Reports Mailed to Shareholders (registered Investment Company) (n-30b-2)

P ACHOLDER H IGH Y IELD F UND, I NC.

Directors and Officers

John F. Finn

Director

Dr. Matthew Goldstein

Chairman and Director

Robert J. Higgins

Director

Frankie D. Hughes

Director

Peter C. Marshall

Director

Mary E. Martinez

Director

Marilyn McCoy

Director

Mitchell M. Merin

Director

William G. Morton, Jr.

Director

Dr. Robert A. Oden, Jr.

Director

Marian U. Pardo

Director

Frederick W. Ruebeck

Director

James J. Schonbachler

Director

Patricia A. Maleski

President and Principal Executive Officer

Joy C. Dowd

Treasurer and Principal Financial Officer

Frank J. Nasta

Secretary

Stephen M. Ungerman

Chief Compliance Officer

Investment Objective

A closed-end fund seeking a high level of total return

through current income and capital appreciation by

investing primarily in high-yield, fixed income securities

of domestic companies.

Investment Advisor

J.P. Morgan Investment Management Inc.

Administrator

JPMorgan Funds Management, Inc.

Custodian

JPMorgan Chase Bank, N.A.

Transfer Agent

Computershare Trust Company, N.A.

Legal Counsel

Dechert LLP

Independent Registered Public Accounting Firm

PricewaterhouseCoopers LLP

Independent Directors’ Counsel

Kramer Levin Naftalis & Frankel LLP

Executive Offices

Pacholder High Yield Fund, Inc.

270 Park Avenue

New York, NY 10017

Shareholder Services

(877) 217-9502

Please visit our web site, www.pacholder.com , for information on the Fund’s net asset value, share price, news releases, and Securities and Exchange Commission filings. We created this site to provide stockholders quick and easy access to the most timely information available regarding the Fund.

This report is for the information of stockholders of Pacholder High Yield Fund, Inc. It is not a prospectus, offering circular or other representation intended for use in connection with the purchase or sale of shares of the Fund or any securities mentioned in this report.

P ACHOLDER H IGH Y IELD F UND , I NC .

F IRST Q UARTER

M ARCH 31, 2013

(U NAUDITED )

CONTENTS


Letter to Shareholders			1

Schedule of Portfolio Investments			3

Investments in the Fund are not bank deposits or obligations of, or guaranteed or endorsed by, any bank and are not insured or guaranteed by the FDIC, the Federal Reserve Board or any other government agency. You could lose money if you sell when the Fund’s share price is lower than when you invested.

Past performance is no guarantee of future performance. The general market views expressed in this report are opinions based on market and other conditions through the end of the reporting period and are subject to change without notice. These views are not intended to predict the future performance of the Fund or the securities markets. References to specific securities and their issuers are for illustrative purposes only and are not intended to be, and should not be interpreted as, recommendations to purchase or sell such securities. Such views are not meant as investment advice and may not be relied on as an indication of trading intent on behalf of the Fund.

P ACHOLDER H IGH Y IELD F UND, I NC.

Dear Shareholders:

First Quarter 2013 Review

Investors’ continued demand for yield supported the high yield bond market during the first quarter. The asset class also benefited from the U.S. Federal Reserve’s zero interest rate policy and solid corporate balance sheets. In the U.S., lawmakers were able to avert the potential cliff in fiscal spending at the beginning of the year and markets were resilient despite additional concerns regarding automatic spending cuts, referred to as sequestration. Later in the quarter, the market experienced some volatility after a stalemate in Italian elections and a banking crisis in Cyprus but ultimately high yield bonds gained during the period.

For the first quarter of 2013, the Pacholder High Yield Fund, Inc. (the “Fund”) returned 4.27% based on net asset value (“NAV”) compared to the 2.91% return for the Credit Suisse High Yield Index, Developed Countries Only (the “Index”) and the 3.72% average total return of the Morningstar Closed-End High Yield Category.

The Fund’s relative outperformance versus the Index for the reporting period was due in large part to security selection in the communication, finance and utility sectors. This was partially offset by negative security selection in the restaurants sector.

Fund Strategy

The Fund continued to use a credit bar bell investment strategy. To implement this strategy, the Fund invested a portion of its assets in relatively liquid high yield securities that demonstrated improving fundamentals, and took targeted credit risk when the Fund’s portfolio managers’ analysis indicated a favorable risk/reward opportunity. This targeted credit risk included investments in performing and non-performing bonds and loan assignments of firms that were trading at distressed levels or emerging from an administrative re-organization.

Auction Rate Preferred Shares and Dividends

Since February 2008, most auctions for preferred shares of closed-end funds and auction rate securities of other issuers have failed. The weekly auctions for the Fund’s ARPS have failed since February 13, 2008. Since that time, a number of broker-dealers have repurchased auction rate securities from certain clients. Any action taken by the Fund to provide liquidity to the ARPS must be in the best interest of the Fund as a whole.

On February 15, 2013, the Board of Trustees of the Pacholder High Yield Fund, Inc. authorized a reduction in the monthly dividend amount from $0.070 per common share to $0.065 per common share. The Board of Directors will continue to monitor the appropriateness of the dividend level going forward in light of market conditions and income earned by the Fund over time. The amount of monthly dividend may be more or less than the actual income earned by the Fund in a given month.

As always, we appreciate your interest in the Fund and look forward to your continued support.

Sincerely,

LOGO

George C.W. Gatch

CEO-Global Funds Management

J.P. Morgan Asset Management

The performance quoted is past performance and is not a guarantee of future results. Closed-end funds are subject to certain market risks. Investment returns and principal value of an investment will fluctuate so that an investor’s shares, when sold, may be worth more or less than their original cost. Current performance may be higher or lower than the performance data shown.

J.P. Morgan Asset Management is the marketing name for the asset management businesses of JPMorgan Chase & Co. Those businesses include, but are not limited to, J.P. Morgan Investment Management Inc., Security Capital Research & Management Incorporated and J.P. Morgan Alternative Asset Management, Inc.

Securities rated below investment grade are called “high-yield bonds,” “non-investment grade bonds,” “below investment-grade bonds,” or “junk bonds.” They generally are rated in the fifth or lower rating categories of Standard & Poor’s and Moody’s Investors Service. Although these securities tend to provide higher yields than higher rated securities, there is a greater risk that the Fund’s share value will decline. Because this Fund primarily invests in bonds, it is subject to interest rate risks. Bond prices generally fall when interest rates rise.

Opinions and estimates offered constitute our judgment and are subject to change without notice, as are statements of financial market trends, which are based on current market conditions. We believe the information provided here is reliable, but do not warrant its accuracy or completeness. This material is not intended as an offer or solicitation for the purchase or sale of any financial instrument. The views and strategies described may

P ACHOLDER H IGH Y IELD F UND, I NC.

not be suitable for all investors. This material has been prepared for informational purposes only, and is not intended to provide, and should not be relied on for, accounting and legal or tax advice. References to future returns are not promises or even estimates of actual returns a client portfolio may achieve. Any forecasts contained herein are for illustrative purposes only and are not to be relied upon as advice or interpreted as a recommendation.

Availability of Portfolio Holdings and Other Information

No sooner than 10 days after the end of each month, the Fund’s uncertified complete schedule of its portfolio holdings will be available on our website ( www.pacholder.com ). In addition, the Fund files its certified, complete schedule of its portfolio holdings with the U.S. Securities and Exchange Commission (“SEC”) for the first and third quarters of each fiscal year on Form N-Q. The Fund’s Form N-Qs are available, without charge, on the SEC’s website at www.sec.gov. The Fund’s Form N-Qs may 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.

No sooner than 10 calendar days after the end of each month, the Fund’s top ten holdings as of the last day of each month as well as certain other fund facts including estimated undistributed net income and statistical information will also be available on the Fund’s website.


Total Return*	Net Asset Value (NAV)**			Market Price
1 Year		15.91	%		9.92	%
5 Year		13.60	%		15.33	%
10 Year		14.85	%		12.99	%

Price per share March 31, 2013	$	8.75		$	9.02

Total returns assume the reinvestment of all dividends and capital gains, if any. Total returns shown are average annual returns unless otherwise noted.

The return shown is based on net asset value which reflects adjustments made to the net asset value in accordance with accounting principles generally accepted in the United States of America.

P ACHOLDER H IGH Y IELD F UND, I NC.

Schedule of Portfolio Investments

As of March 31, 2013 (Unaudited)


Description	Par (000)			Value		Percent of Net Assets*

CONVERTIBLE BOND — 0.0%
CONSUMER DISCRETIONARY — 0.0%
HOTELS, RESTAURANTS & LEISURE — 0.0%
Real Mex Restaurants, Inc., PIK, 1.120%, 03/21/18 ⁹ (cost $77,605)	$	78		$	—		0.0	%

CORPORATE BONDS — 118.3%
CONSUMER DISCRETIONARY — 26.8%
AUTO COMPONENTS — 1.0%
Goodyear Tire & Rubber Co. (The), Co Guar, 7.000%, 05/15/22 ¹⁰		815			858,806		0.8
UCI International, Inc., Co Guar, 8.625%, 02/15/19		250			258,750		0.2

					1,117,556		1.0
AUTOMOBILES — 1.8%
Chrysler Group LLC/CG Co-Issuer, Inc., Sec’d Nt,
8.000%, 06/15/19		200			219,250		0.2
8.250%, 06/15/21 ¹⁰		600			669,750		0.6
Ford Motor Co.,
7.750%, 06/15/43		750			875,457		0.8
8.900%, 01/15/32		125			164,982		0.1
Jaguar Land Rover Automotive plc, Private Placement, Co Guar, (United Kingdom), 5.625%, 02/01/23 ²		150			155,813		0.1
Motors Liquidation Co.,
5.250%, 03/06/32 ⁹		25 Units			3		0.0	¹²
6.250%, 07/15/33 ⁹		15 Units			1		0.0	¹²
7.250%, 04/15/41 ⁹		–Units	¹¹		—		0.0
7.250%, 07/15/41 ⁹		–Units	¹¹		—		0.0
7.250%, 02/15/52 ⁹		7 Units			1		0.0	¹²
7.375%, 05/15/48 ⁹		10 Units			1		0.0	¹²
7.375%, 10/01/51 ⁹		–Units	¹¹		—		0.0
7.750%, 03/15/36 ^1,4,9		55 Units			—		0.0
Motors Liquidation Co., Debentures,
6.750%, 05/01/28 ^1,4,9		50			—		0.0
8.100%, 06/15/24 ^1,4,9		1,725			2		0.0	¹²
8.375%, 07/15/33 ^1,4,9		425			—		0.0

					2,085,260		1.8
DISTRIBUTORS — 1.3%
AmeriGas Finance LLC/AmeriGas Finance Corp., Co Guar, 6.750%, 05/20/20		126			137,025		0.1

DISTRIBUTORS — (continued)
AmeriGas Partners LP/AmeriGas Finance Corp., 6.500%, 05/20/21	$	70		$	74,550		0.1	%
Ferrellgas LP/Ferrellgas Finance Corp., Sr Unsec’d Nt,
6.500%, 05/01/21		93			96,022		0.1
9.125%, 10/01/17		82			87,945		0.1
HD Supply, Inc., Co Guar, 10.500%, 01/15/21		102			106,080		0.1
HD Supply, Inc., Private Placement, Sr Unsec’d, 7.500%, 07/15/20 ²		235			247,338		0.2
HD Supply, Inc., Sr Sec’d, 8.125%, 04/15/19		246			277,980		0.2
Intcomex, Inc., 13.250%, 12/15/14		129			132,870		0.1
Suburban Propane Partners LP/Suburban Energy Finance Corp., Sr Unsec’d Nt, 7.375%, 08/01/21		62			68,355		0.1
VWR Funding, Inc., Private Placement, Co Guar, 7.250%, 09/15/17 ²		220			232,925		0.2

					1,461,090		1.3
DIVERSIFIED CONSUMER SERVICES — 0.2%
Coinstar, Inc., Private Placement, Co Guar, 6.000%, 03/15/19 ²		104			106,340		0.1
Service Corp. International, Sr Unsec’d Nt, 4.500%, 11/15/20		150			151,125		0.1

					257,465		0.2
HOTELS, RESTAURANTS & LEISURE — 4.6%
American Casino & Entertainment Properties LLC, Sr Sec’d Nt, 11.000%, 06/15/14		100			100,750		0.1
Ameristar Casinos, Inc., Nt, Co Guar, 7.500%, 04/15/21		180			197,325		0.2
Burger King Corp., Sr Nt, Co Guar, 9.875%, 10/15/18		50			57,438		0.1
CCM Merger, Inc., Private Placement, Co Guar, 9.125%, 05/01/19 ²		97			99,425		0.1
Cedar Fair LP/Canada’s Wonderland Co./Magnum Management Corp., Private Placement, Co Guar, 5.250%, 03/15/21 ²		100			99,375		0.1
Chukchansi Economic Development Authority, Private Placement, Sec’d Nt, 9.750%, 05/30/20 ^2,9		336			198,233		0.2

P ACHOLDER H IGH Y IELD F UND, I NC.

Schedule of Portfolio Investments (continued)

As of March 31, 2013 (Unaudited)


Description	Par (000)		Value		Percent of Net Assets*

HOTELS, RESTAURANTS & LEISURE — (continued)
CityCenter Holdings LLC/CityCenter Finance Corp., Sec’d Nt, PIK, 10.750%, 01/15/17	$	244	$	269,553		0.2	%
CKE Restaurants, Inc., Sr Sec’d Nt, 11.375%, 07/15/18		209		242,440		0.2
DineEquity, Inc., Sr Nt, Co Guar, 9.500%, 10/30/18		90		102,600		0.1
Downstream Development Authority of the Quapaw Tribe of Oklahoma, Private Placement, Sr Sec’d Nt, 10.500%, 07/01/19 ²		225		249,750		0.2
Graton Economic Development Authority, Private Placement, Sr Sec’d, 9.625%, 09/01/19 ²		115		128,800		0.1
Isle of Capri Casinos, Inc., Private Placement, Co Guar, 5.875%, 03/15/21 ²		68		68,000		0.1
Isle of Capri Casinos, Inc., Sr Nt, Co Guar, 7.750%, 03/15/19 ¹⁰		260		282,750		0.2
MGM Resorts International, Co Guar,
7.625%, 01/15/17		101		112,110		0.1
7.750%, 03/15/22		54		59,940		0.1
8.625%, 02/01/19		85		99,025		0.1
10.000%, 11/01/16 ¹⁰		1,000		1,192,500		1.0
MGM Resorts International, Private Placement, Co Guar, 6.750%, 10/01/20 ²		100		106,000		0.1
Pinnacle Entertainment, Inc., 8.750%, 05/15/20		95		104,381		0.1
Real Mex Restaurants, Inc.,
11.000%, 03/15/14 ⁹		92		91,934		0.1
PIK, 19.000%, 03/15/14 ⁹		156		86,597		0.1
RHP Hotel Properties LP/RHP Finance Corp., Private Placement, Co Guar, 5.000%, 04/15/21 ²		164		165,230		0.1
Sabre, Inc., Private Placement, Sr Sec’d, 8.500%, 05/15/19 ²		110		119,350		0.1
Seneca Gaming Corp., Private Placement, 8.250%, 12/01/18 ²		210		224,700		0.2
Shearer’s Foods LLC/Chip Fin Corp., Private Placement, Sr Sec’d Nt, 9.000%, 11/01/19 ²		125		136,875		0.1

HOTELS, RESTAURANTS & LEISURE — (continued)
Shingle Springs Tribal Gaming Authority, Private Placement, Sr Nt, 9.375%, 06/15/15 ^2,10	$	125	$	124,531		0.1	%
Six Flags Entertainment Corp., Private Placement, Co Guar, 5.250%, 01/15/21 ²		85		85,106		0.1
Studio City Finance Ltd., Private Placement, Co Guar, (United Kingdom), 8.500%, 12/01/20 ²		250		274,375		0.2
Viking Cruises Ltd., Private Placement, Sr Nt, (Bermuda), 8.500%, 10/15/22 ²		52		57,200		0.1
Wok Acquisition Corp., Private Placement, Co Guar, 10.250%, 06/30/20 ²		50		53,500		0.0	¹²

				5,189,793		4.6
HOUSEHOLD DURABLES — 2.4%
BC Mountain LLC/BC Mountain Finance, Inc., Private Placement, Co Guar, 7.000%, 02/01/21 ²		39		41,340		0.0	¹²
Brookfield Residential Properties, Inc., Private Placement, Co Guar, (Canada), 6.500%, 12/15/20 ²		212		226,840		0.2
DR Horton, Inc., Co Guar, 4.375%, 09/15/22		59		57,968		0.1
K Hovnanian Enterprises, Inc., Co Guar, 11.875%, 10/15/15		130		146,250		0.1
K Hovnanian Enterprises, Inc., Private Placement, Sec’d Nt, 9.125%, 11/15/20 ²		47		52,346		0.1
K Hovnanian Enterprises, Inc., Private Placement, Sr Sec’d Nt, 7.250%, 10/15/20 ²		128		141,760		0.1
KB Home, Co Guar, 7.500%, 09/15/22		245		275,013		0.3
Lennar Corp., Nt, Co Guar, 12.250%, 06/01/17		200		265,500		0.2
Lennar Corp., Sr Nt, 6.950%, 06/01/18		140		157,500		0.1
Libbey Glass, Inc., Sr Sec’d Nt, 6.875%, 05/15/20		31		33,441		0.0	¹²
M/I Homes, Inc., Co Guar, 8.625%, 11/15/18		310		344,100		0.3
MDC Holdings, Inc., Co Guar, 6.000%, 01/15/43		49		48,586		0.1
Meritage Homes Corp., Co Guar, 7.000%, 04/01/22		102		113,603		0.1

P ACHOLDER H IGH Y IELD F UND, I NC.

