Merrill Lynch International Investment Funds Audited Annual Report ...

Conservative Allocation Fund (US Dollar) continued
Portfolio of Investments 31 December 2006
Transferable Securities Admitted to an Official Stock Exchange
Listing or Dealt in on Another Regulated Market
BONDS
Holding Description Value (US$) %
US$210,000
Australia
National Australia Bank EMTN FRN
15/3/2007
___________
210,142
______
1.62
Canada
€50,000 Bombardier FRN 15/11/2013
___________
66,113
______
0.51
France
€30,000 Alcatel 4.375% 17/2/2009 39,564 0.31
€50,000 Pernod-Ricard FRN 6/6/2011
___________
65,926
______
0.51
___________
105,490
______
0.82
Germany
€202,000 Bundesrepublik Deutschland '05' 4%
4/1/2037
___________
263,392
______
2.04
Guernsey
€30,000 ABB International Finance 6.5%
30/11/2011
___________
43,054
______
0.33
International
¥60,600,000 European Investment Bank 1.4%
20/6/2017
___________
496,397
______
3.84
Italy
€215,000 Italy Buoni Poliennali Del Tesoro 3.75%
1/8/2016
___________
274,455
______
2.12
Poland
PLN1,670,000 Poland Government Bond '1015' 6.25%
24/10/2015
___________
616,293
______
4.76
South Africa
ZAR3,000,000 Republic of South Africa 'R153' 13%
31/8/2010
___________
494,090
______
3.82
Transferable Securities Admitted to an Official Stock Exchange
Listing or Dealt in on Another Regulated Market
Holding Description Value (US$) %
Sweden
€20,000 Scandinavian Airlines System EMTN 6%
20/6/2008
___________
26,892
______
0.21
United Kingdom
US$205,000 HBOS Treasury Services EMTN FRN
1/10/2007 205,143 1.59
US$210,000 Northern Rock EMTN FRN 10/11/2008
___________
210,576
______
1.63
___________
415,719
______
3.22
United States
US$210,000 Bank of America MTNK 5.48%
18/9/2009 210,345 1.63
US$210,000 Berkshire Hathaway Finance FRN
11/1/2008 210,333 1.63
US$200,000 Citigroup FRN 4/6/2007 200,112 1.55
US$250,000 US Treasury Bill 0% 18/1/2007 249,340 1.93
US$1,100,000 US Treasury Bill 0% 22/2/2007 1,091,883 8.44
US$500,000 US Treasury Bill 0% 1/3/2007 495,819 3.83
US$1,100,000 US Treasury Bill 0% 8/3/2007 1,089,796 8.43
US$500,000 US Treasury Bill 0% 15/3/2007 494,891 3.83
US$485,000 US Treasury Bond 4% 30/9/2007 481,363 3.72
US$210,000 Wells Fargo (Old) MTN FRN
10/3/2008
___________
210,222
______
1.63
___________
4,734,104
______
36.62
Total Bonds
___________
7,746,141
______
59.91
Total Portfolio 12,773,628 98.80
Other Net Assets
___________
154,753
______
1.20
Total Net Assets (US$)
___________
12,928,381
______
100.00
Sector Breakdown as at 31 December 2006
% of net
assets
Fixed interest 59.9
Investment funds 11.7
Finance 7.7
Information technology 3.9
Consumer discretionary 2.8
Energy 2.8
Industrials 2.4
Healthcare 2.3
Consumer staples 2.2
Materials 1.7
Telecommunication services 1.5
Other net assets
___________
1.2
___________
100.0
Open Futures Contracts as at 31 December 2006
Number
Expiration Value
of Contracts
Contract/Description
date US$
1 Hang Seng January 2007 128,770
3 Australian 3 Year Treasury Bond March 2007 222,624
(4) DJ Euro STOXX 50 March 2007 (219,246)
15 Eurex Euro Bund March 2007 2,296,467
(5) Euro DTB BOBL March 2007 (717,374)
(1) Japanese Government Bond (TSE) March 2007 (1,128,058)
(2) Nikkei 225 (SIMEX) March 2007 (145,289)
(7) S&P 500 E-Mini March 2007 (502,425)
(14) US Treasury 10 Year Note March 2007 (1,504,125)
(12) US Treasury 5 Year Note March 2007
_________
(1,260,375)
Total commitment
_________
(2,829,031)
Note: The net unrealised profit of US$10,886 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 69