The Asia Tigers Fund, Inc.
Semiannual Report
April 30, 2000
ADVANTAGE ADVISERS, INC.
<PAGE>
The Asia Tigers Fund, Inc.
May 19, 2000
Dear Shareholder,
We are pleased to present you with the unaudited financial statements of The
Asia Tigers Fund, Inc. (the "Fund") for the six-month period ended April 30,
2000.
The Fund's net asset value ("NAV") increased by 16.1% during the six months
ended April 30, 2000, more than double the 6.4% increase in the MSCI AC Asia
Free ex-Japan Index (the Fund's benchmark) during the same period a year ago.
Most of the Fund's increase in the past six months reflected gains in the final
months of 1999. Since the start of 2000, most markets in non-Japan Asia have
slumped, reflecting, among other things, the influence of the slide in the U.S.
markets and underperformance in the smaller Southeast Asian markets that have no
significant participation in the "New Economy" (technology, media and
telecommunications -- or TMT -- companies).
We find this recent downtrend in the Asian markets especially disappointing in
view of the Fund's Investment Manager's view of the Asian region's continuing,
solid economic recovery. However, the Investment Manager believes that the
economic fundamentals will result in a rebound in these markets, with
opportunities for significant gains in technology-driven economies with
progressive governments and shareholder-friendly companies.
In the following pages, the Investment Manager provides a detailed look at the
Fund's portfolio, as well as a discussion of the economic and market conditions
of the region.
On behalf of the Board of Directors, thank you for your participation in the
Fund.
Sincerely,
/s/ Bryan McKigney
Bryan McKigney
President and Secretary
1
<PAGE>
THE ASIA TIGERS FUND, INC.
Report of the Investment Manager
--------------------------------------------------------------------------------
PERFORMANCE
The six months ended April 30, 2000 was an eventful period for the non-Japan
Asia equity markets, encompassing both the end of calendar year 1999 - a year of
excellent investment returns - and the beginning of what appears to be a
significant, sustained market correction.
The NAV of the Asia Tigers Fund rose 16.1% during the six months ended April 30,
2000, more than double the 6.4% increase in the MSCI AC Asia Free ex-Japan
Index, the Fund's benchmark, during the same period.
Although five of the ten markets in which the Fund actively invests registered
positive gains during the six months ended April 30, 2000, the most recent
reality has been far more bearish. The gains during this period in nearly all of
the Asian markets actually occurred during the final months of calendar year
1999. Year-to-date (January 1 - April 30, 2000), only the markets in Malaysia
and Taiwan recorded gains, of 10.6% and 4.4%, respectively. Excluding Malaysia,
the rest of Southeast Asia has been a sharp underperformer, with the three
smaller markets - Indonesia, the Philippines, and Thailand - still unable to
attract significant foreign investor interest.
At the same time, in both South Korea and Taiwan, surging trade surpluses
combined with portfolio inflows led to a strengthening of the won and the New
Taiwan Dollar (NT$), respectively, helping to enhance investor returns.
Southeast Asian currencies, by contrast, were generally weaker vis-a-vis the
U.S. dollar. The Indonesian rupiah (Rp), by far the worst performer, plunged
more than 10% on the perception of rising political risk.
ASIAN MARKET RETURNS FOR THE SIX MONTHS ENDED APRIL 30, 2000
October 31, 1999 - April 30, 2000
US$ returns Local currency returns
Hong Kong 10.6% 10.9%
Taiwan 15.2 11.1
India 20.0 20.7
Singapore* -1.1 1.5
Korea 1.0 -6.6
Thailand* -7.3 -8.5
Philippines* -26.8 -24.7
Malaysia* 23.4 23.4
China* -21.2 -21.2
Pakistan 59.1 59.1
Sri Lanka -16.3 -13.2
Indonesia* -28.2 -16.6
*Market indexes used to calculate these returns reflect transactions that are
free of foreign ownership limits or legal restrictions at the country level.
Source: Factset, an on-line database of financial and market data.
2
<PAGE>
THE ASIA TIGERS FUND, INC.
--------------------------------------------------------------------------------
COUNTRY ALLOCATION
There were no substantial changes in the Fund's allocation strategy, resulting
in only modest adjustments to the Fund's country allocations during the six
months ended April 30, 2000. The increased weightings in Taiwan, India, and
Malaysia have resulted more from these countries' relative outperformance rather
than from aggressive additions by the Fund in such markets (though there were
some modest additions in all three cases).
Similarly, the Fund's overall weighting in the Southeast Asian countries except
for Malaysia (Singapore, Indonesia, Thailand and the Philippines) continued to
erode, largely due to their relative underperformance.
Our view on China has grown more positive over the past few months. While the
Fund's April 30, 2000 China weighting amounted to just 0.5% of net assets, that
figure does not take into account investments in companies with significant
exposure to China ("China plays") that are listed in Hong Kong, Taiwan, and even
Singapore.
During the six months ended April 30, 2000, the Fund liquidated marginal
positions in Sri Lanka and Pakistan.
The cash position of the Fund remained minimal at 0.4% of the Fund's assets at
April 30, 2000.
COUNTRY HOLDINGS*
April 30, 2000
Hong Kong 29.7%
Taiwan 18.9
India 15.2
Singapore 8.5
Korea 18.5
Thailand 1.8 [GRAPHIC OMITTED]
Philippines 1.4
Malaysia 3.8
China 0.5
Pakistan --
Sri Lanka --
Indonesia 1.3
Cash 0.4
*Percent of Fund's Net Assets
--------------------------------------------------------------------------------
The Fund's net asset value is calculated weekly and published in The Wall Street
Journal every Monday under the heading, "Closed End Funds." The Fund's NAV is
also published in The New York Times on Mondays and in Barron's on Saturdays.
The Fund is listed on the New York Stock Exchange under ticker symbol GRR.
If you have any questions or would like an update on the Fund, please call
toll-free (800) 421-4777. This number provides a recorded monthly review as well
as specific details about the Fund, its portfolio and performance.
--------------------------------------------------------------------------------
3
<PAGE>
THE ASIA TIGERS FUND, INC.
COUNTRY HOLDINGS* (continued)
October 31, 1999
Hong Kong 27.8%
Taiwan 16.7
India 12.1
Singapore 10.4
Korea 21.7
Thailand 3.0 [GRAPHIC OMITTED]
Philippines 2.3
Malaysia 2.5
China 0.3
Pakistan 0.4
Sri Lanka 0.1
Indonesia 2.0
Cash 0.7
*Percent of Fund's Net Assets
--------------------------------------------------------------------------------
REGIONAL OUTLOOK
All markets in non-Japan Asia, except Taiwan and Malaysia, have started the new
millennium with declines. The Asian markets' overall performance have clearly
been a disappointment, especially in view of the region's continuing economic
recovery. Throughout the region, inflation remains muted, export growth is
buoyant, and the first seeds of a recovery in consumer spending are beginning to
sprout.
Politically, progressive steps toward more open, democratic, and market-friendly
governments are under way in several countries as diverse as Taiwan, South
Korea, and Indonesia. Although this may result in shakier markets initially,
such transformations are clearly positive events in the longer term. In short,
we see no major fundamental deterioration that warrants the 10%-30% declines in
many market indexes seen from January 1 through April 30, 2000.
We believe that the bear market affecting the investment performance of
non-Japan Asia appears to be the result of two factors. First, this year's
underperformance in the Southeast Asian markets such as the Philippines,
Thailand, and Indonesia continued the trend from 1999, when the smaller,
technology-sparse equity markets nearly dropped off investors' radar screens.
Investors' perception is that these smaller markets have no significant
participation in the "New Economy" (technology, media and telecommunications -
TMT - companies).
Second, over the past year, market trends and valuations in the rest of
non-Japan Asia - particularly Taiwan, South Korea, and Hong Kong - have been
increasingly tied to the Nasdaq market in the United States. Thus, the Nasdaq
correction that began in mid-March has dragged the rest of "New Economy" Asia.
4
<PAGE>
THE ASIA TIGERS FUND, INC.
The two key factors likely to impact the Fund's performance are: (1) the effect
of the performance of the U.S. market and (2) the impact of aggressive U.S.
Federal Reserve rate hikes on non-Japan Asia's markets.
It should also be highlighted that technology stock valuations in Asia have
never become as high as they have in the United States. For example, in
Singapore, even at their peak, the contract manufacturers (e.g., Natsteel
Electronics, Omni, JIT) traded at 35-40x estimated one-year forward earnings,
compared to 45-50x for their U.S. counterparts (e.g., Solectron, Jabil,
Flextronics). At some point, we believe that these more reasonable Asian
valuations may put a floor under some Asian share prices.
