Edgar Filing: ROYCE MICRO-CAP TRUST, INC /MD/

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

FORM N-CSR

CERTIFIED SHAREHOLDER REPORT
OF
REGISTERED MANAGEMENT INVESTMENT COMPANIES

Investment Company Act file number: 811-08030

Name of Registrant: Royce Micro-Cap Trust, Inc.

Address of Registrant: 745 Fifth Avenue
New York, NY 10151

Name and address of agent for service: John E. Denneen, Esq. 745 Fifth Avenue New York, NY 10151

Registrant’s telephone number, including area code: (212) 508-4500
Date of fiscal year end: December 31, 2017
Date of reporting period: January 1, 2017 – June 30, 2017

Item 1. Reports to Shareholders.

JUNE 30, 2017 2017 Semiannual Review and Report to Stockholders Royce Global Value Trust Royce Micro-Cap Trust Royce Value Trust roycefunds.com

A Few Words on Closed-End Funds

Royce & Associates, LP manages three closed-end funds: Royce Global Value Trust, which invests primarily in companies with headquarters outside of the United States, Royce Micro-Cap Trust, which invests primarily in micro-cap securities; and Royce Value Trust, which invests primarily in small-cap securities. A closed-end fund is an investment company whose shares are listed and traded on a stock exchange. Like all investment companies, including open-end mutual funds, the assets of a closed-end fund are professionally managed in accordance with the investment objectives and policies approved by the fund’s Board of Directors. A closed-end fund raises cash for investment by issuing a fixed number of shares through initial and other public offerings that may include shelf offerings and periodic rights offerings. Proceeds from the offerings are invested in an actively managed portfolio of securities. Investors wanting to buy or sell shares of a publicly traded closed-end fund after the offerings must do so on a stock exchange, as with any publicly traded stock. Shares of closed-end funds frequently trade at a discount to their net asset value. This is in contrast to open-end mutual funds, which sell and redeem their shares at net asset value on a continuous basis.

A Closed-End Fund Can Offer Several Distinct Advantages

Why Dividend Reinvestment Is Important
A very important component of an investor’s total return comes from the reinvestment of distributions. By reinvesting distributions, our investors can maintain an undiluted investment in a Fund. To get a fair idea of the impact of reinvested distributions, please see the charts on pages 55 and 56. For additional information on the Funds’ Distribution Reinvestment and Cash Purchase Options and the benefits for stockholders, please see page 57 or visit our website at www.roycefunds.com.

Managed Distribution Policy
The Board of Directors of each of Royce Micro-Cap Trust and Royce Value Trust has authorized a managed distribution policy (“MDP”). Under the MDP, Royce Micro-Cap Trust and Royce Value Trust pay quarterly distributions at an annual rate of 7% of the average of the prior four quarter-end net asset values, with the fourth quarter being the greater of these annualized rates or the distribution required by IRS regulations. With each distribution, the Fund will issue a notice to its stockholders and an accompanying press release that provides detailed information regarding the amount and composition of the distribution (including whether any portion of the distribution represents a return of capital) and other information required by a Fund’s MDP. You should not draw any conclusions about a Fund’s investment performance from the amount of distributions or from the terms of a Fund’s MDP. A Fund’s Board of Directors may amend or terminate the MDP at any time without prior notice to stockholders; however, at this time there are no reasonably foreseeable circumstances that might cause the termination of any of the MDPs.

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A closed-end fund does not issue redeemable securities or offer its securities on a continuous basis, so it does not need to liquidate securities or hold uninvested assets to meet investor demands for cash redemptions.

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In a closed-end fund, not having to meet investor redemption requests or invest at inopportune times can be effective for value managers who attempt to buy stocks when prices are depressed and sell securities when prices are high.

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A closed-end fund may invest in less liquid portfolio securities because it is not subject to potential stockholder redemption demands. This is potentially beneficial for Royce-managed closed-end funds, with significant investments in small- and micro-cap securities.

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The fixed capital structure allows permanent leverage to be employed as a means to enhance capital appreciation potential.

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Royce Micro-Cap Trust and Royce Value Trust distribute capital gains, if any, on a quarterly basis. Each of these Funds has adopted a quarterly distribution policy for its common stock.

We believe that the closed-end fund structure can be an appropriate investment for a long-term investor who understands the benefits of a more stable pool of capital.

This page is not part of the 2017 Semiannual Report to Stockholders
Table of Contents Semiannual Review Letter to Our Stockholders 2 Performance 7 Semiannual Report to Stockholders Royce Global Value Trust

Manager’s Discussion of Fund Performance

Schedule of Investments

Other Financial Statements

14 Royce Micro-Cap Trust

Manager’s Discussion of Fund Performance

Schedule of Investments

Other Financial Statements

29 Royce Value Trust

Manager’s Discussion of Fund Performance

Schedule of Investments

Other Financial Statements

46 History Since Inception 55 Distribution Reinvestment and Cash Purchase Options 57 Directors and Officers 58 Board Approval of Investment Advisory Agreements 59 Notes to Performance and Other Important Information 61

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Letter to Our Stockholders

SMALL-CAP’S LONG AND WINDING ROAD

A good start for small-caps in 2017 masked some
key reversals

In a solid first half for small-cap stocks, the Russell 2000 Index gained 5.0% for the year-to-date period ended June 30, 2017. This followed a terrific 2016, in which the small-cap index advanced 21.3%. From our perspective as small-cap specialists, however, the big news in small-cap last year was the occurrence of three key reversals: leadership for value, improved results for cyclicals, and higher overall returns for small-caps than for large-caps. Perhaps because we had been waiting for so long—and based on history, we endured an inordinately protracted wait for value to resume leadership over growth—we were convinced as we entered 2017 that these reversals would remain in place. Yet the first half saw leadership shifting yet again, as large-caps, growth, and non-cyclicals (especially healthcare) all took the lead after lagging, some significantly, in 2016. (In addition, non-U.S. equities surged, though this came after several years of underperformance). The result was a small-cap market with narrow leadership for growth through most of the first six months.
Recent rotations in small-cap style leadership could be seen clearly in the one-year results for the period ended June 30, 2017. The two style indexes finished the 12-month period in remarkably similar places—the Russell 2000 Value Index climbed 24.9% versus a gain of 24.4% for the Russell 2000 Growth Index—though their respective paths were strikingly divergent.

In the second half of 2016, the small-cap value index rose 24.2% versus 13.1% for growth, while in the first half of 2017, value rose only 0.5% compared to a 10.0% increase for its growth sibling—A Tale of Two Halves. Our interpretation of these actions is that the first half of 2017 marked a catch-up phase for last year’s laggards and a pause for 2016’s leaders.
A Tale of Two Halves
1-Year Return Russell 2000 Value and Russell 2000 Growth

Given leadership for growth and non-cyclicals in a period of lackluster economic growth, some market commentators have compared the first half of 2017 to 2015, a year in which growth stocks shined while cyclicals suffered. Growth’s recent leadership notwithstanding, however, 2017 looks nothing like 2015. Today’s environment features rising interest rates, quantitative easing is unwinding in the U.S. (with signs that Europe will soon follow suit), and an increasing amount of data shows a global economy that’s beginning to heat up. In our view, this environment seems significantly different than it did during growth’s last period of extended leadership, which featured anemic global growth and the looming threat of

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LETTER TO OUR STOCKHOLDERS

It’s important to remember that we are still walking the road back to normalization. This is not a straight road—and it was never going to be. If 2017’s first half showed us anything, it was that the path back to normalization (and away from zero interest rates and abundant financial liquidity) will be a winding one with a few sharp twists and turns.

renewed recessions. It’s important to remember that we are still walking the road back to normalization. This is not a straight road—and it was never going to be. If 2017’s first half showed us anything, it was that the path back to normalization (and away from zero interest rates and abundant financial liquidity) will be a winding one with a few sharp twists and turns. We think that we are far from a new regime for growth. In fact, the environment still looks very conducive, at least to us, for value’s leadership to resume and continue—driven by cyclical industries positioned to benefit from global growth.

CAN THE LOW ROAD LEAD TO OUTPERFORMANCE?

Attractive returns for small-caps in the low-return world we anticipate
Our cautious optimism is tempered by an important caveat—the likelihood of lower returns for small-cap stocks than we experienced over the past five years. We make no secret of our belief in reversion to the mean—and the Russell 2000’s 13.7% average annual total return for the five-year period ended June 30, 2017 was higher than its rolling monthly five-year average since the inception of the small-cap index on 12/31/78—a gain of 10.6%.
In addition, the chart below shows that small-cap’s rolling five-year returns over the past 15- and 25-year periods are also lower than the current five-year average for the Russell 2000. This explains why we see a high probability of lower small-cap returns over the next few years—our take is based on reversion to the mean.
Rolling 5-Year Returns vs. Latest 5-Year Avg. Annual Total Return
Russell 2000 Average Monthly Rolling Average Annual Total Return for 5-Year Periods Through 6/30/17

That said, we still see positive, and quite likely very competitive, returns for small-caps ahead, with an argument that rests on two primary factors—the reasonable state of current valuations and the prospect for earnings strength and/or improvement.

While it is true that current small-cap valuations are elevated compared with history, it is also true that within a context of low bond yields, small-caps appear cheap versus bonds.
Two Perspectives on Small-Cap Market Valuation through 6/30/17

EV/EBIT >
Long-term Average

Suggests small-caps
are more than
fully valued

Equity Risk Premium >
Long-term Average

Suggests small-caps
are undervalued

Enterprise Value (EV) is calculated by adding a company’s market capitalization, long-term debt, preferred stock, and minority interest, then subtracting cash. EBIT is earnings before interest and tax. EV/EBIT is a harmonic weighted average. Cap Rate is a simple weighted average. Equity Risk Premium is the excess return that an equity investment provides over a risk-free rate, generally defined as the return from U.S. Treasury bonds.

In addition, valuations actually became more attractive for small-cap companies as a whole in the first half of 2017, as earnings advanced at a faster rate than stock prices. At the end of 2016, the average P/E ratio for the Russell 2000 was 22.9x while at the end of June 2017 it had fallen to 21.7x. During this same period, the yield on the 10-year Treasury yield dropped from 2.4% to 2.3%, further increasing small-cap’s attractiveness versus bonds.
Regarding the earnings outlook, our own analyses, our regular discussions with company management teams, and research from our friends at Strategas all reveal a quietly optimistic sales and earnings

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outlook for many small-cap businesses over the next couple of years, especially if global growth continues to heat up. Small-cap earnings announcements in July 2017 offered some initial, if anecdotal, support for this thesis.
We contend that if inflation stays below its historical average, then valuations can stay above their historical levels. We believe valuations do not need to increase from this point for small-caps to advance, and if small-caps can track earnings growth, then an expectation of mid- to high-single digit returns over the next several years seems reasonable to us. In the low-return world we are anticipating, that could be a very competitive return.

TWO ROADS DIVERGING IN THE SMALL-CAP WORLD

Why mean reversion and history favor small-cap value
Of course, active small-cap managers do not buy the whole market—at least they shouldn’t. If we have sketched a reasonably accurate roadmap for this journey to normalization (of which higher interest rates are a crucial feature), it would have significant implications for investment approaches. Seeing in essence a mirror image of the 2011-2015 period, we think the road to normalization will continue to have divergent paths, with outperformance for value, cyclical, and active management and underperformance for growth, defensive, and passive strategies.
Our favorable view of value is rooted in three observations: value’s long-term historical outperformance record versus growth, mean reversion for growth’s performance, and the interest-rate sensitivity of growth stock valuations. Below is a chart showing the most recent five-year returns for the small-cap value and growth indexes compared with the average five-year returns over all monthly rolling periods
Latest 5-Year Average Annual Total Returns vs. Average Monthly Rolling Average Annual Total 5-Year Returns Through 6/30/17

Valuations for Cyclical Sectors Look Cheap vs. Defensives
Cyclical vs. Defensive Stocks Within the Russell 2000 Median Relative LTM EV/EBIT1 Ex. Negative EBIT Through 6/30/17

1 Last Twelve Months Enterprise Value/Earnings Before Interest and Taxes

Cyclical Definition: Consumer Discretionary, Energy, Financials, Industrials, Information Technology, Materials.
Defensive Definition: Consumer Staples, Health Care, Real Estate, Telecommunication Services, Utilities
Source: Factset
since inception (12/31/78). While the most recent five-year period may be seen as highly supportive for financial assets, small-cap value exceeded its historical five-year average return by only about 100 basis points, while its growth equivalent exceeded its historical average by approximately 550 basis points. Reversion to the mean strongly suggests a very challenging road ahead for small-cap growth stocks.
In addition, valuations for cyclicals within small-cap look attractive versus defensives. The metric we prefer to use when examining valuations is the median relative enterprise value (“EV”) over earnings before interest and taxes (“EBIT”). We calculated it over the last 12 months ended June 30, 2017, excluding the companies in the Russell 2000 with negative EBIT. We think this gives a clear picture of the relative attractiveness of cyclicals versus defensive stocks. The results can be seen in the chart above, which shows that valuations for cyclical versus defensive sectors were below their long-term average at the end of June. We feel good about small-cap valuations for our preferred companies and see the greatest earnings potential for small-caps in cyclical areas of the market. Indeed, one of the underappreciated aspects of small-cap cyclicals is the degree to which many look poised to participate in global economic expansion.
In fact, we would offer a qualified dissent to the idea that small-caps would be in a relatively unfavorable position if international economies outpace the rate of growth in the U.S. To be sure, this notion is sound enough when applied to the small-cap universe as a whole—the average company in the Russell 2000 derived only 19.8% of its sales from outside the U.S. at the end of June, compared to about 40% for the S&P 500. However, the level of foreign sales varies considerably by

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LETTER TO OUR STOCKHOLDERS

Information Technology & Materials Had Highest Percentage of Foreign Revenue for the 12 Months Ended 6/30/17
Russell 2000 GICS Sectors

Source: Factset
sector and industry in the Russell 2000, with Information Technology (44.1%) and Materials (33.4%) having the highest percentages of revenue derived from non-U.S. sources by sector.
There are also certain other cyclical industries, including auto components (47.2%) and machinery (35.9%), that boast significant international exposure and therefore appear well positioned to benefit from global expansion. Additionally, with the dollar weakening, we expect to see heightened demand for U.S. exports. As experienced small-cap specialists, we see a rebounding global economy as being a potential advantage for active managers who, like us, carry more of a cyclical tilt in their portfolios.
Granted, our earnings-centric outlook pivots on there being not simply the tailwind of solid earnings and relatively attractive valuations for select cyclicals but also headwinds for growth and defensive companies. Rising interest rates, for example, are more likely to benefit companies with EPS growth and mute multiple expansion. In this Goldilocks, “not too fast, not too slow” economic environment, we expect higher-quality companies (as measured by high returns on invested capital) to have an advantage. Companies that are able to make steady progress and fund their growth from internal cash flow rather than relying on increasingly pricey external sources of capital should be in a superior position to their financially less stable competitors.

SMALL-CAP’S SILK ROAD
The current opportunity in international small-cap Additionally, there are timely opportunities in international small-cap stocks. As shown below, the trailing 10-year return for international small-caps is significantly lower than its long-term average. A regression to the mean of historical returns would result in more favorable performance. Prior to 2017, the Russell Global ex-U.S. Small Cap had underperformed the Russell 2000 by the widest spread since the inception of the non-U.S. small-cap index in July 1996. As of June 30,

2017, the performance spread between the two indexes was just shy of this lowest point. So while there is no guarantee of the course of future returns, we think the long-term performance history of the two small-cap indexes suggests that a multi-year run for international small-caps is possible. In our view, this is especially relevant when evaluating the opportunity in these companies.
Recent Returns for
non-U.S. Small-Caps
are at Low End of History

Russell Global ex-U.S. Small Cap
Index Quarterly Rolling 10-Year
Returns as of 6/30/17

All of this adds up to an environment that appears supportive for active management. Three market environments have historically provided opportunities for many active managers—when value leads, when volatility rises, and when overall market returns are low. All three look more likely than not to us. To the last point, it’s interesting to note what’s shown in the following chart: active managers, with the Morningstar Small Cap Blend Category Average serving as a proxy, had their widest outperformance spread in the five-year periods when the Russell 2000 returned between 5-10%. This is exactly the environment that we think is most likely.
Monthly Rolling 5-Year U.S. Small Blend1 Average Excess Returns During Russell 2000 Return Ranges from 12/31/73 through 6/30/17

1 There were 524 U.S. Fund Small Blend Funds tracked by Morningstar with at least five years of performance history as of 6/30/17.
The excess return for a Morningstar category would be the category’s return for the period minus the Index return.
GO WITH THE FLOW
Corrections are historically typical within small-cap
Of course, the road to a lower-return environment likely entails a correction. We do not see this as chilling or discouraging news. Within small-cap, some kind of realignment of stock prices is common. In 18 of the last 20 calendar years, the Russell 2000 had an intra-year decline of at least 10% (and a downturn of 9.6% occurred in one of the two years that escaped the 10%-plus fall). Over the last 20 calendar years,

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LETTER TO OUR STOCKHOLDERS

the median intra-year correction was 14.2% while so far in 2017, the Russell 2000’s biggest decline was 4.7%. So we lean toward the likelihood of a pullback in the 8-12% range. We do not see it going much deeper than that because, at least currently, we see none of the signs of a major market top or a recession.
Year-to-Date vs. Median
Intra-Year Decline

Largest Russell 2000
Intra-Year Declines
Through 6/30/17

Additionally, many market watchers were expecting a correction toward the end of the first quarter, and as of this writing we still have not seen one even in the midst of ample economic and political uncertainty. When this 20-year history is linked with the fact that we have still not experienced anything like a real correction since the February 2016 small-cap trough, then a downturn looks more than probable to us. So while we are confident that many small-cap companies are in fundamentally solid, even strong, shape, we have also seen over the years that markets simply do not keep ascending for this long without a little air being let out of them.
THE ROAD LESS TRAVELED
A challenging path worth taking To be sure, the current environment offers a number of challenges for small-cap investors. Yet we believe it also looks favorable for those who walk the road less traveled—those with disciplined small-cap active management approaches that are geared more globally. Current uncertainty should sooner or later result in

higher levels of volatility. (Indeed, perhaps the oddest feature of 2017’s first half was its bullish placidity in the face of so much uncertainty—the 10-year Treasury showed as much, if not more, volatility in the year’s first six months as the stock market.) And we see increased volatility as potentially working to the advantage of the disciplined active manager.
There is also the possibility of fiscal or regulatory support from Washington, which could of course help small-caps. Our view, however, is that investors place undue emphasis on this. We take issue with the common assumption that small-caps cannot continue to advance without a cocktail combining corporate tax cuts, deregulation, and infrastructure spending. Our outlook of measured optimism is not grounded on which policies emerge (or do not emerge) from Washington.
Ultimately, of course, the success of what we do hinges on the companies in which we invest. On that score, we are encouraged. The ongoing optimism we have been hearing every day from management teams, for example, contradicts the expectation of an economic slowdown. Order books are continuing to fill up, and the majority of the companies we have been meeting with remain confident about their business. That in turn gives us ample confidence in what we do. We are convinced that small-cap active management approaches can remain successful as long as there is a reasonable amount of economic growth, whether here at home or overseas. Simply put, we see modest global economic growth leading to decent earnings growth which should result in moderate advances for small-caps as a group and greater advances for companies in cyclical businesses. Our advice? “Stay active, my friends.”

Sincerely,

Charles M. Royce Christopher D. Clark Francis D. Gannon Chairman, Chief Executive Officer, and Co-Chief Investment Officer, Royce & Associates, LP Co-Chief Investment Officer, Royce & Associates, LP Royce & Associates, LP July 31, 2017

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Performance

NAV Average Annual Total Returns
As of June 30, 2017 (%) YTD1 1-YR 3-YR 5-YR 10-YR 15-YR 20-YR 25-YR 30-YR SINCE
INCEPTION INCEPTION
DATE Royce Global Value Trust 16.11 24.23 3.43 N/A N/A N/A N/A N/A N/A 5.06 10/17/13 Royce Micro-Cap Trust 5.93 22.60 4.65 13.47 5.75 9.23 9.96 N/A N/A 10.84 12/14/93 Royce Value Trust 7.29 25.76 6.95 13.38 5.56 8.77 9.52 10.81 10.47 10.63 11/26/86 INDEX Russell Global Small Cap Index 10.47 21.47 4.50 10.82 3.92 9.39 6.94 N/A N/A N/A N/A Russell Microcap Index 4.23 27.60 6.69 13.73 5.47 8.44 N/A N/A N/A N/A N/A Russell 2000 Index 4.99 24.60 7.36 13.70 6.92 9.19 7.98 9.89 9.03 N/A N/A

1 Not Annualized.

Important Performance and Risk Information

All performance information in this Review and Report reflects past performance, is presented on a total return basis, net of the Fund’s investment advisory fee, and reflects the reinvestment of distributions. Past performance is no guarantee of future results. Investment return and principal value of an investment will fluctuate, so that shares may be worth more or less than their original cost when sold. Current performance may be higher or lower than performance quoted. Current month-end performance may be obtained at www.roycefunds.com. The Funds are closed-end registered investment companies whose respective shares of common stock may trade at a discount to the net asset value. Shares of each Fund’s common stock are also subject to the market risk of investing in the underlying portfolio securities held by each Fund. Certain immaterial adjustments were made to the net assets of Royce Micro-Cap Trust at 12/31/12, as well as 12/31/14 and of Royce Value Trust at 12/31/16, for financial reporting purposes, and as a result the net asset value originally calculated on that date and the total return based on that net asset value differs from the adjusted net asset value and total return reported in the Financial Highlights. All indexes referenced are unmanaged and capitalization-weighted. Each index’s returns include net reinvested dividends and/or interest income. Russell Investment Group is the source and owner of the trademarks, service marks and copyrights related to the Russell Indexes. Russell® is a trademark of Russell Investment Group. The Russell 2000 Index is an index of domestic small-cap stocks that measures the performance of the 2,000 smallest publicly traded U.S. companies in the Russell 3000 Index. The Russell Microcap Index includes 1,000 of the smallest securities in the small-cap Russell 2000 Index, along with the next smallest eligible securities as determined by Russell. The Russell Global Small Cap Index is an unmanaged, capitalization-weighted index of global small-cap stocks. The performance of an index does not represent exactly any particular investment, as you cannot invest directly in an index. Index returns include net reinvested dividends and/or interest income. Royce Value, Micro-Cap and Global Value Trust shares of common stock trade on the NYSE. Royce Fund Services, Inc (“RFS”) is a member of FINRA and files certain material with FINRA on behalf of each Fund. RFS is not an underwriter or distributor of any of the Funds.

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MANAGER’S DISCUSSION Royce Global Value Trust (RGT)

Chuck Royce
FUND PERFORMANCE Royce Global Value Trust (“RGT”) advanced 16.1% on a net asset value (“NAV”) basis and 19.6% on a market price basis for the year-to-date period ended June 30, 2017, significantly outperforming its unleveraged benchmark, the Russell Global Small Cap Index, which was up 10.5% for the same period. These were impressive results on both an absolute and relative basis. We were especially pleased that positive performances came from holdings in the U.S., the U.K., Japan, and more than 20 other countries in the first half. Indeed, after several years in which international small-caps languished, their recent resurgence has been more than welcome, especially as more than two-thirds of RGT’s net assets were invested in non-U.S. companies at the end of June compared to 58.7% for the benchmark.     Getting off to a fast start, the Fund climbed 7.9% on an NAV basis and 9.4% on a market price basis for the first quarter, outperforming its benchmark, which was up 6.0% for the same period. This trend continued in the second quarter, in which RGT’s results tracked very closely to its first-quarter returns. The Fund was up 7.6% based on NAV and rose 9.3% based on market price compared to 4.2% for the Russell Global Small Cap Index in the second quarter. We were also pleased that the Fund outperformed its global small-cap benchmark for the one-year period ended June 30, 2017 on both an NAV and market price basis. WHAT WORKED... AND WHAT DIDN’T Nine of the Fund’s 10 equity sectors finished the semiannual period in the black. Industrials and Information Technology led by fairly wide margins, though notable contributions also came from Financials and Health Care. At the industry level, four groups made particularly notable gains, led by capital markets (Financials), which has long been an area of focus for us, especially on a global level. Strong results also came from electronic equipment, instruments & components, health care equipment & supplies, and IT services. The first and third of these groups are in Information Technology, the second in Health Care. (Along with Industrials, these were the top-contributing sectors to the Russell Global Small Cap’s first-half performance.)
    At the position level, the portfolio’s top contributor was Indian consumer finance company Bajaj Finance, which rebounded off a relatively weak fourth quarter of 2016 owing to the government’s surprising decision to demonetize in November. During the first half of 2017, however, fiscal third-quarter results (released in January) revealed margin improvement and high asset quality while fiscal fourth-quarter results, which came in May, showed the strength of Bajaj’s 320-city presence in consumer and commercial lending operations. Although we trimmed our stake as its shares climbed, we believe the company can continue to benefit from its strong position in India’s nascent credit markets. The stock of California-based laser diode and equipment maker Coherent was galvanized by ongoing sales and earnings growth driven by vibrant demand for ramped up OLED (organic light-emitting diode) capacity. Raven Industries, also a U.S. firm, provides precision agriculture products, high-performance specialty films, and what it calls lighter-than-air technologies. Its shares rose on improvements in consolidated sales and earnings, driven by strength in the firm’s Applied Technology and Engineered Films units.     Hurt by falling oil prices, Energy was the only sector that detracted from first-half performance, though its negative impact was comparably modest. Unsurprisingly, the portfolio industries that detracted most come from this same sector—energy equipment & services and oil, gas & consumable fuels. The top detractor at the position level was SEACOR Holdings, which provides marine transportation equipment and logistics services mostly for the energy and agricultural markets. Its earnings remained pressured by ongoing weakness in the offshore marine vessel business, which was exacerbated by the decline in oil prices in the first half, as well as overcapacity in its inland river barge and tow business. From the otherwise strong capital markets group, Toronto-based Dundee Corporation, which is involved in wealth management, real estate, and natural resources, experienced losses in mining- and resource-based activities that put downward pressure on its shares.
    Relative to the Russell Global Small Cap, the Fund benefited most from savvy stock selection in Financials, especially in capital markets and consumer finance. Also helping were superior stock picks in Industrials and Information Technology. The impact of relative detractors was far less significant and included ineffective stock picks in the Materials sector and our underweight in Telecommunication Services.
Top Contributors to Performance Year-to-Date Through 6/30/17 (%)1 Bajaj Finance 0.59 Coherent 0.43 Raven Industries 0.38 Cognex Corporation 0.36 Relo Group 0.33 1 Includes dividends
Top Detractors from Performance Year-to-Date Through 6/30/17 (%)2 SEACOR Holdings -0.25 Dundee Corporation Cl. A -0.17 MBIA -0.11 Signet Jewelers -0.10 KBR -0.09 2 Net of dividends
CURRENT POSITIONING AND OUTLOOK Even after the strong start to 2017, we continue to find attractive opportunities in both U.S. and international companies. Select valuations in many parts of the world, including the U.S., still looked attractive to us at the end of June, especially in the context of expanding global growth. Recent data showed that the second quarter of 2017 was the eurozone’s best in more than six years, boosted by strong manufacturing numbers, job growth, and elevated business confidence. Additionally, in mid-July China reported surprisingly strong GDP growth for the second quarter, driven by increased retail sales, investment, and industry output. We are also confident in the prospects for smaller companies with earnings growth here in the U.S.
8 | 2017 Semiannual Report to Stockholders

PERFORMANCE AND PORTFOLIO REVIEW SYMBOLS MARKET PRICE RGT NAV XRGTX
Performance
Average Annual Total Return (%) Through 6/30/17 JAN-JUN 20171 1-YR 3-YR SINCE INCEPTION (10/17/13) RGT (NAV) 16.11 24.23 3.43 5.06 1 Not Annualized
Market Price Performance History Since Inception (10/17/13)
Cumulative Performance of Investment1 1-YR 5-YR 10-YR 15-YR 20-YR SINCE INCEPTION (10/17/13) RGT 28.7% N/A N/A N/A N/A 12.5%

1 Reflects the cumulative performance experience of a continuous common stockholder who purchased one share at inception ($8.975 IPO) and reinvested all distributions. 2 Reflects the actual month-end market price movement of one share as it has traded on NYSE and, prior to 12/1/03, on the Nasdaq.

