Regulatory Filings • Sep 3, 2010
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Download Source FileN-CSRS 1 g06314nvcsrs.htm N-CSRS nvcsrs PAGEBREAK
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 811-21698
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: June 30, 2010
Form N-CSR is to be used by management investment companies to file reports with the Commission not later than 10 days after the transmission to stockholders of any report that is required to be transmitted to stockholders under Rule 30e-1 under the Investment Company Act of 1940 (17 CFR 270.30e-1). The Commission may use the information provided on Form N-CSR in its regulatory, disclosure review, inspection, and policymaking roles.
A registrant is required to disclose the information specified by Form N-CSR, and the Commission will make this information public. A registrant is not required to respond to the collection of information contained in Form N-CSR 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 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. Reports to Stockholders"
Item 1. Reports to Stockholders.
The Report to Shareholders is attached herewith.
The Gabelli Global Gold, Natural Resources & Income Trust Semi-Annual Report June 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 (2.2)% during the semi-annual period ended June 30, 2010, compared with returns of (9.3)% and 6.0% for the Chicago Board Options Exchange (CBOE) S&P 500 Buy/Write Index and the Philadelphia Gold & Silver Index, respectively. The total return for the Funds publicly traded shares was 1.1% during the first half of the year. For the one year period ended June 30, 2010, the Funds NAV total return was 26.7% and the total return for the Funds publicly traded shares was 29.0%, compared with returns of 6.1% and 28.6% for the CBOE S&P 500 Buy/Write Index and the Philadelphia Gold & Silver Index, respectively. On June 30, 2010, the Funds NAV per share was $14.76, while the price of the publicly traded shares closed at $15.67 on the NYSE Amex.
Enclosed are the financial statements and the investment portfolio as of June 30, 2010.
Comparative Results
Average Annual Returns through June 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) | (3.96 | )% | (2.20 | )% | 26.66 % | (9.32 | )% | 3.63 % | 4.22 % |
| Investment Total Return (c) | (8.74 | ) | 1.12 | 28.95 | (7.27 | ) | 4.56 | 4.22 | |
| CBOE | |||||||||
| S&P 500 Buy/Write Index | (10.26 | ) | (9.29 | ) | 6.05 | (5.74 | ) | 0.36 | 0.42 |
| Philadelphia Gold & Silver Index | 7.69 | 5.95 | 28.59 | 10.19 | 14.91 | 14.04 | |||
| Amex Energy Select Sector Index | (13.19 | ) | (11.97 | ) | 5.63 | (8.79 | ) | 3.95 | 4.54 |
| Barclays Capital Government/Corporate Bond Index | 3.88 | 5.49 | 9.65 | 7.37 | 5.26 | 5.68 |
| (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/funds.
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THE GABELLI GLOBAL GOLD, NATURAL RESOURCES & INCOME TRUST Summary of Portfolio Holdings (Unaudited)
The following table presents portfolio holdings as a percent of total investments as of June 30, 2010:
| Long Positions — Metals and Mining | 56.4 | % |
|---|---|---|
| Energy and Energy Services | 30.1 | % |
| Exchange Traded Funds | 1.1 | % |
| U.S. Government Obligations | 12.4 | % |
| 100.0 | % | |
| Short Positions | ||
| Call Options Written | (2.7 | )% |
| Put Options Written | (1.3 | )% |
| (4.0 | )% |
The Fund files a complete schedule of portfolio holdings with the Securities and Exchange Commission (the SEC) for the first and third quarters of each fiscal year on Form N-Q , the last of which was filed for the quarter ended March 31, 2010. Shareholders may obtain this information at www.gabelli.com or by calling the Fund at 800-GABELLI (800-422-3554). The Funds Form N-Q is available on the SECs website at www.sec.gov and may also be reviewed and copied at the SECs Public Reference Room in Washington, DC. Information on the operation of the Public Reference Room may be obtained by calling 1-800-SEC-0330.
Proxy Voting
The Fund files Form N-PX with its complete proxy voting record for the twelve months ended June 30th, no later than August 31st of each year. A description of the Funds proxy voting policies, procedures, and how the Fund voted proxies relating to portfolio securities is available without charge, upon request, by (i) calling 800-GABELLI (800-422-3554); (ii) writing to The Gabelli Funds at One Corporate Center, Rye, NY 10580-1422; or (iii) visiting the SECs website at www.sec.gov.
Shareholder Meeting May 17, 2010 Final Results
The Funds Annual Meeting of Shareholders was held on May 17, 2010 at the Greenwich Library in Greenwich, Connecticut. At that meeting, common and preferred shareholders, voting together as a single class, elected Mario dUrso, Vincent D. Enright, and Michael J. Melarkey as Trustees of the Fund. A total of 34,274,464 votes, 34,348,875 votes, and 34,388,613 votes were cast in favor of each Trustee and a total of 457,335 votes, 383,924 votes, and 344,186 votes were withheld for each Trustee, respectively.
Anthony J. Colavita, James P. Conn, Frank J. Fahrenkopf, Jr., Salvatore M. Salibello, Anthonie C. van Ekris, and Salvatore J. Zizza continue to serve in their capacities as Trustees of the Fund.
We thank you for your participation and appreciate your continued support.
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THE GABELLI GLOBAL GOLD, NATURAL RESOURCES & INCOME TRUST SCHEDULE OF INVESTMENTS June 30, 2010 (Unaudited)
| Shares | Cost | Market — Value | |
|---|---|---|---|
| COMMON STOCKS 82.7% | |||
| Energy and Energy Services 28.4% | |||
| 72,000 | Apache Corp. | $ 7,227,143 | $ 6,061,680 |
| 206,325 | Baker Hughes Inc. (a) | 11,202,086 | 8,576,930 |
| 402,000 | BG Group plc | 6,654,629 | 6,042,312 |
| 165,900 | BP plc, ADR (a) | 10,175,855 | 4,791,192 |
| 130,500 | Chesapeake Energy Corp. (a) | 4,845,233 | 2,733,975 |
| 115,000 | Chevron Corp. (a) | 8,550,250 | 7,803,900 |
| 307,692 | Comanche | ||
| Energy Inc. (b)(c)(d) | 1,849,998 | 0 | |
| 128,000 | ConocoPhillips (a) | 6,458,502 | 6,283,520 |
| 188,000 | Devon Energy Corp. (a) | 11,582,362 | 11,452,960 |
| 69,000 | Diamond Offshore | ||
| Drilling Inc. (a) | 6,721,594 | 4,291,110 | |
| 450,000 | El Paso Corp. | 4,097,901 | 4,999,500 |
| 161,980 | Exxon Mobil Corp. (a) | 10,211,471 | 9,244,199 |
| 65,000 | Galp Energia SGPS SA, Cl. B | 1,545,027 | 977,671 |
| 419,000 | Halliburton Co. (a) | 11,541,661 | 10,286,450 |
| 500,000 | Heritage Oil plc | 3,345,465 | 2,944,867 |
| 50,000 | Hess Corp. | 2,641,006 | 2,517,000 |
| 235,000 | Imperial Oil Ltd. | 9,571,948 | 8,560,706 |
| 180,000 | Marathon Oil Corp. (a) | 5,825,638 | 5,596,200 |
| 255,000 | Murphy Oil Corp. (a) | 14,074,766 | 12,635,250 |
| 320,000 | Nabors Industries Ltd. (a) | 7,491,816 | 5,638,400 |
| 110,000 | Nexen Inc. | 2,457,682 | 2,163,700 |
| 442,100 | Noble Corp. (a) | 15,889,181 | 13,665,311 |
| 391,500 | Petroleo Brasileiro SA, | ||
| ADR (a) | 17,570,412 | 13,436,280 | |
| 200,000 | Rowan Companies Inc. (a) | 6,110,968 | 4,388,000 |
| 184,000 | Royal Dutch Shell plc, | ||
| Cl. A | 6,096,083 | 4,676,288 | |
| 151,200 | Sasol Ltd., ADR (a) | 6,582,624 | 5,332,824 |
| 138,400 | Statoil ASA, ADR (a) | 3,798,461 | 2,650,360 |
| 541,500 | Suncor Energy Inc. (a) | 19,244,298 | 15,941,760 |
| 100,000 | Technip SA | 6,998,364 | 5,820,779 |
| 409,000 | Tesoro Corp. (a) | 6,572,561 | 4,773,030 |
| 260,800 | The Williams | ||
| Companies Inc. (a) | 5,684,675 | 4,767,424 | |
| 75,000 | Total SA, ADR | 3,956,930 | 3,348,000 |
| 93,200 | Transocean Ltd. (a) | 7,879,738 | 4,317,956 |
| 390,000 | Tullow Oil plc | 7,452,153 | 5,844,463 |
| 301,100 | Valero Energy Corp. (a) | 6,794,884 | 5,413,778 |
| 552,000 | Weatherford International | ||
| Ltd. (a) | 11,525,981 | 7,253,280 | |
| 280,229,346 | 225,231,055 | ||
| Exchange Traded Funds 1.1% | |||
| 63,500 | Oil Service HOLDRS (SM) | ||
| Trust | 7,799,861 | 6,009,640 | |
| 73,000 | United States Oil Fund LP | 3,017,601 | 2,479,080 |
| 10,817,462 | 8,488,720 | ||
| Metals and Mining 53.2% | |||
| 210,000 | African Barrick Gold Ltd. | 1,813,110 | 1,990,811 |
| 448,500 | Agnico-Eagle Mines Ltd. (a) | 26,246,586 | 27,259,830 |
| 580,000 | Andean Resources Ltd. | 1,332,492 | 1,678,080 |
| 258,000 | Anglo American plc | 12,428,240 | 9,060,643 |
| 563,500 | AngloGold Ashanti Ltd., | ||
| ADR (a) | 22,435,342 | 24,331,930 | |
| 505,000 | Antofagasta plc. | 6,862,006 | 5,934,296 |
| 500,400 | Barrick Gold Corp. (a) | 18,836,748 | 22,723,164 |
| 159,500 | BHP Billiton Ltd., ADR (a) | 10,934,687 | 9,887,405 |
| 770,000 | Centamin Egypt Ltd. | 1,332,962 | 1,873,374 |
| 110,000 | Compania de Minas | ||
| Buenaventura SA, ADR | 3,130,575 | 4,228,400 | |
| 700,000 | Consolidated Thompson | ||
| Iron Mines Ltd. | 3,608,248 | 4,773,848 | |
| 83,000 | Detour Gold Corp. | 1,325,850 | 1,843,925 |
| 450,000 | Eldorado | ||
| Gold Corp. | 5,787,232 | 8,065,380 | |
| 175,000 | Equinox Minerals Ltd. | 903,610 | 613,170 |
| 167,000 | Franco-Nevada Corp. | 4,548,406 | 5,082,711 |
| 175,000 | Franco-Nevada Corp. (e) | 5,164,182 | 5,326,194 |
| 228,731 | Freeport-McMoRan Copper | ||
| & Gold Inc. (a) | 16,592,002 | 13,524,864 | |
| 538,500 | Fresnillo plc | 5,832,997 | 7,880,780 |
| 1,941,500 | Gold Fields Ltd., ADR (a) | 28,641,113 | 25,957,855 |
| 390,000 | Goldcorp Inc. (a) | 13,311,023 | 17,101,500 |
| 1,096,100 | Harmony Gold Mining | ||
| Co. Ltd., ADR (a) | 11,868,928 | 11,585,777 | |
| 1,779,700 | Hochschild Mining plc | 10,118,158 | 8,187,203 |
| 155,000 | HudBay Minerals Inc. | 1,601,184 | 1,626,368 |
| 285,000 | IAMGOLD Corp. | 4,188,117 | 5,038,800 |
| 412,000 | Impala Platinum | ||
| Holdings Ltd. | 9,868,055 | 9,662,541 | |
| 500,140 | Ivanhoe Mines Ltd. (a) | 6,275,658 | 6,521,826 |
| 88,000 | Kazakhmys plc | 2,728,178 | 1,306,917 |
| 255,000 | Keegan Resources Inc. | 1,405,590 | 1,355,784 |
| 1,236,400 | Kinross Gold Corp. (a) | 21,204,695 | 21,130,076 |
| 3,733,488 | Lihir Gold Ltd. | 9,426,817 | 13,544,896 |
| 250,600 | Lundin Mining Corp. (a) | 2,134,634 | 715,789 |
| 221,000 | MAG Silver Corp. | 1,434,528 | 1,363,928 |
| 640,646 | Newcrest Mining Ltd. | 16,210,132 | 18,928,181 |
| 285,000 | Newmont Mining Corp. (a) | 14,481,066 | 17,595,900 |
See accompanying notes to financial statements.
