UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, DC 20549

 

FORM N-Q

QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED

MANAGEMENT INVESTMENT COMPANY

_______________________________

Investment Company Act file number: 811-05983

The New Germany Fund, Inc.

(Exact name of registrant as specified in charter)

 

345 Park Avenue
New York, NY 10154

(Address of principal executive offices) (Zip code)

 

Paul Schubert

60 Wall Street

New York, NY 10005

(Name and address of agent for service)

Registrant's telephone number, including area code: (212) 250-3220

Date of fiscal year end: 12/31

Date of reporting period: 9/30/2015

 

ITEM 1. SCHEDULE OF INVESTMENTS

 

The New Germany Fund, Inc. 

Schedule of Investments

 as of September 30, 2015 (Unaudited)

 

 

Shares Value ($)
Germany  85.4%
Common Stocks  81.3%
Aerospace & Defense  2.9%
MTU Aero Engines AG 90,435   7,546,186 
     
Auto Components  2.0%
Hella KGaA Hueck & Co. 26,710   961,508 
Leoni AG 78,871   4,189,508 
      5,151,016 
Chemicals  10.5%
Evonik Industries AG 293,729   9,803,548 
LANXESS AG 110,195   5,140,927 
Symrise AG 146,013   8,762,751 
Wacker Chemie AG 46,394   3,515,143 
      27,222,369 
Communications Equipment  1.3%
ADVA Optical Networking SE* 308,404   3,295,315 
     
Construction & Engineering  1.2%
HOCHTIEF AG 36,800   3,060,035 
     
Diversified Financial Services  0.5%
GRENKELEASING AG 7,936   1,253,754 
     
Diversified Telecommunication Services  2.9%
Telefonica Deutschland Holding AG 1,247,659   7,601,784 
     
Electrical Equipment  4.1%
Nordex SE* 67,441   1,838,209 
OSRAM Licht AG 168,713   8,699,192 
      10,537,401 
Electronic Equipment, Instruments & Components  0.9%
Jenoptik AG 163,264   2,307,887 
     
Food & Staples Retailing  2.3%
METRO AG 216,370   5,960,265 
     
Health Care Equipment & Supplies  1.4%
STRATEC Biomedical AG 61,617   3,574,109 
     
Health Care Technology  0.9%
CompuGroup Medical AG 70,375   2,319,404 
     
Industrial Conglomerates  2.3%
Indus Holding AG 51,896   2,312,541 
Rheinmetall AG 61,170   3,738,591 
      6,051,132 
Insurance  2.7%
Hannover Rueck SE 41,209   4,208,724 
Talanx AG 93,882   2,802,953 
      7,011,677 
Internet & Catalog Retail  2.9%
Zalando SE 144A* 224,713   7,421,084 
     
Internet Software & Services  4.5%
United Internet AG (Registered) 186,690   9,428,248 
XING AG 10,695   2,291,023 
      11,719,271 
IT Services  3.1%
Wirecard AG 166,862   7,950,302 
     
Life Sciences Tools & Services  2.0%
Evotec AG* 101,842   451,660 
Gerresheimer AG 37,866   2,756,200 
MorphoSys AG* 27,981   1,860,929 
      5,068,789 

 

 

 Shares Value ($)
Machinery  2.1%
GEA Group AG 43,434   1,649,313 
KION Group AG 55,333   2,449,028 
Pfeiffer Vacuum Technology AG 11,880   1,367,866 
      5,466,207 
Media  6.3%
ProSiebenSat.1 Media SE 258,567   12,647,104 
Stroeer SE 60,869   3,574,184 
      16,221,288 
Metals & Mining  1.4%
Aurubis AG 40,577   2,575,963 
Salzgitter AG 43,884   1,086,453 
      3,662,416 
Pharmaceuticals  1.3%
STADA Arzneimittel AG 91,302   3,259,701 
     
Real Estate Management & Development  8.4%
ADO Properties SA 144A* 87,818   2,118,296 
Deutsche Wohnen AG 356,721   9,506,077 
LEG Immobilien AG* 122,109   10,055,654 
      21,680,027 
Semiconductors & Semiconductor Equipment  3.4%
AIXTRON SE*† 124,937   755,088 
Dialog Semiconductor PLC* 155,568   6,208,499 
SMA Solar Technology AG*† 45,201   1,947,636 
      8,911,223 
Software  1.0%
Software AG 90,129   2,623,530 
     
Specialty Retail  0.8%
Fielmann AG 28,512   1,946,823 
     
Technology Hardware, Storage & Peripherals  0.6%
Wincor Nixdorf AG 36,445   1,427,225 
     
Textiles, Apparel & Luxury Goods  0.5%
Elumeo SE* 51,290   1,369,949 
     
Thrifts & Mortgage Finance  2.2%
Aareal Bank AG 89,518   3,172,037 
Deutsche Pfandbriefbank AG 144A* 206,418   2,395,126 
      5,567,163 
Trading Companies & Distributors  2.9%
Brenntag AG 141,483   7,602,970 
     
Transportation Infrastructure  2.0%
Fraport AG Frankfurt Airport Services Worldwide 84,899   5,227,697 
     
