UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
FORM N-CSR
CERTIFIED SHAREHOLDER REPORT OF REGISTERED MANAGEMENT INVESTMENT COMPANIES
Investment Company Act file number811-21852
Columbia Funds Series Trust II
(Exact name of registrant as specified in charter)
225 Franklin Street
Boston, Massachusetts 02110
(Address of principal executive offices) (Zip code)
Christopher O. Petersen, Esq.
c/o Columbia Management Investment Advisers, LLC
225 Franklin Street
Boston, Massachusetts 02110
Ryan C. Larrenaga, Esq.
c/o Columbia Management Investment Advisers, LLC
225 Franklin Street
Boston, MA 02110
(Name and address of agent for service)
Registrant's telephone number, including area code: (800) 345-6611
Date of fiscal year end: October 31
Date of reporting period: October 31, 2020
Form N-CSR is to be used by management investment companies to file reports with the Commission not later than 10 days after the transmission to stockholders of any report that is required to be transmitted to stockholders under Rule 30e-1 under the Investment Company Act of 1940 (17 CFR 270.30e-1). The Commission may use the information provided on Form N-CSR in its regulatory, disclosure review, inspection, and policymaking roles.
A registrant is required to disclose the information specified by Form N-CSR, and the Commission will make this information public. A registrant is not required to respond to the collection of information contained in Form N-CSR 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 Secretary, Securities and Exchange Commission, 100 F Street, NE, Washington, DC 20549. The OMB has reviewed this collection of information under the clearance requirements of 44 U.S.C. § 3507.
Item 1. Reports to Stockholders.
October 31, 2020
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Average annual total returns (%) (for the period ended October 31, 2020) | |||||
Inception | 1 Year | 5 Years | 10 Years | ||
Class A | Excluding sales charges | 05/23/94 | 25.09 | 20.64 | 16.22 |
Including sales charges | 17.89 | 19.22 | 15.54 | ||
Advisor Class* | 11/08/12 | 25.41 | 20.94 | 16.46 | |
Class C | Excluding sales charges | 05/27/99 | 24.17 | 19.73 | 15.35 |
Including sales charges | 23.17 | 19.73 | 15.35 | ||
Institutional Class | 09/27/10 | 25.41 | 20.95 | 16.53 | |
Institutional 2 Class | 08/03/09 | 25.49 | 21.03 | 16.64 | |
Institutional 3 Class* | 03/01/17 | 25.54 | 20.97 | 16.38 | |
Class R | 04/30/03 | 24.79 | 20.34 | 15.93 | |
MSCI World Information Technology Index (Net) | 32.55 | 21.42 | 17.07 |
* | The returns shown for periods prior to the share class inception date (including returns for the Life of the Fund, if shown, which are since Fund inception) include the returns of the Fund’s oldest share class. These returns are adjusted to reflect any higher class-related operating expenses of the newer share classes, as applicable. Please visit columbiathreadneedleus.com/investor/investment-products/mutual-funds/appended-performance for more information. |
Columbia Seligman Global Technology Fund | Annual Report 2020 | 3 |
Equity sector breakdown (%) (at October 31, 2020) | |
Communication Services | 9.0 |
Consumer Discretionary | 1.0 |
Health Care | 0.9 |
Industrials | 1.6 |
Information Technology | 87.5 |
Total | 100.0 |
Equity sub-industry breakdown (%) (at October 31, 2020) | |
Information Technology | |
Application Software | 10.7 |
Communications Equipment | 4.7 |
Data Processing & Outsourced Services | 6.9 |
Internet Services & Infrastructure | 1.3 |
IT Consulting & Other Services | 0.8 |
Semiconductor Equipment | 16.5 |
Semiconductors | 22.7 |
Systems Software | 11.4 |
Technology Hardware, Storage & Peripherals | 12.5 |
Total | 87.5 |
Country breakdown (%) (at October 31, 2020) | |
Brazil | 1.2 |
France | 0.1 |
Japan | 1.4 |
Netherlands | 1.9 |
Sweden | 0.6 |
Taiwan | 0.3 |
United Kingdom | 0.7 |
United States(a) | 93.8 |
Total | 100.0 |
(a) | Includes investments in Money Market Funds. |
4 | Columbia Seligman Global Technology Fund | Annual Report 2020 |
• | Detracting from returns relative to the benchmark was security selection in the technology hardware storage & peripherals, semiconductors & semiconductor equipment and IT services industries. |
• | Fund positions in Western Digital, NetApp and Apple were notable detractors in the technology hardware space during the period. |
• | We believe that Western Digital was caught up in the sell-off of levered companies and penalized for eliminating its dividend in order to de-leverage its balance sheet, which bottomed at 3X leverage. Western Digital was also negatively impacted by COVID-19-related factory shutdowns in the first half of 2020 in Asia and experienced one-time elevated costs from the ramp up of a new NAND Flash memory factory in Japan and low yields from new 16 and 18 Terabyte disk drives. |
• | NetApp was disrupted by weak enterprise demand. With so many offices shuttered as a result of the COVID-19 pandemic, corporations did not buy as much data storage or networking gear. |
• | The Fund’s position in Apple has done well, but the Fund was underweight relative to the benchmark’s 20% weighting. Given Apple’s lofty valuation, we believed the Fund’s weight was prudent, as we anticipate share repurchases at the current level will not be nearly as accretive to earnings and shareholder value as they have been over the past decade. |
Columbia Seligman Global Technology Fund | Annual Report 2020 | 5 |
• | Within semiconductors, the Fund’s position in Micron Technology hurt, as did not owning a position in NVIDIA which rallied strongly during the period. We believe Micron has executed well, and has improved margins and earnings steadily all year, as supply / demand fundamentals continued to improve from the difficult 2018-2019 period. Unfortunately, the company’s shares were down as some investors appeared skeptical of the near-term pricing outlook in DRAM memory chips. |
• | Within IT services, not owning positions in PayPal and Shopify, dragged on relative results, as both benefited from the surge in e-commerce during the pandemic. |
• | Contributing to relative returns was stock selection in the electrical equipment industry within the industrials sector, most notably Bloom Energy. A hydrogen fuel cell pioneer in off-the-grid reliable energy, Bloom has made consistent strides in reducing the per kwh (kilowatts per hour) costs of its systems to achieve grid parity in many states and countries. California’s wildfires and rolling brown outs have been a catalyst for Bloom shares and the Fund’s position in Bloom was one of the top contributors during the period. |
• | The Fund’s position in Synaptics resulted in strong gains as the company’s new management team sold off its low margin smartphone Touch Display Driver chip business and entered the industrial connectivity and PC docking station chip business with modestly priced acquisitions. |
• | Cerence, a spinoff of speech-recognition company Nuance Communications, was a notable contributor. Though it initially received a tepid reception from investors, Cerence, which develops voice and AI (artificial intelligence) software for the automotive industry, rose to new highs during the period. |
• | Synopsis, a long-time Fund holding in the semiconductor design software space, delivered strong performance for the Fund during the period. Synopsis suggested that design activity and demand for electronic design automation tools remained robust from its customers, despite ongoing semi/macro weakness. The company also cited strong results from its nascent software Integrity business. |
• | Underweights to Cisco and no exposure to IBM benefited relative returns. |
• | Having no exposure to the electrical equipment instruments & components industry also boosted the Fund’s results versus the benchmark. |
6 | Columbia Seligman Global Technology Fund | Annual Report 2020 |
Columbia Seligman Global Technology Fund | Annual Report 2020 | 7 |
(Unaudited)
May 1, 2020 — October 31, 2020 | |||||||
Account value at the beginning of the period ($) | Account value at the end of the period ($) | Expenses paid during the period ($) | Fund’s annualized expense ratio (%) | ||||
Actual | Hypothetical | Actual | Hypothetical | Actual | Hypothetical | Actual | |
Class A | 1,000.00 | 1,000.00 | 1,226.60 | 1,018.45 | 7.29 | 6.61 | 1.31 |
Advisor Class | 1,000.00 | 1,000.00 | 1,228.10 | 1,019.70 | 5.90 | 5.35 | 1.06 |
Class C | 1,000.00 | 1,000.00 | 1,222.00 | 1,014.70 | 11.44 | 10.38 | 2.06 |
Institutional Class | 1,000.00 | 1,000.00 | 1,228.20 | 1,019.70 | 5.90 | 5.35 | 1.06 |
