Here is the composition of TDF presently.
Taiwan 8.70%
China 43.80%
Hong Kong 44.10%
Templeton Dragon Fund is a non-diversified, closed-end management investment company. The Fund's investment objective is long-term capital appreciation. The Fund will invest at least 45% of its total assets in the equity securities of Chinese companies. The Fund may invest up to 20% of its total assets in the equity securities of companies in Japan. Up to 35% of the fund's total assets may be invested in the equity securities of companies in Korea, the Philippines, Thailand, Malaysia, Singapore, Indonesia, Sri Lanka, India, Pakistan, Bangladesh, Australia, New Zealand, Vietnam, Laos, Myanmar, Taiwan, or Cambodia.
The key words are "may" when talking about Japan or other countries and "will" when talking about China. Japan can also represent no more than 20% of the funds holdings.
In other words with a minimum of 45% and a maximum of 20% Japan and a maximum of of 35% other Asian countries, Japan can never have an overwhelming effect on the fund.
Here are the top holdings:
As of 12/31/2002
CHINA PETROLEUM & CHEMICAL CORP % of Total Portfolio: 6.4%
ZHEJIANG EXPRESSWAY CO LTD % of Total Portfolio: 5.4%
TSINGTAO BREWERY CO LTD % of Total Portfolio: 4.7%
CHEUNG KONG INFRASTRUCTURE HOLDINGS LTD % of Total Portfolio: 4.4%
HANG LUNG GROUP LTD % of Total Portfolio: 3.9%
TCL INTERNATIONAL HOLDINGS INC % of Total Portfolio: 3.8%
CHINA MERCHANTS HOLDINGS INTL CO LTD % of Total Portfolio: 3.7%
CHINA MOBILE % of Total Portfolio: 3.3%
JIANGSU EXPRESSWAY COMPANY LTD % of Total Portfolio: 3.3%
Bernie
