Templeton Dragon Fund (TDF) NPORT-P Templeton Dragon Fund, Inc. (Sep 2023 report)

Not

FDIC

Insured

May

Lose

Value

No

Bank

Guarantee

TLTDF-Q3PH

1

Consolidated

Schedule

of

Investments

(unaudited)

Templeton

Dragon

Fund,

Inc.

2

Notes

to

Consolidated

Schedule

of

Investments

5

Templeton

Dragon

Fund,

Inc.

Consolidated

Schedule

of

Investments

(unaudited),

September

30,

2023

Quarterly

Consolidated

Schedule

of

Investments

See

Notes

to

Consolidated

Schedule

of

Investments.

2

l

a

a

Country

Shares

a

Value

a

a

a

a

a

a

Common

Stocks

96.4%

Air

Freight

&

Logistics

1.7%

a

SF

Holding

Co.

Ltd.,

A

..................................

China

1,029,500

$

5,787,132

Automobile

Components

1.3%

a

Fuyao

Glass

Industry

Group

Co.

Ltd.,

A

.....................

China

886,922

4,497,243

Automobiles

2.0%

a

BYD

Co.

Ltd.,

A

.......................................

China

86,000

2,813,378

BYD

Co.

Ltd.,

H

......................................

China

127,000

3,913,024

6,726,402

Banks

5.1%

a

China

Merchants

Bank

Co.

Ltd.,

A

.........................

China

1,163,800

5,296,006

China

Merchants

Bank

Co.

Ltd.,

H

.........................

China

1,604,448

6,661,249

b

Postal

Savings

Bank

of

China

Co.

Ltd.,

H,

144A,

Reg

S

.........

China

11,001,649

5,540,029

17,497,284

Beverages

8.2%

China

Resources

Beer

Holdings

Co.

Ltd.

....................

China

738,706

4,035,266

a

Kweichow

Moutai

Co.

Ltd.,

A

.............................

China

65,445

16,236,852

a

Wuliangye

Yibin

Co.

Ltd.,

A

..............................

China

371,588

8,010,072

28,282,190

Broadline

Retail

8.6%

c

Alibaba

Group

Holding

Ltd.

..............................

China

2,113,738

22,918,273

JD.com,

Inc.,

A

.......................................

China

452,312

6,580,822

29,499,095

Capital

Markets

2.7%

a

East

Money

Information

Co.

Ltd.,

A

........................

China

2,874,426

6,032,791

Hong

Kong

Exchanges

&

Clearing

Ltd.

.....................

Hong

Kong

90,257

3,349,794

9,382,585

Chemicals

1.2%

a

Guangzhou

Tinci

Materials

Technology

Co.

Ltd.,

A

.............

China

1,123,280

4,170,669

Electrical

Equipment

8.4%

a

Contemporary

Amperex

Technology

Co.

Ltd.,

A

...............

China

321,364

8,979,698

a

GoodWe

Technologies

Co.

Ltd.,

A

.........................

China

203,661

3,705,528

a

Hongfa

Technology

Co.

Ltd.,

A

............................

China

1,535,209

7,077,655

a

NARI

Technology

Co.

Ltd.,

A

.............................

China

2,980,215

9,070,808

28,833,689

Entertainment

3.4%

NetEase,

Inc.

........................................

China

582,379

11,677,801

Food

Products

2.3%

b

China

Feihe

Ltd.,

144A,

Reg

S

...........................

China

4,300,000

2,526,710

a

Inner

Mongolia

Yili

Industrial

Group

Co.

Ltd.,

A

...............

China

1,446,200

5,277,485

7,804,195

Health

Care

Equipment

&

Supplies

2.0%

a

Shenzhen

Mindray

Bio-Medical

Electronics

Co.

Ltd.,

A

..........

China

181,501

6,746,598

Health

Care

Providers

&

Services

2.1%

a

Aier

Eye

Hospital

Group

Co.

Ltd.,

A

........................

China

2,188,722

5,420,360

b,c,d

New

Horizon

Health

Ltd.,

144A,

Reg

S

.....................

China

694,000

1,657,447

7,077,807

Templeton

Dragon

Fund,

Inc.

Consolidated

Schedule

of

Investments

(unaudited)

See

Notes

to

Consolidated

Schedule

of

Investments.

