UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM N-Q
QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED
MANAGEMENT INVESTMENT COMPANIES
Investment Company Act file number: 811-05189
THE IBERO-AMERICA FUND, INC.
(Exact name of registrant as specified in charter)
1345 Avenue of the Americas, New York, New York 10105
(Address of principal executive offices) (Zip code)
Joseph J. Mantineo
AllianceBernstein L.P.
1345 Avenue of the Americas
New York, New York 10105
(Name and address of agent for service)
Registrant’s telephone number, including area code: (800) 221-5672
Date of fiscal year end: November 30, 2011
Date of reporting period: February 28, 2011
| ITEM 1. | SCHEDULE OF INVESTMENTS. |
The Ibero-America Fund
Portfolio of Investments
February 28, 2011 (unaudited)
| Company |
Shares | U.S. $ Value | ||||||
| COMMON STOCKS - 99.3% |
| |||||||
| Financials - 29.2% |
| |||||||
| Commercial Banks - 19.6% |
| |||||||
| Banco Bilbao Vizcaya Argentaria SA (a) |
279,710 | $ | 3,448,139 | |||||
| Banco Santander SA |
617,876 | 7,607,129 | ||||||
| Grupo Financiero Banorte SAB de CV-Class O |
297,400 | 1,349,082 | ||||||
| Investimentos Itau SA (Preference Shares) |
165,102 | 1,204,675 | ||||||
| 13,609,025 | ||||||||
| Consumer Finance - 2.0% |
| |||||||
| Compartamos SAB de CV(b) |
705,200 | 1,352,422 | ||||||
| Diversified Financial Services - 5.1% |
| |||||||
| BM&F Bovespa SA |
50,600 | 343,963 | ||||||
| Corp. Financiera Alba |
19,748 | 1,192,901 | ||||||
| Criteria Caixacorp SA |
277,524 | 2,010,062 | ||||||
| 3,546,926 | ||||||||
| Insurance - 1.8% |
| |||||||
| Grupo Catalana Occidente SA |
59,027 | 1,246,390 | ||||||
| Real Estate Management & Development - 0.7% |
| |||||||
| BR Malls Participacoes SA |
48,300 | 460,124 | ||||||
| 20,214,887 | ||||||||
| Telecommunication Services - 20.2% |
| |||||||
| Diversified Telecommunication Services - 15.0% |
| |||||||
| Telefonica SA |
409,082 | 10,400,583 | ||||||
| Wireless Telecommunication Services - 5.2% |
| |||||||
| America Movil SAB de CV |
1,266,700 | 3,634,992 | ||||||
| 14,035,575 | ||||||||
| Consumer Discretionary - 11.8% |
| |||||||
| Diversified Consumer Services - 1.1% |
| |||||||
| Anhanguera Educacional Participacoes SA |
35,000 | 782,546 | ||||||
| Hotels, Restaurants & Leisure - 0.6% |
| |||||||
| Sol Melia SA |
36,300 | 399,058 | ||||||
| Household Durables - 1.8% |
| |||||||
| PDG Realty SA Empreendimentos e Participacoes |
146,800 | 802,027 | ||||||
| Tecnisa SA |
80,800 | 468,152 | ||||||
| 1,270,179 | ||||||||
| Media - 1.4% |
| |||||||
| Antena 3 de Television SA |
33,820 | 328,506 | ||||||
| Gestevision Telecinco SA |
26,900 | 338,109 | ||||||
| Grupo Televisa SA(b) |
70,300 | 332,898 | ||||||
| 999,513 | ||||||||
| Specialty Retail - 6.9% |
| |||||||
| Inditex SA |
65,587 | 4,753,044 | ||||||
| 8,204,340 | ||||||||
| Energy - 11.5% |
| |||||||
| Energy Equipment & Services - 2.3% |
| |||||||
| Tecnicas Reunidas SA |
27,788 | 1,598,920 | ||||||
| Company |
Shares | U.S. $ Value | ||||||
| Oil, Gas & Consumable Fuels - 9.2% |
||||||||
| Petroleo Brasileiro SA |
40,000 | $ | 783,748 | |||||
| QGEP Participacoes SA (b) |
47,400 | 617,926 | ||||||
