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: 08/31/06
Date of reporting period: 09/01/05 - 02/28/06
Item 1 - Report to Stockholders
Semi-Annual Report
February 28, 2006
Merrill Lynch Global Growth Fund, Inc.
(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.
Investment in foreign securities involves special risks including fluctuating
foreign exchange rates, foreign government regulations, differing degrees of
liquidity and the possibility of substantial volatility due to adverse
political, economic or other developments.
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 1-800-637-3863; (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)
It's Fast, Convenient, & Timely!
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Merrill Lynch Global Growth Fund, Inc.
Announcement to Shareholders
On February 15, 2006, BlackRock, Inc. ("BlackRock") and Merrill Lynch & Co.,
Inc. ("Merrill Lynch") entered into an agreement to contribute Merrill Lynch's
investment management business, Merrill Lynch Investment Managers, L.P. and
certain affiliates (including Fund Asset Management, L.P. and Merrill Lynch
Investment Managers International Limited), to BlackRock to create a new
independent company that will be one of the world's largest asset management
firms with nearly $1 trillion in assets under management (based on combined
assets under management as of December 31, 2005). The transaction is expected
to close in the third quarter of 2006, at which time the new company will
operate under the BlackRock name. If approved by the Fund's Board of Directors
and Fund shareholders, the combined company that results from the transaction
is expected to become the investment adviser of the Fund.
Portfolio Information as of February 28, 2006
Country of Percent of
Ten Largest Equity Holdings Origin Net Assets
National Australia Bank Ltd. Australia 2.2%
BHP Billiton Ltd. Australia 2.1
Commonwealth Bank of
Australia Australia 2.1
QBE Insurance Group Ltd Australia 2.0
LVMH Moet Hennessy Louis
Vuitton SA France 2.0
Zinifex Ltd. Australia 2.0
Infosys Technologies Ltd. India 2.0
Macquarie Bank Ltd. Australia 1.8
Cameco Corp. Canada 1.8
Hyundai Motor Co. South Korea 1.7
Percent of
Five Largest Industries Net Assets
Commercial Banks 10.3%
Energy Equipment & Services 6.2
Metals & Mining 6.2
Construction & Engineering 5.9
Oil, Gas & Consumable Fuels 5.3
For Fund compliance purposes, the Fund's industry classifications
refer to 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 industry
sub-classifications for reporting ease.
Percent of
Geographic Allocation Total
by Country Investments
United States 24.0%
Australia 21.2
Japan 15.4
India 11.4
Hong Kong 7.1
South Korea 3.6
France 3.0
South Africa 2.7
Canada 2.7
Switzerland 2.2
Sweden 2.2
Norway 1.5
Spain 1.1
China 0.7
Other* 1.2
* Includes portfolio holdings in short-term investments.
MERRILL LYNCH GLOBAL GROWTH FUND, INC. FEBRUARY 28, 2006
A Letter From the President
Dear Shareholder
Financial markets began 2006 with a return to volatility following a fairly
uninspiring 2005. For the six- and 12-month periods ended February 28, 2006,
most major market indexes landed in positive territory:
Total Returns as of February 28, 2006 6-month 12-month
U.S. equities (Standard & Poor's 500 Index) + 5.93% + 8.40%
Small cap U.S. equities (Russell 2000 Index) +10.24 +16.59
International equities (MSCI Europe, Australasia, Far East Index) +15.14 +17.41
Fixed income (Lehman Brothers Aggregate Bond Index) - 0.11 + 2.74
Tax-exempt fixed income (Lehman Brothers Municipal Bond Index) + 0.99 + 3.87
High yield bonds (Credit Suisse High Yield Index) + 1.89 + 3.27
The Federal Reserve Board (the Fed) increased interest rates 200 basis points
(2.00%) over the past 12 months, bringing the target federal funds rate to
4.5%. Notably, Ben Bernanke replaced Alan Greenspan as Fed chairman in
January, a month after the central bank removed the critical word "measured"
from the description of its rate-hiking program. Still, most observers expect
at least one more interest rate hike before the Fed pauses in its tightening
campaign.
U.S. economic growth, which came in at 4.1% in the third quarter of 2005, fell
to 1.6% in the fourth quarter. Growth is expected to reaccelerate in the first
quarter of 2006, although the economy is likely to feel some pressure in the
quarters ahead as the consumer sector seems to be softening. Capital spending
by businesses, however, appears relatively strong. Overall corporate health,
including strong company balance sheets, helped prompt robust dividend-
distribution, share-buyback and merger-and-acquisition activity in 2005, a
trend that has continued in 2006. This, as well as reasonably good company
earnings and low core inflation, has been supportive of U.S. stocks despite
the headwinds of rising interest rates and high energy prices. Many
international equity markets have fared even better, thanks in part to higher
economic growth rates and low inflation.
In the U.S. bond market, short-term interest rates continued to move higher as
longer-term interest rates advanced more moderately. After flattening
dramatically in 2005, the Treasury curve recently has been toying with bouts
of inversion, whereby short-term yields have surpassed long-term yields. At
period-end, the six-month Treasury bill offered the highest yield on the curve
at 4.74%.
Amid the uncertainty inherent in the financial markets, we encourage
you to review your goals periodically with your financial advisor and
to make portfolio changes, as needed. For timely "food for thought"
for investors, we also invite you to visit Shareholder magazine at
www.mlim.ml.com/shareholdermagazine. As always, we thank you for
trusting Merrill Lynch Investment Managers with your investment
assets, and we look forward to continuing to serve your investment
needs.
Sincerely,
(Robert C. Doll, Jr.)
Robert C. Doll, Jr.
President and Director
MERRILL LYNCH GLOBAL GROWTH FUND, INC. FEBRUARY 28, 2006
A Discussion With Your Fund's Portfolio Manager
The Fund significantly outperformed both its benchmark and its Lipper category
average for the six-month period, benefiting from favorable geographic and
sector weightings as well as good overall 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, 2006, Merrill Lynch Global Growth
Fund, Inc.'s Class A, Class B, Class C, Class I and Class R Shares had total
returns of +15.26%, +14.84%, +14.80%, +15.39% and +15.10%, respectively. The
Fund significantly outperformed the +10.29% return of the benchmark Morgan
Stanley Capital International (MSCI) World Index (in U.S. dollar terms) and
the +11.43% average return of the Lipper Global Multi-Cap Growth Funds
category for the same period. (Funds in this Lipper category invest in a
variety of market capitalization ranges without concentrating 75% of their
equity assets in any one market capitalization range over an extended period
of time. Global multi-cap funds typically have 25% to 75% of their assets
invested in companies both inside and outside the United States with market
capitalizations, on a three-year weighted basis, greater than the 500th-
largest company in the S&P/ Citigroup World Broad Market Index. Multi-cap
growth funds typically have an above-average price-to-cash flow ratio, price-
to-book ratio and three-year sales-per-share growth value compared to the
S&P/Citigroup Broad Market Index.)
