NPORT-EX 2 NPORT_3116_BBH_34186947_0322.htm FOR VALIDATION PURPOSES ONLY - [313062.3116_0322]

AB Cap Fund, Inc.

AB International Strategic Core Portfolio

Portfolio of Investments

March 31, 2022 (unaudited)

 

Company    Shares        U.S. $ Value  

COMMON STOCKS – 94.8%

        

Financials – 23.9%

        

Banks – 16.4%

        

Bank Leumi Le-Israel BM

      1,427,848        $ 15,381,793  

DBS Group Holdings Ltd.

      780,800          20,458,696  

Hang Seng Bank Ltd.

      302,600          5,819,831  

KBC Group NV

      147,270          10,566,508  

Mitsubishi UFJ Financial Group, Inc.

      1,258,000          7,775,875  

Nordea Bank Abp

      587,810          6,049,736  

Oversea-Chinese Banking Corp., Ltd.

      1,501,480          13,621,211  

Royal Bank of Canada

      172,019          18,939,083  

Toronto-Dominion Bank (The)

      165,060          13,096,270  
       

 

 

  
              111,709,003  
       

 

 

  

Capital Markets – 4.6%

        

IG Group Holdings PLC

      648,035          6,960,365  

London Stock Exchange Group PLC

      32,230          3,360,964  

Partners Group Holding AG

      9,315          11,533,857  

Singapore Exchange Ltd.

      1,243,100          9,109,995  
       

 

 

  
          30,965,181  
       

 

 

  

Insurance – 2.9%

        

Admiral Group PLC

      200,130          6,711,320  

Allianz SE (REG)

      25,630          6,120,653  

Sampo Oyj - Class A

      139,928          6,837,472  
       

 

 

  
          19,669,445  
       

 

 

  
          162,343,629  
       

 

 

  

Information Technology – 12.7%

        

IT Services – 4.0%

        

Capgemini SE

      66,487          14,753,673  

Nomura Research Institute Ltd.

      204,000          6,655,967  

Otsuka Corp.

      162,000          5,743,925  
       

 

 

  
          27,153,565  
       

 

 

  

Semiconductors & Semiconductor Equipment – 1.9%

        

ASML Holding NV

      7,130          4,764,422  

Taiwan Semiconductor Manufacturing Co., Ltd.

      402,000          8,246,436  
       

 

 

  
          13,010,858  
       

 

 

  

Software – 6.8%

        

Avast PLC(a)

      1,098,650          8,168,747  

Constellation Software, Inc./Canada

      10,133          17,321,298  

Nice Ltd.(b)

      15,698          3,433,559  

Open Text Corp.

      111,840          4,742,341  

Oracle Corp. Japan

      95,100          6,590,148  

SAP SE

      54,363          6,024,951  
       

 

 

  
          46,281,044  
       

 

 

  
          86,445,467  
       

 

 

  

Health Care – 12.3%

        

Health Care Equipment & Supplies – 1.1%

        

ConvaTec Group PLC(a)

      1,275,110          3,601,444  

 

1

Company    Shares        U.S. $ Value  

Getinge AB - Class B

      96,070        $ 3,827,330  
       

 

 

  
          7,428,774  
       

 

 

  

Health Care Providers & Services – 1.8%

        

Galenica AG(a)

      155,516          11,972,598  
       

 

 

  

Pharmaceuticals – 9.4%

        

Novo Nordisk A/S - Class B

      183,588          20,362,873  

Roche Holding AG (Genusschein)

      69,312          27,424,115  

Sanofi

      161,589          16,520,803  
       

 

 

  
          64,307,791  
       

 

 

  
          83,709,163  
       

 

 

  

Industrials – 10.8%

        

Air Freight & Logistics – 1.2%

        

Kuehne & Nagel International AG

      22,131          6,283,636  

SG Holdings Co., Ltd.

      90,500          1,704,185  
       

 

 

  
          7,987,821  
       

 

 

  

Building Products – 1.3%

        

Assa Abloy AB - Class B

      319,440          8,586,415  
       

 

 

  

Commercial Services & Supplies – 0.5%

        

Secom Co., Ltd.

      45,200          3,269,855  
       

 

 

  

Electrical Equipment – 0.9%

        

Schneider Electric SE (Paris)

      37,416          6,281,785  
       

 

 

  

Professional Services – 6.3%

        

Experian PLC

      54,050          2,082,310  

Meitec Corp.

      122,500          6,636,024  

RELX PLC

      671,438          20,893,643  

Wolters Kluwer NV

      125,970          13,429,212  
       

 

 

  
          43,041,189  
       

 

 

  

Road & Rail – 0.6%

        

Canadian National Railway Co.

