money by investing in the Fund.

An Important Note About Historical Performance

The investment return and principal value of an investment in the Fund will fluctuate, so that shares, when redeemed, may be worth more or less than their original cost. Performance shown in this report represents past performance and does not guarantee future results. Current performance may be lower or higher than the performance information shown. You may obtain performance information current to the most recent month-end by visiting www.abfunds.com. The Fund has been in operation only for a short period of time, and therefore has a very limited historical performance period. This limited performance period is unlikely to be representative of the performance the Fund will achieve over a longer period.

All fees and expenses related to the operation of the Fund have been deducted. NAV returns do not reflect sales charges; if sales charges were reflected, the Fund’s quoted performance would be lower. SEC returns reflect the applicable sales charges for each share class: a 4.25% maximum front-end sales charge for Class A shares. Returns for the different share classes will vary due to different expenses associated with each class. Performance assumes reinvestment of distributions and does not account for taxes.

abfunds.com AB SUSTAINABLE THEMATIC CREDIT PORTFOLIO     ^|    9

HISTORICAL PERFORMANCE

GROWTH OF A $10,000 INVESTMENT IN THE FUND (unaudited)

5/10/2021¹ TO 10/31/2023

This chart illustrates the total value of an assumed $10,000 investment in AB Sustainable Thematic Credit Portfolio Class A shares (from 5/10/2021¹ to 10/31/2023) as compared to the performance of the Fund’s benchmark. The chart reflects the deduction of the maximum 4.25% sales charge from the initial $10,000 investment in the Fund and assumes the reinvestment of dividends and capital gains distributions.

1 Inception date: 5/10/2021.

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HISTORICAL PERFORMANCE (continued)

AVERAGE ANNUAL RETURNS AS OF OCTOBER 31, 2023 (unaudited)

	NAV Returns		SEC Returns (reflects applicable sales charges)		SEC Yields1
CLASS A SHARES						5.25%
1 Year		2.42%		-1.89%
Since Inception2		-7.69%		-9.28%
ADVISOR CLASS SHARES3						5.73%
1 Year		2.67%		2.67%
Since Inception2		-7.46%		-7.46%

The Fund’s current prospectus fee table shows the Fund’s total annual operating expense ratios as 0.97% and 0.72% for Class A and Advisor Class shares, respectively, gross of any fee waivers or expense reimbursements. Contractual fee waivers and/or expense reimbursements limited the Fund’s total annual operating expense ratios, exclusive of expenses associated with acquired fund fees and expenses other than the advisory fees of any AB mutual funds in which the Fund may invest, interest expense and extraordinary expenses, to 0.85% and 0.60% for Class A and Advisor Class shares, respectively. These waivers/reimbursements may not be terminated before January 31, 2024. Any fees waived and expenses borne by the Adviser may be reimbursed by the Fund until the end of the third fiscal year after the fiscal period in which the fee was waived or the expense was borne, provided that no reimbursement payment will be made that would cause the Fund’s covered operating expenses to exceed the applicable expense limitations. Absent reimbursements or waivers, performance would have been lower. The Financial Highlights section of this report sets forth expense ratio data for the current reporting period; the expense ratios shown above may differ from the expense ratios in the Financial Highlights section since they are based on different time periods.

1 SEC yields are calculated based on SEC guidelines for the 30-day period ended October 31, 2023.

2 Inception date: 5/10/2021.

3 This share class is offered at NAV to eligible investors and the SEC returns are the same as the NAV returns. Please note that this share class is for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or investment advisory clients of and certain other persons associated with, the Adviser and its affiliates or the Fund.

abfunds.com AB SUSTAINABLE THEMATIC CREDIT PORTFOLIO     ^|    11

HISTORICAL PERFORMANCE (continued)

SEC AVERAGE ANNUAL RETURNS

AS OF THE MOST RECENT CALENDAR QUARTER-END

SEPTEMBER 30, 2023 (unaudited)

	SEC Returns (reflects applicable sales charges)
CLASS A SHARES
1 Year		-0.88%
Since Inception1		-8.83%
ADVISOR CLASS SHARES2
1 Year		3.81%
Since Inception1		-6.95%

1 Inception date: 5/10/2021.

2 Please note that this share class is for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or investment advisory clients of and certain other persons associated with, the Adviser and its affiliates or the Fund.

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EXPENSE EXAMPLE

(unaudited)

As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments, contingent deferred sales charges on redemptions and (2) ongoing costs, including management fees; distribution (12b-1) fees; and other Fund expenses. This example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds.

The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period as indicated below.

Actual Expenses

The first line of the table below provides information about actual account values and actual expenses. You may use the information in this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the first line under the heading entitled “Expenses Paid During Period” to estimate the expenses you paid on your account during this period.

Hypothetical Example for Comparison Purposes

The second line of the table below provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed annual rate of return of 5% before expenses, which is not the Fund’s actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and other funds by comparing this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of other funds.

	Beginning Account Value May 1, 2023		Ending Account Value October 31, 2023		Expenses Paid During Period*		Annualized Expense Ratio*
Class A
Actual	$	1,000	$	940.50	$	4.16		0.85	%
Hypothetical**	$	1,000	$	1,020.92	$	4.33		0.85	%
Advisor Class
Actual	$	1,000	$	941.70	$	2.94		0.60	%
Hypothetical**	$	1,000	$	1,022.18	$	3.06		0.60	%

* Expenses are equal to the classes’ annualized expense ratios multiplied by the average account value over the period, multiplied by 184/365 (to reflect the one-half year period).

** Assumes 5% annual return before expenses.

abfunds.com AB SUSTAINABLE THEMATIC CREDIT PORTFOLIO    ^|    13

PORTFOLIO SUMMARY

October 31, 2023 (unaudited)

PORTFOLIO STATISTICS

Net Assets ($mil): $213.3

1 The Fund’s security type breakdown is expressed as a percentage of total investments and may vary over time. The Fund also enters into derivative transactions, which may be used for hedging or investment purposes (see “Portfolio of Investments” section of the report for additional details).

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PORTFOLIO SUMMARY (continued)

October 31, 2023 (unaudited)

1 The Fund’s country breakdown is expressed as a percentage of total investments and may vary over time. The Fund also enters into derivative transactions, which may be used for hedging or investment purposes (see “Portfolio of Investments” section of the report for additional details). “Other” country weightings represent 0.6% or less in the following: Australia, Belgium, Chile, India, Peru, South Korea, Supranational, Sweden and Switzerland.

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PORTFOLIO OF INVESTMENTS

October 31, 2023

		Principal Amount (000)		U.S. $ Value
CORPORATES - INVESTMENT GRADE – 94.1%
Industrial – 54.1%
Basic – 1.2%
Arkema SA Series E 0.125%, 10/14/2026(a)	EUR		200	$	190,639
Ecolab, Inc. 2.75%, 08/18/2055	U.S.$		525		279,853
Inversiones CMPC SA 3.85%, 01/13/2030(a)			905		769,363
Sealed Air Corp. 1.573%, 10/15/2026(a)			1,485		1,299,090
					2,538,945
Capital Goods – 6.1%
CNH Industrial Capital LLC 1.45%, 07/15/2026			1,605		1,431,128
5.45%, 10/14/2025			360		357,080
Eaton Corp. 4.15%, 03/15/2033			380		334,161
4.35%, 05/18/2028			249		237,430
4.70%, 08/23/2052			380		308,580
Emerson Electric Co. 3.15%, 06/01/2025			715		689,990
John Deere Capital Corp. 4.70%, 06/10/2030			420		395,516
4.75%, 01/20/2028			933		906,348
4.85%, 10/11/2029			263		254,853
4.95%, 07/14/2028			428		417,580
Parker-Hannifin Corp. 4.20%, 11/21/2034			1,305		1,104,356
4.45%, 11/21/2044			325		251,242
6.25%, 05/15/2038			490		475,943
Regal Rexnord Corp. 6.30%, 02/15/2030(a)			104		98,148
6.40%, 04/15/2033(a)			123		112,998
Republic Services, Inc. 0.875%, 11/15/2025			614		556,445
1.75%, 02/15/2032			1,275		927,635
Siemens Financieringsmaatschappij NV 1.20%, 03/11/2026(a)			960		867,883
Trane Technologies Financing Ltd. 3.50%, 03/21/2026			405		384,565
5.25%, 03/03/2033			154		144,640
Trane Technologies Global Holding Co., Ltd. 5.75%, 06/15/2043			495		452,178

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PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Waste Management, Inc. 1.50%, 03/15/2031	U.S.$		470	$	348,985
2.95%, 06/01/2041			710		464,320
Xylem, Inc./NY 1.95%, 01/30/2028			1,725		1,472,866
					12,994,870
Communications - Media – 1.8%
Charter Communications Operating LLC/Charter Communications Operating Capital 4.40%, 04/01/2033			390		323,099
6.384%, 10/23/2035			1,226		1,108,683
6.834%, 10/23/2055			630		529,280
Comcast Corp. 4.65%, 02/15/2033			590		533,568
TCI Communications, Inc. 7.875%, 02/15/2026			845		882,316
Thomson Reuters Corp. 5.50%, 08/15/2035			570		525,794
					3,902,740
Communications - Telecommunications – 5.5%
AT&T, Inc. 4.50%, 05/15/2035			670		558,054
British Telecommunications PLC 9.625%, 12/15/2030(b)			760		878,291
Corning, Inc. 4.70%, 03/15/2037			62		53,191
5.45%, 11/15/2079			280		220,495
Sprint Capital Corp. 8.75%, 03/15/2032			1,070		1,203,154
T-Mobile USA, Inc. 2.70%, 03/15/2032			1,765		1,345,268
3.60%, 11/15/2060			445		258,026
3.875%, 04/15/2030			358		311,604
5.05%, 07/15/2033			1,029		929,662
5.75%, 01/15/2034			160		151,741
Telefonica Emisiones SA 4.895%, 03/06/2048			695		503,730
5.213%, 03/08/2047			1,116		854,397
TELUS Corp. 3.40%, 05/13/2032			1,194		947,087
4.30%, 06/15/2049			505		353,697
Verizon Communications, Inc. 2.355%, 03/15/2032			416		310,602
2.85%, 09/03/2041			1,135		700,723
3.875%, 02/08/2029			835		757,678
4.50%, 08/10/2033			741		642,130

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PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Vodafone Group PLC 4.875%, 06/19/2049	U.S.$		617	$	471,039
5.125%, 06/19/2059			265		200,476
					11,651,045
Consumer Cyclical - Automotive – 3.9%
Aptiv PLC 4.35%, 03/15/2029			407		377,741
4.40%, 10/01/2046			180		123,555
5.40%, 03/15/2049			215		170,887
Aptiv PLC/Aptiv Corp. 3.25%, 03/01/2032			605		486,686
4.15%, 05/01/2052			395		261,220
Ford Motor Co. 3.25%, 02/12/2032			871		656,499
6.10%, 08/19/2032			285		263,713
General Motors Co. 5.60%, 10/15/2032			1,353		1,235,122
5.95%, 04/01/2049			395		319,695
General Motors Financial Co., Inc. 2.35%, 01/08/2031			74		55,061
2.70%, 06/10/2031			644		484,680
3.85%, 01/05/2028			435		391,457
5.80%, 06/23/2028			311		301,244
5.85%, 04/06/2030			276		260,881
6.05%, 10/10/2025			360		358,613
Harley-Davidson, Inc. 3.50%, 07/28/2025			548		520,894
Lear Corp. 2.60%, 01/15/2032			1,827		1,346,784
4.25%, 05/15/2029			415		371,076
5.25%, 05/15/2049			345		265,328
					8,251,136
Consumer Cyclical - Other – 2.0%
DR Horton, Inc. 1.30%, 10/15/2026			739		648,457
2.50%, 10/15/2024			1,355		1,310,562
PulteGroup, Inc. 6.00%, 02/15/2035			410		381,684
6.375%, 05/15/2033			965		938,628
7.875%, 06/15/2032			1,003		1,076,504
					4,355,835
Consumer Cyclical - Retailers – 1.1%
Home Depot, Inc. (The) 1.50%, 09/15/2028			1,425		1,184,896

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PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Lowe’s Cos., Inc. 5.50%, 10/15/2035	U.S.$		660	$	619,082
5.80%, 09/15/2062			645		545,934
					2,349,912
Consumer Non-Cyclical – 14.2%
Abbott Laboratories 4.75%, 11/30/2036			1,065		972,576
AbbVie, Inc. 3.60%, 05/14/2025			474		458,517
4.45%, 05/14/2046			435		338,543
4.875%, 11/14/2048			1,275		1,053,615
AstraZeneca PLC 6.45%, 09/15/2037			445		464,366
Baxalta, Inc. 4.00%, 06/23/2025			942		914,186
Baxter International, Inc. 3.50%, 08/15/2046			1,405		841,431
Becton Dickinson and Co. 2.823%, 05/20/2030			1,130		930,255
Biogen, Inc. 2.25%, 05/01/2030			1,485		1,165,666
3.15%, 05/01/2050			150		86,324
Bristol-Myers Squibb Co. 3.70%, 03/15/2052			510		342,390
3.90%, 03/15/2062			495		323,689
4.25%, 10/26/2049			725		539,764
6.40%, 11/15/2063			1,078		1,071,427
Cigna Group (The) 2.375%, 03/15/2031			410		319,350
4.80%, 08/15/2038			600		507,850
Conagra Brands, Inc. 5.30%, 11/01/2038			545		454,838
CVS Health Corp. 4.78%, 03/25/2038			900		743,843
4.875%, 07/20/2035			1,305		1,126,258
5.00%, 02/20/2026			385		377,502
6.00%, 06/01/2063			936		809,497
Danaher Corp. 2.60%, 10/01/2050			225		123,530
4.375%, 09/15/2045			610		482,966
DH Europe Finance II SARL 2.20%, 11/15/2024			677		652,255
3.40%, 11/15/2049			450		296,337
Eli Lilly & Co. 2.75%, 06/01/2025			958		919,963
Fresenius Medical Care US Finance III, Inc. 3.00%, 12/01/2031(a)			945		657,369

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PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
General Mills, Inc. 2.25%, 10/14/2031	U.S.$		688	$	520,245
4.00%, 04/17/2025			666		648,177
Gilead Sciences, Inc. 4.50%, 02/01/2045			320		250,176
4.75%, 03/01/2046			375		302,521
4.80%, 04/01/2044			410		336,549
5.25%, 10/15/2033			1,097		1,039,142
HCA, Inc. 3.50%, 07/15/2051			425		245,909
4.625%, 03/15/2052			660		460,018
5.50%, 06/15/2047			735		591,225
Kaiser Foundation Hospitals Series 2021 2.81%, 06/01/2041			200		128,293
Kenvue, Inc. 5.20%, 03/22/2063			288		244,663
McKesson Corp. 5.25%, 02/15/2026			658		650,609
Medtronic, Inc. 4.375%, 03/15/2035			365		319,211
Merck & Co., Inc. 1.90%, 12/10/2028			1,800		1,523,122
2.90%, 12/10/2061			225		120,863
Pfizer Investment Enterprises Pte Ltd. 5.11%, 05/19/2043			423		371,351
Pfizer, Inc. 4.125%, 12/15/2046			775		586,551
7.20%, 03/15/2039			285		313,158
Roche Holdings, Inc. 2.132%, 03/10/2025(a)			1,970		1,886,049
Stryker Corp. 1.15%, 06/15/2025			1,008		936,355
Sutter Health 5.164%, 08/15/2033			182		169,968
Takeda Pharmaceutical Co., Ltd. 3.175%, 07/09/2050			340		202,786
Thermo Fisher Scientific, Inc. 2.80%, 10/15/2041			1,275		811,046
4.977%, 08/10/2030			370		352,863
Wyeth LLC 5.95%, 04/01/2037			265		260,990
					30,246,147
Services – 4.1%
Global Payments, Inc. 3.20%, 08/15/2029			1,970		1,654,794
5.95%, 08/15/2052			405		341,155

20    ^|    AB SUSTAINABLE THEMATIC CREDIT PORTFOLIO abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
GTCR W-2 Merger Sub LLC 7.50%, 01/15/2031(a)	U.S.$		441	$	434,873
Mastercard, Inc. 1.90%, 03/15/2031			1,503		1,165,659
3.85%, 03/26/2050			2,565		1,873,057
Moody’s Corp. 3.75%, 03/24/2025			667		647,767
5.25%, 07/15/2044			265		228,155
PayPal Holdings, Inc. 5.25%, 06/01/2062			600		496,539
S&P Global, Inc. 2.30%, 08/15/2060			590		273,477
2.90%, 03/01/2032			863		692,303
3.90%, 03/01/2062			235		158,241
4.25%, 05/01/2029			58		53,979
5.25%, 09/15/2033(a)			477		450,788
Verisk Analytics, Inc. 5.75%, 04/01/2033			264		252,948
					8,723,735
Technology – 13.0%
Apple, Inc. 4.10%, 08/08/2062			190		139,194
Autodesk, Inc. 2.40%, 12/15/2031			1,824		1,401,603
Broadcom, Inc. 2.45%, 02/15/2031(a)			643		493,293
3.187%, 11/15/2036(a)			694		480,391
3.419%, 04/15/2033(a)			641		498,243
Broadridge Financial Solutions, Inc. 2.60%, 05/01/2031			1,460		1,131,633
2.90%, 12/01/2029			569		473,347
CDW LLC/CDW Finance Corp. 3.276%, 12/01/2028			986		844,469
4.125%, 05/01/2025			1,545		1,491,969
Cisco Systems, Inc. 5.50%, 01/15/2040			1,075		1,019,834
5.90%, 02/15/2039			50		49,745
Entegris Escrow Corp. 4.75%, 04/15/2029(a)			390		350,398
Fiserv, Inc. 4.40%, 07/01/2049			500		362,411
5.625%, 08/21/2033			539		505,322
HP, Inc. 2.65%, 06/17/2031			650		496,653
International Business Machines Corp. 3.43%, 02/09/2052			575		355,034
4.00%, 06/20/2042			865		644,302
4.90%, 07/27/2052			735		589,283

abfunds.com AB SUSTAINABLE THEMATIC CREDIT PORTFOLIO    ^|    21

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Intuit, Inc. 5.50%, 09/15/2053	U.S.$		880	$	799,255
Jabil, Inc. 4.25%, 05/15/2027			1,429		1,340,458
5.45%, 02/01/2029			115		110,587
KLA Corp. 5.00%, 03/15/2049			900		752,544
Lam Research Corp. 2.875%, 06/15/2050			1,220		707,974
3.125%, 06/15/2060			480		268,877
Micron Technology, Inc. 2.703%, 04/15/2032			2,298		1,705,866
5.375%, 04/15/2028			565		541,892
5.875%, 02/09/2033			144		133,832
6.75%, 11/01/2029			189		189,752
Microsoft Corp. 2.675%, 06/01/2060			500		276,015
NXP BV/NXP Funding LLC/NXP USA, Inc. 3.15%, 05/01/2027			515		465,617
3.25%, 05/11/2041			705		450,227
5.00%, 01/15/2033			365		324,537
Oracle Corp. 4.125%, 05/15/2045			673		466,919
4.65%, 05/06/2030			538		492,829
6.90%, 11/09/2052			489		481,546
QUALCOMM, Inc. 4.65%, 05/20/2035			1,465		1,335,031
Salesforce, Inc. 2.90%, 07/15/2051			642		377,346
SK Hynix, Inc. 6.375%, 01/17/2028(a)			485		479,519
Skyworks Solutions, Inc. 3.00%, 06/01/2031			2,426		1,859,174
Texas Instruments, Inc. 4.10%, 08/16/2052			272		199,970
4.60%, 02/15/2028			545		529,441
VMware, Inc. 4.70%, 05/15/2030			545		493,336
Western Digital Corp. 2.85%, 02/01/2029			956		744,385
3.10%, 02/01/2032			500		352,247
Workday, Inc. 3.70%, 04/01/2029			56		49,976
3.80%, 04/01/2032			694		576,901
					27,833,177

22    ^|    AB SUSTAINABLE THEMATIC CREDIT PORTFOLIO abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Transportation - Railroads – 1.0%
Canadian Pacific Railway Co. 5.95%, 05/15/2037	U.S.$		1,644	$	1,578,084
CSX Corp. 6.15%, 05/01/2037			599		597,085
					2,175,169
Transportation - Services – 0.2%
Ashtead Capital, Inc. 5.95%, 10/15/2033(a)			436		397,330
					115,420,041
Financial Institutions – 32.1%
Banking – 24.2%
ABN AMRO Bank NV 2.47%, 12/13/2029(a)			1,800		1,464,733
4.80%, 04/18/2026(a)			600		572,312
AIB Group PLC 4.263%, 04/10/2025(a)			1,133		1,118,380
Ally Financial, Inc. 6.992%, 06/13/2029			503		480,580
Banco Santander SA 2.749%, 12/03/2030			1,000		730,887
4.175%, 03/24/2028			400		366,417
4.25%, 04/11/2027			400		371,305
5.179%, 11/19/2025			200		193,091
5.294%, 08/18/2027			400		381,745
6.527%, 11/07/2027			400		400,077
Bank of America Corp. 2.884%, 10/22/2030			470		384,357
3.705%, 04/24/2028			530		483,953
3.846%, 03/08/2037			985		779,605
4.376%, 04/27/2028			375		349,849
Series U 8.806% (SOFR + 3.40%), 12/01/2023(c)(d)			394		394,322
Bank of Ireland Group PLC 6.253%, 09/16/2026(a)			1,009		999,294
Bank of New York Mellon Corp. (The) Series D 8.12% (SOFR + 2.72%), 12/20/2023(c)			446		428,167
Barclays PLC 4.375%, 09/11/2024			539		527,503
5.088%, 06/20/2030			535		463,427
6.224%, 05/09/2034			297		272,868
7.119%, 06/27/2034			321		299,781
7.385%, 11/02/2028			219		221,406

abfunds.com AB SUSTAINABLE THEMATIC CREDIT PORTFOLIO    ^|    23

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
BNP Paribas SA 2.159%, 09/15/2029(a)	U.S.$		1,475	$	1,200,479
2.871% (SOFR + 1.39%), 04/19/2032(a)(d)			200		153,030
6.625%, 03/25/2024(a)(c)			200		197,037
7.375%, 08/19/2025(a)(c)			690		669,627
8.50%, 08/14/2028(a)(c)			324		310,895
BPCE SA 4.625%, 07/11/2024(a)			855		839,723
5.15%, 07/21/2024(a)			375		369,614
5.975%, 01/18/2027(a)			277		272,519
CaixaBank SA 6.84%, 09/13/2034(a)			388		368,095
Capital One Financial Corp. 2.359%, 07/29/2032			726		480,517
5.468%, 02/01/2029			116		107,856
6.312%, 06/08/2029			365		349,287
7.624%, 10/30/2031			348		347,928
Citigroup, Inc. 7.625%, 11/15/2028(c)			216		208,370
Cooperatieve Rabobank UA 4.375%, 06/29/2027(a)(c)	EUR		200		186,789
Series E
4.00%, 04/10/2029(a)	U.S.$		800		786,766
Credit Agricole SA 1.247%, 01/26/2027(a)			1,285		1,145,907
6.316%, 10/03/2029(a)			325		319,924
Series E
0.125%, 12/09/2027	EUR		200		180,028
Deutsche Bank AG/New York NY 2.311%, 11/16/2027	U.S.$		877		758,369
3.742%, 01/07/2033			920		644,488
6.72%, 01/18/2029			249		244,187
7.079%, 02/10/2034			391		343,862
7.146%, 07/13/2027			203		202,803
Discover Financial Services 6.70%, 11/29/2032			213		197,282
Goldman Sachs Group, Inc. (The) 1.948%, 10/21/2027			805		705,939
Series P
8.501% (SOFR + 3.14%), 12/01/2023(c)			441		439,214
HSBC Holdings PLC 2.099%, 06/04/2026			563		524,338
3.973%, 05/22/2030			550		474,940
4.755%, 06/09/2028			513		480,311
5.887%, 08/14/2027			1,080		1,060,863
6.161%, 03/09/2029			200		195,885
6.547%, 06/20/2034			860		799,976

24    ^|    AB SUSTAINABLE THEMATIC CREDIT PORTFOLIO abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Intesa Sanpaolo SpA 3.875%, 01/12/2028(a)	U.S.$		460	$	407,202
5.017%, 06/26/2024(a)			730		716,401
Series XR 4.00%, 09/23/2029(a)			1,170		976,263
JPMorgan Chase & Co. 6.07%, 10/22/2027			650		649,154
Series Q 8.889% (SOFR + 3.51%), 02/01/2024(c)(d)			216		217,001
Series R 8.939% (SOFR + 3.56%), 02/01/2024(c)(d)			192		193,034
KBC Group NV 5.796%, 01/19/2029(a)			229		221,187
Lloyds Banking Group PLC 3.574%, 11/07/2028			310		275,326
4.65%, 03/24/2026			630		597,154
4.716%, 08/11/2026			380		368,203
5.871%, 03/06/2029			287		277,837
7.50%, 09/27/2025(c)			288		267,840
7.953%, 11/15/2033			533		540,272
M&T Bank Corp. 7.413%, 10/30/2029			1,067		1,069,950
Mitsubishi UFJ Financial Group, Inc. 0.848%, 07/19/2029(a)	EUR		200		179,115
1.64%, 10/13/2027	U.S.$		461		404,929
5.354%, 09/13/2028			370		358,226
5.541%, 04/17/2026			596		589,802
Mizuho Financial Group, Inc. 3.153%, 07/16/2030			565		474,856
5.414%, 09/13/2028			498		482,726
5.667%, 05/27/2029			485		472,068
5.739%, 05/27/2031			485		462,397
5.748%, 07/06/2034			259		241,672
Morgan Stanley 6.627%, 11/01/2034			431		430,354
Nationwide Building Society 2.972%, 02/16/2028(a)			1,065		946,991
6.557%, 10/18/2027(a)			410		409,322
NatWest Group PLC 3.073%, 05/22/2028			551		487,588
4.269%, 03/22/2025			403		398,959
PNC Financial Services Group, Inc. (The) 5.068%, 01/24/2034			190		167,057
6.875%, 10/20/2034			392		391,763
Santander Holdings USA, Inc. 4.26%, 06/09/2025			290		283,623
5.807%, 09/09/2026			659		644,248

abfunds.com AB SUSTAINABLE THEMATIC CREDIT PORTFOLIO    ^|    25

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
6.499%, 03/09/2029	U.S.$		419	$	405,232
6.565%, 06/12/2029			499		481,402
Santander UK Group Holdings PLC 2.469%, 01/11/2028			514		444,111
6.534%, 01/10/2029			489		478,305
6.833%, 11/21/2026			905		903,802
Shinhan Bank Co., Ltd. 4.375%, 04/13/2032(a)			385		327,335
Societe Generale SA 2.797%, 01/19/2028(a)			960		845,045
2.889%, 06/09/2032(a)			1,480		1,090,516
Standard Chartered PLC 2.608%, 01/12/2028(a)			920		808,416
6.187%, 07/06/2027(a)			390		386,162
Sumitomo Mitsui Financial Group, Inc. 2.472%, 01/14/2029			920		766,935
Svenska Handelsbanken AB 4.75%, 03/01/2031(a)(c)			1,000		749,160
Synchrony Bank 5.625%, 08/23/2027			570		521,816
UniCredit SpA 1.982%, 06/03/2027(a)			621		547,526
US Bancorp 6.787%, 10/26/2027			426		428,954
Westpac Banking Corp. Series G 4.322%, 11/23/2031			554		511,608
					51,549,752
Finance – 0.2%
Synchrony Financial 3.95%, 12/01/2027			295		252,862
4.875%, 06/13/2025			285		270,112
					522,974
Insurance – 2.5%
Allianz SE 3.20%, 10/30/2027(a)(c)			1,400		994,693
Assicurazioni Generali SpA Series E 2.124%, 10/01/2030(a)	EUR		545		463,634
2.429%, 07/14/2031(a)			470		394,837
Centene Corp. 2.50%, 03/01/2031	U.S.$		1,295		980,693
2.625%, 08/01/2031			708		533,826
Humana, Inc. 2.15%, 02/03/2032			635		467,755
5.75%, 03/01/2028			177		176,225

26    ^|    AB SUSTAINABLE THEMATIC CREDIT PORTFOLIO abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Prudential Financial, Inc. 5.20%, 03/15/2044	U.S.$		1,150	$	1,134,112
Zurich Finance Ireland Designated Activity Co. Series E 3.00%, 04/19/2051(a)			200		149,098
					5,294,873
Other Finance – 0.1%
GPS Blue Financing DAC 5.645%, 11/09/2041(a)			200		188,100
REITs – 5.1%
Alexandria Real Estate Equities, Inc. 2.00%, 05/18/2032			385		270,644
2.95%, 03/15/2034			1,158		844,533
American Tower Corp. 2.10%, 06/15/2030			163		124,162
2.95%, 01/15/2051			475		252,844
3.70%, 10/15/2049			510		315,517
3.80%, 08/15/2029			285		249,412
5.25%, 07/15/2028			270		257,684
5.55%, 07/15/2033			361		332,440
5.80%, 11/15/2028			424		414,117
Boston Properties LP 2.45%, 10/01/2033			300		194,975
4.50%, 12/01/2028			1,400		1,230,758
6.75%, 12/01/2027			183		179,979
Crown Castle, Inc. 3.10%, 11/15/2029			587		486,781
Digital Dutch Finco BV 1.00%, 01/15/2032(a)	EUR		800		608,595
Equinix, Inc. 1.55%, 03/15/2028	U.S.$		1,540		1,277,185
2.15%, 07/15/2030			711		545,567
3.90%, 04/15/2032			762		634,035
Kilroy Realty LP 4.75%, 12/15/2028			242		212,696
Omega Healthcare Investors, Inc. 3.25%, 04/15/2033			765		544,496
Prologis LP 1.25%, 10/15/2030			1,155		845,063
3.00%, 04/15/2050			240		138,326
Simon Property Group LP 5.85%, 03/08/2053			384		333,697
Ventas Realty LP 5.70%, 09/30/2043			290		239,140
Weyerhaeuser Co. 3.375%, 03/09/2033			390		309,396

abfunds.com AB SUSTAINABLE THEMATIC CREDIT PORTFOLIO    ^|    27

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
7.375%, 03/15/2032	U.S.$		22	$	23,201
					10,865,243
					68,420,942
Utility – 7.9%
Electric – 7.6%
Avangrid, Inc. 3.20%, 04/15/2025			1,515		1,450,291
3.80%, 06/01/2029			673		591,374
Commonwealth Edison Co. 3.00%, 03/01/2050			205		118,310
Series 133
3.85%, 03/15/2052			465		316,106
Consolidated Edison Co. of New York, Inc. 3.70%, 11/15/2059			505		310,502
4.50%, 05/15/2058			855		614,102
Series 05-A
5.30%, 03/01/2035			225		204,510
Series A
4.125%, 05/15/2049			155		109,029
Consorcio Transmantaro SA 4.70%, 04/16/2034(a)			890		769,601
EDP Finance BV 1.71%, 01/24/2028(a)			2,720		2,285,386
Electricite de France SA 9.125%, 03/15/2033(a)(c)			206		210,749
Enel Finance International NV 2.25%, 07/12/2031(a)			1,270		934,737
6.80%, 09/15/2037(a)			280		273,142
7.50%, 10/14/2032(a)			200		207,346
Engie SA 3.25%, 11/28/2024(a)(c)	EUR		200		206,065
Florida Power & Light Co. 5.30%, 04/01/2053	U.S.$		595		520,272
Iberdrola International BV Series NC9 1.825%, 08/09/2029(a)(c)	EUR		1,100		910,897
National Grid PLC 5.809%, 06/12/2033	U.S.$		339		320,700
NextEra Energy Capital Holdings, Inc. 1.90%, 06/15/2028			1,381		1,152,877
2.25%, 06/01/2030			440		342,821
4.80%, 12/01/2077			325		273,301
5.00%, 07/15/2032			540		490,900
Niagara Mohawk Power Corp. 1.96%, 06/27/2030(a)			1,611		1,232,976

28    ^|    AB SUSTAINABLE THEMATIC CREDIT PORTFOLIO abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Public Service Electric and Gas Co. 3.10%, 03/15/2032	U.S.$		1,219	$	998,707
3.80%, 03/01/2046			615		434,167
3.85%, 05/01/2049			460		321,467
San Diego Gas & Electric Co. Series WWW 2.95%, 08/15/2051			1,275		723,944
					16,324,279
Other Utility – 0.3%
American Water Capital Corp. 3.25%, 06/01/2051			735		453,066
3.45%, 05/01/2050			195		124,725
					577,791
					16,902,070
Total Corporates - Investment Grade (cost $237,994,975)					200,743,053
CORPORATES - NON-INVESTMENT GRADE – 2.1%
Industrial – 1.6%
Capital Goods – 0.3%
Clean Harbors, Inc. 4.875%, 07/15/2027(a)			95		88,664
GFL Environmental, Inc. 4.375%, 08/15/2029(a)			251		214,054
5.125%, 12/15/2026(a)			445		423,472
					726,190
Communications - Media – 0.3%
CCO Holdings LLC/CCO Holdings Capital Corp. 4.75%, 02/01/2032(a)			889		694,004
Consumer Cyclical - Automotive – 0.5%
Dana, Inc. 4.25%, 09/01/2030			935		741,458
ZF North America Capital, Inc. 6.875%, 04/14/2028(a)			200		194,211
7.125%, 04/14/2030(a)			200		194,258
					1,129,927
Consumer Non-Cyclical – 0.2%
US Acute Care Solutions LLC 6.375%, 03/01/2026(a)			455		388,723
Services – 0.1%
Block, Inc. 3.50%, 06/01/2031			200		154,744

abfunds.com AB SUSTAINABLE THEMATIC CREDIT PORTFOLIO    ^|    29

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Technology – 0.2%
Seagate HDD Cayman 8.25%, 12/15/2029(a)	U.S.$		305	$	310,499
					3,404,087
Financial Institutions – 0.5%
REITs – 0.5%
MPT Operating Partnership LP/MPT Finance Corp. 5.00%, 10/15/2027			1,445		1,119,422
Total Corporates - Non-Investment Grade (cost $5,477,818)					4,523,509
EMERGING MARKETS - CORPORATE BONDS – 1.1%
Industrial – 0.9%
Basic – 0.8%
Klabin Austria GmbH 3.20%, 01/12/2031(a)			2,040		1,558,050
Energy – 0.1%
ReNew Pvt Ltd. 5.875%, 03/05/2027(a)			300		272,760
					1,830,810
Financial Institutions – 0.2%
Banking – 0.2%
Itau Unibanco Holding SA/Cayman Island 3.875%, 04/15/2031(a)			480		442,500
Total Emerging Markets - Corporate Bonds (cost $2,796,675)					2,273,310
SUPRANATIONALS – 0.4%
International Bank for Reconstruction & Development Zero Coupon, 03/31/2027 (cost $935,554)			970		861,622
GOVERNMENTS - SOVEREIGN BONDS – 0.3%
Chile – 0.3%
Chile Electricity Lux MPC SARL 6.01%, 01/20/2033(a) (cost $537,533)			535		519,510

30    ^|    AB SUSTAINABLE THEMATIC CREDIT PORTFOLIO abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
LOCAL GOVERNMENTS - US MUNICIPAL BONDS – 0.0%
United States – 0.0%
Metropolitan Transportation Authority Series 2020-C 5.175%, 11/15/2049 (cost $77,199)	U.S.$		65	$	53,346
		Shares
SHORT-TERM INVESTMENTS – 1.2%
Investment Companies – 1.2%
AB Fixed Income Shares, Inc. – Government Money Market Portfolio – Class AB, 5.27%(e)(f)(g) (cost $2,525,189)			2,525,189		2,525,189
		Principal Amount (000)
Time Deposits – 0.0%
SEB, Stockholm 2.85%, 11/01/2023 (cost $43,216)	EUR		41		43,216
Total Short-Term Investments (cost $2,568,405)					2,568,405
Total Investments – 99.2% (cost $250,388,159)					211,542,755
Other assets less liabilities – 0.8%					1,797,562
Net Assets – 100.0%				$	213,340,317

FUTURES (see Note D)

Description	Number of Contracts		Expiration Month		Current Notional		Value and Unrealized Appreciation (Depreciation)
Purchased Contracts
U.S. T-Note 2 Yr (CBT) Futures		45		December 2023	$	9,108,984	$	(9,359	)
U.S. Ultra Bond (CBT) Futures		110		December 2023		12,381,875		(1,441,844	)
Sold Contracts
Euro-BOBL Futures		5		December 2023		615,232		3,227
Euro-Bund Futures		10		December 2023		1,364,843		24,866
Euro-Schatz Futures		6		December 2023		667,714		1,169
U.S. 10 Yr Ultra Futures		98		December 2023		10,665,156		357,023
U.S. T-Note 5 Yr (CBT) Futures		30		December 2023		3,134,297		16
							$	(1,064,902	)

abfunds.com AB SUSTAINABLE THEMATIC CREDIT PORTFOLIO    ^|    31

PORTFOLIO OF INVESTMENTS (continued)

FORWARD CURRENCY EXCHANGE CONTRACTS (see Note D)

Counterparty	Contracts to Deliver (000)			In Exchange For (000)			Settlement Date		Unrealized Appreciation (Depreciation)
Morgan Stanley Capital Services LLC		EUR	3,075		USD	3,276		01/10/2024	$	11,171

(a) Security is exempt from registration under Rule 144A or Regulation S of the Securities Act of 1933. These securities are considered restricted, but liquid and may be resold in transactions exempt from registration. At October 31, 2023, the aggregate market value of these securities amounted to $44,182,700 or 20.7% of net assets.

(b) Coupon rate adjusts periodically based upon a predetermined schedule. Stated interest rate in effect at October 31, 2023.

(c) Securities are perpetual and, thus, do not have a predetermined maturity date. The date shown, if applicable, reflects the next call date.

(d) Floating Rate Security. Stated interest/floor/ceiling rate was in effect at October 31, 2023.

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

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

(g) Affiliated investments.

Currency Abbreviations:

EUR – Euro

USD – United States Dollar

Glossary:

BOBL – Bundesobligationen

CBT – Chicago Board of Trade

REIT – Real Estate Investment Trust

SOFR – Secured Overnight Financing Rate

See notes to financial statements.

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STATEMENT OF ASSETS & LIABILITIES

October 31, 2023

Assets
Investments in securities, at value Unaffiliated issuers (cost $247,862,970)	$	209,017,566
Affiliated issuers (cost $2,525,189)		2,525,189
Cash collateral due from broker		551,891
Foreign currencies, at value (cost $114)		114
Unaffiliated interest receivable		2,519,757
Receivable for investment securities sold		1,439,431
Receivable for capital stock sold		27,970
Affiliated dividends receivable		18,747
Receivable for variation margin on futures		17,191
Unrealized appreciation on forward currency exchange contracts		11,171
Total assets		216,129,027
Liabilities
Due to Custodian		407
Payable for investment securities purchased		2,338,003
Dividends payable		148,938
Advisory fee payable		63,513
Payable for capital stock redeemed		44,205
Administrative fee payable		24,201
Transfer Agent fee payable		3,000
Distribution fee payable		12
Accrued expenses		166,431
Total liabilities		2,788,710
Net Assets	$	213,340,317
Composition of Net Assets
Capital stock, at par	$	27,902
Additional paid-in capital		268,317,672
Accumulated loss		(55,005,257	)
	$	213,340,317

Net Asset Value Per Share—30 billion shares of capital stock authorized, $.001 par value

Class	Net Assets		Shares Outstanding		Net Asset Value
A	$	59,193		7,741	$	7.65	*
Advisor	$	213,281,124		27,894,731	$	7.65

* The maximum offering price per share for Class A shares was $7.99, which reflects a sales charge of 4.25%.

See notes to financial statements.

abfunds.com AB SUSTAINABLE THEMATIC CREDIT PORTFOLIO    ^|    33

STATEMENT OF OPERATIONS

Year Ended October 31, 2023

Investment Income
Interest (net of foreign taxes withheld of $3,153)	$	8,111,702
Dividends
Affiliated issuers		128,495
Unaffiliated issuers		10,891
Other income		8,051		$	8,259,139
Expenses
Advisory fee (see Note B)		915,584
Transfer agency—Class A		6
Transfer agency—Advisor Class		21,575
Distribution fee—Class A		154
Custody and accounting		116,823
Administrative		105,758
Audit and tax		66,413
Legal		40,721
Registration fees		34,142
Printing		27,236
Directors’ fees		19,352
Miscellaneous		19,689
Total expenses		1,367,453
Less: expenses waived and reimbursed by the Adviser (see Note B)		(149,159	)
Net expenses					1,218,294
Net investment income					7,040,845
Realized and Unrealized Gain (Loss) on Investment and Foreign Currency Transactions
Net realized gain (loss) on:
Investment transactions					(7,391,450	)
Forward currency exchange contracts					(281,518	)
Futures					(719,798	)
Foreign currency transactions					12,676
Net change in unrealized appreciation (depreciation) on:
Investments					4,940,098
Forward currency exchange contracts					130,505
Futures					(502,859	)
Foreign currency denominated assets and liabilities					1,252
Net loss on investment and foreign currency transactions					(3,811,094	)
Net Increase in Net Assets from Operations				$	3,229,751

See notes to financial statements.

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STATEMENT OF CHANGES IN NET ASSETS

	Year Ended October 31, 2023			Year Ended October 31, 2022
Increase (Decrease) in Net Assets from Operations
Net investment income	$	7,040,845		$	4,257,987
Net realized loss on investment and foreign currency transactions		(8,380,090	)		(5,373,851	)
Net change in unrealized appreciation (depreciation) on investments and foreign currency denominated assets and liabilities		4,568,996			(43,944,475	)
Net increase (decrease) in net assets from operations		3,229,751			(45,060,339	)
Distributions to Shareholders
Class A		(2,194	)		(1,743	)
Advisor Class		(7,739,111	)		(5,232,202	)
Capital Stock Transactions
Net increase		40,708,290			58,179,131
Total increase		36,196,736			7,884,847
Net Assets
Beginning of period		177,143,581			169,258,734
End of period	$	213,340,317		$	177,143,581

See notes to financial statements.

abfunds.com AB SUSTAINABLE THEMATIC CREDIT PORTFOLIO    ^|    35

NOTES TO FINANCIAL STATEMENTS

October 31, 2023

NOTE A

Significant Accounting Policies

AB Bond Fund, Inc. (the “Company”) is registered under the Investment Company Act of 1940 (the “1940 Act”) as an open-end management investment company. The Company, which is a Maryland corporation, operates as a series company comprised of nine portfolios currently in operation. Each portfolio is considered to be a separate entity for financial reporting and tax purposes. This report relates only to the AB Sustainable Thematic Credit Portfolio (the “Fund”), a non-diversified portfolio. The Fund has authorized the issuance of Class A, Class C, Advisor Class, Class R, Class K, Class I, Class Z, Class T, Class 1 and Class 2 shares. Class C, Class R, Class K, Class I, Class Z, Class T, Class 1 and Class 2 shares have not been issued as of October 31, 2023. Class A shares are sold with a front-end sales charge of up to 4.25% for purchases not exceeding $1,000,000. With respect to purchases of $1,000,000 or more, Class A shares redeemed within one year of purchase may be subject to a contingent deferred sales charge of 1%. Advisor Class shares are sold without an initial or contingent deferred sales charge and are not subject to ongoing distribution expenses. All 10 classes of shares have identical voting, dividend, liquidation and other rights, except that the classes bear different distribution and transfer agency expenses. Each class has exclusive voting rights with respect to its distribution plan. The financial statements have been prepared in conformity with U.S. generally accepted accounting principles (“U.S. GAAP”), which require management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities in the financial statements and amounts of income and expenses during the reporting period. Actual results could differ from those estimates. The Fund is an investment company under U.S. GAAP and follows the accounting and reporting guidance applicable to investment companies. The following is a summary of significant accounting policies followed by the Fund.

1. Security Valuation

Portfolio securities are valued at market value determined on the basis of market quotations or, if market quotations are not readily available or are unreliable, at “fair value” as determined in accordance with procedures approved by and under the oversight of the Company’s Board of Directors (the “Board”). Pursuant to these procedures, AllianceBernstein L.P. (the “Adviser”) serves as the Company’s valuation designee pursuant to Rule 2a-5 of the 1940 Act. In this capacity, the Adviser is responsible, among other things, for making all fair value determinations relating to the Company’s portfolio investments, subject to the Board’s oversight.

In general, the market values of securities which are readily available and deemed reliable are determined as follows: securities listed on a national

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NOTES TO FINANCIAL STATEMENTS (continued)

securities exchange (other than securities listed on the NASDAQ Stock Market, Inc. (“NASDAQ”)) or on a foreign securities exchange are valued at the last sale price at the close of the exchange or foreign securities exchange. If there has been no sale on such day, the securities are valued at the last traded price from the previous day. Securities listed on more than one exchange are valued by reference to the principal exchange on which the securities are traded; securities listed only on NASDAQ are valued in accordance with the NASDAQ Official Closing Price; listed or over the counter (“OTC”) market put or call options are valued at the mid level between the current bid and ask prices. If either a current bid or current ask price is unavailable, the Adviser will have discretion to determine the best valuation (e.g., last trade price in the case of listed options); open futures are valued using the closing settlement price or, in the absence of such a price, the most recent quoted bid price. If there are no quotations available for the day of valuation, the last available closing settlement price is used; U.S. Government securities and any other debt instruments having 60 days or less remaining until maturity are generally valued at market by an independent pricing vendor, if a market price is available. If a market price is not available, the securities are valued at amortized cost. This methodology is commonly used for short term securities that have an original maturity of 60 days or less, as well as short term securities that had an original term to maturity that exceeded 60 days. In instances when amortized cost is utilized, the Valuation Committee (the “Committee”) must reasonably conclude that the utilization of amortized cost is approximately the same as the fair value of the security. Factors the Committee will consider include, but are not limited to, an impairment of the creditworthiness of the issuer or material changes in interest rates. Fixed-income securities, including mortgage-backed and asset-backed securities, may be valued on the basis of prices provided by a pricing service or at a price obtained from one or more of the major broker-dealers. In cases where broker-dealer quotes are obtained, the Adviser may establish procedures whereby changes in market yields or spreads are used to adjust, on a daily basis, a recently obtained quoted price on a security. Swaps and other derivatives are valued daily, primarily using independent pricing services, independent pricing models using market inputs, as well as third party broker-dealers or counterparties. Open-end mutual funds are valued at the closing net asset value per share, while exchange traded funds are valued at the closing market price per share.

Securities for which market quotations are not readily available (including restricted securities) or are deemed unreliable are valued at fair value as deemed appropriate by the Adviser. Factors considered in making this determination may include, but are not limited to, information obtained by contacting the issuer, analysts, analysis of the issuer’s financial statements or other available documents. In addition, the Fund may use fair value

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NOTES TO FINANCIAL STATEMENTS (continued)

pricing for securities primarily traded in non-U.S. markets because most foreign markets close well before the Fund values its securities at 4:00 p.m., Eastern Time. The earlier close of these foreign markets gives rise to the possibility that significant events, including broad market moves, may have occurred in the interim and may materially affect the value of those securities. To account for this, the Fund generally values many of its foreign equity securities using fair value prices based on third party vendor modeling tools to the extent available.

2. Fair Value Measurements

In accordance with U.S. GAAP regarding fair value measurements, fair value is defined as the price that the Fund would receive to sell an asset or pay to transfer a liability in an orderly transaction between market participants at the measurement date. U.S. GAAP establishes a framework for measuring fair value, and a three-level hierarchy for fair value measurements based upon the transparency of inputs to the valuation of an asset or liability (including those valued based on their market values as described in Note A.1 above). Inputs may be observable or unobservable and refer broadly to the assumptions that market participants would use in pricing the asset or liability. Observable inputs reflect the assumptions market participants would use in pricing the asset or liability based on market data obtained from sources independent of the Fund. Unobservable inputs reflect the Fund’s own assumptions about the assumptions that market participants would use in pricing the asset or liability based on the best information available in the circumstances. Each investment is assigned a level based upon the observability of the inputs which are significant to the overall valuation. The three-tier hierarchy of inputs is summarized below.

• Level 1—quoted prices in active markets for identical investments

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

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

The fair value of debt instruments, such as bonds, and over-the-counter derivatives is generally based on market price quotations, recently executed market transactions (where observable) or industry recognized modeling techniques and are generally classified as Level 2. Pricing vendor inputs to Level 2 valuations may include quoted prices for similar investments in active markets, interest rate curves, coupon rates, currency rates, yield curves, option adjusted spreads, default rates, credit spreads and other unique security features in order to estimate the relevant cash flows

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NOTES TO FINANCIAL STATEMENTS (continued)

which are then discounted to calculate fair values. If these inputs are unobservable and significant to the fair value, these investments will be classified as Level 3.

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

Other fixed income investments, including non-U.S. government and corporate debt, are generally valued using quoted market prices, if available, which are typically impacted by current interest rates, maturity dates and any perceived credit risk of the issuer. Additionally, in the absence of quoted market prices, these inputs are used by pricing vendors to derive a valuation based upon industry or proprietary models which incorporate issuer specific data with relevant yield/spread comparisons with more widely quoted bonds with similar key characteristics. Those investments for which there are observable inputs are classified as Level 2. Where the inputs are not observable, the investments are classified as Level 3.

The following table summarizes the valuation of the Fund’s investments by the above fair value hierarchy levels as of October 31, 2023:

Investments in Securities	Level 1			Level 2			Level 3			Total
Assets:
Corporates – Investment Grade	$	– 0	–	$	200,743,053		$	– 0	–	$	200,743,053
Corporates – Non-Investment Grade		– 0	–		4,523,509			– 0	–		4,523,509
Emerging Markets – Corporate Bonds		– 0	–		2,273,310			– 0	–		2,273,310
Supranationals		– 0	–		861,622			– 0	–		861,622
Governments – Sovereign Bonds		– 0	–		519,510			– 0	–		519,510
Local Governments – US Municipal Bonds		– 0	–		53,346			– 0	–		53,346
Short-Term Investments:
Investment Companies		2,525,189			– 0	–		– 0	–		2,525,189
Time Deposits		– 0	–		43,216			– 0	–		43,216
Total Investments in Securities		2,525,189			209,017,566			– 0	–		211,542,755

abfunds.com AB SUSTAINABLE THEMATIC CREDIT PORTFOLIO    ^|    39

NOTES TO FINANCIAL STATEMENTS (continued)

Investments in Securities

Level 1

Level 2

Level 3

Total

Other Financial Instruments*:

Assets

Futures

$

386,301

$

– 0

–

$

– 0

–

$

386,301

†

Forward Currency Exchange Contracts

– 0

–

11,171

– 0

–

11,171

Liabilities

Futures

(1,451,203

)

– 0

–

– 0

–

(1,451,203

)†

Total

$

1,460,287

$

209,028,737

$

– 0

–

$

210,489,024

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

† Only variation margin receivable (payable) at period end is reported within the statement of assets and liabilities. This amount reflects cumulative unrealized appreciation (depreciation) on futures and centrally cleared swaps as reported in the portfolio of investments. Where applicable, centrally cleared swaps with upfront premiums are presented here at market value.

3. Currency Translation

Assets and liabilities denominated in foreign currencies and commitments under forward currency exchange contracts are translated into U.S. dollars at the mean of the quoted bid and ask prices of such currencies against the U.S. dollar. Purchases and sales of portfolio securities are translated into U.S. dollars at the rates of exchange prevailing when such securities were acquired or sold. Income and expenses are translated into U.S. dollars at the rates of exchange prevailing when accrued.

Net realized gain or loss on foreign currency transactions represents foreign exchange gains and losses from sales and maturities of foreign fixed income investments, holding of foreign currencies, currency gains or losses realized between the trade and settlement dates on foreign investment transactions, and the difference between the amounts of dividends, interest and foreign withholding taxes recorded on the Fund’s books and the U.S. dollar equivalent amounts actually received or paid. Net unrealized currency gains and losses from valuing foreign currency denominated assets and liabilities at period end exchange rates are reflected as a component of net unrealized appreciation or depreciation of foreign currency denominated assets and liabilities.

4. Taxes

It is the Fund’s policy to meet the requirements of the Internal Revenue Code applicable to regulated investment companies and to distribute all of its investment company taxable income and net realized gains, if any, to shareholders. Therefore, no provisions for federal income or excise taxes are required. The Fund may be subject to taxes imposed by countries in which it invests. Such taxes are generally based on income and/or capital gains earned or repatriated. Taxes are accrued and applied to net investment income, net realized gains and net unrealized appreciation/depreciation as such income and/or gains are earned.

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NOTES TO FINANCIAL STATEMENTS (continued)

In accordance with U.S. GAAP requirements regarding accounting for uncertainties in income taxes, management has analyzed the Fund’s tax positions taken or expected to be taken on federal and state income tax returns for all open tax years (the current and the prior two tax years) and has concluded that no provision for income tax is required in the Fund’s financial statements.

5. Investment Income and Investment Transactions

Dividend income is recorded on the ex-dividend date or as soon as the Fund is informed of the dividend. Interest income is accrued daily. Investment transactions are accounted for on the date the securities are purchased or sold. Investment gains or losses are determined on the identified cost basis. Non-cash dividends, if any, are recorded on the ex-dividend date at the fair value of the securities received. The Fund amortizes premiums and accretes discounts as adjustments to interest income. The Fund accounts for distributions received from REIT investments or from regulated investment companies as dividend income, realized gain, or return of capital based on information provided by the REIT or the investment company.

6. Class Allocations

All income earned and expenses incurred by the Fund are borne on a pro-rata basis by each settled class of shares, based on the proportionate interest in the Fund represented by the net assets of such class, except for class specific expenses which are allocated to the respective class. Expenses of the Company are charged proportionately to each portfolio or based on other appropriate methods. Realized and unrealized gains and losses are allocated among the various share classes based on respective net assets.

7. Dividends and Distributions

Dividends and distributions to shareholders, if any, are recorded on the ex-dividend date. Income dividends and capital gains distributions are determined in accordance with federal tax regulations and may differ from those determined in accordance with U.S. GAAP. To the extent these differences are permanent, such amounts are reclassified within the capital accounts based on their federal tax basis treatment; temporary differences do not require such reclassification.

8. Offering Expenses

Offering expenses of $128,373 were deferred and amortized on a straight line basis over a one year period starting from May 10, 2021 (commencement of operations).

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NOTES TO FINANCIAL STATEMENTS (continued)

NOTE B

Advisory Fee and Other Transactions with Affiliates

Under the terms of the investment advisory agreement, the Fund pays the Adviser an advisory fee at an annual rate of .45% of the first $2.5 billion, .40% of the next $2.5 billion and .35% in excess of $5 billion of the Fund’s average daily net assets. The fee is accrued daily and paid monthly. The Adviser has agreed to waive its fees and bear certain expenses to the extent necessary to limit total operating (excluding acquired fund fees and expenses other than the advisory fees of any AB mutual funds in which the Fund may invest, interest expense, taxes, extraordinary expenses, and brokerage commissions and other transaction costs), on an annual basis (the “Expense Caps”) to .85% and .60% of the daily average net assets for Class A and Advisor Class, respectively. For the year ended October 31, 2023, such reimbursements/waivers amounted to $146,423. The Expense Caps may not be terminated by the Adviser before January 31, 2024. Any fees waived and expenses borne by the Adviser through May 10, 2022 are subject to repayment by the Fund until the end of the third fiscal year after the fiscal period in which the fee was waived or the expense was borne; such waivers that are subject to repayment amounted to $122,942 for the fiscal period ended October 31, 2021 and $222,462 for the year ended October 31, 2022. In any case, no repayment will be made that would cause the Fund’s total annual operating expenses to exceed the Expense Caps’ net fee percentages set forth above.

Pursuant to the investment advisory agreement, the Fund may reimburse the Adviser for certain legal and accounting services provided to the Fund by the Adviser. For the year ended October 31, 2023, the reimbursement for such services amounted to $105,758.

The Fund compensates AllianceBernstein Investor Services, Inc. (“ABIS”), a wholly-owned subsidiary of the Adviser, under a Transfer Agency Agreement for providing personnel and facilities to perform transfer agency services for the Fund. ABIS may make payments to intermediaries that provide omnibus account services, sub-accounting services and/or networking services. Such compensation retained by ABIS amounted to $18,000 for the year ended October 31, 2023.

AllianceBernstein Investments, Inc. (the “Distributor”), a wholly-owned subsidiary of the Adviser, serves as the distributor of the Fund’s shares. The Distributor has advised the Fund that it has retained front-end sales charges of $0 from the sale of Class A shares and received no contingent deferred sales charges imposed upon redemptions by shareholders of Class A shares, for the year ended October 31, 2023.

The Fund may invest in AB Government Money Market Portfolio (the “Government Money Market Portfolio”) which has a contractual annual

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NOTES TO FINANCIAL STATEMENTS (continued)

advisory fee rate of .20% of the portfolio’s average daily net assets and bears its own expenses. The Adviser had contractually agreed to waive .10% of the advisory fee of Government Money Market Portfolio (resulting in a net advisory fee of .10%) until August 31, 2023. Effective September 1, 2023, the Adviser has contractually agreed to waive .05% of the advisory fee of Government Money Market Portfolio (resulting in a net advisory fee of .15%) until August 31, 2024. In connection with the investment by the Fund in Government Money Market Portfolio, the Adviser has contractually agreed to waive its advisory fee from the Fund in an amount equal to the Fund’s pro rata share of the effective advisory fee of Government Money Market Portfolio, as borne indirectly by the Fund as an acquired fund fee and expense. For the year ended October 31, 2023, such waiver amounted to $2,736.

A summary of the Fund’s transactions in AB mutual funds for the year ended October 31, 2023 is as follows:

Fund	Market Value 10/31/22 (000)		Purchases at Cost (000)		Sales Proceeds (000)		Market Value 10/31/23 (000)		Dividend Income (000)
Government Money Market Portfolio	$	6,929	$	61,752	$	66,156	$	2,525	$	128

NOTE C

Distribution Services Agreement

The Fund has adopted a Distribution Services Agreement (the “Agreement”) pursuant to Rule 12b-1 under the Investment Company Act of 1940. Under the Agreement, the Fund pays distribution and servicing fees to the Distributor at an annual rate of up to .25% of the Fund’s average daily net assets attributable to Class A shares. There are no distribution and servicing fees on the Advisor Class. The fees are accrued daily and paid monthly. The Agreement provides that the Distributor will use such payments in their entirety for distribution assistance and promotional activities. In accordance with the Agreement, there is no provision for recovery of unreimbursed distribution costs incurred by the Distributor beyond the current fiscal year for Class A shares. The Agreement also provides that the Adviser may use its own resources to finance the distribution of the Fund’s shares.

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NOTES TO FINANCIAL STATEMENTS (continued)

NOTE D

Investment Transactions

Purchases and sales of investment securities (excluding short-term investments) for the year ended October 31, 2023, were as follows:

	Purchases			Sales
Investment securities (excluding U.S. government securities)	$	101,923,774		$	56,137,683
U.S. government securities		– 0	–		2,829,322

The cost of investments for federal income tax purposes, gross unrealized appreciation and unrealized depreciation are as follows:

Cost	$	250,667,834
Gross unrealized appreciation	$	1,224,214
Gross unrealized depreciation		(40,349,293	)
Net unrealized depreciation	$	(39,125,079	)

1. Derivative Financial Instruments

The Fund may use derivatives in an effort to earn income and enhance returns, to replace more traditional direct investments, to obtain exposure to otherwise inaccessible markets (collectively, “investment purposes”), or to hedge or adjust the risk profile of its portfolio.

The principal types of derivatives utilized by the Fund, as well as the methods in which they may be used are:

• Forward Currency Exchange Contracts

The Fund may enter into forward currency exchange contracts in order to hedge its exposure to changes in foreign currency exchange rates on its foreign portfolio holdings, to hedge certain firm purchase and sale commitments denominated in foreign currencies and for non-hedging purposes as a means of making direct investments in foreign currencies, as described below under “Currency Transactions”.

A forward currency exchange contract is a commitment to purchase or sell a foreign currency at a future date at a negotiated forward rate. The gain or loss arising from the difference between the original contract and the closing of such contract would be included in net realized gain or loss on forward currency exchange contracts. Fluctuations in the value of open forward currency exchange contracts are recorded for financial reporting purposes as unrealized appreciation and/or depreciation by the Fund. Risks may arise from the potential inability of a counterparty to meet the terms of a contract and from unanticipated movements in the value of a foreign currency relative to the U.S. dollar.

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NOTES TO FINANCIAL STATEMENTS (continued)

During the year ended October 31, 2023, the Fund held forward currency exchange contracts for hedging purposes.

• Futures

The Fund may buy or sell futures for investment purposes or for the purpose of hedging its portfolio against adverse effects of potential movements in the market. The Fund bears the market risk that arises from changes in the value of these instruments and the imperfect correlation between movements in the price of the futures and movements in the price of the assets, reference rates or indices which they are designed to track. Among other things, the Fund may purchase or sell futures for foreign currencies or options thereon for non-hedging purposes as a means of making direct investment in foreign currencies, as described below under “Currency Transactions”.

At the time the Fund enters into futures, the Fund deposits and maintains as collateral an initial margin with the broker, as required by the exchange on which the transaction is effected. Such amount is shown as cash collateral due from broker on the statement of assets and liabilities. Pursuant to the contract, the Fund agrees to receive from or pay to the broker an amount of cash equal to the daily fluctuation in the value of the contract. Such receipts or payments are known as variation margin and are recorded by the Fund as unrealized gains or losses. Risks may arise from the potential inability of a counterparty to meet the terms of the contract. The credit/counterparty risk for exchange-traded futures is generally less than privately negotiated futures, since the clearinghouse, which is the issuer or counterparty to each exchange-traded future, has robust risk mitigation standards, including the requirement to provide initial and variation margin. 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 time it was closed.

