Regulatory Filings • Nov 29, 2010
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Download Source FileN-Q 1 g07013nvq.htm FORM N-Q nvq PAGEBREAK
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 811-21698
The Gabelli Global Gold, Natural Resources & Income Trust
(Exact name of registrant as specified in charter)
One Corporate Center Rye, New York 10580-1422
(Address of principal executive offices) (Zip code)
Bruce N. Alpert Gabelli Funds, LLC One Corporate Center Rye, New York 10580-1422
(Name and address of agent for service)
Registrants telephone number, including area code: 1-800-422-3554
Date of fiscal year end: December 31
Date of reporting period: September 30, 2010
Form N-Q is to be used by management investment companies, other than small business investment companies registered on Form N-5 (§§ 239.24 and 274.5 of this chapter), to file reports with the Commission, not later than 60 days after the close of the first and third fiscal quarters, pursuant to rule 30b1-5 under the Investment Company Act of 1940 (17 CFR 270.30b1-5). The Commission may use the information provided on Form N-Q in its regulatory, disclosure review, inspection, and policymaking roles.
A registrant is required to disclose the information specified by Form N-Q, and the Commission will make this information public. A registrant is not required to respond to the collection of information contained in Form N-Q unless the Form displays a currently valid Office of Management and Budget (OMB) control number. Please direct comments concerning the accuracy of the information collection burden estimate and any suggestions for reducing the burden to the Secretary, Securities and Exchange Commission, 100 F Street, NE, Washington, DC 20549. The OMB has reviewed this collection of information under the clearance requirements of 44 U.S.C. § 3507.
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TOC /TOC link2 "Item 1. Schedule of Investments"
Item 1. Schedule of Investments.
The Schedule(s) of Investments is attached herewith.
The Gabelli Global Gold, Natural Resources & Income Trust
Third Quarter Report September 30, 2010
Caesar Bryan Barbara G. Marcin, CFA Vincent Roche
To Our Shareholders,
The Gabelli Global Gold, Natural Resources & Income Trusts (the Fund) net asset value (NAV) total return was 17.7% during the third quarter of 2010, compared with 10.4%, 3.3%, 13.4%, and 11.1% for the Chicago Board Options Exchange (CBOE) S&P 500 Buy/Write Index, the Barclays Capital Government/Corporate Bond Index, the Amex Energy Select Sector Index, and for the Philadelphia Gold & Silver Index, respectively. The total return for the Funds publicly traded shares was 14.4% during the third quarter of 2010.
Enclosed is the investment portfolio as of September 30, 2010.
Comparative Results
Average Annual Returns through September 30, 2010 (a) (Unaudited)
| Year to | Inception | |||||||
| Quarter | Date | 1 Year | 3 Year | 5 Year | (03/31/05) | |||
| Gabelli Global Gold, Natural Resources & Income Trust | ||||||||
| NAV Total Return (b) | 17.74 % | 15.16 | % | 25.26 % | (7.09 | )% | 4.83 % | 7.15 % |
| Investment Total Return (c) | 14.35 | 15.63 | 25.34 | (5.83 | ) | 4.80 | 6.59 | |
| CBOE S&P 500 Buy/Write Index | 10.39 | 0.14 | 8.21 | (2.70 | ) | 1.25 | 2.22 | |
| Philadelphia Gold & Silver Index | 11.13 | 17.75 | 19.94 | 6.14 | 12.81 | 15.55 | ||
| Amex Energy Select Sector Index | 13.38 | (0.26 | ) | 6.06 | (7.54 | ) | 2.59 | 6.74 |
| Barclays Capital Government/Corporate Bond Index | 3.28 | 8.95 | 8.73 | 7.46 | 6.15 | 6.04 |
| (a) | Returns represent past performance and do not guarantee future results. Investment returns
and the principal value of an investment will fluctuate. When shares are sold, they may be worth
more or less than their original cost. Current performance may be lower or higher than the
performance data presented. Visit www.gabelli.com for performance information as of the most recent
month end. Performance returns for periods of less than one year are not annualized. Investors
should carefully consider the investment objectives, risks, charges, and expenses of the Fund
before investing. The CBOE S&P 500 Buy/Write Index is an unmanaged benchmark index designed to
reflect the return on a portfolio that consists of a long position in the stocks in the S&P 500
Index and a short position in a S&P 500 (SPX) call option. The Philadelphia Gold & Silver Index is
an unmanaged indicator of stock market performance of large North American gold and silver
companies, while the Amex Energy Select Sector Index is an unmanaged indicator of stock market
performance of large U.S. companies involved in the development or production of energy products. The Barclays Capital Government/Corporate Bond Index is an unmanaged market value weighted index
that tracks the total return performance of fixed rate, publicly placed, dollar denominated
obligations. Dividends and interest income are considered reinvested. You cannot invest directly
in an index. |
| --- | --- |
| (b) | Total returns and average annual returns reflect changes in the NAV per share and reinvestment
of distributions at NAV on the ex-dividend date and are net of expenses. Since inception return is
based on an initial NAV of $19.06. |
| (c) | Total returns and average annual returns reflect changes in closing market values on the NYSE
Amex and reinvestment of distributions. Since inception return is based on an initial offering
price of $20.00. |
We have separated the portfolio managers commentary from the financial statements and investment portfolio due to corporate governance regulations stipulated by the Sarbanes-Oxley Act of 2002. We have done this to ensure that the content of the portfolio managers commentary is unrestricted. The financial statements and investment portfolio are mailed separately from the commentary. Both the commentary and the financial statements, including the portfolio of investments, will be available on our website at www.gabelli.com.
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THE GABELLI GLOBAL GOLD, NATURAL RESOURCES & INCOME TRUST SCHEDULE OF INVESTMENTS September 30, 2010 (Unaudited)
| Shares | Market — Value | |
|---|---|---|
| COMMON STOCKS 83.8% | ||
| Energy and Energy Services 28.0% | ||
| 72,000 | Apache Corp. | $ 7,038,720 |
| 206,325 | Baker Hughes Inc. (a) | 8,789,445 |
| 402,000 | BG Group plc | 7,063,321 |
| 165,900 | BP plc, ADR (a) | 6,830,103 |
| 130,500 | Chesapeake Energy Corp. (a) | 2,955,825 |
| 165,000 | Chevron Corp. (a) | 13,373,250 |
| 307,692 | Comanche Energy Inc. (b)(c)(d) | 0 |
| 128,000 | ConocoPhillips (a) | 7,351,040 |
| 238,000 | Devon Energy Corp. (a) | 15,408,120 |
| 114,000 | Diamond Offshore Drilling Inc. (a) | 7,725,780 |
| 450,000 | El Paso Corp. | 5,571,000 |
| 161,980 | Exxon Mobil Corp. (a) | 10,008,744 |
| 65,000 | Galp Energia SGPS SA, Cl. B | 1,121,820 |
| 419,000 | Halliburton Co. (a) | 13,856,330 |
| 500,000 | Heritage Oil plc | 2,331,207 |
| 50,000 | Hess Corp. | 2,956,000 |
| 320,000 | Imperial Oil Ltd. | 12,126,348 |
| 180,000 | Marathon Oil Corp. (a) | 5,958,000 |
| 255,000 | Murphy Oil Corp. (a) | 15,789,600 |
| 320,000 | Nabors Industries Ltd. (a) | 5,779,200 |
| 110,000 | Nexen Inc. | 2,211,000 |
