AB 2020 Form 10-K

The following table shows the composition of the investment portfolio by industry, at amortized cost and fair value as of December 31, 2020 (with corresponding percentage of total portfolio investments): As of December 31, 2020 Amortized Cost Percentage of Total Fair Value Percentage of Total Business Services $ 39,299,593 7.29% $ 38,887,140 7.30% Consumer Non-Cyclical $ 10,215,267 1.89% $ 9,866,617 1.85% Digital Infrastructure & Services $ 28,828,092 5.35% $ 28,732,616 5.39% Education $ 9,177,391 1.70% $ 9,108,599 1.71% Energy $ 21,301,663 3.95% $ 19,283,664 3.62% Financial Services $ 8,525,237 1.58% $ 8,527,428 1.60% Healthcare & HCIT $157,164,560 29.15% $154,546,234 28.99% Software & Tech Services $255,942,203 47.46% $257,378,914 48.28% Transport & Logistics $ 8,774,454 1.63% $ 6,703,818 1.26% $539,228,460 100% $533,035,030 100% The following table shows the composition of the investment portfolio by industry, at amortized cost and fair value as of December 31, 2019 (with corresponding percentage of total portfolio investments): As of December 31, 2019 Amortized Cost Percentage of Total Fair Value Percentage of Total Business Services $ 29,492,348 8.50% $ 29,467,961 8.54% Consumer Non-Cyclical $ 12,573,051 3.63% $ 12,628,209 3.66% Digital Infrastructure & Services $ 35,923,507 10.36% $ 35,849,013 10.39% Education $ 9,792,558 2.82% $ 9,774,744 2.83% Energy $ 16,097,426 4.64% $ 15,097,254 4.38% Financial Services $ 1,037,219 0.30% $ 1,037,140 0.30% Healthcare & HCIT $ 77,923,042 22.46% $ 77,112,970 22.35% Pharmaceutical $ 5,773,084 1.66% $ 5,714,446 1.66% Software & Tech Services $145,364,022 41.91% $145,699,305 42.23% Specialty Finance $ 2,810,973 0.81% $ 2,804,891 0.81% Transport & Logistics $ 10,086,510 2.91% $ 9,839,385 2.85% $346,873,740 100% $345,025,318 100% The Adviser monitors the Fund’s portfolio companies on an ongoing basis. It monitors the financial trends of each portfolio company to determine if they are meeting their respective business plans and to assess the appropriate course of action for each company. The Adviser has several methods of evaluating and monitoring the performance and fair value of the Fund’s investments, which may include the following: • assessment of success in adhering to the portfolio company’s business plan and compliance with covenants; • periodic or regular contact with portfolio company management and, if appropriate, the financial or strategic sponsor to discuss financial position, requirements and accomplishments; • comparisons to the Fund’s other portfolio companies in the industry, if any; • attendance at and participation in board meetings or presentations by portfolio companies; and • review of monthly and quarterly consolidated financial statements and financial projections of portfolio companies. 65