NPORT-EX 2 NPORT_6359845368134083.htm HTML[877387.SLS]

AB Cap Fund, Inc.

AB Select US Long/Short Portfolio

Portfolio of Investments

March 31, 2020 (unaudited)

 

Company    Shares        U.S. $ Value  

COMMON STOCKS – 56.8%

 

Information Technology – 12.2%

 

Communications Equipment – 0.5%

 

Cisco Systems, Inc.

      132,445        $ 5,206,413  
       

 

 

  

IT Services – 1.7%

 

KBR, Inc.

      84,976          1,757,304  

PayPal Holdings, Inc.(a)

      37,758          3,614,951  

Visa, Inc. - Class A

      66,622          10,734,136  
       

 

 

  
          16,106,391  
       

 

 

  

Semiconductors & Semiconductor Equipment – 2.0%

 

Intel Corp.

      121,134          6,555,772  

NVIDIA Corp.

      21,224          5,594,646  

QUALCOMM, Inc.

      63,798          4,315,935  

Texas Instruments, Inc.

      24,064          2,404,716  
       

 

 

  
          18,871,069  
       

 

 

  

Software – 5.3%

 

Adobe, Inc.(a)

      21,601          6,874,302  

Microsoft Corp.

      249,624          39,368,201  

salesforce.com, Inc.(a)

      30,809          4,435,880  
       

 

 

  
          50,678,383  
       

 

 

  

Technology Hardware, Storage & Peripherals – 2.7%

 

Apple, Inc.

      101,980          25,932,494  
       

 

 

  
          116,794,750  
       

 

 

  

Health Care – 9.6%

 

Biotechnology – 0.9%

 

Vertex Pharmaceuticals, Inc.(a)

      37,209          8,853,881  
       

 

 

  

Health Care Equipment & Supplies – 1.9%

 

Abbott Laboratories

      91,109          7,189,411  

Boston Scientific Corp.(a)

      212,196          6,923,956  

Zimmer Biomet Holdings, Inc.

      36,064          3,645,349  
       

 

 

  
          17,758,716  
       

 

 

  

Health Care Providers & Services – 2.3%

 

Cigna Corp.(a)

      45,978          8,146,382  

Humana, Inc.

      12,597          3,955,710  

UnitedHealth Group, Inc.

      39,264          9,791,656  
       

 

 

  
          21,893,748  
       

 

 

  

Pharmaceuticals – 4.5%

 

Eli Lilly & Co.

      58,402          8,101,525  

Johnson & Johnson

      140,852          18,469,923  

Merck & Co., Inc.

      214,925          16,536,330  
       

 

 

  
          43,107,778  
       

 

 

  
          91,614,123  
       

 

 

  

Financials – 8.6%

 

Banks – 3.9%

 

Bank of America Corp.

      302,458          6,421,183  

Citigroup, Inc.

      152,915          6,440,780  

JPMorgan Chase & Co.

      129,762          11,682,473  

PNC Financial Services Group, Inc. (The)

      131,000          12,539,320  
       

 

 

  
          37,083,756  
       

 

 

  
Company    Shares        U.S. $ Value  

Capital Markets – 1.3%

 

Charles Schwab Corp. (The)

      55,390        $ 1,862,212  

Goldman Sachs Group, Inc. (The)

      67,360          10,413,182  
       

 

 

  
          12,275,394  
       

 

 

  

Diversified Financial Services – 3.4%

 

Berkshire Hathaway, Inc. - Class B(a)

      177,026          32,365,664  
       

 

 

  
          81,724,814  
       

 

 

  

Communication Services – 6.5%

 

Diversified Telecommunication Services – 1.0%

 

Anterix, Inc.(a)(b)

      35,201          1,607,630  

AT&T, Inc.

      153,888          4,485,835  

Comcast Corp. - Class A

      96,301          3,310,828  
       

 

 

  
          9,404,293  
       

 

 

  

Entertainment – 2.0%

 

Activision Blizzard, Inc.

