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 | 811-7762 |
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First Eagle Funds |
(Exact name of registrant as specified in charter) |
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1345 Avenue of the Americas New York, NY | | 10105 |
(Address of principal executive offices) | | (Zip code) |
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Suzan Afifi First Eagle Funds 1345 Avenue of the Americas New York, NY 10105 |
(Name and address of agent for service) |
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Registrant’s telephone number, including area code: | 1-212-632-2700 | |
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Date of fiscal year end: | October 31 | |
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Date of reporting period: | April 30, 2014 | |
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Form N-CSR is to be used by management investment companies to file reports with the Commission not later than 10 days after the transmission to stockholders of any report that is required to be transmitted to stockholders under Rule 30e-1 under the Investment Company Act of 1940 (17 CFR 270.30e-1). The Commission may use the information provided on Form N-CSR in its regulatory, disclosure review, inspection, and policymaking roles.
A registrant is required to disclose the information specified by Form N-CSR, and the Commission will make this information public. A registrant is not required to respond to the collection of information contained in Form N-CSR unless the Form displays a currently valid Office of Management and Budget (“OMB”) control number. Please direct comments concerning the accuracy of the information collection burden estimate and any suggestions for reducing the burden to Secretary, Securities and Exchange Commission, 450 Fifth Street, NW, Washington, DC 20549-0609. The OMB has reviewed this collection of information under the clearance requirements of 44 U.S.C. § 3507.
Item 1. Reports to Stockholders.
Semi-Annual Report
APRIL 30, 2014
Global Fund
Overseas Fund
U.S. Value Fund
Gold Fund
Global Income Builder Fund
High Yield Fund
Fund of America
ADVISED BY FIRST EAGLE INVESTMENT MANAGEMENT, LLC
Forward-Looking Statement Disclosure
One of our most important responsibilities as mutual fund managers is to communicate with shareholders in an open and direct manner. Some of our comments in our letters to shareholders are based on current management expectations and are considered "forward-looking statements". Actual future results, however, may prove to be different from our expectations. You can identify forward-looking statements by words such as "may", "will", "believe", "attempt", "seem", "think", "ought", "try" and other similar terms. We cannot promise future returns. Our opinions are a reflection of our best judgment at the time this report is compiled, and we disclaim any obligation to update or alter forward-looking statements as a result of new information, future events, or otherwise.
Letter from the President | | | 4 | | |
Management's Discussion of Fund Performance | | | 7 | | |
Performance Chart | | | 13 | | |
First Eagle Global Fund: | |
Fund Overview | | | 18 | | |
Consolidated Schedule of Investments | | | 20 | | |
First Eagle Overseas Fund: | |
Fund Overview | | | 48 | | |
Consolidated Schedule of Investments | | | 50 | | |
First Eagle U.S. Value Fund: | |
Fund Overview | | | 78 | | |
Consolidated Schedule of Investments | | | 80 | | |
First Eagle Gold Fund: | |
Fund Overview | | | 94 | | |
Consolidated Schedule of Investments | | | 96 | | |
First Eagle Global Income Builder Fund: | |
Fund Overview | | | 100 | | |
Schedule of Investments | | | 102 | | |
First Eagle High Yield Fund: | |
Fund Overview | | | 114 | | |
Schedule of Investments | | | 116 | | |
First Eagle Fund of America: | |
Fund Overview | | | 128 | | |
Schedule of Investments | | | 130 | | |
Statements of Assets and Liabilities | | | 136 | | |
Statements of Operations | | | 144 | | |
Statements of Changes in Net Assets | | | 148 | | |
Financial Highlights | | | 152 | | |
Notes to Financial Statements | | | 166 | | |
Fund Expenses | | | 208 | | |
General Information | | | 212 | | |
Consideration of Investment Advisory Agreements | | | 213 | | |
Letter from the President
Dear Fellow Shareholders,
At First Eagle, we remain committed to attempting to protect and preserve our shareholders' purchasing power over time. Irrespective of short-term market events, swings in investor confidence or the pressure to follow a new market paradigm, our first priority is unwavering — to provide prudent stewardship of the assets you've placed in our care.
Market Overview
Since I last wrote to you in October, global financial markets have generally continued their upward trajectory. For the six-months ending April 30, 2014, the S&P 500 Index surged 8.4% as a result of an improved U.S. economy, rising corporate earnings and a recovery in the jobs market. Globally, the MSCI World Index increased 6.3%. In Europe, the German DAX Index rose 6.3% and the French CAC 40 Index rose 4.4%. While the Eurozone crisis seems to be behind the European Union, the region has lagged the U.S. in market performance due to concerns about the lack of accommodative monetary policy provided by the European Central Bank. Conversely, the Nikkei 225 Index fell into slightly negative territory with a return of -0.2%. This decrease in returns after a strong 2013 may be attributed to concerns that the unprecedented monetary policy recently adopted by the Bank of Japan, might not be enough to stimulate Japan's economy.
During the same period, the Barclay's U.S. Aggregate Bond Index rose 1.7% while the Barclay's U.S. High Yield Corporate Index increased 4.7%. High Yield market spreads generally tightened and ended April at 371 basis points; a 65 basis point move from 436 basis points on October 31st 2013.1
As we would expect during periods of strong market returns, the price of gold bullion has declined. The price of gold ended April at $1,290 down -2.5% from its October 31st 2013 level of $1,323.2
1 Source: BofA Merrill Lynch Global Research, OAS for BofA Merrill Lynch U.S. High Yield Master II Index
2 Source: Bloomberg
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
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Letter from the President (continued)
As we reflect upon the markets' strong performance, we recognize that higher equity valuations, declining credit spreads and lower gold prices can be viewed as indications of a strengthening economy. We welcome a strengthened global economy and hope these signs are correct. However, with our focus always on seeking downside protection, we view this improved market sentiment warily. In our view, there are still great uncertainties within the global financial architecture. During the last six months, the value of the Japanese Yen declined almost 4% against the U.S. Dollar.3 In response to this perceived devaluation the Chinese authorities have now begun to let their currency, the Renminbi, also decline against the U.S. Dollar, after a long period of slow strengthening. This sort of competitive devaluation has led to serious global financial problems before, and other major exporting countries, such as India and Indonesia, are also seeking to devalue their currencies. These types of global fault lines lead us to be wary of the issues they may cause, and thus renew our focus on ensuring a margin of safety in all of our investments.
Global Value Team
The Global Value team maintains their long-term view and remains cautious in the face of market ebullience given concerns over the potential consequences of the artificial suppression of interest rates. The Portfolio Managers, Matthew McLennan, Abhay Deshpande, Kimball Brooker, Matt Lamphier, Giorgio Caputo, Robert Hordon, Edward Meigs and Sean Slein, believe that the core problem in the financial architecture today is that neither the current account surplus economies nor the countries with a current account deficit can handle the equilibrium exchange rate or the rise in interest rates necessary for capital to be priced fairly. Thus, we have a continuation of global financial repression for the forseeable future.
The Global Value team is always focused on seeking positive absolute returns over the long-term and providing down side protection during periods of market distress. These goals are particularly relevant in today's environment of low risk perception and macroeconomic imbalances. The core of the Global Value portfolios continues to be in what the team feels are resilient businesses with strong balance sheets and reasonable free cash flow yields. The team maintains higher than normal cash balances, which is a reflection of their patience during an environment of higher valuations.
High Yield Team
Over the past 12 to 18 months, the high yield market has benefited from remarkably low volatility around the world. Complacency has therefore begun to wend its
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
5
Letter from the President (continued)
way into valuations as investors have become comfortable reaching for yield in this arguably benign credit environment. As a result, market spreads have compressed, as have spreads between credit tiers. However, investor complacency has accordingly led to an increase in equity-friendly activity in the leveraged loan and the high yield primary markets. This has led the Portfolio Managers, Edward Meigs and Sean Slein, to modify their portfolio risk, on the margin, by increasing exposure to the higher quality BB credit tier and reducing single B exposure. Interest rate risk has crept into the historically credit intensive high yield market due to Fed inspired rate repression. However, the team remains vigilant to the possibility of higher treasury yields and consequently maintains their approximate 18% loan exposure. Of course, high yield isn't immune from the effects of rate repression, but we still believe that it provides potential benefits to an investor looking to manage duration. All told, despite its gradual erosion, credit quality is acceptable but the pace and severity of erosion in the primary market will determine the timing and magnitude of the fund's defensive positioning.
Fund of America Team
The Portfolio Managers, Harold Levy, David Cohen and Eric Stone, remain cautiously optimistic about the outlook for the U.S. economy and believe that the environment for corporate activity remains favorable due to the ready availability of corporate and private capital. Amidst this backdrop, the team remains confident that they will continue to identify attractive opportunities within their framework of corporate change, free cash flow and strong management.
Thank you for your continued confidence and support.
Sincerely,
John P. Arnhold
President
June 2014
The commentary represents the opinion of John Arnhold as of June 2014 and is subject to change based on market and other conditions. These materials are provided for informational purposes only. These opinions are not intended to be a forecast of future events, a guarantee of future results, or investment advice. The views expressed herein may change at any time subsequent of the date of issue hereof. The information provided is not to be construed as a recommendation or an offer to buy or sell or the solicitation of an offer to buy or sell any fund or security.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
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Management's Discussion of Fund Performance
First Eagle Global Fund
The net asset value ("NAV") of the Fund's Class A shares increased 5.0% for the six-month period while the MSCI World Index rose 6.3%. The Fund's cash and cash equivalents position increased from 21.2% at the end of October 2013 to 23.2% on April 30, 2014.
The five largest contributors to the performance of First Eagle Global Fund over the period were Oracle Corporation (enterprise software, U.S.), Canadian Natural Resources Limited (natural gas, Canada), Microsoft Corporation (software, U.S.), Hoya Corporation (optical materials, Japan) and Total SA (energy, France) collectively accounting for 1.3% points of this period's performance.
The five largest detractors were Keyence Corporation (measurement instruments, Japan), Mitsubishi Estate Company Limited (real estate, Japan), WM Morrison Supermarkets PLC (supermarkets, UK), MS&AD Insurance Group Holdings (insurance, Japan) and Kinross Gold Corporation (gold mining, Canada). Their combined negative performance over the six months subtracted 0.6% points from the Fund's performance.
As of April 30, 2014, the Fund was approximately 30% hedged versus the Japanese yen, 35% hedged versus the Euro and 30% hedged versus the British pound sterling.
First Eagle Overseas Fund
The NAV of the Fund's Class A shares rose 4.4% for the six-month period while the MSCI EAFE Index also increased 4.4%. The Fund's cash and cash equivalents position decreased from 22.0% at the end of October 2013 to 21.4% on April 30, 2014.
The five largest contributors to the performance of First Eagle Overseas Fund over the period were Canadian Natural Resources Limited (natural gas, Canada), Hoya Corporation (optical materials, Japan), Total SA (energy, France), Fanuc Corporation (factory automation systems, Japan) and Jumbo SA (toy retailer, Greece) collectively accounting for 1.5% points of this period's performance.
The five largest detractors were Keyence Corporation (measurement instruments, Japan), Mitsubishi Estate Company Limited (real estate, Japan), WM Morrison Supermarkets PLC (supermarkets, UK), MS&AD Insurance
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
7
Management's Discussion of Fund Performance (continued)
Group Holdings (insurance, Japan) and Penn West Petroleum Limited (natural gas, Canada). Their combined negative performance over the six-month period subtracted 0.9% points from the Fund's performance.
As of April 30, 2014, the Fund was approximately 30% hedged versus the Japanese yen, 35% hedged versus the Euro and 30% hedged versus the British pound sterling.
First Eagle U.S. Value Fund
The NAV of the Fund's Class A shares increased 6.0% for the six-month period while the S&P 500 Index rose 8.4%. The Fund's cash and cash equivalents position increased from 15.5% at the end of October 2013 to 19.8% on April 30, 2014.
The five largest contributors to the performance of First Eagle U.S. Value Fund over the period were Oracle Corporation (enterprise software), Canadian Natural Resources Limited (natural gas, Canada), Microsoft Corporation (software), Alliant Techsystems, Inc. (defense manufacturer) and Sysco Corporation (food distributor) collectively accounting for 2.6% points of this period's performance.
The five largest detractors were Rofin-Sinar Technologies, Inc. (laser technology), Penn West Petroleum Limited (natural gas, Canada), FirstEnergy Corporation (utility), Willis Group Holdings PLC (insurance broker, United Kingdom) and SEACOR Holdings, Inc. (marine transportation equipment). Their combined negative performance over the six-month period subtracted 0.7% points from the Fund's performance.
First Eagle Gold Fund
The NAV of the Fund's Class A shares fell 0.5% for the six-month period while the FTSE Gold Mines Index declined 3.9%. The Fund's cash and cash equivalents position decreased from 4.7% at the end of October 2013 to 3.7% on April 30, 2014.
The five largest contributors to the performance of First Eagle Gold Fund over the period were Osisko Mining Corporation (Canada), Royal Gold, Inc. (U.S.), AngloGold Ashanti Limited (South Africa), Tahoe Resources, Inc. (U.S.), and Franco-Nevada Corporation (Canada) collectively accounting for 4.9% of the period's performance.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
8
First Eagle Global, Overseas, U.S. Value, Gold, Global Income Builder, High Yield Funds and Fund of America
The five largest detractors were Kinross Gold Corporation (Canada), Regis Resources Limited (Australia), Industrias Peñoles S.A.B. de C.V. (Mexico), Newmont Mining Corporation (U.S.) and Fresnillo PLC (Mexico). Their combined negative performance over the six-month period subtracted 2.9% points from the Fund's performance.
First Eagle Global Income Builder Fund
The NAV of the Fund's Class A shares rose 6.6% for the six-month period while the Barclays US Aggregate Bond Index rose 1.7% and the MSCI World Index increased 6.3%. The Fund's cash and cash equivalents position increased from 7.2% at the end of October 2013 to 9.6% on April 30, 2014.
The five largest contributors to the performance of First Eagle Global Income Builder Fund over the period were Ciments Francais SA (cement & aggregates, France), Italcementi SpA (cement & aggregates, Italy), Hoya Corporation (optical materials, Japan), Red Electrica Corporation SA (utility, Spain) and Microsoft Corporation (software, U.S.) collectively accounting for 1.8% points of this period's performance.
The five largest detractors were WM Morrison Supermarkets PLC (supermarkets, UK), Penn West Petroleum Limited (natural gas, Canada), FirstEnergy Corporation (utility, U.S.), Newmont Mining Corporation (gold mining, U.S.) and SMT Scharf AG (transport systems for mines, Germany). Their combined negative performance over the six-month period subtracted 0.7% points from the Fund's performance.
As of April 30, 2014, the Fund was approximately 30% hedged versus the Japanese yen, 40% hedged versus the Euro and 30% hedged versus the British pound sterling.
First Eagle High Yield Fund
The NAV of the Fund's Class I shares rose 4.2% for the six-month period while the Barclays U.S. Corporate High Yield Index rose 4.7%. The Fund's cash and cash equivalents position decreased from 7.1% at the end of October 2013, to 6.6% as of April 30, 2014.
The five largest contributors to the performance of the First Eagle High Yield Fund over the period were Kemet Corporation 10.5% due 05/01/2018, TVN Finance Corporation 7.375% due 12/15/2020, ACCO Brands Corporation 6.75%
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
9
Management's Discussion of Fund Performance (continued)
due 04/30/2020, Outerwall, Inc. 6.0% due 03/15/2019 and Mood Media Corporation 9.25% due 10/15/2020 collectively accounting for 0.49% points of this period's performance.
The five largest detractors were Sandridge Energy, Inc. 7.5% due 02/15/2023, Cannery Casino Resorts, LLC Term Loan 10% due 10/1/2019, Offshore Group Investments Ltd. 7.5% due 11/01/2019, Gencorp, Inc. 7.125% due 03/15/2021, Atlas Pipeline Partners, 5.875% due 08/01/2023. Their combined negative performance over the six-month period subtracted 0.1% points from the Fund's performance.
As of April 30, 2014 the Fund was approximately 100% hedged against the Euro.
First Eagle Fund of America
The NAV of the First Eagle Fund of America Class Y shares increased 10.0% for the six-month period while the S&P 500 Index rose 8.4%. The Fund's cash and cash equivalents position increased from 1.9% on October 31, 2013 to 2.6% as of April 30, 2014.
The five largest contributors to the performance of the First Eagle Fund of America over the period were Avis Budget Group, Inc. (transportation), Forest Laboratories, Inc. (pharmaceuticals), Hewlett-Packard Company (technology hardware), Pitney Bowes, Inc. (commercial services & supplies), and Valeant Pharmaceuticals International, Inc. (pharmaceuticals), collectively accounting for 7.39% points of the Fund's performance.
The five largest detractors were Theravance, Inc. (biotechnology), Halozyme Therapeutics, Inc. (biotechnology), Lowe's Companies, Inc. (consumer discretionary), Leidos Holdings, Inc. (software & services), and Atlas Energy (natural gas). Their combined negative performance subtracted 1.19% points from the Fund's total return.
| | | |
Matthew McLennan | | Abhay Deshpande | |
Head of the Global Value Team Portfolio Manager Global, Overseas, U.S. Value and Gold Funds | | Portfolio Manager Global, Overseas and U.S. Value Funds
| |
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
10
First Eagle Global, Overseas, U.S. Value, Gold, Global Income Builder, High Yield Funds and Fund of America
| | | |
T. Kimball Brooker, Jr. | | Matt Lamphier | |
Portfolio Manager Global, Overseas and U.S. Value Funds | | Portfolio Manager U.S. Value Fund | |
| | | |
Giorgio Caputo | | Robert Hordon | |
Portfolio Manager Global Income Builder Fund | | Portfolio Manager Global Income Builder Fund | |
| | | |
Edward Meigs | | Sean Slein | |
Portfolio Manager Global Income Builder and High Yield Funds | | Portfolio Manager Global Income Builder and High Yield Funds | |
| | | |
Harold Levy | | Eric Stone | |
Portfolio Manager Fund of America | | Portfolio Manager Fund of America | |
June 2014
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
11
Management's Discussion of Fund Performance (continued)
The performance data quoted herein represents past performance and does not guarantee future results. Market volatility can dramatically impact the fund's short-term performance. Current performance may be lower or higher than figures shown. The investment return and principal value will fluctuate so that an investor's shares, when redeemed, may be worth more or less than their original cost. Past performance data through the most recent month end is available at firsteaglefunds.com or by calling 800.334.2143.
The commentary represents the opinion of the Portfolio Management Teams as of June 2014 and is subject to change based on market and other conditions. These materials are provided for informational purposes only. These opinions are not intended to be a forecast of future events, a guarantee of future results, or investment advice. The views expressed herein may change at any time subsequent of the date of issue hereof. The information provided is not to be construed as a recommendation or an offer to buy or sell or the solicitation of an offer to buy or sell any fund or security.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
12
Performance Chart1 (unaudited)
Average Annual Returns as of April 30, 2014
| | ONE-YEAR | | THREE-YEARS | | FIVE-YEARS | | TEN-YEARS | | SINCE INCEPTION | | INCEPTION DATE | |
First Eagle Global Fund | |
Class A (SGENX) | |
without sales charge | | | 10.90 | % | | | 7.58 | % | | | 14.19 | % | | | 10.35 | % | | | 14.05 | % | | 01/01/792 | |
with sales charge | | | 5.35 | | | | 5.76 | | | | 13.02 | | | | 9.78 | | | | 13.92 | | | 01/01/792 | |
Class C (FESGX) | | | 9.08 | | | | 6.78 | | | | 13.34 | | | | 9.52 | | | | 11.40 | | | 06/05/00 | |
Class I (SGIIX) | | | 11.18 | | | | 7.85 | | | | 14.47 | | | | 10.62 | | | | 12.02 | | | 07/31/98 | |
MSCI World Index3 | | | 16.62 | | | | 9.08 | | | | 16.03 | | | | 7.17 | | | | 9.92 | | | 01/01/79 | |
First Eagle Overseas Fund4 | |
Class A (SGOVX) | |
without sales charge | | | 8.90 | % | | | 5.56 | % | | | 13.33 | % | | | 9.94 | % | | | 11.81 | % | | 08/31/93 | |
with sales charge | | | 3.46 | | | | 3.77 | | | | 12.18 | | | | 9.38 | | | | 11.60 | | | 08/31/93 | |
Class C (FESOX) | | | 7.11 | | | | 4.78 | | | | 12.50 | | | | 9.11 | | | | 11.00 | | | 06/05/00 | |
Class I (SGOIX) | | | 9.23 | | | | 5.83 | | | | 13.62 | | | | 10.22 | | | | 12.15 | | | 07/31/98 | |
MSCI EAFE Index5 | | | 13.35 | | | | 5.66 | | | | 13.58 | | | | 6.93 | | | | 5.53 | | | 08/31/93 | |
First Eagle U.S. Value Fund | |
Class A (FEVAX) | |
without sales charge | | | 12.95 | % | | | 9.18 | % | | | 13.57 | % | | | 8.51 | % | | | 9.77 | % | | 09/04/01 | |
with sales charge | | | 7.31 | | | | 7.33 | | | | 12.42 | | | | 7.95 | | | | 9.32 | | | 09/04/01 | |
Class C (FEVCX) | | | 11.11 | | | | 8.37 | | | | 12.73 | | | | 7.69 | | | | 8.95 | | | 09/04/01 | |
Class I (FEVIX) | | | 13.25 | | | | 9.46 | | | | 13.86 | | | | 8.77 | | | | 10.03 | | | 09/04/01 | |
Standard & Poor's 500 Index6 | | | 20.44 | | | | 13.83 | | | | 19.14 | | | | 7.67 | | | | 6.18 | | | 09/04/01 | |
First Eagle Gold Fund | |
Class A (SGGDX) | |
without sales charge | | | -14.14 | % | | | -20.94 | % | | | -0.80 | % | | | 6.42 | % | | | 6.26 | % | | 08/31/93 | |
with sales charge | | | -18.44 | | | | -22.28 | | | | -1.81 | | | | 5.87 | | | | 6.06 | | | 08/31/93 | |
Class C (FEGOX) | | | -15.66 | | | | -21.54 | | | | -1.56 | | | | 5.62 | | | | 6.57 | | | 05/15/03 | |
Class I (FEGIX) | | | -13.93 | | | | -20.74 | | | | -0.57 | | | | 6.68 | | | | 7.63 | | | 05/15/03 | |
FTSE Gold Mines Index7 | | | -19.40 | | | | -27.92 | | | | -7.89 | | | | 0.81 | | | | -1.10 | | | 08/31/93 | |
MSCI World Index3 | | | 16.62 | | | | 9.08 | | | | 16.03 | | | | 7.17 | | | | 6.93 | | | 08/31/93 | |
Please see the following pages for important notes to this table.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
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Performance Chart1 (unaudited) (continued)
| | ONE-YEAR | | THREE-YEARS | | FIVE-YEARS | | TEN-YEARS | | SINCE INCEPTION | | INCEPTION DATE | |
First Eagle Global Income Builder | |
Class A (FEBAX) | |
without sales charge | | | 12.17 | % | | | — | | | | — | | | | — | | | | 12.21 | % | | 05/01/12 | |
with sales charge | | | 6.59 | | | | — | | | | — | | | | — | | | | 9.35 | | | 05/01/12 | |
Class C (FEBCX) | | | 10.36 | | | | — | | | | — | | | | — | | | | 11.37 | | | 05/01/12 | |
Class I (FEBIX) | | | 12.47 | | | | — | | | | — | | | | — | | | | 12.48 | | | 05/01/12 | |
MSCI World Index3 | | | 16.62 | | | | — | | | | — | | | | — | | | | 16.49 | | | 05/01/12 | |
Barclays Capital U.S. Aggregate Bond Index8 | | | -0.26 | | | | — | | | | — | | | | — | | | | 1.75 | | | 05/01/12 | |
First Eagle High Yield | |
Class A (FEHAX) | |
without sales charge | | | 5.65 | % | | | — | | | | — | | | | — | | | | 9.90 | % | | 01/03/12 | |
with sales charge | | | 0.92 | | | | — | | | | — | | | | — | | | | 7.76 | | | 01/03/12 | |
Class C (FEHCX) | | | 3.86 | | | | — | | | | — | | | | — | | | | 9.02 | | | 01/03/12 | |
Class I (FEHIX) | | | 5.95 | | | | 7.49 | % | | | 16.34 | % | | | — | | | | 11.91 | | | 11/19/079 | |
Barclays Capital U.S. Corporate High Yield Index10 | | | 6.30 | | | | 8.67 | | | | 15.72 | | | | — | | | | 9.86 | | | 11/19/07 | |
First Eagle Fund of America | |
Class A (FEFAX) | |
without sales charge | | | 23.53 | % | | | 13.70 | % | | | 19.69 | % | | | 10.34 | % | | | 9.37 | % | | 11/20/98 | |
with sales charge | | | 17.35 | | | | 11.77 | | | | 18.47 | | | | 9.77 | | | | 9.01 | | | 11/20/98 | |
Class C (FEAMX) | | | 21.59 | | | | 12.85 | | | | 18.80 | | | | 9.52 | | | | 8.53 | | | 03/02/98 | |
Class I (FEAIX) | | | 23.79 | | | | — | | | | — | | | | — | | | | 22.36 | | | 03/08/13 | |
Class Y (FEAFX)11 | | | 23.50 | | | | 13.69 | | | | 19.69 | | | | 10.34 | | | | 12.46 | | | 04/10/87 | |
Standard & Poor's 500 Index6 | | | 20.44 | | | | 13.83 | | | | 19.14 | | | | 7.67 | | | | 9.59 | | | 04/10/87 | |
Please see the following pages for important notes to this table.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
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Average Annual Returns as of April 30, 2014 (unaudited)
1 The performance data quoted herein represents past performance and does not guarantee future results. Market volatility can dramatically impact the fund's short-term performance. Current performance may be lower or higher than figures shown. The investment return and principal value will fluctuate so that an investor's shares, when redeemed, may be worth more or less than their original cost. Past performance data through the most recent month end is available at feim.com or by calling 800.334.2143. The average annual returns for Class A Shares "with sales charge" of First Eagle Global, Overseas, U.S. Value, Gold, Fund of America, and Global Income Builder give effect to the deduction of the maximum sales charge of 5.00%. The average annual returns for Class A Shares "with sales charge" of First Eagle High Yield gives effect to the deduction of the maximum sales charge of 4.50%.
The average annual returns for Class C Shares reflect the CDSC (Contingent Deferred Sales Charge) of 1.00% which pertains to the first year or less of investment only.
Class I Shares of First Eagle Global Fund, First Eagle Overseas Fund, First Eagle U.S. Value Fund, First Eagle Gold Fund, First Eagle Global Income Builder Fund, First Eagle High Yield Fund, and First Eagle Fund of America require $1mm minimum investment and are offered without sales charge.
Class Y Shares of First Eagle Fund of America are offered without charge.
2 The Fund commenced operation April 28, 1970. Performance for periods prior to January 1, 2000 occurred while a prior portfolio manager of the fund was affiliated with another firm. Inception date shown is when this prior portfolio manager assumed portfolio management responsibilities.
3 The MSCI World Index is a widely followed, unmanaged group of stocks from 23 international markets and is not available for purchase. The index provides total returns in U.S. dollars with net dividends reinvested.
4 Effective as of the close of business on May 9, 2014, the First Eagle Overseas Fund is closed to certain investors. Please see the prospectus for more information.
5 The MSCI EAFE Index is an unmanaged total return index, reported in U.S. dollars, based on share prices and reinvested net dividends of approximately 1,100 companies from 22 countries and is not available for purchase.
6 The Standard & Poor's 500 Index is a widely recognized unmanaged index including a representative sample of 500 leading companies in leading sectors of the U.S. economy and is not available for purchase. Although the Standard & Poor's 500 Index focuses on the large-cap segment of the market, with approximately 80% coverage of U.S. equities, it is also considered a proxy for the total market. The Standard & Poor's 500 Index includes dividends reinvested.
7 The FTSE Gold Mines Index Series is designed to reflect the performance of the worldwide market in the shares of companies whose principal activity is the mining of gold. The FTSE Gold Mines Index encompasses all gold mining companies that have a sustainable, attributable gold production of at least 300,000 ounces a year and that derive 51% or more of their revenue from mined gold. The Index is unmanaged, is available with dividends reinvested and is not available for purchase.
8 The Barclays Capital U.S. Aggregate Bond Index is an unmanaged broad-based benchmark that measures the investment grade, U.S. dollar-denominated, fixed-rate taxable bond market, including Treasuries, government-related and corporate securities, MBS (agency fixed-rate and hybrid ARM passthroughs), ABS, and CMBS and is not available for purchase.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
15
Performance Chart1 (unaudited) (continued)
9 First Eagle High Yield Fund commenced operations in its present form on December 30, 2011, and is successor to another mutual fund pursuant to a reorganization December 30, 2011. Information prior to December 30, 2011 is for this predecessor fund. Immediately after the reorganization, changes in net asset value of the Class I shares were partially impacted by differences in how the Fund and the predecessor fund price portfolio securities.
10 The Barclays Capital U.S Corporate High Yield Bond Index is composed of fixed-rate, publicly issued, non-investment grade debt, is unmanaged, with dividends reinvested, and is not available for purchase. The index includes both corporate and non-corporate sectors. The corporate sectors are Industrial, Utility, and Finance, which include both U.S. and non-U.S. corporations. The index is presented here for comparison purposes only. One cannot invest directly in an index.
11 As of September 1, 2005 First Eagle Fund of America Class Y is closed to new accounts.
For the First Eagle High Yield and Global Income Builder funds had fees not been waived and/or expenses reimbursed in the past, returns would have been lower.
Expense Ratios As Stated In The Most Recent Prospectus
Total Annual Gross Operating Expense Ratios
| | CLASS A | | CLASS C | | CLASS I | | CLASS Y | |
First Eagle Global Fund | | | 1.13 | % | | | 1.87 | % | | | 0.88 | % | | | — | | |
First Eagle Overseas Fund | | | 1.15 | | | | 1.90 | | | | 0.90 | | | | — | | |
First Eagle U.S. Value Fund | | | 1.16 | | | | 1.91 | | | | 0.91 | | | | — | | |
First Eagle Gold Fund | | | 1.25 | | | | 2.00 | | | | 1.00 | | | | — | | |
First Eagle Global Income Builder | | | 1.35 | | | | 2.09 | | | | 1.10 | | | | | | |
First Eagle High Yield Fund | | | 1.13 | | | | 1.88 | | | | 0.88 | | | | | | |
First Eagle Fund of America | | | 1.42 | | | | 2.17 | | | | 1.20 | | | | 1.42 | % | |
These expense ratios are presented as of October 31, 2013 and may differ from corresponding ratios shown elsewhere in this report because of differing time periods (and/or, if applicable, because these expense ratios do not include expense credits or waivers).
There are risks associated with investing in funds that invest in securities of foreign countries, such as erratic market conditions, economic and political instability and fluctuations in currency exchange rates. Funds whose investments are concentrated in a specific industry or sector may be subject to a higher degree of risk than funds whose investments are diversified and may not be suitable for all investors.
The principal risk of investing in value stocks is that the price of the security may not approach its anticipated value or may decline in price.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
16
Average Annual Returns as of April 30, 2014 (unaudited)
Investment in gold and gold related investments present certain risks, including political and economic risks affecting the price of gold and other precious metals like changes in U.S. or foreign tax, currency or mining laws, increased environmental costs, international monetary and political policies, economic conditions within an individual country, trade imbalances, and trade or currency restrictions between countries. The price of gold, in turn, is likely to affect the market prices of securities of companies mining or processing gold, and accordingly, the value of investments in such securities may also be affected. Gold related investments as a group have not performed as well as the stock market in general during periods when the U.S. dollar is strong, inflation is low and general economic conditions are stable. In addition, returns on gold related investments have traditionally been more volatile than investments in broader equity or debt markets.
The event-driven investment style used by First Eagle Fund of America carries the additional risk that the event anticipated occurs later than expected, does not occur at all or does not have the desired effect on the market price of the securities.
First Eagle High Yield and Global Income Builder Funds invest in high yield securities that are non-investment grade. High yield securities are rated lower than investment-grade securities because there is a greater possibility that the issuer may be unable to make interest and principal payments on those securities. High yield securities involve greater risk than higher rated securities and portfolios that invest in them may be subject to greater levels of credit and liquidity risk than portfolios that do not.
First Eagle High Yield and Global Income Builder Funds invest in bank loans. Bank loans are often less liquid than other types of debt instruments. There is no assurance that the liquidation of any collateral from a secured bank loan would satisfy the borrower's obligation, or that such collateral could be liquidated.
The First Eagle High Yield fund's investment strategies may result in high turnover rates. This may increase the Fund's brokerage commission costs, which would reduce performance. Rapid portfolio turnover also exposes shareholders to a higher current realization of short-term gains, which could cause you to pay higher taxes.
Funds that invest in bonds are subject to interest-rate risk and can lose principal value when interest rates rise. Bonds are also subject to credit risk, in which the bond issuer may fail to pay interest and principal in a timely manner, or that negative perception of the issuer's ability to make such payments may cause the price of that bond to decline.
Income generation and dividends are not guaranteed. If dividend paying stocks in the fund's portfolio stop paying or reduce dividends the fund's ability to generate income will be adversely affected.
All investments involve the risk of loss.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
17
Fund Overview | Data as of April 30, 2014 (unaudited)
INVESTMENT OBJECTIVE
The First Eagle Global Fund seeks long-term growth of capital by investing in a range of asset classes from markets in the United States and around the world. This truly global fund is managed with a highly disciplined, bottom-up, value oriented style.
Average Annual Returns | |
| | ONE-YEAR | | FIVE-YEARS | | TEN-YEARS | |
First Eagle Global Fund (A Shares) | |
without sales load | | | 10.90 | % | | | 14.19 | % | | | 10.35 | % | |
with sales load | | | 5.35 | | | | 13.02 | | | | 9.78 | | |
MSCI World Index | | | 16.62 | | | | 16.03 | | | | 7.17 | | |
Consumer Price Index | | | 1.95 | | | | 2.14 | | | | 2.35 | | |
* Asset Allocations and Countries percentages are based on total investments in the portfolio.
** Country allocations reflect country of the issuer (not currency of issue) and exclude short term investments. Bonds of non-U.S. issuers may be U.S. dollar denominated.
The Fund's portfolio composition is subject to change at any time.
Countries** | |
United States | | | 36.17 | % | |
Japan | | | 12.80 | | |
France | | | 6.92 | | |
Canada | | | 5.25 | | |
Germany | | | 2.18 | | |
United Kingdom | | | 2.12 | | |
Mexico | | | 1.90 | | |
Switzerland | | | 1.69 | | |
South Korea | | | 1.20 | | |
South Africa | | | 0.84 | | |
Australia | | | 0.72 | | |
Sweden | | | 0.72 | | |
Italy | | | 0.59 | | |
Ireland | | | 0.59 | | |
Bermuda | | | 0.59 | | |
Belgium | | | 0.57 | | |
Thailand | | | 0.38 | | |
Austria | | | 0.31 | | |
Hong Kong | | | 0.31 | | |
Netherlands | | | 0.29 | | |
Russia | | | 0.29 | | |
Israel | | | 0.28 | | |
Singapore | | | 0.05 | | |
Malaysia | | | 0.04 | | |
Norway | | | 0.03 | | |
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
18
Growth of a $10,000 Initial Investment
Performance data quoted herein represents past performance and should not be considered indicative of future results. Performance data quoted herein does not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the sale of Fund shares. The average annual returns shown above are historical and reflect changes in share price, reinvested dividends and are net of expenses.
The average annual returns for Class A Shares give effect to the deduction of the maximum sales charge of 5.00%.
The MSCI World Index is a widely followed, unmanaged group of stocks from 23 international markets and is not available for purchase. The index provides total returns in U.S. dollars with net dividends reinvested. The Consumer Price Index (CPI) represents the change in price of all goods and services purchased for consumption by urban households.
Top 10 Holdings* | |
Gold Bullion (precious metal) | | | 4.82 | % | |
Oracle Corporation (U.S. software/hardware) | | | 1.87 | | |
Microsoft Corporation (U.S. software developer) | | | 1.78 | | |
Comcast Corporation, Class 'A' (U.S. cable/satellite television company) | | | 1.46 | | |
Cisco Systems, Inc. (U.S. computer communications company) | | | 1.43 | | |
Intel Corporation (U.S. computer components and related products manufacturer) | | | 1.42 | | |
HeidelbergCement AG (German cement company) | | | 1.36 | | |
Cintas Corporation (U.S. commercial services equipment supplier) | | | 1.32 | | |
Bank of New York Mellon Corporation (U.S. financial services company) | | | 1.29 | | |
Secom Company Limited (Japanese security services provider) | | | 1.29 | | |
Total | | | 18.04 | % | |
* Holdings in cash, commercial paper and other short term cash equivalents have been excluded. Percentages are based on total net assets.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
19
SHARES | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
Common Stocks — 71.14% | | | |
U.S. Common Stocks — 31.08% | | | |
Consumer Discretionary 2.71% | | | |
| 14,258,241 | | | Comcast Corporation, Class 'A' | | $ | 231,978,591 | | | $ | 727,598,038 | | |
| 6,208,490 | | | Omnicom Group, Inc. | | | 186,093,077 | | | | 420,190,603 | | |
| 3,992,318 | | | H&R Block, Inc. | | | 67,554,206 | | | | 113,461,678 | | |
| 783,943 | | | McDonald's Corporation | | | 78,533,788 | | | | 79,476,141 | | |
| 2,485 | | | JG Boswell Company | | | 573,840 | | | | 2,447,725 | | |
| 164,409 | | | St. John Knits International, Inc. (a)(b) | | | 2,699,463
| | | | 863,147
| | |
| 33,892 | | | Mills Music Trust (b)(c) | | | 1,015,863 | | | | 813,408 | | |
| | | 568,448,828 | | | | 1,344,850,740 | | |
Consumer Staples 1.46% | | | |
| 10,208,611 | | | Sysco Corporation | | | 282,092,303 | | | | 371,899,698 | | |
| 3,258,980 | | | Colgate-Palmolive Company | | | 125,309,064 | | | | 219,329,354 | | |
| 1,693,404 | | | Wal-Mart Stores, Inc. | | | 82,465,011 | | | | 134,981,233 | | |
| | | 489,866,378 | | | | 726,210,285 | | |
Energy 2.78% | | | |
| 5,123,693 | | | National Oilwell Varco, Inc. | | | 392,249,544 | | | | 402,363,611 | | |
| 5,369,865 | | | ConocoPhillips | | | 207,013,104 | | | | 399,034,668 | | |
| 5,498,448 | | | Devon Energy Corporation | | | 312,965,847 | | | | 384,891,360 | | |
| 1,442,501 | | | Apache Corporation | | | 90,693,920 | | | | 125,209,087 | | |
| 3,908,035 | | | San Juan Basin Royalty Trust (c) | | | 138,744,050 | | | | 74,682,549 | | |
| | | 1,141,666,465 | | | | 1,386,181,275 | | |
Financials 7.95% | | | |
| 18,950,900 | | | Bank of New York Mellon Corporation | | | 484,400,217
| | | | 641,866,983
| | |
| 2,714 | | | Berkshire Hathaway, Inc., Class 'A' (a) | | | 218,995,900
| | | | 524,548,350
| | |
| 5,480,659 | | | American Express Company | | | 226,378,297 | | | | 479,174,016 | | |
| 9,693,682 | | | BB&T Corporation | | | 245,863,323 | | | | 361,865,149 | | |
| 6,804,202 | | | Cincinnati Financial Corporation | | | 170,308,782 | | | | 331,636,806 | | |
| 7,819,459 | | | U.S. Bancorp | | | 192,949,644 | | | | 318,877,538 | | |
| 9,921,397 | | | Weyerhaeuser Company, REIT | | | 154,182,567 | | | | 296,153,701 | | |
| 5,719,208 | | | Plum Creek Timber Company, Inc., REIT | | | 212,342,604
| | | | 249,357,469
| | |
| 4,386,051 | | | WR Berkley Corporation | | | 117,583,057 | | | | 194,038,896 | | |
| 743,437 | | | Visa, Inc., Class 'A' | | | 53,618,674 | | | | 150,627,771 | | |
| 2,024,060 | | | Mastercard, Inc., Class 'A' | | | 40,702,513 | | | | 148,869,613 | | |
| 2,858,553 | | | Rayonier, Inc., REIT | | | 27,837,041 | | | | 128,920,740 | | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
20
Consolidated Schedule of Investments | Six-Month Period Ended April 30, 2014 (unaudited)
SHARES | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
U.S. Common Stocks — 31.08% — (continued) | | | |
Financials 7.95% — (continued) | | | |
| 299,496 | | | Alleghany Corporation (a) | | $ | 114,850,390 | | | $ | 122,188,378 | | |
| 277,374 | | | First American Financial Corporation | | | 6,437,306 | | | | 7,378,148 | | |
| | | 2,266,450,315 | | | | 3,955,503,558 | | |
Health Care 0.97% | | | |
| 3,728,870 | | | WellPoint, Inc. | | | 190,623,058 | | | | 375,422,632 | | |
| 1,059,980 | | | Johnson & Johnson | | | 59,610,843 | | | | 107,365,374 | | |
| | | 250,233,901 | | | | 482,788,006 | | |
Industrials 4.45% | | | |
| 11,139,767 | | | Cintas Corporation (c) | | | 363,215,909 | | | | 656,466,469 | | |
| 4,069,880 | | | 3M Company | | | 315,646,157 | | | | 566,079,609 | | |
| 2,912,738 | | | Northrop Grumman Corporation | | | 171,493,693 | | | | 353,926,794 | | |
| 2,066,104 | | | Lockheed Martin Corporation | | | 144,573,784 | | | | 339,130,311 | | |
| 2,087,657 | | | Alliant Techsystems, Inc. (c) | | | 149,814,060 | | | | 301,081,893 | | |
| | | 1,144,743,603 | | | | 2,216,685,076 | | |
Information Technology 8.76% | | | |
| 22,706,515 | | | Oracle Corporation | | | 673,138,684 | | | | 928,242,333 | | |
| 21,967,680 | | | Microsoft Corporation | | | 566,099,740 | | | | 887,494,272 | | |
| 30,752,166 | | | Cisco Systems, Inc. | | | 511,359,139 | | | | 710,682,556 | | |
| 26,388,107 | | | Intel Corporation | | | 510,097,912 | | | | 704,298,576 | | |
| 8,019,789 | | | Linear Technology Corporation | | | 227,165,656 | | | | 356,880,611 | | |
| 6,760,923 | | | Teradata Corporation (a) | | | 290,547,366 | | | | 307,351,560 | | |
| 2,135,632 | | | Automatic Data Processing, Inc. | | | 76,756,211 | | | | 166,493,871 | | |
| 241,146 | | | Google, Inc., Class 'A' (a) | | | 62,240,364 | | | | 128,984,172 | | |
| 241,146 | | | Google, Inc., Class 'C' (a) | | | 62,403,398 | | | | 127,001,952 | | |
| 1,137,229 | | | NetApp, Inc. | | | 36,048,304 | | | | 40,496,725 | | |
| | | 3,015,856,774 | | | | 4,357,926,628 | | |
Materials 1.58% | | | |
| 4,172,577 | | | Scotts Miracle-Gro Company, Class 'A' (c) | | | 182,102,946
| | | | 255,403,438
| | |
| 3,397,980 | | | Vulcan Materials Company | | | 156,102,690 | | | | 219,271,649 | | |
| 1,752,640 | | | Martin Marietta Materials, Inc. | | | 155,134,877 | | | | 217,905,731 | | |
| 811,480 | | | Deltic Timber Corporation (c) | | | 39,544,385 | | | | 49,297,410 | | |
| 1,780,037 | | | Newmont Mining Corporation | | | 45,037,098 | | | | 44,198,319 | | |
| | | 577,921,996 | | | | 786,076,547 | | |
Utilities 0.42% | | | |
| 3,760,485 | | | IDACorp, Inc. (c) | | | 124,066,738 | | | | 211,113,628 | | |
Total U.S. Common Stocks | | | 9,579,254,998 | | | | 15,467,335,743 | | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
21
SHARES | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
International Common Stocks — 40.06% | | | |
Australia 0.72% | | | |
| 37,126,221 | | | Newcrest Mining Limited (a) | | $ | 792,366,434 | | | $ | 360,768,201 | | |
Austria 0.31% | | | |
| 3,351,094 | | | OMV AG | | | 136,201,591 | | | | 156,745,687 | | |
Belgium 0.57% | | | |
| 2,788,865 | | | Groupe Bruxelles Lambert SA | | | 234,732,253 | | | | 281,943,500 | | |
Bermuda 0.59% | | | |
| 4,676,071 | | | Jardine Matheson Holdings Limited | | | 236,801,754 | | | | 291,319,223 | | |
Canada 5.22% | | | |
| 13,299,224 | | | Canadian Natural Resources Limited | | | 382,681,555 | | | | 541,894,388 | | |
| 17,875,716 | | | Cenovus Energy, Inc. | | | 505,882,213 | | | | 532,160,065 | | |
| 16,009,475 | | | Goldcorp, Inc. | | | 535,969,039 | | | | 395,754,222 | | |
| 9,130,439 | | | Potash Corporation of Saskatchewan, Inc. | | | 351,228,590
| | | | 330,156,674
| | |
| 12,939,710 | | | Barrick Gold Corporation | | | 236,771,269 | | | | 226,056,734 | | |
| 7,419,204 | | | Agnico-Eagle Mines Limited | | | 234,920,569 | | | | 219,113,757 | | |
| 46,369,306 | | | Kinross Gold Corporation (a) | | | 233,661,065 | | | | 188,259,382 | | |
| 17,645,244 | | | Penn West Petroleum Limited | | | 273,529,232 | | | | 159,865,911 | | |
| 1,008,427 | | | Catalyst Paper Corporation (a)(b)(c) | | | 17,346
| | | | 2,254,136
| | |
| | | 2,754,660,878 | | | | 2,595,515,269 | | |
France 6.75% | | | |
| 7,202,806 | | | Total SA | | | 354,805,789 | | | | 514,429,755 | | |
| 10,735,807 | | | Bouygues SA | | | 391,146,130 | | | | 482,799,205 | | |
| 4,179,227 | | | Sanofi | | | 323,385,924 | | | | 452,363,683 | | |
| 9,980,972 | | | Carrefour SA | | | 407,811,132 | | | | 388,134,064 | | |
| 6,144,333 | | | Compagnie de Saint-Gobain | | | 257,667,236 | | | | 375,241,279 | | |
| 3,298,051 | | | Sodexo | | | 87,651,089 | | | | 355,520,142 | | |
| 8,416,422 | | | Vivendi SA | | | 235,055,984 | | | | 225,823,845 | | |
| 1,867,732 | | | Neopost SA (c) | | | 166,306,200 | | | | 153,036,078 | | |
| 921,669 | | | Wendel SA | | | 19,716,342 | | | | 138,800,373 | | |
| 6,889,644 | | | Société Télévision Francaise 1 | | | 96,963,158 | | | | 117,089,700 | | |
| 1,401,821 | | | Legrand SA | | | 47,735,245 | | | | 90,433,916 | | |
| 157,260 | | | Robertet SA (c) | | | 20,623,058 | | | | 36,216,976 | | |
| 42,252 | | | Robertet SA CI (b)(d)(e) | | | 800,508 | | | | 6,811,444 | | |
| 385,000 | | | Sabeton SA (a)(c) | | | 4,841,233 | | | | 6,994,426 | | |
| 69,500 | | | NSC Groupe (b)(c) | | | 12,298,421 | | | | 6,171,894 | | |
| 12,000,000 | | | FINEL (a)(b)(c)(e)(f)(g) | | | 0 | | | | 5,993,349 | | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
22
Consolidated Schedule of Investments | Six-Month Period Ended April 30, 2014 (unaudited)
SHARES | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
International Common Stocks — 40.06% — (continued) | | | |
France 6.75% — (continued) | | | |
| 104,457 | | | Gaumont SA | | $ | 6,087,824 | | | $ | 5,754,708 | | |
| | | 2,432,895,273 | | | | 3,361,614,837 | | |
Germany 1.89% | | | |
| 7,775,691 | | | HeidelbergCement AG | | | 424,710,749 | | | | 674,440,727 | | |
| 1,956,520 | | | Daimler AG | | | 83,206,657 | | | | 181,130,356 | | |
| 693,440 | | | Fraport AG | | | 20,976,007 | | | | 51,171,094 | | |
| 773,684 | | | Hornbach Baumarkt AG | | | 21,504,161 | | | | 32,405,039 | | |
| | | 550,397,574 | | | | 939,147,216 | | |
Hong Kong 0.31% | | | |
| 12,693,580 | | | Guoco Group Limited | | | 115,086,260 | | | | 152,183,138 | | |
| 12,785,004 | | | City e-Solutions Limited (a)(b) | | | 577,577 | | | | 2,209,727 | | |
| | | 115,663,837 | | | | 154,392,865 | | |
Ireland 0.59% | | | |
| 10,094,915 | | | CRH PLC | | | 175,024,030 | | | | 292,479,265 | | |
Israel 0.28% | | | |
| 15,719,757 | | | Israel Chemicals Limited | | | 156,830,538 | | | | 139,276,911 | | |
Italy 0.59% | | | |
| 18,139,395 | | | Italcementi S.p.A. RSP | | | 249,186,230 | | | | 140,927,793 | | |
| 4,416,279 | | | Italcementi S.p.A. | | | 80,654,243 | | | | 53,610,564 | | |
| 1,734,972 | | | Italmobiliare S.p.A. RSP (a) | | | 121,356,934 | | | | 53,676,373 | | |
| 1,021,137 | | | Italmobiliare S.p.A. (a) | | | 107,360,738 | | | | 46,466,898 | | |
| | | 558,558,145 | | | | 294,681,628 | | |
Japan 12.78% | | | |
| 11,121,730 | | | Secom Company Limited | | | 504,039,784 | | | | 639,987,652 | | |
| 1,647,090 | | | Keyence Corporation | | | 296,727,617 | | | | 634,524,768 | | |
| 2,512,956 | | | SMC Corporation | | | 271,572,000 | | | | 596,684,178 | | |
| 3,169,600 | | | Fanuc Corporation | | | 295,828,491 | | | | 570,456,693 | | |
| 10,093,800 | | | KDDI Corporation | | | 320,858,498 | | | | 537,296,030 | | |
| 4,479,590 | | | Shimano, Inc. | | | 69,035,449 | | | | 446,929,310 | | |
| 14,298,940 | | | Hoya Corporation | | | 305,848,299 | | | | 421,548,444 | | |
| 36,321,300 | | | Astellas Pharma, Inc. | | | 288,085,434 | | | | 403,945,010 | | |
| 14,917,300 | | | NKSJ Holdings, Inc. | | | 402,645,728 | | | | 371,929,356 | | |
| 14,618,720 | | | MS&AD Insurance Group Holdings | | | 356,085,457 | | | | 327,450,177 | | |
| 2,195,100 | | | Hirose Electric Company Limited (c) | | | 230,964,207 | | | | 309,398,846 | | |
| 11,939,880 | | | Mitsubishi Estate Company Limited | | | 205,947,588 | | | | 270,248,763 | | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
23
SHARES | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
International Common Stocks — 40.06% — (continued) | | | |
Japan 12.78% — (continued) | | | |
| 4,274,630 | | | Nissin Foods Holdings Company Limited | | $ | 152,059,580
| | | $ | 204,459,732
| | |
| 1,730,600 | | | Ono Pharmaceutical Company Limited | | | 64,504,491
| | | | 136,944,823
| | |
| 4,484,910 | | | Nomura Research Institute Limited | | | 92,604,811 | | | | 129,631,819 | | |
| 4,094,760 | | | MISUMI Group, Inc. | | | 64,904,124 | | | | 99,570,337 | | |
| 3,526,280 | | | Chofu Seisakusho Company Limited (c) | | | 64,322,537
| | | | 88,299,279
| | |
| 5,147,000 | | | T. Hasegawa Company Limited (c) | | | 79,849,658 | | | | 76,373,052 | | |
| 924,660 | | | Shin-Etsu Chemical Company Limited | | | 43,043,581
| | | | 54,248,649
| | |
| 632,500 | | | Nitori Holdings Company Limited | | | 26,796,871 | | | | 28,984,814 | | |
| 1,104,800 | | | Seikagaku Corporation | | | 11,159,513 | | | | 13,205,513 | | |
| | | 4,146,883,718 | | | | 6,362,117,245 | | |
Malaysia 0.04% | | | |
| 15,073,570 | | | Genting Malaysia Berhad | | | 12,360,952 | | | | 19,479,548 | | |
Mexico 1.90% | | | |
| 16,713,544 | | | Grupo Televisa S.A.B., ADR | | | 327,870,823 | | | | 548,371,379 | | |
| 17,363,483 | | | Fresnillo PLC | | | 235,978,628 | | | | 249,629,916 | | |
| 6,401,020 | | | Industrias Peñoles S.A.B. de C.V. | | | 7,339,323 | | | | 149,027,282 | | |
| | | 571,188,774 | | | | 947,028,577 | | |
Netherlands 0.29% | | | |
| 16,199,448 | | | TNT Express NV | | | 164,536,124 | | | | 145,858,162 | | |
Russia 0.29% | | | |
| 19,920,154 | | | Gazprom OAO, ADR | | | 134,320,030 | | | | 143,664,151 | | |
Singapore 0.05% | | | |
| 13,467,250 | | | ComfortDelGro Corporation Limited | | | 3,279,184 | | | | 22,773,048 | | |