The Morningstar Style Map is the Morningstar Style Box™ with the center 75% of fund holdings plotted as the Morningstar Ownership Zone™. The Morningstar Style Box is designed to reveal a fund’s investment strategy. The Morningstar Ownership Zone provides detail about a portfolio’s investment style by showing the range of stock sizes and styles. The Ownership Zone is derived by plotting each stock in the portfolio within the proprietary Morningstar Style Box. Over time, the shape and location of a fund's ownership zone may vary. See page 61 for additional information.

Top 10 Positions % of Net Assets Kirby Corporation 1.9 SEI Investments 1.9 Raven Industries 1.4 Lazard Cl. A 1.3 VZ Holding 1.3 Cognex Corporation 1.2 Virtu Financial Cl. A 1.1 Ashmore Group 1.1 Spirax-Sarco Engineering 1.1 Clarkson 1.1
Portfolio Sector Breakdown % of Net Assets Industrials 26.7 Information Technology 17.9 Financials 17.3 Materials 11.1 Health Care 10.7 Consumer Discretionary 7.7 Consumer Staples 3.4 Real Estate 2.7 Energy 2.7 Telecommunication Services 0.1 Outstanding Line of Credit, Net of Cash and Cash Equivalents -0.3
Calendar Year Total Returns (%)
YEAR RGT 2016 11.1 2015 -3.4 2014 -6.2
Portfolio Country Breakdown1,2
% of Net Assets United States 31.8 United Kingdom 11.6 Japan 9.9 Canada 8.6 France 4.4 Germany 4.3 Switzerland 4.0 1

Represents countries that are 3% or more of net assets.

Securities are categorized by the country of their headquarters.

Portfolio Diagnostics Fund Net Assets $116 million Number of Holdings 265 Turnover Rate 10% Net Asset Value $11.17 Market Price $9.61 Net Leverage1 0.4% Average Market Capitalization2 $1,864 million Weighted Average P/E Ratio3,4 22.9x Weighted Average P/B Ratio3 2.8x Active Share5 97%
1

Net leverage is the percentage, in excess of 100%, of the total value of equity type investments, divided by net assets.

Geometric Average. This weighted calculation uses each portfolio holding’s market cap in a way designed to not skew the effect of very large or small holdings; instead, it aims to better identify the portfolio’s center, which Royce believes offers a more accurate measure of average market cap than a simple mean or median.

Harmonic Average. This weighted calculation evaluates a portfolio as if it were a single stock and measures it overall. It compares the total market value of the portfolio to the portfolio’s share in the earnings or book value, as the case may be, of its underlying stocks.

The Fund’s P/E ratio calculation excludes companies with zero or negative earnings (8% of portfolio holdings as of 6/30/17).

Active Share is the sum of the absolute values of the different weightings of each holding in the Fund versus each holding in the benchmark, divided by two.

Important Performance and Risk Information

All performance information reflects past performance, is presented on a total return basis, net of the Fund’s investment advisory fee, and reflects the reinvestment of distributions. Past performance is no guarantee of future results. Current performance may be higher or lower than performance quoted. Returns as of the most recent month-end may be obtained at www.roycefunds.com. The market price of the Fund’s shares will fluctuate, so that shares may be worth more or less than their original cost when sold. The Fund invests primarily in securities of small- and mid-cap companies, which may involve considerably more risk than investments in securities of larger-cap companies. The Fund’s broadly diversified portfolio does not ensure a profit or guarantee against loss. From time to time, the Fund may invest a significant portion of its net assets in foreign securities, which may involve political, economic, currency and other risks not encountered in U.S. investments. Regarding the “Top Contributors” and “Top Detractors” tables shown above, the sum of all contributors to, and all detractors from, performance for all securities in the portfolio would approximate the Fund’s year-to-date performance for 2017.

2017 Semiannual Report to Stockholders | 9

Royce Global Value Trust

Schedule of Investments Common Stocks – 100.3% SHARES VALUE AUSTRALIA – 2.6%

ALS

125,000 $ 715,759

Austal

87,400 122,931

†Berkeley Energia 1

56,800 30,560

Cochlear

5,500 657,134

†Hansen Technologies

100,000 310,514

IPH

190,000 700,963

†Mantra Group

96,700 226,687

NetComm Wireless 1

26,700 35,297

Programmed Maintenance Services

60,500 86,723

Seeing Machines 1

1,084,800 54,750

†Tassal Group

29,400 86,094 Total (Cost $2,638,669) 3,027,412 AUSTRIA – 0.9%

Mayr-Melnhof Karton

7,900 1,033,131 Total (Cost $913,613) 1,033,131 BELGIUM – 0.1%

†Greenyard

6,600 156,342 Total (Cost $124,361) 156,342 BERMUDA – 1.3%

Lazard Cl. A

32,600 1,510,358 Total (Cost $1,010,334) 1,510,358 BRAZIL – 1.8%

†BM&FBOVESPA

32,847 195,819

†Brasil Brokers Participacoes 1

274,931 73,047

Minerva

52,500 195,078

OdontoPrev

200,000 703,311

T4F Entretenimento

44,000 81,681

TOTVS

88,000 801,135 Total (Cost $2,278,574) 2,050,071 CANADA – 8.6%

Agnico Eagle Mines 2

5,000 225,600

AGT Food and Ingredients

6,000 107,711

Altus Group

9,900 213,986

Cameco Corporation 2

24,500 222,950

Canaccord Genuity Group

92,000 378,131

Computer Modelling Group

108,000 847,810

Dundee Corporation Cl. A 1

80,000 175,817

E-L Financial

1,200 781,925

Exco Technologies

23,500 193,538

FirstService Corporation

10,300 658,994

Franco-Nevada Corporation 2

10,200 736,032

Genworth MI Canada

13,000 357,681

Gluskin Sheff + Associates

23,000 297,077

Magellan Aerospace

18,800 293,424

Major Drilling Group International 1

160,500 1,050,775

Morneau Shepell

35,000 562,461

Pan American Silver 2,3

31,800 534,876

Sandstorm Gold 1

25,300 97,911

Solium Capital 1

72,400 547,690

Sprott

520,600 915,305

Western Forest Products

123,100 222,127

Winpak

13,500 606,084 Total (Cost $10,882,436) 10,027,905 CHINA – 0.9%

China Communications Services

118,400 68,243

TravelSky Technology

250,000 736,476

†Xingda International Holdings

321,000 129,922

Xtep International Holdings

191,600 73,867 Total (Cost $627,507) 1,008,508 CYPRUS – 0.3%

Globaltrans Investment GDR

42,000 319,200 Total (Cost $212,014) 319,200 DENMARK – 1.9%

Chr. Hansen Holding

9,000 654,573

Coloplast Cl. B

7,000 584,915

SimCorp

7,500 454,353

Zealand Pharma 1

24,000 481,080 Total (Cost $1,550,713) 2,174,921 FRANCE – 4.4%

Bigben Interactive 1

10,000 110,332

HighCo

16,200 115,643

Interparfums

16,500 624,350

Manutan International

900 88,927

Neurones

22,250 684,113

Rothschild & Co

33,000 1,204,602

Thermador Groupe

9,500 1,011,259

Vetoquinol

10,000 583,867

Virbac 1

4,500 722,124 Total (Cost $3,880,469) 5,145,217 GEORGIA – 0.1%

BGEO Group 2,200 100,117 Total (Cost $63,649) 100,117 GERMANY – 4.3%

Bertrandt

2,000 200,470

CANCOM

3,700 224,948

Carl Zeiss Meditec

17,500 908,237

CompuGroup Medical

12,500 701,423

Fielmann

8,000 617,126

HolidayCheck Group 1

25,100 87,982

KWS Saat

1,800 708,144

MorphoSys 1

6,000 425,565

mutares

5,000 77,552

STRATEC Biomedical

15,000 983,391

VIB Vermoegen

3,600 85,031 Total (Cost $3,732,480) 5,019,869 GREECE – 0.2%

Aegean Marine Petroleum Network 2

2,500 14,625

Hellenic Exchanges - Athens Stock Exchange

28,000 181,648 Total (Cost $160,960) 196,273 HONG KONG – 1.9%

Anxin-China Holdings 1,4

2,500,000 0

China Metal International Holdings

430,000 160,270

First Pacific

180,000 132,796

HKBN

105,900 106,206

I.T

365,800 180,383

Oriental Watch Holdings

465,900 101,445

Pico Far East Holdings

418,200 175,155
10 | 2017 Semiannual Report to Stockholders THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS

June 30, 2017 (unaudited)

Schedule of Investments (continued)
SHARES VALUE HONG KONG (continued)

Television Broadcasts

54,000 $ 203,344

Value Partners Group

1,275,000 1,161,103 Total (Cost $2,495,560) 2,220,702 INDIA – 2.1%

Bajaj Finance

53,500 1,136,878

IIFL Holdings

5,500 51,522

Kewal Kiran Clothing

6,500 172,562

Manappuram Finance

55,100 83,199

SH Kelkar & Company 1

85,000 345,918

†Vakrangee

95,000 632,059 Total (Cost $1,546,947) 2,422,138 INDONESIA – 0.6%

Selamat Sempurna

8,000,000 723,316 Total (Cost $716,411) 723,316 IRELAND – 0.6%

Ardmore Shipping 2,3

12,300 100,245

Irish Continental Group

26,700 154,917

Irish Residential Properties REIT

57,281 88,976

Keywords Studios

37,500 364,604 Total (Cost $417,749) 708,742 ISRAEL – 0.4%

†Frutarom Industries

5,000 349,879

Nova Measuring Instruments 1,2

3,600 79,524

Sarine Technologies

25,700 28,747 Total (Cost $407,197) 458,150 ITALY – 0.9%

†Banca Farmafactoring 1

22,000 125,636

DiaSorin

10,000 768,096

†Openjobmetis 1

9,800 117,751 Total (Cost $668,671) 1,011,483 JAPAN – 9.9%

Ai Holdings

30,000 806,846

†Ateam

5,500 145,721

C. Uyemura & Co.

1,300 66,806

GCA

11,000 97,995

G-Tekt

3,100 57,659

Horiba

10,000 607,246

†IDOM

29,600 203,956

Inabata & Co.

6,500 86,050

†Investors Cloud

2,600 126,677

Itochu Techno-Solutions

3,000 104,823

Kenedix

16,900 79,636

Kenko Mayonnaise

3,300 95,061

Kintetsu World Express

4,000 70,487

Leopalace21

10,600 65,782

Mandom Corporation

1,600 86,633

Maruwa Unyu Kikan

950 35,432

Meitec Corporation

26,300 1,118,875

Miraca Holdings

1,400 62,858

MISUMI Group

43,800 999,251

Nabtesco

2,400 69,669

Nifco

1,300 69,696

Nihon Kohden

35,000 807,202

NS Solutions

4,900 116,319

Open House

2,900 89,211

Outsourcing

2,200 107,188

Pressance

3,700 48,752

Relo Group

57,500 1,118,049

Ryobi

16,100 65,416

Santen Pharmaceutical

80,000 1,083,974

Shimano

3,500 553,279

SPARX Group

55,100 105,816

Sugi Holdings

12,500 669,038

Sun Frontier Fudousan

7,300 73,211

Tokai Corporation

1,800 71,216

†Tokuyama Corporation 1

19,800 95,237

USS

62,500 1,240,831

†Yumeshin Holdings

13,500 89,660

†Zenkoku Hosho

4,000 163,414 Total (Cost $8,584,143) 11,554,972 MEXICO – 0.8%

†Becle SAB de CV 1

200,000 341,070

Bolsa Mexicana de Valores

250,000 439,149

Rassini 1

23,400 115,396 Total (Cost $897,653) 895,615 NETHERLANDS – 0.1%

†AMG Advanced Metallurgical Group

2,400 70,105

Constellium Cl. A 1

8,900 61,410 Total (Cost $104,166) 131,515 NEW ZEALAND – 0.8%

Fisher & Paykel Healthcare

100,891 846,532

New Zealand Refining

43,100 77,064 Total (Cost $643,361) 923,596 NORWAY – 1.2%

Nordic Semiconductor 1

28,300 112,539

NRC Group

10,900 73,113

†Protector Forsikring

10,500 88,037 TGS-NOPEC Geophysical 55,000 1,127,175 Total (Cost $1,350,045) 1,400,864 PHILIPPINES – 0.2%

Integrated Micro-Electronics

756,900 199,500

Universal Robina

22,500 72,637 Total (Cost $155,675) 272,137 POLAND – 0.4%

Warsaw Stock Exchange

33,000 434,758 Total (Cost $459,764) 434,758 SINGAPORE – 0.8%

CSE Global

320,300 100,039

†Duty Free International

563,080 101,372

XP Power

25,000 790,912 Total (Cost $781,924) 992,323 SOUTH AFRICA – 0.5%

Adcock Ingram Holdings

24,100 108,871

Coronation Fund Managers

59,000 293,997

JSE

15,000 140,466

Raubex Group

46,100 84,677 Total (Cost $715,434) 628,011
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS 2017 Semiannual Report to Stockholders | 11

Royce Global Value Trust

Schedule of Investments (continued)
SHARES VALUE SOUTH KOREA – 0.5%

Koh Young Technology

3,200 $ 167,810

KT Skylife

11,600 165,765

Modetour Network

7,494 207,303 Total (Cost $398,205) 540,878 SPAIN – 0.1%

Atento 1,2

16,400 182,860 Total (Cost $181,133) 182,860 SWEDEN – 2.2%

Addtech Cl. B

53,960 1,027,999

†Boozt 1

10,000 98,520

Bravida Holding

100,000 730,590

Byggmax Group

21,400 155,584

Dustin Group

19,500 162,023

Hoist Finance

8,000 81,902

Knowit

6,200 95,487

Proact IT Group

7,600 184,481 Total (Cost $1,981,794) 2,536,586 SWITZERLAND – 4.0%

Burckhardt Compression Holding

2,500 716,967

dormakaba Holding

800 694,963

LEM Holding

600 775,889

Partners Group Holding

1,600 991,970

VZ Holding

4,600 1,476,327 Total (Cost $3,291,021) 4,656,116 TAIWAN – 1.0%

Egis Technology 1

9,600 65,641

Flytech Technology

32,780 106,896

†Formosa Laboratories

58,100 166,737

Gourmet Master

11,330 122,164

Posiflex Technology

17,404 94,401

†Sinmag Equipment

15,000 87,771

Sitronix Technology

40,400 124,573

Sporton International

26,997 136,671

Taiwan Paiho

42,500 159,969

TCI

21,700 138,033 Total (Cost $1,114,367) 1,202,856 THAILAND – 0.1%

†Krungthai Card

30,800 108,802 Total (Cost $117,472) 108,802 TURKEY – 0.1%

Tat Gida Sanayi

74,700 151,377 Total (Cost $148,678) 151,377 UNITED KINGDOM – 11.6%

Abcam

30,000 380,380

Ashmore Group

279,000 1,283,470

AVEVA Group

18,500 467,449

Avon Rubber

8,700 115,579

Character Group

11,400 71,641

Clarkson

38,100 1,253,485

Computacenter

14,800 156,331

Connect Group

68,500 100,593

Consort Medical

64,800 881,967

Conviviality

51,600 206,996

Diploma

30,000 431,762

dotdigital group

150,200 132,049

Elementis

175,000 670,338

Epwin Group

47,500 68,053

Equiniti Group

200,000 650,574

Ferroglobe

41,100 491,145

Ferroglobe (Warranty Insurance Trust) 1,4

41,100 0

Fidessa Group

10,000 301,778

Finsbury Food Group

66,400 100,320

Hilton Food Group

19,200 184,552

Inspired Energy

143,000 32,594

ITE Group

350,000 702,020

Jupiter Fund Management

36,000 236,785

†Just Eat 1

3,000 25,593

Norcros

57,560 136,444

Pendragon

278,600 112,487

Polypipe Group

60,000 298,756

Rank Group

40,000 123,577

Real Estate Investors

90,000 70,918

Rotork

175,000 536,544

Spirax-Sarco Engineering

18,000 1,254,259

Stallergenes Greer 1

10,800 465,408

Victrex

40,000 977,358

Xaar

115,000 566,175 Total (Cost $13,467,956) 13,487,380 UNITED STATES – 31.8%

Air Lease Cl. A

30,700 1,146,952

Brooks Automation 2,3

18,100 392,589

Century Casinos 1

21,400 157,718

CIRCOR International

18,100 1,074,778

Cognex Corporation

17,100 1,451,790

Coherent 1

5,000 1,124,950

Commercial Metals

42,000 816,060

Copart 1

37,200 1,182,588

Diebold Nixdorf 2,3

28,800 806,400

Diodes 1

20,500 492,615

DST Systems

11,600 715,720

EnerSys 2

11,000 796,950

Expeditors International of Washington 2

13,300 751,184

FLIR Systems 2,3

14,100 488,706

Greif Cl. A 2

8,700 485,286

Innospec 2,3

12,457 816,557

Kadant

7,800 586,560

KBR 2

73,400 1,117,148

Kirby Corporation 1,2,3

32,900 2,199,365

Lindsay Corporation

13,700 1,222,725

Littelfuse

5,000 825,000

ManpowerGroup

11,000 1,228,150

MBIA 1

80,300 757,229

Nanometrics 1,2,3

44,500 1,125,405

National Instruments 2,3

19,000 764,180

†New York REIT 1

50,000 432,000

Oaktree Capital Group LLC Cl. A

10,400 484,640

Popular

13,100 546,401

Quaker Chemical 2

8,400 1,219,932

Raven Industries

50,000 1,665,000
12 | 2017 Semiannual Report to Stockholders THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS

June 30, 2017 (unaudited)

Schedule of Investments (continued)
SHARES VALUE UNITED STATES (continued)

Rogers Corporation 1,2

6,000 $ 651,720

Schnitzer Steel Industries Cl. A 2

19,100 481,320

SEACOR Holdings 1

20,200 692,860

†SEACOR Marine Holdings 1

20,309 413,491

SEI Investments 2

40,600 2,183,468

Sensient Technologies 2,3

9,500 765,035

Signet Jewelers

5,500 347,820

Standard Motor Products

11,200 584,864

Sun Hydraulics 2

15,139 645,981

Tennant Company 2,3

11,600 856,080

Valmont Industries

4,500 673,200

Virtu Financial Cl. A

74,300 1,311,395

World Fuel Services

12,000 461,400 Total (Cost $29,763,578) 36,943,212 URUGUAY – 0.3%

†Arcos Dorados Holdings Cl. A 1

46,800 348,660 Total (Cost $351,426) 348,660 TOTAL COMMON STOCKS (Cost $98,836,109) 116,706,373 REPURCHASE AGREEMENT – 6.6% Fixed Income Clearing Corporation, 0.12% dated 6/30/17, due 7/3/17, maturity value
$7,657,077 (collateralized by obligations of various U.S. Government Agencies, 2.375%
due 8/15/24, valued at $7,812,982) (Cost $7,657,000) 7,657,000 TOTAL INVESTMENTS – 106.9% (Cost $106,493,109) 124,363,373 LIABILITIES LESS CASH AND OTHER ASSETS – (6.9)% (8,048,860 ) NET ASSETS – 100.0% $ 116,314,513
† New additions in 2017. 1 Non-income producing. 2

All or a portion of these securities were pledged as collateral in connection with the Fund’s revolving credit agreement at June 30, 2017. Total market value of pledged securities at June 30, 2017, was $13,389,556.

At June 30, 2017, a portion of these securities were rehypothecated in connection with the Fund’s revolving credit agreement in the aggregate amount of $6,211,095.

Securities for which market quotations are not readily available represent 0.0% of net assets. These securities have been valued at their fair value under procedures approved by the Fund’s Board of Directors. These securities are defined as Level 3 securities due to the use of significant unobservable inputs in the determination of fair value. See Notes to Financial Statements.

Securities of Global/International Funds are categorized by the country of their headquarters, with the exception of exchange-traded funds.

Bold indicates the Fund’s 20 largest equity holdings in terms of June 30, 2017, market value.

TAX INFORMATION: The cost of total investments for Federal income tax purposes was $106,553,829. At June 30, 2017, net unrealized appreciation for all securities was $17,809,544, consisting of aggregate gross unrealized appreciation of $23,819,812 and aggregate gross unrealized depreciation of $6,010,268. The primary cause of the difference between book and tax basis cost is the timing of the recognition of losses on securities sold.

THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS 2017 Semiannual Report to Stockholders | 13

Royce Global Value Trust June 30, 2017 (unaudited)
Statement of Assets and Liabilities
ASSETS: Investments at value $ 116,706,373 Repurchase agreements (at cost and value) 7,657,000 Cash and foreign currency 15,447 Receivable for investments sold 9,942 Receivable for dividends and interest 218,254 Prepaid expenses and other assets 15,833 Total Assets 124,622,849 LIABILITIES: Revolving credit agreement 8,000,000 Payable for investment advisory fee 118,929 Payable for directors’ fees 8,073 Payable for interest expense 999 Accrued expenses 40,297 Deferred capital gains tax 140,038 Total Liabilities 8,308,336 Net Assets $ 116,314,513 ANALYSIS OF NET ASSETS: Paid-in capital - $0.001 par value per share; 10,415,422 shares outstanding (150,000,000 shares authorized) $ 117,477,118 Undistributed net investment income (loss) (428,119 ) Accumulated net realized gain (loss) on investments and foreign currency (18,464,782 ) Net unrealized appreciation (depreciation) on investments and foreign currency 17,730,296 Net Assets (net asset value per share - $11.17) $ 116,314,513 Investments at identified cost $ 98,836,109
14 | 2017 Semiannual Report to Stockholders THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS

Royce Global Value Trust

Statement of Changes in Net Assets
SIX MONTHS ENDED 6/30/17 (UNAUDITED) YEAR ENDED 12/31/16 INVESTMENT OPERATIONS: Net investment income (loss) $ 244,621 $ 651,129 Net realized gain (loss) on investments and foreign currency 1,680,916 (1,449,508 ) Net change in unrealized appreciation (depreciation) on investments and foreign currency 14,161,189 10,740,946 Net increase (decrease) in net assets from investment operations 16,086,726 9,942,567 DISTRIBUTIONS: Net investment income – (1,435,789 ) Net realized gain on investments and foreign currency – – Return of capital – (12,497 ) Total distributions – (1,448,286 ) CAPITAL STOCK TRANSACTIONS: Reinvestment of distributions – 559,946 Total capital stock transactions – 559,946 Net Increase (Decrease) In Net Assets 16,086,726 9,054,227 NET ASSETS: Beginning of period 100,227,787 91,173,560 End of period (including undistributed net investment income (loss) of $(428,119) at 6/30/17 and $(672,740) at 12/31/16) $ 116,314,513 $ 100,227,787
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS 2017 Semiannual Report to Stockholders | 15

Royce Global Value Trust Six Months Ended June 30, 2017 (unaudited)
Statement of Operations
INVESTMENT INCOME: INCOME: Dividends $ 1,212,111 Foreign withholding tax (66,605 ) Interest 2,293 Rehypothecation income 1,149 Total income 1,148,948 EXPENSES: Investment advisory fees 674,539 Interest expense 83,884 Custody and transfer agent fees 43,199 Stockholder reports 35,642 Professional fees 30,548 Directors’ fees 13,433 Administrative and office facilities 12,904 Other expenses 10,230 Total expenses 904,379 Compensating balance credits (52 ) Net expenses 904,327 Net investment income (loss) 244,621 REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS AND FOREIGN CURRENCY: NET REALIZED GAIN (LOSS): Investments 1,677,715 Foreign currency transactions 3,201 NET CHANGE IN UNREALIZED APPRECIATION (DEPRECIATION): Investments and foreign currency translations 14,222,856 Other assets and liabilities denominated in foreign currency (61,667 ) Net realized and unrealized gain (loss) on investments and foreign currency 15,842,105 NET INCREASE (DECREASE) IN NET ASSETS FROM INVESTMENT OPERATIONS $ 16,086,726
16 | 2017 Semiannual Report to Stockholders THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS

Royce Global Value Trust Six Months Ended June 30, 2017 (unaudited)
Statement of Cash Flows
CASH FLOWS FROM OPERATING ACTIVITIES: Net increase (decrease) in net assets from investment operations $ 16,086,726 Adjustments to reconcile net increase (decrease) in net assets from investment operations to net cash used for operating activities:

Purchases of long-term investments

(12,260,513 )

Proceeds from sales and maturities of long-term investments

12,720,762

Net purchases, sales and maturities of short-term investments

(867,000 )

Net (increase) decrease in dividends and interest receivable and other assets

(17,895 )

Net increase (decrease) in interest expense payable, accrued expenses and other liabilities

57,981

Net change in unrealized appreciation (depreciation) on investments

(14,222,856 )

Net realized gain (loss) on investments and foreign currency

(1,680,916 ) Net cash used for operating activities (183,711 ) CASH FLOWS FROM FINANCING ACTIVITIES: Net increase (decrease) in revolving credit agreement – Distributions – Reinvestment of distributions – Net cash used for financing activities – INCREASE (DECREASE) IN CASH: (183,711 ) Cash and foreign currency at beginning of period 199,158 Cash and foreign currency at end of period $ 15,447
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS 2017 Semiannual Report to Stockholders | 17

Royce Global Value Trust

Financial Highlights This table is presented to show selected data for a share outstanding throughout each period, and to assist stockholders in evaluating the Fund’s performance for the periods presented.
SIX MONTHS
ENDED 6/30/2017(UNAUDITED) YEARS ENDED PERIOD ENDED 12/31/16 12/31/15 12/31/14 12/31/131 Net Asset Value, Beginning of Period $ 9.62 $ 8.81 $ 9.25 $ 10.05 $ 9.78 INVESTMENT OPERATIONS: Net investment income (loss) 0.02 0.06 0.10 0.13 (0.00 ) Net realized and unrealized gain (loss) on investments and foreign currency 1.53 0.90 (0.43 ) (0.77 ) 0.27 Net increase (decrease) in net assets from investment operations 1.55 0.96 (0.33 ) (0.64 ) 0.27 DISTRIBUTIONS: Net investment income – (0.14 ) (0.10 ) (0.15 ) – Net realized gain on investments and foreign currency – – – – – Total distributions – (0.14 ) (0.10 ) (0.15 ) – CAPITAL STOCK TRANSACTIONS: Effect of reinvestment of distributions by Common Stockholders – (0.01 ) (0.01 ) (0.01 ) – Total capital stock transactions – (0.01 ) (0.01 ) (0.01 ) – Net Asset Value, End of Period $ 11.17 $ 9.62 $ 8.81 $ 9.25 $ 10.05 Market Value, End of Period $ 9.61 $ 8.04 $ 7.45 $ 8.04 $ 8.89 TOTAL RETURN:2 Net Asset Value 16.11 %3 11.12 % (3.44 )% (6.23 )% 2.76 %3 Market Value 19.58 %3 9.77 % (6.06 )% (7.86 )% (0.95 )%3 RATIOS BASED ON AVERAGE NET ASSETS: Investment advisory fee expense 1.25 %4 1.25 % 1.25 % 1.25 % 1.25 %4 Other operating expenses 0.43 %4 0.46 % 0.43 % 0.24 % 0.37 %4 Total expenses (net) 1.68 %4 1.71 % 1.68 % 1.49 % 1.62 %4 Expenses excluding interest expense 1.52 %4 1.57 % 1.58 % 1.49 % 1.62 %4 Expenses prior to balance credits 1.68 %4 1.71 % 1.68 % 1.49 % 1.62 %4 Net investment income (loss) 0.45 %4 0.69 % 1.03 % 1.30 % (0.13 )%4 SUPPLEMENTAL DATA: Net Assets End of Period (in thousands) $ 116,315 $ 100,228 $ 91,174 $ 95,285 $ 102,684 Portfolio Turnover Rate 10 % 59 % 65 % 43 % 7 % REVOLVING CREDIT AGREEMENT: Asset coverage 1554 % 1353 % 1240 % Asset coverage per $1,000 15,539 13,528 12,397
1 The Fund commenced operations on October 18, 2013. 2 The Market Value Total Return is calculated assuming a purchase of Common Stock on the opening of the first business day and a sale on the closing of the last business day of each period. Dividends and distributions are assumed for the purposes of this calculation to be reinvested at prices obtained under the Fund’s Distribution Reinvestment and Cash Purchase Plan. Net Asset Value Total Return is calculated on the same basis, except that the Fund’s net asset value is used on the purchase and sale dates instead of market value. 3 Not annualized 4 Annualized
18 | 2017 Semiannual Report to Stockholders THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS

Royce Global Value Trust

Notes to Financial Statements (unaudited)

Summary of Significant Accounting Policies

Royce Global Value Trust, Inc. (the “Fund”), is a diversified closed-end investment company that was incorporated under the laws of the State of Maryland on February 14, 2011. The Fund commenced operations on October 18, 2013.

