UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM N-Q
QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED
MANAGEMENT INVESTMENT COMPANY
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Investment Company Act file number |
811-21326 |
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Cohen & Steers REIT and Preferred Income Fund, Inc. | ||||||
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(Exact name of registrant as specified in charter) | ||||||
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280 Park Avenue |
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10017 | ||||
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(Address of principal executive offices) |
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(Zip code) | ||||
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Francis C. Poli 280 Park Avenue New York, NY 10017 | ||||||
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(Name and address of agent for service) | ||||||
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Registrant’s telephone number, including area code: |
(212) 832-3232 |
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Date of fiscal year end: |
December 31 |
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Date of reporting period: |
March 31, 2011 |
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Item 1. Schedule of Investments
COHEN & STEERS REIT AND PREFERRED INCOME FUND, INC.
SCHEDULE OF INVESTMENTS
March 31, 2011 (Unaudited)
|
|
|
Number |
|
Value |
| |
|
COMMON STOCK 69.7% |
|
|
|
|
| |
|
BANK 0.3% |
|
|
|
|
| |
|
SJB Escrow Corp., Class A, 144A (a),(b),(c),(d) |
|
107,000 |
|
$ |
2,140,000 |
|
|
REAL ESTATE 69.4% |
|
|
|
|
| |
|
DIVERSIFIED 4.5% |
|
|
|
|
| |
|
American Assets Trust |
|
106,515 |
|
2,265,574 |
| |
|
Forest City Enterprises (d),(e),(f) |
|
599,815 |
|
11,294,516 |
| |
|
Vornado Realty Trust (e),(f) |
|
259,160 |
|
22,676,500 |
| |
|
|
|
|
|
36,236,590 |
| |
|
HEALTH CARE 6.3% |
|
|
|
|
| |
|
Cogdell Spencer (e),(f) |
|
939,400 |
|
5,580,036 |
| |
|
HCP (e),(f) |
|
171,092 |
|
6,491,231 |
| |
|
Health Care REIT (e),(f) |
|
216,307 |
|
11,343,139 |
| |
|
Nationwide Health Properties (e),(f) |
|
228,142 |
|
9,702,879 |
| |
|
Senior Housing Properties Trust |
|
187,600 |
|
4,322,304 |
| |
|
Ventas (e),(f) |
|
228,954 |
|
12,432,202 |
| |
|
|
|
|
|
49,871,791 |
| |
|
HOTEL 5.3% |
|
|
|
|
| |
|
DiamondRock Hospitality Co. |
|
514,924 |
|
5,751,701 |
| |
|
Hersha Hospitality Trust (e),(f) |
|
684,950 |
|
4,068,603 |
| |
|
Hospitality Properties Trust (e) |
|
186,002 |
|
4,305,946 |
| |
|
Host Hotels & Resorts (e),(f) |
|
507,534 |
|
8,937,674 |
| |
|
Hyatt Hotels Corp., Class A (d) |
|
130,576 |
|
5,619,991 |
| |
|
Starwood Hotels & Resorts Worldwide |
|
146,900 |
|
8,537,828 |
| |
|
Sunstone Hotel Investors (d) |
|
525,934 |
|
5,359,268 |
| |
|
|
|
|
|
42,581,011 |
| |
|
INDUSTRIAL 4.0% |
|
|
|
|
| |
|
ProLogis (e),(f) |
|
1,891,239 |
|
30,221,999 |
| |
|
Segro PLC (United Kingdom) |
|
277,689 |
|
1,432,181 |
| |
|
|
|
|
|
31,654,180 |
| |
|
|
|
Number |
|
Value |
| |
|
OFFICE 8.0% |
|
|
|
|
| |
|
BioMed Realty Trust |
|
105,723 |
|
$ |
2,010,851 |
|
|
Boston Properties (e),(f),(g) |
|
272,296 |
|
25,827,276 |
| |
|
Brandywine Realty Trust (e),(f) |
|
293,646 |
|
3,564,862 |
| |
|
Douglas Emmett (e),(f) |
|
234,600 |
|
4,398,750 |
| |
|
Hudson Pacific Properties |
|
190,200 |
|
2,795,940 |
| |
|
Liberty Property Trust (e),(f) |
|
271,733 |
|
8,940,016 |
| |
|
Mack-Cali Realty Corp. (e),(f) |
|
270,840 |
|
9,181,476 |
| |
|
SL Green Realty Corp. (e),(f) |
|
96,131 |
|
7,229,051 |
| |
|