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THE GABELLI GLOBAL GOLD, NATURAL RESOURCES & INCOME TRUST SCHEDULE OF INVESTMENTS (Continued) June 30, 2010 (Unaudited)
| Shares | Cost | Market — Value | |
|---|---|---|---|
| COMMON STOCKS (Continued) | |||
| Metals and Mining (Continued) | |||
| 150,000 | Northern Dynasty | ||
| Minerals Ltd. | $ 1,372,940 | $ 970,500 | |
| 165,000 | Osisko Mining Corp. | 1,343,879 | 1,779,343 |
| 12,537,555 | PanAust Ltd. | 4,275,272 | 5,223,982 |
| 61,300 | Peabody Energy Corp. (a) | 3,058,958 | 2,398,669 |
| 200,000 | Randgold Resources Ltd., | ||
| ADR (a) | 13,759,144 | 18,950,000 | |
| 449,000 | Red Back Mining Inc. | 6,441,854 | 11,349,951 |
| 293,600 | Rio Tinto plc, ADR (a) | 19,945,648 | 12,800,960 |
| 845,000 | Romarco Minerals Inc. | 1,328,572 | 1,404,960 |
| 211,700 | Royal Gold Inc. | 9,241,922 | 10,161,600 |
| 300,000 | SEMAFO Inc. | 1,348,214 | 2,268,564 |
| 200,115 | Vale SA, ADR (a) | 5,188,755 | 4,872,800 |
| 1,272,305 | Xstrata plc | 26,927,958 | 16,857,610 |
| 1,372,300 | Yamana Gold Inc. (a) | 15,591,658 | 14,134,690 |
| 413,837,925 | 420,875,775 | ||
| TOTAL COMMON | |||
| STOCKS | 704,884,733 | 654,595,550 | |
| CONVERTIBLE PREFERRED STOCKS 0.4% | |||
| Metals and Mining 0.4% | |||
| 10,000 | Vale Capital II, 6.750%, | ||
| Cv. Pfd., Ser. VALe | 500,000 | 702,500 | |
| 35,000 | Vale Capital II, 6.750%, | ||
| Cv. Pfd., Ser. VALE | 1,750,000 | 2,461,550 | |
| TOTAL CONVERTIBLE | |||
| PREFERRED STOCKS | 2,250,000 | 3,164,050 | |
| WARRANTS 0.1% | |||
| Energy and Energy Services 0.0% | |||
| 34,091 | Comanche Energy Inc., Cl. A, | ||
| expire 06/18/13 (b)(c)(d) | 93,750 | 0 | |
| 36,197 | Comanche Energy Inc., Cl. B, | ||
| expire 06/18/13 (b)(c)(d) | 93,750 | 0 | |
| 82,965 | Comanche Energy Inc., Cl. C, | ||
| expire 06/18/13 (b)(c)(d) | 187,501 | 0 | |
| 375,001 | 0 | ||
| Metals and Mining 0.1% | |||
| 62,500 | Franco-Nevada Corp., | ||
| expire 03/13/12 (c) | 400,744 | 328,777 | |
| 87,500 | Franco-Nevada Corp., | ||
| expire 06/16/17 (e) | 0 | 665,774 | |
| 400,744 | 994,551 | ||
| TOTAL WARRANTS | 775,745 | 994,551 |
| Principal — Amount | Cost | Market — Value | |
|---|---|---|---|
| CONVERTIBLE CORPORATE BONDS 1.6% | |||
| Energy and Energy Services 0.6% | |||
| $ 1,500,000 | Chesapeake Energy Corp., Cv., | ||
| 2.250%, 12/15/38 | $ 676,101 | $ 1,089,375 | |
| 2,000,000 | Nabors Industries Inc., Cv., | ||
| 0.940%, 05/15/11 | 1,830,960 | 1,970,000 | |
| 2,000,000 | Transocean Ltd., Ser. A, Cv., | ||
| 1.625%, 12/15/37 | 1,915,105 | 1,947,500 | |
| 4,422,166 | 5,006,875 | ||
| Metals and Mining 1.0% | |||
| 5,000,000 | Newmont Mining Corp., Cv., | ||
| 1.625%, 07/15/17 | 3,700,177 | 7,231,250 | |
| 725,000 | Wesdome Gold Mines Ltd., | ||
| Deb. Cv., | |||
| 7.000%, 05/31/12 (c)(d)(e) | 687,740 | 741,992 | |
| 4,387,917 | 7,973,242 | ||
| TOTAL CONVERTIBLE | |||
| CORPORATE BONDS | 8,810,083 | 12,980,117 | |
| CORPORATE BONDS 2.8% | |||
| Energy and Energy Services 1.1% | |||
| 4,144,074 | Comanche Energy Inc., PIK, | ||
| 15.500%, | |||
| 06/13/13 (b)(c)(d) | 4,010,878 | 828,815 | |
| 2,500,000 | Compagnie Generale de | ||
| Geophysique-Veritas, | |||
| 7.500%, 05/15/15 | 2,339,413 | 2,393,750 | |
| 2,000,000 | PetroHawk Energy Corp., | ||
| 9.125%, 07/15/13 | 2,000,000 | 2,095,000 | |
| 500,000 | Tesoro Corp., | ||
| 9.750%, 06/01/19 | 482,128 | 521,250 | |
| 2,500,000 | Weatherford International Ltd., | ||
| 9.625%, 03/01/19 | 2,879,431 | 3,015,088 | |
| 11,711,850 | 8,853,903 | ||
| Metals and Mining 1.7% | |||
| 2,000,000 | Freeport-McMoRan Copper | ||
| & Gold Inc., | |||
| 8.250%, 04/01/15 | 1,675,935 | 2,172,134 | |
| 2,000,000 | Peabody Energy Corp., Ser. B, | ||
| 6.875%, 03/15/13 | 1,839,428 | 2,025,000 | |
| 4,000,000 | United States Steel Corp., | ||
| 6.050%, 06/01/17 | 2,927,117 | 3,820,000 | |
| 5,000,000 | Xstrata Canada Corp., | ||
| 7.250%, 07/15/12 | 4,892,672 | 5,417,925 | |
| 11,335,152 | 13,435,059 | ||
| TOTAL CORPORATE | |||
| BONDS | 23,047,002 | 22,288,962 |
See accompanying notes to financial statements.
