Foreign Closed-Ends With Growth Ahead

SWISS HELVETIA FUND $20.07 (New York symbol SWZ; CWA Rating: Conservative) invests mainly in large-capitalization Swiss stocks. The manager of the fund is Hottinger Group, which, as Banque Hottinger, dates back to 1786.

The Swiss economy has slowed lately, along with the U.S., one of Switzerland’s largest markets. Switzerland’s growth rate may slow to 1.5% this year, after growing at 3.0% in 2006. Still, a longer-term recovery in the U.S. will help the export-oriented Swiss economy, particularly if it stimulates growth in Europe, its largest market.

The fund’s top holdings are Roche Holdings (pharmaceuticals) at 13.3%; Nestle SA (food & beverages), 12.5%; Novartis AG (health care and pharmaceuticals), 11.8%; UBS AG (banking), 9.9%; Basilea Pharaceutica (biopharmaceuticals), 5.1%; Credit Suisse Group (financial services), 4.8%; Actelion NV (Swiss biopharmaceutical), 4.5%; BKW FMB Energie (Swiss electricity generator), 4.4%; Galenica Holding (Swiss pharmaceuticals), 3.8%; and Julius Baer (Swiss-based private bank), 3.4%.

The industry exposure of the stocks in the $502.8 million fund is as follows: Pharmaceuticals, 26.0%; Banks, 15.6%; Food & beverages, 14.7%; Insurance, 7.6%; Biotechnology, 6.6%; Retailers, 5.4%; Industrial goods & services, 5.2%; Utility suppliers, 4.6%; Chemicals, 3.6%; Basic resources, 2.7%; Financial services, 2.4%; Personal & household goods, 1.2%; Technology, 0.8%; and Medical technology, 0.4%.

Swiss Helvetia Fund rose 41.3% in 2006. This included a $1.725 a share capital gains dividend in December, 2006. Its five-year gain has averaged 24.7% annually. The fund’s expense ratio is 1.19%. Swiss Helvetia Fund sells for a 6% discount from the current value of its assets.

Swiss Helvetia Fund is still a buy.

SINGAPORE FUND $16.72 (New York symbol SGF; CWA Rating: Aggressive) is fully invested in Singapore stocks. The manager of Singapore Fund is the Development Bank of Singapore.

Singapore has a highly developed and successful free-market economy, an open and corruption-free business environment, stable prices, and the fifthhighest per capita GDP in the world. The country is a major exporter of electronics and chemicals, and a big provider of services such as finance and telecommunications. The government promotes high levels of savings and investment, and spends heavily on education and technology.

Singapore Fund will continue to benefit from global economic growth. As the premier developed economy in Asia, the country is also benefiting from rapid growth in China and India, with exports of high-tech and manufactured goods to those countries increasing steadily.

The Singapore Fund’s top holdings are: United Overseas Bank, 11.6%; Overseas-Chinese Banking 8.8%; Singapore Telecom, 7.8%; Cosco Corporation (shipping), 5.2%; Keppel Corp. (varied industries), 4.2%; Capital Land (property), 3.6%; Mapletree Logistics Trust (real estate), 3.1%; Singapore Airlines (transportation), 3.1%; Sia Engineering (aircraft maintenance), 2.8%; and City Developments (real estate), 2.8%.

The principal industry exposure of the stocks in Singapore Fund is as follows: Banks & financial services, 22.1%; Property development, 12.8%; Telecommunications, 9.7%; Real estate investment trusts, 9.6%; Transportation-Marine, 5.2%; and Shipyards, 4.2%.

The Singapore stock market is one of the most stable in Asia. But it’s still more volatile than the U.S. or Canadian markets. The $150.4 million Singapore Fund was up 50.7% in 2006. Its five-year gain has averaged 26.1% annually. Its expense ratio is 1.86%.

The Singapore Fund sells for 2% less than the value of its assets. Buy.

NEW IRELAND FUND $33.30 (New York symbol IRL; CWA Rating: Aggressive) (formerly the Irish Investment Fund) invests in Irish companies. The fund is now fully invested in stocks, with 97% of its holdings in Irish common stocks and 1.7% in UK stocks. The manager of the Irish Investment Fund is the Bank of Ireland, which dates back to 1783.

Ireland’s economy is growing steady, with growth forecast this year at 5.5% The country’s tax cuts,
openness to foreign investment, and deregulation continue to pay off. Ireland is part of the Euro currency system. It’s a major exporter to Europe, as well as the U.S.

The New Ireland Fund’s top holdings at last report were: Allied Irish Banks at 15.9%; CRH plc (building materials), 15.3%; Kerry Group (food products), 7.0%; C&C Group (beverages & snacks), 6.6%; Kingspan Group (construction), 6.4%; Grafton Group (home building stores), 5.6%; Ryanair Holdings (airline), 4.9%; DCC (distribution), 4.4%; IAWS Group plc (agriculture & food), 4.0%; and Irish Life & Permanent (insurance), 4.0%.

Many of the fund’s stocks trade on the U.S. Nasdaq exchange, as well as the Irish Stock Exchange.

The industry exposure of the stocks in the New Ireland Fund is as follows: Construction/building materials, 29.3%; Financial, 19.8%; Food & beverages, 15.3%; Transportation, 5.5%; Business services, 5.5%; Food & agriculture, 4.0%; Diversified financial services, 4.0%; and Food & agriculture, 4.0%.

The $164.7 million fund gained 53.2% in 2006. This included a $2.64 a share capital gains dividend in December, 2006. Its five-year gain has averaged 30.8% annually. Its expense ratio is 1.40%.

The New Ireland Fund trades for 1.7% more than the value of its assets. The fund is still a buy.