May 30, 2013 - N-Q: Quarterly Schedule of Portfolio Holdings of Registered Management Investment Company filed on Form N-Q

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM N-Q

QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED

MANAGEMENT INVESTMENT COMPANY

Investment Company Act file number 811-08025

GLOBAL INCOME FUND, INC.

(Exact name of registrant as specified in charter)

11 Hanover Square, 12th Floor
New York, NY	10005
(Address of principal executive offices)	(Zip Code)

John F. Ramírez, Esq.

Global Income Fund, Inc.

11 Hanover Square

New York, NY 10005

(Name and address of agent for service)

Registrant's telephone number, including area code: 1-212-344-6310

Date of Fiscal Year End: 12/31

Date of Reporting Period: 3/31/13

Item 1. Schedule of Investments

GLOBAL INCOME FUND, INC.

SCHEDULE OF PORTFOLIO INVESTMENTS

March 31, 2013

(Unaudited)

Shares			Cost		Value
		COMMON STOCKS (62.08%)
		REAL ESTATE INVESTMENT TRUSTS (62.06%)
		Diversified (5.28%)
		United Kingdom (0.45%)
	19,900	British Land Company plc ADR (a)	$	151,441	$	164,175

		United States (4.83%)
	19,000	Douglas Emmett, Inc.		416,662		473,670
	8,500	Public Storage (b)		1,141,295		1,294,720
				1,557,957		1,768,390
		Total Diversified		1,709,398		1,932,565

		Healthcare Facilities (7.50%)
		United States (7.50%)
	13,000	HCP, Inc.		528,173		648,180
	19,000	Health Care REIT, Inc. (b)		1,016,948		1,290,290
	11,000	Ventas, Inc.		648,239		805,200
				2,193,360		2,743,670

		Industrial (14.43%)
		United States (14.43%)
	75,000	CubeSmart		895,256		1,185,000
	37,000	Extra Space Storage Inc. (b)		1,038,111		1,452,990
	29,000	ProLogis, Inc.		997,864		1,159,420
	23,000	Sovran Self Storage, Inc. (b)		1,175,323		1,483,270
				4,106,554		5,280,680

		Mortgage Investment (2.75%)
		United States (2.75%)
	90,000	Newcastle Investment Corp.		665,514		1,005,300

		Office (6.50%)
		United States (6.50%)
	7,000	Boston Properties Inc.		734,002		707,420
	22,000	Kilroy Realty Corp.		982,779		1,152,800
	13,000	Liberty Property Trust		448,865		516,750
				2,165,646		2,376,970

		Residential (4.20%)
		United States (4.20%)
	15,000	Apartment Investment and Management Company		389,893		459,900
	12,000	Post Properties, Inc.		559,784		565,200
	19,000	Senior Housing Properties Trust		411,529		509,770
				1,361,206		1,534,870

		Retail (21.42%)
		Australia (0.51%)
	8,200	Westfield Group ADR (a)		151,352		185,320

		United States (20.91%)
	55,000	CBL & Associates Properties, Inc. (b)		993,870		1,298,000
	25,000	DDR Corp.		365,842		435,500
	10,500	Federal Realty Investment Trust		1,016,314		1,134,420
	15,000	General Growth Properties, Inc.		247,913		298,200
	55,000	Kimco Realty Corp.		1,010,103		1,232,000
	11,000	Regency Centers Corp.		483,064		582,010
	7,000	Simon Property Group, Inc.		999,187		1,109,920
	14,000	Taubman Centers, Inc.		1,004,717		1,087,240
	15,000	Weingarten Realty Investors		394,980		473,250
				6,515,990		7,650,540
		Total retail		6,667,342		7,835,860

		Total common stocks		18,869,020		22,709,915

		PREFERRED STOCKS (4.33%)
		REAL ESTATE INVESTMENT TRUSTS (4.33%)
		Industrial (1.11%)
		United States (1.11%)
	15,000	CubeSmart 7.75%, Series A		389,806		404,250

		Office (1.04%)
		United States (1.04%)
	15,000	Duke Realty Corp. 6.50%, Series K		373,313		379,950