|
|
|
|
63,948,222 |
| |
|
OFFICE/INDUSTRIAL 0.8% |
|
|
|
|
| |
|
PS Business Parks (e),(f) |
|
102,972 |
|
5,966,198 |
| |
|
RESIDENTIAL 16.9% |
|
|
|
|
| |
|
APARTMENT 15.8% |
|
|
|
|
| |
|
Apartment Investment & Management Co.(e),(f) |
|
446,699 |
|
11,377,424 |
| |
|
Associated Estates Realty Corp.(e),(f) |
|
381,218 |
|
6,053,742 |
| |
|
AvalonBay Communities(e),(f) |
|
124,894 |
|
14,997,271 |
| |
|
BRE Properties(e),(f) |
|
190,435 |
|
8,984,723 |
| |
|
Campus Crest Communities(e),(f) |
|
218,907 |
|
2,589,670 |
| |
|
Education Realty Trust |
|
342,305 |
|
2,748,709 |
| |
|
Equity Residential(e),(f) |
|
686,582 |
|
38,730,091 |
| |
|
Essex Property Trust(e) |
|
61,497 |
|
7,625,628 |
| |
|
Home Properties(e),(f) |
|
154,900 |
|
9,131,355 |
| |
|
Post Properties(e),(f) |
|
241,966 |
|
9,497,165 |
| |
|
UDR(e) |
|
606,596 |
|
14,782,745 |
| |
|
|
|
|
|
126,518,523 |
| |
|
MANUFACTURED HOME 1.1% |
|
|
|
|
| |
|
Equity Lifestyle Properties(e) |
|
149,043 |
|
8,592,329 |
| |
|
TOTAL RESIDENTIAL |
|
|
|
135,110,852 |
| |
|
|
|
Number |
|
Value |
| |
|
SELF STORAGE 4.7% |
|
|
|
|
| |
|
Public Storage (e),(f) |
|
260,911 |
|
$ |
28,937,639 |
|
|
Sovran Self Storage (e),(f) |
|
139,809 |
|
5,529,446 |
| |
|
U-Store-It Trust |
|
285,476 |
|
3,003,207 |
| |
|
|
|
|
|
37,470,292 |
| |
|
SHOPPING CENTER 17.5% |
|
|
|
|
| |
|
COMMUNITY CENTER 5.4% |
|
|
|
|
| |
|
Acadia Realty Trust(e) |
|
477,875 |
|
9,041,395 |
| |
|
Developers Diversified Realty Corp.(e),(f) |
|
837,662 |
|
11,727,268 |
| |
|
Kimco Realty Corp.(e),(f) |
|
330,106 |
|
6,054,144 |
| |
|
Ramco-Gershenson Properties Trust |
|
304,000 |
|
3,809,120 |
| |
|
Regency Centers Corp. |
|
158,818 |
|
6,905,407 |
| |
|
Urstadt Biddle Properties-Class A(e) |
|
293,122 |
|
5,575,180 |
| |
|
|
|
|
|
43,112,514 |
| |
|
REGIONAL MALL 12.1% |
|
|
|
|
| |
|
General Growth Properties(e),(f) |
|
756,142 |
|
11,705,078 |
| |
|
Pennsylvania REIT |
|
201,223 |
|
2,871,452 |
| |
|
Simon Property Group(e),(f) |
|
735,946 |
|
78,863,974 |
| |
|
Westfield Group (Australia) |
|
291,300 |
|
2,814,199 |
| |
|
|
|
|
|
96,254,703 |
| |
|
TOTAL SHOPPING CENTER |
|
|
|
139,367,217 |
| |
|
SPECIALTY 1.4% |
|
|
|
|
| |
|
Digital Realty Trust (e),(f) |
|
127,312 |
|
7,401,920 |
| |
|
DuPont Fabros Technology (e),(f) |
|
168,533 |
|
4,086,925 |
| |
|
|
|
|
|
11,488,845 |
| |
|
TOTAL REAL ESTATE |
|
|
|
553,695,198 |
| |
|
TOTAL COMMON STOCK (Identified cost—$421,580,640) |
|
|
|
555,835,198 |
| |
|
|
|
Number |
|
Value |
| |
|
PREFERRED SECURITIES—$25 PAR VALUE 26.8% |
|
|
|
|
| |
|
BANK 6.5% |
|
|
|
|
| |
|
Ally Financial, 7.25%, due 2/7/33 |
|
80,000 |
|
$ |
1,933,600 |
|
|
Ally Financial, 7.375%, due 12/16/44 |
|
219,701 |
|
5,305,779 |
| |
|
Ally Financial, 8.50%, due 5/15/16, Series A |
|
84,000 |
|
2,089,080 |
| |
|
Citigroup Capital VII, 7.125%, due 7/31/31, (TruPS)(e) |
|
215,000 |
|
5,370,700 |
| |
|
Citigroup Capital VIII, 6.95%, due 9/15/31, (TruPS)(e),(f),(g) |
|
637,748 |
|
15,777,886 |
| |
|
Citigroup Capital XIII, 7.875%, due 10/30/40(e) |
|
130,000 |
|
3,562,000 |
| |
|
CoBank ACB, 7.00%, 144A ($50 Par Value)(a),(b),(e) |
|
135,000 |
|
6,357,663 |
| |
|
KeyCorp Capital IX, 6.75%, due 12/15/66(e) |
|
252,929 |
|
6,335,871 |
| |
|
Regions Financing Trust III, 8.875%, due 6/15/78 |
|
100,000 |
|
2,608,000 |
| |
|
Zions Bancorp, 9.50%, due 12/29/49, Series C |
|
100,000 |
|
2,620,000 |
| |
|
|
|
|
|
51,960,579 |
| |
|
BANK—FOREIGN 3.3% |
|
|
|
|
| |
|
Barclays Bank PLC, 7.10%, Series III(e) |
|
80,000 |
|
2,017,600 |
| |
|
Deutsche Bank Contingent Capital Trust III, 7.60%(e) |
|
280,000 |
|
7,341,600 |
| |
|