| 442,100 | Noble Corp. (a) | 14,938,559 |
| 495,900 | Petroleo Brasileiro SA, ADR (a) | 17,986,293 |
| 200,000 | Rowan Companies Inc. (a) | 6,072,000 |
| 184,000 | Royal Dutch Shell plc, Cl. A | 5,538,093 |
| 151,200 | Sasol Ltd., ADR (a) | 6,772,248 |
| 138,400 | Statoil ASA, ADR (a) | 2,903,632 |
| 541,500 | Suncor Energy Inc. (a) | 17,625,825 |
| 100,000 | Technip SA | 8,041,825 |
| 409,000 | Tesoro Corp. (a) | 5,464,240 |
| 260,800 | The Williams Companies Inc. (a) | 4,983,888 |
| 75,000 | Total SA, ADR | 3,870,000 |
| 93,200 | Transocean Ltd. (a) | 5,991,828 |
| 390,000 | Tullow Oil plc | 7,805,144 |
| 20,000 | Ultra Petroleum Corp. | 839,600 |
| 301,100 | Valero Energy Corp. (a) | 5,272,261 |
| 552,000 | Weatherford International Ltd. (a) | 9,439,200 |
| 277,789,489 | ||
| Exchange Traded Funds 1.0% | ||
| 63,500 | Oil Service HOLDRS (SM) Trust | 7,185,025 |
| 73,000 | United States Oil Fund LP | 2,543,320 |
| 9,728,345 | ||
| Metals and Mining 54.8% | ||
| 448,500 | Agnico-Eagle Mines Ltd. (a) | 31,856,955 |
| 258,000 | Anglo American plc | 10,235,615 |
| 633,500 | AngloGold Ashanti Ltd., ADR (a) | 29,293,040 |
| 156,550 | Antofagasta plc | 3,039,614 |
| 575,400 | Barrick Gold Corp. (a) | 26,635,266 |
| 159,500 | BHP Billiton Ltd., ADR (a) | 12,173,040 |
| 770,000 | Centamin Egypt Ltd. | 2,110,409 |
| 110,000 | Compania de Minas Buenaventura SA, | |
| ADR | 4,969,800 | |
| 700,000 | Consolidated Thompson Iron Mines Ltd. | 6,000,583 |
| 83,000 | Detour Gold Corp. | 2,397,473 |
| 800,000 | Duluth Metals Ltd. | 1,982,700 |
| 450,000 | Eldorado Gold Corp. | 8,318,593 |
| 1,075,000 | Equinox Minerals Ltd. | 6,038,974 |
| 342,000 | Franco-Nevada Corp. | 10,759,588 |
| 228,731 | Freeport-McMoRan Copper & | |
| Gold Inc. (a) | 19,531,340 | |
| 538,500 | Fresnillo plc | 10,506,406 |
| 410,000 | Gem Diamonds Ltd. | 1,280,082 |
| 1,941,500 | Gold Fields Ltd., ADR (a) | 29,646,705 |
| 390,000 | Goldcorp Inc. (a) | 16,972,800 |
| 1,096,100 | Harmony Gold Mining Co. Ltd., ADR (a) | 12,374,969 |
| 1,779,700 | Hochschild Mining plc | 12,440,954 |
| 308,000 | HudBay Minerals Inc. | 4,385,460 |
| 285,000 | IAMGOLD Corp. | 5,047,350 |
| 412,000 | Impala Platinum Holdings Ltd. | 10,639,504 |
| 500,140 | Ivanhoe Mines Ltd. (a) | 11,708,277 |
| 88,000 | Kazakhmys plc | 2,007,226 |
| 255,000 | Keegan Resources Inc. | 1,940,568 |
| 200,000 | Kingsgate Consolidated Ltd. | 2,242,391 |
| 2,034,722 | Kinross Gold Corp. (a) | 38,206,798 |
| 250,600 | Lundin Mining Corp. (a) | 1,253,000 |
| 221,000 | MAG Silver Corp. | 1,683,973 |
| 1,184,725 | Newcrest Mining Ltd. | 45,425,862 |
| 452,500 | Newmont Mining Corp. (a) | 28,421,525 |
| 150,000 | Northern Dynasty Minerals Ltd. | 1,276,500 |
| 165,000 | Osisko Mining Corp. | 2,349,354 |
| 3,452,000 | OZ Minerals Ltd. | 4,854,642 |
| 12,537,555 | PanAust Ltd. | 7,876,797 |
| 61,300 | Peabody Energy Corp. (a) | 3,004,313 |
| 260,000 | Randgold Resources Ltd., ADR (a) | 26,379,600 |
| 293,600 | Rio Tinto plc, ADR (a) | 17,243,128 |
| 845,000 | Romarco Minerals Inc. | 1,847,847 |
| 271,700 | Royal Gold Inc. | 13,541,528 |
| 435,000 | Sandfire Resources Nl | 2,913,707 |
| 500,000 | SEMAFO Inc. | 4,723,491 |
| 200,115 | Vale SA, ADR (a) | 6,257,596 |
| 1,272,305 | Xstrata plc | 24,343,634 |
| 1,372,300 | Yamana Gold Inc. (a) | 15,644,220 |
| 543,783,197 | ||
| TOTAL COMMON STOCKS | 831,301,031 |
See accompanying notes to schedule of investments.
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THE GABELLI GLOBAL GOLD, NATURAL RESOURCES & INCOME TRUST SCHEDULE OF INVESTMENTS (Continued) September 30, 2010 (Unaudited)
| Market | |||||
|---|---|---|---|---|---|
| Shares | Value | ||||
| CONVERTIBLE PREFERRED STOCKS 0.4% | |||||
| Metals and Mining 0.4% | |||||
| 10,000 | Vale Capital II, 6.750%, Cv. Pfd., | ||||
| Ser. VALe | $ 880,400 | ||||
| 35,000 | Vale Capital II, 6.750%, Cv. Pfd., | ||||
| Ser. VALE | 3,131,450 | ||||
| TOTAL CONVERTIBLE | |||||
| PREFERRED STOCKS | 4,011,850 | ||||
| WARRANTS 0.1% | |||||
| Energy and Energy Services 0.0% | |||||
| 34,091 | Comanche Energy Inc., Cl. A, | ||||
| expire 06/18/13 (b)(c)(d) | 0 | ||||
| 36,197 | Comanche Energy Inc., Cl. B, | ||||
| expire 06/18/13 (b)(c)(d) | 0 | ||||
| 82,965 | Comanche Energy Inc., Cl. C, | ||||
| expire 06/18/13 (b)(c)(d) | 0 | ||||
| 0 | |||||
| Metals and Mining 0.1% | |||||
| 62,500 | Franco-Nevada Corp., | ||||
| expire 03/13/12 (b) | 318,301 | ||||
| 87,500 | Franco-Nevada Corp., | ||||
| expire 06/16/17 | 688,842 | ||||
| 49,390 | Kinross Gold Corp. Cl. D, | ||||
| expire 09/17/14 | 211,212 | ||||
| 1,218,355 | |||||
| TOTAL WARRANTS | 1,218,355 | ||||
| Principal | |||||
| Amount | |||||
| CONVERTIBLE CORPORATE BONDS 1.4% | |||||
| Energy and Energy Services 0.5% | |||||
| $ 1,500,000 | Chesapeake Energy Corp., Cv., | ||||
| 2.250%, 12/15/38 | 1,160,625 | ||||
| 2,000,000 | Nabors Industries Inc., Cv., | ||||
| 0.940%, 05/15/11 | 1,992,500 | ||||
| 2,000,000 | Transocean Ltd., Ser. A, Cv., | ||||
| 1.625%, 12/15/37 | 1,995,000 | ||||
| 5,148,125 | |||||
| Metals and Mining 0.9% | |||||
| 5,000,000 | Newmont Mining Corp., Ser. B, Cv., | ||||
| 1.625%, 07/15/17 | 7,400,000 | ||||
| 725,000 | (f) | Wesdome Gold Mines Ltd., Deb. Cv., | |||
| 7.000%, 05/31/12 (b)(e) | 743,391 | ||||
| 8,143,391 | |||||
| TOTAL CONVERTIBLE | |||||
| CORPORATE BONDS | 13,291,516 | ||||
| CORPORATE BONDS 1.9% | |||||
| Energy and Energy Services 0.7% | |||||
| 4,304,657 | Comanche Energy Inc., PIK, | ||||
| 15.500%, 06/13/13 (b)(c)(d) | 860,931 | ||||
| 2,500,000 | Compagnie Generale de Geophysique-Veritas, | ||||
| 7.500%, 05/15/15 | 2,556,250 | ||||
| 500,000 | Tesoro Corp., | ||||
| 9.750%, 06/01/19 | 552,500 | ||||
| 2,500,000 | Weatherford International Ltd., | ||||
| 9.625%, 03/01/19 | 3,266,303 | ||||
| 7,235,984 | |||||
| Metals and Mining 1.2% | |||||
| 2,000,000 | Freeport-McMoRan Copper & Gold Inc., | ||||
| 8.250%, 04/01/15 | 2,142,006 | ||||
| 4,000,000 | United States Steel Corp., | ||||
| 6.050%, 06/01/17 | 3,985,000 | ||||
| 5,000,000 | Xstrata Canada Corp., | ||||
| 7.250%, 07/15/12 | 5,438,630 | ||||
| 11,565,636 | |||||
| TOTAL CORPORATE BONDS | 18,801,620 | ||||
| U.S. GOVERNMENT OBLIGATIONS 12.4% | |||||
| 123,226,000 | U.S. Treasury Bills, 0.060% to 0.220%, | ||||
| 10/21/10 to 03/17/11 (a) | 123,187,656 | ||||
| TOTAL INVESTMENTS 100.0% (Cost $932,061,577) | $ 991,812,028 | ||||
| Aggregate tax cost | $ 932,127,065 | ||||
| Gross unrealized appreciation | $ 104,931,306 | ||||
| Gross unrealized depreciation | (50,246,343 | ) | |||
| Net unrealized appreciation/depreciation | $ 54,684,963 | ||||
| Number of | Expiration Date/ | Market | |||
| Contracts | Exercise Price | Value | |||
| OPTION CONTRACTS WRITTEN (g) (4.0)% | |||||
| Call Options Written (3.7)% | |||||
| 1,000 | Agnico-Eagle Mines Ltd. | Nov. 10/65 | $ 626,000 | ||
| 2,935 | Agnico-Eagle Mines Ltd. | Nov. 10/70 | 1,203,350 | ||
| 550 | Agnico-Eagle Mines Ltd. | Jan. 11/65 | 431,750 | ||
| 258 | Anglo American plc (h) | Dec. 10/28 | 251,280 | ||
| 5,635 | AngloGold Ashanti Ltd., | ||||
| ADR | Oct. 10/45 | 1,042,475 | |||
| 700 | AngloGold Ashanti Ltd., | ||||
| ADR | Jan. 11/47 | 201,600 |
See accompanying notes to schedule of investments.
