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

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

 (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: September 30, 2014


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.




 

Value Fund

 

 

Schedule of Investments

 

 

September 30, 2014 (Unaudited)

 

 

 

 

 

 

 

 

 

 

Shares

 

 

 

 

Value

 

 

 

 

 

 

 

 

 

COMMON STOCKS - 68.00%

 

 

 

 

 

 

 

 

 

 

 

 

 

Arrangement of Transportation  - 2.85%

 

 

 

 

 

62,041

 

Roadrunner Transportation Systems, Inc. *

 

 

$          1,413,914

 

 

 

 

 

 

 

 

 

 

Computer Communications Equipment - 2.90%

 

 

 

 

 

57,119

 

Cisco Systems, Inc.

 

 

1,437,685

 

 

 

 

 

 

 

 

 

 

Computer Storage Devices - 3.01%

 

 

 

 

 

35,591

 

Teradata Corp. *

 

 

1,491,975

 

 

 

 

 

 

 

 

 

 

Finance Services - 5.69%

 

 

 

 

 

87,124

 

Blackhawk Network Holdings, Inc. Class-A *

 

 

2,822,818

 

 

 

 

 

 

 

 

 

 

Fire, Marine & Casualty Insurance - 11.11%

 

 

 

 

 

21,305

 

Berkshire Hathaway, Inc. Class-B *

 

 

            2,943,073

 

 

79,360

 

Greenlight Capital Reinsurance, Ltd. Class-A *

 

 

            2,572,058

 

 

 

 

 

 

 

5,515,131

 

 

Gold & Silver Ores - 3.08%

 

 

 

 

 

66,349

 

Goldcorp, Inc.

 

 

1,528,017

 

 

 

 

 

 

 

 

 

 

Leather & Leather Products - 2.66%

 

 

 

 

 

63,907

 

Vera Bradley, Inc. *

 

 

1,321,597

 

 

 

 

 

 

 

 

 

 

Retail-Apparel & Accessory Stores - 2.10%

 

 

 

 

 

74,971

 

Francesca's Holdings Corp. *

 

 

1,044,346

 

 

 

 

 

 

 

 

 

 

Retail-Food Stores - 2.73%

 

 

 

 

 

30,524

 

Vitamin Shoppe, Inc. *

 

 

1,354,960

 

 

 

 

 

 

 

 

 

 

Retail-Radio, TV & Consumer Electronics - 4.33%

 

 

 

 

 

21,313

 

Apple, Inc.

 

 

            2,147,285

 

 

 

 

 

 

 

 

 

 

Semiconductors & Related Devices - 2.88%

 

 

 

 

 

77,410

 

Nvidia Corp.

 

 

1,428,215

 

 

 

 

 

 

 

 

 

 

Services-Advertising - 4.65%

 

 

 

 

 

141,055

 

News Corp. *

 

 

2,306,249

 

 

 

 

 

 

 

 

 

 

Services-Business Services, NEC - 2.54%

 

 

 

 

 

91,891

 

RPX Corp. *

 

 

1,261,663

 

 

 

 

 

 

 

 

 

 

Services-Computer Integrated Systems Design - 5.06%

 

 

 

 

 

50,106

 

Quality Systems, Inc.

 

 

689,960

 

 

41,154

 

Science Applications International Corp.

 

 

            1,820,241

 

 

 

 

 

 

 

2,510,201

 

 

Services-Computer Programming, Data Processing, Etc. - 1.48%

 

 

 

 

 

27,221

 

Mantech International Corp. Class-A

 

 

               733,606

 

 

 

 

 

 

 

 

 

 

Services-Educational Services - 2.33%

 

 

 

 

 

42,798

 

American Public Education, Inc. *

 

 

            1,155,118

 

 

 

 

 

 

 

 

 

 

Services-Miscellaneous Business - 2.33%

 

 

 

 

 

142,980

 

Performant Financial Corp. *

 

 

            1,155,278

 

 

 

 

 

 

 

 

 

 

Services-Prepackaged Software - 6.29%

 

 

 

 

 

67,313

 

Microsoft Corp.

