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: 811-21786

 

Voya Global Advantage 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: May 31, 2016

 

 

 

 

 

Item 1. Schedule of Investments

 

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

 

Voya Global Advantage and Premium Opportunity Fund

 

The schedules are not audited.

 

 

 

  

Voya Global Advantage and Premium Opportunity Fund PORTFOLIO OF INVESTMENTS
as of May 31, 2016 (Unaudited)

 

Shares        Value   Percentage
of Net
Assets		 
COMMON STOCK: 97.0%         
      Australia: 4.3%          
20,755     Caltex Australia Ltd.  $489,692    0.2 
269,395     Challenger Ltd.   1,858,475    0.9 
936,106     Fortescue Metals Group Ltd.   2,013,138    1.0 
557,163     Harvey Norman Holdings Ltd.   1,832,175    0.9 
516,946     Scentre Group   1,738,817    0.9 
652,235  @  South32 Ltd.   733,415    0.4 
          8,665,712    4.3 
                 
      Austria: 2.2%          
48,635     Lenzing AG   4,461,654    2.2 
                 
      Belgium: 0.4%          
11,366     UCB S.A.   821,062    0.4 
                 
      Canada: 3.4%          
15,592     Canadian Imperial Bank of Commerce   1,209,811    0.6 
106,980     Toronto-Dominion Bank   4,659,037    2.3 
232,534     Yamana Gold, Inc. (CAD)   980,602    0.5 
          6,849,450    3.4 
                 
      Denmark: 1.0%          
67,431     Danske Bank A/S   1,946,683    1.0 
                 
      Finland: 2.5%          
110,238     Neste Oyj   3,712,122    1.9 
66,468     UPM-Kymmene OYJ   1,278,907    0.6 
          4,991,029    2.5 
                 
      France: 2.7%          
42,283     AXA S.A.   1,062,462    0.5 
58,069     Vinci S.A.   4,373,168    2.2 
          5,435,630    2.7 
                 
      Germany: 2.8%          
21,362     Muenchener Rueckversicherungs-Gesellschaft AG   4,016,107    2.0 
9,844     ProSiebenSat.1 Media SE   495,251    0.3 
12,176     RTL Group SA   1,096,499    0.5 
          5,607,857    2.8 
                 
      Hong Kong: 0.9%          
129,551     CLP Holdings Ltd.   1,221,196    0.6 
124,000     Wharf Holdings Ltd.   671,006    0.3 
          1,892,202    0.9 
                 
      Japan: 6.2%          
8,200     East Japan Railway Co.   743,965    0.4 
89,200     Itochu Corp.   1,111,025    0.5 
103,600     Japan Airlines Co. Ltd.   3,536,083    1.7 
61,500     Nippon Telegraph & Telephone Corp.   2,691,557    1.3 
173,300     Sumitomo Rubber Industries, Inc.   2,529,269    1.3 
8,600     Tokyo Electron Ltd.   633,123    0.3 
Shares        Value   Percentage
of Net
Assets		 
COMMON STOCK: (continued)         
      Japan: (continued)          
751,000     Ube Industries Ltd.  $1,399,261    0.7 
          12,644,283    6.2 
                 
      Portugal: 0.4%          
267,110     EDP - Energias de Portugal SA   890,444    0.4 
                 
      Singapore: 0.3%          
381,500     CapitaLand Mall Trust   562,582    0.3 
                 
      Switzerland: 4.9%          
26,487     Actelion Ltd. - Reg   4,348,796    2.2 
7,470     Chubb Ltd.   945,777    0.4 
9,221     Partners Group   3,888,215    1.9 
9,577     Swiss Re Ltd.   860,595    0.4 
          10,043,383    4.9 
                 
      United Kingdom: 10.0%          
87,646     Anglo American PLC   756,234    0.4 
142,685     Barratt Developments PLC   1,220,337    0.6 
78,778     British American Tobacco PLC   4,792,252    2.4 
32,272     Diageo PLC   875,709    0.4 
83,755     Imperial Brands PLC   4,554,987    2.2 
347,335     International Consolidated Airlines Group SA   2,715,697    1.3 
185,636     ITV PLC   576,014    0.3 
81,326     Persimmon PLC   2,474,114    1.2 
15,448     Shire PLC   954,445    0.5 
457,683     Taylor Wimpey PLC   1,359,105    0.7 
          20,278,894    10.0 
                 
