UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM N-Q
QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED
MANAGEMENT INVESTMENT COMPANY
Investment
Company Act file number
|
811-21583
|
|
|
CLOUGH
GLOBAL ALLOCATION FUND
|
(Exact name of registrant as specified in charter)
|
|
1290 Broadway, Suite 1100, Denver, Colorado
|
|
80203
|
(Address of principal executive offices)
|
|
(Zip code)
|
|
Erin Douglas
Clough Global Allocation Fund
1290 Broadway, Suite 1100
Denver, Colorado 80203
|
(Name and address of agent for service)
|
|
Registrants
telephone number, including area code:
|
(303)
623-2577
|
|
|
Date of
fiscal year end:
|
March 31
|
|
|
|
|
Date of
reporting period:
|
December 31,
2009
|
|
|
|
|
|
|
|
|
Item 1
Schedule of Investments.
Clough
Global Allocation Fund
STATEMENT
OF INVESTMENTS
December 31,
2009 (Unaudited)
|
|
Shares
|
|
Value
|
|
COMMON STOCKS 112.63%
|
|
|
|
|
|
Consumer/Retail 14.47%
|
|
|
|
|
|
American Axle & Manufacturing Holdings, Inc.
(a)
|
|
72,800
|
|
$
|
583,856
|
|
Anta Sports Products, Ltd.
|
|
482,000
|
|
716,155
|
|
ArvinMeritor, Inc.
(a)
|
|
33,000
|
|
368,940
|
|
Belle International Holdings, Ltd.
|
|
78,500
|
|
91,729
|
|
Best Buy Co., Inc.
|
|
36,400
|
|
1,436,344
|
|
China Dongxiang Group Co.
|
|
1,196,000
|
|
925,529
|
|
China Lilang, Ltd.
(a)
|
|
692,000
|
|
481,956
|
|
Compagnie Generale des Etablissements Michelin
|
|
18,306
|
|
1,406,075
|
|
Cooper Tire & Rubber Co.
|
|
14,700
|
|
294,735
|
|
Deere & Co.
|
|
12,300
|
|
665,307
|
|
Delta Dunia Makmur Tbk PT
(a)
|
|
1,315,000
|
|
236,546
|
|
Federal - Mogul Corp.
(a)
|
|
2,663
|
|
46,070
|
|
Ford Motor Co.
(a)
|
|
231,919
|
|
2,319,190
|
|
The Goodyear Tire & Rubber Co.
(a)
|
|
223,607
|
|
3,152,859
|
|
Jardine Strategic Holdings, Ltd.
|
|
21,295
|
|
374,792
|
|
JOS A Bank Clothiers, Inc.
(a)
|
|
18,500
|
|
780,515
|
|
Kraft Foods, Inc.
|
|
32,700
|
|
888,786
|
|
Little Sheep Group, Ltd.
(b)
|
|
59,000
|
|
32,721
|
|
New World Department Store China, Ltd.
|
|
104,700
|
|
96,012
|
|
Owens-Illinois, Inc.
(a)
|
|
20,100
|
|
660,687
|
|
PCD Stores, Ltd.
(a)(b)
|
|
1,206,000
|
|
468,189
|
|
Ports Design, Ltd.
|
|
490,400
|
|
1,524,317
|
|
Regal Hotels International Holdings, Ltd.
|
|
374,390
|
|
156,451
|
|
Shanghai Industrial Holdings, Ltd.
|
|
159,300
|
|
814,642
|
|
Shenguan Holdings Group, Ltd.
(a)
|
|
71,000
|
|
64,650
|
|
Shiseido Co., Ltd.
|
|
13,300
|
|
254,333
|
|
Sinopharm Group Co.
(a)
|
|
21,900
|
|
77,817
|
|
Starwood Hotels & Resorts
Worldwide, Inc.
|
|
30,600
|
|
1,119,042
|
|
Tenneco, Inc.
(a)
|
|
153,160
|
|
2,715,527
|
|
TJX Cos, Inc.
|
|
13,600
|
|
497,080
|
|
Toshiba Corp.
(a)
|
|
196,000
|
|
1,075,385
|
|
TRW Automotive Holdings Corp.
(a)
|
|
39,600
|
|
945,648
|
|
Wal-Mart Stores, Inc.
|
|
12,000
|
|
641,400
|
|
|
|
|
|
25,913,285
|
|
|
|
|
|
|
|
Energy 25.18%
|
|
|
|
|
|
Exploration &
Production 16.87%
|
|
|
|
|
|
Anadarko Petroleum Corp.
|
|
45,032
|
|
2,810,897
|
|
Cabot Oil & Gas Corp.
|
|
15,900
|
|
693,081
|
|
EDP - Energias do
Brasil S.A.(b)
|
|
15,100
|
|
290,985
|
|
EOG Resources, Inc.
|
|
9,200
|
|
895,160
|
|
Exxon Mobil Corp.
|
|
73,800
|
|
5,032,422
|
|
Halliburton Co.
|
|
63,000
|
|
1,895,670
|
|
InterOil Corp.
(a)
|
|
68,575
|
|
5,267,246
|
|
Newfield Exploration Co.
(a)
|
|
19,600
|
|
945,308
|
|
Noble Energy, Inc.
|
|
27,259
|
|
1,941,386
|
|
Occidental Petroleum Corp.
|
|
36,800
|
|
2,993,680
|
|
PetroHawk Energy Corp.
(a)
|
|
60,400
|
|
1,448,996
|
|
Petroleo Brasileiro
S.A. - ADR
|
|
25,800
|
|
1,230,144
|
|
Petroleo Brasileiro
S.A. - Sponsored ADR
|
|
33,030
|
|
1,400,142
|
|
Plains Exploration & Production Co.
(a)
|
|
37,866
|
|
1,047,374
|
|
Southwestern Energy Co.
(a)
|
|
24,992
|
|
1,204,614
|
|
Ultra Petroleum Corp.
(a)
|
|
22,200
|
|
1,106,892
|
|
|
|
|
|
30,203,997
|
|
|
|
|
|
|
|
|
Oil Services and Drillers 7.87%
|
|
|
|
|
|
Calfrac Well Services, Ltd.
|
|
19,200
|
|
382,770
|
|
Cameron International Corp.
(a)
|
|
41,100
|
|
1,717,980
|
|
Diamond Offshore Drilling, Inc.
|
|
16,600
|
|
1,633,772
|
|
Hess Corp.
|
|
17,800
|
|
1,076,900
|
|
Oceaneering International, Inc.
(a)
|
|
18,680
|
|
1,093,154
|
|
Schlumberger, Ltd.
|
|
29,700
|
|
1,933,173
|
|
Suncor Energy, Inc.
|
|
49,182
|
|
1,736,616
|
|
Superior Well Services, Inc.
(a)
|
|
40,362
|
|
575,562
|
|
Transocean, Inc.
(a)
|
|
37,899
|
|
3,138,037
|
|
Trican Well Service, Ltd.
|
|
24,600
|
|
330,713
|
|
Weatherford International, Ltd.
(a)
|
|
11,083
|
|
198,497
|
|
Willbros Group, Inc.
(a)
|
|
16,694
|
|
281,628
|
|
|
|
|
|
14,098,802
|
|
Pipelines 0.41%
|
|
|
|
|
|
Plains All American Pipeline LP
|
|
13,800
|
|
729,330
|
|
|
|
|
|
|
|
Tankers 0.03%
|
|
|
|
|
|
Golar LNG, Ltd.
