Edgar Filing: Delaware Enhanced Global Dividend & Income Fund

delenhanglobaldiv_ncsr.htm

UNITED STATES SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM N-CSR

CERTIFIED SHAREHOLDER REPORT OF REGISTERED MANAGEMENT
INVESTMENT COMPANIES

Investment Company Act file number: 811-22050

Exact name of registrant as specified in charter:
Delaware Enhanced Global Dividend and Income Fund

Address of principal executive offices:
2005 Market Street
Philadelphia, PA 19103

Name and address of agent for service:
David F. Connor, Esq.
2005 Market Street
Philadelphia, PA 19103

Registrant’s telephone number, including area code: (800) 523-1918

Date of fiscal year end: November 30

Date of reporting period: November 30, 2010

Item 1. Reports to Stockholders





Annual Report	Delaware Enhanced Global Dividend and Income Fund

	November 30, 2010









	The figures in the annual report for Delaware Enhanced Global Dividend and Income Fund represent past results, which are not a guarantee of future results. A rise or fall in interest rates can have a significant impact on bond prices. Funds that invest in bonds can lose their value as interest rates rise.




	Closed-end fund

Table of contents

	Portfolio management review	1

	Performance summary	4

	Security type and country allocations	6

	Statement of net assets	8

	Statement of operations	23

	Statements of changes in net assets	24

	Statement of cash flows	25

	Financial highlights	26

	Notes to financial statements	27

	Report of independent registered public accounting firm	34

	Other Fund information	35

	Board of trustees/directors and officers addendum	39

	About the organization	42

Unless otherwise noted, views expressed herein are current as of Nov. 30, 2010, and are subject to change.

Funds are not FDIC insured and are not guaranteed. It is possible to lose the principal amount invested.

Mutual fund advisory services are provided by Delaware Management Company, a series of Delaware Management Business Trust, which is a registered investment advisor. Delaware Investments, a member of Macquarie Group, refers to Delaware Management Holdings, Inc. and its subsidiaries. Macquarie Group refers to Macquarie Group Limited and its subsidiaries and affiliates worldwide.

Investments in Delaware Enhanced Global Dividend and Income Fund are not and will not be deposits with or liabilities of Macquarie Bank Limited ABN 46 008 583 542 and its holding companies, including their subsidiaries or related companies (Macquarie Group), and are subject to investment risk, including possible delays in repayment and loss of income and capital invested. No Macquarie Group company guarantees or will guarantee the performance of the Fund, the repayment of capital from the Fund, or any particular rate of return.

All third-party trademarks cited are the property of their respective owners.

Portfolio management review

Delaware Enhanced Global Dividend and Income Fund
December 7, 2010

Performance preview (for the year ended Nov. 30, 2010)
Delaware Enhanced Global Dividend and Income Fund @ market price	1-year return	+10.92%
Delaware Enhanced Global Dividend and Income Fund @ NAV	1-year return	+13.13%
Lipper Closed-end Global Funds Average @ market price	1-year return	+13.97%
Lipper Closed-end Global Funds Average @ NAV	1-year return	+9.96%

Past performance does not guarantee future results.

For complete, annualized performance for Delaware Enhanced Global Dividend and Income Fund, please see the table on page 4.

Index performance returns do not reflect any management fees, transaction costs, or expenses. Indices are unmanaged and one cannot invest directly in an index.

Delaware Enhanced Global Dividend and Income Fund returned +13.13% at net asset value and +10.92% at market price (both figures reflect all distributions reinvested) for the fiscal year ended Nov. 30, 2010. Complete annualized performance information for the Fund is shown in the table on page 4.

Relatively favorable market results, despite sovereign debt concerns

The MSCI ACWI (All Country World Index), a broad measure of equity markets around the world, experienced uneven performance during the fiscal year. Despite its fluctuations, the MSCI ACWI (net) gained 7% for the 12 months ended Nov. 30, 2010, trailing the S&P 500 Index, a measure of the broad stock market in the United States, which rose nearly 10% during the same time frame.

Equity-market volatility was precipitated by mounting fears about debt levels in European countries with the biggest financial challenges. The first concerns began in Greece in January 2010, as many investors became worried about the ability of the heavily indebted country to repay its financial obligations. Although the markets resumed their upward momentum in early February, an even steeper decline in global stock prices began in late April. The drop accelerated throughout the rest of the spring, as fears about Greece’s financial situation increased and many investors began to question whether the problems could spread to other economically troubled European nations with outsized debt levels, such as Portugal, Italy, Ireland, and Spain. The European Union and International Monetary Fund eventually came to the Greek government’s rescue, with a 110 billion euro (approximately $140 billion) loan package designed to keep the government afloat while it implements a series of austerity programs.

Other factors also dampened global financial markets during this time, including new economic data from the U.S. that seemed to indicate an increased potential for a stalled recovery, and the Chinese government’s efforts to slow the pace of that country’s fast-growing economy.

Beginning in early summer 2010, equities bounced back, enjoying very strong gains between early July and early November, as fears about a return to recession in the U.S. eased and confidence in the strength of European banks grew. In the final month of the Fund’s fiscal year, however, financial markets encountered renewed difficulties, with Ireland’s government appearing to be on the brink of bankruptcy. European monetary policy makers implemented emergency rescue measures in an effort to stave off the spread of this “contagion” to other challenged economies in the region.

Fixed income assets saw a generally positive backdrop during the fiscal year. Bonds were a key beneficiary of the U.S. Federal Reserve’s efforts to stimulate economic growth by keeping interest rates down. The Fed sought to accomplish this goal through several rounds of quantitative easing, in which the U.S. central bank bought back debt securities in an attempt to generally drive down yields, providing more economic stimulus through lowered cost of credit.

Global real estate investment trusts (REITs) also experienced a highly supportive environment during the fiscal year as credit was widely available and grew less expensive as the year went on. REITs often finance new investment and development projects through debt, and when credit is affordable it can provide issuing companies such as REITs with increased financial flexibility. Global

Unless otherwise noted, views expressed herein are current as of Nov. 30, 2010, and are subject to change.

(continues) 1

Portfolio management review

Delaware Enhanced Global Dividend and Income Fund

REITs rose 17% during the 12-month period ended Nov. 30, 2010, as measured by the FTSE EPRA/NAREIT Developed Index, formerly known as the FTSE EPRA/NAREIT Global Real Estate Index, which tracks the performance of listed real estate companies and REITs worldwide.

Meanwhile, low interest rates led to healthy results from high yield bonds, as many investors seemed willing to take on additional credit risk in exchange for higher levels of income. As such, credit spreads narrowed throughout most of the period, extending a trend of the past several years. Credit spreads are the difference between yields of Treasury bonds and riskier securities of varying credit qualities, and they provide a measure of the market’s outlook for riskier assets. The narrowing of credit spreads can generally be taken to signal a more normalized market environment. (Source: Barclays Capital.)

Fund positioning: An emphasis on credit

The Fund’s primary investment objective is to seek current income, with a secondary objective of capital appreciation. In managing the Fund, we pursue these goals by investing broadly in a range of income-generating securities from around the globe. These include “core” fixed income holdings (such as Treasury and agency securities), as well as investment grade and high yield corporate bonds, convertible bonds, REITs, large-cap value stocks, convertible preferred stocks, international value stocks, emerging market equities, emerging market debt securities, and international currencies.

With several notable exceptions, the Fund’s positioning remained relatively stable throughout the past fiscal year. As the Fund’s fiscal year began, the Fund had a modest overweighting in credit-oriented investments. Credit exposure is most obvious in the fixed income asset class, but it also runs through a variety of other asset classes, including REITs and convertible bonds.

For much of the Fund’s fiscal year, we felt that credit-oriented investments had good total-return characteristics, and we emphasized high yield bonds in particular. At the end of the Fund’s fiscal year, high yield bonds were the Fund’s largest asset-class weighting at roughly 30% of the portfolio, up from 19% a year earlier. The increased allocation resulted partially from market movements, but also reflected our additional investments in the asset class. We favored these securities for their attractive yields and because we felt that high yield bonds could be supported by increasingly favorable economic conditions. We also maintained a healthy overweighting in higher yielding convertible bonds, which we believed offered solid return potential. To a lesser extent, we looked to REITs for their credit-sensitive nature. Over time, however, as REITs gained in value and as we anticipated less-favorable credit costs going forward, we were more cautious about adding to our holdings in this asset class.

At the same time, we generally maintained sizable positions in investments nearer the top of issuers’ capital structures. In light of macroeconomic risks such as European sovereign debt troubles and the potential for higher interest rates down the road, we believed it would be prudent to own defensive income-oriented investments that would be among the first to be paid back if the issuers encountered financial problems. This approach enabled us to capture relatively attractive yields while maintaining what we believed to be greater downside protection by avoiding lower-credit-rated securities.

Our emphasis on credit was helpful for the Fund’s performance until late in the fiscal year. When the Fed announced its second round of quantitative easing in October 2010, equity investors generally became more optimistic, and equities began outperforming (source: Bloomberg). The Fund had less exposure to stocks than to high yield and other more credit-sensitive investments. In hindsight, our decision to maintain an overweight position in high yield was too defensive and did not allow the Fund to take full advantage of the equity market rally.

In addition, we lowered the Fund’s allocation to emerging-market fixed income securities during the period. After a long upswing in this asset class that benefited Fund performance, our team felt that it offered limited future performance potential and that the risk-reward trade-off had become less favorable.