Schedule of Portfolio Investments (continued)

As of March 31, 2013 (Unaudited)


Description	Par (000)		Value		Percent of Net Assets*

HOUSEHOLD DURABLES — (continued)
RSI Home Products, Inc., Private Placement, Sec’d Nt, 6.875%, 03/01/18 ²	$	111	$	112,665		0.1	%
Standard Pacific Corp., Sec’d Nt, 8.375%, 05/15/18		270		317,925		0.3
Standard Pacific Corp., Sr Nt, 10.750%, 09/15/16		29		35,960		0.0	¹²
Standard Pacific Corp., Sr Nt, Co Guar, 8.375%, 01/15/21		135		159,806		0.1
Taylor Morrison Communities, Inc./Monarch Communities, Inc., Private Placement, Co Guar, 7.750%, 04/15/20 ²		110		117,975		0.1
Toll Brothers Finance Corp., Co Guar, 5.875%, 02/15/22		118		131,939		0.1

				2,780,517		2.4
INTERNET & CATALOG RETAIL — 0.5%
Netflix, Inc., Private Placement, Sr Unsec’d, 5.375%, 02/01/21 ²		143		141,927		0.1
Sitel LLC/Sitel Finance Corp., Private Placement, Sr Sec’d, 11.000%, 08/01/17 ²		158		167,085		0.2
Sitel LLC/Sitel Finance Corp., Sr Unsec’d Nt, 11.500%, 04/01/18		350		229,250		0.2

				538,262		0.5
LEISURE EQUIPMENT & PRODUCTS — 0.2%
Icon Health & Fitness, Private Placement, 11.875%, 10/15/16 ²		225		194,625		0.2

MEDIA — 11.2%
Adelphia Communications Corp., Pfd, 6.000%, 02/15/06 ^1,4		125		—		0.0
Adelphia Communications Corp., Sr Nt,
8.125%, 07/15/03 ^1,4		750		5,625		0.0	¹²
9.375%, 11/15/09 ^1,4		560		4,200		0.0	¹²
Cablevision Systems Corp., 8.000%, 04/15/20 ¹⁰		470		528,750		0.5
Cablevision Systems Corp., Sr Unsec’d Nt, 5.875%, 09/15/22		45		44,494		0.0	¹²
CCO Holdings LLC/CCO Holdings Capital Corp., 7.000%, 01/15/19		233		251,057		0.2
CCO Holdings LLC/CCO Holdings Capital Corp., Co Guar,
5.125%, 02/15/23		18		17,460		0.0	¹²

MEDIA — (continued)
6.500%, 04/30/21	$	7	$	7,402		0.0	% ¹²
8.125%, 04/30/20		450		502,875		0.5
CCO Holdings LLC/CCO Holdings Capital Corp., Private Placement, Co Guar, 5.250%, 03/15/21 ²		158		157,012		0.1
Cequel Communications Holdings I LLC and Cequel Capital Corp., Private Placement, Sr Nt, 8.625%, 11/15/17 ²		501		535,444		0.5
Cinemark USA, Inc., Private Placement, Co Guar, 5.125%, 12/15/22 ²		260		261,300		0.2
Clear Channel Communications, Inc., Private Placement, Sr Sec’d, 11.250%, 03/01/21 ²		115		117,875		0.1
Clear Channel Communications, Inc., Sr Sec’d Nt, 9.000%, 03/01/21		275		256,781		0.2
Clear Channel Worldwide Holdings, Inc., Co Guar,
7.625%, 03/15/20		575		600,156		0.5
7.625%, 03/15/20		25		25,844		0.0	¹²
Clear Channel Worldwide Holdings, Inc., Private Placement, Co Guar,
6.500%, 11/15/22 ²		135		140,737		0.1
6.500%, 11/15/22 ²		365		385,075		0.4
DISH DBS Corp., Co Guar, 4.625%, 07/15/17		17		17,637		0.0	¹²
DISH DBS Corp., Private Placement, Sr Unsec’d Nt, 5.000%, 03/15/23 ²		217		213,474		0.2
DISH DBS Corp., Sr Nt, Co Guar,
6.750%, 06/01/21 ¹⁰		465		516,150		0.5
7.875%, 09/01/19		50		59,250		0.0	¹²
Gray Television, Inc., Sr Nt, Co Guar, 7.500%, 10/01/20		160		170,800		0.1
Harron Communications LP/Harron Finance Corp., Private Placement, Sr Nt, 9.125%, 04/01/20 ²		210		233,100		0.2
Hughes Satellite Systems Corp., Sr Nt, Co Guar, 7.625%, 06/15/21		85		97,219		0.1
Intelsat Jackson Holdings S.A., Co Guar, (Luxembourg),
7.500%, 04/01/21		150		166,875		0.1
8.500%, 11/01/19		265		297,131		0.3
Intelsat Jackson Holdings S.A., Nt, Co Guar, (Luxembourg), 7.250%, 04/01/19		200		218,500		0.2

P ACHOLDER H IGH Y IELD F UND, I NC.

Schedule of Portfolio Investments (continued)

As of March 31, 2013 (Unaudited)


Description	Par (000)		Value		Percent of Net Assets*

MEDIA — (continued)
Intelsat Jackson Holdings S.A., Private Placement, Co Guar, (Luxembourg), 6.625%, 12/15/22 ²	$	85	$	89,994		0.1	%
Intelsat Jackson Holdings S.A., Sr Nt, Co Guar, (Luxembourg), 7.250%, 10/15/20		375		412,031		0.4
Intelsat Luxembourg S.A., (Luxembourg), PIK, 11.500%, 02/04/17 ¹⁰		1,167		1,239,220		1.1
Intelsat Luxembourg S.A., Private Placement, Sr Nt, Co Guar, (Luxembourg), 8.125%, 06/01/23 ²		253		257,111		0.2
Intelsat Luxembourg S.A., Private Placement, Sr Unsec’d, (Luxembourg), 6.750%, 06/01/18 ²		75		77,250		0.1
Intelsat Luxembourg S.A., Private Placement, Sr Unsec’d Nt, (Luxembourg), 7.750%, 06/01/21 ²		445		452,788		0.4
Intelsat Luxembourg S.A., Sr Nt, Co Guar, (Luxembourg), 11.250%, 02/04/17		250		266,250		0.2
Liberty Interactive LLC, Sr Unsec’d, 8.250%, 02/01/30		160		176,000		0.2
McGraw-Hill Global Education Holdings LLC/McGraw-Hill Global Education Finance, Private Placement, Sr Sec’d Nt, 9.750%, 04/01/21 ²		83		82,170		0.1
Media General, Inc., 11.750%, 02/15/17		130		147,225		0.1
Mediacom LLC/Mediacom Capital Corp., 9.125%, 08/15/19		245		273,481		0.2
Mediacom LLC/Mediacom Capital Corp., Sr Unsec’d, 7.250%, 02/15/22		75		82,500		0.1
Mood Media Corp., Private Placement, Sr Unsec’d Nt, (Canada), 9.250%, 10/15/20 ²		215		234,888		0.2
Nexstar Broadcasting, Inc./Mission Broadcasting, Inc., 8.875%, 04/15/17 ¹⁰		400		440,000		0.4
Production Resource Group, Inc., Sr Unsec’d, 8.875%, 05/01/19 ⁹		100		75,750		0.1
Quebecor Media, Inc., Private Placement, Sr Unsec’d Nt, (Canada), 5.750%, 01/15/23 ²		180		183,600		0.2
Radio One, Inc., Sr Sub Nt, Co Guar, PIK, 12.500%, 05/24/16		92		92,331		0.1

MEDIA — (continued)
Regal Entertainment Group, Co Guar, 9.125%, 08/15/18	$	150	$	168,375		0.1	%
Regal Entertainment Group, Sr Unsec’d, 5.750%, 02/01/25		57		56,003		0.0	¹²
Sinclair Television Group, Inc., Private Placement, Co Guar, 5.375%, 04/01/21 ²		78		77,415		0.1
Sinclair Television Group, Inc., Private Placement, Sr Nt, 6.125%, 10/01/22 ²		285		298,538		0.3
Sirius XM Radio, Inc., Private Placement, Co Guar, 5.250%, 08/15/22 ²		65		66,463		0.1
Starz LLC/Starz Finance Corp., Private Placement, Co Guar, 5.000%, 09/15/19 ²		120		123,600		0.1
Telesat Canada/Telesat LLC, (Canada), 12.500%, 11/01/17 ¹⁰		150		160,500		0.1
Unitymedia Hessen GmbH & Co. KG/Unitymedia NRW GmbH, Private Placement, Sr Sec’d Nt, (Germany), 5.500%, 01/15/23 ²		200		205,500		0.2
Univision Communications, Inc., Private Placement, Co Guar, 8.500%, 05/15/21 ²		165		178,200		0.2
Univision Communications, Inc., Private Placement, Sr Sec’d Nt,
6.750%, 09/15/22 ^2,10		490		529,200		0.5
7.875%, 11/01/20 ²		220		242,000		0.2
Valassis Communications, Inc., Sr Nt, Co Guar, 6.625%, 02/01/21		50		53,375		0.0	¹²
Visant Corp., Co Guar, 10.000%, 10/01/17		52		47,450		0.0	¹²
WMG Acquisition Corp., Private Placement, Sr Sec’d Nt, 6.000%, 01/15/21 ²		65		68,088		0.1

				12,689,519		11.2
MULTILINE RETAIL — 0.1%
Sears Holdings Corp., Sr Sec’d Nt, 6.625%, 10/15/18		125		121,719		0.1

SPECIALTY RETAIL — 2.9%
Burlington Holdings LLC/Burlington Holding Finance, Inc., Private Placement, Sr Unsec’d, PIK, 9.000%, 02/15/18 ²		79		80,185		0.1

P ACHOLDER H IGH Y IELD F UND, I NC.

Schedule of Portfolio Investments (continued)

As of March 31, 2013 (Unaudited)


Description	Par (000)		Value		Percent of Net Assets*

SPECIALTY RETAIL — (continued)
Claire’s Stores, Inc., Private Placement, Sr Sec’d Nt, 9.000%, 03/15/19 ^2,10	$	659	$	744,670		0.7	%
Claire’s Stores, Inc., Sec’d Nt, 8.875%, 03/15/19 ¹⁰		907		956,885		0.8
Gymboree Corp., Co Guar, 9.125%, 12/01/18		300		282,375		0.2
Jo-Ann Stores Holdings, Inc., Private Placement, Sr Unsec’d Nt, PIK, 9.750%, 10/15/19 ²		175		183,750		0.2
Neebo, Inc., Private Placement, 15.000%, 06/30/16 ²		173		171,982		0.1
Needle Merger Sub Corp., Private Placement, Sr Nt, 8.125%, 03/15/19 ²		200		209,000		0.2
Party City Holdings, Inc., Private Placement, Sr Nt, 8.875%, 08/01/20 ²		179		196,452		0.2
Penske Automotive Group, Inc., Private Placement, Co Guar, 5.750%, 10/01/22 ²		86		89,655		0.1
Radio Systems Corp., Private Placement, Sec’d Nt, 8.375%, 11/01/19 ²		110		116,325		0.1
Serta Simmons Holdings LLC, Private Placement, Sr Nt, 8.125%, 10/01/20 ²		45		46,744		0.0	¹²
Toys R Us — Delaware, Inc., Private Placement, Sr Sec’d, 7.375%, 09/01/16 ²		250		255,938		0.2

				3,333,961		2.9
TEXTILES, APPAREL & LUXURY GOODS — 0.6%
Quiksilver, Inc., 6.875%, 04/15/15 ¹⁰		748		747,065		0.6

Total Consumer Discretionary				30,516,832		26.8

CONSUMER STAPLES — 4.8%
FOOD & STAPLES RETAILING — 1.7%
New Albertsons, Inc., Sr Unsec’d, 7.450%, 08/01/29		67		53,684		0.0	¹²
New Albertsons, Inc., Unsec’d Nt, 8.000%, 05/01/31 ¹⁰		457		370,170		0.3
Rite Aid Corp., 9.500%, 06/15/17 ¹⁰		650		681,687		0.6
Rite Aid Corp., Co Guar, 9.250%, 03/15/20		150		169,313		0.2
SUPERVALU, Inc., Sr Unsec’d Nt, 8.000%, 05/01/16 ¹⁰		450		468,000		0.4
Tops Holding Corp./Tops Markets LLC, Private Placement, Sr Sec’d Nt, 8.875%, 12/15/17 ²		170		186,575		0.2

				1,929,429		1.7

FOOD PRODUCTS — 1.4%
ARAMARK Corp., Private Placement, Sr Unsec’d, 5.750%, 03/15/20 ²	$	90	$	92,025		0.1	%
Bumble Bee Holdings, Inc., Private Placement, Sr Sec’d Nt, 9.000%, 12/15/17 ²		146		160,600		0.1
Dean Foods Co., Co Guar, 7.000%, 06/01/16		110		121,825		0.1
Dean Foods Co., Sr Nt, Co Guar, 9.750%, 12/15/18		45		52,087		0.0	¹²
Eurofresh, Inc., PIK, 15.000%, 11/18/16 ^1,4,9,16		545		—		0.0
Hawk Acquisition Sub, Inc., Private Placement, Sr Sec’d Nt, 4.250%, 10/15/20 ²		435		435,544		0.4
JBS USA LLC/JBS USA Finance, Inc., Private Placement, Sr Unsec’d Nt,
7.250%, 06/01/21 ²		45		47,138		0.0	¹²
8.250%, 02/01/20 ²		78		85,215		0.1
Pilgrim’s Pride Corp., Co Guar, 7.875%, 12/15/18		105		113,531		0.1
Simmons Foods, Inc., Private Placement, 10.500%, 11/01/17 ²		55		54,656		0.1
Smithfield Foods, Inc., Sr Unsec’d Nt,
6.625%, 08/15/22		155		168,950		0.2
7.750%, 07/01/17		130		150,638		0.1
Wells Enterprises, Inc., Private Placement, Sr Sec’d, 6.750%, 02/01/20 ²		58		61,190		0.1

				1,543,399		1.4
HOUSEHOLD PRODUCTS — 1.5%
American Achievement Corp., Private Placement, 10.875%, 04/15/16 ²		110		106,700		0.1
Armored Autogroup, Inc., Co Guar, 9.250%, 11/01/18		26		23,205		0.0	¹²
Reynolds Group Issuer, Inc./Reynolds Group Issuer LLC, Co Guar,
8.250%, 02/15/21		100		103,000		0.1
8.500%, 05/15/18 ¹⁰		400		420,500		0.4
9.875%, 08/15/19		275		301,469		0.2
Reynolds Group Issuer, Inc./Reynolds Group Issuer LLC, Sr Sec’d, 5.750%, 10/15/20		460		468,625		0.4

P ACHOLDER H IGH Y IELD F UND, I NC.

