N-Q 1 a10-21801_1nq.htm N-Q

 

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

 

FORM N-Q

 

QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED
MANAGEMENT INVESTMENT COMPANY

 

Investment Company Act file number:

811-06403

 

 

MORGAN STANLEY EMERGING MARKETS FUND, INC.

(Exact name of registrant as specified in charter)

 

522 Fifth Avenue, New York, New York

 

10036

(Address of principal executive offices)

 

(Zip code)

 

Sara Furber
522 Fifth Avenue, New York, New York 10036

(Name and address of agent for service)

 

Registrant’s telephone number, including area code:

212-296-6963

 

 

Date of fiscal year end:

12/31

 

 

 

 

Date of reporting period:

9/30/10

 

 


 

Item 1.  Schedule of Investments.

 

The Fund’s schedule of investments as of the close of the reporting period prepared pursuant to Rule 12-12 of Regulation S-X is as follows:

 


 

 

Morgan Stanley Emerging Markets Fund, Inc.

 

 

 

September 30, 2010 (unaudited)

 

Portfolio of Investments

 

 

 

Shares

 

Value
(000)

 

Common Stocks (96.5%)

 

 

 

 

 

Argentina (0.2%)

 

 

 

 

 

Commercial Banks

 

 

 

 

 

Banco Macro SA ADR (a)

 

14,650

 

$

652

 

 

 

 

 

 

 

Brazil (11.9%)

 

 

 

 

 

Beverages

 

 

 

 

 

Cia de Bebidas das Americas (Preference) ADR (a)

 

20,800

 

2,574

 

 

 

 

 

 

 

Commercial Banks

 

 

 

 

 

Banco Bradesco SA (Preference)

 

36,542

 

733

 

Banco Bradesco SA ADR (a)

 

92,862

 

1,893

 

Banco do Brasil SA

 

82,700

 

1,570

 

Banco Nacional SA (Preference) (b)(c)(d)

 

61,598,720

 

—

 

Itau Unibanco Holding SA

 

59,360

 

1,420

 

Itau Unibanco Holding SA (Preference) ADR

 

160,063

 

3,870

 

 

 

 

 

9,486

 

Diversified Financial Services

 

 

 

 

 

BM&F Bovespa SA

 

303,000

 

2,534

 

 

 

 

 

 

 

Food Products

 

 

 

 

 

BRF - Brasil Foods SA

 

170,022

 

2,587

 

 

 

 

 

 

 

Household Durables

 

 

 

 

 

MRV Engenharia e Participacoes SA

 

119,400

 

1,133

 

PDG Realty SA. Empreendimentos e Participacoes

 

162,100

 

1,931

 

 

 

 

 

3,064

 

Media

 

 

 

 

 

NET Servicos de Comunicacao SA (Preference) (b)

 

42,542

 

556

 

 

 

 

 

 

 

Metals & Mining

 

 

 

 

 

Vale SA (Preference)

 

17,252

 

472

 

Vale SA (Preference) ADR (a)

 

155,888

 

4,326

 

 

 

 

 

4,798

 

Oil, Gas & Consumable Fuels

 

 

 

 

 

OGX Petroleo e Gas Participacoes SA (b)

 

96,300

 

1,255

 

Petroleo Brasileiro SA ADR (a)

 

21,800

 

791

 

Petroleo Brasileiro SA (Preference)

 

194,932

 

3,144

 

Ultrapar Participacoes SA (Preference)

 

17,940

 

1,079

 

 

 

 

 

6,269

 

Wireless Telecommunication Services

 

 

 

 

 

Tim Participacoes SA ADR (a)

 

22,100

 

729

 

Vivo Participacoes SA ADR (a)

 

56,900

 

1,546

 

 

 

 

 

2,275

 

 

 

 

 

34,143

 

 


 

 

Morgan Stanley Emerging Markets Fund, Inc.

 

 

 

September 30, 2010 (unaudited)

 

Portfolio of Investments

 

 

 

Shares

 

Value
(000)

 

China (14.3%)

 

 

 

 

 

Automobiles

 

 

 

 

 

Dongfeng Motor Group Co., Ltd., Class H

 

866,000

 

$

1,772

 

 

 

 

 

 

 

Beverages

 

 

 

 

 

Tsingtao Brewery Co., Ltd., Class H

 

142,000

 

818

 

 

 

 

 

 

 

Commercial Banks

 

 

 

 

 

Agricultural Bank of China (b)

 

3,918,000

 

2,030

 

Bank of China Ltd., Class H

 

2,767,000

 

1,452

 

China Citic Bank Corp. Ltd., Class H

 

1,565,000

 

998

 

China Construction Bank Corp., Class H

 

5,283,000

 

4,630

 

 

 

 

 

9,110

 

Diversified Telecommunication Services

 

 

 

 

 

China Telecom Corp. Ltd., Class H

 

2,830,000

 

1,554

 

China Unicom Hong Kong Ltd. (a)

 

1,136,000

 

1,663

 

 

 

 

 

3,217

 

Electrical Equipment

 

 

 

 

 

China High Speed Transmission Equipment Group Co., Ltd.

 

407,000

 

883

 

 

 

 

 

 

 

Energy Equipment & Services

 

 

 

 

 

China Oilfield Services Ltd., Class H

 

782,000

 

1,224

 

 

 

 

 

 

 

Food Products

 

 

 

 

 

Want Want China Holdings Ltd. (a)

 

1,139,000

 

1,057

 

 

 

 

 

 

 

Independent Power Producers & Energy Traders

 

 

 

 

 

China Resources Power Holdings Co., Ltd.

 

836,300

 

1,798

 

 

 

 

 

 

 

Industrial Conglomerates

 

 

 

 

 

Beijing Enterprises Holdings Ltd.