A recent shift toward equities

As the Fund’s fiscal year closed, we were gradually seeing more investment opportunities in stocks, so we began to shift the Fund’s portfolio holdings in this direction. The U.S. economy appears to be slowly expanding and credit-oriented securities, following a long run upward, have started to give back some of their gains.

In this environment, we began favoring shares of large-cap companies with good cash flow and lower debt levels, because they are less credit sensitive and we believe they could benefit from an improving economy.

Performance summary

Delaware Enhanced Global Dividend and Income Fund

The performance quoted represents past performance and does not guarantee future results. Investment return and principal value of an investment will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the performance quoted. Please obtain the performance data for the most recent month end by calling 800 523-1918.

Fund performance

Average annual total returns

through Nov. 30, 2010

1 year

3 years

Lifetime

At market price (inception date June 29, 2007)

+10.92%

+6.12%

-0.32%

At net asset value (inception date June 29, 2007)

+13.13%

+1.37%

-0.29%

Diversification may not protect against market risk.

Fixed income securities and bond funds can lose value, and investors can lose principal, as interest rates rise. They also may be affected by economic conditions that hinder an issuer’s ability to make interest and principal payments on its debt.

The Fund may also be subject to prepayment risk, the risk that the principal of a fixed income security that is held by Fund may be prepaid prior to maturity, potentially forcing the Fund to reinvest that money at a lower interest rate.

High yielding, noninvestment grade bonds (junk bonds) involve higher risk than investment grade bonds.

The Fund may invest in derivatives, which may involve additional expenses and are subject to risk, including the risk that an underlying security or securities index moves in the opposite direction from what the portfolio manager anticipated. A derivative transaction depends upon the counterparties’ ability to fulfill their contractual obligations.

International investments entail risks not ordinarily associated with U.S. investments including fluctuation in currency values, differences in accounting principles, or economic or political instability in other nations. Investing in emerging markets can be riskier than investing in established foreign markets due to increased volatility and lower trading volume.

If and when the Fund invests in forward foreign currency contracts or uses other investments to hedge against currency risks, the Fund will be subject to special risks, including counterparty risk.

The Fund borrows through a line of credit for purposes of leveraging. Leveraging may result in higher degrees of volatility because the Fund’s net asset value could be subject to fluctuations in short-term interest rates and changes in market value of portfolio securities attributable to leverage.

Narrowly focused investments may exhibit higher volatility than investments in multiple industry sectors.

REIT investments are subject to many of the risks associated with direct real estate ownership, including changes in economic conditions, credit risk, and interest rate fluctuations.

The “Fund performance” table and the “Performance of a $10,000 investment” graph do not reflect the deduction of taxes the shareholder would pay on Fund distributions or redemptions of Fund shares.

Returns reflect the reinvestment of all distributions. Dividends and distributions, if any, are assumed, for the purpose of this calculation to be reinvested at prices obtained under the Fund’s dividend reinvestment policy. Shares of the Fund were initially offered with a sales charge of 4.50%. Performance since inception does not include the sales charge or any other brokerage commission for purchases made since inception. Past performance is not a guarantee of future results.

Fund basics

As of Nov. 30, 2010

Fund objective

The Fund’s primary investment objective is to seek current income. Capital appreciation is a secondary objective.

Total Fund net assets

$160 million

Number of holdings

689

Fund start date

June 29, 2007

NYSE symbol

DEX

Market price versus net asset value (see notes below)
Nov. 30, 2009, through Nov. 30, 2010

	Starting value (Nov. 30, 2009)	Ending value (Nov. 30, 2010)
Delaware Enhanced Global Dividend and Income Fund @ NAV	$12.06	$12.32
Delaware Enhanced Global Dividend and Income Fund @ Market Price	$12.29	$12.31

Past performance is not a guarantee of future results.

Performance of a $10,000 Investment
Average annual total returns from June 29, 2007 (Fund’s inception) through Nov. 30, 2010

	Starting value (June 29, 2007)	Ending value (Nov. 30, 2010)
Delaware Enhanced Global Dividend and Income Fund @ NAV	$10,000	$9,900
Delaware Enhanced Global Dividend and Income Fund @ Market Price	$10,000	$9,892
Lipper Closed-end Global Funds Average @ Market Price	$10,000	$9,015
Lipper Closed-end Global Funds Average @ NAV	$10,000	$8,734

The chart assumes $10,000 invested in the Fund on June 29, 2007, and includes the reinvestment of all distributions at market value. The chart assumes $10,000 in the Lipper Closed-end Global Funds Average at market price and at NAV. Performance of the Fund and the Lipper class at market value is based on market performance during the period. Performance of the Fund and Lipper class at NAV is based on the fluctuations in NAV during the period. Delaware Enhanced Global Dividend and Income Fund was initially offered with a sales charge of 4.50%. Performance shown in both charts above does not include fees, the initial sales charge, or any brokerage commissions for purchases. Investments in the Fund are not available at NAV.

The Lipper Closed-end Global Funds Average represents the average return of closed-end global mutual funds tracked by Lipper (source: Lipper).

Market price is the price an investor would pay for shares of the Fund on the secondary market. NAV is the total value of one fund share, generally equal to a fund’s net assets divided by the number of shares outstanding.

Past performance is not a guarantee of future results.

Security type and country allocations

Delaware Enhanced Global Dividend and Income Fund
As of November 30, 2010

Sector designations may be different than the sector designations presented in other Fund materials. The sector designations may represent the investment manager’s internal sector classifications, which may result in the sector designations for one fund being different than another fund’s sector designations.

	Percentage
Security Type	of Net Assets
Common Stock	48.70	%
Consumer Discretionary	6.97	%
Consumer Staples	4.46	%
Diversified REITs	1.01	%
Energy	4.44	%
Financials	6.25	%
Healthcare	3.93	%
Healthcare REITs	0.12	%
Hotel REIT	0.09	%
Industrial REITs	0.44	%
Industrials	6.55	%
Information Technology	4.20	%
Malls REITs	0.63	%
Manufactured Housing REIT	0.08	%
Materials	2.64	%
Mortgage REITs	0.10	%
Multifamily REIT	0.12	%
Office REITs	0.45	%
Real Estate Management & Development	0.36	%
Shopping Center REITs	0.85	%
Single Tenant REIT	0.15	%
Telecommunications	2.50	%
Utilities	2.36	%
Convertible Preferred Stock	1.28	%
Agency Collateralized Mortgage Obligations	0.28	%
Agency Mortgage-Backed Securities	1.93	%
Commercial Mortgage-Backed Securities	1.85	%
Convertible Bonds	12.16	%
Aerospace & Defense	0.26	%
Automobiles & Automotive Parts	0.24	%
Banking, Finance & Insurance	0.62	%
Basic Materials	1.22	%
Cable, Media & Publishing	0.48	%
Computers & Technology	2.17	%
Energy	0.80	%
Healthcare & Pharmaceuticals	1.98	%
Leisure, Lodging & Entertainment	1.11	%
Real Estate	0.61	%
Telecommunications	2.12	%
Transportation	0.55	%
Corporate Bonds	40.08	%
Banking	1.48	%
Basic Industry	3.54	%
Brokerage	0.47	%
Capital Goods	2.16	%
Consumer Cyclical	3.35	%
Consumer Non-Cyclical	3.23	%
Energy	7.89	%
Finance & Investments	1.87	%
Media	2.95	%
Real Estate	0.84	%
Services Cyclical	2.91	%
Services Non-Cyclical	1.76	%
Technology	0.98	%
Telecommunications	5.20	%
Utilities	1.45	%
Non-Agency Asset-Backed Securities	0.32	%
Non-Agency Collateralized Mortgage Obligations	0.30	%
Senior Secured Loans	0.69	%
Sovereign Debt	4.11	%
Supranational Banks	2.00	%
U.S. Treasury Obligations	0.27	%
Leveraged Non-Recourse Security	0.00	%
Residual Interest Trust Certificate	0.00	%
Exchange-Traded Funds	2.78	%
Preferred Stock	0.43	%
Warrant	0.00	%
Discount Note	5.27	%
Securities Lending Collateral	13.14	%
Total Value of Securities	135.59	%
Obligation to Return Securities Lending Collateral	(13.34	%)
Borrowing Under Line of Credit	(24.93	%)
Receivables and Other Assets Net of Liabilities	2.68	%
Total Net Assets	100.00	%

	Percentage
Country	of Net Assets
Australia	1.22	%
Austria	0.09	%
Barbados	0.19	%
Belgium	0.01	%
Bermuda	2.07	%
Brazil	1.27	%
Canada	2.83	%
Cayman Islands	0.81	%
China/Hong Kong	3.08	%
Colombia	0.67	%
Finland	0.38	%
France	4.90	%
Germany	1.59	%
Indonesia	3.07	%
Ireland	0.15	%
Italy	1.50	%
Japan	2.94	%
Liberia	0.08	%
Luxembourg	3.30	%
Marshall Island	0.49	%
Mexico	0.13	%
Netherlands	1.30	%
Philippines	0.68	%
Qatar	0.51	%
Republic of Korea	0.52	%
Singapore	0.72	%
Supranational	2.00	%
Spain	1.13	%
Sweden	1.27	%
Switzerland	1.33	%
Taiwan	1.13	%
United Kingdom	2.37	%
United States	73.45	%
Total	117.18	%

The percentage of net assets exceeds 100% because the Fund utilizes a line of credit with the Bank of New York Mellon, as described in note 7 in “Note to financial statements.” The Fund utilizes leveraging techniques in an attempt to obtain a higher return for the Fund. There is no assurance that the Fund will achieve its investment objective through the use of such techniques.