 

 

            3,120,631

 

 

 

 

 

 

 

 

 

 

TOTAL FOR COMMON STOCKS (Cost $30,607,478) - 68.00%

 

 

          33,748,689

 

 

 

 

 

 

 

 

 

Underlying Security

 

 

 

 

 

 

   Expiration Date/Exercise Price

 

 

 

 

 

 

 

 

 

 

 

 

PUT OPTIONS - 0.00% *

 

 

 

 

 

Shares Subject

 

 

 

 

 

 

 

to Put

 

 

 

 

 

 

 

 

 

Japan 10 Year Bond Future (JBG)

 

 

 

 

 

5,000,000

 

November 2014 Put @ 140.50

 

 

456

 

 

 

 

 

 

 

 

 

 

 

 

Total (Premiums Paid $483) - 0.00%

 

 

                     456

 

 

 

 

 

 

 

 

 

SHORT TERM INVESTMENTS - 32.07%

 

 

 

 

 

15,916,910

 

Fidelity Institutional Money Market Portfolio 0.06% (Cost $15,916,910) **

          15,916,910

 

 

 

 

 

 

 

 

 

TOTAL INVESTMENTS (Cost $46,524,871) - 100.07%

 

 

49,666,055

 

 

 

 

 

 

 

 

 

LIABILITIES IN EXCESS OF OTHER ASSETS -  (0.07%)

 

 

              (34,175)

 

 

 

 

 

 

 

 

 

NET ASSETS - 100.00%

 

 

 

 

$         49,631,880

 

 

 

 

 

 

 

 

 

 

* Non-income producing securities during the period.

 

 

 

 

 

** Variable rate security; the coupon rate shown represents the yield at September 30, 2014.

 

 

 

 

 

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

 

 

 

 

 

 

 

 

 

 

 

 

NOTES TO FINANCIAL STATEMENTS

 

 

 

 

Value Fund

 

 

 

 

 

 

1. SECURITY TRANSACTIONS

 

 

 

 

 

At September 30, 2014, the net unrealized depreciation on investments, based on cost for federal income tax purposes of $46,524,871 amounted to $3,141,110, which consisted of aggregate gross unrealized appreciation of $4,941,699 and aggregate gross unrealized depreciation of $1,800,589.

 

 

 

 

 

 

 

 

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

$33,748,689

              $0

              $0

$33,748,689

Options Purchased

456

0

0

456

Cash Equivalents

15,916,910

0

0

15,916,910

Total

 

 

$49,666,055

$0

       $0

$49,666,055





 

Baldwin Fund

 

 

Schedule of Investments

 

 

September 30, 2014 (Unaudited)

 

 

 

 

 

 

 

 

 

 

Shares

 

 

 

 

Value

 

 

 

 

 

 

 

 

 

COMMON STOCKS - 76.11%

 

 

 

 

 

 

 

 

 

 

 

 

 

Agricultural Chemicals  - 0.79%

 

 

 

 

 

500

 

The Scotts Miracle-Gro Co. Class-A

 

 

$         27,500

 

 

 

 

 

 

 

 

 

 

Cigarettes - 4.80%

 

 

 

 

 

 

 

2,000

 

Philip Morris International

 

 

166,800

 

 

 

 

 

 

 

 

 

 

Converted Paper & Paperboard Products (No Containers/Boxes) - 4.64%

 

 

 

 

 

1,500

 

Kimberly Clark Corp.

 

 

161,355

 

 

 

 

 

 

 

 

 

 

Crude Petroleum & Natural Gas - 1.85%

 

 

 

 

 

500

 

PetroChina Co., Ltd.

 

 

64,255

 

 

 

 

 

 

 

 

 

 

Electric Services - 0.38%

 

 

 

 

 

300

 

Huaneng Power International, Inc.

 

 

13,098

 

 

 

 

 

 

 

 

 

 

Farm Machinery & Equipment - 4.48%

 

 

 

 

 

1,900

 

John Deere & Co.

 

 

155,781

 

 

 

 

 

 

 

 

 

 

Finance Services - 4.84%

 

 

 

 

 

2,500

 

GSV Cap Corp. *

 

 

           25,025

 

 

7,000

 

Oneida Financial Corp.

 

 

           93,862

 

 

2,000

 

Synchrony Financial *

 

 

           49,100

 

 

 

 

 

 

 

167,987

 

 

Fire, Marine & Casualty Insurance - 4.60%

 

 

 

 

 

1,700

 

Travelers Corp.

 

 

159,698

 

 

 

 

 

 

 

 

 

 

Heavy Construction Other Than Building Const-Contractors - 1.92%

 

 

 

 

 

1,000

 

Fluor Corp.