      United States: 55.0%          
60,416     Aflac, Inc.   4,196,495    2.1 
7,124  @  Alphabet, Inc. - Class A   5,334,807    2.6 
2,013  @  Alphabet, Inc. - Class C   1,481,004    0.7 
20,301     Altria Group, Inc.   1,291,956    0.6 
23,697     American Electric Power Co., Inc.   1,533,907    0.8 
27,790     Apple, Inc.   2,775,109    1.4 
102,900     AT&T, Inc.   4,028,535    2.0 
17,866  @  Berkshire Hathaway, Inc. – Class B   2,510,888    1.2 
28,689     Best Buy Co., Inc.   922,925    0.5 
13,964     Bristol-Myers Squibb Co.   1,001,219    0.5 
39,299     CA, Inc.   1,270,144    0.6 
13,962     Campbell Soup Co.   845,678    0.4 
26,203     CenturyLink, Inc.   710,625    0.4 
41,495     Cisco Systems, Inc.   1,205,430    0.6 
89,058     Citigroup, Inc.   4,147,431    2.0 
12,771     Colgate-Palmolive Co.   899,206    0.4 
51,405     Corning, Inc.   1,073,850    0.5 
15,399     Darden Restaurants, Inc.   1,044,514    0.5 
87,983     Delta Air Lines, Inc.   3,823,741    1.9 
11,178     Deluxe Corp.   728,023    0.4 
26,046     Discover Financial Services   1,479,673    0.7 
13,944     Dr Pepper Snapple Group, Inc.   1,274,482    0.6 
23,590     Duke Realty Corp.   558,375    0.3 
20,769     EMC Corp.   580,494    0.3 

 

 

 

Voya Global Advantage and Premium Opportunity Fund PORTFOLIO OF INVESTMENTS
as of May 31, 2016 (Unaudited) (Continued)

  

Shares        Value   Percentage
of Net
Assets		 
COMMON STOCK: (continued)         
      United States: (continued)          
10,928     Equifax, Inc.  $1,373,977    0.7 
59,535     Foot Locker, Inc.   3,329,197    1.6 
320,706     Ford Motor Co.   4,326,324    2.1 
43,845     General Electric Co.   1,325,434    0.7 
49,873     Gilead Sciences, Inc.   4,341,943    2.1 
49,038     Host Hotels & Resorts, Inc.   755,185    0.4 
4,694     International Business Machines Corp.   721,656    0.4 
96,983     Intel Corp.   3,063,693    1.5 
41,294     Interpublic Group of Cos., Inc.   986,927    0.5 
22,657     Kroger Co.   810,214    0.4 
92,399     Merck & Co., Inc.   5,198,368    2.6 
17,250  @  Michael Kors Holdings Ltd.   736,920    0.4 
24,380     Microsoft Corp.   1,292,140    0.6 
16,051     Omnicom Group, Inc.   1,337,530    0.7 
162,914     Pfizer, Inc.   5,653,116    2.8 
32,870     Philip Morris International, Inc.   3,243,612    1.6 
6,327     Phillips 66   508,438    0.3 
107,293     PPL Corp.   4,135,072    2.0 
11,285     Public Service Enterprise Group, Inc.   505,004    0.2 
18,942     Qualcomm, Inc.   1,040,295    0.5 
46,575     Rockwell Collins, Inc.   4,117,230    2.0 
20,085     Scripps Networks Interactive - Class A   1,292,269    0.6 
4,568     Stryker Corp.   507,779    0.3 
7,907     Tesoro Corp.   617,379    0.3 
17,276     Texas Instruments, Inc.   1,046,926    0.5 
18,840     Torchmark Corp.   1,161,109    0.6 
78,484     Transocean Ltd.   768,358    0.4 
8,414     Tyson Foods, Inc.   536,645    0.3 
10,701     United Technologies Corp.   1,076,307    0.5 
8,156     UnitedHealth Group, Inc.   1,090,212    0.5 
26,330     US Bancorp   1,127,451    0.6 
62,696     Valero Energy Corp.   3,429,471    1.7 
58,868     Visa, Inc. - Class A   4,647,040    2.3 
11,838     Xilinx, Inc.   561,003    0.3 
          111,382,735    55.0 
                 
   Total Common Stock          
   (Cost $184,600,055)   196,473,600    97.0 
                 
   Assets in Excess of Other Liabilities   6,051,488    3.0 
   Net Assets  $202,525,088    100.0 

  

@ Non-income producing security.

  

  Cost for federal income tax purposes is $184,606,053.
   