(a)
|
|
3,654
|
|
46,844
|
|
|
|
|
|
|
|
TOTAL ENERGY
|
|
|
|
45,078,973
|
|
|
|
|
|
|
|
Finance 12.56%
|
|
|
|
|
|
Banks 9.63%
|
|
|
|
|
|
Banco Bradesco S.A. - ADR
|
|
32,100
|
|
702,027
|
|
Bangkok Bank PLC
|
|
40,800
|
|
141,956
|
|
Bank Mandiri Tbk PT
|
|
2,660,000
|
|
1,330,708
|
|
Bank of America Corp.
|
|
228,500
|
|
3,441,210
|
|
BlackRock Kelso Capital Corp.
|
|
105,700
|
|
900,564
|
|
BOC Hong Kong Holdings, Ltd.
|
|
702,000
|
|
1,593,520
|
|
Citigroup, Inc.
|
|
598,522
|
|
1,981,108
|
|
Indochina Capital Vietnam Holdings, Ltd.
(a)
|
|
24,452
|
|
89,861
|
|
Itau Unibanco Holding S.A. - ADR
|
|
63,440
|
|
1,448,969
|
|
Kasikornbank PLC
|
|
129,000
|
|
328,884
|
|
Mizuho Financial Group, Inc.
|
|
346,800
|
|
618,122
|
|
Nomura Holdings, Inc.
|
|
124,600
|
|
911,071
|
|
PennantPark Investment Corp.
|
|
177,530
|
|
1,583,568
|
|
Public Bank BHD
|
|
158,491
|
|
523,057
|
|
Siam Commercial Bank PCL
|
|
230,000
|
|
598,455
|
|
State Street Corp.
|
|
24,200
|
|
1,053,668
|
|
|
|
|
|
17,246,748
|
|
Non-Bank 2.93%
|
|
|
|
|
|
Apollo Investment Corp.
|
|
257,789
|
|
2,456,729
|
|
Ares Capital Corp.
|
|
149,524
|
|
1,861,574
|
|
Lender Processing Services, Inc.
|
|
13,800
|
|
561,108
|
|
Maiden Holdings, Ltd.
(b)
|
|
23,900
|
|
174,948
|
|
T&D Holdings, Inc.
|
|
9,000
|
|
183,508
|
|
|
|
|
|
5,237,867
|
|
|
|
|
|
|
|
TOTAL FINANCE
|
|
|
|
22,484,615
|
|
|
|
|
|
|
|
Gold/Metals 1.74%
|
|
|
|
|
|
Anglo American PLC - ADR
(a)
|
|
18,134
|
|
393,145
|
|
Anglo Platinum, Ltd.
(a)
|
|
11,200
|
|
1,202,710
|
|
Cameco Corp.
|
|
3,898
|
|
125,399
|
|
Kinross Gold Corp.
|
|
16,000
|
|
294,400
|
|
Lonmin PLC
(a)
|
|
34,800
|
|
1,101,131
|
|
|
|
|
|
3,116,785
|
|
Health Care 0.90%
|
|
|
|
|
|
BioMarin Pharmaceutical, Inc.
(a)
|
|
22,827
|
|
429,376
|
|
BioSphere Medical, Inc.
(a)
|
|
182,703
|
|
500,606
|
|
BioSphere Medical, Inc.
(a)(c)
|
|
50,000
|
|
137,000
|
|
Fleury S.A.
(a)
|
|
9,100
|
|
96,122
|
|
Genzyme Corp.
(a)
|
|
5,300
|
|
259,753
|
|
Molecular Insight Pharmaceuticals, Inc.
(a)
|
|
80,200
|
|
180,450
|
|
|
|
|
|
1,603,307
|
|
Industrial 11.27%
|
|
|
|
|
|
Aegean Marine Petroleum Network, Inc.
|
|
57,500
|
|
1,580,100
|
|
Bakrie Sumatera Plantations Tbk PT
|
|
1,527,000
|
|
94,269
|
|
BE Aerospace, Inc.
(a)
|
|
132,600
|
|
3,116,100
|
|
BorgWarner, Inc.
|
|
44,500
|
|
1,478,290
|
|
Bumi Resources Tbk PT
|
|
1,027,000
|
|
265,085
|
|
Chicago Bridge & Iron Co.
(a)
|
|
95,479
|
|
1,930,585
|
|
China South City Holdings, Ltd.
(a)(b)
|
|
1,178,000
|
|
217,265
|
|
Crown Holdings, Inc.
(a)
|
|
45,100
|
|
1,153,658
|
|
Cummins, Inc.
|
|
17,700
|
|
811,722
|
|
Fluor Corp.
|
|
12,200
|
|
549,488
|
|
Foster Wheeler, Ltd.
(a)
|
|
76,000
|
|
2,237,440
|
|
Fosun International, Ltd.
|
|
8,000
|
|
5,592
|
|
General Cable Corp.
(a)
|
|
75,700
|
|
2,227,094
|
|
Hitachi, Ltd.
(a)
|
|
426,500
|
|
1,300,542
|
|
ITOCHU Corp.
|
|
38,000
|
|
278,263
|
|
JSR Corp.
|
|
14,200
|
|
286,638
|
|
Kingboard Chemical Holdings, Ltd.
|
|
41,980
|
|
166,763
|
|
Matrix Service Co.
(a)
|
|
397
|
|
4,228
|
|
McDermott International, Inc.
(a)
|
|
74,751
|
|
1,794,772
|
|
Metabolix, Inc.
(a)
|
|
29,400
|
|
325,458
|
|
Solutia, Inc.
(a)
|
|
16,346
|
|
207,594
|
|
Weichai Power Co., Ltd.
|
|
19,500
|
|
157,692
|
|
|
|
|
|
20,188,638
|
|
Insurance 9.68%
|
|
|
|
|
|
Aflac, Inc.
|
|
31,400
|
|
1,452,250
|
|
Arch Capital Group, Ltd.
(a)
|
|
4,900
|
|
350,595
|
|
China Pacific Insurance Group Co., Ltd.
(a)(b)
|
|
97,000
|
|
386,579
|
|
Everest Re Group, Ltd.
|
|
8,900
|
|
762,552
|
|
Fidelity National Financial, Inc.
|
|
193,203
|
|
2,600,512
|
|
Genworth Financial, Inc.
(a)
|
|
82,615
|
|
937,680
|
|
Lincoln National Corp.
|
|
102,688
|
|
2,554,878
|
|
Loews Corp.
|
|
85,400
|
|
3,104,290
|
|
Montpelier Re Holdings, Ltd.
|
|
62,800
|
|
1,087,696
|
|
RenaissanceRe Holdings, Ltd.
|
|
13,500
|
|
717,525
|
|
Torchmark Corp.
|
|
18,400
|
|
808,680
|
|
The Travelers Cos., Inc.
|
|
41,900
|
|
2,089,134
|
|
XL Capital, Ltd.
|
|
26,800
|
|
491,244
|
|
|
|
|
|
17,343,615
|
|
Real Estate 1.00%
|
|
|
|
|
|
Great Eagle Holdings, Ltd.
|
|
219,080
|
|
570,771
|
|
Italian-Thai Development PLC
(a)
|
|
2,088,000
|
|
184,125
|
|
Kerry Properties, Ltd.
|
|
137,072
|
|
698,319
|
|
Mingfa Group International Co., Ltd.
(a)(b)
|
|
579,100
|
|
166,558
|
|
YNH Property BHD
(a)
|
|
380,059
|
|
169,828
|
|
|
|
|
|
1,789,601
|
|
Real Estate Investment Trusts
(REITs) 8.49%
|
|
|
|
|
|
Annaly Capital Management, Inc.
|
|
293,200
|
|
5,087,020
|
|
Anworth Mortgage Asset Corp.
|
|
160,614
|
|
1,124,298
|
|
Apollo Commercial Real Estate Finance, Inc.
(a)
|
|
50,100
|
|
901,299
|
|
Capstead Mortgage Corp.
|
|
58,700
|
|
801,255
|
|
Chimera Investment Corp.
|
|
165,632
|
|
642,652
|
|
Hatteras Financial Corp.
|
|
98,400
|
|
2,751,264
|
|
Hatteras Financial Corp.