 

 

66,790

 

 

 

 

 

 

 

 

 

 

Laboratory Analytical Instruments - 0.94%

 

 

 

 

 

200

 

Illumina, Inc. *

 

 

32,784

 

 

 

 

 

 

 

 

 

 

Metal Mining - 0.68%

 

 

 

 

 

 

400

 

BHP Billiton, Ltd.

 

 

23,552

 

 

 

 

 

 

 

 

 

 

Misc. Industrial & Commercial Machinery & Equipment - 4.74%

 

 

 

 

 

2,600

 

Eaton Corp.

 

 

164,762

 

 

 

 

 

 

 

 

 

 

Motor Vehicles & Passenger Car Bodies - 0.92%

 

 

 

 

 

1,000

 

General Motor Co.

 

 

           31,940

 

 

 

 

 

 

 

 

 

 

National Commercial Banks - 1.53%

 

 

 

 

 

1,500

 

NBT Bancorp.

 

 

33,780

 

 

2,000

 

Valley National Bank

 

 

           19,380

 

 

 

 

 

 

 

53,160

 

 

Patent Owners & Lessors - 0.79%

 

 

 

 

 

2,000

 

RPX Corp. *

 

 

           27,460

 

 

 

 

 

 

 

 

 

 

Petroleum Refining - 0.83%

 

 

 

 

 

800

 

Suncor Energy, Inc.

 

 

           28,920

 

 

 

 

 

 

 

 

 

 

Pharmaceutical Preparations - 5.14%

 

 

 

 

 

3,200

 

Bristol Myers Squibb Co.

 

 

163,776

 

 

2,000

 

Mankind Corp. *

 

 

11,820

 

 

1,000

 

Synta Pharmceuticals Corp. *

 

 

            3,010

 

 

 

 

 

 

 

178,606

 

 

Poultry Slaughtering & Processing - 4.56%

 

 

 

 

 

1,800

 

Sanderson Farms, Inc.

 

 

         158,310

 

 

 

 

 

 

 

 

 

 

Retail-Catalog & Mail-Order Houses - 0.93%

 

 

 

 

 

100

 

Amazon.com, Inc. *

 

 

           32,244

 

 

 

 

 

 

 

 

 

 

Retail-Drug Stores & Proprietary Stores - 4.61%

 

 

 

 

 

2,700

 

Walgreens Co.

 

 

         160,029

 

 

 

 

 

 

 

 

 

 

Retail-Eating Places - 4.91%

 

 

 

 

 

1,700

 

McDonald's Corp.

 

 

         161,177

 

 

800

 

Potbelly Corp. *

 

 

            9,328

 

 

 

 

 

 

 

170,505

 

 

Retail-Grocery Stores - 3.35%

 

 

 

 

 

4,000

 

Sprouts Farmers Market, Inc. *

 

 

         116,280

 

 

 

 

 

 

 

 

 

 

Semiconductors & Related Devices - 1.18%

 

 

 

 

 

1,000

 

Cree, Inc. *

 

 

           40,950

 

 

 

 

 

 

 

 

 

 

Services-Computer Programming, Data Processing, Etc. - 1.66%

 

 

 

 

 

100

 

Google, Inc. *

 

 

           57,736

 

 

 

 

 

 

 

 

 

 

Services-Engineering, Accounting, Research, Management - 4.83%

 

 

 

 

 

3,800

 

Paychex, Inc.

 

 

         167,960

 

 

 

 

 

 

 

 

 

 

Services-Prepackaged Software - 1.33%

 

 

 

 

 

1,000

 

3D Systems Corp. *

 

 

           46,370

 

 

 

 

 

 

 

 

 

 

Telephone Communication (No Radiotelephone) - 4.87%

 

 

 

 

 

4,800

 

AT&T Corp.

 

 

         169,152

 

 

 

 

 

 

 

 

 

 

TOTAL FOR COMMON STOCKS (Cost $2,758,427) - 76.11%

 

 

      2,643,984

 

 

 

 

 

 

 

 

 

EXCHANGE TRADED FUNDS - 11.41%

 

 

 

 

 

12,000

 

Aberdeen Asia Pacific Fund

 

 

           70,800

 

 

8,000

 

The Gamco Global Gold, Natural Resources & Income Trust

 

 

           74,000

 

 

4,000

 

Nuveen Build America

 

 

           81,560

 

 

1,000

 

SPDR Dow Jones Industrial Average

 

 

         170,070

 

 

 

 

 

 

 

 

 

 

TOTAL FOREXCHANGE TRADED FUNDS (Cost $436,092) - 11.41%

 

 

         396,430

 

 

 

 

 

 

 

 

 

LIMITED PARTNERSHIPS - 1.95%

 

 

 

 

 

1,000

 

TC Pipelines, L.P.

