UNITED
STATES
SECURITIES
AND EXCHANGE COMMISSION
Washington,
D.C. 20549
Form
N-CSR
CERTIFIED
SHAREHOLDER REPORT OF
REGISTERED
MANAGEMENT INVESTMENT COMPANIES
Investment
Company Act file number: 811-22004
Voya
Asia Pacific High Dividend Equity Income Fund
(Exact
name of registrant as specified in charter)
7337
East Doubletree Ranch Road, Suite 100, Scottsdale, AZ |
|
85258 |
(Address
of principal executive offices) |
|
(Zip
code) |
Huey
P. Falgout Jr., 7337 East Doubletree Ranch Road, Suite 100, Scottsdale, AZ 85258
(Name
and address of agent for service)
Registrant’s
telephone number, including area code: 1-800-992-0180
Date
of fiscal year end: February 28
Date
of reporting period: March 1, 2023 to August 31, 2023
Item
1. Reports to Stockholders.
| (a) | The
following is a copy of the report transmitted to stockholders pursuant to Rule 30e-1 under
the Act (17 CFR 270.30e-1): |
Semi-Annual
Report
August
31, 2023
Voya
Asia Pacific High Dividend Equity Income Fund
As permitted by regulations
adopted by the U.S. Securities and Exchange Commission, paper copies of the fund’s annual and semi-annual shareholder reports,
like this semi-annual report, are not sent by mail, unless you specifically request paper copies of the reports. Instead, the
reports will be made available on the Voya funds’ website (www.voyainvestments.com/literature), and you will be notified
by mail each time a report is posted and provided with a website link to access the report. |
|
If you already elected
to receive shareholder reports electronically, you need not take any action. You may elect to receive shareholder reports and
other communications from a fund electronically anytime by contacting your financial intermediary (such as a broker-dealer or
bank) or, if you are a direct investor, by calling 1-800-992-0180 or by sending an e-mail request to Voyaim_literature@voya.com. |
|
You may elect to receive
all future reports in paper free of charge. If you received this document in the mail, please follow the instructions to elect
to continue receiving paper copies of your shareholder reports. If you received this document through a financial intermediary,
you can contact your financial intermediary to request that you continue to receive paper copies of your shareholder reports.
If you invest directly with us, you can call 1-800-992-0180 or send an email request to Voyaim_literature@voya.com to let a fund
know you wish to continue receiving paper copies of your shareholder reports. Your election to receive reports in paper will apply
to all funds held in your account if you invest through your financial intermediary or all funds held with the Voya funds complex
if you invest directly with the funds. |
This report is submitted
for general information to shareholders of the Voya mutual funds. It is not authorized for distribution to prospective shareholders
unless accompanied or preceded by a prospectus which includes details regarding the fund’s investment objectives, risks,
charges, expenses and other information. This information should be read carefully. |
| | E-Delivery
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INVESTMENT MANAGEMENT
voyainvestments.com |
|
TABLE
OF CONTENTS
| Go Paperless with E-Delivery! |
|
Sign up now for on-line prospectuses, fund reports, and proxy statements.
Just go to individuals.voya.com/page/e-delivery, follow the directions and complete the quick 5 Steps to Enroll.
You will be notified by e-mail when these communications become available on the internet. |
PROXY
VOTING INFORMATION
A
description of the policies and procedures that the Fund uses to determine how to vote proxies related to portfolio securities
is available: (1) without charge, upon request, by calling Shareholder Services toll-free at (800) 992-0180; (2) on the Fund’s
website at www.voyainvestments.com; and (3) on the U.S. Securities and Exchange Commission’s (“SEC’s”)
website at www.sec.gov. Information regarding how the Fund voted proxies related to portfolio securities during the most recent
12-month period ended June 30 is available without charge on the Fund’s website at www.voyainvestments.com and on the SEC’s
website at www.sec.gov.
QUARTERLY
PORTFOLIO HOLDINGS
The
Fund files its complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form
NPORT-P. The Fund’s Forms NPORT-P are available on the SEC’s website at www.sec.gov. The Fund’s complete schedule
of portfolio holdings is available at: www.voyainvestments.com and without charge upon request from the Fund by calling Shareholder
Services toll-free at (800) 992-0180.
[This
Page Intentionally Left Blank]
STATEMENT
OF ASSETS AND LIABILITIES as of August
31, 2023 (Unaudited)
ASSETS: | |
| |
Investments
in securities at fair value* | |
$ | 76,801,370 | |
Short-term
investments at fair value† | |
| 936,000 | |
Cash | |
| 144,551 | |
Cash
pledged as collateral for OTC derivatives (Note 2) | |
| 480,000 | |
Foreign
currencies at value‡ | |
| 13,044 | |
Receivables: | |
| | |
Investment
securities and currencies sold | |
| 43,477 | |
Dividends | |
| 194,660 | |
Interest | |
| 985 | |
Prepaid
expenses | |
| 100 | |
Reimbursement
due from Investment Adviser | |
| 14,750 | |
Other
assets | |
| 5,440 | |
Total
assets | |
| 78,634,377 | |
| |
| | |
LIABILITIES: | |
| | |
Payable
for investment securities and currencies purchased | |
| 43,529 | |
Unrealized
depreciation on forward foreign currency contracts | |
| 2 | |
Payable
for investment management fees | |
| 69,605 | |
Payable
to trustees under the deferred compensation plan (Note 6) | |
| 5,440 | |
Payable
for trustee fees | |
| 196 | |
Payable
for foreign capital gains tax | |
| 365,668 | |
Other
accrued expenses and liabilities | |
| 73,122 | |
Written
options, at fair value^ | |
| 549,231 | |
Total
liabilities | |
| 1,106,793 | |
NET
ASSETS | |
$ | 77,527,584 | |
| |
| | |
NET
ASSETS WERE COMPRISED OF: | |
| | |
Paid-in
capital | |
$ | 98,741,867 | |
Total
distributable loss | |
| (21,214,283 | ) |
NET
ASSETS | |
$ | 77,527,584 | |
| |
| | |
*
Cost of investments in securities | |
$ | 78,014,481 | |
†
Cost of short-term investments | |
$ | 936,000 | |
‡ Cost
of foreign currencies | |
$ | 13,040 | |
^
Premiums received on written options | |
$ | 425,139 | |
| |
| | |
Net
assets | |
$ | 77,527,584 | |
Shares
authorized | |
| unlimited | |
Par
value | |
$ | 0.010 | |
Shares
outstanding | |
| 11,241,506 | |
Net
asset value † | |
$ | 6.90 | |
See
Accompanying Notes to Financial Statements
STATEMENT
OF OPERATIONS for the six months ended August
31, 2023 (Unaudited)
INVESTMENT
INCOME: | |
| |
Dividends,
net of foreign taxes withheld* | |
$ | 1,856,724 | |
Interest | |
| 5,153 | |
Other | |
| 274 | |
Total
investment income | |
| 1,862,151 | |
| |
| | |
EXPENSES: | |
| | |
Investment
management fees | |
| 426,139 | |
Transfer
agent fees | |
| 9,334 | |
Shareholder
reporting expense | |
| 20,240 | |
Professional
fees | |
| 35,960 | |
Custody
and accounting expense | |
| 61,406 | |
Trustee
fees | |
| 981 | |
Miscellaneous
expense | |
| 18,241 | |
Total
expenses | |
| 572,301 | |
Waived
and reimbursed fees | |
| (84,387 | ) |
Net
expenses | |
| 487,914 | |
Net
investment income | |
| 1,374,237 | |
REALIZED
AND UNREALIZED GAIN (LOSS): | |
| | |
Net
realized gain (loss) on: | |
| | |
Investments
(net of foreign capital gains taxes withheld^) | |
| (1,486,436 | ) |
Forward
foreign currency contracts | |
| 222 | |
Foreign
currency related transactions | |
| (34,948 | ) |
Written
options | |
| 385,590 | |
Net
realized loss | |
| (1,135,572 | ) |
| |
| | |
Net
change in unrealized appreciation (depreciation) on: | |
| | |
Investments
(net of foreign capital gains taxes accrued#) | |
| 79,330 | |
Forward
foreign currency contracts | |
| (2 | ) |
Foreign
currency related transactions | |
| 11,844 | |
Written
options | |
| (506,290 | ) |
Net
change in unrealized appreciation (depreciation) | |
| (415,118 | ) |
Net
realized and unrealized loss | |
| (1,550,690 | ) |
Decrease
in net assets resulting from operations | |
$ | (176,453 | ) |
| |
| | |
* |
Foreign taxes withheld | |
$ | 208,173 | |
^ |
Foreign capital gains taxes withheld | |
$ | 84,966 | |
# |
Change in foreign capital gains taxes accrued | |
$ | 35,815 | |
See
Accompanying Notes to Financial Statements
STATEMENTS
OF CHANGES IN NET ASSETS
| |
Six
Months Ended
August 31, 2023
(Unaudited) | | |
Year
Ended
February 28, 2023 | |
FROM
OPERATIONS: | |
| | | |
| | |
Net investment
income | |
$ | 1,374,237 | | |
$ | 2,291,621 | |
Net realized loss | |
| (1,135,572 | ) | |
| (2,627,296 | ) |
Net
change in unrealized appreciation (depreciation) | |
| (415,118 | ) | |
| (9,511,891 | ) |
Decrease
in net assets resulting from operations | |
| (176,453 | ) | |
| (9,847,566 | ) |
| |
| | | |
| | |
FROM
DISTRIBUTIONS TO SHAREHOLDERS: | |
| | | |
| | |
Total distributions (excluding
return of capital) | |
| (1,385,056 | ) | |
| (2,558,121 | ) |
Return of capital | |
| (2,224,510 | ) | |
| (7,480,946 | ) |
Total
distributions | |
| (3,609,566 | ) | |
| (10,039,067 | ) |
| |
| | | |
| | |
FROM
CAPITAL SHARE TRANSACTIONS: | |
| | | |
| | |
Cost of shares repurchased | |
| (837,237 | ) | |
| (3,446,530 | ) |
Net
decrease in net assets resulting from capital share transactions | |
| (837,237 | ) | |
| (3,446,530 | ) |
Net
decrease in net assets | |
| (4,623,256 | ) | |
| (23,333,163 | ) |
| |
| | | |
| | |
NET
ASSETS: | |
| | | |
| | |
Beginning of year
or period | |
| 82,150,840 | | |
| 105,484,003 | |
End of year or period | |
$ | 77,527,584 | | |
$ | 82,150,840 | |
See
Accompanying Notes to Financial Statements
FINANCIAL
HIGHLIGHTS
Selected
data for a share of beneficial interest outstanding throughout each year or period.
|
|
Per
Share Operating Performance |
|
Ratios
and Supplemental Data |
|
|
|
Income (loss) from investment operations |
|
|
|
Less
Distributions |
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|
Ratios
to average
net assets |
|
|
.
. . . . ; . . . . . . . |
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|
Year
or period ended |
|
($)
|
|
($)
|
|
($)
|
|
($)
|
|
($)
|
|
($)
|
|
($)
|
|
($)
|
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($)
|
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($)
|
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($)
|
|
(%)
|
|
(%)
|
|
($000’s)
|
|
(%)
|
|
(%)
|
|
(%)
|
|
(%)
|
08-31-23+ | |
7.22 | |
0.12• | |
(0.12) | |
0.00 | |
0.12 | |
— | |
0.20 | |
0.32 | |
— | |
6.90 | |
5.90 | |
0.49 | |
(2.15) | |
77,528 | |
1.41 | |
1.20 | |
3.39 | |
41 |
02-28-23 | |
8.87 | |
0.20• | |
(0.99) | |
(0.79) | |
0.22 | |
— | |
0.64 | |
0.86 | |
— | |
7.22 | |
6.34 | |
(7.53) | |
(8.83) | |
82,151 | |
1.36 | |
1.20 | |
2.57 | |
70 |
02-28-22 | |
9.95 | |
0.17• | |
(0.39) | |
(0.22) | |
0.14 | |
— | |
0.72 | |
0.86 | |
— | |
8.87 | |
7.90 | |
(1.89) | |
(6.21) | |
105,484 | |
1.29 | |
1.24 | |
1.82 | |
66 |
02-28-21 | |
8.76 | |
0.15• | |
1.90 | |
2.05 | |
0.13 | |
— | |
0.73 | |
0.86 | |
— | |
9.95 | |
9.27 | |
26.55 | |
37.71 | |
118,355 | |
1.27 | |
1.26 | |
1.69 | |
54 |
02-29-20 | |
10.35 | |
0.24• | |
(0.99) | |
(0.75) | |
0.27 | |
— | |
0.57 | |
0.84 | |
— | |
8.76 | |
7.50 | |
(7.00) | |
(11.77) | |
104,264 | |
1.31 | |
1.31 | |
2.45 | |
105 |
02-28-19 | |
11.67 | |
0.21• | |
(0.71) | |
(0.50) | |
0.18 | |
— | |
0.64 | |
0.82 | |
— | |
10.35 | |
9.34 | |
(3.24) | |
(3.50) | |
123,205 | |
1.37 | |
1.37 | |
2.02 | |
38 |
02-28-18 | |
11.09 | |
0.24• | |
1.16 | |
1.40 | |
0.31 | |
— | |
0.51 | |
0.82 | |
— | |
11.67 | |
10.56 | |
13.60 | |
17.28 | |
138,821 | |
1.35 | |
1.35 | |
2.03 | |
37 |
02-28-17 | |
9.39 | |
0.25• | |
2.42 | |
2.67 | |
0.29 | |
— | |
0.68 | |
0.97 | |
— | |
11.09 | |
9.72 | |
31.11 | |
32.20 | |
134,500 | |
1.35 | |
1.35 | |
2.41 | |
29 |
02-29-16 | |
13.10 | |
0.29 | |
(2.85) | |
(2.56) | |
0.55 | |
— | |
0.60 | |
1.15 | |
— | |
9.39 | |
8.16 | |
(19.80)(5)
| |
(23.19) | |
118,831 | |
1.32 | |
1.32 | |
2.60 | |
41 |
02-28-15 | |
13.34 | |
0.27 | |
0.77 | |
1.04 | |
0.35 | |
— | |
0.93 | |
1.28 | |
— | |
13.10 | |
11.89 | |
8.84 | |
6.53 | |
165,757 | |
1.40 | |
1.40 | |
1.99 | |
28 |
02-28-14 | |
15.93 | |
0.35 | |
(1.59) | |
(1.24) | |
1.35 | |
— | |
— | |
1.35 | |
— | |
13.34 | |
12.37 | |
(7.51) | |
(14.02) | |
168,760 | |
1.47 | |
1.47 | |
2.44 | |
64 |
| |
| |
| |
| |
| |
| |
| |
| |
| |
| |
| |
| |
| |
| |
| |
| |
| |
| |
|
| (1) | Total
investment return at net asset value has been calculated assuming a purchase at net asset
value at the beginning of each period and a sale at net asset value at the end of each
period and assumes reinvestment of dividends, capital gain distributions and return of
capital distributions/allocations, if any, in accordance with the provisions of the dividend
reinvestment plan. Total investment return at net asset value is not annualized for periods
less than one year. |
| (2) | Total
investment return at market value measures the change in the market value of your investment
assuming reinvestment of dividends, capital gain distributions and return of capital
distributions/allocations, if any, in accordance with the provisions of the Fund’s
dividend reinvestment plan. Total investment return at market value is not annualized
for periods less than one year. |
| (3) | Annualized
for periods less than one year. |
| (4) | The
Investment Adviser has entered into a written expense limitation agreement with the Fund
under which it will limit the expenses of the Fund (excluding interest, taxes, investment-related
costs, leverage expenses, extraordinary expenses and acquired fund fees and expenses)
subject to possible recoupment by the Investment Adviser within three years of being
incurred. |
| (5) | Excluding
amounts related to a foreign currency settlement recorded in the fiscal year ended February
29, 2016, total return would have been (20.14)%. |
| • | Calculated
using average number of shares outstanding throughout the year or period. |
See
Accompanying Notes to Financial Statements
NOTES
TO FINANCIAL STATEMENTS as of August
31, 2023 (Unaudited)
NOTE
1 — ORGANIZATION
Voya
Asia Pacific High Dividend Equity Income Fund (the “Fund”) is a diversified, closed-end management investment company
registered under the Investment Company Act of 1940, as amended (the “1940 Act”). The Fund is organized as a Delaware
statutory trust.
