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: 811-22144

 

Voya Infrastructure, Industrials and Materials Fund

(Exact name of registrant as specified in charter)

 

7337 East Doubletree Ranch Rd., Suite 100, Scottsdale, AZ 85258

(Address of principal executive offices) (Zip code)

 

Huey P. Falgout, Jr., 7337 East Doubletree Ranch Road, Suite 100, Scottsdale, AZ 85258

(Name and address of agent for service)

 

Registrant’s telephone number, including area code: 1-800-992-0180

 

Date of fiscal year end: February 28

 

Date of reporting period: May 31, 2018

 

 

 

 

 

 

Item 1. Schedule of Investments

 

The schedules of investments as of the close of the reporting period are set forth below for:

 

Voya Infrastructure, Industrials and Materials Fund

 

The schedules are not audited.

 

 

 

  

Voya Infrastructure, Industrials and Materials Fund PORTFOLIO OF INVESTMENTS
as of May 31, 2018 (Unaudited)

  

Shares        Value   Percentage
of Net
Assets
 
COMMON STOCK: 98.6%          
       Australia: 3.6%          
64,789     AGL Energy Ltd.  $1,079,902    0.4 
962,174      Aurizon Holdings Ltd.   3,122,263    1.0 
269,130      BHP Billiton Ltd.   6,691,168    2.2 
           10,893,333    3.6 
                  
       Canada: 2.9%          
370,877      Lundin Mining Corp.   2,325,490    0.7 
131,223      Teck Resources Ltd.   3,559,396    1.2 
83,683      TELUS Corp.   2,942,394    1.0 
           8,827,280    2.9 
                  
       China: 3.1%          
372,500      Beijing Enterprises Holdings Ltd.   2,048,408    0.7 
1,510,000      China Communications Services Corp., Ltd. - H Shares   969,455    0.3 
1,827,000      China Railway Construction Corp. Ltd. - H Shares   2,063,930    0.7 
4,472,000      China Telecom Corp., Ltd. - H Shares   2,079,123    0.7 
642,000      Jiangsu Expressway Co. Ltd. - H Shares   964,578    0.3 
1,294,000      Zhejiang Expressway Co., Ltd. - H Shares   1,290,364    0.4 
           9,415,858    3.1 
                  
       Denmark: 1.5%          
2,274      AP Moller - Maersk A/S - Class B   3,390,570    1.1 
14,527      DSV A/S   1,206,354    0.4 
           4,596,924    1.5 
                  
       France: 5.4%          
35,683      Air Liquide SA   4,405,330    1.5 
13,447      Alstom SA   636,151    0.2 
25,115      Arkema SA   3,063,147    1.0 
225,167      Orange SA   3,875,279    1.3 
49,554      Schneider Electric SE   4,283,668    1.4 
           16,263,575    5.4 
                  
       Germany: 4.4%          
54,866      BASF SE   5,417,170    1.8 
81,304      Deutsche Lufthansa AG   2,206,488    0.7 
214,472      Deutsche Telekom AG   3,322,418    1.1 
17,423      Siemens AG   2,270,715    0.8 
           13,216,791    4.4 
                  
       Hong Kong: 0.3%          
508,000      NWS Holdings Ltd.   942,834    0.3 
                  
       India: 0.7%          
111,478      Larsen & Toubro Ltd.   2,262,475    0.7 
                  
       Indonesia: 0.4%          
4,437,600      Telekomunikasi Indonesia Persero Tbk PT   1,113,615    0.4 

 

Shares        Value   Percentage
of Net
Assets
 
COMMON STOCK: (continued)          
       Italy: 1.3%          
706,946      Enel S.p.A.  $3,885,234    1.3 
                  
