Lord Abbett Global 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: 811-05476

LORD ABBETT GLOBAL FUND, INC.
(Exact name of Registrant as specified in charter)

	90 Hudson Street, Jersey City, NJ 07302
(Address of principal executive offices) (Zip code)
Thomas R. Phillips, Esq., Vice President & Assistant Secretary
	90 Hudson Street, Jersey City, NJ 07302
(Name and address of agent for service)

Registrant’s telephone number, including area code: (800) 201-6984

Date of fiscal year end: 12/31

Date of reporting period: 12/31/2012

Item 1: Report(s) to Shareholders.

2012

L O R D  A B B E T T

A N N U A L

R E P O R T

Lord Abbett

Emerging Markets Currency Fund

Global Allocation Fund

For the fiscal year ended December 31, 2012

Lord Abbett Emerging Markets Currency Fund and
Lord Abbett Global Allocation Fund
Annual Report

For the fiscal year ended December 31, 2012

Dear Shareholders: We are pleased to provide you with this overview of the performance of the Funds for the fiscal year ended December 31, 2012. On this page and the following pages, we discuss the major factors that influenced fiscal year performance. For detailed and more timely information about the Funds, please visit our Website at www.lordabbett.com, where you also can access the quarterly commentaries that provide updates on the Funds’ performance and other portfolio related updates.

          Thank you for investing in Lord Abbett mutual funds. We value the trust that you place in us and look forward to serving your investment needs in the years to come.

Best regards,

Daria L. Foster

Director, President and Chief Executive Officer

Emerging Markets Currency Fund

          For the fiscal year ended December 31, 2012, the Fund returned 10.69%, reflecting performance at the net asset value (NAV) of Class A shares, with all distributions reinvested, compared to its benchmark, the Barclays Global Emerging Markets Strategy Index,¹ which returned 8.51% over the same period.

          Overall, emerging markets currencies performed well during the period, aided by massive amounts of inflows into emerging market bonds. Central banks and governments generally adopted a “hands-off” approach, allowing appreciation of their currencies in response to easy monetary policies. A notable exception was Brazil, whose central bank intervened heavily to weaken its currency. The U.S. Federal Reserve extended “Operation Twist” and initiated third and fourth rounds of quantitative easing, while European Central Bank (ECB) president Mario Draghi pledged to do “whatever it takes” to stabilize the eurozone, followed up with a bond-buying proposal. The resulting liquidity pumped into the markets found its way into many of the emerging market capital markets. Emerging market monetary authorities, in many cases, allowed the currency appreciation occasioned by these inflows and did not respond with aggressive rate cuts, as they remained cautious about inflation and constructive on domestic demand. Currencies in the Latin American and Asian regions generally performed well,

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boosted in many by thriving domestic economies that helped insulate them from slowing exports as a result of sluggish global growth.

          Contributing to relative Fund performance were overweight positions in the Mexican peso, and the Turkish lira. Mexico’s economy benefited from the relative resilience of the United States versus Europe, and China, and from the increased competitiveness of its exports. The Turkish central bank supported its currency in order to contain inflation and dampen volatility. In addition, current account deficits decreased from the previous year, and nine Turkish banks were upgraded to an investment-grade status by Fitch Ratings agency, underpinning confidence in Turkey’s economy.

          Detracting from relative Fund performance was positioning in the euro and Hungarian forint. President Draghi’s supportive statement regarding the survival of the eurozone strengthened the euro and related Central European currencies, leading the Fund’s underweight position in the euro and several of the currencies in that region to detract from relative performance. Draghi’s statement prompted optimism in the global markets and ignited a positive market reaction far greater than we had anticipated. Spanish and Italian bond spreads continued to compress, alleviating pressures to request assistance from the ECB. In addition, an underweight position in Hungary detracted from relative Fund performance. We were not optimistic about negotiations between Hungary and the International Monetary Fund on reaching an agreement, and it was an accurate assumption. However, we expected the currency to be much more negatively affected by this result.

Global Allocation Fund

          For the fiscal year ended December 31, 2012, the Fund returned 15.02%, reflecting performance at the net asset value (NAV) of Class A shares, with all distributions reinvested, compared to its benchmark, the 40% MSCI EAFE Index with Gross Dividends²/25% Russell 1000^® Index³/20% Barclays U.S. Aggregate Bond Index⁴/15% BofA Merrill Lynch High Yield Master II Constrained Index⁵ which returned 14.61% over the same period.

          For the period, domestic and international equities (as represented by the S&P 500^® Index⁶ and the MSCI EAFE Index with Gross Dividends², respectively) outperformed fixed income (as represented by the Barclays U.S. Aggregate Bond Index⁴). Furthermore, international equities outperformed domestic equities. High-yield corporate bonds (as represented by the BofA Merrill Lynch High Yield Master II Constrained Index⁵) outperformed investment-grade corporate bonds (as represented by the Barclays U.S. Credit Bond Index⁷).

          The Fund’s overweight to stocks contributed to relative performance as equities outperformed bonds for the period. The Fund’s underweight in high-yield bonds detracted from the Fund’s relative

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performance, as the high-yield bond category outperformed for the period.

          Despite the emerging market currency strategy’s underperformance versus the Fund’s index the underlying strategy’s outperformance versus its index aided performance. Within this asset class, contributing to performance relative to its index, were overweight positions in the Mexican peso and Turkish lira. Although a mid cap value equity strategy outperformed the Fund’s index, the underlying strategy’s underperformance versus its index and the Russell 1000 index, which represents the domestic equity portion of the Fund’s benchmark, hurt performance for the period. Compared to this asset class’s index, stock selection within the energy and industrials sectors detracted from performance.

          Each Fund’s portfolio is actively managed and, therefore, its holdings and the weightings of a particular issuer or particular sector as a percentage of portfolio assets are subject to change. Sectors may include many industries.

¹ The Barclays Global Emerging Market Strategy (GEMS) Index is based on investing in 1-month synthetic money market deposits across 15 diversified Emerging Market currencies.

² The MSCI EAFE Index with Gross Dividends approximates the maximum possible dividend reinvestment. The amount reinvested is the entire dividend distributed to individuals resident in the country of the company, but does not include tax credits.

³ The Russell 1000^® Index measures the performance of the 1,000 largest companies in the Russell 3000 Index, which represents approximately 90% of the total market capitalization of the Russell 3000 Index.

⁴ The Barclays U.S. Aggregate Bond Index is an unmanaged index composed of securities from the Barclays Government/Corporate Bond Index, Mortgage-Backed Securities Index and the Asset-Backed Securities Index. Total return comprises price appreciation/depreciation and income as a percentage of the original investment. Indexes are rebalanced monthly by market capitalization.

⁵ The BofA Merrill Lynch High Yield Master II Constrained Index is a market value-weighted index of all domestic and Yankee high-yield bonds, including deferred interest bonds and payment-in-kind securities. Issues included in the index have maturities of one year or more and have a credit rating lower than BB-/Baa3, but are not in default. The BofA Merrill Lynch U.S. High Yield Master II Constrained Index limits any individual issuer to a maximum of 2% benchmark exposure.

⁶ The S&P 500^® Index is widely regarded as the standard for measuring large cap U.S. stock market performance and includes a representative sample of leading companies in leading industries.

⁷ The Barclays U.S. Credit Bond Index is composed of all publicly issued, fixed-rate, nonconvertible, and investment-grade corporate debt. Issues are rated at least Baa by Moody’s or BBB by Standard & Poor’s, if unrated by Moody’s. Collateralized mortgage obligations (CMOs) are not included. Total return comprises price appreciation/depreciation and income as a percentage of the original investment.

Unless otherwise specified, indexes reflect total return, with all dividends reinvested. Indexes are unmanaged, do not reflect the deduction of fees or expenses, and are not available for direct investment.

Important Performance and Other Information Performance data quoted in the following pages reflect past performance and are no guarantee of future results. Current performance may be higher or lower than the performance quoted. The investment return and principal value of an investment in the Funds will fluctuate so that shares, on any given day or when redeemed, may be worth more or less than their original cost. You can obtain performance data current to the most recent month end by calling Lord Abbett at 888–522–2388 or referring to www.lordabbett.com.

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Except where noted, comparative Fund performance does not account for the deduction of sales charges and would be different if sales charges were included. The Funds offer several classes of shares with distinct pricing options. For a full description of the differences in pricing alternatives, please see each Fund’s prospectus.

During certain periods shown, expense waivers and reimbursements were in place. Without such expense waivers and reimbursements, the Funds’ returns would have been lower.

The views of the Funds’ management and the portfolio holdings described above are as of December 31, 2012; these views and portfolio holdings may have changed subsequent to this date, and they do not guarantee the future performance of the markets or the Funds. Information provided in this report should not be considered a recommendation to purchase or sell securities.

A Note about Risk: See Notes to Financial Statements for a discussion of investment risks. For a more detailed discussion of the risks associated with the Funds, please see the Funds’ prospectus.

Mutual funds are not insured by the FDIC, are not deposits or other obligations of, or guaranteed by, banks, and are subject to investment risks including possible loss of principal amount invested.

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Emerging Markets Currency Fund

Investment Comparison

Below is a comparison of a $10,000 investment in Class A shares with the same investment in the JPMorgan Emerging Local Markets Index Plus and the Barclays Global Emerging Markets Strategy Index, assuming reinvestment of all dividends and distributions. Because the Fund believes that the Barclays Global Emerging Markets Strategy Index is more accurately reflective of the Fund’s investment strategies than the JPMorgan Emerging Local Markets Index Plus, the Fund is adding the Barclays Global Emerging Markets Strategy Index to this annual report and will delete the JPMorgan Emerging Local Markets Index Plus from its next annual report. The performance of the other classes will be greater than or less than the performance shown in the graph below due to different sales loads and expenses applicable to such classes. The graph and performance table below do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. During certain periods, expenses of the Fund have been waived or reimbursed by Lord Abbett; without such waiver or reimbursement of expenses, the Fund’s returns would have been lower. Past performance is no guarantee of future results.

Average Annual Total Returns at Maximum Applicable
Sales Charge for the Periods Ended December 31, 2012

	1 Year	5 Years	10 Years	Life of Class
Class A3	8.23%	2.74%	4.14%	–
Class B4	4.79%	2.13%	3.84%	–
Class C5	8.91%	2.53%	3.72%	–
Class F6	10.63%	3.37%	–	3.89%
Class I7	10.75%	3.49%	–	3.83%
Class P8	10.27%	3.07%	4.22%	–
Class R29	10.24%	2.98%	–	3.50%
Class R310	10.23%	2.99%	–	3.52%

¹ Reflects the deduction of the maximum initial sales charge of 2.25%.

² Performance of the unmanaged index does not reflect any fees or expenses. The performance of the index is not necessarily representative of the Fund’s performance.

³ Total return, which is the percentage change in net asset value, after deduction of the maximum initial sales charge of 2.25% applicable to Class A shares, with all dividends and distributions reinvested for the periods shown ending December 31, 2012, is calculated using the SEC-required uniform method to compute such return.

⁴ Performance reflects the deduction of a CDSC of 5% for 1 year, 2% for 5 years and 0% for 10 years. Class B shares automatically convert to Class A shares after approximately 8 years. (There is no initial sales charge for automatic conversions.) All returns for periods greater than 8 years reflect this conversion.

⁵ The 1% CDSC for Class C shares normally applies before the first anniversary of the purchase date. Performance for other periods is at net asset value.

⁶ Class F shares commenced operations and performance for the Class began on September 28, 2007. Performance is at net asset value.

⁷ Class I shares commenced operations and performance for the Class began on October 19, 2004. Performance is at net asset value.

⁸ Performance is at net asset value.

⁹ Class R2 shares commenced operations and performance for the Class began on September 28, 2007. Performance is at net asset value.

¹⁰ Class R3 shares commenced operations and performance for the Class began on September 28, 2007. Performance is at net asset value.

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Global Allocation Fund

Investment Comparison

Below is a comparison of a $10,000 investment in Class A shares with the same investment in the MSCI World Index with Gross Dividends, MSCI World Index with Net Dividends, 40% MSCI EAFE Index with Gross Dividends/25% Russell 1000^® Total Return Index/20% Barclays U.S. Aggregate Bond Index/15% BofA Merrill Lynch High Yield Master II Constrained Index and Lipper Global Flexible Portfolio Average, assuming reinvestment of all dividends and distributions. The MSCI World Index with Net Dividends reflects a reduction in dividends after taking into account withholding of taxes by certain foreign countries represented in such index. Because the Fund believes that the 40% MSCI EAFE Index with Gross Dividends/25% Russell 1000 Total Return Index/20% Barclays U.S. Aggregate Bond Index/15% BofA Merrill Lynch High Yield Master II Constrained Index and Lipper Global Flexible Portfolio Average are more accurately reflective of the Fund’s investment strategies than the MSCI World Index with Gross Dividends and the MSCI World Index with Net Dividends, the Fund is adding the 40% MSCI EAFE Index with Gross Dividends/25% Russell 1000 Total Return Index/20% Barclays U.S. Aggregate Bond Index/15% BofA Merrill Lynch High Yield Master II Constrained Index and Lipper Global Flexible Portfolio Average to this annual report and will delete the MSCI World Index with Gross Dividends and MSCI World Index with Net Dividends from its next annual report. The performance of the other classes will be greater than or less than the performance shown in the graph below due to different sales loads and expenses applicable to such classes. The graph and performance table below do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. During certain periods, expenses of the Fund have been waived or reimbursed by Lord Abbett and reimbursed by the Underlying Funds; without such waiver or reimbursement of expenses, the Fund’s returns would have been lower. Past performance is no guarantee of future results.

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Average Annual Total Returns at Maximum Applicable
Sales Charge for the Periods Ended December 31, 2012

	1 Year	5 Years	10 Years	Life of Class
Class A3	8.38%	-0.59%	6.98%	–
Class B4	9.24%	-0.41%	7.07%	–
Class C5	13.17%	-0.07%	6.92%	–
Class F6	15.28%	0.84%	–	0.48%
Class I7	15.42%	0.92%	–	6.59%
Class R28	14.71%	–	–	3.48%
Class R39	14.81%	–	–	3.31%

¹ Reflects the deduction of the maximum initial sales charge of 5.75%.

² Performance of each unmanaged index does not reflect any fees or expenses. The performance of each index is not necessarily representative of the Fund’s performance.

³ Total return, which is the percentage change in net asset value, after deduction of the maximum initial sales charge of 5.75% applicable to Class A shares, with all distributions reinvested for the periods shown ending December 31, 2012, is calculated using the SEC-required uniform method to compute such return.

⁴ Performance reflects the deduction of a CDSC of 5% for 1 year, 2% for 5 years and 0% for 10 years. Class B shares automatically convert to Class A shares after approximately 8 years. (There is no initial sales charge for automatic conversions.) All returns for periods greater than 8 years reflect this conversion.

⁵ The 1% CDSC for Class C shares normally applies before the first anniversary of the purchase date. Performance for other periods is at net asset value.

⁶ Class F shares commenced operations and performance for the Class began on September 28, 2007. Performance is at net asset value.

⁷ Class I shares commenced operations and performance for the Class began on October 19, 2004. Performance is at net asset value.

⁸ Class R2 shares commenced operations on June 23, 2008 and performance for the Class began on June 30, 2008. Performance is at net asset value.

⁹ Class R3 shares commenced operations on June 23, 2008 and performance for the Class began on June 30, 2008. Performance is at net asset value.

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Expense Example

          As a shareholder of a Fund, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments (these charges vary among the share classes); and (2) ongoing costs, including management fees; distribution and service (12b-1) fees (these charges vary among the share classes); and other Fund expenses. This Example is intended to help you understand your ongoing costs (in dollars) of investing in each 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 (July 1, 2012 through December 31, 2012).

Actual Expenses

          For each class of each Fund, the first line of the table on the following pages 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 7/1/12 – 12/31/12” to estimate the expenses you paid on your account during this period.

Hypothetical Example for Comparison Purposes

          For each class of each Fund, the second line of the table on the following pages provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year 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 each Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.

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Emerging Markets Currency Fund

          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). Therefore, the second line of the table 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.

	Beginning Account Value		Ending Account Value	Expenses Paid During Period†
	7/1/12		12/31/12	7/1/12 - 12/31/12
Class A
Actual		$1,000.00	$1,056.50	$5.22
Hypothetical (5% Return Before Expenses)		$1,000.00	$1,020.06	$5.13
Class B
Actual		$1,000.00	$1,052.10	$9.34
Hypothetical (5% Return Before Expenses)		$1,000.00	$1,016.07	$9.17
Class C
Actual		$1,000.00	$1,054.40	$8.57
Hypothetical (5% Return Before Expenses)		$1,000.00	$1,016.77	$8.42
Class F
Actual		$1,000.00	$1,057.00	$4.71
Hypothetical (5% Return Before Expenses)		$1,000.00	$1,020.57	$4.62
Class I
Actual		$1,000.00	$1,057.60	$4.19
Hypothetical (5% Return Before Expenses)		$1,000.00	$1,021.07	$4.12
Class P
Actual		$1,000.00	$1,055.20	$6.46
Hypothetical (5% Return Before Expenses)		$1,000.00	$1,018.87	$6.34
Class R2
Actual		$1,000.00	$1,054.30	$7.28
Hypothetical (5% Return Before Expenses)		$1,000.00	$1,018.06	$7.15
Class R3
Actual		$1,000.00	$1,055.10	$6.77
Hypothetical (5% Return Before Expenses)		$1,000.00	$1,018.62	$6.65

^† For each class of the Fund, net expenses are equal to the annualized expense ratio for such class (1.01% for Class A, 1.81% for Class B, 1.66% for Class C, 0.91% for Class F, 0.81% for Class I, 1.25% for Class P, 1.41% for Class R2 and 1.31% for Class R3) multiplied by the average account value over the period, multiplied by 184/366 (to reflect one-half year period).

Portfolio Holdings Presented by Sector

December 31, 2012

Sector*	%**
Asset-Backed		10.09%
Automotive		1.34%
Banking		6.80%
Basic Industry		2.64%
Capital Goods		1.26%
Consumer Cyclical		2.16%
Consumer Non-Cyclical		2.14%
Energy		7.14%
Financial Services		4.14%
Foreign Government		6.54%

Sector*	%**
Health Care		1.80%
Insurance		0.57%
Media		2.57%
Mortgage-Backed		37.67%
Real Estate		2.13%
Services		0.75%
Technology & Electronics		2.38%
Telecommunications		2.51%
Utility		1.47%
Short-Term Investment		3.90%
Total		100.00%

*	A sector may comprise several industries.
**	Represents percent of total investments.

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Global Allocation Fund

          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). Therefore, the second line of the table 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.

	Beginning Account Value		Ending Account Value	Expenses Paid During Period†#
	7/1/12		12/31/12	7/1/12 - 12/31/12
Class A
Actual		$1,000.00	$1,104.80	$1.59
Hypothetical (5% Return Before Expenses)		$1,000.00	$1,023.63	$1.53
Class B
Actual		$1,000.00	$1,101.30	$5.49
Hypothetical (5% Return Before Expenses)		$1,000.00	$1,019.89	$5.28
Class C
Actual		$1,000.00	$1,100.40	$5.49
Hypothetical (5% Return Before Expenses)		$1,000.00	$1,019.89	$5.28
Class F
Actual		$1,000.00	$1,105.60	$0.79
Hypothetical (5% Return Before Expenses)		$1,000.00	$1,024.38	$0.76
Class I
Actual		$1,000.00	$1,106.60	$0.26
Hypothetical (5% Return Before Expenses)		$1,000.00	$1,024.89	$0.25
Class R2
Actual		$1,000.00	$1,103.50	$3.01
Hypothetical (5% Return Before Expenses)		$1,000.00	$1,022.25	$2.90
Class R3
Actual		$1,000.00	$1,104.20	$2.75
Hypothetical (5% Return Before Expenses)		$1,000.00	$1,022.51	$2.64

†	For each class of the Fund, net expenses are equal to the annualized expense ratio for such class (0.30% for Class A, 1.04% for Classes B and C, 0.15% for Class F, 0.05% for Class I, 0.57% for Class R2 and 0.52% for Class R3) multiplied by the average account value over the period, multiplied by 184/366 (to reflect one-half year period).
#	Does not include expenses of Underlying Funds in which Global Allocation Fund invests.

Portfolio Holdings Presented by Portfolio Allocation

December 31, 2012

Underlying Fund Name	%*
Lord Abbett Affiliated Fund, Inc.-Class I		0.96%
Lord Abbett Equity Trust-Calibrated Large Cap Value Fund-Class I		0.50%
Lord Abbett Equity Trust-Calibrated Mid Cap Value Fund-Class I		6.41%
Lord Abbett Global Fund, Inc.-Emerging Markets Currency Fund-Class I		18.88%
Lord Abbett Investment Trust-High Yield Fund-Class I		10.65%
Lord Abbett Securities Trust-International Dividend Income Fund-Class I		43.52%
Lord Abbett Mid Cap Stock Fund, Inc. (formerly, Mid-Cap Value Fund, Inc.)-Class I		19.08%
		100.00%

* Represents percent of total investments.

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Schedule of Investments

EMERGING MARKETS CURRENCY FUND December 31, 2012

Investments	Interest Rate	Maturity Date	Modified Duration (unaudited)~	Principal Amount (000)		Fair Value
ASSET-BACKED SECURITIES 10.24%
Automobiles 4.85%
Ally Auto Receivables Trust 2011–5 A2	0.80%	6/16/2014	0.21	$	413	$	413,594
Ally Auto Receivables Trust 2012–1 A2	0.71%	9/15/2014	0.33		677		678,258
Ally Auto Receivables Trust 2012–5 A3	0.62%	3/15/2017	2.22		1,020		1,021,310
AmeriCredit Automobile Receivables Trust 2011–2 A2	0.90%	9/8/2014	0.01		45		44,743
AmeriCredit Automobile Receivables Trust 2011–3 A2	0.84%	11/10/2014	0.11		150		149,679
AmeriCredit Automobile Receivables Trust 2011–4 A2	0.92%	3/9/2015	0.25		352		352,231
AmeriCredit Automobile Receivables Trust 2011–5 A2	1.19%	8/8/2015	0.40		414		415,446
AmeriCredit Automobile Receivables Trust 2012–1 A2	0.91%	10/8/2015	0.51		746		748,368
AmeriCredit Automobile Receivables Trust 2012–3 A2	0.71%	12/8/2015	0.67		595		596,073
AmeriCredit Automobile Receivables Trust 2012–4 A3	0.67%	6/8/2017	2.01		625		625,488
Bank of America Auto Trust 2012–1 A2	0.59%	11/17/2014	0.35		824		824,796
CarMax Auto Owner Trust 2011–1 A3	1.29%	9/15/2015	0.52		600		602,873
CarMax Auto Owner Trust 2011–2 A2	0.68%	9/15/2014	0.15		407		406,976
CarMax Auto Owner Trust 2011–3 A2	0.70%	11/17/2014	0.23		588		588,923
CarMax Auto Owner Trust 2012–1 A2	0.59%	3/16/2015	0.38		607		608,083
Ford Credit Auto Lease Trust 2011-A A2	0.74%	9/15/2013	0.17		236		236,131
Ford Credit Auto Lease Trust 2012-A A2	0.63%	4/15/2014	0.45		663		663,708
Ford Credit Auto Owner Trust 2012-A A2	0.62%	9/15/2014	0.21		130		130,427
Harley-Davidson Motorcycle Trust 2011–2 A2	0.71%	5/15/2015	0.29		371		371,819
Huntington Auto Trust 2012–1 A2	0.54%	11/17/2014	0.37		849		849,465
Huntington Auto Trust 2012–2 A3	0.51%	4/17/2017	2.21		1,880		1,880,055
Hyundai Auto Lease Securitization Trust 2012-A A3†	0.92%	8/17/2015	1.02		1,100		1,106,621
Hyundai Auto Receivables Trust 2012-C A3	0.53%	4/17/2017	2.20		950		950,475
Mercedes-Benz Auto Lease Trust 2012-A A2	0.66%	4/15/2014	0.37		634		634,970
Nissan Auto Receivables Owner Trust 2012-A A2	0.54%	10/15/2014	0.45		533		532,915
Santander Drive Auto Receivables Trust 2010-A A3†	1.83%	11/17/2014	0.49		226		227,528

See Notes to Financial Statements. 11

Schedule of Investments (continued)

EMERGING MARKETS CURRENCY FUND December 31, 2012

Investments	Interest Rate		Maturity Date	Modified Duration (unaudited)~	Principal Amount (000)		Fair Value
Automobiles (continued)
Santander Drive Auto Receivables Trust 2011–1 A2	0.94%		2/18/2014	0.03	$	79	$	78,611
Santander Drive Auto Receivables Trust 2011–2 A2	1.04%		4/15/2014	0.10		172		172,621
Santander Drive Auto Receivables Trust 2011–4 A2	1.37%		3/16/2015	0.36		292		293,282
Santander Drive Auto Receivables Trust 2012–2 A2	0.91%		5/15/2015	0.53		1,171		1,174,039
Santander Drive Auto Receivables Trust 2012–3 A2	0.83%		4/15/2015	0.54		356		356,465
Santander Drive Auto Receivables Trust 2012–4 A2	0.79%		8/17/2015	0.58		685		686,453
Santander Drive Auto Receivables Trust 2012–6 A3	0.62%		7/15/2016	1.51		910		910,399
Volkswagen Auto Lease Trust 2012-A A3	0.87%		7/20/2015	1.61		360		362,110
Volkswagen Auto Loan Enhanced Trust 2012–2 A3	0.46%		1/20/2017	2.07		2,050		2,049,916
Total								21,744,851
Credit Cards 2.45%
Bank of America Credit Card Trust 2008-B1	1.709%	#	6/15/2015	0.03		300		300,152
Bank One Issuance Trust 2003-A4	0.459%	#	1/15/2016	0.03		425		425,399
Bank One Issuance Trust 2003-A8	0.459%	#	5/16/2016	0.03		1,200		1,201,897
Capital One Multi-Asset Execution Trust 2006-A5	0.269%	#	1/15/2016	0.03		400		400,002
Chase Issuance Trust 2004-A8	0.329%	#	9/15/2015	0.03		500		500,027
Chase Issuance Trust 2008-A4	4.65%		3/15/2015	0.20		1,100		1,109,802
Chase Issuance Trust 2011-A2	0.299%	#	5/15/2015	0.03		300		300,079
Chase Issuance Trust 2012-A6 A	0.339%	#	8/15/2017	0.03		850		851,089
Citibank Omni Master Trust 2009-A14A†	2.959%	#	8/15/2018	0.06		1,675		1,743,105
Discover Card Master Trust 2008-A4	5.65%		12/15/2015	0.44		1,400		1,434,040
Discover Card Master Trust I 2010-A1	0.859%	#	9/15/2015	0.03		1,000		1,001,122
Discover Card Master Trust I 2011-A2	0.419%	#	11/16/2015	0.03		300		300,214
MBNA Credit Card Master Note Trust 2005-A10	0.269%	#	11/16/2015	0.03		295		295,059
World Financial Network Credit Card Master Trust 2006-A†	0.339%	#	2/15/2017	0.03		1,100		1,099,870
Total								10,961,857