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THE GABELLI GLOBAL GOLD, NATURAL RESOURCES & INCOME TRUST SCHEDULE OF INVESTMENTS (Continued) September 30, 2010 (Unaudited)
| Number of | Expiration Date/ | Market | |
|---|---|---|---|
| Contracts | Exercise Price | Value | |
| OPTION CONTRACTS WRITTEN (Continued) | |||
| Call Options Written (Continued) | |||
| 160 | Antofagasta plc (h) | Dec. 10/9.50 | $ 760,617 |
| 250 | Apache Corp. | Oct. 10/95 | 102,500 |
| 250 | Apache Corp. | Oct. 10/100 | 30,250 |
| 220 | Apache Corp. | Jan. 11/100 | 116,600 |
| 633 | Baker Hughes Inc. | Oct. 10/45 | 32,283 |
| 1,430 | Baker Hughes Inc. | Oct. 10/50 | 12,870 |
| 4,254 | Barrick Gold Corp. | Oct. 10/46 | 531,750 |
| 750 | Barrick Gold Corp. | Jan. 11/45 | 284,250 |
| 750 | Barrick Gold Corp. | Jan. 11/49 | 156,000 |
| 402 | BG Group plc (h) | Dec. 10/12 | 189,450 |
| 520 | BHP Billiton Ltd., ADR | Nov. 10/70 | 436,800 |
| 500 | Chevron Corp. | Dec. 10/80 | 172,000 |
| 500 | Chevron Corp. | Jan. 11/70 | 565,000 |
| 650 | Chevron Corp. | Jan. 11/85 | 124,150 |
| 1,100 | Compania de Minas | ||
| Buenaventura SA, | |||
| ADR | Dec. 10/40 | 627,000 | |
| 980 | ConocoPhillips | Nov. 10/57.50 | 189,140 |
| 300 | ConocoPhillips | Jan. 11/60 | 51,300 |
| 6,900 | Consolidated Thompson | ||
| Iron Mines Ltd. (i) | Oct. 10/11 | 67,062 | |
| 1,888 | Devon Energy Corp. | Oct. 10/70 | 15,104 |
| 200 | Devon Energy Corp. | Oct. 10/75 | 600 |
| 500 | Devon Energy Corp. | Jan. 11/67.50 | 138,000 |
| 450 | Diamond Offshore | ||
| Drilling Inc. | Dec. 10/69.25 | 162,000 | |
| 500 | El Paso Corp. | Oct. 10/12 | 27,250 |
| 4,000 | El Paso Corp. | Jan. 11/12.50 | 360,000 |
| 3,500 | Eldorado Gold Corp. (i) | Nov. 10/19 | 375,887 |
| 1,000 | Eldorado Gold Corp. (i) | Nov. 10/22 | 22,840 |
| 1,750 | Equinox Minerals Ltd. (i) | Oct. 10/4 | 301,900 |
| 700 | Exxon Mobil Corp. | Oct. 10/62.50 | 42,000 |
| 910 | Exxon Mobil Corp. | Oct. 10/70 | 2,730 |
| 1,670 | Franco-Nevada Corp. (i) | Oct. 10/32 | 137,963 |
| 1,200 | Freeport-McMoRan | ||
| Copper & Gold Inc. | Nov. 10/80 | 966,000 | |
| 7,500 | Gold Fields Ltd., ADR | Oct. 10/14 | 855,000 |
| 6,915 | Gold Fields Ltd., ADR | Jan. 11/14 | 1,261,987 |
| 5,000 | Gold Fields Ltd., ADR | Jan. 11/16 | 380,000 |
| 2,900 | Goldcorp Inc. | Oct. 10/45 | 139,200 |
| 1,000 | Goldcorp Inc. | Oct. 10/46 | 22,000 |
| 1,300 | Halliburton Co. | Oct. 10/30 | 429,000 |
| 2,000 | Halliburton Co. | Oct. 10/34 | 106,000 |
| 3,461 | Harmony Gold Mining Co. | ||
| Ltd., ADR | Oct. 10/10.50 | 334,921 | |
| 1,500 | Harmony Gold Mining | ||
| Co. Ltd., ADR | Nov. 10/11 | 97,500 | |
| 1,000 | Harmony Gold Mining | ||
| Co. Ltd., ADR | Jan. 11/10 | 162,500 | |
| 5,000 | Harmony Gold Mining | ||
| Co. Ltd., ADR | Jan. 11/11 | 487,500 | |
| 3,080 | HudBay Minerals Inc. (i) | Mar. 11/15 | 389,153 |
| 2,850 | IAMGOLD Corp. | Jan. 11/20 | 228,000 |
| 2,000 | Ivanhoe Mines Ltd. | Dec. 10/12 | 2,310,000 |
| 3,000 | Ivanhoe Mines Ltd. | Jan. 11/15 | 2,595,000 |
| 7,464 | Kinross Gold Corp. | Nov. 10/19 | 694,152 |
| 3,300 | Kinross Gold Corp. | Nov. 10/21 | 99,000 |
| 1,600 | Kinross Gold Corp. | Jan. 11/21 | 116,800 |
| 1,800 | Marathon Oil Corp. | Oct. 10/34 | 54,000 |
| 2,250 | Murphy Oil Corp. | Oct. 10/60 | 618,750 |
| 3,200 | Nabors Industries Ltd. | Dec. 10/20 | 196,800 |
| 500 | Newcrest Mining Ltd. (j) | Dec. 10/40 | 940,693 |
| 115 | Newcrest Mining Ltd. (j) | Dec. 10/42 | 126,703 |
| 1,300 | Newmont Mining Corp. | Dec. 10/60 | 617,500 |
| 1,300 | Newmont Mining Corp. | Jan. 11/62.50 | 676,000 |
| 1,075 | Newmont Mining Corp. | Jan. 11/67.50 | 268,750 |
| 900 | Newmont Mining Corp. | Jan. 11/70 | 197,100 |
| 1,350 | Noble Corp. | Dec. 10/35 | 244,350 |
| 2,430 | Noble Corp. | Dec. 10/43 | 35,235 |
| 600 | Noble Corp. | Jan. 11/40 | 36,300 |
| 613 | Peabody Energy Corp. | Dec. 10/46 | 337,150 |
| 750 | Petroleo Brasileiro SA, | ||
| ADR | Oct. 10/40 | 4,500 | |
| 600 | Randgold Resources Ltd., | ||
| ADR | Dec. 10/100 | 399,000 | |
| 2,000 | Randgold Resources Ltd., | ||
| ADR | Dec. 10/105 | 720,000 | |
| 4,490 | Red Back Mining Inc. (i) | Nov. 10/30 | 2,225,581 |
| 500 | Rio Tinto plc, ADR | Oct. 10/55 | 245,000 |
| 336 | Rio Tinto plc, ADR | Oct. 10/57.50 | 84,000 |
| 336 | Rio Tinto plc, ADR | Oct. 10/60 | 38,304 |
| 600 | Rio Tinto plc, ADR | Dec. 10/57.50 | 308,880 |
| 1,164 | Rio Tinto plc, ADR | Jan. 11/60 | 558,720 |
| 2,000 | Rowan Companies Inc. | Oct. 10/25 | 1,090,000 |
| 92 | Royal Dutch Shell plc, | ||
| Cl. A (h) | Dec. 10/19 | 110,559 | |
| 92 | Royal Dutch Shell plc, | ||
| Cl. A (h) | Dec. 10/20 | 49,138 | |
| 600 | Royal Gold Inc. | Jan. 11/50 | 192,000 |
| 2,117 | Royal Gold Inc. | Jan. 11/55 | 309,082 |
| 800 | Sasol Ltd., ADR | Dec. 10/40 | 330,000 |
| 712 | Sasol Ltd., ADR | Dec. 10/45 | 124,600 |
| 1,384 | Statoil ASA, ADR | Nov. 10/21.25 | 107,371 |
| 2,765 | Suncor Energy Inc. | Oct. 10/34 | 60,830 |
| 650 | Suncor Energy Inc. | Dec. 10/36 | 39,650 |
| 2,000 | Suncor Energy Inc. | Jan. 11/35 | 248,000 |
| 400 | Technip SA (k) | Dec. 10/56 | 279,739 |
