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AB Cap Fund, Inc.

AB Select US Long/Short Portfolio

Portfolio of Investments

September 30, 2019 (unaudited)

 

Company

    Shares        U.S. $ Value  

COMMON STOCKS - 61.3%

        

Financials - 12.5%

        

Banks - 7.7%

        

Bank of America Corp.

      389,178        $ 11,352,322  

Citigroup, Inc.

      298,535          20,622,798  

JPMorgan Chase & Co.

      240,714          28,329,631  

PNC Financial Services Group, Inc. (The)

      111,147          15,578,363  

US Bancorp

      83,137          4,600,802  

Wells Fargo & Co.

      120,973          6,101,878  
       

 

 

  
          86,585,794  
       

 

 

  

Capital Markets - 0.9%

        

Goldman Sachs Group, Inc. (The)

      46,646          9,666,451  
       

 

 

  

Diversified Financial Services - 3.7%

        

Berkshire Hathaway, Inc.-Class B (a)

      198,216          41,232,892  
       

 

 

  

Insurance - 0.2%

        

Progressive Corp. (The)

      36,922          2,852,224  
       

 

 

  
          140,337,361  
       

 

 

  

Information Technology - 11.5%

        

Communications Equipment - 1.4%

        

Cisco Systems, Inc.

      309,028          15,269,074  
       

 

 

  

IT Services - 1.5%

        

KBR, Inc.

      43,389          1,064,766  

PayPal Holdings, Inc. (a)

      35,357          3,662,631  

Visa, Inc.-Class A

      67,671          11,640,089  
       

 

 

  
          16,367,486  
       

 

 

  

Semiconductors & Semiconductor Equipment - 2.3%

        

Broadcom, Inc.

      34,711          9,582,666  

Intel Corp.

      118,072          6,084,250  

QUALCOMM, Inc.

      45,317          3,456,781  

Texas Instruments, Inc.

      55,090          7,119,831  
       

 

 

  
          26,243,528  
       

 

 

  

Software - 3.9%

        

Adobe, Inc. (a)

      23,446          6,476,958  

Microsoft Corp.

      240,139          33,386,525  

VMware, Inc.-Class A

      23,533          3,531,362  
       

 

 

  
          43,394,845  
       

 

 

  

Technology Hardware, Storage & Peripherals - 2.4%

        

Apple, Inc.

      119,962          26,867,889  
       

 

 

  
          128,142,822  
       

 

 

  

Communication Services - 8.6%

        

Diversified Telecommunication Services - 2.5%

        

Anterix, Inc. (a)

      21,191          767,114  

AT&T, Inc.

      368,283          13,935,829  

Comcast Corp.-Class A

      273,194          12,315,585  

Intelsat SA (a)

      45,491          1,037,195  
       

 

 

  
          28,055,723  
       

 

 

  

Company

    Shares        U.S. $ Value  

Entertainment - 2.6%

        

Activision Blizzard, Inc.

      95,314        $ 5,044,017  

Electronic Arts, Inc. (a)

      6,706          655,981  

Nintendo Co., Ltd.

      9,702          3,613,960  

Vivendi SA

      317,131          8,677,576  

Walt Disney Co. (The)

      84,937          11,068,990  
       

 

 

  
          29,060,524  
       

 

 

  

Interactive Media & Services - 3.5%

        

Alphabet, Inc.-Class C (a)

      19,551          23,832,669  

Facebook, Inc.-Class A (a)

      79,632          14,180,867  

Twitter, Inc. (a)

      17,745          731,094  
       

 

 

  
          38,744,630  
       

 

 

  
          95,860,877  
       

 

 

  

Industrials - 7.1%

        

Aerospace & Defense - 3.3%

        

Boeing Co. (The)

      14,349          5,459,364  

Northrop Grumman Corp.

      23,106          8,659,898  

United Technologies Corp.

      165,986          22,660,409  
       

 

 

  
          36,779,671  
       

 

 

  

Airlines - 0.5%

        

Delta Air Lines, Inc.

      95,175          5,482,080  
       

 

 

  

Construction & Engineering - 0.8%

        

Jacobs Engineering Group, Inc.

      95,840          8,769,360  
       

 

 

  

Industrial Conglomerates - 1.7%

        

Honeywell International, Inc.

      110,825          18,751,590  
       

 

 

  

Road & Rail - 0.8%

        

Lyft, Inc. (a)(b)

      24,432          997,803  

Norfolk Southern Corp.