Voya
Investments, LLC (“Voya Investments” or the “Investment Adviser”), an Arizona limited liability company,
serves as the Investment Adviser to the Fund. The Investment Adviser has engaged Voya Investment Management Co. LLC (“Voya
IM” or the “Sub-Adviser”), a Delaware limited liability company, to serve as the Sub-Adviser to the Fund
NOTE
2 — SIGNIFICANT ACCOUNTING POLICIES
The
following significant accounting policies are consistently followed by the Fund in the preparation of its financial statements.
The Fund is considered an investment company under U.S. generally accepted accounting principles (“GAAP”) and follows
the accounting and reporting guidance applicable to investment companies.
A.
Security Valuation. The Fund is open for business every day the New York Stock Exchange (“NYSE”) opens
for regular trading (each such day, a “Business Day”). The net asset value (“NAV”) per share of the Fund
is determined each Business Day as of the close of the regular trading session (“Market Close”), as determined by
the Consolidated Tape Association (“CTA”), the central distributor of transaction prices for exchange-traded securities
(normally 4:00 p.m. Eastern time unless otherwise designated by the CTA). The data reflected on the consolidated tape provided
by the CTA is generated by various market centers, including all securities exchanges, electronic communications networks, and
third-market broker-dealers. The NAV per share of the Fund is calculated by taking the value of the Fund’s assets, subtracting
the Fund’s liabilities, and dividing by the number of shares that are outstanding. On days when the Fund is closed for business,
Fund shares will not be priced and the Fund does not transact purchase and redemption orders. To the extent the Fund’s assets
are traded in other markets on days when the Fund does not price its shares, the value of the Fund’s assets will likely
change and you will not be able to purchase or redeem shares of the Fund.
Portfolio
securities for which market quotations are readily available are valued at market value. Investments in open-end registered investment
companies that do not trade on an exchange are valued at the end of day NAV per share. The prospectuses of the open-end registered
investment companies in which the Fund may invest explain the circumstances under which they will use fair value pricing and the
effects of using fair value pricing. Foreign securities’
prices
are converted into U.S. dollar amounts using the applicable exchange rates as of Market Close
When
a market quotation for a portfolio security is not readily available or is deemed unreliable (for example when trading has been
halted or there are unexpected market closures or other material events that would suggest that the market quotation is unreliable)
and for purposes of determining the value of other Fund assets, the asset is priced at its fair value. The Board has designated
the Investment Adviser, as the valuation designee, to make fair value determinations in good faith. In determining the fair value
of the Fund’s assets, the Investment Adviser, pursuant to its fair valuation policy, may consider inputs from pricing service
providers, broker-dealers, or the Fund’s sub-adviser(s). Issuer specific events, transaction price, position size, nature
and duration of restrictions on disposition of the security, market trends, bid/ask quotes of brokers and other market data may
be reviewed in the course of making a good faith determination of an asset’s fair value. Because trading hours for certain
foreign securities end before Market Close, closing market quotations may become unreliable. The prices of foreign securities
will generally be adjusted based on inputs from an independent pricing service that are intended to reflect valuation changes
through the NYSE close. Because of the inherent uncertainties of fair valuation, the values used to determine the Fund’s
NAV may materially differ from the value received upon actual sale of those investments. Thus, fair valuation may have an unintended
dilutive or accretive effect on the value of shareholders’ investments in the Fund.
The
Fund’s financial instruments are valued at the close of the NYSE and are reported at fair value, which GAAP defines as the
price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants
at the measurement date.
Various
valuation techniques and inputs are used to determine the fair value of financial instruments. GAAP establishes the following
fair value hierarchy that categorizes the inputs used to measure fair value:
Level
1 – quoted prices (unadjusted) in active markets for identical financial instruments that the fund can access at the reporting
date.
Level
2 – inputs other than Level 1 quoted prices that are observable, either directly or indirectly (including, but not limited
to, quoted prices for similar financial instruments in active markets, quoted prices for identical or similar financial instruments
in inactive markets, interest rates and yield curves, implied volatilities, and credit spreads).
NOTES
TO FINANCIAL STATEMENTS as of August
31, 2023 (Unaudited) (continued)
NOTE
2 — SIGNIFICANT ACCOUNTING POLICIES (continued)
Level
3 – unobservable inputs (including the fund’s own assumptions in determining fair value).
Observable
inputs are developed using market data, such as publicly available information about actual events or transactions, and reflect
the assumptions that market participants would use to price the financial instrument. Unobservable inputs are those for which
market data are not available and are developed using the best information available about the assumptions that market participants
would use to price the financial instrument. GAAP requires valuation techniques to maximize the use of relevant observable inputs
and minimize the use of unobservable inputs. When multiple inputs are used to derive fair value, the financial instrument is assigned
to the level within the fair value hierarchy based on the lowest-level input that is significant to the fair value of the financial
instrument. Input levels are not necessarily an indication of the risk or liquidity associated with financial instruments at that
level but rather the degree of judgment used in determining those values.
A
table summarizing the Fund’s investments under these levels of classification is included within the Portfolio of Investments.
Each
investment asset or liability of the Fund is assigned a level at measurement date based on the significance and source of the
inputs to its valuation. Quoted prices in active markets for identical securities are classified as “Level 1,” inputs
other than quoted prices for an asset or liability that are observable are classified as “Level 2” and significant
unobservable inputs, including the Sub-Adviser’s or Pricing Committee’s judgment about
the assumptions that a market participant would use in pricing an asset or liability are classified as “Level 3.”
The inputs used for valuing securities are not necessarily an indication of the risks associated with investing in those securities.
Short-term securities of sufficient credit quality are generally considered to be Level 2 securities under applicable accounting
rules. A table summarizing the Fund’s investments under these levels of classification is included within the Portfolio
of Investments.
GAAP
requires a reconciliation of the beginning to ending balances for reported fair values that presents changes attributable to total
realized and unrealized gains or losses, purchases and sales, and transfers in or out of the Level 3 category during the period.
A reconciliation of Level 3 investments within the Portfolio of Investments is presented only when the Fund has a significant
amount of Level 3 investments.
B. Securities
Transactions and Revenue Recognition. Securities transactions are recorded on the trade date. Realized gains or
losses on sales of investments are calculated on the identified cost basis. Interest income is recorded on the accrual basis.
Premium amortization and discount accretion are determined using the effective yield method. Dividend income is recorded on
the ex-dividend date, or in the case of some foreign dividends, when the information becomes available to the
Fund.
C.
Foreign Currency Translation. The books and records of the Fund are maintained in U.S. dollars. Any foreign currency
amounts are translated into U.S. dollars on the following basis:
| (1) | Market
value of investment securities, other assets and liabilities — at the exchange
rates prevailing at Market Close. |
| (2) | Purchases
and sales of investment securities, income and expenses — at the rates of exchange
prevailing on the respective dates of such transactions. |
Although
the net assets and the market values are presented at the foreign exchange rates at Market Close, the Fund does not isolate the
portion of the results of operations resulting from changes in foreign exchange rates on investments from the fluctuations arising
from changes in market prices of securities held. Such fluctuations are included with the net realized and unrealized gains or
losses from investments. For securities, which are subject to foreign withholding tax upon disposition, liabilities are recorded
on the Statement of Assets and Liabilities for the estimated tax withholding based on the securities’ current market value.
Upon disposition, realized gains or losses on such securities are recorded net of foreign withholding tax.
Reported
net realized foreign exchange gains or losses arise from sales of foreign currencies, currency gains or losses realized between
the trade and settlement dates on securities transactions, the difference between the amounts of dividends, interest, and foreign
withholding taxes recorded on the Fund’s books and the U.S. dollar equivalent of the amounts actually received or paid.
Net unrealized foreign exchange gains and losses arise from changes in the value of assets and liabilities other than investments
in securities, resulting from changes in the exchange rate. Foreign security and currency transactions may involve certain considerations
and risks not typically associated with investing in U.S. companies and U.S. government securities. These risks include, but are
not limited to, revaluation of currencies and future adverse political and economic developments which could cause securities
and their markets to be less liquid and prices more volatile than those of comparable U.S. companies and U.S. government securities.
The foregoing risks are even
NOTES
TO FINANCIAL STATEMENTS as of August
31, 2023 (Unaudited) (continued)
NOTE
2 — SIGNIFICANT ACCOUNTING POLICIES (continued)
greater
with respect to securities of issuers in emerging markets.
D.
Distributions to Shareholders. The Fund intends to make quarterly distributions from its cash available for distribution,
which consists of the Fund’s dividends and interest income after payment of Fund expenses, net option premiums and net realized
and unrealized gains on investments. Such quarterly distributions may also consist of return of capital. At least annually, the
Fund intends to distribute all or substantially all of its net realized capital gains. Distributions are recorded on the ex-dividend
date. Distributions are determined annually in accordance with federal tax regulations, which may differ from GAAP for investment
companies.
The
tax treatment and characterization of the Fund’s distributions may vary significantly from time to time depending on whether
the Fund has gains or losses on the call options written in its portfolio versus gains or losses on the equity securities in the
portfolio. Each quarter, the Fund will provide disclosures with distribution payments made that estimate the percentages of that
distribution that represent net investment income, other income or capital gains, and return of capital, if any. The final composition
of the tax characteristics of the distributions cannot be determined with certainty until after the end of the Fund’s tax
year, and will be reported to shareholders at that time. A significant portion of the Fund’s distributions may constitute
a return of capital. The amount of quarterly distributions will vary, depending on a number of factors. As portfolio and market
conditions change, the rate of dividends on the common shares will change. There can be no assurance that the Fund will be able
to declare a dividend in each period.
E.
Federal Income Taxes. It is the policy of the Fund to comply with the requirements of subchapter M of the Internal
Revenue Code that are applicable to regulated investment companies and to distribute substantially all of its net investment income
and any net realized capital gains to its shareholders. Therefore, a federal income tax or excise tax provision is not required.
Management has considered the sustainability of the Fund’s tax positions taken on federal income tax returns for all open
tax years in making this determination.
The
Fund may utilize equalization accounting for tax purposes, whereby a portion of redemption payments are treated as distributions
of income or gain.
F.
Use of Estimates. The preparation of financial statements in conformity with GAAP requires management to make estimates
and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities
at the date of the financial statements and the reported amounts of increases and decreases in net assets from operations during
the reporting period. Actual results could differ from those estimates.
G.
Risk Exposures and the Use of Derivative Instruments. The Fund’s investment objectives permit the Fund to
enter into various types of derivatives contracts, including, but not limited to, forward foreign currency exchange contracts
and purchased and written options. In doing so, the Fund will employ strategies in differing combinations to permit it to increase
or decrease the level of risk, or change the level or types of exposure to risk factors. This may allow the Fund to pursue its
objectives more quickly and efficiently than if it was to make direct purchases or sales of securities capable of affecting a
similar response to market or credit factors.
In
pursuit of its investment objectives, the Fund may seek to increase or decrease its exposure to the following market or credit
risk factors:
Credit
Risk. The price of a bond or other debt instrument is likely to fall if the issuer’s actual or perceived financial
health deteriorates, whether because of broad economic or issuer-specific reasons. In certain cases, the issuer could be late
in paying interest or principal, or could fail to pay its financial obligations altogether.
Equity
Risk. Stock prices may be volatile or have reduced liquidity in response to real or perceived impacts of factors including,
but not limited to, economic conditions, changes in market interest rates, and political events. Stock markets tend to be cyclical,
with periods when stock prices generally rise and periods when stock prices generally decline. Any given stock market segment
may remain out of favor with investors for a short or long period of time, and stocks as an asset class may underperform bonds
or other asset classes during some periods. Additionally, legislative, regulatory or tax policies or developments in these areas
may adversely impact the investment techniques available to a manager, add to costs and impair the ability of the Fund to achieve
its investment objectives.
Foreign
Exchange Rate Risk. To the extent that the Fund invests directly in foreign (non-U.S.) currencies or in securities denominated
in, or that trade in, foreign (non-U.S.) currencies, it is subject to the risk that those foreign (non-U.S.) currencies will decline
in value relative to the U.S. dollar or, in the case of hedging positions, that the U.S. dollar will decline in value relative
to the currency being hedged by the Fund through foreign currency exchange transactions.
NOTES
TO FINANCIAL STATEMENTS as of August
31, 2023 (Unaudited) (continued)
NOTE
2 — SIGNIFICANT ACCOUNTING POLICIES (continued)
Currency
rates may fluctuate significantly over short periods of time. Currency rates may be affected by changes in market interest rates,
intervention (or the failure to intervene) by U.S. or foreign governments, central banks or supranational entities such as the
International Monetary Fund, by the imposition of currency controls, or other political or economic developments in the United
States or abroad.
Interest
Rate Risk. Changes in short-term market interest rates will directly affect the yield on Common Shares. If short-term
market interest rates fall, the yield on Common Shares will also fall. To the extent that the interest rate spreads on loans in
the Fund’s portfolio experience a general decline, the yield on the Common Shares will fall and the value of the Fund’s
assets may decrease, which will cause the Fund’s NAV to decrease. Conversely, when short-term market interest rates rise,
because of the lag between changes in such short-term rates and the resetting of the floating rates on assets in the Fund’s
portfolio, the impact of rising rates will be delayed to the extent of such lag. With respect to investments in fixed rate instruments,
a rise in market interest rates generally causes values of such instruments to fall. The values of fixed rate instruments with
longer maturities or duration are more sensitive to changes in market interest rates.
