N-Q 1 c47042nvq.htm FORM N-Q N-Q
Table of Contents

 
 
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    811-21893   
Nuveen Global Government Enhanced Income Fund
(Exact name of registrant as specified in charter)
     333 West Wacker Drive, Chicago, Illinois 60606     
(Address of principal executive offices) (Zip code)
Kevin J. McCarthy—Vice President and Secretary
     333 West Wacker Drive, Chicago, Illinois 60606     
(Name and address of agent for service)
Registrant’s telephone number, including area code:      312-917-7700     
Date of fiscal year end:        12/31      
Date of reporting period:    9/30/2008   
Form N-Q is to be used by management investment companies, other than small business investment companies registered on Form N-5 (§§ 239.24 and 274.5 of this chapter), to file reports with the Commission, not later than 60 days after the close of the first and third fiscal quarters, pursuant to rule 30b1-5 under the Investment Company Act of 1940 (17 CFR 270.30b1-5). The Commission may use the information provided on Form N-Q in its regulatory, disclosure review, inspection, and policymaking roles.
A registrant is required to disclose the information specified by Form N-Q, and the Commission will make this information public. A registrant is not required to respond to the collection of information contained in Form N-Q unless the Form displays a currently valid Office of Management and Budget (“OMB”) control number. Please direct comments concerning the accuracy of the information collection burden estimate and any suggestions for reducing the burden to the Secretary, Securities and Exchange Commission, 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. § 3507.
 
 

 

TABLE OF CONTENTS

Item 1. Schedule of Investments
Item 2. Controls and Procedures
Item 3. Exhibits
SIGNATURES
EX-99.CERT

Table of Contents

Item 1. Schedule of Investments
Portfolio of Investments (Unaudited)
Nuveen Global Government Enhanced Income Fund (JGG)
September 30, 2008
                                 
Principal                        
Amount (000)     Description (1)   Coupon   Maturity   Ratings (2)   Value  
 
           
 
                    
           
Sovereign Debt – 14.5% (3)
           
 
                    
           
Colombia – 6.8%
           
 
                    
  23,500,000   COP    
Republic of Colombia
   12.000%   10/22/15   BB+   $ 11,293,913  
 
           
 
                    
           
Greece – 4.3%
           
 
                    
  5,700   EUR    
Hellenic Republic
   4.600%   9/20/40   A      7,054,810  
 
           
 
                    
           
Turkey – 3.4%
           
 
                    
  5,200        
Republic of Turkey, Government Bond
   9.500%   1/15/14   BB-     5,681,000  
 
           
Total Sovereign Debt (cost $25,899,100)
                 24,029,723  
             
                                 
Principal                        
Amount (000)     Description (1)   Coupon   Maturity   Ratings (2)   Value  
 
           
 
                    
           
U.S. Government and Agency Obligations – 24.3%
           
 
                    
           
 
                    
$ 22,500    
Federal Home Loan Banks, Discount Notes
   0.000%   12/08/08   Aaa   $ 22,404,105  
  12,000    
Federal Home Loan Banks, Discount Notes
   0.000%   2/03/09   Aaa     11,942,256  
  6,000    
Federal Home Loan Banks, Discount Notes (5)
   0.000%   12/10/08   Aaa     5,939,064  
 
$ 40,700    
Total U.S. Government and Agency Obligations (cost $40,274,437)
                 40,285,425  
 
                                 
Principal                        
Amount (000)     Description (1)   Coupon   Maturity   Ratings (2)   Value  
 
           
 
                    
           
Short-Term Investments – 59.8% (4)
           
 
                    
           
U.S. Government and Agency Obligations – 55.6%
           
 
                    
$ 8,350    
Federal Home Loan Banks, Discount Notes
   0.000%   10/03/08   Aaa   $ 8,349,026  
  25,500    
Federal Home Loan Banks, Discount Notes
   0.000%   10/21/08   Aaa     25,466,567  
  12,150    
Federal Home Loan Banks, Discount Notes
   0.000%   10/24/08   Aaa     12,133,621  
  22,225    
Federal Home Loan Banks, Discount Notes (5)
   0.000%   10/31/08   Aaa     22,186,847  
  14,000    
Federal Home Loan Banks, Discount Notes
   0.000%   11/12/08   Aaa     13,965,047  
  9,000    
Federal Home Loan Banks, Discount Notes (5)
   0.000%   11/14/08   Aaa     8,976,350  
  1,000    
U.S. Treasury Bills
   0.000%   10/30/08   Aaa     998,653  
  200    
U.S. Treasury Bills
   0.000%   11/06/08   Aaa     199,664  
 
  92,425    
Total U.S. Government and Agency Obligations
                 92,275,775  
 
