UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

FORM N-Q

 

QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED 

MANAGEMENT INVESTMENT COMPANY

 

Investment Company Act file number: 811-22016

 

ALPINE GLOBAL PREMIER PROPERTIES FUND

(Exact name of registrant as specified in charter)

 

2500 Westchester Avenue, Suite 215, Purchase, New York 10577

(Address of principal executive offices) (Zip code)

 

Alpine Woods Capital Investors, LLC

2500 Westchester Avenue, Suite 215

Purchase, New York 10577

(Name and address of agent for service)

 

Copies of information to:

 

Rose F. DiMartino, Esq.   Sarah E. Cogan, Esq.
Willkie Farr & Gallagher LLP   Simpson Thacher & Bartlett LLP
787 Seventh Avenue   425 Lexington Ave
New York, NY 10019-6099   New York, NY 10174

 

Registrant’s telephone number, including area code: 914-251-0880

 

Date of fiscal year end: October 31, 2016

 

Date of reporting period: January 31, 2016

 

Item 1. Schedule of Investments.

 

Schedule of Portfolio Investments Alpine Global Premier Properties Fund
January 31, 2016 (Unaudited)  

 

  Shares   Security
Description
    Value 
           
 Common Stocks-108.2%     
           
 Asia-34.5%     
           
 China-6.3%     
 1,938,840   CapitaLand Retail China Trust  $1,927,945 
 1,800,000   China Overseas Land & Investment, Ltd.   5,270,628 
 5,168,367   China Resources Land, Ltd.   12,813,478 
 934,335   Dalian Wanda Commercial Properties Co., Ltd.-Class H (a)   4,523,030 
 1,000,000   KWG Property Holding, Ltd.   642,998 
 2,400,000   Longfor Properties Co., Ltd.   3,075,450 
 1,000,000   Shimao Property Holdings, Ltd.   1,420,290 
 9,037,976   Shui On Land, Ltd.   2,203,988 
 3,600,000   Sunac China Holdings, Ltd.   2,247,286 
         34,125,093 
           
 Hong Kong-0.4%     
 420,000   Cheung Kong Property Holdings, Ltd.   2,271,076 
           
 India-4.6%     
 4,973,128   DB Realty, Ltd. (b)   3,766,395 
 4,000,000   DLF, Ltd.   5,755,655 
 1,999,368   Hirco PLC (b)(c)(d)   142,445 
 2,000,000   Housing Development & Infrastructure, Ltd. (b)   2,190,661 
 744,090   Kolte-Patil Developers, Ltd.   1,165,116 
 990,500   Oberoi Realty, Ltd.   3,568,645 
 1,986,423   Prestige Estates Projects, Ltd.   5,440,748 
 700,993   Sobha, Ltd.   2,987,690 
         25,017,355 
           
 Japan-17.2%     
 30,000   Daito Trust Construction Co., Ltd.   3,814,078 
 4,007   GLP J-REIT   3,902,157 
 1,000,309   Hulic Co., Ltd.   8,625,403 
 3,000   Hulic REIT, Inc.   4,365,902 
 2,500,000   Ichigo, Inc.   8,589,127 
 21,616   Invincible Investment Corp.   13,267,118 
 1,350   Kenedix Office Investment Corp.   6,840,405 
 642   Kenedix Retail REIT Corp.   1,305,045 
 3,403,769   Kenedix, Inc.   13,829,618 
 450,000   Mitsubishi Estate Co., Ltd.   8,908,503 
 628,621   Mitsui Fudosan Co., Ltd.   14,798,285 
 300,000   Sekisui House, Ltd.   4,722,290 
         92,967,931 
           
 Philippines-0.8%     
 9,000,625   SM Prime Holdings, Inc.   4,025,996 
           
 Singapore-2.5%         
 3,685,498   ARA Asset Management, Ltd.   2,688,210 
 7,005,500   Banyan Tree Holdings, Ltd.   1,843,116 
 7,494,924   Global Logistic Properties, Ltd.   8,882,779 
         13,414,105 
           
 Thailand-1.1%     
 4,710,000   Central Pattana PCL   5,932,905 
           
 United Arab Emirates-1.6%     
 2,394,290   DAMAC Properties Dubai Co. PJSC   1,511,488 
 5,300,000   Emaar Properties PJSC   7,136,495 
         8,647,983 
     Total Asia (Cost $198,675,012)   186,402,444 

 

The accompanying notes are an integral part of these financial statements.