As
of the date of this report, the United States experiences a rising market interest rate environment, which may increase the Fund’s
exposure to risks associated with rising market interest rates. Rising market interest rates have unpredictable effects on the
markets and may expose fixed-income and related markets to heightened volatility which could reduce liquidity for certain investments,
adversely affect values, and increase costs. If dealer capacity in fixed-income and related markets is insufficient for market
conditions, it may further inhibit liquidity and increase volatility in the fixed-income and related markets. Further, recent
and potential changes in government policy may affect interest rates.
Risks
of Investing in Derivatives. The Fund’s use of derivatives can result in losses due to unanticipated changes in
the market or credit risk factors and the overall market. In instances where the Fund is using derivatives to decrease, or hedge,
exposures to market or credit risk factors for securities held by the Fund, there are also risks that those derivatives may not
perform as expected, resulting in losses for the combined or hedged positions.
Derivative
instruments are subject to a number of risks, including the risk of changes in the market price of the underlying securities,
credit risk with respect to the counterparty, risk of loss due to changes in market interest
rates
and liquidity and volatility risk. The amounts required to purchase certain derivatives may be small relative to the magnitude
of exposure assumed by the Fund. Therefore, the purchase of certain derivatives may have an economic leveraging effect on the
Fund and exaggerate any increase or decrease in the NAV. Derivatives may not perform as expected, so the Fund may not realize
the intended benefits. When used for hedging purposes, the change in value of a derivative may not correlate as expected with
the currency, security or other risk being hedged. When used as an alternative or substitute for direct cash investments, the
return provided by the derivative may not provide the same return as direct cash investment. In addition, given their complexity,
derivatives expose the Fund to the risk of improper valuation.
Generally,
derivatives are sophisticated financial instruments whose performance is derived, at least in part, from the performance of an
underlying asset or assets. Derivatives include, among other things, swap agreements, options, forwards and futures. Investments
in derivatives are generally negotiated over-the-counter (“OTC”), with a single counterparty and as a result are subject
to credit risks related to the counterparty’s ability or willingness to perform its obligations; any deterioration in the
counterparty’s creditworthiness could adversely affect the value of the derivative. In addition, derivatives and their underlying
securities may experience periods of illiquidity which could cause the Fund to hold a security it might otherwise sell, or to
sell a security it otherwise might hold at inopportune times or at an unanticipated price. A manager might imperfectly judge the
direction of the market. For instance, if a derivative is used as a hedge to offset investment risk in another security, the hedge
might not correlate to the market’s movements and may have unexpected or undesired results such as a loss or a reduction
in gains.
Counterparty
Credit Risk and Credit Related Contingent Features. Certain derivative positions are subject to counterparty credit risk,
which is the risk that the counterparty will not fulfill its obligation to the Fund. The Fund’s derivative counterparties
are financial institutions who are subject to market conditions that may weaken their financial position. The Fund intends to
enter into financial transactions with counterparties that it believes to be creditworthy at the time of the transaction. To reduce
this risk, the Fund generally enters into master netting arrangements, established within the Fund’s International Swap
and Derivatives Association, Inc. (“ISDA”) Master Agreements (“Master Agreements”). These agreements are
with select counterparties and they govern transactions, including certain OTC derivative and forward foreign currency contracts,
entered into by the Fund and the counterparty. The Master Agreements maintain provisions
NOTES
TO FINANCIAL STATEMENTS as of August
31, 2023 (Unaudited) (continued)
NOTE
2 — SIGNIFICANT ACCOUNTING POLICIES (continued)
for
general obligations, representations, agreements, collateral, and events of default or termination. The occurrence of a specified
event of termination may give a counterparty the right to terminate all of its contracts and affect settlement of all outstanding
transactions under the applicable Master Agreement.
The
Fund may also enter into collateral agreements with certain counterparties to further mitigate counterparty credit risk associated
with OTC derivative and forward foreign currency contracts. Subject to established minimum levels, collateral is generally determined
based on the net aggregate unrealized gain or loss on contracts with a certain counterparty. Collateral pledged to the Fund is
held in a segregated account by a third-party agent and can be in the form of cash or debt securities issued by the U.S. government
or related agencies.
The
Fund’s maximum risk of loss from counterparty credit risk on OTC derivatives is generally the aggregate unrealized gain
in excess of any collateral pledged by the counterparty to the Fund. For purchased OTC options, the Fund bears the risk of loss
in the amount of the premiums paid and the change in market value of the options should the counterparty not perform under the
contracts. The Fund did not enter into any purchased OTC options during the period ended August 31, 2023.
The
Fund’s master agreements with derivative counterparties have credit related contingent features that if triggered would
allow its derivatives counterparties to close out and demand payment or additional collateral to cover their exposure from the
Fund. Credit related contingent features are established between the Fund and its derivatives counterparties to reduce the risk
that the Fund will not fulfill its payment obligations to its counterparties. These triggering features include, but are not limited
to, a percentage decrease in the Fund’s net assets and/or a percentage decrease in the Fund’s NAV, which could cause
the Fund to accelerate payment of any net liability owed to the counterparty. The contingent features are established within the
Fund’s Master Agreements.
Written
options by the Fund do not give rise to counterparty credit risk, as written options obligate the Fund to perform and not the
counterparty. As of August 31, 2023, the Fund had a liability position $549,233 on open forward foreign currency contracts and
written options with credit related contingent features. If a contingent feature had been triggered, the Fund could have been
required to pay this amount in cash to its counterparties. At August 31, 2023, the Fund pledged $480,000 in cash collateral for
its open written OTC call options. There were no credit events
during
the period ended August 31, 2023 that triggered any credit related contingent features.
H.
Options Contracts. The Fund may purchase put and call options and may write (sell) put options and covered call
options. The premium received by the Fund upon the writing of a put or call option is included in the Statement of Assets and
Liabilities as a liability which is subsequently marked-to-market until it is exercised or closed, or it expires. The Fund will
realize a gain or loss upon the expiration or closing of the option contract. When an option is exercised, the proceeds on sales
of the underlying security for a written call option or purchased put option or the purchase cost of the security for a written
put option or a purchased call option is adjusted by the amount of premium received or paid. The risk in writing a call option
is that the Fund gives up the opportunity for profit if the market price of the security increases and the option is exercised.
The risk in buying an option is that the Fund pays a premium whether or not the option is exercised. Risks may also arise from
an illiquid secondary market or from the inability of counterparties to meet the terms of the contract.
The
Fund seeks to generate gains from the call options writing strategy over a market cycle to supplement the dividend yield of its
underlying portfolio of high dividend yield equity securities.
During
the period ended August 31, 2023, the Fund had an average notional amount of $19,901,677 on written equity options. Please refer
to the table within the Portfolio of Investments for open written equity options at August 31, 2023.
I.
Indemnifications. In the normal course of business, the Fund may enter into contracts that provide certain indemnifications.
The Fund’s maximum exposure under these arrangements is dependent on future claims that may be made against the Fund and,
therefore, cannot be estimated; however, based on experience, management considers the risk of loss from such claims remote.
NOTE
3 — INVESTMENT TRANSACTIONS
The
cost of purchases and proceeds from sales of investments for the period ended August 31, 2023, excluding short-term securities,
were $32,426,188 and $35,515,987, respectively.
NOTE
4 — INVESTMENT MANAGEMENT FEES
The
Fund has entered into an investment management agreement (“Management Agreement”) with the Investment Adviser. The
Investment Adviser has overall responsibility for the management of the Fund. The Investment Adviser oversees all investment management
and portfolio management services for the Fund and
NOTES
TO FINANCIAL STATEMENTS as of August
31, 2023 (Unaudited) (continued)
NOTE
4 — INVESTMENT MANAGEMENT FEES (continued)
assists
in managing and supervising all aspects of the general day-to-day business activities and operations of the Fund, including custodial,
transfer agency, dividend disbursing, accounting, auditing, compliance and related services. This Management Agreement compensates
the Investment Adviser with a management fee, payable monthly, based on an annual rate of 1.05% of the Fund’s average daily
managed assets. For purposes of the Management Agreement, managed assets are defined as the Fund’s average daily gross asset
value, minus the sum of the Fund’s accrued and unpaid dividends on any outstanding preferred shares and accrued liabilities
(other than liabilities for the principal amount of any borrowings incurred, commercial paper or notes issued by the Fund and
the liquidation preference of any outstanding preferred shares). As of August 31, 2023, there were no preferred shares outstanding.
The
Investment Adviser has entered into a sub-advisory agreement with Voya IM. Voya IM provides investment advice for the Fund and
is paid by the Investment Adviser based on the average daily managed assets of the Fund. Subject to policies as the Board or the
Investment Adviser may determine, Voya IM manages the Fund’s assets in accordance with the Fund’s investment objectives,
policies and limitations.
NOTE
5 — EXPENSE LIMITATION AGREEMENT
The
Investment Adviser has entered into a written expense limitation agreement (“Expense Limitation Agreement”) with the
Fund under which it will limit the expenses of the Fund, excluding interest, taxes, investment-related costs, leverage expenses,
extraordinary expenses, and acquired fund fees and expenses to 1.30% of average daily managed assets.
Pursuant
to a side letter agreement through March 1, 2024, the Investment Adviser has lowered expenses to 1.20% of average daily managed
assets. Termination or modification of this obligation requires approval by the Board. Any fees
waived
pursuant to the side letter agreement shall not be eligible for recoupment.
Unless
otherwise specified above, the Investment Adviser may at a later date recoup from the Fund for fees waived and/or other expenses
reimbursed by the Investment Adviser during the previous 36 months, but only if, after such recoupment, the Fund’s expense
ratio does not exceed the percentage described above. Waived and reimbursed fees net of any recoupment by the Investment Adviser
of such waived and reimbursed fees are reflected on the accompanying Statement of Operations. Amounts payable by the Investment
Adviser are reflected on the accompanying Statement of Assets and Liabilities.
As
of August 31, 2023, there are no amounts of waived and/ or reimbursed fees that are subject to possible recoupment by the Investment
Advisor.
The
Expense Limitation Agreement is contractual through March 1, 2024 and shall renew automatically for one-year terms. Termination
or modification of this obligation requires approval by the Board.
NOTE
6 — OTHER TRANSACTIONS WITH AFFILIATES AND RELATED PARTIES
The
Fund has adopted a deferred compensation plan (the “DC Plan”), which allows eligible independent trustees, as described
in the DC Plan, to defer the receipt of all or a portion of the trustees’ fees that they are entitled to receive from the
Fund. For purposes of determining the amount owed to the trustee under the DC Plan, the amounts deferred are invested in shares
of the funds selected by the trustee (the “Notional Funds”). When the Fund purchases shares of the Notional Funds,
which are all advised by Voya Investments, in amounts equal to the trustees’ deferred fees, this results in a Fund asset
equal to the deferred compensation liability. Such assets, if applicable, are included as a component of “Other assets”
on the accompanying Statement of Assets and Liabilities. Deferral of trustees’ fees under the DC Plan will not affect net
assets of the Fund, and will not materially affect the Fund’s assets, liabilities or net investment income per share. Amounts
will be deferred until distributed in accordance with the DC Plan.
NOTE
7 — CAPITAL SHARES
Transactions in capital shares and dollars were as follows:
| |
| |
Net
increase | |
| |
|
| |
| |
(decrease)
in | |
| |
|
| |
Shares | |
shares | |
Shares | |
Net
increase |
| |
repurchased | |
outstanding | |
repurchased | |
(decrease) |
Year
or period ended | |
# | |
# | |
($) | |
($) |
8/31/2023 | |
(134,030) | |
(134,030) | |
(837,237) | |
(837,237) |
2/28/2023 | |
(523,318) | |
(523,318) | |
(3,446,530) | |
(3,446,530) |
NOTES
TO FINANCIAL STATEMENTS as of August 31, 2023 (Unaudited)
(continued)
NOTE
7 — CAPITAL SHARES (continued)
Share
Repurchase Program
Effective
April 1, 2023, pursuant to an open-market share repurchase program, the Fund may purchase, over the period ending March 31, 2024,
up to 10% of its stock in open-market transactions. Previously, pursuant to an open-market share repurchase program effective
April 1, 2022, the Fund could have purchased, over the one year period ended March 31, 2023, up to 10% of its stock in open-market
transactions. The amount and timing of the repurchases will be at the discretion of the Fund’s management, subject to market
conditions and investment considerations. There is no assurance that the Fund will purchase shares at any particular discount
level or in any particular amounts. Any repurchases made under this program would be made on a national securities exchange at
the prevailing market price, subject to exchange requirements and volume, timing and other limitations under federal securities
laws. The share repurchase program seeks to enhance shareholder value
by
purchasing shares trading at a discount from their NAV per share. The open-market share repurchase program does not obligate the
Fund to repurchase any dollar amount or number of shares of its stock.
For
the period ended August 31, 2023, the Fund repurchased 134,030 shares, representing approximately 1.19% of the Fund’s outstanding
shares for a net purchase price of $837,237 (including commissions of $3,351). Shares were repurchased at a weighted-average discount
from NAV per share of 13.95% and a weighted-average price per share of $6.22.
For
the year ended February 28, 2023 the Fund repurchased 523,318 shares, representing approximately 4.60% of the Fund’s outstanding
shares for a net purchase price of $3,446,530 (including commissions of $13,083). Shares were repurchased at a weighted-average
discount from NAV per share of 12.42% and a weighted-average price per share of $6.56.
NOTE
8 — FEDERAL INCOME TAXES
The
amount of distributions from net investment income and net realized capital gains are determined in accordance with federal income
tax regulations, which may differ from GAAP for investment companies. These book/ tax differences may be either temporary or permanent.
Permanent differences are reclassified within the capital accounts based on their federal tax-basis treatment; temporary differences
are not reclassified. Key differences include the treatment of short-term capital gains, foreign currency transactions, income
from passive foreign investment companies (PFICs) and wash sale deferrals. Distributions in excess of net investment income and/or
net realized capital gains for tax purposes are reported as return of capital.
Dividends
paid by the Fund from net investment income and distributions of net realized short-term capital gains are, for federal income
tax purposes, taxable as ordinary income to shareholders.
The
tax composition of dividends and distributions in the current period will not be determined until after the Fund’s tax year-end
of December 31, 2023. The composition of distributions presented below may differ from amounts presented elsewhere in this report
due to differences in calculations between GAAP (book) and tax.
The
tax composition of dividends and distributions paid as of the Fund’s most recent tax year-ends was as follows:
Tax
Year Ended | | |
Tax
Year Ended | |
December
31, 2022 | | |
December
31, 2021 | |
Ordinary | | |
Return
of | | |
Ordinary | | |
Return
of | |
Income | | |
Capital | | |
Income | | |
Capital | |
$ | 2,635,139 | | |
$ | 7,502,271 | | |
$ | 1,984,299 | | |
$ | 8,248,715 | |
| | | |
| | | |
| | | |
| | |
The
tax-basis components of distributable earnings and the capital loss carryforwards which may be used to offset future realized
capital gains for federal income tax purposes as of December 31, 2022 were:
Unrealized | | |
| | |
| | |
| | |
| | |
Total | |
Appreciation/ | | |
Capital
Loss Carryforwards | | |
| | |
Distributable | |
(Depreciation) | | |
Amount | | |
Character | | |
Expiration | | |
Other | | |
Earnings/(Loss) | |
$ | (4,109,143 | ) | |
$ | (4,762,260 | ) | |
Short-term | | |
None | | |
$ | (2,641,906 | ) | |
$ | (23,123,463 | ) |
| | | |
| (11,610,154 | ) | |
Long-term | | |
None | | |
| | | |
| | |
| | | |
$ | (16,372,414 | ) | |
| | |
| | |
| | | |
| | |
NOTES
TO FINANCIAL STATEMENTS as of August
31, 2023 (Unaudited) (continued)
NOTE
8 — FEDERAL INCOME TAXES (continued)
The
Fund’s major tax jurisdictions are U.S. federal and Arizona state.
