N-Q 1 franknq.htm N-Q Filing

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, DC 20549



FORM N-Q


QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED

 MANAGEMENT INVESTMENT COMPANY


Investment Company Act file number: 811-21532


Frank Funds

(Exact Name of Registrant as Specified in Charter)


312 East 22nd Street, #2B, New York, NY  10010

 (Address of Principal Executive Offices)  (Zip Code)


Brian J. Frank, Frank Capital Partners LLC

6 Stacy Court, Parsippany, NJ  07054

 (Name and Address of Agent for Service)


With copy to:

JoAnn M. Strasser, Thompson Hine LLP

312 Walnut Street, 14th Floor, Cincinnati, Ohio  45202


Registrant’s Telephone Number, including Area Code:  973-887-7698


Date of fiscal year end: June 30


Date of reporting period: March 31, 2013


Form N-Q is to be used by management investment companies, other than small business investment companies registered on Form N-5 (ss.ss. 239.24 and 274.5 of this chapter), to file reports with the Commission, not later than 60 days after the close of the first and third fiscal quarters, pursuant to rule 30b1-5 under the Investment Company Act of 1940 (17 CFR 270.30b1-5).  The Commission may use the information provided on Form N-Q in its regulatory, disclosure review, inspection, and policymaking roles.

A registrant is required to disclose the information specified by Form N-Q, and the Commission will make this information public. A registrant is not required to respond to the collection of information contained in Form N-Q unless the Form displays a currently valid Office of Management and Budget ("OMB") control number.  Please direct comments concerning the accuracy of the information collection burden estimate and any suggestions for reducing the burden to the Secretary, Securities and Exchange Commission, and 450 Fifth Street, NW, Washington, DC 20549-0609.  The OMB has reviewed this collection of information under the clearance requirements of 44 U.S.C. ss. 3507.


ITEM 1. SCHEDULE OF INVESTMENTS.




 

Frank Value Fund

 

 

Schedule of Investments

 

 

March 31, 2013 (Unaudited)

 

 

 

 

 

 

 

 

 

 

Shares

 

 

 

 

Value

 

 

 

 

 

 

 

 

 

COMMON STOCKS - 87.54%

 

 

 

 

 

 

 

 

 

 

 

 

 

Apparel & Other Finished Prods of Fabrics & Similar Material  - 2.61%

 

 

 

 

 

15,628

 

True Religion Apparel, Inc.

 

 

$           408,047

 

 

 

 

 

 

 

 

 

 

Communications Services, NEC - 4.89%

 

 

 

 

 

10,452

 

Neustar Inc. Class A *

 

 

486,332

 

 

95,926

 

Vonage Holdings Corp. *

 

 

             277,226

 

 

 

 

 

 

 

763,558

 

 

Computer Communications Equipment - 2.98%

 

 

 

 

 

22,285

 

Cisco Systems, Inc.

 

 

465,645

 

 

 

 

 

 

 

 

 

 

Finance Services - 6.35%

 

 

 

 

 

9,140

 

American Express Co.

 

 

616,584

 

 

31,800

 

Calamos Asset Management

 

 

             374,286

 

 

 

 

 

 

 

990,870

 

 

Fire, Marine & Casualty Insurance - 10.39%

 

 

 

 

 

8,324

 

Berkshire Hathaway, Inc. Class B *

 

 

867,361

 

 

30,888

 

Greenlight Capital Reinsurance, Ltd. Class-A *

 

 

             755,213

 

 

 

 

 

 

 

1,622,574

 

 

Footwear (No Rubber) - 2.41%

 

 

 

 

 

25,397

 

Crocs, Inc. *

 

 

376,384

 

 

 

 

 

 

 

 

 

 

Hospital & Medical Service Plans - 4.95%

 

 

 

 

 

5,259

 

Humana, Inc.

 

 

363,450

 

 

7,066

 

Wellcare Helathplans *

 

 

             409,545

 

 

 

 

 

 

 

772,995

 

 

Pharmaceutical Preparations - .85%

 

 

 

 

 

3,556

 

Herbalife Ltd.

 

 

             133,172

 

 

 

 

 

 

 

 

 

 

Retail-Radio, TV & Consumer Electronics - 2.29%

 

 

 

 

 

809

 

Apple, Inc.