Use of long futures subjects the Fund to risk of loss in excess of the amounts shown on the statement of assets and liabilities, up to the notional value of the futures. Use of short futures subjects the Fund to unlimited risk of loss. Under some circumstances, futures exchanges may establish daily limits on the amount that the price of futures can vary from the previous day’s settlement price, which could effectively prevent liquidation of unfavorable positions.

During the year ended October 31, 2023, the Fund held futures for hedging purposes.

The Fund typically enters into International Swaps and Derivatives Association, Inc. Master Agreements (“ISDA Master Agreement”) with its OTC derivative contract counterparties in order to, among other things, reduce

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NOTES TO FINANCIAL STATEMENTS (continued)

its credit risk to OTC counterparties. ISDA Master Agreements include provisions for general obligations, representations, collateral and events of default or termination. Under an ISDA Master Agreement, the Fund typically may offset with the OTC counterparty certain derivative financial instruments’ payables and/or receivables with collateral held and/or posted and create one single net payment (close-out netting) in the event of default or termination. In the event of a default by an OTC counterparty, the return of collateral with market value in excess of the Fund’s net liability, held by the defaulting party, may be delayed or denied.

The Fund’s ISDA Master Agreements may contain provisions for early termination of OTC derivative transactions in the event the net assets of the Fund decline below specific levels (“net asset contingent features”). If these levels are triggered, the Fund’s OTC counterparty has the right to terminate such transaction and require the Fund to pay or receive a settlement amount in connection with the terminated transaction. If OTC derivatives were held at period end, please refer to netting arrangements by the OTC counterparty tables below for additional details.

During the year ended October 31, 2023, the Fund had entered into the following derivatives:

	Asset Derivatives				Liability Derivatives
Derivative Type	Statement of Assets and Liabilities Location	Fair Value			Statement of Assets and Liabilities Location	Fair Value
Interest rate contracts	Receivable for variation margin on futures	$	386,301	*	Payable for variation margin on futures	$	1,451,203	*
Foreign currency contracts	Unrealized appreciation on forward currency exchange contracts		11,171
Total		$	397,472			$	1,451,203

* Only variation margin receivable (payable) at period end is reported within the statement of assets and liabilities. This amount reflects cumulative unrealized appreciation (depreciation) on futures and centrally cleared swaps as reported in the portfolio of investments.

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NOTES TO FINANCIAL STATEMENTS (continued)

Derivative Type	Location of Gain or (Loss) on Derivatives Within Statement of Operations	Realized Gain or (Loss) on Derivatives			Change in Unrealized Appreciation or (Depreciation)
Interest rate contracts	Net realized gain/(loss) on futures; Net change in unrealized appreciation (depreciation) on futures	$	(719,798	)	$	(502,859	)
Foreign currency contracts	Net realized gain/(loss) on forward currency exchange contracts; Net change in unrealized appreciation (depreciation) on forward currency exchange contracts		(281,518	)		130,505
Total		$	(1,001,316	)	$	(372,354	)

The following table represents the average monthly volume of the Fund’s derivative transactions during the year ended October 31, 2023:

Forward Currency Exchange Contracts:
Average principal amount of buy contracts	$	2,751,702	(a)
Average principal amount of sale contracts	$	3,714,800
Futures:
Average notional amount of buy contracts	$	12,455,352
Average notional amount of sale contracts	$	8,849,783

(a) Positions were open for one month during the reporting period.

For financial reporting purposes, the Fund does not offset derivative assets and derivative liabilities that are subject to netting arrangements in the statement of assets and liabilities.

All OTC derivatives held at period end were subject to netting arrangements. The following table presents the Fund’s derivative assets and liabilities by OTC counterparty net of amounts available for offset under ISDA Master Agreements (“MA”) and net of the related collateral received/pledged by the Fund as of October 31, 2023. Exchange-traded derivatives and centrally cleared swaps are not subject to netting arrangements and as such are excluded from the tables.

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NOTES TO FINANCIAL STATEMENTS (continued)

Counterparty	Derivative Assets Subject to a MA		Derivatives Available for Offset			Cash Collateral Received*			Security Collateral Received*			Net Amount of Derivative Assets
Morgan Stanley Capital Services LLC.	$	11,171	$	– 0	–	$	– 0	–	$	– 0	–	$	11,171
Total	$	11,171	$	– 0	–	$	– 0	–	$	– 0	–	$	11,171	^

* The actual collateral received/pledged may be more than the amount reported due to overcollateralization.

^ Net amount represents the net receivable (payable) that would be due from/to the counterparty in the event of default or termination. The net amount from OTC financial derivative instruments can only be netted across transactions governed under the same master agreement with the same counterparty.

2. Currency Transactions

The Fund may invest in non-U.S. Dollar-denominated securities on a currency hedged or unhedged basis. The Fund may seek investment opportunities by taking long or short positions in currencies through the use of currency-related derivatives, including forward currency exchange contracts, futures and options on futures, swaps, and other options. The Fund may enter into transactions for investment opportunities when it anticipates that a foreign currency will appreciate or depreciate in value but securities denominated in that currency are not held by the Fund and do not present attractive investment opportunities. Such transactions may also be used when the Adviser believes that it may be more efficient than a direct investment in a foreign currency-denominated security. The Fund may also conduct currency exchange contracts on a spot basis (i.e., for cash at the spot rate prevailing in the currency exchange market for buying or selling currencies).

NOTE E

Capital Stock

Each class consists of 3,000,000,000 authorized shares. Transactions in capital shares for each class were as follows:

	Shares				Amount
	Year Ended October 31, 2023		Year Ended October 31, 2022		Year Ended October 31, 2023		Year Ended October 31, 2022
Class A
Shares issued in reinvestment of dividends and distributions		236		165	$	1,906	$	1,484
Net increase		236		165	$	1,906	$	1,484

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NOTES TO FINANCIAL STATEMENTS (continued)

	Shares						Amount
	Year Ended October 31, 2023			Year Ended October 31, 2022			Year Ended October 31, 2023			Year Ended October 31, 2022
Advisor Class
Shares sold		7,280,014			8,566,886		$	59,027,563		$	79,602,059
Shares issued in reinvestment of dividends and distributions		796,862			493,814			6,445,652			4,382,521
Shares redeemed		(3,072,884	)		(2,886,247	)		(24,766,831	)		(25,806,933	)
Net increase		5,003,992			6,174,453		$	40,706,384		$	58,177,647

NOTE F

Risks Involved in Investing in the Fund

Market Risk—The value of the Fund’s assets will fluctuate as the stock, bond or currency markets fluctuate. The value of the Fund’s investments may decline, sometimes rapidly and unpredictably, simply because of economic changes or other events, including public health crises (including the occurrence of a contagious disease or illness) and regional and global conflicts, that affect large portions of the market.

ESG Risk—Applying ESG and sustainability criteria to the investment process may exclude securities of certain issuers for non-investment reasons and, therefore, the Fund may forgo some market opportunities available to funds that do not use ESG or sustainability criteria. Securities of companies with ESG practices may shift into and out of favor depending on market and economic conditions, and the Fund’s performance may at times be better or worse than the performance of funds that do not use ESG or sustainability criteria. Furthermore, ESG factors and “sustainability” criteria are not uniformly defined, and may differ from those used by other funds. In addition, in evaluating an investment, the Adviser is dependent upon information and data that may be incomplete, inaccurate or unavailable, which could adversely affect the analysis of the ESG and sustainability factors relevant to a particular investment.

Interest-Rate Risk—Changes in interest rates will affect the value of investments in fixed-income securities. When interest rates rise, the value of existing investments in fixed-income securities tends to fall and this decrease in value may not be offset by higher income from new investments. Interest rate risk is generally greater for fixed-income securities with longer maturities or durations. The Fund may be subject to a greater risk of rising interest rates than would normally be the case due to the recent end of a period of historically low rates and the effect of potential central bank monetary policy, and government fiscal policy, initiatives and resulting market reactions to those initiatives.

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NOTES TO FINANCIAL STATEMENTS (continued)

Credit Risk—An issuer or guarantor of a fixed-income security, or the counterparty to a derivatives or other contract, may be unable or unwilling to make timely payments of interest or principal, or to otherwise honor its obligations. The issuer or guarantor may default, causing a loss of the full principal amount of a security and accrued interest. The degree of risk for a particular security may be reflected in its credit rating. There is the possibility that the credit rating of a fixed-income security may be downgraded after purchase, which may adversely affect the value of the security.

Below Investment-Grade Securities Risk—Investments in fixed-income securities with lower ratings (commonly known as “junk bonds”) tend to have a higher probability that an issuer will default or fail to meet its payment obligations. These securities may be subject to greater price volatility due to factors such as specific corporate developments, interest rate sensitivity and negative perceptions of the junk bond market generally, and may be more difficult to trade than other types of securities.

Duration Risk—Duration is a measure that relates the expected price volatility of a fixed-income security to changes in interest rates. The duration of a fixed-income security may be shorter than or equal to full maturity of a fixed-income security. Fixed-income securities with longer durations have more risk and will decrease in price as interest rates rise.

Inflation Risk—This is the risk that the value of assets or income from investments will be less in the future as inflation decreases the value of money. As inflation increases, the value of the Fund’s assets can decline as can the value of the Fund’s distributions. This risk is significantly greater for fixed-income securities with longer maturities. The Fund invests in inflation-indexed securities, the value of which may be vulnerable to changes in expectations of inflation or interest rates.

Foreign (Non-U.S.) Risk—Investments in securities of non-U.S. issuers may involve more risk than those of U.S. issuers. These securities may fluctuate more widely in price and may be more difficult to trade due to adverse market, economic, political, regulatory or other factors.

Emerging-Market Risk—Investments in emerging market countries may have more risk because the markets are less developed and less liquid and are subject to increased economic, political, regulatory or other uncertainties.

Currency Risk—Fluctuations in currency exchange rates may negatively affect the value of the Fund’s investments or reduce its returns. Emerging market currencies may be more volatile and less liquid, and subject to significantly greater risk of currency controls and convertibility restrictions, than currencies of developed countries.

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NOTES TO FINANCIAL STATEMENTS (continued)

Derivatives Risk—Derivatives may be difficult to price or unwind and leveraged so that small changes may produce disproportionate losses for the Fund. A short position in a derivative instrument involves the risk of a theoretically unlimited increase in the value of the underlying asset, which could cause the Fund to suffer a potentially unlimited loss. Derivatives, especially over-the-counter derivatives, are also subject to counterparty risk, which is the risk that the counterparty (the party on the other side of the transaction) on a derivative transaction will be unable or unwilling to honor its contractual obligations to the Fund.

Leverage Risk—When the Fund borrows money or otherwise leverages its investments, its performance may be volatile because leverage tends to exaggerate the effect of any increase or decrease in the value of the Fund’s investments. The Fund may create leverage through the use of reverse repurchase arrangements, forward currency exchange contracts, forward commitments, dollar rolls or futures or by borrowing money. The use of other types of derivative instruments by the Fund, such as options and swaps, may also result in a form of leverage. Leverage may result in higher returns to the Fund than if the Fund were not leveraged, but may also adversely affect returns, particularly if the market is declining.

Illiquid Investments Risk—Illiquid investments risk exists when certain investments are or become difficult to purchase or sell. Difficulty in selling such investments may result in sales at disadvantageous prices affecting the value of your investment in the Fund. Causes of illiquid investments risk may include low trading volumes, large positions and heavy redemptions of Fund shares. Illiquid investments risk may be higher in a rising interest rate environment, when the value and liquidity of fixed-income securities generally decline.

Non-Diversification Risk—The Fund may have more risk because it is “non-diversified”, meaning that it can invest more of its assets in a smaller number of issuers. Accordingly, changes in the value of a single security may have a more significant effect, either negative or positive, on the Fund’s NAV.

Active Trading Risk—The Fund expects to engage in active and frequent trading of its portfolio securities and its portfolio turnover rate may greatly exceed 100%. A higher rate of portfolio turnover increases transaction costs, which may negatively affect the Fund’s return. In addition, a high rate of portfolio turnover may result in substantial short-term gains, which may have adverse tax consequences for Fund shareholders.

LIBOR Replacement Risk—The Fund may be exposed to debt securities, derivatives or other financial instruments that recently transitioned

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NOTES TO FINANCIAL STATEMENTS (continued)

from the London Interbank Offered Rate, or “LIBOR,” as a “benchmark” or “reference rate” for various interest rate calculations. LIBOR’s administrator, ICE Benchmark Administration, ceased publishing most LIBOR settings (including some U.S. LIBOR settings) by the end of 2021 and the remaining (and most widely used) U.S. Dollar LIBOR settings after June 30, 2023. The United Kingdom Financial Conduct Authority, which regulates LIBOR, will permit the use of synthetic U.S. Dollar LIBOR rates for non-U.S. contracts through September 30, 2024, but any such rates would be considered non-representative of the underlying market. Since 2018 the Federal Reserve Bank of New York has published the Secured Overnight Financing Rate (referred to as SOFR), which is intended to replace U.S. Dollar LIBOR. SOFR is a broad measure of the cost of borrowing cash overnight collateralized by U.S. Treasury securities in the repurchase agreement (repo) market. There is no assurance that the composition or characteristics of SOFR or any such alternative reference rate will be similar to or produce the same value or economic equivalence as LIBOR or that the market for SOFR-linked financial instruments will have the same volume or liquidity as did the market for LIBOR-linked financial instruments prior to LIBOR’s discontinuance or unavailability. Neither the long-term effects of the LIBOR transition process nor its ultimate success can yet be known.

Indemnification Risk—In the ordinary course of business, the Fund enters into contracts that contain a variety of indemnifications. The Fund’s maximum exposure under these arrangements is unknown. However, the Fund has not had prior claims or losses pursuant to these indemnification provisions and expects the risk of loss thereunder to be remote. Therefore, the Fund has not accrued any liability in connection with these indemnification provisions.

Management Risk—The Fund is subject to management risk because it is an actively-managed investment fund. The Adviser will apply its investment techniques and risk analyses in making investment decisions, but there is no guarantee that its techniques will produce the intended results. Some of these techniques may incorporate, or rely upon, quantitative models, but there is no guarantee that these models will generate accurate forecasts, reduce risk or otherwise perform as expected.

NOTE G

Joint Credit Facility

A number of open-end mutual funds managed by the Adviser, including the Fund, participate in a $325 million revolving credit facility (the “Facility”) intended to provide short-term financing related to redemptions and other short term liquidity requirements, subject to certain restrictions. Commitment fees related to the Facility are paid by the participating funds and are

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NOTES TO FINANCIAL STATEMENTS (continued)

included in miscellaneous expenses in the statement of operations. The Fund did not utilize the Facility during the year ended October 31, 2023.

NOTE H

Distributions to Shareholders

The tax character of distributions paid during the fiscal years ended October 31, 2023 and October 31, 2022 were as follows:

	2023			2022
Distributions paid from:
Ordinary income	$	7,741,305		$	5,154,448
Long-term capital gains		– 0	–		79,497
Total taxable distributions paid	$	7,741,305		$	5,233,945

As of October 31, 2023, the components of accumulated earnings (deficit) on a tax basis were as follows:

Accumulated capital and other losses	$	(15,730,716	)(a)
Unrealized appreciation (depreciation)		(39,125,603	)(b)
Total accumulated earnings (deficit)	$	(54,856,319	)(c)

(a) As of October 31, 2023, the Fund had a net capital loss carryforward of $15,730,716.

(b) The differences between book-basis and tax-basis unrealized appreciation (depreciation) are attributable primarily to the recognition for tax purposes of unrealized gains/losses on certain derivative instruments and the tax treatment of callable bonds.

(c) The difference between book-basis and tax-basis components of accumulated earnings (deficit) is attributable primarily to dividends payable.

For tax purposes, net realized capital losses may be carried over to offset future capital gains, if any. Funds are permitted to carry forward capital losses for an indefinite period, and such losses will retain their character as either short-term or long-term capital losses. As of October 31, 2023, the Fund had a net short-term capital loss carryforward of $4,945,258 and a net long-term capital loss carryforward of $10,785,458, which may be carried forward for an indefinite period.

During the current fiscal year, permanent differences primarily due to taxable overdistributions resulted in a net decrease in accumulated loss and a net decrease in additional paid-in capital. These reclassifications had no effect on net assets.

NOTE I

Recent Accounting Pronouncements

In December 2022, the Financial Accounting Standards Board issued an Accounting Standards Update, ASU 2022-06, “Reference Rate Reform (Topic 848) – Deferral of the Sunset Date of Topic 848”. ASU 2022-06 is an amendment to ASU 2020-04, which provided optional guidance to

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NOTES TO FINANCIAL STATEMENTS (continued)

ease the potential accounting burden due to the discontinuation of the LIBOR and other interbank-offered based reference rates and which was effective as of March 12, 2020 through December 31, 2022. ASU 2022-06 extends the effective period through December 31, 2024. Management is currently evaluating the impact, if any, of applying ASU 2022-06.

NOTE J

Subsequent Events

Management has evaluated subsequent events for possible recognition or disclosure in the financial statements through the date the financial statements are issued. Management has determined that there are no material events that would require disclosure in the Fund’s financial statements through this date.

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FINANCIAL HIGHLIGHTS

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

	Class A
	Year Ended October 31,						May 10, 2021(a) to October 31, 2021
	2023			2022
Net asset value, beginning of period		$  7.74			$  10.12			$  10.00
Income From Investment Operations
Net investment income(b)(c)		.26			.18			.07
Net realized and unrealized gain (loss) on investment and foreign currency transactions		(.06	)		(2.32	)		.13
Net increase (decrease) in net asset value from operations		.20			(2.14	)		.20
Less: Dividends and Distributions
Dividends from net investment income		(.29	)		(.23	)		(.08	)
Distributions from net realized gain on investment and foreign currency transactions		– 0	–		(.01	)		– 0	–
Total dividends and distributions		(.29	)		(.24	)		(.08	)
Net asset value, end of period		$  7.65			$  7.74			$  10.12
Total Return
Total investment return based on net asset value(d)		2.42	%		(21.48	)%		2.00	%
Ratios/Supplemental Data
Net assets, end of period (000’s omitted)		$59			$58			$74
Ratio to average net assets of:
Expenses, net of waivers/reimbursements		.85	%		.85	%		.85	%(e)
Expenses, before waivers/reimbursements		.92	%		.97	%		1.14	%(e)
Net investment income(c)		3.20	%		2.04	%		1.47	%(e)
Portfolio turnover rate		30	%		25	%		31	%

See footnote summary on page 56.

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FINANCIAL HIGHLIGHTS (continued)

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

	Advisor Class
	Year Ended October 31,						May 10, 2021(a) to October 31, 2021
	2023			2022
Net asset value, beginning of period		$  7.74			$  10.12			$  10.00
Income From Investment Operations
Net investment income(b)(c)		.28			.21			.08
Net realized and unrealized gain (loss) on investment and foreign currency transactions		(.06	)		(2.33	)		.13
Net increase (decrease) in net asset value from operations		.22			(2.12	)		.21
Less: Dividends and Distributions
Dividends from net investment income		(.31	)		(.25	)		(.09	)
Distributions from net realized gain on investment and foreign currency transactions		– 0	–		(.01	)		– 0	–
Total dividends and distributions		(.31	)		(.26	)		(.09	)
Net asset value, end of period		$  7.65			$  7.74			$  10.12
Total Return
Total investment return based on net asset value(d)		2.67	%		(21.29	)%		2.12	%
Ratios/Supplemental Data
Net assets, end of period (000’s omitted)		$213,281			$177,086			$169,185
Ratio to average net assets of:
Expenses, net of waivers/reimbursements		.60	%		.60	%		.60	%(e)
Expenses, before waivers/reimbursements		.67	%		.72	%		.93	%(e)
Net investment income(c)		3.46	%		2.31	%		1.69	%(e)
Portfolio turnover rate		30	%		25	%		31	%

(a) Commencement of operations.

(b) Based on average shares outstanding.

(c) Net of expenses waived/reimbursed by the Adviser.

(d) Total investment return is calculated assuming an initial investment made at the net asset value at the beginning of the period, reinvestment of all dividends and distributions at net asset value during the period, and redemption on the last day of the period. Initial sales charge or contingent deferred sales charge is not reflected in the calculation of total investment return. Total investment return does not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of fund shares. Total investment return for a period of less than one year is not annualized.

(e) Annualized.

See notes to financial statements.

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REPORT OF INDEPENDENT REGISTERED

PUBLIC ACCOUNTING FIRM

To the Board of Directors and Shareholders of

AB Sustainable Thematic Credit Portfolio

Opinion on the Financial Statements

We have audited the accompanying statement of assets and liabilities of AB Sustainable Thematic Credit Portfolio (the “Fund”) (one of the portfolios constituting AB Bond Fund, Inc. (the “Company”)), including the portfolio of investments, as of October 31, 2023, and the related statements of operations for the year then ended, the statements of changes in net assets for each of the two years in the period then ended, the financial highlights for each of the two years in the period then ended and the period from May 10, 2021 (commencement of operations) through October 31, 2021, and the related notes (collectively referred to as the “financial statements”). In our opinion, the financial statements present fairly, in all material respects, the financial position of the Fund (one of the portfolios constituting AB Bond Fund, Inc.) at October 31, 2023, and the results of its operations for the year then ended, the changes in its net assets for each of the two years in the period then ended, and its financial highlights for each of the two years in the period then ended and the period from May 10, 2021 (commencement of operations) through October 31, 2021, in conformity with U.S. generally accepted accounting principles.

Basis for Opinion

These financial statements are the responsibility of the Company’s management. Our responsibility is to express an opinion on the Fund’s financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (“PCAOB”) and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. The Company is not required to have, nor were we engaged to perform, an audit of the Company’s internal control over financial reporting. As part of our audits, we are required to obtain an understanding of internal control over financial reporting but not for the purpose of expressing an opinion on the effectiveness of the Company’s internal control over financial reporting. Accordingly, we express no such opinion.

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REPORT OF INDEPENDENT REGISTERED

PUBLIC ACCOUNTING FIRM (continued)

Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our procedures included confirmation of securities owned as of October 31, 2023, by correspondence with the custodian, brokers and others; when replies were not received from brokers or others, we performed other auditing procedures. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audits provide a reasonable basis for our opinion.

We have served as the auditor of one or more of the AB investment companies since 1968.

New York, New York

December 22, 2023

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2023 FEDERAL TAX INFORMATION

(unaudited)

For Federal income tax purposes, the following information is furnished with respect to the distributions paid by the Fund during the taxable year ended October 31, 2023. For foreign shareholders, 83.02% of ordinary income dividends paid may be considered to be qualifying to be taxed as interest-related dividends.

Shareholders should not use the above information to prepare their income tax returns. The information necessary to complete your income tax returns will be included with your Form 1099-DIV which will be sent to you separately in January 2024.

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BOARD OF DIRECTORS

Garry L. Moody⁽¹⁾, Chairman Jorge A. Bermudez⁽¹⁾ Michael J. Downey⁽¹⁾ Onur Erzan, President and Chief Executive Officer Nancy P. Jacklin⁽¹⁾ Jeanette W. Loeb⁽¹⁾ Carol C. McMullen⁽¹⁾ Marshall C. Turner, Jr.⁽¹⁾

OFFICERS

Gershon M. Distenfeld⁽²⁾, Vice President Tiffanie Wong⁽²⁾, Vice President Nancy E. Hay, Secretary Michael B. Reyes, Senior Vice President Stephen M. Woetzel, Treasurer and Chief Financial Officer Phyllis J. Clarke, Controller Jennifer Friedland, Chief Compliance Officer

Custodian and Accounting Agent Brown Brothers Harriman & Co. 50 Post Office Square Boston, MA 02110   Principal Underwriter AllianceBernstein Investments, Inc. 501 Commerce Street Nashville, TN 37203   Legal Counsel Seward & Kissel LLP One Battery Park Plaza New York, NY 10004 Transfer Agent AllianceBernstein Investor Services, Inc. P.O. Box 786003 San Antonio, TX 78278 Toll-Free (800) 221-5672   Independent Registered Public Accounting Firm Ernst & Young LLP One Manhattan West New York, NY 10001

1 Member of the Audit Committee, the Governance and Nominating Committee and the Independent Directors Committee.

2 The day-to-day management of, and investment decisions for, the Fund’s portfolio are made by the Adviser’s Sustainable Thematic Credit Team. Mr. Distenfeld and Ms. Wong are the investment professionals with the most significant responsibility for the day-to-day management of the Fund’s portfolio.

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MANAGEMENT OF THE FUND

Board of Directors Information

The business and affairs of the Fund are managed under the direction of the Board of Directors. Certain information concerning the Fund’s Directors is set forth below.

NAME, ADDRESS* AND AGE (YEAR FIRST ELECTED**)	PRINCIPAL OCCUPATION(S) DURING PAST FIVE YEARS AND OTHER INFORMATION***	PORTFOLIOS IN AB FUND COMPLEX OVERSEEN BY DIRECTOR		OTHER PUBLIC COMPANY DIRECTORSHIPS CURRENTLY HELD BY DIRECTOR
INTERESTED DIRECTOR
Onur Erzan,# 1345 Avenue of the Americas New York, NY 10105 47 (2021)	Senior Vice President of AllianceBernstein L.P. (the “Adviser”), Head of Global Client Group and Head of Private Wealth. He oversees AB’s entire private wealth management business, third-party institutional, and retail franchise, where he is responsible for all client services, sales, and marketing, as well as product strategy, management, and development worldwide. Director, President, and Chief Executive Officer of the AB Mutual Funds as of April 1, 2021. He is also a member of the Equitable Holdings Management Committee. Prior to joining the firm in January 2021, he spent over 19 years with McKinsey (management consulting firm), most recently as a senior partner and co-leader of its Wealth & Asset Management practice. In addition, he co-led McKinsey’s Banking & Securities Solutions (a portfolio of data, analytics, digital assets and capabilities) globally.		82	None

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MANAGEMENT OF THE FUND (continued)

NAME, ADDRESS* AND AGE (YEAR FIRST ELECTED**)	PRINCIPAL OCCUPATION(S) DURING PAST FIVE YEARS AND OTHER INFORMATION***	PORTFOLIOS IN AB FUND COMPLEX OVERSEEN BY DIRECTOR		OTHER PUBLIC COMPANY DIRECTORSHIPS CURRENTLY HELD BY DIRECTOR
DISINTERESTED DIRECTORS
Garry L. Moody,## Chairman of the Board 71 (2021)	Private Investor since prior to 2018. Formerly, Partner, Deloitte & Touche LLP (1995-2008) where he held a number of senior positions, including Vice Chairman, and U.S. and Global Investment Management Practice Managing Partner; President, Fidelity Accounting and Custody Services Company (1993-1995), where he was responsible for accounting, pricing, custody, and reporting for the Fidelity mutual funds; and Partner, Ernst & Young LLP (1975-1993), where he served as the National Director of Mutual Fund Tax Services and Managing Partner of its Chicago Office Tax department. He served as a member of the Investment Company Institute’s Board of Governors and the Independent Directors Council’s Governing Council from October 2019 through September 2023, where he also served as Chairman of the Governance Committee from October 2021 through September 2023. He is Chairman of the AB Funds and Chairman of the Independent Directors Committees since January 2023; he has served as a director or trustee since 2008, and served as Chairman of the Audit Committee of such funds from 2008 to February 2023.		82	None

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MANAGEMENT OF THE FUND (continued)

NAME, ADDRESS* AND AGE (YEAR FIRST ELECTED**)	PRINCIPAL OCCUPATION(S) DURING PAST FIVE YEARS AND OTHER INFORMATION***	PORTFOLIOS IN AB FUND COMPLEX OVERSEEN BY DIRECTOR		OTHER PUBLIC COMPANY DIRECTORSHIPS CURRENTLY HELD BY DIRECTOR
DISINTERESTED DIRECTORS (continued)
Jorge A. Bermudez,## 72 (2021)	Private Investor since prior to 2018. Formerly, Chief Risk Officer of Citigroup, Inc., a global financial services company, from November 2007 to March 2008; Chief Executive Officer of Citigroup’s Commercial Business Group in North America and Citibank Texas from 2005 to 2007; and a variety of other executive and leadership roles at various businesses within Citigroup prior to then; Chairman (2018) of the Texas A&M Foundation Board of Trustees (Trustee since 2013) and Chairman of the Smart Grid Center Board at Texas A&M University since 2012; director of, among others, Citibank N.A. from 2005 to 2008, the Federal Reserve Bank of Dallas, Houston Branch from 2009 to 2011, the Federal Reserve Bank of Dallas from 2011 to 2017, and the Electric Reliability Council of Texas from 2010 to 2016; and Chair of the Audit Committee of the Board of Directors of Moody’s Corporation since December 2022. He has served as director or trustee of the AB Funds since January 2020.		82	Moody’s Corporation since April 2011
Michael J. Downey,## 79 (2021)	Private Investor since prior to 2018. Formerly, Chairman of the Asia Pacific Fund, Inc. (registered investment company) since prior to 2018 until January 2019. From 1987 until 1993, Chairman and CEO of Prudential Mutual Fund Management, director of the Prudential mutual funds, and member of the Executive Committee of Prudential Securities, Inc. He has served as a director or trustee of the AB Funds since 2005.		82	None

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MANAGEMENT OF THE FUND (continued)

NAME, ADDRESS* AND AGE (YEAR FIRST ELECTED**)	PRINCIPAL OCCUPATION(S) DURING PAST FIVE YEARS AND OTHER INFORMATION***	PORTFOLIOS IN AB FUND COMPLEX OVERSEEN BY DIRECTOR		OTHER PUBLIC COMPANY DIRECTORSHIPS CURRENTLY HELD BY DIRECTOR
DISINTERESTED DIRECTORS (continued)
Nancy P. Jacklin,## 75 (2021)	Private Investor since prior to 2018. Professorial Lecturer at the Johns Hopkins School of Advanced International Studies (2008-2015). U.S. Executive Director of the International Monetary Fund (which is responsible for ensuring the stability of the international monetary system), (December 2002-May 2006); Partner, Clifford Chance (1992-2002); Sector Counsel, International Banking and Finance, and Associate General Counsel, Citicorp (1985-1992); Assistant General Counsel (International), Federal Reserve Board of Governors (1982-1985); and Attorney Advisor, U.S. Department of the Treasury (1973-1982). Member of the Bar of the District of Columbia and of New York; and member of the Council on Foreign Relations. She has served as a director or trustee of the AB Funds since 2006 and served as Chair of the Governance and Nominating Committees of the AB Funds from 2014 to August 2023.		82	None

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MANAGEMENT OF THE FUND (continued)

NAME, ADDRESS* AND AGE (YEAR FIRST ELECTED**)	PRINCIPAL OCCUPATION(S) DURING PAST FIVE YEARS AND OTHER INFORMATION***	PORTFOLIOS IN AB FUND COMPLEX OVERSEEN BY DIRECTOR		OTHER PUBLIC COMPANY DIRECTORSHIPS CURRENTLY HELD BY DIRECTOR
DISINTERESTED DIRECTORS (continued)
Jeanette W. Loeb,## 71 (2021)	Private Investor since prior to 2018. Director of New York City Center since 2005. Formerly, Chief Executive Officer of PetCareRx (e-commerce pet pharmacy) from 2002 to 2011 and 2015 to April 2023. She was a director of Apollo Investment Corp. (business development company) from August 2011 to July 2023 and a director of AB Multi-Manager Alternative Fund (fund of hedge funds) from 2012 to 2018. Formerly, affiliated with Goldman Sachs Group, Inc. (financial services) from 1977 to 1994, including as a partner thereof from 1986 to 1994. She has served as director or trustee of the AB Funds since April 2020 and serves as Chair of the Governance and Nominating Committees of the AB Funds since August 2023.		82	None

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MANAGEMENT OF THE FUND (continued)

NAME, ADDRESS* AND AGE (YEAR FIRST ELECTED**)	PRINCIPAL OCCUPATION(S) DURING PAST FIVE YEARS AND OTHER INFORMATION***	PORTFOLIOS IN AB FUND COMPLEX OVERSEEN BY DIRECTOR		OTHER PUBLIC COMPANY DIRECTORSHIPS CURRENTLY HELD BY DIRECTOR
DISINTERESTED DIRECTORS (continued)
Carol C. McMullen,## 68 (2021)	Private Investor and a member of the Advisory Board of Butcher Box (since 2018) and serves as Advisory Board Chair as of June 2023. Formerly, Managing Director of Slalom Consulting (consulting) from 2014 until July 2023; member, Mass General Brigham (formerly, Partners Healthcare) Investment Committee (2010-2019); Director of Norfolk & Dedham Group (mutual property and casualty insurance) from 2011 until November 2016; Director of Partners Community Physicians Organization (healthcare) from 2014 until December 2016; and Managing Director of The Crossland Group (consulting) from 2012 until 2013. She has held a number of senior positions in the asset and wealth management industries, including at Eastern Bank (where her roles included President of Eastern Wealth Management), Thomson Financial (Global Head of Sales for Investment Management), and Putnam Investments (where her roles included Chief Investment Officer, Core and Growth and Head of Global Investment Research). She has served on a number of private company and non-profit boards, and as a director or trustee of the AB Funds since June 2016 and serves as Chair of the Audit Committees of such funds since February 2023.		82	None

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MANAGEMENT OF THE FUND (continued)

NAME, ADDRESS* AND AGE (YEAR FIRST ELECTED**)	PRINCIPAL OCCUPATION(S) DURING PAST FIVE YEARS AND OTHER INFORMATION***	PORTFOLIOS IN AB FUND COMPLEX OVERSEEN BY DIRECTOR		OTHER PUBLIC COMPANY DIRECTORSHIPS CURRENTLY HELD BY DIRECTOR
DISINTERESTED DIRECTORS (continued)
Marshall C. Turner, Jr.,## 82 (2021)	Private Investor since prior to 2018. He was a Director of Xilinx, Inc. (programmable logic semi-conductors and adaptable, intelligent computing) from 2007 through August 2020, and is a former director of 33 other companies and organizations. Former Chairman and CEO of Dupont Photomasks, Inc. (semi-conductor manufacturing equipment) from 2003 through 2006. He has extensive operating leadership and venture capital investing experience, including five interim or full-time CEO roles, and prior service as general partner of institutional venture capital partnerships. He also has extensive non-profit board leadership experience, and currently serves on the board of the George Lucas Educational Foundation. He has served as a director of one AB Fund since 1992, and director or trustee of all the AB Funds since 2005. He has served as both Chairman of the AB Funds and Chairman of the Independent Directors Committees from 2014 through December 2022.		82	None

* The address for each of the Fund’s disinterested Directors is c/o AllianceBernstein L.P., Attention: Legal & Compliance Department—Mutual Fund Legal, 1345 Avenue of the Americas, New York, NY 10105.

** There is no stated term of office for the Fund’s Directors.

*** The information above includes each Director’s principal occupation during the last five years and other information relating to the experience, attributes, and skills relevant to each Director’s qualifications to serve as a Director, which led to the conclusion that each Director should serve as a Director for the Fund.

# Mr. Erzan is an “interested person” of the Fund, as defined in the 1940 Act, due to his position as a Senior Vice President of the Adviser.

## Member of the Audit Committee, the Governance and Nominating Committee and the Independent Directors Committee.

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MANAGEMENT OF THE FUND (continued)

Officers of the Fund

Certain information concerning the Fund’s Officers is listed below.

NAME, ADDRESS* AND AGE	POSITION(S) HELD WITH FUND	PRINCIPAL OCCUPATION DURING PAST FIVE YEARS
Onur Erzan 47	President and Chief Executive Officer	See biography above.
Gershon M. Distenfeld 48	Vice President	Senior Vice President of the Adviser**, with which he has been associated since prior to 2018. He is also Co-Head of Fixed-Income.
Tiffanie Wong 38	Vice President	Senior Vice President of the Adviser**, with which she has been associated since prior to 2018. She is also Director – Fixed Income Responsible Investing Portfolio Management; and Director – US Investment-Grade Credit.
Nancy E. Hay 51	Secretary	Senior Vice President and Counsel of the Adviser**, with which she has been associated since prior to 2018 and Assistant Secretary of ABI**.
Michael B. Reyes 47	Senior Vice President	Vice President of the Adviser**, with which he has been associated since prior to 2018.
Stephen M. Woetzel 52	Treasurer and Chief Financial Officer	Senior Vice President of ABIS**, with which he has been associated since prior to 2018.
Phyllis J. Clarke 62	Controller	Vice President of ABIS**, with which she has been associated since prior to 2018.
Jennifer Friedland 49	Chief Compliance Officer	Vice President of the Adviser** since 2020 and Mutual Fund Chief Compliance Officer (of all Funds since January 2023 and of the ETF Funds since 2022). Before joining the Adviser** in 2020, she was Chief Compliance Officer at WestEnd Advisors, LLC from prior to 2018 until 2019.

* The address for each of the Fund’s Officers is 1345 Avenue of the Americas, New York, NY 10105.

** The Adviser, ABI and ABIS are affiliates of the Fund.

The Fund’s Statement of Additional Information (“SAI”) has additional information about the Fund’s Directors and Officers and is available without charge upon request. Contact your financial representative or AB at (800)-227-4618, or visit www.abfunds.com, for a free prospectus or SAI.

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Operation and Effectiveness of the Funds’ Liquidity Risk Management Program:

In October 2016, the Securities and Exchange Commission (“SEC”) adopted the open-end fund liquidity rule (the “Liquidity Rule”). In June 2018 the SEC adopted a requirement that funds disclose information about the operation and effectiveness of their Liquidity Risk Management Program (“LRMP”) in their reports to shareholders.

One of the requirements of the Liquidity Rule is for the Fund to designate an Administrator of the Fund’s Liquidity Risk Management Program. The Administrator of the Fund’s LRMP is AllianceBernstein L.P., the Fund’s investment adviser (the “Adviser”). The Adviser has delegated the responsibility to its Liquidity Risk Management Committee (the “Committee”).

Another requirement of the Liquidity Rule is for the Fund’s Board of Directors/Trustees (the “Fund Board”) to receive an annual written report from the Administrator of the LRMP, which addresses the operation of the fund’s LRMP and assesses its adequacy and effectiveness. The Adviser provided the Fund Board with such annual report during the first quarter of 2023, which covered the period January 1, 2022 through December 31, 2022 (the “Program Reporting Period”).

The LRMP’s principal objectives include supporting the Fund’s compliance with limits on investments in illiquid assets and mitigating the risk that the Fund will be unable to meet its redemption obligations in a timely manner.

Pursuant to the LRMP, the Fund classifies the liquidity of its portfolio investments into one of the four categories defined by the SEC: Highly Liquid, Moderately Liquid, Less Liquid, and Illiquid. These classifications are reported to the SEC on Form N-PORT.

During the Program Reporting Period, the Committee reviewed whether the Fund’s strategy is appropriate for an open-end structure, incorporating any holdings of less liquid and illiquid assets. If the Fund participated in derivative transactions, the exposure from such transactions were considered in the LRMP.

The Committee also performed an analysis to determine whether the Fund is required to maintain a Highly Liquid Investment Minimum (“HLIM”). The Committee also incorporated the following information when determining the Fund’s reasonably anticipated trading size for purposes of liquidity monitoring: historical net redemption activity, a Fund’s concentration in an issuer, shareholder concentration, investment performance, total net assets, and distribution channels.

The Adviser informed the Fund Board that the Committee believes the Funds’ LRMP is adequately designed, has been implemented as intended,

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and has operated effectively since its inception. No material exceptions have been noted since the implementation of the LRMP. During the Program Reporting Period, liquidity in all markets was challenged due to rising rates and economic uncertainty. However, markets also remained orderly during the Program Reporting Period. There were no liquidity events that impacted the Fund or its ability to timely meet redemptions during the Program Reporting Period.

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Information Regarding the Review and Approval of the Fund’s Advisory Agreement

The disinterested directors (the “directors”) of AB Bond Fund, Inc. (the “Company”) unanimously approved the continuance of the Company’s Advisory Agreement with the Adviser in respect of AB Sustainable Thematic Credit Portfolio (the “Fund”) at a meeting held in-person on August 1-2, 2023 (the “Meeting”).

Prior to approval of the continuance of the Advisory Agreement, the directors had requested from the Adviser, and received and evaluated, extensive materials. They reviewed the proposed continuance of the Advisory Agreement with the Adviser and with experienced counsel who are independent of the Adviser, who advised on the relevant legal standards. The directors also reviewed additional materials, including comparative analytical data prepared by the Senior Vice President of the Fund. The directors also discussed the proposed continuance in private sessions with counsel.

The directors considered their knowledge of the nature and quality of the services provided by the Adviser to the Fund gained from their experience as directors or trustees of most of the registered investment companies advised by the Adviser, their overall confidence in the Adviser’s integrity and competence they have gained from that experience, the Adviser’s initiative in identifying and raising potential issues with the directors and its responsiveness, frankness and attention to concerns raised by the directors in the past, including the Adviser’s willingness to consider and implement organizational and operational changes designed to improve investment results and the services provided to the AB Funds. The directors noted that they have four regular meetings each year, at each of which they review extensive materials and information from the Adviser, including information on the investment performance of the Fund and the money market fund advised by the Adviser in which the Fund invests a portion of its assets.

The directors also considered all factors they believed relevant, including the specific matters discussed below. During the course of their deliberations, the directors evaluated, among other things, the reasonableness of the advisory fee. The directors did not identify any particular information that was all-important or controlling, and different directors may have attributed different weights to the various factors. The directors determined that the selection of the Adviser to manage the Fund and the overall arrangements between the Fund and the Adviser, as provided in the Advisory Agreement, including the advisory fee, were fair and reasonable in light of the services performed, expenses incurred and such other matters as the directors considered relevant in the exercise of their business

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judgment. The material factors and conclusions that formed the basis for the directors’ determinations included the following:

Nature, Extent and Quality of Services Provided

The directors considered the scope and quality of services provided by the Adviser under the Advisory Agreement, including the quality of the investment research capabilities of the Adviser and the other resources it has dedicated to performing services for the Fund. The directors noted that the Adviser from time to time reviews the Fund’s investment strategies and may from time to time propose changes intended to improve the Fund’s relative or absolute performance for the directors’ consideration. They also noted the professional experience and qualifications of the Fund’s portfolio management team and other senior personnel of the Adviser. The directors also considered that the Advisory Agreement provides that the Fund will reimburse the Adviser for the cost to it of providing certain clerical, accounting, administrative and other services to the Fund by employees of the Adviser or its affiliates. Requests for these reimbursements are made on a quarterly basis and subject to approval by the directors. Reimbursements, to the extent requested and paid, result in a higher rate of total compensation from the Fund to the Adviser than the fee rate stated in the Advisory Agreement. The directors noted that the methodology used to determine the reimbursement amounts had been reviewed by an independent consultant at the request of the directors. The quality of administrative and other services, including the Adviser’s role in coordinating the activities of the Fund’s other service providers, also was considered. The directors concluded that, overall, they were satisfied with the nature, extent and quality of services provided to the Fund under the Advisory Agreement.

Costs of Services Provided and Profitability

The directors reviewed a schedule of the revenues and expenses and related notes indicating the profitability of the Fund to the Adviser for the period ended December 31, 2021 and calendar year 2022 that had been prepared with an expense allocation methodology arrived at in consultation with an independent consultant at the request of the directors. The directors noted the assumptions and methods of allocation used by the Adviser in preparing fund-specific profitability data and understood that there are a number of potentially acceptable allocation methodologies for information for this type. The directors noted that the profitability information reflected all revenues and expenses of the Adviser’s relationship with the Fund, including those relating to the subsidiaries that provide transfer agency and distribution services to the Fund. The directors recognized that it is difficult to make comparisons of the profitability of the Advisory Agreement with the profitability of fund advisory contracts for unaffiliated funds because comparative information is not generally publicly available and is affected by numerous factors. The directors focused on the profitability of the

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Adviser’s relationship with the Fund before taxes and distribution expenses. The directors noted that the Fund was not profitable to the Adviser in the periods reviewed.

Fall-Out Benefits

The directors considered the other benefits to the Adviser and its affiliates from their relationships with the Fund and the money market fund advised by the Adviser in which the Fund invests, including, but not limited to, benefits relating to 12b-1 fees and sales charges received by the Fund’s principal underwriter (which is a wholly owned subsidiary of the Adviser) in respect of certain classes of the Fund’s shares; and transfer agency fees paid by the Fund to a wholly owned subsidiary of the Adviser. The directors recognized that the Fund’s unprofitability to the Adviser would be exacerbated without these benefits. The directors understood that the Adviser also might derive reputational and other benefits from its association with the Fund.

Investment Results

In addition to the information reviewed by the directors in connection with the Meeting, the directors received detailed performance information for the Fund at each regular Board meeting since the Fund’s inception.

At the Meeting, the directors reviewed performance information prepared by an independent service provider (the “15(c) service provider”), showing the performance of the Advisor Class shares of the Fund against a group of similar funds (“peer group”) and a larger group of similar funds (“peer universe”), each selected by the 15(c) service provider, and information prepared by the Adviser showing performance of the Advisor Class shares against a broad-based securities market index, in each case for the 1-year period ended May 31, 2023 and (in the case of comparisons with the broad-based securities market index) for the period from inception. Based on their review, the directors concluded that the Fund’s investment performance was acceptable.

Advisory Fees and Other Expenses

The directors considered the advisory fee rate payable by the Fund to the Adviser and information prepared by the 15(c) service provider concerning advisory fee rates payable by other funds in the same category as the Fund. The directors recognized that it is difficult to make comparisons of advisory fees because there are variations in the services that are included in the fees payable by other funds. The directors compared the Fund’s contractual effective advisory fee rate with a peer group median and noted that it was lower than the median. They also noted that the Adviser’s total rate of compensation, taking into account the impact of the administrative expense reimbursement paid to the Adviser in the latest fiscal year, was above the median.

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The directors also considered the Adviser’s fee schedule for other clients utilizing investment strategies similar to those of the Fund. For this purpose, they reviewed the relevant advisory fee information from the Adviser’s Form ADV and in a report from the Fund’s Senior Vice President and noted the differences between the Fund’s fee schedule, on the one hand, and the Adviser’s institutional fee schedule and the schedule of fees charged by the Adviser to any offshore funds and for services to any sub-advised funds utilizing investment strategies similar to those of the Fund, on the other. The directors noted that the Adviser may, in some cases, agree to fee rates with large institutional clients that are lower than those reviewed by the directors and that they had previously discussed with the Adviser its policies in respect of such arrangements.

The Adviser reviewed with the directors the significantly greater scope of the services it provides to the Fund relative to institutional, offshore fund and sub-advised fund clients. In this regard, the Adviser noted, among other things, that, compared to institutional and offshore or sub-advisory accounts, the Fund (i) demands considerably more portfolio management, research and trading resources due to significantly higher daily cash flows; (ii) has more tax and regulatory restrictions and compliance obligations; (iii) must prepare and file or distribute regulatory and other communications about fund operations; and (iv) must provide shareholder servicing to retail investors. The Adviser also reviewed the greater legal risks presented by the large and changing population of Fund shareholders who may assert claims against the Adviser in individual or class actions, and the greater entrepreneurial risk in offering new fund products, which require substantial investment to launch, may not succeed, and generally must be priced to compete with larger, more established funds resulting in lack of profitability to the Adviser until a new fund achieves scale. In light of the substantial differences in services rendered by the Adviser to institutional, offshore fund and sub-advised fund clients as compared to the Fund, and the different risk profile, the directors considered these fee comparisons inapt and did not place significant weight on them in their deliberations.

In connection with their review of the Fund’s advisory fee, the directors also considered the total expense ratio of the Advisor Class shares of the Fund in comparison to the medians for a peer group and a peer universe selected by the 15(c) service provider. The Advisor Class expense ratio of the Fund was based on the Fund’s latest fiscal year and reflected the impact of the Adviser’s expense cap for the Fund. The directors noted that it was likely that the expense ratios of some of the other funds in the Fund’s category were lowered by waivers or reimbursements by those funds’ investment advisers, which in some cases might be voluntary or temporary. The directors view the expense ratio information as relevant to their evaluation of the Adviser’s services because the Adviser is responsible for coordinating services provided to the Fund by others. The directors noted that the Fund’s ratio was above a median. After reviewing and

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discussing the Adviser’s explanation of the reasons for this, the directors concluded that the Fund’s expense ratio was acceptable.

Economies of Scale

The directors noted that the advisory fee schedule for the Fund contains breakpoints that reduce the fee rates on assets above specified levels. The directors took into consideration prior presentations by an independent consultant on economies of scale in the mutual fund industry and for the AB Funds, and presentations from time to time by the Adviser concerning certain of its views on economies of scale. The directors also had requested and received from the Adviser certain updates on economies of scale in advance of the Meeting. The directors believe that economies of scale may be realized (if at all) by the Adviser across a variety of products and services, and not only in respect of a single fund. The directors noted that there is no established methodology for setting breakpoints that give effect to the fund-specific services provided by a fund’s adviser and to the economies of scale that an adviser may realize in its overall mutual fund business or those components of it which directly or indirectly affect a fund’s operations. The directors observed that in the mutual fund industry as a whole, as well as among funds similar to the Fund, there is no uniformity or pattern in the fees and asset levels at which breakpoints (if any) apply. The directors also noted that the advisory agreements for many funds do not have breakpoints at all. Having taken these factors into account, the directors concluded that the Fund’s shareholders would benefit from a sharing of economies of scale in the event the Fund’s net assets exceed a breakpoint in the future.

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This page is not part of the Shareholder Report or the Financial Statements.

AB FAMILY OF FUNDS

US EQUITY

CORE

Core Opportunities Fund

Select US Equity Portfolio

Sustainable US Thematic Portfolio

GROWTH

Concentrated Growth Fund

Discovery Growth Fund

Growth Fund

Large Cap Growth Fund

Small Cap Growth Portfolio

VALUE

Discovery Value Fund

Equity Income Fund

Relative Value Fund

Small Cap Value Portfolio

Value Fund

INTERNATIONAL/GLOBAL EQUITY

CORE

Global Core Equity Portfolio

International Low Volatility Equity Portfolio¹

Sustainable Global Thematic Fund

Sustainable International Thematic Fund

Tax-Managed Wealth Appreciation Strategy

Wealth Appreciation Strategy

GROWTH

Concentrated International Growth Portfolio

VALUE

All China Equity Portfolio

International Value Fund

FIXED INCOME

MUNICIPAL

High Income Municipal Portfolio

Intermediate California Municipal Portfolio

Intermediate Diversified Municipal Portfolio

Intermediate New York Municipal Portfolio

Municipal Bond Inflation Strategy

Tax-Aware Fixed Income Opportunities Portfolio

National Portfolio

Arizona Portfolio

California Portfolio

Massachusetts Portfolio

Minnesota Portfolio

New Jersey Portfolio

New York Portfolio

Ohio Portfolio

Pennsylvania Portfolio

Virginia Portfolio

TAXABLE

Bond Inflation Strategy

Global Bond Fund

High Income Fund

Income Fund

Intermediate Duration Portfolio

Short Duration High Yield Portfolio¹

Short Duration Income Portfolio

Short Duration Portfolio

Sustainable Thematic Credit Portfolio

Total Return Bond Portfolio

ALTERNATIVES

All Market Real Return Portfolio

Global Real Estate Investment Fund

Select US Long/Short Portfolio

MULTI-ASSET

All Market Total Return Portfolio

Emerging Markets Multi-Asset Portfolio

Global Risk Allocation Fund

Sustainable Thematic Balanced Portfolio

CLOSED-END FUNDS

AllianceBernstein Global High Income Fund

AllianceBernstein National Municipal Income Fund

EXCHANGE-TRADED FUNDS

Disruptors ETF

High Yield ETF

Tax-Aware Short Duration Municipal ETF

Ultra Short Income ETF

US High Dividend ETF

US Large Cap Strategic Equities ETF

US Low Volatility Equity ETF

We also offer Government Money Market Portfolio, which serves as the money market fund exchange vehicle for the AB mutual funds. You could lose money by investing in the Fund. Although the Fund seeks to preserve the value of your investment at $1.00 per share, it cannot guarantee it will do so. The Fund may impose a fee upon sale of your shares or may temporarily suspend your ability to sell shares if the Fund’s liquidity falls below required minimums because of market conditions or other factors. An investment in the Fund is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. The Fund’s sponsor has no legal obligation to provide financial support to the Fund, and you should not expect that the sponsor will provide financial support to the Fund at any time.

Investors should consider the investment objectives, risks, charges and expenses of the Fund carefully before investing. For copies of our prospectus or summary prospectus, which contain this and other information, visit us online at www.abfunds.com or contact your AB representative. Please read the prospectus and/or summary prospectus carefully before investing.

1 Prior to July 5, 2023, International Low Volatility Equity Portfolio was named International Strategic Core Portfolio and Short Duration High Yield Portfolio was named Limited Duration High Income Portfolio.

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AB SUSTAINABLE THEMATIC CREDIT PORTFOLIO

1345 Avenue of the Americas

New York, NY 10105

800 221 5672

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OCT    ^10.31.23

ANNUAL REPORT

AB TAX-AWARE FIXED INCOME OPPORTUNITIES PORTFOLIO

Investment Products Offered •  Are Not FDIC Insured • May Lose Value • Are Not Bank Guaranteed

Investors should consider the investment objectives, risks, charges and expenses of the Fund carefully before investing. For copies of our prospectus or summary prospectus, which contain this and other information, visit us online at www.abfunds.com or contact your AB representative. Please read the prospectus and/or summary prospectus carefully before investing.

This shareholder report must be preceded or accompanied by the Fund’s prospectus for individuals who are not current shareholders of the Fund.

You may obtain a description of the Fund’s proxy voting policies and procedures, and information regarding how the Fund voted proxies relating to portfolio securities during the most recent 12-month period ended June 30, without charge. Simply visit AB’s website at www.abfunds.com, or go to the Securities and Exchange Commission’s (the “Commission”) website at www.sec.gov, or call AB at (800) 227 4618.

The Fund files its complete schedule of portfolio holdings with the Commission for the first and third quarters of each fiscal year as an exhibit to its reports on Form N-PORT. The Fund’s Form N-PORT reports are available on the Commission’s website at www.sec.gov. AB publishes full portfolio holdings for the Fund monthly at www.abfunds.com.

AllianceBernstein Investments, Inc. (ABI) is the distributor of the AB family of mutual funds. ABI is a member of FINRA and is an affiliate of AllianceBernstein L.P., the Adviser of the funds.

The [A/B] logo is a registered service mark of AllianceBernstein and AllianceBernstein^® is a registered service mark used by permission of the owner, AllianceBernstein L.P.

FROM THE PRESIDENT

Dear Shareholder,

We’re pleased to provide this report for the AB Tax-Aware Fixed Income Opportunities Portfolio (the “Fund”). Please review the discussion of Fund performance, the market conditions during the reporting period and the Fund’s investment strategy.

At AB, we’re striving to help our clients achieve better outcomes by:

⁺  Fostering diverse perspectives that give us a distinctive approach to navigating global capital markets

⁺  Applying differentiated investment insights through a connected global research network

⁺  Embracing innovation to design better ways to invest and leading-edge mutual-fund solutions

Whether you’re an individual investor or a multibillion-dollar institution, we’re putting our knowledge and experience to work for you every day.

For more information about AB’s comprehensive range of products and shareholder resources, please log on to www.abfunds.com.

Thank you for your investment in AB mutual funds—and for placing your trust in our firm.

Sincerely,

Onur Erzan

President and Chief Executive Officer, AB Mutual Funds

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ANNUAL REPORT

December 20, 2023

This report provides management’s discussion of fund performance for the AB Tax-Aware Fixed Income Opportunities Portfolio for the annual reporting period ended October 31, 2023.

The investment objective of the Fund is to seek to maximize after-tax return and income.

NAV RETURNS AS OF OCTOBER 31, 2023 (unaudited)

	6 Months		12 Months
AB TAX-AWARE FIXED INCOME OPPORTUNITIES PORTFOLIO
Class A Shares		-5.11%		2.43%
Class C Shares		-5.47%		1.67%
Advisor Class Shares1		-4.89%		2.80%
Bloomberg Municipal Bond Index		-4.65%		2.64%

1 Please note that this share class is for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or investment advisory clients of, and certain other persons associated with, the Adviser and its affiliates or the Fund.

INVESTMENT RESULTS

The table above shows the Fund’s performance compared with its benchmark, the Bloomberg Municipal Bond Index, for the six- and 12-month periods ended October 31, 2023.

For the 12-month period, all share classes except the Advisor Class underperformed the benchmark, before sales charges. Security selection in electric utility and senior living detracted, relative to the benchmark, while selection within state general obligation and toll roads/transit contributed. Yield-curve positioning contributed with overweights to the long end and short end of the curve. Lastly, the Fund was overweight lower-rated (noninvestment-grade) bonds, which is fully composed of investment-grade bonds. This overweight contributed for the period.

For the six-month period, all share classes underperformed the benchmark. Security selection within electric utility and prepay energy detracted, while selection within state general obligation and health care contributed. Additionally, an overweight to the long end of the yield-curve detracted. Lastly, the Fund was overweight lower-rated (noninvestment-grade) bonds, which is fully composed of investment-grade bonds. This overweight contributed for the period.

The Fund used derivatives in the form of interest rate swaps for hedging purposes, which added to absolute returns for both periods. Credit default

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swaps were used for hedging and investment purposes, which had no material impact over both periods. Consumer Price Index swaps were used for hedging purposes which had no material impact over the periods. Municipal market data rate locks were used for investment purposes, which added for both periods.

MARKET REVIEW AND INVESTMENT STRATEGY

For the 12-month period ending October 31, 2023, the yield on a 10-Year AAA municipal bond rose to 3.61% from 3.34% and the yield on the 10-Year US Treasury rose to 4.91% from 4.06%. After-tax spreads widened on the short end of the curve, while spreads compressed five-years and out. This indicated that municipals became cheaper relative to Treasuries on the short end, while becoming more expensive on the intermediate and long part. Performance was particularly strong for the first 10 months of this period. However, worries that the US Federal Reserve would continue its policy tightening stance longer than anticipated caused a sell-off in September and October, leading to a lower return over the 12-month period.

The Fund’s Senior Investment Management Team (the “Team”) continues to seek investments in attractive after-tax returns such as municipal and taxable fixed-income, and selective below investment-grade bonds. The Team seeks to manage interest-rate exposure by focusing on lower-rated municipal and corporate bonds.

The Fund may purchase municipal securities that are insured under policies issued by certain insurance companies. Historically, insured municipal securities typically received a higher credit rating, which meant that the issuer of the securities paid a lower interest rate. As a result of declines in the credit quality and associated downgrades of most bond insurers, insurance has less value than it did in the past. In purchasing such insured securities, the Adviser evaluates the risk and return of municipal securities through its own research. If an insurance company’s rating is downgraded or the company becomes insolvent, the prices of municipal securities insured by the insurance company may decline. As of October 31, 2023, the Fund’s percentages of investments in municipal bonds that are insured and in insured municipal bonds that have been pre-refunded or escrowed to maturity were 6.00% and 0.00%, respectively.

INVESTMENT POLICIES

The Fund pursues its objective by investing principally in a national portfolio of both municipal and taxable fixed-income securities. The Fund invests, under normal circumstances, at least 80% of its net assets in fixed-income securities. The Fund also invests, under normal circumstances, at least 65% of its total assets in municipal securities

(continued on next page)

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that pay interest that is exempt from federal income tax. These securities may pay interest that is subject to the federal alternative minimum tax for certain taxpayers. The income earned and distributed to shareholders on non-municipal securities would not be exempt from federal income tax. The Fund may invest in fixed-income securities rated below investment grade (commonly known as “junk bonds”), although such securities are not expected to be the Fund’s primary focus.

The Adviser selects securities for the Fund based on a variety of factors, including credit quality, maturity, diversification benefits, and the relative expected after-tax returns of taxable and municipal securities (considering federal tax rates and without regard to state and local income taxes). As the objective is to increase the after-tax return of the Fund, an investor in the Fund may incur a tax liability that will generally be greater than the same investor would have in a fund investing exclusively in municipal securities, and that will be higher if the investor is in a higher tax bracket. In addition, the tax implications of the Fund’s trading activity, such as realizing taxable gains, are considered in making purchase and sale decisions for the Fund. The Fund may invest in fixed-income securities of any maturity from short- to long-term.

The Fund may also invest in forward commitments; zero-coupon municipal securities and variable-, floating- and inverse-floating-rate municipal securities.

The Fund may use derivatives, such as swaps, options, futures contracts and forwards, to achieve its investment strategies. For example, the Fund may enter into tender option bonds and credit default and interest rate swaps relating to municipal and taxable fixed-income securities or securities indices. Derivatives may provide more efficient and economical exposure to fixed-income securities markets than direct investments.

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DISCLOSURES AND RISKS

Benchmark Disclosure

The Bloomberg Municipal Bond Index is unmanaged and does not reflect fees and expenses associated with the active management of a mutual fund portfolio. The Bloomberg Municipal Bond Index represents the performance of the long-term tax-exempt bond market consisting of investment-grade bonds. An investor cannot invest directly in an index, and its results are not indicative of the performance for any specific investment, including the Fund.

A Word About Risk

Market Risk: The value of the Fund’s assets will fluctuate as the bond market fluctuates. The value of its investments may decline, sometimes rapidly and unpredictably, simply because of economic changes or other events, including public health crises (including the occurrence of a contagious disease or illness) and regional and global conflicts, that affect large portions of the market.

Credit Risk: An issuer or guarantor of a fixed-income security, or the counterparty to a derivatives or other contract, may be unable or unwilling to make timely payments of interest or principal, or to otherwise honor its obligations. The issuer or guarantor may default, causing a loss of the full principal amount of a security and accrued interest. The degree of risk for a particular security may be reflected in its credit rating. There is the possibility that the credit rating of a fixed-income security may be downgraded after purchase, which may adversely affect the value of the security.

Below Investment-Grade Securities Risk: Investments in fixed-income securities with lower ratings (commonly known as “junk bonds”) are subject to a higher probability that an issuer will default or fail to meet its payment obligations. These securities may be subject to greater price volatility due to such factors as specific municipal or corporate developments and negative performance of the junk bond market generally and may be more difficult to trade than other types of securities.