Institutional 2 Class | 1,000.00 | 1,000.00 | 1,228.40 | 1,020.00 | 5.57 | 5.05 | 1.00 |
Institutional 3 Class | 1,000.00 | 1,000.00 | 1,228.80 | 1,020.20 | 5.35 | 4.85 | 0.96 |
Class R | 1,000.00 | 1,000.00 | 1,225.10 | 1,017.20 | 8.68 | 7.87 | 1.56 |
8 | Columbia Seligman Global Technology Fund | Annual Report 2020 |
October 31, 2020
Common Stocks 99.5% | ||
Issuer | Shares | Value ($) |
Brazil 1.2% | ||
Boa Vista Servicos SA(a) | 2,777,200 | 6,475,995 |
Pagseguro Digital Ltd., Class A(a) | 272,154 | 9,963,558 |
Total | 16,439,553 | |
France 0.1% | ||
Criteo SA, ADR(a) | 81,700 | 1,401,972 |
Japan 1.4% | ||
Renesas Electronics Corp.(a) | 2,182,400 | 18,014,955 |
Netherlands 1.9% | ||
NXP Semiconductors NV | 192,000 | 25,943,040 |
Sweden 0.6% | ||
Telefonaktiebolaget LM Ericsson, ADR | 665,800 | 7,463,618 |
Taiwan 0.3% | ||
Taiwan Semiconductor Manufacturing Co., Ltd. | 228,000 | 3,449,566 |
United Kingdom 0.7% | ||
Sensata Technologies Holding(a) | 112,500 | 4,917,375 |
Vodafone Group PLC, ADR | 334,500 | 4,519,095 |
Total | 9,436,470 | |
United States 93.3% | ||
Activision Blizzard, Inc. | 229,694 | 17,394,727 |
Advanced Energy Industries, Inc.(a) | 245,400 | 16,557,138 |
Alphabet, Inc., Class A(a) | 35,175 | 56,846,669 |
Alphabet, Inc., Class C(a) | 19,756 | 32,024,674 |
Analog Devices, Inc. | 103,950 | 12,321,194 |
Apple, Inc. | 720,040 | 78,383,554 |
Applied Materials, Inc. | 674,900 | 39,974,327 |
Arista Networks, Inc.(a) | 90,650 | 18,936,785 |
Bloom Energy Corp., Class A(a) | 1,316,335 | 16,638,474 |
Broadcom, Inc. | 179,996 | 62,932,002 |
Cerence, Inc.(a) | 380,255 | 20,754,318 |
Coherus Biosciences, Inc.(a) | 686,478 | 11,443,588 |
CommScope Holding Co., Inc.(a) | 548,500 | 4,881,650 |
Cornerstone OnDemand, Inc.(a) | 112,476 | 4,272,963 |
Dell Technologies, Inc.(a) | 241,100 | 14,528,686 |
Dropbox, Inc., Class A(a) | 1,350,064 | 24,652,169 |
DXC Technology Co. | 200,700 | 3,696,894 |
Common Stocks (continued) | ||
Issuer | Shares | Value ($) |
eBay, Inc. | 285,743 | 13,609,939 |
F5 Networks, Inc.(a) | 105,300 | 13,998,582 |
Fidelity National Information Services, Inc. | 128,200 | 15,972,438 |
Fiserv, Inc.(a) | 119,500 | 11,408,665 |
Fortinet, Inc.(a) | 199,334 | 22,000,494 |
Genpact Ltd. | 218,077 | 7,495,307 |
Global Payments, Inc. | 45,531 | 7,182,060 |
GoDaddy, Inc., Class A(a) | 247,315 | 17,495,063 |
HP, Inc. | 758,718 | 13,626,575 |
Inphi Corp.(a) | 39,620 | 5,537,291 |
Intel Corp. | 237,800 | 10,529,784 |
Lam Research Corp. | 287,890 | 98,481,411 |
Lumentum Holdings, Inc.(a) | 65,300 | 5,399,657 |
Marvell Technology Group Ltd. | 968,209 | 36,317,520 |
Match Group, Inc.(a) | 29,600 | 3,456,688 |
Maxim Integrated Products, Inc. | 178,800 | 12,453,420 |
McAfee Corp., Class A(a) | 151,625 | 2,541,235 |
Micron Technology, Inc.(a) | 784,516 | 39,492,535 |
Microsoft Corp. | 256,500 | 51,933,555 |
NetApp, Inc. | 664,400 | 29,160,516 |
NortonLifeLock, Inc. | 698,806 | 14,374,439 |
ON Semiconductor Corp.(a) | 1,316,424 | 33,029,078 |
Oracle Corp. | 348,300 | 19,543,113 |
Palo Alto Networks, Inc.(a) | 84,400 | 18,668,436 |
Plantronics, Inc. | 552,621 | 10,787,162 |
Rambus, Inc.(a) | 221,700 | 3,057,243 |
SailPoint Technologies Holdings, Inc.(a) | 168,051 | 6,975,797 |
Salesforce.com, Inc.(a) | 94,733 | 22,003,634 |
Sciplay Corp., Class A(a) | 253,985 | 3,390,700 |
SMART Global Holdings, Inc.(a) | 220,765 | 5,825,988 |
Splunk, Inc.(a) | 34,161 | 6,765,244 |
Synaptics, Inc.(a) | 404,418 | 31,006,728 |
Synopsys, Inc.(a) | 263,597 | 56,372,854 |
Tenable Holdings, Inc.(a) | 75,739 | 2,583,457 |
Teradyne, Inc. | 704,886 | 61,924,235 |
Verint Systems, Inc.(a) | 114,846 | 5,572,328 |
Visa, Inc., Class A | 212,300 | 38,577,033 |
Columbia Seligman Global Technology Fund | Annual Report 2020 | 9 |
October 31, 2020
Common Stocks (continued) | ||
Issuer | Shares | Value ($) |
Western Digital Corp.(b) | 719,145 | 27,133,341 |
Xperi Holding Corp. | 1,154,937 | 14,321,219 |
Total | 1,236,244,576 | |
Total Common Stocks (Cost $774,054,675) | 1,318,393,750 | |
Money Market Funds 0.8% | ||
Shares | Value ($) | |
Columbia Short-Term Cash Fund, 0.128%(c),(d) | 10,751,383 | 10,750,308 |
Total Money Market Funds (Cost $10,750,308) | 10,750,308 | |
Total Investments in Securities (Cost $784,804,983) | 1,329,144,058 | |
Other Assets & Liabilities, Net | (4,064,033) | |
Net Assets | $1,325,080,025 |
Call option contracts written | ||||||||
Description | Counterparty | Trading currency | Notional amount | Number of contracts | Exercise price/Rate | Expiration date | Premium received ($) | Value ($) |
Western Digital Corp. | Morgan Stanley | USD | (3,105,179) | (823) | 90.00 | 1/15/2021 | (305,627) | (2,058) |
Put option contracts written | ||||||||
Description | Counterparty | Trading currency | Notional amount | Number of contracts | Exercise price/Rate | Expiration date | Premium received ($) | Value ($) |
Western Digital Corp. | Morgan Stanley | USD | (3,108,952) | (824) | 40.00 | 01/15/2021 | (261,135) | (364,620) |
(a) | Non-income producing investment. |
(b) | This security or a portion of this security has been pledged as collateral in connection with derivative contracts. |
(c) | The rate shown is the seven-day current annualized yield at October 31, 2020. |
(d) | As defined in the Investment Company Act of 1940, an affiliated company is one in which the Fund owns 5% or more of the company’s outstanding voting securities, or a company which is under common ownership or control with the Fund. The value of the holdings and transactions in these affiliated companies during the year ended October 31, 2020 are as follows: |
Affiliated issuers | Beginning of period($) | Purchases($) | Sales($) | Net change in unrealized appreciation (depreciation)($) | End of period($) | Realized gain (loss)($) | Dividends($) | End of period shares |
Columbia Short-Term Cash Fund, 0.128% | ||||||||
30,980,772 | 283,171,281 | (303,401,745) | — | 10,750,308 | 8,559 | 294,939 | 10,751,383 |
ADR | American Depositary Receipt |
10 | Columbia Seligman Global Technology Fund | Annual Report 2020 |
October 31, 2020
USD | US Dollar |
■ | Level 1 — Valuations based on quoted prices for investments in active markets that the Fund has the ability to access at the measurement date. Valuation adjustments are not applied to Level 1 investments. |
■ | Level 2 — Valuations based on other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risks, etc.). |
■ | Level 3 — Valuations based on significant unobservable inputs (including the Fund’s own assumptions and judgment in determining the fair value of investments). |
Level 1 ($) | Level 2 ($) | Level 3 ($) | Total ($) | |
Investments in Securities | ||||
Common Stocks | ||||
Brazil | 16,439,553 | — | — | 16,439,553 |
France | 1,401,972 | — | — | 1,401,972 |
Japan | — | 18,014,955 | — | 18,014,955 |
Netherlands | 25,943,040 | — | — | 25,943,040 |
Sweden | 7,463,618 | — | — | 7,463,618 |
Taiwan | — | 3,449,566 | — | 3,449,566 |
United Kingdom | 9,436,470 | — | — | 9,436,470 |
United States | 1,236,244,576 | — | — | 1,236,244,576 |
Total Common Stocks | 1,296,929,229 | 21,464,521 | — | 1,318,393,750 |
Money Market Funds | 10,750,308 | — | — | 10,750,308 |
Total Investments in Securities | 1,307,679,537 | 21,464,521 | — | 1,329,144,058 |
Columbia Seligman Global Technology Fund | Annual Report 2020 | 11 |
October 31, 2020
Level 1 ($) | Level 2 ($) | Level 3 ($) | Total ($) | |
Investments in Derivatives | ||||
Liability | ||||
Options Contracts Written | (366,678) | — | — | (366,678) |
Total | 1,307,312,859 | 21,464,521 | — | 1,328,777,380 |
12 | Columbia Seligman Global Technology Fund | Annual Report 2020 |
October 31, 2020
Assets | |
Investments in securities, at value | |
Unaffiliated issuers (cost $774,054,675) | $1,318,393,750 |
Affiliated issuers (cost $10,750,308) | 10,750,308 |
Cash | 5,574 |
Cash collateral held at broker for: | |
Options contracts written | 1,000,000 |
Receivable for: | |
Investments sold | 9,840,287 |
Capital shares sold | 372,831 |
Dividends | 103,978 |
Foreign tax reclaims | 42,220 |
Prepaid expenses | 5,978 |
Total assets | 1,340,514,926 |
Liabilities | |
Option contracts written, at value (premiums received $566,762) | 366,678 |
Payable for: | |
Investments purchased | 13,402,483 |
Capital shares purchased | 1,366,889 |
Management services fees | 33,576 |
Distribution and/or service fees | 9,356 |
Transfer agent fees | 143,878 |
Compensation of board members | 63,396 |
Other expenses | 48,645 |
Total liabilities | 15,434,901 |
Net assets applicable to outstanding capital stock | $1,325,080,025 |
Represented by | |
