NPORT-EX 2 NPORT_64VG_47934647_0922.htm HTML

AB Variable Products Series Fund, Inc.

AB Sustainable International Thematic Portfolio

Portfolio of Investments

September 30, 2022 (unaudited)

 

Company    Shares        U.S. $ Value  

COMMON STOCKS – 93.5%

        

Information Technology – 23.1%

        

Electronic Equipment, Instruments & Components – 4.1%

        

Flex Ltd.(a)

      22,082        $ 367,886  

Halma PLC

      29,019          652,706  

Keyence Corp.

      1,300          429,728  
       

 

 

  
                1,450,320  
       

 

 

  

IT Services – 4.6%

        

Accenture PLC - Class A

      3,414          878,422  

Edenred

      16,040          738,975  
       

 

 

  
          1,617,397  
       

 

 

  

Semiconductors & Semiconductor Equipment – 12.2%

        

ASML Holding NV

      2,030          840,986  

Infineon Technologies AG

      26,129          571,808  

MediaTek, Inc.

      25,000          431,410  

NXP Semiconductors NV

      5,940          876,209  

STMicroelectronics NV

      28,061          872,059  

Taiwan Semiconductor Manufacturing Co., Ltd.

      55,000          729,047  
       

 

 

  
          4,321,519  
       

 

 

  

Software – 2.2%

        

Dassault Systemes SE

      22,705          783,891  
       

 

 

  
          8,173,127  
       

 

 

  

Financials – 22.2%

        

Banks – 9.9%

        

Bank Mandiri Persero Tbk PT

      1,324,500          813,296  

Erste Group Bank AG

      33,371          731,565  

HDFC Bank Ltd.

      61,298          1,062,541  

Svenska Handelsbanken AB - Class A

      106,044          870,514  
       

 

 

  
          3,477,916  
       

 

 

  

Capital Markets – 7.4%

        

Deutsche Boerse AG

      4,754          779,308  

London Stock Exchange Group PLC

      9,952          840,435  

Partners Group Holding AG

      1,237          995,518  
       

 

 

  
          2,615,261  
       

 

 

  

Insurance – 4.9%

        

Aflac, Inc.

      14,855          834,851  

AIA Group Ltd.

      77,800          647,755  

Prudential PLC

      25,003          244,720  
       

 

 

  
          1,727,326  
       

 

 

  
          7,820,503  
       

 

 

  

Health Care – 20.5%

        

Biotechnology – 1.7%

        

Abcam PLC(a)

      38,996          582,278  
       

 

 

  

Health Care Equipment & Supplies – 7.2%

        

Alcon, Inc.

      11,990          696,445  

ConvaTec Group PLC(b)

      176,832          401,863  

Koninklijke Philips NV(c)

      36,039          554,874  

STERIS PLC

      5,410          899,575  
       

 

 

  
          2,552,757  
       

 

 

  

 

1

Company    Shares        U.S. $ Value  

Health Care Providers & Services – 2.5%

        

Apollo Hospitals Enterprise Ltd.

      16,399        $ 875,520  
       

 

 

  

Life Sciences Tools & Services – 6.5%

        

Danaher Corp.

      3,491          901,690  

Gerresheimer AG

      6,994          341,488  

ICON PLC(a)

      2,260          415,343  

Tecan Group AG (REG)(a)

      1,882          645,609  
       

 

 

  
          2,304,130  
       

 

 

  

Pharmaceuticals – 2.6%

        

Roche Holding AG (Genusschein)

      2,865          932,651  
       

 

 

  
                7,247,336  
       

 

 

  

Industrials – 7.9%

        

Commercial Services & Supplies – 2.1%

        

TOMRA Systems ASA

      41,606          734,073  
       

 

 

  

Construction & Engineering – 1.7%

        

WSP Global, Inc.

      5,520          607,886  
       

 

 

  

Machinery – 3.2%

        

Husqvarna AB - Class B

      54,503          302,131  

SMC Corp.

      2,000          813,941  
       

 

 

  
          1,116,072  
       

 

 

  

Professional Services – 0.9%

        

Recruit Holdings Co., Ltd.