South Africa 0.84% | | | |
| 16,836,513 | | | AngloGold Ashanti Limited, ADR (a) | | | 269,094,862
| | | | 304,740,885
| | |
| 25,019,071 | | | Gold Fields Limited, ADR | | | 233,463,377 | | | | 105,830,670 | | |
| 1,525,857 | | | Harmony Gold Mining Company Limited, ADR (a) | | | 8,711,448
| | | | 5,020,070
| | |
| | | 511,269,687 | | | | 415,591,625 | | |
South Korea 1.15% | | | |
| 3,898,597 | | | KT&G Corporation | | | 216,376,344 | | | | 312,400,882 | | |
| 2,458,905 | | | Kia Motors Corporation | | | 140,087,540 | | | | 136,354,647 | | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
24
Consolidated Schedule of Investments | Six-Month Period Ended April 30, 2014 (unaudited)
SHARES | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
International Common Stocks — 40.06% — (continued) | | | |
South Korea 1.15% — (continued) | | | |
| 51,900 | | | Lotte Confectionery Company Limited | | $ | 21,157,499
| | | $ | 88,902,545
| | |
| 39,989 | | | Namyang Dairy Products Company Limited (c) | | | 7,325,466
| | | | 35,449,457
| | |
| | | 384,946,849 | | | | 573,107,531 | | |
Sweden 0.72% | | | |
| 5,939,940 | | | Investor AB, Class 'A' | | | 116,378,542 | | | | 225,641,349 | | |
| 3,394,798 | | | Investor AB, Class 'B' | | | 63,888,333 | | | | 131,308,126 | | |
| | | 180,266,875 | | | | 356,949,475 | | |
Switzerland 1.68% | | | |
| 5,091,560 | | | Nestlé SA | | | 146,056,200 | | | | 393,104,763 | | |
| 4,327,670 | | | Pargesa Holding SA | | | 272,881,781 | | | | 392,396,394 | | |
| 388,803 | | | Kuehne & Nagel International AG | | | 7,503,142 | | | | 53,100,921 | | |
| | | 426,441,123 | | | | 838,602,078 | | |
Thailand 0.38% | | | |
| 32,213,700 | | | Bangkok Bank PCL, NVDR | | | 109,267,553 | | | | 187,647,789 | | |
United Kingdom 2.12% | | | |
| 7,175,381 | | | Berkeley Group Holdings PLC (c) | | | 86,127,761 | | | | 277,915,975 | | |
| 7,387,420 | | | GlaxoSmithKline PLC | | | 140,774,624 | | | | 203,557,954 | | |
| 4,355,040 | | | Willis Group Holdings PLC | | | 119,957,625 | | | | 178,513,090 | | |
| 2,917,489 | | | British American Tobacco PLC | | | 154,655,907 | | | | 168,317,526 | | |
| 42,951,230 | | | WM Morrison Supermarkets PLC | | | 186,107,922 | | | | 145,690,312 | | |
| 3,052,693 | | | Anglo American PLC | | | 74,109,213 | | | | 81,538,880 | | |
| | | 761,733,052 | | | | 1,055,533,737 | | |
Total International Common Stocks | | | 15,550,626,228 | | | | 19,936,237,568 | | |
Total Common Stocks | | | 25,129,881,226 | | | | 35,403,573,311 | | |
International Preferred Stock — 0.30% | | | |
Germany 0.30% | | | |
| 1,613,642 | | | Hornbach Holding AG | | | 54,766,557 | | | | 145,492,147 | | |
Investment Company — 0.00% | | | |
| 192,349 | | | State Street Institutional U.S. Government Money Market Fund, Institutional Class | | | 192,349
| | | | 192,349
| | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
25
SHARES | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
Warrant — 0.22% | | | |
United States — 0.22% | | | |
| 5,806,899
| | | JPMorgan Chase & Company Warrant expire 10/28/18 (a) | | $ | 75,108,859
| | | $ | 109,518,115
| | |
OUNCES | | | | | | | |
Commodity — 4.82% | | | |
| 1,859,536 | | | Gold bullion (a) | | | 1,786,987,800 | | | | 2,399,117,206 | | |
PRINCIPAL | | | | | | | |
Notes and Bonds — 0.28% | | | |
U.S. Corporate Bond 0.01% | | | |
$ | 5,467,000
| | | Bausch & Lomb, Inc. 7.125% due 08/01/28 (b) | | | 4,804,428
| | | | 5,125,312
| | |
International Notes and Bonds — 0.27% | | | |
International Corporate Notes and Bonds — 0.22% | | | |
Canada 0.03% | | | |
| 17,593,454 USD | | | Catalyst Paper Corporation 11.00% due 10/30/17 (h) | | | 17,593,454
| | | | 15,900,084
| | |
France 0.16% | | | |
| 15,000,000 EUR | | | Emin Leydier SA FRN 8.259% due 07/31/16 (b)(e)(f)(h) | | | 21,369,283
| | | | 20,810,240
| | |
| 17,256,032 EUR | | | FINEL 9.50% due 06/30/17 (b)(e)(f)(h) | | | 21,555,398
| | | | 17,955,108
| | |
| 12,050,000 EUR | | | Wendel SA 4.375% due 08/09/17 | | | 13,303,779
| | | | 17,992,273
| | |
| 10,000,000 EUR | | | Wendel SA 4.875% due 09/21/15 | | | 12,582,092
| | | | 14,568,222
| | |
| 3,500,000 EUR | | | Wendel SA 4.875% due 05/26/16 | | | 3,622,431
| | | | 5,190,768
| | |
| | | 72,432,983 | | | | 76,516,611 | | |
Norway 0.03% | | | |
| 5,500,000 USD | | | Den Norske Bank ASA FRN 0.448% due 08/29/14 (b)(i) | | | 4,006,661
| | | | 3,753,750
| | |
| 3,500,000 USD | | | Den Norske Creditbank FRN 0.48% due 08/29/14 (b)(i) | | | 2,677,514
| | | | 2,380,000
| | |
| 3,170,000 USD | | | Den Norske Creditbank FRN 0.50% due 05/30/14 (b)(i) | | | 2,130,365
| | | | 2,187,300
| | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
26
Consolidated Schedule of Investments | Six-Month Period Ended April 30, 2014 (unaudited)
PRINCIPAL | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
International Corporate Notes and Bonds — 0.22% — (continued) | | | |
Norway 0.03% — (continued) | | | |
| 10,000,000 USD | | | Nordea Bank Norge ASA FRN 0.539% due 11/21/14 (b)(i) | | $ | 7,052,703
| | | $ | 6,749,420
| | |
| | | 15,867,243 | | | | 15,070,470 | | |
Total International Corporate Notes and Bonds | | | 105,893,680 | | | | 107,487,165 | | |
International Government Bond — 0.05% | | | |
South Korea 0.05% | | | |
| 25,944,240,000 KRW | | | Inflation Linked Korea Treasury Bond 2.75% due 03/10/17 (j) | | | 24,741,605
| | | | 26,066,341
| | |
Total International Notes and Bonds | | | 130,635,285 | | | | 133,553,506 | | |
Total Notes and Bonds | | | 135,439,713 | | | | 138,678,818 | | |
Commercial Paper — 23.14% | | | |
International Commercial Paper — 8.57% | | | |
Australia 0.11% | | | |
| 35,025,000 USD | | | Telstra Corporation Limited 0.14% due 07/09/14 | | | 35,015,601
| | | | 35,012,944
| | |
| 21,556,000 USD | | | Telstra Corporation Limited 0.15% due 05/15/14 | | | 21,554,743
| | | | 21,554,743
| | |
Belgium 0.12% | | | |
| 58,559,000 USD | | | Anheuser Busch Inbev Worldwide 0.11% due 07/14/14 | | | 58,545,759
| | | | 58,540,700
| | |
Canada 0.62% | | | |
| 32,431,000 USD | | | Suncor Energy, Inc. 0.19% due 06/04/14 | | | 32,425,180
| | | | 32,425,180
| | |
| 47,129,000 USD | | | Suncor Energy, Inc. 0.19% due 06/16/14 | | | 47,117,558
| | | | 47,117,558
| | |
| 55,346,000 USD | | | Suncor Energy, Inc. 0.20% due 05/16/14 | | | 55,341,388
| | | | 55,341,388
| | |
| 66,042,000 USD | | | Suncor Energy, Inc. 0.20% due 05/09/14 | | | 66,039,065
| | | | 66,039,065
| | |
| 34,615,000 USD | | | Suncor Energy, Inc. 0.23% due 05/16/14 | | | 34,611,683
| | | | 34,611,683
| | |
| 72,456,000 USD | | | Total Capital Limited 0.10% due 06/19/14 | | | 72,446,138
| | | | 72,446,138
| | |
France 1.22% | | | |
| 30,621,000 USD | | | Essilor International 0.12% due 05/23/14 | | | 30,618,754
| | | | 30,618,754
| | |
| 38,135,000 USD | | | Essilor International 0.13% due 05/20/14 | | | 38,132,383
| | | | 38,132,383
| | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
27
PRINCIPAL | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
International Commercial Paper — 8.57% — (continued) | | | |
France 1.22% — (continued) | | | |
| 71,795,000 USD | | | Essilor International 0.16% due 06/17/14 | | $ | 71,780,003
| | | $ | 71,780,003
| | |
| 38,143,000 USD | | | GDF Suez SA 0.14% due 06/11/14 | | | 38,136,918
| | | | 38,136,918
| | |
| 20,234,000 USD | | | GDF Suez SA 0.14% due 07/03/14 | | | 20,229,043
| | | | 20,227,776
| | |
| 36,314,000 USD | | | GDF Suez SA 0.15% due 05/05/14 | | | 36,313,395
| | | | 36,313,395
| | |
| 34,849,000 USD | | | GDF Suez SA 0.15% due 05/12/14 | | | 34,847,403
| | | | 34,847,403
| | |
| 44,513,000 USD | | | GDF Suez SA 0.15% due 05/23/14 | | | 44,508,920
| | | | 44,508,920
| | |
| 62,927,000 USD | | | GDF Suez SA 0.15% due 07/03/14 | | | 62,910,481
| | | | 62,907,644
| | |
| 37,158,000 USD | | | GDF Suez SA 0.15% due 07/08/14 | | | 37,147,472
| | | | 37,145,466
| | |
| 9,527,000 USD | | | GDF Suez SA 0.16% due 07/22/14 | | | 9,523,528
| | | | 9,522,937
| | |
| 10,486,000 USD | | | GDF Suez SA 0.17% due 05/12/14 | | | 10,485,455
| | | | 10,485,455
| | |
| 20,280,000 USD | | | L'Oreal USA, Inc. 0.06% due 05/20/14 | | | 20,279,358
| | | | 20,279,358
| | |
| 63,214,000 USD | | | Sanofi 0.08% due 06/13/14 | | | 63,207,960
| | | | 63,207,960
| | |
| 39,147,000 USD | | | Électricité de France SA 0.09% due 06/02/14 | | | 39,143,868
| | | | 39,143,868
| | |
| 14,324,000 USD | | | Électricité de France SA 0.12% due 05/20/14 | | | 14,323,093
| | | | 14,323,093
| | |
| 37,966,000 USD | | | Électricité de France SA 0.14% due 06/26/14 | | | 37,957,732
| | | | 37,957,732
| | |
Germany 0.89% | | | |
| 36,167,000 USD | | | BASF AG 0.08% due 06/02/14 | | | 36,164,428
| | | | 36,164,428
| | |
| 70,236,000 USD | | | BASF AG 0.08% due 06/03/14 | | | 70,230,849
| | | | 70,230,849
| | |
| 58,720,000 USD | | | BASF AG 0.08% due 06/17/14 | | | 58,713,867
| | | | 58,713,867
| | |
| 27,322,000 USD | | | Henkel Corporation 0.10% due 06/25/14 | | | 27,317,826
| | | | 27,317,826
| | |
| 20,153,000 USD | | | Henkel Corporation 0.11% due 06/20/14 | | | 20,149,921
| | | | 20,149,921
| | |
| 18,457,000 USD | | | Henkel Corporation 0.13% due 06/27/14 | | | 18,453,201
| | | | 18,453,201
| | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
28
Consolidated Schedule of Investments | Six-Month Period Ended April 30, 2014 (unaudited)
PRINCIPAL | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
International Commercial Paper — 8.57% — (continued) | | | |
Germany 0.89% — (continued) | | | |
| 39,788,000 USD | | | Siemens Company 0.07% due 05/23/14 | | $ | 39,786,298
| | | $ | 39,786,298
| | |
| 119,001,000 USD | | | Siemens Company 0.07% due 06/18/14 | | | 118,989,893
| | | | 118,989,893
| | |
| 55,899,000 USD | | | Siemens Company 0.09% due 06/05/14 | | | 55,894,109
| | | | 55,894,109
| | |
Italy 0.46% | | | |
| 25,354,000 USD | | | Eni S.p.A. 0.26% due 05/05/14 | | | 25,353,268
| | | | 25,353,268
| | |
| 52,539,000 USD | | | Eni S.p.A. 0.27% due 06/11/14 | | | 52,522,844
| | | | 52,522,844
| | |
| 33,723,000 USD | | | Eni S.p.A. 0.28% due 07/03/14 | | | 33,706,476
| | | | 33,708,432
| | |
| 62,927,000 USD | | | Eni S.p.A. 0.29% due 07/02/14 | | | 62,895,571
| | | | 62,900,350
| | |
| 52,685,000 USD | | | Eni S.p.A. 0.29% due 07/09/14 | | | 52,655,716
| | | | 52,659,695
| | |
Japan 0.85% | | | |
| 58,547,000 USD | | | Honda Corporation 0.08% due 05/08/14 | | | 58,546,089
| | | | 58,546,089
| | |
| 39,533,000 USD | | | Honda Corporation 0.08% due 05/12/14 | | | 39,532,034
| | | | 39,532,034
| | |
| 19,359,000 USD | | | Honda Corporation 0.08% due 06/06/14 | | | 19,357,451
| | | | 19,357,451
| | |
| 32,228,000 USD | | | Honda Corporation 0.08% due 06/12/14 | | | 32,224,992
| | | | 32,224,992
| | |
| 25,952,000 USD | | | Honda Corporation 0.09% due 05/08/14 | | | 25,951,546
| | | | 25,951,546
| | |
| 15,813,000 USD | | | Honda Corporation 0.09% due 05/21/14 | | | 15,812,209
| | | | 15,812,209
| | |
| 34,321,000 USD | | | Honda Corporation 0.09% due 05/23/14 | | | 34,319,113
| | | | 34,319,113
| | |
| 30,626,000 USD | | | Honda Corporation 0.10% due 05/09/14 | | | 30,625,319
| | | | 30,625,319
| | |
| 42,947,000 USD | | | Honda Corporation 0.10% due 07/10/14 | | | 42,938,649
| | | | 42,936,495
| | |
| 42,943,000 USD | | | Honda Corporation 0.11% due 07/07/14 | | | 42,934,209
| | | | 42,933,024
| | |
| 41,951,000 USD | | | Honda Corporation 0.11% due 07/08/14 | | | 41,942,284
| | | | 41,941,112
| | |
| 37,158,000 USD | | | Honda Corporation 0.11% due 07/09/14 | | | 37,150,166
| | | | 37,149,112
| | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
29
PRINCIPAL | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
International Commercial Paper — 8.57% — (continued) | | | |
Switzerland 2.10% | | | |
| 38,026,000 USD | | | Nestlé SA 0.04% due 06/04/14 | | $ | 38,024,563
| | | $ | 38,024,563
| | |
| 24,511,000 USD | | | Nestlé SA 0.05% due 05/09/14 | | | 24,510,728
| | | | 24,510,728
| | |
| 53,725,000 USD | | | Nestlé SA 0.07% due 05/02/14 | | | 53,724,895
| | | | 53,724,895
| | |
| 13,846,000 USD | | | Nestlé SA 0.07% due 05/20/14 | | | 13,845,488
| | | | 13,845,488
| | |
| 55,035,000 USD | | | Nestlé SA 0.08% due 06/03/14 | | | 55,030,964
| | | | 55,030,964
| | |
| 58,150,000 USD | | | Nestlé SA 0.08% due 06/09/14 | | | 58,144,960
| | | | 58,144,960
| | |
| 38,780,000 USD | | | Nestlé SA 0.09% due 06/03/14 | | | 38,776,801
| | | | 38,776,801
| | |
| 52,539,000 USD | | | Nestlé SA 0.09% due 07/07/14 | | | 52,530,200
| | | | 52,530,100
| | |
| 29,376,000 USD | | | Nestlé SA 0.09% due 07/21/14 | | | 29,370,051
| | | | 29,370,983
| | |
| 38,403,000 USD | | | Nestlé SA 0.11% due 06/12/14 | | | 38,398,072
| | | | 38,398,072
| | |
| 54,253,000 USD | | | Nestlé SA 0.12% due 05/12/14 | | | 54,251,094
| | | | 54,251,094
| | |
| 38,366,000 USD | | | Nestlé SA 0.12% due 07/07/14 | | | 38,357,432
| | | | 38,359,501
| | |
| 37,257,000 USD | | | Roche Holdings, Inc. 0.07% due 05/02/14 | | | 37,256,927
| | | | 37,256,927
| | |
| 28,087,000 USD | | | Roche Holdings, Inc. 0.07% due 06/02/14 | | | 28,085,252
| | | | 28,085,252
| | |
| 115,758,000 USD | | | Roche Holdings, Inc. 0.07% due 06/05/14 | | | 115,750,122
| | | | 115,750,122
| | |
| 36,421,000 USD | | | Roche Holdings, Inc. 0.07% due 06/12/14 | | | 36,418,026
| | | | 36,418,026
| | |
| 55,737,000 USD | | | Roche Holdings, Inc. 0.07% due 06/20/14 | | | 55,731,581
| | | | 55,731,581
| | |
| 41,951,000 USD | | | Roche Holdings, Inc. 0.07% due 06/23/14 | | | 41,946,677
| | | | 41,946,677
| | |
| 21,074,000 USD | | | Roche Holdings, Inc. 0.07% due 07/03/14 | | | 21,071,419
| | | | 21,068,643
| | |
| 23,873,000 USD | | | Roche Holdings, Inc. 0.08% due 05/20/14 | | | 23,871,992
| | | | 23,871,992
| | |
| 39,039,000 USD | | | Roche Holdings, Inc. 0.08% due 07/02/14 | | | 39,033,621
| | | | 39,029,299
| | |
| 38,132,000 USD | | | Roche Holdings, Inc. 0.08% due 07/08/14 | | | 38,126,238
| | | | 38,121,331
| | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
30
Consolidated Schedule of Investments | Six-Month Period Ended April 30, 2014 (unaudited)
PRINCIPAL | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
International Commercial Paper — 8.57% — (continued) | | | |
Switzerland 2.10% — (continued) | | | |
| 74,885,000 USD | | | Roche Holdings, Inc. 0.08% due 07/10/14 | | $ | 74,873,351
| | | $ | 74,863,291
| | |
| 36,167,000 USD | | | Roche Holdings, Inc. 0.08% due 07/16/14 | | | 36,160,892
| | | | 36,155,318
| | |
United Kingdom 2.20% | | | |
| 36,077,000 USD | | | AstraZeneca PLC 0.07% due 07/08/14 | | | 36,072,230
| | | | 36,066,906
| | |
| 40,851,000 USD | | | AstraZeneca PLC 0.08% due 05/19/14 | | | 40,849,366
| | | | 40,849,366
| | |
| 52,275,000 USD | | | AstraZeneca PLC 0.08% due 06/09/14 | | | 52,270,469
| | | | 52,270,469
| | |
| 35,499,000 USD | | | AstraZeneca PLC 0.09% due 05/12/14 | | | 35,498,024
| | | | 35,498,024
| | |
| 51,218,000 USD | | | AstraZeneca PLC 0.09% due 05/16/14 | | | 51,216,079
| | | | 51,216,079
| | |
| 36,011,000 USD | | | Astrazeneca PLC 0.09% due 05/27/14 | | | 36,008,659
| | | | 36,008,659
| | |
| 59,441,000 USD | | | AstraZeneca PLC 0.09% due 06/10/14 | | | 59,435,056
| | | | 59,435,056
| | |
| 31,225,000 USD | | | AstraZeneca PLC 0.09% due 06/16/14 | | | 31,221,409
| | | | 31,221,409
| | |
| 63,660,000 USD | | | AstraZeneca PLC 0.09% due 06/24/14 | | | 63,651,406
| | | | 63,651,406
| | |
| 62,649,000 USD | | | AstraZeneca PLC 0.10% due 06/17/14 | | | 62,640,821
| | | | 62,640,821
| | |
| 39,784,000 USD | | | British American Tobacco PLC 0.26% due 06/11/14 | | | 39,772,219
| | | | 39,772,219
| | |
| 19,786,000 USD | | | Centrica PLC 0.29% due 05/02/14 | | | 19,785,841
| | | | 19,785,841
| | |
| 43,437,000 USD | | | Centrica PLC 0.30% due 05/02/14 | | | 43,436,638
| | | | 43,436,638
| | |
| 18,372,000 USD | | | Centrica PLC 0.30% due 05/09/14 | | | 18,370,775
| | | | 18,370,775
| | |
| 39,860,000 USD | | | Centrica PLC 0.32% due 06/06/14 | | | 39,847,245
| | | | 39,847,245
| | |
| 38,143,000 USD | | | Centrica PLC 0.33% due 06/17/14 | | | 38,126,567
| | | | 38,126,567
| | |
| 7,727,000 USD | | | Centrica PLC 0.41% due 07/01/14 | | | 7,721,763
| | | | 7,723,394
| | |
| 11,291,000 USD | | | GlaxoSmithKline PLC 0.07% due 05/08/14 | | | 11,290,846
| | | | 11,290,846
| | |
| 58,720,000 USD | | | GlaxoSmithKline PLC 0.10% due 06/02/14 | | | 58,714,780
| | | | 58,714,780
| | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
31
PRINCIPAL | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
International Commercial Paper — 8.57% — (continued) | | | |
United Kingdom 2.20% — (continued) | | | |
| 72,842,000 USD | | | GlaxoSmithKline PLC 0.11% due 06/23/14 | | $ | 72,830,204
| | | $ | 72,830,204
| | |
| 61,421,000 USD | | | GlaxoSmithKline PLC 0.12% due 06/30/14 | | | 61,408,715
| | | | 61,403,206
| | |
| 26,502,000 USD | | | Reckitt Benckiser 0.15% due 07/29/14 | | | 26,492,172
| | | | 26,490,074
| | |
| 31,395,000 USD | | | Reed Elsevier, Inc. 0.20% due 06/16/14 | | | 31,386,977
| | | | 31,386,977
| | |
| 37,158,000 USD | | | Reed Elsevier, Inc. 0.21% due 07/01/14 | | | 37,144,778
| | | | 37,140,658
| | |
| 39,039,000 USD | | | Reed Elsevier, Inc. 0.22% due 06/18/14 | | | 39,027,549
| | | | 39,027,549
| | |
| 81,702,000 USD | | | Royal Dutch Shell PLC 0.07% due 05/06/14 | | | 81,701,206
| | | | 81,701,206
| | |
Total International Commercial Paper | | | 4,266,024,349 | | | | 4,265,974,923 | | |
U.S. Commercial Paper — 14.57% | | | |
$ | 32,350,000
| | | 3M Company 0.07% due 06/23/14 | | | 32,346,666
| | | | 32,346,666
| | |
| 24,568,000
| | | 3M Company 0.07% due 06/26/14 | | | 24,565,325
| | | | 24,565,325
| | |
| 35,841,000
| | | Abbott Laboratories 0.08% due 05/22/14 | | | 35,839,328
| | | | 35,839,328
| | |
| 30,693,000
| | | Abbott Laboratories 0.08% due 06/19/14 | | | 30,689,658
| | | | 30,689,658
| | |
| 53,641,000
| | | Abbott Laboratories 0.09% due 05/22/14 | | | 53,638,184
| | | | 53,638,184
| | |
| 24,498,000
| | | Abbott Laboratories 0.09% due 06/10/14 | | | 24,495,550
| | | | 24,495,550
| | |
| 69,447,000
| | | Abbott Laboratories 0.10% due 05/19/14 | | | 69,443,528
| | | | 69,443,528
| | |
| 38,767,000
| | | Abbott Laboratories 0.10% due 06/03/14 | | | 38,763,446
| | | | 38,763,446
| | |
| 39,627,000
| | | Abbott Laboratories 0.10% due 06/06/14 | | | 39,623,037
| | | | 39,623,037
| | |
| 25,128,000
| | | Abbott Laboratories 0.10% due 06/16/14 | | | 25,124,789
| | | | 25,124,789
| | |
| 25,191,000
| | | Abbott Laboratories 0.10% due 06/23/14 | | | 25,187,291
| | | | 25,187,291
| | |
| 14,010,000
| | | Abbott Laboratories 0.10% due 07/08/14 | | | 14,007,354
| | | | 14,008,228
| | |
| 25,317,000
| | | Abbott Laboratories 0.10% due 07/11/14 | | | 25,312,007
| | | | 25,313,557
| | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
32
Consolidated Schedule of Investments | Six-Month Period Ended April 30, 2014 (unaudited)
PRINCIPAL | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
U.S. Commercial Paper — 14.57% — (continued) | | | |
$ | 30,063,000
| | | Abbott Laboratories 0.10% due 07/15/14 | | $ | 30,056,737
| | | $ | 30,058,494
| | |
| 13,489,000
| | | Abbott Laboratories 0.10% due 07/21/14 | | | 13,485,965
| | | | 13,486,696
| | |
| 40,538,000
| | | Air Products 0.08% due 06/04/14 | | | 40,534,937
| | | | 40,534,937
| | |
| 15,040,000
| | | Air Products 0.08% due 06/23/14 | | | 15,038,229
| | | | 15,038,229
| | |
| 32,758,000
| | | Air Products 0.09% due 06/04/14 | | | 32,755,216
| | | | 32,755,216
| | |
| 18,083,000
| | | BHP Billiton Finance USA Limited 0.08% due 05/20/14 | | | 18,082,236
| | | | 18,082,236
| | |
| 40,124,000
| | | Caterpillar Financial Services Company 0.09% due 07/01/14 | | | 40,117,881
| | | | 40,115,638
| | |
| 77,533,000
| | | Caterpillar Financial Services Company 0.11% due 06/06/14 | | | 77,524,471
| | | | 77,524,471
| | |
| 54,104,000
| | | Caterpillar Financial Services Company 0.13% due 07/17/14 | | | 54,088,956
| | | | 54,089,230
| | |
| 47,924,000
| | | Celgene Corporation 0.23% due 05/07/14 | | | 47,922,163
| | | | 47,922,163
| | |
| 38,403,000
| | | Celgene Corporation 0.25% due 06/12/14 | | | 38,391,799
| | | | 38,391,799
| | |
| 28,631,000
| | | Celgene Corporation 0.25% due 07/02/14 | | | 28,618,673
| | | | 28,617,372
| | |
| 32,669,000
| | | Chevron Corporation 0.07% due 05/01/14 | | | 32,669,000
| | | | 32,669,000
| | |
| 26,206,000
| | | Chevron Corporation 0.07% due 06/03/14 | | | 26,204,318
| | | | 26,204,318
| | |
| 28,852,000
| | | Chevron Corporation 0.07% due 06/11/14 | | | 28,849,700
| | | | 28,849,700
| | |
| 34,026,000
| | | Chevron Corporation 0.07% due 07/07/14 | | | 34,021,567
| | | | 34,016,680
| | |
| 64,345,000
| | | Chevron Corporation 0.08% due 05/01/14 | | | 64,345,000
| | | | 64,345,000
| | |
| 20,846,000
| | | Chevron Corporation 0.08% due 05/02/14 | | | 20,845,954
| | | | 20,845,954
| | |
| 39,481,000
| | | Chevron Corporation 0.08% due 05/05/14 | | | 39,480,649
| | | | 39,480,649
| | |
| 39,860,000
| | | Chevron Corporation 0.08% due 05/06/14 | | | 39,859,557
| | | | 39,859,557
| | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
33
PRINCIPAL | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
U.S. Commercial Paper — 14.57% — (continued) | | | |
$ | 39,860,000
| | | Chevron Corporation 0.08% due 05/08/14 | | $ | 39,859,380
| | | $ | 39,859,380
| | |
| 39,860,000
| | | Chevron Corporation 0.08% due 05/09/14 | | | 39,859,291
| | | | 39,859,291
| | |
| 34,849,000
| | | Chevron Corporation 0.08% due 05/13/14 | | | 34,848,071
| | | | 34,848,071
| | |
| 42,047,000
| | | Chevron Corporation 0.08% due 05/14/14 | | | 42,045,785
| | | | 42,045,785
| | |
| 35,025,000
| | | Chevron Corporation 0.08% due 06/12/14 | | | 35,021,731
| | | | 35,021,731
| | |
| 40,947,000
| | | Chevron Corporation 0.08% due 06/13/14 | | | 40,943,087
| | | | 40,943,087
| | |
| 26,266,000
| | | Chevron Corporation 0.08% due 07/01/14 | | | 26,262,440
| | | | 26,259,623
| | |
| 37,158,000
| | | Chevron Corporation 0.08% due 07/11/14 | | | 37,152,137
| | | | 37,147,001
| | |
| 39,031,000
| | | Chevron Corporation 0.09% due 05/21/14 | | | 39,029,048
| | | | 39,029,048
| | |
| 38,799,000
| | | Church & Dwight Company, Inc. 0.30% due 05/20/14 | | | 38,792,857
| | | | 38,792,857
| | |
| 48,408,000
| | | Coca-Cola Company 0.07% due 06/12/14 | | | 48,404,047
| | | | 48,404,047
| | |
| 39,322,000
| | | Coca-Cola Company 0.08% due 05/16/14 | | | 39,320,689
| | | | 39,320,689
| | |
| 44,511,000
| | | Coca-Cola Company 0.09% due 05/15/14 | | | 44,509,442
| | | | 44,509,442
| | |
| 61,306,000
| | | Coca-Cola Company 0.09% due 05/16/14 | | | 61,303,701
| | | | 61,303,701
| | |
| 31,013,000
| | | Coca-Cola Company 0.09% due 05/19/14 | | | 31,011,604
| | | | 31,011,604
| | |
| 7,158,000
| | | Coca-Cola Company 0.10% due 07/09/14 | | | 7,156,628
| | | | 7,156,650
| | |
| 22,721,000
| | | Coca-Cola Company 0.10% due 07/18/14 | | | 22,716,077
| | | | 22,715,865
| | |
| 42,947,000
| | | Coca-Cola Company 0.10% due 07/21/14 | | | 42,937,337
| | | | 42,936,727
| | |
| 34,617,000
| | | Coca-Cola Company 0.10% due 07/24/14 | | | 34,608,923
| | | | 34,608,256
| | |
| 14,431,000
| | | Coca-Cola Company 0.10% due 08/01/14 | | | 14,427,312
| | | | 14,426,863
| | |
| 40,203,000
| | | Coca-Cola Company 0.11% due 05/13/14 | | | 40,201,526
| | | | 40,201,526
| | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
34
Consolidated Schedule of Investments | Six-Month Period Ended April 30, 2014 (unaudited)
PRINCIPAL | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
U.S. Commercial Paper — 14.57% — (continued) | | | |
$ | 25,009,000
| | | Coca-Cola Company 0.11% due 06/06/14 | | $ | 25,006,249
| | | $ | 25,006,249
| | |
| 35,182,000
| | | Coca-Cola Company 0.12% due 05/13/14 | | | 35,180,593
| | | | 35,180,593
| | |
| 42,165,000
| | | ConocoPhillips 0.10% due 07/08/14 | | | 42,157,035
| | | | 42,157,242
| | |
| 46,353,000
| | | ConocoPhillips 0.11% due 06/18/14 | | | 46,346,202
| | | | 46,346,202
| | |
| 15,347,000
| | | Corning, Inc. 0.17% due 06/12/14 | | | 15,343,956
| | | | 15,343,956
| | |
| 7,689,000
| | | Corning, Inc. 0.17% due 06/25/14 | | | 7,687,003
| | | | 7,687,003
| | |
| 31,290,000
| | | Corning, Inc. 0.17% due 07/01/14 | | | 31,280,987
| | | | 31,275,397
| | |
| 70,733,000
| | | Corning, Inc. 0.18% due 05/07/14 | | | 70,730,878
| | | | 70,730,878
| | |
| 68,298,000
| | | Corning, Inc. 0.18% due 05/08/14 | | | 68,295,610
| | | | 68,295,610
| | |
| 17,173,000
| | | Devon Energy Corporation 0.19% due 05/01/14 | | | 17,173,000
| | | | 17,173,000
| | |
| 19,740,000
| | | Devon Energy Corporation 0.19% due 05/14/14 | | | 19,738,646
| | | | 19,738,646
| | |
| 19,740,000
| | | Devon Energy Corporation 0.19% due 05/15/14 | | | 19,738,541
| | | | 19,738,541
| | |
| 17,073,000
| | | Devon Energy Corporation 0.19% due 05/20/14 | | | 17,071,288
| | | | 17,071,288
| | |
| 40,851,000
| | | Devon Energy Corporation 0.19% due 05/21/14 | | | 40,846,688
| | | | 40,846,688
| | |
| 34,615,000
| | | Devon Energy Corporation 0.19% due 05/22/14 | | | 34,611,163
| | | | 34,611,163
| | |
| 42,947,000
| | | Devon Energy Corporation 0.19% due 06/20/14 | | | 42,935,667
| | | | 42,935,667
| | |
| 14,863,000
| | | Devon Energy Corporation 0.19% due 06/23/14 | | | 14,858,842
| | | | 14,858,842
| | |
| 20,435,000
| | | Devon Energy Corporation 0.20% due 05/27/14 | | | 20,432,048
| | | | 20,432,048
| | |
| 20,435,000
| | | Devon Energy Corporation 0.20% due 05/28/14 | | | 20,431,935
| | | | 20,431,935
| | |
| 14,049,000
| | | Devon Energy Corporation 0.20% due 07/01/14 | | | 14,044,239
| | | | 14,042,443
| | |
| 38,316,000
| | | Diageo Capital PLC 0.24% due 06/05/14 | | | 38,307,060
| | | | 38,307,060
| | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
35
PRINCIPAL | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
U.S. Commercial Paper — 14.57% — (continued) | | | |
$ | 18,986,000
| | | Diageo Capital PLC 0.25% due 05/22/14 | | $ | 18,983,231
| | | $ | 18,983,231
| | |
| 32,758,000
| | | Diageo Capital PLC 0.25% due 06/10/14 | | | 32,748,901
| | | | 32,748,901
| | |
| 23,231,000
| | | Diageo Capital PLC 0.25% due 06/11/14 | | | 23,224,386
| | | | 23,224,386
| | |
| 28,612,000
| | | Diageo Capital PLC 0.25% due 06/19/14 | | | 28,602,264
| | | | 28,602,264
| | |
| 25,249,000
| | | Diageo Capital PLC 0.26% due 06/20/14 | | | 25,239,882
| | | | 25,239,882
| | |
| 20,470,000
| | | Dominion Resources, Inc. 0.20% due 05/21/14 | | | 20,467,726
| | | | 20,467,726
| | |
| 44,511,000
| | | Dominion Resources, Inc. 0.25% due 05/06/14 | | | 44,509,454
| | | | 44,509,454
| | |
| 40,014,000
| | | Dr Pepper Snapple Group, Inc. 0.20% due 05/13/14 | | | 40,011,332
| | | | 40,011,332
| | |
| 20,007,000
| | | Dr Pepper Snapple Group, Inc. 0.22% due 06/10/14 | | | 20,002,109
| | | | 20,002,109
| | |
| 18,345,000
| | | Emerson Electric Company 0.08% due 05/29/14 | | | 18,343,859
| | | | 18,343,859
| | |
| 23,593,000
| | | Emerson Electric Company 0.08% due 05/30/14 | | | 23,591,480
| | | | 23,591,480
| | |
| 29,737,000
| | | Emerson Electric Company 0.10% due 05/12/14 | | | 29,736,091
| | | | 29,736,091
| | |
| 20,213,000
| | | Emerson Electric Company 0.10% due 06/02/14 | | | 20,211,203
| | | | 20,211,203
| | |
| 14,288,000
| | | Emerson Electric Company 0.10% due 06/04/14 | | | 14,286,651
| | | | 14,286,651
| | |
| 35,898,000
| | | Google, Inc. 0.06% due 05/21/14 | | | 35,896,803
| | | | 35,896,803
| | |
| 38,316,000
| | | Google, Inc. 0.06% due 06/19/14 | | | 38,312,871
| | | | 38,312,871
| | |
| 30,011,000
| | | Google, Inc. 0.08% due 05/14/14 | | | 30,010,133
| | | | 30,010,133
| | |
| 36,421,000
| | | Google, Inc. 0.08% due 07/09/14 | | | 36,415,415
| | | | 36,416,254
| | |
| 36,404,000
| | | Google, Inc. 0.09% due 05/07/14 | | | 36,403,454
| | | | 36,403,454
| | |
| 32,335,000
| | | Honeywell International, Inc. 0.08% due 05/13/14 | | | 32,334,138
| | | | 32,334,138
| | |
| 40,851,000
| | | Honeywell International, Inc. 0.10% due 05/19/14 | | | 40,848,957
| | | | 40,848,957
| | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
36
Consolidated Schedule of Investments | Six-Month Period Ended April 30, 2014 (unaudited)
PRINCIPAL | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
U.S. Commercial Paper — 14.57% — (continued) | | | |
$ | 38,799,000
| | | Honeywell International, Inc. 0.10% due 05/21/14 | | $ | 38,796,844
| | | $ | 38,796,844
| | |
| 40,203,000
| | | Honeywell International, Inc. 0.11% due 05/29/14 | | | 40,199,560
| | | | 40,199,560
| | |
| 34,615,000
| | | Honeywell International, Inc. 0.12% due 06/09/14 | | | 34,610,500
| | | | 34,610,500
| | |
| 39,725,000
| | | Honeywell International, Inc. 0.12% due 06/19/14 | | | 39,718,512
| | | | 39,718,512
| | |
| 26,439,000
| | | Intercontinental Exchange Group, Inc. 0.25% due 05/08/14 | | | 26,437,715
| | | | 26,437,715
| | |
| 39,031,000
| | | International Business Machines Corporation 0.07% due 05/07/14 | | | 39,030,545
| | | | 39,030,545
| | |
| 78,063,000
| | | International Business Machines Corporation 0.07% due 05/13/14 | | | 78,061,179
| | | | 78,061,179
| | |
| 79,254,000
| | | Johnson & Johnson 0.05% due 05/06/14 | | | 79,253,450
| | | | 79,253,450
| | |
| 39,627,000
| | | Johnson & Johnson 0.05% due 05/08/14 | | | 39,626,615
| | | | 39,626,615
| | |
| 40,538,000
| | | Johnson Controls 0.27% due 06/23/14 | | | 40,521,886
| | | | 40,521,886
| | |
| 25,311,000
| | | McDonald's Corporation 0.08% due 06/23/14 | | | 25,308,019
| | | | 25,308,019
| | |
| 30,387,000
| | | McDonald's Corporation 0.08% due 06/27/14 | | | 30,383,151
| | | | 30,383,151
| | |
| 82,896,000
| | | Merck & Company, Inc. 0.06% due 05/01/14 | | | 82,896,000
| | | | 82,896,000
| | |
| 52,275,000
| | | Merck & Company, Inc. 0.06% due 05/09/14 | | | 52,274,303
| | | | 52,274,303
| | |
| 73,820,000
| | | Merck & Company, Inc. 0.07% due 05/05/14 | | | 73,819,426
| | | | 73,819,426
| | |
| 36,167,000
| | | Merck & Company, Inc. 0.07% due 05/29/14 | | | 36,165,031
| | | | 36,165,031
| | |
| 76,805,000
| | | Merck & Company, Inc. 0.08% due 05/15/14 | | | 76,802,610
| | | | 76,802,610
| | |
| 35,898,000
| | | Merck & Company, Inc. 0.08% due 06/02/14 | | | 35,895,447
| | | | 35,895,447
| | |
| 88,329,000
| | | Merck & Company, Inc. 0.08% due 06/04/14 | | | 88,322,326
| | | | 88,322,326
| | |
| 61,243,000
| | | Merck & Company, Inc. 0.08% due 06/13/14 | | | 61,237,148
| | | | 61,237,148
| | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
37
PRINCIPAL | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
U.S. Commercial Paper — 14.57% — (continued) | | | |
$ | 21,474,000
| | | Merck & Company, Inc. 0.09% due 06/17/14 | | $ | 21,471,477
| | | $ | 21,471,477
| | |
| 20,234,000
| | | MetLife 0.10% due 06/06/14 | | | 20,231,977
| | | | 20,231,977
| | |
| 20,234,000
| | | MetLife 0.10% due 06/09/14 | | | 20,231,808
| | | | 20,231,808
| | |
| 32,688,000
| | | National Grid USA 0.28% due 06/11/14 | | | 32,677,576
| | | | 32,677,576
| | |
| 18,039,000
| | | Omnicom Group, Inc. 0.26% due 06/20/14 | | | 18,032,486
| | | | 18,032,486
| | |
| 28,830,000
| | | Parker-Hannifin Corporation 0.08% due 05/02/14 | | | 28,829,936
| | | | 28,829,936
| | |
| 30,508,000
| | | Parker-Hannifin Corporation 0.08% due 05/06/14 | | | 30,507,661
| | | | 30,507,661
| | |
| 16,122,000
| | | PepsiCo, Inc. 0.06% due 05/01/14 | | | 16,122,000
| | | | 16,122,000
| | |
| 29,137,000
| | | PepsiCo, Inc. 0.06% due 06/06/14 | | | 29,135,252
| | | | 29,135,252
| | |
| 36,690,000
| | | PepsiCo, Inc. 0.07% due 05/07/14 | | | 36,689,572
| | | | 36,689,572
| | |
| 40,538,000
| | | PepsiCo, Inc. 0.07% due 06/06/14 | | | 40,535,162
| | | | 40,535,162
| | |
| 49,586,000
| | | PepsiCo, Inc. 0.07% due 06/10/14 | | | 49,582,143
| | | | 49,582,143
| | |
| 99,965,000
| | | Pfizer, Inc. 0.06% due 05/22/14 | | | 99,961,501
| | | | 99,961,501
| | |
| 74,532,000
| | | Pfizer, Inc. 0.07% due 05/14/14 | | | 74,530,116
| | | | 74,530,116
| | |
| 82,473,000
| | | Pfizer, Inc. 0.08% due 06/10/14 | | | 82,465,669
| | | | 82,465,669
| | |
| 33,346,000
| | | Pfizer, Inc. 0.08% due 06/11/14 | | | 33,342,962
| | | | 33,342,962
| | |
| 79,066,000
| | | Pfizer, Inc. 0.08% due 06/16/14 | | | 79,057,918
| | | | 79,057,918
| | |
| 39,533,000
| | | Pfizer, Inc. 0.08% due 06/17/14 | | | 39,528,871
| | | | 39,528,871
| | |
| 75,112,000
| | | Pfizer, Inc. 0.09% due 06/09/14 | | | 75,104,677
| | | | 75,104,677
| | |
| 20,883,000
| | | Philip Morris International, Inc. 0.05% due 05/19/14 | | | 20,882,478
| | | | 20,882,478
| | |
| 16,673,000
| | | Philip Morris International, Inc. 0.05% due 05/27/14 | | | 16,672,398
| | | | 16,672,398
| | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
38
Consolidated Schedule of Investments | Six-Month Period Ended April 30, 2014 (unaudited)
PRINCIPAL | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
U.S. Commercial Paper — 14.57% — (continued) | | | |
$ | 38,403,000
| | | Philip Morris International, Inc. 0.05% due 05/28/14 | | $ | 38,401,560
| | | $ | 38,401,560
| | |
| 15,531,000
| | | Philip Morris International, Inc. 0.06% due 05/01/14 | | | 15,531,000
| | | | 15,531,000
| | |
| 39,322,000
| | | Philip Morris International, Inc. 0.06% due 05/20/14 | | | 39,320,755
| | | | 39,320,755
| | |
| 40,538,000
| | | Philip Morris International, Inc. 0.07% due 06/05/14 | | | 40,535,241
| | | | 40,535,241
| | |
| 38,143,000
| | | Philip Morris International, Inc. 0.07% due 06/09/14 | | | 38,140,107
| | | | 38,140,107
| | |
| 35,025,000
| | | Philip Morris International, Inc. 0.07% due 06/11/14 | | | 35,022,208
| | | | 35,022,208
| | |
| 40,124,000
| | | Philip Morris International, Inc. 0.08% due 06/04/14 | | | 40,120,968
| | | | 40,120,968
| | |
| 71,702,000
| | | Philip Morris International, Inc. 0.08% due 06/13/14 | | | 71,695,148
| | | | 71,695,148
| | |
| 18,006,000
| | | Philip Morris International, Inc. 0.09% due 05/02/14 | | | 18,005,955
| | | | 18,005,955
| | |
| 36,421,000
| | | Philip Morris International, Inc. 0.09% due 06/18/14 | | | 36,416,629
| | | | 36,416,629
| | |
| 33,339,000
| | | Philip Morris International, Inc. 0.09% due 06/19/14 | | | 33,334,916
| | | | 33,334,916
| | |
| 30,082,000
| | | Philip Morris International, Inc. 0.09% due 06/23/14 | | | 30,078,014
| | | | 30,078,014
| | |
| 51,039,000
| | | Philip Morris International, Inc. 0.09% due 07/16/14 | | | 51,029,303
| | | | 51,019,243
| | |
| 36,069,000
| | | Philip Morris International, Inc. 0.10% due 07/15/14 | | | 36,061,486
| | | | 36,055,218
| | |
| 16,707,000
| | | Precision Castparts Corporation 0.08% due 05/02/14 | | | 16,706,963
| | | | 16,706,963
| | |
| 23,419,000
| | | Precision Castparts Corporation 0.09% due 05/09/14 | | | 23,418,532
| | | | 23,418,532
| | |
| 24,310,000
| | | Precision Castparts Corporation 0.09% due 06/02/14 | | | 24,308,055
| | | | 24,308,055
| | |
| 19,893,000
| | | Precision Castparts Corporation 0.09% due 06/12/14 | | | 19,890,911
| | | | 19,890,911
| | |
| 19,158,000
| | | Precision Castparts Corporation 0.10% due 06/03/14 | | | 19,156,244
| | | | 19,156,244
| | |
| 14,315,000
| | | Precision Castparts Corporation 0.10% due 06/11/14 | | | 14,313,370
| | | | 14,313,370
| | |
| 35,124,000
| | | Precision Castparts Corporation 0.10% due 07/02/14 | | | 35,117,951
| | | | 35,113,428
| | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
39
PRINCIPAL | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
U.S. Commercial Paper — 14.57% — (continued) | | | |
$ | 37,291,000
| | | Procter & Gamble Company 0.07% due 05/30/14 | | $ | 37,288,897
| | | $ | 37,288,897
| | |
| 77,664,000
| | | Procter & Gamble Company 0.08% due 05/19/14 | | | 77,660,893
| | | | 77,660,893
| | |
| 33,021,000
| | | Procter & Gamble Company 0.08% due 06/05/14 | | | 33,018,432
| | | | 33,018,432
| | |
| 59,441,000
| | | Procter & Gamble Company 0.09% due 05/20/14 | | | 59,438,177
| | | | 59,438,177
| | |
| 70,612,000
| | | Procter & Gamble Company 0.09% due 05/21/14 | | | 70,608,469
| | | | 70,608,469
| | |
| 51,817,000
| | | Procter & Gamble Company 0.10% due 06/02/14 | | | 51,812,394
| | | | 51,812,394
| | |
| 62,649,000
| | | Procter & Gamble Company 0.10% due 06/20/14 | | | 62,640,299
| | | | 62,640,299
| | |
| 36,167,000
| | | Procter & Gamble Company 0.10% due 07/14/14 | | | 36,159,566
| | | | 36,161,727
| | |
| 34,617,000
| | | Procter & Gamble Company 0.10% due 07/21/14 | | | 34,609,211
| | | | 34,611,087
| | |
| 57,475,000
| | | Schlumberger Investments SA 0.10% due 06/16/14 | | | 57,467,656
| | | | 57,467,656
| | |
| 18,579,000
| | | Schlumberger Investments SA 0.11% due 06/16/14 | | | 18,576,389
| | | | 18,576,389
| | |
| 37,291,000
| | | Schlumberger Investments SA 0.13% due 06/25/14 | | | 37,283,594
| | | | 37,283,594
| | |
| 59,221,000
| | | United Healthcare Company 0.18% due 05/14/14 | | | 59,217,151
| | | | 59,217,151
| | |
| 51,218,000
| | | United Healthcare Company 0.18% due 05/15/14 | | | 51,214,415
| | | | 51,214,415
| | |
| 34,026,000
| | | United Technologies Corporation 0.07% due 06/24/14 | | | 34,022,427
| | | | 34,022,427
| | |
| 52,900,000
| | | Wal-Mart Stores, Inc. 0.07% due 05/14/14 | | | 52,898,663
| | | | 52,898,663
| | |
| 55,810,000
| | | Wal-Mart Stores, Inc. 0.08% due 05/12/14 | | | 55,808,636
| | | | 55,808,636
| | |
| 37,257,000
| | | Wal-Mart Stores, Inc. 0.10% due 05/05/14 | | | 37,256,586
| | | | 37,256,586
| | |
| 21,134,000
| | | Wal-Mart Stores, Inc. 0.11% due 05/05/14 | | | 21,133,742
| | | | 21,133,742
| | |
| 24,748,000
| | | Walt Disney Company 0.06% due 05/16/14 | | | 24,747,381
| | | | 24,747,381
| | |
| 23,488,000
| | | Walt Disney Company 0.06% due 05/22/14 | | | 23,487,178
| | | | 23,487,178
| | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
40
Consolidated Schedule of Investments | Six-Month Period Ended April 30, 2014 (unaudited)
PRINCIPAL | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
U.S. Commercial Paper — 14.57% — (continued) | | | |
$ | 118,557,000
| | | Walt Disney Company 0.06% due 05/23/14 | | $ | 118,552,653
| | | $ | 118,552,653
| | |
| 40,125,000
| | | Walt Disney Company 0.06% due 06/18/14 | | | 40,121,790
| | | | 40,121,790
| | |
| 39,481,000
| | | Walt Disney Company 0.07% due 05/15/14 | | | 39,479,925
| | | | 39,479,925
| | |
| 57,215,000
| | | Walt Disney Company 0.07% due 06/19/14 | | | 57,209,549
| | | | 57,209,549
| | |
| 58,244,000
| | | Walt Disney Company 0.07% due 06/20/14 | | | 58,238,337
| | | | 58,238,337
| | |
| 3,499,000
| | | Walt Disney Company 0.07% due 07/15/14 | | | 3,498,490
| | | | 3,498,254
| | |
| 16,452,000
| | | Walt Disney Company 0.08% due 06/20/14 | | | 16,450,172
| | | | 16,450,172
| | |
| 61,547,000
| | | Walt Disney Company 0.08% due 07/15/14 | | | 61,536,742
| | | | 61,533,878
| | |
| 32,612,000
| | | Walt Disney Company 0.08% due 07/18/14 | | | 32,606,347
| | | | 32,604,630
| | |
| 38,294,000
| | | WellPoint, Inc. 0.16% due 05/01/14 | | | 38,294,000
| | | | 38,294,000
| | |
| 18,633,000
| | | WellPoint, Inc. 0.16% due 05/02/14 | | | 18,632,917
| | | | 18,632,917
| | |
| 37,266,000
| | | WellPoint, Inc. 0.16% due 05/07/14 | | | 37,265,006
| | | | 37,265,006
| | |
| 20,269,000
| | | WellPoint, Inc. 0.16% due 06/03/14 | | | 20,266,027
| | | | 20,266,027
| | |
| 15,978,000
| | | WellPoint, Inc. 0.17% due 06/13/14 | | | 15,974,756
| | | | 15,974,756
| | |
| 19,383,000
| | | WellPoint, Inc. 0.20% due 05/05/14 | | | 19,382,569
| | | | 19,382,569
| | |
Total U.S. Commercial Paper | | | 7,250,156,913 | | | | 7,250,115,828 | | |
Total Commercial Paper | | | 11,516,181,262 | | | | 11,516,090,751 | | |
Total Investments — 99.90% | | $ | 38,698,557,766 | | | | 49,712,662,697 | | |
Other Assets in Excess of Liabilities — 0.10% | | | | | 51,962,254 | | |
Net Assets — 100.00% | | | | $ | 49,764,624,951 | | |
(a) Non-income producing security/commodity.
(b) Security is deemed illiquid. At April 30, 2014, the value of these securities amounted to $84,078,235 or 0.17% of net assets.
(c) An affiliate of the Fund as defined by the Investment Company Act of 1940. An affiliate is defined as a company in which the Fund directly or indirectly owns, controls, or holds power to vote 5% or more of the outstanding voting securities.
(d) Represents non-voting class of shares.
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
41
(e) Securities valued in accordance with fair value procedures under the supervision of the Board of Trustees, representing $51,570,141 or 0.10% of net assets.
(f) Represents securities that are subject to legal or contractual restrictions on resale. At April 30, 2014, the value of these securities amounted to $44,758,697 or 0.09% of net assets.
(g) Held through Financiere Rouge, LLC, wholly owned subsidiary and disregarded entity for U.S. tax purposes.
(h) Payment-in-kind security.
(i) Floating rate security. Rate shown is the rate in effect at April 30, 2014.
(j) Inflation protected security.
At April 30, 2014, cost is substantially identical for both book and federal income tax purposes. Net unrealized appreciation consisted of:
Gross unrealized appreciation | | $ | 12,453,387,782 | | |
Gross unrealized depreciation | | | (1,439,282,851 | ) | |
Net unrealized appreciation | | $ | 11,014,104,931 | | |
Abbreviations used in this schedule include:
ADR — American Depository Receipt
FRN — Floating Rate Note
NVDR — Non-Voting Depository Receipt
PCL — Public Company Limited
PLC — Public Limited Company
REIT — Real Estate Investment Trust
RSP — Represents Non-Voting Shares
Currencies
EUR — Euro
KRW — South Korean Won
USD — United States Dollar
RESTRICTED SECURITIES | | ACQUISITION DATE | | COST | | CARRYING VALUE PER SHARE/PRINCIPAL | |
Emin Leydier SA FRN 8.259% due 07/31/16 | | 07/30/09 | | $ | 21,369,283 | | | $ | 1.39 | | |
FINEL 9.50% due 06/30/17 | | 06/22/05 | | | 21,555,398 | | | | 1.04 | | |
FINEL | | 07/30/09 | | | — | | | | 0.50 | | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
42
Consolidated Schedule of Investments | Six-Month Period Ended April 30, 2014 (unaudited)
Foreign Currency Exchange Contracts — Sales | |
SETTLEMENT DATES THROUGH | | FOREIGN CURRENCY TO BE DELIVERED | | U.S. $ TO BE RECEIVED | | U.S. $ VALUE AT APRIL 30, 2014 | | UNREALIZED APPRECIATION AT APRIL 30, 2014 | | UNREALIZED DEPRECIATION AT APRIL 30, 2014 | |
06/18/14 | | | 17,441,000 | | | British Pound | | $ | 28,445,573 | | | $ | 29,436,591 | | | $ | — | | | $ | (991,018 | ) | |
07/16/14 | | | 13,362,000 | | | British Pound | | | 21,965,845 | | | | 22,547,262 | | | | — | | | | (581,417 | ) | |
08/20/14 | | | 35,651,000 | | | British Pound | | | 58,591,330 | | | | 60,163,889 | | | | — | | | | (1,572,559 | ) | |
09/17/14 | | | 2,268,000 | | | British Pound | | | 3,779,917 | | | | 3,825,030 | | | | — | | | | (45,113 | ) | |
10/15/14 | | | 10,769,000 | | | British Pound | | | 18,031,721 | | | | 18,157,705 | | | | — | | | | (125,984 | ) | |
06/18/14 | | | 102,163,000 | | | Euro | | | 140,871,575 | | | | 141,720,572 | | | | — | | | | (848,997 | ) | |
07/16/14 | | | 210,426,000 | | | Euro | | | 285,169,315 | | | | 291,885,461 | | | | — | | | | (6,716,146 | ) | |
08/20/14 | | | 475,005,000 | | | Euro | | | 641,844,020 | | | | 658,903,386 | | | | — | | | | (17,059,366 | ) | |
09/17/14 | | | 379,397,000 | | | Euro | | | 528,374,820 | | | | 526,239,792 | | | | 2,135,028 | | | | — | | |
10/15/14 | | | 219,857,000 | | | Euro | | | 304,678,930 | | | | 304,944,328 | | | | — | | | | (265,398 | ) | |
06/18/14 | | | 50,901,993,000 | | | Japanese Yen | | | 497,172,314 | | | | 498,031,155 | | | | — | | | | (858,841 | ) | |
07/16/14 | | | 34,806,653,000 | | | Japanese Yen | | | 332,340,192 | | | | 340,607,635 | | | | — | | | | (8,267,443 | ) | |
08/20/14 | | | 60,097,111,000 | | | Japanese Yen | | | 599,270,791 | | | | 587,991,478 | | �� | | 11,279,313 | | | | — | | |
09/17/14 | | | 38,580,859,000 | | | Japanese Yen | | | 377,440,729 | | | | 377,692,206 | | | | — | | | | (251,477 | ) | |
10/15/14 | | | 34,316,725,000 | | | Japanese Yen | | | 337,046,486 | | | | 336,009,696 | | | | 1,036,790 | | | | — | | |
| | | | | | $ | 4,175,023,558 | | | $ | 4,198,156,186 | | | $ | 14,451,131 | | | $ | (37,583,759 | ) | |
Foreign Currency Exchange Contracts — Purchases | |
SETTLEMENT DATES THROUGH | | FOREIGN CURRENCY TO BE RECEIVED | | U.S. $ TO BE DELIVERED | | U.S. $ VALUE AT APRIL 30, 2014 | | UNREALIZED APPRECIATION AT APRIL 30, 2014 | | UNREALIZED DEPRECIATION AT APRIL 30, 2014 | |
05/13/14 | | | 12,070,710,000 | | | Japanese Yen | | $ | 115,886,233 | | | $ | 118,076,163 | | | $ | 2,189,930 | | | $ | — | | |
06/18/14 | | | 11,212,000,000 | | | Japanese Yen | | | 107,023,028 | | | | 109,699,542 | | | | 2,676,514 | | | | — | | |
| | | | | | $ | 222,909,261 | | | $ | 227,775,705 | | | $ | 4,866,444 | | | $ | — | | |
Affiliated Securities | |
AFFILIATED SECURITIES | | SHARES OCTOBER 31, 2013 | | GROSS ADDITIONS | | GROSS REDUCTIONS | | SHARES APRIL 30, 2014 | | MARKET VALUE APRIL 30, 2014 | | REALIZED GAIN/(LOSS) | | DIVIDEND INCOME | |
Alliant Techsystems, Inc. | | | 2,319,923 | | | | — | | | | 232,266 | | | | 2,087,657 | | | $ | 301,081,893 | | | $ | 13,823,852 | | | $ | 1,345,555 | | |
Berkeley Group Holdings PLC | | | 7,175,381 | | | | — | | | | — | | | | 7,175,381 | | | | 277,915,975 | | | | — | | | | 10,575,047 | | |
Catalyst Paper Corporation | | | 1,008,427 | | | | — | | | | — | | | | 1,008,427 | | | | 2,254,136 | | | | — | | | | — | | |
Chofu Seisakusho Company Limited | | | 3,526,280 | | | | — | | | | — | | | | 3,526,280 | | | | 88,299,279 | | | | — | | | | 484,990 | | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
43
Affiliated Securities — (continued) | |
AFFILIATED SECURITIES | | SHARES OCTOBER 31, 2013 | | GROSS ADDITIONS | | GROSS REDUCTIONS | | SHARES APRIL 30, 2014 | | MARKET VALUE APRIL 30, 2014 | | REALIZED GAIN/(LOSS) | | DIVIDEND INCOME | |
Cintas Corporation | | | 13,051,511 | | | | — | | | | 1,911,744 | | | | 11,139,767 | | | $ | 656,466,469 | | | $ | 40,497,665 | | | $ | 10,049,664 | | |
City e-Solutions Limited* | | | 20,738,780 | | | | — | | | | 7,953,776 | | | | 12,785,004 | | | | 2,209,727 | | | | 1,560,438 | | | | — | | |
Deltic Timber Corporation | | | 811,480 | | | | — | | | | — | | | | 811,480 | | | | 49,297,410 | | | | — | | | | 162,296 | | |
FINEL | | | 12,000,000 | | | | — | | | | — | | | | 12,000,000 | | | | 5,993,349 | | | | — | | | | — | | |
Hirose Electric Company Limited | | | 2,224,800 | | | | — | | | | 29,700 | | | | 2,195,100 | | | | 309,398,846 | | | | 677,602 | | | | 2,127,097 | | |
IDACorp, Inc. | | | 3,760,485 | | | | — | | | | — | | | | 3,760,485 | | | | 211,113,628 | | | | — | | | | 3,234,017 | | |
MISUMI Group, Inc.* | | | 5,247,260 | | | | — | | | | 1,152,500 | | | | 4,094,760 | | | | 99,570,337 | | | | 15,844,919 | | | | 491,299 | | |
Mills Music Trust | | | 33,892 | | | | — | | | | — | | | | 33,892 | | | | 813,408 | | | | — | | | | 77,650 | | |
NSC Groupe | | | 69,500 | | | | — | | | | — | | | | 69,500 | | | | 6,171,894 | | | | — | | | | (27,798 | ) | |
Namyang Dairy Products Company Limited | | | 39,989 | | | | — | | | | — | | | | 39,989 | | | | 35,449,457 | | | | — | | | | 29,588 | | |
Neopost SA | | | 2,044,437 | | | | — | | | | 176,705 | | | | 1,867,732 | | | | 153,036,078 | | | | (2,832,533 | ) | | | 4,233,734 | | |
Robertet SA | | | 157,260 | | | | — | | | | — | | | | 157,260 | | | | 36,216,976 | | | | — | | | | — | | |
Sabeton SA | | | 385,000 | | | | — | | | | — | | | | 385,000 | | | | 6,994,426 | | | | — | | | | — | | |
San Juan Basin Royalty Trust | | | 3,908,035 | | | | — | | | | — | | | | 3,908,035 | | | | 74,682,549 | | | | — | | | | 2,385,734 | | |
Scotts Miracle-Gro Company | | | 4,172,577 | | | | — | | | | — | | | | 4,172,577 | | | | 255,403,438 | | | | — | | | | 3,651,005 | | |
Shimano, Inc.* | | | 4,713,690 | | | | — | | | | 234,100 | | | | 4,479,590 | | | | 446,929,310 | | | | 16,194,385 | | | | 1,756,399 | | |
Société Télévision Francaise 1* | | | 8,653,008 | | | | — | | | | 1,763,364 | | | | 6,889,644 | | | | 117,089,700 | | | | 3,717,953 | | | | 4,453,068 | | |
T. Hasegawa Company Limited | | | 5,147,000 | | | | — | | | | — | | | | 5,147,000 | | | | 76,373,052 | | | | — | | | | 922,163 | | |
Total | | | | | | | | | | $ | 3,212,761,337 | | | $ | 89,484,281 | | | $ | 45,951,508 | | |
* Represents an unaffiliated issuer as of April 30, 2014, as such, amounts represented above will not agree to balances in the Statements of Assets and Liabilities and Statements of Operations.
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
44
Consolidated Schedule of Investments | Six-Month Period Ended April 30, 2014 (unaudited)
INDUSTRY DIVERSIFICATION FOR PORTFOLIO HOLDINGS | | PERCENT OF NET ASSETS | |
U.S. Common Stocks | |
Consumer Discretionary | | | 2.71 | % | |
Consumer Staples | | | 1.46 | | |
Energy | | | 2.78 | | |
Financials | | | 7.95 | | |
Health Care | | | 0.97 | | |
Industrials | | | 4.45 | | |
Information Technology | | | 8.76 | | |
Materials | | | 1.58 | | |
Utilities | | | 0.42 | | |
Total U.S. Common Stocks | | | 31.08 | | |
International Common Stocks | |
Consumer Discretionary | | | 4.51 | | |
Consumer Staples | | | 3.51 | | |
Energy | | | 4.11 | | |
Financials | | | 5.37 | | |
Health Care | | | 2.43 | | |
Industrials | | | 6.87 | | |
Information Technology | | | 3.31 | | |
Materials | | | 8.42 | | |
Telecommunication Services | | | 1.53 | | |
Total International Common Stocks | | | 40.06 | | |
International Preferred Stock | |
Consumer Discretionary | | | 0.30 | | |
Total International Preferred Stock | | | 0.30 | | |
Investment Company | | | 0.00 | | |
Warrant | | | 0.22 | | |
Commodity | | | 4.82 | | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
45
INDUSTRY DIVERSIFICATION FOR PORTFOLIO HOLDINGS — (CONTINUED) | | PERCENT OF NET ASSETS | |
U.S. Corporate Bond | |
Consumer Discretionary | | | 0.01 | % | |
Total U.S. Corporate Bond | | | 0.01 | | |
International Notes and Bonds | |
Financials | | | 0.15 | | |
Government Issues | | | 0.05 | | |
Materials | | | 0.07 | | |
Total International Notes and Bonds | | | 0.27 | | |
Commercial Paper | |
International Commercial Paper | | | 8.57 | | |
U.S. Commercial Paper | | | 14.57 | | |
Total Commercial Paper | | | 23.14 | | |
Total Investments | | | 99.90 | % | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
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Fund Overview | Data as of April 30, 2014 (unaudited)
INVESTMENT OBJECTIVE
The First Eagle Overseas Fund seeks long-term growth of capital by investing primarily in equities issued by non-U.S. corporations. Management's research-driven process seeks to minimize risk by focusing on undervalued securities.
Average Annual Returns | |
| | ONE-YEAR | | FIVE-YEARS | | TEN-YEARS | |
First Eagle Overseas Fund (A Shares) | |
without sales load | | | 8.90 | % | | | 13.33 | % | | | 9.94 | % | |
with sales load | | | 3.46 | | | | 12.18 | | | | 9.38 | | |
MSCI EAFE Index | | | 13.35 | | | | 13.58 | | | | 6.93 | | |
Consumer Price Index | | | 1.95 | | | | 2.14 | | | | 2.35 | | |
Countries** | |
Japan | | | 22.17 | % | |
France | | | 11.59 | | |
Canada | | | 7.05 | | |
United States | | | 4.99 | | |
Germany | | | 4.20 | | |
Switzerland | | | 3.35 | | |
Mexico | | | 3.02 | | |
United Kingdom | | | 2.86 | | |
South Korea | | | 2.66 | | |
Singapore | | | 2.22 | | |
Hong Kong | | | 1.56 | | |
South Africa | | | 1.56 | | |
Sweden | | | 1.16 | | |
Thailand | | | 1.08 | | |
Ireland | | | 1.04 | | |
Austria | | | 1.04 | | |
Netherlands | | | 0.98 | | |
Bermuda | | | 0.97 | | |
Italy | | | 0.84 | | |
Australia | | | 0.76 | | |
Greece | | | 0.66 | | |
Norway | | | 0.63 | | |
Belgium | | | 0.61 | | |
Israel | | | 0.45 | | |
Russia | | | 0.41 | | |
Taiwan | | | 0.34 | | |
Turkey | | | 0.22 | | |
Mauritius | | | 0.12 | | |
Malaysia | | | 0.07 | | |
Chile | | | 0.04 | | |
* Asset Allocations and Countries percentages are based on total investments in the portfolio.
** Country allocations reflect country of the issuer (not currency of issue) and exclude short term investments. Bonds of non-U.S. issuers may be U.S. dollar denominated.
The Fund's portfolio composition is subject to change at any time.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
48
Growth of a $10,000 Initial Investment
* Holdings in cash, commercial paper and other short term cash equivalents have been excluded. Percentages are based on total net assets.
Performance data quoted herein represents past performance and should not be considered indicative of future results. Performance data quoted herein does not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the sale of Fund shares. The average annual returns shown above are historical and reflect changes in share price, reinvested dividends and are net of expenses.
The average annual returns for Class A Shares give effect to the deduction of the maximum sales charge of 5.00%.
The MSCI EAFE Index is a total return index, reported in U.S. Dollars, based on share prices and reinvested net dividends of approximately 1,100 companies from 22 countries and is not available for purchase. The Consumer Price Index (CPI) represents the change in price of all goods and services purchased for consumption by urban households.