12 See Notes to Financial Statements.

Schedule of Investments (continued)

EMERGING MARKETS CURRENCY FUND December 31, 2012

Investments	Interest Rate		Maturity Date	Modified Duration (unaudited)~	Principal Amount (000)		Fair Value
Home Equity 0.01%
Option One Mortgage Loan Trust 2007-FXD2 2A1	5.90%		3/25/2037	0.27	$	36	$	35,139
Other 2.93%
HLSS Servicer Advance Receivables Backed Notes 2012-T2 A2†	1.99%		10/15/2045	2.69		750		762,697
Nelnet Student Loan Trust 2010–3A A†	1.095%	#	7/27/2048	0.09		286		288,497
Nelnet Student Loan Trust 2010–4A A†	1.01%	#	4/25/2046	-0.01		914		921,379
SLM Student Loan Trust 2005-A A2	0.448%	#	12/15/2020	0.18		840		831,773
SLM Student Loan Trust 2007–2 A2	0.315%	#	7/25/2017	0.06		915		913,718
SLM Student Loan Trust 2007–7 A2(a)	0.515%	#	1/25/2016	0.06		648		648,308
SLM Student Loan Trust 2010-A 2A†	3.459%	#	5/16/2044	0.13		2,113		2,228,469
SLM Student Loan Trust 2010-B A1†	2.129%	#	8/15/2016	0.03		37		36,993
SLM Student Loan Trust 2010-C A1†	1.859%	#	12/15/2017	0.03		549		551,585
SLM Student Loan Trust 2011–1 A1	0.73%	#	3/25/2026	0.09		1,155		1,163,516
SLM Student Loan Trust 2011-A A1†	1.209%	#	10/15/2024	0.04		927		931,318
SLM Student Loan Trust 2011-B A1†	1.059%	#	12/16/2024	0.03		1,203		1,205,623
SLM Student Loan Trust 2011-C A1†	1.609%	#	12/15/2023	0.04		504		508,878
SLM Student Loan Trust 2012-A A1†	1.609%	#	8/15/2025	0.05		811		822,144
SLM Student Loan Trust 2012-C A1†	1.309%	#	8/15/2023	0.04		845		852,497
SLM Student Loan Trust 2012-E A1†	0.959%	#	10/16/2023	0.04		441		442,925
Total								13,110,320
Total Asset-Backed Securities (cost $45,796,051)								45,852,167
CORPORATE BONDS 38.99%
Auto Loans 0.73%
Ford Motor Credit Co. LLC	7.00%		10/1/2013	0.72		1,500		1,571,400
Ford Motor Credit Co. LLC	8.70%		10/1/2014	1.62		1,500		1,687,473
Total								3,258,873
Auto Parts & Equipment 0.12%
Delphi Corp.	5.875%		5/15/2019	1.30		500		538,750
Automakers 0.22%
Daimler Finance North America LLC†	1.51%	#	9/13/2013	0.19		1,000		1,005,773
Banking 7.07%
Abbey National Treasury Services plc (United Kingdom)(b)	1.893%	#	4/25/2014	1.31		500		499,017
Abbey National Treasury Services plc (United Kingdom)(b)	2.875%		4/25/2014	1.28		500		510,613

See Notes to Financial Statements. 13

Schedule of Investments (continued)

EMERGING MARKETS CURRENCY FUND December 31, 2012

Investments	Interest Rate		Maturity Date	Modified Duration (unaudited)~	Principal Amount (000)		Fair Value
Banking (continued)
AmSouth Bank	4.85%		4/1/2013	0.24	$	500	$	506,875
Associated Banc-Corp	1.875%		3/12/2014	1.08		1,000		1,000,422
Banco Bradesco SA†	3.125%		4/22/2013	0.31		300		302,250
Bank of America Corp.	4.875%		1/15/2013	0.03		1,000		1,001,350
Bank of America Corp.	4.90%		5/1/2013	0.32		200		202,745
Bank of Nova Scotia (Canada)†(b)	2.15%		8/3/2016	3.44		890		935,219
Canadian Imperial Bank of Commerce (Canada)†(b)	2.00%		2/4/2013	0.09		1,000		1,001,422
Caribbean Development Bank†	0.621%	#	7/19/2013	0.55		1,000		1,001,219
Central American Bank for Economic Integration (Honduras)†(b)	6.75%		4/15/2013	0.29		515		523,837
Citigroup, Inc.	5.50%		4/11/2013	0.27		4,000		4,041,488
Citigroup, Inc.	6.00%		12/13/2013	0.92		333		349,019
Commonwealth Bank of Australia (Australia)†(b)	2.70%		11/25/2014	1.86		610		635,757
Compagnie de Financement Foncier SA (France)†(b)	1.071%	#	4/17/2014	1.30		1,300		1,287,993
Compagnie de Financement Foncier SA (France)†(b)	2.125%		4/22/2013	0.31		1,100		1,105,033
Credit Suisse AG (Guernsey)†(b)	1.625%		3/6/2015	2.13		800		816,190
DnB NOR Boligkreditt AS (Norway)†(b)	2.10%		10/14/2016	2.70		1,280		1,328,070
Goldman Sachs Group, Inc. (The)	1.312%	#	2/7/2014	0.10		1,000		1,003,194
JPMorgan Chase & Co.	1.058%	#	5/2/2014	0.20		1,000		1,007,191
JPMorgan Chase & Co.	1.061%	#	9/30/2013	0.23		2,000		2,010,732
JPMorgan Chase & Co.	1.359%	#	3/20/2015	0.21		2,000		2,023,450
JPMorgan Chase & Co.	5.75%		1/2/2013	0.00		500		500,000
Merrill Lynch & Co., Inc.	5.45%		2/5/2013	0.09		1,500		1,506,546
Merrill Lynch & Co., Inc.	6.15%		4/25/2013	0.31		500		508,067
Morgan Stanley	1.916%	#	1/24/2014	0.06		750		755,034
Royal Bank of Canada (Canada)(b)	1.20%		9/19/2017	4.56		1,670		1,675,922
Sparebank 1 Boligkreditt AS (Norway)†(b)	2.30%		6/30/2018	4.28		1,280		1,337,535
Westpac Banking Corp. (Australia)†(b)	2.90%		9/10/2014	1.65		1,680		1,749,654
Zions Bancorporation	7.75%		9/23/2014	1.60		500		546,301
Total								31,672,145
Beverages 0.40%
Beam, Inc.	6.375%		6/15/2014	1.40		1,550		1,671,359
SABMiller plc (United Kingdom)†(b)(c)	5.50%		8/15/2013	0.60		100		102,832
Total								1,774,191

14 See Notes to Financial Statements.

Schedule of Investments (continued)

EMERGING MARKETS CURRENCY FUND December 31, 2012

Investments	Interest Rate		Maturity Date	Modified Duration (unaudited)~	Principal Amount (000)		Fair Value
Building Materials 0.35%
CRH America, Inc.	5.30%		10/15/2013	0.76	$	1,522	$	1,572,579
Chemicals 1.30%
Airgas, Inc.	2.85%		10/1/2013	0.73		2,500		2,541,932
Airgas, Inc.	7.125%		10/1/2018	0.72		500		533,861
Cabot Finance BV (Netherlands)†(b)	5.25%		9/1/2013	0.65		500		513,613
PPG Industries, Inc.	5.75%		3/15/2013	0.20		665		671,925
Yara International ASA (Norway)†(b)	5.25%		12/15/2014	1.87		1,435		1,543,320
Total								5,804,651
Computer Hardware 1.23%
Hewlett-Packard Co.	1.25%		9/13/2013	0.68		1,500		1,500,242
Hewlett-Packard Co.	1.859%	#	9/19/2014	0.20		1,000		991,249
Hewlett-Packard Co.	4.50%		3/1/2013	0.16		2,250		2,262,073
Seagate Technology International†	10.00%		5/1/2014	1.24		715		773,094
Total								5,526,658
Consumer/Commercial/Lease Financing 3.54%
General Electric Capital Corp.	0.449%	#	6/20/2014	0.21		1,089		1,084,440
General Electric Capital Corp.	0.911%		12/11/2015	0.18		2,000		2,003,776
General Electric Capital Corp.	1.016%	#	4/24/2014	0.06		2,000		2,015,210
General Electric Capital Corp.	5.40%		9/20/2013	0.70		6,525		6,758,334
HSBC Finance Corp.	5.25%		1/15/2014	0.99		1,000		1,042,774
Nordea Eiendomskreditt AS (Norway)†(b)	2.125%		9/22/2016	3.57		940		981,549
SLM Corp.	5.00%		6/15/2018	0.44		250		252,199
SLM Corp.	5.00%		10/1/2013	0.73		700		720,125
SLM Corp.	5.375%		1/15/2013	0.03		1,000		1,002,494
Total								15,860,901
Consumer Products 0.23%
Avon Products, Inc.	4.80%		3/1/2013	0.16		1,015		1,020,427
Diversified Capital Goods 1.01%
Ingersoll-Rand Global Holding Co., Ltd.	6.00%		8/15/2013	0.61		1,000		1,033,587
Ingersoll-Rand Global Holding Co., Ltd.	9.50%		4/15/2014	1.21		1,750		1,937,334
Smiths Group plc (United Kingdom)†(b)	6.05%		5/15/2014	1.31		1,500		1,577,367
Total								4,548,288
Electric: Generation 0.18%
TransAlta Corp. (Canada)(b)	5.75%		12/15/2013	0.94		780		812,538

See Notes to Financial Statements. 15

Schedule of Investments (continued)

EMERGING MARKETS CURRENCY FUND December 31, 2012

Investments	Interest Rate		Maturity Date	Modified Duration (unaudited)~	Principal Amount (000)		Fair Value
Electric: Integrated 1.28%
Black Hills Corp.	9.00%		5/15/2014	1.29	$	500	$	550,697
Duquesne Light Holdings, Inc.	5.50%		8/15/2015	2.40		500		542,039
Great Plains Energy, Inc.	2.75%		8/15/2013	0.60		1,000		1,010,521
Metropolitan Edison Co.	4.95%		3/15/2013	0.20		1,000		1,008,420
Monongahela Power Co., Inc.†	7.95%		12/15/2013	0.93		1,500		1,599,456
National Fuel Gas Co.	5.25%		3/1/2013	0.16		1,000		1,007,444
Total								5,718,577
Electronics 0.26%
Maxim Integrated Products, Inc.	3.45%		6/14/2013	0.44		1,150		1,164,944
Energy: Exploration & Production 1.38%
Anadarko Petroleum Corp.	7.625%		3/15/2014	1.14		1,750		1,881,626
GlobalSantaFe Corp.	5.00%		2/15/2013	0.12		700		703,372
Noble Energy, Inc.	5.25%		4/15/2014	1.24		435		455,784
Petrohawk Energy Corp.	7.875%		6/1/2015	0.08		500		522,353
Petrohawk Energy Corp.	10.50%		8/1/2014	0.08		1,500		1,598,080
Woodside Finance Ltd. (Australia)†(b)	5.00%		11/15/2013	0.86		1,000		1,033,322
Total								6,194,537
Food & Drug Retailers 0.45%
Safeway, Inc.	1.811%	#	12/12/2013	0.19		2,000		2,001,086
Food: Wholesale 1.02%
Mondelez International, Inc.	6.00%		2/11/2013	0.10		2,500		2,513,752
Wm. Wrigley Jr. Co.†	3.70%		6/30/2014	1.45		2,000		2,070,802
Total								4,584,554
Gaming 0.07%
Seminole Indian Tribe of Florida†	7.75%		10/1/2017	0.71		300		325,875
Gas Distribution 3.23%
Buckeye Partners LP	4.625%		7/15/2013	0.51		1,500		1,520,967
DCP Midstream LLC†	9.70%		12/1/2013	0.88		500		538,756
Energy Transfer Partners LP	5.95%		2/1/2015	1.93		1,000		1,096,394
Energy Transfer Partners LP	6.00%		7/1/2013	0.49		3,300		3,378,632
Enterprise Products Operating LLC	6.125%		2/1/2013	0.08		1,600		1,605,898
NiSource Finance Corp.	6.15%		3/1/2013	0.16		2,500		2,520,857
NuStar Pipeline Operating Partnership LP	5.875%		6/1/2013	0.40		500		505,608
Sempra Energy	6.00%		2/1/2013	0.08		110		110,472
Southeast Supply Header LLC†	4.85%		8/15/2014	1.53		1,500		1,564,563

16 See Notes to Financial Statements.

Schedule of Investments (continued)EMERGING MARKETS CURRENCY FUND December 31, 2012

Investments	Interest Rate		Maturity Date	Modified Duration (unaudited)~	Principal Amount (000)		Fair Value
Gas Distribution (continued)
Sunoco Logistics Partners Operations LP	8.75%		2/15/2014	1.05	$	1,500	$	1,611,446
Total								14,453,593
Health Facilities 0.34%
Quest Diagnostics, Inc.	1.16%	#	3/24/2014	0.22		1,500		1,509,605
Health Services 0.68%
McKesson Corp.	5.25%		3/1/2013	0.16		1,000		1,007,490
Medco Health Solutions, Inc.	6.125%		3/15/2013	0.20		2,000		2,022,704
Total								3,030,194
Household & Leisure Products 0.39%
Whirlpool Corp.	5.50%		3/1/2013	0.16		1,750		1,764,130
Integrated Energy 0.17%
Petro-Canada (Canada)(b)	4.00%		7/15/2013	0.53		750		762,361
Machinery 0.12%
Roper Industries, Inc.	6.625%		8/15/2013	0.60		500		517,888
Media: Broadcast 0.47%
TCM Sub LLC†	3.55%		1/15/2015	1.94		2,000		2,090,994
Media: Cable 0.96%
DIRECTV Holdings LLC/DIRECTV Financing Co., Inc.	4.75%		10/1/2014	1.67		1,000		1,068,171
Virgin Media Secured Finance plc (United Kingdom)(b)	6.50%		1/15/2018	4.30		3,000		3,243,750
Total								4,311,921
Media: Diversified 0.79%
Historic TW, Inc.	9.125%		1/15/2013	0.03		3,100		3,108,516
News America, Inc.	9.25%		2/1/2013	0.08		450		452,785
Total								3,561,301
Medical Products 0.43%
Bio-Rad Laboratories, Inc.	8.00%		9/15/2016	0.68		680		742,562
DENTSPLY International, Inc.	1.81%	#	8/15/2013	0.12		250		251,417
Life Technologies Corp.	3.375%		3/1/2013	0.16		925		927,829
Total								1,921,808

See Notes to Financial Statements. 17

Schedule of Investments (continued)EMERGING MARKETS CURRENCY FUND December 31, 2012

Investments	Interest Rate		Maturity Date	Modified Duration (unaudited)~	Principal Amount (000)		Fair Value
Metals/Mining (Excluding Steel) 0.96%
Anglo American Capital plc (United Kingdom)†(b)	9.375%		4/8/2014	1.19	$	2,000	$	2,199,310
Glencore Funding LLC†	6.00%		4/15/2014	1.23		1,500		1,584,726
Vale Overseas Ltd. (Brazil)(b)	9.00%		8/15/2013	0.60		500		523,520
Total								4,307,556
Multi-Line Insurance 0.57%
American International Group, Inc.	4.25%		5/15/2013	0.36		1,500		1,518,777
Hartford Financial Services Group, Inc.	4.625%		7/15/2013	0.52		1,000		1,019,377
Total								2,538,154
Oil Field Equipment & Services 1.11%
Cameron International Corp.	1.241%	#	6/2/2014	0.16		1,300		1,309,294
National Oilwell Varco, Inc.	6.125%		8/15/2015	0.59		250		252,526
Transocean, Inc.	4.95%		11/15/2015	2.69		500		547,832
Transocean, Inc.	5.25%		3/15/2013	0.21		1,250		1,261,040
Weatherford International Ltd.	4.95%		10/15/2013	0.77		250		257,311
Weatherford International Ltd.	5.15%		3/15/2013	0.21		1,350		1,360,766
Total								4,988,769
Oil Refining & Marketing 0.45%
NuStar Logistics LP	6.05%		3/15/2013	0.20		500		503,288
Valero Energy Corp.	4.75%		6/15/2013	0.45		500		509,479
Valero Energy Corp.	6.70%		1/15/2013	0.03		1,000		1,001,880
Total								2,014,647
Packaging 0.11%
Rexam plc (United Kingdom)†(b)	6.75%		6/1/2013	0.41		500		511,000
Pharmaceuticals 0.34%
Biogen Idec, Inc.	6.00%		3/1/2013	0.16		500		504,325
Teva Pharmaceutical Finance Co. BV (Israel)(b)	1.212%	#	11/8/2013	0.10		1,000		1,006,775
Total								1,511,100
Railroads 0.12%
Kansas City Southern de Mexico SA de CV (Mexico)(b)	8.00%		2/1/2018	4.09		500		556,250

18 See Notes to Financial Statements.

Schedule of Investments (continued)EMERGING MARKETS CURRENCY FUND December 31, 2012

Investments	Interest Rate		Maturity Date	Modified Duration (unaudited)~	Principal Amount (000)		Fair Value
Real Estate Investment Trusts 1.89%
BRE Properties, Inc.	4.697%		3/17/2014	1.16	$	1,500	$	1,560,247
ERP Operating LP	5.20%		4/1/2013	0.24		175		176,841
Federal Realty Investment Trust	5.40%		12/1/2013	0.89		840		874,663
HCP, Inc.	5.625%		2/28/2013	0.15		1,250		1,259,324
HCP, Inc.	5.65%		12/15/2013	0.93		500		523,117
Health Care REIT, Inc.	6.00%		11/15/2013	0.85		750		782,763
Nationwide Health Properties, Inc.	6.25%		2/1/2013	0.08		2,550		2,560,424
Rouse Co. LLC (The)	6.75%		11/9/2015	0.34		190		199,737
UDR, Inc.	6.05%		6/1/2013	0.41		520		530,909
Total								8,468,025
Software/Services 0.87%
Fidelity National Information Services, Inc.	7.625%		7/15/2017	0.51		800		874,000
Western Union Co. (The)	0.891%	#	3/7/2013	0.17		3,000		3,002,748
Total								3,876,748
Specialty Retail 1.30%
QVC, Inc.†	7.125%		4/15/2017	0.28		3,070		3,219,690
VF Corp.	1.062%	#	8/23/2013	0.14		2,150		2,160,731
Wesfarmers Ltd. (Australia)†(b)	6.998%		4/10/2013	0.27		437		444,260
Total								5,824,681
Telecommunications: Integrated/Services 1.58%
British Telecommunications plc (United Kingdom)(b)	5.15%		1/15/2013	0.04		1,500		1,502,081
Deutsche Telekom International Finance BV (Netherlands)(b)	5.875%		8/20/2013	0.62		1,500		1,549,390
Qwest Communications International, Inc.	7.125%		4/1/2018	0.24		1,500		1,570,729
Qwest Corp.	7.50%		10/1/2014	1.63		775		848,582
Qwest Corp.	7.625%		6/15/2015	2.26		541		612,279
Verizon Maryland, Inc.	7.15%		5/1/2023	0.32		1,000		1,016,704
Total								7,099,765
Telecommunications: Wireless 0.24%
American Tower Corp.	4.625%		4/1/2015	2.12		1,000		1,063,529
Tobacco 0.48%
Altria Group, Inc.	8.50%		11/10/2013	0.83		2,000		2,131,372

See Notes to Financial Statements. 19

Schedule of Investments (continued)EMERGING MARKETS CURRENCY FUND December 31, 2012

Investments	Interest Rate		Maturity Date	Modified Duration (unaudited)~	Principal Amount (000)		Fair Value
Transportation (Excluding Air/Rail) 0.55%
ERAC USA Finance LLC†	2.25%		1/10/2014	0.99	$	1,000	$	1,010,443
Ryder System, Inc.	6.00%		3/1/2013	0.16		1,425		1,435,881
Total								2,446,324
Total Corporate Bonds (cost $174,079,932)								174,647,062
FOREIGN BOND(d) 0.32%
Netherlands
Ziggo Finance BV†
(cost $1,322,402)	6.125%		11/15/2017	4.19	EUR	1,000		1,417,297
FOREIGN GOVERNMENT OBLIGATIONS 3.42%
Costa Rica 0.05%
Republic of Costa Rica†(b)	8.05%		1/31/2013	0.07		250		251,437
Turkey 3.37%
Turkey Government Bond(d)	Zero Coupon		5/15/2013	0.37	TRY	27,500		15,090,894
Total Foreign Government Obligations(cost $15,404,379)								15,342,331
GOVERNMENT SPONSORED ENTERPRISES COLLATERALIZED MORTGAGE OBLIGATIONS 3.20%
Federal Home Loan Mortgage Corp. K005 A1	3.484%		4/25/2019	3.35		1,583		1,721,946
Federal Home Loan Mortgage Corp. K006 A1	3.398%		7/25/2019	3.56		1,635		1,779,871
Federal Home Loan Mortgage Corp. K007 A1	3.342%		12/25/2019	3.65		2,061		2,244,970
Federal Home Loan Mortgage Corp. K008 A1	2.746%		12/25/2019	3.86		732		783,102
Federal Home Loan Mortgage Corp. K009 A1	2.757%		5/25/2020	3.62		828		883,766
Federal Home Loan Mortgage Corp. K017 A1	1.891%		12/25/2020	4.25		1,404		1,458,303
Federal Home Loan Mortgage Corp. K019 A1	1.459%		9/25/2021	4.85		1,279		1,302,839
Federal Home Loan Mortgage Corp. K706 A1	1.691%		6/25/2018	3.26		653		673,483
Federal National Mortgage Assoc. 2011-M3 A1	2.072%		7/25/2021	3.56		783		820,650
Federal National Mortgage Assoc. 2011-M8 A1	1.977%		8/25/2021	4.45		1,862		1,931,836
Federal National Mortgage Assoc. 2012-M2 A1	1.824%		2/25/2022	4.74		722		743,747
Total Government Sponsored Enterprises Collateralized Mortgage Obligations (cost $13,715,500)								14,344,513
GOVERNMENT SPONSORED ENTERPRISES PASS-THROUGHS 12.71%
Federal Home Loan Mortgage Corp.	2.412%	#	6/1/2038	0.65		340		362,098
Federal Home Loan Mortgage Corp.	2.447%	#	10/1/2035	0.83		954		1,007,256
Federal Home Loan Mortgage Corp.	2.542%	#	6/1/2037	0.75		1,378		1,466,626

20 See Notes to Financial Statements.

Schedule of Investments (continued)EMERGING MARKETS CURRENCY FUND December 31, 2012

Investments	Interest Rate		Maturity Date	Modified Duration (unaudited)~	Principal Amount (000)		Fair Value
GOVERNMENT SPONSORED ENTERPRISES PASS-THROUGHS (continued)
Federal Home Loan Mortgage Corp.	2.646%	#	12/1/2035	0.90	$	820	$	877,032
Federal Home Loan Mortgage Corp.	2.704%	#	5/1/2036	0.90		618		659,467
Federal Home Loan Mortgage Corp.	2.709%	#	4/1/2037	0.70		736		784,432
Federal Home Loan Mortgage Corp.	2.72%	#	8/1/2038	0.64		245		262,088
Federal Home Loan Mortgage Corp.	2.737%	#	12/1/2035	0.71		1,284		1,372,349
Federal Home Loan Mortgage Corp.	2.74%	#	3/1/2036	0.85		830		885,094
Federal Home Loan Mortgage Corp.	2.767%	#	2/1/2035	0.86		2,288		2,442,950
Federal Home Loan Mortgage Corp.	2.77%	#	12/1/2037	0.86		626		667,037
Federal Home Loan Mortgage Corp.	2.794%	#	4/1/2037	0.61		335		357,535
Federal Home Loan Mortgage Corp.	2.799%	#	5/1/2035	0.65		1,314		1,402,668
Federal Home Loan Mortgage Corp.	2.802%	#	10/1/2039	0.68		781		833,630
Federal Home Loan Mortgage Corp.	2.807%	#	3/1/2038	0.92		926		988,449
Federal Home Loan Mortgage Corp.	2.809%	#	5/1/2035	0.76		558		597,012
Federal Home Loan Mortgage Corp.	2.844%	#	2/1/2037	0.80		1,207		1,298,526
Federal Home Loan Mortgage Corp.	2.885%	#	12/1/2036	0.73		1,102		1,176,496
Federal Home Loan Mortgage Corp.	2.931%	#	4/1/2038	0.70		1,281		1,364,826
Federal Home Loan Mortgage Corp.	2.957%	#	9/1/2036	0.79		974		1,043,458
Federal Home Loan Mortgage Corp.	2.972%	#	11/1/2038	0.67		1,279		1,357,328
Federal Home Loan Mortgage Corp.	3.18%	#	10/1/2039	0.80		285		304,436
Federal Home Loan Mortgage Corp.	3.252%	#	10/1/2038	0.85		577		618,677
Federal Home Loan Mortgage Corp.	3.949%	#	2/1/2038	0.88		1,142		1,199,775
Federal Home Loan Mortgage Corp.	4.80%	#	9/1/2037	0.79		756		807,190
Federal Home Loan Mortgage Corp.	5.00%		5/1/2021	2.20		198		212,953
Federal Home Loan Mortgage Corp.	5.067%	#	7/1/2036	1.33		432		464,312
Federal National Mortgage Assoc.	2.035%	#	8/1/2037	0.47		349		368,678
Federal National Mortgage Assoc.	2.221%	#	6/1/2037	0.51		364		385,810
Federal National Mortgage Assoc.	2.273%	#	11/1/2034	0.45		1,031		1,095,475
Federal National Mortgage Assoc.	2.306%	#	1/1/2035	0.44		968		1,033,525
Federal National Mortgage Assoc.	2.368%	#	3/1/2038	0.89		319		343,667
Federal National Mortgage Assoc.	2.398%	#	11/1/2036	0.69		253		269,298
Federal National Mortgage Assoc.	2.506%	#	12/1/2035	0.78		993		1,048,583
Federal National Mortgage Assoc.	2.51%	#	1/1/2036	0.81		2,001		2,124,194
Federal National Mortgage Assoc.	2.521%	#	2/1/2036	0.79		562		597,293
Federal National Mortgage Assoc.	2.559%	#	1/1/2040	0.69		260		273,790
Federal National Mortgage Assoc.	2.671%	#	8/1/2037	0.56		640		679,288
Federal National Mortgage Assoc.	2.707%	#	9/1/2038	0.53		495		526,319
Federal National Mortgage Assoc.	2.758%	#	3/1/2039	0.65		598		634,535
Federal National Mortgage Assoc.	2.858%	#	6/1/2038	0.57		279		298,977