 

 

             358,112

 

 

 

 

 

 

 

 

 

 

Semiconductors & Related Devices - 1.85%

 

 

 

 

 

13,247

 

Intel Corp.

 

 

289,248

 

 

 

 

 

 

 

 

 

 

Services-Advertising Agencies - 4.03%

 

 

 

 

 

21,270

 

Valueclick, Inc. *

 

 

628,741

 

 

 

 

 

 

 

 

 

 

Services-Business Services, NEC - 8.01%

 

 

 

 

 

9,261

 

Global Payments, Inc.

 

 

459,901

 

 

29,200

 

RPX Corp. *

 

 

412,012

 

 

25,144

 

Western Union Co.

 

 

             378,166

 

 

 

 

 

 

 

          1,250,079

 

 

Services-Computer Integrated Systems Design - 2.30%

 

 

 

 

 

19,666

 

Quality Systems, Inc.

 

 

359,298

 

 

 

 

 

 

 

 

 

 

Services-Computer Programming, Date Processing, ETC - 6.13%

 

 

 

 

 

844

 

Google Inc. Class-A *

 

 

670,295

 

 

10,652

 

Mantech International Corp.

 

 

             286,219

 

 

 

 

 

 

 

             956,514

 

 

Services-Consumer Credit Reporting, Collection Agencies - 3.19%

 

 

 

 

 

5,957

 

Dun & Bradstreet Corp.

 

 

498,303

 

 

 

 

 

 

 

 

 

 

Services-Engineering, Accounting, Research, Management - 2.21%

 

 

 

 

 

25,511

 

SAIC, Inc.

 

 

345,674

 

 

 

 

 

 

 

 

 

 

Services-Personal Services - 3.18%

 

 

 

 

 

33,178

 

Heidrick & Struggles International, Inc.

 

 

496,011

 

 

 

 

 

 

 

 

 

 

Services-Prepackaged Software - 9.71%

 

 

 

 

 

10,179

 

BMC Software, Inc. *

 

 

471,593

 

 

11,479

 

Computer Associates International, Inc.

 

 

289,041

 

 

26,438

 

Microsoft Corp.

 

 

             756,259

 

 

 

 

 

 

 

          1,516,893

 

 

Telegraph & Other Message Communications - 3.43%

 

 

 

 

 

13,662

 

J2 Global Communications, Inc.

 

 

535,687

 

 

 

 

 

 

 

 

 

 

Wholesale-Drugs Proprietaries & Druggists' Sundries - 5.78%

 

 

 

 

 

10,723

 

AmerisouceBergen Corp.

 

 

551,699

 

 

7,926

 

Nu Skin Enterprises, Inc. Class-A

 

 

             350,329

 

 

 

 

 

 

 

             902,028

 

 

 

 

 

 

 

 

 

 

TOTAL FOR COMMON STOCKS (Cost $11,113,043) - 87.54%

 

 

        13,669,833

 

 

 

 

 

 

 

 

 

Underlying Security

 

 

 

 

   Expiration Date/Exercise Price

 

 

 

 

 

 

 

 

 

 

 

 

PUT OPTIONS - 0.01% *

 

 

 

 

 

Shares Subject

 

 

 

 

 

 

to Put

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Euro Bund Future (GBL)

 

 

 

 

 

10,000

 

April 2013 Put @ 135.50

 

 

0

 

 

 

 

 

 

 

 

 

 

 

 

Japan 10 Year Bond Future (JGB)

 

 

 

 

 

8,000,000

 

April 2013 Put @ 140.00

 

 

849

 

 

7,000,000

 

May 2013 Put @ 140.50

 

 

                   743

 

 

 

 

 

 

 

 

 

 

 

 

Total (Premiums Paid $3,400) - .01%

 

 

                 1,592

 

 

 

 

 

 

 

 

 

FOREIGN CURRENCY - 0.01% *

 

 

 

 

 

739

 

Euro

 

 

947

 

 

88,286

 

Japanese Yen

 

 

                   937

 

 

 

 

 

 

 

 

 

 

TOTAL FOR FOREIGN CURRENCY (Cost $1,676) - .01%

 

 

                 1,884

 

 

 

 

 

 

 

 

 

SHORT TERM INVESTMENTS - 14.74%

 

 

 

 

 

2,302,132

 

Fidelity Institutional Money Market Portfolio 0.16% (Cost $2,302,132) **

          2,302,132

 

 

 

 

 

 

 

 

 

TOTAL INVESTMENTS (Cost $13,420,251) - 102.31%

 

 

        15,975,441

 

 

 

 

 

 

 

 

 

LIABILITIES IN EXCESS OF OTHER ASSETS - (2.31%)

 

 

           (360,746)

 

 

 

 

 

 

 

 

 

NET ASSETS - 100.00%

 

 

$       15,614,695

 

 

 

 

 

 

 

 

 

 

* Non-income producing securities during the period.