Top 10 Holdings* | |
Gold Bullion (precious metal) | | | 4.82 | % | |
Grupo Televisa S.A.B. ADR (Mexican media company) | | | 2.13 | | |
Fanuc Corporation (Japanese industrial manufacturing company) | | | 1.85 | | |
Keyence Corporation (Japanese sensors manufacturer) | | | 1.82 | | |
SMC Corporation (Japanese automated control devices manufacturer) | | | 1.81 | | |
HeidelbergCement AG (German cement company) | | | 1.64 | | |
Cenovus Energy, Inc. (Canadian energy company) | | | 1.60 | | |
Secom Company Limited (Japanese security services provider) | | | 1.60 | | |
Canadian Natural Resources Limited (Canadian energy company) | | | 1.59 | | |
Total SA (French energy company) | | | 1.56 | | |
Total | | | 20.42 | % | |
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
49
First Eagle Overseas Fund
SHARES | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
Common Stocks — 72.06% | | | |
International Common Stocks — 71.90% | | | |
Australia 0.76% | | | |
| 11,735,292 | | | Newcrest Mining Limited (a) | | $ | 249,853,632 | | | $ | 114,035,850 | | |
Austria 1.03% | | | |
| 4,585,138 | | | Wienerberger AG | | | 65,005,780 | | | | 85,144,502 | | |
| 1,488,079 | | | OMV AG | | | 60,034,531 | | | | 69,604,125 | | |
| | | 125,040,311 | | | | 154,748,627 | | |
Belgium 0.61% | | | |
| 788,508 | | | Groupe Bruxelles Lambert SA | | | 60,174,722 | | | | 79,715,119 | | |
| 98,473 | | | Sofina SA | | | 8,428,556 | | | | 11,820,055 | | |
| | | 68,603,278 | | | | 91,535,174 | | |
Bermuda 0.97% | | | |
| 2,105,100 | | | Jardine Matheson Holdings Limited | | | 87,210,493 | | | | 131,147,730 | | |
| 1,196,644 | | | Hiscox Limited | | | 12,166,508 | | | | 14,264,114 | | |
| | | 99,377,001 | | | | 145,411,844 | | |
Canada 6.92% | | | |
| 8,048,898 | | | Cenovus Energy, Inc. | | | 215,355,076 | | | | 239,615,693 | | |
| 5,828,526 | | | Canadian Natural Resources Limited | | | 167,105,513 | | | | 237,490,964 | | |
| 4,331,099 | | | Potash Corporation of Saskatchewan, Inc. | | | 166,886,332
| | | | 156,612,540
| | |
| 5,364,723 | | | Goldcorp, Inc. | | | 162,169,134 | | | | 132,615,953 | | |
| 3,533,546 | | | Agnico-Eagle Mines Limited | | | 123,390,960 | | | | 104,357,360 | | |
| 8,606,885 | | | Penn West Petroleum Limited | | | 134,619,835 | | | | 77,978,378 | | |
| 14,517,107 | | | Kinross Gold Corporation (a) | | | 73,266,573 | | | | 58,939,454 | | |
| 1,100,050 | | | EnCana Corporation | | | 14,298,775 | | | | 25,532,161 | | |
| 1,266,835 | | | Catalyst Paper Corporation (a)(b)(c) | | | 27,586,952 | | | | 2,831,755 | | |
| | | 1,084,679,150 | | | | 1,035,974,258 | | |
Chile 0.04% | | | |
| 260,283 | | | Cia Cervecerias Unidas SA, ADR | | | 5,964,377 | | | | 6,134,870 | | |
France 11.38% | | | |
| 3,263,768 | | | Total SA | | | 159,199,332 | | | | 233,100,735 | | |
| 5,176,813 | | | Bouygues SA | | | 189,847,951 | | | | 232,806,085 | | |
| 4,864,001 | | | Carrefour SA | | | 155,505,184 | | | | 189,148,359 | | |
| 1,660,633 | | | Sanofi | | | 135,351,026 | | | | 179,748,566 | | |
| 2,605,941 | | | Compagnie de Saint-Gobain | | | 109,283,280 | | | | 159,147,727 | | |
| 1,458,796 | | | Sodexo | | | 40,317,776 | | | | 157,253,894 | | |
| 3,807,573 | | | Vivendi SA | | | 106,341,141 | | | | 102,162,270 | | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
50
Consolidated Schedule of Investments | Six-Month Period Ended April 30, 2014 (unaudited)
SHARES | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
International Common Stocks — 71.90% — (continued) | | | |
France 11.38% — (continued) | | | |
| 505,501 | | | Wendel SA | | $ | 10,862,584 | | | $ | 76,126,817 | | |
| 801,693 | | | Neopost SA | | | 41,407,216 | | | | 65,688,200 | | |
| 558,938 | | | Laurent-Perrier (c) | | | 19,851,603 | | | | 55,909,386 | | |
| 235,837 | | | Robertet SA (c) | | | 20,591,064 | | | | 54,313,258 | | |
| 51,500 | | | Robertet SA CI (b)(d)(e) | | | 2,151,628 | | | | 8,302,314 | | |
| 3,138,123 | | | Société Télévision Francaise 1 | | | 43,933,193 | | | | 53,332,492 | | |
| 648,834 | | | Legrand SA | | | 22,223,920 | | | | 41,857,412 | | |
| 442,830 | | | Société Foncière Financière et de Participations (a) | | | 29,139,582
| | | | 30,284,871
| | |
| 896,416 | | | Legris Industries SA (a)(b)(c)(d)(f) | | | 23,119,325 | | | | 20,855,878 | | |
| 364,373 | | | Gaumont SA (c) | | | 21,698,753 | | | | 20,073,907 | | |
| 146,562 | | | BioMerieux | | | 11,367,766 | | | | 16,004,316 | | |
| 11,593,581 | | | FINEL (a)(b)(c)(d)(f)(g) | | | 9,166,547 | | | | 5,790,365 | | |
| 100,000 | | | Sabeton SA (a) | | | 1,463,142 | | | | 1,816,734 | | |
| | | 1,152,822,013 | | | | 1,703,723,586 | | |
Germany 3.59% | | | |
| 2,840,411 | | | HeidelbergCement AG | | | 152,136,558 | | | | 246,368,954 | | |
| 5,307,391 | | | Deutsche Wohnen AG | | | 53,250,796 | | | | 113,724,705 | | |
| 902,303 | | | Daimler AG | | | 39,176,348 | | | | 83,533,245 | | |
| 2,985,955 | | | Hamburger Hafen und Logistik AG | | | 87,574,307 | | | | 72,287,718 | | |
| 296,503 | | | Fraport AG | | | 8,930,449 | | | | 21,879,879 | | |
| | | 341,068,458 | | | | 537,794,501 | | |
Greece 0.66% | | | |
| 6,106,069 | | | Jumbo SA (a) | | | 27,598,067 | | | | 98,690,070 | | |
Hong Kong 1.56% | | | |
| 7,806,340 | | | Guoco Group Limited | | | 57,283,838 | | | | 93,590,092 | | |
| 25,563,293 | | | Hopewell Holdings Limited | | | 68,829,128 | | | | 87,871,295 | | |
| 14,467,116 | | | Great Eagle Holdings Limited | | | 48,191,865 | | | | 51,595,297 | | |
| 4,041,204 | | | City e-Solutions Limited (a)(b) | | | 120,419 | | | | 698,471 | | |
| | | 174,425,250 | | | | 233,755,155 | | |
Ireland 1.04% | | | |
| 5,148,559 | | | CRH PLC | | | 90,816,793 | | | | 149,168,839 | | |
| 1,547,320 | | | Beazley PLC | | | 5,085,535 | | | | 6,405,835 | | |
| | | 95,902,328 | | | | 155,574,674 | | |
Israel 0.44% | | | |
| 7,510,515 | | | Israel Chemicals Limited | | | 75,169,596 | | | | 66,543,098 | | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
51
SHARES | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
International Common Stocks — 71.90% — (continued) | | | |
Italy 0.84% | | | |
| 7,315,306 | | | Italcementi S.p.A. RSP | | $ | 87,341,485 | | | $ | 56,833,755 | | |
| 1,197,736 | | | Italmobiliare S.p.A. RSP (a) | | | 50,324,930 | | | | 37,055,424 | | |
| 168,142 | | | Italmobiliare S.p.A. (a) | | | 19,250,153 | | | | 7,651,312 | | |
| 1,385,400 | | | Recordati S.p.A. | | | 9,200,042 | | | | 24,217,625 | | |
| | | 166,116,610 | | | | 125,758,116 | | |
Japan 22.13% | | | |
| 1,537,040 | | | Fanuc Corporation | | | 153,201,753 | | | | 276,632,621 | | |
| 707,200 | | | Keyence Corporation | | | 129,115,589 | | | | 272,441,649 | | |
| 1,138,990 | | | SMC Corporation | | | 145,498,233 | | | | 270,445,369 | | |
| 4,170,700 | | | Secom Company Limited | | | 178,984,614 | | | | 239,998,319 | | |
| 4,256,300 | | | KDDI Corporation | | | 138,369,614 | | | | 226,564,138 | | |
| 2,122,570 | | | Shimano, Inc. | | | 28,295,816 | | | | 211,769,101 | | |
| 7,118,930 | | | Hoya Corporation | | | 151,068,607 | | | | 209,873,869 | | |
| 7,316,700 | | | NKSJ Holdings, Inc. | | | 201,780,857 | | | | 182,425,474 | | |
| 7,730,800 | | | MS&AD Insurance Group Holdings | | | 179,151,117 | | | | 173,165,080 | | |
| 14,664,200 | | | Astellas Pharma, Inc. | | | 118,711,986 | | | | 163,086,960 | | |
| 1,014,000 | | | Hirose Electric Company Limited | | | 111,313,201 | | | | 142,923,069 | | |
| 5,075,850 | | | Mitsubishi Estate Company Limited | | | 85,221,118 | | | | 114,887,435 | | |
| 2,146,230 | | | Nissin Foods Holdings Company Limited | | | 76,085,758
| | | | 102,656,279
| | |
| 6,444,430 | | | Kansai Paint Company Limited | | | 50,275,932 | | | | 90,203,740 | | |
| 2,485,480 | | | Daiichikosho Company Limited | | | 27,081,143 | | | | 71,670,123 | | |
| 821,900 | | | Ono Pharmaceutical Company Limited | | | 27,402,549 | | | | 65,038,108 | | |
| 2,175,460 | | | Nomura Research Institute Limited | | | 41,173,606 | | | | 62,879,486 | | |
| 2,151,670 | | | MISUMI Group, Inc. | | | 35,236,690 | | | | 52,321,139 | | |
| 2,023,800 | | | Chofu Seisakusho Company Limited (c) | | | 33,120,144 | | | | 50,676,657 | | |
| 3,206,911 | | | T. Hasegawa Company Limited (c) | | | 43,073,853 | | | | 47,585,308 | | |
| 6,211,900 | | | Japan Wool Textile Company Limited (c) | | | 46,638,846
| | | | 46,056,832
| | |
| 508,106 | | | SK Kaken Company Limited | | | 9,470,131 | | | | 34,292,868 | | |
| 1,299,640 | | | As One Corporation (c) | | | 26,525,156 | | | | 34,094,336 | | |
| 1,742,124 | | | Nagaileben Company Limited | | | 16,719,913 | | | | 33,535,482 | | |
| 488,980 | | | Shin-Etsu Chemical Company Limited | | | 22,769,653 | | | | 28,687,847 | | |
| 1,391,000 | | | Nitto Kohki Company Limited (c) | | | 21,300,851 | | | | 25,306,989 | | |
| 2,068,330 | | | Maezawa Kasei Industries Company Limited (c) | | | 31,939,631
| | | | 21,546,158
| | |
| 1,620,300 | | | Seikagaku Corporation | | | 11,112,022 | | | | 19,367,209 | | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
52
Consolidated Schedule of Investments | Six-Month Period Ended April 30, 2014 (unaudited)
SHARES | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
International Common Stocks — 71.90% — (continued) | | | |
Japan 22.13% — (continued) | | | |
| 493,250 | | | Mandom Corporation | | $ | 6,249,764 | | | $ | 17,296,437 | | |
| 303,100 | | | Nitori Holdings Company Limited | | | 12,841,312 | | | | 13,889,798 | | |
| 199,150 | | | Kobayashi Pharmaceutical Company Limited | | | 9,171,366
| | | | 12,077,371
| | |
| | | 2,168,900,825 | | | | 3,313,395,251 | | |
Malaysia 0.07% | | | |
| 8,147,400 | | | Genting Malaysia Berhad | | | 6,674,188 | | | | 10,528,871 | | |
Mexico 3.01% | | | |
| 9,718,339 | | | Grupo Televisa S.A.B., ADR | | | 201,151,870 | | | | 318,858,703 | | |
| 5,543,609 | | | Fresnillo PLC | | | 96,608,773 | | | | 79,698,909 | | |
| 2,246,692 | | | Industrias Peñoles S.A.B. de C.V. | | | 1,833,690 | | | | 52,307,039 | | |
| | | 299,594,333 | | | | 450,864,651 | | |
Netherlands 0.98% | | | |
| 560,446 | | | HAL Trust | | | 20,803,016 | | | | 77,667,909 | | |
| 7,613,470 | | | TNT Express NV | | | 75,587,633 | | | | 68,550,900 | | |
| | | 96,390,649 | | | | 146,218,809 | | |
Norway 0.63% | | | |
| 11,393,841 | | | Orkla ASA | | | 83,103,593 | | | | 94,094,116 | | |
Russia 0.41% | | | |
| 8,536,896 | | | Gazprom OAO, ADR | | | 57,570,321 | | | | 61,568,094 | | |
Singapore 2.22% | | | |
| 25,512,113 | | | Haw Par Corporation Limited (c) | | | 76,875,317 | | | | 171,545,914 | | |
| 70,167,015 | | | ComfortDelGro Corporation Limited | | | 68,385,814 | | | | 118,652,047 | | |
| 16,373,450 | | | Singapore Airport Terminal Services Limited | | | 18,528,182
| | | | 41,400,524
| | |
| | | 163,789,313 | | | | 331,598,485 | | |
South Africa 1.01% | | | |
| 5,312,877 | | | AngloGold Ashanti Limited, ADR (a) | | | 85,033,348 | | | | 96,163,073 | | |
| 12,311,178 | | | Gold Fields Limited, ADR | | | 110,560,691 | | | | 52,076,283 | | |
| 689,841 | | | Harmony Gold Mining Company Limited, ADR (a) | | | 5,960,815
| | | | 2,269,577
| | |
| | | 201,554,854 | | | | 150,508,933 | | |
South Korea 2.60% | | | |
| 2,079,636 | | | KT&G Corporation | | | 121,672,848 | | | | 166,644,596 | | |
| 1,109,216 | | | Kia Motors Corporation | | | 63,194,470 | | | | 61,509,801 | | |
| 35,325 | | | Lotte Confectionery Company Limited | | | 12,445,892 | | | | 60,510,258 | | |
| 186,884 | | | Nong Shim Company Limited | | | 43,886,371 | | | | 55,614,855 | | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
53
SHARES | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
International Common Stocks — 71.90% — (continued) | | | |
South Korea 2.60% — (continued) | | | |
| 872,463 | | | Fursys, Inc. (c) | | $ | 10,110,165 | | | $ | 24,232,738 | | |
| 22,950 | | | Namyang Dairy Products Company Limited | | | 4,912,653
| | | | 20,344,721
| | |
| | | 256,222,399 | | | | 388,856,969 | | |
Sweden 1.16% | | | |
| 3,013,030 | | | Investor AB, Class 'A' | | | 59,333,861 | | | | 114,456,401 | | |
| 1,515,198 | | | Investor AB, Class 'B' | | | 29,407,014 | | | | 58,606,671 | | |
| | | 88,740,875 | | | | 173,063,072 | | |
Switzerland 3.34% | | | |
| 2,413,791 | | | Pargesa Holding SA | | | 129,478,662 | | | | 218,862,086 | | |
| 2,810,500 | | | Nestlé SA | | | 92,700,397 | | | | 216,990,655 | | |
| 134,216 | | | Rieter Holding AG (a) | | | 16,465,078 | | | | 30,271,419 | | |
| 137,452 | | | Kuehne & Nagel International AG | | | 1,733,811 | | | | 18,772,560 | | |
| 71,367 | | | Autoneum Holding AG (a) | | | 3,277,939 | | | | 15,090,784 | | |
| | | 243,655,887 | | | | 499,987,504 | | |
Taiwan 0.34% | | | |
| 20,184,980 | | | Taiwan Secom Company Limited | | | 32,105,415 | | | | 51,201,055 | | |
Thailand 1.08% | | | |
| 14,930,059 | | | Bangkok Bank PCL, NVDR | | | 51,798,333 | | | | 86,968,978 | | |
| 157,278,685 | | | Thai Beverage PCL | | | 26,367,225 | | | | 74,016,450 | | |
| | | 78,165,558 | | | | 160,985,428 | | |
Turkey 0.22% | | | |
| 3,651,439 | | | Yazicilar Holding AS | | | 25,031,208 | | | | 33,201,974 | | |
United Kingdom 2.86% | | | |
| 3,194,828 | | | Berkeley Group Holdings PLC | | | 38,894,900 | | | | 123,741,686 | | |
| 3,995,640 | | | GlaxoSmithKline PLC | | | 76,140,895 | | | | 110,098,560 | | |
| 1,318,382 | | | British American Tobacco PLC | | | 69,883,367 | | | | 76,060,885 | | |
| 18,505,054 | | | WM Morrison Supermarkets PLC | | | 80,089,165 | | | | 62,769,031 | | |
| 2,055,388 | | | Anglo American PLC | | | 51,610,549 | | | | 54,900,390 | | |
| | | 316,618,876 | | | | 427,570,552 | | |
Total International Common Stocks | | | 7,784,738,365 | | | | 10,763,323,587 | | |
U.S. Common Stock — 0.16% | | | |
Materials 0.16% | | | |
| 958,483 | | | Newmont Mining Corporation | | | 26,165,171 | | | | 23,799,133 | | |
Total Common Stocks | | | 7,810,903,536 | | | | 10,787,122,720 | | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
54
Consolidated Schedule of Investments | Six-Month Period Ended April 30, 2014 (unaudited)
SHARES | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
International Preferred Stocks — 0.58% | | | |
Germany 0.52% | | | |
| 866,351 | | | Hornbach Holding AG | | $ | 23,214,980 | | | $ | 78,113,526 | | |
South Korea 0.06% | | | |
| 27,183 | | | Namyang Dairy Products Company Limited | | | 387,444
| | | | 9,049,600
| | |
Total International Preferred Stocks | | | 23,602,424 | | | | 87,163,126 | | |
Investment Company — 0.00% | | | |
| 50,936 | | | State Street Institutional U.S. Government Money Market Fund, Institutional Class | | | 50,936 | | | | 50,936 | | |
Right — 0.00% | | | |
| 55,324 | | | Pfleiderer Atlantik Raco RI Rights (a)(b)(d) | | | 16,617 | | | | 0 | | |
OUNCES | | | | | | | |
Commodity — 4.82% | | | |
| 559,275 | | | Gold bullion (a) | | | 408,990,988 | | | | 721,559,668 | | |
PRINCIPAL | | | | | | | |
Term Loans — 0.07% | | | |
Germany 0.07% | | | |
| 92 EUR | | | Atlantik Commitment Fee Facility due 05/30/17 (a)(b)(d) | | | 0
| | | | 0
| | |
| 568,033 EUR | | | Atlantik Duration Fee Facility due 05/30/17 (a)(b)(d) | | | 0
| | | | 0
| | |
| 28,263 EUR | | | Atlantik FX Repayment Facility 0.19% due 05/30/17 (b)(d) | | | 0
| | | | 0
| | |
| 1,880,723 EUR | | | Atlantik Senior Debt 79.5M 6.00% due 05/30/17 (b)(h) | | | 2,553,647
| | | | 1,630,762
| | |
| 371,719 EUR | | | Atlantik Senior Debt Term Facility 1A 6.00% due 05/30/17 (b)(h) | | | 504,720
| | | | 322,315
| | |
| 364,387 EUR | | | Atlantik Senior Debt Term Facility 2A 6.00% due 05/30/17 (b)(h) | | | 494,765
| | | | 315,958
| | |
| 346,348 EUR | | | Atlantik Senior Debt Term Facility 3A 6.00% due 05/30/17 (b)(h) | | | 470,272
| | | | 300,316
| | |
| 219,842 EUR | | | Atlantik Senior Debt Term Facility 4A 6.00% due 05/30/17 (b)(h) | | | 298,502
| | | | 190,623
| | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
55
PRINCIPAL | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
Term Loans — 0.07% — (continued) | | | |
Germany 0.07% — (continued) | | | |
| 1,952,267 EUR | | | Atlantik Standstill Accrued Interest Facility due 05/30/17 (a)(b)(d) | | $ | 0
| | | $ | 0
| | |
| 4,000,000 EUR | | | Atlantik Subordinated Debt 79.5M 15.00% due 05/30/17 (b)(h) | | | 5,431,204
| | | | 693,675
| | |
| 790,586 EUR | | | Atlantik Subordinated Debt Term Facility 1A 15.00% due 05/30/17 (b)(h) | | | 1,073,458
| | | | 137,102
| | |
| 774,993 EUR | | | Atlantik Subordinated Debt Term Facility 2A 15.00% due 05/30/17 (b)(h) | | | 1,052,286
| | | | 134,398
| | |
| 744,000 EUR | | | Atlantik Subordinated Debt Term Facility 3A 15.00% due 05/30/17 (b)(h) | | | 1,003,825
| | | | 129,023
| | |
| 472,000 EUR | | | Atlantik Subordinated Debt Term Facility 4A 15.00% due 05/30/17 (b)(h) | | | 637,170
| | | | 81,854
| | |
| 4,049,221 EUR | | | Pfleiderer AG Debt 79.5M 4.19% due 11/30/16 (b)(h)(i) | | | 5,498,036
| | | | 4,213,263
| | |
| 800,315 EUR | | | Pfleiderer AG Term Facility 1A 4.19% due 11/30/16 (b)(h)(i) | | | 1,086,668
| | | | 832,737
| | |
| 784,529 EUR | | | Pfleiderer AG Term Facility 2A 4.19% due 11/30/16 (b)(h)(i) | | | 1,065,234
| | | | 816,312
| | |
| 753,155 EUR | | | Pfleiderer AG Term Facility 3A 4.19% due 11/30/16 (b)(h)(i) | | | 1,016,066
| | | | 783,667
| | |
| 477,808 EUR | | | Pfleiderer AG Term Facility 4A 4.19% due 11/30/16 (b)(h)(i) | | | 644,945
| | | | 497,165
| | |
Total Term Loans | | | 22,830,798 | | | | 11,079,170 | | |
International Bonds — 0.98% | | | |
International Convertible Bond — 0.12% | | | |
Mauritius 0.12% | | | |
| 18,400,000 USD | | | Golden Agri-Resources Limited 2.50% due 10/04/17 (b)(j)(k) | | | 17,104,348
| | | | 18,308,000
| | |
International Corporate Bonds — 0.86% | | | |
Canada 0.12% | | | |
| 18,880,954 USD | | | Catalyst Paper Corporation 11.00% due 10/30/17 (h) | | | 18,880,954
| | | | 17,063,662
| | |
France 0.19% | | | |
| 10,000,000 EUR | | | Emin Leydier SA FRN 8.259% due 07/31/16 (b)(d)(f)(i) | | | 14,240,891
| | | | 13,873,493
| | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
56
Consolidated Schedule of Investments | Six-Month Period Ended April 30, 2014 (unaudited)
PRINCIPAL | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
International Corporate Bonds — 0.86% — (continued) | | | |
France 0.19% — (continued) | | | |
| 11,504,021 EUR | | | FINEL 9.50% due 06/30/17 (a)(b)(d)(f) | | $ | 14,365,843
| | | $ | 11,970,072
| | |
| 1,950,000 EUR | | | Wendel SA 4.875% due 09/21/15 | | | 2,175,278
| | | | 2,840,804
| | |
| | | 30,782,012 | | | | 28,684,369 | | |
South Africa 0.55% | | | |
| 73,500,000 USD | | | AngloGold Ashanti Holdings PLC 8.50% due 07/30/20 | | | 73,780,696
| | | | 82,525,800
| | |
Total International Corporate Bonds | | | 123,443,662 | | | | 128,273,831 | | |
Total International Bonds | | | 140,548,010 | | | | 146,581,831 | | |
Commercial Paper — 21.32% | | | |
International Commercial Paper — 8.00% | | | |
Australia 0.13% | | | |
| 12,707,000 USD | | | Telstra Corporation Limited 0.14% due 07/09/14 | | | 12,703,590
| | | | 12,702,626
| | |
| 6,775,000 USD | | | Telstra Corporation Limited 0.15% due 05/15/14 | | | 6,774,605
| | | | 6,774,605
| | |
Belgium 0.11% | | | |
| 16,441,000 USD | | | Anheuser Busch Inbev Worldwide 0.11% due 07/14/14 | | | 16,437,283
| | | | 16,435,862
| | |
Canada 0.55% | | | |
| 7,569,000 USD | | | Suncor Energy, Inc. 0.19% due 06/04/14 | | | 7,567,642
| | | | 7,567,642
| | |
| 12,720,000 USD | | | Suncor Energy, Inc. 0.19% due 06/16/14 | | | 12,716,912
| | | | 12,716,912
| | |
| 14,654,000 USD | | | Suncor Energy, Inc. 0.20% due 05/16/14 | | | 14,652,779
| | | | 14,652,779
| | |
| 19,755,000 USD | | | Suncor Energy, Inc. 0.20% due 05/09/14 | | | 19,754,122
| | | | 19,754,122
| | |
| 11,437,000 USD | | | Suncor Energy, Inc. 0.23% due 05/16/14 | | | 11,435,904
| | | | 11,435,904
| | |
| 16,850,000 USD | | | Total Capital Limited 0.10% due 06/19/14 | | | 16,847,706
| | | | 16,847,706
| | |
France 1.19% | | | |
| 9,686,000 USD | | | Essilor International 0.12% due 05/23/14 | | | 9,685,290
| | | | 9,685,290
| | |
| 8,868,000 USD | | | Essilor International 0.13% due 05/20/14 | | | 8,867,392
| | | | 8,867,392
| | |
| 24,184,000 USD | | | Essilor International 0.16% due 06/17/14 | | | 24,178,948
| | | | 24,178,948
| | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
57
PRINCIPAL | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
International Commercial Paper — 8.00% — (continued) | | | |
France 1.19% — (continued) | | | |
| 10,038,000 USD | | | GDF Suez SA 0.14% due 06/11/14 | | $ | 10,036,400
| | | $ | 10,036,400
| | |
| 9,766,000 USD | | | GDF Suez SA 0.14% due 07/03/14 | | | 9,763,607
| | | | 9,762,996
| | |
| 12,443,000 USD | | | GDF Suez SA 0.15% due 05/05/14 | | | 12,442,793
| | | | 12,442,793
| | |
| 11,942,000 USD | | | GDF Suez SA 0.15% due 05/12/14 | | | 11,941,453
| | | | 11,941,453
| | |
| 14,994,000 USD | | | GDF Suez SA 0.15% due 05/23/14 | | | 14,992,626
| | | | 14,992,626
| | |
| 12,073,000 USD | | | GDF Suez SA 0.15% due 07/03/14 | | | 12,069,830
| | | | 12,069,286
| | |
| 12,842,000 USD | | | GDF Suez SA 0.15% due 07/08/14 | | | 12,838,361
| | | | 12,837,668
| | |
| 4,473,000 USD | | | GDF Suez SA 0.16% due 07/22/14 | | | 4,471,370
| | | | 4,471,092
| | |
| 2,764,000 USD | | | GDF Suez SA 0.17% due 05/12/14 | | | 2,763,856
| | | | 2,763,856
| | |
| 9,520,000 USD | | | L'Oreal USA, Inc. 0.06% due 05/20/14 | | | 9,519,699
| | | | 9,519,699
| | |
| 14,138,000 USD | | | Sanofi 0.08% due 06/13/14 | | | 14,136,649
| | | | 14,136,649
| | |
| 8,907,000 USD | | | Électricité de France SA 0.09% due 06/02/14 | | | 8,906,287
| | | | 8,906,287
| | |
| 3,676,000 USD | | | Électricité de France SA 0.12% due 05/20/14 | | | 3,675,767
| | | | 3,675,767
| | |
| 7,034,000 USD | | | Électricité de France SA 0.14% due 06/26/14 | | | 7,032,468
| | | | 7,032,468
| | |
Germany 0.77% | | | |
| 12,590,000 USD | | | BASF AG 0.08% due 06/02/14 | | | 12,589,105
| | | | 12,589,105
| | |
| 18,764,000 USD | | | BASF AG 0.08% due 06/03/14 | | | 18,762,624
| | | | 18,762,624
| | |
| 13,361,000 USD | | | BASF AG 0.08% due 06/17/14 | | | 13,359,605
| | | | 13,359,605
| | |
| 6,808,000 USD | | | Henkel Corporation 0.10% due 06/25/14 | | | 6,806,960
| | | | 6,806,960
| | |
| 3,847,000 USD | | | Henkel Corporation 0.11% due 06/20/14 | | | 3,846,412
| | | | 3,846,412
| | |
| 4,543,000 USD | | | Henkel Corporation 0.13% due 06/27/14 | | | 4,542,065
| | | | 4,542,065
| | |
| 10,212,000 USD | | | Siemens Company 0.07% due 05/23/14 | | | 10,211,563
| | | | 10,211,563
| | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
58
Consolidated Schedule of Investments | Six-Month Period Ended April 30, 2014 (unaudited)
PRINCIPAL | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
International Commercial Paper — 8.00% — (continued) | | | |
Germany 0.77% — (continued) | | | |
| 28,986,000 USD | | | Siemens Company 0.07% due 06/18/14 | | $ | 28,983,294
| | | $ | 28,983,294
| | |
| 16,212,000 USD | | | Siemens Company 0.09% due 06/05/14 | | | 16,210,581
| | | | 16,210,581
| | |
Italy 0.48% | | | |
| 8,020,000 USD | | | Eni S.p.A. 0.26% due 05/05/14 | | | 8,019,768
| | | | 8,019,768
| | |
| 19,060,000 USD | | | Eni S.p.A. 0.27% due 06/11/14 | | | 19,054,139
| | | | 19,054,139
| | |
| 16,277,000 USD | | | Eni S.p.A. 0.28% due 07/03/14 | | | 16,269,025
| | | | 16,269,968
| | |
| 12,073,000 USD | | | Eni S.p.A. 0.29% due 07/02/14 | | | 12,066,970
| | | | 12,067,887
| | |
| 16,268,000 USD | | | Eni S.p.A. 0.29% due 07/09/14 | | | 16,258,958
| | | | 16,260,187
| | |
Japan 0.71% | | | |
| 14,588,000 USD | | | Honda Corporation 0.08% due 05/08/14 | | | 14,587,773
| | | | 14,587,773
| | |
| 10,467,000 USD | | | Honda Corporation 0.08% due 05/12/14 | | | 10,466,744
| | | | 10,466,744
| | |
| 4,908,000 USD | | | Honda Corporation 0.08% due 06/06/14 | | | 4,907,607
| | | | 4,907,607
| | |
| 9,772,000 USD | | | Honda Corporation 0.08% due 06/12/14 | | | 9,771,088
| | | | 9,771,088
| | |
| 5,532,000 USD | | | Honda Corporation 0.09% due 05/08/14 | | | 5,531,903
| | | | 5,531,903
| | |
| 4,187,000 USD | | | Honda Corporation 0.09% due 05/21/14 | | | 4,186,791
| | | | 4,186,791
| | |
| 7,982,000 USD | | | Honda Corporation 0.09% due 05/23/14 | | | 7,981,561
| | | | 7,981,561
| | |
| 8,874,000 USD | | | Honda Corporation 0.10% due 05/09/14 | | | 8,873,803
| | | | 8,873,803
| | |
| 7,053,000 USD | | | Honda Corporation 0.10% due 07/10/14 | | | 7,051,629
| | | | 7,051,275
| | |
| 12,057,000 USD | | | Honda Corporation 0.11% due 07/07/14 | | | 12,054,532
| | | | 12,054,199
| | |
| 8,049,000 USD | | | Honda Corporation 0.11% due 07/08/14 | | | 8,047,327
| | | | 8,047,103
| | |
| 12,842,000 USD | | | Honda Corporation 0.11% due 07/09/14 | | | 12,839,292
| | | | 12,838,928
| | |
Switzerland 1.99% | | | |
| 9,674,000 USD | | | Nestlé SA 0.04% due 06/04/14 | | | 9,673,635
| | | | 9,673,635
| | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
59
PRINCIPAL | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
International Commercial Paper — 8.00% — (continued) | | | |
Switzerland 1.99% — (continued) | | | |
| 5,489,000 USD | | | Nestlé SA 0.05% due 05/09/14 | | $ | 5,488,939
| | | $ | 5,488,939
| | |
| 15,689,000 USD | | | Nestlé SA 0.07% due 05/02/14 | | | 15,688,970
| | | | 15,688,970
| | |
| 4,575,000 USD | | | Nestlé SA 0.07% due 05/20/14 | | | 4,574,831
| | | | 4,574,831
| | |
| 16,463,000 USD | | | Nestlé SA 0.08% due 06/03/14 | | | 16,461,793
| | | | 16,461,793
| | |
| 16,850,000 USD | | | Nestlé SA 0.08% due 06/09/14 | | | 16,848,540
| | | | 16,848,540
| | |
| 10,220,000 USD | | | Nestlé SA 0.09% due 06/03/14 | | | 10,219,157
| | | | 10,219,157
| | |
| 19,060,000 USD | | | Nestlé SA 0.09% due 07/07/14 | | | 19,056,807
| | | | 19,056,771
| | |
| 4,824,000 USD | | | Nestlé SA 0.09% due 07/21/14 | | | 4,823,023
| | | | 4,823,176
| | |
| 11,597,000 USD | | | Nestlé SA 0.11% due 06/12/14 | | | 11,595,512
| | | | 11,595,512
| | |
| 17,050,000 USD | | | Nestlé SA 0.12% due 05/12/14 | | | 17,049,401
| | | | 17,049,401
| | |
| 11,634,000 USD | | | Nestlé SA 0.12% due 07/07/14 | | | 11,631,402
| | | | 11,632,029
| | |
| 12,743,000 USD | | | Roche Holdings, Inc. 0.07% due 05/02/14 | | | 12,742,975
| | | | 12,742,975
| | |
| 6,913,000 USD | | | Roche Holdings, Inc. 0.07% due 06/02/14 | | | 6,912,570
| | | | 6,912,570
| | |
| 29,049,000 USD | | | Roche Holdings, Inc. 0.07% due 06/05/14 | | | 29,047,023
| | | | 29,047,023
| | |
| 10,969,000 USD | | | Roche Holdings, Inc. 0.07% due 06/12/14 | | | 10,968,104
| | | | 10,968,104
| | |
| 19,263,000 USD | | | Roche Holdings, Inc. 0.07% due 06/20/14 | | | 19,261,127
| | | | 19,261,127
| | |
| 8,049,000 USD | | | Roche Holdings, Inc. 0.07% due 06/23/14 | | | 8,048,171
| | | | 8,048,171
| | |
| 6,507,000 USD | | | Roche Holdings, Inc. 0.07% due 07/03/14 | | | 6,506,203
| | | | 6,505,346
| | |
| 6,127,000 USD | | | Roche Holdings, Inc. 0.08% due 05/20/14 | | | 6,126,741
| | | | 6,126,741
| | |
| 10,961,000 USD | | | Roche Holdings, Inc. 0.08% due 07/02/14 | | | 10,959,490
| | | | 10,958,276
| | |
| 9,817,000 USD | | | Roche Holdings, Inc. 0.08% due 07/08/14 | | | 9,815,516
| | | | 9,814,253
| | |
| 22,407,000 USD | | | Roche Holdings, Inc. 0.08% due 07/10/14 | | | 22,403,514
| | | | 22,400,504
| | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
60
Consolidated Schedule of Investments | Six-Month Period Ended April 30, 2014 (unaudited)
PRINCIPAL | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
International Commercial Paper — 8.00% — (continued) | | | |
Switzerland 1.99% — (continued) | | | |
| 12,590,000 USD | | | Roche Holdings, Inc. 0.08% due 07/16/14 | | $ | 12,587,873
| | | $ | 12,585,933
| | |
United Kingdom 2.07% | | | |
| 13,923,000 USD | | | AstraZeneca PLC 0.07% due 07/08/14 | | | 13,921,159
| | | | 13,919,104
| | |
| 9,149,000 USD | | | AstraZeneca PLC 0.08% due 05/19/14 | | | 9,148,634
| | | | 9,148,634
| | |
| 17,912,000 USD | | | AstraZeneca PLC 0.08% due 06/09/14 | | | 17,910,448
| | | | 17,910,448
| | |
| 11,415,000 USD | | | AstraZeneca PLC 0.09% due 05/12/14 | | | 11,414,686
| | | | 11,414,686
| | |
| 17,539,000 USD | | | AstraZeneca PLC 0.09% due 05/16/14 | | | 17,538,342
| | | | 17,538,342
| | |
| 10,906,000 USD | | | Astrazeneca PLC 0.09% due 05/27/14 | | | 10,905,291
| | | | 10,905,291
| | |
| 13,823,000 USD | | | AstraZeneca PLC 0.09% due 06/10/14 | | | 13,821,618
| | | | 13,821,618
| | |
| 7,780,000 USD | | | AstraZeneca PLC 0.09% due 06/16/14 | | | 7,779,105
| | | | 7,779,105
| | |
| 16,340,000 USD | | | AstraZeneca PLC 0.09% due 06/24/14 | | | 16,337,794
| | | | 16,337,794
| | |
| 12,351,000 USD | | | AstraZeneca PLC 0.10% due 06/17/14 | | | 12,349,388
| | | | 12,349,388
| | |
| 13,848,000 USD | | | British American Tobacco PLC 0.26% due 06/11/14 | | | 13,843,900
| | | | 13,843,900
| | |
| 5,214,000 USD | | | Centrica PLC 0.29% due 05/02/14 | | | 5,213,958
| | | | 5,213,958
| | |
| 8,563,000 USD | | | Centrica PLC 0.30% due 05/02/14 | | | 8,562,929
| | | | 8,562,929
| | |
| 5,812,000 USD | | | Centrica PLC 0.30% due 05/09/14 | | | 5,811,613
| | | | 5,811,613
| | |
| 10,140,000 USD | | | Centrica PLC 0.32% due 06/06/14 | | | 10,136,755
| | | | 10,136,755
| | |
| 10,038,000 USD | | | Centrica PLC 0.33% due 06/17/14 | | | 10,033,675
| | | | 10,033,675
| | |
| 2,386,000 USD | | | Centrica PLC 0.41% due 07/01/14 | | | 2,384,383
| | | | 2,384,886
| | |
| 2,971,000 USD | | | GlaxoSmithKline PLC 0.07% due 05/08/14 | | | 2,970,960
| | | | 2,970,960
| | |
| 13,361,000 USD | | | GlaxoSmithKline PLC 0.10% due 06/02/14 | | | 13,359,812
| | | | 13,359,812
| | |
| 21,938,000 USD | | | GlaxoSmithKline PLC 0.11% due 06/23/14 | | | 21,934,447
| | | | 21,934,447
| | |
| 13,579,000 USD | | | GlaxoSmithKline PLC 0.12% due 06/30/14 | | | 13,576,284
| | | | 13,575,066
| | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
61
PRINCIPAL | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
International Commercial Paper — 8.00% — (continued) | | | |
United Kingdom 2.07% — (continued) | | | |
| 19,199,000 USD | | | Reckitt Benckiser 0.15% due 07/29/14 | | $ | 19,191,880
| | | $ | 19,190,360
| | |
| 9,455,000 USD | | | Reed Elsevier, Inc. 0.20% due 06/16/14 | | | 9,452,584
| | | | 9,452,584
| | |
| 12,842,000 USD | | | Reed Elsevier, Inc. 0.21% due 07/01/14 | | | 12,837,430
| | | | 12,836,007
| | |
| 10,961,000 USD | | | Reed Elsevier, Inc. 0.22% due 06/18/14 | | | 10,957,785
| | | | 10,957,785
| | |
| 18,298,000 USD | | | Royal Dutch Shell PLC 0.07% due 05/06/14 | | | 18,297,822
| | | | 18,297,822
| | |
Total International Commercial Paper | | | 1,197,678,457 | | | | 1,197,662,507 | | |
U.S. Commercial Paper — 13.32% | | | |
$ | 7,550,000
| | | 3M Company 0.07% due 06/23/14 | | | 7,549,222
| | | | 7,549,222
| | |
| 5,432,000
| | | 3M Company 0.07% due 06/26/14 | | | 5,431,409
| | | | 5,431,409
| | |
| 10,566,000
| | | Abbott Laboratories 0.08% due 05/22/14 | | | 10,565,507
| | | | 10,565,507
| | |
| 9,307,000
| | | Abbott Laboratories 0.08% due 06/19/14 | | | 9,305,987
| | | | 9,305,987
| | |
| 16,046,000
| | | Abbott Laboratories 0.09% due 05/22/14 | | | 16,045,158
| | | | 16,045,158
| | |
| 7,748,000
| | | Abbott Laboratories 0.09% due 06/10/14 | | | 7,747,225
| | | | 7,747,225
| | |
| 15,553,000
| | | Abbott Laboratories 0.10% due 05/19/14 | | | 15,552,222
| | | | 15,552,222
| | |
| 11,233,000
| | | Abbott Laboratories 0.10% due 06/03/14 | | | 11,231,970
| | | | 11,231,970
| | |
| 9,216,000
| | | Abbott Laboratories 0.10% due 06/06/14 | | | 9,215,078
| | | | 9,215,078
| | |
| 8,464,000
| | | Abbott Laboratories 0.10% due 06/16/14 | | | 8,462,919
| | | | 8,462,919
| | |
| 4,809,000
| | | Abbott Laboratories 0.10% due 06/23/14 | | | 4,808,292
| | | | 4,808,292
| | |
| 5,083,000
| | | Abbott Laboratories 0.10% due 07/08/14 | | | 5,082,040
| | | | 5,082,357
| | |
| 8,813,000
| | | Abbott Laboratories 0.10% due 07/11/14 | | | 8,811,262
| | | | 8,811,801
| | |
| 4,937,000
| | | Abbott Laboratories 0.10% due 07/15/14 | | | 4,935,971
| | | | 4,936,260
| | |
| 6,511,000
| | | Abbott Laboratories 0.10% due 07/21/14 | | | 6,509,535
| | | | 6,509,888
| | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
62
Consolidated Schedule of Investments | Six-Month Period Ended April 30, 2014 (unaudited)
PRINCIPAL | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
U.S. Commercial Paper — 13.32% — (continued) | | | |
$ | 9,462,000
| | | Air Products 0.08% due 06/04/14 | | $ | 9,461,285
| | | $ | 9,461,285
| | |
| 7,060,000
| | | Air Products 0.08% due 06/23/14 | | | 7,059,168
| | | | 7,059,168
| | |
| 7,242,000
| | | Air Products 0.09% due 06/04/14 | | | 7,241,384
| | | | 7,241,384
| | |
| 6,295,000
| | | BHP Billiton Finance USA Limited 0.08% due 05/20/14 | | | 6,294,734
| | | | 6,294,734
| | |
| 9,876,000
| | | Caterpillar Financial Services Company 0.09% due 07/01/14 | | | 9,874,494
| | | | 9,873,942
| | |
| 22,467,000
| | | Caterpillar Financial Services Company 0.11% due 06/06/14 | | | 22,464,529
| | | | 22,464,529
| | |
| 15,930,000
| | | Caterpillar Financial Services Company 0.13% due 07/17/14 | | | 15,925,571
| | | | 15,925,651
| | |
| 13,899,000
| | | Celgene Corporation 0.23% due 05/07/14 | | | 13,898,467
| | | | 13,898,467
| | |
| 11,597,000
| | | Celgene Corporation 0.25% due 06/12/14 | | | 11,593,618
| | | | 11,593,618
| | |
| 7,853,000
| | | Celgene Corporation 0.25% due 07/02/14 | | | 7,849,619
| | | | 7,849,262
| | |
| 9,431,000
| | | Chevron Corporation 0.07% due 05/01/14 | | | 9,431,000
| | | | 9,431,000
| | |
| 5,794,000
| | | Chevron Corporation 0.07% due 06/03/14 | | | 5,793,628
| | | | 5,793,628
| | |
| 8,748,000
| | | Chevron Corporation 0.07% due 06/11/14 | | | 8,747,303
| | | | 8,747,303
| | |
| 15,974,000
| | | Chevron Corporation 0.07% due 07/07/14 | | | 15,971,919
| | | | 15,969,625
| | |
| 14,034,000
| | | Chevron Corporation 0.08% due 05/01/14 | | | 14,034,000
| | | | 14,034,000
| | |
| 4,363,000
| | | Chevron Corporation 0.08% due 05/02/14 | | | 4,362,990
| | | | 4,362,990
| | |
| 8,263,000
| | | Chevron Corporation 0.08% due 05/05/14 | | | 8,262,927
| | | | 8,262,927
| | |
| 10,140,000
| | | Chevron Corporation 0.08% due 05/06/14 | | | 10,139,887
| | | | 10,139,887
| | |
| 10,140,000
| | | Chevron Corporation 0.08% due 05/08/14 | | | 10,139,842
| | | | 10,139,842
| | |
| 10,140,000
| | | Chevron Corporation 0.08% due 05/09/14 | | | 10,139,820
| | | | 10,139,820
| | |
| 11,942,000
| | | Chevron Corporation 0.08% due 05/13/14 | | | 11,941,682
| | | | 11,941,682
| | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
63
PRINCIPAL | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
U.S. Commercial Paper — 13.32% — (continued) | | | |
$ | 12,578,000
| | | Chevron Corporation 0.08% due 05/14/14 | | $ | 12,577,637
| | | $ | 12,577,637
| | |
| 12,707,000
| | | Chevron Corporation 0.08% due 06/12/14 | | | 12,705,814
| | | | 12,705,814
| | |
| 9,053,000
| | | Chevron Corporation 0.08% due 06/13/14 | | | 9,052,135
| | | | 9,052,135
| | |
| 8,089,000
| | | Chevron Corporation 0.08% due 07/01/14 | | | 8,087,903
| | | | 8,087,036
| | |
| 12,842,000
| | | Chevron Corporation 0.08% due 07/11/14 | | | 12,839,974
| | | | 12,838,199
| | |
| 9,725,000
| | | Chevron Corporation 0.09% due 05/21/14 | | | 9,724,514
| | | | 9,724,514
| | |
| 11,201,000
| | | Church & Dwight Company, Inc. 0.30% due 05/20/14 | | | 11,199,227
| | | | 11,199,227
| | |
| 14,725,000
| | | Coca-Cola Company 0.07% due 06/12/14 | | | 14,723,797
| | | | 14,723,797
| | |
| 8,382,000
| | | Coca-Cola Company 0.08% due 05/16/14 | | | 8,381,721
| | | | 8,381,721
| | |
| 5,489,000
| | | Coca-Cola Company 0.09% due 05/15/14 | | | 5,488,808
| | | | 5,488,808
| | |
| 13,694,000
| | | Coca-Cola Company 0.09% due 05/16/14 | | | 13,693,486
| | | | 13,693,486
| | |
| 8,987,000
| | | Coca-Cola Company 0.09% due 05/19/14 | | | 8,986,596
| | | | 8,986,596
| | |
| 1,963,000
| | | Coca-Cola Company 0.10% due 07/09/14 | | | 1,962,624
| | | | 1,962,630
| | |
| 6,379,000
| | | Coca-Cola Company 0.10% due 07/18/14 | | | 6,377,618
| | | | 6,377,558
| | |
| 7,053,000
| | | Coca-Cola Company 0.10% due 07/21/14 | | | 7,051,413
| | | | 7,051,313
| | |
| 8,049,000
| | | Coca-Cola Company 0.10% due 07/24/14 | | | 8,047,122
| | | | 8,046,967
| | |
| 5,569,000
| | | Coca-Cola Company 0.10% due 08/01/14 | | | 5,567,577
| | | | 5,567,403
| | |
| 9,797,000
| | | Coca-Cola Company 0.11% due 05/13/14 | | | 9,796,641
| | | | 9,796,641
| | |
| 5,331,000
| | | Coca-Cola Company 0.11% due 06/06/14 | | | 5,330,414
| | | | 5,330,414
| | |
| 12,371,000
| | | Coca-Cola Company 0.12% due 05/13/14 | | | 12,370,505
| | | | 12,370,505
| | |
| 12,785,000
| | | ConocoPhillips 0.10% due 07/08/14 | | | 12,782,585
| | | | 12,782,648
| | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
64
Consolidated Schedule of Investments | Six-Month Period Ended April 30, 2014 (unaudited)
PRINCIPAL | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
U.S. Commercial Paper — 13.32% — (continued) | | | |
$ | 13,648,000
| | | ConocoPhillips 0.11% due 06/18/14 | | $ | 13,645,998
| | | $ | 13,645,998
| | |
| 4,653,000
| | | Corning, Inc. 0.17% due 06/12/14 | | | 4,652,077
| | | | 4,652,077
| | |
| 3,711,000
| | | Corning, Inc. 0.17% due 06/25/14 | | | 3,710,036
| | | | 3,710,036
| | |
| 16,561,000
| | | Corning, Inc. 0.17% due 07/01/14 | | | 16,556,229
| | | | 16,553,271
| | |
| 19,267,000
| | | Corning, Inc. 0.18% due 05/07/14 | | | 19,266,422
| | | | 19,266,422
| | |
| 20,509,000
| | | Corning, Inc. 0.18% due 05/08/14 | | | 20,508,282
| | | | 20,508,282
| | |
| 4,227,000
| | | Devon Energy Corporation 0.19% due 05/01/14 | | | 4,227,000
| | | | 4,227,000
| | |
| 4,132,000
| | | Devon Energy Corporation 0.19% due 05/14/14 | | | 4,131,717
| | | | 4,131,717
| | |
| 4,132,000
| | | Devon Energy Corporation 0.19% due 05/15/14 | | | 4,131,695
| | | | 4,131,695
| | |
| 5,846,000
| | | Devon Energy Corporation 0.19% due 05/20/14 | | | 5,845,414
| | | | 5,845,414
| | |
| 9,149,000
| | | Devon Energy Corporation 0.19% due 05/21/14 | | | 9,148,034
| | | | 9,148,034
| | |
| 11,437,000
| | | Devon Energy Corporation 0.19% due 05/22/14 | | | 11,435,732
| | | | 11,435,732
| | |
| 7,053,000
| | | Devon Energy Corporation 0.19% due 06/20/14 | | | 7,051,139
| | | | 7,051,139
| | |
| 5,137,000
| | | Devon Energy Corporation 0.19% due 06/23/14 | | | 5,135,563
| | | | 5,135,563
| | |
| 4,565,000
| | | Devon Energy Corporation 0.20% due 05/27/14 | | | 4,564,341
| | | | 4,564,341
| | |
| 4,565,000
| | | Devon Energy Corporation 0.20% due 05/28/14 | | | 4,564,315
| | | | 4,564,315
| | |
| 4,338,000
| | | Devon Energy Corporation 0.20% due 07/01/14 | | | 4,336,530
| | | | 4,335,975
| | |
| 10,342,000
| | | Diageo Capital PLC 0.24% due 06/05/14 | | | 10,339,587
| | | | 10,339,587
| | |
| 6,005,000
| | | Diageo Capital PLC 0.25% due 05/22/14 | | | 6,004,124
| | | | 6,004,124
| | |
| 7,242,000
| | | Diageo Capital PLC 0.25% due 06/10/14 | | | 7,239,988
| | | | 7,239,988
| | |
| 5,890,000
| | | Diageo Capital PLC 0.25% due 06/11/14 | | | 5,888,323
| | | | 5,888,323
| | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
65
PRINCIPAL | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
U.S. Commercial Paper — 13.32% — (continued) | | | |
$ | 9,888,000
| | | Diageo Capital PLC 0.25% due 06/19/14 | | $ | 9,884,635
| | | $ | 9,884,635
| | |
| 7,434,000
| | | Diageo Capital PLC 0.26% due 06/20/14 | | | 7,431,316
| | | | 7,431,316
| | |
| 4,830,000
| | | Dominion Resources, Inc. 0.20% due 05/21/14 | | | 4,829,463
| | | | 4,829,463
| | |
| 5,489,000
| | | Dominion Resources, Inc. 0.25% due 05/06/14 | | | 5,488,809
| | | | 5,488,809
| | |
| 11,679,000
| | | Dr Pepper Snapple Group, Inc. 0.20% due 05/13/14 | | | 11,678,221
| | | | 11,678,221
| | |
| 5,839,000
| | | Dr Pepper Snapple Group, Inc. 0.22% due 06/10/14 | | | 5,837,573
| | | | 5,837,573
| | |
| 5,488,000
| | | Emerson Electric Company 0.08% due 05/29/14 | | | 5,487,659
| | | | 5,487,659
| | |
| 5,029,000
| | | Emerson Electric Company 0.08% due 05/30/14 | | | 5,028,676
| | | | 5,028,676
| | |
| 8,663,000
| | | Emerson Electric Company 0.10% due 05/12/14 | | | 8,662,735
| | | | 8,662,735
| | |
| 6,926,000
| | | Emerson Electric Company 0.10% due 06/02/14 | | | 6,925,384
| | | | 6,925,384
| | |
| 4,896,000
| | | Emerson Electric Company 0.10% due 06/04/14 | | | 4,895,538
| | | | 4,895,538
| | |
| 12,092,000
| | | Google, Inc. 0.06% due 05/21/14 | | | 12,091,597
| | | | 12,091,597
| | |
| 10,342,000
| | | Google, Inc. 0.06% due 06/19/14 | | | 10,341,155
| | | | 10,341,155
| | |
| 8,759,000
| | | Google, Inc. 0.08% due 05/14/14 | | | 8,758,747
| | | | 8,758,747
| | |
| 10,969,000
| | | Google, Inc. 0.08% due 07/09/14 | | | 10,967,318
| | | | 10,967,571
| | |
| 13,596,000
| | | Google, Inc. 0.09% due 05/07/14 | | | 13,595,796
| | | | 13,595,796
| | |
| 4,433,000
| | | Honeywell International, Inc. 0.08% due 05/13/14 | | | 4,432,882
| | | | 4,432,882
| | |
| 9,149,000
| | | Honeywell International, Inc. 0.10% due 05/19/14 | | | 9,148,543
| | | | 9,148,543
| | |
| 11,201,000
| | | Honeywell International, Inc. 0.10% due 05/21/14 | | | 11,200,378
| | | | 11,200,378
| | |
| 9,797,000
| | | Honeywell International, Inc. 0.11% due 05/29/14 | | | 9,796,162
| | | | 9,796,162
| | |
| 11,437,000
| | | Honeywell International, Inc. 0.12% due 06/09/14 | | | 11,435,513
| | | | 11,435,513
| | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
66
Consolidated Schedule of Investments | Six-Month Period Ended April 30, 2014 (unaudited)
PRINCIPAL | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
U.S. Commercial Paper — 13.32% — (continued) | | | |
$ | 8,579,000
| | | Honeywell International, Inc. 0.12% due 06/19/14 | | $ | 8,577,599
| | | $ | 8,577,599
| | |
| 7,661,000
| | | Intercontinental Exchange Group, Inc. 0.25% due 05/08/14 | | | 7,660,628
| | | | 7,660,628
| | |
| 9,725,000 | | | International Business Machines Corporation 0.07% due 05/07/14 | | | 9,724,887
| | | | 9,724,887
| | |
| 19,450,000 | | | International Business Machines Corporation 0.07% due 05/13/14 | | | 19,449,546
| | | | 19,449,546
| | |
| 18,432,000
| | | Johnson & Johnson 0.05% due 05/06/14 | | | 18,431,872
| | | | 18,431,872
| | |
| 9,216,000
| | | Johnson & Johnson 0.05% due 05/08/14 | | | 9,215,910
| | | | 9,215,910
| | |
| 9,462,000
| | | Johnson Controls 0.27% due 06/23/14 | | | 9,458,239
| | | | 9,458,239
| | |
| 4,689,000
| | | McDonald's Corporation 0.08% due 06/23/14 | | | 4,688,448
| | | | 4,688,448
| | |
| 19,613,000
| | | McDonald's Corporation 0.08% due 06/27/14 | | | 19,610,516
| | | | 19,610,516
| | |
| 27,598,000
| | | Merck & Company, Inc. 0.06% due 05/01/14 | | | 27,598,000
| | | | 27,598,000
| | |
| 17,912,000
| | | Merck & Company, Inc. 0.06% due 05/09/14 | | | 17,911,761
| | | | 17,911,761
| | |
| 17,606,000
| | | Merck & Company, Inc. 0.07% due 05/05/14 | | | 17,605,863
| | | | 17,605,863
| | |
| 12,590,000
| | | Merck & Company, Inc. 0.07% due 05/29/14 | | | 12,589,315
| | | | 12,589,315
| | |
| 23,195,000
| | | Merck & Company, Inc. 0.08% due 05/15/14 | | | 23,194,278
| | | | 23,194,278
| | |
| 12,092,000
| | | Merck & Company, Inc. 0.08% due 06/02/14 | | | 12,091,140
| | | | 12,091,140
| | |
| 22,671,000
| | | Merck & Company, Inc. 0.08% due 06/04/14 | | | 22,669,287
| | | | 22,669,287
| | |
| 19,372,000
| | | Merck & Company, Inc. 0.08% due 06/13/14 | | | 19,370,149
| | | | 19,370,149
| | |
| 3,526,000
| | | Merck & Company, Inc. 0.09% due 06/17/14 | | | 3,525,586
| | | | 3,525,586
| | |
| 9,766,000
| | | MetLife 0.10% due 06/06/14 | | | 9,765,023
| | | | 9,765,023
| | |
| 9,766,000
| | | MetLife 0.10% due 06/09/14 | | | 9,764,942
| | | | 9,764,942
| | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
67
PRINCIPAL | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
U.S. Commercial Paper — 13.32% — (continued) | | | |
$ | 9,912,000
| | | National Grid USA 0.28% due 06/11/14 | | $ | 9,908,839
| | | $ | 9,908,839
| | |
| 6,961,000
| | | Omnicom Group, Inc. 0.26% due 06/20/14 | | | 6,958,486
| | | | 6,958,486
| | |
| 6,705,000
| | | Parker-Hannifin Corporation 0.08% due 05/02/14 | | | 6,704,985
| | | | 6,704,985
| | |
| 7,095,000
| | | Parker-Hannifin Corporation 0.08% due 05/06/14 | | | 7,094,921
| | | | 7,094,921
| | |
| 3,178,000
| | | PepsiCo, Inc. 0.06% due 05/01/14 | | | 3,178,000
| | | | 3,178,000
| | |
| 8,775,000
| | | PepsiCo, Inc. 0.06% due 06/06/14 | | | 8,774,474
| | | | 8,774,474
| | |
| 10,975,000
| | | PepsiCo, Inc. 0.07% due 05/07/14 | | | 10,974,872
| | | | 10,974,872
| | |
| 9,462,000
| | | PepsiCo, Inc. 0.07% due 06/06/14 | | | 9,461,338
| | | | 9,461,338
| | |
| 13,050,000
| | | PepsiCo, Inc. 0.07% due 06/10/14 | | | 13,048,985
| | | | 13,048,985
| | |
| 22,942,000
| | | Pfizer, Inc. 0.06% due 05/22/14 | | | 22,941,197
| | | | 22,941,197
| | |
| 21,616,000
| | | Pfizer, Inc. 0.07% due 05/14/14 | | | 21,615,454
| | | | 21,615,454
| | |
| 20,527,000
| | | Pfizer, Inc. 0.08% due 06/10/14 | | | 20,525,175
| | | | 20,525,175
| | |
| 9,732,000
| | | Pfizer, Inc. 0.08% due 06/11/14 | | | 9,731,113
| | | | 9,731,113
| | |
| 20,934,000
| | | Pfizer, Inc. 0.08% due 06/16/14 | | | 20,931,860
| | | | 20,931,860
| | |
| 10,467,000
| | | Pfizer, Inc. 0.08% due 06/17/14 | | | 10,465,907
| | | | 10,465,907
| | |
| 17,966,000
| | | Pfizer, Inc. 0.09% due 06/09/14 | | | 17,964,248
| | | | 17,964,248
| | |
| 4,117,000
| | | Philip Morris International, Inc. 0.05% due 05/19/14 | | | 4,116,897
| | | | 4,116,897
| | |
| 4,866,000
| | | Philip Morris International, Inc. 0.05% due 05/27/14 | | | 4,865,824
| | | | 4,865,824
| | |
| 11,597,000
| | | Philip Morris International, Inc. 0.05% due 05/28/14 | | | 11,596,565
| | | | 11,596,565
| | |
| 3,469,000
| | | Philip Morris International, Inc. 0.06% due 05/01/14 | | | 3,469,000
| | | | 3,469,000
| | |
| 8,381,000
| | | Philip Morris International, Inc. 0.06% due 05/20/14 | | | 8,380,735
| | | | 8,380,735
| | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
68
Consolidated Schedule of Investments | Six-Month Period Ended April 30, 2014 (unaudited)
PRINCIPAL | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
U.S. Commercial Paper — 13.32% — (continued) | | | |
$ | 9,462,000
| | | Philip Morris International, Inc. 0.07% due 06/05/14 | | $ | 9,461,356
| | | $ | 9,461,356
| | |
| 10,038,000
| | | Philip Morris International, Inc. 0.07% due 06/09/14 | | | 10,037,239
| | | | 10,037,239
| | |
| 12,707,000
| | | Philip Morris International, Inc. 0.07% due 06/11/14 | | | 12,705,987
| | | | 12,705,987
| | |
| 9,876,000
| | | Philip Morris International, Inc. 0.08% due 06/04/14 | | | 9,875,254
| | | | 9,875,254
| | |
| 20,631,000
| | | Philip Morris International, Inc. 0.08% due 06/13/14 | | | 20,629,029
| | | | 20,629,029
| | |
| 5,453,000
| | | Philip Morris International, Inc. 0.09% due 05/02/14 | | | 5,452,986
| | | | 5,452,986
| | |
| 10,969,000
| | | Philip Morris International, Inc. 0.09% due 06/18/14 | | | 10,967,684
| | | | 10,967,684
| | |
| 9,361,000
| | | Philip Morris International, Inc. 0.09% due 06/19/14 | | | 9,359,853
| | | | 9,359,853
| | |
| 8,857,000
| | | Philip Morris International, Inc. 0.09% due 06/23/14 | | | 8,855,826
| | | | 8,855,826
| | |
| 23,961,000
| | | Philip Morris International, Inc. 0.09% due 07/16/14 | | | 23,956,447
| | | | 23,951,725
| | |
| 10,620,000
| | | Philip Morris International, Inc. 0.10% due 07/15/14 | | | 10,617,787
| | | | 10,615,942
| | |
| 3,293,000
| | | Precision Castparts Corporation 0.08% due 05/02/14 | | | 3,292,993
| | | | 3,292,993
| | |
| 5,835,000
| | | Precision Castparts Corporation 0.09% due 05/09/14 | | | 5,834,883
| | | | 5,834,883
| | |
| 15,690,000
| | | Precision Castparts Corporation 0.09% due 06/02/14 | | | 15,688,745
| | | | 15,688,745
| | |
| 4,813,000
| | | Precision Castparts Corporation 0.09% due 06/12/14 | | | 4,812,495
| | | | 4,812,495
| | |
| 5,171,000
| | | Precision Castparts Corporation 0.10% due 06/03/14 | | | 5,170,526
| | | | 5,170,526
| | |
| 3,927,000
| | | Precision Castparts Corporation 0.10% due 06/11/14 | | | 3,926,553
| | | | 3,926,553
| | |
| 10,845,000
| | | Precision Castparts Corporation 0.10% due 07/02/14 | | | 10,843,132
| | | | 10,841,736
| | |
| 2,709,000
| | | Procter & Gamble Company 0.07% due 05/30/14 | | | 2,708,847
| | | | 2,708,847
| | |
| 20,326,000
| | | Procter & Gamble Company 0.08% due 05/19/14 | | | 20,325,187
| | | | 20,325,187
| | |
| 9,878,000
| | | Procter & Gamble Company 0.08% due 06/05/14 | | | 9,877,232
| | | | 9,877,232
| | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
69
PRINCIPAL | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
U.S. Commercial Paper — 13.32% — (continued) | | | |
$ | 13,823,000
| | | Procter & Gamble Company 0.09% due 05/20/14 | | $ | 13,822,343
| | | $ | 13,822,343
| | |
| 20,540,000
| | | Procter & Gamble Company 0.09% due 05/21/14 | | | 20,538,973
| | | | 20,538,973
| | |
| 13,183,000
| | | Procter & Gamble Company 0.10% due 06/02/14 | | | 13,181,828
| | | | 13,181,828
| | |
| 12,351,000
| | | Procter & Gamble Company 0.10% due 06/20/14 | | | 12,349,285
| | | | 12,349,285
| | |
| 12,590,000
| | | Procter & Gamble Company 0.10% due 07/14/14 | | | 12,587,412
| | | | 12,588,164
| | |
| 8,049,000
| | | Procter & Gamble Company 0.10% due 07/21/14 | | | 8,047,189
| | | | 8,047,625
| | |
| 15,512,000
| | | Schlumberger Investments SA 0.10% due 06/16/14 | | | 15,510,018
| | | | 15,510,018
| | |
| 6,421,000
| | | Schlumberger Investments SA 0.11% due 06/16/14 | | | 6,420,098
| | | | 6,420,098
| | |
| 2,709,000
| | | Schlumberger Investments SA 0.13% due 06/25/14 | | | 2,708,462
| | | | 2,708,462
| | |
| 12,394,000
| | | United Healthcare Company 0.18% due 05/14/14 | | | 12,393,194
| | | | 12,393,194
| | |
| 17,539,000
| | | United Healthcare Company 0.18% due 05/15/14 | | | 17,537,772
| | | | 17,537,772
| | |
| 15,974,000
| | | United Technologies Corporation 0.07% due 06/24/14 | | | 15,972,323
| | | | 15,972,323
| | |
| 9,499,000
| | | Wal-Mart Stores, Inc. 0.07% due 05/14/14 | | | 9,498,760
| | | | 9,498,760
| | |
| 15,990,000
| | | Wal-Mart Stores, Inc. 0.08% due 05/12/14 | | | 15,989,609
| | | | 15,989,609
| | |
| 12,743,000
| | | Wal-Mart Stores, Inc. 0.10% due 05/05/14 | | | 12,742,858
| | | | 12,742,858
| | |
| 7,431,000
| | | Wal-Mart Stores, Inc. 0.11% due 05/05/14 | | | 7,430,909
| | | | 7,430,909
| | |
| 6,552,000
| | | Walt Disney Company 0.06% due 05/16/14 | | | 6,551,836
| | | | 6,551,836
| | |
| 5,344,000
| | | Walt Disney Company 0.06% due 05/22/14 | | | 5,343,813
| | | | 5,343,813
| | |
| 24,550,000
| | | Walt Disney Company 0.06% due 05/23/14 | | | 24,549,099
| | | | 24,549,099
| | |
| 9,875,000
| | | Walt Disney Company 0.06% due 06/18/14 | | | 9,874,210
| | | | 9,874,210
| | |
| 8,263,000
| | | Walt Disney Company 0.07% due 05/15/14 | | | 8,262,775
| | | | 8,262,775
| | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
70
Consolidated Schedule of Investments | Six-Month Period Ended April 30, 2014 (unaudited)
PRINCIPAL | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
U.S. Commercial Paper — 13.32% — (continued) | | | |
$ | 15,057,000
| | | Walt Disney Company 0.07% due 06/19/14 | | $ | 15,055,565
| | | $ | 15,055,565
| | |
| 23,356,000
| | | Walt Disney Company 0.07% due 06/20/14 | | | 23,353,729
| | | | 23,353,729
| | |
| 2,534,000
| | | Walt Disney Company 0.07% due 07/15/14 | | | 2,533,630
| | | | 2,533,460
| | |
| 3,048,000
| | | Walt Disney Company 0.08% due 06/20/14 | | | 3,047,661
| | | | 3,047,661
| | |
| 17,408,000
| | | Walt Disney Company 0.08% due 07/15/14 | | | 17,405,099
| | | | 17,404,288
| | |
| 9,888,000
| | | Walt Disney Company 0.08% due 07/18/14 | | | 9,886,286
| | | | 9,885,765
| | |
| 9,595,000
| | | WellPoint, Inc. 0.16% due 05/01/14 | | | 9,595,000
| | | | 9,595,000
| | |
| 5,404,000
| | | WellPoint, Inc. 0.16% due 05/02/14 | | | 5,403,976
| | | | 5,403,976
| | |
| 10,808,000
| | | WellPoint, Inc. 0.16% due 05/07/14 | | | 10,807,712
| | | | 10,807,712
| | |
| 4,731,000
| | | WellPoint, Inc. 0.16% due 06/03/14 | | | 4,730,306
| | | | 4,730,306
| | |
| 5,522,000
| | | WellPoint, Inc. 0.17% due 06/13/14 | | | 5,520,879
| | | | 5,520,879
| | |
| 5,617,000
| | | WellPoint, Inc. 0.20% due 05/05/14 | | | 5,616,875
| | | | 5,616,875
| | |
Total U.S. Commercial Paper | | | 1,993,211,810 | | | | 1,993,195,586 | | |
Total Commercial Paper | | | 3,190,890,267 | | | | 3,190,858,093 | | |
Total Investments — 99.83% | | $ | 11,597,833,576 | | | | 14,944,415,544 | | |
Other Assets in Excess of Liabilities — 0.17% | | | | | 26,070,918 | | |
Net Assets — 100.00% | | | | $ | 14,970,486,462 | | |
(a) Non-income producing security/commodity.
(b) Security is deemed illiquid. At April 30, 2014, the value of these securities amounted to $93,709,518 or 0.63% of net assets.
(c) An affiliate of the Fund as defined by the Investment Company Act of 1940. An affiliate is defined as a company in which the Fund directly or indirectly owns, controls, or holds power to vote 5% or more of the outstanding voting securities.
(d) Securities valued in accordance with fair value procedures under the supervision of the Board of Trustees, representing $60,792,122 or 0.41% of net assets.
(e) Represents non-voting class of shares.
(f) Represents securities that are subject to legal or contractual restrictions on resale. At April 30, 2014, the value of these securities amounted to $52,489,808 or 0.35% of net assets.
(g) Held through Financiere Bleue, LLC, wholly owned holding company and disregarded entity for U.S. tax purposes.
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
71
(h) Payment-in-kind security.
(i) Floating rate security. Rate shown is the rate in effect at April 30, 2014.
(j) This security is convertible until September 27, 2017.
(k) Represents a security registered under Regulation S. Bonds sold under Regulation S may not be offered, sold or delivered within the U.S., or for the account or benefit of, U.S. persons, except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act of 1933.
At April 30, 2014, cost is substantially identical for both book and federal income tax purposes. Net unrealized appreciation consisted of:
Gross unrealized appreciation | | $ | 3,887,914,938 | | |
Gross unrealized depreciation | | | (541,332,970 | ) | |
Net unrealized appreciation | | $ | 3,346,581,968 | | |
Abbreviations used in this schedule include:
ADR — American Depository Receipt
FRN — Floating Rate Note
NVDR — Non-Voting Depository Receipt
PCL — Public Company Limited
PLC — Public Limited Company
RSP — Represents Savings Shares
Currencies
EUR — Euro
USD — United States Dollar
RESTRICTED SECURITIES | | ACQUISITION DATE | | COST | | CARRYING VALUE PER SHARE/PRINCIPAL | |
Emin Leydier SA FRN 8.259% due 07/31/16 | | 07/30/09 | | $ | 14,240,891 | | | $ | 1.39 | | |
FINEL 9.50% due 06/30/17 | | 06/22/05 | | | 14,365,843 | | | | 1.04 | | |
FINEL | | 07/14/99 | | | 9,166,547 | | | | 0.50 | | |
Legris Industries SA | | 04/30/04 | | | 23,119,325 | | | | 23.27 | | |
See Notes to Financial Statements.
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72
Consolidated Schedule of Investments | Six-Month Period Ended April 30, 2014 (unaudited)
Foreign Currency Exchange Contracts — Sales | |
SETTLEMENT DATES THROUGH | | FOREIGN CURRENCY TO BE DELIVERED | | U.S. $ TO BE RECEIVED | | U.S. $ VALUE AT APRIL 30, 2014 | | UNREALIZED APPRECIATION AT APRIL 30, 2014 | | UNREALIZED DEPRECIATION AT APRIL 30, 2014 | |
06/18/14 | | | 8,234,000 | | | British Pound | | $ | 13,429,325 | | | $ | 13,897,190 | | | $ | — | | | $ | (467,865 | ) | |
07/16/14 | | | 6,104,000 | | | British Pound | | | 10,034,390 | | | | 10,299,992 | | | | — | | | | (265,602 | ) | |
08/20/14 | | | 16,838,000 | | | British Pound | | | 27,672,821 | | | | 28,415,456 | | | | — | | | | (742,635 | ) | |
10/15/14 | | | 3,842,000 | | | British Pound | | | 6,433,083 | | | | 6,478,030 | | | | — | | | | (44,947 | ) | |
06/18/14 | | | 57,365,000 | | | Euro | | | 79,128,315 | | | | 79,576,761 | | | | — | | | | (448,446 | ) | |
07/16/14 | | | 138,065,000 | | | Euro | | | 187,105,688 | | | | 191,512,295 | | | | — | | | | (4,406,607 | ) | |
08/20/14 | | | 258,900,000 | | | Euro | | | 349,414,922 | | | | 359,137,668 | | | | — | | | | (9,722,746 | ) | |
09/17/14 | | | 203,672,000 | | | Euro | | | 283,647,884 | | | | 282,501,735 | | | | 1,146,149 | | | | — | | |
10/15/14 | | | 114,699,000 | | | Euro | | | 158,950,448 | | | | 159,088,906 | | | | — | | | | (138,458 | ) | |
06/18/14 | | | 24,006,741,000 | | | Japanese Yen | | | 234,479,757 | | | | 234,884,809 | | | | — | | | | (405,052 | ) | |
07/16/14 | | | 19,188,887,000 | | | Japanese Yen | | | 183,218,949 | | | | 187,776,786 | | | | — | | | | (4,557,837 | ) | |
08/20/14 | | | 31,040,690,000 | | | Japanese Yen | | | 309,683,749 | | | | 303,699,911 | | | | 5,983,838 | | | | — | | |
09/17/14 | | | 20,580,450,000 | | | Japanese Yen | | | 201,340,775 | | | | 201,474,922 | | | | — | | | | (134,147 | ) | |
10/15/14 | | | 16,785,315,000 | | | Japanese Yen | | | 164,859,305 | | | | 164,352,181 | | | | 507,124 | | | | — | | |
| | | | | | $ | 2,209,399,411 | | | $ | 2,223,096,642 | | | $ | 7,637,111 | | | $ | (21,334,342 | ) | |
Foreign Currency Exchange Contracts — Purchases
SETTLEMENT DATES THROUGH | | FOREIGN CURRENCY TO BE RECEIVED | | U.S. $ TO BE DELIVERED | | U.S. $ VALUE AT APRIL 30, 2014 | | UNREALIZED APPRECIATION AT APRIL 30, 2014 | | UNREALIZED DEPRECIATION AT APRIL 30, 2014 | |
05/13/14 | | | 6,184,919,000 | | | Japanese Yen | | $ | 59,379,023 | | | $ | 60,501,123 | | | $ | 1,122,100 | | | $ | — | | |
06/18/14 | | | 4,000,000,000 | | | Japanese Yen | | | 38,181,601 | | | | 39,136,476 | | | | 954,875 | | | | — | | |
| | | | | | $ | 97,560,624 | | | $ | 99,637,599 | | | $ | 2,076,975 | | | $ | — | | |
Affiliated Securities | |
AFFILIATED SECURITIES | | SHARES OCTOBER 31, 2013 | | GROSS ADDITIONS | | GROSS REDUCTIONS | | SHARES APRIL 30, 2014 | | MARKET VALUE APRIL 30, 2014 | | REALIZED GAIN/(LOSS) | | DIVIDEND INCOME | |
As One Corporation | | | 1,299,640 | | | | — | | | | — | | | | 1,299,640 | | | $ | 34,094,336 | | | $ | — | | | $ | 400,711 | | |
Catalyst Paper Corporation | | | 1,266,835 | | | | — | | | | — | | | | 1,266,835 | | | | 2,831,755 | | | | — | | | | — | | |
Chofu Seisakusho Company Limited | | | 2,023,800 | | | | — | | | | — | | | | 2,023,800 | | | | 50,676,657 | | | | — | | | | 278,345 | | |
FINEL | | | 11,593,581 | | | | — | | | | — | | | | 11,593,581 | | | | 5,790,365 | | | | — | | | | — | | |
Fursys, Inc. | | | 872,463 | | | | — | | | | — | | | | 872,463 | | | | 24,232,738 | | | | — | | | | 451,873 | | |
Gaumont SA | | | 364,373 | | | | — | | | | — | | | | 364,373 | | | | 20,073,907 | | | | — | | | | — | | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
73
Affiliated Securities — (continued) | |
AFFILIATED SECURITIES | | SHARES OCTOBER 31, 2013 | | GROSS ADDITIONS | | GROSS REDUCTIONS | | SHARES APRIL 30, 2014 | | MARKET VALUE APRIL 30, 2014 | | REALIZED GAIN/(LOSS) | | DIVIDEND INCOME | |
Haw Par Corporation Limited | | | 25,512,113 | | | | — | | | | — | | | | 25,512,113 | | | $ | 171,545,914 | | | $ | — | | | $ | — | | |
Japan Wool Textile Company Limited | | | 6,407,900 | | | | — | | | | 196,000 | | | | 6,211,900 | | | | 46,056,832 | | | | (198,730 | ) | | | 559,727 | | |
Jumbo SA* | | | 9,086,616 | | | | — | | | | 2,980,547 | | | | 6,106,069 | | | | 98,690,070 | | | | 31,548,432 | | | | — | | |
Laurent- Perrier | | | 558,938 | | | | — | | | | — | | | | 558,938 | | | | 55,909,386 | | | | — | | | | — | | |
Legris Industries SA | | | 896,416 | | | | — | | | | — | | | | 896,416 | | | | 20,855,878 | | | | — | | | | — | | |
Maezawa Kasei Industries Company Limited | | | 2,068,330 | | | | — | | | | — | | | | 2,068,330 | | | | 21,546,158 | | | | — | | | | 273,442 | | |
Nitto Kohki Company Limited | | | 2,254,200 | | | | — | | | | 863,200 | | | | 1,391,000 | | | | 25,306,989 | | | | (880,995 | ) | | | 229,609 | | |
Robertet SA | | | 235,837 | | | | — | | | | — | | | | 235,837 | | | | 54,313,258 | | | | — | | | | — | | |
T. Hasegawa Company Limited | | | 3,206,911 | | | | — | | | | — | | | | 3,206,911 | | | | 47,585,308 | | | | — | | | | 574,567 | | |
Wienerberger AG* | | | 5,915,786 | | | | — | | | | 1,330,648 | | | | 4,585,138 | | | | 85,144,502 | | | | 1,126,737 | | | | — | | |
Yomeishu Seizo Company Limited* | | | 2,535,900 | | | | — | | | | 2,535,900 | | | | — | | | | — | | | | (4,587,274 | ) | | | — | | |
Total | | | | | | | | | | $ | 764,654,053 | | | $ | 27,008,170 | | | $ | 2,768,274 | | |
* Represents an unaffiliated issuer as of April 30, 2014, as such, amounts represented above will not agree to balances in the Statements of Assets and Liabilities and Statements of Operations.
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
74
Consolidated Schedule of Investments | Six-Month Period Ended April 30, 2014 (unaudited)
INDUSTRY DIVERSIFICATION FOR PORTFOLIO HOLDINGS | | PERCENT OF NET ASSETS | |
International Common Stocks | |
Consumer Discretionary | | | 8.93 | % | |
Consumer Staples | | | 8.11 | | |
Energy | | | 6.31 | | |
Financials | | | 10.23 | | |
Health Care | | | 5.45 | | |
Industrials | | | 14.07 | | |
Information Technology | | | 5.03 | | |
Materials | | | 11.58 | | |
Telecommunication Services | | | 2.19 | | |
Total International Common Stocks | | | 71.90 | | |
U.S. Common Stock | |
Materials | | | 0.16 | | |
Total U.S. Common Stock | | | 0.16 | | |
International Preferred Stocks | |
Consumer Discretionary | | | 0.52 | | |
Consumer Staples | | | 0.06 | | |
Total International Preferred Stocks | | | 0.58 | | |
Investment Company | | | 0.00 | | |
Right | | | 0.00 | | |
Commodity | | | 4.82 | | |
Term Loans | | | 0.07 | | |
International Convertible Bond | |
Consumer Staples | | | 0.12 | | |
Total International Convertible Bond | | | 0.12 | | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
75
INDUSTRY DIVERSIFICATION FOR PORTFOLIO HOLDINGS — (CONTINUED) | | PERCENT OF NET ASSETS | |
International Corporate Bonds | |
Financials | | | 0.10 | % | |
Materials | | | 0.76 | | |
Total International Corporate Bonds | | | 0.86 | | |
Commercial Paper | |
International Commercial Paper | | | 8.00 | | |
U.S. Commercial Paper | | | 13.32 | | |
Total Commercial Paper | | | 21.32 | | |
Total Investments | | | 99.83 | % | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
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Fund Overview | Data as of April 30, 2014 (unaudited)
INVESTMENT OBJECTIVE
The First Eagle U.S. Value Fund seeks long-term growth of capital by investing, under normal market conditions, at least 80% of its assets in domestic equity and debt securities. Management utilizes a highly disciplined, bottom-up, value-oriented approach in achieving its investment objective.
Average Annual Returns | |
| | ONE-YEAR | | FIVE-YEARS | | TEN-YEARS | |
First Eagle U.S. Value Fund (A Shares) | |
without sales charge | | | 12.95 | % | | | 13.57 | % | | | 8.51 | % | |
with sales charge | | | 7.31 | | | | 12.42 | | | | 7.95 | | |
Standard & Poor's 500 Index | | | 20.44 | | | | 19.14 | | | | 7.67 | | |
Consumer Price Index | | | 1.95 | | | | 2.14 | | | | 2.35 | | |
Sector/Industry** | |
Information Technology | | | 19.36 | % | |
Financials | | | 16.79 | | |
Energy | | | 9.69 | | |
Industrials | | | 8.90 | | |
Materials | | | 8.29 | | |
Consumer Discretionary | | | 5.28 | | |
Commodity | | | 4.87 | | |
Consumer Staples | | | 3.14 | | |
Health Care | | | 2.97 | | |
Warrant | | | 0.53 | | |
Utilities | | | 0.36 | | |
* Asset Allocations and Sector/Industry percentages are based on total investments in the portfolio.
** Sector/Industry allocation exclude short term investments and options positions.
The Fund's portfolio composition is subject to change at any time.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
78
Growth of a $10,000 Initial Investment
Performance data quoted herein represents past performance and should not be considered indicative of future results. Performance data quoted herein does not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the sale of Fund shares. The average annual returns shown above are historical and reflect changes in share price, reinvested dividends and are net of expenses.
The average annual returns for Class A Shares with a sales charge gives effect to the deduction of the maximum sales charge of 5.00%.
The Standard & Poor's 500 Index is a widely recognized unmanaged index including a representative sample of 500 leading companies in leading sectors of the U.S. economy and is not available for purchase. Although the Standard & Poor's 500 Index focuses on the large-cap segment of the market, with approximately 80% coverage of U.S. equities, it is also considered a proxy for the total market. The Consumer Price Index (CPI) represents the change in price of all goods and services purchased for consumption by urban households.