See Notes to Financial Statements. 21

Schedule of Investments (continued)EMERGING MARKETS CURRENCY FUND December 31, 2012

Investments	Interest Rate		Maturity Date	Modified Duration (unaudited)~	Principal Amount (000)		Fair Value
GOVERNMENT SPONSORED ENTERPRISES PASS-THROUGHS (continued)
Federal National Mortgage Assoc.	2.881%	#	2/1/2038	0.56		$   296		$    315,453
Federal National Mortgage Assoc.	2.885%	#	1/1/2038	0.86		625		668,743
Federal National Mortgage Assoc.	2.892%	#	10/1/2036	0.58		975		1,036,583
Federal National Mortgage Assoc.	2.95%		3/1/2015	2.15		1,000		1,042,980
Federal National Mortgage Assoc.	3.044%	#	1/1/2038	0.93		627		671,914
Federal National Mortgage Assoc.	3.147%	#	11/1/2038	0.60		920		981,802
Federal National Mortgage Assoc.	3.18%		11/1/2014	1.81		1,147		1,189,889
Federal National Mortgage Assoc.	3.205%	#	9/1/2037	0.64		276		294,847
Federal National Mortgage Assoc.	3.572%	#	6/1/2038	1.03		1,165		1,237,356
Federal National Mortgage Assoc.	3.702%	#	12/1/2038	0.34		351		373,205
Federal National Mortgage Assoc.	3.931%	#	8/1/2038	0.84		355		380,874
Federal National Mortgage Assoc.(e)	4.50%		TBA	2.55		5,500		5,917,656
Federal National Mortgage Assoc.	5.50%		2/1/2034	2.87		1,679		1,845,648
Federal National Mortgage Assoc.	5.50%		11/1/2034	2.87		1,863		2,038,545
Federal National Mortgage Assoc.	5.50%		8/1/2037	2.90		3,441		3,761,176
Federal National Mortgage Assoc.	5.936%	#	9/1/2037	1.11		621		666,218
Total Government Sponsored Enterprises Pass-Throughs (cost $56,660,069)								56,916,021
NON-AGENCY COMMERCIAL MORTGAGE-BACKED SECURITIES 21.70%
7 WTC Depositor LLC Trust 2012–7WTC A†	4.082%		3/13/2031	2.78		200		211,735
Americold LLC Trust 2010-ARTA A1†	3.847%		1/14/2029	3.94		507		547,643
Arkle Master Issuer plc 2010–1A 2A†	1.461%	#	5/17/2060	-0.12		200		200,281
Arkle Master Issuer plc 2010–2A 1A1†	1.711%	#	5/17/2060	-0.11		400		403,207
Arkle Master Issuer plc 2011–1A 2A†	1.561%	#	5/17/2060	0.63		400		402,729
Banc of America Commercial Mortgage, Inc. 2005–2 AAB	4.742%		7/10/2043	0.52		187		188,351
Banc of America Large Loan, Inc. 2009-FDG A†	5.204%		1/25/2042	3.54		1,974		2,242,550
Banc of America Re-REMIC Trust 2011 STRP A3†	2.415%		11/17/2039	0.77		750		748,883
Banc of America Re-REMIC Trust 2011 STRP A4†	1.501%		5/17/2046	2.55		420		419,439
Bear Stearns Commercial Mortgage Securities, Inc. 2007-PW18 A4	5.70%		6/11/2050	4.12		698		835,189
CFCRE Commercial Mortgage Trust 2011-C2 A2	3.061%		12/15/2047	3.54		400		428,910
Citigroup Commercial Mortgage Trust 2005-C3 A2	4.639%		5/15/2043	0.96		737		744,795
Citigroup/Deutsche Bank Commercial Mortgage Trust 2007-CD4 A4	5.322%		12/11/2049	3.58		1,167		1,343,854

22 See Notes to Financial Statements.

Schedule of Investments (continued)EMERGING MARKETS CURRENCY FUND December 31, 2012

Investments	Interest Rate		Maturity Date	Modified Duration (unaudited)~	Principal Amount (000)		Fair Value
NON-AGENCY COMMERCIAL MORTGAGE-BACKED SECURITIES (continued)
COMM 2007-C9 Mortgage Trust 2007-C9 AM	5.65%		12/10/2049	4.00	$	1,230		$1,413,632
Commercial Mortgage Pass-Through Certificates 2007-FL14 AJ†	0.389%	#	6/15/2022	0.60		929		914,080
Commercial Mortgage Pass-Through Certificates 2010-C1 A1†	3.156%		7/10/2046	2.34		1,674		1,770,528
Commercial Mortgage Pass-Through Certificates 2011-FL1 C†	5.106%	#	7/17/2028	0.55		622		630,943
Commercial Mortgage Pass-Through Certificates 2012–9W57 A†	2.365%		2/10/2029	3.89		2,135		2,245,861
Commercial Mortgage Pass-Through Certificates 2012-CR3 A2	1.765%		10/15/2045	4.48		2,210		2,277,829
Commercial Mortgage Pass-Through Certificates 2012-FL2 A†	2.336%	#	9/17/2029	2.21		2,230		2,279,413
Credit Suisse Mortgage Capital Certificates 2006-C1 A3	5.409%	#	2/15/2039	1.82		504		517,357
Credit Suisse Mortgage Capital Certificates 2006-C3 A3	5.786%	#	6/15/2038	2.85		1,525		1,735,646
Credit Suisse Mortgage Capital Certificates 2006-C5 A3	5.311%		12/15/2039	3.30		683		778,070
CS First Boston Mortgage Securities Corp. 2003-C4 A4	5.137%		8/15/2036	0.36		1,358		1,374,805
CS First Boston Mortgage Securities orp. 2003-CK2 A4	4.801%		3/15/2036	0.04		308		308,103
CW Capital Cobalt Ltd. 2006-C1 A4	5.223%		8/15/2048	3.38		1,520		1,729,674
DBUBS Mortgage Trust 2011-LC1A A1†	3.742%		11/10/2046	2.77		2,283		2,474,425
DBUBS Mortgage Trust 2011-LC2A A1†	3.527%		7/10/2044	3.83		1,253		1,376,480
DBUBS Mortgage Trust 2011-LC2A A2†	3.386%		7/10/2044	3.16		1,205		1,302,360
DBUBS Mortgage Trust 2011-LC3A A2	3.642%		8/10/2044	3.19		1,850		2,017,720
DDR Corp. 2009-DDR1 A†	3.807%		10/14/2022	1.68		952		994,754
DDR Corp. 2009-DDR1 B†	5.73%		10/14/2022	1.69		500		533,717
Fosse Master Issuer plc 2011–1A A2†	1.725%	#	10/18/2054	0.28		449		455,706
Fosse Master Issuer plc 2012–1A 2A2†	1.725%	#	10/18/2054	0.07		300		306,236
Fosse Master Issuer plc 2012–1A 2B1†	2.275%	#	10/18/2054	0.07		350		357,211
GMAC Commercial Mortgage Securities, Inc. 2003-C2 A2	5.444%	#	5/10/2040	0.45		900		913,303
Gracechurch Mortgage Financing plc 2006–1 A6†	0.412%	#	11/20/2056	-0.11		220		220,423
Granite Master Issuer plc 2005–1 A4	0.411%	#	12/20/2054	2.08		661		650,370
Granite Master Issuer plc 2005–2 A6	0.471%	#	12/20/2054	2.08		352		346,644
Granite Master Issuer plc 2006–4 A4	0.311%	#	12/20/2054	2.08		520		511,843

See Notes to Financial Statements. 23

Schedule of Investments (continued)EMERGING MARKETS CURRENCY FUND December 31, 2012

Investments	Interest Rate		Maturity Date	Modified Duration (unaudited)~	Principal Amount (000)		Fair Value
NON-AGENCY COMMERCIAL MORTGAGE-BACKED SECURITIES (continued)
Granite Master Issuer plc 2007–1 3A1	0.411%	#	12/20/2054	2.08		$   124		$    122,192
Greenwich Capital Commercial Funding Corp. 2005-GG5 A2	5.117%		4/10/2037	0.03		41		41,388
Greenwich Capital Commercial Funding Corp. 2007-GG11 A4	5.736%		12/10/2049	4.02		1,880		2,227,404
Greenwich Capital Commercial Funding Corp. 2007-GG9 A2	5.381%		3/10/2039	1.65		693		715,979
GS Mortgage Securities Corp. II 2005-GG4 AABA	4.68%		7/10/2039	0.03		271		273,386
GS Mortgage Securities Corp. II 2007-EOP B†	1.731%	#	3/6/2020	0.09		615		616,252
GS Mortgage Securities Corp. II 2010-C1 A1†	3.679%		8/10/2043	3.01		1,216		1,318,889
GS Mortgage Securities Corp. II 2010-C2 A1†	3.849%		12/10/2043	2.91		1,701		1,856,205
GS Mortgage Securities Corp. II 2011-ALF B†	3.215%		2/10/2021	1.07		500		507,100
GS Mortgage Securities Corp. II 2011-GC3 A1†	2.331%		3/10/2044	1.52		1,160		1,189,761
GS Mortgage Securities Corp. II 2011-GC3 A2†	3.645%		3/10/2044	2.88		1,600		1,727,677
GS Mortgage Securities Corp. II 2011-GC5 A2	2.999%		8/10/2044	3.28		1,000		1,071,053
Holmes Master Issuer plc 2010–1A A2†	1.74%	#	10/15/2054	0.04		519		523,553
Holmes Master Issuer plc 2012–1A A2†	1.99%	#	10/15/2054	0.06		500		512,163
JPMorgan Chase Commercial Mortgage Securities Corp. 2004-LN2 A1	4.475%		7/15/2041	0.45		587		588,883
JPMorgan Chase Commercial Mortgage Securities Corp. 2006-LDP9 A3	5.336%		5/15/2047	3.51		1,399		1,606,356
JPMorgan Chase Commercial Mortgage Securities Corp. 2007-LD11 A2	5.797%	#	6/15/2049	1.16		638		658,228
JPMorgan Chase Commercial Mortgage Securities Corp. 2007-LDPX A2SF	0.339%	#	1/15/2049	0.44		789		785,368
JPMorgan Chase Commercial Mortgage Securities Corp. 2010-C2 A1†	2.749%		11/15/2043	2.46		1,839		1,927,794
JPMorgan Chase Commercial Mortgage Securities Corp. 2011-PLSD A2†	3.364%		11/13/2044	3.61		2,000		2,162,418
JPMorgan Chase Commercial Mortgage Securities Corp. 2012-C8 A2	1.797%		10/15/2045	4.47		2,250		2,323,536
JPMorgan Chase Commercial Mortgage Securities Corp. 2012-LC9 A2	1.677%		12/15/2047	4.54		1,100		1,128,379

24 See Notes to Financial Statements.

Schedule of Investments (continued)

EMERGING MARKETS CURRENCY FUND December 31, 2012

Investments	Interest Rate		Maturity Date	Modified Duration (unaudited)~	Principal Amount (000)		Fair Value
NON-AGENCY COMMERCIAL MORTGAGE-BACKED SECURITIES (continued)
Merrill Lynch Floating Trust 2008-LAQA A1†	0.751%	#	7/9/2021	1.42	$	764	$	761,344
Merrill Lynch Mortgage Trust 2005-CIP1 A2	4.96%		7/12/2038	1.28		233		238,109
Merrill Lynch Mortgage Trust 2005-CKI1 A6	5.273%	#	11/12/2037	2.38		240		267,233
Merrill Lynch Mortgage Trust 2005-MKB2 A2	4.806%		9/12/2042	0.03		80		79,728
Merrill Lynch Mortgage Trust 2007-C1 A2FL†	0.522%	#	6/12/2050	0.02		156		154,944
Merrill Lynch/Countrywide Commercial Mortgage Trust 2006–4 AM	5.204%		12/12/2049	3.49		1,100		1,220,702
Merrill Lynch/Countrywide Commercial Mortgage Trust 2007–7 A3FL†	0.422%	#	6/12/2050	1.37		174		173,521
Morgan Stanley Bank of America Merrill Lynch Trust 2012-C5 A2	1.972%		8/15/2045	4.24		680		707,482
Morgan Stanley Bank of America Merrill Lynch Trust 2012-C6 A2	1.868%		11/15/2045	4.45		2,210		2,288,847
Morgan Stanley Bank of America Merrill Lynch Trust 2012-CKSV A1†	2.117%		10/15/2030	4.87		434		446,135
Morgan Stanley Capital I 2006-T21 A2	5.09%		10/12/2052	0.03		19		19,068
Morgan Stanley Capital I 2007-HQ12 A3	5.592%	#	4/12/2049	2.26		955		1,023,655
Morgan Stanley Capital I 2007-XLF9 A2†	0.769%	#	12/15/2020	0.02		329		320,761
Morgan Stanley Capital I 2011-C1 A2†	3.884%		9/15/2047	2.79		1,515		1,646,785
Morgan Stanley Capital I 2011-C2 A2†	3.476%		6/15/2044	3.16		750		813,900
Morgan Stanley Capital I 2012-STAR A1†	2.084%		8/5/2034	4.82		973		1,003,958
Morgan Stanley Dean Witter Capital I 2001-TOP3 A4	6.39%		7/15/2033	0.04		59		59,004
Morgan Stanley Re-REMIC Trust 2010-C30A A3A†	3.25%		12/17/2043	0.05		120		119,569
Permanent Master Issuer plc 2010–1A†	1.49%	#	7/15/2042	0.03		850		850,702
RBSCF Trust 2010-MB1 A2†	3.686%		4/15/2024	2.14		1,580		1,679,079
RBSCF Trust 2010-RR3 CSCA†	5.467%		9/16/2039	3.13		300		342,564
RBSCF Trust 2010-RR3 WBTB†	5.924%	#	2/16/2051	3.98		1,500		1,755,130
Sequoia Mortgage Trust 2012–3 A2	3.00%		7/25/2042	4.75		322		335,766
Sequoia Mortgage Trust 2012–4 A3	2.069%		9/25/2042	4.43		629		637,694
Sequoia Mortgage Trust 2012–6 A2	1.808%	#	12/25/2042	4.51		1,098		1,096,399
Silverstone Master Issuer plc 2011–1A†	1.869%	#	1/21/2055	0.07		400		408,772
Silverstone Master Issuer plc 2012–1A†	1.869%	#	1/21/2055	0.08		800		823,583

See Notes to Financial Statements. 25

Schedule of Investments (continued)

EMERGING MARKETS CURRENCY FUND December 31, 2012

Investments	Interest Rate	Maturity Date	Modified Duration (unaudited)~	Principal Amount (000)		Fair Value
NON-AGENCY COMMERCIAL MORTGAGE-BACKED SECURITIES (continued)
UBS-Barclays Commercial Mortgage Trust 2012-C2 A2	2.113%	5/10/2063	4.26	$	2,100	$	2,197,893
UBS-Barclays Commercial Mortgage Trust 2012-C4 A2	1.712%	12/10/2045	4.61		1,000		1,024,110
Vornado DP LLC 2010-VNO A1†	2.97%	9/13/2028	3.82		808		861,670
Wachovia Bank Commercial Mortgage Trust 2003-C7 A1†	4.241%	10/15/2035	0.26		41		40,786
Wachovia Bank Commercial Mortgage Trust 2005-C18 APB	4.807%	4/15/2042	1.10		405		421,890
Wachovia Bank Commercial Mortgage Trust 2005-C19 A5	4.661%	5/15/2044	0.04		279		284,578
Wachovia Bank Commercial Mortgage Trust 2006-C27 A3	5.765%	7/15/2045	3.05		720		822,205
Wachovia Bank Commercial Mortgage Trust 2006-C27 AM	5.795%	7/15/2045	3.19		645		719,907
Wachovia Bank Commercial Mortgage Trust 2006-C28 A4	5.572%	10/15/2048	3.32		870		1,000,965
Wachovia Bank Commercial Mortgage Trust 2007-C30 A3	5.246%	12/15/2043	1.14		371		379,163
Wachovia Bank Commercial Mortgage Trust 2007-C30 A5	5.342%	12/15/2043	3.64		1,650		1,899,716
Wells Fargo Commercial Mortgage Trust 2012-LC5 A2	1.844%	10/15/2045	4.44		540		557,697
WF-RBS Commercial Mortgage Trust 2011-C2 A2†	3.791%	2/15/2044	2.85		1,500		1,627,915
WF-RBS Commercial Mortgage Trust 2012-C10 A2	1.765%	12/15/2045	4.59		420		431,892
WF-RBS Commercial Mortgage Trust 2012-C7 A1	2.30%	6/15/2045	4.76		514		539,845
WF-RBS Commercial Mortgage Trust 2012-C8 A2	1.881%	8/15/2045	4.32		1,430		1,479,537
WF-RBS Commercial Mortgage Trust 2012-C9 A2	1.829%	11/15/2045	4.55		595		613,914
Total Non-Agency Commercial Mortgage-Backed Securities (cost $95,264,624)							97,216,780
Total Long-Term Investments (cost $402,242,957)							405,736,171

26 See Notes to Financial Statements.

Schedule of Investments (continued)

EMERGING MARKETS CURRENCY FUND December 31, 2012

Investments	Interest Rate	Maturity Date		Principal Amount (000)		Fair Value
SHORT-TERM INVESTMENTS 8.40%
Commercial Paper 1.50%
Automotive 0.11%
Daimler Finance North America LLC	Zero Coupon	7/22/2013		$	500	$	497,054
Energy 0.72%
BP Capital Markets plc	Zero Coupon	8/12/2013			2,000		1,992,938
BP Capital Markets plc	Zero Coupon	2/11/2013			1,250		1,248,847
Total							3,241,785
Telecommunications 0.67%
British Telecommunication plc	Zero Coupon	6/3/2013			1,000		996,175
Vodafone Group plc	Zero Coupon	2/8/2013			500		499,367
Vodafone Group plc	Zero Coupon	7/31/2013			1,000		993,436
Vodafone Group plc	Zero Coupon	9/9/2013			500		496,618
Total							2,985,596
Total Commercial Paper (cost $6,724,435)							6,724,435
Foreign Government Obligation 3.04%
Hungary
Hungary Treasury Bill(d) (cost $13,691,862)	Zero Coupon	2/6/2013	HUF	3,029,000			13,641,842
Repurchase Agreement 3.86%
Repurchase Agreement dated 12/31/2012, 0.1% due 1/2/2013 with Bank of America Corp. collateralized by $13,023,000 of U.S. Treasury Bond at 4.625% due 2/15/2040; value: $17,772,546; proceeds: $17,290,096 (cost $17,290,000)				$	17,290		17,290,000
Total Short-Term Investments (cost $37,706,297)							37,656,277
Total Investments in Securities 98.98% (cost $439,949,254)							443,392,448
Cash, Foreign Cash and Other Assets in Excess of Liabilities(f) 1.02%							4,575,290
Net Assets 100.00%						$	447,967,738

See Notes to Financial Statements. 27

Schedule of Investments (continued)

EMERGING MARKETS CURRENCY FUND December 31, 2012

EUR	euro.
HUF	Hungarian forint.
TRY	Turkish lira.
~	Modified Duration is the change in the value of a fixed income security that will result from a 1% change in market interest rates. Duration is expressed as a number of years, and generally, the larger a duration, the greater the interest-rate risk or reward for a portfolio’s underlying bond prices. The sum of these weighted values within a portfolio, including applicable aggregated interest rate exposure, is divided by the sum of the market values (or notional values where appropriate) of all fixed income securities.
†	Security was purchased pursuant to Rule 144A under the Securities Act of 1933 and, unless registered under such Act or exempted from registration, may only be resold to qualified institutional buyers.
#	Variable rate security. The interest rate represents the rate in effect at December 31, 2012.
(a)	Security has been fully or partially segregated to cover margin requirements for open futures contracts as of December 31, 2012.
(b)	Foreign security traded in U.S. dollars.
(c)	Securities purchased on a when-issued basis (See Note 2(i)).
(d)	Investment in non-U.S. dollar denominated securities.
(e)	To-be-announced (“TBA”). Security purchased on a forward commitment basis with an approximate principal and maturity date. Actual principal and maturity will be determined upon settlement when the specific mortgage pools are assigned.
(f)	Cash, Foreign Cash and Other Assets in Excess of Liabilities include net unrealized appreciation/depreciation on credit default swaps, interest rate swap, forward foreign currency exchange contracts and futures contracts as follows:

Credit Default Swaps on Indexes—Sell Protection at December 31, 2012⁽¹⁾:

Swap Counterparty	Fund Receives	Referenced Index	Termination Date	Notional Amount		Fair Value(2)		Upfront Payments Received(3)			Unrealized Appreciation (Depreciation			)	Credit Default Swap Agreements Payable at Fair Value(4)
J.P. Morgan	.10%	Markit CMBX. NA.AAA.1	10/12/2052	$	1,350,000	$	1,324,688		$	50,181		$	24,869			$	25,312
UBS AG	.07%	Markit CMBX. NA.AAA.2	3/15/2049		1,300,000		1,261,000			71,834			32,834				39,000
UBS AG	.50%	Markit CMBX. NA.AM.4	2/17/2051		1,000,000		875,416			212,557			87,973				124,584
Deutsche Bank	.50%	Markit CMBX. NA.AM.3	12/13/2049		1,000,000		892,500			99,977			(7,523	)			107,500
									$	434,549		$	138,153			$	296,396

(1)	If the Fund is a seller of protection and a credit event occurs, as defined under the terms of that particular swap agreement, the Fund will either (i) pay to the buyer of protection an amount equal to the notional amount of the swap and take delivery of the referenced obligation or underlying securities comprising the referenced index or (ii) 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 or underlying securities.
(2)	Fair value serves as the indicator of the current status of payment/performance risk.
(3)	Upfront payments received are presented net of amortization (See Note 2(n)).
(4)	Includes upfront payments received.

