UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM N-Q
QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF
REGISTERED MANAGEMENT
INVESTMENT COMPANIES
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Investment Company Act file number |
811-06312 |
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The Lazard Funds, Inc. |
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(Exact name of Registrant as specified in charter) |
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30 Rockefeller Plaza |
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New York, New York 10112 |
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(Address of principal executive offices) (Zip code) |
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Nathan A. Paul, Esq. |
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Lazard Asset Management LLC |
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30 Rockefeller Plaza |
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New York, New York 10112 |
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(Name and address of agent for service) |
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Registrant’s telephone number, including area code: |
(212) 632-6000 |
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Date of fiscal year end: |
12/31 |
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Date of reporting period: |
8/31/2011 |
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Item 1. |
Schedule of Investments. |
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Grubb & Ellis AGA Realty Income Fund |
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Schedule of Investments |
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August 31, 2011 (Unaudited) |
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Shares |
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Value |
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REAL ESTATE INVESTMENT TRUSTS - 48.43% |
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Agree Realty Corp. |
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4,000 |
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89,400 |
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Apollo Commercial Real Estate Finance Inc. |
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26,700 |
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401,301 |
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CapLease, Inc. |
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70,000 |
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279,300 |
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Cogdell Spencer, Inc. |
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110,660 |
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472,518 |
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Colony Financial, Inc. |
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25,400 |
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391,922 |
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CommonWealth REIT |
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20,090 |
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413,050 |
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Dynex Capital, Inc. |
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43,600 |
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400,248 |
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Entertainment Properties Trust |
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1,000 |
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42,130 |
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Hersha Hospitality Trust |
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66,000 |
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244,860 |
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Hospitality Properties Trust |
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1,850 |
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43,438 |
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LTC Properties, Inc. |
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9,300 |
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251,007 |
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Medical Properties Trust, Inc. |
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37,100 |
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396,599 |
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Starwood Property Trust, Inc. |
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21,690 |
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401,265 |
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Whitestone REIT |
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24,000 |
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276,480 |
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TOTAL REAL ESTATE INVESTMENT TRUSTS (Cost $4,644,474) |
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4,103,518 |
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PREFERRED STOCKS - 41.57% |
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Real Estate - 41.57% |
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Ashford Hospitality Trust, Inc. Series A, 8.550% |
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15,345 |
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383,011 |
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Ashford Hospitality Trust, Inc. Series D, 8.450% |
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17,210 |
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419,064 |
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CapLease, Inc. Series A, 8.125% |
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3,100 |
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75,144 |
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CBL & Associates Properties, Inc. Series C, 7.750% |
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2,000 |
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48,640 |
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Cedar Shopping Centers, Inc. Series A, 8.875% |
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16,730 |
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385,961 |
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Cogdell Spencer, Inc. Series A, 8.5000% |
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11,700 |
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288,873 |
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DDR Corp. Series I, 7.5000% (a) |
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2,000 |
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48,200 |
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Glimcher Realty Trust Series F, 8.750% |
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8,860 |
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223,892 |
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Glimcher Realty Trust Series G, 8.125% |
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7,260 |
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177,217 |
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Hersha Hospitality Trust Series A, 8.000% |
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16,940 |
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403,341 |
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Kite Realty Group Trust Series A, 8.2500% |
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2,000 |
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48,300 |
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NorthStar Realty Finance Corp. Series A, 8.7500% |
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18,000 |
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393,300 |
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Parkway Properties, Inc. Series D, 8.000% |
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100 |
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2,439 |
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Sunstone Hotel Investors, Inc. Series A, 8.000% |
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26,695 |
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634,006 |
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TOTAL PREFERRED STOCKS (Cost $3,477,690) |
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3,531,388 |
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COMMON STOCKS - 4.36% |
