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: 811-21553

 

Voya Global Equity Dividend and Premium Opportunity Fund

(Exact name of registrant as specified in charter)

 

7337 East Doubletree Ranch Rd., Suite 100, Scottsdale, AZ 85258

(Address of principal executive offices) (Zip code)

 

Huey P. Falgout, Jr., 7337 East Doubletree Ranch Road, Suite 100, Scottsdale, AZ 85258

(Name and address of agent for service)

 

Registrant’s telephone number, including area code: 1-800-992-0180

 

Date of fiscal year end: February 28

 

Date of reporting period: November 30, 2017

 

 

 

 

 

Item 1. Schedule of Investments

 

The schedules of investments as of the close of the reporting period are set forth below for:

 

Voya Global Equity Dividend and Premium Opportunity Fund

 

The schedules are not audited.

 

 

 

 

Voya Global Equity Dividend and Premium Opportunity Fund PORTFOLIO OF INVESTMENTS
as of November 30, 2017 (Unaudited)

 

Shares         Value   Percentage
of Net
Assets		 
COMMON STOCK: 94.1%          
       Belgium: 0.4%          
69,400      Ageas  $3,412,925    0.4 
                  
       Canada: 2.4%          
73,547      Canadian Imperial Bank of Commerce - XTSE   6,734,754    0.8 
425,114      Shaw Communications, Inc. - Class B   9,473,339    1.2 
64,581      TransCanada Corp.   3,097,525    0.4 
           19,305,618    2.4 
                  
       France: 11.0%          
204,393      BNP Paribas   15,475,199    1.9 
164,794      Casino Guichard Perrachon S.A.   10,022,424    1.2 
174,031      Cie de Saint-Gobain   9,919,120    1.2 
773,190      Engie SA   13,532,849    1.7 
400,300      Orange SA   6,888,871    0.9 
102,397      Sanofi   9,340,611    1.2 
238,200      Total S.A.   13,464,234    1.7 
98,825      Vinci S.A.   10,095,331    1.2 
           88,738,639    11.0 
                  
       Germany: 2.0%          
76,800      Daimler AG   6,362,502    0.8 
503,767      Deutsche Bank AG   9,500,791    1.2 
           15,863,293    2.0 
                  
       Ireland: 1.2%          
118,800      Medtronic PLC   9,757,044    1.2 
                  
       Italy: 3.8%          
738,561      Assicurazioni Generali S.p.A.   13,520,656    1.7 
428,587      ENI S.p.A.   7,050,594    0.9 
491,092   (1)  UniCredit SpA   9,900,417    1.2 
           30,471,667    3.8 
                  
       Japan: 8.5%          
103,700      Canon, Inc.   3,977,478    0.5 
436,100      Itochu Corp.   7,581,003    0.9 
198,400      Japan Airlines Co. Ltd.   7,278,730    0.9 
197,500      Japan Tobacco, Inc.   6,540,858    0.8 
1,937,800      Mitsubishi UFJ Financial Group, Inc.   13,812,880    1.7 
46,400      Murata Manufacturing Co., Ltd.   6,319,088    0.8 
968,800      Nissan Motor Co., Ltd.   9,420,960    1.2 
334,400      Sumitomo Mitsui Financial Group, Inc.   13,633,944    1.7 
           68,564,941    8.5 
                  
       Netherlands: 2.8%          
223,344   (1)  ArcelorMittal   6,723,896    0.8 
497,867      Royal Dutch Shell PLC   15,946,224    2.0 
           22,670,120    2.8 
                  
       Singapore: 1.4%          
2,418,800      Singapore Telecommunications Ltd.   6,700,130    0.9 
Shares         Value   Percentage
of Net
Assets		 
COMMON STOCK: (continued)          
       Singapore: (continued)  
219,200      United Overseas Bank Ltd.  $4,269,306    0.5 
           10,969,436    1.4 
                  