| 600 | Technip SA (k) | Dec. 10/59 | 255,201 |
| 1,429 | Tesoro Corp. | Nov. 10/18 | 2,858 |
| 1,290 | Tesoro Corp. | Jan. 11/17.50 | 14,835 |
See accompanying notes to schedule of investments.
Folio 4 /Folio
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THE GABELLI GLOBAL GOLD, NATURAL RESOURCES & INCOME TRUST SCHEDULE OF INVESTMENTS (Continued) September 30, 2010 (Unaudited)
| Number of — Contracts | Expiration Date/ — Exercise Price | Market — Value | ||
|---|---|---|---|---|
| OPTION CONTRACTS WRITTEN (Continued) | ||||
| Call Options Written (Continued) | ||||
| 2,608 | The Williams | |||
| Companies Inc. | Nov. 10/21 | $ 49,552 | ||
| 1,355 | Transocean Ltd. | Nov. 10/80 | 40,650 | |
| 10 | Tullow Oil plc (h) | Dec. 10/12 | 19,950 | |
| 130 | Tullow Oil plc (h) | Dec. 10/13 | 147,036 | |
| 250 | Tullow Oil plc (h) | Mar. 11/14 | 294,543 | |
| 190 | Ultra Petroleum Corp. | Dec. 10/45 | 27,550 | |
| 500 | Vale SA, ADR | Oct. 10/30 | 67,500 | |
| 1,387 | Vale SA, ADR | Dec. 10/32 | 177,536 | |
| 3,011 | Valero Energy Corp. | Dec. 10/19 | 129,473 | |
| 1,605 | Weatherford | |||
| International Ltd. | Nov. 10/17 | 163,710 | ||
| 3,915 | Weatherford | |||
| International Ltd. | Nov. 10/18 | 223,155 | ||
| 300 | Xstrata plc (h) | Oct. 10/11 | 603,223 | |
| 600 | Xstrata plc (h) | Oct. 10/12 | 508,970 | |
| 150 | Xstrata plc (h) | Dec. 10/11 | 391,742 | |
| 150 | Xstrata plc (h) | Dec. 10/12 | 243,881 | |
| 5,723 | Yamana Gold Inc. | Oct. 10/11 | 297,596 | |
| 8,000 | Yamana Gold Inc. | Oct. 10/12 | 88,000 | |
| TOTAL CALL OPTIONS WRITTEN (Premiums received $26,802,916) | 37,086,710 | |||
| Put Options Written (0.3)% | ||||
| 1,000 | Agnico-Eagle Mines Ltd. | Nov. 10/50 | 13,000 | |
| 100 | AngloGold Ashanti Ltd., | |||
| ADR | Oct. 10/35 | 500 | ||
| 500 | AngloGold Ashanti Ltd., | |||
| ADR | Oct. 10/36 | 15 | ||
| 125 | Apache Corp. | Jan. 11/80 | 19,000 | |
| 350 | Baker Hughes Inc. | Oct. 10/36 | 2,450 | |
| 475 | Barrick Gold Corp. | Oct. 10/36 | 1,425 | |
| 250 | BP plc, ADR | Jan. 11/35 | 23,750 | |
| 420 | Cameron International | |||
| Corp. | Nov. 10/35 | 18,900 | ||
| 450 | Chesapeake Energy Corp. | Jan. 11/17.50 | 14,850 | |
| 400 | Chevron Corp. | Jan. 11/65 | 28,400 | |
| 300 | Compania de Minas | |||
| Buenaventura SA, | ||||
| ADR | Dec. 10/30 | 4,500 | ||
| 300 | Devon Energy Corp. | Oct. 10/65 | 52,500 | |
| 150 | Diamond Offshore | |||
| Drilling Inc. | Dec. 10/54.25 | 12,900 | ||
| 220 | Diamond Offshore | |||
| Drilling Inc. | Jan. 11/67.25 | 116,050 | ||
| 500 | Eldorado Gold Corp. (i) | Nov. 10/15 | 5,588 | |
| 230 | Exxon Mobil Corp. | Jan. 11/65 | 104,650 | |
| 850 | Franco-Nevada Corp. (i) | Oct. 10/25 | 8,261 | |
| 500 | Freeport-McMoRan | |||
| Copper & Gold Inc. | Jan. 11/60 | 55,250 | ||
| 500 | Freeport-McMoRan | |||
| Copper & Gold Inc. | Jan. 11/65 | 88,000 | ||
| 4,500 | Gold Fields Ltd., ADR | Oct. 10/11 | 18,000 | |
| 1,200 | Goldcorp Inc. | Oct. 10/34 | 3,600 | |
| 700 | Halliburton Co. | Oct. 10/29 | 7,700 | |
| 1,000 | Halliburton Co. | Jan. 11/25 | 59,000 | |
| 1,750 | Harmony Gold Mining | |||
| Co. Ltd., ADR | Jan. 11/9 | 26,250 | ||
| 250 | Hess Corp. | Nov. 10/45 | 5,375 | |
| 400 | IAMGOLD Corp. (i) | Nov. 10/15 | 7,775 | |
| 1,000 | Ivanhoe Mines Ltd. | Mar. 11/17 | 85,000 | |
| 1,600 | Kinross Gold Corp. | Nov. 10/15 | 20,800 | |
| 665 | Kinross Gold Corp. | Jan. 11/15 | 22,610 | |
| 500 | Murphy Oil Corp. | Oct. 10/55 | 6,250 | |
| 700 | Nabors Industries Ltd. | Dec. 10/19 | 131,600 | |
| 225 | Nexen Inc. | Dec. 10/20 | 26,438 | |
| 225 | Noble Corp. | Dec. 10/28 | 11,138 | |
| 420 | Noble Corp. | Dec. 10/36 | 132,300 | |
| 350 | Oil Service HOLDRS | |||
| (SM) Trust | Jan. 11/99.10 | 117,250 | ||
| 330 | Oil Service HOLDRS | |||
| (SM) Trust | Jan. 12/104.10 | 458,700 | ||
| 500 | PetroHawk Energy Corp. | Jan. 11/16 | 72,000 | |
| 706 | Petroleo Brasileiro SA, | |||
| ADR | Oct. 10/40 | 289,460 | ||
| 800 | Petroleo Brasileiro SA, | |||
| ADR | Jan. 11/33 | 103,600 | ||
| 100 | Randgold Resources Ltd., | |||
| ADR | Dec. 10/75 | 3,750 | ||
| 400 | Randgold Resources Ltd., | |||
| ADR | Dec. 10/90 | 78,000 | ||
| 500 | Randgold Resources Ltd., | |||
| ADR | Mar. 11/90 | 232,500 | ||
| 400 | Red Back Mining Inc. (i) | Jan. 11/21 | 11,663 | |
| 500 | Rio Tinto plc, ADR | Jan. 11/40 | 23,750 | |
| 1,200 | Rowan Companies Inc. | Oct. 10/27.50 | 18,000 | |
| 500 | Royal Gold Inc. | Oct. 10/45 | 7,500 | |
| 500 | Transocean Ltd. | Jan. 11/50 | 69,000 | |
| 400 | Vale SA, ADR | Jan. 11/22.50 | 13,000 | |
| 600 | Weatherford | |||
| International Ltd. | Jan. 11/12.50 | 13,200 | ||
| 1,350 | Yamana Gold Inc. | Jan. 11/9 | 25,650 | |
| TOTAL PUT OPTIONS WRITTEN (Premiums received $8,028,586) | 2,670,848 | |||
| TOTAL OPTION CONTRACTS WRITTEN (Premiums received $34,831,502) | $ 39,757,558 | |||
| Aggregate premiums | $ 34,831,502 | |||
| Gross unrealized appreciation | $ 10,517,686 | |||
| Gross unrealized depreciation | (15,443,742 | ) | ||
| Net unrealized appreciation/depreciation | $ (4,926,056 | ) |
See accompanying notes to schedule of investments.