The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of income and expenses during the reporting period. Actual results could differ from those estimates.

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

VALUATION OF INVESTMENTS:

Securities are valued as of the close of trading on the New York Stock Exchange (NYSE) (generally 4:00 p.m. Eastern time) on the valuation date. Securities that trade on an exchange, and securities traded on Nasdaq’s Electronic Bulletin Board, are valued at their last reported sales price or Nasdaq official closing price taken from the primary market in which each security trades or, if no sale is reported for such day, at their highest bid price. Other over-the-counter securities for which market quotations are readily available are valued at their highest bid price, except in the case of some bonds and other fixed income securities which may be valued by reference to other securities with comparable ratings, interest rates and maturities, using established independent pricing services. The Fund values its non-U.S. dollar denominated securities in U.S. dollars daily at the prevailing foreign currency exchange rates as quoted by a major bank. Securities for which market quotations are not readily available are valued at their fair value in accordance with the provisions of the 1940 Act, under procedures approved by the Fund's Board of Directors, and are reported as Level 3 securities. As a general principle, the fair value of a security is the amount which the Fund might reasonably expect to receive for the security upon its current sale. However, in light of the judgment involved in fair valuations, there can be no assurance that a fair value assigned to a particular security will be the amount which the Fund might be able to receive upon its current sale. In addition, if, between the time trading ends on a particular security and the close of the customary trading session on the NYSE, events occur that are significant and may make the closing price unreliable, the Fund may fair value the security. The Fund uses an independent pricing service to provide fair value estimates for relevant non-U.S. equity securities on days when the U.S. market volatility exceeds a certain threshold. This pricing service uses proprietary correlations it has developed between the movement of prices of non-U.S. equity securities and indices of U.S.-traded securities, futures contracts and other indications to estimate the fair value of relevant non-U.S. securities. When fair value pricing is employed, the prices of securities used by the Fund may differ from quoted or published prices for the same security. Investments in money market funds are valued at net asset value per share.

Various inputs are used in determining the value of the Fund’s investments, as noted above. These inputs are summarized in the three broad levels below:

Level 1 –

quoted prices in active markets for identical securities.

Level 2 –

other significant observable inputs (including quoted prices for similar securities, foreign securities that may be fair valued and repurchase agreements). The table below includes all Level 2 securities. Any Level 2 securities with values based on quoted prices for similar securities would be noted in the Schedule of Investments.

Level 3 –

significant unobservable inputs (including last trade price before trading was suspended, or at a discount thereto for lack of marketability or otherwise, market price information regarding other securities, information received from the company and/or published documents, including SEC filings and financial statements, or other publicly available information).

The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.

The following is a summary of the inputs used to value the Fund’s investments as of June 30, 2017. For a detailed breakout of common stocks by country, please refer to the Schedule of Investments.

LEVEL 1 LEVEL 2 LEVEL 3 TOTAL Common Stocks $116,706,373 $ – $0 $116,706,373 Cash Equivalents – 7,657,000 – 7,657,000

Certain securities have transferred in and out of Level 1 and Level 2 measurements during the reporting period. The Fund recognizes transfers between levels as of the end of the reporting period. For the six months ended June 30, 2017, securities valued at $61,425,779 were transferred from Level 2 to Level 1 within the fair value hierarchy.

2017 Semiannual Report to Stockholders | 19

Royce Global Value Trust

Notes to Financial Statements (unaudited) (continued)

VALUATION OF INVESTMENTS (continued):

Level 3 Reconciliation: BALANCE AS OF 12/31/16 REALIZED AND UNREALIZED
GAIN (LOSS)1 BALANCE AS OF 6/30/17 Common Stocks $9,349 $(9,349) $0 1

The net change in unrealized appreciation (depreciation) is included in the accompanying Statement of Operations. Change in unrealized appreciation (depreciation) includes net unrealized appreciation (depreciation) resulting from changes in investment values during the reporting period and the reversal of previously recorded unrealized appreciation (depreciation) when gains or losses are realized. Net realized gain (loss) from investments and foreign currency transactions is included in the accompanying Statement of Operations.

REPURCHASE AGREEMENTS:

The Fund may enter into repurchase agreements with institutions that the Fund’s investment adviser has determined are creditworthy. The Fund restricts repurchase agreements to maturities of no more than seven days. Securities pledged as collateral for repurchase agreements, which are held until maturity of the repurchase agreements, are marked-to-market daily and maintained at a value at least equal to the principal amount of the repurchase agreement (including accrued interest). Repurchase agreements could involve certain risks in the event of default or insolvency of the counter-party, including possible delays or restrictions upon the ability of the Fund to dispose of its underlying securities. The remaining contractual maturity of the repurchase agreement held by the Fund at June 30, 2017 is overnight and continuous.

FOREIGN CURRENCY:

Net realized foreign exchange gains or losses arise from sales and maturities of short-term securities, sales of foreign currencies, expiration of currency forward contracts, currency gains or losses realized between the trade and settlement dates on securities transactions, and the difference between the amounts of dividends, interest, and foreign withholding taxes recorded on the Fund's books and the U.S. dollar equivalent of the amounts actually received or paid. Net unrealized foreign exchange gains and losses arise from changes in the value of assets and liabilities, including investments in securities at the end of the reporting period, as a result of changes in foreign currency exchange rates.

DISTRIBUTIONS AND TAXES:

As a qualified regulated investment company under Subchapter M of the Internal Revenue Code, the Fund is not subject to income taxes to the extent that it distributes substantially all of its taxable income for its fiscal year. The Schedule of Investments includes information regarding income taxes under the caption “Tax Information”.

The Fund pays any dividends and capital gain distributions annually in December. Because federal income tax regulations differ from generally accepted accounting principles, income and capital gain distributions determined in accordance with tax regulations may differ from net investment income and realized gains recognized for financial reporting purposes. Accordingly, the character of distributions and composition of net assets for tax purposes differ from those reflected in the accompanying financial statements.

CAPITAL GAINS TAXES:

The Fund is subject to a tax imposed on short-term capital gains on securities of issuers domiciled in certain countries. The Fund records an estimated deferred tax liability for these securities that have been held for less than one year. This amount, if any, is reported as deferred capital gains tax in the accompanying Statement of Assets and Liabilities, assuming those positions were disposed of at the end of the period, and accounted for as a reduction in the market value of the security.

INVESTMENT TRANSACTIONS AND RELATED INVESTMENT INCOME:

Investment transactions are accounted for on the trade date. Dividend income is recorded on the ex-dividend date. Non-cash dividend income is recorded at the fair market value of the securities received. Interest income is recorded on an accrual basis. Premiums and discounts on debt securities are amortized using the effective yield-to-maturity method. Realized gains and losses from investment transactions are determined on the basis of identified cost for book and tax purposes.

EXPENSES:

20 | 2017 Semiannual Report to Stockholders

Royce Global Value Trust

Notes to Financial Statements (unaudited) (continued)

COMPENSATING BALANCE CREDITS:

The Fund has an arrangement with its custodian bank, whereby a portion of the custodian’s fee is paid indirectly by credits earned on the Fund’s cash on deposit with the bank. This deposit arrangement is an alternative to purchasing overnight investments. Conversely, the Fund pays interest to the custodian on any cash overdrafts, to the extent they are not offset by credits earned on positive cash balances.

Capital Stock:

The Fund issued 70,522 shares of Common Stock as reinvestment of distributions for the year ended December 31, 2016.

Borrowings:

The Fund is party to a revolving credit agreement (the credit agreement) with BNP Paribas Prime Brokerage International, Limited (BNPPI). The Fund pays a commitment fee of 0.50% per annum on the unused portion of the credit agreement. The credit agreement has a 360-day rolling term that resets daily; however, if the Fund exceeds certain net asset value triggers, the credit agreement may convert to a 60-day rolling term that resets daily. The Fund is required to pledge portfolio securities as collateral in an amount up to two times the loan balance outstanding or as otherwise required by applicable regulatory standards and has granted a security interest in the securities pledged to, and in favor of, BNPPI as security for the loan balance outstanding. If the Fund fails to meet certain requirements, or maintain other financial covenants required under the credit agreement, the Fund may be required to repay immediately, in part or in full, the loan balance outstanding under the credit agreement which may necessitate the sale of portfolio securities at potentially inopportune times. BNPPI may terminate the credit agreement upon certain ratings downgrades of its corporate parent, which would result in the Fund’s entire loan balance becoming immediately due and payable. The occurrence of such ratings downgrades may necessitate the sale of portfolio securities at potentially inopportune times. The credit agreement also permits, subject to certain conditions, BNPPI to rehypothecate portfolio securities pledged by the Fund up to the amount of the loan balance outstanding. The Fund continues to receive payments in lieu of dividends and interest on rehypothecated securities. The Fund also has the right under the credit agreement to recall the rehypothecated securities from BNPPI on demand. If BNPPI fails to deliver the recalled security in a timely manner, the Fund is compensated by BNPPI for any fees or losses related to the failed delivery or, in the event a recalled security is not returned by BNPPI, the Fund, upon notice to BNPPI, may reduce the loan balance outstanding by the value of the recalled security failed to be returned. The Fund receives a portion of the fees earned by BNPPI in connection with the rehypothecation of portfolio securities.

As of June 30, 2017, the Fund has outstanding borrowings of $8,000,000. During the six months ended June 30, 2017, the Fund borrowed an average daily balance of $8,000,000 at a weighted average borrowing cost of 2.09%. The maximum amount outstanding during the six months ended June 30, 2017 was $8,000,000. As of June 30, 2017, the aggregate value of rehypothecated securities was $6,211,095. During the six months ended June 30, 2017, the Fund earned $1,149 in fees from rehypothecated securities.

Investment Advisory Agreement:

The investment advisory agreement between Royce and the Fund provides for fees to be paid at an annual rate of 1.25% of the Fund’s average daily net assets. For the six months ended June 30, 2017, the Fund expensed Royce investment advisory fees totaling $674,539.

Purchases and Sales of Investment Securities:

For the six months ended June 30, 2017, the costs of purchases and proceeds from sales of investment securities, other than short-term securities, amounted to $11,134,896 and $11,226,117, respectively.

2017 Semiannual Report to Stockholders | 21

MANAGER’S DISCUSSION Royce Micro-Cap Trust (RMT)

Chuck Royce
FUND PERFORMANCE Royce Micro-Cap Trust (“RMT”) gained a more-than-respectable 5.9% on a net asset value (“NAV”) basis and an impressive 10.1% on a market price basis for the year-to-date period ended June 30, 2017, outpacing each of its unleveraged benchmarks: the small-cap Russell 2000 Index was up 5.0% while the Russell Microcap Index increased 4.2% for the same period. The Fund’s results were all the more notable in that they were achieved in a period that showed more favor to larger market caps, high growth, and low quality than was given to the kind of micro-cap companies we seek using RMT’s diversified, multi-theme core approach. In fact, leadership in the first half of 2017 reversed most of what worked in 2016, when the Fund also beat both its benchmarks. In a challenging first quarter for both value stocks and micro-caps, RMT gained 2.4% on an NAV basis and 4.8% based on market price while the Russell 2000 was up 2.5% and the Russell Microcap gained 0.4%. The first quarter’s leadership shifts remained largely in place through the end of June—with large-caps, growth, healthcare, and non-U.S. equities all staying in the lead after lagging in 2016. For the second quarter, the Fund advanced 3.5% on an NAV basis and 5.0% on a market price basis compared to 2.5% for the small-cap index and 3.8% for the micro-cap index. On an NAV basis, RMT outpaced the Russell Microcap for the 10- and 15-year periods ended June 30, 2017 while it also beat the Russell 2000 for the 15-, 20-year, and since inception (12/14/93) periods. (Returns for the Russell Microcap Index only go back to 2000.) RMT’s average annual NAV total return for the since inception period ended June 30, 2017 was 10.8%. WHAT WORKED... AND WHAT DIDN’T Eight of the Fund’s 11 equity sectors made positive contributions to first-half performance, led by Information Technology, Industrials, and Health Care. (After correcting in 2016, Health Care rallied in the first half to land as the top-contributing sector in both the small- and micro-cap indexes.) While several of the portfolio’s industry groups made solid contributions to performance in the semiannual period, the positive impacts of machinery (Industrials) and biotechnology (Health Care) stood out most. Also notable was the fact that the Information Technology sector had five groups among the Fund’s 10-best performers at the industry level. RMT’s top contributor at the position level in the first half was Sangamo Therapeutics, which develops genomic therapies and medications that treat genetic diseases. Its share price surged in May when a collaboration with Pfizer to work on gene therapies for hemophilia was announced. From the Information Technology sector, Care.com offers home care services for children, adults, seniors, and even pets. Two consecutive quarters of revenue growth made investors feel at home, as did the company’s announcement of increased guidance for the rest of fiscal 2017. Shares of gold miner Exeter Resource were mostly moving upward before the announcement of its acquisition at an attractive premium drove its shares even higher and led us to begin selling our position.
Of the three sectors that detracted from first-half results, only Energy made a notably negative impact, as net losses for Consumer Discretionary and Financials were comparably minor. A similar pattern played out at the industry level, where the only significant detraction came from energy equipment & services. At each level, tumbling oil prices led to formidable difficulties. The Fund’s top detractor at the position level was Era Group, which provides helicopter transportation services and personnel primarily to and from offshore oil drilling rigs and platforms. The challenges wrought by falling oil prices were reflected in disappointing earnings. Liking the long-term prospects for its niche business, we held shares at the end of June. Our experience with automotive parts recycler and reseller Fenix Parts continued to be highly disappointing as its shares were delisted on Nasdaq when it missed financial reporting filing deadlines. Toronto-based Dundee Corporation, which is involved in wealth management, real estate, and natural resources, experienced losses in mining- and resource-based activities that put downward pressure on its shares. Relative to the Russell 2000, RMT benefited most from superior stock selection in Industrials, specifically in the previously mentioned machinery group. Also helping relative results were our lower exposure to banks, which gave us an edge in Financials, and stock-picking advantages in Materials and Information Technology. Conversely, stock selection in both Health Care and, to a lesser extent, Consumer Discretionary hurt the Fund vis-à-vis the small-cap index.
Top Contributors to Performance Year-to-Date Through 6/30/17 (%)1 Sangamo Therapeutics 0.39 Care.com 0.34 Exeter Resource 0.28 Intevac 0.27 Major Drilling Group International 0.25 1 Includes dividends
Top Detractors from Performance Year-to-Date Through 6/30/17 (%)2 Era Group -0.54 Fenix Parts -0.25 Dundee Corporation Cl. A -0.24 Matrix Service -0.18 Alcobra -0.17 2 Net of dividends
CURRENT POSITIONING AND OUTLOOK We think that RMT’s portfolio remains well-positioned to benefit from a cyclical upswing. So while a correction would not be surprising, we are optimistic that expanding global growth can help certain micro-cap companies, especially those with earnings growth. The message that we have been receiving from the companies we speak to each day remains positive. With order books continuing to fill up, the management teams remain confident about their business, which in turn gives us a lot of confidence in the long-term prospects for RMT’s multi-themed core approach.
22 | 2017 Semiannual Report to Stockholders

PERFORMANCE AND PORTFOLIO REVIEW SYMBOLS MARKET PRICE RMT NAV XOTCX
Performance
Average Annual Total Return (%) Through 6/30/17 JAN-JUN 20171 1-YR 3-YR 5-YR 10-YR 15-YR 20-YR SINCE INCEPTION (12/14/93) RMT (NAV) 5.93 22.60 4.65 13.47 5.75 9.23 9.96 10.84 1 Not Annualized
Market Price Performance History Since Inception (12/14/93)
Cumulative Performance of Investment1 1-YR 5-YR 10-YR 15-YR 20-YR SINCE INCEPTION (12/14/93) RMT 27.3% 89.5% 54.5% 246.3% 587.5% 865.4%

1Reflects the cumulative performance experience of a continuous common stockholder who purchased one share at inception ($7.50 IPO), reinvested all distributions and fully participated in the primary subscription of the Fund’s 1994 rights offering.

2Reflects the actual month-end market price movement of one share as it has traded on NYSE and, prior to 12/1/03, on the Nasdaq.

The Morningstar Style Map is the Morningstar Style Box™ with the center 75% of fund holdings plotted as the Morningstar Ownership Zone™. The Morningstar Style Box is designed to reveal a fund’s investment strategy. The Morningstar Ownership Zone provides detail about a portfolio’s investment style by showing the range of stock sizes and styles. The Ownership Zone is derived by plotting each stock in the portfolio within the proprietary Morningstar Style Box. Over time, the shape and location of a fund’s ownership zone may vary. See page 61 for additional information.

Top 10 Positions % of Net Assets Major Drilling Group International 1.5 Mesa Laboratories 1.3 Surmodics 1.1 IES Holdings 1.1 Atrion Corporation 1.1 Kadant 1.1 Zealand Pharma 1.1 Heritage-Crystal Clean 1.0 Quaker Chemical 1.0 Seneca Foods 1.0
Portfolio Sector Breakdown % of Net Assets Industrials 21.1 Information Technology 19.9 Consumer Discretionary 15.0 Health Care 14.9 Financials 11.6 Materials 6.7 Energy 4.6 Real Estate 4.1 Consumer Staples 2.8 Utilities 0.4 Telecommunication Services 0.2 Miscellaneous 4.2 Outstanding Line of Credit, Net of Cash and Cash Equivalents -5.5
Calendar Year Total Returns (%) YEAR RMT 2016 22.0 2015 -11.7 2014 3.5 2013 44.5 2012 17.3 2011 -7.7 2010 28.5 2009 46.5 2008 -45.5 2007 0.6 2006 22.5 2005 6.8 2004 18.7 2003 55.5 2002 -13.8
Portfolio Diagnostics Fund Net Assets $377 million Number of Holdings 365 Turnover Rate 5% Net Asset Value $9.82 Market Price $8.65 Net Leverage1 5.5% Average Market Capitalization2 $416 million Weighted Average P/B Ratio3 1.9x Active Share4 94% U.S. Investments (% of Net Assets) 84.0% Non-U.S. Investments (% of Net Assets) 21.5%
1

Net leverage is the percentage, in excess of 100%, of the total value of equity type investments, divided by net assets.

Active Share is the sum of the absolute values of the different weightings of each holding in the Fund versus each holding in the benchmark, divided by two.

Important Performance and Risk Information

All performance information reflects past performance, is presented on a total return basis, net of the Fund’s investment advisory fee, and reflects the reinvestment of distributions. Past performance is no guarantee of future results. Current performance may be higher or lower than performance quoted. Returns as of the most recent month-end may be obtained at www.roycefunds.com. Certain immaterial adjustments were made to the net assets of Royce Micro-Cap Trust at 12/31/12 and 12/31/14 for financial reporting purposes, and as a result the net asset value originally calculated on that date and the total return based on that net asset value differs from the adjusted net asset value and total return reported in the Financial Highlights. The market price of the Fund’s shares will fluctuate, so that shares may be worth more or less than their original cost when sold. The Fund normally invests in micro-cap companies, which may involve considerably more risk than investments in securities of larger-cap companies. The Fund’s broadly diversified portfolio does not ensure a profit or guarantee against loss. From time to time, the Fund may invest a significant portion of its net assets in foreign securities, which may involve political, economic, currency and other risks not encountered in U.S. investments. Regarding the “Top Contributors” and “Top Detractors” tables shown above, the sum of all contributors to, and all detractors from, performance for all securities in the portfolio would approximate the Fund’s year-to-date performance for 2017.

2017 Semiannual Report to Stockholders | 23

Royce Micro-Cap Trust

Schedule of Investments Common Stocks – 105.5% SHARES VALUE CONSUMER DISCRETIONARY– 15.0% AUTO COMPONENTS - 1.8%

Fox Factory Holding1

5,300 $ 188,680

Motorcar Parts of America1

57,100 1,612,504

Sebang Global Battery

50,500 1,754,469

Standard Motor Products

53,860 2,812,569

Stoneridge1

7,500 115,575

Unique Fabricating

12,200 116,144 6,599,941 DISTRIBUTORS - 0.7%

Fenix Parts1,2

440,800 185,577

Uni-Select

33,800 816,329

Weyco Group

56,600 1,578,008 2,579,914 DIVERSIFIED CONSUMER SERVICES - 1.9%

American Public Education1

73,200 1,731,180

Collectors Universe

108,200 2,688,770

Liberty Tax Cl. A

148,900 1,928,255

Universal Technical Institute1

270,000 963,900 7,312,105 HOTELS, RESTAURANTS & LEISURE - 1.3%

Century Casinos1

222,500 1,639,825

Del Taco Restaurants1

8,200 112,750

Lindblad Expeditions Holdings1

234,000 2,457,000

Lindblad Expeditions Holdings (Warrants)1

18,100 40,725

Red Lion Hotels1

90,000 661,500 4,911,800 HOUSEHOLD DURABLES - 4.0%

AV Homes1

82,000 1,644,100

Cavco Industries1,3,4

19,141 2,481,631

Ethan Allen Interiors3

45,200 1,459,960

Flexsteel Industries3

16,100 871,171

iRobot Corporation1,3,4

15,000 1,262,100

Lifetime Brands3,4

124,294 2,255,936

PICO Holdings1,3,4

147,100 2,574,250

Stanley Furniture

193,468 218,619

Universal Electronics1

15,100 1,009,435

ZAGG1

131,300 1,135,745 14,912,947 INTERNET & DIRECT MARKETING RETAIL - 0.7%

FTD Companies1

67,200 1,344,000

Gaia Cl. A1,3,4

125,000 1,400,000 2,744,000 LEISURE PRODUCTS - 1.1%

American Outdoor Brands1,3,4

27,100 600,536

Black Diamond1

194,926 1,296,258

Nautilus1

118,500 2,269,275 4,166,069 MEDIA - 0.6%

Entravision Communications Cl. A

126,200 832,920

McClatchy Company (The) Cl. A1

69,313 647,383

New Media Investment Group

66,200 892,376 2,372,679 SPECIALTY RETAIL - 1.6%

AutoCanada

115,200 1,694,954

Barnes & Noble Education1

80,000 850,400

Destination Maternity1

212,000 686,880

Destination XL Group1

50,000 117,500

Haverty Furniture

30,000 753,000

Kirkland’s1

11,000 113,080

MarineMax1

7,600 148,580

Shoe Carnival3

21,028 439,064

Stage Stores3

15,000 31,200

TravelCenters of America LLC1

5,400 22,140

West Marine

86,000 1,105,100 5,961,898 TEXTILES, APPAREL & LUXURY GOODS - 1.3%

Crown Crafts

112,159 773,897

Culp

32,900 1,069,250

J.G. Boswell Company2

2,490 1,635,930

YGM Trading

1,482,000 1,378,084 4,857,161 Total (Cost $54,578,416) 56,418,514 CONSUMER STAPLES – 2.8% BEVERAGES - 0.2%

Crimson Wine Group1,2

58,124 619,021 FOOD PRODUCTS - 2.5%

Farmer Bros.1,3,4

62,600 1,893,650

John B. Sanfilippo & Son3

17,800 1,123,358

Landec Corporation1,3,4

75,610 1,122,809

Seneca Foods Cl. A1

73,087 2,269,351

Seneca Foods Cl. B1

40,400 1,454,400

SunOpta1

176,281 1,798,066 9,661,634 HOUSEHOLD PRODUCTS - 0.1%

Central Garden & Pet1

12,000 381,480 Total (Cost $6,140,646) 10,662,135 ENERGY – 4.6% ENERGY EQUIPMENT & SERVICES - 1.8%

Aspen Aerogels1

94,985 422,683

CARBO Ceramics1,3,4

34,000 232,900

CES Energy Solutions

25,000 111,428

Dawson Geophysical1

73,654 288,724

Era Group1

297,409 2,813,489

Geospace Technologies1,3

9,500 131,385

Independence Contract Drilling1

134,400 522,816

Matrix Service1,3,4

53,700 502,095

Newpark Resources1

11,200 82,320

North American Energy Partners

50,000 220,000

Pioneer Energy Services1,3

215,400 441,570

TerraVest Capital

84,000 647,749

Tesco Corporation1,3

58,000 258,100

Trican Well Service1

53,300 149,197 6,824,456 OIL, GAS & CONSUMABLE FUELS - 2.8%

Ardmore Shipping

182,700 1,489,005

Cross Timbers Royalty Trust

67,631 1,036,107

Dorchester Minerals L.P.