Schedule of Portfolio Investments (continued)

As of March 31, 2013 (Unaudited)


Description	Par (000)		Value		Percent of Net Assets*

HOUSEHOLD PRODUCTS — (continued)
Reynolds Group Issuer, Inc./Reynolds Group Issuer LLC, Sr Sec’d Nt, 7.875%, 08/15/19	$	250	$	275,625		0.3	%
Spectrum Brands Escrow Corp., Private Placement, Sr Unsec’d Nt, 6.625%, 11/15/22 ²		42		45,570		0.0	¹²

				1,744,694		1.5
PERSONAL PRODUCTS — 0.1%
Revlon Consumer Products Corp., Private Placement, Co Guar, 5.750%, 02/15/21 ²		119		119,446		0.1

TOBACCO — 0.1%
Alliance One International, Inc., Nt, 10.000%, 07/15/16		80		84,500		0.1

Total Consumer Staples				5,421,468		4.8

ENERGY — 15.7%
ENERGY EQUIPMENT & SERVICES — 3.7%
Basic Energy Services, Inc., Co Guar,
7.750%, 02/15/19		140		143,150		0.1
7.750%, 10/15/22		66		67,980		0.1
Bluewater Holding BV, Private Placement, Nt, (Netherlands), VAR, 3.303%, 07/17/14 ²		400		389,000		0.3
Exterran Partners LP/EXLP Finance Corp., Private Placement, Co Guar, 6.000%, 04/01/21 ²		70		69,737		0.1
Helix Energy Solutions Group, Inc., Private Placement, 9.500%, 01/15/16 ^2,10		72		73,980		0.1
Hiland Partners LP/Hiland Partners Finance Corp., Private Placement, Co Guar, 7.250%, 10/01/20 ²		92		100,510		0.1
Key Energy Services, Inc., Nt, 6.750%, 03/01/21		255		265,838		0.2
Ocean Rig UDW, Inc., Sr Unsec’d Nt, 9.500%, 04/27/16		100		105,000		0.1
Oil States International, Inc., Co Guar, 6.500%, 06/01/19 ¹⁰		360		385,200		0.3
Oil States International, Inc., Private Placement, Co Guar, 5.125%, 01/15/23 ²		68		68,000		0.1

ENERGY EQUIPMENT & SERVICES — (continued)
Petroleum Geo-Services ASA, Private Placement, Co Guar, (Norway), 7.375%, 12/15/18 ²	$	400	$	438,000		0.4	%
PHI, Inc., 8.625%, 10/15/18		310		337,125		0.3
Pioneer Energy Services Corp., 9.875%, 03/15/18		255		279,225		0.2
Sea Trucks Group, Private Placement, Sr Sec’d Nt, (Nigeria), 9.000%, 03/26/18 ²		200		201,000		0.2
Seadrill Ltd., (Bermuda), 6.500%, 10/05/15		300		316,500		0.3
Seadrill Ltd., Private Placement, Sr Unsec’d Nt, (Bermuda), 5.625%, 09/15/17 ²		200		202,000		0.2
Shelf Drilling Holdings Ltd., Private Placement, Sr Sec’d Nt, (Cayman Islands), 8.625%, 11/01/18 ²		125		132,500		0.1
Sidewinder Drilling, Inc., Private Placement, Sr Unsec’d Nt, 9.750%, 11/15/19 ²		150		150,750		0.1
Trinidad Drilling Ltd., Private Placement, Sr Unsec’d Nt, (Canada), 7.875%, 01/15/19 ²		130		141,050		0.1
Unit Corp., Co Guar, 6.625%, 05/15/21		313		327,868		0.3

				4,194,413		3.7
OIL, GAS & CONSUMABLE FUELS — 12.0%
Alpha Natural Resources, Inc., Co Guar,
6.000%, 06/01/19		178		164,205		0.1
6.250%, 06/01/21		165		148,500		0.1
9.750%, 04/15/18		60		64,350		0.1
Alta Mesa Holdings LP/Alta Mesa Finance Services Corp., Co Guar, 9.625%, 10/15/18 ¹⁰		293		309,115		0.3
Antero Resources Finance Corp., Nt, 9.375%, 12/01/17		102		110,670		0.1
Antero Resources Finance Corp., Private Placement, Co Guar, 6.000%, 12/01/20 ²		115		120,175		0.1
Arch Coal, Inc., Co Guar, 7.000%, 06/15/19		125		112,812		0.1
Arch Coal, Inc., Private Placement, Co Guar, 9.875%, 06/15/19 ²		60		61,500		0.0	¹²
Bill Barrett Corp., 9.875%, 07/15/16		85		90,950		0.1

P ACHOLDER H IGH Y IELD F UND, I NC.

Schedule of Portfolio Investments (continued)

As of March 31, 2013 (Unaudited)


Description	Par (000)		Value		Percent of Net Assets*

OIL, GAS & CONSUMABLE FUELS — (continued)
Bill Barrett Corp., Co Guar, 7.000%, 10/15/22	$	65	$	68,087		0.1	%
Bill Barrett Corp., Sr Nt, Co Guar, 7.625%, 10/01/19 ¹⁰		505		536,562		0.5
Calumet Specialty Products Partners LP/Calumet Finance Corp., Co Guar, 9.375%, 05/01/19		33		36,960		0.0	¹²
Calumet Specialty Products Partners LP/Calumet Finance Corp., Nt, Co Guar, 9.375%, 05/01/19		60		67,200		0.1
Calumet Specialty Products Partners LP/Calumet Finance Corp., Private Placement, Sr Nt, 9.625%, 08/01/20 ²		150		169,125		0.1
Chesapeake Energy Corp., Co Guar,
3.250%, 03/15/16		57		57,641		0.1
5.375%, 06/15/21		140		140,525		0.1
5.750%, 03/15/23		140		141,925		0.1
6.125%, 02/15/21		188		199,985		0.2
6.775%, 03/15/19		100		104,375		0.1
Chesapeake Oilfield Operating LLC/Chesapeake Oilfield Finance, Inc., Private Placement, Sr Nt, Co Guar, 6.625%, 11/15/19 ²		200		206,000		0.2
Cimarex Energy Co., Co Guar, 5.875%, 05/01/22		72		77,220		0.1
Citgo Petroleum Corp., Private Placement, Sr Nt, 11.500%, 07/01/17 ²		300		343,875		0.3
Cloud Peak Energy Resources LLC/Cloud Peak Energy Finance Corp., Co Guar, 8.500%, 12/15/19		35		37,975		0.0	¹²
Comstock Resources, Inc., 7.750%, 04/01/19		75		79,125		0.1
Comstock Resources, Inc., Sr Nt, 8.375%, 10/15/17 ¹⁰		261		277,312		0.2
Comstock Resources, Inc., Sr Nt, Co Guar, 9.500%, 06/15/20		224		245,280		0.2
Concho Resources, Inc., Co Guar,
5.500%, 04/01/23		90		93,375		0.1
6.500%, 01/15/22		230		250,700		0.2
Consol Energy, Inc., 8.250%, 04/01/20		145		160,587		0.1
Continental Resources, Inc.,
5.000%, 09/15/22		260		276,250		0.2
7.125%, 04/01/21		75		84,937		0.1

OIL, GAS & CONSUMABLE FUELS — (continued)
CVR Refining LLC/Coffeyville Finance, Inc., Private Placement, Sec’d Nt, 6.500%, 11/01/22 ²	$	221	$	225,972		0.2	%
EP Energy LLC/EP Energy Finance, Inc., Sr Unsec’d Nt, 9.375%, 05/01/20		478		552,090		0.5
EP Energy LLC/Everest Acquisition Finance, Inc., Co Guar, 7.750%, 09/01/22		142		156,910		0.1
EP Energy LLC/Everest Acquisition Finance, Inc., Sr Sec’d Nt, 6.875%, 05/01/19		97		106,215		0.1
EPE Holdings LLC/EP Energy Bond Co., Inc., Private Placement, Sr Unsec’d Nt, PIK, 8.125%, 12/15/17 ²		100		105,000		0.1
Forest Oil Corp., Nt, 7.250%, 06/15/19		529		529,000		0.5
Hilcorp Energy I LP/Hilcorp Finance Co., Private Placement, 7.625%, 04/15/21 ²		75		82,500		0.1
Kodiak Oil & Gas Corp., Private Placement, Co Guar, (Canada), 5.500%, 01/15/21 ²		90		94,275		0.1
Laredo Petroleum, Inc., Co Guar, 7.375%, 05/01/22		195		213,525		0.2
MEG Energy Corp., Private Placement, Co Guar, (Canada), 6.500%, 03/15/21 ²		125		133,125		0.1
Midstates Petroleum Co., Inc./Midstates Petroleum Co LLC, Private Placement, Co Guar, 10.750%, 10/01/20 ²		234		259,740		0.2
Newfield Exploration Co., Sr Sec’d, 5.625%, 07/01/24		105		108,413		0.1
NFR Energy LLC/NFR Energy Finance Corp., Co Guar, 9.750%, 02/15/17		360		362,700		0.3
PBF Holding Co. LLC/PBF Finance Corp., Private Placement, Sr Sec’d Nt, 8.250%, 02/15/20 ²		185		203,500		0.2
Peabody Energy Corp., Co Guar,
6.000%, 11/15/18		115		122,188		0.1
6.250%, 11/15/21		300		312,000		0.3
Plains Exploration & Production Co., Co Guar,
6.500%, 11/15/20		206		227,630		0.2
6.750%, 02/01/22		29		32,299		0.0	¹²
6.875%, 02/15/23		396		448,470		0.4
QEP Resources, Inc., 6.875%, 03/01/21		140		159,250		0.1

P ACHOLDER H IGH Y IELD F UND, I NC.

Schedule of Portfolio Investments (continued)

As of March 31, 2013 (Unaudited)


Description	Par (000)		Value		Percent of Net Assets*

OIL, GAS & CONSUMABLE FUELS — (continued)
QEP Resources, Inc., Sr Unsec’d Nt,
5.250%, 05/01/23	$	102	$	104,550		0.1	%
5.375%, 10/01/22		305		316,438		0.3
Range Resources Corp., 6.750%, 08/01/20		20		22,000		0.0	¹²
Samson Investment Co., Private Placement, Sr Unsec’d Nt, 9.750%, 02/15/20 ^2,10		595		632,188		0.5
SM Energy Co., Sr Unsec’d Nt,
6.500%, 11/15/21 ¹⁰		400		437,000		0.4
6.625%, 02/15/19		130		139,425		0.1
SM Energy Co., Sr Unsec’d Nt, 6.500%, 01/01/23		115		125,925		0.1
Stone Energy Corp., Co Guar, 7.500%, 11/15/22		126		137,655		0.1
Swift Energy Co., 8.875%, 01/15/20		60		65,175		0.1
Swift Energy Co., Co Guar, 7.875%, 03/01/22		189		197,505		0.2
Swift Energy Co., Sr Nt, 7.125%, 06/01/17 ¹⁰		510		522,750		0.5
Talos Production LLC/Talos Production Finance, Inc., Private Placement, Sr Unsec’d, 9.750%, 02/15/18 ²		193		191,070		0.2
Vanguard Natural Resources LLC/VNR Finance Corp., Sr Unsec’d Nt, 7.875%, 04/01/20		220		235,950		0.2
W&T Offshore, Inc., Nt, Co Guar, 8.500%, 06/15/19		460		500,250		0.4
Western Refining, Inc., Private Placement, Co Guar, 6.250%, 04/01/21 ²		71		72,598		0.1
WPX Energy, Inc., Private Placement, Sr Unsec’d, 5.250%, 01/15/17 ²		185		193,788		0.2
WPX Energy, Inc., Sr Unsec’d, 6.000%, 01/15/22		485		508,038		0.4

				13,674,405		12.0

Total Energy				17,868,818		15.7

FINANCIALS — 13.5%
CAPITAL MARKETS — 0.2%
E*TRADE Financial Corp., Sr Unsec’d Nt,
6.000%, 11/15/17		40		41,850		0.0	¹²
6.375%, 11/15/19		90		95,175		0.1

CAPITAL MARKETS — (continued)
Oppenheimer Holdings, Inc., Sr Sec’d Nt, 8.750%, 04/15/18	$	135	$	145,125		0.1	%

				282,150		0.2
COMMERCIAL BANKS — 2.6%
Barclays Bank plc, Private Placement, Sub Nt, (United Kingdom), 10.179%, 06/12/21 ²		160		214,299		0.2
CIT Group, Inc., Private Placement, Sr Unsec’d Nt, 6.625%, 04/01/18 ²		255		290,700		0.3
CIT Group, Inc., Sr Unsec’d,
5.000%, 05/15/17		116		124,410		0.1
5.375%, 05/15/20		60		65,850		0.1
CIT Group, Inc., Sr Unsec’d Nt,
4.250%, 08/15/17 ¹⁰		408		426,360		0.4
5.000%, 08/15/22		327		349,167		0.3
5.250%, 03/15/18		85		91,800		0.1
Regions Bank, Sub Nt, 6.450%, 06/26/37		250		270,625		0.2
Royal Bank of Scotland Group plc, Sub Nt, (United Kingdom), 6.125%, 12/15/22		168		173,762		0.1
Royal Bank of Scotland N.V., Sub Nt, (Netherlands), VAR, 0.981%, 03/09/15		25		23,791		0.0	¹²
Royal Bank of Scotland plc (The), Sub Nt, (United Kingdom), VAR, 9.500%, 03/16/22		275		316,938		0.3
Wachovia Capital Trust III, VAR, 5.570%, 05/02/13 ^10,14		570		571,995		0.5

				2,919,697		2.6
CONSUMER FINANCE — 3.3%
Ally Financial, Inc., 8.000%, 11/01/31		622		786,830		0.7
Ally Financial, Inc., Co Guar,
6.250%, 12/01/17 ¹⁰		505		564,743		0.5
8.000%, 03/15/20		755		936,200		0.8
Community Choice Financial, Inc., Sr Sec’d Nt, 10.750%, 05/01/19		125		118,437		0.1
ILFC E-Capital Trust I, Private Placement, VAR, 4.680%, 12/21/65 ²		950		831,250		0.8
ILFC E-Capital Trust II, Private Placement, VAR, 6.250%, 12/21/65 ²		520		490,100		0.4

				3,727,560		3.3
DIVERSIFIED FINANCIAL SERVICES — 3.5%
ACE Cash Express, Inc., Private Placement, 11.000%, 02/01/19 ²		430		426,775		0.4

P ACHOLDER H IGH Y IELD F UND, I NC.

Schedule of Portfolio Investments (continued)

As of March 31, 2013 (Unaudited)


Description	Par (000)		Value		Percent of Net Assets*

DIVERSIFIED FINANCIAL SERVICES — (continued)
Alphabet Holding Co., Inc., Private Placement, Sr Unsec’d Nt, PIK, 7.750%, 11/01/17 ²	$	27	$	28,148		0.0	% ¹²
Ausdrill Finance Pty Ltd., Private Placement, Co Guar, (Australia), 6.875%, 11/01/19 ²		200		204,500		0.2
Bank of America Corp.,
VAR, 8.000%, 01/30/18 ¹⁴		285		320,283		0.3
VAR, 8.125%, 05/15/18 ¹⁴		665		748,229		0.6
Boart Longyear Management Pty Ltd., Private Placement, Co Guar, (Australia), 7.000%, 04/01/21 ²		60		61,950		0.1
Cantor Commercial Real Estate Co. LP/CCRE Finance Corp., Private Placement, Co Guar, 7.750%, 02/15/18 ²		80		81,400		0.1
Capmark Financial Group, Inc., 05/10/10 ^1,4		2,460		32,593		0.0	¹²
Citigroup, Inc., Jr Sub Nt, VAR, 5.950%, 01/30/23 ¹⁴		210		217,875		0.2
CNG Holdings, Inc., Private Placement, Sr Sec’d, 9.375%, 05/15/20 ²		275		269,844		0.2
Harland Clarke Holdings Corp., 9.500%, 05/15/15		40		39,450		0.0	¹²
Harland Clarke Holdings Corp., VAR, 6.000%, 05/15/15 ¹⁰		447		429,120		0.4
Harland Clarke Holdings Corp., Private Placement, Sr Sec’d, 9.750%, 08/01/18 ²		145		153,700		0.1
Igloo Holdings Corp., Private Placement, Sr Unsec’d Nt, PIK, 8.250%, 12/15/17 ²		99		101,351		0.1
Nationstar Mortgage LLC/Nationstar Capital Corp., Private Placement, 9.625%, 05/01/19 ²		15		17,100		0.0	¹²
Nationstar Mortgage LLC/Nationstar Capital Corp., Private Placement, Co Guar,
6.500%, 07/01/21 ²		28		29,190		0.0	¹²
7.875%, 10/01/20 ²		111		122,655		0.1
9.625%, 05/01/19 ²		39		44,655		0.1

DIVERSIFIED FINANCIAL SERVICES — (continued)
Rivers Pittsburgh Borrower LP/Rivers Pittsburgh Finance Corp., Private Placement, Sr Sec’d, 9.500%, 06/15/19 ²	$	50	$	54,625		0.1	%
ROC Finance LLC/ROC Finance 1 Corp., Private Placement, Sec’d Nt, 12.125%, 09/01/18 ²		180		208,800		0.2
Speedy Cash Intermediate Holdings Corp., Private Placement, Sr Sec’d Nt, 10.750%, 05/15/18 ²		105		113,138		0.1
SquareTwo Financial Corp., Sr Sec’d Nt, 11.625%, 04/01/17		112		113,960		0.1
TransUnion Holding Co., Inc., Private Placement, Sr Unsec’d Nt, PIK, 8.125%, 06/15/18 ²		108		115,290		0.1

				3,934,631		3.5
INSURANCE — 3.2%
American International Group, Inc., VAR, 8.175%, 05/15/58		530		713,513		0.6
A-S Co-Issuer Subsidiary, Inc./A-S Merger Sub LLC, Private Placement, Sr Unsec’d Nt, 7.875%, 12/15/20 ²		65		66,787		0.1
Catlin Insurance Co., Ltd., Private Placement, Jr Sub Nt, (Bermuda), VAR, 7.249%, 01/19/17 ^2,14		300		308,250		0.3
Fidelity & Guaranty Life Holdings, Inc., Private Placement, Sr Unsec’d, 6.375%, 04/01/21 ²		79		80,580		0.1
Hartford Financial Services Group, Inc., Sub Nt, VAR, 8.125%, 06/15/38		100		118,625		0.1
Hub International Ltd., Private Placement, Co Guar, 8.125%, 10/15/18 ²		254		267,335		0.2
Liberty Mutual Group, Inc., Private Placement, VAR, 10.750%, 06/15/58 ²		765		1,181,925		1.0
Liberty Mutual Group, Inc., Private Placement, Sr Nt, Co Guar, 6.500%, 05/01/42 ²		53		60,390		0.1
Liberty Mutual Group, Inc., Private Placement, Sub Nt, Co Guar, 7.800%, 03/15/37 ²		250		291,250		0.3
Onex USI Acquisition Corp., Private Placement, Sr Unsec’d Nt, 7.750%, 01/15/21 ²		343		343,858		0.3

P ACHOLDER H IGH Y IELD F UND, I NC.