      45,905          8,247,292  
       

 

 

  
          9,245,095  
       

 

 

  
          79,027,796  
       

 

 

  

Health Care - 7.0%

        

Health Care Equipment & Supplies - 2.4%

        

Abbott Laboratories

      124,826          10,444,192  

Boston Scientific Corp. (a)

      246,257          10,020,197  

Zimmer Biomet Holdings, Inc.

      49,516          6,797,061  
       

 

 

  
          27,261,450  
       

 

 

  

Health Care Providers & Services - 1.5%

        

Cigna Corp. (a)

      31,019          4,708,374  

Humana, Inc.

      20,799          5,317,680  

UnitedHealth Group, Inc.

      28,955          6,292,501  
       

 

 

  
          16,318,555  
       

 

 

  

Pharmaceuticals - 3.1%

        

Eli Lilly & Co.

      76,023          8,501,652  

Johnson & Johnson

      92,718          11,995,855  

Merck & Co., Inc.

      93,772          7,893,727  

Company

    Shares        U.S. $ Value  

Zoetis, Inc.

      46,767        $ 5,826,700  
       

 

 

  
          34,217,934  
       

 

 

  
          77,797,939  
       

 

 

  

Consumer Discretionary - 4.9%

        

Hotels, Restaurants & Leisure - 0.6%

        

Red Rock Resorts, Inc.-Class A

      42,024          853,297  

Starbucks Corp.

      62,988          5,569,399  
       

 

 

  
          6,422,696  
       

 

 

  

Household Durables - 0.3%

        

Lennar Corp.-Class A

      68,096          3,803,162  
       

 

 

  

Internet & Direct Marketing Retail - 2.1%

        

Amazon.com, Inc. (a)

      9,354          16,237,702  

Booking Holdings, Inc. (a)

      3,497          6,863,247  
       

 

 

  
          23,100,949  
       

 

 

  

Specialty Retail - 1.9%

        

Home Depot, Inc. (The)

      59,928          13,904,495  

TJX Cos., Inc. (The)

      54,172          3,019,547  

Ulta Salon Cosmetics & Fragrance, Inc. (a)

      17,934          4,495,157  
       

 

 

  
          21,419,199  
       

 

 

  
          54,746,006  
       

 

 

  

Consumer Staples - 3.5%

        

Beverages - 1.2%

        

Coca-Cola Co. (The)

      247,843          13,492,573  
       

 

 

  

Food & Staples Retailing - 0.6%

        

Walmart, Inc.

      62,857          7,459,869  
       

 

 

  

Household Products - 1.3%

        

Procter & Gamble Co. (The)

      114,489          14,240,142  
       

 

 

  

Personal Products - 0.4%

        

Estee Lauder Cos., Inc. (The)-Class A

      22,539          4,484,134  
       

 

 

  
          39,676,718  
       

 

 

  

Energy - 3.0%

        

Oil, Gas & Consumable Fuels - 3.0%

        

Chevron Corp.

      113,031          13,405,477  

EOG Resources, Inc.

      77,070          5,720,135  

Exxon Mobil Corp.

      126,125          8,905,686  

Valero Energy Corp.

      60,263          5,136,818  
       

 

 

  
          33,168,116  
       

 

 

  

Utilities - 2.1%

        

Electric Utilities - 1.3%

        

NextEra Energy, Inc.

      63,626          14,824,222  
       

 

 

  

Independent Power and Renewable Electricity Producers - 0.8%

        

NRG Energy, Inc.

      231,924          9,184,190  
       

 

 

  
          24,008,412  
       

 

 

  

Company

    Shares        U.S. $ Value  

Materials - 0.7%

        

Containers & Packaging - 0.7%

        

Berry Global Group, Inc. (a)

      192,767        $ 7,569,960  
       

 

 

  

Real Estate - 0.4%

        

Equity Real Estate Investment Trusts (REITs) - 0.4%

        

Equinix, Inc.