Preferred Stocks  4.1%
Health Care Equipment & Supplies  2.2%
Draegerwerk AG & Co. KGaA (Cost $3,925,749)  38,540   3,236,540 
Sartorius AG (Cost $2,125,546)  10,263   2,434,934 
      5,671,474 
Machinery  0.9%
Jungheinrich AG (Cost $2,229,095)  31,829   2,296,181 
     
Specialty Retail  1.0%
Hornbach Holding AG (Cost $3,218,598)  32,217   2,588,005 
 
Rights  0.0%
Health Care Providers & Services  0.0%
RHOEN-KLINIKUM AG (Cost $0) *† 23,311   520 
     
Total Germany (Cost $185,035,723)     220,574,179 
     
     

 

  Shares Value ($)
Netherlands  13.4%
Common Stocks
Aerospace & Defense  10.4%
Airbus Group SE 454,578   26,834,506 
     
Life Sciences Tools & Services  3.0%
QIAGEN NV* 302,768   7,781,183 
     
Total Netherlands (Cost $17,803,484)     34,615,689 
     
Luxembourg  1.4%
Common Stocks
Media  1.4%
RTL Group SA (Cost $3,433,679) 43,554   3,741,676 
     
     
Securities Lending Collateral  1.2%
Daily Assets Fund Institutional, 0.17%    
(Cost $2,976,289)(a)(b) 2,976,289   2,976,289 
     
Cash Equivalents  0.1%
Central Cash Management Fund, 0.12%    
(Cost $302,251)(b) 302,251   302,251 
     
     
  % of Net Assets Value ($)
Total Investments Portfolio (Cost $209,551,426)** 101.5   262,210,084 
Other Assets and Liabilities, Net (1.5)   (3,973,292)
Net Assets 100.0   258,236,792 
 

 

* Non-income producing security.
** The cost for federal income tax purposes was $212,658,161. At September 30, 2015, net unrealized appreciation for all securities based on tax cost was $49,551,923. This consisted of aggregate gross unrealized appreciation for all securities in which there was an excess of value over tax cost of $73,023,630 and aggregate gross unrealized depreciation for all securities in which there was an excess of tax cost over value of $23,471,707.
† All or a portion of these securities were on loan. The value of all securities loaned at September 30, 2015 amounted to 2,996,601 which is 1.2% of net assets.
(a) Represents collateral held in connection with securities lending. Income earned by the Fund is net of borrower rebates.
(b) Affiliated fund managed by Deutsche Investment Management Americas Inc. The rate shown is the annualized seven-day yield at period end.
144A      - Securities exempt from registration under Rule 144A of the Securities Act of 1933. These securities may be resold in transactions exempt from registration, normally to qualified institutional buyers.

 

 

 

For purposes of its industry concentration policy, the Fund classifies issuers of portfolio securities at the industry sub-group level. Certain of the categories in the above Schedule of Investments consist of multiple industry sub-groups or industries.

 

 

Fair Value Measurements
 
Various inputs are used in determining the value of the Fund’s investments. These inputs are summarized in three broad levels. Level 1 includes quoted prices in active markets for identical securities. Level 2 includes other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds and credit risk). Level 3 includes significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments). The level assigned to the securities valuations may not be an indication of the risk associated with investing in those securities.
 
The following is a summary of the inputs used as of September 30, 2015 in valuing the Fund’s investments.  
         
Assets Level 1 Level 2 Level 3 Total
Common Stocks and/or Other Equity Investments (c)  
Germany $ 220,574,179  $ —   $ —   $ 220,574,179 
Netherlands   34,615,689    —     —     34,615,689 
Luxembourg   3,741,676    —     —     3,741,676 
Short-Term Instruments (c)   3,278,540    —     —     3,278,540 
Total $ 262,210,084  $ —   $ —   $ 262,210,084 
         
There have been no transfers between fair value measurement levels during the period ended September 30, 2015.
 
(c) See Schedule of Investments for additional detailed categorizations.
 

 

ITEM 2. CONTROLS AND PROCEDURES
   
  (a) The Chief Executive and Financial Officers concluded that the Registrant’s Disclosure Controls and Procedures are effective based on the evaluation of the Disclosure Controls and Procedures as of a date within 90 days of the filing date of this report.
   
  (b) There have been no changes in the registrant’s internal control over financial reporting that occurred during the registrant’s last fiscal quarter that has materially affected, or is reasonably likely to materially affect, the registrant’s internal controls over financial reporting.
   
ITEM 3. EXHIBITS
   
  Certification pursuant to Rule 30a-2(a) under the Investment Company Act of 1940 (17 CFR 270.30a-2(a)) is filed and attached hereto as Exhibit 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: The New Germany Fund, Inc.
   
By:

/s/Brian E. Binder

Brian E. Binder

President

   
Date: November 20, 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:

/s/Brian E. Binder

Brian E. Binder

President

   
Date: November 20, 2015
   
   
   
By:

/s/Paul Schubert

Paul Schubert

Chief Financial Officer and Treasurer

   
Date: November 20, 2015