Folio 5 /Folio
PAGEBREAK
THE GABELLI GLOBAL GOLD, NATURAL RESOURCES & INCOME TRUST SCHEDULE OF INVESTMENTS (Continued) September 30, 2010 (Unaudited)
| (a) | Securities, or a portion thereof, with a value of
$261,216,392 were pledged as collateral for options
written. |
| --- | --- |
| (b) | Security fair valued under procedures established by the Board of Trustees. The procedures may
include reviewing available financial information about the company and reviewing the valuation of
comparable securities and other factors on a regular basis. At September 30, 2010, the market value
of fair valued securities amounted to $1,922,623 or 0.19% of total investments. |
| (c) | At September 30, 2010, the Fund held investments in restricted securities amounting to $860,931
or 0.09% of total investments, which were value under methods approved by the Board of Trustees as
follows: |
| Acquisition — Shares/ | 09/30/10 | |||
|---|---|---|---|---|
| Principal | Acquisition | Acquisition | Carrying Value | |
| Amount | Issuer | Date | Cost | Per Unit |
| 307,692 | Comanche Energy Inc. | 06/17/08 | $ 1,849,998 | |
| 34,091 | Comanche Energy Inc., Cl. A, | |||
| Warrants expire 06/18/13 | 06/17/08 | 93,750 | | |
| 36,197 | Comanche Energy Inc., Cl. B, | |||
| Warrants expire 06/18/13 | 06/17/08 | 93,750 | | |
| 82,965 | Comanche Energy Inc., Cl. C, | |||
| Warrants expire 06/18/13 | 06/17/08 | 187,501 | | |
| $ 4,304,657 | Comanche Energy Inc., PIK, | |||
| 15.500%, 06/13/13 | 06/17/08 | 4,079,657 | $ 20.0000 |
| (d) | Illiquid security. |
|---|---|
| (e) | Security exempt from registration under Rule 144A of the |
| Securities Act of 1933, as amended. This security may be | |
| resold in transactions exempt from registration, normally to | |
| qualified institutional buyers. At September 30, 2010, the | |
| market value of the Rule 144A security amounted to $743,391 | |
| or 0.07% of total investments. | |
| (f) | Principal amount denoted in Canadian dollars. |
| (g) | At September 30, 2010, the Fund has entered into Option Contracts Written with Pershing LLC and |
| Morgan Stanley. | |
| (h) | Exercise price denoted in British Pounds. |
| (i) | Exercise price denoted in Canadian dollars. |
| (j) | Exercise price denoted in Australian dollars. |
| (k) | Exercise price denoted in Euros. |
| | Non-income producing security. |
| | Represents annualized yield at date of purchase. |
| ADR | American Depositary Receipt |
| PIK | Payment-in-kind |
| % of — Market | Market | |||
|---|---|---|---|---|
| Geographic Diversification | Value | Value | ||
| Long Positions | ||||
| North America | 59.4 | % | $ 589,276,459 | |
| Europe | 17.0 | 168,221,182 | ||
| South Africa | 9.0 | 88,726,466 | ||
| Asia/Pacific | 8.4 | 83,635,822 | ||
| Latin America | 6.2 | 61,952,099 | ||
| Total Investments | 100.0 | % | $ 991,812,028 | |
| Short Positions | ||||
| North America | (2.4 | )% | $ (24,112,641 | ) |
| Europe | (0.8 | ) | (7,897,391 | ) |
| South Africa | (0.5 | ) | (5,322,334 | ) |
| Asia/Pacific | (0.2 | ) | (1,504,196 | ) |
| Latin America | (0.1 | ) | (920,996 | ) |
| Total Investments | (4.0 | )% | $ (39,757,558 | ) |
See accompanying notes to schedule of investments.
Folio 6 /Folio
PAGEBREAK
THE GABELLI GLOBAL GOLD, NATURAL RESOURCES & INCOME TRUST (the Fund) NOTES TO SCHEDULE OF INVESTMENTS (Unaudited)
The Funds financial statements are prepared in accordance with U.S. generally accepted accounting principles (GAAP), which may require the use of management estimates and assumptions. Actual results could differ from those estimates. The following is a summary of significant accounting policies followed by the Fund in the preparation of its financial statements.
Security Valuation. Portfolio securities listed or traded on a nationally recognized securities exchange or traded in the U.S. over-the-counter market for which market quotations are readily available are valued at the last quoted sale price or a markets official closing price as of the close of business on the day the securities are being valued. If there were no sales that day, the security is valued at the average of the closing bid and asked prices or, if there were no asked prices quoted on that day, then the security is valued at the closing bid price on that day. If no bid or asked prices are quoted on such day, the security is valued at the most recently available price or, if the Board of Trustees (the Board) so determines, by such other method as the Board shall determine in good faith to reflect its fair market value. Portfolio securities traded on more than one national securities exchange or market are valued according to the broadest and most representative market, as determined by Gabelli Funds, LLC (the Adviser).
Portfolio securities primarily traded on a foreign market are generally valued at the preceding closing values of such securities on the relevant market, but may be fair valued pursuant to procedures established by the Board if market conditions change significantly after the close of the foreign market but prior to the close of business on the day the securities are being valued. Debt instruments with remaining maturities of sixty days or less that are not credit impaired are valued at amortized cost, unless the Board determines such amount does not reflect the securities fair value, in which case these securities will be fair valued as determined by the Board. Debt instruments having a maturity greater than sixty days for which market quotations are readily available are valued at the average of the latest bid and asked prices. If there were no asked prices quoted on such day, the security is valued using the closing bid price. U.S. government obligations with maturities greater than sixty days are normally valued using a model that incorporates market observable data such as reported sales of similar securities, broker quotes, yields, bids, offers, and reference data. Certain securities are valued principally using dealer quotations.