Quarterly

Consolidated

Schedule

of

Investments

3

a

a

Country

Shares

a

Value

a

a

a

a

a

a

Common

Stocks

(continued)

Hotels,

Restaurants

&

Leisure

5.1%

b,c

Meituan

Dianping,

B,

144A,

Reg

S

........................

China

759,943

$

11,001,432

Yum

China

Holdings,

Inc.

...............................

China

117,578

6,551,446

17,552,878

Household

Durables

2.7%

a

Haier

Smart

Home

Co.

Ltd.,

A

............................

China

1,278,400

4,156,600

a

Midea

Group

Co.

Ltd.,

A

................................

China

663,316

5,061,842

9,218,442

Independent

Power

and

Renewable

Electricity

Producers

1.6%

a

China

Yangtze

Power

Co.

Ltd.,

A

..........................

China

1,865,020

5,692,783

Insurance

4.2%

a

Ping

An

Insurance

Group

Co.

of

China

Ltd.,

A

................

China

494,400

3,296,823

Ping

An

Insurance

Group

Co.

of

China

Ltd.,

H

................

China

1,987,427

11,272,345

14,569,168

Interactive

Media

&

Services

13.3%

c

Baidu,

Inc.,

ADR

......................................

China

30,181

4,054,817

c

Baidu,

Inc.,

A

.........................................

China

559,500

9,417,061

Tencent

Holdings

Ltd.

..................................

China

828,026

32,098,591

45,570,469

Life

Sciences

Tools

&

Services

3.0%

b,d

WuXi

AppTec

Co.

Ltd.,

H,

144A,

Reg

S

.....................

China

274,008

3,267,686

b,c

Wuxi

Biologics

Cayman,

Inc.,

144A,

Reg

S

..................

China

1,195,850

6,950,332

10,218,018

Machinery

3.5%

a

Shenzhen

Inovance

Technology

Co.

Ltd.,

A

..................

China

892,300

8,156,861

Weichai

Power

Co.

Ltd.,

H

..............................

China

2,826,261

3,830,854

11,987,715

Media

4.2%

a

Focus

Media

Information

Technology

Co.

Ltd.,

A

..............

China

13,519,216

13,264,972

b,c

Mobvista,

Inc.,

144A,

Reg

S

.............................

China

3,098,200

1,246,291

14,511,263

Pharmaceuticals

2.6%

a

Jiangsu

Hengrui

Pharmaceuticals

Co.

Ltd.,

A

.................

China

1,445,227

8,938,035

a,c,e,f

Kangmei

Pharmaceutical

Co.

Ltd.

.........................

China

673,786

114,541

9,052,576

Real

Estate

Management

&

Development

1.3%

China

Resources

Land

Ltd.

..............................

China

1,111,375

4,413,566

Semiconductors

&

Semiconductor

Equipment

1.0%

a

Sino

Wealth

Electronic

Ltd.,

A

............................

China

967,220

3,335,209

Software

1.3%

a

Hundsun

Technologies,

Inc.,

A

............................

China

976,621

4,362,882

Textiles,

Apparel

&

Luxury

Goods

3.6%

ANTA

Sports

Products

Ltd.

..............................

China

1,110,075

12,421,407

Total

Common

Stocks

(Cost

$313,853,120)

.....................................

330,889,066

Templeton

Dragon

Fund,

Inc.

Consolidated

Schedule

of

Investments

(unaudited)

Quarterly

Consolidated

Schedule

of

Investments

See

Notes

to

Consolidated

Schedule

of

Investments.

4

Short

Term

Investments

2.3%

a

a

Country

Shares

a

Value

a

a

a

Money

Market

Funds

1.8%

g,h

Institutional

Fiduciary

Trust

-

Money

Market

Portfolio,

5.019%

....

United

States

6,266,148

$

6,266,148

Total

Money

Market

Funds

(Cost

$6,266,148)

...................................

6,266,148

a

a

a

Investments

from

Cash

Collateral

Received

for

Loaned

Securities

0.5%

Money

Market

Funds

0.5%

g,h

Institutional

Fiduciary

Trust

-

Money

Market

Portfolio,

5.019%

....

United

States

1,670,508

1,670,508

Total

Investments

from

Cash

Collateral

Received

for

Loaned

Securities

(Cost

$1,670,508)

............................................................

1,670,508

Total

Short

Term

Investments

(Cost

$7,936,656

)

.................................

7,936,656

a

Total

Investments

(Cost

$321,789,776)

98.7%

...................................