28 See Notes to Financial Statements.

Schedule of Investments (continued)

EMERGING MARKETS CURRENCY FUND December 31, 2012

Interest Rate Swap at December 31, 2012:

Swap Counterparty	Payments to be Made By The Fund at Termination Date	Payments to be Received By The Fund at Termination Date	Termination Date	Notional Amount	Fair Value	Unrealized Depreciation
Barclays Bank plc	.555%	3-Month LIBOR Index	3/9/2014	$12,000,000	$11,968,186	$(31,814	)

Open Forward Foreign Currency Exchange Contracts at December 31, 2012:

Forward Foreign Currency Exchange Contracts	Transaction Type	Counterparty	Expiration Date	Foreign Currency	U.S. $ Cost on Origination Date		U.S. $ Current Value		Unrealized Appreciation
Argentine peso	Buy	Barclays Bank plc	1/11/2013	26,400,000	$	5,265,257	$	5,339,536		$	74,279
Argentine peso	Buy	Barclays Bank plc	3/4/2013	79,000,000		15,283,420		15,393,608			110,188
Argentine peso	Buy	Deutsche Bank	2/8/2013	43,760,000		8,563,601		8,673,935			110,334
Brazilian real	Buy	Barclays Bank plc	3/4/2013	4,000,000		1,875,293		1,938,924			63,631
Brazilian real	Buy	Deutsche Bank	3/4/2013	7,175,000		3,374,882		3,477,944			103,062
Chilean peso	Buy	J.P. Morgan	1/11/2013	2,115,000,000		4,409,006		4,412,915			3,909
Chilean peso	Buy	Morgan Stanley	3/4/2013	7,575,000,000		15,570,401		15,695,416			125,015
Chilean peso	Buy	UBS AG	1/11/2013	3,194,595,161		6,540,940		6,665,474			124,534
Colombian peso	Buy	Barclays Bank plc	1/11/2013	7,129,000,000		3,920,264		4,032,240			111,976
Colombian peso	Buy	Barclays Bank plc	2/8/2013	8,470,000,000		4,595,768		4,780,488			184,720
Colombian peso	Buy	Deutsche Bank	2/8/2013	12,145,000,000		6,555,121		6,854,666			299,545
Colombian peso	Buy	Deutsche Bank	3/4/2013	27,060,000,000		14,786,885		15,232,198			445,313
Colombian peso	Buy	J.P. Morgan	1/11/2013	6,196,000,000		3,407,672		3,504,525			96,853
Colombian peso	Buy	UBS AG	2/8/2013	7,886,000,000		4,302,237		4,450,877			148,640
Hungarian forint	Buy	J.P. Morgan	1/11/2013	1,433,000,000		6,442,019		6,485,646			43,627
Indonesian rupiah	Buy	Deutsche Bank	1/11/2013	58,540,000,000		6,041,280		6,045,569			4,289
Malaysian ringgit	Buy	Barclays Bank plc	2/8/2013	13,800,000		4,505,387		4,511,847			6,460
Malaysian ringgit	Buy	UBS AG	1/11/2013	2,375,000		773,590		776,651			3,061
Mexican peso	Buy	Credit Suisse	3/4/2013	170,000,000		13,030,015		13,079,388			49,373
Mexican peso	Buy	J.P. Morgan	1/11/2013	11,700,000		900,884		904,495			3,611
Mexican peso	Buy	UBS AG	2/8/2013	207,215,000		15,740,438		15,979,503			239,065
Philippine peso	Buy	Deutsche Bank	3/4/2013	515,000,000		12,617,910		12,624,096			6,186
Philippine peso	Buy	J.P. Morgan	2/8/2013	303,000,000		7,372,263		7,411,808			39,545
Philippine peso	Buy	Morgan Stanley	2/8/2013	190,100,000		4,600,678		4,650,114			49,436
Polish zloty	Buy	Goldman Sachs	1/11/2013	76,000,000		23,734,936		24,533,976			799,040
Polish zloty	Buy	J.P. Morgan	3/4/2013	21,000,000		6,603,981		6,743,088			139,107
Polish zloty	Buy	UBS AG	2/8/2013	2,770,000		861,694		891,598			29,904
Romanian new leu	Buy	Goldman Sachs	1/11/2013	16,085,000		4,568,831		4,767,347			198,516
Russian ruble	Buy	Barclays Bank plc	1/11/2013	328,600,000		10,488,852		10,749,634			260,782
Russian ruble	Buy	Barclays Bank plc	3/4/2013	765,400,000		24,401,830		24,877,910			476,080
Russian ruble	Buy	J.P. Morgan	2/8/2013	144,000,000		4,522,613		4,698,945			176,332
Singapore dollar	Buy	Credit Suisse	2/8/2013	8,360,000		6,804,648		6,843,260			38,612
South African rand	Buy	Deutsche Bank	3/4/2013	1,955,000		223,560		228,708			5,148
South African rand	Buy	Goldman Sachs	2/8/2013	25,000,000		2,849,100		2,934,371			85,271
South African rand	Buy	J.P. Morgan	3/4/2013	217,500,000		24,335,120		25,444,548			1,109,428
South Korean won	Buy	Deutsche Bank	2/8/2013	5,811,000,000		5,302,975		5,442,394			139,419
South Korean won	Buy	J.P. Morgan	2/8/2013	16,216,000,000		14,794,271		15,187,380			393,109

See Notes to Financial Statements. 29

Schedule of Investments (continued)

EMERGING MARKETS CURRENCY FUND December 31, 2012

Open Forward Foreign Currency Exchange Contracts at December 31, 2012: (continued)

Forward Foreign Currency Exchange Contracts	Transaction Type	Counterparty	Expiration Date	Foreign Currency	U.S. $ Cost on Origination Date		U.S. $ Current Value		Unrealized Appreciation
South Korean won	Buy	J.P. Morgan	3/4/2013	11,150,000,000	$	10,262,782	$	10,429,333		$	166,551
South Korean won	Buy	UBS AG	1/11/2013	162,600,000		145,578		151,990			6,412
Thai baht	Buy	Barclays Bank plc	2/8/2013	125,800,000		4,070,934		4,104,003			33,069
Thai baht	Buy	J.P. Morgan	2/8/2013	452,500,000		14,662,994		14,762,014			99,020
Thai baht	Buy	J.P. Morgan	2/8/2013	141,580,000		4,587,816		4,618,798			30,982
Thai baht	Buy	Morgan Stanley	1/11/2013	49,700,000		1,611,021		1,623,971			12,950
Thai baht	Buy	Morgan Stanley	3/4/2013	425,000,000		13,787,510		13,845,903			58,393
Turkish lira	Buy	Credit Suisse	1/11/2013	20,600,000		11,352,176		11,533,744			181,568
Turkish lira	Buy	Credit Suisse	3/4/2013	15,610,000		8,657,312		8,680,227			22,915
Turkish lira	Buy	Goldman Sachs	2/8/2013	407,200		224,836		227,150			2,314
Hungarian forint	Sell	Barclays Bank plc	1/11/2013	87,000,000		400,182		393,755			6,427
Singapore dollar	Sell	Credit Suisse	2/8/2013	7,600,000		6,228,385		6,221,145			7,240
Singapore dollar	Sell	UBS AG	2/8/2013	760,000		624,049		622,115			1,934
Singapore dollar	Sell	UBS AG	3/4/2013	5,450,000		4,472,991		4,461,216			11,775
Unrealized Appreciation on Forward Foreign Currency Exchange Contracts										$	6,938,950

Forward Foreign Currency Exchange Contracts	Transaction Type	Counterparty	Expiration Date	Foreign Currency	U.S. $ Cost on Origination Date		U.S. $ Current Value		Unrealized Depreciation
Brazilian real	Buy	J.P. Morgan	1/11/2013	30,350,000	$	14,821,507	$	14,807,316		$	(14,191	)
Brazilian real	Buy	J.P. Morgan	2/8/2013	25,750,000		12,526,756		12,517,448			(9,308	)
euro	Buy	Goldman Sachs	1/11/2013	3,505,000		4,649,849		4,626,743			(23,106	)
Hungarian forint	Buy	J.P. Morgan	3/4/2013	964,000,000		4,433,323		4,337,541			(95,782	)
Hungarian forint	Buy	UBS AG	2/8/2013	2,522,400,000		11,456,342		11,378,344			(77,998	)
Indian rupee	Buy	Barclays Bank plc	2/8/2013	454,410,000		8,314,913		8,240,062			(74,851	)
Indian rupee	Buy	Deutsche Bank	1/11/2013	388,250,000		7,407,937		7,075,977			(331,960	)
Indian rupee	Buy	Morgan Stanley	3/4/2013	783,400,000		14,179,186		14,142,071			(37,115	)
Indian rupee	Buy	UBS AG	3/4/2013	237,100,000		4,305,429		4,280,169			(25,260	)
Indonesian rupiah	Buy	Deutsche Bank	3/4/2013	100,500,000,000		10,417,746		10,206,154			(211,592	)
Indonesian rupiah	Buy	J.P. Morgan	2/8/2013	116,750,000,000		12,017,499		11,884,334			(133,165	)
Malaysian ringgit	Buy	UBS AG	3/4/2013	4,180,000		1,370,761		1,364,987			(5,774	)
Philippine peso	Buy	Morgan Stanley	1/11/2013	184,500,000		4,514,314		4,498,155			(16,159	)
Argentine peso	Sell	Barclays Bank plc	1/11/2013	1,330,000		268,037		268,999			(962	)
Colombian peso	Sell	Barclays Bank plc	1/11/2013	950,000,000		537,027		537,330			(303	)
euro	Sell	Barclays Bank plc	2/8/2013	3,435,000		4,380,326		4,535,429			(155,103	)
euro	Sell	Deutsche Bank	3/20/2013	1,080,000		1,425,127		1,426,517			(1,390	)
euro	Sell	UBS AG	1/11/2013	3,505,000		4,575,469		4,626,743			(51,274	)
Israeli new shekel	Sell	UBS AG	2/8/2013	21,950,000		5,529,710		5,869,062			(339,352	)
Malaysian ringgit	Sell	Barclays Bank plc	2/8/2013	6,800,000		2,218,959		2,223,229			(4,270	)
Mexican peso	Sell	J.P. Morgan	1/11/2013	3,000,000		230,962		231,922			(960	)
Polish zloty	Sell	Barclays Bank plc	1/11/2013	14,533,000		4,451,209		4,691,477			(240,268	)
Romanian new leu	Sell	Goldman Sachs	1/11/2013	765,000		223,423		226,734			(3,311	)
South African rand	Sell	Barclays Bank plc	2/8/2013	25,000,000		2,819,519		2,934,371			(114,852	)
South African rand	Sell	Deutsche Bank	3/4/2013	5,900,000		663,199		690,220			(27,021	)

30 See Notes to Financial Statements.

Schedule of Investments (concluded)

EMERGING MARKETS CURRENCY FUND December 31, 2012

Open Forward Foreign Currency Exchange Contracts at December 31, 2012: (concluded)

Forward Foreign Currency Exchange Contracts	Transaction Type	Counterparty	Expiration Date	Foreign Currency	U.S. $ Cost on Origination Date		U.S. $ Current Value		Unrealized Depreciation
South African rand	Sell	J.P. Morgan	3/4/2013	21,100,000		$2,460,401		$2,468,414		$	(8,013)
South Korean won	Sell	Goldman Sachs	2/8/2013	430,000,000		400,988		402,724			(1,736)
Taiwan dollar	Sell	Credit Suisse	1/11/2013	169,770,000		5,843,056		5,854,289			(11,233)
Taiwan dollar	Sell	Deutsche Bank	3/4/2013	121,900,000		4,212,163		4,230,436			(18,273)
Taiwan dollar	Sell	Goldman Sachs	3/4/2013	94,400,000		3,265,871		3,276,071			(10,200)
Unrealized Depreciation on Forward Foreign Currency Exchange Contracts										$	(2,044,782	)

Open Futures Contracts at December 31, 2012:

Type	Expiration	Contracts	Position	Fair Value			Unrealized Appreciation (Depreciation)
U.S. 2-Year Treasury Note	March 2013	221	Short	$	(48,723,594	)	$	(10,788	)
U.S. 5-Year Treasury Note	March 2013	636	Short		(79,127,344	)		129,251
Totals				$	(127,850,938	)	$	118,463

See Notes to Financial Statements. 31

Schedule of Investments

GLOBAL ALLOCATION FUND December 31, 2012

Investments	Shares		Fair Value (000)
INVESTMENTS IN UNDERLYING FUNDS(a) 100.15%
Lord Abbett Affiliated Fund, Inc. – Class I(b)		142,096	$	1,712
Lord Abbett Equity Trust-Calibrated Large Cap Value Fund – Class I(c)		50,689		897
Lord Abbett Equity Trust-Calibrated Mid Cap Value Fund – Class I(c)		666,452		11,403
Lord Abbett Global Fund, Inc – Emerging Markets Currency Fund – Class I(d)		5,082,070		33,592
Lord Abbett Investment Trust – High Yield Fund – Class I(e)		2,406,133		18,960
Lord Abbett Securities Trust-International Dividend Income Fund – Class I(f)		9,353,041		77,443
Lord Abbett Mid Cap Stock Fund, Inc. (formerly, Mid-Cap Value Fund, Inc.) – Class I(g)		1,907,046		33,965
Total Investments in Underlying Funds (cost $172,935,486)				177,972
Liabilities in Excess of Cash and Other Assets (0.15)%				(274	)
Net Assets 100.00%			$	177,698

(a)	Affiliated issuers (See Note 9).
(b)	Fund investment objective is long-term growth of capital and income without excessive fluctuations in market value.
(c)	Fund investment objective is total return.
(d)	Fund investment objective is to seek high total return.
(e)	Fund investment objective is to seek a high current income and the opportunity for capital appreciation to produce a high total return.
(f)	Fund investment objective is to seek a high level of total return.
(g)	Fund investment objective is to seek capital appreciation through investments, primarily in equity securities, which are believed to be undervalued in the marketplace.

32 See Notes to Financial Statements.

Statements of Assets and Liabilities
December 31, 2012

	Emerging Markets Currency Fund			Global Allocation Fund
ASSETS:
Investments in securities, at cost	$	439,949,254		$	172,935,486
Investments in securities, at fair value	$	443,392,448		$	177,972,420
Cash		2,083,563			–
Foreign cash, at value (cost $188,575 and $0, respectively)		187,543			–
Receivables:
Interest and dividends		3,453,830			198,890
Capital shares sold		2,515,131			164,144
From affiliates (See Note 3)		–			76,256
Unrealized appreciation on forward foreign currency exchange contracts		6,938,950			–
Prepaid expenses and other assets		31,649			15,971
Total assets		458,603,114			178,427,681
LIABILITIES:
Payables:
To bank		–			54,770
Investment securities purchased		6,269,363			–
Investment in Underlying Funds purchased		–			200,283
Capital shares reacquired		411,914			280,313
12b-1 distribution fees		49,564			60,092
Management fee		188,668			7,456
Directors’ fees		50,151			30,576
Fund administration		15,093			–
To affiliate (See Note 3)		68,528			–
Variation margin		10,066			–
Unrealized depreciation on forward foreign currency exchange contracts		2,044,782			–
Unrealized depreciation on interest rate swap		31,814			–
Credit default swap agreements payable, at fair value (including upfront payments received $434,549)		296,396			–
Distributions payable		991,176			–
Accrued expenses		207,861			96,394
Total liabilities		10,635,376			729,884
NET ASSETS	$	447,967,738		$	177,697,797
COMPOSITION OF NET ASSETS:
Paid-in capital	$	452,614,013		$	177,282,658
Distributions in excess of net investment income		(1,235,342	)		(30,576	)
Accumulated net realized loss on investments, futures contracts, swaps and foreign currency related transactions		(11,976,972	)		(4,591,119	)
Net unrealized appreciation on investments, futures contracts and translation of assets and liabilities denominated in foreign currencies		8,566,039			5,036,834
Net Assets	$	447,967,738		$	177,697,797

See Notes to Financial Statements. 33

Statements of Assets and Liabilities (concluded)
December 31, 2012

	Emerging Markets Currency Fund		Global Allocation Fund
Net assets by class:
Class A Shares	$	73,947,491	$	110,909,544
Class B Shares	$	1,218,668	$	6,938,893
Class C Shares	$	28,543,150	$	29,820,603
Class F Shares	$	71,621,970	$	2,422,819
Class I Shares	$	271,710,168	$	22,288,548
Class P Shares	$	10,039		–
Class R2 Shares	$	299,734	$	106,627
Class R3 Shares	$	616,518	$	5,210,763
Outstanding shares by class:
Class A Shares (415 million and 430 million shares of common stock authorized, $0.001 par value)		11,158,619		9,708,716
Class B Shares (30 million and 15 million shares of common stock authorized, $0.001 par value)		183,050		659,076
Class C Shares (100 million and 20 million shares of common stock authorized, $0.001 par value)		4,282,184		2,828,886
Class F Shares (100 million and 20 million shares of common stock authorized, $0.001 par value)		10,815,588		212,041
Class I Shares (100 million and 15 million shares of common stock authorized, $0.001 par value)		41,088,293		1,940,438
Class P Shares (20 million and 20 million shares of common stock authorized, $0.001 par value)		1,516		–
Class R2 Shares (20 million and 20 million shares of common stock authorized, $0.001 par value)		45,170		9,179
Class R3 Shares (20 million and 20 million shares of common stock authorized, $0.001 par value)		93,258		453,915
Net asset value, offering and redemption price per share (Net assets divided by outstanding shares):
Class A Shares-Net asset value		$6.63		$11.42
Class A Shares-Maximum offering price
(Net asset value plus sales charge of 2.25% and 5.75%, respectively)		$6.78		$12.12
Class B Shares-Net asset value		$6.66		$10.53
Class C Shares-Net asset value		$6.67		$10.54
Class F Shares-Net asset value		$6.62		$11.43
Class I Shares-Net asset value		$6.61		$11.49
Class P Shares-Net asset value		$6.62		–
Class R2 Shares-Net asset value		$6.64		$11.62
Class R3 Shares-Net asset value		$6.61		$11.48

34 See Notes to Financial Statements.

Statements of Operations
For the Year Ended December 31, 2012

	Emerging Markets Currency Fund			Global Allocation Fund
Investment income:
Dividends	$	–		$	6,191,524
Interest and other		8,382,004			9
Total investment income		8,382,004			6,191,533
Expenses:
Management fee		2,074,887			427,774
12b-1 distribution plan-Class A		160,245			277,643
12b-1 distribution plan-Class B		14,302			75,813
12b-1 distribution plan-Class C		288,973			274,455
12b-1 distribution plan-Class F		73,407			2,713
12b-1 distribution plan-Class P		43			–
12b-1 distribution plan-Class R2		1,919			551
12b-1 distribution plan-Class R3		2,362			20,402
Shareholder servicing		335,686			331,262
Reports to shareholders		85,506			40,934
Professional		69,477			34,854
Fund administration		165,991			–
Custody		78,949			7,366
Directors’ fees		13,148			5,695
Registration		119,035			83,118
Subsidy (See Note 3)		373,255			–
Other		23,075			7,563
Gross expenses		3,880,260			1,590,143
Expense reductions (See Note 7)		(146	)		(110	)
Expenses assumed by Underlying Funds (See Note 3)		–			(510,682	)
Management fee waived (See Note 3)		–			(342,219	)
Net expenses		3,880,114			737,132
Net investment income		4,501,890			5,454,401
Net realized and unrealized gain:
Capital gain distributions received from Underlying Funds		–			689,757
Net realized gain on investments, futures contracts, swaps and foreign currency related transactions		11,874,941			686,556	*
Net change in unrealized appreciation/depreciation on investments, futures contracts, swaps and translation of assets and liabilities denominated in foreign currencies		20,772,775			16,781,922
Net realized and unrealized gain		32,647,716			18,158,235
Net Increase in Net Assets Resulting From Operations	$	37,149,606		$	23,612,636

* Includes net realized gain from affiliated issuers of $687,186 (See Note 9).

See Notes to Financial Statements. 35

Statements of Changes in Net Assets

	Emerging Markets Currency Fund
INCREASE IN NET ASSETS	For the Year Ended December 31, 2012			For the Year Ended December 31, 2011
Operations:
Net investment income	$	4,501,890		$	3,805,399
Net realized gain (loss) on investments, futures contracts, swaps and foreign currency related transactions		11,874,941			(15,808,061	)
Net change in unrealized appreciation/depreciation on investments, futures contracts, swaps and translation of assets and liabilities denominated in foreign currencies		20,772,775			(11,943,156	)
Net increase (decrease) in net assets resulting from operations		37,149,606			(23,945,818	)
Distributions to shareholders from:
Net investment income
Class A		(1,843,700	)		(2,718,531	)
Class B		(23,310	)		(40,038	)
Class C		(573,748	)		(780,752	)
Class F		(1,749,818	)		(2,383,764	)
Class I		(5,593,517	)		(2,505,265	)
Class P		(203	)		(721	)
Class R2		(6,247	)		(5,230	)
Class R3		(10,022	)		(8,516	)
Net realized gain
Class A		–			(566,339	)
Class B		–			(10,197	)
Class C		–			(216,782	)
Class F		–			(514,300	)
Class I		–			(470,622	)
Class P		–			(150	)
Class R2		–			(1,502	)
Class R3		–			(1,571	)
Return of capital
Class A		(282,877	)		–
Class B		(3,577	)		–
Class C		(88,029	)		–
Class F		(268,473	)		–
Class I		(858,207	)		–
Class P		(31	)		–
Class R2		(958	)		–
Class R3		(1,538	)		–
Total distributions to shareholders		(11,304,255	)		(10,224,280	)
Capital share transactions (Net of share conversions) (See Note 11):
Net proceeds from sales of shares		216,733,975			248,487,758
Reinvestment of distributions		10,159,041			7,936,574
Cost of shares reacquired		(119,792,291	)		(183,015,119	)
Net increase in net assets resulting from capital share transactions		107,100,725			73,409,213
Net increase in net assets		132,946,076			39,239,115
NET ASSETS:
Beginning of year	$	315,021,662		$	275,782,547
End of year	$	447,967,738		$	315,021,662
Distributions in excess of net investment income	$	(1,235,342	)	$	(14,101	)

36 See Notes to Financial Statements.

Statements of Changes in Net Assets (concluded)

	Global Allocation Fund
INCREASE IN NET ASSETS	For the Year Ended December 31, 2012			For the Year Ended December 31, 2011
Operations:
Net investment income	$	5,454,401		$	5,025,344
Capital gains distributions received from Underlying Funds		689,757			1,533,247
Net realized gain (loss) on investments and foreign currency related transactions		686,556			(450,756	)
Net change in unrealized appreciation/depreciation on investments and translation of assets and liabilities denominated in foreign currencies		16,781,922			(19,608,555	)
Net increase (decrease) in net assets resulting from operations		23,612,636			(13,500,720	)
Distributions to shareholders from:
Net investment income
Class A		(3,899,618	)		(3,589,090	)
Class B		(226,021	)		(256,468	)
Class C		(890,794	)		(759,643	)
Class F		(92,639	)		(99,816	)
Class I		(664,970	)		(391,082	)
Class R2		(3,183	)		(993	)
Class R3		(150,568	)		(94,353	)
Return of capital
Class A		(65,497	)		–
Class B		(3,796	)		–
Class C		(14,961	)		–
Class F		(1,556	)		–
Class I		(11,168	)		–
Class R2		(53	)		–
Class R3		(2,529	)		–
Total distributions to shareholders		(6,027,353	)		(5,191,445	)
Capital share transactions (Net of share conversions) (See Note 11):
Net proceeds from sales of shares		34,627,973			60,938,657
Reinvestment of distributions		5,682,158			4,812,956
Cost of shares reacquired		(43,626,970	)		(41,052,164	)
Net increase (decrease) in net assets resulting from capital share transactions		(3,316,839	)		24,699,449
Net increase in net assets		14,268,444			6,007,284
NET ASSETS:
Beginning of year	$	163,429,353		$	157,422,069
End of year	$	177,697,797		$	163,429,353
Distributions in excess of net investment income	$	(30,576	)	$	(4,488	)

See Notes to Financial Statements. 37

Financial Highlights

EMERGING MARKETS CURRENCY FUND

	Class A Shares
	Year Ended 12/31
	2012		2011		2010		2009		2008
Per Share Operating Performance
Net asset value, beginning of year	$6.15		$6.74		$6.70		$5.72		$6.73
Investment operations:
Net investment income(a)	.07		.08		.11		.17		.24
Net realized and unrealized gain (loss)	.58		(.46	)	.27		.99		(1.01	)
Total from investment operations	.65		(.38	)	.38		1.16		(.77	)
Distributions to shareholders from:
Net investment income	(.15	)	(.18	)	(.20	)	(.18	)	(.14	)
Net realized gain	–		(.03	)	(.14	)	–		–
Return of capital	(.02	)	–		–		–		(.10	)
Total distributions	(.17	)	(.21	)	(.34	)	(.18	)	(.24	)
Net asset value, end of year	$6.63		$6.15		$6.74		$6.70		$5.72
Total Return(b)	10.69	%	(5.87	)%	5.79	%	20.53	%	(11.90	)%
Ratios to Average Net Assets:
Expenses, excluding expense reductions and including expenses reimbursed	1.01	%	1.02	%	1.17	%	1.27	%	1.23	%
Expenses, including expense reductions and expenses reimbursed	1.01	%	1.02	%	1.17	%	1.27	%	1.22	%
Expenses, excluding expense reductions and expenses reimbursed	1.01	%	1.02	%	1.17	%	1.27	%	1.27	%
Net investment income	1.02	%	1.18	%	1.68	%	2.69	%	3.59	%
Supplemental Data:
Net assets, end of year (000)	$73,947		$80,034		$98,279		$109,152		$83,426
Portfolio turnover rate	141.92	%	130.30	%	113.50	%	90.72	%	83.70	%

(a)	Calculated using average shares outstanding during the year.
(b)	Total return does not consider the effects of sales loads and assumes the reinvestment of all distributions.

38 See Notes to Financial Statements.

Financial Highlights (continued)

EMERGING MARKETS CURRENCY FUND

	Class B Shares
	Year Ended 12/31
	2012		2011		2010		2009		2008
Per Share Operating Performance
Net asset value, beginning of year	$6.18		$6.77		$6.73		$5.74		$6.74
Investment operations:
Net investment income(a)	.02		.03		.07		.13		.19
Net realized and unrealized gain (loss)	.58		(.46	)	.26		.99		(1.00	)
Total from investment operations	.60		(.43	)	.33		1.12		(.81	)
Distributions to shareholders from:
Net investment income	(.10	)	(.13	)	(.15	)	(.13	)	(.11	)
Net realized gain	–		(.03	)	(.14	)	–		–
Return of capital	(.02	)	–		–		–		(.08	)
Total distributions	(.12	)	(.16	)	(.29	)	(.13	)	(.19	)
Net asset value, end of year	$6.66		$6.18		$6.77		$6.73		$5.74
Total Return(b)	9.79	%	(6.55	)%	5.10	%	19.68	%	(12.37	)%
Ratios to Average Net Assets:
Expenses, excluding expense reductions and including expenses reimbursed	1.80	%	1.80	%	1.83	%	1.93	%	1.88	%
Expenses, including expense reductions and expenses reimbursed	1.80	%	1.80	%	1.83	%	1.93	%	1.88	%
Expenses, excluding expense reductions and expenses reimbursed	1.80	%	1.80	%	1.83	%	1.93	%	1.95	%
Net investment income	.24	%	.44	%	1.05	%	2.11	%	2.93	%
Supplemental Data:
Net assets, end of year (000)	$1,219		$1,674		$2,693		$3,884		$4,105
Portfolio turnover rate	141.92	%	130.30	%	113.50	%	90.72	%	83.70	%

(a)	Calculated using average shares outstanding during the year.
(b)	Total return does not consider the effects of sales loads and assumes the reinvestment of all distributions.

See Notes to Financial Statements. 39

Financial Highlights (continued)

EMERGING MARKETS CURRENCY FUND

	Class C Shares
	Year Ended 12/31
	2012		2011		2010		2009		2008
Per Share Operating Performance
Net asset value, beginning of year	$6.19		$6.78		$6.74		$5.74		$6.75
Investment operations:
Net investment income(a)	.02		.03		.07		.13		.19
Net realized and unrealized gain (loss)	.59		(.46	)	.26		1.00		(1.01	)
Total from investment operations	.61		(.43	)	.33		1.13		(.82	)
Distributions to shareholders from:
Net investment income	(.11	)	(.13	)	(.15	)	(.13	)	(.11	)
Net realized gain	–		(.03	)	(.14	)	–		–
Return of capital	(.02	)	–		–		–		(.08	)
Total distributions	(.13	)	(.16	)	(.29	)	(.13	)	(.19	)
Net asset value, end of year	$6.67		$6.19		$6.78		$6.74		$5.74
Total Return(b)	9.91	%	(6.44	)%	5.09	%	19.85	%	(12.50	)%
Ratios to Average Net Assets:
Expenses, excluding expense reductions and including expenses reimbursed	1.68	%	1.69	%	1.82	%	1.91	%	1.87	%
Expenses, including expense reductions and expenses reimbursed	1.68	%	1.69	%	1.82	%	1.91	%	1.87	%
Expenses, excluding expense reductions and expenses reimbursed	1.68	%	1.69	%	1.82	%	1.91	%	1.91	%
Net investment income	.37	%	.51	%	1.02	%	2.03	%	2.95	%
Supplemental Data:
Net assets, end of year (000)	$28,543		$36,551		$34,232		$27,512		$18,407
Portfolio turnover rate	141.92	%	130.30	%	113.50	%	90.72	%	83.70	%

(a)	Calculated using average shares outstanding during the year.
(b)	Total return does not consider the effects of sales loads and assumes the reinvestment of all distributions.

