UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

FORM N-CSR

 

CERTIFIED SHAREHOLDER REPORT OF REGISTERED

MANAGEMENT INVESTMENT COMPANIES

 

Investment Company Act file number: 811-21583

 

Clough Global Dividend and Income Fund

(exact name of Registrant as specified in charter)

 

1290 Broadway, Suite 1000, Denver, Colorado 80203

(Address of principal executive offices) (Zip code)

 

Sareena Khwaja-Dixon, Secretary

Clough Global Dividend and Income Fund

1290 Broadway, Suite 1000

Denver, Colorado 80203

(Name and address of agent for service)

 

Registrant’s telephone number, including area code: 877-256-8445

 

Date of fiscal year end: October 31

 

Date of reporting period: November 1, 2020 – April 30, 2021

   

 

Item 1. Reports to Stockholders.

 

(a)

 

 

     

 

Section 19(b) Disclosure

April 30, 2021 (Unaudited)

 

Clough Global Dividend and Income Fund, Clough Global Equity Fund, and Clough Global Opportunities Fund (each a “Fund” and collectively, the “Funds”), acting pursuant to a Securities and Exchange Commission (“SEC”) exemptive order and with the approval of each Fund’s Board of Trustees (the “Board”), have adopted a plan, consistent with each Fund’s investment objectives and policies to support a level distribution of income, capital gains and/or return of capital (the “Plan”). In accordance with the Plan, through December 2019, each Fund paid monthly distributions in an annualized amount of not less than 10% of the respective Fund’s average monthly net asset value (“NAV”). Effective January 1, 2020, the Funds’ managed distribution policy was revised to set the monthly distribution rate at an amount equal to one twelfth of 10% of each Fund’s adjusted year-ending NAV, which is the average of the NAVs as of the last five business days of the prior calendar year. Until July 2021, each Fund will pay monthly distributions in an amount not less than the average distribution rate of a peer group of closed-end funds selected by the Board.

 

Under the Plan, each Fund will distribute all available investment income to its shareholders, consistent with each Fund’s primary investment objectives and as required by the Internal Revenue Code of 1986, as amended (the “Code”). If sufficient investment income is not available on a monthly basis, each Fund will distribute long-term capital gains and/or return of capital to shareholders in order to maintain a level distribution.

 

Each monthly distribution to shareholders is expected to be at the fixed amount established by the Board, except for extraordinary distributions and potential distribution rate increases to enable each Fund to comply with the distribution requirements imposed by the Code.

 

Shareholders should not draw any conclusions about each Fund’s investment performance from the amount of these distributions or from the terms of the Plan. Each Fund’s total return performance on net asset value is presented in its financial highlights table.

 

Until July 2021, each Board may amend, suspend or terminate each Fund’s Plan without prior notice if the Board determines in good faith that continuation would constitute a breach of fiduciary duty or would violate the Investment Company Act of 1940.

 

The suspension or termination of the Plan could have the effect of creating a trading discount (if a Fund’s stock is trading at or above net asset value) or widening an existing trading discount. Each Fund is subject to risks that could have an adverse impact on its ability to maintain level distributions. Examples of potential risks include, but are not limited to, economic downturns impacting the markets, increased market volatility, companies suspending or decreasing corporate dividend distributions and changes in the Code. Please refer to the Notes to Financial Statements in the Annual Report to Shareholders for a more complete description of its risks.

 

Please refer to Additional Information for a cumulative summary of the Section 19(a) notices for each Fund’s current fiscal period. Section 19(a) notices for each Fund, as applicable, are available on the Clough Global Closed-End Funds website www.cloughglobal.com.

     

 

Clough Global Funds Table of Contents

 

Shareholder Letter & Portfolio Allocation  
Clough Global Dividend and Income Fund 2
Clough Global Equity Fund 6
Clough Global Opportunities Fund 10
Statement of Investments  
Clough Global Dividend and Income Fund 14
Clough Global Equity Fund 19
Clough Global Opportunities Fund 23
Statements of Assets and Liabilities 27
Statements of Operations 28
Statements of Changes in Net Assets 29
Statements of Cash Flows 32
Financial Highlights  
Clough Global Dividend and Income Fund 34
Clough Global Equity Fund 36
Clough Global Opportunities Fund 38
Notes to Financial Statements 40
Dividend Reinvestment Plan 58
Additional Information  
Fund Proxy Voting Policies & Procedures 59
Portfolio Holdings 59
Notice 59
Section 19(A) Notices 59
Investment Advisory Agreement Approval 60

 

As permitted by regulations adopted by the U.S. Securities and Exchange Commission, paper copies of the Funds’ annual and semi-annual shareholder reports will no longer be sent by mail, unless you specifically request paper copies of the reports. Instead, the reports will be made available on the Funds’ website at www.cloughglobal.com, and you will be notified by mail each time a report is posted and provided with a website link to access the report.

 

Beginning on January 1, 2019, you may, notwithstanding the availability of shareholder reports online, elect to receive all future shareholder reports in paper free of charge. If you invest through a financial intermediary, you can contact your financial intermediary to request that you continue to receive paper copies of your shareholder reports. If you invest directly with a Fund, you can call 1-866-226-8017, from 8am to 5pm CT, to let the Fund know you wish to continue receiving paper copies of your shareholder reports.

 

If you already elected to receive shareholder reports electronically, you will not be affected by this change and you need not take any action. You may elect to receive shareholder reports and other communications from a Fund electronically anytime by contacting your financial intermediary (such as a broker-dealer or bank) or, if you are a direct investor, by calling 1-866-226-8017.

     

 

Clough Global Dividend and Income Fund Shareholder Letter
  April 30, 2021 (Unaudited)

 

To Our Investors,

 

For the semi-annual period ending April 30, 2021, the Clough Global Dividend and Income Fund (“GLV” or the “Fund”) had a total net return of 21.60% on net asset value (“NAV”) and 44.91% on market price, compared to 13.15% for the 50% Bloomberg Barclays US Aggregate Index/50% MSCI World Index and 17.34% for the Morningstar Global Allocation Index for the same period.

 

The Fund had strong performance for the first half of fiscal 2021 (November 1, 2020-April 30,2021). Financials and Information Technology were the largest contributing sectors while hedges and holdings in Fixed Income were the largest detractors.

 

Top 5 Contributors and Detractors for the Fund's first fiscal half of the year:

 

Taiwan Semiconductor Manufacturing Co Ltd. continues to be in a very strong position as the leading foundry for the global economy, and is where most of the leading-edge semiconductors will continue to be produced for the foreseeable future. Sany Heavy Industry Co Ltd., a heavy equipment maker in China, was also a top contributor as it is a structural share gainer versus global competitors like Caterpillar Inc. and is a direct beneficiary from fiscal stimulus in China. First American Financial Corp., a market leading title insurer, Bank of America Corp., and mortgage lender PennyMac Financial Services Inc. rounded out the top five positive contributors.

 

Options on the S&P 500 Index as well as long dated U.S. Treasuries were the top detractors from performance. Short positions in Deutsche Bank, Novocure Ltd., an oncology focused company and Cree Inc., a semiconductor producer, rounded out the bottom five detractors.

 

On the markets:

 

After a large run up in growth stocks in 2020 and a significant rotation to value names in the first quarter of 2021, many investors are likely looking for where to allocate their capital going forward. Interest rates have risen from record lows and inflation fears are in the market all while a reopening of the economy from the COVID shutdown kicks into full gear.

 

At Clough Capital Partners L.P. (“Clough Capital”), we are always looking for attractive profit cycles regardless of the state of the economy, the price of broader market indices, or whether the market favors growth or value stocks. Capital is always on the move, and we try to set up in front of where we believe these flows may turn as we seek returns for our investors. Or, as Wayne Gretzky would say; “don’t skate to the puck, skate to where the puck is going.”

 

We generally look for profit cycles in three significant areas, among others. First, markets that have seen significant underinvestment that now are entering a demand cycle. The COVID-19 shutdowns created underinvestment in several industries that are now facing a surge in demand. Two such industries are currently aerospace and semiconductors.

 

Second, we look for profit cycles in disruptive technologies. Finally, we look for new technologies to invest in such as electronic vehicles and the build out in the 5G networks.

 

Our analysts look for investments in these profit cycles globally. We have dedicated resources to have boots on the ground in China, as we believe it is still the largest consumer growth story on the planet and requires active monitoring and analysis.

 

Interest Rates and Inflation:

 

We think the behavior of the recent markets signals the recovery and corresponding rise in rates and inflation expectations may be more difficult to sustain, once the “sugar rush” from spending the stimulus checks runs its course. Even the rally in commodities seems to have faltered, at least temporarily.

 

Pent up demand for most durable goods like automobiles may be spent. The base effect caused by falling prices during the pandemic will make year-to-year inflation numbers this spring look like we are going back to the 1970s, but we believe that is likely to evaporate in the summer months.

 

Commodity prices rise because a demand surge happens before supplies can be brought on. Shortages of industrial and agricultural commodities are widespread today but eventually supply and logistical bottlenecks will be resolved, and price pressures relieved. As we write this, things are reportedly speeding up at the Port of Long Beach, California. China was the first economy to recover last spring and its needs for industrial materials soared, but it has now reportedly rebuilt its inventory stocks. The likelihood that the cyclical boom may be temporary might be why several growth and technology stock indexes, which had been range bound since last summer, have been performing well again.

 

 

2  www.cloughglobal.com
     

 

Clough Global Dividend and Income Fund Shareholder Letter
  April 30, 2021 (Unaudited)

 

One thing to watch is how bank deposits behave. Baby boomers are the wealthier segment of the population, and they are proving to be world class savers, as evidenced by the rise in bank deposits sitting unused by the banking system.

 

Households saved a good percentage of last year’s fiscal stimulus and invested it back in bank certificates of deposit (“CDs”). That rise in CDs outstanding, and not spending, is what blew out the money supply measures such as M2. Should the same happen again with the new stimulus checks, the financial markets could turn their attention to a possible slowdown in the economy later in the year. Powerful secular forces, which limit spending and inflation pressures, including demographics, already heavy consumer balance sheets and technology are still at work. And households have a history of treating one-time transfer payments and income subsidies like a temporary tax cut. They generally do not increase spending levels because the effect on incomes is temporary (academics call it the permanent income hypothesis). So, while most of the money went to boost deposits by 25%, bank loans rose only 10%. The American Jobs Plan’s infrastructure program is large in numbers, but it stretches out over eight years and any tax increase will only be further dilutive of spending and investment.

 

However, as this all plays out, it seems to us that monetary and fiscal actions are currently bullish for stocks, and we still believe a portfolio based upon a balance of growth and value makes the most sense. We see plenty of value plays in cruise lines and other leisure activities that are still well below their pre-COVID highs. We also believe growth stocks in technology and health care, that have been sold during this period of rising rates, will be very attractive once the market gets comfortable that rates have settled into their post-COVID range.

 

The Hedge Book:

 

The Fund continues to use the hedge book to attempt to lower volatility as well as protect long term positions from being liquidated at market bottoms. Last year, Eurodollar futures and long duration U.S. Treasuries proved to be a valuable addition to equity shorts in protecting the long book during the sharp selloff in February and March. This year, the Fund has pivoted to using sector specific ETFs along with individual short positions to hedge the portfolio from the sharp market rotation from growth to value. The ability to use multiple strategies to protect the portfolio during times of market volatility remains critical. Having your long book in place as the market recovers is crucial to creating returns for shareholders.

 

Sincerely,

 

Charles I Clough, Jr.

 

Robert M. Zdunczyk

 

This letter is provided for informational purposes only and is not an offer to purchase or sell shares. Clough Global Dividend and Income Fund (the “Fund”) is a closed-end fund, which is traded on the NYSE American LLC, and does not continuously issue shares for sale as open-end mutual funds do. The market price of a closed-end fund is based on the market’s value.

 

Although not generally stated throughout, the information in this letter reflects the opinions of the individual portfolio managers, which opinion is subject to change, and is not intended to be a forecast of future events, a guarantee of future results or investment advice.

 

The MSCI World Index is a free float-adjusted market capitalization weighted index that is designed to measure the equity market performance of 23 developed markets countries. Both indices referenced herein reflect the reinvestment of dividends. Effective July 31, 2010, the MSCI World Index returns prior to January 1, 2002 were revised to reflect the total returns, with dividends reinvested, reported by MSCI. The MSCI information may only be used for your internal use, may not be reproduced or redisseminated in any form and may not be used as a basis for or a component of any financial instruments or products or indices. None of the MSCI information is intended to constitute investment advice or a recommendation to make (or refrain from making) any kind of investment decision and may not be relied on as such. Historical data and analysis should not be taken as an indication or guarantee of any future performance analysis, forecast or prediction. The MSCI information is provided on an “as is” basis and the user of this information assumes the entire risk of any use made of this information. MSCI, each of its affiliates and each other person involved in or related to compiling, computing or creating any MSCI information (collectively, the “MSCI Parties”) expressly disclaims all warranties (including, without limitation, any warranties of originality, accuracy, completeness, timeliness, non-infringement, merchantability and fitness for a particular purpose) with respect to this information. Without limiting any of the foregoing, in no event shall any MSCI Party have any liability for any direct, indirect, special, incidental, punitive, consequential (including, without limitation, lost profits) or any other damages (www.msci.com).

 

 

Semi-Annual Report | April 30, 2021 3
     

 

Clough Global Dividend and Income Fund Shareholder Letter
  April 30, 2021 (Unaudited)

 

The Bloomberg Barclays US Aggregate Bond Index measures the performance of the U.S. investment grade bond market. The Barclays Aggregate Bond index invests in a wide spectrum of public, investment-grade, taxable, fixed income securities in the United States, including government, corporate, and international dollar-denominated bonds, as well as mortgage-backed and asset-backed securities, all with maturities of more than 1 year.

 

The performance of the indices referenced herein is used for informational purposes only. One cannot invest directly in an index. Indices are not subject to any of the fees or expenses to which the Fund is subject, and there are significant differences between the Fund’s investments and the components of the indices referenced.

 

The net asset value (NAV) of a closed-end fund is the market price of the underlying investments (i.e., stocks and bonds) in the fund’s portfolio, minus liabilities, divided by the total number of fund shares outstanding. However, the fund also has a market price; the value of which it trades on an exchange. This market price can be more or less than its NAV.

 

Morningstar Index: The Morningstar Global Allocation Index represents a multi-asset class portfolio of 60% global equities and 40% global bonds. The asset allocation within each class is driven by Morningstar asset allocation methodology. To maintain broad global exposure and diversification, the index consists of equities & fixed income and utilizes global, float-weighted index methodology to determine allocation to U.S. and non-U.S.

 

RISKS

An investor should consider investment objectives, risks, charges and expenses carefully before investing. To obtain an annual report or semiannual report which contains this and other information visit www.cloughglobal.com or call 1-877-256-8445. Read them carefully before investing.

 

A Fund’s distribution policy will, under certain circumstances, have certain adverse consequences to the Fund and its shareholders because it may result in a return of capital resulting in less of a shareholder’s assets being invested in the Fund and, over time, increase the Fund’s expense ratio.

 

Distributions may be paid from sources of income other than ordinary income, such as net realized short-term capital gains, net realized long-term capital gains and return of capital. Based on current estimates, we anticipate the most recent distribution has been paid from short-term and long-term capital gains. The actual amounts and sources of the amounts for tax reporting purposes will depend upon a Fund’s investment experience during the remainder of its fiscal year and may be subject to changes based on tax regulations. If a distribution includes anything other than net investment income, the Fund provides a Section 19(a) notice of the best estimate of its distribution sources at that time. These estimates may not match the final tax characterization (for the full year’s distributions) contained in shareholders’ 1099-DIV forms after the end of the year.