 

214,000

 

1,523

 

Shanghai Industrial Holdings Ltd.

 

408,000

 

2,061

 

 

 

 

 

3,584

 

Insurance

 

 

 

 

 

China Life Insurance Co., Ltd., Class H

 

482,000

 

1,904

 

China Pacific Insurance Group Co., Ltd., Class H

 

362,000

 

1,360

 

Ping An Insurance Group Co. of China Ltd., Class H (a)

 

150,500

 

1,536

 

 

 

 

 

4,800

 

Internet Software & Services

 

 

 

 

 

Netease.com ADR (b)

 

17,300

 

682

 

Sohu.com, Inc. (b)

 

13,300

 

766

 

Tencent Holdings Ltd.

 

26,100

 

571

 

 

 

 

 

2,019

 

 


 

 

Morgan Stanley Emerging Markets Fund, Inc.

 

 

 

September 30, 2010 (unaudited)

 

Portfolio of Investments

 

 

 

Shares

 

Value
(000)

 

Machinery

 

 

 

 

 

Sany Heavy Equipment International Holdings Co., Ltd. (a)

 

563,000

 

$

994

 

 

 

 

 

 

 

Oil, Gas & Consumable Fuels

 

 

 

 

 

China Coal Energy Co., Class H

 

978,000

 

1,619

 

China Petroleum & Chemical Corp., Class H

 

316,000

 

280

 

Yanzhou Coal Mining Co. Ltd.

 

414,000

 

1,016

 

 

 

 

 

2,915

 

Personal Products

 

 

 

 

 

Hengan International Group Co., Ltd.

 

79,000

 

788

 

 

 

 

 

 

 

Semiconductors & Semiconductor Equipment

 

 

 

 

 

JA Solar Holdings Co., Ltd. ADR (b)

 

71,400

 

666

 

 

 

 

 

 

 

Specialty Retail

 

 

 

 

 

Belle International Holdings Ltd.

 

1,044,000

 

2,096

 

GOME Electrical Appliances Holdings Ltd. (b)

 

2,492,500

 

752

 

 

 

 

 

2,848

 

Wireless Telecommunication Services

 

 

 

 

 

China Mobile Ltd.

 

253,000

 

2,591

 

 

 

 

 

41,084

 

Czech Republic (0.8%)

 

 

 

 

 

Commercial Banks

 

 

 

 

 

Komercni Banka AS

 

11,024

 

2,405

 

 

 

 

 

 

 

Egypt (2.1%)

 

 

 

 

 

Commercial Banks

 

 

 

 

 

Commercial International Bank Egypt SAE

 

319,974

 

2,411

 

 

 

 

 

 

 

Construction & Engineering

 

 

 

 

 

Orascom Construction Industries

 

14,928

 

657

 

Orascom Construction Industries GDR

 

12,514

 

563

 

 

 

 

 

1,220

 

Diversified Telecommunication Services

 

 

 

 

 

Telecom Egypt

 

523,801

 

1,608

 

 

 

 

 

 

 

Food & Staples Retailing

 

 

 

 

 

Juhayna Food Industries (b)

 

815,033

 

816

 

 

 

 

 

6,055

 

Hungary (1.2%)

 

 

 

 

 

Oil, Gas & Consumable Fuels

 

 

 

 

 

MOL Hungarian Oil and Gas PLC (b)

 

12,609

 

1,325

 

 


 

 

Morgan Stanley Emerging Markets Fund, Inc.

 

 

 

September 30, 2010 (unaudited)

 

Portfolio of Investments

 

 

 

Shares

 

Value
(000)

 

Pharmaceuticals

 

 

 

 

 

Richter Gedeon Nyrt

 

9,135

 

$

2,119

 

 

 

 

 

3,444

 

India (9.8%)

 

 

 

 

 

Chemicals

 

 

 

 

 

Asian Paints Ltd.

 

16,854

 

999

 

 

 

 

 

 

 

Commercial Banks

 

 

 

 

 

HDFC Bank Ltd.

 

59,872

 

3,317

 

IndusInd Bank Ltd.

 

264,700

 

1,566

 

State Bank of India

 

3,200

 

231

 

Yes Bank Ltd.

 

121,683

 

948

 

 

 

 

 

6,062

 

Construction & Engineering

 

 

 

 

 

Engineers India Ltd.

 

84,659

 

658

 

Larsen & Toubro Ltd.

 

28,544

 

1,304

 

 

 

 

 

1,962

 

Diversified Financial Services

 

 

 

 

 

Infrastructure Development Finance Co. Ltd.

 

370,258

 

1,671

 

Rural Electrification Corp. Ltd.

 

142,874

 

1,119

 

 

 

 

 

2,790

 

Electric Utilities

 

 

 

 

 

KSK Energy Ventures Ltd. (b)

 

171,500

 

664

 

 

 

 

 

 

 

Food Products

 

 

 

 

 

Nestle India Ltd.

 

9,850

 

741

 

 

 

 

 

 

 

Information Technology Services

 

 

 

 

 

Infosys Technologies Ltd.

 

58,338

 

3,960

 

 

 

 

 

 

 

Machinery

 

 

 

 

 

Tata Motors Ltd.

 

100,433

 

2,454

 

 

 

 

 

 

 

Media

 

 

 

 

 

Sun TV Network Ltd.

 

68,035

 

786

 

 

 

 

 

 

 

Metals & Mining

 

 

 

 

 

Hindalco Industries Ltd.

 

269,990

 

1,184

 

Jindal Steel & Power Ltd.

 

52,792

 

831

 

 

 

 

 

2,015

 

Oil, Gas & Consumable Fuels

 

 

 

 

 

Reliance Industries Ltd.

 

77,085

 

1,694

 

 


 

 

Morgan Stanley Emerging Markets Fund, Inc.