		Retail (2.18%)
		United States (2.18%)
	15,000	Pennsylvania Real Estate Investment Trust, 8.25%, Series A		380,663		398,550
	15,000	Realty Income Corp., 6.625%, Series F		396,285		400,050
				776,948		798,600

		Total preferred stocks		1,540,067		1,582,800

		SHORT-TERM INVESTMENT (12.74%)
Principal Amount		United States (12.74%)
$	4,661,779	State Street Bank and Trust Company Euro Time Deposit 0.01%, 4/01/13		4,661,779		4,661,779

		WHOLLY-OWNED SUBSIDIARY (20.97%)
		REAL ESTATE INVESTMENT TRUST (20.97%)
Member Equity Interest		United States (20.97%)
	100%	Self Storage Group I LLC (c) (d) (e)		7,750,000		7,672,500

		Total investments (100.12%)	$	32,820,866		36,626,994

		Liabilities in excess of other assets (-0.12%)				(43,795	)

		Net assets (100.00%)			$	36,583,199

(a) The company is organized as a real estate investment trust as defined by the laws of its country of domicile.
(b) All or a portion of these securities have been segregated as collateral pursuant to the bank credit facility. As of March 31, 2013, the value of securities pledged as collateral was $6,819,270.
(c) Controlled affiliate.
(d) Non-income producing.
(e) Illiquid and/or restricted security that has been fair valued.

ADR		American Depositary Receipt
LLC		Limited Liability Company
REIT		Real Estate Investment Trust
plc		Public limited company

Notes to Schedule of Portfolio Investments (Unaudited)

Valuation of Investments

Portfolio securities are valued by various methods depending on the primary market or exchange on which they trade. Most equity securities for which the primary markets is the United States are valued at the official closing price, last sale price or, if no sale has occurred, at the closing bid price. Most equity securities for which the primary market is outside the United States are valued using the official closing price or the last sale price in the principal market in which they are traded. If the last sale price on the local exchange is unavailable, the last evaluated quote or closing bid price normally is used. Debt obligations with remaining maturities of 60 days or less are valued at cost adjusted for amortization of premiums and accretion of discounts. Certain of the securities in which the Company may invest are priced through pricing services that may utilize a matrix pricing system which takes into consideration factors such as yields, prices, maturities, call features, and ratings on comparable securities. Bonds may be valued according to prices quoted by a bond dealer that offers pricing services. Open end investment companies are valued at their net asset value. Foreign securities markets may be open on days when U.S. markets are closed. For this reason, the value of any foreign securities owned by the Company could change on a day when stockholders cannot buy or sell shares of the Company. Securities for which quotations are not readily available or reliable and other assets may be valued as determined in good faith by the Company’s Valuation Committee (“VC”) under the direction of or pursuant to procedures established by the Company’s Board of Directors, called “fair value pricing.” Due to the inherent uncertainty of valuation, fair value pricing values may differ from the values that would have been used had a readily available market for the securities existed. These differences in valuation could be material. A security’s valuation may differ depending on the method used for determining value. The use of fair value pricing by the Company may cause the net asset value of its shares to differ from the net asset value that would be calculated using market prices. A fair value is an estimate and there is no assurance that such price will be at or close to the price at which a security is next quoted or next trades.

Fair Value Measurements

Inputs to valuation methods are prioritized by a three level hierarchy as follows:

●	Level 1 – unadjusted quoted prices in active markets for identical assets or liabilities including securities actively traded on a securities exchange.

●	Level 2 – observable inputs other than quoted prices included in level 1 that are observable for the asset or liability which may include quoted prices for similar instruments, interest rates, prepayment speeds, credit risk, yield curves, default rates, and similar data.

●	Level 3 - unobservable inputs for the asset or liability including the Company’s own assumptions about the assumptions a market participant would use in valuing the asset or liability.

The availability of observable inputs can vary from security to security and is affected by a wide variety of factors, including, for example the type of security, whether the security is new and not yet established in the marketplace, the liquidity of markets, and other characteristics particular to the security. To the extent that valuation is based on models or inputs that are less observable or unobservable in the market, the determination of fair value requires more judgment. Accordingly, the degree of judgment exercised in determining fair value is greatest for investments categorized in level 3.

The inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, the level in the fair value hierarchy within which the fair value measurement falls in its entirety is determined based on the lowest level input that is significant to the fair value measurement in its entirety.

The inputs or methodology used for valuing investments are not an indication of the risk associated with investing in those securities.

The following is a description of the valuation techniques applied to the Company’s major categories of assets and liabilities measured at fair value on a recurring basis:

Equity securities (common and preferred stock) - Equity securities traded on a national securities exchange or market generally are stated normally at the official closing price, last sales price or, if no sale has occurred, at the closing bid price on the day of valuation. To the extent these securities are actively traded and valuation adjustments are not applied, they may be categorized in level 1. Preferred stock and other equities on inactive markets or valued by reference to similar instruments may be categorized in level 2.

Restricted and/or illiquid securities - Restricted and/or illiquid securities for which quotations are not readily available or reliable may be valued as determined in good faith by the VC under the direction of or pursuant to procedures established by the Company's Board of Directors. Restricted securities issued by publicly traded companies are generally valued at a discount to similar publicly traded securities. Restricted or illiquid securities issued by nonpublic entities may be valued by reference to comparable public entities or fundamental data relating to the issuer or both or similar inputs. Depending on the relative significance of valuation inputs, these instruments may be classified in either level 2 or level 3 of the fair value hierarchy.

The following is a summary of the inputs used as of March 31, 2013 in valuing the Company’s assets carried at fair value. Refer to the Schedule of Portfolio Investments for detailed information on specific investments.

	Level 1		Level 2		Level 3		Total
Assets
Investments, at value
Common Stocks
Real Estate Investment Trusts
Diversified
United Kingdom	$	164,175	$	-	$	-	$	164,175
United States		1,768,390		-		-		1,768,390
Healthcare Facilities
United States		2,743,670		-		-		2,743,670
Industrial
United States		5,280,680		-		-		5,280,680
Mortgage Investment
United States		1,005,300		-		-		1,005,300
Office
United States		2,376,970		-		-		2,376,970
Residential
United States		1,534,870		-		-		1,534,870
Retail
Australia		185,320		-		-		185,320
United States		7,650,540		-		-		7,650,540
Preferred Stocks
Real Estate Investment Trusts
Industrial
United States		404,250		-		-		404,250
Office
United States		379,950		-		-		379,950
Retail
United States		798,600		-		-		798,600
Short term investment
United States		-		4,661,779		-		4,661,779
Wholly-owned subsidiary
United States		-		-		7,672,500		7,672,500

Total investments, at value	$	24,292,715	$	4,661,779	$	7,672,500	$	36,626,994

There were no securities transferred from level 1 on December 31, 2012 to level 2 on March 31, 2013. Transfers from level 1 to level 2, or from level 2 to level 1 are valued utilizing values at the beginning of the period.

The following is a reconciliation of level 3 investments for which significant unobservable inputs were used to determine fair value including securities valued at zero:

	Wholly-Owned
	Subsidiary
Balance at December 31, 2012	$	7,425,000
Cost of purchases		250,000
Change in unrealized depreciation		(2,500	)
Balance at March 31, 2013	$	7,672,500
Net change in unrealized depreciation attributable
to assets held as level 3 at March 31, 2013	$	72,500

There were no transfers into or out of level 3 assets during the period.

The VC under the direction of the Company’s Board of Directors considers various valuation approaches for valuing securities categorized within level 3 of the fair value hierarchy. The factors used in determining the value of the Company’s private investments may include, but are not limited to, the discounts applied to the selection of comparable investments due to the private nature of the investment; the type of the security; the size of the holding; the initial cost of the security; the existence of any contractual restrictions on the security's disposition; the price and extent of public trading in similar securities of the issuer or of comparable companies; quotations or evaluated prices from broker-dealers and/or pricing services; information obtained from the issuer or analysts; an analysis of the company's or issuer's financial statements; or an evaluation of the forces that influence the issuer and the market in which the security is purchased and sold. Significant changes in any of those inputs in isolation would result in a significantly lower or higher fair value measurement. The pricing of all fair value holdings is subsequently reported to the Company’s Board of Directors.

