UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM N-Q
QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED MANAGEMENT
INVESTMENT COMPANY
Investment Company Act file number 811-21636
-----------
First Trust/Aberdeen Global Opportunity Income Fund
----------------------------------------------------------------
(Exact name of registrant as specified in charter)
120 East Liberty Drive, Suite 400
Wheaton, IL 60187
----------------------------------------------------------------
(Address of principal executive offices) (Zip code)
W. Scott Jardine, Esq.
First Trust Portfolios L.P.
120 East Liberty Drive, Suite 400
Wheaton, IL 60187
----------------------------------------------------------------
(Name and address of agent for service)
Registrant's telephone number, including area code: (630) 765-8000
---------------
Date of fiscal year end: December 31
-------------
Date of reporting period: September 30, 2015
--------------------
Form N-Q is to be used by management investment companies, other than small
business investment companies registered on Form N-5 (ss.ss. 239.24 and 274.5 of
this chapter), to file reports with the Commission, not later than 60 days after
the close of the first and third fiscal quarters, pursuant to rule 30b1-5 under
the Investment Company Act of 1940 (17 CFR 270.30b1-5). The Commission may use
the information provided on Form N-Q in its regulatory, disclosure review,
inspection, and policymaking roles.
A registrant is required to disclose the information specified by Form N-Q, and
the Commission will make this information public. A registrant is not required
to respond to the collection of information contained in Form N-Q unless the
Form displays a currently valid Office of Management and Budget ("OMB") control
number. Please direct comments concerning the accuracy of the information
collection burden estimate and any suggestions for reducing the burden to the
Secretary, Securities and Exchange Commission, 100 F Street, NE, Washington, DC
20549. The OMB has reviewed this collection of information under the clearance
requirements of 44 U.S.C. ss. 3507.
ITEM 1. SCHEDULE OF INVESTMENTS. The Schedule(s) of Investments is attached
herewith.
FIRST TRUST/ABERDEEN GLOBAL OPPORTUNITY INCOME FUND (FAM)
PORTFOLIO OF INVESTMENTS (a)
SEPTEMBER 30, 2015 (UNAUDITED)
PRINCIPAL
VALUE
(LOCAL STATED STATED VALUE
CURRENCY) DESCRIPTION COUPON MATURITY (US DOLLARS)
--------------- ----------------------------------------- -------------- --------------- -------------
FOREIGN SOVEREIGN BONDS AND NOTES - 107.6%
ARGENTINA - 3.2%
6,690,000 Argentina Bonar Bonds (USD) ............. 7.00% 04/17/17 $ 6,543,563
-------------
ARMENIA - 0.7%
1,477,000 Republic of Armenia (USD) (b)............ 6.00% 09/30/20 1,406,385
-------------
AUSTRALIA - 4.1%
9,800,000 Treasury Corp. of Victoria (AUD) ........ 6.00% 10/17/22 8,358,354
-------------
BRAZIL - 4.9%
54,040,000 Brazil Notas do Tesouro Nacional,
Series F (BRL)........................ 10.00% 01/01/25 10,115,960
-------------
CANADA - 2.7%
5,000,000 Canadian Government Bond (CAD) .......... 8.00% 06/01/23 5,606,220
-------------
CHILE - 0.5%
950,000 Empresa Nacional del Petroleo (USD) (b).. 4.38% 10/30/24 926,730
-------------
COLOMBIA - 0.7%
3,122,000,000 Colombia Government International
Bond (COP)............................ 7.75% 04/14/21 1,028,768
937,000,000 Colombia Government International
Bond (COP)............................ 9.85% 06/28/27 346,542
-------------
1,375,310
-------------
COSTA RICA - 0.5%
1,200,000 Costa Rica Government International
Bond (USD)............................ 4.25% 01/26/23 1,044,000
-------------
DOMINICAN REPUBLIC - 1.9%
700,000 Dominican Republic International Bond
(USD)................................. 7.50% 05/06/21 750,750
1,201,000 Dominican Republic International Bond
(USD)................................. 5.88% 04/18/24 1,185,988
1,720,000 Dominican Republic International Bond
(USD)................................. 8.63% 04/20/27 2,003,800
-------------
3,940,538
-------------
EGYPT - 0.9%
1,870,000 Egypt Government International Bond
(USD) (b)............................. 5.88% 06/11/25 1,771,825
-------------
ETHIOPIA - 1.3%
2,370,000 Federal Democratic Republic of Ethiopia
(USD) (b)............................. 6.63% 12/11/24 2,177,556
650,000 Federal Democratic Republic of Ethiopia
(USD)................................. 6.63% 12/11/24 597,220
-------------
2,774,776
-------------
GABON - 0.2%
470,000 Gabonese Republic (USD) (b).............. 6.95% 06/16/25 396,689
-------------
See Notes to Portfolio of Investments
FIRST TRUST/ABERDEEN GLOBAL OPPORTUNITY INCOME FUND (FAM)
PORTFOLIO OF INVESTMENTS (a) (CONTINUED)
SEPTEMBER 30, 2015 (UNAUDITED)
PRINCIPAL
VALUE