Municipal Market Risk: This is the risk that special factors may adversely affect the value of municipal securities and have a significant effect on the yield or value of the Fund’s investments in municipal securities. These factors include economic conditions, political or legislative changes, public health crises, uncertainties related to the tax status of municipal securities, and the rights of investors in these securities. To the extent that the Fund invests more of its assets in a particular state’s municipal securities, the Fund may be vulnerable to events adversely affecting that state, including economic, political and regulatory occurrences, court decisions, terrorism, public health crises (including the occurrence of a contagious disease or illness) and catastrophic natural disasters, such as hurricanes, fires or

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DISCLOSURES AND RISKS (continued)

earthquakes. For example, the novel coronavirus (COVID-19) pandemic has significantly stressed the financial resources of many issuers of municipal securities, which could impair any such issuer’s ability to meet its financial obligations when due and adversely impact the value of its securities held by the Fund. As the full effects of the COVID-19 pandemic on state and local economies and on issuers of municipal securities are still uncertain, the financial difficulties of issuers of municipal securities may worsen, adversely affecting the performance of the Fund. The Fund’s investments in certain municipal securities with principal and interest payments that are made from the revenues of a specific project or facility, and not general tax revenues, may have increased risks. Factors affecting the project or facility, such as local business or economic conditions, could have a significant effect on the project’s ability to make payments of principal and interest on these securities.

In addition, changes in tax rates or the treatment of income from certain types of municipal securities, among other things, could negatively affect the municipal securities markets.

The Fund invests, from time to time, in the municipal securities of Puerto Rico or other US territories and their governmental agencies and municipalities, which are exempt from federal, state, and, where applicable, local income taxes. These municipal securities may have more risks than those of other US issuers of municipal securities. Puerto Rico continues to face a very challenging economic and fiscal environment, worsened by the spread of COVID-19 and the adverse effect that related governmental and public responses have had on Puerto Rico’s economy. If the general economic situation in Puerto Rico continues to persist or worsens, the volatility and credit quality of Puerto Rican municipal securities could continue to be adversely affected, and the market for such securities may deteriorate further.

Tax Risk: From time to time, the US government and the US Congress consider changes in federal tax law that could limit or eliminate the federal tax exemption for municipal bond income, which would in effect reduce the income received by shareholders from the Fund by increasing taxes on that income. In such event, the Fund’s net asset value (“NAV”) could also decline as yields on municipal bonds, which are typically lower than those on taxable bonds, would be expected to increase to approximately the yield of comparable taxable bonds. Actions or anticipated actions affecting the tax-exempt status of municipal bonds could also result in significant shareholder redemptions of Fund shares as investors anticipate adverse effects on the Fund or seek higher yields to offset the potential loss of the tax deduction. As a result, the Fund would be required to maintain higher levels of cash to meet the redemptions, which would negatively affect the Fund’s yield.

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DISCLOSURES AND RISKS (continued)

Interest-Rate Risk: Changes in interest rates will affect the value of investments in fixed-income securities. When interest rates rise, the value of existing investments in fixed-income securities tends to fall and this decrease in value may not be offset by higher income from new investments. Interest-rate risk is generally greater for fixed-income securities with longer maturities or durations. The Fund may be subject to a greater risk of rising interest rates than would normally be the case due to the recent end of a period of historically low rates and the effect of potential central bank monetary policy, and government fiscal policy, initiatives and resulting market reactions to those initiatives.

Duration Risk: Duration is a measure that relates the expected price volatility of a fixed-income security to changes in interest rates. The duration of a fixed-income security may be shorter than or equal to full maturity of a fixed-income security. Fixed-income securities with longer durations have more risk and will decrease in price as interest rates rise.

Inflation Risk: This is the risk that the value of assets or income from investments will be less in the future as inflation decreases the value of money. As inflation increases, the value of the Fund’s assets can decline as can the value of the Fund’s distributions. This risk is significantly greater for fixed-income securities with longer maturities.

Illiquid Investments Risk: Illiquid investments risk exists when certain investments are or become difficult to purchase or sell. Difficulty in selling such investments may result in sales at disadvantageous prices affecting the value of your investment in the Fund. Causes of illiquid investments risk may include low trading volumes and large positions. Municipal securities may have more illiquid investments risk than other fixed-income securities because they trade less frequently and the market for municipal securities is generally smaller than many other markets.

Leverage Risk: To the extent the Fund uses leveraging techniques, its NAV may be more volatile because leverage tends to exaggerate the effect of changes in interest rates and any increase or decrease in the value of the Fund’s investments.

Derivatives Risk: Derivatives may be difficult to price or unwind and leveraged so that small changes may produce disproportionate losses for the Fund. A short position in a derivative instrument involves the risk of a theoretically unlimited increase in the value of the underlying asset, which could cause the Fund to suffer a potentially unlimited loss. Derivatives, especially over-the-counter derivatives, are also subject to counterparty risk, which is the risk that the counterparty (the party on the other side of the transaction) on a derivative transaction will be unable or unwilling to honor its contractual obligations to the Fund.

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DISCLOSURES AND RISKS (continued)

Management Risk: The Fund is subject to management risk because it is an actively managed investment fund. The Adviser will apply its investment techniques and risk analyses in making investment decisions, but there is no guarantee that its techniques will produce the intended results. Some of these techniques may incorporate, or rely upon, quantitative models, but there is no guarantee that these models will generate accurate forecasts, reduce risk or otherwise perform as expected.

These and other risks are more fully discussed in the Fund’s prospectus. As with all investments, you may lose money by investing in the Fund.

An Important Note About Historical Performance

The investment return and principal value of an investment in the Fund will fluctuate, so that shares, when redeemed, may be worth more or less than their original cost. Performance shown in this report represents past performance and does not guarantee future results. Current performance may be lower or higher than the performance information shown. You may obtain performance information current to the most recent month-end by visiting www.abfunds.com.

All fees and expenses related to the operation of the Fund have been deducted. NAV returns do not reflect sales charges; if sales charges were reflected, the Fund’s quoted performance would be lower. SEC returns reflect the applicable sales charges for each share class: a 3% maximum front-end sales charge for Class A shares and a 1% 1-year contingent deferred sales charge for Class C shares. Returns for the different share classes will vary due to their different expenses associated with each class. Performance assumes reinvestment of distributions and does not account for taxes.

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HISTORICAL PERFORMANCE

GROWTH OF A $10,000 INVESTMENT IN THE FUND (unaudited)

12/11/2013¹ TO 10/31/2023

This chart illustrates the total value of an assumed $10,000 investment in AB Tax-Aware Fixed Income Opportunities Portfolio Class A shares (from 12/11/2013¹ to 10/31/2023) as compared to the performance of its benchmark. The chart reflects the deduction of the maximum 3.00% sales charge from the initial $10,000 investment in the Fund and assumes the reinvestment of dividends and capital gains distributions.

1 Inception date: 12/11/2013

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HISTORICAL PERFORMANCE (continued)

AVERAGE ANNUAL RETURNS AS OF OCTOBER 31, 2023 (unaudited)

	NAV Returns		SEC Returns (reflects applicable sales charges)		SEC Yields1		Taxable Equivalent Yields2
CLASS A SHARES						4.29%		6.60%
1 Year		2.43%		-0.69%
5 Years		1.32%		0.71%
Since Inception3		2.10%		1.78%
CLASS C SHARES						3.66%		5.63%
1 Year		1.67%		0.68%
5 Years		0.57%		0.57%
Since Inception3,4		1.34%		1.34%
ADVISOR CLASS SHARES5						4.67%		7.18%
1 Year		2.80%		2.80%
5 Years		1.60%		1.60%
Since Inception3		2.37%		2.37%

The Fund’s current prospectus fee table shows the Fund’s total annual operating expense ratios as 0.91%, 1.66% and 0.66% for Class A, Class C and Advisor Class shares, respectively, gross of any fee waivers or expense reimbursements. Contractual fee waivers and/or expense reimbursements limited the Fund’s total annual operating expense ratios, exclusive of expenses associated with securities sold short, acquired fund fees and expenses other than the advisory fees of any AB mutual funds in which the Fund may invest, interest expense, taxes, extraordinary expenses, brokerage commissions and other transaction costs, to 0.75%, 1.50% and 0.50% for Class A, Class C and Advisor Class shares, respectively. These waivers/reimbursements may not be terminated prior to January 31, 2024, and may be extended by the Adviser for additional one-year terms. Absent reimbursements or waivers, performance would have been lower. The Financial Highlights section of this report sets forth expense ratio data for the current reporting period; the expense ratios shown above may differ from the expense ratios in the Financial Highlights section since they are based on different time periods.

1 SEC yields are calculated based on SEC guidelines for the 30-day period ended October 31, 2023.

2 Taxable equivalent yields are based on SEC yields and a 35% marginal federal income tax rate and maximum state taxes where applicable.

3 Inception date: 12/11/2013.

4 Assumes conversion of Class C shares into Class A shares after eight years.

5 This share class is offered at NAV to eligible investors and the SEC returns are the same as the NAV returns. Please note that this share class is for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or investment advisory clients of, and certain other persons associated with, the Adviser and its affiliates or the Fund.

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HISTORICAL PERFORMANCE (continued)

SEC AVERAGE ANNUAL RETURNS

AS OF THE MOST RECENT CALENDAR QUARTER-END

SEPTEMBER 30, 2023 (unaudited)

	SEC Returns (reflects applicable sales charges)
CLASS A SHARES
1 Year		-0.09%
5 Years		0.87%
Since Inception1		1.97%
CLASS C SHARES
1 Year		1.25%
5 Years		0.73%
Since Inception1,2		1.54%
ADVISOR CLASS SHARES3
1 Year		3.27%
5 Years		1.74%
Since Inception1		2.56%

1 Inception date: 12/11/2013.

2 Assumes conversion of Class C shares into Class A shares after eight years.

3 Please note that this share class is for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or investment advisory clients of, and certain other persons associated with, the Adviser and its affiliates or the Fund.

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EXPENSE EXAMPLE

(unaudited)

As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments, contingent deferred sales charges on redemptions and (2) ongoing costs, including management fees; distribution (12b-1) fees; and other Fund expenses. This example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds.

The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period as indicated below.

Actual Expenses

The table below provides information about actual account values and actual expenses. You may use the information, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number under the heading entitled “Expenses Paid During Period” to estimate the expenses you paid on your account during this period.

Hypothetical Example for Comparison Purposes

The table below also provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed annual rate of return of 5% before expenses, which is not the Fund’s actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and other funds by comparing this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of other funds.

Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as sales charges (loads), or contingent deferred sales charges on redemptions. Therefore, the hypothetical example is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.

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EXPENSE EXAMPLE (continued)

	Beginning Account Value May 1, 2023		Ending Account Value October 31, 2023		Expenses Paid During Period*		Annualized Expense Ratio*
Class A
Actual	$	1,000	$	948.90	$	4.42		0.90	%
Hypothetical**	$	1,000	$	1,020.67	$	4.58		0.90	%
Class C
Actual	$	1,000	$	945.30	$	8.09		1.65	%
Hypothetical**	$	1,000	$	1,016.89	$	8.39		1.65	%
Advisor Class
Actual	$	1,000	$	951.10	$	3.20		0.65	%
Hypothetical**	$	1,000	$	1,021.93	$	3.31		0.65	%

* Expenses are equal to the classes’ annualized expense ratios, multiplied by the average account value over the period, multiplied by 184/365 (to reflect the one-half year period).

** Assumes 5% annual return before expenses.

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PORTFOLIO SUMMARY

October 31, 2023 (unaudited)

PORTFOLIO STATISTICS

Net Assets ($mil): $409.7

1 The Fund’s quality rating and state breakdowns are expressed as a percentage of the Fund’s total investments in municipal securities and may vary over time. The Fund also enters into derivative transactions, which may be used for hedging or investment purposes (see “Portfolio of Investments” section of the report for additional details). The quality ratings are determined by using the S&P Global Ratings (“S&P”), Moody’s Investors Services, Inc. (“Moody’s”) and Fitch Ratings, Ltd. (“Fitch”). The Fund considers the credit ratings issued by S&P, Moody’s and Fitch and uses the highest rating issued by the agencies. These ratings are a measure of the quality and safety of a bond or portfolio, based on the issuer’s financial condition. AAA is the highest (best) and D is the lowest (worst). If applicable, the Pre-refunded category includes bonds which are secured by U.S. Government securities and therefore are deemed high-quality investment-grade by the Adviser. If applicable, Not Applicable (N/A) includes non-creditworthy investments, such as equities, currency contracts, futures and options. If applicable, the Not Rated category includes bonds that are not rated by a nationally recognized statistical rating organization. The Adviser evaluates the creditworthiness of non-rated securities based on a number of factors including, but not limited to, cash flows, enterprise value and economic environment.

2 “Other” represents less than 1.8% in 32 different states, American Samoa, District of Columbia and Guam.

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PORTFOLIO OF INVESTMENTS

October 31, 2023

	Principal Amount (000)		U.S. $ Value
MUNICIPAL OBLIGATIONS – 109.2%
Long-Term Municipal Bonds – 109.0%
Alabama – 10.2%
Black Belt Energy Gas District (Goldman Sachs Group, Inc. (The)) Series 2021 4.00%, 10/01/2052	$	1,000	$	963,202
Series 2022-F 5.50%, 11/01/2053		2,000		2,023,599
Series 2023-A 5.25%, 01/01/2054		2,000		2,002,037
Series 2023-D 5.401% (SOFR + 1.85%), 06/01/2049(a)(b)		10,000		9,976,586
Black Belt Energy Gas District (Nomura Holdings, Inc.) Series 2022-A 4.00%, 12/01/2052		1,000		918,491
Black Belt Energy Gas District (Pre-refunded – US Treasuries) Series 2018 4.537% (SOFR + 0.90%), 12/01/2048(b)		10,000		9,999,835
County of Jefferson AL Sewer Revenue Series 2013-D 6.00%, 10/01/2042		110		113,036
Southeast Energy Authority A Cooperative District (Morgan Stanley) Series 2022-A 5.50%, 01/01/2053		1,000		1,014,827
5.971% (SOFR + 2.42%), 01/01/2053(b)		2,000		2,050,697
Southeast Energy Authority A Cooperative District (Royal Bank of Canada) Series 2023-B 5.00%, 01/01/2054		10,000		9,932,463
Southeast Energy Authority A Cooperative District (Sumitomo Mitsui Financial Group, Inc.) Series 2023-A 5.25%, 01/01/2054		2,000		1,992,942
Sumter County Industrial Development Authority/AL (Enviva, Inc.) Series 2022 6.00%, 07/15/2052		1,185		799,818
				41,787,533

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PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Alaska – 0.5%
Alaska Housing Finance Corp. (Pre-refunded – Others) Series 2023 4.39%, 07/01/2026(c)	$	2,000	$	1,990,657
American Samoa – 0.0%
American Samoa Economic Development Authority (Territory of American Samoa) Series 2018 7.125%, 09/01/2038(c)		135		141,457
Arizona – 2.0%
Arizona Industrial Development Authority (Heritage Academy Laveen & Gateway Obligated Group) Series 2021 5.00%, 07/01/2051(c)		1,000		778,160
Arizona Industrial Development Authority (KIPP NYC Public Charter Schools) Series 2021-B 4.00%, 07/01/2061		1,000		704,658
Arizona Industrial Development Authority (Legacy Cares, Inc.) Series 2020 7.75%, 07/01/2050(d)(e)(f)		1,000		60,000
Arizona Industrial Development Authority (Pinecrest Academy of Nevada) Series 2020-A 4.00%, 07/15/2050(c)		100		69,835
Chandler Industrial Development Authority (Intel Corp.) Series 2022 5.00%, 09/01/2042		2,000		2,014,145
City of Glendale AZ (City of Glendale AZ COP) Series 2021 2.222%, 07/01/2030		1,000		807,188
City of Tempe AZ (City of Tempe AZ COP) Series 2021 2.521%, 07/01/2036		1,000		687,382
Industrial Development Authority of the City of Phoenix Arizona (The) (GreatHearts Arizona Obligated Group) Series 2014 5.00%, 07/01/2044		100		86,502

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PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Industrial Development Authority of the County of Pima (The) (La Posada at Park Centre, Inc. Obligated Group) Series 2022 6.75%, 11/15/2042(c)	$	250	$	242,197
7.00%, 11/15/2057(c)		250		239,705
Maricopa County Industrial Development Authority (Commercial Metals Co.) Series 2022 4.00%, 10/15/2047(c)		600		461,762
Salt Verde Financial Corp. (Citigroup, Inc.) Series 2007 5.00%, 12/01/2032		2,000		1,988,283
				8,139,817
Arkansas – 0.4%
Arkansas Development Finance Authority (Hybar LLC) Series 2023 12.00%, 07/01/2048(c)		1,300		1,309,630
Arkansas Development Finance Authority (United States Steel Corp.) Series 2022 5.45%, 09/01/2052		200		175,595
				1,485,225
California – 13.8%
Alameda Corridor Transportation Authority Series 2022-A 0.00%, 10/01/2049(g)		1,000		462,201
ARC70 II TRUST Series 2021 4.00%, 12/01/2059		300		232,655
Series 2023 4.84%, 04/01/2065(f)(j)		2,000		1,916,654
California Community Choice Financing Authority (American International Group, Inc.) Series 2023-D 5.50%, 05/01/2054		2,000		2,045,383
California Community Choice Financing Authority (Deutsche Bank AG) Series 2023 5.25%, 01/01/2054		4,445		4,348,783

abfunds.com AB TAX-AWARE FIXED INCOME OPPORTUNITIES PORTFOLIO    ^|    17

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
California Community Choice Financing Authority (Goldman Sachs Group, Inc. (The)) Series 2023 5.00%, 12/01/2053	$	1,000	$	993,451
California Community Choice Financing Authority (Morgan Stanley) Series 2023 5.00%, 07/01/2053(a)		10,000		9,968,921
5.181% (SOFR + 1.63%), 07/01/2053(b)		2,000		1,986,109
California Community Housing Agency (California Community Housing Agency Aster Apartments) Series 2021-A 4.00%, 02/01/2056(c)		1,000		741,004
California Community Housing Agency (California Community Housing Agency Brio Apartments & Next on Lex Apartments) Series 2021 4.00%, 02/01/2056(c)		250		183,237
California Community Housing Agency (California Community Housing Agency Fountains at Emerald Park) Series 2021 3.00%, 08/01/2056(c)		500		296,206
4.00%, 08/01/2046(c)		500		368,103
California Community Housing Agency (California Community Housing Agency Summit at Sausalito Apartments) Series 2021 3.00%, 02/01/2057(c)		1,000		592,314
California Community Housing Agency (California Community Housing Agency Twin Creek Apartments) Series 2022 Zero Coupon, 08/01/2065(c)		2,500		102,062
5.50%, 02/01/2040(c)		1,000		836,064
California Infrastructure & Economic Development Bank (DesertXpress Enterprises LLC) Series 2023 3.65%, 01/01/2050(c)		2,585		2,570,544
California Infrastructure & Economic Development Bank (WFCS Holdings II LLC) Series 2021 Zero Coupon, 01/01/2061(c)		1,000		42,672

18    ^|    AB TAX-AWARE FIXED INCOME OPPORTUNITIES PORTFOLIO abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
California Municipal Finance Authority (CHF-Riverside II LLC) Series 2019 5.00%, 05/15/2040	$	250	$	247,500
California Municipal Finance Authority (Samuel Merritt University) Series 2022 5.25%, 06/01/2053		1,000		979,160
California Pollution Control Financing Authority (Poseidon Resources Channelside LP) Series 2012 5.00%, 11/21/2045(c)		250		230,833
Series 2023 5.00%, 07/01/2035(c)		1,250		1,265,210
California Pollution Control Financing Authority (San Diego County Water Authority Desalination Project Pipeline) Series 2019 5.00%, 11/21/2045(c)		1,000		947,535
California School Finance Authority (Classical Academy Obligated Group) Series 2022 5.00%, 10/01/2052(c)		1,000		868,434
California Statewide Communities Development Authority (Enloe Medical Center Obligated Group) AGM Series 2022-A 5.375%, 08/15/2057		1,000		1,027,651
California Statewide Communities Development Authority (Loma Linda University Medical Center) Series 2016-A 5.25%, 12/01/2056(c)		1,000		884,650
City of Los Angeles Department of Airports Series 2020-C 5.00%, 05/15/2039		1,000		994,909
Series 2022 5.25%, 05/15/2047		2,000		1,990,245
CMFA Special Finance Agency (CMFA Special Finance Agency Enclave) Series 2022-A 4.00%, 08/01/2058(c)		400		267,988
CMFA Special Finance Agency (CMFA Special Finance Agency Latitude33) Series 2021-A 3.00%, 12/01/2056(c)		500		295,518

abfunds.com AB TAX-AWARE FIXED INCOME OPPORTUNITIES PORTFOLIO    ^|    19

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
CMFA Special Finance Agency (CMFA Special Finance Agency Solana at Grand) Series 2021-A 4.00%, 08/01/2056(c)	$	1,000	$	743,131
CMFA Special Finance Agency VIII Elan Huntington Beach Series 2021 3.00%, 08/01/2056(c)		1,000		590,430
CSCDA Community Improvement Authority (CSCDA Community Improvement Authority 777 Place-Pomona) Series 2021 3.25%, 05/01/2057(c)		500		308,458
4.00%, 05/01/2057(c)		350		220,268
CSCDA Community Improvement Authority (CSCDA Community Improvement Authority 1818 Platinum Triangle-Anaheim) Series 2021 3.25%, 04/01/2057(c)		500		302,349
CSCDA Community Improvement Authority (CSCDA Community Improvement Authority Acacia on Santa Rosa Creek) Series 2021 4.00%, 10/01/2056(c)		400		295,683
CSCDA Community Improvement Authority (CSCDA Community Improvement Authority Altana Apartments) Series 2021 4.00%, 10/01/2056(c)		200		133,622
CSCDA Community Improvement Authority (CSCDA Community Improvement Authority Crescent) Series 2022 4.30%, 07/01/2059(c)		500		362,991
CSCDA Community Improvement Authority (CSCDA Community Improvement Authority Jefferson Platinum Triangle Apartments) Series 2021-A2 3.125%, 08/01/2056(c)		100		61,067
CSCDA Community Improvement Authority (CSCDA Community Improvement Authority Millennium South Bay-Hawthorne) Series 2021 3.25%, 07/01/2056(c)		500		300,621
4.00%, 07/01/2058(c)		200		122,164

20    ^|    AB TAX-AWARE FIXED INCOME OPPORTUNITIES PORTFOLIO abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
CSCDA Community Improvement Authority (CSCDA Community Improvement Authority Oceanaire Apartments) Series 2021 4.00%, 09/01/2056(c)	$	200	$	131,701
CSCDA Community Improvement Authority (CSCDA Community Improvement Authority Park Crossing Apartments) Series 2021 3.25%, 12/01/2058(c)		300		174,573
CSCDA Community Improvement Authority (CSCDA Community Improvement Authority Pasadena Portfolio) Series 2021 3.00%, 12/01/2056(c)		1,000		593,029
4.00%, 12/01/2056(c)		400		255,517
CSCDA Community Improvement Authority (CSCDA Community Improvement Authority Union South Bay) Series 2021-A2 4.00%, 07/01/2056(c)		1,000		654,185
CSCDA Community Improvement Authority (CSCDA Community Improvement Authority Vineyard Gardens Apartments) Series 2021 3.25%, 10/01/2058(c)		1,000		584,488
CSCDA Community Improvement Authority (CSCDA Community Improvement Authority Waterscape Apartments) Series 2021-A 3.00%, 09/01/2056(c)		1,000		594,387
Golden State Tobacco Securitization Corp. Series 2021 3.85%, 06/01/2050		905		821,566
Series 2021-B Zero Coupon, 06/01/2066		2,500		204,210
Hastings Campus Housing Finance Authority Series 2020-A 5.00%, 07/01/2061(c)		1,000		765,190
River Islands Public Financing Authority (River Islands Public Financing Authority Community Facilities District No. 2003-1) Series 2022 5.75%, 09/01/2052		1,000		888,649
San Diego Unified School District/CA Series 2023 4.00%, 07/01/2053		1,000		849,536

abfunds.com AB TAX-AWARE FIXED INCOME OPPORTUNITIES PORTFOLIO    ^|    21

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
San Francisco Intl Airport Series 2019-A 5.00%, 05/01/2044	$	1,000	$	962,767
Series 2023-E 5.50%, 05/01/2040(h)		1,315		1,360,738
State of California Series 2023 5.00%, 09/01/2043		5,000		5,264,752
Tobacco Securitization Authority of Northern California (Sacramento County Tobacco Securitization Corp.) Series 2021 Zero Coupon, 06/01/2060		200		23,669
Tobacco Securitization Authority of Southern California (San Diego County Tobacco Asset Securitization Corp.) Series 2006 Zero Coupon, 06/01/2046		1,000		171,977
University of California Series 2023-B 5.00%, 05/15/2042		1,000		1,054,075
				56,481,789
Colorado – 1.7%
Aurora Highlands Community Authority Board Series 2021-A 5.75%, 12/01/2051		500		412,499
Centerra Metropolitan District No. 1 Series 2022 6.50%, 12/01/2053		500		465,222
City & County of Denver CO (United Airlines, Inc.) Series 2017 5.00%, 10/01/2032		615		575,403
Colorado Educational & Cultural Facilities Authority (James Irwin Educational Foundation Obligated Group) Series 2022 5.00%, 09/01/2062		1,000		842,037
Colorado Educational & Cultural Facilities Authority (Lighthouse Building Corp.) Series 2021 4.00%, 10/01/2061		1,000		655,194

22    ^|    AB TAX-AWARE FIXED INCOME OPPORTUNITIES PORTFOLIO abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Colorado Health Facilities Authority (Aberdeen Ridge, Inc. Obligated Group) Series 2021-A 5.00%, 05/15/2049	$	100	$	62,371
Colorado Health Facilities Authority (Christian Living Neighborhoods Obligated Group) Series 2021 4.00%, 01/01/2042		250		186,307
Colorado Health Facilities Authority (Frasier Meadows Manor, Inc. Obligated Group) Series 2023-2 4.00%, 05/15/2041		100		75,880
Colorado Health Facilities Authority (Parkview Medical Center, Inc. Obligated Group) Series 2015-B 5.00%, 09/01/2030		200		200,856
Douglas County Housing Partnership (Bridgewater Castle Rock ALF LLC) Series 2021 5.375%, 01/01/2041(f)		250		172,661
E-470 Public Highway Authority Series 2021-B 3.908% (SOFR + 0.35%), 09/01/2039(b)		1,000		995,430
Four Corners Business Improvement District Series 2022 6.00%, 12/01/2052		500		418,603
Johnstown Plaza Metropolitan District Series 2022 4.25%, 12/01/2046		588		430,723
Platte River Metropolitan District Series 2023-A 6.50%, 08/01/2053(c)(h)		250		234,119
Pueblo Urban Renewal Authority Series 2021-B Zero Coupon, 12/01/2025(c)		260		209,885
Sterling Ranch Community Authority Board (Sterling Ranch Metropolitan District No. 3) Series 2022 6.50%, 12/01/2042		500		487,185
Vauxmont Metropolitan District AGM Series 2019 5.00%, 12/15/2028		380		395,564
AGM Series 2020 5.00%, 12/01/2050		100		97,882
				6,917,821

abfunds.com AB TAX-AWARE FIXED INCOME OPPORTUNITIES PORTFOLIO    ^|    23

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Connecticut – 0.7%
City of New Haven CT (City of New Haven CT) Series 2018-A 5.50%, 08/01/2038	$	615	$	627,440
Connecticut State Health & Educational Facilities Authority (Yale University) Series 2023-A 2.80%, 07/01/2048		2,200		2,121,291
Town of Hamden CT (Whitney Center, Inc. Obligated Group) Series 2022-A 7.00%, 01/01/2053		100		95,689
				2,844,420
District of Columbia – 0.1%
District of Columbia (Friendship Public Charter School, Inc.) Series 2016-A 5.00%, 06/01/2041		100		90,564
District of Columbia Tobacco Settlement Financing Corp. Series 2006 Zero Coupon, 06/15/2055		2,500		196,369
				286,933
Florida – 4.7%
Align Affordable Housing Bond Fund LP (SHI - Lake Worth LLC) Series 2021 3.25%, 12/01/2051(c)		1,000		823,676
Bexley Community Development District Series 2016 4.875%, 05/01/2047		100		83,110
Capital Trust Agency, Inc. (Educational Growth Fund LLC) Series 2021 Zero Coupon, 07/01/2061(c)		2,000		103,467
5.00%, 07/01/2056(c)		1,190		966,416
City of Palmetto FL (Renaissance Arts and Education, Inc.) Series 2022 5.375%, 06/01/2057		1,000		919,315
City of Tampa FL (State of Florida Cigarette Tax Revenue) Series 2020-A Zero Coupon, 09/01/2053		1,000		144,489

24    ^|    AB TAX-AWARE FIXED INCOME OPPORTUNITIES PORTFOLIO abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
County of Lake FL (Waterman Communities, Inc.) Series 2020 5.75%, 08/15/2055	$	200	$	158,799
County of Miami-Dade FL (County of Miami-Dade FL Non-Ad Valorem) Series 2015-A 5.00%, 06/01/2028		780		784,128
County of Miami-Dade FL Aviation Revenue Series 2015-A 5.00%, 10/01/2031		265		262,479
County of Miami-Dade Seaport Department Series 2023-A 5.25%, 10/01/2052		1,000		961,383
County of Osceola FL Transportation Revenue Series 2020-A Zero Coupon, 10/01/2036		230		112,790
County of Palm Beach FL (Provident Group-PBAU Properties LLC) Series 2019 5.00%, 04/01/2051(c)		1,000		862,648
County of Pasco FL (H Lee Moffitt Cancer Center & Research Institute Obligated Group) Series 2023 5.00%, 07/01/2030(c)		3,000		3,030,518
Escambia County Housing Finance Authority Series 2023-A 6.88%, 11/01/2053(c)		100		99,621
Escambia County Housing Finance Authority (4900 S. Rio Grande Avenue LP) Series 2023-B 6.45%, 05/01/2027(c)		275		274,742
Florida Development Finance Corp. (Assistance Unlimited, Inc.) Series 2022 6.00%, 08/15/2057(c)		350		302,447
Florida Development Finance Corp. (Brightline Trains Florida LLC) Series 2020 7.375%, 01/01/2049(c)		695		675,353
Florida Development Finance Corp. (Cornerstone Charter Academy, Inc.) Series 2022 5.00%, 10/01/2042(c)		1,000		868,389

abfunds.com AB TAX-AWARE FIXED INCOME OPPORTUNITIES PORTFOLIO    ^|    25

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Florida Development Finance Corp. (Drs Kiran & Pallavi Patel 2017 Foundation for Global Understanding, Inc.) Series 2021 4.00%, 07/01/2051(c)	$	100	$	73,693
Florida Development Finance Corp. (IDEA Florida, Inc.) Series 2022 5.25%, 06/15/2029(c)		100		95,269
Florida Development Finance Corp. (Mater Academy, Inc.) Series 2020-A 5.00%, 06/15/2055		1,000		876,623
Florida Development Finance Corp. (Seaside School Consortium, Inc.) Series 2022 5.75%, 06/15/2047		1,000		953,267
Lee County Industrial Development Authority/FL (Cypress Cove at Healthpark Florida Obligated Group) Series 2022 5.25%, 10/01/2052		500		389,528
Miami-Dade County Industrial Development Authority (AcadeMir Charter School Middle & Preparatory Academy Obligated Group) Series 2022 5.50%, 07/01/2061(c)		1,000		844,374
North Broward Hospital District Series 2017-B 5.00%, 01/01/2037		100		100,015
Orange County Health Facilities Authority (Presbyterian Retirement Communities, Inc. Obligated Group) Series 2023 4.00%, 08/01/2042		250		197,685
Palm Beach County Educational Facilities Authority (Palm Beach Atlantic University Obligated Group) Series 2021 4.00%, 10/01/2041		1,000		794,673
Palm Beach County Health Facilities Authority (Federation CCRC Operations Corp. Obligated Group) Series 2022 4.25%, 06/01/2056		200		132,536

26    ^|    AB TAX-AWARE FIXED INCOME OPPORTUNITIES PORTFOLIO abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Palm Beach County Health Facilities Authority (Green Cay Life Plan Village, Inc.) Series 2022 11.50%, 07/01/2027(c)	$	100	$	108,352
Pinellas County Industrial Development Authority Series 2019 5.00%, 07/01/2039		1,000		921,218
Town of Davie FL (Nova Southeastern University, Inc.) Series 2018 5.00%, 04/01/2048		530		507,612
Village Community Development District No. 13 (Village Community Development District No. 13 Phase I Series 2019 Special Assmnts) Series 2019 3.55%, 05/01/2039		605		471,780
Village Community Development District No. 15 Series 2023 5.25%, 05/01/2054(c)		100		91,776
West Palm Beach Community Redevelopment Agency (West Palm Beach Community Redevelopment Agency City Center Community Redev Area) Series 2019 5.00%, 03/01/2024		1,160		1,163,420
				19,155,591
Georgia – 5.9%
Augusta Development Authority (WellStar Health System Obligated Group) Series 2018 5.00%, 07/01/2025		145		145,722
5.00%, 07/01/2031		1,065		1,080,149
DeKalb County Housing Authority (HADC Avenues LLC) Series 2023 6.17%, 06/01/2053(c)		1,000		903,724
7.00%, 06/01/2041(c)		230		213,154
Main Street Natural Gas, Inc. (Citadel LP) Series 2022-C 4.00%, 08/01/2052(c)		1,000		931,211
Main Street Natural Gas, Inc. (Citigroup, Inc.) Series 2019-C 4.00%, 03/01/2050		3,215		3,123,159

abfunds.com AB TAX-AWARE FIXED INCOME OPPORTUNITIES PORTFOLIO    ^|    27

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Series 2023-A 5.00%, 06/01/2053	$	3,000	$	2,950,181
Main Street Natural Gas, Inc. (Royal Bank of Canada) Series 2023 5.258% (SOFR + 1.70%), 12/01/2053(b)		2,000		1,993,683
Series 2023-B 5.00%, 07/01/2053		1,000		993,435
Main Street Natural Gas, Inc. (Toronto-Dominion Bank (The)) Series 2019-B 4.00%, 08/01/2049		2,000		1,980,761
Municipal Electric Authority of Georgia Series 2019 5.00%, 01/01/2038		100		99,612
5.00%, 01/01/2049		2,000		1,895,881
Series 2022 5.50%, 07/01/2063		1,500		1,445,745
AGM Series 2023 5.00%, 07/01/2064		1,000		961,110
Private Colleges & Universities Authority (Emory University) Series 2023 5.00%, 09/01/2033(c)		5,000		5,282,501
					��
				24,000,028
Guam – 0.6%
Antonio B Won Pat International Airport Authority Series 2021-A 4.46%, 10/01/2043		1,000		679,248
Guam Power Authority Series 2022-A 5.00%, 10/01/2043		500		466,964
Territory of Guam Series 2019 5.00%, 11/15/2031		175		172,858
Territory of Guam (Guam Section 30 Income Tax) Series 2016-A 5.00%, 12/01/2046		200		170,056
Territory of Guam (Territory of Guam Business Privilege Tax) Series 2021-F 5.00%, 01/01/2029		1,000		1,009,295
				2,498,421

28    ^|    AB TAX-AWARE FIXED INCOME OPPORTUNITIES PORTFOLIO abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Idaho – 0.2%
Idaho Health Facilities Authority (North Canyon Medical Center, Inc.) Series 2023 7.125%, 11/01/2057	$	1,000	$	959,832
Illinois – 7.4%
Chicago Board of Education Series 2012-A 5.00%, 12/01/2042		240		212,665
Series 2012-B 5.00%, 12/01/2033		1,000		951,252
Series 2019-A 5.00%, 12/01/2029		100		99,427
5.00%, 12/01/2030		100		98,765
Series 2019-B 5.00%, 12/01/2033		100		97,905
Series 2021-A 5.00%, 12/01/2033		1,000		979,049
Series 2023 5.25%, 04/01/2040		2,000		1,946,551
5.50%, 04/01/2042		1,000		986,767
Chicago O’Hare International Airport Series 2015-C 5.00%, 01/01/2034		335		330,044
Series 2022 5.50%, 01/01/2055		5,000		4,983,744
Illinois Finance Authority (Clark-Lindsey Village Obligated Group) Series 2022-A 5.50%, 06/01/2057		1,000		803,681
Illinois Finance Authority (DePaul College Prep) Series 2023 5.625%, 08/01/2053(c)		1,000		919,681
Illinois Finance Authority (Illinois Institute of Technology) Series 2019 4.00%, 09/01/2035		100		81,961
Illinois Finance Authority (Lake Forest College) Series 2022-A 5.50%, 10/01/2047		1,000		920,684
Illinois Finance Authority (Park Place of Elmhurst Obligated Group) Series 2021 5.125%, 05/15/2060		77		39,778

abfunds.com AB TAX-AWARE FIXED INCOME OPPORTUNITIES PORTFOLIO    ^|    29

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Illinois Finance Authority (Silver Cross Hospital Obligated Group) Series 2015-C 5.00%, 08/15/2035	$	250	$	239,558
Illinois Housing Development Authority Series 2022 5.67%, 12/01/2025(c)		1,000		995,855
7.17%, 11/01/2038		100		95,508
Metropolitan Pier & Exposition Authority Series 2015-B 5.00%, 12/15/2045		600		569,516
Series 2022 4.00%, 12/15/2042		1,000		828,935
Metropolitan Pier & Exposition Authority (Metropolitan Pier & Exposition Authority Lease) Series 2020 5.00%, 06/15/2042		640		617,967
State of Illinois Series 2010 7.35%, 07/01/2035		214		218,003
Series 2016 5.00%, 02/01/2024		375		375,472
Series 2017-D 5.00%, 11/01/2026		930		947,361
Series 2018-A 5.00%, 10/01/2027		1,000		1,024,028
Series 2019-B 5.00%, 11/01/2031		1,000		1,026,234
Series 2022-A 5.50%, 03/01/2047		1,000		1,005,267
Series 2022-C 5.50%, 10/01/2045		1,000		1,008,639
Series 2023-B 5.00%, 05/01/2033		6,000		6,164,514
Series 2023-D 5.00%, 07/01/2024		1,690		1,696,462
				30,265,273
Indiana – 1.4%
City of Fort Wayne IN 10.75%, 12/01/2029(d)(e)		33		3
City of Valparaiso IN (Green Oaks of Valparaiso LLC) Series 2021 5.375%, 12/01/2041(c)		150		107,626

30    ^|    AB TAX-AWARE FIXED INCOME OPPORTUNITIES PORTFOLIO abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
City of Whiting IN (BP Products North America, Inc.) Series 2023 4.40%, 11/01/2045	$	1,000	$	951,139
Indiana Finance Authority (Brightmark Plastics Renewal Indiana LLC) Series 2019 7.00%, 03/01/2039(f)		1,110		773,672
Indiana Finance Authority (CWA Authority, Inc.) Series 2024 5.00%, 10/01/2045(h)		1,000		960,015
Indiana Finance Authority (Good Samaritan Hospital Obligated Group) Series 2022 5.00%, 04/01/2029		100		96,942
Indiana Finance Authority (Greencroft Goshen Obligated Group) Series 2021 4.00%, 11/15/2043		1,000		702,878
Series 2023-2 4.00%, 11/15/2037		100		77,752
Indiana Finance Authority (Marquette Manor) Series 2015-A 5.00%, 03/01/2030		190		185,162
Indiana Finance Authority (Ohio Valley Electric Corp.) Series 2021-B 2.50%, 11/01/2030		165		140,718
Indiana Finance Authority (University of Evansville) Series 2022 5.25%, 09/01/2057		1,000		812,240
Indiana Housing & Community Development Authority (Vita of Marion LLC) Series 2021-A 5.25%, 04/01/2041(c)		1,000		734,846
Series 2021-B 4.00%, 04/01/2024		100		98,604
				5,641,597
Iowa – 1.4%
Iowa Finance Authority Series 2022-E 4.51% (SOFR + 0.80%), 01/01/2052(b)		5,000		4,937,730

abfunds.com AB TAX-AWARE FIXED INCOME OPPORTUNITIES PORTFOLIO    ^|    31

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Iowa Finance Authority (Lifespace Communities, Inc. Obligated Group) Series 2018-A 5.00%, 05/15/2043	$	500	$	380,418
Iowa Finance Authority (Wesley Retirement Services, Inc. Obligated Group) Series 2021 4.00%, 12/01/2031		105		90,064
4.00%, 12/01/2041		170		123,580
4.00%, 12/01/2046		115		78,164
4.00%, 12/01/2051		205		133,303
				5,743,259
Kansas – 0.1%
City of Overland Park KS Sales Tax Revenue Series 2022 6.00%, 11/15/2034(c)		100		98,337
6.50%, 11/15/2042(c)		300		289,531
				387,868
Kentucky – 1.0%
City of Ashland KY (Ashland Hospital Corp. Obligated Group) Series 2019 4.00%, 02/01/2034		385		352,599
City of Henderson KY (Pratt Paper LLC) Series 2022 3.70%, 01/01/2032(c)		325		300,034
Kentucky Economic Development Finance Authority (Baptist Healthcare System Obligated Group) Series 2017-B 5.00%, 08/15/2037		175		175,242
Kentucky Economic Development Finance Authority (Carmel Manor, Inc.) Series 2022 4.50%, 10/01/2027		1,000		966,876
Kentucky Economic Development Finance Authority (CommonSpirit Health) Series 2019-A 4.00%, 08/01/2039		160		137,001
Kentucky Economic Development Finance Authority (Masonic Homes of Kentucky, Inc. Obligated Group) Series 2012 5.375%, 11/15/2042		65		49,710

32    ^|    AB TAX-AWARE FIXED INCOME OPPORTUNITIES PORTFOLIO abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Kentucky Economic Development Finance Authority (Owensboro Health, Inc. Obligated Group) Series 2017-A 5.00%, 06/01/2037	$	425	$	408,673
Kentucky Housing Corp. (Churchill Park LLLP) Series 2022-A 4.65%, 05/01/2025(c)		130		128,322
5.75%, 11/01/2040(c)		600		554,108
Series 2022-B 6.75%, 11/01/2040(c)		100		92,860
Kentucky Public Energy Authority (BP PLC) Series 2020-A 4.00%, 12/01/2050		600		583,583
Louisville/Jefferson County Metropolitan Government (Norton Healthcare Obligated Group) Series 2016 5.00%, 10/01/2033		225		226,152
				3,975,160
Louisiana – 3.7%
City of New Orleans LA Water System Revenue (Pre-refunded – US Govt Agencies) Series 2014 5.00%, 12/01/2034		100		101,115
Louisiana Local Government Environmental Facilities & Community Development Auth (American BioCarbon CT LLC) Series 2023 4.00%, 12/01/2046		10,000		9,966,002
Louisiana Local Government Environmental Facilities & Community Development Auth (Louisiana Utilities Restoration Corp. ELL System Restoration Revenue) Series 2023 5.048%, 12/01/2034		1,000		951,584
Louisiana Local Government Environmental Facilities & Community Development Auth (Woman’s Hospital Foundation) Series 2017 5.00%, 10/01/2036		675		673,320
Louisiana Public Facilities Authority (Geo Prep Mid-City of Greater Baton Rouge) Series 2022 6.125%, 06/01/2052(c)		1,025		950,339

abfunds.com AB TAX-AWARE FIXED INCOME OPPORTUNITIES PORTFOLIO    ^|    33

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Louisiana Public Facilities Authority (Louisiana Pellets, Inc.) Series 2014-A 7.50%, 07/01/2023(i)	$	250	$	2
Louisiana Public Facilities Authority (Louisiana State University & Agricultural & Mechanical College Auxiliary Revenue) Series 2019 5.00%, 07/01/2059		1,335		1,234,694
New Orleans Aviation Board Series 2017-B 5.00%, 01/01/2043		215		205,485
Parish of St. James LA (NuStar Logistics LP) Series 2020-2 6.35%, 07/01/2040(c)		100		104,803
State of Louisiana Gasoline & Fuels Tax Revenue Series 2022-A 4.217% (SOFR + 0.50%), 05/01/2043(b)		990		966,495
				15,153,839
Maine – 0.0%
Finance Authority of Maine (Casella Waste Systems, Inc.) Series 2017 5.25%, 01/01/2025(c)		100		99,293
Maryland – 1.1%
Maryland Economic Development Corp. (Air Cargo Obligated Group) Series 2019 4.00%, 07/01/2044		600		461,275
Maryland Economic Development Corp. (Maryland Economic Development Corp. Morgan View & Thurgood Marshall Student Hsg) Series 2022 6.00%, 07/01/2058		1,000		1,034,005
Maryland Economic Development Corp. (Purple Line Transit Partners LLC) Series 2022 5.25%, 06/30/2052		1,000		922,284
Maryland Health & Higher Educational Facilities Authority (Adventist Healthcare Obligated Group) Series 2021 5.00%, 01/01/2036		500		479,058

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PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Maryland Stadium Authority (Baltimore City Public School Construction Financing Fund) Series 2020 5.00%, 05/01/2050	$	1,500	$	1,456,196
				4,352,818
Massachusetts – 1.1%
Commonwealth of Massachusetts Transportation Fund Revenue Series 2022 5.00%, 06/01/2050		1,000		1,007,844
Series 2023-B 5.00%, 06/01/2051		2,000		2,016,891
Massachusetts Development Finance Agency (Merrimack College) Series 2014 5.125%, 07/01/2044		620		569,235
Massachusetts Development Finance Agency (Tufts Medicine Obligated Group) Series 2019-A 5.00%, 07/01/2044		1,000		864,309
				4,458,279
Michigan – 1.7%
City of Detroit MI Series 2014-B 4.00%, 04/01/2044(g)		245		166,418
Series 2018 5.00%, 04/01/2038		75		71,312
Series 2021-A 5.00%, 04/01/2046		2,000		1,797,269
Series 2021-B 3.644%, 04/01/2034		200		144,124
Series 2023-A 5.25%, 05/01/2026		1,000		1,006,886
City of Detroit MI Sewage Disposal System Revenue (Great Lakes Water Authority Sewage Disposal System Revenue) AGM Series 2006-D 4.39% (LIBOR 3 Month + 0.60%), 07/01/2032(b)		1,000		928,329
Michigan Finance Authority (Michigan Finance Authority Tobacco Settlement Revenue) Series 2020-A 3.267%, 06/01/2039		1,000		856,179

abfunds.com AB TAX-AWARE FIXED INCOME OPPORTUNITIES PORTFOLIO    ^|    35

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Michigan Strategic Fund (Michigan Strategic Fund – I 75 Improvement Project) AGM Series 2018 4.125%, 06/30/2035	$	1,610	$	1,507,685
Michigan Tobacco Settlement Finance Authority (Tobacco Settlement Financing Corp./MI) Series 2008-C Zero Coupon, 06/01/2058		7,750		348,921
				6,827,123
Minnesota – 0.2%
Dakota County Community Development Agency (Rosemont AH I LLLP) Series 2023 5.30%, 07/01/2028(c)		215		211,638
5.66%, 07/01/2041(c)		585		536,062
Duluth Economic Development Authority (Benedictine Health System Obligated Group) Series 2021 4.00%, 07/01/2036		100		77,982
4.00%, 07/01/2041		100		70,564
Housing & Redevelopment Authority of The City of St. Paul Minnesota (Minnesota Math & Science Academy) Series 2021 4.00%, 06/01/2051(c)		100		62,997
4.00%, 06/01/2056(c)		100		60,745
				1,019,988
Mississippi – 0.4%
Mississippi Business Finance Corp. (Alden Group Renewable Energy Mississippi LLC) Series 2022 8.00%, 12/01/2029(f)		500		472,551
Mississippi Business Finance Corp. (Enviva, Inc.) Series 2022 7.75%, 07/15/2047		220		157,263
Mississippi Development Bank (Magnolia Regional Health Center) Series 2021 4.00%, 10/01/2035(c)		1,000		824,042
Mississippi Hospital Equipment & Facilities Authority (Baptist Memorial Health Care Obligated Group) Series 2016-A 5.00%, 09/01/2036		250		244,061
				1,697,917

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PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Missouri – 0.1%
Kansas City Industrial Development Authority Series 2019 5.00%, 07/01/2040(c)	$	175	$	140,578
Lee’s Summit Industrial Development Authority (John Knox Village Obligated Group) Series 2021-A 5.00%, 08/15/2056		300		217,898
Taney County Industrial Development Authority (Taney County Industrial Development Authority Lease) Series 2023 6.00%, 10/01/2049(c)		100		89,861
				448,337
Nebraska – 0.2%
Central Plains Energy Project (Bank of Montreal) Series 2023-A 5.00%, 05/01/2054		1,000		994,815
Nevada – 0.4%
City of Reno NV (County of Washoe NV Sales Tax Revenue) Series 2018-C Zero Coupon, 07/01/2058(c)		2,000		201,714
City of Sparks NV (City of Sparks NV Sales Tax) Series 2019-A 2.75%, 06/15/2028(c)		510		462,152
State of Nevada Department of Business & Industry (DesertXpress Enterprises LLC) Series 2023 3.70%, 01/01/2050(c)		290		288,413
8.125%, 01/01/2050(c)		770		772,445
				1,724,724
New Jersey – 3.2%
Essex County Improvement Authority (Friends of TEAM Academy Charter School Obligated Group) Series 2021 4.00%, 06/15/2051		1,100		851,721

abfunds.com AB TAX-AWARE FIXED INCOME OPPORTUNITIES PORTFOLIO    ^|    37

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
New Jersey Economic Development Authority (New Jersey Economic Development Authority State Lease) Series 2019 5.25%, 04/01/2026	$	1,000	$	1,025,478
Series 2023 5.398%, 03/01/2033		1,000		959,739
New Jersey Economic Development Authority (New Jersey-American Water Co., Inc.) Series 2023 3.75%, 11/01/2034		1,000		939,812
New Jersey Economic Development Authority (State of New Jersey) Series 2024-S 5.00%, 06/15/2026(h)		1,000		1,008,753
5.00%, 06/15/2034(h)		2,000		2,061,048
New Jersey Economic Development Authority (United Airlines, Inc.) Series 2012 5.25%, 09/15/2029		210		205,122
New Jersey Educational Facilities Authority (Stevens Institute of Technology International, Inc.) Series 2020-A 5.00%, 07/01/2045		100		92,332
New Jersey Health Care Facilities Financing Authority (Inspira Health Obligated Group) Series 2017-A 5.00%, 07/01/2036		280		282,202
New Jersey Transportation Trust Fund Authority (New Jersey Transportation Fed Hwy Grant) Series 2016 5.00%, 06/15/2029		550		559,582
New Jersey Transportation Trust Fund Authority (New Jersey Transportation Trust Fund Authority State Lease) Series 2018-A 5.00%, 12/15/2035		340		346,908
New Jersey Turnpike Authority Series 2017-B 5.00%, 01/01/2032		540		561,093
South Jersey Transportation Authority BAM Series 2022 5.25%, 11/01/2052		1,000		995,663

38    ^|    AB TAX-AWARE FIXED INCOME OPPORTUNITIES PORTFOLIO abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Tobacco Settlement Financing Corp./NJ Series 2018-B 5.00%, 06/01/2046	$	3,260	$	3,022,728
				12,912,181
New Mexico – 0.4%
New Mexico Hospital Equipment Loan Council (Haverland Carter Lifestyle Obligated Group) Series 2019 5.00%, 07/01/2049		1,000		746,888
Winrock Town Center Tax Increment Development District No. 1 Series 2022 3.75%, 05/01/2028(c)		771		709,787
				1,456,675
New York – 7.0%
Build NYC Resource Corp. (Integration Charter Schools) Series 2021 5.00%, 06/01/2056(c)		500		404,068
Build NYC Resource Corp. (KIPP NYC Public Charter Schools) Series 2023 5.25%, 07/01/2062		1,000		908,188
Hempstead Town Local Development Corp. (Evergreen Charter School, Inc.) Series 2022-A 5.50%, 06/15/2057		2,000		1,767,361
Long Island Power Authority Series 2023-E 5.00%, 09/01/2048		1,000		987,866
5.00%, 09/01/2053		1,000		980,264
Metropolitan Transportation Authority Series 2020-A 5.00%, 11/15/2045		1,000		1,019,493
Series 2020-C 5.00%, 11/15/2050		1,000		949,706
5.25%, 11/15/2055		1,000		980,673
Series 2020-E 4.00%, 11/15/2026		1,155		1,141,629
Series 2021-D 3.888% (SOFR + 0.33%), 11/01/2035(b)		845		842,902
Monroe County Industrial Development Corp./NY (Academy of Health Sciences Charter School) Series 2022 6.00%, 07/01/2057(c)		1,000		894,259

abfunds.com AB TAX-AWARE FIXED INCOME OPPORTUNITIES PORTFOLIO    ^|    39

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Monroe County Industrial Development Corp./NY (St. Ann’s of Greater Rochester Obligated Group) Series 2019 5.00%, 01/01/2040	$	550	$	449,553
New York City Municipal Water Finance Authority Series 2023 5.00%, 06/15/2034		1,000		1,110,587
New York City Transitional Finance Authority Building Aid Revenue (New York City Transitional Finance Authority Building Aid Revenue State Lease) Series 2018-S 5.00%, 07/15/2032		865		901,726
New York Counties Tobacco Trust V Series 2005 Zero Coupon, 06/01/2050		350		42,211
New York Liberty Development Corp. (3 World Trade Center LLC) Series 2014 5.00%, 11/15/2044(c)		1,215		1,084,176
5.375%, 11/15/2040(c)		115		106,239
New York Power Authority AGM Series 2023 5.00%, 11/15/2053(h)		2,000		1,990,321
New York State Dormitory Authority (Garnet Health Medical Center Obligated Group) Series 2017 5.00%, 12/01/2034(c)		1,000		905,304
New York State Dormitory Authority (Pre-refunded – US Treasuries) Series 2014-A 5.00%, 02/15/2028		425		426,487
New York Transportation Development Corp. (Delta Air Lines, Inc.) Series 2018 4.00%, 01/01/2036		275		238,084
New York Transportation Development Corp. (Laguardia Gateway Partners LLC) Series 2016-A 5.00%, 07/01/2041		150		142,279

40    ^|    AB TAX-AWARE FIXED INCOME OPPORTUNITIES PORTFOLIO abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Triborough Bridge & Tunnel Authority (Metropolitan Transportation Authority Payroll Mobility Tax Revenue) Series 2021-A 2.917%, 05/15/2040	$	500	$	336,372
Series 2022-E 3.596%, 04/01/2026(a)		10,000		9,868,624
Ulster County Capital Resource Corp. (Woodland Pond at New Paltz) Series 2017 5.00%, 09/15/2037		120		89,903
Westchester County Local Development Corp. (Purchase Senior Learning Community Obligated Group) Series 2021 2.875%, 07/01/2026(c)		250		235,565
Western Regional Off-Track Betting Corp. Series 2021 4.125%, 12/01/2041(c)		100		69,252
				28,873,092
North Carolina – 1.5%
City of Charlotte NC Airport Revenue Series 2023 5.00%, 07/01/2048		2,200		2,097,954
Fayetteville State University Series 2023 5.00%, 04/01/2038(c)		1,045		1,047,966
Greater Asheville Regional Airport Authority AGM Series 2023 5.25%, 07/01/2048		2,500		2,465,794
North Carolina Turnpike Authority Series 2017 5.00%, 01/01/2032		500		506,705
				6,118,419
North Dakota – 0.5%
City of Grand Forks ND (Altru Health System Obligated Group) AGM Series 2023-A 5.00%, 12/01/2048		1,000		973,478
5.00%, 12/01/2053		1,250		1,188,202
County of Grand Forks ND (Red River Biorefinery LLC) Series 2021 6.625%, 12/15/2031(d)(e)(f)		100		20,000
				2,181,680

abfunds.com AB TAX-AWARE FIXED INCOME OPPORTUNITIES PORTFOLIO    ^|    41

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Ohio – 3.8%
American Municipal Power, Inc. (American Municipal Power Solar Electricity Prepayment Revenue) Series 2020 4.00%, 02/15/2044	$	1,000	$	814,759
Buckeye Tobacco Settlement Financing Authority Series 2020-B 5.00%, 06/01/2055		1,315		1,075,713
City of Chillicothe OH (Adena Health System Obligated Group) Series 2017 5.00%, 12/01/2047		175		162,089
Cleveland-Cuyahoga County Port Authority (Cleveland-Cuyahoga County Port Authority Flats East Bank TIF District) Series 2021 4.00%, 12/01/2055(c)		490		347,950
County of Cuyahoga OH (County of Cuyahoga OH Lease) Series 2014 5.00%, 12/01/2028		365		365,961
County of Cuyahoga OH (MetroHealth System (The)) Series 2017 5.00%, 02/15/2042		205		189,858
County of Marion OH (United Church Homes, Inc. Obligated Group) Series 2019 5.125%, 12/01/2049		100		70,956
County of Montgomery OH (Trousdale Foundation Obligated Group) Series 2018-A 6.25%, 04/01/2049(d)(e)(f)		100		22,000
County of Washington OH (Marietta Area Health Care, Inc. Obligated Group) Series 2022 6.625%, 12/01/2042		1,000		938,561
6.75%, 12/01/2052		250		240,184
Jefferson County Port Authority/OH (JSW Steel USA Ohio, Inc.) Series 2021 3.50%, 12/01/2051(c)		1,000		616,808

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PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Ohio Air Quality Development Authority (Ohio Valley Electric Corp.) Series 2019 3.25%, 09/01/2029	$	580	$	531,643
Ohio Air Quality Development Authority (Pratt Paper OH, Inc.) Series 2017 4.25%, 01/15/2038(c)		185		165,943
Port of Greater Cincinnati Development Authority Series 2021 4.375%, 06/15/2056		100		94,835
University of Toledo Series 2023-B 1.00% (SOFR + 0.90%), 06/01/2036(a)(b)		10,000		9,842,300
				15,479,560
Oklahoma – 0.7%
Norman Regional Hospital Authority (Norman Regional Hospital Authority Obligated Group) Series 2019 3.25%, 09/01/2039		505		348,203
Oklahoma Development Finance Authority (OU Medicine Obligated Group) Series 2018-B 5.25%, 08/15/2048		1,000		841,598
5.50%, 08/15/2052		1,000		865,885
Series 2022-A 5.50%, 08/15/2044		1,000		861,296
				2,916,982
Oregon – 0.2%
Clackamas County Hospital Facility Authority (Rose Villa, Inc. Obligated Group) Series 2020-A 5.375%, 11/15/2055		1,000		827,283
Other – 0.2%
Affordable Housing Tax-Exempt Bond Pass-Thru Trust  Series 2023-2 6.00%, 10/05/2040(c)		499		473,760
Federal Home Loan Mortgage Corp. Multifamily VRD Certificates (FHLMC Multifamily VRD Certificates) 2.65%, 06/15/2036(c)		375		283,554
				757,314

abfunds.com AB TAX-AWARE FIXED INCOME OPPORTUNITIES PORTFOLIO    ^|    43

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Pennsylvania – 9.0%
Allegheny County Hospital Development Authority (UPMC Obligated Group) Series 2022 4.89% (MUNIPSA + 0.70%), 11/15/2047(b)	$	2,000	$	1,979,620
Allentown Neighborhood Improvement Zone Development Authority Series 2022 5.25%, 05/01/2042(c)		495		457,495
Berks County Municipal Authority (The) (Tower Health Obligated Group) Series 2020-B 5.00%, 02/01/2040		1,000		621,096
Bucks County Industrial Development Authority (Grand View Hospital/Sellersville PA Obligated Group) Series 2021 4.00%, 07/01/2051		1,000		630,248
5.00%, 07/01/2054		250		187,424
Chester County Industrial Development Authority (Collegium Charter School) Series 2022 5.625%, 10/15/2042(c)		250		228,124
Lancaster County Hospital Authority/PA (St. Anne’s Retirement Community Obligated Group) Series 2020 5.00%, 03/01/2040		1,000		793,860
Montgomery County Higher Education and Health Authority (Thomas Jefferson University Obligated Group) Series 2022 5.00%, 05/01/2052		2,000		1,864,056
Moon Industrial Development Authority (Baptist Homes Society Obligated Group) Series 2015 6.125%, 07/01/2050		1,000		671,013
Moon Industrial Development Authority (Baptist Homes Society) Series 2015 5.75%, 07/01/2035		100		76,928

