UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549FORM N-Q
QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED
MANAGEMENT INVESTMENT COMPANYInvestment Company Act File Number: 811-22532
Name of Fund: Royce Global Value Trust, Inc. Fund Address: 745 Fifth Avenue New York, NY 10151Name and address of agent for service:
John E. Denneen, Esq.
Royce & Associates, LP
745 Fifth Avenue
New York, NY 10151Registrant’s telephone number, including area code: (212) 508-4500
Date of fiscal year end: 12/31/2016
Date of reporting period: 9/30/2016
Item 1 - Schedule of Investments
SCHEDULES OF INVESTMENTS
SHARES VALUE COMMON STOCKS – 102.6% Australia – 1.5%
ROYCE GLOBAL VALUE TRUST
SEPTEMBER 30, 2016 (UNAUDITED)ALS
75,000 $ 343,920ASG Group 1
63,300 76,976Austal
96,400 108,759Cochlear
5,000 542,018Imdex 1
352,000 158,073NetComm Wireless 1
16,900 36,485Seeing Machines 1
1,676,800 124,830TFS Corporation
137,045 156,805 Total 1,547,866 Austria – 1.2%Mayr-Melnhof Karton
8,000 879,807Semperit AG Holding
11,000 300,305UBM Development
1,800 66,686 Total 1,246,798 Belgium – 0.4%Roularta Media Group
3,400 93,460Van de Velde
4,000 289,105 Total 382,565 Bermuda – 1.2%Lazard Cl. A
32,600 1,185,336 Total 1,185,336 Brazil – 1.9%Brasil Brokers Participacoes 1
205,000 107,160CETIP - Mercados Organizados
53,000 698,812OdontoPrev
200,000 795,166T4F Entretenimento
66,300 121,911TOTVS
23,000 214,855 Total 1,937,904 Canada – 8.1%Agnico Eagle Mines 2,3
5,000 270,900Cameco Corporation 3
24,500 209,720Canaccord Genuity Group 1
92,000 330,287Canfor Corporation 1
18,900 209,896Computer Modelling Group
108,000 807,561Dundee Corporation Cl. A 1
120,000 617,402E-L Financial
200 106,711Exco Technologies
12,200 112,519FirstService Corporation
10,300 480,804Franco-Nevada Corporation 3
10,200 712,674Genworth MI Canada
20,000 514,654Gluskin Sheff + Associates
23,000 279,447goeasy
8,300 159,743Hardwoods Distribution
8,700 123,874Magellan Aerospace
25,800 315,826Major Drilling Group International 1
110,500 534,834Morneau Shepell
31,300 453,056Pan American Silver 2,3
31,800 560,316RDM Corporation
30,400 101,028Sandstorm Gold 1
32,800 164,984Solium Capital 1
34,100 190,780Sprott
280,600 517,590Uni-Select
3,400 82,878Winpak
10,000 334,083 Total 8,191,567 China – 1.2%China Communications Services
171,500 107,517Fufeng Group
356,400 166,241Haichang Ocean Park Holdings 1
461,100 94,880TravelSky Technology
310,000 739,943Xtep International Holdings
205,800 96,192 Total 1,204,773 Cyprus – 0.2%Globaltrans Investment GDR
42,000 197,063 Total 197,063 Denmark – 2.4%Chr. Hansen Holding
11,500 683,597Coloplast Cl. B
7,500 581,601SimCorp
14,000 815,430Zealand Pharma 1
24,000 357,978 Total 2,438,606 Finland – 0.9%BasWare 1
1,600 70,792Powerflute
179,300 209,160Vaisala Cl. A
17,500 619,233 Total 899,185 France – 5.0%Bigben Interactive 1
11,100 67,333Chargeurs
6,400 101,299Groupe Crit
1,200 72,929Groupe Open
3,300 83,409HighCo
16,200 108,012Interparfums
17,600 483,991Linedata Services
1,600 80,288Manutan International
1,200 72,659Neurones
25,350 654,969Rothschild & Co
33,000 817,220Synergie
2,500 83,437Thermador Groupe
10,500 943,849Vetoquinol
17,000 840,265Virbac 1
3,600 600,470 Total 5,010,130 Georgia – 0.1%BGEO Group
2,200 82,943 Total 82,943 Germany – 5.7%ADLER Real Estate 1
9,400 149,787Allgeier
3,700 74,915Bertrandt
7,500 817,349CANCOM
3,700 193,176Carl Zeiss Meditec
17,500 668,918CompuGroup Medical
15,000 691,475Fielmann
7,000 570,543HolidayCheck Group 1
25,100 67,686KUKA
4,000 483,649KWS Saat
1,900 640,082MorphoSys 1
7,000 292,764msg life 1
25,400 59,926mutares
5,000 75,502PNE Wind
56,600 137,967STRATEC Biomedical
12,000 691,587VIB Vermoegen
4,200 93,806 Total 5,709,132 Greece – 0.2%Aegean Marine Petroleum Network
5,000 50,000Hellenic Exchanges - Athens Stock
28,000 129,673
ExchangeSarantis