Paid in capital | 631,566,826 |
Total distributable earnings (loss) | 693,513,199 |
Total - representing net assets applicable to outstanding capital stock | $1,325,080,025 |
Columbia Seligman Global Technology Fund | Annual Report 2020 | 13 |
October 31, 2020
Class A | |
Net assets | $866,318,365 |
Shares outstanding | 17,192,542 |
Net asset value per share | $50.39 |
Maximum sales charge | 5.75% |
Maximum offering price per share (calculated by dividing the net asset value per share by 1.0 minus the maximum sales charge for Class A shares) | $53.46 |
Advisor Class | |
Net assets | $31,695,168 |
Shares outstanding | 602,560 |
Net asset value per share | $52.60 |
Class C | |
Net assets | $72,301,594 |
Shares outstanding | 1,996,224 |
Net asset value per share | $36.22 |
Institutional Class | |
Net assets | $221,018,476 |
Shares outstanding | 4,281,951 |
Net asset value per share | $51.62 |
Institutional 2 Class | |
Net assets | $30,500,056 |
Shares outstanding | 586,976 |
Net asset value per share | $51.96 |
Institutional 3 Class | |
Net assets | $8,379,559 |
Shares outstanding | 162,373 |
Net asset value per share | $51.61 |
Class R | |
Net assets | $94,866,807 |
Shares outstanding | 1,974,113 |
Net asset value per share | $48.06 |
14 | Columbia Seligman Global Technology Fund | Annual Report 2020 |
Year Ended October 31, 2020
Net investment income | |
Income: | |
Dividends — unaffiliated issuers | $20,690,886 |
Dividends — affiliated issuers | 294,939 |
Interfund lending | 361 |
Foreign taxes withheld | (100,844) |
Total income | 20,885,342 |
Expenses: | |
Management services fees | 11,495,912 |
Distribution and/or service fees | |
Class A | 2,076,494 |
Class C | 717,279 |
Class R | 414,090 |
Transfer agent fees | |
Class A | 964,775 |
Advisor Class | 33,503 |
Class C | 83,364 |
Institutional Class | 246,510 |
Institutional 2 Class | 18,524 |
Institutional 3 Class | 443 |
Class R | 96,165 |
Compensation of board members | 31,138 |
Custodian fees | 26,282 |
Printing and postage fees | 79,427 |
Registration fees | 128,707 |
Audit fees | 31,764 |
Legal fees | 20,589 |
Line of credit interest | 1,598 |
Interest on interfund lending | 974 |
Compensation of chief compliance officer | 268 |
Other | 45,193 |
Total expenses | 16,512,999 |
Expense reduction | (1,420) |
Total net expenses | 16,511,579 |
Net investment income | 4,373,763 |
Realized and unrealized gain (loss) — net | |
Net realized gain (loss) on: | |
Investments — unaffiliated issuers | 150,587,210 |
Investments — affiliated issuers | 8,559 |
Foreign currency translations | (74,849) |
Options contracts written | (2,407,442) |
Net realized gain | 148,113,478 |
Net change in unrealized appreciation (depreciation) on: | |
Investments — unaffiliated issuers | 120,799,942 |
Foreign currency translations | 2,894 |
Options contracts written | (248,160) |
Net change in unrealized appreciation (depreciation) | 120,554,676 |
Net realized and unrealized gain | 268,668,154 |
Net increase in net assets resulting from operations | $273,041,917 |
Columbia Seligman Global Technology Fund | Annual Report 2020 | 15 |
Year Ended October 31, 2020 | Year Ended October 31, 2019 | |
Operations | ||
Net investment income (loss) | $4,373,763 | $(1,883,790) |
Net realized gain | 148,113,478 | 124,662,533 |
Net change in unrealized appreciation (depreciation) | 120,554,676 | 161,175,740 |
Net increase in net assets resulting from operations | 273,041,917 | 283,954,483 |
Distributions to shareholders | ||
Net investment income and net realized gains | ||
Class A | (81,704,120) | (72,889,935) |
Advisor Class | (2,783,843) | (2,082,330) |
Class C | (9,007,829) | (8,584,086) |
Institutional Class | (20,864,004) | (20,328,208) |
Institutional 2 Class | (3,007,246) | (2,274,625) |
Institutional 3 Class | (311,545) | (209,449) |
Class R | (7,076,855) | (4,602,603) |
Total distributions to shareholders | (124,755,442) | (110,971,236) |
Decrease in net assets from capital stock activity | (27,052,685) | (38,337,509) |
Total increase in net assets | 121,233,790 | 134,645,738 |
Net assets at beginning of year | 1,203,846,235 | 1,069,200,497 |
Net assets at end of year | $1,325,080,025 | $1,203,846,235 |
16 | Columbia Seligman Global Technology Fund | Annual Report 2020 |
Year Ended | Year Ended | |||
October 31, 2020 | October 31, 2019 | |||
Shares | Dollars ($) | Shares | Dollars ($) | |
Capital stock activity | ||||
Class A | ||||
Subscriptions | 1,414,409 | 62,783,565 | 1,474,540 | 58,504,140 |
Distributions reinvested | 1,814,017 | 76,206,868 | 2,045,019 | 67,608,340 |
Redemptions | (3,975,677) | (172,565,476) | (3,820,374) | (146,879,611) |
Net decrease | (747,251) | (33,575,043) | (300,815) | (20,767,131) |
Advisor Class | ||||
Subscriptions | 222,072 | 10,621,587 | 214,290 | 8,758,069 |
Distributions reinvested | 49,108 | 2,148,488 | 46,392 | 1,590,331 |
Redemptions | (258,599) | (11,810,503) | (220,427) | (8,723,496) |
Net increase | 12,581 | 959,572 | 40,255 | 1,624,904 |
Class C | ||||
Subscriptions | 273,946 | 8,650,735 | 294,132 | 8,035,959 |
Distributions reinvested | 276,499 | 8,405,555 | 318,364 | 7,895,423 |
Redemptions | (680,733) | (21,676,832) | (807,380) | (22,783,929) |
Net decrease | (130,288) | (4,620,542) | (194,884) | (6,852,547) |
Institutional Class | ||||
Subscriptions | 1,162,722 | 53,589,147 | 902,894 | 36,130,166 |
Distributions reinvested | 475,883 | 20,434,405 | 591,260 | 19,925,462 |
Redemptions | (1,833,216) | (81,865,164) | (2,334,198) | (88,074,299) |
Net decrease | (194,611) | (7,841,612) | (840,044) | (32,018,671) |
Institutional 2 Class | ||||
Subscriptions | 276,881 | 12,751,006 | 319,320 | 13,386,557 |
Distributions reinvested | 65,876 | 2,845,820 | 63,058 | 2,136,404 |
Redemptions | (431,079) | (20,713,864) | (277,562) | (10,746,677) |
Net increase (decrease) | (88,322) | (5,117,038) | 104,816 | 4,776,284 |
Institutional 3 Class | ||||
Subscriptions | 111,232 | 5,551,294 | 41,742 | 1,698,140 |
Distributions reinvested | 7,256 | 311,216 | 6,214 | 209,156 |
Redemptions | (25,364) | (1,143,331) | (19,304) | (776,845) |
Net increase | 93,124 | 4,719,179 | 28,652 | 1,130,451 |
Class R | ||||
Subscriptions | 868,200 | 37,185,985 | 450,861 | 17,118,794 |
Distributions reinvested | 174,176 | 6,993,177 | 141,018 | 4,477,318 |
Redemptions | (606,738) | (25,756,363) | (207,443) | (7,826,911) |
Net increase | 435,638 | 18,422,799 | 384,436 | 13,769,201 |
Total net decrease | (619,129) | (27,052,685) | (777,584) | (38,337,509) |
Columbia Seligman Global Technology Fund | Annual Report 2020 | 17 |
Net asset value, beginning of period | Net investment income (loss) | Net realized and unrealized gain (loss) | Total from investment operations | Distributions from net realized gains | Total distributions to shareholders | |
Class A | ||||||
Year Ended 10/31/2020 | $44.67 | 0.16 | 10.14 | 10.30 | (4.58) | (4.58) |
Year Ended 10/31/2019 | $38.52 | (0.07) | 10.28 | 10.21 | (4.06) | (4.06) |
Year Ended 10/31/2018 | $43.04 | (0.14) | (1.53) | (1.67) | (2.85) | (2.85) |
Year Ended 10/31/2017 | $32.85 | (0.17) | 12.91 | 12.74 | (2.55) | (2.55) |
Year Ended 10/31/2016 | $30.77 | (0.15) | 4.58 | 4.43 | (2.35) | (2.35) |
Advisor Class | ||||||
Year Ended 10/31/2020 | $46.42 | 0.29 | 10.56 | 10.85 | (4.67) | (4.67) |
Year Ended 10/31/2019 | $39.89 | 0.03 | 10.67 | 10.70 | (4.17) | (4.17) |
Year Ended 10/31/2018 | $44.45 | (0.04) | (1.58) | (1.62) | (2.94) | (2.94) |
Year Ended 10/31/2017 | $33.84 | (0.09) | 13.32 | 13.23 | (2.62) | (2.62) |
Year Ended 10/31/2016 | $31.63 | (0.15) | 4.78 | 4.63 | (2.42) | (2.42) |
Class C | ||||||
Year Ended 10/31/2020 | $33.28 | (0.13) | 7.35 | 7.22 | (4.28) | (4.28) |
Year Ended 10/31/2019 | $29.66 | (0.27) | 7.65 | 7.38 | (3.76) | (3.76) |
Year Ended 10/31/2018 | $33.77 | (0.35) | (1.17) | (1.52) | (2.59) | (2.59) |
Year Ended 10/31/2017 | $26.27 | (0.35) | 10.18 | 9.83 | (2.33) | (2.33) |
Year Ended 10/31/2016 | $25.04 | (0.30) | 3.66 | 3.36 | (2.13) | (2.13) |
Institutional Class | ||||||
Year Ended 10/31/2020 | $45.64 | 0.29 | 10.36 | 10.65 | (4.67) | (4.67) |
Year Ended 10/31/2019 | $39.29 | 0.04 | 10.48 | 10.52 | (4.17) | (4.17) |
Year Ended 10/31/2018 | $43.82 | (0.04) | (1.55) | (1.59) | (2.94) | (2.94) |
Year Ended 10/31/2017 | $33.40 | (0.10) | 13.14 | 13.04 | (2.62) | (2.62) |
Year Ended 10/31/2016 | $31.24 | (0.08) | 4.66 | 4.58 | (2.42) | (2.42) |
18 | Columbia Seligman Global Technology Fund | Annual Report 2020 |
Net asset value, end of period | Total return | Total gross expense ratio to average net assets(a) | Total net expense ratio to average net assets(a),(b) | Net investment income (loss) ratio to average net assets | Portfolio turnover | Net assets, end of period (000’s) | |
