Cullen Funds plc INTERIM REPORT AND UNAUDITED FINANCIAL STATEMENTS

Transcription

1 Cullen s plc (An umbrella fund with segregated liability between Sub-s constituted as an investment company with variable capital under the laws of Ireland, with registration number , and authorized and regulated by the Central Bank of Ireland pursuant to the European Communities (Undertakings for Collective Investment in Transferable Securities) Regulations, 2011(as amended) and Central Bank (Supervision and Enforcement) Act 2013 (Section 48(1)) (Undertakings for Collective Investment in Transferable Securities) Regulations, 2015 North American High Dividend Value Equity Global High Dividend Value Equity US Enhanced Equity Income Emerging Markets High Dividend Cullen Altaira Ethical Global High Dividend (Each a portfolio of Cullen s plc (the Company )) INTERIM REPORT AND UNAUDITED FINANCIAL STATEMENTS For the financial period ended December 31, 2016

2 CONTENTS Shareholder Letter 1 Schedules of Investments (Unaudited) 4 Statements of Assets and Liabilities (Unaudited) 25 Statements of Operations (Unaudited) 33 Statements of Changes in Net Assets (Unaudited) 37 Financial Highlights (Unaudited) 45 Notes to the Financial Statements (Unaudited) 65 Significant Portfolio Changes (Unaudited) 111 Directory 119 Appendix 1 (Unaudited) 121

3 February 24, 2017 Dear Shareholder: Class A performance during the six months ended 31 December 2016 for the Cullen North American High Dividend Value Equity ( North American High Dividend ), the Cullen Global High Dividend Value Equity ( Global High Dividend ), the Cullen US Enhanced Equity Income ( US Enhanced Equity Income ), the Cullen Emerging Markets High Dividend ( Emerging Markets High Dividend ), and the Cullen Altaira Ethical Global High Dividend ( Ethical Global High Dividend ) versus their respective benchmarks was as follows: Class A Shares / Benchmark Performance Cullen North American High Dividend Value Equity 2.51% Standard & Poors 500 Index 7.82% Cullen Global High Dividend Value Equity 2.49% MSCI World Index 7.06% Cullen US Enhanced Equity Income 3.92% Standard & Poors 500 Index 7.82% Cullen Emerging Markets High Dividend 0.83% MSCI Emerging Markets Index 4.70% Cullen Altaira Ethical Global High Dividend 5.10% * Standard & Poors Global BMI Shariah 0.43% * Ethical Global High Dividend launched July 18, Portfolio Review-North American High Dividend The North American High Dividend s performance versus the S&P 500 Index during the period was primarily due to stock selection effects, most notably in the Financials, Industrials, and Consumer Staples sectors. Our underweight allocation to the Information Technology sector and overweight allocation to the Consumer Staples sector also contributed positively to relative performance, with the s overweight allocation to the Financials sector and underweight allocation to the Consumer Discretionary sector partially offsetting the aforementioned impacts. Portfolio Review- Global High Dividend The Global High Dividend s relative performance versus the MSCI World Index during the period was primarily due to sector allocation effects, most notably the s overweight allocation to the Telecommunication Services, Consumer Staples, and Health Care sectors. Stock selection in the Consumer Staples and Telecommunication Services sectors further contributed positively to relative performance during the period, with stock selection in the Energy and Financials sectors partially offsetting the aforementioned impacts. Portfolio Review- US Enhanced Equity Income The US Enhanced Equity Income s performance versus the S&P 500 Index during the period was primarily due to stock selection effects, most notably in the Financial and Energy sectors. Our underweight allocation to the Information Technology sector and overweight allocation to the Consumer Staples sector also contributed positively to relative performance, with the s overweight allocation to the Financials sector and underweight allocation to the Consumer Discretionary sector partially offsetting the aforementioned impacts. 1

4 Portfolio Review- Emerging Markets High Dividend The Emerging Markets High Dividend s performance versus the MSCI Emerging Markets Index during the period was primarily due to sector allocation effects, most notably the s overweight allocation to the Telecommunication Services, Consumer Discretionary, and Materials sectors. Stock selection in the Consumer Staples and Financials sectors further contributed positively to relative performance during the period, with stock selection in the Industrials and Utilities sectors partially offsetting the aforementioned impacts. Portfolio Review- Ethical Global High Dividend The Ethical Global High Dividend s relative performance versus the S&P Global BMI Shariah Index from July 18, 2016 (inception date) through December 31, 2016 was primarily due to stock selection effects, most notably in the Industrials, Consumer Discretionary, Materials, and Health Care sectors. The s underweight allocation to the Consumer Staples sector and overweight to the Energy sector also contributed positively to relative performance with its underweight allocation to the Information Technology sector detracting from relative performance. Outlook The success of President Trump s economic agenda hinges on the interplay between his aggressively pro-growth economic policies and his isolationist approach to global trade and foreign policy. In the United States, the current expansion, which began in early 2009, is entering its eight year and is now the second longest bull market since With U.S. equity markets trading at elevated valuation levels, further appreciation will depend heavily on earnings growth, particularly since price-to-earnings multiples have historically tended to contract when inflation rises. For the time being, the market appears to be looking past potential challenges ahead: the new Administration s ability to transform broad themes into concrete policy proposals; the willingness of Congress to support drastic increases in infrastructure spending or any rollback of federal regulation; and the amount of debt Trump s proposals would add to the country s already historic debt burden, currently the highest since President Truman in the 1940s. Furthermore, as the Federal Reserve embarks on a gradual rate hike cycle in 2017, it is worth noting that since the Second World War, the central bank has embarked on twelve rate hike cycles in an attempt to engineer soft economic landings. However, it has only been successful once in the mid-1990s, while the other eleven instances have resulted in recessions and equity bear markets. With monetary policy in several other major developed markets likely to embark on a normalization path, investors need to be well positioned for this eventuality. In this regard, a study titled The Case for Global Dividends: Valuations And the Impact of Rising Rates by O Shaughnessy Asset Management shows that during periods with 100 basis points moves upwards in U.S. long-term interest rates from 1970 to 2012, the global top decile of equities by dividend yield has outperformed the broad market by an annualized 440 basis points. Moreover, rising interest rates and inflation expectations typically restrain P/E multiples for equities, an environment that favors value stocks. In this context, we believe that our disciplined approach to investing in high quality companies with solid balance sheets, cheap valuations and sustainable and growing streams of dividends remains a sound strategy. With equity price multiples having recovered closer to historical norms, going forward we believe that the bulk of equity market returns will be generated via the components of dividend yield and earnings/dividend growth, which is in line with the long-term norm of equity markets globally. On both these measures, our portfolios own companies with strong balance sheets and continued earnings/dividend growth, and we anticipate that this trend will continue in 2017 and beyond. Sincerely, James P. Cullen Chairman and Chief Executive Officer 2

