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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: 811-22067  
     
Nicholas–Applegate Global Equity & Convertible Income Fund  
  (Registrant Name)  
     
1345 Avenue of the Americas New York, New York   10105
(Address of Principal Executive Offices)   (Zip code)
     
Lawrence G. Altadonna – 1345 Avenue of the Americas New York, New York 10105
  (Name and Address of Agent for Service)  

Registrant’s telephone number, including area code:           212-739-3371      

Date of Fiscal Year End:          August 31, 2009     

Date of Reporting Period:        May 31, 2009     

Form N-Q is to be used by 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 270.30b1-5). 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 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, 100 F Street, NE, Washington, DC 20549-2001. The OMB has reviewed this collection of information under the clearance requirements of 44 U.S.C. § 3507.

Item 1. Schedule of Investments

Nicholas-Applegate Global Equity & Convertible Income Fund Schedule of Investments
May 31, 2009 (unaudited)

Shares     Value
COMMON STOCK—76.9%  
    Australia—2.4%  
          Airlines—0.3%  
152,554         Qantas Airways Ltd. $235,930
 
          Biotechnology—0.4%  
17,462         CSL Ltd. (b) 412,080
 
          Commercial Banks—0.6%  
19,579         Commonwealth Bank of Australia 552,149
 
          Construction & Engineering—0.3%  
14,173         Leighton Holdings Ltd. 262,425
 
          Diversified Financial Services—0.2%  
139,994         Challenger Financial Services Group Ltd. 228,921
 
          Metals & Mining—0.6%  
13,924         BHP Billiton Ltd. 391,040
58,602         OneSteel Ltd. 128,605
      519,645
    Austria—0.1%  
          Building Products—0.0%  
3,027         Wienerberger AG (a) 43,007
 
          Metals & Mining—0.1%  
2,316         Voestalpine AG 67,327
 
    Belgium—0.2%  
          Chemicals—0.2%  
5,374         Tessenderlo Chemie NV 182,961
 
    Bermuda—1.4%  
          Capital Markets—1.0%  
31,248         Lazard Ltd. 883,693
 
          Electric Utilities—0.2%  
59,000         Cheung Kong Infrastructure Holdings Ltd. 219,460
 
          Marine—0.1%  
10,500         Orient Overseas International Ltd. 46,107
 
          Specialty Retail—0.1%  
19,500         Esprit Holdings Ltd. 124,491
 
 
    Canada—0.8%  
          Communication Equipment—0.8%  
9,100         Research in Motion Ltd. (a) 715,624
 
    Cayman Islands—0.4%  
          Electronic Equipment, Instruments—0.1%  
30,500         Kingboard Chemical Holdings Ltd. 79,664
 
          Insurance—0.2%  
19,230         XL Capital Ltd. - Cl. A 194,608
 
          Paper & Forest Products—0.0%  
28,000         Lee & Man Paper Manufacturing Ltd. 30,488
 
          Semiconductors & Semiconductors Equipment—0.1%  
16,500         ASM Pacific Technology Ltd. 97,135
 
    Denmark—0.1%  
          Construction & Engineering—0.1%  
2,000         FLSmidth & Co. AS (a) 74,418

Nicholas-Applegate Global Equity & Convertible Income Fund Schedule of Investments
May 31, 2009 (unaudited)

Shares     Value
    Finland—0.3%  
          Communications Equipment—0.1%  
7,353         Nokia Oyj $112,983
 
          Food & Staples Retailing—0.2%  
4,984         Kesko Oyj 144,386
 
    France—3.2%  
          Airlines—0.1%  
4,355         Air France-KLM 69,865
 
          Automobiles—0.4%  
9,874         Peugeot S.A. (a) 301,250
1,838         Renault S.A. (a) 71,392
      372,642
          Commercial Banks—0.6%  
4,922         BNP Paribas 341,505
12,598         Credit Agricole S.A. 186,325
      527,830
          Diversified Telecommunications—1.2%  
47,233         France Telecom S.A. (b) 1,153,264
 
          Electrical Equipment—0.3%  
4,912         Alstom S.A. 313,819
 
          Household Durables—0.1%  
2,043         SEB S.A. 81,923
 
          Oil, Gas & Consumable Fuels—0.5%  
8,490         Total S.A. 490,405
 
    Germany—2.3%  
          Airlines—0.3%  
23,665         Deutsche Lufthansa AG 328,073
 
          Automobiles—0.9%  
17,212         Daimler AG (b) 633,875
3,950         Porsche Automobile Holding SE 241,496
      875,371
          Chemicals—0.6%  
7,688         K+S AG 576,796
 