 

A Fund’s investments in securities of foreign issuers are subject to risks not usually associated with owning securities of U.S. issuers. These risks can include fluctuations in foreign currencies, foreign currency exchange controls, social, political and economic instability, differences in securities regulation and trading, expropriation or nationalization of assets, and foreign taxation issues.

 

A Fund’s investments in preferred stocks and bonds of below investment grade quality (commonly referred to as “high yield” or “junk bonds”), if any, are predominately speculative because of the credit risk of their issuers.

 

An investment by a Fund in REITs will subject it to various risks. The first, real estate industry risk, is the risk that the REIT share prices will decline because of adverse developments affecting the real estate industry and real property values. In general, real estate values can be affected by a variety of factors, including supply and demand for properties, the economic health of the country or of different regions, and the strength of specific industries that rent properties. The second, investment style risk, is the risk that returns from REITs—which typically are small or medium capitalization stocks—will trail returns from the overall stock market. The third, interest rate risk, is the risk that changes in interest rates may hurt real estate values or make REIT shares less attractive than other income-producing investments. Credit risk is the risk that an issuer of a preferred or debt security will become unable to meet its obligation to make dividend, interest and principal payments.

 

Interest rate risk is the risk that preferred stocks paying fixed dividend rates and fixed-rate debt securities will decline in value because of changes in market interest rates. When interest rates rise the value of such securities generally will fall. Derivative transactions (such as futures contracts and options thereon, options, swaps, and short sales) subject a Fund to increased risk of principal loss due to imperfect correlation or unexpected price or interest rate movements. Compared to investment companies that focus only on large companies, the Fund’s share price may be more volatile because it also invests in small and medium capitalization companies.

 

Past performance is neither a guarantee, nor necessarily indicative, of future results, which may be significantly affected by changes in economic and other conditions.

 

 

4  www.cloughglobal.com
     

 

Clough Global Dividend and Income Fund Portfolio Allocation
  April 30, 2021 (Unaudited)

 

Top 10 Equity Holdings(a)(d) % of Total Portfolio
   
1. Samsung Electronics Co., Ltd. 3.52%
2. PennyMac Financial Services, Inc. 3.47%
3. Annaly Capital Management, Inc. 3.19%
4. Community Healthcare Trust, Inc. 2.75%
5. First American Financial Corp. 2.73%
6. AGNC Investment Corp. 2.41%
7. Taiwan Semiconductor Manufacturing Co., Ltd. 2.18%
8. DR Horton, Inc. 2.14%
9. Equitable Holdings, Inc. 2.11%
10. Lennar Corp. 2.03%
   
Global Securities Holdings(a) % of Total Portfolio
   
United States 74.32%
U.S. Multinationals(b) 11.38%
Taiwan 4.96%
South Korea 3.52%
Hong Kong 2.71%
China 2.69%
Netherlands 0.68%
Germany 0.61%
Other -0.87%
TOTAL INVESTMENTS 100.00%

 

Asset Allocation(a) % of Total Portfolio
Common Stock - US 42.62%
Common Stock - Foreign 25.42%
Exchange Traded Funds -6.57%
Total Return Swap Contracts 1.42%
Total Equities 62.89%
   
Corporate Debt 16.55%
Government L/T 14.83%
Preferred Stock 0.81%
Asset-Backed Securities 0.04%
Total Fixed Income 32.23%
   
Short-Term Investments 2.44%
Future 1.56%
Other (Cash) 0.82%
Purchased & Written Options 0.06%
   
TOTAL INVESTMENTS 100.00%

 

Country Allocation(c) Long
Exposure
%TNA
Short
Exposure
%TNA
Gross
Exposure
%TNA
Net
Exposure
%TNA
         
United States 111.5% -5.3% 116.8% 106.2%
U.S. Multinationals(b) 23.1% -6.8% 29.9% 16.3%
Taiwan 7.1% 0.0% 7.1% 7.1%
South Korea 5.0% 0.0% 5.0% 5.0%
Hong Kong 3.9% 0.0% 3.9% 3.9%
China 3.8% 0.0% 3.8% 3.8%
Netherlands 1.0% 0.0% 1.0% 1.0%
Germany 1.1% -0.3% 1.4% 0.8%
Other 0.5% -1.7% 2.2% -1.2%
TOTAL INVESTMENTS 157.0% -14.1% 171.1% 142.9%

 

(a) Percentages calculated based on total portfolio, including securities sold short, cash balances, market value of futures, and notional value of return swaps.
(b) U.S. Multinationals includes companies organized or located in the United States that have more than 50% of revenues derived outside of the United States.
(c) Percentages calculated based on the net asset value of the Fund.
(d) Only long equity and equity-related positions are listed.

 

 

Semi-Annual Report | April 30, 2021 5
     

 

Clough Global Equity Fund Shareholder Letter
  April 30, 2021 (Unaudited)

 

To Our Investors,

 

For the semi-annual period ending April 30, 2021, the Clough Global Equity Fund (“GLQ” or the “Fund”) had a total net return of 37.64% on net asset value (“NAV”) and 55.55% on market price, compared to 29.39% for the MSCI World Index for the same period.

 

The Fund had strong performance for the first half of fiscal 2021 (November 1, 2020-April 30, 2021). Health Care, Financials and Information Technology were the largest contributing sector while hedges and holdings in Fixed Income were the largest detractors.

 

Top 5 Contributors and Detractors for the Fund's first fiscal half of the year:

 

Among the top five positive contributors in the period, two health care investments, CRISPR Therapeutics and the ETFMG Alternative Harvest exchange-traded fund (“ETF”) were among the top gainers. Alternative Harvest is comprised of investments in the cannabis market which rallied as the incoming Biden administration is expected to be supportive of wide legalization and relaxing of regulatory barriers to the industry. First American Financial Corp., a market leading title insurer, Bank of America Corp., and Carnival Corp. rounded out the top five positive contributors.

 

Options on the S&P 500 Index as well as long dated U.S. Treasuries were top detractors from performance. A long position in AbCellera Biologics Inc., a specialty life sciences company, was also a detractor during the period. We continue to hold the name as we believe their development opportunities are significant. Short positions Cree Inc., a semiconductor producer, and Deutsche Bank rounded out the bottom five detractors.

 

On the Markets:

 

After a large run up in growth stocks in 2020 and a significant rotation to value names in the first quarter of 2021, many investors are likely looking for where to allocate their capital going forward. Interest rates have risen from record lows and inflation fears are in the market all while a reopening of the economy from the COVID shutdown kicks into full gear.

 

At Clough Capital Partners L.P. (“Clough Capital”), we are always looking for attractive profit cycles regardless of the state of the economy, the price of broader market indices, or whether the market favors growth or value stocks. Capital is always on the move, and we try to set up in front of where we believe these flows may turn as we seek returns for our investors. Or, as Wayne Gretzky would say; “don’t skate to the puck, skate to where the puck is going.”

 

We generally look for profit cycles in three significant areas, among others. First, markets that have seen significant underinvestment that now are entering a demand cycle. The COVID-19 shutdowns created underinvestment in several industries that are now facing a surge in demand. Two such industries are currently aerospace and semiconductors.

 

Second, we look for profit cycles in disruptive technologies. Finally, we look for new technologies to invest in such as electronic vehicles and the build out in the 5G networks.

 

Our analysts look for investments in these profit cycles globally. We have dedicated resources to have boots on the ground in China, as we believe it is still the largest consumer growth story on the planet and requires active monitoring and analysis.

 

Interest Rates and Inflation:

 

We think the behavior of the recent markets signals the recovery and corresponding rise in rates and inflation expectations may be more difficult to sustain, once the “sugar rush” from spending the stimulus checks runs its course. Even the rally in commodities seems to have faltered, at least temporarily.

 

Pent up demand for most durable goods like automobiles may be spent. The base effect caused by falling prices during the pandemic will make year- to-year inflation numbers this spring look like we are going back to the 1970s, but we believe that is likely to evaporate in the summer months.

 

Commodity prices rise because a demand surge happens before supplies can be brought on. Shortages of industrial and agricultural commodities are widespread today but eventually supply and logistical bottlenecks will be resolved, and price pressures relieved. As we write this, things are reportedly speeding up at the Port of Long Beach, California. China was the first economy to recover last spring and its needs for industrial materials soared, but it has now reportedly rebuilt its inventory stocks. The likelihood that the cyclical boom may be temporary might be why several growth and technology stock indexes, which had been range bound since last summer, have been performing well again.

 

 

6  www.cloughglobal.com
     

 

Clough Global Equity Fund Shareholder Letter
  April 30, 2021 (Unaudited)

 

One thing to watch is how bank deposits behave. Baby boomers are the wealthier segment of the population, and they are proving to be world class savers, as evidenced by the rise in bank deposits sitting unused by the banking system.

 

Households saved a good percentage of last year’s fiscal stimulus and invested it back in bank certificates of deposit (“CDs”). That rise in CDs outstanding, and not spending, is what blew out the money supply measures such as M2. Should the same happen again with the new stimulus checks, the financial markets could turn their attention to a possible slowdown in the economy later in the year. Powerful secular forces, which limit spending and inflation pressures, including demographics, already heavy consumer balance sheets and technology are still at work. And households have a history of treating one-time transfer payments and income subsidies like a temporary tax cut. They generally do not increase spending levels because the effect on incomes is temporary (academics call it the permanent income hypothesis). So, while most of the money went to boost deposits by 25%, bank loans rose only 10%. The American Jobs Plan’s infrastructure program is large in numbers, but it stretches out over eight years and any tax increase will only be further dilutive of spending and investment.

 

However, as this all plays out, it seems to us that monetary and fiscal actions are currently bullish for stocks, and we still believe a portfolio based upon a balance of growth and value makes the most sense. We see plenty of value plays in cruise lines and other leisure activities that are still well below their pre-COVID highs. We also believe growth stocks in technology and healthcare, that have been sold during this period of rising rates, will be very attractive once the market gets comfortable that rates have settled into their post-COVID range.

 

The Hedge Book:

 

The Fund continues to use the hedge book to attempt to lower volatility as well as protect long term positions from being liquidated at market bottoms. Last year, Eurodollar futures and long duration U.S. Treasuries proved to be a valuable addition to equity shorts in protecting the long book during the sharp selloff in February and March. This year, the Fund has pivoted to using sector specific ETFs along with individual short positions to hedge the portfolio from the sharp market rotation from growth to value. The ability to use multiple strategies to protect the portfolio during times of market volatility remains critical. Having your long book in place as the market recovers is crucial to creating returns for shareholders.

 

Sincerely,

 

Charles I Clough, Jr.

 

Robert M. Zdunczyk

 

This letter is provided for informational purposes only and is not an offer to purchase or sell shares. Clough Global Equity Fund (the “Fund”) is a closed-end fund, which is traded on the NYSE American LLC, and does not continuously issue shares for sale as open-end mutual funds do. The market price of a closed-end fund is based on the market’s value.

 

Although not generally stated throughout, the information in this letter reflects the opinions of the individual portfolio managers, which opinion is subject to change, and is not intended to be a forecast of future events, a guarantee of future results or investment advice.

 

The MSCI World Index is a free float-adjusted market capitalization weighted index that is designed to measure the equity market performance of 23 developed markets countries. Both indices referenced herein reflect the reinvestment of dividends. Effective July 31, 2010, the MSCI World Index returns prior to January 1, 2002 were revised to reflect the total returns, with dividends reinvested, reported by MSCI. The MSCI information may only be used for your internal use, may not be reproduced or redisseminated in any form and may not be used as a basis for or a component of any financial instruments or products or indices. None of the MSCI information is intended to constitute investment advice or a recommendation to make (or refrain from making) any kind of investment decision and may not be relied on as such. Historical data and analysis should not be taken as an indication or guarantee of any future performance analysis, forecast or prediction. The MSCI information is provided on an “as is” basis and the user of this information assumes the entire risk of any use made of this information. MSCI, each of its affiliates and each other person involved in or related to compiling, computing or creating any MSCI information (collectively, the “MSCI Parties”) expressly disclaims all warranties (including, without limitation, any warranties of originality, accuracy, completeness, timeliness, non-infringement, merchantability and fitness for a particular purpose) with respect to this information. Without limiting any of the foregoing, in no event shall any MSCI Party have any liability for any direct, indirect, special, incidental, punitive, consequential (including, without limitation, lost profits) or any other damages (www.msci.com).

 

 

Semi-Annual Report | April 30, 2021 7
     

 

Clough Global Equity Fund Shareholder Letter
  April 30, 2021 (Unaudited)

 

The performance of the indices referenced herein is used for informational purposes only. One cannot invest directly in an index. Indices are not subject to any of the fees or expenses to which the Fund is subject, and there are significant differences between the Fund’s investments and the components of the indices referenced.

 

The net asset value (NAV) of a closed-end fund is the market price of the underlying investments (i.e., stocks and bonds) in the fund’s portfolio, minus liabilities, divided by the total number of fund shares outstanding. However, the fund also has a market price; the value of which it trades on an exchange. This market price can be more or less than its NAV.

 

RISKS

An investor should consider investment objectives, risks, charges and expenses carefully before investing. To obtain an annual report or semiannual report which contains this and other information visit www.cloughglobal.com or call 1-877-256-8445. Read them carefully before investing.

 

A Fund’s distribution policy will, under certain circumstances, have certain adverse consequences to the Fund and its shareholders because it may result in a return of capital resulting in less of a shareholder’s assets being invested in the Fund and, over time, increase the Fund’s expense ratio.

 

Distributions may be paid from sources of income other than ordinary income, such as net realized short-term capital gains, net realized long-term capital gains and return of capital. Based on current estimates, we anticipate the most recent distribution has been paid from short-term and long-term capital gains. The actual amounts and sources of the amounts for tax reporting purposes will depend upon a Fund’s investment experience during the remainder of its fiscal year and may be subject to changes based on tax regulations. If a distribution includes anything other than net investment income, the Fund provides a Section 19(a) notice of the best estimate of its distribution sources at that time. These estimates may not match the final tax characterization (for the full year’s distributions) contained in shareholders’ 1099-DIV forms after the end of the year.

 

A Fund’s investments in securities of foreign issuers are subject to risks not usually associated with owning securities of U.S. issuers. These risks can include fluctuations in foreign currencies, foreign currency exchange controls, social, political and economic instability, differences in securities regulation and trading, expropriation or nationalization of assets, and foreign taxation issues.

 

A Fund’s investments in preferred stocks and bonds of below investment grade quality (commonly referred to as “high yield” or “junk bonds”), if any, are predominately speculative because of the credit risk of their issuers.

 

An investment by a Fund in REITs will subject it to various risks. The first, real estate industry risk, is the risk that the REIT share prices will decline because of adverse developments affecting the real estate industry and real property values. In general, real estate values can be affected by a variety of factors, including supply and demand for properties, the economic health of the country or of different regions, and the strength of specific industries that rent properties. The second, investment style risk, is the risk that returns from REITs—which typically are small or medium capitalization stocks—will trail returns from the overall stock market. The third, interest rate risk, is the risk that changes in interest rates may hurt real estate values or make REIT shares less attractive than other income-producing investments. Credit risk is the risk that an issuer of a preferred or debt security will become unable to meet its obligation to make dividend, interest and principal payments.

 

Interest rate risk is the risk that preferred stocks paying fixed dividend rates and fixed-rate debt securities will decline in value because of changes in market interest rates. When interest rates rise the value of such securities generally will fall. Derivative transactions (such as futures contracts and options thereon, options, swaps, and short sales) subject a Fund to increased risk of principal loss due to imperfect correlation or unexpected price or interest rate movements. Compared to investment companies that focus only on large companies, the Fund’s share price may be more volatile because it also invests in small and medium capitalization companies.

 

Past performance is neither a guarantee, nor necessarily indicative, of future results, which may be significantly affected by changes in economic and other conditions.

