The Cushing Renaissance Fund
|
|||||
SCHEDULE OF INVESTMENTS (Unaudited)
|
|||||
August 31, 2016
|
|||||
Fair
|
|||||
Common Stock - 74.2%
|
Shares
|
Value
|
|||
Chemicals - 15.6%
|
|||||
Netherlands - 4.6%
|
|||||
LyondellBasell Industries NV(1)
|
65,000
|
$ |
5,127,850
|
||
United States - 11.0%
|
|||||
Olin Corporation
|
75,000
|
1,623,000
|
|||
Sealed Air Corporation(2)
|
60,000
|
2,827,800
|
|||
Univar, Inc.(3)
|
95,000
|
1,965,550
|
|||
W.R. Grace & Company
|
42,500
|
3,320,525
|
|||
Westlake Chemical Corporation(1)
|
50,000
|
2,591,000
|
|||
17,455,725
|
|||||
Exploration & Production - 11.5%
|
|||||
Norway - 1.8%
|
|||||
Statoil ASA
|
125,000
|
1,956,250
|
|||
United Kingdom - 3.0%
|
|||||
BP Plc(2)(3)
|
100,000
|
3,386,000
|
|||
United States - 6.7%
|
|||||
Matador Resources Company(3)
|
65,000
|
1,491,750
|
|||
Occidental Petroleum Corporation(1)
|
45,000
|
3,458,250
|
|||
Synergy Resources Corporation(3)
|
380,000
|
2,489,000
|
|||
12,781,250
|
|||||
Industrials - 5.6%
|
|||||
Ireland - 2.3%
|
|||||
Pentair Plc
|
40,000
|
2,562,000
|
|||
United States - 3.3%
|
|||||
Flowserve Corporation(2)
|
50,000
|
2,418,500
|
|||
ITT, Inc.
|
35,000
|
1,266,300
|
|||
6,246,800
|
|||||
Oil Services - 1.3%
|
|||||
United States - 1.3%
|
|||||
Baker Hughes, Inc.
|
30,000
|
1,473,900
|
|||
Refiners - 14.1%
|
|||||
United States - 14.1%
|
|||||
Marathon Petroleum Corporation
|
80,000
|
3,400,800
|
|||
PBF Energy, Inc.(1)
|
170,000
|
3,723,000
|
|||
Phillips 66
|
37,000
|
2,902,650
|
|||
Valero Energy Corporation
|
25,000
|
1,383,750
|
|||
Western Refining, Inc.(1)
|
170,000
|
4,277,200
|
|||
15,687,400
|
|||||
Transportation - 8.5%
|
|||||
Bermuda - 2.3%
|
|||||
Golar LNG Limited
|
125,000
|
2,603,750
|
|||
United States - 6.2%
|
|||||
CSX Corporation(1)
|
90,000
|
2,545,200
|
|||
Ryder System, Inc.
|
25,000
|
1,638,000
|
XPO Logistics, Inc.(2)(3)
|
75,000
|
2,685,000
|
|||
9,471,950
|
|||||
Utilities - 17.6%
|
|||||
United States - 17.6%
|
|||||
Consolidated Edison, Inc.
|
30,000
|
2,257,500
|
|||
Dominion Resources, Inc.(1)
|
40,000
|
2,966,400
|
|||
Duke Energy Corporation(1)
|
40,000
|
3,186,400
|
|||
Exelon Corporation(1)
|
140,000
|
4,760,000
|
|||
Sempra Energy(1)
|
32,500
|
3,400,475
|
|||
Southern Company(1)
|
60,000
|
3,079,800
|
|||
19,650,575
|
|||||
Total Common Stocks (Cost $76,386,310)
|
$ |
82,767,600
|
|||
Master Limited Partnerships and Related Companies - 12.5%
|
|||||
Crude Oil & Refined Products - 1.6%
|
|||||
United States - 1.6%
|
|||||
Genesis Energy, L.P.
|
50,000
|
$ |
1,789,500
|
||
Engineering & Construction - 3.6%
|
|||||
United States - 3.6%
|
|||||
Cheniere Energy Partners, L.P.(1)
|
150,000
|
4,044,000
|
|||
Large Cap Diversified - 2.4%
|
|||||
United States - 2.4%
|
|||||
Enterprise Products Partners, L.P.(1)
|
100,000
|
2,640,000
|
|||
Midstream - 4.0%
|
|||||
United States - 4.0%
|
|||||
Delek Logistics Partners, L.P.(1)
|
90,000
|
2,348,100
|
|||
MPLX, L.P.(2)
|
65,000
|
2,153,450
|
|||
4,501,550
|
|||||
Upstream - 0.9%
|
|||||
United States - 0.9%
|
|||||
Mid-Con Energy Partners, L.P.