          Industrial Conglomerates—0.2%  
2,992         Siemens AG 218,971
 
          Metals & Mining—0.2%  
1,548         Salzgitter AG 145,960
 
          Multi Utilities—0.1%  
568         RWE AG 47,350
 
    Greece—0.1%  
          Commercial Banks—0.1%  
4,039         National Bank of Greece S.A. (a) 110,514
 
    Hong Kong—1.5%  
          Airlines—0.3%  
197,000         Cathay Pacific Airways Ltd. 277,014
 
          Diversified Financial Services—0.1%  
8,000         Hong Kong Exchanges & Clearing Ltd. 125,314
 
          Independent Power Producers—0.1%  
38,000         China Resources Power Holdings Co., Ltd. 81,873

Nicholas-Applegate Global Equity & Convertible Income Fund Schedule of Investments
May 31, 2009 (unaudited)

Shares     Value
          Real Estate Management & Development—1.0%  
41,000         Hang Lung Group Ltd. $187,101
118,000         New World Development Ltd. 224,007
56,000         Swire Pacific Ltd. 561,698
      972,806
    Ireland—0.1%  
          Banks—0.0%  
20,740         Anglo Irish Bank Corp. PLC (f) 294
 
          Insurance—0.1%  
9,738         Irish Life & Permanent PLC 46,701
 
    Italy—0.9%  
          Aerospace & Defense—0.1%  
4,513         Finmeccanica SpA 63,920
 
          Electric Utilities—0.3%  
54,358         Enel SpA 324,132
 
          Household Durables—0.1%  
14,735         Indesit Co. SpA (a) 99,302
 
          Oil, Gas & Consumable Fuels—0.4%  
13,395         ENI SpA 325,409
 
    Japan—5.7%  
          Auto Components—0.1%  
5,800         Tokai Rika Co., Ltd. 86,971
 
          Commercial Banks—0.4%  
169,000         Hokuhoku Financial Group, Inc. 357,520
 
          Computers & Peripherals—0.0%  
13,000         Toshiba Corp. 48,731
 
          Consumer Finance—0.2%  
490         ORIX Corp. 30,964
13,600         Promise Co., Ltd. 181,415
      212,379
 
          Diversified Telecommunication—0.1%  
2,100         Nippon Telegraph & Telephone Corp. 87,239
 
 
          Electronic Equipment, Instruments—0.4%  
3,500         FUJIFILM Holdings Corp. 101,052
5,500         Mitsumi Electric Co., Ltd. 106,195
23,000         Nippon Chemi-Con Corp. 68,889
14,000         Star Micronics Co., Ltd. 131,296
      407,432
          Health Care Equipment & Supplies—0.1%  
7,000         Olympus Corp. 137,764
 
          Household Durables—0.4%  
13,300         Sony Corp. 347,631
 
          Leisure Equipment & Products—0.5%  
5,000         Nikon Corp. 75,213
7,900         Sankyo Co., Ltd. 418,897
      494,110
          Machinery—0.2%  
5,000         Glory Ltd. 98,855
4,700         Shima Seiki Manufacturing Ltd. 120,473
      219,328
          Marine—0.7%  
71,000         Mitsui OSK Lines Ltd. 505,208
32,000         Nippon Yusen KK 153,481
      658,689

Nicholas-Applegate Global Equity & Convertible Income Fund Schedule of Investments
May 31, 2009 (unaudited)

Shares     Value
          Metals & Mining—0.4%  
4,300         JFE Holdings, Inc. $143,942
43,000         Nippon Steel Corp. 164,979
25,000         Sumitomo Metal Industries Ltd. 67,669
      376,590
          Pharmaceuticals—0.2%  
6,000         Chugai Pharmaceutical Co., Ltd. 109,452
3,300         Daiichi Sankyo Co., Ltd. 62,028
      171,480
          Real Estate Management & Development—0.1%  
2,000         Daito Trust Construction Co., Ltd. 90,599
 
          Road & Rail—0.1%  
1,700         East Japan Railway Co. 101,312
 
          Software—0.0%  
300         Nintendo Co., Ltd. 80,810
 
          Specialty Retail—0.0%  
3,000         Aoyama Trading Co., Ltd. 50,913
 
          Tobacco—0.0%  
16         Japan Tobacco, Inc. 46,041
 
          Trading Companies & Distribution—1.5%  
54,000         ITOCHU Corp. 392,602
70,000         Marubeni Corp. 317,373
26,000         Mitsui & Co., Ltd. 332,766
36,900         Sumitomo Corp. 369,764
      1,412,505
          Wireless Telecommunication Services—0.3%  
50         KDDI Corp. 261,876
 