44    ^|    AB TAX-AWARE FIXED INCOME OPPORTUNITIES PORTFOLIO abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Pennsylvania Economic Development Financing Authority (Commonwealth of Pennsylvania Department of Transportation) Series 2022 5.25%, 06/30/2053	$	1,000	$	942,486
AGM Series 2022 5.00%, 12/31/2057		1,000		957,360
5.75%, 12/31/2062		1,000		1,041,756
Pennsylvania Economic Development Financing Authority (Covanta Holding Corp.) Series 2019 3.25%, 08/01/2039(c)		510		343,057
Pennsylvania Economic Development Financing Authority (Iron Cumberland LLC) Series 2022 7.00%, 12/01/2029		1,000		941,065
Pennsylvania Economic Development Financing Authority (PA Bridges Finco LP) Series 2015 5.00%, 12/31/2038		100		94,718
Pennsylvania Economic Development Financing Authority (UPMC Obligated Group) Series 2022-C 4.89% (MUNIPSA + 0.70%), 11/15/2047(b)		3,000		2,967,269
Pennsylvania Turnpike Commission Series 2023 1.00%, 07/15/2041(a)		10,000		10,000,116
Philadelphia Authority for Industrial Development (MaST Community Charter School III) Series 2021 5.00%, 08/01/2054		100		82,753
Philadelphia Authority for Industrial Development (Philadelphia Performing Arts Charter School) Series 2020 5.00%, 06/15/2040(c)		1,000		899,552
Pittsburgh Water & Sewer Authority AGM Series 2023-C 1.00%, 09/01/2040(a)		10,000		9,888,854

abfunds.com AB TAX-AWARE FIXED INCOME OPPORTUNITIES PORTFOLIO    ^|    45

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
School District of Philadelphia (The) Series 2019-A 5.00%, 09/01/2044(a)	$	1,350	$	1,315,167
				36,984,017
Puerto Rico – 4.2%
Children’s Trust Fund  Series 2008-A Zero Coupon, 05/15/2057		2,600		152,412
Series 2008-B Zero Coupon, 05/15/2057		5,000		232,258
Commonwealth of Puerto Rico Series 2021-A Zero Coupon, 07/01/2024		20		19,471
Zero Coupon, 07/01/2033		779		444,747
4.00%, 07/01/2033		2,623		2,281,037
4.00%, 07/01/2035		111		92,892
4.00%, 07/01/2046		134		98,181
5.375%, 07/01/2025		242		243,592
5.625%, 07/01/2027		286		290,937
5.625%, 07/01/2029		168		171,657
5.75%, 07/01/2031		270		277,719
Series 2022-A Zero Coupon, 11/01/2051		3,534		1,693,623
Series 2022-C 0.00%, 11/01/2043		5,470		2,721,099
GDB Debt Recovery Authority of Puerto Rico Series 2018 7.50%, 08/20/2040		111		90,664
HTA TRRB Custodial Trust  Series 2022 5.25%, 07/01/2036		110		110,467
5.25%, 07/01/2041		125		122,009
Puerto Rico Commonwealth Aqueduct & Sewer Authority Series 2008-A 6.125%, 07/01/2024		31		31,245
Series 2020-A 5.00%, 07/01/2035(c)		500		478,233
Puerto Rico Electric Power Authority Series 2007-T 5.00%, 07/01/2032(d)(e)		85		21,250
5.00%, 07/01/2037(d)(e)		600		150,000
Series 2008-W 5.00%, 07/01/2028(d)(e)		245		61,250
Series 2008-WW 5.375%, 07/01/2024(d)(e)		125		31,250

46    ^|    AB TAX-AWARE FIXED INCOME OPPORTUNITIES PORTFOLIO abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Series 2010-A 5.25%, 07/01/2029(d)(e)	$	100	$	25,000
5.25%, 07/01/2030(d)(e)		15		3,750
Series 2010-C 5.00%, 07/01/2024(d)(e)		25		6,250
5.25%, 07/01/2027(d)(e)		150		37,500
5.25%, 07/01/2028(d)(e)		305		76,250
Series 2010-DDD 5.00%, 07/01/2021(e)(i)		15		3,750
Series 2010-X 5.25%, 07/01/2040(d)(e)		820		205,000
5.75%, 07/01/2036(d)(e)		625		156,250
Series 2010-ZZ 5.25%, 07/01/2018(e)(i)		150		37,500
5.25%, 07/01/2024(d)(e)		40		10,000
Series 2012-A 5.00%, 07/01/2029(d)(e)		50		12,500
5.00%, 07/01/2042(d)(e)		100		25,000
5.05%, 07/01/2042		110		27,500
Series 2013-A 7.00%, 07/01/2033		100		25,000
7.00%, 07/01/2040(d)(e)		100		25,000
AGM Series 2007-V 5.25%, 07/01/2027		1,000		994,996
5.25%, 07/01/2031		375		370,092
Puerto Rico Highway & Transportation Authority Series 2022-A 5.00%, 07/01/2062		1,600		1,576,000
Puerto Rico Housing Finance Authority (El Mirador LLC) Series 2023 5.00%, 03/01/2027		2,000		2,035,181
Puerto Rico Industrial Tourist Educational Medical & Environmental Control Facilities Financing Auth (AES Puerto Rico LP) Series 2000 6.625%, 06/01/2026(d)(e)		350		245,000
Puerto Rico Sales Tax Financing Corp. Sales Tax Revenue Series 2018-A Zero Coupon, 07/01/2024		3		2,907
Zero Coupon, 07/01/2027		17		14,362
Zero Coupon, 07/01/2029		17		13,067
Zero Coupon, 07/01/2046		2,111		523,267

abfunds.com AB TAX-AWARE FIXED INCOME OPPORTUNITIES PORTFOLIO    ^|    47

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Series 2019-A 4.329%, 07/01/2040	$	440	$	380,083
5.00%, 07/01/2058		867		756,898
				17,404,096
South Carolina – 1.0%
Columbia Housing Authority/SC Series 2022 4.80%, 11/01/2024		150		146,025
5.26%, 11/01/2032		100		91,461
5.41%, 11/01/2039		310		271,663
6.28%, 11/01/2039		100		86,948
Greenville Housing Authority/SC Series 2023 6.16%, 05/01/2063(c)		1,000		885,519
Patriots Energy Group Financing Agency (Sumitomo Mitsui Financial Group, Inc.) Series 2023-A 5.25%, 10/01/2054		1,000		995,428
South Carolina Jobs-Economic Development Authority (FAH Pelham LLC) Series 2023-A 6.50%, 02/01/2056(c)		565		498,751
Series 2023-B 7.50%, 08/01/2047(c)		210		186,927
South Carolina Jobs-Economic Development Authority (Last Step Recycling LLC) Series 2021 6.25%, 06/01/2040(c)		100		73,653
6.50%, 06/01/2051(c)		300		208,259
South Carolina Jobs-Economic Development Authority (PSG Patriot’s Place Apartments LLC) Series 2022 Zero Coupon, 06/01/2052(g)		410		252,868
South Carolina Public Service Authority Series 2016-A 5.00%, 12/01/2036		265		261,677
				3,959,179
South Dakota – 0.0%
South Dakota Housing Development Authority (Schuett Spearfish LP) Series 2023 6.15%, 09/01/2039		150		142,288

48    ^|    AB TAX-AWARE FIXED INCOME OPPORTUNITIES PORTFOLIO abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Tennessee – 1.2%
Bristol Industrial Development Board (Bristol Industrial Development Board Sales Tax) Series 2016-A 5.00%, 12/01/2035(c)	$	370	$	325,286
5.125%, 12/01/2042(c)		1,000		831,728
Series 2016-B Zero Coupon, 12/01/2031(c)		150		90,507
Chattanooga Health Educational & Housing Facility Board (CommonSpirit Health) Series 2019-A 4.00%, 08/01/2037		30		26,511
4.00%, 08/01/2038		100		86,910
Knox County Industrial Development Board (Tompaul Knoxville LLC) Series 2022 9.25%, 11/01/2042(c)		200		188,686
9.50%, 11/01/2052(c)		400		375,200
Metropolitan Government Nashville & Davidson County Health & Educational Facilities Board (Trevecca Nazarene University) Series 2021 4.00%, 10/01/2051		250		178,497
Metropolitan Government Nashville & Davidson County Health & Educational Facilities Board (Trousdale Foundation Obligated Group) Series 2018-A 6.25%, 04/01/2049(d)(e)(f)		135		29,700
Metropolitan Government Nashville & Davidson County Health & Educational Facilities Board (Vanderbilt University Medical Center Obligated Group) Series 2016 5.00%, 07/01/2035		215		216,829
Metropolitan Government Nashville & Davidson County Industrial Development Board (South Nashville Central Business Improvement District) Series 2021 Zero Coupon, 06/01/2043(c)		1,000		306,579
4.00%, 06/01/2051(c)		100		73,405

abfunds.com AB TAX-AWARE FIXED INCOME OPPORTUNITIES PORTFOLIO    ^|    49

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Metropolitan Government Nashville & Davidson County Sports Authority (Metropolitan Government of Nashville & Davidson County TN) AGM Series 2023-A 5.25%, 07/01/2053	$	1,000	$	1,021,147
Tennergy Corp./TN (Goldman Sachs Group, Inc. (The)) Series 2022-A 5.50%, 10/01/2053		1,000		1,003,226
Wilson County Health & Educational Facilities Board Series 2021 4.00%, 12/01/2039		200		149,423
4.25%, 12/01/2024		200		190,631
				5,094,265
Texas – 4.8%
Abilene Convention Center Hotel Development Corp. (City of Abilene TX Abilene Convention Center Revenue) Series 2021-A 4.00%, 10/01/2050		250		169,261
Series 2021-B 5.00%, 10/01/2050(c)		500		374,012
Arlington Higher Education Finance Corp. (BASIS Texas Charter Schools, Inc.) Series 2021 4.50%, 06/15/2056(c)		500		488,165
Arlington Higher Education Finance Corp. (Magellan School (The)) Series 2022 6.25%, 06/01/2052(c)		200		186,439
6.375%, 06/01/2062(c)		250		232,665
Austin Convention Enterprises, Inc. Series 2017-A 5.00%, 01/01/2034		500		489,514
Baytown Municipal Development District (Baytown Municipal Development District Baytown Convention Center Hotel Revenue Hotel Occupancy Tax) Series 2021 5.00%, 10/01/2050(c)		400		315,114
Brazoria County Industrial Development Corp. (Aleon Renewable Metals LLC) Series 2022 10.00%, 06/01/2042(c)		500		459,569

50    ^|    AB TAX-AWARE FIXED INCOME OPPORTUNITIES PORTFOLIO abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Central Texas Regional Mobility Authority Series 2021-B 5.00%, 01/01/2046	$	1,000	$	973,619
City of Dallas Housing Finance Corp. (DHFC The Briscoe Apartments LLC) Series 2022 Zero Coupon, 12/01/2062(c)		4,760		284,540
6.00%, 12/01/2062		555		513,136
City of Dallas Housing Finance Corp. (DHFC The Dylan Apartments LLC) Series 2022 6.00%, 12/01/2062(c)		270		234,669
6.25%, 12/01/2054(c)		100		82,859
City of Houston TX (City of Houston TX Hotel Occupancy Tax) Series 2015 5.00%, 09/01/2031		160		160,837
City of San Antonio TX Electric & Gas Systems Revenue Series 2021-A 5.00%, 02/01/2046		1,000		997,965
Conroe Local Government Corp. (Conroe Local Government Corp. Conroe Convention Center Hotel) Series 2021 4.00%, 10/01/2046		1,000		786,779
Dallas County Flood Control District No. 1 Series 2015 5.00%, 04/01/2028(c)		100		97,151
Decatur Hospital Authority Series 2021 4.00%, 09/01/2044		1,000		747,413
Harris County Cultural Education Facilities Finance Corp. (Memorial Hermann Health System Obligated Group) Series 2022 5.04% (MUNIPSA + 0.85%), 07/01/2049(b)		1,000		999,025
Hidalgo County Regional Mobility Authority Series 2022-A Zero Coupon, 12/01/2050		1,000		180,924
Series 2022-B Zero Coupon, 12/01/2042		1,400		411,816
Love Field Airport Modernization Corp. (Dallas Love Field) Series 2015 5.00%, 11/01/2032		500		494,658

abfunds.com AB TAX-AWARE FIXED INCOME OPPORTUNITIES PORTFOLIO    ^|    51

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Mission Economic Development Corp. (Natgasoline LLC) Series 2018 4.625%, 10/01/2031(c)	$	450	$	422,786
New Hope Cultural Education Facilities Finance Corp. Series 2023 8.50%, 09/01/2027(f)		955		930,340
New Hope Cultural Education Facilities Finance Corp. (Legacy at Midtown Park, Inc. Obligated Group) Series 2018-A 5.50%, 07/01/2054		300		210,839
New Hope Cultural Education Facilities Finance Corp. (Morningside Ministries Obligated Group) Series 2020 5.00%, 01/01/2055		100		72,044
Series 2022 4.00%, 01/01/2047		100		63,135
5.00%, 01/01/2057		200		139,840
New Hope Cultural Education Facilities Finance Corp. (Outlook at Windhaven Forefront Living Obligated Group) Series 2022 6.875%, 10/01/2057		1,000		828,547
Pflugerville Independent School District Series 2023-A 4.00%, 02/15/2044		2,000		1,748,940
Port Beaumont Navigation District (Jefferson Railport Terminal II LLC) Series 2020 4.00%, 01/01/2050(c)		100		64,564
Series 2021 2.625%, 01/01/2031(c)		300		232,193
Tarrant County Cultural Education Facilities Finance Corp. (Stayton at Museum Way) Series 2020-A 5.75%, 12/01/2054(d)(e)(k)		456		296,492

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PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Texas Municipal Gas Acquisition & Supply Corp. III (Macquarie Group Ltd.) Series 2021 5.00%, 12/15/2029	$	1,000	$	982,599
5.00%, 12/15/2031		1,000		973,409
Texas Transportation Commission State Highway 249 System Series 2019 5.00%, 08/01/2057		1,000		876,503
Texas Water Development Board (State Water Implementation Revenue Fund for Texas) Series 2023-A 5.00%, 10/15/2058		2,000		2,007,511
				19,529,872
Utah – 0.6%
Intermountain Power Agency Series 2023 5.00%, 07/01/2041		1,000		1,035,057
Military Installation Development Authority Series 2021-A 4.00%, 06/01/2052		500		334,271
Utah Infrastructure Agency Series 2022 5.00%, 10/15/2046		1,000		855,015
Wohali Public Infrastructure District No. 1 (Village Community Development District No. 13 Phase I Series 2019 Special Assmnts) Series 2023 7.00%, 12/01/2042(c)		200		185,538
				2,409,881
Vermont – 0.1%
Vermont Economic Development Authority (Casella Waste Systems, Inc.) Series 2022 5.00%, 06/01/2052(c)		500		487,523
Virginia – 3.9%
Align Affordable Housing Bond Fund LP (Park Landing LP) Series 2022-2 5.66%, 08/01/2052		500		428,670

abfunds.com AB TAX-AWARE FIXED INCOME OPPORTUNITIES PORTFOLIO    ^|    53

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Atlantic Park Community Development Authority (Atlantic Park Community Development Authority District) Series 2023 6.25%, 08/01/2045(c)	$	615	$	539,619
Halifax County Industrial Development Authority (Virginia Electric and Power Co.) Series 2022 1.65%, 12/01/2041		2,000		1,957,344
Henrico County Economic Development Authority (Westminster-Canterbury Corp. Obligated Group) Series 2022 5.00%, 10/01/2047		1,000		912,051
Tobacco Settlement Financing Corp./VA Series 2007-B1 5.00%, 06/01/2047		165		141,349
US Bank Trust Co NA (Park Landing LP) Series 2022-B 5.90%, 08/01/2052		79		68,054
Virginia College Building Authority (Marymount University) Series 2015-A 5.00%, 07/01/2045(c)		1,000		853,692
Virginia Small Business Financing Authority Series 2023 5.00%, 11/01/2052(h)		4,000		3,999,361
Virginia Small Business Financing Authority (Elizabeth River Crossings OpCo LLC) Series 2022 4.00%, 01/01/2034		2,000		1,800,771
Virginia Small Business Financing Authority (P3 VB Holdings LLC) Series 2023 8.50%, 12/01/2052(c)		430		379,758
Virginia Small Business Financing Authority (Pure Salmon Virginia, LLC) Series 2022 3.50%, 11/01/2052		4,000		4,000,000
Virginia Small Business Financing Authority (Total Fiber Recovery @ Chesapeake LLC) Series 2022 7.68% (SOFR + 5.50%), 06/01/2029(b)(c)		530		495,627
8.50%, 06/01/2042(c)		615		539,576
				16,115,872

54    ^|    AB TAX-AWARE FIXED INCOME OPPORTUNITIES PORTFOLIO abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Washington – 1.2%
Pend Oreille County Public Utility District No. 1 Box Canyon Series 2018 5.00%, 01/01/2044	$	280	$	259,192
Port of Seattle WA Series 2015-C 5.00%, 04/01/2033		510		508,738
Washington Economic Development Finance Authority (Mura Cascade ELP LLC) Series 2022 3.90%, 12/01/2042(c)		2,500		2,496,792
Washington State Housing Finance Commission (Presbyterian Retirement Communities Northwest Obligated Group) Series 2013 5.25%, 01/01/2043(c)		1,000		790,146
Series 2019-A 5.00%, 01/01/2055(c)		1,000		681,672
Washington State Housing Finance Commission (Rockwood Retirement Communities) Series 2014-A 7.375%, 01/01/2044(c)		200		201,007
				4,937,547
West Virginia – 0.6%
City of South Charleston WV (City of South Charleston WV South Charleston Park Place Excise Tax District) Series 2022 4.25%, 06/01/2042(c)		250		182,782
County of Monongalia WV (Monongalia County Building Commission Development District No. 4) Series 2023 5.75%, 06/01/2043(c)		1,000		990,790
Monongalia County Commission Excise Tax District Series 2022-A 6.25%, 06/01/2024		250		249,570
West Virginia Economic Development Authority (Arch Resources, Inc.) Series 2023 9.00%, 06/01/2038(c)		1,000		946,567
				2,369,709

abfunds.com AB TAX-AWARE FIXED INCOME OPPORTUNITIES PORTFOLIO    ^|    55

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Wisconsin – 3.9%
DIP Loan Agreement KDC Agribusiness (KDC Agribusiness LLC)  12.00%, 09/14/2024(l)(m)	$	284	$	28,400
St. Croix Chippewa Indians of Wisconsin Series 2021 5.00%, 09/30/2041(c)		200		139,730
UMA Education, Inc. Series 2019 5.00%, 10/01/2025(c)		100		99,081
5.00%, 10/01/2027(c)		130		128,226
5.00%, 10/01/2029(c)		100		97,746
Wisconsin Center District (Wisconsin Center District Ded Tax) Series 2022 5.25%, 12/15/2061(c)		200		170,759
Wisconsin Department of Transportation (Wisconsin Department of Transportation Vehicle Fee Revenue) Series 2024-1 5.00%, 07/01/2029(h)		2,000		2,088,259
Wisconsin Health & Educational Facilities Authority (Advocate Aurora Health Obligated Group) Series 2023 5.00%, 08/15/2054		1,000		1,018,496
Wisconsin Health & Educational Facilities Authority (Oakwood Lutheran Senior Ministries Obligated Group) Series 2021 4.00%, 01/01/2047		100		57,488
4.00%, 01/01/2057		1,000		525,367
Wisconsin Health & Educational Facilities Authority (St. Camillus Health System Obligated Group) Series 2019 5.00%, 11/01/2054		100		68,827
Wisconsin Health & Educational Facilities Authority (St. John’s Communities, Inc. Obligated Group) Series 2022 4.00%, 09/15/2036		775		633,694
4.00%, 09/15/2041		765		573,817
4.00%, 09/15/2045		650		461,083

56    ^|    AB TAX-AWARE FIXED INCOME OPPORTUNITIES PORTFOLIO abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Wisconsin Housing & Economic Development Authority (Roers Sun Prairie Apartments Owner LLC) Series 2022 4.625%, 03/15/2040(c)	$	100	$	79,415
Series 2022-A 3.875%, 12/01/2039(c)		460		360,635
Wisconsin Public Finance Authority (21st Century Public Academy) Series 2020 3.75%, 06/01/2030(c)		350		301,996
Wisconsin Public Finance Authority (Catholic Bishop of Chicago (The)) Series 2021 5.75%, 07/25/2041(f)		1,000		805,133
Wisconsin Public Finance Authority (Celanese US Holdings LLC) Series 2016-C 4.30%, 11/01/2030		100		92,394
Wisconsin Public Finance Authority (CFC-SA LLC) Series 2022 6.00%, 02/01/2062(c)		1,000		888,715
Wisconsin Public Finance Authority (Crossroads Health Project) Series 2023 8.00%, 07/01/2053(c)		1,000		926,778
Wisconsin Public Finance Authority (FAH Tree House LLC) Series 2023 6.50%, 08/01/2053(c)		500		449,409
6.625%, 02/01/2046(c)		375		318,663
Wisconsin Public Finance Authority (Gannon University) Series 2017 5.00%, 05/01/2042		1,315		1,158,228
Wisconsin Public Finance Authority (KDC Agribusiness LLC) Series 2022 15.00%, 04/30/2023(e)(f)(i)(l)(m)		600		– 0	–
Series 2023 15.00%, 04/30/2023(e)(f)(i)(l)(m)		175		– 0	–
Wisconsin Public Finance Authority (Lehigh Valley Health Network, Inc.) Series 2023 7.25%, 12/01/2042(c)		265		247,649
7.50%, 12/01/2052(c)		160		150,664

abfunds.com AB TAX-AWARE FIXED INCOME OPPORTUNITIES PORTFOLIO    ^|    57

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Wisconsin Public Finance Authority (McLemore Resort Manager LLC) Series 2021 4.50%, 06/01/2056(c)	$	295	$	193,520
Wisconsin Public Finance Authority (North San Gabriel Municipal Utility District No. 1) Series 2023 Zero Coupon, 09/01/2029(c)		200		125,637
Wisconsin Public Finance Authority (Prerefunded – US Treasuries) Series 2020 5.00%, 04/01/2050(c)		25		26,667
Wisconsin Public Finance Authority (Queens University of Charlotte) Series 2022 5.25%, 03/01/2042		1,000		910,741
Wisconsin Public Finance Authority (Roseman University of Health Sciences) Series 2020 5.00%, 04/01/2050(c)		475		397,599
Wisconsin Public Finance Authority (Samaritan Housing Foundation Obligated Group) Series 2021 4.00%, 06/01/2056(c)		500		300,768
Series 2022 4.00%, 06/01/2049(c)		100		63,830
Wisconsin Public Finance Authority (Southeastern Regional Medical Center Obligated Group) Series 2022 4.00%, 02/01/2034		1,300		1,036,690
Wisconsin Public Finance Authority (Uwharrie Charter Academy) Series 2022 5.00%, 06/15/2062(c)		500		381,406
Wisconsin Public Finance Authority (Washoe Barton Medical Clinic) Series 2021 4.00%, 12/01/2051		1,000		679,352
				15,986,862
Total Long-Term Municipal Bonds (cost $488,019,433)				446,424,111

58    ^|    AB TAX-AWARE FIXED INCOME OPPORTUNITIES PORTFOLIO abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Short-Term Municipal Notes – 0.2%
Illinois – 0.2%
Illinois Educational Facilities Authority (Lincoln Park Society (The)) Series 1999 4.15%, 01/01/2029(n)	$	200	$	200,000
Illinois Finance Authority (Latin School of Chicago (The)) Series 2005-B 4.10%, 08/01/2035(n)		385		385,000
				585,000
Washington – 0.0%
Washington State Housing Finance Commission (Panorama/United States) Series 2008 4.10%, 04/01/2043(n)		100		100,000
Total Short-Term Municipal Notes (cost $685,000)				685,000
Total Municipal Obligations (cost $488,704,433)				447,109,111
COMMERCIAL MORTGAGE-BACKED SECURITIES – 1.3%
Agency CMBS – 0.0%
Federal Home Loan Mortgage Corp. Multifamily VRD Certificates Series 2022-ML13, Class XUS 0.984%, 09/25/2036(o)		1,182		80,094
Non-Agency Fixed Rate CMBS – 1.2%
California Housing Finance Agency Series 2019-2, Class A 4.00%, 03/20/2033		150		141,410
Series 2021-2, Class A 3.75%, 03/25/2035		974		890,018
Series 2021-2, Class X 0.82%, 03/25/2035(o)		974		47,168
Series 2021-3, Class A 3.25%, 08/20/2036		243		207,862
Series 2021-3, Class X 0.766%, 08/20/2036(o)		971		49,570
Arizona Industrial Development Authority Series 2019-2, Class A 3.625%, 05/20/2033		190		165,571

abfunds.com AB TAX-AWARE FIXED INCOME OPPORTUNITIES PORTFOLIO    ^|    59

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
National Finance Authority Series 2022-2, Class X 0.674%, 10/01/2036(o)	$	987	$	46,732
New Hampshire Business Finance Authority Series 2020-1, Class A 4.125%, 01/20/2034		203		186,827
Series 2022-1, Class A 4.375%, 09/20/2036		1,966		1,794,112
Series 2022-2 0.334%, 09/20/2036(o)		983		21,498
Series 2022-2, Class A 4.00%, 10/20/2036		987		870,467
Washington State Housing Finance Commission Series 2021-1, Class A 3.50%, 12/20/2035		275		233,337
Series 2021-1, Class X 0.726%, 12/20/2035(o)		965		43,066
Series 2023-1, Class X 1.447%, 04/20/2037(o)		2,000		213,969
				4,911,607
Non-Agency Floating Rate CMBS – 0.1%
BAMLL Commercial Mortgage Securities Trust  Series 2017-SCH, Class AF 6.382% (SOFR + 1.05%), 11/15/2033(b)(c)		250		226,174
Total Commercial Mortgage-Backed Securities (cost $5,697,667)				5,217,875
CORPORATES - NON-INVESTMENT GRADE – 0.8%
Financial Institutions – 0.2%
Banking – 0.2%
Citigroup, Inc. 7.375%, 05/15/2028(p)		1,000		954,110
Comerica, Inc. 5.625%, 07/01/2025(p)		100		86,136
Fifth Third Bancorp Series L 4.50%, 09/30/2025(p)		100		84,726
Huntington Bancshares, Inc./OH Series F 5.625%, 07/15/2030(p)		100		77,960
				1,202,932

60    ^|    AB TAX-AWARE FIXED INCOME OPPORTUNITIES PORTFOLIO abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Industrial – 0.5%
Communications - Media – 0.2%
CCO Holdings LLC/CCO Holdings Capital Corp. 4.25%, 01/15/2034(c)	$	309	$	223,092
DISH DBS Corp. 5.25%, 12/01/2026(c)		240		193,894
5.75%, 12/01/2028(c)		250		178,732
				595,718
Communications - Telecommunications – 0.0%
Intelsat Jackson Holdings SA 5.50%, 08/01/2023(e)(i)(l)(m)		275		– 0	–
Consumer Cyclical - Entertainment – 0.3%
Carnival Corp. 4.00%, 08/01/2028(c)		400		348,164
Wild Rivers Water Park 8.50%, 11/01/2051(l)(m)		1,225		857,501
				1,205,665
Consumer Non-Cyclical – 0.0%
Tower Health Series 2020 4.451%, 02/01/2050		400		179,584
Energy – 0.0%
Red River Biorefinery LLC Series 23A 15.00%, 12/31/2023(f)(l)(m)		5		5,000
Other Industrial – 0.0%
Cincinnati Sr Care/Dayton/Florida/Nashville/Sebring/Trousdale/Waynesboro HC Series 2023 12.00%, 12/31/2023(f)(m)		10		10,000
Services – 0.0%
Trousdale Issuer LLC Series A 6.50%, 04/01/2025(d)(e)(l)(m)		200		44,000
				2,039,967

abfunds.com AB TAX-AWARE FIXED INCOME OPPORTUNITIES PORTFOLIO    ^|    61

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Utility – 0.1%
Electric – 0.1%
Vistra Corp. 7.00%, 12/15/2026(c)(p)	$	225	$	205,679
Total Corporates - Non-Investment Grade (cost $4,150,044)				3,448,578
ASSET-BACKED SECURITIES – 0.5%
Autos - Fixed Rate – 0.5%
CPS Auto Receivables Trust  Series 2021-B, Class C 1.23%, 03/15/2027(c)		96		94,828
Lendbuzz Securitization Trust  Series 2023-1A, Class A2 6.92%, 08/15/2028(c)		1,835		1,825,301
				1,920,129
Other ABS - Fixed Rate – 0.0%
Affirm Asset Securitization Trust  Series 2021-Z1, Class A 1.07%, 08/15/2025(c)		42		41,666
Domino’s Pizza Master Issuer LLC Series 2021-1A, Class A2I 2.662%, 04/25/2051(c)		195		162,830
Tarrant County Cultural Education Facilities Finance Corp. Series 2015-A 5.00%, 11/15/2025(d)(e)(k)(l)(m)		569		– 0	–
				204,496
Total Asset-Backed Securities (cost $2,766,914)				2,124,625
CORPORATES - INVESTMENT GRADE – 0.5%
Financial Institutions – 0.3%
Banking – 0.3%
Bank of New York Mellon Corp. (The) Series H 3.70%, 03/20/2026(p)		100		85,858
JPMorgan Chase & Co. Series Q 8.889% (SOFR + 3.51%), 02/01/2024(b)(p)		350		351,624
Truist Financial Corp. Series Q 5.10%, 03/01/2030(p)		100		80,054

62    ^|    AB TAX-AWARE FIXED INCOME OPPORTUNITIES PORTFOLIO abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

	Principal Amount (000)		U.S. $ Value
Wells Fargo & Co. 7.625%, 09/15/2028(p)	$	503	$	505,223
Series BB 3.90%, 03/15/2026(p)		100		86,797
				1,109,556
Industrial – 0.2%
Consumer Cyclical - Entertainment – 0.2%
YMCA of Greater New York 2.303%, 08/01/2026		1,000		896,440
Total Corporates - Investment Grade (cost $2,164,613)				2,005,996
COLLATERALIZED MORTGAGE OBLIGATIONS – 0.1%
Risk Share Floating Rate – 0.1%
Federal National Mortgage Association Connecticut Avenue Securities Series 2014-C01, Class M2 9.835% (SOFR + 4.51%), 01/25/2024(b)		70		70,049
Series 2014-C03, Class 2M2 8.335% (SOFR + 3.01%), 07/25/2024(b)		22		21,859
Series 2015-C02, Class 1M2 9.435% (SOFR + 4.11%), 05/25/2025(b)		28		28,458
Series 2016-C01, Class 1M2 12.185% (SOFR + 6.86%), 08/25/2028(b)		65		69,539
Series 2016-C02, Class 1M2 11.435% (SOFR + 6.11%), 09/25/2028(b)		71		74,048
Series 2017-C04, Class 2M2 8.285% (SOFR + 2.96%), 11/25/2029(b)		157		161,245
Total Collateralized Mortgage Obligations (cost $408,880)				425,198
COLLATERALIZED LOAN OBLIGATIONS – 0.0%
CLO - Floating Rate – 0.0%
THL Credit Wind River CLO Ltd. Series 2014-2A, Class AR 6.796% (SOFR + 1.40%), 01/15/2031(b)(c) (cost $194,463)		194		193,921

abfunds.com AB TAX-AWARE FIXED INCOME OPPORTUNITIES PORTFOLIO    ^|    63

PORTFOLIO OF INVESTMENTS (continued)

Company	Shares		U.S. $ Value
COMMON STOCKS – 0.0%
Communication Services – 0.0%
Diversified Telecommunication Services – 0.0%
Intelsat Emergence SA(e)(m)	$	2,576	$	61,309
Intelsat Jackson Holdings SA(e)(l)(m)		269		1,883
Total Common Stocks (cost $219,617)				63,192
RIGHTS – 0.0%
Intelsat Jackson Holdings SA, Series B, expiring 12/31/2049(e)(l)(m) (cost $0)		269		1,614
SHORT-TERM INVESTMENTS – 1.3%
Investment Companies – 1.3%
AB Fixed Income Shares, Inc. – Government Money Market Portfolio – Class AB, 5.27%(q)(r)(s) (cost $5,157,219)		5,157,219		5,157,219
Total Investments – 113.7% (cost $509,463,850)				465,747,329
Other assets less liabilities – (13.7)%				(56,045,176	)
Net Assets – 100.0%			$	409,702,153

CENTRALLY CLEARED INTEREST RATE SWAPS (see Note D)

			Rate Type
Notional Amount (000)		Termination Date	Payments made by the Fund	Payments received by the Fund	Payment Frequency Paid/ Received		Market Value			Upfront Premiums Paid (Received)			Unrealized Appreciation (Depreciation)
USD	2,200	04/30/2030	1 Day SOFR	3.075%		Annual	$	(198,944	)	$	– 0	–	$	(198,944	)
USD	1,600	04/30/2030	1 Day SOFR	3.837%		Annual		(68,039	)		– 0	–		(68,039	)
							$	(266,983	)	$	– 0	–	$	(266,983	)

64    ^|    AB TAX-AWARE FIXED INCOME OPPORTUNITIES PORTFOLIO abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

CREDIT DEFAULT SWAPS (see Note D)

Swap Counterparty & Referenced Obligation	Fixed Rate (Pay) Receive			Payment Frequency		Implied Credit Spread at October 31, 2023			Notional Amount (000)			Market Value			Upfront Premiums Paid (Received)			Unrealized Appreciation (Depreciation)
Sale Contracts
Citigroup Global Markets, Inc.
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00	%		Monthly		7.50	%		USD	80	$	(10,737	)	$	(9,614	)	$	(1,123	)
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50			USD	244		(32,526	)		(26,497	)		(6,029	)
Credit Suisse International
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50			USD	473		(63,159	)		(57,507	)		(5,652	)
JPMorgan Securities, LLC
CDX-CMBX.NA.A Series 6, 05/11/2063*		2.00			Monthly		7.50			USD	789		(143,878	)		11,927			(155,805	)
												$	(250,300	)	$	(81,691	)	$	(168,609	)

* Termination date

INTEREST RATE SWAPS (see Note D)

						Rate Type
Swap Counterparty	Notional Amount (000)			Termination Date		Payments made by the Fund		Payments received by the Fund		Payment Frequency Paid/ Received		Market Value			Upfront Premiums Paid (Received)			Unrealized Appreciation (Depreciation)
Bank of America, NA		USD	5,000		06/21/2024		MMD 5 Year^		2.970%		Maturity	$	(170,572	)	$	– 0	–	$	(170,572	)
Citibank, NA		USD	2,000		01/10/2024		MMD 10 Year^		2.980%		Maturity		(139,109	)		– 0	–		(139,109	)
Citibank, NA		USD	2,000		03/18/2024		MMD 10 Year^		2.950%		Maturity		(156,476	)		– 0	–		(156,476	)
Citibank, NA		USD	2,000		04/11/2024		MMD 10 Year^		2.680%		Maturity		(212,729	)		– 0	–		(212,729	)
Citibank, NA		USD	2,000		05/06/2024		MMD 5 Year^		2.740%		Maturity		(88,605	)		– 0	–		(88,605	)
Citibank, NA		USD	5,000		05/17/2024		MMD 5 Year^		2.710%		Maturity		(230,123	)		– 0	–		(230,123	)
Citibank, NA		USD	5,000		05/24/2024		MMD 5 Year^		3.130%		Maturity		(128,980	)		– 0	–		(128,980	)
Citibank, NA		USD	5,000		08/26/2024		MMD 5 Year^		3.250%		Maturity		(138,539	)		– 0	–		(138,539	)
Citibank, NA		USD	5,000		08/30/2024		MMD 5 Year^		3.200%		Maturity		(122,546	)		– 0	–		(122,546	)
Citibank, NA		USD	2,000		09/26/2024		MMD 5 Year^		3.490%		Maturity		(22,558	)		– 0	–		(22,558	)
Citibank, NA		USD	2,220		10/09/2029		1.125%		SIFMA*		Quarterly		276,367			– 0	–		276,367
Morgan Stanley Capital Services LLC		USD	3,000		03/15/2024		MMD 10 Year^		3.000%		Maturity		(217,889	)		– 0	–		(217,889	)
Morgan Stanley Capital Services LLC		USD	2,000		03/25/2024		MMD 10 Year^		2.750%		Maturity		(196,902	)		– 0	–		(196,902	)
												$	(1,548,661	)	$	– 0	–	$	(1,548,661	)

abfunds.com AB TAX-AWARE FIXED INCOME OPPORTUNITIES PORTFOLIO    ^|    65

PORTFOLIO OF INVESTMENTS (continued)

^ Variable interest rate based on the Municipal Market Data AAA General Obligation Scale.

* Variable interest rate based on the Securities Industry & Financial Markets Association (SIFMA) Municipal Swap Index.

(a) Security represents the underlying municipal obligation of an inverse floating rate obligation held by the Fund (see Note I).

(b) Floating Rate Security. Stated interest/floor/ceiling rate was in effect at October 31, 2023.

(c) Security is exempt from registration under Rule 144A or Regulation S of the Securities Act of 1933. These securities are considered restricted, but liquid and may be resold in transactions exempt from registration. At October 31, 2023, the aggregate market value of these securities amounted to $85,525,829 or 20.9% of net assets.

(d) Defaulted.

(e) Non-income producing security.

(f) Security is exempt from registration under Rule 144A or Regulation S of the Securities Act of 1933. These securities, which represent 1.28% of net assets as of October 31, 2023, are considered illiquid and restricted. Additional information regarding such securities follows:

144A/Restricted & Illiquid Securities	Acquisition Date		Cost		Market Value		Percentage of Net Assets
ARC70 II TRUST Series 2023 4.84%, 04/01/2065		07/18/2023	$	2,000,000	$	1,916,654		0.47	%
Arizona Industrial Development Authority (Legacy Cares, Inc.) Series 2020 7.75%, 07/01/2050		08/12/2020 - 07/20/2022		1,101,588		60,000		0.01	%
Cincinnati Sr Care/Dayton/Florida/Nashville/Sebring/Trousdale/Waynesboro HC Series 2023 12.00%, 12/31/2023		08/24/2023		10,000		10,000		0.00	%
County of Grand Forks ND (Red River Biorefinery LLC) Series 2021 6.625%, 12/15/2031		05/21/2021		100,000		20,000		0.00	%
County of Montgomery OH (Trousdale Foundation Obligated Group) Series 2018-A 6.25%, 04/01/2049		04/07/2020		52,000		22,000		0.01	%
Douglas County Housing Partnership (Bridgewater Castle Rock ALF LLC) Series 2021 5.375%, 01/01/2041		01/14/2021		246,546		172,661		0.04	%
Indiana Finance Authority (Brightmark Plastics Renewal Indiana LLC) Series 2019 7.00%, 03/01/2039		03/29/2019 - 06/09/2022		977,098		773,672		0.19	%

66    ^|    AB TAX-AWARE FIXED INCOME OPPORTUNITIES PORTFOLIO abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

144A/Restricted & Illiquid Securities	Acquisition Date		Cost		Market Value			Percentage of Net Assets
Metropolitan Government Nashville & Davidson County Health & Educational Facilities Board (Trousdale Foundation Obligated Group) Series 2018-A 6.25%, 04/01/2049		08/29/2018	$	134,085	$	29,700			0.01	%
Mississippi Business Finance Corp. (Alden Group Renewable Energy Mississippi LLC) Series 2022 8.00%, 12/01/2029		12/13/2022		493,232		472,551			0.12	%
New Hope Cultural Education Facilities Finance Corp. Series 2023 8.50%, 09/01/2027		02/03/2023		955,000		930,340			0.23	%
Red River Biorefinery LLC Series 23A 15.00%, 12/31/2023		05/31/2023		5,000		5,000			0.00	%
Wisconsin Public Finance Authority (Catholic Bishop of Chicago (The)) Series 2021 5.75%, 07/25/2041		08/03/2021		1,000,000		805,133			0.20	%
Wisconsin Public Finance Authority (KDC Agribusiness LLC) Series 2022 15.00%, 04/30/2023		11/10/2022		600,000		– 0	–		0.00	%
Wisconsin Public Finance Authority (KDC Agribusiness LLC) Series 2023 15.00%, 04/30/2023		03/16/2023		175,000		– 0	–		0.00	%

(g) Coupon rate adjusts periodically based upon a predetermined schedule. Stated interest rate in effect at October 31, 2023.

(h) When-Issued or delayed delivery security.

(i) Defaulted matured security.

(j) Inverse floater security.

(k) Restricted and illiquid security.

Restricted & Illiquid Securities	Acquisition Date		Cost		Market Value			Percentage of Net Assets
Tarrant County Cultural Education Facilities Finance Corp. Series 2015-A 5.00%, 11/15/2025		01/30/2020	$	599,006	$	– 0	–		0.00	%
Tarrant County Cultural Education Facilities Finance Corp. (Stayton at Museum Way) Series 2020-A 5.75%, 12/01/2054		11/05/2015 - 01/07/2020		463,058		296,492			0.07	%

abfunds.com AB TAX-AWARE FIXED INCOME OPPORTUNITIES PORTFOLIO    ^|    67

PORTFOLIO OF INVESTMENTS (continued)

(l) Fair valued by the Adviser.

(m) Security in which significant unobservable inputs (Level 3) were used in determining fair value.

(n) Variable Rate Demand Notes are instruments whose interest rates change on a specific date (such as coupon date or interest payment date) or whose interest rates vary with changes in a designated base rate (such as the prime interest rate). This instrument is payable on demand and is secured by letters of credit or other credit support agreements from major banks.

(o) IO – Interest Only.

(p) Securities are perpetual and, thus, do not have a predetermined maturity date. The date shown, if applicable, reflects the next call date.

(q) Affiliated investments.

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

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

As of October 31, 2023, the Fund’s percentages of investments in municipal bonds that are insured and in insured municipal bonds that have been pre-refunded or escrowed to maturity are 6.0% and 0.0%, respectively.

Glossary:

ABS – Asset-Backed Securities

AGM – Assured Guaranty Municipal

BAM – Build American Mutual

CCRC – Congregate Care Retirement Center

CDX-CMBX.NA – North American Commercial Mortgage-Backed Index

CLO – Collateralized Loan Obligations

CMBS – Commercial Mortgage-Backed Securities

COP – Certificate of Participation

FHLMC – Federal Home Loan Mortgage Corporation

LIBOR – London Interbank Offered Rate

MMD – Municipal Market Data

MUNIPSA – SIFMA Municipal Swap Index

SOFR – Secured Overnight Financing Rate

UPMC – University of Pittsburgh Medical Center

See notes to financial statements.

68    ^|    AB TAX-AWARE FIXED INCOME OPPORTUNITIES PORTFOLIO abfunds.com

STATEMENT OF ASSETS & LIABILITIES

October 31, 2023

Assets
Investments in securities, at value
Unaffiliated issuers (cost $504,306,631)	$	460,590,110
Affiliated issuers (cost $5,157,219)		5,157,219
Cash		19,623
Cash collateral due from broker		1,946,951
Interest receivable		5,598,672
Receivable for capital stock sold		1,556,730
Receivable for investment securities sold		1,056,082
Unrealized appreciation on interest rate swaps		276,367
Affiliated dividends receivable		7,388
Total assets		476,209,142
Liabilities
Payable for floating rate notes issued(a)		45,570,000
Payable for investment securities purchased		15,034,588
Payable for capital stock redeemed		3,311,538
Unrealized depreciation on interest rate swaps		1,825,028
Market value on credit default swaps (net premiums received $81,691)		250,300
Advisory fee payable		104,954
Administrative fee payable		28,374
Distribution fee payable		16,044
Dividends payable		8,378
Transfer Agent fee payable		5,063
Payable for variation margin on centrally cleared swaps		2,516
Directors’ fees payable		1,859
Accrued expenses and other liabilities		348,347
Total liabilities		66,506,989
Net Assets	$	409,702,153
Composition of Net Assets
Capital stock, at par	$	41,998
Additional paid-in capital		464,873,174
Accumulated loss		(55,213,019	)
Net Assets	$	409,702,153

Net Asset Value Per Share—21 billion shares of capital stock authorized, $.001 par value

Class	Net Assets		Shares Outstanding		Net Asset Value
A	$	44,249,674		4,535,995	$	9.76	*
C	$	8,041,912		824,369	$	9.76
Advisor	$	357,410,567		36,637,184	$	9.76

* The maximum offering price per share for Class A shares was $10.06 which reflects a sales charge of 3.00%.

(a) Represents short-term floating rate certificates issued by tender option bond trusts (see Note I).

See notes to financial statements.

abfunds.com AB TAX-AWARE FIXED INCOME OPPORTUNITIES PORTFOLIO    ^|    69

STATEMENT OF OPERATIONS

Year Ended October 31, 2023

Investment Income
Interest	$	17,711,480
Dividends—Affiliated issuers		330,115
Other income		59,299		$	18,100,894
Expenses
Advisory fee (see Note B)		1,874,367
Distribution fee—Class A		105,591
Distribution fee—Class C		75,628
Transfer agency—Class A		18,427
Transfer agency—Class C		3,327
Transfer agency—Advisor Class		158,762
Custody and accounting		121,119
Registration fees		107,094
Administrative		90,979
Audit and tax		63,911
Printing		57,284
Legal		48,215
Directors’ fees		22,056
Miscellaneous		24,042
Total expenses before interest/bank overdraft expense		2,770,802
Interest/bank overdraft expense		530,200
Total expenses		3,301,002
Less: expenses waived and reimbursed by the Adviser (see Note B)		(510,415	)
Net expenses					2,790,587
Net investment income					15,310,307
Realized and Unrealized Gain (Loss) on Investment Transactions
Net realized gain (loss) on:
Investment transactions					(8,080,492	)
Swaps					1,320,720
Net change in unrealized appreciation (depreciation) of:
Investments					(1,377,290	)
Swaps					(3,906,473	)
Net loss on investment transactions					(12,043,535	)
Net Increase in Net Assets from Operations				$	3,266,772

See notes to financial statements.

70    ^|    AB TAX-AWARE FIXED INCOME OPPORTUNITIES PORTFOLIO abfunds.com

STATEMENT OF CHANGES IN NET ASSETS

	Year Ended October 31, 2023			Year Ended October 31, 2022
Increase (Decrease) in Net Assets from Operations
Net investment income	$	15,310,307		$	6,134,313
Net realized loss on investment transactions		(6,759,772	)		(1,736,491	)
Net change in unrealized appreciation (depreciation) of investments		(5,283,763	)		(45,638,438	)
Contributions from Affiliates (see Note B)		– 0	–		23,865
Net increase (decrease) in net assets from operations		3,266,772			(41,216,751	)
Distributions to Shareholders
Class A		(1,533,046	)		(573,228	)
Class C		(217,747	)		(79,387	)
Advisor Class		(14,196,498	)		(5,641,767	)
Capital Stock Transactions
Net increase		111,337,694			161,243,946
Total increase		98,657,175			113,732,813
Net Assets
Beginning of period		311,044,978			197,312,165
End of period	$	409,702,153		$	311,044,978

See notes to financial statements.

abfunds.com AB TAX-AWARE FIXED INCOME OPPORTUNITIES PORTFOLIO    ^|    71

NOTES TO FINANCIAL STATEMENTS

October 31, 2023

NOTE A

Significant Accounting Policies

AB Bond Fund, Inc. (the “Company”) is registered under the Investment Company Act of 1940 (the “1940 Act”) as an open-end management investment company. The Company, which is a Maryland corporation, operates as a series company comprised of nine portfolios currently in operation. Each portfolio is considered to be a separate entity for financial reporting and tax purposes. This report relates only to the AB Tax-Aware Fixed Income Opportunities Portfolio (the “Fund”), a diversified portfolio. The Fund has authorized the issuance of Class A, Class B, Class C, Advisor Class, Class T, Class 1 and Class 2 shares. Class B, Class T, Class 1 and Class 2 shares have not been issued. Class A shares are sold with a front-end sales charge of up to 3% for purchases not exceeding $500,000. With respect to purchases of $500,000 or more, Class A shares redeemed within one year of purchase may be subject to a contingent deferred sales charge of 1%. Class C shares are subject to a contingent deferred sales charge of 1% on redemptions made within the first year after purchase, and 0% after the first year of purchase. Class C shares automatically convert to Class A shares eight years after the end of the calendar month of purchase. Advisor Class shares are sold without any initial or contingent deferred sales charge and are not subject to ongoing distribution expenses. All seven classes of shares have identical voting, dividend, liquidation and other rights, except that the classes bear different distribution and transfer agency expenses. Each class has exclusive voting rights with respect to its distribution plan. The financial statements have been prepared in conformity with U.S. generally accepted accounting principles (“U.S. GAAP”), which require management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities in the financial statements and amounts of income and expenses during the reporting period. Actual results could differ from those estimates. The Fund is an investment company under U.S. GAAP and follows the accounting and reporting guidance applicable to investment companies. The following is a summary of significant accounting policies followed by the Fund.

1. Security Valuation

Portfolio securities are valued at market value determined on the basis of market quotations or, if market quotations are not readily available or are unreliable, at “fair value” as determined in accordance with procedures approved by and under the oversight of the Company’s Board of Directors (the “Board”). Pursuant to these procedures, AllianceBernstein L.P. (the “Adviser”) serves as the Fund’s valuation designee pursuant to Rule 2a-5 of the 1940 Act. In this capacity, the Adviser is responsible, among other things, for making all fair value determinations relating to the Fund’s portfolio investments, subject to the Board’s oversight.

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In general, the market values of securities which are readily available and deemed reliable are determined as follows: securities listed on a national securities exchange (other than securities listed on the NASDAQ Stock Market, Inc. (“NASDAQ”)) or on a foreign securities exchange are valued at the last sale price at the close of the exchange or foreign securities exchange. If there has been no sale on such day, the securities are valued at the last traded price from the previous day. Securities listed on more than one exchange are valued by reference to the principal exchange on which the securities are traded; securities listed only on NASDAQ are valued in accordance with the NASDAQ Official Closing Price; listed or over the counter (“OTC”) market put or call options are valued at the mid level between the current bid and ask prices. If either a current bid or current ask price is unavailable, the Adviser will have discretion to determine the best valuation (e.g., last trade price in the case of listed options); open futures are valued using the closing settlement price or, in the absence of such a price, the most recent quoted bid price. If there are no quotations available for the day of valuation, the last available closing settlement price is used; U.S. Government securities and any other debt instruments having 60 days or less remaining until maturity are generally valued at market by an independent pricing vendor, if a market price is available. If a market price is not available, the securities are valued at amortized cost. This methodology is commonly used for short term securities that have an original maturity of 60 days or less, as well as short term securities that had an original term to maturity that exceeded 60 days. In instances when amortized cost is utilized, the Valuation Committee (the “Committee”) must reasonably conclude that the utilization of amortized cost is approximately the same as the fair value of the security. Factors the Committee will consider include, but are not limited to, an impairment of the creditworthiness of the issuer or material changes in interest rates. Fixed-income securities, including mortgage-backed and asset-backed securities, may be valued on the basis of prices provided by a pricing service or at a price obtained from one or more of the major broker-dealers. In cases where broker-dealer quotes are obtained, the Adviser may establish procedures whereby changes in market yields or spreads are used to adjust, on a daily basis, a recently obtained quoted price on a security. Swaps and other derivatives are valued daily, primarily using independent pricing services, independent pricing models using market inputs, as well as third party broker-dealers or counterparties. Open-end mutual funds are valued at the closing net asset value per share, while exchange traded funds are valued at the closing market price per share.

Securities for which market quotations are not readily available (including restricted securities) or are deemed unreliable are valued at fair value as deemed appropriate by the Adviser. Factors considered in making this determination may include, but are not limited to, information obtained by

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contacting the issuer, analysts, analysis of the issuer’s financial statements or other available documents. In addition, the Fund may use fair value pricing for securities primarily traded in non-U.S. markets because most foreign markets close well before the Fund values its securities at 4:00 p.m., Eastern Time. The earlier close of these foreign markets gives rise to the possibility that significant events, including broad market moves, may have occurred in the interim and may materially affect the value of those securities. To account for this, the Fund generally values many of its foreign equity securities using fair value prices based on third party vendor modeling tools to the extent available.

2. Fair Value Measurements

In accordance with U.S. GAAP regarding fair value measurements, fair value is defined as the price that the Fund would receive to sell an asset or pay to transfer a liability in an orderly transaction between market participants at the measurement date. U.S. GAAP establishes a framework for measuring fair value, and a three-level hierarchy for fair value measurements based upon the transparency of inputs to the valuation of an asset or liability (including those valued based on their market values as described in Note A.1 above). Inputs may be observable or unobservable and refer broadly to the assumptions that market participants would use in pricing the asset or liability. Observable inputs reflect the assumptions market participants would use in pricing the asset or liability based on market data obtained from sources independent of the Fund. Unobservable inputs reflect the Fund’s own assumptions about the assumptions that market participants would use in pricing the asset or liability based on the best information available in the circumstances. Each investment is assigned a level based upon the observability of the inputs which are significant to the overall valuation. The three-tier hierarchy of inputs is summarized below.

• Level 1—quoted prices in active markets for identical investments

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

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

The fair value of debt instruments, such as bonds, and over-the-counter derivatives is generally based on market price quotations, recently executed market transactions (where observable) or industry recognized modeling techniques and are generally classified as Level 2. Pricing vendor inputs to Level 2 valuations may include quoted prices for similar investments in active markets, interest rate curves, coupon rates, currency rates, yield curves, option adjusted spreads, default rates, credit spreads and other unique security features in order to estimate the relevant cash flows

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which are then discounted to calculate fair values. If these inputs are unobservable and significant to the fair value, these investments will be classified as Level 3.

Valuations of mortgage-backed or other asset-backed securities, by pricing vendors, are based on both proprietary and industry recognized models and discounted cash flow techniques. Significant inputs to the valuation of these instruments are value of the collateral, the rates and timing of delinquencies, the rates and timing of prepayments, and default and loss expectations, which are driven in part by housing prices for residential mortgages. Significant inputs are determined based on relative value analyses, which incorporate comparisons to instruments with similar collateral and risk profiles, including relevant indices. Mortgage and asset-backed securities for which management has collected current observable data through pricing services are generally categorized within Level 2. Those investments for which current observable data has not been provided are classified as Level 3.

Other fixed income investments, including non-U.S. government and corporate debt, are generally valued using quoted market prices, if available, which are typically impacted by current interest rates, maturity dates and any perceived credit risk of the issuer. Additionally, in the absence of quoted market prices, these inputs are used by pricing vendors to derive a valuation based upon industry or proprietary models which incorporate issuer specific data with relevant yield/spread comparisons with more widely quoted bonds with similar key characteristics. Those investments for which there are observable inputs are classified as Level 2. Where the inputs are not observable, the investments are classified as Level 3.

The following table summarizes the valuation of the Fund’s investments by the above fair value hierarchy levels as of October 31, 2023:

	Level 1			Level 2			Level 3			Total
Assets:
Long-Term Municipal Bonds	$	– 0	–	$	446,395,711		$	28,400	(a)	$	446,424,111
Short-Term Municipal Notes		– 0	–		685,000			– 0	–		685,000
Commercial Mortgage-Backed Securities		– 0	–		5,217,875			– 0	–		5,217,875
Corporates – Non-Investment Grade		– 0	–		2,532,077			916,501	(a)		3,448,578
Asset-Backed Securities		– 0	–		2,124,625			0	(a)		2,124,625
Corporates – Investment Grade		– 0	–		2,005,996			– 0	–		2,005,996
Collateralized Mortgage Obligations		– 0	–		425,198			– 0	–		425,198
Collateralized Loan Obligations		– 0	–		193,921			– 0	–		193,921
Common Stocks		– 0	–		– 0	–		63,192			63,192
Rights		– 0	–		– 0	–		1,614			1,614
Short-Term Investments		5,157,219			– 0	–		– 0	–		5,157,219

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	Level 1			Level 2			Level 3			Total
Liabilities:
Floating Rate Notes(b)	$	(45,570,000	)	$	– 0	–	$	– 0	–	$	(45,570,000	)
Total Investments in Securities		(40,412,781	)		459,580,403			1,009,707	(a)		420,177,329
Other Financial Instruments(c):
Assets:
Interest Rate Swaps		– 0	–		276,367			– 0	–		276,367
Liabilities:
Centrally Cleared Interest Rate Swaps		– 0	–		(266,983	)		– 0	–		(266,983	)(d)
Credit Default Swaps		– 0	–		(250,300	)		– 0	–		(250,300	)
Interest Rate Swaps		– 0	–		(1,825,028	)		– 0	–		(1,825,028	)
Total	$	(40,412,781	)	$	457,514,459		$	1,009,707	(a)	$	418,111,385

(a) The Fund held securities with zero market value at period end.

(b) The Fund may hold liabilities in which the fair value approximates the carrying amount for financial statement purposes.

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

(d) Only variation margin receivable (payable) at period end is reported within the statement of assets and liabilities. This amount reflects cumulative unrealized appreciation (depreciation) on futures and centrally cleared swaps as reported in the portfolio of investments. Where applicable, centrally cleared swaps with upfront premiums are presented here at market value.

3. Currency Translation

Assets and liabilities denominated in foreign currencies and commitments under forward currency exchange contracts are translated into U.S. dollars at the mean of the quoted bid and ask prices of such currencies against the U.S. dollar. Purchases and sales of portfolio securities are translated into U.S. dollars at the rates of exchange prevailing when such securities were acquired or sold. Income and expenses are translated into U.S. dollars at rates of exchange prevailing when accrued.

Net realized gain or loss on foreign currency transactions represents foreign exchange gains and losses from sales and maturities of foreign fixed income investments, holding of foreign currencies, currency gains or losses realized between the trade and settlement dates on foreign investment transactions, and the difference between the amounts of dividends, interest and foreign withholding taxes recorded on the Fund’s books and the U.S. dollar equivalent amounts actually received or paid. Net unrealized currency gains and losses from valuing foreign currency denominated assets and liabilities at period end exchange rates are reflected as a component of net unrealized appreciation or depreciation of foreign currency denominated assets and liabilities.

4. Taxes

It is the Fund’s policy to meet the requirements of the Internal Revenue Code applicable to regulated investment companies and to distribute all of

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its investment company taxable income and net realized gains, if any, to shareholders. Therefore, no provisions for federal income or excise taxes are required. The Fund may be subject to taxes imposed by countries in which it invests. Such taxes are generally based on income and/or capital gains earned or repatriated. Taxes are accrued and applied to net investment income, net realized gains and net unrealized appreciation/depreciation as such income and/or gains are earned.

In accordance with U.S. GAAP requirements regarding accounting for uncertainties in income taxes, management has analyzed the Fund’s tax positions taken or expected to be taken on federal and state income tax returns for all open tax years (the current and the prior three tax years) and has concluded that no provision for income tax is required in the Fund’s financial statements.

5. Investment Income and Investment Transactions

Dividend income is recorded on the ex-dividend date or as soon as the Fund is informed of the dividend. Interest income is accrued daily. Investment transactions are accounted for on the date the securities are purchased or sold. Investment gains or losses are determined on the identified cost basis. Non-cash dividends, if any, are recorded on the ex-dividend date at the fair value of the securities received. The Fund amortizes premiums and accretes discounts as adjustments to interest income. The Fund accounts for distributions received from REIT investments or from regulated investment companies as dividend income, realized gain, or return of capital based on information provided by the REIT or the investment company.

6. Class Allocations

All income earned and expenses incurred by the Fund are borne on a pro-rata basis by each outstanding class of shares, based on the proportionate interest in the Fund represented by the net assets of such class, except for class specific expenses which are allocated to the respective class. Expenses of the Company are charged proportionately to each fund or based on other appropriate methods. Realized and unrealized gains and losses are allocated among the various share classes based on respective net assets.

7. Dividends and Distributions

Dividends and distributions to shareholders, if any, are recorded on the ex-dividend date. Income dividends and capital gains distributions are determined in accordance with federal tax regulations and may differ from those determined in accordance with U.S. GAAP. To the extent these differences are permanent, such amounts are reclassified within the capital accounts based on their federal tax basis treatment; temporary differences do not require such reclassification.

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NOTE B

Advisory Fee and Other Transactions with Affiliates

Under the terms of the investment advisory agreement, the Fund pays the Adviser an advisory fee at an annual rate of .45% of the first $2.5 billion, .40% of the excess over $2.5 billion up to $5 billion and .35% in excess of $5 billion of the Fund’s average daily net assets. The Adviser has agreed to waive its fees and bear certain expenses to the extent necessary to limit total operating expenses (excluding expenses associated with securities sold short, acquired fund fees and expenses other than the advisory fees of any AB mutual funds in which the Fund may invest, interest expense, taxes, extraordinary expenses, and brokerage commissions and other transaction costs), on an annual basis (the “Expense Caps”) to .75%, 1.50% and .50%, of average daily net assets for Class A, Class C and Advisor Class shares, respectively. For the year ended October 31, 2023, such reimbursements/waivers amounted to $502,848. The Expense Caps may not be terminated before January 31, 2024.

Pursuant to the investment advisory agreement, the Fund may reimburse the Adviser for certain legal and accounting services provided to the Fund by the Adviser. For the year ended October 31, 2023, the reimbursement for such services amounted to $90,979.

The Fund compensates AllianceBernstein Investor Services, Inc. (“ABIS”), a wholly-owned subsidiary of the Adviser, under a Transfer Agency Agreement for providing personnel and facilities to perform transfer agency services for the Fund. ABIS may make payments to intermediaries that provide omnibus account services, sub-accounting services and/or networking services. Such compensation retained by ABIS amounted to $36,564 for the year ended October 31, 2023.

AllianceBernstein Investments, Inc. (the “Distributor”), a wholly-owned subsidiary of the Adviser, serves as the distributor of the Fund’s shares. The Distributor has advised the Fund that it has retained front-end sales charges of $0 from the sale of Class A shares and received $2,410 and $1,039 in contingent deferred sales charges imposed upon redemptions by shareholders of Class A and Class C shares, respectively, for the year ended October 31, 2023.

The Fund may invest in AB Government Money Market Portfolio (the “Government Money Market Portfolio”) which has a contractual annual advisory fee rate of ..20% of the portfolio’s average daily net assets and bears its own expenses. The Adviser had contractually agreed to waive .10% of the advisory fee of Government Money Market Portfolio (resulting in a net advisory fee of .10%) until August 31, 2023. Effective September 1, 2023, the Adviser has contractually agreed to waive .05% of

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the advisory fee of Government Money Market Portfolio (resulting in a net advisory fee of .15%) until August 31, 2024. In connection with the investment by the Fund in Government Money Market Portfolio, the Adviser has contractually agreed to waive its advisory fee from the Fund in an amount equal to the Fund’s pro rata share of the effective advisory fee of Government Money Market Portfolio, as borne indirectly by the Fund as an acquired fund fee and expense. For the year ended October 31, 2023, such waiver amounted to $7,567.

A summary of the Fund’s transactions in AB mutual funds for the year ended October 31, 2023 is as follows:

Fund	Market Value 10/31/22 (000)		Purchases at Cost (000)		Sales Proceeds (000)		Market Value 10/31/23 (000)		Dividend Income (000)
Government Money Market Portfolio	$	564	$	225,445	$	220,852	$	5,157	$	330

During the year ended October 31, 2022, the Adviser reimbursed the Fund $23,865 for trading losses incurred due to a trade entry error.