Statement of net assets

Delaware Enhanced Global Dividend and Income Fund
November 30, 2010

		Number of	Value
		Shares	(U.S. $)
Common Stock – 48.70%
Consumer Discretionary – 6.97%
*	Autoliv	6,100	$	447,862
	Bayerische Motoren Werke	12,442		935,683
	Comcast Class A	26,000		520,000
†	DIRECTV Class A	1,900		78,907
	Disney (Walt)	14,400		525,744
*	Don Quijote	29,600		852,978
	Esprit Holdings	67,832		326,497
	Home Depot	16,400		495,444
*	KB HOME	17,000		192,100
	Lowe's	23,600		535,720
	Mattel	21,800		563,312
	McGraw-Hill	14,000		482,860
*	PPR	2,979		473,239
*	Publicis Groupe	9,292		415,163
	Target	9,300		529,542
*	Techtronic Industries	872,500		946,956
	Toyota Motor	28,784		1,115,818
	Vivendi	35,802		871,807
*	Yue Yuen Industrial Holdings	243,000		878,157
				11,187,789
Consumer Staples – 4.46%
	Archer-Daniels-Midland	15,900		460,941
	Aryzta	20,193		855,335
*	Chaoda Modern
	Agriculture Holdings	1,004,000		805,963
	Coca-Cola Amatil	62,675		668,423
	CVS Caremark	16,100		499,100
@	Greggs	86,683		591,927
	Kimberly-Clark	7,900		488,931
	Kraft Foods Class A	16,800		508,200
	Metro	11,888		851,671
	Parmalat	348,409		866,632
*	Safeway	24,500		563,255
				7,160,378
Diversified REITs – 1.01%
*	Digital Realty Trust	8,100		425,411
	Duke Realty	8,600		95,718
	Entertainment Properties Trust	8,236		381,327
	Goodman Group	247,237		151,491
	Investors Real Estate Trust	10,260		90,801
	Lexington Reality Trust	28,070		220,350
	Stockland	70,059		246,121
				1,611,219
Energy – 4.44%
	Anadarko Petroleum	7,900		506,864
	Chevron	6,500		526,305
	CNOOC	392,000		843,652
	ConocoPhillips	8,700		523,479
	Devon Energy	7,700		543,389
	Exxon Mobil	8,300		577,348
	Marathon Oil	14,300		478,621
	National Oilwell Varco	9,500		582,255
	Occidental Petroleum	6,000		529,020
	Petroleo Brasileiro ADR	21,600		632,448
*	Total	16,528		802,339
	Williams	25,600		583,936
				7,129,656
Financials – 6.25%
	Allstate	17,000		494,870
*	AXA	29,912		428,386
	Banco Santander	76,993		734,020
	Bank of New York Mellon	18,500		499,315
	BB&T	17,700		410,640
	Comerica	12,600		459,774
*	Fifth Street Finance	26,754		308,474
	JPMorgan Chase	12,200		456,036
	Marsh & McLennan	21,400		536,712
*	Mitsubishi UFJ Financial Group	165,389		784,244
	Nordea Bank	78,385		782,174
	Solar Capital	43,539		1,022,295
	Standard Chartered	33,719		908,204
	State Street	12,300		531,360
	SunTrust Banks	19,400		453,184
	Travelers	9,600		518,304
	UniCredit	364,400		704,413
				10,032,405
Healthcare – 3.93%
	Abbott Laboratories	10,300		479,053
*†	Alliance HealthCare Services	6,522		24,458
	Baxter International	9,900		480,645
	Bristol-Myers Squibb	19,700		497,228
	Cardinal Health	13,800		491,004
	Johnson & Johnson	8,100		498,555
	Meda Class A	108,017		808,449
	Merck	13,600		468,792
†	Mylan	1		20
	Novartis	15,998		851,957
	Pfizer	30,244		492,675
	Quest Diagnostics	9,500		468,540
	Sanofi-Aventis	12,322		747,004
				6,308,380
Healthcare REITs – 0.12%
	Cogdell Spencer	15,000		85,800
	Nationwide Health Properties	2,800		100,940
				186,740
Hotel REIT – 0.09%
†	DiamondRock Hospitality	14,282		150,389
				150,389
Industrial REITs – 0.44%
	Cambridge Industrial Trust	1,170,000		473,951
	DCT Industrial Trust	16,877		83,372
*	ING Industrial Fund	307,371		151,605
				708,928

		Number of	Value
		Shares	(U.S. $)
Common Stock (continued)
Industrials – 6.55%
*	Alstom	16,360	$	673,064
	Asahi Glass	69,000		767,267
	Compagnie de Saint-Gobain	13,190		589,886
	Deutsche Post	46,933		758,224
	Finmeccanica	73,715		832,149
†	Flextronics International	6,400		46,400
	Fluor	9,900		572,517
	General Electric	29,700		470,151
	Honeywell International	11,800		586,578
	ITOCHU	100,398		929,835
	Koninklijke Philips Electronics	12,895		348,685
*†	Mobile Mini	2,394		43,260
	Northrop Grumman	8,200		505,776
*	Pitney Bowes	19,600		430,024
	Singapore Airlines	55,000		641,803
	Teleperformance	34,196		1,018,636
	Vallourec	8,199		776,627
*	Waste Management	14,900		510,325
				10,501,207
Information Technology – 4.20%
†	CGI Group Class A	112,398		1,762,891
	HTC	50,450		1,395,574
	Intel	23,100		487,872
	International Business Machines	3,500		495,110
†	Motorola	60,500		463,430
	Nokia	66,270		612,887
*†	Sohu.com	14,300		992,849
	Xerox	45,600		522,576
				6,733,189
Malls REITs – 0.63%
	General Growth Properties	12,496		202,310
	Simon Property Group	8,264		814,004
				1,016,314
Manufactured Housing REIT – 0.08%
	Equity Lifestyle Properties	2,300		123,924
				123,924
Materials – 2.64%
*	ArcelorMittal	13,998		441,262
	Dow Chemical	16,200		505,116
	duPont (E.I.) deNemours	11,800		554,482
*	Lafarge	11,707		637,236
*	Nucor	12,500		471,750
	Rexam	167,200		784,523
*	Vale ADR	26,400		836,352
				4,230,721
Mortgage REITs – 0.10%
	Chimera Investment	12,100		48,400
	Cypress Sharpridge Investments	8,200		111,930
				160,330
Multifamily REITs – 0.12%
	*Camden Property Trust	3,900		199,173
				199,173
Office REITs – 0.45%
	Government Properties
	Income Trust	3,852		98,804
	Mack-Cali Realty	8,300		263,525
	Orix JREIT	17		94,564
*	Parkway Properties	3,500		55,615
	SL Green Realty	3,300		215,820
				728,328
Real Estate Management & Development – 0.36%
	Mitsubishi Estate	10,549		177,814
	Renhe Commercial Holdings	264,000		47,794
*	Starwood Property Trust	17,700		353,292
				578,900
Shopping Center REITs – 0.85%
	Charter Hall Retail REIT	71,117		194,365
	Corio	2,648		152,480
*	Kimco Realty	8,157		135,896
*	Link REIT	33,000		103,296
	Ramco-Gershenson
	Properties Trust	13,783		158,505
*	Regency Centers	3,900		158,808
*	Unibail-Rodamco	1,399		242,947
	Westfield Group	16,989		197,501
=	Westfield Retail
	Trust - Placement Shares	4,123		10,866
				1,354,664
Single Tennant REIT – 0.15%
*	National Retail Properties	9,337		242,855
				242,855
Telecommunications – 2.50%
	AT&T	18,500		514,115
	Chunghwa Telecom ADR	17,301		417,127
	Frontier Communications	65,000		591,500
†	GeoEye	500		19,930
	Telefonica	38,494		817,584
*	TELUS	14,317		649,949
	Verizon Communications	16,500		528,165
	Vodafone Group	191,777		478,404
				4,016,774
Utilities – 2.36%
	American Electric Power	13,300		473,480
	Duke Energy	29,100		510,705
	Edison International	14,400		531,936
	National Grid	80,917		714,574
	NorthWestern	3,800		109,478
	Progress Energy	11,400		498,066
	Public Service
	Enterprise Group	14,700		453,201
	Sempra Energy	10,000		500,900
				3,792,340
Total Common Stock (cost $81,610,437)				78,154,603