The global equity, bond and commodity markets, as well as the major currency
relationships, confounded even the experts over the past six months. Few
forecasted that the Japanese equity market would provide the highest
investment returns among all of the major global equity markets in the second
half of 2005. We established a meaningful weighting in Japan at the end of
August 2005, which provided a +32.3% return on the Fund's average commitment
of 13.2% of net assets.
Even more beneficial to Fund performance during the six-month period were our
stock holdings in India, where our average investment of 7.4% of net assets
yielded a return of +45.3%. Investment team members Karen Uzzolino and Mike
Oberdorf contributed to our success in this area through their specialized
stock selection in this market. Stock selection in Australia by the same team
members yielded a return of +19.7% on an average commitment of 18.2% of net
assets during the six-month period.
The Fund also enjoyed positive returns from selected investments in the major
Asian markets. Overweight positions in the consumer discretionary, energy,
materials and industrials sectors, as well as above-average positions in
specific stocks in these sectors, benefited performance. Selected stocks in
the health care, consumer staples and information technology sectors also
proved most important in the Fund's outperformance. Top performers during the
period were Hyundai Motor Co. (South Korea), CSL Ltd. (Australia), Cameco
Corp. (Canada), Larsen & Toubro Ltd. (India), Leopalace21 Corp. (Japan),
Bharat Heavy Electricals Ltd. (India), Mizuho Financial Group, Inc. (Japan),
Tata Motors Ltd. (India), China Merchants Holdings (Hong Kong) and SINOPEC
Zhenhai Refining & Chemicals (China).
We were underweight relative to our benchmark in the information technology
sector, where we are focused on software services and systems companies
operating from their bases in India. This benefited performance during the
period. Positive contributors included Indian companies Cognizant Technology
Solutions Corp., Infosys Technologies Ltd., Tata Consultancy Services Ltd. and
Satyam Computer Services Ltd. Another positive contributor was the Fund's
principal holding in the semi-conductor manufacturing field, Samsung
Electronics Co., Ltd. in South Korea.
Also contributing to the Fund's positive absolute and relative results was our
substantial underweighting of the U.S. stock market. The Fund had an average
weighting of 25.8% of net assets in U.S. stocks, which was about 51% of the
MSCI World Index's weighting. However, stock selection in the U.S. market was
superior, as the average return on the stocks selected was +8.82%, compared to
+6.20% for the index's U.S. stocks.
The European markets, with the exception of France, provided above-average
returns during the period. However, we generally avoided investments in
European stocks given our concerns about the start of an uptrend in interest
rates by the European Central Bank. Additionally, there is no evidence of
major fiscal policy stimulus in any of the European governments. Corporate
leaders in a number of the most populous countries are positive about the new
controls they have over labor policy in their countries. In our view, this is
not likely to translate into an improvement in consumer or household spending
as wages and benefits are restrained by cutbacks in corporate programs and
spending.
MERRILL LYNCH GLOBAL GROWTH FUND, INC. FEBRUARY 28, 2006
What changes were made to the portfolio during the period?
We made no major changes in the structure of the portfolio during the period.
Our equity investments are focused on companies in the Asia-Pacific region,
where we expect above-average growth in revenue and profits. During the past
six months, a recovery in real consumer spending in Japan, as a result of
prior changes in the government's monetary and fiscal policies, added to the
regional growth in capital investment and consumer spending. Very high rates
of growth in India and China (that is, between 7% and 10% on an annualized
basis) are creating profitable business opportunities for companies in the
energy, materials, industrials and consumer goods sectors. The Fund's
investments are focused in these sectors and in the regional companies.
At the individual stock level, we reduced some positions as their valuations
and our total investment exposure increased. We also eliminated some minor
investments in view of disappointing changes in the companies' business
fundamentals.
How would you characterize the Fund's position at the close of the period?
At period-end, the Fund's investments in Australia, Japan, India, South Korea,
Hong Kong and China collectively accounted for just over 58% of net assets. We
believe these companies should benefit from continued strong economic growth
in China and India, where we are seeing above-average spending in the public
and private infrastructure and the emergence of new middle-class consumer
markets.
Japan's relatively large economy appears to be emerging from an almost 15-year
deflationary recession. The changes made by the Japanese government in recent
years to reduce household taxes and facilitate the intergenerational transfer
of wealth from savers to spenders appears to be working. Spending by younger
households on motor vehicles, housing and electronic goods is increasing at a
more rapid rate. Recent government reports show a meaningful rise in the
growth of the domestic economy, the abatement of declining prices, an increase
in domestic loan demand and increased hiring of younger workers by the largest
corporations. The start of a sustainable upward trend in the growth of the
Japanese economy at rates closer to that of other major economies would be a
welcome development.
Strong demand for energy, materials, industrials and consumer goods coming
from the Asia-Pacific region alone could sustain the upward trend in energy
and materials prices for the remainder of the decade. The Fund is overweighted
with diversified stock holdings in these industries, which could benefit from
the continuation of the current growth and development trends.
We are less optimistic about growth prospects in the United States and Europe.
The U.K. and Western European economies are struggling with relatively slow
employment growth, modest wage growth and increases in consumer spending that
are lagging historical norms. Recently, the European Central Bank decided to
begin increasing the bank rate and restricting the growth in bank liquidity.
Less-protective labor policies in some Western European countries are being
cheered by corporate leaders, but threaten the standard of living of major
segments of the population. We believe slower rates of real growth are likely
in Western Europe.
The Fund is positioned for a slowdown in U.S. economic growth, which most
likely will continue to be led by a deceleration in consumer spending on homes
and automobiles. The Fund's overweight position in the U.S. industrials and
materials sectors reflects our expectation that chemical and industrial
companies will benefit by taking global market share as a result of lowering
costs of manufacturing by shifting the base of operations to countries where
there are lower labor costs and reduced energy costs. Some U.S. companies are
experiencing strong and profitable growth in demand from private companies and
public sector organizations in China, India and other parts of Asia for
commercial aircraft, construction and mining equipment, electric power
generating equipment and other sophisticated industrial and commercial goods
and services.
Lawrence R. Fuller
Vice President and Portfolio Manager
March 9, 2006
After a distinguished 38-year career, Portfolio Manager Larry Fuller announced
his retirement from the investment management business, effective March 31,
2006. Mr. Fuller began his career in 1968. He Joined Merrill Lynch Investment
Managers (MLIM) in October 1992 and was Senior Portfolio Manager of Merrill
Lynch Global Growth Fund, Inc. since its inception in 1997. He also managed
several other related portfolios. Mr. Fuller has been a successful portfolio
manager highly regarded for his experience, insights and warmth. Thomas E.
Burke, the Fund's associate portfolio manager who has worked closely with Mr.
Fuller for 13 years, has become Portfolio Manager of the Fund, effective the
same date. Mr. Fuller's colleagues at MLIM join the Fund's Board of Directors
in wishing Mr. Fuller well in his retirement.