 
Schedule of Portfolio Investments Alpine Global Premier Properties Fund
January 31, 2016 (Unaudited)  

 

 Australia-0.8%     
           
 Australia-0.8%     
 1,000,000   Goodman Group   4,378,722 
     Total Australia (Cost $2,990,963)   4,378,722 
           
 Europe-32.4%     
           
 France-5.8%     
 50,000   Accor SA   1,898,913 
 64,088   Kaufman & Broad SA   1,943,825 
 219,474   Klepierre   9,512,439 
 260,219   Nexity SA   11,777,547 
 24,000   Unibail-Rodamco SE   6,049,478 
         31,182,202 
           
 Germany-4.3%     
 400,000   ADO Properties SA (a)(b)   11,173,160 
 351,775   TLG Immobilien AG   6,712,526 
 183,669   Vonovia SE   5,598,003 
         23,483,689 
           
 Ireland-6.0%     
 2,896,284   Dalata Hotel Group PLC (b)   15,416,512 
 8,322,573   Green REIT PLC   13,513,816 
 2,810,607   Irish Residential Properties REIT PLC   3,365,114 
         32,295,442 
           
 Spain-4.7%     
 512,973   Hispania Activos Inmobiliarios SA (b)   6,379,093 
 1,134,376   Lar Espana Real Estate Socimi SA   10,829,574 
 730,000   Merlin Properties Socimi SA   8,477,540 
         25,686,207 
           
 Sweden-2.1%     
 349,945   JM AB   9,637,379 
 100,000   Skanska AB-B Shares   1,929,359 
         11,566,738 
           
 United Kingdom-9.5%     
 674,547   Great Portland Estates PLC   7,398,076 
 264,212   Kennedy Wilson Europe Real Estate PLC   4,213,904 
 450,000   Land Securities Group PLC   7,057,505 
 1,124,322   LondonMetric Property PLC   2,600,852 
 2,510,000   LXB Retail Properties PLC   3,487,085 
 4,751,768   Regus PLC   20,087,155 
 600,000   The British Land Co. PLC   6,356,040 
         51,200,617 
     Total Europe (Cost $146,159,358)   175,414,895 
           
 North & South America-40.5%     
           
 Brazil-0.7%         
 440,310   Cyrela Commercial Properties SA Empreendimentos e Participacoes   971,483 
 15,000   Cyrela Commercial Properties SA Empreendimentos e Participacoes-ADR (a)   128,373 
 1,595,723   Direcional Engenharia SA   1,316,537 
 1,100,000   JHSF Participacoes SA (b)   343,767 
 208,240   Sao Carlos Empreendimentos e Participacoes SA   963,679 
         3,723,839 
           
 Canada-0.3%     
 300,000   Dream Global Real Estate Investment Trust   1,723,892 

 

The accompanying notes are an integral part of these financial statements.

 
Schedule of Portfolio Investments Alpine Global Premier Properties Fund
January 31, 2016 (Unaudited)  

 

 Chile-0.8%     
 2,831,188   Parque Arauco SA   4,409,097 
           
 Mexico-4.7%     
 4,326,924   Concentradora Fibra Hotelera Mexicana SA de CV   3,292,115 
 3,807,723   Corp. Inmobiliaria Vesta SAB de CV   5,458,273 
 3,600,979   Fibra Uno Administracion SA de CV   7,214,763 
 8,250,000   Grupo GICSA SA de CV (b)   6,786,399 
 1,600,001   Prologis Property Mexico SA de CV   2,328,846 
         25,080,396 
           