3,400 37,460 Total 217,133 Hong Kong – 3.3%Anxin-China Holdings 1,4
2,500,000 9,347China Metal International Holdings
430,000 153,680First Pacific
180,000 128,868HKBN
126,000 142,487I.T
438,500 143,557Luk Fook Holdings (International)
120,100 293,659New World Department Store China 1
1,559,700 233,863Oriental Watch Holdings
781,600 122,030Pico Far East Holdings
693,800 208,951Television Broadcasts
54,000 206,062Texwinca Holdings
302,000 208,660Value Partners Group
1,325,000 1,364,242VST Holdings
366,600 107,404 Total 3,322,810 India – 1.8%Bajaj Finance
75,000 1,206,034CCL Products India
26,000 101,562IIFL Holdings
25,700 104,667Kewal Kiran Clothing
6,500 187,395Manappuram Finance
133,400 185,269 Total 1,784,927 Indonesia – 0.6%Selamat Sempurna
1,816,700 612,001 Total 612,001 Ireland – 0.7%Ardmore Shipping 3
8,300 58,432Irish Continental Group
21,300 104,562Irish Residential Properties REIT
138,281 183,090Keywords Studios
75,000 408,149 Total 754,233 Israel – 0.3%Nova Measuring Instruments 1,3
16,300 192,666Sapiens International
7,000 89,390 Total 282,056 Italy – 0.9%Banca Sistema
58,200 133,666DiaSorin
11,000 707,064Gruppo MutuiOnline
9,000 74,925 Total 915,655 Japan – 10.9%CRE
9,400 321,425GCA
23,900 171,259Horiba
18,000 883,679Leopalace21 Corporation
25,400 167,603Mandom Corporation
2,700 123,441Maruwa Unyu Kikan
4,900 115,466Meitec Corporation
35,000 1,229,515MISUMI Group
47,000 880,339Nihon Kohden
27,500 669,037Omron Corporation
20,000 718,649Pressance Corporation
11,200 124,191Relo Group
5,500 915,030Santen Pharmaceutical
77,000 1,135,534Shimano
6,300 933,907SPARX Group
106,500 190,977Sun Frontier Fudousan
17,700 178,762Takara Leben
18,100 121,930Trancom
2,600 163,383Trend Micro
22,500 783,823USS
62,500 1,056,502Zuiko Corporation
2,100 85,620 Total 10,970,072 Malaysia – 0.1%Kossan Rubber Industries
64,900 107,912 Total 107,912 Mexico – 0.5%Bolsa Mexicana de Valores
250,000 398,019Rassini
23,400 104,523 Total 502,542 Netherlands – 0.1%Constellium Cl. A 1
17,500 126,000 Total 126,000 New Zealand – 0.6%Fisher & Paykel Healthcare
75,854 554,157New Zealand Refining
43,100 76,995 Total 631,152 Norway – 1.0%Kongsberg Automotive 1
84,300 69,063Nordic Semiconductor 1
21,700 106,220NRC Group 1
12,200 94,852TGS-NOPEC Geophysical
42,200 762,523 Total 1,032,658 Philippines – 0.2%Integrated Micro-Electronics
756,900 95,408Universal Robina
22,500 82,853 Total 178,261 Poland – 0.3%Warsaw Stock Exchange
33,000 322,856 Total 322,856 Puerto Rico – 0.5%Popular
13,100 500,682 Total 500,682 Singapore – 1.5%ARA Asset Management
950,000 943,225CSE Global
320,000 97,062XP Power
20,100 431,171 Total 1,471,458 South Africa – 0.7%Coronation Fund Managers
59,000 302,372JSE
15,000 174,927Net 1 UEPS Technologies 1
10,500 89,880Raubex Group
55,000 98,443 Total 665,622 South Korea – 0.5%Handsome
2,600 96,043ISC
2,609 51,192Koh Young Technology
4,200 174,226KT Skylife
6,800 99,295Modetour Network
3,400 89,100 Total 509,856 Spain – 0.1%Atento 1,3
12,100 102,608 Total 102,608 Sweden – 1.4%AcadeMedia 1
14,400 109,022Addtech Cl. B
27,000 422,524Bravida Holding
60,000 398,736Dustin Group
26,600 190,604Hoist Finance
8,000 76,934KNOW IT
8,200 76,468Proact IT Group
7,600 125,782 Total 1,400,070 Switzerland – 4.8%Burckhardt Compression Holding
3,000 849,974dorma+kaba Holding
800 592,074Inficon Holding
600 229,633LEM Holding
700 792,578Partners Group Holding
1,600 805,996VZ Holding
5,400 1,512,108 Total 4,782,363 Taiwan – 1.1%Chipbond Technology
50,700 74,580Egis Technology 1
22,600 165,669Flytech Technology
32,780 113,673Lumax International
87,400 134,317Posiflex Technology
16,605 101,627Realtek Semiconductor
28,800 95,158Shih Her Technologies
85,600 88,172Sitronix Technology
32,100 106,361Sporton International
23,597 118,109Taiwan Paiho
30,600 109,866 Total 1,107,532 Thailand – 0.1%MC Group
204,200 80,434 Total 80,434 Turkey – 0.2%Celebi Hava Servisi