Top 10 Holdings* | |
Gold Bullion (precious metal) | | | 4.88 | % | |
Oracle Corporation (U.S. software/hardware) | | | 3.67 | | |
Microsoft Corporation (U.S. software developer) | | | 3.50 | | |
Comcast Corporation, Class 'A' (U.S. cable/satellite television company) | | | 2.90 | | |
Intel Corporation (U.S. computer components and related products manufacturer) | | | 2.83 | | |
Bank of New York Mellon Corporation (U.S. financial services company) | | | 2.54 | | |
Cisco Systems, Inc. (U.S. computer communications company) | | | 2.49 | | |
3M Company (U.S. industrial conglomerate) | | | 2.29 | | |
Cintas Corporation (U.S. commercial services equipment supplier) | | | 2.07 | | |
Berkshire Hathaway, Inc., Class 'A' (U.S. holdings company) | | | 2.02 | | |
Total | | | 29.19 | % | |
* Holdings in cash, commercial paper and other short term cash equivalents have been excluded. Percentages are based on total net assets.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
79
First Eagle U.S. Value Fund
SHARES | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
Common Stocks — 73.58% | | | |
U.S. Common Stocks — 64.29% | | | |
Consumer Discretionary 5.27% | | | |
| 1,802,149 | | | Comcast Corporation, Class 'A' | | $ | 29,467,004 | | | $ | 91,963,663 | | |
| 790,034 | | | Omnicom Group, Inc. | | | 25,724,873 | | | | 53,469,501 | | |
| 489,138 | | | H&R Block, Inc. | | | 8,259,025 | | | | 13,901,302 | | |
| 75,234 | | | McDonald's Corporation | | | 7,536,786 | | | | 7,627,223 | | |
| 528 | | | St. John Knits International, Inc. (a)(b) | | | 16,368 | | | | 2,772 | | |
| | | 71,004,056 | | | | 166,964,461 | | |
Consumer Staples 2.99% | | | |
| 1,306,609 | | | Sysco Corporation | | | 36,466,341 | | | | 47,599,766 | | |
| 396,024 | | | Colgate-Palmolive Company | | | 15,232,688 | | | | 26,652,415 | | |
| 235,901 | | | Wal-Mart Stores, Inc. | | | 11,087,014 | | | | 18,803,669 | | |
| 77,388 | | | Limoneira Company | | | 1,488,691 | | | | 1,777,602 | | |
| | | 64,274,734 | | | | 94,833,452 | | |
Energy 6.38% | | | |
| 711,766 | | | National Oilwell Varco, Inc. | | | 54,617,021 | | | | 55,894,984 | | |
| 761,280 | | | Devon Energy Corporation | | | 43,047,879 | | | | 53,289,600 | | |
| 699,723 | | | ConocoPhillips | | | 29,149,642 | | | | 51,996,416 | | |
| 1,033,843 | | | San Juan Basin Royalty Trust | | | 20,806,015 | | | | 19,756,740 | | |
| 136,180 | | | Apache Corporation | | | 8,754,244 | | | | 11,820,424 | | |
| 114,653 | | | SEACOR Holdings, Inc. (a) | | | 7,325,758 | | | | 9,560,914 | | |
| | | 163,700,559 | | | | 202,319,078 | | |
Financials 16.09% | | | |
| 2,380,687 | | | Bank of New York Mellon Corporation | | | 56,858,996 | | | | 80,633,869 | | |
| 332 | | | Berkshire Hathaway, Inc., Class 'A' (a) | | | 32,055,938 | | | | 64,167,300 | | |
| 548,595 | | | American Express Company | | | 14,606,626 | | | | 47,963,661 | | |
| 117,066 | | | Alleghany Corporation (a) | | | 34,293,700 | | | | 47,760,587 | | |
| 1,239,070 | | | BB&T Corporation | | | 30,832,769 | | | | 46,254,483 | | |
| 865,682 | | | Cincinnati Financial Corporation | | | 22,171,918 | | | | 42,193,341 | | |
| 1,026,039 | | | U.S. Bancorp | | | 25,196,576 | | | | 41,841,870 | | |
| 1,206,038 | | | Weyerhaeuser Company, REIT | | | 18,797,826 | | | | 36,000,234 | | |
| 688,730 | | | Plum Creek Timber Company, Inc., REIT | | | 24,219,955 | | | | 30,028,628 | | |
| 613,629 | | | WR Berkley Corporation | | | 16,784,004 | | | | 27,146,947 | | |
| 252,026 | | | Mastercard, Inc., Class 'A' | | | 5,790,386 | | | | 18,536,512 | | |
| 84,477 | | | Visa, Inc., Class 'A' | | | 6,092,810 | | | | 17,115,885 | | |
| 211,098 | | | Rayonier, Inc., REIT | | | 4,204,148 | | | | 9,520,520 | | |
| 40,290 | | | First American Financial Corporation | | | 935,052 | | | | 1,071,714 | | |
| | | 292,840,704 | | | | 510,235,551 | | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
80
Consolidated Schedule of Investments | Six-Month Period Ended April 30, 2014 (unaudited)
SHARES | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
U.S. Common Stocks — 64.29% — (continued) | | | |
Health Care 1.99% | | | |
| 477,470 | | | WellPoint, Inc. | | $ | 23,751,346 | | | $ | 48,071,680 | | |
| 149,770 | | | Johnson & Johnson | | | 8,850,248 | | | | 15,170,203 | | |
| | | 32,601,594 | | | | 63,241,883 | | |
Industrials 8.72% | | | |
| 522,227 | | | 3M Company | | | 37,476,682 | | | | 72,636,553 | | |
| 1,115,686 | | | Cintas Corporation | | | 32,758,428 | | | | 65,747,376 | | |
| 344,610 | | | Alliant Techsystems, Inc. | | | 17,932,324 | | | | 49,699,654 | | |
| 372,827 | | | Northrop Grumman Corporation | | | 21,671,558 | | | | 45,302,209 | | |
| 262,126 | | | Lockheed Martin Corporation | | | 18,533,193 | | | | 43,025,362 | | |
| | | 128,372,185 | | | | 276,411,154 | | |
Information Technology 19.38% | | | |
| 2,848,600 | | | Oracle Corporation | | | 84,318,056 | | | | 116,450,768 | | |
| 2,742,890 | | | Microsoft Corporation | | | 70,849,511 | | | | 110,812,756 | | |
| 3,358,862 | | | Intel Corporation | | | 66,526,606 | | | | 89,648,027 | | |
| 3,420,919 | | | Cisco Systems, Inc. | | | 57,406,209 | | | | 79,057,438 | | |
| 1,108,560 | | | Linear Technology Corporation | | | 29,025,143 | | | | 49,330,920 | | |
| 1,073,861 | | | Teradata Corporation (a) | | | 46,268,333 | | | | 48,817,721 | | |
| 1,767,965 | | | Rofin-Sinar Technologies, Inc. (a)(c)(d) | | | 40,434,497 | | | | 39,248,823 | | |
| 816,092 | | | Comtech Telecommunications Corporation (c) | | | 25,578,179
| | | | 25,910,921
| | |
| 282,559 | | | Automatic Data Processing, Inc. | | | 10,225,607 | | | | 22,028,300 | | |
| 25,526 | | | Google, Inc., Class 'A' (a) | | | 6,486,951 | | | | 13,653,347 | | |
| 25,526 | | | Google, Inc., Class 'C' (a) | | | 6,503,944 | | | | 13,443,523 | | |
| 168,245 | | | NetApp, Inc. | | | 5,327,723 | | | | 5,991,204 | | |
| | | 448,950,759 | | | | 614,393,748 | | |
Materials 3.11% | | | |
| 529,751 | | | Scotts Miracle-Gro Company, Class 'A' | | | 22,767,001 | | | | 32,426,059 | | |
| 200,444 | | | Martin Marietta Materials, Inc. | | | 16,857,497 | | | | 24,921,202 | | |
| 375,975 | | | Vulcan Materials Company | | | 14,819,696 | | | | 24,261,667 | | |
| 394,810 | | | Newmont Mining Corporation | | | 17,478,234 | | | | 9,803,132 | | |
| 116,400 | | | Deltic Timber Corporation | | | 5,718,194 | | | | 7,071,300 | | |
| | | 77,640,622 | | | | 98,483,360 | | |
Utilities 0.36% | | | |
| 206,273 | | | IDACorp, Inc. | | | 6,422,914 | | | | 11,580,166 | | |
Total U.S. Common Stocks | | | 1,285,808,127 | | | | 2,038,462,853 | | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
81
SHARES | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
International Common Stocks — 9.29% | | | |
Australia 0.81% | | | |
| 2,652,613 | | | Newcrest Mining Limited (a) | | $ | 61,341,378 | | | $ | 25,776,349 | | |
Canada 5.96% | | | |
| 1,450,750 | | | Canadian Natural Resources Limited | | | 41,684,927 | | | | 59,112,718 | | |
| 1,283,141 | | | Potash Corporation of Saskatchewan, Inc. | | | 49,485,772
| | | | 46,398,380
| | |
| 1,063,343 | | | Goldcorp, Inc. | | | 33,350,639 | | | | 26,285,839 | | |
| 2,305,507 | | | Penn West Petroleum Limited | | | 33,629,474 | | | | 20,887,894 | | |
| 701,527 | | | Agnico-Eagle Mines Limited | | | 31,972,747 | | | | 20,718,424 | | |
| 840,922 | | | Barrick Gold Corporation | | | 15,383,136 | | | | 14,690,907 | | |
| 354,331 | | | Catalyst Paper Corporation (a)(b) | | | 6,095 | | | | 792,036 | | |
| | | 205,512,790 | | | | 188,886,198 | | |
France 0.98% | | | |
| 577,849 | | | Sanofi, ADR | | | 21,132,244 | | | | 31,088,276 | | |
Mexico 0.56% | | | |
| 1,225,181 | | | Fresnillo PLC | | | 26,986,918 | | | | 17,614,083 | | |
South Africa 0.27% | | | |
| 2,054,350 | | | Gold Fields Limited, ADR | | | 25,582,311 | | | | 8,689,901 | | |
United Kingdom 0.71% | | | |
| 549,959 | | | Willis Group Holdings PLC | | | 15,120,837 | | | | 22,542,819 | | |
Total International Common Stocks | | | 355,676,478 | | | | 294,597,626 | | |
Total Common Stocks | | | 1,641,484,605 | | | | 2,333,060,479 | | |
U.S. Preferred Stock — 0.15% | | | |
Consumer Staples 0.15% | | | |
| 168,915 | | | Seneca Foods Corporation, Series '2003' (a)(b)(e)(f) | | | 2,542,171
| | | | 4,797,186
| | |
Investment Company — 0.00% | | | |
| 27,030 | | | State Street Institutional U.S. Government Money Market Fund, Institutional Class | | | 27,030 | | | | 27,030 | | |
Warrant — 0.53% | | | |
United States 0.53% | | | |
| 888,023 | | | JPMorgan Chase & Company Warrant expire 10/28/18 (a) | | | 10,637,398
| | | | 16,748,114
| | |
See Notes to Financial Statements.
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82
Consolidated Schedule of Investments | Six-Month Period Ended April 30, 2014 (unaudited)
OUNCES | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
Commodity — 4.88% | | | |
| 119,915 | | | Gold bullion (a) | | $ | 142,974,103 | | | $ | 154,710,227 | | |
PRINCIPAL | | | | | | | |
Bonds — 1.13% | | | |
International Corporate Bond — 0.12% | | | |
Canada 0.12% | | | |
| 4,252,418 USD | | | Catalyst Paper Corporation 11.00% due 10/30/17 (g) | | | 4,252,418
| | | | 3,843,123
| | |
U.S. Corporate Bonds — 1.01% | | | |
$ | 600,000 | | | Bausch & Lomb, Inc.
| | | 523,839 7.125% due 08/01/28 (b) | | | | 562,500
| | |
| 23,411,000
| | | Citgo Petroleum Corporation 11.50% due 07/01/17 (h) | | | 24,854,906
| | | | 25,137,561
| | |
| 5,975,000
| | | Mueller Water Products, Inc. 7.375% due 06/01/17 | | | 5,267,450
| | | | 6,094,500
| | |
Total U.S. Corporate Bonds | | | 30,646,195 | | | | 31,794,561 | | |
Total Bonds | | | 34,898,613 | | | | 35,637,684 | | |
U.S. Treasury Bills — 4.26% | | | |
| 40,000,000
| | | U.S. Treasury Bill 0.01% due 07/17/14 | | | 39,999,145
| | | | 39,998,600
| | |
| 30,000,000
| | | U.S. Treasury Bill 0.02% due 05/15/14 | | | 29,999,825
| | | | 29,999,825
| | |
| 40,000,000
| | | U.S. Treasury Bill 0.02% due 05/29/14 | | | 39,999,378
| | | | 39,999,378
| | |
| 25,000,000
| | | U.S. Treasury Bill 0.03% due 05/08/14 | | | 24,999,878
| | | | 24,999,878
| | |
Total U.S. Treasury Bills | | | 134,998,226 | | | | 134,997,681 | | |
Commercial Paper — 15.58% | | | |
International Commercial Paper — 4.42% | | | |
Australia 0.07% | | | |
| 2,268,000 USD | | | Telstra Corporation Limited 0.14% due 07/09/14 | | | 2,267,392
| | | | 2,267,220
| | |
Canada 0.49% | | | |
| 1,651,000 USD | | | Suncor Energy, Inc. 0.19% due 06/16/14 | | | 1,650,599
| | | | 1,650,599
| | |
| 4,203,000 USD | | | Suncor Energy, Inc. 0.20% due 05/09/14 | | | 4,202,813
| | | | 4,202,813
| | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
83
PRINCIPAL | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
International Commercial Paper — 4.42% — (continued) | | | |
Canada 0.49% — (continued) | | | |
| 3,948,000 USD | | | Suncor Energy, Inc. 0.23% due 05/16/14 | | $ | 3,947,622
| | | $ | 3,947,622
| | |
| 5,694,000 USD | | | Total Capital Limited 0.10% due 06/19/14 | | | 5,693,225
| | | | 5,693,225
| | |
France 0.95% | | | |
| 9,693,000 USD | | | Essilor International 0.12% due 05/23/14 | | | 9,692,289
| | | | 9,692,289
| | |
| 2,997,000 USD | | | Essilor International 0.13% due 05/20/14 | | | 2,996,794
| | | | 2,996,794
| | |
| 4,021,000 USD | | | Essilor International 0.16% due 06/17/14 | | | 4,020,160
| | | | 4,020,160
| | |
| 1,819,000 USD | | | GDF Suez SA 0.14% due 06/11/14 | | | 1,818,710
| | | | 1,818,710
| | |
| 3,343,000 USD | | | GDF Suez SA 0.15% due 05/05/14 | | | 3,342,944
| | | | 3,342,944
| | |
| 3,209,000 USD | | | GDF Suez SA 0.15% due 05/12/14 | | | 3,208,853
| | | | 3,208,853
| | |
| 2,493,000 USD | | | GDF Suez SA 0.15% due 05/23/14 | | | 2,492,772
| | | | 2,492,772
| | |
| 2,648,000 USD | | | Sanofi 0.08% due 06/13/14 | | | 2,647,747
| | | | 2,647,747
| | |
Germany 0.18% | | | |
| 870,000 USD | | | Henkel Corporation 0.10% due 06/25/14 | | | 869,867
| | | | 869,867
| | |
| 2,013,000 USD | | | Siemens Company 0.07% due 06/18/14 | | | 2,012,812
| | | | 2,012,812
| | |
| 2,889,000 USD | | | Siemens Company 0.09% due 06/05/14 | | | 2,888,747
| | | | 2,888,747
| | |
Ireland 0.19% | | | |
| 5,977,000 USD | | | Ingersoll-Rand Global Holding Company 0.15% due 05/01/14 | | | 5,977,000
| | | | 5,977,000
| | |
Italy 0.36% | | | |
| 8,026,000 USD | | | Eni S.p.A. 0.26% due 05/05/14 | | | 8,025,768
| | | | 8,025,768
| | |
| 3,401,000 USD | | | Eni S.p.A. 0.27% due 06/11/14 | | | 3,399,954
| | | | 3,399,954
| | |
Japan 0.43% | | | |
| 7,472,000 USD | | | Hitachi Limited 0.20% due 05/01/14 | | | 7,472,000
| | | | 7,472,000
| | |
| 1,865,000 USD | | | Honda Corporation 0.08% due 05/08/14 | | | 1,864,971
| | | | 1,864,971
| | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
84
Consolidated Schedule of Investments | Six-Month Period Ended April 30, 2014 (unaudited)
PRINCIPAL | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
International Commercial Paper — 4.42% — (continued) | | | |
Japan 0.43% — (continued) | | | |
| 1,516,000 USD | | | Honda Corporation 0.09% due 05/08/14 | | $ | 1,515,973
| | | $ | 1,515,973
| | |
| 2,697,000 USD | | | Honda Corporation 0.09% due 05/23/14 | | | 2,696,852
| | | | 2,696,852
| | |
Switzerland 0.59% | | | |
| 5,586,000 USD | | | Nestlé SA 0.07% due 05/02/14 | | | 5,585,989
| | | | 5,585,989
| | |
| 1,579,000 USD | | | Nestlé SA 0.07% due 05/20/14 | | | 1,578,942
| | | | 1,578,942
| | |
| 3,502,000 USD | | | Nestlé SA 0.08% due 06/03/14 | | | 3,501,743
| | | | 3,501,743
| | |
| 3,401,000 USD | | | Nestlé SA 0.09% due 07/07/14 | | | 3,400,430
| | | | 3,400,424
| | |
| 1,893,000 USD | | | Roche Holdings, Inc. 0.07% due 06/05/14 | | | 1,892,871
| | | | 1,892,871
| | |
| 2,610,000 USD | | | Roche Holdings, Inc. 0.07% due 06/12/14 | | | 2,609,787
| | | | 2,609,787
| | |
United Kingdom 1.16% | | | |
| 4,813,000 USD | | | AstraZeneca PLC 0.08% due 06/09/14 | | | 4,812,583
| | | | 4,812,583
| | |
| 3,086,000 USD | | | AstraZeneca PLC 0.09% due 05/12/14 | | | 3,085,915
| | | | 3,085,915
| | |
| 6,243,000 USD | | | AstraZeneca PLC 0.09% due 05/16/14 | | | 6,242,766
| | | | 6,242,766
| | |
| 1,736,000 USD | | | AstraZeneca PLC 0.09% due 06/10/14 | | | 1,735,826
| | | | 1,735,826
| | |
| 995,000 USD | | | AstraZeneca PLC 0.09% due 06/16/14 | | | 994,886
| | | | 994,886
| | |
| 5,816,000 USD | | | Centrica PLC 0.30% due 05/09/14 | | | 5,815,612
| | | | 5,815,612
| | |
| 1,819,000 USD | | | Centrica PLC 0.33% due 06/17/14 | | | 1,818,216
| | | | 1,818,216
| | |
| 538,000 USD | | | GlaxoSmithKline PLC 0.07% due 05/08/14 | | | 537,993
| | | | 537,993
| | |
| 5,220,000 USD | | | GlaxoSmithKline PLC 0.11% due 06/23/14 | | | 5,219,155
| | | | 5,219,155
| | |
| 4,299,000 USD | | | Reckitt Benckiser 0.15% due 07/29/14 | | | 4,297,406
| | | | 4,297,065
| | |
| 2,250,000 USD | | | Reed Elsevier, Inc. 0.20% due 06/16/14 | | | 2,249,425
| | | | 2,249,425
| | |
Total International Commercial Paper | | | 140,085,409 | | | | 140,084,890 | | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
85
PRINCIPAL | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
U.S. Commercial Paper — 11.16% | | | |
$ | 1,593,000
| | | Abbott Laboratories 0.08% due 05/22/14 | | $ | 1,592,925
| | | $ | 1,592,925
| | |
| 3,413,000
| | | Abbott Laboratories 0.09% due 05/22/14 | | | 3,412,821
| | | | 3,412,821
| | |
| 7,754,000
| | | Abbott Laboratories 0.09% due 06/10/14 | | | 7,753,225
| | | | 7,753,225
| | |
| 1,157,000
| | | Abbott Laboratories 0.10% due 06/06/14 | | | 1,156,884
| | | | 1,156,884
| | |
| 1,408,000
| | | Abbott Laboratories 0.10% due 06/16/14 | | | 1,407,820
| | | | 1,407,820
| | |
| 907,000
| | | Abbott Laboratories 0.10% due 07/08/14 | | | 906,828
| | | | 906,885
| | |
| 7,472,000
| | | AON Corporation 0.20% due 05/01/14 | | | 7,472,000
| | | | 7,472,000
| | |
| 4,966,000
| | | Caterpillar Financial Services Company 0.13% due 07/17/14 | | | 4,964,619
| | | | 4,964,644
| | |
| 2,477,000
| | | Celgene Corporation 0.23% due 05/07/14 | | | 2,476,905
| | | | 2,476,905
| | |
| 2,344,000
| | | Celgene Corporation 0.25% due 07/02/14 | | | 2,342,991
| | | | 2,342,884
| | |
| 1,471,000
| | | Chevron Corporation 0.08% due 05/01/14 | | | 1,471,000
| | | | 1,471,000
| | |
| 1,191,000
| | | Chevron Corporation 0.08% due 05/02/14 | | | 1,190,997
| | | | 1,190,997
| | |
| 2,256,000
| | | Chevron Corporation 0.08% due 05/05/14 | | | 2,255,980
| | | | 2,255,980
| | |
| 3,209,000
| | | Chevron Corporation 0.08% due 05/13/14 | | | 3,208,914
| | | | 3,208,914
| | |
| 2,675,000
| | | Chevron Corporation 0.08% due 05/14/14 | | | 2,674,923
| | | | 2,674,923
| | |
| 2,268,000
| | | Chevron Corporation 0.08% due 06/12/14 | | | 2,267,788
| | | | 2,267,788
| | |
| 5,638,000
| | | Chevron Corporation 0.08% due 07/01/14 | | | 5,637,236
| | | | 5,636,631
| | |
| 1,244,000
| | | Chevron Corporation 0.09% due 05/21/14 | | | 1,243,938
| | | | 1,243,938
| | |
| 9,669,000
| | | Coca-Cola Company 0.07% due 06/12/14 | | | 9,668,210
| | | | 9,668,210
| | |
| 2,296,000
| | | Coca-Cola Company 0.08% due 05/16/14 | | | 2,295,923
| | | | 2,295,923
| | |
| 586,000
| | | Coca-Cola Company 0.10% due 07/09/14 | | | 585,887
| | | | 585,889
| | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
86
Consolidated Schedule of Investments | Six-Month Period Ended April 30, 2014 (unaudited)
PRINCIPAL | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
U.S. Commercial Paper — 11.16% — (continued) | | | |
$ | 7,334,000
| | | Coca-Cola Company 0.10% due 07/24/14 | | $ | 7,332,289
| | | $ | 7,332,147
| | |
| 1,460,000
| | | Coca-Cola Company 0.11% due 06/06/14 | | | 1,459,839
| | | | 1,459,839
| | |
| 2,447,000
| | | Coca-Cola Company 0.12% due 05/13/14 | | | 2,446,902
| | | | 2,446,902
| | |
| 1,539,000
| | | Con Edison, Inc. 0.16% due 05/01/14 | | | 1,539,000
| | | | 1,539,000
| | |
| 4,254,000
| | | ConocoPhillips 0.11% due 06/18/14 | | | 4,253,376
| | | | 4,253,376
| | |
| 2,149,000
| | | Corning, Inc. 0.17% due 07/01/14 | | | 2,148,381
| | | | 2,147,997
| | |
| 4,468,000
| | | Corning, Inc. 0.18% due 05/08/14 | | | 4,467,844
| | | | 4,467,844
| | |
| 1,128,000
| | | Devon Energy Corporation 0.19% due 05/14/14 | | | 1,127,923
| | | | 1,127,923
| | |
| 1,128,000
| | | Devon Energy Corporation 0.19% due 05/15/14 | | | 1,127,917
| | | | 1,127,917
| | |
| 2,081,000
| | | Devon Energy Corporation 0.19% due 05/20/14 | | | 2,080,791
| | | | 2,080,791
| | |
| 3,948,000
| | | Devon Energy Corporation 0.19% due 05/22/14 | | | 3,947,562
| | | | 3,947,562
| | |
| 1,342,000
| | | Diageo Capital PLC 0.24% due 06/05/14 | | | 1,341,687
| | | | 1,341,687
| | |
| 6,009,000
| | | Diageo Capital PLC 0.25% due 05/22/14 | | | 6,008,124
| | | | 6,008,124
| | |
| 2,317,000
| | | Diageo Capital PLC 0.26% due 06/20/14 | | | 2,316,163
| | | | 2,316,163
| | |
| 4,700,000
| | | Dominion Resources, Inc. 0.20% due 05/21/14 | | | 4,699,478
| | | | 4,699,478
| | |
| 5,858,000
| | | Dr Pepper Snapple Group, Inc. 0.20% due 05/13/14 | | | 5,857,609
| | | | 5,857,609
| | |
| 2,930,000
| | | Dr Pepper Snapple Group, Inc. 0.22% due 06/10/14 | | | 2,929,284
| | | | 2,929,284
| | |
| 1,167,000
| | | Emerson Electric Company 0.08% due 05/29/14 | | | 1,166,927
| | | | 1,166,927
| | |
| 1,378,000
| | | Emerson Electric Company 0.08% due 05/30/14 | | | 1,377,911
| | | | 1,377,911
| | |
| 1,861,000
| | | Emerson Electric Company 0.10% due 06/02/14 | | | 1,860,835
| | | | 1,860,835
| | |
| 1,316,000
| | | Emerson Electric Company 0.10% due 06/04/14 | | | 1,315,876
| | | | 1,315,876
| | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
87
PRINCIPAL | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
U.S. Commercial Paper — 11.16% — (continued) | | | |
$ | 2,010,000
| | | Google, Inc. 0.06% due 05/21/14 | | $ | 2,009,933
| | | $ | 2,009,933
| | |
| 1,342,000
| | | Google, Inc. 0.06% due 06/19/14 | | | 1,341,890
| | | | 1,341,890
| | |
| 4,394,000
| | | Google, Inc. 0.08% due 05/14/14 | | | 4,393,873
| | | | 4,393,873
| | |
| 2,610,000
| | | Google, Inc. 0.08% due 07/09/14 | | | 2,609,600
| | | | 2,609,660
| | |
| 13,232,000
| | | Honeywell International, Inc. 0.08% due 05/13/14 | | | 13,231,647
| | | | 13,231,647
| | |
| 3,948,000
| | | Honeywell International, Inc. 0.12% due 06/09/14 | | | 3,947,487
| | | | 3,947,487
| | |
| 1,696,000
| | | Honeywell International, Inc. 0.12% due 06/19/14 | | | 1,695,723
| | | | 1,695,723
| | |
| 4,483,000
| | | Intercontinental Exchange Group, Inc. 0.18% due 05/01/14 | | | 4,483,000
| | | | 4,483,000
| | |
| 1,244,000
| | | International Business Machines Corporation 0.07% due 05/07/14 | | | 1,243,986
| | | | 1,243,986
| | |
| 2,487,000
| | | International Business Machines Corporation 0.07% due 05/13/14 | | | 2,486,942
| | | | 2,486,942
| | |
| 2,314,000
| | | Johnson & Johnson 0.05% due 05/06/14 | | | 2,313,984
| | | | 2,313,984
| | |
| 1,157,000
| | | Johnson & Johnson 0.05% due 05/08/14 | | | 1,156,989
| | | | 1,156,989
| | |
| 14,506,000
| | | Merck & Company, Inc. 0.06% due 05/01/14 | | | 14,506,000
| | | | 14,506,000
| | |
| 4,813,000
| | | Merck & Company, Inc. 0.06% due 05/09/14 | | | 4,812,936
| | | | 4,812,936
| | |
| 8,574,000
| | | Merck & Company, Inc. 0.07% due 05/05/14 | | | 8,573,933
| | | | 8,573,933
| | |
| 2,010,000
| | | Merck & Company, Inc. 0.08% due 06/02/14 | | | 2,009,857
| | | | 2,009,857
| | |
| 19,385,000
| | | Merck & Company, Inc. 0.08% due 06/13/14 | | | 19,383,148
| | | | 19,383,148
| | |
| 2,265,000
| | | Parker-Hannifin Corporation 0.08% due 05/02/14 | | | 2,264,995
| | | | 2,264,995
| | |
| 2,397,000
| | | Parker-Hannifin Corporation 0.08% due 05/06/14 | | | 2,396,973
| | | | 2,396,973
| | |
| 2,088,000
| | | PepsiCo, Inc. 0.06% due 06/06/14 | | | 2,087,875
| | | | 2,087,875
| | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
88
Consolidated Schedule of Investments | Six-Month Period Ended April 30, 2014 (unaudited)
PRINCIPAL | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
U.S. Commercial Paper — 11.16% — (continued) | | | |
$ | 2,335,000
| | | PepsiCo, Inc. 0.07% due 05/07/14 | | $ | 2,334,973
| | | $ | 2,334,973
| | |
| 2,364,000
| | | PepsiCo, Inc. 0.07% due 06/10/14 | | | 2,363,816
| | | | 2,363,816
| | |
| 4,593,000
| | | Pfizer, Inc. 0.06% due 05/22/14 | | | 4,592,839
| | | | 4,592,839
| | |
| 3,852,000
| | | Pfizer, Inc. 0.07% due 05/14/14 | | | 3,851,903
| | | | 3,851,903
| | |
| 4,881,000
| | | Pfizer, Inc. 0.08% due 06/11/14 | | | 4,880,555
| | | | 4,880,555
| | |
| 4,881,000
| | | Pfizer, Inc. 0.09% due 06/09/14 | | | 4,880,524
| | | | 4,880,524
| | |
| 2,441,000
| | | Philip Morris International, Inc. 0.05% due 05/27/14 | | | 2,440,912
| | | | 2,440,912
| | |
| 2,297,000
| | | Philip Morris International, Inc. 0.06% due 05/20/14 | | | 2,296,927
| | | | 2,296,927
| | |
| 1,819,000
| | | Philip Morris International, Inc. 0.07% due 06/09/14 | | | 1,818,862
| | | | 1,818,862
| | |
| 2,268,000
| | | Philip Morris International, Inc. 0.07% due 06/11/14 | | | 2,267,819
| | | | 2,267,819
| | |
| 1,167,000
| | | Philip Morris International, Inc. 0.08% due 06/13/14 | | | 1,166,889
| | | | 1,166,889
| | |
| 2,610,000
| | | Philip Morris International, Inc. 0.09% due 06/18/14 | | | 2,609,687
| | | | 2,609,687
| | |
| 2,761,000
| | | Philip Morris International, Inc. 0.09% due 06/23/14 | | | 2,760,634
| | | | 2,760,634
| | |
| 3,311,000
| | | Philip Morris International, Inc. 0.10% due 07/15/14 | | | 3,310,310
| | | | 3,309,735
| | |
| 746,000
| | | Precision Castparts Corporation 0.09% due 05/09/14 | | | 745,985
| | | | 745,985
| | |
| 5,194,000
| | | Precision Castparts Corporation 0.09% due 06/12/14 | | | 5,193,455
| | | | 5,193,455
| | |
| 671,000
| | | Precision Castparts Corporation 0.10% due 06/03/14 | | | 670,938
| | | | 670,938
| | |
| 1,758,000
| | | Precision Castparts Corporation 0.10% due 06/11/14 | | | 1,757,800
| | | | 1,757,800
| | |
| 2,010,000
| | | Procter & Gamble Company 0.08% due 05/19/14 | | | 2,009,920
| | | | 2,009,920
| | |
| 2,101,000
| | | Procter & Gamble Company 0.08% due 06/05/14 | | | 2,100,837
| | | | 2,100,837
| | |
| 1,736,000
| | | Procter & Gamble Company 0.09% due 05/20/14 | | | 1,735,918
| | | | 1,735,918
| | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
89
PRINCIPAL | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
U.S. Commercial Paper — 11.16% — (continued) | | | |
$ | 6,807,000
| | | Procter & Gamble Company 0.09% due 05/21/14 | | $ | 6,806,660
| | | $ | 6,806,660
| | |
| 7,334,000
| | | Procter & Gamble Company 0.10% due 07/21/14 | | | 7,332,350
| | | | 7,332,747
| | |
| 2,013,000
| | | Schlumberger Investments SA 0.10% due 06/16/14 | | | 2,012,743
| | | | 2,012,743
| | |
| 7,472,000
| | | United Healthcare Company 0.14% due 05/01/14 | | | 7,472,000
| | | | 7,472,000
| | |
| 3,385,000
| | | United Healthcare Company 0.18% due 05/14/14 | | | 3,384,780
| | | | 3,384,780
| | |
| 6,243,000
| | | United Healthcare Company 0.18% due 05/15/14 | | | 6,242,563
| | | | 6,242,563
| | |
| 7,472,000
| | | United Parcel Service, Inc. 0.01% due 05/01/14 | | | 7,472,000
| | | | 7,472,000
| | |
| 3,001,000
| | | Wal-Mart Stores, Inc. 0.07% due 05/14/14 | | | 3,000,924
| | | | 3,000,924
| | |
| 3,200,000
| | | Wal-Mart Stores, Inc. 0.08% due 05/12/14 | | | 3,199,922
| | | | 3,199,922
| | |
| 1,470,000
| | | Wal-Mart Stores, Inc. 0.11% due 05/05/14 | | | 1,469,982
| | | | 1,469,982
| | |
| 4,447,000
| | | Walt Disney Company 0.06% due 05/23/14 | | | 4,446,837
| | | | 4,446,837
| | |
| 2,256,000
| | | Walt Disney Company 0.07% due 05/15/14 | | | 2,255,939
| | | | 2,255,939
| | |
| 2,728,000
| | | Walt Disney Company 0.07% due 06/19/14 | | | 2,727,740
| | | | 2,727,740
| | |
| 567,000
| | | Walt Disney Company 0.07% due 07/15/14 | | | 566,917
| | | | 566,879
| | |
| 11,045,000
| | | Walt Disney Company 0.08% due 07/15/14 | | | 11,043,159
| | | | 11,042,646
| | |
| 2,111,000
| | | WellPoint, Inc. 0.16% due 05/01/14 | | | 2,111,000
| | | | 2,111,000
| | |
| 963,000
| | | WellPoint, Inc. 0.16% due 05/02/14 | | | 962,996
| | | | 962,996
| | |
| 1,926,000
| | | WellPoint, Inc. 0.16% due 05/07/14 | | | 1,925,949
| | | | 1,925,949
| | |
Total U.S. Commercial Paper | | | 353,970,267 | | | | 353,968,444 | | |
Total Commercial Paper | | | 494,055,676 | | | | 494,053,334 | | |
Total Investment Portfolio Excluding Options Written — 100.11% | | $ | 2,461,617,822 | | | $ | 3,174,031,735 | | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
90
Consolidated Schedule of Investments | Six-Month Period Ended April 30, 2014 (unaudited)
CONTRACTS | | | | STRIKE PRICE | | EXPIRATION DATE | | VALUE (NOTE 1) | |
Covered Call Options Written — (0.01)% | |
| 1,000 | | | Rofin-Sinar Technologies, Inc. (Premium Received $121,808) | | $ | 22.50 | | | June 2014 | | $ | (172,500 | ) | |
Total Investments — 100.10% (Cost: $2,461,496,014) | | | | | | | | | 3,173,859,235 | | |
Liabilities in Excess of Other Assets — (0.10)% | | | | | | | | | (3,136,501 | ) | |
Net Assets — 100.00% | | | | | | | | $ | 3,170,722,734 | | |
(a) Non-income producing security/commodity.
(b) Security is deemed illiquid. At April 30, 2014, the value of these securities amounted to $6,154,494 or 0.20% of net assets.
(c) An affiliate of the Fund as defined by the Investment Company Act of 1940. An affiliate is defined as a company in which the Fund directly or indirectly owns, controls, or holds power to vote 5% or more of the outstanding voting securities.
(d) At April 30, 2014, all or a portion of this security was segregated to cover collateral requirement for options.
(e) Securities valued in accordance with fair value procedures under the supervision of the Board of Trustees, representing $4,797,186 or 0.15% of net assets.
(f) This security is convertible until December 31, 2049.
(g) Payment-in-kind security.
(h) All or a portion of the security is exempt from registration under the Securities Act of 1933. Rule 144A securities may only be sold to qualified institutional buyers, pursuant to Rule 144A under the Securities Act of 1933.
At April 30, 2014, cost is substantially identical for both book and federal income tax purposes. Net unrealized appreciation consisted of:
Gross unrealized appreciation | | $ | 819,420,881 | | |
Gross unrealized depreciation | | | (107,057,660 | ) | |
Net unrealized appreciation | | $ | 712,363,221 | | |
Abbreviations used in this schedule include:
ADR — American Depository Receipt
PLC — Public Limited Company
REIT — Real Estate Investment Trust
Currencies
USD — United States Dollar
Affiliated Securities | |
AFFILIATED SECURITIES | | SHARES OCTOBER 31, 2013 | | GROSS ADDITIONS | | GROSS REDUCTIONS | | SHARES APRIL 30, 2014 | | MARKET VALUE APRIL 30, 2014 | | REALIZED GAIN/(LOSS) | | DIVIDEND INCOME | |
Comtech Telecommu- nications Corporation | | | 16,709 | | | | 799,383 | | | | — | | | | 816,092 | | | $ | 25,910,921 | | | $ | — | | | $ | 173,583 | | |
Rofin-Sinar Technologies, Inc. | | | 1,840,310 | | | | — | | | | 72,345 | | | | 1,767,965 | | | | 39,248,823 | | | | (240,203 | ) | | | — | | |
Total | | | | | | | | | | $ | 65,159,744 | | | $ | (240,203 | ) | | $ | 173,583 | | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
91
INDUSTRY DIVERSIFICATION FOR PORTFOLIO HOLDINGS | | PERCENT OF NET ASSETS | |
U.S. Common Stocks | |
Consumer Discretionary | | | 5.27 | % | |
Consumer Staples | | | 2.99 | | |
Energy | | | 6.38 | | |
Financials | | | 16.09 | | |
Health Care | | | 1.99 | | |
Industrials | | | 8.72 | | |
Information Technology | | | 19.38 | | |
Materials | | | 3.11 | | |
Utilities | | | 0.36 | | |
Total U.S. Common Stocks | | | 64.29 | | |
International Common Stocks | |
Energy | | | 2.53 | | |
Financials | | | 0.71 | | |
Health Care | | | 0.98 | | |
Materials | | | 5.07 | | |
Total International Common Stocks | | | 9.29 | | |
U.S. Preferred Stock | |
Consumer Staples | | | 0.15 | | |
Total U.S. Preferred Stock | | | 0.15 | | |
Investment Company | | | 0.00 | | |
Warrant | | | 0.53 | | |
Commodity | | | 4.88 | | |
International Corporate Bond | |
Materials | | | 0.12 | | |
Total International Corporate Bond | | | 0.12 | | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
92
Consolidated Schedule of Investments | Six-Month Period Ended April 30, 2014 (unaudited)
INDUSTRY DIVERSIFICATION FOR PORTFOLIO HOLDINGS — (CONTINUED) | | PERCENT OF NET ASSETS | |
U.S. Corporate Bonds | |
Consumer Discretionary | | | 0.02 | % | |
Energy | | | 0.80 | | |
Industrials | | | 0.19 | | |
Total U.S. Corporate Bonds | | | 1.01 | | |
U.S. Treasury Bills | | | 4.26 | | |
Commercial Paper | |
International Commercial Paper | | | 4.42 | | |
U.S. Commercial Paper | | | 11.16 | | |
Total Commercial Paper | | | 15.58 | | |
Covered Call Options Written | | | (0.01 | ) | |
Total Investments | | | 100.10 | % | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
93
Fund Overview | Data as of April 30, 2014 (unaudited)
INVESTMENT OBJECTIVE
The First Eagle Gold Fund seeks to provide investors the opportunity to participate in the investment characteristics of gold (and, to a limited extent, other precious metals) for a portion of their overall investment portfolio. In seeking to achieve its objective, the Fund invests primarily in gold, gold related securities and issuers principally engaged in the gold industry.
Average Annual Returns | |
| | ONE-YEAR | | FIVE-YEARS | | TEN-YEARS | |
First Eagle Gold Fund (A Shares) | |
without sales load | | | –14.14 | % | | | –0.80 | % | | | 6.42 | % | |
with sales load | | | –18.44 | | | | –1.81 | | | | 5.87 | | |
FTSE Gold Mines Index | | | –19.40 | | | | –7.89 | | | | 0.81 | | |
MSCI World Index | | | 16.62 | | | | 16.03 | | | | 7.17 | | |
Consumer Price Index | | | 1.95 | | | | 2.14 | | | | 2.35 | | |
Countries** | |
Canada | | | 36.21 | % | |
United States | | | 31.53 | | |
South Africa | | | 9.55 | | |
Mexico | | | 6.54 | | |
Africa | | | 6.22 | | |
Australia | | | 4.89 | | |
Bermuda | | | 1.15 | | |
Channel Island | | | 0.21 | | |
* Asset Allocations and Countries percentages are based on total investments in the portfolio.
** Country allocations reflect country of the issuer (not currency of issue) and exclude short term investments. Bonds of non-U.S. issuers may be U.S. dollar denominated.
The Fund's portfolio composition is subject to change at any time.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
94
Growth of a $10,000 Initial Investment
Performance data quoted herein represents past performance and should not be considered indicative of future results. Performance data quoted herein does not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the sale of Fund shares. The average annual returns shown above are historical and reflect changes in share price, reinvested dividends and are net of expenses.
The average annual returns for Class A Shares with a sales charge give effect to the deduction of the maximum sales charge of 5.00%.
The MSCI World Index is a widely followed, unmanaged group of stocks from 23 international markets and is not available for purchase. The index provides total returns in U.S. dollars with net dividends reinvested. The FTSE Gold Mines Index Series is designed to reflect the performance of the worldwide market in the shares of companies whose principal activity is the mining of gold. The FTSE Gold Mines Index encompasses all gold mining companies that have a sustainable, attributable gold production of at least 300,000 ounces a year and that derive 51% or more of their revenue from mined gold. The Index is unmanaged, is available with dividends reinvested and is not available for purchase. The Consumer Price Index (CPI) represents the change in price of all goods and services purchased for consumption by urban households.
Top 10 Holdings* | |
Gold Bullion (United States) | | | 18.76 | % | |
Randgold Resources Limited ADR (Africa) | | | 6.22 | | |
AngloGold Ashanti Limited ADR (South Africa) | | | 5.67 | | |
Goldcorp, Inc. (Canada) | | | 5.47 | | |
Agnico-Eagle Mines Limited (Canada) | | | 5.38 | | |
Fresnillo PLC (Mexico) | | | 4.32 | | |
Tahoe Resources, Inc. (United States) | | | 4.30 | | |
Royal Gold, Inc. (United States) | | | 4.25 | | |
Newmont Mining Corporation (United States) | | | 4.19 | | |
Barrick Gold Corporation (Canada) | | | 4.06 | | |
Total | | | 62.62 | % | |
* Holdings in cash, commercial paper and other short term cash equivalents have been excluded. Percentages are based on total net assets.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
95
SHARES | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
Common Stocks — 75.37% | | | |
International Common Stocks — 62.63% | | | |
Africa 6.22% | | | |
| 1,050,128 | | | Randgold Resources Limited, ADR | | $ | 17,918,840 | | | $ | 84,083,749 | | |
Australia 4.89% | | | |
| 5,273,646 | | | Newcrest Mining Limited (a) | | | 156,638,162 | | | | 51,245,824 | | |
| 6,086,505 | | | Regis Resources Limited | | | 26,575,698 | | | | 13,740,106 | | |
| 7,991,615 | | | St. Augustine Gold and Copper Limited (a)(b) | | | 8,188,305 | | | | 1,148,377 | | |
| | | 191,402,165 | | | | 66,134,307 | | |
Bermuda 1.15% | | | |
| 4,373,950 | | | Continental Gold Limited (a) | | | 27,708,125 | | | | 15,563,528 | | |
Canada 34.08% | | | |
| 2,991,720 | | | Goldcorp, Inc. | | | 92,012,899 | | | | 73,955,318 | | |
| 2,461,228 | | | Agnico-Eagle Mines Limited | | | 93,909,918 | | | | 72,688,245 | | |
| 3,139,764 | | | Barrick Gold Corporation | | | 83,670,622 | | | | 54,851,677 | | |
| 12,730,772 | | | Kinross Gold Corporation (a) | | | 155,351,273 | | | | 51,686,934 | | |
| 968,033 | | | Franco-Nevada Corporation | | | 16,689,933 | | | | 46,659,535 | | |
| 6,345,940 | | | Osisko Mining Corporation (a)(c) | | | 44,207,706 | | | | 45,450,143 | | |
| 6,443,257 | | | Eldorado Gold Corporation | | | 64,771,164 | | | | 39,269,155 | | |
| 6,359,731 | | | New Gold, Inc. (a) | | | 15,482,255 | | | | 32,145,349 | | |
| 1,516,060 | | | Detour Gold Corporation (a)(c) | | | 25,395,963 | | | | 15,090,748 | | |
| 2,991,219 | | | IAMGOLD Corporation | | | 11,101,092 | | | | 10,425,123 | | |
| 3,122,100 | | | Alacer Gold Corporation | | | 13,571,110 | | | | 7,463,074 | | |
| 1,071,100 | | | Primero Mining Corporation (a) | | | 6,046,087 | | | | 6,772,249 | | |
| 1,300,000 | | | Dundee Precious Metals, Inc. (a)(c) | | | 1,969,513 | | | | 4,317,321 | | |
| | | 624,179,535 | | | | 460,774,871 | | |
Channel Island 0.21% | | | |
| 3,066,400 | | | Lydian International Limited (a) | | | 6,767,759 | | | | 2,825,659 | | |
Mexico 6.54% | | | |
| 4,063,583 | | | Fresnillo PLC | | | 15,751,246 | | | | 58,420,991 | | |
| 1,289,602 | | | Industrias Peñoles S.A.B. de C.V. | | | 2,490,226 | | | | 30,024,259 | | |
| | | 18,241,472 | | | | 88,445,250 | | |
South Africa 9.54% | | | |
| 4,235,849 | | | AngloGold Ashanti Limited, ADR (a) | | | 135,141,695 | | | | 76,668,867 | | |
| 11,995,180 | | | Gold Fields Limited, ADR | | | 102,368,061 | | | | 50,739,611 | | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
96
Consolidated Schedule of Investments | Six-Month Period Ended April 30, 2014 (unaudited)
SHARES | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
International Common Stocks — 62.63% — (continued) | | | |
South Africa 9.54% — (continued) | | | |
| 485,357 | | | Harmony Gold Mining Company Limited, ADR (a) | | $ | 3,038,857 | | | $ | 1,596,825 | | |
| | | 240,548,613 | | | | 129,005,303 | | |
Total International Common Stocks | | | 1,126,766,509 | | | | 846,832,667 | | |
U.S. Common Stocks — 12.74% | | | |
Materials 12.74% | | | |
| 2,609,390 | | | Tahoe Resources, Inc. (a)(c) | | | 35,373,417 | | | | 58,065,802 | | |
| 867,401 | | | Royal Gold, Inc. | | | 14,962,981 | | | | 57,421,946 | | |
| 2,283,277 | | | Newmont Mining Corporation | | | 84,874,657 | | | | 56,693,768 | | |
Total U.S. Common Stocks | | | 135,211,055 | | | | 172,181,516 | | |
Total Common Stocks | | | 1,261,977,564 | | | | 1,019,014,183 | | |
Investment Company — 0.02% | | | |
| 279,931 | | | State Street Institutional U.S. Government Money Market Fund, Institutional Class | | | 279,931 | | | | 279,931 | | |
OUNCES | | | | | | | |
Commodity — 18.76% | | | |
| 196,606 | | | Gold bullion (a) | | | 129,045,676 | | | | 253,654,900 | | |
PRINCIPAL | | | | | | | |
International Convertible Bonds — 2.11% | | | |
Canada 2.11% | | | |
| 30,000,000 USD | | | Detour Gold Corporation 5.50% due 11/30/17 (d)(e)(f) | | | 30,000,000
| | | | 28,575,000
| | |
South Africa 0.00% | | | |
| 2,000,000 CAD | | | Great Basin Gold Limited 8.00% due 11/30/14 (c)(d)(e)(g)(h) | | | 1,913,534
| | | | 0
| | |
Total International Convertible Bonds | | | 31,913,534 | | | | 28,575,000 | | |
Commercial Paper — 3.70% | | | |
International Commercial Paper — 1.50% | | | |
France 0.14% | | | |
| 1,946,000 USD | | | Électricité de France SA 0.09% due 06/02/14 | | | 1,945,844
| | | | 1,945,844
| | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
97
PRINCIPAL | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
International Commercial Paper — 1.50% — (continued) | | | |
Germany 0.22% | | | |
| 2,919,000 USD | | | BASF AG 0.08% due 06/17/14 | | $ | 2,918,695
| | | $ | 2,918,695
| | |
Ireland 0.41% | | | |
| 5,584,000 USD | | | Ingersoll-Rand Global Holding Company 0.15% due 05/01/14 | | | 5,584,000
| | | | 5,584,000
| | |
Japan 0.52% | | | |
| 6,980,000 USD | | | Hitachi Limited 0.20% due 05/01/14 | | | 6,980,000
| | | | 6,980,000
| | |
United Kingdom 0.21% | | | |
| 2,919,000 USD | | | GlaxoSmithKline PLC 0.10% due 06/02/14 | | | 2,918,741
| | | | 2,918,741
| | |
Total International Commercial Paper | | | 20,347,280 | | | | 20,347,280 | | |
U.S. Commercial Paper — 2.20% | | | |
$ | 6,980,000
| | | AON Corporation 0.20% due 05/01/14 | | | 6,980,000
| | | | 6,980,000
| | |
| 1,438,000
| | | Con Edison, Inc. 0.16% due 05/01/14 | | | 1,438,000
| | | | 1,438,000
| | |
| 4,188,000
| | | Intercontinental Exchange Group, Inc. 0.18% due 05/01/14 | | | 4,188,000
| | | | 4,188,000
| | |
| 6,980,000
| | | United Healthcare Company 0.14% due 05/01/14 | | | 6,980,000
| | | | 6,980,000
| | |
| 6,980,000
| | | United Parcel Service, Inc. 0.01% due 05/01/14 | | | 6,980,000
| | | | 6,980,000
| | |
| 1,168,000
| | | Walt Disney Company 0.06% due 05/22/14 | | | 1,167,959
| | | | 1,167,959
| | |
| 1,946,000
| | | Walt Disney Company 0.06% due 05/23/14 | | | 1,945,929
| | | | 1,945,929
| | |
Total U.S. Commercial Paper | | | 29,679,888 | | | | 29,679,888 | | |
Total Commercial Paper | | | 50,027,168 | | | | 50,027,168 | | |
Total Investments — 99.96% | | $ | 1,473,243,873 | | | | 1,351,551,182 | | |
Other Assets in Excess of Liabilities — 0.04% | | | | | 482,474 | | |
Net Assets — 100.00% | | | | $ | 1,352,033,656 | | |
(a) Non-income producing security/commodity.
(b) Represents a security registered under Regulation D. Regulation D provides exemptions for small companies to offer and sell their securities without having to register the securities under the Securities Act of 1933.
(c) All or a portion of the security is exempt from registration under the Securities Act of 1933. Rule 144A securities may only be sold to qualified institutional buyers, pursuant to Rule 144A under the Securities Act of 1933.
(d) Securities valued in accordance with fair value procedures under the supervision of the Board of Trustees, representing $28,575,000 or 2.11% of net assets.
See Notes to Financial Statements.
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98
Consolidated Schedule of Investments | Six-Month Period Ended April 30, 2014 (unaudited)
(e) Security is deemed illiquid. At April 30, 2014, the value of these securities amounted to $28,575,000 or 2.11% of net assets.
(f) This security is convertible until November 30, 2017.
(g) Issuer is in default.
(h) This security is convertible until November 30, 2014.
At April 30, 2014, cost is substantially identical for both book and federal income tax purposes. Net unrealized depreciation consisted of:
Gross unrealized appreciation | | $ | 377,078,364 | | |
Gross unrealized depreciation | | | (498,771,055 | ) | |
Net unrealized depreciation | | $ | (121,692,691 | ) | |
Abbreviations used in this schedule include:
ADR — American Depository Receipt
PLC — Public Limited Company
Currencies
CAD — Canadian Dollar
USD — United States Dollar
INDUSTRY DIVERSIFICATION FOR PORTFOLIO HOLDINGS | | PERCENT OF NET ASSETS | |
International Common Stocks | |
Materials | | | 62.63 | % | |
Total International Common Stocks | | | 62.63 | | |
U.S. Common Stocks | |
Materials | | | 12.74 | | |
Total U.S. Common Stocks | | | 12.74 | | |
Investment Company | | | 0.02 | | |
Commodity | | | 18.76 | | |
International Convertible Bonds | |
Materials | | | 2.11 | | |
Total International Convertible Bonds | | | 2.11 | | |
Commercial Paper | |
International Commercial Paper | | | 1.50 | | |
U.S. Commercial Paper | | | 2.20 | | |
Total Commercial Paper | | | 3.70 | | |
Total Investments | | | 99.96 | % | |
See Notes to Financial Statements.
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99
Fund Overview | Data as of April 30, 2014 (unaudited)
INVESTMENT OBJECTIVE
First Eagle Global Income Builder seeks current income generation and long-term growth of capital. Fundamental research drives the identification of income-producing investment opportunities across all market environments.
Average Annual Returns^ | |
| | ONE-YEAR | | THREE-YEARS | | SINCE INCEPTION (05-01-12) | |
First Eagle Global Income Builder (A Shares) | |
without sales load | | | 12.17 | % | | | — | | | | 12.21 | % | |
with sales load | | | 6.59 | | | | — | | | | 9.35 | | |
MSCI World Index | | | 16.62 | | | | 9.08 | % | | | 16.49 | | |
Barclays Capital U.S. Aggregate Bond Index | | | –0.26 | | | | 3.60 | | | | 1.75 | | |
Countries** | |
United States | | | 40.42 | % | |
France | | | 11.25 | | |
Canada | | | 7.73 | | |
United Kingdom | | | 3.08 | | |
Hong Kong | | | 2.50 | | |
Switzerland | | | 2.49 | | |
Japan | | | 2.44 | | |
Singapore | | | 2.10 | | |
Bermuda | | | 2.05 | | |
Sweden | | | 1.95 | | |
Australia | | | 1.69 | | |
Italy | | | 1.63 | | |
Netherlands | | | 1.48 | | |
Austria | | | 1.43 | | |
Ireland | | | 1.21 | | |
Germany | | | 1.14 | | |
Norway | | | 1.10 | | |
Israel | | | 0.86 | | |
Belgium | | | 0.83 | | |
South Korea | | | 0.57 | | |
South Africa | | | 0.54 | | |
Spain | | | 0.44 | | |
Luxembourg | | | 0.40 | | |
Russia | | | 0.37 | | |
Mexico | | | 0.25 | | |
Romania | | | 0.25 | | |
Thailand | | | 0.10 | | |
Mauritius | | | 0.09 | | |
Chile | | | 0.04 | | |
^ Performance figures reflect certain fee waivers and/or expense limitations, without which returns may have been lower.
* Asset Allocations and Countries percentages are based on total investments in the portfolio.
** Country allocations reflect country of the issuer (not currency of issue) and exclude short term investments. Bonds of non-U.S. issuers may be U.S. dollar denominated.
The Fund's portfolio composition is subject to change at any time.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
100
Global Income Builder Fund
Growth of a $10,000 Initial Investment
Performance data quoted herein represents past performance and should not be considered indicative of future results. Performance data quoted herein does not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the sale of Fund shares. The average annual returns shown above are historical and reflect changes in share price, reinvested dividends and are net of expenses.
The average annual returns for Class A Shares give effect to the deduction of the maximum sales charge of 5.00%.
The MSCI World Index is a widely followed, unmanaged group of stocks from 23 international markets and is not available for purchase. The index provides total returns in U.S. dollars with net dividends reinvested. The Barclays Capital U.S. Aggregate Bond Index is a broad-based benchmark that measure the investment grade, U.S. dollar-denominated, fixed-rate taxable bond market, including Treasuries, government-related and corporate securities, MBS (agency fixed-rate and hybrad ARM passthroughs, ABS, and CMBS. The index is presented here for comparison purposes only. One cannot invest directly in an index.
Top 10 Holdings* | |
Bouygues SA (French industrial company) | | | 1.85 | % | |
Nestlé SA (Swiss food product manufacturer) | | | 1.68 | | |
Microsoft Corporation (U.S. software developer) | | | 1.59 | | |
Sysco Corporation (U.S. food services distributor) | | | 1.51 | | |
Sanofi (French pharmaceutical company) | | | 1.49 | | |
GlaxoSmithKline PLC (British pharmaceutical company) | | | 1.45 | | |
Cisco Systems, Inc. (U.S. computer communications company) | | | 1.44 | | |
Cenovus Energy, Inc. (Canadian energy company) | | | 1.36 | | |
Roundy's Supermarkets, Inc. Term Loan B (U.S. wholesale grocery company) | | | 1.32 | | |
ConocoPhillips (U.S. oil & gas company) | | | 1.29 | | |
Total | | | 14.98 | % | |
* Holdings in cash, commercial paper and other short term cash equivalents have been excluded. Percentages are based on total net assets.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
101
First Eagle Global Income Builder Fund
SHARES | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
Common Stocks — 52.77% | | | |
U.S. Common Stocks — 14.20% | | | |
Consumer Discretionary 0.49% | | | |
| 76,318 | | | H&R Block, Inc. | | $ | 1,517,369 | | | $ | 2,168,958 | | |
| 19,377 | | | McDonald's Corporation | | | 1,941,148 | | | | 1,964,440 | | |
| | | 3,458,517 | | | | 4,133,398 | | |
Consumer Staples 1.82% | | | |
| 350,103 | | | Sysco Corporation | | | 11,719,151 | | | | 12,754,252 | | |
| 39,210 | | | Colgate-Palmolive Company | | | 2,123,076 | | | | 2,638,833 | | |
| | | 13,842,227 | | | | 15,393,085 | | |
Energy 1.75% | | | |
| 146,700 | | | ConocoPhillips | | | 9,016,018 | | | | 10,901,277 | | |
| 205,945 | | | San Juan Basin Royalty Trust | | | 3,329,492 | | | | 3,935,609 | | |
| | | 12,345,510 | | | | 14,836,886 | | |
Financials 2.61% | | | |
| 196,974 | | | Plum Creek Timber Company, Inc., REIT | | | 8,731,162 | | | | 8,588,066 | | |
| 154,153 | | | Weyerhaeuser Company, REIT | | | 4,228,905 | | | | 4,601,467 | | |
| 93,235 | | | Rayonier, Inc., REIT | | | 4,566,556 | | | | 4,204,899 | | |
| 77,199 | | | BB&T Corporation | | | 2,620,728 | | | | 2,881,839 | | |
| 38,427 | | | Cincinnati Financial Corporation | | | 1,622,992 | | | | 1,872,932 | | |
| | | 21,770,343 | | | | 22,149,203 | | |
Industrials 1.43% | | | |
| 40,521 | | | Lockheed Martin Corporation | | | 3,882,354 | | | | 6,651,117 | | |
| 27,482 | | | 3M Company | | | 2,813,404 | | | | 3,822,472 | | |
| 13,571 | | | Northrop Grumman Corporation | | | 970,976 | | | | 1,649,012 | | |
| | | 7,666,734 | | | | 12,122,601 | | |
Information Technology 5.76% | | | |
| 333,862 | | | Microsoft Corporation | | | 10,682,144 | | | | 13,488,025 | | |
| 528,966 | | | Cisco Systems, Inc. | | | 11,265,878 | | | | 12,224,404 | | |
| 389,757 | | | Intel Corporation | | | 9,039,304 | | | | 10,402,614 | | |
| 185,219 | | | Comtech Telecommunications Corporation | | | 5,815,888
| | | | 5,880,703
| | |
| 107,263 | | | Linear Technology Corporation | | | 3,880,478 | | | | 4,773,204 | | |
| 26,906 | | | Automatic Data Processing, Inc. | | | 1,615,669 | | | | 2,097,592 | | |
| | | 42,299,361 | | | | 48,866,542 | | |
Materials 0.34% | | | |
| 116,150 | | | Newmont Mining Corporation | | | 4,145,856 | | | | 2,884,004 | | |
Total U.S. Common Stocks | | | 105,528,548 | | | | 120,385,719 | | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
102
Schedule of Investments | Six-Month Period Ended April 30, 2014 (unaudited)
SHARES | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
International Common Stocks — 38.57% | | | |
Australia 0.16% | | | |
| 141,134 | | | Newcrest Mining Limited (a) | | $ | 2,841,934 | | | $ | 1,371,447 | | |
Austria 1.46% | | | |
| 73,049 | | | Mayr Melnhof Karton AG | | | 8,435,649 | | | | 9,294,302 | | |
| 65,355 | | | OMV AG | | | 2,581,646 | | | | 3,056,946 | | |
| | | 11,017,295 | | | | 12,351,248 | | |
Belgium 0.85% | | | |
| 71,277 | | | Groupe Bruxelles Lambert SA | | | 5,674,861 | | | | 7,205,830 | | |
Bermuda 1.32% | | | |
| 164,400 | | | Jardine Matheson Holdings Limited | | | 8,770,610 | | | | 10,242,120 | | |
| 79,961 | | | Hiscox Limited | | | 895,926 | | | | 953,143 | | |
| | | 9,666,536 | | | | 11,195,263 | | |
Canada 4.14% | | | |
| 387,747 | | | Cenovus Energy, Inc. | | | 11,179,402 | | | | 11,543,228 | | |
| 262,048 | | | Goldcorp, Inc. | | | 7,232,291 | | | | 6,477,827 | | |
| 203,782 | | | Agnico-Eagle Mines Limited | | | 6,272,973 | | | | 6,018,360 | | |
| 651,746 | | | Penn West Petroleum Limited | | | 6,721,069 | | | | 5,904,819 | | |
| 142,933 | | | Potash Corporation of Saskatchewan, Inc. | | | 5,084,322
| | | | 5,168,457
| | |
| | | 36,490,057 | | | | 35,112,691 | | |
Chile 0.04% | | | |
| 14,373 | | | Cia Cervecerias Unidas SA, ADR | | | 329,357 | | | | 338,772 | | |
France 9.53% | | | |
| 349,185 | | | Bouygues SA | | | 10,674,368 | | | | 15,703,174 | | |
| 116,700 | | | Sanofi | | | 11,389,477 | | | | 12,631,724 | | |
| 147,803 | | | Total SA | | | 7,784,048 | | | | 10,556,200 | | |
| 92,488 | | | Ciments Francais SA | | | 5,425,254 | | | | 9,944,270 | | |
| 359,570 | | | Vivendi SA | | | 9,995,480 | | | | 9,647,743 | | |
| 155,130 | | | Compagnie de Saint-Gobain | | | 7,638,229 | | | | 9,473,962 | | |
| 154,674 | | | Carrefour SA | | | 4,800,689 | | | | 6,014,870 | | |
| 46,595 | | | Neopost SA | | | 2,694,780 | | | | 3,817,848 | | |
| 31,199 | | | Legrand SA | | | 1,379,979 | | | | 2,012,702 | | |
| 8,966 | | | Thermador Groupe | | | 805,285 | | | | 992,506 | | |
| | | 62,587,589 | | | | 80,794,999 | | |
Germany 1.16% | | | |
| 197,473 | | | Hamburger Hafen und Logistik AG | | | 4,717,771 | | | | 4,780,672 | | |
| 31,614 | | | Daimler AG | | | 1,738,748 | | | | 2,926,755 | | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
103
Global Income Builder Fund
SHARES | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
International Common Stocks — 38.57% — (continued) | | | |
Germany 1.16% — (continued) | | | |
| 86,689 | | | SMT Scharf AG | | $ | 2,476,978 | | | $ | 2,136,560 | | |
| | | 8,933,497 | | | | 9,843,987 | | |
Hong Kong 2.55% | | | |
| 5,799,000 | | | Mandarin Oriental International Limited | | | 9,878,323 | | | | 10,612,170 | | |
| 2,000,613 | | | Hopewell Holdings Limited | | | 6,819,481 | | | | 6,876,910 | | |
| 920,724 | | | Great Eagle Holdings Limited | | | 3,162,883 | | | | 3,283,656 | | |
| 67,700 | | | Guoco Group Limited | | | 589,955 | | | | 811,654 | | |
| | | 20,450,642 | | | | 21,584,390 | | |
Ireland 1.23% | | | |
| 333,811 | | | CRH PLC | | | 7,226,716 | | | | 9,671,483 | | |
| 191,056 | | | Beazley PLC | | | 741,977 | | | | 790,963 | | |
| | | 7,968,693 | | | | 10,462,446 | | |
Israel 0.33% | | | |
| 318,065 | | | Israel Chemicals Limited | | | 3,160,135 | | | | 2,818,053 | | |
Italy 1.66% | | | |
| 291,551 | | | Eni S.p.A | | | 6,874,033 | | | | 7,567,879 | | |
| 745,261 | | | Italcementi S.p.A. RSP | | | 1,986,357 | | | | 5,790,049 | | |
| 41,871 | | | Recordati S.p.A. | | | 355,865 | | | | 731,930 | | |
| | | 9,216,255 | | | | 14,089,858 | | |
Japan 2.49% | | | |
| 325,000 | | | Hoya Corporation | | | 7,018,128 | | | | 9,581,357 | | |
| 491,400 | | | Astellas Pharma, Inc. | | | 4,915,377 | | | | 5,465,073 | | |
| 164,300 | | | NKSJ Holdings, Inc. | | | 3,711,061 | | | | 4,096,451 | | |
| 25,300 | | | Ono Pharmaceutical Company Limited | | | 1,556,650 | | | | 2,002,025 | | |
| | | 17,201,216 | | | | 21,144,906 | | |
Mexico 0.26% | | | |
| 152,213 | | | Fresnillo PLC | | | 3,068,407 | | | | 2,188,323 | | |
Netherlands 1.51% | | | |
| 156,364 | | | Sligro Food Group NV | | | 5,333,077 | | | | 6,551,331 | | |
| 45,303 | | | HAL Trust | | | 5,857,372 | | | | 6,278,195 | | |
| | | 11,190,449 | | | | 12,829,526 | | |
Norway 0.93% | | | |
| 955,802 | | | Orkla ASA | | | 7,521,273 | | | | 7,893,330 | | |
Romania 0.26% | | | |
| 200,000 | | | Societatea Nationala de Gaze Naturale ROMGAZ SA, GDR (a)(b)(c) | | | 1,850,000
| | | | 2,160,000
| | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
104
Schedule of Investments | Six-Month Period Ended April 30, 2014 (unaudited)
SHARES | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
International Common Stocks — 38.57% — (continued) | | | |
Russia 0.37% | | | |
| 440,227 | | | Gazprom OAO, ADR | | $ | 2,978,832 | | | $ | 3,174,917 | | |
Singapore 1.86% | | | |
| 8,425,500 | | | Frasers Commercial Trust, REIT | | | 8,394,932 | | | | 8,535,044 | | |
| 9,659,398 | | | Asian Pay Television Trust | | | 6,212,576 | | | | 5,817,058 | | |
| 433,000 | | | Singapore Airport Terminal Services Limited | | | 975,995
| | | | 1,094,847
| | |
| 409,000 | | | Overseas Education, Ltd. | | | 277,915 | | | | 298,505 | | |
| | | 15,861,418 | | | | 15,745,454 | | |
South Korea 0.58% | | | |
| 61,649 | | | KT&G Corporation | | | 4,633,270 | | | | 4,940,034 | | |
Spain 0.45% | | | |
| 45,964 | | | Red Electrica Corporation SA | | | 2,563,826 | | | | 3,780,174 | | |
Sweden 0.79% | | | |
| 177,045 | | | Investor AB, Class 'A' | | | 4,869,998 | | | | 6,725,434 | | |
Switzerland 1.86% | | | |
| 184,663 | | | Nestlé SA | | | 12,801,657 | | | | 14,257,301 | | |
| 4,349 | | | APG SGA SA | | | 1,252,827 | | | | 1,497,270 | | |
| | | 14,054,484 | | | | 15,754,571 | | |
Thailand 0.10% | | | |
| 1,762,000 | | | Thai Beverage PCL | | | 512,015 | | | | 829,209 | | |
United Kingdom 2.68% | | | |
| 448,009 | | | GlaxoSmithKline PLC | | | 11,121,206 | | | | 12,344,742 | | |
| 1,569,104 | | | WM Morrison Supermarkets PLC | | | 6,682,294 | | | | 5,322,391 | | |
| 88,011 | | | British American Tobacco PLC | | | 4,723,118 | | | | 5,077,584 | | |
| | | 22,526,618 | | | | 22,744,717 | | |
Total International Common Stocks | | | 287,168,657 | | | | 327,079,579 | | |
Total Common Stocks | | | 392,697,205 | | | | 447,465,298 | | |
Closed-End Mutual Fund — 0.28% | | | |
Singapore 0.28% | | | |
| 27,958,200 | | | Macquarie International Infrastructure Fund Limited | | | 3,027,188
| | | | 2,408,460
| | |
OUNCES | | | | | | | |
Commodity — 0.93% | | | |
| 6,108 | | | Gold bullion (a) | | | 8,311,733 | | | | 7,880,606 | | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
105
Global Income Builder Fund
PRINCIPAL | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
Bonds — 30.73% | | | |
U.S. Corporate Bonds — 19.25% | | | |
$ | 10,171,000
| | | ACCO Brands Corporation 6.75% due 04/30/20 | | $ | 10,446,906
| | | $ | 10,628,695
| | |
| 852,000
| | | Air Medical Group Holdings, Inc. 9.25% due 11/01/18 | | | 885,363
| | | | 924,420
| | |
| 2,615,000
| | | Aleris International, Inc. 7.875% due 11/01/20 | | | 2,625,912
| | | | 2,647,688
| | |
| 881,000
| | | American Axle & Manufacturing, Inc. 6.25% due 03/15/21 | | | 881,000
| | | | 936,063
| | |
| 2,522,000
| | | American Axle & Manufacturing, Inc. 6.625% due 10/15/22 | | | 2,567,493
| | | | 2,745,827
| | |
| 2,475,000
| | | Basic Energy Services, Inc. 7.75% due 02/15/19 | | | 2,471,741
| | | | 2,660,625
| | |
| 4,975,000
| | | Basic Energy Services, Inc. 7.75% due 10/15/22 | | | 5,029,184
| | | | 5,478,719
| | |
| 8,500,000
| | | Bi-Lo LLC 9.25% due 02/15/19 (c) | | | 9,090,621
| | | | 9,265,000
| | |
| 1,435,000
| | | Carrizo Oil & Gas, Inc. 7.50% due 09/15/20 | | | 1,495,010
| | | | 1,578,500
| | |
| 900,000
| | | Carrizo Oil & Gas, Inc. 8.625% due 10/15/18 | | | 934,741
| | | | 967,500
| | |
| 4,000,000
| | | CCO Holdings LLC 7.375% due 06/01/20 | | | 4,321,306
| | | | 4,405,000
| | |
| 6,958,000
| | | CCO Holdings LLC 8.125% due 04/30/20 | | | 7,490,246
| | | | 7,645,102
| | |
| 6,624,000
| | | CenturyLink, Inc. Series 'W' 6.75% due 12/01/23 | | | 6,734,347
| | | | 7,137,360
| | |
| 2,960,000
| | | Citgo Petroleum Corporation 11.50% due 07/01/17 (c) | | | 3,161,410
| | | | 3,178,300
| | |
| 1,956,000
| | | Cloud Peak Energy Resources 6.375% due 03/15/24 | | | 1,985,920
| | | | 2,044,020
| | |
| 2,731,000
| | | CommScope, Inc. 8.25% due 01/15/19 (c) | | | 2,897,735
| | | | 2,969,962
| | |
| 5,634,000
| | | Crestwood Midstream Partners L.P. 6.125% due 03/01/22 (c) | | | 5,780,831
| | | | 5,915,700
| | |
| 10,500,000
| | | Drill Rigs Holdings, Inc. 6.50% due 10/01/17 (c) | | | 10,744,213
| | | | 10,893,750
| | |
| 3,000,000
| | | EP Energy LLC 9.375% due 05/01/20 | | | 3,401,485
| | | | 3,472,500
| | |
| 375,000
| | | Everest Acquisition LLC 6.875% due 05/01/19 | | | 388,990
| | | | 404,531
| | |
| 1,200,000
| | | Everest Acquisition LLC 7.75% due 09/01/22 | | | 1,215,111
| | | | 1,342,500
| | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
106
Schedule of Investments | Six-Month Period Ended April 30, 2014 (unaudited)
PRINCIPAL | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
U.S. Corporate Bonds — 19.25% — (continued) | | | |
$ | 7,140,000
| | | Frontier Communications Corporation 8.50% due 04/15/20 | | $ | 8,027,902
| | | $ | 8,349,337
| | |
| 5,328,000
| | | Harland Clarke Holdings Corporation 6.875% due 03/01/20 (c) | | | 5,367,133
| | | | 5,374,620
| | |
| 2,325,000
| | | Huntington Ingalls Industries, Inc. 7.125% due 03/15/21 | | | 2,486,704
| | | | 2,574,938
| | |
| 1,829,000
| | | Icahn Enterprises L.P. 5.875% due 02/01/22 (c) | | | 1,825,337
| | | | 1,861,008
| | |
| 5,175,000
| | | Outerwall, Inc. 6.00% due 03/15/19 | | | 5,213,310
| | | | 5,394,937
| | |
| 5,820,000
| | | Parker Drilling Company 7.50% due 08/01/20 | | | 5,818,143
| | | | 6,256,500
| | |
| 1,850,000
| | | PHH Corporation 7.375% due 09/01/19 | | | 1,904,784
| | | | 2,053,500
| | |
| 5,500,000
| | | Post Holdings, Inc. 6.75% due 12/01/21 (c) | | | 5,746,322
| | | | 5,775,000
| | |
| 3,771,000
| | | Post Holdings, Inc. 7.375% due 02/15/22 (c) | | | 4,015,640
| | | | 4,044,397
| | |
| 8,185,000
| | | Rentech Nitrogen Partners L.P. 6.50% due 04/15/21 (c) | | | 8,215,971
| | | | 8,103,150
| | |
| 1,693,000
| | | Roundy's Supermarkets, Inc. 10.25% due 12/15/20 (c) | | | 1,679,346
| | | | 1,828,440
| | |
| 1,500,000
| | | Sprint Communications, Inc. 6.00% due 11/15/22 | | | 1,469,067
| | | | 1,518,750
| | |
| 8,322,000
| | | Sprint Corporation 7.25% due 09/15/21 (c) | | | 8,756,604
| | | | 9,102,187
| | |
| 2,350,000
| | | STHI Holding Corporation 8.00% due 03/15/18 (c) | | | 2,478,869
| | | | 2,493,938
| | |
| 2,373,000
| | | Taylor Morrison Communities, Inc. 7.75% due 04/15/20 (c) | | | 2,510,702
| | | | 2,616,233
| | |
| 8,376,000
| | | Toys R Us Property Company II 8.50% due 12/01/17 | | | 8,600,911
| | | | 8,606,340
| | |
Total U.S. Corporate Bonds | | | 158,666,310 | | | | 163,195,037 | | |
International Bonds — 11.48% | | | |
International Convertible Bond — 0.09% | | | |
Mauritius 0.09% | | | |
| 800,000 USD | | | Golden Agri-Resources Limited 2.50% due 10/04/17 (b)(d)(e) | | | 743,428
| | | | 796,000
| | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
107
Global Income Builder Fund
PRINCIPAL | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
International Corporate Bonds — 11.39% | | | |
Australia 1.57% | | | |
| 4,459,000 USD | | | Ausdrill Finance PTY Limited 6.875% due 11/01/19 (b)(c) | | $ | 4,254,153
| | | $ | 4,124,575
| | |
| 8,813,000 USD | | | Nufarm Australia Limited 6.375% due 10/15/19 (c) | | | 9,146,884
| | | | 9,132,471
| | |
| | | 13,401,037 | | | | 13,257,046 | | |
Bermuda 0.77% | | | |
| 891,000 USD | | | Aircastle Limited 4.625% due 12/15/18 | | | 891,000
| | | | 914,389
| | |
| 2,519,000 USD | | | Aircastle Limited 6.25% due 12/01/19 | | | 2,687,171
| | | | 2,726,818
| | |
| 2,525,000 USD | | | Aircastle Limited 7.625% due 04/15/20 | | | 2,716,943
| | | | 2,906,906
| | |
| | | 6,295,114 | | | | 6,548,113 | | |
Canada 3.74% | | | |
| 8,799,000 USD | | | Lightstream Resources Limited 8.625% due 02/01/20 (c) | | | 8,841,431
| | | | 9,029,974
| | |
| 6,000,000 USD | | | New Gold, Inc. 6.25% due 11/15/22 (c) | | | 5,904,646
| | | | 6,180,000
| | |
| 500,000 USD | | | New Gold, Inc. 7.00% due 04/15/20 (c) | | | 512,470
| | | | 529,375
| | |
| 7,317,000 USD | | | Precision Drilling Corporation 6.50% due 12/15/21 | | | 7,621,575
| | | | 7,957,237
| | |
| 400,000 USD | | | Precision Drilling Corporation 6.625% due 11/15/20 | | | 400,748
| | | | 432,000
| | |
| 6,788,000 USD | | | Thompson Creek Metals Company, Inc. 9.75% due 12/01/17 | | | 7,155,187
| | | | 7,585,590
| | |
| | | 30,436,057 | | | | 31,714,176 | | |
France 1.95% | | | |
| 6,246,000 USD | | | Numericable Group SA 6.00% due 05/15/22 (c) | | | 6,336,220
| | | | 6,402,150
| | |
| 694,000 USD | | | Numericable Group SA 6.25% due 05/15/24 (c) | | | 694,000
| | | | 711,350
| | |
| 7,500,000 USD | | | Rexel SA 5.25% due 06/15/20 (c) | | | 7,544,089
| | | | 7,762,500
| | |
| 1,550,000 USD | | | Rexel SA 6.125% due 12/15/19 (c) | | | 1,581,148
| | | | 1,650,750
| | |
| | | 16,155,457 | | | | 16,526,750 | | |
Israel 0.55% | | | |
| 4,376,056 USD | | | B Communications, Ltd. 7.375% due 02/15/21 (c) | | | 4,505,125
| | | | 4,649,560
| | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
108
Schedule of Investments | Six-Month Period Ended April 30, 2014 (unaudited)
PRINCIPAL | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
International Corporate Bonds — 11.39% — (continued) | | | |
Luxembourg 0.41% | | | |
| 2,038,000 USD | | | Altice Finco SA 9.875% due 12/15/20 (c) | | $ | 2,336,286
| | | $ | 2,344,209
| | |
| 1,097,000 USD | | | Altice SA 7.75% due 05/15/22 (c) | | | 1,119,555
| | | | 1,144,994
| | |
| | | 3,455,841 | | | | 3,489,203 | | |
Norway 0.19% | | | |
| 1,630,000 USD | | | Eksportfinans ASA 2.00% due 09/15/15 | | | 1,581,965
| | | | 1,631,630
| | |
South Africa 0.55% | | | |
| 4,180,000 USD | | | AngloGold Ashanti Holdings PLC 8.50% due 07/30/20 | | | 4,195,962
| | | | 4,693,304
| | |
Sweden 1.20% | | | |
| 5,170,000 USD | | | Perstorp Holding AB 8.75% due 05/15/17 (c) | | | 5,445,734
| | | | 5,557,750
| | |
| 2,000,000 EUR | | | Perstorp Holding AB 9.00% due 05/15/17 (c) | | | 2,756,996
| | | | 3,052,169
| | |
| 1,000,000 EUR | | | Perstorp Holding AB 9.00% due 05/15/17 (d) | | | 1,335,630
| | | | 1,526,084
| | |
| | | 9,538,360 | | | | 10,136,003 | | |
United Kingdom 0.46% | | | |
| 2,210,000 USD | | | Jaguar Land Rover PLC 5.625% due 02/01/23 (c) | | | 2,195,920
| | | | 2,314,975
| | |
| 1,400,000 USD | | | Jaguar Land Rover PLC 8.125% due 05/15/21 (c) | | | 1,478,366
| | | | 1,590,750
| | |
| | | 3,674,286 | | | | 3,905,725 | | |
Total International Bonds | | | 93,982,632 | | | | 97,347,510 | | |
Total Bonds | | | 252,648,942 | | | | 260,542,547 | | |
Term Loans — 7.55% | | | |
Switzerland 0.68% | | | |
| 5,761,000 USD | | | Virtuoso US LLC 0.00% - 4.75% due 02/11/21 (f)(g) | | | 5,794,273
| | | | 5,770,016
| | |
United States 6.87% | | | |
| 1,153,633 USD | | | Ameriforge Group, Inc. 5.00% due 12/19/19 | | | 1,148,575
| | | | 1,163,727
| | |
| 1,985,000 USD | | | Appvion, Inc. 5.75% due 06/28/19 | | | 1,967,394
| | | | 2,003,609
| | |
| 2,041,573 EUR
| | | Axalta Coating Systems U.S. Holdings Inc., Term Loan B 4.25% due 02/01/20 | | | 2,751,390
| | | | 2,854,113
| | |
| 6,778,000 USD
| | | Caelus Energy Alaska O3 LLC, Second Lien Term Loan due 04/02/21 (f)(g) | | | 6,642,440
| | | | 6,684,802
| | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
109
Global Income Builder Fund
PRINCIPAL | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
Term Loans — 7.55% — (continued) | | | |
United States 6.87% — (continued) | | | |
| 6,593,995 USD | | | Caraustar Industry, Inc. 7.50% due 05/01/19 | | $ | 6,609,167
| | | $ | 6,694,553
| | |
| 8,544,200 USD | | | Fortescue Metals Group 0.00% — 4.25% due 06/30/19 (f)(g) | | | 8,541,285
| | | | 8,554,368
| | |
| 8,412,196 USD | | | JC Penney Corporation, Inc. 6.00% due 05/21/18 | | | 8,343,389
| | | | 8,360,167
| | |
| 7,675,000 USD | | | Libbey Glass, Inc., Term Loan B due 03/06/21 (f)(g) | | | 7,673,801
| | | | 7,657,409
| | |
| 3,033,450 USD | | | NEP Supershooters L.P. 4.25% due 01/22/20 | | | 3,032,321
| | | | 3,031,933
| | |
| 11,166,622 USD
| | | Roundy's Supermarkets, Inc., Term Loan B 0.00% — 5.75% due 03/03/21 (f)(g) | | | 11,193,787
| | | | 11,214,583
| | |
| | | 57,903,549 | | | | 58,219,264 | | |
Total Term Loans | | | 63,697,822 | | | | 63,989,280 | | |
Commercial Paper — 9.77% | | | |
International Commercial Paper — 3.14% | | | |
Ireland 1.40% | | | |
| 11,821,000 USD | | | Ingersoll-Rand Global Holding Company 0.15% due 05/01/14 | | | 11,821,000
| | | | 11,821,000
| | |
Japan 1.74% | | | |
| 14,776,000 USD | | | Hitachi Limited 0.20% due 05/01/14 | | | 14,776,000
| | | | 14,776,000
| | |
Total International Commercial Paper | | | 26,597,000 | | | | 26,597,000 | | |
U.S. Commercial Paper — 6.63% | | | |
$ | 14,776,000
| | | AON Corporation 0.20% due 05/01/14 | | | 14,776,000
| | | | 14,776,000
| | |
| 3,044,000
| | | Con Edison, Inc. 0.16% due 05/01/14 | | | 3,044,000
| | | | 3,044,000
| | |
| 8,866,000
| | | Intercontinental Exchange Group, Inc. 0.18% due 05/01/14 | | | 8,866,000
| | | | 8,866,000
| | |
| 14,776,000
| | | United Healthcare Company 0.14% due 05/01/14 | | | 14,776,000
| | | | 14,776,000
| | |
| 14,776,000
| | | United Parcel Service, Inc. 0.01% due 05/01/14 | | | 14,776,000
| | | | 14,776,000
| | |
Total U.S. Commercial Paper | | | 56,238,000 | | | | 56,238,000 | | |
Total Commercial Paper | | | 82,835,000 | | | | 82,835,000 | | |
Total Investments — 102.03% | | $ | 803,217,890 | | | | 865,121,191 | | |
Liabilities in Excess of Other Assets — (2.03)% | | | | | (17,207,580 | ) | |
Net Assets — 100.00% | | | | $ | 847,913,611 | | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
110
Schedule of Investments | Six-Month Period Ended April 30, 2014 (unaudited)
(a) Non-income producing security/commodity.