MERRILL LYNCH GLOBAL GROWTH FUND, INC. FEBRUARY 28, 2006
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. 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.
* Effective December 28, 2005, Class I Shares are no longer subject to any
front-end sales charge. Class I Shares bear no ongoing distribution or account
maintenace fees and are available only to eligible investors. Had the sales
charge been included, the Fund's Class I Shares' performance would have been
lower.
* 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. Prior to inception, Class R Share
performance results are those of Class I Shares (which have no distribution or
account maintenance fees) restated for Class R Share fees.
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 or exchange. 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.
Recent Performance Results
6-Month 12-Month Since Inception
As of February 28, 2006 Total Return Total Return Total Return
ML Global Growth Fund, Inc.--Class A Shares* +15.26% +20.37% +52.19%
ML Global Growth Fund, Inc.--Class B Shares* +14.84 +19.42 +42.95
ML Global Growth Fund, Inc.--Class C Shares* +14.80 +19.38 +42.51
ML Global Growth Fund, Inc.--Class I Shares* +15.39 +20.68 +55.37
ML Global Growth Fund, Inc.--Class R Shares* +15.10 +20.06 +50.63
MSCI World Index** +10.29 +13.25 +61.39
* 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 date is 10/31/97.
** 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.
MERRILL LYNCH GLOBAL GROWTH FUND, INC. FEBRUARY 28, 2006
Performance Data (concluded)
Average Annual Total Return
Return Without Return With
Sales Charge Sales Charge**
Class A Shares*
One Year Ended 2/28/06 +20.37% +14.05%
Five Years Ended 2/28/06 + 1.03 - 0.06
Inception (10/31/97) through 2/28/06 + 5.17 + 4.49
* Maximum sales charge is 5.25%.
** Assuming maximum sales charge.
Return Return
Without CDSC With CDSC**
Class B Shares*
One Year Ended 2/28/06 +19.42% +15.42%
Five Years Ended 2/28/06 + 0.24 - 0.16
Inception (10/31/97) through 2/28/06 + 4.38 + 4.38
* 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 2/28/06 +19.38% +18.38%
Five Years Ended 2/28/06 + 0.23 + 0.23
Inception (10/31/97) through 2/28/06 + 4.34 + 4.34
* Maximum contingent deferred sales charge is 1% and is reduced
to 0% after one year.
** Assuming payment of applicable contingent deferred sales
charge.
Class I Shares Return
One Year Ended 2/28/06 +20.68%
Five Years Ended 2/28/06 + 1.28
Inception (10/31/97)
through 2/28/06 + 5.43
Class R Shares Return
One Year Ended 2/28/06 +20.06%
Five Years Ended 2/28/06 + 0.99
Inception (10/31/97)
through 2/28/06 + 5.04
MERRILL LYNCH GLOBAL GROWTH FUND, INC. FEBRUARY 28, 2006
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 12b-1 fees, and other Fund expenses. The following
example (which is based on a hypothetical investment of $1,000 invested on
September 1, 2005 and held through February 28, 2006) 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, 2005
September 1, February 28, to February 28,
2005 2006 2006
Actual
Class A $1,000 $1,152.60 $ 7.05
Class B $1,000 $1,148.40 $11.93
Class C $1,000 $1,148.00 $11.61
Class I $1,000 $1,153.90 $ 6.03
Class R $1,000 $1,151.00 $ 8.69
Hypothetical (5% annual return before expenses)**
Class A $1,000 $1,018.25 $ 6.61
Class B $1,000 $1,013.69 $11.18
Class C $1,000 $1,013.98 $10.89
Class I $1,000 $1,019.19 $ 5.66
Class R $1,000 $1,016.71 $ 8.15
* For each class of the Fund, expenses are equal to the annualized expense ratio for the class
(1.32% for Class A, 2.24% for Class B, 2.18% for Class C, 1.13% for Class I and 1.63% 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, 2006
Schedule of Investments (in U.S. dollars)
Shares
Industry Common Stocks Held Value
Africa
South Africa--2.7%
Construction Materials--0.4%
Pretoria Portland Cement Co. Ltd. 33,000 $ 2,031,084
Food & Staples Retailing--0.4%
Massmart Holdings Ltd. 223,700 2,198,574
Food Products--0.3%
Tiger Brands Ltd. 70,656 1,752,299
Industrial Conglomerates--0.4%
Barloworld Ltd. 91,800 1,771,348
Metals & Mining--0.5%
Impala Platinum Holdings Ltd. 13,700 2,327,248
Specialty Retail--0.7%
Edgars Consolidated Stores Ltd. 302,900 1,652,367
JD Group Ltd. 133,100 1,978,579
--------------
3,630,946
Total Common Stocks in
Africa--2.7% 13,711,499
Europe
France--3.0%
Construction & Engineering--0.6%
Vinci SA 32,200 2,972,606
Textiles, Apparel & Luxury
Goods--2.0%
LVMH Moet Hennessy Louis Vuitton SA 115,400 10,484,063
Transportation
Infrastructure--0.4%
Autoroutes du Sud de la France 29,900 1,807,959
Total Common Stocks in France 15,264,628
Norway--1.4%
Construction & Engineering--1.4%
Aker Kvaerner ASA 91,000 7,350,768
Total Common Stocks in Norway 7,350,768
Spain--1.1%
Commercial Banks--0.8%
Banco Popular Espanol SA 306,800 4,115,508
Transportation
Infrastructure--0.3%
Cintra Concesiones de Infraestructuras
de Transporte SA 100,000 1,327,118
Total Common Stocks in Spain 5,442,626
Sweden--2.1%
Communications Equipment--1.0%
Telefonaktiebolaget LM Ericsson 1,461,600 4,976,919
Machinery--1.1%
SKF AB Class B 412,400 5,984,208
Total Common Stocks in Sweden 10,961,127
Shares
Industry Common Stocks Held Value
Europe (concluded)
Switzerland--2.2%
Commercial Services
& Supplies--0.4%
SGS SA 2,400 $ 2,215,681
Health Care Equipment
& Supplies--0.8%
Alcon, Inc. 36,900 4,249,404
Textiles, Apparel & Luxury
Goods--1.0%
The Swatch Group Ltd. Registered Shares 146,100 4,808,830
Total Common Stocks in Switzerland 11,273,915
Total Common Stocks in
Europe--9.8% 50,293,064
North America
Canada--2.6%
Diversified Financial Services--0.4%
TSX Group, Inc. 51,400 2,177,143
Energy Equipment & Services--0.4%
Ensign Resource Service Group 67,400 2,298,097
Oil, Gas & Consumable Fuels--1.8%
Cameco Corp. 245,400 9,111,253
