The Asia Tigers Fund, Inc.

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM N-Q

QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS

OF REGISTERED MANAGEMENT INVESTMENT COMPANY

 

Investment Company Act file number:    811-08050
Exact name of registrant as specified in charter:    The Asia Tigers Fund, Inc.
Address of principal executive offices:    1735 Market Street, 32nd Floor
   Philadelphia, PA 19103
Name and address of agent for service:    Ms. Andrea Melia
   Aberdeen Asset Management Inc.
   1735 Market Street 32nd Floor
   Philadelphia, PA 19103
Registrant’s telephone number, including area code:    800-522-5465
Date of fiscal year end:    October 31
Date of reporting period:    July 31, 2015

Item 1. Schedule of Investments – The Schedule of Investments for the three-month period ended July 31, 2015 is filed herewith.

Portfolio of Investments (unaudited)

As of July 31, 2015

 

Shares

     

Description

    Value (US$)  
  LONG-TERM INVESTMENTS - 98.7%   
  COMMON STOCKS - 95.9%   
  CHINA - 6.8%   
  FOOD & STAPLES RETAILING - 0.5%   
  64,745       China Resources Enterprise Ltd.(a)    $ 210,029   
     

 

 

  
  OIL, GAS & CONSUMABLE FUELS - 2.5%   
  1,118,000       PetroChina Co. Ltd., H Shares(a)      1,098,518   
     

 

 

  
  WIRELESS TELECOMMUNICATION SERVICES - 3.8%   
  127,200       China Mobile Ltd.(a)      1,661,869   
     

 

 

  
  TOTAL CHINA      2,970,416   
     

 

 

  
  HONG KONG - 25.5%   
  BANKS - 4.8%   
  186,111       HSBC Holdings PLC(a)      1,676,046   
  8,971       HSBC Holdings PLC, ADR      404,323   
     

 

 

  
     2,080,369   
     

 

 

  
  FOOD & STAPLES RETAILING - 1.6%   
  81,900       Dairy Farm International Holdings Ltd.      677,313   
     

 

 

  
  INDUSTRIAL CONGLOMERATES - 4.5%   
  65,500       Jardine Strategic Holdings Ltd.(a)      1,967,600   
     

 

 

  
  INSURANCE - 4.0%   
  269,000       AIA Group Ltd.(a)      1,753,185   
     

 

 

  
  REAL ESTATE MANAGEMENT & DEVELOPMENT - 8.3%   
  442,000       Hang Lung Properties Ltd.(a)      1,267,976   
  992,500       Swire Pacific Ltd., Class B(a)      2,337,306   
     

 

 

  
     3,605,282   
     

 

 

  
  ROAD & RAIL - 0.3%   
  27,000       MTR Corp. Ltd.(a)      120,203   
     

 

 

  
  SEMICONDUCTORS & SEMICONDUCTOR EQUIPMENT - 0.7%   
  33,200       ASM Pacific Technology Ltd.(a)      300,779   
     

 

 

  
  TEXTILES, APPAREL & LUXURY GOODS - 1.3%   
  580,000       Global Brands Group Holding Ltd.(a)(b)      128,530   
  580,000       Li & Fung Ltd.(a)      449,412   
     

 

 

  
     577,942   
     

 

 

  
  TOTAL HONG KONG      11,082,673   
     

 

 

  
  INDIA - 16.4%   
  AUTOMOBILES - 1.6%   
  16,300       Hero MotoCorp Ltd.(a)      682,850   
     

 

 

  
  BANKS - 2.1%   
  198,530       ICICI Bank Ltd.(a)      934,546   
     

 

 

  
  CONSTRUCTION MATERIALS - 3.5%   
  31,500       UltraTech Cement Ltd.(a)      1,545,364   
     

 

 

  
  INFORMATION TECHNOLOGY SERVICES - 2.8%   
  71,124       Infosys Ltd.(a)      1,197,949   
     

 

 

  
  THRIFTS & MORTGAGE FINANCE - 4.2%   
  87,508       Housing Development Finance Corp. Ltd.(a)      1,823,674   
     

 

 

  

 

See Notes to Portfolio of Investments.

The Asia Tigers Fund, Inc.