Class A | |||||||
Year Ended 10/31/2020 | $50.39 | 25.09% | 1.31%(c),(d) | 1.31%(c),(d),(e) | 0.35% | 38% | $866,318 |
Year Ended 10/31/2019 | $44.67 | 30.23% | 1.32%(c),(d) | 1.32%(c),(d),(e) | (0.17%) | 43% | $801,352 |
Year Ended 10/31/2018 | $38.52 | (4.06%) | 1.32%(c) | 1.32%(c),(e) | (0.34%) | 42% | $702,652 |
Year Ended 10/31/2017 | $43.04 | 41.53% | 1.33% | 1.33%(e) | (0.47%) | 53% | $760,937 |
Year Ended 10/31/2016 | $32.85 | 15.54% | 1.40% | 1.40%(e) | (0.51%) | 55% | $525,860 |
Advisor Class | |||||||
Year Ended 10/31/2020 | $52.60 | 25.41% | 1.06%(c),(d) | 1.06%(c),(d),(e) | 0.62% | 38% | $31,695 |
Year Ended 10/31/2019 | $46.42 | 30.52% | 1.07%(c),(d) | 1.07%(c),(d),(e) | 0.07% | 43% | $27,389 |
Year Ended 10/31/2018 | $39.89 | (3.81%) | 1.07%(c) | 1.07%(c),(e) | (0.09%) | 42% | $21,927 |
Year Ended 10/31/2017 | $44.45 | 41.87% | 1.08% | 1.08%(e) | (0.24%) | 53% | $20,140 |
Year Ended 10/31/2016 | $33.84 | 15.81% | 1.15% | 1.15%(e) | (0.47%) | 55% | $4,915 |
Class C | |||||||
Year Ended 10/31/2020 | $36.22 | 24.17% | 2.06%(c),(d) | 2.06%(c),(d),(e) | (0.39%) | 38% | $72,302 |
Year Ended 10/31/2019 | $33.28 | 29.21% | 2.07%(c),(d) | 2.07%(c),(d),(e) | (0.91%) | 43% | $70,777 |
Year Ended 10/31/2018 | $29.66 | (4.78%) | 2.06%(c) | 2.06%(c),(e) | (1.09%) | 42% | $68,853 |
Year Ended 10/31/2017 | $33.77 | 40.49% | 2.08% | 2.08%(e) | (1.22%) | 53% | $141,591 |
Year Ended 10/31/2016 | $26.27 | 14.63% | 2.15% | 2.15%(e) | (1.26%) | 55% | $101,739 |
Institutional Class | |||||||
Year Ended 10/31/2020 | $51.62 | 25.41% | 1.06%(c),(d) | 1.06%(c),(d),(e) | 0.62% | 38% | $221,018 |
Year Ended 10/31/2019 | $45.64 | 30.53% | 1.07%(c),(d) | 1.07%(c),(d),(e) | 0.09% | 43% | $204,305 |
Year Ended 10/31/2018 | $39.29 | (3.79%) | 1.07%(c) | 1.07%(c),(e) | (0.09%) | 42% | $208,865 |
Year Ended 10/31/2017 | $43.82 | 41.85% | 1.08% | 1.08%(e) | (0.26%) | 53% | $234,123 |
Year Ended 10/31/2016 | $33.40 | 15.85% | 1.15% | 1.15%(e) | (0.25%) | 55% | $47,809 |
Columbia Seligman Global Technology Fund | Annual Report 2020 | 19 |
Net asset value, beginning of period | Net investment income (loss) | Net realized and unrealized gain (loss) | Total from investment operations | Distributions from net realized gains | Total distributions to shareholders | |
Institutional 2 Class | ||||||
Year Ended 10/31/2020 | $45.91 | 0.28 | 10.47 | 10.75 | (4.70) | (4.70) |
Year Ended 10/31/2019 | $39.49 | 0.06 | 10.55 | 10.61 | (4.19) | (4.19) |
Year Ended 10/31/2018 | $44.04 | (0.02) | (1.57) | (1.59) | (2.96) | (2.96) |
Year Ended 10/31/2017 | $33.57 | (0.08) | 13.21 | 13.13 | (2.66) | (2.66) |
Year Ended 10/31/2016 | $31.40 | (0.07) | 4.71 | 4.64 | (2.47) | (2.47) |
Institutional 3 Class | ||||||
Year Ended 10/31/2020 | $45.63 | 0.24 | 10.45 | 10.69 | (4.71) | (4.71) |
Year Ended 10/31/2019 | $39.28 | 0.07 | 10.49 | 10.56 | (4.21) | (4.21) |
Year Ended 10/31/2018 | $43.81 | 0.01 | (1.56) | (1.55) | (2.98) | (2.98) |
Year Ended 10/31/2017(f) | $35.81 | (0.06) | 8.06 | 8.00 | — | — |
Class R | ||||||
Year Ended 10/31/2020 | $42.81 | 0.02 | 9.71 | 9.73 | (4.48) | (4.48) |
Year Ended 10/31/2019 | $37.07 | (0.16) | 9.86 | 9.70 | (3.96) | (3.96) |
Year Ended 10/31/2018 | $41.53 | (0.23) | (1.47) | (1.70) | (2.76) | (2.76) |
Year Ended 10/31/2017 | $31.79 | (0.26) | 12.48 | 12.22 | (2.48) | (2.48) |
Year Ended 10/31/2016 | $29.85 | (0.22) | 4.44 | 4.22 | (2.28) | (2.28) |
Notes to Financial Highlights | |
(a) | In addition to the fees and expenses that the Fund bears directly, the Fund indirectly bears a pro rata share of the fees and expenses of any other funds in which it invests. Such indirect expenses are not included in the Fund’s reported expense ratios. |
(b) | Total net expenses include the impact of certain fee waivers/expense reimbursements made by the Investment Manager and certain of its affiliates, if applicable. |
(c) | Ratios include interfund lending expense which is less than 0.01%. |
(d) | Ratios include line of credit interest expense which is less than 0.01%. |
(e) | The benefits derived from expense reductions had an impact of less than 0.01%. |
(f) | Institutional 3 Class shares commenced operations on March 1, 2017. Per share data and total return reflect activity from that date. |
(g) | Annualized. |
20 | Columbia Seligman Global Technology Fund | Annual Report 2020 |
Net asset value, end of period | Total return | Total gross expense ratio to average net assets(a) | Total net expense ratio to average net assets(a),(b) | Net investment income (loss) ratio to average net assets | Portfolio turnover | Net assets, end of period (000’s) | |
Institutional 2 Class | |||||||
Year Ended 10/31/2020 | $51.96 | 25.49% | 1.00%(c),(d) | 1.00%(c),(d) | 0.60% | 38% | $30,500 |
Year Ended 10/31/2019 | $45.91 | 30.63% | 1.00%(c),(d) | 1.00%(c),(d) | 0.14% | 43% | $31,006 |
Year Ended 10/31/2018 | $39.49 | (3.77%) | 1.02%(c) | 1.02%(c) | (0.04%) | 42% | $22,531 |
Year Ended 10/31/2017 | $44.04 | 41.95% | 1.02% | 1.02% | (0.20%) | 53% | $16,310 |
Year Ended 10/31/2016 | $33.57 | 15.97% | 1.02% | 1.02% | (0.23%) | 55% | $2,735 |
Institutional 3 Class | |||||||
Year Ended 10/31/2020 | $51.61 | 25.54% | 0.96%(c),(d) | 0.96%(c),(d) | 0.50% | 38% | $8,380 |
Year Ended 10/31/2019 | $45.63 | 30.69% | 0.96%(c),(d) | 0.96%(c),(d) | 0.17% | 43% | $3,160 |
Year Ended 10/31/2018 | $39.28 | (3.71%) | 0.97%(c) | 0.97%(c) | 0.03% | 42% | $1,595 |
Year Ended 10/31/2017(f) | $43.81 | 22.34% | 0.98%(g) | 0.98%(g) | (0.38%)(g) | 53% | $130 |
Class R | |||||||
Year Ended 10/31/2020 | $48.06 | 24.79% | 1.56%(c),(d) | 1.56%(c),(d),(e) | 0.05% | 38% | $94,867 |
Year Ended 10/31/2019 | $42.81 | 29.89% | 1.57%(c),(d) | 1.57%(c),(d),(e) | (0.43%) | 43% | $65,858 |
Year Ended 10/31/2018 | $37.07 | (4.29%) | 1.57%(c) | 1.57%(c),(e) | (0.58%) | 42% | $42,778 |
Year Ended 10/31/2017 | $41.53 | 41.16% | 1.58% | 1.58%(e) | (0.74%) | 53% | $24,728 |
Year Ended 10/31/2016 | $31.79 | 15.25% | 1.65% | 1.65%(e) | (0.75%) | 55% | $9,878 |
Columbia Seligman Global Technology Fund | Annual Report 2020 | 21 |
October 31, 2020
22 | Columbia Seligman Global Technology Fund | Annual Report 2020 |
October 31, 2020
Columbia Seligman Global Technology Fund | Annual Report 2020 | 23 |
October 31, 2020
24 | Columbia Seligman Global Technology Fund | Annual Report 2020 |
October 31, 2020
Liability derivatives | ||
Risk exposure category | Statement of assets and liabilities location | Fair value ($) |
Equity risk | Options contracts written, at value | 366,678 |
Amount of realized gain (loss) on derivatives recognized in income | |
Risk exposure category | Options contracts written ($) |
Equity risk | (2,407,442) |
Change in unrealized appreciation (depreciation) on derivatives recognized in income | |
Risk exposure category | Options contracts written ($) |
Equity risk | (248,160) |
Derivative instrument | Average value ($)* |
Options contracts — written | (1,377,371) |
* | Based on the ending quarterly outstanding amounts for the year ended October 31, 2020. |
Columbia Seligman Global Technology Fund | Annual Report 2020 | 25 |
October 31, 2020
Morgan Stanley ($) | |
Liabilities | |
Options contracts written | 366,678 |
Total financial and derivative net assets | (366,678) |
Total collateral received (pledged) (a) | (366,678) |
Net amount (b) | - |
(a) | In some instances, the actual collateral received and/or pledged may be more than the amount shown due to overcollateralization. |
(b) | Represents the net amount due from/(to) counterparties in the event of default. |
26 | Columbia Seligman Global Technology Fund | Annual Report 2020 |
October 31, 2020
Columbia Seligman Global Technology Fund | Annual Report 2020 | 27 |
October 31, 2020
Effective rate (%) | |
Class A | 0.12 |
Advisor Class | 0.12 |
Class C | 0.12 |
Institutional Class | 0.12 |
Institutional 2 Class | 0.06 |
Institutional 3 Class | 0.01 |
Class R | 0.12 |
Front End (%) | CDSC (%) | Amount ($) | |
Class A | 5.75 | 0.50 - 1.00(a) | 474,396 |
Class C | — | 1.00(b) | 4,433 |
(a) | This charge is imposed on certain investments of between $1 million and $50 million redeemed within 18 months after purchase, as follows: 1.00% if redeemed within 12 months after purchase, and 0.50% if redeemed more than 12, but less than 18, months after purchase, with certain limited exceptions. |
(b) | This charge applies to redemptions within 12 months after purchase, with certain limited exceptions. |
28 | Columbia Seligman Global Technology Fund | Annual Report 2020 |