(b)
|
|
50,300
|
|
1,406,388
|
|
Host Hotels & Resorts, Inc.
(a)
|
|
127,335
|
|
1,486,000
|
|
MFA Financial, Inc.
|
|
136,200
|
|
1,001,070
|
|
Regal Real Estate Investment Trust
|
|
37,439
|
|
7,967
|
|
|
|
|
|
15,209,213
|
|
Technology &
Communications 21.00%
|
|
|
|
|
|
Advanced Semiconductor Engineering, Inc.
|
|
307,000
|
|
276,910
|
|
AOL, Inc.
(a)
|
|
2,381
|
|
55,430
|
|
Arrow Electronics, Inc.
(a)
|
|
47,800
|
|
1,415,358
|
|
Avnet, Inc.
(a)
|
|
27,200
|
|
820,352
|
|
Centron Telecom International Holdings, Ltd.
(a)
|
|
238,000
|
|
71,522
|
|
China Mobile, Ltd. - ADR
|
|
8,200
|
|
380,726
|
|
China Telecom Corp., Ltd.
|
|
688,000
|
|
287,502
|
|
Chunghwa Telecom Co., Ltd. - ADR
|
|
115,934
|
|
2,152,894
|
|
Cisco Systems, Inc.
(a)
|
|
177,000
|
|
4,237,380
|
|
CommScope, Inc.
(a)
|
|
9,500
|
|
252,035
|
|
Dell, Inc.
(a)
|
|
34,600
|
|
496,856
|
|
Hewlett-Packard Co.
|
|
33,600
|
|
1,730,736
|
|
Honeywell International, Inc.
|
|
87,800
|
|
3,441,760
|
|
Hynix Semiconductor, Inc.
(a)
|
|
8,500
|
|
168,982
|
|
Intel Corp.
|
|
65,200
|
|
1,330,080
|
|
LG Electronics, Inc.
(a)
|
|
2,736
|
|
285,471
|
|
Magal Security Systems, Ltd.
(a)
|
|
76,443
|
|
281,310
|
|
Microsoft Corp.
|
|
163,242
|
|
4,977,249
|
|
National Semiconductor Corp.
|
|
45,600
|
|
700,416
|
|
Net Servicos de Comunicacao S.A. - ADR
|
|
91,234
|
|
1,234,396
|
|
NII Holdings, Inc.
(a)
|
|
17,100
|
|
574,218
|
|
Oracle Corp.
|
|
114,500
|
|
2,809,830
|
|
Qualcomm, Inc.
|
|
88,200
|
|
4,080,132
|
|
Samsung Electronics Co., Ltd.
|
|
833
|
|
571,560
|
|
Seagate Technology
|
|
126,533
|
|
2,301,635
|
|
Siliconware Precision Industries Co.
|
|
192,000
|
|
260,222
|
|
Symantec Corp.
(a)
|
|
82,800
|
|
1,481,292
|
|
Time Warner, Inc.
|
|
26,200
|
|
763,468
|
|
Zhuzhou CSR Times Electric Co., Ltd.
|
|
79,000
|
|
162,006
|
|
|
|
|
|
37,601,728
|
|
Transportation 2.60%
|
|
|
|
|
|
Bombardier, Inc.
|
|
178,600
|
|
819,697
|
|
Gol Linhas Aereas
Inteligentes S.A. - ADR
|
|
98,945
|
|
1,518,806
|
|
Localiza Rent A Car S.A.
|
|
57,400
|
|
636,972
|
|
Santos Brasil Participacoes S.A.
(a)
|
|
60,000
|
|
603,101
|
|
TAM S.A. - ADR
(a)
|
|
48,683
|
|
1,081,736
|
|
|
|
|
|
4,660,312
|
|
Utilities 3.74%
|
|
|
|
|
|
DPL, Inc.
|
|
28,900
|
|
797,640
|
|
Enbridge, Inc.
|
|
14,400
|
|
669,572
|
|
FirstEnergy Corp.
|
|
7,000
|
|
325,150
|
|
KBR, Inc.
|
|
73,000
|
|
1,387,000
|
|
Quanta Services, Inc.
(a)
|
|
169,013
|
|
3,522,231
|
|
|
|
|
|
6,701,593
|
|
TOTAL
COMMON STOCKS
(Cost $169,485,956)
|
|
|
|
201,691,665
|
|
|
|
|
|
|
|
EXCHANGE TRADED FUNDS 5.08%
|
|
|
|
|
|
iShares iBoxx $ High Yield Corporate Bond Fund
|
|
32,701
|
|
2,872,456
|
|
SPDR Gold Shares
(a)
|
|
58,100
|
|
6,234,711
|
|
|
|
|
|
|
|
TOTAL
EXCHANGE TRADED FUNDS
(Cost $7,473,504)
|
|
|
|
9,107,167
|
|
|
|
|
|
|
|
PREFERRED STOCKS 0.17%
|
|
|
|
|
|
Bank of America Corp.
|
|
|
|
|
|
10.000%
|
|
20,400
|
|
304,368
|
|
|
|
|
|
|
|
TOTAL
PREFERRED STOCKS
(Cost $306,000)
|
|
|
|
304,368
|
|
Description and
|
|
Coupon
|
|
Principal
|
|
|
|
Maturity Date
|
|
Rate
|
|
Amount
|
|
Value
|
|
CORPORATE BONDS 25.41%
|
|
|
|
|
|
|
|
ACE INA Holdings, Inc.
|
|
|
|
|
|
|
|
02/15/2017
|
|
5.700
|
%
|
$
|
200,000
|
|
212,568
|
|
03/15/2018
|
|
5.800
|
%
|
375,000
|
|
399,674
|
|
Alliant Techsystems, Inc.
|
|
|
|
|
|
|
|
04/01/2016
|
|
6.750
|
%
|
575,000
|
|
572,125
|
|
Allstate Life Global Funding Trusts
|
|
|
|
|
|
|
|
04/30/2013
|
|
5.375
|
%
|
525,000
|
|
560,851
|
|
Anadarko Petroleum
Corp.
|
|
|
|
|
|
|
|
09/15/2016
|
|
5.950
|
%
|
625,000
|
|
676,998
|
|
Analog
Devices, Inc.
|
|
|
|
|
|
|
|
07/01/2014
|
|
5.000
|
%
|
350,000
|
|
365,483
|
|
Aon Corp.
|
|
|
|
|
|
|
|
12/14/2012
|
|
7.375
|
%
|
365,000
|
|
399,266
|
|
Apache Corp.
|
|
|
|
|
|
|
|
09/15/2013
|
|
6.000
|
%
|
600,000
|
|
664,466
|
|
Arrow Electronics, Inc.
|
|
|
|
|
|
|
|
04/01/2020
|
|
6.000
|
%
|
250,000
|
|
247,808
|
|
AT&T, Inc.
|
|
|
|
|
|
|
|
02/15/2019
|
|
5.800
|
%
|
525,000
|
|
560,624
|
|
Ball Corp.
|
|
|
|
|
|
|
|
03/15/2018
|
|
6.625
|
%
|
650,000
|
|
645,125
|
|
Bank of America Corp.
|
|
|
|
|
|
|
|
12/01/2017
|
|
5.750
|
%
|
900,000
|
|
923,072
|
|
BE Aerospace, Inc.
|
|
|
|
|
|
|
|
07/01/2018
|
|
8.500
|
%
|
525,000
|
|
557,812
|
|
The Boeing Co.
|
|
|
|
|
|
|
|
03/15/2014
|
|
5.000
|
%
|
250,000
|
|
269,393
|
|
Bombardier, Inc.
|
|
|
|
|
|
|
|
05/01/2014(b)
|
|
6.300
|
%
|
650,000
|
|
646,750
|
|
BorgWarner, Inc.