As
of August 31, 2023, no provision for income tax is required in the Fund’s financial statements as a result of tax positions
taken on federal and state income tax returns for open tax years. The Fund’s federal and state income and federal excise
tax returns for tax years for which the applicable statutes of limitations have not expired are subject to examination by the
Internal Revenue Service and state department of revenue. Generally, the preceding four tax years remain subject to examination
by these jurisdictions.
NOTE
9 — LONDON INTERBANK OFFERED RATE (“LIBOR”)
In
2017, the UK Financial Conduct Authority announced its intention to cease compelling banks to provide the quotations needed to
sustain LIBOR after 2021. On March 5, 2021, ICE Benchmark Administration, the administrator of LIBOR, stated that non-U.S. dollar
LIBOR reference rates and the one-week and two-month LIBOR reference rates ceased to be provided or no longer be representative
immediately after December 31, 2021 and the remaining more commonly used LIBOR settings ceased to be provided or no longer be
representative immediately after June 30, 2023. In addition, global regulators have announced that, with limited exceptions, no
new LIBOR-based contracts should be entered into after 2021. Actions by regulators have resulted in the establishment of alternative
reference rates to LIBOR in most major currencies (e.g., the Secured Overnight Financing Rate for U.S. Dollar LIBOR and the Sterling
Overnight Interbank Average Rate for Sterling LIBOR).
Discontinuance
of LIBOR and adoption/implementation of alternative rates pose a number of risks, including among others whether any substitute
rate will experience the market participation and liquidity necessary to provide a workable substitute for LIBOR; the effect on
parties’ existing contractual arrangements, hedging transactions, and investment strategies generally from a conversion
from LIBOR to alternative rates; the effect on the Fund’s existing investments (including, for example, fixed-income investments,
senior loans, CLOs and CDOs, and derivatives transactions), including the possibility that some of those investments may terminate
or their terms may be adjusted to the disadvantage of the Fund; and the risk of general market disruption during the period of
the conversion. It is difficult to predict at this time the likely impact of the transition away from LIBOR on the Fund.
NOTE
10 — MARKET DISRUPTION
The
Fund is subject to the risk that geopolitical events will disrupt securities markets and adversely affect global economies and
markets. Due to the increasing interdependence among global economies and markets, conditions in one country, market, or region
might adversely impact markets, issuers and/or foreign exchange rates
in
other countries, including the United States. Wars, terrorism, global health crises and pandemics, and other geopolitical events
that have led, and may continue to lead, to increased market volatility and may have adverse short-or long-term effects on U.S.
and global economies and markets generally. For example, the COVID-19 pandemic has resulted, and may continue to result, in significant
market volatility, exchange suspensions and closures, declines in global financial markets, higher default rates, supply chain
disruptions, and a substantial economic downturn in economies throughout the world. Natural and environmental disasters and systemic
market dislocations are also highly disruptive to economies and markets. In addition, military action by Russia in Ukraine has,
and may continue to, adversely affect global energy and financial markets and therefore could affect the value of a Fund’s
investments, including beyond a Fund’s direct exposure to Russian issuers or nearby geographic regions. The extent and duration
of the military action, sanctions and resulting market disruptions are impossible to predict and could be substantial. A number
of U.S. domestic banks and foreign (non-U.S.) banks have recently experienced financial difficulties and, in some cases, failures.
There can be no certainty that the actions taken by regulators to limit the effect of those financial difficulties and failures
on other banks or other financial institutions or on the U.S. or foreign (non-U.S.) economies generally will be successful. It
is possible that more banks or other financial institutions will experience financial difficulties or fail, which may affect adversely
other U.S. or foreign (non-U.S.) financial institutions and economies. These events as well as other changes in foreign (non-U.S.)
and domestic economic, social, and political conditions also could adversely affect individual issuers or related groups of issuers,
securities markets, interest rates, credit ratings, inflation, investor sentiment, and other factors affecting the value of the
Fund’s investments. Any of these occurrences could disrupt the operations of the Fund and of the Fund’s service providers.
NOTE
11 — OTHER ACCOUNTING PRONOUNCEMENTS
In
June 2022, the FASB issued Accounting Standards Update (ASU), ASU 2022-03, Fair Value Measurement (Topic 820) — Fair Value
Measurement of Equity Securities Subject to Contractual Sale Restrictions, which clarifies that
NOTES
TO FINANCIAL STATEMENTS as of August
31, 2023 (Unaudited) (continued)
NOTE
11 — OTHER ACCOUNTING PRONOUNCEMENTS (continued)
a
contractual restriction on the sale of an equity security is not considered part of the unit of account of the equity security
and, therefore, is not considered in measuring fair value. The amendments under this ASU are effective for fiscal years beginning
after December 15, 2023; however, early adoption is permitted. The amendment was early adopted. Management expects that the adoption
of the guidance will not have a material impact on the Fund’s financial statements.
NOTE
12 — SUBSEQUENT EVENTS
Dividends:
Subsequent to August 31, 2023, the Fund made a distribution of:
Per
Share |
|
Declaration |
|
Payable |
|
Record |
Amount |
|
Date |
|
Date |
|
Date |
|
|
|
|
|
|
|
$0.160 |
|
9/15/2023 |
|
10/16/2023 |
|
10/3/2023 |
Each
quarter, the Fund will provide disclosures with distribution payments made that estimate the percentages of that distribution
that represent net investment income, capital gains, and return of capital, if any. A significant portion of the quarterly distribution
payments made by the Fund may constitute a return of capital.
The
Fund has evaluated events occurring after the Statement of Assets and Liabilities date through the date that the financial statements
were issued (“subsequent events”) to determine whether any subsequent events necessitated adjustment to or disclosure
in the financial statements. Other than the above, no such subsequent events were identified.
Voya
Asia Pacific High Dividend |
PORTFOLIO
OF INVESTMENTS |
Equity
Income Fund |
as
of August 31, 2023 (Unaudited) |
Shares | | |
| |
Value | | |
Percentage
of Net Assets |
COMMON
STOCK: 95.3% |
| | |
Australia:
16.4% | |
| | | |
| |
22,521 | | |
Ampol
Ltd. | |
$ | 513,006 | | |
0.7 | |
62,680 | | |
ANZ
Group Holdings Ltd. | |
| 1,023,383 | | |
1.3 | |
42,953 | | |
APA
Group | |
| 249,518 | | |
0.3 | |
26,284 | | |
Aristocrat
Leisure Ltd. | |
| 693,847 | | |
0.9 | |
214,629 | | |
Aurizon
Holdings Ltd. | |
| 505,871 | | |
0.7 | |
67,733 | | |
BHP
Group Ltd. - Class DI | |
| 1,947,197 | | |
2.5 | |
31,322 | | |
BlueScope
Steel Ltd. | |
| 423,459 | | |
0.5 | |
13,821 | | |
Brambles
Ltd. | |
| 133,842 | | |
0.2 | |
3,381 | | |
Cochlear
Ltd. | |
| 593,448 | | |
0.8 | |
39,306 | | |
Coles
Group Ltd. | |
| 413,559 | | |
0.5 | |
2,728 | | |
Commonwealth
Bank of Australia | |
| 179,713 | | |
0.2 | |
2,482 | | |
CSL
Ltd. | |
| 438,318 | | |
0.6 | |
103,999 | | |
Dexus | |
| 519,695 | | |
0.7 | |
186,764 | | |
GPT
Group | |
| 505,683 | | |
0.6 | |
12,424 | | |
IGO
Ltd. | |
| 110,875 | | |
0.1 | |
52,968 | | |
Insurance
Australia Group Ltd. | |
| 198,790 | | |
0.3 | |
43,990 | | |
Lottery
Corp. Ltd. | |
| 143,090 | | |
0.2 | |
681 | | |
Macquarie
Group Ltd. | |
| 77,859 | | |
0.1 | |
54,670 | | |
National
Australia Bank Ltd. | |
| 1,018,856 | | |
1.3 | |
51,173 | | |
QBE
Insurance Group Ltd. | |
| 493,609 | | |
0.6 | |
8,695 | | |
Rio
Tinto Ltd. | |
| 629,747 | | |
0.8 | |
314,350 | | |
Scentre
Group | |
| 557,204 | | |
0.7 | |
6,615 | | |
Sonic
Healthcare Ltd. | |
| 137,487 | | |
0.2 | |
163,930 | | |
South32
Ltd. - Class DI | |
| 357,449 | | |
0.5 | |
35,655 | | |
Suncorp
Group Ltd. | |
| 312,733 | | |
0.4 | |
38,343 | | |
Treasury
Wine Estates Ltd. | |
| 288,755 | | |
0.4 | |
29,767 | | |
Vicinity
Ltd. | |
| 35,906 | | |
0.0 | |
4,917 | | |
WiseTech
Global Ltd. | |
| 220,571 | | |
0.3 | |
| | |
| |
| 12,723,470 | | |
16.4 | |
| | |
China:
27.7% | |
| | | |
| |
112,000 | | |
Agricultural
Bank of China Ltd. - Class H | |
| 38,389 | | |
0.0 | |
170,200
(1) | | |
Alibaba
Group Holding Ltd. | |
| 1,975,366 | | |
2.5 | |
234,000 | | |
Aluminum
Corp. of China Ltd. - Class H | |
| 112,890 | | |
0.1 | |
19,000 | | |
Anhui
Yingjia Distillery Co. Ltd. - Class A | |
| 199,820 | | |
0.3 | |
18,200 | | |
ANTA
Sports Products Ltd. | |
| 205,172 | | |
0.3 | |
6,402 | | |
Autohome,
Inc., ADR | |
| 185,018 | | |
0.2 | |
110,000 | | |
AviChina
Industry & Technology Co. Ltd. - Class H | |
| 49,295 | | |
0.1 | |
1,722,000 | | |
Bank
of China Ltd. - Class H | |
| 583,615 | | |
0.8 | |
166,800 | | |
Bank
of Jiangsu Co. Ltd. - Class A | |
| 163,250 | | |
0.2 | |
16,000 | | |
BYD
Co. Ltd. - Class H | |
| 502,571 | | |
0.6 | |
25,500 | | |
BYD
Electronic International Co. Ltd. | |
| 118,103 | | |
0.2 | |
48,095 | | |
By-health
Co. Ltd. - Class A | |
| 127,471 | | |
0.2 | |
193,600 | | |
CECEP
Solar Energy Co. Ltd. - Class A | |
| 159,995 | | |
0.2 | |
311,600 | | |
CECEP
Wind-Power Corp. - Class A | |
| 143,559 | | |
0.2 | |
2,108,000 | | |
China
Cinda Asset Management Co. Ltd. - Class H | |
| 206,720 | | |
0.3 | |
Shares | | |
| |
Value | | |
Percentage
of Net Assets |
COMMON
STOCK: (continued) |
| | |
China
(continued) | |
| | | |
| |
377,000 | | |
China CITIC
Bank Corp. Ltd. - Class H | |
$ | 167,791 | | |
0.2 | |
778,000 | | |
China Communications
Services Corp. Ltd. - Class H | |
| 350,264 | | |
0.5 | |
1,094,960 | | |
China Construction Bank
Corp. - Class H | |
| 585,859 | | |
0.8 | |
142,000 | | |
China Longyuan Power
Group Corp. Ltd. - Class H | |
| 112,407 | | |
0.1 | |
144,000 | | |
China Medical System
Holdings Ltd. | |
| 207,398 | | |
0.3 | |
74,000 | | |
China Meidong Auto Holdings
Ltd. | |
| 55,733 | | |
0.1 | |
25,000 | | |
China Mengniu Dairy Co.
Ltd. | |
| 84,062 | | |
0.1 | |
110,500 | | |
China Merchants Bank
Co. Ltd. - Class H | |
| 437,560 | | |
0.6 | |
110,000 | | |
China Oilfield Services
Ltd. - Class H | |
| 124,579 | | |
0.2 | |
102,800 | | |
China Pacific Insurance
Group Co. Ltd. - Class H | |
| 235,109 | | |
0.3 | |
272,000 | | |
China Railway Group Ltd.
- Class H | |
| 143,896 | | |
0.2 | |
8,000 | | |
China Resources Beer
Holdings Co. Ltd. | |
| 46,971 | | |
0.1 | |
16,000 | | |
China Resources Land
Ltd. | |
| 67,627 | | |
0.1 | |
1,918,000 (2) | | |
China Tower Corp. Ltd.
- Class H | |
| 185,571 | | |
0.2 | |
128,000 | | |
CITIC Securities Co.
Ltd. - Class H | |
| 249,936 | | |
0.3 | |
264,000 | | |
CMOC Group Ltd. - Class
H | |
| 157,493 | | |
0.2 | |
1,300 | | |
Contemporary Amperex
Technology Co. Ltd. - Class A | |
| 42,155 | | |
0.1 | |
34,000 | | |
Country Garden Services
Holdings Co. Ltd. | |
| 39,503 | | |
0.1 | |
42,480 | | |
CSPC Pharmaceutical Group
Ltd. | |
| 31,928 | | |
0.0 | |
43,000 | | |
Dong-E-E-Jiao Co. Ltd.
- Class A | |
| 306,161 | | |
0.4 | |
474,000 | | |
Dongfeng Motor Group
Co. Ltd. - Class H | |
| 173,873 | | |
0.2 | |
360,000 | | |
Far East Horizon Ltd. | |
| 245,941 | | |
0.3 | |
42,500 | | |
Focus Media Information
Technology Co. Ltd. - Class A | |
| 44,814 | | |
0.1 | |
144,500 | | |
Fosun International Ltd. | |
| 90,325 | | |
0.1 | |
190,000 | | |
Geely Automobile Holdings
Ltd. | |
| 235,862 | | |
0.3 | |
21,700 | | |
GRG Banking Equipment
Co. Ltd. - Class A | |
| 37,366 | | |
0.0 | |
25,500 | | |
Hengan International
Group Co. Ltd. | |
| 94,589 | | |
0.1 | |
45,300 | | |
Hengdian Group DMEGC
Magnetics Co. Ltd. - Class A | |
| 101,888 | | |
0.1 | |
10,200 | | |
Hubei Jumpcan Pharmaceutical
Co. Ltd. - Class A | |
| 36,629 | | |
0.0 | |
761,414 | | |
Industrial & Commercial
Bank of China Ltd. - Class H | |
| 349,091 | | |
0.5 | |
25,554 | | |
JD.com, Inc. - Class
A | |
| 424,404 | | |
0.5 | |
See
Accompanying Notes to Financial Statements
Voya
Asia Pacific High Dividend |
PORTFOLIO
OF INVESTMENTS |
Equity
Income Fund |
as of August 31, 2023
(Unaudited) (continued) |
Shares | | |
| |
Value | | |
Percentage
of Net Assets |
COMMON
STOCK: (continued) |
| | |
China (continued) | |
| | | |
| |
21,200 | | |
Jiangsu Yuyue Medical Equipment
& Supply Co. Ltd. - Class A | |
$ | 98,407 | | |
0.1 | |
56,400 | | |
Jiangsu Zhongtian Technology Co. Ltd. - Class
A | |
| 112,726 | | |
0.1 | |
124,800 | | |
Joincare Pharmaceutical Group Industry Co.