           
 
                    
           
Repurchase Agreements – 4.2%
           
 
                    
  6,957    
Repurchase Agreement with State Street Bank, dated 9/30/08, repurchase price $6,957,298, collateralized by $7,100,000 U.S. Treasury Bills, 0.000%, due 12/18/08, value $7,096,450
   0.100%   10/01/08   N/A   6,957,279  
 
$ 99,382    
Total Short-Term Investments (cost $99,233,054)
                 99,233,054  
 
           
Total Investments (cost $165,406,591) – 98.6%
                 163,548,202  
             
                                     
            Pay/Receive                      
        Floating Rate   Floating   Exercise   Expiration   Notional          
Description   Counterparty   Index   Rate   Rate   Date   Amount   Premium Value  
 
   
 
                                
   
Call Swaptions Written – (0.1)%
                            
   
 
                                
OTC – 10-Year Interest Rate Swap  
BNP Paribas
   3-Month USD-LIBOR-BBA   Receive   4.310%   10/14/08   (17,090,000) USD   (180,300 ) USD   $        (88,390 )
 
    Total Call Swaptions Written (premiums received $180,300)             (88,390 )
     
   
Other Assets Less Liabilities – 1.5%
                     2,548,778  
     
   
Net Assets – 100%
                     $166,008,590  
     
Forward Foreign Currency Exchange Contracts outstanding at September 30, 2008:
                                         
                                    Unrealized
Currency                               Appreciation
Contracts   Amount         In Exchange   Amount       Settlement     (Depreciation)
to Deliver   (Local Currency)       For Currency   (Local Currency)     Date     (U.S. Dollars)
 
   
 
                    
Canadian Dollar
     5,100,750     U.S. Dollar     5,017,213       10/10/08     $ 221,981  
Colombian Peso
     15,232,200,000     U.S. Dollar     8,264,894       10/23/08       1,330,440  
Colombian Peso
     8,212,500,000     U.S. Dollar     4,041,585       12/12/08       335,181  
Czech Koruna
     75,603,000     U.S. Dollar     4,958,549       11/05/08       611,594  
Danish Krone
     24,090,000     U.S. Dollar     4,618,039       12/09/08       55,671  
Euro
     1,500,000     Iceland Krona     186,000,000       11/28/08       (377,980 )
Euro
     1,500,000     New Romanian Leu     5,420,250       11/28/08       (109,301 )
Euro
     5,054,036     U.S. Dollar     7,118,610       12/18/08       (19,515 )
Hungarian Forint
     766,590,000     U.S. Dollar     4,452,182       11/05/08       9,974  
Iceland Krona
     197,025,000     Euro     1,500,000       11/28/08       274,825  
Japanese Yen
     535,500,000     U.S. Dollar     5,000,000       10/27/08       (54,990 )
New Taiwan Dollar
     150,500,000     U.S. Dollar     4,987,572       10/09/08       315,179  
New Turkish Lira
     20,552,759     U.S. Dollar     16,608,290       11/14/08       650,763  
New Turkish Lira
     363,700     U.S. Dollar     285,311       11/14/08       2,928  
New Zealand Dollar
     8,300,000     U.S. Dollar     5,623,748       11/25/08       104,472  
Pound Sterling
     1,100,000     South African Rand     16,068,800       11/28/08       (45,245 )
Singapore Dollar
     6,885,000     U.S. Dollar     5,069,956       10/10/08       276,848  
Singapore Dollar
     6,799,450     U.S. Dollar     5,000,000       10/31/08       262,878  
South African Rand
     39,399,500     U.S. Dollar     4,997,665       11/04/08       276,244  
South African Rand
     16,203,000     Pound Sterling     1,100,000       11/28/08       29,248  
U.S. Dollar
     2,500,000     Ukraine Hryvna     12,800,000       10/09/08       18,435  
U.S. Dollar
     4,775,536     Canadian Dollar     5,100,750       10/10/08       19,697  
U.S. Dollar
     5,094,717     Singapore Dollar     6,885,000       10/10/08       (301,609 )
U.S. Dollar
     6,000,000     South African Rand     48,159,810       10/21/08       (210,887 )
U.S. Dollar
     5,009,917     Japanese Yen     535,500,000       10/27/08       45,073  
U.S. Dollar
     4,742,755     Singapore Dollar     6,799,450       10/31/08       (5,633 )
U.S. Dollar
     5,205,033     South African Rand     39,399,500       11/04/08       (483,611 )
U.S. Dollar
     4,467,787     Czech Koruna     75,603,000       11/05/08       (120,831 )
U.S. Dollar
     5,123,237     Hungarian Forint     766,590,000       11/05/08       (681,030 )
U.S. Dollar
     307,384     New Turkish Lira     396,817       11/14/08       712  
U.S. Dollar
     3,670,595     New Turkish Lira     4,738,187       11/14/08       8,218  
U.S. Dollar
     12,404,854     New Turkish Lira     15,781,455       11/14/08       (151,852 )
U.S. Dollar
     2,504,544     Indonesian Rupiah     23,425,000,000       11/24/08       (39,426 )
U.S. Dollar
     5,893,166     New Zealand Dollar     8,300,000       11/25/08       (373,890 )
U.S. Dollar
     1,200,000     Vietnam Dong     25,200,000,000       12/04/08       255,426  
U.S. Dollar
     4,641,350     Danish Krone     24,090,000       12/09/08       (78,983 )
U.S. Dollar
     619,132     Euro     424,105       12/18/08       (20,143 )
 