 

 

           67,710

 

 

 

 

 

 

 

 

 

 

TOTAL FOR LIMITED PARTNERSHIPS (Cost $63,065) - 1.95%

 

 

           67,710

 

 

 

 

 

 

 

 

 

Underlying Security

 

 

 

 

 

 

   Expiration Date/Exercise Price

 

 

 

 

 

 

 

 

 

 

 

 

PUT OPTIONS - 0.91% *

 

 

 

 

 

Shares Subject

 

 

 

 

 

 

 

to Put

 

 

 

 

 

 

 

 

 

AT&T Corp.

 

 

 

 

 

4,000

 

November 2014 Put @ 34.00

 

 

1,840

 

 

 

 

 

 

 

 

 

 

 

 

Best Buy Co., Inc.

 

 

 

 

 

3,400

 

October 2014 Put @ 29.00

 

 

272

 

 

 

 

 

 

 

 

 

 

 

 

Bristol Myers Squibb Co.

 

 

 

 

 

2,500

 

November 2014 Put @ 50.00

 

 

3,625

 

 

 

 

 

 

 

 

 

 

 

 

Deere & Co.

 

 

 

 

 

1,600

 

October 2014 Put @ 85.00

 

 

4,800

 

 

 

 

 

 

 

 

 

 

 

 

Eaton Corp., Plc.

 

 

 

 

 

2,200

 

November 2014 Put @ 62.50

 

 

4,400

 

 

 

 

 

 

 

 

 

 

 

 

Fluor Corp.

 

 

 

 

 

500

 

November 2014 Put @ 65.00

 

 

700

 

 

 

 

 

 

 

 

 

 

 

 

Kimberly-Clark Corp.

 

 

 

 

 

1,200

 

October 2014 Put @ 105.00

 

 

540

 

 

 

 

 

 

 

 

 

 

 

 

McDonald's Corp.

 

 

 

 

 

1,300

 

October 2014 Put @ 92.50

 

 

611

 

 

 

 

 

 

 

 

 

 

 

 

Paychex, Inc.

 

 

 

 

 

3,000

 

November 2014 Put @ 43.00

 

 

1,950

 

 

 

 

 

 

 

 

 

 

 

 

PetroChina Co., Ltd.

 

 

 

 

 

400

 

October 2014 Put @ 140.00

 

 

3,920

 

 

 

 

 

 

 

 

 

 

 

 

Philip Morris International, Inc.

 

 

 

 

 

1,600

 

October 2014 Put @ 85.00

 

 

3,520

 

 

 

 

 

 

 

 

 

 

 

 

Sanderson Farms, Inc.

 

 

 

 

 

1,500

 

November 2014 Put @ 85.00

 

 

0

 

 

 

 

 

 

 

 

 

 

 

 

SPDR Dow Jones Industrial Average

 

 

 

 

 

700

 

October 2014 Put @ 170.00

 

 

1,323

 

 

 

 

 

 

 

 

 

 

 

 

Sprouts Farmers Market, Inc.

 

 

 

 

 

3,000

 

October 2014 Put @ 27.50

 

 

600

 

 

 

 

 

 

 

 

 

 

 

 

The Travelers Companies, Inc.

 

 

 

 

 

1,400

 

October 2014 Put @ 92.50

 

 

770

 

 

 

 

 

 

 

 

 

 

 

 

Walgreen Co.

 

 

 

 

 

2,200

 

November 2014 Put @ 57.50

 

 

            2,640

 

 

 

 

 

 

 

 

 

 

 

 

Total (Premiums Paid $34,504) - 0.91%

 

 

           31,511

 

 

 

 

 

 

 

 

 

SHORT TERM INVESTMENTS - 3.24%

 

 

 

 

 

112,425

 

Fidelity Government Fund Class-I 0.01% (Cost $112,425) **

 

 

         112,425

 

 

 

 

 

 

 

 

 

TOTAL INVESTMENTS (Cost $3,404,513) - 93.61%

 

 

3,252,060

 

 

 

 

 

 

 

 

 

OTHER ASSETS LESS LIABILITIES - 6.39%

 

 

         221,830

 

 

 

 

 

 

 

  

 

NET ASSETS - 100.00%

 

 

 

 

$    3,473,890

 

 

 

 

 

 

 

 

 

 

* Non-income producing securities during the period.