Ltd. - Class A | |
| 195,372 | | |
0.3 | |
20,524 | | |
Joinn Laboratories China Co. Ltd. - Class A | |
| 67,632 | | |
0.1 | |
70,500 | | |
Kingboard Holdings Ltd. | |
| 159,982 | | |
0.2 | |
82,000 | | |
Kingsoft Corp. Ltd. | |
| 326,847 | | |
0.4 | |
142,000 | | |
Kunlun Energy Co. Ltd. | |
| 103,956 | | |
0.1 | |
29,500 | | |
Li Ning Co. Ltd. | |
| 139,426 | | |
0.2 | |
30,200 | | |
LONGi Green Energy Technology Co. Ltd. - Class
A | |
| 110,187 | | |
0.1 | |
55,730 (1)(2) | | |
Meituan - Class B | |
| 922,284 | | |
1.2 | |
32,800 | | |
NetEase, Inc. | |
| 679,533 | | |
0.9 | |
12,000 (2) | | |
Nongfu Spring Co. Ltd. - Class H | |
| 67,397 | | |
0.1 | |
69,300 | | |
Offshore Oil Engineering Co. Ltd. - Class A | |
| 55,431 | | |
0.1 | |
966,000 | | |
People’s Insurance Co. Group of China
Ltd. - Class H | |
| 328,811 | | |
0.4 | |
380,000 | | |
PetroChina Co. Ltd. - Class H | |
| 274,119 | | |
0.4 | |
48,075 (2) | | |
Pharmaron Beijing Co. Ltd. - Class H | |
| 112,096 | | |
0.1 | |
310,000 | | |
PICC Property & Casualty Co. Ltd. - Class
H | |
| 356,487 | | |
0.5 | |
21,100 | | |
Ping An Bank Co. Ltd. - Class A | |
| 32,213 | | |
0.0 | |
55,500 | | |
Ping An Insurance Group Co. of China Ltd. -
Class H | |
| 332,287 | | |
0.4 | |
6,777 | | |
Qifu Technology, Inc., ADR | |
| 115,209 | | |
0.1 | |
15,700 | | |
Risen Energy Co. Ltd. - Class A | |
| 43,244 | | |
0.1 | |
373,700 | | |
Shanghai Construction Group Co. Ltd. - Class
A | |
| 143,596 | | |
0.2 | |
3,300 | | |
Shanxi Xinghuacun Fen Wine Factory Co. Ltd.
- Class A | |
| 109,626 | | |
0.1 | |
8,600 | | |
Shenzhen Kstar Science And Technology Co. Ltd.
- Class A | |
| 35,747 | | |
0.0 | |
5,203 | | |
Shenzhen Mindray Bio- Medical Electronics Co.
Ltd. - Class A | |
| 192,895 | | |
0.2 | |
85,400 | | |
Shenzhen Senior Technology Material Co. Ltd.
- Class A | |
| 164,581 | | |
0.2 | |
27,200 | | |
Sinopharm Group Co. Ltd. - Class H | |
| 78,932 | | |
0.1 | |
201,000 | | |
SITC International Holdings Co. Ltd. | |
| 374,887 | | |
0.5 | |
17,900 | | |
Sunny Optical Technology Group Co. Ltd. | |
| 146,157 | | |
0.2 | |
Shares | | |
| |
Value | | |
Percentage
of Net Assets |
COMMON
STOCK: (continued) |
| | |
China
(continued) | |
| | | |
| |
70,400 | | |
Tencent
Holdings Ltd. | |
$ | 2,917,402 | | |
3.8 | |
26,000 | | |
Tingyi
Cayman Islands Holding Corp. | |
| 38,176 | | |
0.0 | |
148,000
(2) | | |
Topsports
International Holdings Ltd. | |
| 120,527 | | |
0.2 | |
104,000 | | |
TravelSky
Technology Ltd. - Class H | |
| 186,205 | | |
0.2 | |
16,372 | | |
Trina
Solar Co. Ltd. - Class A | |
| 76,442 | | |
0.1 | |
123,000 | | |
Uni-President
China Holdings Ltd. | |
| 90,968 | | |
0.1 | |
8,140 | | |
Weibo
Corp., ADR | |
| 105,006 | | |
0.1 | |
170,100 | | |
Western
Mining Co. Ltd. - Class A | |
| 297,328 | | |
0.4 | |
600,500
(2) | | |
WH
Group Ltd. | |
| 309,255 | | |
0.4 | |
32,200 | | |
Xiamen
C & D, Inc. - Class A | |
| 48,030 | | |
0.1 | |
6,500 | | |
Xinjiang
Daqo New Energy Co. Ltd. - Class A | |
| 37,020 | | |
0.0 | |
150,000 | | |
Xinyi
Solar Holdings Ltd. | |
| 125,160 | | |
0.2 | |
24,000 | | |
Yankuang
Energy Group Co. Ltd. - Class H | |
| 37,677 | | |
0.0 | |
27,000 | | |
Yihai
International Holding Ltd. | |
| 50,599 | | |
0.1 | |
7,240 | | |
YongXing
Special Materials Technology Co. Ltd. - Class A | |
| 49,425 | | |
0.1 | |
3,889 | | |
Yum
China Holdings, Inc. | |
| 208,800 | | |
0.3 | |
26,245 | | |
Zangge
Mining Co. Ltd. - Class A | |
| 80,877 | | |
0.1 | |
52,000 | | |
Zhejiang
Expressway Co. Ltd. - Class H | |
| 38,830 | | |
0.1 | |
40,100 | | |
Zhuzhou
CRRC Times Electric Co. Ltd. - Class H | |
| 139,754 | | |
0.2 | |
132,000 | | |
Zijin
Mining Group Co. Ltd. - Class H | |
| 206,759 | | |
0.3 | |
30,400 | | |
ZTE
Corp. - Class H | |
| 97,840 | | |
0.1 | |
2,192 | | |
ZTO
Express Cayman, Inc., ADR | |
| 55,107 | | |
0.1 | |
| | |
| |
| 21,435,273 | | |
27.7 | |
| | |
Hong
Kong: 4.2% | |
| | | |
| |
86,374 | | |
AIA
Group Ltd. | |
| 781,534 | | |
1.0 | |
242,000 | | |
Bosideng
International Holdings Ltd. | |
| 94,964 | | |
0.1 | |
37,500 | | |
CK
Asset Holdings Ltd. | |
| 206,916 | | |
0.3 | |
54,000 | | |
CK
Hutchison Holdings Ltd. | |
| 294,300 | | |
0.4 | |
80,000 | | |
Hang
Lung Properties Ltd. | |
| 106,549 | | |
0.1 | |
5,400 | | |
Jardine
Matheson Holdings Ltd. | |
| 256,734 | | |
0.3 | |
125,500 | | |
Kingboard
Laminates Holdings Ltd. | |
| 104,301 | | |
0.1 | |
42,700 | | |
Link
REIT | |
| 211,708 | | |
0.3 | |
27,000 | | |
New
World Development Co. Ltd. | |
| 57,331 | | |
0.1 | |
104,000 | | |
Power
Assets Holdings Ltd. | |
| 511,943 | | |
0.7 | |
24,500 | | |
Swire
Pacific Ltd. - Class A | |
| 202,012 | | |
0.3 | |
145,800 | | |
Swire
Properties Ltd. | |
| 304,689 | | |
0.4 | |
11,500 | | |
Techtronic
Industries Co. Ltd. | |
| 113,421 | | |
0.1 | |
| | |
| |
| 3,246,402 | | |
4.2 | |
See
Accompanying Notes to Financial Statements
Voya
Asia Pacific High Dividend |
PORTFOLIO
OF INVESTMENTS |
Equity
Income Fund |
as of August 31, 2023
(Unaudited) (continued) |
Shares | | |
| |
Value | | |
Percentage of Net Assets |
COMMON STOCK: (continued) |
| | |
India: 13.4% | |
| | | |
| |
13,745 | | |
Adani Ports & Special Economic Zone Ltd. | |
$ | 131,377 | | |
0.2 | |
10,499 | | |
Aurobindo Pharma Ltd. | |
| 105,165 | | |
0.1 | |
45,924 | | |
Axis Bank Ltd. | |
| 539,543 | | |
0.7 | |
132,400 | | |
Bank of Baroda | |
| 298,970 | | |
0.4 | |
243,924 | | |
Bharat Electronics Ltd. | |
| 391,888 | | |
0.5 | |
44,159 | | |
Bharat Petroleum Corp. Ltd. | |
| 181,522 | | |
0.2 | |
16,110 | | |
Cholamandalam Investment and Finance Co. Ltd. | |
| 218,153 | | |
0.3 | |
37,243 | | |
HCL Technologies Ltd. | |
| 526,864 | | |
0.7 | |
32,221 | | |
HDFC Bank Ltd. | |
| 610,136 | | |
0.8 | |
52,908 | | |
Hindustan Petroleum Corp. Ltd. | |
| 158,467 | | |
0.2 | |
95,852 | | |
ICICI Bank Ltd. | |
| 1,106,510 | | |
1.4 | |
73,780 | | |
Indian Oil Corp. Ltd. | |
| 79,355 | | |
0.1 | |
1,805 | | |
Info Edge India Ltd. | |
| 94,321 | | |
0.1 | |
57,884 | | |
Infosys Ltd. | |
| 1,003,081 | | |
1.3 | |
78,315 | | |
ITC Ltd. | |
| 415,724 | | |
0.6 | |
23,086 | | |
Kotak Mahindra Bank Ltd. | |
| 489,882 | | |
0.6 | |
19,068 | | |
Larsen & Toubro Ltd. | |
| 622,136 | | |
0.8 | |
13,009 | | |
Mahindra & Mahindra Ltd. | |
| 247,349 | | |
0.3 | |
64,440 | | |
NTPC Ltd. | |
| 171,442 | | |
0.2 | |
152,218 | | |
Oil & Natural Gas Corp. Ltd. | |
| 320,171 | | |
0.4 | |
112,397 | | |
Power Grid Corp. of India Ltd. | |
| 331,747 | | |
0.4 | |
5,906 | | |
Reliance Industries Ltd. | |
| 171,576 | | |
0.2 | |
5,833 (1) | | |
Reliance Strategic Investments Ltd. | |
| 16,452 | | |
0.0 | |
10,302 | | |
Shriram Finance Ltd. | |
| 239,779 | | |
0.3 | |
8,679 | | |
State Bank of India | |
| 58,779 | | |
0.1 | |
27,435 | | |
Sun Pharmaceutical Industries Ltd. | |
| 367,741 | | |
0.5 | |
16,700 | | |
Tata Consultancy Services Ltd. | |
| 676,415 | | |
0.9 | |
178,323 | | |
Tata Steel Ltd. | |
| 264,456 | | |
0.4 | |
10,334 | | |
Tech Mahindra Ltd. | |
| 149,838 | | |
0.2 | |
45,604 | | |
UPL Ltd. | |
| 325,426 | | |
0.4 | |
37,593 | | |
Vedanta Ltd. | |
| 105,246 | | |
0.1 | |
| | |
| |
| 10,419,511 | | |
13.4 | |
| | |
Indonesia: 0.5% | |
| | | |
| |
417,200 | | |
Adaro Energy Indonesia Tbk PT | |
| 73,088 | | |
0.1 | |
768,100 | | |
Aneka Tambang Tbk | |
| 100,208 | | |
0.1 | |
213,800 | | |
Sumber Alfaria Trijaya Tbk PT | |
| 40,710 | | |
0.1 | |
85,400 | | |
United Tractors Tbk PT | |
| 145,720 | | |
0.2 | |
| | |
| |
| 359,726 | | |
0.5 | |
| | |
Malaysia: 2.0% | |
| | | |
| |
96,500 | | |
AMMB Holdings Bhd | |
| 77,632 | | |
0.1 | |
254,500 | | |
CIMB Group Holdings Bhd | |
| 308,511 | | |
0.4 | |
248,300 | | |
Genting Bhd | |
| 233,992 | | |
0.3 | |
600,500 | | |
Genting Malaysia Bhd | |
| 332,649 | | |
0.4 | |
30,500 | | |
Hong Leong Bank Bhd | |
| 131,236 | | |
0.2 | |
375,300 | | |
Public Bank Bhd | |
| 342,097 | | |
0.4 | |
145,700 | | |
Telekom Malaysia Bhd | |
| 160,257 | | |
0.2 | |
| | |
| |
| 1,586,374 | | |
2.0 | |
| | |
Philippines: 0.4% | |
| | | |
| |
184,980 | | |
Metropolitan Bank & Trust Co. | |
| 180,272 | | |
0.2 | |
Shares | | |
| |
Value | | |
Percentage of Net Assets |
COMMON STOCK: (continued) |
| | |
Philippines (continued) | |
| | | |
| |
6,835 | | |
PLDT, Inc. | |
$ | 138,711 | | |
0.2 | |
| | |
| |
| 318,983 | | |
0.4 | |
| | |
Singapore: 3.7% | |
| | | |
| |
42,500 (2) | | |
BOC Aviation Ltd. | |
| 318,766 | | |
0.4 | |
224,500 | | |
CapitaLand Ascendas REIT | |
| 459,801 | | |
0.6 | |
731,500 | | |
Genting Singapore Ltd. | |
| 473,280 | | |
0.6 | |
123,800 | | |
Keppel Corp. Ltd. | |
| 635,116 | | |
0.8 | |
16,800 | | |
Oversea-Chinese Banking Corp. Ltd. | |
| 155,876 | | |
0.2 | |
93,700 | | |
Singapore Airlines Ltd. | |
| 476,103 | | |
0.6 | |
192,500 | | |
Singapore Telecommunications Ltd. | |
| 338,230 | | |
0.5 | |
| | |
| |
| 2,857,172 | | |
3.7 | |
| | |
South Korea: 9.6% | |
| | | |
| |
476 | | |
Amorepacific Corp. | |
| 48,143 | | |
0.1 | |
2,230 | | |
BGF retail Co. Ltd. | |
| 263,677 | | |
0.3 | |
4,655 | | |
CJ Corp. | |
| 247,330 | | |
0.3 | |
3,300 | | |
DB Insurance Co. Ltd. | |
| 203,800 | | |
0.3 | |
1,771 | | |
E-MART, Inc. | |
| 98,762 | | |
0.1 | |
9,973 | | |
GS Holdings Corp. | |
| 283,063 | | |
0.4 | |
17,668 | | |
Hana Financial Group, Inc. | |
| 527,967 | | |
0.7 | |
1,272 | | |
Hanmi Pharm Co. Ltd. | |
| 283,271 | | |
0.4 | |
2,271 | | |