|
465,116
|
1,018,604
|
|||
Total Master Limited Partnerships and Related Companies (Cost $11,555,952)
|
$ |
13,993,654
|
|||
Fixed Income - 26.7%
|
|||||
Engineering & Construction - 4.5%
|
|||||
United States - 4.5%
|
|||||
Zachry Holdings, Inc., 7.500%, due 02/01/2020(4)
|
5,000,000
|
$ |
5,037,500
|
||
Exploration & Production - 11.5%
|
|||||
Canada - 1.9%
|
|||||
MEG Energy Corporation, 6.375%, due 01/30/2023(4)
|
2,725,000
|
2,139,125
|
|||
United States - 9.6%
|
|||||
Barrett Bill Corporation, 7.000%, due 10/15/2022(1)
|
2,750,000
|
2,021,250
|
|||
Denbury Resources, Inc., 4.625%, due 07/15/2023
|
4,000,000
|
2,600,000
|
|||
Sabine Pass Liquefaction, LLC, 5.750%, due 05/15/2024(1)
|
1,000,000
|
1,067,500
|
|||
Sabine Pass Liquefaction, LLC, 5.625%, due 02/01/2021(1)
|
1,000,000
|
1,055,000
|
|||
Sanchez Energy Corporation, 6.125%, due 01/15/2023(1)
|
5,000,000
|
3,975,000
|
|||
12,857,875
|
Industrials - 5.7%
|
|||||
United States - 5.7%
|
|||||
H & E Equipment Services, Inc., 7.000%, due 09/01/2022(1)
|
2,000,000
|
2,120,000
|
|||
United Rentals North American, Inc., 5.750%, due 11/15/2024(1)
|
4,000,000
|
4,200,000
|
|||
6,320,000
|
|||||
Oil Services - 0.9%
|
|||||
United States - 0.9%
|
|||||
Key Energy Services, 6.750%, due 03/01/2021
|
4,000,000
|
960,000
|
|||
Refiners - 4.1%
|
|||||
United States - 4.1%
|
|||||
Western Refining, Inc., 6.250%, due 04/01/2021(1)
|
4,750,000
|
4,643,125
|
|||
Total Fixed Income (Cost $36,254,183)
|
$ |
29,818,500
|
|||
Short-Term Investments - Investment Companies - 2.5%
|
|||||
United States - 2.5%
|
|||||
Fidelity Government Portfolio Fund, 0.12%(5)
|
699,169
|
$ |
699,169
|
||
First American Government Obligations Fund - Class Z, 0.24%(5)
|
699,169
|
699,169
|
|||
Morgan Stanley Institutional Liquidity Funds - Government Portfolio, 0.27%(5)
|
699,169
|
699,169
|
|||
STIT-Government & Agency Portfolio, 0.28%(5)
|
699,169
|
699,169
|
|||
Total Short-Term Investments - Investment Companies (Cost $2,796,676)
|
$ |
2,796,676
|
|||
Total Investments - 115.9% (Cost $126,993,121)
|
$ |
129,376,430
|
|||
Liabilities in Excess of Other Assets - (15.9%)
|
(17,717,861)
|
||||
Net Assets Applicable to Common Stockholders - 100.0%
|
$ |
111,658,569
|
|||
|
|||||
SCHEDULE OF WRITTEN OPTIONS - (0.2)%
|
|||||
United States - (0.2)%
|
Contracts
|
||||
BP Plc, Call Option
|
|||||
Expiration: September 2016, Exercise Price $34.50
|
(1,000)
|
$ |
(29,000)
|
||
Flowserve Corporation, Call Option
|
|||||
Expiration: October 2016, Exercise Price $50.00
|
(500)
|
(48,750)
|
|||
Sealed Air Corporation, Call Option
|
|||||
Expiration: October 2016, Exercise Price $48.00
|
(600)
|
(63,000)
|
|||
XPO Logistics, Inc., Call Option
|
|||||
Expiration: September 2016, Exercise Price $38.00
|
(750)
|
(37,500)
|
|||
|
|||||
Total Written Options (Proceeds $249,039)
|
$ |
(178,250)
|
|||
|
(1)
|
All or a portion of these securities are held as collateral pursuant to the loan agreements.
|
||||
(2)
|
All or a portion of these securities represent cover for outstanding call options written.
|
||||
(3)
|
No distribution or dividend was made during the period ended August 31, 2016. As such, it is classified as a non-income producing security as of August 31, 2016.