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THE GABELLI GLOBAL GOLD, NATURAL RESOURCES & INCOME TRUST SCHEDULE OF INVESTMENTS (Continued) June 30, 2010 (Unaudited)
| Principal — Amount | Cost | Market — Value | ||
|---|---|---|---|---|
| U.S. GOVERNMENT OBLIGATIONS 12.4% | ||||
| U.S. Treasury Bills 11.6% | ||||
| $ 91,998,000 | U.S. Treasury Bills, | |||
| 0.066% to 0.223%, | ||||
| 07/22/10 to 12/16/10 (a) | $ 91,969,580 | $ 91,967,122 | ||
| U.S. Treasury Cash Management | ||||
| Bills 0.8% | ||||
| 6,000,000 | U.S. Treasury Cash Management Bill, | |||
| 0.152%, 07/15/10 (a) | 5,999,650 | 5,999,650 | ||
| TOTAL U.S. GOVERNMENT | ||||
| OBLIGATIONS | 97,969,230 | 97,966,772 | ||
| TOTAL INVESTMENTS 100.0% | $ 837,736,793 | 791,990,002 | ||
| CALL OPTIONS WRITTEN (Premiums received $27,203,811) | (21,177,453 | ) | ||
| PUT OPTIONS WRITTEN (Premiums received $7,856,564) | (10,493,460 | ) | ||
| Other Assets and Liabilities (Net) | 2,890,117 | |||
| PREFERRED STOCK (3,955,687 preferred shares outstanding) | (98,892,175 | ) | ||
| NET ASSETS COMMON STOCK (45,016,217 common shares outstanding) | $ 664,317,031 | |||
| NET ASSET VALUE PER COMMON SHARE ($664,317,031 ÷ 45,016,217 shares outstanding) | $ 14.76 |
| Number of | Expiration Date/ | Market | |
|---|---|---|---|
| Contracts | Exercise Price | Value | |
| OPTION CONTRACTS WRITTEN (4.0)% | |||
| Call Options Written (2.7)% | |||
| 1,435 | Agnico-Eagle Mines Ltd. | Aug. 10/65 | $ 287,000 |
| 1,000 | Agnico-Eagle Mines Ltd. | Nov. 10/65 | 437,500 |
| 1,500 | Agnico-Eagle Mines Ltd. | Nov. 10/70 | 435,000 |
| 550 | Agnico-Eagle Mines Ltd. | Jan. 11/65 | 314,875 |
| 135 | Anglo American plc(f) | Jul. 10/30 | 14,119 |
| 135 | Anglo American plc(f) | Sep. 10/26 | 172,960 |
| 123 | Anglo American plc(f) | Sep. 10/28 | 74,888 |
| 5,635 | AngloGold Ashanti Ltd., | ||
| ADR | Oct. 10/45 | 1,493,275 | |
| 200 | Antofagasta plc(f) | Sep. 10/9.11 | 64,889 |
| 145 | Antofagasta plc(f) | Sep. 10/9.50 | 22,702 |
| 160 | Antofagasta plc(f) | Dec. 10/9.50 | 78,470 |
| 500 | Apache Corp. | Oct. 10/105 | 62,500 |
| 220 | Apache Corp. | Jan. 11/100 | 99,000 |
| 630 | Baker Hughes Inc. | Jul. 10/50 | 3,150 |
| 1,430 | Baker Hughes Inc. | Oct. 10/50 | $ 185,900 |
| 2,879 | Barrick Gold Corp. | Jul. 10/44 | 719,750 |
| 1,275 | Barrick Gold Corp. | Jul. 10/48 | 58,650 |
| 750 | Barrick Gold Corp. | Jan. 11/49 | 270,000 |
| 402 | BG Group plc(f) | Jul. 10/11.50 | 10,511 |
| 1,070 | BHP Billiton Ltd., ADR | Aug. 10/67.50 | 201,160 |
| 520 | BHP Billiton Ltd., ADR | Nov. 10/70 | 185,120 |
| 1,659 | BP plc, ADR | Jul. 10/50 | 3,318 |
| 1,000 | Chesapeake Energy Corp. | Jul. 10/27 | 1,000 |
| 650 | Chevron Corp. | Sep. 10/85 | 7,150 |
| 500 | Chevron Corp. | Jan. 11/70 | 252,500 |
| 1,100 | Compania de Minas | ||
| Buenaventura SA, ADR | Dec. 10/40 | 401,500 | |
| 980 | ConocoPhillips | Aug. 10/55 | 49,000 |
| 300 | ConocoPhillips | Jan. 11/60 | 33,000 |
| 6,900 | Consolidated Thompson | ||
| Iron Mines Ltd.(g) | Oct. 10/11 | 81,020 | |
| 1,688 | Devon Energy Corp. | Oct. 10/70 | 305,528 |
| 200 | Devon Energy Corp. | Oct. 10/75 | 20,800 |
| 690 | Diamond Offshore | ||
| Drilling Inc. | Sep. 10/76.75 | 72,450 | |
| 4,000 | El Paso Corp. | Jul. 10/12 | 40,000 |
| 500 | El Paso Corp. | Oct. 10/12 | 35,500 |
| 3,500 | Eldorado Gold Corp.(g) | Nov. 10/16 | 1,315,110 |
| 1,750 | Equinox Minerals Ltd.(g) | Jul. 10/4 | 14,795 |
| 910 | Exxon Mobil Corp. | Oct. 10/70 | 22,750 |
| 1,670 | Franco-Nevada Corp.(g). | Jul. 10/30 | 400,028 |
| 2,287 | Freeport-McMoRan Copper | ||
| & Gold Inc. | Aug. 10/85 | 34,305 | |
| 435 | Gold Fields Ltd., ADR | Jul. 10/13 | 31,755 |
| 4,500 | Gold Fields Ltd., ADR | Jul. 10/14 | 94,500 |
| 6,980 | Gold Fields Ltd., ADR | Jul. 10/15 | 34,900 |
| 7,500 | Gold Fields Ltd., ADR | Oct. 10/14 | 592,500 |
| 2,900 | Goldcorp Inc. | Jul. 10/48 | 72,500 |
| 1,000 | Goldcorp Inc. | Oct. 10/46 | 292,000 |
| 700 | Halliburton Co. | Jul. 10/36 | 1,400 |
| 1,800 | Halliburton Co. | Jul. 10/37 | 5,400 |
| 1,300 | Halliburton Co. | Oct. 10/30 | 137,800 |
| 3,461 | Harmony Gold Mining | ||
| Co. Ltd., ADR | Oct. 10/10.50 | 298,927 | |
| 1,500 | Harmony Gold Mining | ||
| Co. Ltd., ADR | Nov. 10/11 | 127,500 | |
| 1,000 | Harmony Gold Mining | ||
| Co. Ltd., ADR | Jan. 11/10 | 152,500 | |
| 5,000 | Harmony Gold Mining | ||
| Co. Ltd., ADR | Jan. 11/11 | 525,000 | |
| 500 | Hess Corp. | Nov. 10/55 | 161,250 |
| 2,850 | IAMGOLD Corp. | Sep. 10/17.50 | 498,750 |
| 850 | Imperial Oil Ltd. | Aug. 10/40 | 77,051 |
| 1,500 | Imperial Oil Ltd.(g) | Aug. 10/42 | 50,021 |
See accompanying notes to financial statements.
Folio 5 /Folio
PAGEBREAK
THE GABELLI GLOBAL GOLD, NATURAL RESOURCES & INCOME TRUST SCHEDULE OF INVESTMENTS (Continued) June 30, 2010 (Unaudited)
| Number of | Expiration Date/ | Market | |
|---|---|---|---|
| Contracts | Exercise Price | Value | |
| OPTION CONTRACTS WRITTEN (Continued) | |||
| Call Options Written (Continued) | |||
| 2,000 | Ivanhoe Mines Ltd. | Dec. 10/12 | $ 510,000 |
| 3,000 | Ivanhoe Mines Ltd. | Jan. 11/15 | 420,000 |
| 7,675 | Kinross Gold Corp. | Aug. 10/20 | 199,550 |
| 3,300 | Kinross Gold Corp. | Nov. 10/21 | 178,200 |
| 1,800 | Marathon Oil Corp. | Jul. 10/35 | 9,000 |
| 300 | Murphy Oil Corp. | Jul. 10/60 | 3,000 |
| 2,250 | Murphy Oil Corp. | Oct. 10/60 | 180,000 |
| 2,000 | Nabors Industries Ltd. | Sep. 10/22 | 70,000 |
| 1,200 | Nabors Industries Ltd. | Sep. 10/23 | 32,400 |
| 410 | Newcrest Mining Ltd.(h) | Aug. 10/39.64 | 114,303 |
| 670 | Newcrest Mining Ltd.(h) | Sep. 10/37 | 507,576 |
| 500 | Newmont Mining Corp. | Sep. 10/50 | 650,000 |
| 200 | Newmont Mining Corp. | Sep. 10/57.50 | 135,000 |
| 900 | Newmont Mining Corp. | Sep. 10/60 | 472,500 |
| 1,300 | Newmont Mining Corp. | Jan. 11/62.50 | 850,200 |
| 500 | Nexen Inc. | Sep. 10/22.50 | 23,750 |
| 600 | Nexen Inc. | Sep. 10/25 | 7,500 |
| 600 | Noble Corp. | Sep. 10/44 | 6,000 |
| 1,350 | Noble Corp. | Dec. 10/35 | 297,000 |
| 2,430 | Noble Corp. | Dec. 10/43 | 121,500 |
| 613 | Peabody Energy Corp. | Dec. 10/46 | 165,510 |
| 2,000 | Randgold Resources Ltd., | ||
| ADR | Dec. 10/105 | 1,280,000 | |
| 1,000 | Red Back Mining Inc.(g) | Jul. 10/26 | 140,905 |
| 3,490 | Red Back Mining Inc.(g) | Jul. 10/27 | 311,446 |
| 2,000 | Rio Tinto plc, ADR | Jul. 10/60 | 6,000 |
| 336 | Rio Tinto plc, ADR | Oct. 10/57.50 | 22,680 |
| 336 | Rio Tinto plc, ADR | Oct. 10/60 | 17,640 |
| 600 | Rio Tinto plc, ADR | Dec. 10/57.50 | 114,726 |
| 2,000 | Rowan Companies Inc. | Oct. 10/25 | 230,000 |
| 92 | Royal Dutch Shell plc, | ||
| Cl. A(f) | Dec. 10/19 | 41,924 | |
| 92 | Royal Dutch Shell plc, | ||
| Cl. A(f) | Dec. 10/20 | 20,962 | |
| 275 | Royal Gold Inc. | Jul. 10/45 | 94,875 |
| 200 | Royal Gold Inc. | Jul. 10/50 | 14,000 |
| 1,642 | Royal Gold Inc. | Jul. 10/55 | 16,420 |
| 712 | Sasol Ltd., ADR | Sep. 10/40 | 92,560 |
| 800 | Sasol Ltd., ADR | Dec. 10/40 | 168,000 |
| 6,145 | Suncor | ||
| Energy Inc. | Sep. 10/36 | 319,540 | |
| 650 | Suncor | ||
| Energy Inc. | Dec. 10/36 | 72,800 | |
| 400 | Technip SA(i) | Sep. 10/60 | 12,718 |
| 600 | Technip SA(i) | Dec. 10/59 | 157,748 |
| 1,290 | Tesoro Corp. | Aug. 10/17 | 12,900 |
| 1,429 | Tesoro Corp. | Nov. 10/18 | 14,290 |
| 1,290 | Tesoro Corp. | Jan. 11/17.50 | 32,250 |
| 2,600 | The Williams | ||
| Companies Inc. | Aug. 10/22.50 | 28,600 | |
| 150 | Total SA, ADR | Aug. 10/65 | 1,200 |
| 1,355 | Transocean Ltd. | Nov. 10/80 | 55,555 |
| 250 | Tullow Oil plc(f) | Sep. 10/13 | 22,411 |
| 10 | Tullow Oil plc(f) | Dec. 10/12 | 5,715 |
| 130 | Tullow Oil plc(f) | Dec. 10/13 | 42,246 |
| 500 | Vale SA, ADR | Sep. 10/34 | 4,250 |
| 1,387 | Vale SA, ADR | Dec. 10/32 | 88,768 |
| 3,361 | Valero Energy Corp. | Sep. 10/19 | 322,656 |
| 3,210 | Weatherford | ||
| International Ltd. | Aug. 10/18 | 19,260 | |
| 2,310 | Weatherford | ||
| International Ltd. | Nov. 10/18 | 78,540 | |
| 972 | Xstrata plc(f) | Jul. 10/11 | 39,937 |
| 150 | Xstrata plc(f) | Dec. 10/11 | 99,731 |
| 150 | Xstrata plc(f) | Dec. 10/12 | 59,951 |
| 5,723 | Yamana Gold Inc. | Oct. 10/11 | 406,333 |
| 8,000 | Yamana Gold Inc. | Oct. 10/12 | 320,000 |
| TOTAL CALL OPTIONS WRITTEN (Premiums received $27,203,811) | $ 21,177,453 | ||
| Put Options Written (1.3)% | |||
| 1,000 | Agnico-Eagle Mines Ltd. | Nov. 10/50 | $ 210,000 |
| 100 | AngloGold Ashanti Ltd., | ||
| ADR | Oct. 10/35 | 8,500 | |
| 500 | AngloGold Ashanti Ltd., | ||
| ADR | Oct. 10/36 | 46,435 | |
| 350 | Baker Hughes Inc. | Oct. 10/36 | 80,500 |
| 475 | Barrick Gold Corp. | Oct. 10/36 | 38,000 |
| 250 | BP plc, ADR | Jan. 11/35 | 235,000 |
| 420 | Cameron International Corp. | Nov. 10/35 | 241,500 |
| 400 | Chevron Corp. | Jan. 11/65 | 214,000 |
| 300 | Compania de Minas | ||
| Buenaventura SA, ADR | Dec. 10/30 | 33,750 | |
| 300 | Devon Energy Corp. | Oct. 10/65 | 228,750 |
| 150 | Diamond Offshore | ||
| Drilling Inc. | Dec. 10/55 | 74,250 | |
| 220 | Diamond Offshore | ||
| Drilling Inc. | Jan. 11/68 | 261,800 | |
| 500 | Eldorado Gold Corp.(g) | Nov. 10/15 | 26,537 |
| 230 | Exxon Mobil Corp. | Jan. 11/65 | 231,150 |
| 850 | Franco-Nevada Corp.(g) | Oct. 10/25 | 11,577 |
| 500 | Freeport-McMoRan Copper | ||
| & Gold Inc. | Jan. 11/60 | 447,000 | |
| 500 | Freeport-McMoRan Copper | ||
| & Gold Inc. | Jan. 11/65 | 632,000 | |
| 4,500 | Gold Fields Ltd., ADR | Oct. 10/11 | 141,750 |
| 1,200 | Goldcorp Inc. | Oct. 10/34 | 87,600 |
| 700 | Halliburton Co. | Oct. 10/29 | 388,500 |
| 1,000 | Halliburton Co. | Jan. 11/25 | 400,000 |
| 1,750 | Harmony Gold Mining Co. | ||
| Ltd., ADR | Jan. 11/9 | 105,000 | |
| 250 | Hess Corp. | Aug. 10/45 | 31,250 |
| 400 | IAMGOLD Corp.(g) | Nov. 10/15 | 25,175 |
See accompanying notes to financial statements.