    Luxembourg—0.1%  
          Metals & Mining—0.1%  
3,088         ArcelorMittal 103,017
 
    Netherlands—0.2%  
          Diversified Financial Services—0.2%  
14,541         ING Groep NV 154,576
 
    New Zealand—0.1%  
          Construction Materials—0.1%  
27,259         Fletcher Building Ltd. 114,425
 
    Norway—0.5%  
          Chemicals—0.4%  
10,500         Yara International ASA 349,143
 
          Energy Equipment & Services—0.1%  
8,000         Seadrill Ltd. 118,198
3,400         TGS Nopec Geophysical Co. ASA (a) 34,026
      152,224
    Singapore—1.0%  
          Airlines—0.4%  
40,000         Singapore Airlines Ltd. 346,789
 
          Commercial Banks—0.2%  
36,000         Oversea-Chinese Banking Corp. 181,693
 
          Distributors—0.2%  
17,000         Jardine Cycle & Carriage Ltd. 194,269
 
          Electronic Equipment, Instruments—0.1%  
26,000         Venture Corp., Ltd. 128,623

Nicholas-Applegate Global Equity & Convertible Income Fund Schedule of Investments
May 31, 2009 (unaudited)

Shares     Value
          Real Estate Management & Development—0.1%  
71,000         Wing Tai Holdings Ltd. $73,769
 
    Spain—1.6%  
          Construction & Engineering—0.6%  
9,221         ACS Actividades de Construccion y Servicios S.A. 482,531
2,822         Sacyr Vallehermoso S.A. 46,303
      528,834
          Diversified Telecommunication—1.0%  
45,274         Telefonica S.A. 981,957
 
    Sweden—1.4%  
          Commercial Banks—0.2%  
19,000         Nordea Bank AB 152,442
4,200         Swedbank AB (a) 25,132
      177,574
          Communication Equipment—0.1%  
15,995         LM Ericson - Cl. B 147,942
 
          Household Durables—0.1%  
5,400         Electrolux AB (a) 68,512
 
          Machinery—0.3% 166,155
20,200         Sandvik AB 54,970
16,000         Trelleborg AB (a) 91,696
14,200         Volvo AB 312,821
 
          Specialty Retail—0.7%  
13,200         Hennes & Mauritz AB 631,096
 
 
    Switzerland—1.3%  
          Biotechnology—0.3%  
5,878         Actelion Ltd. (a) 305,049
 
          Capital Markets—0.2%  
2,773         Credit Suisse Group AG 124,614
 
          Insurance—0.7%  
3,450         Zurich Financial Services AG (b) 646,494
 
          Textiles, Apparel & Luxury Goods—0.1%  
656         Swatch Group AG 109,643
 
    United Kingdom—7.0%  
          Aerospace & Defense—0.1%  
11,929         BAE Systems PLC 66,244
 
          Capital Markets—0.1%  
17,856         3i Group PLC 70,429
 
 
          Commercial Banks—0.3%  
19,664         Barclays PLC 95,325
18,343         Lloyds TSB Group PLC 20,154
51,937         Royal Bank of Scotland Group PLC (a) 32,209
9,470         Standard Chartered PLC 193,259
      340,947
          Commercial Services & Supplies—0.1%  
13,579         Aggreko PLC 129,069
 
          Food & Staples Retailing—0.4%  
92,742         WM Morrison Supermarkets PLC (b) 364,779

Nicholas-Applegate Global Equity & Convertible Income Fund Schedule of Investments
May 31, 2009 (unaudited)

Shares     Value
          Industrial Conglomerates—0.1%  
4,961         Cookson Group PLC $21,761
4,730         Smiths Group PLC 55,523
      77,284
 
          Insurance—0.5%  
253,484         Old Mutual PLC 303,665
45,432         Standard Life PLC 146,038
      449,703
          Machinery—0.2%  
17,900         Charter PLC 153,170
 
          Media—0.1%  
12,965         WPP PLC 96,668
 
          Metals & Mining—1.4%  
6,416         Anglo American PLC 185,077
36,554         BHP Billiton PLC (b) 874,094
5,372         Rio Tinto PLC 244,181
4,527         Xstrata PLC 50,664
      1,354,016
 