(LOCAL STATED STATED VALUE
CURRENCY) DESCRIPTION COUPON MATURITY (US DOLLARS)
--------------- ----------------------------------------- -------------- --------------- -------------
FOREIGN SOVEREIGN BONDS AND NOTES (CONTINUED)
GEORGIA - 0.6%
1,300,000 Georgian Oil and Gas Corp. JSC
(USD) (b)............................. 6.88% 05/16/17 $ 1,306,500
-------------
GHANA - 1.1%
1,840,000 Republic of Ghana (USD) ................. 8.13% 01/18/26 1,536,400
900,000 Republic of Ghana (USD) (b).............. 8.13% 01/18/26 751,500
-------------
2,287,900
-------------
HONDURAS - 1.2%
2,360,000 Honduras Government International Bond
(USD) (b)............................. 7.50% 03/15/24 2,472,100
-------------
HUNGARY - 1.9%
924,350,000 Hungary Government Bond (HUF) ........... 5.50% 06/24/25 3,891,585
-------------
INDONESIA - 2.4%
1,750,000 Indonesia Government International Bond
(USD) (b)............................. 5.88% 01/15/24 1,857,114
27,200,000,000 Indonesia Treasury Bond (IDR) ........... 8.38% 03/15/34 1,616,911
1,600,000 Pertamina Persero PT (USD) (b)........... 4.30% 05/20/23 1,465,757
-------------
4,939,782
-------------
IRAQ - 1.1%
3,360,000 Republic of Iraq (USD) .................. 5.80% 01/15/28 2,330,012
-------------
ITALY - 9.6%
4,650,000 Italy Buoni Poliennali Del Tesoro
(EUR)................................. 9.00% 11/01/23 8,144,029
6,800,000 Italy Buoni Poliennali Del Tesoro
(EUR)................................. 7.25% 11/01/26 11,650,861
-------------
19,794,890
-------------
IVORY COAST - 1.3%
900,000 Ivory Coast Government International Bond
(USD) (b)............................. 6.38% 03/03/28 800,694
2,230,000 Ivory Coast Government International Bond
(USD)................................. 5.75% 12/31/32 1,952,468
-------------
2,753,162
-------------
JAMAICA - 0.9%
1,851,000 Jamaica Government International Bond
(USD)................................. 7.88% 07/28/45 1,855,628
-------------
KAZAKHSTAN - 4.8%
4,440,000 Kazakhstan Government International Bond
(USD) (b)............................. 3.88% 10/14/24 4,007,100
2,700,000 KazMunaiGaz National Co., JSC (USD) ..... 9.13% 07/02/18 2,934,900
2,850,000 KazMunaiGaz National Co., JSC (USD) ..... 7.00% 05/05/20 2,894,887
-------------
9,836,887
-------------
See Notes to Portfolio of Investments
FIRST TRUST/ABERDEEN GLOBAL OPPORTUNITY INCOME FUND (FAM)
PORTFOLIO OF INVESTMENTS (a) (CONTINUED)
SEPTEMBER 30, 2015 (UNAUDITED)
PRINCIPAL
VALUE
(LOCAL STATED STATED VALUE
CURRENCY) DESCRIPTION COUPON MATURITY (US DOLLARS)
--------------- ----------------------------------------- -------------- --------------- -------------
FOREIGN SOVEREIGN BONDS AND NOTES (CONTINUED)
KENYA - 0.5%
1,180,000 Kenya Government International Bond
(USD)................................. 6.88% 06/24/24 $ 1,074,980
-------------
MEXICO - 5.9%
29,400,000 Mexican Bonos (MXN) ..................... 6.50% 06/09/22 1,807,971
20,000,000 Mexican Bonos (MXN) ..................... 10.00% 12/05/24 1,510,039
29,050,000 Mexican Bonos (MXN) ..................... 7.50% 06/03/27 1,879,146
74,570,000 Mexican Bonos (MXN) ..................... 8.50% 11/18/38 5,253,844
26,634,439 Mexican Udibonos, Inflation Adjusted
Bond (MXN) (c)........................ 4.50% 11/22/35 1,793,401
-------------
12,244,401
-------------
MONGOLIA - 1.6%
2,130,000 Development Bank of Mongolia LLC
(USD)................................. 5.75% 03/21/17 2,026,047
1,500,000 Mongolia Government International Bond
(USD)................................. 5.13% 12/05/22 1,235,640
-------------
3,261,687
-------------
NEW ZEALAND - 7.7%
18,630,000 New Zealand Government Bond (NZD) ....... 6.00% 12/15/17 12,796,865
4,100,000 New Zealand Government Bond (NZD) ....... 6.00% 05/15/21 3,059,702
-------------
15,856,567
-------------
PAKISTAN - 0.2%
470,000 Pakistan Government International Bond
(USD) (b)............................. 8.25% 09/30/25 482,854
-------------
POLAND - 1.3%
5,650,000 Poland Government Bond (PLN) ............ 4.00% 10/25/23 1,621,114
2,980,000 Poland Government Bond (PLN) ............ 5.75% 04/25/29 1,011,121
-------------
2,632,235
-------------
PORTUGAL - 5.4%
7,830,000 Portugal Obrigacoes do Tesouro OT
(EUR) (b)............................. 5.65% 02/15/24 11,052,546
-------------
ROMANIA - 1.5%
2,680,000 Romanian Government International Bond
(USD)................................. 6.75% 02/07/22 3,169,100
-------------
RUSSIA - 6.0%
130,450,000 Russian Federal Bond - OFZ (RUB) ........ 6.90% 08/03/16 1,938,398
134,800,000 Russian Federal Bond - OFZ (RUB) ........ 7.50% 03/15/18 1,920,647
469,655,000 Russian Federal Bond - OFZ (RUB) ........ 7.05% 01/19/28 5,438,810
600,000 Russian Foreign Bond - Eurobond (USD) ... 4.88% 09/16/23 606,456