 

 

 

September 30, 2010 (unaudited)

 

Portfolio of Investments

 

 

 

Shares

 

Value
(000)

 

Pharmaceuticals

 

 

 

 

 

Dr. Reddy’s Laboratories Ltd.

 

51,955

 

$

1,667

 

Glenmark Pharmaceuticals Ltd.

 

184,760

 

1,232

 

 

 

 

 

2,899

 

Tobacco

 

 

 

 

 

ITC Ltd.

 

270,800

 

1,075

 

 

 

 

 

28,101

 

Indonesia (4.5%)

 

 

 

 

 

Automobiles

 

 

 

 

 

Astra International Tbk PT

 

426,600

 

2,710

 

 

 

 

 

 

 

Commercial Banks

 

 

 

 

 

Bank Central Asia Tbk PT

 

2,605,000

 

1,955

 

Bank Rakyat Indonesia

 

1,040,500

 

1,166

 

 

 

 

 

3,121

 

Diversified Telecommunication Services

 

 

 

 

 

Telekomunikasi Indonesia Tbk PT

 

1,709,500

 

1,762

 

 

 

 

 

 

 

Food Products

 

 

 

 

 

Golden Agri-Resources Ltd.

 

3,046,000

 

1,320

 

Indofood CBP Sukses Makmur Tbk PT (b)

 

399,000

 

241

 

Indofood Sukses Makmur Tbk PT

 

2,586,500

 

1,580

 

 

 

 

 

3,141

 

Gas Utilities

 

 

 

 

 

Perusahaan Gas Negara PT

 

2,185,500

 

943

 

 

 

 

 

 

 

Wireless Telecommunication Services

 

 

 

 

 

Indosat Tbk PT

 

1,915,500

 

1,181

 

 

 

 

 

12,858

 

Israel (0.0%)

 

 

 

 

 

Aerospace & Defense

 

 

 

 

 

Elbit Systems Ltd.

 

1

 

—@

 

 

 

 

 

 

 

Korea, Republic of (11.8%)

 

 

 

 

 

Auto Components

 

 

 

 

 

Hyundai Mobis

 

8,023

 

1,808

 

 

 

 

 

 

 

Automobiles

 

 

 

 

 

Hyundai Motor Co.

 

21,608

 

2,899

 

 

 

 

 

 

 

Chemicals

 

 

 

 

 

Cheil Industries, Inc.

 

15,971

 

1,398

 

LG Chem Ltd.

 

9,308

 

2,723

 

 

 


 

 

Morgan Stanley Emerging Markets Fund, Inc.

 

 

 

September 30, 2010 (unaudited)

 

Portfolio of Investments

 

 

 

Shares

 

Value
(000)

 

OCI Co., Ltd.

 

4,575

 

$

1,418

 

SSCP Co., Ltd. (b)

 

40,153

 

261

 

 

 

 

 

5,800

 

Commercial Banks

 

 

 

 

 

KB Financial Group, Inc.

 

40,185

 

1,727

 

Shinhan Financial Group Co., Ltd.

 

44,976

 

1,722

 

 

 

 

 

3,449

 

Construction & Engineering

 

 

 

 

 

GS Engineering & Construction Corp.

 

7,691

 

592

 

Hyundai Engineering & Construction Co., Ltd.

 

19,878

 

1,264

 

 

 

 

 

1,856

 

Diversified Telecommunication Services

 

 

 

 

 

KT Corp.

 

22,400

 

898

 

KT Corp. ADR (a)

 

5,500

 

112

 

 

 

 

 

1,010

 

Electronic Equipment, Instruments & Components

 

 

 

 

 

LG Display Co., Ltd.

 

25,360

 

876

 

LG Display Co., Ltd. ADR (a)

 

12,200

 

213

 

 

 

 

 

1,089

 

Food & Staples Retailing

 

 

 

 

 

Shinsegae Co., Ltd.

 

2,255

 

1,189

 

 

 

 

 

 

 

Household Durables

 

 

 

 

 

Woongjin Coway Co., Ltd.

 

49,747

 

1,937

 

 

 

 

 

 

 

Insurance

 

 

 

 

 

Samsung Fire & Marine Insurance Co., Ltd.

 

8,091

 

1,384

 

 

 

 

 

 

 

Internet Software & Services

 

 

 

 

 

NHN Corp. (b)

 

7,705

 

1,324

 

 

 

 

 

 

 

Media

 

 

 

 

 

Cheil Worldwide, Inc.

 

97,231

 

1,155

 

 

 

 

 

 

 

Metals & Mining

 

 

 

 

 

Hyundai Steel Co.

 

8,812

 

904

 

 

 

 

 

 

 

Personal Products

 

 

 

 

 

Amorepacific Corp.

 

869

 

873

 

 

 

 

 

 

 

Semiconductors & Semiconductor Equipment

 

 

 

 

 

Samsung Electronics Co., Ltd.

 

9,030

 

6,153

 

Samsung Electronics Co., Ltd. (Preference)

 

1,966

 

961

 

 

 

 

 

7,114

 

 


 

 

Morgan Stanley Emerging Markets Fund, Inc.

 

 

 

September 30, 2010 (unaudited)

 

Portfolio of Investments

 

 

 

Shares

 

Value
(000)

 

Trading Companies & Distributors

 

 

 

 

 

Samsung C&T Corp.

