CAPÍTULO IV EVOLUCIÓN DEL DERECHO
4.3. TEORÍAS ECONÓMICAS DE LA EVOLUCIÓN DEL DERECHO
4.3.6. La teoría de juegos aplicada a la evolución del Derecho
U.S. Treasury Bills, 0.058%, 5/7/15 (10) 10,000 9,998 9,998
Total Short-Term Investments (Cost $399,161) 399,161
Total Investments in Securities
98.3% of Net Assets (Cost $9,469,758) $ 9,472,794
‡ Par/Shares are denominated in U.S. dollars unless otherwise noted.
(1) Security was purchased pursuant to Rule 144A under the Securities Act of 1933 and may be resold in transactions exempt from registration only to qualified institutional buyers -- total value of such securities at period-end amounts to $4,082,927 and represents 42.4% of net assets.
(3) Security cannot be offered for public resale without first being registered under the Securities Act of 1933 and related rules ("restricted security"). Acquisition date represents the day on which an enforceable right to acquire such security is obtained and is presented along with related cost in the security description. The fund has registration rights for certain restricted securities. Any costs related to such registration are borne by the issuer. The aggregate value of restricted securities (excluding 144A holdings) at period-end amounts to $18,546 and represents 0.29% of net assets.
(4) In default with respect to repayment of principal.
(5) Bank loan positions may involve multiple underlying tranches. In those instances, the position presented reflects the aggregate of those respective underlying tranches and the rate presented reflects their weighted average rate.
(6) Non-income producing
(7) Affiliated Companies
(8) SEC 30-day yield
(9) Seven-day yield
(10) At November 30, 2014, all or a portion of this security is pledged as collateral and/or margin deposit to cover future funding obligations.
(11) Issuer is currently in a Chapter 11 bankruptcy reorganization proceeding; the amount and timing of future distributions is uncertain.
CAD Canadian Dollar CHF Swiss Franc
EC Escrow CUSIP, represents a benefical interests in a residual pool of bankruptcy assets; the amount and timing of future distributions, if any, is uncertain. EUR Euro
GBP British Pound JPY Japanese Yen PIK Payment-in-kind PTC Pass-Through Certificate
REIT A domestic Real Estate Investment Trust whose distributions pass-through with original tax character to the shareholder
STEP Stepped coupon bond for which the coupon rate of interest adjusts on specified date(s).
USD U.S. Dollar
Par/Shares $ Value
(Amounts in 000s)
OPTIONSWRITTEN0.0%
AK Steel, Put, 12/20/14 @ $5.00 (6) 954 (100)
Concho Resources, Put, 1/15/16 @ $85.00 (6) 56 (589)
J.C. Penney, Put, 1/17/15 @ $6.00 (6) 795 (91)
SM Energy, Put, 1/17/15 @ $45.00 (6) 106 (440)
(Amounts in 000s, except market price)
SWAPS (0.1)%
Notional
Amount Market Value Upfront Premiums Paid/(Received)**Gain (Loss)Unrealized BILATERAL SWAPS (0.1)%
Credit Default Swaps, Protection Bought 0.0% Bank of America, Protection Bought (Relevant Credit: iHeartCommunications, 6.875%, 6/15/18), Pay 5.00%, Receive upon credit