 

 

8  www.cloughglobal.com
     

 

Clough Global Equity Fund Portfolio Allocation
  April 30, 2021 (Unaudited)

 

Top 10 Equity Holdings(a)(d) % of Total Portfolio
   
1. Annaly Capital Management, Inc. 2.76%
2. Carnival Corp. 2.67%
3. Royal Caribbean Cruises Ltd. 2.67%
4. First American Financial Corp. 2.56%
5. Samsung Electronics Co., Ltd. 2.42%
6. Micron Technology, Inc. 2.33%
7. PennyMac Financial Services, Inc. 2.30%
8. Equitable Holdings, Inc. 2.20%
9. Applied Materials, Inc. 1.99%
10. AGNC Investment Corp. 1.95%
   
Global Securities Holdings(a) % of Total Portfolio
   
United States 67.13%
U.S. Multinationals(b) 15.84%
Taiwan 4.51%
China 4.38%
South Korea 2.42%
Canada 1.86%
Hong Kong 1.52%
Switzerland 1.29%
Germany 0.76%
Netherlands 0.67%
Other -0.38%
TOTAL INVESTMENTS 100.00%

 

Asset Allocation(a) % of Total Portfolio
   
Common Stock - US 61.62%
Common Stock - Foreign 36.24%
Exchange Traded Funds -7.05%
Total Return Swap Contracts 1.57%
Total Equities 92.38%
   
Government L/T 2.35%
Total Fixed Income 2.35%
   
Short-Term Investments 3.08%
Future 1.27%
Other (Cash) 0.61%
Purchased & Written Options 0.31%
   
TOTAL INVESTMENTS 100.00%

 

Country Allocation(c) Long
Exposure
%TNA

Short
Exposure

%TNA

Gross
Exposure

%TNA

Net
Exposure
%TNA
         
United States 98.8% -5.3% 104.1% 93.5%
U.S. Multinationals(b) 29.4% -7.3% 36.7% 22.1%
Taiwan 6.3% 0.0% 6.3% 6.3%
China 6.1% 0.0% 6.1% 6.1%
South Korea 3.4% 0.0% 3.4% 3.4%
Canada 2.6% 0.0% 2.6% 2.6%
Hong Kong 2.1% 0.0% 2.1% 2.1%
Switzerland 2.7% -0.9% 3.6% 1.8%
Germany 1.3% -0.3% 1.6% 1.0%
Netherlands 0.9% 0.0% 0.9% 0.9%
Other 0.0% -0.5% 0.5% -0.5%
TOTAL INVESTMENTS 153.6% -14.3% 167.9% 139.3%

 

(a) Percentages calculated based on total portfolio, including securities sold short, cash balances, market value of futures, and notional value of return swaps.
(b) U.S. Multinationals includes companies organized or located in the United States that have more than 50% of revenues derived outside of the United States.
(c) Percentages calculated based on the net asset value of the Fund.
(d) Only long equity and equity-related positions are listed.

 

 

Semi-Annual Report | April 30, 2021 9
     

 

Clough Global Opportunities Fund Shareholder Letter
  April 30, 2021 (Unaudited)

 

To Our Investors,

 

For the semi-annual period ending April 30, 2021, the Clough Global Opportunities Fund (“GLO” or the “Fund”) had a total net return of 35.06% on net asset value (“NAV”) and 55.00% on market price compared to 21.07% for the 75% MSCI World Index/25% Bloomberg Barclays US Aggregate Index and 17.34% for the Morningstar Global Allocation Index for the same period.

 

The Fund had strong performance for the first half of fiscal 2021 (November 1, 2020-April 30,2021). Health Care, Financials and Information Technology were the largest contributing sectors while hedges and holdings in Fixed Income were the largest detractors.

 

Top 5 Contributors and Detractors for the Fund's first fiscal half of the year:

 

Among the top five positive contributors in the period, three health care investments, CRISPR Therapeutics, ETFMG Alternative Harvest exchange-traded fund (“ETF”) and GW Pharmaceuticals Plc were among the top gainers. Alternative Harvest is comprised of investments in the cannabis market which rallied as the incoming Biden administration is expected to be supportive of wide legalization and relaxing of regulatory barriers to the industry. GW Pharmaceuticals Plc is a specialty pharmaceutical company using genetically modified cannabis plants for the treatment of pediatric seizures. The stock rose when Jazz Pharmaceuticals Plc offered to acquire the company at a 50% premium to its market price. GW Pharmaceutical’s Epidiolex was the first plant-derived cannabinoid prescription medicine and is the only U.S. Food and Drug Administration (“FDA”) approved form of cannabidiol. Carnival Corp. and Bank of America Corp. rounded out the top five positive contributors.

 

Options on the S&P 500 Index as well as long dated U.S. Treasuries were the top detractors to performance. A long position in AbCellera Biologics Inc., a specialty life sciences company, was also a detractor during the period. We continue to hold the name as we believe their development opportunities are significant. Short positions in Deutsche Bank and Cree Inc., a semiconductor producer, rounded out the bottom five detractors.

 

On the Markets:

 

After a large run up in growth stocks in 2020 and a significant rotation to value names in the first quarter of 2021, many investors are likely looking for where to allocate their capital going forward. Interest rates have risen from record lows and inflation fears are in the market all while a reopening of the economy from the COVID shutdown kicks into full gear.

 

At Clough Capital Partners L.P. (“Clough Capital”), we are always looking for attractive profit cycles regardless of the state of the economy, the price of broader market indices, or whether the market favors growth or value stocks. Capital is always on the move, and we try to set up in front of where we believe these flows may turn as we seek returns for our investors. Or, as Wayne Gretzky would say; “don’t skate to the puck, skate to where the puck is going.”

 

We generally look for profit cycles in three significant areas, among others. First, markets that have seen significant underinvestment that now are entering a demand cycle. The COVID-19 shutdowns created underinvestment in several industries that are now facing a surge in demand. Two such industries are currently aerospace and semiconductors.

 

Second, we look for profit cycles in disruptive technologies. The Fund’s holdings of Carvana Co., the leading online auto retailer, and CRISPR Therapeutics, the groundbreaking gene editing company fit, this profile. Finally, we look for new technologies to invest in such as electronic vehicles and the build out in the 5G networks.

 

Our analysts look for investments in these profit cycles globally. We have dedicated resources to have boots on the ground in China, as we believe it is still the largest consumer growth story on the planet and requires active monitoring and analysis.

 

Interest Rates and Inflation:

 

We think the behavior of the recent markets signals the recovery and corresponding rise in rates and inflation expectations may be more difficult to sustain, once the “sugar rush” from spending the stimulus checks runs its course. Even the rally in commodities seems to have faltered, at least temporarily.

 

Pent up demand for most durable goods like automobiles may be spent. The base effect caused by falling prices during the pandemic will make year- to-year inflation numbers this spring look like we are going back to the 1970s, but we believe that is likely to evaporate in the summer months.

 

 

10  www.cloughglobal.com
     

 

Clough Global Opportunities Fund Shareholder Letter
  April 30, 2021 (Unaudited)

 

Commodity prices rise because a demand surge happens before supplies can be brought on. Shortages of industrial and agricultural commodities are widespread today but eventually supply and logistical bottlenecks will be resolved, and price pressures relieved. As we write this, things are reportedly speeding up at the Port of Long Beach, California. China was the first economy to recover last spring and its needs for industrial materials soared, but it has now reportedly rebuilt its inventory stocks. The likelihood that the cyclical boom may be temporary might be why several growth and technology stock indexes, which had been range bound since last summer, have been performing well again.

 

One thing to watch is how bank deposits behave. Baby boomers are the wealthier segment of the population, and they are proving to be world class savers, as evidenced by the rise in bank deposits sitting unused by the banking system.

 

Households saved a good percentage of last year’s fiscal stimulus and invested it back in bank certificates of deposit (“CDs”). That rise in CDs outstanding, and not spending, is what blew out the money supply measures such as M2. Should the same happen again with the new stimulus checks, the financial markets could turn their attention to a possible slowdown in the economy later in the year. Powerful secular forces, which limit spending and inflation pressures, including demographics, already heavy consumer balance sheets and technology are still at work. And households have a history of treating one-time transfer payments and income subsidies like a temporary tax cut. They generally do not increase spending levels because the effect on incomes is temporary (academics call it the permanent income hypothesis). So, while most of the money went to boost deposits by 25%, bank loans rose only 10%. The American Jobs Plan’s infrastructure program is large in numbers, but it stretches out over eight years and any tax increase will only be further dilutive of spending and investment.

 

However, as this all plays out, it seems to us that monetary and fiscal actions are currently bullish for stocks, and we still believe a portfolio based upon a balance of growth and value makes the most sense. We see plenty of value plays in cruise lines and other leisure activities that are still well below their pre-COVID highs. We also believe growth stocks in technology and healthcare that have been sold during this period of rising rates will be very attractive once the market gets comfortable that rates have settled into their post-COVD range.

 

The Hedge Book:

 

The Fund continues to use the hedge book to attempt to lower volatility as well as protect long term positions from being liquidated at market bottoms. Last year, Eurodollar futures and long duration U.S. Treasuries proved to be a valuable addition to equity shorts in protecting the long book during the sharp selloff in February and March. This year, the fund has pivoted to using sector specific ETFs along with individual short positions to hedge the portfolio from the sharp market rotation from growth to value. The ability to use multiple strategies to protect the portfolio during times of market volatility remains critical. Having your long book in place as the market recovers is crucial to creating returns for shareholders.

 

Sincerely,

 

Charles I Clough, Jr.

 

Robert M. Zdunczyk

 

This letter is provided for informational purposes only and is not an offer to purchase or sell shares. Clough Opportunities Fund (the “Fund”) is a closed-end fund, which is traded on the NYSE American LLC, and does not continuously issue shares for sale as open-end mutual funds do. The market price of a closed-end fund is based on the market’s value.

 

Although not generally stated throughout, the information in this letter reflects the opinions of the individual portfolio managers, which opinion is subject to change, and is not intended to be a forecast of future events, a guarantee of future results or investment advice.

 

The MSCI World Index is a free float-adjusted market capitalization weighted index that is designed to measure the equity market performance of 23 developed markets countries. Both indices referenced herein reflect the reinvestment of dividends. Effective July 31, 2010, the MSCI World Index returns prior to January 1, 2002 were revised to reflect the total returns, with dividends reinvested, reported by MSCI. The MSCI information may only be used for your internal use, may not be reproduced or redisseminated in any form and may not be used as a basis for or a component of any financial instruments or products or indices. None of the MSCI information is intended to constitute investment advice or a recommendation to make (or refrain from making) any kind of investment decision and may not be relied on as such. Historical data and analysis should not be taken as an indication or guarantee of any future performance analysis, forecast or prediction. The MSCI information is provided on an “as is” basis and the user of this information assumes the entire risk of any use made of this information. MSCI, each of its affiliates and each other person involved in or related to compiling, computing or creating any MSCI information (collectively, the “MSCI Parties”) expressly disclaims all warranties (including, without limitation, any warranties of originality, accuracy, completeness, timeliness, non-infringement, merchantability and fitness for a particular purpose) with respect to this information. Without limiting any of the foregoing, in no event shall any MSCI Party have any liability for any direct, indirect, special, incidental, punitive, consequential (including, without limitation, lost profits) or any other damages (www.msci.com).

 

 

Semi-Annual Report | April 30, 2021 11
     

 

Clough Global Opportunities Fund Shareholder Letter
  April 30, 2021 (Unaudited)

 

The Bloomberg Barclays US Aggregate Bond Index measures the performance of the U.S. investment grade bond market. The Barclays Aggregate Bond index invests in a wide spectrum of public, investment-grade, taxable, fixed income securities in the United States, including government, corporate, and international dollar-denominated bonds, as well as mortgage-backed and asset-backed securities, all with maturities of more than 1 year.

 

The performance of the indices referenced herein is used for informational purposes only. One cannot invest directly in an index. Indices are not subject to any of the fees or expenses to which the Fund is subject, and there are significant differences between the Fund’s investments and the components of the indices referenced.

 

The net asset value (NAV) of a closed-end fund is the market price of the underlying investments (i.e., stocks and bonds) in the fund’s portfolio, minus liabilities, divided by the total number of fund shares outstanding. However, the fund also has a market price; the value of which it trades on an exchange. This market price can be more or less than its NAV.

 

Morningstar Index: The Morningstar Global Allocation Index represents a multi-asset class portfolio of 60% global equities and 40% global bonds. The asset allocation within each class is driven by Morningstar asset allocation methodology. To maintain broad global exposure and diversification, the index consists of equities & fixed income and utilizes global, float-weighted index methodology to determine allocation to U.S. and non-U.S.

 

RISKS 

An investor should consider investment objectives, risks, charges and expenses carefully before investing. To obtain an annual report or semiannual report which contains this and other information visit www.cloughglobal.com or call 1-877-256-8445. Read them carefully before investing.

 

A Fund’s distribution policy will, under certain circumstances, have certain adverse consequences to the Fund and its shareholders because it may result in a return of capital resulting in less of a shareholder’s assets being invested in the Fund and, over time, increase the Fund’s expense ratio.

 

Distributions may be paid from sources of income other than ordinary income, such as net realized short-term capital gains, net realized long-term capital gains and return of capital. Based on current estimates, we anticipate the most recent distribution has been paid from short-term and long-term capital gains. The actual amounts and sources of the amounts for tax reporting purposes will depend upon a Fund’s investment experience during the remainder of its fiscal year and may be subject to changes based on tax regulations. If a distribution includes anything other than net investment income, the Fund provides a Section 19(a) notice of the best estimate of its distribution sources at that time. These estimates may not match the final tax characterization (for the full year’s distributions) contained in shareholders’ 1099-DIV forms after the end of the year.

 

A Fund’s investments in securities of foreign issuers are subject to risks not usually associated with owning securities of U.S. issuers. These risks can include fluctuations in foreign currencies, foreign currency exchange controls, social, political and economic instability, differences in securities regulation and trading, expropriation or nationalization of assets, and foreign taxation issues.

 

A Fund’s investments in preferred stocks and bonds of below investment grade quality (commonly referred to as “high yield” or “junk bonds”), if any, are predominately speculative because of the credit risk of their issuers.

 

An investment by a Fund in REITs will subject it to various risks. The first, real estate industry risk, is the risk that the REIT share prices will decline because of adverse developments affecting the real estate industry and real property values. In general, real estate values can be affected by a variety of factors, including supply and demand for properties, the economic health of the country or of different regions, and the strength of specific industries that rent properties. The second, investment style risk, is the risk that returns from REITs—which typically are small or medium capitalization stocks—will trail returns from the overall stock market. The third, interest rate risk, is the risk that changes in interest rates may hurt real estate values or make REIT shares less attractive than other income-producing investments. Credit risk is the risk that an issuer of a preferred or debt security will become unable to meet its obligation to make dividend, interest and principal payments.

 

Interest rate risk is the risk that preferred stocks paying fixed dividend rates and fixed-rate debt securities will decline in value because of changes in market interest rates. When interest rates rise the value of such securities generally will fall. Derivative transactions (such as futures contracts and options thereon, options, swaps, and short sales) subject a Fund to increased risk of principal loss due to imperfect correlation or unexpected price or interest rate movements. Compared to investment companies that focus only on large companies, the Fund’s share price may be more volatile because it also invests in small and medium capitalization companies.

 

Past performance is neither a guarantee, nor necessarily indicative, of future results, which may be significantly affected by changes in economic and other conditions.