Folio 6 /Folio
PAGEBREAK
THE GABELLI GLOBAL GOLD, NATURAL RESOURCES & INCOME TRUST SCHEDULE OF INVESTMENTS (Continued) June 30, 2010 (Unaudited)
| Number of | Expiration Date/ | Market | |
|---|---|---|---|
| Contracts | Exercise Price | Value | |
| OPTION CONTRACTS | |||
| WRITTEN (Continued) | |||
| Put Options | |||
| Written (Continued) | |||
| 2,750 | Ivanhoe Mines Ltd. | Sep. 10/15 | $ 728,750 |
| 1,600 | Kinross Gold Corp. | Nov. 10/15 | 148,800 |
| 665 | Kinross Gold Corp. | Jan. 11/15 | 82,128 |
| 500 | Murphy Oil Corp. | Oct. 10/55 | 375,000 |
| 700 | Nabors Industries Ltd. | Dec. 10/19 | 224,000 |
| 225 | Nexen Inc. | Dec. 10/20 | 52,312 |
| 225 | Noble Corp. | Dec. 10/28 | 57,375 |
| 420 | Noble Corp. | Dec. 10/36 | 291,900 |
| 350 | Oil Service HOLDRS (SM) | ||
| Trust | Jan. 11/99.10 | 514,500 | |
| 330 | Oil Service HOLDRS (SM) | ||
| Trust | Jan. 12/104.10 | 839,025 | |
| 500 | PetroHawk Energy Corp. | Jan. 11/16 | 108,500 |
| 1,000 | Petroleo Brasileiro SA, | ||
| ADR | Oct. 10/40 | 635,000 | |
| 300 | Petroleo Brasileiro SA, | ||
| ADR | Jan. 11/33 | 117,000 | |
| 100 | Randgold Resources Ltd., | ||
| ADR | Dec. 10/75 | 31,500 | |
| 400 | Red Back Mining Inc.(g) | Jan. 11/21 | 35,696 |
| 500 | Rio Tinto plc, ADR | Jan. 11/40 | 235,000 |
| 1,200 | Rowan Companies Inc. | Oct. 10/27.50 | 732,000 |
| 500 | Royal Gold Inc. | Oct. 10/45 | 122,500 |
| 500 | Transocean Ltd. | Jan. 11/50 | 562,500 |
| 200 | Ultra Petroleum Corp. | Sep. 10/45 | 82,000 |
| 400 | Vale SA, ADR | Jan. 11/22.50 | 102,400 |
| 600 | Weatherford | ||
| International Ltd. | Jan. 11/12.50 | 103,500 | |
| 1,350 | Yamana Gold Inc. | Jan. 11/9 | 112,050 |
| TOTAL PUT | |||
| OPTIONS WRITTEN (Premiums | |||
| received $7,856,564) | $ 10,493,460 |
| (a) | Securities, or a portion thereof, with a value of $232,353,071 were pledged as collateral for
options written. |
| --- | --- |
| (b) | At June 30, 2010, the Fund held investments in restricted securities amounting to $828,815 or
0.10% of total investments, which were valued under methods approved by the Board of Trustees as
follows: |
| Acquisition — Shares/ | 06/30/10 | |||
|---|---|---|---|---|
| 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 | | |
| $ 4,144,074 | Comanche Energy Inc., | |||
| PIK, 15.500%, 06/13/13 | 06/17/08 | 3,919,074 | $ 20.0000 |
| (c) | 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 June 30, 2010, the market value of
fair valued securities amounted to $1,899,584 or 0.24% of total investments. |
| --- | --- |
| (d) | Illiquid security. |
| (e) | Security exempt from registration under Rule 144A of the Securities Act of 1933, as amended.
These securities may be resold in transactions exempt from registration, normally to qualified
institutional buyers. At June 30, 2010, the market value of Rule 144A securities amounted to
$6,733,960 or 0.85% of total investments. |
| (f) | Exercise price denoted in British Pounds. |
| (g) | Exercise price denoted in Canadian dollars. |
| (h) | Exercise price denoted in Australian dollars. |
| (i) | 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 | 60.6 | % | $ 479,985,191 | |
| Europe | 19.0 | 150,710,537 | ||
| South Africa | 9.7 | 76,870,927 | ||
| Asia/Pacific | 6.5 | 51,135,917 | ||
| Latin America | 4.2 | 33,287,430 | ||
| Total Investments | 100.0 | % | $ 791,990,002 | |
| Short Positions | ||||
| North America | (2.6 | )% | $ (21,014,944 | ) |
| Europe | (0.6 | ) | (4,482,076 | ) |
| South Africa | (0.5 | ) | (3,858,166 | ) |
| Latin America | (0.2 | ) | (1,307,568 | ) |
| Asia/Pacific | (0.1 | ) | (1,008,159 | ) |
| Total Investments | (4.0 | )% | $ (31,670,913 | ) |
See accompanying notes to financial statements.
Folio 7 /Folio
PAGEBREAK
THE GABELLI GLOBAL GOLD, NATURAL RESOURCES & INCOME TRUST
STATEMENT OF ASSETS AND LIABILITIES June 30, 2010 (Unaudited)
| Assets: — Investments, at value (cost $837,736,793) | $ 791,990,002 | |
|---|---|---|
| Foreign currency, at value (cost $488,499) | 476,880 | |
| Deposit at brokers | 2,716,911 | |
| Receivable for Fund shares issued | 4,625,939 | |
| Dividends and interest receivable | 822,685 | |
| Deferred offering expense | 285,833 | |
| Prepaid expense | 8,773 | |
| Total Assets | 800,927,023 | |
| Liabilities: | ||
| Call options written (premiums received $27,203,811) | 21,177,453 | |
| Put options written (premiums received $7,856,564) | 10,493,460 | |
| Payable to custodian | 77,449 | |
| Payable for investments purchased | 4,424,805 | |
| Distributions payable | 54,597 | |
| Payable for investment advisory fees | 626,549 | |
| Payable for payroll expenses | 30,049 | |
| Payable for accounting fees | 7,500 | |
| Payable for offering costs for issuance of | ||
| common shares | 552,088 | |
| Other accrued expenses | 273,867 | |
| Total Liabilities | 37,717,817 | |
| Preferred Shares: | ||
| Series A Cumulative Preferred Shares (6.625%, $25 | ||
| liquidation value, $0.001 par value, 4,000,000 shares | ||
| authorized with 3,955,687 shares issued | ||
| and outstanding) | 98,892,175 | |
| Net Assets Attributable to Common Shareholders | $ 664,317,031 | |
| Net Assets Attributable to Common Shareholders | ||
| Consist of: | ||
| Paid-in capital | $ 712,272,461 | |
| Accumulated distributions in excess of | ||
| net investment income | (3,329,526 | ) |
| Accumulated net realized loss on investments, | ||
| written options, and foreign currency transactions | (2,297,929 | ) |
| Net unrealized depreciation on investments | (45,746,791 | ) |
| Net unrealized appreciation on written options | 3,389,462 | |
| Net unrealized appreciation on foreign currency | ||
| translations | 29,354 | |
| Net Assets | $ 664,317,031 | |
| Net Asset Value per Common Share: | ||
| ($664,317,031 ÷ 45,016,217 shares outstanding, at $0.001 | ||
| par value; unlimited number of shares authorized) | $ 14.76 |
STATEMENT OF OPERATIONS For the Six Months Ended June 30, 2010 (Unaudited)
| Investment Income: — Dividends (net of foreign taxes of $178,635) | $ 3,619,236 | |
|---|---|---|
| Interest | 1,865,655 | |
| Total Investment Income | 5,484,891 | |
| Expenses: | ||
| Investment advisory fees | 3,385,553 | |
| Offering expense for issuance of common shares | 256,416 | |
| Shareholder communications expenses | 130,506 | |
| Legal and audit fees | 90,776 | |
| Payroll expenses | 72,730 | |
| Trustees fees | 51,190 | |
| Custodian fees | 28,897 | |
| Accounting fees | 22,500 | |
| Shareholder services fees | 11,255 | |
| Interest expense | 1,248 | |
| Miscellaneous expenses | 55,013 | |
| Total Expenses | 4,106,084 | |
| Net Investment Income | 1,378,807 | |
| Net Realized and Unrealized Gain/(Loss) on Investments, | ||
| Written Options, and Foreign Currency: | ||
| Net realized gain on investments | 8,585,475 | |
| Net realized gain on written options | 21,690,591 | |
| Net realized loss on foreign currency transactions | (147,850 | ) |
| Net realized gain on investments, written options, | ||
| and foreign currency transactions | 30,128,216 | |
| Net change in unrealized appreciation/depreciation: | ||
| on investments | (52,942,093 | ) |
| on written options | (1,792,870 | ) |
| on foreign currency translations | 31,812 | |
| Net change in unrealized appreciation/depreciation on | ||
| investments, written options, and foreign | ||
| currency translations | (54,703,151 | ) |
| Net Realized and Unrealized Gain/(Loss) on Investments, | ||
| Written Options, and Foreign Currency | (24,574,935 | ) |
| Net Decrease in Net Assets Resulting | ||
| from Operations | (23,196,128 | ) |
| Total Distributions to Preferred Shareholders | (3,257,604 | ) |
| Net Decrease in Net Assets Attributable to Common | ||
| Shareholders Resulting from Operations | $ (26,453,732 | ) |
See accompanying notes to financial statements.