      30,737          4,123,181  
       

 

 

  
          73,290,246  
       

 

 

  

Communication Services – 10.3%

        

Diversified Telecommunication Services – 5.9%

        

BCE, Inc.(c)

      180,470          10,004,056  

HKT Trust & HKT Ltd.

      6,777,000          9,292,324  

Nippon Telegraph & Telephone Corp.

      535,500          15,558,368  

TELUS Corp.

      219,910          5,745,119  
       

 

 

  
                40,599,867  
       

 

 

  

Entertainment – 1.8%

        

GungHo Online Entertainment, Inc.

      369,300          7,841,312  

Ubisoft Entertainment SA(b)

      95,320          4,188,630  
       

 

 

  
          12,029,942  
       

 

 

  

Interactive Media & Services – 2.6%

        

Auto Trader Group PLC

      1,345,280          11,105,668  

 

2

Company    Shares        U.S. $ Value  

Kakaku.com, Inc.

      296,100        $ 6,612,731  
       

 

 

  
          17,718,399  
       

 

 

  
          70,348,208  
       

 

 

  

Consumer Staples – 9.9%

        

Beverages – 0.9%

        

Diageo PLC

      118,130          5,992,094  
       

 

 

  

Food & Staples Retailing – 2.2%

        

Koninklijke Ahold Delhaize NV

      472,830          15,208,820  
       

 

 

  

Food Products – 3.2%

        

Calbee, Inc.(c)

      99,000          1,908,794  

Nestle SA (REG)

      96,251          12,514,426  

Salmar ASA

      90,353          7,142,328  
       

 

 

  
          21,565,548  
       

 

 

  

Household Products – 0.6%

        

Unicharm Corp.

      105,800          3,800,957  
       

 

 

  

Tobacco – 3.0%

        

Philip Morris International, Inc.

      69,530          6,531,648  

Swedish Match AB

      1,889,880          14,211,963  
       

 

 

  
          20,743,611  
       

 

 

  
          67,311,030  
       

 

 

  

Energy – 5.0%

        

Oil, Gas & Consumable Fuels – 5.0%

        

Equinor ASA

      466,446          17,415,536  

Shell PLC

      593,356          16,263,127  
       

 

 

  
          33,678,663  
       

 

 

  

Consumer Discretionary – 4.6%

        

Hotels, Restaurants & Leisure – 0.4%

        

Compass Group PLC

      111,890          2,407,884  
       

 

 

  

Household Durables – 0.6%

        

Sony Group Corp.

      40,200          4,135,604  
       

 

 

  

Internet & Direct Marketing Retail – 0.5%

        

ZOZO, Inc.

      139,800          3,733,400  
       

 

 

  

Leisure Products – 1.0%

        

Bandai Namco Holdings, Inc.

      90,700          6,877,735  
       

 

 

  

Specialty Retail – 0.6%

        

Kingfisher PLC

      1,133,690          3,783,857  
       

 

 

  

Textiles, Apparel & Luxury Goods – 1.5%

        

LVMH Moet Hennessy Louis Vuitton SE

      8,490          6,060,156  

Pandora A/S

      43,570          4,150,669  
       

 

 

  
                10,210,825  
       

 

 

  
          31,149,305  
       

 

 

  

Real Estate – 2.9%

        

Equity Real Estate Investment Trusts (REITs) – 1.5%

        

Merlin Properties Socimi SA

      425,560          4,975,300  

 

3

Company    Shares        U.S. $ Value  

Nippon Building Fund, Inc.

      869        $ 4,929,683  
       

 

 

  
          9,904,983  
       

 

 

  

Real Estate Management & Development – 1.4%

        

Daito Trust Construction Co., Ltd.

      30,500          3,237,406  

Vonovia SE

      141,581          6,599,150  
       

 

 

  
          9,836,556  
       

 

 

  
          19,741,539  
       

 

 

  

Utilities – 1.4%

        

Electric Utilities – 1.4%

        

EDP - Energias de Portugal SA

      311,170          1,531,544  

Enel SpA

      1,246,013          8,319,324  
       

 

 

  
          9,850,868  
       

 

 

  

Materials – 1.0%

        

Chemicals – 0.4%

        

Akzo Nobel NV

      35,656          3,063,647  
       

 

 

  

Metals & Mining – 0.6%

        

Anglo American PLC

      74,350          3,863,403  
       

 

 

  
          6,927,050  
       

 

 

  

Total Common Stocks
(cost $549,919,302)