Schedule of Portfolio Investments (continued)

As of March 31, 2013 (Unaudited)


Description	Par (000)		Value		Percent of Net Assets*

INSURANCE — (continued)
Prudential Financial, Inc., Jr Sub Nt, VAR, 5.625%, 06/15/43	$	142	$	146,970		0.1	%

				3,579,483		3.2
REAL ESTATE INVESTMENT TRUSTS (REITS) — 0.3%
CNL Lifestyle Properties, Inc., Sr Nt, Co Guar, 7.250%, 04/15/19		171		171,000		0.2
Corrections Corp. of America, Private Placement, Sr Nt, 4.125%, 04/01/20 ²		53		53,000		0.0	¹²
Corrections Corp. of America, Private Placement, Sr Unsec’d, 4.625%, 05/01/23 ²		53		54,259		0.0	¹²
Felcor Lodging LP, Sr Sec’d, 6.750%, 06/01/19		100		108,500		0.1

				386,759		0.3
REAL ESTATE MANAGEMENT & DEVELOPMENT — 0.4%
CB Richard Ellis Services, Inc., 6.625%, 10/15/20		150		162,750		0.1
Kennedy-Wilson, Inc., Sr Nt, Co Guar, 8.750%, 04/01/19		160		172,800		0.2
Mattamy Group Corp., Private Placement, Sr Unsec’d Nt, (Canada), 6.500%, 11/15/20 ²		169		168,577		0.1

				504,127		0.4

Total Financials				15,334,407		13.5

HEALTH CARE — 8.3%
BIOTECHNOLOGY — 0.1%
Grifols, Inc., Sr Nt, Co Guar, 8.250%, 02/01/18		100		110,000		0.1

HEALTH CARE EQUIPMENT & SUPPLIES — 0.4%
Biomet, Inc., Private Placement, Co Guar, 6.500%, 08/01/20 ²		285		302,456		0.3
Biomet, Inc., Private Placement, Sr Sub Nt, 6.500%, 10/01/20 ²		125		128,516		0.1
Hologic, Inc., Sr Nt, Co Guar, 6.250%, 08/01/20		70		74,462		0.0	¹²

				505,434		0.4
HEALTH CARE PROVIDERS & SERVICES — 7.1%
Acadia Healthcare Co., Inc., Private Placement, Co Guar, 6.125%, 03/15/21 ²		108		111,510		0.1

HEALTH CARE PROVIDERS & SERVICES — (continued)
Amsurg Corp., Private Placement, Co Guar, 5.625%, 11/30/20 ²	$	65	$	68,412		0.1	%
Capella Healthcare, Inc., Co Guar, 9.250%, 07/01/17		51		55,207		0.1
CHS/Community Health Systems, Inc., 7.125%, 07/15/20		203		220,255		0.2
CHS/Community Health Systems, Inc., CoGuar, 8.000%, 11/15/19		310		343,325		0.3
CHS/Community Health Systems, Inc., Sr Sec’d Nt, 5.125%, 08/15/18		45		47,137		0.0	¹²
DaVita HealthCare Partners, Inc., Co Guar, 6.625%, 11/01/20		140		151,637		0.1
Fresenius Medical Care U.S. Finance II, Inc., Private Placement, Co Guar,
5.625%, 07/31/19 ²		67		73,532		0.0	¹²
5.750%, 02/15/21 ²		90		99,225		0.1
5.875%, 01/31/22 ²		196		218,785		0.2
HCA Holdings, Inc., Sr Unsec’d Nt, 6.250%, 02/15/21		350		373,188		0.3
HCA, Inc., Co Guar, 7.500%, 02/15/22 ¹⁰		945		1,086,750		1.0
HCA, Inc., Sr Sec’d Nt, 5.875%, 03/15/22 ¹⁰		500		538,750		0.5
HCA, Inc., Sr Sec’d Nt, 4.750%, 05/01/23		215		213,925		0.2
HCA, Inc., Sr Unsec’d Nt, 8.000%, 10/01/18		180		210,600		0.2
Health Management Associates, Inc., Co Guar, 7.375%, 01/15/20		235		257,913		0.2
IASIS Healthcare LLC/IASIS Capital Corp., Co Guar, 8.375%, 05/15/19		112		117,740		0.1
inVentiv Health, Inc., Private Placement, Co Guar, 11.000%, 08/15/18 ²		3		2,565		0.0	¹²
inVentiv Health, Inc., Private Placement, Sr Nt, 10.750%, 08/15/18 ²		584		499,320		0.4
inVentiv Health, Inc., Private Placement, Sr Sec’d Nt, 9.000%, 01/15/18 ²		140		147,000		0.1
Multiplan, Inc., Private Placement, Nt, 9.875%, 09/01/18 ^2,10		700		777,875		0.7
National Mentor Holdings, Inc., Private Placement, Nt, Co Guar, 12.500%, 02/15/18 ²		575		621,000		0.5
OnCure Holdings, Inc., 11.750%, 05/15/17		139		68,805		0.1
Tenet Healthcare Corp., 8.875%, 07/01/19 ¹⁰		250		281,250		0.2

P ACHOLDER H IGH Y IELD F UND, I NC.

Schedule of Portfolio Investments (continued)

As of March 31, 2013 (Unaudited)


Description	Par (000)		Value		Percent of Net Assets*

HEALTH CARE PROVIDERS & SERVICES — (continued)
Tenet Healthcare Corp., Private Placement, Sr Sec’d, 4.500%, 04/01/21 ²	$	75	$	73,500		0.1	%
Tenet Healthcare Corp., Private Placement, Sr Sec’d Nt, 4.750%, 06/01/20 ²		75		75,375		0.1
Tenet Healthcare Corp., Sr Sec’d, 6.250%, 11/01/18		105		116,550		0.1
Tenet Healthcare Corp., Sr Unsec’d Nt, 8.000%, 08/01/20		138		152,318		0.1
United Surgical Partners International, Inc., Co Guar, 9.000%, 04/01/20		175		198,188		0.2
Vanguard Health Holding Co. II LLC/Vanguard Holding Co. II Inc, Co Guar,
7.750%, 02/01/19		657		702,990		0.6
8.000%, 02/01/18		157		167,009		0.2

				8,071,636		7.1
PHARMACEUTICALS — 0.7%
Celtic Pharma Phinco B.V., (Bermuda), PIK, 17.000%, 06/15/12 ^9,16		2,585		77,555		0.1
Endo Pharmaceuticals Holdings, Inc., Co Guar,
7.000%, 07/15/19		75		80,156		0.1
7.250%, 01/15/22		100		107,500		0.1
Sky Growth Acquisition Corp., Private Placement, Co Guar, 7.375%, 10/15/20 ²		60		63,450		0.1
Valeant Pharmaceuticals International, Private Placement, Sr Nt, 6.375%, 10/15/20 ²		55		57,991		0.0	¹²
VPI Escrow Corp., Private Placement, Sr Nt, 6.375%, 10/15/20 ²		370		389,888		0.3

				776,540		0.7

Total Health Care				9,463,610		8.3

INDUSTRIALS — 13.3%
AEROSPACE & DEFENSE — 0.5%
BE Aerospace, Inc., Sr Unsec’d Nt, 5.250%, 04/01/22		200		206,250		0.2
Bombardier, Inc., Private Placement, Sr Nt, (Canada), 6.125%, 01/15/23 ²		170		176,375		0.1
DigitalGlobe, Inc., Private Placement, Co Guar, 5.250%, 02/01/21 ²		74		73,537		0.1

AEROSPACE & DEFENSE — (continued)
GenCorp, Inc., Private Placement, Sec’d Nt, 7.125%, 03/15/21 ²	$	65	$	68,575		0.0	% ¹²
Triumph Group, Inc., 8.625%, 07/15/18		80		88,900		0.1

				613,637		0.5
AIRLINES — 2.0%
Continental Airlines 2005-ERJ1 Pass Through Trust, 9.798%, 04/01/21 ¹⁰		1,029		1,162,512		1.0
Continental Airlines 2012-1 Class B Pass Through Trust, 6.250%, 04/11/20		750		787,500		0.7
UAL 2007-1 Pass Through Trust,
VAR, 2.758%, 07/02/14		87		86,328		0.1
7.336%, 07/02/19		75		75,285		0.1
UAL 2009-2B Pass Through Trust, Private Placement, 12.000%, 01/15/16 ²		123		136,744		0.1

				2,248,369		2.0
BUILDING PRODUCTS — 0.6%
Griffon Corp., Co Guar, 7.125%, 04/01/18		150		162,000		0.1
Masco Corp., Sr Unsec’d,
5.950%, 03/15/22		43		48,368		0.1
7.125%, 03/15/20		10		11,674		0.0	¹²
Masonite International Corp., Private Placement, Co Guar, (Canada), 8.250%, 04/15/21 ²		150		166,500		0.2
Nortek, Inc., Co Guar, 8.500%, 04/15/21		134		148,740		0.1
Roofing Supply Group LLC/Roofing Supply Finance, Inc., Private Placement, Co Guar, 10.000%, 06/01/20 ²		145		163,850		0.1

				701,132		0.6
COMMERCIAL SERVICES & SUPPLIES — 2.3%
Casella Waste Systems, Inc., Sr Sub Nt, Co Guar, 7.750%, 02/15/19		150		142,875		0.1
Catalent Pharma Solutions, Inc., Private Placement, Co Guar, 7.875%, 10/15/18 ²		147		149,021		0.1
Cenveo Corp., Nt, 8.875%, 02/01/18		425		425,000		0.4
Clean Harbors, Inc., Private Placement, Co Guar, 5.125%, 06/01/21 ²		150		153,562		0.1
Deluxe Corp., Sr Nt, Co Guar, 7.000%, 03/15/19		256		277,760		0.3
Emergency Medical Services Corp., Co Guar, 8.125%, 06/01/19		140		153,650		0.1

P ACHOLDER H IGH Y IELD F UND, I NC.

Schedule of Portfolio Investments (continued)

As of March 31, 2013 (Unaudited)


Description	Par (000)		Value		Percent of Net Assets*

COMMERCIAL SERVICES & SUPPLIES — (continued)
Garda World Security Corp., Private Placement, (Canada), 9.750%, 03/15/17 ²	$	285	$	305,662		0.3	%
Iron Mountain, Inc., 8.375%, 08/15/21		170		186,788		0.2
Iron Mountain, Inc., Co Guar, 7.750%, 10/01/19		100		111,125		0.1
Iron Mountain, Inc., Sr Sub Nt, 5.750%, 08/15/24		50		49,938		0.0	¹²
Jaguar Holding Co. I, Private Placement, Sr Unsec’d Nt, PIK, 9.375%, 10/15/17 ²		50		53,688		0.1
Mead Products LLC/ACCO Brands Corp., Private Placement, Co Guar, 6.750%, 04/30/20 ²		60		64,050		0.1
Mobile Mini, Inc., Sr Nt, Co Guar, 7.875%, 12/01/20		200		222,500		0.2
Quebecor World Capital Escrow Corp., (Canada),
6.125%, 11/15/13 ^1,4,9		1,415		14,150		0.0	¹²
6.500%, 08/01/27 ^1,4,9		810		8,100		0.0	¹²
9.750%, 01/15/15 ^1,4,9		585		5,850		0.0	¹²
R.R. Donnelley & Sons Co., Sr Nt, 8.250%, 03/15/19		40		43,200		0.0	¹²
R.R. Donnelley & Sons Co., Sr Unsec’d, 7.250%, 05/15/18		120		126,150		0.1
TRAC Intermodal LLC/TRAC Intermodal Corp., Private Placement, Sr Sec’d, 11.000%, 08/15/19 ²		62		66,185		0.1

				2,559,254		2.3
CONSTRUCTION & ENGINEERING — 0.8%
Dycom Investments, Inc., Private Placement, Co Guar, 7.125%, 01/15/21 ²		120		128,100		0.1
MasTec, Inc., Co Guar, 4.875%, 03/15/23		77		76,230		0.1
New Enterprise Stone & Lime Co., Sr Nt, Co Guar, 11.000%, 09/01/18		300		231,000		0.2
Tutor Perini Corp., Co Guar, 7.625%, 11/01/18 ¹⁰		400		420,000		0.4

				855,330		0.8
ELECTRICAL EQUIPMENT — 0.7%
Anixter, Inc., Sr Nt, Co Guar, 5.625%, 05/01/19		50		53,125		0.0	¹²

ELECTRICAL EQUIPMENT — (continued)
Constellation Enterprises LLC, Private Placement, 10.625%, 02/01/16 ²	$	275	$	288,750		0.3	%
General Cable Corp., Private Placement, Co Guar, 5.750%, 10/01/22 ²		82		83,640		0.1
International Wire Group Holdings, Inc., Private Placement, 8.500%, 10/15/17 ²		145		149,350		0.1
Viasystems, Inc., Private Placement, Sr Sec’d, 7.875%, 05/01/19 ²		42		43,890		0.0	¹²
Wolverine Tube, Inc., Sr Sec’d Nt, 6.000%, 06/28/14 ⁹		194		184,168		0.2

				802,923		0.7
INDUSTRIAL CONGLOMERATES — 0.3%
J.M. Huber Corp., Private Placement, Sr Unsec’d Nt, 9.875%, 11/01/19 ²		75		84,937		0.1
JB Poindexter & Co., Inc., Private Placement, Sr Nt, 9.000%, 04/01/22 ²		282		294,690		0.2

				379,627		0.3
MACHINERY — 1.3%
Cleaver-Brooks, Inc., Private Placement, Sr Sec’d Nt, 8.750%, 12/15/19 ²		44		47,465		0.0	¹²
Columbus McKinnon Corp., Co Guar, 7.875%, 02/01/19		180		192,600		0.2
Liberty Tire Recycling, Private Placement, Nt, 11.000%, 10/01/16 ²		165		163,350		0.2
Milacron LLC/Mcron Finance Corp., Private Placement, Sr Unsec’d, 7.750%, 02/15/21 ²		150		155,062		0.1
OSX 3 Leasing B.V., Private Placement, Co Guar, (Netherlands),
9.250%, 03/20/15 ²		200		198,500		0.2
Thermadyne Holdings Corp., Sr Sec’d Nt, 9.000%, 12/15/17 ¹⁰		525		572,250		0.5
Titan International, Inc., Private Placement, Sr Sec’d, 7.875%, 10/01/17 ²		75		80,719		0.1

				1,409,946		1.3
MARINE — 1.2%
ACL I Corp., Sr Unsec’d Nt, PIK, 10.625%, 02/15/16		507		532,095		0.5
Martin Midstream Partners LP/Martin Midstream Finance Corp., Private Placement, Sr Unsec’d Nt, 7.250%, 02/15/21 ²		131		132,310		0.1

P ACHOLDER H IGH Y IELD F UND, I NC.