 United States-34.0%     
 50,000   AvalonBay Communities, Inc. (e)   8,574,500 
 70,000   Boston Properties, Inc. (e)   8,134,700 
 250,000   Brookdale Senior Living, Inc. (b)(e)   4,070,000 
 250,000   CBL & Associates Properties, Inc. (e)   2,687,500 
 50,000   CBRE Group, Inc.-Class A (b)(e)   1,398,500 
 1,200,507   Colony Capital, Inc.-Class A (e)   20,684,736 
 267,464   Extended Stay America, Inc. (e)   3,426,214 
 200,000   Four Corners Property Trust, Inc. (e)   3,380,000 
 359,091   Hilton Worldwide Holdings, Inc. (e)   6,395,411 
 400,000   KB Home (e)   4,344,000 
 135,000   Kilroy Realty Corp. (e)   7,542,450 
 201,316   La Quinta Holdings, Inc. (b)(e)   2,282,923 
 180,000   Lennar Corp.-Class A (e)   7,587,000 
 238,707   LGI Homes, Inc. (b)(e)   5,242,006 
 130,872   NorthStar Asset Management Group, Inc. (e)   1,510,263 
 316,812   NorthStar Realty Europe Corp. (e)   2,990,705 
 500,436   NorthStar Realty Finance Corp. (e)   5,940,175 
 450,000   NRG Yield, Inc.-Class A (e)   5,580,000 
 100,000   NRG Yield, Inc.-Class C (e)   1,324,000 
 150,000   Pattern Energy Group, Inc. (e)   2,842,500 
 145,742   Simon Property Group, Inc. (e)   27,148,820 
 750,944   Starwood Property Trust, Inc. (e)   14,297,974 
 100,000   Taylor Morrison Home Corp.-Class A (b)(e)   1,205,000 
 500,000   TerraForm Power, Inc.-Class A (e)   4,955,000 
 60,000   The Howard Hughes Corp. (b)(e)   5,701,800 
 400,000   TRI Pointe Group, Inc. (b)(e)   4,216,000 
 1,196,931   Two Harbors Investment Corp. (e)   9,096,675 
 274,780   WCI Communities, Inc. (b)(e)   5,753,893 
 291,771   William Lyon Homes-Class A (b)(e)   3,168,633 
 250,000   WP Glimcher, Inc. (e)   2,270,000 
         183,751,378 
     Total North & South America (Cost $243,424,975)   218,688,602 
     Total Common Stocks (Cost $591,250,308)   584,884,663 
           
 Equity-Linked Structured Notes-1.6%     
           
 India-1.5%     
 400,000   DB Realty, Ltd.-Macquarie Bank, Ltd. (b)   302,940 
 1,181,568   Dewan Housing Finance Corp.-Macquarie Bank, Ltd.   3,230,031 
 193,000   Kolte-Patil Developers, Ltd.-Macquarie Bank, Ltd.   302,204 
 850,000   Phoenix Mills, Ltd.-Macquarie Bank, Ltd.   3,756,767 
 60,000   Prestige Estates Projects, Ltd.-Macquarie Bank, Ltd.   164,338 
 80,000   Sobha, Ltd.-Macquarie Bank, Ltd.   340,967 
         8,097,247 
           
 United Kingdom-0.1%     
 300,000   Merill Lynch International (b)   827,202 
     Total Equity-Linked Structured Notes (Cost $11,282,796)   8,924,449 

 

The accompanying notes are an integral part of these financial statements.

 
Schedule of Portfolio Investments Alpine Global Premier Properties Fund
January 31, 2016 (Unaudited)  
           
 Total Investments (Cost $602,533,104) (f) -109.8%   593,809,112 
       
 Liabilities in Excess of Other Assets-(9.8)%   (53,047,756)
       
 TOTAL NET ASSETS 100.0%  $540,761,356 
           

Percentages are stated as a percent of net assets.

(a) Restricted under Rule 144A of the Securities Act of 1933. These securities may be resold in transactions exempt from registration, normally to qualified institutional buyers. These securities have been determined to be liquid under guidelines established by the Board of Trustees. Liquid securities restricted under Rule 144A comprised 2.9% of the Fund’s net assets.