Portfolio of Investments (unaudited) (continued)

As of July 31, 2015

 

Shares

     

Description

    Value (US$)  
  LONG-TERM INVESTMENTS (continued)   
  COMMON STOCKS (continued)   
  TOBACCO - 2.2%   
  184,500       ITC Ltd.(a)    $ 936,625   
     

 

 

  
  TOTAL INDIA      7,121,008   
     

 

 

  
  INDONESIA - 1.4%   
  AUTOMOBILES - 0.2%   
  175,000       Astra International Tbk PT(a)      85,934   
     

 

 

  
  HOUSEHOLD PRODUCTS - 1.2%   
  176,000       Unilever Indonesia Tbk PT(a)      520,441   
     

 

 

  
     606,375   
     

 

 

  
  MALAYSIA - 3.3%   
  BANKS - 2.1%   
  357,223       CIMB Group Holdings Bhd(a)      502,296   
  85,200       Public Bank Bhd      423,271   
     

 

 

  
     925,567   
     

 

 

  
  TOBACCO - 1.2%   
  28,700       British American Tobacco Bhd(a)      507,772   
     

 

 

  
  TOTAL MALAYSIA      1,433,339   
     

 

 

  
  PHILIPPINES - 3.5%   
  BANKS - 1.9%   
  410,428       Bank of Philippine Islands(a)      851,770   
     

 

 

  
  REAL ESTATE MANAGEMENT & DEVELOPMENT - 1.6%   
  840,000       Ayala Land, Inc.(a)      686,402   
     

 

 

  
  TOTAL PHILIPPINES      1,538,172   
     

 

 

  
  REPUBLIC OF SOUTH KOREA - 2.5%   
  FOOD & STAPLES RETAILING - 1.0%   
  2,180       E-Mart Co. Ltd.(a)      445,581   
     

 

 

  
  TECHNOLOGY HARDWARE, STORAGE & PERIPHERALS - 1.5%   
  613       Samsung Electronics Co. Ltd.(a)      621,923   
     

 

 

  
  TOTAL REPUBLIC OF SOUTH KOREA      1,067,504   
     

 

 

  
  SINGAPORE - 20.4%   
  AEROSPACE & DEFENSE - 2.6%   
  485,000       Singapore Technologies Engineering Ltd.(a)      1,159,572   
     

 

 

  
  BANKS - 9.0%   
  39,289       DBS Group Holdings Ltd.(a)      578,421   
  297,860       Oversea-Chinese Banking Corp. Ltd.(a)      2,233,669   
  68,715       United Overseas Bank Ltd.(a)      1,112,397   
     

 

 

  
     3,924,487   
     

 

 

  
  DIVERSIFIED TELECOMMUNICATION SERVICES - 3.3%   
  476,000       Singapore Telecommunications Ltd.(a)      1,421,632   
     

 

 

  
  INDUSTRIAL CONGLOMERATES - 2.0%   
  162,300       Keppel Corp. Ltd.(a)      886,642   
     

 

 

  
  REAL ESTATE INVESTMENT TRUST (REIT) - 0.1%   
  33,684       Keppel REIT(a)      26,413   
     

 

 

  
  REAL ESTATE MANAGEMENT & DEVELOPMENT - 3.4%   
  216,000       City Developments Ltd.(a)      1,470,052   
     

 

 

  
  TOTAL SINGAPORE      8,888,798   
     

 

 

  

 

See Notes to Portfolio of Investments.

The Asia Tigers Fund, Inc.

Portfolio of Investments (unaudited) (concluded)

As of July 31, 2015

 

Shares

     

Description

    Value (US$)  
  LONG-TERM INVESTMENTS (continued)   
  COMMON STOCKS (continued)   
  TAIWAN - 6.3%   
  SEMICONDUCTORS & SEMICONDUCTOR EQUIPMENT - 4.0%   
  395,583       Taiwan Semiconductor Manufacturing Co. Ltd.(a)    $ 1,728,701   
     

 

 

  
  WIRELESS TELECOMMUNICATION SERVICES - 2.3%   
  305,000       Taiwan Mobile Co. Ltd.(a)      1,008,676   
     

 

 

  
  TOTAL TAIWAN      2,737,377   
     

 

 

  
  THAILAND - 4.6%   
  CONSTRUCTION MATERIALS - 3.5%   
  102,200       Siam Cement PCL, Foreign Shares(a)      1,537,235   
     

 

 

  
  OIL, GAS & CONSUMABLE FUELS - 1.1%   
  172,000       PTT Exploration & Production PCL, Foreign Shares(a)      455,679   
     

 

 

  
  TOTAL THAILAND      1,992,914   
     

 

 

  
  UNITED KINGDOM - 3.2%   
  BANKS - 3.2%   
  90,268       Standard Chartered PLC(a)      1,380,244   
     

 

 

  
  UNITED STATES - 2.0%   
  HOTELS, RESTAURANTS & LEISURE - 2.0%   
  10,000       Yum! Brands, Inc.      877,600   
     

 

 

  
  Total Common Stocks      41,696,420   
     

 

 

  
  PREFERRED STOCKS - 2.8%   
  REPUBLIC OF SOUTH KOREA - 2.8%   
  1,555       Samsung Electronics Co. Ltd., Preferred Shares(a)      1,223,212   
     

 

 

  
  Total Preferred Stocks      1,223,212   
     

 