October 31, 2020
March 1, 2020 through February 28, 2021 | Prior to March 1, 2020 | |
Class A | 1.33% | 1.37% |
Advisor Class | 1.08 | 1.12 |
Class C | 2.08 | 2.12 |
Institutional Class | 1.08 | 1.12 |
Institutional 2 Class | 1.02 | 1.05 |
Institutional 3 Class | 0.97 | 1.00 |
Class R | 1.58 | 1.62 |
Undistributed net investment income ($) | Accumulated net realized gain ($) | Paid in capital ($) |
(74,848) | 74,848 | — |
Columbia Seligman Global Technology Fund | Annual Report 2020 | 29 |
October 31, 2020
Year Ended October 31, 2020 | Year Ended October 31, 2019 | ||||
Ordinary income ($) | Long-term capital gains ($) | Total ($) | Ordinary income ($) | Long-term capital gains ($) | Total ($) |
8,030,431 | 116,725,011 | 124,755,442 | 13,898,150 | 97,073,086 | 110,971,236 |
Undistributed ordinary income ($) | Undistributed long-term capital gains ($) | Capital loss carryforwards ($) | Net unrealized appreciation ($) |
24,146,719 | 130,457,051 | — | 538,969,313 |
Federal tax cost ($) | Gross unrealized appreciation ($) | Gross unrealized (depreciation) ($) | Net unrealized appreciation ($) |
789,808,067 | 600,793,295 | (61,823,982) | 538,969,313 |
30 | Columbia Seligman Global Technology Fund | Annual Report 2020 |
October 31, 2020
Borrower or lender | Average loan balance ($) | Weighted average interest rate (%) | Number of days with outstanding loans |
Borrower | 2,420,000 | 1.02 | 15 |
Lender | 2,000,000 | 2.16 | 3 |
Average loan balance ($) | Weighted average interest rate (%) | Days outstanding |
4,357,143 | 1.86 | 7 |
Columbia Seligman Global Technology Fund | Annual Report 2020 | 31 |
October 31, 2020
32 | Columbia Seligman Global Technology Fund | Annual Report 2020 |
October 31, 2020
Columbia Seligman Global Technology Fund | Annual Report 2020 | 33 |
34 | Columbia Seligman Global Technology Fund | Annual Report 2020 |
Qualified dividend income | Dividends received deduction | Capital gain dividend |
99.47% | 99.36% | $137,084,954 |
Name, address, year of birth | Position held with the Trust and length of service | Principal occupation(s) during past five years and other relevant professional experience | Number of Funds in the Columbia Funds Complex overseen | Other directorships held by Trustee during the past five years |
George S. Batejan c/o Columbia Management Investment Advisers, LLC 225 Franklin Street Mail Drop BX32 05228 Boston, MA 02110 1953 | Trustee since 1/17 | Executive Vice President, Global Head of Technology and Operations, Janus Capital Group, Inc., 2010-2016 | 110 | Former Chairman of the Board, NICSA (National Investment Company Services Association) (Executive Committee, Nominating Committee and Governance Committee), 2014-2016; former Director, Intech Investment Management, 2011-2016; former Board Member, Metro Denver Chamber of Commerce, 2015-2016; former Advisory Board Member, University of Colorado Business School, 2015-2018 |
Columbia Seligman Global Technology Fund | Annual Report 2020 | 35 |
Independent trustees (continued)
Name, address, year of birth | Position held with the Trust and length of service | Principal occupation(s) during past five years and other relevant professional experience | Number of Funds in the Columbia Funds Complex overseen | Other directorships held by Trustee during the past five years |
Kathleen Blatz c/o Columbia Management Investment Advisers, LLC 225 Franklin Street Mail Drop BX32 05228 Boston, MA 02110 1954 | Trustee since 1/06 for RiverSource Funds and since 6/11 for Nations Funds | Attorney; specializing in arbitration and mediation; Chief Justice, Minnesota Supreme Court, 1998-2006; Associate Justice, Minnesota Supreme Court, 1996-1998; Fourth Judicial District Court Judge, Hennepin County, 1994-1996; Attorney in private practice and public service, 1984-1993; State Representative, Minnesota House of Representatives, 1979-1993, which included service on the Tax and Financial Institutions and Insurance Committees; Member and Interim Chair, Minnesota Sports Facilities Authority, January 2017-July 2017; Interim President and Chief Executive Officer, Blue Cross and Blue Shield of Minnesota (health care insurance), February-July 2018 | 110 | Trustee, BlueCross BlueShield of Minnesota since 2009 (Chair of the Business Development Committee - 2014-2017; Chair of the Governance Committee, 2017-2020); Chair of the Robina Foundation since August 2013; former Member and Chair of the Board, Minnesota Sports Facilities Authority, January 2017-July 2017 |
Pamela G. Carlton c/o Columbia Management Investment Advisers, LLC 225 Franklin Street Mail Drop BX32 05228 Boston, MA 02110 1954 | Trustee since 7/07 for RiverSource Funds and since 6/11 for Nations Funds | President, Springboard — Partners in Cross Cultural Leadership (consulting company) since 2003; Managing Director of US Equity Research, JP Morgan Chase, 1999-2003; Director of US Equity Research, Chase Asset Management, 1996-1999; Co-Director Latin America Research, 1993-1996, COO Global Research, 1992-1996, Co-Director of US Research, 1991-1992, Investment Banker, Morgan Stanley, 1982-1991 | 110 | Trustee, New York Presbyterian Hospital Board (Executive Committee and Chair of Human Resources Committee) since 1996; Director, DR Bank (Audit Committee) since 2017; Director, Evercore Inc. (Audit Committee, Nominating and Governance Committee) since 2019 |
Patricia M. Flynn c/o Columbia Management Investment Advisers, LLC 225 Franklin Street Mail Drop BX32 05228 Boston, MA 02110 1950 | Trustee since 11/04 for RiverSource Funds and since 6/11 for Nations Funds | Trustee Professor of Economics and Management, Bentley University since 1976 (also teaches and conducts research on corporate governance); Dean, McCallum Graduate School of Business, Bentley University, 1992-2002 | 110 | Trustee, MA Taxpayers Foundation since 1997; Board of Governors, Innovation Institute, MA Technology Collaborative since 2010; Board of Directors, The MA Business Roundtable 2003-2019 |
Brian J. Gallagher c/o Columbia Management Investment Advisers, LLC 225 Franklin Street Mail Drop BX32 05228 Boston, MA 02110 1954 | Trustee since 12/17 | Retired; Partner with Deloitte & Touche LLP and its predecessors, 1977-2016 | 110 | Trustee, Catholic Schools Foundation since 2004 |
Catherine James Paglia c/o Columbia Management Investment Advisers, LLC 225 Franklin Street Mail Drop BX32 05228 Boston, MA 02110 1952 | Chair of the Board since 1/20; Trustee since 11/04 for RiverSource Funds and since 6/11 for Nations Funds | Director, Enterprise Asset Management, Inc. (private real estate and asset management company) since September 1998; Managing Director and Partner, Interlaken Capital, Inc., 1989-1997; Managing Director, Morgan Stanley, 1982-1989; Vice President, Investment Banking, 1980-1982, Associate, Investment Banking, 1976-1980, Dean Witter Reynolds, Inc. | 110 | Director, Valmont Industries, Inc. (irrigation systems manufacturer) since 2012; Trustee, Carleton College (on the Investment Committee); Trustee, Carnegie Endowment for International Peace (on the Investment Committee) |
36 | Columbia Seligman Global Technology Fund | Annual Report 2020 |
Independent trustees (continued)
Name, address, year of birth | Position held with the Trust and length of service | Principal occupation(s) during past five years and other relevant professional experience | Number of Funds in the Columbia Funds Complex overseen | Other directorships held by Trustee during the past five years |
Anthony M. Santomero c/o Columbia Management Investment Advisers, LLC 225 Franklin Street Mail Drop BX32 05228 Boston, MA 02110 1946 | Trustee since 6/11 for RiverSource Funds and since 1/08 for Nations Funds | Richard K. Mellon Professor Emeritus of Finance, The Wharton School, University of Pennsylvania, since 2002; Senior Advisor, McKinsey & Company (consulting), 2006-2008; President, Federal Reserve Bank of Philadelphia, 2000- 2006; Professor of Finance, The Wharton School, University of Pennsylvania, 1972-2002 | 110 | Trustee, Penn Mutual Life Insurance Company since March 2008; Director, RenaissanceRe Holdings Ltd. since May 2008; former Director, Citigroup Inc. and Citibank, N.A., 2009-2019; former Trustee, BofA Funds Series Trust (11 funds), 2008-2011 |