|
|
|
|
|
|
|
|
10/01/2019
|
|
8.000
|
%
|
400,000
|
|
404,361
|
|
Bottling Group LLC
|
|
|
|
|
|
|
|
01/15/2019
|
|
5.125
|
%
|
600,000
|
|
624,619
|
|
Burlington Northern Santa Fe Corp.
|
|
|
|
|
|
|
|
05/01/2017
|
|
5.650
|
%
|
725,000
|
|
772,835
|
|
Chubb Corp.
|
|
|
|
|
|
|
|
11/15/2011
|
|
6.000
|
%
|
550,000
|
|
591,142
|
|
Cisco Systems, Inc.
|
|
|
|
|
|
|
|
02/15/2019
|
|
4.950
|
%
|
500,000
|
|
513,441
|
|
CITIC Resources Holdings, Ltd.
|
|
|
|
|
|
|
|
05/15/2014(d)
|
|
6.750
|
%
|
150,000
|
|
147,375
|
|
|
|
|
|
|
|
|
|
|
The Coca-Cola Co.
|
|
|
|
|
|
|
|
03/15/2014
|
|
3.625
|
%
|
260,000
|
|
268,264
|
|
Coca-Cola Enterprises, Inc.
|
|
|
|
|
|
|
|
03/01/2015
|
|
4.250
|
%
|
600,000
|
|
630,979
|
|
Computer Sciences Corp.
|
|
|
|
|
|
|
|
03/15/2018
(b)
|
|
6.500
|
%
|
400,000
|
|
437,218
|
|
The Connecticut Light & Power Co.
|
|
|
|
|
|
|
|
Series 09-A, 02/01/2019
|
|
5.500
|
%
|
450,000
|
|
475,706
|
|
Constellation Brands, Inc.
|
|
|
|
|
|
|
|
09/01/2016
|
|
7.250
|
%
|
600,000
|
|
612,000
|
|
Corning, Inc.
|
|
|
|
|
|
|
|
06/15/2015
|
|
6.050
|
%
|
400,000
|
|
403,264
|
|
Crown Americas LLC/Crown Americas Capital Corp. II
|
|
|
|
|
|
|
|
05/15/2017(b)
|
|
7.625
|
%
|
700,000
|
|
729,750
|
|
The Dayton Power & Light Co.
|
|
|
|
|
|
|
|
10/01/2013
|
|
5.125
|
%
|
375,000
|
|
400,757
|
|
Devon Financing Corp. ULC
|
|
|
|
|
|
|
|
09/30/2011
|
|
6.875
|
%
|
630,000
|
|
684,661
|
|
Duke Energy Carolinas LLC
|
|
|
|
|
|
|
|
11/15/2013
|
|
5.750
|
%
|
400,000
|
|
437,976
|
|
Eaton Vance Corp.
|
|
|
|
|
|
|
|
10/02/2017
|
|
6.500
|
%
|
750,000
|
|
776,749
|
|
Enbridge Energy Partners LP
|
|
|
|
|
|
|
|
03/01/2019
|
|
9.875
|
%
|
375,000
|
|
475,601
|
|
Enterprise Products Operating LLC
|
|
|
|
|
|
|
|
02/01/2013
|
|
6.125
|
%
|
560,000
|
|
599,483
|
|
Florida Power Corp.
|
|
|
|
|
|
|
|
06/15/2018
|
|
5.650
|
%
|
400,000
|
|
430,022
|
|
Ford Motor Credit Co., LLC
|
|
|
|
|
|
|
|
10/01/2014
|
|
8.700
|
%
|
850,000
|
|
889,526
|
|
Forest Oil Corp.
|
|
|
|
|
|
|
|
06/15/2019
|
|
7.250
|
%
|
600,000
|
|
595,500
|
|
General Cable Corp.
|
|
|
|
|
|
|
|
04/01/2017
|
|
7.125
|
%
|
700,000
|
|
691,250
|
|
General Dynamics Corp.
|
|
|
|
|
|
|
|
02/01/2014
|
|
5.250
|
%
|
590,000
|
|
642,492
|
|
General Mills, Inc.
|
|
|
|
|
|
|
|
02/15/2012
|
|
6.000
|
%
|
600,000
|
|
648,129
|
|
The Goldman Sachs Group, Inc.
|
|
|
|
|
|
|
|
01/15/2016
|
|
5.350
|
%
|
650,000
|
|
675,999
|
|
Goodrich Corp.
|
|
|
|
|
|
|
|
03/01/2019
(b)
|
|
6.125
|
%
|
425,000
|
|
459,902
|
|
The Goodyear Tire & Rubber Co.
|
|
|
|
|
|
|
|
05/15/2016
|
|
10.500
|
%
|
650,000
|
|
721,500
|
|
Hanesbrands, Inc.
|
|
|
|
|
|
|
|
12/15/2016
|
|
8.000
|
%
|
300,000
|
|
307,125
|
|
Hasbro, Inc.
|
|
|
|
|
|
|
|
05/15/2014
|
|
6.125
|
%
|
350,000
|
|
381,428
|
|
Hewlett-Packard Co.
|
|
|
|
|
|
|
|
03/01/2014
|
|
6.125
|
%
|
350,000
|
|
391,448
|
|
03/01/2018
|
|
5.500
|
%
|
300,000
|
|
319,529
|
|
Iron Mountain, Inc.
|
|
|
|
|
|
|
|
01/01/2016
|
|
6.625
|
%
|
625,000
|
|
615,625
|
|
Johnson Controls, Inc.
|
|
|
|
|
|
|
|
01/15/2016
|
|
5.500
|
%
|
800,000
|
|
814,695
|
|
JPMorgan Chase & Co.
|
|
|
|
|
|
|
|
04/23/2019
|
|
6.300
|
%
|
675,000
|
|
743,874
|
|
Kellogg Co.
|
|
|
|
|
|
|
|
05/30/2016
|
|
4.450
|
%
|
250,000
|
|
257,800
|
|
The Kroger Co.
|
|
|
|
|
|
|
|
02/01/2010
|
|
8.050
|
%
|
500,000
|
|
502,425
|
|
McDonalds Corp.
|
|
|
|
|
|
|
|
02/01/2019
|
|
5.000
|
%
|
600,000
|
|
628,265
|
|
Montpelier Re Holdings, Ltd.
|
|
|
|
|
|
|
|
08/15/2013
|
|
6.125
|
%
|
250,000
|
|
246,381
|
|
Morgan Stanley
|
|
|
|
|
|
|
|
10/15/2015
|
|
5.375
|
%
|
600,000
|
|
620,720
|
|
Nabors Industries, Inc.
|
|
|
|
|
|
|
|
01/15/2019
|
|
9.250
|
%
|
550,000
|
|
674,674
|
|
National Oilwell Varco, Inc.
|
|
|
|
|
|
|
|
Series B, 08/15/2015
|
|
6.125
|
%
|
545,000
|
|
547,384
|
|
Newfield Exploration Co.
|
|
|
|
|
|
|
|
09/01/2014
|
|
6.625
|
%
|
400,000
|
|
406,000
|
|
05/15/2018
|
|
7.125
|
%
|
250,000
|
|
253,750
|
|
Oracle Corp.
|
|
|
|
|
|
|
|
04/15/2018
|
|
5.750
|
%
|
255,000
|
|
276,159
|
|
PacifiCorp
|
|
|
|
|
|
|
|
01/15/2019
|
|
5.500
|
%
|
600,000
|
|
636,416
|
|
Petrohawk Energy Corp.
|
|
|
|
|
|
|
|
06/01/2015
|
|
7.875
|
%
|
675,000
|
|
685,125
|
|
Pioneer Natural Resources Co.
|
|
|
|
|
|
|
|
03/15/2017
|
|
6.650
|
%
|
650,000
|
|
644,324
|
|
Potash Corp. of Saskatchewan, Inc.
|
|
|
|
|
|
|
|
05/15/2014
|
|
5.250
|
%
|
400,000
|
|
430,261
|
|
Precision Castparts Corp.