Folio 8 /Folio
PAGEBREAK
THE GABELLI GLOBAL GOLD, NATURAL RESOURCES & INCOME TRUST
STATEMENT OF CHANGES IN NET ASSETS ATTRIBUTABLE TO COMMON SHAREHOLDERS
| Six Months Ended — June 30, 2010 | Year Ended | |||
|---|---|---|---|---|
| (Unaudited) | December 31, 2009 | |||
| Operations: | ||||
| Net investment income | $ 1,378,807 | $ | 4,477,578 | |
| Net realized gain on investments, swap contracts, securities sold short, | ||||
| written options, | ||||
| and foreign currency transactions | 30,128,216 | 34,962,624 | ||
| Net change in unrealized appreciation/depreciation on investments, swap | ||||
| contracts, | ||||
| and foreign currency translations | (54,703,151 | ) | 121,828,743 | |
| Net | ||||
| Increase/(Decrease) in Net Assets Resulting from Operations | (23,196,128 | ) | 161,268,945 | |
| Distributions to Preferred Shareholders: | ||||
| Net investment income | (162,880) | * | (2,417,976 | ) |
| Net realized short-term gain | (3,094,724) | * | (2,540,474 | ) |
| Net realized long-term gain | | (1,556,710 | ) | |
| Total Distributions to Preferred Shareholders | (3,257,604 | ) | (6,515,160 | ) |
| Net Increase/(Decrease) in Net Assets Attributable to Common Shareholders | ||||
| Resulting from Operations | (26,453,732 | ) | 154,753,785 | |
| Distributions to Common Shareholders: | ||||
| Net investment income | (1,261,226) | * | (5,972,068 | ) |
| Net realized short-term gain | (23,332,678) | * | (6,274,624 | ) |
| Net realized long-term gain | | (3,844,859 | ) | |
| Return of capital | (6,936,742) | * | (22,238,654 | ) |
| Total Distributions to Common Shareholders | (31,530,646 | ) | (38,330,205 | ) |
| Fund Share Transactions: | ||||
| Net increase | ||||
| in net assets from common shares issued in offering | 196,760,006 | 207,850,594 | ||
| Net increase | ||||
| in net assets from common shares issued upon reinvestment of distributions | 4,386,941 | 6,768,233 | ||
| Net increase in net assets attributable to | ||||
| common shareholders from repurchase of preferred shares | | 2,734 | ||
| Net | ||||
| Increase in Net Assets from Fund Share Transactions | 201,146,947 | 214,621,561 | ||
| Net | ||||
| Increase in Net Assets Attributable to Common Shareholders | 143,162,569 | 331,045,141 | ||
| Net Assets Attributable to Common Shareholders: | ||||
| Beginning of period | 521,154,462 | 190,109,321 | ||
| End of | ||||
| period (including undistributed net investment income of $0 and $0, respectively) | $ 664,317,031 | $ | 521,154,462 |
See accompanying notes to financial statements.
Folio 9 /Folio
PAGEBREAK
THE GABELLI GLOBAL GOLD, NATURAL RESOURCES & INCOME TRUST FINANCIAL HIGHLIGHTS
Selected data for a share of beneficial interest outstanding throughout each period:
| Six Months Ended | ||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| June 30, 2010 | Year Ended December 31, | Period Ended | ||||||||||
| (Unaudited) | 2009 | 2008 | 2007 | 2006 | December 31, 2005 (f) | |||||||
| Operating Performance: | ||||||||||||
| Net asset value, beginning of period | $ 15.91 | $ | 10.39 | $ | 29.48 | $ | 24.10 | $ | 21.99 | $ | 19.06 | (g) |
| Net investment income/(loss) | 0.06 | 0.12 | 0.10 | (0.02 | ) | 0.08 | 0.08 | |||||
| Net realized and unrealized gain/(loss) on investments, | ||||||||||||
| swap contracts, securities sold short, written options, | ||||||||||||
| and foreign currency transactions | (0.29 | ) | 7.06 | (17.18 | ) | 7.61 | 3.77 | 4.01 | ||||
| Total from investment operations | (0.23 | ) | 7.18 | (17.08 | ) | 7.59 | 3.85 | 4.09 | ||||
| Distributions to Preferred Shareholders: (a) | ||||||||||||
| Net investment income | 0.00(d) | * | (0.11 | ) | (0.08 | ) | (0.01 | ) | | | ||
| Net realized gain | (0.08) | * | (0.18 | ) | (0.28 | ) | (0.07 | ) | | | ||
| Total distributions to preferred shareholders | (0.08 | ) | (0.29 | ) | (0.36 | ) | (0.08 | ) | | | ||
| Distributions to Common Shareholders: | ||||||||||||
| Net investment income | (0.03) | * | (0.26 | ) | (0.13 | ) | (0.15 | ) | | (0.07 | ) | |
| Net realized gain | (0.62) | * | (0.45 | ) | (0.48 | ) | (1.78 | ) | (1.74 | ) | (1.09 | ) |
| Return of capital | (0.19) | * | (0.97 | ) | (1.07 | ) | | | | |||
| Total distributions to common shareholders | (0.84 | ) | (1.68 | ) | (1.68 | ) | (1.93 | ) | (1.74 | ) | (1.16 | ) |
| Fund Share Transactions: | ||||||||||||
| Increase/(decrease) in net asset value from common | ||||||||||||
| share transactions | 0.00 | (d) | 0.31 | 0.01 | 0.00 | (d) | | (0.00 | )(d) | |||
| Increase in net asset value from repurchases of | ||||||||||||
| preferred shares | | 0.00 | (d) | 0.01 | | | | |||||
| Offering costs for preferred shares charged to | ||||||||||||
| paid-in capital | | | 0.01 | (0.20 | ) | | | |||||
| Total fund share transactions | 0.00 | (d) | 0.31 | 0.03 | (0.20 | ) | | (0.00 | )(d) | |||
| Net Asset Value, End of Period | $ 14.76 | $ | 15.91 | $ | 10.39 | $ | 29.48 | $ | 24.10 | $ | 21.99 | |
| NAV total return | (2.20 | )% | 74.36 | % | (61.59 | )% | 31.47 | % | 18.29 | % | 22.0 | %** |
| Market value, end of period | $ 15.67 | $ | 16.34 | $ | 13.10 | $ | 29.15 | $ | 24.60 | $ | 21.80 | |
| Investment | ||||||||||||
| total return | 1.12 | % | 40.14 | % | (50.94 | )% | 27.40 | % | 21.86 | % | 15.2 | %*** |
See accompanying notes to financial statements.
Folio 10 /Folio
PAGEBREAK
THE GABELLI GLOBAL GOLD, NATURAL RESOURCES & INCOME TRUST FINANCIAL HIGHLIGHTS (Continued)
Selected data for a share of beneficial interest outstanding throughout each period:
| Six Months Ended | |||||||||
|---|---|---|---|---|---|---|---|---|---|
| June 30, 2010 | Year Ended December 31, | Period Ended | |||||||
| (Unaudited) | 2009 | 2008 | 2007 | 2006 | December 31, 2005 (f) | ||||
| Ratios to Average Net Assets and Supplemental Data: | |||||||||
| Net assets including liquidation value of preferred shares, | |||||||||
| end of period (in 000s) | $ 763,209 | $ | 620,047 | $ 289,046 | $ 633,253 | | | ||
| Net assets attributable to common shares, | |||||||||
| end of period (in 000s) | $ 664,317 | $ | 521,155 | $ 190,109 | $ 533,253 | $ | 432,741 | $ 390,209 | |
| Ratio of net investment income/(loss) to average | |||||||||
| net assets attributable to common shares | 0.48 | %(e) | 1.44 % | 0.39 % | (0.09 | )% | 0.42 % | 0.47 | %(e) |
| Ratio of operating expenses to average net assets | |||||||||
| attributable to common shares (b) | 1.42 | %(e) | 1.78 % | 1.69 % | 1.45 | % | 1.17 % | 1.15 | %(e) |
| Ratio of operating expenses to average net assets | |||||||||
| including liquidation value of preferred shares (b) | 1.21 | %(e) | 1.35 % | 1.37 % | 1.39 | % | | | |
| Portfolio | |||||||||
| turnover rate | 17.0 | % | 61.0 % | 41.5 % | 71.3 | % | 114.8 % | 142.5 | % |
| Preferred Shares: | |||||||||
| 6.625% Series A Cumulative Preferred Shares | |||||||||
| Liquidation value, end of period (in 000s) | $ 98,892 | $ | 98,892 | $ 98,937 | $ 100,000 | | | ||
| Total shares outstanding (in 000s) | 3,956 | 3,956 | 3,957 | 4,000 | | | |||
| Liquidation preference per share | $ 25.00 | $ | 25.00 | $ 25.00 | $ 25.00 | | | ||
| Average market value (c) | $ 25.67 | $ | 24.60 | $ 24.10 | $ 24.16 | | | ||
| Asset coverage per share | $ 192.94 | $ | 156.75 | $ 73.04 | $ 158.31 | | | ||
| Asset coverage | 772 | % | 627 % | 292 % | 633 | % | | |
| | Based on net asset value per share, adjusted for reinvestment of distributions at the net asset
value per share on the ex-dividend dates. Total return for a period of less than one year is not
annualized. |
| --- | --- |
| | Based on market value per share, adjusted for reinvestment of distributions at prices determined
under the Funds dividend reinvestment plan. Total return for a period of less than one year is not
annualized. |
| | Effective in 2008, a change in accounting policy was adopted with regard to the calculation of
the portfolio turnover rate to include cash proceeds due to mergers. Had this policy been adopted
retroactively, the portfolio turnover rate for the year ended December 31, 2007 and the period
ended December 31, 2005 would have been 77.7% and 143.3%, respectively. The portfolio turnover rate
for the year ended 2006 would have been as shown. |
| * | Based on year to date book income. Amounts are subject to change and recharacterization at year
end. |
| ** | Based on net asset value per share at commencement of operations of $19.06 per share. |
| *** | Based on market value per share at initial public offering of $20.00 per share. |
| (a) | Calculated based upon average common shares outstanding on the record dates throughout the
periods. |
| (b) | The Fund incurred interest expense during the years ended December 31, 2008, 2007, and 2006. If
interest expense had not been incurred, the ratio of operating expenses to average net assets
attributable to common shares would have been 1.54%, 1.33%, and 1.16%, respectively, and for 2008
and 2007, the ratio of operating expenses to average net assets including liquidation value of
preferred shares would have been 1.25% and 1.27%, respectively. For the six months ended June 30,
2010 and the year ended December 31, 2009, the effect of interest expense was minimal. |
| (c) | Based on weekly prices. |
| (d) | Amount represents less than $0.005 per share. |
| (e) | Annualized. |
| (f) | The Fund commenced investment operations on March 31, 2005. |
| (g) | The beginning of period NAV reflects a $0.04 reduction for costs associated with the initial
public offering. |
See accompanying notes to financial statements.
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THE GABELLI GLOBAL GOLD, NATURAL RESOURCES & INCOME TRUST NOTES TO FINANCIAL STATEMENTS (Unaudited)
1. Organization. The Gabelli Global Gold, Natural Resources & Income Trust (the Fund) is a non-diversified closed-end management investment company organized as a Delaware statutory trust on January 4, 2005 and registered under the Investment Company Act of 1940, as amended (the 1940 Act). Investment operations commenced on March 31, 2005.