(b) Security is deemed illiquid. At April 30, 2014, the value of these securities amounted to $7,080,575 or 0.84% of net assets.
(c) All or a portion of the security is exempt from registration under the Securities Act of 1933. Rule 144A securities may only be sold to qualified institutional buyers, pursuant to Rule 144A under the Securities Act of 1933.
(d) Represents a security registered under Regulation S. Bonds sold under Regulation S may not be offered, sold or delivered within the U.S., or for the account or benefit of, U.S. persons, except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act of 1933.
(e) This security is convertible until September 27, 2017.
(f) At April 30, 2014, all or a portion of the security was segregated to cover collateral requirements for extended trade settlements.
(g) All or a portion of the security represents unsettled loan positions.
At April 30, 2014, cost is substantially identical for both book and federal income tax purposes. Net unrealized appreciation consisted of:
Gross unrealized appreciation | | $ | 71,979,166 | | |
Gross unrealized depreciation | | | (10,075,865 | ) | |
Net unrealized appreciation | | $ | 61,903,301 | | |
Abbreviations used in this schedule include:
ADR — American Depository Receipt
GDR — Global Depositary Receipt
PCL — Public Company Limited
PLC — Public Limited Company
REIT — Real Estate Investment Trust
RSP — Represents Savings Shares
Currencies
EUR — Euro
USD — United States Dollar
See Notes to Financial Statements.
Foreign Currency Exchange Contracts — Sales | |
SETTLEMENT DATES THROUGH | | FOREIGN CURRENCY TO BE DELIVERED | | U.S. $ TO BE RECEIVED | | U.S. $ VALUE AT APRIL 30, 2014 | | UNREALIZED APPRECIATION AT APRIL 30, 2014 | | UNREALIZED DEPRECIATION AT APRIL 30, 2014 | |
06/18/14 | | | 249,000 | | | British Pound | | $ | 406,654 | | | $ | 420,257 | | | $ | — | | | $ | (13,603 | ) | |
07/16/14 | | | 169,000 | | | British Pound | | | 277,820 | | | | 285,174 | | | | — | | | | (7,354 | ) | |
08/20/14 | | | 511,000 | | | British Pound | | | 840,404 | | | | 862,352 | | | | — | | | | (21,948 | ) | |
09/17/14 | | | 109,000 | | | British Pound | | | 181,663 | | | | 183,831 | | | | — | | | | (2,168) | | |
10/15/14 | | | 111,000 | | | British Pound | | | 185,860 | | | | 187,159 | | | | — | | | | (1,299 | ) | |
08/20/14 | | | 10,772,000 | | | Euro | | | 14,581,711 | | | | 14,942,737 | | | | — | | | | (361,026 | ) | |
06/18/14 | | | 17,275,000 | | | Euro | | | 23,840,672 | | | | 23,963,890 | | | | — | | | | (123,218 | ) | |
07/16/14 | | | 5,927,000 | | | Euro | | | 8,068,523 | | | | 8,221,443 | | | | — | | | | (152,920 | ) | |
09/17/14 | | | 7,156,000 | | | Euro | | | 9,965,947 | | | | 9,925,677 | | | | 40,270 | | | | — | | |
10/15/14 | | | 8,294,000 | | | Euro | | | 11,488,713 | | | | 11,503,878 | | | | — | | | | (15,165 | ) | |
08/20/14 | | | 270,080,000 | | | Japanese Yen | | | 2,679,254 | | | | 2,642,738 | | | | 36,516 | | | | — | | |
06/18/14 | | | 167,082,000 | | | Japanese Yen | | | 1,631,931 | | | | 1,634,750 | | | | — | | | | (2,819 | ) | |
07/16/14 | | | 85,950,000 | | | Japanese Yen | | | 820,666 | | | | 841,081 | | | | — | | | | (20,415 | ) | |
09/17/14 | | | 112,556,000 | | | Japanese Yen | | | 1,101,148 | | | | 1,101,882 | | | | — | | | | (734 | ) | |
10/15/14 | | | 90,792,000 | | | Japanese Yen | | | 891,726 | | | | 888,983 | | | | 2,743 | | | | — | | |
| | | | | | $ | 76,962,692 | | | $ | 77,605,832 | | | $ | 79,529 | | | $ | (722,669 | ) | |
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
111
Global Income Builder Fund
Foreign Currency Exchange Contracts — Purchases | |
SETTLEMENT DATES THROUGH | | FOREIGN CURRENCY TO BE RECEIVED | | U.S. $ TO BE DELIVERED | | U.S. $ VALUE AT APRIL 30, 2014 | | UNREALIZED APPRECIATION AT APRIL 30, 2014 | | UNREALIZED DEPRECIATION AT APRIL 30, 2014 | |
06/18/14 | | | 3,800,000 | | | Euro | | $ | 5,223,553 | | | $ | 5,271,362 | | | $ | 47,809 | | | $ | — | | |
05/13/14 | | | 31,371,000 | | | Japanese Yen | | | 301,181 | | | | 306,872 | | | | 5,691 | | | | — | | |
06/18/14 | | | 68,000,000 | | | Japanese Yen | | | 649,087 | | | | 665,320 | | | | 16,233 | | | | — | | |
| | | | | | $ | 6,173,821 | | | $ | 6,243,554 | | | $ | 69,733 | | | $ | — | | |
INDUSTRY DIVERSIFICATION FOR PORTFOLIO HOLDINGS | | PERCENT OF NET ASSETS | |
U.S. Common Stocks | |
Consumer Discretionary | | | 0.49 | % | |
Consumer Staples | | | 1.82 | | |
Energy | | | 1.75 | | |
Financials | | | 2.61 | | |
Industrials | | | 1.43 | | |
Information Technology | | | 5.76 | | |
Materials | | | 0.34 | | |
Total U.S. Common Stocks | | | 14.20 | | |
International Common Stocks | |
Consumer Discretionary | | | 2.50 | | |
Consumer Staples | | | 6.04 | | |
Energy | | | 5.18 | | |
Financials | | | 4.56 | | |
Health Care | | | 3.91 | | |
Industrials | | | 6.29 | | |
Information Technology | | | 1.58 | | |
Materials | | | 6.92 | | |
Telecommunication Services | | | 1.14 | | |
Utilities | | | 0.45 | | |
Total International Common Stocks | | | 38.57 | | |
Closed-End Mutual Fund | | | 0.28 | | |
Commodity | | | 0.93 | | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
112
Schedule of Investments | Six-Month Period Ended April 30, 2014 (unaudited)
INDUSTRY DIVERSIFICATION FOR PORTFOLIO HOLDINGS — (CONTINUED) | | PERCENT OF NET ASSETS | |
U.S. Corporate Bonds | |
Consumer Discretionary | | | 3.01 | % | |
Consumer Staples | | | 2.47 | | |
Energy | | | 5.23 | | |
Financials | | | 1.49 | | |
Health Care | | | 0.29 | | |
Industrials | | | 0.65 | | |
Materials | | | 1.27 | | |
Telecommunication Services | | | 4.84 | | |
Total U.S. Corporate Bonds | | | 19.25 | | |
International Convertible Bond | |
Consumer Staples | | | 0.09 | | |
Total International Convertible Bond | | | 0.09 | | |
International Corporate Bonds | | | |
Consumer Discretionary | | | 0.46 | | |
Energy | | | 2.06 | | |
Financials | | | 1.45 | | |
Industrials | | | 1.11 | | |
Information Technology | | | 0.84 | | |
Materials | | | 4.51 | | |
Telecommunication Services | | | 0.96 | | |
Total International Corporate Bonds | | | 11.39 | | |
Term Loans | | | 7.55 | | |
Commercial Paper | |
International Commercial Paper | | | 3.14 | | |
U.S. Commercial Paper | | | 6.63 | | |
Total Commercial Paper | | | 9.77 | | |
Total Investments | | | 102.03 | % | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
113
Fund Overview | Data as of April 30, 2014 (unaudited)
INVESTMENT OBJECTIVE
First Eagle High Yield Fund seeks to provide investors with a high level of current income. To pursue its investment objective the Fund normally invests at least 80% of its net assets in high yield, below investment-grade instruments, or other instruments.
Average Annual Returns^ | |
| | ONE-YEAR | | FIVE-YEARS | | SINCE INCEPTION (11-19-07) | |
First Eagle High Yield Fund (I Shares) | | | 5.95 | % | | | 16.34 | % | | | 11.91 | % | |
Barclays Capital U.S. Corporate High Yield Bond Index | | | 6.30 | | | | 15.72 | | | | 9.86 | | |
Countries** | |
United States | | | 69.43 | % | |
Canada | | | 5.79 | | |
Sweden | | | 2.96 | | |
Bermuda | | | 2.50 | | |
United Kingdom | | | 2.35 | | |
Australia | | | 2.13 | | |
France | | | 1.72 | | |
Cayman Islands | | | 1.36 | | |
Luxembourg | | | 1.17 | | |
Norway | | | 0.89 | | |
Netherlands | | | 0.86 | | |
South Africa | | | 0.85 | | |
Switzerland | | | 0.82 | | |
Israel | | | 0.38 | | |
Mauritius | | | 0.16 | | |
^ Performance figures reflect certain fee waivers and/or expense limitations, without which returns may have been lower.
* Asset Allocations and Countries percentages are based on total investments in the portfolio.
** Country allocations reflect country of the issuer (not currency of issue) and exclude short term investments. Bonds of non-U.S. issuers may be U.S. dollar denominated.
The Fund's portfolio composition is subject to change at any time.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
114
Growth of a $10,000 Initial Investment
Performance data quoted herein represents past performance and should not be considered indicative of future results. Performance data quoted herein does not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the sale of Fund shares. The average annual returns shown above are historical and reflect changes in share price, reinvested dividends and are net of expenses.
The average annual returns for Class I Shares do not give effect to the deduction of a maximum sales charge.
The Barclays Capital U.S. Corporate High Yield Bond Index is composed of fixed-rate, publicly issued, non-investment grade debt, is unmanaged, with dividends reinvested, and is not available for purchase. The index includes both corporate and non-corporate sectors. The corporate sectors are Industrial, Utility, and Finance, which include both U.S. and non-U.S. corporations. The index is presented here for comparison purposes only. One cannot invest directly in an index.
Top 10 Holdings* | |
Bi-Lo LLC (U.S. food-retail company) | | | 1.45 | % | |
ACCO Brands Corporation (U.S. office product manufacturer) | | | 1.34 | | |
Roundy's Supermarkets, Inc. Term Loan B (U.S. wholesale grocery company) | | | 1.34 | | |
Bon-Ton Department Stores, Inc. (U.S. retail store company) | | | 1.26 | | |
Offshore Group Investment Limited (Cayman Island energy company) | | | 1.20 | | |
Frontier Communications Corporation (U.S. communications services provider) | | | 1.17 | | |
Sprint Corporation (U.S. communications services provider) | | | 1.15 | | |
CCO Holdings LLC (U.S. communications services provider) | | | 1.14 | | |
Nufarm Australia Limited (Australian agriculture chemical company) | | | 1.13 | | |
American Achievement Corporation (U.S. award products manufacturer) | | | 1.13 | | |
Total | | | 12.31 | % | |
* Holdings in cash, commercial paper and other short term cash equivalents have been excluded. Percentages are based on total net assets.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
115
First Eagle High Yield Fund
PRINCIPAL | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
Bonds — 76.05% | | | |
U.S. Convertible Bond — 0.17% | | | |
$ | 1,915,000
| | | Headwaters, Inc. 8.75% due 02/01/16 (a) | | $ | 1,942,411
| | | $ | 2,076,578
| | |
U.S. Corporate Bonds — 53.30% | | | |
| 15,348,000
| | | ACCO Brands Corporation 6.75% due 04/30/20 | | | 15,686,402
| | | | 16,038,660
| | |
| 3,588,000
| | | Air Medical Group Holdings, Inc. 9.25% due 11/01/18 | | | 3,724,632
| | | | 3,892,980
| | |
| 7,063,000
| | | Aleris International, Inc. 7.875% due 11/01/20 | | | 7,081,130
| | | | 7,151,287
| | |
| 12,904,000
| | | American Achievement Corporation 10.875% due 04/15/16 (b) | | | 13,486,218
| | | | 13,500,810
| | |
| 2,909,000
| | | American Axle & Manufacturing, Inc. 6.25% due 03/15/21 | | | 2,909,000
| | | | 3,090,813
| | |
| 3,278,000
| | | American Axle & Manufacturing, Inc. 6.625% due 10/15/22 | | | 3,317,841
| | | | 3,568,923
| | |
| 8,613,000
| | | Antero Resources Finance Corporation 5.375% due 11/01/21 (b) | | | 8,694,857
| | | | 8,812,176
| | |
| 7,072,000
| | | Appvion, Inc. 9.00% due 06/01/20 (b)(c) | | | 6,971,445
| | | | 7,204,600
| | |
| 7,126,000
| | | Ashtead Capital, Inc. 6.50% due 07/15/22 (b) | | | 7,572,904
| | | | 7,767,340
| | |
| 9,922,000
| | | Atlas Energy Holdings Operating Company LLC 7.75% due 01/15/21 | | | 9,990,176
| | | | 10,170,050
| | |
| 7,651,000
| | | Atlas Pipeline Partners L.P. 5.875% due 08/01/23 | | | 7,356,128
| | | | 7,593,617
| | |
| 6,363,000
| | | Atwood Oceanics, Inc. 6.50% due 02/01/20 | | | 6,620,301
| | | | 6,808,410
| | |
| 6,238,000
| | | Basic Energy Services, Inc. 7.75% due 02/15/19 | | | 6,172,948
| | | | 6,705,850
| | |
| 4,583,000
| | | Basic Energy Services, Inc. 7.75% due 10/15/22 | | | 4,551,437
| | | | 5,047,029
| | |
| 9,325,000
| | | Bi-Lo LLC 8.625% due 09/15/18 (b)(d) | | | 9,341,081
| | | | 9,546,469
| | |
| 15,925,000
| | | Bi-Lo LLC 9.25% due 02/15/19 (b) | | | 16,699,140
| | | | 17,358,250
| | |
| 15,081,000
| | | Bon-Ton Department Stores, Inc. 10.625% due 07/15/17 | | | 14,753,199
| | | | 15,175,256
| | |
| 7,625,000
| | | Carrizo Oil & Gas, Inc. 8.625% due 10/15/18 | | | 7,855,894
| | | | 8,196,875
| | |
| 2,841,000
| | | CCO Holdings LLC 6.625% due 01/31/22 | | | 2,915,498
| | | | 3,071,831
| | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
116
Schedule of Investments | Six-Month Period Ended April 30, 2014 (unaudited)
PRINCIPAL | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
U.S. Corporate Bonds — 53.30% — (continued) | | | |
$ | 12,460,000
| | | CCO Holdings LLC 7.375% due 06/01/20 | | $ | 13,350,284
| | | $ | 13,721,575
| | |
| 9,608,000
| | | CCO Holdings LLC 8.125% due 04/30/20 | | | 10,338,802
| | | | 10,556,790
| | |
| 9,821,000
| | | CEC Entertainment, Inc. 8.00% due 02/15/22 (b) | | | 9,894,194
| | | | 10,115,630
| | |
| 3,984,000
| | | CenturyLink, Inc. Series 'S' 6.45% due 06/15/21 | | | 4,156,704
| | | | 4,312,680
| | |
| 8,496,000
| | | CenturyLink, Inc. Series 'W' 6.75% due 12/01/23 | | | 8,619,969
| | | | 9,154,440
| | |
| 9,786,000
| | | Citgo Petroleum Corporation 11.50% due 07/01/17 (b) | | | 10,403,235
| | | | 10,507,717
| | |
| 11,622,000
| | | Claire's Stores, Inc. 9.00% due 03/15/19 (b) | | | 12,303,528
| | | | 12,144,990
| | |
| 11,532,000
| | | Cleaver-Brooks, Inc. 8.75% due 12/15/19 (b) | | | 11,999,078
| | | | 12,829,350
| | |
| 3,170,000
| | | Cloud Peak Energy Resources 6.375% due 03/15/24 | | | 3,218,184
| | | | 3,312,650
| | |
| 6,755,000
| | | Crestwood Midstream Partners L.P. 6.125% due 03/01/22 (b) | | | 6,930,350
| | | | 7,092,750
| | |
| 11,703,000
| | | Drill Rigs Holdings, Inc. 6.50% due 10/01/17 (b) | | | 11,831,340
| | | | 12,141,862
| | |
| 9,150,000
| | | DriveTime Automotive Group, Inc. 12.625% due 06/15/17 | | | 9,712,043
| | | | 9,859,125
| | |
| 3,209,000
| | | DuPont Fabros Technology L.P. 5.875% due 09/15/21 | | | 3,282,219
| | | | 3,361,428
| | |
| 10,359,000
| | | Easton-Bell Sports, Inc. 9.75% due 12/01/16 | | | 10,773,617
| | | | 10,903,055
| | |
| 4,000,000
| | | EP Energy LLC 9.375% due 05/01/20 | | | 4,041,300
| | | | 4,630,000
| | |
| 1,075,000
| | | Everest Acquisition LLC 6.875% due 05/01/19 | | | 1,093,863
| | | | 1,159,656
| | |
| 2,894,000
| | | Frontier Communications Corporation 7.125% due 03/15/19 | | | 3,040,327
| | | | 3,248,515
| | |
| 11,989,000
| | | Frontier Communications Corporation 8.50% due 04/15/20 | | | 13,017,844
| | | | 14,019,637
| | |
| 9,907,000
| | | GenCorp, Inc. 7.125% due 03/15/21 | | | 10,314,561
| | | | 10,798,630
| | |
| 9,566,000
| | | Harland Clarke Holdings Corp. 6.875% due 03/01/20 (b) | | | 9,635,507
| | | | 9,649,702
| | |
| 4,167,000
| | | Headwaters, Inc. 7.25% due 01/15/19 (b) | | | 4,237,488
| | | | 4,406,603
| | |
See Notes to Financial Statements.
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117
PRINCIPAL | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
U.S. Corporate Bonds — 53.30% — (continued) | | | |
$ | 8,870,000
| | | Headwaters, Inc. 7.625% due 04/01/19 | | $ | 8,894,208
| | | $ | 9,579,600
| | |
| 3,000,000
| | | Huntington Ingalls Industries, Inc. 6.875% due 03/15/18 | | | 3,103,856
| | | | 3,225,000
| | |
| 6,226,000
| | | Huntington Ingalls Industries, Inc. 7.125% due 03/15/21 | | | 6,573,780
| | | | 6,895,295
| | |
| 3,999,000
| | | Icahn Enterprises L.P. 5.875% due 02/01/22 (b) | | | 3,993,680
| | | | 4,068,983
| | |
| 3,015,000
| | | Interface, Inc. 7.625% due 12/01/18 | | | 3,155,814
| | | | 3,214,744
| | |
| 3,639,000
| | | JC Penney Corporation, Inc. Series 'A' 6.875% due 10/15/15 | | | 3,397,275
| | | | 3,538,928
| | |
| 11,642,000
| | | Kemet Corporation 10.50% due 05/01/18 | | | 11,837,198
| | | | 12,253,205
| | |
| 7,891,000
| | | Kinder Morgan, Inc. 5.00% due 02/15/21 (b) | | | 7,855,409
| | | | 7,930,881
| | |
| 5,882,000
| | | Kinder Morgan, Inc. 5.625% due 11/15/23 (b) | | | 5,910,282
| | | | 5,914,404
| | |
| 3,646,000
| | | Kraton Polymers 6.75% due 03/01/19 | | | 3,707,332
| | | | 3,885,269
| | |
| 5,460,000
| | | L Brands, Inc. 5.625% due 10/15/23 | | | 5,497,385
| | | | 5,719,350
| | |
| 10,726,000
| | | Landry's, Inc. 9.375% due 05/01/20 (b) | | | 11,235,128
| | | | 11,879,045
| | |
| 10,423,000
| | | Magnachip Semiconductor Corporation 6.625% due 07/15/21 | | | 10,390,801
| | | | 10,396,942
| | |
| 4,548,000
| | | Mcron Finance Corporation 8.375% due 05/15/19 (b) | | | 4,605,347
| | | | 5,036,910
| | |
| 762,000
| | | Milacron LLC 7.75% due 02/15/21 (b) | | | 762,000
| | | | 838,200
| | |
| 2,842,000
| | | Noranda Aluminum Acquisition Corporation 11.00% due 06/01/19 | | | 2,457,952
| | | | 2,678,585
| | |
| 10,570,000
| | | Outerwall, Inc. 6.00% due 03/15/19 | | | 10,545,614
| | | | 11,019,225
| | |
| 7,972,000
| | | Parker Drilling Company 6.75% due 07/15/22 (b) | | | 8,117,175
| | | | 8,290,880
| | |
| 1,107,000
| | | Parker Drilling Company 7.50% due 08/01/20 | | | 1,110,584
| | | | 1,190,025
| | |
| 2,000,000
| | | PHH Corporation 6.375% due 08/15/21 | | | 1,992,656
| | | | 2,080,000
| | |
| 6,020,000
| | | PHH Corporation 7.375% due 09/01/19 | | | 6,319,127
| | | | 6,682,200
| | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
118
Schedule of Investments | Six-Month Period Ended April 30, 2014 (unaudited)
PRINCIPAL | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
U.S. Corporate Bonds — 53.30% — (continued) | | | |
$ | 6,480,000
| | | Post Holdings, Inc. 6.75% due 12/01/21 (b) | | $ | 6,613,365
| | | $ | 6,804,000
| | |
| 11,683,000
| | | Post Holdings, Inc. 7.375% due 02/15/22 (b) | | | 12,263,066
| | | | 12,530,017
| | |
| 8,356,000
| | | Quality Distribution 9.875% due 11/01/18 | | | 8,915,139
| | | | 9,087,150
| | |
| 6,386,000
| | | Radio Systems Corporation 8.375% due 11/01/19 (b) | | | 6,509,647
| | | | 7,016,617
| | |
| 11,243,000
| | | Rentech Nitrogen Partners L.P. 6.50% due 04/15/21 (b) | | | 11,318,633
| | | | 11,130,570
| | |
| 6,240,000
| | | Rex Energy Corporation 8.875% due 12/01/20 | | | 6,218,507
| | | | 6,957,600
| | |
| 12,133,000
| | | ROC Finance 12.125% due 09/01/18 (b) | | | 13,261,991
| | | | 12,982,310
| | |
| 8,837,000
| | | Roundy's Supermarkets, Inc. 10.25% due 12/15/20 (b) | | | 8,765,793
| | | | 9,543,960
| | |
| 3,330,000
| | | Samson Investment Company 10.75% due 02/15/20 (b) | | | 3,486,883
| | | | 3,529,800
| | |
| 7,720,000
| | | Silgan Holdings, Inc. 5.50% due 02/01/22 (b) | | | 7,688,162
| | | | 8,028,800
| | |
| 5,000,000
| | | Sprint Communications, Inc. 6.00% due 11/15/22 | | | 4,911,793
| | | | 5,062,500
| | |
| 7,250,000
| | | Sprint Communications, Inc. 7.00% due 08/15/20 | | | 7,573,673
| | | | 7,920,625
| | |
| 788,000
| | | Sprint Corporation 7.125% due 06/15/24 (b) | | | 788,000
| | | | 829,370
| | |
| 12,657,000
| | | Sprint Corporation 7.25% due 09/15/21 (b) | | | 12,823,386
| | | | 13,843,594
| | |
| 6,982,000
| | | STHI Holding Corporation 8.00% due 03/15/18 (b) | | | 7,334,458
| | | | 7,409,647
| | |
| 1,787,000
| | | T-Mobile USA, Inc. 6.125% due 01/15/22 | | | 1,808,213
| | | | 1,885,285
| | |
| 1,170,000
| | | T-Mobile USA, Inc. 6.542% due 04/28/20 | | | 1,170,000
| | | | 1,262,138
| | |
| 3,000,000
| | | T-Mobile USA, Inc. 6.633% due 04/28/21 | | | 3,092,796
| | | | 3,251,250
| | |
| 4,680,000
| | | T-Mobile USA, Inc. 6.731% due 04/28/22 | | | 4,739,802
| | | | 5,066,100
| | |
| 9,264,000
| | | Taylor Morrison Communities, Inc. 7.75% due 04/15/20 (b) | | | 9,749,413
| | | | 10,213,560
| | |
| 4,833,000
| | | Time, Inc. 5.75% due 04/15/22 (b) | | | 4,833,000
| | | | 4,833,000
| | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
119
PRINCIPAL | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
U.S. Corporate Bonds — 53.30% — (continued) | | | |
$ | 11,834,000
| | | Toys R Us Property Company II 8.50% due 12/01/17 | | $ | 12,150,652
| | | $ | 12,159,435
| | |
| 9,650,000
| | | United Rentals North America, Inc. 7.375% due 05/15/20 | | | 10,202,493
| | | | 10,735,625
| | |
| 200,000
| | | United Rentals North America, Inc. 7.625% due 04/15/22 | | | 200,000
| | | | 226,000
| | |
| 2,000,000
| | | United Rentals North America, Inc. 8.375% due 09/15/20 | | | 2,206,482
| | | | 2,227,500
| | |
Total U.S. Corporate Bonds | | | 617,982,618 | | | | 639,482,135 | | |
International Convertible Bond — 0.17% | | | |
Mauritius 0.17% | | | |
| 2,000,000 USD | | | Golden Agri-Resources Limited 2.50% due 10/04/17 (c)(e)(f) | | | 1,859,160
| | | | 1,990,000
| | |
International Corporate Bonds — 22.41% | | | |
Australia 2.14% | | | |
| 9,425,000 USD | | | Ausdrill Finance PTY Limited 6.875% due 11/01/19 (b)(c) | | | 9,346,392
| | | | 8,718,125
| | |
| 3,205,000 USD | | | Emeco PTY Limited 9.875% due 03/15/19 (b) | | | 3,159,835
| | | | 3,333,200
| | |
| 13,158,000 USD | | | Nufarm Australia Limited 6.375% due 10/15/19 (b) | | | 13,533,152
| | | | 13,634,977
| | |
| | | 26,039,379 | | | | 25,686,302 | | |
Bermuda 2.52% | | | |
| 1,707,000 USD | | | Aircastle Limited 4.625% due 12/15/18 | | | 1,707,000
| | | | 1,751,809
| | |
| 3,000,000 USD | | | Aircastle Limited 6.25% due 12/01/19 | | | 3,227,421
| | | | 3,247,500
| | |
| 5,825,000 USD | | | Aircastle Limited 7.625% due 04/15/20 | | | 6,018,764
| | | | 6,706,031
| | |
| 10,077,000 USD | | | Santa Maria Offshore Limited 8.875% due 07/03/18 (b)(c) | | | 10,199,153
| | | | 10,732,005
| | |
| 6,900,000 USD | | | Viking Cruises, Limited 8.50% due 10/15/22 (b) | | | 7,119,686
| | | | 7,831,500
| | |
| | | 28,272,024 | | | | 30,268,845 | | |
Canada 5.83% | | | |
| 12,241,000 USD | | | Lightstream Resources Limited 8.625% due 02/01/20 (b) | | | 12,265,736
| | | | 12,562,326
| | |
| 9,528,000 USD | | | MEG Energy Corporation 7.00% due 03/31/24 (b) | | | 9,693,900
| | | | 10,123,500
| | |
| 9,651,000 USD | | | Mood Media Corporation 9.25% due 10/15/20 (b) | | | 10,062,859
| | | | 9,047,812
| | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
120
Schedule of Investments | Six-Month Period Ended April 30, 2014 (unaudited)
PRINCIPAL | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
International Corporate Bonds — 22.41% — (continued) | | | |
Canada 5.83% — (continued) | | | |
| 5,730,000 USD | | | New Gold, Inc. 6.25% due 11/15/22 (b) | | $ | 5,587,935
| | | $ | 5,901,900
| | |
| 4,974,000 USD | | | New Gold, Inc. 7.00% due 04/15/20 (b) | | | 5,054,921
| | | | 5,266,223
| | |
| 7,978,000 USD | | | Northern Blizzard Resources, Inc. 7.25% due 02/01/22 (b) | | | 7,987,628
| | | | 8,207,368
| | |
| 5,656,000 USD | | | Precision Drilling Corporation 6.50% due 12/15/21 | | | 5,887,127
| | | | 6,150,900
| | |
| 2,550,000 USD | | | Thompson Creek Metals Company, Inc. 7.375% due 06/01/18 | | | 2,296,415
| | | | 2,416,125
| | |
| 7,214,000 USD | | | Thompson Creek Metals Company, Inc. 9.75% due 12/01/17 | | | 7,450,595
| | | | 8,061,645
| | |
| 2,000,000 USD | | | Thompson Creek Metals Company, Inc. 12.50% due 05/01/19 | | | 2,013,022
| | | | 2,225,000
| | |
| | | 68,300,138 | | | | 69,962,799 | | |
Cayman Islands 1.37% | | | |
| 2,000,000 USD | | | Offshore Group Investment Limited 7.125% due 04/01/23 | | | 2,049,117
| | | | 1,980,000
| | |
| 13,814,000 USD | | | Offshore Group Investment Limited 7.50% due 11/01/19 | | | 14,038,438
| | | | 14,435,630
| | |
| | | 16,087,555 | | | | 16,415,630 | | |
France 1.73% | | | |
| 9,277,000 USD | | | Numericable Group SA 6.00% due 05/15/22 (b)(g) | | | 9,411,000
| | | | 9,508,925
| | |
| 1,031,000 USD | | | Numericable Group SA 6.25% due 05/15/24 (b)(g) | | | 1,031,000
| | | | 1,056,775
| | |
| 4,900,000 USD | | | Rexel SA 5.25% due 06/15/20 (b) | | | 4,867,319
| | | | 5,071,500
| | |
| 4,805,000 USD | | | Rexel SA 6.125% due 12/15/19 (b) | | | 4,846,540
| | | | 5,117,325
| | |
| | | 20,155,859 | | | | 20,754,525 | | |
Israel 0.39% | | | |
| 4,339,000 USD | | | B Communications, Ltd. 7.375% due 02/15/21 (b) | | | 4,368,113
| | | | 4,610,188
| | |
Luxembourg 0.45% | | | |
| 3,026,000 USD | | | Altice Finco SA 9.875% due 12/15/20 (b) | | | 3,468,893
| | | | 3,480,656
| | |
| 150,000 EUR | | | Altice SA 7.25% due 05/15/22 (b)(g) | | | 207,248
| | | | 216,922
| | |
| 1,628,000 USD | | | Altice SA 7.75% due 05/15/22 (b)(g) | | | 1,661,507
| | | | 1,699,225
| | |
| | | 5,337,648 | | | | 5,396,803 | | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
121
PRINCIPAL | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
International Corporate Bonds — 22.41% — (continued) | | | |
Netherlands 0.87% | | | |
| 9,979,000 USD | | | VTR Finance BV 6.875% due 01/15/24 (b) | | $ | 10,220,957
| | | $ | 10,423,974
| | |
Norway 0.90% | | | |
| 10,755,000 USD | | | Eksportfinans ASA 2.00% due 09/15/15 | | | 10,241,949
| | | | 10,765,755
| | |
South Africa 0.86% | | | |
| 9,202,000 USD | | | AngloGold Ashanti Holdings PLC 8.50% due 07/30/20 | | | 9,237,134
| | | | 10,332,006
| | |
Sweden 2.98% | | | |
| 10,280,000 USD | | | Perstorp Holding AB 8.75% due 05/15/17 (b) | | | 10,500,918
| | | | 11,051,000
| | |
| 1,000,000 EUR | | | Perstorp Holding AB 9.00% due 05/15/17 (b) | | | 1,378,495
| | | | 1,526,084
| | |
| 1,000,000 EUR | | | Perstorp Holding AB 9.00% due 05/15/17 (e) | | | 1,335,630
| | | | 1,526,084
| | |
| 12,830,000 USD | | | Stena AB 7.00% due 02/01/24 (b) | | | 12,958,742
| | | | 13,022,450
| | |
| 5,470,000 EUR | | | TVN Finance Corporation III AB 7.375% due 12/15/20 (b) | | | 7,406,645
| | | | 8,651,233
| | |
| | | 33,580,430 | | | | 35,776,851 | | |
United Kingdom 2.37% | | | |
| 10,462,000 USD | | | EnQuest PLC 7.00% due 04/15/22 (b) | | | 10,525,906
| | | | 10,717,011
| | |
| 4,400,000 USD | | | Ineos Finance PLC 8.375% due 02/15/19 (b) | | | 4,541,620
| | | | 4,862,000
| | |
| 790,000 USD | | | Jaguar Land Rover PLC 5.625% due 02/01/23 (b) | | | 790,000
| | | | 827,525
| | |
| 5,550,000 USD | | | Jaguar Land Rover PLC 8.125% due 05/15/21 (b) | | | 5,700,919
| | | | 6,306,187
| | |
| 5,685,000 USD | | | Virgin Media Secured Finance PLC 5.50% due 01/15/25 (b) | | | 5,693,278
| | | | 5,734,744
| | |
| | | 27,251,723 | | | | 28,447,467 | | |
Total International Corporate Bonds | | | 259,092,909 | | | | 268,841,145 | | |
Total Bonds | | | 880,877,098 | | | | 912,389,858 | | |
Term Loans — 18.02% | | | |
Luxembourg 0.73% | | | |
| 2,898,750 USD
| | | ION Trading Technologies S.a.r.l., First Lien Term Loan 4.50% due 05/22/20 | | | 2,885,913
| | | | 2,896,214
| | |
See Notes to Financial Statements.
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Schedule of Investments | Six-Month Period Ended April 30, 2014 (unaudited)
PRINCIPAL | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
Term Loans — 18.02% — (continued) | | | |
Luxembourg 0.73% — (continued) | | | |
| 5,800,000 USD
| | | ION Trading Technologies S.a.r.l., Second Lien Term Loan 8.25% due 05/22/21 | | $ | 5,874,385
| | | $ | 5,839,875
| | |
| | | 8,760,298 | | | | 8,736,089 | | |
Switzerland 0.82% | | | |
| 9,839,524 USD | | | Virtuoso US LLC 0.00% - 4.75% due 02/11/21 (h)(i) | | | 9,893,567
| | | | 9,854,923
| | |
United States 16.47% | | | |
| 1,496,251 USD
| | | Ameriforge Group, Inc., First Lien Term Loan 5.00% due 12/19/19 | | | 1,489,603
| | | | 1,509,343
| | |
| 7,230,000 USD
| | | Ameriforge Group, Inc., Second Lien Term Loan 8.75% due 12/18/20 | | | 7,362,426
| | | | 7,410,750
| | |
| 5,831,930 USD | | | Appvion, Inc. 5.75% due 06/28/19 | | | 5,780,203
| | | | 5,886,604
| | |
| 9,079,290 USD
| | | Atkins Nutritionals, Inc., First Lien Term Loan 6.25% due 01/02/19 (c) | | | 9,019,777
| | | | 9,147,385
| | |
| 1,528,000 USD
| | | Atkins Nutritionals, Inc., Second Lien Term Loan 9.75% due 04/03/19 (c) | | | 1,501,600
| | | | 1,547,100
| | |
| 7,340,530 EUR
| | | Axalta Coating Systems U.S. Holdings Inc., Term Loan B 4.25% due 02/01/20 | | | 9,892,678
| | | | 10,262,041
| | |
| 1,568,070 USD
| | | BJ's Wholesale Club, Inc., First Lien Term Loan 4.50% due 09/26/19 | | | 1,560,744
| | | | 1,568,635
| | |
| 3,930,000 USD
| | | BJ's Wholesale Club, Inc., Second Lien Term Loan 8.50% due 03/26/20 | | | 3,911,337
| | | | 4,027,759
| | |
| 10,402,000 USD
| | | Caelus Energy Alaska O3 LLC, Second Lien Term Loan due 04/02/21 (h)(i) | | | 10,193,960
| | | | 10,258,972
| | |
| 11,475,683 USD | | | Caraustar Industry, Inc. 7.50% due 05/01/19 | | | 11,582,244
| | | | 11,650,687
| | |
| 7,343,000 USD | | | CBAC Borrower, LLC, Term Loan B 8.25% due 07/02/20 (c) | | | 7,534,468
| | | | 7,655,077
| | |
| 8,408,565 USD | | | Fortescue Metals Group 4.25% due 06/30/19 | | | 8,367,884
| | | | 8,418,571
| | |
| 9,938,000 USD | | | Hostess Brands, Inc. 6.75% due 04/09/20 | | | 10,077,311
| | | | 10,335,520
| | |
| 12,030,616 USD | | | JC Penney Corporation, Inc. 6.00% due 05/21/18 | | | 12,116,749
| | | | 11,956,207
| | |
See Notes to Financial Statements.
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PRINCIPAL | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
Term Loans — 18.02% — (continued) | | | |
United States 16.47% — (continued) | | | |
| 4,701,091 USD | | | Mirror Bidco Corporation 4.25% due 12/28/19 | | $ | 4,703,920
| | | $ | 4,695,215
| | |
| 8,446,230 USD
| | | NEP Supershooters L.P., Incremental Term Loan 4.25% due 01/22/20 | | | 8,448,335
| | | | 8,442,007
| | |
| 2,890,857 USD
| | | NEP Supershooters L.P., Second Lien Term Loan 9.50% due 07/22/20 | | | 2,984,478
| | | | 2,970,356
| | |
| 9,236,000 USD | | | Payless, Inc., First Lien Term Loan 5.00% due 03/11/21 | | | 9,200,017
| | | | 9,220,576
| | |
| 1,202,000 USD | | | Payless, Inc., Second Lien Term Loan 8.50% due 03/11/22 | | | 1,190,062
| | | | 1,214,020
| | |
| 6,274,470 USD | | | ROC Finance 5.00% due 06/20/19 | | | 6,050,284
| | | | 6,101,922
| | |
| 15,956,394 USD | | | Roundy's Supermarkets, Inc., Term Loan B 5.75% due 03/03/21 | | | 15,968,616
| | | | 16,024,926
| | |
| 9,883,659 USD | | | Supervalu Inc., Refi Term Loan B 4.50% due 03/21/19 | | | 9,882,851
| | | | 9,868,981
| | |
| 2,288,500 USD
| | | Toys R Us Property Company I, Term Loan B 6.00% due 08/21/19 | | | 2,267,810
| | | | 2,214,124
| | |
| 10,792,790 USD
| | | True Religion Apparel, Inc., First Lien Term Loan 5.88% due 07/30/19 | | | 10,271,611
| | | | 10,328,700
| | |
| 11,199,720 USD
| | | Water Pik Technologies, Inc., First Lien Term Loan 5.75% due 07/08/20 (c) | | | 11,006,572
| | | | 11,246,367
| | |
| 7,075,968 USD | | | Wilton Brands LLC 7.50% - 8.50% due 08/30/18 | | | 6,995,267
| | | | 6,785,853
| | |
| 6,876,445 USD | | | Zest Anchors LLC 6.50% due 08/16/20 (c) | | | 6,749,620
| | | | 6,893,636
| | |
| | | 196,110,427 | | | | 197,641,334 | | |
Total Term Loans | | | 214,764,292 | | | | 216,232,346 | | |
Commercial Paper — 6.68% | | | |
International Commercial Paper — 2.15% | | | |
Ireland 0.96% | | | |
| 11,433,000 USD | | | Ingersoll-Rand Global Holding Company 0.15% due 05/01/14 | | | 11,433,000
| | | | 11,433,000
| | |
See Notes to Financial Statements.
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Schedule of Investments | Six-Month Period Ended April 30, 2014 (unaudited)
PRINCIPAL | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
International Commercial Paper — 2.15% — (continued) | | | |
Japan 1.19% | | | |
| 14,291,000 USD | | | Hitachi Limited 0.20% due 05/01/14 | | $ | 14,291,000
| | | $ | 14,291,000
| | |
Total International Commercial Paper | | | 25,724,000 | | | | 25,724,000 | | |
U.S. Commercial Paper — 4.53% | | | |
$ | 14,291,000
| | | AON Corporation 0.20% due 05/01/14 | | | 14,291,000
| | | | 14,291,000
| | |
| 2,944,000
| | | Con Edison, Inc. 0.16% due 05/01/14 | | | 2,944,000
| | | | 2,944,000
| | |
| 8,574,000
| | | Intercontinental Exchange Group, Inc. 0.18% due 05/01/14 | | | 8,574,000
| | | | 8,574,000
| | |
| 14,291,000
| | | United Healthcare Company 0.14% due 05/01/14 | | | 14,291,000
| | | | 14,291,000
| | |
| 14,291,000
| | | United Parcel Service, Inc. 0.01% due 05/01/14 | | | 14,291,000
| | | | 14,291,000
| | |
Total U.S. Commercial Paper | | | 54,391,000 | | | | 54,391,000 | | |
Total Commercial Paper | | | 80,115,000 | | | | 80,115,000 | | |
Total Investments — 100.75% | | $ | 1,175,756,390 | | | | 1,208,737,204 | | |
Liabilities in Excess of Other Assets — (0.75)% | | | | | (8,948,276 | ) | |
Net Assets — 100.00% | | | | $ | 1,199,788,928 | | |
(a) This security is convertible until January 27, 2016.
(b) All or a portion of the security is exempt from registration under the Securities Act of 1933. Rule 144A securities may only be sold to qualified institutional buyers, pursuant to Rule 144A under the Securities Act of 1933.
(c) Security is deemed illiquid. At April 30, 2014, the value of these securities amounted to $65,134,295 or 5.43% of net assets.
(d) Payment-in-kind security.
(e) Represents a security registered under Regulation S. Bonds sold under Regulation S may not be offered, sold or delivered within the U.S., or for the account or benefit of, U.S. persons, except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act of 1933.
(f) This security is convertible until September 27, 2017.
(g) When-Issued security.
(h) All or a portion of the security represents unsettled loan positions.
(i) At April 30, 2014, all or a portion of the security was segregated to cover collateral requirements for extended trade settlements.
See Notes to Financial Statements.
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125
At April 30, 2014, cost is substantially identical for both book and federal income tax purposes. Net unrealized appreciation consisted of:
Gross unrealized appreciation | | $ | 35,859,348 | | |
Gross unrealized depreciation | | | (2,878,534 | ) | |
Net unrealized appreciation | | $ | 32,980,814 | | |
Abbreviations used in this schedule include:
PLC — Public Limited Company
Currencies
EUR — Euro
USD — United States Dollar
Foreign Currency Exchange Contracts — Sales
SETTLEMENT DATES THROUGH | | FOREIGN CURRENCY TO BE DELIVERED | | U.S. $ TO BE RECEIVED | | U.S. $ VALUE AT APRIL 30, 2014 | | UNREALIZED APPRECIATION AT APRIL 30, 2014 | | UNREALIZED DEPRECIATION AT APRIL 30, 2014 | |
06/18/14 | | | 31,287,000 | | | Euro | | $ | 43,186,072 | | | $ | 43,401,344 | | | $ | — | | | $ | (215,272 | ) | |
Foreign Currency Exchange Contracts — Purchases
SETTLEMENT DATES THROUGH | | FOREIGN CURRENCY TO BE RECEIVED | | U.S. $ TO BE DELIVERED | | U.S. $ VALUE AT APRIL 30, 2014 | | UNREALIZED APPRECIATION AT APRIL 30, 2014 | | UNREALIZED DEPRECIATION AT APRIL 30, 2014 | |
06/18/14 | | | 15,897,000 | | | Euro | | $ | 21,851,440 | | | $ | 22,052,327 | | | $ | 200,887 | | | $ | — | | |
INDUSTRY DIVERSIFICATION FOR PORTFOLIO HOLDINGS | | PERCENT OF NET ASSETS | |
U.S. Convertible Bond | |
Industrials | | | 0.17 | % | |
Total U.S. Convertible Bond | | | 0.17 | | |
U.S. Corporate Bonds | |
Consumer Discretionary | | | 13.35 | | |
Consumer Staples | | | 5.58 | | |
Energy | | | 10.50 | | |
Financials | | | 3.42 | | |
Health Care | | | 0.62 | | |
Industrials | | | 7.00 | | |
Materials | | | 3.47 | | |
Telecommunication Services | | | 9.36 | | |
Total U.S. Corporate Bonds | | | 53.30 | | |
See Notes to Financial Statements.
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Schedule of Investments | Six-Month Period Ended April 30, 2014 (unaudited)
INDUSTRY DIVERSIFICATION FOR PORTFOLIO HOLDINGS — (CONTINUED) | | PERCENT OF NET ASSETS | |
International Convertible Bond | |
Consumer Staples | | | 0.17 | % | |
Total International Convertible Bond | | | 0.17 | | |
International Corporate Bonds | |
Consumer Discretionary | | | 1.25 | | |
Energy | | | 6.23 | | |
Financials | | | 2.61 | | |
Industrials | | | 1.13 | | |
Information Technology | | | 0.88 | | |
Materials | | | 5.56 | | |
Telecommunication Services | | | 3.67 | | |
Utilities | | | 1.08 | | |
Total International Corporate Bonds | | | 22.41 | | |
Term Loans | | | 18.02 | | |
Commercial Paper | |
International Commercial Paper | | | 2.15 | | |
U.S. Commercial Paper | | | 4.53 | | |
Total Commercial Paper | | | 6.68 | | |
Total Investments | | | 100.75 | % | |
See Notes to Financial Statements.
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Fund Overview | Data as of April 30, 2014 (unaudited)
INVESTMENT OBJECTIVE
The First Eagle Fund of America seeks capital appreciation by investing primarily in domestic stocks and to a lesser extend in debt and foreign equity securities. The fund has a unique event-driven bias that focuses on identifying companies poised to benefit from change that the market has not yet recognized.
Average Annual Returns | |
| | ONE-YEAR | | FIVE-YEARS | | TEN-YEARS | |
First Eagle Fund of America (Y Shares) | | | 23.50 | % | | | 19.69 | % | | | 10.34 | % | |
Standard & Poor's 500 Index | | | 20.44 | | | | 19.14 | | | | 7.67 | | |
Sector/Industry** | |
Materials | | | 25.81 | % | |
Information Technology | | | 21.07 | | |
Health Care | | | 16.63 | | |
Consumer Discretionary | | | 14.26 | | |
Industrials | | | 13.14 | | |
Energy | | | 6.29 | | |
Exchange Traded Fund | | | 0.19 | | |
* Asset Allocations and Sector/Industry percentages are based on total investments in the portfolio.
** Sector/Industry allocation exclude short term investments and options positions.
The Fund's portfolio composition is subject to change at any time.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
128
Growth of a $10,000 Initial Investment
Performance data quoted herein represents past performance and should not be considered indicative of future results. Performance data quoted herein does not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the sale of Fund shares. The Fund's average annual returns shown above are historical and reflect changes in share price, reinvested dividends and is net of expenses.
The average annual returns for Class Y Shares do not give effect to the deduction of a maximum sales charge.
The Standard & Poor's 500 Index is a widely recognized unmanaged index including a representative sample of 500 leading companies in leading sectors of the U.S. economy and is not available for purchase. Although the Standard & Poor's 500 Index focuses on the large-cap segment of the market, with approximately 80% coverage of U.S. equities, it is also considered a proxy for the total market.
Top 10 Holdings* | |
Eastman Chemical Company (chemicals company) | | | 5.36 | % | |
Hewlett-Packard Company (software developer) | | | 5.24 | | |
Seagate Technology PLC (hard disk drive manufacturer) | | | 4.83 | | |
Pitney Bowes, Inc. (mailstream solutions company) | | | 4.82 | | |
Pfizer, Inc. (biopharmaceutical company) | | | 4.70 | | |
Wyndham Worldwide Corporation (hotel and resorts) | | | 4.61 | | |
Occidental Petroleum Corporation (oil and gas production and exploration) | | | 4.35 | | |
Avis Budget Group, Inc. (automobile and truck rental services) | | | 4.34 | | |
Valeant Pharmaceuticals International, Inc. (pharmaceuticals company) | | | 4.18 | | |
Rockwood Holdings, Inc. (chemicals and materials manufacturer) | | | 4.09 | | |
Total | | | 46.52 | % | |
* Holdings in cash, commercial paper and other short term cash equivalents have been excluded. Percentages are based on total net assets.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
129
First Eagle Fund of America
SHARES | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
Common Stocks — 98.35% | | | |
U.S. Common Stocks — 92.46% | | | |
Consumer Discretionary 14.46% | | | |
| 1,909,500 | | | Wyndham Worldwide Corporation (a) | | $ | 64,410,968 | | | $ | 136,223,730 | | |
| 1,130,200 | | | Viacom, Inc., Class 'B' (a) | | | 60,574,109 | | | | 96,044,396 | | |
| 1,707,030 | | | Lowe's Companies, Inc. (a) | | | 74,485,691 | | | | 78,369,747 | | |
| 141,050 | | | AutoZone, Inc. (a)(b) | | | 62,039,849 | | | | 75,305,185 | | |
| 840,740 | | | SeaWorld Entertainment, Inc. | | | 25,533,754 | | | | 25,272,644 | | |
| 214,200 | | | Starwood Hotels & Resorts Worldwide, Inc. (a) | | | 17,314,887
| | | | 16,418,430
| | |
| | | 304,359,258 | | | | 427,634,132 | | |
Energy 6.38% | | | |
| 1,342,660 | | | Occidental Petroleum Corporation (a) | | | 120,875,196 | | | | 128,559,695 | | |
| 993,160 | | | Dresser-Rand Group, Inc. (b) | | | 44,155,675 | | | | 60,026,590 | | |
| | | 165,030,871 | | | | 188,586,285 | | |
Health Care 16.65% | | | |
| 4,446,521 | | | Pfizer, Inc. (a) | | | 97,007,234 | | | | 139,087,177 | | |
| 924,502 | | | Valeant Pharmaceuticals International, Inc. (a)(b) | | | 16,154,629
| | | | 123,615,163
| | |
| 736,230 | | | Forest Laboratories, Inc. (a)(b) | | | 32,755,385 | | | | 67,666,899 | | |
| 846,300 | | | Omnicare, Inc. (a) | | | 20,706,927 | | | | 50,160,201 | | |
| 1,428,900 | | | Health Net, Inc. (b) | | | 36,743,611 | | | | 49,054,137 | | |
| 1,595,520 | | | Theravance, Inc. (a)(b) | | | 50,662,983 | | | | 42,951,398 | | |
| 1,433,780 | | | Halozyme Therapeutics, Inc. (a)(b) | | | 18,513,814 | | | | 10,681,661 | | |
| 214,026 | | | Myriad Genetics, Inc. (a)(b) | | | 5,569,395 | | | | 9,034,038 | | |
| | | 278,113,978 | | | | 492,250,674 | | |
Industrials 11.22% | | | |
| 5,313,705 | | | Pitney Bowes, Inc. (a) | | | 84,803,234 | | | | 142,407,294 | | |
| 2,439,090 | | | Avis Budget Group, Inc. (a)(b) | | | 65,196,462 | | | | 128,271,743 | | |
| 1,934,450 | | | Hertz Global Holdings, Inc. (a)(b) | | | 50,768,669 | | | | 55,073,792 | | |
| 162,000 | | | Delta Air Lines, Inc. (a) | | | 5,810,940 | | | | 5,966,460 | | |
| | | 206,579,305 | | | | 331,719,289 | | |
Information Technology 21.37% | | | |
| 4,682,100 | | | Hewlett-Packard Company (a) | | | 95,398,508 | | | | 154,790,226 | | |
| 2,715,520 | | | Seagate Technology PLC (a) | | | 74,313,726 | | | | 142,782,042 | | |
| 2,291,290 | | | AOL, Inc. (a)(b) | | | 64,142,964 | | | | 98,090,125 | | |
| 1,045,500 | | | SanDisk Corporation (a) | | | 70,021,201 | | | | 88,836,135 | | |
| 1,226,930 | | | Motorola Solutions, Inc. (a) | | | 64,145,674 | | | | 78,008,209 | | |
See Notes to Financial Statements.
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130
Schedule of Investments | Six-Month Period Ended April 30, 2014 (unaudited)
SHARES | | DESCRIPTION | | COST (NOTE 1) | | VALUE (NOTE 1) | |
U.S. Common Stocks — 92.46% — (continued) | | | |
Information Technology 21.37% — (continued) | | | |
| 1,609,500 | | | Lexmark International, Inc., Class 'A' (a) | | $ | 60,539,277
| | | $ | 69,208,500
| | |
| | | 428,561,350 | | | | 631,715,237 | | |
Materials 22.38% | | | |
| 1,817,900 | | | Eastman Chemical Company (a) | | | 60,387,147 | | | | 158,466,343 | | |
| 1,700,870 | | | Rockwood Holdings, Inc. (a) | | | 82,470,547 | | | | 120,846,813 | | |
| 1,282,700 | | | WR Grace & Company (a)(b) | | | 79,149,569 | | | | 118,136,670 | | |
| 3,354,505 | | | Sealed Air Corporation (a) | | | 90,981,980 | | | | 115,093,067 | | |
| 1,130,805 | | | FMC Corporation (a) | | | 63,474,182 | | | | 87,071,985 | | |
| 851,050 | | | Valspar Corporation (a) | | | 22,407,329 | | | | 62,160,692 | | |
| | | 398,870,754 | | | | 661,775,570 | | |
Total U.S. Common Stocks | | | 1,781,515,516 | | | | 2,733,681,187 | | |
International Common Stocks — 5.89% | | | |
Netherlands 3.79% | | | |
| 1,210,200 | | | LyondellBasell Industries NV, Class 'A' (a) | | | 85,634,674
| | | | 111,943,500
| | |
Switzerland 2.10% | | | |
| 1,520,950 | | | Tyco International Limited (a) | | | 35,341,477 | | | | 62,206,855 | | |
Total International Common Stocks | | | 120,976,151 | | | | 174,150,355 | | |
Total Common Stocks | | | 1,902,491,667 | | | | 2,907,831,542 | | |
Exchange Traded Fund — 0.19% | | | |
| 45,180 | | | SPDR Gold Trust (b) | | | 6,700,707 | | | | 5,612,260 | | |
Investment Company — 2.64% | | | |
| 78,187,384 | | | State Street Institutional U.S. Government Money Market Fund, Institutional Class | | | 78,187,384 | | | | 78,187,384 | | |
PRINCIPAL | | | | | | | |
Bond — 0.21% | | | |
U.S. Convertible Bond 0.21% | | | |
$ | 2,730,000 | | | Omnicare, Inc. 3.75% due 12/15/25 (c) | | | 2,730,000
| | | | 6,181,744
| | |
Total Investment Portfolio Excluding Options Written — 101.39% (Cost: $1,990,109,758) | | | | $ | 2,997,812,930 | | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
131
CONTRACTS | | DESCRIPTION | | STRIKE PRICE | | EXPIRATION DATE | | VALUE (NOTE 1) | |
Covered Call Options Written — (1.27)% | | | |
| 2,250 | | | AOL, Inc. | | $ | 43.00 | | | July 2014 | | $ | (627,750 | ) | |
| 337 | | | AOL, Inc. | | | 44.00 | | | July 2014 | | | (88,462 | ) | |
| 323 | | | AOL, Inc. | | | 45.00 | | | July 2014 | | | (72,675 | ) | |
| 106 | | | AutoZone, Inc. | | | 530.00 | | | June 2014 | | | (171,084 | ) | |
| 551 | | | AutoZone, Inc. | | | 540.00 | | | June 2014 | | | (672,220 | ) | |
| 1,001 | | | Avis Budget Group, Inc. | | | 48.00 | | | August 2014 | | | (685,685 | ) | |
| 2,750 | | | Avis Budget Group, Inc. | | | 49.00 | | | August 2014 | | | (1,705,000 | ) | |
| 1,000 | | | Avis Budget Group, Inc. | | | 50.00 | | | August 2014 | | | (560,000 | ) | |
| 4,882 | | | Avis Budget Group, Inc. | | | 52.50 | | | August 2014 | | | (2,050,440 | ) | |
| 1,220 | | | Avis Budget Group, Inc. | | | 55.00 | | | August 2014 | | | (378,200 | ) | |
| 1,620 | | | Delta Air Lines, Inc. | | | 37.00 | | | June 2014 | | | (277,020 | ) | |
| 740 | | | Eastman Chemical Company | | | 87.50 | | | September 2014 | | | (288,600 | ) | |
| 587 | | | FMC Corporation | | | 70.00 | | | May 2014 | | | (413,835 | ) | |
| 551 | | | Forest Laboratories, Inc. | | | 90.00 | | | June 2014 | | | (247,950 | ) | |
| 2,394 | | | Halozyme Therapeutics, Inc. | | | 8.00 | | | May 2014 | | | (59,850 | ) | |
| 1,018 | | | Halozyme Therapeutics, Inc. | | | 15.00 | | | June 2014 | | | (15,270 | ) | |
| 2,645 | | | Halozyme Therapeutics, Inc. | | | 16.00 | | | June 2014 | | | (26,450 | ) | |
| 2,499 | | | Hertz Global Holdings, Inc. | | | 27.00 | | | June 2014 | | | (587,265 | ) | |
| 6,485 | | | Hertz Global Holdings, Inc. | | | 28.00 | | | June 2014 | | | (940,325 | ) | |
| 1,094 | | | Hertz Global Holdings, Inc. | | | 29.00 | | | September 2014 | | | (232,475 | ) | |
| 3,980 | | | Hewlett-Packard Company | | | 32.00 | | | August 2014 | | | (991,020 | ) | |
| 464 | | | Hewlett-Packard Company | | | 33.00 | | | June 2014 | | | (70,992 | ) | |
| 3,500 | | | Hewlett-Packard Company | | | 33.00 | | | August 2014 | | | (679,000 | ) | |
| 1,969 | | | Hewlett-Packard Company | | | 34.00 | | | August 2014 | | | (293,381 | ) | |
| 2,117 | | | Lexmark International, Inc., Class 'A' | | | 42.00 | | | June 2014 | | | (407,523 | ) | |
| 1,748 | | | Lexmark International, Inc., Class 'A' | | | 42.00 | | | July 2014 | | | (393,300 | ) | |
| 1,036 | | | Lexmark International, Inc., Class 'A' | | | 43.00 | | | June 2014 | | | (155,400 | ) | |
| 2,713 | | | Lexmark International, Inc., Class 'A' | | | 43.00 | | | July 2014 | | | (474,775 | ) | |
| 2,499 | | | Lexmark International, Inc., Class 'A' | | | 44.00 | | | July 2014 | | | (312,375 | ) | |
| 435 | | | Lowe's Companies, Inc. | | | 47.00 | | | July 2014 | | | (58,725 | ) | |
| 305 | | | Lowe's Companies, Inc. | | | 48.00 | | | July 2014 | | | (29,585 | ) | |
| 3,272 | | | LyondellBasell Industries NV, Class 'A' | | | 90.00 | | | June 2014 | | | (1,344,792 | ) | |
| 4,248 | | | LyondellBasell Industries NV, Class 'A' | | | 92.50 | | | June 2014 | | | (1,146,960 | ) | |
| 160 | | | LyondellBasell Industries NV, Class 'A' | | | 95.00 | | | September 2014 | | | (54,400 | ) | |
| 758 | | | Motorola Solutions, Inc. | | | 65.00 | | | July 2014 | | | (106,120 | ) | |
| 1,149 | | | Myriad Genetics, Inc. | | | 28.00 | | | May 2014 | | | (1,539,660 | ) | |
| 750 | | | Myriad Genetics, Inc. | | | 33.00 | | | May 2014 | | | (626,250 | ) | |
See Notes to Financial Statements.