       Japan: 13.6%          
546,000      Hitachi Ltd.   3,975,299    1.3 
145,200      LIXIL Group Corp.   3,197,555    1.0 
149,200      JSR Corp.   2,898,978    1.0 
353,000      Kajima Corp.   2,872,246    0.9 
105,700      Kamigumi Co., Ltd.   2,303,025    0.8 
151,000      Mitsubishi Corp.   4,185,191    1.4 
106,300      Nippon Electric Glass Co., Ltd.   2,872,511    0.9 
83,300      Nippon Telegraph & Telephone Corp.   3,891,518    1.3 
126,200      NTT DoCoMo, Inc.   3,254,936    1.1 
71,900      Obayashi Corp.   723,392    0.2 
62,500      Omron Corp.   3,266,655    1.1 
41,900      Shin-Etsu Chemical Co., Ltd.   4,166,511    1.4 
64,100      Taisei Corp.   3,511,986    1.2 
           41,119,803    13.6 
                  
       Malaysia: 1.3%          
2,158,800      AirAsia Group Bhd   1,664,974    0.6 
585,800      Tenaga Nasional BHD   2,121,204    0.7 
           3,786,178    1.3 
                  
       Mexico: 0.3%          
1,679,500   (1)  Cemex SA de CV   1,000,392    0.3 
                  
       Netherlands: 2.8%          
42,374      Airbus SE   4,834,160    1.6 
37,186      Koninklijke DSM NV   3,704,832    1.2 
           8,538,992    2.8 
                  
       South Korea: 2.7%          
5,777      Lotte Chemical Corp.   1,966,778    0.6 
63,968      Korean Air Lines Co. Ltd.   1,891,410    0.6 
27      KT Corp.   676    0.0 
8,217      SK Holdings Co. Ltd.   2,104,817    0.7 
11,354      SK Telecom Co., Ltd.   2,335,236    0.8 
           8,298,917    2.7 
                  
       Spain: 0.3%          
31,950      Gas Natural SDG S.A.   784,285    0.3 
                  
       Sweden: 2.1%          
21,061      Boliden AB   742,696    0.3 
21,061   (1)  Boliden AB- Redemption Shares   13,687    0.0 
96,158      SKF AB - B Shares   1,869,615    0.6 
215,891      Volvo AB - B Shares   3,713,123    1.2 
           6,339,121    2.1 
                  
       Switzerland: 0.2%          
1,698      Swisscom AG   757,589    0.2 
                  
       Taiwan: 1.0%          
5,112,000      AU Optronics Corp.   2,239,243    0.7 
2,326,000   (1)  China Airlines Ltd.   786,148    0.3 
           3,025,391    1.0 

 

 

 

Voya Infrastructure, Industrials and Materials Fund PORTFOLIO OF INVESTMENTS
as of May 31, 2018 (Unaudited) (Continued)

 

Shares        Value   Percentage
of Net
Assets
 
COMMON STOCK: (continued)       
       Turkey: 0.5%          
399,491   (1)  Turk Hava Yollari  $1,469,824    0.5 
                  
       United Kingdom: 7.0%          
139,619      Anglo American PLC   3,334,075    1.1 
1,650,628      Centrica PLC   3,196,303    1.1 
285,504      CNH Industrial NV   3,336,778    1.1 
50,725      Intertek Group PLC   3,678,877    1.2 
403,972      Royal Mail PLC   2,718,266    0.9 
86,056      SSE PLC   1,563,253    0.5 
103,653      TechnipFMC PLC   3,228,791    1.1 
           21,056,343    7.0 
                  