 

 

12  www.cloughglobal.com
     

 

Clough Global Opportunities Fund Portfolio Allocation
  April 30, 2021 (Unaudited)

 

Top 10 Equity Holdings(a)(d) % of Total Portfolio
   
1. Annaly Capital Management, Inc. 2.79%
2. Royal Caribbean Cruises Ltd. 2.71%
3. Carnival Corp. 2.69%
4. PennyMac Financial Services, Inc. 2.53%
5. Samsung Electronics Co., Ltd. 2.43%
6. Micron Technology, Inc. 2.33%
7. Equitable Holdings, Inc. 2.20%
8. First American Financial Corp. 2.16%
9. Applied Materials, Inc. 1.99%
10. Booking Holdings, Inc. 1.90%
   
Global Securities Holdings(a) % of Total Portfolio
   
United States 66.54%
U.S. Multinationals(b) 15.95%
China 4.88%
Taiwan 4.55%
South Korea 2.43%
Canada 1.87%
Hong Kong 1.52%
Switzerland 1.26%
Germany 0.76%
Netherlands 0.68%
Other -0.44%
TOTAL INVESTMENTS 100.00%

 

Asset Allocation(a) % of Total Portfolio
   
Common Stock - US 58.31%
Common Stock - Foreign 34.88%
Exchange Traded Funds -7.05%
Total Return Swap Contracts 1.60%
Total Equities 87.74%
   
Corporate Debt 4.99%
Government L/T 1.96%
Total Fixed Income 6.95%
   
Short-Term Investments 2.99%
Future 1.29%
Other (Cash) 0.72%
Purchased & Written Options 0.31%
   
TOTAL INVESTMENTS 100.00%

 

Country Allocation(c) Long
Exposure
%TNA
Short
Exposure
%TNA

Gross

Exposure

%TNA

Net
Exposure
%TNA
         
United States 98.8% -5.3% 104.1% 93.5%
U.S. Multinationals(b) 29.8% -7.4% 37.2% 22.4%
China 6.8% 0.0% 6.8% 6.8%
Taiwan 6.4% 0.0% 6.4% 6.4%
South Korea 3.4% 0.0% 3.4% 3.4%
Canada 2.6% 0.0% 2.6% 2.6%
Hong Kong 2.1% 0.0% 2.1% 2.1%
Switzerland 2.6% -0.9% 3.5% 1.7%
Germany 1.3% -0.3% 1.6% 1.0%
Netherlands 1.0% 0.0% 1.0% 1.0%
Other 0.0% -0.6% 0.6% -0.6%
TOTAL INVESTMENTS 154.8% -14.5% 169.3% 140.3%

 

(a) Percentages calculated based on total portfolio, including securities sold short, cash balances, market value of futures, and notional value of return swaps.
(b) U.S. Multinationals includes companies organized or located in the United States that have more than 50% of revenues derived outside of the United States.
(c) Percentages calculated based on the net asset value of the Fund.
(d) Only long equity and equity-related positions are listed.

 

 

Semi-Annual Report | April 30, 2021 13
     

 

Clough Global Dividend and Income Fund Statement of Investments
  April 30, 2021 (Unaudited)

 

    Shares     Value  
COMMON STOCKS 101.91%            
Consumer Discretionary 6.87%            
ANTA Sports Products, Ltd.     50,000     $ 897,943  
DR Horton, Inc.(a)(b)     30,900       3,037,161  
Lennar Corp. - Class A(a)     27,800       2,880,080  
              6,815,184  
                 
Financials 34.69%(c)                
AGNC Investment Corp.(a)(b)     190,350       3,412,975  
Annaly Capital Management, Inc.(a)(b)     497,100       4,513,668  
Bank of America Corp.(a)(b)     60,101       2,435,894  
Barings BDC, Inc.(a)     168,100       1,744,878  
Citigroup, Inc.(a)(b)     24,636       1,755,069  
Equitable Holdings, Inc.(a)(b)     87,500       2,995,125  
First American Financial Corp.(a)(b)     59,990       3,869,355  
Golub Capital BDC, Inc.(a)     94,975       1,487,308  
Hong Kong Exchanges and Clearing, Ltd.     36,000       2,178,237  
JPMorgan Chase & Co.(a)     9,980       1,535,024  
PennyMac Financial Services, Inc.(a)     81,730       4,920,963  
Redwood Trust, Inc.(a)     191,500       2,127,565  
Sixth Street Specialty Lending, Inc.(a)(b)     64,370       1,434,164  
              34,410,225  
                 
Health Care 22.41%                
AbbVie, Inc.(a)(b)     8,510       948,865  
Anthem, Inc.(a)(b)     5,515       2,092,336  
Eli Lilly & Co.(a)(b)     9,213       1,683,860  
Humana, Inc.(a)(b)     4,625       2,059,235  
Johnson & Johnson(a)(b)     14,700       2,392,131  
McKesson Corp.(a)(b)     12,825       2,405,457  
Merck & Co., Inc.(a)(b)     20,900       1,557,050  
Pfizer, Inc.(a)(b)     67,000       2,589,550  
Thermo Fisher Scientific, Inc.(a)(b)     5,260       2,473,410  
UnitedHealth Group, Inc.(a)     4,515       1,800,582  
Zoetis, Inc.(a)(b)     12,855       2,224,300  
              22,226,776  
                 
Industrials 3.89%                
TransDigm Group, Inc.(a)(d)     4,012       2,462,325  
Xinyi Glass Holdings, Ltd.     392,000       1,390,312  
              3,852,637  
                 
Information Technology 24.93%                
Applied Materials, Inc.(a)     20,590       2,732,499  
BE Semiconductor Industries NV     11,871       960,789  
Hon Hai Precision Industry Co., Ltd.     446,000       1,852,146  
Infineon Technologies AG     27,836       1,123,286  
Intel Corp.(a)(b)     25,000       1,438,250  
Lam Research Corp.(a)(b)     4,020       2,494,209  
Mastercard, Inc. - Class A(a)     5,992       2,289,304  
MediaTek, Inc.     49,100       2,082,966  

 

    Shares     Value  
Information Technology (continued)                
Samsung Electronics Co., Ltd.     68,054     $ 4,986,201  
Taiwan Semiconductor Manufacturing Co., Ltd.     144,000       3,093,116  
Visa, Inc. - Class A(a)     7,180       1,676,961  
              24,729,727  
                 
Real Estate 9.12%                
Community Healthcare Trust, Inc.(a)     76,400       3,890,288  
Physicians Realty Trust(a)     41,600       779,168  
Ventas, Inc.(a)     39,520       2,191,779  
Welltower, Inc.(a)     29,120       2,184,874  
              9,046,109  
                 
TOTAL COMMON STOCKS                
(Cost $77,906,024)             101,080,658  
                 
PREFERRED STOCKS 1.16%                
Gabelli Equity Trust, Inc.                
Series K, Perpetual Maturity 5.000%(e)     21,200       555,440  
Trinity Capital, Inc., 01/16/2025 7.000%(a)(b)(f)     22,400       591,920  
                 
TOTAL PREFERRED STOCKS                
(Cost $1,090,000)             1,147,360  

 

Underlying Security/Expiration Date/
Exercise Price/Notional Amount
  Contracts     Value  
PURCHASED OPTIONS 0.11%            
Call Options Purchased 0.03%                
Eurodollar Future Option                
12/14/21, $100, $359,331,363     1,441       9,006  
12/14/21, $99.875, $523,661,250     2,100       26,250  
                 
Total Call Options Purchased                
(Cost $1,006,039)             35,256  
                 
Put Options Purchased 0.08%                
Invesco QQQ Trust Series 1™                
05/21/21, $306, $37,178,900     1,100       79,200  
                 
Total Put Options Purchased                
(Cost $1,137,725)             79,200  
                 
Description/Maturity Date/Rate     Principal
Amount
      Value  
CORPORATE BONDS 19.97%                
Communication Services                
Alphabet, Inc.                
08/15/2050, 2.050%   $ 1,000,000       840,582  

 

See Notes to the Financial Statements.

 

14  www.cloughglobal.com
     

 

Clough Global Dividend and Income Fund Statement of Investments
  April 30, 2021 (Unaudited)

 

Description/Maturity Date/Rate   Principal
Amount
    Value  
CORPORATE BONDS (continued)            
Consumer Discretionary            
Amazon.com, Inc.                
06/03/2050, 2.500%(a)   $ 1,000,000     $ 900,588  
Carvana Co.                
10/01/2025, 5.625%(f)     500,000       515,625  
10/01/2028, 5.875%(a)(b)(f)     1,000,000       1,039,810  
Marriott International, Inc.                
Series AA, 12/01/2028, 4.650%     270,000       302,677  
Melco Resorts Finance, Ltd.                
07/21/2028, 5.750%(f)     250,000       269,229  
Toll Brothers Finance Corp.                
11/01/2029, 3.800%(a)     500,000       533,625  
              3,561,554  
                 
Consumer Staples                
Molson Coors Beverage Co.                
07/15/2026, 3.000%     300,000       321,886  
                 
Financials                
Blackstone Holdings Finance Co. LLC                
10/02/2027, 3.150%(f)     500,000       545,708  
Fidelity National Financial, Inc.                
03/15/2031, 2.450%(a)     950,000       935,409  
Goldman Sachs Group, Inc.                
01/27/2032, 1D US SOFR + 1.09%(g)     1,000,000       950,696  
JPMorgan Chase & Co.                
10/15/2030, 1D US SOFR + 1.51%(g)     500,000       513,415  
Main Street Capital Corp.                
07/14/2026, 3.000%(a)     600,000       606,370  
Nationstar Mortgage Holdings, Inc.                
12/15/2030, 5.125%(f)     500,000       495,455  
SLR Investment Corp.                
01/20/2023, 4.500%     500,000       520,585  
USB Capital IX                
Perpetual Maturity, 3M US L + 1.020%(e)(g)     270,000       263,250  
              4,830,888  
                 
Health Care                
Amgen, Inc.                
02/21/2030, 2.450%(a)(b)     400,000       405,683  
Eli Lilly & Co.                
03/15/2029, 3.375%(a)(b)     400,000       440,853  
05/15/2050, 2.250%     1,000,000       851,415  
Johnson & Johnson                
09/01/2040, 2.100%     500,000       456,946  
09/01/2060, 2.450%(a)     1,350,000       1,201,199  
Novartis Capital Corp.                
08/14/2050, 2.750%     500,000       481,392  

 

Description/Maturity Date/Rate   Principal
Amount
    Value  
CORPORATE BONDS (continued)            
Regeneron Pharmaceuticals, Inc.                
09/15/2030, 1.750%   $ 500,000     $ 466,238  
              4,303,726  
                 
Industrials                
FedEx Corp.                
01/15/2044, 5.100%     400,000       497,807  
IHS Markit, Ltd.                
05/01/2029, 4.250%     300,000       340,262  
Johnson Controls International PLC / Tyco Fire & Security Finance SCA                
09/15/2030, 1.750%     350,000       331,439  
Masco Corp.                
02/15/2028, 1.500%     1,000,000       968,203  
              2,137,711  
                 
Information Technology                
Apple, Inc.                
08/20/2060, 2.550%(a)     1,360,000       1,199,113  
Microsoft Corp.                
06/01/2050, 2.525%     700,000       653,197  
              1,852,310  
                 
Real Estate                
Equinix, Inc.                
11/18/2029, 3.200%(a)     1,000,000       1,056,182  
Sunac China Holdings, Ltd.                
04/19/2023, 8.350%(h)     750,000       785,250  
Times China Holdings, Ltd.                
06/04/2021, 7.850%(h)     111,111       111,454  
              1,952,886  
                 
TOTAL CORPORATE BONDS                
(Cost $19,766,687)             19,801,543  
                 
CONVERTIBLE CORPORATE BONDS 3.68%                
Financials                
Ares Capital Corp.                
02/01/2022, 3.750%(a)(b)     550,000       570,350  
Starwood Property Trust, Inc.                
04/01/2023, 4.375%(a)     977,000       1,039,333  
Two Harbors Investment Corp.                
01/15/2022, 6.250%     314,000       321,850  
              1,931,533  
                 
Health Care                
Gossamer Bio, Inc.                
06/01/2027, 5.000%(a)     1,070,000       931,569  

 

See Notes to the Financial Statements.

 

Semi-Annual Report | April 30, 2021 15
     

 

Clough Global Dividend and Income Fund Statement of Investments
  April 30, 2021 (Unaudited)

 

Description/Maturity Date/Rate   Principal
Amount
    Value  
CONVERTIBLE CORPORATE BONDS (continued)      
Teladoc Health, Inc.                
06/01/2027, 1.250%(a)(b)(f)   $ 700,000     $ 786,187  
              1,717,756  
                 
TOTAL CONVERTIBLE CORPORATE BONDS                
(Cost $3,616,899)             3,649,289  
                 
ASSET-BACKED SECURITIES 0.06%                
United States Small Business Administration                
Series 2008-20L, Class 1,                
12/01/2028, 6.220%(a)(b)     51,686       57,891  
                 
TOTAL ASSET-BACKED SECURITIES                
(Cost $51,686)             57,891  
                 
GOVERNMENT & AGENCY OBLIGATIONS 21.17%                
U.S. Treasury Bonds                
11/15/2040, 1.375%     1,500,000       1,307,344  
08/15/2049, 2.250%     2,500,000       2,478,467  
U.S. Treasury Notes                
02/28/2025, 1.125%(a)     3,900,000       3,984,627  
02/28/2027, 1.125%(a)     6,600,000       6,626,426  
11/15/2027, 2.250%(a)     6,200,000       6,604,816  
                 
TOTAL GOVERNMENT & AGENCY OBLIGATIONS                
(Cost $21,501,363)             21,001,680  
                 
      Shares       Value  
SHORT-TERM INVESTMENTS 3.48%                
Money Market Funds 3.48%                
BlackRock Liquidity Funds, T-Fund Portfolio - Institutional Class                
(0.027% 7-day yield)     3,452,774       3,452,774  
                 
TOTAL SHORT-TERM INVESTMENTS                
(Cost $3,452,774)             3,452,774  
                 
Total Investments - 151.54%                
(Cost $129,529,197)             150,305,651  
                 
Liabilities in Excess of Other Assets - (51.54%)(i)             (51,119,413 )
                 
NET ASSETS - 100.00%           $ 99,186,238  

 

SCHEDULE OF SECURITIES SOLD
SHORT
(d)
  Shares     Value  
COMMON STOCKS (4.73%)            
Consumer Discretionary (1.74%)                
DoorDash, Inc. - Class A     (12,090 )   $ (1,730,925 )
                 
Financials (0.97%)                
Deutsche Bank AG     (18,700 )     (261,800 )
Mediobanca Banca di Credito Finanziario SpA     (40,686 )     (459,898 )
Societe Generale S.A.     (8,443 )     (240,266 )
              (961,964 )
                 
Health Care (1.01%)                
Novocure, Ltd.     (4,910 )     (1,002,131 )
                 
Information Technology (1.01%)                
Temenos AG     (6,803 )     (998,941 )
                 
TOTAL COMMON STOCKS                
(Proceeds $3,818,508)             (4,693,961 )
                 
EXCHANGE TRADED FUNDS (9.39%)                
Invesco QQQ ™ Trust Series 1     (15,200 )     (5,137,448 )
iShares® Nasdaq Biotechnology ETF     (10,500 )     (1,623,720 )
iShares® U.S. Healthcare Providers ETF     (9,710 )     (2,551,694 )
                 
TOTAL EXCHANGE TRADED FUNDS                
(Proceeds $8,831,383)             (9,312,862 )
                 
TOTAL SECURITIES SOLD SHORT                
(Proceeds $12,649,891)           $ (14,006,823 )

See Notes to the Financial Statements.