5 The above outlook reflects the opinions of the authors, is subject to change, is not guaranteed, and should not be considered investment advice. Past performance does not guarantee future results. The investment return and principal value will fluctuate so that an investor s shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the performance data quoted. Investing involves risk and principal loss is possible. The s may also invest in medium- and small-capitalization companies, which will involve additional risks such as limited liquidity and greater volatility. The Standard & Poors 500 Index is an unmanaged index commonly used to measure performance of U.S. stocks. The MSCI World Index is an unmanaged index consisting of stocks commonly used to measure performance of global stocks. The MSCI Emerging Markets Index is an unmanaged index of common stocks of global emerging economies. The Standard & Poors Global Broad Market Index Shariah is an unmanaged index of global stocks deemed Shariah compliant. It is not possible to invest directly in an index. holdings and/or sector allocations are subject to change and are not recommendations to buy or sell any security. Please refer to each s Schedule of Investments in the report for complete fund holdings information. Current and future portfolio holdings are subject to risk. Investment performance for all but the Ethical Global High Dividend reflects fee waivers; the Ethical Global High Dividend has no such fee waivers. In the absence of such applicable waivers, total returns would be reduced. It should also be noted however that the North American High Dividend s use of such waivers, though in place, is not always required given the level of its assets under management. 3

6 NORTH AMERICAN HIGH DIVIDEND VALUE EQUITY FUND SCHEDULE OF INVESTMENTS (Unaudited) December 31, 2016 Shares Value TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING % COMMON STOCK % Aerospace & Defense - 5.1% Boeing Co. 105,220 $ 16,380,650 Raytheon Co. 98,520 13,989,840 30,370,490 Auto Parts & Equipment - 0.1% Adient PLC 11, ,989 Banks - 8.5% HSBC Holdings PLC - ADR 230,250 9,251,445 JPMorgan Chase & Co. 270,435 23,335,836 Wells Fargo & Co. 331,650 18,277,232 50,864,513 Beverages - 1.5% Diageo PLC 86,230 8,962,746 Building Materials - 1.6% Johnson Controls International PLC 231,475 9,534,455 Chemicals - 3.2% EI du Pont de Nemours & Co. 263,450 19,337,230 Distributors - 2.9% Genuine Parts Co. 183,250 17,507,705 Diversified Telecommunication Services - 3.9% AT&T, Inc. 543,865 23,130,577 Electric - 3.0% NextEra Energy, Inc. 151,460 18,093,412 Food Products - 2.9% Unilever NV 421,055 17,288,518 The accompanying notes are an integral part of these financial statements. 4

7 NORTH AMERICAN HIGH DIVIDEND VALUE EQUITY FUND SCHEDULE OF INVESTMENTS (Unaudited) - Continued December 31, 2016 Shares Value Household Products - 2.6% Kimberly-Clark Corp. 137,100 $ 15,645,852 Industrial Conglomerates - 6.1% 3M Co. 101,255 18,081,105 General Electric Co. 591,190 18,681,604 36,762,709 Insurance - 8.4% Chubb Ltd. 129,135 17,061,316 MetLife, Inc. 302,700 16,312,503 Travelers Companies, Inc. 135,385 16,573,832 49,947,651 Media - 1.5% Shaw Communications, Inc. 450,000 9,027,000 Oil & Gas % Chevron Corp. 159,500 18,773,150 ConocoPhillips 200,895 10,072,875 Exxon Mobil Corp. 177,650 16,034,689 Royal Dutch Shell PLC - ADR 259,815 15,061,476 59,942,190 Pharmaceuticals % AstraZeneca PLC 460,000 12,567,200 Eli Lilly & Co. 164,370 12,089,414 Johnson & Johnson 158,650 18,278,067 Merck & Co., Inc. 292,135 17,197,987 Novartis AG - ADR 159,000 11,581,560 Pfizer, Inc. 605,810 19,676,708 91,390,936 Real Estate Investment Trust (REITs) - 4.0% HCP, Inc. 316,220 9,398,058 Welltower, Inc. 217,300 14,543,889 23,941,947 Semiconductors - 2.3% Intel Corp. 385,550 13,983,899 The accompanying notes are an integral part of these financial statements. 5

8 NORTH AMERICAN HIGH DIVIDEND VALUE EQUITY FUND SCHEDULE OF INVESTMENTS (Unaudited) - Continued December 31, 2016 Shares Value Software - 3.1% Microsoft Corp. 295,140 $ 18,340,000 Telecommunications - 7.6% BCE, Inc. 371,400 16,059,336 Cisco Systems, Inc. 545,575 16,487,277 Corning, Inc. 516,870 12,544,435 45,091,048 Tobacco - 5.6% Altria Group, Inc. 272,080 18,398,050 Philip Morris International, Inc. 165,965 15,184,138 33,582,188 Total Common stocks (Cost $479,635,903) 593,411,055 Total Transferable securities admitted to an official stock exchange listing (Cost $479,635,903) 593,411,055 FINANCIAL DERIVATIVE INSTRUMENTS - (0.3%) Foreign Exchange Currency Contracts (a) (1,571,622) Total Financial Derivative Instruments (1,571,622) TOTAL INVESTMENTS % (Cost $479,635,903) 591,839,433 Other Assets and Cash in Excess of Liabilities - 1.1% 6,581,170 TOTAL NET ASSETS - 100% $ 598,420,603 Percentages are stated as a percent of net assets. ADR American Depository Receipt (a) See note 11 for details on Forward Foreign Exchange Contracts The accompanying notes are an integral part of these financial statements. 6

9 NORTH AMERICAN HIGH DIVIDEND VALUE EQUITY FUND SCHEDULE OF INVESTMENTS (Unaudited) - Continued December 31, 2016 All common stock holdings are transferable securities admitted to an official Stock Exchange. % of Total Assets Transferable securities and money market instruments admitted to official Stock Exchange listing % Financial derivative instruments. (0.3 %) The accompanying notes are an integral part of these financial statements. 7