Total Common Stocks in Canada 13,586,493
United States--23.5%
Aerospace & Defense--2.0%
Boeing Co. 69,000 5,015,610
Lockheed Martin Corp. 74,400 5,421,528
--------------
10,437,138
Biotechnology--0.6%
Genzyme Corp. (a) 45,700 3,168,838
Chemicals--0.9%
The Dow Chemical Co. 102,000 4,389,060
Commercial Banks--1.0%
Bank of America Corp. 112,900 5,176,465
Construction & Engineering--1.1%
Jacobs Engineering Group, Inc. (a) 64,800 5,555,952
Energy Equipment & Services--5.8%
Baker Hughes, Inc. 78,100 5,308,457
Grant Prideco, Inc. (a) 107,400 4,346,478
Halliburton Co. 71,600 4,868,800
National Oilwell Varco, Inc. (a) 72,200 4,395,536
Schlumberger Ltd. 48,300 5,554,500
Transocean, Inc. (a) 70,600 5,237,108
--------------
29,710,879
Health Care Providers
& Services--1.8%
Caremark Rx, Inc. (a) 86,800 4,318,300
WellPoint, Inc. (a) 60,900 4,676,511
--------------
8,994,811
Hotels, Restaurants & Leisure--1.1%
Starbucks Corp. (a) 153,300 5,567,856
Household Products--1.0%
Procter & Gamble Co. 81,300 4,872,309
MERRILL LYNCH GLOBAL GROWTH FUND, INC. FEBRUARY 28, 2006
Schedule of Investments (continued) (in U.S. dollars)
Shares
Industry Common Stocks Held Value
North America (concluded)
United States (concluded)
IT Services--1.1%
Cognizant Technology Solutions Corp. (a) 100,600 $ 5,795,566
Industrial Conglomerates--0.9%
3M Co. 59,900 4,408,041
Internet & Catalog Retail--0.8%
eBay, Inc. (a) 106,900 4,282,414
Internet Software & Services--0.8%
Yahoo!, Inc. (a) 120,900 3,876,054
Machinery--2.1%
Caterpillar, Inc. 83,800 6,124,104
ITT Industries, Inc. 92,000 4,830,000
--------------
10,954,104
Oil, Gas & Consumable Fuels--1.7%
ConocoPhillips 72,200 4,401,312
Valero Energy Corp. 84,600 4,550,634
--------------
8,951,946
Software--0.8%
Electronic Arts, Inc. (a) 80,400 4,178,388
Total Common Stocks in the
United States 120,319,821
Total Common Stocks in
North America--26.1% 133,906,314
Pacific Basin
Australia--20.7%
Biotechnology--1.0%
CSL Ltd. 135,100 5,268,770
Capital Markets--2.6%
Macquarie Bank Ltd. 193,900 9,175,825
Perpetual Trustees Australia Ltd. 80,700 4,058,561
--------------
13,234,386
Commercial Banks--4.2%
Commonwealth Bank of Australia 318,800 10,587,927
National Australia Bank Ltd. 410,300 11,141,517
--------------
21,729,444
Construction & Engineering--1.1%
Leighton Holdings Ltd. 425,700 5,739,124
Construction Materials--0.6%
Rinker Group Ltd. 221,200 2,907,389
Diversified Financial Services--0.5%
Australian Stock Exchange Ltd. 96,800 2,323,044
Health Care Equipment &
Supplies--0.8%
Cochlear Ltd. 111,400 4,041,220
IT Services--0.3%
Computershare Ltd. 321,800 1,608,866
Industrial Conglomerates--0.8%
Wesfarmers Ltd. 156,400 4,232,044
Insurance--2.0%
QBE Insurance Group Ltd. 686,000 10,498,438
Shares
Industry Common Stocks Held Value
Pacific Basin (continued)
Australia (concluded)
Media--1.7%
Publishing & Broadcasting Ltd. 692,100 $ 8,723,495
Metals & Mining--4.6%
BHP Billiton Ltd. 593,700 10,688,194
Energy Resources of Australia Ltd. 251,300 2,281,252
Zinifex Ltd. 1,833,300 10,424,254
--------------
23,393,700
Transportation
Infrastructure--0.5%
Transurban Group 501,800 2,650,536
Total Common Stocks in Australia 106,350,456
China--0.7%
Oil, Gas & Consumable
Fuels--0.7%
China Shenhua Energy Co. Ltd.
Class H (a) 2,509,000 3,786,409
Total Common Stocks in China 3,786,409
Hong Kong--7.0%
Communications
Equipment--1.0%
ZTE Corp. 1,377,600 5,130,548
Distributors--0.7%
China Resources Enterprise 1,655,000 3,619,118
Electric Utilities--1.6%
Cheung Kong Infrastructure
Holdings Ltd. 2,546,200 7,983,188
Marine--1.1%
NWS Holdings Ltd. 1,749,700 2,909,157
Orient Overseas International Ltd. 772,500 2,833,346
--------------
5,742,503
Real Estate--0.3%
Midland Holdings Ltd. 2,132,300 1,326,615
Transportation
Infrastructure--2.3%
COSCO Pacific Ltd. 2,399,000 5,050,121
China Merchants Holdings
International Co., Ltd. 2,403,000 6,790,606
--------------
11,840,727
Total Common Stocks in Hong Kong 35,642,699
India--11.2%
Auto Components--0.2%
Bharat Forge Ltd. 133,400 1,246,711
Automobiles--0.8%
Tata Motors Ltd. 218,700 3,995,145
Chemicals--0.5%
Reliance Industries Ltd. 162,200 2,580,077
Commercial Banks--0.2%
ICICI Bank Ltd. 68,318 940,353
Construction & Engineering--1.1%
Larsen & Toubro Ltd. 103,300 5,570,966
Construction Materials--0.1%
Ultra Tech Cement Ltd. 27,723 350,208
MERRILL LYNCH GLOBAL GROWTH FUND, INC. FEBRUARY 28, 2006
Schedule of Investments (continued) (in U.S. dollars)
Shares
Industry Common Stocks Held Value
Pacific Basin (continued)
India (concluded)
Diversified Financial
Services--0.0%
Reliance Capital Ltd. 8,110 $ 91,391
Electric Utilities--0.0%
Reliance Energy Ltd. 12,165 169,836
Electrical Equipment--0.8%
Bharat Heavy Electricals Ltd. 84,700 3,855,976
Household Products--0.9%
Hindustan Lever Ltd. 845,800 4,603,422
IT Services--3.7%
Infosys Technologies Ltd. 159,000 10,085,983
Satyam Computer Services Ltd. 327,100 5,664,867
Tata Consultancy Services Ltd. 77,500 2,951,569
--------------
18,702,419
Machinery--0.3%
Sterlite Industries India Ltd. 53,000 1,573,729
Metals & Mining--1.1%
Hindalco Industries Ltd. 1,120,000 3,857,144
Hindustan Zinc Ltd. 210,000 1,700,717
--------------
5,557,861
Oil, Gas & Consumable
Fuels--0.1%
Reliance Resource & Communication 162,200 580,330
Pharmaceuticals--0.9%
Cipla Ltd. 180,900 2,243,582
Sun Pharmaceuticals Industries Ltd. 137,200 2,394,741
--------------
4,638,323
Wireless Telecommunication
Services--0.5%
Bharti Tele-Ventures Ltd. (a) 343,700 2,798,711
Total Common Stocks in India 57,255,458
Japan--15.1%
Automobiles--1.1%
Isuzu Motors Ltd. 768,000 2,642,972
Toyota Motor Corp. 57,100 3,042,016
--------------
5,684,988
Capital Markets--0.3%
kabu.com Securities Co. Ltd. 550 1,361,140
Chemicals--0.6%
JSR Corp. 107,000 3,149,225