 
                                   $ 2,030,861  
 
 
Interest Rate Swaps outstanding at September 30, 2008:
                                                         
            Fund                   Fixed           Unrealized  
            Pay/Receive     Floating     Fixed     Rate           Appreciation  
    Notional     Floating     Rate     Rate     Payment   Termination     Depreciation  
Counterparty   Amount     Rate     Index     (Annualized)     Frequency   Date     (U.S. Dollars)  
 
   
 
                    
Credit Suisse
   17,700,000  AUD   Pay     6-Month AUD-BBR-BBSW       7.440%     Semi-Annually     6/30/18     $ 993,607  
Credit Suisse
   11,000,000  NZD   Pay     3-Month NZD-BBR-FRA       7.240     Semi-Annually     7/11/18       266,853  
HSBC
   34,000,000  ILS   Pay     3-Month TELBOR       5.760     Annually     11/21/17       747,807  
JPMorgan
   190,000,000  MXN   Pay     28-Day MXN TIIE       8.480     28-Day     1/03/18       (377,586 )
Morgan Stanley
   2,100,000,000  JPY   Pay     6-Month JPY-LIBOR-BBA       2.116     Semi-Annually     7/13/17       842,798  
RBC
   17,000,000  CAD   Pay     3-Month CAD-BA-CDOR       4.243     Semi-Annually     5/07/18       161,223  
UBS
   11,500,000  NZD   Pay     3-Month NZD-BBR-FRA       7.620     Semi-Annually     11/28/17       644,016  
 
 
                                                   $ 3,278,718  
 
Futures Contracts outstanding at September 30, 2008:
                                 
                        Unrealized  
                  Value at     Appreciation  
    Contract   Number of     Contract   September 30, 2008     (Depreciation)  
Type   Position   Contracts     Expiration   (U.S. Dollars)     (U.S. Dollars)  
 
U.S. 10-Year Treasury Note
   Long     152     12/08     $17,423,000     $(146,519 )
 
     
 (1)  
All percentages shown in the Portfolio of Investments are based on net assets.
   
 
 (2)  
Ratings: Using the higher of Standard & Poor’s Group (“Standard & Poor’s”) or Moody’s Investor Service, Inc. (“Moody’s”) rating. Ratings below BBB by Standard & Poor’s or Baa by Moody’s are considered to be below investment grade.
   
 
 (3)  
Additional Sovereign Debt exposure is obtained from the interest rate swap transactions.
   
 
 (4)  
Substantially all of the Fund’s short-term investments may be used as collateral for derivative transactions.
   
 
 (5)  
Portion of investments have been pledged to collateralize the net payment obligations under futures contracts, forward foreign currency exchange contracts and interest rate swap contracts.
   
 
N/A  
Not applicable/not available.
   
 
OTC  
Over-The-Counter market transaction.
   
 
AUD  
Australian Dollar
   
 
CAD  
Canadian Dollar
   
 
COP  
Colombian Peso
   
 
EUR  
Euro
   
 
ILS  
Israeli Shekel
   
 
JPY  
Japanese Yen
   
 
MXN  
Mexican Peso
   
 
NZD  
New Zealand Dollar
   
 
USD  
United States Dollar
   
 
   
 
AUD-BBR-BBSW  
Australian Bank Bill Rate-Bank Bill Swap
   
 
CAD-BA-CDOR  
Canadian Bankers Acceptance Dealer Offered Rate
   
 
JPY-LIBOR-BBA  
Japanese Yen-London Inter-Bank Offered Rate-British Bankers’ Association
   
