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:
811-05617
Shelton Greater China Fund
(Exact name of registrant as specified in charter)
44 Montgomery Street, Suite 2100
San Francisco, California 94104-4708
(Address of principal executive offices) (Zip code)
Teresa Axelson
44 Montgomery Street, Suite 2100
San Francisco, California 94104-4708
(Name and address of agent for service)
Registrant’s telephone number, including area code:
(800) 955-9988
Date of fiscal year end:
December 31
Date of reporting period:
March 31, 2013
ITEM 1. SCHEDULE OF INVESTMENTS
SHELTON GREATER CHINA FUND
Portfolio of Investments (Expressed in U.S. Dollars) (Unaudited) / March 31, 2013
Security Description
|
|
Shares
|
|
|
Value
|
|
Common Stock (96.17%)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic Materials (1.36%)
|
|
|
|
|
|
|
Kingboard Chemical Holdings Ltd
|
|
|
12,500
|
|
|
|
35,588
|
|
Lee & Man Paper Manufacturing Ltd
|
|
|
39,000
|
|
|
|
30,547
|
|
Angang Steel Co Ltd
|
|
|
36,000
|
|
|
|
19,710
|
|
Zijin Mining Group Co Ltd
|
|
|
350,000
|
|
|
|
115,425
|
|
Total Basic Materials
|
|
|
|
|
|
|
201,270
|
|
|
|
|
|
|
|
|
|
|
Communications (9.02%)
|
|
|
|
|
|
|
|
|
Tencent Holdings Ltd
|
|
|
11,100
|
|
|
|
352,910
|
|
China Mobile Ltd
|
|
|
64,000
|
|
|
|
677,716
|
|
Chunghwa Telecom Co Ltd
|
|
|
100,000
|
|
|
|
308,335
|
|
Total Communications
|
|
|
|
|
|
|
1,338,961
|
|
|
|
|
|
|
|
|
|
|
Consumer, Cyclical (6.01%)
|
|
|
|
|
|
|
|
|
Great Wall Motor Co Ltd
|
|
|
32,500
|
|
|
|
110,112
|
|
Haier Electronics Group Co Ltd
|
|
|
66,000
|
|
|
|
105,259
|
|
Formosa International Hotels Corp
|
|
|
16,000
|
|
|
|
180,854
|
|
Sands China Ltd
|
|
|
50,000
|
|
|
|
259,258
|
|
SA SA International Holdings Ltd
|
|
|
150,000
|
|
|
|
145,120
|
|
Intime Department Store Group Co Ltd
|
|
|
81,000
|
|
|
|
92,034
|
|
Total Consumer, Cyclical
|
|
|
|
|
|
|
892,637
|
|
|
|
|
|
|
|
|
|
|
Consumer, Non-Cyclical (3.54%)
|
|
|
|
|
|
|
|
|
Uni-President Enterprises Corp
|
|
|
49,100
|
|
|
|
93,102
|
|
Want Want China Holdings Ltd
|
|
|
200,000
|
|
|
|
306,600
|
|
TTY Biopharm Co Ltd
|
|
|
12,000
|
|
|
|
39,327
|
|
Sinopharm Group Co Ltd
|
|
|
26,700
|
|
|
|
86,162
|
|
Total Consumer, Non-Cyclical
|
|
|
|
|
|
|
525,191
|
|
|
|
|
|
|
|
|
|
|
Diversified (0.24%)
|
|
|
|
|
|
|
|
|
Wharf Holdings Ltd
|
|
|
4,000
|
|
|
|
35,658
|
|
Total Diversified
|
|
|
|
|
|
|
35,658
|
|
|
|
|
|
|
|
|
|
|
Energy (8.81%)
|
|
|
|
|
|
|
|
|
China Shenhua Energy Co Ltd
|
|
|
50,000
|
|
|
|
181,641
|
|
Shougang Fushan Resources Group Ltd
|
|
|
64,000
|
|
|
|
28,527
|
|
GCL-Poly Energy Holdings Ltd
|
|
|
156,000
|
|
|
|
31,752
|
|
CNOOC Ltd
|
|
|
350,000
|
|
|
|
672,718
|
|
China Petroleum & Chemical Corp
|
|
|
100,000
|
|
|
|
117,745
|
|
PetroChina Co Ltd
|
|
|
210,000
|
|
|
|
275,399
|
|
Total Energy
|
|
|
|
|
|
|
1,307,782
|
|
|
|
|
|
|
|
|
|
|
Financial (37.40%)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Banks (17.58%)
|
|
|
|
|
|
|
|
|
China Construction Bank Corp
|
|
|
1,000,000
|
|
|
|
816,742
|
|
Industrial & Commercial Bank of China Ltd
|
|
|
1,100,000
|
|
|
|
770,881
|
|
China Minsheng Banking Corp Ltd
|
|
|
27,500
|
|
|
|
35,037
|
|
BOC Hong Kong Holdings Ltd
|
|
|
70,000
|
|
|
|
233,557
|
|
Chongqing Rural Commercial Bank
|
|
|
67,000
|
|
|
|
35,819
|
|
Hang Seng Bank Ltd
|
|
|
10,000
|
|
|
|
160,385
|
|
Bank of China Ltd
|
|
|
1,200,000
|
|
|
|
556,518
|
|
|
|
|
|
|
|
|
2,608,939
|
|
SHELTON GREATER CHINA FUND
Portfolio of Investments (Expressed in U.S. Dollars) (Unaudited) / March 31, 2013
Diversified Financial Services (3.01%)
|
|
|
|
|
|
|
|
|
Hong Kong Exchanges and Clearing Ltd
|
|
|
10,000
|
|
|
|
170,305
|
|
China Everbright Ltd
|
|
|
20,000
|