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Real Estate - 4.36% |
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CBRE Group, Inc. (a) |
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12,000 |
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181,920 |
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Starwood Hotels & Resorts Worldwide, Inc. |
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4,200 |
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187,152 |
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TOTAL COMMON STOCKS (Cost $374,870) |
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369,072 |
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PURCHASED OPTIONS - 1.17% |
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iShares Dow Jones US Real Estate Index Fund |
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180 |
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99,450 |
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Expiration: March, 2012, Exercise Price: $55.00 |
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TOTAL PURCHASED OPTIONS (Cost $76,680) |
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99,450 |
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MONEY MARKET FUNDS - 1.30% |
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Fidelity Institutional Money Market Portfolio |
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109,771 |
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109,771 |
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TOTAL MONEY MARKET FUNDS (Cost $109,771) |
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109,771 |
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Total Investments (Cost $8,683,485) - 96.83% |
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8,213,199 |
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Other Assets in Excess of Liabilities - 3.17% |
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259,234 |
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TOTAL NET ASSETS - 100.00% |
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$ |
8,472,433 |
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Percentages are stated as a percent of net assets. |
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(a) |
Non-income producing security. |
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Grubb & Ellis AGA Realty Income Fund |
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Schedule of Investments (continued) |
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August 31, 2011 (Unaudited) |
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The cost basis of investments for federal income tax purposes at August 31, 2011 was as follows*:
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Cost of investments |
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$ |
8,683,485 |
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Gross unrealized appreciation |
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187,953 |
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Gross unrealized depreciation |
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(658,239 |
) |
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Net unrealized depreciation |
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$ |
(470,286 |
) |
*Because tax adjustments are calculated annually, the above table does not reflect tax adjustments. For the previous fiscal year’s federal income tax information, please refer to the Notes to Financial Statements section of the Fund’s most recent semi-annual or annual report.
Summary of Fair Value Exposure at August 31, 2011
Various inputs are used in determining the value of the Fund’s investments. These inputs are summarized in the three broad levels listed below:
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Level 1 - Quoted prices in active markets for identical securities. |
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Level 2 - Other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.) |
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Level 3 - Significant unobservable inputs (including the Fund’s own 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 inputs used, as of August 31, 2011, in valuing the Fund’s investments carried at fair value:
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Level 1 |
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Level 2 |
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Level 3 |
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Total |
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Equity: |
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Real Estate Investment Trusts |
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$ |
4,103,518 |
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$ |
- |
|
$ |
- |
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$ |
4,103,518 |
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Preferred Stocks |
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3,531,388 |
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- |
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- |
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3,531,388 |
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Common Stocks |
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369,072 |
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- |
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- |
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369,072 |
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Total Equity |
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8,003,978 |
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- |
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- |
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8,003,978 |
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Options: |
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Purchased Options |
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99,450 |
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- |
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- |
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99,450 |
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Total Options |
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Short-Term Investments |
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109,771 |
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- |
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- |
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109,771 |
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Total Investments in Securities |
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$ |
8,213,199 |
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$ |
- |
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$ |
- |
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$ |
8,213,199 |
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There were no transfers into and out of Level 1 and 2 during the period ending August 31, 2011. The Fund held no Level 3 securities during the reporting period.
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Grubb & Ellis AGA Realty Income Fund |
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Schedule of Investments (concluded) |
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August 31, 2011 (Unaudited) |
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Disclosures about Derivative Instruments and Hedging Activities
The fair value of derivative instruments as reported within this Schedule of Investments as of August 31, 2011 was as follows:
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Derivatives not accounted for |
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Value |
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Purchased Options |
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$ |
99,450 |
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Total |
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$ |
99,450 |
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The Effect of Derivative Instruments on income for the period June 1, 2011 through August 31, 2011 was as follows:
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Amount of Realized Gain or (Loss) on Derivatives |