NOTE C

Distribution Services Agreement

The Fund has adopted a Distribution Services Agreement (the “Agreement”) pursuant to Rule 12b-1 under the Investment Company Act of 1940. Under the Agreement, the Fund pays distribution and servicing fees to the Distributor at an annual rate of up to 0.30% of the Fund’s average daily net assets attributable to Class A shares and 1% of the Fund’s average daily net assets attributable to Class C shares. The fees are accrued daily and paid monthly. Payments under the Agreement in respect of Class A shares are currently limited to an annual rate of .25% of Class A shares’ average daily net assets. The Agreement provides that the Distributor will use such payments in their entirety for distribution assistance and promotional activities. Since the commencement of the Fund’s operations, the Distributor has incurred expenses in excess of the distribution costs reimbursed by the Fund in the amount of $46,250 for Class C shares. While such costs may be recovered from the Fund in future periods so long as the Agreement is in effect, the rate of the distribution and servicing fees payable under the Agreement may not be increased without a shareholder vote. In accordance with the Agreement, there is no provision for recovery of unreimbursed distribution costs incurred by the Distributor beyond the current fiscal year for Class A shares. The Agreement also provides that the Adviser may use its own resources to finance the distribution of the Fund’s shares.

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NOTE D

Investment Transactions

Purchases and sales of investment securities (excluding short-term investments) for the year ended October 31, 2023 were as follows:

	Purchases		Sales
Investment securities (excluding U.S. government securities)	$	312,587,442	$	127,505,504
U.S. government securities		84,119		– 0	–

The cost of investments for federal income tax purposes, gross unrealized appreciation and unrealized depreciation are as follows:

Cost	$	463,674,012
Gross unrealized appreciation	$	1,557,422
Gross unrealized depreciation		(46,616,726	)
Net unrealized depreciation	$	(45,059,304	)

1. Derivative Financial Instruments

The Fund may use derivatives in an effort to earn income and enhance returns, to replace more traditional direct investments, to obtain exposure to otherwise inaccessible markets (collectively, “investment purposes”), or to hedge or adjust the risk profile of its portfolio.

The principal types of derivatives utilized by the Fund, as well as the methods in which they may be used are:

• Swaps

The Fund may enter into swaps to hedge its exposure to interest rates or credit risk. A swap is an agreement that obligates two parties to exchange a series of cash flows at specified intervals based upon or calculated by reference to changes in specified prices or rates for a specified amount of an underlying asset. The payment flows are usually netted against each other, with the difference being paid by one party to the other. In addition, collateral may be pledged or received by the Fund in accordance with the terms of the respective swaps to provide value and recourse to the Fund or its counterparties in the event of default, bankruptcy or insolvency by one of the parties to the swap.

Risks may arise as a result of the failure of the counterparty to the swap to comply with the terms of the swap. The loss incurred by the failure of a counterparty is generally limited to the net interim payment to be received by the Fund, and/or the termination value at the end of the contract. Therefore, the Fund considers the creditworthiness of each counterparty to a swap in evaluating potential counterparty risk.

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This risk is mitigated by having a netting arrangement between the Fund and the counterparty and by the posting of collateral by the counterparty to the Fund to cover the Fund’s exposure to the counterparty. Additionally, risks may arise from unanticipated movements in interest rates or in the value of the underlying securities. The Fund accrues for the interim payments on swaps on a daily basis, with the net amount recorded within unrealized appreciation/depreciation of swaps on the statement of assets and liabilities, where applicable. Once the interim payments are settled in cash, the net amount is recorded as realized gain/(loss) on swaps on the statement of operations, in addition to any realized gain/(loss) recorded upon the termination of swaps. Upfront premiums paid or received for swaps are recognized as cost or proceeds on the statement of assets and liabilities and are amortized on a straight line basis over the life of the contract. Amortized upfront premiums are included in net realized gain/(loss) from swaps on the statement of operations. Fluctuations in the value of swaps are recorded as a component of net change in unrealized appreciation/depreciation of swaps on the statement of operations.

Certain standardized swaps, including certain interest rate swaps and credit default swaps, are (or soon will be) subject to mandatory central clearing. Cleared swaps are transacted through futures commission merchants (“FCMs”) that are members of central clearinghouses, with the clearinghouse serving as central counterparty, similar to transactions in futures contracts. Centralized clearing will be required for additional categories of swaps on a phased-in basis based on requirements published by the Securities and Exchange Commission and Commodity Futures Trading Commission.

At the time the Fund enters into a centrally cleared swap, the Fund deposits and maintains as collateral an initial margin with the broker, as required by the clearinghouse on which the transaction is effected. Such amount is shown as cash collateral due from broker on the statement of assets and liabilities. Pursuant to the contract, the Fund agrees to receive from or pay to the broker an amount of cash equal to the daily fluctuation in the value of the contract. Such receipts or payments are known as variation margin and are recorded by the Fund as unrealized gains or losses. Risks may arise from the potential inability of a counterparty to meet the terms of the contract. The credit/counterparty risk for centrally cleared swaps is generally less than non-centrally cleared swaps, since the clearinghouse, which is the issuer or counterparty to each centrally cleared swap, has robust risk mitigation standards, including the requirement to provide initial and variation margin. 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 time it was closed.

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Interest Rate Swaps:

The Fund is subject to interest rate risk exposure in the normal course of pursuing its investment objectives. Because the Fund holds fixed rate bonds, the value of these bonds may decrease if interest rates rise. To help hedge against this risk and to maintain its ability to generate income at prevailing market rates, the Fund may enter into interest rate swaps. Interest rate swaps are agreements between two parties to exchange cash flows based on a notional amount. The Fund may elect to pay a fixed rate and receive a floating rate, or, receive a fixed rate and pay a floating rate on a notional amount.

In addition, the Fund may also enter into interest rate swap transactions to preserve a return or spread on a particular investment or portion of its portfolio, or protecting against an increase in the price of securities the Fund anticipates purchasing at a later date. Interest rate swaps involve the exchange by the Fund with another party of their respective commitments to pay or receive interest (e.g., an exchange of floating rate payments for fixed rate payments) computed based on a contractually-based principal (or “notional”) amount. Interest rate swaps are entered into on a net basis (i.e., the two payment streams are netted out, with the Fund receiving or paying, as the case may be, only the net amount of the two payments).

During the year ended October 31, 2023, the Fund held interest rate swaps for hedging purposes.

Inflation (CPI) Swaps:

Inflation swap agreements are contracts in which one party agrees to pay the cumulative percentage increase in a price index (the Consumer Price Index with respect to CPI swaps) over the term of the swap (with some lag on the inflation index), and the other pays a compounded fixed rate. Inflation swaps may be used to protect the net asset value, or NAV, of the Fund against an unexpected change in the rate of inflation measured by an inflation index since the value of these agreements is expected to increase if there are unexpected inflation increases.

During the year ended October 31, 2023, the Fund held inflation (CPI) swaps for hedging purposes.

Credit Default Swaps:

The Fund may enter into credit default swaps, including to manage its exposure to the market or certain sectors of the market, to reduce its risk exposure to defaults by corporate and sovereign issuers held by the Fund, or to create exposure to corporate or sovereign issuers to which it is not otherwise exposed. The Fund may purchase credit protection (“Buy Contract”) or provide credit protection (“Sale

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Contract”) on the referenced obligation of the credit default swap. During the term of the swap, the Fund receives/(pays) fixed payments from/(to) the respective counterparty, calculated at the agreed upon rate applied to the notional amount. If the Fund is a buyer/(seller) of protection and a credit event occurs, as defined under the terms of the swap, the Fund will either (i) receive from the seller/(pay to the buyer) of protection an amount equal to the notional amount of the swap (the “Maximum Payout Amount”) and deliver/(take delivery of) the referenced obligation or (ii) receive/(pay) a net settlement amount in the form of cash or securities equal to the notional amount of the swap less the recovery value of the referenced obligation. In certain circumstances Maximum Payout Amounts may be partially offset by recovery values of the respective referenced obligations, upfront premium received upon entering into the agreement, or net amounts received from settlement of buy protection credit default swaps entered into by the Fund for the same referenced obligations with the same counterparty.

Credit default swaps may involve greater risks than if the Fund had invested in the referenced obligation directly. Credit default swaps are subject to general market risk, liquidity risk, counterparty risk and credit risk. If the Fund is a buyer of protection and no credit event occurs, it will lose the payments it made to its counterparty. If the Fund is a seller of protection and a credit event occurs, the value of the referenced obligation received by the Fund coupled with the periodic payments previously received, may be less than the Maximum Payout Amount it pays to the buyer, resulting in a net loss to the Fund.

Implied credit spreads over U.S. Treasuries of comparable maturity utilized in determining the market value of credit default swaps on issuers as of period end are disclosed in the portfolio of investments. The implied spreads serve as an indicator of the current status of the payment/performance risk and typically reflect the likelihood of default by the issuer of the referenced obligation. The implied credit spread of a particular reference obligation also reflects the cost of buying/selling protection and may reflect upfront payments required to be made to enter into the agreement. Widening credit spreads typically represent a deterioration of the referenced obligation’s credit soundness and greater likelihood of default or other credit event occurring as defined under the terms of the agreement. A credit spread identified as “Defaulted” indicates a credit event has occurred for the referenced obligation.

During the year ended October 31, 2023, the Fund held credit default swaps for hedging and non- hedging purposes.

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The Fund typically enters into International Swaps and Derivatives Association, Inc. Master Agreements (“ISDA Master Agreement”) with its OTC derivative contract counterparties in order to, among other things, reduce its credit risk to OTC counterparties. ISDA Master Agreements include provisions for general obligations, representations, collateral and events of default or termination. Under an ISDA Master Agreement, the Fund typically may offset with the OTC counterparty certain derivative financial instruments’ payables and/or receivables with collateral held and/or posted and create one single net payment (close-out netting) in the event of default or termination. In the event of a default by an OTC counterparty, the return of collateral with market value in excess of the Fund’s net liability, held by the defaulting party, may be delayed or denied.

The Fund’s ISDA Master Agreements may contain provisions for early termination of OTC derivative transactions in the event the net assets of the Fund decline below specific levels (“net asset contingent features”). If these levels are triggered, the Fund’s OTC counterparty has the right to terminate such transaction and require the Fund to pay or receive a settlement amount in connection with the terminated transaction. If OTC derivatives were held at period end, please refer to netting arrangements by the OTC counterparty table below for additional details.

During the year ended October 31, 2023, the Fund had entered into the following derivatives:

	Asset Derivatives			Liability Derivatives
Derivative Type	Statement of Assets and Liabilities Location	Fair Value		Statement of Assets and Liabilities Location	Fair Value
Interest rate contracts				Payable for variation margin on centrally cleared swaps	$	266,983	*
Interest rate contracts	Unrealized appreciation on interest rate swaps	$	276,367	Unrealized depreciation on interest rate swaps		1,825,028
Credit contracts				Market value on credit default swaps		250,300
Total		$	276,367		$	2,342,311

* Only variation margin receivable/payable at period end is reported within the statement of assets and liabilities. This amount reflects cumulative unrealized appreciation (depreciation) on futures and centrally cleared swaps as reported in the portfolio of investments.

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Derivative Type	Location of Gain or (Loss) on Derivatives Within Statement of Operations	Realized Gain or (Loss) on Derivatives		Change in Unrealized Appreciation or (Depreciation)
Interest rate contracts	Net realized gain (loss) on swaps; Net change in unrealized appreciation (depreciation) of swaps	$	480,912	$	(3,868,872	)
Credit contracts	Net realized gain (loss) on swaps; Net change in unrealized appreciation (depreciation) of swaps		839,808		(37,601	)
Total		$	1,320,720	$	(3,906,473	)

The following table represents the average monthly volume of the Fund’s derivative transactions during the year ended October 31, 2023:

Interest Rate Swaps:
Average notional amount	$	24,296,923
Centrally Cleared Interest Rate Swaps:
Average notional amount	$	56,369,231
Centrally Cleared Inflation Swaps:
Average notional amount	$	37,720,000	(a)
Credit Default Swaps:
Average notional amount of sale contracts	$	2,450,921
Centrally Cleared Credit Default Swaps:
Average notional amount of sale contracts	$	20,000,000	(b)

(a) Positions were open for eleven months during the year.

(b) Positions were open for ten months during the year.

For financial reporting purposes, the Fund does not offset derivative assets and derivative liabilities that are subject to netting arrangements in the statement of assets and liabilities.

All OTC derivatives held at period end were subject to netting arrangements. The following table presents the Fund’s derivative assets and liabilities by OTC counterparty net of amounts available for offset under ISDA Master Agreements (“MA”) and net of the related collateral received/pledged by the Fund as of October 31, 2023. Exchange-traded derivatives and centrally cleared swaps are not subject to netting arrangements and as such are excluded from the table.

Counterparty	Derivative Assets Subject to a MA		Derivatives Available for Offset			Cash Collateral Received*			Security Collateral Received*			Net Amount of Derivative Assets
Citibank, NA/Citigroup Global Markets, Inc.	$	276,367	$	(276,367	)	$	– 0	–	$	– 0	–	$	– 0	–
Total	$	276,367	$	(276,367	)	$	– 0	–	$	– 0	–	$	– 0	–

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NOTES TO FINANCIAL STATEMENTS (continued)

Counterparty	Derivative Liabilities Subject to a MA		Derivatives Available for Offset			Cash Collateral Pledged*			Security Collateral Pledged*			Net Amount of Derivative Liabilities
Bank of America, NA	$	170,572	$	– 0	–	$	– 0	–	$	– 0	–	$	170,572
Citibank, NA/Citigroup Global Markets, Inc.		1,282,928		(276,367	)		(940,000	)		– 0	–		66,561
Credit Suisse International		63,159		– 0	–		(63,159	)		– 0	–		– 0	–
JPMorgan Securities, LLC		143,878		– 0	–		(143,878	)		– 0	–		– 0	–
Morgan Stanley Capital Services LLC		414,791		– 0	–		(260,000	)		– 0	–		154,791
Total	$	2,075,328	$	(276,367	)	$	(1,407,037	)	$	– 0	–	$	391,924	^

* The actual collateral received/pledged may be more than the amount reported due to over-collateralization.

^ Net amount represents the net receivable/payable that would be due from/to the counterparty in the event of default or termination. The net amount from OTC financial derivative instruments can only be netted across transactions governed under the same master agreement with the same counterparty.

NOTE E

Capital Stock

Each class consists of 3,000,000,000 authorized shares. Transactions in capital shares for each class were as follows:

	Shares						Amount
	Year Ended October 31, 2023			Year Ended October 31, 2022			Year Ended October 31, 2023			Year Ended October 31, 2022
Class A
Shares sold		3,046,372			2,345,610		$	31,271,523		$	25,300,363
Shares issued in reinvestment of dividends		107,545			35,652			1,106,366			377,337
Shares converted from Class C		3,764			6,335			38,457			69,463
Shares redeemed		(1,563,176	)		(1,988,011	)		(16,012,440	)		(21,571,436	)
Net increase		1,594,505			399,586		$	16,403,906		$	4,175,727
Class C
Shares sold		517,959			238,746		$	5,363,230		$	2,533,652
Shares issued in reinvestment of dividends		16,859			6,212			173,150			65,534
Shares converted to Class A		(3,764	)		(6,338	)		(38,457	)		(69,463	)
Shares redeemed		(310,833	)		(321,819	)		(3,205,627	)		(3,432,310	)
Net increase (decrease)		220,221			(83,199	)	$	2,292,296		$	(902,587	)

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NOTES TO FINANCIAL STATEMENTS (continued)

	Shares						Amount
	Year Ended October 31, 2023			Year Ended October 31, 2022			Year Ended October 31, 2023			Year Ended October 31, 2022
Advisor Class
Shares sold		32,436,642			37,244,701		$	335,698,276		$	402,826,250
Shares issued in reinvestment of dividends		837,066			294,382			8,610,054			3,110,820
Shares redeemed		(24,599,655	)		(23,418,191	)		(251,666,838	)		(247,966,264	)
Net increase		8,674,053			14,120,892		$	92,641,492		$	157,970,806

NOTE F

Risks Involved in Investing in the Fund

Market Risk—The value of the Fund’s assets will fluctuate as the bond market fluctuates. The value of its investments may decline, sometimes rapidly and unpredictably, simply because of economic changes or other events, including public health crises (including the occurrence of a contagious disease or illness) and regional and global conflicts, that affect large portions of the market.

Credit Risk—An issuer or guarantor of a fixed-income security, or the counterparty to a derivatives or other contract, may be unable or unwilling to make timely payments of interest or principal, or to otherwise honor its obligations. The issuer or guarantor may default, causing a loss of the full principal amount of a security and accrued interest. The degree of risk for a particular security may be reflected in its credit rating. There is the possibility that the credit rating of a fixed-income security may be downgraded after purchase, which may adversely affect the value of the security.

Below Investment-Grade Securities Risk—Investments in fixed-income securities with lower ratings (commonly known as “junk bonds”) are subject to a higher probability that an issuer will default or fail to meet its payment obligations. These securities may be subject to greater price volatility due to such factors as specific municipal or corporate developments and negative performance of the junk bond market generally and may be more difficult to trade than other types of securities.

Municipal Market Risk—This is the risk that special factors may adversely affect the value of municipal securities and have a significant effect on the yield or value of the Fund’s investments in municipal securities. These factors include economic conditions, political or legislative changes, public health crises, uncertainties related to the tax status of municipal securities, and the rights of investors in these securities. To the

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NOTES TO FINANCIAL STATEMENTS (continued)

extent that the Fund invests more of its assets in a particular state’s municipal securities, the Fund may be vulnerable to events adversely affecting that state, including economic, political and regulatory occurrences, court decisions, terrorism, public health crises (including the occurrence of a contagious disease or illness) and catastrophic natural disasters, such as hurricanes, fires or earthquakes. For example, the novel coronavirus (COVID-19) pandemic has significantly stressed the financial resources of many issuers of municipal securities, which could impair any such issuer’s ability to meet its financial obligations when due and adversely impact the value of its securities held by the Fund. As the full effects of the COVID-19 pandemic on state and local economies and on issuers of municipal securities are still uncertain, the financial difficulties of issuers of municipal securities may worsen, adversely affecting the performance of the Fund. The Fund’s investments in certain municipal securities with principal and interest payments that are made from the revenues of a specific project or facility, and not general tax revenues, may have increased risks. Factors affecting the project or facility, such as local business or economic conditions, could have a significant effect on the project’s ability to make payments of principal and interest on these securities.

In addition, changes in tax rates or the treatment of income from certain types of municipal securities, among other things, could negatively affect the municipal securities markets.

The Fund invests, from time to time, in the municipal securities of Puerto Rico or other U.S. territories and their governmental agencies and municipalities, which are exempt from federal, state, and, where applicable, local income taxes. These municipal securities may have more risks than those of other U.S. issuers of municipal securities. Puerto Rico continues to face a very challenging economic and fiscal environment, worsened by the spread of COVID-19 and the adverse effect that related governmental and public responses have had on Puerto Rico’s economy. If the general economic situation in Puerto Rico continues to persist or worsens, the volatility and credit quality of Puerto Rican municipal securities could continue to be adversely affected, and the market for such securities may deteriorate further.

Tax Risk—From time to time, the U.S. Government and the U.S. Congress consider changes in federal tax law that could limit or eliminate the federal tax exemption for municipal bond income, which would in effect reduce the income received by shareholders from the Fund by increasing taxes on that income. In such event, the Fund’s net asset value, or NAV, could also decline as yields on municipal bonds, which are typically lower than those on taxable bonds, would be expected to increase to approximately the yield of comparable taxable bonds. Actions or anticipated

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actions affecting the tax exempt status of municipal bonds could also result in significant shareholder redemptions of Fund shares as investors anticipate adverse effects on the Fund or seek higher yields to offset the potential loss of the tax deduction. As a result, the Fund would be required to maintain higher levels of cash to meet the redemptions, which would negatively affect the Fund’s yield.

Interest-Rate Risk—Changes in interest rates will affect the value of investments in fixed-income securities. When interest rates rise, the value of existing investments in fixed-income securities tends to fall and this decrease in value may not be offset by higher income from new investments. Interest-rate risk is generally greater for fixed-income securities with longer maturities or durations. The Fund may be subject to a greater risk of rising interest rates than would normally be the case due to the recent end of a period of historically low rates and the effects of potential central bank monetary policy, and government fiscal policy, initiatives and resulting market reactions to those initiatives.

Duration Risk—Duration is a measure that relates the expected price volatility of a fixed-income security to changes in interest rates. The duration of a fixed-income security may be shorter than or equal to full maturity of a fixed-income security. Fixed-income securities with longer durations have more risk and will decrease in price as interest rates rise.

Inflation Risk—This is the risk that the value of assets or income from investments will be less in the future as inflation decreases the value of money. As inflation increases, the value of the Fund’s assets can decline, as can the value of the Fund’s distributions. This risk is significantly greater for fixed-income securities with longer maturities.

Illiquid Investments Risk—Illiquid investments risk exists when certain investments are or become difficult to purchase or sell. Difficulty in selling such investments may result in sales at disadvantageous prices affecting the value of your investment in the Fund. Causes of illiquid investments risk may include low trading volumes and large positions. Municipal securities may have more illiquid investments risk than other fixed-income securities because they trade less frequently and the market for municipal securities is generally smaller than many other markets.

Leverage Risk—When the Fund borrows money or otherwise leverages its investments, its performance may be volatile because leverage tends to exaggerate the effect of any increase or decrease in the value of the Fund’s investments. The Fund may create leverage through the use of reverse repurchase arrangements, forward currency exchange contracts, forward commitments, dollar rolls or futures or by borrowing money. The

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NOTES TO FINANCIAL STATEMENTS (continued)

use of other types of derivative instruments by the Fund, such as options and swaps, may also result in a form of leverage. Leverage may result in higher returns to the Fund than if the Fund were not leveraged, but may also adversely affect returns, particularly if the market is declining.

Derivatives Risk—Derivatives may be difficult to price or unwind and leveraged so that small changes may produce disproportionate losses for the Fund. A short position in a derivative instrument involves the risk of a theoretically unlimited increase in the value of the underlying asset, which could cause the Fund to suffer a potentially unlimited loss. Derivatives, especially over-the-counter derivatives, are also subject to counterparty risk, which is the risk that the counterparty (the party on the other side of the transaction) on a derivative transaction will be unable or unwilling to honor its contractual obligations to the Fund.

LIBOR Replacement Risk—The Fund may be exposed to debt securities, derivatives or other financial instruments that recently transitioned from the London Interbank Offered Rate, or “LIBOR,” as a “benchmark” or “reference rate” for various interest rate calculations. LIBOR’s administrator, ICE Benchmark Administration, ceased publishing most LIBOR settings (including some U.S. LIBOR settings) by the end of 2021 and the remaining (and most widely used) U.S. Dollar LIBOR settings after June 30, 2023. The United Kingdom Financial Conduct Authority, which regulates LIBOR, will permit the use of synthetic U.S. Dollar LIBOR rates for non-U.S. contracts through September 30, 2024, but any such rates would be considered non-representative of the underlying market. Since 2018 the Federal Reserve Bank of New York has published the Secured Overnight Financing Rate (referred to as SOFR), which is intended to replace U.S. Dollar LIBOR. SOFR is a broad measure of the cost of borrowing cash overnight collateralized by U.S. Treasury securities in the repurchase agreement (repo) market. There is no assurance that the composition or characteristics of SOFR or any such alternative reference rate will be similar to or produce the same value or economic equivalence as LIBOR or that the market for SOFR-linked financial instruments will have the same volume or liquidity as did the market for LIBOR-linked financial instruments prior to LIBOR’s discontinuance or unavailability. Neither the long-term effects of the LIBOR transition process nor its ultimate success can yet be known.

Indemnification Risk—In the ordinary course of business, the Fund enters into contracts that contain a variety of indemnifications. The Fund’s maximum exposure under these arrangements is unknown. However, the Fund has not had prior claims or losses pursuant to these indemnification provisions and expects the risk of loss thereunder to be remote. Therefore, the Fund has not accrued any liability in connection with these indemnification provisions.

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NOTES TO FINANCIAL STATEMENTS (continued)

Management Risk—The Fund is subject to management risk because it is an actively-managed investment fund. The Adviser will apply its investment techniques and risk analyses in making investment decisions, but there is no guarantee that its techniques will produce the intended results. Some of these techniques may incorporate, or rely upon, quantitative models, but there is no guarantee that these models will generate accurate forecasts, reduce risk or otherwise perform as expected.

NOTE G

Joint Credit Facility

A number of open-end mutual funds managed by the Adviser, including the Fund, participate in a $325 million revolving credit facility (the “Facility”) intended to provide short-term financing related to redemptions and other short term liquidity requirements, subject to certain restrictions. Commitment fees related to the Facility are paid by the participating funds and are included in miscellaneous expenses in the statement of operations. The Fund did not utilize the Facility during the year ended October 31, 2023.

NOTE H

Distributions to Shareholders

The tax character of distributions paid during the fiscal years ended October 31, 2023 and October 31, 2022 were as follows:

	2023		2022
Distributions paid from:
Ordinary income	$	1,847,447	$	832,185
Total taxable distributions		1,847,447		832,185
Tax-exempt distributions		14,099,844		5,462,197
Total distributions paid	$	15,947,291	$	6,294,382

As of October 31, 2023, the components of accumulated earnings (deficit) on a tax basis were as follows:

Accumulated capital and other losses	$	(10,172,834	)(a)
Unrealized appreciation (depreciation)		(45,031,807	)(b)
Total accumulated earnings (deficit)	$	(55,204,641	)(c)

(a) As of October 31, 2023, the Fund had a net capital loss carryforward of $10,172,834.

(b)The differences between book-basis and tax-basis unrealized appreciation (depreciation) are attributable primarily to the tax treatment of tender option bonds, the tax treatment of swaps, the tax deferral of losses on wash sales, and the tax treatment of bond restructuring.

(c) The difference between book-basis and tax-basis components of accumulated earnings (deficit) is attributable primarily to dividends payable.

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NOTES TO FINANCIAL STATEMENTS (continued)

For tax purposes, net realized capital losses may be carried over to offset future capital gains, if any. Funds are permitted to carry forward capital losses for an indefinite period, and such losses will retain their character as either short-term or long-term capital losses. As of October 31, 2023, the Fund had a net short-term capital loss carryforward of $7,813,959 and a net long-term capital loss carryforward of $2,358,875, which may be carried forward for an indefinite period.

During the current fiscal year, permanent differences primarily due to taxable overdistributions resulted in a net decrease in accumulated loss and a net decrease in additional paid-in capital. These reclassifications had no effect on net assets.

NOTE I

Floating Rate Notes Issued in Connection with Securities Held

The Fund may engage in tender option bond (“TOB”) transactions in which the Fund transfers a fixed rate bond (“Fixed Rate Bond”) into a Special Purpose Vehicle (the “SPV”, which is generally organized as a trust). The Fund buys a residual interest in the assets and cash flows of the SPV, often referred to as an inverse floating rate obligation (“Inverse Floater”). The SPV also issues floating rate notes (“Floating Rate Notes”) which are sold to third parties. The Floating Rate Notes pay interest at rates that generally reset weekly and their holders have the option to tender their notes to a liquidity provider for redemption at par. The Inverse Floater held by the Fund gives the Fund the right (1) to cause the holders of the Floating Rate Notes to tender their notes at par, and (2) to have the trustee transfer the Fixed Rate Bond held by the SPV to the Fund, thereby collapsing the SPV. The SPV may also be collapsed in certain other circumstances. In accordance with U.S. GAAP requirements regarding accounting for transfers and servicing of financial assets and extinguishments of liabilities, the Fund accounts for the transaction described above as a secured borrowing by including the Fixed Rate Bond in its portfolio of investments and the Floating Rate Notes as a liability under the caption “Payable for floating rate notes issued” in its statement of assets and liabilities. Interest expense related to the Fund’s liability with respect to Floating Rate Notes is recorded as incurred. The interest expense is also included in the Fund’s expense ratio. At October 31, 2023, the amount of the Fund’s Floating Rate Notes outstanding was $45,570,000 and the related interest rate was 3.80% to 4.18%. For the year ended October 31, 2023, the average amount of Floating Rate Notes outstanding and the daily weighted average interest rate were $20,373,342 and 2.31%, respectively.

The Fund may also purchase Inverse Floaters in the secondary market without first owning the underlying bond. Such an Inverse Floater is included in the Fund’s portfolio of investments but is not required to be

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NOTES TO FINANCIAL STATEMENTS (continued)

treated as a secured borrowing and reflected in the Fund’s financial statements as a secured borrowing.

NOTE J

Recent Accounting Pronouncements

In December 2022, the Financial Accounting Standards Board issued an Accounting Standards Update, ASU 2022-06, “Reference Rate Reform (Topic 848) – Deferral of the Sunset Date of Topic 848”. ASU 2022-06 is an amendment to ASU 2020-04, which provided optional guidance to ease the potential accounting burden due to the discontinuation of the LIBOR and other interbank-offered based reference rates and which was effective as of March 12, 2020 through December 31, 2022. ASU 2022-06 extends the effective period through December 31, 2024. Management is currently evaluating the impact, if any, of applying ASU 2022-06.

NOTE K

Subsequent Events

Management has evaluated subsequent events for possible recognition or disclosure in the financial statements through the date the financial statements are issued. Management has determined that there are no material events that would require disclosure in the Fund’s financial statements through this date.

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FINANCIAL HIGHLIGHTS

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

	Class A
	Year Ended October 31,
	2023			2022			2021			2020			2019
Net asset value, beginning of period		$  9.87			$  11.56			$  10.82			$  11.09			$  10.46
Income From Investment Operations
Net investment income(a)(b)		.36			.21			.22			.29			.30
Net realized and unrealized gain (loss) on investment transactions		(.10	)		(1.69	)		.75			(.23	)		.65
Contributions from Affiliates		– 0	–		.00	(c)		– 0	–		– 0	–		– 0	–
Net increase (decrease) in net asset value from operations		.26			(1.48	)		.97			.06			.95
Less: Dividends
Dividends from net investment income		(.37	)		(.21	)		(.23	)		(.33	)		(.32	)
Net asset value, end of period		$  9.76			$  9.87			$  11.56			$  10.82			$  11.09
Total Return
Total investment return based on net asset value(d)		2.43	%		(12.93	)%		9.02	%		.63	%		9.15	%
Ratios/Supplemental Data
Net assets, end of period (000’s omitted)		$44,249			$29,037			$29,381			$16,463			$11,932
Ratio to average net assets of:
Expenses, net of waivers/reimbursements(e)		.88	%		.76	%		.76	%		.77	%		.76	%
Expenses, before waivers/reimbursements(e)		1.00	%		.91	%		1.08	%		1.26	%		1.30	%
Net investment income(b)		3.48	%		1.91	%		1.88	%		2.68	%		2.78	%
Portfolio turnover rate		34	%		33	%		30	%		63	%		52	%

See footnote summary on page 97.

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FINANCIAL HIGHLIGHTS (continued)

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

	Class C
	Year Ended October 31,
	2023			2022			2021			2020			2019
Net asset value, beginning of period		$  9.87			$  11.56			$  10.83			$  11.09			$  10.46
Income From Investment Operations
Net investment income(a)(b)		.28			.12			.11			.20			.22
Net realized and unrealized gain (loss) on investment transactions		(.09	)		(1.68	)		.77			(.21	)		.65
Contributions from Affiliates		– 0	–		.00	(c)		– 0	–		– 0	–		– 0	–
Net increase (decrease) in net asset value from operations		.19			(1.56	)		.88			(.01	)		.87
Less: Dividends
Dividends from net investment income		(.30	)		(.13	)		(.15	)		(.25	)		(.24	)
Net asset value, end of period		$  9.76			$  9.87			$  11.56			$  10.83			$  11.09
Total Return
Total investment return based on net asset value(d)		1.67	%		(13.59	)%		8.22	%		(.03	)%+		8.33	%
Ratios/Supplemental Data
Net assets, end of period (000’s omitted)		$8,042			$5,964			$7,943			$1,794			$1,596
Ratio to average net assets of:
Expenses, net of waivers/reimbursements(e)		1.63	%		1.51	%		1.51	%		1.52	%		1.51	%
Expenses, before waivers/reimbursements(e)		1.75	%		1.66	%		1.81	%		2.00	%		2.06	%
Net investment income(b)		2.73	%		1.08	%		.96	%		1.91	%		2.05	%
Portfolio turnover rate		34	%		33	%		30	%		63	%		52	%

See footnote summary on page 97.

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FINANCIAL HIGHLIGHTS (continued)

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

	Advisor Class
	Year Ended October 31,
	2023			2022			2021			2020			2019
Net asset value, beginning of period		$  9.87			$  11.56			$  10.83			$  11.09			$  10.46
Income From Investment Operations
Net investment income(a)(b)		.38			.24			.24			.31			.33
Net realized and unrealized gain (loss) on investment transactions		(.09	)		(1.69	)		.75			(.21	)		.64
Contributions from Affiliates		– 0	–		.00	(c)		.00			– 0	–		– 0	–
Net increase (decrease) in net asset value from operations		.29			(1.45	)		.99			.10			.97
Less: Dividends
Dividends from net investment income		(.40	)		(.24	)		(.26	)		(.36	)		(.34	)
Net asset value, end of period		$  9.76			$  9.87			$  11.56			$  10.83			$  11.09
Total Return
Total investment return based on net asset value(d)		2.80	%		(12.71	)%		9.20	%		.97	%		9.42	%
Ratios/Supplemental Data
Net assets, end of period (000’s omitted)		$357,411			$276,044			$159,988			$57,110			$67,119
Ratio to average net assets of:
Expenses, net of waivers/reimbursements(e)		.63	%		.51	%		.51	%		.52	%		.51	%
Expenses, before waivers/reimbursements(e)		.75	%		.66	%		.82	%		.99	%		1.05	%
Net investment income(b)		3.72	%		2.23	%		2.05	%		2.87	%		3.04	%
Portfolio turnover rate		34	%		33	%		30	%		63	%		52	%

See footnote summary on page 97.

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FINANCIAL HIGHLIGHTS (continued)

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

(a) Based on average shares outstanding.

(b) Net of expenses waived/reimbursed by the Adviser.

(c) Amount is less than $.005.

(d) Total investment return is calculated assuming an initial investment made at the net asset value at the beginning of the period, reinvestment of all dividends and distributions at net asset value during the period, and redemption on the last day of the period. Initial sales charges or contingent deferred sales charges are not reflected in the calculation of total investment return. Total return does not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of fund shares. Total investment return calculated for a period of less than one year is not annualized.

(e) The expense ratios presented below exclude interest/bank overdraft expense:

	Year Ended October 31,
	2023			2022			2021			2020			2019
Class A
Net of waivers/reimbursements		.75	%		.75	%		.75	%		.75	%		.75	%
Before waivers/reimbursements		.87	%		.90	%		1.07	%		1.23	%		1.29	%
Class C
Net of waivers/reimbursements		1.50	%		1.50	%		1.50	%		1.50	%		1.50	%
Before waivers/reimbursements		1.62	%		1.65	%		1.79	%		1.98	%		2.04	%
Advisor Class
Net of waivers/reimbursements		.50	%		.50	%		.50	%		.50	%		.50	%
Before waivers/reimbursements		.62	%		.65	%		.80	%		.96	%		1.04	%

+ The net asset value and total return include adjustments in accordance with accounting principles generally accepted in the United States of America for financial reporting purposes. As such, the net asset value and total return for shareholder transactions may differ from financial statements.

See notes to financial statements.

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REPORT OF INDEPENDENT REGISTERED

PUBLIC ACCOUNTING FIRM

To the Board of Directors and Shareholders of

AB Tax-Aware Fixed Income Opportunities Portfolio

Opinion on the Financial Statements

We have audited the accompanying statement of assets and liabilities of AB Tax-Aware Fixed Income Opportunities Portfolio (the “Fund”) (one of the portfolios constituting AB Bond Fund, Inc. (the “Company”)), including the portfolio of investments, as of October 31, 2023, and the related statement of operations for the year then ended, the statements of changes in net assets for each of the two years in the period then ended, the financial highlights for each of the five years in the period then ended and the related notes (collectively referred to as the “financial statements”). In our opinion, the financial statements present fairly, in all material respects, the financial position of the Fund (one of the portfolios constituting AB Bond Fund, Inc.) at October 31, 2023, the results of its operations for the year then ended, the changes in its net assets for each of the two years in the period then ended and its financial highlights for each of the five years in the period then ended, in conformity with U.S. generally accepted accounting principles.

Basis for Opinion

These financial statements are the responsibility of the Company’s management. Our responsibility is to express an opinion on the Fund’s financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (“PCAOB”) and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. The Company is not required to have, nor were we engaged to perform, an audit of the Company’s internal control over financial reporting. As part of our audits, we are required to obtain an understanding of internal control over financial reporting but not for the purpose of expressing an opinion on the effectiveness of the Company’s internal control over financial reporting. Accordingly, we express no such opinion.

Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and

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REPORT OF INDEPENDENT REGISTERED

PUBLIC ACCOUNTING FIRM (continued)

disclosures in the financial statements. Our procedures included confirmation of securities owned as of October 31, 2023, by correspondence with the custodian, brokers and others; when replies were not received from brokers or others, we performed other auditing procedures. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audits provide a reasonable basis for our opinion.

We have served as the auditor of one or more of the AB investment companies since 1968.

New York, New York

December 28, 2023

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BOARD OF DIRECTORS

Garry L. Moody⁽¹⁾,
Chairman Jorge A. Bermudez⁽¹⁾ Michael J. Downey⁽¹⁾ Onur Erzan, President and Chief Executive Officer Nancy P. Jacklin⁽¹⁾ Jeanette W. Loeb⁽¹⁾ Carol C. McMullen⁽¹⁾ Marshall C. Turner, Jr.⁽¹⁾

OFFICERS

Daryl Clements⁽²⁾, Vice President Matthew J. Norton⁽²⁾, Vice President Andrew D. Potter⁽²⁾, Vice President Nancy E. Hay, Secretary Michael B. Reyes, Senior Vice President Stephen M. Woetzel, Treasurer and Chief Financial Officer Phyllis J. Clarke, Controller Jennifer Friedland, Chief Compliance Officer

Custodian and Accounting Agent State Street Bank and Trust Company One Congress Street, Suite 1 Boston, MA 02114   Principal Underwriter AllianceBernstein Investments, Inc. 501 Commerce Street Nashville, TN 37203   Transfer Agent AllianceBernstein Investor Services, Inc. P.O. Box 786003 San Antonio, TX 78278 Toll-Free (800) 221-5672 Independent Registered Public Accounting Firm Ernst & Young LLP One Manhattan West New York, NY 10001   Legal Counsel Seward & Kissel LLP One Battery Park Plaza New York, NY 10004

1 Member of the Audit Committee, the Governance and Nominating Committee, and the Independent Directors Committee.

2 The day-to-day management of, and investment decisions for, the Fund are made by the Adviser’s Tax-Aware Investment Team. Messrs. Clements, Norton and Potter are the investment professionals with the most significant responsibility for the day-to-day management of the Fund’s portfolio.

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MANAGEMENT OF THE FUND

Board of Directors Information

The business and affairs of the Fund are managed under the direction of the Board of Directors. Certain information concerning the Fund’s Directors is set forth below.

NAME, ADDRESS*, AGE, (YEAR FIRST ELECTED**)	PRINCIPAL OCCUPATION(S) DURING PAST FIVE YEARS AND INFORMATION***	PORTFOLIOS IN AB FUND COMPLEX OVERSEEN BY DIRECTOR		OTHER PUBLIC COMPANY DIRECTORSHIPS CURRENTLY HELD BY DIRECTOR
INTERESTED DIRECTOR
Onur Erzan,# 1345 Avenue of the Americas New York, NY 10105 47 (2021)	Senior Vice President of AllianceBernstein L.P. (the “Adviser”), Head of Global Client Group and Head of Private Wealth. He oversees AB’s entire private wealth management business and third-party institutional and retail franchise, where he is responsible for all client services, sales and marketing, as well as product strategy, management and development worldwide. Director, President and Chief Executive Officer of the AB Mutual Funds as of April 1, 2021. He is also a member of the Equitable Holdings Management Committee. Prior to joining the firm in January 2021, he spent over 19 years with McKinsey (management consulting firm), most recently as a senior partner and co-leader of its Wealth & Asset Management practice. In addition, he co-led McKinsey’s Banking & Securities Solutions (a portfolio of data, analytics and digital assets and capabilities) globally.		82	None

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MANAGEMENT OF THE FUND (continued)

NAME, ADDRESS*, AGE, (YEAR FIRST ELECTED**)	PRINCIPAL OCCUPATION(S) DURING PAST FIVE YEARS AND INFORMATION***	PORTFOLIOS IN AB FUND COMPLEX OVERSEEN BY DIRECTOR		OTHER PUBLIC COMPANY DIRECTORSHIPS CURRENTLY HELD BY DIRECTOR
INDEPENDENT DIRECTORS
Garry L. Moody,## Chairman of the Board 71 (2013)	Private Investor since prior to 2018. Formerly, Partner, Deloitte & Touche LLP (1995-2008) where he held a number of senior positions, including Vice Chairman, and U.S. and Global Investment Management Practice Managing Partner; President, Fidelity Accounting and Custody Services Company (1993-1995), where he was responsible for accounting, pricing, custody and reporting for the Fidelity mutual funds; and Partner, Ernst & Young LLP (1975-1993), where he served as the National Director of Mutual Fund Tax Services and Managing Partner of its Chicago Office Tax department. He served as a member of the Investment Company Institute’s Board of Governors and the Independent Directors Council’s Governing Council from October 2019 through September 2023, where he also served as Chairman of the Governance Committee from October 2021 through September 2023. He is Chairman of the AB Funds and Chairman of the Independent Directors Committees since January 2023; he has served as a director or trustee since 2008, and served as Chairman of the Audit Committee of such funds from 2008 to February 2023.		82	None

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MANAGEMENT OF THE FUND (continued)

NAME, ADDRESS*, AGE, (YEAR FIRST ELECTED**)	PRINCIPAL OCCUPATION(S) DURING PAST FIVE YEARS AND INFORMATION***	PORTFOLIOS IN AB FUND COMPLEX OVERSEEN BY DIRECTOR		OTHER PUBLIC COMPANY DIRECTORSHIPS CURRENTLY HELD BY DIRECTOR
INDEPENDENT DIRECTORS (continued)
Jorge A. Bermudez,## 72 (2020)	Private Investor since prior to 2018. Formerly, Chief Risk Officer of Citigroup, Inc., a global financial services company, from November 2007 to March 2008; Chief Executive Officer of Citigroup’s Commercial Business Group in North America and Citibank Texas from 2005 to 2007; and a variety of other executive and leadership roles at various businesses within Citigroup prior to then; Chairman (2018) of the Texas A&M Foundation Board of Trustees (Trustee since 2013) and Chairman of the Smart Grid Center Board at Texas A&M University since 2012; director of, among others, Citibank N.A. from 2005 to 2008, the Federal Reserve Bank of Dallas, Houston Branch from 2009 to 2011, the Federal Reserve Bank of Dallas from 2011 to 2017, and the Electric Reliability Council of Texas from 2010 to 2016; and Chair of the Audit Committee of the Board of Directors of Moody’s Corporation since December 2022. He has served as director or trustee of the AB Funds since January 2020.		82	Moody’s Corporation since April 2011
Michael J. Downey,## 79 (2013)	Private Investor since prior to 2018. Formerly, Chairman of The Asia Pacific Fund, Inc. (registered investment company) since prior to 2018 until January 2019. From 1987 until 1993, Chairman and CEO of Prudential Mutual Fund Management, director of the Prudential mutual funds, and member of the Executive Committee of Prudential Securities, Inc. He has served as a director or trustee of the AB Funds since 2005.		82	None

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MANAGEMENT OF THE FUND (continued)

NAME, ADDRESS*, AGE, (YEAR FIRST ELECTED**)	PRINCIPAL OCCUPATION(S) DURING PAST FIVE YEARS AND INFORMATION***	PORTFOLIOS IN AB FUND COMPLEX OVERSEEN BY DIRECTOR		OTHER PUBLIC COMPANY DIRECTORSHIPS CURRENTLY HELD BY DIRECTOR
INDEPENDENT DIRECTORS (continued)
Nancy P. Jacklin,## 75 (2013)	Private Investor since prior to 2018. Professorial Lecturer at the Johns Hopkins School of Advanced International Studies (2008-2015). U.S. Executive Director of the International Monetary Fund (which is responsible for ensuring the stability of the international monetary system), (December 2002-May 2006); Partner, Clifford Chance (1992-2002); Sector Counsel, International Banking and Finance, and Associate General Counsel, Citicorp (1985-1992); Assistant General Counsel (International), Federal Reserve Board of Governors (1982-1985); and Attorney Advisor, U.S. Department of the Treasury (1973-1982). Member of the Bar of the District of Columbia and of New York; and member of the Council on Foreign Relations. She has served as a director or trustee of the AB Funds since 2006 and served as Chair of the Governance and Nominating Committees of the AB Funds from 2014 to August 2023.		82	None
Jeanette W. Loeb,## 71 (2020)	Private Investor since prior to 2018. Director of New York City Center since 2005. Formerly, Chief Executive Officer of PetCareRx (e-commerce pet pharmacy) from 2002 to 2011 and 2015 to April 2023. She was a director of Apollo Investment Corp. (business development company) from August 2011 to July 2023 and a director of AB Multi-Manager Alternative Fund (fund of hedge funds) from 2012 to 2018. Formerly, affiliated with Goldman Sachs Group, Inc. (financial services) from 1977 to 1994, including as a partner thereof from 1986 to 1994. She has served as director or trustee of the AB Funds since April 2020 and serves as Chair of the Governance and Nominating Committees of the AB Funds since August 2023.		82	None

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MANAGEMENT OF THE FUND (continued)

NAME, ADDRESS*, AGE, (YEAR FIRST ELECTED**)	PRINCIPAL OCCUPATION(S) DURING PAST FIVE YEARS AND INFORMATION***	PORTFOLIOS IN AB FUND COMPLEX OVERSEEN BY DIRECTOR		OTHER PUBLIC COMPANY DIRECTORSHIPS CURRENTLY HELD BY DIRECTOR
INDEPENDENT DIRECTORS (continued)
Carol C. McMullen,## 68 (2016)	Private Investor and a member of the Advisory Board of Butcher Box (since 2018) and serves as Advisory Board Chair as of June 2023. Formerly, Managing Director of Slalom Consulting (consulting) from 2014 until July 2023; member, Mass General Brigham (formerly, Partners Healthcare) Investment Committee (2010-2019); Director of Norfolk & Dedham Group (mutual property and casualty insurance) from 2011 until November 2016; Director of Partners Community Physicians Organization (healthcare) from 2014 until December 2016; and Managing Director of The Crossland Group (consulting) from 2012 until 2013. She has held a number of senior positions in the asset and wealth management industries, including at Eastern Bank (where her roles included President of Eastern Wealth Management), Thomson Financial (Global Head of Sales for Investment Management), and Putnam Investments (where her roles included Chief Investment Officer, Core and Growth and Head of Global Investment Research). She has served on a number of private company and non-profit boards, and as a director or trustee of the AB Funds since June 2016 and serves as Chair of the Audit Committees of such funds since February 2023.		82	None

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MANAGEMENT OF THE FUND (continued)

NAME, ADDRESS*, AGE, (YEAR FIRST ELECTED**)	PRINCIPAL OCCUPATION(S) DURING PAST FIVE YEARS AND INFORMATION***	PORTFOLIOS IN AB FUND COMPLEX OVERSEEN BY DIRECTOR		OTHER PUBLIC COMPANY DIRECTORSHIPS CURRENTLY HELD BY DIRECTOR
INDEPENDENT DIRECTORS (continued)
Marshall C. Turner, Jr.,## 82 (2013)	Private Investor since prior to 2018. He was a Director of Xilinx, Inc. (programmable logic semi-conductors and adaptable, intelligent computing) from 2007 through August 2020, and is a former director of 33 other companies and organizations. Former Chairman and CEO of Dupont Photomasks, Inc. (semi-conductor manufacturing equipment) from 2003 through 2006. He has extensive operating leadership and venture capital investing experience, including five interim or full-time CEO roles, and prior service as general partner of institutional venture capital partnerships. He also has extensive non-profit board leadership experience, and currently serves on the board of the George Lucas Educational Foundation. He has served as a director of one AB Fund since 1992, and director or trustee of all the AB Funds since 2005. He has served as both Chairman of the AB Funds and Chairman of the Independent Directors Committees from 2014 through December 2022.		82	None

* The address for each of the Fund’s disinterested Directors is c/o AllianceBernstein L.P., Attention: Legal and Compliance Department—Mutual Fund Legal, 1345 Avenue of the Americas, New York, NY 10105.

** There is no stated term of office for the Fund’s Directors.

*** The information above includes each Director’s principal occupation during the last five years and other information relating to the experience, attributes and skills relevant to each Director’s qualifications to serve as a Director, which led to the conclusion that each Director should serve as a Director for the Fund.

# Mr. Erzan is an “interested person” of the Fund, as defined in the 1940 Act, due to his position as a Senior Vice President of the Adviser.

## Member of the Audit Committee, the Governance and Nominating Committee and the Independent Directors Committee.

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MANAGEMENT OF THE FUND (continued)

Officer Information

Certain information concerning the Fund’s Officers is listed below.

NAME, ADDRESS* AND AGE	POSITION(S) HELD WITH FUND	PRINCIPAL OCCUPATION DURING PAST 5 YEARS
Onur Erzan 47	President and Chief Executive Officer	See biography above.
Daryl Clements 56	Vice President	Senior Vice President of the Adviser**, with which he has been associated since prior to 2018.
Matthew J. Norton 40	Vice President	Senior Vice President of the Adviser**, with which he has been associated since prior to 2018. He is also Chief Investment Officer – Municipal Bonds.
Andrew D. Potter 38	Vice President	Vice President of the Adviser**, with which he has been associated since prior to 2018.
Nancy E. Hay 51	Secretary	Senior Vice President and Counsel of the Adviser**, with which she has been associated since prior to 2018 and Assistant Secretary of ABI**.
Michael B. Reyes 47	Senior Vice President	Vice President of the Adviser**, with which he has been associated since prior to 2018.
Stephen M. Woetzel 52	Treasurer and Chief Financial Officer	Senior Vice President of ABIS,** with which he has been associated since prior to 2018.
Phyllis J. Clarke 62	Controller	Vice President of ABIS**, with which she has been associated since prior to 2018.
Jennifer Friedland 49	Chief Compliance Officer	Vice President of the Adviser** since 2020 and Mutual Fund Chief Compliance Officer (of all Funds since January 2023 and of the ETF Funds since 2022). Before joining the Adviser** in 2020, she was Chief Compliance Officer at WestEnd Advisors, LLC from prior to 2018 until 2019.

* The address for the Fund’s Officers is 1345 Avenue of the Americas, New York, NY 10105.

** The Adviser, ABI and ABIS are affiliates of the Fund.

The Fund’s Statement of Additional Information (“SAI”) has additional information about the Fund’s Directors and Officers and is available without charge upon request. Contact your financial representative or AB at (800) 227-4618, or visit www.abfunds.com, for a free prospectus of SAI.

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Operation and Effectiveness of the Fund’s Liquidity Risk Management Program:

In October 2016, the Securities and Exchange Commission (“SEC”) adopted the open-end fund liquidity rule (the “Liquidity Rule”). In June 2018 the SEC adopted a requirement that funds disclose information about the operation and effectiveness of their Liquidity Risk Management Program (“LRMP”) in their reports to shareholders.

One of the requirements of the Liquidity Rule is for the Fund to designate an Administrator of the Fund’s Liquidity Risk Management Program. The Administrator of the Fund’s LRMP is AllianceBernstein L.P., the Fund’s investment adviser (the “Adviser”). The Adviser has delegated the responsibility to its Liquidity Risk Management Committee (the “Committee”).

Another requirement of the Liquidity Rule is for the Fund’s Board of Directors (the “Fund Board”) to receive an annual written report from the Administrator of the LRMP, which addresses the operation of the Fund’s LRMP and assesses its adequacy and effectiveness. The Adviser provided the Fund Board with such annual report during the first quarter of 2023, which covered the period January 1, 2022 through December 31, 2022 (the “Program Reporting Period”).

The LRMP’s principal objectives include supporting the Fund’s compliance with limits on investments in illiquid assets and mitigating the risk that the Fund will be unable to meet its redemption obligations in a timely manner.

Pursuant to the LRMP, the Fund classifies the liquidity of its portfolio investments into one of the four categories defined by the SEC: Highly Liquid, Moderately Liquid, Less Liquid, and Illiquid. These classifications are reported to the SEC on Form N-PORT.

During the Program Reporting Period, the Committee reviewed whether the Fund’s strategy is appropriate for an open-end structure, incorporating any holdings of less liquid and illiquid assets. If the Fund participated in derivative transactions, the exposure from such transactions were considered in the LRMP.

The Committee also performed an analysis to determine whether the Fund is required to maintain a Highly Liquid Investment Minimum (“HLIM”). The Committee also incorporated the following information when determining the Fund’s reasonably anticipated trading size for purposes of liquidity monitoring: historical net redemption activity, a Fund’s concentration in an issuer, shareholder concentration, investment performance, total net assets, and distribution channels.

The Adviser informed the Fund Board that the Committee believes the Fund’s LRMP is adequately designed, has been implemented as intended, and has operated effectively since its inception. No material exceptions

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have been noted since the implementation of the LRMP. During the Program Reporting Period, liquidity in all markets was challenged due to rising rates and economic uncertainty. However, markets also remained orderly during the Program Reporting Period. There were no liquidity events that impacted the Fund or its ability to timely meet redemptions during the Program Reporting Period.

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Information Regarding the Review and Approval of the Fund’s Advisory Agreement

The disinterested directors (the “directors”) of AB Bond Fund, Inc. (the “Company”) unanimously approved the continuance of the Company’s Advisory Agreement with the Adviser in respect of AB Tax-Aware Fixed Income Opportunities Portfolio (the “Fund”) at a meeting held in person on August 1-2, 2023 (the “Meeting”).

Prior to approval of the continuance of the Advisory Agreement, the directors had requested from the Adviser, and received and evaluated, extensive materials. They reviewed the proposed continuance of the Advisory Agreement with the Adviser and with experienced counsel who are independent of the Adviser, who advised on the relevant legal standards. The directors also reviewed additional materials, including comparative analytical data prepared by the Senior Vice President of the Fund. The directors also discussed the proposed continuance in private sessions with counsel.

The directors considered their knowledge of the nature and quality of the services provided by the Adviser to the Fund gained from their experience as directors or trustees of most of the registered investment companies advised by the Adviser, their overall confidence in the Adviser’s integrity and competence they have gained from that experience, the Adviser’s initiative in identifying and raising potential issues with the directors and its responsiveness, frankness and attention to concerns raised by the directors in the past, including the Adviser’s willingness to consider and implement organizational and operational changes designed to improve investment results and the services provided to the AB Funds. The directors noted that they have four regular meetings each year, at each of which they review extensive materials and information from the Adviser, including information on the investment performance of the Fund and the money market fund advised by the Adviser in which the Fund invests a portion of its assets.

The directors also considered all factors they believed relevant, including the specific matters discussed below. During the course of their deliberations, the directors evaluated, among other things, the reasonableness of the advisory fee. The directors did not identify any particular information that was all-important or controlling, and different directors may have attributed different weights to the various factors. The directors determined that the selection of the Adviser to manage the Fund and the overall arrangements between the Fund and the Adviser, as provided in the Advisory Agreement, including the advisory fee, were fair and reasonable in light of the services performed, expenses incurred and such other matters as the directors considered relevant in the exercise of their business

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judgment. The material factors and conclusions that formed the basis for the directors’ determinations included the following:

Nature, Extent and Quality of Services Provided

The directors considered the scope and quality of services provided by the Adviser under the Advisory Agreement, including the quality of the investment research capabilities of the Adviser and the other resources it has dedicated to performing services for the Fund. The directors noted that the Adviser from time to time reviews the Fund’s investment strategies and from time to time proposes changes intended to improve the Fund’s relative or absolute performance for the directors’ consideration. They also noted the professional experience and qualifications of the Fund’s portfolio management team and other senior personnel of the Adviser. The directors also considered that the Advisory Agreement provides that the Fund will reimburse the Adviser for the cost to it of providing certain clerical, accounting, administrative and other services to the Fund by employees of the Adviser or its affiliates. Requests for these reimbursements are made on a quarterly basis and subject to approval by the directors. The Adviser had not requested any reimbursements from the Fund in the Fund’s latest fiscal year. The quality of administrative and other services, including the Adviser’s role in coordinating the activities of the Fund’s other service providers, also was considered. The directors concluded that, overall, they were satisfied with the nature, extent and quality of services provided to the Fund under the Advisory Agreement.

Costs of Services Provided and Profitability

The directors reviewed a schedule of the revenues and expenses and related notes indicating the profitability of the Fund to the Adviser for calendar years 2021 and 2022 that had been prepared with an expense allocation methodology arrived at in consultation with an independent consultant retained at the request of the directors. The directors noted the assumptions and methods of allocation used by the Adviser in preparing fund-specific profitability data and understood that there are a number of potentially acceptable allocation methodologies for information of this type. The directors noted that the profitability information reflected all revenues and expenses of the Adviser’s relationship with the Fund, including those relating to its subsidiaries that provide transfer agency and distribution services to the Fund. The directors recognized that it is difficult to make comparisons of the profitability of the Advisory Agreement with the profitability of fund advisory contracts for unaffiliated funds because comparative information is not generally publicly available and is affected by numerous factors. The directors focused on the profitability of the Adviser’s relationship with the Fund before taxes and distribution expenses. The directors concluded that the Adviser’s level of profitability from its relationship with the Fund was not unreasonable.

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Fall-Out Benefits

The directors considered the other benefits to the Adviser and its affiliates from their relationships with the Fund and the money market fund advised by the Adviser in which the Fund invests, including, but not limited to, benefits relating to 12b-1 fees and sales charges received by the Fund’s principal underwriter (which is a wholly owned subsidiary of the Adviser) in respect of certain classes of the Fund’s shares; and transfer agency fees paid by the Fund to a wholly owned subsidiary of the Adviser. The directors recognized that the Adviser’s profitability would be somewhat lower without these benefits. The directors understood that the Adviser also might derive reputational and other benefits from its association with the Fund.

Investment Results

In addition to the information reviewed by the directors in connection with the Meeting, the directors receive detailed performance information for the Fund at each regular Board meeting during the year.

At the Meeting, the directors reviewed performance information prepared by an independent service provider (the “15(c) service provider”), showing the performance of the Advisor Class shares of the Fund against a group of similar funds (“peer group”) and a larger group of similar funds (“peer universe”), each selected by the 15(c) service provider, and information prepared by the Adviser showing performance of the Advisor Class shares against a broad-based securities market index, in each case for the 1-, 3- and 5-year periods ended May 31, 2023 and (in the case of comparisons with the broad-based securities market index) for the period from inception. Based on their review, the directors concluded that the Fund’s investment performance was acceptable.

Advisory Fees and Other Expenses

The directors considered the advisory fee rate payable by the Fund to the Adviser and information prepared by the 15(c) service provider concerning advisory fee rates payable by other funds in the same category as the Fund. The directors recognized that it is difficult to make comparisons of advisory fees because there are variations in the services that are included in the fees payable by other funds. The directors compared the Fund’s contractual effective advisory fee rate with a peer group median and noted that it was lower than the median.

The Adviser informed the directors that there were no institutional products managed by the Adviser that utilize investment strategies similar to those of the Fund.

In connection with their review of the Fund’s advisory fee, the directors also considered the total expense ratio of the Advisor Class shares of the Fund in comparison to the medians for a peer group and a peer universe

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selected by the 15(c) service provider. The Advisor Class expense ratio of the Fund was based on the Fund’s latest fiscal year and reflected the impact of the Adviser’s expense cap for the Fund. The directors noted that it was likely that the expense ratios of some of the other funds in the Fund’s category were lowered by waivers or reimbursements by those funds’ investment advisers, which in some cases might be voluntary or temporary. The directors view expense ratio information as relevant to their evaluation of the Adviser’s services because the Adviser is responsible for coordinating services provided to the Fund by others. Based on their review, the directors concluded that the Fund’s expense ratio was acceptable.

Economies of Scale

The directors noted that the advisory fee schedule for the Fund contains breakpoints that reduce the fee rates on assets above specified levels. The directors took into consideration prior presentations by an independent consultant on economies of scale in the mutual fund industry and for the AB Funds, and presentations from time to time by the Adviser concerning certain of its views on economies of scale. The directors also had requested and received from the Adviser certain updates on economies of scale in advance of the Meeting. The directors believe that economies of scale may be realized (if at all) by the Adviser across a variety of products and services, and not only in respect of a single fund. The directors noted that there is no established methodology for setting breakpoints that give effect to the fund-specific services provided by a fund’s adviser and to the economies of scale that an adviser may realize in its overall mutual fund business or those components of it which directly or indirectly affect a fund’s operations. The directors observed that in the mutual fund industry as a whole, as well as among funds similar to the Fund, there is no uniformity or pattern in the fees and asset levels at which breakpoints (if any) apply. The directors also noted that the advisory agreements for many funds do not have breakpoints at all. Having taken these factors into account, the directors concluded that the Fund’s shareholders would benefit from a sharing of economies of scale in the event the Fund’s net assets exceed a breakpoint in the future.

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This page is not part of the Shareholder Report or the Financial Statements.

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US Large Cap Strategic Equities ETF

US Low Volatility Equity ETF

We also offer Government Money Market Portfolio, which serves as the money market fund exchange vehicle for the AB mutual funds. You could lose money by investing in the Fund. Although the Fund seeks to preserve the value of your investment at $1.00 per share, it cannot guarantee it will do so. The Fund may impose a fee upon sale of your shares or may temporarily suspend your ability to sell shares if the Fund’s liquidity falls below required minimums because of market conditions or other factors. An investment in the Fund is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. The Fund’s sponsor has no legal obligation to provide financial support to the Fund, and you should not expect that the sponsor will provide financial support to the Fund at any time.