|
|
|
31,742
|
|
Mega Financial Holding Co Ltd
|
|
|
6,000
|
|
|
|
4,846
|
|
Fubon Financial Holding Co Ltd
|
|
|
167,713
|
|
|
|
239,770
|
|
|
|
|
|
|
|
|
446,663
|
|
|
|
|
|
|
|
|
|
|
Insurance (3.44%)
|
|
|
|
|
|
|
|
|
AIA Group Ltd
|
|
|
50,000
|
|
|
|
219,000
|
|
PICC Property & Casualty Co Ltd
|
|
|
26,000
|
|
|
|
33,394
|
|
China Life Insurance Co Ltd
|
|
|
100,000
|
|
|
|
258,936
|
|
|
|
|
|
|
|
|
511,330
|
|
|
|
|
|
|
|
|
|
|
Real Estate (13.37%)
|
|
|
|
|
|
|
|
|
Sino-Ocean Land Holdings Ltd
|
|
|
54,500
|
|
|
|
32,858
|
|
China Resources Land Ltd
|
|
|
14,000
|
|
|
|
39,137
|
|
Kerry Properties Ltd
|
|
|
30,000
|
|
|
|
133,139
|
|
China Overseas Land & Investment Ltd
|
|
|
80,000
|
|
|
|
220,546
|
|
Hysan Development Co Ltd
|
|
|
40,000
|
|
|
|
201,995
|
|
Cheung Kong Holdings Ltd
|
|
|
25,000
|
|
|
|
369,080
|
|
Sun Hung Kai Properties Ltd
|
|
|
30,000
|
|
|
|
404,249
|
|
New World Development Co Ltd
|
|
|
23,000
|
|
|
|
38,933
|
|
Link REIT/The
|
|
|
100,000
|
|
|
|
544,924
|
|
|
|
|
|
|
|
|
1,984,861
|
|
|
|
|
|
|
|
|
|
|
Total Financial
|
|
|
|
|
|
|
5,551,793
|
|
|
|
|
|
|
|
|
|
|
Industrial (8.52%)
|
|
|
|
|
|
|
|
|
BBMG Corp
|
|
|
29,000
|
|
|
|
23,648
|
|
China National Building Material Co Ltd
|
|
|
16,000
|
|
|
|
20,138
|
|
Tianneng Power International Ltd
|
|
|
150,000
|
|
|
|
100,289
|
|
Hon Hai Precision Industry Co Ltd
|
|
|
41,638
|
|
|
|
115,156
|
|
China State Construction International Holdings Ltd
|
|
|
500,000
|
|
|
|
684,054
|
|
China Everbright International Ltd
|
|
|
411,200
|
|
|
|
295,056
|
|
Fosun International Ltd
|
|
|
39,000
|
|
|
|
26,527
|
|
Total Industrial
|
|
|
|
|
|
|
1,264,868
|
|
|
|
|
|
|
|
|
|
|
Technology (15.32%)
|
|
|
|
|
|
|
|
|
Lenovo Group Ltd
|
|
|
36,000
|
|
|
|
35,756
|
|
Asustek Computer Inc
|
|
|
30,000
|
|
|
|
356,659
|
|
MediaTek Inc
|
|
|
25,000
|
|
|
|
284,258
|
|
Taiwan Semiconductor Manufacturing Co Ltd
|
|
|
308,284
|
|
|
|
1,030,964
|
|
Chipbond Technology Corp
|
|
|
250,000
|
|
|
|
566,006
|
|
Total Technology
|
|
|
|
|
|
|
2,273,643
|
|
|
|
|
|
|
|
|
|
|
Utilities (5.95%)
|
|
|
|
|
|
|
|
|
China Resources Power Holdings Co Ltd
|
|
|
142,000
|
|
|
|
425,312
|
|
Power Assets Holdings Ltd
|
|
|
30,000
|
|
|
|
283,090
|
|
Hong Kong & China Gas Co Ltd
|
|
|
60,000
|
|
|
|
175,071
|
|
Total Utilities
|
|
|
|
|
|
|
883,473
|
|
|
|
|
|
|
|
|
|
|
Total Common Stock (Cost $11,975,655)
|
|
|
|
|
|
|
14,275,276
|
|
SHELTON GREATER CHINA FUND
Portfolio of Investments (Expressed in U.S. Dollars) (Unaudited) / March 31, 2013
Short-Term Investments (3.51%)
|
|
|
|
|
|
|
|
|
Time Deposit (3.51%)
|
|
|
|
|
|
|
|
|
Bank of America, London, United Kingdom, 0.03%, Due 04/01/13
|
|
|
|
|
|
|
520,426
|
|
|
|
|
|
|
|
|
|
|
Total Short-Term Investments (Cost $520,426)
|
|
|
|
|
|
|
520,426
|
|
|
|
|
|
|
|
|
|
|
Total Investments (Cost $12,496,081) (a) (99.68%)
|
|
|
|
|
|
|
14,795,702
|
|
Other Net Assets (0.32%)
|
|
|
|
|
|
|
47,520
|
|
Net Assets (100.00%)
|
|
|
|
|
|
|
14,843,222
|
|
|
|
|
|
|
|
|
|
|
(a) March 31, 2013, unrealized apprecation (depreciation) of securities is as follows:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Unrealized appreciation
|
|
|
|
|
|
$
|
2,475,619
|
|
Unrealized depreciation
|
|
|
|
|
|
|
(175,998
|
)
|
Net unrealized appreciation
|
|
|
|
|
|
$
|
2,299,621
|
|
Fair Value Measurements -
The Fund utilizes various methods to measure the fair value of most of its investments on a recurring basis. U.S. GAAP establishes a hierarchy that prioritizes inputs to valuation methods. The three levels of inputs are:
Level 1 - Unadjusted quoted prices in active markets for identical assets or liabilities that the company has the ability to access.