 

  
 
 		 Total Long-Term Investments - 98.7%
(cost $36,196,484)		      42,919,632   
     

 

 

  

Par
Amount

     

Description

    Value (US$)  
  SHORT-TERM INVESTMENT - 1.3%   
  $583,000       Repurchase Agreement, Fixed Income Clearing Corp., 0.00% dated 07/31/2015, due 08/03/2015 repurchase price $583,000 collateralized by U.S.Treasury Bond, maturing 11/15/2043; total market value of $598,613      583,000   
     

 

 

  
 
 		 Total Short-Term Investment - 1.3%
(cost $583,000)		      583,000   
     

 

 

  
 
 		 Total Investments - 100.0%
(cost $36,779,484)(c)		      43,502,632   
     

 

 

  
  Other Assets in Excess of Liabilities - 0.0%      803   
     

 

 

  
  Net Assets - 100.0%    $ 43,503,435   
     

 

 

  

 

(a) Fair Valued Security. Fair Values are determined pursuant to procedures approved by the Fund’s Board of Directors. See Note (a) of the accompanying Notes to Portfolio of Investments.

 

(b) Non-income producing security.

 

(c) See accompanying Notes to Portfolio of Investments for tax unrealized appreciation/depreciation of securities.

 

ADR   -   American Depositary Receipt
REIT   -   Real Estate Investment Trust

 

See Notes to Portfolio of Investments.

The Asia Tigers Fund, Inc.

Notes to Portfolio of Investments (unaudited)

July 31, 2015

 

Summary of Significant Accounting Policies

 

a. Security Valuation:

The Fund values its securities at current market value or fair value, consistent with regulatory requirements. “Fair value” is defined in the Fund’s valuation and liquidity procedures as the price that could be received to sell an asset or paid to transfer a liability in an orderly transaction between willing market participants without a compulsion to contract at the measurement date.

Equity securities that are traded on an exchange are valued at the last quoted sale price on the principal exchange on which the security is traded at the “Valuation Time” subject to application, when appropriate, of the valuation factors described in the paragraph below. The Valuation Time is as of the close of regular trading on the New York Stock Exchange (usually 4:00 p.m. Eastern Time). In the absence of a sale price, the security is valued at the mean of the bid/ask quoted at the close on the principal exchange on which the security is traded. Securities traded on NASDAQ are valued at the NASDAQ official closing price. Closed-end funds and exchange-traded funds (“ETFs”) are valued at the market price of the security at the Valuation Time. A security using any of these pricing methodologies is determined to be a Level 1 investment.

Foreign equity securities that are traded on foreign exchanges that close prior to the Valuation Time are valued by applying valuation factors to the last sale price or the mean price as noted above. Valuation factors are provided by an independent pricing service provider. These valuation factors are used when pricing the Fund’s portfolio holdings to estimate market movements between the time foreign markets close and the time the Fund values such foreign securities. These valuation factors are based on inputs such as depositary receipts, indices, futures, sector indices/ETFs, exchange rates, and local exchange opening and closing prices of each security. When prices with the application of valuation factors are utilized, the value assigned to the foreign securities may not be the same as quoted or published prices of the securities on their primary markets. A security that applies a valuation factor is determined to be a Level 2 investment because the exchange-traded price has been adjusted. Valuation factors are not utilized if the independent pricing service provider is unable to provide a valuation factor or if the valuation factor falls below a predetermined threshold; in such case, the security is determined to be a Level 1 investment.

In the event that a security’s market quotations are not readily available or are deemed unreliable, the security is valued at fair value as determined by the Fund’s Pricing Committee, taking into account the relevant factors and surrounding circumstances using valuation policies and procedures approved by the Board. A security that has been fair valued by the Pricing Committee may be classified as Level 2 or 3 depending on the nature of the inputs.

In accordance with the authoritative guidance on fair value measurements and disclosures under accounting principles generally accepted in the United States of America, (“GAAP”), the Fund discloses the fair value of its investments using a three-level hierarchy that classifies the inputs to valuation techniques used to measure the fair value. The hierarchy assigns Level 1 measurements to valuations based upon other significant observable inputs, including unadjusted quoted prices in active markets for identical assets, Level 2 measurements to valuations based upon other significant observable inputs, including adjusted quoted prices in active markets for identical assets, and Level 3 measurements to valuations based upon unobservable inputs that are significant to the valuation. Observable inputs are inputs that reflect the assumptions market participants would use in pricing the asset or liability, which are based on market data obtained from sources independent of the reporting entity. Unobservable inputs are inputs that reflect the reporting entity’s own assumptions about the assumptions market participants would use in pricing the asset or liability developed based on the best information available in the circumstances. A financial instrument’s level within the fair value hierarchy is based upon the lowest level of any input that is significant to the fair value measurement.

