NPORT-EX 1 NPORT_11196149409218990.htm HTML

Eaton Vance

Tax-Managed Diversified Equity Income Fund

July 31, 2019

PORTFOLIO OF INVESTMENTS (Unaudited)

Common Stocks — 99.1%

 

                                                 
Security    Shares      Value  

Banks — 7.8%

      

Bank of America Corp.(1)

      1,753,241      $ 53,789,434  

JPMorgan Chase & Co.(1)

      551,008        63,916,928  

PNC Financial Services Group, Inc. (The)

      162,609        23,236,826  
     

 

 

  
      $ 140,943,188  
     

 

 

  

Beverages — 2.8%

      

Constellation Brands, Inc., Class A(1)

      129,610      $ 25,509,840  

PepsiCo, Inc.(1)

      200,907        25,677,924  
     

 

 

  
      $ 51,187,764  
     

 

 

  

Biotechnology — 3.2%

      

Gilead Sciences, Inc.(1)

      364,759      $ 23,899,010  

Vertex Pharmaceuticals, Inc.(1)(2)

      207,263        34,534,161  
     

 

 

  
      $ 58,433,171  
     

 

 

  

Capital Markets — 1.5%

      

Charles Schwab Corp. (The)(1)

      609,895      $ 26,359,662  
     

 

 

  
      $ 26,359,662  
     

 

 

  

Chemicals — 0.7%

      

DuPont de Nemours, Inc.

      166,157      $ 11,989,889  
     

 

 

  
      $ 11,989,889  
     

 

 

  

Commercial Services & Supplies — 0.9%

      

Waste Management, Inc.

      143,492      $ 16,788,564  
     

 

 

  
      $ 16,788,564  
     

 

 

  

Consumer Finance — 2.3%

      

American Express Co.(1)

      326,305      $ 40,582,553  
     

 

 

  
      $ 40,582,553  
     

 

 

  

Containers & Packaging — 1.7%

      

Ball Corp.(1)

      428,045      $ 30,596,657  
     

 

 

  
      $ 30,596,657  
     

 

 

  

Diversified Telecommunication Services — 2.9%

      

Verizon Communications, Inc.(1)

      942,015      $ 52,065,169  
     

 

 

  
      $ 52,065,169  
     

 

 

  

Electric Utilities — 1.6%

      

NextEra Energy, Inc.(1)

      141,450      $ 29,304,197  
     

 

 

  
      $ 29,304,197  
     

 

 

  

Electrical Equipment — 1.7%

 

Eaton Corp. PLC(1)

      373,783      $ 30,721,225  
     

 

 

  
   $ 30,721,225  
     

 

 

  

 

1

 

 

                                                 
Security    Shares      Value  

Entertainment — 5.9%

 

Live Nation Entertainment, Inc.(1)(2)

      481,065      $ 34,665,544  

Spotify Technology SA(2)

      189,628        29,380,962  

Walt Disney Co. (The)(1)

      292,378        41,812,978  
     

 

 

  
   $ 105,859,484  
     

 

 

  

Equity Real Estate Investment Trusts (REITs) — 2.5%

 

American Tower Corp.(1)

      147,430      $ 31,199,137  

CubeSmart

      392,062        13,310,505  
     

 

 

  
   $ 44,509,642  
     

 

 

  

Food Products — 1.5%

 

Mondelez International, Inc., Class A(1)

      507,470      $ 27,144,570  
     

 

 

  
   $ 27,144,570  
     

 

 

  

Health Care Equipment & Supplies — 4.9%

 

Abbott Laboratories(1)

      511,788      $ 44,576,735  

Danaher Corp.(1)

      307,204        43,162,162  
     

 

 

  
   $ 87,738,897  
     

 

 

  

Hotels, Restaurants & Leisure — 1.7%

 

Marriott International, Inc., Class A

      215,307      $ 29,940,591  
     

 

 

  
   $ 29,940,591  
     

 

 

  

Household Products — 2.5%

 

Procter & Gamble Co. (The)(1)

      382,763      $ 45,181,345  
     

 

 

  
   $ 45,181,345  
     

 

 

  

Insurance — 2.1%

 

Progressive Corp. (The)(1)

      461,485      $ 37,371,055  
     

 

 

  
   $ 37,371,055  
     

 

 

  

Interactive Media & Services — 1.5%

 

Alphabet, Inc., Class C(1)(2)