Minor M. Shaw c/o Columbia Management Investment Advisers, LLC 225 Franklin Street Mail Drop BX32 05228 Boston, MA 02110 1947 | Trustee since 6/11 for RiverSource Funds and since 2003 for Nations Funds | President, Micco LLC (private investments) since 2011; President, Micco Corp. (family investment business), 1998-2011 | 110 | Director, BlueCross BlueShield of South Carolina since April 2008; Trustee, Hollingsworth Funds since 2016 (previously Board Chair from 2016-2019); Advisory Board member, Duke Energy Corp. since October 2016; Chair of the Duke Endowment; Chair of Greenville – Spartanburg Airport Commission; former Trustee, BofA Funds Series Trust (11 funds), 2003-2011; former Director, Piedmont Natural Gas, 2004-2016; former Director, National Association of Corporate Directors, Carolinas Chapter, 2013-2018 |
Sandra Yeager c/o Columbia Management Investment Advisers, LLC 225 Franklin Street Mail Drop BX32 05228 Boston, MA 02110 1964 | Trustee since 12/17 | Retired; President and founder, Hanoverian Capital, LLC (SEC registered investment advisor firm), 2008-2016; Managing Director, DuPont Capital, 2006-2008; Managing Director, Morgan Stanley Investment Management, 2004-2006; Senior Vice President, Alliance Bernstein, 1990-2004 | 110 | Director, NAPE Education Foundation since October 2016 |
Columbia Seligman Global Technology Fund | Annual Report 2020 | 37 |
Interested trustee affiliated with Investment Manager*
Name, address, year of birth | Position held with the Trust and length of service | Principal occupation(s) during the past five years and other relevant professional experience | Number of Funds in the Columbia Funds Complex overseen | Other directorships held by Trustee during the past five years |
William F. Truscott c/o Columbia Management Investment Advisers, LLC 225 Franklin St. Boston, MA 02110 1960 | Trustee since 11/01 for RiverSource Funds and since 6/11 for Nations Funds; Senior Vice President since 2002 for RiverSource Funds and since 5/10 for Nations Funds | Chief Executive Officer, Global Asset Management, Ameriprise Financial, Inc. since September 2012; Chairman of the Board and President, Columbia Management Investment Advisers, LLC since July 2004 and February 2012, respectively; Chairman of the Board and Chief Executive Officer, Columbia Management Investment Distributors, Inc. since November 2008 and February 2012, respectively; Chairman of the Board and Director, Threadneedle Asset Management Holdings, Sàrl since March 2013 and December 2008, respectively; senior executive of various entities affiliated with Columbia Threadneedle | 162 | Trustee, Columbia Funds since November 2001 |
* | Interested person (as defined under the 1940 Act) by reason of being an officer, director, security holder and/or employee of the Investment Manager or Ameriprise Financial. |
Name, address and year of birth | Position and year first appointed to position for any Fund in the Columbia Funds Complex or a predecessor thereof | Principal occupation(s) during past five years |
Christopher O. Petersen 5228 Ameriprise Financial Center Minneapolis, MN 55474 Born 1970 | President and Principal Executive Officer (2015) | Vice President and Lead Chief Counsel, Ameriprise Financial, Inc. since January 2015 (previously Vice President and Chief Counsel, January 2010 - December 2014); officer of Columbia Funds and affiliated funds since 2007. |
Michael G. Clarke 225 Franklin Street Boston, MA 02110 Born 1969 | Chief Financial Officer, Principal Financial Officer (2009), and Senior Vice President (2019) | Vice President, Head of North American Operations, and Co-Head of Global Operations, – Accounting and Tax, Columbia Management Investment Advisers, LLC, since June 2019 (previously Vice President – Accounting and Tax, May 2010 – May 2019); senior officer of Columbia Funds and affiliated funds since 2002 (previously, Treasurer and Chief Accounting Officer, January 2009 – January 2019 and December 2015 – January 2019, respectively). |
Joseph Beranek 5890 Ameriprise Financial Center Minneapolis, MN 55474 Born 1965 | Treasurer, Chief Accounting Officer (Principal Accounting Officer) (2019), and Principal Financial Officer (2020) | Vice President – Mutual Fund Accounting and Financial Reporting, Columbia Management Investment Advisers, LLC, since December 2018 and March 2017, respectively (previously Vice President – Pricing and Corporate Actions, May 2010 - March 2017). |
38 | Columbia Seligman Global Technology Fund | Annual Report 2020 |
Fund officers (continued)
Name, address and year of birth | Position and year first appointed to position for any Fund in the Columbia Funds Complex or a predecessor thereof | Principal occupation(s) during past five years |
Paul B. Goucher 485 Lexington Avenue New York, NY 10017 Born 1968 | Senior Vice President (2011) and Assistant Secretary (2008) | Senior Vice President and Assistant General Counsel, Ameriprise Financial, Inc. since January 2017 (previously Vice President and Lead Chief Counsel, November 2008 - January 2017 and January 2013 - January 2017, respectively); Vice President, Chief Legal Officer and Assistant Secretary, Columbia Management Investment Advisers, LLC since March 2015 (previously Vice President and Assistant Secretary, May 2010 – March 2015). |
Thomas P. McGuire 225 Franklin Street Boston, MA 02110 Born 1972 | Senior Vice President and Chief Compliance Officer (2012) | Vice President – Asset Management Compliance, Ameriprise Financial, Inc., since May 2010; Chief Compliance Officer, Ameriprise Certificate Company since September 2010; Chief Compliance Officer, Columbia Acorn/Wanger Funds since December 2015. |
Colin Moore 225 Franklin Street Boston, MA 02110 Born 1958 | Senior Vice President (2010) | Executive Vice President and Global Chief Investment Officer, Ameriprise Financial, Inc., since July 2013; Executive Vice President and Global Chief Investment Officer, Columbia Management Investment Advisers, LLC since July 2013. |
Ryan C. Larrenaga 225 Franklin Street Boston, MA 02110 Born 1970 | Senior Vice President (2017), Chief Legal Officer (2017), and Secretary (2015) | Vice President and Chief Counsel, Ameriprise Financial, Inc. since August 2018 (previously Vice President and Group Counsel, August 2011 - August 2018); Chief Legal Officer, Columbia Acorn/Wanger Funds, since September 2020; officer of Columbia Funds and affiliated funds since 2005. |
Daniel J. Beckman 225 Franklin Street Boston, MA 02110 Born 1962 | Senior Vice President (2020) | Vice President – Head of North America Product, Columbia Management Investment Advisers, LLC (since April 2015); previously, Senior Vice President of Investment Product Management, Fidelity Financial Advisor Solutions, a division of Fidelity Investments (January 2012 – March 2015). |
Michael E. DeFao 225 Franklin Street Boston, MA 02110 Born 1968 | Vice President (2011) and Assistant Secretary (2010) | Vice President and Chief Counsel, Ameriprise Financial, Inc. since May 2010. |
Lyn Kephart-Strong 5228 Ameriprise Financial Center Minneapolis, MN 55474 Born 1960 | Vice President (2015) | President, Columbia Management Investment Services Corp. since October 2014; Vice President & Resolution Officer, Ameriprise Trust Company since August 2009. |
Columbia Seligman Global Technology Fund | Annual Report 2020 | 39 |
i.e., Independent Legal Counsel, Fund Counsel, the Chair of the Board (who is an Independent Trustee) and the Chair of the Contracts Committee (who is an Independent Trustee), and the final materials were revised to include information reflective of discussion and subsequent requests made by the Contracts Committee. In addition, throughout the year, the Board (or its committees) regularly meets with portfolio management teams and senior management personnel and reviews information prepared by Columbia Threadneedle addressing the services Columbia Threadneedle provides and Fund performance. The Board also accords appropriate weight to the work, deliberations and conclusions of the various committees, such as the Contracts Committee, the Investment Review Committee, the Audit Committee and the Compliance Committee in determining whether to continue the Management Agreement.
40 | Columbia Seligman Global Technology Fund | Annual Report 2020 |
inception): the performance of the Fund, the performance of a benchmark index, the percentage ranking of the Fund among its comparison group, the product score of the Fund (taking into account performance relative to peers and benchmarks) and the net assets of the Fund. The Board observed that the Fund’s investment performance met expectations.
Columbia Seligman Global Technology Fund | Annual Report 2020 | 41 |
columbiathreadneedleus.com/investor/. The Fund is distributed by Columbia Management Investment Distributors, Inc., member FINRA, and managed by Columbia Management Investment Advisers, LLC.