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Derivatives not accounted for |
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Period June 1, |
|
|
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as hedging instruments |
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2011 through |
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August 31, 2011 |
|
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Purchased Options |
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$ |
- |
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|
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|||
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Total |
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$ |
- |
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||||
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Change in Unrealized Appreciation or (Depreciation)
on Derivatives |
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Derivatives not accounted for |
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Period June 1, |
|
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as hedging instruments |
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2011 through |
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August 31, 2011 |
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Purchased Options |
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$ |
22,770 |
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Total |
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$ |
22,770 |
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Grubb & Ellis AGA U.S. Realty Fund |
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Schedule of Investments |
|
August 31, 2011 (Unaudited) |
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Shares |
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Value |
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REAL ESTATE INVESTMENT TRUSTS - 85.08% |
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Apartment Investment & Management Co. |
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4,790 |
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$ |
127,270 |
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Ashford Hospitality Trust, Inc. |
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|
2,460 |
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|
19,926 |
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AvalonBay Communities, Inc. |
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|
640 |
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|
87,283 |
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Cambden Property Trust |
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|
990 |
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|
66,152 |
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CapLease, Inc. |
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5,990 |
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|
23,900 |
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Cogdell Spencer, Inc. |
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|
18,620 |
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|
79,507 |
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Colony Financial, Inc. |
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2,660 |
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|
41,044 |
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Developers Diversified Realty Corp. |
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7,550 |
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|
93,545 |
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Digital Realty Trust, Inc. |
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|
770 |
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|
46,008 |
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Douglas Emmett, Inc. |
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4,100 |
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|
73,964 |
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DuPont Fabros Technology, Inc. |
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|
2,010 |
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|
46,532 |
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Equity Residential |
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|
2,130 |
|
|
130,314 |
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Essex Property Trust, Inc. |
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|
740 |
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|
106,227 |
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First Industrial Realty Trust, Inc. (a) |
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7,090 |
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|
66,930 |
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General Growth Properties, Inc. |
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|
12,471 |
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|
170,103 |
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Glimcher Realty Trust |
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|
6,540 |
|
|
55,655 |
|
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Hersha Hospitality Trust |
|
|
25,520 |
|
|
94,679 |
|
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MPG Office Trust, Inc. (a) |
|
|
21,250 |
|
|
59,075 |
|
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Prologis, Inc. |
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|
3,590 |
|
|
97,756 |
|
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PS Business Parks, Inc. |
|
|
540 |
|
|
29,522 |
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Public Storage |
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|
1,410 |
|
|
174,459 |
|
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Simon Property Group, Inc. |
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|
2,623 |
|
|
308,202 |
|
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SL Green Realty Corp. |
|
|
480 |
|
|
34,675 |
|
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Sunstone Hotel Investors, Inc. (a) |
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|
12,530 |
|
|
75,681 |
|
|
U-Store-It Trust |
|
|
6,890 |
|
|
73,999 |
|
|
Ventas, Inc. |
|
|
1,320 |
|
|
70,594 |
|
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Vornado Realty Trust |
|
|
2,005 |
|
|
172,249 |
|
|
|
|
|
|
|
|||
|
TOTAL REAL ESTATE INVESTMENT TRUSTS (Cost $2,368,039) |
|
|
|
|
|
2,425,251 |
|
|
|
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|
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|
|||
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|
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|
|
|
|
|
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COMMON STOCKS - 12.80% |
|
|
|
|
|
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Real Estate - 12.80% |
|
|
|
|
|
|
|
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CBRE Group, Inc. (a) |
|
|
6,870 |
|
|
104,150 |
|
|
Forestar Group, Inc. (a) |
|
|
2,260 |
|
|
28,453 |
|
|
Jones Lang LaSalle, Inc. |
|
|
520 |
|
|
34,793 |
|
|
Mariott International, Inc. |
|
|
3,060 |
|
|
89,597 |
|
|
Starwood Hotels & Resorts Worldwide, Inc. |
|
|
2,420 |
|
|
107,835 |
|
|
|
|
|
|
|
|||
|
TOTAL COMMON STOCKS (Cost $437,054) |
|
|
|
|
|
364,828 |
|
|
|
|
|
|
|
|||
|
|
|
|
|
|
|
|
|
|
PURCHASED OPTIONS - 1.14% |
|
|
|
|
|
|
|
|
iShares Dow Jones US Real Estate Index Fund |
|
|
40 |
|
|
22,800 |
|
|
Expiration: January, 2012, Exercise Price: 54.00 |
|
|
|
|
|
|
|
|
iShares Dow Jones US Real Estate Index Fund |
|
|
20 |
|
|
9,620 |
|
|
Expiration: January, 2012, Exercise Price: 55.00 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
|
TOTAL PURCHASED OPTIONS (Cost $24,260) |
|
|
|
|
|
32,420 |
|
|
|
|
|
|
|
|||
|
|
|||||||
|
|
|||||||
|
|
|
Principal |
|
Value |
|
||
|
SHORT-TERM INVESTMENTS - 0.57% |
|
|
|
|
|
|
|
|
Money Market Fund - 0.57% |
|
|
|
|
|
|
|
|
Fidelity Institutional Money Market Portfolio |
|
$ |
16,113 |
|
$ |
16,113 |
|
|
|
|
|
|
|
|||
|
TOTAL SHORT-TERM INVESTMENTS (Cost $16,113) |
|
|
|
|
|
16,113 |
|
|
|
|
|
|
|
|||
|
|
|
|
|
|
|
|
|
|
Total Investments (Cost $2,845,466) - 99.59% |
|
|
|
|
|
2,838,612 |
|
|
Other Assets in Excess of Liabilities - 0.41% |
|
|
|
|
|
11,783 |
|
|
|
|
|
|
|
|||
|
TOTAL NET ASSETS - 100.00% |
|
|
|
|
$ |
2,850,395 |
|
|
|
|
|
|
|
|||
Percentages are stated as a percent of net assets.