 

4,895

 

$

267

 

 

 

 

 

34,058

 

Lebanon (0.7%)

 

 

 

 

 

Commercial Banks

 

 

 

 

 

Banque Audi sal- Audi Saradar Group GDR

 

124,861

 

1,110

 

BLOM Bank SAL GDR

 

9,901

 

941

 

 

 

 

 

2,051

 

Malaysia (1.4%)

 

 

 

 

 

Industrial Conglomerates

 

 

 

 

 

Sime Darby Bhd

 

431,600

 

1,188

 

 

 

 

 

 

 

Wireless Telecommunication Services

 

 

 

 

 

Axiata Group Bhd (b)

 

1,914,700

 

2,717

 

 

 

 

 

3,905

 

Mexico (5.1%)

 

 

 

 

 

Beverages

 

 

 

 

 

Fomento Economico Mexicano SAB de CV ADR

 

58,400

 

2,962

 

 

 

 

 

 

 

Commercial Banks

 

 

 

 

 

Grupo Financiero Banorte SAB de CV Series O

 

374,800

 

1,422

 

 

 

 

 

 

 

Construction & Engineering

 

 

 

 

 

Empresas ICA SAB de CV (b)

 

254,100

 

617

 

 

 

 

 

 

 

Food & Staples Retailing

 

 

 

 

 

Wal-Mart de Mexico SAB de CV Series V

 

732,300

 

1,842

 

 

 

 

 

 

 

Household Durables

 

 

 

 

 

Desarrolladora Homex SAB de CV ADR (a)(b)

 

5,087

 

165

 

 

 

 

 

 

 

Pharmaceuticals

 

 

 

 

 

Genomma Lab Internacional SA de CV, Class B (b)

 

338,000

 

649

 

 

 

 

 

 

 

Wireless Telecommunication Services

 

 

 

 

 

America Movil SAB de CV, Class L ADR

 

131,612

 

7,019

 

 

 

 

 

14,676

 

Peru (1.5%)

 

 

 

 

 

Commercial Banks

 

 

 

 

 

Credicorp Ltd. (a)

 

17,330

 

1,974

 

 


 

 

Morgan Stanley Emerging Markets Fund, Inc.

 

 

 

September 30, 2010 (unaudited)

 

Portfolio of Investments

 

 

 

Shares

 

Value
(000)

 

Metals & Mining

 

 

 

 

 

Cia de Minas Buenaventura SA ADR

 

28,550

 

$

1,290

 

Southern Copper Corp. (a)

 

33,506

 

1,176

 

 

 

 

 

2,466

 

 

 

 

 

4,440

 

Philippines (2.2%)

 

 

 

 

 

Commercial Banks

 

 

 

 

 

Metropolitan Bank & Trust

 

834,800

 

1,331

 

 

 

 

 

 

 

Diversified Financial Services

 

 

 

 

 

Ayala Corp.

 

125,200

 

1,166

 

Metro Pacific Investments Corp.

 

13,885,000

 

1,189

 

 

 

 

 

2,355

 

Industrial Conglomerates

 

 

 

 

 

SM Investments Corp.

 

101,130

 

1,314

 

 

 

 

 

 

 

Wireless Telecommunication Services

 

 

 

 

 

Philippine Long Distance Telephone Co.

 

20,370

 

1,214

 

 

 

 

 

6,214

 

Poland (3.9%)

 

 

 

 

 

Beverages

 

 

 

 

 

Central European Distribution Corp. (a)(b)

 

48,551

 

1,084

 

 

 

 

 

 

 

Commercial Banks

 

 

 

 

 

Powszechna Kasa Oszczednosci Bank Polski SA (b)

 

177,753

 

2,693

 

 

 

 

 

 

 

Diversified Telecommunication Services

 

 

 

 

 

Telekomunikacja Polska SA

 

389,013

 

2,406

 

 

 

 

 

 

 

Food & Staples Retailing

 

 

 

 

 

Jeronimo Martins SGPS SA

 

112,743

 

1,508

 

 

 

 

 

 

 

Insurance

 

 

 

 

 

Powszechny Zaklad Ubezpieczen SA

 

11,488

 

1,620

 

 

 

 

 

 

 

Oil, Gas & Consumable Fuels

 

 

 

 

 

Polski Koncern Naftowy Orlen SA (b)

 

128,962

 

1,775

 

 

 

 

 

11,086

 

Russia (3.6%)

 

 

 

 

 

Commercial Banks

 

 

 

 

 

Sberbank of Russian Federation

 

552,650

 

1,554

 

 

 

 

 

 

 

Electric Utilities

 

 

 

 

 

RusHydro (b)

 

1,318,643

 

68

 

 


 

 

Morgan Stanley Emerging Markets Fund, Inc.

 

 

 

September 30, 2010 (unaudited)

 

Portfolio of Investments

 

 

 

Shares

 

Value
(000)

 

RusHydro ADR (b)

 

4,741,171

 

$

243

 

 

 

 

 

311

 

Food & Staples Retailing

 

 

 

 

 

X5 Retail Group NV GDR (b)

 

29,060

 

1,162

 

 

 

 

 

 

 

Food Products

 

 

 

 

 

Wimm-Bill-Dann Foods OJSC ADR

 

60,216

 

1,362

 

 

 

 

 

 

 

Health Care Providers & Services

 

 

 

 

 

Protek (b)

 

250,000

 

504

 

 

 

 

 

 

 

Oil, Gas & Consumable Fuels

 

 

 

 

 

Lukoil OAO ADR

 

68,442

 

3,881

 

Rosneft Oil Co. GDR (b)

 

259,317

 

1,729

 

 

 

 

 

5,610

 

Paper & Forest Products

 

 

 

 

 

Alliance Cellulose Ltd., Class B (b)(c)(d)

 

156,075

 

—

 

 

 

 

 

10,503

 

South Africa (6.8%)

 

 

 

 

 

Beverages

 

 

 

 

 

SABMiller PLC

 

73,234

 

2,382

 

 

 

 

 

 

 

Distributors

 

 

 

 

 

Imperial Holdings Ltd.

 

79,965

 

1,302

 

 

 

 

 

 

 

Food & Staples Retailing

 

 

 

 

 

Pick n Pay Stores Ltd.

