UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM N-CSRS
CERTIFIED SHAREHOLDER REPORT OF REGISTERED MANAGEMENT INVESTMENT
COMPANIES
Investment Company Act file number 811-08327
Name of Fund: Merrill Lynch Global Growth Fund, Inc.
Fund Address: P.O. Box 9011
Princeton, NJ 08543-9011
Name and address of agent for service: Robert C. Doll, Jr., Chief
Executive Officer, Merrill Lynch Global Growth Fund, Inc.,
800 Scudders Mill Road, Plainsboro, NJ, 08536. Mailing
address: P.O. Box 9011, Princeton, NJ, 08543-9011
Registrant's telephone number, including area code: (609) 282-2800
Date of fiscal year end: 08/31/05
Date of reporting period: 09/01/04 - 02/28/05
Item 1 - Report to Stockholders
Merrill Lynch
Global Growth
Fund, Inc.
Semi-Annual Report
February 28, 2005
(BULL LOGO) Merrill Lynch Investment Managers
www.mlim.ml.com
Mercury Advisors
A Division of Merrill Lynch Investment Managers
www.mercury.ml.com
This report is not authorized for use as an offer of sale or
a solicitation of an offer to buy shares of the Fund unless
accompanied or preceded by the Fund's current prospectus. Past
performance results shown in this report should not be considered
a representation of future performance. Investment return and
principal value of shares will fluctuate so that shares, when
redeemed, may be worth more or less than their original cost.
Statements and other information herein are as dated and are
subject to change.
A description of the policies and procedures that the Fund uses
to determine how to vote proxies relating to portfolio securities
is available (1) without charge, upon request, by calling toll-free
1-800-MER-FUND (1-800-637-3863); (2) at www.mutualfunds.ml.com
and (3) on the Securities and Exchange Commission's Web site at
http://www.sec.gov. Information about how the Fund voted proxies
relating to securities held in the Fund's portfolio during the
most recent 12-month period ended June 30 is available (1) at
www.mutualfunds.ml.com and (2) on the Securities and Exchange
Commission's Web site at http://www.sec.gov.
Merrill Lynch Global Growth Fund, Inc.
Box 9011
Princeton, NJ
08543-9011
(GO PAPERLESS LOGO)
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Merrill Lynch Global Growth Fund, Inc.
Portfolio Information as of February 28, 2005
Country of Percent of
Ten Largest Equity Holdings Origin Net Assets
3M Co. United States 4.1%
General Electric Co. United States 3.4
The Dow Chemical Co. United States 2.5
Banco Popular Espanol SA Spain 2.4
Bank of America Corp. United States 2.1
HSBC Holdings Plc United Kingdom 2.0
Citigroup, Inc. United States 2.0
US Bancorp United States 1.9
Gilead Sciences, Inc. United States 1.9
MBNA Corp. United States 1.8
Percent of
Five Largest Industries* Net Assets
Commercial Banks 13.4%
Health Care Equipment & Supplies 8.3
Industrial Conglomerates 8.1
Chemicals 5.6
Energy Equipment & Services 4.6
* For Fund compliance purposes, "Industries" means any one or
more of the industry sub-classifications used by one or more
widely recognized market indexes or ratings group indexes,
and/or as defined by Fund management. This definition may
not apply for purposes of this report, which may combine such
industry sub-classifications for reporting ease.
Percent of
Geographic Allocation Total
by Country Investments
United States 56.2%
Australia 10.4
Hong Kong 5.9
United Kingdom 4.9
India 3.9
Spain 3.3
Switzerland 2.7
South Korea 2.7
France 2.2
Germany 2.2
Sweden 1.1
China 0.9
South Africa 0.8
Canada 0.7
Denmark 0.4
Singapore 0.2
Ireland 0.1
Other* 1.4
* Includes portfolio holdings in short-term investments.
MERRILL LYNCH GLOBAL GROWTH FUND, INC., FEBRUARY 28, 2005
A Letter From the President
Dear Shareholder
Financial markets broadly posted positive returns over the most
recent reporting period, with international equities providing some
of the most impressive results.
Total Returns as of February 28, 2005 6-month 12-month
U.S. equities (Standard & Poor's 500 Index) + 9.99% + 6.98%
International equities (MSCI Europe Australasia Far East Index) +21.18 +18.68
Fixed income (Lehman Brothers Aggregate Bond Index) + 1.26 + 2.43
Tax-exempt fixed income (Lehman Brothers Municipal Bond Index) + 2.40 + 2.96
High yield bonds (Credit Suisse First Boston High Yield Index) + 7.53 +11.21
The U.S. economy has continued to show resilience in the face of
the Federal Reserve Board's (the Fed) continued interest rate hikes
and, more recently, higher oil prices. The Fed's measured tightening
program recently brought the federal funds rate to 2.75% en route
to a more "neutral" short-term interest rate target (relative to
inflation). Since the U.S. presidential election, progress has been
monitored on many fronts in Washington, although concerns remain
about the structural problems of debt and deficits, as reflected by
a significant decline in the U.S. dollar.
U.S. equities ended 2004 in a strong rally, but remained in a fairly
narrow trading range for the first two months of 2005. Divergences
were notable among sectors, with energy emerging as a clear leader.
On the positive side, corporations have accelerated their hiring
plans, capital spending remains reasonably robust and merger-and-
acquisition activity has increased. Offsetting the positives are
slowing corporate earnings growth, renewed energy price concerns
and the potential for an economic slowdown. International equities,
particularly in Asia, have benefited from higher economic growth
rates (China recorded growth of 9.3% in 2004), stronger currencies
and relatively reasonable valuations.
The major action in the bond market has been a flattening of the
yield curve. As short-term interest rates continued to rise, yields
on the long end of the curve remained relatively stable - even
declining at certain points since the Fed's monetary tightening
program began in June 2004. This phenomenon has been largely
attributed to continued foreign interest in U.S. bonds, which has
served to absorb much of the excess supply. By period-end, many
believed long-term yields were long overdue for a rise.
Looking ahead, the environment is likely to be a challenging one
for investors, with diversification and selectivity becoming
increasingly important themes. With this in mind, we encourage you
to meet with your financial advisor to review your goals and asset
allocation and to rebalance your portfolio, as necessary, to ensure
it remains aligned with your objectives and risk tolerance. As
always, we thank you for trusting Merrill Lynch Investment Managers
with your investment assets, and we look forward to serving you in
the months and years ahead.
Sincerely,
(Robert C. Doll, Jr.)
Robert C. Doll, Jr.
President and Director
MERRILL LYNCH GLOBAL GROWTH FUND, INC., FEBRUARY 28, 2005
A Discussion With Your Fund's Portfolio Manager
The Fund significantly outperformed both its benchmark and its
Lipper category average, benefiting from favorable geographic and
sector weightings, as well as good stock selection.
How did the Fund perform during the period in light of the existing
market conditions?
For the six-month period ended February 28, 2005, Merrill Lynch
Global Growth Fund, Inc.'s Class A, Class B, Class C, Class I and
Class R Shares had total returns of +19.86%, +19.41%, +19.41%,
+20.08% and +19.66%, respectively. (Fund results shown do not
reflect sales charges and would be lower if sales charges were
included. Complete performance information can be found on pages
6 - 8 of this report to shareholders.) Fund results significantly
exceeded the +15.03% return of the Morgan Stanley Capital
International (MSCI) World Index and the +14.26% average return
of the Lipper Global Large Cap Growth Funds category for the same
period. (Funds in this Lipper category invest primarily in equity
securities both inside and outside the United States with relatively
large market capitalizations and a focus on above-average growth.)
The global equity, bond and commodity markets, as well as the major
currency relationships, were quite volatile during the six-month
period, marked by rapid changes and uncertainties. The best equity
market returns were realized outside the United States and Japan. We
underweighted these two equity markets during the six-month period,
a benefit to Fund performance. In addition, the Fund's holdings in
South Korea, Australia, Hong Kong and India provided returns well
above the benchmark.
Overweight positions in the consumer discretionary, materials,
industrials, energy and information technology sectors, as well
as the overweighting of specific stocks in these sectors, proved
most instrumental in the Fund's outperformance. Leading performance
in the consumer discretionary sector were Wynn Resorts Ltd., Hyundai
Motor Co. (South Korea), Esprit Holdings Ltd. (Hong Kong), Best
Buy Co., Inc., eBay, Inc., TechTronic Industries Co. Ltd. (India),
Station Casinos, Inc. and British Sky Broadcasting Group Plc
(U.K.). In the materials sector, the most positive contributors
to performance were WMC Resources Ltd. (Australia), Cameco Corp.
(Canada), Yanzhou Coal Mining Co., Ltd. (China) and Tata Iron &
Steel Co. Ltd. (India). In the industrials sector, the major
contributors to performance were ACS Actividades de Construccion y
Servicios, SA (Spain), Wesfarmers Ltd. (Australia), PACCAR Inc.,
COSCO Pacific Ltd. (Hong Kong), Daewoo Shipbuilding & Marine
Engineering Co., Ltd. (South Korea), Monster Worldwide Inc. and Toll
Holdings Ltd. (Australia). In the energy sector, Transocean, Inc.,
Suncor Energy Inc. (Canada), Sasol Ltd. (South Africa), S-Oil Corp.
(South Korea), Frontline Ltd., Diamond Offshore Drilling Inc.,
Petroleo Brasileiro SA (Brazil) and TransCanada Corp. (Canada)
contributed most to performance. In the information technology
sector, the major positive contributors were Adobe Systems Inc.,
Samsung Electronics Co. Ltd. (South Korea), Electronic Arts Inc.,
Motorola, Inc., Oracle Corp. (U.S.) and SINA Corp. (China). Also
benefiting Fund performance were underweight positions in the
financials, telecommunications and consumer staples sectors.