(a) Non-income producing security.
|
|
|
Grubb & Ellis AGA U.S. Realty Fund |
|
Schedule of Investments (continued) |
|
August 31, 2011 (Unaudited) |
|
|
The cost basis of investments for federal income tax purposes at August 31, 2011 was as follows*:
|
|
|
|
|
|
|
|
|
Cost of investments |
|
$ |
2,845,466 |
|
|
|
Gross unrealized appreciation |
|
|
230,616 |
|
|
|
Gross unrealized depreciation |
|
|
(237,470 |
) |
|
|
|
|
|||
|
|
Net unrealized depreciation |
|
$ |
(6,854 |
) |
*Because tax adjustments are calculated annually, the above table does not reflect tax adjustments.
For the previous fiscal year’s federal income tax information, please refer to the Notes to Financial Statements section of the Fund’s most recent semi-annual or annual report.
Summary of Fair Value Exposure at August 31, 2011
Various inputs are used in determining the value of the Fund’s investments. 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 risk, etc.) |
|
|
Level 3 - Significant unobservable inputs (including the Fund’s own 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 inputs used, as of August 31, 2011, in valuing the Fund’s investments carried at fair value:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Level 1 |
|
Level 2 |
|
Level 3 |
|
Total |
|
||||
|
|
|
||||||||||||
|
Equity |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Real Estate Investment Trusts |
|
$ |
2,425,251 |
|
$ |
- |
|
$ |
- |
|
|
2,425,251 |
|
|
Common Stocks |
|
|
364,828 |
|
|
- |
|
|
- |
|
|
364,828 |
|
|
|
|
||||||||||||
|
Total Equity |
|
|
2,790,079 |
|
|
- |
|
|
- |
|
|
2,790,079 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Options |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Purchased Options |
|
|
32,420 |
|
|
- |
|
|
- |
|
|
32,420 |
|
|
|
|
||||||||||||
|
Total Options |
|
|
32,420 |
|
|
- |
|
|
- |
|
|
32,420 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Short-Term Investments |
|
|
16,113 |
|
|
- |
|
|
- |
|
|
116,363 |
|
|
|
|
||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Investments in Securities |
|
$ |
2,838,612 |
|
$ |
- |
|
$ |
- |
|
$ |
2,838,612 |
|
|
|
|
||||||||||||
There were no transfers into and out of Level 1 and 2 during the period ending August 31, 2011.
The Fund held no Level 3 securities during the reporting period.