5,600 41,213Tat Gida Sanayi
74,700 146,780 Total 187,993 United Kingdom – 13.6%Abcam
40,000 435,506Ashmore Group
169,000 773,545Avon Rubber
12,700 166,319Berendsen
37,500 605,110BrainJuicer Group
9,400 61,854Character Group
11,400 72,399Clarkson
41,300 1,120,511Computacenter
18,700 172,103Connect Group
68,500 134,295Consort Medical
52,500 736,328Conviviality
75,500 211,145Diploma
40,000 455,726dotdigital group
206,200 136,320Elementis
175,000 494,254Epwin Group
47,500 67,828Equiniti Group
150,000 387,387Exova Group
175,000 450,375FDM Group Holdings
30,000 237,583Ferroglobe
41,100 371,133Finsbury Food Group
44,600 73,128Hilton Food Group
22,400 179,133Inspired Energy
439,500 79,752ITE Group
325,000 684,529Jupiter Fund Management
36,000 198,498McBride
50,200 122,058Micro Focus International
6,300 179,483Norcros
64,360 125,130Pendragon
194,600 75,669Polypipe Group
60,000 218,672Rank Group
21,100 56,244Real Estate Investors
99,300 78,512Rotork
130,000 355,895Senior
200,000 593,896Severfield
142,700 109,591Spirax-Sarco Engineering
23,500 1,370,583Stallergenes Greer 1
10,800 342,127Trifast
71,200 138,429Vertu Motors
143,400 86,552Victrex
40,000 812,945Xaar
115,000 745,286 Total 13,715,833 United States – 26.8%Air Lease Cl. A
12,300 351,534Artisan Partners Asset Management Cl. A
28,000 761,600Brooks Automation 3
18,100 246,341Century Casinos 1
26,900 185,879CIRCOR International
12,800 762,368Cognex Corporation
17,100 903,906Coherent 1
5,000 552,700Commercial Metals
42,000 679,980Copart 1
18,600 996,216Diebold 2,3
28,800 713,952Diodes 1,3
20,500 437,470DST Systems
5,800 683,936EnerSys 3
11,000 761,090Expeditors International of Washington 3
13,300 685,216FLIR Systems 3
14,100 443,022Greif Cl. A 3
8,700 431,433Innospec 2,3
12,457 757,510Kadant
7,800 406,458KBR 3
73,400 1,110,542Kirby Corporation 1,2,3
32,900 2,045,064Lindsay Corporation
13,700 1,013,526ManpowerGroup
11,000 794,860MBIA 1
80,300 625,537Nanometrics 1,2,3
44,500 994,130National Instruments 3
19,000 539,600Oaktree Capital Group LLC Cl. A
10,400 440,960Quaker Chemical 3
8,400 889,812Raven Industries
50,000 1,151,500Rogers Corporation 1,3
6,000 366,480Schnitzer Steel Industries Cl. A 3
19,100 399,190SEACOR Holdings 1
6,000 356,940SEI Investments 2,3
40,600 1,851,766Sensient Technologies 2,3
9,500 720,100Standard Motor Products
11,200 534,912Sun Hydraulics 3
15,139 488,536Tennant Company 3
11,600 751,680Virtu Financial Cl. A
74,300 1,112,271 Total 26,948,017 TOTAL COMMON STOCKS(Cost $99,665,615)
103,266,604 REPURCHASE AGREEMENT – 4.8% Fixed Income Clearing Corporation,0.03% dated 9/30/16, due 10/3/16,
maturity value $4,889,012 (collateralized
by obligations of various U.S. Government
Agencies, 2.00% due 11/30/22, valued at $4,986,806)
(Cost $4,889,000)
4,889,000 TOTAL INVESTMENTS – 107.4%(Cost $104,554,615)
108,155,604 LIABILITIES LESS CASHAND OTHER ASSETS – (7.4)%
(7,473,834 ) NET ASSETS – 100.0% $ 100,681,770
1 Non-income producing. 2At September 30, 2016, a portion of these securities were rehypothecated in connection with the Fund’s revolving credit agreement in the aggregate amount of $5,431,279.3All or a portion of these securities were pledged as collateral in connection with the Fund’s revolving credit agreement at September 30, 2016. Total market value of pledged securities at September 30, 2016, was $13,373,379.4A security for which market quotations are not readily available represents 0.0% of net assets. This security has been valued at its fair value under procedures approved by the Fund’s Board of Directors. This security is defined as a Level 3 security due to the use of significant unobservable inputs in the determination of fair value.Securities of Global/International Funds are categorized by the country of their headquarters, with the exception of exchange-traded funds.