       Spain: 2.0%          
181,600      ACS Actividades de Construccion y Servicios S.A.   7,017,480    0.9 
917,043      Telefonica S.A.   9,402,496    1.1 
           16,419,976    2.0 
                  
       Sweden: 0.8%          
1,005,300      Telefonaktiebolaget LM Ericsson   6,329,097    0.8 
                  
       Switzerland: 5.0%          
409,268      Credit Suisse Group AG   6,945,146    0.8 
1,287,000      Glencore PLC   5,920,606    0.7 
121,587      Novartis AG   10,431,756    1.3 
41,281      Roche Holding AG   10,432,332    1.3 
23,111      Zurich Insurance Group AG   6,994,807    0.9 
           40,724,647    5.0 
                  
       United Kingdom: 8.3%  
2,330,813      Barclays PLC   6,081,747    0.7 
154,913      Imperial Brands PLC   6,421,001    0.8 
2,105,037      J Sainsbury PLC   6,609,653    0.8 
2,286,000      Kingfisher PLC   10,312,790    1.3 
133,123      Rio Tinto PLC   6,302,621    0.8 
330,950      SSE PLC   6,115,065    0.7 
953,400   (1)  Standard Chartered PLC   9,511,826    1.2 
5,276,054      Vodafone Group PLC   15,997,340    2.0 
           67,352,043    8.3 
                  
       United States: 44.5%  
36,011      AbbVie, Inc.   3,490,186    0.4 
54,300      Allergan plc   9,438,969    1.2 
84,100      American Electric Power Co., Inc.   6,528,683    0.8 
56,206      Amgen, Inc.   9,873,146    1.2 
91,351      Apple, Inc.   15,698,669    1.9 
159,538      Bristol-Myers Squibb Co.   10,081,206    1.2 
92,600      Bunge Ltd.   6,195,866    0.8 
436,939      Cisco Systems, Inc.   16,297,825    2.0 
219,600      Citigroup, Inc.   16,579,800    2.1 
259,000      ConocoPhillips   13,177,920    1.6 
118,925      Eli Lilly & Co.   10,065,812    1.2 
99,895      Eversource Energy   6,478,191    0.8 
114,348      Exxon Mobil Corp.   9,524,045    1.2 
299,250      Gap, Inc.   9,668,767    1.2 
872,731      General Electric Co.   15,962,250    2.0 
133,600      Gilead Sciences, Inc.   9,990,608    1.2 
328,100      Hanesbrands, Inc.   6,854,009    0.9 
91,664      Intel Corp.   4,110,214    0.5 
86,031      International Business Machines Corp.   13,246,193    1.6 
97,900      Las Vegas Sands Corp.   6,783,491    0.8 
262,357      Macy's, Inc.   6,244,097    0.8 
508,244      Mattel, Inc.   9,275,453    1.2 
56,275      McDonald's Corp.   9,677,612    1.2 
115,200      Merck & Co., Inc.   6,367,104    0.8 

 

 

 

Voya Global Equity Dividend and Premium Opportunity Fund PORTFOLIO OF INVESTMENTS
as of November 30, 2017 (Unaudited) (Continued)

 

Shares         Value   Percentage
of Net
Assets		 
COMMON STOCK: (continued)          
       United States: (continued)  
252,147      Metlife, Inc.  $13,535,251    1.7 
152,976      Microsoft Corp.   12,875,990    1.6 
569,400      Mosaic Co.   13,830,726    1.7 
247,200      Nielsen Holdings PLC   9,077,184    1.1 
353,987      Pfizer, Inc.   12,835,569    1.6 
92,700      Philip Morris International, Inc.   9,524,925    1.2 
73,304      PNC Financial Services Group, Inc.   10,303,610    1.3 
109,182      Procter & Gamble Co.   9,825,288    1.2 
151,000      Qualcomm, Inc.   10,017,340    1.2 
155,300      Schlumberger Ltd.   9,760,605    1.2 
139,783      Verizon Communications, Inc.   7,113,557    0.9 
96,300      Wal-Mart Stores, Inc.   9,363,249    1.2 
           359,673,410    44.5 
                  