 

16  www.cloughglobal.com
     

 

Clough Global Dividend and Income Fund Statement of Investments
  April 30, 2021 (Unaudited)

 

Investment Abbreviations:

1D FEDEF - Federal Funds Effective Rate (Daily)

LIBOR - London Interbank Offered Rate

SOFR - Secured Overnight Financing Rate

 

FEDEF Rates:

1D FEDEF - 1 Day FEDEF as of April 30, 2021 was 0.05%

 

LIBOR Rates:

3M US L - 3 Month LIBOR as of April 30, 2021 was 0.18%

 

SOFR Rates:

1D SOFR as of April 30, 2021 was 0.01%

 

(a) Pledged security; a portion or all of the security is pledged as collateral for securities sold short, total return swap contracts, or borrowings. As of April 30, 2021, the aggregate value of those securities was $98,588,842, representing 99.40% of net assets. (See Note 1)
(b) Loaned security; a portion or all of the security is on loan as of April 30, 2021.
(c) When sector categorization is categorized by industry, no industry exceeds the 25% maximum specified in the Statement of Additional Information.
(d) Non-income producing security.
(e) This security has no contractual maturity date, is not redeemable and contractually pays an indefinite stream of interest.
(f) Security is exempt from registration of the Securities Act of 1933. These securities may be resold in transactions exempt from registration under Rule 144A, normally to qualified institutional buyers. As of April 30, 2021, these securities had an aggregate value of $4,243,934 or 4.28% of net assets.
(g) Variable rate investment. Interest rates reset periodically. Interest rate shown reflects the rate in effect at April 30, 2021. For securities based on a published reference rate and spread, the reference rate and spread are indicated in the description above.
(h) Securities were purchased pursuant to Regulation S under the Securities Act of 1933, which exempts securities offered and sold outside of the United States from registration. Such securities cannot be sold in the United States without either an effective registration statement filed pursuant to the Securities Act of 1933, or pursuant to an exemption from registration. These securities have been deemed liquid under guidelines approved by the Fund's Board of Trustees. As of April 30, 2021, the aggregate value of those securities was $896,704, representing 0.90% of net assets.
(i) Includes cash which is being held as collateral for futures contracts, total return swap contracts and securities sold short.
 
For Fund compliance purposes, the Fund’s sector classifications refer to any one of the sector sub-classifications used by one or more widely recognized market indexes, and/or as defined by Fund management. This definition may not apply for purposes of this report, which may combine sector sub-classifications for reporting ease. Sectors are shown as a percent of net assets. These sector classifications are unaudited.

 

 

See Notes to the Financial Statements.

 

Semi-Annual Report | April 30, 2021 17
     

 

Clough Global Dividend and Income Fund Statement of Investments
  April 30, 2021 (Unaudited)

 

FUTURES CONTRACTS

 

Description   Counterparty   Position   Contracts   Expiration
Date
  Notional
Value
    Value     Unrealized
Appreciation/
(Depreciation)
 
EURODOLLAR 90 DAY   Morgan Stanley   Long   969   June 2021   $ 241,801,838     $ 1,221,656     $ 1,221,656  
                    $ 241,801,838     $ 1,221,656     $ 1,221,656  

 

TOTAL RETURN SWAP CONTRACTS

 

Counter Party   Reference
Entity/Obligation
  Notional Amount     Floating Rate Paid by the Fund*   Floating Rate Index   Termination Date   Value     Upfront Premiums Paid/(Received)     Net Unrealized Depreciation  
Morgan Stanley   Zoomlion Heavy Industry Science   $ 2,203,179     1D FEDEF - 250 bps   1D FEDEF   01/03/2022   $ 2,010,520     $    –     $ (192,659 )
TOTAL       $ 2,203,179                 $ 2,010,520     $     $ (192,659 )

 

* Payment made when swap contract closes.

 

CALL OPTIONS WRITTEN

 

Underlying Security   Counterparty   Expiration
Date
  Strike
Price
    Contracts   Notional
Amount
    Value  
Invesco QQQ Trust Series 1™   Morgan Stanley   05/21/2021   $ 290     (1,100)   $ (37,178,900 )   $ (29,700 )
                        $ (37,178,900 )   $ (29,700 )

 

See Notes to the Financial Statements.

 

18  www.cloughglobal.com
     

 

Clough Global Equity Fund Statement of Investments
  April 30, 2021 (Unaudited)

 

    Shares     Value  
COMMON STOCKS 140.76%                
Communication Services 6.50%                
Alphabet, Inc. - Class C(a)(b)(c)     2,368     $ 5,707,164  
ViacomCBS, Inc. - Class B(b)     85,800       3,519,516  
Walt Disney Co.(a)(b)     27,790       5,169,496  
              14,396,176  
                 
Consumer Discretionary 22.44%                
ANTA Sports Products, Ltd.     112,000       2,011,393  
Booking Holdings, Inc.(a)(b)     2,376       5,859,406  
Boyd Gaming Corp.(a)(b)     29,200       1,931,580  
Carnival Corp.(a)(b)(c)     294,900       8,245,404  
Carvana Co.(a)(b)     19,810       5,651,001  
DR Horton, Inc.(b)     47,700       4,688,433  
Lennar Corp. - Class A(b)     42,900       4,444,440  
Royal Caribbean Cruises Ltd.(a)(b)(c)     94,720       8,235,904  
Sands China, Ltd.(a)     738,400       3,507,703  
Six Flags Entertainment Corp.(a)(b)     72,500       3,406,050  
Tesla, Inc.(a)(b)(c)     2,475       1,755,864  
              49,737,178  
                 
Financials 26.48%(d)                
AGNC Investment Corp.(b)(c)     336,380       6,031,293  
Annaly Capital Management, Inc.(b)(c)     940,200       8,537,016  
Bank of America Corp.(b)(c)     127,135       5,152,782  
Barings BDC, Inc.     120,846       1,254,381  
Citigroup, Inc.(b)(c)     49,162       3,502,301  
Equitable Holdings, Inc.(b)     198,900       6,808,347  
First American Financial Corp.(b)(c)     122,690       7,913,505  
Golub Capital BDC, Inc.(b)     128,561       2,013,265  
Hong Kong Exchanges and Clearing, Ltd.     77,500       4,689,260  
JPMorgan Chase & Co.(b)     21,370       3,286,920  
PennyMac Financial Services, Inc.(b)     117,880       7,097,555  
Sixth Street Specialty Lending, Inc.(b)(c)     107,880       2,403,566  
              58,690,191  
                 
Health Care 44.15%(d)                
1Life Healthcare, Inc.(a)(b)(c)     117,000       5,090,670  
AbbVie, Inc.(b)     16,080       1,792,920  
AbCellera Biologics, Inc.(a)(b)(c)     136,800       3,645,720  
Acadia Healthcare Co., Inc.(a)(b)     62,800       3,825,776  
Amphivena Therapeutics, Inc. -  Series C(a)(e)(f)(g)(h)     334,425       1,431,065  
Anthem, Inc.(b)(c)     11,705       4,440,760  
Apellis Pharmaceuticals, Inc.(a)(b)(c)     86,997       4,408,138  
Arcellx, Inc. - Series B(a)(e)(f)(g)(h)     421,845       884,609  
Arcellx, Inc. - Series C(a)(e)(f)(g)(h)     78,692       165,017  
Centrexion Therapeutics Corp.(a)(f)(g)(h)     4,336       52,843  
Centrexion Therapeutics Corp.(a)(e)(f)(g)(h)     66,719       813,105  

 

    Shares     Value  
Health Care (continued)                
Checkmate Pharmaceuticals, Inc.(a)(b)(c)     277,572     $ 2,009,621  
Community Health Systems, Inc.(a)(b)     215,640       2,404,386  
Covetrus, Inc.(a)(b)     98,900       2,833,485  
CRISPR Therapeutics AG(a)(b)     34,660       4,549,818  
Hologic, Inc.(a)(b)     37,940       2,486,967  
Humana, Inc.(b)     10,225       4,552,579  
Idorsia, Ltd.(a)     21,806       564,938  
Jazz Pharmaceuticals PLC(a)(b)     26,620       4,376,328  
Johnson & Johnson(b)(c)     31,150       5,069,040  
McKesson Corp.(b)(c)     29,090       5,456,120  
Merck & Co., Inc.(b)     45,600       3,397,200  
Pfizer, Inc.(b)     146,200       5,650,630  
Repare Therapeutics, Inc.(a)(b)     64,600       2,112,420  
Thermo Fisher Scientific, Inc.(b)(c)     11,630       5,468,775  
UnitedHealth Group, Inc.(b)     10,240       4,083,712  
Universal Health Services, Inc. -  Class B(b)     27,370       4,061,982  
Veracyte, Inc.(a)(b)(c)     54,710       2,721,823  
Vertex Pharmaceuticals, Inc.(a)(b)(c)     11,735       2,560,577  
Zai Lab, Ltd. - ADR(a)(b)(c)     19,040       3,164,638  
Zoetis, Inc.(b)(c)     21,910       3,791,087  
              97,866,749  
                 
Industrials 6.96%                
Lyft, Inc. - Class A(a)(b)(c)     79,500       4,424,970  
TransDigm Group, Inc.(a)(b)     9,114       5,593,626  
Uber Technologies, Inc.(a)(b)     98,900       5,416,753  
              15,435,349  
                 
Information Technology 28.82%(d)                
Applied Materials, Inc.(b)     46,310       6,145,800  
BE Semiconductor Industries NV     25,738       2,083,127  
Crowdstrike Holdings, Inc. - Class A(a)(b)     8,010       1,670,165  
Dynatrace, Inc.(a)(b)     35,630       1,854,185  
Hon Hai Precision Industry Co., Ltd.     940,000       3,903,627  
Infineon Technologies AG     72,796       2,937,588  
Intel Corp.(b)     55,100       3,169,903  
Lam Research Corp.(b)     7,485       4,644,068  
Mastercard, Inc. - Class A(b)     13,624       5,205,185  
MediaTek, Inc.     109,500       4,645,312  
Micron Technology, Inc.(a)(b)     83,600       7,195,452  
Samsung Electronics Co., Ltd.     102,009       7,474,027  
SMART Global Holdings, Inc.(a)(b)     46,700       2,155,205  
Taiwan Semiconductor Manufacturing Co., Ltd.     251,000       5,391,473  
Twilio, Inc. - Class A(a)(b)     4,425       1,627,515  
Visa, Inc. - Class A(b)     16,190       3,781,336  
              63,883,968  

See Notes to the Financial Statements.

 

Semi-Annual Report | April 30, 2021 19
     

 

Clough Global Equity Fund Statement of Investments
  April 30, 2021 (Unaudited)

 

    Shares     Value  
Information Technology (continued)                
Community Healthcare Trust, Inc.(b)     44,950     $ 2,288,854  
Ventas, Inc.(b)     87,490       4,852,196  
Welltower, Inc.(b)     64,480     $ 4,837,934  
              11,978,984  
                 
TOTAL COMMON STOCKS                
(Cost $258,036,356)             311,988,595  
                 
Underlying Security/Expiration Date/
Exercise Price/Notional Amount
  Contracts     Value  
PURCHASED OPTIONS 0.46%                
Call Options Purchased 0.38%                
CRISPR Therapeutics AG                
07/16/21, $130, $6,104,055     465       774,225  
Eurodollar Future Option                
12/14/21, $100, $654,077,838     2,623       16,394  
12/14/21, $99.875, $997,450,000     4,000       50,000  
                 
Total Call Options Purchased                
(Cost $2,651,938)             840,619  
                 
Put Options Purchased 0.08%                
Invesco QQQ Trust Series 1™                
05/21/21, $306, $84,497,500     2,500       180,000  
                 
Total Put Options Purchased                
(Cost $2,585,739)             180,000  

 

Description/Maturity Date/Rate   Principal
Amount
    Value  
GOVERNMENT & AGENCY OBLIGATIONS 3.27%                
U.S. Treasury Bonds                
11/15/2040, 1.375%   $ 3,200,000       2,789,000  
08/15/2049, 2.250%     4,500,000       4,461,240  
                 
TOTAL GOVERNMENT & AGENCY OBLIGATIONS                
(Cost $7,335,122)             7,250,240  

 

    Shares     Value  
SHORT-TERM INVESTMENTS 4.29%                
Money Market Funds 4.29%                
BlackRock Liquidity Funds, T-Fund Portfolio - Institutional Class                
(0.027% 7-day yield)     9,518,755       9,518,755  
                 
TOTAL SHORT-TERM INVESTMENTS                
(Cost $9,518,755)             9,518,755  

 

    Shares     Value  
SHORT-TERM INVESTMENTS (continued)                
Total Investments - 148.78%                
(Cost $280,127,910)                $ 329,778,209  
                 
Liabilities in Excess of Other Assets - (48.78%)(i)             (108,130,218 )
                 
NET ASSETS - 100.00%           $ 221,647,991  

 

SCHEDULE OF SECURITIES SOLD SHORT(a)   Shares     Value  
COMMON STOCKS (4.40%)                
Consumer Discretionary (1.75%)                
DoorDash, Inc. - Class A     (27,130 )     (3,884,202 )
                 
Financials (0.80%)                
Deutsche Bank AG     (42,900 )     (600,600 )
Mediobanca Banca di Credito Finanziario SpA     (67,513 )     (763,140 )
Societe Generale S.A.     (14,196 )     (403,981 )
              (1,767,721 )
                 
Health Care (0.99%)                
Novocure, Ltd.     (10,685 )     (2,180,809 )
                 
Information Technology (0.86%)                
Temenos AG     (13,022 )     (1,912,127 )
                 
TOTAL COMMON STOCKS                
(Proceeds $7,956,248)             (9,744,859 )
                 
EXCHANGE TRADED FUNDS (9.82%)                
Invesco QQQ ™ Trust Series 1     (34,300 )     (11,593,057 )
iShares® Nasdaq Biotechnology ETF     (29,280 )     (4,527,859 )
iShares® U.S. Healthcare Providers ETF     (21,470 )     (5,642,108 )
                 
TOTAL EXCHANGE TRADED FUNDS                
(Proceeds $20,531,587)             (21,763,024 )
                 
TOTAL SECURITIES SOLD SHORT                
(Proceeds $28,487,835)           $ (31,507,883 )

 

Investment Abbreviations:

1D FEDEF - Federal Funds Effective Rate (Daily)

 

FEDEF Rates:

1D FEDEF - 1 Day FEDEF as of April 30, 2021 was 0.05%

See Notes to the Financial Statements.

 

20  www.cloughglobal.com
     

 

Clough Global Equity Fund Statement of Investments
  April 30, 2021 (Unaudited)

 

(a) Non-income producing security.
(b) Pledged security; a portion or all of the security is pledged as collateral for securities sold short, total return swap contracts, or borrowings. As of April 30, 2021, the aggregate value of those securities was $234,685,059, representing 105.88% of net assets. (See Note 1)
(c) Loaned security; a portion or all of the security is on loan as of April 30, 2021.
(d) When sector categorization is categorized by industry, no industry exceeds the 25% maximum specified in the Statement of Additional Information.
(e) All or a portion of the security is exempt from registration of the Securities Act of 1933. These securities may be resold in transactions exempt from registration under Rule 144A, normally to qualified institutional buyers. As of April 30, 2021, these securities had an aggregate value of $3,293,796 or 1.49% of net assets.
(f) Private Placement; these securities may only be resold in transactions exempt from registration under the Securities Act of 1933. As of April 30, 2021, these securities had an aggregate value of $3,346,639 or 1.51% of net assets.
(g) As a result of the use of significant unobservable inputs to determine fair value, these investments have been classified as Level 3 assets. (See Note 1)
(h) Fair valued security; valued by management in accordance with procedures approved by the Board. As of April 30, 2021, these securities had an aggregate value of $3,346,639 or 1.51% of total net assets.
(i) Includes cash which is being held as collateral for futures contracts, total return swap contracts and securities sold short.

 

For Fund compliance purposes, the Fund’s sector classifications refer to any one of the sector sub-classifications used by one or more widely recognized market indexes, and/or as defined by Fund management. This definition may not apply for purposes of this report, which may combine sector sub-classifications for reporting ease. Sectors are shown as a percent of net assets. These sector classifications are unaudited.