|
|
|
|
|
|
|
|
12/15/2013
|
|
5.600
|
%
|
400,000
|
|
419,446
|
|
Prime Dig Pte, Ltd.
|
|
|
|
|
|
|
|
11/03/2014(d)
|
|
11.750
|
%
|
200,000
|
|
203,000
|
|
Progress Energy
|
|
|
|
|
|
|
|
01/15/2019
|
|
5.300
|
%
|
600,000
|
|
627,661
|
|
Provident Cos, Inc.
|
|
|
|
|
|
|
|
07/15/2018
|
|
7.000
|
%
|
425,000
|
|
408,737
|
|
Public Service Co. of Colorado
|
|
|
|
|
|
|
|
06/01/2019
|
|
5.125
|
%
|
600,000
|
|
625,289
|
|
Public Service Electric & Gas Co.
|
|
|
|
|
|
|
|
11/01/2013
|
|
6.330
|
%
|
600,000
|
|
668,856
|
|
Range Resources Corp.
|
|
|
|
|
|
|
|
05/15/2019
|
|
8.000
|
%
|
600,000
|
|
645,000
|
|
Roche Holdings, Inc.
|
|
|
|
|
|
|
|
03/01/2019
(b)
|
|
6.000
|
%
|
600,000
|
|
660,485
|
|
Shimao Property Holdings, Ltd.
|
|
|
|
|
|
|
|
12/01/2016
|
|
8.000
|
%
|
150,000
|
|
138,308
|
|
Silgan Holdings, Inc.
|
|
|
|
|
|
|
|
08/15/2016
|
|
7.250
|
%
|
600,000
|
|
619,500
|
|
South Carolina Electric & Gas Co.
|
|
|
|
|
|
|
|
11/01/2018
|
|
5.250
|
%
|
400,000
|
|
418,117
|
|
Spirit Aerosystems, Inc.
|
|
|
|
|
|
|
|
10/01/2017(b)
|
|
7.500
|
%
|
550,000
|
|
544,500
|
|
Starwood Hotels & Resorts
Worldwide, Inc.
|
|
|
|
|
|
|
|
05/15/2018
|
|
6.750
|
%
|
675,000
|
|
680,063
|
|
Thermo Fisher Scientific, Inc.
|
|
|
|
|
|
|
|
06/01/2015
|
|
5.000
|
%
|
500,000
|
|
524,853
|
|
Torchmark Corp.
|
|
|
|
|
|
|
|
06/15/2016
|
|
6.375
|
%
|
275,000
|
|
277,338
|
|
The Travelers Cos., Inc.
|
|
|
|
|
|
|
|
05/15/2018
|
|
5.800
|
%
|
275,000
|
|
293,563
|
|
TRW Automotive, Inc.
|
|
|
|
|
|
|
|
03/15/2014(b)
|
|
7.000
|
%
|
425,000
|
|
418,625
|
|
Tyco International Finance S.A.
|
|
|
|
|
|
|
|
01/15/2019
|
|
8.500
|
%
|
450,000
|
|
544,378
|
|
Union Pacific Corp.
|
|
|
|
|
|
|
|
01/31/2013
|
|
5.450
|
%
|
500,000
|
|
538,421
|
|
United Technologies Corp.
|
|
|
|
|
|
|
|
02/01/2019
|
|
6.125
|
%
|
500,000
|
|
553,498
|
|
Vedanta Resources PLC
|
|
|
|
|
|
|
|
07/18/2018(d)
|
|
9.500
|
%
|
375,000
|
|
382,500
|
|
Verizon Wireless Capital LLC
|
|
|
|
|
|
|
|
02/01/2014(b)
|
|
5.550
|
%
|
400,000
|
|
434,508
|
|
Wal-Mart Stores, Inc.
|
|
|
|
|
|
|
|
02/15/2018
|
|
5.800
|
%
|
250,000
|
|
277,892
|
|
Weatherford International, Ltd.
|
|
|
|
|
|
|
|
03/01/2019
|
|
9.625
|
%
|
615,000
|
|
767,954
|
|
|
|
|
|
|
|
|
|
TOTAL
CORPORATE BONDS
(Cost $42,464,591)
|
|
|
|
|
|
45,498,416
|
|
|
|
|
|
|
|
|
|
ASSET/MORTGAGE BACKED SECURITIES 0.93%
|
|
|
|
|
|
|
|
Freddie Mac REMICS
|
|
|
|
|
|
|
|
Series 2006-3155, Class SA, 11/15/2035(e)
|
|
36.701
|
%
|
945,221
|
|
1,253,063
|
|
Government National Mortgage Association (GNMA)
|
|
|
|
|
|
|
|
Series 2007-37, Class SA, 03/20/2037(e)
|
|
21.293
|
%
|
268,071
|
|
289,530
|
|
Series 2007-37, Class SB, 03/20/2037(e)
|
|
21.293
|
%
|
126,723
|
|
130,575
|
|
|
|
|
|
|
|
|
|
TOTAL
ASSET/MORTGAGE BACKED SECURITIES
(Cost $1,295,390)
|
|
|
|
|
|
1,673,168
|
|
|
|
|
|
|
|
|
|
GOVERNMENT & AGENCY
OBLIGATIONS 6.01%
|
|
|
|
|
|
|
|
Small Business Administration Participation
Certificates
|
|
|
|
|
|
|
|
Series 2008-20L, Class 1, 12/01/2028
|
|
6.220
|
%
|
554,851
|
|
602,138
|
|
|
|
|
|
|
|
|
|
U.S. Treasury Bonds
|
|
|
|
|
|
|
|
06/30/2012
|
|
4.875
|
%
|
600,000
|
|
650,906
|
|
08/15/2018
|
|
4.000
|
%
|
9,300,000
|
|
9,501,261
|
|
|
|
|
|
|
|
|
|
TOTAL
GOVERNMENT & AGENCY OBLIGATIONS
(Cost $11,246,315)
|
|
|
|
|
|
10,754,305
|
|
|
|
Expiration
|
|
Exercise
|
|
Number
of
|
|
|
|
|
|
Date
|
|
Price
|
|
Contracts
|
|
Value
|
|
PURCHASED OPTIONS 1.81%
|
|
|
|
|
|
|
|
|
|
Purchased Call Options 0.28%
|
|
|
|
|
|
|
|
|
|
Halliburton Co.
|
|
January,
2011
|
|
|
$
|
30.00
|
|
350
|
|
158,375
|
|
SPDR Gold Trust
|
|
January,
2010
|
|
100.00
|
|
150
|
|
112,125
|
|
Transocean, Ltd.