 

 

 

 

 

** Variable rate security; the coupon rate shown represents the yield at March 31, 2013.

 

 

 

 

 

 

 

 

 

NOTES TO FINANCIAL STATEMENTS

 

 

 

 

Frank Value Fund

 

 

 

 

 

 

1. SECURITY TRANSACTIONS

 

 

 

 

 

At March 31, 2013, the net unrealized appreciation on investments, based on cost for federal income tax purposes of $13,420,251 amounted to $2,555,190, which consisted of aggregate gross unrealized appreciation of $2,658,976 and aggregate gross unrealized depreciation of $103,786.

 

 

 

 

 

 

 

 

2. SECURITY VALUATION

 

 

 

 

 

Equity securities generally are valued by using market quotations, but may be valued on the basis of prices furnished by a pricing service when the adviser believes such prices accurately reflect the fair market value of such securities.  Securities that are      
traded on any stock exchange or on the NASDAQ over-the-counter market are generally valued by the pricing service at the last quoted sale price.  Lacking a last sale price, an equity security is generally valued by the pricing service at its last bid price.  When market quotations are not readily available, when the adviser determines that the market quotation or the price provided by the pricing service does not accurately reflect the current market value, or when restricted or illiquid securities are being valued, such securities are valued as determined in good faith by the adviser, in conformity with guidelines adopted by and subject to review by the Board of Trustees.

 

Fixed income securities generally are valued by using market quotations, but may be valued on the basis of prices furnished by a pricing service when the adviser believes such prices accurately reflect the fair market value of such securities.  A pricing service utilizes electronic data processing techniques based on yield spreads relating to securities with similar characteristics to determine prices for normal institutional-size trading units of debt securities without regard to sale or bid prices.  If the adviser decides that a price provided by the pricing service does not accurately reflect the fair market value of the securities, when prices are not readily available from a pricing service, or when restricted or illiquid securities are being valued, securities are valued at fair value as determined in good faith by the adviser, in conformity with guidelines adopted by and subject to review of the Board of Trustees.  Short term investments in fixed income securities with maturities of less than 60 days when acquired, or which subsequently are within 60 days of maturity, are valued by using the amortized cost method of valuation, which the Board has determined will represent fair value.

 

 

 

 

 

 

 

 

 

In accordance with the Trust’s good faith pricing guidelines, the adviser is required to consider all appropriate factors relevant to the value of securities for which it has determined other pricing sources are not available or reliable as described above.  No single standard for determining fair value exists since fair value depends upon the circumstances of each individual case.  As a general principle, the current fair value of an issue of securities being valued by the adviser would appear to be the amount which the owner might reasonably expect to receive for them upon their current sale.  Methods which are in accord with this principle may, for example, be based on (i) a multiple of earnings; (ii) a discount from market of a similar freely traded security (including a derivative security or a basket of securities traded on other markets, exchanges or among dealers); or (iii) yield to maturity with respect to debt issues, or a combination of these and other methods.

 

In accordance with FAS 157, fair value is defined as the price that the Funds would receive to sell an asset or pay to transfer a liability in an orderly transaction between market participants at the measurement date. FAS 157 also establishes a framework for measuring fair value, and a three-level hierarchy for fair value measurements based upon the transparency  of  inputs  to  the valuation of an asset or liability.  The three-tier hierarchy of inputs is summarized below:

 

 

 

 

 

 

 

 

 

Valuation Inputs of Assets

Level 1

Level 2

Level 3

Total

 

Common Stock

$13,669,833

$0

$0

$13,669,833

 

Foreign Currency

1,884

0

0

1,884

 

Futures Options

1,592

0

0

1,592

 

Cash Equivalents

2,302,132

0

0

2,302,132

 

Total

 

 

$15,975,441

$0

$0

$15,975,441

 

 

 

 

 

 

 

 

 

Baldwin Fund

 

 

Schedule of Investments

 

 

March 31, 2013 (Unaudited)

 

 

 

 

 

 

 

 

 

 

Shares

 

 

 

 

Value

 

 

 

 

 

 

 

 

 

COMMON STOCKS - 68.41%

 

 

 

 

 

 

 

 

 

 

 

 

 

Agricultural Chemicals - 4.31%

 

 

 

 

 

4,000

 

Potash Corp.