      11,200          322,623  
       

 

 

  
          2,780,654  
       

 

 

  

Consumer Staples – 6.5%

        

Food Products – 6.5%

        

Danone SA

      13,380          632,677  

Kerry Group PLC - Class A

      8,000          713,058  

Nestle SA (REG)

      8,771          948,648  
       

 

 

  
          2,294,383  
       

 

 

  

Materials – 6.5%

        

Chemicals – 3.1%

        

Chr Hansen Holding A/S

      10,184          501,656  

Koninklijke DSM NV

      5,132          583,973  
       

 

 

  
          1,085,629  
       

 

 

  

Containers & Packaging – 3.4%

        

Huhtamaki Oyj

      18,925          601,869  

Smurfit Kappa Group PLC

      21,145          604,730  
       

 

 

  
          1,206,599  
       

 

 

  
          2,292,228  
       

 

 

  

Energy – 2.1%

        

Oil, Gas & Consumable Fuels – 2.1%

        

Neste Oyj

      17,053          743,332  
       

 

 

  

 

2

Company    Shares        U.S. $ Value  

Utilities – 2.1%

        

Electric Utilities – 2.1%

        

Orsted AS(b)

      9,295        $ 740,818  
       

 

 

  

Consumer Discretionary – 1.5%

        

Auto Components – 1.5%

        

Autoliv, Inc.

      7,879          524,978  
       

 

 

  

Communication Services – 1.1%

        

Diversified Telecommunication Services – 1.1%

        

Cellnex Telecom SA(b)

      12,172          375,464  
       

 

 

  

Total Common Stocks
(cost $35,359,631)

           32,992,823  
       

 

 

  

SHORT-TERM INVESTMENTS – 8.8%

        

Investment Companies – 8.8%

        

AB Fixed Income Shares, Inc. - Government Money Market Portfolio - Class AB, 2.58%(d) (e) (f)
(cost $3,113,568)

      3,113,568          3,113,568  
       

 

 

  

Total Investments Before Security Lending Collateral for Securities Loaned – 102.3%
(cost $38,473,199)

           36,106,391  
       

 

 

  

INVESTMENTS OF CASH COLLATERAL FOR SECURITIES LOANED – 1.6%

        

Investment Companies – 1.6%

        

AB Fixed Income Shares, Inc. - Government Money Market Portfolio - Class AB, 2.58%(d) (e) (f)
(cost $568,620)

      568,620          568,620  
       

 

 

  

Total Investments – 103.9%
(cost $39,041,819)(g)

           36,675,011  

Other assets less liabilities – (3.9)%

           (1,384,963 ) 
       

 

 

  

Net Assets – 100.0%

         $     35,290,048  
       

 

 

  

FORWARD CURRENCY EXCHANGE CONTRACTS

 

Counterparty   

Contracts to

Deliver

(000)

       

In Exchange

For

(000)

       

Settlement

Date

       

Unrealized

Appreciation/

(Depreciation)

  
Bank of America, NA      USD        106          CNH        735          10/20/2022        $ (2,965 ) 
Bank of America, NA      TWD        11,632          USD        387          10/21/2022          21,881  
Bank of America, NA      KRW        262,781          USD        191          10/27/2022          8,074  
Bank of America, NA      USD        82          KRW        107,551          10/27/2022          (7,294 ) 
Bank of America, NA      EUR        4,470          USD        4,318          12/08/2022          (83,100 ) 
BNP Paribas SA      CNH        2,694          USD        391          10/20/2022          13,444  
BNP Paribas SA      USD        317          CNH        2,162          10/20/2022          (13,655 ) 
Citibank, NA      USD        3,449          CNH        23,258          10/20/2022              (190,999 ) 
Citibank, NA      USD        2,518          CAD        3,247          10/27/2022          (167,370 ) 
Citibank, NA      USD        1,274          KRW            1,672,187          10/27/2022          (112,699 ) 
Goldman Sachs Bank USA      USD        388          CNH        2,617          10/20/2022          (21,529 ) 
Goldman Sachs Bank USA      TWD        2,084          USD        70          10/21/2022          4,564  
Goldman Sachs Bank USA      INR        25,386          USD        312          12/21/2022          3,085  