|
|
May,
2010
|
|
90.00
|
|
580
|
|
232,000
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
PURCHASED CALL OPTIONS
(Cost $1,103,688)
|
|
|
|
|
|
|
|
502,500
|
|
|
|
|
|
|
|
|
|
|
|
Purchased Put Options 1.53%
|
|
|
|
|
|
|
|
|
|
S&P 500 Index
|
|
January,
2010
|
|
1,025.00
|
|
350
|
|
75,250
|
|
S&P 500 Index
|
|
January,
2010
|
|
1,050.00
|
|
200
|
|
63,000
|
|
S&P 500 Index
|
|
March,
2010
|
|
1,100.00
|
|
680
|
|
2,601,000
|
|
SPDR Gold Trust
|
|
January,
2010
|
|
80.00
|
|
300
|
|
0
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
PURCHASED PUT OPTIONS
(Cost $6,629,271)
|
|
|
|
|
|
|
|
2,739,250
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL PURCHASED OPTIONS
(Cost $7,732,959)
|
|
|
|
|
|
|
|
3,241,750
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Shares/
Principal
Amount
|
|
Value
|
|
SHORT-TERM INVESTMENTS 2.32%
|
|
|
|
|
|
Money Markets
|
|
|
|
|
|
Dreyfus Treasury Prime Money Market Fund (0.000% 7-day yield)
(f)
|
|
1,150,444
|
|
1,150,444
|
|
|
|
|
|
|
|
U.S. Treasury Bills
|
|
|
|
|
|
U.S. Treasury Bill Discount Notes
|
|
|
|
|
|
2/11/2010, 0.149%
(g)
|
|
500,000
|
|
499,915
|
|
3/11/2010, 0.175%
(g)
|
|
2,500,000
|
|
2,499,841
|
|
|
|
|
|
|
|
TOTAL
SHORT-TERM INVESTMENTS
(Cost $4,149,524)
|
|
|
|
4,150,200
|
|
|
|
|
|
|
|
Total
Investments - 154.36%
*
(Cost $244,154,239)
|
|
|
|
$
|
276,421,039
|
|
|
|
|
|
|
|
Liabilities in Excess of Other Assets - (54.36%)
|
|
|
|
(97,350,074
|
)
|
|
|
|
|
|
|
NET ASSETS - 100.00 %
|
|
|
|
$
|
179,070,965
|
|
|
|
Expiration
|
|
Exercise
|
|
Number of
|
|
|
|
|
|
Date
|
|
Price
|
|
Contracts
|
|
Value
|
|
SCHEDULE OF OPTIONS WRITTEN
|
|
|
|
|
|
|
|
|
|
Call Options Written
|
|
|
|
|
|
|
|
|
|
Halliburton Co.
|
|
January,
2011
|
|
$
|
45.00
|
|
350
|
|
$
|
(25,025
|
)
|
Transocean, Ltd.
|
|
May,
2010
|
|
100.00
|
|
580
|
|
(93,960
|
)
|
|
|
|
|
|
|
|
|
|
|
TOTAL CALL OPTIONS WRITTEN
(Premiums received $452,200)
|
|
|
|
|
|
|
|
(118,985
|
)
|
|
|
|
|
|
|
|
|
|
|
Put Options Written
|
|
|
|
|
|
|
|
|
|
S&P 500 Index
|
|
January,
2010
|
|
950.00
|
|
350
|
|
(31,500
|
)
|
S&P 500 Index
|
|
January,
2010
|
|
975.00
|
|
200
|
|
(24,500
|
)
|
S&P 500 Index
|
|
March,
2010
|
|
1,000.00
|
|
680
|
|
(955,400
|
)
|
SPDR Gold Trust
|
|
January,
2010
|
|
90.00
|
|
260
|
|
0
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
PUT OPTIONS WRITTEN
(Premiums received $3,211,081)
|
|
|
|
|
|
|
|
(1,011,400
|
)
|
|
|
|
|
|
|
|
|
|
|
TOTAL
OPTIONS WRITTEN
(Premiums received $3,663,281)
|
|
|
|
|
|
|
|
$
|
(1,130,385
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Shares
|
|
Value
|
|
SCHEDULE OF SECURITIES SOLD SHORT
|
|
|
|
|
|
Common Stocks
|
|
|
|
|
|
AvalonBay Communities, Inc.
|
|
(2,226
|
)
|
$
|
(182,777
|
)
|
Barclays PLC
|
|
(59,600
|
)
|
(265,693
|
)
|
Barclays PLC - Sponsored ADR
|
|
(21,100
|
)
|
(371,360
|
)
|
Berkshire Hathaway, Inc.
|
|
(302
|
)
|
(992,372
|
)
|
Boston Properties, Inc.
|
|
(8,500
|
)
|
(570,095
|
)
|
Caterpillar, Inc.
|
|
(15,200
|
)
|
(866,248
|
)
|
China Shenhua Energy Co., Ltd.
|
|
(220,000
|
)
|
(1,078,236
|
)
|
Cie Generale dOptique Essilor International S.A.
|
|
(5,600
|
)
|
(335,163
|
)
|
Deutsche Bank AG
|
|
(14,200
|
)
|
(1,006,922
|
)
|
ENSCO International, Inc. - ADR
|
|
(37,600
|
)
|
(1,501,744
|
)
|
Federal Realty Investment Trust
|
|
(5,600
|
)
|
(379,232
|
)
|
|
|
|
|
|
|
|
Genuine Parts Co.
|
|
(21,194
|
)
|
(804,524
|
)
|
ICICI Bank, Ltd. - ADR
|
|
(10,172
|
)
|
(383,586
|
)
|
IDEXX Laboratories, Inc.
|
|
(3,600
|
)
|
(192,384
|
)
|
Kohls Corp.
|
|
(5,300
|
)
|
(285,829
|
)
|
Las Vegas Sands Corp.
|
|
(35,987
|
)
|
(537,646
|
)
|
Macys, Inc.
|
|
(27,200
|
)
|
(455,872
|
)
|
MGM Mirage
|
|
(7,000
|
)
|
(63,840
|
)
|
The NASDAQ OMX Group, Inc.
|
|
(28,195
|
)
|
(558,825
|
)
|
PACCAR, Inc.
|
|
(37,657
|
)
|
(1,365,820
|
)
|
Patterson-UTI Energy, Inc.
|
|
(50,300
|
)
|
(772,105
|
)
|
PetSmart, Inc.
|
|
(5,300
|
)
|
(141,457
|
)
|
POSCO-ADR
|
|
(3,500
|
)
|
(458,850
|
)
|
Quest Diagnostics, Inc.
|
|
(15,000
|
)
|
(905,700
|
)
|
Rio Tinto PLC -
Sponsored - ADR
|
|
(3,700
|
)
|
(796,943
|
)
|
Rowan Companies, Inc.
|
|
(20,700
|
)
|
(468,648
|
)
|
Simon Property Group, Inc.
|
|
(11,099
|
)
|
(885,700
|
)
|
Smith International, Inc.
|
|
(9,799
|
)
|
(266,239
|
)
|
Stone Energy Corp.
|
|
(4,854
|
)
|
(87,615
|
)
|
Unit Corp.
|
|
(17,650
|
)
|
(750,125
|
)
|
VCA Antech, Inc.
|
|
(4,900
|
)
|
(122,108
|
)
|
Vornado Realty Trust
|
|
(630
|
)
|
(44,062
|
)
|
WW Grainger, Inc.
|
|
(6,600
|
)
|
(639,078
|
)
|
Wynn Resorts, Ltd.
|
|
(8,300
|
)
|
(483,309
|
)
|
|
|
|
|
(19,020,107
|
)
|
|
|
|
|
|
|
Exchange Traded Funds
|
|
|
|
|
|
Financial Select Sector SPDR Fund
|
|
(68,600
|
)
|
(987,154
|
)
|
iShares Dow Jones U.S. Real Estate Index Fund
|
|
(64,176
|
)
|
(2,946,962
|
)
|
iShares MSCI Brazil Index Fund
|
|
(23,900
|
)
|
(1,783,179
|
)
|
iShares MSCI Emerging Markets Fund
|
|
(8,200
|
)
|
(340,300
|
)
|
iShares MSCI Mexico Investable Market Index Fund
|
|
(21,200
|
)
|
(1,036,044
|
)
|
iShares MSCI South Korea Index Fund
|
|
(6,117
|
)
|
(291,414
|
)
|
iShares Russell 2000 Index Fund
|
|
(75,000
|
)
|
(4,669,500
|
)
|
Oil Services Holders Trust
|
|
(16,900
|
)
|
(2,011,100
|
)
|
United States Oil Fund LP
|
|
(50,400
|
)
|
(1,979,712
|
)
|
|
|
|
|
(16,045,365
|
)
|
TOTAL
SECURITIES SOLD SHORT
(Proceeds $30,688,149)
|
|
|
|
$
|
(35,065,472
|
)
|
|
|
|
|
|
|
|
Abbreviations:
ADR -
American Depositary Receipt
AG-Aktiengesellschaft
is a German acronym on company names meaning Public Company
BHD -
Berhad (in Malaysia; equivalent to Public Limited Company)
LLC -
Limited Liability Company
LP -
Limited Partnership
MSCI -
Morgan Stanley Capital International
PCL -
Public Company Limited
PLC -
Public Limited Company
PT -
equivalent to Public Limited Company in Indonesia
REMICS -
Real Estate Mortgage Investment Conduits
S.A. -
Generally designates corporations in various countries, mostly those employing
the civil law
S&P
- Standard & Poors
SPDR -
Standard & Poors Depositary Receipt
Tbk -
Terbuka (stock symbol in Indonesian)
ULC -
Unlimited Liability Company
*
All securities are being held as
collateral for borrowings, written options and/or short sales as of
December 31, 2009. (See Note x)
(a)
Non-Income
Producing Security.