default, 6/20/16 3,350 $ 184 $ 30 $ 154
Barclays, Protection Bought (Relevant Credit: iHeartCommunications, 6.875%, 6/15/18), Pay
5.00%, Receive upon credit default, 6/20/16 3,400 187 27 160 Citibank, Protection Bought (Relevant Credit:
iHeartCommunications, 6.875%, 6/15/18), Pay
5.00%, Receive upon credit default, 6/20/16 3,050 167 33 134 Citibank, Protection Bought (Relevant Credit:
Time Warner Cable, 5.85%, 5/1/17), Pay 1.00%,
Receive upon credit default, 12/20/19 6,360 (142) (147) 5 Goldman Sachs, Protection Bought (Relevant
Credit: Time Warner Cable, 5.85%, 5/1/17), Pay
1.00%, Receive upon credit default, 12/20/19 2,400 (53) (51) (2) JPMorgan Chase, Protection Bought (Relevant
Credit: Time Warner Cable, 5.85%, 5/1/17), Pay
1.00%, Receive upon credit default, 12/20/19 4,550 (101) (96) (5) Total Bilateral Credit Default Swaps, Protection Bought (204) 446
(Amounts in 000s, except market price) Notional Amount Market Value Upfront Premiums Paid/(Received)** Unrealized Gain (Loss)
Credit Default Swaps, Protection Sold (0.1)% Bank of America, Protection Sold (Relevant Credit: Sears Roebuck Acceptance, 7.00%, 6/1/32, $58.88*), Receive 5.00%, Pay upon
credit default, 12/20/15 3,450 (181) (103) (78)
Barclays Capital, Protection Sold (Relevant Credit: iHeartCommunications, 6.875%, 6/15/18, $90.00*), Receive 5.00%, Pay upon
credit default, 6/20/17 8,675 (1,379) (342) (1,037) Barclays, Protection Sold (Relevant Credit: Forest
Oil, 7.25%, 6/15/19, $98.00*), Receive 5.00%,
Pay upon credit default, 3/20/15 2,050 (49) (6) (43) Barclays, Protection Sold (Relevant Credit: Wind
Acquisition, 11.75%, 7/15/17, 102.94EUR*), Receive 5.00%, Pay upon credit default, 6/20/19
(EUR) 6,600 606 950 (344)
Barclays, Protection Sold (Relevant Credit: Wind Acquisition, 11.75%, 7/15/17, 102.94EUR*), Receive 5.00%, Pay upon credit default, 6/20/19
(EUR) 6,775 622 483 139
Citibank, Protection Sold (Relevant Credit: iHeartCommunications, 6.875%, 6/15/18, $90.00*), Receive 5.00%, Pay upon credit
default, 6/20/18 6,700 (1,767) (512) (1,255)
Deutsche Bank, Protection Sold (Relevant Credit: iHeartCommunications, 6.875%, 6/15/18, $90.00*), Receive 5.00%, Pay upon credit
(Amounts in 000s, except market price) Notional Amount Market Value Upfront Premiums Paid/(Received)** Unrealized Gain (Loss)
Deutsche Bank, Protection Sold (Relevant Credit: Sears Roebuck Acceptance, 7.00%, 6/1/32, $58.88*), Receive 5.00%, Pay upon credit
default, 12/20/14 2,000 15 (7) 22
Goldman Sachs, Protection Sold (Relevant Credit: Forest Oil, 7.25%, 6/15/19, $98.00*),
Receive 5.00%, Pay upon credit default, 3/20/15 3,375 (81) (17) (64) Goldman Sachs, Protection Sold (Relevant
Credit: MBIA Inc. corporate, A-^), Receive 5.00%,
Pay upon credit default, 3/20/15 10,100 63 7 56
Goldman Sachs, Protection Sold (Relevant Credit: MBIA Inc. corporate, A-^), Receive 5.00%,
Pay upon credit default, 3/20/17 15,950 (982) (510) (472) Goldman Sachs, Protection Sold (Relevant