      8,379          4,833,007  
       

 

 

  

Total Common Stocks
(cost $654,124,523)

           685,169,014  
       

 

 

  

PREFERRED STOCKS - 0.1%

        

Consumer Discretionary - 0.1%

        

Household Durables - 0.1%

        

Honest Co., Inc. (The)-Series D
0.00% (a)(c)(d)(e)
(cost $950,194)

      20,767          584,796  
       

 

 

  

SHORT-TERM INVESTMENTS - 37.3%

        

Investment Companies - 36.7%

        

AB Fixed Income Shares, Inc.-Government Money Market Portfolio-Class AB, 1.89% (f)(g)(h)
(cost $410,476,896)

      410,476,896          410,476,896  
       

 

 

  
     Principal
Amount
(000)		           

U.S. Treasury Bills - 0.6%

        

U.S. Treasury Bill
Zero Coupon, 11/14/19
(cost $6,983,487)

    $ 7,000          6,984,515  
       

 

 

  

Total Short-Term Investments
(cost $417,460,383)

           417,461,411  
       

 

 

  

Total Investments Before Securities Sold Short - 98.7%
(cost $1,072,535,100)

           1,103,215,221  
       

 

 

  
     Shares           

SECURITIES SOLD SHORT - (1.6)%

        

COMMON STOCKS - (1.3)%

        

Consumer Discretionary - (0.4)%

        

Automobiles - (0.1)%

        

Tesla, Inc. (a)

      (2,900 )         (698,523 ) 
       

 

 

  

Hotels, Restaurants & Leisure - (0.1)%

        

Marriott International, Inc./MD-Class A

      (5,784 )         (719,356 ) 
       

 

 

  

Internet & Direct Marketing Retail - (0.1)%

        

Chewy, Inc.-Class A (a)

      (28,336 )         (696,499 ) 

Stitch Fix, Inc. (a)

      (14,673 )         (282,455 ) 
       

 

 

  
          (978,954 ) 
       

 

 

  

Textiles, Apparel & Luxury Goods - (0.1)%

        

Canada Goose Holdings, Inc. (a)

      (17,164 )         (754,701 ) 

Capri Holdings Ltd. (a)

      (19,877 )         (659,121 ) 

Company

    Shares        U.S. $ Value  

Oxford Industries, Inc.

      (7,848 )       $ (562,702 ) 
       

 

 

  
          (1,976,524 ) 
       

 

 

  
          (4,373,357 ) 
       

 

 

  

Industrials - (0.3)%

        

Airlines - (0.1)%

        

Allegiant Travel Co.

      (10,254 )         (1,534,614 ) 
       

 

 

  

Electrical Equipment - 0.0%

        

Rockwell Automation, Inc.

      (3,703 )         (610,255 ) 
       

 

 

  

Industrial Conglomerates - (0.1)%

        

3M Co.

      (4,488 )         (737,827 ) 
       

 

 

  

Road & Rail - (0.1)%

        

Uber Technologies, Inc. (a)

      (44,856 )         (1,366,762 ) 
       

 

 

  
          (4,249,458 ) 
       

 

 

  

Real Estate - (0.3)%

        

Equity Real Estate Investment Trusts (REITs) - (0.3)%

        

Empire State Realty Trust, Inc.-Class A

      (76,268 )         (1,088,344 ) 

SL Green Realty Corp.

      (17,028 )         (1,392,039 ) 

Washington Prime Group, Inc.

      (180,841 )         (748,682 ) 
       

 

 

  
          (3,229,065 ) 
       

 

 

  

Communication Services - (0.2)%

        

Interactive Media & Services - (0.1)%

        

Pinterest, Inc.-Class A (a)

      (27,790 )         (735,045 ) 
       

 

 

  

Wireless Telecommunication Services - (0.1)%

        

Sprint Corp. (a)

      (209,727 )         (1,294,016 ) 
       

 

 

  
          (2,029,061 ) 
       

 

 

  

Financials - (0.1)%

        

Banks - (0.1)%

        

HSBC Holdings PLC

      (111,466 )         (854,816 ) 
       

 

 

  

Total Common Stocks
(proceeds $14,748,871)

           (14,735,757 ) 
       

 

 

  

INVESTMENT COMPANIES - (0.3)%

        

Funds and Investment Trusts - (0.3)%

        

Invesco CurrencyShares Euro Currency Trust (a)(g)
(proceeds $3,479,982)

      (33,380 )         (3,456,833 ) 
       

 

 

  

Total Securities Sold Short
(proceeds $18,228,853)

           (18,192,590 ) 
       

 

 

  

            U.S. $ Value  

Total Investments, Net of Securities Sold Short - 97.1%
(cost $1,054,306,247) (i)

                              $ 1,085,022,631  

Other assets less liabilities - 2.9%

           32,923,209  
       

 