           644,795,168  
       

 

 

  

SHORT-TERM INVESTMENTS – 4.8%

        

Investment Companies – 4.8%

        

AB Fixed Income Shares, Inc. - Government Money Market Portfolio - Class AB, 0.19%(d) (e) (f)
(cost $32,805,022)

      32,805,022          32,805,022  
       

 

 

  

Total Investments Before Security Lending Collateral for Securities Loaned – 99.6%
(cost $582,724,324)

           677,600,190  
       

 

 

  

INVESTMENTS OF CASH COLLATERAL FOR SECURITIES LOANED – 0.9%

        

Investment Companies – 0.9%

        

AB Fixed Income Shares, Inc. - Government Money Market Portfolio - Class AB, 0.19%(d) (e) (f)
(cost $6,079,211)

      6,079,211          6,079,211  
       

 

 

  

Total Investments – 100.5%
(cost $588,803,535)(g)

           683,679,401  

Other assets less liabilities – (0.5)%

           (3,415,511 ) 
       

 

 

  

Net Assets – 100.0%

         $     680,263,890  
       

 

 

  

 

4

FUTURES

 

Description    Number
of
Contracts		    Expiration
Month		    Current
Notional		    Value and
Unrealized
Appreciation/
(Depreciation)
Purchased Contracts                    
MSCI EAFE Futures        134        June 2022      $     14,367,480      $     711,559

FORWARD CURRENCY EXCHANGE CONTRACTS

 

Counterparty    Contracts to
Deliver
(000)		      In Exchange
For
(000)		      Settlement
Date		      Unrealized
Appreciation/
(Depreciation)
Australia and New Zealand Banking Group Ltd.        USD        1,735          SGD        2,355          04/21/2022        $ 2,472
Australia and New Zealand Banking Group Ltd.        USD        46,363          AUD        65,661          04/28/2022              2,785,103
Bank of America, NA        USD        2,095          CHF        1,920          04/13/2022          (16,291 )
Bank of America, NA        USD        2,560          CAD        3,267          04/22/2022          53,445
Bank of America, NA        USD        4,622          JPY        544,738          04/28/2022          (145,494 )
Bank of America, NA        EUR        2,791          USD        3,043          05/12/2022          (48,022 )
Bank of America, NA        USD        2,979          EUR        2,713          05/12/2022          26,253
Barclays Bank PLC        JPY        110,578          USD        954          04/28/2022          45,363
Barclays Bank PLC        USD        2,137          HKD        16,660          04/28/2022          (10,169 )
BNP Paribas SA        EUR        1,687          USD        1,875          05/12/2022          6,713
BNP Paribas SA        ILS        42,110          USD        13,073          05/25/2022          (140,729 )
Brown Brothers Harriman & Co.        USD        2,809          CHF        2,610          04/13/2022          16,172
Brown Brothers Harriman & Co.        USD        1,029          CHF        944          04/13/2022          (7,335 )
Brown Brothers Harriman & Co.        SGD        6,844          USD        5,087          04/21/2022          38,201
Brown Brothers Harriman & Co.        SGD        2,756          USD        2,027          04/21/2022          (6,072 )
Brown Brothers Harriman & Co.        USD        2,797          SGD        3,803          04/21/2022          9,007
Brown Brothers Harriman & Co.        USD        1,100          SGD        1,480          04/21/2022          (8,007 )
Brown Brothers Harriman & Co.        CAD        4,748          USD        3,727          04/22/2022          (70,816 )
Brown Brothers Harriman & Co.        HKD        16,660          USD        2,136          04/28/2022          8,417
Brown Brothers Harriman & Co.        JPY        588,723          USD        5,029          04/28/2022          191,295
Brown Brothers Harriman & Co.        JPY        200,553          USD        1,646          04/28/2022          (1,752 )
Brown Brothers Harriman & Co.        USD        3,642          JPY        428,519          04/28/2022          (120,575 )
Citibank, NA        SGD        2,401          USD        1,771          04/21/2022          (114 )
Citibank, NA        USD        1,602          AUD        2,197          04/28/2022          42,166
Citibank, NA        USD        1,433          AUD        1,907          04/28/2022          (5,111 )
Citibank, NA        USD        2,508          JPY        289,840          04/28/2022          (125,701 )
Citibank, NA        EUR        1,749          USD        1,921          05/12/2022          (16,025 )
Citibank, NA        USD        3,260          EUR        2,958          05/12/2022          16,524
Citibank, NA        ILS        4,357          USD        1,367          05/25/2022          (69 )
Citibank, NA        GBP        1,499          USD        1,977          06/09/2022          8,252
Deutsche Bank AG        USD        1,860          CHF        1,715          04/13/2022          (3,290 )
Deutsche Bank AG        USD        1,881          CAD        2,388          04/22/2022          29,215
Deutsche Bank AG        USD        747          AUD        1,011          04/28/2022          9,386
Goldman Sachs Bank USA        SGD        1,441          USD        1,072          04/21/2022          8,827
Goldman Sachs Bank USA        USD        957          CAD        1,225          04/22/2022          22,315
HSBC Bank USA        CAD        1,949          USD        1,543          04/22/2022          (16,317 )
HSBC Bank USA        JPY        347,562          USD        2,996          04/28/2022          139,776
JPMorgan Chase Bank, NA        SGD        1,839          USD        1,356          04/21/2022          (1,216 )
JPMorgan Chase Bank, NA        HKD        12,193          USD        1,560          04/28/2022          3,578
JPMorgan Chase Bank, NA        USD        1,495          JPY        176,835          04/28/2022          (41,515 )
JPMorgan Chase Bank, NA        NOK        145,134          USD        16,603          06/17/2022          125,957