(continues) 9

Statement of net assets

Delaware Enhanced Global Dividend and Income Fund

			Number of		Value
			Shares		(U.S. $)
Convertible Preferred Stock – 1.28%
Automobiles & Automotive Parts – 0.01%
*	General Motors 4.75%
	exercise price $39.60,
	expiration date 12/1/13			186	$	9,430
						9,430
Banking, Finance & Insurance – 0.20%
	Aspen Insurance Holdings
	5.625% exercise price
	$29.28, expiration
	date 12/31/49			2,400		132,450
	Citigroup 7.50%
	exercise price $3.94,
	expiration date 12/15/12			1,400		175,000
@	Fannie Mae 8.75%
	exercise price $32.45,
	expiration date 5/13/11			20,000		9,000
						316,450
Energy – 0.36%
*	Apache 6.00%
	exercise price $109.12,
	expiration date 8/1/13			2,200		133,430
	SandRidge Energy 8.50%
	exercise price $8.01,
	expiration date 12/31/49			4,440		439,294
						572,724
Healthcare Providers & Pharmaceuticals – 0.17%
	HealthSouth 6.50%
	exercise price $30.50,
	expiration date 12/31/49			310		281,015
						281,015
Telecommunications – 0.54%
	Lucent Technologies
	Capital Trust I 7.75%
	exercise price $24.80,
	expiration date 3/15/17			1,000		875,000
						875,000
Total Convertible Preferred Stock
	(cost $3,064,550)					2,054,619

			Principal
			Amount°
Agency Collateralized Mortgage Obligations – 0.28%
	Fannie Mae REMICs
	Series 2001-50 BA
	7.00% 10/25/41	USD		144,532		162,500
	Series 2003-122
	4.50% 2/25/28			78,368		81,286
	Freddie Mac REMICs
	Series 2557 WE
	5.00% 1/15/18			60,000		65,708
	Series 3131 MC
	5.50% 4/15/33			40,000		44,153
	Freddie Mac REMICs
	Series 3173 PE
	6.00% 4/15/35			65,000		73,045
	Series 3337 PB
	5.50% 7/15/30			25,000		25,889
Total Agency Collateralized
	Mortgage Obligations (cost $413,702)					452,581

Agency Mortgage-Backed Securities – 1.93%
•	Fannie Mae ARM
	5.066% 3/1/38			33,942		35,923
	5.131% 11/1/35			21,281		22,569
	5.318% 4/1/36			74,391		79,797
	6.002% 10/1/36			18,921		19,994
	6.022% 10/1/36			10,414		11,022
	6.272% 4/1/36			19,315		20,322
	Fannie Mae S.F. 15 yr
	5.50% 1/1/23			48,248		52,453
	Fannie Mae S.F. 15 yr
	TBA 4.00% 12/1/25			500,000		520,000
	Fannie Mae S.F. 30 yr
	5.00% 12/1/36			170,360		181,207
	5.00% 12/1/37			21,171		22,473
	5.00% 2/1/38			16,480		17,489
	6.50% 6/1/36			33,259		37,212
	6.50% 10/1/36			26,436		29,555
	6.50% 12/1/37			39,334		44,403
	Freddie Mac 6.00% 1/1/17			50,814		54,625
•	Freddie Mac ARM
	5.681% 7/1/36			16,478		17,316
	5.789% 10/1/36			41,723		44,594
	Freddie Mac S.F. 15 yr
	5.00% 6/1/18			18,956		20,264
	5.00% 12/1/22			109,300		116,613
	Freddie Mac S.F. 30 yr
	5.00% 1/1/34			875,089		930,127
	7.00% 11/1/33			50,476		58,223
	9.00% 9/1/30			54,344		65,005
	GNMA I S.F. 30 yr
	7.50% 12/15/23			104,082		121,041
	7.50% 1/15/32			79,033		91,573
	9.50% 9/15/17			74,207		85,408
	12.00% 5/15/15			43,315		49,582
	GNMA II S.F. 30 yr
	6.00% 11/20/28			90,526		99,987
	6.50% 2/20/30			218,528		250,038
Total Agency Mortgage-Backed
	Securities (cost $2,867,864)					3,098,815

			Principal		Value
			Amount°		(U.S. $)
Commercial Mortgage-Backed Securities – 1.85%
#	American Tower Trust 144A
	Series 2007-1A AFX
	5.42% 4/15/37	USD		75,000	$	81,998
	Bank of America Commercial
	Mortgage Securities
	•Series 2004-3 A5
	5.595% 6/10/39			50,000		53,923
	Series 2004-5 A3
	4.561% 11/10/41			475,000		483,520
	Series 2005-1 A3
	4.877% 11/10/42			47,803		47,984
	•Series 2005-6 A4
	5.369% 9/10/47			180,000		197,102
	Bear Stearns Commercial
	Mortgage Securities
	•Series 2005-PW10 A4
	5.405% 12/11/40			100,000		108,541
	•Series 2005-T20 A4A
	5.298% 10/12/42			230,000		250,874
	•Series 2006-PW12 A4
	5.906% 9/11/38			25,000		27,526
	•Series 2006-PW14 A4
	5.405% 12/11/38			60,000		63,535
	Series 2007-PW15 A4
	5.331% 2/11/44			75,000		78,189
w•	Commercial Mortgage Pass
	Through Certificates
	Series 2005-C6 A5A
	5.116% 6/10/44			95,000		102,461
	Goldman Sachs Mortgage
	Securities II
	•Series 2004-GG2 A6
	5.396% 8/10/38			60,000		64,839
	Series 2005-GG4 A4A
	4.751% 7/10/39			420,000		448,160
	•Series 2006-GG6 A4
	5.553% 4/10/38			60,000		64,137
•	Greenwich Capital
	Commercial Funding
	Series 2004-GG1 A7
	5.317% 6/10/36			25,000		27,165
•	JPMorgan Chase Commercial
	Mortgage Securities
	Series 2005-LDP3 A4A
	4.936% 8/15/42			35,000		37,580
•	LB-UBS Commercial
	Mortgage Trust Series
	2004-C4 A4
	5.433% 6/15/29			475,000		506,279
•	Merrill Lynch/Countrywide
	Commercial Mortgage
	Trust Series 2007-7 A4
	5.81% 6/12/50			150,000		154,149
•	Morgan Stanley Capital I
	Series 2007-T27 A4
	5.802% 6/11/42			160,000		174,775
Total Commercial Mortgage-Backed
	Securities (cost $2,663,201)					2,972,737

Convertible Bonds – 12.16%
Aerospace & Defense – 0.26%
	AAR 1.75%
	exercise price $29.43,
	expiration date 2/1/26			392,000		412,580
						412,580
Automobiles & Automotive Parts – 0.24%
	ArvinMeritor 4.00%
	exercise price $26.73,
	expiration date 2/15/27			380,000		383,325
						383,325
Banking, Finance & Insurance – 0.62%
	Jefferies Group 3.875%
	exercise price $38.72
	expiration date 11/1/29			615,000		631,912
#	SVB Financial
	Group 144A 3.875%
	exercise price $53.04
	expiration date 4/15/11			351,000		361,969
						993,881
Basic Materials – 1.22%
#	Owens-Brockway Glass
	Container 144A 3.00%
	exercise price $47.47,
	expiration date 5/28/15			525,000		515,813
	Rayonier TRS Holdings 3.75%
	exercise price $54.81,
	expiration date 10/15/12			910,000		996,450
#	Sino-Forest 144A 5.00%
	exercise price $20.29,
	expiration date 8/1/13			360,000		450,450
						1,962,713
Cable, Media & Publishing – 0.48%
ϕ	General Cable 4.50%
	exercise price $36.75,
	expiration date 11/15/29			196,000		224,665
	VeriSign 3.25%
	exercise price $34.37,
	expiration date 8/15/37			480,000		547,800
						772,465
Computers & Technology – 2.17%
*	Advanced Micro Devices 6.00%
	exercise price $28.08,
	expiration date 5/1/15			321,000		323,006
	Euronet Worldwide 3.50%
	exercise price $40.48,
	expiration date 10/15/25			900,000		888,750
*	Intel 3.25% exercise price $22.68,
	expiration date 8/1/39			338,000		412,783
	Linear Technology 3.00%
	exercise price $45.36
	expiration date 5/1/27			670,000		696,800
#	Rovi 144A 2.625% exercise
	price $47.36, expiration
	date 2/15/40			385,000		512,531
	SanDisk 1.00% exercise price
	$82.35, expiration date 5/15/13			695,000		654,169
						3,488,039