400,000 Russian Foreign Bond - Eurobond (USD) ... 5.88% 09/16/43 387,246
See Notes to Portfolio of Investments
FIRST TRUST/ABERDEEN GLOBAL OPPORTUNITY INCOME FUND (FAM)
PORTFOLIO OF INVESTMENTS (a) (CONTINUED)
SEPTEMBER 30, 2015 (UNAUDITED)
PRINCIPAL
VALUE
(LOCAL STATED STATED VALUE
CURRENCY) DESCRIPTION COUPON MATURITY (US DOLLARS)
--------------- ----------------------------------------- -------------- --------------- -------------
FOREIGN SOVEREIGN BONDS AND NOTES (CONTINUED)
RUSSIA (CONTINUED)
2,000,000 Vnesheconombank Via VEB Finance PLC
(USD)................................. 6.90% 07/09/20 $ 2,017,824
-------------
12,309,381
-------------
RWANDA - 0.9%
1,440,000 Rwanda International Government Bond
(USD)................................. 6.63% 05/02/23 1,364,688
510,000 Rwanda International Government Bond
(USD) (b)............................. 6.63% 05/02/23 483,327
-------------
1,848,015
-------------
SENEGAL - 0.7%
1,440,000 Senegal Government International Bond
(USD)................................. 8.75% 05/13/21 1,516,320
-------------
SERBIA - 2.0%
4,030,000 Republic of Serbia (USD) ................ 5.25% 11/21/17 4,186,162
-------------
SOUTH AFRICA - 3.4%
1,800,000 Eskom Holdings SOC Ltd. (USD) ........... 6.75% 08/06/23 1,692,000
680,000 Eskom Holdings SOC Ltd. (USD) (b)........ 6.75% 08/06/23 639,200
26,917,865 South Africa Government Bond (ZAR) ...... 10.50% 12/21/26 2,228,054
35,370,000 South Africa Government Bond (ZAR) ...... 8.00% 01/31/30 2,378,668
-------------
6,937,922
-------------
SPAIN - 10.1%
6,000,000 Spain Government Bond (EUR) (b).......... 5.90% 07/30/26 9,222,125
4,000,000 Spain Government Bond (EUR) ............. 6.00% 01/31/29 6,364,529
3,300,000 Spain Government Bond (EUR) (b).......... 5.15% 10/31/44 5,216,963
-------------
20,803,617
-------------
TANZANIA - 0.5%
1,150,000 Tanzania Government International Bond
(USD) (d)............................. 6.54% 03/09/20 1,101,125
-------------
TURKEY - 6.8%
6,600,000 Turkey Government Bond (TRY) ............ 6.30% 02/14/18 1,971,590
13,870,000 Turkey Government Bond (TRY) ............ 10.40% 03/20/24 4,472,271
4,930,000 Turkey Government Bond (TRY) ............ 9.00% 07/24/24 1,459,274
760,000 Turkey Government Bond (TRY) ............ 8.00% 03/12/25 211,582
4,469,618 Turkey Government Bond, Inflation
Adjusted Bond (TRY) (c)............... 3.00% 02/23/22 1,441,193
4,120,000 Turkey Government International Bond
(USD)................................. 6.25% 09/26/22 4,413,550
-------------
13,969,460
-------------
UKRAINE - 0.9%
1,065,000 Ukraine Government International Bond
(USD)................................. 6.25% 06/17/16 844,438
See Notes to Portfolio of Investments
FIRST TRUST/ABERDEEN GLOBAL OPPORTUNITY INCOME FUND (FAM)
PORTFOLIO OF INVESTMENTS (a) (CONTINUED)
SEPTEMBER 30, 2015 (UNAUDITED)
PRINCIPAL
VALUE
(LOCAL STATED STATED VALUE
CURRENCY) DESCRIPTION COUPON MATURITY (US DOLLARS)
--------------- ----------------------------------------- -------------- --------------- -------------
FOREIGN SOVEREIGN BONDS AND NOTES (CONTINUED)
UKRAINE (CONTINUED)
1,365,000 Ukraine Government International Bond
(USD)................................. 9.25% 07/24/17 $ 1,082,961
-------------
1,927,399
-------------
UNITED ARAB EMIRATES - 1.2%
1,990,000 Emirate of Dubai Government International
Bonds (USD)........................... 7.75% 10/05/20 2,424,019
-------------
UNITED KINGDOM - 2.3%
2,230,000 United Kingdom Gilt (GBP) ............... 4.25% 12/07/49 4,812,111
-------------
URUGUAY - 1.3%
655,000 Uruguay Government International Bond
(USD)................................. 7.63% 03/21/36 813,019
55,793,171 Uruguay Government International Bond,
Inflation Adjusted Bond (UYU) (c)..... 5.00% 09/14/18 1,878,642
-------------
2,691,661
-------------
ZAMBIA - 0.9%
2,200,000 Zambia Government International Bond
(USD) (b)............................. 8.97% 07/30/27 1,749,000
-------------
TOTAL FOREIGN SOVEREIGN BONDS AND NOTES................................... 221,779,358
(Cost $252,686,308) -------------
FOREIGN CORPORATE BONDS AND NOTES (e) - 26.7%
BANGLADESH - 0.5%
1,000,000 Banglalink Digital Communications Ltd.
(USD) (b)............................. 8.63% 05/06/19 1,000,000
-------------
BARBADOS - 0.5%
1,000,000 Sagicor Finance 2015 Ltd. (USD) (b)...... 8.88% 08/11/22 1,067,500
-------------
BRAZIL - 1.7%
2,050,000 Marfrig Overseas Ltd. (USD) ............. 9.50% 05/04/20 2,009,000
1,550,000 OAS Finance Ltd. (USD) (b) (g) (h) (i)... 8.88% (f) 147,250
460,000 OAS Investments GmbH (USD) (b) (h) (i)... 8.25% 10/19/19 45,080
2,150,188 QGOG Atlantic/Alaskan Rigs Ltd. (USD) ... 5.25% 07/30/18 1,386,871
-------------
3,588,201
-------------
CHINA - 0.5%
1,020,000 Country Garden Holdings Co., Ltd.