10 GLOBAL HIGH DIVIDEND VALUE EQUITY FUND SCHEDULE OF INVESTMENTS (Unaudited) December 31, 2016 Shares Value TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING % COMMON STOCK % Australia - 2.2% Sonic Healthcare Ltd. 3,470 $ 53,770 Canada - 2.5% BCE, Inc. 1,425 61,617 France 9.1% BNP Paribas SA ,689 Cie Generale des Etablissements Michelin ,088 Sanofi - ADR ,286 Total SA 1,700 86, ,711 Germany - 8.5% Allianz SE ,399 Deutsche Telekom AG 3,840 66,242 Muenchener Rueckversicherungs AG ,582 Siemens AG , ,125 Japan - 5.4% Honda Motor Co Ltd ,573 Japan Tobacco, Inc. 1,640 54,050 Nippon Telegraph & Telephone Corp. 1,560 65, ,252 Netherlands - 2.2% Unilever NV 1,350 55,431 Singapore - 2.4% Singapore Telecommunications Ltd. 17,000 42,950 United Overseas Bank Ltd. 1,140 16,097 59,047 The accompanying notes are an integral part of these financial statements. 8

11 GLOBAL HIGH DIVIDEND VALUE EQUITY FUND SCHEDULE OF INVESTMENTS (Unaudited) - Continued December 31, 2016 Shares Value Switzerland % Novartis AG - ADR 930 $ 67,741 Roche Holding AG ,802 UBS Group AG 4,275 67,089 Zurich Insurance Group AG , ,051 United Kingdom % BAE Systems PLC 5,130 37,495 British American Tobacco PLC - ADR ,349 Diageo PLC ,773 HSBC Holdings PLC - ADR 1,550 62,279 Imperial Tobacco Group PLC 1,230 53,841 SSE PLC 2,600 49,893 Vodafone Group PLC - ADR , ,961 United States % 3M Co ,428 Altria Group, Inc. 1,040 70,325 AT&T, Inc. 1,750 74,428 Boeing Co ,374 Chevron Corp ,970 Cisco Systems, Inc. 1,500 45,330 EI du Pont de Nemours & Co ,831 General Electric Co. 2,300 72,680 Intel Corp ,094 Johnson & Johnson ,767 JPMorgan Chase & Co. 1, ,862 Merck & Co., Inc. 1,115 65,640 MetLife, Inc. 1,250 67,363 Microsoft Corp. 1,320 82,024 Pfizer, Inc. 2,380 77,302 Raytheon Co ,600 1,049,018 Total Common stocks (Cost $2,158,888) 2,441,983 Total Transferable securities admitted to an official stock exchange listing (Cost $2,158,888) 2,441,983 The accompanying notes are an integral part of these financial statements. 9

12 GLOBAL HIGH DIVIDEND VALUE EQUITY FUND SCHEDULE OF INVESTMENTS (Unaudited) - Continued December 31, 2016 Value TOTAL INVESTMENTS % (Cost $2,158,888) $ 2,441,983 Other Assets and Cash in Excess of Liabilities - 1.0% 25,670 TOTAL NET ASSETS - 100% $ 2,467,653 Percentages are stated as a percent of net assets. ADR American Depository Receipt All common stock holdings are transferable securities admitted to an official Stock Exchange. % of Total Assets Transferable securities and money market instruments admitted to official Stock Exchange listing % The accompanying notes are an integral part of these financial statements. 10

13 GLOBAL HIGH DIVIDEND VALUE EQUITY FUND SCHEDULE OF INVESTMENTS (Unaudited) - Continued December 31, 2016 At December 31, 2016, sector diversification of the Sub- was as follows: Common stock % of Net Assets Value Basic Materials 2.9 $ 70,831 Communications ,527 Consumer, Cyclical ,661 Consumer, Non-cyclical ,077 Energy ,618 Financial ,779 Industrial ,479 Technology ,118 Utilities ,893 TOTAL INVESTMENTS ,441,983 Other Assets and Cash in Excess of Liabilities ,670 TOTAL NET ASSETS $ 2,467,653 The accompanying notes are an integral part of these financial statements. 11

14 US ENHANCED EQUITY INCOME FUND SCHEDULE OF INVESTMENTS (Unaudited) December 31, 2016 Shares Value TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING % COMMON STOCK % Aerospace & Defense - 2.5% Boeing Co. 7,450 $ 1,159,816 Banks - 6.8% HSBC Holdings PLC - ADR 28,200 1,133,076 JPMorgan Chase & Co. 9, ,344 Wells Fargo & Co. 20,500 1,129,755 3,085,175 Building Materials - 2.9% Johnson Controls International PLC 32,500 1,338,675 Chemicals - 2.4% EI du Pont de Nemours & Co. 15,400 1,130,360 Distributors - 2.0% Genuine Parts Co. 9, ,853 Diversified Telecommunication Services - 3.5% AT&T, Inc. 38,450 1,635,279 Electric - 5.0% Edison International 13, ,030 PPL Corp. 40,190 1,368,470 2,306,500 Electrical Component & Equipment - 1.5% Emerson Electric Co. 12, ,795 Electronics - 2.0% Honeywell International, Inc. 7, ,789 Food Products - 3.0% Unilever NV 33,940 1,393,576 The accompanying notes are an integral part of these financial statements. 12

15 US ENHANCED EQUITY INCOME FUND SCHEDULE OF INVESTMENTS (Unaudited) - Continued December 31, 2016 Shares Value Insurance - 8.0% Chubb Ltd. 10,350 $ 1,367,442 MetLife, Inc. 15, ,162 Travelers Companies, Inc. 11,800 1,444,556 3,673,160 Media - 2.5% Shaw Communications, Inc. 57,300 1,149,438 Miscellaneous Manufacturer - 6.6% General Electric Co. 45,000 1,422,000 Siemens AG 13,150 1,609,823 3,031,823 Oil & Gas - 9.1% Chevron Corp. 5, ,899 ConocoPhillips 14, ,492 Exxon Mobil Corp. 15,730 1,419,790 Royal Dutch Shell PLC - ADR 23,800 1,379,686 4,203,867 Pharmaceuticals % GlaxoSmithKline PLC 41,100 1,582,761 Johnson & Johnson 12,300 1,417,083 Merck & Co., Inc. 21,000 1,236,270 Novartis AG - ADR 22,580 1,644,727 Pfizer, Inc. 35,150 1,141,672 7,022,513 Real Estate Investment Trust (REITs) - 3.6% Welltower, Inc. 24,630 1,648,485 Semiconductors - 2.0% Intel Corp. 25, ,377 Software - 2.0% Microsoft Corp. 14, ,030 Telecommunications - 9.9% Cisco Systems, Inc. 52,500 1,586,550 Corning, Inc. 46,850 1,137,050 Verizon Communications, Inc. 33,400 1,782,891 4,506,491 The accompanying notes are an integral part of these financial statements. 13