Negatively impacting relative performance during the period was the
stock price depreciation of several of the Fund's health care
holdings late in the period. This included Forest Laboratories,
Inc., which was sold out of the portfolio, in addition to Gilead
Sciences, Inc., Boston Scientific Corp. and St. Jude Medical, Inc.
What changes were made to the portfolio during the period?
Global economic growth appears to be slowing as we enter 2005, and
there may be lower average levels of commodity and energy prices as
the year evolves. Recessionary conditions, which were unanticipated,
are beginning to appear in Germany, the Netherlands and Italy, as
well as in Japan. In the early months of 2005, growth in consumer
spending on transportation, computers and consumer electronics in
the United States has been disappointing. Consequently, we reduced
the portfolio's exposure to companies in the consumer discretionary,
information technology, materials and energy sectors. We also made
adjustments to the portfolio in response to changes in the relative
valuations and business fundamentals of the companies we own.
MERRILL LYNCH GLOBAL GROWTH FUND, INC., FEBRUARY 28, 2005
In the consumer discretionary sector, we trimmed the portfolio's
weightings in Hyundai Motor and Porsche AG following their strong
performance. We eliminated Best Buy, eBay and British Sky
Broadcasting as the stocks appreciated and we became concerned
about the possible slowdown in global consumer spending. We reduced
exposure to the materials sector on stock price appreciation and
concerns about relatively high valuations and major corporations'
plans to increase the production of many basic materials around the
globe. We eliminated holdings in WMC Resources, Ltd., POSCO (South
Korea), BHP Billiton Ltd. (Australia), Phelps Dodge Corp., Freeport-
McMoRan Copper & Gold, Inc., Aluminum Corp. of China Ltd., Rio Tinto
Ltd. (U.K.) and JFE Holdings, Inc. (Japan). In the industrials
sector, we liquidated our positions at profits in Wesfarmers,
PACCAR, Monster Worldwide and Siemens. In the information technology
sector, we took capital gains and sold our positions in Adobe
Systems, Inc., Samsung Electronics Co. Ltd., Electronic Arts, Inc.,
Motorola, Inc. and Oracle Corp.
In the energy sector, we took profits on many of our holdings in
the exploration and development and integrated energy segments,
selling out of Suncor Energy, S-Oil Corp., Frontline, Diamond
Offshore Drilling, Petroleo Brasileiro, TransCanada Corp. and BP Plc
in the United Kingdom. We also took profits by selling Occidental
Petroleum Corp. and Encana Corp. We maintained positions in
companies that provide intellectual research and equipment and
supplies to the corporations and governments that are increasing
their spending on finding new oil reserves and that plan to invest
to bring the products to the consuming markets. Portfolio holdings
in this sector are Transocean Inc., Cooper Cameron Corp., Grant
Prideco, Inc., National Oilwell Varco, Inc., Schlumberger Ltd.
and Smith International, Inc. The increase in U.S. interest rates
over the past nine months, coupled with higher energy costs, are
more likely to slow economic growth and cause lower energy prices
and earnings for the integrated and exploration and development
companies that are not growing reserves and production at relatively
high rates. We have had a positive secular view toward the energy
sector during this decade. However, when global economies experience
a slowdown in real growth or a recession, as occurred in 2001 in the
United States, energy prices fall and the stocks of integrated
companies generally decline.
In the U.S. industrials and materials sectors, we increased exposure
to The Dow Chemical Co., E.I. DuPont de Nemours & Co., Air Products
& Chemicals, Inc., Praxair, Inc., Caterpillar, Inc., Deere & Co.,
Boeing Co. and Lockheed Martin Corp. We believe these companies will
see an acceleration in revenue and profit growth as the decline in
the U.S. dollar (relative to the euro and yen) helps to shift global
business toward these companies.
For the first time in several years, we increased exposure to the
financials sector, adding investments in Bank of America Corp.,
Washington Mutual, Inc., Citigroup, Inc., U.S. Bancorp, Doral
Financial Corp., Franklin Resources, Inc., MBNA Corp., HSBC Holdings
Plc (U.K.), Lloyds TSB Group Plc (U.K.) and National Australia Bank
Ltd. Although the U.S. Federal Reserve Board's continued increases
in short-term interest rates will put a crimp on lending margins,
we believe the recent acceleration of both commercial and consumer
loan demand in the United States will offset the impact of narrower
margins. Most of the financial companies added to the portfolio have
relatively high dividend yields, which may shelter the stock prices
as interest rates increase.
How would you characterize the Fund's position at the close of the
period?
The Fund is positioned for a slowdown in U.S. economic growth, which
is most likely to be led by a deceleration in consumer spending. The
Fund's overweight position in the U.S. industrial sector reflects
our expectation that chemical and industrial companies will benefit
by taking global market share as a result of the substantial decline
in the value of the U.S. dollar over the past two years. The Fund
has investments in companies in Australia, South Korea, Hong Kong,
India, South Africa and China. We believe these companies are poised
to benefit from a continuation of the relatively high rates of
capital investment and real personal income growth in these markets.
The new emerging growth markets of Asia, outside of Japan, have been
a focus of our research over the past two years. On average, the
investment returns from the stocks selected in these markets have
been well above the overall average investment returns of the Fund.
The portfolio has invested, on average, more than 20% of net assets
in companies in the non-Japan Asian markets. This has contributed to
the positive investment returns.
Lawrence R. Fuller
Vice President and Portfolio Manager
March 10, 2005
MERRILL LYNCH GLOBAL GROWTH FUND, INC., FEBRUARY 28, 2005
Performance Data
About Fund Performance
Investors are able to purchase shares of the Fund through multiple
pricing alternatives:
* Class A Shares incur a maximum initial sales charge (front-end
load) of 5.25% and an account maintenance fee of 0.25% per year (but
no distribution fee).
* Class B Shares are subject to a maximum contingent deferred sales
charge of 4% declining to 0% after six years. All Class B Shares
purchased prior to June 1, 2001 will maintain the four-year
schedule. In addition, Class B Shares are subject to a distribution
fee of 0.75% per year and an account maintenance fee of 0.25% per
year. These shares automatically convert to Class A Shares after
approximately eight years. (There is no initial sales charge for
automatic share conversions.) All returns for periods greater than
eight years reflect this conversion.
* Class C Shares are subject to a distribution fee of 0.75% per year
and an account maintenance fee of 0.25% per year. In addition, Class
C Shares are subject to a 1% contingent deferred sales charge if
redeemed within one year of purchase.
* Class I Shares incur a maximum initial sales charge (front-end
load) of 5.25% and bear no ongoing distribution or account
maintenance fees. Class I Shares are available only to eligible
investors.
* Class R Shares do not incur a maximum sales charge (front-end
load) or deferred sales charge. These shares are subject to a
distribution fee of 0.25% per year and an account maintenance fee of
0.25% per year. Class R Shares are available only to certain
retirement plans.
None of the past results shown should be considered a representation
of future performance. Current performance may be lower or higher
than the performance data quoted. Refer to www.mlim.ml.com to obtain
performance data current to the most recent month-end. Performance
results do not reflect the deduction of taxes that a shareholder
would pay on fund distributions or the redemption of fund shares.
The Fund may charge a 2% redemption fee for sales or exchanges of
shares within 30 days of purchase. Performance data does not reflect
this potential fee. Figures shown in each of the following tables
assume reinvestment of all dividends and capital gain distributions,
if any, at net asset value on the ex-dividend date. Investment
return and principal value of shares will fluctuate so that shares,
when redeemed, may be worth more or less than their original cost.
Dividends paid to each class of shares will vary because of the
different levels of account maintenance, distribution and transfer
agency fees applicable to each class, which are deducted from the
income available to be paid to shareholders.
MERRILL LYNCH GLOBAL GROWTH FUND, INC., FEBRUARY 28, 2005
Performance Data (continued)
Recent Performance Results
6-Month 12-Month Since Inception
As of February 28, 2005 Total Return Total Return Total Return
ML Global Growth Fund, Inc.--Class A Shares* +19.86% +13.68% +26.44%
ML Global Growth Fund, Inc.--Class B Shares* +19.41 +12.80 +19.44
ML Global Growth Fund, Inc.--Class C Shares* +19.41 +12.80 +19.37
ML Global Growth Fund, Inc.--Class I Shares* +20.08 +13.95 +28.74
ML Global Growth Fund, Inc.--Class R Shares* +19.66 +13.42 +53.90
MSCI World Index** +15.03 +11.99 +42.51/+49.87
* Investment results shown do not reflect sales charges; results shown would be lower if a sales
charge was included. Cumulative total investment returns are based on changes in net asset values
for the periods shown, and assume reinvestment of all dividends and capital gains distributions
at net asset value on the ex-dividend date. The Fund's inception dates are from 10/31/97 for
Class A, Class B, Class C and Class I Shares and from 1/03/03 for Class R Shares.
** This unmanaged market capitalization-weighted Index is comprised of a representative sampling of
large-, medium- and small-capitalization companies in 22 countries, including the United States.
Since inception total returns are from 10/31/97 and 1/03/03.
MERRILL LYNCH GLOBAL GROWTH FUND, INC., FEBRUARY 28, 2005
Performance Data (concluded)
Average Annual Total Return
Return Without Return With
Sales Charge Sales Charge**
Class A Shares*
One Year Ended 2/28/05 +13.68% + 7.71%
Five Years Ended 2/28/05 - 9.36 -10.33
Inception (10/31/97)
through 2/28/05 + 3.25 +2.50
* Maximum sales charge is 5.25%.
** Assuming maximum sales charge.
Return Return
Without CDSC With CDSC**
Class B Shares*
One Year Ended 2/28/05 +12.80% + 8.80%
Five Years Ended 2/28/05 -10.06 -10.38
Inception (10/31/97)
through 2/28/05 + 2.45 + 2.45
* Maximum contingent deferred sales charge is 4% and is reduced to
0% after six years.