       United States: 43.2%          
242,704      AES Corp.   3,094,476    1.0 
23,020      Albemarle Corp.   2,151,679    0.7 
60,320      Ameren Corp.   3,570,341    1.2 
51,130      American Electric Power Co., Inc.   3,474,284    1.2 
49,005      Ametek, Inc.   3,578,835    1.2 
22,862      Amphenol Corp.   1,987,394    0.7 
105,729      AT&T, Inc.   3,417,161    1.1 
30,839      Centerpoint Energy, Inc.   805,823    0.3 
204,641      Cisco Systems, Inc.   8,740,217    2.9 
29,693      Deere & Co.   4,439,400    1.5 
111,874      DowDuPont, Inc.   7,172,242    2.4 
34,427      DTE Energy Co.   3,526,358    1.2 
52,034      Eaton Corp. PLC   3,984,764    1.3 
104,578      Exelon Corp.   4,328,483    1.4 
21,224      General Dynamics Corp.   4,281,093    1.4 
83,102      Halliburton Co.   4,133,493    1.4 
40,566      Honeywell International, Inc.   6,000,117    2.0 
42,887      Ingersoll-Rand PLC - Class A   3,754,328    1.2 
81,048      Kinder Morgan, Inc.   1,351,881    0.4 
17,339      L3 Technologies, Inc.   3,438,844    1.1 
15,075      Lockheed Martin Corp.   4,741,691    1.6 
33,821      Manpowergroup, Inc.   3,043,890    1.0 
31,952      NextEra Energy, Inc.   5,297,961    1.8 
57,291      Nucor Corp.   3,677,509    1.2 
48,590      Owens Corning, Inc.   3,071,860    1.0 
28,632      Packaging Corp. of America   3,364,260    1.1 
21,888      Parker Hannifin Corp.   3,740,659    1.2 
14,258      Roper Technologies, Inc.   3,932,214    1.3 
22,301      Schlumberger Ltd.   1,531,410    0.5 
72,758      Steel Dynamics, Inc.   3,596,428    1.2 
21,768   (1)  United Rentals, Inc.   3,473,520    1.1 
63,878      Verizon Communications, Inc.   3,045,064    1.0 
29,971      Vulcan Materials Co.   3,828,496    1.3 
24,970   (1)  WABCO Holdings, Inc.   3,019,622    1.0 
48,413      Waste Management, Inc.   4,004,239    1.3 
           130,600,036    43.2 
                  
    Total Common Stock          
    (Cost $255,457,272)   298,194,790    98.6 

 

Shares        Value   Percentage
of Net
Assets
 
EXCHANGE-TRADED FUNDS: 0.7%          
45,178     iShares Global Infrastructure ETF  $1,941,750    0.7 
                  
    Total Exchange-Traded Funds          
    (Cost $1,990,359)   1,941,750    0.7 
                  
PREFERRED STOCK: 0.6%          
       Brazil: 0.6%          
154,800      Telefonica Brasil SA   1,891,328    0.6 
                  
    Total Preferred Stock          
    (Cost $2,226,784)  1,891,328    0.6 
                  
    Total Long-Term Investments          
    (Cost $259,674,415)   302,027,868    99.9 
                  
SHORT-TERM INVESTMENTS: 0.2%          
       Mutual Funds: 0.2%          
582,429   (2)  BlackRock Liquidity Funds, FedFund, Institutional Class, 1.640%          
       (Cost $582,429)   582,429    0.2 
                  
    Total Short-Term Investments         
    (Cost $582,429)  582,429    0.2 
                  
    Total Investments in Securities
(Cost $260,256,844)
  $302,610,297    100.1 
    Liabilities in Excess of Other Assets   (170,957)   (0.1)
    Net Assets  $302,439,340    100.0 

 

(1) Non-income producing security.
(2) Rate shown is the 7-day yield as of May 31, 2018.

  

Industry Diversification  Percentage
of Net Assets
 
Industrials   10.9%
Electric Utilities   6.2 
Aerospace & Defense   5.7 
Specialty Chemicals   4.3 
Industrial Conglomerates   4.1 
Utilities   4.0 
Materials   3.9 
Integrated Telecommunication Services   3.5 
Telecommunications   3.2 
Diversified Metals & Mining   2.9 
Oil & Gas Equipment & Services   3.0 
Communications Equipment   2.9 
Transportation   2.7 
Agricultural & Farm Machinery   2.6 
Steel   2.4 
Chemicals   2.4 
Engineering&Construction   2.3 
Telecommunication Services   2.3 
Industrial Machinery   1.8 
Wireless Telecommunication Services   1.9 
Diversified Chemicals   1.8 
Information Technology   1.6 
Industrial Gases   1.5%

 

 

 

Voya Infrastructure, Industrials and Materials Fund PORTFOLIO OF INVESTMENTS
as of May 31, 2018 (Unaudited) (Continued)

 