16 US ENHANCED EQUITY INCOME FUND SCHEDULE OF INVESTMENTS (Unaudited) - Continued December 31, 2016 Shares Value Tobacco - 5.7% Altria Group, Inc. 18,230 $ 1,232,713 Philip Morris International, Inc. 15,200 1,390,648 2,623,361 Total Common stocks (Cost $44,053,570) 44,233,363 Total Transferable securities admitted to an official stock exchange listing (Cost $44,053,570) 44,233,363 FINANCIAL DERIVATIVE INSTRUMENTS - (0.3%) Foreign Exchange Currency Contracts (a) (57,941) Option (b) (74,028) Total Financial Derivative Instruments (131,969) TOTAL INVESTMENTS % (Cost $44,053,570) 44,101,394 Other Assets and Cash in Excess of Liabilities - 4.1% 1,893,004 TOTAL NET ASSETS - 100% $ 45,994,398 Percentages are stated as a percent of net assets. ADR American Depository Receipt (a) See note 11 for details on Forward Foreign Exchange Contracts (b) See note 12 for details on Options. All common stock holdings are transferable securities admitted to an official Stock Exchange. % of Total Assets Transferable securities and money market instruments admitted to official Stock Exchange listing % Financial derivative instruments. (0.3)% The accompanying notes are an integral part of these financial statements. 14

17 EMERGING MARKETS HIGH DIVIDEND FUND SCHEDULE OF INVESTMENTS (Unaudited) December 31, 2016 Shares Value TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING % COMMON STOCK 93.6% Austria - 1.2% Erste Group Bank AG 19,250 $ 564,957 Brazil - 8.5% AES Tiete Energia SA 181, ,545 Ambev SA 58, ,579 BM&FBovespa SA - Bolsa de Valores Mercadorias e Futuros 120, ,605 Cia de Saneamento Basico do Estado de Sao Paulo 140,420 1,218,846 Telefonica Brasil SA 74, ,810 3,894,385 Cambodia 0.9% NagaCorp Ltd. 690, ,703 China - 3.4% CNOOC Ltd. 983,000 1,229,837 Xinhua Winshare Publishing and Media Co Ltd. 370, ,034 1,574,871 Cyprus - 2.4% Globaltrans Investment PLC 170,000 1,076,100 Czech - 1.4% Komercni banka AS 1,250 43,182 Moneta Money Bank AS 191, , ,482 Greece - 1.6% OPAP SA 80, ,994 The accompanying notes are an integral part of these financial statements. 15

18 EMERGING MARKETS HIGH DIVIDEND FUND SCHEDULE OF INVESTMENTS (Unaudited) - Continued December 31, 2016 Shares Value Hong Kong % AIA Group Ltd. 234,800 $ 1,324,947 China Everbright Ltd. 400, ,498 China Mobile Ltd. 12, ,268 CK Hutchison Holdings Ltd. 15, ,060 Great Wall Motor Co Ltd. 727, ,884 Greatview Aseptic Packaging Co Ltd. 362, ,829 Sands China Ltd. 212, ,485 Value Partners Group Ltd. 1,045, ,270 Xtep International Holdings Ltd. 1,205, ,672 6,021,913 Hungary - 1.9% Magyar Telekom Telecommunications PLC 507, ,219 India - 5.3% Ascendas India Trust 1,008, ,540 ICICI Bank Ltd. 158,550 1,187,540 Religare Health Trust 851, ,550 2,435,630 Indonesia - 5.3% Bank Rakyat Indonesia Persero Tbk PT 750, ,976 Gudang Garam Tbk PT 129, ,783 Semen Indonesia Persero Tbk PT 517, ,449 Telekomunikasi Indonesia Persero Tbk PT 2,677, ,940 2,407,148 Israel - 3.3% Elbit Systems Ltd. 14,995 1,519,505 Mexico - 1.2% PLA Administradora Industrial S de RL de CV 423, ,801 Poland - 1.4% Asseco Poland SA 50, ,275 The accompanying notes are an integral part of these financial statements. 16

19 EMERGING MARKETS HIGH DIVIDEND FUND SCHEDULE OF INVESTMENTS (Unaudited) - Continued December 31, 2016 Shares Value Russia % Lukoil PJSC 32,460 $ 1,821,006 MMC Norilsk Nickel PJSC 57, ,067 Mobile TeleSystems PJSC 121,150 1,103,677 Moscow Exchange MICEX-RTS PJSC 200, ,483 Sberbank of Russia PJSC 94,600 1,094,995 5,393,228 Singapore - 0.3% Asian Pay Television Trust 535, ,896 South Africa - 1.1% Bidvest Group Ltd. 11, ,795 MMI Holdings Ltd. 216, , ,835 South Korea % Hanon Systems 75, ,869 Hyundai Motor Co. 3, ,099 KT&G Corp. 16,000 1,338,048 Macquarie Korea Infrastructure 87, ,142 Samsung Electronics Co Ltd. 1,075 1,603,960 4,622,118 Taiwan % Advanced Semiconductor Engineering, Inc. 240, ,114 CTCI Corp. 610, ,749 Ibase Technology, Inc. 321, ,800 King Yuan Electronics Co Ltd. 400, ,762 Largan Precision Co Ltd. 11,500 1,352,354 Mega Financial Holding Co Ltd. 400, ,458 Pegatron Corp. 140, ,482 Taiwan Semiconductor Manufacturing Co Ltd. 56,100 1,612,874 Win Semiconductors Corp. 132, ,575 Wistron NeWeb Corp. 388,000 1,038,954 7,101,122 Thailand - 1.3% Major Cineplex Group PCL 643, ,783 The accompanying notes are an integral part of these financial statements. 17

20 EMERGING MARKETS HIGH DIVIDEND FUND SCHEDULE OF INVESTMENTS (Unaudited) - Continued December 31, 2016 Shares Value Turkey - 1.3% Arcelik AS 99,350 $ 598,767 Ford Otomotiv Sanayi AS 2,100 18, ,023 Vietnam - 1.1% Saigon Securities, Inc. 597, ,274 Total Common stocks (Cost $41,462,564) 42,811,262 PARTICIPATORY NOTES - 3.2% India - 3.2% Coal India Ltd. Exp 07/01/ , ,246 Indiabulls Housing Finance Ltd. 28/11/ , ,223 Power Grid Corp. Exp 23/10/ , ,083 1,485,552 Total Participatory notes (Cost $1,452,047) 1,485,552 Total Transferable securities admitted to an official stock exchange listing (Cost $42,914,611) 44,296,814 FINANCIAL DERIVATIVE INSTRUMENTS - 0.0% Foreign Exchange Currency Contracts (a) (2,377) Total Financial Derivative Instruments (2,377) TOTAL INVESTMENTS % (Cost $42,914,611) 44,294,437 Other Assets and Cash in Excess of Liabilities - 3.2% 1,462,814 TOTAL NET ASSETS - 100% $ 45,757,251 Percentages are stated as a percent of net assets. ADR American Depository Receipt (a) See note 11 for details on Forward Foreign Exchange Contracts The accompanying notes are an integral part of these financial statements. 18