(b) Non-income producing security.

(c) Illiquid security.

(d) Security fair valued in accordance with procedures approved by the Board of Trustees. These securities comprised 0.0% of the Fund’s net assets.

(e) All or a portion of the security has been designated as collateral for the line of credit.

(f) See Note 2 for the cost of investments for federal tax purposes.

AB-Aktiebolag is the Swedish equivalent of a corporation.

ADR-American Depositary Receipt

AG-Aktiengesellschaft is a German term that refers to a corporation that is limited by shares, i.e., owned by shareholders.

PCL-Public Company Limited

PJSC-Public Joint Stock Company

PLC-Public Limited Company

REIT-Real Estate Investment Trust

SA-Generally designates corporations in various countries, mostly those employing the civil law.

SA de CV-Sociedad Anonima de Capital Variable is the Spanish equivalent to Variable Capital Company.

SAB de CV-Sociedad Anonima Bursátil de Capital Variable is the Spanish equivalent to Variable Capital Company.

SE-SE Regulation. A European Company which can operate on a Europe-wide basis and be governed by Community law directly applicable in all Member States.

 

The accompanying notes are an integral part of these financial statements.

 

Alpine Global Premier Properties Fund

Notes to Schedule of Portfolio Investments

January 31, 2016 (Unaudited)

 

1. Organization:

 

Alpine Global Premier Properties Fund (the “Fund”) is a diversified, closed-end management investment company. The Fund was organized as a Delaware Statutory Trust on February 13, 2007, and had no operating history prior to April 26, 2007. The Board of Trustees (the “Board”) authorized an unlimited number of shares with no par value. The Fund’s primary investment objective is capital appreciation. The Fund’s secondary investment objective is high current income.

 

The Fund is an investment company and accordingly follows the investment company accounting and reporting guidance of the Financial Accounting Standards Board (“FASB”) Accounting Standards Codification Topic (“ASC”) 946 Financial Services - Investment Companies.

 

2. Significant Accounting Policies:

 

The following is a summary of significant accounting policies consistently followed by the Fund in the preparation of its financial statements. The policies are in conformity with accounting principles generally accepted in the United States of America (“GAAP”), which require management to make estimates and assumptions that affect amounts reported herein. Actual results could differ from those estimates. Changes in the economic environment, financial markets and any other parameters used in determining these estimates could cause actual results to differ.

 

A. Valuation of Securities:

 

The net asset value (“NAV”) of shares of the Fund is calculated by dividing the value of the Fund’s net assets by the number of outstanding shares. NAV is determined each day the New York Stock Exchange (“NYSE”) is open as of the close of regular trading (normally, 4:00 p.m., Eastern Time). In computing NAV, portfolio securities of the Fund are valued at their current fair values determined on the basis of market quotations or if market quotations are not readily available or determined to be unreliable, through procedures and/or guidelines established by the Board. In computing the Fund’s NAV, equity securities that are traded on a securities exchange in the United States, except for those listed on NASDAQ Global Market, NASDAQ Global Select Market and NASDAQ Capital Market exchanges (collectively, “NASDAQ”) and option securities are valued at the last reported sale price as of the time of valuation. Securities traded on NASDAQ will be valued at the NASDAQ Official Closing Prices (“NOCP”). If, on a particular day, an exchange traded or NASDAQ security does not trade, then the mean between the most recent quoted bid and asked prices will be used. For equity investments traded on more than one exchange, the last reported sale price on the exchange where the stock is primarily traded is used. Equity-linked structured notes are valued by referencing the last reported sale or settlement price of the underlying security on the day of valuation. Foreign exchange adjustments are applied to the last reported price to convert the underlying security’s trading currency to the equity-linked structured note’s settlement currency. Each option security traded on a securities exchange in the United States is valued at the last current reported sales price as of the time of valuation if the last current reported sales price falls within the consolidated bid/ask quote. If the last current reported sale price does not fall within the consolidated bid/ask quote, the security is valued at the mid-point of the consolidated bid/ask quote for the option security. Forward currency contracts are valued based on third-party vendor quotations. Each security traded in the over-the-counter market and quoted on the NASDAQ National Market System is valued at the NOCP, as determined by NASDAQ, or lacking an NOCP, the last current reported sale price as of the time of valuation by NASDAQ, or lacking any current reported sale on NASDAQ at the time of valuation, at the mean between the most recent bid and asked quotations. Each over-the-counter option that is not traded through the Options Clearing Corporation is valued by the counterparty of the option, or if the counterparty’s price is not readily available, then by using the Black-Scholes method. Debt and short-term securities are valued based on an evaluated bid price as furnished by pricing services approved by the Board, which may be based on market transactions for comparable securities and various relationships between securities that are generally recognized by institutional traders, a computerized matrix system, or appraisals derived from information concerning the securities or similar securities received from recognized dealers in those securities. Each other security traded over-the-counter is valued at the mean between the most recent bid and asked quotations.