(continues) 11

Statement of net assets

Delaware Enhanced Global Dividend and Income Fund

			Principal		Value
			Amount°		(U.S. $)
Convertible Bonds (continued)
Energy – 0.80%
	Chesapeake Energy 2.25%
	exercise price $85.89,
	expiration date 12/15/38	USD		750,000	$	568,124
*	Peabody Energy exercise 4.75%
	price $58.40, expiration
	date 12/15/41			245,000		307,169
	Transocean
	*1.50% exercise price $168.61,
	expiration date 12/15/37			414,000		400,168
	1.625% exercise price
	$168.61, expiration
	date 12/15/37			10,000		9,925
						1,285,386
Healthcare & Pharmaceuticals – 1.98%
	Alere 3.00%
	exercise price $43.98,
	expiration date 5/15/16			613,000		607,636
	Amgen 0.375%
	exercise price $79.48,
	expiration date 2/1/13			510,000		510,638
ϕ	Hologic 2.00%
	exercise price $38.59,
	expiration date 12/15/37			910,000		848,575
	LifePoint Hospitals 3.50%
	exercise price $51.79,
	expiration date 5/15/14			675,000		682,594
	Medtronic 1.625%
	exercise price $54.79
	expiration date 4/15/13			525,000		528,281
						3,177,724
Leisure, Lodging & Entertainment – 1.11%
#	Gaylord Entertainment
	144A 3.75%
	exercise price $27.25,
	expiration date 10/1/14			310,000		440,588
	International Game
	Technology 3.25%
	exercise price $19.97,
	expiration date 5/1/14			540,000		591,975
	Live Nation
	Entertainment 2.875%
	exercise price $27.14,
	expiration date 7/15/27			837,000		747,022
						1,779,585
Real Estate – 0.61%
#	Digital Realty Trust 144A 5.50%
	exercise price $42.49,
	expiration date 4/15/29			380,000		518,462
	Health Care REIT 3.00%
	exercise price $51.27,
	expiration date 12/1/29			190,000		205,438
#	Lexington Realty
	Trust 144A 6.00%
	exercise price $7.09,
	expiration date 1/15/30			206,000		250,548
						974,448
Telecommunications – 2.12%
	Alaska Communications
	Systems Group 5.75%
	exercise price $12.90,
	expiration date 3/1/13	USD		795,000		826,800
#	Ciena 144A 3.75%
	exercise price $20.17,
	expiration date 10/15/18			229,000		233,294
*	Leap Wireless
	International 4.50%
	exercise price $93.21,
	expiration date 7/15/14			970,000		880,274
	Level 3 Communications
	5.25% exercise price
	$3.98, expiration
	date 12/15/11			135,000		135,675
	*6.50% exercise price
	$1.23, expiration
	date 10/1/16			200,000		219,250
	NII Holdings 3.125% exercise
	price $118.32, expiration
	date 6/15/12			700,000		683,375
	SBA Communications 4.00%
	exercise price $30.38,
	expiration date 10/1/14			285,000		413,606
						3,392,274
Transportation – 0.55%
	Bristow Group 3.00%
	exercise price $77.34,
	expiration date 6/15/38			317,000		313,434
	DryShips 5.00% exercise
	price $7.19 expiration
	date 12/1/14			570,000		569,287
						882,721
Total Convertible Bonds
	(cost $16,964,466)					19,505,141

Corporate Bonds – 40.08%
Banking – 1.48%
*	Ally Financial
	8.00% 12/31/18			231,000		235,620
	Bank of America
	*3.70% 9/1/15			20,000		19,767
	5.625% 7/1/20			5,000		5,036
	City National
	5.25% 9/15/20			15,000		15,207
•	Fifth Third Capital Trust IV
	6.50% 4/15/37			185,000		173,437
	*Goldman Sachs Group
	*3.70% 8/1/15			5,000		5,113
	5.375% 3/15/20			40,000		41,127
•#	HBOS Capital Funding 144A
	6.071% 6/29/49			225,000		198,562
	JPMorgan Chase
	4.40% 7/22/20			45,000		44,506
	JPMorgan Chase Capital XXV
	6.80% 10/1/37			55,000		55,135

			Principal		Value
			Amount°		(U.S. $)
Corporate Bonds (continued)
Banking (continued)
#	Morgan Stanley 144A
	10.09% 5/3/17	BRL		2,000,000	$	1,148,105
	PNC Funding
	5.125% 2/8/20	USD		30,000		32,101
	5.25% 11/15/15			60,000		65,748
	5.625% 2/1/17			35,000		38,029
	Rabobank Nederland
	2.125% 10/13/15			5,000		4,936
	•#144A 11.00% 12/29/49			90,000		117,572
	SVB Financial Group
	5.375% 9/15/20			25,000		25,017
•	USB Capital IX
	6.189% 10/29/49			80,000		63,200
	Wachovia 5.625% 10/15/16			55,000		61,736
•	Wells Fargo Capital XIII
	7.70% 12/29/49			5,000		5,188
	Zions Bancorp
	5.65% 5/15/14			18,000		17,609
						2,372,751
Basic Industry – 3.54%
	AK Steel 7.625% 5/15/20			246,000		246,615
	Alcoa 6.15% 8/15/20			13,000		13,464
#	Algoma Acquisition 144A
	9.875% 6/15/15			248,000		221,650
*#	Appleton Papers 144A
	10.50% 6/15/15			188,000		185,180
	ArcelorMittal
	9.85% 6/1/19			20,000		25,357
	Century Aluminum
	8.00% 5/15/14			177,100		184,848
	Cliffs Natural Resources
	4.80% 10/1/20			5,000		5,002
	6.25% 10/1/40			15,000		14,364
	Dow Chemical
	4.25% 11/15/20			5,000		4,897
	8.55% 5/15/19			30,000		37,941
#	Drummond 144A
	9.00% 10/15/14			206,000		218,360
	duPont (E.I.) deNemours
	3.625% 1/15/21			15,000		15,025
#	FMG Resources
	August 2006 144A
	7.00% 11/1/15			290,000		295,075
#	Georgia-Pacific 144A
	5.40% 11/1/20			10,000		9,913
#	Hexion US/Nova Scotia
	Finance 144A
	9.00% 11/15/20			222,000		220,890
*#	Huntsman International 144A
	8.625% 3/15/21			84,000		89,460
*	International Coal Group
	9.125% 4/1/18			189,000		205,065
	International Paper
	9.375% 5/15/19			50,000		65,389
	Lyondell Chemical
	11.00% 5/1/18			325,000		363,187
#	MacDermid 144A
	9.50% 4/15/17			288,000		303,120
	Millar Western
	Forest Products
	7.75% 11/15/13			198,000		187,110
	Momentive Performance Materials
	11.50% 12/1/16			291,000		307,004
	#144A 9.00% 1/15/21			171,000		170,573
•	Noranda Aluminium
	Acquisition PIK
	5.193% 5/15/15			242,280		215,629
	Novelis
	7.25% 2/15/15			60,000		62,025
	11.50% 2/15/15			88,000		108,240
*#	PE Paper Escrow GmbH 144A
	12.00% 8/1/14			120,000		138,208
	Reliance Steel & Aluminum
	6.85% 11/15/36			24,000		22,951
	Ryerson
	•7.662% 11/1/14			141,000		132,188
	12.00% 11/1/15			166,000		171,188
*#	Steel Dynamics 144A
	7.625% 3/15/20			168,000		180,600
	Teck Resources
	9.75% 5/15/14			13,000		16,063
@	Vale Overseas
	6.875% 11/21/36			979,000		1,088,720
*	Verso Paper Holdings
	11.375% 8/1/16			155,000		152,094
						5,677,395
Brokerage – 0.47%
	E Trade Financial PIK
	12.50% 11/30/17			566,000		655,145
	Jefferies Group
	6.25% 1/15/36			5,000		4,545
	6.45% 6/8/27			60,000		58,021
	Lazard Group
	6.85% 6/15/17			30,000		31,901
	7.125% 5/15/15			4,000		4,404
						754,016
Capital Goods – 2.16%
	Alion Science &
	Technology PIK
	12.00% 11/1/14			146,702		149,636
#	Associated Materials 144A
	9.125% 11/1/17			150,000		153,375
#	Berry Plastics 144A
	9.75% 1/15/21			267,000		256,988
*#	Cemex Espana
	Luxembourg 144A
	9.25% 5/12/20			279,000		266,445