| Repsol YPF SA |
128,832 | 4,324,760 | ||||||
| Ultrapar Participacoes SA (Preference Shares) |
41,600 | 654,829 | ||||||
| 6,381,263 | ||||||||
| 7,980,183 | ||||||||
| Industrials - 8.0% |
||||||||
| Commercial Services & Supplies - 1.3% |
||||||||
| Prosegur Cia de Seguridad SA |
16,049 | 906,701 | ||||||
| Construction & Engineering - 5.0% |
||||||||
| Ferrovial SA |
106,900 | 1,287,490 | ||||||
| Obrascon Huarte Lain SA |
64,743 | 2,154,530 | ||||||
| 3,442,020 | ||||||||
| Machinery - 1.7% |
||||||||
| Construcciones y Auxiliar de Ferrocarriles SA |
1,150 | 633,472 | ||||||
| Marcopolo SA (Preference Shares) |
158,500 | 543,004 | ||||||
| 1,176,476 | ||||||||
| 5,525,197 | ||||||||
| Utilities - 6.5% |
||||||||
| Electric Utilities - 3.9% |
||||||||
| EDP - Energias de Portugal SA |
117,300 | 445,000 | ||||||
| Iberdrola SA |
261,412 | 2,280,819 | ||||||
| 2,725,819 | ||||||||
| Gas Utilities - 0.7% |
||||||||
| Enagas SA |
22,065 | 472,512 | ||||||
| Independent Power Producers & Energy Traders - 1.9% |
||||||||
| Iberdrola Renovables SA |
357,700 | 1,342,207 | ||||||
| 4,540,538 | ||||||||
| Consumer Staples - 5.7% |
||||||||
| Beverages - 1.0% |
||||||||
| Cia de Bebidas das Americas (Preference Shares) |
26,810 | 712,226 | ||||||
| Food & Staples Retailing - 2.1% |
||||||||
| Grupo Comercial Chedraui SA de CV (b) |
203,600 | 629,179 | ||||||
| Wal-Mart de Mexico SAB de CV |
274,900 | 787,733 | ||||||
| 1,416,912 | ||||||||
| Food Products - 1.8% |
||||||||
| Cosan SA Industria e Comercio |
80,500 | 1,257,480 | ||||||
| Personal Products - 0.8% |
||||||||
| Hypermarcas SA (b) |
47,700 | 544,717 | ||||||
| 3,931,335 | ||||||||
| Materials - 4.8% |
||||||||
| Metals & Mining - 4.8% |
||||||||
| Gerdau SA (Preference Shares) |
105,900 | 1,399,652 | ||||||
| Tubacex SA (b) |
102,700 | 403,948 | ||||||
| Vale SA |
44,100 | 1,492,265 | ||||||
| 3,295,865 | ||||||||
| Company |
Shares | U.S. $ Value | ||||||
| Health Care - 1.6% |
||||||||
| Health Care Providers & Services - 1.2% |
||||||||
| Diagnosticos da America SA |
66,400 | $ | 802,163 | |||||
| Pharmaceuticals - 0.4% |
||||||||
| Genomma Lab Internacional SAB de CV (b) |
137,300 | 303,813 | ||||||
| 1,105,976 | ||||||||
| Total Investments - 99.3% |
68,833,896 | |||||||
| Other assets less liabilities - 0.7% |
459,279 | |||||||
| Net Assets - 100.0% |
$ | 69,293,175 | ||||||
| (a) | Security represents investment in an affiliate. |
| (b) | Non-income producing security. |
| (c) | As of February 28, 2011, the cost basis of investment securities owned was substantially identical for both book and tax purposes. Gross unrealized appreciation of investments was $20,026,081 and gross unrealized depreciation of investments was $(592,518), resulting in net unrealized appreciation of $19,433,563. |
Please note: The sector classifications presented herein are based on the Global Industry Classification Standard (GICS) which was developed by Morgan Stanley Capital International and Standard & Poor’s. The components are divided into sector, industry group, and industry sub-indices as classified by the GICS for each of the market capitalization indices in the broad market.