 

 

$           157,000

 

 

 

 

 

 

 

 

 

 

Computer Storage Devices - 3.28%

 

 

 

 

 

5,000

 

EMC Corp. *

 

 

119,450

 

 

 

 

 

 

 

 

 

 

Crude Petroleum & Natural Gas - 2.73%

 

 

 

 

 

6,000

 

Petroleo Brasileiro S.A. (Brazil)

 

 

99,420

 

 

 

 

 

 

 

 

 

 

Drawing & Insulating of Nonferrous Wire - 3.66%

 

 

 

 

 

10,000

 

Corning, Inc.

 

 

133,300

 

 

 

 

 

 

 

 

 

 

Electronic Computers - 1.22%

 

 

 

 

 

100

 

Apple, Inc.

 

 

44,266

 

 

 

 

 

 

 

 

 

 

Farm Machinery & Equipment - 2.36%

 

 

 

 

 

1,000

 

John Deere & Co.

 

 

85,980

 

 

 

 

 

 

 

 

 

 

Finance Services - 3.14%

 

 

 

 

 

9,000

 

Oneida Financial Corp.

 

 

             114,391

 

 

 

 

 

 

 

 

 

 

Gold & Silver Ores - 1.15%

 

 

 

 

 

1,000

 

Newmont Mining Corp.

 

 

41,890

 

 

 

 

 

 

 

 

 

 

Metal Mining - 6.61%

 

 

 

 

 

5,000

 

Cliffs Natural Resources, Inc.

 

 

95,050

 

 

4,400

 

Freeport McMoran Copper & Gold, Inc.

 

 

             145,640

 

 

 

 

 

 

 

240,690

 

 

Petroleum Refining - 9.60%

 

 

 

 

 

4,000

 

BP Plc. ADR

 

 

169,400

 

 

6,000

 

Suncor Energy, Inc.

 

 

             180,060

 

 

 

 

 

 

 

349,460

 

 

Pharmaceutical Preparations - 11.56%

 

 

 

 

 

3,000

 

Abbvie, Inc.

 

 

122,340

 

 

4,000

 

Eli Lilly & Co.

 

 

227,160

 

 

1,000

 

Novartis AG

 

 

               71,240

 

 

 

 

 

 

 

420,740

 

 

Retail-Variety Stores - 2.04%

 

 

 

 

 

700

 

Costco Wholesale Corp.

 

 

               74,277

 

 

 

 

 

 

 

 

 

 

Semiconductors & Related Devices - 5.40%

 

 

 

 

 

9,000

 

Intel Corp.

 

 

             196,515

 

 

 

 

 

 

 

 

 

 

Services-Computer Programming, Data Processing - 2.81%

 

 

 

 

 

4,000

 

Facebook, Inc. *

 

 

102,320

 

 

 

 

 

 

 

 

 

 

Services-Motion Picture & Video Tape Production - 2.08%

 

 

 

 

 

4,000

 

Dreamworks Animation SKG, Inc. *

 

 

               75,840

 

 

 

 

 

 

 

 

 

 

Services-Packaged Software - 5.01%

 

 

 

 

 

5,000

 

Microsoft Corp.

 

 

             143,025

 

 

500

 

VMWare, Inc. *

 

 

               39,440

 

 

 

 

 

 

 

182,465

 

 

Steel Works, Blast Furnaces Rolling Mills - 1.43%

 

 

 

 

 

4,000

 

ArcelorMittal (Luxembourg) ADR

 

 

               52,120

 

 

 

 

 

 

 

 

 

 

TOTAL FOR COMMON STOCKS (Cost $2,558,626) - 68.41%

 

 

          2,490,124

 

 

 

 

 

 

 

 

 

EXCHANGE TRADED FUNDS - 10.61%

 

 

 

 

 

10,000

 

Aberdeen Asia Pacific Fund

 

 

77,800

 

 

7,000

 

The Gabelli Global Gold, Natural Resources & Income Trust

 