 

Securities that are principally traded in a foreign market are valued at the last current sale price at the time of valuation or lacking any current or reported sale, at the time of valuation, at the mean between the most recent bid and asked quotations as of the close of the appropriate exchange or other designated time. Trading in securities on European and Far Eastern securities exchanges and over-the-counter markets is normally completed at various times before the close of business on each day on which the NYSE is open. Trading of these securities may not take place on every NYSE business day. In addition, trading may take place in various foreign markets on Saturdays or on other days when the NYSE is not open and on which the Fund’s NAV is not calculated.

 

When market quotations are not readily available or when the valuation methods mentioned above are not reflective of a fair value of the security, the security is valued at fair value following procedures and/or guidelines approved by the Board. The Fund

 

may also use fair value pricing, if the value of a security it holds is, pursuant to the Board guidelines, materially affected by events occurring before the Fund’s NAV is calculated but after the close of the primary market or market transactions for comparable securities and various relationships between securities that are generally recognized by institutional traders, a computerized matrix system, or appraisals derived from information concerning the securities or similar securities received from recognized dealers in those securities. The Board has approved the use of a third-party pricing vendor’s proprietary fair value pricing model to assist in determining current valuation for foreign equities and OTC derivatives traded in markets that close prior to the NYSE. When fair value pricing is employed, the value of the portfolio security used to calculate the Fund’s NAV may differ from quoted or official closing prices. The Fund may also fair value a security if the Fund or Adviser believes that the market price is stale. Other types of securities that the Fund may hold for which fair value pricing might be required include illiquid securities including restricted securities and private placements for which there is no public market.

 

For securities valued by the Fund, valuation techniques are used to measure fair value that are consistent with the market approach and/or income approach, depending on the type of security and the particular circumstance. The market approach uses prices and other relevant information generated by market transactions involving identical or comparable securities. The income approach uses valuation techniques to discount estimated future cash flows to present value.

 

The Board of Trustees adopted procedures which utilize fair value procedures when any assets for which reliable market quotations are not readily available or for which the Fund’s pricing service does not provide a valuation or provides a valuation that in the judgment of the Adviser does not represent fair value. The Board of Trustees has established a Valuation Committee which is responsible for (1) monitoring the valuation of Fund securities and other investments; and (2) as required, when the Board of Trustees is not in session, reviewing and approving the fair value of illiquid and other holdings after consideration of all relevant factors, which determinations are reported to the Board of Trustees.

 

Fair Value Measurement:

 

In accordance with FASB ASC, “Fair Value Measurement” (“ASC 820”), defines fair value as the value that the Fund would receive to sell an investment or pay to transfer a liability in a timely transaction with an independent buyer in the principal market, or in the absence of a principal market the most advantageous market for the investment or liability. ASC 820 uses a three-tier hierarchy to establish classification of fair value measurements for disclosure purposes. Inputs refer broadly to the assumptions that market participants would use in pricing the asset or liability, including assumptions about risk. Inputs may be observable or unobservable. Observable inputs are inputs that reflect the assumptions market participants would use in pricing the asset or liability that are developed based on market data obtained from sources independent of the reporting entity. Unobservable inputs are inputs that reflect the reporting entities’ own assumptions about the assumptions market participants would use in pricing the asset or liability that are developed based on the best information available.