 

  

Net Assets - 100.0%

         $ 1,117,945,840  
       

 

 

  

FUTURES

 

Description

    Number
of
Contracts		      Expiration
Month		      Current
Notional		      Value and
Unrealized
Appreciation/
(Depreciation)		  

Sold Contracts

            

S&P 500 E-Mini Futures

      68        December 2019      $ 10,126,900      $ (5,568 ) 

TOTAL RETURN SWAPS

 

Counterparty &
Referenced Obligation

    Rate Paid/
Received		     Payment
Frequency		      Current
Notional
(000)		      Maturity
Date		      Unrealized
Appreciation/
(Depreciation)		  

Pay Total Return on Reference Obligation

                 

JPMorgan Chase Bank, NA

                 

Cronos Group, Inc.

     
 LIBOR Minus
5.75%		  
 		     Monthly        USD        364        8/14/20      $ (6,773 ) 

Morgan Stanley Capital Services LLC

                 

MSABBBBD

     
 FedFundEffective
Minus 0.35%		  
 		     Annual        USD        4,626        3/05/21        2,330  

MSABBBBD

     
 FedFundEffective
Minus 0.35%		  
 		     Annual        USD        2,995        3/05/21        (12,923 ) 

MSABCHTS

     
 FedFundEffective
Minus 0.50%		  
 		     Annual        USD        7        3/05/21        (376 ) 

MSABCHTS

     
 FedFundEffective
Minus 0.50%		  
 		     Annual        USD        33        3/05/21        (2,290 ) 

MSABCHTS

     
 FedFundEffective
Minus 0.50%		  
 		     Annual        USD        2,997        3/05/21        (11,298 ) 

MSABCHTS

     
 FedFundEffective
Minus 0.50%		  
 		     Annual        USD        2,747        3/05/21        (110,804 ) 

Peloton Interactive, Inc.

     
 FedFundEffective
Plus 0.30%		  
 		     Annual        USD        750        3/05/21        (17,914 ) 
                

 

 

  
                 $ (160,048 ) 
                

 

 

  

 

(a)

Non-income producing security.

(b)

Represents entire or partial securities out on loan.

(c)

Fair valued by the Adviser.

(d)

Illiquid security.

(e)

Security in which significant unobservable inputs (Level 3) were used in determining fair value.

(f)

Affiliated investments.

(g)

To obtain a copy of the fund’s shareholder report, please go to the Securities and Exchange Commission’s website at www.sec.gov. Additionally, shareholder reports for AB funds can be obtained by calling AB at (800) 227-4618.

(h)

The rate shown represents the 7-day yield as of period end.

(i)

As of September 30, 2019, the cost basis of investment securities owned was substantially identical for both book and tax purposes. Gross unrealized appreciation of investments was $40,350,013 and gross unrealized depreciation of investments was $(9,799,244), resulting in net unrealized appreciation of $30,550,769.

Please note: The sector classifications presented herein are based on the Global Industry Classification Standard (GICS) which was developed by Morgan Stanley Capital International and Standard & Poor’s. The components are divided into sector, industry group, and industry sub-indices as classified by the GICS for each of the market capitalization indices in the broad market.

Glossary:

 

FedFundEffective    -    Federal Funds Effective Rate
LIBOR    -    London Interbank Offered Rates

AB Cap Fund, Inc.

AB Select US Long/Short Portfolio

September 30, 2019 (unaudited)

In accordance with U.S. GAAP regarding fair value measurements, fair value is defined as the price that the Fund would receive to sell an asset or pay to transfer a liability in an orderly transaction between market participants at the measurement date. U.S. GAAP 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 (including those valued based on their market values). Inputs may be observable or unobservable and refer broadly to the assumptions that market participants would use in pricing the asset or liability. Observable inputs reflect the assumptions market participants would use in pricing the asset or liability based on market data obtained from sources independent of the Fund. Unobservable inputs reflect the Fund’s own assumptions about the assumptions that market participants would use in pricing the asset or liability based on the best information available in the circumstances. Each investment is assigned a level based upon the observability of the inputs which are significant to the overall valuation. The three-tier hierarchy of inputs is summarized below.