    Total Common Stock          
    (Cost $752,114,273)   760,252,856    94.1 

 

              Value     Percentage
of Net
Assets		  
PURCHASED OPTIONS (2): 0.0%        
          Total Purchased Options                
          (Cost $756,875)     176,468       0.0  
                           
          Total Long-Term Investments                
          (Cost $752,871,148)     760,429,324       94.1  

 

Shares         Value   Percentage
of Net
Assets		 
SHORT-TERM INVESTMENTS: 5.2%          
       Mutual Funds: 5.2%  
41,768,313   (3)  BlackRock Liquidity Funds, FedFund, Institutional Class, 0.960%        
       (Cost $41,768,313)   41,768,313    5.2 
                  
    Total Short-Term Investments          
    (Cost $41,768,313)   41,768,313    5.2 
                  
    Total Investments in Securities
(Cost $794,639,461)		  $802,197,637    99.3 
    Assets in Excess of Other Liabilities   5,770,959    0.7 
    Net Assets  $807,968,596    100.0 

  

(1) Non-income producing security.
(2) The tables below the Portfolio of Investments detail open purchased options which are non-income producing securities.
(3) Rate shown is the 7-day yield as of November 30, 2017.
Sector Diversification  Percentage
of Net Assets		 
Financials   19.8%
Health Care   13.8%
Information Technology   10.9 
Consumer Discretionary   10.6 
Energy   9.0 
Industrials   8.2 
Consumer Staples   8.0 
Telecommunication Services   5.8 
Utilities   4.0 
Materials   4.0 
Purchased Options   0.0 
Short-Term Investments   5.2 
Assets in Excess of Other Liabilities   0.7 
Net Assets   100.0%

 

 

 

Voya Global Equity Dividend and Premium Opportunity Fund PORTFOLIO OF INVESTMENTS
as of November 30, 2017 (Unaudited) (Continued)

 

Fair Value Measurements

The following is a summary of the fair valuations according to the inputs used as of November 30, 2017 in valuing the assets and liabilities:(1)

 

   Quoted Prices
in Active Markets
for Identical
Investments
(Level 1)		   Significant
Other
Observable
Inputs#
(Level 2)		   Significant
Unobservable
Inputs
(Level 3)		   Fair Value
at
November 30,
2017		 
Asset Table                    
Investments, at fair value                    
Common Stock                    
  Belgium  $–   $3,412,925   $–   $3,412,925 
  Canada   19,305,618    –    –    19,305,618 
  France   13,532,849    75,205,790    –    88,738,639 
  Germany   –    15,863,293    –    15,863,293 
  Ireland   9,757,044    –    –    9,757,044 
  Italy   –    30,471,667    –    30,471,667 
  Japan   –    68,564,941    –    68,564,941 
  Netherlands   –    22,670,120    –    22,670,120 
  Singapore   –    10,969,436    –    10,969,436 
  Spain   –    16,419,976    –    16,419,976 
  Sweden   –    6,329,097    –    6,329,097 
  Switzerland   –    40,724,647    –    40,724,647 
  United Kingdom   –    67,352,043    –    67,352,043 
  United States   359,673,410    –    –    359,673,410 
Total Common Stock   402,268,921    357,983,935    –    760,252,856 
Purchased Options   –    176,468    –    176,468 
Short-Term Investments   41,768,313    –    –    41,768,313 
Total Investments, at fair value  $444,037,234   $358,160,403   $–   $802,197,637 
Other Financial Instruments+                    
Futures   226,771    –    –    226,771 
Total Assets  $444,264,005   $358,160,403   $–   $802,424,408 
Liabilities Table                    
Other Financial Instruments+                    
Futures  $(516,916)  $–   $–   $(516,916)
Written Options   –    (8,050,270)   –    (8,050,270)
Total Liabilities  $(516,916)  $(8,050,270)  $–   $(8,567,186)