(USD)................................. 7.50% 03/09/20 1,053,135
-------------
See Notes to Portfolio of Investments
FIRST TRUST/ABERDEEN GLOBAL OPPORTUNITY INCOME FUND (FAM)
PORTFOLIO OF INVESTMENTS (a) (CONTINUED)
SEPTEMBER 30, 2015 (UNAUDITED)
PRINCIPAL
VALUE
(LOCAL STATED STATED VALUE
CURRENCY) DESCRIPTION COUPON MATURITY (US DOLLARS)
--------------- ----------------------------------------- -------------- --------------- -------------
FOREIGN CORPORATE BONDS AND NOTES (e) (CONTINUED)
DOMINICAN REPUBLIC - 0.7%
1,350,000 AES Andres Dominicana, Ltd. / Itabo
Dominicana, Ltd. (USD)................ 9.50% 11/12/20 $ 1,390,500
-------------
GEORGIA - 0.9%
1,900,000 Georgian Railway JSC (USD) .............. 7.75% 07/11/22 1,921,375
-------------
GUATEMALA - 1.3%
980,000 Comcel Trust via Comunicaciones
Celulares SA (USD (b)................. 6.88% 02/06/24 970,494
1,550,000 Industrial Subordinated Trust (USD) ..... 8.25% 07/27/21 1,650,750
-------------
2,621,244
-------------
HONG KONG - 0.5%
1,020,000 Shimao Property Holdings Ltd. (USD) ..... 8.38% 02/10/22 1,058,220
-------------
INDIA - 0.9%
1,040,000 ABJA Investment Co. Pte Ltd. (USD) ...... 5.95% 07/31/24 922,288
1,000,000 ICICI Bank Ltd. (USD) (g)................ 6.38% 04/30/22 1,016,476
-------------
1,938,764
-------------
KAZAKHSTAN - 0.6%
1,500,000 Zhaikmunai LLP (USD) (b)................. 7.13% 11/13/19 1,215,000
-------------
MEXICO - 2.4%
1,050,000 Alfa SAB de CV (USD) .................... 6.88% 03/25/44 1,023,750
850,000 CEMEX Espana S.A. (USD) ................. 9.88% 04/30/19 917,745
460,000 Cemex Finance, LLC (USD) (b)............. 9.38% 10/12/22 491,602
1,640,000 Sixsigma Networks Mexico S.A. de CV
(USD) (b)............................. 8.25% 11/07/21 1,547,750
1,130,000 Unifin Financiera SAPI de CV SOFOM ENR
(USD)................................. 6.25% 07/22/19 1,065,025
-------------
5,045,872
-------------
MOZAMBIQUE - 1.0%
2,320,500 EMATUM Via Mozambique EMATUM Finance 2020
BV (USD).............................. 6.31% 09/11/20 2,007,233
-------------
NIGERIA - 0.7%
1,520,000 Zenith Bank PLC (USD) (b)................ 6.25% 04/22/19 1,383,200
-------------
PARAGUAY - 0.7%
1,360,000 Banco Regional SAECA (USD) (b)........... 8.13% 01/24/19 1,370,200
-------------
PERU - 0.8%
625,000 InRetail Consumer (USD) (b).............. 5.25% 10/10/21 632,813
405,000 Southern Copper Corp. (USD) ............. 3.88% 04/23/25 367,035
730,000 Union Andina de Cementos SAA (USD) ...... 5.88% 10/30/21 704,450
-------------
1,704,298
-------------
See Notes to Portfolio of Investments
FIRST TRUST/ABERDEEN GLOBAL OPPORTUNITY INCOME FUND (FAM)
PORTFOLIO OF INVESTMENTS (a) (CONTINUED)
SEPTEMBER 30, 2015 (UNAUDITED)
PRINCIPAL
VALUE
(LOCAL STATED STATED VALUE
CURRENCY) DESCRIPTION COUPON MATURITY (US DOLLARS)
--------------- ----------------------------------------- -------------- --------------- -------------
FOREIGN CORPORATE BONDS AND NOTES (e) (CONTINUED)
RUSSIA - 3.3%
1,560,000 Alfa Bank OJSC Via Alfa Bond Issuance
PLC (USD)............................. 7.75% 04/28/21 $ 1,598,001
1,640,000 Evraz Group S.A. (USD) (b)............... 6.50% 04/22/20 1,540,321
1,350,000 Lukoil International Finance BV (USD) ... 4.56% 04/24/23 1,205,280
1,170,000 Sberbank of Russia Via SB Capital SA
(USD)................................. 6.13% 02/07/22 1,192,438
1,350,000 Vimpel Communications Via VIP Finance
Ireland Ltd., OJSC (USD).............. 7.75% 02/02/21 1,384,598
-------------
6,920,638
-------------
SUPRANATIONALS - 6.1%
17,600,000 Asian Development Bank (AUD) ............ 5.50% 02/15/16 12,501,769
-------------
TUNISIA - 1.0%
2,100,000 Banque Centrale de Tunisie SA (USD) (b).. 5.75% 01/30/25 2,008,125
-------------
TURKEY - 0.9%
750,000 Arcelik AS (USD) (b)..................... 5.00% 04/03/23 668,925
1,150,000 Yasar Holdings AS (USD) (b).............. 8.88% 05/06/20 1,181,625
-------------
1,850,550
-------------
UNITED ARAB EMIRATES - 1.3%
2,270,000 Jafz Sukuk Ltd. (USD) ................... 7.00% 06/19/19 2,592,453
-------------
VENEZUELA - 0.4%
1,100,000 Petroleos de Venezuela S.A. (USD) ....... 8.50% 11/02/17 737,000
-------------
TOTAL FOREIGN CORPORATE BONDS AND NOTES................................... 54,975,277
-------------
(Cost $59,328,000)
U.S. GOVERNMENT BONDS AND NOTES - 2.9%
UNITED STATES - 2.9%
4,900,000 United States Treasury Note (USD)........ 1.00% 06/30/19 4,876,617
1,000,000 United States Treasury Note (USD)........ 3.75% 11/15/43 1,177,669
-------------
TOTAL U.S. GOVERNMENT BONDS AND NOTES..................................... 6,054,286
(Cost $6,013,110) -------------
TOTAL INVESTMENTS - 137.2%................................................ 282,808,921
(Cost $318,027,418) (j)
OUTSTANDING LOANS - (43.4%)............................................... (89,531,550)
NET OTHER ASSETS AND LIABILITIES - 6.2%................................... 12,887,310
-------------
NET ASSETS - 100.0%....................................................... $ 206,164,681
=============
-----------------------------
(a) All of the securities within the Portfolio of Investments are available to
serve as collateral for the outstanding loans.