 
MXN TIIE  
Mexican Peso Inter-Bank Equilibrium Interest Rate
   
 
NZD-BBR-FRA  
New Zealand Dollar-Bank Bill Rate-Forward Rate Agreement
   
 
TELBOR  
Tel Aviv Inter-Bank Offered Rate
   
 
USD-LIBOR-BBA  
United States Dollar-London Inter-Bank Offered Rate-British Bankers’ Association
Fair Value Measurements
During the current fiscal period, the Fund adopted the provisions of Statement of Financial Accounting Standards No. 157 (SFAS No. 157), “Fair Value Measurements.” SFAS No. 157 defines fair value, establishes a framework for measuring fair value in generally accepted accounting principles, and expands disclosure about fair value measurements. In determining the value of the Fund’s investments various inputs are used. These 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 securities, interest rates, prepayment speeds, credit risks, etc.).
Level 3 —   Significant observable inputs (including management's assumptions in determining the fair value of investments).
The inputs or methodology used for valuing securities are not an indication of the risk associated with investing in those securities.
The following is a summary of the Fund’s fair value measurements as of September 30, 2008:
                                 
    Level 1     Level 2     Level 3     Total  
 
Investments
     $8,155,597       $155,392,605       —       $163,548,202  
Derivatives*
     (146,519)       5,309,579       —       5,163,060  
Call options written
     —       (88,390)       —       (88,390)  
 
Total
     $8,009,078       $160,613,794       —       $168,622,872  
 
* Represents net unrealized appreciation (depreciation).
The following is a reconciliation of the Fund’s Level 3 investments held at the beginning and end of the measurement period:
                 
          Level 3  
          Investments  
 
Balance as of December 31, 2007
             $1,546  
Gains (losses):
                
Net realized gains (losses)
             (1,546)  
Net change in unrealized appreciation (depreciation)
             —  
Net purchases at cost (sales at proceeds)
             —  
Net discounts (premiums)
             —  
Net transfers in to (out of) at end of period fair value
             —  
 
Balance as of September 30, 2008
             $—  
 
Income Tax Information
The following information is presented on an income tax basis. Differences between amounts for financial statement and federal income tax purposes are primarily due to amortization of premium, the recognition of unrealized gain or loss for tax (mark-to-market) for certain foreign currency contracts, and timing differences in recognizing certain gains and losses on investment transactions. To the extent that differences arise that are permanent in nature, such amounts are reclassified within the capital accounts on the Statement of Assets and Liabilities presented in the annual report, based on their federal tax basis treatment; temporary differences do not require reclassification. Temporary and permanent differences do not impact the net asset value of the Fund.
At September 30, 2008, the cost of investments was $165,411,423.
Gross unrealized appreciation and gross unrealized depreciation of investments at September 30, 2008, were as follows:
         
 
 
        
Gross unrealized:
        
Appreciation
   $ 13,591  
Depreciation
     (1,876,812 )
 
        
 
 
        
Net unrealized appreciation (depreciation) of investments
   $ (1,863,221 )
 
        
 

Table of Contents

Item 2. Controls and Procedures.
  a.   The registrant’s principal executive and principal financial officers, or persons performing similar functions, have concluded that the registrant’s disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940, as amended (the “1940 Act”) (17 CFR 270.30a-3(c))) are effective, as of a date within 90 days of the filing date of this report that includes the disclosure required by this paragraph, based on their evaluation of the controls and procedures required by Rule 30a-3(b) under the 1940 Act (17 CFR 270.30a-3(b)) and Rule 13a-15(b) or 15d-15(b) under the Securities Exchange Act of 1934 (17 CFR 240.13a-15(b) or 240.15d-15(b)).
 
  b.   There were no changes in the registrant’s internal control over financial reporting (as defined in Rule 30a-3(d) under the 1940 Act (17 CFR 270.30a-3(d)) that occurred during the registrant’s last fiscal quarter that have materially affected, or are reasonably likely to materially affect, the registrant’s internal control over financial reporting.
Item 3. Exhibits.
File as exhibits as part of this Form a separate certification for each principal executive officer and principal financial officer of the registrant as required by Rule 30a-2(a) under the 1940 Act (17 CFR 270.30a-2(a)), exactly as set forth below: EX-99 CERT Attached hereto.

 

Table of Contents

SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
(Registrant) Nuveen Global Government Enhanced Income Fund
         
     
By (Signature and Title)*  /s/ Kevin J. McCarthy    
  Kevin J. McCarthy  
  Vice President and Secretary   
 
Date November 28, 2008
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.
         
     
By (Signature and Title)*  /s/ Gifford R. Zimmerman    
  Gifford R. Zimmerman   
  Chief Administrative Officer (principal executive officer)   
 
Date November 28, 2008
         
     
By (Signature and Title)*  /s/ Stephen D. Foy    
  Stephen D. Foy   
  Vice President and Controller (principal financial officer)   
 
Date November 28, 2008
 
*   Print the name and title of each signing officer under his or her signature.