The three-level hierarchy of inputs is summarized below:

Level 1 – quoted prices in active markets for identical investments;

Level 2 – other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, and credit risk); or

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

 

The Asia Tigers Fund, Inc.

Notes to Portfolio of Investments (unaudited) (concluded)

July 31, 2015

 

The following is a summary of the inputs used as of July 31, 2015 in valuing the Fund’s investments and other financial instruments at fair value. The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. Please refer to the Portfolio of Investments for a detailed breakout of the security types:

 

     Level 1      Level 2      Level 3      Total  
Investments, at Value            
Long-Term Investments            
Banks    $ 827,594       $ 9,269,389       $   —       $ 10,096,983   
Food & Staples Retailing      677,313         655,610         —         1,332,923   
Hotels, Restaurants & Leisure      877,600         —         —         877,600   
Other      —         30,612,126         —         30,612,126   
Short-Term Investment      —         583,000         —         583,000   
  

 

 

     

 

 

     

 

 

     

 

 

  
Total    $ 2,382,507       $ 41,120,125       $ —       $ 43,502,632   
  

 

 

     

 

 

     

 

 

     

 

 

  
Amounts listed as “—” are $0 or round to $0.            

The Fund held no Level 3 securities at July 31, 2015.

For movements between the Levels within the fair value hierarchy, the Fund has adopted a policy of recognizing transfers at the end of each period. The utilization of valuation factors may result in transfers between Level 1 and Level 2. During the period ended July 31, 2015, the securities issued by Global Brands Group Holding Ltd. and Taiwan Mobile Co. Ltd. in the amounts of $128,530 and $1,008,676, respectively, transferred from Level 1 to Level 2 because there was a valuation factor applied at July 31, 2015.

 

b. Repurchase Agreements:

The Fund may enter into repurchase agreements under the terms of a Master Repurchase Agreement. It is the Fund’s policy that its custodian/counterparty segregate the underlying collateral securities, the value of which exceeds the principal amount of the repurchase transaction, including accrued interest. The repurchase price generally equals the price paid by the Fund plus interest negotiated on the basis of current short-term rates. To the extent that any repurchase transaction exceeds one business day, the collateral is valued on a daily basis to determine its adequacy. Under the Master Repurchase Agreement, if the counterparty defaults and the value of the collateral declines, or if bankruptcy proceedings are commenced with respect to the counterparty of the security, realization of the collateral by the Fund may be delayed or limited. Repurchase agreements are subject to contractual netting arrangements with the counterparty, Fixed Income Clearing Corp. For additional information on individual repurchase agreements, see the Portfolio of Investments. The Fund held a repurchase agreement of $583,000 as of July 31, 2015. The value of the related collateral exceeded the value of the repurchase agreement at July 31, 2015.

 

c. Federal Income Taxes:

The U.S. federal income tax basis of the Fund’s investments and the net unrealized appreciation as of July 31, 2015 were as follows:

 

Cost   Appreciation   Depreciation   Net Unrealized Appreciation
$36,779,484   $9,117,617   $(2,394,469)   $6,723,148

 

The Asia Tigers Fund, Inc.

Item 2. Controls and Procedures

 

  (a) The Registrant’s principal executive and principal financial officers, or persons performing similar functions, have concluded that the Registrant’s disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940 (17 CFR 270.30a-3(c))) are effective, as of a date within 90 days of the filing date of the report that includes the disclosure required by this paragraph, based on the evaluation of these controls and procedures required by Rule 30a-3(b) under the Investment Company Act of 1940 (17 CFR 270.30a3(b)) and Rule 13a-15(b) or 15d-15(b) under the Securities Exchange Act of 1934 (17 CFR 240.13a-15(b) or 240.15d-15(b)).

 

  (b) There was no change in the registrant’s internal control over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940 (17 CFR 270.30a-3(d))) that occurred during the registrant’s last fiscal quarter that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting.

 

Item 3. Exhibits

 

  (a) Certification of Principal Executive Officer and Principal Financial Officer of the Registrant as required by Rule 30a-2(a) under the Investment Company Act of 1940 (17 CFR 270.30a-2(a)) is attached hereto as Exhibit 99.302CERT.

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.

 

  The Asia Tigers Fund, Inc.
  BY:       /s/ Alan Goodson
   

Alan Goodson,

Principal Executive Officer of

The Asia Tigers Fund, Inc.

  Date: September 24, 2015

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/ Alan Goodson
   

Alan Goodson,

Principal Executive Officer of

The Asia Tigers Fund, Inc.

  Date: September 24, 2015

 

  BY:       /s/ Andrea Melia
   

Andrea Melia,

Principal Financial Officer of

The Asia Tigers Fund, Inc.

  Date: September 24, 2015