HSBC Holdings PLC, 8.00%, Series II(e),(f) |
|
115,005 |
|
3,137,336 |
| |
|
National Westminster Bank PLC, 7.76%, Series C(e) |
|
480,539 |
|
11,552,158 |
| |
|
Santander Finance Preferred, 10.50%, Series X |
|
67,888 |
|
1,931,414 |
| |
|
|
|
|
|
25,980,108 |
| |
|
FINANCE 2.4% |
|
|
|
|
| |
|
INVESTMENT BANKER/BROKER 0.8% |
|
|
|
|
| |
|
GMAC Capital Trust I, 8.125%, due 2/15/40, Series II |
|
109,500 |
|
2,792,250 |
| |
|
Morgan Stanley Capital Trust III, 6.25%, due 3/1/33(e) |
|
164,962 |
|
3,917,848 |
| |
|
|
|
|
|
6,710,098 |
| |
|
MORTGAGE LOAN/BROKER 1.6% |
|
|
|
|
| |
|
Countrywide Capital IV, 6.75%, due 4/1/33(e) |
|
288,000 |
|
7,133,760 |
| |
|
Countrywide Capital V, 7.00%, due 11/1/36(e) |
|
217,500 |
|
5,439,675 |
| |
|
|
|
|
|
12,573,435 |
| |
|
TOTAL FINANCE |
|
|
|
19,283,533 |
| |
|
|
|
Number |
|
Value |
| |
|
INSURANCE 6.0% |
|
|
|
|
| |
|
LIFE/HEALTH INSURANCE—FOREIGN 0.8% |
|
|
|
|
| |
|
Aegon NV, 6.375%(e) |
|
100,555 |
|
$ |
2,289,637 |
|
|
Aegon NV, 6.875% |
|
158,294 |
|
3,757,900 |
| |
|
Aegon NV, 7.25% |
|
9,297 |
|
230,008 |
| |
|
|
|
|
|
6,277,545 |
| |
|
MULTI-LINE 0.7% |
|
|
|
|
| |
|
American Financial Group, 7.00%, due 9/30/50 |
|
145,000 |
|
3,639,500 |
| |
|
American International Group, 7.70%, due 12/18/62 |
|
93,605 |
|
2,333,572 |
| |
|
|
|
|
|
5,973,072 |
| |
|
MULTI-LINE—FOREIGN 3.1% |
|
|
|
|
| |
|
Allianz SE, 8.375%(e) |
|
286,472 |
|
7,672,092 |
| |
|
ING Groep N.V., 6.375% |
|
177,700 |
|
3,836,543 |
| |
|
ING Groep N.V., 7.375%(e),(f) |
|
408,290 |
|
9,811,209 |
| |
|
ING Groep N.V., 8.50% |
|
127,900 |
|
3,283,193 |
| |
|
|
|
|
|
24,603,037 |
| |
|
REINSURANCE—FOREIGN 1.4% |
|
|
|
|
| |
|
Arch Capital Group Ltd., 7.875%, Series B |
|
100,443 |
|
2,549,243 |
| |
|
Arch Capital Group Ltd., 8.00% |
|
122,864 |
|
3,131,804 |
| |
|
Aspen Insurance Holdings Ltd., 7.401%, Series A |
|
46,225 |
|
1,126,041 |
| |
|
Axis Capital Holdings Ltd., 7.50%, Series B ($100 par value)(e) |
|
45,000 |
|
4,449,375 |
| |
|
|
|
|
|
11,256,463 |
| |
|
TOTAL INSURANCE |
|
|
|
48,110,117 |
| |
|
INTEGRATED TELECOMMUNICATIONS SERVICES 1.1% |
|
|
|
|
| |
|
Telephone & Data Systems, 6.875%, due 11/15/59 |
|
154,000 |
|
3,845,380 |
| |
|
Telephone & Data Systems, 7.00%, due 3/15/60 |
|
80,000 |
|
1,998,400 |
| |
|
Telephone & Data Systems, 7.60%, due 12/1/41, Series A(e) |
|
97,457 |
|
2,449,094 |
| |
|
|
|
|
|
8,292,874 |
| |
|
MEDIA—DIVERSIFIED SERVICES 0.3% |
|
|
|
|
| |
|
Comcast Corp., 6.625%, due 5/15/56(e) |
|
104,144 |
|
2,710,868 |
| |
|
|
|
Number |
|
Value |
| |
|
REAL ESTATE 6.8% |
|
|
|
|
| |
|
DIVERSIFIED 1.4% |
|
|
|
|
| |
|
Duke Realty Corp., 6.95%, Series M(e),(f) |
|
100,000 |
|
$ |
2,461,000 |
|
|
Duke Realty Corp., 7.25%, Series N(e) |
|
133,400 |
|
3,333,666 |
| |
|
Lexington Realty Trust, 6.50%, Series C ($50 par value)(e),(f) |
|
96,586 |
|
4,123,256 |
| |
|
Vornado Realty Trust, 6.75%, Series H(e),(f) |
|
56,100 |
|
1,373,889 |
| |
|
|
|
|
|
11,291,811 |
| |
|
HEALTH CARE 0.3% |
|
|
|
|
| |
|
Health Care REIT, 6.50%, Series I ($50 Par Value)(Convertible) |
|
45,000 |
|
2,344,500 |
| |
|
HOTEL 0.3% |
|
|
|
|
| |
|
Pebblebrook Hotel Trust, 7.875 %, Series A |
|
100,000 |
|
2,499,000 |
| |
|
OFFICE 0.4% |
|
|
|
|
| |
|
BioMed Realty Trust, 7.375%, Series A(e),(f) |
|
55,000 |
|
1,404,700 |
| |
|
SL Green Realty Corp., 7.625%, Series C(e) |
|
70,000 |
|
1,754,200 |
| |
|
|
|
|
|
3,158,900 |
| |
|
OFFICE/INDUSTRIAL 0.4% |
|
|
|
|
| |
|
PS Business Parks, 7.00%, Series H(e) |
|
118,864 |
|
2,964,468 |
| |
|
RESIDENTIAL 1.2% |
|
|
|
|
| |
|
APARTMENT 1.0% |
|
|
|
|
| |
|
Apartment Investment & Management Co., 7.75%, Series U |