With respect to the second factor, we believe that investors may be
overestimating the impact of rising U.S. interest rates on Asia. Thus far, we
have only seen a negligible impact from the 125 basis points (1.25 percentage
points) of Federal Reserve rate increases since early 1999. We believe that Asia
is better insulated from U.S. rate hikes as the region is currently a net
exporter of capital. Having generated considerable current account surpluses for
the past eighteen months while maintaining quasi-closed capital accounts, most
Asian economies are awash in liquidity. Even in Hong Kong, whose currency is
linked to the U.S. dollar, "real" interest rates have been falling faster than
in any other economy in Asia. Because the Asian economies have only recently
begun to recover from their 1997-98 recessions, inflation does not appear to be
as big a concern there as it is in the United States. There is significant room
for these economies to grow in a non-inflationary environment. Thus, as
restructuring continues in Asia and more capital is freed up, we believe that
Asian central banks will not need to react significantly to rising rate
pressures in the United States.
We believe that if Asian markets recover and resume their uptrend, the positive
trends of 1999 are likely to continue, as technology-driven economies with
progressive governments and shareholder-friendly companies increase the gap
between themselves and those that are unable to adjust to a more competitive
world. Upcoming weightings of the Morgan Stanley Capital International (MSCI)
Index are also likely to further this trend. China is being added to the Index
for the first time, while Malaysia has recently been readmitted to the MSCI (it
was taken out in September 1998 after adopting capital controls). In our
opinion, adding these two countries will further reduce the already marginal
weightings of countries such as the Philippines, Thailand, and Indonesia.
The Fund's strategy, which primarily employs a bottom-up, stock-picking focus
with a quantitative overlay, is also unlikely to change. We expect that our
research will continue to lead us mainly in the direction of the larger markets,
and that we will continue to have a significant weighting in technology-related
sectors and minimal weightings in the smaller Southeast Asian markets.
5
<PAGE>
THE ASIA TIGERS FUND, INC.
CHINA
US$1.3 million, 0.5% of the Fund's total investments as of April 30, 2000.
China's economy has continued on its path of cyclical recovery. Exports have
been surging, currency risk has apparently diminished, and we believe deflation
is ending. The painful economic reforms of the past three years are bearing
fruit, with operational and economic efficiencies improving and freeing up more
resources for the economy. On the operational side, Chinese companies are
becoming more efficient as a result of cutting costs and using less capital,
which in turn results in earning higher returns. On an overall macroeconomic
level, the government is restructuring many state-owned enterprises, and the
banking system is becoming more market-driven and less political.
While cross-straits political tensions (i.e., between Mainland China and Taiwan)
remain a continuing risk going forward, we believe that Taiwan President Chen
Shui-bian's Mainland stance should keep the tensions manageable in the short
term. Taiwan's president appears to be taking reasonable measures not to anger
or provoke China.
Finally, China's potential installation into the World Trade Organization later
this year may also be a major positive catalyst for the economy.
Many Chinese listed companies have some of the most attractive
growth-to-valuation profiles in Asia. Recently, the Fund added a position in
PetroChina, China's largest producer of oil and natural gas, with estimated
proven reserves of 10.8 billion barrels. A rigorous corporate restructuring is
expected to lead to impressive efficiency gains over the next several years. In
1999, PetroChina's reported profits more than doubled to 22 billion yuan from
8.6 billion yuan.
HONG KONG
US$76.2 million, 29.7% of the Fund's total investments as of April 30, 2000.
Inspired by the Nasdaq, Hong Kong has spent the better part of the past six
months caught up in its own "dot-com" fever, with scores of companies either
reinventing themselves or buying shell companies and launching Internet-related
businesses. (Internet-related companies are currently a prominent feature of the
Hong Kong market, and therefore impact its overall trends.) Although much of the
bubble appears to have already burst, the phenomenon highlights how closely much
of Asia has tied itself to the Nasdaq's movements. Meanwhile, we expect that
Hong Kong's real economy should continue to recover in 2000, reflecting
improving business and consumer confidence, an end to deflation, and a revival
in domestic demand. Loan growth, which has been in negative territory for the
past two years, is expected to turn positive in the second half of calendar year
2000.
Hutchison Whampoa is the Fund's single largest holding. Hutchison operates five
core businesses in twenty-six countries: ports and related services,
telecommunications, property development and investment, retail, and energy.
With a visionary management and a cash-rich balance sheet, we believe that
Hutchison is the premier conglomerate in non-Japan Asia. In 1999, Hutchison
reported net income of HK$7.8 billion, a 10% decline year-on-year from HK$8.7
billion in 1998, although this result was affected by a large one-time capital
gain in 1998.
6
<PAGE>
THE ASIA TIGERS FUND, INC.
INDIA
US$39.0 million, 15.2% of the Fund's total investments as of April 30, 2000.
Benefiting from greater political stability, last year's pickup in industrial
production and export strength has continued into 2000. While the fiscal year
2000/2001 Government Budget did not contain any specific economic stimulus
measures, the government has remained committed to reducing subsidies to
consumers for such items as diesel fuel and water, which has caused serious
distortions in the economy. The Indian Government has also remained committed to
privatization of state-owned enterprises, despite vocal protests from various
political parties. Meanwhile, the linkage between the Indian technology sector
and Nasdaq has become even more pronounced over the past six months, a fact that
has made the overall Indian market more vulnerable to Nasdaq's sharp gyrations.
An important sector within the Fund's portfolio continues to be the software
industry, with the biggest holding in Infosys Technologies. Operating with a
March fiscal year-end, Infosys recently announced a more than doubling of fourth
fiscal quarter profits to 934 million rupees from 431 million rupees in the
year-earlier period. For the entire fiscal year ended in March 2000, reported
net profit surged 122% to 2.85 billion rupees from 1.33 billion rupees for the
fiscal year ended March 1999.
INDONESIA
US$3.3 million, 1.3% of the Fund's total investments as of April 30, 2000.
Since being elected president last October in Indonesia's first free democratic
elections, Abdurhim Wahid (also known as Gus Dur) has made what many in the
analyst community (including investment, political, and those at international
institutions such as the World Bank and IMF) consider reasonable progress in
bringing Indonesia out of its worst political crisis in more than thirty years.
The Indonesian Government has attracted broad international support from other
foreign governments and various international institutions, the military's
ambitions to indefinitely postpone moves toward democratization have been
contained, and there are signs that corruption and incompetence problems are
being seriously addressed.
Nevertheless, many investors have grown increasingly impatient with Indonesia's
perceived lack of progress in tackling the economy's woes, most specifically the
country's dysfunctional banking system. (Almost every bank in Indonesia has
serious non-performing loan problems and probably needs to be recapitalized.)
In addition, power struggles within the Wahid Administration - though not
unusual for coalition governments in fledgling democracies - have nonetheless
served to further unnerve investors who have been hoping for substantive action
on Indonesia's structural problems. Many believe the country still lacks many of
the basic institutions necessary for a market-based economy to thrive, including
the basic rule of law and an independent judiciary system.
7
<PAGE>
THE ASIA TIGERS FUND, INC.
The Fund's holdings in Indonesia reflect a large overweighting in the country's
kretek (clove cigarettes) industry, one of the few businesses in Indonesia that
historically has produced consistently high returns on capital and generated
positive returns for shareholders. Both Gudang Garam and HM Sampoerna have
strong franchises, with returns on assets exceeding 25% and free cash flow
generation. For 1999, Gudang Garam's reported net profit more than doubled to
rupiah (Rp) 2.28 trillion from Rp 1.08 trillion in 1998. HM Sampoerna's reported
net earnings also rebounded, rising to Rp 1.4 trillion, from a Rp 95 billion
loss in 1998.
KOREA
US$47.5 million, 18.5% of the Fund's total investments as of April 30, 2000.
South Korea's impressive recovery from the Asian Crisis may be attributed to a
mixture of both government and corporate structural reform policies and a basic
cyclical economic recovery. Corporate reforms include the reform of the
"chaebols," a unique type of Korean conglomerate that historically has borrowed,
invested, and expanded aggressively. The reform involves the government putting
limits on the activities of the chaebols.
Since the beginning of calendar year 2000, although the structural story remains
intact, there are signs that the economic cycle is peaking. Inflation has been
showing signs of revival, while the current account deficit has begun to
deteriorate on surging imports. Nevertheless, despite these developments, these
factors appear to be already factored into Korean shares' valuations. Since the
advent of the Kosdaq (Korea's version of Nasdaq) in mid-1999, massive liquidity
has flowed out of Kospi-listed companies (Korea's traditional stock market
index, similar to the Dow Jones Industrial Average) to new Kosdaq listings,
resulting in what we believe are extremely undervalued stocks among many Korean
blue-chip shares.