      22,228      $ 27,044,363  
     

 

 

  
   $ 27,044,363  
     

 

 

  

Internet & Direct Marketing Retail — 3.7%

 

Amazon.com, Inc.(1)(2)

      36,186      $ 67,551,301  
     

 

 

  
   $ 67,551,301  
     

 

 

  

IT Services — 9.1%

 

Accenture PLC, Class A(1)

      189,338      $ 36,462,712  

Akamai Technologies, Inc.(2)

      239,401        21,098,410  

Cognizant Technology Solutions Corp., Class A

      320,492        20,876,849  

GoDaddy, Inc., Class A(2)

      339,788        24,933,643  

Visa, Inc., Class A(1)

      337,178        60,017,684  
     

 

 

  
   $ 163,389,298  
     

 

 

  

Life Sciences Tools & Services — 1.1%

 

Agilent Technologies, Inc.

      295,023      $ 20,477,546  
     

 

 

  
   $ 20,477,546  
     

 

 

  

Machinery — 4.3%

 

Caterpillar, Inc.(1)

      317,665      $ 41,826,951  

Fortive Corp.(1)

      479,482        36,464,606  
     

 

 

  
   $ 78,291,557  
     

 

 

  

 

2

 

 

                                                 
Security    Shares      Value  

Multi-Utilities — 1.4%

 

Sempra Energy(1)

      179,736      $ 24,341,646  
     

 

 

  
   $ 24,341,646  
     

 

 

  

Oil, Gas & Consumable Fuels — 4.9%

 

ConocoPhillips

      306,937      $ 18,133,838  

EOG Resources, Inc.

      197,513        16,956,491  

Exxon Mobil Corp.(1)

      483,826        35,977,301  

Phillips 66

      168,621        17,293,770  
     

 

 

  
   $ 88,361,400  
     

 

 

  

Pharmaceuticals — 4.4%

 

Bristol-Myers Squibb Co.

      413,887      $ 18,380,722  

Johnson & Johnson(1)

      192,773        25,102,900  

Zoetis, Inc.(1)

      316,814        36,398,760  
     

 

 

  
   $ 79,882,382  
     

 

 

  

Road & Rail — 2.0%

 

CSX Corp.(1)

      515,852      $ 36,315,981  
     

 

 

  
   $ 36,315,981  
     

 

 

  

Semiconductors & Semiconductor Equipment — 2.1%

 

Texas Instruments, Inc.(1)

      306,241      $ 38,283,187  
     

 

 

  
   $ 38,283,187  
     

 

 

  

Software — 7.3%

 

Intuit, Inc.(1)

      114,829      $ 31,843,230  

Microsoft Corp.(1)

      729,110        99,355,820  
     

 

 

  
   $ 131,199,050  
     

 

 

  

Specialty Retail — 4.2%

 

Best Buy Co., Inc.

      315,638      $ 24,155,776  

Home Depot, Inc. (The)(1)

      127,625        27,272,186  

Tractor Supply Co.

      221,158        24,064,202  
     

 

 

  
      $ 75,492,164  
     

 

 

  

Technology Hardware, Storage & Peripherals — 3.5%

      

Apple, Inc.(1)

      295,004      $ 62,847,652  
     

 

 

  
      $ 62,847,652  
     

 

 

  

Textiles, Apparel & Luxury Goods — 1.4%

      

NIKE, Inc., Class B(1)

      286,624      $ 24,658,263  
     

 

 

  
      $ 24,658,263  
     

 

 

  

Total Common Stocks
(identified cost $1,269,668,528)

       $ 1,784,853,413  
     

 

 

  

Short-Term Investments — 1.1%

      
Description    Units      Value  

Eaton Vance Cash Reserves Fund, LLC, 2.31%(3)

      19,939,869      $ 19,939,869  
     

 

 

  

Total Short-Term Investments
(identified cost $19,938,024)

       $ 19,939,869  
     

 

 

  

 

3

 

 

                                                 
              Value  

Total Investments — 100.2%
(identified cost $1,289,606,552)

       $ 1,804,793,282  
     

 

 

  

Total Written Call Options — (0.3)%
(premiums received $9,580,149)

       $ (5,283,360 ) 
     

 

 

  

Other Assets, Less Liabilities — 0.1%

       $ 2,319,824  
     

 

 

  

Net Assets — 100.0%

       $     1,801,829,746  
     

 

 

  

The percentage shown for each investment category in the Portfolio of Investments is based on net assets.