          Multiline Retail—0.7%  
26,858         Marks & Spencer Group PLC 123,818
21,928         Next PLC 519,069
      642,887
          Oil, Gas & Consumable Fuels—2.1%  
16,993         BG Group PLC 311,513
          Royal Dutch Shell PLC,  
16,201           Class A 437,317
45,399           Class B (b) 1,235,697
      1,984,527
          Professional Services—0.1%  
14,108         Michael Page International PLC 58,793
 
          Specialty Retail—0.1%  
72,326         GALIFORM PLC (a) 43,826
16,621         Game Group PLC 45,776
      89,602
          Tobacco—0.4%  
14,650         British American Tobacco PLC (b) 400,617
 
          Wireless Telecommunication Services—0.3%  
165,068         Vodafone Group PLC 309,815
 
    United States—44.2%  
          Aerospace & Defense—1.7%  
10,300         L-3 Communications Holdings, Inc. 757,153
16,850         United Technologies Corp. 886,479
      1,643,632
          Auto Components—0.7%  
31,200         Johnson Controls, Inc. 621,816
 
          Automobiles—0.8%  
130,434         Ford Motor Co. (a) 749,995
 
          Beverages—3.3%  
40,985         Coca-Cola Co. 2,014,823
15,600         Molson Coors Brewing Co.—Cl. B 686,244
7,600         PepsiCo., Inc. 395,580
      3,096,647
 
          Biotechnology—1.0%  
22,800         Gilead Sciences, Inc. (a) 982,680
 
          Communications Equipment—3.4%  
44,800         Cisco Systems, Inc. (a) 828,800
5,984         EchoStar Corp. (a) 95,924
21,200         Harris Corp. 658,896
5,266         Harris Stratex Networks, Inc. (a) 25,119
34,200         Juniper Networks, Inc. (a) 845,766
17,000         Qualcomm, Inc. 741,030
      3,195,535

 

Nicholas-Applegate Global Equity & Convertible Income Fund Schedule of Investments
May 31, 2009 (unaudited)

Shares     Value
    Computers & Peripherals—1.5%  
51,700   EMC Corp. (a) $607,475
7,500   International Business Machines Corp. 797,100
      1,404,575
    Diversified Financial Services—1.0%  
24,837   JP Morgan Chase & Co. 916,486
 
    Diversified Telecommunications—0.9%  
28,200   Verizon Communications, Inc. 825,132
 
    Electric Utilities—1.1%  
13,855   Entergy Corp. 1,033,861
 
    Electronic Equipment, Instruments—0.5%  
14,000   Amphenol Corp. 467,460
 
    Energy Equipment & Services—2.0%  
9,700   Diamond Offshore Drilling, Inc. 817,516
11,600   National Oilwell Varco, Inc. (a) 447,992
11,800   Schlumberger Ltd. 675,314
      1,940,822
    Food Products—0.6%  
20,500   Archer-Daniels-Midland Co. 564,160
 
 
    Health Care Equipment & Supplies—1.4%  
15,600   Baxter International, Inc. 798,564
3,680   Intuitive Surgical, Inc. (a) 550,822
      1,349,386
    Healthcare Providers & Services—2.6%  
23,000   Cigna Corp. 509,910
21,900   McKesson Corp. 901,185
23,600   Medco Health Solutions, Inc. (a) 1,083,004
      2,494,099
    Hotels Restuarants & Leisure—0.9%  
15,000   McDonald's Corp. 884,850
 
    Household Products—0.9%  
16,500   Proctor & Gamble Co. 857,010
 
    Independent Power Producers—1.3%  
12,500   Constellation Energy Group, Inc. 341,000
38,461   NRG Energy, Inc. (a) 865,373
      1,206,373
 
    Industrial Conglomerates—1.1%  
62,026   General Electric Co. 836,110
20,200   Textron, Inc. 232,300
      1,068,410
 
    Insurance—2.9%  
46,000   Genworth Financial, Inc. - Cl. A 272,320
23,520   MetLife, Inc. 740,879
42,000   Platinum Underwriters Holdings Ltd. 1,210,860
12,700   Prudential Financial, Inc. 506,856
      2,730,915
 
    Internet & Catalog Retail—1.2%  
14,930   Amazon.com, Inc. (a) 1,164,391
 
    Internet Software & Services—0.9%  
2,000   Google, Inc. (a) 834,460
 
    Machinery—1.5%  
18,700   AGCO Corp. (a) 539,682
14,200   Deere & Co. 617,274
6,400   Joy Global, Inc. 220,608
      1,377,564
    Media—0.5%  
29,919   DISH Network Corp. (a) 490,672
 