106,127 1,533,535

Dorian LPG1

50,000 409,000

Hugoton Royalty Trust

287,574 517,633

Panhandle Oil and Gas Cl. A

5,500 127,050

Permian Basin Royalty Trust

176,333 1,534,097

Sabine Royalty Trust

59,548 2,307,485

San Juan Basin Royalty Trust

143,407 976,602
24 | 2017 Semiannual Report to Stockholders THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS

June 30, 2017 (unaudited) Schedule of Investments (continued) SHARES VALUE ENERGY (continued) OIL, GAS & CONSUMABLE FUELS (continued)

StealthGas1

229,664 $ 746,408 10,676,922 Total (Cost $20,962,860) 17,501,378 FINANCIALS – 11.6% BANKS - 2.3%

Bank of N.T. Butterfield & Son

43,810 1,493,921

Blue Hills Bancorp

50,000 895,000

Bryn Mawr Bank

25,000 1,062,500

Caribbean Investment Holdings1

735,647 126,954

Chemung Financial

31,000 1,267,280

Fauquier Bankshares

133,200 2,564,100

Live Oak Bancshares

30,900 747,780

†Midway Investments1,5

735,647 0

Peapack-Gladstone Financial

20,606 644,762 8,802,297 CAPITAL MARKETS - 8.0%

ASA Gold and Precious Metals

171,150 2,000,743

Canaccord Genuity Group

224,100 921,077

Diamond Hill Investment Group3,4

3,584 714,650

Dundee Corporation Cl. A1

413,200 908,097

EQT Holdings

43,150 587,354

Fiera Capital Cl. A

78,000 827,036

GAIN Capital Holdings

25,000 155,750

Gluskin Sheff + Associates

67,400 870,566

INTL FCStone1,3,4

41,727 1,575,611

JZ Capital Partners

209,999 1,538,511

Manning & Napier Cl. A

136,600 594,210

Medley Management Cl. A

153,400 997,100

MVC Capital3

360,300 3,552,558

OHA Investment

154,620 196,367

Pzena Investment Management Cl. A

6,100 61,976

Queen City Investments2

948 1,256,100

Silvercrest Asset Management Group Cl. A

203,300 2,734,385

Sprott

1,414,533 2,486,995

U.S. Global Investors Cl. A

646,254 988,769

Urbana Corporation

237,600 646,767

Value Line

144,774 2,649,364

Virtu Financial Cl. A

107,800 1,902,670

Warsaw Stock Exchange

52,900 696,930

Westaim Corporation1

20,000 48,890

Westwood Holdings Group3

12,400 702,956

ZAIS Group Holdings Cl. A1,3

262,960 612,697 30,228,129 CONSUMER FINANCE - 0.4%

EZCORP Cl. A1,3,4

201,000 1,547,700

J.G. Wentworth Company Cl. A1,2

135,000 28,350 1,576,050 DIVERSIFIED FINANCIAL SERVICES - 0.1%

Banca Finnat Euramerica

568,000 240,034

Waterloo Investment Holdings1,5

806,207 241,862 481,896 INSURANCE - 0.8%

Hallmark Financial Services1,3,4

114,000 1,284,780

State Auto Financial

59,264 1,524,863 2,809,643 Total (Cost $48,839,680) 43,898,015 HEALTH CARE – 14.9% BIOTECHNOLOGY - 4.7%

Abeona Therapeutics1

312,221 1,998,214

Aquinox Pharmaceuticals1,3,4

145,397 2,045,736

ARCA biopharma1

179,847 440,625

BioCryst Pharmaceuticals1

144,000 800,640

Invitae Corporation1

156,412 1,495,299

Keryx Biopharmaceuticals1

117,725 851,152

Kindred Biosciences1

126,000 1,083,600

Knight Therapeutics1

187,000 1,483,829

Progenics Pharmaceuticals1

6,500 44,135

Sangamo Therapeutics1

281,785 2,479,708

Zafgen1

332,491 1,167,043

Zealand Pharma1

199,700 4,002,988 17,892,969 HEALTH CARE EQUIPMENT & SUPPLIES - 5.3%

Analogic Corporation

18,200 1,322,230

Atrion Corporation3,4

6,569 4,225,838

Cerus Corporation1,3,4

140,000 351,400

CRH Medical1

133,000 756,894

Exactech1,3,4

112,300 3,346,540

Inogen1

5,400 515,268

Invacare Corporation3

44,300 584,760

LeMaitre Vascular

5,000 156,100

STRATEC Biomedical

14,000 917,831

Surmodics1

151,992 4,278,575

Syneron Medical1

69,200 757,740

TearLab Corporation1

8,500 14,280

Utah Medical Products

36,200 2,620,880 19,848,336 HEALTH CARE PROVIDERS & SERVICES - 3.1%

Aceto Corporation

79,600 1,229,820

BioTelemetry1

49,700 1,662,465

Cross Country Healthcare1

157,100 2,028,161

Landauer

30,400 1,589,920

National Research Cl. A

89,529 2,408,330

PharMerica Corporation1

40,000 1,050,000

Psychemedics Corporation

37,500 935,625

U.S. Physical Therapy

10,000 604,000 11,508,321 HEALTH CARE TECHNOLOGY - 0.2%

Connecture1

20,000 12,358

Vocera Communications1

33,100 874,502 886,860 PHARMACEUTICALS - 1.6%

Agile Therapeutics1,3,4

80,000 300,000

Alcobra1

745,055 834,462

Flex Pharma1

310,210 1,194,308

Lipocine1

355,404 1,428,724

Theravance Biopharma1

59,009 2,350,919 6,108,413 Total (Cost $38,115,232) 56,244,899 INDUSTRIALS – 21.1% AEROSPACE & DEFENSE - 0.7%

Astronics Corporation1

4,400 134,068

Astronics Corporation Cl. B1,2

660 19,965

CPI Aerostructures1

11,800 110,920

FLYHT Aerospace Solutions1

1,916,800 332,573

Innovative Solutions and Support1

142,828 628,443
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS 2017 Semiannual Report to Stockholders | 25

Royce Micro-Cap Trust

Schedule of Investments (continued) SHARES VALUE INDUSTRIALS (continued) AEROSPACE & DEFENSE (continued)

Mercury Systems1,3,4

29,700 $ 1,250,073

SIFCO Industries1

45,800 304,570 2,780,612 BUILDING PRODUCTS - 1.3%

Burnham Holdings Cl. A2

117,000 1,772,550

DIRTT Environmental Solutions1

171,000 903,262

Insteel Industries

44,200 1,457,274

Patrick Industries1

11,500 837,775 4,970,861 COMMERCIAL SERVICES & SUPPLIES - 2.3%

Atento1

246,001 2,742,911

CompX International Cl. A

107,500 1,639,375

Heritage-Crystal Clean1,3,4

241,677 3,842,664

Team1,3

17,500 410,375 8,635,325 CONSTRUCTION & ENGINEERING - 2.5%

Aecon Group

40,500 504,064

Ameresco Cl. A1

261,900 2,016,630

IES Holdings1

234,000 4,247,100

Layne Christensen1,3,4

50,000 439,500

Northwest Pipe1,3,4

61,600 1,001,616

NV5 Global1,3,4

27,400 1,164,500 9,373,410 ELECTRICAL EQUIPMENT - 1.1%

Encore Wire3

4,100 175,070

LSI Industries

154,212 1,395,619

Orion Energy Systems1

170,000 217,600

Powell Industries

21,400 684,586

Power Solutions International1,2,3,4

21,100 176,185

Preformed Line Products

20,743 962,890

Revolution Lighting Technologies1

81,200 535,108 4,147,058 INDUSTRIAL CONGLOMERATES - 1.0%

Raven Industries3

108,959 3,628,335 MACHINERY - 8.3%

Chart Industries1

1,100 38,203

CIRCOR International3

56,900 3,378,722

Columbus McKinnon

1,500 38,130

Eastern Company (The)

39,750 1,194,487

Exco Technologies

118,200 973,455

Foster (L.B.) Company1,3,4

99,300 2,129,985

FreightCar America

81,000 1,408,590

Global Brass and Copper Holdings

7,600 232,180

Graham Corporation3,4

78,050 1,534,463

Harsco Corporation1

4,400 70,840

Hurco Companies

36,866 1,281,094

Kadant

53,500 4,023,200

Kornit Digital1

35,700 690,795

Lindsay Corporation3

29,400 2,623,950

Luxfer Holdings ADR3

59,712 763,716

Lydall1

1,800 93,060

45,300 1,243,485

Sun Hydraulics

78,700 3,358,129

Tennant Company

36,600 2,701,080

Titan International

225,700 2,710,657

Westport Fuel Systems1

377,900 888,065 31,376,286 MARINE - 1.0%

Clarkson

109,900 3,615,696 PROFESSIONAL SERVICES - 1.4%

Acacia Research1,3

190,000 779,000

BG Staffing

2,400 41,712

CBIZ1

47,000 705,000

Franklin Covey1

40,100 773,930

GP Strategies1

7,600 200,640

Heidrick & Struggles International

46,300 1,007,025

Kforce3

4,700 92,120

Resources Connection

8,800 120,560

RPX Corporation1

100,000 1,395,000 5,114,987 ROAD & RAIL - 0.6%

Marten Transport

3,300 90,420

Patriot Transportation Holding1,3

55,764 996,503

Universal Logistics Holdings3,4

77,600 1,164,000 2,250,923 TRADING COMPANIES & DISTRIBUTORS - 0.9%

Central Steel & Wire2

788 433,400

EnviroStar

64,400 1,742,020

Houston Wire & Cable1

249,918 1,312,069 3,487,489 Total (Cost $60,718,126) 79,380,982 INFORMATION TECHNOLOGY – 19.9% COMMUNICATIONS EQUIPMENT - 1.0%

ADTRAN

23,300 481,145

Applied Optoelectronics1,3,4

3,500 216,265

CalAmp Corporation1

3,100 63,023

Clearfield1

61,300 809,160

EMCORE Corporation

8,300 88,395

Harmonic1

147,000 771,750

Oclaro1

131,700 1,230,078

PCTEL

34,100 241,428 3,901,244 ELECTRONIC EQUIPMENT, INSTRUMENTS & COMPONENTS - 5.8%

Airgain1

3,500 49,630

Bel Fuse Cl. A

67,705 1,411,649

ePlus1

3,000 222,300

Fabrinet1

2,200 93,852

FARO Technologies1,3

81,700 3,088,260

Firan Technology Group1

25,000 83,475

HollySys Automation Technologies

62,900 1,044,769

Inficon Holding

3,420 1,685,212

LRAD Corporation1

853,456 1,442,341

Mesa Laboratories3,4

35,000 5,015,850

Netlist1

63,600 64,872

Novanta1

37,600 1,353,600

Orbotech1,3,4

92,500 3,017,350

PC Connection

43,716 1,182,955

Perceptron1

8,500 61,880

Richardson Electronics

316,900 1,891,893

Rogers Corporation1,3

600 65,172

Vishay Precision Group1

10,000 173,000 21,948,060 INTERNET SOFTWARE & SERVICES - 3.7%

Actua Corporation1

36,876 518,108

Care.com1,3,4

181,787 2,744,984
26 | 2017 Semiannual Report to Stockholders THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS

June 30, 2017 (unaudited) Schedule of Investments (continued) SHARES VALUE INFORMATION TECHNOLOGY (continued) INTERNET SOFTWARE & SERVICES (continued)

comScore1,2

64,195 $ 1,681,909

IZEA1

126,070 240,794

MINDBODY Cl. A1

38,900 1,058,080

QuinStreet1

525,550 2,191,543

Reis

25,000 531,250

Solium Capital1

309,700 2,342,811

Stamps.com1

14,500 2,245,687

Support.com1

105,600 247,104 13,802,270 IT SERVICES - 0.6%

Computer Task Group1,3

150,838 843,184

Hackett Group (The)

27,700 429,350

Innodata1

437,275 765,231

Virtusa Corporation1

8,100 238,140 2,275,905 SEMICONDUCTORS & SEMICONDUCTOR EQUIPMENT - 4.6%

Amtech Systems1,3

160,284 1,352,797

Brooks Automation

103,800 2,251,422

CyberOptics Corporation1

43,000 887,950

FormFactor1

22,869 283,576

Intermolecular1

240,000 223,200

IXYS Corporation1

18,800 309,260

Kopin Corporation1

242,200 898,562

Kulicke & Soffa Industries1

88,000 1,673,760

MoSys1

68,427 117,010

Nanometrics1

67,300 1,702,017

NeoPhotonics Corporation1

14,000 108,080

Nova Measuring Instruments1

73,400 1,621,406

PDF Solutions1

25,000 411,250

Photronics1

189,700 1,783,180

Sigma Designs1

89,000 520,650

Silicon Motion Technology ADR

34,100 1,644,643

Ultra Clean Holdings1

49,900 935,625

Veeco Instruments1

17,500 487,375

Xcerra Corporation1

11,300 110,401 17,322,164 SOFTWARE - 2.9%

Agilysys1

170,587 1,726,341

American Software Cl. A

120,352 1,238,422

BSQUARE Corporation1

83,675 468,580

Computer Modelling Group

337,700 2,650,976

Model N1

166,693 2,217,017

Monotype Imaging Holdings

15,000 274,500

PSI

34,000 546,964

RealNetworks1

130,171 563,640

Rubicon Project1

92,200 473,908

SeaChange International1

284,200 755,972

Varonis Systems1

2,600 96,720 11,013,040 TECHNOLOGY HARDWARE, STORAGE & PERIPHERALS - 1.3%

Intevac1

293,400 3,256,740

Kortek

135,007 1,563,469 4,820,209 Total (Cost $62,452,717) 75,082,892 MATERIALS – 6.7% CHEMICALS - 2.2%

Balchem Corporation

11,775 915,035

FutureFuel Corporation

85,262 1,286,604

LSB Industries1

135,800 1,402,814

Quaker Chemical3

26,000 3,775,980

Trecora Resources1

89,600 1,008,000 8,388,433 CONSTRUCTION MATERIALS - 0.8%

Ash Grove Cement2

7,600 2,014,076

Monarch Cement2

16,303 821,671

U.S. Concrete1

3,400 267,070 3,102,817 CONTAINERS & PACKAGING - 0.3%

UFP Technologies1

36,445 1,031,394 METALS & MINING - 3.4%

Alamos Gold Cl. A

186,044 1,319,868

Ampco-Pittsburgh

79,002 1,165,279

Comstock Mining1

1,875,000 342,750

Haynes International3

26,100 947,691

Imdex1

400,666 232,504

MAG Silver1

74,050 965,612

Major Drilling Group International1

850,357 5,567,189

Olympic Steel

35,000 681,800

Pretium Resources1

80,000 768,661

Universal Stainless & Alloy Products1

15,300 298,350

Victoria Gold1

890,000 398,057 12,687,761 Total (Cost $18,309,690) 25,210,405 REAL ESTATE – 4.1% EQUITY REAL ESTATE INVESTMENT TRUSTS (REITS) - 0.5%

BRT Apartments1

230,331 1,810,402 REAL ESTATE MANAGEMENT & DEVELOPMENT - 3.6%

Altus Group

87,000 1,880,483

Forestar Group1,3

44,000 754,600

FRP Holdings1,3,4

76,500 3,530,475

Griffin Industrial Realty

43,384 1,360,956

Hopefluent Group Holdings

1,400,000 478,773

Marcus & Millichap1,3,4

49,567 1,306,586

RMR Group Cl. A

37,100 1,804,915

Tejon Ranch1,3,4

115,162 2,376,944 13,493,732 Total (Cost $12,345,792) 15,304,134 TELECOMMUNICATION SERVICES – 0.2% DIVERSIFIED TELECOMMUNICATION SERVICES - 0.2%

ORBCOMM1

67,100 758,230 Total (Cost $570,215) 758,230 UTILITIES – 0.4% GAS UTILITIES - 0.1%

Shizuoka Gas

40,000 266,015 INDEPENDENT POWER & RENEWABLE ELECTRICITY PRODUCER - 0.0%

Alterra Power

45,000 197,447 WATER UTILITIES - 0.3%

Global Water Resources

106,000 1,049,400 Total (Cost $1,145,614) 1,512,862
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS 2017 Semiannual Report to Stockholders | 27

Royce Micro-Cap Trust June 30, 2017 (unaudited)
Schedule of Investments (continued) VALUE MISCELLANEOUS6 – 4.2% Total (Cost $15,862,541) $ 15,944,179 TOTAL COMMON STOCKS (Cost $340,041,529) 397,918,625 REPURCHASE AGREEMENT– 5.9% Fixed Income Clearing Corporation, 0.12% dated 6/30/17, due 7/3/17, maturity value
$22,318,223 (collateralized by obligations of various U.S. Government Agencies, 2.375% due
8/15/24, valued at $22,766,474) (Cost $22,318,000) 22,318,000 TOTAL INVESTMENTS – 111.4% (Cost $362,359,529) 420,236,625 LIABILITIES LESS CASH AND OTHER ASSETS – (11.4)% (43,098,058 ) NET ASSETS – 100.0% $ 377,138,567
† New additions in 2017. 1 Non-income producing. 2

These securities are defined as Level 2 securities due to fair value being based on quoted prices for similar securities. See Notes to Financial Statements.

All or a portion of these securities were pledged as collateral in connection with the Fund’ s revolving credit agreement at June 30, 2017. Total market value of pledged securities at June 30, 2017, was $71,646,333.

At June 30, 2017, a portion of these securities were rehypothecated in connection with the Fund’ s revolving credit agreement in the aggregate amount of $43,068,441.

Securities for which market quotations are not readily available represent 0.1% of net assets. These securities have been valued at their fair value under procedures approved by the Fund’s Board of Directors. These securities are defined as Level 3 securities due to the use of significant unobservable inputs in the determination of fair value. See Notes to Financial Statements.

Includes securities first acquired in 2017 and less than 1% of net assets.

Bold indicates the Fund’s 20 largest equity holdings in terms of June 30, 2017, market value.

TAX INFORMATION: The cost of total investments for Federal income tax purposes was $363,939,812. At June 30, 2017, net unrealized appreciation for all securities was $56,296,813, consisting of aggregate gross unrealized appreciation of $107,251,959 and aggregate gross unrealized depreciation of $50,955,146. The primary cause of the difference between book and tax basis cost is the timing of the recognition of losses on securities sold.

28 | 2017 Semiannual Report to Stockholders THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS

Royce Micro-Cap Trust June 30, 2017 (unaudited) Statement of Assets and Liabilities ASSETS: Investments at value $ 397,918,625 Repurchase agreements (at cost and value) 22,318,000 Cash and foreign currency 238,591 Receivable for investments sold 2,073,915 Receivable for dividends and interest 201,909 Prepaid expenses and other assets 25,599 Total Assets 422,776,639 LIABILITIES: Revolving credit agreement 45,000,000 Payable for investments purchased 384,641 Payable for investment advisory fee 148,907 Payable for directors’ fees 24,804 Payable for interest expense 5,622 Accrued expenses 74,098 Total Liabilities 45,638,072 Net Assets $ 377,138,567 ANALYSIS OF NET ASSETS: Paid-in capital - $0.001 par value per share; 38,409,192 shares outstanding (150,000,000 shares authorized) $ 322,651,287 Undistributed net investment income (loss) (1,398,007 ) Accumulated net realized gain (loss) on investments and foreign currency 10,150,463 Net unrealized appreciation (depreciation) on investments and foreign currency 57,876,187 Quarterly distributions (12,141,363 ) Net Assets (net asset value per share - $9.82) $ 377,138,567 Investments at identified cost $ 340,041,529
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS 2017 Semiannual Report to Stockholders | 29

Royce Micro-Cap Trust

Statement of Changes in Net Assets
SIX MONTHS ENDED 6/30/17 (UNAUDITED) YEAR ENDED 12/31/16 INVESTMENT OPERATIONS: Net investment income (loss) $ 589,423 $ 1,040,381 Net realized gain (loss) on investments and foreign currency 9,012,314 17,298,523 Net change in unrealized appreciation (depreciation) on investments and foreign currency 10,742,788 46,017,634 Net increase (decrease) in net assets from investment operations 20,344,525 64,356,538 DISTRIBUTIONS: Net investment income (485,655 )1 (2,974,373 ) Net realized gain on investments and foreign currency (10,927,226 )1 (20,650,513 ) Return of capital (728,482 )1 – Total distributions (12,141,363 ) (23,624,886 ) CAPITAL STOCK TRANSACTIONS: Reinvestment of distributions 5,234,652 10,562,009 Total capital stock transactions 5,234,652 10,562,009 Net Increase (Decrease) In Net Assets 13,437,814 51,293,661 NET ASSETS: Beginning of period 363,700,753 312,407,092 End of period (including undistributed net investment income (loss) of $(1,398,007) at 6/30/17 and $(1,987,430) at 12/31/16) $ 377,138,567 $ 363,700,753
1 Amounts are subject to change and recharacterization at year end.
30 | 2017 Semiannual Report to Stockholders THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS

Royce Micro-Cap Trust Six Months Ended June 30, 2017 (unaudited)
Statement of Operations
INVESTMENT INCOME: INCOME: Dividends $ 2,218,874 Foreign withholding tax (55,348 ) Interest 15,462 Rehypothecation income 28,765 Total income 2,207,753 EXPENSES: Investment advisory fees 903,122 Interest expense 471,847 Stockholder reports 64,884 Administrative and office facilities 44,726 Directors’ fees 42,314 Custody and transfer agent fees 41,301 Professional fees 28,058 Other expenses 22,126 Total expenses 1,618,378 Compensating balance credits (48 ) Net expenses 1,618,330 Net investment income (loss) 589,423 REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS AND FOREIGN CURRENCY: NET REALIZED GAIN (LOSS): Investments 9,003,885 Foreign currency transactions 8,429 NET CHANGE IN UNREALIZED APPRECIATION (DEPRECIATION): Investments and foreign currency translations 10,742,220 Other assets and liabilities denominated in foreign currency 568 Net realized and unrealized gain (loss) on investments and foreign currency 19,755,102 NET INCREASE (DECREASE) IN NET ASSETS FROM INVESTMENT OPERATIONS $ 20,344,525
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS 2017 Semiannual Report to Stockholders | 31

Royce Micro-Cap Trust Six Months Ended June 30, 2017 (unaudited)
Statement of Cash Flows
CASH FLOWS FROM OPERATING ACTIVITIES: Net increase (decrease) in net assets from investment operations $ 20,344,525 Adjustments to reconcile net increase (decrease) in net assets from investment operations to
net cash provided by operating activities:

Purchases of long-term investments

(33,255,508 )

Proceeds from sales and maturities of long-term investments

18,367,371

Net purchases, sales and maturities of short-term investments

21,154,000

Net (increase) decrease in dividends and interest receivable and other assets

314,850

Net increase (decrease) in interest expense payable, accrued expenses and other liabilities

(26,041 )

Net change in unrealized appreciation (depreciation) on investments

(10,742,220 )

Net realized gain (loss) on investments and foreign currency

(9,012,314 ) Net cash provided by operating activities 7,144,663 CASH FLOWS FROM FINANCING ACTIVITIES: Net increase (decrease) in revolving credit agreement – Distributions (12,141,363 ) Reinvestment of distributions 5,234,652 Net cash used for financing activities (6,906,711 ) INCREASE (DECREASE) IN CASH: 237,952 Cash and foreign currency at beginning of period 639 Cash and foreign currency at end of period $ 238,591
32 | 2017 Semiannual Report to Stockholders THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS

Royce Micro-Cap Trust

Financial Highlights This table is presented to show selected data for a share of Common Stock outstanding throughout each period, and to assist stockholders in evaluating the Fund’s performance for the periods presented.
SIX MONTHS YEARS ENDED ENDED 6/30/17 (UNAUDITED) 12/31/16 12/31/15 12/31/14 12/31/13 12/31/12 Net Asset Value, Beginning of Period $ 9.63 $ 8.59 $ 11.33 $ 14.12 $ 10.93 $ 9.86 INVESTMENT OPERATIONS: Net investment income (loss) 0.02 0.03 0.03 (0.01 ) 0.01 0.15 Net realized and unrealized gain (loss) on investments and
foreign currency 0.51 1.70 (1.42 ) 0.25 4.64 1.58 Total investment operations 0.53 1.73 (1.39 ) 0.24 4.65 1.73 DISTRIBUTIONS TO PREFERRED STOCKHOLDERS: Net investment income – – – – – (0.02 ) Net realized gain on investments and foreign currency – – – – – (0.09 ) Total distributions to Preferred Stockholders – – – – – (0.11 ) Net Increase (Decrease) in Net Assets Applicable to Common Stockholders from

Investment Operations

0.53 1.73 (1.39 ) 0.24 4.65 1.62 DISTRIBUTIONS TO COMMON STOCKHOLDERS: Net investment income (0.01 )1 (0.08 ) (0.01 ) (0.04 ) (0.03 ) (0.08 ) Net realized gain on investments and foreign currency (0.29 )1 (0.56 ) (1.25 ) (2.86 ) (1.35 ) (0.43 ) Return of capital (0.02 )1 – – – – – Total distributions to Common Stockholders (0.32 ) (0.64 ) (1.26 ) (2.90 ) (1.38 ) (0.51 ) CAPITAL STOCK TRANSACTIONS: Effect of reinvestment of distributions by Common Stockholders (0.02 ) (0.05 ) (0.09 ) (0.13 ) (0.08 ) (0.04 ) Total capital stock transactions (0.02 ) (0.05 ) (0.09 ) (0.13 ) (0.08 ) (0.04 ) Net Asset Value, End of Period $ 9.82 $ 9.63 $ 8.59 $ 11.33 $ 14.12 $ 10.93 Market Value, End of Period $ 8.65 $ 8.16 $ 7.26 $ 10.08 $ 12.61 $ 9.45 TOTAL RETURN:2 Net Asset Value 5.93 %3 21.98 % (11.64 )% 3.46 % 44.66 % 17.23 % Market Value 10.12 %3 22.30 % (16.06 )% 3.06 % 49.42 % 13.95 % RATIOS BASED ON AVERAGE NET ASSETS APPLICABLE TO COMMON STOCKHOLDERS: Investment advisory fee expense4 0.50 %5 0.87 % 0.93 % 0.93 % 0.82 % 1.12 % Other operating expenses 0.39 %5 0.39 % 0.35 % 0.25 % 0.29 % 0.18 % Total expenses (net)6 0.89 %5 1.26 % 1.28 % 1.18 % 1.11 % 1.30 % Expenses net of fee waivers and excluding interest expense 0.63 %5 1.02 % 1.08 % 1.05 % 0.96 % 1.27 % Expenses prior to fee waivers and balance credits 0.89 %5 1.26 % 1.28 % 1.18 % 1.11 % 1.32 % Expenses prior to fee waivers 0.89 %5 1.26 % 1.28 % 1.18 % 1.11 % 1.32 % Net investment income (loss) 0.32 %5 0.32 % 0.26 % (0.09 )% 0.08 % 1.46 % SUPPLEMENTAL DATA: Net Assets Applicable to Common Stockholders,
End of Period (in thousands) $ 377,139 $ 363,701 $ 312,407 $ 387,488 $ 433,121 $ 318,545 Portfolio Turnover Rate 5 % 26 % 39 % 41 % 29 % 28 % REVOLVING CREDIT AGREEMENT: Asset coverage 938 % 908 % 794 % 746 % 1062 % 808 % Asset coverage per $1,000 $ 9,381 $ 9,082 $ 7,942 $ 7,458 $ 10,625 $ 8,079
1 Amounts are subject to change and recharacterization at year end. 2 The Market Value Total Return is calculated assuming a purchase of Common Stock on the opening of the first business day and a sale on the closing of the last business day of each period. Dividends and distributions are assumed for the purposes of this calculation to be reinvested at prices obtained under the Fund’s Distribution Reinvestment and Cash Purchase Plan. Net Asset Value Total Return is calculated on the same basis, except that the Fund’s net asset value is used on the purchase and sale dates instead of market value. 3 Not annualized 4 The investment advisory fee is calculated based on average net assets over a rolling 36-month basis, while the above ratios of investment advisory fee expenses are based on the average net assets applicable to Common Stockholders over a 12-month basis. 5 Annualized 6 Expense ratio based on total average net assets including liquidation value of Preferred Stock was 1.10% for the year ended December 31, 2012.
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS 2017 Semiannual Report to Stockholders | 33

Royce Micro-Cap Trust

Notes to Financial Statements (unaudited)

Summary of Significant Accounting Policies

Royce Micro-Cap Trust, Inc. (the “Fund”), is a diversified closed-end investment company that was incorporated under the laws of the State of Maryland on September 9, 1993. The Fund commenced operations on December 14, 1993.