(b)
Security
exempt from registration under Rule 144A of the Securities Act of
1933. These securities may be resold in transactions exempt from
registration, normally to qualified institutional buyers. As of
December 31, 2009, these securities had a total value of $7,475,371 or
4.17% of net assets.
(c)
Private
Placement; these securities may only be resold in transactions exempt from
registration under the Securities Act of 1933. As of December 31, 2009,
these securities had a total value of $137,000 or 0.08% of net assets.
(d) Securities
were purchased pursuant to Regulation S under the Securities Act of 1933, which
exempts form registration securities offered and sold outside of the United
States. Such securities cannot be sold in the United States without either an
effective registration statement filed pursuant Securities Act of 1933, or
pursuant to an exemption from registration. These securities have been
deemed liquid under guidelines approved by the Funds Board of Trustees.
As of December 31, 2009, the aggregate market value of those securities
was $732,875, representing 0.41% of net assets.
(e)
Floating
or variable rate security - rate disclosed as of December 31, 2009.
(f)
Less
than 0.0005%
(g) Discount
at purchase.
For Fund compliance purposes,
the Funds industry classifications refer to any one of the industry
sub-classifications used by one or more widely recognized market 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. These industry
classifications are unaudited.
Income
Tax Information:
|
|
|
|
Net
unrealized appreciation/depreciation of investments based on federal tax costs
were as follows:
|
|
|
|
As
of December 31, 2009
|
|
|
|
Gross
appreciation (excess of value over tax cost)
|
|
$
|
44,232,342
|
|
Gross
depreciation (excess of tax cost over value)
|
|
(15,653,079
|
)
|
Net
unrealized appreciation
|
|
$
|
28,579,263
|
|
Cost
of investments for income tax purposes
|
|
$
|
247,841,776
|
|
See
Notes to Quarterly Statement of Investments
.
1.
SIGNIFICANT ACCOUNTING AND OPERATING POLICIES
Clough Global Allocation Fund (the Fund) is a
closed-end management investment company that was organized under the laws of
the state of Delaware by an Amended Agreement and Declaration of Trust dated April 27,
2004. The Fund is a non-diversified
series with an investment objective to provide a high level of total return.
The Declaration of Trust provides that the Trustees may authorize separate
classes of shares of beneficial interest.
Security Valuation:
The net asset value per share of the Fund
is determined no less frequently than daily, on each day that the New York
Stock Exchange (the Exchange) is open for trading, as of the close of regular
trading on the Exchange (normally 4:00 p.m. New York time). Trading may
take place in foreign issues held by the Fund at times when the Fund is not
open for business. As a result, the Funds net asset value may change at times
when it is not possible to purchase or sell shares of the Fund. Securities held
by the Fund for which exchange quotations are readily available are valued at
the last sale price, or if no sale price or if traded on the over-the-counter
market, at the mean of the bid and asked prices on such day. Debt securities
for which the over-the-counter market is the primary market are normally valued
on the basis of prices furnished by one or more pricing services at the mean
between the latest available bid and asked prices. As authorized by the
Trustees, debt securities (other than short-term obligations) may be valued on
the basis of valuations furnished by a pricing service which determines
valuations based upon market transactions for normal, institutional-size
trading units of securities. Short-term obligations maturing within 60 days are
valued at amortized cost, which approximates value, unless the Trustees
determine that under particular circumstances such method does not result in
fair value. Over-the-counter options are valued at the mean between bid and
asked prices provided by dealers. Financial futures contracts listed on
commodity exchanges and exchange-traded options are valued at closing
settlement prices. Securities for which there is no such quotation or valuation
and all other assets are valued at fair value in good faith by or at the
direction of the Trustees.
Foreign Securities:
The Fund may invest a portion of its
assets in foreign securities. In the event that the Fund executes a foreign
security transaction, the Fund will generally enter into a forward foreign
currency contract to settle the foreign security transaction. Foreign
securities may carry more risk than U.S. securities, such as political, market
and currency risks.
The accounting records of the Fund are maintained in
U.S. dollars. Prices of securities denominated in foreign currencies are
translated into U.S. dollars at the closing rates of exchange at period end.
Amounts related to the purchase and sale of foreign securities and investment
income are translated at the rates of exchange prevailing on the respective dates
of such transactions.
A foreign currency contract is a commitment to
purchase or sell a foreign currency at a future date, at a negotiated rate. The
Fund may enter into foreign currency contracts to settle specific purchases or
sales of securities denominated in a foreign currency and for protection from
adverse exchange rate fluctuation. Risks to the Fund include the potential
inability of the counterparty to meet the terms of the contract. There were no outstanding foreign currency
contracts for the Fund as of December 31, 2009.
Fair Valuation:
If the price of a security is unavailable
in accordance with the Funds pricing procedures, or the price of a security is
suspect, e.g., due to the occurrence of a significant event, the security may
be valued at its fair value determined pursuant to procedures adopted by the
Board of Trustees. For this purpose, fair value is the price that the Fund
reasonably expects to receive on a current sale of the security. Due to the
number of variables affecting the price of a security, however; it is possible
that the fair value of a security may not accurately reflect the price that the
Fund could actually receive on a sale of the security. As of December 31, 2009, there were no
securities which have been fair valued.
A threetier hierarchy has been established to
classify fair value measurements for disclosure purposes. Inputs refer broadly
to the assumptions that market participants would use in pricing the asset or
liability, including assumptions about risk. Inputs may be observable or
unobservable. Observable inputs are inputs that reflect the assumptions market
participants would use in pricing the asset or liability that are developed
based on market data obtained from sources independent of the reporting entity.
Unobservable inputs are inputs that reflect the reporting entitys own
assumptions about the assumptions market participants would use in pricing the
asset or liability that are developed based on the best information available.
Various inputs are used in determining the value of
each Funds investments as of the reporting period end. These inputs are
categorized in the following hierarchy under applicable financial accounting
standards:
Level 1 Quoted prices
in active markets for identical investments
Level 2 Significant observable inputs (including
quoted prices for similar investments, interest rates, prepayment speeds,
credit
risk, etc.)