|
|
|
Grubb & Ellis AGA U.S. Realty Fund |
|
Schedule of Investments (concluded) |
|
August 31, 2011 (Unaudited) |
|
|
Disclosures about Derivative Instruments and Hedging Activities
The fair value of derivative instruments as reported within this Schedule of Investments as of August 31, 2011 was as follows:
|
|
|
|
|
|
|
Derivatives not accounted for |
|
|
|
|
|
as hedging instruments |
|
|
|
|
|
|
|
Value |
|
|
|
Purchased Options |
|
$ |
32,420 |
|
|
|
|
|||
|
Total |
|
$ |
32,420 |
|
|
|
|
|||
|
|
|
|
|
|
|
The Effect of Derivative Instruments on income for the period June 1, 2011 through August 31, 2011 was as follows: |
||||
|
|
|
|
|
|
|
Amount of Realized Gain or (Loss) on Derivatives |
|
|
|
|
|
Recognized in Income |
|
|
|
|
|
Derivatives not accounted for |
|
Period June 1, |
|
|
|
Purchased Options |
|
$ |
22,955 |
|
|
|
|
|||
|
Total |
|
$ |
22,955 |
|
|
|
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
Change in Unrealized Appreciation or (Depreciation) on Derivatives |
|
|
|
|
|
Recognized in Income |
|
|
|
|
|
Derivatives not accounted for |
|
Period June 1, |
|
|
|
Purchased Options |
|
$ |
40,999 |
|
|
|
|
|||
|
Total |
|
$ |
40,999 |
|
|
|
|
|||
|
|
|
|
|
|
|
|
|
Grubb & Ellis AGA International Realty Fund |
|
Schedule of Investments |
|
August 31, 2011 (Unaudited) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Shares |
|
Value |
|
||
|
|
|
|
|
|
|
|
|
|
COMMON STOCKS - 79.03% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Australia - 2.27% |
|
|
|
|
|
|
|
|
Lend Lease Group |
|
|
3,700 |
|
$ |
33,363 |
|
|
|
|
|
|
|
|||
|
|
|
|
|
|
|
|
|
|
Brazil - 7.71% |
|
|
|
|
|
|
|
|
Aliansce Shopping Centers SA |
|
|
3,900 |
|
|
30,746 |
|
|
BR Properties SA |
|
|
1,400 |
|
|
15,364 |
|
|
Cyrela Commercial Properties SA |
|
|
1,000 |
|
|
10,158 |
|
|
Gafisa SA |
|
|
5,800 |
|
|
27,107 |
|
|
Multiplan Empreendimentos Imobiliarios SA |
|
|
700 |
|
|
14,573 |
|
|
PDG Realty SA Empreendimentos e Participacoes |
|
|
3,200 |
|
|
15,559 |
|
|
|
|
|
|
|
|||
|
|
|
|
|
|
|
113,507 |
|
|
|
|
|
|
|
|||
|
Canada - 4.27% |
|
|
|
|
|
|
|
|
Brookfield Office Properties, Inc. |
|
|
2,100 |
|
|
35,361 |
|
|
Genesis Land Development Corp. (a) |
|
|
4,200 |
|
|
13,081 |
|
|
Melcor Developments Ltd. |
|
|
1,050 |
|
|
14,442 |
|
|
|
|
|
|
|
|||
|
|
|
|
|
|
|
62,884 |
|
|
|
|
|
|
|
|||
|
China - 5.45% |
|
|
|
|
|
|
|
|
Renhe Commercial Holdings Co. Ltd. |
|
|
172,000 |
|
|
33,934 |
|
|
Shimao Property Holdings Ltd. |
|
|
15,500 |
|
|
16,359 |
|
|
Shui On Land Ltd |
|
|
78,000 |
|
|
29,947 |
|
|
|
|
|
|
|
|||
|
|
|
|
|
|
|
80,240 |
|
|
|
|
|
|
|
|||
|
Guernsey - 1.69% |
|
|
|
|
|
|
|
|
Raven Russia Ltd. |
|
|
26,301 |
|
|
24,940 |
|
|
|
|
|
|
|
|||
|
|
|
|
|
|
|
|
|
|
Hong Kong - 20.13% |
|
|
|
|
|
|
|
|
Cheung Kong Holdings Ltd. |
|
|
5,000 |
|
|
70,470 |
|
|
Great Eagle Holdings Ltd. |
|
|
13,373 |
|
|
39,457 |
|
|
Hang Lung Properties Ltd. |
|
|
4,000 |
|
|
14,879 |
|
|
Shun Tak Holdings Ltd. |
|
|
68,000 |
|
|
37,679 |
|
|
Soho China Limited |
|
|
25,000 |
|
|
22,160 |
|
|
Sun Hung Kai Properties Ltd. |
|
|
7,000 |
|
|
98,865 |
|
|
Wharf Holdings Ltd. |
|
|