Schedule of Portfolio Investments (continued)

As of March 31, 2013 (Unaudited)


Description	Par (000)		Value		Percent of Net Assets*

MARINE — (continued)
Navigator Holdings Ltd., Sr Unsec’d Nt, 9.000%, 12/18/17	$	200	$	202,003		0.2	%
Navios South American Logistics, Inc./Navios Logistics Finance U.S., Inc., Private Placement, Co Guar, 9.250%, 04/15/19 ²		143		153,725		0.1
Navios South American Logistics, Inc./Navios Logistics Finance U.S., Inc., Sr Nt, Co Guar, 9.250%, 04/15/19		200		215,000		0.2
Ultrapetrol Bahamas Ltd., 1st Mtg, (Bahamas), 9.000%, 11/24/14 ¹⁰		163		162,796		0.1

				1,397,929		1.2
ROAD & RAIL — 1.5%
Ashtead Capital, Inc., Private Placement, Co Guar, 6.500%, 07/15/22 ^2,10		200		217,250		0.2
Avis Budget Car Rental LLC/Avis Budget Finance, Inc.,
8.250%, 01/15/19		210		232,838		0.2
9.750%, 03/15/20		135		159,301		0.1
HDTFS, Inc., Co Guar, 6.250%, 10/15/22		39		42,315		0.0	¹²
Hertz Corp. (The), Co Guar, 5.875%, 10/15/20		54		56,970		0.0	¹²
Hertz Corp. (The), Private Placement, Co Guar, 4.250%, 04/01/18 ²		97		98,819		0.1
Hertz Corp. (The), Sr Nt, Co Guar, 7.500%, 10/15/18		237		261,589		0.2
Neovia Logistics Intermediate Holdings LLC/Logistics Intermediate Finance Corp., Private Placement, Sr Nt, PIK, 10.000%, 02/15/18 ²		60		59,700		0.1
United Rentals North America, Inc., Co Guar,
6.125%, 06/15/23		150		160,500		0.1
7.625%, 04/15/22		150		167,625		0.2
United Rentals North America, Inc., Sr Nt, Co Guar, 8.250%, 02/01/21		160		181,200		0.2
Watco Cos. LLC/Watco Finance Corp., Private Placement, Co Guar, 6.375%, 04/01/23 ²		94		96,702		0.1

				1,734,809		1.5
TRADING COMPANIES & DISTRIBUTORS — 2.1%
Aircastle Ltd., Sr Nt, (Bermuda), 9.750%, 08/01/18 ¹⁰		130		148,362		0.1

TRADING COMPANIES & DISTRIBUTORS — (continued)
Aircastle Ltd., Sr Unsec’d, (Bermuda),
6.250%, 12/01/19	$	30	$	32,775		0.0	% ¹²
7.625%, 04/15/20 ¹⁰		100		115,750		0.1
H&E Equipment Services, Inc., Private Placement, Co Guar, 7.000%, 09/01/22 ²		84		92,400		0.1
International Lease Finance Corp., 8.875%, 09/01/17		125		150,312		0.1
International Lease Finance Corp., Sr Unsec’d, 4.625%, 04/15/21		21		20,948		0.0	¹²
International Lease Finance Corp., Sr Unsec’d Nt,
5.875%, 08/15/22		300		323,344		0.3
8.250%, 12/15/20 ¹⁰		888		1,087,800		1.0
8.625%, 01/15/22		200		254,500		0.2
Rexel S.A., Private Placement, Sr Unsec’d, (France), 5.250%, 06/15/20 ²		200		202,500		0.2

				2,428,691		2.1

Total Industrials				15,131,647		13.3

INFORMATION TECHNOLOGY — 5.6%
COMMUNICATIONS EQUIPMENT — 1.1%
Alcatel-Lucent USA, Inc., Sr Unsec’d, 6.450%, 03/15/29		110		84,700		0.1
Avaya, Inc., Private Placement, 7.000%, 04/01/19 ^2,10		360		351,900		0.3
Avaya, Inc., Private Placement, Sr Nt, Co Guar, 10.500%, 03/01/21 ²		185		176,212		0.2
CyrusOne LP/CyrusOne Finance Corp., Private Placement, Co Guar, 6.375%, 11/15/22 ²		58		60,755		0.0	¹²
Goodman Networks, Inc., Private Placement, Sr Sec’d Nt, 13.125%, 07/01/18 ²		320		355,200		0.3
Nokia OYJ, Sr Unsec’d, (Finland),
5.375%, 05/15/19		103		98,108		0.1
6.625%, 05/15/39		100		91,250		0.1

				1,218,125		1.1
COMPUTERS & PERIPHERALS — 0.4%
Seagate HDD Cayman, Co Guar, (Cayman Islands), 7.750%, 12/15/18		225		246,656		0.2
Seagate HDD Cayman, Sr Nt, (Cayman Islands), 6.875%, 05/01/20		170		182,750		0.2

				429,406		0.4

P ACHOLDER H IGH Y IELD F UND, I NC.

Schedule of Portfolio Investments (continued)

As of March 31, 2013 (Unaudited)


Description	Par (000)		Value		Percent of Net Assets*

ELECTRONIC EQUIPMENT, INSTRUMENTS & COMPONENTS — 0.2%
Brightstar Corp., Private Placement, 9.500%, 12/01/16 ²	$	215	$	230,050		0.2	%

INTERNET SOFTWARE & SERVICES — 0.3%
Equinix, Inc., Sr Unsec’d Nt, 4.875%, 04/01/20		128		128,960		0.1
Equinix, Inc., Sub Nt, 8.125%, 03/01/18		185		204,425		0.2

				333,385		0.3
IT SERVICES — 2.7%
Audatex North America, Inc., Private Placement, Co Guar, 6.750%, 06/15/18 ²		125		134,062		0.1
Ceridian Corp., Private Placement, Sr Sec’d, 8.875%, 07/15/19 ²		85		98,919		0.1
Ceridian Corp., Private Placement, Sr Unsec’d, 11.000%, 03/15/21 ²		157		168,382		0.1
Fidelity National Information Services, Inc., Co Guar, 5.000%, 03/15/22		150		159,187		0.1
First Data Corp., 9.875%, 09/24/15		19		19,570		0.0	¹²
First Data Corp., Co Guar, 12.625%, 01/15/21		274		296,947		0.3
First Data Corp., Private Placement, Co Guar, 11.250%, 01/15/21 ²		162		168,480		0.1
First Data Corp., Private Placement, Sec’d, PIK, 8.750%, 01/15/22 ²		220		232,956		0.2
First Data Corp., Private Placement, Sr Nt, 8.250%, 01/15/21 ^2,10		530		551,200		0.5
First Data Corp., Private Placement, Sr Sec’d Nt, 6.750%, 11/01/20 ^2,10		400		417,000		0.4
First Data Corp., Private Placement, Sr Unsec’d, 10.625%, 06/15/21 ²		115		116,294		0.1
iGate Corp., Sr Nt, Co Guar, 9.000%, 05/01/16		203		221,016		0.2
Lender Processing Services, Inc., Sr Nt, Co Guar, 5.750%, 04/15/23		125		130,313		0.1
SunGard Data Systems, Inc., Nt, Co Guar, 7.625%, 11/15/20		164		177,735		0.2
SunGard Data Systems, Inc., Private Placement, Co Guar, 6.625%, 11/01/19 ²		100		103,250		0.1
WEX, Inc., Private Placement, Co Guar, 4.750%, 02/01/23 ²		77		74,498		0.1

				3,069,809		2.7

OFFICE ELECTRONICS — 0.2%
CDW LLC/CDW Finance Corp., Co Guar, 8.500%, 04/01/19	$	229	$	255,621		0.2	%

SEMICONDUCTORS & SEMICONDUCTOR EQUIPMENT — 0.2%
Advanced Micro Devices, Inc., Sr Unsec’d Nt, 8.125%, 12/15/17		50		50,500		0.0	¹²
Amkor Technology, Inc., Sr Unsec’d, 6.375%, 10/01/22		125		124,688		0.1
Freescale Semiconductor, Inc., Sr Nt, Co Guar, 8.050%, 02/01/20		90		95,175		0.1

				270,363		0.2
SOFTWARE — 0.5%
IMS Health, Inc., Private Placement, Sr Unsec’d Nt, 6.000%, 11/01/20 ²		180		187,650		0.2
Infor U.S., Inc., Co Guar, 9.375%, 04/01/19		170		192,738		0.2
Nuance Communications, Inc., Private Placement, Co Guar, 5.375%, 08/15/20 ²		118		119,475		0.1

				499,863		0.5

Total Information Technology				6,306,622		5.6

MATERIALS — 14.4%
CHEMICALS — 3.1%
Ashland, Inc., Private Placement, Co Guar, 4.750%, 08/15/22 ²		118		120,065		0.1
Ashland, Inc., Private Placement, Sr Unsec’d, 3.000%, 03/15/16 ²		144		146,160		0.1
Ashland, Inc., Private Placement, Sr Unsec’d Nt, 3.875%, 04/15/18 ²		177		179,212		0.2
Basell Finance Co., B.V., Private Placement, Co Guar, (Netherlands), 8.100%, 03/15/27 ²		215		288,100		0.3
Chemtura Corp., Sr Nt, Co Guar, 7.875%, 09/01/18		150		162,000		0.1
Cornerstone Chemical Co., Sr Sec’d, 9.375%, 03/15/18		88		89,760		0.1
LyondellBasell Industries N.V., Sr Unsec’d Nt, (Netherlands), 6.000%, 11/15/21 ¹⁰		335		396,975		0.4
Nufarm Australia Ltd., Private Placement, Co Guar, (Australia), 6.375%, 10/15/19 ²		91		93,275		0.1

P ACHOLDER H IGH Y IELD F UND, I NC.

Schedule of Portfolio Investments (continued)

As of March 31, 2013 (Unaudited)


Description	Par (000)		Value		Percent of Net Assets*

CHEMICALS — (continued)
Omnova Solutions, Inc., Sr Nt, Co Guar, 7.875%, 11/01/18	$	330	$	351,450		0.3	%
PetroLogistics LP/PetroLogistics Finance Corp., Private Placement, Sr Nt, Co Guar, 6.250%, 04/01/20 ²		110		110,688		0.1
PolyOne Corp., 7.375%, 09/15/20		247		272,935		0.2
PolyOne Corp., Private Placement, Sr Unsec’d, 5.250%, 03/15/23 ²		242		243,815		0.2
Rain CII Carbon LLC and CII Carbon Corp., Private Placement, Sec’d Nt, 8.000%, 12/01/18 ²		140		148,050		0.1
Rain CII Carbon LLC and CII Carbon Corp., Private Placement, Sr Sec’d, 8.250%, 01/15/21 ²		200		216,000		0.2
Trinseo Materials Operating S.C.A./Trinseo Materials Finance, Inc., Private Placement, Sr Sec’d, (Luxembourg), 8.750%, 02/01/19 ²		369		365,310		0.3
Tronox Finance LLC, Private Placement, Co Guar, 6.375%, 08/15/20 ²		210		203,700		0.2
U.S. Coatings Acquisition, Inc./Flash Dutch 2 B.V., Private Placement, Co Guar, 7.375%, 05/01/21 ²		150		157,875		0.1

				3,545,370		3.1
CONSTRUCTION MATERIALS — 2.7%
Cemex Espana Luxembourg, Private Placement, Sr Sec’d Nt, (Spain),
9.250%, 05/12/20 ²		225		248,625		0.2
9.875%, 04/30/19 ²		750		863,400		0.8
Cemex Finance LLC, Private Placement, Sr Sec’d Nt,
8.660%, 09/15/17 ^2,9		337		337,342		0.3
9.500%, 12/14/16 ²		200		216,500		0.2
Cemex S.A.B. de C.V., Private Placement, (Mexico), 9.000%, 01/11/18 ²		500		551,250		0.5
Lafarge S.A., Sr Unsec’d Nt, (France), 7.125%, 07/15/36		150		159,750		0.1
U.S. Concrete, Inc., Sr Sec’d, 9.500%, 10/01/15		58		58,105		0.0	¹²
Vulcan Materials Co., Sr Unsec’d Nt, 7.500%, 06/15/21 ¹⁰		548		645,270		0.6

				3,080,242		2.7

CONTAINERS & PACKAGING — 1.9%
Ardagh Packaging Finance plc, Private Placement, Sr Sec’d Nt, (Ireland), 7.375%, 10/15/17 ^2,10	$	200	$	219,000		0.2	%
Ardagh Packaging Finance plc, Private Placement, Sr Sub Nt, (Ireland), 9.125%, 10/15/20 ^2,10		200		221,500		0.2
Ardagh Packaging Finance plc/Ardagh MP Holdings USA, Inc., Private Placement, Sr Nt, Co Guar, (Ireland), 9.125%, 10/15/20 ^2,10		200		220,500		0.2
Ardagh Packaging Finance plc/Ardagh MP Holdings USA, Inc., Private Placement, Sr Unsec’d, (Ireland), 7.000%, 11/15/20 ²		200		205,500		0.2
Berry Plastics Corp., 9.500%, 05/15/18		370		413,012		0.4
Berry Plastics Corp., Sr Sec’d Nt, 9.750%, 01/15/21		300		350,625		0.3
Constar International, Inc., 11.000%, 12/31/17 ⁹		355		53,253		0.0	¹²
Sealed Air Corp., Private Placement, Sr Unsec’d Nt, 6.500%, 12/01/20 ²		120		131,400		0.1
Sealed Air Corp., Private Placement, Sr Unsec’d Nt,
8.125%, 09/15/19 ²		70		79,188		0.1
8.375%, 09/15/21 ²		205		234,725		0.2

				2,128,703		1.9
METALS & MINING — 5.4%
AK Steel Corp., Private Placement, Sr Sec’d Nt, 8.750%, 12/01/18 ²		240		264,600		0.2
AK Steel Corp., Sr Nt, Co Guar, 8.375%, 04/01/22 ¹⁰		185		163,262		0.1
APERAM, Private Placement, Sr Unsec’d, (Luxembourg), 7.375%, 04/01/16 ²		150		151,125		0.1
APERAM, Private Placement, Sr Unsec’d Nt, (Luxembourg), 7.750%, 04/01/18 ²		300		298,500		0.3
ArcelorMittal, Sr Unsec’d, (Luxembourg), 6.750%, 02/25/22		310		338,788		0.3
ArcelorMittal, Sr Unsec’d Nt, (Luxembourg),
7.500%, 10/15/39		230		236,325		0.2
10.350%, 06/01/19		265		334,641		0.3
Coeur d’Alene Mines Corp., Private Placement, Co Guar, 7.875%, 02/01/21 ²		50		52,812		0.1

P ACHOLDER H IGH Y IELD F UND, I NC.

Schedule of Portfolio Investments (continued)

As of March 31, 2013 (Unaudited)


Description	Par (000)		Value		Percent of Net Assets*

METALS & MINING — (continued)
Commercial Metals Co., Sr Unsec’d Nt,
6.500%, 07/15/17	$	150	$	164,250		0.1	%
7.350%, 08/15/18		75		83,250		0.1
FMG Resources August 2006 Pty Ltd., Private Placement, (Australia), 7.000%, 11/01/15 ²		50		52,375		0.0	¹²
FMG Resources August 2006 Pty Ltd., Private Placement, Co Guar, (Australia), 6.875%, 02/01/18 ^2,10		545		572,931		0.5
FMG Resources August 2006 Pty Ltd., Private Placement, Sr Unsec’d Nt, (Australia),
6.000%, 04/01/17 ²		54		55,485		0.0	¹²
6.875%, 04/01/22 ²		205		214,738		0.2
Inmet Mining Corp., Private Placement, Co Guar, (Canada), 7.500%, 06/01/21 ²		90		97,425		0.1
JMC Steel Group, Inc., Private Placement, 8.250%, 03/15/18 ²		150		159,000		0.1
Kaiser Aluminum Corp., Co Guar, 8.250%, 06/01/20		461		516,320		0.5
New Gold, Inc., Private Placement, Co Guar, (Canada), 7.000%, 04/15/20 ²		56		60,200		0.1
New Gold, Inc., Private Placement, Sr Unsec’d Nt, (Canada), 6.250%, 11/15/22 ²		78		81,705		0.1
Noranda Aluminum Acquisition Corp., Private Placement, Co Guar, 11.000%, 06/01/19 ²		45		45,000		0.0	¹²
Noranda Aluminum Acquisition Corp., Sr Nt, VAR, 4.524%, 05/15/15		487		487,160		0.4
Novelis, Inc., Co Guar, (Canada), 8.750%, 12/15/20 ¹⁰		429		483,698		0.4
Prince Mineral Holding Corp., Private Placement, Sr Sec’d Nt, 11.500%, 12/15/19 ²		50		55,875		0.1
Ryerson, Inc./Joseph T Ryerson & Son Inc., Private Placement, Sr Sec’d, 9.000%, 10/15/17 ²		110		120,175		0.1
Severstal Columbus LLC, 10.250%, 02/15/18		100		108,250		0.1
Steel Dynamics, Inc., Private Placement, Co Guar,
5.250%, 04/15/23 ²		112		113,540		0.1
6.125%, 08/15/19 ²		108		116,640		0.1
6.375%, 08/15/22 ²		108		116,640		0.1

METALS & MINING — (continued)
Taseko Mines Ltd., Co Guar, (Canada), 7.750%, 04/15/19	$	55	$	55,413		0.1	%
United States Steel Corp., Sr Unsec’d, 6.875%, 04/01/21		82		84,255		0.1
United States Steel Corp., Sr Unsec’d Nt,
7.000%, 02/01/18		21		22,575		0.0	¹²
7.375%, 04/01/20		254		266,065		0.3
Walter Energy, Inc., Private Placement, Co Guar, 8.500%, 04/15/21 ²		95		97,375		0.1

				6,070,393		5.4
PAPER & FOREST PRODUCTS — 1.3%
Abitibi-Consolidated Co. of Canada, Escrow, (Canada),
6.000%, 06/20/13 ^1,4		1,331		1,663		0.0	¹²
7.500%, 04/01/28 ^1,4		287		359		0.0	¹²
Abitibi-Consolidated Co. of Canada, Sr Nt, Escrow, (Canada),
7.750%, 06/15/11 ^1,4		479		599		0.0	¹²
8.375%, 04/01/15 ^1,4		2,485		3,106		0.0	¹²
8.850%, 08/01/30 ^1,4		102		128		0.0	¹²
Ainsworth Lumber Co., Ltd., Private Placement, Sr Sec’d Nt, (Canada), 7.500%, 12/15/17 ²		90		98,100		0.1
Appleton Papers, Inc., Private Placement, Sr Sec’d Nt, 10.500%, 06/15/15 ^2,10		600		634,500		0.5
Boise Cascade LLC / Boise Cascade Finance Corp., Private Placement, Co Guar, 6.375%, 11/01/20 ²		56		59,430		0.0	¹²
Longview Fibre Paper & Packaging, Inc., Private Placement, Sr Sec’d Nt, 8.000%, 06/01/16 ²		100		104,750		0.1
Louisiana-Pacific Corp., Co Guar, 7.500%, 06/01/20		83		94,413		0.1
Resolute Forest Products, Sr Sec’d Nt, 10.250%, 10/15/18		386		442,935		0.4
Smurfit-Stone Container Corp., Sr Nt, 8.000%, 03/15/17 ^1,4		1,229		3,072		0.0	¹²
Smurfit-Stone Container Enterprises, Inc., 8.375%, 07/01/12 ^1,4		448		1,120		0.0	¹²
Unifrax I LLC/Unifrax Holding Co., Private Placement, Co Guar, 7.500%, 02/15/19 ²		72		74,160		0.1

				1,518,335		1.3

Total Materials				16,343,043		14.4

P ACHOLDER H IGH Y IELD F UND, I NC.