 

Level 1 -  Unadjusted quoted prices in active markets for identical investments.
   
Level 2 -  Other significant observable inputs (including quoted prices for similar instruments, interest rates, prepayment speeds, credit risk, yield curves, default rates, etc.).
   
Level 3 -  Significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments).

 

The availability of observable inputs can vary from security to security and is affected by a wide variety of factors, including, for example, the type of security, whether the security is new and not yet established in the marketplace, the liquidity of markets, and other characteristics particular to the security. To the extent that valuation is based on models or inputs that are less observable or unobservable in the market, the determination of fair value requires more judgment. Accordingly, the degree of judgment exercised in determining fair value is greatest for instruments categorized in Level 3.

 

The inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, for disclosure purposes, the level in the fair value hierarchy within which the fair value measurement falls, is determined based on the lowest level input that is significant to the fair value measurement in its entirety.

 

Various inputs are used in determining the value of the Fund’s investments as of the reporting period end. The designated input levels are not necessarily an indication of the risk or liquidity associated with these investments. These inputs are categorized in the following hierarchy under ASC 820.

 

The following is a summary of the inputs used to value the Fund’s assets and liabilities carried at fair value as of January 31, 2016:

 

   Valuation Inputs    
Investments in Securities at Value*  Level 1   Level 2   Level 3   Total Value 
Common Stocks                    
Diversified  $20,046,729   $105,637,392   $   $125,684,121 
Financials   46,988,148    16,517,828        63,505,976 
Industrial       3,902,157        3,902,157 
Industrials   7,787,119    13,261,501        21,048,620 
Lodging   15,396,663    19,158,541        34,555,204 
Mortgage/Finance   8,930,880            8,930,880 
Office   19,464,577    55,092,773        74,557,350 
Other   14,701,500            14,701,500 
Residential   56,650,729    97,533,574        154,184,303 
Retail   38,973,405    44,841,147        83,814,552 
Equity-Linked Structured Notes       8,924,449        8,924,449 
Total  $228,939,750   $364,869,362   $   $593,809,112 
                     
  Valuation Inputs     
Other Financial Instruments  Level 1   Level 2   Level 3   Total Value 
Assets                    
Forward Currency Contracts  $   $1,886,508   $   $1,886,508 
Liabilities                    
Forward Currency Contracts  $   $(129,899)  $   $(129,899)
Total  $   $1,756,609   $   $1,756,609 

 

* For detailed industry descriptions, see accompanying Schedule of Portfolio Investments.

 

As of the period ending January 31, 2016, certain securities were transferred from one level (as of October 31, 2015) to another. Based on beginning of period market values as of November 1, 2015, approximately $379,275,255 was transferred from Level 1 to Level 2 and approximately $154,111 was transferred from Level 3 to Level 2 as a result of a decrease in the number of observable inputs that were readily available to the independent pricing service.

 

The following is a reconciliation of Level 3 assets for which significant unobservable inputs were used to determine fair value:

 

Balance as of October 31, 2015  $154,111
Realized gain (loss)   -
Change in net unrealized depreciation   -
Purchases   -
Sales   -
Transfers in to Level 3*   -
Transfers out of Level 3*   (154,111)
Balance as of January 31, 2016  $-
Change in net unrealized appreciation on Level 3 holdings held at period end  $-

* The Fund recognizes transfers as of the beginning of the year.