Credit: TVN Finance III, 7.375%, 12/15/20, 110.50EUR*), Receive 5.00%, Pay upon credit
default, 6/20/19 (EUR) 3,400 733 237 496
JPMorgan Chase, Protection Sold (Relevant Credit: iHeartCommunications, 6.875%, 6/15/18, $90.00*), Receive 5.00%, Pay upon
credit default, 9/20/17 8,825 (1,663) (698) (965)
JPMorgan Chase, Protection Sold (Relevant Credit: Sears Roebuck Acceptance, 7.00%, 6/1/32, $58.88*), Receive 5.00%, Pay upon
credit default, 12/20/14 3,275 24 (10) 34
Morgan Stanley, Protection Sold (Relevant Credit: Forest Oil, 7.25%, 6/15/19, $98.00*), Receive
5.00%, Pay upon credit default, 3/20/15 4,750 (114) (10) (104) Total Bilateral Credit Default Swaps, Protection Sold (710) (3,834)
Total Bilateral Swaps $ (914) $ (3,388)
*Market price at November 30, 2014 ^Credit rating published by S&P
Forward Currency Exchange Contracts
(Amounts in 000s)
Counterparty Settlement Receive Deliver Gain (Loss)Unrealized Barclays Bank 12/10/14 USD 4,669 JPY 491,394$ 527 Barclays Bank 12/12/14 EUR 16,194 USD 20,294 (143) BNP Paribas 12/12/14 USD 258,457 EUR 200,000 9,584 Citibank 12/19/14 USD 9,134 CAD 10,387 58
Citibank 1/9/15 USD 5,379 GBP 3,327 177
Deutsche Bank 12/12/14 EUR 17,251 USD 21,766 (299) Deutsche Bank 12/12/14 USD 313,671 EUR 242,728 11,628 Deutsche Bank 1/9/15 USD 230,978 GBP 143,897 5,973 HSBC Bank 12/12/14 EUR 19,792 USD 25,269 (640)
HSBC Bank 1/9/15 USD 664 GBP 414 17
HSBC Bank 2/12/15 USD 60,752 CHF 58,791 (176)
JPMorgan Chase 12/10/14 JPY 108,209 USD 1,001 (89) JPMorgan Chase 12/10/14 USD 1,161 JPY 127,291 88 JPMorgan Chase 12/12/14 USD 10,143 EUR 7,980 213 JPMorgan Chase 12/19/14 CAD 2,403 USD 2,102 (2) JPMorgan Chase 1/9/15 GBP 5,224 USD 8,240 (71) Morgan Stanley 12/12/14 EUR 8,622 USD 10,907 (179) Morgan Stanley 1/9/15 GBP 2,333 USD 3,717 (69)
Morgan Stanley 2/12/15 USD 4,148 CHF 3,993 10
Royal Bank of Canada 12/19/14 CAD 3,507 USD 3,124 (59) Royal Bank of Canada 12/19/14 USD 35,307 CAD 38,868 1,343 UBS Investment Bank 12/12/14 EUR 26,041 USD 33,029 (625)
Net unrealized gain (loss) on open forward
Affiliated Companies
($000s)
The fund may invest in certain securities that are considered affiliated companies. As defined by the 1940 Act, an affiliated company is one in which the fund owns 5% or more of the outstanding voting securities, or a company which is under common ownership or control. Based on the fund’s relative ownership, the following securities were considered affiliated companies for all or some portion of the six months ended November 30, 2014. Purchase and sales cost and investment income reflect all activity for the period then ended.
Affiliate PurchaseCost SalesCost InvestmentIncome 11/30/14Value 5/31/14Value T. Rowe Price
Institutional Floating
Rate Fund, 4.36% 637 — $ 637 $ 29,972 $ 29,685
T. Rowe Price Short-Term
Reserve Fund, 0.06% ¤ ¤ 92 389,163 413,466
Totals $ 729 $ 419,135 $ 443,151
¤ Purchase and sale information not shown for cash management funds.
