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 811-21983
Name of Fund: NASDAQ Premium Income & Growth Fund Inc. (QQQX)
Fund Address: P.O. Box 9011
Princeton, NJ 08543-9011
Name and address of agent for service: Mitchell M. Cox, Chief Executive Officer,
NASDAQ Premium Income & Growth Fund Inc., 4 World Financial Center, 6th
Floor, New York, New York 10080.
Registrant's telephone number, including area code: (877) 449-4742
Date of fiscal year end: 12/31/2008
Date of reporting period: 01/01/2008 - 03/31/2008
Item 1 - Schedule of Investments
NASDAQ Premium Income & Growth Fund Inc.
Schedule of Investments as of March 31, 2008 (Unaudited)
Industry Shares Held Common Stocks Value
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Aerospace & Defense - 2.0% 9,361 Boeing Co. $ 696,178
25,937 Ceradyne, Inc. (a) 828,946
45,125 L-3 Communications Holdings, Inc. 4,933,967
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6,459,091
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Airlines - 0.5% 74,143 SkyWest, Inc. 1,565,900
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Biotechnology - 10.7% 117,031 Amgen, Inc. (a) 4,889,555
73,210 Biogen Idec, Inc. (a) 4,516,325
78,976 Celgene Corp. (a) 4,840,439
34,374 Crucell NV (a)(b) 529,703
6,766 Genentech, Inc. (a) 549,264
95,968 Genzyme Corp. (a) 7,153,455
203,301 Gilead Sciences, Inc. (a) 10,476,101
30,403 OSI Pharmaceuticals, Inc. (a) 1,136,768
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34,091,610
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Capital Markets - 0.9% 8,672 Affiliated Managers Group, Inc. (a) 786,897
66,078 Calamos Asset Management, Inc. Class A 1,075,750
16,408 Northern Trust Corp. 1,090,640
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2,953,287
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Commercial Banks - 0.6% 24,371 East-West Bancorp, Inc. 432,585
8,066 The PNC Financial Services Group, Inc. 528,888
23,001 SVB Financial Group (a) 1,003,764
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1,965,237
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Commercial Services & Supplies - 1.3% 24,687 The Advisory Board Co. (a) 1,356,304
22,291 ChoicePoint, Inc. (a) 1,061,052
35,517 Stericycle, Inc. (a) 1,829,126
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4,246,482
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Communications Equipment - 15.7% 52,383 ADC Telecommunications, Inc. (a) 632,787
595,533 Cisco Systems, Inc. (a) 14,346,390
27,703 Comtech Telecommunications Corp. (a) 1,080,417
24,960 F5 Networks, Inc. (a) 453,523
87,170 JDS Uniphase Corp. (a) 1,167,206
419,575 QUALCOMM, Inc. 17,202,575
135,550 Research In Motion Ltd. (a) 15,212,777
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50,095,675
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Computers & Peripherals - 13.8% 269,638 Apple, Inc. (a) 38,693,053
212,016 Dell, Inc. (a) 4,223,359
22,066 NCR Corp. (a) 503,767
20,207 Teradata Corp. (a) 445,766
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43,865,945
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Diversified Consumer Services - 0.6% 5,856 ITT Educational Services, Inc. (a) 268,966
9,725 Strayer Education, Inc. 1,483,063
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1,752,029
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Diversified Financial Services - 0.6% 48,938 The NASDAQ Stock Market, Inc. (a) 1,891,943
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Electronic Equipment & Instruments - 1.2% 43,073 Electro Scientific Industries, Inc. (a) 709,843
29,588 Flir Systems, Inc. (a) 890,303
28,708 National Instruments Corp. 750,427
93,288 Smart Modular Technologies WWH, Inc. (a) 579,318
31,475 Trimble Navigation Ltd. (a) 899,870
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3,829,761
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NASDAQ Premium Income & Growth Fund Inc.