** Assuming payment of applicable contingent deferred sales charge.
Return Return
Without CDSC With CDSC**
Class C Shares*
One Year Ended 2/28/05 +12.80% +11.80%
Five Years Ended 2/28/05 -10.07 -10.07
Inception (10/31/97)
through 2/28/05 + 2.45 + 2.45
* Maximum contingent deferred sales charge is 1% and is reduced to
0% after one year.
** Assuming payment of applicable contingent deferred sales charge.
Return Without Return With
Sales Charge Sales Charge**
Class I Shares*
One Year Ended 2/28/05 +13.95% + 7.97%
Five Years Ended 2/28/05 - 9.14 -10.11
Inception (10/31/97)
through 2/28/05 + 3.51 + 2.75
* Maximum sales charge is 5.25%.
** Assuming maximum sales charge.
Class R Shares Return
One Year Ended 2/28/05 +13.42%
Inception (1/03/03)
through 2/28/05 +22.16
MERRILL LYNCH GLOBAL GROWTH FUND, INC., FEBRUARY 28, 2005
Disclosure of Expenses
Shareholders of this Fund may incur the following charges:
(a) expenses related to transactions, including sales charges,
redemption fees and exchange fees; and (b) operating expenses
including advisory fees, distribution fees including 12(b)-1 fees,
and other Fund expenses. The following example (which is based on a
hypothetical investment of $1,000 invested on September 1, 2004 and
held through February 28, 2005) is intended to assist shareholders
both in calculating expenses based on an investment in the Fund and
in comparing these expenses with similar costs of investing in other
mutual funds.
The first table below provides information about actual account
values and actual expenses. In order to estimate the expenses a
shareholder paid during the period covered by this report,
shareholders can divide their account value by $1,000 and then
multiply the result by the number in the first line under the
heading entitled "Expenses Paid During the Period."
The second table below provides information about hypothetical
account values and hypothetical expenses based on the Fund's actual
expense ratio and an assumed rate of return of 5% per year before
expenses. In order to assist shareholders in comparing the ongoing
expenses of investing in this Fund and other funds, compare the 5%
hypothetical example with the 5% hypothetical examples that appear
in other funds' shareholder reports.
The expenses shown in the table are intended to highlight
shareholders ongoing costs only and do not reflect any transactional
expenses, such as sales charges, redemption fees or exchange fees.
Therefore, the second table is useful in comparing ongoing expenses
only, and will not help shareholders determine the relative total
expenses of owning different funds. If these transactional expenses
were included, shareholder expenses would have been higher.
Expenses Paid
Beginning Ending During the Period*
Account Value Account Value September 1, 2004
September 1, February 28, to February 28,
2004 2005 2005
Actual
Class A $1,000 $1,198.60 $ 7.41
Class B $1,000 $1,194.10 $11.64
Class C $1,000 $1,194.10 $11.75
Class I $1,000 $1,200.80 $ 6.06
Class R $1,000 $1,196.60 $ 8.82
Hypothetical (5% annual return before expenses)**
Class A $1,000 $1,018.05 $ 6.80
Class B $1,000 $1,014.18 $10.69
Class C $1,000 $1,014.08 $10.79
Class I $1,000 $1,019.29 $ 5.56
Class R $1,000 $1,016.76 $ 8.10
* For each class of the Fund, expenses are equal to the annualized expense ratio for the class
(1.36% for Class A, 2.14% for Class B, 2.16% for Class C, 1.11% for Class I and 1.62% for Class R),
multiplied by the average account value over the period, multiplied by 181/365 (to reflect the
one-half year period shown).
** Hypothetical 5% annual return before expenses is calculated by pro-rating the number of days in the
most recent fiscal half-year divided by 365.
MERRILL LYNCH GLOBAL GROWTH FUND, INC., FEBRUARY 28, 2005
Schedule of Investments (in U.S. dollars)
AFRICA Industry* Shares Held Common Stocks Value
South Africa--0.9% Food Products--0.3% 84,000 Tiger Brands Ltd. $ 1,475,604
Industrial 82,000 Barloworld Ltd. 1,499,901
Conglomerates--0.3%
Specialty Retail--0.3% 29,000 Edgars Consolidated Stores Ltd. 1,486,268
Total Common Stocks in Africa 4,461,773
EUROPE
Denmark--0.4% Electrical 150,000 Vestas Wind Systems A/S (a)(e) 2,006,188
Equipment--0.4%
Total Common Stocks in Denmark 2,006,188
France--2.2% Pharmaceuticals--1.1% 75,000 Sanofi-Aventis 6,012,894
Textiles, Apparel & 75,700 LVMH Moet Hennessy Louis Vuitton SA 5,621,877
Luxury Goods--1.1%
Total Common Stocks in France 11,634,771
Germany--0.5% Textiles, Apparel & 12,000 Puma AG Rudolf Dassler Sport 2,835,060
Luxury Goods--0.5%
Total Common Stocks in Germany 2,835,060
Ireland--0.1% Pharmaceuticals--0.1% 90,000 Elan Corp. Plc (a)(d) 720,000
Total Common Stocks in Ireland 720,000
Spain--3.4% Commercial Banks--2.4% 180,500 Banco Popular Espanol SA 12,530,380
Construction & 206,312 ACS Actividades de Construccion y Servicios, SA 5,274,316
Engineering--1.0%
Total Common Stocks in Spain 17,804,696
Sweden--1.2% Communications 959,700 Telefonaktiebolaget LM Ericsson (e) 2,840,972
Equipment--0.6%
Machinery--0.6% 65,200 SKF AB Class B 3,248,677
Total Common Stocks in Sweden 6,089,649
Switzerland--2.7% Health Care Equipment 86,700 Alcon, Inc. 7,486,545
& Supplies--2.2% 32,600 Synthes, Inc. (a) 3,955,354
-------------
11,441,899
Textiles, Apparel & 95,800 Swatch Group AG Registered Shares 2,680,415
Luxury Goods--0.5%
Total Common Stocks in Switzerland 14,122,314
United Kingdom-- Commercial 639,900 HSBC Holdings Plc 10,695,971
4.9% Banks--3.0% 563,200 Lloyds TSB Group Plc 5,311,601
-------------
16,007,572
Household 166,300 Reckitt Benckiser Plc 5,251,997
Products--1.0%
Trading Companies & 225,000 Wolseley Plc 4,805,100
Distributors--0.9%
Total Common Stocks in the United Kingdom 26,064,669
Total Common Stocks in Europe--15.4% 81,277,347
MERRILL LYNCH GLOBAL GROWTH FUND, INC., FEBRUARY 28, 2005
Schedule of Investments (continued) (in U.S. dollars)
NORTH
AMERICA Industry* Shares Held Common Stocks Value
Canada--0.7% Metals & Mining--0.7% 81,000 Cameco Corp. $ 3,700,089
Total Common Stocks in Canada 3,700,089
United States-- Aerospace & 115,300 Boeing Co. 6,338,041
56.8% Defense--2.4% 106,000 Lockheed Martin Corp. 6,277,320
-------------
12,615,361
Biotechnology--2.9% 180,700 Celgene Corp. (a) 4,946,662
294,800 Gilead Sciences, Inc. (a) 10,185,340
-------------
15,132,002
Capital Markets--1.1% 82,000 Franklin Resources, Inc. 5,755,580
Chemicals--5.2% 60,600 Air Products & Chemicals, Inc. 3,794,772
241,500 The Dow Chemical Co. 13,318,725
85,000 E.I. Du Pont de Nemours & Co. 4,530,500
87,500 Praxair, Inc. 3,922,625
28,000 Sigma-Aldrich Corp. 1,725,080
-------------
27,291,702
Commercial 235,700 Bank of America Corp. 10,995,405
Banks--4.0% 343,900 U.S. Bancorp 10,231,025
-------------
21,226,430
Consumer 377,300 MBNA Corp. 9,572,101
Finance--1.8%
Diversified Financial 217,800 Citigroup, Inc. 10,393,416
Services--2.0%
Energy Equipment & 25,000 Cooper Cameron Corp. (a) 1,442,250
Services--4.6% 75,000 Grant Prideco, Inc. (a) 1,812,000
60,700 National Oilwell Varco, Inc. (a) 2,752,138
112,200 Schlumberger Ltd. 8,465,490
24,500 Smith International, Inc. 1,574,370
174,600 Transocean, Inc. (a) 8,464,608
-------------
24,510,856
Food Products--1.4% 60,000 McCormick & Co., Inc. 2,279,400
75,000 Wm. Wrigley Jr. Co. 4,992,000
-------------
7,271,400
Health Care Equipment 168,500 Boston Scientific Corp. (a) 5,503,210
& Supplies--5.8% 22,100 Intuitive Surgical, Inc. (a) 1,042,015
143,200 Medtronic, Inc. 7,463,584
135,300 St. Jude Medical, Inc. (a) 5,290,230
143,600 Varian Medical Systems, Inc. (a) 5,159,548
69,200 Zimmer Holdings, Inc. (a) 5,944,280
-------------
30,402,867
Health Care Providers 139,600 Caremark Rx, Inc. (a) 5,343,888
& Services--2.6% 30,000 UnitedHealth Group, Inc. 2,734,800
45,000 WellPoint, Inc. (a) 5,492,700
-------------
13,571,388
Hotels, Restaurants 110,200 Carnival Corp. 5,992,676
& Leisure--3.3% 74,500 Station Casinos, Inc. 4,540,030
93,100 Wynn Resorts Ltd. (a)(e) 6,663,167
-------------
17,195,873
Household 25,000 KB HOME 3,120,000
Durables--0.6%
Household 123,000 Procter & Gamble Co. 6,530,070
Products--1.2%
Industrial 258,900 3M Co. 21,732,066
Conglomerates--7.5% 511,000 General Electric Co. 17,987,200
-------------
39,719,266
MERRILL LYNCH GLOBAL GROWTH FUND, INC., FEBRUARY 28, 2005
Schedule of Investments (continued) (in U.S. dollars)
NORTH AMERICA
(concluded) Industry* Shares Held Common Stocks Value
United States Internet Software & 147,000 Yahoo!, Inc. (a) $ 4,743,690
(concluded) Services--0.9%
Machinery--2.1% 57,000 Caterpillar, Inc. 5,417,850
76,100 Deere & Co. 5,411,471
-------------