Amounts reflected on the accompanying financial statements include the following amounts related to affiliated companies:
Investment in securities, at cost $ 418,847
Dividend income 729
Interest income -
Investment income $ 729
Realized gain (loss) on securities $ - Capital gain distributions from
Unaudited November 30, 2014
($000s, except shares and per share amounts)
Statement of Assets and Liabilities Assets
Investments in securities, at value (cost $9,469,758) $ 9,472,794
Interest and dividends receivable 165,519
Receivable for investment securities sold 52,998 Unrealized gain on forward currency exchange contracts 29,618
Receivable for shares sold 7,902
Foreign currency (cost $2,090) 2,087
Bilateral swap premiums paid 1,767
Unrealized gain on bilateral swaps 1,200
Other assets 250
Total assets 9,734,135
Liabilities
Payable for investment securities purchased 71,806
Payable for shares redeemed 6,509
Investment management fees payable 4,687
Unrealized loss on bilateral swaps 4,588
Bilateral swap premiums received 2,681
Unrealized loss on forward currency exchange contracts 2,352
Written options (premiums $1,627) 1,220
Due to affiliates 631
Other liabilities 5,438
Total liabilities 99,912
NET ASSETS $ 9,634,223
Net Assets Consist of:
Undistributed net investment income $ 12,324
Accumulated undistributed net realized gain 140,992
Net unrealized gain 26,782
Paid-in capital applicable to 1,374,019,547 shares of $0.01 par
value capital stock outstanding; 3,000,000,000 shares authorized 9,454,125
Unaudited November 30, 2014
Statement of Assets and Liabilities NET ASSET VALUE PER SHARE
Investor Class
($8,600,809,385 / 1,226,281,599 shares outstanding) $ 7.01 Advisor Class
Unaudited ($000s) Statement of Operations 6 Months Ended 11/30/14 Investment Income (Loss)
Income Interest $ 309,920 Dividend 4,182 Other 4,727 Total income 318,829 Expenses Investment management 29,304 Shareholder servicing Investor Class $ 6,154 Advisor Class 715 6,869 Rule 12b-1 fees Advisor Class 1,224
Prospectus and shareholder reports
Investor Class 176
Advisor Class 1 177
Custody and accounting 347
Registration 138
Legal and audit 44
Directors 23
Miscellaneous 18
Reductions of fees and expenses
Investment management fees waived (82)
Total expenses 38,062
Unaudited ($000s) Statement of Operations 6 Months Ended 11/30/14 Realized and Unrealized Gain / Loss
Net realized gain (loss)
Securities 56,396
Swaps 1,658
Written options 346
Foreign currency transactions 57,781
Net realized gain 116,181
Change in net unrealized gain / loss
Securities (509,084)
Swaps (1,661)
Written options 385
Other assets and liabilities denominated in foreign currencies 14,563
Change in net unrealized gain / loss (495,797)
Net realized and unrealized gain / loss (379,616)
Unaudited
($000s)
Statement of Changes in Net Assets
6 Months Ended 11/30/14 Year Ended 5/31/14 Increase (Decrease) in Net Assets
Operations
Net investment income $ 280,767 $ 568,856
Net realized gain 116,181 141,331
Change in net unrealized gain / loss (495,797) 46,407 Increase (decrease) in net assets from
operations (98,849) 756,594
Distributions to shareholders
Net investment income
Investor Class (264,057) (521,010)
Advisor Class (28,405) (59,584)
Net realized gain
Investor Class – (12,285)
Advisor Class – (1,396)
Decrease in net assets from distributions (292,462) (594,275) Capital share transactions*
Shares sold Investor Class 454,612 2,050,261 Advisor Class 150,616 90,832 Distributions reinvested Investor Class 236,413 476,777 Advisor Class 28,100 60,133 Shares redeemed Investor Class (882,400) (1,740,301) Advisor Class (107,182) (188,910)
Redemption fees received 90 178
Increase (decrease) in net assets from capital
share transactions (119,751) 748,970
Net Assets
Increase (decrease) during period (511,062) 911,289
Beginning of period 10,145,285 9,233,996
End of period $ 9,634,223 $ 10,145,285
Unaudited
($000s)
Statement of Changes in Net Assets
6 Months Ended 11/30/14 Year Ended 5/31/14 *Share information Shares sold Investor Class 63,245 287,125 Advisor Class 21,201 12,964 Distributions reinvested Investor Class 32,990 66,736 Advisor Class 3,934 8,450 Shares redeemed Investor Class (122,676) (243,880) Advisor Class (14,912) (26,605)
Unaudited November 30, 2014
Notes to Financial Statements
T. Rowe Price High Yield Fund, Inc. (the fund), is registered under the Investment Company Act of 1940 (the 1940 Act) as a diversified, open-end management investment company. The fund seeks high current income and, secondarily, capital appreciation. The fund has two classes of shares: the High Yield Fund original share class, referred to in this report as the Investor Class, offered since December 31, 1984, and the High Yield Fund–Advisor Class (Advisor Class), offered since March 31, 2000. Advisor Class shares are sold only through unaffiliated brokers and other unaffiliated financial intermediaries that are compensated by the class for distribution, shareholder servicing, and/or certain administrative services under a Board-approved Rule 12b-1 plan. Each class has exclusive voting rights on matters related solely to that class; separate voting rights on matters that relate to both classes; and, in all other respects, the same rights and obligations as the other class.
