UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, DC 20549

 

FORM N-Q

QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED

MANAGEMENT INVESTMENT COMPANY

_______________________________

Investment Company Act file number 811-5269

Brazil Fund, Inc.

(Exact name of registrant as specified in charter)

 

345 Park Avenue

New York, NY 10154

(Address of principal executive offices)             (Zip code)

 

Paul Schubert

345 Park Avenue

New York, NY 10154

(Name and address of agent for service)

Registrant's telephone number, including area code: (212) 454-7190

Date of fiscal year end: 06/30

Date of reporting period: 03/31/06

Form N-Q is to be used by registered management investment companies, other than small business investment companies registered on Form N-5 (§§ 239.24 and 274.5 of this chapter), to file reports with the Commission, not later than 60 days after the close of the first and third fiscal quarters, pursuant to rule 30b1-5 under the Investment Company Act of 1940 (17 CFR 270.30b1-4). The Commission may use the information provided on Form N-Q in its regulatory, disclosure review, inspection, and policymaking roles.

A registrant is required to disclose the information specified by Form N-Q, and the Commission will make this information public. A registrant is not required to respond to the collection of information contained in Form N-Q unless the Form displays a currently valid Office of Management and Budget ("OMB") control number. Please direct comments concerning the accuracy of the information collection burden estimate and any suggestions for reducing the burden to the Secretary, Securities and Exchange Commission, 450 Fifth Street, NW, Washington, DC 20549-0609. The OMB has reviewed this collection of information under the clearance requirements of 44 U.S.C. § 3507.

 

ITEM 1. SCHEDULE OF INVESTMENTS

 

 

Investment Portfolio                            as of March 31, 2006 (Unaudited)  

 

The Brazil Fund, Inc.

 

 

 

Shares

 

Value ($)

 

Equity Securities 98.7%

 

Consumer Discretionary 1.9%

 

Internet & Catalog Retail 0.6%

 

Submarino SA

 

217,600

 

5,626,026

Textiles, Apparel & Luxury Goods 1.3%

 

Sao Paulo Alpargatas SA (Preferred)

 

325,796

 

13,399,188

Consumer Staples 15.3%

 

Beverages 7.2%

 

Companhia de Bebidas das Americas

 

28,841,593

 

10,902,229

Companhia de Bebidas das Americas (Preferred)

 

144,207,965

 

61,974,772

 

72,877,001

Food & Staples Retailing 2.1%

 

Companhia Brasileira de Distribuicao Grupo Pao de Acucar (Preferred)

 

510,916,400

 

21,347,995

Food Products 2.7%

 

Sadia SA (Preferred)

 

10,198,045

 

27,333,023

Personal Products 0.7%

 

Natura Cosmeticos SA

 

598,000

 

7,101,941

Tobacco 2.6%

 

Souza Cruz SA (Voting)

 

1,735,943

 

26,480,350

Energy 13.8%

 

Oil, Gas & Consumable Fuels

Petroleo Brasileiro SA (Preferred)

 

6,846,632

 

136,489,697

Ultrapar Participacoes SA (Preferred)

 

179,810

 

3,157,477

 

139,647,174

Financials 20.5%

 

Banks 19.1%

 

Banco Bradesco SA (Preferred)

 

1,665,158

 

59,642,513

Banco Itau Holding Financeira SA (Preferred)

 

4,440,490

 

131,326,876

Unibanco - Uniao de Bancos Brasileiros SA (Units)

 

158,400

 

2,341,597

 

193,310,986

Insurance 0.9%

 

Porto Seguro SA

 

528,000

 

9,198,521

Real Estate 0.5%

 

Cyrela Brazil Realty SA

 

313,200

 

5,580,865

Health Care 0.7%

 

Health Care Providers & Services

Diagnosticos da America SA*

 

278,500

 

7,207,024

Industrials 11.9%

 

Aerospace & Defense 1.4%

 

Empresa Brasileira de Aeronautica SA (Preferred)

 

1,498,932

 

13,818,712

 

 


 

 

Airlines 2.3%

 

Gol-Linhas Aereas Inteligentes SA (Preferred)

 

358,284

 

9,611,084

Tam SA (Preferred)

 

750,200

 

14,282,921

 

23,894,005

Commercial Services & Supplies 0.1%

 