21 EMERGING MARKETS HIGH DIVIDEND FUND SCHEDULE OF INVESTMENTS (Unaudited) - Continued December 31, 2016 All common stock holdings are transferable securities admitted to an official Stock Exchange. % of Total Assets Transferable securities and money market instruments admitted to official Stock Exchange listing % Financial derivative instruments. - The accompanying notes are an integral part of these financial statements. 19

22 EMERGING MARKETS HIGH DIVIDEND FUND SCHEDULE OF INVESTMENTS (Unaudited) - Continued December 31, 2016 At December 31, 2016, sector diversification of the Sub- was as follows: Common stock % of Net Assets Value Basic Materials 2.1 $ 962,067 Communications ,434,868 Consumer, Cyclical ,860,546 Consumer, Non-cyclical 5.1 2,385,205 Diversified ,060 Energy 6.7 3,050,843 Financial ,783,454 Industrial ,742,468 Technology ,420,360 Utilities 4.4 2,001,391 Participatory notes Financial 3.2 1,485,552 TOTAL INVESTMENTS ,296,814 Financial Derivatives - (2,377) Other Assets and Cash in Excess of Liabilities 3.2 1,462,814 TOTAL NET ASSETS $ 45,757,251 The accompanying notes are an integral part of these financial statements. 20

23 CULLEN ALTAIRA ETHICAL GLOBAL HIGH DIVIDEND FUND SCHEDULE OF INVESTMENTS (Unaudited) December 31, 2016 Shares Value TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING % COMMON STOCK % Australia - 0.7% BHP Billiton Ltd. 4,990 $ 178,542 Austria - 0.8% ANDRITZ AG 4, ,286 Denmark - 2.5% Novo Nordisk A/S 18, ,996 France - 4.5% Cie Generale des Etablissements Michelin 4, ,752 Sanofi 8, ,238 Schneider Electric SE 1, ,008 1,227,998 Germany - 5.0% BASF SE 2, ,725 Bayer AG 10,650 1,113,536 1,348,261 Italy - 2.1% Salvatore Ferragamo SpA 23, ,986 Japan - 3.2% Fujimori Kogyo Co Ltd. 10, ,045 Konica Minolta, Inc. 49, ,753 Nippon Shokubai Co Ltd. 1, , ,457 Luxembourg - 0.9% Subsea 7 SA 19, ,800 The accompanying notes are an integral part of these financial statements. 21

24 CULLEN ALTAIRA ETHICAL GLOBAL HIGH DIVIDEND FUND SCHEDULE OF INVESTMENTS (Unaudited) - Continued December 31, 2016 Shares Value Netherlands - 5.8% Akzo Nobel NV 6,710 $ 420,325 Unilever NV 13, ,641 Unilever NV - ADR 14, ,840 1,567,806 Sweden - 2.0% Telefonaktiebolaget LM Ericsson 93, ,039 Switzerland % ABB Ltd. 30, ,034 Novartis AG - ADR 13,800 1,005,192 TE Connectivity Ltd. 16,230 1,124,414 2,763,640 United Kingdom - 2.6% AstraZeneca PLC 19, ,931 Rolls-Royce Holdings PLC 20, ,210 Rolls-Royce Holdings PLC - Preference Share 943,000 1, ,306 United States % Abbott Laboratories 11, ,311 Archer-Daniels-Midland Co. 4, ,338 Autoliv, Inc. 6, ,475 Boeing Co. 1, ,021 BorgWarner, Inc. 28,145 1,110,039 Chevron Corp. 9,725 1,144,632 Cisco Systems, Inc. 30, ,248 Corning, Inc. 18, ,092 Cummins, Inc. 2, ,675 Emerson Electric Co. 3, ,581 Exxon Mobil Corp. 11,925 1,076,351 Fluor Corp. 9, ,619 Genuine Parts Co. 1, ,258 HP, Inc. 25, ,484 International Business Machines Corp. 1, ,061 Johnson & Johnson 1, ,336 Oceaneering International, Inc. 36,000 1,015,560 Pfizer, Inc. 18, ,264 Staples, Inc. 60, ,335 Target Corp. 14,120 1,019,888 11,489,568 The accompanying notes are an integral part of these financial statements. 22

25 CULLEN ALTAIRA ETHICAL GLOBAL HIGH DIVIDEND FUND SCHEDULE OF INVESTMENTS (Unaudited) - Continued December 31, 2016 Shares Value Total Common stocks (Cost $21,697,641) $ 22,388,685 Total Transferable securities admitted to an official stock exchange listing (Cost $21,697,641) 22,388,685 TOTAL INVESTMENTS % (Cost $21,697,641) 22,388,685 Other Assets and Cash in Excess of Liabilities % 4,694,200 TOTAL NET ASSETS - 100% $ 27,082,885 Percentages are stated as a percent of net assets. ADR American Depository Receipt (a) See note 11 for details on Forward Foreign Exchange Contracts All common stock holdings are transferable securities admitted to an official Stock Exchange. % of Total Assets Transferable securities and money market instruments admitted to official Stock Exchange listing % The accompanying notes are an integral part of these financial statements. 23

26 CULLEN ALTAIRA ETHICAL GLOBAL HIGH DIVIDEND FUND SCHEDULE OF INVESTMENTS (Unaudited) - Continued December 31, 2016 At December 31, 2016, sector diversification of the Sub- was as follows: Common stock % of Net Assets Value Basic Materials 3.6 $ 946,251 Communications 5.4 1,463,287 Consumer, Cyclical ,615,733 Consumer, Non-cyclical ,564,623 Energy ,480,343 Industrial ,633,903 Technology ,545 TOTAL INVESTMENTS ,388,685 Other Assets and Cash in Excess of Liabilities ,694,200 TOTAL NET ASSETS $ 27,082,885 The accompanying notes are an integral part of these financial statements. 24