Investors should consider the investment objectives, risks, charges and expenses of the Fund carefully before investing. For copies of our prospectus or summary prospectus, which contain this and other information, visit us online at www.abfunds.com or contact your AB representative. Please read the prospectus and/or summary prospectus carefully before investing.

1 Prior to July 5, 2023, International Low Volatility Equity Portfolio was named International Strategic Core Portfolio and Short Duration High Yield Portfolio was named Limited Duration High Income Portfolio.

114    ^|    AB TAX-AWARE FIXED INCOME OPPORTUNITIES PORTFOLIO abfunds.com

NOTES

abfunds.com AB TAX-AWARE FIXED INCOME OPPORTUNITIES PORTFOLIO    ^|    115

NOTES

116    ^|    AB TAX-AWARE FIXED INCOME OPPORTUNITIES PORTFOLIO abfunds.com

AB TAX-AWARE FIXED INCOME OPPORTUNITIES PORTFOLIO

1345 Avenue of the Americas

New York, NY 10105

800 221 5672

TAFIO-0151-1023                

OCT    ^10.31.23

ANNUAL REPORT

AB TOTAL RETURN BOND PORTFOLIO

Investment Products Offered •  Are Not FDIC Insured • May Lose Value • Are Not Bank Guaranteed

Investors should consider the investment objectives, risks, charges and expenses of the Fund carefully before investing. For copies of our prospectus or summary prospectus, which contain this and other information, visit us online at www.abfunds.com or contact your AB representative. Please read the prospectus and/or summary prospectus carefully before investing.

This shareholder report must be preceded or accompanied by the Fund’s prospectus for individuals who are not current shareholders of the Fund.

You may obtain a description of the Fund’s proxy voting policies and procedures, and information regarding how the Fund voted proxies relating to portfolio securities during the most recent 12-month period ended June 30, without charge. Simply visit AB’s website at www.abfunds.com, or go to the Securities and Exchange Commission’s (the “Commission”) website at www.sec.gov, or call AB at (800) 227 4618.

The Fund files its complete schedule of portfolio holdings with the Commission for the first and third quarters of each fiscal year as an exhibit to its reports on Form N-PORT. The Fund’s Form N-PORT reports are available on the Commission’s website at www.sec.gov. AB publishes full portfolio holdings for the Fund monthly at www.abfunds.com.

AllianceBernstein Investments, Inc. (ABI) is the distributor of the AB family of mutual funds. ABI is a member of FINRA and is an affiliate of AllianceBernstein L.P., the Adviser of the funds.

The [A/B] logo is a registered service mark of AllianceBernstein and AllianceBernstein^® is a registered service mark used by permission of the owner, AllianceBernstein L.P.

FROM THE PRESIDENT

Dear Shareholder,

We’re pleased to provide this report for the AB Total Return Bond Portfolio (the “Fund”). Please review the discussion of Fund performance, the market conditions during the reporting period and the Fund’s investment strategy.

At AB, we’re striving to help our clients achieve better outcomes by:

⁺  Fostering diverse perspectives that give us a distinctive approach to navigating global capital markets

⁺  Applying differentiated investment insights through a connected global research network

⁺  Embracing innovation to design better ways to invest and leading-edge mutual-fund solutions

Whether you’re an individual investor or a multibillion-dollar institution, we’re putting our knowledge and experience to work for you every day.

For more information about AB’s comprehensive range of products and shareholder resources, please log on to www.abfunds.com.

Thank you for your investment in AB mutual funds—and for placing your trust in our firm.

Sincerely,

Onur Erzan

President and Chief Executive Officer, AB Mutual Funds

abfunds.com AB TOTAL RETURN BOND PORTFOLIO    ^|    1

ANNUAL REPORT

December 8, 2023

This report provides management’s discussion of fund performance for the AB Total Return Bond Portfolio for the annual reporting period ended October 31, 2023.

The Fund’s investment objective is to maximize long-term total return without assuming what the Adviser considers undue risk.

NAV RETURNS AS OF OCTOBER 31, 2023 (unaudited)

	6 Months		12 Months
AB TOTAL RETURN BOND PORTFOLIO
Class A Shares		-6.06%		1.13%
Class C Shares		-6.33%		0.37%
Advisor Class Shares1,2		-5.83%		1.50%
Class R Shares2		-6.08%		0.88%
Class K Shares2		-5.96%		1.13%
Class I Shares1,2		-5.94%		1.37%
Class Z Shares2		-5.93%		1.38%
Bloomberg US Aggregate Bond Index		-6.13%		0.36%

1 The returns shown are based on net asset values calculated for shareholder transactions and may differ from the returns shown in the Financial Highlights, which reflect adjustments made to the net asset values in accordance with accounting principles generally accepted in the United States of America.

2 Please note that these share classes are for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or investment advisory clients of, and certain other persons associated with, the Adviser and its affiliates or the Fund.

INVESTMENT RESULTS

The table above shows the Fund’s performance compared with its benchmark, the Bloomberg US Aggregate Bond Index, for the six- and 12-month periods ended October 31, 2023.

During the 12-month period, all share classes of the Fund outperformed the benchmark, before sales charges. Sector allocation was the primary contributor, relative to the benchmark, from off-benchmark exposure to agency risk-sharing transactions, collateralized loan obligations, high-yield corporate bonds and emerging market corporate bonds. An underweight to US Treasury bonds that exceeded a loss from an underweight to investment-grade corporate bonds also added to performance. Security selection contributed, mainly from selection among investment-grade corporate bonds, the utilization of high-yield credit default swaps, asset-backed securities and US agency mortgages that were partially offset by

2    ^|    AB TOTAL RETURN BOND PORTFOLIO abfunds.com

selection in high-yield corporate bonds. Yield-curve positioning detracted. Country allocation and currency decisions did not impact performance during the period.

Over the six-month period, all share classes of the Fund except Class C outperformed the benchmark, before sales charges. Security selection was the greatest contributor to performance, mostly from selection in investment-grade and high-yield corporate bonds, the use of high-yield credit default swaps and commercial mortgage-backed securities (“CMBS”). Sector allocation also contributed, due to off-benchmark exposure to agency risk-sharing transactions, collateralized mortgage obligations and high-yield corporate bonds. An underweight to US agency mortgages contributed more than a loss from an underweight to investment grade corporate bonds. Yield-curve positioning detracted, as overweights to the five- part of the curve detracted. Country allocation also detracted, due to off-benchmark exposure to Japan that was partially offset by gains from off-benchmark exposure to the eurozone. Currency decisions did not have an impact on results.

During both periods, the Fund used currency forwards to hedge currency risk and actively manage currency positions. Treasury futures and interest rate swaps were used to manage duration, country exposure and yield-curve positioning. Credit default swaps were used in the corporate and CMBS sectors for hedging and investment purposes. During the 12-month period, total return swaps were utilized for hedging and investment purposes.

MARKET REVIEW AND INVESTMENT STRATEGY

During the 12-month period ended October 2023, fixed-income government bond market yields were extremely volatile in all major developed markets, and developed-market government bond returns diverged based on individual country growth and inflation expectations. Most central banks raised interest rates significantly to combat inflation and then paused further interest-rate hikes. Government bond returns in aggregate were positive, as returns rose in Italy, Japan and Spain, and fell in the UK, Australia, Germany, the US and Canada. Overall, developed-market investment-grade corporate bonds significantly outperformed government bonds, including in the US and eurozone. High-yield corporate bonds advanced and materially outperformed government bonds—especially in the eurozone and US. Emerging-market local-currency sovereign bonds led risk asset returns, as the US dollar was mixed against all currencies. Emerging-market hard-currency sovereign and corporate bonds had strong relative positive returns, particularly among high-yield sovereigns and corporates.

abfunds.com AB TOTAL RETURN BOND PORTFOLIO    ^|    3

INVESTMENT POLICIES

The Fund invests, under normal circumstances, at least 80% of its net assets in fixed-income securities. The Fund expects to invest in readily marketable fixed-income securities with a range of maturities from short- to long-term and relatively attractive yields that do not involve undue risk of loss of capital. The Fund may invest up to 25% of its net assets in below investment-grade bonds. The Fund may use leverage for investment purposes.

The Fund may invest without limit in US dollar-denominated foreign fixed-income securities and may invest up to 25% of its assets in non-US dollar-denominated foreign fixed-income securities. These investments may include, in each case, developed- and emerging-market debt securities.

The Adviser selects securities for purchase or sale based on its assessment of the securities’ risk and return characteristics as well as the securities’ impact on the overall risk and return characteristics of the Fund. In making this assessment, the Adviser takes into account various factors, including the credit quality and sensitivity to interest rates of the securities under consideration and of the Fund’s other holdings.

The Fund may invest in mortgage-related and other asset-backed securities; loan participations and assignments; inflation-indexed securities; variable-, floating- and inverse-floating-rate instruments; and preferred stock, and may use other investment techniques. The Fund intends, among other things, to enter into transactions such as reverse repurchase agreements and dollar rolls. The Fund may invest in derivatives, such as options, futures contracts, forwards or swaps.

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DISCLOSURES AND RISKS

Benchmark Disclosure

The Bloomberg US Aggregate Bond Index is unmanaged and does not reflect fees and expenses associated with the active management of a mutual fund portfolio. The Bloomberg US Aggregate Bond Index represents the performance of securities within the US investment-grade fixed-rate bond market, with index components for government and corporate securities, mortgage pass-through securities, asset-backed securities and CMBS. An investor cannot invest directly in an index, and its results are not indicative of the performance for any specific investment, including the Fund.

A Word About Risk

Market Risk: The value of the Fund’s assets will fluctuate as the stock or bond market fluctuates. The value of its investments may decline, sometimes rapidly and unpredictably, simply because of economic changes or other events, including public health crises (including the occurrence of a contagious disease or illness) and regional and global conflicts, that affect large portions of the market.

Interest-Rate Risk: Changes in interest rates will affect the value of investments in fixed-income securities. When interest rates rise, the value of existing investments in fixed-income securities tends to fall and this decrease in value may not be offset by higher income from new investments. Interest-rate risk is generally greater for fixed-income securities with longer maturities or durations. The Fund may be subject to a greater risk of rising interest rates than would normally be the case due to the recent end of a period of historically low rates and the effect of potential central bank monetary policy, and government fiscal policy, initiatives and resulting market reactions to those initiatives.

Credit Risk: An issuer or guarantor of a fixed-income security, or the counterparty to a derivatives or other contract, may be unable or unwilling to make timely payments of interest or principal, or to otherwise honor its obligations. The issuer or guarantor may default, causing a loss of the full principal amount of a security and accrued interest. The degree of risk for a particular security may be reflected in its credit rating. There is the possibility that the credit rating of a fixed-income security may be downgraded after purchase, which may adversely affect the value of the security.

Below Investment-Grade Securities Risk: Investments in fixed-income securities with lower ratings (commonly known as “junk bonds”) are subject to a higher probability that an issuer will default or fail to meet its payment obligations. These securities may be subject to greater price volatility due to such factors as specific corporate developments and negative perceptions of the junk bond market generally and may be more difficult to trade than other types of securities.

abfunds.com AB TOTAL RETURN BOND PORTFOLIO    ^|    5

DISCLOSURES AND RISKS (continued)

Duration Risk: Duration is a measure that relates the expected price volatility of a fixed-income security to changes in interest rates. The duration of a fixed-income security may be shorter than or equal to full maturity of a fixed-income security. Fixed-income securities with longer durations have more risk and will decrease in price as interest rates rise.

Inflation Risk: This is the risk that the value of assets or income from investments will be less in the future as inflation decreases the value of money. As inflation increases, the value of the Fund’s assets can decline as can the value of the Fund’s distributions. This risk is significantly greater for fixed-income securities with longer maturities. The Fund invests in inflation-indexed securities, the value of which may be vulnerable to changes in expectations of inflation or interest rates.

Foreign (Non-US) Risk: Investments in securities of non-US issuers may involve more risk than those of US issuers. These securities may fluctuate more widely in price and may be more difficult to trade due to adverse market, economic, political, regulatory or other factors.

Emerging-Market Risk: Investments in emerging-market countries may have more risk because the markets are less developed and less liquid and are subject to increased economic, political, regulatory or other uncertainties.

Currency Risk: Fluctuations in currency exchange rates may negatively affect the value of the Fund’s investments or reduce its returns.

Mortgage-Related and/or Other Asset-Backed Securities Risk: Investments in mortgage-related and other asset-backed securities are subject to certain additional risks. The value of these securities may be particularly sensitive to changes in interest rates. These risks include “extension risk”, which is the risk that, in periods of rising interest rates, issuers may delay the payment of principal, and “prepayment risk”, which is the risk that in periods of falling interest rates, issuers may pay principal sooner than expected, exposing the Fund to a lower rate of return upon reinvestment of principal. Mortgage-backed securities offered by non-governmental issuers and other asset-backed securities may be subject to other risks, such as higher rates of default in the mortgages or assets backing the securities or risks associated with the nature and servicing of mortgages or assets backing the securities.

Leverage Risk: To the extent the Fund uses leveraging techniques, its net asset value (“NAV”) may be more volatile because leverage tends to exaggerate the effect of changes in interest rates and any increase or decrease in the value of the Fund’s investments.

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DISCLOSURES AND RISKS (continued)

Derivatives Risk: Derivatives may be difficult to price or unwind and leveraged so that small changes may produce disproportionate losses for the Fund. A short position in a derivative instrument involves the risk of a theoretically unlimited increase in the value of the underlying asset, which could cause the Fund to suffer a potentially unlimited loss. Derivatives, especially over-the-counter derivatives, are also subject to counterparty risk, which is the risk that the counterparty (the party on the other side of the transaction) on a derivative transaction will be unable or unwilling to honor its contractual obligations to the Fund.

Illiquid Investments Risk: Illiquid investments risk exists when certain investments are or become difficult to purchase or sell. Difficulty in selling such investments may result in sales at disadvantageous prices affecting the value of your investment in the Fund. Causes of illiquid investments risk may include low trading volumes, large positions and heavy redemptions of Fund shares. Illiquid investments risk may be higher in a rising interest-rate environment, when the value and liquidity of fixed-income securities generally decline.

Active Trading Risk: The Fund expects to engage in active and frequent trading of its portfolio securities and its portfolio turnover rate may greatly exceed 100%. A higher rate of portfolio turnover increases transaction costs, which may negatively affect the Fund’s return. In addition, a high rate of portfolio turnover may result in substantial short-term gains, which may have adverse tax consequences for Fund shareholders.

Management Risk: The Fund is subject to management risk because it is an actively managed investment fund. The Adviser will apply its investment techniques and risk analyses in making investment decisions, but there is no guarantee that its techniques will produce the intended results. Some of these techniques may incorporate, or rely upon, quantitative models, but there is no guarantee that these models will generate accurate forecasts, reduce risk or otherwise perform as expected.

These risks are fully discussed in the Fund’s prospectus. As with all investments, you may lose money by investing in the Fund.

An Important Note About Historical Performance

The investment return and principal value of an investment in the Fund will fluctuate, so that shares, when redeemed, may be worth more or less than their original cost. Performance shown in this report represents past performance and does not guarantee future results. Current performance may be lower or higher than the performance information shown. You may obtain performance information current to the most recent month-end by visiting www.abfunds.com.

abfunds.com AB TOTAL RETURN BOND PORTFOLIO    ^|    7

DISCLOSURES AND RISKS (continued)

On July 12, 2019, the Fund implemented its current investment policies (the change eliminated the guidelines for the average duration and maturity of the Fund and addressed certain related matters) and also changed its name from AB Intermediate Bond Portfolio to AB Total Return Bond Portfolio. Accordingly, the performance shown for periods prior to July 12, 2019, is based on the Fund’s prior investment strategies and may not be representative of the Fund’s performance under its current investment policies.

All fees and expenses related to the operation of the Fund have been deducted. NAV returns do not reflect sales charges; if sales charges were reflected, the Fund’s quoted performance would be lower. SEC returns reflect the applicable sales charges for each share class: a 4.25% maximum front-end sales charge for Class A shares and a 1% 1-year contingent deferred sales charge for Class C shares. Returns for the different share classes will vary due to different expenses associated with each class. Performance assumes reinvestment of distributions and does not account for taxes.

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HISTORICAL PERFORMANCE

GROWTH OF A $10,000 INVESTMENT IN THE FUND (unaudited)

10/31/2013 TO 10/31/2023

This chart illustrates the total value of an assumed $10,000 investment in AB Total Return Bond Portfolio Class A shares (from 10/31/2013 to 10/31/2023) as compared to the performance of the Fund’s benchmark. The chart reflects the deduction of the maximum 4.25% sales charge from the initial $10,000 investment in the Fund and assumes the reinvestment of dividends and capital gains distributions.

abfunds.com AB TOTAL RETURN BOND PORTFOLIO    ^|    9

HISTORICAL PERFORMANCE (continued)

AVERAGE ANNUAL RETURNS AS OF OCTOBER 31, 2023 (unaudited)

	NAV Returns		SEC Returns (reflects applicable sales charges)		SEC Yields1
CLASS A SHARES						3.67%
1 Year		1.13%		-3.17%
5 Years		-0.55%		-1.40%
10 Years		0.87%		0.43%
CLASS C SHARES						3.07%
1 Year		0.37%		-0.59%
5 Years		-1.29%		-1.29%
10 Years2		0.12%		0.12%
ADVISOR CLASS SHARES3						4.08%
1 Year		1.50%		1.50%
5 Years		-0.28%		-0.28%
10 Years		1.13%		1.13%
CLASS R SHARES3						2.84%
1 Year		0.88%		0.88%
5 Years		-0.80%		-0.80%
10 Years		0.62%		0.62%
CLASS K SHARES3						1.73%
1 Year		1.13%		1.13%
5 Years		-0.55%		-0.55%
10 Years		0.87%		0.87%
CLASS I SHARES3						4.15%
1 Year		1.37%		1.37%
5 Years		-0.31%		-0.31%
10 Years		1.12%		1.12%
CLASS Z SHARES3						4.24%
1 Year		1.38%		1.38%
5 Years		-0.30%		-0.30%
Since Inception4		0.87%		0.87%

The Fund’s prospectus fee table shows the Fund’s total annual operating expense ratios as 1.06%, 1.81%, 0.80%, 1.43%, 1.12%, 0.75% and 0.70% for Class A, Class C, Advisor Class, Class R, Class K, Class I and Class Z shares, respectively, gross of any fee waivers or expense reimbursements. Contractual fee waivers and/or expense reimbursements limited the Fund’s total annual operating expense ratios, exclusive of interest expense, to 0.77%, 1.52%, 0.52%, 1.02%, 0.77%, 0.52% and 0.52% for Class A, Class C, Advisor Class, Class R, Class K, Class I and Class Z shares, respectively. These waivers/reimbursements may not be terminated before January 31, 2024, and may be extended by the Adviser for additional one-year terms. Absent reimbursements or waivers, performance would have been lower. The Financial Highlights section of this report sets forth expense ratio data for the current reporting period; the expense ratios shown above may differ from the expense ratios in the Financial Highlights section since they are based on different time periods.

(footnotes continued on next page)

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HISTORICAL PERFORMANCE (continued)

1 SEC yields are calculated based on SEC guidelines for the 30-day period ended October 31, 2023.

2 Assumes conversion of Class C shares into Class A shares after eight years.

3 These share classes are offered at NAV to eligible investors and their SEC returns are the same as their NAV returns. Please note that these share classes are for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or investment advisory clients of, and certain other persons associated with, the Adviser and its affiliates or the Fund.

4 Inception date: 4/25/2014.

abfunds.com AB TOTAL RETURN BOND PORTFOLIO    ^|    11

HISTORICAL PERFORMANCE (continued)

SEC AVERAGE ANNUAL RETURNS

AS OF THE MOST RECENT CALENDAR QUARTER-END

SEPTEMBER 30, 2023 (unaudited)

	SEC Returns (reflects applicable sales charges)
CLASS A SHARES
1 Year		-3.44%
5 Years		-1.27%
10 Years		0.74%
CLASS C SHARES
1 Year		-0.87%
5 Years		-1.13%
10 Years1		0.43%
ADVISOR CLASS SHARES2
1 Year		1.22%
5 Years		-0.14%
10 Years		1.44%
CLASS R SHARES2
1 Year		0.60%
5 Years		-0.64%
10 Years		0.93%
CLASS K SHARES2
1 Year		0.85%
5 Years		-0.39%
10 Years		1.18%
CLASS I SHARES2
1 Year		1.10%
5 Years		-0.16%
10 Years		1.43%
CLASS Z SHARES2
1 Year		1.10%
5 Years		-0.16%
Since Inception3		1.05%

1 Assumes conversion of Class C shares into Class A shares after eight years.

2 Please note that these share classes are for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or investment advisory clients of, and certain other persons associated with, the Adviser and its affiliates or the Fund.

3 Inception date: 4/25/2014.

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EXPENSE EXAMPLE

(unaudited)

As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments, contingent deferred sales charges on redemptions and (2) ongoing costs, including management fees; distribution (12b-1) fees; and other Fund expenses. This example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds.

The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period as indicated below.

Actual Expenses

The table below provides information about actual account values and actual expenses. You may use the information, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number under the heading entitled “Expenses Paid During Period” to estimate the expenses you paid on your account during this period.

Hypothetical Example for Comparison Purposes

The table below also provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed annual rate of return of 5% before expenses, which is not the Fund’s actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and other funds by comparing this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of other funds.

Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as sales charges (loads), or contingent deferred sales charges on redemptions. Therefore, the hypothetical example is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.

abfunds.com AB TOTAL RETURN BOND PORTFOLIO    ^|    13

EXPENSE EXAMPLE (continued)

	Beginning Account Value May 1, 2023		Ending Account Value October 31, 2023		Expenses Paid During Period*		Annualized Expense Ratio*
Class A
Actual	$	1,000	$	939.40	$	3.76		0.77	%
Hypothetical**	$	1,000	$	1,021.32	$	3.92		0.77	%
Class C
Actual	$	1,000	$	936.70	$	7.42		1.52	%
Hypothetical**	$	1,000	$	1,017.54	$	7.73		1.52	%
Advisor Class
Actual	$	1,000	$	941.70	$	2.54		0.52	%
Hypothetical**	$	1,000	$	1,022.58	$	2.65		0.52	%
Class R
Actual	$	1,000	$	939.20	$	4.99		1.02	%
Hypothetical**	$	1,000	$	1,020.06	$	5.19		1.02	%
Class K
Actual	$	1,000	$	940.40	$	3.77		0.77	%
Hypothetical**	$	1,000	$	1,021.32	$	3.92		0.77	%
Class I
Actual	$	1,000	$	940.60	$	2.54		0.52	%
Hypothetical**	$	1,000	$	1,022.58	$	2.65		0.52	%
Class Z
Actual	$	1,000	$	940.70	$	2.54		0.52	%
Hypothetical**	$	1,000	$	1,022.58	$	2.65		0.52	%

* Expenses are equal to the classes’ annualized expense ratios, multiplied by the average account value over the period, multiplied by 184/365 (to reflect the one-half year period).

** Assumes 5% annual return before expenses.

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PORTFOLIO SUMMARY

October 31, 2023 (unaudited)

PORTFOLIO STATISTICS

Net Assets ($mil): $168.1

TOP TEN SECTORS (including derivatives)¹

Corporates–Investment Grade2	25.9	%
Governments–Treasuries3	25.6
Mortgage Pass-Throughs	19.9
U.S. Government & Agency Securities	16.8
Asset-Backed Securities	9.7
Cash & Cash Equivalents	6.8
Collateralized Mortgage Obligations	6.2
Commercial Mortgage-Backed Securities3	5.9
Inflation-Linked Securities	2.8
Collateralized Loan Obligations	2.8

SECTOR BREAKDOWN (excluding derivatives)⁴

Corporates–Investment Grade	24.5	%
Mortgage Pass-Throughs	18.8
Governments–Treasuries	15.9
Asset-Backed Securities	9.2
Collateralized Mortgage Obligations	5.9
Commercial Mortgage-Backed Securities	5.6
Inflation-Linked Securities	2.6
Collateralized Loan Obligations	2.6
Corporates–Non-Investment Grade	1.9
Emerging Markets–Corporate Bonds	0.9
Local Governments–US Municipal Bonds	0.9
Quasi-Sovereigns	0.4
Governments–Sovereign Bonds	0.2
Other	0.3
Short-Term Investments	10.3
	100.0	%

1 The Fund’s sectors include derivative exposure and are expressed as approximate percentages of the Fund’s total net assets, based on the Adviser’s internal classification. The percentages will vary over time.

2 Includes Credit Default Swaps.

3 Includes Treasury Futures.

4 The Fund’s sector breakdown is expressed as a percentage of total investments and may vary over time. The Fund also enters into derivative transactions, which may be used for hedging or investment purposes (see “Portfolio of Investments” section of the report for additional details).

abfunds.com AB TOTAL RETURN BOND PORTFOLIO    ^|    15

PORTFOLIO OF INVESTMENTS

October 31, 2023

		Principal Amount (000)		U.S. $ Value
CORPORATES - INVESTMENT GRADE – 25.7%
Financial Institutions – 12.8%
Banking – 9.7%
AIB Group PLC 4.263%, 04/10/2025(a)	U.S.$		491	$	484,686
6.608%, 09/13/2029(a)			202		197,598
Ally Financial, Inc. 6.992%, 06/13/2029			270		257,966
Banco de Credito del Peru SA 3.125%, 07/01/2030(a)			635		580,231
Banco Santander SA 4.175%, 03/24/2028			400		366,272
Bank of Ireland Group PLC 6.253%, 09/16/2026(a)			215		212,932
Barclays PLC 6.224%, 05/09/2034			232		212,521
BNP Paribas SA 8.50%, 08/14/2028(a)(b)			463		443,952
CaixaBank SA 6.684%, 09/13/2027(a)			235		232,739
Capital One Financial Corp. 5.468%, 02/01/2029			118		109,715
6.377%, 06/08/2034			319		291,011
Citigroup, Inc. Series W 4.00%, 12/10/2025(b)			329		281,881
Cooperatieve Rabobank UA 5.564%, 02/28/2029(a)			487		469,283
Credit Agricole SA 6.316%, 10/03/2029(a)			443		435,651
Danske Bank A/S 4.298%, 04/01/2028(a)			360		332,309
Deutsche Bank AG/New York NY 3.961%, 11/26/2025			265		255,590
7.146%, 07/13/2027			298		297,580
Discover Bank 5.974%, 08/09/2028			250		226,002
Goldman Sachs Group, Inc. (The) Series P 8.501% (SOFR + 3.14%), 12/01/2023(b)			43		42,826
Series V 4.125%, 11/10/2026(b)			268		212,251
HSBC Holdings PLC 4.583%, 06/19/2029			224		204,111
7.39%, 11/03/2028			315		323,130
8.113%, 11/03/2033			277		286,922

16    ^|    AB TOTAL RETURN  BOND PORTFOLIO abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
ING Groep NV 6.083%, 09/11/2027	U.S.$		295	$	292,280
Intesa Sanpaolo SpA 5.017%, 06/26/2024(a)			288		282,655
JPMorgan Chase & Co. 6.07%, 10/22/2027			433		432,437
Lloyds Banking Group PLC 7.50%, 09/27/2025(b)			381		353,484
7.953%, 11/15/2033			504		510,874
Mizuho Financial Group, Inc. 5.739%, 05/27/2031			487		463,780
Morgan Stanley 0.406%, 10/29/2027	EUR		309		290,360
Nationwide Building Society 2.972%, 02/16/2028(a)	U.S.$		398		353,814
NatWest Group PLC 4.269%, 03/22/2025			481		476,195
PNC Financial Services Group, Inc. (The) 5.068%, 01/24/2034			112		98,476
6.875%, 10/20/2034			139		138,916
Series R 8.711% (SOFR + 3.30%), 12/01/2023(b)(c)			62		61,376
Santander Holdings USA, Inc. 6.499%, 03/09/2029			241		233,081
6.565%, 06/12/2029			20		19,295
Santander UK Group Holdings PLC 6.833%, 11/21/2026			607		606,199
Societe Generale SA 2.797%, 01/19/2028(a)			778		684,710
Standard Chartered PLC 3.971%, 03/30/2026(a)			268		257,800
6.00%, 07/26/2025(a)(b)			478		451,084
7.162% (LIBOR 3 Month + 1.51%), 01/30/2027(a)(b)(c)			400		366,048
Swedbank AB Series NC5 5.625%, 09/17/2024(a)(b)			400		385,732
UBS Group AG 3.091%, 05/14/2032(a)			319		245,649
4.194%, 04/01/2031(a)			396		338,410
6.373%, 07/15/2026(a)			369		366,672
7.00%, 02/19/2025(a)(b)			312		302,852
UniCredit SpA 1.982%, 06/03/2027(a)			205		180,744
2.569%, 09/22/2026(a)			391		358,089
3.127%, 06/03/2032(a)			356		266,573

abfunds.com AB TOTAL RETURN BOND PORTFOLIO    ^|    17

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
US Bancorp Series J 5.30%, 04/15/2027(b)	U.S.$		380	$	298,900
Wells Fargo & Co. 5.574%, 07/25/2029			98		94,380
7.625%, 09/15/2028(b)			57		57,252
Series BB 3.90%, 03/15/2026(b)			273		236,956
					16,262,232
Brokerage – 0.4%
Charles Schwab Corp. (The) Series G 5.375%, 06/01/2025(b)			260		248,050
Series I 4.00%, 06/01/2026(b)			469		372,635
					620,685
Finance – 1.7%
Air Lease Corp. 3.625%, 04/01/2027			34		30,994
Aircastle Ltd. 2.85%, 01/26/2028(a)			943		786,518
4.125%, 05/01/2024			152		149,918
5.25%, 08/11/2025(a)			275		267,583
Aviation Capital Group LLC 1.95%, 01/30/2026(a)			449		403,633
1.95%, 09/20/2026(a)			133		115,604
3.50%, 11/01/2027(a)			136		119,390
4.125%, 08/01/2025(a)			5		4,761
4.375%, 01/30/2024(a)			135		134,098
4.875%, 10/01/2025(a)			153		147,148
5.50%, 12/15/2024(a)			294		288,981
6.375%, 07/15/2030(a)			166		157,257
Synchrony Financial 2.875%, 10/28/2031			420		285,159
					2,891,044
Insurance – 0.5%
MetLife Capital Trust IV 7.875%, 12/15/2037(a)			699		711,897
Swiss Re Finance Luxembourg SA 5.00%, 04/02/2049(a)			200		187,336
					899,233
REITs – 0.5%
American Tower Corp. 2.10%, 06/15/2030			147		111,974

18    ^|    AB TOTAL RETURN  BOND PORTFOLIO abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
GLP Capital LP/GLP Financing II, Inc. 3.25%, 01/15/2032	U.S.$		274	$	207,295
4.00%, 01/15/2031			114		92,584
Vornado Realty LP 3.40%, 06/01/2031			617		427,260
					839,113
					21,512,307
Industrial – 12.0%
Basic – 0.5%
Celanese US Holdings LLC 6.35%, 11/15/2028			57		55,650
6.55%, 11/15/2030			136		130,677
Freeport Indonesia PT 4.763%, 04/14/2027(a)			390		369,455
Glencore Funding LLC 5.40%, 05/08/2028(a)			223		215,612
6.50%, 10/06/2033(a)			94		91,935
					863,329
Capital Goods – 0.4%
Flowserve Corp. 2.80%, 01/15/2032			425		313,000
Regal Rexnord Corp. 6.05%, 02/15/2026(a)			401		394,355
					707,355
Communications - Media – 0.9%
Charter Communications Operating LLC/Charter Communications Operating Capital 5.125%, 07/01/2049			198		136,957
Cox Communications, Inc. 5.70%, 06/15/2033(a)			134		126,186
Discovery Communications LLC 5.20%, 09/20/2047			178		127,491
5.30%, 05/15/2049			81		58,402
Fox Corp. 5.576%, 01/25/2049			182		143,423
Interpublic Group of Cos., Inc. (The) 4.65%, 10/01/2028			178		165,663
5.375%, 06/15/2033			140		128,513
Meta Platforms, Inc. 4.95%, 05/15/2033			193		180,889
Prosus NV 3.257%, 01/19/2027(a)			219		193,311
Tencent Holdings Ltd. 3.24%, 06/03/2050(a)			328		179,026
					1,439,861

abfunds.com AB TOTAL RETURN BOND PORTFOLIO    ^|    19

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Communications - Telecommunications – 0.4%
AT&T, Inc. 4.50%, 05/15/2035	U.S.$		77	$	64,135
T-Mobile USA, Inc. 5.05%, 07/15/2033			370		334,280
Verizon Communications, Inc. 4.50%, 08/10/2033			391		338,829
					737,244
Consumer Cyclical - Automotive – 1.0%
Ford Motor Co. 6.10%, 08/19/2032			232		214,672
General Motors Financial Co., Inc. 4.30%, 04/06/2029			78		69,248
5.80%, 06/23/2028			242		234,408
Harley-Davidson Financial Services, Inc. 3.05%, 02/14/2027(a)			501		442,528
6.50%, 03/10/2028(a)			20		19,544
Hyundai Capital America 6.10%, 09/21/2028(a)			234		230,017
Nissan Motor Co., Ltd. 4.345%, 09/17/2027(a)			522		473,089
					1,683,506
Consumer Cyclical - Other – 0.6%
Las Vegas Sands Corp. 3.90%, 08/08/2029			327		282,629
Marriott International, Inc./MD 4.90%, 04/15/2029			384		360,161
MDC Holdings, Inc. 6.00%, 01/15/2043			346		272,451
					915,241
Consumer Cyclical - Retailers – 0.4%
Advance Auto Parts, Inc. 3.90%, 04/15/2030			811		657,924
Consumer Non-Cyclical – 1.8%
Altria Group, Inc. 3.40%, 05/06/2030			750		626,258
BAT Capital Corp. 2.259%, 03/25/2028			864		725,751
6.421%, 08/02/2033			163		153,608
Cargill, Inc. 5.125%, 10/11/2032(a)			248		233,762
JBS USA LUX SA/JBS USA Food Co./JBS Luxembourg SARL 6.75%, 03/15/2034(a)			228		213,305

20    ^|    AB TOTAL RETURN  BOND PORTFOLIO abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Ochsner LSU Health System of North Louisiana Series 2021 2.51%, 05/15/2031	U.S.$		520	$	326,560
Philip Morris International, Inc. 5.375%, 02/15/2033			469		433,248
Pilgrim’s Pride Corp. 6.875%, 05/15/2034			349		330,744
					3,043,236
Energy – 2.0%
Continental Resources, Inc./OK 2.875%, 04/01/2032(a)			550		406,962
5.75%, 01/15/2031(a)			237		219,867
Ecopetrol SA 8.625%, 01/19/2029			271		269,781
Marathon Oil Corp. 6.80%, 03/15/2032			650		655,259
Oleoducto Central SA 4.00%, 07/14/2027(a)			217		190,046
ONEOK Partners LP 6.125%, 02/01/2041			48		43,520
ONEOK, Inc. 6.05%, 09/01/2033			183		175,482
Ovintiv, Inc. 5.65%, 05/15/2028			90		87,417
6.25%, 07/15/2033			132		125,285
Suncor Energy, Inc. 6.80%, 05/15/2038			534		525,290
Var Energi ASA 7.50%, 01/15/2028(a)			314		320,054
8.00%, 11/15/2032(a)			402		413,509
					3,432,472
Other Industrial – 0.2%
LKQ Corp. 5.75%, 06/15/2028			246		238,522
6.25%, 06/15/2033			145		135,653
					374,175
Services – 0.4%
Booking Holdings, Inc. 4.50%, 11/15/2031	EUR		320		345,625
Global Payments, Inc. 3.20%, 08/15/2029	U.S.$		290		243,600
					589,225
Technology – 2.8%
Apple, Inc. 4.10%, 08/08/2062			350		256,410

abfunds.com AB TOTAL RETURN BOND PORTFOLIO    ^|    21

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Broadcom, Inc. 4.00%, 04/15/2029(a)	U.S.$		53	$	47,321
4.926%, 05/15/2037(a)			547		454,655
Entegris Escrow Corp. 4.75%, 04/15/2029(a)			395		354,892
Honeywell International, Inc. 4.125%, 11/02/2034	EUR		410		422,351
Infor, Inc. 1.75%, 07/15/2025(a)	U.S.$		279		256,895
Kyndryl Holdings, Inc. 2.05%, 10/15/2026			869		757,099
Lenovo Group Ltd. 5.831%, 01/27/2028(a)			489		475,259
Micron Technology, Inc. 6.75%, 11/01/2029			562		564,237
NXP BV/NXP Funding LLC 5.55%, 12/01/2028			277		267,784
NXP BV/NXP Funding LLC/NXP USA, Inc. 3.40%, 05/01/2030			298		249,405
Oracle Corp. 5.375%, 07/15/2040			90		76,565
SK Hynix, Inc. 2.375%, 01/19/2031(a)			280		206,150
TSMC Arizona Corp. 3.875%, 04/22/2027			241		227,844
					4,616,867
Transportation - Airlines – 0.2%
Delta Air Lines, Inc./SkyMiles IP Ltd. 4.75%, 10/20/2028(a)			401		376,743
Transportation - Railroads – 0.1%
Lima Metro Line 2 Finance Ltd. 5.875%, 07/05/2034(a)			155		147,578
Transportation - Services – 0.3%
ENA Master Trust 4.00%, 05/19/2048(a)			457		312,629
ERAC USA Finance LLC 4.90%, 05/01/2033(a)			288		261,876
					574,505
					20,159,261
Utility – 0.9%
Electric – 0.9%
AES Panama Generation Holdings SRL 4.375%, 05/31/2030(a)			272		220,170
Alexander Funding Trust II 7.467%, 07/31/2028(a)			184		182,320

22    ^|    AB TOTAL RETURN  BOND PORTFOLIO abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Duke Energy Carolinas NC Storm Funding LLC Series A-2 2.617%, 07/01/2041	U.S.$		306	$	201,923
Electricite de France SA 9.125%, 03/15/2033(a)(b)			283		289,543
Engie Energia Chile SA 3.40%, 01/28/2030(a)			349		278,740
NRG Energy, Inc. 7.00%, 03/15/2033(a)			362		341,359
					1,514,055
Total Corporates - Investment Grade (cost $48,642,978)					43,185,623
MORTGAGE PASS-THROUGHS – 19.6%
Agency Fixed Rate 30-Year – 18.7%
Federal Home Loan Mortgage Corp. Series 2019 3.50%, 10/01/2049			172		145,878
3.50%, 11/01/2049			222		188,549
Series 2022 2.00%, 03/01/2052			1,859		1,374,084
2.50%, 04/01/2052			2,165		1,677,674
3.00%, 03/01/2052			1,211		977,384
Federal Home Loan Mortgage Corp. Gold Series 2005 5.50%, 01/01/2035			68		67,302
Series 2007 5.50%, 07/01/2035			11		10,633
Series 2016 4.00%, 02/01/2046			484		437,072
Series 2017 4.00%, 07/01/2044			322		290,493
Series 2018 4.50%, 03/01/2048			136		124,389
4.50%, 10/01/2048			309		281,592
4.50%, 11/01/2048			406		369,834
5.00%, 11/01/2048			157		147,294
Federal National Mortgage Association Series 2003 5.50%, 04/01/2033			21		20,365
5.50%, 07/01/2033			45		44,729
Series 2004 5.50%, 04/01/2034			6		5,527
5.50%, 05/01/2034			14		13,418
5.50%, 11/01/2034			20		19,545
5.50%, 01/01/2035			189		186,596

abfunds.com AB TOTAL RETURN BOND PORTFOLIO    ^|    23

PORTFOLIO OF INVESTMENTS (continued)

			Principal Amount (000)		U.S. $ Value
Series 2005 5.50%, 02/01/2035		U.S.$		27	$	27,072
Series 2007 5.50%, 08/01/2037				138		136,035
Series 2010 4.00%, 12/01/2040				198		178,991
Series 2012 3.50%, 02/01/2042				125		108,924
3.50%, 11/01/2042				1,375		1,195,701
3.50%, 01/01/2043				232		201,208
Series 2013 3.50%, 04/01/2043				806		698,223
4.00%, 10/01/2043				477		426,649
Series 2016 3.50%, 01/01/2047				359		305,758
Series 2018 4.50%, 09/01/2048				672		611,573
Series 2019 3.50%, 08/01/2049				528		447,765
3.50%, 09/01/2049				233		197,758
3.50%, 11/01/2049				464		392,696
Series 2021 2.00%, 07/01/2051				1,916		1,414,710
2.50%, 01/01/2052				615		477,061
Series 2022 2.50%, 03/01/2052				1,353		1,043,213
2.50%, 04/01/2052				1,382		1,070,110
2.50%, 05/01/2052				1,820		1,409,312
3.00%, 02/01/2052				1,585		1,280,773
3.00%, 03/01/2052				2,034		1,641,830
Government National Mortgage Association Series 2016 3.00%, 04/20/2046				68		56,958
3.00%, 05/20/2046				164		137,718
Series 2021 4.00%, 11/20/2053, TBA				994		873,496
4.50%, 11/20/2053, TBA	��			2,589		2,336,701
Series 2023 5.00%, 11/20/2053, TBA				2,900		2,697,884
5.50%, 04/20/2053				1,118		1,070,196
5.50%, 11/20/2053, TBA				754		720,998
Uniform Mortgage-Backed Security Series 2022 2.00%, 11/13/2053, TBA				2,105		1,545,294
4.00%, 11/13/2053, TBA				649		560,537
Series 2023 5.50%, 11/13/2053, TBA				1,913		1,815,332
						31,462,834

24    ^|    AB TOTAL RETURN  BOND PORTFOLIO abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Agency Fixed Rate 15-Year – 0.9%
Federal National Mortgage Association Series 2016 2.50%, 08/01/2031	U.S.$		90	$	82,210
2.50%, 11/01/2031			397		363,035
2.50%, 12/01/2031			528		481,951
2.50%, 01/01/2032			127		116,386
Series 2017 2.50%, 02/01/2032			572		523,018
					1,566,600
Agency ARMs – 0.0%
Federal Home Loan Mortgage Corp. Series 2006 4.25% (RFUCCT1Y + 2.00%), 01/01/2037(c)			8		7,790
Total Mortgage Pass-Throughs (cost $37,320,316)					33,037,224
GOVERNMENTS - TREASURIES – 16.6%
United States – 16.6%
U.S. Treasury Bonds 1.25%, 05/15/2050			3,036		1,348,263
3.125%, 08/15/2044(d)			1,549		1,133,967
3.25%, 05/15/2042			517		395,445
3.375%, 08/15/2042			992		771,823
3.625%, 05/15/2053			481		377,892
3.875%, 02/15/2043			3,078		2,573,183
3.875%, 05/15/2043			213		177,404
4.00%, 11/15/2042			2,061		1,755,288
4.125%, 08/15/2053			119		102,563
4.375%, 08/15/2043			286		256,775
U.S. Treasury Notes 3.375%, 05/15/2033			1,693		1,500,507
3.50%, 04/30/2028			2,404		2,275,063
3.50%, 02/15/2033			3,438		3,085,515
3.625%, 05/31/2028			4,314		4,103,217
3.875%, 11/30/2027			1,562		1,505,622
3.875%, 12/31/2027			1,750		1,686,016
3.875%, 08/15/2033			1,150		1,061,327
4.00%, 02/29/2028			1,315		1,271,972
4.125%, 10/31/2027			1,364		1,327,556
4.375%, 08/31/2028			1,227		1,203,896
Total Governments - Treasuries (cost $30,877,732)					27,913,294

abfunds.com AB TOTAL RETURN BOND PORTFOLIO    ^|    25

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
ASSET-BACKED SECURITIES – 9.6%
Other ABS - Fixed Rate – 5.0%
AB Issuer LLC Series 2021-1, Class A2 3.734%, 07/30/2051(a)	U.S.$		732	$	603,237
ACHV ABS Trust
Series 2023-2PL, Class A 6.42%, 05/20/2030(a)			62		62,057
Series 2023-3PL, Class A 6.60%, 08/19/2030			269		268,804
Series 2023-4CP, Class B 7.24%, 11/25/2030(e)			437		437,299
Affirm Asset Securitization Trust Series 2021-Z1, Class A 1.07%, 08/15/2025(a)			41		40,416
Series 2021-Z2, Class A 1.17%, 11/16/2026(a)			49		47,314
Series 2022-X1, Class A 1.75%, 02/15/2027(a)			54		52,943
Atalaya Equipment Leasing Trust Series 2021-1A, Class C 2.69%, 06/15/2028(a)			600		571,409
Cajun Global LLC Series 2021-1, Class A2 3.931%, 11/20/2051(a)			137		119,692
College Ave Student Loans LLC Series 2021-C, Class C 3.06%, 07/26/2055(a)			213		180,146
Dext ABS LLC Series 2021-1, Class C 2.29%, 09/15/2028(a)			519		467,238
Series 2021-1, Class D 2.81%, 03/15/2029(a)			260		224,651
Series 2023-1, Class A2 5.99%, 03/15/2032(a)			467		459,756
Diamond Issuer Series 2021-1A, Class B 2.701%, 11/20/2051(a)			566		461,895
Domino’s Pizza Master Issuer LLC Series 2021-1A, Class A2I 2.662%, 04/25/2051(a)			406		338,687
GCI Funding I LLC Series 2021-1, Class A 2.38%, 06/18/2046(a)			240		201,769
Granite Park Equipment Leasing LLC Series 2023-1A, Class A3 6.46%, 09/20/2032			206		204,954

26    ^|    AB TOTAL RETURN  BOND PORTFOLIO abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Hardee’s Funding LLC Series 2018-1A, Class A23 5.71%, 06/20/2048(a)	U.S.$		324	$	286,362
Series 2020-1A, Class A2 3.981%, 12/20/2050(a)			973		814,328
MVW LLC Series 2021-2A, Class C 2.23%, 05/20/2039(a)			500		447,123
Neighborly Issuer LLC Series 2021-1A, Class A2 3.584%, 04/30/2051(a)			296		244,055
Series 2022-1A, Class A2 3.695%, 01/30/2052(a)			361		290,360
Series 2023-1A, Class A2 7.308%, 01/30/2053(a)			392		376,121
Nelnet Student Loan Trust Series 2021-BA, Class B 2.68%, 04/20/2062(a)			220		170,263
SEB Funding LLC Series 2021-1A, Class A2 4.969%, 01/30/2052(a)			690		613,059
Upstart Securitization Trust Series 2021-3, Class B 1.66%, 07/20/2031(a)			447		438,152
					8,422,090
Autos - Fixed Rate – 4.3%
Avis Budget Rental Car Funding AESOP LLC Series 2023-3A, Class A 5.44%, 02/22/2028(a)			475		462,566
Carvana Auto Receivables Trust Series 2021-N3, Class C 1.02%, 06/12/2028			75		69,418
Series 2021-N4, Class D 2.30%, 09/11/2028			266		253,503
CPS Auto Receivables Trust Series 2021-C, Class D 1.69%, 06/15/2027(a)			470		444,721
Enterprise Fleet Financing LLC Series 2023-2, Class A2 5.56%, 04/22/2030(a)			477		472,836
FHF Issuer Trust Series 2023-2A, Class A1 6.007%, 11/15/2024			185		185,001
FHF Trust Series 2021-2A, Class A 0.83%, 12/15/2026(a)			98		93,830

abfunds.com AB TOTAL RETURN BOND PORTFOLIO    ^|    27

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Series 2023-1A, Class A2 6.57%, 06/15/2028(a)	U.S.$		203	$	199,809
Flagship Credit Auto Trust Series 2019-3, Class E 3.84%, 12/15/2026(a)			960		915,489
Series 2020-1, Class E 3.52%, 06/15/2027(a)			1,000		921,131
Ford Credit Auto Owner Trust Series 2021-1, Class D 2.31%, 10/17/2033(a)			542		475,308
Hertz Vehicle Financing III LLC Series 2022-1A, Class C 2.63%, 06/25/2026(a)			450		420,436
Lendbuzz Securitization Trust Series 2023-1A, Class A2 6.92%, 08/15/2028(a)			605		601,437
Series 2023-2A, Class A2 7.09%, 10/16/2028(a)			250		248,842
Lobel Automobile Receivables Trust Series 2023-2, Class A 7.59%, 04/16/2029			548		548,070
Octane Receivables Trust Series 2021-2A, Class C 2.53%, 05/21/2029(a)			541		489,152
Santander Bank Auto Credit-Linked Notes Series 2022-A, Class B 5.281%, 05/15/2032(a)			222		219,425
Santander Drive Auto Receivables Trust Series 2023-3, Class B 5.61%, 07/17/2028			228		225,178
					7,246,152
Credit Cards - Fixed Rate – 0.3%
Brex Commercial Charge Card Master Trust Series 2022-1, Class A 4.63%, 07/15/2025(a)			565		556,649
Total Asset-Backed Securities (cost $17,637,289)					16,224,891
COLLATERALIZED MORTGAGE OBLIGATIONS – 6.2%
Risk Share Floating Rate – 5.1%
Bellemeade Re Ltd. Series 2021-16A, Class M1A 7.521% (SOFR + 2.20%), 10/25/2033(c)			254		255,095
Series 2022-1, Class M1C 9.021% (SOFR + 3.70%), 01/26/2032(a)(c)			672		678,156

28    ^|    AB TOTAL RETURN  BOND PORTFOLIO abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Connecticut Avenue Securities Trust Series 2018-R07, Class 1M2 7.835% (SOFR + 2.51%), 04/25/2031(a)(c)	U.S.$		7	$	6,630
Series 2019-R01, Class 2M2 7.885% (SOFR + 2.56%), 07/25/2031(a)(c)			37		36,691
Series 2020-R01, Class 1B1 8.685% (SOFR + 3.36%), 01/25/2040(a)(c)			500		505,291
Series 2022-R01, Class 1B1 8.471% (SOFR + 3.15%), 12/25/2041(a)(c)			625		623,280
Series 2022-R02, Class 2M1 6.521% (SOFR + 1.20%), 01/25/2042(a)(c)			323		321,956
Series 2023-R02, Class 1M1 7.621% (SOFR + 2.30%), 01/25/2043(a)(c)			207		209,193
Series 2023-R07, Class 2M1 7.271% (SOFR + 1.95%), 09/25/2043(a)(c)			424		425,015
Federal Home Loan Mortgage Corp. Structured Agency Credit Risk Debt Notes Series 2015-HQA2, Class M3 10.235% (SOFR + 4.91%), 05/25/2028(c)			138		143,685
Series 2019-DNA1, Class B2 16.185% (SOFR + 10.86%), 01/25/2049(a)(c)			750		908,685
Series 2019-FTR3, Class B2 10.229% (SOFR + 4.91%), 09/25/2047(a)(c)			700		689,635
Series 2021-HQA4, Class M2 7.671% (SOFR + 2.35%), 12/25/2041(a)(c)			513		496,645
Series 2022-DNA2, Class M2 9.071% (SOFR + 3.75%), 02/25/2042(a)(c)			605		613,254
Federal National Mortgage Association Connecticut Avenue Securities Series 2016-C02, Class 1B 17.685% (SOFR + 12.36%), 09/25/2028(c)			149		173,935
Series 2016-C03, Class 1B 17.185% (SOFR + 11.86%), 10/25/2028(c)			99		115,030
Series 2016-C06, Class 1B 14.685% (SOFR + 9.36%), 04/25/2029(c)			376		418,008
Series 2016-C07, Class 2B 14.935% (SOFR + 9.61%), 05/25/2029(c)			378		419,966
Series 2017-C04, Class 2M2 8.285% (SOFR + 2.96%), 11/25/2029(c)			180		184,280
Series 2021-R02, Class 2B1 8.621% (SOFR + 3.30%), 11/25/2041(a)(c)			441		437,693
Home Re Ltd. Series 2023-1, Class 1MA 7.471% (SOFR + 2.15%), 10/25/2033(a)(c)			259		259,322

abfunds.com AB TOTAL RETURN BOND PORTFOLIO    ^|    29

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
JPMorgan Madison Avenue Securities Trust Series 2014-CH1, Class M2 9.685% (SOFR + 4.36%), 11/25/2024(a)(c)(f)	U.S.$		18	$	17,977
PMT Credit Risk Transfer Trust Series 2019-2R, Class A 9.191% (SOFR + 3.86%), 05/30/2025(a)(c)			229		228,872
Series 2019-3R, Class A 9.135% (SOFR + 3.81%), 11/27/2031(a)(c)			89		88,468
Series 2020-1R, Class A 8.785% (SOFR + 3.46%), 02/27/2023(c)(f)			149		147,065
Wells Fargo Credit Risk Transfer Securities Trust Series 2015-WF1, Class 1M2 10.685% (SOFR + 5.36%), 11/25/2025(c)(f)			109		110,238
Series 2015-WF1, Class 2M2 10.935% (SOFR + 5.61%), 11/25/2025(c)(f)			25		25,550
					8,539,615
Agency Floating Rate – 0.3%
Federal Home Loan Mortgage Corp. REMICs Series 4719, Class JS 0.715% (6.04% – SOFR), 09/15/2047(c)(g)			551		44,707
Series 4981, Class HS 0.665% (5.99% – SOFR), 06/25/2050(c)(g)			1,666		123,308
Federal National Mortgage Association REMICs Series 2015-90, Class SL 0.715% (6.04% – SOFR), 12/25/2045(c)(g)			756		60,847
Series 2016-77, Class DS 0.565% (5.89% – SOFR), 10/25/2046(c)(g)			609		44,037
Series 2017-26, Class TS 0.515% (5.84% – SOFR), 04/25/2047(c)(g)			768		59,947
Series 2017-62, Class AS 0.715% (6.04% – SOFR), 08/25/2047(c)(g)			658		55,357
Series 2017-97, Class LS 0.765% (6.09% – SOFR), 12/25/2047(c)(g)			777		67,324
Government National Mortgage Association Series 2017-65, Class ST 0.696% (6.04% – SOFR), 04/20/2047(c)(g)			727		58,612
					514,139
Non-Agency Fixed Rate – 0.3%
Alternative Loan Trust Series 2006-24CB, Class A16 5.75%, 08/25/2036			182		93,635
Series 2006-J1, Class 1A13 5.50%, 02/25/2036			77		51,412

30    ^|    AB TOTAL RETURN  BOND PORTFOLIO abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
CHL Mortgage Pass-Through Trust Series 2006-13, Class 1A19 6.25%, 09/25/2036	U.S.$		46	$	18,862
JPMorgan Alternative Loan Trust Series 2006-A3, Class 2A1 4.33%, 07/25/2036			349		266,202
Structured Asset Securities Corp. Mortgage Pass-Through Certificates Series 2002-3, Class B3 6.50%, 03/25/2032			452		58,262
					488,373
Non-Agency Floating Rate – 0.3%
Deutsche Alt-A Securities Mortgage Loan Trust Series 2006-AR4, Class A2 5.819% (SOFR + 0.49%), 12/25/2036(c)			424		132,062
HomeBanc Mortgage Trust Series 2005-1, Class A1 5.939% (SOFR + 0.61%), 03/25/2035(c)			67		53,231
Impac Secured Assets Corp. Series 2005-2, Class A2D 6.299% (SOFR + 0.97%), 03/25/2036(c)			124		96,915
JPMorgan Chase Bank, NA Series 2019-CL1, Class M3 7.539% (SOFR + 2.21%), 04/25/2047(a)(c)			84		83,170
Residential Accredit Loans, Inc. Trust Series 2007-QS4, Class 2A4 5.779% (SOFR + 0.45%), 03/25/2037(c)			493		103,577
					468,955
Agency Fixed Rate – 0.2%
Federal National Mortgage Association Grantor Trust Series 2004-T5, Class AB4 4.403%, 05/28/2035			52		48,476
Federal National Mortgage Association REMICs Series 2016-31, Class IO 5.00%, 06/25/2046(h)			2,323		374,668
					423,144
Total Collateralized Mortgage Obligations (cost $11,690,529)					10,434,226
COMMERCIAL MORTGAGE-BACKED SECURITIES – 5.8%
Non-Agency Fixed Rate CMBS – 3.8%
BAMLL Commercial Mortgage Securities Trust Series 2013-WBRK, Class D 3.534%, 03/10/2037(a)			960		769,501

abfunds.com AB TOTAL RETURN BOND PORTFOLIO    ^|    31

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Citigroup Commercial Mortgage Trust Series 2013-GC17, Class D 5.10%, 11/10/2046(a)	U.S.$		565	$	508,892
Commercial Mortgage Trust Series 2014-LC17, Class B 4.49%, 10/10/2047			800		758,703
GS Mortgage Securities Trust Series 2011-GC5, Class D 5.153%, 08/10/2044(a)			252		74,140
GSF Series 2021-1, Class A1 1.433%, 08/15/2026(f)			277		260,587
Series 2021-1, Class A2 2.435%, 08/15/2026(f)			719		673,894
Series 2021-1, Class AS 2.638%, 08/15/2026(f)			25		22,702
HFX Funding Issuer Series 2017-1A, Class A3 3.647%, 03/15/2035(f)			710		681,880
JPMBB Commercial Mortgage Securities Trust Series 2014-C24, Class C 4.381%, 11/15/2047			890		680,298
JPMorgan Chase Commercial Mortgage Securities Trust Series 2012-C6, Class D 4.964%, 05/15/2045			513		467,734
LB-UBS Commercial Mortgage Trust Series 2006-C6, Class AJ 5.452%, 09/15/2039			77		29,204
LSTAR Commercial Mortgage Trust Series 2016-4, Class A2 2.579%, 03/10/2049(a)			118		114,459
Wells Fargo Commercial Mortgage Trust Series 2016-LC24, Class XA 1.601%, 10/15/2049(h)			7,273		251,858
Series 2016-LC25, Class C 4.334%, 12/15/2059			545		451,848
Series 2016-NXS6, Class C 4.389%, 11/15/2049			600		503,257
WF-RBS Commercial Mortgage Trust Series 2013-C11, Class B 3.714%, 03/15/2045			180		155,769
					6,404,726
Non-Agency Floating Rate CMBS – 2.0%
BAMLL Commercial Mortgage Securities Trust Series 2017-SCH, Class AF 6.382% (SOFR + 1.05%), 11/15/2033(a)(c)			1,330		1,203,245

32    ^|    AB TOTAL RETURN  BOND PORTFOLIO abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)			U.S. $ Value
BBCMS Mortgage Trust Series 2020-BID, Class A 7.59% (SOFR + 2.25%), 10/15/2037(a)(c)	U.S.$		692		$	671,160
BX Commercial Mortgage Trust Series 2019-IMC, Class D 7.28% (SOFR + 1.95%), 04/15/2034(a)(c)			142			139,812
Series 2019-IMC, Class E 7.53% (SOFR + 2.20%), 04/15/2034(a)(c)			566			554,453
Federal Home Loan Mortgage Corp. Series 2021-MN1, Class M1 7.321% (SOFR + 2.00%), 01/25/2051(a)(c)			68			66,408
Morgan Stanley Capital I Trust Series 2019-BPR, Class C 8.957% (SOFR + 3.64%), 05/15/2036(a)(c)			520			492,808
Natixis Commercial Mortgage Securities Trust Series 2019-MILE, Class A 6.914% (SOFR + 1.58%), 07/15/2036(a)(c)			322			294,207
						3,422,093
				��
Agency CMBS – 0.0%
Government National Mortgage Association Series 2006-39, Class IO 0.132%, 07/16/2046(h)			162			1
Total Commercial Mortgage-Backed Securities (cost $11,162,597)						9,826,820
INFLATION-LINKED SECURITIES – 2.8%
United States – 2.8%
U.S. Treasury Inflation Index 0.25%, 07/15/2029 (cost $4,680,218)			5,257			4,655,310
COLLATERALIZED LOAN OBLIGATIONS – 2.7%
CLO - Floating Rate – 2.7%
Balboa Bay Loan Funding Ltd. Series 2021-1A, Class D 8.727% (SOFR + 3.31%), 07/20/2034(a)(c)			709			653,085
Ballyrock CLO 16 Ltd. Series 2021-16A, Class C 8.577% (SOFR + 3.16%), 07/20/2034(a)(c)			400			368,255
Elevation CLO Ltd. Series 2020-11A, Class D1 9.506% (SOFR + 4.11%), 04/15/2033(a)(c)			1,000			929,657
Goldentree Loan Management US CLO 7 Ltd. Series 2020-7A, Class AR 6.747% (SOFR + 1.33%), 04/20/2034(a)(c)			581			575,543

abfunds.com AB TOTAL RETURN BOND PORTFOLIO    ^|    33

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Peace Park CLO Ltd. Series 2021-1A, Class D 8.627% (SOFR + 3.21%), 10/20/2034(a)(c)	U.S.$		300	$	286,108
Pikes Peak CLO 8 Series 2021-8A, Class A 6.847% (SOFR + 1.43%), 07/20/2034(a)(c)			675		667,644
Rockford Tower CLO Ltd. Series 2021-1A, Class D 8.677% (SOFR + 3.26%), 07/20/2034(a)(c)			711		650,387
Series 2021-2A, Class A1 6.837% (SOFR + 1.42%), 07/20/2034(a)(c)			504		498,306
Total Collateralized Loan Obligations (cost $4,880,377)					4,628,985
CORPORATES - NON-INVESTMENT GRADE – 2.0%
Industrial – 1.9%
Basic – 0.2%
Sealed Air Corp. 4.00%, 12/01/2027(a)			379		337,037
Capital Goods – 0.1%
TK Elevator Midco GmbH 4.375%, 07/15/2027(a)	EUR		181		173,338
Communications - Media – 0.7%
Altice Financing SA 3.00%, 01/15/2028(a)			181		155,571
CCO Holdings LLC/CCO Holdings Capital Corp. 4.50%, 08/15/2030(a)	U.S.$		136		109,186
4.50%, 06/01/2033(a)			483		360,318
DISH DBS Corp. 5.75%, 12/01/2028(a)			322		230,207
Summer BC Holdco B SARL 5.75%, 10/31/2026(a)	EUR		181		172,935
VZ Vendor Financing II BV 2.875%, 01/15/2029(a)			181		146,125
					1,174,342
Communications - Telecommunications – 0.2%
Altice France SA/France 3.375%, 01/15/2028(a)			181		137,863
Lorca Telecom Bondco SA 4.00%, 09/18/2027(a)			181		177,733
					315,596