10,829,321
Media--1.0% 149,935 News Corp. Class B 2,580,381
100,000 Walt Disney Co. 2,794,000
-------------
5,374,381
Oil & Gas--1.3% 275,000 Sasol Ltd. (d) 6,987,750
Personal 140,600 Avon Products, Inc. 6,013,462
Products--1.1%
Semiconductors & 165,000 Intel Corp. 3,956,700
Semiconductor
Equipment--0.7%
Software--1.3% 265,000 Microsoft Corp. 6,672,700
Thrifts & Mortgage 108,000 Doral Financial Corp. 4,283,280
Finance--1.8% 129,500 Washington Mutual, Inc. 5,433,820
-------------
9,717,100
Trading Companies & 39,400 MSC Industrial Direct Co. Class A 1,274,590
Distributors--0.2%
Total Common Stocks in the United States 299,878,006
Total Common Stocks in North America--57.5% 303,578,095
PACIFIC BASIN
Australia--10.5% Beverages--1.5% 833,000 Coca-Cola Amatil Ltd. 5,409,245
634,800 Foster's Group Ltd. 2,625,506
-------------
8,034,751
Biotechnology--1.1% 216,800 CSL Ltd. 5,516,018
Capital Markets--1.6% 150,000 Macquarie Bank Ltd. 5,858,612
53,200 Perpetual Trustees Australia Ltd. 2,631,104
-------------
8,489,716
Commercial 239,400 Australia & New Zealand Banking Group Ltd. 4,061,319
Banks--2.9% 209,100 Commonwealth Bank of Australia 6,013,963
225,400 National Australia Bank Ltd. 5,153,292
-------------
15,228,574
Diversified Financial 63,000 Australian Stock Exchange Ltd. 1,035,760
Services--0.2%
Health Care Equipment 72,300 Cochlear Ltd. 1,670,205
& Supplies--0.3%
Insurance--1.0% 451,000 QBE Insurance Group Ltd. 5,481,383
Media--1.1% 467,000 Publishing & Broadcasting Ltd. 5,742,575
Road & Rail--0.8% 419,000 Toll Holdings Ltd. 4,320,774
Total Common Stocks in Australia 55,519,756
China--1.0% Electrical 170,000 BYD Company Limited 'H' 520,954
Equipment--0.1%
Metals & 2,872,000 Yanzhou Coal Mining Co., Ltd. 4,529,417
Mining--0.9%
Total Common Stocks in China 5,050,371
MERRILL LYNCH GLOBAL GROWTH FUND, INC., FEBRUARY 28, 2005
Schedule of Investments (continued) (in U.S. dollars)
PACIFIC BASIN
(concluded) Industry* Shares Held Common Stocks Value
Hong Kong--5.9% Airlines--1.5% 4,307,000 Cathay Pacific Airways Ltd. $ 7,897,027
Construction & 1,675,000 Cheung Kong Infrastructure Holdings Ltd. 5,079,239
Engineering--0.9%
Distributors--0.3% 1,099,000 China Resources Enterprise Ltd. 1,564,132
Marine--0.7% 1,157,000 NWS Holdings Ltd. 1,676,349
465,000 Orient Overseas International Ltd. 1,997,333
-------------
3,673,682
Real Estate--0.2% 1,071,800 Shun Tak Holdings Ltd. 1,065,046
Specialty Retail--1.0% 728,000 Esprit Holdings Ltd. 5,180,565
Transportation 1,584,000 COSCO Pacific Ltd. 3,533,924
Infrastructure--1.3% 1,584,000 China Merchants Holdings International Co., Ltd. 3,330,824
-------------
6,864,748
Total Common Stocks in Hong Kong 31,324,439
India--3.9% Automobiles--0.3% 142,600 Tata Motors Ltd. 1,554,046
Commercial 250,000 HDFC Bank Ltd. 3,365,252
Banks--1.1% 69,918 ICICI Bank Ltd. 610,580
75,000 ICICI Bank Ltd. (d) 1,698,750
-------------
5,674,582
Construction & 67,200 Larsen & Toubro Ltd. 1,673,450
Engineering--0.3%
Construction 21,923 Ultra Tech Cement Ltd. 187,175
Materials--0.0%
Electrical 56,300 Bharat Heavy Electricals Ltd. 1,108,439
Equipment--0.2%
Household 550,000 Hindustan Lever Ltd. 1,816,514
Products--0.4%
Industrial 55,000 Grasim Industries Ltd 1,697,431
Conglomerates--0.3%
Machinery--0.1% 17,100 Bharat Forge Ltd. 520,648
Metals & Mining--0.9% 60,000 Hindalco Industries Ltd. 1,919,105
285,000 Tata Iron & Steel Co., Ltd. 2,761,101
-------------
4,680,206
Software--0.3% 50,100 Tata Consultancy Services Ltd. 1,586,768
Total Common Stocks in India 20,499,259
Singapore--0.2% Beverages--0.1% 112,000 Asia Pacific Breweries Ltd. 561,913
Food Products--0.1% 600,000 People's Food Holdings Ltd. 498,630
Total Common Stocks in Singapore 1,060,543
South Korea--2.7% Automobiles--1.3% 118,800 Hyundai Motor Co. 6,834,098
Chemicals--0.4% 42,300 LG Chem Ltd. 1,975,261
Diversified 75,600 KT Corp. 3,124,650
Telecommunication
Services--0.6%
Machinery--0.4% 130,100 Daewoo Shipbuilding & Marine Engineering Co., Ltd. 2,404,232
Total Common Stocks in South Korea 14,338,241
Total Common Stocks in the Pacific Basin--24.2% 127,792,609
Total Common Stocks
(Cost--$454,215,791)--98.0% 517,109,824
MERRILL LYNCH GLOBAL GROWTH FUND, INC., FEBRUARY 28, 2005
Schedule of Investments (concluded) (in U.S. dollars)
EUROPE Industry* Shares Held Preferred Stocks Value
Germany--1.7% Automobiles--1.7% 12,537 Porsche AG $ 9,074,494
Total Preferred Stocks in Europe--1.7% 9,074,494
Total Preferred Stocks
(Cost--$5,121,471)--1.7% 9,074,494
Beneficial Interest Short-Term Securities
$ 3,131,516 Merrill Lynch Liquidity Series, LLC Cash Sweep
Series I (b) 3,131,516
4,492,550 Merrill Lynch Liquidity Series, LLC Money Market
Series (b)(c) 4,492,550
Total Short-Term Securities
(Cost--$7,624,066)--1.4% 7,624,066
Total Investments (Cost--$466,961,328**)--101.1% 533,808,384
Liabilities in Excess of Other Assets--(1.1%) (6,045,539)
-------------
Net Assets--100.0% $ 527,762,845
=============
* For Fund compliance purposes, "Industry" means any one or more
of the industry sub-classifications used by one or more widely
recognized market indexes or ratings group indexes, and/or as
defined by Fund management. This definition may not apply for
purposes of this report, which may combine such industry
sub-classifications for reporting ease.
** The cost and unrealized appreciation (depreciation) of investments as
of February 28, 2005, as computed for federal income tax purposes,
were as follows:
Aggregate cost $ 467,041,817
===============
Gross unrealized appreciation $ 79,190,101
Gross unrealized depreciation (12,423,534)
---------------
Net unrealized appreciation $ 66,766,567
===============
(a) Non-income producing security.
(b) Investments in companies considered to be an affiliate of the Fund
(such companies are defined as "Affiliated Companies" in Section
2(a)(3) of the Investment Company Act of 1940) were as follows:
Net Interest
Affiliate Activity Income
Merrill Lynch Liquidity Series, LLC
Cash Sweep Series I $ 2,117,880 $64,067
Merrill Lynch Liquidity Series, LLC
Money Market Series $(53,639,250) $44,501
(c) Security was purchased with the cash proceeds from securities loans.
(d) Depositary Receipts.
(e) Security, or a portion of security, is on loan.
See Notes to Financial Statements.
MERRILL LYNCH GLOBAL GROWTH FUND, INC., FEBRUARY 28, 2005
Statement of Assets and Liabilities
As of February 28, 2005
Assets
Investments in unaffiliated securities, at value (including securities loaned
of $4,316,085) (identified cost--$459,337,262) $ 526,184,318
Investments in affiliated securities, at value (identified cost--$7,624,066) 7,624,066
Receivables:
Dividends $ 2,114,250
Capital shares sold 343,558
Interest from affiliates 10,417
Securities lending 1,244 2,469,469
---------------
Prepaid expenses 137,696
---------------
Total assets 536,415,549
---------------
Liabilities
Collateral on securities loaned, at value 4,492,550
Deferred foreign capital gain tax 189,339
Payables:
Capital shares redeemed 2,241,988
Securities purchased 838,102
Other affiliates 332,600
Investment adviser 260,440
Distributor 255,881 3,929,011
---------------
Accrued expenses and other liabilities 41,804
---------------
Total liabilities 8,652,704
---------------
Net Assets
Net assets $ 527,762,845
===============
Net Assets Consist of
Class A Shares of Common Stock, $.10 par value, 100,000,000 shares authorized $ 1,007,918
Class B Shares of Common Stock, $.10 par value, 300,000,000 shares authorized 2,512,059
Class C Shares of Common Stock, $.10 par value, 100,000,000 shares authorized 627,003
Class I Shares of Common Stock, $.10 par value, 100,000,000 shares authorized 1,155,390
Class R Shares of Common Stock, $.10 par value, 300,000,000 shares authorized 1,142
Paid-in capital in excess of par 1,006,119,296
Undistributed investment income--net $ 2,624,593
Accumulated realized capital losses--net (553,013,384)
Unrealized appreciation--net 66,728,828
---------------
Total accumulated losses--net (483,659,963)
---------------
Net Assets $ 527,762,845
===============
Net Asset Value
Class A--Based on net assets of $102,290,675 and 10,079,175 shares outstanding $ 10.15
===============
Class B--Based on net assets of $245,627,542 and 25,120,590 shares outstanding $ 9.78
===============
Class C--Based on net assets of $61,292,416 and 6,270,027 shares outstanding $ 9.78
===============
Class I--Based on net assets of $118,438,149 and 11,553,904 shares outstanding $ 10.25
===============
Class R--Based on net assets of $114,063 and 11,420 shares outstanding $ 9.99
===============
See Notes to Financial Statements.