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Schedule of Investments | Six-Month Period Ended April 30, 2014 (unaudited)
CONTRACTS | | DESCRIPTION | | STRIKE PRICE | | EXPIRATION DATE | | VALUE (NOTE 1) | |
Covered Call Options Written — (1.27)% — (continued) | | | |
| 217 | | | Myriad Genetics, Inc. | | $ | 37.00 | | | May 2014 | | $ | (105,245 | ) | |
| 267 | | | Occidental Petroleum Corporation | | | 90.00 | | | May 2014 | | | (160,867 | ) | |
| 213 | | | Occidental Petroleum Corporation | | | 97.50 | | | August 2014 | | | (66,030 | ) | |
| 18 | | | Omnicare, Inc. | | | 60.00 | | | June 2014 | | | (2,070 | ) | |
| 2,236 | | | Pfizer, Inc. | | | 31.00 | | | June 2014 | | | (239,252 | ) | |
| 590 | | | Pitney Bowes, Inc. | | | 25.00 | | | June 2014 | | | (123,900 | ) | |
| 16,357 | | | Pitney Bowes, Inc. | | | 26.00 | | | July 2014 | | | (2,453,550 | ) | |
| 10,664 | | | Pitney Bowes, Inc. | | | 27.00 | | | July 2014 | | | (1,066,400 | ) | |
| 722 | | | Rockwood Holdings, Inc. | | | 70.00 | | | May 2014 | | | (184,110 | ) | |
| 376 | | | Rockwood Holdings, Inc. | | | 70.00 | | | August 2014 | | | (191,760 | ) | |
| 1,923 | | | Rockwood Holdings, Inc. | | | 75.00 | | | August 2014 | | | (533,633 | ) | |
| 1,570 | | | Rockwood Holdings, Inc. | | | 77.50 | | | August 2014 | | | (314,000 | ) | |
| 4,127 | | | SanDisk Corporation | | | 77.50 | | | July 2014 | | | (3,786,523 | ) | |
| 1,221 | | | SanDisk Corporation | | | 85.00 | | | July 2014 | | | (536,019 | ) | |
| 592 | | | Seagate Technology PLC | | | 50.00 | | | June 2014 | | | (177,600 | ) | |
| 1,534 | | | Seagate Technology PLC | | | 52.50 | | | June 2014 | | | (269,984 | ) | |
| 100 | | | Seagate Technology PLC | | | 52.50 | | | July 2014 | | | (22,600 | ) | |
| 280 | | | Seagate Technology PLC | | | 55.00 | | | July 2014 | | | (56,280 | ) | |
| 190 | | | Sealed Air Corporation | | | 32.00 | | | July 2014 | | | (54,625 | ) | |
| 576 | | | Sealed Air Corporation | | | 33.00 | | | July 2014 | | | (120,960 | ) | |
| 1,046 | | | Sealed Air Corporation | | | 34.00 | | | July 2014 | | | (156,900 | ) | |
| 30 | | | Starwood Hotels & Resorts Worldwide, Inc. | | | 75.00 | | | June 2014 | | | (9,450 | ) | |
| 86 | | | Starwood Hotels & Resorts Worldwide, Inc. | | | 79.35 | | | August 2014 | | | (19,221 | ) | |
| 363 | | | Theravance, Inc. | | | 35.00 | | | June 2014 | | | (9,075 | ) | |
| 1,125 | | | Tyco International Limited | | | 41.00 | | | July 2014 | | | (157,500 | ) | |
| 629 | | | Tyco International Limited | | | 42.00 | | | July 2014 | | | (60,069 | ) | |
| 1,000 | | | Valeant Pharmaceuticals International, Inc. | | | 135.00 | | | July 2014 | | | (805,000 | ) | |
| 2,207 | | | Valeant Pharmaceuticals International, Inc. | | | 135.00 | | | October 2014 | | | (2,979,450 | ) | |
| 110 | | | Valeant Pharmaceuticals International, Inc. | | | 140.00 | | | June 2014 | | | (48,950 | ) | |
| 2,500 | | | Valeant Pharmaceuticals International, Inc. | | | 140.00 | | | July 2014 | | | (1,575,000 | ) | |
| 2,100 | | | Valeant Pharmaceuticals International, Inc. | | | 145.00 | | | July 2014 | | | (966,000 | ) | |
| 574 | | | Valspar Corporation | | | 70.00 | | | July 2014 | | | (264,040 | ) | |
| 1,519 | | | Viacom, Inc., Class 'B' | | | 87.50 | | | September 2014 | | | (470,890 | ) | |
See Notes to Financial Statements.
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133
CONTRACTS | | DESCRIPTION | | STRIKE PRICE | | EXPIRATION DATE | | VALUE (NOTE 1) | |
Covered Call Options Written — (1.27)% — (continued) | | | |
| 1,000 | | | WR Grace & Company | | $ | 95.00 | | | June 2014 | | $ | (185,000 | ) | |
| 473 | | | WR Grace & Company | | | 95.00 | | | September 2014 | | | (198,660 | ) | |
| 619 | | | WR Grace & Company | | | 97.50 | | | September 2014 | | | (187,248 | ) | |
| 277 | | | Wyndham Worldwide Corporation | | | 70.00 | | | August 2014 | | | (108,030 | ) | |
| 404 | | | Wyndham Worldwide Corporation | | | 75.00 | | | August 2014 | | | (62,620 | ) | |
| Total Covered Call Options Written (Premiums Received: $41,672,093) | | | | | | | | | | | | | | | | (37,513,325 | ) | |
| Total Investments — 100.12% (Cost: $1,948,437,665) | | | | | | | | | | | | | | 2,960,299,605 | | |
| Liabilities in Excess of Other Assets — (0.12)% | | | | | | | | | | | | | | | | (3,665,584 | ) | |
| Net Assets — 100.00% | | | | | | | | | | | | | | | $ | 2,956,634,021 | | |
(a) At April 30, 2014, all or a portion of this security was segregated to cover collateral requirement for options.
(b) Non-income producing security/commodity.
(c) This security is convertible until December 15, 2025.
At April 30, 2014, cost is substantially identical for both book and federal income tax purposes. Net unrealized appreciation consisted of:
Gross unrealized appreciation | | $ | 1,035,772,265 | | |
Gross unrealized depreciation | | | (23,910,325 | ) | |
Net unrealized appreciation | | $ | 1,011,861,940 | | |
Abbreviations used in this schedule include:
PLC — Public Limited Company
SPDR — Standard & Poor's Depository Receipts
See Notes to Financial Statements.
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134
Schedule of Investments | Six-Month Period Ended April 30, 2014 (unaudited)
INDUSTRY DIVERSIFICATION FOR PORTFOLIO HOLDINGS | | PERCENT OF NET ASSETS | |
U.S. Common Stocks | |
Consumer Discretionary | | | 14.46 | % | |
Energy | | | 6.38 | | |
Health Care | | | 16.65 | | |
Industrials | | | 11.22 | | |
Information Technology | | | 21.37 | | |
Materials | | | 22.38 | | |
Total U.S. Common Stocks | | | 92.46 | | |
International Common Stocks | |
Industrials | | | 2.10 | | |
Materials | | | 3.79 | | |
Total International Common Stocks | | | 5.89 | | |
Exchange Traded Fund | | | 0.19 | | |
Investment Company | | | 2.64 | | |
U.S. Convertible Bond | |
Health Care | | | 0.21 | | |
Total U.S. Convertible Bond | | | 0.21 | | |
Covered Call Options Written | | | (1.27 | ) | |
Total Investments | | | 100.12 | % | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
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Statement of Assets and Liabilities
| | FIRST EAGLE GLOBAL FUND* | | FIRST EAGLE OVERSEAS FUND* | |
Assets | |
Investments, at Cost (Note 1) | |
Unaffiliated issuers | | $ | 35,240,390,128 | | | $ | 10,777,244,381 | | |
Affiliated issuers | | | 1,671,179,838 | | | | 411,598,207 | | |
Gold bullion | | | 1,786,987,800 | | | | 408,990,988 | | |
Foreign currency | | | — | | | | 16,295 | | |
Total Investments, at Cost | | | 38,698,557,766 | | | | 11,597,849,871 | | |
Investments, at Value (Note 1) | |
Unaffiliated issuers | | | 44,766,583,228 | | | | 13,642,036,395 | | |
Affiliated issuers | | | 2,546,962,263 | | | | 580,819,481 | | |
Gold bullion | | | 2,399,117,206 | | | | 721,559,668 | | |
Foreign currency | | | — | | | | 16,357 | | |
Total Investments, at Value | | | 49,712,662,697 | | | | 14,944,431,901 | | |
Cash | | | 1,645,635 | | | | 1,110,313 | | |
Receivable for forward currency contracts held, at value (Note 1) | | | 19,317,575 | | | | 9,714,086 | | |
Receivable for investment securities sold | | | 28,038,997 | | | | 2,136,434 | | |
Receivable for Fund shares sold | | | 106,804,554 | | | | 32,882,726 | | |
Accrued interest and dividends receivable | | | 119,953,815 | | | | 60,808,027 | | |
Investment for trustee deferred compensation plan (Note 2) | | | 2,313,254 | | | | 2,109,344 | | |
Other assets | | | 340,948 | | | | 141,530 | | |
Total Assets | | | 49,991,077,475 | | | | 15,053,334,361 | | |
Liabilities | |
Option contracts written, at value (premiums received $0, $0, $121,808 and $0, respectively) (Note 1) | | | — | | | | — | | |
Payable for Fund shares redeemed | | | 54,445,951 | | | | 31,454,403 | | |
Payable for investment securities purchased | | | 66,237,069 | | | | 7,849,388 | | |
Payable for forward currency contracts held, at value (Note 1) | | | 37,583,759 | | | | 21,334,342 | | |
Investment advisory fees payable (Note 2) | | | 30,449,711 | | | | 9,168,033 | | |
Distribution fees payable (Note 3) | | | 11,629,676 | | | | 1,936,407 | | |
Services fees payable (Note 3) | | | 2,514,298 | | | | 238,261 | | |
Trustee deferred compensation plan (Note 2) | | | 2,313,254 | | | | 2,109,344 | | |
Administrative fees payable (Note 2) | | | 444,806 | | | | 143,825 | | |
Trustee fees payable | | | 68,806 | | | | 24,824 | | |
Accrued expenses and other liabilities | | | 20,765,194 | | | | 8,589,072 | | |
Total Liabilities | | | 226,452,524 | | | | 82,847,899 | | |
Net Assets | | $ | 49,764,624,951 | | | $ | 14,970,486,462 | | |
* First Eagle Global Fund, First Eagle Overseas Fund, First Eagle U.S. Value Fund and First Eagle Gold Fund financial statements are shown on a consolidated basis and includes the balances of the First Eagle Global Cayman Fund, Ltd., First Eagle Overseas Cayman Fund, Ltd., First Eagle U.S. Value Cayman Fund, Ltd., and First Eagle Gold Cayman Fund, Ltd., respectively.
See Notes to Financial Statements.
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136
April 30, 2014 (unaudited)
| | FIRST EAGLE U.S. VALUE FUND* | | FIRST EAGLE GOLD FUND* | |
Assets | |
Investments, at Cost (Note 1) | |
Unaffiliated issuers | | $ | 2,252,631,043 | | | $ | 1,344,198,197 | | |
Affiliated issuers | | | 66,012,676 | | | | — | | |
Gold bullion | | | 142,974,103 | | | | 129,045,676 | | |
Foreign currency | | | 32 | | | | 124 | | |
Total Investments, at Cost | | | 2,461,617,854 | | | | 1,473,243,997 | | |
Investments, at Value (Note 1) | |
Unaffiliated issuers | | | 2,954,161,764 | | | | 1,097,896,282 | | |
Affiliated issuers | | | 65,159,744 | | | | — | | |
Gold bullion | | | 154,710,227 | | | | 253,654,900 | | |
Foreign currency | | | 32 | | | | 124 | | |
Total Investments, at Value | | | 3,174,031,767 | | | | 1,351,551,306 | | |
Cash | | | 18,195 | | | | 10,894 | | |
Receivable for forward currency contracts held, at value (Note 1) | | | — | | | | — | | |
Receivable for investment securities sold | | | 5,241,648 | | | | — | | |
Receivable for Fund shares sold | | | 2,751,528 | | | | 2,798,680 | | |
Accrued interest and dividends receivable | | | 2,849,384 | | | | 1,493,471 | | |
Investment for trustee deferred compensation plan (Note 2) | | | 1,463,211 | | | | 160,049 | | |
Other assets | | | 71,356 | | | | 60,203 | | |
Total Assets | | | 3,186,427,089 | | | | 1,356,074,603 | | |
Liabilities | |
Option contracts written, at value (premiums received $0, $0, $121,808 and $0, respectively) (Note 1) | | | 172,500 | | | | — | | |
Payable for Fund shares redeemed | | | 4,032,901 | | | | 1,658,335 | | |
Payable for investment securities purchased | | | 5,955,910 | | | | — | | |
Payable for forward currency contracts held, at value (Note 1) | | | — | | | | — | | |
Investment advisory fees payable (Note 2) | | | 1,952,053 | | | | 828,736 | | |
Distribution fees payable (Note 3) | | | 732,285 | | | | 286,514 | | |
Services fees payable (Note 3) | | | 148,573 | | | | 50,117 | | |
Trustee deferred compensation plan (Note 2) | | | 1,463,211 | | | | 160,049 | | |
Administrative fees payable (Note 2) | | | 42,489 | | | | 6,685 | | |
Trustee fees payable | | | 6,395 | | | | 613 | | |
Accrued expenses and other liabilities | | | 1,198,038 | | | | 1,049,898 | | |
Total Liabilities | | | 15,704,355 | | | | 4,040,947 | | |
Net Assets | | $ | 3,170,722,734 | | | $ | 1,352,033,656 | | |
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
137
Statement of Assets and Liabilities (continued)
| | FIRST EAGLE GLOBAL FUND* | | FIRST EAGLE OVERSEAS FUND* | |
Net Assets Consist of | |
Capital stock (par value, $0.001 per share) | | $ | 906,660 | | | $ | 620,278 | | |
Capital surplus | | | 38,294,181,434 | | | | 11,858,081,193 | | |
Net unrealized appreciation (depreciation) on: | |
Investments (net of $11,212,250, $4,739,792, $0 and $0 deferred capital gain country tax, respectively) | | | 11,002,892,681 | | | | 3,341,842,176 | | |
Foreign currency and forward contract related translation | | | (16,941,838 | ) | | | (10,965,303 | ) | |
Written options | | | — | | | | — | | |
Undistributed net realized gains (losses) on investments | | | 951,232,719 | | | | 226,248,034 | | |
Undistributed net investment income (loss) | | | (467,646,705 | ) | | | (445,339,916 | ) | |
Net Assets | | $ | 49,764,624,951 | | | $ | 14,970,486,462 | | |
Class A | |
Net assets | | $ | 20,021,398,748 | | | $ | 5,974,526,449 | | |
Shares outstanding | | | 363,473,143 | | | | 249,229,346 | | |
Net asset value per share and redemption proceeds per share | | $ | 55.08 | | | $ | 23.97 | | |
Offering price per share (NAV per share plus maximum sales charge) | | $ | 57.981 | | | $ | 25.231 | | |
Class C | |
Net assets | | $ | 12,325,380,470 | | | $ | 1,162,675,642 | | |
Shares outstanding | | | 228,460,686 | | | | 49,967,564 | | |
Net asset value per share | | $ | 53.95 | | | $ | 23.27 | | |
Redemption proceeds per share (NAV per share less maximum contingent deferred sale charge)2 | | $ | 53.41 | | | $ | 23.04 | | |
Class I | |
Net assets | | $ | 17,417,845,733 | | | $ | 7,833,284,371 | | |
Shares outstanding | | | 314,726,250 | | | | 321,080,813 | | |
Net asset value per share and redemption proceeds per share | | $ | 55.34 | | | $ | 24.40 | | |
* First Eagle Global Fund, First Eagle Overseas Fund, First Eagle U.S. Value Fund and First Eagle Gold Fund financial statements are shown on a consolidated basis and includes the balances of the First Eagle Global Cayman Fund, Ltd., First Eagle Overseas Cayman Fund, Ltd., First Eagle U.S. Value Cayman Fund, Ltd., and First Eagle Gold Cayman Fund, Ltd., respectively.
1 The maximum sales charge is 5.00% for Class A shares. Classes C, I and Y have no front-end sales charges.
2 The maximum CDSC (Contingent Deferred Sales Charge) is 1.00% for Class C shares, which is charged on the lesser of the offering price or the net asset value at the time of sale by shareholder. This pertains to investments of one year or less.
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
138
April 30, 2014 (unaudited)
| | FIRST EAGLE U.S. VALUE FUND* | | FIRST EAGLE GOLD FUND* | |
Net Assets Consist of | |
Capital stock (par value, $0.001 per share) | | $ | 154,167 | | | $ | 80,089 | | |
Capital surplus | | | 2,329,271,534 | | | | 1,633,785,905 | | |
Net unrealized appreciation (depreciation) on: | |
Investments (net of $11,212,250, $4,739,792, $0 and $0 deferred capital gain country tax, respectively) | | | 712,413,914 | | | | (121,692,691 | ) | |
Foreign currency and forward contract related translation | | | — | | | | — | | |
Written options | | | (50,692 | ) | | | — | | |
Undistributed net realized gains (losses) on investments | | | 119,901,752 | | | | (55,562,255 | ) | |
Undistributed net investment income (loss) | | | 9,032,059 | | | | (104,577,392 | ) | |
Net Assets | | $ | 3,170,722,734 | | | $ | 1,352,033,656 | | |
Class A | |
Net assets | | $ | 1,394,744,730 | | | $ | 669,177,363 | | |
Shares outstanding | | | 67,919,811 | | | | 39,506,280 | | |
Net asset value per share and redemption proceeds per share | | $ | 20.54 | | | $ | 16.94 | | |
Offering price per share (NAV per share plus maximum sales charge) | | $ | 21.621 | | | $ | 17.831 | | |
Class C | |
Net assets | | $ | 724,522,773 | | | $ | 244,248,033 | | |
Shares outstanding | | | 35,691,859 | | | | 15,056,245 | | |
Net asset value per share | | $ | 20.30 | | | $ | 16.22 | | |
Redemption proceeds per share (NAV per share less maximum contingent deferred sale charge)2 | | $ | 20.10 | | | $ | 16.06 | | |
Class I | |
Net assets | | $ | 1,051,455,231 | | | $ | 438,608,260 | | |
Shares outstanding | | | 50,555,382 | | | | 25,526,255 | | |
Net asset value per share and redemption proceeds per share | | $ | 20.80 | | | $ | 17.18 | | |
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
139
Statement of Assets and Liabilities (continued)
| | FIRST EAGLE GLOBAL INCOME BUILDER FUND | | FIRST EAGLE HIGH YIELD FUND | |
Assets | |
Investments, at Cost (Note 1) | |
Unaffiliated issuers | | $ | 794,906,157 | | | $ | 1,175,756,390 | | |
Gold bullion | | | 8,311,733 | | | | — | | |
Foreign currency | | | 626 | | | | 311,462 | | |
Total Investments, at Cost | | | 803,218,516 | | | | 1,176,067,852 | | |
Investments, at Value (Note 1) | |
Unaffiliated issuers | | | 857,240,585 | | | | 1,208,737,204 | | |
Gold bullion | | | 7,880,606 | | | | — | | |
Foreign currency | | | 629 | | | | 312,014 | | |
Total Investments, at Value | | | 865,121,820 | | | | 1,209,049,218 | | |
Cash | | | 29,663 | | | | 95,242 | | |
Restricted cash** | | | — | | | | — | | |
Receivable for forward currency contracts held, at value (Note 1) | | | 149,262 | | | | 200,887 | | |
Receivable for investment securities sold | | | 82,382 | | | | 4,975,239 | | |
Receivable for premiums for written options | | | — | | | | — | | |
Receivable for Fund shares sold | | | 25,476,968 | | | | 4,185,601 | | |
Accrued interest and dividends receivable | | | 6,518,525 | | | | 18,201,152 | | |
Investment for trustee deferred compensation plan (Note 2) | | | 86,594 | | | | 165,439 | | |
Other assets | | | 50,056 | | | | 47,692 | | |
Total Assets | | | 897,515,270 | | | | 1,236,920,470 | | |
Liabilities | |
Option contracts written, at value (premiums received $0, $0 and $41,672,093, respectively) (Note 1) | | | — | | | | — | | |
Payable for Fund shares redeemed | | | 792,469 | | | | 2,049,233 | | |
Payable for investment securities purchased | | | 44,654,585 | | | | 31,977,747 | | |
Payable for forward currency contracts held, at value (Note 1) | | | 722,669 | | | | 215,272 | | |
Payable for dividends to shareholders | | | 2,192,185 | | | | 1,484,031 | | |
Investment advisory fees payable (Note 2) | | | 527,987 | | | | 686,945 | | |
Distribution fees payable (Note 3) | | | 210,935 | | | | 189,975 | | |
Services fees payable (Note 3) | | | 46,423 | | | | 37,123 | | |
Trustee deferred compensation plan (Note 2) | | | 86,594 | | | | 165,439 | | |
Administrative fees payable (Note 2) | | | 32,604 | | | | 7,817 | | |
Trustee fees payable | | | 720 | | | | 1,530 | | |
Accrued expenses and other liabilities | | | 334,488 | | | | 316,430 | | |
Total Liabilities | | | 49,601,659 | | | | 37,131,542 | | |
Net Assets | | $ | 847,913,611 | | | $ | 1,199,788,928 | | |
** The amount of $5,994,000 represents restricted cash used as collateral for covered call options.
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
140
April 30, 2014 (unaudited)
| | FIRST EAGLE FUND OF AMERICA | |
Assets | |
Investments, at Cost (Note 1) | |
Unaffiliated issuers | | $ | 1,990,109,758 | | |
Gold bullion | | | — | | |
Foreign currency | | | — | | |
Total Investments, at Cost | | | 1,990,109,758 | | |
Investments, at Value (Note 1) | |
Unaffiliated issuers | | | 2,997,812,930 | | |
Gold bullion | | | — | | |
Foreign currency | | | — | | |
Total Investments, at Value | | | 2,997,812,930 | | |
Cash | | | 217,577 | | |
Restricted cash** | | | 5,994,000 | | |
Receivable for forward currency contracts held, at value (Note 1) | | | — | | |
Receivable for investment securities sold | | | 517,896 | | |
Receivable for premiums for written options | | | 360,773 | | |
Receivable for Fund shares sold | | | 11,213,334 | | |
Accrued interest and dividends receivable | | | 1,455,651 | | |
Investment for trustee deferred compensation plan (Note 2) | | | 1,860,201 | | |
Other assets | | | 59,762 | | |
Total Assets | | | 3,019,492,124 | | |
Liabilities | |
Option contracts written, at value (premiums received $0, $0 and $41,672,093, respectively) (Note 1) | | | 37,513,325 | | |
Payable for Fund shares redeemed | | | 4,692,603 | | |
Payable for investment securities purchased | | | 14,865,565 | | |
Payable for forward currency contracts held, at value (Note 1) | | | — | | |
Payable for dividends to shareholders | | | — | | |
Investment advisory fees payable (Note 2) | | | 2,325,217 | | |
Distribution fees payable (Note 3) | | | 700,353 | | |
Services fees payable (Note 3) | | | 114,011 | | |
Trustee deferred compensation plan (Note 2) | | | 1,860,201 | | |
Administrative fees payable (Note 2) | | | 20,755 | | |
Trustee fees payable | | | 1,989 | | |
Accrued expenses and other liabilities | | | 764,084 | | |
Total Liabilities | | | 62,858,103 | | |
Net Assets | | $ | 2,956,634,021 | | |
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
141
Statement of Assets and Liabilities (continued)
| | FIRST EAGLE GLOBAL INCOME BUILDER FUND | | FIRST EAGLE HIGH YIELD FUND | |
Net Assets Consist of | |
Capital stock (par value, $0.001 per share) | | $ | 71,904 | | | $ | 117,028 | | |
Capital surplus | | | 783,643,089 | | | | 1,159,718,564 | | |
Net unrealized appreciation (depreciation) on: | |
Investments | | | 61,903,301 | | | | 32,980,814 | | |
Foreign currency and forward contract related translation | | | (545,649 | ) | | | (10,195 | ) | |
Written options | | | — | | | | — | | |
Undistributed net realized gains on investments | | | 3,604,765 | | | | 7,065,519 | | |
Undistributed net investment loss | | | (763,799 | ) | | | (82,802 | ) | |
Net Assets | | $ | 847,913,611 | | | $ | 1,199,788,928 | | |
Class A | |
Net assets | | $ | 363,354,649 | | | $ | 384,263,239 | | |
Shares outstanding | | | 30,769,511 | | | | 37,475,874 | | |
Net asset value per share and redemption proceeds per share | | $ | 11.81 | | | $ | 10.25 | | |
Offering price per share (NAV per share plus maximum sales charge) | | $ | 12.431 | | | $ | 10.732 | | |
Class C | |
Net assets | | $ | 238,467,624 | | | $ | 182,800,291 | | |
Shares outstanding | | | 20,247,382 | | | | 17,846,480 | | |
Net asset value per share | | $ | 11.78 | | | $ | 10.24 | | |
Redemption proceeds per share (NAV per share less maximum contingent deferred sale charge)3 | | $ | 11.66 | | | $ | 10.14 | | |
Class I | |
Net assets | | $ | 246,091,338 | | | $ | 632,725,398 | | |
Shares outstanding | | | 20,886,745 | | | | 61,705,994 | | |
Net asset value per share and redemption proceeds per share | | $ | 11.78 | | | $ | 10.25 | | |
Class Y | |
Net assets | | | — | | | | — | | |
Shares outstanding | | | — | | | | — | | |
Net asset value per share and redemption proceeds per share | | | — | | | | — | | |
1 The maximum sales charge is 5.00% for Class A shares. Classes C, I and Y have no front-end sales charges.
2 The maximum sales charge is 4.50% for Class A shares. Classes C, I and Y have no front-end sales charges.
3 The maximum CDSC (Contingent Deferred Sales Charge) is 1.00% for Class C shares, which is charged on the lesser of the offering price or the net asset value at the time of sale by shareholder. This pertains to investments of one year or less.
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
142
April 30, 2014 (unaudited)
| | FIRST EAGLE FUND OF AMERICA | |
Net Assets Consist of | |
Capital stock (par value, $0.001 per share) | | $ | 80,537 | | |
Capital surplus | | | 1,944,844,631 | | |
Net unrealized appreciation (depreciation) on: | |
Investments | | | 1,007,703,172 | | |
Foreign currency and forward contract related translation | | | — | | |
Written options | | | 4,158,768 | | |
Undistributed net realized gains on investments | | | 1,151,713 | | |
Undistributed net investment loss | | | (1,304,800 | ) | |
Net Assets | | $ | 2,956,634,021 | | |
Class A | |
Net assets | | $ | 1,234,464,563 | | |
Shares outstanding | | | 32,840,706 | | |
Net asset value per share and redemption proceeds per share | | $ | 37.59 | | |
Offering price per share (NAV per share plus maximum sales charge) | | $ | 39.571 | | |
Class C | |
Net assets | | $ | 564,590,913 | | |
Shares outstanding | | | 17,501,547 | | |
Net asset value per share | | $ | 32.26 | | |
Redemption proceeds per share (NAV per share less maximum contingent deferred sale charge)3 | | $ | 31.94 | | |
Class I | |
Net assets | | $ | 626,652,219 | | |
Shares outstanding | | | 16,346,652 | | |
Net asset value per share and redemption proceeds per share | | $ | 38.34 | | |
Class Y | |
Net assets | | $ | 530,926,326 | | |
Shares outstanding | | | 13,848,149 | | |
Net asset value per share and redemption proceeds per share | | $ | 38.34 | | |
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
143
| | FIRST EAGLE GLOBAL FUND* | | FIRST EAGLE OVERSEAS FUND* | |
Investment Income | |
Interest | | $ | 10,403,143 | | | $ | 7,773,641 | | |
Dividends from: (net of $25,588,547, $13,866,464, $453,364 and $414,915 foreign taxes withheld, respectively) | |
Unaffiliated issuers | | | 335,458,271 | | | | 105,107,902 | | |
Affiliated issuers | | | 39,250,742 | | | | 2,768,274 | | |
Other Income | | | 9 | | | | 69 | | |
Total Income | | | 385,112,165 | | | | 115,649,886 | | |
Expenses | |
Investment advisory fees (Note 2) | | | 177,122,616 | | | | 53,891,104 | | |
Administrative costs (Note 2) | | | 2,117,615 | | | | 658,357 | | |
Distribution fees (Note 3) | |
Class A | | | 24,052,781 | | | | 7,300,118 | | |
Class C | | | 43,947,741 | | | | 4,215,928 | | |
Class Y | | | — | | | | — | | |
Service fees - Class C (Note 3) | | | 14,649,247 | | | | 1,405,310 | | |
Shareholder servicing agent fees | | | 19,715,223 | | | | 7,071,494 | | |
Custodian and accounting fees | | | 2,458,755 | | | | 1,214,825 | | |
Professional fees | | | 351,636 | | | | 164,911 | | |
Shareholder reporting fees | | | 1,691,456 | | | | 703,190 | | |
Trustees' fees | | | 442,723 | | | | 141,753 | | |
Registration and filing fees | | | 615,684 | | | | 205,783 | | |
Other Expenses | | | 291,073 | | | | 113,233 | | |
Total Expenses | | | 287,456,550 | | | | 77,086,006 | | |
Expense reductions due to earnings credits (Note 1) | | | (1,683 | ) | | | (526 | ) | |
Net Expenses | | | 287,454,867 | | | | 77,085,480 | | |
Net Investment Income (Loss) (Note 1) | | | 97,657,298 | | | | 38,564,406 | | |
Realized and Unrealized Gains (Losses) on Investments, Foreign Currency Related Transactions and Written Options (Note 1) | |
Net realized gains (losses) from: | |
Investment transactions of unaffiliated issuers | | | 842,327,632 | | | | 198,684,060 | | |
Investment transactions of affiliated issuers | | | 52,166,586 | | | | (1,079,725 | ) | |
Commodity related transactions | | | — | | | | — | | |
Foreign currency and forward contract related transactions | | | 45,226,013 | | | | 19,207,746 | | |
Payment from affiliates | | | 65,047 | | | | — | | |
Written options | | | 373,861 | | | | — | | |
| | | 940,159,139 | | | | 216,812,081 | | |
Changes in unrealized appreciation (depreciation) of: | |
Investment transactions (net of decrease in deferred capital gain country tax accruals of $2,121,938, $989,326, $0, and $0, respectively) | | | 1,240,322,376 | | | | 367,083,245 | | |
Foreign currency and forward contract related translation | | | 24,291,464 | | | | 14,661,127 | | |
Written options | | | (322,861 | ) | | | — | | |
| | | 1,264,290,979 | | | | 381,744,372 | | |
Net realized and unrealized gains (losses) on investments, foreign currency and forward contract related transactions and written options | | | 2,204,450,118 | | | | 598,556,453 | | |
Net Increase (Decrease) in Net Assets Resulting from Operations | | $ | 2,302,107,416 | | | $ | 637,120,859 | | |
* First Eagle Global Fund, First Eagle Overseas Fund, First Eagle U.S. Value Fund and First Eagle Gold Fund financial statements are shown on a consolidated basis and includes the balances of the First Eagle Global Cayman Fund, Ltd., First Eagle Overseas Cayman Fund, Ltd., First Eagle U.S. Value Cayman Fund, Ltd., and First Eagle Gold Cayman Fund, Ltd., respectively.
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
144
Six Months Ended April 30, 2014 (unaudited)
| | FIRST EAGLE U.S. VALUE FUND* | | FIRST EAGLE GOLD FUND* | |
Investment Income | |
Interest | | $ | 2,754,458 | | | $ | 865,869 | | |
Dividends from: (net of $25,588,547, $13,866,464, $453,364 and $414,915 foreign taxes withheld, respectively) | |
Unaffiliated issuers | | | 25,427,229 | | | | 5,089,718 | | |
Affiliated issuers | | | 173,583 | | | | — | | |
Other Income | | | — | | | | 24 | | |
Total Income | | | 28,355,270 | | | | 5,955,611 | | |
Expenses | |
Investment advisory fees (Note 2) | | | 11,933,000 | | | | 4,910,460 | | |
Administrative costs (Note 2) | | | 153,490 | | | | 2,803 | | |
Distribution fees (Note 3) | |
Class A | | | 1,769,376 | | | | 811,536 | | |
Class C | | | 2,691,815 | | | | 905,775 | | |
Class Y | | | — | | | | — | | |
Service fees - Class C (Note 3) | | | 897,272 | | | | 301,925 | | |
Shareholder servicing agent fees | | | 1,855,209 | | | | 1,468,953 | | |
Custodian and accounting fees | | | 156,977 | | | | 186,752 | | |
Professional fees | | | 76,461 | | | | 87,228 | | |
Shareholder reporting fees | | | 167,954 | | | | 150,349 | | |
Trustees' fees | | | 35,420 | | | | 21,655 | | |
Registration and filing fees | | | 98,507 | | | | 95,458 | | |
Other Expenses | | | 49,222 | | | | 43,483 | | |
Total Expenses | | | 19,884,703 | | | | 8,986,377 | | |
Expense reductions due to earnings credits (Note 1) | | | (189 | ) | | | (174 | ) | |
Net Expenses | | | 19,884,514 | | | | 8,986,203 | | |
Net Investment Income (Loss) (Note 1) | | | 8,470,756 | | | | (3,030,592 | ) | |
Realized and Unrealized Gains (Losses) on Investments, Foreign Currency Related Transactions and Written Options (Note 1) | |
Net realized gains (losses) from: | |
Investment transactions of unaffiliated issuers | | | 122,112,957 | | | | (95,623,449 | ) | |
Investment transactions of affiliated issuers | | | (240,203 | ) | | | — | | |
Commodity related transactions | | | (1,687,477 | ) | | | 54,264,057 | | |
Foreign currency and forward contract related transactions | | | (8,686 | ) | | | 15,831 | | |
Payment from affiliates | | | 3,562 | | | | — | | |
Written options | | | 61,577 | | | | — | | |
| | | 120,241,730 | | | | (41,343,561 | ) | |
Changes in unrealized appreciation (depreciation) of: | |
Investment transactions (net of decrease in deferred capital gain country tax accruals of $2,121,938, $989,326, $0, and $0, respectively) | | | 56,290,434 | | | | 12,398,612 | | |
Foreign currency and forward contract related translation | | | (1 | ) | | | (180 | ) | |
Written options | | | (103,869 | ) | | | — | | |
| | | 56,186,564 | | | | 12,398,432 | | |
Net realized and unrealized gains (losses) on investments, foreign currency and forward contract related transactions and written options | | | 176,428,294 | | | | (28,945,129 | ) | |
Net Increase (Decrease) in Net Assets Resulting from Operations | | $ | 184,899,050 | | | $ | (31,975,721 | ) | |
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
145
Statement of Operations (continued)
| | FIRST EAGLE GLOBAL INCOME BUILDER FUND | | FIRST EAGLE HIGH YIELD FUND | |
Investment Income | |
Interest | | $ | 7,582,664 | | | $ | 34,792,055 | | |
Dividends from: (net of $537,281, $0 and $40,525, foreign taxes withheld, respectively) | |
Unaffiliated issuers | | | 6,218,006 | | | | — | | |
Other Income | | | — | | | | 4,460 | | |
Total Income | | | 13,800,670 | | | | 34,796,515 | | |
Expenses | |
Investment advisory fees (Note 2) | | | 2,385,249 | | | | 3,857,639 | | |
Administrative costs (Note 2) | | | 159,017 | | | | 49,932 | | |
Distribution fees (Note 3) | |
Class A | | | 354,379 | | | | 450,427 | | |
Class C | | | 684,694 | | | | 632,098 | | |
Class Y | | | — | | | | — | | |
Service fees - Class C (Note 3) | | | 228,231 | | | | 210,699 | | |
Shareholder servicing agent fees | | | 386,746 | | | | 391,598 | | |
Custodian and accounting fees | | | 86,254 | | | | 95,298 | | |
Professional fees | | | 56,773 | | | | 56,582 | | |
Recoupment of previously reimbursed expenses | | | 105,748 | | | | 26,880 | | |
Shareholder reporting fees | | | 26,629 | | | | 43,355 | | |
Trustees' fees | | | 4,402 | | | | 9,235 | | |
Registration and filing fees | | | 95,470 | | | | 97,962 | | |
Other Expenses | | | 32,201 | | | | 32,355 | | |
Total Expenses | | | 4,605,793 | | | | 5,954,060 | | |
Expense Waiver | | | — | | | | (44,141 | ) | |
Expense reductions due to earnings credits (Note 1) | | | (30 | ) | | | (39 | ) | |
Net Expenses | | | 4,605,763 | | | | 5,909,880 | | |
Net Investment Income (Note 1) | | | 9,194,907 | | | | 28,886,635 | | |
Realized and Unrealized Gains (Losses) on Investments, Foreign Currency Related Transactions and Written Options (Note 1) | |
Net realized gains (losses) from: | |
Investment transactions of unaffiliated issuers | | | 5,329,663 | | | | 10,212,667 | | |
Foreign currency and forward contract related transactions | | | (1,095,564 | ) | | | (1,423,080 | ) | |
Payment from affiliates | | | 9,348 | | | | — | | |
Written options | | | — | | | | — | | |
| | | 4,243,447 | | | | 8,789,587 | | |
Changes in unrealized appreciation (depreciation) of: | |
Investment transactions | | | 30,515,787 | | | | 6,348,940 | | |
Foreign currency and forward contract related translation | | | 248,807 | | | | 745,131 | | |
Written options | | | — | | | | — | | |
| | | 30,764,594 | | | | 7,094,071 | | |
Net realized and unrealized gains on investments, foreign currency and forward contract related transactions and written options | | | 35,008,041 | | | | 15,883,658 | | |
Net Increase in Net Assets Resulting from Operations | | $ | 44,202,948 | | | $ | 44,770,293 | | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
146
Six Months Ended April 30, 2014 (unaudited)
| | FIRST EAGLE FUND OF AMERICA | |
Investment Income | |
Interest | | $ | 51,188 | | |
Dividends from: (net of $537,281, $0 and $40,525, foreign taxes withheld, respectively) | |
Unaffiliated issuers | | | 21,300,716 | | |
Other Income | | | — | | |
Total Income | | | 21,351,904 | | |
Expenses | |
Investment advisory fees (Note 2) | | | 13,259,520 | | |
Administrative costs (Note 2) | | | 123,320 | | |
Distribution fees (Note 3) | |
Class A | | | 1,418,785 | | |
Class C | | | 1,914,574 | | |
Class Y | | | 655,816 | | |
Service fees - Class C (Note 3) | | | 638,191 | | |
Shareholder servicing agent fees | | | 1,442,055 | | |
Custodian and accounting fees | | | 99,541 | | |
Professional fees | | | 99,556 | | |
Recoupment of previously reimbursed expenses | | | — | | |
Shareholder reporting fees | | | 122,311 | | |
Trustees' fees | | | 23,387 | | |
Registration and filing fees | | | 119,726 | | |
Other Expenses | | | 42,005 | | |
Total Expenses | | | 19,958,787 | | |
Expense Waiver | | | — | | |
Expense reductions due to earnings credits (Note 1) | | | (146 | ) | |
Net Expenses | | | 19,958,641 | | |
Net Investment Income (Note 1) | | | 1,393,263 | | |
Realized and Unrealized Gains (Losses) on Investments, Foreign Currency Related Transactions and Written Options (Note 1) | |
Net realized gains (losses) from: | |
Investment transactions of unaffiliated issuers | | | 112,377,083 | | |
Foreign currency and forward contract related transactions | | | — | | |
Payment from affiliates | | | 21,144 | | |
Written options | | | (78,105,654 | ) | |
| | | 34,292,573 | | |
Changes in unrealized appreciation (depreciation) of: | |
Investment transactions | | | 196,228,774 | | |
Foreign currency and forward contract related translation | | | — | | |
Written options | | | 21,380,811 | | |
| | | 217,609,585 | | |
Net realized and unrealized gains on investments, foreign currency and forward contract related transactions and written options | | | 251,902,158 | | |
Net Increase in Net Assets Resulting from Operations | | $ | 253,295,421 | | |
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
147
Statements of Changes in Net Assets
| | FIRST EAGLE GLOBAL FUND* | | FIRST EAGLE OVERSEAS FUND* | |
| | SIX MONTHS ENDED APRIL 30, 2014 (unaudited) | | YEAR ENDED OCTOBER 31, 2013 | | SIX MONTHS ENDED APRIL 30, 2014 (unaudited) | | YEAR ENDED OCTOBER 31, 2013 | |
Operations | |
Net investment income (loss) | | $ | 97,657,298 | | | $ | 268,941,220 | | | $ | 38,564,406 | | | $ | 85,063,542 | | |
Net realized gain (loss) from investments, foreign currency and forward contract related transactions and written options | | | 940,159,139 | | | | 1,443,674,876 | | | | 216,812,081 | | | | 553,743,834 | | |
Change in unrealized appreciation (depreciation) of investments, foreign currency and forward contract related transactions and written options | | | 1,264,290,979 | | | | 4,457,513,585 | | | | 381,744,372 | | | | 1,220,125,718 | | |
Net increase (decrease) in net assets resulting from operations | | | 2,302,107,416 | | | | 6,170,129,681 | | | | 637,120,859 | | | | 1,858,933,094 | | |
Distribution to Shareholders | |
Dividends paid from net investment income | |
Class A | | | (227,398,380 | ) | | | (163,784,329 | ) | | | (112,591,725 | ) | | | (59,747,911 | ) | |
Class C | | | (61,823,952 | ) | | | (31,090,001 | ) | | | (14,323,784 | ) | | | (5,650,460 | ) | |
Class I | | | (224,726,363 | ) | | | (144,298,326 | ) | | | (155,602,855 | ) | | | (73,001,519 | ) | |
Distributions paid from net realized gains from investment transactions | |
Class A | | | (615,281,136 | ) | | | (515,356,389 | ) | | | (232,225,033 | ) | | | (205,372,548 | ) | |
Class C | | | (381,040,149 | ) | | | (311,092,874 | ) | | | (45,536,166 | ) | | | (40,854,132 | ) | |
Class I | | | (508,789,469 | ) | | | (367,245,305 | ) | | | (285,819,836 | ) | | | (213,569,253 | ) | |
Decrease in net assets resulting from distributions | | | (2,019,059,449 | ) | | | (1,532,867,224 | ) | | | (846,099,399 | ) | | | (598,195,823 | ) | |
Fund Share Transactions (Note 6) | |
Net proceeds from shares sold | | | 5,631,619,388 | | | | 10,684,434,770 | | | | 1,943,172,476 | | | | 4,049,337,623 | | |
Net asset value of shares issued for reinvested dividends and distributions | | | 1,598,701,427 | | | | 1,212,645,609 | | | | 715,496,469 | | | | 505,565,817 | | |
Cost of shares redeemed | | | (3,749,369,566 | ) | | | (6,877,542,066 | ) | | | (1,889,387,287 | ) | | | (2,754,246,104 | ) | |
Redemption fees | | | — | | | | 210,543 | | | | — | | | | 10,692 | | |
Increase (decrease) in net assets from Fund share transactions | | | 3,480,951,249 | | | | 5,019,748,856 | | | | 769,281,658 | | | | 1,800,668,028 | | |
Net increase (decrease) in net assets | | | 3,763,999,216 | | | | 9,657,011,313 | | | | 560,303,118 | | | | 3,061,405,299 | | |
Net Assets (Note 1) | |
Beginning of period | | | 46,000,625,735 | | | | 36,343,614,422 | | | | 14,410,183,344 | | | | 11,348,778,045 | | |
End of period | | $ | 49,764,624,951 | | | $ | 46,000,625,735 | | | $ | 14,970,486,462 | | | $ | 14,410,183,344 | | |
Undistributed net investment income (loss) | | $ | (467,646,705 | ) | | $ | (51,355,308 | ) | | $ | (445,339,916 | ) | | $ | (201,385,958 | ) | |
* First Eagle Global Fund, First Eagle Overseas Fund, First Eagle U.S. Value Fund and First Eagle Gold Fund financial statements are shown on a consolidated basis and includes the balances of the First Eagle Global Cayman Fund, Ltd., First Eagle Overseas Cayman Fund, Ltd., First Eagle U.S. Value Cayman Fund, Ltd., and First Eagle Gold Cayman Fund, Ltd., respectively.
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
148
| | FIRST EAGLE U.S. VALUE FUND* | | FIRST EAGLE GOLD FUND* | |
| | SIX MONTHS ENDED APRIL 30, 2014 (unaudited) | | YEAR ENDED OCTOBER 31, 2013 | | SIX MONTHS ENDED APRIL 30, 2014 (unaudited) | | YEAR ENDED OCTOBER 31, 2013 | |
Operations | |
Net investment income (loss) | | $ | 8,470,756 | | | $ | 26,967,686 | | | $ | (3,030,592 | ) | | $ | (3,834,376 | ) | |
Net realized gain (loss) from investments, foreign currency and forward contract related transactions and written options | | | 120,241,731 | | | | 112,869,726 | | | | (41,343,561 | ) | | | (195,499,006 | ) | |
Change in unrealized appreciation (depreciation) of investments, foreign currency and forward contract related transactions and written options | | | 56,186,563 | | | | 284,264,216 | | | | 12,398,432 | | | | (1,108,704,575 | ) | |
Net increase (decrease) in net assets resulting from operations | | | 184,899,050 | | | | 424,101,628 | | | | (31,975,721 | ) | | | (1,308,037,957 | ) | |
Distribution to Shareholders | |
Dividends paid from net investment income | |
Class A | | | (10,460,091 | ) | | | (9,725,999 | ) | | | — | | | | (4,157,731 | ) | |
Class C | | | (143,705 | ) | | | (247,938 | ) | | | — | | | | (417 | ) | |
Class I | | | (10,220,051 | ) | | | (8,637,463 | ) | | | — | | | | (4,720,304 | ) | |
Distributions paid from net realized gains from investment transactions | |
Class A | | | (52,254,308 | ) | | | (32,729,995 | ) | | | — | | | | — | | |
Class C | | | (26,476,094 | ) | | | (14,995,424 | ) | | | — | | | | — | | |
Class I | | | (37,762,793 | ) | | | (21,670,124 | ) | | | — | | | | — | | |
Decrease in net assets resulting from distributions | | | (137,317,042 | ) | | | (88,006,943 | ) | | | — | | | | (8,878,452 | ) | |
Fund Share Transactions (Note 6) | |
Net proceeds from shares sold | | | 244,636,296 | | | | 834,733,529 | | | | 277,596,562 | | | | 907,417,003 | | |
Net asset value of shares issued for reinvested dividends and distributions | | | 108,162,663 | | | | 71,620,315 | | | | — | | | | 5,750,551 | | |
Cost of shares redeemed | | | (515,192,094 | ) | | | (950,735,608 | ) | | | (449,814,675 | ) | | | (1,115,712,771 | ) | |
Redemption fees | | | — | | | | — | | | | 161,559 | | | | 267,192 | | |
Increase (decrease) in net assets from Fund share transactions | | | (162,393,135 | ) | | | (44,381,764 | ) | | | (172,056,554 | ) | | | (202,278,025 | ) | |
Net increase (decrease) in net assets | | | (114,811,127 | ) | | | 291,712,921 | | | | (204,032,275 | ) | | | (1,519,194,434 | ) | |
Net Assets (Note 1) | |
Beginning of period | | | 3,285,533,861 | | | | 2,993,820,940 | | | | 1,556,065,931 | | | | 3,075,260,365 | | |
End of period | | $ | 3,170,722,734 | | | $ | 3,285,533,861 | | | $ | 1,352,033,656 | | | $ | 1,556,065,931 | | |
Undistributed net investment income (loss) | | $ | 9,032,059 | | | $ | 21,385,150 | | | $ | (104,577,392 | ) | | $ | (101,546,800 | ) | |
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
149
Statements of Changes in Net Assets (continued)
| | FIRST EAGLE GLOBAL INCOME BUILDER FUND | | FIRST EAGLE HIGH YIELD FUND | |
| | SIX MONTHS ENDED APRIL 30, 2014 (unaudited) | | YEAR ENDED OCTOBER 31, 2013 | | SIX MONTHS ENDED APRIL 30, 2014 (unaudited) | | YEAR ENDED OCTOBER 31, 2013 | |
Operations | |
Net investment income | | $ | 9,194,907 | | | $ | 11,585,054 | | | $ | 28,886,635 | | | $ | 49,165,802 | | |
Net realized gain (loss) from investments, foreign currency and forward contract related transactions and written options | | | 4,243,447 | | | | (709,160 | ) | | | 8,789,587 | | | | (2,765,867 | ) | |
Change in unrealized appreciation (depreciation) of investments, foreign currency and forward contract related transactions and written options | | | 30,764,594 | | | | 28,562,197 | | | | 7,094,071 | | | | 12,350,804 | | |
Net increase in net assets resulting from operations | | | 44,202,948 | | | | 39,438,091 | | | | 44,770,293 | | | | 58,750,739 | | |
Distribution to Shareholders | |
Dividends paid from net investment income | |
Class A | | | (4,775,946 | ) | | | (5,328,442 | ) | | | (9,389,831 | ) | | | (17,581,864 | ) | |
Class C | | | (2,383,265 | ) | | | (2,750,710 | ) | | | (3,755,964 | ) | | | (7,437,383 | ) | |
Class I | | | (3,087,591 | ) | | | (3,433,692 | ) | | | (15,738,497 | ) | | | (24,148,637 | ) | |
Class Y | | | — | | | | — | | | | — | | | | — | | |
Distributions paid from net realized gains from investment transactions | |
Class A | | | — | | | | — | | | | — | | | | (236,977 | ) | |
Class C | | | — | | | | — | | | | — | | | | (125,800 | ) | |
Class I | | | — | | | | — | | | | — | | | | (322,171 | ) | |
Class Y | | | — | | | | — | | | | — | | | | — | | |
Decrease in net assets resulting from distributions | | | (10,246,802 | ) | | | (11,512,844 | ) | | | (28,884,292 | ) | | | (49,852,832 | ) | |
Fund Share Transactions (Note 6) | |
Net proceeds from shares sold | | | 344,680,425 | | | | 423,146,840 | | | | 324,844,544 | | | | 604,885,575 | | |
Net asset value of shares issued for reinvested dividends and distributions | | | 7,223,670 | | | | 7,172,309 | | | | 20,156,953 | | | | 36,664,728 | | |
Cost of shares redeemed | | | (45,959,944 | ) | | | (57,584,480 | ) | | | (176,510,886 | ) | | | (276,935,608 | ) | |
Redemption fees | | | — | | | | — | | | | — | | | | — | | |
Increase in net assets from Fund share transactions | | | 305,944,151 | | | | 372,734,669 | | | | 168,490,611 | | | | 364,614,695 | | |
Net increase in net assets | | | 339,900,297 | | | | 400,659,916 | | | | 184,376,612 | | | | 373,512,602 | | |
Net Assets (Note 1) | |
Beginning of period | | | 508,013,314 | | | | 107,353,398 | | | | 1,015,412,316 | | | | 641,899,714 | | |
End of period | | $ | 847,913,611 | | | $ | 508,013,314 | | | $ | 1,199,788,928 | | | $ | 1,015,412,316 | | |
Undistributed net investment income (loss) | | $ | (763,799 | ) | | $ | 288,096 | | | $ | (82,802 | ) | | $ | (85,145 | ) | |
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
150
| | FIRST EAGLE FUND OF AMERICA | |
| | SIX MONTHS ENDED APRIL 30, 2014 (unaudited) | | YEAR ENDED OCTOBER 31, 2013 | |
Operations | |
Net investment income | | $ | 1,393,263 | | | $ | 4,287,910 | | |
Net realized gain (loss) from investments, foreign currency and forward contract related transactions and written options | | | 34,292,573 | | | | 54,012,239 | | |
Change in unrealized appreciation (depreciation) of investments, foreign currency and forward contract related transactions and written options | | | 217,609,585 | | | | 454,484,935 | | |
Net increase in net assets resulting from operations | | | 253,295,421 | | | | 512,785,084 | | |
Distribution to Shareholders | |
Dividends paid from net investment income | |
Class A | | | (2,659,824 | ) | | | (239,973 | ) | |
Class C | | | — | | | | — | | |
Class I | | | (2,364,371 | ) | | | — | | |
Class Y | | | (859,560 | ) | | | (211,957 | ) | |
Distributions paid from net realized gains from investment transactions | |
Class A | | | (15,778,835 | ) | | | — | | |
Class C | | | (8,199,122 | ) | | | — | | |
Class I | | | (7,391,919 | ) | | | — | | |
Class Y | | | (7,355,578 | ) | | | — | | |
Decrease in net assets resulting from distributions | | | (44,609,209 | ) | | | (451,930 | ) | |
Fund Share Transactions (Note 6) | |
Net proceeds from shares sold | | | 448,781,470 | | | | 1,131,507,230 | | |
Net asset value of shares issued for reinvested dividends and distributions | | | 36,044,299 | | | | 389,689 | | |
Cost of shares redeemed | | | (224,024,326 | ) | | | (768,152,320 | ) | |
Redemption fees | | | — | | | | — | | |
Increase in net assets from Fund share transactions | | | 260,801,443 | | | | 363,744,599 | | |
Net increase in net assets | | | 469,487,655 | | | | 876,077,753 | | |
Net Assets (Note 1) | |
Beginning of period | | | 2,487,146,366 | | | | 1,611,068,613 | | |
End of period | | $ | 2,956,634,021 | | | $ | 2,487,146,366 | | |
Undistributed net investment income (loss) | | $ | (1,304,800 | ) | | $ | 3,185,692 | | |
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
151
| | SIX MONTHS ENDED | | YEAR ENDED OCTOBER 31, | |
| | APRIL 30, 2014 (unaudited) | | 2013 | |
| | CLASS A | | CLASS C | | CLASS I | | CLASS A | | CLASS C | | CLASS I | |
Selected data for a share of beneficial interest outstanding throughout each period is presented below:* | |
Net asset value, beginning of period ($) | | | 54.92 | | | | 53.67 | | | | 55.23 | | | | 49.24 | | | | 48.16 | | | | 49.50 | | |
Income (loss) from investment operations: | |
Net investment income (loss) ($) | | | 0.14 | | | | -0.06 | | | | 0.21 | | | | 0.39 | | | | 0.01 | | | | 0.52 | | |
Net realized and unrealized gains (losses) on investments | | | 2.46 | | | | 2.41 | | | | 2.46 | | | | 7.41 | | | | 7.27 | | | | 7.45 | | |
Total income (loss) from investment operations | | | 2.60 | | | | 2.35 | | | | 2.67 | | | | 7.80 | | | | 7.28 | | | | 7.97 | | |
Less distributions: | |
Dividends from net investment income ($) | | | -0.66 | | | | -0.29 | | | | -0.78 | | | | -0.51 | | | | -0.16 | | | | -0.63 | | |
Distributions from capital gains | | | -1.78 | | | | -1.78 | | | | -1.78 | | | | -1.61 | | | | -1.61 | | | | -1.61 | | |
Total distributions | | | -2.44 | | | | -2.07 | | | | -2.56 | | | | -2.12 | | | | -1.77 | | | | -2.24 | | |
Net asset value, end of period ($) | | | 55.08 | | | | 53.95 | | | | 55.34 | | | | 54.92 | | | | 53.67 | | | | 55.23 | | |
Total return(c) (%) | | | 4.98 | (a) | | | 4.58 | (a) | | | 5.11 | (a) | | | 16.47 | | | | 15.63 | | | | 16.78 | | |
Ratios and supplemental data | |
Net assets, end of period (millions) ($) | | | 20,021 | | | | 12,325 | | | | 17,418 | | | | 18,987 | | | | 11,436 | | | | 15,578 | | |
Ratio of operating expenses to average net assets including earnings credits (%) | | | 1.12 | (b) | | | 1.87 | (b) | | | 0.87 | (b) | | | 1.13 | | | | 1.87 | | | | 0.88 | | |
Ratio of operating expenses to average net assets excluding earnings credits (%) | | | 1.12 | (b) | | | 1.87 | (b) | | | 0.87 | (b) | | | 1.13 | | | | 1.87 | | | | 0.88 | | |
Ratio of net investment income (loss) to average net assets including earnings credits (%) | | | 0.51 | (b) | | | -0.24 | (b) | | | 0.77 | (b) | | | 0.77 | | | | 0.02 | | | | 1.02 | | |
Ratio of net investment income (loss) to average net assets excluding earnings credits (%) | | | 0.51 | (b) | | | -0.24 | (b) | | | 0.77 | (b) | | | 0.77 | | | | 0.02 | | | | 1.02 | | |
Portfolio turnover rate (%) | | | 7.48 | (a) | | | 7.48 | (a) | | | 7.48 | (a) | | | 11.60 | | | | 11.60 | | | | 11.60 | | |
* Per share amounts have been calculated using the average shares method.
** Amount represents less than $0.01 per share.
(a) Not Annualized
(b) Annualized
(c) Does not take into account the sale charge of 5.00% for Class A and the CDSC (Contingent Deferred Sales Charge) of 1.00% for Class C shares.
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | April 30, 2014
152
| | YEAR ENDED OCTOBER 31, | |
| | 2012 | | 2011 | | 2010 | | 2009 | |
| | CLASS A | | CLASS C | | CLASS I | | CLASS A | | CLASS C | | CLASS I | | CLASS A | | CLASS C | | CLASS I | | CLASS A | | CLASS C | | CLASS I | |
Selected data for a share of beneficial interest outstanding throughout each period is presented below:* | |
Net asset value, beginning of period ($) | | | 46.90 | | | | 45.91 | | | | 47.15 | | | | 44.36 | | | | 43.47 | | | | 44.59 | | | | 38.74 | | | | 38.07 | | | | 38.92 | | | | 34.45 | | | | 33.99 | | | | 34.62 | | |
Income (loss) from investment operations: | |
Net investment income (loss) ($) | | | 0.45 | | | | 0.09 | | | | 0.57 | | | | 0.39 | | | | 0.04 | | | | 0.51 | | | | 0.56 | | | | 0.26 | | | | 0.69 | | | | 0.39 | | | | 0.13 | | | | 0.47 | | |
Net realized and unrealized gains (losses) on investments | | | 3.03 | | | | 2.98 | | | | 3.03 | | | | 2.79 | | | | 2.75 | | | | 2.81 | | | | 5.63 | | | | 5.51 | | | | 5.63 | | | | 6.35 | | | | 6.26 | | | | 6.39 | | |
Total income (loss) from investment operations | | | 3.48 | | | | 3.07 | | | | 3.60 | | | | 3.18 | | | | 2.79 | | | | 3.32 | | | | 6.19 | | | | 5.77 | | | | 6.32 | | | | 6.74 | | | | 6.39 | | | | 6.86 | | |
Less distributions: | |
Dividends from net investment income ($) | | | -0.53 | | | | -0.21 | | | | -0.64 | | | | -0.64 | | | | -0.35 | | | | -0.76 | | | | -0.57 | | | | -0.37 | | | | -0.65 | | | | -0.14 | | | | -0.00 | ** | | | -0.25 | | |
Distributions from capital gains | | | -0.61 | | | | -0.61 | | | | -0.61 | | | | — | | | | — | | | | — | | | | — | | | | — | | | | — | | | | -2.31 | | | | -2.31 | | | | -2.31 | | |
Total distributions | | | -1.14 | | | | -0.82 | | | | -1.25 | | | | -0.64 | | | | -0.35 | | | | -0.76 | | | | -0.57 | | | | -0.37 | | | | -0.65 | | | | -2.45 | | | | -2.31 | | | | -2.56 | | |
Net asset value, end of period ($) | | | 49.24 | | | | 48.16 | | | | 49.50 | | | | 46.90 | | | | 45.91 | | | | 47.15 | | | | 44.36 | | | | 43.47 | | | | 44.59 | | | | 38.74 | | | | 38.07 | | | | 38.92 | | |
Total return(c) (%) | | | 7.64 | | | | 6.83 | | | | 7.90 | | | | 7.23 | | | | 6.45 | | | | 7.52 | | | | 16.13 | | | | 15.23 | | | | 16.40 | | | | 20.81 | | | | 19.93 | | | | 21.13 | | |
Ratios and supplemental data | |
Net assets, end of period (millions) ($) | | | 15,840 | | | | 9,322 | | | | 11,182 | | | | 14,352 | | | | 8,385 | | | | 8,455 | | | | 12,195 | | | | 6,524 | | | | 5,345 | | | | 10,562 | | | | 5,158 | | | | 3,338 | | |
Ratio of operating expenses to average net assets including earnings credits (%) | | | 1.15 | | | | 1.89 | | | | 0.90 | | | | 1.13 | | | | 1.88 | | | | 0.88 | | | | 1.16 | | | | 1.91 | | | | 0.91 | | | | 1.19 | | | | 1.94 | | | | 0.94 | | |
Ratio of operating expenses to average net assets excluding earnings credits (%) | | | 1.15 | | | | 1.89 | | | | 0.90 | | | | 1.13 | | | | 1.88 | | | | 0.88 | | | | 1.16 | | | | 1.91 | | | | 0.91 | | | | 1.19 | | | | 1.94 | | | | 0.94 | | |
Ratio of net investment income (loss) to average net assets including earnings credits (%) | | | 0.94 | | | | 0.19 | | | | 1.19 | | | | 0.83 | | | | 0.08 | | | | 1.07 | | | | 1.36 | | | | 0.63 | | | | 1.68 | | | | 1.14 | | | | 0.38 | | | | 1.37 | | |
Ratio of net investment income (loss) to average net assets excluding earnings credits (%) | | | 0.94 | | | | 0.19 | | | | 1.19 | | | | 0.83 | | | | 0.08 | | | | 1.07 | | | | 1.36 | | | | 0.63 | | | | 1.68 | | | | 1.14 | | | | 0.38 | | | | 1.37 | | |
Portfolio turnover rate (%) | | | 11.29 | | | | 11.29 | | | | 11.29 | | | | 11.57 | | | | 11.57 | | | | 11.57 | | | | 17.37 | | | | 17.37 | | | | 17.37 | | | | 12.52 | | | | 12.52 | | | | 12.52 | | |
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | April 30, 2014
153
| | SIX MONTHS ENDED | | YEAR ENDED OCTOBER 31, | |
| | APRIL 30, 2014 (unaudited) | | 2013 | |
| | CLASS A | | CLASS C | | CLASS I | | CLASS A | | CLASS C | | CLASS I | |
Selected data for a share of beneficial interest outstanding throughout each period is presented below:* | |
Net asset value, beginning of period ($) | | | 24.40 | | | | 23.64 | | | | 24.84 | | | | 22.26 | | | | 21.62 | | | | 22.63 | | |
Income (loss) from investment operations: | |
Net investment income (loss) ($) | | | 0.05 | | | | -0.03 | | | | 0.09 | | | | 0.13 | | | | -0.04 | | | | 0.20 | | |
Net realized and unrealized gains on investments | | | 0.94 | | | | 0.92 | | | | 0.95 | | | | 3.17 | | | | 3.09 | | | | 3.22 | | |
Total income from investment operations | | | 0.99 | | | | 0.89 | | | | 1.04 | | | | 3.30 | | | | 3.05 | | | | 3.42 | | |
Less distributions: | |
Dividends from net investment income ($) | | | -0.46 | | | | -0.30 | | | | -0.52 | | | | -0.26 | | | | -0.13 | | | | -0.31 | | |
Distributions from capital gains | | | -0.96 | | | | -0.96 | | | | -0.96 | | | | -0.90 | | | | -0.90 | | | | -0.90 | | |
Total distributions | | | -1.42 | | | | -1.26 | | | | -1.48 | | | | -1.16 | | | | -1.03 | | | | -1.21 | | |
Net asset value, end of period ($) | | | 23.97 | | | | 23.27 | | | | 24.40 | | | | 24.40 | | | | 23.64 | | | | 24.84 | | |
Total return(c) (%) | | | 4.44 | (a) | | | 4.08 | (a) | | | 4.57 | (a) | | | 15.52 | | | | 14.67 | | | | 15.82 | | |
Ratios and supplemental data | |
Net assets, end of period (millions) ($) | | | 5,975 | | | | 1,163 | | | | 7,833 | | | | 5,912 | | | | 1,120 | | | | 7,378 | | |
Ratio of operating expenses to average net assets including earnings credits (%) | | | 1.14 | (b) | | | 1.89 | (b) | | | 0.89 | (b) | | | 1.15 | | | | 1.90 | | | | 0.90 | | |
Ratio of operating expenses to average net assets excluding earnings credits (%) | | | 1.14 | (b) | | | 1.89 | (b) | | | 0.89 | (b) | | | 1.15 | | | | 1.90 | | | | 0.90 | | |
Ratio of net investment income (loss) to average net assets including earnings credits (%) | | | 0.46 | (b) | | | -0.28 | (b) | | | 0.72 | (b) | | | 0.59 | | | | -0.17 | | | | 0.86 | | |
Ratio of net investment income (loss) to average net assets excluding earnings credits (%) | | | 0.46 | (b) | | | -0.28 | (b) | | | 0.72 | (b) | | | 0.59 | | | | -0.17 | | | | 0.86 | | |
Portfolio turnover rate (%) | | | 5.92 | (a) | | | 5.92 | (a) | | | 5.92 | (a) | | | 12.33 | | | | 12.33 | | | | 12.33 | | |
* Per share amounts have been calculated using the average shares method.
** Amount represents less than $0.01 per share.
(a) Not Annualized
(b) Annualized
(c) Does not take into account the sales charge of 5.00% for Class A shares and the CDSC (Contingent Deferred Sales Charge) of 1.00% for Class C shares.
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | April 30, 2014
154
| | YEAR ENDED OCTOBER 31, | |
| | 2012 | | 2011 | | 2010 | | 2009 | |
| | CLASS A | | CLASS C | | CLASS I | | CLASS A | | CLASS C | | CLASS I | | CLASS A | | CLASS C | | CLASS I | | CLASS A | | CLASS C | | CLASS I | |
Selected data for a share of beneficial interest outstanding throughout each period is presented below:* | |
Net asset value, beginning of period ($) | | | 22.25 | | | | 21.61 | | | | 22.61 | | | | 21.86 | | | | 21.26 | | | | 22.20 | | | | 19.51 | | | | 19.03 | | | | 19.80 | | | | 17.21 | | | | 16.93 | | | | 17.41 | | |
Income (loss) from investment operations: | |
Net investment income (loss) ($) | | | 0.24 | | | | 0.08 | | | | 0.30 | | | | 0.18 | | | | 0.01 | | | | 0.24 | | | | 0.15 | | | | 0.00 | ** | | | 0.21 | | | | 0.26 | | | | 0.13 | | | | 0.30 | | |
Net realized and unrealized gains on investments | | | 0.80 | | | | 0.77 | | | | 0.81 | | | | 0.74 | | | | 0.73 | | | | 0.75 | | | | 2.80 | | | | 2.72 | | | | 2.82 | | | | 3.72 | | | | 3.63 | | | | 3.78 | | |
Total income from investment operations | | | 1.04 | | | | 0.85 | | | | 1.11 | | | | 0.92 | | | | 0.74 | | | | 0.99 | | | | 2.95 | | | | 2.72 | | | | 3.03 | | | | 3.98 | | | | 3.76 | | | | 4.08 | | |
Less distributions: | |
Dividends from net investment income ($) | | | -0.39 | | | | -0.20 | | | | -0.45 | | | | -0.32 | | | | -0.18 | | | | -0.37 | | | | -0.60 | | | | -0.49 | | | | -0.63 | | | | -0.02 | | | | 0.00 | ** | | | -0.03 | | |
Distributions from capital gains | | | -0.64 | | | | -0.64 | | | | -0.64 | | | | -0.21 | | | | -0.21 | | | | -0.21 | | | | — | | | | — | | | | — | | | | -1.66 | | | | -1.66 | | | | -1.66 | | |
Total distributions | | | -1.03 | | | | -0.84 | | | | -1.09 | | | | -0.53 | | | | -0.39 | | | | -0.58 | | | | -0.60 | | | | -0.49 | | | | -0.63 | | | | -1.68 | | | | -1.66 | | | | -1.69 | | |
Net asset value, end of period ($) | | | 22.26 | | | | 21.62 | | | | 22.63 | | | | 22.25 | | | | 21.61 | | | | 22.61 | | | | 21.86 | | | | 21.26 | | | | 22.20 | | | | 19.51 | | | | 19.03 | | | | 19.80 | | |
Total return(c) (%) | | | 5.06 | | | | 4.28 | | | | 5.36 | | | | 4.27 | | | | 3.48 | | | | 4.52 | | | | 15.45 | | | | 14.55 | | | | 15.68 | | | | 24.95 | | | | 23.96 | | | | 25.26 | | |
Ratios and supplemental data | |
Net assets, end of period (millions) ($) | | | 5,111 | | | | 986 | | | | 5,252 | | | | 5,023 | | | | 1,027 | | | | 4,136 | | | | 4,676 | | | | 914 | | | | 3,284 | | | | 4,024 | | | | 792 | | | | 2,211 | | |
Ratio of operating expenses to average net assets including earnings credits (%) | | | 1.17 | | | | 1.92 | | | | 0.92 | | | | 1.14 | | | | 1.89 | | | | 0.89 | | | | 1.17 | | | | 1.92 | | | | 0.92 | | | | 1.20 | | | | 1.95 | | | | 0.95 | | |
Ratio of operating expenses to average net assets excluding earnings credits (%) | | | 1.17 | | | | 1.92 | | | | 0.92 | | | | 1.14 | | | | 1.89 | | | | 0.89 | | | | 1.17 | | | | 1.92 | | | | 0.92 | | | | 1.20 | | | | 1.95 | | | | 0.95 | | |
Ratio of net investment income (loss) to average net assets including earnings credits (%) | | | 1.12 | | | | 0.37 | | | | 1.36 | | | | 0.78 | | | | 0.04 | | | | 1.06 | | | | 0.76 | | | | 0.01 | | | | 1.03 | | | | 1.51 | | | | 0.76 | | | | 1.75 | | |
Ratio of net investment income (loss) to average net assets excluding earnings credits (%) | | | 1.12 | | | | 0.37 | | | | 1.36 | | | | 0.78 | | | | 0.04 | | | | 1.06 | | | | 0.76 | | | | 0.01 | | | | 1.03 | | | | 1.51 | | | | 0.76 | | | | 1.75 | | |
Portfolio turnover rate (%) | | | 10.50 | | | | 10.50 | | | | 10.50 | | | | 12.22 | | | | 12.22 | | | | 12.22 | | | | 15.53 | | | | 15.53 | | | | 15.53 | | | | 8.65 | | | | 8.65 | | | | 8.65 | | |
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | April 30, 2014
155
| | SIX MONTHS ENDED | | YEAR ENDED OCTOBER 31, | |
| | APRIL 30, 2014 (unaudited) | | 2013 | |
| | CLASS A | | CLASS C | | CLASS I | | CLASS A | | CLASS C | | CLASS I | |
Selected data for a share of beneficial interest outstanding throughout each period is presented below:* | |
Net asset value, beginning of period ($) | | | 20.26 | | | | 19.97 | | | | 20.54 | | | | 18.27 | | | | 18.02 | | | | 18.50 | | |
Income (loss) from investment operations: | |
Net investment income (loss) ($) | | | 0.06 | | | | -0.01 | | | | 0.09 | | | | 0.18 | | | | 0.03 | | | | 0.23 | | |
Net realized and unrealized gains on investments | | | 1.11 | | | | 1.08 | | | | 1.11 | | | | 2.36 | | | | 2.35 | | | | 2.40 | | |
Total income from investment operations | | | 1.17 | | | | 1.07 | | | | 1.20 | | | | 2.54 | | | | 2.38 | | | | 2.63 | | |
Less distributions: | |
Dividends from net investment income ($) | | | -0.15 | | | | -0.00 | ** | | | -0.20 | | | | -0.13 | | | | -0.01 | | | | -0.17 | | |
Distributions from capital gains | | | -0.74 | | | | -0.74 | | | | -0.74 | | | | -0.42 | | | | -0.42 | | | | -0.42 | | |
Total distributions | | | -0.89 | | | | -0.74 | | | | -0.94 | | | | -0.55 | | | | -0.43 | | | | -0.59 | | |
Net asset value, end of period ($) | | | 20.54 | | | | 20.30 | | | | 20.80 | | | | 20.26 | | | | 19.97 | | | | 20.54 | | |
Total return(c) (%) | | | 6.04 | (a) | | | 5.60 | (a) | | | 6.13 | (a) | | | 14.32 | | | | 13.53 | | | | 14.69 | | |
Ratios and supplemental data | |
Net assets, end of period (millions) ($) | | | 1,395 | | | | 725 | | | | 1,051 | | | | 1,480 | | | | 725 | | | | 1,080 | | |
Ratio of operating expenses to average net assets including earnings credits (%) | | | 1.16 | (b) | | | 1.91 | (b) | | | 0.91 | (b) | | | 1.16 | | | | 1.91 | | | | 0.91 | | |
Ratio of operating expenses to average net assets excluding earnings credits (%) | | | 1.16 | (b) | | | 1.91 | (b) | | | 0.91 | (b) | | | 1.16 | | | | 1.91 | | | | 0.91 | | |
Ratio of net investment income (loss) to average net assets including earnings credits (%) | | | 0.62 | (b) | | | -0.13 | (b) | | | 0.87 | (b) | | | 0.93 | | | | 0.18 | | | | 1.18 | | |
Ratio of net investment income (loss) to average net assets excluding earnings credits (%) | | | 0.62 | (b) | | | -0.13 | (b) | | | 0.87 | (b) | | | 0.93 | | | | 0.18 | | | | 1.18 | | |
Portfolio turnover rate (%) | | | 6.09 | (a) | | | 6.09 | (a) | | | 6.09 | (a) | | | 17.32 | | | | 17.32 | | | | 17.32 | | |
* Per share amounts have been calculated using the average shares method.