      171,630          10,208,552  

Netflix, Inc.(a)

      11,671          4,382,461  

Vivendi SA

      141,307          2,987,707  

Walt Disney Co. (The)

      18,887          1,824,484  
       

 

 

  
          19,403,204  
       

 

 

  

Interactive Media & Services – 3.5%

 

Alphabet, Inc. - Class C(a)

      17,146          19,937,540  

Facebook, Inc. - Class A(a)

      80,975          13,506,630  
       

 

 

  
          33,444,170  
       

 

 

  
          62,251,667  
       

 

 

  

Industrials – 5.8%

 

Aerospace & Defense – 1.6%

 

Northrop Grumman Corp.

      51,500          15,581,325  
       

 

 

  

Construction & Engineering – 1.1%

 

Jacobs Engineering Group, Inc.

      134,389          10,653,016  
       

 

 

  

Industrial Conglomerates – 2.6%

 

Honeywell International, Inc.

      187,677          25,109,306  
       

 

 

  

Road & Rail – 0.5%

 

Norfolk Southern Corp.

      29,695          4,335,470  
       

 

 

  
          55,679,117  
       

 

 

  

Consumer Staples – 5.8%

 

Beverages – 1.0%

 

Coca-Cola Co. (The)

      210,378          9,309,227  
       

 

 

  

Food & Staples Retailing – 1.7%

 

Costco Wholesale Corp.

      14,448          4,119,558  

Walmart, Inc.

      110,795          12,588,528  
       

 

 

  
          16,708,086  
       

 

 

  
Company    Shares        U.S. $ Value  

Household Products – 2.2%

 

Procter & Gamble Co. (The)

      194,311        $ 21,374,210  
       

 

 

  

Personal Products – 0.4%

 

Estee Lauder Cos., Inc. (The) - Class A

      21,365          3,404,299  
       

 

 

  

Tobacco – 0.5%

 

Altria Group, Inc.

      115,408          4,462,827  
       

 

 

  
          55,258,649  
       

 

 

  

Consumer Discretionary – 4.7%

 

Hotels, Restaurants & Leisure – 0.3%

 

Starbucks Corp.

      44,237          2,908,140  
       

 

 

  

Internet & Direct Marketing Retail – 3.3%

 

Alibaba Group Holding Ltd. (Sponsored ADR)(a)

      33,350          6,485,908  

Amazon.com, Inc.(a)

      11,891          23,184,120  

Booking Holdings, Inc.(a)

      1,443          1,941,297  
       

 

 

  
          31,611,325  
       

 

 

  

Specialty Retail – 1.1%

 

Home Depot, Inc. (The)

      49,461          9,234,864  

Ulta Beauty, Inc.(a)

      8,063          1,416,669  
       

 

 

  
          10,651,533  
       

 

 

  
          45,170,998  
       

 

 

  

Utilities – 2.0%

 

Electric Utilities – 2.0%

 

NextEra Energy, Inc.

      50,919          12,252,130  

NRG Energy, Inc.

      264,794          7,218,284  
       

 

 

  
          19,470,414  
       

 

 

  

Energy – 0.7%

 

Oil, Gas & Consumable Fuels – 0.7%

 

Chevron Corp.

      32,613          2,363,138  

EOG Resources, Inc.

      84,050          3,019,076  

Valero Energy Corp.

      34,840          1,580,343  
       

 

 

  
          6,962,557  
       

 

 

  

Materials – 0.5%

 

Containers & Packaging – 0.5%

 

Berry Global Group, Inc.(a)

      140,962          4,751,829  
       

 

 

  

Real Estate – 0.4%

 

Equity Real Estate Investment Trusts (REITs) – 0.4%

 

Equinix, Inc.