NOTE 1 - SIGNIfIcaNT accOUNTING POLIcIES
Basis of Preparation The fund is an investment company and follows accounting
and reporting guidance in the Financial Accounting Standards Board (FASB)
Accounting Standards Codification Topic 946 (ASC 946). The accompanying
financial statements were prepared in accordance with accounting principles generally accepted in the United States of America (GAAP), including but not limited to ASC 946. GAAP requires the use of estimates made by management. Management believes that estimates and valuations are appropriate; however, actual results may differ from those estimates, and the valuations reflected in the accompanying financial statements may differ from the value ultimately realized upon sale or maturity.
Investment Transactions, Investment Income, and Distributions Income and
expenses are recorded on the accrual basis. Premiums and discounts on debt securities are amortized for financial reporting purposes. Paydown gains and losses are recorded as an adjustment to interest income. Dividends received from mutual fund investments are reflected as dividend income; capital gain distributions are reflected as realized gain/loss. Dividend income and capital gain distributions are recorded on the ex-dividend date. Income tax-related interest and penalties, if incurred, would be recorded as income tax expense. Investment transactions are accounted for on the trade date. Realized gains and losses are reported on the identified cost basis. Distributions to shareholders are recorded on the ex-dividend date. Distributions from REITs are initially
recorded as dividend income and, to the extent such represent a return of capital or capital gain for tax purposes, are reclassified when such information becomes available. Income distributions are declared by each class daily and paid monthly. Capital gain distributions, if any, are generally declared and paid by the fund annually.
currency Translation Assets, including investments, and liabilities denominated
in foreign currencies are translated into U.S. dollar values each day at the prevailing exchange rate, using the mean of the bid and asked prices of such currencies against U.S. dollars as quoted by a major bank. Purchases and sales of securities, income, and expenses are translated into U.S. dollars at the prevailing exchange rate on the date of the transaction. The effect of changes in foreign currency exchange rates on realized and unrealized security gains and losses is reflected as a component of security gains and losses.
class accounting The Advisor Class pays distribution, shareholder servicing,
and/or certain administrative expenses in the form of Rule 12b-1 fees, in an amount not exceeding 0.25% of the class’s average daily net assets. Shareholder servicing, prospectus, and shareholder report expenses incurred by each class are charged directly to the class to which they relate. Expenses common to both classes and investment income are allocated to the classes based upon the relative daily net assets of each class’s settled shares; realized and unrealized gains and losses are allocated based upon the relative daily net assets of each class’s outstanding shares.
Redemption fees A 2% fee is assessed on redemptions of fund shares held
for 90 days or less to deter short-term trading and to protect the interests of long-term shareholders. Redemption fees are withheld from proceeds that shareholders receive from the sale or exchange of fund shares. The fees are paid to the fund and are recorded as an increase to paid-in capital. The fees may cause the redemption price per share to differ from the net asset value per share.
New accounting Guidance In June 2014, FASB issued Accounting Standards
Update (ASU) No. 2014-11, Transfers and Servicing (Topic 860), Repurchase-to- Maturity Transactions, Repurchase Financings, and Disclosures. The ASU changes
the accounting for certain repurchase agreements and expands disclosure requirements related to repurchase agreements, securities lending, repurchase- to-maturity and similar transactions. The ASU is effective for interim and annual reporting periods beginning after December 15, 2014. Adoption will have no effect on the fund’s net assets or results of operations.