    Metals & Mining—0.6%  
9,750   Freeport-McMoRan Copper & Gold, Inc. 530,693

Nicholas-Applegate Global Equity & Convertible Income Fund Schedule of Investments
May 31, 2009 (unaudited)

Shares       Value
          Multi Retail—0.8%    
19,500         Target Corp.   $766,350
 
          Oil, Gas & Consumable Fuels—1.0%    
5,500         Occidental Petroleum Corp.   369,105
5,900         Peabody Energy Corp.   200,482
18,800         Valero Energy Corp.   420,556
        990,143
          Pharmaceuticals—3.4%    
16,000         Abbott Laboratories   720,960
43,300         Bristol-Myers Squibb Co.   862,535
18,224         Johnson & Johnson   1,005,236
21,200         Merck & Co., Inc.   584,696
        3,173,427
          Semiconductors & Semiconductor Equipment—1.5%    
48,000         Intel Corp.   754,560
33,900         Texas Instruments, Inc.   657,660
        1,412,220
          Software—3.2%    
91,043         Microsoft Corp.   1,901,888
55,200         Oracle Corp.   1,081,368
        2,983,256
 
    Total Common Stock (cost—$131,404,851)   72,685,604
 
 
 
CONVERTIBLE PREFERRED STOCK—10.4%    
Principal        
Amount     Credit Rating  
(000)     (Moody's/S&P)  
          Automobiles—0.2%    
$                   60         General Motors Corp., 6.25%, 7/15/33, Ser. C C/C 159,600
 
          Capital Markets—0.3%    
          Lehman Brothers Holdings, Inc.,    
42               6.00%, 10/12/10, Ser. GIS (General Mills, Inc.) (c) (f) (g) NR/D 135,833
9               28.00%, 3/6/09, Ser. RIG (Transocean, Inc.) (c) (f) (g) NR/D 126,771
        262,604
          Commercial Services & Supplies—0.4%    
29         United Rentals, Inc., 6.50%, 8/1/28 Caa1/B- 415,063
 
          Diversified Financial Services—2.3%    
1         Bank of America Corp., 7.25%, 12/31/49, Ser. L B3/B 665,000
10         Citigroup, Inc., 6.50%, 12/31/49, Ser. T Ca/C 397,580
29         Vale Capital Ltd., 5.50%, 6/15/10, Ser. RIO (Companhia Vale do Rio Doce) (c) NR/NR 1,114,062
        2,176,642
          Electric—1.2%    
30         AES Trust III, 6.75%, 10/15/29 B3/B 1,159,499
 
          Food Products—0.9%    
10         Bunge Ltd., 4.875%, 12/31/49 Ba1/BB 832,500
 
          Household Durables—0.9%    
1         Stanley Works, 5.125%, 5/17/12, VRN A3/BBB+ 840,350
 
          Oil, Gas & Consumable Fuels—0.5%    
7         Chesapeake Energy Corp., 5.00%, 12/31/49 NR/B 472,350
 
          Pharmaceuticals—1.1%    
5         Schering-Plough Corp., 6.00%, 8/13/10 Baa3/BBB 1,039,728
 
          Real Estate (REIT) —0.4%    
60         FelCor Lodging Trust, Inc., 1.95%, 12/31/49, Ser. A Caa3/C 351,000
 
          Sovereign—1.1%    
8         Eksportfinans AS, 10.00%, 6/13/09, Ser. AAPL (Apple, Inc.) (c) Aa1/NR 1,013,134
 
 
          Wireless Telecommunications Services—1.1%    
23         Crown Castle International Corp., 6.25%, 8/15/12 NR/NR 1,107,243
 
    Total Convertible Preferred Stock (cost-$19,360,997)   9,829,713
 
CONVERTIBLE BONDS & NOTES—10.5%    
          Commercial Services & Supplies—0.7%    
650         Bowne & Co., Inc., 5.00%, 10/1/33 B3/CCC+ 626,438
         

Nicholas-Applegate Global Equity & Convertible Income Fund Schedule of Investments
May 31, 2009 (unaudited)

Principal        
Amount        
(000)       Value
 
          Communications Equipment—0.3%    
$810         Nortel Networks Corp., 2.125%, 4/15/14 NR/NR $236,925
 
          Computers & Periphals—1.5%    
1,400         Maxtor Corp., 6.80%, 4/30/10   Ba3/NR 1,375,500
 