VALUATION OF INVESTMENTS:

Securities are valued as of the close of trading on the New York Stock Exchange (NYSE) (generally 4:00 p.m. Eastern time) on the valuation date. Securities that trade on an exchange, and securities traded on Nasdaq’s Electronic Bulletin Board, are valued at their last reported sales price or Nasdaq official closing price taken from the primary market in which each security trades or, if no sale is reported for such day, at their highest bid price. Other over-the-counter securities for which market quotations are readily available are valued at their highest bid price, except in the case of some bonds and other fixed income securities which may be valued by reference to other securities with comparable ratings, interest rates and maturities, using established independent pricing services. The Fund values its non-U.S. dollar denominated securities in U.S. dollars daily at the prevailing foreign currency exchange rates as quoted by a major bank. Securities for which market quotations are not readily available are valued at their fair value in accordance with the provisions of the 1940 Act, under procedures approved by the Fund’s Board of Directors, and are reported as Level 3 securities. As a general principle, the fair value of a security is the amount which the Fund might reasonably expect to receive for the security upon its current sale. However, in light of the judgment involved in fair valuations, there can be no assurance that a fair value assigned to a particular security will be the amount which the Fund might be able to receive upon its current sale. In addition, if, between the time trading ends on a particular security and the close of the customary trading session on the NYSE, events occur that are significant and may make the closing price unreliable, the Fund may fair value the security. The Fund uses an independent pricing service to provide fair value estimates for relevant non-U.S. equity securities on days when the U.S. market volatility exceeds a certain threshold. This pricing service uses proprietary correlations it has developed between the movement of prices of non-U.S. equity securities and indices of U.S.-traded securities, futures contracts and other indications to estimate the fair value of relevant non-U.S. securities. When fair value pricing is employed, the prices of securities used by the Fund may differ from quoted or published prices for the same security. Investments in money market funds are valued at net asset value per share.

Various inputs are used in determining the value of the Fund’s investments, as noted above. These inputs are summarized in the three broad levels below:

Level 1 – quoted prices in active markets for identical securities. Level 2 –

other significant observable inputs (including quoted prices for similar securities, foreign securities that may be fair valued and repurchase agreements). The table below includes all Level 2 securities. Level 2 securities with values based on quoted prices for similar securities are noted in the Schedule of Investments.

Level 3 –

The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.

The following is a summary of the inputs used to value the Fund’s investments as of June 30, 2017. For a detailed breakout of common stocks by sector classification, please refer to the Schedule of Investments.

LEVEL 1 LEVEL 2 LEVEL 3 TOTAL Common Stocks $387,032,029 $10,644,734 $241,862 $397,918,625 Cash Equivalents – 22,318,000 – 22,318,000

Certain securities have transferred in and out of Level 1 and Level 2 measurements during the reporting period. The Fund recognizes transfers between levels as of the end of the reporting period. For the six months ended June 30, 2017, securities valued at $2,043,671 were transferred from Level 1 to Level 2 and securities valued at $19,504,834 were transferred from Level 2 to Level 1 within the fair value hierarchy.

34 | 2017 Semiannual Report to Stockholders

Royce Micro-Cap Trust

Notes to Financial Statements (unaudited) (continued)

VALUATION OF INVESTMENTS (continued):

Level 3 Reconciliation:

BALANCE AS OF 12/31/16 PURCHASES REALIZED AND UNREALIZED
GAIN (LOSS)1 BALANCE AS OF 6/30/17 Common Stocks $241,862 $0 $– $241,862 1

The following table summarizes the valuation techniques used and unobservable inputs approved by the Valuation Committee to determine the fair value of certain, material Level 3 investments. The table does not include Level 3 investments with values derived utilizing prices from prior transactions or third party pricing information with adjustments (e.g. broker quotes, pricing services, net asset values).

FAIR VALUE AT
6/30/17 VALUATION TECHNIQUE(S) UNOBSERVABLE INPUT(S) RANGE AVERAGE IMPACT TO VALUATION FROM
AN INCREASE IN INPUT1 Common Stocks $241,862 Discounted Present Value
Balance Sheet Analysis Liquidity Discount 30%-40% Decrease 1

This column represents the directional change in the fair value of the Level 3 investments that would result in an increase from the corresponding unobservable input. A decrease to the unobservable input would have the opposite effect. Significant increases and decreases in these unobservable inputs in isolation could result in significantly higher or lower fair value measurements.

REPURCHASE AGREEMENTS:

FOREIGN CURRENCY:

Net realized foreign exchange gains or losses arise from sales and maturities of short-term securities, sales of foreign currencies, expiration of currency forward contracts, currency gains or losses realized between the trade and settlement dates on securities transactions, and the difference between the amounts of dividends, interest, and foreign withholding taxes recorded on the Fund’s books and the U.S. dollar equivalent of the amounts actually received or paid. Net unrealized foreign exchange gains and losses arise from changes in the value of assets and liabilities, including investments in securities at the end of the reporting period, as a result of changes in foreign currency exchange rates.

TAXES:

DISTRIBUTIONS:

The Fund pays quarterly distributions on the Fund’s Common Stock at the annual rate of 7% of the rolling average of the prior four calendar quarter-end NAVs of the Fund’s Common Stock, with the fourth quarter distribution being the greater of 1.75% of the rolling average or the distribution required by IRS regulations. Prior to November 15, 2012, distributions to Preferred Stockholders were accrued daily and paid quarterly. Distributions to Common Stockholders are recorded on ex-dividend date. Distributable capital gains and/or net investment income were first allocated to Preferred Stockholder distributions, with any excess allocable to Common Stockholders. If capital gains and/or net investment income were allocated to both Preferred and Common Stockholders, the tax character of such allocations was proportional. To the extent that distributions are not paid from long-term capital gains, net investment income or net short-term capital gains, they will represent a return of capital. Distributions are determined in accordance with income tax regulations that may differ from accounting principles generally accepted in the United States of America. Permanent book and tax differences relating to stockholder distributions will result in reclassifications within the capital accounts. Undistributed net investment income may include temporary book and tax basis differences, which will reverse in a subsequent period. Any taxable income or gain remaining undistributed at fiscal year end is distributed in the following year.

2017 Semiannual Report to Stockholders | 35

Royce Micro-Cap Trust

Notes to Financial Statements (unaudited) (continued)

INVESTMENT TRANSACTIONS AND RELATED INVESTMENT INCOME:

EXPENSES:

The Fund incurs direct and indirect expenses. Expenses directly attributable to the Fund are charged to the Fund’s operations, while expenses applicable to more than one of the Royce Funds are allocated equitably. Certain personnel, occupancy costs and other administrative expenses related to the Funds are allocated by Royce & Associates (“Royce”) under an administration agreement and are included in administrative and office facilities and professional fees. The Fund has adopted a deferred fee agreement that allows the Directors to defer the receipt of all or a portion of directors’ fees otherwise payable. The deferred fees are invested in certain Royce Funds until distributed in accordance with the agreement.

COMPENSATING BALANCE CREDITS:

Capital Stock:

The Fund issued 628,862 and 1,405,544 shares of Common Stock as reinvestment of distributions for the six months ended June 30, 2017 and the year ended December 31, 2016, respectively.

Borrowings:

As of June 30, 2017, the Fund has outstanding borrowings of $45,000,000. During the six months ended June 30, 2017, the Fund borrowed an average daily balance of $45,000,000 at a weighted average borrowing cost of 2.09%. The maximum amount outstanding during the six months ended June 30, 2017 was $45,000,000. As of June 30, 2017, the aggregate value of rehypothecated securities was $43,068,441. During the six months ended June 30, 2017, the Fund earned $28,765 in fees from rehypothecated securities.

Investment Advisory Agreement:

As compensation for its services under the investment advisory agreement, Royce receives a fee comprised of a Basic Fee (“Basic Fee”) and an adjustment to the Basic Fee based on the investment performance of the Fund in relation to the investment record of the Russell 2000.

36 | 2017 Semiannual Report to Stockholders

Royce Micro-Cap Trust

Notes to Financial Statements (unaudited) (continued)

Investment Advisory Agreement (continued):

The Basic Fee is a monthly fee equal to 1/12 of 1% (1% on an annualized basis) of the average of the Fund’s month-end net assets applicable to Common Stockholders, plus the liquidation value of outstanding Preferred Stock through October 31, 2015, for the rolling 36-month period ending with such month (the “performance period”). The Basic Fee for each month is increased or decreased at the rate of 1/12 of .05% for each percentage point that the investment performance of the Fund exceeds, or is exceeded by, the percentage change in the investment record of the Russell 2000 for the performance period by more than two percentage points. The performance period for each such month is a rolling 36-month period ending with such month. The maximum increase or decrease in the Basic Fee for any month may not exceed 1/12 of .5%. Accordingly, for each month, the maximum monthly fee rate as adjusted for performance is 1/12 of 1.5% and is payable if the investment performance of the Fund exceeds the percentage change in the investment record of the Russell 2000 by 12 or more percentage points for the performance period, and the minimum monthly fee rate as adjusted for performance is 1/12 of .5% and is payable if the percentage change in the investment record of the Russell 2000 exceeds the investment performance of the Fund by 12 or more percentage points for the performance period.

For the six rolling 36-month periods ended June 2017, the Fund’s investment performance ranged from 13% to 15% below the investment performance of the Russell 2000. Accordingly, the net investment advisory fee consisted of a Basic Fee of $1,806,242 and a net downward adjustment of $903,120 for the performance of the Fund relative to that of the Russell 2000. For the six months ended June 30, 2017, the Fund expensed Royce investment advisory fees totaling $903,122.

Purchases and Sales of Investment Securities:

For the six months ended June 30, 2017, the costs of purchases and proceeds from sales of investment securities, other than short-term securities, amounted to $33,365,684 and $20,263,468, respectively.

Cross trades were executed by the Fund pursuant to Rule 17a-7 under the 1940 Act. Cross trading is the buying or selling of portfolio securities between funds to which Royce serves as investment adviser. At its regularly scheduled quarterly meetings, the Board reviews such transactions as of the most recent calendar quarter for compliance with the requirements and restrictions set forth by Rule 17a-7. Cross trades for the six months ended June 30, 2017, were as follows:

COST OF PURCHASES PROCEEDS FROM SALES REALIZED GAIN (LOSS) $1,007,283 $– $–

2017 Semiannual Report to Stockholders | 37

MANAGER’S DISCUSSION Royce Value Trust (RVT)

Chuck Royce
FUND PERFORMANCE We were very pleased with Royce Value Trust’s (“RVT”) first-half results. Strong on both an absolute and relative basis, performance was all the more impressive in a semiannual period that saw value underperform growth and was thus not entirely conducive to the Fund’s multiple investment theme approach. RVT advanced 7.3% on a net asset value (“NAV”) basis and 13.1% on a market price basis for the year-to-date period ended June 30, 2017, in both cases outperforming its unleveraged small-cap benchmarks, the Russell 2000 and S&P SmallCap 600 Indexes, which had respective increases of 5.0% and 2.8% for the same period.     For the first quarter, RVT gained 3.8% based on NAV and 6.5% on market price, outpacing the Russell 2000, which was up 2.5%, and the S&P SmallCap 600, which rose 1.0%, for the same period. The Fund’s relative advantage extended to the second quarter, when it climbed 3.4% on an NAV basis and 6.2% on a market price basis versus 2.5% for the Russell 2000 and 1.7% for the S&P SmallCap 600. RVT beat both of its benchmarks on an NAV basis for the one-, 30-year, and since inception (11/26/86) periods ended June 30, 2017. The Fund added advantages over the Russell 2000 for the 20- and 25-year periods ended June 30, 2017 based on both NAV and market price. RVT’s average annual NAV total return for the since inception period was 10.6%, all under the management of Chuck Royce. WHAT WORKED... AND WHAT DIDN’T Seven of the Fund’s 11 equity sectors finished the first half in the black, two were essentially flat, and two more detracted from performance. Information Technology and Industrials made the biggest positive impacts. At the industry level, a group from each sector dominated returns in a similar fashion—the electronic equipment, instruments & components group (Information Technology) and machinery stocks (Industrials).     The Fund’s two top contributors at the position level were holdovers from 2016’s top performers. Laser diode and equipment maker Coherent took the top spot, as it did in 2016, galvanized by ongoing sales and earnings growth driven by vibrant demand for ramped up OLED (organic light-emitting diode) capacity. Cognex Corporation is the market leader in machine vision technology, which captures and analyzes visual information to automate tasks that previously relied on human eyesight and is thus a major driver of industrial and process automation. The trend toward automation continues to drive broad order strength for its machine vision systems. Cognex also supplemented its robust technology portfolio with three small acquisitions that should enhance its capabilities in emerging areas such as 3D and adaptive learning. Another top contributor, The Advisory Board specializes in performance improvement software and solutions to the healthcare and higher education industries. Among 2016’s top detractors, it rebounded soundly in the first half as an activist investor disclosed a large equity stake, which encouraged other investors.
    Of the two portfolio sectors that detracted from first-half performance, only Energy had a significant negative impact. Net losses for Consumer Discretionary were modest, a pattern that was mirrored at the industry level. The energy equipment & services group (Energy) was by far the portfolio’s biggest detractor, followed by an appreciably lower negative impact for specialty retail (Consumer Discretionary), which continued to struggle with secular shifts in consumer spending and behavior. The top detractor at the position level was Era Group, which provides helicopter transportation services and personnel primarily to and from offshore oil drilling rigs and platforms. The cratering price of oil created challenges for its business that were reflected in disappointing earnings. Liking the long-term prospects for its niche business, we held shares at the end of June. Toronto-based Dundee Corporation, which is involved in wealth management, real estate, and natural resources, experienced losses in mining- and resource-based activities that put downward pressure on its shares.
    Relative to the Russell 2000, RVT benefited most from savvy stock picking in three sectors—Financials, where capital markets stood out, Industrials, where machinery and professional services provided a sizable relative edge, and Information Technology, where electronic equipment, instruments & components outperformed. Conversely, poor stock selection in specialty retail and an overweight in distributors created a disadvantage in Consumer Discretionary while our underweights in biotechnology (Health Care) and, to a lesser extent, Utilities also hurt relative results.
Top Contributors to Performance Year-to-Date Through 6/30/17 (%)1 Coherent 0.76 Cognex Corporation 0.34 Advisory Board (The) 0.28 MarketAxess Holdings 0.27 Community Health Systems 0.25 1 Includes dividends
Top Detractors from Performance Year-to-Date Through 6/30/17 (%)2 Era Group -0.30 Dundee Corporation Cl. A -0.18 Wesco Aircraft Holdings -0.18 Monro Muffler Brake -0.17 Core-Mark Holding Company -0.17 2 Net of dividends
CURRENT POSITIONING AND OUTLOOK We think that RVT’s portfolio remains well-positioned to benefit from a cyclical upswing, with more than 70% of its net assets invested in Industrials, Information Technology, Financials, and Materials at the end of June. So while a correction would not be surprising, we are optimistic that the expanding rate of global growth can help small-cap companies, especially those with growing earnings, to excel. The message that we receive from the companies we speak to each day remains positive. With order books continuing to fill up, the management teams remain confident about their business, which in turn gives us confidence in the long-term prospects for RVT’s multi-themed core approach.
38 | 2017 Semiannual Report to Stockholders

PERFORMANCE AND PORTFOLIO REVIEW SYMBOLS MARKET PRICE RVT NAV XRVTX
Performance
Average Annual Total Return (%) Through 6/30/17 JAN-JUN 20171 1-YR 3-YR 5-YR 10-YR 15-YR 20-YR 25-YR 30-YR SINCE INCEPTION (11/26/86) RVT (NAV) 7.29 25.76 6.95 13.38 5.56 8.77 9.52 10.81 10.47 10.63 1 Not Annualized
Market Price Performance History Since Inception (11/26/86)
Cumulative Performance of Investment through 6/30/171 1-YR 5-YR 10-YR 15-YR 20-YR SINCE INCEPTION (11/26/86) RVT 33.8% 92.2% 55.2% 215.6% 549.8% 1746.1%

Reflects the cumulative performance of an investment made by a stockholder who purchased one share at inception ($10.00 IPO), reinvested all distributions and fully participated in primary subscriptions of the Fund's rights offerings.

Reflects the actual month-end market price movement of one share as it has traded on the NYSE.

Top 10 Positions % of Net Assets Coherent 1.7 HEICO Corporation 1.4 Cognex Corporation 1.3 Quaker Chemical 1.2 E-L Financial 1.0 Copart 1.0 Ash Grove Cement Cl. B 1.0 Nautilus 1.0 ManpowerGroup 0.9 RBC Bearings 0.9
Portfolio Sector Breakdown % of Net Assets Industrials 30.6 Information Technology 17.9 Financials 14.9 Consumer Discretionary 11.0 Materials 7.5 Health Care 5.7 Energy 4.1 Real Estate 3.0 Consumer Staples 2.2 Telecommunication Services 0.6 Utilities 0.1 Miscellaneous 2.2 Cash and Cash Equivalents, Net of
Outstanding Line of Credit 0.2
Calendar Year Total Returns (%) YEAR RVT 2016 26.8 2015 -8.1 2014 0.8 2013 34.1 2012 15.4 2011 -10.1 2010 30.3 2009 44.6 2008 -45.6 2007 5.0 2006 19.5 2005 8.4 2004 21.4 2003 40.8 2002 -15.6
Portfolio Diagnostics Fund Net Assets $1,361 million Number of Holdings 448 Turnover Rate 8% Net Asset Value $16.37 Market Price $14.59 Average Market Capitalization1 $1,590 million Weighted Average P/E Ratio2,3 21.3x Weighted Average P/B Ratio2 2.2x Active Share4 89% U.S. Investments (% of Net Assets) 82.3% Non-U.S. Investments (% of Net Assets) 17.5% 1

The Fund’s P/E ratio calculation excludes companies with zero or negative earnings (16% of portfolio holdings as of 6/30/17).

Active Share is the sum of the absolute values of the different weightings of each holding in the Fund versus each holding in the benchmark, divided by two.

Important Performance and Risk Information

All performance information reflects past performance, is presented on a total return basis, net of the Fund’s investment advisory fee, and reflects the reinvestment of distributions. Past performance is no guarantee of future results. Current performance may be higher or lower than performance quoted. Returns as of the most recent month-end may be obtained at www.roycefunds.com. Certain immaterial adjustments were made to the net assets of Royce Value Trust at 12/31/16 for financial reporting purposes, and as a result the net asset value originally calculated on that date and the total return based on that net asset value differs from the adjusted net asset value and total return reported in the Financial Highlights. The market price of the Fund’s shares will fluctuate, so that shares may be worth more or less than their original cost when sold. The Fund invests primarily in securities of small- and micro-cap companies, which may involve considerably more risk than investing in larger-cap companies. The Fund’s broadly diversified portfolio does not ensure a profit or guarantee against loss. Regarding the “Top Contributors” and “Top Detractors” tables shown above, the sum of all contributors to, and all detractors from, performance for all securities in the portfolio would approximate the Fund’s year-to date performance for 2017.

2017 Semiannual Report to Stockholders | 39

Royce Value Trust

Schedule of Investments Common Stocks – 99.8% SHARES VALUE CONSUMER DISCRETIONARY – 11.0% AUTO COMPONENTS - 1.4%

Cooper Tire & Rubber

86,700 $ 3,129,870

Gentex Corporation

222,170 4,214,565

LCI Industries

74,016 7,579,238

Sebang Global Battery

28,500 990,146

Standard Motor Products

50,391 2,631,418 18,545,237 AUTOMOBILES - 0.7%

Thor Industries1

91,310 9,543,721 DISTRIBUTORS - 0.8%

Core-Mark Holding Company

220,900 7,302,954

Fenix Parts2,3

255,000 107,355

Uni-Select

30,200 729,383

Weyco Group

97,992 2,732,017 10,871,709 DIVERSIFIED CONSUMER SERVICES - 0.8%

Adtalem Global Education3

52,054 1,975,449

American Public Education3

42,400 1,002,760

Cambium Learning Group3

100,000 507,000

Collectors Universe

50,000 1,242,500

H&R Block

8,000 247,280

Liberty Tax Cl. A

151,573 1,962,871

Lincoln Educational Services3

330,600 1,024,860

Regis Corporation3

40,000 410,800

Universal Technical Institute3

504,032 1,799,394 10,172,914 HOTELS, RESTAURANTS & LEISURE - 0.4%

Biglari Holdings3

1,500 599,610

Century Casinos3

222,360 1,638,793

Lindblad Expeditions Holdings3

207,600 2,179,800

Rank Group

400,000 1,235,764

Zoe’s Kitchen3

15,000 178,650 5,832,617 HOUSEHOLD DURABLES - 2.3%

AV Homes3

66,100 1,325,305

Cavco Industries3

14,700 1,905,855

Ethan Allen Interiors

231,000 7,461,300

Flexsteel Industries

13,900 752,129

Mohawk Industries1,3,4

22,400 5,413,856

Natuzzi ADR3

2,096,300 5,555,195

PICO Holdings3

409,400 7,164,500

Samson Holding

2,500,000 204,932

Stanley Furniture5

912,235 1,030,826 30,813,898 INTERNET & DIRECT MARKETING RETAIL - 0.5%

CafePress 3

110,000 284,900

FTD Companies3

298,014 5,960,280 6,245,180 LEISURE PRODUCTS - 1.1%

Character Group

91,500 575,015

MCBC Holdings3

84,500 1,651,975

Nautilus3

677,500 12,974,125 15,201,115 MEDIA - 0.4%

E.W. Scripps Company Cl. A1,3,4

64,460 1,148,033

Entravision Communications Cl. A

108,200 714,120

Global Eagle Entertainment3

110,000 391,600

Gray Television3

50,000 685,000

New Media Investment Group

60,100 810,148

Pico Far East Holdings

3,484,400 1,459,374

T4F Entretenimento

150,000 278,457

Technicolor

120,000 523,287 6,010,019 MULTILINE RETAIL - 0.0%

New World Department Store China3

1,447,500 357,822 SPECIALTY RETAIL - 1.3%

AutoCanada

78,800 1,159,396

Barnes & Noble

47,000 357,200

Barnes & Noble Education3

20,000 212,600

Buckle (The)1

36,115 642,847

Byggmax Group

70,000 508,920

Caleres 1

132,300 3,675,294

Container Store Group (The)1,3,4

158,200 936,544

Destination Maternity3

557,967 1,807,813

Haverty Furniture

23,700 594,870

I.T

827,000 407,809

Monro Muffler Brake

111,500 4,655,125

Oriental Watch Holdings

967,900 210,751

Topps Tiles

750,000 805,891

TravelCenters of America LLC3

92,500 379,250

West Marine

131,100 1,684,635 18,038,945 TEXTILES, APPAREL & LUXURY GOODS - 1.3%

Crown Crafts

97,741 674,413

Culp

29,400 955,500

Deckers Outdoor3

14,920 1,018,439

J.G. Boswell Company2

3,940 2,588,580

Movado Group

67,261 1,698,341

Wolverine World Wide

360,200 10,089,202

YGM Trading

1,082,600 1,006,689 18,031,164 Total (Cost $130,786,940) 149,664,341 CONSUMER STAPLES – 2.2% BEVERAGES - 0.2%

Compania Cervecerias Unidas ADR1

99,500 2,610,880 FOOD & STAPLES RETAILING - 0.0%

Conviviality

90,000 361,039 FOOD PRODUCTS - 1.8%

AGT Food and Ingredients

9,000 161,567

Cal-Maine Foods3

84,316 3,338,913

Farmer Bros.3

54,700 1,654,675

Hilton Food Group

75,000 720,906

Industrias Bachoco ADR

43,495 2,521,840

John B. Sanfilippo & Son

17,200 1,085,492

Lancaster Colony

8,200 1,005,484

Sanderson Farms

15,000 1,734,750

Seneca Foods Cl. A3

147,605 4,583,135

Seneca Foods Cl. B3

13,840 498,240

SunOpta 1,3,4

187,459 1,912,082

Tootsie Roll Industries1

155,308 5,412,484 24,629,568 HOUSEHOLD PRODUCTS - 0.0%

Central Garden & Pet3

10,300 327,437 PERSONAL PRODUCTS - 0.2%

Inter Parfums

63,730 2,335,705 Total (Cost $23,077,724) 30,264,629
40 | 2017 Semiannual Report to Stockholders THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS

June 30, 2017 (unaudited)
Schedule of Investments (continued) SHARES VALUE ENERGY – 4.1% ENERGY EQUIPMENT & SERVICES - 3.1%

CARBO Ceramics1,3,4

48,000 $ 328,800

Diamond Offshore Drilling1,3,4

189,000 2,046,870

Era Group3

535,771 5,068,394

Forum Energy Technologies3

118,654 1,851,002

Frank’s International1,4

108,600 900,294

Helmerich & Payne1,4

89,000 4,836,260

ION Geophysical1,3,4

71,880 312,678

Oil States International3

65,833 1,787,366

Pason Systems

503,480 7,508,716

Pioneer Energy Services3

138,100 283,105

Precision Drilling3

73,100 249,271

SEACOR Holdings3

150,469 5,161,087

TGS-NOPEC Geophysical

425,870 8,727,816

Trican Well Service3

944,000 2,642,443 41,704,102 OIL, GAS & CONSUMABLE FUELS - 1.0%

Ardmore Shipping

61,600 502,040

Dorchester Minerals L.P.