(continues) 13

Statement of net assets

Delaware Enhanced Global Dividend and Income Fund

			Principal		Value
			Amount°		(U.S. $)
Corporate Bonds (continued)
Capital Goods (continued)
#	DAE Aviation Holdings 144A
	11.25% 8/1/15	USD		184,000	$	191,360
#	Graham Packaging 144A
	8.25% 10/1/18			185,000		188,700
	Intertape Polymer
	8.50% 8/1/14			134,000		112,560
	L-3 Communications
	4.75% 7/15/20			15,000		15,538
*	Manitowoc
	9.50% 2/15/18			215,000		231,125
*#	Nortek 144A
	10.00% 12/1/18			150,000		150,750
*	NXP BV/NXP Funding
	9.50% 10/15/15			265,000		272,288
#	Plastipak Holdings 144A
	10.625% 8/15/19			136,000		151,640
	Ply Gem Industries
	13.125% 7/15/14			230,000		242,650
#	Polypore International 144A
	7.50% 11/15/17			245,000		249,288
	Pregis 12.375% 10/15/13			254,000		254,000
*	RBS Global/Rexnord
	11.75% 8/1/16			302,000		320,119
#	TriMas 144A
	9.75% 12/15/17			180,000		193,500
#	USG 144A 9.75% 8/1/14			63,000		66,465
						3,466,427
Consumer Cyclical – 3.35%
*	#Allison Transmission 144A
	11.00% 11/1/15			246,000		267,525
*	American Axle &
	Manufacturing
	7.875% 3/1/17			395,000		393,025
	ArvinMeritor
	8.125% 9/15/15			246,000		252,765
	10.625% 3/15/18			119,000		134,173
	Beazer Homes USA
	8.125% 6/15/16			176,000		170,720
	*9.125% 6/15/18			65,000		62,725
	#144A 9.125% 5/15/19			190,000		179,550
	Burlington Coat Factory
	Investment Holdings
	14.50% 10/15/14			336,000		351,120
*#	CKE Restaurants 144A
	11.375% 7/15/18			171,000		182,970
w#	CVS Pass Through Trust 144A
	8.353% 7/10/31			78,191		96,694
	Dave & Buster’s
	11.00% 6/1/18			145,000		157,325
*#	Dunkin Finance 144A
	9.625% 12/1/18			262,000		264,948
	Express Finance
	8.75% 3/1/18			93,000		99,045
*	Ford Motor
	7.45% 7/16/31			385,000		415,800
	Ford Motor Credit
	12.00% 5/15/15			195,000		241,776
*	Goodyear Tire & Rubber
	8.25% 8/15/20			90,000		90,900
	Interface
	9.50% 2/1/14			20,000		20,650
	11.375% 11/1/13			52,000		64,090
	#144A 7.625% 12/1/18			175,000		179,375
	K Hovnanian Enterprises
	6.25% 1/15/15			148,000		109,150
	7.50% 5/15/16			97,000		65,960
	Landry’s Restaurants
	11.625% 12/1/15			94,000		100,110
#	M/I Homes 144A
	8.625% 11/15/18			421,000		421,525
	Norcraft Finance
	10.50% 12/15/15			151,000		160,815
	Norcraft Holdings
	9.75% 9/1/12			140,000		139,650
*	OSI Restaurant Partners
	10.00% 6/15/15			189,000		195,615
	Quiksilver
	6.875% 4/15/15			250,000		238,750
*	Standard Pacific
	10.75% 9/15/16			119,000		136,255
	Susser Holdings & Finance
	8.50% 5/15/16			174,000		185,310
						5,378,316
Consumer Non-Cyclical – 3.23%
	Alere 9.00% 5/15/16			201,000		206,025
	Alliance One International
	10.00% 7/15/16			265,000		278,250
	Anheuser-Busch
	InBev Worldwide
	*5.00% 4/15/20			5,000		5,475
	#144A 5.375% 11/15/14			45,000		50,366
	Baxter International
	4.50% 8/15/19			35,000		38,111
#	Brambles USA 144A
	3.95% 4/1/15			10,000		10,368
	5.35% 4/1/20			20,000		21,103
	Celgene 3.95% 10/15/20			15,000		14,920
	Cott Beverages
	8.375% 11/15/17			132,000		140,910
	Covidien International Finance
	4.20% 6/15/20			20,000		20,846
*	Dean Foods 7.00% 6/1/16			364,000		335,790
#	Delhaize Group 144A
	5.70% 10/1/40			17,000		16,818
	Diversey Holdings
	10.50% 5/15/20			337,643		389,556
	Dole Food 13.875% 3/15/14			91,000		110,793
	Iron Mountain 8.375% 8/15/21			140,000		154,000
	Kraft Foods 5.375% 2/10/20			10,000		11,158

			Principal		Value
			Amount°		(U.S. $)
Corporate Bonds (continued)
Consumer Non-Cyclical (continued)
#	Lantheus Medical Imaging 144A
	9.75% 5/15/17	USD		201,000	$	209,040
	LVB Acquisition
	11.625% 10/15/17			194,000		214,855
	Medco Health Solutions
	4.125% 9/15/20			20,000		20,079
	7.125% 3/15/18			10,000		12,186
#	Mylan 144A
	6.00% 11/15/18			250,000		244,375
#	NBTY 144A 9.00% 10/1/18			263,000		277,465
#	Novasep Holding 144A
	9.75% 12/15/16			170,000		116,450
	Pfizer 6.20% 3/15/19			15,000		18,257
#	PHH 144A 9.25% 3/1/16			186,000		191,580
	Pinnacle Foods Finance
	10.625% 4/1/17			180,000		192,375
#	Quintiles Transnational
	PIK 144A
	9.50% 12/30/14			106,000		107,855
#	Reynolds Group Issuer 144A
	9.00% 4/15/19			180,000		184,050
#	ServiceMaster PIK 144A
	10.75% 7/15/15			189,000		203,648
*	Smithfield Foods
	7.75% 7/1/17			154,000		156,310
*	Supervalu 8.00% 5/1/16			255,000		251,813
	Tops Holdings/Markets
	10.125% 10/15/15			131,000		140,170
#	Viking Acquisition 144A
	9.25% 11/1/18			290,000		290,725
#	Viskase 144A 9.875%
	1/15/18			228,000		237,120
#	Woolworths 144A
	4.00% 9/22/20			10,000		10,064
	Yale University
	2.90% 10/15/14			45,000		47,361
*	Yankee Acquisition
	9.75% 2/15/17			210,000		218,400
	Zimmer Holdings
	4.625% 11/30/19			30,000		31,905
						5,180,572
Energy – 7.89%
#	American Petroleum
	Tankers 144A
	10.25% 5/1/15			296,000		305,620
	Anadarko Petroleum
	5.95% 9/15/16			20,000		21,367
	Antero Resources Finance
	9.375% 12/1/17			156,000		161,460
	Aquilex Holdings
	11.125% 12/15/16			178,000		179,780
*	Chaparral Energy
	8.50% 12/1/15			99,000		98,258
*	Chesapeake Energy
	6.50% 8/15/17			135,000		136,688
	9.50% 2/15/15			146,000		164,250
	Complete Production Services
	8.00% 12/15/16			174,000		179,220
	Copano Energy
	7.75% 6/1/18			169,000		169,845
*	Crosstex Energy/Finance
	8.875% 2/15/18			175,000		183,313
	Ecopetrol
	7.625% 7/23/19			900,000		1,077,749
	El Paso
	6.875% 6/15/14			44,000		47,578
	7.00% 6/15/17			205,000		217,022
	El Paso Pipeline
	Partners Operating
	4.10% 11/15/15			10,000		10,089
•	Enbridge Energy Partners
	8.05% 10/1/37			20,000		21,011
	Energy Transfer Partners
	9.70% 3/15/19			25,000		32,668
	Enterprise Products Operating
	•7.034% 1/15/68			35,000		36,319
	9.75% 1/31/14			45,000		54,866
	EOG Resources
	4.10% 2/1/21			25,000		25,061
#	Gazprom 144A
	8.625% 4/28/34			1,000,000		1,180,299
	Global Geophysical Services
	10.50% 5/1/17			95,000		94,525
	Headwaters
	11.375% 11/1/14			194,000		209,763
#	Helix Energy Solutions
	Group 144A
	9.50% 1/15/16			246,000		257,070
*#	Hercules Offshore 144A
	10.50% 10/15/17			187,000		149,600
#	Hilcorp Energy I
	144A 8.00% 2/15/20			226,000		237,865
	Holly 9.875% 6/15/17			171,000		186,818
*	Key Energy Services
	8.375% 12/1/14			321,000		341,063
	Kinder Morgan
	Energy Partners
	5.30% 9/15/20			10,000		10,655
	6.55% 9/15/40			5,000		5,232
	9.00% 2/1/19			20,000		25,854
#	Linn Energy Finance 144A
	8.625% 4/15/20			201,000		214,065
	Lukoil International Finance
	6.356% 6/7/17			1,000,000		1,057,499
#	Midcontinent Express
	Pipeline 144A
	5.45% 9/15/14			25,000		27,048

(continues) 15

Statement of net assets

Delaware Enhanced Global Dividend and Income Fund

		Principal		Value
		Amount°		(U.S. $)
Corporate Bonds (continued)
Energy (continued)
#	Murray Energy 144A
	10.25% 10/15/15	USD	230,000	$	235,750
	Nexen 7.50% 7/30/39		20,000		24,051
*#	NFR Energy/Finance 144A
	9.75% 2/15/17		224,000		222,320
	Noble Energy
	8.25% 3/1/19		20,000		25,861
	OPTI Canada
	7.875% 12/15/14		334,000		231,295
	8.25% 12/15/14		121,000		84,700
	#144A 9.00% 12/15/12		200,000		200,000
*	Pemex Project Funding
	Master Trust
	6.625% 6/15/35		1,000,000		1,049,908
	Petrohawk Energy
	7.875% 6/1/15		198,000		204,930
	Petroleum Development
	12.00% 2/15/18		217,000		244,125
	Pioneer Drilling
	9.875% 3/15/18		106,000		112,360
*	Plains All American
	Pipeline 8.75% 5/1/19		15,000		19,162
	Pride International
	6.875% 8/15/20		30,000		31,950
	Quicksilver Resources
	7.125% 4/1/16		190,000		184,300
#	SandRidge Energy 144A
	9.875% 5/15/16		249,000		258,960
#	Semco Energy 144A
	5.15% 4/21/20		30,000		32,142
	TNK-BP Finance
	7.875% 3/13/18		2,000,000		2,229,999
	Total Capital
	2.30% 3/15/16		35,000		34,847
•	TransCanada Pipelines
	6.35% 5/15/67		35,000		34,613
	Transocean
	6.50% 11/15/20		10,000		10,910
	Weatherford
	International Bermuda
	5.125% 9/15/20		10,000		10,184
	6.75% 9/15/40		15,000		15,703
	9.625% 3/1/19		10,000		12,908
#	Woodside Finance 144A
	4.50% 11/10/14		20,000		21,391
	8.125% 3/1/14		15,000		17,522
					12,669,411
Finance & Investments – 1.87%
•	American International Group I
	8.175% 5/15/58		270,000		277,425
	Cardtronics 8.25% 9/1/18		84,000		88,200
•	Chubb 6.375% 3/29/67		15,000		15,750
	General Electric Capital
	6.00% 8/7/19		105,000		116,235
•	Genworth Financial
	6.15% 11/15/66		336,000		258,720
#	Icahn Enterprises Finance
	144A 8.00% 1/15/18		100,000		99,250
•#	ILFC E-Capital Trust II
	144A 6.25% 12/21/65		355,000		279,119
•#	Liberty Mutual Group
	144A 7.00% 3/15/37		355,000		322,142
	MetLife 6.40% 12/15/36		100,000		95,500
	Nuveen Investments
	10.50% 11/15/15		773,000		773,966
#	Pinafore 144A
	9.00% 10/1/18		376,000		398,560
	Prudential Financial
	3.875% 1/14/15		35,000		36,796
∏•	XL Capital
	6.50% 12/31/49		280,000		241,500
					3,003,163
Media – 2.95%
#	Affinion Group 144A
	7.875% 12/15/18		352,000		326,480
	Cablevision Systems
	8.00% 4/15/20		19,000		20,473
	8.625% 9/15/17		91,000		99,418
#	CCO Holdings Capital 144A
	7.875% 4/30/18		48,000		49,920
	*8.125% 4/30/20		60,000		63,300
#	Charter Communications
	Operating 144A
	10.875% 9/15/14		98,000		109,760
#	Columbus International
	144A 11.50% 11/20/14		270,000		299,700
	Comcast 5.875% 2/15/18		15,000		17,096
#	COX Communications
	144A 6.25% 6/1/18		15,000		17,260
	DIRECTV Holdings/Financing
	4.60% 2/15/21		20,000		20,112
	7.625% 5/15/16		65,000		72,557
#	Entravision Communications
	144A 8.75% 8/1/17		350,000		367,499
	GXS Worldwide
	9.75% 6/15/15		237,000		235,223
#	inVentiv Health 144A
	10.00% 8/15/18		210,000		206,850
	MDC Partners
	11.00% 11/1/16		112,000		125,440
#	NBC Universal 144A
	2.875% 4/1/16		10,000		9,967
	4.375% 4/1/21		60,000		60,344
#	Nexstar Broadcasting
	144A 8.875% 4/15/17		200,000		209,500
	Nielsen Finance
	11.50% 5/1/16		50,000		57,250
	11.625% 2/1/14		97,000		111,065
	#144A 7.75% 10/15/18		186,000		190,185