Commercial Banks--4.1%
Mitsubishi UFJ Financial Group, Inc. 500 7,419,189
Mizuho Financial Group, Inc. 900 7,169,760
Sumitomo Mitsui Financial Group, Inc. 600 6,548,876
--------------
21,137,825
Commercial Services
& Supplies--0.3%
Park24 Co. Ltd. 42,700 1,372,353
Construction &
Engineering--0.6%
Chiyoda Corp. 131,500 3,168,589
Shares
Industry Common Stocks Held Value
Pacific Basin (concluded)
Japan (concluded)
Electrical Equipment--1.1%
Matsushita Electric Works Ltd. 499,000 $ 5,809,519
Food & Staples Retailing--1.2%
Seven & I Holdings Co. Ltd. 150,000 6,132,068
Household Durables--1.8%
Matsushita Electric Industrial Co., Ltd. 285,500 6,000,270
Sekisui House Ltd. 217,000 3,297,707
--------------
9,297,977
Media--0.4%
Cyber Communications, Inc. (a) 700 2,193,865
Multiline Retail--0.4%
Daimaru, Inc. 140,000 1,881,567
Oil, Gas & Consumable
Fuels--1.0%
INPEX Corp. 300 2,874,145
Nippon Oil Corp. 301,000 2,281,000
--------------
5,155,145
Real Estate--0.9%
Leopalace21 Corp. 128,400 4,615,602
Specialty Retail--1.3%
Honeys Co. Ltd. 49,200 2,307,443
Yamada Denki Co., Ltd. 37,000 3,961,590
--------------
6,269,033
Total Common Stocks in Japan 77,228,896
South Korea--3.5%
Auto Components--0.3%
Hankook Tire Co. Ltd. 127,200 1,611,862
Automobiles--1.7%
Hyundai Motor Co. 105,200 8,940,910
Chemicals--0.6%
LG Chem Ltd. 63,800 3,201,202
Semiconductors & Semiconductor
Equipment--0.9%
Samsung Electronics Co., Ltd. 6,300 4,416,766
Total Common Stocks in South Korea 18,170,740
Total Common Stocks in the
Pacific Basin--58.2% 298,434,658
Total Common Stocks
(Cost--$393,364,535)--96.8% 496,345,535
Beneficial
Short-Term Securities Interest
Merrill Lynch Liquidity Series, LLC
Cash Sweep Series I, 4.42% (b)(c) $ 5,870,868 5,870,868
Total Short-Term Securities
(Cost--$5,870,868)--1.1% 5,870,868
Total Investments (Cost--$399,235,403*)--97.9% 502,216,403
Other Assets Less Liabilities--2.1% 10,758,906
--------------
Net Assets--100.0% $ 512,975,309
==============
MERRILL LYNCH GLOBAL GROWTH FUND, INC. FEBRUARY 28, 2006
Schedule of Investments (concluded) (in U.S. dollars)
* The cost and unrealized appreciation (depreciation) of investments
as of Februaury 28, 2006, as computed for federal income tax purposes,
were as follows:
Aggregate cost $ 399,276,114
================
Gross unrealized appreciation $ 108,277,703
Gross unrealized depreciation (5,337,414)
----------------
Net unrealized appreciation $ 102,940,289
================
(a) Non-income producing security.
(b) Investments in companies considered to be an affiliate of the Fund,
for purposes of 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 $ 2,330,408 $111,637
Merrill Lynch Liquidity Series, LLC
Money Market Series $(6,944,000) $ 1,410
(c) Variable rate security.
o For Fund compliance purposes, the Fund's industry classifications refer
to 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 industry sub-classifications for reporting
ease. Industries are shown as a percent of net assets.
o Forward foreign exchange contracts as of February 28, 2006 were as follows:
Foreign Currency Settlement Unrealized
Sold Date Depreciation
AUD 10,072,771 March 2006 $ (37,564)
-----------
Total Unrealized Depreciation on Forward Foreign Exchange
Contracts--Net (USD Commitment--$7,444,785) $ (37,564)
===========
o Currency Abbreviations:
AUD Australian Dollar
USD U.S. Dollar
See Notes to Financial Statements.
MERRILL LYNCH GLOBAL GROWTH FUND, INC. FEBRUARY 28, 2006
Statement of Assets and Liabilities
As of February 28, 2006
Assets
Investments in unaffiliated securities, at value (identified cost--$393,364,535) $ 496,345,535
Investments in affiliated securities, at value (identified cost--$5,870,868) 5,870,868
Foreign cash (cost--$550,330) 558,243
Receivables:
Securities sold $ 11,641,892
Dividends 1,065,561
Capital shares sold 709,335
Options written 56,381 13,473,169
---------------
Prepaid expenses and other assets 139,696
---------------
Total assets 516,387,511
---------------
Liabilities
Deferred foreign capital gain tax 1,042,890
Unrealized depreciation on forward foreign exchange contracts 37,564
Payables:
Capital shares redeemed 1,070,615
Securities purchased 363,489
Investment adviser 261,231
Other affiliates 247,962
Distributor 158,112 2,101,409
---------------
Accrued expenses and other liabilities 230,339
---------------
Total liabilities 3,412,202
---------------
Net Assets
Net assets $ 512,975,309
===============
Net Assets Consist of
Class A Shares of Common Stock, $.10 par value, 100,000,000 shares authorized $ 1,834,157
Class B Shares of Common Stock, $.10 par value, 300,000,000 shares authorized 782,514
Class C Shares of Common Stock, $.10 par value, 100,000,000 shares authorized 504,475
Class I Shares of Common Stock, $.10 par value, 100,000,000 shares authorized 1,155,962
Class R Shares of Common Stock, $.10 par value, 300,000,000 shares authorized 10,277
Paid-in capital in excess of par 908,857,989
Accumulated investment loss--net $ (494,073)
Accumulated realized capital losses--net (501,643,419)
Unrealized appreciation--net 101,967,427
---------------
Total accumulated losses--net (400,170,065)
---------------
Net Assets $ 512,975,309
===============
Net Asset Value
Class A--Based on net assets of $221,262,473 and 18,341,570 shares outstanding $ 12.06
===============
Class B--Based on net assets of $91,033,484 and 7,825,143 shares outstanding $ 11.63
===============
Class C--Based on net assets of $58,628,412 and 5,044,746 shares outstanding $ 11.62
===============
Class I--Based on net assets of $140,835,665 and 11,559,616 shares outstanding $ 12.18
===============
Class R--Based on net assets of $1,215,275 and 102,772 shares outstanding $ 11.82
===============
See Notes to Financial Statements.