The Fund continues to carry significant exposure to the Samsung Group, including
Samsung Electronics, Electro-Mechanics, and Samsung Securities. The nonfinancial
Samsung Group companies have continued to outperform the broader market,
reflecting progressive, energetic management and sound business models. Samsung
Electronics, the world's fourth largest semiconductor maker, reported a more
than fourfold surge in its first quarter 2000 net profit to 1.6 trillion won
from the year-earlier 351 billion won, largely because of increased sales of
digital products such as portable music players, set-top boxes, and digital TVs.
The company reports that it is in the midst of expanding its product line to
lessen its dependence on the computer memory chip market.
MALAYSIA
US$9.7 million, 3.8% of the Fund's total investments as of April 30, 2000
Malaysia's equity market has been the star performer since January, although
this can be largely attributed to technical factors. Malaysia returned to the
MSCI Index as of May 31, 2000 with an index weighting estimated between 7% and
9%. As many foreign institutions started January with very small holdings in
Malaysia, market analysts have speculated that much of the buying in the first
quarter of 2000 was probably index-driven, in anticipation of Malaysia's return
to the MSCI Index.
8
<PAGE>
THE ASIA TIGERS FUND, INC.
While there is a clear need for continuing political reform, the Malaysian
Government appears to have taken more pro-active measures to root out corruption
and cronyism than the authorities in Thailand, the Philippines, or Indonesia.
With its massive trade surpluses, low inflation, and stable currency, Malaysia's
economy is second only to Singapore in terms of being cyclically healthy. We
continue to overweight the integrated circuit assembly industry, with holdings
in both Unisem and Malaysian Pacific Industries (MPI). Both are considered
high-quality companies that trade at low valuations relative to their Asian
peers. Unisem recently announced calendar 1999 earnings per share growth of 33%
and revenue growth of 50%. MPI, which has a June fiscal year-end, is forecast to
see similar growth rates.
PHILIPPINES
US$3.5 million, 1.4% of the Fund's total investments as of April 30, 2000.
Among non-Japan Asian equity markets, the Philippines' performance has been one
of the biggest post-Asian-crisis disappointments. We believe that this can be
partly explained by the market's lack of technology exposure, small size, and
related lack of liquidity.
However, we believe that a possibly more important reason has been the lack of
political and economic reform. Key deregulation measures have stalled in
industries such as power and retailing, while the lack of confidence in
President Estrada's Administration has caused consumers and businessmen alike to
put spending and investment plans on hold. Consequently, while we believe that
many blue chips in the Philippines look extremely undervalued, we don't expect
investor sentiment to improve markedly in the near term.
The Fund liquidated its banking industry exposure in January, while retaining
exposure to telecommunications, media, retail, and the power sector. One of our
biggest holdings in the Philippines is ABS-CBN, a leading broadcast TV channel
in the Philippines, which leads the industry in high-quality programming
compared to its competitors. The company's reported earnings soared 57% in
calendar year 1999 to pesos 2.2 billion from pesos 1.4 billion the previous
year. We believe that ABS-CBN's valuations compare highly favorably to other
media companies in Asia.
SINGAPORE
US$21.9 million, 8.5% of the Fund's total investments as of April 30, 2000.
More than any other Southeast Asian market, Singapore has a fast-growing
technology hardware sector, with an extensive contract-manufacturing industry.
However, we believe that two other major sectors represented on the stock market
- banks and properties - are facing lackluster growth prospects. After a down
year in 1999, loan growth is expected to rise only 2-4% in 2000. Even with
interest rates remaining at historical lows (Singapore interbank rates have been
hovering at 2.5-3%), residential property sales figures continue to come in
below expectations, adversely affecting the banking and property sectors of the
Singapore market, and therefore impacting the Fund's performance there.
9
<PAGE>
THE ASIA TIGERS FUND, INC.
One of the Fund's largest exposures in Singapore continues to be the electronics
contract-manufacturing sector, with holdings in Omni Industries, Natsteel
Electronics, and Venture. In addition, since the beginning of 2000, the Fund has
increased its exposure to the semiconductor industry by establishing positions
in Chartered Semiconductors and ST Assembly Test Services (STATS). All five of
these companies are benefiting from the same broad trend of global outsourcing
by multinationals. Omni's recently released calendar year 1999 results showed
net profit up 80% to Singapore dollars (S$) 29.6 million compared to S$16.5
million in 1998. The result was 7% above the consensus forecast. Natsteel
Electronics also reported stellar results, with calendar year 1999 net profits
more than doubling to S$79.3 million from S$34.9 million in 1998. Natsteel
Electronics' results were 28% above the market's consensus forecast.
TAIWAN
US$48.6 million, 18.9% of the Fund's total investments as of April 30, 2000.
The big news in Taiwan so far this year was the presidential elections in March,
where the ruling KMT party suffered its first defeat in Taiwan's modern history,
losing to the Democratic Progressive Party's candidate, Chen Shui-bian. Although
a clear victory for pro-reform advocates in Taiwan, Chen's win has already shown
that it is likely to result in a more volatile stock market, due to China's
hostility to President Chen's pro-independence remarks in the past. However,
this volatility may be mitigated by the fact that Chen has made a vigorous
effort toward conciliatory gestures to China.
The Fund's key focus in Taiwan remains in its technology-related sectors.
Holdings include Taiwan Semiconductor Manufacturing Company, Hon Hai Precision
Industry, and Asustek Computers Inc. Taiwan's technology companies are globally
competitive, strongly managed, and trading on some of the cheapest
price-to-growth ratios in the region. Taiwan Semiconductor recently announced
first quarter 2000 results, which showed sales up 126% year-on-year to New
Taiwan Dollar (NT$) 28.2 billion from NT$12.5 billion a year earlier, while net
profit rose 147% to NT$10.1 billion from NT$4.1 billion a year earlier.
THAILAND
US$4.5 million, 1.8% of the Fund's total investments as of April 30, 2000
Last year's optimism regarding an accelerated recovery of the banking system has
proved premature, with Thai banks' nonperforming loan ratio (NPL) now having
stagnated at roughly 35-37% since January 2000. Thailand continues to address
such structural problems as political cronyism and inadequate regulatory
frameworks; however, slow progress is helping to perpetuate an outlook for
little-to-no loan growth.
The Fund's exposure in Thailand centers mainly on the telecommunications
industry, with overweight positions in both Advanced Information Service and
Telecom Asia, the country's leading wireless and fixed-line operators. Advanced
Information Service recently announced that calendar year 1999 earnings surged
90% to baht 2.75 billion, reflecting both a large increase in subscribers and
Thailand's recovering economy. Telecom Asia also continues to add fixed-line
subscribers at a healthy pace. In the first quarter of 2000, subscriber growth
surged 37% quarter-on-quarter and 107% year-on-year.
Punita Kumar-Sinha
Portfolio Manager
Advantage Advisers, Inc.
10
<PAGE>
THE ASIA TIGERS FUND, INC.
--------------------------------------------------------------------------------
SHARE REPURCHASE PROGRAM
In December 1999, the Board of Directors of the Fund authorized the Fund to
repurchase from time to time in the open market up to 1,000,000 shares of the
Fund's common stock. The Fund's Board directed management to repurchase the
Fund's shares at such times and in such amounts as management believes will
enhance shareholder value, subject to review by the Fund's Board of Directors.
During the six months ended April 30, 2000, the Fund repurchased a total of
317,300 shares of its common stock. (For details regarding shares repurchased by
the Fund, see Note D to the Financial Statements.)
In accordance with the Board's directions, the Fund may from time to time
repurchase additional shares of its common stock in the open market.
AMENDMENT OF BYLAWS
During May 2000, the Board of Directors of the Fund reviewed and approved
certain amendments to the Fund's bylaws that have been recommended by Maryland
counsel to the Fund. For example, the provisions relating to timely notice for
proposals to be brought before an annual meeting of stockholders (other than a
proposal under Rule 14a-8 of the Securities Exchange Act of 1934 to be included
in the Fund's proxy statement) have been amended. As amended, a stockholder's
notice generally must be delivered to the Fund not less than 90 days nor more
than 120 days prior to the first anniversary of the preceding year's annual
meeting. In addition, upon recommendation of the Fund's Maryland counsel, other
changes to certain bylaw provisions were made to conform to the bylaw provisions
of more recently incorporated Maryland corporations.
--------------------------------------------------------------------------------
11
<PAGE>
THE ASIA TIGERS FUND, INC.