 

 

See Notes to the Financial Statements.

 

Semi-Annual Report | April 30, 2021 21
     

 

Clough Global Equity Fund Statement of Investments
  April 30, 2021 (Unaudited)

 

FUTURES CONTRACTS

 

Description   Counterparty   Position   Contracts   Expiration
Date
  Notional
Value
    Value     Unrealized
Appreciation/
(Depreciation)
 
EURODOLLAR 90 DAY   Morgan Stanley   Long   1,653   June 2021   $ 412,485,488     $ 2,241,673     $ 2,241,673  
                    $ 412,485,488     $ 2,241,673     $ 2,241,673  

 

TOTAL RETURN SWAP CONTRACTS

 

Counter Party   Reference
Entity/Obligation
  Notional
Amount
    Floating Rate
Paid by the Fund*
  Floating
Rate Index
  Termination
Date
  Value     Upfront
Premiums
Paid/(Received)
    Net Unrealized
Appreciation
 
Morgan Stanley   Zoomlion Heavy Industry Science   $ 3,980,980     1D FEDEF - 250 bps   1D FEDEF   01/03/2022   $ 4,844,628     $     $ 863,648  
TOTAL       $ 3,980,980                 $ 4,844,628     $     $ 863,648  

 

* Payment made when swap contract closes.

 

CALL OPTIONS WRITTEN

 

Underlying Security   Counterparty   Expiration
Date
  Strike
Price
    Contracts     Notional
Amount
    Value  
Invesco QQQ Trust Series 1™   Morgan Stanley   05/21/2021   $ 290     (2,500)   $ (84,497,500 )   $ (67,500 )
                                  $ (84,497,500 )   $ (67,500 )

 

See Notes to the Financial Statements.

 

22  www.cloughglobal.com
     

 

Clough Global Opportunities Fund Statement of Investments
  April 30, 2021 (Unaudited)

 

    Shares     Value  
COMMON STOCKS 135.44%            
Communication Services 5.40%                
Alphabet, Inc. - Class C(a)(b)(c)     2,604     $ 6,275,952  
ViacomCBS, Inc. - Class B     168,400       6,907,768  
Walt Disney Co.(a)(b)     54,790       10,192,036  
              23,375,756  
                 

Consumer Discretionary 22.20%

               

ANTA Sports Products, Ltd.

   

221,000

      3,968,910  

Booking Holdings, Inc.(a)(b)

   

4,684

      11,551,119  

Boyd Gaming Corp.(a)(b)

    57,400       3,797,010  

Carnival Corp.(a)(b)(c)

    585,440       16,368,903  

Carvana Co.(a)(b)

    38,978       11,118,864  

DR Horton, Inc.(b)

    82,900       8,148,241  

Lennar Corp. - Class A(b)

    73,699       7,635,216  

Royal Caribbean Cruises Ltd.(a)(b)(c)

    189,747       16,498,502  
Sands China, Ltd.(a)     1,454,800       6,910,897  

Six Flags Entertainment Corp.(a)(b)

    142,700       6,704,046  

Tesla, Inc.(a)(b)(c)

    4,910       3,483,350  
              96,185,058  
                 
Financials 25.07%(d)                
AGNC Investment Corp.(b)(c)     564,280       10,117,540  
Annaly Capital Management, Inc.(b)(c)     1,872,100       16,998,668  
Bank of America Corp.(b)(c)     236,821       9,598,355  
Barings BDC, Inc.(b)     244,400       2,536,872  
Citigroup, Inc.(b)(c)     97,491       6,945,259  
Equitable Holdings, Inc.(b)     391,200       13,390,776  
First American Financial Corp.(b)(c)     204,270       13,175,415  
Golub Capital BDC, Inc.(b)     124,896       1,955,871  
Hong Kong Exchanges and Clearing, Ltd.     153,400       9,281,710  
JPMorgan Chase & Co.(b)     39,597       6,090,415  
PennyMac Financial Services, Inc.(b)     255,992       15,413,278  
Sixth Street Specialty Lending, Inc.(b)(c)     140,907       3,139,408  
              108,643,567  
                 
Health Care 42.57%(d)                
1Life Healthcare, Inc.(a)(b)(c)     234,300       10,194,393  
AbbVie, Inc.(b)     32,030       3,571,345  
AbCellera Biologics, Inc.(a)(b)(c)     268,700       7,160,855  
Acadia Healthcare Co., Inc.(a)(b)(c)     124,240       7,568,701  
Amphivena Therapeutics, Inc. -  Series C(a)(e)(f)(g)(h)     780,326       3,339,155  
Anthem, Inc.(b)(c)     23,165       8,788,569  
Apellis Pharmaceuticals, Inc.(a)(b)(c)     172,216       8,726,185  
Arcellx, Inc. - Series B(a)(e)(f)(g)(h)     969,881       2,033,841  
Arcellx, Inc. - Series C(a)(e)(f)(g)(h)     180,924       379,398  
Centrexion Therapeutics Corp.(a)(f)(g)(h)     14,166       172,641  
Centrexion Therapeutics Corp.(a)(e)(f)(g)(h)     217,952       2,656,181  

 

    Shares     Value  
Health Care (continued)                
Checkmate Pharmaceuticals, Inc.(a)(b)(c)     560,446     $ 4,057,629  
Covetrus, Inc.(a)(b)     196,700       5,635,455  
CRISPR Therapeutics AG(a)(b)     68,398       8,978,605  
Hologic, Inc.(a)(b)     75,690       4,961,480  
Humana, Inc.(b)     20,085       8,942,645  
Jazz Pharmaceuticals PLC(a)(b)     52,720       8,667,168  
Johnson & Johnson(b)     61,670       10,035,559  
McKesson Corp.(b)(c)     57,265       10,740,623  
Merck & Co., Inc.(b)     90,300       6,727,350  
Pfizer, Inc.(b)     289,400       11,185,310  
Repare Therapeutics, Inc.(a)(b)(c)     128,479       4,201,263  
Thermo Fisher Scientific, Inc.(b)(c)     22,843       10,741,464  
UnitedHealth Group, Inc.(b)     20,160       8,039,808  
Universal Health Services, Inc. -  Class B(b)(c)     53,855       7,992,621  
Vertex Pharmaceuticals, Inc.(a)(b)(c)     23,503       5,128,355  
Zai Lab, Ltd. - ADR(a)(b)(c)     38,440       6,389,112  
Zoetis, Inc.(b)(c)     43,020       7,443,751  
              184,459,462  
                 
Industrials 7.01%                
Lyft, Inc. - Class A(a)(b)     156,350       8,702,441  
TransDigm Group, Inc.(a)(b)     17,913       10,993,925  
Uber Technologies, Inc.(a)(b)     194,800       10,669,196  
              30,365,562  
                 
Information Technology 27.92%(d)                
Applied Materials, Inc.(b)(c)     91,170       12,099,171  
BE Semiconductor Industries NV     50,903       4,119,877  
Crowdstrike Holdings, Inc. - Class A(a)(b)(c)     8,825       1,840,101  
Dynatrace, Inc.(a)(b)     69,930       3,639,157  
Hon Hai Precision Industry Co., Ltd.     1,859,000       7,720,044  
Infineon Technologies AG     143,305       5,782,887  
Intel Corp.(b)     108,500       6,242,005  
Lam Research Corp.(b)     10,940       6,787,723  
Mastercard, Inc. - Class A(b)     26,795       10,237,298  
MediaTek, Inc.     215,900       9,159,113  
Micron Technology, Inc.(a)(b)(c)     165,000       14,201,550  
Samsung Electronics Co., Ltd.     202,152       14,811,334  
SMART Global Holdings, Inc.(a)(b)     92,200       4,255,030  
Taiwan Semiconductor Manufacturing Co., Ltd.     505,000       10,847,385  
Twilio, Inc. - Class A(a)(b)(c)     4,895       1,800,381  
Visa, Inc. - Class A(b)     31,920       7,455,235  
              120,998,291  
                 
Real Estate 5.27%                
Community Healthcare Trust, Inc.(b)     74,261       3,781,370  
Ventas, Inc.(b)     172,120       9,545,775  

See Notes to the Financial Statements.

 

Semi-Annual Report | April 30, 2021 23
     

 

Clough Global Opportunities Fund Statement of Investments
  April 30, 2021 (Unaudited)

 

    Shares     Value  
Real Estate (continued)                
Welltower, Inc.(b)     126,880     $ 9,519,807  
              22,846,952  
                 
TOTAL COMMON STOCKS                
(Cost $489,105,146)             586,874,648  

 

Underlying Security/Expiration Date/
Exercise Price/Notional Amount
  Contracts     Value  
PURCHASED OPTIONS 0.47%      
Call Options Purchased 0.39%      
CRISPR Therapeutics AG                
07/16/21, $130, $12,050,586     918       1,528,470  
Eurodollar Future Option                
12/14/21, $100, $1,322,369,338     5,303       33,144  
12/14/21, $99.875, $1,969,963,750     7,900       98,750  
                 
Total Call Options Purchased                
(Cost $5,268,072)             1,660,364  
                 
Put Options Purchased 0.08%                
Invesco QQQ Trust Series 1™                
05/21/21, $306, $168,995,000     5,000       360,000  
                 
Total Put Options Purchased                
(Cost $5,171,479)             360,000  

 

Description/Maturity Date/Rate   Principal
Amount
    Value  
CORPORATE BONDS 6.60%      
Communication Services                
Alphabet, Inc.                
08/15/2050, 2.050%(b)   $ 4,300,000       3,614,505  
                 
Consumer Discretionary                
Amazon.com, Inc.                
06/03/2050, 2.500%     2,700,000       2,431,588  
                 
Health Care                
AbbVie, Inc.                
03/15/2035, 4.550%     2,000,000       2,370,865  
Johnson & Johnson                
09/01/2040, 2.100%     3,000,000       2,741,678  
09/01/2060, 2.450%     2,500,000       2,224,442  
Novartis Capital Corp.                
08/14/2050, 2.750%     1,000,000       962,784  
              8,299,769  

 

Description/Maturity Date/Rate   Principal
Amount
    Value  
CORPORATE BONDS (continued)      
Industrials                
FedEx Corp.                
01/15/2044, 5.100%(b)   $ 1,700,000     $ 2,115,680  
IHS Markit, Ltd.                
05/01/2029, 4.250%     2,000,000       2,268,410  
              4,384,090  
                 
Information Technology                
Apple, Inc.                
08/20/2060, 2.550%(b)     4,980,000       4,390,870  
Microsoft Corp.                
06/01/2050, 2.525%     3,000,000       2,799,415  
              7,190,285  
                 
Real Estate                
Sunac China Holdings, Ltd.                
04/19/2023, 8.350%(i)     2,250,000       2,355,750  
Times China Holdings, Ltd.                
06/04/2021, 7.850%(i)     333,333       334,362  
              2,690,112  
                 
TOTAL CORPORATE BONDS                
(Cost $28,831,189)             28,610,349  
                 
CONVERTIBLE CORPORATE BONDS 0.41%                
Financials                
Starwood Property Trust, Inc.                
04/01/2023, 4.375%     1,200,000       1,276,560  
Two Harbors Investment Corp.                
01/15/2022, 6.250%     500,000       512,500  
              1,789,060  
                 
TOTAL CONVERTIBLE CORPORATE BONDS      
(Cost $1,712,362)             1,789,060  
                 
GOVERNMENT & AGENCY OBLIGATIONS 2.76%      
U.S. Treasury Bonds                
11/15/2040, 1.375%     6,300,000       5,490,844  
08/15/2049, 2.250%     6,500,000       6,444,013  
                 
TOTAL GOVERNMENT & AGENCY OBLIGATIONS      
(Cost $12,066,719)             11,934,857  

 

    Shares     Value  
SHORT-TERM INVESTMENTS 4.19%      
Money Market Funds 4.19%      
BlackRock Liquidity Funds, T-Fund Portfolio - Institutional Class                
(0.027% 7-day yield)     18,173,014       18,173,014  

 

See Notes to the Financial Statements.

 

24  www.cloughglobal.com
     

 

Clough Global Opportunities Fund Statement of Investments
  April 30, 2021 (Unaudited)

 

    Shares     Value  
SHORT-TERM INVESTMENTS (continued)      
                 
TOTAL SHORT-TERM INVESTMENTS      
(Cost $18,173,014)                $ 18,173,014  
                 
Total Investments - 149.87%                
(Cost $560,327,981)             649,402,292  
                 
Liabilities in Excess of Other Assets - (49.87%)(j)             (216,093,160 )
                 
NET ASSETS - 100.00%           $ 433,309,132  

 

SCHEDULE OF SECURITIES SOLD SHORT(a)   Shares     Value  
COMMON STOCKS (4.52%)      
Consumer Discretionary (1.76%)      
DoorDash, Inc. - Class A     (53,370 )     (7,640,983 )
                 
Financials (0.88%)                
Deutsche Bank AG     (84,619 )     (1,184,666 )
Mediobanca Banca di Credito Finanziario SpA     (157,505 )     (1,780,374 )
Societe Generale S.A.     (30,516 )     (868,406 )
              (3,833,446 )
                 
Health Care (1.00%)                
Novocure, Ltd.     (21,150 )     (4,316,715 )
                 
Information Technology (0.88%)                
Temenos AG     (25,918 )     (3,805,753 )
                 
TOTAL COMMON STOCKS                
(Proceeds $15,996,834)             (19,596,897 )
                 
EXCHANGE TRADED FUNDS (9.90%)      
Invesco QQQ ™ Trust Series 1     (67,600 )     (22,848,124 )
iShares® Nasdaq Biotechnology ETF     (57,855 )     (8,946,697 )
iShares® U.S. Healthcare Providers ETF     (42,260 )     (11,105,518 )
                 
TOTAL EXCHANGE TRADED FUNDS      
(Proceeds $40,469,493)             (42,900,339 )
                 
TOTAL SECURITIES SOLD SHORT      
(Proceeds $56,466,327)           $ (62,497,236 )

 

Investment Abbreviations:

1D FEDEF - Federal Funds Effective Rate (Daily)

 

FEDEF Rates:

1D FEDEF - 1 Day FEDEF as of April 30, 2021 was 0.05%

 

(a) Non-income producing security.
(b) Pledged security; a portion or all of the security is pledged as collateral for securities sold short, total return swap contracts, or borrowings. As of April 30, 2021, the aggregate value of those securities was $462,086,241, representing 106.64% of net assets. (See Note 1)
(c) Loaned security; a portion or all of the security is on loan as of April 30, 2021.
(d) When sector categorization is categorized by industry, no industry exceeds the 25% maximum specified in the Statement of Additional Information.
(e) Security is exempt from registration of the Securities Act of 1933. These securities may be resold in transactions exempt from registration under Rule 144A, normally to qualified institutional buyers. As of April 30, 2021, these securities had an aggregate value of $8,408,575 or 1.94% of net assets.
(f) Private Placement; these securities may only be resold in transactions exempt from registration under the Securities Act of 1933. As of April 30, 2021, these securities had an aggregate value of $8,581,216 or 1.98% of net assets.
(g) As a result of the use of significant unobservable inputs to determine fair value, these investments have been classified as Level 3 assets. (See Note 1)
(h) Fair valued security; valued by management in accordance with procedures approved by the Board. As of April 30, 2021, these securities had an aggregate value of $8,581,216 or 1.98% of total net assets.
(i) Securities were purchased pursuant to Regulation S under the Securities Act of 1933, which exempts securities offered and sold outside of the United States from registration. Such securities cannot be sold in the United States without either an effective registration statement filed pursuant to the Securities Act of 1933, or pursuant to an exemption from registration. These securities have been deemed liquid under guidelines approved by the Fund's Board of Trustees. As of April 30, 2021, the aggregate value of those securities was $2,690,112, representing 0.62% of net assets.
(j) Includes cash which is being held as collateral for futures contracts, total return swap contracts and securities sold short.