 

175,161

 

1,086

 

 

 

 

 

 

 

Food Products

 

 

 

 

 

AVI Ltd.

 

407,058

 

1,589

 

 

 

 

 

 

 

Media

 

 

 

 

 

Naspers Ltd., Class N

 

70,130

 

3,429

 

 

 

 

 

 

 

Metals & Mining

 

 

 

 

 

Impala Platinum Holdings Ltd.

 

112,800

 

2,913

 

 

 

 

 

 

 

Multiline Retail

 

 

 

 

 

Clicks Group Ltd.

 

353,800

 

2,244

 

 

 

 

 

 

 

Wireless Telecommunication Services

 

 

 

 

 

MTN Group Ltd.

 

251,066

 

4,538

 

 

 

 

 

19,483

 

 


 

 

Morgan Stanley Emerging Markets Fund, Inc.

 

 

 

September 30, 2010 (unaudited)

 

Portfolio of Investments

 

 

 

Shares

 

Value
(000)

 

Taiwan (7.1%)

 

 

 

 

 

Capital Markets

 

 

 

 

 

Yuanta Financial Holding Co., Ltd.

 

1,401,000

 

$

852

 

 

 

 

 

 

 

Chemicals

 

 

 

 

 

Formosa Plastics Corp.

 

548,000

 

1,345

 

Taiwan Fertilizer Co., Ltd.

 

273,000

 

853

 

 

 

 

 

2,198

 

Communications Equipment

 

 

 

 

 

HTC Corp.

 

72,397

 

1,643

 

 

 

 

 

 

 

Computers & Peripherals

 

 

 

 

 

Acer, Inc.

 

382,557

 

972

 

Asustek Computer, Inc.

 

90,000

 

645

 

Lite-On Technology Corp.

 

538,759

 

680

 

 

 

 

 

2,297

 

Diversified Financial Services

 

 

 

 

 

Fubon Financial Holding Co., Ltd.

 

1,087,590

 

1,339

 

 

 

 

 

 

 

Electronic Equipment, Instruments & Components

 

 

 

 

 

AU Optronics Corp. (b)

 

1,092,130

 

1,133

 

Chimei Innolux Corp. (b)

 

254,000

 

345

 

Hon Hai Precision Industry Co., Ltd.

 

948,576

 

3,568

 

 

 

 

 

5,046

 

Food Products

 

 

 

 

 

Uni-President Enterprises Corp.

 

1,172,100

 

1,521

 

 

 

 

 

 

 

Insurance

 

 

 

 

 

Cathay Financial Holding Co., Ltd.

 

996,407

 

1,523

 

 

 

 

 

 

 

Metals & Mining

 

 

 

 

 

China Steel Corp.

 

1,379,055

 

1,426

 

 

 

 

 

 

 

Semiconductors & Semiconductor Equipment

 

 

 

 

 

Taiwan Semiconductor Manufacturing Co., Ltd.

 

1,289,455

 

2,559

 

 

 

 

 

20,404

 

Thailand (2.8%)

 

 

 

 

 

Commercial Banks

 

 

 

 

 

Kasikornbank PCL (Foreign)

 

242,900

 

992

 

Kasikornbank PCL NVDR

 

373,400

 

1,440

 

Siam Commercial Bank PCL (Foreign)

 

631,400

 

2,153

 

 

 

 

 

4,585

 

 


 

 

Morgan Stanley Emerging Markets Fund, Inc.

 

 

 

September 30, 2010 (unaudited)

 

Portfolio of Investments

 

 

 

Shares

 

Value
(000)

 

 

 

 

 

 

 

Construction Materials

 

 

 

 

 

Siam Cement PCL NVDR

 

189,800

 

$

2,083

 

 

 

 

 

 

 

Wireless Telecommunication Services

 

 

 

 

 

Total Access Communication PCL NVDR

 

1,013,700

 

1,394

 

 

 

 

 

8,062

 

Turkey (4.0%)

 

 

 

 

 

Beverages

 

 

 

 

 

Anadolu Efes Biracilik Ve Malt Sanayii AS

 

163,229

 

2,550

 

Coca-Cola Icecek AS

 

83,272

 

1,019

 

 

 

 

 

3,569

 

Commercial Banks

 

 

 

 

 

Akbank TAS

 

188,973

 

1,156

 

Turkiye Garanti Bankasi AS

 

337,200

 

1,958

 

 

 

 

 

3,114

 

Diversified Telecommunication Services

 

 

 

 

 

Turk Telekomunikasyon AS

 

351,715

 

1,580

 

 

 

 

 

 

 

Oil, Gas & Consumable Fuels

 

 

 

 

 

Tupras Turkiye Petrol Rafine

 

43,769

 

1,180

 

 

 

 

 

 

 

Transportation Infrastructure

 

 

 

 

 

TAV Havalimanlari Holding AS (b)

 

386,112

 

2,069

 

 

 

 

 

11,512

 

United States (0.8%)

 

 

 

 

 

Food Products

 

 

 

 

 

Mead Johnson Nutrition Co.

 

40,629

 

2,312

 

Total Common Stocks (Cost $210,140)

 

 

 

277,448

 

 

 

 

 

 

 

Investment Company (1.0%)

 

 

 

 

 

India (1.0%)

 

 

 

 

 

Morgan Stanley Growth Fund (b)(e) (Cost $332)

 

1,903,180

 

2,913

 

 

 

 

Face
Amount
(000)

 

 

 

Corporate Bond (0.0%)

 

 

 

 

 

India (0.0%)

 

 

 

 

 

Metals & Mining (0.0%)

 

 

 

 

 

Shri Ishar Alloy Steels,

 

 

 

 

 

15.00%, (expired maturity) (b)(c)(d) (Cost $408)

 

INR

581

 

—

 

 


 

 

Morgan Stanley Emerging Markets Fund, Inc.