MERRILL LYNCH GLOBAL GROWTH FUND, INC., FEBRUARY 28, 2005
Statement of Operations
For the Six Months Ended February 28, 2005
Investment Income
Dividends (net of $237,381 foreign withholding tax) $ 7,245,728
Interest from affiliates 64,067
Securities lending--net 44,501
---------------
Total income 7,354,296
---------------
Expenses
Investment advisory fees $ 2,003,698
Account maintenance and distribution fees--Class B 1,272,229
Transfer agent fees--Class B 322,905
Account maintenance and distribution fees--Class C 312,721
Account maintenance fees--Class A 127,901
Transfer agent fees--Class I 125,945
Accounting services 117,813
Transfer agent fees--Class A 111,916
Transfer agent fees--Class C 83,678
Custodian fees 77,183
Printing and shareholder reports 52,347
Professional fees 36,178
Directors' fees and expenses 33,245
Registration fees 31,760
Pricing fees 5,016
Account maintenance and distribution fees--Class R 420
Transfer agent fees--Class R 191
Other 16,850
---------------
Total expenses 4,731,996
---------------
Investment income--net 2,622,300
---------------
Realized & Unrealized Gain (Loss)--Net
Realized gain (loss) on:
Investments (including $2,239 foreign capital gain tax)--net 69,437,656
Foreign currency transactions--net (395,975) 69,041,681
---------------
Change in unrealized appreciation on:
Investments (including $187,100 deferred foreign capital gain tax)--net 24,775,638
Foreign currency transactions--net 40,108 24,815,746
--------------- ---------------
Total realized and unrealized gain--net 93,857,427
---------------
Net Increase in Net Assets Resulting from Operations $ 96,479,727
===============
See Notes to Financial Statements.
MERRILL LYNCH GLOBAL GROWTH FUND, INC., FEBRUARY 28, 2005
Statements of Changes in Net Assets
For the Six For the
Months Ended Year Ended
February 28, August 31,
Increase (Decrease) in Net Assets: 2005 2004
Operations
Investment income--net $ 2,622,300 $ 2,494,664
Realized gain--net 69,041,681 113,251,216
Change in unrealized appreciation--net 24,815,746 (36,489,741)
--------------- ---------------
Net increase in net assets resulting from operations 96,479,727 79,256,139
--------------- ---------------
Dividends to Shareholders
Investment income--net:
Class A (18,378) --
Class B -- --
Class C -- --
Class I (328,352) --
Class R (303) --
--------------- ---------------
Net decrease in net assets resulting from dividends to shareholders (347,033) --
--------------- ---------------
Capital Share Transactions
Net decrease in net assets derived from capital share transactions (87,300,990) (203,244,671)
--------------- ---------------
Redemption Fees
Redemption fees 29 (293)
--------------- ---------------
Net Assets
Total increase (decrease) in net assets 8,831,733 (123,988,825)
Beginning of period 518,931,112 642,919,937
--------------- ---------------
End of period* $ 527,762,845 $ 518,931,112
=============== ===============
* Undistributed investment income--net $ 2,624,593 $ 349,326
=============== ===============
See Notes to Financial Statements.
MERRILL LYNCH GLOBAL GROWTH FUND, INC., FEBRUARY 28, 2005
Financial Highlights
Class A
For the Six
Months Ended
The following per share data and ratios have been derived February 28, For the Year Ended August 31,
from information provided in the financial statements. 2005 2004 2003 2002 2001
Per Share Operating Performance
Net asset value, beginning of period $ 8.47 $ 7.51 $ 6.95 $ 9.44 $ 17.95
---------- ---------- ---------- ---------- ----------
Investment income (loss)--net*** .07 .07 .03 (.02) --+++
Realized and unrealized gain (loss)--net 1.61 .89 .53 (2.47) (6.64)
---------- ---------- ---------- ---------- ----------
Total from investment operations 1.68 .96 .56 (2.49) (6.64)
---------- ---------- ---------- ---------- ----------
Less dividends and distributions from:
Investment income--net --+++ -- -- -- --
Realized gain--net -- -- -- -- (.58)
In excess of realized gain--net -- -- -- -- (1.29)
---------- ---------- ---------- ---------- ----------
Total dividends and distributions --+++ -- -- -- (1.87)
---------- ---------- ---------- ---------- ----------
Net asset value, end of period $ 10.15 $ 8.47 $ 7.51 $ 6.95 $ 9.44
========== ========== ========== ========== ==========
Total Investment Return**
Based on net asset value per share 19.86%++ 12.78% 8.06% (26.38%) (39.58%)
========== ========== ========== ========== ==========
Ratios to Average Net Assets
Expenses 1.36%* 1.37% 1.42% 1.31% 1.18%
========== ========== ========== ========== ==========
Investment income (loss)--net 1.40%* .87% .40% (.18%) (.001%)
========== ========== ========== ========== ==========
Supplemental Data
Net assets, end of period (in thousands) $ 102,291 $ 98,519 $ 110,092 $ 130,310 $ 240,027
========== ========== ========== ========== ==========
Portfolio turnover 57.03% 71.91% 121.00% 105.73% 126.37%
========== ========== ========== ========== ==========
* Annualized.
** Total investment return excludes the effects of sales charges.
*** Based on average shares outstanding.
++ Aggregate total investment return.
+++ Amount is less than $(.01) per share.
See Notes to Financial Statements.
MERRILL LYNCH GLOBAL GROWTH FUND, INC., FEBRUARY 28, 2005
Financial Highlights (continued)
Class B
For the Six
Months Ended
The following per share data and ratios have been derived February 28, For the Year Ended August 31,
from information provided in the financial statements. 2005 2004 2003 2002 2001
Per Share Operating Performance
Net asset value, beginning of period $ 8.19 $ 7.32 $ 6.83 $ 9.35 $ 17.75
---------- ---------- ---------- ---------- ----------
Investment income (loss)--net*** .03 --+++ (.03) (.08) (.10)
Realized and unrealized gain (loss)--net 1.56 .87 .52 (2.44) (6.56)
---------- ---------- ---------- ---------- ----------
Total from investment operations 1.59 .87 .49 (2.52) (6.66)
---------- ---------- ---------- ---------- ----------
Less distributions from:
Realized gain--net -- -- -- -- (.54)
In excess of realized gain--net -- -- -- -- (1.20)
---------- ---------- ---------- ---------- ----------
Total distributions -- -- -- -- (1.74)
---------- ---------- ---------- ---------- ----------
Net asset value, end of period $ 9.78 $ 8.19 $ 7.32 $ 6.83 $ 9.35
========== ========== ========== ========== ==========
Total Investment Return**
Based on net asset value per share 19.41%++ 11.89% 7.17% (26.95%) (40.01%)
========== ========== ========== ========== ==========
Ratios to Average Net Assets
Expenses 2.14%* 2.16% 2.22% 2.09% 1.95%
========== ========== ========== ========== ==========
Investment income (loss)--net .60%* .05% (.43%) (.99%) (.77%)
========== ========== ========== ========== ==========
Supplemental Data
Net assets, end of period (in thousands) $ 245,628 $ 252,691 $ 327,483 $ 456,393 $1,046,889
========== ========== ========== ========== ==========
Portfolio turnover 57.03% 71.91% 121.00% 105.73% 126.37%
========== ========== ========== ========== ==========
* Annualized.
** Total investment return excludes the effects of sales charges.
*** Based on average shares outstanding.
++ Aggregate total investment return.
+++ Amount is less than $.01 per share.
See Notes to Financial Statements.
MERRILL LYNCH GLOBAL GROWTH FUND, INC., FEBRUARY 28, 2005
Financial Highlights (continued)
Class C
For the Six
Months Ended
The following per share data and ratios have been derived February 28, For the Year Ended August 31,
from information provided in the financial statements. 2005 2004 2003 2002 2001
Per Share Operating Performance
Net asset value, beginning of period $ 8.19 $ 7.32 $ 6.83 $ 9.36 $ 17.76
---------- ---------- ---------- ---------- ----------
Investment income (loss)--net*** .03 --+++ (.03) (.08) (.10)
Realized and unrealized gain (loss)--net 1.56 .87 .52 (2.45) (6.56)
---------- ---------- ---------- ---------- ----------
Total from investment operations 1.59 .87 .49 (2.53) (6.66)
---------- ---------- ---------- ---------- ----------
Less distributions from:
Realized gain--net -- -- -- -- (.54)
In excess of realized gain--net -- -- -- -- (1.20)
---------- ---------- ---------- ---------- ----------
Total distributions -- -- -- -- (1.74)
---------- ---------- ---------- ---------- ----------
Net asset value, end of period $ 9.78 $ 8.19 $ 7.32 $ 6.83 $ 9.36
========== ========== ========== ========== ==========
Total Investment Return**
Based on net asset value per share 19.41%++ 11.89% 7.17% (27.03%) (39.97%)
========== ========== ========== ========== ==========
Ratios to Average Net Assets
Expenses 2.16%* 2.18% 2.24% 2.11% 1.96%
========== ========== ========== ========== ==========
Investment income (loss)--net .59%* .05% (.43%) (.99%) (.78%)
========== ========== ========== ========== ==========
Supplemental Data
Net assets, end of period (in thousands) $ 61,292 $ 60,771 $ 72,249 $ 95,117 $ 197,356
========== ========== ========== ========== ==========
Portfolio turnover 57.03% 71.91% 121.00% 105.73% 126.37%
========== ========== ========== ========== ==========
* Annualized.