 

 

 

 

 

** Variable rate security; the coupon rate shown represents the yield at September 30, 2014.

 

 

 

 

 

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

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Baldwin Fund

 

 

Schedule of Options Written

 

 

September 30, 2014 (Unaudited)

 

 

 

 

 

 

 

 

 

CALL OPTIONS WRITTEN *

 

 

 

 

 

 

 

 

 

 

 

 

 

Shares Subject

 

Underlying Security

 

 

 

 

 

to Call

 

Expiration Date/Exercise Price

 

 

Value

 

 

 

 

 

 

 

 

 

 

 

 

3D Systems Corp.

 

 

 

 

 

1,000

 

October 2014 Call @ 50.00

 

 

$             390

 

 

 

 

 

 

 

 

 

 

 

 

Amazon.com, Inc.

 

 

 

 

 

100

 

November 2014 Call @ 335.00

 

 

1,070

 

 

 

 

 

 

 

 

 

 

 

 

AT&T Corp.

 

 

 

 

 

4,800

 

October 2014 Call @ 35.50

 

 

1,296

 

 

 

 

 

 

 

 

 

 

 

 

BHP Billiton, Ltd.

 

 

 

 

 

400

 

November 2014 Call @ 65.00

 

 

188

 

 

 

 

 

 

 

 

 

 

 

 

Bristol-Myers Squibb Co.

 

 

 

 

 

3,200

 

October 2014 Call @ 52.00

 

 

2,848

 

 

 

 

 

 

 

 

 

 

 

 

Cree, Inc.

 

 

 

 

 

1,000

 

October 2014 Call @ 45.00

 

 

800

 

 

 

 

 

 

 

 

 

 

 

 

Deere & Co.

 

 

 

 

 

1,900

 

October 2014 Call @ 85.00

 

 

456

 

 

 

 

 

 

 

 

 

 

 

 

Eaton Corp., Plc.

 

 

 

 

 

400

 

November 2014 Call @ 65.00

 

 

520

 

 

 

 

 

 

 

 

 

 

 

 

Eaton Corp., Plc.

 

 

 

 

 

2,200

 

October 2014 Call @ 65.50

 

 

2,200

 

 

 

 

 

 

 

 

 

 

 

 

Fluor Corp.

 

 

 

 

 

1,000

 

October 2014 Call @ 70.00

 

 

200

 

 

 

 

 

 

 

 

 

 

 

 

General Motors Co.

 

 

 

 

 

1,000

 

October 2014 Call @ 34.00

 

 

190

 

 

 

 

 

 

 

 

 

 

 

 

Google, Inc.

 

 

 

 

 

100

 

October 2014 Call @ 580.00

 

 

1,665

 

 

 

 

 

 

 

 

 

 

 

 

GSV Capital Corp.

 

 

 

 

 

2,500

 

December 2014 Call @ 12.50

 

 

500

 

 

 

 

 

 

 

 

 

 

 

 

Huaneng Power International, Inc.

 

 

 

 

 

300

 

November 2014 Call @ 45.00

 

 

855

 

 

 

 

 

 

 

 

 

 

 

 

Illumina, Inc.

 

 

 

 

 

200

 

December 2014 Call @ 175.00

 

 

1,840

 

 

 

 

 

 

 

 

 

 

 

 

Kimberly Clark Corp.

 

 

 

 

 

1,500

 

October 2014 Call @ 110.00

 

 

675

 

 

 

 

 

 

 

 

 

 

 

 

MannKind Corp.

 

 

 

 

 

2,000

 

November 2014 Call @ 9.00

 

 

100

 

 

 

 

 

 

 

 

 

 

 

 

McDonald's Corp.

 

 

 

 

 

1,700

 

October 2014 Call @ 95.00

 

 

2,261

 

 

 

 

 

 

 

 

 

 

 

 

NBT Bancorp, Inc.