|
100,000 |
|
2,497,000 |
| |
|
Apartment Investment & Management Co., 8.00%, Series V(e) |
|
101,000 |
|
2,541,160 |
| |
|
Apartment Investment & Management Co., 7.875%, Series Y(e) |
|
110,000 |
|
2,755,500 |
| |
|
|
|
|
|
7,793,660 |
| |
|
MANUFACTURED HOME 0.2% |
|
|
|
|
| |
|
Equity Lifestyle Properties, 8.034 %, Series A |
|
60,000 |
|
1,487,400 |
| |
|
TOTAL RESIDENTIAL |
|
|
|
9,281,060 |
| |
|
|
|
Number |
|
Value |
| |
|
SHOPPING CENTER 2.8% |
|
|
|
|
| |
|
COMMUNITY CENTER 1.9% |
|
|
|
|
| |
|
Cedar Shopping Centers, 8.875%, Series A |
|
62,000 |
|
$ |
1,553,100 |
|
|
Developers Diversified Realty Corp., 7.50%, Series I(e) |
|
158,603 |
|
3,957,145 |
| |
|
Kimco Realty Corp., 7.75%, Series G(e) |
|
134,996 |
|
3,490,996 |
| |
|
Regency Centers Corp., 7.25%, Series D(e) |
|
100,000 |
|
2,489,000 |
| |
|
Weingarten Realty Investors, 6.50%, Series F(e) |
|
157,540 |
|
3,736,849 |
| |
|
|
|
|
|
15,227,090 |
| |
|
REGIONAL MALL 0.9% |
|
|
|
|
| |
|
CBL & Associates Properties, 7.375%, Series D(e) |
|
304,982 |
|
7,414,113 |
| |
|
TOTAL SHOPPING CENTER |
|
|
|
22,641,203 |
| |
|
TOTAL REAL ESTATE |
|
|
|
54,180,942 |
| |
|
TRANSPORT—MARINE 0.4% |
|
|
|
|
| |
|
Seaspan Corp., 9.50%, due 1/19/49, Series C |
|
110,000 |
|
2,961,200 |
| |
|
TOTAL PREFERRED SECURITIES—$25 PAR VALUE |
|
|
|
213,480,221 |
| |
|
PREFERRED SECURITIES—CAPITAL SECURITIES 43.8% |
|
|
|
|
| |
|
BANK 12.0% |
|
|
|
|
| |
|
AgFirst Farm Credit Bank, 6.585%, due 6/29/49, 144A(b),(e) |
|
3,000,000 |
|
2,415,441 |
| |
|
AgFirst Farm Credit Bank, 7.30%, due 10/14/49, 144A(a),(b),(e),(f) |
|
18,000,000 |
|
15,930,180 |
| |
|
Astoria Capital Trust I, 9.75%, due 11/1/29, Series B(a),(e) |
|
9,600,000 |
|
10,030,858 |
| |
|
Bank of America Corp., 8.125%, due 12/29/49 (FRN)(e),(f) |
|
9,300,000 |
|
10,012,566 |
| |
|
BB&T Capital Trust IV, 6.82%, due 6/12/57 |
|
2,500,000 |
|
2,496,875 |
| |
|
Citigroup Capital III, 7.625%, due 12/1/36 |
|
8,950,000 |
|
9,300,840 |
| |
|
CoBank ACB, 11.00%, Series C, 144A(b),(e) |
|
125,000 |
|
6,960,937 |
| |
|
Farm Credit Bank of Texas, 10.00%, due 12/15/20, Series I |
|
4,000 |
|
4,492,500 |
| |
|
JP Morgan Chase & Co., 7.90%, due 12/31/49, (FRN)(e),(f) |
|
15,000,000 |
|
16,468,545 |
| |
|
NB Capital Trust II, 7.83%, due 12/15/26 |
|
4,000,000 |
|
4,120,000 |
| |
|
Sovereign Capital Trust VI, 7.908%, due 6/13/36(e) |
|
3,250,000 |
|
3,258,252 |
| |
|
Wells Fargo & Co., 7.98%, due 3/29/49, Series K (FRN)(e) |
|
9,550,000 |
|
10,505,000 |
| |
|
|
|
|
|
95,991,994 |
| |
|
|
|
Number |
|
Value |
| |
|
BANK—FOREIGN 12.9% |
|
|
|
|
| |
|
Abbey National Capital Trust I, 8.963%, due 12/29/49(e) |
|
7,559,000 |
|
$ |
8,296,864 |
|
|
Barclays Bank PLC, 6.278%, due 12/31/49(e) |
|
8,350,000 |
|
7,264,500 |
| |
|
Barclays Bank PLC, 6.86%, due 9/29/49, 144A (FRN)(b),(e) |
|
8,000,000 |
|
7,560,000 |
| |
|
BBVA Bancomer SA Texas, 6.50%, due 3/10/21, 144A(b) |
|
2,500,000 |
|
2,482,905 |
| |
|
BBVA International Preferred SA, 5.919%, due 12/31/49, (FRN) |
|
2,500,000 |
|
2,118,463 |
| |
|
BNP Paribas, 7.195%, due 12/31/49, 144A(b),(e) |
|
5,900,000 |
|
5,723,000 |
| |
|
BPCE SA, 9.00%, due 12/31/49 |
|
2,750,000 |
|
4,035,652 |
| |
|
Claudius Ltd., 7.875%, due 12/29/49 |
|
5,500,000 |
|
5,692,500 |
| |
|
HSBC Capital Funding LP, 10.176%, due 12/29/49, 144A(b),(e) |
|
14,692,000 |
|
19,834,200 |
| |
|
Intesa Sanpaolo SpA, 9.50%, due 12/31/49 |
|
5,000,000 |
|
7,192,287 |
| |
|
LBG Capital No.1 PLC, 8.00%, due 12/29/49, 144A(b) |
|
6,800,000 |
|
6,562,000 |
| |
|
Rabobank Nederland, 11.00%, due 6/30/19, 144A(b),(e) |
|
2,800,000 |
|
3,657,819 |
| |