27 Assets: STATEMENTS OF ASSETS AND LIABILITIES (Unaudited) As of December 31, 2016 North American High Dividend Value Equity December 31, 2016 Global High Dividend Value Equity December 31, 2016 US Enhanced Equity Income December 31, 2016 Emerging Markets High Dividend December 31, 2016 Cullen Altaira Ethical Global High Dividend * December 31, 2016 Investments, at identified cost $ 479,635,903 $ 2,158,888 $ 44,053,570 $ 42,914,611 $ 21,697,641 Investments, at value $ 593,411,055 $ 2,441,983 $ 44,233,363 $ 44,296,814 $ 22,388,685 Investments in financial derivative instruments (See note 11) 2, Cash and cash equivalents (See note 13) 6,385,206 35,018 1,735,155 1,417,326 4,493,896 Receivable for subscriptions 839, ,919 25,949 - Dividends and interest receivable 935,091 4,871 81, ,860 15,941 Receivable for securities sold ,310 Receivable from Investment Manager (See note 6) - 10,364 9,522 17,125 - Prepaid expenses and other assets 9,108 7,795 12,051 23,500 10,136 Total assets 601,582,062 2,500,031 46,372,737 45,900,595 27,166,968 Liabilities: Investments in financial derivative instruments (See note 11, note 12) 1,573, ,443 2,398 - Payable to Investment Manager (See note 6) 497,342 1,994 35,048 29,925 22,272 Payable for fund shares redeemed 762, , Payable for securities purchased ,672 - Payable for unsettled foreign cash transactions Other accrued expenses (See note 6) 327,480 30,384 43,381 38,286 61,811 Total liabilities 3,161,459 32, , ,344 84,083 Net assets $ 598,420,603 $ 2,467,653 $ 45,994,398 $ 45,757,251 $ 27,082,885 Net assets consist of: Paid in capital $ 427,035,229 $ 599,050 $ 44,682,285 $ 46,498,512 $ 25,852,219 (Distributed)/undistributed net investment income (8,291,566) 863,831 (34,591) 712,835 1,236 Accumulated net realized gain/ (loss) on investments and foreign currency related transactions 67,473, ,439 1,164,573 (2,832,925) 538,386 Net unrealized appreciation on investments and foreign currency related transactions 112,203, , ,131 1,378, ,044 Net assets $ 598,420,603 $ 2,467,653 $ 45,994,398 $ 45,757,251 $ 27,082,885 * Launched on July 18, The accompanying notes are an integral part of these financial statements. 25

28 USD Accumulating Institutional Share Class A: STATEMENTS OF ASSETS AND LIABILITIES (Unaudited) - Continued As of December 31, 2016 North American High Dividend Value Equity December 31, 2016 Global High Dividend Value Equity December 31, 2016 US Enhanced Equity Income December 31, 2016 Emerging Markets High Dividend December 31, 2016 Cullen Altaira Ethical Global High Dividend * December 31, 2016 Shares issued (See note 3) 8,809, ,793 2,318,035 1,102,529 2,577,727 Net asset value per share $17.98 $14.80 $12.47 $9.72 $10.51 USD Distributing Institutional Share Class B: Shares issued (See note 3) 13,660,924-97,004 28,871 - Net asset value per share $ $10.30 $ USD Accumulating Retail Share Class C: Shares issued (See note 3) 4,182,019 6, , ,971 - Net asset value per share $17.26 $14.21 $11.10 $ USD Distributing Retail Share Class D: Shares issued (See note 3) 3,791,601 49, , ,786 - Net asset value per share $13.64 $12.16 $9.38 $ Sterling Hedged Accumulating Institutional Share Class E: Shares issued (See note 3) 5, ,009 - Net asset value per share Sterling Hedged Distributing Institutional Share Class F: Shares issued (See note 3) 3,049,519-4, Net asset value per share Sterling Hedged Accumulating Retail Share Class G: Shares issued (See note 3) 40, Net asset value per share Sterling Hedged Distributing Retail Share Class H: Shares issued (See note 3) 71, Net asset value per share * Launched on July 18, The accompanying notes are an integral part of these financial statements. 26

29 STATEMENTS OF ASSETS AND LIABILITIES (Unaudited) - Continued As of December 31, 2016 North American High Dividend Value Equity December 31, 2016 Global High Dividend Value Equity December 31, 2016 US Enhanced Equity Income December 31, 2016 Emerging Markets High Dividend December 31, 2016 Cullen Altaira Ethical Global High Dividend * December 31, 2016 Euro Hedged Accumulating Institutional Share Class I: Shares issued (See note 3) 15, , Net asset value per share Euro Hedged Distributing Institutional Share Class J: Shares issued (See note 3) 34, Net asset value per share Euro Hedged Accumulating Retail Share Class K: Shares issued (See note 3) 46, Net asset value per share Euro Hedged Distributing Retail Share Class L: Shares issued (See note 3) 14, , Net asset value per share USD Distributing Level Load Share Class N1: Shares issued (See note 3) 1,626, , ,540 - Net asset value per share $ $9.34 $ USD Accumulating Level Load Share Class N2: Shares issued (See note 3) 2,412,877 5,576 99,209 16,250 - Net asset value per share $12.58 $9.88 $10.54 $ Sterling Distributing Institutional Share Class P: Shares issued (See note 3) 672, , Net asset value per share Sterling Distributing Seeder Share Class R**: Shares issued (See note 3) ,624,178 - Net asset value per share * Launched on July 18, ** Only available in Emerging Markets High Dividend. The accompanying notes are an integral part of these financial statements. 27

30 Assets: STATEMENTS OF ASSETS AND LIABILITIES (Unaudited) - Continued As of December 31, 2016 Total Cullen s Plc December 31, 2016 Investments, at identified cost $ 590,460,613 Investments, at value $ 706,771,900 Investments in financial derivative instruments (See note 11) 2,794 Cash and cash equivalents (See note 13) 14,066,601 Receivable for subscriptions 1,166,171 Dividends and interest receivable 1,157,016 Receivable for securities sold 258,310 Receivable from Investment Manager (See note 6) 37,011 Prepaid expenses and other assets 62,590 Total assets 723,522,393 Liabilities: Investments in financial derivative instruments (See note 11, note 12) 1,708,762 Payable to Investment Manager (See note 6) 586,581 Payable for fund shares redeemed 930,179 Payable for securities purchased 72,672 Payable for unsettled foreign cash transactions 67 Other accrued expenses (See note 6) 501,342 Total liabilities 3,799,603 Net assets $ 719,722,790 Net assets consist of: Paid in capital $ 544,667,295 Distributed net investment income (6,748,255) Accumulated net realized gain on investments and foreign currency related transactions 67,064,881 Net unrealized appreciation on investments and foreign currency related transactions 114,738,869 Net assets $ 719,722,790 The accompanying notes are an integral part of these financial statements. 28