		Principal		Value
		Amount°		(U.S. $)
Corporate Bonds (continued)
Media (continued)
#	Sinclair Television Group
	144A 9.25% 11/1/17	USD	147,000	$	159,863
#	Sitel Finance 144A
	11.50% 4/1/18		207,000		176,985
	Symantec 4.20% 9/15/20		5,000		4,781
	Terremark Worldwide
	12.00% 6/15/17		185,000		209,975
	Time Warner Cable
	4.125% 2/15/21		15,000		14,639
	8.25% 4/1/19		20,000		25,495
#	Univision Communications
	144A 7.875% 11/1/20		177,000		181,868
#	UPC Holding 144A
	9.875% 4/15/18		120,000		129,600
*#	Visant 144A
	10.00% 10/1/17		120,000		124,200
#	Vivendi 144A
	6.625% 4/4/18		25,000		28,758
#	XM Satellite Radio 144A
	7.625% 11/1/18		360,000		359,999
	13.00% 8/1/13		553,000		649,774
					4,735,336
Real Estate – 0.84%
	Developers Diversified Realty
	7.50% 4/1/17		5,000		5,619
	*7.875% 9/1/20		20,000		22,959
	Digital Realty Trust
	5.875% 2/1/20		10,000		10,524
*	Felcor Lodging
	10.00% 10/1/14		195,000		216,694
	Host Marriott
	6.375% 3/15/15		245,000		250,513
	Liberty Property
	4.75% 10/1/20		5,000		5,124
#	Qatari Diar Finance 144A
	5.00% 7/21/20		800,000		817,444
*	Regency Centers
	5.875% 6/15/17		20,000		21,992
					1,350,869
Services Cyclical – 2.91%
	ARAMARK 8.50% 2/1/15		150,000		156,000
#	Ashtead Capital 144A
	9.00% 8/15/16		130,000		136,175
	Burlington Northern Santa Fe
	3.60% 9/1/20		5,000		4,994
	4.70% 10/1/19		30,000		32,487
	5.65% 5/1/17		5,000		5,717
	Canadian Pacific
	4.45% 3/15/23		20,000		20,169
#	Delta Air Lines 144A
	12.25% 3/15/15		193,000		219,055
#	Equinox Holdings 144A
	9.50% 2/1/16		221,000		231,498
#	ERAC USA Finance 144A
	5.25% 10/1/20		40,000		42,335
*	General Maritime
	12.00% 11/15/17		214,000		215,070
*	Harrah’s Operating
	10.00% 12/15/18		457,000		388,450
#	Icon Health & Fitness 144A
	11.875% 10/15/16		108,000		107,730
	Kansas City
	Southern de Mexico
	8.00% 2/1/18		187,000		201,960
	Kansas City
	Southern Railway
	13.00% 12/15/13		2,000		2,410
*#	Marina District Finance
	144A 9.875% 8/15/18		268,000		257,950
*#	MCE Finance 144A
	10.25% 5/15/18		170,000		192,950
	MGM MIRAGE
	*7.50% 6/1/16		29,000		25,593
	11.125% 11/15/17		2,000		2,270
	*11.375% 3/1/18		543,000		562,005
	13.00% 11/15/13		105,000		123,900
*	Mohegan Tribal
	Gaming Authority
	6.875% 2/15/15		61,000		41,175
	7.125% 8/15/14		145,000		101,500
	NCL
	11.75% 11/15/16		200,000		227,500
	#144A 9.50% 11/15/18		183,000		187,346
*	Peninsula Gaming
	10.75% 8/15/17		228,000		246,810
*	Pinnacle Entertainment
	8.75% 5/15/20		198,000		198,743
#	Pokagon Gaming
	Authority 144A
	10.375% 6/15/14		10,000		10,425
	Royal Caribbean Cruises
	6.875% 12/1/13		125,000		133,750
*	RSC Equipment Rental
	10.25% 11/15/19		5,000		5,556
#	Shingle Springs Tribal
	Gaming Authority
	144A 9.375% 6/15/15		242,000		148,830
*#	Swift Transportation 144A
	12.50% 5/15/17		96,000		104,160
#	United Air Lines 144A
	12.00% 11/1/13		292,000		325,580
	Wyndham Worldwide
	5.75% 2/1/18		5,000		5,160
					4,665,253
Services Non-Cyclical – 1.76%
#	Accellent 144A
	10.00% 11/1/17		115,000		107,813
	Allied Waste North America
	6.875% 6/1/17		40,000		44,409
	7.125% 5/15/16		10,000		10,624

(continues) 17

Statement of net assets

Delaware Enhanced Global Dividend and Income Fund

		Principal		Value
		Amount°		(U.S. $)
Corporate Bonds (continued)
Services Non-Cyclical (continued)
	Amgen 3.45% 10/1/20	USD	25,000	$	24,660
	BioScrip 10.25% 10/1/15		196,000		201,635
	CareFusion
	6.375% 8/1/19		65,000		76,124
	Casella Waste Systems
	9.75% 2/1/13		387,000		392,804
	Community Health Systems
	8.875% 7/15/15		135,000		141,581
#	DJO Finance 144A
	9.75% 10/15/17		239,000		240,793
	Genzyme
	3.625% 6/15/15		100,000		105,078
	5.00% 6/15/20		20,000		21,879
	HCA 9.25% 11/15/16		185,000		198,413
	Hospira 6.40% 5/15/15		95,000		110,141
	Life Technologies
	6.00% 3/1/20		35,000		38,890
#	Multiplan 144A
	9.875% 9/1/18		198,000		210,870
#	Radiation Therapy Services
	144A 9.875% 4/15/17		216,000		212,220
#	Radnet Management
	144A 10.375% 4/1/18		174,000		160,950
#	Roche Holdings 144A
	6.00% 3/1/19		20,000		23,925
*	Select Medical
	7.625% 2/1/15		272,000		272,000
•	US Oncology Holdings PIK
	6.737% 3/15/12		237,000		238,185
					2,832,994
Technology – 0.98%
#	Allen Systems Group 144A
	10.50% 11/15/16		285,000		285,000
#	Aspect Software 144A
	10.625% 5/15/17		194,000		196,910
	First Data 9.875% 9/24/15		186,000		159,030
	Hewlett-Packard
	3.75% 12/1/20		20,000		20,108
#	International Wire Group
	144A 9.75% 4/15/15		155,000		161,394
	Magnachip Semiconductor
	Finance 10.50% 4/15/18		156,000		166,920
#	MedAssets 144A
	8.00% 11/15/18		137,000		138,713
	National Semiconductor
	6.60% 6/15/17		20,000		22,797
	Sanmina-SCI
	8.125% 3/1/16		79,000		79,593
#	Seagate Technology
	International 144A
	10.00% 5/1/14		10,000		11,800
*	SunGard Data Systems
	10.25% 8/15/15		314,000		326,559
					1,568,824
Telecommunications – 5.20%
	American Tower
	5.05% 9/1/20		25,000		25,804
#	Clearwire Communications
	144A 12.00% 12/1/15		1,006,000		1,071,765
	Cricket Communications
	7.75% 5/15/16		130,000		133,575
#	Crown Castle Towers
	144A 4.883% 8/15/20		30,000		29,799
#	Digicel Group 144A
	8.875% 1/15/15		1,000,000		1,014,999
	9.125% 1/15/15		1,120,000		1,136,799
	10.50% 4/15/18		230,000		254,150
	Frontier Communications
	7.125% 3/15/19		120,000		124,800
	Global Crossing
	12.00% 9/15/15		297,000		335,610
	Intelsat 6.50% 11/1/13		155,000		155,000
	Intelsat Bermuda
	11.25% 2/4/17		640,000		673,600
	PIK 11.50% 2/4/17		49,938		53,184
	Level 3 Financing
	10.00% 2/1/18		217,000		200,725
	MetroPCS Wireless
	6.625% 11/15/20		165,000		157,575
	*7.875% 9/1/18		90,000		93,713
	NII Capital
	10.00% 8/15/16		271,000		302,165
*	PAETEC Holding
	9.50% 7/15/15		165,000		167,888
	Qwest 8.375% 5/1/16		40,000		48,200
	Qwest Communications
	International
	7.50% 2/15/14		85,000		86,275
	Sprint Capital
	8.75% 3/15/32		453,000		450,735
#	Telcordia Technologies
	144A 11.00% 5/1/18		415,000		406,700
	Telecom Italia Capital
	5.25% 10/1/15		35,000		37,157
	6.175% 6/18/14		55,000		59,597
	Telesat Canada
	11.00% 11/1/15		158,000		176,565
	12.50% 11/1/17		164,000		191,060
	ViaSat 8.875% 9/15/16		113,000		120,628
	Virgin Media Finance
	8.375% 10/15/19		120,000		132,300
*	West 11.00% 10/15/16		219,000		235,973
#	Wind Acquisition
	Finance 144A
	11.75% 7/15/17		370,000		412,550
	Windstream
	7.875% 11/1/17		45,000		47,475
					8,336,366