Construction Machinery & Heavy Trucks   1.4 
Construction & Engineering   1.4 
Electrical Components & Equipment   1.4 
Trading Companies & Distributors   1.4 
Airlines   1.4 
Electrical Equipment   1.3 
Electronic Equipment & Instruments   1.3 
Construction Materials   1.3 
Electrical Compo&Equip   1.2 
Multi-Utilities   1.2 
Marine   1.1 
Paper Packaging   1.1 
Electronics   1.1 
Building Products   1.0 
Computers   0.7 
Electronic Equipment, Instruments & Components   0.7 
Exchange-Traded Funds   0.7 
Oil & Gas Storage & Transportation   0.4 
Electric   0.4 
Building Materials   0.3 
Commercial Services   0.3 
Gas   0.3 
Gas Utilities   0.3 
Mining   0.3 
Short-Term Investments   0.2 
Liabilities in Excess of Other Assets   (0.1)
Net Assets   100.0%

Fair Value Measurements

The following is a summary of the fair valuations according to the inputs used as of May 31, 2018 in valuing the assets and liabilities:

 

   Quoted Prices
in Active Markets
for Identical
Investments
(Level 1)
   Significant
Other
Observable
Inputs#
(Level 2)
   Significant
Unobservable
Inputs
(Level 3)
   Fair Value
at
May 31, 2018
 
Asset Table                    
Investments, at fair value                      
Common Stock                    
Australia  $   $10,893,333   $   $10,893,333 
Canada   8,827,280            8,827,280 
China       9,415,858        9,415,858 
Denmark       4,596,924        4,596,924 
France       16,263,575        16,263,575 
Germany       13,216,791        13,216,791 
Hong Kong       942,834        942,834 
India       2,262,475        2,262,475 
Indonesia       1,113,615        1,113,615 
Italy       3,885,234        3,885,234 
Japan       41,119,803        41,119,803 
Malaysia       3,786,178        3,786,178 
Mexico   1,000,392            1,000,392 
Netherlands       8,538,992        8,538,992 
South Korea       8,298,917        8,298,917 
Spain       784,285        784,285 
Sweden   13,687    6,325,434        6,339,121 
Switzerland       757,589        757,589 
Taiwan       3,025,391        3,025,391 
Turkey       1,469,824        1,469,824 
United Kingdom   3,228,791    17,827,552        21,056,343 
United States   130,600,036            130,600,036 
Total Common Stock   143,670,186    154,524,604        298,194,790 
Exchange-Traded Funds   1,941,750            1,941,750 
Preferred Stock   1,891,328            1,891,328 
Short-Term Investments   582,429            582,429 
Total Investments, at fair value  $148,085,693   $154,524,604   $   $302,610,297 

 

 

 

 

Voya Infrastructure, Industrials and Materials Fund PORTFOLIO OF INVESTMENTS
as of May 31, 2018 (Unaudited) (Continued)

 

   Quoted Prices
in Active Markets
for Identical
Investments
(Level 1)
   Significant
Other
Observable
Inputs#
(Level 2)
   Significant
Unobservable
Inputs
(Level 3)
   Fair Value
at
May 31, 2018
 
Liabilities Table                    
Other Financial Instruments+                    
Written Options  $   $(793,849)  $   $(793,849)
Total Liabilities  $   $(793,849)  $   $(793,849)

 

+ Other Financial Instruments may include open forward foreign currency contracts, futures, centrally cleared swaps, OTC swaps and written options. Forward foreign currency contracts, futures and centrally cleared swaps are valued at the unrealized gain (loss) on the instrument.  OTC swaps and written options are valued at the fair value of the instrument.
# The earlier close of the foreign markets gives rise to the possibility that significant events, including broad market moves, may have occurred in the interim and may materially affect the value of those securities. To account for this, the Fund may frequently value many of its foreign equity securities using fair value prices based on third party vendor modeling tools to the extent available. Accordingly, a portion of the Fund's investments are categorized as Level 2 investments.