 

(1) For the period ended November 30, 2017, as a result of the fair value pricing procedures for international equities utilized by the Fund certain securities have transferred in and out of Level 1 and Level 2 measurements during the year. The Fund's policy is to recognize transfers between levels at the beginning of the reporting period. At November 30, 2017, securities valued at $12,782,097 were transferred from Level 2 to Level 1 within the fair value hierarchy.
+ Other Financial Instruments are derivatives not reflected in the Portfolio of Investments and may include open forward foreign currency contracts, futures, centrally cleared swaps, OTC swaps and written options. Forward foreign currency contracts, futures and centrally cleared swaps are valued at the unrealized gain (loss) on the instrument.  OTC swaps and written options are valued at the fair value of the instrument.
# The earlier close of the foreign markets gives rise to the possibility that significant events, including broad market moves, may have occurred in the interim and may materially affect the value of those securities. To account for this, the Fund may frequently value many of its foreign equity securities using fair value prices based on third party vendor modeling tools to the extent available. Accordingly, a portion of the Fund's investments are categorized as Level 2 investments.

 

At November 30, 2017, the following futures contracts were outstanding for Voya Global Equity Dividend and Premium Opportunity Fund:

 

Contract Description  Number
of Contracts		   Expiration
Date		  Notional
Value		   Unrealized
Appreciation/
(Depreciation)		 
Long Contracts                  
EURO STOXX 50® Index   372   12/15/17  $15,820,272   $(215,431)
FTSE 100 Index   68   12/15/17   6,739,948    (77,684)
Nikkei 225 Index   156   12/07/17   15,756,631    226,771 
           $38,316,851   $(66,344)
Short Contracts                  
S&P 500 E-Mini   (145)  12/15/17   (19,197,275)   (223,801)
           $(19,197,275)  $(223,801)

 

 

 

 

Voya Global Equity Dividend and Premium Opportunity Fund PORTFOLIO OF INVESTMENTS
as of November 30, 2017 (Unaudited) (Continued)

 

At November 30, 2017, the following over-the-counter purchased foreign currency options were outstanding for Voya Global Equity Dividend and Premium Opportunity Fund:

 

Description  Counterparty  Expiration
Date		  Exercise
Price		  Notional
Amount		   Cost   Fair Value 
                          
Call USD vs. Put EUR  BNP Paribas S.A.  01/19/18   1.154   USD   8,000,000   $32,000   $8,276 
Call USD vs. Put EUR  BNP Paribas S.A.  12/20/17   1.165   USD   12,500,000    63,750    9,435 
Call USD vs. Put EUR  Morgan Stanley & Co. International PLC  02/20/18   1.150   USD   12,500,000    48,750    22,790 
Call USD vs. Put GBP  BNP Paribas S.A.  12/20/17   1.309   USD   25,000,000    137,500    15,471 
Call USD vs. Put GBP  Morgan Stanley & Co. International PLC  01/19/18   1.273   USD   25,000,000    150,000    12,994 
Call USD vs. Put GBP  Societe Generale  02/20/18   1.283   USD   22,500,000    118,125    44,495 
Call USD vs. Put JPY  BNP Paribas S.A.  12/20/17   115.550   USD   15,000,000    85,500    13,168 
Call USD vs. Put JPY  BNP Paribas S.A.  01/19/18   117.120   USD   17,500,000    87,500    19,010 
Call USD vs. Put JPY  Morgan Stanley & Co. International PLC  02/20/18   115.755   USD   7,500,000    33,750    30,829 
                      $756,875   $176,468 

 

At November 30, 2017, the following OTC written foreign currency options were outstanding for Voya Global Equity Dividend and Premium Opportunity Fund:

 