 

5

Counterparty    Contracts to
Deliver
(000)		      In Exchange
For
(000)		      Settlement
Date		      Unrealized
Appreciation/
(Depreciation)
Morgan Stanley Capital Services LLC        SGD        39,673          USD        29,441          04/21/2022        $ 171,785
Morgan Stanley Capital Services LLC        CAD        90,231          USD        70,965          04/22/2022          (1,205,034 )
Morgan Stanley Capital Services LLC        JPY        332,777          USD        2,878          04/28/2022          143,165
Morgan Stanley Capital Services LLC        TWD        227,618          USD        8,294          04/28/2022          341,661
Morgan Stanley Capital Services LLC        USD        52,988          JPY        6,129,436          04/28/2022          (2,615,617 )
Morgan Stanley Capital Services LLC        USD        1,887          TWD        52,738          04/28/2022          (44,362 )
Morgan Stanley Capital Services LLC        EUR        1,306          USD        1,468          05/12/2022          21,628
Morgan Stanley Capital Services LLC        EUR        3,932          USD        4,339          05/12/2022          (16,501 )
Morgan Stanley Capital Services LLC        USD        2,676          EUR        2,338          05/12/2022          (86,061 )
Morgan Stanley Capital Services LLC        USD        7,143          GBP        5,462          06/09/2022          30,363
Morgan Stanley Capital Services LLC        NOK        13,100          USD        1,491          06/17/2022          4,160
Morgan Stanley Capital Services LLC        SEK        11,528          USD        1,220          06/17/2022          (8,359 )
Royal Bank of Scotland PLC        GBP        745          USD        974          06/09/2022          (4,175 )
Royal Bank of Scotland PLC        SEK        66,675          USD        7,106          06/17/2022          1,061
Standard Chartered Bank        JPY        194,459          USD        1,686          04/28/2022          88,032
UBS AG        CHF        7,189          USD        7,775          04/13/2022          (7,516 )
UBS AG        CAD        1,686          USD        1,324          04/22/2022          (24,468 )
UBS AG        USD        1,560          HKD        12,193          04/28/2022          (2,944 )
UBS AG        USD        65,149          EUR        56,940          05/12/2022          (2,080,274 )
                                   

 

 

  
                                    $     (2,489,639 ) 
                                   

 

 

  

 

(a)

Security is exempt from registration under Rule 144A or Regulation S of the Securities Act of 1933. These securities are considered restricted, but liquid and may be resold in transactions exempt from registration. At March 31, 2022, the aggregate market value of these securities amounted to $23,742,789 or 3.5% of net assets.

(b)

Non-income producing security.

(c)

Represents entire or partial securities out on loan.

(d)

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.

(e)

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

(f)

Affiliated investments.

(g)

As of March 31, 2022, the cost basis of investment securities owned was substantially identical for both book and tax purposes. Gross unrealized appreciation of investments was $121,335,317 and gross unrealized depreciation of investments was $(28,237,531), resulting in net unrealized appreciation of $93,097,786.

 

    

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.