Schedule of Portfolio Investments (continued)

As of March 31, 2013 (Unaudited)


Description	Par (000)		Value		Percent of Net Assets*

TELECOMMUNICATION SERVICES — 10.8%
DIVERSIFIED TELECOMMUNICATION SERVICES — 5.7%
Cincinnati Bell, Inc., 8.750%, 03/15/18	$	120	$	119,100		0.1	%
Clearwire Communications LLC/Clearwire Finance, Inc., Private Placement, 12.000%, 12/01/15 ²		332		358,145		0.3
eAccess Ltd., Private Placement, Co Guar, (Japan), 8.250%, 04/01/18 ²		250		276,875		0.2
Embarq Corp., Sr Unsec’d, 7.995%, 06/01/36		135		142,116		0.1
Frontier Communications Corp., Sr Nt,
8.500%, 04/15/20		50		56,625		0.1
8.750%, 04/15/22		110		122,375		0.1
Frontier Communications Corp., Sr Unsec’d,
7.125%, 01/15/23		167		169,088		0.2
9.250%, 07/01/21		225		258,187		0.2
Level 3 Communications, Inc., Private Placement, Sr Unsec’d Nt, 8.875%, 06/01/19 ²		485		529,862		0.5
Level 3 Communications, Inc., Sr Unsec’d Nt, 11.875%, 02/01/19		200		234,500		0.2
Level 3 Financing, Inc., Co Guar, 8.625%, 07/15/20		234		260,910		0.2
Level 3 Financing, Inc., Private Placement, Co Guar, 7.000%, 06/01/20 ²		307		321,582		0.3
Level 3 Financing, Inc., Sr Nt, Co Guar, 8.125%, 07/01/19 ¹⁰		367		403,700		0.4
Lynx I Corp., Private Placement, Sr Sec’d, 5.375%, 04/15/21 ²		200		208,000		0.2
Qwest Capital Funding, Inc., Co Guar, 7.750%, 02/15/31		200		201,534		0.2
Qwest Communications International, Inc., Co Guar, 7.125%, 04/01/18		60		62,400		0.1
Sprint Capital Corp., Co Guar, 8.750%, 03/15/32		614		732,195		0.6
UPCB Finance III Ltd., Private Placement, Sr Sec’d Nt, (Cayman Islands), 6.625%, 07/01/20 ²		150		161,250		0.1
UPCB Finance V Ltd., Private Placement, Sr Sec’d Nt, (Cayman Islands), 7.250%, 11/15/21 ²		300		331,500		0.3
UPCB Finance VI Ltd., Private Placement, Sr Sec’d Nt, (Cayman Islands), 6.875%, 01/15/22 ²		150		163,125		0.1

DIVERSIFIED TELECOMMUNICATION SERVICES — (continued)
Virgin Media Finance LLC, 8.375%, 10/15/19 ⁹	$	151	$	—		0.0	%
Virgin Media Finance plc, (United Kingdom), 8.375%, 10/15/19		151		168,743		0.1
Wind Acquisition Finance S.A., Private Placement, (Luxembourg), 7.250%, 02/15/18 ²		200		208,250		0.2
Wind Acquisition Finance S.A., Private Placement, Sec’d Nt, (Luxembourg), 11.750%, 07/15/17 ²		160		169,600		0.2
Wind Acquisition Finance S.A., Private Placement, Sr Sec’d, (Luxembourg), 7.250%, 02/15/18 ²		200		207,750		0.2
Windstream Corp.,
7.875%, 11/01/17		70		79,975		0.1
8.125%, 09/01/18		250		273,750		0.2
Windstream Corp., Co Guar, 7.500%, 06/01/22		70		74,900		0.1
Zayo Group LLC/Zayo Capital, Inc., Sr Sec’d Nt, 8.125%, 01/01/20		150		168,000		0.1

				6,464,037		5.7
WIRELESS TELECOMMUNICATION SERVICES — 5.1%
Cricket Communications, Inc., 7.750%, 10/15/20		667		665,332		0.6
Crown Castle International Corp., Sr Unsec’d, 5.250%, 01/15/23		211		214,692		0.2
MetroPCS Wireless, Inc., Private Placement, Co Guar, 6.250%, 04/01/21 ²		328		333,740		0.3
MetroPCS Wireless, Inc., Sr Nt, Co Guar, 6.625%, 11/15/20		377		393,965		0.3
NII Capital Corp., Co Guar, 7.625%, 04/01/21		356		256,320		0.2
NII Capital Corp., Sr Nt, 8.875%, 12/15/19		315		237,038		0.2
NII International Telecom Sarl, Private Placement, Co Guar, (Luxembourg), 11.375%, 08/15/19 ²		174		181,830		0.2
Sprint Nextel Corp., Private Placement, Co Guar,
7.000%, 03/01/20 ²		93		108,345		0.1
9.000%, 11/15/18 ^2,10		575		710,844		0.6

P ACHOLDER H IGH Y IELD F UND, I NC.

Schedule of Portfolio Investments (continued)

As of March 31, 2013 (Unaudited)


Description	Par (000)		Value		Percent of Net Assets*

WIRELESS TELECOMMUNICATION SERVICES — (continued)
Sprint Nextel Corp., Sr Unsec’d Nt,
7.000%, 08/15/20	$	800	$	880,000		0.8	%
11.500%, 11/15/21		72		100,800		0.1
Sprint Nextel Corp., Sr Unsec’d Nt, 6.000%, 11/15/22		950		976,125		0.8
Syniverse Holdings, Inc., Co Guar, 9.125%, 01/15/19		300		329,250		0.3
VimpelCom Holdings B.V., Private Placement, Co Guar, (Netherlands), 6.255%, 03/01/17 ²		200		213,550		0.2
VimpelCom Holdings B.V., Private Placement, Nt, Co Guar, (Netherlands), 7.504%, 03/01/22 ²		200		222,560		0.2

				5,824,391		5.1

Total Telecommunication Services				12,288,428		10.8

UTILITIES — 5.1%
ELECTRIC UTILITIES — 2.4%
Edison Mission Energy, 7.200%, 05/15/19 ^1,4		500		266,250		0.2
Edison Mission Energy, Sr Unsec’d Nt, 7.000%, 05/15/17 ^1,4		1,000		535,000		0.5
Energy Future Intermediate Holding Co. LLC/EFIH Finance, Inc., 10.000%, 12/01/20		1,430		1,621,263		1.4
Energy Future Intermediate Holding Co. LLC/EFIH Finance, Inc., Private Placement, Sec’d Nt, 11.750%, 03/01/22 ²		156		179,400		0.2
Homer City Generation LP, Sec’d Nt, PIK, 8.137%, 10/01/19		94		101,988		0.1

				2,703,901		2.4
GAS UTILITIES — 2.2%
Access Midstream Partners LP/ACMP Finance Corp., Co Guar, 4.875%, 05/15/23		83		81,962		0.1
Atlas Pipeline Partners LP/Atlas Pipeline Finance Corp., Private Placement, Co Guar, 5.875%, 08/01/23 ²		162		161,190		0.1
Chesapeake Midstream Partners LP/CHKM Finance Corp., Co Guar, 6.125%, 07/15/22		156		167,310		0.1

GAS UTILITIES — (continued)
Crosstex Energy LP/Crosstex Energy Finance Corp., Private Placement, Co Guar, 7.125%, 06/01/22 ²	$	191	$	202,460		0.2	%
El Paso Pipeline Partners Operating Co., LLC, 6.500%, 04/01/20		85		102,994		0.1
Genesis Energy LP/Genesis Energy Finance Corp., Co Guar, 7.875%, 12/15/18		200		219,500		0.2
Genesis Energy LP/Genesis Energy Finance Corp., Private Placement, Co Guar, 5.750%, 02/15/21 ²		175		180,687		0.2
Holly Energy Partners LP/Holly Energy Finance Corp., Private Placement, Co Guar, 6.500%, 03/01/20 ²		125		132,813		0.1
Inergy Midstream LP/NRGM Finance Corp., Private Placement, Co Guar, 6.000%, 12/15/20 ²		48		49,920		0.0	¹²
MarkWest Energy Partners LP/MarkWest Energy Finance Corp., Co Guar, 6.250%, 06/15/22		137		147,618		0.1
NGPL PipeCo LLC, Private Placement, Sr Sec’d, 9.625%, 06/01/19 ²		78		87,360		0.1
Regency Energy Partners LP/Regency Energy Finance Corp., Co Guar, 6.500%, 07/15/21		320		352,000		0.3
Rockies Express Pipeline LLC, Private Placement, Sr Unsec’d, 6.000%, 01/15/19 ²		117		114,660		0.1
Targa Resources Partners LP/Targa Resources Partners Finance Corp., Co Guar,
6.375%, 08/01/22		70		76,475		0.1
7.875%, 10/15/18		130		142,350		0.1
Targa Resources Partners LP/Targa Resources Partners Finance Corp., Sr Nt, Co Guar, 6.875%, 02/01/21		200		219,000		0.2
Tesoro Logistics LP/Tesoro Logistics Finance Corp., Private Placement, Sr Nt, 5.875%, 10/01/20 ²		95		100,225		0.1

				2,538,524		2.2
INDEPENDENT POWER PRODUCERS & ENERGY TRADERS — 0.5%
Dynegy Holdings LLC, Sr Unsec’d Nt,
7.125%, 05/15/18 ^1,4,9		500		1,250		0.0	¹²
7.750%, 06/01/19 ^1,4,9		750		1,875		0.0	¹²

P ACHOLDER H IGH Y IELD F UND, I NC.

Schedule of Portfolio Investments (continued)

As of March 31, 2013 (Unaudited)


Description	Par (000)			Value		Percent of Net Assets*

INDEPENDENT POWER PRODUCERS & ENERGY TRADERS —(continued)
Dynegy Roseton/Danskammer Pass Through Trust, Sr Unsec’d Nt, 7.670%, 11/08/16 ^1,4,9	$	1,000		$	17,500		0.0	% ¹²
GenOn Energy, Inc., Sr Unsec’d Nt, 9.875%, 10/15/20		290			332,050		0.3
NRG Energy, Inc., Private Placement, Co Guar, 6.625%, 03/15/23 ²		214			226,840		0.2

					579,515		0.5

Total Utilities					5,821,940		5.1

Total Corporate Bonds
(cost $129,316,082)					134,496,815		118.3

LOAN ASSIGNMENTS — 10.4%
CONSUMER DISCRETIONARY — 4.1%
DIVERSIFIED CONSUMER SERVICES — 0.1%
St. George’s University, Term Loan, VAR, 8.500%, 12/20/17		98			97,256		0.1

HOTELS, RESTAURANTS & LEISURE — 1.3%
Caesars Entertainment Operating Co., Inc., Extended B-6 Term Loan, VAR, 5.454%, 01/28/18		843			779,925		0.7
CCM Merger, Inc., Term Loan, VAR, 6.000%, 03/01/17		69			69,353		0.1
FOCUS Brands, Inc., 1st Lien Term Loan,
VAR, 6.250%, 02/21/18		17			17,654		0.0	¹²
VAR, 6.250%, 02/21/18		6			6,251		0.0	¹²
VAR, 6.250%, 02/21/18		—	¹¹		138		0.0	¹²
VAR, 7.250%, 02/21/18		—	¹¹		383		0.0	¹²
Intrawest, 1st Lien Term Loan,
VAR, 7.000%, 12/04/17		82			83,320		0.1
VAR, 7.000%, 12/04/17		43			43,628		0.0	¹²
Jacobs Entertainment, Term Loan, VAR, 6.250%, 10/29/18		66			66,494		0.0	¹²
Mohegan Tribal Gaming Authority, Term Loan, VAR, 9.000%, 03/31/16		175			180,542		0.2
Station Casinos, Term Loan, VAR, 03/01/20 ^{^}		250			252,707		0.2

					1,500,395		1.3

HOUSEHOLD DURABLES — 0.4%
Targus, 1st Lien Term Loan, VAR, 11.000%, 05/24/16	$	491		$	493,707		0.4	%

MEDIA — 2.0%
Barrington Broadcasting, Tranche 2 Term Loan,
VAR, 7.500%, 06/14/17		90			90,156		0.1
VAR, 7.500%, 06/14/17		14			13,604		0.0	¹²
Cengage Learning Acquisitions, Term Loan, VAR, 2.710%, 07/03/14 ^{^}		157			120,704		0.1
Clear Channel Communications, Inc., Term Loan B, VAR, 3.854%, 01/29/16		950			841,408		0.8
Entercom Radio LLC, Term Loan,
VAR, 5.000%, 11/23/18		80			81,275		0.1
VAR, 5.000%, 11/23/18		7			7,510		0.0	¹²
VAR, 6.000%, 11/23/18		1			1,084		0.0	¹²
Hubbard Radio LLC, 1st Lien Term Loan B, VAR, 4.500%, 04/28/17		81			81,353		0.1
McGraw-Hill Education, 1st Lien Term Loan, VAR, 8.250%, 02/15/19		94			90,652		0.1
NEP Broadcasting, 2nd Lien Term Loan, VAR, 9.500%, 07/22/20		38			39,823		0.0	¹²
R.H. Donnelley, Inc., Exit Term Loan,
VAR, 9.000%, 10/24/14		92			64,374		0.1
VAR, 9.000%, 10/24/14		89			62,393		0.0	¹²
Radio One, Term Loan, VAR, 7.500%, 03/31/16 ^{^}		251			257,422		0.2
Univision Communications, Inc, 1st Lien Term Loan, VAR, 4.750%, 03/01/20 ^{^}		262			262,848		0.2
Vertis, Inc., 1st Lien Term Loan, VAR, 14.000%, 12/21/15 ^1,4,9		396			112,802		0.1
Virgin Media, Term Loan B, VAR, 02/14/20 ^{^}		55			54,736		0.1
Wide Open West Finance, Term Loan, VAR, 6.250%, 07/17/18		24			23,847		0.0	¹²
WMG Acquisition Corp., 1st Lien Term Loan, VAR, 5.250%, 11/01/18 ^{^}		2			1,722		0.0	¹²

					2,207,713		2.0
SPECIALTY RETAIL — 0.3%
Gymboree Corp. (The), Initial Term Loan A and R, VAR, 5.000%, 02/23/18		355			343,858		0.3

Total Consumer Discretionary					4,642,929		4.1

P ACHOLDER H IGH Y IELD F UND, I NC.