Contax Participacoes SA*

 

49

 

82

Contax Participacoes SA (Preferred)

 

848,205

 

1,058,296

 

1,058,378

Machinery 4.7%

 

Weg SA (Preferred)

 

12,806,400

 

47,402,617

Road & Rail 1.8%

 

All America Latina Logistica ***

 

218,900

 

13,554,806

Localiza Rent A Car SA

 

303,000

 

5,152,680

 

18,707,486

Transportation Infrastructure 1.6%

 

Companhia de Concessoes Rodoviarias

 

1,296,000

 

12,133,531

Obrascon Huarte Lain Brasil SA*

 

301,800

 

3,807,366

 

15,940,897

Materials 25.9%

 

Metals & Mining 21.0%

 

Caemi Mineracao e Metalurgica SA (Preferred)

 

14,490,500

 

25,646,310

Companhia Siderurgica Nacional SA (Voting)

 

1,205,800

 

37,918,064

Companhia Vale do Rio Doce "A" (Preferred) **

 

2,030,812

 

87,754,727

Gerdau SA (Preferred)

 

2,189,040

 

49,162,359

Usinas Siderurgicas de Minas Gerais SA "A" (Preferred)

 

325,600

 

12,074,584

 

212,556,044

Paper & Forest Products 4.9%

 

Aracruz Celulos SA "B" (Preferred)

 

5,109,599

 

26,917,481

Votorantim Celulose e Papel SA (Preferred)

 

1,434,500

 

23,207,876

 

50,125,357

Telecommunication Services 2.8%

 

Diversified Telecommunication Services 1.9%

 

Tele Norte Leste Participacoes SA

 

49

 

1,086

Tele Norte Leste Participacoes SA (Preferred)

 

833,205

 

13,888,033

Telemar Norte Leste SA "A" (Preferred)

 

219,434

 

5,758,621

 

19,647,740

Wireless Telecommunication Services 0.9%

 

Telesp Celular Participacoes SA (Preferred)*

 

1,502,802

 

6,409,824

Tim Participacoes SA (Preferred)

 

647,040,400

 

2,392,016

 

8,801,840

Utilities 5.9%

 

Electric Utilities 5.0%

 

AES Tiete SA (Preferred)

 

224,960,000

 

6,237,338

Companhia Energetica de Minas Gerais SA (Preferred)

 

842,171,369

 

38,430,879

EDP - Energias do Brasil SA*

 

419,600

 

5,853,847

 

50,522,064

Water Utilities 0.9%

 

Companhia Saneamento Basico do Sao Paulo SA (Voting)

 

106,400,000

 

9,391,128

Total Equity Securities (Cost $179,884,494)

 

1,000,976,362

 

 


 

 

 

Principal
Amount ($)

 

Value ($)

 

Other Investments 0.0%

 

Companhia Vale do Rio Doce SA* (Cost $0)

 

922,104

 

20,752

 

Shares

 

Value ($)

 

Cash Equivalents 0.1%

 

Cash Management QP Trust, 4.64% (a)
(Cost $676,637)

 

 

676,637

 

676,637

 

% of
Net Assets

 

Value ($)

Total Investment Portfolio (Cost $ 180,561,131)

98.8

 

1,001,673,751

Other Assets and Liabilities, Net

1.2

 

12,319,148

Net Assets

100.0

 

1,013,992,899

 

For information on the Fund's policies regarding the valuation of investments and other significant accounting policies, please refer to the Fund's most recent semi-annual or annual financial statements.

*

Non-income producing security.

**

These shares are limited voting rights.

***

Units Representing four preferred shares and one common share.

(a)

Cash Management QP Trust, an affiliated fund, is managed by Deutsche Investment Management Americas Inc. The rate shown is the annualized seven-day yield at period end.

 

 

 

 

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.

 

Registrant:

Brazil Fund, Inc.

 

 

By:

/s/Michael Colon

 

Michael Colon

 

President

 

Date:

May 19, 2006

 

 

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.

 

Registrant:

Brazil Fund, Inc.

 

 

By:

/s/Michael Colon

 

Michael Colon

 

President

 

Date:

May 19, 2006

 

 

 

By:

/s/Paul Schubert

 

Paul Schubert

 

Chief Financial Officer and Treasurer

 

Date:                                                 May 19, 2006