The Funds primary investment objective is to provide a high level of current income. The Funds secondary investment objective is to seek capital appreciation consistent with the Funds strategy and its primary objective. Under normal market conditions, the Fund will attempt to achieve its objectives by investing 80% of its assets in equity securities of companies principally engaged in the gold and natural resources industries. As part of its investment strategy, the Fund intends to earn income through an option strategy of writing (selling) covered call options on equity securities in its portfolio. The Fund anticipates that it will invest at least 25% of its assets in the equity securities of companies principally engaged in the exploration, mining, fabrication, processing, distribution, or trading of gold, or the financing, managing and controlling, or operating of companies engaged in gold related activities (Gold Companies). In addition, the Fund anticipates that it will invest at least 25% of its assets in the equity securities of companies principally engaged in the exploration, production, or distribution of natural resources, such as gas and oil, paper, food and agriculture, forestry products, metals, and minerals as well as related transportation companies and equipment manufacturers (Natural Resources Companies). The Fund may invest in the securities of companies located anywhere in the world.
The Fund may invest a high percentage of its assets in specific sectors of the market in order to achieve a potentially greater investment return. As a result, the Fund may be more susceptible to economic, political, and regulatory developments in a particular sector of the market, positive or negative, and may experience increased volatility to the Funds NAV and a magnified effect in its total return.
2. Significant Accounting Policies. The Financial Accounting Standards Board (FASB) Accounting Standards Codification (ASC) has become the exclusive reference of authoritative United States of America (U.S.) generally accepted accounting principles (GAAP) recognized by the FASB to be applied by nongovernmental entities. Rules and interpretive releases of the SEC under authority of federal laws are also sources of authoritative GAAP for SEC registrants. The ASC has superseded all existing non-SEC accounting and reporting standards. The Funds financial statements are prepared in accordance with 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
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THE GABELLI GLOBAL GOLD, NATURAL RESOURCES & INCOME TRUST NOTES TO FINANCIAL STATEMENTS (Continued) (Unaudited)
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). |
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 June 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 6/30/10 | ||||
| INVESTMENTS IN SECURITIES: | |||||||
| ASSETS (Market Value): | |||||||
| Common Stocks: | |||||||
| Energy and Energy Services | $ 225,231,055 | | $ 0 | $ 225,231,055 | |||
| Other Industries (a) | 429,364,495 | | | 429,364,495 | |||
| Total Common Stocks | 654,595,550 | | 0 | 654,595,550 | |||
| Convertible Preferred Stocks (a) | 3,164,050 | | | 3,164,050 | |||
| Warrants: | |||||||
| Energy and Energy Services | | | 0 | 0 | |||
| Metals and Mining | 328,777 | $ 665,774 | | 994,551 | |||
| Total Warrants | 328,777 | 665,774 | 0 | 994,551 | |||
| Convertible Corporate Bonds | | 12,980,117 | | 12,980,117 | |||
| Corporate Bonds | | 21,460,147 | 828,815 | 22,288,962 | |||
| U.S. Government Obligations | | 97,966,772 | | 97,966,772 | |||
| TOTAL INVESTMENTS IN SECURITIES ASSETS | $ 658,088,377 | $ 133,072,810 | $ 828,815 | $ 791,990,002 | |||
| INVESTMENTS IN SECURITIES: | |||||||
| LIABILITIES (Market Value): | |||||||
| EQUITY CONTRACTS: | |||||||
| Call Options Written | $ (15,380,337 | ) | $ (5,797,116 | ) | $ | $ (21,177,453 | ) |
| Put Options Written | (3,564,875 | ) | (6,928,585 | ) | | (10,493,460 | ) |
| TOTAL INVESTMENTS IN SECURITIES LIABILITIES | $ (18,945,212 | ) | $ (12,725,701 | ) | $ | $ (31,670,913 | ) |
(a) Please refer to the Schedule of Investments for the industry classifications of these portfolio holdings.
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THE GABELLI GLOBAL GOLD, NATURAL RESOURCES & INCOME TRUST NOTES TO FINANCIAL STATEMENTS (Continued) (Unaudited)
The Fund did not have significant transfers between Level 1 and Level 2 during the reporting period.
The following is a reconciliation of 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 | 6/30/10 | at 6/30/10 | |||
| 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 | 21,994 | | (264,727 | ) | 303,417 | | | 828,815 | (264,727 | ) |
| TOTAL INVESTMENTS IN SECURITIES | $ 768,131 | $ 21,994 | $ | $ (264,727 | ) | $ 303,417 | $ | $ | $ 828,815 | $ (264,727 | ) |
| | Net change in unrealized appreciation/depreciation on investments is included in the related
amounts in the Statement of Operations. |
| --- | --- |
| | 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 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). It also clarifies existing disclosure requirements relating to the levels of disaggregation of fair value measurement and inputs and valuation techniques used to measure fair value. 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 implications of this guidance on the Funds financial statements. The remainder of 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 evaluated the impact of this guidance on the Funds financial statements and determined that there is no impact as of June 30, 2010.
Derivative Financial Instruments.
The Fund may engage in various portfolio investment strategies by investing in a number of derivative financial instruments for the purpose 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.
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THE GABELLI GLOBAL GOLD, NATURAL RESOURCES & INCOME TRUST NOTES TO FINANCIAL STATEMENTS (Continued) (Unaudited)
The Funds derivative contracts held at June 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.
Unrealized gains related to swaps are reported as an asset and unrealized losses are reported as a liability in the Statement of Assets and Liabilities. The change in value of swaps, including the accrual of periodic amounts of interest to be paid or received on swaps, is reported as unrealized gain or loss in the Statement of Operations. A realized gain or loss is recorded upon payment or receipt of a periodic payment or termination of swap agreements. During the six months ended June 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 increasing the income of the Fund. 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.
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. Option positions that were held at June 30, 2010 are presented within the Schedule of Investments.
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THE GABELLI GLOBAL GOLD, NATURAL RESOURCES & INCOME TRUST NOTES TO FINANCIAL STATEMENTS (Continued) (Unaudited)
The Funds volume of activity in equity options contracts during the six months ended June 30, 2010 had an average monthly premium amount of approximately $24,428,275. Please refer to Note 4 for option activity during the six months ended June 30, 2010.
As of June 30, 2010, the value of option positions that were held with equity risk exposure can be found in the Statement of Assets and Liabilities under Liabilities, Call options written and Put options written.
For the six months ended June 30, 2010, the effect of option positions with equity risk exposure can be found in the Statement of Operations under Net Realized and Unrealized Gain/(Loss) on Investments, Swap Contracts, Securities Sold Short, Written Options, and Foreign Currency, Net realized gain on written options and Net change in unrealized depreciation on written options.
Repurchase Agreements. The Fund may enter into repurchase agreements with primary government securities dealers recognized by the Federal Reserve Board, with member banks of the Federal Reserve System, or with other brokers or dealers that meet credit guidelines established by the Adviser and reviewed by the Board. Under the terms of a typical repurchase agreement, the Fund takes possession of an underlying debt obligation subject to an obligation of the seller to repurchase, and the Fund to resell, the obligation at an agreed-upon price and time, thereby determining the yield during the Funds holding period. It is the policy of the Fund to receive and maintain securities as collateral whose market value is not less than their repurchase price. The Fund will make payment for such securities only upon physical delivery or upon evidence of book entry transfer of the collateral to the account of the custodian. To the extent that any repurchase transaction exceeds one business day, the value of the collateral is marked-to-market on a daily basis to maintain the adequacy of the collateral. If the seller defaults and the value of the collateral declines or if bankruptcy proceedings are commenced with respect to the seller of the security, realization of the collateral by the Fund may be delayed or limited. At June 30, 2010, there were no open repurchase agreements.
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. For the six months ended June 30, 2010, the Fund did not hold any Acquired Funds.
Securities Sold Short. The Fund may enter into short sale transactions. Short selling involves selling securities that may or may not be owned and, at times, borrowing the same securities for delivery to the purchaser, with an obligation to replace such borrowed securities at a later date. The proceeds received from short sales are recorded as liabilities and the Fund records an unrealized gain or loss to the extent of the difference between the proceeds received and the value of an open short position on the day of determination. The Fund records a realized gain or loss when the short position is closed out. By entering into a short sale, the Fund bears the market risk of an unfavorable change in the price of the security sold short. Dividends on short sales are recorded as an expense by the Fund on the ex-dividend date and interest expense is recorded on the accrual basis. At June 30, 2010, there were no open securities sold short.
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
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THE GABELLI GLOBAL GOLD, NATURAL RESOURCES & INCOME TRUST NOTES TO FINANCIAL STATEMENTS (Continued) (Unaudited)
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.
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.
Securities Transactions and Investment Income. Securities transactions are accounted for on the trade date with realized gain or loss on investments determined by using the identified cost method. Interest income (including amortization of premium and accretion of discount) is recorded on the accrual basis. Premiums and discounts on debt securities are amortized using the effective yield to maturity method. Dividend income is recorded on the ex-dividend date except for certain dividends which are recorded as soon as the Fund is informed of the dividend.
Custodian Fee Credits and Interest Expense. When cash balances are maintained in the custody account, the Fund receives credits which are used to offset custodian fees. The gross expenses paid under the custody arrangement are included in custodian fees in the Statement of Operations with the corresponding expense offset, if any, shown as custodian fee credits. When cash balances are overdrawn, the Fund is charged an overdraft fee equal to 110% of the 90 day Treasury Bill rate on outstanding balances. This amount, if any, would be included in interest expense in the Statement of Operations. There were no custodian fee credits earned during the six months ended June 30, 2010.
Distributions to Shareholders. Distributions to common shareholders are recorded on the ex-dividend date. Distributions to shareholders are based on income and capital gains as determined in accordance with federal income tax regulations, which may differ from income and capital gains as determined under GAAP. These differences are primarily due to differing treatments of income and gains on various investment securities and foreign currency transactions held by the Fund, timing differences, and differing characterizations of distributions made by the Fund. Distributions from net investment income for federal income tax purposes include net realized gains on foreign currency transactions. These book/tax differences are either temporary or permanent in nature. To the extent these differences are permanent, adjustments are made to the appropriate capital accounts in the period when the differences arise. These reclassifications have no impact on the NAV of the Fund.
Distributions to shareholders of the Funds 6.625% Series A Cumulative Preferred Shares are recorded on a daily basis.
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THE GABELLI GLOBAL GOLD, NATURAL RESOURCES & INCOME TRUST NOTES TO FINANCIAL STATEMENTS (Continued) (Unaudited)
The tax character of distributions paid during the year ended December 31, 2009 was as follows:
| Year Ended | ||
|---|---|---|
| December 31, 2009 | ||
| Common | Preferred | |
| Distributions paid from: | ||
| Ordinary income | ||
| (inclusive of short-term capital gains) | $ 12,246,692 | $ 4,958,450 |
| Net long-term capital gains | 3,844,859 | 1,556,710 |
| Return of capital | 22,238,654 | |
| Total distributions paid | $ 38,330,205 | $ 6,515,160 |
Provision for Income Taxes. The Fund intends to continue to qualify as a regulated investment company under Subchapter M of the Internal Revenue Code of 1986, as amended (the Code). It is the policy of the Fund to comply with the requirements of the Code applicable to regulated investment companies and to distribute substantially all of its net investment company taxable income and net capital gains. Therefore, no provision for federal income taxes is required.