177,172 2,560,135

Dorian LPG3

184,034 1,505,398

Green Plains

50,000 1,027,500

Hallador Energy

21,000 163,170

Hargreaves Services

57,683 252,998

New Zealand Refining

310,000 554,290

San Juan Basin Royalty Trust

320,352 2,181,597

World Fuel Services

110,800 4,260,260

WPX Energy3

110,000 1,062,600 14,069,988 Total (Cost $69,549,196) 55,774,090 FINANCIALS – 14.9% BANKS - 2.4%

Banca Sistema

200,000 539,095

Bank of N.T. Butterfield & Son

178,416 6,083,986

Blue Hills Bancorp

54,080 968,032

Canadian Western Bank

279,500 5,901,226

Farmers & Merchants Bank of Long Beach2

1,080 8,262,000

Fauquier Bankshares

160,800 3,095,400

First Citizens BancShares Cl. A

14,676 5,469,745

Webster Financial

40,300 2,104,466 32,423,950 CAPITAL MARKETS - 8.0%

Ares Management L.P.

366,300 6,593,400

Artisan Partners Asset Management Cl. A

270,500 8,304,350

ASA Gold and Precious Metals

199,821 2,335,908

Ashmore Group

1,354,000 6,228,741

Associated Capital Group Cl. A1

20,200 686,800

Citadel Capital3

8,549,921 377,480

Cowen Group3

62,706 1,018,973

Dundee Corporation Cl. A3

1,079,900 2,373,315

Edmond de Rothschild (Suisse)

153 2,608,770

Federated Investors Cl. B

108,640 3,069,080

Gluskin Sheff + Associates

57,600 743,985

Houlihan Lokey Cl. A

91,100 3,179,390

Jupiter Fund Management

230,000 1,512,795

KKR & Co. L.P.

24,100 448,260

Lazard Cl. A

99,535 4,611,457

Manning & Napier Cl. A

395,692 1,721,260

MarketAxess Holdings

56,600 11,382,260

Medley Management Cl. A1,4

109,500 711,750

Morningstar

84,600 6,627,564

mutares

39,266 609,031

MVC Capital

324,200 3,196,612

Oaktree Capital Group LLC Cl. A

101,100 4,711,260

Rothschild & Co

216,893 7,917,268

SEI Investments

185,600 9,981,568

Sprott

1,927,000 3,388,001

TMX Group

40,700 2,214,522

U.S. Global Investors Cl. A

520,551 796,443

Value Partners Group

5,453,000 4,965,876

Virtu Financial Cl. A

101,200 1,786,180

Virtus Investment Partners

3,930 436,034

Westwood Holdings Group

49,073 2,781,948

ZAIS Group Holdings Cl. A1,3,4

492,300 1,147,059 108,467,340 CONSUMER FINANCE - 0.1%

Bajaj Finance

55,000 1,168,752

Currency Exchange International3

30,000 608,421 1,777,173 DIVERSIFIED FINANCIAL SERVICES - 0.1%

First Pacific

1,020,000 752,512

Waterloo Investment Holdings3,6

2,973,544 892,063 1,644,575 INSURANCE - 2.7%

Alleghany Corporation3

709 421,713

Atlas Financial Holdings3

48,900 728,610

E-L Financial

21,500 14,009,485

Erie Indemnity Cl. A

25,000 3,126,750

Independence Holding Company

314,523 6,431,995

MBIA 3

942,400 8,886,832

ProAssurance Corporation

17,139 1,042,051

RLI Corp.

46,300 2,528,906

WMIH 3

77,742 97,178 37,273,520 INVESTMENT COMPANIES - 0.2%

RIT Capital Partners

130,500 3,231,124 THRIFTS & MORTGAGE FINANCE - 1.4%

BofI Holding1,3,4

16,300 386,636

Genworth MI Canada

239,395 6,586,685

Timberland Bancorp5

444,200 11,224,934

Vestin Realty Mortgage II2,3

53 117,130 18,315,385 Total (Cost $173,007,388) 203,133,067 HEALTH CARE – 5.7% BIOTECHNOLOGY - 1.1%

Keryx Biopharmaceuticals1,3,4

139,000 1,004,970

Novavax 1,3,4

550,000 632,500

Sangamo Therapeutics3

469,315 4,129,972

Zealand Pharma3

479,607 9,613,725 15,381,167 HEALTH CARE EQUIPMENT & SUPPLIES - 2.0%

Analogic Corporation

53,735 3,903,848

Atrion Corporation

15,750 10,131,975

Cerus Corporation3

108,000 271,080

Hill-Rom Holdings

5,000 398,050

Integer Holdings3

42,400 1,833,800
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS 2017 Semiannual Report to Stockholders | 41

Royce Value Trust

Schedule of Investments (continued) SHARES VALUE HEALTH CARE (continued) HEALTH CARE EQUIPMENT & SUPPLIES (continued)

Invacare Corporation

38,900 $ 513,480

Masimo Corporation3

50,000 4,559,000

Neogen Corporation3

16,800 1,161,048

Surmodics 3

138,500 3,898,775 26,671,056 HEALTH CARE PROVIDERS & SERVICES - 1.0%

Aceto Corporation

18,800 290,460

AMN Healthcare Services3

74,300 2,901,415

Community Health Systems3

790,000 7,868,400

Landauer

50,000 2,615,000 13,675,275 HEALTH CARE TECHNOLOGY - 0.6%

†athenahealth1,3,4

32,500 4,567,875

Cegedim 3

10,000 347,213

Medidata Solutions3

50,000 3,910,000 8,825,088 LIFE SCIENCES TOOLS & SERVICES - 0.9%

Bio-Rad Laboratories Cl. A3

26,998 6,109,917

Bio-Techne

46,243 5,433,553

Dyadic International2,3

75,000 101,250 11,644,720 PHARMACEUTICALS - 0.1%

Intra-Cellular Therapies3

30,000 372,600

Theravance Biopharma3

34,291 1,366,153 1,738,753 Total (Cost $49,830,571) 77,936,059 INDUSTRIALS – 30.6% AEROSPACE & DEFENSE - 2.7%

Austal

688,670 968,640

Ducommun 3

117,200 3,701,176

HEICO Corporation

175,422 12,602,316

HEICO Corporation Cl. A

101,010 6,267,671

Magellan Aerospace

182,779 2,852,751

Mercury Systems3

25,400 1,069,086

Teledyne Technologies3

20,600 2,629,590

Wesco Aircraft Holdings3

588,000 6,379,800 36,471,030 AIR FREIGHT & LOGISTICS - 1.8%

Expeditors International of Washington

158,900 8,974,672

Forward Air

179,750 9,577,080

Hub Group Cl. A1,3

149,400 5,729,490 24,281,242 BUILDING PRODUCTS - 0.6%

American Woodmark3

17,100 1,633,905

Apogee Enterprises1

48,700 2,768,108

Burnham Holdings Cl. B2

36,000 545,400

DIRTT Environmental Solutions3

65,000 343,345

Epwin Group

70,000 100,289

Insteel Industries1

79,380 2,617,159

Patrick Industries3

9,850 717,572 8,725,778 COMMERCIAL SERVICES & SUPPLIES - 2.7%

Atento 3

271,200 3,023,880

CECO Environmental

99,028 909,077

CompX International Cl. A

211,100 3,219,275

Copart3

439,920 13,985,057

Heritage-Crystal Clean3

152,527 2,425,179

Kimball International Cl. B

286,180 4,776,344

Mobile Mini

105,000 3,134,250

Steelcase Cl. A

256,260 3,587,640

UniFirst Corporation

13,370 1,881,159 36,941,861 CONSTRUCTION & ENGINEERING - 3.5%

Aecon Group

34,500 429,388

Ameresco Cl. A3

55,000 423,500

Comfort Systems USA

48,100 1,784,510

EMCOR Group1

121,300 7,930,594

IES Holdings3

594,244 10,785,528

Jacobs Engineering Group

164,900 8,968,911

KBR

326,000 4,961,720

Northwest Pipe3

20,000 325,200

NV5 Global3

23,500 998,750

Sterling Construction1,3

122,300 1,598,461

Valmont Industries1

65,145 9,745,692 47,952,254 ELECTRICAL EQUIPMENT - 0.7%

Global Power Equipment Group2,3

631,820 2,021,824

Powell Industries

94,500 3,023,055

Preformed Line Products

91,600 4,252,072 9,296,951 INDUSTRIAL CONGLOMERATES - 0.6%

A. Soriano

2,791,000 348,460

Raven Industries

251,725 8,382,443 8,730,903 MACHINERY - 11.2%

Chen Hsong Holdings

1,159,000 317,679

China Metal International Holdings

554,524 206,683

CIRCOR International

101,384 6,020,182

Colfax Corporation3

77,242 3,041,017

Deutz

115,000 969,736

Donaldson Company

193,559 8,814,677

Exco Technologies

205,700 1,694,075

Franklin Electric

104,600 4,330,440

Graco

89,276 9,756,081

Greenbrier Companies (The)

46,800 2,164,500

Hurco Companies

25,952 901,832

Hyster-Yale Materials Handling Cl. A

10,000 702,500

IDEX Corporation

67,400 7,616,874

John Bean Technologies

68,626 6,725,348

Kadant

42,200 3,173,440

Kennametal

160,100 5,990,942

Lincoln Electric Holdings

61,360 5,650,642

Lindsay Corporation1

80,000 7,140,000

Luxfer Holdings ADR

28,100 359,399

Lydall 1,3

55,480 2,868,316

308,700 8,473,815

Nordson Corporation

24,296 2,947,591

Proto Labs3

10,000 672,500

RBC Bearings3

123,700 12,587,712

Sarine Technologies

327,500 366,334

Sun Hydraulics

286,318 12,217,189

†Supreme Industries Cl. A1

141,300 2,324,385

Tennant Company

111,900 8,258,220

Titan International

173,100 2,078,931

Wabash National

43,600 958,328
42 | 2017 Semiannual Report to Stockholders THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS

June 30, 2017 (unaudited)
Schedule of Investments (continued) SHARES VALUE INDUSTRIALS (continued) MACHINERY (continued)

Watts Water Technologies Cl. A

61,000 $ 3,855,200

Westinghouse Air Brake Technologies

90,570 8,287,155

Westport Fuel Systems1,3

327,100 768,685

Woodward

154,600 10,447,868 152,688,276 MARINE - 1.4%

Clarkson

291,000 9,573,864

Kirby Corporation3

144,500 9,659,825 19,233,689 PROFESSIONAL SERVICES - 3.0%

Advisory Board (The)1,3,4

209,377 10,782,915

Franklin Covey3

40,800 787,440

Heidrick & Struggles International

66,480 1,445,940

ICF International3

6,336 298,426

ManpowerGroup

112,858 12,600,596

On Assignment1,3,4

179,295 9,708,824

Quess Corporation3

15,720 223,515

Robert Half International

44,032 2,110,454

TrueBlue 3

75,820 2,009,230

Volt Information Sciences3

75,000 296,250 40,263,590 ROAD & RAIL - 1.8%

Genesee & Wyoming Cl. A3

15,000 1,025,850

Knight Transportation1,4

122,400 4,534,920

Landstar System

142,460 12,194,576

Patriot Transportation Holding3

139,100 2,485,717

Saia 1,3,4

59,730 3,064,149

Universal Logistics Holdings

78,916 1,183,740 24,488,952 TRADING COMPANIES & DISTRIBUTORS - 0.5%

Central Steel & Wire2

4,862 2,674,100

Houston Wire & Cable3

509,200 2,673,300

MSC Industrial Direct Cl. A1

5,463 469,600

SIG

350,000 677,404 6,494,404 TRANSPORTATION INFRASTRUCTURE - 0.1%

Hopewell Highway Infrastructure

1,012,000 581,993 Total (Cost $240,658,301) 416,150,923 INFORMATION TECHNOLOGY – 17.9% COMMUNICATIONS EQUIPMENT - 0.5%

ADTRAN 1,4

234,973 4,852,192

Clearfield 1,3,4

55,600 733,920

NetScout Systems3

31,100 1,069,840

Oclaro 1,3,4

91,000 849,940 7,505,892 ELECTRONIC EQUIPMENT, INSTRUMENTS & COMPONENTS - 9.0%

Anixter International1,3,4

70,895 5,543,989

Bel Fuse Cl. B

30,238 746,878

Celestica 3

169,600 2,303,168

Cognex Corporation1,4

201,870 17,138,763

Coherent3

100,534 22,619,145

Dolby Laboratories Cl. A

9,150 447,984

Fabrinet 3

60,600 2,585,196

FARO Technologies3

161,467 6,103,453

FLIR Systems

317,000 10,987,220

HollySys Automation Technologies

53,882 894,980

Horiba

12,000 728,695

IPG Photonics1,3,4

58,000 8,415,800

LRAD Corporation3

744,944 1,258,955

Methode Electronics

30,530 1,257,836

National Instruments

261,850 10,531,607

Orbotech 3

34,500 1,125,390

Perceptron 3

357,700 2,604,056

Plexus Corporation3

150,600 7,917,042

Richardson Electronics

573,732 3,425,180

Rogers Corporation3

57,066 6,198,509

Systemax

38,520 724,176

TTM Technologies1,3,4

496,400 8,617,504

VST Holdings

979,000 295,928

Wasion Group Holdings

1,500,000 691,647 123,163,101 INTERNET SOFTWARE & SERVICES - 2.0%

Actua Corporation3

63,815 896,601

Care.com 3

209,300 3,160,430

CommerceHub Ser. C3

50,000 872,000

comScore 2,3

211,136 5,531,763

HolidayCheck Group3

44,900 157,386

IZEA 3

110,106 210,302

j2 Global

61,620 5,243,246

Leaf Group3

50,000 390,000

MiX Telematics ADR

57,985 456,922

QuinStreet 3

526,082 2,193,762

Solium Capital3

182,800 1,382,841

Spark Networks1,3

363,000 348,480

Stamps.com 3

37,500 5,807,813

Support.com 3

216,766 507,232 27,158,778 IT SERVICES - 1.0%

Acxiom Corporation3

48,000 1,247,040

Convergys Corporation1

121,000 2,877,380

DST Systems1,4

20,000 1,234,000

Hackett Group (The)

417,266 6,467,623

Innodata 3

274,314 480,050

Unisys Corporation3

60,000 768,000 13,074,093 SEMICONDUCTORS & SEMICONDUCTOR EQUIPMENT - 2.8%

Amtech Systems3

141,471 1,194,015

Brooks Automation

121,000 2,624,490

Cabot Microelectronics

14,000 1,033,620

CyberOptics Corporation3

37,600 776,440

Diodes 3

270,850 6,508,526

Intermolecular 3

40,000 37,200

Kulicke & Soffa Industries3

77,400 1,472,148

MKS Instruments

24,210 1,629,333

Nanometrics 3

61,000 1,542,690

Nova Measuring Instruments3

46,500 1,027,185

Photronics 3

159,900 1,503,060

Rudolph Technologies1,3

62,700 1,432,695

Sigma Designs3

78,900 461,565

Silicon Motion Technology ADR

97,000 4,678,310

Teradyne

130,000 3,903,900

Ultra Clean Holdings3

42,800 802,500

Veeco Instruments3

17,500 487,375

Versum Materials

123,000 3,997,500
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS 2017 Semiannual Report to Stockholders | 43

Royce Value Trust

Schedule of Investments (continued) SHARES VALUE INFORMATION TECHNOLOGY (continued) SEMICONDUCTORS & SEMICONDUCTOR EQUIPMENT (continued)

Xperi

111,430 $ 3,320,614 38,433,166 SOFTWARE - 1.9%

American Software Cl. A

108,690 1,118,420

ANSYS1,3,4

95,000 11,559,600

BroadSoft 3

25,000 1,076,250

Computer Modelling Group

316,300 2,482,984

Micro Focus International

25,000 739,466

Model N3

300,387 3,995,147

Monotype Imaging Holdings

117,700 2,153,910

PSI

18,194 292,690

RealNetworks 3

219,879 952,076

Rosetta Stone3

40,000 431,200

SeaChange International3

247,069 657,204 25,458,947 TECHNOLOGY HARDWARE, STORAGE & PERIPHERALS - 0.7%

Diebold Nixdorf

266,600 7,464,800

Intevac 3

168,700 1,872,570 9,337,370 Total (Cost $158,446,124) 244,131,347 MATERIALS – 7.5% CHEMICALS - 2.3%

FutureFuel Corporation

48,500 731,865

Hawkins

86,178 3,994,350

Innospec

36,883 2,417,681

Minerals Technologies

108,793 7,963,647

Quaker Chemical

109,669 15,927,229 31,034,772 CONSTRUCTION MATERIALS - 1.0%

Ash Grove Cement Cl. B2

50,518 13,387,775 CONTAINERS & PACKAGING - 0.3%

Mayr-Melnhof Karton

34,000 4,446,389 METALS & MINING - 3.8%

Alamos Gold Cl. A

263,300 1,867,952

Ampco-Pittsburgh

36,966 545,249

Constellium Cl. A3

70,000 483,000

Ferroglobe

50,000 597,500

Ferroglobe (Warranty Insurance Trust)3,6

49,300 0

Franco-Nevada Corporation

107,300 7,742,768

Gold Fields ADR

370,000 1,287,600

Haynes International1

113,900 4,135,709

Hecla Mining

321,300 1,638,630

Lundin Mining

640,000 3,637,261

Major Drilling Group International3

960,900 6,290,901

Pretium Resources3

165,000 1,585,364

Reliance Steel & Aluminum

128,720 9,372,103

Royal Gold

16,600 1,297,622

Sandstorm Gold3

270,000 1,044,900

Synalloy Corporation3

178,800 2,029,380

Tree Island Steel

30,000 90,685

Worthington Industries

148,000 7,432,560 51,079,184 PAPER & FOREST PRODUCTS - 0.1%

Stella-Jones

40,300 1,375,446 Total (Cost $59,812,511) 101,323,566
REAL ESTATE – 3.0% EQUITY REAL ESTATE INVESTMENT TRUSTS (REITS) - 0.0%

Irish Residential Properties REIT

200,000 310,665 REAL ESTATE MANAGEMENT & DEVELOPMENT - 3.0%

Altus Group

24,200 523,077

FirstService Corporation

135,100 8,643,698

Forestar Group3

81,000 1,389,150

FRP Holdings3

178,558 8,240,452

Kennedy-Wilson Holdings

101,300 1,929,765

Marcus & Millichap3

273,013 7,196,622

Real Estate Investors

500,000 393,991

RMR Group Cl. A1

27,200 1,323,280

St. Joe Company (The)3

177,000 3,318,750

Tejon Ranch3

360,035 7,431,122 40,389,907 Total (Cost $29,473,281) 40,700,572 TELECOMMUNICATION SERVICES – 0.6% DIVERSIFIED TELECOMMUNICATION SERVICES - 0.1%

China Communications Services

750,182 432,384

HKBN

500,000 501,444 933,828 WIRELESS TELECOMMUNICATION SERVICES - 0.5%

Boingo Wireless3

50,000 748,000

Telephone and Data Systems

208,270 5,779,493 6,527,493 Total (Cost $6,918,793) 7,461,321 UTILITIES – 0.1% GAS UTILITIES - 0.1%

Shizuoka Gas

110,000 731,540

Toho Gas

60,000 436,364 1,167,904 INDEPENDENT POWER & RENEWABLE ELECTRICITY PRODUCER - 0.0%

Calpine Corporation3

30,000 405,900 MULTI-UTILITIES - 0.0%

Just Energy Group1

18,520 97,045 Total (Cost $1,561,806) 1,670,849 MISCELLANEOUS7 – 2.2% Total (Cost $29,970,345) 29,755,191 TOTAL COMMON STOCKS (Cost $973,092,980) 1,357,965,955 REPURCHASE AGREEMENT– 5.0%

Fixed Income Clearing Corporation, 0.12% dated 6/30/17, due 7/3/17, maturity value
$68,755,688 (collateralized by obligations of various U.S. Government Agencies, 2.25%-
2.375% due 8/15/24-11/15/24, valued at $70,132,893)

(Cost $68,755,000) 68,755,000 TOTAL INVESTMENTS – 104.8% (Cost $1,041,847,980) 1,426,720,955 LIABILITIES LESS CASH AND OTHER ASSETS – (4.8)% (65,914,590 ) NET ASSETS – 100.0% $ 1,360,806,365
44 | 2017 Semiannual Report to Stockholders THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS

June 30, 2017 (unaudited)
† New additions in 2017. 1

These securities are defined as Level 2 securities due to fair value being based on quoted prices for similar securities. See Notes to Financial Statements.

3 Non-income producing. 4

At June 30, 2017, a portion of these securities were rehypothecated in connection with the Fund’s revolving credit agreement in the aggregate amount of $66,420,057.

At June 30, 2017, the Fund owned 5% or more of the Company’s outstanding voting securities thereby making the Company an Affiliated Company as that term is defined in the Investment Company Act of 1940. See Notes to Financial Statements.

7 Includes securities first acquired in 2017 and less than 1% of net assets. Bold indicates the Fund’s 20 largest equity holdings in terms of June 30, 2017, market value.

TAX INFORMATION: The cost of total investments for Federal income tax purposes was $1,044,320,297. At June 30, 2017, net unrealized appreciation for all securities was $382,400,658, consisting of aggregate gross unrealized appreciation of $471,036,166 and aggregate gross unrealized depreciation of $88,635,508. The primary cause of the difference between book and tax basis cost is the timing of the recognition of losses on securities sold.

THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS 2017 Semiannual Report to Stockholders | 45

Royce Value Trust June 30, 2017 (unaudited)
Statement of Assets and Liabilities ASSETS: Investments at value

Non-Affiliated Companies

$ 1,345,710,195

Affiliated Companies

12,255,760 Repurchase agreements (at cost and value) 68,755,000 Cash and foreign currency 280,471 Receivable for investments sold 4,042,117 Receivable for dividends and interest 906,311 Prepaid expenses and other assets 600,253 Total Assets 1,432,550,107 LIABILITIES: Revolving credit agreement 70,000,000 Payable for investments purchased 943,432 Payable for investment advisory fee 496,668 Payable for directors’ fees 48,125 Payable for interest expense 8,745 Accrued expenses 140,880 Deferred capital gains tax 105,892 Total Liabilities 71,743,742 Net Assets $ 1,360,806,365 ANALYSIS OF NET ASSETS: Paid-in capital - $0.001 par value per share; 83,108,427 shares outstanding (150,000,000 shares authorized) $ 981,272,685 Undistributed net investment income (loss) 2,033,021 Accumulated net realized gain (loss) on investments and foreign currency 36,276,725 Net unrealized appreciation (depreciation) on investments and foreign currency 384,752,871 Quarterly distributions (43,528,937 ) Net Assets (net asset value per share - $16.37) $ 1,360,806,365 Investments at identified cost $ 973,092,980
46 | 2017 Semiannual Report to Stockholders THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS

Royce Value Trust

Statement of Changes in Net Assets SIX MONTHS ENDED 6/30/17 (UNAUDITED) YEAR ENDED 12/31/16 INVESTMENT OPERATIONS: Net investment income (loss) $ 3,992,392 $ 9,680,260 Net realized gain (loss) on investments and foreign currency 26,622,919 75,719,009 Net change in unrealized appreciation (depreciation) on investments and foreign currency 59,248,466 186,502,762 Net increase (decrease) in net assets from investment operations 89,863,777 271,902,031 DISTRIBUTIONS: Net investment income (3,482,315 )1 (10,786,801 ) Net realized gain on investments and foreign currency (29,164,388 )1 (70,931,388 ) Return of capital (10,882,234 )1 – Total distributions (43,528,937 ) (81,718,189 ) CAPITAL STOCK TRANSACTIONS: Reinvestment of distributions 18,459,813 33,793,124 Total capital stock transactions 18,459,813 33,793,124 Net Increase (Decrease) In Net Assets 64,794,653 223,976,966 NET ASSETS: Beginning of period 1,296,011,712 1,072,034,746 End of period (including undistributed net investment income (loss) of $2,033,021 at 6/30/17 and $(1,959,371) at 12/31/16) $ 1,360,806,365 $ 1,296,011,712 1 Amounts are subject to change and recharacterization at year end.
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS 2017 Semiannual Report to Stockholders | 47

Royce Value Trust Six Months Ended June 30, 2017 (unaudited)
Statement of Operations INVESTMENT INCOME: INCOME: Dividends

Non-Affiliated Companies

$ 8,351,412

Affiliated Companies

97,724 Foreign withholding tax (229,771 ) Interest 112,157 Rehypothecation income 13,888 Total income 8,345,410 EXPENSES: Investment advisory fees 2,959,024 Interest expense 733,983 Stockholder reports 192,588 Administrative and office facilities 159,233 Custody and transfer agent fees 95,490 Directors’ fees 83,239 Professional fees 81,518 Other expenses 48,216 Total expenses 4,353,291 Compensating balance credits (273 ) Net expenses 4,353,018 Net investment income (loss) 3,992,392 REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS AND FOREIGN CURRENCY: NET REALIZED GAIN (LOSS): Investments 26,582,541 Foreign currency transactions 40,378 NET CHANGE IN UNREALIZED APPRECIATION (DEPRECIATION): Investments in Non-Affiliated Companies and foreign currency translations 57,058,047 Investments in Affiliated Companies 2,257,394 Other assets and liabilities denominated in foreign currency (66,975 ) Net realized and unrealized gain (loss) on investments and foreign currency 85,871,385 NET INCREASE (DECREASE) IN NET ASSETS FROM INVESTMENT OPERATIONS $ 89,863,777
48 | 2017 Semiannual Report to Stockholders THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS

Royce Value Trust Six Months Ended June 30, 2017 (unaudited)
Statement of Cash Flows CASH FLOWS FROM OPERATING ACTIVITIES: Net increase (decrease) in net assets from investment operations $ 89,863,777 Adjustments to reconcile net increase (decrease) in net assets from investment operations to net cash provided by operating activities:

Purchases of long-term investments

(114,948,208 )

Proceeds from sales and maturities of long-term investments

123,838,636

Net purchases, sales and maturities of short-term investments

12,157,000

Net (increase) decrease in dividends and interest receivable and other assets

373,134

Net increase (decrease) in interest expense payable, accrued expenses and other liabilities

(61,632 )

Net change in unrealized appreciation (depreciation) on investments

(59,315,441 )

Net realized gain (loss) on investments and foreign currency

(26,622,919 ) Net cash provided by operating activities 25,284,347 CASH FLOWS FROM FINANCING ACTIVITIES: Net increase (decrease) in revolving credit agreement – Distributions (43,528,937 ) Reinvestment of distributions 18,459,813 Net cash used for financing activities (25,069,124 ) INCREASE (DECREASE) IN CASH: 215,223 Cash and foreign currency at beginning of period 65,248 Cash and foreign currency at end of period $ 280,471
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS 2017 Semiannual Report to Stockholders | 49

Royce Value Trust Financial Highlights

This table is presented to show selected data for a share of Common Stock outstanding throughout each period, and to assist stockholders in evaluating the Fund’s performance for the periods presented.