$338,825,722

Other

Assets,

less

Liabilities

1.3%

.............................................

4,357,343

Net

Assets

100.0%

...........................................................

$343,183,065

See

Abbreviations

on

page

8

.

a

The

security

is

owned

by

Templeton

China

Opportunities

Fund,

Ltd.,

a

wholly-owned

subsidiary

of

the

Fund.

See

Note

5.

b

Security

was

purchased

pursuant

to

Rule

144A

or

Regulation

S

under

the

Securities

Act

of

1933.

144A

securities

may

be

sold

in

transactions

exempt

from

registration

only

to

qualified

institutional

buyers

or

in

a

public

offering

registered

under

the

Securities

Act

of

1933.

Regulation

S

securities

cannot

be

sold

in

the

United

States

without

either

an

effective

registration

statement

filed

pursuant

to

the

Securities

Act

of

1933,

or

pursuant

to

an

exemption

from

registration.

At

September

30,

2023,

the

aggregate

value

of

these

securities

was

$32,189,927,

representing

9.4%

of

net

assets.

c

Non-income

producing.

d

A

portion

or

all

of

the

security

is

on

loan

at

September

30,

2023.

e

Fair

valued

using

significant

unobservable

inputs.

See

Note

6

regarding

fair

value

measurements.

f

See

Note

3

regarding

restricted

securities.

g

See

Note

4

regarding

investments

in

affiliated

management

investment

companies.

h

The

rate

shown

is

the

annualized

seven-day

effective

yield

at

period

end.

Templeton

Dragon

Fund,

Inc.

5

Quarterly

Consolidated

Schedule

of

Investments

Notes

to

Consolidated

Schedule

of

Investments

(unaudited)

1.

Organization

Templeton

Dragon

Fund,

Inc. (Fund)

is

registered

under

the

Investment

Company

Act

of

1940

(1940

Act)

as

a

closed-end

management

investment

company.

The

Fund

follows

the

accounting

and

reporting

guidance

in

Financial

Accounting

Standards

Board

(FASB)

Accounting

Standards

Codification

Topic

946,

Financial

Services

–

Investment

Companies

(ASC

946)

and

applies

the

specialized

accounting

and

reporting

guidance

in

U.S.

Generally

Accepted

Accounting

Principles

(U.S.

GAAP),

including,

but

not

limited

to,

ASC

946. 

2. Financial

Instrument

Valuation

The

Fund's investments

in

financial

instruments

are

carried

at

fair

value

daily.

Fair

value

is

the

price

that

would

be

received

to

sell

an

asset

or

paid

to

transfer

a

liability

in

an

orderly

transaction

between

market

participants

on

the

measurement

date.

The

Fund

calculates the

net

asset

value

(NAV)

per

share

each

business

day

as

of

4

p.m.

Eastern

time

or

the

regularly

scheduled

close

of

the

New

York

Stock

Exchange

(NYSE),

whichever

is

earlier.

Under

compliance

policies

and

procedures

approved

by

the

Fund’s

Board

of

Directors

(the

Board),

the

Board

has

designated

the

Fund’s

investment

manager

as

the

valuation

designee

and

has

responsibility

for

oversight

of

valuation.

The

investment

manager

is

assisted

by

the

Fund’s

administrator

in

performing

this

responsibility,

including

leading

the

cross-functional

Valuation

Committee

(VC).

The

Fund

may

utilize

independent

pricing

services,

quotations

from

securities

and

financial

instrument

dealers,

and

other

market

sources

to

determine

fair

value. 

Equity

securities

listed

on

an

exchange

or

on

the

NASDAQ

National

Market

System

are

valued

at

the

last

quoted

sale

price

or

the

official

closing

price

of

the

day,

respectively.

Foreign

equity

securities

are

valued

as

of

the

close

of

trading

on

the

foreign

stock

exchange

on

which

the

security

is

primarily

traded

or

as

of

4

p.m.

Eastern

time.

The

value

is

then

converted

into

its

U.S.

dollar

equivalent

at

the

foreign

exchange

rate

in

effect

at

4

p.m. Eastern

time

on

the

day

that

the

value

of

the

security

is

determined.

Over-the-counter

(OTC)

securities

are

valued

within

the

range

of

the

most

recent

quoted

bid

and

ask

prices.

Securities

that

trade

in

multiple

markets

or

on

multiple

exchanges

are

valued

according

to

the

broadest

and

most

representative

market.