April 30, 2000
Schedule of Investments (Unaudited)
COMMON STOCKS (97.52% of holdings)
<TABLE>
<CAPTION>
Number Percent of
of Shares Security Holdings Cost Value
---------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
China 0.50%
Coal 0.09%
1,200,000 Yanzhou Coal Mining Company Limited ....... $ 380,218 $ 240,333
------------ ------------
Energy Sources 0.26%
44,400 Petrochina Company Limited ADR + .......... 715,607 671,550
------------ ------------
Utilities - Electric & Gas 0.15%
2,676,000 Beijing Datang Power Generation ........... 765,182 371,037
------------ ------------
Total China ............................... 1,861,007 1,282,920
------------ ------------
Hong Kong 29.70%
Banking 2.60%
426,300 Hang Seng Bank ............................ 3,806,825 3,926,851
246,000 HSBC Holdings ............................. 2,803,473 2,747,651
------------ ------------
6,610,298 6,674,502
------------ ------------
Business/Public Service 0.06%
130,000 Computer & Technologies Holdings 448,971 149,373
Limited +................................. ------------ ------------
Consumer Goods & Services 1.27%
841,000 Li & Fung Limited ......................... 1,122,797 3,249,897
------------ ------------
Electronic Components & Instruments 0.09%
404,000 TCL International Holdings Limited + ...... 264,407 243,773
------------ ------------
Energy Sources 0.24%
4,624,000 Shanghai Petrochemical Company 741,769 623,325
Limited ................................... ------------ ------------
Financial Services 0.46%
298,800 Dah Sing Financial Group .................. 1,190,105 1,170,005
------------ ------------
Food & Household Products 0.13%
676,000 Ng Fung Hong Limited ...................... 400,773 338,469
------------ ------------
Internet 0.00%
6,912 Sunevision Holdings Limited + ............. 9,310 9,007
------------ ------------
Manufacturing 0.48%
1,164,000 Esprit Holdings Limited ................... 894,040 1,240,333
------------ ------------
Media 0.36%
134,000 Television Broadcasts Limited ............. 617,722 916,076
------------ ------------
</TABLE>
12
<PAGE>
THE ASIA TIGERS FUND, INC.
April 30, 2000
Schedule of Investments (continued) (Unaudited)
COMMON STOCKS (continued)
<TABLE>
<CAPTION>
Number Percent of
of Shares Security Holdings Cost Value
---------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Hong Kong (Cont'd)
Multi-Industry 7.86%
328,000 China Resources Enterprises Limited ....... $ 500,375 $ 412,674
1,354,000 Hutchison Whampoa ......................... 9,107,072 19,729,754
------------ ------------
9,607,447 20,142,428
------------ ------------
Real Estate 8.16%
1,074,000 Amoy Properties Limited ................... 1,048,695 758,358
821,000 Cheung Kong Holdings ...................... 5,820,948 9,802,419
523,000 Great Eagle Holdings Limited .............. 746,746 893,018
1,026,000 Kerry Properties Limited .................. 1,533,764 1,264,520
942,700 Sun Hung Kai Properties ................... 6,381,399 7,473,389
351,714 Wharf Holdings Limited .................... 920,233 729,238
------------ ------------
16,451,785 20,920,942
------------ ------------
Retailing 1.26%
447,000 Dickson Concepts International
Limited ................................... 379,782 433,273
1,710,000 Giordano International Limited ............ 1,245,966 2,799,068
------------ ------------
1,625,748 3,232,341
------------ ------------
Telecommunications 5.68%
2,598,400 Cable and Wireless Limited ................ 5,116,320 6,121,378
950,000 China Telecommunication + ................. 2,096,579 6,860,461
893,000 City Telecommunication Limited ............ 610,989 312,410
2,314 I-Cable Communications Limited + .......... 3,125 1,017
18,600 I-Cable Communications Limited ADR + ...... 519,725 167,400
248,000 Pacific Century Cyberworks ................ 212,196 461,665
90,500 Sunday Communications Limited ADR + ....... 1,004,594 633,500
------------ ------------
9,563,528 14,557,831
------------ ------------
Textiles & Apparel 0.30%
1,958,000 Glorious Sun Enterprises Limited .......... 748,406 527,885
600,000 Softbank Investment International
Strategic Limited + ....................... 1,051,525 250,347
------------ ------------
1,799,931 778,232
------------ ------------
</TABLE>
13
<PAGE>
THE ASIA TIGERS FUND, INC.
April 30, 2000
Schedule of Investments (continued) (Unaudited)
COMMON STOCKS (continued)
<TABLE>
<CAPTION>
Number Percent of
of Shares Security Holdings Cost Value
---------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Hong Kong (Cont'd)
Traffic Management Systems 0.18%
3,903,000 Zhejiang Expressway Company ............... $ 564,079 $ 450,970
------------ ------------
Transportation - Air 0.36%
512,000 Cathay Pacific Airways Limited ............ 824,084 923,535
------------ ------------
Utilities - Electric & Gas 0.21%
119,400 CLP Holdings Limited ...................... 623,656 534,979
------------ ------------
Total Hong Kong ........................... 53,360,450 76,156,018
------------ ------------
India 15.19%
Automobiles 0.28%
49,300 Punjab Tractors ........................... 960,833 726,229
------------ ------------
Banking 0.26%
500 Bank of Baroda ............................ 1,250 470
38,200 ICICI Bank Limited Sponsored ADR *+ ....... 420,200 658,950
------------ ------------
421,450 659,420
------------ ------------
Beverages & Tobacco 0.43%
85,000 ITC ....................................... 1,381,536 1,109,966
------------ ------------
Broadcasting & Publishing 0.13%
20,600 Zee Telefilms Limited ..................... 498,069 335,074
------------ ------------
Building Materials & Components 0.15%
301,150 India Cements Limited ..................... 606,279 386,355
------------ ------------
Business / Public Service 5.89%
61,686 Infosys Technology ........................ 1,261,651 11,446,887
75,176 NIIT Limited .............................. 1,511,202 3,513,380
150,000 Vans Information & Investor Service + ..... 344,037 148,110
------------ ------------
3,116,890 15,108,377
------------ ------------
Chemicals 0.94%
500 Castrol India ............................. 5,569 3,459
301,872 Reliance Industries ....................... 1,078,166 2,399,070
------------ ------------
1,083,735 2,402,529
------------ ------------
</TABLE>
14
<PAGE>
THE ASIA TIGERS FUND, INC.
April 30, 2000
Schedule of Investments (continued) (Unaudited)
COMMON STOCKS (continued)
<TABLE>
<CAPTION>
Number Percent of
of Shares Security Holdings Cost Value
---------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
India (Cont'd)
Construction & Housing 0.00%
1,320 Larsen & Toubro Limited ................... $ 8,196 $ 7,061
------------ ------------
Energy Sources 0.43%
435,000 Hindustan Petroleum ....................... 2,053,443 1,114,656
------------ ------------
Health / Personal Care 1.62%
75,950 Hindustan Lever ........................... 3,147,149 4,167,071
------------ ------------
Metals - Steel 0.29%
294,500 Tata Iron & Steel ......................... 1,109,668 732,033
------------ ------------
Technology 1.73%
62,000 Satyam Computer Services .................. 1,186,165 4,431,615
------------ ------------
Telecommunications 2.93%
149,250 HCL Technologies Limited + ................ 2,011,994 5,504,983
78,500 Shyam Telecom Limited + ................... 593,631 461,289
81,200 Videsh Sanchar Nigam Limited GDR .......... 1,365,470 1,534,680
------------ ------------
3,971,095 7,500,952
------------ ------------
Utilities - Electric & Gas 0.11%
43,000 Gas Authority of India Limited -
Sponsored GDR + .......................... 415,810 274,125
------------ ------------
Total India ............................... 19,960,318 38,955,463
------------ ------------
Indonesia 1.28%
Beverages & Tobacco 0.78%
876,500 Gudang Garam .............................. 1,479,301 1,386,867
427,500 PT Hanjaya Mandala Sampoerna .............. 1,038,010 620,957
------------ ------------
2,517,311 2,007,824
------------ ------------
Food & Household Products 0.18%
675,000 Indofood Sukses Makmur + .................. 807,722 461,393
------------ ------------
Telecommunications 0.32%
93,800 Telekomunik Indonesia ADR ................. 625,874 809,025
------------ ------------
Total Indonesia ........................... 3,950,907 3,278,242
------------ ------------
</TABLE>
15
<PAGE>
THE ASIA TIGERS FUND, INC.