See Notes to Portfolio of Investments
FIRST TRUST/ABERDEEN GLOBAL OPPORTUNITY INCOME FUND (FAM)
PORTFOLIO OF INVESTMENTS (CONTINUED)
SEPTEMBER 30, 2015 (UNAUDITED)
(b) This security, sold within the terms of a private placement memorandum, is
exempt from registration under Rule 144A under the Securities Act of 1933,
as amended, and may be resold in transactions exempt from registration,
normally to qualified institutional buyers. Pursuant to procedures adopted
by the Fund's Board of Trustees, this security has been determined to be
liquid by Aberdeen Asset Management Inc., the Fund's investment
sub-advisor. Although market instability can result in periods of
increased overall market illiquidity, liquidity for each security is
determined based on security specific factors and assumptions, which
require subjective judgment. At September 30, 2015, securities noted as
such amounted to $63,455,850 or 30.78% of net assets.
(c) Security whose principal value is adjusted in accordance with changes to
the country's Consumer Price Index. Interest is calculated on the basis of
the current adjusted principal value.
(d) Floating rate security. The interest rate shown reflects the rate in
effect at September 30, 2015.
(e) Portfolio securities are included in a country based upon their underlying
credit exposure as determined by the Fund's investment sub-advisor.
(f) Perpetual maturity.
(g) Fixed-to-floating or fixed-to-variable rate security. The interest rate
shown reflects the fixed rate in effect at September 30, 2015. At a
predetermined date, the fixed rate will change to a floating rate or a
variable rate.
(h) This issuer is in default and interest is not being accrued by the Fund.
(i) This company has filed for protection in a Sao Paulo state court.
(j) Aggregate cost for financial reporting purposes, which approximates the
aggregate cost for federal income tax purposes. As of September 30, 2015,
the aggregate gross unrealized appreciation for all securities in which
there was an excess of value over tax cost was $4,271,898 and the
aggregate gross unrealized depreciation for all securities in which there
was an excess of tax cost over value was $39,490,395.
-----------------------------
Currency Abbreviations:
AUD Australian Dollar
BRL Brazilian Real
CAD Canadian Dollar
COP Colombian Peso
EUR Euro
GBP British Pound Sterling
HUF Hungarian Forint
IDR Indonesian Rupiah
INR Indian Rupee
MXN Mexican Peso
NZD New Zealand Dollar
PLN Polish Zloty
RUB Russian Ruble
TRY Turkish Lira
USD United States Dollar
UYU Uruguayan Peso
ZAR South African Rand
See Notes to Portfolio of Investments
FIRST TRUST/ABERDEEN GLOBAL OPPORTUNITY INCOME FUND (FAM)
PORTFOLIO OF INVESTMENTS (CONTINUED)
SEPTEMBER 30, 2015 (UNAUDITED)
VALUATION INPUTS
A summary of the inputs used to value the Fund's investments as of September 30,
2015 is as follows (see Note 2A - Portfolio Valuation in the Notes to Portfolio
of Investments):
ASSETS TABLE
LEVEL 2 LEVEL 3
TOTAL LEVEL 1 SIGNIFICANT SIGNIFICANT
VALUE AT QUOTED OBSERVABLE UNOBSERVABLE
9/30/2015 PRICES INPUTS INPUTS
--------------- ------------- --------------- --------------
Foreign Sovereign Bonds and Notes*............ $ 221,779,358 $ -- $ 221,779,358 $ --
Foreign Corporate Bonds and Notes*............ 54,975,277 -- 54,975,277 --
U.S. Government Bonds and Notes*.............. 6,054,286 -- 6,054,286 --
--------------- ------------- --------------- --------------
Total Investments............................. 282,808,921 -- 282,808,921 --
Forward Foreign Currency Contracts**.......... 1,664,096 -- 1,664,096 --
--------------- ------------- --------------- --------------
Total......................................... $ 284,473,017 $ -- $ 284,473,017 $ --
=============== ============= =============== ==============
LIABILITIES TABLE
LEVEL 2 LEVEL 3
TOTAL LEVEL 1 SIGNIFICANT SIGNIFICANT
VALUE AT QUOTED OBSERVABLE UNOBSERVABLE
9/30/2015 PRICES INPUTS INPUTS
--------------- ------------- --------------- --------------
Forward Foreign Currency Contracts**.......... $ (7,997) $ -- $ (7,997) $ --
=============== ============= =============== ==============
* See the Portfolio of Investments for country breakout.
** See the Forward Foreign Currency Contracts table for contract and currency
detail.
All transfers in and out of the Levels during the period are assumed to be
transferred on the last day of the period at their current value. There were no
transfers between levels at September 30, 2015.
See Notes to Portfolio of Investments
FIRST TRUST/ABERDEEN GLOBAL OPPORTUNITY INCOME FUND (FAM)
PORTFOLIO OF INVESTMENTS (CONTINUED)
SEPTEMBER 30, 2015 (UNAUDITED)
-------------------------------------------------------------- ----------------------------------------
% OF TOTAL CURRENCY EXPOSURE % OF TOTAL
INDUSTRY CLASSIFICATION INVESTMENTS DIVERSIFICATION INVESTMENTS +
-------------------------------------------------------------- ----------------------------------------
Sovereigns 72.0% USD 61.9%
Supranationals 4.4 EUR 10.0
Banks 3.1 MXN 3.7
Government Regional 3.0 TRY 3.4
Exploration & Production 2.5 RUB 3.3
Real Estate 1.7 AUD 2.8
Government Agencies 1.3 BRL 2.8
Financial Services 1.2 CAD 2.0
Metals & Mining 1.0 GBP 1.7
Wireless Telecommunications Services 0.8 ZAR 1.6
Construction Materials Manufacturing 0.7 HUF 1.4
Government Development Banks 0.7 NZD 1.4
Food & Beverage 0.7 INR 1.3
Central Bank 0.7 PLN 0.9
Consumer Services 0.7 UYU 0.7
Integrated Oils 0.7 IDR 0.6
Railroad 0.7 COP 0.5
Consumer Finance 0.6 ------------------------------------
Software & Services 0.5 Total 100.0%
Power Generation 0.5 ======
Oil & Gas Services & Equipment 0.5
Pipeline 0.5
Chemicals 0.4
Wireline Telecommunications Services 0.3
Refining & Marketing 0.3
Home Improvement 0.2
Supermarkets & Pharmacies 0.2
Industrial Other 0.1
----------------------------------------------------------
Total 100.0%
=======
+ The weightings include the impact of currency forwards.