 
          Electrical Equipment—0.7%    
785         JA Solar Holdings Co., Ltd., 4.50%, 5/15/13 NR/NR 524,223
200         EnerSys, 3.375%, 6/1/38 B2/BB 147,000
        671,223
          IT Services—0.5%    
650         Alliance Data Systems Corp., 1.75%, 8/1/13 (d) (e) NR/NR 475,313
 
 
          Media—1.1%    
475         Interpublic Group of Cos, Inc., 4.25%, 3/15/23   Ba3/B+ 420,969
640         Regal Entertainment Group, 6.25%, 3/15/11 (d) (e) NR/NR 612,800
        1,033,769
          Multi-Utilities—1.1%    
425         PG&E Corp., 9.50%, 6/30/10 NR/NR 1,052,938
 
          Oil, Gas & Consumable Fuels—0.9%    
1,010         Transocean, Inc., 1.50%, 12/15/37 Baa2/BBB+ 891,325
 
          Pharmaceuticals—0.4%    
400         Mylan, Inc., 1.25%, 3/15/12 NR/B+ 353,000
 
          Real Estate (REIT) —1.8%    
500         Developers Diversified Realty Corp., 3.00%, 3/15/12 NR/BB+ 347,500
540         Health Care REIT, Inc., 4.75%, 12/1/26 Baa2/BBB 856,800
960         Vornado Realty Trust, 3.625%, 11/15/26 Baa2/BBB- 530,550
        1,734,850
          Telecommunications—0.9%    
900         Nextel Communications, Inc., 5.25%, 1/15/10   Ba2/BB 893,250
 
          Wireless Telecommunication Services—0.6%    
800         NII Holdings, Inc., 3.125%, 6/15/12 NR/NR 602,000
 
    Total Convertible Bonds & Notes (cost-$11,182,811)   9,946,531
 
CORPORATE BONDS & NOTES—0.5%    
          Banks—0.5%    
          GMAC LLC,    
260           7.50%, 12/31/13 (d) (e) NR/CCC 217,299
312           8.00%, 12/31/18 (d) (e) NR/CC 226,536
    Total Corporate Bonds & Notes (cost-$886,562)   443,835
 
RIGHTS—0.0%    
Shares        
          Capital Markets—0.0%    
23         3i Group PLC, expires 6/15/12   38,870
 
          Commercial Banks—0.0%    
11         Lloyds Banking Group PLC, expires 12/31/49   5,434
 
          Total Rights (Cost-186,562)   44,304
 
SHORT-TERM INVESTMENT—1.3%    
Principal        
Amount        
(000)        
          Time Deposit—1.3%    
$1,191         Citibank—Nassau, 0.06%, 6/1/09 (cost-$1,190,542)   1,190,542
               
    Total Investments, before call options written (cost—$164,212,325) —99.6%   94,140,529

Nicholas-Applegate Global Equity & Convertible Income Fund Schedule of Investments
May 31, 2009 (unaudited)

Contracts     Value  
CALL OPTIONS WRITTEN (a) —(0.4)%    
234   DAX Index, OTC, strike price €5,264, expires 6/19/09 $(9,816 )
1,893   Dow Jones € Stoxx 50 Price Index, OTC, strike price €2,596.67, expires 6/19/09 (47,785 )
724   FTSE 100 Index, OTC, strike price GBP 4,679, expires 6/19/09 (16,930 )
42,778   NIKKEI 225 Index, OTC, strike price ¥ 10,010, expires 6/12/09 (20,930 )
14,245   OMX Stockholm 30 Index, OTC, strike price SEK 839.74, expires 6/18/09 (5,636 )
587   S&P 200 Index, OTC, strike price AUD 4,025, expires 6/18/09 (4,672 )
30,702   S&P 500 Index, OTC, strike price $945, expires 6/19/09 (245,493 )
177   Swiss Market Index, OTC, strike price CHF 5,709.08, expires 6/19/09 (2,135 )
 
    Total Call Options Written (premiums received—$467,564) (353,397 )
 
    Total Investments, net of call options written (cost—$163,744,761)(h)—99.2% 93,787,132  
 
    Other assets less other liabilities—0.8% 750,999  
 
    Net Assets—100.0% $94,538,131  

Notes to Schedule of Investments:

* Portfolio securities and other financial instruments for which market quotations are readily available are stated at market value. Market value is generally determined on the basis of last reported sales prices, or if no sales are reported, based on quotes obtained from a quotation reporting system, established market makers, or pricing services.
   