 

3

Counterparty   

Contracts to

Deliver

(000)

       

In Exchange

For

(000)

       

Settlement

Date

       

Unrealized

Appreciation/

(Depreciation)

  
JPMorgan Chase Bank      BRL        3,185          USD        593          10/04/2022        $ 3,009  
JPMorgan Chase Bank      USD        589          BRL        3,185          10/04/2022          1,338  
JPMorgan Chase Bank      USD        589          BRL        3,185          11/03/2022          (3,111 ) 
Morgan Stanley Capital Services, Inc.      BRL        3,494          USD        646          10/04/2022          (1,468 ) 
Morgan Stanley Capital Services, Inc.      USD        690          BRL        3,494          10/04/2022          (41,818 ) 
Morgan Stanley Capital Services, Inc.      CNH        1,156          USD        163          10/20/2022          1,018  
Morgan Stanley Capital Services, Inc.      KRW        108,092          USD        78          10/27/2022          2,590  
Morgan Stanley Capital Services, Inc.      USD        663          GBP        557          11/17/2022          (40,195 ) 
Standard Chartered Bank      BRL        309          USD        59          10/04/2022          2,109  
Standard Chartered Bank      USD        57          BRL        309          10/04/2022          130  
Standard Chartered Bank      USD        704          TWD        20,935          10/21/2022          (46,420 ) 
State Street Bank & Trust Co.      USD        362          ZAR        5,981          10/13/2022          (32,315 ) 
State Street Bank & Trust Co.      USD        175          ILS        602          10/19/2022          (6,385 ) 
State Street Bank & Trust Co.      AUD        365          USD        244          10/20/2022          10,111  
State Street Bank & Trust Co.      CNH        1,514          USD        216          10/20/2022          3,477  
State Street Bank & Trust Co.      USD        202          AUD        290          10/20/2022          (16,970 ) 
State Street Bank & Trust Co.      CAD        693          USD        524          10/27/2022          21,924  
State Street Bank & Trust Co.      USD        385          CAD        497          10/27/2022          (24,908 ) 
State Street Bank & Trust Co.      GBP        294          USD        337          11/17/2022          8,514  
State Street Bank & Trust Co.      USD        201          MXN        4,137          11/18/2022          2,503  
State Street Bank & Trust Co.      NOK        4,409          USD        428          12/01/2022          22,495  
State Street Bank & Trust Co.      SEK        3,091          USD        284          12/01/2022          4,473  
State Street Bank & Trust Co.      JPY        87,356          USD        613          12/02/2022          5,741  
State Street Bank & Trust Co.      USD        303          JPY        43,235          12/02/2022          (2,554 ) 
State Street Bank & Trust Co.      CHF        176          USD        183          12/07/2022          3,613  
State Street Bank & Trust Co.      USD        374          CHF        362          12/07/2022          (4,450 ) 
State Street Bank & Trust Co.      USD        273          SGD        384          12/07/2022          (5,923 ) 
State Street Bank & Trust Co.      USD        152          EUR        154          12/08/2022          30  
UBS AG      USD        1,880          AUD        2,721          10/20/2022          (138,954 ) 
UBS AG      USD        86          KRW        113,354          10/27/2022          (7,434 ) 
UBS AG      USD        3,760          JPY            532,194          12/02/2022          (60,282 ) 
UBS AG      CHF        1,935          USD        1,979          12/07/2022          6,047  
                       

 

 

  
                        $     (882,628 ) 
                       

 

 

  

 

(a)

Non-income producing security.

(b)

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 September 30, 2022, the aggregate market value of these securities amounted to $1,518,145 or 4.3% of net assets.

(c)

Represents entire or partial securities out on loan.

(d)

Affiliated investments.

(e)

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

 

4

(f)

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.

(g)

As of September 30, 2022, the cost basis of investment securities owned was substantially identical for both book and tax purposes. Gross unrealized appreciation of investments was $4,189,283 and gross unrealized depreciation of investments was $(7,438,719), resulting in net unrealized depreciation of $(3,249,436).