See Notes to Portfolio of Investments
FIRST TRUST/ABERDEEN GLOBAL OPPORTUNITY INCOME FUND (FAM)
PORTFOLIO OF INVESTMENTS (CONTINUED)
SEPTEMBER 30, 2015 (UNAUDITED)
------------------------------------------------------
% OF TOTAL
CREDIT QUALITY(1) INVESTMENTS
------------------------------------------------------
AAA 16.7%
AA+ 1.7
A 5.6
BBB+ 17.5
BBB 9.9
BBB- 12.8
BB+ 8.2
BB 1.7
BB- 7.9
B+ 9.3
B 5.5
CCC 0.3
CC 0.7
NR 2.2
--------------------------------------------------
Total 100.0%
======
(1) The credit quality and ratings information presented above reflect the
ratings assigned by one or more nationally recognized statistical rating
organizations (NRSROs), including Standard & Poor's Ratings Group, a
division of the McGraw-Hill Companies, Inc., Moody's Investors Service,
Inc., Fitch Ratings or a comparably rated NRSRO. For situations in which a
security is rated by more than one NRSRO and the ratings are not
equivalent, the highest ratings are used. The credit ratings shown relate
to the creditworthiness of the issuers of the underlying securities in the
Fund, and not to the Fund or its shares. Credit ratings are subject to
change.
See Notes to Portfolio of Investments
FIRST TRUST/ABERDEEN GLOBAL OPPORTUNITY INCOME FUND (FAM)
PORTFOLIO OF INVESTMENTS (CONTINUED)
SEPTEMBER 30, 2015 (UNAUDITED)
FORWARD FOREIGN CURRENCY CONTRACTS (see Note 2C - Forward Foreign Currency
Contracts in the Notes to Portfolio of Investments):
FORWARD FOREIGN CURRENCY CONTRACTS
---------------------------------------------------------
PURCHASE SALE UNREALIZED
SETTLEMENT AMOUNT AMOUNT VALUE AS OF VALUE AS OF APPRECIATION/
DATE COUNTERPARTY PURCHASED (a) SOLD (a) 9/30/2015 9/30/2015 (DEPRECIATION)
---------- -------------- -------------------- ------------------ --------------- --------------- --------------
10/16/15 RBC CAD 200,000 USD 157,510 $ 149,857 $ 157,510 $ (7,653)
11/24/15 CIT INR 125,942,000 USD 1,899,578 1,899,234 1,899,578 (344)
10/16/15 JPM NZD 478,000 USD 298,562 305,227 298,562 6,665
10/16/15 DB USD 12,718,192 AUD 17,064,000 12,718,192 11,966,854 751,338
11/24/15 JPM USD 2,046,763 BRL 7,966,000 2,046,763 1,970,583 76,180
10/16/15 DB USD 9,176,641 EUR 8,141,000 9,176,641 9,098,952 77,689
10/16/15 RBC USD 14,031,632 EUR 12,506,000 14,031,632 13,977,583 54,049
10/16/15 JPM USD 1,652,632 MXN 26,128,000 1,652,632 1,543,499 109,133
10/16/15 DB USD 12,856,840 NZD 18,319,000 12,286,645 11,697,603 589,042
-----------
Net Unrealized Appreciation (Depreciation)........................................................... $ 1,656,099
===========
(a) Please see Portfolio of Investments for currency descriptions.
Counterparty Abbreviations:
CIT Citibank, NA
DB Deutsche Bank
JPM JPMorgan Chase
RBC Royal Bank of Canada
See Notes to Portfolio of Investments
NOTES TO PORTFOLIO OF INVESTMENTS
FIRST TRUST/ABERDEEN GLOBAL OPPORTUNITY INCOME FUND (FAM)
SEPTEMBER 30, 2015 (UNAUDITED)
1. ORGANIZATION
First Trust/Aberdeen Global Opportunity Income Fund (the "Fund") is a
diversified, closed-end management investment company organized as a
Massachusetts business trust on September 2, 2004, and is registered with the
Securities and Exchange Commission under the Investment Company Act of 1940, as
amended (the "1940 Act"). The Fund trades under the ticker symbol FAM on the New
York Stock Exchange ("NYSE").
On September 15, 2015, First Trust Advisors L.P. ("First Trust" or the
"Advisor") announced that the Board of Trustees of the Fund has adopted a Share
Repurchase Program. Pursuant to the Share Repurchase Program, the Fund, may,
from time to time and at the direction of management personnel, repurchase up to
5% of the Fund's outstanding common shares in secondary market transactions in
accordance with applicable law. The Fund's Share Repurchase Program will
continue until the earlier of (i) the repurchase of 5% of the Fund's current
outstanding common shares, or (ii) six months from implementation of the Fund's
Share Repurchase Program.
The Fund, which is an investment company within the scope of Financial
Accounting Standards Board ("FASB") Accounting Standards Update 2013-08, follows
accounting and reporting guidance under FASB Accounting Standards Codification
Topic 946, "Financial Services-Investment Companies."