Certain

equity

securities

are

valued

based

upon

fundamental

characteristics

or

relationships

to

similar

securities. 

Debt

securities

generally

trade

in

the

OTC

market

rather

than

on

a

securities

exchange.

The Fund's

pricing

services

use

multiple

valuation

techniques

to

determine

fair

value.

In

instances

where

sufficient

market

activity

exists,

the

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

pricing

services

also

utilize

proprietary

valuation

models

which

may

consider

market

characteristics

such

as

benchmark

yield

curves,

credit

spreads,

estimated

default

rates,

anticipated

market

interest

rate

volatility,

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

value.

Securities

denominated

in

a

foreign

currency

are

converted

into

their

U.S.

dollar

equivalent

at

the

foreign

exchange

rate

in

effect

at

4

p.m.

Eastern

time

on

the

date

that

the

values

of

the

foreign

debt

securities

are

determined.

Investments

in

open-end

mutual

funds

are

valued

at

the

closing

NAV.

The

Fund

has procedures

to

determine

the

fair

value

of

financial

instruments

for

which

market

prices

are

not

reliable

or

readily

available.

Under

these

procedures,

the

Fund

primarily employs

a

market-based

approach

which

may

use

related

or

comparable

assets

or

liabilities,

recent

transactions,

market

multiples,

and

other

relevant

information

for

the

investment

to

determine

the

fair

value

of

the

investment.

An

income-based

valuation

approach

may

also

be

used

in

which

the

anticipated

future

cash

flows

of

the

investment

are

discounted

to

calculate

fair

value.

Discounts

may

also

be

applied

due

to

the

nature

or

duration

of

any

restrictions

on

the

disposition

of

the

investments.

Due

to

the

inherent

uncertainty

of

valuations

of

such

investments,

the

fair

values

may

differ

significantly

from

the

values

that

would

have

been

used

had

an

active

market

existed. 

Templeton

Dragon

Fund,

Inc.

Notes

to

Consolidated

Schedule

of

Investments

(unaudited)

6

Quarterly

Consolidated

Schedule

of

Investments

Trading

in

securities

on

foreign

securities

stock

exchanges

and

OTC

markets

may

be

completed

before

4

p.m.

Eastern

time.

In

addition,

trading

in

certain

foreign

markets

may

not

take

place

on

every

Fund’s

business

day.

Events

can

occur

between

the

time

at

which

trading

in

a

foreign

security

is

completed

and

4

p.m.

Eastern

time

that

might

call

into

question

the

reliability

of

the

value

of

a

portfolio

security

held

by

the

Fund.

As

a

result,

differences

may

arise

between

the

value

of

the

Fund’s

portfolio securities

as

determined

at

the

foreign

market

close

and

the

latest

indications

of

value

at

4

p.m.

Eastern

time.

In

order

to

minimize

the

potential

for

these

differences,

an

independent

pricing

service

may

be

used

to

adjust

the

value

of

the

Fund’s

portfolio

securities

to

the

latest

indications

of

fair

value

at 4

p.m

Eastern

time.

At

September

30,

2023,

certain

securities

may

have

been

fair

valued

using

these

procedures,

in

which

case

the

securities

were

categorized

as

Level

2

within

the

fair

value

hierarchy

(referred

to

as

"market

level

fair

value").

See

the

Fair

Value

Measurements

note

for

more

information.

When

the

last

day

of

the

reporting

period

is

a

non-business

day,

certain

foreign

markets

may

be

open

on

those

days

that

the

Fund’s

NAV

is

not

calculated,

which

could

result

in

differences

between

the

value

of

the

Fund’s

portfolio

securities

on

the

last

business

day

and

the

last

calendar

day

of

the

reporting

period.

Any

security

valuation

changes

due

to

an

open

foreign

market

are

adjusted

and

reflected

by

the

Fund for

financial

reporting

purposes.

3.

Restricted

Securities

At

September

30,

2023,

investments

in

restricted

securities,

excluding

securities

exempt

from

registration

under

the

Securities

Act

of

1933,

were

as

follows:

4.

Investments

in

Affiliated

Management

Investment

Companies 

The

Fund

invests

in

one

or

more

affiliated

management

investment

companies.

