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        811-4915

                          DNP Select Income Fund Inc.                          

(Exact name of registrant as specified in charter)

  200 South Wacker Drive, Suite 500, Chicago, Illinois             60606  

(Address of principal executive offices)                 (Zip code)

Alan M. Meder	Lawrence R. Hamilton, Esq.
DNP Select Income Fund Inc.	Mayer Brown LLP
200 South Wacker Drive, Suite 500	71 South Wacker Drive
Chicago, Illinois 60606	Chicago, Illinois  60606

(Name and address of agents for service)

Registrant’s telephone number, including area code:        (312) 263-2610

Date of fiscal year end:      October 31

Date of reporting period:      July 31, 2018

 

Item 1.           Schedule of Investments.

 

                       See the Statement of Net Assets below.

 

 

Shares		Description		Value
COMMON STOCKS & MLP INTERESTS--118.7%
		ELECTRIC, GAS AND WATER--82.2%
2,533,240		Alliant Energy Corp.(a)	$	108,853,323
1,688,000		Ameren Corp.(a)(b)		104,757,280
1,041,000		American Electric Power Co., Inc.(a)		74,056,740
1,000,000		American Water Works Co.(a)(b)		88,250,000
732,000		Atmos Energy Corp.(a)		67,248,840
3,071,300		CenterPoint Energy, Inc.(a)		87,470,624
2,397,000		CMS Energy Corp.(a)		115,870,980
864,000		Dominion Energy, Inc.		61,957,440
955,000		DTE Energy Co.(a)(b)		103,655,700
1,000,000		Edison International		66,630,000
1,296,855		Emera Inc. (Canada)		41,983,440
1,592,441		Evergy, Inc.(a)(b)		89,320,016
1,719,400		Eversource Energy(a)(b)		104,401,968
653,700		NextEra Energy, Inc.(a)(b)		109,520,898
1,010,250		Nextera Energy Partners, LP		47,552,468
2,270,000		NiSource Inc.		59,428,600
800,000		Northwest Natural Gas Co.		52,120,000
2,300,000		OGE Energy Corp.(a)(b)		83,352,000
576,000		ONE Gas, Inc.		44,375,040
1,000,000		Pinnacle West Capital Corp.(a)		80,430,000
1,800,000		Public Service Enterprise Group Inc.(a)		92,808,000
900,000		Sempra Energy(a)		104,031,000
1,500,000		South Jersey Industries, Inc.		50,895,000
2,000,000		Southern Co.(a)(b)		97,200,000
903,000		Spire Inc.		64,654,800
865,000		Vectren Corp.(a)(b)		61,821,550
1,500,000		WEC Energy Group, Inc.(a)		99,555,000
2,000,000		Xcel Energy Inc.(a)		93,720,000
				2,255,920,707

 

 

Shares			Description		Value
			OIL & GAS STORAGE, TRANSPORTATION AND PRODUCTION--23.3%
	184,729		Andeavor Logistics LP		$	8,412,559
	595,765		Antero Midstream GP LP			11,450,603
	435,000		Antero Midstream Partners LP			14,372,400
	138,940		Cheniere Energy Partners, LP			5,307,508
	501,000		DCP Midstream LP			22,284,480
	1,119,300		Enbridge Inc. (Canada)			39,656,799
	880,032		Energy Transfer Equity LP			16,025,383
	1,327,367		Energy Transfer Partners LP			27,821,612
	1,080,000		EnLink Midstream Partners LP			16,826,400
	1,276,000		Enterprise Products Partners LP			37,004,000
	425,000		EQT GP Holdings, LP			9,430,750
	545,000		GasLog Partners LP (Marshall Islands)			13,706,750
	2,180,026		Kinder Morgan, Inc.(a)			38,760,862
	347,090		Magellan Midstream Partners LP			24,907,178
	727,185		MPLX LP			26,491,350
	130,444		Noble Midstream Partners LP			6,920,054
	312,150		ONEOK, Inc.			21,987,846
	717,000		Pembina Pipeline Corp. (Canada)			25,772,350
	323,419		Phillips 66 Partners LP			17,351,429
	978,900		Plains All American Pipeline, LP			24,257,142
	430,625		Shell Midstream Partners LP			9,775,188
	395,000		Spectra Energy Partners, LP			14,603,150
	1,168,305		Tallgrass Energy, LP			27,256,556
	545,120		Targa Resources Corp.			27,839,278
	1,375,500		TransCanada Corp. (Canada)(a)			61,828,725
	195,440		Valero Energy Partners LP			7,653,430
	671,460		Westlake Chemical Partners LP			17,760,117
	362,000		Western Gas Partners LP			18,509,060
	791,500		The Williams Companies, Inc.			23,547,125
	500,000		Williams Partners LP			22,515,000
						640,035,084