 

  •  

Level 1—quoted prices in active markets for identical investments

  •  

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)

Where readily available market prices or relevant bid prices are not available for certain equity investments, such investments may be valued based on similar publicly traded investments, movements in relevant indices since last available prices or based upon underlying company fundamentals and comparable company data (such as multiples to earnings or other multiples to equity). Where an investment is valued using an observable input, by pricing vendors, such as another publicly traded security, the investment will be classified as Level 2. If management determines that an adjustment is appropriate based on restrictions on resale, illiquidity or uncertainty, and such adjustment is a significant component of the valuation, the investment will be classified as Level 3. An investment will also be classified as Level 3 where management uses company fundamentals and other significant inputs to determine the valuation.

The following table summarizes the valuation of the Fund’s investments by the above fair value hierarchy levels as of September 30, 2019:

 

Investments in Securities:

    Level 1     Level 2     Level 3     Total  

Assets:

         

Common Stocks:

         

Financials

    $ 140,337,361     $ – 0  –    $ – 0  –    $ 140,337,361  

Information Technology

      128,142,822       – 0  –      – 0  –      128,142,822  

Communication Services

      83,569,341       12,291,536       – 0  –      95,860,877  

Industrials

      79,027,796       – 0  –      – 0  –      79,027,796  

Health Care

      77,797,939       – 0  –      – 0  –      77,797,939  

Consumer Discretionary

      54,746,006       – 0  –      – 0  –      54,746,006  

Consumer Staples

      39,676,718       – 0  –      – 0  –      39,676,718  

Energy

      33,168,116       – 0  –      – 0  –      33,168,116  

Utilities

      24,008,412       – 0  –      – 0  –      24,008,412  

Materials

      7,569,960       – 0  –      – 0  –      7,569,960  

Real Estate

      4,833,007       – 0  –      – 0  –      4,833,007  

Preferred Stocks

      – 0  –      – 0  –      584,796       584,796  

Short-Term Investments:

         

Investment Companies

      410,476,896       – 0  –      – 0  –      410,476,896  

U.S. Treasury Bills

      – 0  –      6,984,515       – 0  –      6,984,515  

Liabilities:

         

Common Stocks:

         

Consumer Discretionary

      (4,373,357 )      – 0  –      – 0  –      (4,373,357 ) 

Industrials

      (4,249,458 )      – 0  –      – 0  –      (4,249,458 ) 

Real Estate

      (3,229,065 )      – 0  –      – 0  –      (3,229,065 ) 

Communication Services

      (2,029,061 )      – 0  –      – 0  –      (2,029,061 ) 

Financials

      – 0  –      (854,816 )      – 0  –      (854,816 ) 

Investment Companies

      (3,456,833 )      – 0  –      – 0  –      (3,456,833 ) 
  

 

 

    

 

 

    

 

 

    

 

 

  

Total Investments in Securities

      1,066,016,600       18,421,235       584,796       1,085,022,631  

Other Financial Instruments (a):

         

Assets:

         

Total Return Swaps

      – 0  –      2,330       – 0  –      2,330  

Liabilities:

         

Futures

      (5,568 )      – 0  –      – 0  –      (5,568 ) 

Total Return Swaps

      – 0  –      (162,378 )      – 0  –      (162,378 ) 
  

 

 

    

 

 

    

 

 

    

 

 

  

Total

    $     1,066,011,032     $     18,261,187     $     584,796     $     1,084,857,015  
  

 

 

    

 

 

    

 

 

    

 

 

  

(a)

Other financial instruments are derivative instruments, such as futures, forwards and swaps, which are valued at the unrealized appreciation/(depreciation) on the instrument. Other financial instruments may also include swaps with upfront premiums, options written and swaptions written which are valued at market value.

A summary of the Fund’s transactions in AB mutual funds for the three months ended September 30, 2019 is as follows:

 

Fund

    Market Value
6/30/19
(000)		     Purchases
at Cost
(000)		      Sales
Proceeds
(000)		      Market Value
9/30/19
(000)		     Dividend
Income (000)		  

Government Money Market Portfolio

    $ 374,268     $ 99,572      $ 63,363      $ 410,477     $ – 0  – 

Government Money Market Portfolio*

      – 0  –      208        208        – 0  –      – 0  –** 
  

 

 

    

 

 

     

 

 

     

 

 

    

 

 

  

Total

    $     374,268     $     99,780      $     63,571      $     410,477     $             – 0  –** 
  

 

 

    

 

 

     

 

 

     

 

 

    

 

 

  

 

*

Investments of cash collateral for securities lending transactions.

**

Amount less than $500.