As of December 31, 2009, the components of accumulated earnings/losses on a tax basis were as follows:
| Net unrealized appreciation on investments,
written options, and foreign currency translations | $ | |
| --- | --- | --- |
| Other temporary differences* | (856,241 | ) |
| Total | $ 3,092,206 | |
The following summarizes the tax cost of investments, written options, and the related net unrealized appreciation/depreciation at June 30, 2010:
| Cost/ | Unrealized | Gross — Unrealized | Net Unrealized — Appreciation/ | ||||
|---|---|---|---|---|---|---|---|
| Premiums | Appreciation | Depreciation | Depreciation | ||||
| Investments | $ 842,759,240 | $ | 53,003,654 | $ (103,772,892 | ) | $ (50,769,238 | ) |
| Written options | (35,060,375 | ) | 10,509,061 | (7,119,599 | ) | 3,389,462 | |
| $ 807,698,865 | $ | 63,512,715 | $ (110,892,491 | ) | $ (47,379,776 | ) |
The Fund is required to evaluate tax positions taken or expected to be taken in the course of preparing the Funds tax returns to determine whether the tax positions are more-likely-than-not of being sustained by the applicable tax authority. Income tax and related interest and penalties would be recognized by the Fund as tax expense in the Statement of Operations if the tax positions were deemed not to meet the more-likely-than-not threshold. For the six months ended June 30, 2010, the Fund did not incur any income tax, interest, or penalties. As of June 30, 2010, the Adviser has reviewed all open tax years and concluded that there was no impact to the Funds net assets or results of operations. Tax years ended December 31, 2007 through December 31, 2009, remain subject to examination by the Internal Revenue Service and state taxing authorities. On an ongoing basis, the Adviser will monitor the Funds tax positions to determine if adjustments to this conclusion are necessary.
3. Agreements and Transactions with Affiliates. The Fund has entered into an investment advisory agreement (the Advisory Agreement) with the Adviser which provides that the Fund will pay the Adviser a fee, computed weekly and paid monthly, equal on an annual basis to 1.00% of the value of the Funds average weekly net assets including the
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THE GABELLI GLOBAL GOLD, NATURAL RESOURCES & INCOME TRUST NOTES TO FINANCIAL STATEMENTS (Continued) (Unaudited)
liquidation value of preferred shares. In accordance with the Advisory Agreement, the Adviser provides a continuous investment program for the Funds portfolio and oversees the administration of all aspects of the Funds business and affairs.
The cost of calculating the Funds NAV per share is a Fund expense pursuant to the Advisory Agreement between the Fund and the Adviser. During the six months ended June 30, 2010, the Fund paid or accrued $22,500 to the Adviser in connection with the cost of computing the Funds NAV.
As per the approval of the Board, the Fund compensates officers of the Fund, who are employed by the Fund and are not employed by the Adviser (although the officers may receive incentive based variable compensation from affiliates of the Adviser) and pays its allocated portion of the cost of the Funds Chief Compliance Officer. For the six months ended June 30, 2010, the Fund paid or accrued $72,730 in payroll expenses in the Statement of Operations.
The Fund pays each Trustee who is not considered an affiliated person an annual retainer of $6,000 plus $1,000 for each Board meeting attended. Each Trustee is reimbursed by the Fund for any out of pocket expenses incurred in attending meetings. All Board committee members receive $500 per meeting attended, the Audit Committee Chairman receives an annual fee of $3,000, the Nominating Committee Chairman receives an annual fee of $2,000, and the Lead Trustee receives an annual fee of $1,000. A Trustee may receive a single meeting fee, allocated among the participating funds, for participation in certain meetings held on behalf of multiple funds. Trustees who are directors or employees of the Adviser or an affiliated company receive no compensation or expense reimbursement from the Fund.
4. Portfolio Securities. Purchases and sales of securities for the six months ended June 30, 2010, other than short-term securities and U.S. Government obligations, aggregated $256,627,284 and $100,910,339, respectively.
Sales of U.S. Government obligations for the six months ended June 30, 2010, other than short-term obligations, aggregated $7,999,229.
Written options activity for the Fund for the six months ended June 30, 2010 was as follows:
| Contracts | Premiums | |||
|---|---|---|---|---|
| Options outstanding at December 31, 2009 | 164,312 | $ | 20,812,335 | |
| Stock splits on options | 450 | | ||
| Options written | 468,611 | 60,341,830 | ||
| Options repurchased | (203,415 | ) | (21,657,394 | ) |
| Options expired | (187,822 | ) | (21,433,255 | ) |
| Options exercised | (23,987 | ) | (3,003,141 | ) |
| Options outstanding at June 30, 2010 | 218,149 | $ | 35,060,375 |
5. Capital. The Fund is authorized to issue an unlimited number of common shares of beneficial interest (par value $0.001). The Board has authorized the repurchase of its shares in the open market when the shares are trading at a discount of 7.5% or more (or such other percentage as the Board may determine from time to time) from the NAV of the shares. During the six months ended June 30, 2010, the Fund did not repurchase any shares of beneficial interest.
The Fund filed a second $350,000,000 shelf offering with the SEC that was effective February 10, 2010, enabling the the Fund to offer additional common and preferred shares. The first $350,000,000 shelf offering became effective September 24, 2007. This shelf offering also gave the Fund the ability to offer additional common and preferred shares.
Folio 19 /Folio
PAGEBREAK
THE GABELLI GLOBAL GOLD, NATURAL RESOURCES & INCOME TRUST NOTES TO FINANCIAL STATEMENTS (Continued) (Unaudited)
On October 16, 2007, the Fund completed the placement of $100 million of Cumulative Preferred Shares (Preferred Shares). The Fund received net proceeds of $96,450,000 (after underwriting discounts of $3,150,000 and offering expenses of $400,000) from the public offering of 4,000,000 shares of 6.625% Series A Cumulative Preferred Shares. The Preferred Shares are senior to the common shares and result in the financial leveraging of the common shares. Such leveraging tends to magnify both the risks and opportunities to common shareholders. Dividends on the 6.625% Series A Preferred Shares are cumulative. The Fund is required by the 1940 Act and by the Statement of Preferences to meet certain asset coverage tests with respect to the Preferred Shares. If the Fund fails to meet these requirements and does not correct such failure, the Fund may be required to redeem, in part or in full, the Preferred Shares at the redemption price of $25 per share plus an amount equal to the accumulated and unpaid dividends whether or not declared on such shares in order to meet the requirements. Additionally, failure to meet the foregoing asset coverage requirements could restrict the Funds ability to pay dividends to common shareholders and could lead to sales of portfolio securities at inopportune times. The income received on the Funds assets may vary in a manner unrelated to the fixed rate, which could have either a beneficial or detrimental impact on net investment income and gains available to common shareholders.
Commencing October 16, 2012, and at any time thereafter, the Fund, at its option, may redeem the Preferred Shares in whole or in part at the redemption price. The Board has authorized the repurchase of the Preferred Shares in the open market at prices less than the $25 liquidation value per share. During the six months ended June 30, 2010, the Fund did not repurchase any shares of 6.625% Series A Cumulative Preferred Shares. At June 30, 2010, 3,955,687 Preferred Shares were outstanding and accrued dividends amounted to $54,597.
During the six months ended June 30, 2010, the Fund issued 11,976,900 shares of beneficial interest through various at the market offerings. The net proceeds received from these various offerings were $196,503,590 (net of sales manager commissions of $1,987,475 and offering expenses of $256,416). The net proceeds received from the various offerings exceeded the NAV of the shares by $9,134,558.
During the year ended December 31, 2009, the Fund issued 13,989,100 shares of beneficial interest through various at the market offerings. The net proceeds received from these various offerings was $207,429,594 (net of sales manager commissions of $3,797,829 and offering expenses of $421,000). The net proceeds received from the various offerings exceeded the NAV of the shares by $6,249,864.
Gabelli & Company, Inc., an affiliate of the Adviser, acted as sales manager for all of the offerings and collected sales manager commissions of $1,987,475.
As of June 30, 2010, after considering the issuance of the preferred and common shares, the Fund has approximately $189,000,000 available for issuance under the shelf offering.
Folio 20 /Folio
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THE GABELLI GLOBAL GOLD, NATURAL RESOURCES & INCOME TRUST NOTES TO FINANCIAL STATEMENTS (Continued) (Unaudited)
Transactions in shares of beneficial interest were as follows:
| June 30, 2010 | Year Ended | |||
|---|---|---|---|---|
| (Unaudited) | December 31, 2009 | |||
| Shares | Amount | Shares | Amount | |
| Shares issued pursuant to shelf offerings | 11,976,900 | $ 196,760,006 | 13,989,100 | $ 207,850,594 |
| Net increase from shares issued | ||||
| upon reinvestment of distributions | 278,056 | 4,386,941 | 469,004 | 6,768,233 |
| Total | 12,254,956 | $ 201,146,947 | 14,458,104 | $ 214,618,827 |
6. Indemnifications. The Fund enters into contracts that contain a variety of indemnifications. The Funds maximum exposure under these arrangements is unknown. However, the Fund has not had prior claims or losses pursuant to these contracts. Management has reviewed the Funds existing contracts and expects the risk of loss to be remote.
7. Other Matters. On April 24, 2008, the Investment Adviser entered into a settlement with the SEC to resolve an inquiry regarding prior frequent trading activity in shares of the GAMCO Global Growth Fund (the Global Growth Fund) by one investor who was banned from the Global Growth Fund in August 2002. In an administrative order that was entered in connection with the settlement, the SEC found that the Investment Adviser had willfully violated Section 206(2) of the Investment Advisers Act of 1940, Section 17(d) of the 1940 Act and Rule 17d-1 thereunder, and had willfully aided and abetted and caused violations of Section 12(d)(1)(B)(i) of the 1940 Act. Under the terms of the settlement, the Investment Adviser, while neither admitting nor denying the SECs findings and allegations, paid $16 million (which included a $5 million civil monetary penalty), approximately $12.8 million of which is in the process of being paid to shareholders of the Global Growth Fund in accordance with a plan developed by an independent distribution consultant and approved by the independent directors of the Global Growth Fund and acceptable to the staff of the SEC, and agreed to cease and desist from future violations of the above referenced federal securities laws. The SECs order also noted the cooperation that the Investment Adviser gave the staff of the SEC. The settlement will not have a material adverse impact on the Investment Adviser or its ability to fulfill its obligations under the Investment Advisory Agreement. On the same day, the SEC filed a civil action against the Executive Vice President and Chief Operating Officer of the Investment Adviser, alleging violations of certain federal securities laws arising from the same matter. The officer is also an officer of the Fund, the Global Growth Fund, and other funds in the Gabelli/GAMCO fund complex. The officer denied the allegations and is continuing in his positions with the Investment Adviser and the funds. The court dismissed certain claims, finding that the SEC was not entitled to pursue various remedies against the officer while leaving one remedy in the event the SEC were able to prove violations of law. The court, in response to a motion by the SEC, subsequently dismissed the remaining remedy without prejudice against the officer, which would allow the SEC to appeal the courts rulings. The Investment Adviser currently expects that any resolution of the action against the officer will not have a material adverse impact on the Investment Adviser or its ability to fulfill its obligations under the Investment Advisory Agreement.