 

 

 

 

 

1,500

 

November 2014 Call @ 25.00

 

 

225

 

 

 

 

 

 

 

 

 

 

 

 

Paychex, Inc.

 

 

 

 

 

800

 

November 2014 Call @ 44.00

 

 

800

 

 

 

 

 

 

 

 

 

 

 

 

Paychex, Inc.

 

 

 

 

 

3,000

 

October 2014 Call @ 45.00

 

 

750

 

 

 

 

 

 

 

 

 

 

 

 

PetroChina Co., Ltd.

 

 

 

 

 

500

 

October 2014 Call @ 150.00

 

 

50

 

 

 

 

 

 

 

 

 

 

 

 

Philip Morris International, Inc.

 

 

 

 

 

2,000

 

October 2014 Call @ 86.00

 

 

160

 

 

 

 

 

 

 

 

 

 

 

 

Potbelly Corp.

 

 

 

 

 

800

 

October 2014 Call @ 12.50

 

 

120

 

 

 

 

 

 

 

 

 

 

 

 

Sanderson Farms, Inc.

 

 

 

 

 

1,800

 

October 2014 Call @ 90.00

 

 

0

 

 

 

 

 

 

 

 

 

 

 

 

Scotts Miracle-Gro Co.

 

 

 

 

 

500

 

December 2014 Call @ 58.00

 

 

450

 

 

 

 

 

 

 

 

 

 

 

 

SPDR Dow Jones Industrial Average

 

 

 

 

 

1,000

 

October 2014 Call @ 172.00

 

 

180

 

 

 

 

 

 

 

 

 

 

 

 

Sprouts Famers Market, Inc.

 

 

 

 

 

4,000

 

October 2014 Call @ 30.00

 

 

1,600

 

 

 

 

 

 

 

 

 

 

 

 

Suncor Energy, Inc.

 

 

 

 

 

800

 

October 2014 Call @ 39.00

 

 

56

 

 

 

 

 

 

 

 

 

 

 

 

Synchrony Financial

 

 

 

 

 

2,000

 

October 2014 Call @ 25.00

 

 

700

 

 

 

 

 

 

 

 

 

 

 

 

Synta Pharmaceuticals Corp.

 

 

 

 

 

1,000

 

November 2014 Call @ 4.50

 

 

250

 

 

 

 

 

 

 

 

 

 

 

 

TC Pipelines L.P.

 

 

 

 

 

1,000

 

November 2014 Call @ 60.00

 

 

9,100

 

 

 

 

 

 

 

 

 

 

 

 

Travelers Companies, Inc.

 

 

 

 

 

1,700

 

October 2014 Call @ 95.00

 

 

935

 

 

 

 

 

 

 

 

 

 

 

 

Valley National Bancorp

 

 

 

 

 

2,000

 

December 2014 Call @ 10.00

 

 

600

 

 

 

 

 

 

 

 

 

 

 

 

Walgreen Co.

 

 

 

 

 

2,700

 

October 2014 Call @ 61.50

 

 

            1,674

 

 

 

 

 

 

 

 

 

 

 

 

Total (Premiums Paid $47,354)

 

 

$         35,704

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

NOTES TO FINANCIAL STATEMENTS

 

 

 

 

Baldwin Fund

 

 

 

 

 

 

1. SECURITY TRANSACTIONS

 

 

 

 

 

At September 30, 2014, the net unrealized depreciation on investments, based on cost for federal income tax purposes of $3,404,513 amounted to $140,813, which consisted of aggregate gross unrealized appreciation of $52,118 and aggregate gross unrealized depreciation of $192,931.

 

 

 

 

 

 

 

 

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

$     2,643,984

              $0

              $0

$2,643,984

Exchange Traded Funds

396,430

0

0

396,430

Limited Partnerships

67,710

0

0

67,710

Options Purchased

31,511

0

0

31,511

Cash Equivalents

112,425

0

0

112,425

Total

 

 

$     3,252,060

$0

       $0

$3,252,060

 

 

 

 

 

 

 

Valuation Inputs of Liabilities

Level 1

Level 2

Level 3

Total

Options Written

$          35,704

       $0

$0

$35,704

Total

 

 

$          35,704

       $0

       $0

$35,704




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: November 24, 2014


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 November 24, 2014


By /s/Monique M. Weiss

Monique M. Weiss

Secretary


Date November 24, 2014