Securities and assets for which market quotations are not readily available are fair valued as determined by the Board. Fair valuation methodologies and procedures may include, but are not limited to: analysis and review of available financial and non-financial information about the company; comparisons with the valuation and changes in valuation of similar securities, including a comparison of foreign securities with the equivalent U.S. dollar value ADR securities at the close of the U.S. exchange; and evaluation of any other information that could be indicative of the value of the security.
The inputs and valuation techniques used to measure fair value of the Funds investments are summarized into three levels as described in the hierarchy below:
| | Level 1 quoted prices in active markets for identical securities; |
|---|---|
| | Level 2 other significant observable inputs (including quoted prices for similar |
| securities, interest rates, prepayment speeds, credit risk, etc.); and | |
| | Level 3 significant unobservable inputs (including the Funds determinations as to |
| the fair value of investments). |
Folio 7 /Folio
PAGEBREAK
THE GABELLI GLOBAL GOLD, NATURAL RESOURCES & INCOME TRUST NOTES TO SCHEDULE OF INVESTMENTS (Continued) (Unaudited)
A financial instruments level within the fair value hierarchy is based on the lowest level of any input both individually and in aggregate that is significant to the fair value measurement. The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. The summary of the Funds investments in securities and other financial instruments by inputs used to value the Funds investments as of September 30, 2010 is as follows:
| Valuation Inputs — Level 1 | Level 2 | Level 3 | Total | ||||
|---|---|---|---|---|---|---|---|
| Quoted | Other Significant | Significant | Market Value | ||||
| Prices | Observable Inputs | Unobservable Inputs | at 9/30/10 | ||||
| INVESTMENTS IN SECURITIES: | |||||||
| ASSETS (Market Value): | |||||||
| Common Stocks: | |||||||
| Energy and Energy Services | $ 277,789,489 | | $ 0 | $ 277,789,489 | |||
| Other Industries (a) | 553,511,542 | | | 553,511,542 | |||
| Total Common Stocks | 831,301,031 | | 0 | 831,301,031 | |||
| Convertible Preferred Stocks (a) | 4,011,850 | | | 4,011,850 | |||
| Warrants: | |||||||
| Energy and Energy Services | | | 0 | 0 | |||
| Metals and Mining | 529,513 | $ 688,842 | | 1,218,355 | |||
| Total Warrants | 529,513 | 688,842 | 0 | 1,218,355 | |||
| Convertible Corporate Bonds | 743,391 | 12,548,125 | | 13,291,516 | |||
| Corporate Bonds | | 17,940,689 | 860,931 | 18,801,620 | |||
| U.S. Government Obligations | | 123,187,656 | | 123,187,656 | |||
| TOTAL INVESTMENTS IN SECURITIES ASSETS | $ 836,585,785 | $ 154,365,312 | $ 860,931 | $ 991,812,028 | |||
| OTHER FINANCIAL INSTRUMENTS: | |||||||
| LIABILITIES (Market Value): | |||||||
| EQUITY CONTRACTS: | |||||||
| Call Options Written | $ (27,066,315 | ) | $ (10,020,395 | ) | $ | $ (37,086,710 | ) |
| Put Options Written | (1,088,670 | ) | (1,582,178 | ) | | (2,670,848 | ) |
| TOTAL OTHER FINANCIAL INSTRUMENTS | |||||||
| LIABILITIES | $ (28,154,985 | ) | $ (11,602,573 | ) | $ | $ (39,757,558 | ) |
(a) Please refer to the Schedule of Investments for the industry classifications of these portfolio holdings.
The Fund did not have significant transfers between Level 1 and Level 2 during the period ended September 30, 2010.
Folio 8 /Folio
PAGEBREAK
THE GABELLI GLOBAL GOLD, NATURAL RESOURCES & INCOME TRUST NOTES TO SCHEDULE OF INVESTMENTS (Continued) (Unaudited)
The following table reconciles Level 3 investments for which significant unobservable inputs were used to determine fair value:
| Net change | |||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|
| in unrealized | |||||||||||
| appreciation/ | |||||||||||
| depreciation | |||||||||||
| Change in | during the | ||||||||||
| Balance | Accrued | Realized | unrealized | Net | Transfers | Transfers | Balance | period on Level 3 | |||
| as of | discounts/ | gain/ | appreciation/ | purchases/ | into | out of | as of | investments held | |||
| 12/31/09 | (premiums) | (loss) | depreciation | (sales) | Level 3 | Level 3 | 9/30/10 | at 9/30/10 | |||
| INVESTMENTS IN SECURITIES: | |||||||||||
| ASSETS (Market Value): | |||||||||||
| Common Stocks: | |||||||||||
| Energy and Energy Services | $ 0 | $ | $ | $ | $ | $ | $ | $ 0 | $ | ||
| Warrants: | |||||||||||
| Energy and Energy Services | 0 | | | | | | | 0 | | ||
| Corporate Bonds | 768,131 | 33,361 | | (404,561 | ) | 464,000 | | | 860,931 | (404,561 | ) |
| TOTAL INVESTMENTS IN SECURITIES | $ 768,131 | $ 33,361 | $ | $ (404,561 | ) | $ 464,000 | $ | $ | $ 860,931 | $ (404,561 | ) |
The Funds policy is to recognize transfers into and transfers out of Level 3 as of the beginning of the reporting period.
In January 2010, the Financial Accounting Standards Board (FASB) issued amended guidance to improve disclosure about fair value measurements which requires additional disclosures about transfers between Levels 1 and 2 and separate disclosures about purchases, sales, issuances, and settlements in the reconciliation of fair value measurements using significant unobservable inputs (Level 3). FASB also clarified existing disclosure requirements relating to the levels of disaggregation of fair value measurement and inputs and valuation techniques used to measure fair value. The amended guidance is effective for financial statements for fiscal years beginning after December 15, 2009 and interim periods within those fiscal years. Management has adopted the amended guidance and determined that there was no material impact to the Funds financial statements except for additional disclosures made in the notes. Disclosures about purchases, sales, issuances, and settlements in the rollforward of activity in Level 3 fair value measurements are effective for fiscal years beginning after December 15, 2010 and for interim periods within those fiscal years. Management is currently evaluating the impact of the additional disclosure requirements on the Funds financial statements.
Investments in other Investment Companies. The Fund may invest, from time to time, in shares of other investment companies (or entities that would be considered investment companies but are excluded from the definition pursuant to certain exceptions under the 1940 Act) (the Acquired Funds) in accordance with the 1940 Act and related rules. Shareholders in the Fund bear the pro rata portion of the periodic expenses of the Acquired Funds in addition to the Funds expenses. At September 30, 2010, the Fund did not hold any Acquired Funds.
Foreign Currency Translations. The books and records of the Fund are maintained in U.S. dollars. Foreign currencies, investments, and other assets and liabilities are translated into U.S. dollars at the current exchange rates. Purchases and sales of investment securities, income, and expenses are translated at the exchange rate prevailing on the respective dates of such transactions. Unrealized gains and losses that result from changes in foreign exchange rates and/or changes in market prices of securities have been included in unrealized appreciation/depreciation on investments and foreign currency translations. Net realized foreign currency gains and losses resulting from changes in exchange rates include foreign currency gains and losses between trade date and settlement date on investment securities transactions, foreign currency transactions, and the difference between the amounts of interest and dividends recorded on the books of the Fund and the amounts actually received. The portion of foreign currency gains and losses related to fluctuation in exchange rates between the initial purchase trade date and subsequent sale trade date is included in realized gain/loss on investments.
Folio 9 /Folio
PAGEBREAK
THE GABELLI GLOBAL GOLD, NATURAL RESOURCES & INCOME TRUST NOTES TO SCHEDULE OF INVESTMENTS (Continued) (Unaudited)
Foreign Securities. The Fund may directly purchase securities of foreign issuers. Investing in securities of foreign issuers involves special risks not typically associated with investing in securities of U.S. issuers. The risks include possible revaluation of currencies, the inability to repatriate funds, less complete financial information about companies, and possible future adverse political and economic developments. Moreover, securities of many foreign issuers and their markets may be less liquid and their prices more volatile than those of securities of comparable U.S. issuers.