Description  Counterparty  Expiration
Date		  Exercise
Price		  Notional
Amount		   Premiums
Received		   Fair Value 
                          
Put USD vs. Call EUR  BNP Paribas S.A.  01/19/18   1.224   USD   8,000,000   $32,000   $(21,395)
Put USD vs. Call EUR  BNP Paribas S.A.  12/20/17   1.248   USD   12,500,000    63,750    (2,094)
Put USD vs. Call EUR  Morgan Stanley & Co. International PLC  02/20/17   1.217   USD   12,500,000    48,750    (82,639)
Put USD vs. Call GBP  BNP Paribas S.A.  12/20/17   1.409   USD   25,000,000    137,500    (9,265)
Put USD vs. Call GBP  Morgan Stanley & Co. International PLC  01/19/18   1.361   USD   25,000,000    150,000    (236,961)
Put USD vs. Call GBP  Societe Generale  02/20/18   1.367   USD   22,500,000    118,125    (248,409)
Put USD vs. Call JPY  BNP Paribas S.A.  12/20/17   105.750   USD   15,000,000    85,500    (1,741)
Put USD vs. Call JPY  BNP Paribas S.A.  01/19/18   108.200   USD   17,500,000    87,500    (41,193)
Put USD vs. Call JPY  Morgan Stanley & Co. International PLC  02/20/18   107.420   USD   7,500,000    33,750    (27,804)
                      $756,875   $(671,501)

 

At November 30, 2017, the following OTC written equity options were outstanding for Voya Global Equity Dividend and Premium Opportunity Fund:

 

Description  Counterparty  Put/Call  Expiration
Date		  Exercise
Price		  Number of
Contracts		   Notional
Amount		   Premiums
Received		   Fair Value 
                                 
EURO STOXX 50® Index  BNP Paribas S.A.  Call  12/15/17   3,684.283   EUR   2,500    8,924,825   $107,946   $(7,603)
EURO STOXX 50® Index  Societe Generale  Call  01/05/18   3,598.150   EUR   2,400    8,567,832    119,895    (101,240)
EURO STOXX 50® Index  Societe Generale  Call  12/01/17   3,635.210   EUR   2,500    8,924,825    99,613    (319)
FTSE 100 Index  Morgan Stanley & Co. International PLC  Call  01/05/18   7,416.610   GBP   2,300    16,851,341    188,337    (127,224)
FTSE 100 Index  Societe Generale  Call  12/15/17   7,539.042   GBP   2,400    17,584,008    183,679    (17,444)
FTSE 100 Index  Societe Generale  Call  12/01/17   7,566.260   GBP   2,400    17,584,008    168,811    (2)
Nikkei 225 Index  Morgan Stanley & Co. International PLC  Call  12/01/17   21,747.510   JPY   82,100    1,865,719,216    183,302    (713,701)

 

 

 

 

Voya Global Equity Dividend and Premium Opportunity Fund PORTFOLIO OF INVESTMENTS
as of November 30, 2017 (Unaudited) (Continued)

 

Description  Counterparty     Expiration
Date		  Exercise
Price		  Number of
Contracts		       Premiums
Received		   Fair Value 
Nikkei 225 Index  Morgan Stanley & Co. International PLC  Call  01/05/18   22,864.280   JPY   77,400    1,758,911,904   $260,516   $(251,393)
Nikkei 225 Index  Societe Generale  Call  12/15/17   113.960   JPY   80,100    1,820,269,296    209,744    (385,007)
S&P 500 Index  Morgan Stanley & Co. International PLC  Call  12/01/17   2,581.650   USD   33,100    87,634,898    484,187    (2,148,709)
S&P 500 Index  Morgan Stanley & Co. International PLC  Call  12/15/17   2,598.120   USD   32,900    87,105,382    619,040    (1,705,414)
S&P 500 Index  Morgan Stanley & Co. International PLC  Call  01/05/18   2,603.720   USD   32,200    85,252,076    666,814    (1,920,713)
                              $3,291,884   $(7,378,769)

 

Currency Abbreviations
EUR - EU Euro
GBP - British Pound
JPY - Japanese Yen
USD - United States Dollar

 

A summary of derivative instruments by primary risk exposure is outlined in the following tables.