The Ibero-America Fund
Portfolio Summary
February 28, 2011 (unaudited)
Country Breakdown*
| 68.5% | Spain | |||
| 18.7% | Brazil | |||
| 12.2% | Mexico | |||
| 0.6% | Portugal | |||
| 100.0% | Total Investments | |||
| * | All data are as of February 28, 2011. The Fund’s country breakdown is expressed as a percentage of total investments and may vary over time. |
AllianceBernstein The Ibero-America Fund
February 28, 2011 (unaudited)
In accordance with U.S. GAAP regarding fair value measurements, fair value is defined as the price that the Fund would receive to sell an asset or pay to transfer a liability in an orderly transaction between market participants at the measurement date. The U.S GAAP disclosure requirements establish a framework for measuring fair value, and a three-level hierarchy for fair value measurements based upon the transparency of inputs to the valuation of an asset or liability. Inputs may be observable or unobservable and refer broadly to the assumptions that market participants would use in pricing the asset or liability. Observable inputs reflect the assumptions market participants would use in pricing the asset or liability based on market data obtained from sources independent of the Fund. Unobservable inputs reflect the Fund’s own assumptions about the assumptions that market participants would use in pricing the asset or liability based on the best information available in the circumstances. Each investment is assigned a level based upon the observability of the inputs which are significant to the overall valuation. The three-tier 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 investments, interest rates, prepayment speeds, credit risk, etc.) |
| • | Level 3—significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments) |
The following table summarizes the valuation of the Fund’s investments by the above fair value hierarchy levels as of February 28, 2011:
| Investments in Securities |
Level 1 | Level 2 | Level 3 | Total | ||||||||||||
| Common Stocks: |
||||||||||||||||
| Financials |
$ | 4,710,266 | $ | 15,504,621 | $ | – 0 | – | $ | 20,214,887 | |||||||
| Telecommunication Services |
3,634,992 | 10,400,583 | – 0 | – | 14,035,575 | |||||||||||
| Consumer Discretionary |
2,385,623 | 5,818,717 | – 0 | – | 8,204,340 | |||||||||||
| Energy |
2,056,503 | 5,923,680 | – 0 | – | 7,980,183 | |||||||||||
| Industrials |
543,004 | 4,982,193 | – 0 | – | 5,525,197 | |||||||||||
| Utilities |
– 0 | – | 4,540,538 | – 0 | – | 4,540,538 | ||||||||||
| Consumer Staples |
3,931,335 | – 0 | – | – 0 | – | 3,931,335 | ||||||||||
| Materials |
2,891,917 | 403,948 | – 0 | – | 3,295,865 | |||||||||||
| Health Care |
1,105,976 | – 0 | – | – 0 | – | 1,105,976 | ||||||||||
| Total Investments in Securities |
21,259,616 | 47,574,280 | † | – 0 | – | 68,833,896 | ||||||||||
| Other Financial Instruments* |
– 0 | – | – 0 | – | – 0 | – | – 0 | – | ||||||||
| Total |
$ | 21,259,616 | $ | 47,574,280 | $ | – 0 | – | $ | 68,833,896 | |||||||
| * | Other financial instruments are derivative instruments, such as futures, forwards and swap contacts, which are valued at the unrealized appreciation/depreciation on the instrument. |
| † | The earlier close of the foreign markets gives rise to the possibility that significant events, including broad market moves, may have occurred between the close of the foreign markets and the time at which the Fund values its securities which may materially affect the value of securities trading in such markets. 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 significant portion of the Fund’s investments are categorized as Level 2 investments. |
| ITEM 2. | CONTROLS AND PROCEDURES. |
(a) The registrant’s principal executive officer and principal financial officer have concluded that the registrant’s disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940, as amended) are effective at the reasonable assurance level based on their evaluation of these controls and procedures as of a date within 90 days of the filing date of this document.
(b) There were no changes in the registrant’s internal controls over financial reporting that occurred during the second fiscal quarter of the period that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting.
| ITEM 3. | EXHIBITS. |
The following exhibits are attached to this Form N-Q:
| EXHIBIT NO. |
DESCRIPTION OF EXHIBIT | |
| 3 (a) (1) |
Certification of Principal Executive Officer Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 | |
| 3 (a) (2) |
Certification of Principal Financial Officer Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 | |
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): The Ibero-America Fund, Inc. | ||
| By: | /s/ Robert M. Keith | |
| Robert M. Keith | ||
| President | ||
| Date: | April 25, 2011 | |
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.
| By: | /s/ Robert M. Keith | |
| Robert M. Keith | ||
| President | ||
| Date: | April 25, 2011 | |
| By: | /s/ Joseph J. Mantineo | |
| Joseph J. Mantineo | ||
| Treasurer and Chief Financial Officer | ||
| Date: | April 25, 2011 | |