Foreign Taxes. The Fund may be subject to foreign taxes on income, gains on investments, or currency repatriation, a portion of which may be recoverable. The Fund will accrue such taxes and recoveries as applicable, based upon its current interpretation of tax rules and regulations that exist in the markets in which it invests.
Derivative Financial Instruments. The Fund may engage in various portfolio investment strategies by investing in a number of derivative financial instruments for the purposes of increasing the income of the Fund. Investing in certain derivative financial instruments, including participation in the options, futures, or swap markets, entails certain execution, liquidity, hedging, tax, and securities, interest, credit, or currency market risks. Losses may arise if the Advisers prediction of movements in the direction of the securities, foreign currency, and interest rate markets is inaccurate. Losses may also arise if the counterparty does not perform its duties under a contract, or that, in the event of default, the Fund may be delayed in or prevented from obtaining payments or other contractual remedies owed to it under derivative contracts. The creditworthiness of the counterparties is closely monitored in order to minimize these risks. Participation in derivative transactions involves investment risks, transaction costs, and potential losses to which the Fund would not be subject absent the use of these strategies. The consequences of these risks, transaction costs, and losses may have a negative impact on the Funds ability to pay distributions.
The Funds derivative contracts held at September 30, 2010, if any, are not accounted for as hedging instruments under GAAP.
Swap Agreements. The Fund may enter into equity and contract for difference swap transactions for the purpose of increasing the income of the Fund. The use of swaps is a highly specialized activity that involves investment techniques and risks different from those associated with ordinary portfolio security transactions. In a swap, a set of future cash flows is exchanged between two counterparties. One of these cash flow streams will typically be based on a reference interest rate combined with the performance of a notional value of shares of a stock. The other will be based on the performance of the shares of a stock. Depending on the general state of short-term interest rates and the returns on the Funds portfolio securities at the time a swap transaction reaches its scheduled termination date, there is a risk that the Fund will not be able to obtain a replacement transaction or that the terms of the replacement will not be as favorable as on the expiring transaction. During the period ended September 30, 2010, the Fund had no investments in equity swap agreements.
Options. The Fund may purchase or write call or put options on securities or indices for the purpose of achieving additional return or for hedging the value of the Funds portfolio. As a writer of put options, the Fund receives a premium at the outset and then bears the risk of unfavorable changes in the price of the financial instrument underlying the option. The Fund would incur a loss if the price of the underlying financial instrument decreases between the date the option is written and the date on which the option is terminated. The Fund would realize a gain, to the extent of the premium, if the price of the financial instrument increases between those dates. If a written call option is exercised, the premium is added to the proceeds from the sale of the underlying security in determining whether there has been a realized gain or loss. If a written put option is exercised, the premium reduces the cost basis of the security.
Folio 10 /Folio
PAGEBREAK
THE GABELLI GLOBAL GOLD, NATURAL RESOURCES & INCOME TRUST NOTES TO SCHEDULE OF INVESTMENTS (Continued) (Unaudited)
As a purchaser of put options, the Fund pays a premium for the right to sell to the seller of the put option the underlying security at a specified price. The seller of the put has the obligation to purchase the underlying security upon exercise at the exercise price. If the price of the underlying security declines, the Fund would realize a gain upon sale or exercise. If the price of the underlying security increases or stays the same, the Fund would realize a loss upon sale or at the expiration date, but only to the extent of the premium paid.
In the case of call options, these exercise prices are referred to as in-the-money, at-the-money, and out-of-the-money, respectively. The Fund may write (a) in-the-money call options when the Adviser expects that the price of the underlying security will remain stable or decline during the option period, (b) at-the-money call options when the Adviser expects that the price of the underlying security will remain stable, decline, or advance moderately during the option period, and (c) out-of-the-money call options when the Adviser expects that the premiums received from writing the call option will be greater than the appreciation in the price of the underlying security above the exercise price. By writing a call option, the Fund limits its opportunity to profit from any increase in the market value of the underlying security above the exercise price of the option. Out-of-the-money, at-the-money, and in-the-money put options (the reverse of call options as to the relation of exercise price to market price) may be utilized in the same market environments that such call options are used in equivalent transactions. Open positions that were held at September 30, 2010 are presented within the Schedule of Investments.
The Funds volume of activity in equity options contracts during the period ended September 30, 2010 had an average monthly premium amount of approximately $27,640,372.
The Funds volume of activity in equity option contracts during the period ended September 30, 2010 had the following activities.
| Contracts | Premiums | |||
|---|---|---|---|---|
| Options outstanding at December 31, 2009 | 164,312 | $ | 20,812,335 | |
| Stock splits on options | 450 | | ||
| Options written | 577,841 | 74,089,685 | ||
| Options repurchased | (235,835 | ) | (26,443,283 | ) |
| Options expired | (263,762 | ) | (30,019,340 | ) |
| Options exercised | (25,326 | ) | (3,607,895 | ) |
| Options outstanding at September 30, 2010 | 217,680 | $ | 34,831,502 |
The following table summarizes the net unrealized appreciation/depreciation of derivatives held at September 30, 2010 by primary risk exposure:
| Liability Derivatives: | Market Value | |
|---|---|---|
| Equity Contracts | $ (39,757,558 | ) |
Folio 11 /Folio
PAGEBREAK
AUTOMATIC DIVIDEND REINVESTMENT AND VOLUNTARY CASH PURCHASE PLANS
Enrollment in the Plan
It is the policy of The Gabelli Global Gold, Natural Resources & Income Trust (the Fund) to automatically reinvest dividends payable to common shareholders. As a registered shareholder you automatically become a participant in the Funds Automatic Dividend Reinvestment Plan (the Plan). The Plan authorizes the Fund to credit common shares to participants upon an income dividend or a capital gains distribution regardless of whether the shares are trading at a discount or a premium to net asset value. All distributions to shareholders whose shares are registered in their own names will be automatically reinvested pursuant to the Plan in additional shares of the Fund. Plan participants may send their share certificates to American Stock Transfer (AST) to be held in their dividend reinvestment account. Registered shareholders wishing to receive their distributions in cash must submit this request in writing to:
The Gabelli Global Gold, Natural Resources & Income Trust c/o American Stock Transfer 6201 15th Avenue Brooklyn, NY 11219
Shareholders requesting this cash election must include the shareholders name and address as they appear on the share certificate. Shareholders with additional questions regarding the Plan or requesting a copy of the terms of the Plan, may contact AST at (888) 422-3262.
If your shares are held in the name of a broker, bank, or nominee, you should contact such institution. If such institution is not participating in the Plan, your account will be credited with a cash dividend. In order to participate in the Plan through such institution, it may be necessary for you to have your shares taken out of street name and re-registered in your own name. Once registered in your own name your distributions will be automatically reinvested. Certain brokers participate in the Plan. Shareholders holding shares in street name at participating institutions will have dividends automatically reinvested. Shareholders wishing a cash dividend at such institution must contact their broker to make this change.
The number of common shares distributed to participants in the Plan in lieu of cash dividends is determined in the following manner. Under the Plan, whenever the market price of the Funds common shares is equal to or exceeds net asset value at the time shares are valued for purposes of determining the number of shares equivalent to the cash dividends or capital gains distribution, participants are issued common shares valued at the greater of (i) the net asset value as most recently determined or (ii) 95% of the then current market price of the Funds common shares. The valuation date is the dividend or distribution payment date or, if that date is not a NYSE Amex trading day, the next trading day. If the net asset value of the common shares at the time of valuation exceeds the market price of the common shares, participants will receive common shares from the Fund valued at market price. If the Fund should declare a dividend or capital gains distribution payable only in cash, AST will buy common shares in the open market, or on the NYSE Amex, or elsewhere, for the participants accounts, except that AST will endeavor to terminate purchases in the open market and cause the Fund to issue shares at net asset value if, following the commencement of such purchases, the market value of the common shares exceeds the then current net asset value.