** Amount represents less than $0.01 per share.
(a) Not Annualized
(b) Annualized
(c) Does not take into account the sales charge of 5.00% for Class A shares and the CDSC (Contingent Deferred Sales Charge) of 1.00% for Class C shares.
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | April 30, 2014
156
| | YEAR ENDED OCTOBER 31, | |
| | 2012 | | 2011 | | 2010 | | 2009 | |
| | CLASS A | | CLASS C | | CLASS I | | CLASS A | | CLASS C | | CLASS I | | CLASS A | | CLASS C | | CLASS I | | CLASS A | | CLASS C | | CLASS I | |
Selected data for a share of beneficial interest outstanding throughout each period is presented below:* | |
Net asset value, beginning of period ($) | | | 17.12 | | | | 16.91 | | | | 17.33 | | | | 15.94 | | | | 15.75 | | | | 16.12 | | | | 14.21 | | | | 14.06 | | | | 14.37 | | | | 12.75 | | | | 12.63 | | | | 12.89 | | |
Income (loss) from investment operations: | |
Net investment income (loss) ($) | | | 0.15 | | | | 0.02 | | | | 0.19 | | | | 0.17 | | | | 0.04 | | | | 0.21 | | | | 0.32 | | | | 0.21 | | | | 0.38 | | | | 0.21 | | | | 0.12 | | | | 0.24 | | |
Net realized and unrealized gains on investments | | | 1.59 | | | | 1.57 | | | | 1.61 | | | | 1.34 | | | | 1.34 | | | | 1.37 | | | | 1.60 | | | | 1.58 | | | | 1.59 | | | | 1.58 | | | | 1.56 | | | | 1.60 | | |
Total income from investment operations | | | 1.74 | | | | 1.59 | | | | 1.80 | | | | 1.51 | | | | 1.38 | | | | 1.58 | | | | 1.92 | | | | 1.79 | | | | 1.97 | | | | 1.79 | | | | 1.68 | | | | 1.84 | | |
Less distributions: | |
Dividends from net investment income ($) | | | -0.14 | | | | -0.03 | | | | -0.18 | | | | -0.33 | | | | -0.22 | | | | -0.37 | | | | -0.19 | | | | -0.10 | | | | -0.22 | | | | -0.22 | | | | -0.14 | | | | -0.25 | | |
Distributions from capital gains | | | -0.45 | | | | -0.45 | | | | -0.45 | | | | — | | | | — | | | | — | | | | — | | | | — | | | | — | | | | -0.11 | | | | -0.11 | | | | -0.11 | | |
Total distributions | | | -0.59 | | | | -0.48 | | | | -0.63 | | | | -0.33 | | | | -0.22 | | | | -0.37 | | | | -0.19 | | | | -0.10 | | | | -0.22 | | | | -0.33 | | | | -0.25 | | | | -0.36 | | |
Net asset value, end of period ($) | | | 18.27 | | | | 18.02 | | | | 18.50 | | | | 17.12 | | | | 16.91 | | | | 17.33 | | | | 15.94 | | | | 15.75 | | | | 16.12 | | | | 14.21 | | | | 14.06 | | | | 14.37 | | |
Total return(c) (%) | | | 10.63 | | | | 9.75 | | | | 10.86 | | | | 9.60 | | | | 8.85 | | | | 9.92 | | | | 13.64 | | | | 12.75 | | | | 13.84 | | | | 14.52 | | | | 13.63 | | | | 14.78 | | |
Ratios and supplemental data | |
Net assets, end of period (millions) ($) | | | 1,425 | | | | 631 | | | | 938 | | | | 967 | | | | 408 | | | | 538 | | | | 680 | | | | 320 | | | | 328 | | | | 547 | | | | 263 | | | | 199 | | |
Ratio of operating expenses to average net assets including earnings credits (%) | | | 1.17 | | | | 1.92 | | | | 0.93 | | | | 1.18 | | | | 1.93 | | | | 0.93 | | | | 1.23 | | | | 1.98 | | | | 0.99 | | | | 1.26 | | | | 2.00 | | | | 1.01 | | |
Ratio of operating expenses to average net assets excluding earnings credits (%) | | | 1.17 | | | | 1.92 | | | | 0.93 | | | | 1.18 | | | | 1.93 | | | | 0.93 | | | | 1.23 | | | | 1.98 | | | | 0.99 | | | | 1.26 | | | | 2.00 | | | | 1.01 | | |
Ratio of net investment income (loss) to average net assets including earnings credits (%) | | | 0.84 | | | | 0.09 | | | | 1.08 | | | | 0.98 | | | | 0.24 | | | | 1.23 | | | | 2.15 | | | | 1.41 | | | | 2.46 | | | | 1.63 | | | | 0.93 | | | | 1.90 | | |
Ratio of net investment income (loss) to average net assets excluding earnings credits (%) | | | 0.84 | | | | 0.09 | | | | 1.08 | | | | 0.98 | | | | 0.24 | | | | 1.23 | | | | 2.15 | | | | 1.41 | | | | 2.46 | | | | 1.63 | | | | 0.93 | | | | 1.90 | | |
Portfolio turnover rate (%) | | | 14.34 | | | | 14.34 | | | | 14.34 | | | | 18.54 | | | | 18.54 | | | | 18.54 | | | | 12.23 | | | | 12.23 | | | | 12.23 | | | | 14.88 | | | | 14.88 | | | | 14.88 | | |
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | April 30, 2014
157
| | SIX MONTHS ENDED | | YEAR ENDED OCTOBER 31, | |
| | APRIL 30, 2014 (unaudited) | | 2013 | |
| | CLASS A | | CLASS C | | CLASS I | | CLASS A | | CLASS C | | CLASS I | |
Selected data for a share of beneficial interest outstanding throughout each period is presented below:* | |
Net asset value, beginning of period ($) | | | 17.03 | | | | 16.37 | | | | 17.25 | | | | 29.86 | | | | 28.84 | | | | 30.26 | | |
Income (loss) from investment operations: | |
Net investment income (loss) ($) | | | -0.03 | | | | -0.09 | | | | -0.01 | | | | -0.02 | | | | -0.18 | | | | 0.03 | | |
Net realized and unrealized gains (losses) on investments | | | -0.06 | | | | -0.06 | | | | -0.06 | | | | -12.73 | | | | -12.29 | | | | -12.89 | | |
Total income (loss) from investment operations | | | -0.09 | | | | -0.15 | | | | -0.07 | | | | -12.75 | | | | -12.47 | | | | -12.86 | | |
Less distributions: | |
Dividends from net investment income ($) | | | — | | | | — | | | | — | | | | -0.08 | | | | — | | | | -0.15 | | |
Distributions from capital gains | | | — | | | | — | | | | — | | | | — | | | | — | | | | — | | |
Total distributions | | | — | | | | — | | | | — | | | | -0.08 | | | | — | | | | -0.15 | | |
Net asset value, end of period ($) | | | 16.94 | | | | 16.22 | | | | 17.18 | | | | 17.03 | | | | 16.37 | | | | 17.25 | | |
Total return(c) (%) | | | -0.53 | (a) | | | -0.92 | (a) | | | -0.41 | (a) | | | -42.80 | | | | -43.24 | | | | -42.68 | | |
Ratios and supplemental data | |
Net assets, end of period (millions) ($) | | | 669 | | | | 244 | | | | 439 | | | | 764 | | | | 284 | | | | 508 | | |
Ratio of operating expenses to average net assets including earnings credits (%) | | | 1.32 | (b) | | | 2.07 | (b) | | | 1.06 | (b) | | | 1.25 | | | | 2.00 | | | | 1.00 | | |
Ratio of operating expenses to average net assets excluding earnings credits (%) | | | 1.32 | (b) | | | 2.07 | (b) | | | 1.06 | (b) | | | 1.25 | | | | 2.00 | | | | 1.00 | | |
Ratio of net investment income (loss) to average net assets including earnings credits (%) | | | -0.41 | (b) | | | -1.15 | (b) | | | -0.15 | (b) | | | -0.11 | | | | -0.87 | | | | 0.14 | | |
Ratio of net investment income (loss) to average net assets excluding earnings credits (%) | | | -0.41 | (b) | | | -1.15 | (b) | | | -0.15 | (b) | | | -0.11 | | | | -0.87 | | | | 0.14 | | |
Portfolio turnover rate (%) | | | 4.21 | (a) | | | 4.21 | (a) | | | 4.21 | (a) | | | 15.14 | | | | 15.14 | | | | 15.14 | | |
* Per share amounts have been calculated using the average shares method.
(a) Not Annualized
(b) Annualized
(c) Does not take into account the sales charge of 5.00% for Class A shares and the CDSC (Contingent Deferred Sales Charge) of 1.00% for Class C shares.
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
158
| | YEAR ENDED OCTOBER 31, | |
| | 2012 | | 2011 | | 2010 | | 2009 | |
| | CLASS A | | CLASS C | | CLASS I | | CLASS A | | CLASS C | | CLASS I | | CLASS A | | CLASS C | | CLASS I | | CLASS A | | CLASS C | | CLASS I | |
Selected data for a share of beneficial interest outstanding throughout each period is presented below:* | |
Net asset value, beginning of period ($) | | | 33.89 | | | | 32.78 | | | | 34.33 | | | | 33.42 | | | | 32.44 | | | | 33.81 | | | | 25.15 | | | | 24.52 | | | | 25.43 | | | | 14.85 | | | | 14.60 | | | | 14.98 | | |
Income (loss) from investment operations: | |
Net investment income (loss) ($) | | | -0.01 | | | | -0.22 | | | | 0.06 | | | | -0.19 | | | | -0.42 | | | | -0.10 | | | | -0.17 | | | | -0.38 | | | | -0.11 | | | | -0.14 | | | | -0.30 | | | | -0.09 | | |
Net realized and unrealized gains (losses) on investments | | | -2.73 | | | | -2.66 | | | | -2.75 | | | | 2.60 | | | | 2.53 | | | | 2.63 | | | | 8.82 | | | | 8.58 | | | | 8.92 | | | | 11.50 | | | | 11.28 | | | | 11.60 | | |
Total income (loss) from investment operations | | | -2.74 | | | | -2.88 | | | | -2.69 | | | | 2.41 | | | | 2.11 | | | | 2.53 | | | | 8.65 | | | | 8.20 | | | | 8.81 | | | | 11.36 | | | | 10.98 | | | | 11.51 | | |
Less distributions: | |
Dividends from net investment income ($) | | | -0.39 | | | | -0.16 | | | | -0.48 | | | | -0.73 | | | | -0.56 | | | | -0.80 | | | | -0.38 | | | | -0.28 | | | | -0.43 | | | | — | | | | — | | | | — | | |
Distributions from capital gains | | | -0.90 | | | | -0.90 | | | | -0.90 | | | | -1.21 | | | | -1.21 | | | | -1.21 | | | | — | | | | — | | | | — | | | | -1.06 | | | | -1.06 | | | | -1.06 | | |
Total distributions | | | -1.29 | | | | -1.06 | | | | -1.38 | | | | -1.94 | | | | -1.77 | | | | -2.01 | | | | -0.38 | | | | -0.28 | | | | -0.43 | | | | -1.06 | | | | -1.06 | | | | -1.06 | | |
Net asset value, end of period ($) | | | 29.86 | | | | 28.84 | | | | 30.26 | | | | 33.89 | | | | 32.78 | | | | 34.33 | | | | 33.42 | | | | 32.44 | | | | 33.81 | | | | 25.15 | | | | 24.52 | | | | 25.43 | | |
Total return(c) (%) | | | -8.14 | | | | -8.86 | | | | -7.89 | | | | 7.38 | | | | 6.61 | | | | 7.66 | | | | 34.73 | | | | 33.66 | | | | 35.01 | | | | 78.93 | | | | 77.62 | | | | 79.27 | | |
Ratios and supplemental data | |
Net assets, end of period (millions) ($) | | | 1,535 | | | | 608 | | | | 932 | | | | 1,834 | | | | 683 | | | | 1,003 | | | | 1,900 | | | | 616 | | | | 695 | | | | 1,325 | | | | 362 | | | | 165 | | |
Ratio of operating expenses to average net assets including earnings credits (%) | | | 1.21 | | | | 1.96 | | | | 0.96 | | | | 1.20 | | | | 1.95 | | | | 0.95 | | | | 1.22 | | | | 1.97 | | | | 0.97 | | | | 1.26 | | | | 2.01 | | | | 1.01 | | |
Ratio of operating expenses to average net assets excluding earnings credits (%) | | | 1.21 | | | | 1.96 | | | | 0.96 | | | | 1.20 | | | | 1.95 | | | | 0.95 | | | | 1.22 | | | | 1.97 | | | | 0.97 | | | | 1.26 | | | | 2.01 | | | | 1.01 | | |
Ratio of net investment income (loss) to average net assets including earnings credits (%) | | | -0.05 | | | | -0.80 | | | | 0.21 | | | | -0.56 | | | | -1.30 | | | | -0.30 | | | | -0.60 | | | | -1.35 | | | | -0.36 | | | | -0.65 | | | | -1.40 | | | | -0.40 | | |
Ratio of net investment income (loss) to average net assets excluding earnings credits (%) | | | -0.05 | | | | -0.80 | | | | 0.21 | | | | -0.56 | | | | -1.30 | | | | -0.30 | | | | -0.60 | | | | -1.35 | | | | -0.36 | | | | -0.65 | | | | -1.40 | | | | -0.40 | | |
Portfolio turnover rate (%) | | | 9.19 | | | | 9.19 | | | | 9.19 | | | | 13.26 | | | | 13.26 | | | | 13.26 | | | | 5.50 | | | | 5.50 | | | | 5.50 | | | | 3.00 | | | | 3.00 | | | | 3.00 | | |
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
159
| | SIX MONTHS ENDED APRIL 30, 2014 (unaudited) | | YEAR ENDED OCTOBER 31, 2013 | |
| | CLASS A | | CLASS C | | CLASS I | | CLASS A | | CLASS C | |
Selected data for a share of beneficial interest outstanding throughout each period is presented below:* | |
Net asset value, beginning of period ($) | | | 11.26 | | | | 11.23 | | | | 11.23 | | | | 10.32 | | | | 10.30 | | |
Income from investment operations: | |
Net investment income ($) | | | 0.17 | | | | 0.13 | | | | 0.18 | | | | 0.42 | | | | 0.34 | | |
Net realized and unrealized gains (losses) on investments | | | 0.57 | | | | 0.57 | | | | 0.57 | | | | 0.91 | | | | 0.90 | | |
Total income (loss) from investment operations | | | 0.74 | | | | 0.70 | | | | 0.75 | | | | 1.33 | | | | 1.24 | | |
Less distributions: | |
Dividends from net investment income ($) | | | -0.19 | | | | -0.15 | | | | -0.20 | | | | -0.39 | | | | -0.31 | | |
Total distributions | | | -0.19 | | | | -0.15 | | | | -0.20 | | | | -0.39 | | | | -0.31 | | |
Net asset value, end of period ($) | | | 11.81 | | | | 11.78 | | | | 11.78 | | | | 11.26 | | | | 11.23 | | |
Total return(c) (%) | | | 6.60 | (a) | | | 6.22 | (a) | | | 6.74 | (a) | | | 13.14 | | | | 12.25 | | |
Ratios and supplemental data | |
Net assets, end of period (millions) ($) | | | 363 | | | | 238 | | | | 246 | | | | 231 | | | | 148 | | |
Ratio of operating expenses to average net assets including fee waivers and reimbursements (recoupments) (%) | | | 1.30 | (b) | | | 2.04 | (b) | | | 1.05 | (b) | | | 1.30 | | | | 2.04 | | |
Ratio of operating expenses to average net assets excluding fee waivers and reimbursements (recoupments) (%) | | | 1.26 | (b) | | | 2.01 | (b) | | | 1.01 | (b) | | | 1.35 | | | | 2.09 | | |
Ratio of net investment income to average net assets including fee waivers and reimbursements (recoupments) (%) | | | 3.00 | (b) | | | 2.24 | (b) | | | 3.26 | (b) | | | 3.85 | | | | 3.11 | | |
Ratio of net investment income to average net assets excluding fee waivers and reimbursements (recoupments) (%) | | | 3.03 | (b) | | | 2.27 | (b) | | | 3.30 | (b) | | | 3.80 | | | | 3.06 | | |
Portfolio turnover rate (%) | | | 13.26 | (a) | | | 13.26 | (a) | | | 13.26 | (a) | | | 10.87 | | | | 10.87 | | |
^ Commencement of Operations
* Per share amounts have been calculated using the average shares method.
(a) Not Annualized
(b) Annualized
(c) Does not take into account the sales charge of 5.00% for Class A shares and the CDSC (Contingent Deferred Sales Charge) of 1.00% for Class C shares.
(d) Certain non-recurring expenses incurred by the Fund were not annualized for the period ended October 31, 2012.
See Notes to Financial Statements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
160
Global Income Builder Fund
| | PERIOD MAY 1, 2012^ TO OCTOBER 31, 2012 | |
| | CLASS I | | CLASS A | | CLASS C | | CLASS I | |
Selected data for a share of beneficial interest outstanding throughout each period is presented below:* | |
Net asset value, beginning of period ($) | | | 10.33 | | | | 10.00 | | | | 10.00 | | | | 10.00 | | |
Income from investment operations: | |
Net investment income ($) | | | 0.44 | | | | 0.15 | | | | 0.11 | | | | 0.18 | | |
Net realized and unrealized gains (losses) on investments | | | 0.91 | | | | 0.28 | | | | 0.29 | | | | 0.27 | | |
Total income (loss) from investment operations | | | 1.35 | | | | 0.43 | | | | 0.40 | | | | 0.45 | | |
Less distributions: | |
Dividends from net investment income ($) | | | -0.45 | | | | -0.11 | | | | -0.10 | | | | -0.12 | | |
Total distributions | | | -0.45 | | | | -0.11 | | | | -0.10 | | | | -0.12 | | |
Net asset value, end of period ($) | | | 11.23 | | | | 10.32 | | | | 10.30 | | | | 10.33 | | |
Total return(c) (%) | | | 13.36 | | | | 4.37 | (a) | | | 4.00 | (a) | | | 4.53 | (a) | |
Ratios and supplemental data | |
Net assets, end of period (millions) ($) | | | 129 | | | | 43 | | | | 26 | | | | 38 | | |
Ratio of operating expenses to average net assets including fee waivers and reimbursements (recoupments) (%) | | | 1.05 | | | | 1.30 | (b)(d) | | | 2.05 | (b)(d) | | | 1.05 | (b)(d) | |
Ratio of operating expenses to average net assets excluding fee waivers and reimbursements (recoupments) (%) | | | 1.10 | | | | 2.13 | (b)(d) | | | 2.88 | (b)(d) | | | 2.20 | (b)(d) | |
Ratio of net investment income to average net assets including fee waivers and reimbursements (recoupments) (%) | | | 4.11 | | | | 2.89 | (b)(d) | | | 2.16 | (b)(d) | | | 3.56 | (b)(d) | |
Ratio of net investment income to average net assets excluding fee waivers and reimbursements (recoupments) (%) | | | 4.06 | | | | 2.06 | (b)(d) | | | 1.33 | (b)(d) | | | 2.40 | (b)(d) | |
Portfolio turnover rate (%) | | | 10.87 | | | | 5.17 | (a) | | | 5.17 | (a) | | | 5.17 | (a) | |
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
161
| | SIX MONTHS ENDED | | YEAR ENDED OCTOBER 31, | | PERIOD APRIL 1, 2012 TO | |
| | APRIL 30, 2014 (unaudited) | | 2013 | | OCTOBER 31, 2012 | |
| | CLASS A | | CLASS C | | CLASS I | | CLASS A | | CLASS C | | CLASS I | | CLASS A | | CLASS C | | CLASS I | |
Selected data for a share of beneficial interest outstanding throughout each period is presented below:* | |
Net asset value, beginning of period ($) | | | 10.11 | | | | 10.10 | | | | 10.11 | | | | 9.98 | | | | 9.97 | | | | 9.98 | | | | 9.75 | | | | 9.74 | | | | 9.75 | | |
Income from investment operations: | |
Net investment income ($) | | | 0.26 | | | | 0.23 | | | | 0.28 | | | | 0.59 | | | | 0.51 | | | | 0.62 | | | | 0.33 | | | | 0.29 | | | | 0.36 | | |
Net realized and unrealized gains (losses) on investments | | | 0.14 | | | | 0.14 | | | | 0.14 | | | | 0.14 | | | | 0.14 | | | | 0.14 | | | | 0.24 | | | | 0.23 | | | | 0.23 | | |
Total income (loss) from investment operations | | | 0.40 | | | | 0.37 | | | | 0.42 | | | | 0.73 | | | | 0.65 | | | | 0.76 | | | | 0.57 | | | | 0.52 | | | | 0.59 | | |
Less distributions: | |
Dividends from net investment income ($) | | | -0.26 | | | | -0.23 | | | | -0.28 | | | | -0.59 | | | | -0.51 | | | | -0.62 | | | | -0.34 | | | | -0.29 | | | | -0.36 | | |
Distributions from capital gains | | | — | | | | — | | | | — | | | | -0.01 | | | | -0.01 | | | | -0.01 | | | | — | | | | — | | | | — | | |
Total distributions | | | -0.26 | | | | -0.23 | | | | -0.28 | | | | -0.60 | | | | -0.52 | | | | -0.63 | | | | -0.34 | | | | -0.29 | | | | -0.36 | | |
Net asset value, end of period ($) | | | 10.25 | | | | 10.24 | | | | 10.25 | | | | 10.11 | | | | 10.10 | | | | 10.11 | | | | 9.98 | | | | 9.97 | | | | 9.98 | | |
Total return(c) (%) | | | 4.04 | (a) | | | 3.65 | (a) | | | 4.18 | (a) | | | 7.49 | | | | 6.69 | | | | 7.85 | | | | 5.94 | (a) | | | 5.47 | (a) | | | 6.20 | (a) | |
Ratios and supplemental data | |
Net assets, end of period (millions) ($) | | | 384 | | | | 183 | | | | 633 | | | | 346 | | | | 159 | | | | 511 | | | | 220 | | | | 113 | | | | 309 | | |
Ratio of operating expenses to average net assets including fee waivers and reimbursements (recoupments) (%) | | | 1.10 | (b) | | | 1.85 | (b) | | | 0.82 | (b) | | | 1.13 | | | | 1.88 | | | | 0.80 | | | | 1.25 | (b)(d) | | | 2.00 | (b)(d) | | | 0.80 | (b)(d) | |
Ratio of operating expenses to average net assets excluding fee waivers and reimbursements (recoupments) (%) | | | 1.09 | (b) | | | 1.84 | (b) | | | 0.84 | (b) | | | 1.13 | | | | 1.88 | | | | 0.88 | | | | 1.27 | (b)(d) | | | 2.02 | (b)(d) | | | 1.03 | (b)(d) | |
Ratio of net investment income to average net assets including fee waivers and reimbursements (recoupments) (%) | | | 5.20 | (b) | | | 4.44 | (b) | | | 5.48 | (b) | | | 5.80 | | | | 5.07 | | | | 6.14 | | | | 5.75 | (b)(d) | | | 4.98 | (b)(d) | | | 6.23 | (b)(d) | |
Ratio of net investment income to average net assets excluding fee waivers and reimbursements (recoupments) (%) | | | 5.21 | (b) | | | 4.45 | (b) | | | 5.46 | (b) | | | 5.80 | | | | 5.07 | | | | 6.06 | | | | 5.73 | (b)(d) | | | 4.96 | (b)(d) | | | 6.00 | (b)(d) | |
Portfolio turnover rate (%) | | | 21.22 | (a) | | | 21.22 | (a) | | | 21.22 | (a) | | | 49.71 | | | | 49.71 | | | | 49.71 | | | | 25.02 | (a) | | | 25.02 | (a) | | | 25.02 | (a) | |
^ The Fund commenced investment operations in its present form on December 30, 2011.
^^ Class A and Class C commenced operations on January 3, 2012.
* Per share amounts have been calculated using the average shares method.
(a) Not Annualized
(b) Annualized
(c) Does not take into account the sales charge of 4.50% for Class A shares and the CDSC (Contingent Deferred Sales Charge) of 1.00% for Class C shares.
(d) Certain non-recurring expenses incurred by the Fund were not annualized for the period ended October 31, 2012.
See Notes to Financial Statements.
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| | YEAR ENDED MARCH 31, | |
| | 2012^ | | 2011 | | 2010 | | 2009 | |
| | CLASS A^^ | | CLASS C^^ | | CLASS I | | CLASS I | | CLASS I | | CLASS I | |
Selected data for a share of beneficial interest outstanding throughout each period is presented below:* | |
Net asset value, beginning of period ($) | | | 9.40 | | | | 9.40 | | | | 10.29 | | | | 10.67 | | | | 7.72 | | | | 9.29 | | |
Income from investment operations: | |
Net investment income ($) | | | 0.13 | | | | 0.11 | | | | 0.68 | | | | 0.98 | | | | 1.31 | | | | 0.85 | | |
Net realized and unrealized gains (losses) on investments | | | 0.35 | | | | 0.34 | | | | -0.11 | | | | 0.47 | | | | 3.07 | | | | -1.55 | | |
Total income (loss) from investment operations | | | 0.48 | | | | 0.45 | | | | 0.57 | | | | 1.45 | | | | 4.38 | | | | -0.70 | | |
Less distributions: | |
Dividends from net investment income ($) | | | -0.13 | | | | -0.11 | | | | -0.83 | | | | -0.98 | | | | -1.28 | | | | -0.87 | | |
Distributions from capital gains | | | — | | | | — | | | | -0.28 | | | | -0.85 | | | | -0.15 | | | | — | | |
Total distributions | | | -0.13 | | | | -0.11 | | | | -1.11 | | | | -1.83 | | | | -1.43 | | | | -0.87 | | |
Net asset value, end of period ($) | | | 9.75 | | | | 9.74 | | | | 9.75 | | | | 10.29 | | | | 10.67 | | | | 7.72 | | |
Total return(c) (%) | | | 5.11 | | | | 4.78 | | | | 6.11 | | | | 14.81 | | | | 59.30 | | | | -7.78 | | |
Ratios and supplemental data | |
Net assets, end of period (millions) ($) | | | 60 | | | | 28 | | | | 115 | | | | 11 | | | | 10 | | | | 9 | | |
Ratio of operating expenses to average net assets including fee waivers and reimbursements (recoupments) (%) | | | 0.95 | (b) | | | 1.66 | (b) | | | 0.80 | | | | 0.80 | | | | 0.80 | | | | 0.80 | | |
Ratio of operating expenses to average net assets excluding fee waivers and reimbursements (recoupments) (%) | | | 1.12 | (b) | | | 1.83 | (b) | | | 1.05 | | | | 1.21 | | | | 1.04 | | | | 1.05 | | |
Ratio of net investment income to average net assets including fee waivers and reimbursements (recoupments) (%) | | | 5.48 | (b) | | | 4.74 | (b) | | | 6.98 | | | | 9.33 | | | | 13.34 | | | | 10.04 | | |
Ratio of net investment income to average net assets excluding fee waivers and reimbursements (recoupments) (%) | | | 5.31 | (b) | | | 4.57 | (b) | | | 6.73 | | | | 8.92 | | | | 13.10 | | | | 9.79 | | |
Portfolio turnover rate (%) | | | 45.21 | | | | 45.21 | | | | 45.21 | | | | 145.96 | | | | 292.11 | | | | 74.19 | | |
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| | SIX MONTHS ENDED | | YEAR ENDED OCTOBER 31, | |
| | APRIL 30, 2014 (unaudited) | | 2013 | |
| | CLASS A | | CLASS C | | CLASS I | | CLASS Y | | CLASS A | | CLASS C | | CLASS I^ | | CLASS Y | |
Selected data for a share of beneficial interest outstanding throughout each period is presented below:* | |
Net asset value, beginning of period ($) | | | 34.76 | | | | 29.94 | | | | 35.47 | | | | 35.42 | | | | 26.86 | | | | 23.30 | | | | 31.01 | | | | 27.37 | | |
Income (loss) from investment operations: | |
Net investment income (loss) ($) | | | 0.03 | | | | -0.09 | | | | 0.08 | | | | 0.04 | | | | 0.10 | | | | -0.12 | | | | 0.07 | | | | 0.12 | | |
Net realized and unrealized gains on investments | | | 3.41 | | | | 2.93 | | | | 3.48 | | | | 3.46 | | | | 7.81 | | | | 6.76 | | | | 4.39 | | | | 7.94 | | |
Total income from investment operations | | | 3.44 | | | | 2.84 | | | | 3.56 | | | | 3.50 | | | | 7.91 | | | | 6.64 | | | | 4.46 | | | | 8.06 | | |
Less distributions: | |
Dividends from net investment income ($) | | | -0.09 | | | | — | | | | -0.17 | | | | -0.06 | | | | -0.01 | | | | — | | | | — | | | | -0.01 | | |
Distributions from capital gains | | | -0.52 | | | | -0.52 | | | | -0.52 | | | | -0.52 | | | | — | | | | — | | | | — | | | | — | | |
Total distributions | | | -0.61 | | | | -0.52 | | | | -0.69 | | | | -0.58 | | | | -0.01 | | | | — | | | | — | | | | -0.01 | | |
Net asset value, end of period ($) | | | 37.59 | | | | 32.26 | | | | 38.34 | | | | 38.34 | | | | 34.76 | | | | 29.94 | | | | 35.47 | | | | 35.42 | | |
Total return(c) (%) | | | 10.03 | (a) | | | 9.61 | (a) | | | 10.15 | (a) | | | 10.01 | (a) | | | 29.45 | | | | 28.44 | | | | 14.38 | (a) | | | 29.45 | | |
Ratios and supplemental data | |
Net assets, end of period (millions) ($) | | | 1,234 | | | | 565 | | | | 627 | | | | 531 | | | | 1,036 | | | | 455 | | | | 491 | | | | 504 | | |
Ratio of operating expenses to average net assets including earnings credits (%) | | | 1.37 | (b) | | | 2.12 | (b) | | | 1.12 | (b) | | | 1.37 | (b) | | | 1.41 | | | | 2.16 | | | | 1.19 | (b) | | | 1.41 | | |
Ratio of operating expenses to average net assets excluding earnings credits (%) | | | 1.37 | (b) | | | 2.12 | (b) | | | 1.12 | (b) | | | 1.37 | (b) | | | 1.41 | | | | 2.16 | | | | 1.19 | (b) | | | 1.41 | | |
Ratio of net investment income (loss) to average net assets including earnings credits (%) | | | 0.19 | (b) | | | -0.56 | (b) | | | 0.43 | (b) | | | 0.21 | (b) | | | 0.31 | | | | -0.46 | | | | 0.34 | (b) | | | 0.39 | | |
Ratio of net investment income (loss) to average net assets excluding earnings credits (%) | | | 0.19 | (b) | | | -0.56 | (b) | | | 0.43 | (b) | | | 0.21 | (b) | | | 0.31 | | | | -0.46 | | | | 0.34 | (b) | | | 0.39 | | |
Portfolio turnover rate (%) | | | 11.62 | (a) | | | 11.62 | (a) | | | 11.62 | (a) | | | 11.62 | (a) | | | 32.12 | | | | 32.12 | | | | 32.12 | (a) | | | 32.12 | | |
^ Class I commenced investment operations on March 8, 2013.
* Per share amounts have been calculated using the average shares method.
(a) Not Annualized
(b) Annualized
(c) Does not take into account the sales charge of 5.00% for Class A shares and the CDSC (Contingent Deferred Sales Charge) of 1.00% for Class C shares.
See Notes to Financial Statements.
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| | YEAR ENDED OCTOBER 31, | |
| | 2012 | | 2011 | | 2010 | | 2009 | |
| | CLASS A | | CLASS C | | CLASS Y | | CLASS A | | CLASS C | | CLASS Y | | CLASS A | | CLASS C | | CLASS Y | | CLASS A | | CLASS C | | CLASS Y | |
Selected data for a share of beneficial interest outstanding throughout each period is presented below:* | |
Net asset value, beginning of period ($) | | | 24.91 | | | | 22.01 | | | | 25.35 | | | | 24.06 | | | | 21.32 | | | | 24.47 | | | | 19.32 | | | | 17.25 | | | | 19.66 | | | | 18.92 | | | | 17.14 | | | | 19.23 | | |
Income (loss) from investment operations: | |
Net investment income (loss) ($) | | | 0.04 | | | | -0.13 | | | | 0.04 | | | | -0.09 | | | | -0.25 | | | | -0.08 | | | | 0.13 | | | | -0.03 | | | | 0.14 | | | | -0.06 | | | | -0.18 | | | | -0.07 | | |
Net realized and unrealized gains on investments | | | 3.73 | | | | 3.24 | | | | 3.80 | | | | 1.11 | | | | 0.98 | | | | 1.12 | | | | 4.61 | | | | 4.10 | | | | 4.67 | | | | 1.61 | | | | 1.44 | | | | 1.65 | | |
Total income from investment operations | | | 3.77 | | | | 3.11 | | | | 3.84 | | | | 1.02 | | | | 0.73 | | | | 1.04 | | | | 4.74 | | | | 4.07 | | | | 4.81 | | | | 1.55 | | | | 1.26 | | | | 1.58 | | |
Less distributions: | |
Dividends from net investment income ($) | | | — | | | | — | | | | — | | | | -0.17 | | | | -0.04 | | | | -0.16 | | | | — | | | | — | | | | — | | | | — | | | | — | | | | — | | |
Distributions from capital gains | | | -1.82 | | | | -1.82 | | | | -1.82 | | | | — | | | | — | | | | — | | | | — | | | | — | | | | — | | | | -1.15 | | | | -1.15 | | | | -1.15 | | |
Total distributions | | | -1.82 | | | | -1.82 | | | | -1.82 | | | | -0.17 | | | | -0.04 | | | | -0.16 | | | | — | | | | — | | | | — | | | | -1.15 | | | | -1.15 | | | | -1.15 | | |
Net asset value, end of period ($) | | | 26.86 | | | | 23.30 | | | | 27.37 | | | | 24.91 | | | | 22.01 | | | | 25.35 | | | | 24.06 | | | | 21.32 | | | | 24.47 | | | | 19.32 | | | | 17.25 | | | | 19.66 | | |
Total return(c) (%) | | | 16.46 | | | | 15.62 | | | | 16.50 | | | | 4.22 | | | | 3.43 | | | | 4.20 | | | | 24.53 | | | | 23.59 | | | | 24.47 | | | | 9.13 | | | | 8.34 | | | | 9.14 | | |
Ratios and supplemental data | |
Net assets, end of period (millions) ($) | | | 699 | | | | 246 | | | | 667 | | | | 549 | | | | 194 | | | | 633 | | | | 379 | | | | 122 | | | | 599 | | | | 276 | | | | 90 | | | | 503 | | |
Ratio of operating expenses to average net assets including earnings credits (%) | | | 1.44 | | | | 2.19 | | | | 1.44 | | | | 1.43 | | | | 2.18 | | | | 1.43 | | | | 1.47 | | | | 2.22 | | | | 1.47 | | | | 1.50 | | | | 2.25 | | | | 1.50 | | |
Ratio of operating expenses to average net assets excluding earnings credits (%) | | | 1.44 | | | | 2.19 | | | | 1.44 | | | | 1.43 | | | | 2.18 | | | | 1.43 | | | | 1.47 | | | | 2.22 | | | | 1.47 | | | | 1.50 | | | | 2.25 | | | | 1.50 | | |
Ratio of net investment income (loss) to average net assets including earnings credits (%) | | | 0.14 | | | | -0.61 | | | | 0.14 | | | | -0.33 | | | | -1.08 | | | | -0.31 | | | | 0.61 | | | | -0.14 | | | | 0.62 | | | | -0.34 | | | | -1.10 | | | | -0.37 | | |
Ratio of net investment income (loss) to average net assets excluding earnings credits (%) | | | 0.14 | | | | -0.61 | | | | 0.14 | | | | -0.33 | | | | -1.08 | | | | -0.31 | | | | 0.61 | | | | -0.14 | | | | 0.62 | | | | -0.34 | | | | -1.10 | | | | -0.37 | | |
Portfolio turnover rate (%) | | | 31.48 | | | | 31.48 | | | | 31.48 | | | | 67.61 | | | | 67.61 | | | | 67.61 | | | | 40.00 | | | | 40.00 | | | | 40.00 | | | | 40.41 | | | | 40.41 | | | | 40.41 | | |
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Notes to Financial Statements (unaudited)
Note 1 — Significant Accounting Policies
First Eagle Funds (the "Trust"), is an open-end management investment company registered under the Investment Company Act of 1940, as amended ("1940 Act"). The Trust consists of eight separate portfolios, First Eagle Global Fund, First Eagle Overseas Fund, First Eagle U.S. Value Fund, First Eagle Gold Fund, First Eagle Global Income Builder Fund, First Eagle High Yield Fund, First Eagle Fund of America and First Eagle Absolute Return Fund (each individually a "Fund" or collectively the "Funds"). All the Funds are diversified mutual funds except for First Eagle Gold Fund and First Eagle Fund of America, which are non-diversified. The Trust is a Delaware statutory trust. The First Eagle Global Fund seeks long-term growth of capital by investing in a range of asset classes from markets in the United States and throughout the world. The First Eagle Overseas Fund seeks long-term growth of capital by investing primarily in equities issued by non-U.S. corporations. The First Eagle U.S. Value Fund seeks long-term growth of capital by investing, under normal market conditions, at least 80% of its assets in domestic equity and debt securities. The First Eagle Gold Fund seeks to provide investors the opportunity to participate in the investment characteristics of gold (and to a limited extent other precious metals) for a portion of their overall investment portfolio. The First Eagle Global Income Builder Fund (which commenced operations on May 1, 2012) seeks current income generation and long-term growth of capital. The First Eagle High Yield Fund seeks to provide investors with a high level of current income. The First Eagle Fund of America seeks capital appreciation by investing primarily in domestic stocks and, to a lesser extent, in debt and international equity securities. No results are presented in these financial statements for First Eagle Absolute Return Fund, which had not yet commenced operations as of April 30, 2014 and is described in a prospectus separate from that for the other seven Funds discussed here.
First Eagle Investment Management, LLC (the "Adviser"), a subsidiary of Arnhold and S. Bleichroeder Holdings, Inc. ("ASB Holdings"), manages the Funds.
The following is a summary of significant accounting policies adhered to by the Funds and are in conformity with U.S. generally accepted accounting principles ("GAAP").
a) Investments in Subsidiaries — The First Eagle Global Fund (the "Global Fund"), First Eagle Overseas Fund (the "Overseas Fund"), First Eagle U.S. Value Fund (the "U.S. Value Fund"), and First Eagle Gold Fund (the "Gold Fund") may invest in certain precious metals through their investment in the
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First Eagle Global Cayman Fund, Ltd., First Eagle Overseas Cayman Fund, Ltd., First Eagle U.S. Value Cayman Fund, Ltd., and First Eagle Gold Cayman Fund, Ltd., respectively, each a wholly owned subsidiary or collectively "subsidiaries". Each Fund may invest up to 25% of its total assets in shares of its respective Subsidiary. Each Subsidiary has the ability to invest in commodities and securities consistent with the investment objective of its respective Fund. Substantially all of each Subsidiary's assets represent physical gold (bullion). Trading in bullion directly by the Funds presents the risk of tax consequences (e.g., a change in the Funds' tax status subjecting the Funds to be taxed at the Fund level on all of their income if the Funds' "non-qualifying income" exceeds 10% of the Funds' gross income in any taxable year). Trading in bullion by the Subsidiaries generally does not present the same tax risks.
The First Eagle Global Cayman Fund, Ltd., established on October 18, 2013, is an exempted company under the laws of the Cayman Islands. The consolidated financial statements include the accounts of the Global Fund and the First Eagle Global Cayman Fund, Ltd. All intercompany transactions and balances have been eliminated. As of April 30, 2014, the First Eagle Global Cayman Fund, Ltd. has $1,516,007,629 in net assets, representing 3.05% of the Global Fund's net assets.
The First Eagle Overseas Cayman Fund, Ltd., established on October 18, 2013, is an exempted company under the laws of the Cayman Islands. The consolidated financial statements include the accounts of the Overseas Fund and the First Eagle Overseas Cayman Fund, Ltd. All intercompany transactions and balances have been eliminated. As of April 30, 2014, the First Eagle Overseas Cayman Fund, Ltd. has $326,178,668 in net assets, representing 2.18% of the Overseas Fund's net assets.
The First Eagle U.S. Value Cayman Fund, Ltd., established on January 24, 2012, and is an exempted company under the laws of the Cayman Islands. The consolidated financial statements include the accounts of the U.S. Value Fund and the First Eagle U.S. Value Cayman Fund, Ltd. All intercompany transactions and balances have been eliminated. As of April 30, 2014, the First Eagle U.S. Value Cayman Fund, Ltd. has $129,636,942 in net assets, representing 4.09% of the U.S. Value Fund's net assets.
The First Eagle Gold Cayman Fund, Ltd., established on May 28, 2010, is an exempted company under the laws of the Cayman Islands. The consolidated financial statements include the accounts of the Gold Fund and the
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Notes to Financial Statements (unaudited)
First Eagle Gold Cayman Fund, Ltd. All intercompany transactions and balances have been eliminated. As of April 30, 2014, the First Eagle Gold Cayman Fund, Ltd. has $253,835,867 in net assets, representing 18.77% of the Gold Fund's net assets.
b) Investment valuation — Each Fund computes its net asset value once daily as of the close of trading on each day the New York Stock Exchange ("NYSE") is open for trading. The net asset value per share is computed by dividing the total current value of the assets of a Fund, less its liabilities, by the total number of shares outstanding at the time of such computation.
A portfolio security (including an option), other than a bond, which is traded on a U.S. national securities exchange or a securities exchange abroad is normally valued at the price of the last sale on the exchange as of the close of business on the date on which assets are valued. If there are no sales on such date, such portfolio investment will be valued at the mean between the closing bid and asked prices (and if there is only a bid or only an asked price on such date, valuation will be at such bid or asked price for long or short positions, respectively). Securities, other than bonds, traded in the over-the-counter market are valued at the mean between the last bid and asked prices prior to the time of valuation (and if there is only a bid or only an asked price on such date, valuation will be at such bid or asked price for long or short positions, respectively), except if such unlisted security traded on the NASDAQ, in which case it is valued at its last sale price (or, if available, the NASDAQ Official Closing Price).
All bonds, whether listed on an exchange or traded in the over-the-counter market (and except for short-term investments as described in the next sentence), for which market quotations are readily available are valued at the mean between the last bid and asked prices received from dealers in the over-the-counter market in the United States or abroad, except that when no asked price is available, bonds are valued at the last bid price alone. Broker-Dealers or pricing services use multiple valuation techniques to determine value. In instances where sufficient market activity exists, dealers or pricing services may utilize a market-based approach through which quotes from market makers are used to determine fair value. In instances where sufficient market activity may not exist or is limited, the dealers or pricing services also utilize proprietary valuation models which may consider market transactions in comparable securities and the various relationships between securities in
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determining value and/or market characteristics such as benchmark yield curves, option-adjusted spreads, credit spreads, estimated default rates, coupon-rates, anticipated timing of principal repayments, underlying collateral, and other unique security features in order to estimate the relevant cash flows, which are then discounted to calculate the fair values. Short-term investments maturing in sixty days or less are valued at cost plus interest earned (or discount amortized, as the case may be), which is deemed to approximate value.
Commodities (such as physical metals) are valued at the spot price at the time trading on the NYSE closes (normally 4:00 p.m. E.S.T.).
Forward contracts are valued at the current cost of covering or offsetting such contracts at the time NYSE closes (normally 4:00 p.m. E.S.T.).
The 4:00 p.m. E.S.T. exchange rates are used to convert foreign security prices into U.S. dollars.
Any security that is listed or traded on more than one exchange (or traded in multiple markets) is valued at the relevant quotation on the exchange or market deemed to be the primary trading venue for that security. In the absence of such a quotation, a quotation from the exchange or market deemed by the Adviser to be the secondary trading venue for the particular security shall be used. The Funds use pricing services to identify the market prices of publicly traded securities in their portfolios. When market prices are determined to be "stale" as a result of limited market activity for a particular holding, or in other circumstances when market prices are unavailable, such as for private placements, or determined to be unreliable for a particular holding, such holdings may be "fair valued" in accordance with procedures approved by the Board of Trustees ("Board"). Additionally, with respect to foreign holdings, specifically in circumstances leading the Adviser to believe that significant events occurring after the close of a foreign market have materially affected the value of a Fund's holdings in that market, such holdings may be fair valued to reflect the events in accordance with procedures approved by the Board. The determination of whether a particular foreign investment should be fair valued will be based on review of a number of factors, including developments in foreign markets, the performance of U.S. securities markets and security-specific events. The values assigned to a Fund's holdings therefore may differ on occasion from reported market values.
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Notes to Financial Statements (unaudited)
Certain Funds with non-U.S. holdings have adopted procedures under which movements in the prices for U.S. securities (beyond specified thresholds) occurring after the close of a foreign market may require fair valuation of securities traded in that foreign market. The values assigned to a Fund's foreign holdings therefore may differ on occasion from reported market values. The Trust and the Adviser believe relying on the procedures as just described will result in prices that are more reflective of the actual market value of portfolio securities held by the Funds as of 4:00 p.m. E.S.T.
The Funds adopted provisions surrounding fair value measurements and disclosures that define fair value, establishes a framework for measuring fair value in GAAP and expands disclosures about fair value measurements. This applies to fair value measurements that are already required or permitted by other accounting standards and is intended to increase consistency of those measurements and applies broadly to securities and other types of assets and liabilities.
The Funds disclose the fair value of their investments in a hierarchy that prioritizes the inputs or assumptions to valuation techniques used to measure fair value. These inputs are used in determining the value of the Funds' investments and are summarized in the following fair value hierarchy:
Level 1 — Quoted prices in active markets for identical securities.
Level 2 — Other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.).
Level 3 — Other significant unobservable inputs (including the Fund's own assumption in determining the fair value of investments).
The significant unobservable inputs that may be used in determining valuations for investments identified within Level 3 are market comparables and the enterprise value of a company. Indications of value and quotations may be observable at any given time, but are currently treated by the Funds as unobservable. Significant changes in any of the unobservable inputs may significantly impact the fair value measurement. The impact is based on the relationship between each unobservable input and the fair value measurement.
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Significant increases (decreases) in enterprise multiples may increase (decrease) the fair value measurement. Significant increases (decreases) in the discount for marketability, probability of insolvency and probability of default may decrease (increase) the fair value measurement.
Fair valuation of securities, other financial investments or other assets (collectively, "securities") held by the Funds shall be determined in good faith by or under the direction of the Board, generally acting through its designated Board Valuation Committee or Valuation Committee (collectively, the "Committees"). The Committees' responsibilities include making determinations regarding Level 3 fair value measurements and providing the results to the Board, in accordance with the Funds' valuation policies.
It is the policy of the Funds to recognize significant transfers between Levels 1, 2 and 3 and to disclose those transfers as of the date of the underlying event which caused the movement.
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Notes to Financial Statements (unaudited)
The following is a summary of the Funds' inputs used to value the Funds' investments as of April 30, 2014:
First Eagle Global Fund | |
DESCRIPTION | | LEVEL 1 | | LEVEL 2 | | LEVEL 3(a) | | TOTAL | |
Assets: † | |
U.S. Common Stocks | | $ | 15,465,659,188 | | | $ | 1,676,555 | | | $ | — | | | $ | 15,467,335,743 | | |
International Common Stocks | | | 19,912,797,018 | | | | 10,635,757 | | | | 12,804,793 | | | | 19,936,237,568 | | |
International Preferred Stock | | | 145,492,147 | | | | — | | | | — | | | | 145,492,147 | | |
Investment Company | | | 192,349 | | | | — | | | | — | | | | 192,349 | | |
Warrant | | | 109,518,115 | | | | — | | | | — | | | | 109,518,115 | | |
Commodity* | | | 2,399,117,206 | | | | — | | | | — | | | | 2,399,117,206 | | |
U.S. Corporate Bond | | | — | | | | 5,125,312 | | | | — | | | | 5,125,312 | | |
International Corporate Notes and Bonds | | | — | | | | 68,721,817 | | | | 38,765,348 | | | | 107,487,165 | | |
International Government Bond | | | — | | | | 26,066,341 | | | | — | | | | 26,066,341 | | |
International Commercial Paper | | | — | | | | 4,265,974,923 | | | | — | | | | 4,265,974,923 | | |
U.S. Commercial Paper | | | — | | | | 7,250,115,828 | | | | — | | | | 7,250,115,828 | | |
Foreign Currency Contracts** | | | | | 19,317,575 | | | | | | 19,317,575 | | |
Total | | $ | 38,032,776,023 | | | $ | 11,647,634,108 | | | $ | 51,570,141 | | | $ | 49,731,980,272 | | |
Liabilities: | |
Foreign Currency Contracts** | | $ | — | | | $ | 37,583,759 | | | $ | — | | | $ | 37,583,759 | | |
Total | | $ | — | | | $ | 37,583,759 | | | $ | — | | | $ | 37,583,759 | | |
(a) Level 3 securities are identified in the Schedule of Investments with the footnote (e).
† See Consolidated Schedule of Investments for additional detailed categorizations.
* Represents gold bullion.
** Foreign currency contracts are valued at net unrealized appreciation (depreciation) on the investment.
For the period ended April 30, 2014, there was no security transfer activity from Level 1 to Level 2 and no security transfer activity from Level 2 to Level 1.
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172
Fair Value Level 3 activity for the period ended April 30, 2014 was as follows:
First Eagle Global Fund — (continued) | |
| | INTERNATIONAL | | INTERNATIONAL | | | |
| | COMMON STOCKS | | CORPORATE BONDS | | TOTAL VALUE | |
Beginning Balance — market value | | $ | 12,514,385 | | | $ | 38,819,641 | | | $ | 51,334,026 | | |
Purchases | | | — | | | | — | | | | — | | |
Sales | | | — | | | | (881,801 | )* | | | (881,801 | ) | |
Transfer In — Level 3 | | | — | | | | — | | | | — | | |
Transfer Out — Level 3 | | | — | | | | — | | | | — | | |
Accrued Amortization | | | — | | | | — | | | | — | | |
Realized Gains (Losses) | | | — | | | | (42,794 | )* | | | (42,794 | ) | |
Change in Unrealized Appreciation (Depreciation) | | | 290,408 | | | | 870,302 | | | | 1,160,710 | | |
Ending Balance — market value | | $ | 12,804,793 | | | $ | 38,765,348 | | | $ | 51,570,141 | | |
Change in unrealized gains or (losses) relating to assets still held at reporting date | | $ | 290,408 | | | $ | 870,302 | | | $ | 1,160,710 | | |
* Related to a paydown of previously recapitalized interest receivable to principal.
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173
Notes to Financial Statements (unaudited)
First Eagle Overseas Fund | |
DESCRIPTION | | LEVEL 1 | | LEVEL 2 | | LEVEL 3(a) | | TOTAL | |
Assets: † | |
International Common Stocks | | $ | 10,724,844,804 | | | $ | 3,530,226 | | | $ | 34,948,557 | | | $ | 10,763,323,587 | | |
U.S. Common Stock | | | 23,799,133 | | | | — | | | | — | | | | 23,799,133 | | |
International Preferred Stocks | | | 87,163,126 | | | | — | | | | — | | | | 87,163,126 | | |
Investment Company | | | 50,936 | | | | — | | | | — | | | | 50,936 | | |
Right | | | — | | | | — | | | | — | ^ | | | — | ^ | |
Commodity* | | | 721,559,668 | | | | — | | | | — | | | | 721,559,668 | | |
Term Loans | | | — | | | | 11,079,170 | | | | — | ^ | | | 11,079,170 | | |
International Convertible Bond | | | — | | | | 18,308,000 | | | | — | | | | 18,308,000 | | |
International Corporate Bonds | | | — | | | | 102,430,266 | | | | 25,843,565 | | | | 128,273,831 | | |
International Commercial Paper | | | — | | | | 1,197,662,507 | | | | — | | | | 1,197,662,507 | | |
U.S. Commercial Paper | | | — | | | | 1,993,195,586 | | | | — | | | | 1,993,195,586 | | |
Foreign Currency Contracts** | | | — | | | | 9,714,086 | | | | — | | | | 9,714,086 | | |
Total | | $ | 11,557,417,667 | | | $ | 3,335,919,841 | | | $ | 60,792,122 | | | $ | 14,954,129,630 | | |
Liabilities: | |
Foreign Currency Contracts** | | $ | — | | | $ | 21,334,342 | | | $ | — | | | $ | 21,334,342 | | |
Total | | $ | — | | | $ | 21,334,342 | | | $ | — | | | $ | 21,334,342 | | |
(a) Level 3 securities are identified in the Schedule of Investments with the footnote (d).
† See Consolidated Schedule of Investments for additional detailed categorizations.
^ Fair value represents zero.
* Represents gold bullion.
** Foreign currency contracts are valued at net unrealized appreciation (depreciation) on the investment.
For the period ended April 30, 2014, there was no security transfer activity from Level 1 to Level 2 and no security transfer activity from Level 2 to Level 1.
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174
Fair Value Level 3 activity for the period ended April 30, 2014 was as follows:
First Eagle Overseas Fund — (continued) | |
| | INTERNATIONAL | | | | INTERNATIONAL | | | | | |
| | COMMON STOCKS | | RIGHT | | CORPORATE BONDS | | TERM LOANS | | TOTAL VALUE | |
Beginning Balance — market value | | $ | 34,181,929 | | | $ | — | ^ | | $ | 25,879,761 | | | $ | — | ^ | | $ | 60,061,690 | | |
Purchases | | | — | | | | 8,992 | | | | — | | | | — | | | | 8,992 | | |
Sales | | | — | | | | — | | | | (587,867 | )* | | | — | | | | (587,867 | ) | |
Transfer In — Level 3 | | | — | | | | — | | | | — | | | | — | | | | — | | |
Transfer Out — Level 3 | | | — | | | | — | | | | — | | | | — | | | | — | | |
Accrued Amortization | | | — | | | | — | | | | — | | | | — | | | | — | | |
Realized Gains (Losses) | | | — | | | | — | | | | (28,300 | )* | | | — | | | | (28,300 | ) | |
Change in Unrealized Appreciation (Depreciation) | | | 766,628 | | | | (8,992 | ) | | | 579,971 | | | | — | | | | 1,337,607 | | |
Ending Balance — market value | | $ | 34,948,557 | | | $ | — | ^ | | $ | 25,843,565 | | | $ | — | ^ | | $ | 60,792,122 | | |
Change in unrealized gains or (losses) relating to assets still held at reporting date | | $ | 766,628 | | | $ | (8,992 | ) | | $ | 579,971 | | | $ | — | | | $ | 1,337,607 | | |
^ Fair value represents zero.
* Related to a paydown of previously recapitalized interest receivable to principal.
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Notes to Financial Statements (unaudited)
First Eagle U.S. Value Fund | |
DESCRIPTION | | LEVEL 1 | | LEVEL 2 | | LEVEL 3(a) | | TOTAL | |
Assets: † | |
U.S. Common Stocks | | $ | 2,038,460,081 | | | $ | 2,772 | | | $ | — | | | $ | 2,038,462,853 | | |
International Common Stocks | | | 293,805,590 | | | | 792,036 | | | | — | | | | 294,597,626 | | |
U.S. Preferred Stock | | | — | | | | — | | | | 4,797,186 | | | | 4,797,186 | | |
Investment Company | | | 27,030 | | | | — | | | | — | | | | 27,030 | | |
Warrant | | | 16,748,114 | | | | — | | | | — | | | | 16,748,114 | | |
Commodity* | | | 154,710,227 | | | | — | | | | — | | | | 154,710,227 | | |
International Corporate Bond | | | — | | | | 3,843,123 | | | | — | | | | 3,843,123 | | |
U.S. Corporate Bonds | | | — | | | | 31,794,561 | | | | — | | | | 31,794,561 | | |
U.S. Treasury Bills | | | — | | | | 134,997,681 | | | | — | | | | 134,997,681 | | |
International Commercial Paper | | | — | | | | 140,084,890 | | | | — | | | | 140,084,890 | | |
U.S. Commercial Paper | | | — | | | | 353,968,444 | | | | — | | | | 353,968,444 | | |
Total | | $ | 2,503,751,042 | | | $ | 665,483,507 | | | $ | 4,797,186 | | | $ | 3,174,031,735 | | |
Liabilities: | |
Covered Call Options Written | | $ | 172,500 | | | $ | — | | | $ | — | | | $ | 172,500 | | |
Total | | $ | 172,500 | | | $ | — | | | $ | — | | | $ | 172,500 | | |
(a) Level 3 securities are identified in the Schedule of Investments with the footnote (e).
† See Consolidated Schedule of Investments for additional detailed categorizations.
* Represents gold bullion.
For the period ended April 30, 2014, there was no security transfer activity from Level 1 to Level 2 and no security transfer activity from Level 2 to Level 1.
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176
Fair Value Level 3 activity for the period ended April 30, 2014 was as follows:
First Eagle U.S. Value Fund — (continued) | |
| | U.S. PREFERRED STOCK | |
Beginning Balance — market value | | $ | 4,952,588 | | |
Purchases | | | — | | |
Sales | | | — | | |
Transfer In — Level 3 | | | — | | |
Transfer Out — Level 3 | | | — | | |
Accrued Amortization | | | — | | |
Realized Gains (Losses) | | | — | | |
Change in Unrealized Appreciation (Depreciation) | | | (155,402 | ) | |
Ending Balance — market value | | $ | 4,797,186 | | |
Change in unrealized gains or (losses) relating to assets still held at reporting date | | $ | (155,402 | ) | |
First Eagle Gold Fund | |
DESCRIPTION | | LEVEL 1 | | LEVEL 2 | | LEVEL 3(a) | | TOTAL | |
Assets: † | |
International Common Stocks | | $ | 846,832,667 | | | $ | — | | | $ | — | | | $ | 846,832,667 | | |
U.S. Common Stocks | | | 172,181,516 | | | | — | | | | — | | | | 172,181,516 | | |
Investment Company | | | 279,931 | | | | — | | | | — | | | | 279,931 | | |
Commodity* | | | 253,654,900 | | | | — | | | | — | | | | 253,654,900 | | |
International Convertible Bonds | | | — | | | | — | | | | 28,575,000 | | | | 28,575,000 | | |
International Commercial Paper | | | — | | | | 20,347,280 | | | | — | | | | 20,347,280 | | |
U.S. Commercial Paper | | | — | | | | 29,679,888 | | | | — | | | | 29,679,888 | | |
Total | | $ | 1,272,949,014 | | | $ | 50,027,168 | | | $ | 28,575,000 | | | $ | 1,351,551,182 | | |
(a) Level 3 securities are identified in the Schedule of Investments with the footnote (d).
† See Consolidated Schedule of Investments for additional detailed categorizations.
* Represents gold bullion.
For the period ended April 30, 2014, there was no security transfer activity from Level 1 to Level 2 and no security transfer activity from Level 2 to Level 1.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
177
Notes to Financial Statements (unaudited)
Fair Value Level 3 activity for the period ended April 30, 2014 was as follows:
First Eagle Gold Fund — (continued) | |
| | INTERNATIONAL | | | | | |
| | CONVERTIBLE BONDS | | WARRANTS | | TOTAL VALUE | |
Beginning Balance — market value | | $ | 30,000,000 | | | $ | — | ^ | | $ | 30,000,000 | | |
Purchases | | | 8,237 | | | | — | | | | 8,237 | | |
Sales | | | — | | | | — | ^ | | | — | ^ | |
Transfer In — Level 3 | | | — | | | | — | | | | — | | |
Transfer Out — Level 3 | | | — | | | | — | | | | — | | |
Accrued Amortization | | | — | | | | — | | | | — | | |
Realized Gains (Losses) | | | — | | | | — | | | | — | | |
Change in Unrealized Appreciation (Depreciation) | | | (1,433,237 | ) | | | — | | | | (1,433,237 | ) | |
Ending Balance — market value | | $ | 28,575,000 | | | $ | — | | | $ | 28,575,000 | | |
Change in unrealized gains or (losses) relating to assets still held at reporting date | | $ | (1,433,237 | ) | | $ | — | | | $ | (1,433,237 | ) | |
^ Fair value represents zero.
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178
First Eagle Global Income Builder Fund | |
DESCRIPTION | | LEVEL 1 | | LEVEL 2 | | LEVEL 3 | | TOTAL | |
Assets: † | |
U.S. Common Stocks | | $ | 120,385,719 | | | $ | — | | | $ | — | | | $ | 120,385,719 | | |
International Common Stocks | | | 324,919,579 | | | | 2,160,000 | | | | — | | | | 327,079,579 | | |
Closed-End Mutual Fund | | | 2,408,460 | | | | — | | | | — | | | | 2,408,460 | | |
Commodity* | | | 7,880,606 | | | | — | | | | — | | | | 7,880,606 | | |
U.S. Corporate Bonds | | | — | | | | 163,195,037 | | | | — | | | | 163,195,037 | | |
International Convertible Bond | | | — | | | | 796,000 | | | | — | | | | 796,000 | | |
International Corporate Bonds | | | — | | | | 96,551,510 | | | | — | | | | 96,551,510 | | |
Term Loans | | | — | | | | 63,989,280 | | | | — | | | | 63,989,280 | | |
International Commercial Paper | | | — | | | | 26,597,000 | | | | — | | | | 26,597,000 | | |
U.S. Commercial Paper | | | — | | | | 56,238,000 | | | | — | | | | 56,238,000 | | |
Foreign Currency Contracts** | | | — | | | | 149,262 | | | | — | | | | 149,262 | | |
Total | | $ | 455,594,364 | | | $ | 409,676,089 | | | $ | — | | | $ | 865,270,453 | | |
Liabilities: | |
Foreign Currency Contracts** | | $ | — | | | $ | 722,669 | | | $ | — | | | $ | 722,669 | | |
Total | | $ | — | | | $ | 722,669 | | | $ | — | | | $ | 722,669 | | |
† See Schedule of Investments for additional detailed categorizations.
* Represents gold bullion.
** Foreign currency contracts are valued at net unrealized appreciation (depreciation) on the investment.
For the period ended April 30, 2014, there was no security transfer activity from Level 1 to Level 2 and no security transfer activity from Level 2 to Level 1.
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179
Notes to Financial Statements (unaudited)
First Eagle High Yield Fund | |
DESCRIPTION | | LEVEL 1 | | LEVEL 2 | | LEVEL 3 | | TOTAL | |
Assets: † | |
U.S. Convertible Bond | | $ | — | | | $ | 2,076,578 | | | $ | — | | | $ | 2,076,578 | | |
U.S. Corporate Bonds | | | — | | | | 639,482,135 | | | | — | | | | 639,482,135 | | |
International Convertible Bond | | | — | | | | 1,990,000 | | | | — | | | | 1,990,000 | | |
International Corporate Bonds | | | — | | | | 268,841,145 | | | | — | | | | 268,841,145 | | |
Term Loans | | | — | | | | 216,232,346 | | | | — | | | | 216,232,346 | | |
International Commercial Paper | | | — | | | | 25,724,000 | | | | — | | | | 25,724,000 | | |
U.S. Commercial Paper | | | — | | | | 54,391,000 | | | | — | | | | 54,391,000 | | |
Foreign Currency Contracts* | | | — | | | | 200,887 | | | | — | | | | 200,887 | | |
Total | | $ | — | | | $ | 1,208,938,091 | | | $ | — | | | $ | 1,208,938,091 | | |
Liabilities: | |
Foreign Currency Contracts* | | $ | — | | | $ | 215,272 | | | $ | — | | | $ | 215,272 | | |
Total | | $ | — | | | $ | 215,272 | | | $ | — | | | $ | 215,272 | | |
† See Schedule of Investments for additional detailed categorizations.
* Foreign currency contracts are valued at net unrealized appreciation (depreciation) on the investment.
For the period ended April 30, 2014, there was no security transfer activity from Level 1 to Level 2 and no security transfer activity from Level 2 to Level 1.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
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First Eagle Fund of America | |
DESCRIPTION | | LEVEL 1 | | LEVEL 2 | | LEVEL 3 | | TOTAL | |
Assets: † | |
U.S. Common Stocks | | $ | 2,733,681,187 | | | $ | — | | | $ | — | | | $ | 2,733,681,187 | | |
International Common Stocks | | | 174,150,355 | | | | — | | | | — | | | | 174,150,355 | | |
Exchange-Traded Fund | | | 5,612,260 | | | | — | | | | — | | | | 5,612,260 | | |
Investment Company | | | 78,187,384 | | | | — | | | | — | | | | 78,187,384 | | |
U.S. Convertible Bond | | | — | | | | 6,181,744 | | | | — | | | | 6,181,744 | | |
Total | | $ | 2,991,631,186 | | | $ | 6,181,744 | | | $ | — | | | $ | 2,997,812,930 | | |
Liabilities: | |
Covered Call Options Written | | $ | 37,513,325 | | | $ | — | | | $ | — | | | $ | 37,513,325 | | |
Total | | $ | 37,513,325 | | | $ | — | | | $ | — | | | $ | 37,513,325 | | |
† See Schedule of Investments for additional detailed categorizations.
For the period ended April 30, 2014, there was no security transfer activity from Level 1 to Level 2 and no security transfer activity from Level 2 to Level 1.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
181
Notes to Financial Statements (unaudited)
c) Investment transactions and income — Investment transactions are accounted for on a trade date basis. The specific identification method is used in determining realized gains and losses from investment transactions. Dividend income is recorded on the ex-dividend date. Interest income is recorded daily on the accrual basis. In computing investment income, each Fund accretes discounts and amortizes premiums on debt obligations using the effective yield method. Investment income is allocated to each Fund's share class in proportion to its relative net assets. Payments received from certain investments held by the Funds may be comprised of dividends, capital gains and return of capital. The Funds originally estimate the expected classification of such payments. The amounts may subsequently be reclassified upon receipt of information from the issuer.
d) Expenses — Expenses arising in connection with a Fund are charged directly to that Fund. Expenses common to all Funds are generally allocated to each Fund in proportion to its relative net assets. Certain expenses are shared with the First Eagle Variable Funds, an affiliated fund group. Such costs are generally allocated using the ratio of the Fund's average daily net assets relative to the total average daily net assets of the First Eagle Variable Funds. Earnings credits may reduce shareholder servicing agent fees by the amount of interest earned on balances with such service provider.
e) Foreign currency translation — The books and records of the Funds are maintained in U.S. dollars. The market values of securities which are not traded in U.S. currency are recorded in the financial statements after translation to U.S. dollars based on the applicable exchange rates at the end of the period. The costs of such securities are translated at exchange rates prevailing when acquired. Related interest, dividends and withholding taxes are accrued at the rates of exchange prevailing on the respective dates of such transactions.
The net assets of each of the Funds are presented at the foreign exchange rates and market values at the close of the period. The Funds do not isolate that portion of gains and losses on investments which is due to changes in foreign exchange rates from that which is due to changes in market prices of the securities. Accordingly, such foreign currency gains (losses) are included in the reported net realized and unrealized gains (losses) on investment transactions on the Statements of Operations. However, for federal income
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
182
tax purposes each Fund does isolate the effect of changes in foreign exchange rates from the changes in market prices for realized gains and losses on debt obligations.
f) Forward currency contracts — In connection with portfolio purchases and sales of securities denominated in foreign currencies, each Fund may enter into forward currency contracts. The First Eagle Global, Overseas, Global Income Builder and High Yield Funds enter into foreign exchange contracts primarily to manage and/or gain exposure to certain foreign currencies. The Funds' currency transactions include portfolio hedging on portfolio positions. Portfolio hedging is the use of a forward contract (or other cash management position) with respect to one or more portfolio security positions denominated or quoted in a particular currency. Currency exchange transactions involve currencies of different countries that the Funds invest in and serve as hedges against possible variations in the exchange rates between these currencies and the U.S. dollar. Each Fund may engage in portfolio hedging with respect to the currency of a particular country in amounts approximating actual or anticipated positions in securities denominated in that currency. Hedging can reduce exposure to currency exchange movements, but cannot eliminate that exposure. It is possible to lose money under a hedge.