April 30, 2000
Schedule of Investments (continued) (Unaudited)
COMMON STOCKS (continued)
<TABLE>
<CAPTION>
Number Percent of
of Shares Security Holdings Cost Value
---------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Korea 18.54%
Appliance & Household Durables 6.21%
58,910 Samsung Electronics ....................... $ 5,422,473 $ 15,925,208
------------ ------------
Banking 1.45%
119,722 H & CB .................................... 2,191,248 2,049,757
154,062 Kookmin Bank .............................. 1,982,046 1,665,910
------------ ------------
4,173,294 3,715,667
------------ ------------
Beverages & Tobacco 0.29%
25,740 Hite Brewery Company ...................... 798,601 730,624
------------ ------------
Business/Public Service 0.26%
5,430 Locus Corporation + ....................... 653,960 660,554
------------ ------------
Chemicals 1.10%
123,030 L.G. Chemical Limited. .................... 1,543,927 2,827,002
------------ ------------
Computers 0.01%
4,000 Mirae Corporation ADR + ................... 64,320 38,000
------------ ------------
Construction & Housing 0.51%
34,900 Kumkang Korea Chemical Company
Limited ................................... 2,215,017 1,314,548
------------ ------------
Electrical & Electronics 0.77%
28,900 Samsung Electro-Mechanics Company ......... 1,253,256 1,966,164
------------ ------------
Electronic Components & Instruments 0.26%
42,610 Hyundai Electronics Industries
Company ................................... 974,680 675,770
------------ ------------
Financial Services 0.30%
1,050 Dongwon Securities Company ................ 17,212 10,502
8,658 Dongwon Securities Company Rights
Expiration date 05/09/2000 + .............. 25,436 --
45,090 Samsung Securities Company Limited ........ 1,994,322 759,796
------------ ------------
2,036,970 770,298
------------ ------------
</TABLE>
16
<PAGE>
THE ASIA TIGERS FUND, INC.
April 30, 2000
Schedule of Investments (continued) (Unaudited)
COMMON STOCKS (continued)
<TABLE>
<CAPTION>
Number Percent of
of Shares Security Holdings Cost Value
---------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Korea (Cont'd)
Food & Household Products 0.54%
13,130 Cheil Jedang Corporation .................. $ 945,135 $ 674,395
5,650 Lotte Confectionery ....................... 928,057 697,499
------------ ------------
1,873,192 1,371,894
------------ ------------
Internet 0.43%
6,077 Daum Communications Corporation ........... 550,310 287,490
75,000 Korea Next Education Services Inc. ........ 808,785 756,927
14,250 Korea Next Education Services Inc.
Rights Expiration date 05/26/2000 + ....... -- 66,001
------------ ------------
1,359,095 1,110,418
------------ ------------
Machinery & Engineering 0.52%
40,200 Halla Climate Control ..................... 1,315,012 1,322,190
------------ ------------
Metals - Steel 0.77%
16,500 Pohang Iron & Steel ....................... 712,299 1,335,731
30,000 Pohang Iron & Steel ADR ................... 982,500 630,000
------------ ------------
1,694,799 1,965,731
------------ ------------
Retailing 0.02%
4,231 Telson Electronics Company Limited ........ 27,051 60,620
------------ ------------
Telecommunications 2.69%
35,600 Korea Telecom ............................. 2,081,697 2,431,611
16,830 SK Telecom ................................ 1,241,831 4,473,846
------------ ------------
3,323,528 6,905,457
------------ ------------
Transportation - Air 0.28%
77,595 Korean Air Lines .......................... 967,881 713,196
------------ ------------
Utilities - Electric & Gas 2.13%
186,550 Korea Electric Power ...................... 6,348,572 5,463,280
------------ ------------
Total Korea ............................... 36,045,628 47,536,621
------------ ------------
</TABLE>
17
<PAGE>
THE ASIA TIGERS FUND, INC.
April 30, 2000
Schedule of Investments (continued) (Unaudited)
COMMON STOCKS (continued)
<TABLE>
<CAPTION>
Number Percent of
of Shares Security Holdings Cost Value
---------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Malaysia 3.77%
Banking 0.67%
410,100 Malayan Banking ........................... $ 927,174 $ 1,705,153
------------ ------------
Electrical & Electronics 1.77%
169,000 Malaysian Pacific Industries .............. 1,647,209 1,890,132
297,000 Unisem .................................... 1,221,601 2,637,829
------------ ------------
2,868,810 4,527,961
------------ ------------
Investment Company 0.30%
126,800 WEBS- Malaysia Index Series ............... 797,772 776,650
------------ ------------
Leisure & Tourism 0.64%
162,000 Genting ................................... 746,773 652,263
309,000 Resorts World ............................. 712,888 1,000,184
------------ ------------
1,459,661 1,652,447
------------ ------------
Multi-Industry 0.39%
479,000 Berjaya Sports Toto ....................... 980,267 1,002,118
------------ ------------
Total Malaysia ............................ 7,033,684 9,664,329
------------ ------------
Philippines 1.35%
Beverages & Tobacco 0.15%
297,000 San Miguel-B .............................. 420,400 374,083
------------ ------------
Media 0.42%
910,600 ABS-CBN Broadcasting Corporation + ........ 1,053,091 1,069,737
------------ ------------
Real Estate 0.10%
2,024,000 SM Prime .................................. 495,789 264,735
------------ ------------
Telecommunications 0.44%
60,500 Philippine Long Distance Telephone
ADR ....................................... 1,414,573 1,115,469
------------ ------------
Utilities-Electric & Gas 0.24%
350,000 Manila Electric Company ................... 1,068,752 627,346
------------ ------------
Total Philippines ......................... 4,452,605 3,451,370
------------ ------------
</TABLE>
18
<PAGE>
THE ASIA TIGERS FUND, INC.
April 30, 2000
Schedule of Investments (continued) (Unaudited)
COMMON STOCKS (continued)
<TABLE>
<CAPTION>
Number Percent of
of Shares Security Holdings Cost Value
---------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Singapore 6.42%
Banking 1.62%
390,000 Overseas-Chinese Bank Corporation ......... $ 1,807,689 $ 2,673,894
322,800 Overseas Union Bank Limited ............... 1,381,591 1,475,441
------------ ------------
3,189,280 4,149,335
------------ ------------
Broadcasting / Publishing 1.04%
136,000 Singapore Press Holdings .................. 1,324,874 2,661,822
------------ ------------
Electronic Components & Instruments 1.33%
3,500 Chartered Semiconductor Manufacturing
Limited ADR + ............................. 186,812 305,813
215,100 Natsteel Electronics + .................... 972,552 1,235,265
13,000 ST Assembly Test Services Limited
ADR + ..................................... 510,875 541,938
112,500 Venture Manufacturing ..................... 281,948 1,318,488
------------ ------------
1,952,187 3,401,504
------------ ------------
Food & Household Products 0.28%
644,000 Want Want Holdings + ...................... 853,136 708,400
22,800 Want Want Holdings - Warrants
Expiration date 10/24/2004 + .............. 1,140 7,524
------------ ------------
854,276 715,924
------------ ------------
Real Estate 0.34%
194,600 City Developments ......................... 662,828 883,768
------------ ------------
Technology 0.45%
590,000 Omni Industries Limited ................... 638,650 1,154,761
------------ ------------
Telecommunications 0.19%
64,000 Datacraft Asia Limited + .................. 398,982 480,000
------------ ------------
</TABLE>
19
<PAGE>
THE ASIA TIGERS FUND, INC.
April 30, 2000
Schedule of Investments (continued) (Unaudited)
COMMON STOCKS (continued)
<TABLE>
<CAPTION>
Number Percent of
of Shares Security Holdings Cost Value
---------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Singapore (Cont'd)
Transportation - Air 1.17%
288,000 Singapore Airlines Limited ................ $ 2,276,031 $ 3,004,043
------------ ------------
Total Singapore ........................... 11,297,108 16,451,157
------------ ------------
Taiwan 18.72%
Business/Public Service 0.15%
116,000 Mercury Data Systems Limited .............. 446,841 379,147
------------ ------------
Chemicals 1.74%
2,083,860 Nan Ya Plastics ........................... 3,096,778 4,461,279
------------ ------------
Computers 0.63%
499,000 Acer Incorporated ......................... 1,308,551 1,043,831
128,000 Systex Corporation ........................ 676,010 558,523
------------ ------------
1,984,561 1,602,354
------------ ------------
Data Processing and Reproduction 0.63%
631,320 Compal Electronics Incorporated ........... 1,571,928 1,619,828
------------ ------------
Electrical & Electronics 7.52%
206,000 Compeq Manufacturing Company Limited ...... 1,255,617 1,137,898
462,000 Hon Hai Precision Industry ................ 1,556,211 4,454,649
1,947,184 Taiwan Semiconductor Manufacturing
Company.................................... 6,203,682 12,537,841
369,000 Winbond Electronics Corporation ........... 834,572 1,139,745
------------ ------------
9,850,082 19,270,133
------------ ------------
Electronic Components & Instruments 4.47%
734,200 Advanced Semiconductor Engineering
Incorporated .............................. 1,408,206 2,351,744
282,272 Asustek Computer Incorporated * ........... 2,507,907 3,127,642
212,000 Macronix International Company Limited .... 524,324 640,954
35,000 Ritek Incorporated ........................ 229,479 334,042
117,000 Sunplus Technology Company Limited ........ 569,972 745,710
95,000 Synnex Technology International
Corporation ............................... 504,281 642,752
38,000 Synnex Technology International
Corporation 144A GDR ** .................. 719,340 1,026,000
769,000 United Micro Electronics Company .......... 2,029,613 2,601,455
------------ ------------
8,493,122 11,470,299
------------ ------------
</TABLE>
20
<PAGE>
THE ASIA TIGERS FUND, INC.