40 See Notes to Financial Statements.

Financial Highlights (continued)

EMERGING MARKETS CURRENCY FUND

	Class F Shares
	Year Ended 12/31
	2012		2011		2010		2009		2008
Per Share Operating Performance
Net asset value, beginning of year	$6.15		$6.74		$6.69		$5.71		$6.73
Investment operations:
Net investment income(a)	.07		.09		.13		.18		.25
Net realized and unrealized gain (loss)	.58		(.47	)	.27		.99		(1.01	)
Total from investment operations	.65		(.38	)	.40		1.17		(.76	)
Distributions to shareholders from:
Net investment income	(.16	)	(.18	)	(.21	)	(.19	)	(.15	)
Net realized gain	–		(.03	)	(.14	)	–		–
Return of capital	(.02	)	–		–		–		(.11	)
Total distributions	(.18	)	(.21	)	(.35	)	(.19	)	(.26	)
Net asset value, end of year	$6.62		$6.15		$6.74		$6.69		$5.71
Total Return(b)	10.63	%	(5.77	)%	6.20	%	20.82	%	(11.76	)%
Ratios to Average Net Assets:
Expenses, excluding expense reductions and including expenses reimbursed	.91	%	.91	%	.92	%	.98	%	.96	%
Expenses, including expense reductions and expenses reimbursed	.91	%	.91	%	.92	%	.98	%	.96	%
Expenses, excluding expense reductions and expenses reimbursed	.91	%	.91	%	.92	%	.98	%	.98	%
Net investment income	1.12	%	1.27	%	1.88	%	2.72	%	3.94	%
Supplemental Data:
Net assets, end of year (000)	$71,622		$76,795		$61,059		$24,463		$710
Portfolio turnover rate	141.92	%	130.30	%	113.50	%	90.72	%	83.70	%

(a)	Calculated using average shares outstanding during the year.
(b)	Total return assumes the reinvestment of all distributions.

See Notes to Financial Statements. 41

Financial Highlights (continued)

EMERGING MARKETS CURRENCY FUND

	Class I Shares
	Year Ended 12/31
	2012		2011		2010		2009		2008
Per Share Operating Performance
Net asset value, beginning of year	$6.14		$6.73		$6.69		$5.72		$6.73
Investment operations:
Net investment income(a)	.08		.09		.13		.19		.26
Net realized and unrealized gain (loss)	.57		(.46	)	.27		.98		(1.00	)
Total from investment operations	.65		(.37	)	.40		1.17		(.74	)
Distributions to shareholders from:
Net investment income	(.16	)	(.19	)	(.22	)	(.20	)	(.15	)
Net realized gain	–		(.03	)	(.14	)	–		–
Return of capital	(.02	)	–		–		–		(.12	)
Total distributions	(.18	)	(.22	)	(.36	)	(.20	)	(.27	)
Net asset value, end of year	$6.61		$6.14		$6.73		$6.69		$5.72
Total Return(b)	10.75	%	(5.68	)%	6.17	%	20.89	%	(11.47	)%
Ratios to Average Net Assets:
Expenses, excluding expense reductions and including expenses reimbursed	.80	%	.81	%	.83	%	.92	%	.88	%
Expenses, including expense reductions and expenses reimbursed	.80	%	.81	%	.83	%	.92	%	.87	%
Expenses, excluding expense reductions and expenses reimbursed	.80	%	.81	%	.83	%	.92	%	.90	%
Net investment income	1.21	%	1.40	%	2.00	%	3.06	%	3.96	%
Supplemental Data:
Net assets, end of year (000)	$271,710		$119,329		$79,092		$27,176		$19,830
Portfolio turnover rate	141.92	%	130.30	%	113.50	%	90.72	%	83.70	%

(a)	Calculated using average shares outstanding during the year.
(b)	Total return assumes the reinvestment of all distributions.

42 See Notes to Financial Statements.

Financial Highlights (continued)

EMERGING MARKETS CURRENCY FUND

	Class P Shares
	Year Ended 12/31
	2012		2011		2010		2009		2008
Per Share Operating Performance
Net asset value, beginning of year	$6.14		$6.74		$6.69		$5.71		$6.71
Investment operations:
Net investment income(a)	.05		.07		.11		.16		.24
Net realized and unrealized gain (loss)	.59		(.48	)	.27		.99		(1.01	)
Total from investment operations	.64		(.41	)	.38		1.15		(.77	)
Distributions to shareholders from:
Net investment income	(.14	)	(.16	)	(.19	)	(.17	)	(.13	)
Net realized gain	–		(.03	)	(.14	)	–		–
Return of capital	(.02	)	–		–		–		(.10	)
Total distributions	(.16	)	(.19	)	(.33	)	(.17	)	(.23	)
Net asset value, end of year	$6.62		$6.14		$6.74		$6.69		$5.71
Total Return(b)	10.27	%	(6.07	)%	5.87	%	20.43	%	(11.91	)%
Ratios to Average Net Assets:
Expenses, excluding expense reductions and including expenses reimbursed	1.24	%	1.25	%	1.27	%	1.32	%	1.30	%
Expenses, including expense reductions and expenses reimbursed	1.24	%	1.25	%	1.27	%	1.32	%	1.30	%
Expenses, excluding expense reductions and expenses reimbursed	1.24	%	1.25	%	1.27	%	1.32	%	1.37	%
Net investment income	.80	%	.98	%	1.61	%	2.50	%	3.52	%
Supplemental Data:
Net assets, end of year (000)	$10		$9		$32		$16		$4
Portfolio turnover rate	141.92	%	130.30	%	113.50	%	90.72	%	83.70	%

(a)	Calculated using average shares outstanding during the year.
(b)	Total return assumes the reinvestment of all distributions.

See Notes to Financial Statements. 43

Financial Highlights (continued)

EMERGING MARKETS CURRENCY FUND

	Class R2 Shares
	Year Ended 12/31
	2012			2011			2010			2009			2008
Per Share Operating Performance
Net asset value, beginning of year		$6.16			$6.75			$6.71			$5.72			$6.73
Investment operations:
Net investment income(a)		.04			.05			.09			.15			.25
Net realized and unrealized gain (loss)		.59			(.46	)		.27			1.00			(1.01	)
Total from investment operations		.63			(.41	)		.36			1.15			(.76	)
Distributions to shareholders from:
Net investment income		(.13	)		(.15	)		(.18	)		(.16	)		(.14	)
Net realized gain		–			(.03	)		(.14	)		–			–
Return of capital		(.02	)		–			–			–			(.11	)
Total distributions		(.15	)		(.18	)		(.32	)		(.16	)		(.25	)
Net asset value, end of year		$6.64			$6.16			$6.75			$6.71			$5.72
Total Return(b)		10.24	%		(6.22	)%		5.54	%		20.12	%		(11.63	)%
Ratios to Average Net Assets:
Expenses, excluding expense reductions and including expenses reimbursed		1.41	%		1.41	%		1.42	%		1.50	%		1.08	%
Expenses, including expense reductions and expenses reimbursed		1.41	%		1.41	%		1.42	%		1.50	%		1.07	%
Expenses, excluding expense reductions and expenses reimbursed		1.41	%		1.41	%		1.42	%		1.50	%		1.15	%
Net investment income		.63	%		.76	%		1.39	%		2.44	%		3.74	%
Supplemental Data:
Net assets, end of year (000)		$300			$218			$70			$23			$12
Portfolio turnover rate		141.92	%		130.30	%		113.50	%		90.72	%		83.70	%

(a)	Calculated using average shares outstanding during the year.
(b)	Total return assumes the reinvestment of all distributions.

44 See Notes to Financial Statements.

Financial Highlights (concluded)

EMERGING MARKETS CURRENCY FUND

	Class R3 Shares
	Year Ended 12/31
	2012			2011			2010			2009			2008
Per Share Operating Performance
Net asset value, beginning of year		$6.14			$6.73			$6.70			$5.72			$6.73
Investment operations:
Net investment income(a)		.05			.06			.10			.16			.23
Net realized and unrealized gain (loss)		.57			(.46	)		.26			.99			(.99	)
Total from investment operations		.62			(.40	)		.36			1.15			(.76	)
Distributions to shareholders from:
Net investment income		(.13	)		(.16	)		(.19	)		(.17	)		(.14	)
Net realized gain		–			(.03	)		(.14	)		–			–
Return of capital		(.02	)		–			–			–			(.11	)
Total distributions		(.15	)		(.19	)		(.33	)		(.17	)		(.25	)
Net asset value, end of year		$6.61			$6.14			$6.73			$6.70			$5.72
Total Return(b)		10.23	%		(6.14	)%		5.49	%		20.33	%		(11.76	)%
Ratios to Average Net Assets:
Expenses, excluding expense reductions and including expenses reimbursed		1.29	%		1.31	%		1.33	%		1.41	%		1.26	%
Expenses, including expense reductions and expenses reimbursed		1.29	%		1.31	%		1.33	%		1.41	%		1.26	%
Expenses, excluding expense reductions and expenses reimbursed		1.29	%		1.31	%		1.33	%		1.41	%		1.30	%
Net investment income		.74	%		.92	%		1.48	%		2.52	%		3.50	%
Supplemental Data:
Net assets, end of year (000)		$617			$411			$326			$103			$57
Portfolio turnover rate		141.92	%		130.30	%		113.50	%		90.72	%		83.70	%

(a)	Calculated using average shares outstanding during the year.
(b)	Total return assumes the reinvestment of all distributions.

See Notes to Financial Statements. 45

Financial Highlights

GLOBAL ALLOCATION FUND

	Class A Shares
	Year Ended 12/31
	2012			2011			2010			2009			2008
Per Share Operating Performance
Net asset value, beginning of year		$10.29			$11.41			$10.56			$7.95			$13.15
Investment operations:
Net investment income(a)		.36			.35			.33			.28			.26
Net realized and unrealized gain (loss)		1.16			(1.12	)		.84			2.66			(5.10	)
Total from investment operations		1.52			(.77	)		1.17			2.94			(4.84	)
Distributions to shareholders from:
Net investment income		(.38	)		(.35	)		(.32	)		(.33	)		(.17	)
Net realized gain		–			–			–			–			(.19	)
Return of capital		(.01	)		–			–			–			–
Total distributions		(.39	)		(.35	)		(.32	)		(.33	)		(.36	)
Net asset value, end of year		$11.42			$10.29			$11.41			$10.56			$7.95
Total Return(b)		15.02	%		(6.89	)%		11.36	%		37.83	%		(37.33	)%
Ratios to Average Net Assets:(c)
Expenses, excluding expense reductions and including expenses assumed and management fee waived		.30	%		.28	%		.35	%		.35	%		1.07	%
Expenses, including expense reductions, expenses assumed and management fee waived		.30	%		.28	%		.35	%		.35	%		1.06	%
Expenses, excluding expense reductions, expenses assumed and management fee waived		.80	%		.84	%		.94	%		1.17	%		1.60	%
Net investment income		3.31	%		3.11	%		3.07	%		3.15	%		2.40	%
Supplemental Data:
Net assets, end of year (000)		$110,910			$108,217			$107,234			$83,625			$53,568
Portfolio turnover rate		36.34	%		27.66	%		9.48	%		6.81	%		147.44	%

(a)	Calculated using average shares outstanding during the year.
(b)	Total return does not consider the effects of sales loads and assumes the reinvestment of all distributions.
(c)	Does not include expenses of the Underlying Funds in which the Fund invests.

46 See Notes to Financial Statements.

Financial Highlights (continued)

GLOBAL ALLOCATION FUND

	Class B Shares
	Year Ended 12/31
	2012			2011			2010			2009			2008
Per Share Operating Performance
Net asset value, beginning of year		$9.51			$10.57			$9.81			$7.38			$12.25
Investment operations:
Net investment income(a)		.25			.24			.23			.21			.18
Net realized and unrealized gain (loss)		1.09			(1.03	)		.79			2.48			(4.74	)
Total from investment operations		1.34			(.79	)		1.02			2.69			(4.56	)
Distributions to shareholders from:
Net investment income		(.31	)		(.27	)		(.26	)		(.26	)		(.12	)
Net realized gain		–			–			–			–			(.19	)
Return of capital		(.01	)		–			–			–			–
Total distributions		(.32	)		(.27	)		(.26	)		(.26	)		(.31	)
Net asset value, end of year		$10.53			$9.51			$10.57			$9.81			$7.38
Total Return(b)		14.24	%		(7.56	)%		10.60	%		37.10	%		(37.74	)%
Ratios to Average Net Assets:(c)
Expenses, excluding expense reductions and including expenses assumed and management fee waived		1.04	%		.99	%		1.00	%		1.00	%		1.72	%
Expenses, including expense reductions, expenses assumed and management fee waived		1.04	%		.99	%		1.00	%		1.00	%		1.72	%
Expenses, excluding expense reductions, expenses assumed and management fee waived		1.54	%		1.55	%		1.59	%		1.82	%		2.26	%
Net investment income		2.51	%		2.29	%		2.35	%		2.49	%		1.74	%
Supplemental Data:
Net assets, end of year (000)		$6,939			$8,276			$11,389			$10,668			$7,194
Portfolio turnover rate		36.34	%		27.66	%		9.48	%		6.81	%		147.44	%

(a)	Calculated using average shares outstanding during the year.
(b)	Total return does not consider the effects of sales loads and assumes the reinvestment of all distributions.
(c)	Does not include expenses of the Underlying Funds in which the Fund invests.

See Notes to Financial Statements. 47

Financial Highlights (continued)

GLOBAL ALLOCATION FUND

	Class C Shares
	Year Ended 12/31
	2012			2011			2010			2009			2008
Per Share Operating Performance
Net asset value, beginning of year		$9.53			$10.59			$9.83			$7.40			$12.28
Investment operations:
Net investment income(a)		.26			.25			.24			.22			.18
Net realized and unrealized gain (loss)		1.07			(1.03	)		.78			2.47			(4.75	)
Total from investment operations		1.33			(.78	)		1.02			2.69			(4.57	)
Distributions to shareholders from:
Net investment income		(.31	)		(.28	)		(.26	)		(.26	)		(.12	)
Net realized gain		–			–			–			–			(.19	)
Return of capital		(.01	)		–			–			–			–
Total distributions		(.32	)		(.28	)		(.26	)		(.26	)		(.31	)
Net asset value, end of year		$10.54			$9.53			$10.59			$9.83			$7.40
Total Return(b)		14.17	%		(7.48	)%		10.58	%		37.00	%		(37.73	)%
Ratios to Average Net Assets:(c)
Expenses, excluding expense reductions and including expenses assumed and management fee waived		1.04	%		.97	%		1.00	%		1.00	%		1.71	%
Expenses, including expense reductions, expenses assumed and management fee waived		1.04	%		.97	%		1.00	%		1.00	%		1.71	%
Expenses, excluding expense reductions, expenses assumed and management fee waived		1.53	%		1.53	%		1.59	%		1.80	%		2.25	%
Net investment income		2.62	%		2.42	%		2.46	%		2.55	%		1.76	%
Supplemental Data:
Net assets, end of year (000)		$29,821			$26,322			$25,893			$17,741			$9,428
Portfolio turnover rate		36.34	%		27.66	%		9.48	%		6.81	%		147.44	%

(a)	Calculated using average shares outstanding during the year.
(b)	Total return does not consider the effects of sales loads and assumes the reinvestment of all distributions.
(c)	Does not include expenses of the Underlying Funds in which the Fund invests.

48 See Notes to Financial Statements.

Financial Highlights (continued)

GLOBAL ALLOCATION FUND

	Class F Shares
	Year Ended 12/31
	2012			2011			2010			2009			2008
Per Share Operating Performance
Net asset value, beginning of year		$10.29			$11.41			$10.56			$7.95			$13.12
Investment operations:
Net investment income(a)		.36			.37			.39			.35			.32
Net realized and unrealized gain (loss)		1.19			(1.12	)		.80			2.61			(5.11	)
Total from investment operations		1.55			(.75	)		1.19			2.96			(4.79	)
Distributions to shareholders from:
Net investment income		(.40	)		(.37	)		(.34	)		(.35	)		(.19	)
Net realized gain		–			–			–			–			(.19	)
Return of capital		(.01	)		–			–			–			–
Total distributions		(.41	)		(.37	)		(.34	)		(.35	)		(.38	)
Net asset value, end of year		$11.43			$10.29			$11.41			$10.56			$7.95
Total Return(b)		15.28	%		(6.72	)%		11.57	%		38.16	%		(37.09	)%
Ratios to Average Net Assets:(c)
Expenses, excluding expense reductions and including expenses assumed and management fee waived		.15	%		.10	%		.10	%		.10	%		.62	%
Expenses, including expense reductions, expenses assumed and management fee waived		.15	%		.10	%		.10	%		.10	%		.61	%
Expenses, excluding expense reductions, expenses assumed and management fee waived		.65	%		.66	%		.69	%		.83	%		1.26	%
Net investment income		3.31	%		3.36	%		3.63	%		3.66	%		3.02	%
Supplemental Data:
Net assets, end of year (000)		$2,423			$3,156			$2,256			$641			$9
Portfolio turnover rate		36.34	%		27.66	%		9.48	%		6.81	%		147.44	%

(a)	Calculated using average shares outstanding during the year.
(b)	Total return assumes the reinvestment of all distributions.
(c)	Does not include expenses of the Underlying Funds in which the Fund invests.

See Notes to Financial Statements. 49

Financial Highlights (continued)

GLOBAL ALLOCATION FUND

	Class I Shares
	Year Ended 12/31
	2012			2011			2010			2009			2008
Per Share Operating Performance
Net asset value, beginning of year		$10.34			$11.47			$10.61			$7.98			$13.18
Investment operations:
Net investment income(a)		.39			.38			.37			.32			.31
Net realized and unrealized gain (loss)		1.18			(1.13	)		.84			2.67			(5.13	)
Total from investment operations		1.57			(.75	)		1.21			2.99			(4.82	)
Distributions to shareholders from:
Net investment income		(.41	)		(.38	)		(.35	)		(.36	)		(.19	)
Net realized gain		–			–			–			–			(.19	)
Return of capital		(.01	)		–			–			–			–
Total distributions		(.42	)		(.38	)		(.35	)		(.36	)		(.38	)
Net asset value, end of year		$11.49			$10.34			$11.47			$10.61			$7.98
Total Return(b)		15.42	%		(6.69	)%		11.69	%		38.39	%		(37.10	)%
Ratios to Average Net Assets:(c)
Expenses, excluding expense reductions and including expenses assumed and management fee waived		.05	%		.00	%		.00	%		.00	%		.69	%
Expenses, including expense reductions, expenses assumed and management fee waived		.05	%		.00	%		.00	%		.00	%		.69	%
Expenses, excluding expense reductions, expenses assumed and management fee waived		.55	%		.57	%		.60	%		.80	%		1.25	%
Net investment income		3.57	%		3.38	%		3.40	%		3.55	%		2.85	%
Supplemental Data:
Net assets, end of year (000)		$22,289			$14,086			$8,460			$1,055			$557
Portfolio turnover rate		36.34	%		27.66	%		9.48	%		6.81	%		147.44	%

(a)	Calculated using average shares outstanding during the year.
(b)	Total return assumes the reinvestment of all distributions.
(c)	Does not include expenses of the Underlying Funds in which the Fund invests.

50 See Notes to Financial Statements.

Financial Highlights (continued)

GLOBAL ALLOCATION FUND

	Class R2 Shares
	Year Ended 12/31												6/23/2008(a) to 12/31/2008
	2012			2011			2010			2009
Per Share Operating Performance
Net asset value, beginning of period		$10.46			$11.55			$10.64			$7.96			$11.83
Investment operations:
Net investment income(b)		.34			.49			.36			.31			.18
Net realized and unrealized gain (loss)		1.18			(1.26	)		.85			2.68			(3.70	)
Total from investment operations		1.52			(.77	)		1.21			2.99			(3.52	)
Distributions to shareholders from:
Net investment income		(.35	)		(.32	)		(.30	)		(.31	)		(.16	)
Net realized gain		–			–			–			–			(.19	)
Return of capital		(.01	)		–			–			–			–
Total distributions		(.36	)		(.32	)		(.30	)		(.31	)		(.35	)
Net asset value, end of period		$11.62			$10.46			$11.55			$10.64			$7.96
Total Return(c)		14.71	%		(6.77	)%		11.63	%		38.36	%		(30.36	)%(d)
Ratios to Average Net Assets:(e)
Expenses, excluding expense reductions and including expenses assumed and management fee waived		.61	%		.34	%		.05	%		.00	%		.32	%(d)
Expenses, including expense reductions, expenses assumed and management fee waived		.61	%		.34	%		.05	%		.00	%		.32	%(d)
Expenses, excluding expense reductions, expenses assumed and management fee waived		1.11	%		.93	%		.65	%		.81	%		.87	%(d)
Net investment income		3.05	%		4.44	%		3.38	%		3.46	%		1.88	%(d)
Supplemental Data:
Net assets, end of period (000)		$107			$88			$11			$10			$7
Portfolio turnover rate		36.34	%		27.66	%		9.48	%		6.81	%		147.44	%

(a)	Commencement of operations was 6/23/2008, SEC effective date was 9/14/2007 and date shares first became available to the public was 7/1/2008.
(b)	Calculated using average shares outstanding during the period.
(c)	Total return assumes the reinvestment of all distributions.
(d)	Not annualized.
(e)	Does not include expenses of the Underlying Funds in which the Fund invests.

See Notes to Financial Statements. 51

Financial Highlights (concluded)

GLOBAL ALLOCATION FUND

	Class R3 Shares
	Year Ended 12/31												6/23/2008(a) to 12/31/2008
	2012			2011			2010			2009
Per Share Operating Performance
Net asset value, beginning of period		$10.34			$11.47			$10.62			$7.95			$11.83
Investment operations:
Net investment income(b)		.35			.34			.34			.37			.18
Net realized and unrealized gain (loss)		1.16			(1.14	)		.82			2.62			(3.70	)
Total from investment operations		1.51			(.80	)		1.16			2.99			(3.52	)
Distributions to shareholders from:
Net investment income		(.36	)		(.33	)		(.31	)		(.32	)		(.17	)
Net realized gain		–			–			–			–			(.19	)
Return of capital		(.01	)		–			–			–			–
Total distributions		(.37	)		(.33	)		(.31	)		(.32	)		(.36	)
Net asset value, end of period		$11.48			$10.34			$11.47			$10.62			$7.95
Total Return(c)		14.81	%		(7.10	)%		11.17	%		38.40	%		(30.40	)%(d)
Ratios to Average Net Assets:(e)
Expenses, excluding expense reductions and including expenses assumed and management fee waived		.52	%		.47	%		.50	%		.26	%		.27	%(d)
Expenses, including expense reductions, expenses assumed and management fee waived		.52	%		.47	%		.50	%		.26	%		.26	%(d)
Expenses, excluding expense reductions, expenses assumed and management fee waived		1.02	%		1.04	%		1.10	%		.92	%		.82	%(d)
Net investment income		3.17	%		3.03	%		3.20	%		3.79	%		1.93	%(d)
Supplemental Data:
Net assets, end of period (000)		$5,211			$3,285			$2,179			$51			$7
Portfolio turnover rate		36.34	%		27.66	%		9.48	%		6.81	%		147.44	%

(a)	Commencement of operations was 6/23/2008, SEC effective date was 9/14/2007 and date shares first became available to the public was 7/1/2008.
(b)	Calculated using average shares outstanding during the period.
(c)	Total return assumes the reinvestment of all distributions.
(d)	Not annualized.
(e)	Does not include expenses of the Underlying Funds in which the Fund invests.

52 See Notes to Financial Statements.

Notes to Financial Statements

1. ORGANIZATION

Lord Abbett Global Fund, Inc. (the “Company”) is registered under the Investment Company Act of 1940, as amended (the “Act”), as an open-end management investment company and was incorporated under Maryland law on February 23, 1988. The Company consists of the following two portfolios (each, a “Fund” and collectively, the “Funds”) and their respective classes: Lord Abbett Emerging Markets Currency Fund (“Emerging Markets Currency Fund”), Class A, B, C, F, I, P, R2 and R3 shares; and Lord Abbett Global Allocation Fund (“Global Allocation Fund”), Class A, B, C, F, I, P, R2 and R3 shares. Global Allocation Fund is diversified as defined in the Act and Emerging Markets Currency Fund is non-diversified as defined in the Act.

Emerging Markets Currency Fund’s investment objective is to seek high total return. Global Allocation Fund’s investment objective is total return. Global Allocation Fund invests in other mutual funds (“Underlying Funds”) managed by Lord, Abbett & Co. LLC (“Lord Abbett”).

Each class of shares has different expenses and dividends. A front-end sales charge is normally added to the net asset value (“NAV”) for Class A shares. There is no front-end sales charge in the case of Class B, C, F, I, P R2 and R3 shares, although there may be a contingent deferred sales charge (“CDSC”) in certain cases as follows: Class A shares purchased without a sales charge and redeemed before the first day of the month in which the one-year anniversary of the purchase falls (subject to certain exceptions as set forth in each Fund’s prospectus); Class B shares redeemed before the sixth anniversary of purchase; and Class C shares redeemed before the first anniversary of purchase. Class B shares will automatically convert to Class A shares on the 25^th day of the month (or, if the 25^th day is not a business day, the next business day thereafter) following the eighth anniversary of the day on which the purchase order was accepted. The Funds no longer issue Class B shares for purchase. Emerging Markets Currency Fund’s Class P shares are closed to substantially all new investors, with certain exceptions as set forth in the Funds’ prospectus. As of the date of this report, Global Allocation Fund has not issued Class P shares.

The preparation of the financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of increases and decreases in net assets from operations during the reporting period. Actual results could differ from those estimates.

2. SIGNIFICANT ACCOUNTING POLICIES

(a)

Investment Valuation–Under procedures approved by the Funds’ Board of Directors (the “Board”), Lord Abbett, the Funds’ investment manager, has formed a Pricing Committee to administer the pricing and valuation of portfolio investments and to ensure that prices utilized reasonably reflect fair value. Among other things, these procedures allow the Funds to utilize independent pricing services, quotations from securities and financial instrument dealers and other market sources to determine fair value.