Funds investing in foreign exchange contracts are exposed to risk if the value of the currency changes unfavorably, if the counterparties to the contracts are unable to meet the terms of their contracts or if the Fund is unable to enter into a closing position. Forward currency contracts outstanding at period end, if any, are listed after the Fund's portfolio. Outstanding contracts at period end are indicative of the volume of activity during the period, proportionate to the net assets of the Fund.
The Funds adopted provisions surrounding disclosures and derivative instruments and hedging activities which require qualitative disclosures about objectives and strategies for using derivatives, quantitative disclosures about fair value amounts of gains and losses on derivative instruments, and disclosures about currency-risk-related contingent features in derivative agreements.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
183
Notes to Financial Statements (unaudited)
At April 30, 2014, the Funds had the following foreign forward currency contracts grouped into appropriate risk categories illustrated below:
First Eagle Global Fund | |
| | | | | | GAIN OR (LOSS) DERIVATIVE RECOGNIZED IN INCOME | |
RISK TYPE | | ASSET DERIVATIVE FAIR VALUE1 | | LIABILITY DERIVATIVE FAIR VALUE2 | | REALIZED GAIN3 | | CHANGE IN APPRECIATION4 | |
Foreign Currency | | $ | 19,317,575 | | | $ | 37,583,759 | | | $ | 47,109,192 | | | $ | 23,924,707 | | |
First Eagle Overseas Fund | |
| | | | | | GAIN OR (LOSS) DERIVATIVE RECOGNIZED IN INCOME | |
RISK TYPE | | ASSET DERIVATIVE FAIR VALUE1 | | LIABILITY DERIVATIVE FAIR VALUE2 | | REALIZED GAIN3 | | CHANGE IN APPRECIATION4 | |
Foreign Currency | | $ | 9,714,086 | | | $ | 21,334,342 | | | $ | 20,345,658 | | | $ | 14,540,231 | | |
First Eagle Global Income Builder Fund | |
| | | | | | GAIN OR (LOSS) DERIVATIVE RECOGNIZED IN INCOME | |
RISK TYPE | | ASSET DERIVATIVE FAIR VALUE1 | | LIABILITY DERIVATIVE FAIR VALUE2 | | REALIZED LOSS3 | | CHANGE IN APPRECIATION4 | |
Foreign Currency | | $ | 149,262 | | | $ | 722,669 | | | $ | (1,081,937 | ) | | $ | 237,024 | | |
First Eagle High Yield Fund | |
| | | | | | GAIN OR (LOSS) DERIVATIVE RECOGNIZED IN INCOME | |
RISK TYPE | | ASSET DERIVATIVE FAIR VALUE1 | | LIABILITY DERIVATIVE FAIR VALUE2 | | REALIZED LOSS3 | | CHANGE IN APPRECIATION4 | |
Foreign Currency | | $ | 200,887 | | | $ | 215,272 | | | $ | (1,464,053 | ) | | $ | 745,033 | | |
1 Statements of Assets and Liabilities location: Receivable for forward currency contracts held, at value.
2 Statements of Assets and Liabilities location: Payable for forward currency contracts held, at value.
3 Statements of Operations location: Net realized gains (losses) from: foreign currency and forward contract related transactions.
4 Statements of Operations location: Changes in unrealized appreciation (depreciation) of: foreign currency and forward contract related translation.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
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The following tables present each Fund's gross derivative assets and liabilities by counterparty net of amounts available for offset under netting arrangements and any related collateral received or pledged by each Fund as of April 30, 2014.:
First Eagle Global Fund | |
COUNTERPARTY | | GROSS AMOUNTS OF ASSETS PRESENTED IN STATEMENT OF ASSETS AND LIABILITIES | | DERIVATIVES AVAILABLE FOR OFFSET | | COLLATERAL RECEIVED | | NET AMOUNT (NOT LESS THAN $0) | |
BNY Mellon | | $ | 13,469,244 | | | $ | (13,469,244 | ) | | $ | — | | | $ | 0 | | |
Goldman Sachs Capital Markets LP | | | 2,135,028 | | | | (296,590 | ) | | | — | | | | 1,838,438 | | |
HSBC Bank USA | | | 2,676,513 | | | | (2,676,513 | ) | | | — | | | | 0 | | |
UBS AG | | | 1,036,790 | | | | (391,383 | ) | | | — | | | | 645,407 | | |
| | $ | 19,317,575 | | | $ | (16,833,730 | ) | | $ | — | | | $ | 2,483,845 | | |
COUNTERPARTY | | GROSS AMOUNTS OF LIABILITIES PRESENTED IN STATEMENT OF ASSETS AND LIABILITIES | | DERIVATIVES AVAILABLE FOR OFFSET | | COLLATERAL PLEDGED | | NET AMOUNT (NOT LESS THAN $0) | |
BNY Mellon | | $ | 18,631,924 | | | $ | (13,469,244 | ) | | $ | — | | | $ | 5,162,680 | | |
Goldman Sachs Capital Markets LP | | | 296,590 | | | | (296,590 | ) | | | — | | | | 0 | | |
HSBC Bank USA | | | 2,698,855 | | | | (2,676,513 | ) | | | — | | | | 22,342 | | |
JPMorgan Chase Bank N.A. | | | 15,565,007 | | | | — | | | | — | | | | 15,565,007 | | |
UBS AG | | | 391,383 | | | | (391,383 | ) | | | — | | | | 0 | | |
| | $ | 37,583,759 | | | $ | (16,833,730 | ) | | $ | — | | | $ | 20,750,029 | | |
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Notes to Financial Statements (unaudited)
First Eagle Overseas Fund | |
COUNTERPARTY | | GROSS AMOUNTS OF ASSETS PRESENTED IN STATEMENT OF ASSETS AND LIABILITIES | | DERIVATIVES AVAILABLE FOR OFFSET | | COLLATERAL RECEIVED | | NET AMOUNT (NOT LESS THAN $0) | |
BNY Mellon | | $ | 7,105,937 | | | $ | (7,105,937 | ) | | $ | — | | | $ | 0 | | |
Goldman Sachs Capital Markets LP | | | 1,146,149 | | | | (134,147 | ) | | | — | | | | 1,012,002 | | |
HSBC Bank USA | | | 954,875 | | | | (954,875 | ) | | | — | | | | 0 | | |
UBS AG | | | 507,125 | | | | (183,405 | ) | | | — | | | | 323,720 | | |
| | $ | 9,714,086 | | | $ | (8,378,364 | ) | | $ | — | | | $ | 1,335,722 | | |
COUNTERPARTY | | GROSS AMOUNTS OF LIABILITIES PRESENTED IN STATEMENT OF ASSETS AND LIABILITIES | | DERIVATIVES AVAILABLE FOR OFFSET | | COLLATERAL PLEDGED | | NET AMOUNT (NOT LESS THAN $0) | |
BNY Mellon | | $ | 10,465,381 | | | $ | (7,105,937 | ) | | $ | — | | | $ | 3,359,444 | | |
Goldman Sachs Capital Markets LP | | | 134,147 | | | | (134,147 | ) | | | — | | | | 0 | | |
HSBC Bank USA | | | 1,321,363 | | | | (954,875 | ) | | | — | | | | 366,488 | | |
JPMorgan Chase Bank N.A. | | | 9,230,046 | | | | — | | | | — | | | | 9,230,046 | | |
UBS AG | | | 183,405 | | | | (183,405 | ) | | | — | | | | 0 | | |
| | $ | 21,334,342 | | | $ | (8,378,364 | ) | | $ | — | | | $ | 12,955,978 | | |
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First Eagle Global Income Builder Fund | |
COUNTERPARTY | | GROSS AMOUNTS OF ASSETS PRESENTED IN STATEMENT OF ASSETS AND LIABILITIES | | DERIVATIVES AVAILABLE FOR OFFSET | | COLLATERAL RECEIVED | | NET AMOUNT (NOT LESS THAN $0) | |
BNY Mellon | | $ | 42,207 | | | $ | (42,207 | ) | | $ | — | | | $ | 0 | | |
Goldman Sachs Capital Markets LP | | | 40,270 | | | | (2,902 | ) | | | — | | | | 37,368 | | |
HSBC Bank USA | | | 64,042 | | | | (64,042 | ) | | | — | | | | 0 | | |
UBS AG | | | 2,743 | | | | (2,743 | ) | | | — | | | | 0 | | |
| | $ | 149,262 | | | $ | (111,894 | ) | | $ | — | | | $ | 37,368 | | |
COUNTERPARTY | | GROSS AMOUNTS OF LIABILITIES PRESENTED IN STATEMENT OF ASSETS AND LIABILITIES | | DERIVATIVES AVAILABLE FOR OFFSET | | COLLATERAL PLEDGED | | NET AMOUNT (NOT LESS THAN $0) | |
BNY Mellon | | $ | 382,974 | | | $ | (42,207 | ) | | $ | — | | | $ | 340,767 | | |
Goldman Sachs Capital Markets LP | | | 2,902 | | | | (2,902 | ) | | | — | | | | 0 | | |
HSBC Bank USA | | | 139,641 | | | | (64,042 | ) | | | — | | | | 75,599 | | |
JPMorgan Chase Bank N.A. | | | 180,688 | | | | — | | | | — | | | | 180,688 | | |
UBS AG | | | 16,464 | | | | (2,743 | ) | | | — | | | | 13,721 | | |
| | $ | 722,669 | | | $ | (111,894 | ) | | $ | — | | | $ | 610,775 | | |
First Eagle High Yield Fund | |
COUNTERPARTY | | GROSS AMOUNTS OF ASSETS PRESENTED IN STATEMENT OF ASSETS AND LIABILITIES | | DERIVATIVES AVAILABLE FOR OFFSET | | COLLATERAL RECEIVED | | NET AMOUNT (NOT LESS THAN $0) | |
HSBC Bank USA | | $ | 200,887 | | | $ | (200,887 | ) | | $ | — | | | $ | 0 | | |
COUNTERPARTY | | GROSS AMOUNTS OF LIABILITIES PRESENTED IN STATEMENT OF ASSETS AND LIABILITIES | | DERIVATIVES AVAILABLE FOR OFFSET | | COLLATERAL PLEDGED | | NET AMOUNT (NOT LESS THAN $0) | |
HSBC Bank USA | | $ | 215,272 | | | $ | (200,887 | ) | | $ | — | | | $ | 14,385 | | |
g) Options — In order to produce incremental earnings or protect against declines in the value of portfolio securities, First Eagle Global Fund, First Eagle U.S. Value Fund and First Eagle Fund of America write covered call options on portfolio securities. The Funds may also use options for speculative purposes, although they generally do not employ options for this purpose.
Options contracts are valued daily based upon the last sale price on the principal exchange on which the option is traded and unrealized
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Notes to Financial Statements (unaudited)
appreciation/depreciation is recorded. If there is no sale on such day, the mean between the last bid and asked prices is used. When an option is exercised, the proceeds on the sale of a written call option are adjusted by the amount of premium received or paid. When a written option expires, the Funds will realize a gain equal to the amount of the premium received. When the Funds enter into a closing purchase transaction, the Funds will realize a gain (or loss, if the cost of the closing purchase transaction exceeds the premium received when the option was written) without regard to any unrealized gain or loss on the underlying security and the liability related to such option is eliminated.
The Funds may be required to earmark assets to cover its obligations under option contracts. A call option is covered if the Funds hold, on a share-for-share basis, either the underlying shares or a call on the same security as the call written where the exercise price of the call held is equal to or less than the exercise price of the call written (or greater than the exercise price of the call written if the difference is maintained by the Funds in cash, Treasury bills or other high grade short-term obligations in a segregated account with its custodian). One reason for writing options is to attempt to realize, through the receipt of premiums, a greater return than would be realized on the securities alone. Another reason for writing options is to hedge against a moderate decline in the value of securities owned by the Funds in the case of a call option. If an increase occurs in the underlying security or stock index sufficient to result in the exercise of a call written by the Funds, it may be required to deliver securities or cash and may thereby forego some or all of the gain that otherwise may have been realized on the securities underlying the call option. This "opportunity cost" may be partially or wholly offset by the premium received for the covered call written by the Funds. The risk in writing a covered call option is that the Funds give up the opportunity for profit if the market price of the underlying security increases and the option is exercised. The Funds also have the additional risk of not being able to enter into a closing transaction if a liquid secondary market does not exist.
The Funds may also write over-the-counter options where the completion of the obligation is dependent upon the credit standing of the counterparty.
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For the six-month period ended April 30, 2014, First Eagle Global Fund, First Eagle U.S. Value Fund and First Eagle Fund of America had the following options transactions.
First Eagle Global Fund
WRITTEN OPTIONS | | NUMBER OF CONTRACTS | | PREMIUM RECEIVED | |
Options outstanding at October 31, 2013 | | | 8,500 | | | $ | 373,861 | | |
Options written | | | 0 | | | | 0 | | |
Options assigned | | | 0 | | | | 0 | | |
Options expired/closed | | | (8,500 | ) | | | (373,861 | ) | |
Options outstanding at April 30, 2014 | | | 0 | | | $ | 0 | | |
As of April 30, 2014, there were no segregated securities for written options.
First Eagle U.S. Value Fund
WRITTEN OPTIONS | | NUMBER OF CONTRACTS | | PREMIUM RECEIVED | |
Options outstanding at October 31, 2013 | | | 1,400 | | | $ | 61,577 | | |
Options written | | | 1,000 | | | | 121,808 | | |
Options assigned | | | 0 | | | | 0 | | |
Options expired/closed | | | (1,400 | ) | | | (61,577 | ) | |
Options outstanding at April 30, 2014 | | | 1,000 | | | $ | 121,808 | | |
As of April 30, 2014, portfolio securities valued at $2,220,000 were segregated to cover collateral requirements for written options.
First Eagle Fund of America
WRITTEN OPTIONS | | NUMBER OF CONTRACTS | | PREMIUM RECEIVED | |
Options outstanding at October 31, 2013 | | | 165,214 | | | $ | 49,208,665 | | |
Options written | | | 541,846 | | | | 155,420,929 | | |
Options assigned | | | (21,559 | ) | | | (6,842,978 | ) | |
Options expired/closed | | | (560,510 | ) | | | (156,114,523 | ) | |
Options outstanding at April 30, 2014 | | | 124,991 | | | $ | 41,672,093 | | |
PURCHASED OPTIONS | | NUMBER OF CONTRACTS | | COST | |
Options outstanding at October 31, 2013 | | | 0 | | | $ | 0 | | |
Options purchased | | | 806 | | | | 171,827 | | |
Options closed | | | (806 | ) | | | (171,827 | ) | |
Options outstanding at April 30, 2014 | | | 0 | | | $ | 0 | | |
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Notes to Financial Statements (unaudited)
As of April 30, 2014, portfolio securities valued at $663,536,381 were segregated to cover collateral requirements for written options.
Outstanding contracts at period-end are indicative of the volume of activity during the period.
At April 30, 2014, the Funds had the following options grouped into appropriate risk categories illustrated below:
First Eagle Global Fund
| | | | GAIN OR (LOSS) DERIVATIVE RECOGNIZED IN INCOME | |
RISK TYPE | | LIABILITY DERIVATIVE FAIR VALUE1 | | REALIZED GAIN2 | | CHANGE IN DEPRECIATION3 | |
Equity — Written options | | $ | 0 | | | $ | 373,861 | | | $ | (322,861 | ) | |
First Eagle U.S. Value Fund
| | | | GAIN OR (LOSS) DERIVATIVE RECOGNIZED IN INCOME | |
RISK TYPE | | LIABILITY DERIVATIVE FAIR VALUE1 | | REALIZED GAIN2 | | CHANGE IN DEPRECIATION3 | |
Equity — Written options | | $ | 172,500 | | | $ | 61,577 | | | $ | (103,869 | ) | |
First Eagle Fund of America
| | | | GAIN OR (LOSS) DERIVATIVE RECOGNIZED IN INCOME | |
RISK TYPE | | LIABILITY DERIVATIVE FAIR VALUE1 | | REALIZED GAIN (LOSS)2 | | CHANGE IN APPRECIATION3 | |
Equity — Written options | | $ | 37,513,325 | | | $ | (78,105,654 | ) | | $ | 21,380,811 | | |
Equity — Purchased options | | | 0 | | | | 8,677 | | | | 0 | | |
1 Statements of Assets and Liabilities location: Option contracts written, at value.
2 Statements of Operations location: Net realized gains (losses) from: Written options & Investment transactions of unaffiliated issuers.
3 Statements of Operations location: Changes in unrealized appreciation (depreciation) of: Written options & Investment transactions.
h) Repurchase agreements — The Funds may enter into repurchase agreement transactions with institutions that meet the adviser's credit guidelines. Each repurchase agreement is valued at amortized cost. The Funds require that the collateral received in a repurchase agreement transaction be transferred to a custodian in a manner sufficient to enable the Funds to obtain collateral
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in the event of a counterparty default. If the counterparty defaults and the fair value of the collateral declines, realization of the collateral by the Funds may be delayed or limited.
i) Term Loans — A Fund may invest in term loans, which usually take the form of loan participations and assignments. Loan participations and assignments are agreements to make money available to U.S. or foreign corporations, partnerships or other business entities (the "Borrower") in a specified amount, at a specified rate and within a specified time. A loan is typically originated, negotiated and structured by a U.S. or foreign bank, insurance company or other financial institution (the "Agent") for a group of loan investors ("Loan Investors"). The Agent typically administers and enforces the loan on behalf of the other Loan Investors in the syndicate and may hold any collateral on behalf of the Loan Investors. Such loan participations and assignments are typically senior, secured and collateralized in nature. A Fund records an investment when the Borrower withdraws money and records interest as earned. The Fund generally has no right to enforce compliance with the terms of the loan agreement with the Borrower. As a result, the Fund assumes the credit risk of the Borrower, the selling participant and any intermediary between the Fund and the Borrower ("Intermediate Participants"). In the event that the Borrower, selling participant or Intermediate Participants become insolvent or enters into bankruptcy, each Fund may incur certain costs and delays in realizing payment or may suffer a loss of principal and/or interest.
j) Treasury Inflation-Protected Securities — The Funds invest in Treasury Inflation-Protected Securities ("TIPS") which are specially structured bonds in which the principal amount is adjusted to keep pace with inflation. The inflation (deflation) adjustment is applied to the principal of each bond on a monthly basis and is accounted for as interest income on the Statements of Operations. TIPS are subject to interest rate risk.
k) Restricted Securities — The Funds may invest in securities that are subject to legal or contractual restrictions on resale. These securities generally may be resold in transactions exempt from registration or to the public if the securities are registered. Disposal of these securities may involve time-consuming negotiations and expenses, and prompt sale at an acceptable price may be difficult. Information regarding restricted securities, if any, is included at the end of each Fund's Schedule of Investments.
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Notes to Financial Statements (unaudited)
l) United States income taxes — No provision has been made for U.S. federal income taxes since it is the intention of each Fund to distribute to shareholders all taxable net investment income and net realized gains on investments, if any, within the allowable time limit, and to comply with the provisions of the Code for a Regulated Investment Company. The Funds declare and pay such income and capital gains on an annual basis except for the First Eagle High Yield Fund which declares income daily and pays monthly. First Eagle Global Income Builder Fund declared and paid income quarterly for the period October 1, 2012 to March 31, 2013. As of April 1, 2013, the First Eagle Global Income Builder Fund declares income daily and pays quarterly.
The Funds adopted provisions surrounding income taxes, which require the tax effects of certain tax positions to be recognized. These tax positions must meet a "more likely than not" standard that based on their technical merits, have a more than 50% likelihood of being sustained upon examination. Management of the Trust has analyzed the Funds' tax positions taken on federal and state income tax returns for all open tax years (the current and the prior three tax years) and has concluded that no provision for income tax is required in the Funds' financial statements.
m) Class Accounting — Investment income, common expenses and realized/unrealized gain or loss on investments are allocated to the various classes of the Fund on the basis of daily net assets of each class. Fees relating to a specific class are charged directly to that class.
n) Use of estimates — The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.
o) Redemption Fee — A redemption fee of 2% will be applied to the First Eagle Gold Fund for the sale or exchange within 60 days of the purchase of such shares. Effective March 1, 2013, the First Eagle Global Fund and First Eagle Overseas Fund no longer charge redemption fees.
p) Foreign Taxes — The Funds may be subject to foreign taxes on income, gains on investments or currency purchases/repatriation, a portion of which may be recoverable. The Funds will accrue such taxes and recoveries as applicable, based upon their current interpretation of tax rules and regulations that exist in the markets in which they invest.
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Note 2 — Investment Advisory, Custody and Administration Agreements; Transactions with Related Persons
For its services, the Adviser receives, pursuant to an Investment Advisory Agreement between the Funds and the Adviser (the "Advisory Agreement") an annual advisory fee as follows:
FUND | | MANAGEMENT FEE (% OF AVERAGE DAILY NET ASSETS) | |
First Eagle Global Fund | | | 0.75 | % | |
First Eagle Overseas Fund | | | 0.75 | | |
First Eagle U.S. Value Fund | | | 0.75 | | |
First Eagle Gold Fund | | | 0.75 | | |
First Eagle Global Income Builder Fund | | | 0.75 | | |
First Eagle High Yield Fund | | | 0.70 | | |
First Eagle Fund of America | | | 1.00 | | |
The Adviser receives from First Eagle Fund of America an annual advisory fee at the rate of 1.00% of the first $1.5 billion of the average daily net assets, 0.95% of the next $1 billion of the average daily net assets; 0.90% on the next $2.5 billion of the average daily net assets and 0.85% in excess of $5 billion of the average daily net assets.
Pursuant to a subadvisory agreement, dated December 10, 2002 (agreement was amended and restated most recently in September 2009) ("Subadvisory Agreement") Iridian Asset Management LLC ("Iridian" or "Sub-Adviser") manages the investments of the First Eagle Fund of America. The fees paid to Iridian by the Adviser under the Subadvisory Agreement are based on a reference amount equal to 50% of the combined (i) fees received by the Adviser for advisory services on behalf of the Fund and (ii) the fees received by the Fund's distributor for its shareholder liaison services on behalf of the Fund. These amounts are reduced by certain direct marketing costs borne by the Adviser in connection with the Fund and are further reduced by the amount paid by the Adviser for certain administrative expenses incurred in providing services to the Fund.
The Adviser had contractually agreed to waive its management fee and/or reimburse expenses, for the First Eagle High Yield Fund and First Eagle Global Income Builder Fund, as allowed by law, so that the total annual operating expenses (excluding certain items) of the First Eagle High Yield Fund's Class A, Class C and Class I shares did not exceed 1.25%, 2.00% and 0.80%, respectively,
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Notes to Financial Statements (unaudited)
and the First Eagle Global Income Builder Fund's Class A, Class C and Class I shares do not exceed 1.30%, 2.05%, and 1.05%, respectively, through December 31, 2013.
Effective January 1, 2014, the First Eagle High Yield Fund and First Eagle Global Income Builder no longer waive management fees.
The Adviser may seek reimbursement for fees waived and other expenses paid by the Adviser pursuant to the Fee Waiver and Expense Reimbursement Agreement ("Agreement"). A repayment should be payable only to the extent it can be made during the thirty-six months following the applicable period during which the Adviser waived fees or reimbursed operating expenses under the Agreement. As of April 30, 2014, the Adviser may seek reimbursement of the remaining waived and reimbursed fees as follows:
First Eagle Global Income Builder Fund | |
EXPIRATION | | AMOUNT | |
October 31, 2015 | | $ | 171,704 | | |
October 31, 2016 | | | 151,643 | | |
During the period ended April 30, 2014, the First Eagle Global Income Builder Fund made repayments to the Adviser for previously waived and reimbursed fees in the amount of $105,748.
First Eagle High Yield Fund | |
EXPIRATION | | AMOUNT | |
March 31, 2015 | | $ | 72,599 | | |
October 31, 2015 | | | 297,386 | | |
October 31, 2016 | | | 309,343 | | |
April 30, 2017 | | | 44,141 | | |
During the period ended April 30, 2014, the First Eagle High Yield Fund made repayments to the Adviser for previously waived and reimbursed fees in the amount of $26,880.
The Adviser also performs certain administrative, accounting, operations, compliance and other services on behalf of the Funds, and in accordance with its agreement with them, the Funds reimburse the Adviser for costs (including personnel, related overhead and other costs) related to those services. These reimbursements may not exceed an annual rate of 0.05% of a Fund's average daily net assets.
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First Eagle Global Income Builder Fund pays the Adviser a monthly administration fee that is accrued daily at an annual rate of 0.05% of the Fund's average daily net assets.
For the six-month period ended April 30, 2014, the Funds reimbursed and had payable to the Adviser amounts shown below:
FUND | | REIMBURSED TO ADVISER | | PAYABLE TO ADVISER | |
First Eagle Global Fund | | $ | 2,025,685 | | | $ | 444,806 | | |
First Eagle Overseas Fund | | | 620,770 | | | | 143,825 | | |
First Eagle U.S. Value Fund | | | 139,187 | | | | 42,489 | | |
First Eagle Gold Fund | | | 58,413 | | | | 6,685 | | |
First Eagle Global Income Builder Fund | | | 146,649 | | | | 32,604 | | |
First Eagle High Yield Fund | | | 46,444 | | | | 7,817 | | |
First Eagle Fund of America | | | 115,057 | | | | 20,755 | | |
The Funds have entered into Custody Agreements with State Street Bank and Trust Company ("SSB"). The Custody Agreements provide for an annual fee based on the amount of assets under custody plus transaction charges. SSB serves as custodian of the Funds' portfolio securities and other assets. SSB has directly entered into sub-custodial agreements to maintain the custody of gold bullion in the Funds. Under the terms of the Custody Agreement between the Funds and SSB, SSB maintains and deposits in separate accounts, cash, securities and other assets of the Funds. SSB is also required, upon the order of the Funds, to deliver securities held by SSB and the sub-custodian, and to make payments for securities purchased by the Funds. SSB has also entered into sub-custodian agreements with a number of foreign banks and clearing agencies, pursuant to which portfolio securities purchased outside the United States are maintained in the custody of these entities.
The Funds have also entered into an Administration Agreement with SSB, pursuant to which SSB provides certain financial reporting and other administrative services. SSB, as the Funds' Administrator, receives annual fees separate from and in addition to the fees it receives for its services as the Funds' custodian.
FEF Distributors, LLC, a wholly owned subsidiary of the Adviser, serves as the Funds' principal underwriter. For the six-month period ended April 30, 2014, FEF Distributors, LLC realized $1,195,893, $115,013, $65,972, $80,548, $118,063, $69,469 and $129,193, pertaining to the sales of shares of First Eagle
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Notes to Financial Statements (unaudited)
Global Fund, First Eagle Overseas Fund, First Eagle U.S. Value Fund, First Eagle Gold Fund, First Eagle Global Income Builder Fund, First Eagle High Yield Fund and First Eagle Fund of America, respectively.
The Trust adopted a Trustee Deferred Compensation Plan, which allows the independent Trustees to defer the receipt of all or a portion of compensation related to performance of their duties as a Trustee. The deferred fees are invested in various First Eagle Funds until distribution in accordance with the Trustee Deferred Compensation Plan. As of April 30, 2014, balances to the Plan are recorded on the Statements of Assets and Liabilities.
For the six-month period ended April 30, 2014, the Sub-Adviser reimbursed $65,047, $3,562, $9,348 and $21,144 for losses incurred in connection with trading errors for First Eagle Global Fund, First Eagle U.S. Value Fund, First Eagle Global Income Builder Fund and First Eagle Fund of America, respectively.
Note 3 — Plans of Distribution
Under the terms of the Distribution Plans and Agreements ("the Plans") with FEF Distributors, LLC ("the Distributor"), pursuant to the provisions of Rule 12b-1 under the 1940 Act, the First Eagle Global Fund, First Eagle Overseas Fund, First Eagle U.S. Value Fund, First Eagle Gold Fund, First Eagle Global Income Builder Fund and First Eagle High Yield Fund pay the Distributor monthly, a distribution fee with respect to Class A and Class C shares at an annual rate of up to 0.25% and 0.75%, respectively, of each Fund's average daily net assets. In the case of First Eagle Fund of America, it pays the Distributor monthly, a distribution fee with respect to Class A, Class C and Class Y shares at an annual rate of up to 0.25%, 0.75% and 0.25%, respectively of the average daily net assets. Under the Plans, the Distributor is obligated to use the amounts received under the Plans for payments to qualifying dealers for their assistance in the distribution of a Fund's shares and the provision of shareholder services and for other expenses such as advertising costs and the payment for the printing and distribution of prospectuses to prospective investors.
The Distributor bears distribution costs of a Fund to the extent they exceed payments received under the Plan. For the six-month period ended April 30, 2014, the distribution fees incurred by the Funds are disclosed in the Statements of Operations.
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The Distributor receives an annual service fee with respect to Class C at the annual rate of 0.25% of each Fund's average daily net assets, payable monthly to cover expenses incurred by the Distributor for providing shareholder liaison services, including assistance with subscriptions, redemptions and other shareholder questions. For the six-month period ended April 30, 2014, the services fees incurred by the Funds are disclosed in the Statements of Operations.
Note 4 — Purchases and Sales of Securities
During the six-month period ended April 30, 2014, the cost of purchases of investments, excluding U.S. Government and short-term securities, totaled $2,779,677,620, $677,924,569, $161,574,434, $53,946,597, $347,242,841, $377,338,084 and $443,694,909 for First Eagle Global Fund, First Eagle Overseas Fund, First Eagle U.S. Value Fund, First Eagle Gold Fund, First Eagle Global Income Builder Fund, First Eagle High Yield Fund and First Eagle Fund of America, respectively. Proceeds from sales of investments, excluding U.S. Government securities and short-term securities, totaled $2,874,491,940, $706,208,874, $520,988,347, $203,038,047, $79,866,176, $219,210,033 and $315,662,219 for First Eagle Global Fund, First Eagle Overseas Fund, First Eagle U.S. Value Fund, First Eagle Gold Fund, First Eagle Global Income Builder Fund, First Eagle High Yield Fund and First Eagle Fund of America, respectively.
There were no purchases or sales of U.S. Government securities, excluding short-term securities, for First Eagle Global Fund, First Eagle Overseas Fund, First Eagle U.S. Value Fund, First Eagle Gold Fund, First Eagle Global Income Builder Fund, First Eagle High Yield Fund and First Eagle Fund of America.
Note 5 — Line of Credit
At a meeting on September 11, 2013, the Board of Trustees approved continuing a $300 million committed, unsecured line of credit ("Credit Facility") with State Street Bank and Trust Company for the Funds, to be utilized for temporarily financing the purchase or sale of securities for prompt delivery in the ordinary course of business or for temporarily financing the redemption of shares of each Fund at the request of shareholders and other temporary or emergency purposes. Under the Credit Facility arrangement, each Fund has agreed to pay an annual commitment fee on the unused balance, allocated pro rata, based on the relative asset size of the Funds. A portion of the commitment fees related to the line of
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Notes to Financial Statements (unaudited)
credit are paid by the Funds and are included in other expenses in the Statements of Operations. During the six-month period ended April 30, 2014, the Funds had borrowings under the agreement as follows:
FUND | | AVERAGE DAILY LOAN BALANCE | | NUMBER OF DAYS OUTSTANDING | | INTEREST EXPENSE | | WEIGHTED AVERAGE ANNUALIZED INTEREST RATE | |
First Eagle Overseas Fund | | $ | 6,704,000 | | | | 1 | | | $ | 251 | | | | 1.35 | % | |
First Eagle High Yield Fund | | | 6,414,000 | | | | 1 | | | | 239 | | | | 1.34 | | |
As of April 30, 2014 there were no outstanding borrowings from the credit facility.
Note 6 — Capital Stock
At April 30, 2014, the Funds have an unlimited number of shares authorized for issuance. The Funds have the ability to issue multiple classes of shares.
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Notes to Financial Statements (unaudited)
Transactions in shares of capital stock were as follows:
| | SIX-MONTH PERIOD ENDED APRIL 30, 2014 | |
| | FIRST EAGLE GLOBAL FUND | |
| | CLASS A | | CLASS C | | CLASS I | |
Shares sold | | | 32,583,391 | | | | 21,763,393 | | | | 50,186,212 | | |
Shares issued for reinvested dividends and distributions | | | 14,186,651 | | | | 6,365,759 | | | | 10,283,931 | | |
Shares redeemed | | | (28,982,554 | ) | | | (12,754,929 | ) | | | (27,785,524 | ) | |
Net increase (decrease) | | | 17,787,488 | | | | 15,374,223 | | | | 32,684,619 | | |
| | YEAR ENDED OCTOBER 31, 2013 | |
| | FIRST EAGLE GLOBAL FUND | |
| | CLASS A | | CLASS C | | CLASS I | |
Shares sold | | | 68,379,393 | | | | 40,520,480 | | | | 100,315,070 | | |
Shares issued for reinvested dividends and distributions | | | 12,310,757 | | | | 5,240,753 | | | | 7,790,628 | | |
Shares redeemed | | | (56,709,392 | ) | | | (26,235,228 | ) | | | (51,949,001 | ) | |
Net increase (decrease) | | | 23,980,758 | | | | 19,526,005 | | | | 56,156,697 | | |
| | SIX-MONTH PERIOD ENDED APRIL 30, 2014 | |
| | FIRST EAGLE GOLD FUND | |
| | CLASS A | | CLASS C | | CLASS I | |
Shares sold | | | 7,035,847 | | | | 1,698,158 | | | | 8,658,924 | | |
Shares issued for reinvested dividends and distributions | | | — | | | | — | | | | — | | |
Shares redeemed | | | (12,385,242 | ) | | | (3,994,073 | ) | | | (12,603,884 | ) | |
Net increase (decrease) | | | (5,349,395 | ) | | | (2,295,915 | ) | | | (3,944,960 | ) | |
| | YEAR ENDED OCTOBER 31, 2013 | |
| | FIRST EAGLE GOLD FUND | |
| | CLASS A | | CLASS C | | CLASS I | |
Shares sold | | | 18,267,740 | | | | 4,405,851 | | | | 19,790,909 | | |
Shares issued for reinvested dividends and distributions | | | 131,202 | | | | 42 | | | | 77,683 | | |
Shares redeemed | | | (24,960,048 | ) | | | (8,128,432 | ) | | | (21,197,330 | ) | |
Net increase (decrease) | | | (6,561,106 | ) | | | (3,722,539 | ) | | | (1,328,738 | ) | |
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| | SIX-MONTH PERIOD ENDED APRIL 30, 2014 | |
| | FIRST EAGLE OVERSEAS FUND | | FIRST EAGLE U.S. VALUE FUND | |
| | CLASS A | | CLASS C | | CLASS I | | CLASS A | | CLASS C | | CLASS I | |
Shares sold | | | 28,849,304 | | | | 4,152,529 | | | | 48,859,068 | | | | 4,357,504 | | | | 1,785,709 | | | | 6,025,675 | | |
Shares issued for reinvested dividends and distributions | | | 13,900,655 | | | | 2,124,067 | | | | 15,541,229 | | | | 2,780,593 | | | | 1,074,159 | | | | 1,735,414 | | |
Shares redeemed | | | (35,805,528 | ) | | | (3,692,635 | ) | | | (40,394,563 | ) | | | (12,276,616 | ) | | | (3,473,773 | ) | | | (9,786,721 | ) | |
Net increase (decrease) | | | 6,944,431 | | | | 2,583,961 | | | | 24,005,734 | | | | (5,138,519 | ) | | | (613,905 | ) | | | (2,025,632 | ) | |
| | YEAR ENDED OCTOBER 31, 2013 | |
| | FIRST EAGLE OVERSEAS FUND | | FIRST EAGLE U.S. VALUE FUND | |
| | CLASS A | | CLASS C | | CLASS I | | CLASS A | | CLASS C | | CLASS I | |
Shares sold | | | 57,521,589 | | | | 7,771,516 | | | | 110,626,219 | | | | 17,823,128 | | | | 6,973,806 | | | | 19,342,095 | | |
Shares issued for reinvested dividends and distributions | | | 11,078,284 | | | | 1,679,612 | | | | 10,459,996 | | | | 2,102,240 | | | | 661,755 | | | | 1,255,220 | | |
Shares redeemed | | | (55,928,966 | ) | | | (7,682,599 | ) | | | (56,114,422 | ) | | | (24,859,469 | ) | | | (6,329,187 | ) | | | (18,731,430 | ) | |
Net increase (decrease) | | | 12,670,907 | | | | 1,768,529 | | | | 64,971,793 | | | | (4,934,101 | ) | | | 1,306,374 | | | | 1,865,885 | | |
| | SIX-MONTH PERIOD ENDED APRIL 30, 2014 | |
| | FIRST EAGLE GLOBAL INCOME BUILDER FUND | | FIRST EAGLE HIGH YIELD FUND | |
| | CLASS A | | CLASS C | | CLASS I | | CLASS A | | CLASS C | | CLASS I | |
Shares sold | | | 11,902,197 | | | | 8,018,653 | | | | 10,189,388 | | | | 7,783,871 | | | | 3,902,661 | | | | 20,259,785 | | |
Shares issued for reinvested dividends and distributions | | | 333,245 | | | | 149,016 | | | | 145,914 | | | | 785,334 | | | | 266,793 | | | | 925,285 | | |
Shares redeemed | | | (2,023,032 | ) | | | (1,058,796 | ) | | | (938,523 | ) | | | (5,302,943 | ) | | | (2,032,921 | ) | | | (10,011,905 | ) | |
Net increase (decrease) | | | 10,212,410 | | | | 7,108,873 | | | | 9,396,779 | | | | 3,266,262 | | | | 2,136,533 | | | | 11,173,165 | | |
| | YEAR ENDED OCTOBER 31, 2013 | |
| | FIRST EAGLE GLOBAL INCOME BUILDER FUND | | FIRST EAGLE HIGH YIELD FUND | |
| | CLASS A | | CLASS C | | CLASS I | | CLASS A | | CLASS C | | CLASS I | |
Shares sold | | | 18,700,256 | | | | 11,383,991 | | | | 9,365,010 | | | | 23,301,354 | | | | 7,555,566 | | | | 29,103,039 | | |
Shares issued for reinvested dividends and distributions | | | 355,012 | | | | 162,461 | | | | 154,687 | | | | 1,492,705 | | | | 532,373 | | | | 1,610,518 | | |
Shares redeemed | | | (2,706,050 | ) | | | (911,431 | ) | | | (1,720,553 | ) | | | (12,609,883 | ) | | | (3,765,254 | ) | | | (11,112,652 | ) | |
Net increase (decrease) | | | 16,349,218 | | | | 10,635,021 | | | | 7,799,144 | | | | 12,184,176 | | | | 4,322,685 | | | | 19,600,905 | | |
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Notes to Financial Statements (unaudited)
| | SIX-MONTH PERIOD ENDED APRIL 30, 2014 | |
| | FIRST EAGLE FUND OF AMERICA | |
| | CLASS A | | CLASS C | | CLASS I | | CLASS Y | |
Shares sold | | | 5,258,585 | | | | 2,980,940 | | | | 3,476,871 | | | | 856,330 | | |
Shares issued for reinvested dividends and distributions | | | 462,547 | | | | 212,957 | | | | 153,384 | | | | 222,650 | | |
Shares redeemed | | | (2,688,368 | ) | | | (899,282 | ) | | | (1,134,565 | ) | | | (1,473,899 | ) | |
Net increase (decrease) | | | 3,032,764 | | | | 2,294,615 | | | | 2,495,690 | | | | (394,919 | ) | |
| | YEAR ENDED OCTOBER 31, 2013 | |
| | FIRST EAGLE FUND OF AMERICA | |
| | CLASS A | | CLASS C | | CLASS I* | | CLASS Y | |
Shares sold | | | 13,566,134 | | | | 6,229,657 | | | | 14,822,594 | | | | 2,095,673 | | |
Shares issued for reinvested dividends and distributions | | | 7,690 | | | | 40 | | | | 7 | | | | 6,187 | | |
Shares redeemed | | | (9,781,426 | ) | | | (1,562,584 | ) | | | (971,639 | ) | | | (12,212,254 | ) | |
Net increase (decrease) | | | 3,792,398 | | | | 4,667,113 | | | | 13,850,962 | | | | (10,110,394 | ) | |
* Represents the period March 8, 2013 to October 31, 2013.
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Transactions in dollars of capital stock were as follows:
| | SIX-MONTH PERIOD ENDED APRIL 30, 2014 | | SIX-MONTH PERIOD ENDED APRIL 30, 2014 | |
| | FIRST EAGLE GLOBAL FUND | | FIRST EAGLE OVERSEAS FUND | |
| | CLASS A | | CLASS C | | CLASS I | | CLASS A | | CLASS C | | CLASS I | |
Shares sold | | $ | 1,761,044,311 | | | $ | 1,150,303,990 | | | $ | 2,720,271,087 | | | $ | 679,949,001 | | | $ | 94,547,937 | | | $ | 1,168,675,538 | | |
Shares issued for reinvested dividends and distributions | | | 737,280,322 | | | | 324,908,409 | | | | 536,512,696 | | | | 313,042,780 | | | | 46,559,542 | | | | 355,894,147 | | |
Shares redeemed | | | (1,566,237,547 | ) | | | (676,197,546 | ) | | | (1,506,934,473 | ) | | | (840,058,974 | ) | | | (84,382,807 | ) | | | (964,945,506 | ) | |
Net increase (decrease) | | $ | 932,087,086 | | | $ | 799,014,853 | | | $ | 1,749,849,310 | | | $ | 152,932,807 | | | $ | 56,724,672 | | | $ | 559,624,179 | | |
| | YEAR ENDED OCTOBER 31, 2013 | | YEAR ENDED OCTOBER 31, 2013 | |
| | FIRST EAGLE GLOBAL FUND | | FIRST EAGLE OVERSEAS FUND | |
| | CLASS A | | CLASS C | | CLASS I | | CLASS A | | CLASS C | | CLASS I | |
Shares sold | | $ | 3,497,016,996 | | | $ | 2,031,735,222 | | | $ | 5,155,682,552 | | | $ | 1,313,800,443 | | | $ | 172,795,866 | | | $ | 2,562,741,314 | | |
Shares issued for reinvested dividends and distributions | | | 590,423,655 | | | | 247,259,012 | | | | 374,962,942 | | | | 239,955,685 | | | | 35,490,217 | | | | 230,119,915 | | |
Shares redeemed | | | (2,893,674,604 | ) | | | (1,312,491,400 | ) | | | (2,671,165,519 | ) | | | (1,277,148,265 | ) | | | (170,362,139 | ) | | | (1,306,725,008 | ) | |
Net increase (decrease) | | $ | 1,193,766,047 | | | $ | 966,502,834 | | | $ | 2,859,479,975 | | | $ | 276,607,863 | | | $ | 37,923,944 | | | $ | 1,486,136,221 | | |
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Notes to Financial Statements (unaudited)
| | SIX-MONTH PERIOD ENDED APRIL 30, 2014 | | SIX-MONTH PERIOD ENDED APRIL 30, 2014 | |
| | FIRST EAGLE U.S. VALUE FUND | | FIRST EAGLE GOLD FUND | | FIRST EAGLE GLOBAL INCOME BUILDER FUND | |
| | CLASS A | | CLASS C | | CLASS I | | CLASS A | | CLASS C | | CLASS I | | CLASS A | | CLASS C | | CLASS I | |
Shares sold | | $ | 87,289,998 | | | $ | 35,328,995 | | | $ | 122,017,303 | | | $ | 113,219,554 | | | $ | 26,281,354 | | | $ | 138,095,654 | | | $ | 136,109,012 | | | $ | 91,644,253 | | | $ | 116,927,160 | | |
Shares issued for reinvested dividends and distributions | | | 53,693,260 | | | | 20,559,411 | | | | 33,909,992 | | | | — | | | | — | | | | — | | | | 3,835,366 | | | | 1,710,601 | | | | 1,677,703 | | |
Shares redeemed | | | (246,425,267 | ) | | | (69,161,280 | ) | | | (199,605,547 | ) | | | (192,496,665 | ) | | | (59,212,837 | ) | | | (197,943,614 | ) | | | (23,122,935 | ) | | | (12,106,719 | ) | | | (10,730,290 | ) | |
Net increase (decrease) | | $ | (105,442,009 | ) | | $ | (13,272,874 | ) | | $ | (43,678,252 | ) | | $ | (79,277,111 | ) | | $ | (32,931,483 | ) | | $ | (59,847,960 | ) | | $ | 116,821,443 | | | $ | 81,248,135 | | | $ | 107,874,573 | | |
| | YEAR ENDED OCTOBER 31, 2013 | | YEAR ENDED OCTOBER 31, 2013 | |
| | FIRST EAGLE U.S. VALUE FUND | | FIRST EAGLE GOLD FUND | | FIRST EAGLE GLOBAL INCOME BUILDER FUND | |
| | CLASS A | | CLASS C | | CLASS I | | CLASS A | | CLASS C | | CLASS I | | CLASS A | | CLASS C | | CLASS I | |
Shares sold | | $ | 336,640,485 | | | $ | 129,653,115 | | | $ | 368,439,929 | | | $ | 388,461,140 | | | $ | 93,817,364 | | | $ | 425,138,499 | | | $ | 200,840,624 | | | $ | 121,640,893 | | | $ | 100,665,323 | | |
Shares issued for reinvested dividends and distributions | | | 37,377,968 | | | | 11,673,473 | | | | 22,568,874 | | | | 3,597,270 | | | | 677 | | | | 2,152,604 | | | | 3,796,441 | | | | 1,730,539 | | | | 1,645,329 | | |
Shares redeemed | | | (471,429,277 | ) | | | (118,785,130 | ) | | | (360,521,201 | ) | | | (511,378,497 | ) | | | (159,616,525 | ) | | | (444,450,557 | ) | | | (29,227,048 | ) | | | (9,817,681 | ) | | | (18,539,751 | ) | |
Net increase (decrease) | | $ | (97,410,824 | ) | | $ | 22,541,458 | | | $ | 30,487,602 | | | $ | (119,320,087 | ) | | $ | (65,798,484 | ) | | $ | (17,159,454 | ) | | $ | 175,410,017 | | | $ | 113,553,751 | | | $ | 83,770,901 | | |
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| | SIX-MONTH PERIOD ENDED APRIL 30, 2014 | | SIX-MONTH PERIOD ENDED APRIL 30, 2014 | |
| | FIRST EAGLE HIGH YIELD FUND | | FIRST EAGLE FUND OF AMERICA | |
| | CLASS A | | CLASS C | | CLASS I | | CLASS A | | CLASS C | | CLASS I | | CLASS Y | |
Shares sold | | $ | 79,189,943 | | | $ | 39,683,735 | | | $ | 205,970,866 | | | $ | 192,576,799 | | | $ | 93,823,619 | | | $ | 130,496,777 | | | $ | 31,884,275 | | |
Shares issued for reinvested dividends and distributions | | | 8,006,266 | | | | 2,717,405 | | | | 9,433,282 | | | | 16,198,455 | | | | 6,418,536 | | | | 5,474,262 | | | | 7,953,046 | | |
Shares redeemed | | | (53,941,400 | ) | | | (20,668,843 | ) | | | (101,900,643 | ) | | | (98,138,865 | ) | | | (28,250,534 | ) | | | (42,367,562 | ) | | | (55,267,365 | ) | |
Net increase (decrease) | | $ | 33,254,809 | | | $ | 21,732,297 | | | $ | 113,503,505 | | | $ | 110,636,389 | | | $ | 71,991,621 | | | $ | 93,603,477 | | | $ | (15,430,044 | ) | |
| | YEAR ENDED OCTOBER 31, 2013 | | YEAR ENDED OCTOBER 31, 2013 | |
| | FIRST EAGLE HIGH YIELD FUND | | FIRST EAGLE FUND OF AMERICA | |
| | CLASS A | | CLASS C | | CLASS I | | CLASS A | | CLASS C | | CLASS I* | | CLASS Y | |
Shares sold | | $ | 235,164,140 | | | $ | 76,205,397 | | | $ | 293,516,038 | | | $ | 417,540,709 | | | $ | 168,315,024 | | | $ | 480,472,160 | | | $ | 65,179,337 | | |
Shares issued for reinvested dividends and distributions | | | 15,056,272 | | | | 5,363,858 | | | | 16,244,598 | | | | 213,728 | | | | 1,145 | | | | 219 | | | | 174,597 | | |
Shares redeemed | | | (126,959,400 | ) | | | (37,898,182 | ) | | | (112,078,026 | ) | | | (303,665,533 | ) | | | (41,563,487 | ) | | | (32,328,624 | ) | | | (390,594,676 | ) | |
Net increase (decrease) | | $ | 123,261,012 | | | $ | 43,671,073 | | | $ | 197,682,610 | | | $ | 114,088,904 | | | $ | 126,752,682 | | | $ | 448,143,755 | | | $ | (325,240,742 | ) | |
* Represents the period March 8, 2013 to October 31, 2013.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
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Notes to Financial Statements (unaudited)
At April 30, 2014, ASB Holdings owned more than 5% of the First Eagle Global Income Builder Fund Class I shares.
Note 7 — Indemnification and Investment Risk
In the normal course of business, the Funds enter into contracts that contain a variety of representations which provide general indemnifications. Each Fund's maximum exposure under these arrangements is unknown, as this would involve future claims that may be made against each Fund that have not yet occurred. However, based on experience, the Funds expect the risk of loss to be remote. The Funds may have elements of risk not typically associated with investments in the United States of America due to their investments in foreign countries or regions. Such foreign investments may subject the Funds to additional risks resulting from political or economic conditions in such countries or regions and the possible imposition of adverse governmental laws or currency exchange restrictions could cause the securities and their markets to be less liquid and their prices to be more volatile than those of comparable U.S. securities. The securities markets in many emerging-market countries are substantially smaller, less developed, less liquid and more volatile than the securities markets of developed countries.
The First Eagle High Yield Fund invests in high yield securities which may be subject to greater levels of interest rate, credit and liquidity risk than investment grade securities. These high yield securities may be considered speculative with respect to the issuer's continuing ability to make principal and interest payments and may be subject to significant price fluctuations.
The Funds are subject to interest rate and credit risk. The value of debt securities may decline as interest rates increase. The Funds could lose money if the issuer of a fixed income security is unable to pay interest or repay principal when it is due. The ability of the issuers of debt to meet their obligations may be affected by the economic and political developments in a specific industry or region.
The Funds enter into derivatives which may represent off-balance sheet risk. Off-balance sheet risk exists when the maximum potential loss on a particular investment is greater than the value of such investment as reflected in the Statements of Assets and Liabilities.
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Note 8 — Redemption In-Kind Transactions
The redemption in-kind policy for all of the Funds reserves the right of the Funds to pay redemptions in-kind (i.e., payments in the form of marketable securities or, as needed, other traded assets, rather than cash) if the redemption request is large enough to affect a Fund's operations (for example, if it represents more than $250,000 or 1% of the Fund's assets). When receiving assets distributed in-kind, the recipient will bear applicable commissions or other costs on their sale. There were no redemptions in-kind as of April 30, 2014.
Note 9 — Subsequent Events
In accordance with the provision surrounding Subsequent Events adopted by the Funds, management has evaluated the possibility of subsequent events existing in the Funds' financial statements. Management has determined that there are no material events that would require disclosures in the Funds' financial statements.
Effective at the close of business on Friday, May 9, 2014, the First Eagle Overseas Fund is closed to new investors, subject to certain limited exceptions. Additional information can be found in the prospectus.
FIRST EAGLE FUNDS | SEMI-ANNUAL REPORT | APRIL 30, 2014
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Fund Expenses (unaudited)
Example
As a shareholder of the First Eagle Funds, you may incur two types of costs: (1) transaction costs including front-end and contingent deferred sales charges (loads), and (2) ongoing costs, including advisory fees; distribution fees (12b-1) and/or service fees; and other Fund expenses. This Example is intended to help you understand your ongoing costs (in dollars) of investing in the Funds and to compare these costs with the ongoing costs of investing in other mutual funds.
This Example is based on an investment of $1,000 invested on November 1, 2013 and held for the six-months ended April 30, 2014.
Actual Expenses
The table below titled "Based on Actual Total Return" provides information about actual account values and actual expenses. You may use the information provided in this table, together with the amount you invested, to estimate the expenses that you paid over the period. To estimate the expenses you paid on your account, divide your ending account value by $1,000 (for example, an $8,600 ending account value divided by $1,000 = 8.6), then multiply the result by the number under the heading entitled "Expenses Paid During the Period".
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Based on Actual Total Return1
| | ACTUAL TOTAL RETURN WITHOUT SALES CHARGES2 | | BEGINNING ACCOUNT VALUE | | ENDING ACCOUNT VALUE | | ANNUALIZED EXPENSE RATIO | | EXPENSES PAID DURING THE PERIOD3 | |
First Eagle Global Fund Consolidated | |
Class A | | | 4.98 | % | | $ | 1,000.00 | | | $ | 1,049.80 | | | | 1.12 | % | | $ | 5.69 | | |
Class C | | | 4.58 | | | | 1,000.00 | | | | 1,045.80 | | | | 1.87 | | | | 9.49 | | |
Class I | | | 5.11 | | | | 1,000.00 | | | | 1,051.10 | | | | 0.87 | | | | 4.42 | | |
First Eagle Overseas Fund Consolidated | |
Class A | | | 4.44 | | | | 1,000.00 | | | | 1,044.40 | | | | 1.14 | | | | 5.78 | | |
Class C | | | 4.08 | | | | 1,000.00 | | | | 1,040.80 | | | | 1.89 | | | | 9.56 | | |
Class I | | | 4.57 | | | | 1,000.00 | | | | 1,045.70 | | | | 0.89 | | | | 4.51 | | |
First Eagle U.S. Value Fund Consolidated | |
Class A | | | 6.04 | | | | 1,000.00 | | | | 1,060.40 | | | | 1.16 | | | | 5.93 | | |
Class C | | | 5.60 | | | | 1,000.00 | | | | 1,056.00 | | | | 1.91 | | | | 9.74 | | |
Class I | | | 6.13 | | | | 1,000.00 | | | | 1,061.30 | | | | 0.91 | | | | 4.65 | | |
First Eagle Gold Fund Consolidated | |
Class A | | | -0.53 | | | | 1,000.00 | | | | 994.70 | | | | 1.32 | | | | 6.53 | | |
Class C | | | -0.92 | | | | 1,000.00 | | | | 990.80 | | | | 2.07 | | | | 10.22 | | |
Class I | | | -0.41 | | | | 1,000.00 | | | | 995.90 | | | | 1.06 | | | | 5.25 | | |
First Eagle Global Income Builder Fund | |
Class A | | | 6.60 | | | | 1,000.00 | | | | 1,066.00 | | | | 1.30 | | | | 6.66 | | |
Class C | | | 6.22 | | | | 1,000.00 | | | | 1,062.20 | | | | 2.04 | | | | 10.43 | | |
Class I | | | 6.74 | | | | 1,000.00 | | | | 1,067.40 | | | | 1.05 | | | | 5.38 | | |
First Eagle High Yield Fund | |
Class A | | | 4.04 | | | | 1,000.00 | | | | 1,040.40 | | | | 1.10 | | | | 5.57 | | |
Class C | | | 3.65 | | | | 1,000.00 | | | | 1,036.50 | | | | 1.85 | | | | 9.34 | | |
Class I | | | 4.18 | | | | 1,000.00 | | | | 1,041.80 | | | | 0.82 | | | | 4.15 | | |
First Eagle Fund of America | |
Class A | | | 10.03 | | | | 1,000.00 | | | | 1,100.30 | | | | 1.37 | | | | 7.13 | | |
Class C | | | 9.61 | | | | 1,000.00 | | | | 1,096.10 | | | | 2.12 | | | | 11.02 | | |
Class I | | | 10.15 | | | | 1,000.00 | | | | 1,101.50 | | | | 1.12 | | | | 5.84 | | |
Class Y | | | 10.01 | | | | 1,000.00 | | | | 1,100.10 | | | | 1.37 | | | | 7.13 | | |
1 For the six-months ended April 30, 2014.
2 Past performance does not guarantee future results. Assumes reinvestment of all dividends and capital gain distributions, if any, at net asset value and does not reflect the deduction of the applicable sales charge, exchange fees or redemption fees. Had the effect of sales charges been reflected, expenses would have been higher and returns lower. Total return is not annualized, as it may not be representative of the total return for the year.
3 Expenses are equal to the annualized expense ratio multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period).
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Fund Expenses (unaudited)
Hypothetical Example for Comparison Purposes
The table below titled "Based on Hypothetical Total Return" provides information about hypothetical account values and hypothetical expenses based on the actual expense ratios and an assumed rate of return of 5% per year before expenses, which is not the First Eagle Funds' 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 the information provided in this table to compare the ongoing costs of investing in the Funds and other funds. To do so, compare the 5% hypothetical example relating to the Funds with the 5% hypothetical examples that appear in the shareholder reports of other funds.
This Example is based on an investment of $1,000 invested on November 1, 2013 and held for the six-months ended April 30, 2014.
Please note that the expenses shown in the table below are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as front-end or back-end sales charges (loads). Therefore, 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 transaction costs were included, your costs would have been higher.
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Based on Hypothetical Total Return1
| | HYPOTHETICAL ANNUALIZED TOTAL RETURN | | BEGINNING ACCOUNT VALUE | | ENDING ACCOUNT VALUE | | ANNUALIZED EXPENSE RATIO | | EXPENSES PAID DURING THE PERIOD2 | |
First Eagle Global Fund Consolidated | |
Class A | | | 5.00 | % | | $ | 1,000.00 | | | $ | 1,019.24 | | | | 1.12 | % | | $ | 5.61 | | |
Class C | | | 5.00 | | | | 1,000.00 | | | | 1,015.52 | | | | 1.87 | | | | 9.35 | | |
Class I | | | 5.00 | | | | 1,000.00 | | | | 1,020.48 | | | | 0.87 | | | | 4.36 | | |
First Eagle Overseas Fund Consolidated | |
Class A | | | 5.00 | | | | 1,000.00 | | | | 1,019.14 | | | | 1.14 | | | | 5.71 | | |
Class C | | | 5.00 | | | | 1,000.00 | | | | 1,015.42 | | | | 1.89 | | | | 9.44 | | |
Class I | | | 5.00 | | | | 1,000.00 | | | | 1,020.38 | | | | 0.89 | | | | 4.46 | | |
First Eagle U.S. Value Fund Consolidated | |
Class A | | | 5.00 | | | | 1,000.00 | | | | 1,019.04 | | | | 1.16 | | | | 5.81 | | |
Class C | | | 5.00 | | | | 1,000.00 | | | | 1,015.32 | | | | 1.91 | | | | 9.54 | | |
Class I | | | 5.00 | | | | 1,000.00 | | | | 1,020.28 | | | | 0.91 | | | | 4.56 | | |
First Eagle Gold Fund Consolidated | |
Class A | | | 5.00 | | | | 1,000.00 | | | | 1,018.25 | | | | 1.32 | | | | 6.61 | | |
Class C | | | 5.00 | | | | 1,000.00 | | | | 1,014.53 | | | | 2.07 | | | | 10.34 | | |
Class I | | | 5.00 | | | | 1,000.00 | | | | 1,019.54 | | | | 1.06 | | | | 5.31 | | |
First Eagle Global Income Builder Fund | |
Class A | | | 5.00 | | | | 1,000.00 | | | | 1,018.35 | | | | 1.30 | | | | 6.51 | | |
Class C | | | 5.00 | | | | 1,000.00 | | | | 1,014.68 | | | | 2.04 | | | | 10.19 | | |
Class I | | | 5.00 | | | | 1,000.00 | | | | 1,019.59 | | | | 1.05 | | | | 5.26 | | |
First Eagle High Yield Fund | |
Class A | | | 5.00 | | | | 1,000.00 | | | | 1,019.34 | | | | 1.10 | | | | 5.51 | | |
Class C | | | 5.00 | | | | 1,000.00 | | | | 1,015.62 | | | | 1.85 | | | | 9.25 | | |
Class I | | | 5.00 | | | | 1,000.00 | | | | 1,020.73 | | | | 0.82 | | | | 4.11 | | |
First Eagle Fund of America | |
Class A | | | 5.00 | | | | 1,000.00 | | | | 1,018.00 | | | | 1.37 | | | | 6.85 | | |
Class C | | | 5.00 | | | | 1,000.00 | | | | 1,014.28 | | | | 2.12 | | | | 10.59 | | |
Class I | | | 5.00 | | | | 1,000.00 | | | | 1,019.24 | | | | 1.12 | | | | 5.61 | | |
Class Y | | | 5.00 | | | | 1,000.00 | | | | 1,018.00 | | | | 1.37 | | | | 6.85 | | |
1 For the six-months ended April 30, 2014.
2 Expenses are equal to the annualized expense ratio multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period).
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Quarterly Form N-Q portfolio schedule
The First Eagle Funds file their complete schedule of portfolio holdings with the Securities and Exchange Commission ("SEC") for the first and third quarters of each fiscal year on Form N-Q. The Funds' Forms N-Q are available on the SEC's Web site at www.sec.gov. The Funds' Forms N-Q may be reviewed and copied at the SEC's Public Reference Room in Washington, D.C. Information on the operation of the SEC's Public Reference Room may be obtained by calling 1.800.SEC.0330. Additionally, you may obtain copies of Forms N-Q from the Funds upon request by calling 1.800.334.2143.
Proxy voting policies, procedures and record
You may obtain a description of the Funds' (1) proxy voting policies, (2) proxy voting procedures and (3) information regarding how the Funds voted any proxies related to portfolio securities during the most recent twelve-month period ended June 30 for which an SEC filing has been made, without charge, upon request by contacting the Funds directly at 1.800.334.2143 or on the EDGAR Database on the SEC's Web site at www.sec.gov.
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Consideration of Investment Advisory Agreements
On December 22, 1999, the shareholders of the Global Fund, the Overseas Fund and the Gold Fund, and on August 31, 2001, the shareholders of the U.S. Value Fund approved the Advisory Agreement between the Trust and the Adviser applicable to those Funds. On December 10, 2002, the shareholders of the Fund of America approved the Advisory Agreement between the Trust and the Adviser applicable to that Fund. These various agreements are referred to in this discussion as the "Advisory Agreements." The Board of Trustees approved the Advisory Agreements most recently on December 17, 2013.
During the course of their most recent review, the Trustees covered the following, among other topics:
• The Trustees reviewed each Fund's long-standing historical relationship with the Adviser and the institutional resources available to the Adviser.
• The Trustees reviewed the nature, extent and quality of the services provided by the Adviser to each Fund. These services include management of the assets of the Funds and provision and/or analysis of related statistical and research data.
• The Trustees reviewed the performance of each Fund on both an absolute and a relative basis. Outperformance (over many periods reviewed) was noted for all Funds relative to the Funds' benchmarks, to the performance of peer mutual funds and to Morningstar, Lipper and the Performance Universe average. The relative results of a number of the Funds (Global Fund, Overseas Fund, U.S. Value Fund, High Yield Fund, First Eagle Fund of America and Overseas Variable Fund) were noted as being at or near the top of their peer groups for various periods. The Trustees commented on (and management discussed) the generally less favorable one-year relative performance results for Global Fund, Overseas Fund and U.S. Value Fund, though strong one-year relative results were noted for Gold Fund, Global Income Builder Fund and High Yield Fund. Similarly lagging one-year relative results were noted for First Eagle Fund of America. Losses on an absolute basis over the prior year were noted for Gold Fund, though there was relative outperformance over the same period. Contributors to the lagging one-year results (notably higher than median cash positions) were discussed. Performance for each Fund was determined to be appropriate and reflective of each Fund's investment view and philosophy.
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Consideration of Investment Advisory Agreements
• The Trustees reviewed the total compensation to be received by the Adviser and the Funds' total cost for using the Adviser's services, taking into account expenses incurred by the Adviser that are passed through to the Funds. They concluded that this compensation was commensurate with the nature, extent, and quality of the services provided and therefore reasonable under the circumstances. As part of their analysis, the Trustees considered competitive prices for services comparable to those provided by the Adviser. In doing so, they considered fees charged by investment advisers to peer mutual funds and determined that the Adviser's fees were competitive, with the net management fees for some Funds being higher and for some Funds being lower than their peer averages/medians, but all being within the range of peers. The Trustees noted breakpoints providing for potential reductions in the First Eagle Fund of America management fee over time. The Trustees also considered waived advisory fees to date from Global Income Builder Fund and High Yield Fund. The Trustees also considered the advisory fees charged to institutional clients of the Adviser, taking into consideration, among other things, the differing requirements of such clients. While analyzing the effects of indirect compensation to the Adviser, such as soft dollar and other service benefits, the Trustees considered the levels of soft dollars and absence of affiliated broker-dealer relationships.
• The Trustees' reviewed the Funds' expense ratios, which were deemed reasonable both on an absolute basis and in comparison to peer funds. The Trustees discussed the impact of the advisory fee on the ratio of total expenses to total assets and noted that the Funds' expense ratios generally had decreased over time as the Funds grew, highlighting a benefit to shareholders resulting from the development of economies of scale in the operation of the Funds. The Trustees noted that expense ratios for most of the Funds (excluding Gold Fund and Overseas Variable Fund) had decreased relative to the prior year and reviewed the causes of those decreases. The Trustees also considered the effect on expense ratios of Fund asset size and of particular categories of expenses, both currently and relative to prior periods. The Trustees again noted breakpoints providing for potential reductions in the First Eagle Fund of America management fee over time.
• The Trustees reviewed the Adviser's financial condition and profitability. They commented that profits appear healthy based on the information provided at the meeting and that the Adviser has always shown the
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willingness to commit resources to support investment in the business and to maintain the generally high quality of the overall shareholder experience in the Funds. The Trustees noted the effect of particular categories of expenses, including compensation, on the Adviser's financial condition. The Trustees reviewed the level of investment maintained in the Funds by certain portfolio managers (with those investments being both direct and "notional" under the Adviser's compensation plans), which was viewed as evidence of commitment to the Funds by key personnel.
At the conclusion of these reviews, with no single factor being determinative, the Trustees determined that each of the investment advisory arrangements serves the interests of the Funds and their shareholders and should be continued.
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Trustees
Lisa Anderson
John P. Arnhold
Candace K. Beinecke (Chair)
Jean-Marie Eveillard
Jean D. Hamilton
James E. Jordan
William M. Kelly
Paul J. Lawler
Officers
John P. Arnhold
President
Robert Bruno
Senior Vice President
Joseph T. Malone
Chief Financial Officer
Mark D. Goldstein
Chief Compliance Officer
Suzan J. Afifi
Secretary & Vice President
Philip Santopadre
Treasurer
Michael Luzzatto
Vice President
Meng Lam
Assistant Treasurer
Investment Adviser
First Eagle Investment Management, LLC
1345 Avenue of the Americas
New York, NY 10105
Legal Counsel
Shearman & Sterling LLP
599 Lexington Avenue
New York, NY 10022
Custodian
State Street Bank and Trust Company
801 Pennsylvania Avenue
Kansas City, MO 64105
Shareholder Servicing Agent
DST Systems, Inc.
330 West 9th Street
Kansas City, MO 64105
800.334.2143
Underwriter
FEF Distributors, LLC
1345 Avenue of the Americas
New York, NY 10105
Independent Registered
Public Accounting Firm
PricewaterhouseCoopers LLP
300 Madison Avenue
New York, NY 10017
This report is not authorized for distribution to prospective investors unless preceded or accompanied by a currently effective prospectus of First Eagle Funds.
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1345 Avenue of the Americas | New York, NY | 10105
800.334.2143 | www.feim.com
Item 2. Code of Ethics.
The Registrant has adopted a code of ethics that applies to its principal executive officer and principal financial officer. Copies of the code of ethics may be requested free of charge by calling 1-800-334-2143 (toll free).
Item 3. Audit Committee Financial Expert.
Not applicable to this semi-annual report.
Item 4. Principal Accountant Fees and Services
Not applicable to this semi-annual report.
Item 5. Audit Committee of Listed Registrants
Not applicable at this time.
Item 6. Schedule of Investments.
Please see schedule of investments contained in the Report to Stockholders included under Item 1 of this Form N-CSR.
Item 7. Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies.
Not applicable at this time.
Item 8. Portfolio Managers of Closed-End Management Investment Companies.
Not applicable at this time.
Item 9. Purchases of Equity Securities by Close-End Management Investment Company and Affiliated Purchasers.
Not applicable at this time.
Item 10. Submission of Matters to a Vote of Security Holders.
Not applicable at this time.
Item 11. Controls and Procedures.
(a) In the opinion of the principal executive officer and principal financial officer, based on their evaluation, the registrant’s disclosure controls and procedures are adequately designed and are operating effectively to ensure (i) that material information relating to the registrant, including its consolidated subsidiaries, is made known to them by others within those entities, particularly during the period in which this report is being prepared; and (ii) that
information required to be disclosed by the registrant on Form N-CSR is recorded, processed, summarized and reported within the time periods specified in the Securities and Exchange Commission’s rules and forms.
(b) There were no changes in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal half-year (the registrant’s second fiscal half-year in the case of an annual 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) Not applicable to this semi-annual report.
(a)(2) Certifications pursuant to Rule 30a-2(a) under the Investment Company Act of 1940 (17 CFR 270.30a-2(a)): Attached hereto.
(a)(3) Not applicable.
(b) Certification pursuant to Rule 30a-2(b) under the Investment Company Act of 1940 (17 CFR 270.30a-2(b)): Attached hereto.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
(Registrant) | First Eagle Funds |
| |
By (Signature and Title)* | /s/ John P. Arnhold |
| |
| John P. Arnhold, President |
Date: July 8, 2014
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.
| |
By (Signature and Title)* | /s/ John P. Arnhold |
| |
| John P. Arnhold, Principal Executive Officer |
Date: July 8, 2014
| |
By (Signature and Title)* | /s/ Joseph T. Malone |
| |
| Joseph T. Malone, Principal Financial Officer |
Date: July 8, 2014
* Print the name and title of each signing officer under his or her signature.