Schedule of Investments as of March 31, 2008 (Unaudited)
Industry Shares Held Common Stocks Value
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Energy Equipment & Services - 2.6% 94,975 Hercules Offshore, Inc. (a) $ 2,385,772
145,102 Superior Energy Services, Inc. (a) 5,748,941
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8,134,713
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Food & Staples Retailing - 0.6% 21,170 The Kroger Co. 537,718
32,664 Walgreen Co. 1,244,172
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1,781,890
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Health Care Equipment & 64,505 Align Technology, Inc. (a) 716,650
Supplies - 1.3% 22,717 ArthroCare Corp. (a) 757,612
6,342 Intuitive Surgical, Inc. (a) 2,057,028
14,478 Kinetic Concepts, Inc. (a) 669,318
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4,200,608
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Health Care Providers & 45,732 Express Scripts, Inc. (a) 2,941,482
Services - 1.2% 33,728 Lincare Holdings, Inc. (a) 948,094
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3,889,576
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Hotels, Restaurants & Leisure - 0.2% 17,602 Darden Restaurants, Inc. 572,945
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Household Durables - 1.2% 64,517 Garmin Ltd. 3,484,563
6,868 Mohawk Industries, Inc. (a) 491,817
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3,976,380
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IT Services - 0.7% 44,254 Acxiom Corp. 525,295
38,647 CSG Systems International, Inc. (a) 439,416
29,742 Computer Sciences Corp. (a) 1,213,176
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2,177,887
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Insurance - 1.1% 38,379 Arch Capital Group Ltd. (a) 2,635,486
14,608 CNA Financial Corp. 376,740
9,376 Erie Indemnity Co. Class A 479,957
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3,492,183
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Internet & Catalog Retail - 1.6% 74,480 Amazon.com, Inc. (a) 5,310,424
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Internet Software & Services - 6.9% 40,442 DivX, Inc. (a) 283,094
237,989 eBay, Inc. (a) 7,101,592
10,339 Equinix, Inc. (a) 687,440
30,024 Google, Inc. Class A (a) 13,224,671
12,328 Sohu.com, Inc. (a) 556,363
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21,853,160
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Life Sciences Tools & Services - 1.2% 45,583 Invitrogen Corp. (a) 3,895,979
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Machinery - 0.2% 8,323 Terex Corp. (a) 520,188
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Media - 1.1% 28,617 Cablevision Systems Corp. Class A (a) 613,262
9,212 Central European Media Enterprises Ltd. Class A (a) 785,139
50,768 Liberty Media Corp. - Entertainment Class A (a) 1,149,388
12,692 Liberty Media Holding Corp. - Capital (a) 199,772
23,942 Scholastic Corp. (a) 724,724
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3,472,285
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Metals & Mining - 0.5% 15,275 Freeport-McMoRan Copper & Gold, Inc. Class B 1,469,760
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Oil, Gas & Consumable Fuels - 0.2% 6,784 Chevron Corp. 579,082
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Personal Products - 0.1% 15,017 USANA Health Sciences, Inc. (a) 330,825
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Pharmaceuticals - 2.6% 10,583 GlaxoSmithKline Plc (b) 449,037
166,613 Teva Pharmaceutical Industries Ltd. (b) 7,695,854
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8,144,891
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NASDAQ Premium Income & Growth Fund Inc.
Schedule of Investments as of March 31, 2008 (Unaudited)
Industry Shares Held Common Stocks Value
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Semiconductors & Semiconductor 166,592 ASML Holding NV (a)(b) $ 4,133,148
Equipment - 10.3% 38,472 Cabot Microelectronics Corp. (a) 1,236,875
58,289 Diodes, Inc. (a) 1,280,026
110,506 Integrated Device Technology, Inc. (a) 986,819
587,756 Intel Corp. 12,448,672
21,184 International Rectifier Corp. (a) 455,456
65,049 Intersil Corp. Class A 1,669,808
49,971 Microsemi Corp. (a) 1,139,339
168,478 Nvidia Corp. (a) 3,334,180
126,246 Texas Instruments, Inc. 3,568,974
16,899 Varian Semiconductor Equipment
Associates, Inc. (a) 475,707
42,389 Xilinx, Inc. 1,006,739
71,769 Zoran Corp. (a) 980,365
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32,716,108
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Software - 16.5% 254,899 Adobe Systems, Inc. (a) 9,071,855
17,359 Advent Software, Inc. (a) 739,841
20,470 Ansys, Inc. (a) 706,624
45,453 CA, Inc. 1,022,692
18,655 Factset Research Systems, Inc. 1,004,945
30,653 McAfee, Inc. (a) 1,014,308
691,401 Microsoft Corp. 19,621,960
593,697 Oracle Corp. (a) 11,612,713
21,764 Quality Systems, Inc. 650,091
32,356 SAP AG (b) 1,603,887
29,044 SPSS, Inc. (a) 1,126,326
218,816 Symantec Corp. (a) 3,636,722
33,453 Synopsys, Inc. (a) 759,718
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52,571,682
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Specialty Retail - 2.0% 118,186 Charlotte Russe Holding, Inc. (a) 2,049,345
65,488 Jos. A. Bank Clothiers, Inc. (a) 1,342,504
107,701 Staples, Inc. 2,381,269
16,690 Tiffany & Co. 698,310
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6,471,428
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Textiles, Apparel & Luxury 16,428 Phillips-Van Heusen Corp. 622,950
Goods - 0.2%
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Trading Companies & 34,454 Houston Wire & Cable Co. 551,953
Distributors - 0.2%
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Total Common Stocks
(Cost - $303,690,740) - 100.4% 319,453,857
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Face Amount Short-Term Securities
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Time Deposits - 2.3% $ 7,122,164 State Street Bank & Trust Co., 1.25%, due 4/01/2008 7,122,164
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Total Short-Term Securities
(Cost - $7,122,164) - 2.3% 7,122,164
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Total Investments Before Options Written
(Cost - $310,812,904*) - 102.7% 326,576,021
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Number of
Contracts Options Written
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Call Options Written 205 NASDAQ Index 100, expiring April 2008 (1,620,525)
at USD 1,725
NASDAQ Premium Income & Growth Fund Inc.