 

 

 

September 30, 2010 (unaudited)

 

Portfolio of Investments

 

 

 

Shares

 

Value
(000)

 

Short-Term Investments (7.9%)

 

 

 

 

 

Securities held as Collateral on Loaned Securities (5.6%)

 

 

 

 

 

Investment Company (4.9%)

 

 

 

 

 

Morgan Stanley Institutional Liquidity Funds - Money Market Portfolio - Institutional Class (e)

 

13,997,488

 

$

13,997

 

 

 

 

Face
Amount
(000)

 

 

 

Repurchase Agreements (0.7%)

 

 

 

 

 

Bank of America Securities, LLC, (0.32%, dated 9/30/10, due 10/01/10; proceeds $922; fully collateralized by a U.S. Government Agency at the date of this Portfolio of Investments as follows: Federal National Mortgage Association; 4.50% due 9/01/40; valued at $940)

 

$

922

 

922

 

Barclays Capital, Inc., (0.25%, dated 9/30/10, due 10/01/10; proceeds $1,049; fully collateralized by a U.S. Treasury Security at the date of this Portfolio of Investments as follows: U.S. Treasury Bond; 8.50% due 2/15/20; valued at $1,069)

 

1,049

 

1,049

 

 

 

 

 

1,971

 

Total Securities held as Collateral on Loaned Securities (Cost $15,968)

 

 

 

15,968

 

 

 

 

Shares

 

 

 

Investment Company (2.3%)

 

 

 

 

 

Morgan Stanley Institutional Liquidity Funds - Money Market Portfolio - Institutional Class (e) (Cost $6,586)

 

6,586,412

 

6,586

 

Total Short-Term Investments (Cost $22,554)

 

 

 

22,554

 

Total Investments (105.4%) (Cost $233,434) Including $15,625 of Securities Loaned +

 

 

 

302,915

 

Liabilities in Excess of Other Assets (-5.4%)

 

 

 

(15,511

)

Net Assets (100.0%)

 

 

 

$

287,404

 

 

(a)

The value of loaned securities and related collateral outstanding at September 30, 2010 were approximately $15,625,000 and $15,968,000, respectively. The Fund received cash collateral of $15,968,000 which was subsequently invested in Repurchase Agreements and Morgan Stanley Institutional Liquidity Funds - Money Market Portfolio - Institutional Class as reported in the Portfolio of Investments. The Fund has the right under the lending agreement to recover the securities from the borrower on demand.

(b)

Non-income producing security.

(c)

At September 30, 2010, the Fund held securities valued at $0, representing 0.0% of net assets. These securities have been fair valued as determined in good faith under procedures established by and under the general supervision of the Fund’s Directors.

(d)

Security has been deemed illiquid at September 30, 2010.

 


 

 

Morgan Stanley Emerging Markets Fund, Inc.

 

 

 

September 30, 2010 (unaudited)

 

Portfolio of Investments

 

(e)

The Fund invests in the Morgan Stanley Growth Fund, an open-end management investment company advised by an affiliate of the Investment Adviser. Investment advisory fees paid by the Fund are reduced by an amount equal to the advisory and administrative service fees paid by the Morgan Stanley Growth Fund with respect to assets invested by the Fund in the Morgan Stanley Growth Fund. The Fund invests in the Morgan Stanley Institutional Liquidity Funds - Money Market Portfolio - Institutional Class, (the “Liquidity Fund”), an open-end management investment company managed by the Investment Adviser. Investment advisory fees paid by the Fund are reduced by an amount equal to the advisory and administrative service fees paid by the Liquidity Fund with respect to assets invested by the Fund in the Liquidity Fund.

@

Value is less than $500.

+

At September 30, 2010, the U.S. Federal income tax cost basis of investments was approximately $233,434,000 and, accordingly, net unrealized appreciation for U.S. Federal income tax purposes was $69,481,000 of which $77,827,000 related to appreciated securities and $8,346,000 related to depreciated securities.

ADR

American Depositary Receipt

GDR

Global Depositary Receipt

NVDR

Non-Voting Depositary Receipt

 


 

 

Morgan Stanley Emerging Markets Fund, Inc.

 

 

 

September 30, 2010 (unaudited)

 

Portfolio of Investments

 

Foreign Currency Exchange Contracts Information:

 

The Portfolio had the following foreign currency exchange contract(s) open at period end:

 

Counterparty

 

Currency
to
Deliver
(000)

 

Value
(000)

 

Settlement
Date

 

In
Exchange
For
(000)

 

Value
(000)

 

Net
Unrealized
Appreciation
(Depreciation)
(000)

 

Goldman Sachs International

 

HUF

31,233

 

$

154

 

10/1/10

 

USD

153

 

$

153

 

$

(1

)

Goldman Sachs International

 

USD

328

 

328

 

10/1/10

 

MXN

4,097

 

325

 

(3

)

HSBC Bank USA

 

USD

39

 

39

 

10/1/10

 

PLN

115

 

40

 

1

 

State Street Bank and Trust Co.

 

USD

3

 

3

 

10/1/10

 

BRL

6

 

3

 

—@

 

State Street Bank and Trust Co.

 

USD

167

 

167

 

10/1/10

 

BRL

284

 

168

 

1

 

State Street Bank and Trust Co.

 

USD

98

 

98

 

10/1/10

 

KRW

111,951

 

98

 

—@

 

State Street Bank and Trust Co.

 

USD

118

 

118

 

10/1/10

 

KRW

134,557

 

118

 

—@

 

State Street Bank and Trust Co.

 

USD

6

 

6

 

10/1/10

 

KRW

7,390

 

6

 

—@

 

Credit Suisse London Branch (GFX)

 

HKD

547

 

70

 

10/4/10

 

USD

70

 

70

 

—@

 

State Street Bank and Trust Co.