As

defined

in

the

1940

Act,

an

investment

is

deemed

to

be

a

“Controlled

Affiliate”

of

a

fund

when

a

fund

owns,

either

directly

or

indirectly,

25%

or

more

of

the

affiliated

fund’s

outstanding

shares

or

has

the

power

to

exercise

control

over

management

or

policies

of

such

fund.

The

Fund

does

not

invest for

purposes

of

exercising

a

controlling

influence

over

the

management

or

policies.

During

the

period

ended

September

30,

2023,

the

Fund

held

investments

in

affiliated

management

investment

companies

as

follows: 

Shares

Issuer

Acquisition

Date

Cost

Value

Templeton

Dragon

Fund,

Inc

.

673,786

Kangmei

Pharmaceutical

Co

.

Ltd

.

................

4/06/22

$

—

$

1

14

,

541

Total

Restricted

Securities

(Value

is

0.0%

†

of

Net

Assets)

.............

$—

$114,541

†

Rounds

to

less

than

0.1%

of

net

assets.

    aa

Value

at

Beginning

of

Period

Purchases

Sales

Realized

Gain

(Loss)

Net

Change

in

Unrealized

Appreciation

(Depreciation)

Value

at

End

of

Period

Number

of

Shares

Held

at

End

of

Period

Investment

Income

a      

a  

a  

a  

a  

a  

a  

a  

Templeton

Dragon

Fund,

Inc.

Non-Controlled

Affiliates

Dividends

Institutional

Fiduciary

Trust

-

Money

Market

Portfolio,

5.019%

$3,959,472

$28,051,179

$(25,744,503)

$—

$—

$6,266,148

6,266,148

$99,264

2. Financial

Instrument

Valuation

(continued)

Templeton

Dragon

Fund,

Inc.

Notes

to

Consolidated

Schedule

of

Investments

(unaudited)

7

Quarterly

Consolidated

Schedule

of

Investments

5.

Investments

in

Templeton

China

Opportunities

Fund,

Ltd.

(China

Fund)  

The

Fund

invests

in

certain

China

A-shares

through

its

investment

in

the

China

Fund.

The

China

Fund

is

a

Cayman

Islands

exempted

company,

and

is

a

wholly-owned

subsidiary

of

the

Fund,

and

is

able

to

invest

directly

in

China

A-shares

consistent

with

the

investment

objective

of

the

Fund.

At September

30,

2023,

the

China

Fund’s

investments

as

well

as

any

other

assets

and

liabilities

of

the

China

Fund

are

reflected

in

the

Fund’s

Consolidated Schedule

of

Investments.

At

September

30,

2023, the

net

assets

of

the

China

Fund

were

$161,650,705,

representing

47.1%

of

the

Fund’s

consolidated

net

assets.

The

China

Fund

gains

access

to

the

A-shares

market

through

Templeton

Investment

Counsel,

LLC

(TIC),

which

serves

as

the

registered

Qualified

Foreign

Institutional

Investor

(QFII)

for

the

China

Fund.

Investment

decisions

related

to

the

China

Fund

A-shares

are

specific

to

the

Fund

and

it

bears

the

resultant

economic

and

tax

consequences

of

its

holdings

and

transactions

in

A-shares.

The

China

Fund

is

subject

to

certain

restrictions

and

administrative

processes

relating

to

its

ability

to

repatriate

cash

balances,

investment

proceeds,

and

earnings

associated

with

its

A-shares

and

may

incur

substantial

delays

in

gaining

access

to

its

assets

or

a

loss

of

value

in

the

event

of

noncompliance

with

applicable

Chinese

rules

or

requirements. 

6. Fair

Value

Measurements 

The

Fund

follows

a

fair

value

hierarchy

that

distinguishes

between

market

data

obtained

from

independent

sources

(observable

inputs)

and

the

Fund's

own

market

assumptions

(unobservable

inputs).

These

inputs

are

used

in

determining

the

value

of

the

Fund's

financial

instruments

and

are

summarized

in

the

following

fair

value

hierarchy:

•

Level

1

–

quoted

prices

in

active

markets

for

identical

financial

instruments

•

Level 2

–

other

significant

observable

inputs

(including

quoted

prices

for

similar

financial

instruments,

interest

rates,

prepayment

speed,

credit

risk,

etc.)

•

Level 3

–

significant

unobservable

inputs

(including

the

Fund's own

assumptions

in

determining

the

fair

value

of

financial

instruments)

The

input

levels

are

not

necessarily

an

indication

of

the

risk

or

liquidity

associated

with

financial

instruments

at

that

level.