TAX INFORMATION: The cost of total investments for Federal income tax purposes was $104,638,852. At September 30, 2016, net unrealized appreciation for all securities was $3,516,752, consisting of aggregate gross unrealized appreciation of $13,142,573 and aggregate gross unrealized depreciation of $9,625,821. The primary difference between book and tax basis cost is the timing of the recognition of losses on securities sold.
Valuation of Investments:
Investment transactions are accounted for on the trade date. Securities are valued as of the close of trading on the New York Stock Exchange (NYSE) (generally 4:00 p.m. Eastern time) on the valuation date. Securities that trade on an exchange, and securities traded on Nasdaq’s Electronic Bulletin Board, are valued at their last reported sales price or Nasdaq official closing price taken from the primary market in which each security trades or, if no sale is reported for such day, at their highest bid price. Other over-the-counter securities for which market quotations are readily available are valued at their highest bid price, except in the case of some bonds and other fixed income securities which may be valued by reference to other securities with comparable ratings, interest rates and maturities, using established independent pricing services. The Fund values its non-U.S. dollar denominated securities in U.S. dollars daily at the prevailing foreign currency exchange rates as quoted by a major bank. Securities for which market quotations are not readily available are valued at their fair value in accordance with the provisions of the 1940 Act, under procedures approved by the Fund’s Board of Directors, and are reported as Level 3 securities. As a general principle, the fair value of a security is the amount which the Fund might reasonably expect to receive for the security upon its current sale. However, in light of the judgment involved in fair valuations, there can be no assurance that a fair value assigned to a particular security will be the amount which the Fund might be able to receive upon its current sale. In addition, if, between the time trading ends on a particular security and the close of the customary trading session on the NYSE, events occur that are significant and may make the closing price unreliable, the Fund may fair value the security. The Fund uses an independent pricing service to provide fair value estimates for relevant non-U.S. equity securities on days when the U.S. market volatility exceeds a certain threshold. This pricing service uses proprietary correlations it has developed between the movement of prices of non-U.S. equity securities and indices of U.S.-traded securities, futures contracts and other indications to estimate the fair value of relevant non-U.S. securities. When fair value pricing is employed, the prices of securities used by the Fund may differ from quoted or published prices for the same security. Investments in money market funds are valued at net asset value per share.Various inputs are used in determining the value of the Fund’s investments, as noted above. These inputs are summarized in the three broad levels below:Level 1 –quoted prices in active markets for identical securities.Level 2 –other significant observable inputs (including quoted prices for similar securities, foreign securities that may be fair valued and repurchase agreements). The table below includes all Level 2 securities. Any Level 2 securities with values based on quoted prices for similar securities would be noted in the Schedule of Investments.Level 3 –significant unobservable inputs (including last trade price before trading was suspended, or at a discount thereto for lack of marketability or otherwise, market price information regarding other securities, information received from the company and/or published documents, including SEC filings and financial statements, or other publicly available information).The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.
The following is a summary of the inputs used to value the Fund’s investments as of September 30, 2016. For a detailed breakout of common stocks by country, please refer to the Schedule of Investments.