 

88,060

 

 

2,000

 

iPath S&P VIX Short Term Futures ETN *

 

 

40,500

 

 

3,000

 

Proshares Short Dow30 *

 

 

91,980

 

 

2,000

 

Proshares Ultra Short S&P 500 *

 

 

               87,880

 

 

 

 

 

 

 

 

 

 

TOTAL FOR EXCHANGE TRADED FUNDS (Cost $441,324) - 10.61%

 

 

             386,220

 

 

 

 

 

 

 

 

 

Underlying Security

 

 

 

 

   Expiration Date/Exercise Price

 

 

 

 

 

 

 

 

 

 

 

 

CALL OPTIONS - .15% *

 

 

 

 

 

Shares Subject

 

 

 

 

 

 

to Put

 

 

 

 

 

 

 

 

 

Arcelor Mittal (luxembourg)

 

 

 

 

 

2,000

 

May 2013 Call @ 15.00

 

 

220

 

 

 

 

 

 

 

 

 

 

 

 

Intel Corp.

 

 

 

 

 

2,000

 

October 2013 Call @ 22.00

 

 

2,260

 

 

 

 

 

 

 

 

 

 

 

 

Potash Corp.

 

 

 

 

 

1,500

 

September 2013 Call @ 40.00

 

 

2,640

 

 

 

 

 

 

 

 

 

 

 

 

Proshares Short Dow 30

 

 

 

 

 

4,000

 

May 2013 Call @ 32.00

 

 

                   400

 

 

 

 

 

 

 

 

 

 

 

 

Total (Premiums Paid $6,460) - .15%

 

 

                 5,520

 

 

 

 

 

 

 

 

 

PUT OPTIONS - 1.57% *

 

 

 

 

 

Shares Subject

 

 

 

 

 

 

to Put

 

 

 

 

 

 

 

 

 

Abbvie, Inc.

 

 

 

 

 

2,000

 

August 2013 Put @ 35.00

 

 

900

 

 

 

 

 

 

 

 

 

 

 

 

AOL, Inc.

 

 

 

 

 

1,000

 

July 2013 Put @ 36.00

 

 

1,850

 

 

 

 

 

 

 

 

 

 

 

 

Arcelor Mittal (luxembourg)

 

 

 

 

 

4,000

 

June 2013 Put @ 12.00

 

 

2,200

 

 

 

 

 

 

 

 

 

 

 

 

Best Buy Co., Inc.

 

 

 

 

 

5,000

 

September 2013 Put @ 13.00

 

 

1,600

 

 

 

 

 

 

 

 

 

 

 

 

BP, Plc ADR

 

 

 

 

 

3,000

 

July 2013 Put @ 37.00

 

 

1,110

 

 

 

 

 

 

 

 

 

 

 

 

Cliffs Natural Resources, Inc.

 

 

 

 

 

4,000

 

October 2013 Put @ 18.00

 

 

9,800

 

 

 

 

 

 

 

 

 

 

 

 

Corning, Inc.

 

 

 

 

 

10,000

 

August 2013 Put @ 10.00

 

 

700

 

 

 

 

 

 

 

 

 

 

 

 

Costfo Wholesale Corp.

 

 

 

 

 

700

 

July 2013 Put @ 98.00

 

 

840

 

 

 

 

 

 

 

 

 

 

 

 

E. I du Pont de Nemours & Co.

 

 

 

 

 

2,500

 

July 2013 Put @ 38.00

 

 

400

 

 

 

 

 

 

 

 

 

 

 

 

Eli Lilly & Co.

 

 

 

 

 

3,000

 

October 2013 Put @ 52.50

 

 

4,710

 

 

 

 

 

 

 

 

 

 

 

 

EMC Corp.

 

 

 

 

 

4,500

 

July 2013 Put @ 22.00

 

 

2,385

 

 

 

 

 

 

 

 

 

 

 

 

Facebook, Inc.

 

 

 

 

 

3,000

 

January 2014 Put @ 25.00

 

 

8,490

 

 

 

 

 

 

 

 

 

 

 

 

Freeport McMoran Copper & Gold, Inc.

 

 

 

 

 

3,000

 

May 2013 Put @ 35.00

 

 

8,100

 

 

 

 

 

 

 

 

 

 

 

 

Intel Corp.