34    ^|    AB TOTAL RETURN  BOND PORTFOLIO abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Consumer Cyclical - Entertainment – 0.4%
Carnival Corp. 4.00%, 08/01/2028(a)	U.S.$		712	$	619,732
Consumer Non-Cyclical – 0.1%
Organon & Co./Organon Foreign Debt Co-Issuer BV 2.875%, 04/30/2028(a)	EUR		100		91,261
Services – 0.1%
APCOA Parking Holdings GmbH 4.625%, 01/15/2027(a)			181		170,836
Technology – 0.1%
Seagate HDD Cayman 8.25%, 12/15/2029(a)	U.S.$		208		211,750
					3,093,892
Utility – 0.1%
Electric – 0.1%
Vistra Corp. 7.00%, 12/15/2026(a)(b)			218		199,280
Total Corporates - Non-Investment Grade (cost $4,000,996)					3,293,172
EMERGING MARKETS - CORPORATE BONDS – 1.0%
Industrial – 0.9%
Basic – 0.2%
Stillwater Mining Co. 4.00%, 11/16/2026(a)			446		383,560
Volcan Cia Minera SAA 4.375%, 02/11/2026(a)			76		35,971
					419,531
Capital Goods – 0.3%
Embraer Netherlands Finance BV 5.40%, 02/01/2027			540		519,421
Odebrecht Holdco Finance Ltd. Zero Coupon, 09/10/2058(a)			477		510
					519,931
Communications - Media – 0.2%
Globo Comunicacao e Participacoes SA 4.875%, 01/22/2030(a)			417		331,515
Consumer Cyclical - Other – 0.2%
Wynn Macau Ltd. 5.625%, 08/26/2028(a)			330		274,890

abfunds.com AB TOTAL RETURN BOND PORTFOLIO    ^|    35

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
Consumer Non-Cyclical – 0.0%
Virgolino de Oliveira Finance SA 10.50%, 01/28/2018(e)(f)(i)(j)	U.S.$		660	$	66
					1,545,933
Utility – 0.1%
Electric – 0.1%
Terraform Global Operating LP 6.125%, 03/01/2026(a)			60		57,789
Financial Institutions – 0.0%
Other Finance – 0.0%
OEC Finance Ltd. 5.25%, 12/27/2033(a)(k)(l)			213		8,532
7.125%, 12/26/2046(a)(k)(l)			274		17,253
					25,785
Total Emerging Markets - Corporate Bonds (cost $2,830,986)					1,629,507
LOCAL GOVERNMENTS - US MUNICIPAL BONDS – 0.9%
United States – 0.9%
State of California Series 2010 7.625%, 03/01/2040			970		1,103,835
University of California Series 2021-B 3.071%, 05/15/2051			730		433,920
Total Local Governments - US Municipal Bonds (cost $2,058,903)					1,537,755
QUASI-SOVEREIGNS – 0.4%
Quasi-Sovereign Bonds – 0.4%
Hungary – 0.2%
Magyar Export-Import Bank Zrt 6.125%, 12/04/2027(a)			387		378,254
Mexico – 0.2%
Comision Federal de Electricidad 4.688%, 05/15/2029(a)			295		261,075
Total Quasi-Sovereigns (cost $679,294)					639,329

36    ^|    AB TOTAL RETURN  BOND PORTFOLIO abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

		Principal Amount (000)		U.S. $ Value
GOVERNMENTS - SOVEREIGN BONDS – 0.2%
Colombia – 0.2%
Colombia Government International Bond 3.125%, 04/15/2031 (cost $374,017)	U.S.$		375	$	276,188
		Shares
COMMON STOCKS – 0.2%
Financials – 0.2%
Insurance – 0.2%
Mt Logan Re Ltd. Special Investment, Series 1, December 2021 – Class U-1(e)(j)(m)			72		40,129
Mt Logan Re Ltd. Special Investment, Series 2, December 2021 – Class U-1(e)(j)(m)			78		43,707
Mt Logan Re Ltd. Special Investment, Series 1, December 2022 – Class U-1(e)(j)(m)			104		91,958
Mt Logan Re Ltd. Special Investment, Series 2, December 2022 – Class U-1 (e)(j)(m)			114		100,165
Total Common Stocks (cost $326,594)					275,959
EMERGING MARKETS - SOVEREIGNS – 0.1%
Dominican Republic – 0.1%
Dominican Republic International Bond 4.875%, 09/23/2032(a) (cost $217,000)			217		175,445
		Principal Amount (000)
SHORT-TERM INVESTMENTS – 10.8%
U.S. Treasury Bills – 10.6%
U.S. Treasury Bill Zero Coupon, 11/14/2023	U.S.$		955		953,176
Zero Coupon, 11/16/2023			3,920		3,911,368
Zero Coupon, 11/24/2023			5,821		5,801,289
Zero Coupon, 11/30/2023			4,963		4,941,412
Zero Coupon, 12/21/2023			1,085		1,077,006
Zero Coupon, 01/02/2024			1,196		1,184,964
Total U.S. Treasury Bills (cost $17,873,169)					17,869,215

abfunds.com AB TOTAL RETURN BOND PORTFOLIO    ^|    37

PORTFOLIO OF INVESTMENTS (continued)

	Shares			U.S. $ Value
Investment Companies – 0.2%
AB Fixed Income Shares, Inc. – Government Money Market Portfolio – Class AB, 5.27%(n)(o)(p) (cost $281,064)		281,064		$	281,064
Total Short-Term Investments (cost $18,154,233)					18,150,279
			��
Total Investments – 104.6% (cost $195,534,059)					175,884,007
Other assets less liabilities – (4.6)%					(7,807,688	)
Net Assets – 100.0%				$	168,076,319

FUTURES (see Note D)

Description	Number of Contracts		Expiration Month		Current Notional		Value and Unrealized Appreciation (Depreciation)
Purchased Contracts
U.S. 10 Yr Ultra Futures		46		December 2023	$	5,006,094	$	(276,097	)
U.S. Long Bond (CBT) Futures		5		December 2023		547,188		(53,914	)
U.S. T-Note 5 Yr (CBT) Futures		314		December 2023		32,805,641		(561,644	)
U.S. Ultra Bond (CBT) Futures		111		December 2023		12,494,437		(1,506,706	)
Sold Contracts
U.S. T-Note 2 Yr (CBT) Futures		28		December 2023		5,667,813		9,019
							$	(2,389,342	)

FORWARD CURRENCY EXCHANGE CONTRACTS (see Note D)

Counterparty	Contracts to Deliver (000)		In Exchange For (000)		Settlement Date		Unrealized Appreciation (Depreciation)
Morgan Stanley Capital Services, Inc.	EUR	2,153		USD  2,293		01/10/2024	$	6,879

38    ^|    AB TOTAL RETURN  BOND PORTFOLIO abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

CENTRALLY CLEARED CREDIT DEFAULT SWAPS (see Note D)

Description	Fixed Rate (Pay) Receive			Payment Frequency		Implied Credit Spread at October 31, 2023			Notional Amount (000)		Market Value			Upfront Premiums Paid (Received)			Unrealized Appreciation (Depreciation)
Buy Contracts
CDX-NAHY Series 41, 5 Year Index, 12/20/2028*		(5.00	)%		Quarterly		5.16	%		USD   8,484	$	3,069		$	(79,997	)	$	83,066
iTraxx Australia Series 40, 5 Year Index, 12/20/2028*		(1.00	)		Quarterly		0.97			USD   7,590		(17,969	)		(59,924	)		41,955
Sale Contracts
CDX-NAIG Series 41, 5 Year Index, 12/20/2028*		1.00			Quarterly		0.79			USD   7,590		78,568			101,332			(22,764	)
											$	63,668		$	(38,589	)	$	102,257

* Termination date

CENTRALLY CLEARED INTEREST RATE SWAPS (see Note D)

				Rate Type
Notional Amount (000)		Termination Date		Payments made by the Fund			Payments received by the Fund		Payment Frequency Paid/ Received	Market Value		Upfront Premiums Paid (Received)		Unrealized Appreciation (Depreciation)
USD	2,000		12/13/2029		1.537	%		1 Day SOFR	Annual	$	360,007	$	182,071	$	177,936

CREDIT DEFAULT SWAPS (see Note D)

Swap Counterparty & Referenced Obligation	Fixed Rate (Pay) Receive			Payment Frequency		Implied Credit Spread at October 31, 2023			Notional Amount (000)			Market Value			Upfront Premiums Paid (Received)			Unrealized Appreciation (Depreciation)
Sale Contracts
Goldman Sachs International
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00	%		Monthly		7.50	%		USD	12	$	(1,642	)	$	(1,004	)	$	(638	)
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50			USD	25		(3,284	)		(2,046	)		(1,238	)
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50			USD	25		(3,284	)		(2,214	)		(1,070	)
CDX-CMBX.NA.BBB- Series 6, 05/11/2063*		3.00			Monthly		7.50			USD	49		(6,569	)		(4,840	)		(1,729	)
												$	(14,779	)	$	(10,104	)	$	(4,675	)

* Termination date

(a) Security is exempt from registration under Rule 144A or Regulation S of the Securities Act of 1933. These securities are considered restricted, but liquid and may be resold in transactions exempt from registration. At October 31, 2023, the aggregate market value of these securities amounted to $55,891,745 or 33.3% of net assets.

(b) Securities are perpetual and, thus, do not have a predetermined maturity date. The date shown, if applicable, reflects the next call date.

abfunds.com AB TOTAL RETURN BOND PORTFOLIO    ^|    39

PORTFOLIO OF INVESTMENTS (continued)

(c) Floating Rate Security. Stated interest/floor/ceiling rate was in effect at October 31, 2023.

(d) Position, or a portion thereof, has been segregated to collateralize OTC derivatives outstanding.

(e) Security in which significant unobservable inputs (Level 3) were used in determining fair value.

(f) Security is exempt from registration under Rule 144A or Regulation S of the Securities Act of 1933. These securities, which represent 1.17% of net assets as of October 31, 2023, are considered illiquid and restricted. Additional information regarding such securities follows:

144A/Restricted & Illiquid Securities	Acquisition Date		Cost		Market Value		Percentage of Net Assets
GSF Series 2021-1, Class A1 1.433%, 08/15/2026		02/25/2021 - 08/03/2023	$	266,090	$	260,587		0.16	%
GSF Series 2021-1, Class A2 2.435%, 08/15/2026		02/25/2021 - 09/06/2022		732,381		673,894		0.40	%
GSF Series 2021-1, Class AS 2.638%, 08/15/2026		02/25/2021 - 04/01/2021		25,394		22,702		0.01	%
HFX Funding Issuer Series 2017-1A, Class A3 3.647%, 03/15/2035		11/19/2020		752,945		681,880		0.41	%
JPMorgan Madison Avenue Securities Trust Series 2014-CH1, Class M2 9.685%,��11/25/2024		11/06/2015		17,674		17,977		0.01	%
PMT Credit Risk Transfer Trust Series 2020-1R, Class A 8.785%, 02/27/2023		02/11/2020		148,818		147,065		0.09	%
Virgolino de Oliveira Finance SA 10.50%, 01/28/2018		01/24/2014 - 01/27/2014		365,927		66		0.00	%
Wells Fargo Credit Risk Transfer Securities Trust Series 2015-WF1, Class 1M2 10.685%, 11/25/2025		09/28/2015- 01/09/2020		110,622		110,238		0.07	%
Wells Fargo Credit Risk Transfer Securities Trust Series 2015-WF1, Class 2M2 10.935%, 11/25/2025		09/28/2015 - 01/09/2020		24,862		25,550		0.02	%

(g) Inverse interest only security.

(h) IO – Interest Only.

(i) Defaulted matured security.

(j) Non-income producing security.

(k) Coupon rate adjusts periodically based upon a predetermined schedule. Stated interest rate in effect at October 31, 2023.

(l) Pay-In-Kind Payments (PIK). The issuer may pay cash interest and/or interest in additional debt securities. Rates shown are the rates in effect at October 31, 2023.

(m) Fair valued by the Adviser.

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

(o) Affiliated investments.

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

40    ^|    AB TOTAL RETURN  BOND PORTFOLIO abfunds.com

PORTFOLIO OF INVESTMENTS (continued)

Currency Abbreviations:

EUR – Euro

USD – United States Dollar

Glossary:

ABS – Asset-Backed Securities

ARMs – Adjustable Rate Mortgages

CBT – Chicago Board of Trade

CDOR – Canadian Dealer Offered Rate

CDX-CMBX.NA – North American Commercial Mortgage-Backed Index

CDX-NAHY – North American High Yield Credit Default Swap Index

CDX-NAIG – North American Investment Grade Credit Default Swap Index

CLO – Collateralized Loan Obligations

CMBS – Commercial Mortgage-Backed Securities

LIBOR – London Interbank Offered Rate

REIT – Real Estate Investment Trust

REMICs – Real Estate Mortgage Investment Conduits

RFUCCT1Y – Refinitiv USD IBOR Consumer Cash Fallbacks Term 1 Year

SOFR – Secured Overnight Financing Rate

TBA – To Be Announced

See notes to financial statements.

abfunds.com AB TOTAL RETURN BOND PORTFOLIO    ^|    41

STATEMENT OF ASSETS & LIABILITIES

October 31, 2023

Assets
Investments in securities, at value
Unaffiliated issuers (cost $195,252,995)	$	175,602,943
Affiliated issuers (cost $281,064)		281,064
Cash collateral due from broker		2,054,344
Foreign currencies, at value (cost $8,380)		8,363
Receivable for investment securities sold and foreign currency transactions		5,662,632
Interest receivable		1,297,335
Receivable for capital stock sold		67,218
Receivable due from Adviser		7,357
Unrealized appreciation on forward currency exchange contracts		6,879
Affiliated dividends receivable		3,186
Total assets		184,991,321
Liabilities
Due to custodian		21,222
Payable for investment securities purchased		15,737,154
Payable for capital stock redeemed		500,404
Dividends payable		86,348
Payable for variation margin on futures		48,551
Distribution fee payable		28,675
Administrative fee payable		28,137
Payable for variation margin on centrally cleared swaps		18,796
Transfer Agent fee payable		18,126
Market value on credit default swaps (net premiums received $10,104)		14,779
Foreign capital gains tax payable		11,614
Directors’ fees payable		1,593
Accrued expenses		399,603
Total liabilities		16,915,002
Net Assets	$	168,076,319
Composition of Net Assets
Capital stock, at par	$	19,270
Additional paid-in capital		226,835,234
Accumulated loss		(58,778,185	)
Net Assets	$	168,076,319

Net Asset Value Per Share—27 billion shares of capital stock authorized, $.001 par value

Class	Net Assets		Shares Outstanding		Net Asset Value
A	$	127,732,753		14,646,521	$	8.72	*
C	$	1,854,680		213,207	$	8.70
Advisor	$	32,248,310		3,695,670	$	8.73
R	$	431,282		49,469	$	8.72
K	$	2,389,584		273,790	$	8.73
I	$	543,073		62,192	$	8.73
Z	$	2,876,637		329,091	$	8.74

* The maximum offering price per share for Class A shares was $9.11 which reflects a sales charge of 4.25%.

See notes to financial statements.

42    ^|    AB TOTAL RETURN  BOND PORTFOLIO abfunds.com

STATEMENT OF OPERATIONS

Year Ended October 31, 2023

Investment Income
Interest	$	8,972,067
Dividends
Unaffiliated issuers		95,987
Affiliated issuers		67,921
Other income		2,546		$	9,138,521
Expenses
Advisory fee (see Note B)		854,250
Distribution fee—Class A		358,717
Distribution fee—Class C		24,111
Distribution fee—Class R		2,109
Distribution fee—Class K		6,101
Transfer agency—Class A		208,207
Transfer agency—Class C		3,639
Transfer agency—Advisor Class		55,023
Transfer agency—Class R		1,328
Transfer agency—Class K		8,981
Transfer agency—Class I		812
Transfer agency—Class Z		911
Custody and accounting		163,934
Audit and tax		112,315
Registration fees		103,936
Administrative		89,990
Printing		50,908
Legal		42,769
Directors’ fees		19,296
Miscellaneous		27,039
Total expenses		2,134,376
Less: expenses waived and reimbursed by the Adviser (see Note B)		(753,945	)
Net expenses					1,380,431
Net investment income					7,758,090
Realized and Unrealized Gain (Loss) on Investment and Foreign Currency Transactions
Net realized loss on:
Investment transactions(a)					(7,431,549	)
Forward currency exchange contracts					(98,238	)
Futures					(4,403,932	)
Swaps					(1,291,453	)
Foreign currency transactions					(241,092	)
Net change in unrealized appreciation (depreciation) of:
Investments					7,601,393
Forward currency exchange contracts					(40,939	)
Futures					1,030,701
Swaps					561,133
Foreign currency denominated assets and liabilities					2,128
Net loss on investment and foreign currency transactions					(4,311,848	)
Net Increase in Net Assets from Operations				$	3,446,242

(a) Net of foreign realized capital gains taxes of $13,643.

See notes to financial statements.

abfunds.com AB TOTAL RETURN BOND PORTFOLIO    ^|    43

STATEMENT OF CHANGES IN NET ASSETS

	Year Ended October 31, 2023			Year Ended October 31, 2022
Increase (Decrease) in Net Assets from Operations
Net investment income	$	7,758,090		$	6,637,631
Net realized loss on investment and foreign currency transactions		(13,466,264	)		(25,207,445	)
Net change in unrealized appreciation (depreciation) of investments and foreign currency denominated assets and liabilities		9,154,416			(30,613,206	)
Net increase (decrease) in net assets from operations		3,446,242			(49,183,020	)
Distributions to Shareholders
Class A		(6,036,127	)		(4,807,761	)
Class C		(86,032	)		(82,043	)
Advisor Class		(1,689,006	)		(2,147,910	)
Class R		(16,563	)		(13,004	)
Class K		(101,738	)		(86,491	)
Class I		(30,439	)		(36,415	)
Class Z		(115,328	)		(83,929	)
Return of Capital
Class A		(473,258	)		– 0	–
Class C		(6,745	)		– 0	–
Advisor Class		(132,425	)		– 0	–
Class R		(1,299	)		– 0	–
Class K		(7,977	)		– 0	–
Class I		(2,387	)		– 0	–
Class Z		(9,042	)		– 0	–
Capital Stock Transactions
Net decrease		(28,355,924	)		(65,036,414	)
Total decrease		(33,618,048	)		(121,476,987	)
Net Assets
Beginning of period		201,694,367			323,171,354
End of period	$	168,076,319		$	201,694,367

See notes to financial statements.

44    ^|    AB TOTAL RETURN  BOND PORTFOLIO abfunds.com

NOTES TO FINANCIAL STATEMENTS

October 31, 2023

NOTE A

Significant Accounting Policies

AB Bond Fund, Inc. (the “Company”) is registered under the Investment Company Act of 1940 (the “1940 Act”), as an open-end management investment company. The Company, which is a Maryland corporation, operates as a series company comprised of nine portfolios currently in operation. Each portfolio is considered to be a separate entity for financial reporting and tax purposes. This report relates only to the AB Total Return Bond Portfolio (the “Fund”), a diversified portfolio. The Fund offers Class A, Class C, Advisor Class, Class R, Class K, Class I, Class T and Class Z shares. Class B and Class T shares have been authorized but currently are not offered. Class A shares are sold with a front-end sales charge of up to 4.25% for purchases not exceeding $1,000,000. With respect to purchases of $1,000,000 or more, Class A shares redeemed within one year of purchase may be subject to a contingent deferred sales charge of 1%. Class C shares are subject to a contingent deferred sales charge of 1% on redemptions made within the first year after purchase, and 0% after the first year of purchase. Class C shares automatically convert to Class A shares eight years after the end of the calendar month of purchase. Class R and Class K shares are sold without an initial or contingent deferred sales charge. Advisor Class, Class I and Class Z shares are sold without an initial or contingent deferred sales charge and are not subject to ongoing distribution expenses. All nine classes of shares have identical voting, dividend, liquidation and other rights, except that the classes bear different distribution and transfer agency expenses. Each class has exclusive voting rights with respect to its distribution plan. The financial statements have been prepared in conformity with U.S. generally accepted accounting principles (“U.S. GAAP”), which require management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities in the financial statements and amounts of income and expenses during the reporting period. Actual results could differ from those estimates. The Fund is an investment company under U.S. GAAP and follows the accounting and reporting guidance applicable to investment companies. The following is a summary of significant accounting policies followed by the Fund.

1. Security Valuation

Portfolio securities are valued at market value determined on the basis of market quotations or, if market quotations are not readily available or are unreliable, at “fair value” as determined in accordance with procedures approved by and under the oversight of the Company’s Board of Directors (the “Board”). Pursuant to these procedures, AllianceBernstein L.P. (the “Adviser”) serves as the Fund’s valuation designee pursuant to Rule 2a-5 of the 1940 Act. In this capacity, the Adviser is responsible, among other

abfunds.com AB TOTAL RETURN BOND PORTFOLIO    ^|    45

NOTES TO FINANCIAL STATEMENTS (continued)

things, for making all fair value determinations relating to the Fund’s portfolio investments, subject to the Board’s oversight.

In general, the market values of securities which are readily available and deemed reliable are determined as follows: securities listed on a national securities exchange (other than securities listed on the NASDAQ Stock Market, Inc. (“NASDAQ”)) or on a foreign securities exchange are valued at the last sale price at the close of the exchange or foreign securities exchange. If there has been no sale on such day, the securities are valued at the last traded price from the previous day. Securities listed on more than one exchange are valued by reference to the principal exchange on which the securities are traded; securities listed only on NASDAQ are valued in accordance with the NASDAQ Official Closing Price; listed or over the counter (“OTC”) market put or call options are valued at the mid level between the current bid and ask prices. If either a current bid or current ask price is unavailable, the Adviser will have discretion to determine the best valuation (e.g., last trade price in the case of listed options); open futures are valued using the closing settlement price or, in the absence of such a price, the most recent quoted bid price. If there are no quotations available for the day of valuation, the last available closing settlement price is used; U.S. Government securities and any other debt instruments having 60 days or less remaining until maturity are generally valued at market by an independent pricing vendor, if a market price is available. If a market price is not available, the securities are valued at amortized cost. This methodology is commonly used for short term securities that have an original maturity of 60 days or less, as well as short term securities that had an original term to maturity that exceeded 60 days. In instances when amortized cost is utilized, the Valuation Committee (the “Committee”) must reasonably conclude that the utilization of amortized cost is approximately the same as the fair value of the security. Factors the Committee will consider include, but are not limited to, an impairment of the creditworthiness of the issuer or material changes in interest rates. Fixed-income securities, including mortgage-backed and asset-backed securities, may be valued on the basis of prices provided by a pricing service or at a price obtained from one or more of the major broker-dealers. In cases where broker-dealer quotes are obtained, the Adviser may establish procedures whereby changes in market yields or spreads are used to adjust, on a daily basis, a recently obtained quoted price on a security. Swaps and other derivatives are valued daily, primarily using independent pricing services, independent pricing models using market inputs, as well as third party broker-dealers or counterparties. Open-end mutual funds are valued at the closing net asset value per share, while exchange traded funds are valued at the closing market price per share.

46    ^|    AB TOTAL RETURN  BOND PORTFOLIO abfunds.com

NOTES TO FINANCIAL STATEMENTS (continued)

Securities for which market quotations are not readily available (including restricted securities) or are deemed unreliable are valued at fair value as deemed appropriate by the Adviser. Factors considered in making this determination may include, but are not limited to, information obtained by contacting the issuer, analysts, analysis of the issuer’s financial statements or other available documents. In addition, the Fund may use fair value pricing for securities primarily traded in non-U.S. markets because most foreign markets close well before the Fund values its securities at 4:00 p.m., Eastern Time. The earlier close of these foreign markets gives rise to the possibility that significant events, including broad market moves, may have occurred in the interim and may materially affect the value of those securities. To account for this, the Fund generally values many of its foreign equity securities using fair value prices based on third party vendor modeling tools to the extent available.

2. Fair Value Measurements

In accordance with U.S. GAAP regarding fair value measurements, fair value is defined as the price that the Fund would receive to sell an asset or pay to transfer a liability in an orderly transaction between market participants at the measurement date. U.S. GAAP establishes a framework for measuring fair value, and a three-level hierarchy for fair value measurements based upon the transparency of inputs to the valuation of an asset or liability (including those valued based on their market values as described in Note A.1 above). Inputs may be observable or unobservable and refer broadly to the assumptions that market participants would use in pricing the asset or liability. Observable inputs reflect the assumptions market participants would use in pricing the asset or liability based on market data obtained from sources independent of the Fund. Unobservable inputs reflect the Fund’s own assumptions about the assumptions that market participants would use in pricing the asset or liability based on the best information available in the circumstances. Each investment is assigned a level based upon the observability of the inputs which are significant to the overall valuation. The three-tier hierarchy of inputs is summarized below.

• Level 1—quoted prices in active markets for identical investments

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

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

The fair value of debt instruments, such as bonds, and over-the-counter derivatives is generally based on market price quotations, recently executed market transactions (where observable) or industry recognized modeling techniques and are generally classified as Level 2. Pricing vendor

abfunds.com AB TOTAL RETURN BOND PORTFOLIO    ^|    47

NOTES TO FINANCIAL STATEMENTS (continued)

inputs to Level 2 valuations may include quoted prices for similar investments in active markets, interest rate curves, coupon rates, currency rates, yield curves, option adjusted spreads, default rates, credit spreads and other unique security features in order to estimate the relevant cash flows which are then discounted to calculate fair values. If these inputs are unobservable and significant to the fair value, these investments will be classified as Level 3.

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

Valuations of mortgage-backed or other asset-backed securities, by pricing vendors, are based on both proprietary and industry recognized models and discounted cash flow techniques. Significant inputs to the valuation of these instruments are value of the collateral, the rates and timing of delinquencies, the rates and timing of prepayments, and default and loss expectations, which are driven in part by housing prices for residential mortgages. Significant inputs are determined based on relative value analyses, which incorporate comparisons to instruments with similar collateral and risk profiles, including relevant indices. Mortgage and asset-backed securities for which management has collected current observable data through pricing services are generally categorized within Level 2. Those investments for which current observable data has not been provided are classified as Level 3.

Other fixed income investments, including non-U.S. government and corporate debt, are generally valued using quoted market prices, if available, which are typically impacted by current interest rates, maturity dates and any perceived credit risk of the issuer. Additionally, in the absence of quoted market prices, these inputs are used by pricing vendors to derive a valuation based upon industry or proprietary models which incorporate issuer specific data with relevant yield/spread comparisons with more widely quoted bonds with similar key characteristics. Those investments for which there are observable inputs are classified as Level 2. Where the inputs are not observable, the investments are classified as Level 3.

48    ^|    AB TOTAL RETURN  BOND PORTFOLIO abfunds.com

NOTES TO FINANCIAL STATEMENTS (continued)

The following table summarizes the valuation of the Fund’s investments by the above fair value hierarchy levels as of October 31, 2023:

Investments in Securities:

Level 1

Level 2

Level 3

Total

Assets:

Corporates – Investment Grade

$

– 0

–

$

43,185,623

$

– 0

–

$

43,185,623

Mortgage Pass-Throughs

– 0

–

33,037,224

– 0

–

33,037,224

Governments –Treasuries

– 0

–

27,913,294

– 0

–

27,913,294

Asset-Backed Securities

– 0

–

15,787,592

437,299

16,224,891

Collateralized Mortgage Obligations

– 0

–

10,434,226

– 0

–

10,434,226

Commercial Mortgage-Backed Securities

– 0

–

9,826,820

– 0

–

9,826,820

Inflation-Linked Securities

– 0

–

4,655,310

– 0

–

4,655,310

Collateralized Loan Obligations

– 0

–

4,628,985

– 0

–

4,628,985

Corporates – Non-Investment Grade

– 0

–

3,293,172

– 0

–

3,293,172

Emerging Markets – Corporate Bonds

– 0

–

1,629,441

66

1,629,507

Local Governments – US Municipal Bonds

– 0

–

1,537,755

– 0

–

1,537,755

Quasi-Sovereigns

– 0

–

639,329

– 0

–

639,329

Governments – Sovereign Bonds

– 0

–

276,188

– 0

–

276,188

Common Stocks

– 0

–

– 0

–

275,959

275,959

Emerging Markets – Sovereigns

– 0

–

175,445

– 0

–

175,445

Short-Term Investments:

U.S. Treasury Bills

– 0

–

17,869,215

– 0

–

17,869,215

Investment Companies

281,064

– 0

–

– 0

–

281,064

Total Investments in Securities

281,064

174,889,619

713,324

175,884,007

Other Financial Instruments(a):

Assets:

Futures

9,019

– 0

–

– 0

–

9,019

(b)

Forward Currency Exchange Contracts

– 0

–

6,879

– 0

–

6,879

Centrally Cleared Credit Default Swaps

– 0

–

81,637

– 0

–

81,637

(b)

Centrally Cleared Interest Rate Swaps

– 0

–

360,007

– 0

–

360,007

(b)

Liabilities:

Futures

(2,398,361

)

– 0

–

– 0

–

(2,398,361

)(b)

Centrally Cleared Credit Default Swaps

– 0

–

(17,969

)

– 0

–

(17,969

)(b)

Credit Default Swaps

– 0

–

(14,779

)

– 0

–

(14,779

)

Total

$

(2,108,278

)

$

175,305,394

$

713,324

$

173,910,440

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

(b) Only variation margin receivable (payable) at period end is reported within the statement of assets and liabilities. This amount reflects cumulative unrealized appreciation (depreciation) on futures and centrally cleared swaps as reported in the portfolio of investments. Where applicable, centrally cleared swaps with upfront premiums are presented here at market value.

abfunds.com AB TOTAL RETURN BOND PORTFOLIO    ^|    49

NOTES TO FINANCIAL STATEMENTS (continued)

3. Currency Translation

Assets and liabilities denominated in foreign currencies and commitments under forward currency exchange contracts are translated into U.S. dollars at the mean of the quoted bid and ask prices of such currencies against the U.S. dollar. Purchases and sales of portfolio securities are translated into U.S. dollars at the rates of exchange prevailing when such securities were acquired or sold. Income and expenses are translated into U.S. dollars at rates of exchange prevailing when accrued.

Net realized gain or loss on foreign currency transactions represents foreign exchange gains and losses from sales and maturities of foreign fixed income investments, holding of foreign currencies, currency gains or losses realized between the trade and settlement dates on foreign investment transactions, and the difference between the amounts of dividends, interest and foreign withholding taxes recorded on the Fund’s books and the U.S. dollar equivalent amounts actually received or paid. Net unrealized currency gains and losses from valuing foreign currency denominated assets and liabilities at period end exchange rates are reflected as a component of net unrealized appreciation or depreciation of foreign currency denominated assets and liabilities.

4. Taxes

It is the Fund’s policy to meet the requirements of the Internal Revenue Code applicable to regulated investment companies and to distribute all of its investment company taxable income and net realized gains, if any, to shareholders. Therefore, no provisions for federal income or excise taxes are required. The Fund may be subject to taxes imposed by countries in which it invests. Such taxes are generally based on income and/or capital gains earned or repatriated. Taxes are accrued and applied to net investment income, net realized gains and net unrealized appreciation(depreciation) as such income and/or gains are earned.

In accordance with U.S. GAAP requirements regarding accounting for uncertainties in income taxes, management has analyzed the Fund’s tax positions taken or expected to be taken on federal and state income tax returns for all open tax years (the current and the prior three tax years) and has concluded that no provision for income tax is required in the Fund’s financial statements.

5. Investment Income and Investment Transactions

Dividend income is recorded on the ex-dividend date or as soon as the Fund is informed of the dividend. Interest income is accrued daily. Investment transactions are accounted for on the date the securities are purchased or sold. Investment gains or losses are determined on the identified cost basis. Non-cash dividends, if any, are recorded on the ex-dividend

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NOTES TO FINANCIAL STATEMENTS (continued)

date at the fair value of the securities received. The Fund amortizes premiums and accretes discounts as adjustments to interest income. The Fund accounts for distributions received from REIT investments or from regulated investment companies as dividend income, realized gain, or return of capital based on information provided by the REIT or the investment company.

6. Class Allocations

All income earned and expenses incurred by the Fund are borne on a pro-rata basis by each outstanding class of shares, based on the proportionate interest in the Fund represented by the net assets of such class, except for class specific expenses which are allocated to the respective class. Expenses of the Company are charged proportionately to each fund or based on other appropriate methods. Realized and unrealized gains and losses are allocated among the various share classes based on respective net assets.

7. Dividends and Distributions

Dividends and distributions to shareholders, if any, are recorded on the ex-dividend date. Income dividends and capital gains distributions are determined in accordance with federal tax regulations and may differ from those determined in accordance with U.S. GAAP. To the extent these differences are permanent, such amounts are reclassified within the capital accounts based on their federal tax basis treatment; temporary differences do not require such reclassification.

NOTE B

Advisory Fee and Other Transactions with Affiliates

Under the terms of the investment advisory agreement, the Fund pays the Adviser an advisory fee at an annual rate of .45% of the first $2.5 billion, .40% of the next $2.5 billion up to $5 billion, .35% of the excess over $5 billion up to $8 billion and .30% in excess of $8 billion, of the Fund’s average daily net assets. The fee is accrued daily and paid monthly. The Adviser has agreed to waive its fees and bear certain expenses to the extent necessary to limit total operating expenses (which excludes acquired fund fees and expenses other than the advisory fees of any AB mutual funds in which the Fund may invest, interest expense, taxes, extraordinary expenses, and brokerage commissions and other transaction costs) on an annual basis (the “Expense Caps”) to .77%, 1.52%, .52%, 1.02%, .77%, .52%, and .52% of the daily average net assets for the Class A, Class C, Advisor Class, Class R, Class K, Class I, and Class Z shares, respectively. This waiver extends through January 31, 2024 and then may be extended by the Adviser for additional one year terms. For the year ended October 31, 2023, such reimbursements/waivers amounted to $752,408.

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Pursuant to the investment advisory agreement, the Fund may reimburse the Adviser for certain legal and accounting services provided to the Fund by the Adviser. For the year ended October 31, 2023, the reimbursement for such services amounted to $89,990.

The Fund compensates AllianceBernstein Investor Services, Inc. (“ABIS”), a wholly-owned subsidiary of the Adviser, under a Transfer Agency Agreement for providing personnel and facilities to perform transfer agency services for the Fund. ABIS may make payments to intermediaries that provide omnibus account services, sub-accounting services and/or networking services. Such compensation retained by ABIS amounted to $122,757 for the year ended October 31, 2023.

AllianceBernstein Investments, Inc. (the “Distributor”), a wholly-owned subsidiary of the Adviser, serves as the distributor of the Fund’s shares. The Distributor has advised the Fund that it has retained front-end sales charges of $1,122 from the sale of Class A shares and received $455 and $1,300 in contingent deferred sales charges imposed upon redemptions by shareholders of Class A and Class C shares, respectively, for the year ended October 31, 2023.

The Fund may invest in AB Government Money Market Portfolio (the “Government Money Market Portfolio”) which has a contractual annual advisory fee rate of .20% of the portfolio’s average daily net assets and bears its own expenses. The Adviser had contractually agreed to waive .10% of the advisory fee of Government Money Market Portfolio (resulting in a net advisory fee of .10%) until August 31, 2023. Effective September 1, 2023, the Adviser has contractually agreed to waive .05% of the advisory fee of Government Money Market Portfolio (resulting in a net advisory fee of .15%) until August 31, 2024. In connection with the investment by the Fund in Government Money Market Portfolio, the Adviser has contractually agreed to waive its advisory fee from the Fund in an amount equal to the Fund’s pro rata share of the effective advisory fee of Government Money Market Portfolio, as borne indirectly by the Fund as an acquired fund fee and expense. For the year ended October 31, 2023, such waiver amounted to $1,537.

Fund	Market Value 10/31/22 (000)		Purchases at Cost (000)		Sales Proceeds (000)		Market Value 10/31/23 (000)		Dividend Income (000)
Government Money Market Portfolio	$	532	$	87,551	$	87,802	$	281	$	68

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NOTE C

Distribution Services Agreement

The Fund has adopted a Distribution Services Agreement (the “Agreement”) pursuant to Rule 12b-1 under the Investment Company Act of 1940. Under the Agreement, the Fund pays distribution and servicing fees to the Distributor at an annual rate of up to .30% of the Fund’s average daily net assets attributable to Class A shares, 1% of the Fund’s average daily net assets attributable to Class C shares, .50% of the Fund’s average daily net assets attributable to Class R shares and .25% of the Fund’s average daily net assets attributable to Class K shares. There are no distribution and servicing fees on the Advisor Class, Class I and Class Z shares. Payments under the Agreement in respect of Class A shares are currently limited to an annual rate of .25% of Class A shares’ average daily net assets. The fees are accrued daily and paid monthly. The Agreement provides that the Distributor will use such payments in their entirety for distribution assistance and promotional activities. Since the commencement of the Fund’s operations, the Distributor has incurred expenses in excess of the distribution costs reimbursed by the Fund in the amounts of $1,213,952, $149,965 and $70,565 for Class C, Class R and Class K shares, respectively. While such costs may be recovered from the Fund in future periods so long as the Agreement is in effect, the rate of the distribution and servicing fees payable under the Agreement may not be increased without a shareholder vote. In accordance with the Agreement, there is no provision for recovery of unreimbursed distribution costs incurred by the Distributor beyond the current fiscal year for Class A shares. The Agreement also provides that the Adviser may use its own resources to finance the distribution of the Fund’s shares.

NOTE D

Investment Transactions

Purchases and sales of investment securities (excluding short-term investments) for the year ended October 31, 2023 were as follows:

	Purchases		Sales
Investment securities (excluding U.S. government securities)	$	32,526,246	$	59,233,599
U.S. government securities		336,136,829		339,226,412

The cost of investments for federal income tax purposes, gross unrealized appreciation and unrealized depreciation are as follows:

Cost	$	195,862,373
Gross unrealized appreciation	$	2,584,584
Gross unrealized depreciation		(22,257,534	)
Net unrealized depreciation	$	(19,672,950	)

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1. Derivative Financial Instruments

The Fund may use derivatives in an effort to earn income and enhance returns, to replace more traditional direct investments, to obtain exposure to otherwise inaccessible markets (collectively, “investment purposes”), or to hedge or adjust the risk profile of its portfolio.

The principal types of derivatives utilized by the Fund, as well as the methods in which they may be used are:

• Futures

The Fund may buy or sell futures for investment purposes or for the purpose of hedging its portfolio against adverse effects of potential movements in the market. The Fund bears the market risk that arises from changes in the value of these instruments and the imperfect correlation between movements in the price of the futures and movements in the price of the assets, reference rates or indices which they are designed to track. Among other things, the Fund may purchase or sell futures for foreign currencies or options thereon for non-hedging purposes as a means of making direct investment in foreign currencies, as described below under “Currency Transactions”.

At the time the Fund enters into futures, the Fund deposits and maintains as collateral an initial margin with the broker, as required by the exchange on which the transaction is effected. Such amount is shown as cash collateral due from broker on the statement of assets and liabilities. Pursuant to the contract, the Fund agrees to receive from or pay to the broker an amount of cash equal to the daily fluctuation in the value of the contract. Such receipts or payments are known as variation margin and are recorded by the Fund as unrealized gains or losses. Risks may arise from the potential inability of a counterparty to meet the terms of the contract. The credit/counterparty risk for exchange-traded futures is generally less than privately negotiated futures, since the clearinghouse, which is the issuer or counterparty to each exchange-traded future, has robust risk mitigation standards, including the requirement to provide initial and variation margin. 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 time it was closed.

Use of long futures subjects the Fund to risk of loss in excess of the amounts shown on the statement of assets and liabilities, up to the notional value of the futures. Use of short futures subjects the Fund to unlimited risk of loss. Under some circumstances, futures exchanges may establish daily limits on the amount that the price of futures can vary from the previous day’s settlement price, which could effectively prevent liquidation of unfavorable positions.

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During the year ended October 31, 2023, the Fund held futures for hedging and non-hedging purposes.

• Forward Currency Exchange Contracts

The Fund may enter into forward currency exchange contracts in order to hedge its exposure to changes in foreign currency exchange rates on its foreign portfolio holdings, to hedge certain firm purchase and sale commitments denominated in foreign currencies and for non-hedging purposes as a means of making direct investments in foreign currencies, as described below under “Currency Transactions”.

A forward currency exchange contract is a commitment to purchase or sell a foreign currency at a future date at a negotiated forward rate. The gain or loss arising from the difference between the original contract and the closing of such contract would be included in net realized gain or loss on forward currency exchange contracts. Fluctuations in the value of open forward currency exchange contracts are recorded for financial reporting purposes as unrealized appreciation and/or depreciation by the Fund. Risks may arise from the potential inability of a counterparty to meet the terms of a contract and from unanticipated movements in the value of a foreign currency relative to the U.S. dollar.

During the year ended October 31, 2023, the Fund held forward currency exchange contracts for hedging and non-hedging purposes.

• Swaps

The Fund may enter into swaps to hedge its exposure to interest rates, credit risk or currencies. The Fund may also enter into swaps for non-hedging purposes as a means of gaining market exposures, making direct investments in foreign currencies, as described below under “Currency Transactions.” A swap is an agreement that obligates two parties to exchange a series of cash flows at specified intervals based upon or calculated by reference to changes in specified prices or rates for a specified amount of an underlying asset. The payment flows are usually netted against each other, with the difference being paid by one party to the other. In addition, collateral may be pledged or received by the Fund in accordance with the terms of the respective swaps to provide value and recourse to the Fund or its counterparties in the event of default, bankruptcy or insolvency by one of the parties to the swap.

Risks may arise as a result of the failure of the counterparty to the swap to comply with the terms of the swap. The loss incurred by the failure of a counterparty is generally limited to the net interim payment to be received by the Fund, and/or the termination value at the end of the contract. Therefore, the Fund considers the creditworthiness of

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each counterparty to a swap in evaluating potential counterparty risk. This risk is mitigated by having a netting arrangement between the Fund and the counterparty and by the posting of collateral by the counterparty to the Fund to cover the Fund’s exposure to the counterparty. Additionally, risks may arise from unanticipated movements in interest rates or in the value of the underlying securities. The Fund accrues for the interim payments on swaps on a daily basis, with the net amount recorded within unrealized appreciation/depreciation of swaps on the statement of assets and liabilities, where applicable. Once the interim payments are settled in cash, the net amount is recorded as realized gain/(loss) on swaps on the statement of operations, in addition to any realized gain/(loss) recorded upon the termination of swaps. Upfront premiums paid or received for swaps are recognized as cost or proceeds on the statement of assets and liabilities and are amortized on a straight line basis over the life of the contract. Amortized upfront premiums are included in net realized gain/(loss) from swaps on the statement of operations. Fluctuations in the value of swaps are recorded as a component of net change in unrealized appreciation/depreciation of swaps on the statement of operations.

Certain standardized swaps, including certain interest rate swaps and credit default swaps, are (or soon will be) subject to mandatory central clearing. Cleared swaps are transacted through futures commission merchants (“FCMs”) that are members of central clearinghouses, with the clearinghouse serving as central counterparty, similar to transactions in futures contracts. Centralized clearing will be required for additional categories of swaps on a phased-in basis based on requirements published by the Securities and Exchange Commission and Commodity Futures Trading Commission.

At the time the Fund enters into a centrally cleared swap, the Fund deposits and maintains as collateral an initial margin with the broker, as required by the clearinghouse on which the transaction is effected. Such amount is shown as cash collateral due from broker on the statement of assets and liabilities. Pursuant to the contract, the Fund agrees to receive from or pay to the broker an amount of cash equal to the daily fluctuation in the value of the contract. Such receipts or payments are known as variation margin and are recorded by the Fund as unrealized gains or losses. Risks may arise from the potential inability of a counterparty to meet the terms of the contract. The credit/counterparty risk for centrally cleared swaps is generally less than non-centrally cleared swaps, since the clearinghouse, which is the issuer or counterparty to each centrally cleared swap, has robust risk mitigation standards, including the requirement to provide initial and variation margin. When the contract is closed, the Fund records a

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realized gain or loss equal to the difference between the value of the contract at the time it was opened and the time it was closed.

Interest Rate Swaps:

The Fund is subject to interest rate risk exposure in the normal course of pursuing its investment objectives. Because the Fund holds fixed rate bonds, the value of these bonds may decrease if interest rates rise. To help hedge against this risk and to maintain its ability to generate income at prevailing market rates, the Fund may enter into interest rate swaps. Interest rate swaps are agreements between two parties to exchange cash flows based on a notional amount. The Fund may elect to pay a fixed rate and receive a floating rate, or, receive a fixed rate and pay a floating rate on a notional amount.

In addition, the Fund may also enter into interest rate swap transactions to preserve a return or spread on a particular investment or portion of its portfolio, or protecting against an increase in the price of securities the Fund anticipates purchasing at a later date. Interest rate swaps involve the exchange by the Fund with another party of their respective commitments to pay or receive interest (e.g., an exchange of floating rate payments for fixed rate payments) computed based on a contractually-based principal (or “notional”) amount. Interest rate swaps are entered into on a net basis (i.e., the two payment streams are netted out, with the Fund receiving or paying, as the case may be, only the net amount of the two payments).

During the year ended October 31, 2023, the Fund held interest rate swaps for hedging and non-hedging purposes.

Credit Default Swaps:

The Fund may enter into credit default swaps, including to manage its exposure to the market or certain sectors of the market, to reduce its risk exposure to defaults by corporate and sovereign issuers held by the Fund, or to create exposure to corporate or sovereign issuers to which it is not otherwise exposed. The Fund may purchase credit protection (“Buy Contract”) or provide credit protection (“Sale Contract”) on the referenced obligation of the credit default swap. During the term of the swap, the Fund receives/(pays) fixed payments from/(to) the respective counterparty, calculated at the agreed upon rate applied to the notional amount. If the Fund is a buyer/(seller) of protection and a credit event occurs, as defined under the terms of the swap, the Fund will either (i) receive from the seller/(pay to the buyer) of protection an amount equal to the notional amount of the swap (the “Maximum Payout Amount”) and deliver/(take delivery of) the referenced obligation or (ii) receive/(pay) a net settlement amount in the form of cash or securities equal to the notional amount of the swap less the recovery value of the referenced obligation. In certain

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circumstances Maximum Payout Amounts may be partially offset by recovery values of the respective referenced obligations, upfront premium received upon entering into the agreement, or net amounts received from settlement of buy protection credit default swaps entered into by the Fund for the same referenced obligations with the same counterparty.

Credit default swaps may involve greater risks than if the Fund had invested in the referenced obligation directly. Credit default swaps are subject to general market risk, liquidity risk, counterparty risk and credit risk. If the Fund is a buyer of protection and no credit event occurs, it will lose the payments it made to its counterparty. If the Fund is a seller of protection and a credit event occurs, the value of the referenced obligation received by the Fund coupled with the periodic payments previously received, may be less than the Maximum Payout Amount it pays to the buyer, resulting in a net loss to the Fund.

Implied credit spreads over U.S. Treasuries of comparable maturity utilized in determining the market value of credit default swaps on issuers as of period end are disclosed in the portfolio of investments. The implied spreads serve as an indicator of the current status of the payment/performance risk and typically reflect the likelihood of default by the issuer of the referenced obligation. The implied credit spread of a particular reference obligation also reflects the cost of buying/selling protection and may reflect upfront payments required to be made to enter into the agreement. Widening credit spreads typically represent a deterioration of the referenced obligation’s credit soundness and greater likelihood of default or other credit event occurring as defined under the terms of the agreement. A credit spread identified as “Defaulted” indicates a credit event has occurred for the referenced obligation.

During the year ended October 31, 2023, the Fund held credit default swaps for hedging and non-hedging purposes.

Total Return Swaps:

The Fund may enter into total return swaps in order to take a “long” or “short” position with respect to an underlying referenced asset. The Fund is subject to market price volatility of the underlying referenced asset. A total return swap involves commitments to pay interest in exchange for a market linked return based on a notional amount. To the extent that the total return of the security, group of securities or index underlying the transaction exceeds or falls short of the offsetting interest obligation, the Fund will receive a payment from or make a payment to the counterparty.

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During the year ended October 31, 2023, the Fund held total return swaps for hedging and non-hedging purposes.

The Fund typically enters into International Swaps and Derivatives Association, Inc. Master Agreements (“ISDA Master Agreement”) with its OTC derivative contract counterparties in order to, among other things, reduce its credit risk to OTC counterparties. ISDA Master Agreements include provisions for general obligations, representations, collateral and events of default or termination. Under an ISDA Master Agreement, the Fund typically may offset with the OTC counterparty certain derivative financial instruments’ payables and/or receivables with collateral held and/or posted and create one single net payment (close-out netting) in the event of default or termination. In the event of a default by an OTC counterparty, the return of collateral with market value in excess of the Fund’s net liability, held by the defaulting party, may be delayed or denied.

The Fund’s ISDA Master Agreements may contain provisions for early termination of OTC derivative transactions in the event the net assets of the Fund decline below specific levels (“net asset contingent features”). If these levels are triggered, the Fund’s OTC counterparty has the right to terminate such transaction and require the Fund to pay or receive a settlement amount in connection with the terminated transaction. If OTC derivatives were held at period end, please refer to netting arrangements by the OTC counterparty table below for additional details.

During the year ended October 31, 2023, the Fund had entered into the following derivatives:

	Asset Derivatives				Liability Derivatives
Derivative Type	Statement of Assets and Liabilities Location	Fair Value			Statement of Assets and Liabilities Location	Fair Value
Interest rate contracts	Receivable for variation margin on futures	$	9,019	*	Payable for variation margin on futures	$	2,398,361	*
Credit contracts	Receivable for variation margin on centrally cleared swaps		125,021	*	Payable for variation margin on centrally cleared swaps		22,764	*
Interest rate contracts	Receivable for variation margin on centrally cleared swaps		177,936	*

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	Asset Derivatives			Liability Derivatives
Derivative Type	Statement of Assets and Liabilities Location	Fair Value		Statement of Assets and Liabilities Location	Fair Value
Foreign currency contracts	Unrealized appreciation on forward currency exchange contracts	$	6,879
Credit contracts				Market value on credit default swaps	$	14,779
Total		$	318,855		$	2,435,904

* Only variation margin receivable/payable at period end is reported within the statement of assets and liabilities.

This amount reflects cumulative unrealized appreciation (depreciation) on futures and centrally cleared swaps as reported in the portfolio of investments.

Derivative Type	Location of Gain or (Loss) on Derivatives Within Statement of Operations	Realized Gain or (Loss) on Derivatives			Change in Unrealized Appreciation or (Depreciation)
Interest rate contracts	Net realized gain (loss) on futures; Net change in unrealized appreciation (depreciation) of futures	$	(4,403,932	)	$	1,030,701
Foreign currency contracts	Net realized gain (loss) on forward currency exchange contracts; Net change in unrealized appreciation (depreciation) of forward currency exchange contracts		(98,238	)		(40,939	)
Interest rate contracts	Net realized gain (loss) on swaps; Net change in unrealized appreciation (depreciation) of swaps		185,331			(107,182	)
Credit contracts	Net realized gain (loss) on swaps; Net change in unrealized appreciation (depreciation) of swaps		(1,476,784	)		668,315
Total		$	(5,793,623)		$	1,550,895

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The following table represents the average monthly volume of the Fund’s derivative transactions during the year ended October 31, 2023:

Futures:
Average notional amount of buy contracts	$	40,668,807
Average notional amount of sale contracts	$	9,479,890
Forward Currency Exchange Contracts:
Average principal amount of buy contracts	$	1,504,729	(a)
Average principal amount of sale contracts	$	3,814,113
Centrally Cleared Interest Rate Swaps:
Average notional amount	$	2,000,000
Credit Default Swaps:
Average notional amount of buy contracts	$	2,267,000	(b)
Average notional amount of sale contracts	$	449,894
Centrally Cleared Credit Default Swaps:
Average notional amount of buy contracts	$	12,203,308
Average notional amount of sale contracts	$	7,252,400	(c)
Total Return Swaps:
Average notional amount	$	13,083,366	(a)

(a) Positions were open for four months during the year.

(b) Positions were open for one month during the year.

(c) Positions were open for five months during the year.

For financial reporting purposes, the Fund does not offset derivative assets and derivative liabilities that are subject to netting arrangements in the statement of assets and liabilities.

All OTC derivatives held at period end were subject to netting arrangements. The following table presents the Fund’s derivative assets and liabilities by OTC counterparty net of amounts available for offset under ISDA Master Agreements (“MA”) and net of the related collateral received/pledged by the Fund as of October 31, 2023. Exchange-traded derivatives and centrally cleared swaps are not subject to netting arrangements and as such are excluded from the table.

Counterparty	Derivative Assets Subject to a MA		Derivatives Available for Offset			Cash Collateral Received*			Security Collateral Received*			Net Amount of Derivative Assets
Morgan Stanley Capital Services, Inc.	$	6,879	$	– 0	–	$	– 0	–	$	– 0	–	$	6,879
Total	$	6,879	$	– 0	–	$	– 0	–	$	– 0	–	$	6,879	^

Counterparty	Derivative Liabilities Subject to a MA		Derivatives Available for Offset			Cash Collateral Pledged*			Security Collateral Pledged*			Net Amount of Derivative Liabilities
Goldman Sachs International	$	14,779	$	– 0	–	$	– 0	–	$	(14,779	)	$	– 0	–
Total	$	14,779	$	– 0	–	$	– 0	–	$	(14,779	)	$	0	^

* The actual collateral received/pledged may be more than the amount reported due to over-collateralization.

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^ Net amount represents the net receivable/payable that would be due from/to the counterparty in the event of default or termination. The net amount from OTC financial derivative instruments can only be netted across transactions governed under the same master agreement with the same counterparty.

2. Currency Transactions

The Fund may invest in non-U.S. Dollar-denominated securities on a currency hedged or unhedged basis. The Fund may seek investment opportunities by taking long or short positions in currencies through the use of currency-related derivatives, including forward currency exchange contracts, futures and options on futures, swaps, and other options. The Fund may enter into transactions for investment opportunities when it anticipates that a foreign currency will appreciate or depreciate in value but securities denominated in that currency are not held by the Fund and do not present attractive investment opportunities. Such transactions may also be used when the Adviser believes that it may be more efficient than a direct investment in a foreign currency-denominated security. The Fund may also conduct currency exchange contracts on a spot basis (i.e., for cash at the spot rate prevailing in the currency exchange market for buying or selling currencies).

3. TBA and Dollar Rolls

The Fund may invest in TBA mortgage-backed securities. A TBA, or “To Be Announced”, trade represents a contract for the purchase or sale of mortgage-backed securities to be delivered at a future agree-upon date; however, the specific mortgage pool numbers or the number of pools that will be delivered to fulfill the trade obligation or terms of the contract are unknown at the time of the trade. Mortgage pools (including fixed-rate or variable-rate mortgages) guaranteed by the Government National Mortgage Association, or GNMA, the Federal National Mortgage Association, or FNMA, or the Federal Home Loan Mortgage Corporation, or FHLMC, are subsequently allocated to the TBA transactions.

The Fund may enter into certain TBA transactions known as dollar rolls. Dollar rolls involve sales by the Fund of securities for delivery in the current month and the Fund’s simultaneously contracting to repurchase substantially similar (same type and coupon) securities on a specified future date. During the roll period, the Fund forgoes principal and interest paid on the securities. The Fund is compensated by the difference between the current sales price and the lower forward price for the future purchase (often referred to as the “drop”) as well as by the interest earned on the cash proceeds of the initial sale. Dollar rolls involve the risk that the market value of the securities the Fund is obligated to repurchase under the agreement may decline below the repurchase price. Dollar rolls are speculative techniques. For the year ended October 31, 2023, the Fund earned drop income of $13,034 which is included in interest income in the accompanying statement of operations.

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NOTE E

Capital Stock

Each class consists of 3,000,000,000 authorized shares. Transactions in capital shares for each class were as follows:

	Shares						Amount
	Year Ended October 31, 2023			Year Ended October 31, 2022			Year Ended October 31, 2023			Year Ended October 31, 2022
Class A
Shares sold		561,094			929,521		$	5,196,575		$	9,353,366
Shares issued in reinvestment of dividends and distributions		535,994			364,650			4,965,237			3,695,818
Shares converted from Class C		63,834			49,952			583,370			508,929
Shares redeemed		(2,915,158	)		(3,002,913	)		(26,937,136	)		(30,472,715	)
Net decrease		(1,754,236	)		(1,658,790	)	$	(16,191,954	)	$	(16,914,602	)
Class C
Shares sold		49,025			40,910		$	452,702		$	437,289
Shares issued in reinvestment of dividends and distributions		6,820			5,570			63,084			56,773
Shares converted to Class A		(63,991	)		(50,067	)		(583,370	)		(508,929	)
Shares redeemed		(104,353	)		(176,908	)		(963,722	)		(1,851,176	)
Net decrease		(112,499	)		(180,495	)	$	(1,031,306	)	$	(1,866,043	)
Advisor Class
Shares sold		888,746			1,499,468		$	8,268,729		$	15,464,781
Shares issued in reinvestment of dividends and distributions		141,979			127,534			1,316,024			1,299,268
Shares redeemed		(2,329,519	)		(5,768,375	)		(21,543,120	)		(58,783,641	)
Net decrease		(1,298,794	)		(4,141,373	)	$	(11,958,367	)	$	(42,019,592	)
Class R
Shares sold		10,799			11,636		$	99,601		$	117,057
Shares issued in reinvestment of dividends and distributions		1,921			1,252			17,771			12,771
Shares redeemed		(5,291	)		(37,202	)		(48,682	)		(390,075	)
Net increase (decrease)		7,429			(24,314	)	$	68,690		$	(260,247	)

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NOTES TO FINANCIAL STATEMENTS (continued)

	Shares						Amount
	Year Ended October 31, 2023			Year Ended October 31, 2022			Year Ended October 31, 2023			Year Ended October 31, 2022
Class K
Shares sold		53,228			37,277		$	498,699		$	396,322
Shares issued in reinvestment of dividends and distributions		11,843			8,318			109,692			85,557
Shares redeemed		(44,462	)		(301,853	)		(416,566	)		(3,321,684	)
Net increase (decrease)		20,609			(256,258	)	$	191,825		$	(2,839,805	)
Class I
Shares sold		11,143			66,379		$	102,992		$	713,418
Shares issued in reinvestment of dividends and distributions		3,473			3,525			32,238			36,042
Shares redeemed		(36,319	)		(147,406	)		(335,980	)		(1,550,300	)
Net decrease		(21,703	)		(77,502	)	$	(200,750	)	$	(800,840	)
Class Z
Shares sold		116,291			115,633		$	1,081,338		$	1,259,347
Shares issued in reinvestment of dividends and distributions		13,346			8,088			123,608			82,522
Shares redeemed		(47,607	)		(159,928	)		(439,008	)		(1,677,154	)
Net increase (decrease)		82,030			(36,207	)	$	765,938		$	(335,285	)

NOTE F

Risks Involved in Investing in the Fund

Market Risk—The value of the Fund’s assets will fluctuate as the stock or bond market fluctuates. The value of its investments may decline, sometimes rapidly and unpredictably, simply because of economic changes or other events, including public health crises (including the occurrence of a contagious disease or illness) and regional and global conflicts, that affect large portions of the market.

Interest-Rate Risk—Changes in interest rates will affect the value of investments in fixed-income securities. When interest rates rise, the value of existing investments in fixed-income securities tends to fall, and this decrease in value may not be offset by higher income from new investments. Interest-rate risk is generally greater for fixed-income securities with longer maturities or durations. The Fund may be subject to a greater risk of rising interest rates than would normally be the case due to the recent end

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NOTES TO FINANCIAL STATEMENTS (continued)

of a period of historically low rates and the effect of potential central bank monetary policy, and government fiscal policy, initiatives and resulting market reactions to those initiatives.

Credit Risk—An issuer or guarantor of a fixed-income security, or the counterparty to a derivatives or other contract, may be unable or unwilling to make timely payments of interest or principal, or to otherwise honor its obligations. The issuer or guarantor may default, causing a loss of the full principal amount of a security and accrued interest. The degree of risk for a particular security may be reflected in its credit rating. There is the possibility that the credit rating of a fixed-income security may be downgraded after purchase, which may adversely affect the value of the security.

Below Investment-Grade Securities Risk—Investments in fixed-income securities with lower ratings (commonly known as “junk bonds”) are subject to a higher probability that an issuer will default or fail to meet its payment obligations. These securities may be subject to greater price volatility due to such factors as specific corporate developments and negative perceptions of the junk bond market generally and may be more difficult to trade than other types of securities.

Duration Risk—Duration is a measure that relates the expected price volatility of a fixed-income security to changes in interest rates. The duration of a fixed-income security may be shorter than or equal to full maturity of a fixed-income security. Fixed-income securities with longer durations have more risk and will decrease in price as interest rates rise.

Inflation Risk—This is the risk that the value of assets or income from investments will be less in the future as inflation decreases the value of money. As inflation increases, the value of the Fund’s assets can decline as can the value of the Fund’s distributions. This risk is significantly greater for fixed-income securities with longer maturities. The Fund invests in inflation-indexed securities, the value of which may be vulnerable to changes in expectations of inflation or interest rates.

Foreign (Non-U.S.) Risk—Investments in securities of non-U.S. issuers may involve more risk than those of U.S. issuers. These securities may fluctuate more widely in price and may be more difficult to trade due to adverse market, economic, political, regulatory or other factors.

Emerging-Market Risk—Investments in emerging market countries may have more risk because the markets are less developed and less liquid and are subject to increased economic, political, regulatory or other uncertainties.

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NOTES TO FINANCIAL STATEMENTS (continued)

Currency Risk—Fluctuations in currency exchange rates may negatively affect the value of the Fund’s investments or reduce its returns.