      2,212          1,381,549  

QTS Realty Trust, Inc. - Class A

      40,017          2,321,386  
       

 

 

  
          3,702,935  
       

 

 

  

Total Common Stocks
(cost $593,048,448)

           543,381,853  
       

 

 

  
Company    Shares        U.S. $ Value  

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          565,747  
       

 

 

  

SHORT-TERM INVESTMENTS – 40.7%

 

Investment Companies – 40.0%

 

AB Fixed Income Shares, Inc. - Government Money Market Portfolio - Class AB, 0.53%(f)(g)(h)
(cost $382,237,349)

      382,237,349          382,237,349  
       

 

 

  
     Principal
Amount
(000)		           

U.S. Treasury Bills – 0.7%

 

U.S. Treasury Bill
Zero Coupon, 05/14/2020
(cost $6,987,082)

    $ 7,000          6,999,206  
       

 

 

  

Total Short-Term Investments
(cost $389,224,431)

 

        389,236,555  
    

 

 

  

Total Investments Before Securities Sold Short – 97.6%
(cost $983,223,074)

 

        933,184,155  
    

 

 

  
     Shares           

SECURITIES SOLD SHORT – (2.0)%

 

COMMON STOCKS – (2.0)%

 

Real Estate – (1.2)%

 

Equity Real Estate Investment Trusts (REITs) – (1.2)%

 

Acadia Realty Trust

      (110,215 )         (1,365,564 ) 

Agree Realty Corp.

      (19,906 )         (1,232,181 ) 

Brixmor Property Group, Inc.

      (144,161 )         (1,369,529 ) 

Chatham Lodging Trust

      (165,921 )         (985,571 ) 

Empire State Realty Trust, Inc. - Class A

      (176,948 )         (1,585,454 ) 

Kimco Realty Corp.

      (140,961 )         (1,363,093 ) 

Regency Centers Corp.

      (35,734 )         (1,373,258 ) 

SL Green Realty Corp.

      (32,157 )         (1,385,967 ) 

Tanger Factory Outlet Centers, Inc.

      (240,194 )         (1,200,970 ) 

Washington Prime Group, Inc.

      (165,135 )         (132,950 ) 
       

 

 

  
       (11,994,537 ) 
    

 

 

  

Consumer Discretionary – (0.5)%

 

Hotels, Restaurants & Leisure – (0.1)%

 

Six Flags Entertainment Corp.

      (77,869 )         (976,477 ) 
       

 

 

  

Internet & Direct Marketing Retail – (0.1)%

 

Etsy, Inc.(a)

      (10,714 )         (411,846 ) 

RealReal, Inc. (The)(a)

      (61,304 )         (429,741 ) 
       

 

 

  
       (841,587 ) 
    

 

 

  
Company    Shares        U.S. $ Value  

Multiline Retail – (0.2)%

        

Macy’s, Inc.

      (356,452 )       $ (1,750,179 ) 
       

 

 

  

Textiles, Apparel & Luxury Goods – (0.1)%

        

Canada Goose Holdings, Inc.(a)

      (45,319 )         (901,395 ) 

Oxford Industries, Inc.

      (12,048 )         (436,861 ) 
       

 

 

  
          (1,338,256 ) 
       

 

 

  
          (4,906,499 ) 
       

 

 

  

Communication Services – (0.1)%

        

Entertainment – (0.1)%

        

AMC Entertainment Holdings, Inc. - Class A

      (311,791 )         (985,260 ) 
       

 

 

  

Health Care – (0.1)%

        

Pharmaceuticals – (0.1)%

        

Canopy Growth Corp.(a)

      (62,026 )         (894,415 ) 
       

 

 

  

Financials – (0.1)%

        

Banks – (0.1)%

        

HSBC Holdings PLC

      (102,853 )         (580,788 ) 
       

 

 

  

Total Securities Sold Short
(proceeds $20,951,597)

           (19,361,499 ) 
       

 

 

  

Total Investments, Net of Securities Sold Short – 95.6%
(cost $962,271,476)(i)

           913,822,656  

Other assets less liabilities – 4.4%

           42,474,979  
       

 

 

  

Net Assets – 100.0%

         $   956,297,635  
       

 

 

  

FUTURES

 

Description   

Number

of

Contracts

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

 

S&P 500 E-Mini Futures        140        June 2020      $ 17,987,900      $ (163,376 )

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

 

Morgan Stanley Capital Services LLC

 