Securities actively traded on any recognized U.S. or non-U.S. exchange or on The NASDAQ Stock Market LLC are valued at the last sale price or official closing price on the exchange or system on which they are principally traded. Events occurring after the close of trading on non-U.S. exchanges may result in adjustments to the valuation of foreign securities to reflect their fair value as of the close of regular trading on the New York Stock Exchange LLC. Each

53

Notes to Financial Statements (continued)

	Fund may rely on an independent fair valuation service in adjusting the valuations of foreign securities. Unlisted equity securities are valued at the last quoted sale price or, if no sale price is available, at the mean between the most recently quoted bid and asked prices. Fixed income securities are valued at the mean between the bid and asked prices on the basis of prices supplied by independent pricing services, which reflect broker/dealer supplied valuations and the independent pricing services’ own electronic data processing techniques. Exchange-traded options and futures contracts are valued at the last sale price in the market where they are principally traded. If no sale has occurred, the mean between the most recently quoted bid and asked prices is used. Forward foreign currency exchange contracts are valued using daily forward exchange rates. Swaps are valued daily using independent pricing services or quotations from broker/dealer to the extent available.
	Securities for which prices are not readily available are valued at fair value as determined by the Pricing Committee and approved by the Board. The Pricing Committee considers a number of factors, including observable and unobservable inputs, when arriving at fair value. The Pricing Committee may use observable inputs such as yield curves, broker quotes, observable trading activity, option adjusted spread models and other relevant information to determine fair value of portfolio investments. The Board or a designated committee thereof regularly reviews fair value determinations made by the Pricing Committee and employs techniques such as reviewing of any related market activity, reviewing inputs and assumptions, and retrospectively comparing prices of subsequent purchases and sales transactions to fair value determinations made by the Pricing Committee.
	Short-term securities with 60 days or less remaining to maturity are valued using the amortized cost method, which approximates fair value.
(b)	Security Transactions–Security transactions are recorded as of the date that the securities are purchased or sold (trade date). Realized gains and losses on sales of portfolio securities are calculated using the identified-cost method. Realized and unrealized gains (losses) are allocated to each class of shares based upon the relative proportion of net assets at the beginning of the day.
(c)	Investment Income–Dividend income is recorded on the ex-dividend date. Interest income is recorded on the accrual basis as earned. Discounts are accreted and premiums are amortized using the effective interest method and are included in Interest and other income on the Statements of Operations. Investment income is allocated to each class of shares based upon the relative proportion of net assets at the beginning of the day.
(d)	Income Taxes–It is the policy of each Fund to meet the requirements of Subchapter M of the Internal Revenue Code applicable to regulated investment companies and to distribute substantially all taxable income and capital gains to its shareholders. Therefore, no income tax provision is required.
	Each Fund files U.S. federal and various state and local tax returns. No income tax returns are currently under examination. The statute of limitations on the Funds’ filed U.S. federal tax returns remains open for the fiscal years ended December 31, 2009 through December 31, 2012. The statutes of limitations on the Company’s state and local tax returns may remain open for an additional year depending upon the jurisdiction.

54

Notes to Financial Statements (continued)

(e)	Expenses–Expenses incurred by the Company that do not specifically relate to an individual fund are generally allocated to the Funds within the Company on a pro rata basis by relative net assets. Expenses, excluding class-specific expenses, are allocated to each class of shares based upon the relative proportion of net assets at the beginning of the day. Class A, B, C, F, P, R2 and R3 shares bear their class-specific share of all expenses and fees relating to the Funds’ 12b-1 Distribution Plan.
(f)	Foreign Transactions–The books and records of Emerging Markets Currency Fund are maintained in U.S. dollars and transactions denominated in foreign currencies are recorded in the Fund’s records at the rate prevailing when earned or recorded. Asset and liability accounts that are denominated in foreign currencies are adjusted daily to reflect current exchange rates and any unrealized gain (loss) is included in Net change in unrealized appreciation/depreciation on investments, futures contracts, swaps and translation of assets and liabilities denominated in foreign currencies on the Fund’s Statement of Operations. The resultant exchange gains and losses upon settlement of such transactions are included in Net realized gain on investments, futures contracts, swaps and foreign currency related transactions on the Fund’s Statement of Operations. The Fund does not isolate that portion of the results of operations arising as a result of changes in the foreign exchange rates from the changes in market prices of the securities.
	The Fund uses foreign currency exchange contracts to facilitate transactions in foreign-denominated securities. Losses from these transactions may arise from changes in the value of the foreign currency or if the counterparties do not perform under the contracts’ terms.
(g)	Forward Foreign Currency Exchange Contracts–Emerging Markets Currency Fund may enter into forward foreign currency exchange contracts in order to reduce its exposure to changes in foreign currency exchange rates on its foreign portfolio holdings or gain or reduce exposure to foreign currency for investment purposes. A forward foreign currency exchange contract is a commitment to purchase or sell a foreign currency at a future date at a negotiated rate. The contracts are valued daily at forward exchange rates and any unrealized gain (loss) is included in Net change in unrealized appreciation/depreciation on investments, futures contracts, swaps and translation of assets and liabilities denominated in foreign currencies on the Fund’s Statement of Operations. The gain (loss) arising from the difference between the U.S. dollar cost of the original contract and the value of the foreign currency in U.S. dollars upon closing of such contracts is included in Net realized gain on investments, futures contracts, swaps and foreign currency related transactions on the Fund’s Statement of Operations.
(h)	Futures Contracts–Emerging Markets Currency Fund may purchase and sell futures contracts to enhance returns, to attempt to hedge some of its investment risk, or as a substitute position for holding the underlying asset on which the instrument is based. At the time of entering into a futures transaction, an investor is required to deposit and maintain a specified amount of cash or eligible securities called “initial margin.” Subsequent payments made or received by the Fund called “variation margin” are made on a daily basis as the market price of the futures contract fluctuates. The Fund will record an unrealized gain (loss) based on the amount of variation margin. When a contract is closed, a realized gain (loss) is recorded equal to the difference between the opening and closing value of the contract.
(i)	When-Issued, Forward Transactions or To-Be-Announced (“TBA”) Transactions–Emerging Markets Currency Fund may purchase portfolio securities on a when-issued or forward basis. When-issued, forward transactions or TBA transactions involve a commitment

55

Notes to Financial Statements (continued)

	by a Fund to purchase securities, with payment and delivery (“settlement”) to take place in the future, in order to secure what is considered to be an advantageous price or yield at the time of entering into the transaction. During the period between purchase and settlement, the fair value of the securities will fluctuate and assets consisting of cash and/or marketable securities (normally short-term U.S. Government or U.S. Government sponsored enterprise securities) marked to market daily in an amount sufficient to make payment at settlement will be segregated at the Fund’s custodian in order to pay for the commitment. At the time each Fund makes the commitment to purchase a security on a when-issued basis, it will record the transaction and reflect the liability for the purchase and fair value of the security in determining its NAV. The Fund, generally, has the ability to close out a purchase obligation on or before the settlement date rather than take delivery of the security. Under no circumstances will settlement for such securities take place more than 120 days after the purchase date.
(j)	Mortgage Dollar Rolls–Emerging Markets Currency Fund may enter into mortgage dollar rolls in which a Fund sells mortgage-backed securities for delivery in the current month and simultaneously contracts with the same counterparty to repurchase similar (same type, coupon and maturity) but not identical securities on a specified future date. During the roll period, the Fund loses the right to receive principal (including prepayments of principal) and interest paid on the securities sold.
(k)	Commercial Paper–Each Fund may purchase commercial paper. Commercial paper consists of unsecured promissory notes issued by corporations to finance short-term credit needs. Commercial paper is issued in bearer form with maturities generally not exceeding nine months. Commercial paper obligations may include variable amount master demand notes.
(l)	Repurchase Agreements–Each Fund may enter into repurchase agreements with respect to securities. A repurchase agreement is a transaction in which a Fund acquires a security and simultaneously commits to resell that security to the seller (a bank or securities dealer) at an agreed-upon price on an agreed-upon date. Each Fund requires at all times that the repurchase agreement be collateralized by cash, or by securities of the U.S. Government, its agencies, its instrumentalities, or U.S. Government sponsored enterprises having a value equal to, or in excess of, the value of the repurchase agreement (including accrued interest). If the seller of the agreement defaults on its obligation to repurchase the underlying securities at a time when the fair value of these securities has declined, a Fund may incur a loss upon disposition of the securities.
(m)	Interest Rate Swaps–Emerging Markets Currency Fund may invest in interest rate swaps in order to enhance returns or hedge against interest rate risk. Interest rate swaps are agreements in which one party pays a stream of interest payments, either fixed or floating, for another party’s stream of interest payments, either fixed or floating, on the same notional amount for a specified period of time. The interest rate swap agreement will normally be entered into on a zero coupon basis, meaning that the floating rate will be based on the cumulative of the variable rate, and the fixed rate will compound until the swap’s maturity date, at which point the payments would be netted. The swaps are valued daily and any unrealized gain (loss) is included in the Net change in unrealized appreciation/depreciation on investments, futures contracts, swaps and translation of assets and liabilities denominated in foreign currencies on the Fund’s Statement of Operations. A liquidation payment received or made at the termination or maturity of the swap is recorded in realized gain (loss) and is included in Net realized gain on investments, futures contracts, swaps and foreign currency related transactions on the Fund’s Statement of Operations.

56

Notes to Financial Statements (continued)

(n)	Credit Default Swaps–Emerging Markets Currency Fund may enter into credit default swap contracts. As a seller of a credit default swap contract (“seller of protection”), the Fund is required to pay the notional amount or other agreed-upon value of a referenced debt obligation to the counterparty in the event of a default by or other credit event involving the referenced issuer, obligation or index. In return, the Fund receives from the counterparty a periodic stream of payments over the term of the contract.
	As a purchaser of a credit default swap contract (“buyer of protection”), the Fund would receive the notional amount or other agreed upon value of a referenced debt obligation from the counterparty in the event of default by or other credit event involving the referenced issuer, obligation or index. In return, the Fund would make periodic payments to the counterparty over the term of the contracts, provided no event of default has occurred.
	These credit default swaps may have as a reference obligation corporate or sovereign issuers or credit indices. These credit indices are comprised of a basket of securities representing a particular sector of the market. During the period, Emerging Markets Currency Fund entered into credit default swaps based on CMBX indices, which are comprised of commercial mortgage-backed securities.
	Credit default swaps are fair valued daily based upon quotations from counterparties, brokers or market-makers and the change in value, if any, is recorded as an unrealized appreciation or depreciation. For a credit default swap sold by the Fund, payment of the agreed-upon amount made by the Fund in the event of default of the referenced debt obligation is recorded as the cost of the referenced debt obligation purchased/received. For a credit default swap purchased by the Fund, the agreed-upon amount received by the Fund in the event of default of the referenced debt obligation is recorded as proceeds from sale/delivery of the referenced debt obligation and the resulting gain or loss realized on the referenced debt obligation is recorded as such by the Fund.
	Any upfront payments made or received upon entering a credit default swap contract would be amortized or accreted over the life of the swap and recorded as realized gains or losses. Collateral, in the form of cash or securities, may be required to be held in segregated accounts with the custodian bank or broker in accordance with the swap agreement. The value and credit rating of each credit default swap where the Fund is the seller of protection, are both measures of the current payment/performance risk of the swap. As the value of the swap changes as a positive or negative percentage of the total notional amount, the payment/performance risk may decrease or increase, respectively. The maximum potential amount of future payments (undiscounted) that a Fund as a seller of protection could be required to make under a credit default swap agreement would be an amount equal to the notional amount of the agreement. These potential amounts would be partially offset by any recovery values of the respective referenced obligations, upfront payments received upon entering into the agreement, or net amounts received from the settlement of buy protection credit default swap agreements entered into by the Fund for the same referenced entity or entities.
	Entering into credit default swaps involves credit and market risk. Such risks involve the possibility that there will be no liquid market for these agreements, that the counterparty to the agreements may default on its obligation to perform or disagree as to the meaning of the contractual terms in the agreements, and that there may be unfavorable changes in interest rates, and that Lord Abbett does not correctly predict the creditworthiness of the issuers of the reference obligation on which the credit default swap is based.

57

Notes to Financial Statements (continued)

(o) Fair Value Measurements–Fair value is defined as the price that each Fund would receive upon selling an investment or transferring a liability in an orderly transaction to an independent buyer in the principal or most advantageous market of the investment. A three-tier hierarchy is used to maximize the use of observable market data and minimize the use of unobservable inputs and to establish classification of fair value measurements for disclosure purposes. Inputs refer broadly to the assumptions that market participants would use in pricing the asset or liability, including assumptions about risk–for example, the risk inherent in a particular valuation technique used to measure fair value (such as a pricing model) and/or the risk inherent in the inputs to the valuation technique. Inputs may be observable or unobservable. Observable inputs reflect the assumptions market participants would use in pricing the asset or liability. Observable inputs are based on market data obtained from sources independent of the reporting entity. Unobservable inputs reflect the reporting entity’s own assumptions about the assumptions market participants would use in pricing the asset or liability. Unobservable inputs are based on the best information available in the circumstances. The three-tier hierarchy of inputs is summarized in the three broad Levels listed below:

•	Level 1 –	unadjusted 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.); and
•	Level 3 –	significant unobservable inputs (including each Fund’s own assumptions in determining the fair value of investments).

Changes in valuation techniques may result in transfers into or out of an assigned level within the three-tier hierarchy. All transfers between different levels within the three-tier hierarchy are deemed to have occurred as of the beginning of the reporting period. The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.

The following is a summary of the inputs used as of December 31, 2012 in valuing each Fund’s investments carried at fair value:

	Emerging Markets Currency Fund
Investment Type*	Level 1		Level 2		Level 3		Total
Asset-Backed Securities	$	–	$	45,852,167	$	–	$	45,852,167
Corporate Bonds		–		174,647,062		–		174,647,062
Foreign Bond		–		1,417,297		–		1,417,297
Foreign Government Obligations		–		28,984,173		–		28,984,173
Government Sponsored Enterprises Collateralized Mortgage Obligations		–		14,344,513		–		14,344,513
Government Sponsored Enterprises Pass-Throughs		–		56,916,021		–		56,916,021
Non-Agency Commercial Mortgage-Backed Securities		–		97,216,780		–		97,216,780
Commercial Paper		–		6,724,435		–		6,724,435
Repurchase Agreement		–		17,290,000		–		17,290,000
Total	$	–	$	443,392,448	$	–	$	443,392,448

58

Notes to Financial Statements (continued)

Investment Type*	Level 1			Level 2			Level 3		Total
Other Financial Instruments
Forward Foreign Currency Exchange Contracts
Asset	$	–		$	6,938,950		$	–	$	6,938,950
Liabilities		–			(2,044,782	)		–		(2,044,782	)
Futures Contracts
Asset		129,251			–			–		129,251
Liabilities		(10,788	)		–			–		(10,788	)
Credit Default Swaps
Assets		–			145,676			–		145,676
Liabilities		–			(7,523	)		–		(7,523	)
Interest Rate Swap
Assets		–			–			–		–
Liabilities		–			(31,814	)		–		(31,814	)
Total	$	118,463		$	5,000,507		$	–	$	5,118,970

* See Schedule of Investments for fair values in each industry and identification of foreign issuers and/or geography.

	Global Allocation Fund
Investment Type	Level 1 (000		)		Level 2 (000	)		Level 3 (000	)		Total (000	)
Investments in Underlying Funds	$	177,972		$	–		$	–		$	177,972
Total	$	177,972		$	–		$	–		$	177,972

(p)	Disclosures about Derivative Instruments and Hedging Activities–Emerging Markets Currency Fund entered into forward foreign currency exchange contracts for the fiscal year ended December 31, 2012 (as described in note 2(g)). A forward foreign currency exchange contract reduces the Fund’s exposure to changes in the value of the currency it will deliver (or settle in cash) and increases its exposure to changes in the value of the currency it will receive (or settle in cash) for the duration of the contract. The Fund’s use of forward foreign currency exchange contracts involves the risk that Lord Abbett will not accurately predict currency movements, and the Fund’s returns could be reduced as a result. Forward foreign currency exchange contracts are subject to the risk that those currencies will decline in value relative to the U.S. dollar, or, in the case of hedged positions, that the U.S. dollar will decline relative to the currency being hedged. Currency rates in foreign countries may fluctuate significantly over short periods of time. The Fund’s risk of loss from counterparty credit risk is the unrealized appreciation on foreign currency exchange contracts and deposits as collateral.
	Emerging Markets Currency Fund entered into U.S. Treasury futures contracts for the fiscal year ended December 31, 2012 (as described in note 2(h)) to hedge against changes in interest rates. The Fund bears the risk of interest rates moving unexpectedly, in which case the Fund may not achieve the anticipated benefits of the futures contracts and realize a loss. There is minimal counterparty credit risk to the Fund since futures are exchange traded and the exchange’s clearinghouse, as counterparty to all exchange traded futures, guarantees futures against default.
	Emerging Markets Currency Fund entered into credit default swaps for the fiscal year ended December 31, 2012 (as described in note 2(n)) for investment purposes to hedge credit risk or for speculative purposes. Credit default swaps involve the exchange of a fixed rate premium for protection against the loss in value of an underlying security in the event of a defined credit event, such as payment default or bankruptcy. Under a credit default swap one party acts as a

59

Notes to Financial Statements (continued)

guarantor by receiving the fixed periodic payment in exchange for the commitment to purchase the underlying security at par if the defined credit event occurs. Upon the occurrence of a defined credit event, the difference between the value of the reference obligation and the swap’s notional amount is recorded as realized gain or loss on swap transactions in the Statements of Operations. The Fund’s maximum risk of loss from counterparty risk, either as the protection seller or as the protection buyer, is the fair value of the contract.

Emerging Markets Currency Fund entered into interest rate swaps for the fiscal year ended December 31, 2012 (as described in note 2(m)) to hedge against interest rate risk. The Fund’s use of interest rate swaps involves the risk that Lord Abbett will not accurately predict expectations of interest rates, and the Fund’s returns could be reduced as a result. The Fund’s risk of loss from counterparty credit risk is the discounted net value of the cash flows to be received from the counterparty over the life of the contract, to the extent that amount is positive.

As of December 31, 2012, Emerging Markets Currency Fund had the following derivatives, grouped into appropriate risk categories:

Asset Derivatives	Interest Rate Contracts		Forward Foreign Currency Exchange Contracts		Credit Contracts		Fair Value
Futures Contracts(1)	$	129,251	$	–	$	–	$	129,251
Forward Foreign Currency Exchange Contracts(2)		–		6,938,950		–		6,938,950
Credit Default Swaps(3)		–		–		145,676		145,676
Total	$	129,251	$	6,938,950	$	145,676	$	7,213,877
Liability Derivatives
Futures Contracts(1)	$	10,788	$	–	$	–	$	10,788
Forward Foreign Currency Exchange Contracts(4)		–		2,044,782		–		2,044,782
Credit Default Swaps(3)		–		–		7,523		7,523
Interest Rate Swap(5)		31,814		–		–		31,814
Total	$	42,602	$	2,044,782	$	7,523	$	2,094,907

(1)	Statements of Assets & Liabilities location: Includes cumulative unrealized appreciation/depreciation of futures contracts as reported in the Schedule of Investments. Only current day’s variation margin is reported within the Statements of Assets and Liabilities.
(2)	Statements of Assets & Liabilities location: Unrealized appreciation on forward foreign currency exchange contracts.
(3)	Statements of Assets & Liabilities location: Credit default swap agreements payable, at fair value.
(4)	Statements of Assets & Liabilities location: Unrealized depreciation on forward foreign currency exchange contracts.
(5)	Statements of Assets & Liabilities location: Unrealized depreciation on interest rate swap.

60

Notes to Financial Statements (continued)

Transactions in derivative instruments for the fiscal year ended December 31, 2012, were as follows:

	Interest Rate Contracts		Forward Foreign Currency Exchange Contracts		Credit Contracts		Total
Net Realized Gain (Loss)(1)
Futures Contracts	$	(1,708,823)	$	–	$	–	$	(1,708,823)
Forward Foreign Currency Exchange Contracts		–		15,844,233		–		15,844,233
Credit Default Swaps		–		–		11,977		11,977
Interest Rate Swaps		37,678		–		–		37,678
Net Change in Unrealized Appreciation/Depreciation(2)
Futures Contracts	$	371,194	$	–	$	–	$	371,194
Forward Foreign Currency Exchange Contracts		–		12,692,290		–		12,692,290
Credit Default Swaps		–		–		138,153		138,153
Interest Rate Swaps		(31,814)		–		–		(31,814)
Average Number of Contracts/ Notional Amounts*
Futures Contracts(3)		765		–		–		765
Forward Foreign Currency Exchange Contracts(4)	$	–	$	583,281,718	$	–	$	583,281,718
Credit Default Swaps(4)		–		–		2,323,077		2,323,077
Interest Rate Swaps(4)		14,538,462		–		–		14,538,462

*	Calculated based on the number of contracts or notional amounts for the fiscal year ended December 31, 2012.
(1)	Statement of Operations location: Net realized gain on investments, futures contracts, swaps and foreign currency related transactions.
(2)	Statement of Operations location: Net change in unrealized appreciation/depreciation on investments, futures contracts, swaps and translation of assets and liabilities denominated in foreign currencies.
(3)	Amount represents number of contracts.
(4)	Amount represents notional amount in U.S. dollars.

3.    MANAGEMENT FEE AND OTHER TRANSACTIONS WITH AFFILIATES

Management Fee

The Company has a management agreement with Lord Abbett, pursuant to which Lord Abbett supplies each Fund with investment management services and executive and other personnel, provides office space and pays for ordinary and necessary office and clerical expenses relating to research and statistical work and supervision of each Fund’s investment portfolio.

The management fee is based on each Fund’s average daily net assets at the following annual rates:

Emerging Markets Currency Fund

First $1 billion	.50%
Over $1 billion	.45%
Global Allocation Fund	.25%(1)

⁽¹⁾ For the fiscal year ended December 31, 2012 and continuing through April 30, 2013 Lord Abbett has contractually agreed to waive .20% of its management fee for Global Allocation Fund. This agreement may be terminated only upon approval of the Board.

61

Notes to Financial Statements (continued)

For the fiscal year ended December 31, 2012, the effective management fee, net of waivers, was at an annualized rate of .50% and .05% of average daily net assets for Emerging Markets Currency Fund and Global Allocation Fund, respectively.

In addition, Lord Abbett provides certain administrative services to each Fund pursuant to an Administrative Services Agreement in return for a fee at an annual rate of .04% of Emerging Markets Currency Fund’s average daily net assets. Global Allocation Fund does not pay such fee.

Global Allocation Fund has entered into a Servicing Arrangement with the Underlying Funds in which it invests (Lord Abbett Affiliated Fund, Inc.; Lord Abbett Equity Trust—Lord Abbett Calibrated Large Cap Value Fund and Lord Abbett Calibrated Mid Cap Value Fund; Lord Abbett Global Fund, Inc.—Lord Abbett Emerging Markets Currency Fund; Lord Abbett Investment Trust—Lord Abbett High Yield Fund; Lord Abbett Mid Cap Stock Fund, Inc. and Lord Abbett Securities Trust—Lord Abbett International Dividend Income Fund) pursuant to which each Underlying Fund will pay a portion of the expenses (excluding management fees and distribution and service fees) of Global Allocation Fund in proportion to the average daily value of total Underlying Fund shares owned by Global Allocation Fund. The expenses assumed by the Underlying Funds are reflected in Expenses assumed by Underlying Funds in Global Allocation Fund’s Statement of Operations and Receivables from affiliates on Global Allocation Fund’s Statement of Assets and Liabilities. Amounts paid pursuant to the Servicing Arrangement are included in Subsidy expense on Emerging Markets Currency Fund’s Statement of Operations and Payable to affiliates on Emerging Markets Currency Fund’s Statement of Assets and Liabilities.

As of December 31, 2012, the percentages of Emerging Markets Currency Fund’s outstanding shares owned by Lord Abbett Balanced Strategy Fund, Lord Abbett Diversified Income Strategy Fund, Lord Abbett Global Allocation Fund and Lord Abbett Growth and Income Strategy Fund were 30.91%, 15.65%, 7.51% and 1.70%, respectively.

12b-1 Distribution Plan

Each Fund has adopted a distribution plan with respect to Class A, B, C, F, P, R2 and R3 shares pursuant to Rule 12b-1 under the Act, which provides for the payment of ongoing distribution and service fees to Lord Abbett Distributor LLC (the “Distributor”), an affiliate of Lord Abbett. The fees are accrued daily at annual rates based upon each Fund’s average daily net assets as follows:

Emerging Markets Currency Fund

Fees*	Class A	Class B	Class C(1)	Class F	Class P	Class R2	Class R3
Service	.15%	.25%	.25%	–	.25%	.25%	.25%
Distribution	.05%	.75%	.75%	.10%	.20%	.35%	.25%

Global Allocation Fund

Fees*	Class A	Class B	Class C	Class F	Class P	Class R2	Class R3
Service	.25%	.25%	.25%	–	.25%	.25%	.25%
Distribution	–	.75%	.75%	.10%	.20%	.35%	.25%

*	The Fund may designate a portion of the aggregate fee as attributable to service activities for purposes of calculating Financial Industry Regulatory Authority, Inc. (“FINRA”) sales charge limitations.
(1)	The Class C 12b-1 fee is a blended rate calculated based on 1.00% of the Fund’s average daily net assets attributable to Class C shares held for less than one year and .80% (.25% service, .55% distribution) of the Fund’s average daily net assets attributable to Class C shares held for one year or more. All Class C shareholders of the Fund will bear Rule 12b-1 fees at the same rate.

Class I shares do not have a distribution plan.

62

Notes to Financial Statements (continued)

Commissions

Distributor received the following commissions on sales of shares of the Funds, after concessions were paid to authorized dealers, for the fiscal year ended December 31, 2012:

	Distributor Commissions	Dealers’ Concessions
Emerging Markets Currency Fund	$  5,555	$  36,222
Global Allocation Fund	63,537	363,912

Distributor received the following amount of CDSCs for the fiscal year ended December 31, 2012:

	Class A	Class C
Emerging Markets Currency Fund	$11,101	$7,657
Global Allocation Fund	1,286	4,473

For the fiscal year ended December 31, 2012, two Directors and certain of the Company’s officers have an interest in Lord Abbett.

4. DISTRIBUTIONS AND CAPITAL LOSS CARRYFORWARDS

Dividends from net investment income, if any, are declared daily and paid monthly for Emerging Markets Currency Fund and declared and paid quarterly for Global Allocation Fund. Taxable net realized gains from investment transactions, reduced by allowable capital loss carryforwards, if any, are declared and distributed to shareholders at least annually. The capital loss carryforward amount, if any, is available to offset future net capital gains. Dividends and distributions to shareholders are recorded on the ex-dividend date. The amounts of dividends and distributions from net investment income and net realized capital gains are determined in accordance with federal income tax regulations, which may differ from accounting principles generally accepted in the United States of America. These book/tax differences are either considered temporary or permanent in nature. To the extent these differences are permanent in nature, such amounts are reclassified within the components of net assets based on their federal tax basis treatment; temporary differences do not require reclassification. Dividends and distributions, which exceed earnings and profits for tax purposes, are reported as a tax return of capital.