Currency Abbreviations:

AUD – Australian Dollar

CAD – Canadian Dollar

CHF – Swiss Franc

EUR – Euro

GBP – Great British Pound

 

6

HKD – Hong Kong Dollar

ILS – Israeli Shekel

JPY – Japanese Yen

NOK – Norwegian Krone

SEK – Swedish Krona

SGD – Singapore Dollar

TWD – New Taiwan Dollar

USD – United States Dollar

Glossary:

EAFE – Europe, Australia, and Far East

MSCI – Morgan Stanley Capital International

REG – Registered Shares

 

7

COUNTRY BREAKDOWN1

March 31, 2022 (unaudited)

 

  14.3 %       Japan
  12.3 %       United Kingdom
  10.9 %       Canada
  10.3 %       Switzerland
  6.4 %       Singapore
  6.1 %       France
  5.4 %       Netherlands
  3.9 %       Sweden
  3.6 %       Norway
  3.6 %       Denmark
  3.1 %       United States
  2.8 %       Israel
  2.8 %       Germany
  9.7 %       Other
  4.8 %       Short-Term

 

 

       
  100.0 %       Total Investments

 

 

       

 

1 

All data are as of March 31, 2022. The Fund’s country breakdown is expressed as a percentage of total investments (excluding security lending collateral) and may vary over time. The portfolio also enters into derivative transactions, which may be used for hedging or investment purposes (see “Portfolio of Investments” section of the report for additional details). “Other” country weightings represent 2.2% or less in the following: Belgium, Finland, Hong Kong, Italy, Portugal, South Africa, Spain and Taiwan.

 

8

AB Cap Fund, Inc.

AB International Strategic Core Portfolio

March 31, 2022 (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)

The fair value of debt instruments, such as bonds, and over-the-counter derivatives is generally based on market price quotations, recently executed market transactions (where observable) or industry recognized modeling techniques and are generally classified as Level 2. Pricing vendor inputs to Level 2 valuations may include quoted prices for similar investments in active markets, interest rate curves, coupon rates, currency rates, yield curves, option adjusted spreads, default rates, credit spreads and other unique security features in order to estimate the relevant cash flows which are then discounted to calculate fair values. If these inputs are unobservable and significant to the fair value, these investments will be classified as Level 3.

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, 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, 2022:

 

Investments in Securities

    Level 1      Level 2     Level 3      Total  
Assets:           
Common Stocks:           

Financials

    $ 32,035,353      $ 130,308,276     $ -0-      $ 162,343,629  

Information Technology

      30,232,386        56,213,081       -0-        86,445,467  

Health Care

      -0-        83,709,163       -0-        83,709,163  

Industrials

      4,123,181        69,167,065       -0-        73,290,246  

Communication Services

      15,749,175        54,599,033       -0-        70,348,208  

Consumer Staples

      6,531,648        60,779,382       -0-        67,311,030  

Energy

      -0-        33,678,663       -0-        33,678,663  

Consumer Discretionary

      -0-        31,149,305       -0-        31,149,305  

Real Estate

      -0-        19,741,539       -0-        19,741,539  

Utilities

      -0-        9,850,868       -0-        9,850,868  

Materials

      -0-        6,927,050       -0-        6,927,050  
Short-Term Investments:           

Investment Companies

      32,805,022        -0-       -0-        32,805,022  
Investments of Cash Collateral for Securities Loaned in Affiliated Money Market Fund      6,079,211        -0-       -0-        6,079,211  
  

 

 

     

 

 

    

 

 

     

 

 

  
Total Investments in Securities          127,555,976            556,123,425 †                      -0-            683,679,401  

 

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Investments in Securities

    Level 1      Level 2     Level 3      Total  
Other Financial Instruments*:           
Assets           
Futures    $ 711,559      $ -0-     $ -0-      $ 711,559  
Forward Currency Exchange Contracts      -0-        4,390,292       -0-        4,390,292  
Liabilities           
Forward Currency Exchange Contracts      -0-        (6,879,931 )      -0-        (6,879,931 ) 
  

 

 

     

 

 

    

 

 

     

 

 

  
Total    $     128,267,535      $     553,633,786     $                 -0-      $     681,901,321  
  

 

 

     

 

 

    

 

 

     

 

 

  

 

†

A significant portion of the Fund’s foreign equity investments are categorized as Level 2 investments since they are valued using fair value prices based on third party vendor modeling tools to the extent available.

 

*

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, 2022 is as follows:

 

Fund    Market Value
6/30/21
(000)		      Purchases
at Cost
(000)		      Sales
Proceeds
(000)		      Market Value
3/31/22
(000)		      Dividend
Income
(000)		  
Government Money Market Portfolio    $   23,857      $   102,726      $   93,778      $   32,805      $   6  
Government Money Market Portfolio*      -0-        39,382        33,303        6,079        0 ** 
Total                               $ 38,884      $ 6  

 

*

Investment of cash collateral for securities lending transactions.

**

Amount is less than $500.

 

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