2,000 |
|
|
12,778 |
|
|
|
|
|
|
|
|||
|
|
|
|
|
|
|
296,288 |
|
|
|
|
|
|
|
|||
|
Japan - 20.15% |
|
|
|
|
|
|
|
|
Daito Trust Construction Co. Ltd. |
|
|
400 |
|
|
37,088 |
|
|
Mitsubishi Estate Co. Ltd. |
|
|
7,000 |
|
|
115,577 |
|
|
Mitsui Fudosan Co. Ltd. |
|
|
6,000 |
|
|
101,514 |
|
|
Sumitomo Realty & Development Co. Ltd. |
|
|
2,000 |
|
|
42,449 |
|
|
|
|
|
|
|
|||
|
|
|
|
|
|
|
296,628 |
|
|
|
|
|
|
|
|||
|
Luxembourg - 2.82% |
|
|
|
|
|
|
|
|
Gagfah SA |
|
|
7,200 |
|
|
41,538 |
|
|
|
|
|
|
|
|||
|
|
|
|
|
|
|
|
|
|
Norway - 3.49% |
|
|
|
|
|
|
|
|
Norwegian Property ASA |
|
|
28,600 |
|
|
51,406 |
|
|
|
|
|
|
|
|||
|
|
|
Grubb & Ellis AGA International Realty Fund |
|
Schedule of Investments (continued) |
|
August 31, 2011 (Unaudited) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Shares |
|
Value |
|
||
|
Singapore - 7.57% |
|
|
|
|
|
|
|
|
CapitaLand Ltd. |
|
|
23,000 |
|
$ |
50,054 |
|
|
Singapore Land |
|
|
6,000 |
|
|
33,136 |
|
|
Wing Tai Holdings Ltd. |
|
|
25,000 |
|
|
28,271 |
|
|
|
|
|
|
|
|||
|
|
|
|
|
|
|
111,461 |
|
|
|
|
|
|
|
|||
|
United Kingdom - 0.87% |
|
|
|
|
|
|
|
|
Unite Group PLC |
|
|
4,400 |
|
|
12,733 |
|
|
|
|
|
|
|
|||
|
|
|
|
|
|
|
|
|
|
United States - 2.61% |
|
|
|
|
|
|
|
|
Mariott International, Inc. |
|
|
550 |
|
|
16,104 |
|
|
Starwood Hotels & Resorts Worldwide, Inc. |
|
|
500 |
|
|
22,280 |
|
|
|
|
|
|
|
|||
|
|
|
|
|
|
|
38,384 |
|
|
|
|
|
|
|
|||
|
TOTAL COMMON STOCKS (Cost $1,209,890) |
|
|
|
|
|
1,163,372 |
|
|
|
|
|
|
|
|||
|
|
|
|
|
|
|
|
|
|
REAL ESTATE INVESTMENT TRUSTS- 19.27% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Australia - 6.02% |
|
|
|
|
|
|
|
|
Dexus Property Group |
|
|
27,000 |
|
|
24,851 |
|
|
Westfield Group |
|
|
4,800 |
|
|
41,904 |
|
|
Westfield Retail Trust |
|
|
7,700 |
|
|
21,655 |
|
|
|
|
|
|
|
|||
|
|
|
|
|
|
|
88,410 |
|
|
|
|
|
|
|
|||
|
Canada - 1.04% |
|
|
|
|
|
|
|
|
Boardwalk Real Estate Investment Trust |
|
|
300 |
|
|
15,354 |
|
|
|
|
|
|
|
|||
|
|
|
|
|
|
|
|
|
|
France - 3.88% |
|
|
|
|
|
|
|
|
Unibail-Rodamco SE (a) |
|
|
265 |
|
|
57,106 |
|
|
|
|
|
|
|
|||
|
|
|
|
|
|
|
|
|
|
Great Britain - 1.72% |
|
|
|
|
|
|
|
|
British Land Co., PLC |
|
|
2,900 |
|
|
25,325 |
|
|
|
|
|
|
|
|||
|
|
|
|
|
|
|
|
|
|
Japan - 2.64% |
|
|
|
|
|
|
|
|
Japan Hotel And Resort, Inc. |
|
|
17 |
|
|
38,901 |
|
|
|
|
|
|
|
|||
|
|
|
|
|
|
|
|
|
|
Netherlands - 1.10% |
|
|
|
|
|
|
|
|
Eurocommercial Properties NV |
|
|
360 |
|
|
16,264 |
|
|
|
|
|
|
|
|||
|
|
|
|
|
|
|
|
|
|
Singapore - 2.87% |
|
|
|
|
|
|
|
|
CDL Hospitality Trusts |
|
|
28,000 |
|
|
42,219 |
|
|
|
|
|
|
|
|||
|
|
|
|
|
|
|
|
|
|
TOTAL REAL ESTATE INVESTMENT TRUSTS (Cost $252,335) |
|
|
|
|
|
283,579 |
|
|
|
|
|
|
|
|||
|
|
|
|
|
|
|
|
|
|
Total Investments (Cost $1,462,225) - 98.30% |
|
|
|
|
|
1,446,951 |
|
|
Other Assets in Excess of Liabilities - 1.70% |
|
|
|
|
|
24,985 |
|
|
|
|
|
|
|
|||
|
TOTAL NET ASSETS - 100.00% |
|
|
|
|
$ |
1,471,936 |
|
|
|
|
|
|
|
|||
|
|
|
|
Percentages are stated as a percent of net assets. |
|
|
|
|
|
(a) |
Non-income producing security. |
|
|
|
|
Abbreviations: |
|
|