 

B. Federal and Other Income Taxes:

 

It is the Fund’s policy to comply with the Federal income and excise tax requirements of the Internal Revenue Code of 1986 (the “Code”), as amended, applicable to regulated investment companies and to timely distribute all of its investment company taxable income and net realized capital gains to shareholders in accordance with the timing requirements imposed by the Code. Therefore, no Federal income tax provision is required. Capital gains realized on some foreign securities are subject to foreign taxes. Dividends and interest from non-U.S. sources received by the Fund are generally subject to non-U.S. withholding taxes at rates ranging up to 30%. Such capital gains and withholding taxes, which are accrued as applicable, may be reduced or eliminated under the terms of applicable U.S. income tax treaties, and the Fund intend to undertake procedural steps to claim the benefits of such treaties. Where available, the Fund will file refund claims for foreign taxes withheld.

 

As of January 31, 2016, net unrealized appreciation/(depreciation) of investments, excluding foreign currency, based on Federal tax costs was as follows:*

 

  Cost of
investments
  Gross unrealized appreciation   Gross unrealized depreciation   Net unrealized depreciation
$ 602,533,104 $ 94,538,452 $ (103,082,444) $ (8,543,992)

 

* Because tax adjustments are calculated annually, the above table reflects the tax adjustments outstanding at the Fund’s previous fiscal year end. For the previous fiscal year’s Federal income tax information, please refer to the Notes to Financial Statements section in the Fund’s most recent semi-annual or annual report.

 

C. Distributions to Shareholders:

 

On July 5, 2011, the Fund, acting in accordance with an exemptive order received from the SEC and with approval of the Board, adopted a level distribution policy under which the Fund intends to make regular monthly cash distributions to common shareholders, stated in terms of a fixed amount per common share. With this policy, the Fund can now include long-term capital gains in its distribution as frequently as twelve times a year. The Board views approval of this policy as a potential means of further supporting the market price of the Fund through the payment of a steady and predictable level of cash distributions to shareholders.

 

The level distribution rate may be modified or eliminated by the Board from time to time. If a monthly distribution exceeds the Fund’s monthly estimated investment company taxable income (which may include net short-term capital gain) and net tax exempt income, the excess could result in a tax-free return of capital distribution from the Fund’s assets. The determination of a tax-free return of capital is made on an annual basis as further described below. The Fund’s final distribution for each calendar year will include any remaining investment company taxable income and net tax exempt income undistributed during the year, as well as all net capital gains, if any, realized during the year. If the total distributions made in any fiscal year exceed annual investment company taxable income, net tax exempt income and net capital gain, such excess distributed amount would be treated as ordinary dividend income to the extent of the Fund’s current and accumulated earnings and profits. Distributions in excess of the accumulated investment company taxable income, net tax-exempt income and net capital gain would first be a tax- free return of capital to the extent of the adjusted tax basis in the shares. After such adjusted tax basis is reduced to zero, the distribution would constitute capital gain (assuming the shares are held as capital assets). Distributions to shareholders are recorded by the Fund on the ex-dividend date and are determined in accordance with income tax regulations, which may differ from GAAP.

 

The current monthly distribution rate is $0.05 per share. The Board continues to evaluate its monthly distribution policy in the light of ongoing economic and market conditions and may change the amount of the monthly distributions in the future.

 

D. Foreign Currency Translation Transactions:

 

The Fund may invest a portion of its assets in foreign securities. In the event that the Fund executes a foreign security transaction, the Fund will generally enter into a forward foreign currency contract to settle the foreign security transaction. The books and records of the Fund are maintained in U.S. dollars. Non-U.S. dollar-denominated amounts are translated into U.S. dollars as follows, with the resultant translations gains and losses recorded in the Statement of Operations:

 

i) fair value of investment securities and other assets and liabilities at the exchange rate on the valuation date.

 

ii) purchases and sales of investment securities, income and expenses at the exchange rate prevailing on the respective date of such transactions.

 

E. Risks Associated with Foreign Securities and Currencies:

 

Investments in securities of foreign issuers carry certain risks not ordinarily associated with investments in securities of domestic issuers. Such risks include future political and economic developments and the possible imposition of exchange controls or other foreign governmental laws and restrictions. In addition, with respect to certain countries, there is a possibility of expropriation of assets, confiscatory taxation, political or social instability or diplomatic developments, which could adversely affect investments in those countries. Generally, when the U.S. dollar rises in value against a foreign currency, the Fund’s investments denominated in that currency will lose value because that currency is worth fewer U.S. dollars; the opposite effect occurs if the U.S. dollar falls in relative value.

