Merrill Lynch International Investment Funds Audited Annual Report ...

Global Allocation Fund continued
Written Call Options as at 31 December 2006
Par Value
Subject
to Call
US$
Issuer
Unrealised
profit/(loss)
US$
Value
US$
(2,970) Sprint Nextel Call Option
strike price US$22.50
expiring on 19/1/2008 513,220 (311,850)
(801) Suncor Energy Call Option
strike price US$50
expiring on 20/1/2007 (1,546,306) (2,290,860)
(719) Tellabs Call Option
strike price US$12.50
expiring on 20/1/2007 129,056 (5,393)
(1,361) Tenet Healthcare Call Option
strike price US$7.50
expiring on 20/1/2007 220,920 (10,208)
(3,142) TIBCO Software Call Option
strike price US$7.50
expiring on 20/1/2007 (284,287) (659,820)
Par Value
Subject
to Call
US$
Issuer
Unrealised
profit/(loss)
US$
Value
US$
(750) Tyco International Call Option
strike price US$25
expiring on 20/1/2007 (103,771) (438,750)
(2,140) Valeant Pharmaceuticals International Call Option
strike price US$15
expiring on 20/1/2007 28,950 (551,050)
(1,047) Vodafone Group Call Option
strike price US$20
expiring on 20/1/2007 (683,696) (832,364)
(367) Wendy's International Call Option
strike price US$45
expiring on 20/1/2007
_________
(768,142)
_________
(1,034,940)
Total Written Call Options (15,087,707)
_________
(41,420,403)
_________
Note: Written Call Options are included in the Statement of Net Assets (see Note 2c).
Sector Breakdown as at 31 December 2006
% of net
assets
Fixed interest 45.8
Finance 14.2
Industrials 7.5
Energy 6.7
Information technology 4.7
Telecommunication services 4.2
Materials 3.6
Healthcare 3.1
Consumer staples 3.0
Consumer discretionary 2.6
Utilities 2.1
Investment funds 1.6
Other net assets
___________
0.9
___________
100.0
Open Futures Contracts as at 31 December 2006
Number
Expiration Value
of Contracts
Contract/Description
date US$
41 DAX (EURO) March 2007 8,988,680
46 DJ Euro STOXX 50 March 2007 2,521,329
101 FTSE 100 March 2007 12,324,617
(107) Japanese Government Bond (TSE) March 2007 (120,702,249)
15 Nikkei 225 (OSAKA) March 2007 2,179,959
115 S&P 500 IDX March 2007 41,267,750
177 S&P/TSX 60 March 2007 22,761,282
6 TSE TOPIX March 2007 849,515
12 CME/IMM Euro dollar September 2008 142,717,500
(12) CME/IMM Euro dollar September 2009 (142,612,500)
__________
Total commitment
__________
(29,704,117)
Note: The net unrealised profit of US$1,135,045 attributed to these transactions is included in
the Statement of Net Assets (see Note 2c).
Open Forward Foreign Exchange Transactions
as at 31 December 2006
Purchases
Sales Value date
Unrealised
profit/(loss)
US$
€26,824,818 US$35,460,478 12/1/2007 (84,470)
CHF49,826,178 US$40,333,000 16/1/2007 555,432
€120,927,006 US$159,500,000 19/1/2007 23,516
¥6,238,592,055 US$53,870,348 31/1/2007 (1,212,844)
IDR72,486,000,000 US$7,624,762 6/8/2007 262,802
US$5,070,427 IDR47,447,000,000 6/8/2007
________
(92,518)
Net unrealised loss
________
(548,082)
Note: The net unrealised loss attributed to these transactions is included in the Statement of
Net Assets (see Note 2c).
The notes on pages 213 to 219 form an integral part of these financial statements.
Audited Annual Report and Accounts 109