Hanwha Aerospace Co. Ltd. | |
| 195,645 | | |
0.2 | |
6,834 | | |
HD Hyundai Co. Ltd. | |
| 305,282 | | |
0.4 | |
2,138 | | |
Hyundai Mobis Co. Ltd. | |
| 373,263 | | |
0.5 | |
3,200 | | |
Hyundai Motor Co. | |
| 457,230 | | |
0.6 | |
24,674 | | |
Kangwon Land, Inc. | |
| 289,291 | | |
0.4 | |
13,425 | | |
KB Financial Group, Inc. | |
| 546,884 | | |
0.7 | |
8,967 | | |
Kia Corp. | |
| 543,526 | | |
0.7 | |
1,660 | | |
Korea Aerospace Industries Ltd. | |
| 63,401 | | |
0.1 | |
2,285 | | |
Korea Investment Holdings Co. Ltd. | |
| 89,758 | | |
0.1 | |
477 | | |
LG Chem Ltd. | |
| 210,027 | | |
0.3 | |
1,716 | | |
LG Electronics, Inc. | |
| 127,707 | | |
0.2 | |
369 | | |
LG H&H Co. Ltd. | |
| 129,488 | | |
0.2 | |
166 | | |
LG Innotek Co. Ltd. | |
| 33,843 | | |
0.0 | |
13,940 | | |
LG Uplus Corp. | |
| 110,136 | | |
0.1 | |
1,961 | | |
NAVER Corp. | |
| 317,431 | | |
0.4 | |
473 | | |
Orion Corp./Republic of Korea | |
| 43,562 | | |
0.1 | |
270 | | |
POSCO Holdings, Inc. | |
| 118,056 | | |
0.1 | |
1,139 | | |
Samsung C&T Corp. | |
| 90,116 | | |
0.1 | |
1,873 | | |
Samsung Fire & Marine Insurance Co. Ltd. | |
| 348,904 | | |
0.4 | |
556 | | |
Samsung SDI Co. Ltd. | |
| 257,874 | | |
0.3 | |
17,815 | | |
Samsung Securities Co. Ltd. | |
| 502,809 | | |
0.6 | |
40,797 | | |
Woori Financial Group, Inc. | |
| 367,032 | | |
0.5 | |
| | |
| |
| 7,477,278 | | |
9.6 | |
| | |
Taiwan: 15.2% | |
| | | |
| |
20,000 | | |
Accton Technology Corp. | |
| 298,287 | | |
0.4 | |
5,499 | | |
Advantech Co. Ltd. | |
| 59,177 | | |
0.1 | |
46,000 | | |
ASE Technology Holding Co. Ltd. | |
| 170,258 | | |
0.2 | |
25,000 | | |
Asustek Computer, Inc. | |
| 314,975 | | |
0.4 | |
7,140 | | |
Chailease Holding Co. Ltd. | |
| 39,801 | | |
0.0 | |
60,000 | | |
Delta Electronics, Inc. | |
| 648,414 | | |
0.8 | |
8,000 | | |
E Ink Holdings, Inc. | |
| 45,726 | | |
0.1 | |
2,000 | | |
eMemory Technology, Inc. | |
| 113,300 | | |
0.1 | |
See
Accompanying Notes to Financial Statements
Voya
Asia Pacific High Dividend |
PORTFOLIO
OF INVESTMENTS |
Equity
Income Fund |
as of August 31, 2023
(Unaudited) (continued) |
Shares | | |
| |
Value | | |
Percentage
of Net Assets |
COMMON
STOCK: (continued) |
| | |
Taiwan
(continued) | |
| | | |
| |
84,000 | | |
Eva
Airways Corp. | |
$ | 82,900 | | |
0.1 | |
9,000 | | |
Globalwafers
Co. Ltd. | |
| 129,250 | | |
0.2 | |
233,000 | | |
Hon
Hai Precision Industry Co. Ltd. | |
| 777,928 | | |
1.0 | |
136,000 | | |
Inventec
Corp. | |
| 239,584 | | |
0.3 | |
164,000 | | |
Lite-On
Technology Corp. | |
| 701,110 | | |
0.9 | |
25,000 | | |
MediaTek,
Inc. | |
| 551,336 | | |
0.7 | |
49,000 | | |
Micro-Star
International Co. Ltd. | |
| 245,027 | | |
0.3 | |
34,000 | | |
Novatek
Microelectronics Corp. | |
| 425,031 | | |
0.5 | |
14,000 | | |
President
Chain Store Corp. | |
| 117,398 | | |
0.2 | |
65,000 | | |
Quanta
Computer, Inc. | |
| 515,239 | | |
0.7 | |
11,000 | | |
Realtek
Semiconductor Corp. | |
| 143,752 | | |
0.2 | |
300,627 | | |
Taiwan
Semiconductor Manufacturing Co. Ltd. | |
| 5,165,661 | | |
6.7 | |
11,000 | | |
Unimicron
Technology Corp. | |
| 63,649 | | |
0.1 | |
357,000 | | |
United
Microelectronics Corp. | |
| 509,707 | | |
0.7 | |
1,000 | | |
Wiwynn
Corp. | |
| 48,734 | | |
0.1 | |
7,000 | | |
Yageo
Corp. | |
| 106,339 | | |
0.1 | |
81,000 | | |
Zhen
Ding Technology Holding Ltd. | |
| 245,216 | | |
0.3 | |
| | |
| |
| 11,757,799 | | |
15.2 | |
| | |
Thailand:
2.2% | |
| | | |
| |
3,500 | | |
Bangkok
Dusit Medical Services PCL | |
| 2,798 | | |
0.0 | |
283,100 | | |
Bangkok
Dusit Medical Services PCL - Foreign - Class F | |
| 226,294 | | |
0.3 | |
100 | | |
Bumrungrad
Hospital PCL | |
| 739 | | |
0.0 | |
10,900 | | |
Bumrungrad
Hospital PCL - Foreign | |
| 80,578 | | |
0.1 | |
45,900 | | |
Electricity
Generating PCL | |
| 174,805 | | |
0.2 | |
288,200 | | |
Indorama
Ventures PCL | |
| 238,519 | | |
0.3 | |
42,400 | | |
Kasikornbank
PCL | |
| 157,946 | | |
0.2 | |
200,600 | | |
Land
& Houses PCL - Foreign | |
| 47,527 | | |
0.1 | |
9,500 | | |
PTT
Exploration & Production PCL - Foreign | |
| 43,009 | | |
0.1 | |
348,000 | | |
PTT
Global Chemical PCL | |
| 369,801 | | |
0.5 | |
104,400 | | |
SCB
X PCL | |
| 351,605 | | |
0.4 | |
| | |
| |
| 1,693,621 | | |
2.2 | |
| | |
Total
Common Stock | |
| | | |
| |
| | |
(Cost
$75,390,750) | |
| 73,875,609 | | |
95.3 | |
EXCHANGE-TRADED FUNDS: 1.7% |
19,943 | | |
iShares
MSCI All Country Asia ex Japan ETF | |
| 1,307,862 | | |
1.7 | |
| | |
Total
Exchange-Traded Funds | |
| | | |
| |
| | |
(Cost
$1,321,036) | |
| 1,307,862 | | |
1.7 | |
PREFERRED STOCK: 2.1% |
| | |
South
Korea: 2.1% | |
| | | |
| |
39,635 | | |
Samsung
Electronics Co. Ltd. | |
| 1,617,899 | | |
2.1 | |
| | |
Total
Preferred Stock | |
| | | |
| |
| | |
(Cost
$1,302,695) | |
| 1,617,899 | | |
2.1 | |
Shares |
| |
| |
Value | | |
Percentage of Net Assets |
PREFERRED STOCK: (continued) |
|
| |
South Korea (continued) | |
| | | |
| |
|
| |
Total Long-Term Investments | |
| | | |
| |
|
| |
(Cost $78,014,481) | |
$ | 76,801,370 | | |
99.1 | |
|
| |
| |
| | | |
| |
SHORT-TERM INVESTMENTS: 1.2% |
|
| |
Mutual Funds: 1.2% | |
| | | |
| |
936,000 (3) |
| |
Morgan Stanley Institutional Liquidity Funds - Government Portfolio (Institutional Share Class), 5.252% | |
| | | |
| |
|
| |
(Cost $936,000) | |
$ | 936,000 | | |
1.2 | |
|
| |
Total Short-Term Investments | |
| | | |
| |
|
| |
(Cost $936,000) | |
| 936,000 | | |
1.2 | |
|
| |
Total Investments in Securities | |
| | | |
| |
|
| |
(Cost $78,950,481) | |
$ | 77,737,370 | | |
100.3 | |
|
| |
Liabilities in Excess of Other Assets | |
| (209,786 | ) | |
(0.3 | ) |
|
| |
Net Assets | |
$ | 77,527,584 | | |
100.0 | |
|
| |
| |
| | | |
| |
ADR |
| |
American
Depositary Receipt | |
| | | |
| |
| (1) | Non-income
producing security. |
| (2) | Securities
with purchases pursuant to Rule 144A or section 4(a)(2), under the Securities Act of 1933 and may not be resold subject to that
rule except to qualified institutional buyers. |
| (3) | Rate
shown is the 7-day yield as of August 31, 2023. |
|
| |
|
|
Sector Diversification | |
Percentage of Net Assets |
Information Technology | |
22.2 | % |
Financials | |
21.2 | |
Consumer Discretionary | |
11.8 | |
Industrials | |
8.3 | |
Materials | |
8.1 | |
Communication Services | |
7.2 | |
Health Care | |
4.6 | |
Real Estate | |
4.3 | |
Consumer Staples | |
4.0 | |
Energy | |
3.2 | |
Utilities | |
2.5 | |
Exchange-Traded Funds | |
1.7 | |
Short-Term Investments | |
1.2 | |
Liabilities in Excess of Other Assets | |
(0.3 | ) |
Net Assets | |
100.0 | % |
Portfolio
holdings are subject to change daily.
See
Accompanying Notes to Financial Statements
Voya
Asia Pacific High Dividend |
PORTFOLIO
OF INVESTMENTS |
Equity
Income Fund |
as of August 31, 2023
(Unaudited) (continued) |
Fair
Value Measurements^
The
following is a summary of the fair valuations according to the inputs used as of August 31, 2023 in valuing the assets and liabilities:
| |
Quoted Prices in Active Markets for Identical Investments (Level 1) | |
Significant Other Observable Inputs# (Level 2) | |
Significant Unobservable Inputs (Level 3) | |
Fair Value at August 31, 2023 |
Asset Table | |
| | | |
| | | |
| | | |
| | |
Investments, at fair value | |
| | | |
| | | |
| | | |
| | |
Common Stock | |
| | | |
| | | |
| | | |
| | |
Australia | |
$ | — | | |
$ | 12,723,470 | | |
$ | — | | |
$ | 12,723,470 | |
China | |
| 796,737 | | |
| 20,638,536 | | |
| — | | |
| 21,435,273 | |
Hong Kong | |
| — | | |
| 3,246,402 | | |
| — | | |
| 3,246,402 | |
India | |
| 16,452 | | |
| 10,403,059 | | |
| — | | |
| 10,419,511 | |
Indonesia | |
| 40,710 | | |
| 319,016 | | |
| — | | |
| 359,726 | |
Malaysia | |
| — | | |
| 1,586,374 | | |
| — | | |
| 1,586,374 | |
Philippines | |
| — | | |
| 318,983 | | |
| — | | |
| 318,983 | |
Singapore | |
| — | | |
| 2,857,172 | | |
| — | | |
| 2,857,172 | |
South Korea | |
| — | | |
| 7,477,278 | | |
| — | | |
| 7,477,278 | |
Taiwan | |
| — | | |
| 11,757,799 | | |
| — | | |
| 11,757,799 | |
Thailand | |
| — | | |
| 1,693,621 | | |
| — | | |
| 1,693,621 | |
Total Common Stock | |
| 853,899 | | |
| 73,021,710 | | |
| — | | |
| 73,875,609 | |
Exchange-Traded Funds | |
| 1,307,862 | | |
| — | | |
| — | | |
| 1,307,862 | |
Preferred Stock | |
| — | | |
| 1,617,899 | | |
| — | | |
| 1,617,899 | |
Short-Term Investments | |
| 936,000 | | |
| — | | |
| — | | |
| 936,000 | |
Total Investments, at fair value | |
$ | 3,097,761 | | |
$ | 74,639,609 | | |
$ | — | | |
$ | 77,737,370 | |
Liabilities Table | |
| | | |
| | | |
| | | |
| | |
Other Financial Instruments+ | |
| | | |
| | | |
| | | |
| | |
Forward Foreign Currency Contracts | |
$ | — | | |
$ | (2 | ) | |
$ | — | | |
$ | (2 | ) |
Written Options | |
| — | | |
| (549,231 | ) | |
| — | | |
| (549,231 | ) |
Total Liabilities | |
$ | — | | |
$ | (549,233 | ) | |
$ | — | | |
$ | (549,233 | ) |
| ^ | See
Note 2, “Significant Accounting Policies” in the Notes to Financial Statements for additional information. |
| # | The
earlier close of the foreign markets gives rise to the possibility that significant events, including broad market moves, may
have occurred in the interim and may materially affect the value of those securities. To account for this, the Fund may frequently
value many of its foreign equity securities using fair value prices based on third party vendor modeling tools to the extent available.