** Total investment return excludes the effects of sales charges.
*** Based on average shares outstanding.
++ Aggregate total investment return.
+++ Amount is less than $.01 per share.
See Notes to Financial Statements.
MERRILL LYNCH GLOBAL GROWTH FUND, INC., FEBRUARY 28, 2005
Financial Highlights (continued)
Class I
For the Six
Months Ended
The following per share data and ratios have been derived February 28, For the Year Ended August 31,
from information provided in the financial statements. 2005 2004 2003 2002 2001
Per Share Operating Performance
Net asset value, beginning of period $ 8.56 $ 7.58 $ 7.00 $ 9.48 $ 18.01
---------- ---------- ---------- ---------- ----------
Investment income--net*** .08 .09 .04 --+++ .03
Realized and unrealized gain (loss)--net 1.64 .89 .54 (2.48) (6.65)
---------- ---------- ---------- ---------- ----------
Total from investment operations 1.72 .98 .58 (2.48) (6.62)
---------- ---------- ---------- ---------- ----------
Less dividends and distributions from:
Investment income--net (.03) -- -- -- --
Realized gain--net -- -- -- -- (.59)
In excess of realized gain--net -- -- -- -- (1.32)
---------- ---------- ---------- ---------- ----------
Total dividends and distributions (.03) -- -- -- (1.91)
---------- ---------- ---------- ---------- ----------
Net asset value, end of period $ 10.25 $ 8.56 $ 7.58 $ 7.00 $ 9.48
========== ========== ========== ========== ==========
Total Investment Return**
Based on net asset value per share 20.08%++ 12.93% 8.29% (26.16%) (39.39%)
========== ========== ========== ========== ==========
Ratios to Average Net Assets
Expenses 1.11%* 1.13% 1.16% 1.06% .93%
========== ========== ========== ========== ==========
Investment income--net 1.66%* 1.05% .63% .04% .25%
========== ========== ========== ========== ==========
Supplemental Data
Net assets, end of period (in thousands) $ 118,438 $ 106,785 $ 133,096 $ 55,525 $ 155,922
========== ========== ========== ========== ==========
Portfolio turnover 57.03% 71.91% 121.00% 105.73% 126.37%
========== ========== ========== ========== ==========
* Annualized.
** Total investment return excludes the effects of sales charges.
*** Based on average shares outstanding.
++ Aggregate total investment return.
+++ Amount is less than $.01 per share.
See Notes to Financial Statements.
MERRILL LYNCH GLOBAL GROWTH FUND, INC., FEBRUARY 28, 2005
Financial Highlights (concluded)
Class R
For the For the For the Period
Six Months Year January 3,
Ended Ended 2003++ to
The following per share data and ratios have been derived February 28, August 31, August 31,
from information provided in the financial statements. 2005 2004 2003
Per Share Operating Performance
Net asset value, beginning of period $ 8.36 $ 7.39 $ 6.50
------------ ------------ ------------
Investment income--net*** .05 .08 .06
Realized and unrealized gain--net 1.59 .89 .83
------------ ------------ ------------
Total from investment operations 1.64 .97 .89
------------ ------------ ------------
Less dividends from investment income--net (.01) -- --
------------ ------------ ------------
Net asset value, end of period $ 9.99 $ 8.36 $ 7.39
============ ============ ============
Total Investment Return**
Based on net asset value per share 19.66%+++ 13.13% 13.69%+++
============ ============ ============
Ratios to Average Net Assets
Expenses 1.62%* 1.56% 1.64%*
============ ============ ============
Investment income--net 1.14%* 1.36% .66%*
============ ============ ============
Supplemental Data
Net assets, end of period (in thousands) $ 114 $ 166 --+++++
============ ============ ============
Portfolio turnover 57.03% 71.91% 121.00%
============ ============ ============
* Annualized.
** Total investment return excludes the effects of sales charges.
*** Based on average shares outstanding.
++ Commencement of operations.
+++ Aggregate total investment return.
+++++ Amount is less than $1,000.
See Notes to Financial Statements.
MERRILL LYNCH GLOBAL GROWTH FUND, INC., FEBRUARY 28, 2005
Notes to Financial Statements
1. Significant Accounting Policies:
Merrill Lynch Global Growth Fund, Inc. (the "Fund") is registered
under the Investment Company Act of 1940, as amended, as a
diversified, open-end management investment company. The Fund's
financial statements are prepared in conformity with U.S. generally
accepted accounting principles, which may require the use of
management accruals and estimates. Actual results may differ from
these estimates. These unaudited financial statements reflect all
adjustments, which are, in the opinion of management, necessary to
present a fair statement of the results for the interim period. All
such adjustments are of a normal, recurring nature. The Fund offers
multiple classes of shares. Shares of Class A and Class I are sold
with a front-end sales charge. Shares of Class B and Class C may be
subject to a contingent deferred sales charge. Class R Shares are
sold only to certain retirement plans. All classes of shares have
identical voting, dividend, liquidation and other rights and the
same terms and conditions, except that Class A, Class B, Class C
and Class R Shares bear certain expenses related to the account
maintenance of such shares, and Class B, Class C and Class R Shares
also bear certain expenses related to the distribution of such
shares. Each class has exclusive voting rights with respect to
matters relating to its account maintenance and distribution
expenditures (except that Class B shareholders have voting rights
with respect to material changes to the Class A distribution plan).
Income, expenses (other than expenses attributable to a specific
class) and realized and unrealized gains and losses are allocated
daily to each class based on its relative net assets. The following
is a summary of significant accounting policies followed by the
Fund.
(a) Valuation of investments--Equity securities that are held by
the Fund that are traded on stock exchanges or the Nasdaq National
Market are valued at the last sale price or official close price on
the exchange, as of the close of business on the day the securities
are being valued or, lacking any sales, at the last available bid
price for long positions, and at the last available ask price for
short positions. In cases where equity securities are traded on
more than one exchange, the securities are valued on the exchange
designated as the primary market by or under the authority of the
Board of Directors of the Fund. Long positions traded in the over-
the-counter ("OTC") market, Nasdaq Small Cap or Bulletin Board are
valued at the last available bid price or yield equivalent obtained
from one or more dealers or pricing services approved by the Board
of Directors of the Fund. Short positions traded in the OTC market
are valued at the last available ask price. Portfolio securities
that are traded both in the OTC market and on a stock exchange are
valued according to the broadest and most representative market.
Options written are valued at the last sale price in the case of
exchange-traded options or, in the case of options traded in the
OTC market, the last ask price. Options purchased are valued at
their last sale price in the case of exchange-traded options or, in
the case of options traded in the OTC market, the last bid price.
Swap agreements are valued daily based upon quotations from market
makers. Financial futures contracts and options thereon, which are
traded on exchanges, are valued at their last sale price as of the
close of such exchanges. Obligations with remaining maturities of
60 days or less are valued at amortized cost unless the Investment
Adviser believes that this method no longer produces fair
valuations.
Repurchase agreements are valued at cost plus accrued interest. The
Fund employs pricing services to provide certain securities prices
for the Fund. Securities and assets for which market quotations are
not readily available are valued at fair value as determined in good
faith by or under the direction of the Board of Directors of the
Fund, including valuations furnished by the pricing services
retained by the Fund, which may use a matrix system for valuations.
The procedures of a pricing service and its valuations are reviewed
by the officers of the Fund under the general supervision of the
Fund's Board of Directors. Such valuations and procedures will be
reviewed periodically by the Board of Directors of the Fund.
Generally, trading in foreign securities, as well as U.S. government
securities and money market instruments, is substantially completed
each day at various times prior to the close of business on the New
York Stock Exchange ("NYSE"). The values of such securities used in
computing the net asset value of the Fund's shares are determined as
of such times. Foreign currency exchange rates also are generally
determined prior to the close of business on the NYSE. Occasionally,
events affecting the values of such securities and such exchange
rates may occur between the times at which they are determined and
the close of business on the NYSE that may not be reflected in the
computation of the Fund's net asset value. If events (for example, a
company announcement, market volatility or a natural disaster) occur
during such periods that are expected to materially affect the value
of such securities, those securities may be valued at their fair
value as determined in good faith by the Fund's Board of Directors
or by the Investment Adviser using a pricing service and/or
procedures approved by the Fund's Board of Directors.
MERRILL LYNCH GLOBAL GROWTH FUND, INC., FEBRUARY 28, 2005
Notes to Financial Statements (continued)
(b) Foreign currency transactions--Transactions denominated in
foreign currencies are recorded at the exchange rate prevailing
when recognized. Assets and liabilities denominated in foreign
currencies are valued at the exchange rate at the end of the period.
Foreign currency transactions are the result of settling (realized)
or valuing (unrealized) assets or liabilities expressed in foreign
currencies into U.S. dollars. Realized and unrealized gains or
losses from investments include the effects of foreign exchange
rates on investments.
(c) Derivative financial instruments--The Fund may engage in various
portfolio investment strategies both to increase the return of
the Fund and to hedge, or protect, its exposure to interest rate
movements and movements in the securities markets. Losses may arise
due to changes in the value of the contract or if the counterparty
does not perform under the contract.
* Options--The Fund may write and purchase call and put options.
When the Fund writes an option, an amount equal to the premium
received by the Fund is reflected as an asset and an equivalent
liability. The amount of the liability is subsequently marked-to-
market to reflect the current market value of the option written.