  Net unrealized appreciation consists of:

 

Gross Unrealized Appreciation  $16,736,872 
Gross Unrealized Depreciation   (4,869,325)
      
Net Unrealized Appreciation  $11,867,547 
Sector Diversification  Percentage
of Net Assets		 
Financials   19.4%
Information Technology   13.1 
Consumer Discretionary   12.7 
Industrials   12.3 
Health Care   11.9 
Consumer Staples   9.3 
Materials   5.8 
Energy   4.8 
Utilities   4.0 
Telecommunication Services   3.7 
Assets in Excess of Other Liabilities   3.0 
Net Assets   100.0%

 

 

 

  

Voya Global Advantage and Premium Opportunity Fund PORTFOLIO OF INVESTMENTS
as of May 31, 2016 (Unaudited) (Continued)

 

Fair Value Measurements

The following is a summary of the fair valuations according to the inputs used as of May 31, 2016 in valuing the assets and liabilities:

 

   Quoted Prices
in Active Markets
for Identical
Investments
(Level 1)		   Significant
Other
Observable
Inputs#
(Level 2)		   Significant
Unobservable
Inputs
(Level 3)		   Fair Value
at
May 31, 2016		 
Asset Table                    
Investments, at fair value                    
Common Stock                    
Australia  $–   $8,665,712   $–   $8,665,712 
Austria   4,461,654    –    –    4,461,654 
Belgium   –    821,062    –    821,062 
Canada   6,849,450    –    –    6,849,450 
Denmark   –    1,946,683    –    1,946,683 
Finland   –    4,991,029    –    4,991,029 
France   –    5,435,630    –    5,435,630 
Germany   –    5,607,857    –    5,607,857 
Hong Kong   –    1,892,202    –    1,892,202 
Japan   –    12,644,283    –    12,644,283 
Portugal   –    890,444    –    890,444 
Singapore   –    562,582    –    562,582 
Switzerland   945,777    9,097,606    –    10,043,383 
United Kingdom   –    20,278,894    –    20,278,894 
United States   111,382,735    –    –    111,382,735 
Total Common Stock   123,639,616    72,833,984    –    196,473,600 
Total Investments, at fair value  $123,639,616   $72,833,984   $–   $196,473,600 
Other Financial Instruments+                    
Forward Foreign Currency Contracts   –    476,724    –    476,724 
Futures   77,942    –    –    77,942 
Total Assets  $123,717,558   $73,310,708   $–   $197,028,266 
Liabilities Table                    
Other Financial Instruments+                    
Forward Foreign Currency Contracts  $–   $(15,577)  $–   $(15,577)
Futures   (63,614)   –    –    (63,614)
Written Options   –    (1,643,011)   –    (1,643,011)
Total Liabilities  $(63,614)  $(1,658,588)  $–   $(1,722,202)

 

+ 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 May 31, 2016, the following forward foreign currency contracts were outstanding for Voya Global Advantage and Premium Opportunity Fund:

 

Counterparty  Currency  Contract Amount   Buy/Sell  Settlement Date  In Exchange For   Fair Value   Unrealized
Appreciation
(Depreciation)		 
                          
The Royal Bank of Scotland PLC  Australian Dollar   11,954,598   Sell  06/30/16  $8,614,914   $8,630,491   $(15,577)
The Royal Bank of Scotland PLC  British Pound   12,231,627   Sell  06/30/16   17,914,771    17,719,771    195,000 
The Royal Bank of Scotland PLC  EU Euro   22,284,571   Sell  06/30/16   24,911,966    24,821,863    90,103 
Barclays Bank PLC  Swiss Franc   9,000,934   Sell  06/30/16   9,093,759    9,067,783    25,976 
The Royal Bank of Scotland PLC  Japanese Yen   1,420,403,193   Sell  06/30/16   12,964,307    12,841,162    123,145 
Societe Generale  Canadian Dollar   9,067,576   Sell  06/30/16   6,957,041    6,914,541    42,500 
                           $461,147 

 

 

 

  

Voya Global Advantage and Premium Opportunity Fund PORTFOLIO OF INVESTMENTS
as of May 31, 2016 (Unaudited) (Continued)

 

At May 31, 2016, the following futures contracts were outstanding for Voya Global Advantage and Premium Opportunity Fund:

 

Contract Description  Number
of Contracts		  Expiration
Date		  Notional
Value		   Unrealized
Appreciation/
(Depreciation)		 
Long Contracts                
EURO STOXX 50® Index  51  06/17/16  $1,732,420   $12,710 
Nikkei 225 Index  34  06/09/16   2,642,074    58,616 
S&P 500 E-Mini  3  06/17/16   314,235    6,616 
         $4,688,729   $77,942 
Short Contracts                
FTSE 100 Index  (25)  06/17/16   (2,252,006)   (63,614)
         $(2,252,006)  $(63,614)