|
||||
(4)
|
Securities purchased pursuant to Rule 144A of the Securities Act of 1933, as amended, and may be sold only to dealers in that program or other “qualified institutional buyers.” These securities have been deemed to be liquid by the Fund’s adviser under the supervision of the Board of Directors. As of August 31, 2016, the value of these investments was $7,176,625, or 6.43% of total net assets.
|
||||
(5)
|
Rate reported is the current yield as of August 31, 2016.
|
Cost of investments
|
$
|
127,526,100
|
||
Gross unrealized appreciation
|
11,677,673
|
|||
Gross unrealized depreciation
|
(9,827,343
|
) | ||
Net unrealized appreciation
|
$
|
1,850,330
|
· | Level 1 — 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, etc.) |
· | Level 3 — significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments) |
Fair Value Measurements at Reporting Date Using | ||||||||||||||||
Quoted Prices in
|
Significant
|
|||||||||||||||
Active Markets for
|
Significant Other
|
Unobservable
|
||||||||||||||
Fair Value at
|
Identical Assets
|
Observable Inputs
|
Inputs
|
|||||||||||||
Description
|
August 31, 2016
|
(Level 1)
|
(Level 2)
|
(Level 3)
|
||||||||||||
Assets
Equity Securities
|
||||||||||||||||
Common Stock (a)
|
$
|
82,767,600
|
$
|
82,767,600
|
$
|
-
|
$
|
-
|
||||||||
Master Limited
Partnerships and
Related
Companies (a)
|
13,993,654
|
13,993,654
|
-
|
-
|
||||||||||||
Total Equity Securities
|
96,761,254
|
96,761,254
|
-
|
-
|
||||||||||||
Notes
Senior Notes(a)
|
29,818,500
|
-
|
29,818,500
|
-
|
Total Notes
|
29,818,500
|
-
|
29,818,500
|
-
|
||||||||||||
Other
|
||||||||||||||||
Short Term
Investments (a)
|
2,796,676
|
2,796,676
|
-
|
-
|
||||||||||||
Total Other
|
2,796,676
|
2,796,676
|
-
|
-
|
||||||||||||
Total
|
$
|
129,376,430
|
$
|
99,557,930
|
$
|
29,818,500
|
$
|
-
|
(a) | All other industry classifications are identified in the Schedule of Investments. The Fund did not hold Level 3 investments at any time during the period ended August 31, 2016. |
Contracts
|
Premiums
|
|||||||
Outstanding at November 30, 2015
|
-
|
|
$ -
|
|||||
Options written
|
8,700
|
594,401
|
||||||
Options covered
|
-
|
-
|
||||||
Options expired
|
(3,850
|
)
|
(149,933
|
)
|
||||
Options exercised
|
(2,000
|
)
|
(195,429
|
)
|
||||
Outstanding at August 31, 2016
|
2,850
|
|
$ 249,039
|
The effect of derivative instruments on the Statement of Operations for the period ended August 31, 2016:
|
||||||||||||
Amount of Realized Gain (Loss) on Derivatives Recognized in Income
|
||||||||||||
Derivatives not accounted for as
hedging instruments under ASC
815
|
Purchased
Options
|
Written
Options
|
Total
|
|||||||||
Equity Contracts
|
$
|
-
|
$
|
149,933
|
$
|
149,933
|
||||||
Amount of Unrealized Appreciation (Depreciation) on Derivatives Recognized in Income
|
||||||||||||
Derivatives not accounted for as
hedging instruments under ASC
815
|
Purchased
Options
|
Written
Options
|
Total
|
|||||||||
Equity Contracts
|
$
|
-
|
$
|
(70,789
|
)
|
$
|
(70,789
|
)
|
(a) | The Fund’s President and Treasurer have concluded that the Fund’s disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940 (the “1940 Act”)) (17 CFR 270.30a-3(c)) are effective as of a date within 90 days of the filing date of the report that includes the disclosure required by this paragraph, based on the evaluation of these controls and procedures required by Rule 30a-3(b) under the 1940 Act (17 CFR 270.30a-3(b)) and Rule 13a-15(b) or Rule 15d‑15(b) under the Securities Exchange Act of 1934, as amended (17 CFR 240.13a-15(b) or 240.15d-15(d)). |
(b) | There were no changes in the Fund’s internal control over financial reporting (as defined in Rule 30a-3(d) under the 1940 Act) (17 CFR 270.30a-3(d)) that occurred during the Fund’s last fiscal quarter that have materially affected, or are reasonably likely to materially affect, the Fund’s internal control over financial reporting. |