 

(1)

Security (or a portion thereof) has been pledged as collateral for written options.

 

(2)

Non-income producing security.

 

(3)

Affiliated investment company, available to Eaton Vance portfolios and funds, which invests in high quality, U.S. dollar denominated money market instruments. The rate shown is the annualized seven-day yield as of July 31, 2019. Net income from the investment in Eaton Vance Cash Reserves Fund, LLC for the fiscal year to date ended July 31, 2019 was $335,143.

 

                                                                                                                            

Written Call Options — (0.3)%

               

Exchange-Traded Options — (0.3)%

               
Description    Number of
Contracts		      Notional
Amount		      Exercise
Price		      Expiration
Date		      Value  

S&P 500 Index

      240      $     71,529,120      $     3,000        8/2/19      $ (196,800 ) 

S&P 500 Index

      240        71,529,120        2,990        8/5/19        (356,400 ) 

S&P 500 Index

      240        71,529,120        3,000        8/7/19        (352,800 ) 

S&P 500 Index

      240        71,529,120        3,025        8/9/19        (169,200 ) 

S&P 500 Index

      239        71,231,082        3,025        8/12/19        (215,100 ) 

S&P 500 Index

      240        71,529,120        3,000        8/14/19        (472,800 ) 

S&P 500 Index

      240        71,529,120        2,990        8/16/19        (637,200 ) 

S&P 500 Index

      240        71,529,120        2,990        8/19/19        (668,400 ) 

S&P 500 Index

      238        70,933,044        2,995        8/21/19        (658,070 ) 

S&P 500 Index

      237        70,635,006        3,020        8/23/19        (427,785 ) 

S&P 500 Index

      237        70,635,006        3,025        8/26/19        (401,715 ) 

S&P 500 Index

      238        70,933,044        3,000        8/28/19        (727,090 ) 
              

 

 

  

Total

 

    $     (5,283,360 ) 
              

 

 

  

At July 31, 2019, the Fund had sufficient cash and/or securities to cover commitments under open derivative contracts.

The Fund is subject to equity price risk in the normal course of pursuing its investment objectives. The Fund writes index call options above the current value of the index to generate premium income. In writing index call options, the Fund in effect, sells potential appreciation in the value of the applicable index above the exercise price in exchange for the option premium received. The Fund retains the risk of loss, minus the premium received, should the value of the underlying index decline.

At July 31, 2019, the aggregate fair value of open derivative instruments (not considered to be hedging instruments for accounting disclosure purposes) in a liability position and whose primary underlying risk exposure is equity price risk was $5,283,360.

 

4

 

 

Under generally accepted accounting principles for fair value measurements, a three-tier hierarchy to prioritize the assumptions, referred to as inputs, is used in valuation techniques to measure fair value. The three-tier hierarchy of inputs is summarized in the three broad levels listed below.

 

•  

Level 1 — quoted prices in active markets for identical investments

 

•  

Level 2 — other significant observable inputs (including quoted prices for similar investments, interest rates, prepayment speeds, credit risk, etc.)

 

•  

Level 3 — significant unobservable inputs (including a fund’s own assumptions in determining the fair value of investments)

In cases where the inputs used to measure fair value fall in different levels of the fair value hierarchy, the level disclosed 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 securities are not necessarily an indication of the risk associated with investing in those securities.

At July 31, 2019, the hierarchy of inputs used in valuing the Fund’s investments and open derivative instruments, which are carried at value, were as follows:

 

Asset Description    Level 1      Level 2      Level 3      Total  

Common Stocks

    $ 1,784,853,413 *     $ —      $ —      $ 1,784,853,413  

Short-Term Investments

      —        19,939,869        —        19,939,869  

Total Investments

    $     1,784,853,413      $     19,939,869      $     —      $     1,804,793,282  
Liability Description                                

Written Call Options

    $ (5,283,360 )     $ —      $ —      $ (5,283,360 ) 

Total

    $ (5,283,360 )     $ —      $ —      $ (5,283,360 ) 

 

*

The level classification by major category of investments is the same as the category presentation in the Portfolio of Investments.

For information on the Fund’s policy regarding the valuation of investments and other significant accounting policies, please refer to the Fund’s most recent financial statements included in its semiannual or annual report to shareholders.

 

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