		Principal		Value
		Amount°		(U.S. $)
Corporate Bonds (continued)
Utilities – 1.45%
	AES
	7.75% 3/1/14	USD	129,000	$	137,385
	8.00% 6/1/20		44,000		46,200
	9.75% 4/15/16		10,000		11,150
*	Ameren Illinois
	9.75% 11/15/18		80,000		105,477
#	American Transmission
	Systems 144A
	5.25% 1/15/22		25,000		27,034
	Centerpoint Energy
	5.95% 2/1/17		13,000		14,431
	CMS Energy
	4.25% 9/30/15		5,000		5,087
	6.55% 7/17/17		10,000		10,885
	8.75% 6/15/19		15,000		18,026
	Commonwealth Edison
	4.00% 8/1/20		30,000		30,798
	5.80% 3/15/18		5,000		5,796
	Dominion Resources
	5.60% 11/15/16		5,000		5,781
	6.00% 11/30/17		10,000		11,694
	Duke Energy 5.05% 9/15/19		10,000		11,012
	Duke Energy Carolinas
	5.30% 2/15/40		5,000		5,245
	Duke Energy Ohio
	5.45% 4/1/19		15,000		17,366
	Dynegy Holdings
	7.75% 6/1/19		157,000		103,228
	Elwood Energy
	8.159% 7/5/26		166,028		161,048
	Energy Future Intermediate
	10.00% 12/1/20		192,000		197,886
	Exelon Generation
	4.00% 10/1/20		10,000		9,785
	5.75% 10/1/41		25,000		24,367
	Florida Power
	5.65% 6/15/18		5,000		5,843
#	GenOn Escrow 144A
	9.50% 10/15/18		127,000		121,285
	Korea Southern Power
	5.375% 4/18/13		630,000		670,306
#	LG&E & KU Energy 144A
	3.75% 11/15/20		20,000		19,609
*	Mirant Americas Generation
	8.50% 10/1/21		245,000		238,262
	Oncor Electric Delivery
	7.00% 9/1/22		10,000		12,291
	#144A 5.00% 9/30/17		15,000		16,379
	#144A 5.25% 9/30/40		5,000		4,883
	Pennsylvania Electric
	5.20% 4/1/20		45,000		48,369
	Public Service Oklahoma
	5.15% 12/1/19		30,000		32,656
•	Puget Sound Energy
	6.974% 6/1/67		165,000		161,973
	Sempra Energy
	6.15% 6/15/18		10,000		11,763
	Southern California
	Edison 5.50% 8/15/18		20,000		23,309
					2,326,609
Total Corporate Bonds (cost $61,821,838)					64,318,302

Non-Agency Asset-Backed Securities – 0.32%
	Ally Auto Receivables
	Trust Series 2010-2 A3
	1.38% 7/15/14		10,000		10,050
•	Citibank Credit Card
	Issuance Trust Series
	2004-C1 C1
	0.903% 7/15/13		10,000		9,933
•	Citicorp Residential
	Mortgage Securities
	Series 2006-3 A5
	5.948% 11/25/36		100,000		86,536
	CNH Equipment Trust
	Series 2008-A A4
	4.93% 8/15/14		25,550		26,177
	Series 2008-B A3A
	4.78% 7/16/12		2,709		2,716
	Series 2009-C A3
	1.85% 12/16/13		15,000		15,124
	Discover Card Master
	Trust Series 2007-A1
	A1 5.65% 3/16/20		100,000		116,450
@#	Dunkin Securitization
	144A Series 2006-1 A2
	5.779% 6/20/31		150,000		152,063
	Harley-Davidson
	Motorcycle Trust
	Series 2006-2
	A2 5.35% 3/15/13		29,875		30,254
	John Deere Owner Trust
	Series 2009-A A4
	3.96% 5/16/16		25,000		26,128
	Series 2010-A 4A
	2.13% 10/17/16		15,000		15,374
•	Merrill Auto Trust
	Securitization
	Series 2007-1 A4
	0.313% 12/15/13		14,801		14,761
Total Non-Agency Asset-Backed
	Securities (cost $486,298)				505,566

(continues) 19

Statement of net assets

Delaware Enhanced Global Dividend and Income Fund

		Principal		Value
		Amount°		(U.S. $)
Non-Agency Collateralized Mortgage Obligations – 0.30%
@•	Bear Stearns ARM Trust
	Series 2007-1 3A2
	5.551% 2/25/47	USD	213,786	$	23,642
	Citicorp Mortgage Securities
	Series 2006-4 3A1
	5.50% 8/25/21		16,426		16,481
	Series 2007-1 2A1
	5.50% 1/25/22		107,654		104,474
	•Series 2007-AR8 1A3A
	5.729% 8/25/37		74,857		58,918
•	First Horizon
	Asset Securities
	Series 2007-AR2 1A1
	5.786% 8/25/37		100,153		76,714
•	GSR Mortgage Loan Trust
	Series 2006-AR1 3A1
	5.143% 1/25/36		154,977		135,850
•	MASTR ARM Trust
	Series 2006-2 4A1
	4.969% 2/25/36		66,142		62,783
Total Non-Agency Collateralized
	Mortgage Obligations
	(cost $726,190)				478,862

«Senior Secured Loans – 0.69%
	Clear Channel
	Communication
	Tranche B
	3.65% 1/29/16		300,000		238,806
	CommScope Bridge
	9.25% 10/26/11		265,000		264,999
	Energy Futures
	Holdings Tranche B2
	3.941% 10/10/14		340,612		263,594
	Harrahs Chester
	Downs & Marina
	12.375% 12/31/16		92,125		93,661
	PQ Tranche B
	6.82% 7/30/15		165,000		156,682
	Syniverse Holdings Bridge
	Loan 8.00% 10/28/11		88,000		88,028
Total Senior Secured Loans
	(cost $1,083,622)				1,105,770

Sovereign Debt – 4.11%Δ
Brazil – 0.35%
	Banco Nacional de
	Desenvolvimento
	Economico e Social
	6.369% 6/16/18		500,000		566,250
					566,250
Indonesia – 3.07%
	Indonesia Treasury Bond
	11.00% 11/15/20	IDR	35,825,000,000		4,930,823
					4,930,823
Philippines – 0.69%
	Philippine Government
	International Bond
	6.375% 10/23/34	USD	1,000,000		1,100,000
					1,100,000
Total Sovereign Debt
	(cost $6,220,923)				6,597,073

Supranational Banks – 2.00%
	European Bank for
	Reconstruction &
	Development
	7.00% 7/30/12	INR	41,000,000		935,033
	European Investment Bank
	8.00% 10/21/13	ZAR	6,880,000		1,005,411
	9.625% 4/1/15	TRY	1,800,000		1,264,447
Total Supranational Banks
	(cost $3,153,626)				3,204,891

U.S. Treasury Obligations – 0.27%
	U.S. Treasury Bond
	3.875% 8/15/40	USD	25,000		24,023
	U.S. Treasury Notes
	1.375% 11/30/15		360,000		358,538
	2.25% 11/30/17		15,000		15,100
	*2.625% 11/15/20		40,000		39,419
Total U.S. Treasury Obligations
	(cost $434,486)				437,080

Leveraged Non-Recourse Security – 0.00%
@w#	JPMorgan Pass Through
	Trust Series 2007-B 144A
	0.00% 1/15/87		500,000		0
Total Leveraged Non-Recourse
	Security (cost $425,000)				0

Residual Interest Trust Certificate – 0.00%
=@w#	Freddie Mac Auction Pass
	Through Trust Series
	2007-6B 144A 0.00%		175,000		0
Total Residual Interest Trust
	Certificate (cost $190,466)				0

		Number of