MERRILL LYNCH GLOBAL GROWTH FUND, INC. FEBRUARY 28, 2006
Statement of Operations
For the Six Months Ended February 28, 2006
Investment Income
Dividends (net of $74,652 foreign withholding tax) $ 3,240,066
Interest from affiliates 111,637
Securities lending--net 1,410
---------------
Total income 3,353,113
---------------
Expenses
Investment advisory fees $ 1,810,504
Account maintenance and distribution fees--Class B 705,084
Account maintenance and distribution fees--Class C 278,350
Transfer agent fees--Class B 208,205
Account maintenance fees--Class A 203,102
Transfer agent fees--Class A 147,079
Transfer agent fees--Class I 131,055
Custodian fees 124,993
Accounting services 109,366
Transfer agent fees--Class C 72,055
Professional fees 38,047
Printing and shareholder reports 37,232
Directors' fees and expenses 36,336
Registration fees 32,067
Pricing fees 5,006
Account maintenance and distribution fees--Class R 2,473
Transfer agent fees--Class R 1,045
Other 20,068
---------------
Total expenses 3,962,067
---------------
Investment loss--net (608,954)
---------------
Realized & Unrealized Gain (Loss)--Net
Realized gain (loss) on:
Investments (including $178,783 foreign capital gain tax)--net 29,476,362
Options written--net 56,381
Foreign currency transactions--net (281,610) 29,251,133
---------------
Change in unrealized appreciation/depreciation on:
Investments (including $599,151 deferred foreign capital gain tax)--net 39,832,447
Foreign currency transactions--net 113,841 39,946,288
--------------- ---------------
Total realized and unrealized gain--net 69,197,421
---------------
Net Increase in Net Assets Resulting from Operations $ 68,588,467
===============
See Notes to Financial Statements.
MERRILL LYNCH GLOBAL GROWTH FUND, INC. FEBRUARY 28, 2006
Statements of Changes in Net Assets
For the Six For the
Months Ended Year Ended
February 28, August 31,
Increase (Decrease) in Net Assets: 2006 2005
Operations
Investment income (loss)--net $ (608,954) $ 4,840,743
Realized gain--net 29,251,133 90,531,489
Change in unrealized appreciation/depreciation--net 39,946,288 20,108,057
--------------- ---------------
Net increase in net assets resulting from operations 68,588,467 115,480,289
--------------- ---------------
Dividends to Shareholders
Investment income--net:
Class A (1,202,472) (18,378)
Class B (867,598) --
Class C (259,084) --
Class I (1,768,759) (328,352)
Class R (12,520) (303)
--------------- ---------------
Net decrease in net assets resulting from dividends to shareholders (4,110,433) (347,033)
--------------- ---------------
Capital Share Transactions
Net decrease in net assets derived from capital share transactions (27,483,270) (158,083,866)
--------------- ---------------
Redemption Fees
Redemption fees 11 32
--------------- ---------------
Net Assets
Total increase (decrease) in net assets 36,994,775 (42,950,578)
Beginning of period 475,980,534 518,931,112
--------------- ---------------
End of period* $ 512,975,309 $ 475,980,534
=============== ===============
* Accumulated investment loss/undistributed investment income--net $ (494,073) $ 4,225,314
=============== ===============
See Notes to Financial Statements.
MERRILL LYNCH GLOBAL GROWTH FUND, INC. FEBRUARY 28, 2006
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. 2006 2005 2004 2003 2002
Per Share Operating Performance
Net asset value, beginning of period $ 10.60 $ 8.47 $ 7.51 $ 6.95 $ 9.44
---------- ---------- ---------- ---------- ----------
Investment income (loss)--net*** .01 .13 .07 .03 (.02)
Realized and unrealized gain (loss)--net 1.59++++ 2.00++++ .89++++ .53 (2.47)
---------- ---------- ---------- ---------- ----------
Total from investment operations 1.60 2.13 .96 .56 (2.49)
---------- ---------- ---------- ---------- ----------
Less dividends from investment income--net (.14) --++ -- -- --
---------- ---------- ---------- ---------- ----------
Net asset value, end of period $ 12.06 $ 10.60 $ 8.47 $ 7.51 $ 6.95
========== ========== ========== ========== ==========
Total Investment Return**
Based on net asset value per share 15.26%+++ 25.17% 12.78% 8.06% (26.38%)
========== ========== ========== ========== ==========
Ratios to Average Net Assets
Expenses 1.32%* 1.38% 1.37% 1.42% 1.31%
========== ========== ========== ========== ==========
Investment income (loss)--net .13%* 1.35% .87% .40% (.18%)
========== ========== ========== ========== ==========
Supplemental Data
Net assets, end of period (in thousands) $ 221,262 $ 93,408 $ 98,519 $ 110,092 $ 130,310
========== ========== ========== ========== ==========
Portfolio turnover 37.70% 108.95% 71.91% 121.00% 105.73%
========== ========== ========== ========== ==========
* Annualized.
** Total investment return excludes the effects of sales charges.
*** Based on average shares outstanding.
++ Amount is less than $(.01) per share.
++++ Includes redemption fees, which are less than $.01 per share.
+++ Aggregate total investment return.
See Notes to Financial Statements.
MERRILL LYNCH GLOBAL GROWTH FUND, INC. FEBRUARY 28, 2006
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. 2006 2005 2004 2003 2002
Per Share Operating Performance
Net asset value, beginning of period $ 10.17 $ 8.19 $ 7.32 $ 6.83 $ 9.35
---------- ---------- ---------- ---------- ----------
Investment income (loss)--net*** (.05) .05 --++ (.03) (.08)
Realized and unrealized gain (loss)--net 1.55++++ 1.93++++ .87++++ .52 (2.44)
---------- ---------- ---------- ---------- ----------
Total from investment operations 1.50 1.98 .87 .49 (2.52)
---------- ---------- ---------- ---------- ----------
Less dividends from investment income--net (.04) -- -- -- --
---------- ---------- ---------- ---------- ----------
Net asset value, end of period $ 11.63 $ 10.17 $ 8.19 $ 7.32 $ 6.83
========== ========== ========== ========== ==========
Total Investment Return**
Based on net asset value per share 14.84%+++ 24.18% 11.89% 7.17% (26.95%)
========== ========== ========== ========== ==========
Ratios to Average Net Assets
Expenses 2.24%* 2.16% 2.16% 2.22% 2.09%
========== ========== ========== ========== ==========
Investment income (loss)--net (.93%)* .56% .05% (.43%) (.99%)
========== ========== ========== ========== ==========
Supplemental Data
Net assets, end of period (in thousands) $ 91,033 $ 212,353 $ 252,691 $ 327,483 $ 456,393
========== ========== ========== ========== ==========
Portfolio turnover 37.70% 108.95% 71.91% 121.00% 105.73%
========== ========== ========== ========== ==========
* Annualized.