Schedule of Portfolio Investments (continued)

As of March 31, 2013 (Unaudited)


Description	Par (000)			Value		Percent of Net Assets*

CONSUMER STAPLES — 0.3%
FOOD & STAPLES RETAILING — 0.3%
Rite Aid Corp., 2nd Lien Term Loan, VAR, 5.750%, 08/21/20	$	45		$	46,575		0.0	% ¹²
SUPERVALU, Inc., Term Loan B, VAR, 7.000%, 03/18/19 ^{^}		356			361,373		0.3

Total Consumer Staples					407,948		0.3

ENERGY — 0.5%
OIL, GAS & CONSUMABLE FUELS — 0.5%
Alon USA Partners, LP, MLP Term Loans, VAR, 9.250%, 11/13/18		39			40,246		0.1
Arch Coal, Term Loan, VAR, 5.750%, 05/16/18		190			193,492		0.2
Patriot Coal, DIP Term Loan,
VAR, 9.250%, 10/02/13		13			12,937		0.0	¹²
VAR, 9.250%, 10/02/13		26			25,874		0.0	¹²
Sabine Oil & Gas (NFR Energy), Term Loan,
VAR, 8.750%, 12/31/18		192			196,756		0.2
VAR, 8.750%, 12/31/18		58			59,027		0.0	¹²

Total Energy					528,332		0.5

FINANCIALS — 0.8%
DIVERSIFIED FINANCIAL SERVICES — 0.8%
Aot Holdings, 1st Lien Senior Secured Term Loan,
VAR, 5.000%, 10/01/19		77			77,686		0.1
VAR, 5.000%, 10/01/19		7			7,010		0.0	¹²
VAR, 5.000%, 10/01/19		56			56,261		0.1
VAR, 5.000%, 10/01/19		40			40,087		0.0	¹²
VAR, 5.000%, 10/01/19		7			7,501		0.0	¹²
VAR, 5.000%, 10/01/19		7			7,501		0.0	¹²
VAR, 6.000%, 10/01/19		—	¹¹		491		0.0	¹²
Harland Clarke Holdings Corp., Extended Tranche B-2 Term Loan,
VAR, 5.454%, 06/30/17		70			68,721		0.1
VAR, 5.454%, 06/30/17 ^{^}		47			46,571		0.1
VAR, 5.454%, 06/30/17		25			24,543		0.0	¹²
VAR, 5.454%, 06/30/17 ^{^}		21			20,357		0.0	¹²
Harland Clarke Holdings Corp., Non-Extended Tranche B-1 Term Loan,
VAR, 2.704%, 06/30/14		99			98,779		0.1
VAR, 2.704%, 06/30/14		29			29,260		0.0	¹²

DIVERSIFIED FINANCIAL SERVICES — (continued)
VAR, 2.704%, 06/30/14	$	72		$	71,387		0.1	%
VAR, 2.704%, 06/30/14		36			35,278		0.0	¹²
ROC Finance LLC, Funded Term B Loan, VAR, 8.500%, 08/19/17		137			140,425		0.1
ROC Finance LLC, Incremental 18-Month Delayed Draw Term B Loans, VAR, 8.500%, 08/19/17		5			5,137		0.0	¹²
ROC Finance LLC, Term Loan, VAR, 05/22/19 ^{^}		115			115,505		0.1

					852,500		0.8
REAL ESTATE MANAGEMENT & DEVELOPMENT — 0.0% ¹²
Realogy Corp., Extended Synthetic Commitments, VAR, 4.400%, 10/10/16 ^{^}		14			14,115		0.0	¹²
Realogy Corp., Non-Extended Synthetic Commitment, VAR, 3.209%, 10/10/13 ^{^}		1			1,009		0.0	¹²

					15,124		0.0	¹²

Total Financials					867,624		0.8

HEALTH CARE — 0.0% ¹²
HEALTH CARE PROVIDERS & SERVICES — 0.0% ¹²
inVentiv Health, Consolidated Term Loan, VAR, 7.500%, 08/04/16		53			52,614		0.0	¹²

INDUSTRIALS — 1.1%
AEROSPACE & DEFENSE — 0.1%
FGI Operating Co., LLC, Term B Loan, VAR, 5.500%, 04/19/19		105			104,785		0.1

COMMERCIAL SERVICES & SUPPLIES — 0.1%
Cenveo Corp., Term Loan B, VAR, 7.000%, 12/21/16		162			162,213		0.1

MACHINERY — 0.6%
Edwards Ltd., Term Loan, VAR, 03/30/20 ^{^}		119			119,000		0.1
Hudson Products Holdings, Inc., Term Loan, VAR, 7.000%, 06/07/17		500			503,750		0.5

					622,750		0.6
TRADING COMPANIES & DISTRIBUTORS — 0.3%
SourceHOV LLC, Term Loan, VAR, 7.625%, 04/28/17 ^{^}		—	¹¹		310		0.0	¹²

P ACHOLDER H IGH Y IELD F UND, I NC.

Schedule of Portfolio Investments (continued)

As of March 31, 2013 (Unaudited)


Description	Par (000)			Value		Percent of Net Assets*

TRADING COMPANIES & DISTRIBUTORS — (continued)
SourceHOV LLC, 1st Lien Term B Loan, VAR, 6.625%, 04/28/17	$	123		$	121,830		0.1	%
SourceHOV LLC, 2nd Lien Term Loan, VAR, 10.500%, 04/30/18		225			225,000		0.2

					347,140		0.3

Total Industrials					1,236,888		1.1

INFORMATION TECHNOLOGY — 1.4%
COMMUNICATIONS EQUIPMENT — 0.2%
Alcatel-Lucent USA, Inc., U.S. Term Loan, VAR, 7.250%, 01/30/19		175			177,064		0.2

INTERNET SOFTWARE & SERVICES — 0.2%
Go Daddy Group, Inc. (The), Term Loan, VAR, 4.250%, 12/17/18		246			247,225		0.2

IT SERVICES — 0.3%
Ceridian Corp., Extended U.S. Term Loan, VAR, 5.953%, 05/09/17		43			43,601		0.1
First Data Corp., 2018 B Term Loan, VAR, 5.204%, 09/24/18		264			265,418		0.2

					309,019		0.3
SEMICONDUCTORS & SEMICONDUCTOR EQUIPMENT — 0.2%
Freescale Semiconductor, Inc., Term Loan B, VAR, 5.000%, 03/01/20		135			135,296		0.1
NXP B.V., Tranche C Term Loan, VAR, 4.750%, 01/10/20		110			112,029		0.1

					247,325		0.2
SOFTWARE — 0.5%
Infor U.S., Inc., Tranche B-2 Term Loan, VAR, 5.250%, 04/05/18		159			161,628		0.1
Magic Newco LLC, USD 1st Lien Term Loan, VAR, 7.250%, 12/12/18		149			151,239		0.1
RP Crown Parent, LLC, 1st Lien Term Loan, VAR, 6.750%, 12/14/18		278			283,085		0.3

					595,952		0.5

Total Information Technology					1,576,585		1.4

MATERIALS — 1.1%
CHEMICALS — 0.8%
AZ Chem US, Inc., Term Loan, VAR, 5.250%, 12/22/17 ^{^}		98			99,634		0.1

CHEMICALS — (continued)
Cristal Inorganic Chemicals (Millenium), 2nd Lien, VAR, 6.034%, 11/15/14	$	452		$	452,459		0.4	%
DuPont Performance, Term Loan, VAR, 4.750%, 02/01/20		185			187,045		0.2
Harko C.V., Term Loan B, VAR, 6.500%, 08/02/17 ^{^}		113			114,018		0.1
Tronox, Term Loan, VAR, 03/19/20 ^{^}		65			65,866		0.0	¹²

					919,022		0.8
METALS & MINING — 0.3%
FMG Resources Pty Ltd., Term Loan, VAR, 5.250%, 10/18/17		249			251,571		0.2
Noranda Aluminum, Term B Loan, VAR, 5.750%, 02/28/19		118			119,360		0.1

					370,931		0.3

Total Materials					1,289,953		1.1

TELECOMMUNICATION SERVICES — 0.2%
DIVERSIFIED TELECOMMUNICATION SERVICES — 0.0% ¹²
Zayo Group, Term Loan,
VAR, 4.750%, 07/02/19 ^{^}		24			23,867		0.0	¹²
VAR, 4.750%, 07/02/19 ^{^}		—	¹¹		276		0.0	¹²

					24,143		0.0	¹²
WIRELESS TELECOMMUNICATION SERVICES — 0.2%
Cricket Communications, Term Loan C, VAR, 03/01/20 ^{^}		229			230,202		0.2

Total Telecommunication Services					254,345		0.2

UTILITIES — 0.9%
INDEPENDENT POWER PRODUCERS & ENERGY TRADERS — 0.9%
Texas Competitive Electric, Extended Term Loan,
VAR, 4.702%, 10/10/17		450			318,614		0.3
VAR, 4.792%, 10/10/17		230			163,056		0.1
Texas Competitive Electric, Non-Extended Term Loan,
VAR, 3.702%, 10/10/14		450			329,689		0.3
VAR, 3.792%, 10/10/14		230			168,724		0.2

Total Utilities					980,083		0.9

Total Loan Assignments
(cost $12,249,621)					11,837,301		10.4

P ACHOLDER H IGH Y IELD F UND, I NC.

Schedule of Portfolio Investments (continued)

As of March 31, 2013 (Unaudited)


Description	Shares/Par (000)			Value		Percent of Net Assets*

ASSET-BACKED SECURITIES — 1.3%
Countrywide Asset-Backed Certificates, Series 2004-13, Class MV8, VAR, 1.904%, 01/25/35 ⁹	$	110		$	733		0.0	% ¹²
Long Beach Mortgage Loan Trust, Series 2004-5, Class M6, VAR, 2.704%, 09/25/34 ⁹		45			3,742		0.0	¹²
Unipac IX LLC, 13.000%, 04/11/13 ⁹		1,500			1,494,450		1.3

Total Asset-Backed Securities
(cost $1,626,042)					1,498,925		1.3

Total Fixed Income Investments
(cost $143,269,350)					147,833,041		130.0

PREFERRED STOCKS — 2.5%
CONSUMER DISCRETIONARY — 0.4%
AUTOMOBILES — 0.2%
General Motors Co., Convertible Pfd, Series B, 4.750%, 12/01/13 ($50 par value)		7			300,580		0.2

MEDIA — 0.2%
Spanish Broadcasting System, Inc., Pfd ^1,9		481			3,128		0.0	¹²
Spanish Broadcasting System, Inc., Pfd, Series B, PIK, 10.750%, 05/01/13 ($1,000 par value) ^9,15		—	¹¹		196,950		0.2

					200,078		0.2

Total Consumer Discretionary					500,658		0.4

CONSUMER STAPLES — 0.0%
FOOD PRODUCTS — 0.0%
Eurofresh, Inc., PIK, Pfd, ADR ^9,16		—	¹¹		—		0.0

FINANCIALS — 1.5%
COMMERCIAL BANKS — 0.5%
CoBank ACB, Pfd, Series D, 11.000%, 10/01/14 ($50 par value) ¹⁵		10			553,438		0.5


CONSUMER FINANCE — 0.6%
Ally Financial, Inc., Private Placement, 7.000%, 05/01/13 ($1,000 par value) ^2,15		1		$	604,279		0.5	%
GMAC Capital Trust I, Series 2, VAR, 8.125%, 02/15/40 ($25 par value) ¹⁵		4			97,920		0.1

					702,199		0.6
INSURANCE — 0.4%
Hartford Financial Services Group, Inc., Pfd, VAR, 7.875%, 04/15/42 ($25 par value) ¹⁵		4			126,420		0.1
XLIT Ltd., (Cayman Islands), Series D, VAR, 3.424%, 04/29/13 ($1,000 par value) ¹⁵		—	¹¹		369,466		0.3

					495,886		0.4

Total Financials					1,751,523		1.5

HEALTH CARE — 0.4%
HEALTH CARE PROVIDERS & SERVICES — 0.4%
Carriage Services Capital Trust, Convertible Pfd, 7.000%, 06/01/29 ($50 par value) ¹⁵		8			424,000		0.4

INDUSTRIALS — 0.0%
MACHINERY — 0.0%
Glasstech, Inc., Pfd, Series C ^1,9		—	¹¹		—		0.0

INFORMATION TECHNOLOGY — 0.0%
COMPUTERS & PERIPHERALS — 0.0%
Stratus Technologies Bermuda Holdings, Ltd., (Bermuda) ^1,9		2			—		0.0

MATERIALS — 0.2%
CONTAINERS & PACKAGING — 0.0%
Constar International, Inc., Pfd ^1,9		—	¹¹		—		0.0

METALS & MINING — 0.2%
ArcelorMittal, Convertible Pfd, (Luxembourg), 6.000%, 01/15/16 ($25 par value)		9			188,026		0.2

Total Preferred Stocks
(cost $4,311,704)					2,864,207		2.5

P ACHOLDER H IGH Y IELD F UND, I NC.

Schedule of Portfolio Investments (continued)

As of March 31, 2013 (Unaudited)


Description	Shares (000)			Value		Percent of Net Assets*

COMMON STOCKS — 2.0%
CONSUMER DISCRETIONARY — 0.4%
AUTOMOBILES — 0.3%
General Motors Co. ¹		12		$	345,886		0.3	%

HOTELS, RESTAURANTS & LEISURE — 0.0%
Real Mex Restaurants, Inc., Class B, ADR ^1,9		200			—		0.0

LEISURE EQUIPMENT & PRODUCTS — 0.1%
New True Temper Holdings Corp., Inc. ^1,9		43			27,517		0.1

SPECIALTY RETAIL — 0.0% ¹²
Neebo, Inc. ^1,9		12			17,393		0.0	¹²

Total Consumer Discretionary					390,796		0.4

CONSUMER STAPLES — 0.0%
FOOD PRODUCTS — 0.0%
Eurofresh, Inc., ADR ^1,9		106			—		0.0

FINANCIALS — 0.2%
DIVERSIFIED FINANCIAL SERVICES — 0.2%
Adelphia Recovery Trust ^1,9		157			2		0.0	¹²
Adelphia Recovery Trust, Contingent Value ^1,9		1,297			5,836		0.0	¹²
Capmark Financial Group, Inc.		22			176,353		0.2

Total Financials					182,191		0.2

INDUSTRIALS — 0.2%
BUILDING PRODUCTS — 0.0%
Jupiter Holding I Corp. ^1,9		8			—		0.0

ELECTRICAL EQUIPMENT — 0.2%
Wolverine Tube, Inc., ADR, ^1,9		8			247,036		0.2

MACHINERY — 0.0%
Glasstech, Inc., Class C ^1,9		—	¹¹		—		0.0

MARINE — 0.0% ¹²
General Maritime Corp. ^1,9		—	¹¹		7,050		0.0	¹²

Total Industrials					254,086		0.2

INFORMATION TECHNOLOGY — 0.0% ¹²
COMPUTERS & PERIPHERALS — 0.0%
Stratus Technologies Bermuda Holdings, Ltd., (Bermuda) ^1,9		8			—		0.0


SEMICONDUCTORS & SEMICONDUCTOR EQUIPMENT — 0.0% ¹²
Magnachip Semiconductor Corp., (South Korea) ¹		3		$	46,321		0.0	% ¹²

Total Information Technology					46,321		0.0 ¹²

MATERIALS — 0.6%
CONSTRUCTION MATERIALS — 0.1%
U.S. Concrete, Inc. ¹		10			138,390		0.1

CONTAINERS & PACKAGING — 0.0%
Constar International, Inc., ADR ^1,9		4			—		0.0

PAPER & FOREST PRODUCTS — 0.5%
New Holdco ^1,9		6			523,140		0.5

Total Materials					661,530		0.6

UTILITIES — 0.6%
INDEPENDENT POWER PRODUCERS & ENERGY TRADERS — 0.6%
Dynegy, Inc. ¹		28			659,725		0.6

Total Common Stocks
(cost $4,780,853)					2,194,649		2.0

WARRANTS — 0.1%
CONSUMER DISCRETIONARY — 0.1%
AUTOMOBILES — 0.1%
General Motors Co., expiring 07/10/16 ¹		8			140,139		0.1

SPECIALTY RETAIL — 0.0%
Neebo, Inc., expiring 06/20/19 ^1,9		5			—		0.0

Total Consumer Discretionary					140,139		0.1

INDUSTRIALS — 0.0%
MARINE — 0.0%
General Maritime Corp., expiring 05/17/17 ^1,9		—	¹¹		—		0.0

Total Warrants
(cost $160,930)					140,139		0.1

Total Equity Investments
(cost $9,253,487)					5,198,995		4.6

P ACHOLDER H IGH Y IELD F UND, I NC.

Schedule of Portfolio Investments (continued)

As of March 31, 2013 (Unaudited)


Description	Shares (000)		Value			Percent of Net Assets*

SHORT-TERM INVESTMENT — 2.6%
INVESTMENT COMPANY — 2.6%
JPMorgan Prime Money Market Fund, Institutional Class Shares, 0.050% ^5,13
(cost $2,900,165)		2,900	$	2,900,165			2.6	%

TOTAL INVESTMENTS
(cost $155,423,002)				155,932,201			137.2

Preferred Stock and Liabilities in Excess of Other Assets				(42,250,949	)		(37.2	)

Net Assets Applicable to Common Stockholders			$	113,681,252			100.0

ADR

American Depositary Receipt

Company

DIP

Debtor-in-Possession

Guar

Guaranteed

Junior

Mtg

Mortgage

Note

Pfd

Preferred

PIK

Payment in-kind

Sec’d

Secured

Senior

Sub

Subordinate

Unsec’d

Unsecured

VAR

Variable Rate Security. The interest rate shown is the rate in effect as of March 31, 2013.

Applicable to common stockholders.

Non-income producing security.

Security is exempt from registration under Rule 144A of the Securities Act of 1933. Unless otherwise indicated, this security has been determined to be liquid under procedures established by the Board of Directors and may be resold in transactions exempt from registration, normally to qualified institutional buyers. These securities amounted to $52,477,444 and 46.2% of net assets applicable to common stockholders.

⁴

Defaulted security.

⁵

Investment in affiliate. Money market fund registered under the Investment Company Act of 1940, as amended, and advised by J.P. Morgan Investment Management Inc.

⁹

Security deemed to be illiquid. These securities amounted to $3,793,344 and 3.3% of net assets applicable to common stockholders.