The tax character of distributions paid during the fiscal years ended December 31, 2012 and 2011 was as follows:

	Emerging Markets Currency Fund		Global Allocation Fund
	Year Ended 12/31/2012	Year Ended 12/31/2011	Year Ended 12/31/2012	Year Ended 12/31/2011
Distributions paid from:
Ordinary income	$  9,800,565	$10,224,280	$5,927,793	$5,191,445
Return of capital	1,503,690	–	99,560	–
Total distributions paid	$11,304,255	$10,224,280	$6,027,353	$5,191,445

63

Notes to Financial Statements (continued)

As of December 31, 2012, the components of accumulated losses on a tax-basis were as follows:

	Emerging Markets Currency Fund			Global Allocation Fund
Capital loss carryforwards*	$	(3,789,379	)	$	(1,479,849	)
Temporary differences		(1,235,342	)		(30,576	)
Unrealized gains – net		378,446			1,925,564
Total accumulated gains/(losses) – net	$	(4,646,275	)	$	415,139

* As of December 31, 2012, the capital loss carryforwards, along with the related expiration dates, were as follows:

	2017		2018		Indefinite		Total
Emerging Markets Currency Fund	$	–	$	–	$	3,789,379	$	3,789,379
Global Allocation Fund		1,471,601		8,248		–		1,479,849

In accordance with the Regulated Investment Company Modernization Act of 2010, each Fund will carryforward capital losses incurred in taxable years beginning after December 22, 2010 (“post-enactment losses”) indefinitely. Post-enactment losses will also retain their character as either short-term or long-term and be utilized before any pre-enactment losses.

At each Fund’s election, certain losses incurred within the taxable year (Qualified Late-Year Losses) are deemed to arise on the first business day of each Fund’s next taxable year. Emerging Markets Currency Fund incurred and will elect to defer late-year ordinary losses of $194,015 during fiscal 2012.

As of December 31, 2012, the aggregate unrealized security gains and losses based on cost for U.S. federal income tax purposes were as follows:

	Emerging Markets Currency Fund			Global Allocation Fund
Tax cost	$	443,389,818		$	176,046,756
Gross unrealized gain		514,082			2,055,793
Gross unrealized loss		(511,452	)		(130,129	)
Net unrealized security gain	$	2,630		$	1,925,664

The difference between book-basis and tax-basis unrealized gains (losses) is attributable to the tax treatment of certain distributions received, wash sales and amortization of premium.

Permanent items identified during the fiscal year ended December 31, 2012 have been reclassified among the components of net assets based on their tax basis treatment as follows:

	Distributions in Excess of Net Investment Income		Accumulated Net Realized Loss			Paid-in Capital
Emerging Markets Currency Fund	$	5,581,124	$	(4,077,434	)	$	(1,503,690	)
Global Allocation Fund		546,864		(447,304	)		(99,560	)

The permanent differences are primarily attributable to the tax treatment of amortization of premium, foreign currency transactions, certain distributions received, return of capital, and paydown gains and losses.

64

Notes to Financial Statements (continued)

5. PORTFOLIO SECURITIES TRANSACTIONS

Purchases and sales of investment securities (excluding short-term investments) for the fiscal year ended December 31, 2012 were as follows:

	U.S. Government Purchases*		Non-U.S. Government Purchases		U.S. Government Sales*		Non-U.S. Government Sales
Emerging Markets Currency Fund	$	253,680,500	$	473,621,832	$	216,027,862	$	334,382,242
Global Allocation Fund		–		62,216,332		–		65,159,546

* Includes U.S. Government sponsored enterprises securities.

6. DIRECTORS’ REMUNERATION

For the fiscal year ended December 31, 2012, the Company’s officers and the two Directors who were associated with Lord Abbett did not receive any compensation from the Company for serving in such capacities. Independent Directors’ fees are allocated among all Lord Abbett-sponsored funds based on the net assets of each fund. There is an equity-based plan available to all Independent Directors under which Independent Directors must defer receipt of a portion of, and may elect to defer receipt of an additional portion of, Directors’ fees. The deferred amounts are treated as though equivalent dollar amounts had been invested in the funds. Such amounts and earnings accrued thereon are included in Directors’ fees on the Statements of Operations and in Directors’ fees payable on the Statements of Assets and Liabilities and are not deductible for U.S. federal income tax purposes until such amounts are paid.

7. EXPENSE REDUCTIONS

The Company has entered into an arrangement with its transfer agent and custodian, whereby credits realized as a result of uninvested cash balances are used to reduce a portion of each Fund’s expenses.

8. CUSTODIAN AND ACCOUNTING AGENT

State Street Bank and Trust Company (“SSB”) is the Company’s custodian and accounting agent. SSB performs custodial, accounting and recordkeeping functions relating to portfolio transactions and calculating each Fund’s NAV.

65

Notes to Financial Statements (continued)

9. TRANSACTIONS WITH AFFILIATED ISSUERS

An affiliated issuer is one in which a Fund has ownership of at least 5% of the outstanding voting securities of the underlying issuer at any point during the fiscal year or any company which is under common ownership or control. Global Allocation Fund had the following transactions with affiliated issuers (i.e. the Underlying Funds) for the fiscal year ended December 31, 2012:

Affiliated Issuer	Balance of Shares Held at 12/31/2011		Gross Additions		Gross Sales			Balance of Shares Held at 12/31/2012		Fair Value at 12/31/2012		Net Realized Gain (Loss) 1/1/2012 to 12/31/2012			Dividend Income 1/1/2012 to 12/31/2012
Lord Abbett Affiliated Fund, Inc. – Class I		879,534		25,061		(762,499	)		142,096	$	1,712,253	$	752,689		$	93,789
Lord Abbett Equity Trust-Calibrated Large Cap Value Fund – Class I		–		50,689		–			50,689		896,683		19,329	(a)		11,151
Lord Abbett Equity Trust-Calibrated Mid Cap Value Fund – Class I		–		666,452		–			666,452		11,403,001		243,752	(a)		164,815
Lord Abbett Research Fund, Inc. – Classic Stock Fund – Class I		280,095		–		(280,095	)		–		–		683,997			–
Lord Abbett Global Fund, Inc. – Emerging Markets Currency Fund – Class I		4,259,290		1,409,922		(587,142	)		5,082,070		33,592,482		(452,495	)		864,295
Lord Abbett Research Fund, Inc. – Growth Opportunities Fund – Class I		424,166		238,983		(663,149	)		–		–		326,192			–
Lord Abbett Investment Trust – High Yield Fund – Class I		3,221,977		447,369		(1,263,213	)		2,406,133		18,960,331		1,742,876	(b)		1,608,762
Lord Abbett Securities Trust – International Core Equity Fund – Class I		275,056		–		(275,056	)		–		–		(333,505	)		–
Lord Abbett Securities Trust – International Dividend Income Fund – Class I		7,778,351		2,740,616		(1,165,926	)		9,353,041		77,443,182		(2,095,536	)		3,095,693
Lord Abbett Securities Trust – International Opportunities Fund – Class I		519,861		–		(519,861	)		–		–		536,803			–
Lord Abbett Mid Cap Stock Fund, Inc. (formerly, Mid-Cap Value Fund, Inc.) – Class I		1,394,088		575,124		(62,166	)		1,907,046		33,964,488		(61,347	)		343,417
Lord Abbett Investment Trust – Short Duration Income Fund – Class I		–		361,756		(361,756	)		–		–		14,188			9,602
Total										$	177,972,420	$	1,376,943		$	6,191,524

(a)	Amount represents distributed capital gains.
(b)	Includes $426,676 of distributed capital gains.

66

Notes to Financial Statements (continued)

10. INVESTMENT RISKS

Each Fund is subject to the risks of investing in securities that are issued by non-U.S. entities, the risks of investing in derivatives, liquidity risk, and the risks from leverage.

Foreign securities may pose greater risks than domestic securities, including greater price fluctuations, less government regulation, and higher transaction costs. These risks generally are greater for emerging markets securities. Foreign investments also may be affected by changes in currency rates or currency controls.

Derivatives are subject to risks such as liquidity risk, leveraging risk, interest rate risk, market risk, and credit risk. Derivatives also involve the risk of mispricing or improper valuation and the risk that changes in the value of the derivative may not correlate perfectly with the value of the underlying asset, rate, or index. Whether a Fund’s use of derivatives is successful will depend on, among other things, the Fund’s ability to correctly forecast market movements, changes in foreign exchange and interest rates, and other factors. If a Fund incorrectly forecasts these and other factors, its performance could suffer. The Fund’s use of derivatives could result in a loss exceeding the amount of the Fund’s investment in these instruments.

Emerging Markets Currency Fund is non-diversified, which means that it may invest a greater portion of its assets in a single issuer than a diversified fund. Thus, it may be exposed to greater risk.

Emerging Markets Currency Fund may invest in swap contracts. Swap contracts are bilateral agreements between a fund and its counterparty. Each party is exposed to the risk of default by the other. In addition, swap contracts may involve a small investment of cash compared to the risk assumed, with the result that small changes may produce disproportionate and substantial gains or losses to the Fund.

Emerging Markets Currency Fund may invest in credit default swap contracts. Such contracts are subject to the risk that there will be no liquid market for these agreements, that the counterparty to the agreements may default on its obligation to perform or disagree as to the meaning of the contractual terms in the agreements, and that there may be unfavorable changes in interest rates, and that Lord Abbett does not correctly predict the creditworthiness of the issuers of the reference obligation on which the credit default swap is based.

Illiquid securities may lower a Fund’s returns since the Fund may be unable to sell these securities at its desired time or price.

Leverage, including borrowing, may increase volatility in a Fund by magnifying the effect of changes in the value of the Fund’s holdings. The use of leverage may cause investors in a Fund to lose more money in adverse environments than would be the case in the absence of leverage.

Emerging Markets Currency Fund is subject to the general risks and considerations associated with investing in debt securities, including interest rate risk. When interest rates rise, the prices of debt securities and an investment in Emerging Markets Currency Fund are likely to decline. In times of economic uncertainty, high-yield debt securities (or “junk bonds”) may decline in price, even when interest rates are falling. There is also the risk that an issuer of a debt security will fail to make timely payments of principal or interest to Emerging Markets Currency Fund, a risk that is greater with junk bonds.

The mortgage-related securities in which a Fund may invest may be particularly sensitive to changes in prevailing interest rates, economic conditions, including delinquencies and/or defaults.

67

Notes to Financial Statements (continued)

These changes can affect the value, income and/or liquidity of such positions. When interest rates are declining, the value of these securities with prepayment features may not increase as much as other fixed income securities. Early principal repayment may deprive a Fund of income payments above current market rates. Alternatively, rising interest rates may cause payments to occur at a slower-than-expected rate, extending the duration of a security and typically reducing its value. The payment rate will thus affect the price and volatility of a mortgage-related security.

Foreign currency exchange rates may fluctuate significantly over short periods of time. Emerging Markets Currency Fund’s use of currency-related transactions involves the risk that Lord Abbett will not accurately predict currency movements, and the Fund’s returns could be reduced as a result. A decline in the value of foreign currencies relative to the U.S. dollar will reduce the value of securities held by Emerging Markets Currency Fund that are denominated in those currencies.

The securities markets of developing or emerging countries tend to be less liquid, are especially subject to greater price volatility, have a smaller market capitalization, have less government regulation and may not be subject to as extensive and frequent accounting, financial, and other reporting requirements as securities issued in more developed countries.

Emerging Markets Currency Fund believes that its investment strategies with respect to foreign currencies will generate qualifying income under current U.S. federal income tax law. However, there can be no assurance that the U.S. Treasury Department will not issue regulations in the future (possibly with retroactive effect) that would treat some or all of the Fund’s foreign currency gains as nonqualifying income.

The value of Global Allocation Fund’s investments will fluctuate in response to various factors related to domestic and foreign equity and fixed income markets, as well as the financial condition and prospects of issuers in which the Fund invests through its Underlying Funds. Because equity and fixed income investments can move in different directions or to different degrees, fixed income investments may counteract some of the volatility experienced by equity holdings, but the diminished risk that may accompany this investment approach also may result in lower returns.

These factors can affect each Fund’s performance.

11. SUMMARY OF CAPITAL TRANSACTIONS

Transactions in shares of capital stock were as follows:

Emerging Markets Currency Fund	Year Ended December 31, 2012						Year Ended December 31, 2011
Class A Shares		Shares			Amount			Shares			Amount
Shares sold		3,757,643		$	24,345,954			8,042,498		$	54,934,875
Converted from Class B*		24,737			159,490			49,173			329,946
Reinvestment of distributions		289,200			1,872,926			406,470			2,743,393
Shares reacquired		(5,926,704	)		(38,303,761	)		(10,063,478	)		(66,321,610	)
Decrease		(1,855,124	)	$	(11,925,391	)		(1,565,337	)	$	(8,313,396	)
Class B Shares
Shares sold		10,818		$	68,868			54,439		$	374,013
Reinvestment of distributions		3,704			24,089			6,305			42,818
Shares reacquired		(77,789	)		(499,593	)		(138,481	)		(944,167	)
Converted to Class A*		(24,626	)		(159,490	)		(48,945	)		(329,946	)
Decrease		(87,893	)	$	(566,126	)		(126,682	)	$	(857,282	)

68

Notes to Financial Statements (continued)

Emerging Markets Currency Fund	Year Ended December 31, 2012						Year Ended December 31, 2011
Class C Shares		Shares			Amount			Shares			Amount
Shares sold		785,246		$	5,102,670			2,997,946		$	20,772,720
Reinvestment of distributions		62,054			404,207			89,235			605,405
Shares reacquired		(2,474,000	)		(16,060,369	)		(2,227,080	)		(14,750,988	)
Increase (decrease)		(1,626,700	)	$	(10,553,492	)		860,101		$	6,627,137
Class F Shares
Shares sold		4,840,724		$	31,183,175			15,480,091		$	105,393,750
Reinvestment of distributions		219,054			1,417,322			238,973			1,605,297
Shares reacquired		(6,740,611	)		(43,176,965	)		(12,288,261	)		(80,218,894	)
Increase (decrease)		(1,680,833	)	$	(10,576,468	)		3,430,803		$	26,780,153
Class I Shares
Shares sold		23,966,025		$	155,303,285			10,250,596		$	66,097,561
Reinvestment of distributions		994,229			6,428,608			436,631			2,928,856
Shares reacquired		(3,315,979	)		(21,233,561	)		(3,000,823	)		(20,128,580	)
Increase		21,644,275		$	140,498,332			7,686,404		$	48,897,837
Class P Shares
Reinvestment of distributions		35		$	233			128		$	863
Shares reacquired		–	(a)		(3	)		(3,359	)		(20,941	)
Increase (decrease)		35		$	230			(3,231	)	$	(20,078	)
Class R2 Shares
Shares sold		51,280		$	325,886			48,682		$	33,963
Reinvestment of distributions		32			206			47			320
Shares reacquired		(41,598	)		(271,613	)		(23,632	)		(156,078	)
Increase		9,714		$	54,479			25,097		$	178,205
Class R3 Shares
Shares sold		62,494		$	404,137			85,804		$	580,876
Reinvestment of distributions		1,771			11,450			1,436			9,622
Shares reacquired		(38,015	)		(246,426	)		(68,613	)		(473,861	)
Increase		26,250		$	169,161			18,627		$	116,637

*	Automatic conversion of Class B shares occurs on the 25th day of the month (or, if the 25th day is not a business day, the next business day thereafter) following the eighth anniversary of the day on which the purchase order was accepted.
(a)	Value less than 1 share.

69

Notes to Financial Statements (concluded)

Global Allocation Fund	Year Ended December 31, 2012						Year Ended December 31, 2011
Class A Shares		Shares			Amount			Shares			Amount
Shares sold		1,552,196		$	17,000,236			3,141,147		$	35,841,205
Converted from Class B*		93,200			1,029,990			100,996			1,123,609
Reinvestment of distributions		345,422			3,800,383			309,788			3,371,367
Shares reacquired		(2,800,046	)		(30,588,025	)		(2,432,427	)		(27,168,071	)
Increase (decrease)		(809,228	)	$	(8,757,416	)		1,119,504		$	13,168,110
Class B Shares
Shares sold		40,503		$	411,873			95,196		$	997,594
Reinvestment of distributions		21,945			222,539			23,867			241,953
Shares reacquired		(172,488	)		(1,738,387	)		(217,119	)		(2,269,523	)
Converted to Class A*		(101,001	)		(1,029,990	)		(109,212	)		(1,123,609	)
Decrease		(211,041	)	$	(2,133,965	)		(207,268	)	$	(2,153,585	)
Class C Shares
Shares sold		800,084		$	8,165,734			996,301		$	10,477,099
Reinvestment of distributions		80,450			818,422			66,860			675,333
Shares reacquired		(814,477	)		(8,174,226	)		(744,587	)		(7,698,624	)
Increase		66,057		$	809,930			318,574		$	3,453,808
Class F Shares
Shares sold		73,178		$	805,841			244,564		$	2,732,678
Reinvestment of distributions		6,196			68,285			6,415			69,102
Shares reacquired		(174,083	)		(1,860,127	)		(141,974	)		(1,526,669	)
Increase (decrease)		(94,709	)	$	(986,001	)		109,005		$	1,275,111
Class I Shares
Shares sold		575,905		$	6,222,060			728,207		$	8,677,626
Reinvestment of distributions		55,529			616,411			33,621			359,884
Shares reacquired		(53,055	)		(584,559	)		(137,434	)		(1,625,116	)
Increase		578,379		$	6,253,912			624,394		$	7,412,394
Class R2 Shares
Shares sold		1,137		$	12,711			7,432		$	77,958
Reinvestment of distributions		289			3,236			94			993
Shares reacquired		(705	)		(7,402	)		(1	)		(6	)
Increase		721		$	8,545			7,525		$	78,945
Class R3 Shares
Shares sold		184,157		$	2,009,518			186,035		$	2,134,497
Reinvestment of distributions		13,808			152,882			8,651			94,324
Shares reacquired		(61,723	)		(674,244	)		(67,026	)		(764,155	)
Increase		136,242		$	1,488,156			127,660		$	1,464,666

* Automatic conversion of Class B shares occurs on the 25^th day of the month (or, if the 25^th day is not a business day, the next business day thereafter) following the eighth anniversary of the day on which the purchase order was accepted.

70

Report of Independent Registered Public Accounting Firm

To the Board of Directors of Lord Abbett Global Fund, Inc. and the Shareholders of Lord Abbett Emerging Markets Currency Fund and Lord Abbett Global Allocation Fund:

We have audited the accompanying statements of assets and liabilities, including the schedules of investments, of Lord Abbett Global Fund, Inc., comprising the Lord Abbett Emerging Markets Currency Fund and Lord Abbett Global Allocation Fund (collectively, the “Funds”), as of December 31, 2012, 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, and the financial highlights for each of the periods presented. These financial statements and financial highlights are the responsibility of the Funds’ management. Our responsibility is to express an opinion on these financial statements and financial highlights based on our audits.

We conducted our audits in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements and financial highlights are free of material misstatement. The Funds are not required to have, nor were we engaged to perform, an audit of their internal control over financial reporting. Our audits included consideration of internal control over financial reporting as a basis for designing audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Funds’ internal control over financial reporting. Accordingly, we express no such opinion. An audit also includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. Our procedures included confirmation of securities owned as of December 31, 2012, by correspondence with the custodian, transfer agent and brokers; where replies were not received from brokers, we performed other auditing procedures. We believe that our audits provide a reasonable basis for our opinion.

In our opinion, such financial statements and financial highlights referred to above present fairly, in all material respects, the financial position of each of the Funds as of December 31, 2012, the results of their operations for the year then ended, the changes in their net assets for each of the two years in the period then ended, and the financial highlights for each of the periods presented, in conformity with accounting principles generally accepted in the United States of America.

DELOITTE & TOUCHE LLP
New York, New York
February 26, 2013

71

Investments in Underlying Funds (unaudited)

Global Allocation Fund invests in Underlying Funds managed by Lord Abbett. As of December 31, 2012, Global Allocation Fund’s long-term investments were allocated among the Underlying Funds as follows:

Underlying Fund Name	% of Investments
Lord Abbett Affiliated Fund, Inc. – Class I		0.96%
Lord Abbett Equity Trust – Calibrated Large Cap Value Fund – Class I		0.50%
Lord Abbett Equity Trust – Calibrated Mid Cap Value Fund – Class I		6.41%
Lord Abbett Global Fund, Inc. – Emerging Markets Currency Fund – Class I		18.88%
Lord Abbett Investment Trust – High Yield Fund – Class I		10.65%
Lord Abbett Securities Trust – International Dividend Income Fund – Class I		43.52%
Lord Abbett Mid Cap Stock Fund, Inc. (formerly, Mid-Cap Value Fund, Inc.) – Class I		19.08%

The Ten Largest Holdings and the Holdings by Sector, as of December 31, 2012, for each Underlying Fund are presented below. Each Underlying Fund’s portfolio holdings, including a complete schedule of holdings. A complete schedule of holdings for each Underlying Fund is also filed with the SEC on Form N-Q as of the end of each respective Underlying Fund’s first and third quarters. In addition, on or about the first day of the second month following each calendar quarter-end, each Fund makes publicly available a complete schedule of its portfolio holdings as of the last day of each such quarter. The information for the most recently ended calendar quarter may be viewed at www.lordabbett.com or requested at no charge by calling Lord Abbett at 888-522-2388.

Lord Abbett Affiliated Fund, Inc.

Ten Largest Holdings	% of Investments
Exxon Mobil Corp.		3.82%
JPMorgan Chase & Co.		3.71%
Wells Fargo & Co.		3.49%
Pfizer, Inc.		2.75%
Chevron Corp.		2.75%
General Electric Co.		2.38%
Goldman Sachs Group, Inc. (The)		2.35%
AT&T, Inc.		2.16%
Citigroup, Inc.		2.12%
Johnson & Johnson		1.87%

Holdings by Sector*	% of Investments
Consumer Discretionary		9.19%
Consumer Staples		8.49%
Energy		16.73%
Financials		26.11%
Health Care		12.93%
Industrials		8.28%
Information Technology		6.53%
Materials		4.82%
Telecommunication Services		3.71%
Utilities		2.77%
Short-Term Investment		0.44%
Total		100.00%

* A sector may comprise several industries.

72

Investments in Underlying Funds (unaudited)(continued)

Lord Abbett Equity Trust – Calibrated Large Cap Value Fund

Ten Largest Holdings	% of Investments
Exxon Mobil Corp.		5.65%
JPMorgan Chase & Co.		3.74%
Chevron Corp.		3.03%
Cisco Systems, Inc.		2.86%
Pfizer, Inc.		2.58%
AT&T, Inc.		2.30%
Citigroup, Inc.		2.23%
Time Warner, Inc.		2.09%
Capital One Financial Corp.		1.91%
SunTrust Banks, Inc.		1.72%
Holdings by Sector*	% of Investments
Consumer Discretionary		7.52%
Consumer Staples		7.51%
Energy		15.97%
Financials		27.48%
Health Care		11.53%
Industrials		9.22%
Information Technology		5.76%
Materials		4.45%
Telecommunication Services		3.09%
Utilities		5.90%
Short-Term Investment		1.57%
Total		100.00%

* A sector may comprise several industries.

Lord Abbett Equity Trust – Calibrated Mid Cap Value Fund

Ten Largest Holdings	% of Investments
Everest Re Group Ltd.		2.28%
Ares Capital Corp.		2.19%
Eaton Corp. plc		2.19%
PPL Corp.		2.13%
Ashland, Inc.		2.06%
CIT Group, Inc.		2.04%
CF Industries Holdings, Inc.		1.96%
Valero Energy Corp.		1.91%
Maxim Integrated Products, Inc.		1.78%
AES Corp. (The)		1.76%

73

Investments in Underlying Funds (unaudited)(continued)

Holdings by Sector*	% of Investments
Consumer Discretionary		8.78%
Consumer Staples		4.76%
Energy		9.85%
Financials		30.87%
Health Care		7.53%
Industrials		11.03%
Information Technology		10.37%
Materials		6.76%
Telecommunication Services		0.42%
Utilities		9.63%
Total		100.00%

* A sector may comprise several industries.

Lord Abbett Global Fund, Inc. – Emerging Markets Currency Fund

Ten Largest Holdings	% of Investments
Turkey Government Bond, 3.369%, 5/15/2013		3.40%
General Electric Capital Corp., 5.40%, 9/20/2013		1.52%
Federal National Mortgage Assoc., 4.50%		1.33%
Citigroup, Inc., 5.50%, 4/11/2013		0.91%
Federal National Mortgage Assoc., 5.50%, 8/1/2037		0.85%
Energy Transfer Partners LP, 6.00%, 7/1/2013		0.76%
Virgin Media Secured Finance plc, 6.50%, 1/15/2018		0.73%
QVC, Inc., 7.125%, 4/15/2017		0.73%
Historic TW, Inc., 9.125%, 1/15/13		0.70%
Western Union Co. (The) 0.891%, 3/7/13		0.68%
Holdings by Sector*	% of Investments
Asset-Backed		10.09%
Automotive		1.34%
Banking		6.80%
Basic Industry		2.64%
Capital Goods		1.26%
Consumer Cyclical		2.16%
Consumer Non-Cyclical		2.14%
Energy		7.14%
Financial Services		4.14%
Foreign Government		6.54%
Health Care		1.80%
Insurance		0.57%
Media		2.57%
Mortgage-Backed		37.67%
Real Estate		2.13%
Services		0.75%
Technology & Electronics		2.38%
Telecommunications		2.51%
Utility		1.47%
Short-Term Investment		3.90%
Total		100.00%

* A sector may comprise several industries.

74

Investments in Underlying Funds (unaudited)(continued)

Lord Abbett Investment Trust – High Yield Fund

Ten Largest Holdings	% of Investments
Alliance Data Systems Corp., 6.375%, 4/1/2020		0.88%
Intelsat Bermuda Ltd. (Luxembourg) PIK, 11.50%, 2/4/2017		0.69%
Sprint Nextel Corp., 9.00%, 11/15/2018		0.65%
MEG Energy Corp. (Canada), 6.50%, 3/15/2021		0.65%
LBG Capital No.1 plc, 8.00%		0.61%
AMC Networks, Inc., 7.75%, 7/15/2021		0.60%
First Data Corp., 12.625%, 1/15/2021		0.56%
Elizabeth Arden, Inc., 7.375%, 3/15/2021		0.56%
HCA, Inc., 6.50%, 2/15/2020		0.55%
Air Lease Corp., 5.625%, 4/1/2017		0.55%
Holdings by Sector*	% of Investments
Automotive		2.61%
Banking		3.44%
Basic Industry		10.67%
Capital Goods		4.55%
Commercial Mortgage-Backed		1.95%
Consumer Cyclical		5.93%
Consumer Non-Cyclical		6.15%
Energy		14.20%
Financial Services		3.92%
Foreign Government		0.16%
Healthcare		7.15%
Insurance		0.90%
Media		7.81%
Real Estate		0.45%
Services		13.95%
Technology & Electronics		4.84%
Telecommunications		7.09%
Utility		4.23%
Total		100.00%

* A sector may comprise several industries.