 

Certain countries may also impose substantial restrictions on investments in their capital markets by foreign entities, including restrictions on investments in issuers or industries deemed sensitive to relevant national interests. These factors may limit the investment opportunities available to the Fund or result in a lack of liquidity and high price volatility with respect to securities of issuers from developing countries.

 

F. Equity-Linked Structured Notes:

 

The Fund may invest in equity-linked structured notes. Equity-linked structured notes are securities which are specially designed to combine the characteristics of one or more underlying securities and their equity derivatives in a single note form. The return and/or yield or income component may be based on the performance of the underlying equity securities, and equity index, and/or option positions. Equity-linked structured notes are typically offered in limited transactions by financial institutions in either registered or non-registered form. An investment in equity-linked structured notes creates exposure to the credit risk of the issuing financial institution, as well as to the market risk of the underlying securities. There is no guaranteed return of principal with these securities and the appreciation potential of these securities may be limited by a maximum payment or call right. In certain cases, equity-linked structured notes may be more volatile and less liquid than complex securities or other types of fixed-income securities. Such securities may exhibit price behavior that does not correlate with other fixed-income securities.

 

G. Forward Currency Contracts:

 

The Fund is subject to foreign currency exchange rate risk in the normal course of pursuing its investment objective. The Fund may use forward currency contracts to gain exposure to or economically hedge against changes in the value of foreign currencies. A forward currency contract (“forward”) is an agreement between two parties to buy and sell a currency at a set price on a future date. The market value of the forward contract fluctuates with changes in forward currency exchange rates. The forward contract is marked-to-market daily and the change in market value is recorded by the Fund as unrealized appreciation or depreciation. When the forward contract is closed, a Fund records a realized gain or loss equal to the fluctuation in value during the period the forward contract was open. A Fund could be exposed to risk if a counterparty is unable to meet the terms of a forward or if the value of the currency changes unfavorably. The Fund’s forward contracts are not subject to a master netting agreement or similar agreement.

 

The following forward currency contracts were held as of January 31, 2016:

 

Description  Counterparty  Settlement
Date
  Currency     Settlement
Value
   Current
Value
   Unrealized
Appreciation/
(Depreciation)
 
Contracts Sold:                        
Euro  State Street Bank and Trust Company  06/09/16  40,000,000  EUR  $43,879,200   $43,495,993   $383,207 
British Pound  State Street Bank and Trust Company  06/09/16  19,100,000  GBP   28,729,647    27,226,346    1,503,301 
Japanese Yen  State Street Bank and Trust Company  06/09/16  4,000,000,000  JPY   33,029,462    33,159,361    (129,899)
                    $103,881,700   $1,756,609 
 

Item 2 - Controls and Procedures.

 

  (a) The Registrant’s principal executive officer and principal financial officer have evaluated the Registrant’s disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940) as of a date within 90 days of this filing and have concluded that the Registrant’s disclosure controls and procedures were effective, as of that date.
     
  (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) 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.

 

Separate certifications for the Registrant’s principal executive officer and principal financial officer, as required by Section 302 of the Sarbanes-Oxley Act of 2002 and Rule 30a-2(a) under the Investment Company Act of 1940, are attached as Ex99.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.

 

ALPINE GLOBAL PREMIER PROPERTIES FUND

 

By:  

/s/ Samuel A. Lieber

 
    Samuel A. Lieber  
    President (Principal Executive Officer)  
     
Date:   March 23, 2016  

 

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/ Samuel A. Lieber 

 
    Samuel A. Lieber  
    President (Principal Executive Officer)  
     
Date:   March 23, 2016  
     
By:  

/s/ Ronald G. Palmer, Jr. 

 
    Ronald G. Palmer, Jr.  
   

Chief Financial Officer (Principal Financial Officer) 

 
     
Date:   March 23, 2016