¹⁰

All or a portion of the security is reserved for current or potential holdings of swaps, unfunded commitments, TBAs, when issued securities and/or delayed delivery securities.

¹¹

Amount rounds to less than one thousand (par or shares).

¹²

Amount rounds to less than 0.1%.

¹³

The rate shown is the current yield as of March 31, 2013.

¹⁴

Security is perpetual and, thus, does not have a predetermined maturity date. The coupon rate for this security is fixed for a period of time and may be structured to adjust thereafter. The date shown, if applicable, reflects the next call date. The coupon rate shown is the rate in effect as of March 31, 2013.

¹⁵

The date shown reflects the next call date on which the issuer may redeem the security at par value. The coupon rate for this security is based on par value and is currently in effect as of March 31, 2013.

¹⁶

Security is distressed as of March 31, 2013. The rate at which income is accrued on the security is lower than the stated PIK coupon rate.

^{^}

All or a portion of the security is unsettled as of March 31, 2013. Unless otherwise indicated, the coupon rate is undetermined. The coupon rate shown may not be accrued for the entire position.

As of March 31, 2013, the gross unrealized appreciation (depreciation) of investments based on the aggregate cost of investments for federal income tax purposes was as follows:


Aggregate gross unrealized appreciation	$	10,037,797
Aggregate gross unrealized depreciation		(9,528,598	)

Net unrealized appreciation/depreciation	$	509,199

Federal income tax cost of investments	$	155,423,002

P ACHOLDER H IGH Y IELD F UND, I NC.

Schedule of Portfolio Investments (continued)

As of March 31, 2013 (Unaudited)

A. VALUATION OF INVESTMENTS — Fixed income securities (other than certain short-term investments maturing in less than 61 days) are valued each day based on prices received from independent or affiliated pricing services approved by the Board of Trustees or third party broker-dealers. The broker-dealers or pricing services use multiple valuation techniques to determine fair value. In instances where sufficient market activity exists, the broker-dealers or pricing services may utilize a market-based approach through which quotes from market makers are used to determine fair value. In instances where sufficient market activity may not exist or is limited, the broker-dealers or pricing services also utilize proprietary valuation models which may consider market transactions in comparable securities and the various relationships between securities in determining fair value and/or market characteristics such as benchmark yield curves, option-adjusted spreads, credit spreads, estimated default rates, coupon-rates, anticipated timing of principal repayments, underlying collateral, and other unique security features in order to estimate the relevant cash flows, which are then discounted to calculate the fair values. Equity securities listed on a North American, Central American, South American or Caribbean securities exchange shall generally be valued at the last sale price on the exchange on which the security is principally traded that is reported before the time when the net assets of the Fund are valued. The value of securities listed on The NASDAQ Stock Market LLC shall generally be the NASDAQ Official Closing Price. Generally, short-term investments of sufficient credit quality maturing in less than 61 days are valued at amortized cost, which approximates fair value.

Certain investments of the Fund may, depending upon market conditions, trade in relatively thin markets and/or in markets that experience significant volatility. As a result of these conditions, the prices used by the Fund to value securities may differ from the value that would be realized if these securities were sold, and the differences could be material. Futures and options are generally valued on the basis of available market quotations. Swaps and other derivatives are valued daily, primarily using independent or affiliated pricing services approved by the Board of Trustees. If valuations are not available from such services or values received are deemed not representative of fair value, values will be obtained from a third party broker-dealer or counterparty. Investments in other open-end investment companies are valued at each investment company’s net asset value per share (“NAV”) as of the report date.

Securities or other assets for which market quotations are not readily available or for which market quotations do not represent the fair value of the security or asset at the time of pricing (including certain illiquid securities) are fair valued in accordance with procedures established by and under the supervision and responsibility of the Board of Trustees. The Board of Trustees has established an Audit and Valuation Committee to assist with the oversight of the valuation of the Fund’s securities. JPMorgan Funds Management, Inc. (the “Administrator”, or “JPMFM”), an indirect, wholly-owned subsidiary of JPMorgan Chase & Co. (“JPMorgan”), has established a Valuation Committee (“VC”) that is comprised of senior representatives from JPMFM, J.P. Morgan Investment Management Inc. (“JPMIM” or the “Advisor”), a wholly-owned subsidiary of JPMorgan Asset Management Holdings Inc. (“JPMAM”), which is a wholly-owned subsidiary of JPMorgan, JPMAM’s Legal and Compliance, JPMAM’s Risk Management and the Fund’s Chief Compliance Officer. The VC’s responsibilities include making determinations regarding Level 3 fair value measurements (“Fair Values”) and/or providing recommendations for approval to the Board of Trustees’ Audit and Valuation Committee, in accordance with the Fund’s valuation policies.

The VC or Board of Trustees, as applicable, primarily employ a market-based approach which may use related or comparable assets or liabilities, recent transactions, market multiples, book values, and other relevant information for the investment to determine the fair value of the investment. The VC or Board of Trustees may also use an income-based valuation approach in which the anticipated future cash flows of the investment are discounted to calculate fair value. Discounts may also be applied due to the nature or duration of any restrictions on the disposition of the investments. Valuations may be based upon current market prices of securities that are comparable in coupon, rating, maturity and industry. It is possible that the estimated values may differ significantly from the values that would have been used had a ready market for the investments existed, and such differences could be material. JPMFM and JPMIM are responsible for monitoring developments that may impact Fair Values and for discussing and assessing Fair Values on an ongoing, and at least a quarterly, basis with the VC and Board of Trustees, as applicable. The appropriateness of Fair Values is assessed based on results of unchanged price review and consideration of macro or security specific events, back testing and broker and vendor due diligence.

See the table on “Quantitative Information about Level 3 Fair Value Measurements” for information on the valuation techniques and inputs used to value Level 3 securities for the Fund at March 31, 2013.

P ACHOLDER H IGH Y IELD F UND, I NC.

Schedule of Portfolio Investments (continued)

As of March 31, 2013 (Unaudited)

Valuations reflected in this report are as of the report date. As a result, changes in valuation due to market events and/or issuer related events after the report date and prior to issuance of the report, are not reflected herein.

The various inputs that are used in determining the fair value of the Fund’s investments are summarized into the three broad levels listed below.

•

Level 1 — quoted prices in active markets for identical securities

•

Level 2 — other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.)

•

Level 3 — significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments)

A financial instrument’s level within the fair value hierarchy is based on the lowest level of any input both individually and in the aggregate that is significant to the fair value measurement. The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.

The following table represents each valuation input by sector as presented on the Schedule of Portfolio Investments:


	Level 1 Quoted prices		Level 2 Other significant observable inputs		Level 3 Significant unobservable inputs			Total
Investments in Securities
Common Stocks
Consumer Discretionary	$	345,886	$	—	$	44,910		$	390,796
Consumer Staples		—		—		—	^(a)		—	^(a)
Financials		176,353		—		5,838			182,191
Industrials		—		—		254,086			254,086
Information Technology		46,321		—		—	^(a)		46,321
Materials		138,390		—		523,140			661,530
Utilities		659,725		—		—			659,725

Total Common Stocks		1,366,675		—		827,974			2,194,649

Preferred Stocks
Consumer Discretionary		300,580		—		200,078			500,658
Consumer Staples		—		—		—	^(a)		—	^(a)
Financials		224,340		1,527,183		—			1,751,523
Health Care		424,000		—		—			424,000
Industrials		—		—		—	^(a)		—	^(a)
Information Technology		—		—		—	^(a)		—	^(a)
Materials		188,026		—		—	^(a)		188,026

Total Preferred Stocks		1,136,946		1,527,183		200,078			2,864,207

Debt Securities
Asset-Backed Securities		—		—		1,498,925			1,498,925
Convertible Bonds
Consumer Discretionary		—		—		—	^(a)		—	^(a)

P ACHOLDER H IGH Y IELD F UND, I NC.

Schedule of Portfolio Investments (continued)

As of March 31, 2013 (Unaudited)


	Level 1 Quoted prices		Level 2 Other significant observable inputs		Level 3 Significant unobservable inputs			Total
Corporate Bonds
Consumer Discretionary	$	—	$	30,064,310	$	452,522		$	30,516,832
Consumer Staples		—		5,421,468		—	^(a)		5,421,468
Energy		—		17,667,818		201,000			17,868,818
Financials		—		15,301,814		32,593			15,334,407
Health Care		—		9,386,055		77,555			9,463,610
Industrials		—		12,671,010		2,460,637			15,131,647
Information Technology		—		6,306,622		—			6,306,622
Materials		—		15,952,448		390,595			16,343,043
Telecommunication Services		—		12,288,428		—	^(a)		12,288,428
Utilities		—		5,801,315		20,625			5,821,940

Total Corporate Bonds		—		130,861,288		3,635,527			134,496,815

Loan Assignments
Consumer Discretionary		—		4,530,127		112,802			4,642,929
Consumer Staples		—		407,948		—			407,948
Energy		—		528,332		—			528,332
Financials		—		867,624		—			867,624
Health Care		—		52,614		—			52,614
Industrials		—		1,236,888		—			1,236,888
Information Technology		—		1,576,585		—			1,576,585
Materials		—		1,289,953		—			1,289,953
Telecommunication Services		—		254,345		—			254,345
Utilities		—		980,083		—			980,083

Total Loan Assignments		—		11,724,499		112,802			11,837,301

Warrants
Consumer Discretionary		140,139		—		—	^(a)		140,139
Industrials		—		—		—	^(a)		—	^(a)

Total Warrants		140,139		—		—	^(a)		140,139

Short-Term Investment
Investment Company		2,900,165		—		—			2,900,165

Total Investments in Securities	$	5,543,925	$	144,112,970	$	6,275,306		$	155,932,201

^(a)

Value is zero.

There were no transfers between Levels 1 and 2 during the period ended March 31, 2013.

P ACHOLDER H IGH Y IELD F UND, I NC.

Schedule of Portfolio Investments (continued)

As of March 31, 2013 (Unaudited)

The following is a summary of investments for which significant unobservable inputs (Level 3) were used in determining fair value.


	Balance as of 12/31/12			Realized gain (loss)			Change in unrealized appreciation (depreciation)			Net accretion (amortization)			Purchases ¹			Sales ²			Transfers into Level 3		Transfers out of Level 3			Balance as of 03/31/13
Investments in Securities
Asset-Backed Securities	$	1,448,757		$	—		$	53,105		$	1,503		$	—		$	(4,440	)	$	—	$	—		$	1,498,925
Common Stocks — Consumer Discretionary		56,310			—			(11,400	)		—			—			—			—		—			44,910
Common Stocks — Consumer Staples		—	^(a)		—			—			—			—			—			—		—			—	^(a)
Common Stocks — Financials		5,838			—			—			—			—			—			—		—			5,838
Common Stocks — Industrials		173,562			—			80,524			—			—			—			—		—			254,086
Common Stocks — Information Technology		—	^(a)		—			—			—			—			—			—		—			—	^(a)
Common Stocks — Materials		523,140			—			10,254			—			—			(10,254	)		—		—			523,140
Convertible Bonds — Consumer Discretionary		76,923			—			(77,605	)		—			682			—			—		—			—	^(a)
Corporate Bonds — Consumer Discretionary		745,398			(84,435	)		15,234			1,958			4,067			(229,700	)		—		—			452,522
Corporate Bonds — Consumer Staples		—	^(b)		—			(19,189	)		—			19,189			—			—		—			—	^(a)
Corporate Bonds — Energy		—			—			1,000			—			200,000			—			—		—			201,000
Corporate Bonds — Financials		43,048			—			(10,455	)		—			—			—			—		—			32,593
Corporate Bonds — Health Care		71,479			—			6,251			(175	)		—			—			—		—			77,555
Corporate Bonds — Industrials		2,642,434			—			33,146			(1,430	)		5,646			(47,259	)		28,100		(200,000	)		2,460,637
Corporate Bonds — Information Technology		98,258			—			—			—			—			—			—		(98,258	)		—
Corporate Bonds — Materials		519,184			—			(137,776	)		449			8,738			—			—		—			390,595
Corporate Bonds — Telecommunication Services		—			—			—			—			—	^(a)		—			—		—			—	^(a)
Corporate Bonds — Utilities		29,750			—			(9,125	)		—			—			—			—		—			20,625
Loan Assignments — Consumer Discretionary		97,631			—			15,171			—			—			—			—		—			112,802
Preferred Stocks — Consumer Discretionary		107,734			—			92,344			—			—			—			—		—			200,078
Preferred Stocks — Consumer Staples		—	^(a)		—			—			—			—			—			—		—			—	^(a)
Preferred Stocks — Industrials		—	^(a)		—			—			—			—			—			—		—			—	^(a)
Preferred Stocks — Information Technology		—	^(a)		—			—			—			—			—			—		—			—	^(a)
Preferred Stocks — Materials		—	^(a)		—			—			—			—			—			—		—			—	^(a)
Warrants — Consumer Discretionary		—	^(a)		—			—			—			—			—			—		—			—	^(a)
Warrants — Industrials		—	^(a)		—			—			—			—			—			—		—			—	^(a)

Total	$	6,639,446		$	(84,435	)	$	41,479		$	2,305		$	238,322		$	(291,653	)	$	28,100	$	(298,258	)	$	6,275,306

^(a)

Value is zero.

^(b)

Amount rounds to less than $1.

P ACHOLDER H IGH Y IELD F UND, I NC.

Schedule of Portfolio Investments (continued)

As of March 31, 2013 (Unaudited)

Purchases include all purchases of securities and securities received in corporate actions.

Sales include all sales of securities, maturities, paydowns and securities tendered in corporate actions.

Transfers into, and out of, Level 3 are valued utilizing values as of the beginning of the period.

Transfers from Level 2 to Level 3 or from Level 3 to Level 2 are due to a decline or an increase in market activity (e.g. frequency of trades), which resulted in a lack of or increase in available market inputs to determine price.

The change in unrealized appreciation (depreciation) attributable to securities owned at March 31, 2013, which were valued using significant unobservable inputs (Level 3) amounted to $41,479.

Quantitative Information about Level 3 Fair Value Measurements #

Fair Value at
3/31/13

Valuation Technique(s)

Unobservable Input

Range (Weighted Average)

770,176

Market Comparable Companies

EBITDA Multiple ^(a)

5.00x - 7.29x(5.64x)

Discount for lack of marketability ^(b)

10% - 30%(11.60%)

27,517

Mergers and Acquisitions

Discount for potential outcome

20%(N/A)

Discount for lack of marketability ^(b)

25%(N/A)

7,050

Terms of Plan of Reorganization

Discount for lack of marketability ^(b)

25%(N/A)

Broker Bid

Equity Broker Quote

$0(N/A)

17,393

Consensus Broker Pricing

Median Bid quote

$1.50(N/A)

Discounted Cash Flow

Probability of Insolvency

100%(N/A)

Common Stock

822,136

Discounted Cash Flow

Discount for lack of marketability ^(b)

17.5%(N/A)

Probability of Insolvency

100%(N/A)

^(c)

Market Comparable Companies

EBITDA Multiple ^(a)

5.40x - 5.82x(N/A)

Discount for lack of marketability ^(b)

30%(N/A)

Preferred Stock

309,339

Market Comparable Companies

EBITDA Multiple ^(a)

5.5x - 7.29x(6.88x)

Discount for lack of marketability ^(b)

25% - 30%(25.00%)

Probability of Default

97%(N/A)

Corporate Bond

309,339

1,494,450

Discounted Cash Flow

Liquidity Discount
Implied Spread to Index

4.50%(N/A)
2%(N/A)

Asset-Backed Securities

1,494,450

Warrants

Intrinsic Value

Issue Price vs. Stock Price

0(N/A)

Total

2,625,925

The table above does not include Level 3 securities that are valued by brokers and pricing services. At 3/31/13, the value of these securities was $3,649,381. The inputs for these securities are not readily available or cannot be reasonably estimated and are generally those inputs described in Note A. The appropriateness of fair values for these securities is monitored on an ongoing basis which may include results of back testing, unchanged price review, results of broker and vendor due diligence and consideration of macro or security specific events.

P ACHOLDER H IGH Y IELD F UND, I NC.

Schedule of Portfolio Investments (continued)

As of March 31, 2013 (Unaudited)

^(a)

Represents amounts used when the reporting entity has determined that market participants would take into account such multiples when pricing the investments.

^(b)

Represents amounts used when the reporting entity has determined that market participants would take into account discounts, as applicable, when pricing the investments.

^(c)

Securities senior to the preferred securities in issuing entity capital structure result in preferred stock being valued at zero.

The significant unobservable inputs used in the fair value measurement of the Fund’s investments are listed above. Generally, a change in the assumptions used in any input in isolation may be accompanied by a change in another input. Significant changes in any of the unobservable inputs may significantly impact the fair value measurement. The impact is based on the relationship between each unobservable input and the fair value measurement. Significant increases (decreases) in enterprise multiples may increase (decrease) the fair value measurement. Significant increases (decreases) in the discount for lack of marketability, discount for potential outcome and probability of default may decrease (increase) the fair value measurement. A significant change in broker pricing information could result in a significantly higher or lower value in such Level 3 instruments.