 

For Fund compliance purposes, the Fund’s sector classifications refer to any one of the sector sub-classifications used by one or more widely recognized market indexes, and/or as defined by Fund management. This definition may not apply for purposes of this report, which may combine sector sub-classifications for reporting ease. Sectors are shown as a percent of net assets. These sector classifications are unaudited.

See Notes to the Financial Statements.

 

Semi-Annual Report | April 30, 2021 25
     

 

Clough Global Opportunities Fund Statement of Investments
  April 30, 2021 (Unaudited)

 

FUTURES CONTRACTS

 

Description   Counterparty   Position   Contracts   Expiration
Date
  Notional
Value
    Value    

Unrealized

Appreciation/
(Depreciation)

 
EURODOLLAR 90 DAY   Morgan Stanley   Long   3,322   June 2021   $ 828,963,575     $ 4,465,400     $ 4,465,400  
                    $ 828,963,575     $ 4,465,400     $ 4,465,400  

 

TOTAL RETURN SWAP CONTRACTS

 

Counter Party   Reference Entity/Obligation   Notional
Amount
    Floating Rate
Paid by the Fund*
  Floating
Rate Index
  Termination
Date
  Value    

Upfront
Premiums

Paid/(Received)

    Net Unrealized
Appreciation
 
Morgan Stanley   Zoomlion Heavy Industry Science   $ 7,941,137     1D FEDEF - 250 bps   1D FEDEF   01/03/2022   $ 9,719,906     $     $ 1,778,769  
TOTAL       $ 7,941,137                 $ 9,719,906     $     $ 1,778,769  

 

* Payment made when swap contract closes.

 

CALL OPTIONS WRITTEN

 

Underlying Security   Counterparty   Expiration
Date
  Strike
Price
    Contracts   Notional
Amount
    Value  
Invesco QQQ Trust Series 1™   Morgan Stanley   05/21/2021   $ 290     (5,000)   $ (168,995,000 )   $ (135,000 )
                        $ (168,995,000 )   $ (135,000 )

 

See Notes to the Financial Statements.

 

26  www.cloughglobal.com
     

 

Clough Global Funds Statements of Assets and Liabilities
  April 30, 2021 (Unaudited)

 

    Clough Global
Dividend and
Income Fund
    Clough Global
Equity Fund
    Clough Global
Opportunities Fund
 
ASSETS:                  
                         
Investments, at value (Cost - see below)*   $ 150,305,651     $ 329,778,209     $ 649,402,292  
Cash     108,188       200,028       442,983  
Foreign currency, at value (Cost $8, $– and $7)     8             7  
Deposit with broker for futures contracts     1,221,656       2,241,673       4,465,400  
Deposit with broker for securities sold short     13,652,806       29,541,761       58,174,838  
Deposit with broker for total return swap contracts     1,141,111       3,004,712       6,386,481  
Deposit with broker for written options     47,369       105,679       210,322  
Unrealized appreciation on total return swap contracts           863,648       1,778,769  
Dividends receivable     63,308       116,451       218,385  
Interest receivable     286,296       37,049       290,517  
Receivable for investments sold     1,838       335,508       672,972  
Other assets     2,736       2,751       2,781  
Deferred offering costs     35,479       35,479       42,676  
Total Assets     166,866,446       366,262,948       722,088,423  
                         
LIABILITIES:                        
                         
Notes payable and other debt     50,537,331       107,579,467       212,657,086  
Variation margin payable for futures contracts     1,022,259       1,902,181       3,783,366  
Securities sold short, at value (Proceeds $12,649,891, $28,487,835 and $56,466,327)     14,006,823       31,507,883       62,497,236  
Written options, at value (Premiums received $747,484, $1,698,827 and $3,397,654)     29,700       67,500       135,000  
Payable for investments purchased     1,738,477       3,131,735       8,808,082  
Unrealized depreciation on total return swap contracts     192,659              
Payable for total return swap contracts payments     17,593       56,840       114,436  
Accrued investment advisory fee     95,299       271,322       592,970  
Accrued administration fee     39,757       97,717       190,771  
Other payables and accrued expenses     310       312       344  
Total Liabilities     67,680,208       144,614,957       288,779,291  
Net Assets   $ 99,186,238     $ 221,647,991     $ 433,309,132  
Cost of Investments   $ 129,529,197     $ 280,127,910     $ 560,327,981  
                         
COMPOSITION OF NET ASSETS:                        
                         
Paid-in capital   $ 87,844,973     $ 157,273,660     $ 320,821,987  
Distributable earnings/(Accumulated loss)     11,341,265       64,374,331       112,487,145  
Net Assets   $ 99,186,238     $ 221,647,991     $ 433,309,132  
Shares of common stock outstanding of no par value, unlimited shares authorized     8,415,040       13,230,829       32,224,412  
Net asset value per share   $ 11.79     $ 16.75     $ 13.45  
                         
* Securities Loaned, at value   $ 39,657,504     $ 85,710,169     $ 174,182,876  

 

See Notes to the Financial Statements.

 

Semi-Annual Report | April 30, 2021 27
     

 

Clough Global Funds Statements of Operations
  For the six months ended April 30, 2021 (Unaudited)

 

    Clough Global
Dividend and
Income Fund
    Clough Global
Equity Fund
    Clough Global
Opportunities Fund
 
INVESTMENT INCOME:                        
                         
Dividends (net of foreign withholding taxes of $34,993, $42,091 and $83,659)   $ 1,417,842     $ 2,220,236     $ 4,015,190  
Interest on investment securities     373,590       33,892       406,860  
Hypothecated securities income (See Note 6)     10,187       42,112       83,638  
Total Income     1,801,619       2,296,240       4,505,688  
                         
EXPENSES:                        
                         
Investment advisory fee     553,583       1,535,375       3,366,629  
Administration fee     230,886       551,410       1,082,820  
Interest on loan     230,301       464,784       918,479  
Trustees fee     71,799       71,799       71,799  
Dividend expense - short sales     55,317       110,128       219,465  
Other expenses     172       147       205  
Total Expenses     1,142,058       2,733,643       5,659,397  
Net Investment Income/(Loss)     659,561       (437,403 )     (1,153,709 )
                         
NET REALIZED GAIN/(LOSS) ON:                        
Investment securities     7,640,817       32,669,775       63,705,490  
Futures contracts     1,281,953       2,177,585       4,375,766  
Securities sold short     (3,243,020 )     (6,316,622 )     (12,635,512 )
Written options     302,914       171,145       146,207  
Total return swap contracts     3,109,966       6,862,539       13,708,529  
Foreign currency transactions     (14,825 )     (38,265 )     (75,506 )
Net realized gain     9,077,805       35,526,157       69,224,974  
NET CHANGE IN UNREALIZED APPRECIATION/(DEPRECIATION) ON:                        
Investment securities     11,626,831       32,588,654       58,590,552  
Futures contracts     (1,115,176 )     (1,879,513 )     (3,776,250 )
Securities sold short     (1,394,511 )     (3,102,933 )     (6,340,230 )
Written options     717,784       1,631,327       3,262,654  
Total return swap contracts     (1,539,875 )     (2,203,418 )     (4,372,591 )
Translation of assets and liabilities denominated in foreign currencies     552       1,578       2,209  
Net change in unrealized appreciation     8,295,605       27,035,695       47,366,344  
Net Realized and Unrealized Gain     17,373,410       62,561,852       116,591,318  
Net Increase in Net Assets Attributable to Common Shares from Operations   $ 18,032,971     $ 62,124,449     $ 115,437,609  

 

See Notes to the Financial Statements.

 

28  www.cloughglobal.com
     

 

Clough Global Dividend and Income Fund Statements of Changes in Net Assets

 

    For the
Six Months Ended
April 30, 2021
(Unaudited)
    For the
Year Ended
October 31, 2020
 
             
COMMON SHAREHOLDERS OPERATIONS:                
                 
Net investment income   $ 659,561     $ 1,015,242  
Net realized gain/(loss)     9,077,805       (13,521,501 )
Net change in unrealized appreciation     8,295,605       5,996,960  
Net Increase/(Decrease) in Net Assets From Operations     18,032,971       (6,509,299 )
                 
DISTRIBUTIONS TO COMMON SHAREHOLDERS:                
From distributable earnings     (4,947,812 )     (1,688,271 )
Tax return of capital           (8,474,985 )
Net Decrease in Net Assets from Distributions     (4,947,812 )     (10,163,256 )
                 
CAPITAL SHARE TRANSACTIONS                
Reinvestment of dividends     85,021        
Offering costs(a)           18,333  
Net Increase in Net Assets From Share Transactions     85,021       18,333  
                 
Net Increase/(Decrease) in Net Assets Attributable to Common Shares     13,170,180       (16,654,222 )
                 
NET ASSETS ATTRIBUABLE TO COMMON SHARES:                
                 
Beginning of period     86,016,058       102,670,280  
End of period   $ 99,186,238     $ 86,016,058  

 

(a) Offering expenses in fiscal year relate to offering from prior fiscal year.

 

See Notes to the Financial Statements.

 

Semi-Annual Report | April 30, 2021 29
     

 

Clough Global Equity Fund Statements of Changes in Net Assets

 

   

For the
Six Months Ended
April 30, 2021

(Unaudited)

    For the
Year Ended
October 31, 2020
 
             
COMMON SHAREHOLDERS OPERATIONS:                
                 
Net investment loss   $ (437,403 )   $ (1,187,190 )
Net realized gain     35,526,157       1,379,695  
Net change in unrealized appreciation     27,035,695       15,430,483  
Net Increase in Net Assets From Operations     62,124,449       15,622,988  
                 
DISTRIBUTIONS TO COMMON SHAREHOLDERS:                
From distributable earnings     (10,018,383 )     (17,436,909 )
Net Decrease in Net Assets from Distributions     (10,018,383 )     (17,436,909 )
                 
CAPITAL SHARE TRANSACTIONS                
Offering costs(a)           18,856  
Net Increase in Net Assets From Share Transactions           18,856  
                 
Net Increase/(Decrease) in Net Assets Attributable to Common Shares     52,106,066       (1,795,065 )
                 
NET ASSETS ATTRIBUABLE TO COMMON SHARES:                
                 
Beginning of period     169,541,925       171,336,990  
End of period   $ 221,647,991     $ 169,541,925  

 

(a) Offering expenses in fiscal year relate to offering from prior fiscal year.

 

See Notes to the Financial Statements.

 

30  www.cloughglobal.com
     

 

Clough Global Opportunities Fund Statements of Changes in Net Assets

 

    For the
Six Months Ended
April 30, 2021
(Unaudited)
    For the
Year Ended
October 31, 2020
 
             
COMMON SHAREHOLDERS OPERATIONS:                
                 
Net investment loss   $ (1,153,709 )   $ (2,442,073 )
Net realized gain     69,224,974       10,206,130  
Net change in unrealized appreciation     47,366,344       24,234,871  
Net Increase in Net Assets From Operations     115,437,609       31,998,928  
                 
DISTRIBUTIONS TO COMMON SHAREHOLDERS:                
From distributable earnings     (19,792,233 )     (27,266,481 )
Tax return of capital           (7,249,086 )
Net Decrease in Net Assets from Distributions     (19,792,233 )     (34,515,567 )
                 
CAPITAL SHARE TRANSACTIONS                
Offering costs(a)     (97,505 )      
Net Decrease in Net Assets From Share Transactions     (97,505 )      
                 
Net Increase/(Decrease) in Net Assets Attributable to Common Shares     95,547,871       (2,516,639 )
                 
NET ASSETS ATTRIBUABLE TO COMMON SHARES:                
                 
Beginning of period     337,761,261       340,277,900  
End of period   $ 433,309,132     $ 337,761,261  

 

(a) Offering expenses in fiscal year relate to offering from prior fiscal year.

 

See Notes to the Financial Statements.

 

Semi-Annual Report | April 30, 2021 31
     

 

Clough Global Funds Statements of Cash Flows
  For the six months ended April 30, 2021 (Unaudited)

 

    Clough Global
Dividend and
Income Fund
    Clough Global
Equity Fund
   

Clough Global

Opportunities Fund

 
CASH FLOWS FROM OPERATING ACTIVITIES:                        
Net increase in net assets from operations   $ 18,032,971     $ 62,124,449     $ 115,437,609  
Adjustments to reconcile net decrease in net assets from operations to net cash provided by operating activities:                        
Purchase of investment securities     (103,993,069 )     (289,982,255 )     (609,034,955 )
Proceeds from disposition of investment securities     108,461,969       295,484,385       616,878,902  
Proceeds from securities sold short transactions     17,680,007       41,756,387       82,435,646  
Cover securities sold short transactions     (18,104,037 )     (37,629,061 )     (75,226,580 )
Premiums received from written options transactions     1,084,735       2,569,819       5,151,103  
Premiums paid on closing written options transactions     (34,338 )     (677,532 )     (1,553,843 )
Proceeds from purchased options transactions     2,043,594       5,420,616       10,759,182  
Purchased options transactions     (2,701,918 )     (9,209,332 )     (17,567,495 )
Net proceeds from/(purchases of) short-term investment securities     651,658       (6,211,517 )     (8,514,793 )
Net realized (gain)/loss on:                        
Investment securities     (7,640,817 )     (32,669,775 )     (63,705,490 )
Securities sold short     3,243,020       6,316,622       12,635,512  
Written options     (302,914 )     (171,145 )     (146,207 )
Net change in unrealized (appreciation)/depreciation on:                        
Investment securities     (11,626,831 )     (32,588,654 )     (58,590,552 )
Securities sold short     1,394,511       3,102,933       6,340,230  
Written options     (717,784 )     (1,631,327 )     (3,262,654 )
Total return swap contracts     1,539,875       2,203,418       4,372,591  
Net amortization/(accretion) of premiums/discounts     149,398       74,567       272,106  
(Increase)/Decrease in assets:                        
Dividends receivable     3,824       14,168       30,177  
Interest receivable     (39,647 )     57,248       104,635  
Deferred offering costs     (35,479 )     (35,479 )     62,137  
Other assets     (2,736 )     (2,751 )     (2,781 )
Increase/(Decrease) in liabilities:                        
Interest due on loan payable     (2,747 )     6,454       12,251  
Variation margin payable for futures contracts     999,559       1,862,656       3,703,903  
Payable for total return swap contracts payments     (23,049 )     (46,349 )     (92,617 )
Interest payable - margin account     (2,869 )     (5,236 )     (10,737 )
Accrued investment advisory fee     4,309       45,601       95,140  
Accrued administration fee     1,779       16,529       30,534  
Other payables and accrued expenses     (4,820 )     (16,870 )     133  
Net cash provided by (used in) operating activities     10,058,154       10,178,569       20,613,087  
                         
CASH FLOWS FROM FINANCING ACTIVITIES:                        
Loan payable           15,500,000       30,000,000  
Reinvestment of dividends     85,021              
Offering costs                 (97,505 )
Cash distributions paid     (4,947,812 )     (10,018,383 )     (19,792,233 )
Net cash used in financing activities     (4,862,791 )     5,481,617       10,110,262  
                         
                         
Net Change in Cash, Restricted Cash and Foreign Rates on Cash     5,195,363       15,660,186       30,723,349  
                         
Cash and restricted cash, beginning of year   $ 10,975,775     $ 19,433,667     $ 38,956,682  
Cash and restricted cash, end of year   $ 16,171,138     $ 35,093,853     $ 69,680,031  

 

See Notes to the Financial Statements.