|
Resona Preferred Global Securities, 7.191%, due 12/29/49, 144A (FRN)(b) |
|
2,000,000 |
|
1,995,248 |
| |
|
Santander Finance Preferred SA Unipersonal, 11.30%, due 7/27/49, Series VIII |
|
2,750,000 |
|
4,808,587 |
| |
|
Santander UK PLC, 7.95%, due 10/26/29 |
|
3,000,000 |
|
3,182,724 |
| |
|
SMFG Preferred Capital, 9.50%, due 7/29/49, 144A (FRN)(b) |
|
4,950,000 |
|
5,841,000 |
| |
|
Standard Chartered PLC, 7.014%, due 7/29/49, 144A(b),(e) |
|
6,850,000 |
|
6,681,449 |
| |
|
|
|
|
|
102,929,198 |
| |
|
CONSUMER NON-CYCLICAL 0.3% |
|
|
|
|
| |
|
CVS Caremark Corp., 6.302%, due 6/1/37 |
|
2,600,000 |
|
2,555,197 |
| |
|
FINANCE 2.6% |
|
|
|
|
| |
|
CREDIT CARD 1.2% |
|
|
|
|
| |
|
American Express Co., 6.80%, due 9/1/66 (FRN)(e) |
|
4,100,000 |
|
4,212,750 |
| |
|
Capital One Capital III, 7.686%, due 8/15/36(e) |
|
5,000,000 |
|
5,193,750 |
| |
|
|
|
|
|
9,406,500 |
| |
|
DIVERSIFIED FINANCIAL SERVICES 0.4% |
|
|
|
|
| |
|
Credit Suisse Group Guernsey I Ltd., 7.875%, due 2/24/41 |
|
3,000,000 |
|
3,087,000 |
| |
|
|
|
Number |
|
Value |
| |
|
INVESTMENT BANKER/BROKER 1.0% |
|
|
|
|
| |
|
Schwab Capital Trust I, 7.50%, due 11/15/37, (FRN)(e) |
|
7,550,000 |
|
$ |
7,824,986 |
|
|
TOTAL FINANCE |
|
|
|
20,318,486 |
| |
|
FOOD 0.6% |
|
|
|
|
| |
|
Dairy Farmers of America, 7.875%, 144A(a),(b),(e) |
|
50,000 |
|
4,596,875 |
| |
|
INSURANCE 10.4% |
|
|
|
|
| |
|
LIFE/HEALTH INSURANCE 1.7% |
|
|
|
|
| |
|
American General Institutional Capital B, 8.125%, due 3/15/46, 144A(b) |
|
2,000,000 |
|
2,185,000 |
| |
|
Great-West Life & Annuity Insurance Co., 7.153%, due 5/16/46, 144A(b),(e) |
|
5,200,000 |
|
5,408,000 |
| |
|
Lincoln National Corp., 7.00%, due 5/17/66 |
|
6,000,000 |
|
6,015,000 |
| |
|
|
|
|
|
13,608,000 |
| |
|
LIFE/HEALTH INSURANCE—FOREIGN 0.9% |
|
|
|
|
| |
|
Dai-Ichi Mutual Life, 7.25%, due 12/31/49, 144A(b) |
|
3,750,000 |
|
3,719,741 |
| |
|
Prudential PLC, 7.75%, due 6/23/16, Series EMTN |
|
3,750,000 |
|
3,806,250 |
| |
|
|
|
|
|
7,525,991 |
| |
|
MULTI-LINE 2.8% |
|
|
|
|
| |
|
American International Group, 8.175%, due 5/15/58 |
|
5,000,000 |
|
5,418,750 |
| |
|
MetLife, 10.75%, due 8/1/69(e) |
|
3,000,000 |
|
4,150,770 |
| |
|
MetLife Capital Trust X, 9.25%, due 4/8/38, 144A(b),(e) |
|
10,515,000 |
|
12,749,437 |
| |
|
|
|
|
|
22,318,957 |
| |
|
MULTI-LINE—FOREIGN 1.5% |
|
|
|
|
| |
|
AXA SA, 6.379%, due 12/14/49, 144A(b),(e) |
|
3,385,000 |
|
3,029,575 |
| |
|
AXA SA, 6.463%, due 12/31/49, 144A(b),(e) |
|
3,600,000 |
|
3,177,000 |
| |
|
AXA SA, 8.60%, due 12/15/30(d) |
|
2,000,000 |
|
2,371,832 |
| |
|
Old Mutual Capital Funding, 8.00%, due 5/29/49 |
|
3,000,000 |
|
2,985,000 |
| |
|
|
|
|
|
11,563,407 |
| |
|
|
|
Number |
|
Value |
| |
|
PROPERTY CASUALTY 2.7% |
|
|
|
|
| |
|
ACE Capital Trust II, 9.70%, due 4/1/30(e) |
|
5,410,000 |
|
$ |
6,857,175 |
|
|
Liberty Mutual Group, 7.00%, due 3/15/37, 144A(b),(e) |
|
3,000,000 |
|
2,889,246 |
| |
|
Liberty Mutual Group, 7.80%, due 3/15/37, 144A(b),(e) |
|
4,000,000 |
|
4,020,000 |
| |
|
Liberty Mutual Group, 10.75%, due 6/15/58, 144A(b),(e) |
|
2,500,000 |
|
3,275,000 |
| |
|
USF&G Capital, 8.312%, due 7/1/46, 144A(b),(e) |
|
3,845,000 |
|
4,311,710 |
| |
|
|
|
|
|
21,353,131 |
| |
|
REINSURANCE—FOREIGN 0.8% |
|
|
|
|
| |
|
Catlin Insurance Co., 7.249%, due 12/1/49, 144A(b),(e) |
|
6,800,000 |
|
6,460,000 |
| |
|
TOTAL INSURANCE |
|
|
|
82,829,486 |
| |
|
INTEGRATED TELECOMMUNICATIONS SERVICES 2.0% |
|
|
|
|
| |
|
Centaur Funding Corp., 9.089, due 4/1/20,144A(b) |
|
14,454 |
|
16,007,805 |
| |
|
PIPELINES 1.9% |
|
|
|
|
| |
|
Enbridge Energy Partners LP, 8.05%, due 10/1/37(e),(f) |