When a security is purchased or sold through an exercise of an
option, the related premium paid (or received) is added to (or
deducted from) the basis of the security acquired or deducted from
(or added to) the proceeds of the security sold. When an option
expires (or the Fund enters into a closing transaction), the Fund
realizes a gain or loss on the option to the extent of the premiums
received or paid (or gain or loss to the extent the cost of the
closing transaction exceeds the premium paid or received).
Written and purchased options are non-income producing investments.
* Forward foreign exchange contracts--The Fund may enter into
forward foreign exchange contracts as a hedge against either
specific transactions or portfolio positions. The contract is marked-
to-market daily and the change in market value is recorded
by the Fund as an unrealized gain or loss. When the contract is
closed, the Fund records a realized gain or loss equal to the
difference between the value at the time it was opened and the
value at the time it was closed.
* Foreign currency options and futures--The Fund may also purchase
or sell listed or over-the-counter foreign currency options, foreign
currency futures and related options on foreign currency futures
as a short or long hedge against possible variations in foreign
exchange rates. Such transactions may be effected with respect to
hedges on non-U.S. dollar denominated securities owned by the Fund,
sold by the Fund but not yet delivered, or committed or anticipated
to be purchased by the Fund.
* Financial futures contracts--The Fund may purchase or sell
financial futures contracts and options on such futures contracts
for the purpose of hedging the market risk on existing securities or
the intended purchase of securities. Futures contracts are contracts
for delayed delivery of securities at a specific future date and at
a specific price or yield. Upon entering into a contract, the Fund
deposits and maintains as collateral such initial margin as required
by the exchange on which the transaction is effected. Pursuant to
the contract, the Fund agrees to receive from or pay to the broker
an amount of cash equal to the daily fluctuation in value of the
contract. Such receipts or payments are known as variation margin
and are recorded by the Fund as unrealized gains or losses. When the
contract is closed, the Fund records a realized gain or loss equal
to the difference between the value of the contract at the time it
was opened and the value at the time it was closed.
(d) Income taxes--It is the Fund's policy to comply with the
requirements of the Internal Revenue Code applicable to regulated
investment companies and to distribute substantially all of its
taxable income to its shareholders. Therefore, no federal income tax
provision is required. Under the applicable foreign tax law, a
withholding tax may be imposed on interest, dividends and capital
gains at various rates.
MERRILL LYNCH GLOBAL GROWTH FUND, INC., FEBRUARY 28, 2005
Notes to Financial Statements (continued)
(e) Security transactions and investment income--Security
transactions are recorded on the dates the transactions are entered
into (the trade dates). Realized gains and losses on security
transactions are determined on the identified cost basis. Dividend
income is recorded on the ex-dividend dates. Dividends from foreign
securities where the ex-dividend date may have passed are
subsequently recorded when the Fund has determined the ex-dividend
date. Interest income is recognized on the accrual basis.
(f) Prepaid registration fees--Prepaid registration fees are charged
to expense as the related shares are issued.
(g) Dividends and distributions--Dividends and distributions paid
by the Fund are recorded on the ex-dividend dates.
(h) Securities lending--The Fund may lend securities to financial
institutions that provide cash or securities issued or guaranteed
by the U.S. government as collateral, which will be maintained at
all times in an amount equal to at least 100% of the current market
value of the loaned securities. The market value of the loaned
securities is determined at the close of business of the Fund and
any additional required collateral is delivered to the Fund on the
next business day. Where the Fund receives securities as collateral
for the loaned securities, it collects a fee from the borrower. The
Fund typically receives the income on the loaned securities but does
not receive the income on the collateral. Where the Fund receives
cash collateral, it may invest such collateral and retain the amount
earned on such investment, net of any amount rebated to the
borrower. Loans of securities are terminable at any time and the
borrower, after notice, is required to return borrowed securities
within five business days. The Fund may pay reasonable finder's,
lending agent, administrative and custodial fees in connection with
its loans. In the event that the borrower defaults on its obligation
to return borrowed securities because of insolvency or for any other
reason, the Fund could experience delays and costs in gaining access
to the collateral. The Fund also could suffer a loss where the value
of the collateral falls below the market value of the borrowed
securities, in the event of borrower default or in the event of
losses on investments made with cash collateral.
2. Investment Advisory Agreement and Transactions with Affiliates:
The Fund has entered into an Investment Advisory Agreement with
Merrill Lynch Investment Managers, L.P. ("MLIM"). The general
partner of MLIM is Princeton Services, Inc. ("PSI"), an indirect,
wholly-owned subsidiary of Merrill Lynch & Co., Inc. ("ML & Co."),
which is the limited partner. The Fund has also entered into a
Distribution Agreement and Distribution Plan with FAM Distributors,
Inc. ("FAMD" or the "Distributor"), which is a wholly-owned
subsidiary of Merrill Lynch Group, Inc.
MLIM is responsible for the management of the Fund's portfolio and
provides the necessary personnel, facilities, equipment and certain
other services necessary to the operations of the Fund. For such
services, the Fund pays a monthly fee based upon the average daily
value of the Fund's net assets at an annual rate of .75% of the
average daily net assets not exceeding $1.5 billion and .725% of the
average daily net assets in excess of $1.5 billion. MLIM has entered
into a Sub-Advisory Agreement with Merrill Lynch Asset Management
U.K. Limited ("MLAM U.K."), an affiliate of MLIM, pursuant to which
MLAM U.K. provides investment advisory services to MLIM with respect
to the Fund. There is no increase in the aggregate fees paid by the
Fund for these services.
Pursuant to the Distribution Plan adopted by the Fund in accordance
with Rule 12b-1 under the Investment Company Act of 1940, the Fund
pays the Distributor ongoing account maintenance and distribution
fees. The fees are accrued daily and paid monthly at annual rates
based upon the average daily net assets of the shares as follows:
Account
Maintenance Distribution
Fee Fee
Class A .25% --
Class B .25% .75%
Class C .25% .75%
Class R .25% .25%
Pursuant to a sub-agreement with the Distributor, Merrill Lynch,
Pierce, Fenner & Smith Incorporated ("MLPF&S"), an affiliate of
MLIM, also provides account maintenance and distribution services
to the Fund. The ongoing account maintenance fee compensates the
Distributor and MLPF&S for providing account maintenance services
to Class A, Class B, Class C and Class R shareholders. The ongoing
distribution fee compensates the Distributor and MLPF&S for
providing shareholder and distribution-related services to Class B,
Class C and Class R shareholders.
MERRILL LYNCH GLOBAL GROWTH FUND, INC., FEBRUARY 28, 2005
Notes to Financial Statements (continued)
For the six months ended February 28, 2005, FAMD earned underwriting
discounts and direct commissions and MLPF&S earned dealer
concessions on sales of the Fund's Class A and Class I Shares as
follows:
FAMD MLPF&S
Class A $ 289 $ 3,815
Class I $ 28 $ 423
For the six months ended February 28, 2005, MLPF&S received
contingent deferred sales charges of $30,751 and $1,243 relating
to transactions in Class B and Class C Shares, respectively.
The Fund has received an exemptive order from the Securities and
Exchange Commission permitting it to lend portfolio securities to
MLPF&S or its affiliates. Pursuant to that order, the Fund also has
retained Merrill Lynch Investment Managers, LLC ("MLIM, LLC"), an
affiliate of MLIM, as the securities lending agent for a fee based
on a share of the returns on investment of cash collateral. MLIM,
LLC may, on behalf of the Fund, invest cash collateral received by
the Fund for such loans, among other things, in a private investment
company managed by MLIM, LLC or in registered money market funds
advised by MLIM or its affiliates. For the six months ended February
28, 2005, MLIM, LLC received $18,495 in securities lending agent
fees.
In addition, MLPF&S received $103,895 in commissions on the
execution of portfolio security transactions for the Fund for the
six months ended February 28, 2005.
For the six months ended February 28, 2005, the Fund reimbursed MLIM
$5,729 for certain accounting services.
Financial Data Services, Inc. ("FDS"), a wholly-owned subsidiary of
ML & Co., is the Fund's transfer agent.
Certain officers and/or directors of the Fund are officers and/or
directors of MLIM, PSI, MLAM U.K., FDS, FAMD, and/or ML & Co.
3. Investments:
Purchases and sales of investments, excluding short-term securities,
for the six months ended February 28, 2005 were $303,454,275 and
$389,764,189, respectively.
4. Capital Share Transactions:
Net decrease in net assets derived from capital share transactions
was $87,300,990 and $203,244,964 for the six months ended February
28, 2005 and August 31, 2004, respectively.