 

At May 31, 2016, the following over-the-counter written options were outstanding for Voya Global Advantage and Premium Opportunity Fund:

  

Number of
Contracts		   Counterparty  Description  Exercise
Price		  Expiration
Date		  Premiums
Received		   Fair Value 
Options on Indices              
 1,100   BNP Paribas Bank  Call on EURO STOXX 50® Index   2,968.746 EUR  06/17/16  $77,485   $(135,715)
 1,100   BNP Paribas Bank  Call on EURO STOXX 50® Index   3,042.623 EUR  06/03/16   69,316    (41,365)
 1,100   Morgan Stanley  Call on EURO STOXX 50® Index   2,983.060 EUR  07/01/16   79,067    (146,874)
 600   Barclays Bank PLC  Call on FTSE 100 Index   6,231.340 GBP  07/01/16   91,534    (100,724)
 600   Barclays Bank PLC  Call on FTSE 100 Index   6,393.190 GBP  06/03/16   69,311    (215)
 600   BNP Paribas Bank  Call on FTSE 100 Index   6,184.900 GBP  06/17/16   83,181    (85,623)
 23,100   Barclays Bank PLC  Call on Nikkei 225 Index   17,111.040 JPY  06/03/16   80,236    (44,705)
 23,900   Morgan Stanley  Call on Nikkei 225 Index   16,392.620 JPY  06/17/16   82,025    (201,225)
 23,900   Morgan Stanley  Call on Nikkei 225 Index   17,113.120 JPY  07/01/16   78,042    (115,749)
 9,800   BNP Paribas Bank  Call on S&P 500 Index   2,099.925 USD  06/03/16   239,837    (64,733)
 9,700   Citigroup, Inc.  Call on S&P 500 Index   2,076.890 USD  06/17/16   245,729    (311,992)
 9,800   Citigroup, Inc.  Call on S&P 500 Index   2,078.170 USD  07/01/16   250,304    (394,091)
        Total Written OTC Options  $1,446,067   $(1,643,011)

  

 

 

  

Voya Global Advantage and Premium Opportunity Fund PORTFOLIO OF INVESTMENTS
as of May 31, 2016 (Unaudited) (Continued)

 

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

 

The fair value of derivative instruments as of May 31, 2016 was as follows:

 

   Fair Value 
        
Derivatives not accounted for as hedging instruments     
         
Asset Derivatives  Instrument Type     
Foreign exchange contracts  Forward foreign currency contracts  $476,724 
Equity contracts  Futures contracts   77,942 
Total Asset Derivatives     $554,666 
         
Liability Derivatives  Instrument Type     
Foreign exchange contracts  Forward foreign currency contracts  $15,577 
Equity contracts  Futures contracts   63,614 
Equity contracts  Written options   1,643,011 
Total Liability Derivatives     $1,722,202 

 

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 May 31, 2016:

 

   Barclays
Bank PLC		   BNP
Paribas Bank		   Citigroup, Inc.   Morgan
Stanley		   Societe
Generale		   The Royal Bank
of Scotland
Group PLC		   Totals 
Assets:                            
Forward foreign currency contracts  $25,976   $-   $-   $-   $42,500   $408,248   $476,724 
Total Assets  $25,976   $-   $-   $-   $42,500   $408,248   $476,724 
                                    
Liabilities:                                   
Forward foreign currency contracts  $-   $-   $-   $-   $-   $15,577   $15,577 
Written options   145,644    327,436    706,083    463,848    -    -    1,643,011 
Total Liabilities  $145,644   $327,436   $706,083   $463,848   $-   $15,577   $1,658,588 
                                    
Net OTC derivative instruments by counterparty, at fair value  $(119,668)  $(327,436)  $(706,083)  $(463,848)  $42,500   $392,671    (1,181,864)
                                    
Total collateral pledged by the Fund/(Received from counterparty)  $-   $590,000   $-   $350,000   $-   $(1,100,000)  $(160,000)
                                    
Net Exposure(1)  $(119,668)  $262,564   $(706,083)  $(113,848)  $42,500   $(707,329)  $(1,341,864)

 

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

 

 

 

 

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 Advantage and Premium Opportunity Fund

 

By /s/ Shaun P. Mathews  
  Shaun P. Mathews  
  President and Chief Executive Officer  
     
Date: July 27, 2016  

 

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: July 27, 2016  
     
By /s/ Todd Modic  
  Todd Modic  
  Senior Vice President and Chief Financial Officer  
     
Date: July 27, 2016