SIX MONTHS YEARS ENDED ENDED 6/30/17 (UNAUDITED) 12/31/16 12/31/15 12/31/14 12/31/13 12/31/12 Net Asset Value, Beginning of Period $ 15.85 $ 13.56 $ 16.24 $ 18.17 $ 15.40 $ 14.18 INVESTMENT OPERATIONS: Net investment income (loss) 0.05 0.12 0.12 0.12 0.12 0.23 Net realized and unrealized gain (loss) on investments and
foreign currency 1.03 3.27 (1.48 ) (0.13 ) 4.89 2.02 Total investment operations 1.08 3.39 (1.36 ) (0.01 ) 5.01 2.25 DISTRIBUTIONS TO PREFERRED STOCKHOLDERS: Net investment income – – – – – (0.04 ) Net realized gain on investments and foreign currency – – – – – (0.13 ) Total distributions to Preferred Stockholders – – – – – (0.17 )

Net Increase (Decrease) in Net Assets Applicable to Common Stockholders from Investment Operations

1.08 3.39 (1.36 ) (0.01 ) 5.01 2.08 DISTRIBUTIONS TO COMMON STOCKHOLDERS: Net investment income (0.04 )1 (0.13 ) (0.16 ) (0.14 ) (0.11 ) (0.17 ) Net realized gain on investments and foreign currency (0.36 )1 (0.89 ) (1.08 ) (1.68 ) (2.08 ) (0.63 ) Return of capital (0.13 )1 – – – – – Total distributions to Common Stockholders (0.53 ) (1.02 ) (1.24 ) (1.82 ) (2.19 ) (0.80 ) CAPITAL STOCK TRANSACTIONS: Effect of reinvestment of distributions by Common Stockholders (0.03 ) (0.08 ) (0.08 ) (0.10 ) (0.05 ) (0.06 ) Total capital stock transactions (0.03 ) (0.08 ) (0.08 ) (0.10 ) (0.05 ) (0.06 ) Net Asset Value, End of Period $ 16.37 $ 15.85 $ 13.56 $ 16.24 $ 18.17 $ 15.40 Market Value, End of Period $ 14.59 $ 13.39 $ 11.77 $ 14.33 $ 16.01 $ 13.42 TOTAL RETURN:2 Net Asset Value 7.22 %3 26.87 % (8.09 )% 0.78 % 34.14 % 15.41 % Market Value 13.12 %3 23.48 % (9.59 )% 0.93 % 35.63 % 16.22 %

RATIOS BASED ON AVERAGE NET ASSETS APPLICABLE TO COMMON STOCKHOLDERS:

Investment advisory fee expense4 0.45 %5 0.51 % 0.50 % 0.46 % 0.54 % 0.56 % Other operating expenses 0.21 %5 0.22 % 0.18 % 0.15 % 0.25 % 0.15 % Total expenses (net)6 0.66 %5 0.73 % 0.68 % 0.61 % 0.79 % 0.71 % Expenses net of fee waivers and excluding interest expense 0.55 %5 0.62 % 0.61 % 0.55 % 0.65 % 0.68 % Expenses prior to fee waivers and balance credits 0.66 %5 0.73 % 0.68 % 0.61 % 0.79 % 0.71 % Expenses prior to fee waivers 0.66 %5 0.73 % 0.68 % 0.61 % 0.79 % 0.71 % Net investment income (loss) 0.60 %5 0.85 % 0.78 % 0.72 % 0.70 % 1.57 % SUPPLEMENTAL DATA: Net Assets Applicable to Common Stockholders,
End of Period (in thousands) $ 1,360,806 $ 1,296,012 $ 1,072,035 $ 1,231,955 $ 1,307,829 $ 1,082,426 Portfolio Turnover Rate 8 % 28 % 35 % 40 % 33 % 25 % REVOLVING CREDIT AGREEMENT: Asset coverage 2044 % 1951 % 1631 % 1860 % 1289 % 822 % Asset coverage per $1,000 $ 20,440 $ 19,514 $ 16,315 $ 18,599 $ 12,889 $ 8,216
1

Amounts are subject to change and recharacterization at year end.

The Market Value Total Return is calculated assuming a purchase of Common Stock on the opening of the first business day and a sale on the closing of the last business day of each period. Dividends and distributions are assumed for the purposes of this calculation to be reinvested at prices obtained under the Fund’s Distribution Reinvestment and Cash Purchase Plan. Net Asset Value Total Return is calculated on the same basis, except that the Fund’s net asset value is used on the purchase and sale dates instead of market value.

Not annualized

The investment advisory fee is calculated based on average net assets over a rolling 60-month basis, while the above ratios of investment advisory fee expenses are based on the average net assets applicable to Common Stockholders over a 12-month basis.

Annualized

Expense ratio based on total average net assets including liquidation value of Preferred Stock was 0.60% for the year ended December 31, 2012.

50 | 2017 Semiannual Report to Stockholders

THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS

Royce Value Trust

Notes to Financial Statements (unaudited)

Summary of Significant Accounting Policies:

Royce Value Trust, Inc. (the “Fund”), is a diversified closed-end investment company that was incorporated under the laws of the State of Maryland on July 1, 1986. The Fund commenced operations on November 26, 1986.

VALUATION OF INVESTMENTS:

Securities are valued as of the close of trading on the New York Stock Exchange (NYSE) (generally 4:00 p.m. Eastern time) on the valuation date. Securities that trade on an exchange, and securities traded on Nasdaq’s Electronic Bulletin Board, are valued at their last reported sales price or Nasdaq official closing price taken from the primary market in which each security trades or, if no sale is reported for such day, at their highest bid price. Other over-the-counter securities for which market quotations are readily available are valued at their highest bid price, except in the case of some bonds and other fixed income securities which may be valued by reference to other securities with comparable ratings, interest rates and maturities, using established independent pricing services. The Fund values its non-U.S. dollar denominated securities in U.S. dollars daily at the prevailing foreign currency exchange rates as quoted by a major bank. Securities for which market quotations are not readily available are valued at their fair value in accordance with the provisions of the 1940 Act, under procedures approved by the Fund’s Board of Directors, and are reported as Level 3 securities. As a general principle, the fair value of a security is the amount which the Fund might reasonably expect to receive for the security upon its current sale. However, in light of the judgment involved in fair valuations, there can be no assurance that a fair value assigned to a particular security will be the amount which the Fund might be able to receive upon its current sale. In addition, if, between the time trading ends on a particular security and the close of the customary trading session on the NYSE, events occur that are significant and may make the closing price unreliable, the Fund may fair value the security. The Fund uses an independent pricing service to provide fair value estimates for relevant non-U.S. equity securities on days when the U.S. market volatility exceeds a certain threshold. This pricing service uses proprietary correlations it has developed between the movement of prices of non-U.S. equity securities and indices of U.S.-traded securities, futures contracts and other indications to estimate the fair value of relevant non-U.S. securities. When fair value pricing is employed, the prices of securities used by the Fund may differ from quoted or published prices for the same security. Investments in money market funds are valued at net asset value per share.

Various inputs are used in determining the value of the Fund’s investments, as noted above. These inputs are summarized in the three broad levels below:

Level 1 – quoted prices in active markets for identical securities. Level 2 – other significant observable inputs (including quoted prices for similar securities, foreign securities that may be fair valued and repurchase agreements). The table below includes all Level 2 securities. Level 2 securities with values based on quoted prices for similar securities are noted in the Schedule of Investments. Level 3 – significant unobservable inputs (including last trade price before trading was suspended, or at a discount thereto for lack of marketability or otherwise, market price information regarding other securities, information received from the company and/or published documents, including SEC filings and financial statements, or other publicly available information).

The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.

LEVEL 1 LEVEL 2 LEVEL 3 TOTAL Common Stocks $1,321,736,715 $35,337,177 $892,063 $1,357,965,955 Cash Equivalents – 68,755,000 – 68,755,000

Certain securities have transferred in and out of Level 1 and Level 2 measurements during the reporting period. The Fund recognizes transfers between levels as of the end of the reporting period. For the six months ended June 30, 2017, securities valued at $5,639,118 were transferred from Level 1 to Level 2 and securities valued at $82,049,938 were transferred from Level 2 to Level 1 within the fair value hierarchy.

2017 Semiannual Report to Stockholders | 51

Royce Value Trust

Notes to Financial Statements (unaudited) (continued)

VALUATION OF INVESTMENTS (continued):

Level 3 Reconciliation:

BALANCE AS OF 12/31/16 REALIZED AND UNREALIZED
GAIN (LOSS)1 BALANCE AS OF 6/30/17 Common Stocks $892,063 $– $892,063 1 The net change in unrealized appreciation (depreciation) is included in the accompanying Statement of Operations. Change in unrealized appreciation (depreciation) includes net unrealized appreciation (depreciation) resulting from changes in investment values during the reporting period and the reversal of previously recorded unrealized appreciation (depreciation) when gains or losses are realized. Net realized gain (loss) from investments and foreign currency transactions is included in the accompanying Statement of Operations.

FAIR VALUE AT IMPACT TO VALUATION FROM 6/30/17 VALUATION TECHNIQUE(S) UNOBSERVABLE INPUT(S) RANGE AVERAGE AN INCREASE IN INPUT1 Discounted Present Value Common Stocks $892,063 Balance Sheet Analysis Liquidity Discount 30%-40% Decrease 1 This column represents the directional change in the fair value of the Level 3 investments that would result in an increase from the corresponding unobservable input. A decrease to the unobservable input would have the opposite effect. Significant increases and decreases in these unobservable inputs in isolation could result in significantly higher or lower fair value measurements.

REPURCHASE AGREEMENTS:

FOREIGN CURRENCY:

Net realized foreign exchange gains or losses arise from sales and maturities of short-term securities, sales of foreign currencies, expiration of currency forward contracts, currency gains or losses realized between the trade and settlement dates on securities transactions, and the difference between the amounts of dividends, interest, and foreign withholding taxes recorded on the Fund’s books and the U.S. dollar equivalent of the amounts actually received or paid. Net unrealized foreign exchange gains and losses arise from changes in the value of assets and liabilities, including investments in securities at the end of the reporting period, as a result of changes in foreign currency exchange rates.

TAXES:

CAPITAL GAINS TAXES:

DISTRIBUTIONS:

52 | 2017 Semiannual Report to Stockholders

Royce Value Trust

Notes to Financial Statements (unaudited) (continued)

DISTRIBUTIONS (continued):

allocations was proportional. To the extent that distributions are not paid from long-term capital gains, net investment income or net short-term capital gains, they will represent a return of capital. Distributions are determined in accordance with income tax regulations that may differ from accounting principles generally accepted in the United States of America. Permanent book and tax differences relating to stockholder distributions will result in reclassifications within the capital accounts. Undistributed net investment income may include temporary book and tax basis differences, which will reverse in a subsequent period. Any taxable income or gain remaining undistributed at fiscal year end is distributed in the following year.

INVESTMENT TRANSACTIONS AND RELATED INVESTMENT INCOME:

EXPENSES:

COMPENSATING BALANCE CREDITS:

Capital Stock:

The Fund issued 1,316,503 and 2,740,162 shares of Common Stock as reinvestment of distributions for the six months ended June 30, 2017 and the year ended December 31, 2016, respectively.

Borrowings:

As of June 30, 2017, the Fund has outstanding borrowings of $70,000,000. During the six months ended June 30, 2017, the Fund borrowed an average daily balance of $70,000,000 at a weighted average borrowing cost of 2.09%. The maximum amount outstanding during the six months ended June 30, 2017 was $70,000,000. As of June 30, 2017, the aggregate value of rehypothecated securities was $66,420,057. During the six months ended June 30, 2017, the Fund earned $13,888 in fees from rehypothecated securities.

2017 Semiannual Report to Stockholders | 53

Royce Value Trust

Notes to Financial Statements (unaudited) (continued)

Investment Advisory Agreement:

The Basic Fee is a monthly fee equal to 1/12 of 1% (1% on an annualized basis) of the average of the Fund’s month-end net assets applicable to Common Stockholders, plus the liquidation value of outstanding Preferred Stock, for the rolling 60-month period ending with such month (the “performance period”). The Basic Fee for each month is increased or decreased at the rate of 1/12 of .05% for each percentage point that the investment performance of the Fund exceeds, or is exceeded by, the percentage change in the investment record of the S&P 600 for the performance period by more than two percentage points. The performance period for each such month is a rolling 60-month period ending with such month. The maximum increase or decrease in the Basic Fee for any month may not exceed 1/12 of .5%. Accordingly, for each month, the maximum monthly fee rate as adjusted for performance is 1/12 of 1.5% and is payable if the investment performance of the Fund exceeds the percentage change in the investment record of the S&P 600 by 12 or more percentage points for the performance period, and the minimum monthly fee rate as adjusted for performance is 1/12 of .5% and is payable if the percentage change in the investment record of the S&P 600 exceeds the investment performance of the Fund by 12 or more percentage points for the performance period.

Notwithstanding the foregoing, Royce is not entitled to receive any fee for any month when the investment performance of the Fund for the rolling 36-month period ending with such month is negative. In the event that the Fund’s investment performance for such a performance period is less than zero, Royce will not be required to refund to the Fund any fee earned in respect of any prior performance period.

For the six rolling 60-month periods ended June 2017, the Fund’s investment performance ranged from 22% to 39% below the investment performance of the S&P 600. Accordingly, the net investment advisory fee consisted of a Basic Fee of $5,918,045 and a net downward adjustment of $2,959,021 for the performance of the Fund relative to that of the S&P 600. For the six months ended June 30, 2017, the Fund expensed Royce investment advisory fees totaling $2,959,024.

Purchases and Sales of Investment Securities:

For the six months ended June 30, 2017, the costs of purchases and proceeds from sales of investment securities, other than short-term securities, amounted to $113,917,878 and $100,392,526, respectively.

COST OF PURCHASES PROCEEDS FROM SALES REALIZED GAIN (LOSS) $2,700,488 $– $–

Transactions in Affiliated Companies:

An “Affiliated Company” as defined in the Investment Company Act of 1940, is a company in which a fund owns 5% or more of the company’s outstanding voting securities at any time during the period. The Fund effected the following transactions in shares of such companies for the six months ended June 30, 2017:

SHARES MARKET
VALUE COST OF PROCEEDS CHANGE IN NET
UNREALIZED
APPRECIATION REALIZED DIVIDEND SHARES MARKET VALUE AFFILIATED COMPANY 12/31/16 12/31/16 PURCHASES FROM SALES (DEPRECIATION) GAIN (LOSS) INCOME 6/30/17 6/30/17 Stanley Furniture 912,235 $ 821,194 – – $ 209,632 $ – $ – 912,235 $ 1,030,826 Timberland Bancorp 444,200 9,177,172 – – 2,047,762 – 97,724 444,200 11,224,934 $ 9,998,366 $2,257,394 $ – $ 97,724 $ 12,255,760 54 | 2017 Semiannual Report to Stockholders

History Since Inception

The following table details the share accumulations by an initial investor in the Funds who reinvested all distributions and participated fully in primary subscriptions for each of the rights offerings. Full participation in distribution reinvestments and rights offerings can maximize the returns available to a long-term investor. This table should be read in conjunction with the Performance and Portfolio Reviews of the Funds.

HISTORY AMOUNT INVESTED PURCHASE PRICE1 SHARES NAV VALUE2 MARKET VALUE2 Royce Global Value Trust 10/17/13 Initial Purchase $ 8,975 $ 8.975 1,000 $ 9,780 $ 8,975 12/11/14 Distribution $0.15 7.970 19 9,426 8,193 12/10/15 Distribution $0.10 7.230 14 9,101 7,696 12/9/16 Distribution $0.14 7.940 18 10,111 8,446 6/30/17 $ 8,975 1,051 $ 11,740 $ 10,100 Royce Micro-Cap Trust 12/14/93 Initial Purchase $ 7,500 $ 7.500 1,000 $ 7,250 $ 7,500 10/28/94 Rights Offering 1,400 7.000 200 12/19/94 Distribution $0.05 6.750 9 9,163 8,462 12/7/95 Distribution $0.36 7.500 58 11,264 10,136 12/6/96 Distribution $0.80 7.625 133 13,132 11,550 12/5/97 Distribution $1.00 10.000 140 16,694 15,593 12/7/98 Distribution $0.29 8.625 52 16,016 14,129 12/6/99 Distribution $0.27 8.781 49 18,051 14,769 12/6/00 Distribution $1.72 8.469 333 20,016 17,026 12/6/01 Distribution $0.57 9.880 114 24,701 21,924 2002 Annual distribution total $0.80 9.518 180 21,297 19,142 2003 Annual distribution total $0.92 10.004 217 33,125 31,311 2004 Annual distribution total $1.33 13.350 257 39,320 41,788 2005 Annual distribution total $1.85 13.848 383 41,969 45,500 2006 Annual distribution total $1.55 14.246 354 51,385 57,647 2007 Annual distribution total $1.35 13.584 357 51,709 45,802 2008 Annual distribution total $1.193 8.237 578 28,205 24,807 3/11/09 Distribution $0.223 4.260 228 41,314 34,212 12/2/10 Distribution $0.08 9.400 40 53,094 45,884 2011 Annual distribution total $0.533 8.773 289 49,014 43,596 2012 Annual distribution total $0.51 9.084 285 57,501 49,669 2013 Annual distribution total $1.38 11.864 630 83,110 74,222 2014 Annual distribution total $2.90 10.513 1,704 86,071 76,507 2015 Annual distribution total $1.26 7.974 1,256 75,987 64,222 2016 Annual distribution total $0.64 7.513 779 92,689 78,540 2017 Year-to-date distribution total $0.32 8.317 374 6/30/17 $ 8,900 9,999 $ 98,190 $ 86,491
1 The purchase price used for annual distribution totals is a weighted average of the distribution reinvestment prices for the year. 2 Values are stated as of December 31 of the year indicated, after reinvestment of distributions, other than for initial purchase. 3 Includes a return of capital. 2017 Semiannual Report to Stockholders | 55

History Since Inception (continued)

HISTORY AMOUNT INVESTED PURCHASE PRICE1 SHARES NAV VALUE2 MARKET VALUE2 Royce Value Trust 11/26/86 Initial Purchase $ 10,000 $ 10.000 1,000 $ 9,280 $ 10,000 10/15/87 Distribution $0.30 7.000 42 12/31/87 Distribution $0.22 7.125 32 8,578 7,250 12/27/88 Distribution $0.51 8.625 63 10,529 9,238 9/22/89 Rights Offering 405 9.000 45 12/29/89 Distribution $0.52 9.125 67 12,942 11,866 9/24/90 Rights Offering 457 7.375 62 12/31/90 Distribution $0.32 8.000 52 11,713 11,074 9/23/91 Rights Offering 638 9.375 68 12/31/91 Distribution $0.61 10.625 82 17,919 15,697 9/25/92 Rights Offering 825 11.000 75 12/31/92 Distribution $0.90 12.500 114 21,999 20,874 9/27/93 Rights Offering 1,469 13.000 113 12/31/93 Distribution $1.15 13.000 160 26,603 25,428 10/28/94 Rights Offering 1,103 11.250 98 12/19/94 Distribution $1.05 11.375 191 27,939 24,905 11/3/95 Rights Offering 1,425 12.500 114 12/7/95 Distribution $1.29 12.125 253 35,676 31,243 12/6/96 Distribution $1.15 12.250 247 41,213 36,335 1997 Annual distribution total $1.21 15.374 230 52,556 46,814 1998 Annual distribution total $1.54 14.311 347 54,313 47,506 1999 Annual distribution total $1.37 12.616 391 60,653 50,239 2000 Annual distribution total $1.48 13.972 424 70,711 61,648 2001 Annual distribution total $1.49 15.072 437 81,478 73,994 2002 Annual distribution total $1.51 14.903 494 68,770 68,927 1/28/03 Rights Offering 5,600 10.770 520 2003 Annual distribution total $1.30 14.582 516 106,216 107,339 2004 Annual distribution total $1.55 17.604 568 128,955 139,094 2005 Annual distribution total $1.61 18.739 604 139,808 148,773 2006 Annual distribution total $1.78 19.696 693 167,063 179,945 2007 Annual distribution total $1.85 19.687 787 175,469 165,158 2008 Annual distribution total $1.723 12.307 1,294 95,415 85,435 3/11/09 Distribution $0.323 6.071 537 137,966 115,669 12/2/10 Distribution $0.03 13.850 23 179,730 156,203 2011 Annual distribution total $0.783 13.043 656 161,638 139,866 2012 Annual distribution total $0.80 13.063 714 186,540 162,556 2013 Annual distribution total $2.194 16.647 1,658 250,219 220,474 2014 Annual distribution total $1.82 14.840 1,757 252,175 222,516 2015 Annual distribution total $1.24 12.725 1,565 231,781 201,185 2016 Annual distribution total $1.02 12.334 1,460 293,880 248,425 2017 Year-to-date distribution total $0.53 14.023 708 6/30/17 $ 21,922 19,261 $ 315,303 $ 281,018
1 The purchase price used for annual distribution totals is a weighted average of the distribution reinvestment prices for the year. 2 Values are stated as of December 31 of the year indicated, after reinvestment of distributions, other than for initial purchase. 3 Includes a return of capital. 4 Includes Royce Global Value Trust spin-off of $1.40 per share.
56 | 2017 Semiannual Report to Stockholders

Distribution Reinvestment and Cash Purchase Options

Why should I reinvest my distributions?
By reinvesting distributions, a stockholder can maintain an undiluted investment in the Fund. The regular reinvestment of distributions has a significant impact on stockholder returns. In contrast, the stockholder who takes distributions in cash is penalized when shares are issued below net asset value to other stockholders.

How does the reinvestment of distributions from the Royce closed-end funds work?
The Funds automatically issue shares in payment of distributions unless you indicate otherwise. The shares are generally issued at the lower of the market price or net asset value on the valuation date.

How does this apply to registered stockholders?
If your shares are registered directly with a Fund, your distributions are automatically reinvested unless you have otherwise instructed the Funds’ transfer agent, Computershare, in writing, in which case you will receive your distribution in cash. A registered stockholder also may have the option to receive the distribution in the form of a stock certificate.

What if my shares are held by a brokerage firm or a bank?
If your shares are held by a brokerage firm, bank, or other intermediary as the stockholder of record, you should contact your brokerage firm or bank to be certain that it is automatically reinvesting distributions on your behalf. If they are unable to reinvest distributions on your behalf, you should have your shares registered in your name in order to participate.

What other features are available for registered stockholders?
The Distribution Reinvestment and Cash Purchase Plans also allow registered stockholders to make optional cash purchases of shares of a Fund’s common stock directly through Computershare on a monthly basis, and to deposit certificates representing your RVT and RMT shares with Computershare for safekeeping. (RGT does not issue shares in certificated form). Plan participants are subject to a $0.75 service fee for each voluntary cash purchase under the Plans. The Funds’ investment adviser absorbed all commissions on optional cash purchases under the Plans through June 30, 2017.

How do the Plans work for registered stockholders?
Computershare maintains the accounts for registered stockholders in the Plans and sends written confirmation of all transactions in the account. Shares in the account of each participant will be held by Computershare in non-certificated form in the name of the participant, and each participant will be able to vote those shares at a stockholder meeting or by proxy. A participant may also send stock certificates for RVT and RMT held by them to Computershare to be held in non-certificated form. RGT does not issue shares in certificated form. There is no service fee charged to participants for reinvesting distributions. If a participant elects to sell shares from a Plan account, Computershare will deduct a $2.50 service fee from the sale transaction. The Funds’ investment adviser absorbed all commissions on optional sales under the Plans through June 30, 2017. If a nominee is the registered owner of your shares, the nominee will maintain the accounts on your behalf.

How can I get more information on the Plans?
You can call an Investor Services Representative at (800) 221-4268 or you can request a copy of the Plan for your Fund from Computershare. All correspondence (including notifications) should be directed to: [Name of Fund] Distribution Reinvestment and Cash Purchase Plan, c/o Computershare, PO Box 43078, Providence, RI 02940-3078, telephone (800) 426-5523 (from 9:00 A.M. to 5:00 P.M.).

2017 Semiannual Report to Stockholders | 57

Directors and Officers

All Directors and Officers may be reached c/o The Royce Funds, 745 Fifth Avenue, New York, NY 10151

Charles M. Royce, Director1
Age: 77 | Number of Funds Overseen: 22 | Tenure: Since 1982
Non-Royce Directorships: Director of TICC Capital Corp.
Principal Occupation(s) During Past Five Years: Chairman of the Board of Managers of Royce & Associates, LP (“Royce”), the Trust’s investment adviser; Chief Executive Officer (1972–June 2017), President (1972-July 2014) of Royce.

Christopher D. Clark, Director1, President
Age: 52 | Number of Funds Overseen: 22 | Tenure: Since 2014
Principal Occupation(s) During Past Five Years: Chief Executive Officer (since July 2017), President (since July 2014), Co-Chief Investment Officer (Since January 2014), Managing Director and, since June 2015, a Member of the Board of Managers of Royce, having been employed by Royce since May 2007.

Patricia W. Chadwick, Director
Age: 68 | Number of Funds Overseen: 22 | Tenure: Since 2009
Non-Royce Directorships: Trustee of ING Mutual Funds and Director of Wisconsin Energy Corp.
Principal Occupation(s) During Past 5 Years: Consultant and President of Ravengate Partners LLC (since 2000).

Stephen L. Isaacs, Director
Age: 77 | Number of Funds Overseen: 22 | Tenure: Since 1989
Non-Royce Directorships: None
Principal Occupation(s) During Past Five Years: Attorney and President of Health Policy Associates, Inc., consultants. Mr. Isaacs’s prior business experience includes having served as President of the Center for Health and Social Policy (from 1996 to 2012); Director of Columbia University Development Law and Policy Program and Professor at Columbia University (until August 1996).