  Portfolio securities and other financial instruments for which market quotations are not readily available or if a development/event occurs that may significantly impact the value of a security, are fair-valued, in good faith, pursuant to guidelines established by the Board of Trustees or persons acting at their discretion pursuant to guidelines approved by the Board of Trustees. The Fund’s investments, including over-the-counter options, are valued daily using prices supplied by an independent pricing service or dealer quotations, or by using the last sale price on the exchange that is the primary market for such securities, or the mean between the last quoted bid and ask price for those securities for which the over-the-counter market is the primary market or for listed securities in which there were no sales. Independent pricing services use information provided by market makers or estimates of market values obtained from yield data relating to investments or securities with similar characteristics. Exchange traded options are valued at the settlement price determined by the relevant exchange. Synthetic convertible securities are valued based on quotations obtained from unaffiliated brokers who are the principal market-makers in such securities. Such valuations are derived by brokers from proprietary models which are generally based on readily available market information including valuations of the common stock underlying the synthetic security, and the volatility observed in the market on such common stocks. Short-term securities maturing in 60 days or less are valued at amortized cost, if their original term to maturity was 60 days less, or by amortizing their value on the 61st day prior to maturity, if the original term to maturity exceeded 60 days.
   
  Investments initially valued in currencies other than U.S. dollar are converted to the U.S. dollar using exchange rates obtained from pricing services. As a result, the Net Asset Value (“NAV”) of the Fund’s shares may be affected by changes in the value of currencies in relation to the U.S. dollar. The value of securities traded in markets outside the United States or denominated in currencies other than the U.S. dollar may be affected significantly on a day that the New York Stock Exchange (“NYSE”) is closed and the NAV may change on days when an investor is not able to purchase or sell shares. The prices used by the Fund to value securities may differ from the value that would be realized if the securities were sold and these differences could be material. The Fund’s NAV is normally determined daily as of the close of regular trading (normally, 4:00 p.m. Eastern time) on the NYSE on each day the NYSE is open for business.
   
  The prices of certain portfolio securities or other financial instruments may be determined at a time prior to the close of regular trading on the NYSE. When fair valuing securities, the Fund may, among other things, consider significant events (which may be considered to include changes in the value of U.S. securities or securities indices) that occur after the close of the relevant market and before the time the Fund’s net asset value is calculated. With respect to certain foreign securities, the Fund may fair-value securities using modeling tools provided by a third-party vendor. The Fund has retained a statistical research service to assist in determining the fair value of foreign securities. This service utilizes statistics and programs based on historical performance of markets and other economic data to assist in making fair value estimates. Fair value estimates used by the Fund for foreign securities may differ from the value realized from the sale of those securities and the difference could be material. Fair value pricing may require subjective determinations about the value of a security or other asset, and fair values used to determine a Fund’s NAV may differ from quoted or published prices, or from prices that are used by others, for the same investments. In addition, the use of fair value pricing may not always result in adjustments to the prices of securities or other assets held by a Fund.
 
(a)      

Non-income producing.

(b)      

All or partial amount segregated as collateral for call options written.

(c)      

Securities exchangeable or convertible into securities of an entity different than the issuer. Such entity is identified in the parenthetical.

(d)      

144A Security-Security exempt from registration under Rule 144A of the Securities Act of 1933.

 

These securities may be resold in transactions exempt from registration, typically only to qualified institutional buyers. Unless otherwise indicated, these securities are not considered to be illiquid.

(e)      

Private Placement. Restricted as to resale and may not have a readily available market. Securities with an aggregate value of $1,531,948, representing 1.6% of net assets.

(f)      

Fair-valued - Securities with an aggregate value of $262,898, representing 0.3% of net assets.

(g)      

Issuer in default.

(h)      

Securities with an aggregate value of $27,986,536, representing 29.6% of net assets, have been valued utilizing methods modeling tools provided by a third party vendor, as described in the footnote above.

 

Glossary:
€ – Euros
¥ – Japanese Yen
AUD – Australian Dollar
CHF – Swiss Franc
GBP – Great British Pound
NR – Not Rated
OTC – Over the Counter
REIT – Real Estate Investment Trust
SEK – Swedish Krona

VRN – Variable Rate Note. Instruments whose interest rate change on specified date (such as a coupon date or interest payment date) and/or whose interest rates vary with changes in a designated base rate (such as the prime interest rate). The interest rate disclosed reflects the rate in effect on May 31, 2009.