 

 

 

 

 

7,000

 

October 2013 Put @ 18.00

 

 

2,590

 

 

 

 

 

 

 

 

 

 

 

 

Johnson Controls, Inc.

 

 

 

 

 

5,000

 

July 2013 Put @26.00

 

 

250

 

 

 

 

 

 

 

 

 

 

 

 

McDonald's Corp.

 

 

 

 

 

2,000

 

June 2013 Put @ 77.50

 

 

140

 

 

 

 

 

 

 

 

 

 

 

 

Microsoft Corp.

 

 

 

 

 

5,000

 

July 2013 Put @ 24.00

 

 

800

 

 

 

 

 

 

 

 

 

 

 

 

Paychex, Inc.

 

 

 

 

 

3,000

 

June 2013 Put @ 29.00

 

 

150

 

 

 

 

 

 

 

 

 

 

 

 

Petroleo Brasileiro S.A. (Brazil)

 

 

 

 

 

3,000

 

July 2013 Put @ 16.00

 

 

2,880

 

 

 

 

 

 

 

 

 

 

 

 

Potash Corp.

 

 

 

 

 

1,000

 

September 2013 Put @ 32.00

 

 

430

 

 

2,000

 

September 2013 Put @ 35.00

 

 

                 1,940

 

 

 

 

 

 

 

2,370

 

 

 

 

Suncor Energy, Inc.

 

 

 

 

 

5,000

 

June 2013 Put @ 29.00

 

 

4,250

 

 

 

 

 

 

 

 

 

 

 

 

Walgreen Co.

 

 

 

 

 

4,000

 

July 2013 Put @ 32.00

 

 

520

 

 

 

 

 

 

 

 

 

 

 

 

Waste Management, Inc.

 

 

 

 

 

3,000

 

July 2013 Put @ 28.00

 

 

                       0

 

 

 

 

 

 

 

 

 

 

 

 

Total (Premiums Paid $123,138) - 1.57%

 

 

               57,035

 

 

 

 

 

 

 

 

 

SHORT TERM INVESTMENTS - 20.13%

 

 

 

 

 

732,685

 

Fidelity Government Fund Class-I 0.01% (Cost $732,685) **

 

 

             732,685

 

 

 

 

 

 

 

 

 

TOTAL INVESTMENTS (Cost $3,860,958) - 100.87%

 

 

3,671,584

 

 

 

 

 

 

 

 

 

LIABILITIES IN EXCESS OF OTHER ASSETS - (.87%)

 

 

            (31,795)

 

 

 

 

 

 

 

 

 

NET ASSETS - 100.00%

 

 

$        3,639,789

 

 

 

 

 

 

 

 

 

 

* Non-income producing securities during the period.

 

 

 

 

 

** Variable rate security; the coupon rate shown represents the yield at March 31, 2013.

 

 

The accompanying notes are an integral part of these financial statements.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Baldwin Fund

 

 

Schedule of Options Written

 

 

March 31, 2013 (Unaudited)

 

 

 

 

 

 

 

 

 

CALL OPTIONS WRITTEN *

 

 

 

 

 

 

 

 

 

 

 

 

 

Shares Subject

 

Underlying Security

 

 

 

 

 

to Call

 

Expiration Date/Exercise Price

 

 

Value

 

 

 

 

 

 

 

 

 

 

 

 

Abbvie, Inc.

 

 

 

 

 

3,000

 

May 2013 Call @ 40.00

 

 

$               3,900

 

 

 

 

 

 

 

 

 

 

 

 

Apple, Inc.

 

 

 

 

 

100

 

April 2013 Call @ 440

 

 

760

 

 

 

 

 

 

 

 

 

 

 

 

ArcelorMittal (Luxembourg) ADR

 

 

 

 

 

4,000

 

May 2013 Call @ 13.00

 

 

2,680

 

 

 

 

 

 

 

 

 

 

 

 

iPath S&P 500 VIX ST Futures

 

 

 

 

 

1,000

 

April 2013 Call @ 29.00

 

 

180

 

 

 

 

 

 

 

 

 

 

 

 

BP, Plc ADR

 

 

 

 

 

4,000

 

April 2013 Call @ 42.00

 

 

2,320

 

 

 

 

 

 

 

 

 

 

 

 

Cliffs Natural Resources, Inc.