April 30, 2000
Schedule of Investments (continued) (Unaudited)
COMMON STOCKS (continued)
<TABLE>
<CAPTION>
Number Percent of
of Shares Security Holdings Cost Value
---------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Taiwan (Cont'd)
Insurance 0.60%
631,500 Cathay Life Insurance ..................... $ 1,801,030 $ 1,527,406
------------ ------------
Metals - Steel 0.55%
2,000,000 China Steel ............................... 1,316,897 1,418,532
------------ ------------
Telecommunications 0.17%
129,000 Zyxel Communications Corporation .......... 594,385 434,287
------------ ------------
Textiles & Apparel 1.36%
2,271,000 Far Eastern Textile ....................... 2,068,896 3,488,707
------------ ------------
Transportation - Air 0.37%
1,952,000 EVA Airways Corporation + ................. 1,088,444 944,259
------------ ------------
Utilities - Electric & Gas 0.53%
573,443 Phoenixtec Power Company Limited .......... 1,133,689 1,368,241
------------ ------------
Total Taiwan .............................. 33,446,653 47,984,472
------------ ------------
Thailand 1.61%
Building Materials & Components 0.28%
31,200 Siam Cement + ............................. 487,101 721,292
------------ ------------
Energy Sources 0.18%
89,800 PTT Exploration & Production .............. 809,242 455,311
------------ ------------
Telecommunications 1.15%
114,800 Advanced Information + .................... 664,788 1,345,089
1,206,900 TelecomAsia Corporation ................... 1,144,242 1,617,021
352,705 TelecomAsia Corporation Rights
Expiration date 2008 **+ .................. -- --
------------ ------------
1,809,030 2,962,110
------------ ------------
Total Thailand 3,105,373 4,138,713
------------ ------------
United States 0.44%
Telecommunications 0.44%
12,175 Asiainfo Holdings Incorporated + .......... 442,172 529,612
12,750 UTStarcom Incorporated + .................. 518,062 605,625
------------ ------------
960,234 1,135,237
------------ ------------
Total United States ....................... 960,234 1,135,237
------------ ------------
TOTAL COMMON STOCKS ....................... 175,473,967 250,034,542
------------ ------------
</TABLE>
21
<PAGE>
THE ASIA TIGERS FUND, INC.
April 30, 2000
Schedule of Investments (continued) (Unaudited)
PREFERRED STOCKS (0.14% of holdings)
<TABLE>
<CAPTION>
Number Percent of
of Shares Security Holdings Cost Value
---------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Thailand 0.14%
Banking 0.14%
433,000 Siam Commercial Bank - Preferred
5.25% + ................................... $ 599,321 $ 346,946
------------ ------------
Total Thailand ............................ 599,321 346,946
------------ ------------
TOTAL PREFERRED STOCKS .................... 599,321 346,946
------------ ------------
CONVERTIBLE BONDS 2.34%
Par Value
($000) Singapore 2.12%
Banking 1.26%
1,500 Finlayson Global Zero Coupon Bond,
02/19/04 .................................. 1,602,645 3,237,300
------------ ------------
Telecommunications 0.86%
2,150 Fullerton Global Corp Zero Coupon
Bond, 04/02/03 ............................ 2,043,305 2,192,355
------------ ------------
Total Singapore ........................... 3,645,950 5,429,655
------------ ------------
Taiwan 0.22%
Electronic Components & Instruments 0.12%
250 Macronix International Company
Limited 1%, 02/01/05 ...................... 334,417 323,450
------------ ------------
Textiles & Apparel 0.10%
250 Far Eastern Textile 144A Zero
Coupon Bond, 01/26/05 ..................... 250,000 251,150
------------ ------------
Total Taiwan .............................. 584,417 574,600
------------ ------------
TOTAL CONVERTIBLE BONDS ................... 4,230,367 6,004,255
------------ ------------
TOTAL INVESTMENTS ..................100.00% $180,303,655 $256,385,743
============ ============
</TABLE>
22
<PAGE>
THE ASIA TIGERS FUND, INC.
April 30, 2000
Schedule of Investments (continued) (Unaudited)
Footnotes and Abbreviations
ADR- American Depository Receipts
GDR- Global Depository Recipts
* Passive Foreign Investment Company
** Security has been fair valued as determined by or under
the direction of the Board of Directors.
+ Non-income producing security
++ Aggregate cost for Federal income tax purposes is
$181,043,252.
The aggregate gross unrealized appreciation
(depreciation) for all securities is as follows:
Excess of value over tax cost ....... $ 91,752,483
Excess of tax cost over value ....... (16,409,992)
------------
$ 75,342,491
============
See accompanying notes to financial statements.
23
<PAGE>
THE ASIA TIGERS FUND, INC.
<TABLE>
<CAPTION>
April 30, 2000
Statement of Assets and Liabilities (Unaudited)
<S> <C>
ASSETS
Investments, at value (Cost $180,303,655) ......................... $ 256,385,743
Cash (including $2,975,352 of foreign currency holdings with a cost
of $2,978,036) ................................................ 3,814,354
Receivables:
Dividends ..................................................... 414,592
Interest ...................................................... 4,512
Securities sold ............................................... 1,040,937
Prepaid expenses .................................................. 45,852
-------------
Total Assets ....................................... 261,705,990
-------------
LIABILITIES
Deferred foreign withholding taxes payable ........................ 1,879,334
Payable for securities purchased .................................. 532,271
Due to Investment Manager ......................................... 224,674
Due to Administrator .............................................. 44,935
Accrued expenses .................................................. 664,662
-------------
Total Liabilities .................................. 3,345,876
-------------
Net Assets ........................................................ $ 258,360,114
=============
NET ASSET VALUE PER SHARE ($258,360,114/20,197,684) ............... $ 12.79
=============
NET ASSETS CONSIST OF:
Capital stock, $0.001 par value; 20,514,984 shares issued
and outstanding (100,000,000 shares authorized) ............... $ 20,515
Paid-in capital ................................................... 285,743,977
Cost of 317,300 shares repurchased ................................ (3,307,165)
Accumulated net investment loss ................................... (115,862)
Accumulated net realized loss on investments and foreign
currency related transactions ................................. (98,181,088)
Net unrealized appreciation in value of investments and on
translation of other assets and liabilities denominated in
foreign currencies (net of deferred foreign withholding
taxes of $1,879,334) .......................................... 74,199,737
-------------
$ 258,360,114
=============
</TABLE>
See accompanying notes to financial statements.
24
<PAGE>
THE ASIA TIGERS FUND, INC.
Statement of Operations
<TABLE>
<CAPTION>
For the Six
Months Ended
April 30, 2000
(Unaudited)
<S> <C> <C>
Investment Income
Dividends (Net of taxes withheld of $101,427) ....................... $ 2,009,828
Interest ............................................................ 78,154
------------
Total Investment Income .............................. 2,087,982
------------
Expenses
Management fees ..................................................... 1,361,928
Custodian fees ...................................................... 348,920
Administration fees ................................................. 272,386
Legal fees .......................................................... 69,409
Audit fees .......................................................... 34,911
Insurance ........................................................... 23,667
Transfer agent fees ................................................. 21,129
NYSE fees ........................................................... 16,082
Directors' fees ..................................................... 15,515
Interest expense .................................................... 9,574
Printing ............................................................ 8,934
Miscellaneous ....................................................... 7,633
---------
Total expenses ....................................... 2,190,088
------------
Net Investment Loss .................................. (102,106)
------------
Net Realized and Unrealized Gain (Loss) On Investments, Foreign
Currency Holdings and Translation of Other Assets and Liabilities
Denominated In Foreign Currencies:
Net realized gain (loss) from:
Security transactions (net of capital gains tax of $430,047) .... 10,502,701
Foreign currency related transactions ........................... (83,671)
------------
10,419,030
------------
Net change in unrealized appreciation in value of investments,
foreign currency holdings and translation of other assets and
liabilities denominated in foreigncurrencies (net of change in
deferred foreign withholding taxes of $879,393) ................... 26,750,296
------------
Net realized and unrealized gain on investments, foreign currency
holdings and translation of other assets and liabilities
denominated in foreign currencies ................................. 37,169,326
------------
Net increase in net assets resulting from operations ................ $ 37,067,220
============
</TABLE>
See accompanying notes to financial statements.