Accordingly, a portion of the Fund’s investments are categorized as Level 2 investments. |
| + | Other
Financial Instruments may include open forward foreign currency contracts, futures, centrally cleared swaps, OTC swaps and written
options. Forward foreign currency contracts, futures and centrally cleared swaps are fair valued at the unrealized appreciation
(depreciation) on the instrument. OTC swaps and written options are valued at the fair value of the instrument. |
At
August 31, 2023, the following forward foreign currency contracts were outstanding for Voya Asia Pacific High Dividend Equity
Income Fund:
Currency Purchased | |
Currency Sold | |
Counterparty | |
Settlement Date | |
Unrealized Appreciation (Depreciation) | |
USD | |
259 | |
SGD | |
350 | |
The Bank of New York Mellon | |
09/06/23 | |
$ | — | |
USD | |
1,608 | |
SGD | |
2,175 | |
The Bank of New York Mellon | |
09/06/23 | |
| (1 | ) |
USD | |
541 | |
SGD | |
732 | |
The Bank of New York Mellon | |
09/06/23 | |
| (1 | ) |
| |
| |
| |
| |
| |
| |
$ | (2 | ) |
At
August 31, 2023, the following OTC written equity options were outstanding for Voya Asia Pacific High Dividend Equity Income Fund:
Description | |
Counterparty | |
Put/ Call | |
Expiration
Date | |
Exercise Price | | |
Number of
Contracts | | |
Notional Amount | | |
Premiums
Received | | |
Fair
Value | |
iShares MSCI Australia ETF | |
Royal Bank of Canada | |
Call | |
09/15/23 | |
USD |
21.460 | | |
65,238 | | |
USD |
1,448,936 | | |
$ | 31,777 | | |
$ | (57,129 | ) |
iShares MSCI Emerging Markets ETF | |
UBS AG | |
Call | |
09/15/23 | |
USD |
38.400 | | |
463,542 | | |
USD |
18,156,940 | | |
| 393,362 | | |
| (492,102 | ) |
| |
| |
| |
| |
|
| | |
| | |
|
| | |
$ | 425,139 | | |
$ | (549,231 | ) |
See
Accompanying Notes to Financial Statements
Voya
Asia Pacific High Dividend |
PORTFOLIO
OF INVESTMENTS |
Equity
Income Fund |
as of August 31, 2023
(Unaudited) (continued) |
Currency Abbreviations: |
USD —
United States Dollar |
A
summary of derivative instruments by primary risk exposure is outlined in the following tables.
The
fair value of derivative instruments as of August 31, 2023 was as follows:
Derivatives not accounted for as hedging instruments | |
Location on Statement of Assets and Liabilities | |
Fair Value | |
Liability Derivatives | |
| |
| | |
Foreign exchange contracts | |
Unrealized depreciation on forward foreign currency contracts | |
$ | 2 | |
Equity contracts | |
Written options, at fair value | |
| 549,231 | |
Total Liability Derivatives | |
| |
$ | 549,233 | |
The
effect of derivative instruments on the Fund’s Statement of Operations for the period ended August 31, 2023 was as follows:
Amount
of Realized Gain or (Loss) on Derivatives Recognized in Income
Derivatives not accounted for as hedging instruments | |
Forward foreign currency contracts |
| |
Written options |
| |
Total |
|
Equity contracts | |
$ | — | | |
$ | 385,590 | | |
$ | 385,590 | |
Foreign exchange contracts | |
| 222 | | |
| — | | |
| 222 | |
Total | |
$ | 222 | | |
$ | 385,590 | | |
$ | 385,812 | |
Change
in Unrealized Appreciation or (Depreciation) on Derivatives Recognized in Income
Derivatives not accounted for as hedging instruments | |
Forward foreign currency contracts |
| |
Written options |
| |
Total |
|
Equity contracts | |
$ | — | | |
$ | (506,290 | ) | |
$ | (506,290 | ) |
Foreign exchange contracts | |
| (2 | ) | |
| — | | |
| (2 | ) |
Total | |
$ | (2 | ) | |
$ | (506,290 | ) | |
$ | (506,292 | ) |
The
following is a summary by counterparty of the fair value of OTC derivative instruments subject to Master Netting Agreements and
collateral pledged (received), if any, at August 31, 2023:
| |
Royal
Bank of Canada | | |
UBS
AG | | |
Total | |
Liabilities: | |
| | |
| | |
| |
Written
options | |
$ | 57,129 | | |
$ | 492,102 | | |
$ | 549,231 | |
Total
Liabilities | |
$ | 57,129 | | |
$ | 492,102 | | |
$ | 549,231 | |
Net
OTC derivative instruments by counterparty, at fair value | |
$ | (57,129 | ) | |
$ | (492,102 | ) | |
$ | (549,231 | ) |
Total
collateral pledged by the Fund/(Received from counterparty) | |
$ | — | | |
$ | 480,000 | | |
$ | 480,000 | |
Net
Exposure(1) | |
$ | (57,129 | ) | |
$ | (12,102 | ) | |
$ | (69,231 | ) |
| (1) | Positive
net exposure represents amounts due from each respective counterparty. Negative exposure represents amounts due from the Fund.
Please refer to Note 2 for additional details regarding counterparty credit risk and credit related contingent features. |
At
August 31, 2023, the aggregate cost of securities and other investments and the composition of unrealized appreciation and depreciation
of securities and other investments on a tax basis were:
Cost for federal income tax purposes was $79,333,904. | |
| | |
Net unrealized depreciation consisted of: | |
| | |
Gross Unrealized Appreciation | |
$ | 8,667,250 | |
Gross Unrealized Depreciation | |
| (10,813,115 | ) |
Net Unrealized Depreciation | |
$ | (2,145,865 | ) |
See
Accompanying Notes to Financial Statements
SHAREHOLDER
MEETING INFORMATION (Unaudited)
Proposal:
| 1 | At
this meeting, a proposal was submitted to elect two members of the Board of Trustees
to represent the interests of the holders of the Fund, with these individuals to serve
as Class I Trustees, for a term of three years, and until the election and qualification
of their successors. |
An
annual shareholder meeting of Voya Asia Pacific High Dividend Equity Income Fund was held virtually on July 13, 2023.
|
|
Proposal |
Shares
voted for |
Shares
voted
against or
withheld |
Shares
abstained |
Broker
non-vote |
Total
Shares
Voted |
Class I Trustees |
Voya Asia Pacific High Dividend |
|
|
|
|
|
|
|
Equity Income Fund |
|
|
|
|
|
|
|
Martin J. Gavin |
1* |
6,798,690.000 |
2,501,750.000 |
0.000 |
0.000 |
9,300,440.000 |
|
Joseph E. Obermeyer |
1* |
6,799,419.000 |
2,501,021.000 |
0.000 |
0.000 |
9,300,440.000 |
After
the July 13, 2023 annual shareholder meeting, the following Trustees continued on as Trustees of the Trust: Colleen D. Baldwin,
John V. Boyer, Patricia W. Chadwick, Sheryl K. Pressler, and Christopher P. Sullivan.
ADDITIONAL
INFORMATION (Unaudited)
The
following information is a summary of certain changes since August 31, 2023. The information may not reflect all of the changes
that have occurred since you purchased the Fund. During the period, there were no material changes in the Fund’s investment
objective or fundamental policies. There also have been no changes in the persons who are primarily responsible for the day-to-day
management of the Fund’s portfolio.
The
Fund was granted exemptive relief by the SEC (the “Order”) which, under the 1940 Act, would permit the Fund, subject
to Board approval, to include realized long-term capital gains as a part of its regular distributions to Common Shareholders more
frequently than would otherwise be permitted by the 1940 Act (generally once per taxable year) (“Managed Distribution Policy”).The
Fund may in the future adopt a Managed Distribution Policy.
Dividend
Reinvestment Plan
Unless
the registered owner of Common Shares elects to receive cash by contacting Computershare Shareowner Services LLC (the “Plan
Agent”), all dividends declared on Common Shares of the Fund will be automatically reinvested by the Plan Agent for shareholders
in additional Common Shares of the Fund through the Fund’s Dividend Reinvestment Plan (the “Plan”). Shareholders
who elect not to participate in the Plan will receive all dividends and other distributions in cash paid by check mailed directly
to the shareholder of record (or, if the Common Shares are held in street or other nominee name, then to such nominee) by the
Plan Agent. Participation in the Plan is completely voluntary and may be terminated or resumed at any time without penalty by
notice if received and processed by the Plan Agent prior to the dividend record date; otherwise such termination or resumption
will be effective with respect to any subsequently declared dividend or other distribution. Some brokers may automatically elect
to receive cash on your behalf and may re-invest that cash in additional Common Shares of the Fund for you. If you wish for all
dividends declared on your Common Shares of the Fund to be automatically reinvested pursuant to the Plan, please contact your
broker.
The
Plan Agent will open an account for each Common Shareholder under the Plan in the same name in which such Common Shareholder’s
Common Shares are registered. Whenever the Fund declares a dividend or other distribution (together, a “Dividend”)
payable in cash, non-participants in the Plan will receive cash and participants in the Plan will receive the equivalent in Common
Shares. The Common Shares will be acquired by the Plan Agent for the participants’ accounts, depending upon the circumstances
described below, either (i) through receipt of additional unissued but authorized Common Shares from the Fund (“Newly Issued
Common Shares”) or (ii) by purchase of
outstanding
Common Shares on the open market (“Open-Market Purchases”) on the NYSE or elsewhere. Open-market purchases and sales
are usually made through a broker affiliated with the Plan Agent.
If,
on the payment date for any Dividend, the closing market price plus estimated brokerage commissions per Common Share is equal
to or greater than the NAV per Common Share, the Plan Agent will invest the Dividend amount in Newly Issued Common Shares on behalf
of the participants. The number of Newly Issued Common Shares to be credited to each participant’s account will be determined
by dividing the dollar amount of the Dividend by the NAV per Common Share on the payment date; provided that, if the NAV is less
than or equal to 95% of the closing market value on the payment date, the dollar amount of the Dividend will be divided by 95%
of the closing market price per Common Share on the payment date. If, on the payment date for any Dividend, the NAV per Common
Share is greater than the closing market value plus estimated brokerage commissions, the Plan Agent will invest the Dividend amount
in Common Shares acquired on behalf of the participants in Open-Market Purchases. In the event of a market discount on the payment
date for any Dividend, the Plan Agent will have until the last business day before the next date on which the Common Shares trade
on an “ex-dividend” basis or 30 days after the payment date for such Dividend, whichever is sooner (the “Last
Purchase Date”), to invest the Dividend amount in Common Shares acquired in Open-Market Purchases.
The
Fund pays quarterly Dividends. Therefore, the period during which Open-Market Purchases can be made will exist only from the payment
date of each Dividend through the date before the next “ex-dividend” date, which typically will be approximately ten
days.
If,
before the Plan Agent has completed its Open-Market Purchases, the market price per common share exceeds the NAV per Common Share,
the average per Common Share purchase price paid by the Plan Administrator may exceed the NAV of the Common Shares, resulting
in the acquisition of fewer Common Shares than if the Dividend had been paid in Newly Issued Common Shares on the Dividend payment
date. Because of the foregoing difficulty with respect to Open-Market Purchases, the Plan provides that if the Plan Agent is unable
to invest the full Dividend amount in Open-Market Purchases during the purchase period or if the market discount shifts to a market
premium during the purchase period, the Plan Agent will cease making Open-Market Purchases and will invest the uninvested portion
of the Dividend amount in Newly Issued Common Shares at the NAV per common share at the close of business on the Last Purchase
Date provided that, if the NAV is less than or equal to 95% of the then current market price per Common Share, the dollar amount
of the
ADDITIONAL
INFORMATION (Unaudited) (continued)
Dividend
will be divided by 95% of the market price on the payment date.
The
Plan Agent maintains all shareholders’ accounts in the Plan and furnishes written confirmation of all transactions in the
accounts, including information needed by shareholders for tax records. Common Shares in the account of each Plan participant
will be held by the Plan Agent on behalf of the Plan participant, and each shareholder proxy will include those shares purchased
or received pursuant to the Plan. The Plan Agent will forward all proxy solicitation materials to participants and vote proxies
for shares held under the Plan in accordance with the instructions of the participants.
In
the case of shareholders such as banks, brokers or nominees which hold shares for others who are the beneficial owners, the Plan
Agent will administer the Plan on the basis of the number of Common Shares certified from time to time by the record shareholder’s
name and held for the account of beneficial owners who participate in the Plan.
There
will be no brokerage charges with respect to Common Shares issued directly by the Fund. However, each participant will pay a pro
rata share of brokerage commissions incurred in connection with Open-Market Purchases. The automatic reinvestment of Dividends
will not relieve participants of any federal, state or local income tax that may be payable (or required to be withheld) on such
Dividends. Participants that request a partial or full sale of shares through the Plan Agent are subject to a $15.00 sales fee
and a $0.10 per share brokerage commission on purchases or sales, and may be subject to certain other service charges.
The
Fund reserves the right to amend or terminate the Plan. There is no direct service charge to participants with regard to purchases
in the Plan; however, the Fund reserves the right to amend the Plan to include a service charge payable by the participants.
All
questions concerning the Plan or a request to terminate participation should be directed to the Fund’s Shareholder Service
Department at (800) 992-0180.
Application
of Control Share Provisions of the Delaware Statutory Trust Act
Under
Delaware law, which became automatically applicable to listed closed-end funds such as the Fund upon its effective date of August
1, 2022 (the “DSTA Control Share Statute”), if a shareholder acquires direct or indirect ownership or power to direct
the voting of shares of the Fund in an aggregate amount that equals or exceeds certain percentage thresholds specified under the
DSTA Control Share Statute (beginning at 10% or more of the Fund’s shares) (“control share acquisitions”), the
shareholder’s
ability to vote certain of these shares will be limited by operation of state law unless action is taken by the Board of Trustees
or by a vote shareholders of the Fund to exempt such shares from the provisions of the statute. The DSTA Control Share Statute
requires shareholders to disclose to the Fund any control share acquisition within 10 days of such acquisition. The Fund may have
no or only a limited ability to identify when a control share acquisition has occurred absent notice from a shareholder of a control
share acquisition. Shareholders should consult their own counsel with respect to the application of the DSTA Control Share Statute
to any particular circumstance.
KEY
FINANCIAL DATES — CALENDAR 2023 DISTRIBUTIONS:
Declaration
Date |
Ex
Date |
Record
Date |
Payable
Date |
20 Mar, 23 |
3 Apr, 23 |
4 Apr, 23 |
17 Apr, 23 |
15 Jun, 23 |
3 Jul, 23 |
3 Jul, 23 |
17 Jul, 23 |
15 Sep, 23 |
2 Oct, 23 |
3 Oct, 23 |
16 Oct, 23 |
15 Dec, 23 |
28 Dec, 23 |
29 Dec, 23 |
16 Jan, 24 |
Record
date will be one business day after each Ex-Dividend Date. These dates are subject to change.
Stock
Data
The
Fund’s common shares are traded on the NYSE (Symbol: IAE).
Repurchase
of Securities by Closed-End Companies
In
accordance with Section 23(c) of the 1940 Act, and Rule 23c-1 under the 1940 Act, the Fund may from time to time purchase shares
of beneficial interest of the Fund in the open market, in privately negotiated transactions and/or purchase shares to correct
erroneous transactions.
Number
of Shareholders
The
number of record holders of common stock as of August 31, 2023, was 10, which does not include approximately 6,065 beneficial
owners of shares held in the name of brokers or other nominees.
Certifications
In
accordance with Section 303A.12 (a) of the New York Stock Exchange Listed Company Manual, the Fund’s CEO submitted the Annual
CEO Certification on July 24, 2023 certifying that he was not aware, as of that date, of any violation by the Fund of the NYSE’s
Corporate governance listing standards. In addition, as required by Section 302 of the Sarbanes-Oxley Act of 2002 and related
SEC rules, the Fund’s principal executive and financial officers have made quarterly certifications, included in filings
with the SEC on Form N-CSR, relating to, among other things, the Fund’s disclosure controls and procedures and internal
controls over financial reporting.