October 31, 2020
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8 | |
9 | |
12 | |
14 | |
15 | |
18 | |
22 | |
33 | |
34 | |
34 | |
38 |
Average annual total returns (%) (for the period ended October 31, 2020) | |||||
Inception | 1 Year | 5 Years | 10 Years | ||
Class A | Excluding sales charges | 05/29/90 | 19.16 | 13.87 | 10.71 |
Including sales charges | 12.35 | 12.52 | 10.06 | ||
Advisor Class* | 03/01/18 | 19.53 | 14.03 | 10.79 | |
Class C | Excluding sales charges | 06/26/00 | 18.33 | 13.00 | 9.88 |
Including sales charges | 17.33 | 13.00 | 9.88 | ||
Institutional Class | 09/27/10 | 19.54 | 14.15 | 10.98 | |
Institutional 2 Class | 12/11/06 | 19.64 | 14.26 | 11.13 | |
Institutional 3 Class* | 03/01/17 | 19.59 | 14.19 | 10.86 | |
Class R | 12/11/06 | 18.96 | 13.58 | 10.43 | |
MSCI ACWI (Net) | 4.89 | 8.11 | 7.90 |
* | The returns shown for periods prior to the share class inception date (including returns for the Life of the Fund, if shown, which are since Fund inception) include the returns of the Fund’s oldest share class. These returns are adjusted to reflect any higher class-related operating expenses of the newer share classes, as applicable. Please visit columbiathreadneedleus.com/investor/investment-products/mutual-funds/appended-performance for more information. |
Columbia Select Global Equity Fund | Annual Report 2020 | 3 |
Equity sector breakdown (%) (at October 31, 2020) | |
Communication Services | 13.0 |
Consumer Discretionary | 8.4 |
Consumer Staples | 2.0 |
Financials | 7.5 |
Health Care | 25.6 |
Industrials | 4.4 |
Information Technology | 37.9 |
Materials | 1.2 |
Total | 100.0 |
Country breakdown (%) (at October 31, 2020) | |
China | 2.0 |
Denmark | 3.2 |
France | 0.5 |
Germany | 1.0 |
Hong Kong | 2.1 |
India | 1.7 |
Japan | 7.3 |
Netherlands | 1.7 |
South Korea | 2.3 |
Sweden | 0.9 |
Switzerland | 3.0 |
Taiwan | 1.9 |
United Kingdom | 2.1 |
United States(a) | 70.3 |
Total | 100.0 |
(a) | Includes investments in Money Market Funds. |
4 | Columbia Select Global Equity Fund | Annual Report 2020 |
• | The Fund’s top three contributing sectors on a relative basis were technology, financials and the zero weight in energy. |
• | Within technology, the positive contribution was mainly due to the Fund’s overweight to the sector, relative to the benchmark, which performed strongly this year. |
• | Security selection in technology was also helpful, with holdings including Adobe, Microsoft and NVIDIA adding value. |
• | Within financials, security selection drove performance; the holding in S&P Global and the zero weight in Wells Fargo were among the main contributors. |
• | The zero weight in energy was also beneficial as the sector underperformed during the period, due to pandemic-related uncertainty around the demand for oil. |
• | Among individual holdings, Adobe and Microsoft benefited from the pandemic-driven increase in demand for cloud computing. |
• | Adobe shifted its experience-management product to the cloud earlier this year. The company boasts a strong foothold in the creative-content industry, owing to its early move into the space and the success of its acquisitions. |
Columbia Select Global Equity Fund | Annual Report 2020 | 5 |
• | Meanwhile, we believe Microsoft’s platform should ensure that it remains a long-term beneficiary of next generation business migration into cloud computing. Microsoft also boasts large distribution channels and an installed customer base which serve as durable competitive edges. |
• | Computer hardware company NVIDIA also added value. Given its exposure to the gaming industry, NVIDIA has profited from the increase in player engagement while people were "nest dwelling" in lockdown. We remain positive on NVIDIA’s prospects owing to its strong exposure to semiconductor growth, and the company’s competitive edges within gaming, cryptocurrencies and artificial intelligence. |
• | Within financials, S&P Global benefited from the increased activity on its trading platform as a result of the heightened market volatility this year. We favor S&P Global for its solid pricing power, robust balance sheet, global presence, robust fundamentals and diversified sources of revenue. These factors support the company’s competitive advantage and create high barriers to entry, making it hard for others to compete. |
• | Materials was the only sector to detract from relative returns over the period and did so only marginally. |
• | The Fund’s zero weight in Apple was the main detractor. Shares outperformed amid the aforementioned shift towards online services and cloud computing. The Fund does not own Apple due to our belief that market saturation could limit future pricing increases and growth, and we do not feel that these concerns are reflected in the current valuation. |
• | India’s HDFC Bank underperformed, as investors accounted for the negative impacts of the COVID-19 outbreak on retail-focused lenders, such as a moderation in loan and fee income growth. We closed the Fund’s position during the period. |
• | Boston Scientific also lagged, due to weaker than expected results in early 2020 and later, concerns that COVID-19 hospitalizations could derail elective surgical procedures. We believe that the company is well placed over the long term, thanks to its meaningful pipeline and differentiated product range, which provide further opportunity for margin improvement and exposure to secular growth. |
6 | Columbia Select Global Equity Fund | Annual Report 2020 |
Columbia Select Global Equity Fund | Annual Report 2020 | 7 |
(Unaudited)
May 1, 2020 — October 31, 2020 | |||||||
Account value at the beginning of the period ($) | Account value at the end of the period ($) | Expenses paid during the period ($) | Fund’s annualized expense ratio (%) | ||||
Actual | Hypothetical | Actual | Hypothetical | Actual | Hypothetical | Actual | |
Class A | 1,000.00 | 1,000.00 | 1,142.60 | 1,018.60 | 6.86 | 6.46 | 1.28 |
Advisor Class | 1,000.00 | 1,000.00 | 1,143.60 | 1,019.90 | 5.47 | 5.15 | 1.02 |
Class C | 1,000.00 | 1,000.00 | 1,138.60 | 1,014.90 | 10.80 | 10.18 | 2.02 |
Institutional Class | 1,000.00 | 1,000.00 | 1,144.40 | 1,019.90 | 5.47 | 5.15 | 1.02 |
Institutional 2 Class | 1,000.00 | 1,000.00 | 1,145.10 | 1,020.10 | 5.26 | 4.95 | 0.98 |
Institutional 3 Class | 1,000.00 | 1,000.00 | 1,144.10 | 1,020.30 | 5.04 | 4.75 | 0.94 |
Class R | 1,000.00 | 1,000.00 | 1,142.00 | 1,017.40 | 8.14 | 7.67 | 1.52 |
8 | Columbia Select Global Equity Fund | Annual Report 2020 |
October 31, 2020
Common Stocks 98.6% | ||
Issuer | Shares | Value ($) |
China 2.0% | ||
Tencent Holdings Ltd. | 165,400 | 12,637,495 |
Denmark 3.2% | ||
Novo Nordisk A/S, Class B | 322,260 | 20,549,122 |
France 0.5% | ||
L’Oreal SA | 10,110 | 3,267,406 |
Germany 1.0% | ||
Adidas AG(a) | 22,006 | 6,538,096 |
Hong Kong 2.1% | ||
AIA Group Ltd. | 1,379,600 | 13,129,897 |
India 1.7% | ||
Kotak Mahindra Bank Ltd.(a) | 502,899 | 10,494,772 |
Japan 7.3% | ||
Daikin Industries Ltd. | 34,400 | 6,437,384 |
Disco Corp. | 33,800 | 9,122,902 |
Hoya Corp. | 130,200 | 14,693,974 |
Keyence Corp. | 34,500 | 15,656,876 |
Total | 45,911,136 | |
Netherlands 1.7% | ||
Koninklijke Philips NV(a) | 227,328 | 10,529,101 |
South Korea 2.3% | ||
Samsung Electronics Co., Ltd. | 286,426 | 14,397,383 |
Sweden 0.9% | ||
Atlas Copco AB, Class B | 152,196 | 5,831,509 |
Switzerland 3.0% | ||
Nestlé SA, Registered Shares | 81,010 | 9,111,837 |
Roche Holding AG, Genusschein Shares | 31,097 | 9,992,447 |
Total | 19,104,284 | |
Taiwan 1.9% | ||
Taiwan Semiconductor Manufacturing Co., Ltd. | 806,000 | 12,194,518 |
United Kingdom 2.1% | ||
Linde PLC | 35,366 | 7,750,994 |
RELX PLC | 286,514 | 5,668,536 |
Total | 13,419,530 |
Common Stocks (continued) | ||
Issuer | Shares | Value ($) |
United States 68.9% | ||
Abbott Laboratories | 194,598 | 20,454,196 |
Activision Blizzard, Inc. | 109,190 | 8,268,959 |
Adobe, Inc.(a) | 57,930 | 25,900,503 |
Alphabet, Inc., Class A(a) | 18,399 | 29,734,808 |
Amazon.com, Inc.(a) | 15,231 | 46,243,601 |
ANSYS, Inc.(a) | 13,213 | 4,021,641 |
Baxter International, Inc. | 172,094 | 13,349,332 |
Boston Scientific Corp.(a) | 439,679 | 15,067,799 |
CME Group, Inc. | 55,397 | 8,349,436 |
Comcast Corp., Class A | 379,717 | 16,039,246 |
Danaher Corp. | 44,767 | 10,275,817 |
Edwards Lifesciences Corp.(a) | 87,567 | 6,277,678 |
Facebook, Inc., Class A(a) | 55,373 | 14,569,190 |
Fidelity National Information Services, Inc. | 202,200 | 25,192,098 |
Intuit, Inc. | 31,825 | 10,014,691 |
Lam Research Corp. | 44,542 | 15,236,927 |
MasterCard, Inc., Class A | 108,107 | 31,204,004 |
Microsoft Corp. | 240,075 | 48,607,985 |
NVIDIA Corp. | 35,638 | 17,867,468 |
S&P Global, Inc. | 46,247 | 14,925,294 |
ServiceNow, Inc.(a) | 14,235 | 7,082,909 |
Thermo Fisher Scientific, Inc. | 50,490 | 23,887,829 |
TransUnion | 119,666 | 9,532,593 |
UnitedHealth Group, Inc. | 48,356 | 14,755,350 |
Total | 436,859,354 | |
Total Common Stocks (Cost $421,352,064) | 624,863,603 | |
Money Market Funds 1.4% | ||
Shares | Value ($) | |
Columbia Short-Term Cash Fund, 0.128%(b),(c) | 8,788,674 | 8,787,795 |
Total Money Market Funds (Cost $8,787,795) | 8,787,795 | |
Total Investments in Securities (Cost $430,139,859) | 633,651,398 | |
Other Assets & Liabilities, Net | 104,907 | |
Net Assets | $633,756,305 |
Columbia Select Global Equity Fund | Annual Report 2020 | 9 |
October 31, 2020
(a) | Non-income producing investment. |
(b) | The rate shown is the seven-day current annualized yield at October 31, 2020. |