Level 1 Level 2 Level 3 Total Common Stocks $40,346,157 $62,911,100 $9,347 $103,266,604 Cash Equivalents – 4,889,000 – 4,889,000Certain securities have transferred in and out of Level 1 and Level 2 measurements during the reporting period. The Fund recognizes transfers between levels as of the end of the reporting period. For the nine months ended September 30, 2016, securities valued at $1,142,738 were transferred from Level 2 to Level 1 within the fair value hierarchy.
Level 3 Reconciliation:
Unrealized Balance as of 12/31/15 Gain (Loss) Balance as of 9/30/16 Common Stocks $18,710 $(9,363) $9,347Repurchase Agreements:
The Fund may enter into repurchase agreements with institutions that the Fund’s investment adviser has determined are creditworthy. The Fund restricts repurchase agreements to maturities of no more than seven days. Securities pledged as collateral for repurchase agreements, which are held until maturity of the repurchase agreements, are marked-to-market daily and maintained at a value at least equal to the principal amount of the repurchase agreement (including accrued interest). Repurchase agreements could involve certain risks in the event of default or insolvency of the counter-party, including possible delays or restrictions upon the ability of the Fund to dispose of its underlying securities. The remaining contractual maturity of the repurchase agreement held by the Fund at September 30, 2016 is overnight and continuous.Borrowings:
The Fund has entered into a revolving credit agreement (the credit agreement) with BNP Paribas Prime Brokerage Inc. (BNPP). As of September 30, 2016, the Fund has outstanding borrowings of $8,000,000. During the period ended September 30, 2016, the Fund borrowed an average daily balance of $8,000,000. The Fund pays a commitment fee of 0.50% per annum on the unused portion of the credit agreement. The credit agreement has a 360-day rolling term that resets daily; however, if the Fund exceeds certain net asset value triggers, the credit agreement may convert to a 60-day rolling term that resets daily. The Fund is required to pledge portfolio securities as collateral in an amount up to two times the loan balance outstanding and has granted a security interest in the securities pledged to, and in favor of, BNPP as security for the loan balance outstanding. If the Fund fails to meet certain requirements, or maintain other financial covenants required under the credit agreement, the Fund may be required to repay immediately, in part or in full, the loan balance outstanding under the credit agreement necessitating the sale of portfolio securities at potentially inopportune times. The credit agreement also permits, subject to certain conditions, BNPP to rehypothecate portfolio securities pledged by the Fund up to the amount of the loan balance outstanding. The Fund continues to receive payments in lieu of dividends and interest on rehypothecated securities. The Fund also has the right under the credit agreement to recall the rehypothecated securities from BNPP on demand. If BNPP fails to deliver the recalled security in a timely manner, the Fund is compensated by BNPP for any fees or losses related to the failed delivery or, in the event a recalled security is not returned by BNPP, the Fund, upon notice to BNPP, may reduce the loan balance outstanding by the amount of the recalled security failed to be returned. The Fund receives a portion of the fees earned by BNPP in connection with the rehypothecation of portfolio securities.Other information regarding the Fund is available in the Fund’s most recent Report to Stockholders. This information is available through The Royce Funds (www.roycefunds.com) and on the Securities and Exchange Commission’s website (www.sec.gov).
Item 2 - Controls and Procedures
(a) The Registrant’s principal executive and principal financial officers have concluded, based on their evaluation of the Registrant’s disclosure controls and procedures as of a date within 90 days of the filing date of this report (as required by Rule 30a-3(b) under the Investment Company Act of 1940 (the “Act”)), that the Registrant’s disclosure controls and procedures (as defined by Rule 30a-3(c) under the Act) are reasonably designed to ensure that information required to be disclosed by the Registrant on Form N-Q is recorded, processed, summarized and reported within the required time periods and that information required to be disclosed by the Registrant in the reports that it files or submits on Form N-Q is accumulated and communicated to the Registrant’s management, including its principal executive and principal financial officers, as appropriate to allow timely decisions regarding required disclosure.
(b) There were no changes in the Registrant’s internal control over financial reporting (as defined in Rule 30a-3(d) under the Act) during the Registrant’s last fiscal quarter that have materially affected, or are reasonably likely to materially affect, the internal control over financial reporting.
Item 3 - Exhibits
Certifications pursuant to Rule 30a-2(a) under the Act are attached hereto.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.
Royce Global Value Trust, Inc.
/s/ Christopher D. Clark Christopher D. Clark President, Royce Global Value Trust, Inc. Date: November 21, 2016
By:
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/ Christopher D. Clark Christopher D. Clark President, Royce Global Value Trust, Inc. Date: November 21, 2016 By: /s/ Peter K. Hoglund Peter K. Hoglund Treasurer, Royce Global Value Trust, Inc. Date: November 21, 2016