|
6,000,000 |
|
6,376,572 |
| |
|
Enterprise Products Operating LP, 8.375%, due 8/1/66(e) |
|
7,710,000 |
|
8,335,767 |
| |
|
|
|
|
|
14,712,339 |
| |
|
UTILITIES 1.1% |
|
|
|
|
| |
|
ELECTRIC UTILITIES 0.6% |
|
|
|
|
| |
|
FPL Group Capital, 7.30%, due 9/1/67, Series D(e),(f) |
|
5,000,000 |
|
5,225,405 |
| |
|
MULTI UTILITIES 0.5% |
|
|
|
|
| |
|
Dominion Resources, 7.50%, due 6/30/66, Series A |
|
3,650,000 |
|
3,822,930 |
| |
|
TOTAL UTILITIES |
|
|
|
9,048,335 |
| |
|
TOTAL PREFERRED SECURITIES—CAPITAL SECURITIES |
|
|
|
348,989,715 |
| |
|
|
|
Principal |
|
Value |
| ||
|
CORPORATE BONDS 2.6% |
|
|
|
|
| ||
|
BANK 0.5% |
|
|
|
|
| ||
|
Regions Bank, 7.50%, due 5/15/18, Series BKNT |
|
$ |
1,376,000 |
|
$ |
1,456,510 |
|
|
Regions Financial Corp., 7.375%, due 12/10/37 |
|
2,500,000 |
|
2,456,250 |
| ||
|
|
|
|
|
3,912,760 |
| ||
|
INSURANCE—PROPERTY CASUALTY 0.5% |
|
|
|
|
| ||
|
Liberty Mutual Insurance, 7.697%, due 10/15/97, 144A(b) |
|
4,500,000 |
|
4,150,679 |
| ||
|
INTEGRATED TELECOMMUNICATIONS SERVICES 0.5% |
|
|
|
|
| ||
|
Citizens Communications Co., 9.00%, due 8/15/31 |
|
4,000,000 |
|
4,110,000 |
| ||
|
REAL ESTATE 1.1% |
|
|
|
|
| ||
|
OFFICE 0.7% |
|
|
|
|
| ||
|
BR Properties SA, 9.00%, due 12/31/49, 144A(a),(b) |
|
5,500,000 |
|
5,465,625 |
| ||
|
SHOPPING CENTER 0.4% |
|
|
|
|
| ||
|
General Shopping Finance Ltd., 10.00%, due 11/9/15, 144A(b) |
|
2,965,000 |
|
3,016,887 |
| ||
|
TOTAL REAL ESTATE |
|
|
|
8,482,512 |
| ||
|
TOTAL CORPORATE BONDS (Identified cost—$20,478,068) |
|
|
|
20,655,951 |
| ||
|
|
|
Number |
|
|
|
|
SHORT-TERM INVESTMENTS 0.5% |
|
|
|
|
|
|
MONEY MARKET FUNDS |
|
|
|
|
|
|
Federated Government Obligations Fund, 0.01%(h) |
|
2,256,355 |
|
2,256,355 |
|
|
State Street Institutional Liquid Reserves Fund, 0.19%(h) |
|
2,276,976 |
|
2,276,976 |
|
|
TOTAL SHORT-TERM INVESTMENTS |
|
|
|
4,533,331 |
|
|
|
|
|
|
Value |
| |
|
|
|
|
|
|
| |
|
TOTAL INVESTMENTS (Identified cost—$962,887,103) |
|
143.4 |
% |
$ |
1,143,494,416 |
|
|
|
|
|
|
|
| |
|
LIABILITIES IN EXCESS OF OTHER ASSETS |
|
(43.4 |
) |
(346,248,730 |
) | |
|
|
|
|
|
|
| |
|
NET ASSETS (Equivalent to $16.60 per share based on 48,034,510 shares of common stock outstanding) |
|
100.0 |
% |
$ |
797,245,686 |
|
|
Glossary of Portfolio Abbreviations | ||
|
|
FRN |
Floating Rate Note |
|
|
REIT |
Real Estate Investment Trust |
|
|
TruPS |
Trust Preferred Securities |
Note: Percentages indicated are based on the net assets of the Fund.
|
(a) |
Illiquid security. Aggregate holdings equal 5.6% of net assets of the Fund. |
|
(b) |
Resale is restricted to qualified institutional investors. Aggregate holdings equal 22.4% of net assets of the Fund, of which 4.3% is illiquid. |
|
(c) |
Fair valued security. This security has been valued at its fair value as determined in good faith under procedures established by and under the general supervision of the Fund’s Board of Directors. Aggregate fair value securities represent 0.3% of net assets of the Fund. |
|
(d) |
Non-income producing security. |
|
(e) |
A portion or all of the security is pledged in connection with the revolving credit agreement: $723,139,298 has been pledged as collateral. |
|
(f) |
A portion or all of the security has been rehypothecated in connection with the Fund’s revolving credit agreement in the aggregate amount of $322,559,556. |
|
(g) |
A portion of the security is segregated as collateral for interest rate swap transactions: $15,464,500 has been segregated as collateral. |
|
(h) |
Rate quoted represents the seven day yield of the fund. |
COHEN & STEERS REIT AND PREFERRED INCOME FUND, INC.