2. VALUATION AND INVESTMENT PRACTICES
A. PORTFOLIO VALUATION
The net asset value ("NAV") of the Common Shares of the Fund is determined daily
as of the close of regular trading on the NYSE, normally 4:00 p.m. Eastern time,
on each day the NYSE is open for trading. If the NYSE closes early on a
valuation day, the NAV is determined as of that time. Domestic debt securities
and foreign securities are priced using data reflecting the earlier closing of
the principal markets for those securities. The Fund's NAV per Common Share is
calculated by dividing the value of all assets of the Fund (including accrued
interest and dividends), less all liabilities (including accrued expenses,
dividends declared but unpaid and any borrowings of the Fund), by the total
number of Common Shares outstanding.
The Fund's investments are valued daily at market value or, in the absence of
market value with respect to any portfolio securities, at fair value. Market
value prices represent last sale or official closing prices from a national or
foreign exchange (i.e., a regulated market) and are primarily obtained from
third-party pricing services. Fair value prices represent any prices not
considered market value prices and are either obtained from a third-party
pricing service or are determined by the Pricing Committee of the Fund's
investment advisor, First Trust, in accordance with valuation procedures adopted
by the Fund's Board of Trustees, and in accordance with provisions of the 1940
Act. Investments valued by the Advisor's Pricing Committee, if any, are
footnoted as such in the footnotes to the Portfolio of Investments. The Fund's
investments are valued as follows:
Bonds, notes and other debt securities are fair valued on the basis of
valuations provided by dealers who make markets in such securities or by
an independent pricing service approved by the Fund's Board of Trustees,
which may use the following valuation inputs when available:
1) benchmark yields;
2) reported trades;
3) broker/dealer quotes;
4) issuer spreads;
5) benchmark securities;
6) bids and offers; and
7) reference data including market research publications.
Fixed income and other debt securities having a remaining maturity of 60
days or less when purchased are fair valued at cost adjusted for
amortization of premiums and accretion of discounts (amortized cost),
provided the Advisor's Pricing Committee has determined that the use of
amortized cost is an appropriate reflection of fair value given market and
issuer-specific conditions existing at the time of the determination.
Factors that may be considered in determining the appropriateness of the
use of amortized cost include, but are not limited to, the following:
1) the credit conditions in the relevant market and changes thereto;
2) the liquidity conditions in the relevant market and changes thereto;
3) the interest rate conditions in the relevant market and changes
thereto (such as significant changes in interest rates);
4) issuer-specific conditions (such as significant credit
deterioration); and
5) any other market-based data the Advisor's Pricing Committee
considers relevant. In this regard, the Advisor's Pricing Committee
may use last-obtained market-based data to assist it when valuing
portfolio securities using amortized cost.
NOTES TO PORTFOLIO OF INVESTMENTS (CONTINUED)
FIRST TRUST/ABERDEEN GLOBAL OPPORTUNITY INCOME FUND (FAM)
SEPTEMBER 30, 2015 (UNAUDITED)
Forward foreign currency contracts are fair valued at the current day's
interpolated foreign exchange rate, as calculated using the current day's
spot rate, and the thirty, sixty, ninety, and one-hundred eighty day
forward rates provided by an independent pricing service.
Certain securities may not be able to be priced by pre-established pricing
methods. Such securities may be valued by the Fund's Board of Trustees or its
delegate, the Advisor's Pricing Committee, at fair value. These securities
generally include, but are not limited to, restricted securities (securities
which may not be publicly sold without registration under the Securities Act of
1933, as amended) for which a pricing service is unable to provide a market
price; securities whose trading has been formally suspended; a security whose
market or fair value price is not available from a pre-established pricing
source; a security with respect to which an event has occurred that is likely to
materially affect the value of the security after the market has closed but
before the calculation of the Fund's NAV or make it difficult or impossible to
obtain a reliable market quotation; and a security whose price, as provided by
the pricing service, does not reflect the security's fair value. As a general
principle, the current fair value of a security would appear to be the amount
which the owner might reasonably expect to receive for the security upon its
current sale. When fair value prices are used, generally they will differ from
market quotations or official closing prices on the applicable exchanges. A
variety of factors may be considered in determining the fair value of such
securities, including, but not limited to, the following:
1) the fundamental business data relating to the issuer, or economic
data relating to the country of issue;
2) an evaluation of the forces which influence the market in which
these securities are purchased and sold;
3) the type, size and cost of the security;
4) the financial statements of the issuer, or the financial condition
of the country of issue;
5) the credit quality and cash flow of the issuer, or country of issue,
based on the sub-advisor's or external analysis;
6) the information as to any transactions in or offers for the
security;
7) the price and extent of public trading in similar securities (or
equity securities) of the issuer/borrower, or comparable companies;
8) the coupon payments;
9) the quality, value and salability of collateral, if any, securing
the security;
10) the business prospects of the issuer, including any ability to
obtain money or resources from a parent or affiliate and an
assessment of the issuer's management (for corporate debt only);
11) the economic, political and social prospects/developments of the
country of issue and the assessment of the country's governmental
leaders/officials (for sovereign debt only);
12) the prospects for the issuer's industry, and multiples (of earnings
and/or cash flows) being paid for similar businesses in that
industry (for corporate debt only); and
13) other relevant factors.
The Fund is subject to fair value accounting standards that define fair value,
establish the framework for measuring fair value and provide a three-level
hierarchy for fair valuation based upon the inputs to the valuation as of the
measurement date. The three levels of the fair value hierarchy are as follows:
o Level 1 - Level 1 inputs are quoted prices in active markets for
identical investments. An active market is a market in which
transactions for the investment occur with sufficient frequency and
volume to provide pricing information on an ongoing basis.
o Level 2 - Level 2 inputs are observable inputs, either directly or
indirectly, and include the following:
o Quoted prices for similar investments in active markets.
o Quoted prices for identical or similar investments in markets
that are non-active. A non-active market is a market where
there are few transactions for the investment, the prices are
not current, or price quotations vary substantially either
over time or among market makers, or in which little
information is released publicly.
o Inputs other than quoted prices that are observable for the
investment (for example, interest rates and yield curves
observable at commonly quoted intervals, volatilities,
prepayment speeds, loss severities, credit risks, and default
rates).
o Inputs that are derived principally from or corroborated by
observable market data by correlation or other means.
o Level 3 - Level 3 inputs are unobservable inputs. Unobservable
inputs may reflect the reporting entity's own assumptions about the
assumptions that market participants would use in pricing the
investment.