8. Subsequent Events. Management has evaluated the impact on the Fund of all subsequent events occurring through the date the financial statements were issued and has determined that there were no subsequent events requiring recognition or disclosure in the financial statements.
Folio 21 /Folio
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THE GABELLI GLOBAL GOLD, NATURAL RESOURCES & INCOME TRUST
Board Consideration and Approval of Advisory Agreement (Unaudited)
At its meeting on February 24, 2010, the Board of Trustees (Board) of the Fund approved the continuation of the investment advisory agreement with the Adviser for the Fund on the basis of the recommendation by the trustees who are not interested persons of the Fund (the Independent Board Members). The following paragraphs summarize the material information and factors considered by the Independent Board Members as well as their conclusions relative to such factors.
Nature, Extent, and Quality of Services. The Independent Board Members considered information regarding the portfolio managers, the depth of the analyst pool available to the Adviser and the portfolio managers, the scope of administrative, shareholder, and other services supervised or provided by the Adviser and the absence of significant service problems reported to the Board. The Independent Board Members noted the experience, length of service, and reputation of the portfolio managers.
Investment Performance. The Independent Board Members reviewed the performance of the Fund since inception against a peer group of sector options arbitrage and options strategies closed-end funds prepared by Lipper. The Independent Board Members noted that the Funds performance was in the top decile for the one year period and in the third quartile for the three year period.
Profitability. The Independent Board Members reviewed summary data regarding the profitability of the Fund to the Adviser both with an administrative overhead charge and without such a charge.
Economies of Scale. The Independent Board Members discussed the major elements of the Advisers cost structure and the relationship of those elements to potential economies of scale.
Sharing of Economies of Scale. The Independent Board Members noted that the investment management fee schedule for the Fund does not take into account any potential sharing of economies of scale.
Service and Cost Comparisons. The Independent Board Members compared the expense ratios of the investment management fee, other expenses, and total expenses of the Fund with similar expense ratios of the peer group of options arbitrage and options strategies closed-end funds and noted that the Advisers management fee includes substantially all administrative services of the Fund as well as investment advisory services. The Independent Board Members noted that within this group, the Funds expense ratios were higher than average and the Funds size was somewhat above average. The Independent Board Members also noted that the management fee structure was the same as that in effect for most of the Gabelli funds, except for the presence of leverage and fees chargeable as assets attributable to leverage in certain circumstances. The Independent Board Members recognized that the Adviser and its affiliates did not manage other accounts with similar strategies or fees lower than those charged for the Fund.
Conclusions. The Independent Board Members concluded that the Fund enjoyed highly experienced portfolio management services and good ancillary services, and that the performance record, which at this point was relatively short-term only, had been both excellent and poor during various reporting periods and that the Independent Board Members would continue to review performance carefully as the Funds performance record lengthened. The Independent Board Members concluded that the profitability to the Adviser of managing the Fund was reasonable and that economies of scale were not a significant factor in their thinking. The Independent Board Members did not view the potential profitability of ancillary services as material to their decision. On the basis of the foregoing and without assigning particular weight to any single conclusion, the Independent Board Members determined to recommend continuation of the Advisory Agreement to the full Board.
Folio 22 /Folio
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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 & Acting Treasurer |
| Carter W. Austin |
| Vice President |
| Peter D. Goldstein |
| Chief Compliance Officer & Acting Secretary |
| Molly A.F. Marion |
| Vice President & Ombudsman |
| Laurissa M. Martire |
| Vice President & Ombudsman |
| David I. Schachter |
| Vice President |
| 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 | 6.625% | |
|---|---|---|
| Common | Preferred | |
| NYSE AmexSymbol: | GGN | GGN PrA |
| Shares Outstanding: | 45,016,217 | 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.
Folio /Folio
PAGEBREAK
THE GABELLI GLOBAL GOLD, NATURAL RESOURCES & INCOME TRUST One Corporate Center Rye, NY 10580-1422 (914) 921-5070 www.gabelli.com Semi Annual Report June 30, 2010 GGN Q2/2010
Folio /Folio
PAGEBREAK
link2 "Item 2. Code of Ethics"
Item 2. Code of Ethics.
Not applicable.
link2 "Item 3. Audit Committee Financial Expert"
Item 3. Audit Committee Financial Expert.
Not applicable.
link2 "Item 4. Principal Accountant Fees and Services"
Item 4. Principal Accountant Fees and Services.
Not applicable.
link2 "Item 5. Audit Committee of Listed registrants"
Item 5. Audit Committee of Listed registrants.
Not applicable.
link2 "Item 6. Investments"
Item 6. Investments.
| (a) | Schedule of Investments in securities of unaffiliated issuers as of the close of the
reporting period is included as part of the report to shareholders filed under Item 1 of this
form. |
| --- | --- |
| (b) | Not applicable. |
link2 "Item 7. Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies"
Item 7. Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies.
Not applicable.
link2 "Item 8. Portfolio Managers of Closed-End Management Investment Companies"
Item 8. Portfolio Managers of Closed-End Management Investment Companies.
Folio /Folio
PAGEBREAK
There has been no change, as of the date of this filing, in any of the portfolio managers identified in response to paragraph (a)(1) of this Item in the registrants most recently filed annual report on Form N-CSR.
link2 "Item 9. Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers"
Item 9. Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers.
REGISTRANT PURCHASES OF EQUITY SECURITIES
| (c) Total Number of — Shares (or Units) | (d) Maximum Number (or — Approximate Dollar Value) of | |||
|---|---|---|---|---|
| (a) Total Number of | Purchased as Part of | Shares (or Units) that May | ||
| Shares (or Units) | (b) Average Price Paid | Publicly Announced | Yet Be Purchased Under the | |
| Period | Purchased | per Share (or Unit) | Plans or Programs | Plans or Programs |
| Month #1 01/01/10 through 01/31/10 | Common N/A Preferred Series A | |||
| N/A | Common N/A Preferred Series A | |||
| N/A | Common N/A Preferred Series A | |||
| N/A | Common 34,838,539 Preferred Series A | |||
| 3,955,687 | ||||
| Month #2 02/01/10 through 02/28/10 | Common N/A Preferred Series A | |||
| N/A | Common N/A Preferred Series A | |||
| N/A | Common N/A Preferred Series A | |||
| N/A | Common 36,138,968 Preferred Series A | |||
| 3,955,687 | ||||
| Month #3 03/01/10 through 03/31/10 | Common N/A Preferred Series A | |||
| N/A | Common N/A Preferred Series A | |||
| N/A | Common N/A Preferred Series A | |||
| N/A | Common 36,334,390 Preferred Series A | |||
| 3,955,687 | ||||
| Month #4 04/01/10 through 04/30/10 | Common N/A Preferred Series A | |||
| N/A | Common N/A Preferred Series A | |||
| N/A | Common N/A Preferred Series A | |||
| N/A | Common 38,108,265 Preferred Series A | |||
| 3,955,687 | ||||
| Month #5 05/01/10 through 05/31/10 | Common N/A Preferred Series A | |||
| N/A | Common N/A Preferred Series A | |||
| N/A | Common N/A Preferred Series A | |||
| N/A | Common 41,917,997 Preferred Series A | |||
| 3,955,687 | ||||
| Month #6 06/01/10 through 06/30/10 | Common N/A Preferred Series A | |||
| N/A | Common N/A Preferred Series A | |||
| N/A | Common N/A Preferred Series A | |||
| N/A | Common 45,016,217 Preferred Series A | |||
| 3,955,687 | ||||
| Total | Common N/A Preferred Series A | |||
| N/A | Common N/A Preferred Series A | |||
| N/A | Common N/A Preferred Series A | |||
| N/A | N/A |
Folio /Folio
PAGEBREAK
Footnote columns (c) and (d) of the table, by disclosing the following information in the aggregate for all plans or programs publicly announced:
a. The date each plan or program was announced The notice of the potential repurchase of common and preferred shares occurs quarterly in the Funds quarterly report in accordance with Section 23(c) of the Investment Company Act of 1940, as amended.
b. The dollar amount (or share or unit amount) approved Any or all common shares outstanding may be repurchased when the Funds common shares are trading at a discount of 7.5% or more from the net asset value of the shares.
Any or all preferred shares outstanding may be repurchased when the Funds preferred shares are trading at a discount to the liquidation value of $25.00.
c. The expiration date (if any) of each plan or program The Funds repurchase plans are ongoing.
| d. | Each plan or program that has expired during the period covered by the table The Funds
repurchase plans are ongoing. |
| --- | --- |
| e. | Each plan or program the registrant has determined to terminate prior to expiration, or under
which the registrant does not intend to make further purchases. The Funds repurchase plans are
ongoing. |
link2 "Item 10. Submission of Matters to a Vote of Security Holders"
Item 10. Submission of Matters to a Vote of Security Holders.
On January 15, 2010, the Board of Trustees of The Gabelli Global Gold, Natural Resources & Income Trust (the Fund) approved and adopted an amendment (the Amendment) to the By-Laws of the Fund. The Amendment was effective as of January 15, 2010. The Amendment sets forth the processes and procedures that shareholders of the Fund must follow, and specifies additional information that shareholders of the Fund must provide, when proposing trustee nominations at any annual or special meeting of shareholders or other business to be considered at an annual meeting of shareholders.
link2 "Item 11. Controls and Procedures"
Item 11. 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 second fiscal quarter of the period covered by this report that has materially
affected, or is reasonably likely to materially affect, the registrants internal control
over financial reporting. |
link2 "Item 12. Exhibits"
Item 12. Exhibits.
(a)(1) Not applicable.
Folio /Folio
PAGEBREAK
| (a)(2) | Certifications pursuant to Rule 30a-2(a) under the 1940 Act and Section 302 of the
Sarbanes-Oxley Act of 2002 are attached hereto. |
| --- | --- |
| (a)(3) | Not applicable. |
| (b) | Certifications pursuant to Rule 30a-2(b) under the 1940 Act and Section 906 of the Sarbanes-
Oxley Act of 2002 are attached hereto. |
Folio /Folio
PAGEBREAK
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)* |
|---|
| Bruce N. Alpert, Principal Executive Officer |
Date 9/1/10
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)* |
|---|
| Bruce N. Alpert, |
| Principal Executive Officer & |
| Principal Financial Officer |
| Date 9/1/10 |
Folio /Folio
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