31 Assets: STATEMENTS OF ASSETS AND LIABILITIES As of June 30, 2016 North American High Dividend Value Equity Global High Dividend Value Equity US Enhanced Equity Income Emerging Markets High Dividend * June 30, 2016 June 30, 2016 June 30, 2016 June 30, 2016 Investments, at identified cost $ 490,395,745 $ 2,173,553 $ 35,977,939 $ 31,331,190 Investments, at value $ 613,366,425 $ 2,401,727 $ 36,201,322 $ 32,260,626 Investments in financial derivative instruments (See note 11) 65, Cash and cash equivalents (See note 13) 6,172,046 35,389 3,399,124 2,628,897 Receivable for subscriptions 959,706-26,000 12,022 Dividends and interest receivable 976,816 5,911 91, ,907 Receivable for securities sold ,810 Receivable from Investment Manager (See note 6) - 10,839 15,155 12,991 Prepaid expenses and other assets 8,314 7,607 6,175 10,228 Total assets 621,548,853 2,461,473 39,739,864 35,834,827 Liabilities: Investments in financial derivative instruments (See note 11, note 12) 3,948, ,292 6,693 Payable to Investment Manager (See note 6) 492,827 1,960 24,291 17,777 Payable for fund shares redeemed 1,332, Payable for securities purchased - - 3,049,409 1,388,421 Payable for unsettled foreign cash transactions ,955 Other accrued expenses (See note 6) 442,207 27,731 44,241 40,663 Total liabilities 6,215,281 29,691 3,354,233 1,456,509 Net assets $ 615,333,572 $ 2,431,782 $ 36,385,631 $ 34,378,318 Net assets consist of: Paid in capital $ 446,321,011 $ 611,831 $ 36,057,262 $ 34,827,955 (Distributed)/undistributed net investment income (6,412,608) 860,278 (52,553) 674,782 Accumulated net realized gain on investments and foreign currency related transactions 56,336, , ,846 (2,044,191) Net unrealized appreciation on investments and foreign currency related transactions 119,088, ,412 96, ,772 Net assets $ 615,333,572 $ 2,431,782 $ 36,385,631 $ 34,378,318 * Launched on August 5, The accompanying notes are an integral part of these financial statements. 29

32 USD Accumulating Institutional Share Class A: STATEMENTS OF ASSETS AND LIABILITIES - Continued As of June 30, 2016 North American High Dividend Value Equity Global High Dividend Value Equity The accompanying notes are an integral part of these financial statements. US Enhanced Equity Income Emerging Markets High Dividend * June 30, 2016 June 30, 2016 June 30, 2016 June 30, 2016 Shares issued (See note 3) 9,171, ,793 2,028,589 1,259,151 Net asset value per share $17.54 $14.44 $12.00 $9.64 USD Distributing Institutional Share Class B: Shares issued (See note 3) 15,433, , Net asset value per share $ $10.22 $10.29 USD Accumulating Retail Share Class C: Shares issued (See note 3) 3,748,419 8, , ,089 Net asset value per share $16.89 $13.92 $10.71 $9.82 USD Distributing Retail Share Class D: Shares issued (See note 3) 3,835,441 48, ,543 - Net asset value per share $13.54 $12.07 $ Sterling Hedged Accumulating Institutional Share Class E: Shares issued (See note 3) 14, ,009 Net asset value per share Sterling Hedged Distributing Institutional Share Class F: Shares issued (See note 3) 2,828,577-4,650 - Net asset value per share Sterling Hedged Accumulating Retail Share Class G: Shares issued (See note 3) 30, Net asset value per share Sterling Hedged Distributing Retail Share Class H: Shares issued (See note 3) 71, Net asset value per share Euro Hedged Accumulating Institutional Share Class I: Shares issued (See note 3) 15, ,000 - Net asset value per share Euro Hedged Distributing Institutional Share Class J: Shares issued (See note 3) 43, Net asset value per share * Launched on August 5,

33 Euro Hedged Accumulating Retail Share Class K: STATEMENTS OF ASSETS AND LIABILITIES - Continued As of June 30, 2016 North American High Dividend Value Equity Global High Dividend Value Equity US Enhanced Equity Income Emerging Markets High Dividend * June 30, 2016 June 30, 2016 June 30, 2016 June 30, 2016 Shares issued (See note 3) 38, Net asset value per share Euro Hedged Distributing Retail Share Class L: Shares issued (See note 3) 14, Net asset value per share USD Distributing Level Load Share Class N1: Shares issued (See note 3) 1,483, ,406 15,000 Net asset value per share $ $9.34 $10.02 USD Accumulating Level Load Share Class N2: Shares issued (See note 3) 2,578,797 5,576 60,306 1,000 Net asset value per share $12.35 $9.70 $10.20 $10.33 Sterling Distributing Institutional Share Class P: Shares issued (See note 3) 670, ,323 - Net asset value per share Sterling Distributing Seeder Share Class R**: Shares issued (See note 3) ,315,401 Net asset value per share * Launched on August 5, ** Only available in Emerging Markets High Dividend. The accompanying notes are an integral part of these financial statements. 31

34 STATEMENTS OF ASSETS AND LIABILITIES - Continued As of June 30, 2016 Total Cullen s Plc June 30, 2016 Assets: Investments, at identified cost $ 559,878,427 Investments, at value $ 684,230,100 Investments in financial derivative instruments (See note 11) 66,542 Cash and cash equivalents (See note 13) 12,235,456 Receivable for subscriptions 997,728 Dividends and interest receivable 1,250,072 Receivable for securities sold 733,810 Receivable from Investment Manager (See note 6) 38,985 Prepaid expenses and other assets 32,324 Total assets 699,585,017 Liabilities: Investments in financial derivative instruments (See note 11, note 12) 4,191,038 Payable to Investment Manager (See note 6) 536,855 Payable for fund shares redeemed 1,332,194 Payable for securities purchased 4,437,830 Payable for unsettled foreign cash transactions 2,955 Other accrued expenses (See note 6) 554,842 Total liabilities 11,055,714 Net assets $ 688,529,303 Net assets consist of: Paid in capital $ 517,818,059 Distributed net investment income (4,930,101) Accumulated net realized gain on investments and foreign currency related transactions 55,308,911 Net unrealized appreciation on investments and foreign currency related transactions 120,332,434 Net assets $ 688,529,303 The accompanying notes are an integral part of these financial statements. 32