The automatic reinvestment of dividends and capital gains distributions will not relieve participants of any income tax which may be payable on such distributions. A participant in the Plan will be treated for federal income tax purposes as having received, on a dividend payment date, a dividend or distribution in an amount equal to the cash the participant could have received instead of shares.
Folio 12 /Folio
PAGEBREAK
Voluntary Cash Purchase Plan
The Voluntary Cash Purchase Plan is yet another vehicle for our shareholders to increase their investment in the Fund. In order to participate in the Voluntary Cash Purchase Plan, shareholders must have their shares registered in their own name.
Participants in the Voluntary Cash Purchase Plan have the option of making additional cash payments to AST for investments in the Funds common shares at the then current market price. Shareholders may send an amount from $250 to $10,000. AST will use these funds to purchase shares in the open market on or about the 1st and 15th of each month. AST will charge each shareholder who participates a pro rata share of the brokerage commissions. Brokerage charges for such purchases are expected to be less than the usual brokerage charge for such transactions. It is suggested that any voluntary cash payments be sent to American Stock Transfer, 6201 15th Avenue, Brooklyn, NY 11219 such that AST receives such payments approximately 10 days before the investment date. Funds not received at least five days before the investment date shall be held for investment until the next purchase date. A payment may be withdrawn without charge if notice is received by AST at least 48 hours before such payment is to be invested.
Shareholders wishing to liquidate shares held at AST must do so in writing or by telephone. Please submit your request to the above mentioned address or telephone number. Include in your request your name, address, and account number. The cost to liquidate shares is $1.00 per transaction as well as the brokerage commission incurred. Brokerage charges are expected to be less than the usual brokerage charge for such transactions.
For more information regarding the Automatic Dividend Reinvestment Plan and Voluntary Cash Purchase Plan, brochures are available by calling (914) 921-5070 or by writing directly to the Fund.
The Fund reserves the right to amend or terminate the Plan as applied to any voluntary cash payments made and any dividend or distribution paid subsequent to written notice of the change sent to the members of the Plan at least 90 days before the record date for such dividend or distribution. The Plan also may be amended or terminated by AST on at least 90 days written notice to participants in the Plan.
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THE GABELLI GLOBAL GOLD, NATURAL RESOURCES & INCOME TRUST AND YOUR PERSONAL PRIVACY
Who are we?
The Gabelli Global Gold, Natural Resources & Income Trust (the Fund) is a closed-end management investment company registered with the Securities and Exchange Commission under the Investment Company Act of 1940. We are managed by Gabelli Funds, LLC, which is affiliated with GAMCO Investors, Inc. GAMCO Investors, Inc. is a publicly held company that has subsidiaries that provide investment advisory or brokerage services for a variety of clients.
What kind of non-public information do we collect about you if you become a shareholder?
When you purchase shares of the Fund on the American Stock Exchange, you have the option of registering directly with our transfer agent in order, for example, to participate in our dividend reinvestment plan.
Information you give us on your application form. This could include your name, address, telephone number, social security number, bank account number, and other information.
Information about your transactions with us. This would include information about the shares that you buy or sell; it may also include information about whether you sell or exercise rights that we have issued from time to time. If we hire someone else to provide serviceslike a transfer agentwe will also have information about the transactions that you conduct through them.
What information do we disclose and to whom do we disclose it?
We do not disclose any non-public personal information about our customers or former customers to anyone other than our affiliates, our service providers who need to know such information, and as otherwise permitted by law. If you want to find out what the law permits, you can read the privacy rules adopted by the Securities and Exchange Commission. They are in volume 17 of the Code of Federal Regulations, Part 248. The Commission often posts information about its regulations on its website, www.sec.gov .
What do we do to protect your personal information?
We restrict access to non-public personal information about you to the people who need to know that information in order to provide services to you or the Fund and to ensure that we are complying with the laws governing the securities business. We maintain physical, electronic, and procedural safeguards to keep your personal information confidential.
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TRUSTEES AND OFFICERS THE GABELLI GLOBAL GOLD, NATURAL RESOURCES & INCOME TRUST One Corporate Center, Rye, NY 10580-1422
Trustees Anthony J. Colavita President, Anthony J. Colavita, P.C. James P. Conn Former Managing Director & Chief Investment Officer, Financial Security Assurance Holdings Ltd. Mario dUrso Former Italian Senator Vincent D. Enright Former Senior Vice President & Chief Financial Officer, KeySpan Corp. Frank J. Fahrenkopf, Jr. President & Chief Executive Officer, American Gaming Association Michael J. Melarkey Attorney-at-Law, Avansino, Melarkey, Knobel & Mulligan Salvatore M. Salibello Certified Public Accountant, Salibello & Broder, LLP Anthonie C. van Ekris Chairman, BALMAC International, Inc. Salvatore J. Zizza Chairman, Zizza & Co., Ltd.
Officers Bruce N. Alpert President Carter W. Austin Vice President Peter D. Goldstein Chief Compliance Officer Molly A.F. Marion Vice President & Ombudsman Laurissa M. Martire Vice President & Ombudsman David I. Schachter Vice President Agnes Mullady Treasurer & Secretary
Investment Adviser Gabelli Funds, LLC One Corporate Center Rye, New York 10580-1422
Custodian The Bank of New York Mellon
Counsel Skadden, Arps, Slate, Meagher & Flom LLP
Transfer Agent and Registrar American Stock Transfer and Trust Company
Stock Exchange Listing
| Common | 6.625% — Preferred | |
|---|---|---|
| NYSE AmexSymbol: | GGN | GGN PrA |
| Shares Outstanding: | 50,202,965 | 3,955,687 |
The Net Asset Value per share appears in the Publicly Traded Funds column, under the heading Specialized Equity Funds, in Mondays The Wall Street Journal. It is also listed in Barrons Mutual Funds/Closed End Funds section under the heading Specialized Equity Funds.
The Net Asset Value per share may be obtained each day by calling (914) 921-5070 or visiting ww.gabelli.com.
For general information about the Gabelli Funds, call 800-GABELLI (800-422-3554), fax us at 914-921-5118, visit Gabelli Funds Internet homepage at: www.gabelli.com, or e-mail us at: [email protected]
Notice is hereby given in accordance with Section 23(c) of the Investment Company Act of 1940, as amended, that the Fund may, from time to time, purchase its common shares in the open market when the Funds shares are trading at a discount of 7.5% or more from the net asset value of the shares. The Fund may also, from time to time, purchase its preferred shares in the open market when the preferred shares are trading at a discount to the liquidation value.
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link2 "Item 2. Controls and Procedures"
Item 2. Controls and Procedures.
| (a) | The registrants principal executive and principal financial officers, or persons
performing similar functions, have concluded that the registrants disclosure controls and
procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940, as
amended (the 1940 Act) (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 their evaluation of these controls and procedures required by Rule 30a-3(b) under
the 1940 Act (17 CFR 270.30a-3(b)) and Rules 13a-15(b) or 15d-15(b) under the Securities
Exchange Act of 1934, as amended (17 CFR 240.13a-15(b) or 240.15d-15(b)). |
| --- | --- |
| (b) | There were no changes in the registrants internal control over financial reporting (as
defined in Rule 30a-3(d) under the 1940 Act (17 CFR 270.30a-3(d)) that occurred during the
registrants last fiscal quarter that have materially affected, or are reasonably likely to
materially affect, the registrants internal control over financial reporting. |
link2 "Item 3. Exhibits"
Item 3. Exhibits.
Certifications pursuant to Rule 30a-2(a) under the 1940 Act and Section 302 of the Sarbanes-Oxley Act of 2002 are attached hereto.
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link1 "SIGNATURES"
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 Gabelli Global Gold, Natural Resources & Income Trust
By (Signature and Title)* /s/ Bruce N. Alpert Bruce N. Alpert, Principal Executive Officer
Date 11/26/10
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 (Signature and Title)* /s/ Bruce N. Alpert Bruce N. Alpert, Principal Executive Officer
Date 11/26/10
By (Signature and Title)* /s/ Agnes Mullady Agnes Mullady, Principal Financial Officer and Treasurer
Date 11/26/10
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