ASA – Allmennakskeselskap is a Norwegian term which signifies that the company is listed on the stock-exchange. |
|
|
NV – Naamloze Vennootschap is the Dutch term for a public limited liability company. |
|
|
PLC – Public Limited Company. |
|
|
SA – Generally designates corporations in various countries, mostly those employing the civil law. |
|
|
SE – Generally designates a European public company. |
|
|
Ltd – Limited Liability Company. |
|
|
|
|
Grubb & Ellis AGA International Realty Fund |
|
Schedule of Investments (concluded) |
|
August 31, 2011 (Unaudited) |
|
|
The cost basis of investments for federal income tax purposes at August 31, 2011 was as follows*:
|
|
|
|
|
|
|
Cost of investments |
|
$ |
1,462,225 |
|
|
Gross unrealized appreciation |
|
|
94,066 |
|
|
Gross unrealized depreciation |
|
|
(109,340 |
) |
|
|
|
|||
|
Net unrealized depreciation |
|
$ |
(15,274 |
) |
*Because tax adjustments are calculated annually, the above table does not reflect tax adjustments. For the previous fiscal year’s federal income tax information, please refer to the Notes to Financial Statements section of the Fund’s most recent semi-annual or annual report.
Summary of Fair Value Exposure at August 31, 2011
Various inputs are used in determining the value of the Fund’s investments. 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 risk, etc.) |
|
|
Level 3 - Significant unobservable inputs (including the Fund’s own 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 inputs used, as of August 31, 2011, in valuing the Fund’s investments carried at fair value:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Level 1 |
|
Level 2 |
|
Level 3 |
|
Total |
|
||||
|
|
|
||||||||||||
|
Investments in: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Common Stock |
|
$ |
214,775 |
|
$ |
948,597 |
|
$ |
- |
|
$ |
1,163,372 |
|
|
Real Estate Investment Trusts |
|
|
31,618 |
|
|
251,961 |
|
|
- |
|
|
283,579 |
|
|
|
|
||||||||||||
|
Total |
|
$ |
246,393 |
|
$ |
1,200,558 |
|
$ |
- |
|
$ |
1,446,951 |
|
|
|
|
||||||||||||
The Fund held no Level 3 securities during the reporting period.
Disclosures about Derivative Instruments and Hedging Activities
The fund did not invest in derivative securities or engage in hedging activities during the period ended August 31, 2011.
|
|
|
|
Item 2. Controls and Procedures. |
|
(a) The Registrant’s principal executive and principal financial officers have concluded, based on their evaluation of the Registrant’s disclosure controls and procedures as of a date within 90 days of the filing date of this report, that the Registrant’s disclosure controls and procedures are reasonably designed to ensure that information required to be disclosed by the Registrant on Form N-Q is recorded, processed, summarized and reported within the required time periods and that information required to be disclosed by the Registrant in the reports that it files or submits on Form N-Q is accumulated and communicated to the Registrant’s management, including its principal executive and principal financial officers, as appropriate to allow timely decisions regarding required disclosure.