25
<PAGE>
THE ASIA TIGERS FUND, INC.
Statements of Changes in Net Assets
<TABLE>
<CAPTION>
For the Six
Months Ended For the Year
April 30, 2000 Ended
(Unaudited) October 31, 1999
------------------------------------------------------------------------------------------------------
<S> <C> <C>
INCREASE (DECREASE) IN NET ASSETS
Operations
Net investment income (loss) .................................. $ ($102,106) $ 822,638
Net realized gain on investments and foreign currency
related transactions ........................................ 10,419,030 17,242,446
Net change in unrealized appreciation in value of investments,
foreign currency holdings and translation of other assets and
liabilities denominated in foreign currencies ............... 26,750,296 53,271,491
------------- -------------
Net increase in net assets resulting from operations ...... 37,067,220 71,336,575
------------- -------------
Capital Share Transactions
Shares repurchased under Stock Repurchase Plan (317,300 shares) (3,307,165) --
------------- -------------
Net decrease in net assets resulting from capital share
transactions .............................................. (3,307,165) --
------------- -------------
Distributions to shareholders from
Net investment income ($0.07 and $0.01 per share), respectively (1,477,079) (205,150)
------------- -------------
Net decrease in net assets from distributions ............. (1,477,079) (205,150)
------------- -------------
Total increase in net assets .................................. 32,282,976 71,131,425
Net Assets
Beginning of period ........................................... 226,077,138 154,945,713
------------- -------------
End of period (including undistributed net investment income of
$1,463,323 as of October 31, 1999) ........................ $ 258,360,114 $ 226,077,138
============= =============
</TABLE>
See accompanying notes to financial statements.
26
<PAGE>
THE ASIA TIGERS FUND, INC.
FINANCIAL HIGHLIGHTS
For a Share Outstanding throughout Each Period
<TABLE>
<CAPTION>
For the Six For the For the For the For the For the
Months Ended Year Ended Year Ended Year Ended Year Ended Year Ended
April 30, 2000 October 31, October 31, October 31, October 31, October 31,
(Unaudited) 1999 1998 1997 1996 1995
------------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
Per Share Operating Class Performance
Net asset value, beginning of period ..... $ 11.02 $ 7.55 $ 9.68 $ 12.49 $ 12.08 $ 13.89
-------- -------- -------- -------- -------- --------
Net investment income (loss) ............. (0.01) 0.04 0.08 0.03 0.05 0.09
Net realized and unrealized gains (losses)
on investments, foreign currency
holdings, and translation of other
assets and liabilities denominated
in foreign currencies .................. 1.79 3.44** (2.21) (2.80) 0.44 (1.67)
-------- -------- -------- -------- -------- --------
Net increase (decrease) from
investment operations .................. 1.78 3.48 (2.13) (2.77) 0.49 (1.58)
-------- -------- -------- -------- -------- --------
Less Distributions
Dividends from net investment
income ................................. (0.07) (0.01) -- (0.00)+ (0.08) (0.06)
In excess of net investment income ..... -- -- -- (0.04) -- --
Distributions from net realized gains .. -- -- -- -- -- (0.17)
-------- -------- -------- -------- -------- --------
Total dividends and distributions ........ (0.07) (0.01) -- (0.04) (0.08) (0.23)
-------- -------- -------- -------- -------- --------
Capital share transactions:
Anti-dilutive effect of Share
Repurchase Program ..................... 0.06 -- -- -- -- --
-------- -------- -------- -------- -------- --------
Total capital share transactions ......... 0.06 -- -- -- -- --
-------- -------- -------- -------- -------- --------
Net asset value, end of period ........... $ 12.79 $ 11.02 $ 7.55 $ 9.68 $ 12.49 $ 12.08
======== ======== ======== ======== ======== ========
Per share market value, end of period .... $ 8.81 $ 8.63 $ 6.13 $ 7.94 $ 10.38 $ 10.38
Total Investment Return Based
on Market Value* ....................... 2.88% 41.03% (22.83)% (23.23)% 0.59% (14.17)%
Ratios/Supplemental Data
Net assets, end of period (in 000s) ...... $258,360 $226,077 $154,946 $198,589 $256,194 $247,761
Ratios of expenses to average
net assets ............................. 1.61% 1.70% 1.74% 1.60% 1.60% 1.65%
Ratios of net investment income (loss)
to average net assets .................. (0.07)% 0.43% 0.99% 0.25% 0.41% 0.71%
Portfolio turnover ....................... 17.41% 92.44% 93.47% 95.38% 91.57% 77.88%
</TABLE>
27
<PAGE>
THE ASIA TIGERS FUND, INC.
Financial Highlights (concluded)
* Total investment return is calculated assuming a purchase of common stock
at the current market price on the first day and a sale at the current
market price on the last day of each period reported. Dividends and
distributions, if any, are assumed, for purposes of this calculation, to
be reinvested at prices obtained under the Fund's dividend reinvestment
plan. Total investment return does not reflect brokerage commissions or
sales charges.
** Net of foreign withholding taxes of $0.06 per share.
+ Less than $0.01 per share.
See accompanying notes to financial statements.
28
<PAGE>
THE ASIA TIGERS FUND, INC.
April 30, 2000
NOTES TO FINANCIAL STATEMENTS (Unaudited)
NOTE A: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
The Asia Tigers Fund, Inc. (the "Fund") was incorporated in Maryland on
September 23, 1993 and commenced operations on November 29, 1993. The Fund is
registered under the Investment Company Act of 1940, as amended, as a
closed-end, non-diversified management investment company.
The preparation of financial statements in accordance with generally accepted
accounting principles requires management to make estimates and assumptions that
affect the reported amounts and disclosures in the financial statements. Actual
results could differ from those estimates.
Significant accounting policies are as follows:
Portfolio Valuation. Investments are stated at value in the accompanying
financial statements. In valuing the Fund's assets, all securities for which
market quotations are readily available are generally valued:
(i) at the last sale price prior to the time of determination if there
was a sale on the date of determination,
(ii) at the mean between the last current bid and asked prices if there
was no sales price on such date and bid and asked quotations are
available, and
(iii) at the bid price if there was no sales price on such date and only
bid quotations are available.
Securities for which sales prices and bid and asked quotations are not available
on the date of determination may be valued at the most recently available prices
or quotations under policies adopted by the Board of Directors. Investments in
short-term debt securities having a maturity of 60 days or less are valued at
amortized cost which approximates market value. All other securities and assets
are carried at fair value as determined in good faith by, or under the direction
of, the Board of Directors.
At April 30, 2000, investments of $1,026,000 (0.40% of net assets) have been
fair valued in good faith by, or under the direction of, the Fund's Board of
Directors.
The net asset value per share of the Fund is calculated weekly and at the end of
each month.
Investment Transactions and Investment Income. Investment transactions are
accounted for on the trade date. The cost of investments sold is determined by
use of the specific identification method for both financial reporting and
income tax purposes. Interest income is recorded on an accrual basis; dividend
income is recorded on the ex-dividend date or when known. The collectibility of
income receivable from foreign securities is evaluated periodically, and any
resulting allowances for uncollectible amounts are reflected currently in the
determination of investment income.
29
<PAGE>
THE ASIA TIGERS FUND, INC.
April 30, 2000
Notes to Financial Statements (continued) (Unaudited)
Tax Status. No provision is made for U.S. Federal income or excise taxes as it
is the Fund's intention to continue to qualify as a regulated investment company
and to make the requisite distributions to its shareholders which will be
sufficient to relieve it from all or substantially all Federal income and excise
taxes.
At October 31, 1999, the Fund had a net capital loss carryover of $108,101,176,
which is available to offset future net realized gains on securities
transactions to the extent provided for in the Internal Revenue Code. Of the
aggregate capital losses, $15,321,476 will expire in the year 2003, $1,846,888
will expire in the year 2004 and $90,932,812 will expire in the year 2006.
During the year ended October 31, 1999, the Fund utilized $15,351,058 of capital
losses carried forward from prior periods.