Level 3 Significant unobservable inputs (including
the Funds own assumptions in determining the fair value of investments)
The following is a summary of the inputs used as of
December 31, 2009 in valuing the Funds investments carried at value:
Investments in Securities at Value
|
|
Level 1
|
|
Level 2
|
|
Level 3
|
|
Total
|
|
Common
Stocks
|
|
$
|
201,691,665
|
|
$
|
|
|
$
|
|
|
$
|
201,691,665
|
|
Exchange
Traded Funds
|
|
9,107,167
|
|
|
|
|
|
9,107,167
|
|
Preferred
Stocks
|
|
304,368
|
|
|
|
|
|
304,368
|
|
Corporate
Bonds
|
|
|
|
45,498,416
|
|
|
|
45,498,416
|
|
Asset/Mortgage
Backed Securities
|
|
|
|
1,673,168
|
|
|
|
1,673,168
|
|
Government &
Agency Obligations
|
|
10,152,167
|
|
602,138
|
|
|
|
10,754,305
|
|
Purchased
Options
|
|
3,241,750
|
|
|
|
|
|
3,241,750
|
|
Short-Term
Investments
|
|
4,150,200
|
|
|
|
|
|
4,150,200
|
|
TOTAL
|
|
$
|
228,647,317
|
|
$
|
47,773,722
|
|
$
|
|
|
$
|
276,421,039
|
|
|
|
|
|
|
|
|
|
|
|
Other Financial Instruments*
|
|
|
|
|
|
|
|
|
|
Options
Written
|
|
$
|
(1,130,385
|
)
|
|
|
|
|
$
|
(1,130,385
|
)
|
Securities
Sold Short
|
|
(35,065,472
|
)
|
|
|
|
|
(35,065,472
|
)
|
TOTAL
|
|
$
|
(36,195,857
|
)
|
$
|
|
|
$
|
|
|
$
|
(36,195,857
|
)
|
* Other financial instruments
include written options and securities sold short.
All securities of the Fund were
valued using either Level 1 or Level 2 inputs during the nine months ended
December 31, 2009. Thus, a reconciliation of assets in which significant
unobservable inputs (Level 3) were used is not applicable for this Fund.
Options:
The Fund may purchase or write (sell)
put and call options. One of the risks associated with purchasing an option
among others, is that the Fund pays a premium whether or not the option is
exercised. Additionally, the Fund bears the risk of loss of premium and change
in market value should the counterparty not perform under the contract. Put and
call options purchased are accounted for in the same manner as portfolio
securities. The cost of securities acquired through the exercise of call
options is increased by premiums paid. The proceeds from securities sold
through the exercise of put options are decreased by the premiums paid.
When the Fund
writes an option, an amount equal to the premium received by the Fund is
recorded as a liability and is subsequently adjusted to the current value of
the option written. Premiums received from writing options that expire
unexercised are treated by the Fund on the expiration date as realized gains
from investments. The difference between the premium and the amount paid on
effecting a closing purchase transaction, including brokerage commissions, is
also treated as a realized gain, or, if the premium is less than the amount
paid for the closing purchase transaction, as a realized loss. If a call option
is exercised, the premium is added to the proceeds from the sale of the
underlying security or currency in determining whether the Fund has realized a
gain or loss. If a put option is exercised, the premium reduces the cost basis
of the securities purchased by the Fund. The Fund, as writer of an option,
bears the market risk of an unfavorable change in the price of the security
underlying the written option. Written and purchased options are non-income
producing securities.
Written option activity
for the nine months ended December 31, 2009 was as follows:
Written Call Options
|
|
Contracts
|
|
Premiums
|
|
Outstanding,
March 31, 2009
|
|
|
|
$
|
|
|
Positions opened
|
|
930
|
|
452,200
|
|
Exercised
|
|
|
|
|
|
Expired
|
|
|
|
|
|
Closed
|
|
|
|
|
|
Outstanding,
December 31, 2009
|
|
930
|
|
$
|
452,200
|
|
Market Value, December 31, 2009
|
|
|
|
$
|
118,985
|
|
Written Put Options
|
|
Contracts
|
|
Premiums
|
|
Outstanding,
March 31, 2009
|
|
1,000
|
|
$
|
2,767,999
|
|
Positions opened
|
|
5,075
|
|
7,309,010
|
|
Exercised
|
|
|
|
|
|
Expired
|
|
(4,265
|
)
|
(6,738,938
|
)
|
Closed
|
|
(320
|
)
|
(126,990
|
)
|
Outstanding,
December 31, 2009
|
|
1,490
|
|
$
|
3,211,081
|
|
Market
Value, December 31, 2009
|
|
|
|
$
|
1,011,400
|
|
Short Sales:
The Fund may sell a security it does not
own in anticipation of a decline in the fair value of that security. When the
Fund sells a security short, it must borrow the security sold short and deliver
it to the broker-dealer through which it made the short sale. A gain, limited
to the price at which the Fund sold the security short, or a loss, unlimited in
size, will be recognized upon the termination of the short sale.
2. Recent Accounting Pronouncements:
In June 2009, the Financial Accounting Standards
Board (FASB) issued FASB ASC 105 (formerly FASB Statement 168), Generally
Accepted Accounting Principles, establishing the FASB Accounting Standards
Codification
TM
(ASC) as the
source of authoritative generally accepted accounting principles (GAAP) to be
applied by nongovernmental entities. FASB ASC 105 is effective for annual and
interim periods ending after September 15, 2009, and the Fund has updated
its references to GAAP in this report in accordance with the provisions of this
pronouncement. The implementation of FASB ASC 105 did not have a material
effect on its financial position or results of operation.
The Fund follows FASB ASC 815, Disclosures about Derivative
Instruments and Hedging Activities(formerly Statement of Financial Accounting
Standards No. 161), which expands the disclosure requirements about an
entitys derivative instruments and hedging activities. Management has
concluded that the adoption of FASB ASC 815, as adopted by the Fund
April 1, 2009, has no impact on the Funds Quarterly Statement of
Investments (filed as part of the Form NQ) for the nine months ended
December 31, 2009.
In April 2009, the FASB issued FASB ASC 820-10-65
(formerly FASB Staff Position No. FAS 157-4), Determining Fair Value When
the Volume and Level of Activity for the Asset or Liability Have Significantly
Decreased and Identifying Transactions That Are Not Orderly. This standard
applies to all assets and liabilities within the scope of accounting
pronouncements that require or permit fair value measurements, with certain
defined exceptions, and provides additional guidance for estimating fair value
when the volume and level of activity for the asset or liability have
significantly decreased. ASC 820-10-65 is effective for interim reporting
periods ending after June 15, 2009. The implementation of ASC 820-10-65
did not have a material effect on the Funds financial position or results of
operation.
Item 2 -
Controls and Procedures.
(a)
The Registrants Principal Executive
Officer and Principal Financial Officer have evaluated the Registrants
disclosure controls and procedures (as defined in Rule 30a-3(c) under
the Investment Company Act of 1940) within 90 days of this filing and have
concluded that the Registrants disclosure controls and procedures were
effective, as of that date.
(b)
There was no change in the Registrants
internal control over financial reporting (as defined in Rule 30a-3(d) under
the Investment Company Act of 1940) during Registrants last fiscal quarter
that has materially affected, or is reasonably likely to materially affect, the
Registrants internal control over financial reporting.
Item 3
Exhibits.
Separate certifications
for the Registrants Principal Executive Officer and Principal Financial
Officer, as required by Section 302 of the Sarbanes-Oxley Act of 2002 and Rule 30a-2(a) under
the Investment Company Act of 1940, are attached as Ex99.CERT.
SIGNATURES
Pursuant
to the requirements of the Securities Exchange Act of 1934 and the Investment
Company Act of 1940, the registrant has duly caused this report to be signed on
its behalf by the undersigned, thereunto duly authorized.
|
CLOUGH
GLOBAL ALLOCATION FUND
|
|
|
|
|
By:
|
/s/
Edmund J. Burke
|
|
|
Edmund J. Burke
|
|
|
President
(principal
executive officer)
|
|
|
|
|
Date:
|
February 26,
2010
|
|
|
|
|
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/
Edmund J. Burke
|
|
|
Edmund J. Burke
|
|
|
President
(principal
executive officer)
|
|
|
|
|
Date:
|
February 26,
2010
|
|
|
|
|
|
|
|
By:
|
/s/
Jeremy O. May
|
|
|
Jeremy O. May
|
|
|
Treasurer
(principal
financial officer)
|
|
|
|
|
Date:
|
February 26,
2010
|
Clough Global Dividend a... (AMEX:GLV)
Historical Stock Chart
From May 2024 to Jun 2024
Clough Global Dividend a... (AMEX:GLV)
Historical Stock Chart
From Jun 2023 to Jun 2024