 

 

 

 

 

3,300

 

April 2013 Call @ 24.00

 

 

231

 

 

1,700

 

March 2013 Call @ 26.00

 

 

                     17

 

 

 

 

 

 

 

248

 

 

 

 

Corning, Inc.

 

 

 

 

 

10,000

 

April 2013 Call @ 13.00

 

 

4,500

 

 

 

 

 

 

 

 

 

 

 

 

Costco Wholesale Corp.

 

 

 

 

 

700

 

April 2013 Call @ 103.00

 

 

2,485

 

 

 

 

 

 

 

 

 

 

 

 

John Deere & Co.

 

 

 

 

 

1,000

 

March 2013 Call @ 87.50

 

 

10

 

 

 

 

 

 

 

 

 

 

 

 

Dreamworks Animation SKG, Inc. *

 

 

 

 

 

4,000

 

April 2013 Call @ 20.00

 

 

800

 

 

 

 

 

 

 

 

 

 

 

 

Eli Lilly & Co.

 

 

 

 

 

4,000

 

April 2013 Call @ 55.00

 

 

8,120

 

 

 

 

 

 

 

 

 

 

 

 

EMC Corp.

 

 

 

 

 

5,000

 

April 2013 Call @ 25.00

 

 

600

 

 

 

 

 

 

 

 

 

 

 

 

Facebook, Inc.

 

 

 

 

 

4,000

 

April 2013 Call @ 29.00

 

 

320

 

 

 

 

 

 

 

 

 

 

 

 

Freeport McMoran Copper & Gold, Inc.

 

 

 

 

 

4,400

 

April 2013 Call @ 35.00

 

 

880

 

 

 

 

 

 

 

 

 

 

 

 

Intel Corp.

 

 

 

 

 

9,000

 

October 2013 Call @ 20.00

 

 

21,060

 

 

 

 

 

 

 

 

 

 

 

 

Microsoft Corp.

 

 

 

 

 

5,000

 

April 2013 Call @ 29.00

 

 

1,550

 

 

 

 

 

 

 

 

 

 

 

 

Newmont Mining, Inc.

 

 

 

 

 

1,000

 

April 2013 Call @ 42.00

 

 

870

 

 

 

 

 

 

 

 

 

 

 

 

Novartis AG

 

 

 

 

 

1,000

 

April 2013 Call @ 70.00

 

 

1,700

 

 

 

 

 

 

 

 

 

 

 

 

Petroleo Brasileiro S.A. (Brazil)

 

 

 

 

 

6,000

 

April 2013 Call @ 18.00

 

 

600

 

 

 

 

 

 

 

 

 

 

 

 

Potash Corp.

 

 

 

 

 

4,000

 

September 2013 Call @ 38.00

 

 

11,160

 

 

 

 

 

 

 

 

 

 

 

 

Proshares Ultra Short S&P 500

 

 

 

 

 

1,000

 

April 2013 Call @ 52.00

 

 

80

 

 

 

 

 

 

 

 

 

 

 

 

Proshares Short Dow 30

 

 

 

 

 

3,000

 

May 2013 Call @ 31.00

 

 

1,350

 

 

 

 

 

 

 

 

 

 

 

 

VMWare, Inc.

 

 

 

 

 

500

 

April 2013 Call @ 77.50

 

 

                 1,850

 

 

 

 

 

 

 

 

 

 

 

 

Total (Premiums Paid $63,041)

 

 

$             68,023

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

NOTES TO FINANCIAL STATEMENTS

 

 

 

 

Baldwin Fund

 

 

 

 

 

 

1. SECURITY TRANSACTIONS

 

 

 

 

 

At March 31, 2013, the net unrealized depreciation on investments, based on cost for federal income tax purposes of $5,017,859 amounted to $169,291, which consisted of aggregate gross unrealized appreciation of $108,509 and aggregate gross unrealized depreciation of $277,800.

 

 

 

 

 

 

 

 

2. SECURITY VALUATION

 

 

 

 

 

Equity securities generally are valued by using market quotations, but may be valued on the basis of prices furnished by a pricing service when the adviser believes such prices accurately reflect the fair market value of such securities.  Securities that are traded on any stock exchange or on the NASDAQ over-the-counter market are generally valued by the pricing service at the last quoted sale price.  Lacking a last sale price, an equity security is generally valued by the pricing service at its last bid price.  When market quotations are not readily available, when the adviser determines that the market quotation or the price provided by the pricing service does not accurately reflect the current market value, or when restricted or illiquid securities are being valued, such securities are valued as determined in good faith by the adviser, in conformity with guidelines adopted by and subject to review by the Board of Trustees.