SCHEDULE OF INVESTMENTS
March 31, 2011 (Unaudited)
Interest rate swaps outstanding at March 31, 2011 are as follows:
|
|
|
|
|
Fixed |
|
Floating Rate(a) |
|
|
|
Unrealized |
| ||
|
|
|
Notional |
|
Rate |
|
(reset monthly) |
|
Termination |
|
Appreciation |
| ||
|
Counterparty |
|
Amount |
|
Payable |
|
Receivable |
|
Date |
|
(Depreciation) |
| ||
|
Merrill Lynch Derivative |
|
|
|
|
|
|
|
|
|
|
| ||
|
Products AG |
|
$ |
45,000,000 |
|
3.510 |
% |
0.254 |
% |
December 22, 2012 |
|
$ |
(2,152,134 |
) |
|
Royal Bank of Canada |
|
$ |
60,000,000 |
|
3.653 |
% |
0.254 |
% |
July 17, 2013 |
|
(3,596,935 |
) | |
|
Royal Bank of Canada |
|
$ |
70,000,000 |
|
3.615 |
% |
0.248 |
% |
March 29, 2014 |
|
(4,522,327 |
) | |
|
Royal Bank of Canada |
|
$ |
35,000,000 |
|
1.865 |
% |
0.256 |
% |
June 13, 2015 |
|
235,863 |
| |
|
Royal Bank of Canada |
|
$ |
35,000,000 |
|
2.474 |
% |
0.258 |
% |
February 10, 2016 |
|
(317,375 |
) | |
|
|
|
|
|
|
|
|
|
|
|
$ |
(10,352,908 |
) | |
(a) Based on LIBOR (London Interbank Offered Rate). Represents rates in effect at March 31, 2011.
Limited Access
Cohen & Steers REIT and Preferred Income Fund, Inc.
NOTES TO FINANCIAL STATEMENTS (Unaudited)
Note 1. Portfolio Valuation: Investments in securities that are listed on the New York Stock Exchange are valued, except as indicated below, at the last sale price reflected at the close of the New York Stock Exchange on the business day as of which such value is being determined. If there has been no sale on such day, the securities are valued at the mean of the closing bid and asked prices for the day or, if no asked price is available, at the bid price. Exchange traded options are valued at their last sale price as of the close of options trading on applicable exchanges. In the absence of a last sale, options are valued at the average of the quoted bid and asked prices as of the close of business. Over-the-counter options quotations are provided by the respective counterparty when such prices are believed by the Board of Directors to reflect the fair market value.
Securities not listed on the New York Stock Exchange but listed on other domestic or foreign securities exchanges are valued in a similar manner. Securities traded on more than one securities exchange are valued at the last sale price on the business day as of which such value is being determined as reflected on the tape at the close of the exchange representing the principal market for such securities. If after the close of a foreign market, but prior to the close of business on the day the securities are being valued, market conditions change significantly, certain foreign securities may be fair valued pursuant to procedures established by the Board of Directors.
Readily marketable securities traded in the over-the-counter market, including listed securities whose primary market is believed by Cohen & Steers Capital Management, Inc. (the investment manager) to be over-the-counter, are valued at the official closing prices as reported by sources as the Board of Directors deem appropriate to reflect their fair market value. If there has been no sale on such day, the securities are valued at the mean of the closing bid and asked prices for the day, or if no asked price is available, at the bid price. However, certain fixed-income securities may be valued on the basis of prices provided by a pricing service when such prices are believed by the Board of Directors to reflect the fair market value of such securities.
Securities for which market prices are unavailable, or securities for which the advisor determines that the bid and/or asked price or a counterparty valuation does not reflect market value, will be valued at fair value pursuant to procedures approved by the Fund’s Board of Directors. Circumstances in which market prices may be unavailable include, but are not limited to, when trading in a security is suspended, the exchange on which the security is traded is subject to an unscheduled close or disruption or material events occur after the close of the exchange on which the security is principally traded. In these circumstances, the Fund determines fair value in a manner that fairly reflects the market value of the security on the valuation date based on consideration of any information or factors it deems appropriate. These may include, but are not limited to, recent transactions in comparable securities, information relating to the specific security and developments in the markets. Interest rate swaps are valued utilizing quotes received from an outside pricing service.
The Fund’s use of fair value pricing may cause the net asset value of Fund shares to differ from the net asset value that would be calculated using market quotations. Fair value pricing involves subjective judgments and it is possible that the fair value determined for a security may be
Cohen & Steers REIT and Preferred Income Fund, Inc.
NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)
materially different than the value that could be realized upon the sale of that security.
Short-term debt securities with a maturity date of 60 days or less are valued at amortized cost, which approximates value. Investments in open-end mutual funds are valued at their closing net asset value.
Fair value is defined as the price that the Fund would receive to sell an investment or pay to transfer a liability in an orderly transaction with an independent buyer in the principal market, or in the absence of a principal market the most advantageous market for the investment or liability. The hierarchy of inputs that are used in determining the fair value of the Fund’s investments is summarized below.
· Level 1 — quoted prices in active markets for identical investments
· Level 2 — other significant observable inputs (including quoted prices for similar investments, interest rates, credit risk, etc.)
· Level 3 — significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments)
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 as of March 31, 2011 in valuing the Fund’s investments carried at value:
|
|
|
Total |
|
Quoted |
|
Significant |
|
Significant |
| ||||
|
Common Stock — Bank |
|
$ |
2,140,000 |
|
$ |
— |
|
$ |
— |
|
$ |
2,140,000 |
|
|
Common Stock — Other Industries |
|
553,695,198 |
|
553,695,198 |
|
— |
|
— |
| ||||
|
Preferred Securities — $25 Par Value — Bank |
|
51,960,579 |
|
45,602,916 |
|
— |
|
6,357,663 |
| ||||
|
Preferred Securities — $25 Par Value — Insurance — Multi-Line — Foreign |
|
24,603,037 |
|
16,930,945 |
|
7,672,092 |
|
— |
| ||||
|
Preferred Securities — $25 Par Value — Insurance — Reinsurance — Foreign |
|
11,256,463 |
|
6,807,088 |
|
4,449,375 |
|
— |
| ||||
|
Preferred Securities — $25 Par Value — Other Industries |
|
125,660,142 |
|
125,660,142 |
|
— |
|
— |
| ||||
|
Preferred Securities — Capital Securities — Food |
|
4,596,875 |
|
— |
|
— |
|
4,596,875 |
| ||||
|
Preferred Securities — Capital Securities — Other Industries |
|
344,392,840 |
|
— |
|
344,392,840 |
|
— |
| ||||
|
Corporate Bonds — Other Industries |
|
20,655,951 |
|
— |
|
20,655,951 |
|
— |
| ||||
|
Money Market Funds |
|
4,533,331 |
|
— |
|
4,533,331 |
|
— |
| ||||
|
Total Investments |
|
$ |
1,143,494,416 |
|
$ |
748,696,289 |
|
$ |
381,703,589 |
|
$ |
13,094,538 |
|
|
Other Financial Instruments* |
|
$ |
(10,352,908 |
) |
— |
|
$ |
(10,352,908 |
) |
— |
| ||
Cohen & Steers REIT and Preferred Income Fund, Inc.
NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)
* Other financial instruments are interest rate swap contracts.
Following is a reconciliation of investments in which significant unobservable inputs (Level 3) were used in determining fair value:
|
|
|
Total |
|
Common |
|
Preferred |
|
Preferred |
|
Corporate |
| |||||
|
Balance as of December 31, 2010 |
|
$ |
17,490,000 |
|
$ |
2,140,000 |
|
$ |
5,415,000 |
|
$ |
4,462,500 |
|
$ |
5,472,500 |
|
|
Change in unrealized appreciation(depreciation) |
|
360,963 |
|
— |
|
233,463 |
|
134,375 |
|
(6,875 |
) | |||||
|
Purchases |
|
709,200 |
|
— |
|
709,200 |
|
— |
|
— |
| |||||
|
Transfers in and/or out of Level 3 |
|
(5,465,625 |
) |
— |
|
— |
|
— |
|
(5,465,625 |
) | |||||
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
|
Balance as of March 31, 2011 |
|
$ |
13,094,538 |
|
$ |
2,140,000 |
|
$ |
6,357,663 |
|
$ |
4,596,875 |
|
— |
| |
Investments classified as Level 3 infrequently trade and have significant unobservable inputs. The Level 3 preferred securities have been deemed illiquid and were valued by a pricing service which has utilized independent broker quotes. The Level 3 common stock is illiquid and has been fair valued utilizing inputs and assumptions which include book value, recent comparables in similar securities, as well as liquidity and market risk factors.
Note 2. Derivative Instruments: The following is a summary of the market valuations of the Fund’s derivative instruments as of March 31, 2011:
|
Interest rate contracts |
|
$ |
(10,352,908 |
) |
Cohen & Steers REIT and Preferred Income Fund, Inc.
NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)
Interest Rate Swaps: The Fund uses interest rate swaps in connection with borrowing under its credit agreement. The interest rate swaps are intended to reduce the risk that an increase in short-term interest rates could have on the performance of the Fund’s common shares as a result of the floating rate structure of the credit agreement. In these interest rate swaps, the Fund agrees to pay the other party to the interest rate swap (which is known as the counterparty) a fixed rate payment in exchange for the counterparty agreeing to pay the Fund a variable rate payment that is intended to approximate the Fund’s variable rate payment obligation on the credit agreement. The payment obligation is based on the notional amount of the swap. Depending on the state of interest rates in general, the use of interest rate swaps could enhance or harm the overall performance of the common shares. The market value of interest rate swaps is based on pricing models that consider the time value of money, volatility, the current market and contractual prices of the underlying financial instrument. Unrealized appreciation is reported as an asset and unrealized depreciation is reported as a liability on the Statement of Assets and Liabilities. The change in value of swaps, including the accrual of periodic amounts of interest to be paid or received on swaps, is reported as unrealized appreciation or depreciation in the Statement of Operations. A realized gain or loss is recorded upon payment or receipt of a periodic payment or termination of swap agreements. Swap agreements involve, to varying degrees, elements of market and counterparty risk, and exposure to loss in excess of the related amounts reflected in the Statement of Assets and Liabilities. The Fund’s maximum risk of loss from counterparty credit risk is the discounted net value of the cash flows to be received from the counterparty over the contract’s remaining life, to the extent that such amount is positive.
Note 3. Income Tax Information
As of March 31, 2011, the federal tax cost and net unrealized appreciation on securities were as follows:
|
Gross unrealized appreciation |
|
$ |
187,490,778 |
|
|
Gross unrealized depreciation |
|
(6,883,465 |
) | |
|
Net unrealized appreciation |
|
$ |
180,607,313 |
|
|
Cost for federal income tax purposes |
|
$ |
962,887,103 |
|
Item 2. Controls and Procedures
(a) The registrant’s principal executive officer and principal financial officer have concluded that the registrant’s disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940) are effective based on their evaluation of these disclosure controls and procedures required by Rule 30a-3(b) under the Investment Company Act of 1940 and Rule 13a-15(b) or 15d-15(b) under the Securities Exchange Act as of a date within 90 days of the filing of this report.
(b) During the last fiscal quarter, there were no changes in the registrant’s internal control over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting.
Item 3. Exhibits.
(a) Certifications of principal executive officer and principal financial officer as required by Rule 30a-2(a) under the Investment Company Act of 1940.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
COHEN & STEERS REIT AND PREFERRED INCOME FUND, INC.
|
By: |
/s/ Adam M. Derechin |
|
|
|
|
Name: Adam M. Derechin |
|
|
|
|
Title: President |
|
|
|
|
|
|
|
|
|
Date: May 27, 2011 |
|
|
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.
|
By: |
/s/ Adam M. Derechin |
|
By: |
/s/ James Giallanza |
|
|
Name: Adam M. Derechin |
|
|
Name: James Giallanza |
|
|
Title: President and Principal |
|
|
Title: Treasurer and Principal |
|
|
Executive Officer |
|
|
Financial Officer |
|
|
|
|
|
|
|
|
Date: May 27, 2011 |
|
|
|