Lord Abbett Securities Trust – International Dividend Income Fund

Ten Largest Holdings	% of Investments
Vivendi SA		1.96%
Atlantia SpA		1.93%
Spark Infrastructure Group		1.76%
Rio Tinto plc ADR		1.75%
Toyota Motor Corp.		1.74%
Aviva plc		1.74%
Mapfre SA		1.72%
AXA SA		1.71%
Telenor ASA		1.71%
Eni SpA ADR		1.67%

75

Investments in Underlying Funds (unaudited)(concluded)

Holdings by Sector*	% of Investments
Consumer Discretionary		12.24%
Consumer Staples		6.96%
Energy		9.21%
Financials		21.26%
Health Care		3.66%
Industrials		12.20%
Information Technology		2.55%
Materials		7.09%
Telecommunication Services		12.75%
Utilities		10.52%
Short-Term Investment		1.56%
Total		100.00%

* A sector may comprise several industries.

Lord Abbett Mid Cap Stock Fund, Inc. (formerly, Lord Abbett Mid-Cap Value Fund, Inc.)

Ten Largest Holdings	% of Investments
Interpublic Group of Cos., Inc. (The)		1.92%
Watson Pharmaceuticals, Inc.		1.81%
Mylan, Inc.		1.80%
URS Corp.		1.70%
Jones Lang LaSalle, Inc.		1.70%
Bunge Ltd.		1.66%
CIT Group, Inc.		1.62%
CIGNA Corp.		1.55%
Ashland, Inc.		1.53%
International Paper Co.		1.51%
Holdings by Sector*		% of Investments
Consumer Discretionary		8.03%
Consumer Staples		4.19%
Energy		8.67%
Financials		29.85%
Health Care		10.71%
Industrials		11.78%
Information Technology		8.88%
Materials		9.39%
Telecommunication Services		1.15%
Utilities		5.64%
Short-Term Investment		1.71%
Total		100.00%

* A sector may comprise several industries.

76

Basic Information About Management

The Board of Directors (the “Board”) is responsible for the management of the business and affairs of the Company in accordance with the laws of the State of Maryland. The Board elects officers who are responsible for the day-to-day operations of each Fund and who execute policies authorized by the Board. The Board also approves an investment adviser to each Fund and continues to monitor the cost and quality of the services the investment adviser provides, and annually considers whether to renew the contract with the adviser. Generally, each Director holds office until his/her successor is elected and qualified or until his/her earlier resignation or removal, as provided in the Company’s organizational documents.

Lord Abbett, a Delaware limited liability company, is the Company’s investment adviser. Designated Lord Abbett personnel are responsible for the day-to-day management of each Fund.

Interested Director

Ms. Foster is affiliated with Lord Abbett and is an “interested person” of the Company as defined in the Act. Ms. Foster is a director/trustee of each of the 13 Lord Abbett-sponsored funds, which consist of 56 portfolios or series.

Name, Address and Year of Birth	Current Position and Length of Service with the Company	Principal Occupation and Other Directorships During the Past Five Years
Daria L. Foster Lord, Abbett & Co. LLC 90 Hudson Street Jersey City, NJ 07302 (1954)	Director and President since 2006; Chief Executive Officer since 2012	Principal Occupation: Managing Partner of Lord Abbett (since 2007), and was formerly Director of Marketing and Client Service, joined Lord Abbett in 1990.
		Other Directorships: None.

Independent Directors

The following Independent Directors also are directors/trustees of each of the 13 Lord Abbett-sponsored funds, which consist of 56 portfolios or series.

Name, Address and Year of Birth	Current Position and Length of Service with the Company	Principal Occupation and Other Directorships During the Past Five Years
E. Thayer Bigelow Lord, Abbett & Co. LLC c/o Legal Dept. 90 Hudson Street Jersey City, NJ 07302 (1941)	Director since 1994; Chairman since 2013	Principal Occupation: Managing General Partner, Bigelow Media, LLC (since 2000); Senior Adviser, Time Warner Inc. (1998 - 2000). Other Directorships: Currently serves as director of Crane Co. (since 1984) and Huttig Building Products Inc. (since 1998). Previously served as a director of R.H. Donnelley Inc. (2009 - 2010).
Robert B. Calhoun, Jr. Lord, Abbett & Co. LLC c/o Legal Dept. 90 Hudson Street Jersey City, NJ 07302 (1942)	Director since 1998	Principal Occupation: Senior Advisor of Monitor Clipper Partners, a private equity investment fund (since 1997); President of Clipper Asset Management Corp. (1991 - 2009). Other Directorships: Previously served as a director of Interstate Bakeries Corp. (1991 - 2008).

77

Basic Information About Management (continued)

Name, Address and Year of Birth	Current Position and Length of Service with the Company	Principal Occupation and Other Directorships During the Past Five Years
Evelyn E. Guernsey Lord, Abbett & Co. LLC c/o Legal Dept. 90 Hudson Street Jersey City, NJ 07302 (1955)	Director since 2011	Principal Occupation: CEO, Americas of J.P. Morgan Asset Management (2004 - 2010). Other Directorships: None.
Julie A. Hill Lord, Abbett & Co. LLC c/o Legal Dept. 90 Hudson Street Jersey City, NJ 07302 (1946)	Director since 2004	Principal Occupation: Owner and CEO of The Hill Company, a business consulting firm (since 1998). Other Directorships: Currently serves as director of Lend Lease Corporation Limited, an international retail and residential property group (since 2006), and WellPoint, Inc., a health benefits company (since 1994).
Franklin W. Hobbs Lord, Abbett & Co. LLC c/o Legal Dept. 90 Hudson Street Jersey City, NJ 07302 (1947)	Director since 2000	Principal Occupation: Advisor of One Equity Partners, a private equity firm (since 2004). Other Directorships: Currently serves as director and Chairman of the Board of Ally Financial Inc., a financial services firm (since 2009), and as director of Molson Coors Brewing Company (since 2002).
James M. McTaggart Lord, Abbett & Co. LLC c/o Legal Dept. 90 Hudson Street Jersey City, NJ 07302 (1947)	Director since 2012	Principal Occupation: Independent management advisor and consultant (since 2012); Vice President, CRA International, Inc. (doing business as Charles River Associates), a global management consulting firm (2009 - 2012); Founder and Chairman of Marakon Associates, Inc., a strategy consulting firm (1978 - 2009); and Officer and Director of Trinsum Group, a holding company (2007 - 2009). Other Directorships: Currently serves as director of Blyth, Inc., a home products company (since 2004).
James L.L. Tullis Lord, Abbett & Co. LLC c/o Legal Dept. 90 Hudson Street Jersey City, NJ 07302 (1947)	Director since 2006	Principal Occupation: CEO of Tullis-Dickerson and Co. Inc., a venture capital management firm (since 1990). Other Directorships: Currently serves as director of Crane Co. (since 1998). Previously served as a director of Synageva BioPharma Corp., a biopharmaceutical company (2009 - 2011).

Officers

None of the officers listed below have received compensation from the Company. All of the officers of the Company also may be officers of the other Lord Abbett-sponsored funds and maintain offices at 90 Hudson Street, Jersey City, NJ 07302. Unless otherwise indicated, the position(s) and title(s) listed under the “Principal Occupation During the Past Five Years” column indicate each officer’s position(s) and title(s) with Lord Abbett.

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Basic Information About Management (concluded)

Name and Year of Birth	Current Position with the Company	Length of Service of Current Position	Principal Occupation During the Past Five Years
Daria L. Foster (1954)	President and Chief Executive Officer	Elected as President in 2006 and Chief Executive Officer in 2012	Managing Partner of Lord Abbett (since 2007), and was formerly Director of Marketing and Client Service, joined Lord Abbett in 1990.
Robert I. Gerber (1954)	Executive Vice President	Elected in 2001	Partner and Chief Investment Officer (since 2007), joined Lord Abbett in 1997 as Director of Taxable Fixed Income Management.
James W. Bernaiche (1956)	Chief Compliance Officer	Elected in 2004	Partner and Chief Compliance Officer, joined Lord Abbett in 2001.
Joan A. Binstock (1954)	Chief Financial Officer and Vice President	Elected in 1999	Partner and Chief Operations Officer, joined Lord Abbett in 1999.
John K. Forst (1960)	Vice President and Assistant Secretary	Elected in 2005	Deputy General Counsel, joined Lord Abbett in 2004.
Lawrence H. Kaplan (1957)	Vice President and Secretary	Elected in 1997	Partner and General Counsel, joined Lord Abbett in 1997.
Steven M. Lipper (1961)	Vice President	Elected in 2011	Director, Product Management, joined Lord Abbett in 2004.
A. Edward Oberhaus, III (1959)	Vice President	Elected in 1996	Partner and Director, joined Lord Abbett in 1983.
Thomas R. Phillips (1960)	Vice President and Assistant Secretary	Elected in 2008	Partner and Deputy General Counsel, joined Lord Abbett in 2006.
David B. Ritt (1976)	Vice President	Elected in 2009	Portfolio Manager, joined Lord Abbett in 2006.
Lawrence B. Stoller (1963)	Vice President and Assistant Secretary	Elected in 2007	Partner and Senior Deputy General Counsel, joined Lord Abbett in 2007.
Leah G. Traub (1979)	Vice President	Elected in 2009	Partner and Director of Currency Management, joined Lord Abbett in 2007.
Scott S. Wallner (1955)	AML Compliance Officer	Elected in 2011	Assistant General Counsel, joined Lord Abbett in 2004.
Bernard J. Grzelak (1971)	Treasurer	Elected in 2003	Partner and Director of Fund Administration, joined Lord Abbett in 2003.

Please call 888-522-2388 for a copy of the statement of additional information (“SAI”), which contains further information about the Company’s Directors. It is available free upon request.

79

Approval of Advisory Contract

The Board of Directors of the Company, including all of the Directors who are not interested persons of the Company or Lord, Abbett & Co. LLC (“Lord Abbett”), annually considers whether to approve the continuation of the existing management agreement between each Fund and Lord Abbett. In connection with its most recent approval, the Board reviewed materials relating specifically to the management agreement, as well as numerous materials received throughout the course of the year, including information about the Fund’s investment performance compared to the performance of its benchmark. Before making its decision as to each Fund, the Board had the opportunity to ask questions and request further information, taking into account its familiarity with Lord Abbett gained through its meetings and discussions. These meetings and discussions included the examination of the portfolio management teams conducted by members of the Contract Committee, the deliberations of the Contract Committee, and discussions between the Contract Committee and Lord Abbett’s management.

The materials received by the Board as to each Fund included, but were not limited to: (1) information provided by Lipper Inc. regarding the investment performance of the Fund compared to the investment performance of a group of funds within the same investment classification/objective (the “performance universe”) and the investment performance of an appropriate benchmark; (2) information on the expense ratios, contractual and effective management fee rates, and other expense components for the Fund and one or more groups of funds with similar objectives and of similar size (the “peer group”); (3) information provided by Lord Abbett on the projected expense ratios, management fee rates, and other expense components for the Fund; (4) sales and redemption information for the Fund; (5) information regarding Lord Abbett’s financial condition; (6) an analysis of the relative profitability of the management agreement to Lord Abbett; (7) information provided by Lord Abbett regarding the investment management fees Lord Abbett receives from its other advisory clients maintaining accounts with a similar investment strategy as the Fund; (8) information regarding the distribution arrangements of the Fund; and (9) information regarding the personnel and other resources devoted by Lord Abbett to managing the Fund.

Investment Management Services Generally. The Board considered the investment management services provided by Lord Abbett to each Fund, including investment research, portfolio management, and trading, and Lord Abbett’s commitment to compliance with all relevant legal requirements. The Board also observed that Lord Abbett was solely engaged in the investment management business and accordingly did not experience the conflicts of interest resulting from being engaged in other lines of business. The Board considered the investment advisory services provided by Lord Abbett to other clients, the fees charged for the services, and the differences in the nature of the services provided to the Fund and other Lord Abbett Funds, on the one hand, and the services provided to other clients, on the other.

Investment Performance. The Board reviewed each Fund’s investment performance in relation to that of the performance universe, in each case as of various periods ended September 30, 2012. As to Emerging Markets Currency Fund, the Board observed that the investment performance of the Class A shares was above the median of the performance universe for each of those periods. As to Global Allocation Fund, the Board observed that the investment performance of the Class A shares was above the median of the performance universe for the nine-month, one-year, and ten-year periods and below the median for the three-year and five-year periods.

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Lord Abbett’s Personnel and Methods. The Board considered the qualifications of the personnel providing investment management services to each Fund, in light of its investment objective and discipline. Among other things, the Board considered the size, experience, and turnover of Lord Abbett’s investment management staff, Lord Abbett’s investment methodology and philosophy, and Lord Abbett’s approach to recruiting, training, and retaining investment management personnel.

Nature and Quality of Other Services. The Board considered the nature, quality, costs, and extent of compliance, administrative, and other services performed by Lord Abbett and Lord Abbett Distributor LLC (“Distributor”) and the nature and extent of Lord Abbett’s supervision of third party service providers, including each Fund’s transfer agent and custodian.

Expenses. The Board considered the expense level of each class of shares of each Fund and the expense levels of one or more corresponding peer groups. The Board considered the fiscal periods on which the peer group comparisons were based, and noted that the fiscal years of many funds in each Fund’s peer group did not coincide with the Fund’s fiscal year. It also considered the projected expense levels of each Fund and how those levels would relate to those of the peer group and the amount and nature of the fees paid by shareholders. As to Emerging Markets Currency Fund, the Board observed that the expense ratios were close to the medians of the peer groups. As to Global Allocation Fund, the Board considered the expense levels in relation to two peer groups, one consisting of fund of funds and the other the other consisting of non-fund of funds. The Board observed that the expense ratios generally were well below the medians of the peer groups.

Profitability. As to each Fund, the Board considered the level of Lord Abbett’s profits in managing the Fund, including a review of Lord Abbett’s methodology for allocating its costs to its management of the Fund. The Board concluded that the allocation methodology had a reasonable basis and was appropriate. It considered any profits realized by Lord Abbett in connection with the operation of each Fund, including the fee that Lord Abbett receives from the Fund for providing administrative services to the Fund, and whether the amount of profit was fair for the management of the Fund. The Board also considered the profits realized from other business segments of Lord Abbett, which may benefit from or be related to the Fund’s business. The Board considered Lord Abbett’s profit margins in comparison with available industry data, both accounting for and ignoring marketing and distribution expenses, and how those profit margins could affect Lord Abbett’s ability to recruit and retain investment personnel. The Board recognized that Lord Abbett’s profitability was a factor in enabling it to attract and retain qualified investment management personnel to provide services to the Fund. The Board concluded that Lord Abbett’s profitability as to each Fund was not excessive.

Economies of Scale. As to each Fund, the Board considered whether there had been any economies of scale in managing the Fund, whether the Fund had appropriately benefited from any such economies of scale, and whether there was potential for realization of any further economies of scale. The Board concluded that each existing management fee schedule, with its breakpoint or breakpoints in the level of the management fee, adequately addressed any economies of scale in managing the applicable Fund.

Other Benefits to Lord Abbett. As to each Fund, the Board considered the character and amount of fees paid by the Fund and the Fund’s shareholders to Lord Abbett and Distributor for services other than investment advisory services. The Board also considered the revenues and profitability of Lord Abbett’s investment advisory business apart from its mutual fund business, and the intangible benefits enjoyed by Lord Abbett by virtue of its relationship with the Fund. The Board observed that Distributor receives 12b-1 fees from certain of the Lord Abbett Funds as to shares

81

held in accounts for which there is no other broker of record, may retain a portion of the 12b-1 fees from the Funds, and receives a portion of the sales charges on sales and redemptions of some classes of shares. In addition, the Board observed that Lord Abbett accrues certain benefits for its business of providing investment advice to clients other than the Lord Abbett Funds, but that business also benefits the Funds. The Board also noted that Lord Abbett, as disclosed in the prospectuses of the Funds, has entered into revenue sharing arrangements with certain entities that distribute shares of the Funds. The Board also took into consideration the investment research that Lord Abbett receives as a result of Fund brokerage transactions.

Alternative Arrangements. As to each Fund, the Board considered whether, instead of approving continuation of the management agreement, it might be in the best interests of the Fund to implement one or more alternative arrangements, such as continuing to employ Lord Abbett, but on different terms. After considering all of the relevant factors, the Board unanimously found that continuation of the existing management agreements was in the best interests of each Fund and its shareholders and voted unanimously to approve the continuation of the management agreements. In considering whether to approve the continuation of the management agreement, the Board did not identify any single factor as paramount or controlling. This summary does not discuss in detail all matters considered.

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Householding

The Company has adopted a policy that allows it to send only one copy of each Fund’s prospectus, proxy material, annual report and semiannual report to certain shareholders residing at the same “household.” This reduces Fund expenses, which benefits you and other shareholders. If you need additional copies or do not want your mailings to be “householded,” please call Lord Abbett at 888-522-2388 or send a written request with your name, the name of your fund or funds and your account number or numbers to Lord Abbett Family of Funds, P.O. Box 219336, Kansas City, MO 64121.

Proxy Voting Policies, Procedures and Records

A description of the policies and procedures that Lord Abbett uses to vote proxies related to each Fund’s portfolio securities, and information on how Lord Abbett voted each Fund’s proxies during the 12-month period ended June 30 are available without charge, upon request, (i) by calling 888-522-2388; (ii) on Lord Abbett’s Website at www.lordabbett.com; and (iii) on the Securities and Exchange Commission’s (“SEC”) Website at www.sec.gov.

Shareholder Reports and Quarterly Portfolio Disclosure

The Funds are required to file their complete schedule of portfolio holdings with the SEC for their first and third fiscal quarters on Form N-Q. Copies of the filings are available without charge, upon request on the SEC’s Website at www.sec.gov and may be available by calling Lord Abbett at 888-522-2388. You can also obtain copies of Form N-Q by visiting the SEC’s Public Reference Room in Washington, DC (information on the operation of the Public Reference Room may be obtained by calling 800-SEC-0330).

Tax Information

58.12% of the ordinary income distributions paid by Global Allocation Fund during 2012 is qualified dividend income. For corporate shareholders, 10.26% of Global Allocation Fund’s ordinary income distributions qualified for the dividends received deduction.

Global Allocation Fund intends to pass through foreign source income of $3,016,427 and foreign taxes of $266,929. For foreign shareholders 100% of the ordinary income distributions paid by Emerging Markets Currency Fund represents interest-related dividends.

This report, when not used for the general information of shareholders of the Fund, is to be distributed only if preceded or accompanied by a current fund prospectus. Lord Abbett mutual fund shares are distributed by LORD ABBETT DISTRIBUTOR LLC.
	Lord Abbett Global Fund, Inc. Lord Abbett Emerging Markets Currency Fund Lord Abbett Global Allocation Fund	LAGF-2-1212 (02/13)

Item 2:	Code of Ethics.
(a)	In accordance with applicable requirements, the Registrant adopted a Sarbanes-Oxley Code of Ethics on June 19, 2003 that applies to the principal executive officer and senior financial officers of the Registrant (“Code of Ethics”). The Code of Ethics was in effect during the fiscal year ended December 31, 2012 (the “Period”).
(b)	Not applicable.
(c)	The Registrant has not amended the Code of Ethics as described in Form N-CSR during the Period.
(d)	The Registrant has not granted any waiver, including an implicit waiver, from a provision of the Code of Ethics as described in Form N-CSR during the Period.
(e)	Not applicable.
(f)	See Item 12(a)(1) concerning the filing of the Code of Ethics. The Registrant will provide a copy of the Code of Ethics to any person without charge, upon request. To obtain a copy, please call Lord Abbett at 888-522-2388.
Item 3:	Audit Committee Financial Expert.
	The Registrant’s board of directors has determined that each of the following independent directors who are members of the audit committee is an audit committee financial expert: E. Thayer Bigelow and Robert B. Calhoun Jr. Each of these persons is independent within the meaning of the Form N-CSR.
Item 4:	Principal Accountant Fees and Services.
In response to sections (a), (b), (c) and (d) of Item 4, the aggregate fees billed to the Registrant for the fiscal years ended December 31, 2012 and 2011 by the Registrant’s principal accounting firm, Deloitte & Touche LLP, the member firms of Deloitte Touche Tohmatsu and their respective affiliates (collectively, “Deloitte”) were as follows:

	Fiscal year ended:
	2012		2011
Audit Fees {a}	$	75,500	$	71,500
Audit-Related Fees		- 0 -		- 0 -
Total audit and audit-related fees		75,500		71,500
Tax Fees {b}		18,220		17,764
All Other Fees		- 0 -		- 0 -
Total Fees	$	93,720	$	89,264

{a} Consists of fees for audits of the Registrant’s annual financial statements.

{b} Fees for the fiscal year ended December 31, 2012 and 2011 consist of fees for preparing the U.S. Income Tax Return for Regulated Investment Companies, New Jersey Corporation Business Tax Return, New Jersey Annual Report Form, U.S. Return of Excise Tax on Undistributed Income of Investment Companies, IRS Forms 1099-MISC and 1096 Annual Summary and Transmittal of U.S. Information Returns.

(e) (1) Pursuant to Rule 2-01(c) (7) of Regulation S-X, the Registrant’s Audit Committee has adopted pre-approval policies and procedures. Such policies and procedures generally provide that the Audit Committee must pre-approve:

• any audit, audit-related, tax, and other services to be provided to the Lord Abbett Funds, including the Registrant, and

• any audit-related, tax, and other services to be provided to the Registrant’s investment adviser and any entity controlling, controlled by or under common control with the investment adviser that provides ongoing services to one or more Funds comprising the Registrant if the engagement relates directly to operations and financial reporting of a Fund, by the independent auditor to assure that the provision of such services does not impair the auditor’s independence.

The Audit Committee has delegated pre-approval authority to its Chairman, subject to a fee limit of $10,000 per event, and not to exceed $25,000 annually. The Chairman will report any pre-approval decisions to the Audit Committee at its next scheduled meeting. Unless a type of service to be provided by the independent auditor has received general pre-approval, it must be pre-approved by the Audit Committee. Any proposed services exceeding pre-approved cost levels will require specific pre-approval by the Audit Committee.

(e) (2) The Registrant’s Audit Committee has approved 100% of the services described in this Item 4 (b) through (d).

(f) Not applicable.

(g) The aggregate non-audit fees billed by Deloitte for services rendered to the Registrant are shown above in the response to Item 4 (a), (b), (c) and (d) as “All Other Fees”.

The aggregate non-audit fees billed by Deloitte for services rendered to the Registrant’s investment adviser, Lord, Abbett & Co. LLC (“Lord Abbett”), for the fiscal years ended December 31, 2012 and 2011 were:

	Fiscal year ended:
	2012		2011
All Other Fees {a}	$	194,431	$	172,220

{a} Consist of fees for Independent Services Auditors’ Report on Controls Placed in Operation and Tests of Operating Effectiveness related to Lord Abbett’s Asset Management Services (“SAS 70 Report”).

The aggregate non-audit fees billed by Deloitte for services rendered to entities under the common control of Lord Abbett for the fiscal years ended December 31, 2012 and 2011 were:

	Fiscal year ended:
	2012		2011
All Other Fees	$	- 0 -	$	- 0-

(h) The Registrant’s Audit Committee has considered the provision of non-audit services that were rendered to the Registrant’s investment adviser, and any entity controlling, controlled by or under common control with the investment adviser that provides ongoing services to the Registrant, that were not pre-approved pursuant to Rule 2-01 (c)(7)(ii) of Regulation S-X and has determined that the provision of such services is compatible with maintaining Deloitte’s independence.

Item 5:	Audit Committee of Listed Registrants.
	Not applicable.
Item 6:	Investments.
	Not applicable.
Item 7:	Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies.
	Not applicable.
Item 8:	Portfolio Managers of Closed-End Management Investment Companies.
	Not applicable.
Item 9:	Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers.
	Not applicable.
Item 10:	Submission of Matters to a Vote of Security Holders.
	Not applicable.
Item 11:	Controls and Procedures.

(a)

Based on their evaluation of the Registrant’s disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940) as of a date within 90 days prior to the filing date of this report, the Chief Executive Officer and Chief Financial Officer of the Registrant have concluded that such disclosure controls and procedures are reasonably designed and effective to ensure that material information relating to the Registrant, including its consolidated subsidiaries, is made known to them by others within those entities.

(b)

There were no changes in the Registrant’s internal control over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940) that occurred during the second fiscal quarter of the period covered by this report that have materially affected, or are reasonably likely to materially affect, the Registrant’s internal control over financial reporting.

Item 12: Exhibits.

(a)(1)	The Lord Abbett Family of Funds Sarbanes Oxley Code of Ethics for the Principal Executive Officer and Senior Financial Officers is attached hereto as part of Ex-99. CODEETH.
(a)(2)	Certification of each Principal Executive Officer and Principal Financial Officer of the Registrant as required by Rule 30a-2 under the Investment Company Act of 1940 is attached hereto as a part of EX-99.CERT.
(b)	Certification of each Principal Executive Officer and Principal Financial Officer of the Registrant as required by Section 906 of the Sarbanes-Oxley Act of 2002 is provided as a part of EX-99.906CERT.

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.

	LORD ABBETT GLOBAL FUND, INC.
		By:	/s/ Daria L. Foster
			Daria L. Foster
			President and Chief Executive Officer
Date: February 26, 2013
		By:	/s/ Joan A. Binstock
			Joan A. Binstock
			Chief Financial Officer and Vice President
Date: February 26, 2013

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the Registrant and in the capacities and on the dates indicated.

	By:	/s/ Daria L. Foster
		Daria L. Foster
		President and Chief Executive Officer
Date: February 26, 2013
	By:	/s/ Joan A. Binstock
		Joan A. Binstock
		Chief Financial Officer and Vice President
Date: February 26, 2013