 

USD

1

 

1

 

10/4/10

 

BRL

2

 

1

 

—@

 

State Street Bank and Trust Co.

 

USD

66

 

66

 

10/4/10

 

BRL

 111

 

66

 

—@

 

UBS AG

 

USD

39

 

39

 

10/4/10

 

MXN

487

 

39

 

—@

 

State Street Hong Kong

 

USD

26

 

26

 

10/6/10

 

IDR

228,856

 

26

 

—@

 

State Street Hong Kong

 

USD

213

 

213

 

10/6/10

 

IDR

1,907,133

 

214

 

1

 

State Street Hong Kong

 

USD

4

 

4

 

10/6/10

 

IDR

38,143

 

4

 

—@

 

 

 

 

 

$

1,332

 

 

 

 

 

$

1,331

 

$

(1

)

 

@

 

Value is less than $500.

BRL

—

Brazilian Real

HKD

—

Hong Kong Dollar

HUF

—

Hungarian Forint

IDR

—

Indonesian Rupiah

INR

—

Indian Rupee

KRW

—

South Korean Won

 


 

 

Morgan Stanley Emerging Markets Fund, Inc.

 

 

 

September 30, 2010 (unaudited)

 

Portfolio of Investments

 

MXN

—

Mexican New Peso

PLN

—

Polish Zloty

USD

—

United States Dollar

 


 

 

Morgan Stanley Emerging Markets Fund, Inc.

 

 

 

September 30, 2010 (unaudited)

 

Portfolio of Investments

 

Fair Value Measurement Information:

 

The following is a summary of the inputs used to value the Portfolio’s net assets as of September 30, 2010. (See Notes to the Portfolio of Investments for further information regarding fair value measurement.)

 

Investment Type

 

Level 1
Quoted
prices
(000)

 

Level 2
Other
significant
observable
inputs
(000)

 

Level 3
Significant
unobservable
inputs
(000)

 

Total
(000)

 

Assets:

 

 

 

 

 

 

 

 

 

Common Stocks

 

 

 

 

 

 

 

 

 

Aerospace & Defense

 

$

—@

 

$

—

 

$

—

 

$

—@

 

Auto Components

 

1,808

 

—

 

—

 

1,808

 

Automobiles

 

7,381

 

—

 

—

 

7,381

 

Beverages

 

13,390

 

—

 

—

 

13,390

 

Capital Markets

 

852

 

—

 

—

 

852

 

Chemicals

 

8,997

 

—

 

—

 

8,997

 

Commercial Banks

 

53,865

 

1,554

 

—

†

55,419

 

Communications Equipment

 

1,643

 

—

 

—

 

1,643

 

Computers & Peripherals

 

2,297

 

—

 

—

 

2,297

 

Construction & Engineering

 

5,654

 

—

 

—

 

5,654

 

Construction Materials

 

2,082

 

—

 

—

 

2,082

 

Distributors

 

1,302

 

—

 

—

 

1,302

 

Diversified Financial Services

 

7,899

 

1,119

 

—

 

9,018

 

Diversified Telecommunication Services

 

11,584

 

—

 

—

 

11,584

 

Electric Utilities

 

664

 

311

 

—

 

975

 

Electrical Equipment

 

883

 

—

 

—

 

883

 

Electronic Equipment, Instruments & Components

 

6,135

 

—

 

—

 

6,135

 

Energy Equipment & Services

 

1,224

 

—

 

—

 

1,224

 

Food & Staples Retailing

 

7,603

 

—

 

—

 

7,603

 

Food Products

 

14,070

 

241

 

—

 

14,311

 

Gas Utilities

 

943

 

—

 

—

 

943

 

Health Care Providers & Services

 

—

 

504

 

—

 

504

 

Household Durables

 

5,166

 

—

 

—

 

5,166

 

Independent Power Producers & Energy Traders

 

1,798

 

—

 

—

 

1,798

 

Industrial Conglomerates

 

6,086

 

—

 

—

 

6,086

 

Information Technology Services

 

3,960

 

—

 

—

 

3,960

 

Insurance

 

9,327

 

—

 

—

 

9,327

 

Internet Software & Services

 

3,344

 

—

 

—

 

3,344

 

Machinery

 

3,448

 

—

 

—

 

3,448

 

Media

 

5,926

 

—

 

—

 

5,926

 

Metals & Mining

 

14,522

 

—

 

—

 

14,522

 

Multiline Retail

 

2,244

 

—

 

—

 

2,244

 

Oil, Gas & Consumable Fuels

 

20,767

 

—

 

—

 

20,767

 

Paper & Forest Products

 

—

 

—

 

—

†

—

 

Personal Products

 

1,661

 

—

 

—

 

1,661

 

Pharmaceuticals

 

5,667

 

—

 

—

 

5,667

 

Semiconductors & Semiconductor Equipment

 

10,339

 

—

 

—

 

10,339

 

Specialty Retail

 

2,848

 

—

 

—

 

2,848

 

Tobacco

 

1,075

 

—

 

—

 

1,075

 

Trading Companies & Distributors

 

267

 

—

 

—

 

267

 

Transportation Infrastructure

 

2,069

 

—

 

—

 

2,069

 

Wireless Telecommunication Services

 

22,929

 

—

 

—

 

22,929

 

Total Common Stocks

 

273,719

 

3,729

 

—

†

277,448

 

Investment Company

 

2,913

 

—

 

—

 

2,913

 

Corporate Bond

 

—

 

—

 

—

†

—

 

Short-Term Investments

 

 

 

 

 

 

 

 

 

Investment Company

 

20,583

 

—

 

—

 

20,583

 

Repurchase Agreements

 

—

 

1,971

 

—

 

1,971

 

Total Short-Term Investments

 

20,583

 

1,971

 

—

 

22,554

 

Foreign Currency Exchange Contracts

 

—

 

3

 

—

 

3

 

Total Assets

 

297,215

 

5,703

 

—

†

302,918

 

Liabilities:

 

 

 

 

 

 

 

 

 

Foreign Currency Exchange Contracts

 

—

 

4

 

—

 

4

 

Total

 

$

297,215

 

$

5,699

 

$

—

†

$

302,914

 

 


 

Transfers between investment levels may occur as the markets fluctuate and/or the availability of data used in an investment’s valuation changes. The Fund recognizes transfers between the levels as of the end of the period. As of September 30, 2010, securities with a total value of approximately $177,264,000 transferred from Level 2 to Level 1. At December 31, 2009, the fair market value of certain securities were adjusted due to developments which occurred between the time of the close of the foreign markets on which they trade and the close of business on the NYSE which resulted in their Level 2 classification.