Transactions in capital shares for each class were as follows:
Class A Shares for the
Six Months Ended Dollar
February 28, 2005 Shares Amount
Shares sold 233,936 $ 2,246,041
Automatic conversion of shares 571,261 5,431,141
Shares issued to shareholders
in reinvestments of dividends 1,629 15,927
-------------- ---------------
Total issued 806,826 7,693,109
Shares redeemed (2,363,832) (22,582,255)
-------------- ---------------
Net decrease (1,557,006) $ (14,889,146)
============== ===============
Class A Shares for the Year Dollar
Ended August 31, 2004 Shares Amount
Shares sold 707,209 $ 5,969,716
Automatic conversion of shares 1,437,615 12,282,386
-------------- ---------------
Total issued 2,144,824 18,252,102
Shares redeemed (5,172,582) (43,630,780)
-------------- ---------------
Net decrease (3,027,758) $ (25,378,678)
============== ===============
Class B Shares for the
Six Months Ended Dollar
February 28, 2005 Shares Amount
Shares sold 343,313 $ 3,172,338
-------------- ---------------
Shares redeemed (5,493,766) (50,525,269)
Automatic conversion of shares (591,636) (5,431,141)
-------------- ---------------
Total redeemed (6,085,402) (55,956,410)
-------------- ---------------
Net decrease (5,742,089) $ (52,784,072)
============== ===============
Class B Shares for the Year Dollar
Ended August 31, 2004 Shares Amount
Shares sold 1,044,170 $ 8,602,162
-------------- ---------------
Automatic conversion of shares (1,480,598) (12,282,386)
Shares redeemed (13,450,908) (110,144,927)
-------------- ---------------
Total redeemed (14,931,506) (122,427,313)
-------------- ---------------
Net decrease (13,887,336) $ (113,825,151)
============== ===============
MERRILL LYNCH GLOBAL GROWTH FUND, INC., FEBRUARY 28, 2005
Notes to Financial Statements (concluded)
Class C Shares for the
Six Months Ended Dollar
February 28, 2005 Shares Amount
Shares sold 72,238 $ 668,840
Shares redeemed (1,226,024) (11,331,346)
-------------- ---------------
Net decrease (1,153,786) $ (10,662,506)
============== ===============
Class C Shares for the Year Dollar
Ended August 31, 2004 Shares Amount
Shares sold 308,528 $ 2,566,158
Shares redeemed (2,757,830) (22,547,416)
-------------- ---------------
Net decrease (2,449,302) $ (19,981,258)
============== ===============
Class I Shares for the
Six Months Ended Dollar
February 28, 2005 Shares Amount
Shares sold 1,375,015 $ 13,289,603
Shares issued to shareholders
in reinvestments of dividends 30,133 297,416
-------------- ---------------
Total issued 1,405,148 13,587,019
Shares redeemed (2,321,150) (22,471,825)
-------------- ---------------
Net decrease (916,002) $ (8,884,806)
============== ===============
Class I Shares for the Year Dollar
Ended August 31, 2004 Shares Amount
Shares sold 2,353,975 $ 19,989,818
Shares redeemed (7,454,281) (64,226,677)
-------------- ---------------
Net decrease (5,100,306) $ (44,236,859)
============== ===============
Class R Shares for the
Six Months Ended Dollar
February 28, 2005 Shares Amount
Shares sold 7,747 $ 74,596
Shares issued to shareholders
in reinvestments of dividends 31 303
-------------- ---------------
Total issued 7,778 74,899
Shares redeemed (16,178) (155,359)
-------------- ---------------
Net decrease (8,400) $ (80,460)
============== ===============
Class R Shares for the Year Dollar
Ended August 31, 2004 Shares Amount
Shares sold 21,035 $ 187,377
Shares redeemed (1,230) (10,395)
-------------- ---------------
Net increase 19,805 $ 176,982
============== ===============
The Fund charges a 2% redemption fee on the proceeds (calculated at
market value) of a redemption (either by sale or exchange) of Fund
shares made within 30 days of purchase. The redemption fee is paid
to the Fund and is intended to offset the trading costs, market
impact and other costs associated with short-term trading into and
out of the Fund.
5. Short-Term Borrowings:
The Fund, along with certain other funds managed by MLIM and its
affiliates, is a party to a $500,000,000 credit agreement with a
group of lenders. The Fund may borrow under the credit agreement to
fund shareholder redemptions and for other lawful purposes other
than for leverage. The Fund may borrow up to the maximum amount
allowable under the fund's current prospectus and statement of
additional information, subject to various other legal, regulatory
or contractual limits. The Fund pays a commitment fee of .07% per
annum based on the Fund's pro rata share of the unused portion of
the credit agreement. Amounts borrowed under the credit agreement
bear interest at a rate equal to, at each fund's election, the
federal funds rate plus .50% or a base rate as defined in the credit
agreement. The Fund did not borrow under the credit agreement during
the six months ended February 28, 2005. On November 26, 2004, the
credit agreement was renewed for one year under substantially the
same terms.
6. Capital Loss Carryforward:
On August 31, 2004, the Fund had a net capital loss carryforward of
$621,974,577, of which $19,389,728 expires in 2008, $3,964,136
expires in 2009, $246,071,814 expires in 2010 and $352,548,899
expires in 2011. This amount will be available to offset like
amounts of any future taxable gains.
MERRILL LYNCH GLOBAL GROWTH FUND, INC., FEBRUARY 28, 2005
Proxy Results
During the six-month period ended February 28, 2005, Merrill Lynch
Global Growth Fund, Inc.'s shareholders voted on the following
proposals. Proposals 1, 2A and 2B were approved at a shareholders'
meeting on February 28, 2005. With respect to Proposal 4B, the
proposal was adjourned until March 24, 2005. A description of the
proposals and number of shares voted were as follows:
Shares Voted Shares Withheld
For From Voting
1. To elect the Fund's Board of Directors: Robert C. Doll, Jr. 50,522,983 1,964,742
Donald W. Burton 50,517,806 1,969,919
Laurie Simon Hodrick 50,528,037 1,959,688
John F. O'Brien 50,510,623 1,977,102
David H. Walsh 50,529,609 1,958,116
Fred G. Weiss 50,525,102 1,962,623
Shares Voted Shares Voted Shares Voted
For Against Abstain
2A. To approve changes to fundamental
investment restriction on borrowing. 48,203,829 2,614,134 1,669,762
2B. To approve changes to fundamental
investment restriction on lending. 47,971,239 2,774,164 1,742,322
4B. To approve an amendment and
restatement of the charter provisions
regarding redemption of fund shares. Adjourned Adjourned Adjourned
MERRILL LYNCH GLOBAL GROWTH FUND, INC., FEBRUARY 28, 2005
Officers and Directors
Robert C. Doll, Jr., President and Director
Donald W. Burton, Director
Laurie Simon Hodrick, Director
John F. O'Brien, Director
David H. Walsh, Director
Fred G. Weiss, Director
Lawrence R. Fuller, Vice President and
Portfolio Manager
Donald C. Burke, Vice President and Treasurer
Jeffrey Hiller, Chief Compliance Officer
Alice A. Pellegrino, Secretary
Custodian
State Street Bank and Trust Company
P.O. Box 351
Boston, MA 02101
Transfer Agent
Financial Data Services, Inc.
4800 Deer Lake Drive East
Jacksonville, FL 32246-6484
800-637-3863
Effective January 1, 2005, Terry K. Glenn, President and Director
and M. Colyer Crum, Director of Merrill Lynch Global Growth Fund,
Inc. retired. The Fund's Board of Directors wishes Mr. Glenn and
Professor Crum well in their retirements.
Effective January 1, 2005, Robert C. Doll, Jr. became Executive
Vice President and Chief Executive Officer of the Fund. Effective
February 28, 2005, Mr. Doll became President and Director of the
Fund.
MERRILL LYNCH GLOBAL GROWTH FUND, INC., FEBRUARY 28, 2005
Availability of Quarterly Schedule of Investments
The Fund files its 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 Fund's Forms N-Q are
available on the SEC's Web site at http://www.sec.gov. The Fund's
Forms N-Q may also be reviewed and copied at the SEC's Public
Reference Room in Washington, DC. Information on the operation of
the Public Reference Room may be obtained by calling 1-800-SEC-0330.
MERRILL LYNCH GLOBAL GROWTH FUND, INC., FEBRUARY 28, 2005
Electronic Delivery
The Fund offers electronic delivery of communications to its
shareholders. In order to receive this service, you must
register your account and provide us with e-mail information.
To sign up for this service, simply access this Web site at
http://www.icsdelivery.com/live and follow the instructions.
When you visit this site, you will obtain a personal identification
number (PIN). You will need this PIN should you wish to update your
e-mail address, choose to discontinue this service and/or make any
other changes to the service. This service is not available for
certain retirement accounts at this time.
MERRILL LYNCH GLOBAL GROWTH FUND, INC., FEBRUARY 28, 2005
Item 2 - Code of Ethics - Not Applicable to this semi-annual report
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
Item 6 - Schedule of Investments - Not Applicable
Item 7 - Disclosure of Proxy Voting Policies and Procedures for
Closed-End Management Investment Companies - Not Applicable
Item 8 - Portfolio Managers of Closed-End Management Investment
Companies - Not Applicable
Item 9 - Purchases of Equity Securities by Closed-End Management
Investment Company and Affiliated Purchasers - Not Applicable
Item 10 - Submission of Matters to a Vote of Security Holders - Not
Applicable
Item 11 - Controls and Procedures
11(a) - The registrant's certifying officers have reasonably
designed such disclosure controls and procedures to ensure material
information relating to the registrant is made known to us by others
particularly during the period in which this report is being
prepared. The registrant's certifying officers have determined that
the registrant's disclosure controls and procedures are effective
based on our evaluation of these controls and procedures as of a
date within 90 days prior to the filing date of this report.
11(b) - There were no changes in the registrant's internal control
over financial reporting (as defined in Rule 30a-3(d) under the Act
(17 CFR 270.30a-3(d)) that occurred during the last fiscal half-year
of the period covered by this report that has materially affected,
or is reasonably likely to materially affect, the registrant's
internal control over financial reporting.
Item 12 - Exhibits attached hereto
12(a)(1) - Code of Ethics - Not Applicable to this semi-annual
report
12(a)(2) - Certifications - Attached hereto
12(a)(3) - Not Applicable
12(b) - Certifications - Attached hereto
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.
Merrill Lynch Global Growth Fund, Inc.
By: _/s/ Robert C. Doll, Jr._______
Robert C. Doll, Jr.,
Chief Executive Officer of
Merrill Lynch Global Growth Fund, Inc.
Date: April 22, 2005
Pursuant to the requirements of the Securities Exchange Act of 1934
and the Investment Company Act of 1940, this report has been signed
below by the following persons on behalf of the registrant and in
the capacities and on the dates indicated.
By: _/s/ Robert C. Doll, Jr.________
Robert C. Doll, Jr.,
Chief Executive Officer of
Merrill Lynch Global Growth Fund, Inc.
Date: April 22, 2005
By: _/s/ Donald C. Burke________
Donald C. Burke,
Chief Financial Officer of
Merrill Lynch Global Growth Fund, Inc.
Date: April 22, 2005