UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM N-Q
QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED MANAGEMENT
INVESTMENT COMPANIES
Investment Company Act file number 811-21805
SunAmerica Focused Alpha Large-Cap Fund, Inc.
(Exact name of registrant as specified in charter)
Harborside Financial Center
3200 Plaza 5
Jersey City, NJ 07311
(Address of principal executive offices) (Zip code)
John T. Genoy
Senior Vice President
SunAmerica Asset Management Corp.
Harborside Financial Center,
3200 Plaza 5
Jersey City, NJ 07311
(Name and address of agent for service)
Registrant’s
telephone number, including area code: (201) 324-6414
Date of fiscal year end: December 31
Date of
reporting period: March 31, 2009
NOTES
TO PORTFOLIO OF INVESTMENTS — March 31, 2009 –
(unaudited)
Note 1. Security Valuation
Stocks are generally valued based upon closing sales prices reported on recognized securities
exchanges. Stocks listed on the NASDAQ are valued using the NASDAQ Official Closing Price (“NOCP”).
Generally, the NOCP will be the last sale price unless the reported trade for the stock is outside
the range of the bid/ask price. In such cases, the NOCP will be normalized to the nearer of the bid
or ask price. For listed securities having no sales reported and for unlisted securities, such
securities will be valued based upon the last reported bid price.
As of the
close of regular trading on the New York Stock Exchange
(“NYSE”), securities traded primarily on
security exchanges outside the United States are valued at the last sale price on such exchanges on
the day of valuation, or if there is no sale on the day of valuation, at the last-reported bid
price. If a security’s price is available from more than one exchange, the SunAmerica Focused Alpha
Large-Cap Fund, Inc. (the “Fund”) uses the exchange
that is the primary market for the security. However, depending on the foreign market, closing
prices may be up to 15 hours old when they are used to price the Fund’s shares, and the Fund may
determine that certain closing prices are unreliable. This determination will be based on review of
a number of factors, including developments in foreign markets, the performance of U.S. securities
markets, and the performance of instruments trading in U.S. markets that represent foreign
securities and baskets of foreign securities. If the Fund determines that closing prices do not
reflect the fair value of the securities, the Fund will adjust the previous closing prices in
accordance with pricing procedures approved by the Board of Directors (the “Board”) to reflect what it believes
to be the fair value of the securities as of the close of regular
trading on the NYSE. The Fund may also fair value securities in other situations, for example, when a
particular foreign market is closed but the Fund is open. For foreign equity securities, the Fund
uses an outside pricing service to provide it with closing market prices and information used for
adjusting those prices.
Short-term securities with 60 days or less to maturity are amortized to maturity based on their
cost to the Fund if acquired within 60 days of maturity or, if already held by the Fund on the 60th
day, are amortized to maturity based on the value determined on the 61st day.
Securities
for which market quotations are not readily available or if a development/significant
event occurs that may significantly impact the value of the security,
then these securities are valued, as determined pursuant to
procedures adopted in good faith by the Board. There is no single
standard for making fair value determinations, which may result in
prices that vary from those of other funds.
In
September 2006, the Financial Accounting Standards Board (FASB) issued Statement on Financial Accounting Standards No. 157, “ Fair Value Measurements ”
(“FAS157”). This standard clarifies the definition of fair value for financial reporting, establishes a framework for measuring fair value and requires
additional disclosures about the use of fair value measurements. FAS157 is effective for financial statements issued for fiscal years beginning after November
15, 2007 and interim periods within those fiscal years. Various inputs are used in determining the value of the Fund’s investments. These inputs are
summarized in the three broad levels listed below:
Level 1
— Unadjusted quoted prices in active markets for identical securities
Level 2 — Other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, quoted prices in inactive markets, etc.)
Level 3 — Significant unobservable
inputs (including the Fund’s own assumptions 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.
The following is a summary of the inputs
used to value the Fund’s net assets as of March 31, 2009:
| |
|
|
|
|
|
|
|
|
| Valuation Inputs |
|
Investments in Securities |
|
|
Other Financial Instruments* |
|
| |
Level 1
— Unadjusted Quoted Prices |
|
$ |
98,141,438 |
|
|
$ |
— |
|
| |
Level 2
— Other Significant Observable Inputs |
|
|
8,132,000 |
|
|
|
— |
|
| |
Level 3
— Significant Unobservable Inputs |
|
|
— |
|
|
|
— |
|
|
|
|
|
|
|
| |
Total |
|
$ |
106,273,438 |
|
|
$ |
— |
|
|
|
|
|
|
|
|
|
| * |
Other financial instruments are derivative instruments not reflected in the Portfolio of
Investments, such as future, forward, written option and swap contracts, which are
valued at the unrealized appreciation/depreciation on the instrument. |
Note 2. Federal Income Taxes
As of
March 31, 2009, the amounts of aggregate unrealized gain (loss) and the cost of investment securities for federal
income tax purposes, including short-term securities were as follows:
| |
|
|
|
|
Cost (tax basis) |
|
$ |
120,808,946 |
|
|
|
|
|
Appreciation |
|
$ |
4,233,773 |
|
Depreciation |
|
|
(18,769,281 |
) |
|
|
|
|
Net unrealized appreciation (depreciation) |
|
$ |
(14,535,508 |
) |
|
|
|
|
Item 2. Controls and Procedures.
(a) An evaluation was performed within
90 days of the filing of this report, under the supervision
and with the participation of the registrant’s management, including the President and Treasurer,
of the effectiveness of the design and operation of the registrant’s disclosure controls and
procedures (as defined under Rule 30a-3(c) under the Investment
Company Act of 1940 (17 CFR 270.30a-3(c))). Based on that evaluation, the registrant’s management, including the President and
Treasurer, concluded that the registrant’s disclosure controls and procedures are effective.
(b) There was no change in the registrant’s
internal control over financial reporting (as defined
in Rule 30a-3(d) under the Investment Company Act of 1940 (17 CFR 270.30a-3(d))) that occurred
during the registrant’s last fiscal quarter that has materially affected, or is reasonably likely
to materially affect, the registrant’s internal control over financial reporting.
Item 3. Exhibits.
Certifications pursuant to Rule 30a-2(a) under the Investment Company Act of 1940 (17 CFR
270.30a-2(a)) 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.
SunAmerica
Focused Alpha Large-Cap Fund, Inc.
| |
|
|
|
|
| By: |
/s/ John T. Genoy
|
|
|
| |
John T. Genoy |
|
|
| |
President |
|
|
Date:
May 29, 2009
Pursuant to the requirement 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/ John T. Genoy
|
|
|
| |
John T. Genoy |
|
|
| |
President |
|
|
Date:
May 29, 2009
| |
|
|
|
|
| By: |
/s/ Donna M. Handel
|
|
|
| |
Donna M. Handel |
|
|
| |
Treasurer |
|
|
Date:
May 29, 2009