[This Page Intentionally
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Investment Adviser |
Custodian |
Voya Investments, LLC |
The Bank of New York Mellon |
7337 East Doubletree Ranch Road, Suite 100 |
225 Liberty Street |
Scottsdale, Arizona 85258 |
New York, New York 10286 |
|
|
Transfer Agent |
Legal Counsel |
Computershare, Inc. |
Ropes & Gray LLP |
480 Washington Boulevard |
Prudential Tower |
Jersey City, New Jersey 07310-1900 |
800 Boylston Street |
|
Boston, Massachusetts 02199 |
Toll-Free
Shareholder Information
Call
us from 9:00 a.m. to 7:00 p.m. Eastern time on any business day for account or other information at (800) 992-0180.
RETIREMENT
| INVESTMENTS | INSURANCE |
|
|
|
voyainvestments.com |
163316
(0823) |
Item
2. Code of Ethics.
Not
required for semi-annual filing.
Item
3. Audit Committee Financial Expert.
Not
required for semi-annual filing.
Item
4. Principal Accountant Fees and Services.
Not
required for semi-annual filing.
Item
5. Audit Committee of Listed Registrants.
Not
required for semi-annual filing.
Item
6. Schedule of Investments.
| (a) | Schedule
is included as part of the report to shareholders filed under Item 1 of this Form. |
Item
7. Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies.
Not
applicable.
Item
8. Portfolio Managers of Closed-End Management Investment Companies.
Not
applicable.
Item
9. Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers.
Period* | |
(a) Total Number of Shares (or Units) Purchased | | |
(b) Average Price Paid per Share (or Unit) | | |
(c) Total Number of Shares (or Units) Purchased as Part of Publicly Announced Plans or Programs | | |
(d) Maximum Number (or Approximate Dollar Value) of Shares (or Units) that May Yet Be Purchased Under the Plans or Programs | |
Mar 1-31, 2023 | |
| 57,256 | | |
$ | 6.30 | | |
| 57,256 | | |
| 632,411 | |
April 1-30, 2023 | |
| 38,823 | | |
$ | 6.19 | | |
| 38,823 | | |
| 1,131,828 | |
May 1-31, 2023 | |
| 29,397 | | |
$ | 6.11 | | |
| 29,397 | | |
| 1,102,431 | |
June 1-30, 2023 | |
| 8,554 | | |
$ | 6.18 | | |
| 8,554 | | |
| 1,093,877 | |
July 1-31, 2023 | |
| 0 | | |
$ | 0.00 | | |
| 0 | | |
| 1,093,877 | |
Aug 1-31, 2023 | |
| 0 | | |
$ | 0.00 | | |
| 0 | | |
| 1,093,877 | |
Total | |
| 134,030 | | |
| | | |
| 134,030 | | |
| | |
*
The Registrant’s repurchase program, which authorized the repurchase of 1,131,828 shares, was announced on April 1, 2023, with
an expiration date of March 31, 2024. Previously, the Registrant's repurchase program, had authorized the repurchase of 1,189,885 shares
and was effective on April 1, 2022, with an expiration date of March 31, 2023. Any repurchases made by the registrant pursuant to the
program were made through open market transactions.
Item
10. Submission of Matters to a Vote of Security Holders.
Not
applicable.
Item
11. Controls and Procedures.
| (a) | Based
on our evaluation conducted within 90 days of the filing date, hereof, the design and operation
of the registrant’s disclosure controls and procedures are effective to ensure that
material information relating to the registrant is made known to the certifying officers
by others within the appropriate entities, particularly during the period in which Forms
N-CSR are being prepared, and the registrant’s disclosure controls and procedures allow timely preparation and review of the information for the registrant’s Form N-CSR and the officer certifications of such Form N-CSR. |
| (b) | There
were no significant changes in the registrant’s internal controls that occurred during
the period covered by this report that has materially affected, or is reasonably likely to
materially affect, the registrant’s internal control over financial reporting. |
Item
12. Disclosure of Securities Lending Activities for Closed-End Management Investment Companies.
Not
applicable.
Item
13. Exhibits.
| (a)(1) | The
Code of Ethics is not required for the semi-annual filing. |
| (c) | Notices to the registrant's common shareholders in accordance with the
order under Section 6(c) of the Investment Company Act of 1940 (the “1940 Act”) granting
an exemption from Section 19(b) of the 1940 Act and Rule 19b-1 under the 1940 Act, dated August 16, 2011.1 |
1 The Fund has received
exemptive relief from the Securities and Exchange Commission permitting it to make periodic distributions of long-term capital gains with
respect to its outstanding common stock as frequently as twelve times each year, and as frequently as distributions are specified by or
in accordance with the terms of its outstanding preferred stock. This relief is conditioned, in part, on an undertaking by the Fund to
make the disclosures to the holders of the Fund's common shares, in addition to the information required by Section 19(a) of the 1940
Act and Rule 19a-1 thereunder. The Fund is likewise obligated to file with the SEC the information contained in any such notice to shareholders
and, in that regard, has attached hereto copies of each such notice made during the period.
SignatureS
Pursuant
to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this
report to be signed on its behalf by the undersigned, thereunto duly authorized.
(Registrant):
Voya Asia Pacific High Dividend Equity Income Fund
By |
/s/
Andy Simonoff |
|
|
Andy
Simonoff |
|
|
Chief
Executive Officer |
|
|
|
Date:
|
November
3, 2023 |
|
Pursuant
to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below
by the following persons on behalf of the registrant and in the capacities and on the dates indicated.
By
|
/s/
Andy Simonoff |
|
|
Andy
Simonoff |
|
|
Chief
Executive Officer |
|
|
|
Date:
|
November
3, 2023 |
|
|
|
By |
/s/
Todd Modic |
|
|
Todd
Modic |
|
|
Senior
Vice President and Chief Financial Officer |
|
|
|
Date: |
November
3, 2023 |
|
EX-99.CERT
CERTIFICATION
I,
Andy Simonoff, certify that:
| 1. | I
have reviewed this report on Form N-CSR of Voya Asia Pacific High Dividend Equity Income
Fund; |
| 2. | Based
on my knowledge, this report does not contain any untrue statement of a material fact or
omit to state a material fact necessary to make the statements made, in light of the circumstances
under which such statements were made, not misleading with respect to the period covered
by this report; |
| 3. | Based
on my knowledge, the financial statements, and other financial information included in this
report, fairly present in all material respects the financial condition, results of operations,
changes in net assets, and cash flows (if the financial statements are required to include
a statement of cash flows) of the registrant as of, and for, the periods presented in this
report; |
| 4. | The
registrant’s other certifying officer(s) and I are responsible for establishing and
maintaining disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment
Company Act of 1940) and internal control over financial reporting (as defined in Rule 30a-3(d)
under the Investment Company Act of 1940) for the registrant and have: |
| a. | Designed
such disclosure controls and procedures, or caused such disclosure controls and procedures
to be designed under our supervision, to ensure that material information relating to the
registrant, including its consolidated subsidiaries, is made known to us by others within
those entities, particularly during the period in which this report is being prepared; |
| b. | Designed
such internal control over financial reporting, or caused such internal control over financial
reporting to be designed under our supervision, to provide reasonable assurance regarding
the reliability of financial reporting and the preparation of financial statements for external
purposes in accordance with generally accepted accounting principles; |
| c. | Evaluated
the effectiveness of the registrant’s disclosure controls and procedures and presented
in this report our conclusions about the effectiveness of the disclosure controls and procedures,
as of a date within 90 days prior to the filing date of this report based on such evaluation;
and |
| d. | Disclosed
in this report any change in the registrant’s internal control over financial reporting
that occurred during the period covered by this report that has materially affected, or is
reasonably likely to materially affect, the registrant’s internal control over financial
reporting; and |
| 5. | The
registrant’s other certifying officer(s) and I have disclosed to the registrant’s
auditors and the audit committee of the registrant’s board of directors (or persons
performing the equivalent functions): |
| a. | All
significant deficiencies and material weaknesses in the design or operation of internal control
over financial reporting which are reasonably likely to adversely affect the registrant’s
ability to record, process, summarize, and report financial information; and |
| b. | Any
fraud, whether or not material, that involves management or other employees who have a significant
role in the registrant’s internal control over financial reporting. |
Date: |
November
3, 2023 |
/s/
Andy Simonoff |
|
Andy
Simonoff |
|
Chief
Executive Officer |
EX-99.CERT
CERTIFICATION
I,
Todd Modic, certify that:
| 1. | I
have reviewed this report on Form N-CSR of Voya Asia Pacific High Dividend Equity Income
Fund; |
| 2. | Based
on my knowledge, this report does not contain any untrue statement of a material fact or
omit to state a material fact necessary to make the statements made, in light of the circumstances
under which such statements were made, not misleading with respect to the period covered
by this report; |
| 3. | Based
on my knowledge, the financial statements, and other financial information included in this
report, fairly present in all material respects the financial condition, results of operations,
changes in net assets, and cash flows (if the financial statements are required to include
a statement of cash flows) of the registrant as of, and for, the periods presented in this
report; |
| 4. | The
registrant’s other certifying officer(s) and I are responsible for establishing and
maintaining disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment
Company Act of 1940) and internal control over financial reporting (as defined in Rule 30a-3(d)
under the Investment Company Act of 1940) for the registrant and have: |
| a. | Designed
such disclosure controls and procedures, or caused such disclosure controls and procedures
to be designed under our supervision, to ensure that material information relating to the
registrant, including its consolidated subsidiaries, is made known to us by others within
those entities, particularly during the period in which this report is being prepared; |
| b. | Designed
such internal control over financial reporting, or caused such internal control over financial
reporting to be designed under our supervision, to provide reasonable assurance regarding
the reliability of financial reporting and the preparation of financial statements for external
purposes in accordance with generally accepted accounting principles; |
| c. | Evaluated
the effectiveness of the registrant’s disclosure controls and procedures and presented
in this report our conclusions about the effectiveness of the disclosure controls and procedures,
as of a date within 90 days prior to the filing date of this report based on such evaluation;
and |
| d. | Disclosed
in this report any change in the registrant’s internal control over financial reporting
that occurred during the period covered by this report that has materially affected, or is
reasonably likely to materially affect, the registrant’s internal control over financial
reporting; and |
| 5. | The
registrant’s other certifying officer(s) and I have disclosed to the registrant’s
auditors and the audit committee of the registrant’s board of directors (or persons
performing the equivalent functions): |
| a. | All
significant deficiencies and material weaknesses in the design or operation of internal control
over financial reporting which are reasonably likely to adversely affect the registrant’s
ability to record, process, summarize, and report financial information; and |
| b. | Any
fraud, whether or not material, that involves management or other employees who have a significant
role in the registrant’s internal control over financial reporting. |
Date: |
November
3, 2023 |
/s/
Todd Modic |
|
Todd
Modic |
|
Senior
Vice President and Chief Financial Officer |
EX-99.906CERT
Certification
Pursuant
to Section 906
of
the
Sarbanes-Oxley
Act of 2002
Name
of Registrant: |
Voya
Asia Pacific High Dividend Equity Income Fund |
|
|
Date
of Form N-CSR: |
August
31, 2023 |
The
undersigned, the principle executive officer of the above named registrant (the “Fund”), hereby certifies that, with respect
to the Form N-CSR referred to above, to the best of his knowledge and belief, after reasonable inquiry:
| 1. | such
Form N-CSR fully complies with the requirements of section 13(a) or 15(d) of the Securities
Exchange Act of 1934; and |
| 2. | the
information contained in such Form N-CSR fairly presents, in all material respects, the financial
condition and results of operations of the Fund. |
A
signed original of this written statement required by Section 906 has been provided to Voya Asia Pacific High Dividend Equity Income
Fund and will be retained by Voya Asia Pacific High Dividend Equity Income Fund and furnished to the Securities and Exchange Commission
or its staff upon request.
IN
WITNESS WHEREOF, the undersigned has executed this Certification below, as of this 3rd day of November, 2023.
|
/s/
Andy Simonoff |
|
Andy
Simonoff |
|
Chief
Executive Officer |
EX-99.906CERT
Certification
Pursuant
to Section 906
of
the
Sarbanes-Oxley
Act of 2002
Name
of Registrant: |
Voya
Asia Pacific High Dividend Equity Income Fund |
|
|
Date
of Form N-CSR: |
August
31, 2023 |
The
undersigned, the principle financial officer of the above named registrant (the “Fund”), hereby certifies that, with respect
to the Form N-CSR referred to above, to the best of his knowledge and belief, after reasonable inquiry:
| 1. | such
Form N-CSR fully complies with the requirements of section 13(a) or 15(d) of the Securities
Exchange Act of 1934; and |
| 2. | the
information contained in such Form N-CSR fairly presents, in all material respects, the financial
condition and results of operations of the Fund. |
A
signed original of this written statement required by Section 906 has been provided to Voya Asia Pacific High Dividend Equity Income
Fund and will be retained by Voya Asia Pacific High Dividend Equity Income Fund and furnished to the Securities and Exchange Commission
or its staff upon request.
IN
WITNESS WHEREOF, the undersigned has executed this Certification below, as of this 3rd day of November, 2023.
|
/s/
Todd Modic |
|
Todd
Modic |
|
Senior
Vice President and Chief Financial Officer |
Exhibit 99.(c)(1)
April 17, 2023
IMPORTANT INFORMATION REGARDING
QUARTERLY DISTRIBUTION
Voya Asia
Pacific High Dividend Equity Income Fund
DISTRIBUTION
NOTICE - We are providing shareholders of the Voya Asia Pacific High Dividend Equity Income Fund (the "Fund") with an estimate
of the source of the Fund's quarterly distribution as required by current securities laws. THIS NOTICE IS FOR INFORMATIONAL PURPOSES
ONLY. NO ACTION IS REQUIRED ON YOUR PART. These estimates may, and likely will, vary over time based on the investment activities of
the Fund and changes in the value of its portfolio investments. The final determination of the source and tax characteristics of all
distributions will be made after December 31, 2023 and reported to you on Form 1099-DIV early in 2024.
The Fund
estimates that the distribution payable on April 17, 2023 is comprised of approximately 29% net investment income and 71% return of capital.
Exhibit 99.(c)(2)
July
17, 2023
IMPORTANT
INFORMATION REGARDING QUARTERLY DISTRIBUTION
Voya
Asia Pacific High Dividend Equity Income Fund
DISTRIBUTION
NOTICE - We are providing shareholders of the Voya Asia Pacific High Dividend Equity Income Fund (the "Fund") with an estimate
of the source of the Fund's quarterly distribution as required by current securities laws. THIS NOTICE IS FOR INFORMATIONAL PURPOSES
ONLY. NO ACTION IS REQUIRED ON YOUR PART. These estimates may, and likely will, vary over time based on the investment activities of
the Fund and changes in the value of its portfolio investments. The final determination of the source and tax characteristics of all
distributions will be made after December 31, 2023 and reported to you on Form 1099-DIV early in 2024.
The
Fund estimates that the distribution payable on July 17, 2023 is comprised of approximately 42% net investment income and 58% return
of capital.
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