The following table presents additional information about valuation methodologies and inputs used for investments that are measured at fair value and categorized with level 3 as of March 31, 2013:

	Fair Value			Unobservable
	March 31, 2013		Valuation Technique	Input	Amount
Wholly-owned subsidiary
Real estate investment trust	$	7,672,500	Assessment of comparable recent acquisitions, analysis of operating results	Discount rate for lack of marketability		1	%

Investment in Self Storage Group I LLC

The Company wholly owns and controls Self Storage Group I LLC (“SSGI”), and certain officers and directors of the Company are officers and managers of SSGI. A summary of the Company’s holdings in SSGI is set forth below:

	Beginning			Membership Equity				Ending					Value
	Equity Interest			Gross		Gross		Equity Interest			Dividend		March 31,
	Percentage			Additions		Reductions		Percentage			Income		2013
Self Storage Group I LLC		100	%	$	7,750,000	$	-		100	%	$	-	$	7,672,500

The Company’s investment in SSGI has a limited trading market and/or certain restrictions on trading and, therefore, may be illiquid and/or restricted. This investment has been valued at fair value. Due to the inherent uncertainty of valuation, fair value pricing values may differ from the values that would have been used had a readily available market for the securities existed. These differences in valuation could be material. Illiquid and/or restricted securities owned at March 31, 2013, were as follows:

	Acquisition
	Date	Cost			Value
Self Storage Group I LLC	7/9/12 - 2/5/13	$	7,750,000		$	7,672,500
Percent of net assets			21.18	%		20.97	%

The Company does not consolidate the assets, liabilities, capital, or operations of SSGI into its financial statements. SSGI I separately presented as an investment in the Company’s Schedule of Portfolio Investments. Unrealized appreciation or depreciation on the Company’s investment in SSGI is recorded in the Company’s Statement of Assets and Liabilities and the Company’s Statement of Operations.

Summarized unaudited financial information for SSGI is set forth below as of and for the three months ended March 31, 2013 (dollars in thousands):

Balance Sheet Data	(Unaudited)
As of March 31, 2013
Investment in self storage facilities at cost	$	7,383
Total assets		7,923
Total liabilities		230

Operating Data
For the Three Months Ended March 31, 2013
Rental income	$	276
Net income		85

Cost for Federal Income Tax Purposes

At March 31, 2013, for federal income tax purposes the aggregate cost of securities was $32,820,866 and net unrealized appreciation was $3,806,128 comprised of gross unrealized appreciation of $3,910,210 and gross unrealized depreciation of $104,082.

Item 2. Controls and Procedures

(a)

The registrant's principal executive officer and principal financial officer have concluded that the registrant's disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940, as amended (the "1940 Act")) are effective as of a date within 90 days of the filing date of this report that includes the disclosure required by this paragraph, based on their evaluation of the disclosure controls and procedures required by Rule 30a-3(b) under the 1940 Act and 15d-15(b) under the Securities Exchange Act of 1934.

(b)

There were no changes in the registrant's internal control over financial reporting (as defined in Rule 30a-3(d) under the 1940 Act) that occurred during the registrant's last fiscal quarter that have materially affected, or are reasonably likely to materially affect, the registrant's internal control over financial reporting.

Item 3. Exhibits

(a)	Certifications of the registrant's principal executive officer and principal financial officer as required by Rule 30a-2(a) under the 1940 Act.

Signatures

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

Global Income Fund, Inc.

By: /s/ Mark C. Winmill

Mark C. Winmill, President

Date: May 30, 2013

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.

By: /s/ Mark C. Winmill

Mark C. Winmill, President

Date: May 30, 2013

By: /s/ Thomas O'Malley

Thomas O'Malley, Chief Financial Officer

Date: May 30, 2013

Exhibit Index

(a)	Certifications of the registrant's principal executive and principal financial officer as required by Rule 30a-2(a) under the 1940 Act. (EX-99.CERT)

Form: N-Q

Documents