A

summary

of

inputs

used

as

of

September

30,

2023,

in

valuing

the

Fund's

assets

carried

at

fair

value,

is

as

follows:

    aa

Value

at

Beginning

of

Period

Purchases

Sales

Realized

Gain

(Loss)

Net

Change

in

Unrealized

Appreciation

(Depreciation)

Value

at

End

of

Period

Number

of

Shares

Held

at

End

of

Period

Investment

Income

a      

a  

a  

a  

a  

a  

a  

a  

Templeton

Dragon

Fund,

Inc.

(continued)

Non-Controlled

Affiliates

Income

from

securities

loaned

Institutional

Fiduciary

Trust

-

Money

Market

Portfolio,

5.019%

$1,706,584

$13,901,137

$(13,937,213)

$—

$—

$1,670,508

1,670,508

$30,047

Total

Affiliated

Securities

...

$5,666,056

$41,952,316

$(39,681,716)

$—

$—

$7,936,656

$129,311

4.

Investments

in

Affiliated

Management

Investment

Companies 

(continued)

Templeton

Dragon

Fund,

Inc.

Notes

to

Consolidated

Schedule

of

Investments

(unaudited)

8

Quarterly

Consolidated

Schedule

of

Investments

A

reconciliation

in

which

Level

3

inputs

are

used

in

determining

fair

value

is

presented

when

there

are

significant

Level

3

assets

and/or

liabilities

at

the

beginning

and/or

end

of

the

period.

Abbreviations

Level

1

Level

2

Level

3

Total

Templeton

Dragon

Fund,

Inc.

Assets:

Investments

in

Securities:

Common

Stocks

:

Air

Freight

&

Logistics

...................

$

—

$

5,787,132

$

—

$

5,787,132

Automobile

Components

.................

—

4,497,243

—

4,497,243

Automobiles

..........................

—

6,726,402

—

6,726,402

Banks

...............................

—

17,497,284

—

17,497,284

Beverages

...........................

—

28,282,190

—

28,282,190

Broadline

Retail

.......................

—

29,499,095

—

29,499,095

Capital

Markets

........................

—

9,382,585

—

9,382,585

Chemicals

...........................

—

4,170,669

—

4,170,669

Electrical

Equipment

....................

—

28,833,689

—

28,833,689

Entertainment

.........................

—

11,677,801

—

11,677,801

Food

Products

........................

—

7,804,195

—

7,804,195

Health

Care

Equipment

&

Supplies

.........

—

6,746,598

—

6,746,598

Health

Care

Providers

&

Services

..........

—

7,077,807

—

7,077,807

Hotels,

Restaurants

&

Leisure

.............

6,551,446

11,001,432

—

17,552,878

Household

Durables

....................

—

9,218,442

—

9,218,442

Independent

Power

and

Renewable

Electricity

Producers

..........................

—

5,692,783

—

5,692,783

Insurance

............................

—

14,569,168

—

14,569,168

Interactive

Media

&

Services

..............

4,054,817

41,515,652

—

45,570,469

Life

Sciences

Tools

&

Services

............

—

10,218,018

—

10,218,018

Machinery

............................

—

11,987,715

—

11,987,715

Media

...............................

1,246,291

13,264,972

—

14,511,263

Pharmaceuticals

.......................

—

8,938,035

114,541

9,052,576

Real

Estate

Management

&

Development

....

—

4,413,566

—

4,413,566

Semiconductors

&

Semiconductor

Equipment

.

—

3,335,209

—

3,335,209

Software

.............................

—

4,362,882

—

4,362,882

Textiles,

Apparel

&

Luxury

Goods

..........

—

12,421,407

—

12,421,407

Short

Term

Investments

...................

7,936,656

—

—

7,936,656

Total

Investments

in

Securities

...........

$19,789,210

$318,921,971

a

$114,541

$338,825,722

a

Includes

foreign

securities

valued

at

$318,921,971,

which

were

categorized

as

Level

2

as

a

result

of

the

application

of

market

level

fair

value

procedures.

See

the

Financial

Instrument

Valuation

note

for

more

information.

Selected

Portfolio

ADR

American

Depositary

Receipt

6. Fair

Value

Measurements 

(continued)

For

additional

information

on

the

Fund's

significant

accounting

policies,

please

refer

to

the Fund's

most

recent

semiannual

or

annual

shareholder

report.