 

At May 31, 2018, the following OTC written equity options were outstanding for Voya Infrastructure, Industrials and Materials Fund:

 

Description  Counterparty  Put/Call  Expiration
Date
  Exercise
Price
  Number of
Contracts
   Notional
Amount
   Premiums
Received
   Fair Value 
         
Industrial Select Sector SPDR® Fund  Citibank N.A.  Call  06/28/18   74 .440   USD   412,413    30,700,024   $432,869   $(432,869)
iShares MSCI EAFE ETF  JPMorgan Chase Bank N.A.  Call  06/14/18   71 .590   USD   606,230    42,072,362    390,594    (37,179)
iShares MSCI Emerging Markets ETF  Goldman Sachs International  Call  06/14/18   46 .460   USD   374,516    11,997,783    344,854    (99,621)
Materials Select Sector SPDR® Fund  JPMorgan Chase Bank N.A.  Call  06/28/18   58 .180   USD   273,290    15,900,012    224,180    (224,180)
                              $1,392,497   $(793,849)

 

Currency Abbreviations
USD - United States Dollar

 

A summary of derivative instruments by primary risk exposure is outlined in the following tables.

 

The fair value of derivative instruments as of May 31, 2018 was as follows:

 

      Fair Value 
Derivatives not accounted for as hedging instruments     
         
Liability Derivatives  Instrument Type     
         
Equity contracts  Written options  $793,849 
Total Liability Derivatives     $793,849 

 

The following is a summary by counterparty of the fair value of OTC derivative instruments subject to Master Netting Agreements and collateral pledged (received), if any, at May 31, 2018:

 

   Citibank N.A.   Goldman Sachs & Co.   JPMorgan Chase Bank N.A.   Totals 
Liabilities:                
Written options  $432,869   $99,621   $261,359   $793,849 
Total Liabilities  $432,869   $99,621   $261,359   $793,849 
                     
Net OTC derivative instruments by counterparty, at fair value  $(432,869)  $(99,621)  $(261,359)   (793,849)
                     
Total collateral pledged by the Fund/(Received from counterparty)  $-   $-   $-   $- 
                     
Net Exposure(1)  $(432,869)  $(99,621)  $(261,359)  $(793,849)

 

(1)Positive net exposure represents amounts due from each respective counterparty. Negative exposure represents amounts due from the Fund.

 

At May 31, 2018, the aggregate cost of securities and other investments and the composition of unrealized appreciation and depreciation of securities and other investments at period end were:

 

Cost for federal income tax purposes was $259,129,349.

 

Net unrealized appreciation consisted of:

 

Gross Unrealized Appreciation  $50,800,936 
Gross Unrealized Depreciation   (7,894,030)
      
Net Unrealized Appreciation  $42,906,906 

 

 

 

 

Item 2. Controls and Procedures.

 

(a)Based on our evaluation conducted within 90 days of the filing date, hereof, the design and operation of the registrant’s disclosure controls and procedures are effective to ensure that material information relating to the registrant is made known to the certifying officers by others within the appropriate entities, particularly during the period in which Forms N-Q are being prepared, and the registrant’s disclosure controls and procedures allow timely preparation and review of the information for the registrant’s Form N-Q and the officer certifications of such Form N-Q.

 

(b)There were no significant changes in the registrant’s internal controls over financial reporting that occurred during the registrant’s last fiscal quarter of the period covered by this report that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting.

 

Item 3. Exhibits.

 

A separate certification for each principal executive officer and principal financial officer of the registrant as required by Rule 30a-2 under the Act (17 CFR 270.30a-2) is attached hereto as EX-99.CERT.

 

 

 

 

SIGNATURES

 

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

 

(Registrant): Voya Infrastructure, Industrials and Materials Fund

 

By /s/ Michael Bell  
  Michael Bell  
  Chief Executive Officer  
     
Date: July 26, 2018  

 

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/ Michael Bell  
  Michael Bell  
  Chief Executive Officer  
     
Date: July 26, 2018  
     
By /s/ Todd Modic  
  Todd Modic  
  Senior Vice President and Chief Financial Officer  
     
Date: July 26, 2018