               
Other Investments:            
(1) Transactions in call options written for the nine months ended May 31, 2009 were:            
    Contracts     Premiums    
  Options outstanding, August 31, 2008 89,753     $786,666    
  Options written 671,693     4,209,210    
  Options terminated in closing purchase transactions (172,446 )   (1,379,321 )  
  Options expired (497,660 )   (3,148,991 )  
  Options outstanding, May 31, 2009 91,340     $467,564    

Fair Value Measurement —The Fund has adopted Financial Accounting Standard Board (“FASB”) Statement of Financial Accounting Standards No. 157, Fair Value Measurements (“SFAS 157”). SFAS 157 clarifies the definition of fair value for financial reporting, establishes a framework for measuring fair value and requires additional disclosures about the use of the fair value measurements. Under SFAS 157, fair value is defined as the price that would be received to sell an asset or paid to transfer a liability (i.e. the "exit price") in an orderly transaction between market participants. The thre levels of the fair value hierachy under SFAS 157 are described below:

  • Level 1— quoted prices in active markets for identical investments that the portfolio has the ability to access.
  • Level 2 — valuations based on other significant observable inputs (including quoted prices for similar investments, interest rates, prepayment speeds, credit risk, etc. ) or qoutes from inactive exchanges.
  • Level 3 — valuations based on significant unobservable inputs (including the Fund's own assumptions in determining the fair value of investments).

An investment asset or liability's level within the fair value hierarchy is based on the lowest level input, individually or in the aggregate, that is significant to fair value measurement.

The valuation techniques used by the Fund to measure fair value during the period ended May 31, 2009 maximized the use of observable inputs and minimized the use of unobservable inputs.

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

The following is a summary of the inputs used as of May 31, 2009 in valuing the Fund's investments and other financial instruments carried at value:

    Investments in Securities  
Valuation Inputs   Assets     Liabilities    
Level 1 — Quoted Prices   $53,297,053     $-    
Level 2 — Other Significant Observable Inputs   40,580,578     (353,397 )  
Level 3 — Significant Unobservable Inputs   262,898     -    
Total   $94,140,529     $(353,397 )  
 
A roll forward of fair value measurement using significant unobservable inputs (Level 3) for the nine months ended May 31, 2009, were as follows:  
    Investments in Securities  
    Assets     Liabilities    
Beginning balance, August 31, 2008   $-     $-    
Net purchases (sales) and settlements   -     -    
Accrued discounts (premiums)   -     -    
Total realized gain (loss)   -     -    
Total change in unrealized gain (loss)   -     -    
Transfers in and/or out of Level 3   262,898     -    
Ending balance, May 31, 2009   $262,898     $-    

Disclosures about Derivative Instruments and Hedging Activities— The Fund has adopted FASB Statement of Financial Standards No. 161 “Disclosures about Derivative Instruments and Hedging Activities” (“SFAS 161”). This standard is an amendment to FASB Statement No. 133 (“FASB 133”), which expands the disclosure requirements of FAS 133 regarding an entity’s derivative instruments and hedging activities.

The following is a summary of the fair valuations of the Fund's derivative instruments categorized by risk exposure as of May 31, 2009:

 

Derivatives Fair Value

 

       

Interest rate contracts

$ -

 

       

Foreign exchange contracts

-

 

       

Credit contracts

-

 

       

Equity contracts

(353,397

)

       

Other contracts

-

 

       

Total

$(353,397

)

       


Item 2. Controls and Procedures

(a) The registrant’s President & Chief Executive Officer and Treasurer, Principal Financial & Accounting Officer have concluded that the registrant’s disclosure controls and procedures (as defined in Rule 30a-3(c) under the Act (17 CFR 270.30a-3(c))) are effective based on their evaluation of these controls and procedures as of a date within 90 days of the filing date of this document.

(b) There were no changes in the registrant's internal controls over financial reporting (as defined in Rule 30a-3(d) under the Act (17 CFR 270.30a-3(d))) that occurred during the registrant’s last fiscal quarter that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting.

Item 3. Exhibits

      (a) Exhibit 99.302 Cert. – Certification pursuant to Section 302 of the Sarbanes-Oxley Act of 2002

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: Nicholas–Applegate Global Equity & Convertible Income Fund

By /s/ Brian S. Shlissel
President & Chief Executive Officer

Date: July 24, 2009

By /s/ Lawrence G. Altadonna
Treasurer, Principal Financial & Accounting Officer

Date: July 24, 2009

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/ Brian S. Shlissel
President & Chief Executive Officer

Date: July 24, 2009

By /s/ Lawrence G. Altadonna
Treasurer, Principal Financial & Accounting Officer

Date: July 24, 2009

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