 

 

Shares			Description		Value
			TELECOMMUNICATIONS--13.2%
	2,129,000		AT&T Inc.(a)		$	68,064,130
	951,515		BCE Inc. (Canada)(a)(b)			40,372,781
	800,000		CenturyLink Inc.			15,016,000
	690,400		Crown Castle International Corp.			76,517,032
	1,000,000		Orange SA (France)			17,100,287
	1,280,300		Telus Corp. (Canada)			46,757,500
	1,502,089		Verizon Communications Inc.(a)			77,567,876
	782,200		Vodafone Group Plc ADR (United Kingdom)			19,203,010
						360,598,616
			Total Common Stocks & MLP Interests (Cost $2,441,779,208)			3,256,554,407
	Par Value
	BONDS--16.3%
			ELECTRIC, GAS AND WATER--8.9%
	$22,000,000		Arizona Public Service Co.
			6 7/8%, 8/01/36(a)(b)			27,876,487
	10,450,000		Atmos Energy Corp.
			8 1/2%, 3/15/19(a)(b)			10,809,247
	11,000,000		Cleveland Electric Illuminating Co.
			8 7/8%, 11/15/18(a)(b)			11,187,867
	8,000,000		CMS Energy Corp.
			5.05%, 3/15/22			8,365,341
	5,000,000		Connecticut Light & Power Co.
			3.20%, 3/15/27			4,786,675
	15,305,000		Consolidated Edison Co. of New York
			7 1/8%, 12/01/18(a)(b)			15,532,036
	10,000,000		DPL Capital Trust II
			8 1/8%, 9/01/31			10,000,000
	6,400,000		DTE Electric Co.
			3.65%, 3/15/24			6,423,937
	4,875,000		DTE Electric Co.
			3.45%, 10/01/20			4,893,085
	5,600,000		Edison International
			4 1/8%, 3/15/28			5,567,944
	20,000,000		Entergy Texas Inc.
			7 1/8%, 2/01/19(a)(b)			20,404,745
	10,000,000		Florida Power & Light Co.
			3 1/4%, 6/01/24			9,862,033
	10,618,000		Indiana Michigan Power Co.
			7.00%, 3/15/19(a)(b)			10,898,069
	10,000,000		Interstate Power & Light
			3 1/4%, 12/01/24			9,772,074
	5,000,000		Metropolitan Edison Co.
			7.70%, 1/15/19(a)			5,107,521

 

 

	Par Value		Description			Value
	$12,000,000		National Fuel Gas Co.
			8 3/4%, 5/01/19(a)		$	12,492,805
	6,000,000		Nevada Power Co.
			7 1/8%, 3/15/19			6,160,265
	5,000,000		Ohio Power Co.
			6.60%, 2/15/33			6,299,097
	10,345,000		Oncor Electric Delivery Co. LLC
			7.00%, 9/01/22(a)(b)			11,729,685
	14,000,000		Progress Energy Inc.
			7.05%, 3/15/19(a)(b)			14,361,892
	6,528,000		Public Service New Mexico
			7 1/2%, 8/01/18			6,528,000
	9,000,000		Sempra Energy
			3.55%, 6/15/24			8,790,892
	8,000,000		Southern Power Co.
			4.15%, 12/01/25			7,992,693
	10,000,000		Virginia Electric & Power Co.
			3.15%, 1/15/26			9,669,359
						245,511,749
			OIL & GAS STORAGE, TRANSPORTATION AND PRODUCTION--3.6%
	6,488,000		Energy Transfer Partners
			7.60%, 2/01/24			7,290,479
	8,850,000		Energy Transfer Partners
			8 1/4%, 11/15/29			10,922,006
	5,000,000		Enterprise Products Operating LLC
			6 1/2%, 1/31/19			5,089,603
	12,826,000		EQT Corp.
			8 1/8%, 6/01/19(a)			13,347,502
	8,030,000		Kinder Morgan, Inc.
			6.85%, 2/15/20			8,449,041
	11,000,000		ONEOK, Inc.
			6.00%, 6/15/35			12,209,987
	9,000,000		ONEOK Partners, LP
			8 5/8%, 3/01/19			9,291,472
	7,000,000		Phillips 66
			3.90%, 3/15/28			6,916,315
	5,000,000		Plains All American Pipeline, LP
			4.65%, 10/15/25			5,027,319
	9,140,000		TransCanada PipeLines Ltd. (Canada)
			7 1/8%, 1/15/19(a)(b)			9,317,061
	10,000,000		Williams Partners LP
			3.60%, 3/15/22			9,976,339
						97,837,124