Arthur S. Mehlman, Director
Age: 75 | Number of Funds Overseen: 40 | Tenure: Since 2004
Non-Royce Directorships: Director/Trustee of registered investment companies constituting the 18 Legg Mason Funds.
Principal Occupation(s) During Past Five Years: Director of The League for People with Disabilities, Inc.; Director of University of Maryland Foundation (non-profits). Formerly: Director of Municipal Mortgage & Equity, LLC (from October 2004 to April 1, 2011); Director of University of Maryland College Park Foundation (non-profit) (from 1998 to 2005); Partner, KPMG LLP (international accounting firm) (from 1972 to 2002); Director of Maryland Business Roundtable for Education (from July 1984 to June 2002).

David L. Meister, Director
Age: 77 | Number of Funds Overseen: 22 | Tenure: Since 1982
Non-Royce Directorships: None
Principal Occupation(s) During Past Five Years: Consultant. Chairman and Chief Executive Officer of The Tennis Channel (from June 2000 to March 2005). Mr. Meister’s prior business experience includes having served as Chief Executive Officer of Seniorlife.com, a consultant to the communications industry, President of Financial News Network, Senior Vice President of HBO, President of Time-Life Films, and Head of Broadcasting for Major League Baseball.

G. Peter O’Brien, Director
Age: 71 | Number of Funds Overseen: 40 | Tenure: Since 2001
Non-Royce Directorships: Director/Trustee of registered investment companies constituting the 18 Legg Mason Funds; Director of TICC Capital Corp.
Principal Occupation(s) During Past Five Years: Trustee Emeritus of Colgate University (since 2005); Board Member of Hill House, Inc. (since 1999); Formerly: Trustee of Colgate University (from 1996 to 2005), President of Hill House, Inc. (from 2001 to 2005) and Managing Director/Equity Capital Markets Group of Merrill Lynch & Co. (from 1971 to 1999).

Michael K. Shields, Director
Age: 59 | Number of Funds Overseen: 22 | Tenure: Since 2015
Principal Occupation(s) During Past Five Years: President and Chief Executive Officer of Piedmont Trust Company, a private North Carolina trust company (since May 2012). Mr. Shields’s prior business experience includes owning Shields Advisors, an investment consulting firm (from April 2010 to June 2012).

Francis D. Gannon, Vice President
Age: 49 | Tenure: Since 2014
Principal Occupation(s) During Past Five Years: Co-Chief Investment Officer (since January 2014) and Managing Director of Royce, having been employed by Royce since September 2006.

Daniel A. O’Byrne, Vice President
Age: 55 | Tenure: Since 1994
Principal Occupation(s) During Past Five Years: Principal and Vice President of Royce, having been employed by Royce since October 1986.

Peter K. Hoglund, Treasurer
Age: 51 | Tenure: Since 2015
Principal Occupation(s) During Past Five Years: Chief Financial Officer, Chief Administrative Officer, and Managing Director of Royce, having been employed by Royce since December 2014. Prior to joining Royce, Mr. Hoglund spent more than 20 years with Munder Capital Management in Birmingham, MI, serving as Managing Director and Chief Financial Officer and overseeing all financial aspects of the firm. He began his career at Munder as a portfolio manager.

John E. Denneen, Secretary and Chief Legal Officer
Age: 50 | Tenure: 1996-2001 and Since 2002
Principal Occupation(s) During Past Five Years: General Counsel, Managing Director, and, since June 2015, a Member of the Board of Managers of Royce. Chief Legal and Compliance Officer and Secretary of Royce.

Lisa Curcio, Chief Compliance Officer
Age: 57 | Tenure: Since 2004
Principal Occupation(s) During Past Five Years: Chief Compliance Officer of The Royce Funds (since October 2004) and Compliance Officer of Royce (since June 2004).

1 Interested Director. Director will hold office until their successors have been duly elected and qualified or until their earlier resignation or removal.
58 | 2017 Semiannual Report to Stockholders

Board Approval of Investment Advisory Agreements

At meetings held on June 5-6, 2017, the Funds’ respective Boards of Directors, including all of the non-interested directors, approved the continuation of investment advisory agreements (each, an “Investment Advisory Agreement” and collectively, the “Investment Advisory Agreements”) between Royce & Associates, LP (“R&A”) and each of Royce Value Trust, Inc., Royce Micro-Cap Trust, Inc., and Royce Global Value Trust, Inc. (each, a “Fund” and collectively, the “Funds”). In reaching these decisions, each Board reviewed the materials provided by R&A, which included, among other things, information prepared internally by R&A and independently by Morningstar Associates, LLC (“Morningstar”) containing detailed investment advisory fee, expense ratio, and investment performance comparisons for the Funds with other funds in their respective “peer groups”, information regarding the past performance of the Funds and other registered investment companies managed by R&A and a memorandum outlining the legal duties of each Board prepared by independent counsel to the non-interested directors. R&A also provided the directors with an analysis of its profitability with respect to providing investment advisory services to each of the Funds. In addition, each Board took into account information furnished throughout the year at regular Board meetings, including reports on investment performance, stockholder services, regulatory compliance, brokerage commissions and research, and brokerage and other execution products and services provided to the Funds. Each Board also considered other matters it deemed important to the approval process, such as allocation of brokerage commissions, “soft dollar” research services R&A receives and other direct and indirect benefits to R&A and its affiliates, from their relationship with the relevant Fund. The directors also met throughout the year with investment advisory personnel from R&A. Each Board, in its deliberations, recognized that, for many of the Funds’ stockholders, the decision to purchase Fund shares included a decision to select R&A as the investment adviser and that there was a strong association in the minds of Fund stockholders between R&A and each Fund. In considering factors relating to the approval of the continuance of the Investment Advisory Agreements, the non-interested directors received assistance and advice from, and met separately with, their independent counsel. While all three of the Investment Advisory Agreements were considered at the same Board meetings, the Boards dealt with each agreement separately. Among other factors, the directors considered the following:

The nature, extent and quality of services provided by R&A:
Each Board considered the following factors to be of fundamental importance to its consideration of whether to approve the continuance of the Investment Advisory Agreement: (i) R&A’s more than 40 years of value investing experience and track record; (ii) the history of long-tenured R &A portfolio managers managing the Funds; (iii) R&A’s focus on mid-cap, small-cap and micro-cap value investing; (iv) the consistency of R&A’s approach to managing the Funds and open-end mutual funds over more than 40 years; (v) the integrity and high ethical standards adhered to at R&A; (vi) R&A’s specialized experience in the area of trading small- and micro-cap securities; (vii) R&A’s historical ability to attract and retain portfolio management talent and (viii) R&A’s focus on stockholder interests as exemplified by expansive stockholder reporting and communications. The Boards also noted that R&A’s compensation policy arrangements strongly encourage portfolio manager investment in each Fund that they manage. Each Board reviewed the services that R&A provides to each Fund, including, but not limited to, managing each Fund’s investments in accordance with the stated policies of each Fund. Each Board considered the fact that R&A provided certain administrative services to the Funds at cost pursuant to the Administration Agreement between the Funds and R&A. Each Board determined that the services to be provided to each Fund by R&A would be the same as those that it previously provided to the relevant Fund. The Boards also took into consideration the histories, reputations and backgrounds of R&A’s portfolio managers for the Funds, finding that these would likely have an impact on the continued success of the Funds. Lastly, each Board noted R&A’s ability to attract and retain qualified and experienced personnel. The directors concluded that the investment advisory services provided by R&A to each Fund compared favorably to services provided by R&A to other R&A client accounts, including other funds, in both nature and quality, and that the scope of services provided by R&A would continue to be suitable for the Funds.

Investment performance of the Funds and R&A:
In light of R&A’s risk-averse approach to investing, each Board believes that risk-adjusted performance continues to be the most appropriate measure of each Fund’s investment performance. One measure of risk-adjusted performance the Boards use in their review of the Funds’ performance is the Sharpe Ratio. The Sharpe Ratio is a risk-adjusted measure of performance developed by Nobel Laureate William Sharpe. It is calculated by dividing a Fund’s annualized excess returns by its annualized standard deviation to determine reward per unit of risk. The higher the Sharpe Ratio, the better a Fund’s historical risk-adjusted performance. The Boards attach primary importance to risk-adjusted performance over relatively long periods of time, typically 3 to 10 years. It was noted, however, that Royce Global Value Trust, Inc. (“RGT”) had less than five full calendar years of performance because its inception date was October 18, 2013. Overall, the Boards noted that financial markets in 2016 were marked by increased return dispersion, declining correlation, and a steepening yield curve. These factors resulted in a very strong year for small-cap stocks and an even better year for small-cap value stocks and cyclical sectors. The 2016 market environment enabled each of Royce Value Trust, Inc. (“RVT”) and Royce Micro-Cap Trust, Inc. (“RMT”) to outperform its peers in 2016 as evidenced by its Sharpe Ratio. While the directors recognize that one-year performance does not define a trend and place primary emphasis on medium-term and longer-term risk adjusted performance as referenced above, they also noted that the improved relative risk-adjusted performance of RVT and RMT during the more historically customary market environment that prevailed during 2016 was not insignificant. Along those lines, the relevant Boards noted that RVT and RMT also generally underperformed their respective peers, as evidenced by their Sharpe Ratios, from approximately March 2009 through the end of 2015. This post-2008 market period was marked by historically low interest rates and significant U.S. Federal Reserve market intervention. During this period, highly leveraged, non-earning companies and yield-oriented securities (e.g., master limited partnerships, real estate investment trusts, and utilities) generally outperformed the higher quality companies (e.g., those with solid balance sheets, low leverage, the ability to generate and effectively allocate free cash flow, and strong returns on invested capital) and cyclical companies favored by each of RVT and RMT. The directors also noted, however, as discussed below, that the relative performance for each of RVT and RMT during the more historically customary market cycle preceding the 2008 financial crisis was quite strong. Using Morningstar data, the Sharpe Ratio for RVT placed in the 1st, 4th, 4th, and 4th quartiles within the Small Blend category assigned by Morningstar for the 1-year, 3-year, 5-year, and 10-year periods, respectively, ended December 31, 2016 while the Sharpe Ratio for RMT placed in the 2nd, 4th, 4th, and 4th quartiles within the Small Blend category assigned by Morningstar for the 1-year, 3-year, 5-year, and 10-year periods, respectively, ended December 31, 2016. The relevant Boards further noted that the use of leverage by each of RVT and RMT through preferred stock (prior to November 15, 2012) and borrowings resulted in higher volatility and worse down market performance.
The 2016 market environment also enabled RGT to outperform its peers in 2016 as evidenced by its Sharpe Ratio. Using Morningstar data, the Sharpe Ratio for RGT in the 1st and 2nd quartiles within the Foreign Small/Mid Value category assigned by Morningstar for the 1-year and 3-year periods, respectively, ended December 31, 2016. The Board noted the inherent limitations of using 1-year and 3-year Sharpe Ratios in evaluating RGT’s investment performance.
In addition to each Fund’s risk–adjusted performance, the Boards also reviewed and considered the absolute total returns and down market performance for each Fund and the long-term performance records of each of RVT and RMT for periods of 10 years and longer. The Boards further noted that R&A manages a number of funds that invest in micro-cap, small-cap, and mid-cap issuers, many of which had outperformed

2017 Semiannual Report to Stockholders | 59

Board Approval of Investment Advisory Agreements (continued)

their benchmark indexes and their competitors during the periods prior to the U.S. Federal Reserve’s near zero interest rate policy and related market interventions and during 2016 as noted above. Although each Board recognized that past performance is not necessarily an indicator of future results, it found that R&A had the necessary qualifications, experience and track record in managing micro-cap, small-cap, and mid-cap securities to manage the relevant Fund. Each Board determined that R&A continued to be an appropriate investment adviser for the relevant Fund and concluded that the relevant Fund’s performance supported the approval of the continuance of its Investment Advisory Agreement.

Cost of the services provided and profits realized by R&A from its relationship with the Funds:
Each Board considered the cost of the services provided by R&A and profits realized by R&A from its relationship with each Fund. As part of the analysis, each Board discussed with R&A its methodology in allocating its costs to each Fund and concluded that its allocations were reasonable. The RVT Board noted that RVT was not profitable to R&A during the year ended December 31, 2016. The Boards of RMT and RGT concluded that R&A’s profits in respect of RMT and RGT, respectively, were reasonable in relation to the nature and quality of services provided.

The extent to which economies of scale would be realized as the Funds grow and whether fee levels would reflect such economies of scale:
Each Board considered whether there have been economies of scale in respect of the management of each Fund, whether each Fund has appropriately benefited from any economies of scale and whether there is potential for realization of any further economies of scale. Each Board noted the time and effort involved in managing portfolios of micro-, small- and mid-cap stocks and that they did not involve the same efficiencies as do portfolios of large-cap stocks. The directors noted that, as closed-end funds, the Funds generally would not be expected to have significant inflows of capital that might produce increasing economies of scale. Each Board concluded that the current fee structure for each Fund was reasonable, that stockholders sufficiently participated in economies of scale and that no changes were currently necessary.

Comparison of services to be rendered and fees to be paid to those under other investment advisory contracts, such as contracts of the same and other investment advisers or other clients:
Each Board reviewed the investment advisory fee paid by each Fund and compared both the services to be rendered and the fees to be paid under the Investment Advisory Agreements to other contracts of R&A and to contracts of other investment advisers to registered investment companies investing in small- and micro-cap stocks, as provided by Morningstar. Each Board noted the importance of the net expense ratio in measuring a fund’s efficiency, particularly in light of the variations in the mutual fund industry as to which entity is responsible for particular types of expenses. In the case of RVT, its Board noted that it had a 1.00% basic fee that is subject to adjustment up or down (up to 0.50% in either direction) based on its performance versus the S&P 600 SmallCap Index over a rolling period of 60 months. The fee is charged on average net assets over that rolling period. As a result, in a rising market, the fee will be smaller than a fee calculated on the current year’s average net assets, and vice versa. The Board determined that the performance adjustment feature continued to serve as an appropriate incentive to R&A to manage RVT for the benefit of its long-term common stockholders. The Board also noted that the fee arrangement, which also includes a provision for no fee in periods where RVT’s trailing three-year performance is negative, requires R&A to measure RVT’s performance monthly against the S&P 600, an unmanaged index. Instead of receiving a set fee regardless of its performance, R&A is penalized for poor performance. The Board noted that RVT’s net expense ratio of 0.73% placed it in the 1st quartile within its Morningstar peer group for 2016. In the case of RMT, the Board noted that it also had a 1.00% basic fee subject to adjustment up or down based on its performance versus the Russell 2000 Index over a rolling 36 month period. The fee is charged on average net assets over that rolling period. As a result, in a rising market, the fee will be smaller than a fee calculated on the current year’s average net assets, and vice versa. The Board determined that the performance adjustment feature continued to serve as an incentive to R&A to manage RMT for the benefit of its long-term common stockholders. The Board noted that RMT’s net expense ratio of 1.26% placed it in the 2nd quartile when compared against its Morningstar peer group for 2016. The Board further noted that RMT’s net expense ratio was actually 2 basis points lower than its peer group median and 15 basis points lower than the average expense ratio for the 44 non-institutional, non-ETF domestic funds with weighted average market capitalizations of less than $1 billion within the Morningstar peer group. Finally, in the case of RGT, the Board noted that its net expense ratio based on average net assets fell within the 4th quartile of its Morningstar peer group, 46 basis points above the Morningstar category median. The Board noted, however, that RGT had the third lowest weighted average market capitalization within that category.
    The Boards also noted that R&A manages the Funds in an active fashion. The industry accepted metric for measuring how actively an equity portfolio is managed is called “active share.” In particular, active share measures how much the holdings of an equity portfolio differ from the holdings of its appropriate passive benchmark index. At the extremes, a portfolio with no holdings in common with the benchmark would have 100% active share, while a portfolio that is identical to the benchmark would have 0% active share. R&A presented a chart to the Boards which demonstrated that funds with high active share scores had higher expense ratios than funds with lower active share scores due to the resources required for the active management of those funds. The Boards noted that the active shares for RVT, RMT, and RGT were 89%, 95%, and 97%, respectively, for the calendar year ended December 31, 2016.
    Each Board also considered fees charged by R&A to institutional and other clients and noted that, given the greater levels of services that R&A provides to registered investment companies such as the Funds as compared to other accounts, the base investment advisory fee for RVT and RMT and the advisory fee for RGT compared favorably to the investment advisory fees charged to those other accounts.
    No single factor was cited as determinative to the decision of the directors. Rather, after weighing all of the considerations and conclusions discussed above, each entire Board, including all of the non-interested directors, approved the continuation of the relevant Investment Advisory Agreement, concluding that the continuation of such agreements was in the best interest of the shareholders of the respective Funds and that each Fund’s investment advisory fee rate was reasonable in relation to the services provided.

60 | 2017 Semiannual Report to Stockholders

Notes to Performance and Other Important Information

The thoughts expressed in this Review and Report concerning recent market movements and future prospects for small company stocks are solely the opinion of Royce at June 30, 2017, and, of course, historical market trends are not necessarily indicative of future market movements. Statements regarding the future prospects for particular securities held in the Funds’ portfolios and Royce’s investment intentions with respect to those securities reflect Royce’s opinions as of June 30, 2017 and are subject to change at any time without notice. There can be no assurance that securities mentioned in this Review and Report will be included in any Royce-managed portfolio in the future. Investments in securities of micro-cap, small-cap and/or mid-cap companies may involve considerably more risk than investments in securities of larger-cap companies. All publicly released material information is always disclosed by the Funds on the website at www.roycefunds.com.
    Sector weightings are determined using the Global Industry Classification Standard (“GICS”). GICS was developed by, and is the exclusive property of, Standard & Poor’s Financial Services LLC (“S&P”) and MSCI Inc. (“MSCI”). GICS is the trademark of S&P and MSCI. “Global Industry Classification Standard (GICS)” and “GICS Direct” are service marks of S&P and MSCI.
    All indexes referred to are unmanaged and capitalization weighted. Each index’s returns include net reinvested dividends and/or interest income. Russell Investment Group is the source and owner of the trademarks, service marks, and copyrights related to the Russell Indexes. Russell® is a trademark of Russell Investment Group. The Russell 2000 Index is an index of domestic small-cap stocks. It measures the performance of the 2,000 smallest publicly traded U.S. companies in the Russell 3000 Index. The Russell 2000 Value and Growth Indexes consist of the respective value and growth stocks within the Russell 2000 as determined by Russell Investments. The Russell Microcap Index includes 1,000 of the smallest securities in the Russell 2000 Index along with the next smallest eligible securities as determined by Russell. The Russell 1000 Index is an index of domestic large-cap stocks. It measures the performance of the 1,000 largest publicly traded companies in the Russell 3000 Index. The Russell Midcap Index measures the performance of the mid-cap segment of the U.S. equity universe. It includes approximately 800 of the smallest securities in the Russell 1000 Index. The Russell Global Small Cap Index is an unmanaged, capitalization-weighted index of global small-cap stocks. The Russell Global ex-U.S. Large Cap Index is an index of global large-cap stocks, excluding the United States. The Russell Global ex-U.S. Small Cap Index is an index of global small-cap stocks, excluding the United States. The S&P 500 and SmallCap 600 are indexes of U.S. large- and small-cap stocks, respectively, selected by Standard & Poor’s based on market size, liquidity, and industry grouping, among other factors. The Nasdaq Composite is an index of the more than 3,000 common equities listed on the Nasdaq stock exchange. The performance of an index does not represent exactly any particular investment, as you cannot invest directly in an index. Returns for the market indexes used in this report were based on information supplied to Royce by Russell Investments.
    The Price-Earnings, or P/E, Ratio is calculated by dividing a company’s share price by its trailing 12-month earnings-per share (EPS). The Priceto- Book, or P/B, Ratio is calculated by dividing a company’s share price by its book value per share. For the Morningstar Small Blend Category: © 2017 Morningstar. All Rights Reserved. The information regarding the category in this piece is: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. The Morningstar Style Map uses proprietary scores of a stock’s value and growth characteristics to determine its placement in one of the five categories listed on the horizontal axis. These characteristics are then compared to those of other stocks within the same market capitalization band. Each is scored from zero to 100 for both value and growth attributes. The value score is subtracted from the growth score to determine the overall style score. For the vertical, market cap axis, Morningstar subdivides into size groups. Giant-cap stocks are defined as those that account for the top 40% of the capitalization of each style zone; large-cap stocks represent the next 30%; mid-cap stocks the next 20%; small-cap stocks the next 7%; micro-cap stocks the smallest 3%. The Royce Funds is a service mark of The Royce Funds. Distributor: Royce Fund Services, LLC.

Forward-Looking Statements
This material contains forward-looking statements within the meaning of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), that involve risks and uncertainties, including, among others, statements as to:

• the Funds’ future operating results • the prospects of the Funds’ portfolio companies • the impact of investments that the Funds have made or may make •

the dependence of the Funds’ future success on the general economy and its impact on the companies and industries in which the Funds invest, and

• the ability of the Funds’ portfolio companies to achieve their objectives.

This Review and Report uses words such as “anticipates,” “believes,” “expects,” “future,” “intends,” and similar expressions to identify forward-looking statements. Actual results may differ materially from those projected in the forward-looking statements for any reason.
The Royce Funds have based the forward-looking statements included in this Review and Report on information available to us on the date of the report, and we assume no obligation to update any such forward-looking statements. Although The Royce Funds undertake no obligation to revise or update any forward-looking statements, whether as a result of new information, future events or otherwise, you are advised to consult any additional disclosures that we may make through future stockholder communications or reports.

Authorized Share Transactions
Royce Global Value Trust, Royce Micro-Cap Trust, and Royce Value Trust may each repurchase up to 5% of the issued and outstanding shares of its respective common stock during the year ending December 31, 2017. Any such repurchases would take place at then prevailing prices in the open market or in other transactions. Common stock repurchases would be effected at a price per share that is less than the share’s then current net asset value.
Royce Global Value Trust, Royce Micro-Cap Trust, and Royce Value Trust are also authorized to offer their common stockholders an opportunity to subscribe for additional shares of their common stock through rights offerings at a price per share that may be less than the share’s then current net asset value. The timing and terms of any such offerings are within each Board’s discretion.

Annual Certifications
As required, the Funds have submitted to the New York Stock Exchange (“NYSE”) for the annual certification of the Funds’ Chief Executive Officer that he is not aware of any violation of the NYSE’s listing standards. The Funds also have included the certification of the Funds’ Chief Executive Officer and Chief Financial Officer required by section 302 of the Sarbanes-Oxley Act of 2002 as exhibits to the Funds’ form N-CSR for the period ended December 31, 2016, filed with the Securities and Exchange Commission.

Proxy Voting
A copy of the policies and procedures that The Royce Funds use to determine how to vote proxies relating to portfolio securities and information regarding how each of The Royce Funds voted proxies relating to portfolio securities during the most recent 12-month period ended June 30 is available, without charge, on The Royce Funds’ website at www.roycefunds.com, by calling (800) 221-4268 (toll-free) and on the website of the Securities and Exchange Commission (“SEC”), at www.sec.gov.

Form N-Q Filing
The Funds file their complete schedules of investments with the SEC for the first and third quarters of each fiscal year on Form N-Q. The Funds’ Forms N-Q are available on the SEC’s website at www.sec.gov. The Royce Funds’ holdings are also on the Funds’ website approximately 15 to 20 days after each calendar quarter end and remain available until the next quarter’s holdings are posted. The Funds’ Forms N-Q may also be reviewed and copied at the SEC’s Public Reference Room in Washington, D.C. To find out more about this public service, call the SEC at (800) 732-0330. The Funds’ complete schedules of investments are updated quarterly, and are available at www.roycefunds.com.

2017 Semiannual Report to Stockholders | 61

About The Royce Funds Contact Us

Unparalleled Knowledge + Experience
Pioneers in small-cap investing, with 40+ years
of experience, depth of knowledge, and focus.

GENERAL INFORMATION
General Royce Funds information including
an overview of our firm and Funds
(800) 221-4268

Independent Thinking
The confidence to go against consensus, the insight
to uncover opportunities others might miss, and the
tenacity to stay the course through market cycles.

COMPUTERSHARE
Transfer Agent and Registrar
Speak with a representative about:
• Your account, transactions, and forms
(800) 426-5523

Specialized Approaches
Strategies that use value, core, or growth investment
approaches to select micro-cap, small-cap, and
mid-cap companies.

FINANCIAL ADVISORS AND BROKER-DEALERS
Speak with your regional Royce contact regarding:
• Information about our firm, strategies, and Funds
• Fund Materials
(800) 337-6923

Unwavering Commitment
Our team of 17 portfolio managers have significant
personal investments in the strategies they manage.

Item 2. Code(s) of Ethics. Not applicable to this semi-annual report.

Item 3. Audit Committee Financial Expert. Not applicable to this semi-annual report.

Item 4. Principal Accountant Fees and Services. Not applicable to this semi-annual report.

Item 5. Audit Committee of Listed Registrants. Not applicable to this semi-annual report.

Item 6. Investments.
(a) See Item 1.

(b) Not applicable.

Item 7. Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies. Not applicable to this semi-annual report.

Item 8. Portfolio Managers of Closed-End Management Investment Companies. Not applicable to this semi-annual report.

Item 9. Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers. Not Applicable

Item 10. Submission of Matters to a Vote of Security Holders. Not Applicable.

Item 11. Controls and Procedures.

(a) Disclosure Controls and Procedures. The Principal Executive and Financial Officers concluded that the Registrant’s Disclosure Controls and Procedures are effective based on their evaluation of the Disclosure Controls and Procedures as of a date within 90 days of the filing date of this report.

(b) Internal Control over Financial Reporting. There were no significant changes in Registrant’s internal control over financial reporting or in other factors that could significantly affect this control subsequent to the date of the evaluation, including any corrective actions with regard to significant deficiencies and material weaknesses during the second fiscal quarter of the period covered by this report.

Item 12. Exhibits. Attached hereto.

(a)(1) Not applicable to this semi-annual report.

(a)(2) Separate certifications by the Registrant’s Principal Executive Officer and Principal Financial Officer as required by Rule 30a-2(a) under the Investment Company Act of 1940.

(a)(3) Not Applicable

(b) Separate certifications by the Registrant’s Principal Executive Officer and Principal Financial Officer, pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 and required by Rule 30a-2(b) under the Investment Company Act of 1940.

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.

ROYCE MICRO-CAP TRUST, INC. BY: /s/ Christopher D. Clark Christopher D. Clark President Date: August 30, 2017

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.

ROYCE MICRO-CAP TRUST, INC. ROYCE MICRO-CAP TRUST, INC. BY: /s/ Christopher D. Clark BY: /s/ Peter K. Hoglund Christopher D. Clark Peter K. Hoglund President Chief Financial Officer Date: August 30, 2017 Date: August 30, 2017