 

Following is a reconciliation of investments in which significant unobservable inputs (Level 3) were used in determining fair value.

 

 

 

Common
Stocks (000)

 

Debt
Instrument
(000)

 

Balance as of 12/31/09

 

$

—

†

$

—

†

Accrued discounts/premiums

 

—

 

—

 

Realized gain (loss)

 

—

 

—

 

Change in unrealized appreciation (depreciation)

 

—

 

—

 

Net purchases (sales)

 

—

 

—

 

Transfers in for Level 3

 

—

 

—

 

Transfers out of Level 3

 

—

 

—

 

Balance as of 9/30/10

 

$

—

†

$

—

†

The amount of total gains (losses) for the period included in earnings attributable to the change in unrealized gains (losses) relating to assets and liabilities still held at Level 3 at 9/30/10.

 

$

—

 

$

—

 

 

@

Value is less than $500.

†

Includes securities which are valued at zero.

 


 

Notes to Portfolio of Investments (unaudited)

 

In accordance with FASB ASC 820 “Fair Value Measurements and Disclosure” (“ASC 820”) (formerly known as SFAS 157), fair value is defined as the price that the Fund would receive to sell an investment or pay to transfer a liability in a timely transaction with an independent buyer in the principal market, or in the absence of a principal market the most advantageous market for the investment or liability. ASC 820 establishes a three-tier hierarchy to distinguish between (1) inputs that reflect the assumptions market participants would use in valuing an asset or liability developed based on market data obtained from sources independent of the reporting entity (observable inputs) and (2) inputs that reflect the reporting entity’s own assumptions about the assumptions market participants would use in valuing an asset or liability developed based on the best information available in the circumstances (unobservable inputs) and to establish classification of fair value measurements for disclosure purposes. Various inputs are used in determining the value of the Fund’s investments. The inputs are summarized in the three broad levels listed below.

 

·                  Level 1 — quoted prices in active markets for identical securities

 

·                  Level 2 — other significant observable inputs (including quoted prices for similar investments, interest rates, prepayment speeds, credit risk, etc.)

 

·                  Level 3 — significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments)

 

The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.

 

Security Valuation: Securities listed on a foreign exchange are valued at their closing price except as noted below. Unlisted securities and listed securities not traded on the valuation date for which market quotations are readily available are valued at the mean between the current bid and asked prices obtained from reputable brokers. Equity securities listed on a U.S. exchange are valued at the latest quoted sales price on the valuation date. Equity securities listed or traded on NASDAQ, for which market quotations are available, are valued at the NASDAQ Official Closing Price. Short-term debt securities purchased with remaining maturities of 60 days or less are valued at amortized cost, unless the Board of Directors (the “Directors”) determine such valuation does not reflect the securities’ market value, in which case these securities will be valued at their fair value as determined by the Directors.

 

All other securities and investments for which market values are not readily available, including restricted securities, and those securities for which it is inappropriate to determine prices in accordance with the aforementioned procedures, are valued at fair value as determined in good faith under procedures adopted by the Directors, although the actual calculations may be done by others. Factors considered in making this determination may include, but are not limited to, information obtained by contacting the issuer, analysts, or the appropriate stock exchange (for exchange-traded securities), analysis of the issuer’s financial statements or other available documents and, if necessary, available information concerning other securities in similar circumstances.

 

Most foreign markets close before the New York Stock Exchange (NYSE). Occasionally, developments that could affect the closing prices of securities and other assets may occur between the times at which valuations of such securities are determined (that is, close of the foreign market on which the securities trade) and the close of business on the NYSE. If these developments are expected to materially affect the value of the securities, the valuations may be adjusted to reflect the estimated fair value as of the close of the NYSE, as determined in good faith under procedures established by the Directors.

 


 

Item 2.  Controls and Procedures.

 

(a) The Fund’s principal executive officer and principal financial officer have concluded that the Fund’s disclosure controls and procedures are sufficient to ensure that information required to be disclosed by the Fund in this Form N-Q was recorded, processed, summarized and reported within the time periods specified in the Securities and Exchange Commission’s rules and forms, based upon such officers’ evaluation of these controls and procedures as of a date within 90 days of the filing date of the report.

 

(b)  There were no changes in the Fund’s internal control over financial reporting that occurred during the registrant’s fiscal quarter that has materially affected, or is reasonably likely to materially affect, the Fund’s internal control over financial reporting.

 

Item 3.  Exhibits.

 

(a) A separate certification for each principal executive officer and principal financial officer of the registrant are attached hereto.

 


 

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.

 

Morgan Stanley Emerging Markets, Inc.

 

/s/ Sara Furber

 

Sare Furber

 

Principal Executive Officer

 

November 16, 2010

 

 

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

 

/s/ Sara Furber

 

Sara Furber

 

Principal Executive Officer

 

November 16, 2010

 

 

 

/s/ Francis Smith

 

Francis Smith

 

Principal Financial Officer

 

November 16, 2010