** Total investment return excludes the effects of sales charges.
*** Based on average shares outstanding.
++ Amount is less than $.01 per share.
++++ Includes redemption fees, which are less than $.01 per share.
+++ Aggregate total investment return.
See Notes to Financial Statements.
MERRILL LYNCH GLOBAL GROWTH FUND, INC. FEBRUARY 28, 2006
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. 2006 2005 2004 2003 2002
Per Share Operating Performance
Net asset value, beginning of period $ 10.17 $ 8.19 $ 7.32 $ 6.83 $ 9.36
---------- ---------- ---------- ---------- ----------
Investment income (loss)--net*** (.04) .05 --++ (.03) (.08)
Realized and unrealized gain (loss)--net 1.54++++ 1.93++++ .87++++ .52 (2.45)
---------- ---------- ---------- ---------- ----------
Total from investment operations 1.50 1.98 .87 .49 (2.53)
---------- ---------- ---------- ---------- ----------
Less dividends from investment income--net (.05) -- -- -- --
---------- ---------- ---------- ---------- ----------
Net asset value, end of period $ 11.62 $ 10.17 $ 8.19 $ 7.32 $ 6.83
========== ========== ========== ========== ==========
Total Investment Return**
Based on net asset value per share 14.80%+++ 24.18% 11.89% 7.17% (27.03%)
========== ========== ========== ========== ==========
Ratios to Average Net Assets
Expenses 2.18%* 2.18% 2.18% 2.24% 2.11%
========== ========== ========== ========== ==========
Investment income (loss)--net (.79%)* .55% .05% (.43%) (.99%)
========== ========== ========== ========== ==========
Supplemental Data
Net assets, end of period (in thousands) $ 58,628 $ 55,507 $ 60,771 $ 72,249 $ 95,117
========== ========== ========== ========== ==========
Portfolio turnover 37.70% 108.95% 71.91% 121.00% 105.73%
========== ========== ========== ========== ==========
* Annualized.
** Total investment return excludes the effects of sales charges.
*** Based on average shares outstanding.
++ Amount is less than $.01 per share.
++++ Includes redemption fees, which are less than $.01 per share.
+++ Aggregate total investment return.
See Notes to Financial Statements.
MERRILL LYNCH GLOBAL GROWTH FUND, INC. FEBRUARY 28, 2006
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. 2006 2005 2004 2003 2002
Per Share Operating Performance
Net asset value, beginning of period $ 10.72 $ 8.56 $ 7.58 $ 7.00 $ 9.48
---------- ---------- ---------- ---------- ----------
Investment income--net*** .01 .16 .09 .04 --++
Realized and unrealized gain (loss)--net 1.62++++ 2.03++++ .89++++ .54 (2.48)
---------- ---------- ---------- ---------- ----------
Total from investment operations 1.63 2.19 .98 .58 (2.48)
---------- ---------- ---------- ---------- ----------
Less dividends from investment income--net (.17) (.03) -- -- --
---------- ---------- ---------- ---------- ----------
Net asset value, end of period $ 12.18 $ 10.72 $ 8.56 $ 7.58 $ 7.00
========== ========== ========== ========== ==========
Total Investment Return**
Based on net asset value per share 15.39%+++ 25.58% 12.93% 8.29% (26.16%)
========== ========== ========== ========== ==========
Ratios to Average Net Assets
Expenses 1.13%* 1.13% 1.13% 1.16% 1.06%
========== ========== ========== ========== ==========
Investment income--net .27%* 1.60% 1.05% .63% .04%
========== ========== ========== ========== ==========
Supplemental Data
Net assets, end of period (in thousands) $ 140,836 $ 114,007 $ 106,785 $ 133,096 $ 55,525
========== ========== ========== ========== ==========
Portfolio turnover 37.70% 108.95% 71.91% 121.00% 105.73%
========== ========== ========== ========== ==========
* Annualized.
** Total investment return excludes the effects of sales charges. Effective December 28, 2005,
Class I Shares are no longer subject to any front-end sales charge.
*** Based on average shares outstanding.
++ Amount is less than $.01 per share.
++++ Includes redemption fees, which are less than $.01 per share.
+++ Aggregate total investment return.
See Notes to Financial Statements.
MERRILL LYNCH GLOBAL GROWTH FUND, INC. FEBRUARY 28, 2006
Financial Highlights (concluded)
Class R
For the Period
For the Six January 3,
Months Ended For the Year 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. 2006 2005 2004 2003
Per Share Operating Performance
Net asset value, beginning of period $ 10.42 $ 8.36 $ 7.39 $ 6.50
------------ ------------ ------------ ------------
Investment income (loss)--net** (.01) .06 .08 .06
Realized and unrealized gain--net 1.56++++ 2.01++++ .89++++ .83
------------ ------------ ------------ ------------
Total from investment operations 1.55 2.07 .97 .89
------------ ------------ ------------ ------------
Less dividends from investment income--net (.15) (.01) -- --
------------ ------------ ------------ ------------
Net asset value, end of period $ 11.82 $ 10.42 $ 8.36 $ 7.39
============ ============ ============ ============
Total Investment Return
Based on net asset value per share 15.10%+++ 24.81% 13.13% 13.69%+++
============ ============ ============ ============
Ratios to Average Net Assets
Expenses 1.63%* 1.79% 1.56% 1.64%*
============ ============ ============ ============
Investment income (loss)--net (.23%)* .99% 1.36% .66%*
============ ============ ============ ============
Supplemental Data
Net assets, end of period (in thousands) $ 1,215 $ 705 $ 166 --+++++
============ ============ ============ ============
Portfolio turnover 37.70% 108.95% 71.91% 121.00%
============ ============ ============ ============
* Annualized.
** Based on average shares outstanding.
++ Commencement of operations.
++++ Includes redemption fees, which are less than $.01 per share.
+++ Aggregate total investment return.
+++++ Amount is less than $1,000.
See Notes to Financial Statements.
MERRILL LYNCH GLOBAL GROWTH FUND, INC. FEBRUARY 28, 2006
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.
Effective December 28, 2005, Class I Shares are no longer subject to any front-
end sales charge. Class A Shares 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 I Shares are sold only to certain eligible investors. 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
asked 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 asked 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
asked 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 based upon quoted fair
valuations received daily by the Fund from a pricing service or counterparty.
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, money market instruments and certain fixed income securities, 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, 2006
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. The Fund invests in foreign securities, which may involve a
number of risk factors and special considerations not present with investments
in securities of U.S. corporations.