 

	Par Value		Description			Value
			TELECOMMUNICATIONS--3.5%
	$10,000,000		BellSouth Capital Funding Corp.
			7 7/8%, 2/15/30(a)		$	12,329,276
	15,000,000		CenturyLink Inc.
			6 7/8%, 1/15/28			14,020,500
	5,900,000		Comcast Corp.
			7.05%, 3/15/33			7,504,548
	9,385,000		Crown Castle International Corp.
			4.45%, 2/15/26			9,422,490
	15,000,000		Koninklijke KPN NV (Netherlands)
			8 3/8%, 10/01/30(a)			19,491,335
	5,000,000		TCI Communications Inc.
			7 1/8%, 2/15/28			6,121,668
	15,500,000		Verizon Global Funding Corp.
			7 3/4%, 12/01/30			20,012,941
	5,000,000		Vodafone Group Plc (United Kingdom)
			7 7/8%, 2/15/30			6,332,193
						95,234,951
			NON-UTILITY--0.3%
	8,000,000		Dayton Hudson Corp.
			9 7/8%, 7/01/20(a)			8,966,477
						8,966,477
			Total Bonds (Cost $452,087,448)			447,550,301
	TOTAL INVESTMENTS--135.0% (Cost $2,893,866,656)					3,704,104,708
	Secured borrowings--(14.6)%					(400,000,000)
	Secured notes--(10.9)%					(300,000,000)
	Mandatory Redeemable Preferred Shares at liquidation value--(10.9)%					(300,000,000)
	Other assets less other liabilities--1.4%					38,946,599
	NET ASSETS APPLICABLE TO COMMON STOCK--100.0%				$	2,743,051,307

 

(a) All or a portion of this security has been pledged as collateral for borrowings and made available for loan.

 

(b) All or a portion of this security has been loaned.

 

The percentage shown for each investment category is the total value of that category as a percentage of the net assets applicable to common stock of the Fund.

 

Note 1. Investment Valuation

 

The Fund's investments are carried at fair value which is defined as the price that the Fund would receive upon selling an investment in a timely transaction to an independent buyer in the principal or most advantageous market of the investment.  The three-tier hierarchy of inputs established to classify fair value measurements for disclosure purposes is summarized in the three broad levels listed below.

 

Level 1 - quoted prices in active markets for identical securities

Level 2 - other significant observable inputs (including quoted prices for similar securities, interest rates,

prepayment speeds, credit risks, etc.)

Level 3 - significant unobservable inputs (including the Fund's own assumptions in determining fair value of

investments)

 

The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in these securities. For more information about the Fund's policy regarding valuation of investments and other significant accounting policies, please refer to the Fund's most recent financial statements contained in its annual report. The following is a summary of the inputs used to value each of the Fund's investments at July 31, 2018:

 

		Level 1				Level 2
Common stocks & MLP interests		$	3,256,554,407				-
Bonds			-			$	447,550,301
Total		$	3,256,554,407			$	447,550,301

 

There were no Level 3 priced securities held and there were no transfers between Level 1 and Level 2 related to securities held at July 31, 2018.

 

Other information regarding the Fund is available on the Fund's website at www.dnpselectincome.com or the Securities and Exchange Commission's website at www.sec.gov.

 

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 (the “1940 Act”)) are effective, based on an evaluation of those controls and procedures made as of a date within 90 days of the filing date of this report as required by Rule 30a-3(b) under the 1940 Act and Rule 13a-15(b) under the Securities Exchange Act of 1934.

 

(b)

There has been no change 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 has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting.

 

 

Item 3. Exhibits.

 

Exhibit 99.CERT Certifications pursuant to Rule 30a-2(a) under the 1940 Act and 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)	DNP SELECT INCOME FUND INC.
By (Signature and Title)	/s/ Nathan I. Partain
	Nathan I. Partain
	President and Chief Executive Officer
	(Principal Executive Officer)
Date	September 21, 2018

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 (Signature and Title)	/s/ Nathan I. Partain
	Nathan I. Partain
	President and Chief Executive Officer
	(Principal Executive Officer)
Date	September 21, 2018
By (Signature and Title)	/s/ Alan M. Meder
	Alan M. Meder
	Treasurer and Assistant Secretary
	(Principal Financial and Accounting Officer)
Date	September 21, 2018