Dividend and interest income from non-U.S. sources received by the Fund are
generally subject to non-U.S. withholding taxes. In addition, the Fund may be
subject to capital gains tax in certain countries in which it invests. Such
withholding taxes may be reduced or eliminated under the terms of applicable
U.S. income tax treaties with some of these countries. The Fund accrues such
taxes when the related income is earned.
Foreign Currency Translation. The books and records of the Fund are maintained
in U.S. dollars. Foreign currency amounts are translated into U.S. dollars on
the following basis:
(i) market value of investment securities, assets and liabilities at the
current rates of exchange on the valuation date; and
(ii) purchases and sales of investment securities, income and expenses at
the relevant rates of exchange prevailing on the respective dates of
such transactions.
The Fund does not generally isolate the effect of fluctuations in foreign
currency rates from the effect of fluctuations in the market prices of equity
securities. The Fund reports certain realized gains and losses on foreign
currency related transactions as components of realized gains and losses for
financial reporting purposes, whereas such gains and losses are included in or
are a reduction of ordinary income for Federal income tax purposes.
Securities denominated in currencies other than U.S. dollars are subject to
changes in value due to fluctuations in foreign exchange. Foreign security and
currency transactions involve certain considerations and risks not typically
associated with those of domestic origin as a result of, among other factors,
the level of governmental supervision and regulation of foreign securities
markets and the possibilities of political or economic instability, the fact
that foreign securities markets may be smaller and less developed, and the fact
that securities, tax and corporate laws may have only recently developed or are
in developing stages, and laws may not exist to cover all contingencies or to
protect investors adequately.
30
<PAGE>
THE ASIA TIGERS FUND, INC.
April 30, 2000
Notes to Financial Statements (continued) (Unaudited)
Distribution of Income and Gains. The Fund intends to distribute annually to
shareholders substantially all of its net investment income, including foreign
currency gains, and to distribute annually any net realized capital gains in
excess of net realized capital losses (including any capital loss carryovers).
An additional distribution may be made to the extent necessary to avoid payment
of a 4% federal excise tax. Distributions to shareholders are recorded on the
ex-dividend date. The amount of dividends and distributions from net investment
income and net realized capital gains are determined in accordance with federal
income tax regulations, which may differ from generally accepted accounting
principles. These book/tax differences are either considered temporary or
permanent in nature. To the extent these differences are permanent in nature,
such amounts are reclassified within the capital accounts based on their federal
tax-basis treatment; temporary differences do not require reclassification.
Dividends and distributions which exceed net investment income and net realized
capital gains for financial reporting purposes but not for tax purposes, are
reported as dividends in excess of net investment income or distributions in
excess of net realized capital gains. To the extent they exceed net investment
income and net realized capital gains for tax purposes, they are reported as
distributions of paid-in-capital.
During the year ended October 31, 1999, the Fund reclassified $743,151 from
accumulated net realized gain on investments to undistributed net investment
income as a result of permanent book and tax differences primarily relating to
net realized foreign currency gains. Net investment income and net assets were
not affected by the reclassification.
NOTE B: MANAGEMENT, INVESTMENT ADVISORY, AND ADMINISTRATIVE SERVICES
Effective May 3, 1999, CIBC Oppenheimer Corp. changed its name to CIBC World
Markets Corp. CIBC Oppenheimer is a division of CIBC World Markets Corp.
Advantage Advisers, Inc., ("Advantage") a subsidiary of CIBC World Markets Corp.
("CIBC", formerly CIBC Oppenheimer Corp.), serves as the Fund's Investment
Manager under the terms of a management agreement (the "Management Agreement").
Pursuant to the Management Agreement, the Investment Manager supervises the
Fund's investment program and effective July 1, 1999, assumed the portfolio
management responsibilities for the Fund. Prior to July 1, 1999, AXA Asset
Management Partenaires ("AAMP") acted as the Fund's Investment Adviser pursuant
to an investment advisory agreement among Advantage, AAMP and the Fund. For its
services, AAMP was entitled to receive from the Investment Manager monthly fees
at an annual rate of 0.50% of the Fund's average weekly net assets through July
1, 1999.
For its services, the Investment Manager receives monthly fees at an annual rate
of 1.00% of the Fund's average weekly net assets. For the six months ended April
30, 2000, fees paid to the Investment Manager amounted to $1,361,928.
31
<PAGE>
THE ASIA TIGERS FUND, INC.
April 30, 2000
Notes to Financial Statements (continued) (Unaudited)
CIBC World Markets Corp., an indirect wholly-owned subsidiary of Canadian
Imperial Bank of Commerce, serves as the Fund's administrator (the
"Administrator").
The Administrator provides certain administrative services to the Fund. For its
services, the Administrator receives a monthly fee at an annual rate of 0.20% of
the value of the Fund's average weekly net assets. For the six months ended
April 30, 2000, these fees amounted to $272,386. At April 30, 2000, CIBC World
Markets Corp. owned 3,567 shares of the Fund's common stock.
The Fund pays each of its directors who is not a director, officer or employee
of the Investment Manager, the Administrator or any affiliate thereof an annual
fee of $5,000 plus up to $700 for each Board of Directors meeting attended. In
addition, the Fund reimburses the directors for travel and out-of-pocket
expenses incurred in connection with Board of Directors meetings.
NOTE C: PORTFOLIO ACTIVITY
Purchases and sales of securities other than short-term obligations aggregated
$46,444,262 and $54,146,681, respectively, for the six months ended April 30,
2000.
NOTE D: CAPITAL STOCK
At a special meeting of the Board of Directors on December 10, 1999, the Board
of Directors approved a share repurchase program.
The share repurchase program authorized the Fund to buy back up to 1,000,000
shares of its outstanding shares of common stock in the open market. Pursuant to
the share repurchase program, during the six months ended April 30, 2000, the
Fund purchased 317,300 shares of capital stock on the open market at a total
cost of $3,307,165. The weighted average discount of these purchases, comparing
the purchase price to the net asset value at the time of purchase, was 27.10%
for the six months ended April 30, 2000. Subsequent to April 30, 2000, the Fund
made additional purchases aggregating 86,800 shares of capital stock on the open
market at a total cost of $734,936. The weighted average discount of these
purchases was 31.84%.
NOTE E: OTHER
At April 30, 2000, substantially all of the Fund's assets were invested in Asian
securities. The Asian securities markets are substantially smaller, less
developed, less liquid, and more volatile than the major securities markets in
the United States. Consequently, acquisitions and dispositions of Asian
securities involve special risks and considerations not present with respect to
U.S. securities.
32
<PAGE>
THE ASIA TIGERS FUND, INC.
April 30, 2000
Notes to Financial Statements (concluded) (Unaudited)
Additionally, the Fund owned securities of certain companies in Indonesia and
India valued at approximately $282,733, which were in the process of being
registered or dematerialized in the name of the Fund. Significant delays are
common in registering the transfer of securities in these countries, and such
transfers can take a year or longer. Securities regulations in Indonesia and
India normally preclude the Fund from selling such securities until the
completion of the registration process.
================================================================================
Results of Annual Shareholders Meeting
Annual Meeting
The Fund held its Annual Shareholders Meeting on February 18, 2000. At the
meeting, shareholders elected each of the nominees proposed for election to the
Fund's Board of Directors and ratified the selection and approval of
PricewaterhouseCoopers LLP as the independent accountants of the Fund for the
fiscal year ending October 31, 2000. The following table provides information
concerning the matters voted on at the meeting:
I. Election of Directors
Nominee Votes For Votes Abstained Total Voting Shares
------- --------- --------------- -------------------
Luis Rubio 14,596,767 2,442,661 17,039,428
Jeswald W. Salacuse 14,615,715 2,423,713 17,039,428
At April 30, 2000, in addition to Luis Rubio and Jeswald W. Salacuse, the other
directors of the Fund were as follows:
Charles F. Barber
Leslie H. Gelb
Alan H. Rappaport
II. Ratification of PricewaterhouseCoopers LLP as the Independent Accountants of
the Fund
Votes For Votes Against Votes Abstained Total Voting Shares
--------- ------------- --------------- -------------------
16,939,127 62,261 38,040 17,039,428
33
<PAGE>
THE ASIA TIGERS FUND, INC.
(This page intentionally left blank)
34
<PAGE>
THE ASIA TIGERS FUND, INC.
(This page intentionally left blank)
35
<PAGE>
THE ASIA TIGERS FUND, INC.
Investment Manager:
Advantage Advisers, Inc., a wholly owned
subsidiary of CIBC World Markets Corp.
Administrator:
CIBC World Markets Corp.
Sub-Administrator:
PFPC Inc.
Transfer Agent:
PFPC Inc.
Custodian:
The Chase Manhattan Bank