Schedule of Investments as of March 31, 2008 (Unaudited)
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Number of
Contracts Options Written Value
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205 NASDAQ Index 100, expiring April 2008 at
USD 1,750 $ (1,268,950)
205 NASDAQ Index 100, expiring May 2008 at
USD 1,750 (1,837,825)
205 NASDAQ Index 100, expiring May 2008 at
USD 1,775 (1,532,375)
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Total Options Written (Premiums
Received - $4,286,140) - (2.0%) (6,259,675)
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Total Investments, Net of Options Written
(Cost - $306,526,764) - 100.7% 320,316,346
Liabilities in Excess of Other Assets - (0.7%) (2,167,076)
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Net Assets - 100.0% $ 318,149,270
=============
* The cost and unrealized appreciation (depreciation) of investments as of
March 31, 2008, as computed for federal income tax purposes, were as
follows:
Aggregate cost $ 310,911,228
=============
Gross unrealized appreciation $ 42,553,208
Gross unrealized depreciation (26,888,415)
-------------
Net unrealized appreciation $ 15,664,793
=============
(a) Non-income producing security.
(b) Depositary receipts.
o For Fund portfolio compliance purposes, the Fund's industry
classifications refer to any one or more of the industry
sub-classifications used by one or more widely recognized market indexes
or ratings group indexes, and/or as defined by Fund management. This
definition may not apply for purposes of this report, which may combine
industry sub-classifications for reporting ease. Industries are shown as a
percent of net assets.
NASDAQ Premium Income & Growth Fund Inc.
o Effective January 1, 2008, NASDAQ Premium Income & Growth Fund Inc. (the
"Fund") adopted FASB Statement of Financial Accounting Standards No. 157,
"Fair Value Measurements" ("FAS 157"). FAS 157 clarifies the definition of
fair value, establishes a framework for measuring fair values and requires
additional disclosures about the use of fair value measurements. Various
inputs are used in determining the fair value of investments, which are as
follows:
o Level 1 - price quotations in active markets/exchanges for
identical securities
o Level 2 - other observable inputs (including, but not limited
to: quoted prices for similar assets or liabilities in markets
that are not active, inputs other than quoted prices that are
observable for the assets or liabilities (such as interest
rates, yield curves, volatilities, prepayment speeds, loss
severities, credit risks, and default rates) or other
market-corroborated inputs)
o Level 3 - unobservable inputs based on the best information
available in the circumstance, to the extent observable inputs
are not available (including the Fund's own assumptions used
in determining the fair value of investments)
The inputs or methodology used for valuing securities are not necessarily an
indication of the risk associated with investing in those securities. For
information about the Fund's policy regarding valuation of investments and other
significant accounting policies, please refer to the Fund's most recent
financial statements as contained in its annual report.
The following table summarizes the inputs used as of March 31, 2008 in
determining the fair valuation of the Fund's investments:
--------------------------------------------------------------------------------
Investments in Other Financial
Valuation Inputs Securities Instruments*
--------------------------------------------------------------------------------
Level 1 $326,576,021 $(6,259,675)
Level 2 0 0
Level 3 0 0
--------------------------------------------------------------------------------
Total $326,576,021 $(6,259,675)
================================================================================
*Other financial instruments are derivative instruments such as options.
Item 2 - Controls and Procedures
2(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")) are effective as of a date within 90 days of the
filing of this report based on the evaluation of these controls and
procedures required by Rule 30a-3(b) under the 1940 Act and Rule
13a-15(b) under the Securities Exchange Act of 1934, as amended.
2(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)
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 - Attached hereto
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.
NASDAQ Premium Income & Growth Fund Inc.
By: /s/ Mitchell M. Cox
--------------------
Mitchell M. Cox
Chief Executive Officer (principal executive officer) of
NASDAQ Premium Income & Growth Fund Inc.
Date: May 21, 2008
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/ Mitchell M. Cox
--------------------
Mitchell M. Cox
Chief Executive Officer (principal executive officer) of
NASDAQ Premium Income & Growth Fund Inc.
Date: May 21, 2008
By: /s/ James E. Hillman
--------------------
James E. Hillman
Chief Financial Officer (principal financial officer) of
NASDAQ Premium Income & Growth Fund Inc.
Date: May 21, 2008