 

32  www.cloughglobal.com
     

 

Clough Global Funds Statements of Cash Flows
  For the six months ended April 30, 2021 (Unaudited)

 

    Clough Global
Dividend and
Income Fund
    Clough Global
Equity Fund
    Clough Global
Opportunities Fund
 
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION:                        
Cash paid during the year for interest from loan payable:   $ 233,048     $ 458,330     $ 906,228  
                         
RECONCILIATION OF RESTRICTED AND UNRESTRICTED CASH AT THE BEGINNING OF YEAR TO THE STATEMENT OF ASSETS AND LIABILITIES                        
Cash   $ 293,873     $ 413,608     $ 470,621  
Foreign Currency, at value     8       13       7  
Deposit with broker                        
Futures     520,895       903,229       1,816,307  
Securities sold short     6,870,791       11,915,140       23,968,068  
Total return swaps     3,290,208       6,201,677       12,701,679  
                         
RECONCILIATION OF RESTRICTED AND UNRESTRICTED CASH AT THE END OF YEAR TO THE STATEMENT OF ASSETS AND LIABILITIES                        
Cash   $ 108,188     $ 200,028     $ 442,983  
Foreign Currency, at value     8             7  
Deposit with broker                        
Futures     1,221,656       2,241,673       4,465,400  
Securities sold short     13,652,806       29,541,761       58,174,838  
Total return swaps     1,141,111       3,004,712       6,386,481  
Written options     47,369       105,679       210,322  

 

See Notes to the Financial Statements.

 

Semi-Annual Report | April 30, 2021 33
     

 

Clough Global Dividend and Income Fund Financial Highlights

 

For a share outstanding throughout the years indicated

 

    For the Six Months Ended April 30, 2021 (Unaudited)     For the Year Ended October 31, 2020     For the Year Ended October 31, 2019     For the Year Ended October 31, 2018     For the Year Ended October 31, 2017     For the Year Ended October 31, 2016(1)  
PER COMMON SHARE OPERATING PERFORMANCE:                                                
Net asset value - beginning of period   $ 10.23     $ 12.21     $ 12.54     $ 14.76     $ 13.79     $ 15.65  
Income from investment operations:                                                
Net investment income/(loss)*     0.08       0.12       0.16       0.22       0.12       (0.01 )
Net realized and unrealized gain/(loss) on investments     2.07       (0.89 )     1.08       (1.15 )     2.14       (0.46 )
Total Income/(Loss) from Investment Operations     2.15       (0.77 )     1.24       (0.93 )     2.26       (0.47 )
                                                 
DISTRIBUTIONS TO COMMON SHAREHOLDERS FROM:                                                
Net investment income     (0.59 )     (0.20 )     (0.06 )           (0.37 )      
Net realized gains                 (0.53 )     (0.17 )           (0.59 )
Tax return of capital           (1.01 )     (0.64 )     (1.23 )     (0.92 )     (0.80 )
Total Distributions to Common Shareholders     (0.59 )     (1.21 )     (1.23 )     (1.40 )     (1.29 )     (1.39 )
                                                 
CAPITAL SHARE TRANSACTIONS:                                                
Accretive/(Dilutive) impact of capital share transactions                 (0.34 )     0.11       (0.00 )(2)      
Total Capital Share Transactions                 (0.34 )     0.11       (0.00 )(2)      
Net asset value - end of period   $ 11.79     $ 10.23     $ 12.21     $ 12.54     $ 14.76     $ 13.79  
Market price - end of period   $ 11.99     $ 8.73     $ 10.96     $ 11.28     $ 14.16     $ 11.62  
                                                 
Total Investment Return - Net Asset Value:(3)     21.60 %     (4.91 )%     11.75 %     (5.18 )%     17.89 %     (1.14 )%
Total Investment Return - Market Price:(4)     44.91 %     (9.59 )%     11.51 %     (11.10 )%     34.22 %     (4.14 )%
                                                 
RATIOS AND SUPPLEMENTAL DATA:                                                
Net assets attributable to common shares, end of period (000s)   $ 99,186     $ 86,016     $ 102,670     $ 87,880     $ 153,233     $ 143,319  
Ratios to average net assets attributable to common shareholders:                                                
Total expenses     2.37 %(5)      2.98 %     3.66 %     3.48 %     2.94 %     3.65 %
Total expenses excluding interest expense and dividends on short sales expense     1.78 %(5)      1.89 %     1.85 %     1.84 %     1.99 %     2.09 %
Net investment income/(loss)     1.37 %(5)      1.10 %     1.30 %     1.55 %     0.87 %     (0.08 )%
Portfolio turnover rate(6)     75 %     229 %     253 %     109 %     149 %     205 %
                                                 
Borrowings at End of Period                                                
Aggregate Amount Outstanding (000s)   $ 50,500     $ 50,500     $ 49,500     $ 55,000     $ 72,000     $ 72,000  
Asset Coverage Per $1,000   $ 2,964     $ 2,703     $ 3,074     $ 2,598     $ 3,128     $ 2,991  

 

See Notes to the Financial Statements.

 

34 www.cloughglobal.com
     

 

Clough Global Dividend and Income Fund Financial Highlights

 

For a share outstanding throughout the years indicated

 

* Based on average shares outstanding.
(1) Less than $0.005.
(2) Total investment return - Net Asset Value is calculated based on the funds calculated net asset value, assuming a purchase of a common share at the opening on the first day and a sale at the closing on the last day of each period reported and that all rights in the Fund's rights offering were exercised. Dividends and distributions, if any, are assumed for purposes of this calculation to be reinvested at price obtained under the Fund's dividend reinvestment plan. Total investment returns do not reflect brokerage commissions on the purchase or sale of the Fund's common shares. Past performance is not a guarantee of future results. Total returns for the period indicated are not annualized. Total returns include adjustments in accordance with accounting principles generally accepted in the United States of America for financial reporting purposes and may differ from those reported to the market.
(3) In 2016, 0.07% of the Fund's total return consists of a reimbursement by the Adviser for a realized investment loss. Excluding this item, total return would have been (5.43)%.
(4) Total investment return - Market Price is calculated based on where the fund is trading in the market, assuming a purchase of a common share at the opening on the first day and a sale at the closing on the last day of each period reported. Total investment returns do not reflect brokerage commissions on the purchase or sale of the Fund's common shares. Past performance is not a guarantee of future results. Total returns for the period indicated are not annualized.
(5) Annualized.
(6) Portfolio turnover rate for periods less than one full year have not been annualized.

 

See Notes to the Financial Statements.

 

Semi-Annual Report | April 30, 2021 35
     

 

Clough Global Equity Fund Financial Highlights

 

For a share outstanding throughout the years indicated

 

    For the Six Months Ended April 30, 2021 (Unaudited)     For the Year Ended October 31, 2020     For the Year Ended October 31, 2019     For the Year Ended October 31, 2018     For the Year Ended October 31, 2017     For the Year Ended October 31, 2016  
PER COMMON SHARE OPERATING PERFORMANCE:                                                
Net asset value - beginning of period   $ 12.81     $ 12.95     $ 13.55     $ 14.50     $ 12.70     $ 15.10  
Income from investment operations:                                                
Net investment income/(loss)*     (0.03 )     (0.09 )     (0.06 )     0.01       (0.02 )     (0.23 )
Net realized and unrealized gain/(loss) on investments     4.73       1.27       1.15       0.41       3.06       (0.84 )
Total Income/(Loss) from Investment Operations     4.70       1.18       1.09       0.42       3.04       (1.07 )
                                                 
DISTRIBUTIONS TO COMMON SHAREHOLDERS FROM:                                                
Net investment income     (0.76 )     (0.60 )                 (0.13 )      
Net realized gains           (0.72 )     (1.34 )     (1.50 )           (0.90 )
Tax return of capital                             (1.11 )     (0.43 )
Total Distributions to Common Shareholders     (0.76 )     (1.32 )     (1.34 )     (1.50 )     (1.24 )     (1.33 )
                                                 
CAPITAL SHARE TRANSACTIONS:                                                
Accretive/(Dilutive) impact of capital share transactions                 (0.35 )     0.13       (0.00 )(1)      
Total Capital Share Transactions                 (0.35 )     0.13       (0.00 )(1)      
Net asset value - end of period   $ 16.75     $ 12.81     $ 12.95     $ 13.55     $ 14.50     $ 12.70  
Market price - end of period   $ 15.93     $ 10.78     $ 11.77     $ 13.21     $ 13.66     $ 10.69  
                                                 
Total Investment Return - Net Asset Value:(2)     37.64 %     11.47 %     9.40 %     3.99 %     25.99 %     (5.36 )%(3) 
Total Investment Return - Market Price:(4)     55.55 %     3.21 %     1.99 %     7.62 %     41.01 %     (6.90 )%
                                                 
RATIOS AND SUPPLEMENTAL DATA:                                                
Net assets attributable to common shares, end of period (000s)   $ 221,648     $ 169,542     $ 171,337     $ 149,379     $ 255,870     $ 224,187  
Ratios to average net assets attributable to common shareholders:                                                
Total expenses     2.54 %(5)      3.23 %     3.94 %     3.63 %     3.14 %     4.21 %
Total expenses excluding interest expense and dividends on short sales expense     2.01 %(5)      2.20 %     2.18 %     2.13 %     2.21 %     2.59 %
Net investment income/(loss)     (0.41 )%(5)      (0.70 )%     (0.45 )%     0.06 %     (0.14 )%     (1.70 )%
Portfolio turnover rate(6)     96 %     256 %     297 %     115 %     141 %     182 %
                                                 
Borrowings at End of Period                                                
Aggregate Amount Outstanding (000s)   $ 107,500     $ 92,000     $ 84,500     $ 85,000     $ 113,000     $ 113,000  
Asset Coverage Per $1,000   $ 3,062     $ 2,843     $ 3,028     $ 2,757     $ 3,264     $ 2,984  

 

See Notes to the Financial Statements.

 

36 www.cloughglobal.com
     

 

Clough Global Equity Fund Financial Highlights

 

For a share outstanding throughout the years indicated

 

* Based on average shares outstanding.
(1) Less than $0.005.
(2) Total investment return - Net Asset Value is calculated based on the funds calculated net asset value, assuming a purchase of a common share at the opening on the first day and a sale at the closing on the last day of each period reported and that all rights in the Fund's rights offering were exercised. Dividends and distributions, if any, are assumed for purposes of this calculation to be reinvested at price obtained under the Fund's dividend reinvestment plan. Total investment returns do not reflect brokerage commissions on the purchase or sale of the Fund's common shares. Past performance is not a guarantee of future results. Total returns for the period indicated are not annualized. Total returns include adjustments in accordance with accounting principles generally accepted in the United States of America for financial reporting purposes and may differ from those reported to the market.
(3) In 2016, 0.07% of the Fund's total return consists of a reimbursement by the Adviser for a realized investment loss. Excluding this item, total return would have been (5.43)%.
(4) Total investment return - Market Price is calculated based on where the fund is trading in the market, assuming a purchase of a common share at the opening on the first day and a sale at the closing on the last day of each period reported. Total investment returns do not reflect brokerage commissions on the purchase or sale of the Fund's common shares. Past performance is not a guarantee of future results. Total returns for the period indicated are not annualized.
(5) Annualized.
(6) Portfolio turnover rate for periods less than one full year have not been annualized.

 

See Notes to the Financial Statements.

 

Semi-Annual Report | April 30, 2021 37
     

 

Clough Global Opportunities Fund Financial Highlights

 

For a share outstanding throughout the years indicated

 

    For the Six Months Ended April 30, 2021 (Unaudited)     For the Year Ended October 31, 2020     For the Year Ended October 31, 2019     For the Year Ended October 31, 2018     For the Year Ended October 31, 2017     For the Year Ended October 31, 2016  
PER COMMON SHARE OPERATING PERFORMANCE:                                                
Net asset value - beginning of period   $ 10.48     $ 10.56     $ 10.63     $ 12.09     $ 11.07     $ 12.92  
Income from investment operations:                                                
Net investment loss*     (0.04 )     (0.08 )     (0.04 )     (0.01 )     (0.02 )     (0.15 )
Net realized and unrealized gain/(loss) on investments     3.62       1.07       1.03       (0.35 )     2.11       (0.54 )
Total Income/(Loss) from Investment Operations     3.58       0.99       0.99       (0.36 )     2.09       (0.69 )
                                                 
DISTRIBUTIONS TO COMMON SHAREHOLDERS FROM:                                                
Net investment income     (0.61 )     (0.71 )                 (0.14 )      
Net realized gains           (0.14 )     (0.71 )     (0.76 )           (0.18 )
Tax return of capital           (0.22 )     (0.35 )     (0.45 )     (0.93 )     (0.98 )
Total Distributions to Common Shareholders     (0.61 )     (1.07 )     (1.06 )     (1.21 )     (1.07 )     (1.16 )
                                                 
CAPITAL SHARE TRANSACTIONS:                                                
Accretive/(Dilutive) impact of capital share transactions                       0.11       (0.00 )(1)      
Total Capital Share Transactions                       0.11       (0.00 )(1)      
Net asset value - end of period   $ 13.45     $ 10.48     $ 10.56     $ 10.63     $ 12.09     $ 11.07  
Market price - end of period   $ 13.02     $ 8.84     $ 9.19     $ 9.56     $ 11.42     $ 9.04  
                                                 
Total Investment Return - Net Asset Value:(2)     35.06 %     11.91 %     11.08 %     (1.78 )%     20.99 %     (3.48 )%
Total Investment Return - Market Price:(3)     55.00 %     8.46 %     7.49 %     (6.48 )%     39.95 %     (9.49 )%
                                                 
RATIOS AND SUPPLEMENTAL DATA:                                                
Net assets attributable to common shares, end of period (000s)   $ 433,309     $ 337,761     $ 340,278     $ 342,584     $ 623,361     $ 570,931  
Ratios to average net assets attributable to common shareholders:                                                
Total expenses     2.68 %(4)      3.42 %     4.14 %     3.81 %     3.23 %     4.32 %
Total expenses excluding interest expense and dividends on short sales expense     2.15 %(4)      2.35 %     2.33 %     2.26 %     2.27 %     2.73 %
Net investment loss     (0.55 )%(4)      (0.73 )%     (0.39 )%     (0.05 )%     (0.16 )%     (1.33 )%
Portfolio turnover rate(5)     104 %     261 %     306 %     120 %     165 %     191 %
                                                 
Borrowings at End of Period                                                
Aggregate Amount Outstanding (000s)   $ 212,500     $ 182,500     $ 178,000     $ 207,000     $ 292,000     $ 292,000  
Asset Coverage Per $1,000   $ 3,039     $ 2,851     $ 2,912     $ 2,655     $ 3,135     $ 2,955  

 

See Notes to the Financial Statements.

 

38 www.cloughglobal.com
     

 

Clough Global Opportunities Fund Financial Highlights

 

For a share outstanding throughout the years indicated

 

* Based on average shares outstanding.
(1) Less than $0.005.
(2) Total investment return - Net Asset Value is calculated based on the funds calculated net asset value, assuming a purchase of a common share at the opening on the first day and a sale at the closing on the last day of each period reported and that all rights in the Fund's rights offering were exercised. Dividends and distributions, if any, are assumed for purposes of this calculation to be reinvested at price obtained under the Fund's dividend reinvestment plan. Total investment returns do not reflect brokerage commissions on the purchase or sale of the Fund's common shares. Past performance is not a guarantee of future results. Total returns for the period indicated are not annualized. Total returns include adjustments in accordance with accounting principles generally accepted in the United States of America for financial reporting purposes and may differ from those reported to the market.
(3) Total investment return - Market Price is calculated based on where the fund is trading in the market, assuming a purchase of a common share at the opening on the first day and a sale at the closing on the last day of each period reported. Total investment returns do not reflect brokerage commissions on the purchase or sale of the Fund's common shares. Past performance is not a guarantee of future results. Total returns for the period indicated are not annualized.
(4) Annualized.
(5) Portfolio turnover rate for periods less than one full year have not been annualized.

 

See Notes to the Financial Statements.