 

    

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

BRL – Brazilian Real

CAD – Canadian Dollar

CHF – Swiss Franc

CNH – Chinese Yuan Renminbi (Offshore)

EUR – Euro

GBP – Great British Pound

ILS – Israeli Shekel

INR – Indian Rupee

JPY – Japanese Yen

KRW – South Korean Won

MXN – Mexican Peso

NOK – Norwegian Krone

SEK – Swedish Krona

SGD – Singapore Dollar

TWD – New Taiwan Dollar

USD – United States Dollar

ZAR – South African Rand

Glossary:

REG – Registered Shares

COUNTRY BREAKDOWN1

September 30, 2022 (unaudited)

 

  13.2 %       United States
  11.7 %       Switzerland
  8.4 %       France
  7.5 %       United Kingdom
  5.5 %       Netherlands
  5.4 %       India
  4.8 %       Ireland
  4.7 %       Sweden
  4.7 %       Germany
  4.3 %       Japan
  3.7 %       Finland
  3.5 %       Denmark
  3.2 %       Taiwan
  10.8 %       Other
  8.6 %       Short-Term Investments

 

 

       
  100.0 %       Total Investments

 

 

       

 

1

All data are as of September 30, 2022. The Portfolio’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 2.3% or less in the following: Austria, Canada, Hong Kong, Indonesia, Norway and Spain.

 

5

AB Variable Products Series Fund, Inc.

AB Sustainable International Thematic Portfolio    

September 30, 2022 (unaudited)

In accordance with U.S. GAAP regarding fair value measurements, fair value is defined as the price that the Portfolio 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 Portfolio. Unobservable inputs reflect the Portfolio’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 Portfolio’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 is 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, 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 Portfolio’s investments by the above fair value hierarchy levels as of September 30, 2022:

 

Investments in Securities:

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

Information Technology

    $     2,122,517      $     6,050,610      $                 —      $     8,173,127  

Financials

      834,851        6,985,652        —        7,820,503  

Health Care

      2,216,608        5,030,728        —        7,247,336  

 

6

Investments in Securities:

    Level 1      Level 2     Level 3      Total  

Industrials

    $ 607,886      $ 2,172,768     $ —      $ 2,780,654  

Consumer Staples

      —        2,294,383       —        2,294,383  

Materials

      —        2,292,228       —        2,292,228  

Energy

      —        743,332       —        743,332  

Utilities

      —        740,818       —        740,818  

Consumer Discretionary

      524,978        —       —        524,978  

Communication Services

      —        375,464       —        375,464  
Short-Term Investments      3,113,568        —       —        3,113,568  
Investments of Cash Collateral for Securities Loaned in Affiliated Money Market Fund      568,620        —       —        568,620  
  

 

 

     

 

 

    

 

 

     

 

 

  
Total Investments in Securities      9,989,028        26,685,983 (a)      —        36,675,011  
Other Financial Instruments(b):           
Assets:           
Forward Currency Exchange Contracts      —        150,170       —        150,170  
Liabilities:           
Forward Currency Exchange Contracts      —        (1,032,798 )      —        (1,032,798 ) 
  

 

 

     

 

 

    

 

 

     

 

 

  
Total    $     9,989,028      $     25,803,355     $                 —      $     35,792,383  
  

 

 

     

 

 

    

 

 

     

 

 

  

 

(a) 

A significant portion of the Portfolio’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.

(b) 

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 September 30, 2022 is as follows:

 

Portfolio   

Market Value

12/30/2021

(000)

     

Purchases

at Cost

(000)

     

Sales

Proceeds

(000)

     

Market Value

09/30/2022

(000)

     

Dividend

Income

(000)

  
Government Money Market Portfolio    $     2,635      $ 9,549      $ 9,070      $ 3,114      $ 17  
Government Money Market Portfolio*      1,024        5,492        5,947        569        2  
Total    $ 3,659      $     15,041      $     15,017      $     3,683      $     19  

 

*

Investments of cash collateral for securities lending transactions.

 

7