35 STATEMENTS OF OPERATIONS (Unaudited) For the financial period ended December 31, 2016 North American High Dividend Value Equity Financial period ended December 31, 2016 Global High Dividend Value Equity Financial period ended December 31, 2016 US Enhanced Equity Income Financial period ended December 31, 2016 Emerging Markets High Dividend Financial period ended December 31, 2016 Cullen Altaira Ethical Global High Dividend * Financial period ended December 31, 2016 Investment income: Dividends $ 9,718,897 $ 32,574 $ 654,760 $ 835,974 $ 253,782 Dividend withholding tax (2,712,643) (6,268) (152,506) (64,668) (57,985) Other income 47, ,974 3,059 21,824 Total investment income 7,053,674 26, , , ,621 Expenses: (See note 6) Investment Manager fees 3,043,958 12, , , ,846 Administration fees 305,152 55,065 66,771 66,573 43,505 Audit fees 69, ,771 5,318 2,793 Depositary fees 98,738 7,221 6,936 36,539 11,060 Directors fees 46, ,183 3,547 1,862 Legal fees 46, ,193 3,556 1,862 Other expenses 110,322 3,176 25,361 8,390 31,457 Total expenses 3,720,186 78, , , ,385 Expense reimbursement from Investment Manager - (63,338) (57,821) (40,290) - Net expenses 3,720,186 14, , , ,385 Net investment income $ 3,333,488 $ 11,601 $ 259,567 $ 526,945 $ 1,236 Realized and unrealized gain/(loss) on investments Net realized gain/(loss) on: Investments $ 19,414,761 $ (9,675) $ 436,982 $ (655,945) $ 571,811 Foreign currency related transactions (8,278,349) (147) (374,368) (132,743) (33,425) Options , Capital gain tax on investments (46) - Net change in unrealized (depreciation)/ appreciation on: Investments (9,195,527) 54,921 (43,590) 452, ,044 Foreign currency related transactions 2,310,885-7,430 3,969 - Options , Capital gain tax on investments ,322 - Net realized and unrealized gain/(loss) on investments 4,251,770 45, ,783 (329,677) 1,229,430 Net increase in net assets resulting from operations $ 7,585,258 $ 56,700 $ 1,225,350 $ 197,268 $ 1,230,666 * Launched on July 18, For the financial period ended December 31, 2016, there are no other gains or losses other than those included in the Statements of Operations. All income arises from continuing operations. The accompanying notes are an integral part of these financial statements. 33

36 STATEMENTS OF OPERATIONS (Unaudited) - Continued For the financial period ended December 31, 2016 Total Cullen s Plc Financial period ended December 31, 2016 Investment income: Dividends $ 11,495,987 Dividend withholding tax (2,994,070) Other income 75,426 Total investment income 8,577,343 Expenses: (See note 6) Investment Manager fees 3,536,940 Administration fees 537,066 Audit fees 82,493 Depositary fees 160,494 Directors fees 55,036 Legal fees 55,220 Other expenses 178,706 Total expenses 4,605,955 Expense reimbursement from Investment Manager (161,449) Net expenses 4,444,506 Net investment income $ 4,132,837 Realized and unrealized gain/(loss) on investments Net realized gain/(loss) on: $ 19,757,934 Investments (8,819,032) Foreign currency related transactions 817,114 Options (46) Net change in unrealized (depreciation)/appreciation on: Investments (8,040,386) Foreign currency related transactions 2,322,284 Options 122,215 Capital gain tax on investments 2,322 Net realized and unrealized gain on investments 6,162,405 Net increase in net assets resulting from operations $ 10,295,242 For the financial period ended December 31, 2016, there are no other gains or losses other than those included in the Statements of Operations. All income arises from continuing operations. The accompanying notes are an integral part of these financial statements. 34

37 STATEMENTS OF OPERATIONS (Unaudited) For the financial period ended December 31, 2015 North American High Dividend Value Equity Financial period ended December 31, 2015 Global High Dividend Value Equity Financial period ended December 31, 2015 US Enhanced Equity Income Financial period ended December 31, 2015 Emerging Markets High Dividend * Financial period ended December 31, 2015 Investment income: Dividends $ 11,739,559 $ 75,723 $ 595,377 $ 277,383 Dividend withholding tax (2,960,640) (14,708) (138,164) (27,546) Other income 26, Total investment income 8,805,453 61, , ,293 Expenses: (See note 6) Investment Manager fees 3,418,355 33, ,262 83,862 Administration fees 319,362 66,700 75,584 46,438 Audit fees 66, ,638 1,979 Depositary fees 107,916 6,920 15,931 22,412 Directors fees 20, , Legal fees 81, ,478 2,436 Other expenses 97, ,904 4,432 Interest expense Total expenses 4,111, , , ,489 Expense reimbursement from Investment Manager - (68,790) (61,895) (37,650) Net expenses 4,111,236 40, , ,839 Net investment income $ 4,694,217 $ 21,137 $ 230,722 $ 125,454 Realized and unrealized gain/(loss) on investments Net realized gain/(loss) on: Investments $ 536,772 $ 102,190 $ (1,001,744) $ (805,590) Foreign currency related transactions (2,400,142) (2,156) (72,559) (70,954) Options ,652 - Net change in unrealized appreciation/(depreciation) on: Investments 8,163,234 (220,239) 260,176 (1,229,522) Foreign currency related transactions (3,337,440) - (17,952) (2,477) Options - - (40,520) - Capital gain tax on investments (1,452) Net realized and unrealized gain/(loss) on investments 2,962,424 (120,205) (141,947) (2,109,995) Net increase/(decrease) in net assets resulting from operations $ 7,656,641 $ (99,068) $ 88,775 $ (1,984,541) * Launched on August 5, For the financial period ended December 31, 2015, there are no other gains or losses other than those included in the Statements of Operations. All income arises from continuing operations. The accompanying notes are an integral part of these financial statements. 35

38 STATEMENTS OF OPERATIONS (Unaudited) - Continued For the financial period ended December 31, 2015 Total Cullen s Plc Financial period ended December 31, 2015 Investment income: Dividends $ 12,688,042 Dividend withholding tax (3,141,058) Other income 28,078 Total investment income 9,575,062 Expenses: (See note 6) Investment Manager fees 3,714,954 Administration fees 508,084 Audit fees 72,319 Depositary fees 153,179 Directors fees 22,193 Legal fees 89,009 Other expenses 110,920 Interest expense 1,209 Total expenses 4,671,867 Expense reimbursement from Investment Manager (168,335) Net expenses 4,503,532 Net investment income $ 5,071,530 Realized and unrealized gain/(loss) on investments Net realized gain/(loss) on: Investments $ (1,168,372) Foreign currency related transactions (2,545,811) Options 730,652 Net change in unrealized appreciation/(depreciation) on: Investments 6,973,649 Foreign currency related transactions (3,357,869) Options (40,520) Capital gain tax on investments (1,452) Net realized and unrealized gain on investments 590,277 Net increase in net assets resulting from operations $ 5,661,807 For the financial period ended December 31, 2015, there are no other gains or losses other than those included in the Statements of Operations. All income arises from continuing operations. The accompanying notes are an integral part of these financial statements. 36