Level 2 - Observable inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly or indirectly. These inputs may include quoted prices for the identical instrument on an inactive market, prices for similar instruments, interest rates, prepayment speeds, credit risk, yield curves, default rates and similar data.
Level 3 - Unobservable inputs for the asset or liability, to the extent relevant observable inputs are not available, representing the Fund’s own assumptions about the assumptions a market participant would use in valuing the asset or liability, and would be based on the best information available.
The availability of observable inputs can vary from security to security and is affected by a wide variety of factors, including, for example, the type of security, whether the security is new and not yet established in the marketplace, the liquidity of markets, and other characteristics particular to the security. To the extent that valuation is based on models or inputs that are less observable or unobservable in the market, the determination of fair value requires more judgment. Accordingly, the degree of judgment exercised in determining fair value is greatest for instruments categorized in Level 3.
The inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, for disclosure purposes, the level in the fair value hierarchy within which the fair value measurement falls in its entirety, is determined based on the lowest level input that is significant to the fair value measurement in its entirety.
The following table summarizes the valuation of the Trust's securities at March 31, 2013 using fair value hierarchy:
|
|
Level 1
(b)
|
|
|
Level 2
(b)
|
|
|
Level 3
(b)
|
|
|
Total
|
|
Investments, in securities
|
|
|
|
|
|
|
|
|
|
|
|
|
Common stocks
(a)
|
|
$
|
14,275,276
|
|
|
$
|
-
|
|
|
$
|
-
|
|
|
$
|
14,275,276
|
|
Rights and warrants
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
$
|
-
|
|
Short term securities
|
|
|
520,426
|
|
|
|
-
|
|
|
|
-
|
|
|
$
|
520,426
|
|
Total investments in securities
|
|
$
|
14,795,702
|
|
|
$
|
-
|
|
|
$
|
-
|
|
|
$
|
14,795,702
|
|
(a)
|
For a detailed breakout of common stocks by major industry classification, please refer to the Portfolio of Investments.
|
(b)
|
There were no transfers in or out of Level 1, Level 2 and Level 3 during the period ended March 31, 2013.
|
ITEM 2. CONTROLS AND PROCEDURES.
(a) Based on an evaluation of the disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940), the disclosure controls and procedures as of a date within 90 days prior to the filing date of this Form N-Q (the "Report"), are reasonably designed to ensure that information required to be disclosed by the Registrant in the Report is recorded, processed, summarized and reported by the filing date, including ensuring that information required to be disclosed in the Report is accumulated and communicated to the Registrant's management, including the Registrant's principal executive officer and principal financial officer. Based on such evaluation, the Registrant's Principal Executive Officer and Principal Financial Officer have determined that the disclosure controls and procedures are effective.
(b) There were no significant changes in the Registrant's internal controls over financial reporting or in other factors that could significantly affect these controls subsequent to the date of their evaluation, in connection with the preparations of this Quarterly Schedule of Portfolio of Investments.
ITEM 3. EXHIBITS.
Separate certifications for each principal executive officer and principal financial officer of the registrant as required by Rule 30a-2(a) under the Act (17 CFR 270.30a-2(a)) is attached hereto as Exhibit 99.CERT.
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.
Shelton Greater China Fund
By
/s/ Stephen C. Rogers
Stephen C. Rogers,
President (as Principal Executive Officer)
Date: May 15, 2013
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/ Stephen C. Rogers
Stephen C. Rogers,
President (as Principal Executive Officer)
Date: May 15, 2013
By
/s/ William P. Mock
William P. Mock
Treasurer (as Principal Financial Officer)
Date: May 15, 2013