 

The fair value of derivative instruments as of November 30, 2017 was as follows:

 

   Fair Value 
Derivatives not accounted for as hedging instruments     
         
Asset Derivatives  Instrument Type     
Foreign exchange contracts  Purchased options  $176,468 
Equity contracts  Futures contracts   226,771 
Total Asset Derivatives     $403,239 
         
Liability Derivatives  Instrument Type     
Equity Contracts  Futures contracts  $516,916 
Equity Contracts  Written options   7,378,769 
Foreign exchange contracts  Written options   671,501 
Total Liability Derivatives     $8,567,186 

 

The following is a summary by counterparty of the fair value of OTC derivative instruments subject to Master Netting Agreements and collateral pledged (received), if any, at November 30, 2017:

 

   BNP Paribas S.A.   Morgan Stanley & Co. International PLC   Societe Generale   Totals 
Assets:                    
Purchased Options  $65,360   $66,613   $44,495   $176,468 
Total Assets  $65,360   $66,613   $44,495   $176,468 
                     
Liabilities:                    
Written options  $83,291   $7,214,558   $752,421   $8,050,270 
Total Liabilities  $83,291   $7,214,558   $752,421   $8,050,270 
                     
Net OTC derivative instruments by counterparty, at fair value  $(17,931)  $(7,147,945)  $(707,926)   (7,873,802)
                     
Total collateral pledged by the Fund/(Received from counterparty)  $-   $5,220,000   $480,000   $5,700,000 
                     
Net Exposure(1)  $(17,931)  $(1,927,945)  $(227,926)  $(2,173,802)

 

(1)Positive net exposure represents amounts due from each respective counterparty. Negative exposure represents amounts due from the Fund.

 

At November 30, 2017, the aggregate cost of securities and other investments and the composition of unrealized appreciation and depreciation of securities and other investments at period end were:

 

Cost for federal income tax purposes was $794,845,430.

 

Net unrealized appreciation consisted of:

 

Gross Unrealized Appreciation  $91,738,650 
Gross Unrealized Depreciation   (88,815,517)
      
Net Unrealized Appreciation  $2,923,133 

 

 

 

 

Item 2. Controls and Procedures.

 

(a)Based on our evaluation conducted within 90 days of the filing date, hereof, the design and operation of the registrant’s disclosure controls and procedures are effective to ensure that material information relating to the registrant is made known to the certifying officers by others within the appropriate entities, particularly during the period in which Forms N-Q are being prepared, and the registrant’s disclosure controls and procedures allow timely preparation and review of the information for the registrant’s Form N-Q and the officer certifications of such Form N-Q.

 

(b)There were no significant changes in the registrant’s internal controls over financial reporting that occurred during the registrant’s last fiscal quarter of the period covered by this report that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting.

 

Item 3. Exhibits.

 

A separate certification for each principal executive officer and principal financial officer of the registrant as required by Rule 30a-2 under the Act (17 CFR 270.30a-2) is attached hereto as EX- 99.CERT.

 

 

 

 

SIGNATURES

 

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

 

(Registrant): Voya Global Equity Dividend and Premium Opportunity Fund

 

By /s/ Shaun P. Mathews  
  Shaun P. Mathews  
  President and Chief Executive Officer  
     
Date: January 26, 2018  

 

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.

 

By /s/ Shaun P. Mathews  
  Shaun P. Mathews  
  President and Chief Executive Officer  
     
Date: January 26, 2018  
     
By /s/ Todd Modic  
  Todd Modic  
  Senior Vice President and Chief Financial Officer  
     
Date: January 26, 2018