The inputs or methodologies used for valuing investments are not necessarily an
indication of the risk associated with investing in those investments. A summary
of the inputs used to value the Fund's investments as of September 30, 2015, is
included with the Fund's Portfolio of Investments.
B. SECURITIES TRANSACTIONS
Securities transactions are recorded as of the trade date. Realized gains and
losses from securities transactions are recorded on the identified cost basis.
NOTES TO PORTFOLIO OF INVESTMENTS (CONTINUED)
FIRST TRUST/ABERDEEN GLOBAL OPPORTUNITY INCOME FUND (FAM)
SEPTEMBER 30, 2015 (UNAUDITED)
Securities purchased or sold on a when-issued, delayed-delivery or forward
purchase commitment basis may have extended settlement periods. The value of the
security so purchased is subject to market fluctuations during this period. The
Fund maintains liquid assets with a current value at least equal to the amount
of its when-issued, delayed-delivery or forward purchase commitments until
payment is made. At September 30, 2015, the Fund had no when-issued,
delayed-delivery or forward purchase commitments.
C. FORWARD FOREIGN CURRENCY CONTRACTS
The Fund is subject to foreign currency risk in the normal course of pursuing
its investment objectives. Forward foreign currency contracts are agreements
between two parties ("Counterparties") to exchange one currency for another at a
future date and at a specified price. The Fund uses forward foreign currency
contracts to facilitate transactions in foreign securities and to manage the
Fund's foreign currency exposure. These contracts are valued daily, and the
Fund's net equity therein, representing unrealized gain or loss on the contracts
as measured by the difference between the forward foreign exchange rates at the
dates of entry into the contracts and the forward rates at the reporting date,
is included on the Forward Foreign Currency Contracts table in the Portfolio of
Investments. Risks arise from the possible inability of counterparties to meet
the terms of their contracts and from movement in currency, securities values
and interest rates. Due to the risks, the Fund could incur losses in excess of
the net unrealized value shown on the Forward Foreign Currency Contracts table
in the Portfolio of Investments. In the event of default by the Counterparty,
the Fund will provide notice to the Counterparty of the Fund's intent to convert
the currency held by the Fund into the currency that the Counterparty agreed to
exchange with the Fund. If a Counterparty becomes bankrupt or otherwise fails to
perform its obligations due to financial difficulties, the Fund may experience
significant delays in obtaining any recovery in a bankruptcy or other
reorganization proceeding. The Fund may obtain only limited recovery or may
obtain no recovery in such circumstances.
D. FOREIGN CURRENCY
The books and records of the Fund are maintained in U.S. dollars. Foreign
currencies, investments and other assets and liabilities are translated into
U.S. dollars at the exchange rates prevailing at the end of the period.
Purchases and sales of investment securities and items of income and expense are
translated on the respective dates of such transactions. Net realized foreign
currency gains and losses include the effect of changes in exchange rates
between trade date and settlement date on investment security transactions,
foreign currency transactions and interest and dividends received.
3. DERIVATIVES TRANSACTIONS
For the fiscal year-to-date period (January 1, 2015 through September 30, 2015),
the notional values of forward foreign currency contracts opened and closed were
$653,129,266 and $683,824,300, respectively.
ITEM 2. CONTROLS AND PROCEDURES.
(a) The registrant's principal executive and principal financial officers, or
persons performing similar functions, have concluded that the registrant's
disclosure controls and procedures (as defined in Rule 30a-3(c) under the
Investment Company Act of 1940, as amended (the "1940 Act") (17 CFR
270.30a-3(c))) are effective, as of a date within 90 days of the filing
date of the report that includes the disclosure required by this
paragraph, based on their evaluation of these controls and procedures
required by Rule 30a-3(b) under the 1940 Act (17 CFR 270.30a-3(b)) and
Rules 13a-15(b) or 15d-15(b) under the Securities Exchange Act of 1934, as
amended (17 CFR 240.13a-15(b) or 240.15d-15(b)).
(b) There were no changes in the registrant's internal control over financial
reporting (as defined in Rule 30a-3(d) under the 1940 Act (17 CFR
270.30a-3(d)) that occurred during the registrant's last fiscal quarter
that have materially affected, or are reasonably likely to materially
affect, the registrant's internal control over financial reporting.
ITEM 3. EXHIBITS.
Certifications pursuant to Rule 30a-2(a) under the 1940 Act and Section 302 of
the Sarbanes-Oxley Act of 2002 are attached hereto.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934 and the
Investment Company Act of 1940, the registrant has duly caused this report to be
signed on its behalf by the undersigned, thereunto duly authorized.
(Registrant) First Trust/Aberdeen Global Opportunity Income Fund
-------------------------------------------------------
By (Signature and Title)* /s/ Mark R. Bradley
----------------------------------------
Mark R. Bradley, President and
Chief Executive Officer
(principal executive officer)
Date: November 19, 2015
--------------------
Pursuant to the requirements of the Securities Exchange Act of 1934 and the
Investment Company Act of 1940, this report has been signed below by the
following persons on behalf of the registrant and in the capacities and on the
dates indicated.
By (Signature and Title)* /s/ Mark R. Bradley
----------------------------------------
Mark R. Bradley, President and
Chief Executive Officer
(principal executive officer)
Date: November 19, 2015
--------------------
By (Signature and Title)* /s/ James M. Dykas
----------------------------------------
James M. Dykas, Treasurer,
Chief Financial Officer and
Chief Accounting Officer
(principal financial officer)
Date: November 19, 2015
--------------------
* Print the name and title of each signing officer under his or her signature.