(b) There were no changes to the Registrant’s internal control over financial reporting that occurred during the Registrant’s most recent fiscal quarter of the period covered by this report that have materially affected, or are reasonably likely to materially affect, the Registrant’s internal control over financial reporting.
|
|
|
|
Item 3. Exhibits. |
|
Certifications of principal executive and principal financial officers as required by Rule 30a-2(a) under the Investment Company Act of 1940 are attached as Exhibit 99.CERT.
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.
The Lazard Funds, Inc.
|
|
|
|
|
By: |
/s/ Charles L. Carroll |
|
|
|
|
|
|
|
Charles L. Carroll |
|
|
|
Chief Executive Officer |
|
|
|
|
|
|
Date: |
October 31, 2011 |
|
|
|
|
|
|
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: |
/s/ Charles L. Carroll |
|
|
|
|
|
|
|
Charles L. Carroll |
|
|
|
Chief Executive Officer |
|
|
|
|
|
|
Date: |
October 31, 2011 |
|
|
|
|
|
|
By: |
/s/ Stephen St. Clair |
|
|
|
|
|
|
|
Stephen St. Clair |
|
|
|
Chief Financial Officer |
|
|
|
|
|
|
Date: |
October 31, 2011 |
|
|
|
|
|
[EX-99.CERT]
Exhibit
Rule 30a-2(a) CERTIFICATIONS
I, Charles L. Carroll, certify that:
1. I have reviewed this report on Form N-Q of The Lazard Funds, Inc.;
2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
3. Based on my knowledge, the schedules of investments included in this report fairly present in all material respects the investments of the Registrant as of the end of the fiscal quarter for which the report is filed;
4. The Registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940) and internal control over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940) for the Registrant and have:
|
|
|
|
|
(a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the Registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared; |
|
|
|
|
|
(b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles; |
|
|
|
|
|
(c) Evaluated the effectiveness of the Registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of a date within 90 days prior to the filing date of this report based on such evaluation; and |
|
|
|
|
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(d) Disclosed in this report any change in the Registrant’s internal control over financial reporting that occurred during the Registrant’s most recent fiscal quarter of the period covered by this report that has materially affected, or is reasonably likely to materially affect, the Registrant’s internal control over financial reporting; and |
5. The Registrant’s other certifying officer(s) and I have disclosed to the Registrant’s auditors and the audit committee of the Registrant’s board of directors (or persons performing the equivalent functions):
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(a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the Registrant’s ability to record, process, summarize, and report financial information; and |
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(b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the Registrant’s internal control over financial reporting. |
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By: |
/s/ Charles L. Carroll |
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Charles L. Carroll |
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Chief Executive Officer |
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Date: |
October 31, 2011 |
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Rule 30a-2(a) CERTIFICATIONS
I, Stephen St. Clair, certify that:
1. I have reviewed this report on Form N-Q of The Lazard Funds, Inc.;
2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
3. Based on my knowledge, the schedules of investments included in this report fairly present in all material respects the investments of the Registrant as of the end of the fiscal quarter for which the report is filed;
4. The Registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940) and internal control over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940) for the Registrant and have:
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(a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the Registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared; |
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(b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles; |
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(c) Evaluated the effectiveness of the Registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of a date within 90 days prior to the filing date of this report based on such evaluation; and |
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(d) Disclosed in this report any change in the Registrant’s internal control over financial reporting that occurred during the Registrant’s most recent fiscal quarter of the period covered by this report that has materially affected, or is reasonably likely to materially affect, the Registrant’s internal control over financial reporting; and |
5. The Registrant’s other certifying officer(s) and I have disclosed to the Registrant’s auditors and the audit committee of the Registrant’s board of directors (or persons performing the equivalent functions):
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(a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the Registrant’s ability to record, process, summarize, and report financial information; and |
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(b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the Registrant’s internal control over financial reporting. |
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By: |
/s/ Stephen St. Clair |
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Stephen St. Clair |
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Chief Financial Officer |
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Date: |
October 31, 2011 |
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