MSABBBBD     
 FedFundEffective
Minus 0.35		  
% 		     Monthly        USD        1,925,022        03/05/2021      $ 547,579  
MSABBBBD     
 FedFundEffective
Minus 0.35		  
% 		     Monthly        USD        1,110,025        03/05/2021        464,637  
MSABBBBD     
 FedFundEffective
Minus 0.35		  
% 		     Monthly        USD        1,122,484        03/05/2021        441,690  
MSABBBBD     
 FedFundEffective
Minus 0.35		  
% 		     Monthly        USD        552,231        03/05/2021        227,303  
MSABBBBD     
 FedFundEffective
Minus 0.35		  
% 		     Monthly        USD        13,498        03/05/2021        4,745  
MSABBBBD     
 FedFundEffective
Minus 0.35		  
% 		     Monthly        USD        12,311        03/05/2021        4,738  
Counterparty &
Referenced Obligation		    Rate Paid/
Received		     Payment
Frequency		      Current
Notional
(000)		      Maturity
Date		      Unrealized
Appreciation/
(Depreciation)		  

MSABBBBD

     
 FedFundEffective
Minus 0.35		  
% 		     Monthly        USD        7,491        03/05/2021      $ 2,622  

MSABBBBD

     
 FedFundEffective
Minus 0.35		  
% 		     Monthly        USD        12,905        03/05/2021        1,503  

MSABBBBD

     
 FedFundEffective
Minus 0.35		  
% 		     Monthly        USD        1,335        03/05/2021        544  

MSABBBBD

     
 FedFundEffective
Minus 0.35		  
% 		     Monthly        USD        13,869        03/05/2021        (119 ) 

MSABWARR

     
 FedFundEffective
Minus 0.50		  
% 		     Monthly        USD        1,137,852        03/05/2021        436,729  

MSABWARR

     
 FedFundEffective
Minus 0.50		  
% 		     Monthly        USD        1,070,393        03/05/2021        424,415  

MSABWARR

     
 FedFundEffective
Minus 0.50		  
% 		     Monthly        USD        1,131,248        03/05/2021        408,803  

MSABWARR

     
 FedFundEffective
Minus 0.50		  
% 		     Monthly        USD        1,137,517        03/05/2021        399,995  

MSABWARR

     
 FedFundEffective
Minus 0.50		  
% 		     Monthly        USD        1,137,350        03/05/2021        381,337  

MSABWARR

     
 FedFundEffective
Minus 0.50		  
% 		     Monthly        USD        558,477        03/05/2021        217,039  

MSABWARR

     
 FedFundEffective
Minus 0.50		  
% 		     Monthly        USD        248,017        03/05/2021        95,484  

MSABWARR

     
 FedFundEffective
Minus 0.50		  
% 		     Monthly        USD        21,483        03/05/2021        7,238  

MSABWARR

     
 FedFundEffective
Minus 0.50		  
% 		     Monthly        USD        20,480        03/05/2021        2,188  

MSABWARR

     
 FedFundEffective
Minus 0.50		  
% 		     Monthly        USD        18,892        03/05/2021        (182 ) 

Peloton Interactive, Inc.

     
 FedFundEffective
Minus 8.41		  
% 		     Monthly        USD        183,646        03/05/2021        39,430  

Peloton Interactive, Inc.

     
 FedFundEffective
Minus 8.40		  
% 		     Monthly        USD        5,363        03/05/2021        693  

Peloton Interactive, Inc.

     
 FedFundEffective
Minus 8.41		  
% 		     Monthly        USD        1,381        03/05/2021        454  

Peloton Interactive, Inc.

     
 FedFundEffective
Minus 35.09		  
% 		     Monthly        USD        1,035        03/05/2021        230  

Peloton Interactive, Inc.

     
 FedFundEffective
Minus 10.39		  
% 		     Monthly        USD        345        03/05/2021        46  

Peloton Interactive, Inc.

     
 FedFundEffective
Minus 0.60		  
% 		     Monthly        USD        2,602        03/05/2021        28  

Peloton Interactive, Inc.

     
 FedFundEffective
Minus 1.23		  
% 		     Monthly        USD        770        03/05/2021        (116 ) 

Peloton Interactive, Inc.