Mortgage-Related and/or Other Asset-Backed Securities Risk—Investments in mortgage-related and other asset-backed securities are subject to certain additional risks. The value of these securities may be particularly sensitive to changes in interest rates. These risks include “extension risk”, which is the risk that, in periods of rising interest rates, issuers may delay the payment of principal, and “prepayment risk”, which is the risk that in periods of falling interest rates, issuers may pay principal sooner than expected, exposing the Fund to a lower rate of return upon reinvestment of principal. Mortgage-backed securities offered by non-governmental issuers and other asset-backed securities may be subject to other risks, such as higher rates of default in the mortgages or assets backing the securities or risks associated with the nature and servicing of mortgages or assets backing the securities.

Leverage Risk—When the Fund borrows money or otherwise leverages its investments, its performance may be volatile because leverage tends to exaggerate the effect of any increase or decrease in the value of the Fund’s investments. The Fund may create leverage through the use of reverse repurchase arrangements, forward currency exchange contracts, forward commitments, dollar rolls or futures or by borrowing money. The use of other types of derivative instruments by the Fund, such as options and swaps, may also result in a form of leverage. Leverage may result in higher returns to the Fund than if the Fund were not leveraged, but may also adversely affect returns, particularly if the market is declining.

Derivatives Risk—Derivatives may be difficult to price or unwind and leveraged so that small changes may produce disproportionate losses for the Fund. A short position in a derivative instrument involves the risk of a theoretically unlimited increase in the value of the underlying asset, which could cause the Fund to suffer a potentially unlimited loss. Derivatives, especially over-the-counter derivatives, are also subject to counterparty risk, which is the risk that the counterparty (the party on the other side of the transaction) on a derivative transaction will be unable or unwilling to honor its contractual obligations to the Fund.

Illiquid Investments Risk—Illiquid investments risk exists when certain investments are or become difficult to purchase or sell. Difficulty in selling such investments may result in sales at disadvantageous prices affecting the value of your investment in the Fund. Causes of illiquid investments risk may include low trading volumes, large positions and heavy redemptions of Fund shares. lliquid investments risk may be higher in a rising interest rate environment, when the value and liquidity of fixed-income securities generally decline.

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NOTES TO FINANCIAL STATEMENTS (continued)

Active Trading Risk—The Fund expects to engage in active and frequent trading of its portfolio securities and its portfolio turnover rate may greatly exceed 100%. A higher rate of portfolio turnover increases transaction costs, which may negatively affect the Fund’s return. In addition, a high rate of portfolio turnover may result in substantial short-term gains, which may have adverse tax consequences for Fund shareholders.

LIBOR Replacement Risk—The Fund may be exposed to debt securities, derivatives or other financial instruments that recently transitioned from the London Interbank Offered Rate, or “LIBOR,” as a “benchmark” or “reference rate” for various interest rate calculations. LIBOR’s administrator, ICE Benchmark Administration, ceased publishing most LIBOR settings (including some U.S. LIBOR settings) by the end of 2021 and the remaining (and most widely used) U.S. Dollar LIBOR settings after June 30, 2023. The United Kingdom Financial Conduct Authority, which regulates LIBOR, will permit the use of synthetic U.S. Dollar LIBOR rates for non-U.S. contracts through September 30, 2024, but any such rates would be considered non-representative of the underlying market. Since 2018 the Federal Reserve Bank of New York has published the Secured Overnight Financing Rate (referred to as SOFR), which is intended to replace U.S. Dollar LIBOR. SOFR is a broad measure of the cost of borrowing cash overnight collateralized by U.S. Treasury securities in the repurchase agreement (repo) market. There is no assurance that the composition or characteristics of SOFR or any such alternative reference rate will be similar to or produce the same value or economic equivalence as LIBOR or that the market for SOFR-linked financial instruments will have the same volume or liquidity as did the market for LIBOR-linked financial instruments prior to LIBOR’s discontinuance or unavailability. Neither the long-term effects of the LIBOR transition process nor its ultimate success can yet be known.

Indemnification Risk—In the ordinary course of business, the Fund enters into contracts that contain a variety of indemnifications. The Fund’s maximum exposure under these arrangements is unknown. However, the Fund has not had prior claims or losses pursuant to these indemnification provisions and expects the risk of loss thereunder to be remote. Therefore, the Fund has not accrued any liability in connection with these indemnification provisions.

Management Risk—The Fund is subject to management risk because it is an actively-managed investment fund. The Adviser will apply its investment techniques and risk analyses in making investment decisions, but there is no guarantee that its techniques will produce the intended results. Some of these techniques may incorporate, or rely upon, quantitative

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NOTES TO FINANCIAL STATEMENTS (continued)

models, but there is no guarantee that these models will generate accurate forecasts, reduce risk or otherwise perform as expected.

NOTE G

Joint Credit Facility

A number of open-end mutual funds managed by the Adviser, including the Fund, participate in a $325 million revolving credit facility (the “Facility”) intended to provide short-term financing related to redemptions and other short term liquidity requirements, subject to certain restrictions. Commitment fees related to the Facility are paid by the participating funds and are included in miscellaneous expenses in the statement of operations. The Fund did not utilize the Facility during the year ended October 31, 2023.

NOTE H

Distributions to Shareholders

The tax character of distributions paid during the fiscal year ended October 31, 2023 and the period ended October 31, 2022 were as follows:

	2023			2022
Distributions paid from:
Ordinary income	$	8,075,233		$	6,753,143
Net long-term capital gains		– 0	–		504,410
Total taxable distributions paid		8,075,233			7,257,553
Return of Capital		633,133			– 0	–
Total distributions paid	$	8,708,366		$	7,257,553

As of October 31, 2023, the components of accumulated earnings (deficit) on a tax basis were as follows:

Accumulated capital and other losses	$	(38,662,240	)(a)
Unrealized appreciation (depreciation)		(19,677,594	)(b)
Total accumulated earnings (deficit)	$	(58,339,834	)(c)

(a) As of October 31, 2023, the Fund had a net capital loss carryforward of $38,622,210. As of October 31, 2023, the cumulative deferred loss on straddles was $30.

(b) The differences between book-basis and tax-basis unrealized appreciation (depreciation) are attributable primarily to the recognition for tax purposes of unrealized gains/losses on certain derivative instruments, the tax treatment of passive foreign investment companies (PFICs), the tax treatment of callable bonds, the tax treatment of swaps, and the tax deferral of losses on wash sales.

(c) The differences between book-basis and tax-basis components of accumulated earnings (deficit) are attributable primarily to the accrual of foreign capital gains tax, the tax treatment of defaulted securities, and dividends payable.

For tax purposes, net realized capital losses may be carried over to offset future capital gains, if any. Funds are permitted to carry forward capital losses for an indefinite period, and such losses will retain their character as either short-term or long-term capital losses. As of October 31, 2023, the

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NOTES TO FINANCIAL STATEMENTS (continued)

Fund had a net short-term capital loss carryforward of $17,848,430 and a net long-term capital loss carryforward of $20,813,780, which may be carried forward for an indefinite period.

During the current fiscal year, there were no permanent differences that resulted in adjustments to accumulated loss or additional paid-in capital.

NOTE I

Recent Accounting Pronouncements

In December 2022, the Financial Accounting Standards Board issued an Accounting Standards Update, ASU 2022-06, “Reference Rate Reform (Topic 848) – Deferral of the Sunset Date of Topic 848”. ASU 2022-06 is an amendment to ASU 2020-04, which provided optional guidance to ease the potential accounting burden due to the discontinuation of the LIBOR and other interbank-offered based reference rates and which was effective as of March 12, 2020 through December 31, 2022. ASU 2022-06 extends the effective period through December 31, 2024. Management is currently evaluating the impact, if any, of applying ASU 2022-06.

NOTE J

Subsequent Events

Management has evaluated subsequent events for possible recognition or disclosure in the financial statements through the date the financial statements are issued. Management has determined that there are no material events that would require disclosure in the Fund’s financial statements through this date.

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FINANCIAL HIGHLIGHTS

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

	Class A
	Year Ended October 31,
	2023			2022			2021			2020			2019
Net asset value, beginning of period		$  9.02			$  11.25			$  11.53			$  11.35			$  10.65
Income From Investment Operations
Net investment income(a)(b)		.37			.26			.25			.29			.33
Net realized and unrealized gain (loss) on investment and foreign currency transactions		(.25	)		(2.21	)		(.11	)		.22			.74
Contributions from Affiliates		– 0	–		– 0	–		– 0	–		– 0	–		.00	(c)
Net increase (decrease) in net asset value from operations		.12			(1.95	)		.14			.51			1.07
Less: Dividends and Distributions
Dividends from net investment income		(.39	)		(.26	)		(.28	)		(.33	)		(.37	)
Distributions from net realized gain on investment transactions		– 0	–		(.02	)		(.14	)		– 0	–		– 0	–
Return of Capital Distributions		(.03	)		– 0	–		– 0	–		– 0	–		– 0	–
Total dividends and distributions		(.42	)		(.28	)		(.42	)		(.33	)		(.37	)
Net asset value, end of period		$  8.72			$  9.02			$  11.25			$  11.53			$  11.35
Total Return
Total investment return based on net asset value(d)		1.13	%		(17.57	)%		1.22	%		4.60	%		10.23	%
Ratios/Supplemental Data
Net assets, end of period (000’s omitted)		$127,732			$148,009			$203,168			$224,484			$221,033
Ratio to average net assets of:
Expenses, net of waivers/reimbursements		.77	%		.77	%		.77	%		.77	%		.77	%
Expenses, before waivers/reimbursements		1.17	%		1.06	%		.99	%		.99	%		1.04	%
Net investment income(b)		4.05	%		2.51	%		2.23	%		2.58	%		2.98	%
Portfolio turnover rate**		197	%		141	%		128	%		83	%		74	%

See footnote summary on page 77.

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FINANCIAL HIGHLIGHTS (continued)

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

	Class C
	Year Ended October 31,
	2023			2022			2021			2020			2019
Net asset value, beginning of period		$  9.00			$  11.23			$  11.50			$  11.32			$  10.63
Income From Investment Operations
Net investment income(a)(b)		.30			.17			.17			.21			.25
Net realized and unrealized gain (loss) on investment and foreign currency transactions		(.25	)		(2.19	)		(.11	)		.22			.73
Contributions from Affiliates		– 0	–		– 0	–		– 0	–		– 0	–		.00	(c)
Net increase (decrease) in net asset value from operations		.05			(2.02	)		.06			.43			.98
Less: Dividends and Distributions
Dividends from net investment income		(.32	)		(.19	)		(.19	)		(.25	)		(.29	)
Distributions from net realized gain on investment transactions		– 0	–		(.02	)		(.14	)		– 0	–		– 0	–
Return of Capital Distributions		(.03	)		– 0	–		– 0	–		– 0	–		– 0	–
Total dividends and distributions		(.35	)		(.21	)		(.33	)		(.25	)		(.29	)
Net asset value, end of period		$  8.70			$  9.00			$  11.23			$  11.50			$  11.32
Total Return
Total investment return based on net asset value(d)		.37	%		(18.22	)%		.55	%		3.83	%		9.33	%
Ratios/Supplemental Data
Net assets, end of period (000’s omitted)		$1,855			$2,932			$5,682			$10,128			$10,564
Ratio to average net assets of:
Expenses, net of waivers/reimbursements		1.52	%		1.52	%		1.52	%		1.52	%		1.52	%
Expenses, before waivers/reimbursements		1.92	%		1.81	%		1.74	%		1.75	%		1.79	%
Net investment income(b)		3.29	%		1.69	%		1.51	%		1.84	%		2.24	%
Portfolio turnover rate**		197	%		141	%		128	%		83	%		74	%

See footnote summary on page 77.

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FINANCIAL HIGHLIGHTS (continued)

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

	Advisor Class
	Year Ended October 31,
	2023			2022			2021			2020			2019
Net asset value, beginning of period		$  9.03			$  11.26			$  11.53			$  11.35			$  10.65
Income From Investment Operations
Net investment income(a)(b)		.40			.28			.28			.32			.35
Net realized and unrealized gain (loss) on investment and foreign currency transactions		(.26	)		(2.20	)		(.10	)		.22			.75
Contributions from Affiliates		– 0	–		– 0	–		– 0	–		– 0	–		.00	(c)
Net increase (decrease) in net asset value from operations		.14			(1.92	)		.18			.54			1.10
Less: Dividends and Distributions
Dividends from net investment income		(.41	)		(.29	)		(.31	)		(.36	)		(.40	)
Distributions from net realized gain on investment transactions		– 0	–		(.02	)		(.14	)		– 0	–		– 0	–
Return of Capital Distributions		(.03	)		– 0	–		– 0	–		– 0	–		– 0	–
Total dividends and distributions		(.44	)		(.31	)		(.45	)		(.36	)		(.40	)
Net asset value, end of period		$  8.73			$  9.03			$  11.26			$  11.53			$  11.35
Total Return
Total investment return based on net asset value(d)		1.38	%+		(17.44	)%		1.56	%		4.86	%		10.50	%
Ratios/Supplemental Data
Net assets, end of period (000’s omitted)		$32,248			$45,095			$102,827			$122,108			$104,850
Ratio to average net assets of:
Expenses, net of waivers/reimbursements		.52	%		.52	%		.52	%		.52	%		.52	%
Expenses, before waivers/reimbursements		.92	%		.80	%		.74	%		.74	%		.79	%
Net investment income(b)		4.28	%		2.66	%		2.47	%		2.82	%		3.21	%
Portfolio turnover rate**		197	%		141	%		128	%		83	%		74	%

See footnote summary on page 77.

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FINANCIAL HIGHLIGHTS (continued)

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

	Class R
	Year Ended October 31,
	2023			2022			2021			2020			2019
Net asset value, beginning of period		$  9.02			$  11.25			$  11.52			$  11.34			$  10.65
Income From Investment Operations
Net investment income(a)(b)		.35			.23			.23			.26			.30
Net realized and unrealized gain (loss) on investment and foreign currency transactions		(.26	)		(2.20	)		(.11	)		.22			.74
Contributions from Affiliates		– 0	–		– 0	–		– 0	–		– 0	–		.00	(c)
Net increase (decrease) in net asset value from operations		.09			(1.97	)		.12			.48			1.04
Less: Dividends and Distributions
Dividends from net investment income		(.36	)		(.24	)		(.25	)		(.30	)		(.35	)
Distributions from net realized gain on investment transactions		– 0	–		(.02	)		(.14	)		– 0	–		– 0	–
Return of Capital Distributions		(.03	)		– 0	–		– 0	–		– 0	–		– 0	–
Total dividends and distributions		(.39	)		(.26	)		(.39	)		(.30	)		(.35	)
Net asset value, end of period		$  8.72			$  9.02			$  11.25			$  11.52			$  11.34
Total Return
Total investment return based on net asset value(d)		.88	%		(17.78	)%		1.04	%		4.33	%		9.86	%
Ratios/Supplemental Data
Net assets, end of period (000’s omitted)		$431			$379			$746			$1,802			$3,298
Ratio to average net assets of:
Expenses, net of waivers/reimbursements		1.02	%		1.02	%		1.02	%		1.02	%		1.02	%
Expenses, before waivers/reimbursements		1.59	%		1.43	%		1.37	%		1.37	%		1.42	%
Net investment income(b)		3.81	%		2.21	%		1.99	%		2.34	%		2.73	%
Portfolio turnover rate**		197	%		141	%		128	%		83	%		74	%

See footnote summary on page 77.

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FINANCIAL HIGHLIGHTS (continued)

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

	Class K
	Year Ended October 31,
	2023			2022			2021			2020			2019
Net asset value, beginning of period		$  9.03			$  11.26			$  11.54			$  11.36			$  10.66
Income From Investment Operations
Net investment income(a)(b)		.37			.25			.25			.29			.33
Net realized and unrealized gain (loss) on investment and foreign currency transactions		(.25	)		(2.20	)		(.11	)		.22			.74
Contributions from Affiliates		– 0	–		– 0	–		– 0	–		– 0	–		.00	(c)
Net increase (decrease) in net asset value from operations		.12			(1.95	)		.14			.51			1.07
Less: Dividends and Distributions
Dividends from net investment income		(.39	)		(.26	)		(.28	)		(.33	)		(.37	)
Distributions from net realized gain on investment transactions		– 0	–		(.02	)		(.14	)		– 0	–		– 0	–
Return of Capital Distributions		(.03	)		– 0	–		– 0	–		– 0	–		– 0	–
Total dividends and distributions		(.42	)		(.28	)		(.42	)		(.33	)		(.37	)
Net asset value, end of period		$  8.73			$  9.03			$  11.26			$  11.54			$  11.36
Total Return
Total investment return based on net asset value(d)		1.13	%		(17.56	)%		1.22	%		4.59	%		10.22	%
Ratios/Supplemental Data
Net assets, end of period (000’s omitted)		$2,390			$2,287			$5,736			$6,580			$7,444
Ratio to average net assets of:
Expenses, net of waivers/reimbursements		.77	%		.77	%		.77	%		.77	%		.77	%
Expenses, before waivers/reimbursements		1.39	%		1.12	%		1.06	%		1.07	%		1.10	%
Net investment income(b)		4.05	%		2.41	%		2.24	%		2.59	%		2.98	%
Portfolio turnover rate**		197	%		141	%		128	%		83	%		74	%

See footnote summary on page 77.

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FINANCIAL HIGHLIGHTS (continued)

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

	Class I
	Year Ended October 31,
	2023			2022			2021			2020			2019
Net asset value, beginning of period		$  9.04			$  11.27			$  11.55			$  11.36			$  10.66
Income From Investment Operations
Net investment income(a)(b)		.40			.28			.28			.32			.36
Net realized and unrealized gain (loss) on investment and foreign currency transactions		(.27	)		(2.20	)		(.11	)		.23			.74
Contributions from Affiliates		– 0	–		– 0	–		– 0	–		– 0	–		.00	(c)
Net increase (decrease) in net asset value from operations		.13			(1.92	)		.17			.55			1.10
Less: Dividends and Distributions
Dividends from net investment income		(.41	)		(.29	)		(.31	)		(.36	)		(.40	)
Distributions from net realized gain on investment transactions		– 0	–		(.02	)		(.14	)		– 0	–		– 0	–
Return of Capital Distributions		(.03	)		– 0	–		– 0	–		– 0	–		– 0	–
Total dividends and distributions		(.44	)		(.31	)		(.45	)		(.36	)		(.40	)
Net asset value, end of period		$  8.73			$  9.04			$  11.27			$  11.55			$  11.36
Total Return
Total investment return based on net asset value(d)		1.26	%+		(17.44	)%		1.46	%		4.93	%		10.50	%
Ratios/Supplemental Data
Net assets, end of period (000’s omitted)		$543			$758			$1,819			$2,743			$4,107
Ratio to average net assets of:
Expenses, net of waivers/reimbursements		.52	%		.52	%		.52	%		.52	%		.52	%
Expenses, before waivers/reimbursements		.89	%		.75	%		.68	%		.70	%		.75	%
Net investment income(b)		4.29	%		2.67	%		2.48	%		2.85	%		3.22	%
Portfolio turnover rate**		197	%		141	%		128	%		83	%		74	%

See footnote summary on page 77.

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FINANCIAL HIGHLIGHTS (continued)

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

	Class Z
	Year Ended October 31,
	2023			2022			2021			2020			2019
Net asset value, beginning of period		$  9.04			$  11.27			$  11.55			$  11.37			$  10.67
Income From Investment Operations
Net investment income(a)(b)		.40			.28			.29			.32			.36
Net realized and unrealized gain (loss) on investment and foreign currency transactions		(.26	)		(2.20	)		(.12	)		.22			.74
Contributions from Affiliates		– 0	–		– 0	–		– 0	–		– 0	–		.00	(c)
Net increase (decrease) in net asset value from operations		.14			(1.92	)		.17			.54			1.10
Less: Dividends and Distributions
Dividends from net investment income		(.41	)		(.29	)		(.31	)		(.36	)		(.40	)
Distributions from net realized gain on investment transactions		– 0	–		(.02	)		(.14	)		– 0	–		– 0	–
Return of Capital Distributions		(.03	)		– 0	–		– 0	–		– 0	–		– 0	–
Total dividends and distributions		(.44	)		(.31	)		(.45	)		(.36	)		(.40	)
Net asset value, end of period		$  8.74			$  9.04			$  11.27			$  11.55			$  11.37
Total Return
Total investment return based on net asset value(d)		1.38	%		(17.34	)%		1.46	%		4.84	%		10.48	%
Ratios/Supplemental Data
Net assets, end of period (000’s omitted)		$2,877			$2,234			$3,193			$5,824			$8,059
Ratio to average net assets of:
Expenses, net of waivers/reimbursements		.52	%		.52	%		.52	%		.52	%		.52	%
Expenses, before waivers/reimbursements		.81	%		.70	%		.64	%		.64	%		.68	%
Net investment income(b)		4.30	%		2.70	%		2.51	%		2.82	%		3.22	%
Portfolio turnover rate**		197	%		141	%		128	%		83	%		74	%

See footnote summary on page 77.

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FINANCIAL HIGHLIGHTS (continued)

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

(a) Based on average shares outstanding.

(b) Net of expenses waived/reimbursed by the Adviser.

(c) Amount is less than $.005.

(d) Total investment return is calculated assuming an initial investment made at the net asset value at the beginning of the period, reinvestment of all dividends and distributions at net asset value during the period, and redemption on the last day of the period. Initial sales charges or contingent deferred sales charges are not reflected in the calculation of total investment return. Total return does not reflect the deduction of taxes that a shareholder would pay on portfolio distributions or the redemption of portfolio shares. Total investment return calculated for a period of less than one year is not annualized.

+ The net asset value and total return include adjustments in accordance with accounting principles generally accepted in the United States of America for financial reporting purposes. As such, the net asset value and total return for shareholder transactions may differ from financial statements.

** The Fund accounts for dollar roll transactions as purchases and sales.

See notes to financial statements.

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REPORT OF INDEPENDENT REGISTERED

PUBLIC ACCOUNTING FIRM

To the Board of Directors and Shareholders of AB Total Return Bond Portfolio

Opinion on the Financial Statements

We have audited the accompanying statement of assets and liabilities of AB Total Return Bond Portfolio (the “Fund”) (one of the portfolios constituting AB Bond Fund, Inc. (the “Company”)), including the portfolio of investments, as of October 31, 2023, and the related statement of operations for the year then ended, the statements of changes in net assets for each of the two years in the period then ended, the financial highlights for each of the five years in the period then ended, and the related notes (collectively referred to as the “financial statements”). In our opinion, the financial statements present fairly, in all material respects, the financial position of the Fund (one of the portfolios constituting AB Bond Fund, Inc.) at October 31, 2023, the results of its operations for the year then ended, the changes in its net assets for each of the two years in the period then ended and its financial highlights for each of the five years in the period then ended, in conformity with U.S. generally accepted accounting principles.

Basis for Opinion

These financial statements are the responsibility of the Company’s management. Our responsibility is to express an opinion on the Fund’s financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (“PCAOB”) and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. The Company is not required to have, nor were we engaged to perform, an audit of the Company’s internal control over financial reporting. As part of our audits, we are required to obtain an understanding of internal control over financial reporting but not for the purpose of expressing an opinion on the effectiveness of the Company’s internal control over financial reporting. Accordingly, we express no such opinion.

Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and

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REPORT OF INDEPENDENT REGISTERED

PUBLIC ACCOUNTING FIRM (continued)

disclosures in the financial statements. Our procedures included confirmation of securities owned as of October 31, 2023, by correspondence with the custodian, brokers and others; when replies were not received from brokers or others, we performed other auditing procedures. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audits provide a reasonable basis for our opinion.

We have served as the auditor of one or more of the AB investment companies since 1968.

New York, New York

December 22, 2023

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2023 FEDERAL TAX INFORMATION

(unaudited)

For Federal income tax purposes, the following information is furnished with respect to the distributions paid by the Fund during the taxable year ended October 31, 2023. For foreign shareholders, 85.88% of ordinary income dividends paid may be considered to be qualifying to be taxed as interest-related dividends.

Shareholders should not use the above information to prepare their income tax returns. The information necessary to complete your income tax returns will be included with your Form 1099-DIV which will be sent to you separately in January 2024.

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BOARD OF DIRECTORS

Garry L. Moody⁽¹⁾, Chairman Jorge A. Bermudez⁽¹⁾ Michael J. Downey⁽¹⁾ Onur Erzan, President and Chief Executive Officer Nancy P. Jacklin⁽¹⁾ Jeanette W. Loeb⁽¹⁾ Carol C. McMullen⁽¹⁾ Marshall C. Turner, Jr.⁽¹⁾

OFFICERS

Michael Canter⁽²⁾, Vice President Matthew S. Sheridan⁽²⁾, Vice President Nancy E. Hay, Secretary Michael B. Reyes, Senior Vice President Stephen M. Woetzel, Treasurer and Chief Financial Officer Phyllis J. Clarke, Controller Jennifer Friedland, Chief Compliance Officer

Custodian and Accounting Agent State Street Bank and Trust Company One Congress Street, Suite 1 Boston, MA 02114   Principal Underwriter AllianceBernstein Investments, Inc. 501 Commerce Street Nashville, TN 37203   Transfer Agent AllianceBernstein Investor Services, Inc. P.O. Box 786003 San Antonio, TX 78278 Toll-Free (800) 221-5672 Independent Registered Public
Accounting Firm Ernst & Young LLP One Manhattan West New York, NY 10001   Legal Counsel Seward & Kissel LLP One Battery Park Plaza New York, NY 10004

1 Member of the Audit Committee, the Governance and Nominating Committee, and the Independent Directors Committee.

2 The day-to-day management of, and investment decisions for, the Fund’s portfolio are made by the Adviser’s U.S. Investment Grade Core Fixed Income Team. Messrs. Canter and Sheridan are the investment professionals primarily responsible for the day-to-day management of the Fund’s portfolio.

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MANAGEMENT OF THE FUND

Board of Directors Information

The business and affairs of the Fund are managed under the direction of the Board of Directors. Certain information concerning the Fund’s Directors is set forth below.

NAME, ADDRESS* AND AGE (YEAR FIRST ELECTED**)	PRINCIPAL OCCUPATION(S) DURING PAST FIVE YEARS AND OTHER INFORMATION***	PORTFOLIOS IN AB FUND COMPLEX OVERSEEN BY DIRECTOR		OTHER PUBLIC COMPANY DIRECTORSHIPS CURRENTLY HELD BY DIRECTOR
INTERESTED DIRECTOR
Onur Erzan,# 1345 Avenue of the Americas New York, NY 10105 47 (2021)	Senior Vice President of AllianceBernstein L.P. (the “Adviser”), Head of Global Client Group and Head of Private Wealth. He oversees AB’s entire private wealth management business and third-party institutional and retail franchise, where he is responsible for all client services, sales and marketing, as well as product strategy, management and development worldwide. Director, President and Chief Executive Officer of the AB Mutual Funds as of April 1, 2021. He is also a member of the Equitable Holdings Management Committee. Prior to joining the firm in January 2021, he spent over 19 years with McKinsey (management consulting firm), most recently as a senior partner and co-leader of its Wealth & Asset Management practice. In addition, he co-led McKinsey’s Banking & Securities Solutions (a portfolio of data, analytics, digital assets and capabilities) globally.		82	None

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MANAGEMENT OF THE FUND (continued)

NAME, ADDRESS* AND AGE (YEAR FIRST ELECTED**)	PRINCIPAL OCCUPATION(S) DURING PAST FIVE YEARS AND OTHER INFORMATION***	PORTFOLIOS IN AB FUND COMPLEX OVERSEEN BY DIRECTOR		OTHER PUBLIC COMPANY DIRECTORSHIPS CURRENTLY HELD BY DIRECTOR
DISINTERESTED DIRECTORS
Garry L. Moody,## Chairman of the Board 71 (2008)	Private Investor since prior to 2018. Formerly, Partner, Deloitte & Touche LLP (1995-2008) where he held a number of senior positions, including Vice Chairman, and U.S. and Global Investment Management Practice Managing Partner; President, Fidelity Accounting and Custody Services Company (1993-1995), where he was responsible for accounting, pricing, custody and reporting for the Fidelity mutual funds; and Partner, Ernst & Young LLP (1975-1993), where he served as the National Director of Mutual Fund Tax Services and Managing Partner of its Chicago Office Tax department. He served as a member of the Investment Company Institute’s Board of Governors and the Independent Directors Council’s Governing Council from October 2019 through September 2023, where he also served as Chairman of the Governance Committee from October 2021 through September 2023. He is Chairman of the AB Funds and Chairman of the Independent Directors Committees since January 2023; he has served as a director or trustee since 2008, and served as Chairman of the Audit Committee of such funds from 2008 to February 2023.		82	None

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MANAGEMENT OF THE FUND (continued)

NAME, ADDRESS* AND AGE (YEAR FIRST ELECTED**)	PRINCIPAL OCCUPATION(S) DURING PAST FIVE YEARS AND OTHER INFORMATION***	PORTFOLIOS IN AB FUND COMPLEX OVERSEEN BY DIRECTOR		OTHER PUBLIC COMPANY DIRECTORSHIPS CURRENTLY HELD BY DIRECTOR
DISINTERESTED DIRECTORS (continued)
Jorge A. Bermudez,## 72 (2020)	Private Investor since prior to 2018. Formerly, Chief Risk Officer of Citigroup, Inc., a global financial services company, from November 2007 to March 2008; Chief Executive Officer of Citigroup’s Commercial Business Group in North America and Citibank Texas from 2005 to 2007; and a variety of other executive and leadership roles at various businesses within Citigroup prior to then; Chairman (2018) of the Texas A&M Foundation Board of Trustees (Trustee since 2013) and Chairman of the Smart Grid Center Board at Texas A&M University since 2012; director of, among others, Citibank N.A. from 2005 to 2008, the Federal Reserve Bank of Dallas, Houston Branch from 2009 to 2011, the Federal Reserve Bank of Dallas from 2011 to 2017, and the Electric Reliability Council of Texas from 2010 to 2016; and Chair of the Audit Committee of the Board of Directors of Moody’s Corporation since December 2022. He has served as director or trustee of the AB Funds since January 2020.		82	Moody’s Corporation since April 2011
Michael J. Downey,## 79 (2005)	Private Investor since prior to 2018. Formerly, Chairman of The Asia Pacific Fund, Inc. (registered investment company) since prior to 2018 until January 2019. From 1987 until 1993, Chairman and CEO of Prudential Mutual Fund Management, director of the Prudential mutual funds, and member of the Executive Committee of Prudential Securities Inc. He has served as a director or trustee of the AB Funds since 2005.		82	None

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MANAGEMENT OF THE FUND (continued)

NAME, ADDRESS* AND AGE (YEAR FIRST ELECTED**)	PRINCIPAL OCCUPATION(S) DURING PAST FIVE YEARS AND OTHER INFORMATION***	PORTFOLIOS IN AB FUND COMPLEX OVERSEEN BY DIRECTOR		OTHER PUBLIC COMPANY DIRECTORSHIPS CURRENTLY HELD BY DIRECTOR
DISINTERESTED DIRECTORS (continued)
Nancy P. Jacklin,## 75 (2006)	Private Investor since prior to 2018. Professorial Lecturer at the Johns Hopkins School of Advanced International Studies (2008-2015). U.S. Executive Director of the International Monetary Fund (which is responsible for ensuring the stability of the international monetary system), (December 2002-May 2006); Partner, Clifford Chance (1992-2002); Sector Counsel, International Banking and Finance, and Associate General Counsel, Citicorp (1985-1992); Assistant General Counsel (International), Federal Reserve Board of Governors (1982-1985); and Attorney Advisor, U.S. Department of the Treasury (1973-1982). Member of the Bar of the District of Columbia and of New York; and member of the Council on Foreign Relations. She has served as a director or trustee of the AB Funds since 2006 and served as Chair of the Governance and Nominating Committees of the AB Funds from 2014 to August 2023.		82	None

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MANAGEMENT OF THE FUND (continued)

NAME, ADDRESS* AND AGE (YEAR FIRST ELECTED**)	PRINCIPAL OCCUPATION(S) DURING PAST FIVE YEARS AND OTHER INFORMATION***	PORTFOLIOS IN AB FUND COMPLEX OVERSEEN BY DIRECTOR		OTHER PUBLIC COMPANY DIRECTORSHIPS CURRENTLY HELD BY DIRECTOR
DISINTERESTED DIRECTORS (continued)
Jeanette W. Loeb,## 71 (2020)	Private Investor since prior to 2018. Director of New York City Center since 2005. Formerly, Chief Executive Officer of PetCareRx (e-commerce pet pharmacy) from 2002 to 2011 and 2015 to April 2023. She was a director of Apollo Investment Corp. (business development company) from August 2011 to July 2023 and a director of AB Multi-Manager Alternative Fund (fund of hedge funds) from 2012 to 2018. Formerly, affiliated with Goldman Sachs Group, Inc. (financial services) from 1977 to 1994, including as a partner thereof from 1986 to 1994. She has served as director or trustee of the AB Funds since April 2020 and serves as Chair of the Governance and Nominating Committees of the AB Funds since August 2023.		82	None

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MANAGEMENT OF THE FUND (continued)

NAME, ADDRESS* AND AGE (YEAR FIRST ELECTED**)	PRINCIPAL OCCUPATION(S) DURING PAST FIVE YEARS AND OTHER INFORMATION***	PORTFOLIOS IN AB FUND COMPLEX OVERSEEN BY DIRECTOR		OTHER PUBLIC COMPANY DIRECTORSHIPS CURRENTLY HELD BY DIRECTOR
DISINTERESTED DIRECTORS (continued)
Carol C. McMullen,## 68 (2016)	Private Investor and a member of the Advisory Board of Butcher Box (since 2018) and serves as Advisory Board Chair as of June 2023. Formerly, Managing Director of Slalom Consulting (consulting) from 2014 until July 2023; member, Mass General Brigham (formerly, Partners Healthcare) Investment Committee (2010-2019); Director of Norfolk & Dedham Group (mutual property and casualty insurance) from 2011 until November 2016; Director of Partners Community Physicians Organization (healthcare) from 2014 until December 2016 and Managing Director of The Crossland Group (consulting) from 2012 to 2013. She has held a number of senior positions in the asset and wealth management industries, including at Eastern Bank (where her roles included President of Eastern Wealth Management), Thomson Financial (Global Head of Sales for Investment Management), and Putnam Investments (where her roles included Chief Investment Officer, Core and Growth and Head of Global Investment Research). She has served on a number of private company and non-profit boards, and as a director or trustee of the AB Funds since June 2016 and serves as Chair of the Audit Committees of such funds since February 2023.		82	None

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MANAGEMENT OF THE FUND (continued)

NAME, ADDRESS* AND AGE (YEAR FIRST ELECTED**)	PRINCIPAL OCCUPATION(S) DURING PAST FIVE YEARS AND OTHER INFORMATION***	PORTFOLIOS IN AB FUND COMPLEX OVERSEEN BY DIRECTOR		OTHER PUBLIC COMPANY DIRECTORSHIPS CURRENTLY HELD BY DIRECTOR
DISINTERESTED DIRECTORS (continued)
Marshall C. Turner, Jr.,## 82 (2005)	Private Investor since prior to 2018. He was a Director of Xilinx, Inc. (programmable logic semi-conductors and adaptable, intelligent computing) from 2007 through August 2020, and is a former director of 33 other companies and organizations. Former Chairman and CEO of Dupont Photomasks, Inc. (semi-conductor manufacturing equipment) from 2003 through 2006. He has extensive operating leadership and venture capital investing experience, including five interim or full-time CEO roles, and prior service as general partner of institutional venture capital partnerships. He also has extensive non-profit board leadership experience, and currently serves on the board of the George Lucas Educational Foundation. He has served as a director of one AB Fund since 1992, and director or trustee of all the AB Funds since 2005. He has served as both Chairman of the AB Funds and Chairman of the Independent Directors Committees from 2014 through December 2022.		82	None

* The address for each of the Fund’s disinterested Directors is c/o AllianceBernstein L.P., Attention: Legal & Compliance Department-Mutual Fund Legal, 1345 Avenue of the Americas, New York, NY 10105.

** There is no stated term of office for the Fund’s Directors.

*** The information above includes each Director’s principal occupation during the last five years and other information relating to the experience, attributes and skills relevant to each Director’s qualifications to serve as a Director, which led to the conclusion that each Director should serve as a Director for the Fund.

# Mr. Erzan is an “interested person” of the Fund as defined in the “40 Act”, due to his position as a Senior Vice President of the Adviser.

## Member of the Audit Committee, the Governance and Nominating Committee and the Independent Directors Committee.

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MANAGEMENT OF THE FUND (continued)

Officer Information

Certain information concerning the Fund’s Officers is set forth below.

NAME, ADDRESS* AND AGE	PRINCIPAL POSITION(S) HELD WITH FUND	PRINCIPAL OCCUPATION DURING PAST 5 YEARS
Onur Erzan 47	President and Chief Executive Officer	See biography above.
Michael Canter 54	Vice President	Senior Vice President of the Adviser**, with which he has been associated since prior to 2018. He is also Director and Chief Investment Officer - Securitized Assets.
Matthew S. Sheridan 47	Vice President	Senior Vice President of the Adviser,** with which he has been associated since prior to 2018. He is also Director - US Multi-Sector Fixed Income.
Nancy E. Hay 51	Secretary	Senior Vice President and Counsel of the Adviser**, with which she has been associated since prior to 2018 and Assistant Secretary of ABI**.
Michael B. Reyes 47	Senior Vice President	Vice President of the Adviser**, with which has been associated since prior to 2018.
Stephen M. Woetzel 52	Treasurer and Chief Financial Officer	Senior Vice President of ABIS**, with which he has been associated since prior to 2018.
Phyllis J. Clarke 62	Controller	Vice President of ABIS**, with which she has been associated since prior to 2018.
Jennifer Friedland 49	Chief Compliance Officer	Vice President of the Adviser** since 2020 and Mutual Fund Chief Compliance Officer (of all Funds since January 2023 and of the ETF Funds since 2022). Before joining the Adviser** in 2020, she was Chief Compliance Officer at WestEnd Advisors, LLC from prior to 2018 until 2019.

* The address for each of the Fund’s Officers is 1345 Avenue of the Americas, New York, NY 10105.

** The Adviser, ABI and ABIS are affiliates of the Fund.

The Fund’s Statement of Additional Information (“SAI”) has additional information about the Fund’s Directors and Officers and is available without charge upon request. Contact your financial representative or AB at (800) 227-4618, or visit www.abfunds.com, for a free prospectus or SAI.

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Operation and Effectiveness of the Fund’s Liquidity Risk Management Program:

In October 2016, the Securities and Exchange Commission (“SEC”) adopted the open-end fund liquidity rule (the “Liquidity Rule”). In June 2018 the SEC adopted a requirement that funds disclose information about the operation and effectiveness of their Liquidity Risk Management Program (“LRMP”) in their reports to shareholders.

One of the requirements of the Liquidity Rule is for the Fund to designate an Administrator of the Fund’s Liquidity Risk Management Program. The Administrator of the Fund’s LRMP is AllianceBernstein L.P., the Fund’s investment adviser (the “Adviser”). The Adviser has delegated the responsibility to its Liquidity Risk Management Committee (the “Committee”).

Another requirement of the Liquidity Rule is for the Fund’s Board of Directors (the “Fund Board”) to receive an annual written report from the Administrator of the LRMP, which addresses the operation of the Fund’s LRMP and assesses its adequacy and effectiveness. The Adviser provided the Fund Board with such annual report during the first quarter of 2023, which covered the period January 1, 2022 through December 31, 2022 (the “Program Reporting Period”).

The LRMP’s principal objectives include supporting the Fund’s compliance with limits on investments in illiquid assets and mitigating the risk that the Fund will be unable to meet its redemption obligations in a timely manner.

Pursuant to the LRMP, the Fund classifies the liquidity of its portfolio investments into one of the four categories defined by the SEC: Highly Liquid, Moderately Liquid, Less Liquid, and Illiquid. These classifications are reported to the SEC on Form N-PORT.

During the Program Reporting Period, the Committee reviewed whether the Fund’s strategy is appropriate for an open-end structure, incorporating any holdings of less liquid and illiquid assets. If the Fund participated in derivative transactions, the exposure from such transactions were considered in the LRMP.

The Committee also performed an analysis to determine whether the Fund is required to maintain a Highly Liquid Investment Minimum (“HLIM”). The Committee also incorporated the following information when determining the Fund’s reasonably anticipated trading size for purposes of liquidity monitoring: historical net redemption activity, a Fund’s concentration in an issuer, shareholder concentration, investment performance, total net assets, and distribution channels.

The Adviser informed the Fund Board that the Committee believes the Fund’s LRMP is adequately designed, has been implemented as intended,

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and has operated effectively since its inception. No material exceptions have been noted since the implementation of the LRMP. During the Program Reporting Period, liquidity in all markets was challenged due to rising rates and economic uncertainty. However, markets also remained orderly during the Program Reporting Period. There were no liquidity events that impacted the Fund or its ability to timely meet redemptions during the Program Reporting Period.

abfunds.com AB TOTAL RETURN BOND PORTFOLIO    ^|    91

Information Regarding the Review and Approval of the Fund’s Advisory Agreement

The disinterested directors (the “directors”) of AB Bond Fund, Inc. (the “Company”) unanimously approved the continuance of the Company’s Advisory Agreement with the Adviser in respect of AB Total Return Bond Portfolio (the “Fund”) at a meeting held in-person on August 1-2, 2023 (the “Meeting”).

Prior to approval of the continuance of the Advisory Agreement, the directors had requested from the Adviser, and received and evaluated, extensive materials. They reviewed the proposed continuance of the Advisory Agreement with the Adviser and with experienced counsel who are independent of the Adviser, who advised on the relevant legal standards. The directors also reviewed additional materials, including comparative analytical data prepared by the Senior Vice President of the Fund. The directors also discussed the proposed continuance in private sessions with counsel.

The directors considered their knowledge of the nature and quality of the services provided by the Adviser to the Fund gained from their experience as directors or trustees of most of the registered investment companies advised by the Adviser, their overall confidence in the Adviser’s integrity and competence they have gained from that experience, the Adviser’s initiative in identifying and raising potential issues with the directors and its responsiveness, frankness and attention to concerns raised by the directors in the past, including the Adviser’s willingness to consider and implement organizational and operational changes designed to improve investment results and the services provided to the AB Funds. The directors noted that they have four regular meetings each year, at each of which they review extensive materials and information from the Adviser, including information on the investment performance of the Fund and the money market fund advised by the Adviser in which the Fund invests a portion of its assets.

The directors also considered all factors they believed relevant, including the specific matters discussed below. During the course of their deliberations, the directors evaluated, among other things, the reasonableness of the advisory fee. The directors did not identify any particular information that was all-important or controlling, and different directors may have attributed different weights to the various factors. The directors determined that the selection of the Adviser to manage the Fund and the overall arrangements between the Fund and the Adviser, as provided in the Advisory Agreement, including the advisory fee, were fair and reasonable in light of the services performed, expenses incurred and such other

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matters as the directors considered relevant in the exercise of their business judgment. The material factors and conclusions that formed the basis for the directors’ determinations included the following:

Nature, Extent and Quality of Services Provided

The directors considered the scope and quality of services provided by the Adviser under the Advisory Agreement, including the quality of the investment research capabilities of the Adviser and the other resources it has dedicated to performing services for the Fund. The directors noted that the Adviser from time to time reviews the Fund’s investment strategies and from time to time proposes changes intended to improve the Fund’s relative or absolute performance for the directors’ consideration. They also noted the professional experience and qualifications of the Fund’s portfolio management team and other senior personnel of the Adviser. The directors also considered that the Advisory Agreement provides that the Fund will reimburse the Adviser for the cost to it of providing certain clerical, accounting, administrative and other services to the Fund by employees of the Adviser or its affiliates. Requests for these reimbursements are made on a quarterly basis and subject to approval by the directors. Reimbursements, to the extent requested and paid, result in a higher rate of total compensation from the Fund to the Adviser than the fee rate stated in the Advisory Agreement. The directors noted that the methodology used to determine the reimbursement amounts had been reviewed by an independent consultant at the request of the directors. The quality of administrative and other services, including the Adviser’s role in coordinating the activities of the Fund’s other service providers, also was considered. The directors concluded that, overall, they were satisfied with the nature, extent and quality of services provided to the Fund under the Advisory Agreement.

Costs of Services Provided and Profitability

The directors reviewed a schedule of the revenues and expenses and related notes indicating the profitability of the Fund to the Adviser for calendar years 2021 and 2022 that had been prepared with an expense allocation methodology arrived at in consultation with an independent consultant at the requests of the directors. The directors noted the assumptions and methods of allocation used by the Adviser in preparing fund-specific profitability data and understood that there are a number of potentially acceptable allocation methodologies for information of this type. The directors noted that the profitability information reflected all revenues and expenses of the Adviser’s relationship with the Fund, including those relating to its subsidiaries that provide transfer agency and distribution services to the Fund. The directors recognized that it is difficult to make comparisons of the profitability of the Advisory Agreement with the profitability of fund advisory contracts for unaffiliated funds because comparative information is not generally publicly available and is affected by numerous factors. The directors focused on the profitability of the

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Adviser’s relationship with the Fund before taxes and distribution expenses. The directors concluded that the Adviser’s level of profitability from its relationship with the Fund was not unreasonable.

Fall-Out Benefits

The directors considered the other benefits to the Adviser and its affiliates from their relationships with the Fund and the money market fund advised by the Adviser in which the Fund invests, including, but not limited to, benefits relating to 12b-1 fees and sales charges received by the Fund’s principal underwriter (which is a wholly owned subsidiary of the Adviser) in respect of certain classes of the Fund’s shares; and transfer agency fees paid by the Fund to a wholly owned subsidiary of the Adviser. The directors recognized that the Adviser’s profitability would be somewhat lower without these benefits. The directors understood that the Adviser also might derive reputational and other benefits from its association with the Fund.

Investment Results

In addition to the information reviewed by the directors in connection with the Meeting, the directors receive detailed performance information for the Fund at each regular Board meeting during the year.

At the Meeting, the directors reviewed performance information prepared by an independent service provider (the “15(c) service provider”), showing the performance of the Advisor Class shares of the Fund against a group of similar funds (“peer group”) and a larger group of similar funds (“peer universe”), each selected by the 15(c) service provider, and information prepared by the Adviser showing performance of the Advisor Class shares against a broad-based securities market index, in each case for the 1-, 3-, 5- and 10-year periods ended May 31, 2023 and (in the case of comparisons with the broad-based securities market index) for the period from inception. Based on their review, the directors concluded that the Fund’s investment performance was acceptable.

Advisory Fees and Other Expenses

The directors considered the advisory fee rate payable by the Fund to the Adviser and information prepared by the 15(c) service provider concerning advisory fee rates payable by other funds in the same category as the Fund. The directors recognized that it is difficult to make comparisons of advisory fees because there are variations in the services that are included in the fees payable by other funds. The directors compared the Fund’s contractual effective advisory fee rate with a peer group median and noted that it was lower than the median. They also noted that the Adviser’s total rate of compensation, taking into account the administrative expense reimbursement paid to the Adviser in the latest fiscal year, was above the median.

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The directors also considered the Adviser’s fee schedule for other clients utilizing investment strategies similar to those of the Fund. For this purpose, they reviewed the relevant advisory fee information from the Adviser’s Form ADV and in a report from the Fund’s Senior Vice President and noted the differences between the Fund’s fee schedule, on the one hand, and the Adviser’s institutional fee schedule and the schedule of fees charged by the Adviser to any offshore funds and for services to any sub-advised funds utilizing investment strategies similar to those of the Fund, on the other. The directors noted that the Adviser may, in some cases, agree to fee rates with large institutional clients that are lower than those reviewed by the directors and that they had previously discussed with the Adviser its policies in respect of such arrangements. The directors also compared the advisory fee rate for the Fund with that for another fund advised by the Adviser utilizing similar investment strategies.

The Adviser reviewed with the directors the significantly greater scope of the services it provides to the Fund relative to institutional, offshore fund and sub-advised fund clients. In this regard, the Adviser noted, among other things, that, compared to institutional and offshore or sub-advisory accounts, the Fund (i) demands considerably more portfolio management, research and trading resources due to significantly higher daily cash flows; (ii) has more tax and regulatory restrictions and compliance obligations; (iii) must prepare and file or distribute regulatory and other communications about fund operations; and (iv) must provide shareholder servicing to retail investors. The Adviser also reviewed the greater legal risks presented by the large and changing population of Fund shareholders who may assert claims against the Adviser in individual or class actions, and the greater entrepreneurial risk in offering new fund products, which require substantial investment to launch, may not succeed, and generally must be priced to compete with larger, more established funds resulting in lack of profitability to the Adviser until a new fund achieves scale. In light of the substantial differences in services rendered by the Adviser to institutional, offshore fund and sub-advised fund clients as compared to the Fund, and the different risk profile, the directors considered these fee comparisons inapt and did not place significant weight on them in their deliberations.

In connection with their review of the Fund’s advisory fee, the directors also considered the total expense ratio of the Advisor Class shares of the Fund in comparison to the medians for a peer group and a peer universe selected by the 15(c) service provider. The Advisor Class expense ratio of the Fund was based on the Fund’s latest fiscal year and reflected the impact of the Adviser’s expense cap for the Fund. The directors noted that it was likely that the expense ratios of some of the other funds in the Fund’s category were lowered by waivers or reimbursements by those funds’ investment advisers, which in some cases might be voluntary or temporary. The directors view expense ratio information as relevant to their evaluation of the Adviser’s services because the Adviser is responsible for

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coordinating services provided to the Fund by others. The directors noted that the Fund’s expense ratio was in line with the medians. Based on their review, the directors concluded that the Fund’s expense ratio was acceptable.

Economies of Scale

The directors noted that the advisory fee schedule for the Fund contains breakpoints that reduce the fee rates on assets above specified levels. The directors took into consideration prior presentations by an independent consultant on economies of scale in the mutual fund industry and for the AB Funds, and presentations from time to time by the Adviser concerning certain of its views on economies of scale. The directors also had requested and received from the Adviser certain updates on economies of scale in advance of the Meeting. The directors believe that economies of scale may be realized (if at all) by the Adviser across a variety of products and services, and not only in respect of a single fund. The directors noted that there is no established methodology for setting breakpoints that give effect to the fund-specific services provided by a fund’s adviser and to the economies of scale that an adviser may realize in its overall mutual fund business or those components of it which directly or indirectly affect a fund’s operations. The directors observed that in the mutual fund industry as a whole, as well as among funds similar to the Fund, there is no uniformity or pattern in the fees and asset levels at which breakpoints (if any) apply. The directors also noted that the advisory agreements for many funds do not have breakpoints at all. Having taken these factors into account, the directors concluded that the Fund’s shareholders would benefit from a sharing of economies of scale in the event the Fund’s net assets exceed a breakpoint in the future.

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This page is not part of the Shareholder Report or the Financial Statements.

AB FAMILY OF FUNDS

US EQUITY

CORE

Core Opportunities Fund

Select US Equity Portfolio

Sustainable US Thematic Portfolio

GROWTH

Concentrated Growth Fund

Discovery Growth Fund

Growth Fund

Large Cap Growth Fund

Small Cap Growth Portfolio

VALUE

Discovery Value Fund

Equity Income Fund

Relative Value Fund

Small Cap Value Portfolio

Value Fund

INTERNATIONAL/GLOBAL EQUITY

CORE

Global Core Equity Portfolio

International Low Volatility Equity Portfolio¹

Sustainable Global Thematic Fund

Sustainable International Thematic Fund

Tax-Managed Wealth Appreciation Strategy

Wealth Appreciation Strategy

GROWTH

Concentrated International Growth Portfolio

VALUE

All China Equity Portfolio

International Value Fund

FIXED INCOME

MUNICIPAL

High Income Municipal Portfolio

Intermediate California Municipal Portfolio

Intermediate Diversified Municipal Portfolio

Intermediate New York Municipal Portfolio

Municipal Bond Inflation Strategy

Tax-Aware Fixed Income Opportunities Portfolio

National Portfolio

Arizona Portfolio

California Portfolio

Massachusetts Portfolio

Minnesota Portfolio

New Jersey Portfolio

New York Portfolio

Ohio Portfolio

Pennsylvania Portfolio

Virginia Portfolio

TAXABLE

Bond Inflation Strategy

Global Bond Fund

High Income Fund

Income Fund

Intermediate Duration Portfolio

Short Duration High Yield Portfolio¹

Short Duration Income Portfolio

Short Duration Portfolio

Sustainable Thematic Credit Portfolio

Total Return Bond Portfolio

ALTERNATIVES

All Market Real Return Portfolio

Global Real Estate Investment Fund

Select US Long/Short Portfolio

MULTI-ASSET

All Market Total Return Portfolio

Emerging Markets Multi-Asset Portfolio

Global Risk Allocation Fund

Sustainable Thematic Balanced Portfolio

CLOSED-END FUNDS

AllianceBernstein Global High Income Fund

AllianceBernstein National Municipal Income Fund

EXCHANGE-TRADED FUNDS

Disruptors ETF

High Yield ETF

Tax-Aware Short Duration Municipal ETF

Ultra Short Income ETF

US High Dividend ETF

US Large Cap Strategic Equities ETF

US Low Volatility Equity ETF

We also offer Government Money Market Portfolio, which serves as the money market fund exchange vehicle for the AB mutual funds. You could lose money by investing in the Fund. Although the Fund seeks to preserve the value of your investment at $1.00 per share, it cannot guarantee it will do so. The Fund may impose a fee upon sale of your shares or may temporarily suspend your ability to sell shares if the Fund’s liquidity falls below required minimums because of market conditions or other factors. An investment in the Fund is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. The Fund’s sponsor has no legal obligation to provide financial support to the Fund, and you should not expect that the sponsor will provide financial support to the Fund at any time.

Investors should consider the investment objectives, risks, charges and expenses of the Fund carefully before investing. For copies of our prospectus or summary prospectus, which contain this and other information, visit us online at www.abfunds.com or contact your AB representative. Please read the prospectus and/or summary prospectus carefully before investing.

1 Prior to July 5, 2023, International Low Volatility Equity Portfolio was named International Strategic Core Portfolio and Short Duration High Yield Portfolio was named Limited Duration High Income Portfolio.

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NOTES

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NOTES

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NOTES

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AB TOTAL RETURN BOND PORTFOLIO

1345 Avenue of the Americas

New York, NY 10105

800 221 5672

TRB-0151-1023                

ITEM 2. CODE OF ETHICS.

(a) The registrant has adopted a code of ethics that applies to its principal executive officer, principal financial officer and principal accounting officer. A copy of the registrant’s code of ethics is filed herewith as Exhibit 12(a)(1).

(b) During the period covered by this report, no material amendments were made to the provisions of the code of ethics adopted in 2(a) above.

(c) During the period covered by this report, no implicit or explicit waivers to the provisions of the code of ethics adopted in 2(a) above were granted.

ITEM 3. AUDIT COMMITTEE FINANCIAL EXPERT.

The registrant’s Board of Directors has determined that independent directors Garry L. Moody, Marshall C. Turner, Jr., Jorge A. Bermudez and Carol C. McMullen qualify as audit committee financial experts.

ITEM 4. PRINCIPAL ACCOUNTANT FEES AND SERVICES.

(a) - (c) The following table sets forth the aggregate fees billed by the independent registered public accounting firm Ernst & Young LLP, for the Fund’s last two fiscal years for professional services rendered for: (i) the audit of the Fund’s annual financial statements included in the Fund’s annual report to stockholders; (ii) assurance and related services that are reasonably related to the performance of the audit of the Fund’s financial statements and are not reported under (i), which include advice and education related to accounting and auditing issues and quarterly press release review (for those Funds which issue press releases), and preferred stock maintenance testing (for those Funds that issue preferred stock); and (iii) tax compliance, tax advice and tax return preparation.

		Audit Fees		Audit-Related Fees		Tax Fees
AB Total Return Bond Portfolio	2022	$	89,151	$	—	$	18,082
	2023	$	89,151	$	—	$	19,428
AB Bond Inflation Strategy	2022	$	100,902	$	—	$	19,649
	2023	$	100,902	$	—	$	17,428
AB Municipal Bond Inflation Strategy	2022	$	73,009	$	—	$	16,920
	2023	$	73,009	$	—	$	19,400
AB All Market Real Return	2022	$	92,184	$	—	$	43,438
	2023	$	92,184	$	—	$	98,011
AB Short Duration Income	2022	$	43,345	$	—	$	18,858
	2023	$	43,345	$	—	$	17,632
AB Tax Aware Fixed Income	2022	$	37,863	$	—	$	21,391
	2023	$	37,863	$	—	$	23,823
AB Income	2022	$	127,218	$	—	$	28,500
	2023	$	127,218	$	—	$	34,681
AB Sustainable Thematic Credit	2022	$	47,250	$	—	$	15,998
	2023	$	47,250	$	—	$	16,687

(d) Not applicable.

(e) (1) Beginning with audit and non-audit service contracts entered into on or after May 6, 2003, the Fund’s Audit Committee policies and procedures require the pre-approval of all audit and non-audit services provided to the Fund by the Fund’s independent registered public accounting firm. The Fund’s Audit Committee policies and procedures also require pre-approval of all audit and non-audit services provided to the Adviser and Service Affiliates to the extent that these services are directly related to the operations or financial reporting of the Fund.

(e) (2) 100% of the amounts for Audit-Related Fees and Tax Fees in the table under Item 4 (b) and (c) are for services pre-approved by the Fund’s Audit Committee. No amounts are reported for Item 4 (d).

(f) Not applicable.

(g) The following table sets forth the aggregate non-audit services provided to the Fund, the Fund’s Adviser and entities that control, are controlled by or under common control with the Adviser that provide ongoing services to the Fund:

		All Fees for Non-Audit Services Provided to the Portfolio, the Adviser and Service Affiliates		Total Amount of Foregoing Column Pre- approved by the Audit Committee (Portion Comprised of Audit Related Fees) (Portion Comprised of Tax Fees)
AB Total Return Bond Portfolio	2022	$	1,950,540	$	18,082
				$	—
				$	(18,082	)
	2023	$	1,780,458	$	19,428
				$	—
				$	(19,428	)
AB Bond Inflation Strategy	2022	$	1,952,107	$	19,649
				$	—
				$	(19,649	)
	2023	$	1,778,458	$	17,428
				$	—
				$	(17,428	)
AB Municipal Bond Inflation Strategy	2022	$	1,949,378	$	16,920
				$	—
				$	(16,920	)
	2023	$	1,780,430	$	19,400
				$	—
				$	(19,400	)
AB All Market Real Return	2022	$	1,975,896	$	43,438
				$	—
				$	(43,438	)
	2023	$	1,859,041	$	98,011
				$	—
				$	(98,011	)
AB Short Duration Income	2022	$	1,951,316	$	18,858
				$	—
				$	(18,858	)
	2023	$	1,778,662	$	17,632
				$	—
				$	(17,632	)
AB Tax Aware Fixed Income	2022	$	1,953,849	$	21,391
				$	—
				$	(21,391	)
	2023	$	1,784,853	$	23,823
				$	—
				$	(23,823	)
AB Income	2022	$	1,960,958	$	28,500
				$	—
				$	(28,500	)
	2023	$	1,795,711	$	34,681
				$	—
				$	(34,681	)
AB Sustainable Thematic Credit	2022	$	1,948,456	$	15,998
				$	—
				$	(15,998	)
	2023	$	1,777,717	$	16,687
				$	—
				$	(16,687	)

(h) The Audit Committee of the Fund has considered whether the provision of any non-audit services not pre-approved by the Audit Committee provided by the Fund’s independent registered public accounting firm to the Adviser and Service Affiliates is compatible with maintaining the auditor’s independence.

ITEM 5. AUDIT COMMITTEE OF LISTED REGISTRANTS.

Not applicable to the registrant.

ITEM 6. INVESTMENTS.

Please see Schedule of Investments contained in the Report to Shareholders included under Item 1 of this Form N-CSR.

ITEM 7. DISCLOSURE OF PROXY VOTING POLICIES AND PROCEDURES FOR CLOSED-END MANAGEMENT INVESTMENT COMPANIES.

Not applicable to the registrant.

ITEM 8. PORTFOLIO MANAGERS OF CLOSED-END MANAGEMENT INVESTMENT COMPANIES.

Not applicable to the registrant.

ITEM 9. PURCHASES OF EQUITY SECURITIES BY CLOSED-END MANAGEMENT INVESTMENT COMPANY AND AFFILIATED PURCHASERS.

Not applicable to the registrant.

ITEM 10. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS.

There have been no material changes to the procedures by which shareholders may recommend nominees to the Fund’s Board of Directors since the Fund last provided disclosure in response to this item.

ITEM 11. CONTROLS AND PROCEDURES.

(a) The registrant’s principal executive officer and principal financial officer 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) are effective at the reasonable assurance level based on their evaluation of these controls and procedures as of a date within 90 days of the filing date of this document.

(b) There were no changes in the registrant’s internal controls over financial reporting that occurred during the period covered by this report that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting.

ITEM 12. DISCLOSURE OF SECURITIES LENDING ACTIVITIES FOR CLOSED-END MANAGEMENT INVESTMENT COMPANIES.

Not applicable to the registrant.

ITEM 13. EXHIBITS.

The following exhibits are attached to this Form N-CSR:

EXHIBIT NO.	DESCRIPTION OF EXHIBIT
12(a)(1)	Code of Ethics that is subject to the disclosure of Item 2 hereof
12(b)(1)	Certification of Principal Executive Officer Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
12(b)(2)	Certification of Principal Financial Officer Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
12(c)	Certification of Principal Executive Officer and Principal Financial Officer Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002

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): AB Bond Fund, Inc.
By:	/s/ Onur Erzan
	Onur Erzan
	President
Date:	December 29, 2023

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.

By:	/s/ Onur Erzan
	Onur Erzan
	President
Date:	December 29, 2023

By:	/s/ Stephen M. Woetzel
	Stephen M. Woetzel
	Treasurer and Chief Financial Officer
Date:	December 29, 2023