(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. 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, 2006
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 Plans 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 Plans 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, 2006
Notes to Financial Statements (continued)
For the six months ended February 28, 2006, 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 $ 1,281 $ 16,220
Class I $ 37 $ 520
For the six months ended February 28, 2006, MLPF&S received contingent
deferred sales charges of $14,746 and $690 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,
2006, MLIM, LLC received $572 in securities lending agent fees.
In addition, MLPF&S received $28,758 in commissions on the execution of
portfolio security transactions for the Fund for the six months ended
February 28, 2006.
For the six months ended February 28, 2006, the Fund reimbursed MLIM $5,117
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, ML & Co., and/or MLIM, LLC.
In February 2006, ML & Co. and BlackRock, Inc. entered into an agreement to
merge ML & Co.'s investment management business, including MLIM, with the
investment management business of BlackRock, Inc. This transaction is expected
to close in the third quarter of 2006.
3. Investments:
Purchases and sales of investments, excluding short-term securities, for the
six months ended February 28, 2006 were $181,116,131 and $216,877,260,
respectively.
Transactions in call options written for the six months ended February 28,
2006 were as follows:
Number of Premiums
Contracts Received
Outstanding call options written,
beginning of period -- --
Options written 117 $ 56,381
Options expired (117) (56,381)
-------------- ---------------
Outstanding call options written,
end of period -- --
============= ===============
4. Capital Share Transactions:
Net decrease in net assets derived from capital share transactions was
$27,483,270 and $158,083,866 for the six months ended February 28, 2006 and
the year ended August 31, 2005, respectively.
Transactions in capital shares for each class were as follows:
Class A Shares for the
Six Months Ended Dollar
February 28, 2006 Shares Amount
Shares sold 349,344 $ 4,042,927
Automatic conversion of shares 10,943,335 117,485,882
Shares issued to shareholders
in reinvestment of dividends 98,020 1,038,037
-------------- ---------------
Total issued 11,390,699 122,566,846
Shares redeemed (1,862,648) (21,092,362)
-------------- ---------------
Net increase 9,528,051 $ 101,474,484
============== ===============
Class A Shares for the Year Dollar
Ended August 31, 2005 Shares Amount
Shares sold 447,117 $ 4,437,307
Automatic conversion of shares 1,143,256 11,239,018
Shares issued to shareholders
in reinvestment of dividends 1,629 15,927
-------------- ---------------
Total issued 1,592,002 15,692,252
Shares redeemed (4,414,664) (43,470,746)
-------------- ---------------
Net decrease (2,822,662) $ (27,778,494)
============== ===============
MERRILL LYNCH GLOBAL GROWTH FUND, INC. FEBRUARY 28, 2006
Notes to Financial Statements (continued)
Class B Shares for the
Six Months Ended Dollar
February 28, 2006 Shares Amount
Shares sold 292,113 $ 3,173,777
Shares issued to shareholders
in reinvestment of dividends 68,119 697,544
-------------- ---------------
Total issued 360,232 3,871,321
-------------- ---------------
Shares redeemed (2,086,127) (22,240,021)
Automatic conversion of shares (11,327,179) (117,485,882)
-------------- ---------------
Total redeemed (13,413,306) (139,725,903)
-------------- ---------------
Net decrease (13,053,074) $ (135,854,582)
============== ===============
Class B Shares for the Year Dollar
Ended August 31, 2005 Shares Amount
Shares sold 587,073 $ 5,539,334
-------------- ---------------
Shares redeemed (9,385,041) (88,290,410)
Automatic conversion of shares (1,186,494) (11,239,018)
-------------- ---------------
Total redeemed (10,571,535) (99,529,428)
-------------- ---------------
Net decrease (9,984,462) $ (93,990,094)
============== ===============
Class C Shares for the
Six Months Ended Dollar
February 28, 2006 Shares Amount
Shares sold 262,519 $ 2,965,475
Shares issued to shareholders
in reinvestment of dividends 20,950 214,314
-------------- ---------------
Total issued 283,469 3,179,789
Shares redeemed (697,855) (7,544,284)
-------------- ---------------
Net decrease (414,386) $ (4,364,495)
============== ===============
Class C Shares for the Year Dollar
Ended August 31, 2005 Shares Amount
Shares sold 153,023 $ 1,456,895
Shares redeemed (2,117,704) (20,000,455)
-------------- ---------------
Net decrease (1,964,681) $ (18,543,560)
============== ===============
Class I Shares for the
Six Months Ended Dollar
February 28, 2006 Shares Amount
Shares sold 2,169,404 $ 25,182,433
Shares issued to shareholders
in reinvestment of dividends 150,886 1,611,469
-------------- ---------------
Total issued 2,320,290 26,793,902
Shares redeemed (1,396,985) (15,914,924)
-------------- ---------------
Net increase 923,305 $ 10,878,978
============== ===============
Class I Shares for the Year Dollar
Ended August 31, 2005 Shares Amount
Shares sold 1,960,452 $ 19,328,613
Shares issued to shareholders
in reinvestment of dividends 30,133 297,417
-------------- ---------------
Total issued 1,990,585 19,626,030
Shares redeemed (3,824,180) (37,876,778)
-------------- ---------------
Net decrease (1,833,595) $ (18,250,748)
============== ===============
Class R Shares for the
Six Months Ended Dollar
February 28, 2006 Shares Amount
Shares sold 41,254 $ 453,164
Shares issued to shareholders
in reinvestment of dividends 1,205 12,520
-------------- ---------------
Total issued 42,459 465,684
Shares redeemed (7,400) (83,339)
-------------- ---------------
Net increase 35,059 $ 382,345
============== ===============
Class R Shares for the Year Dollar
Ended August 31, 2005 Shares Amount
Shares sold 67,626 $ 670,119
Shares issued to shareholders
in reinvestment of dividends 32 303
-------------- ---------------
Total issued 67,658 670,422
Shares redeemed (19,765) (191,392)
-------------- ---------------
Net increase 47,893 $ 479,030
============== ===============
The Fund generally 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, 2006. On November 23, 2005
the credit agreement was renewed for one year under substantially the same
terms.
MERRILL LYNCH GLOBAL GROWTH FUND, INC. FEBRUARY 28, 2006
Notes to Financial Statements (concluded)
6. Capital Loss Carryforward:
On August 31, 2005, the Fund had a net capital loss carryforward of
$530,853,842, of which $11,892,408 expires in 2008, $3,964,136 expires in
2009, $162,448,399 expires in 2010 and $352,548,899 expires in 2011. This
amount will be available to offset like amounts of any future taxable gains.
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
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
MERRILL LYNCH GLOBAL GROWTH FUND, INC. FEBRUARY 28, 2006
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.
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, 2006
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 20, 2006
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 20, 2006
By: /s/ Donald C. Burke
---------------------------
Donald C. Burke,
Chief Financial Officer of
Merrill Lynch Global Growth Fund, Inc.
Date: April 20, 2006