     
 FedFundEffective
Minus 31.25		  
% 		     Monthly        USD        1,301        03/05/2021        (165 ) 

Peloton Interactive, Inc.

     
 FedFundEffective
Minus 31.25		  
% 		     Monthly        USD        25,355        03/05/2021        (3,218 ) 

Peloton Interactive, Inc.

     
 FedFundEffective
Plus 0.30		  
% 		     Annual        USD        27,612        03/05/2021        (3,266 ) 

Peloton Interactive, Inc.

     
 FedFundEffective
Minus 1.23		  
% 		     Monthly        USD        320,405        03/05/2021        (78,168 ) 

Peloton Interactive, Inc.

     
 FedFundEffective
Minus 1.23		  
% 		     Monthly        USD        320,618        03/05/2021        (97,253 ) 
                

 

 

  
                 $     3,926,983  
                

 

 

  

 

(a)

Non-income producing security.

(b)

Represents entire or partial securities out on loan.

(c)

Illiquid security.

(d)

Fair valued by the Adviser.

(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, or call AB at (800) 227-4618.

(h)

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

(i)

As of March 31, 2020, the cost basis of investment securities owned was substantially identical for both book and tax purposes. Gross unrealized appreciation of investments was $21,346,264 and gross unrealized depreciation of investments was $(66,031,477), resulting in net unrealized depreciation of $(44,685,213).

 

    

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:

ADR – American Depositary Receipt

FedFundEffective – Federal Funds Effective Rate

AB Cap Fund, Inc.

AB Select US Long/Short Portfolio

March 31, 2020 (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 March 31, 2020:

 

Investments in Securities:

    Level 1     Level 2     Level 3      Total  
Assets:

 

Common Stocks:                                                                                                                          

Information Technology

    $   116,794,750     $ —     $ —      $   116,794,750  

Health Care

      91,614,123       —       —        91,614,123  

Financials

      81,724,814       —       —        81,724,814  

Communication Services

      59,263,960       2,987,707       —        62,251,667  

Industrials

      55,679,117       —       —        55,679,117  

Consumer Staples

      55,258,649       —       —        55,258,649  

Consumer Discretionary

      45,170,998       —       —        45,170,998  

Utilities

      19,470,414       —       —        19,470,414  

Energy

      6,962,557       —       —        6,962,557  

Materials

      4,751,829       —       —        4,751,829  

Real Estate

      3,702,935       —       —        3,702,935  
Preferred Stocks      —       —       565,747        565,747  
Short-Term Investments:          

Investment Companies

      382,237,349       —       —        382,237,349  

U.S. Treasury Bills

      —       6,999,206       —        6,999,206  
Liabilities::          
Common Stocks:          

Real Estate

      (11,994,537 )      —       —        (11,994,537 ) 

Consumer Discretionary

      (4,906,499 )      —       —        (4,906,499 ) 

Communication Services

      (985,260 )      —       —        (985,260 ) 

Health Care

      (894,415 )      —       —        (894,415 ) 

Financials

      —       (580,788 )      —        (580,788 ) 
  

 

 

    

 

 

    

 

 

     

 

 

  
Total Investments in Securities      903,850,784       9,406,125       565,747        913,822,656  
Other Financial Instruments(a):          
Assets:

 

Total Return Swaps      —       4,109,470       —        4,109,470  
Liabilities:                                                                                                                          
Futures      (163,376 )      —       —        (163,376 ) 
Total Return Swaps      —       (182,487 )      —        (182,487 ) 
  

 

 

    

 

 

    

 

 

     

 

 

  
Total    $ 903,687,408     $ 13,333,108     $ 565,747      $ 917,586,263  
  

 

 

    

 

 

    

 

 

     

 

 

  
(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 nine months ended March 31, 2020 is as follows:

 

Fund   

Market Value

06/30/2019

(000)

     

Purchases

at Cost

(000)

     

Sales

Proceeds

(000)

     

Market Value

03/31/2020

(000)

     

Dividend

Income

(000)

  
Government Money Market Portfolio    $ 374,268      $ 290,250      $ 282,281      $ 382,237      $ 5,329