 

 

 

 

 

 

 

 

 

Fixed income securities generally are valued by using market quotations, but may be valued on the basis of prices furnished by a pricing service when the adviser believes such prices accurately reflect the fair market value of such securities.  A pricing service utilizes electronic data processing techniques based on yield spreads relating to securities with similar characteristics to determine prices for normal institutional-size trading units of debt securities without regard to sale or bid prices.  If the adviser decides that a price provided by the pricing service does not accurately reflect the fair market value of the securities, when prices are not readily available from a pricing service, or when restricted or illiquid securities are being valued, securities are valued at fair value as determined in good faith by the adviser, in conformity with guidelines adopted by and subject to review of the Board of Trustees.  Short term investments in fixed income securities with maturities of less than 60 days when acquired, or which subsequently are within 60 days of maturity, are valued by using the amortized cost method of valuation, which the Board has determined will represent fair value.     

 

In accordance with FAS 157, fair value is defined as the price that the Funds would receive to sell an asset or pay to transfer a liability in an orderly transaction between market participants at the measurement date. FAS 157 also establishes a framework for measuring fair value, and a three-level hierarchy for fair value measurements based upon the transparency  of  inputs  to  the valuation of an asset or liability.  The three-tier hierarchy of inputs is summarized below:

 

 

 

 

 

 

 

 

 

Valuation Inputs of Assets

Level 1

Level 2

Level 3

Total

 

Common Stock

$     2,490,124

              $0

              $0

$2,490,124

 

Exchange Traded Funds

386,220

0

0

386,220

 

Call Options Purchased

5,520

0

0

5,520

 

Put Options Purchased

57,035

0

0

57,035

 

Cash Equivalents

732,685

0

0

732,685

 

Total

 

 

$     3,671,584

$0

       $0

$3,671,584

 

 

 

 

 

 

 

 

 

Valuation Inputs of Liabilities

Level 1

Level 2

Level 3

Total

 

Options Written

$          68,023

       $0

$0

$68,023

 

Total

 

 

$          68,023

       $0

       $0

$68,023





ITEM 2. CONTROLS AND PROCEDURES.


      (a)

EVALUATION OF DISCLOSURE CONTROLS AND PROCEDURES. The Registrant maintains disclosure controls and procedures that are designed to ensure that information required to be disclosed in the Registrant's filings under the Securities Exchange Act of 1934 and the Investment Company Act of 1940 is recorded, processed, summarized and reported within the periods specified in the rules and forms of the Securities and Exchange Commission. Such information is accumulated and communicated to the Registrant's management, including its principal executive officer and principal financial officer, as appropriate, to allow timely decisions regarding required disclosure. The Registrant's management, including the principal executive officer and the principal financial officer, recognizes that any set of controls and procedures, no matter how well designed and operated, can provide only reasonable assurance of achieving the desired control objectives.

Within 90 days prior to the filing date of this Quarterly Schedule of Portfolio Holdings on Form N-Q, the Registrant had carried out an evaluation, under the supervision and with the participation of the Registrant's management, including the Registrant's principal executive officer and the Registrant's principal financial officer, of the effectiveness of the design and operation of the Registrant's disclosure controls and procedures. Based on such evaluation, the Registrant's principal executive officer and principal financial officer concluded that the Registrant's disclosure controls and procedures are effective.

      (b)

CHANGES IN INTERNAL CONTROLS. There have been no significant changes in the Registrant's internal controls or in other factors that could significantly affect the internal controls subsequent to the date of their evaluation in connection with the preparation of this Quarterly Schedule of Portfolio Holdings on Form N-Q.


ITEM 3. EXHIBITS.


Certifications pursuant to Rule 30a-2(a) under the 1940 Act and Section 302 of the Sarbanes-Oxley Act of 2002 are attached hereto.


SIGNATURES


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.



Frank Funds


By /s/Brian J. Frank, President

 Brian J. Frank

 President


Date: May 24, 2013


Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.


By /s/Brian J. Frank, President

Brian J. Frank

President


Date May 24, 2013


By /s/Monique M. Weiss

Monique M. Weiss

Secretary


Date May 24, 2013