(c) | As defined in the Investment Company Act of 1940, an affiliated company is one in which the Fund owns 5% or more of the company’s outstanding voting securities, or a company which is under common ownership or control with the Fund. The value of the holdings and transactions in these affiliated companies during the year ended October 31, 2020 are as follows: |
Affiliated issuers | Beginning of period($) | Purchases($) | Sales($) | Net change in unrealized appreciation (depreciation)($) | End of period($) | Realized gain (loss)($) | Dividends($) | End of period shares |
Columbia Short-Term Cash Fund, 0.128% | ||||||||
7,517,720 | 168,303,617 | (167,033,542) | — | 8,787,795 | (5,045) | 89,508 | 8,788,674 |
■ | Level 1 — Valuations based on quoted prices for investments in active markets that the Fund has the ability to access at the measurement date. Valuation adjustments are not applied to Level 1 investments. |
■ | Level 2 — Valuations based on other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risks, etc.). |
■ | Level 3 — Valuations based on significant unobservable inputs (including the Fund’s own assumptions and judgment in determining the fair value of investments). |
Level 1 ($) | Level 2 ($) | Level 3 ($) | Total ($) | |
Investments in Securities | ||||
Common Stocks | ||||
China | — | 12,637,495 | — | 12,637,495 |
Denmark | — | 20,549,122 | — | 20,549,122 |
France | — | 3,267,406 | — | 3,267,406 |
Germany | — | 6,538,096 | — | 6,538,096 |
10 | Columbia Select Global Equity Fund | Annual Report 2020 |
October 31, 2020
Level 1 ($) | Level 2 ($) | Level 3 ($) | Total ($) | |
Hong Kong | — | 13,129,897 | — | 13,129,897 |
India | — | 10,494,772 | — | 10,494,772 |
Japan | — | 45,911,136 | — | 45,911,136 |
Netherlands | — | 10,529,101 | — | 10,529,101 |
South Korea | — | 14,397,383 | — | 14,397,383 |
Sweden | — | 5,831,509 | — | 5,831,509 |
Switzerland | — | 19,104,284 | — | 19,104,284 |
Taiwan | — | 12,194,518 | — | 12,194,518 |
United Kingdom | — | 13,419,530 | — | 13,419,530 |
United States | 436,859,354 | — | — | 436,859,354 |
Total Common Stocks | 436,859,354 | 188,004,249 | — | 624,863,603 |
Money Market Funds | 8,787,795 | — | — | 8,787,795 |
Total Investments in Securities | 445,647,149 | 188,004,249 | — | 633,651,398 |
Columbia Select Global Equity Fund | Annual Report 2020 | 11 |
October 31, 2020
Assets | |
Investments in securities, at value | |
Unaffiliated issuers (cost $421,352,064) | $624,863,603 |
Affiliated issuers (cost $8,787,795) | 8,787,795 |
Foreign currency (cost $645,982) | 660,639 |
Receivable for: | |
Investments sold | 92 |
Capital shares sold | 646,800 |
Dividends | 312,948 |
Foreign tax reclaims | 274,248 |
Expense reimbursement due from Investment Manager | 129 |
Prepaid expenses | 3,681 |
Total assets | 635,549,935 |
Liabilities | |
Due to custodian | 27,818 |
Payable for: | |
Investments purchased | 393,776 |
Capital shares purchased | 814,670 |
Foreign capital gains taxes deferred | 279,223 |
Management services fees | 15,026 |
Distribution and/or service fees | 3,851 |
Transfer agent fees | 45,809 |
Compensation of board members | 154,693 |
Other expenses | 58,764 |
Total liabilities | 1,793,630 |
Net assets applicable to outstanding capital stock | $633,756,305 |
Represented by | |
Paid in capital | 375,582,062 |
Total distributable earnings (loss) | 258,174,243 |
Total - representing net assets applicable to outstanding capital stock | $633,756,305 |
12 | Columbia Select Global Equity Fund | Annual Report 2020 |
October 31, 2020
Class A | |
Net assets | $461,888,017 |
Shares outstanding | 27,834,229 |
Net asset value per share | $16.59 |
Maximum sales charge | 5.75% |
Maximum offering price per share (calculated by dividing the net asset value per share by 1.0 minus the maximum sales charge for Class A shares) | $17.60 |
Advisor Class | |
Net assets | $13,365,366 |
Shares outstanding | 780,466 |
Net asset value per share | $17.12 |
Class C | |
Net assets | $21,140,199 |
Shares outstanding | 1,469,710 |
Net asset value per share | $14.38 |
Institutional Class | |
Net assets | $109,948,906 |
Shares outstanding | 6,514,331 |
Net asset value per share | $16.88 |
Institutional 2 Class | |
Net assets | $5,019,240 |
Shares outstanding | 295,818 |
Net asset value per share | $16.97 |
Institutional 3 Class | |
Net assets | $18,256,532 |
Shares outstanding | 1,089,922 |
Net asset value per share | $16.75 |
Class R | |
Net assets | $4,138,045 |
Shares outstanding | 250,986 |
Net asset value per share | $16.49 |
Columbia Select Global Equity Fund | Annual Report 2020 | 13 |
Year Ended October 31, 2020
Net investment income | |
Income: | |
Dividends — unaffiliated issuers | $4,974,807 |
Dividends — affiliated issuers | 89,508 |
Foreign taxes withheld | (253,100) |
Total income | 4,811,215 |
Expenses: | |
Management services fees | 4,733,259 |
Distribution and/or service fees | |
Class A | 1,010,565 |
Class C | 139,034 |
Class R | 13,568 |
Transfer agent fees | |
Class A | 437,748 |
Advisor Class | 5,848 |
Class C | 14,808 |
Institutional Class | 82,508 |
Institutional 2 Class | 2,566 |
Institutional 3 Class | 3,195 |
Class R | 2,893 |
Compensation of board members | 26,251 |
Custodian fees | 59,035 |
Printing and postage fees | 58,350 |
Registration fees | 116,622 |
Audit fees | 41,443 |
Legal fees | 13,181 |
Interest on interfund lending | 613 |
Compensation of chief compliance officer | 92 |
Other | 19,191 |
Total expenses | 6,780,770 |
Fees waived or expenses reimbursed by Investment Manager and its affiliates | (14,683) |
Fees waived by transfer agent | |
Institutional 2 Class | (10) |
Expense reduction | (1,240) |
Total net expenses | 6,764,837 |
Net investment loss | (1,953,622) |
Realized and unrealized gain (loss) — net | |
Net realized gain (loss) on: | |
Investments — unaffiliated issuers | 57,775,396 |
Investments — affiliated issuers | (5,045) |
Foreign currency translations | (25,902) |
Net realized gain | 57,744,449 |
Net change in unrealized appreciation (depreciation) on: | |
Investments — unaffiliated issuers | 34,398,595 |
Foreign currency translations | 21,116 |
Foreign capital gains tax | 396,580 |
Net change in unrealized appreciation (depreciation) | 34,816,291 |
Net realized and unrealized gain | 92,560,740 |
Net increase in net assets resulting from operations | $90,607,118 |
14 | Columbia Select Global Equity Fund | Annual Report 2020 |
Year Ended October 31, 2020 | Year Ended October 31, 2019 | |
Operations | ||
Net investment loss | $(1,953,622) | $(729,395) |
Net realized gain | 57,744,449 | 17,389,481 |
Net change in unrealized appreciation (depreciation) | 34,816,291 | 72,309,639 |
Net increase in net assets resulting from operations | 90,607,118 | 88,969,725 |
Distributions to shareholders | ||
Net investment income and net realized gains | ||
Class A | (11,149,300) | (30,829,094) |
Advisor Class | (10,336) | (9,859) |
Class C | (354,657) | (799,561) |
Institutional Class | (1,670,370) | (3,034,623) |
Institutional 2 Class | (100,218) | (93,620) |
Institutional 3 Class | (1,671,584) | (4,990,744) |
Class R | (34,563) | (28,573) |
Total distributions to shareholders | (14,991,028) | (39,786,074) |
Increase in net assets from capital stock activity | 79,243,703 | 23,730,577 |
Total increase in net assets | 154,859,793 | 72,914,228 |
Net assets at beginning of year | 478,896,512 | 405,982,284 |
Net assets at end of year | $633,756,305 | $478,896,512 |
Columbia Select Global Equity Fund | Annual Report 2020 | 15 |
Year Ended | Year Ended | |||
October 31, 2020 | October 31, 2019 | |||
Shares | Dollars ($) | Shares | Dollars ($) | |
Capital stock activity | ||||
Class A | ||||
Subscriptions | 2,831,018 | 43,749,328 | 1,338,794 | 17,446,010 |
Fund reorganization | 2,223,020 | 36,324,164 | — | — |
Distributions reinvested | 737,618 | 10,968,383 | 2,659,009 | 30,339,297 |
Redemptions | (3,054,089) | (46,750,884) | (3,179,513) | (41,932,633) |
Net increase | 2,737,567 | 44,290,991 | 818,290 | 5,852,674 |
Advisor Class | ||||
Subscriptions | 658,463 | 10,498,230 | 26,257 | 322,225 |
Fund reorganization | 171,636 | 2,892,071 | — | — |
Distributions reinvested | 670 | 10,252 | 821 | 9,614 |
Redemptions | (75,181) | (1,255,579) | (10,389) | (137,064) |
Net increase | 755,588 | 12,144,974 | 16,689 | 194,775 |
Class C | ||||
Subscriptions | 334,060 | 4,488,366 | 263,188 | 2,988,874 |
Fund reorganization | 599,372 | 8,505,113 | — | — |
Distributions reinvested | 27,230 | 353,444 | 77,522 | 780,647 |
Redemptions | (279,753) | (3,811,925) | (240,164) | (2,771,898) |
Net increase | 680,909 | 9,534,998 | 100,546 | 997,623 |
Institutional Class | ||||
Subscriptions | 3,941,842 | 60,355,209 | 1,899,583 | 25,607,162 |
Fund reorganization | 1,473,031 | 24,452,168 | — | — |
Distributions reinvested | 110,081 | 1,661,131 | 261,597 | 3,018,827 |
Redemptions | (2,599,283) | (38,667,928) | (781,299) | (10,425,338) |
Net increase | 2,925,671 | 47,800,580 | 1,379,881 | 18,200,651 |
Institutional 2 Class | ||||
Subscriptions | 321,311 | 4,918,517 | 154,438 | 1,944,577 |
Fund reorganization | 35,780 | 597,177 | — | — |
Distributions reinvested | 6,598 | 100,023 | 8,042 | 93,282 |
Redemptions | (274,326) | (4,178,035) | (38,745) | (503,588) |
Net increase | 89,363 | 1,437,682 | 123,735 | 1,534,271 |
Institutional 3 Class | ||||
Subscriptions | 911,250 | 14,253,862 | 128,607 | 1,759,463 |
Fund reorganization | 240,528 | 3,961,514 | — | — |
Distributions reinvested | 111,655 | 1,671,477 | 435,846 | 4,990,437 |
Redemptions | (3,820,544) | (58,720,933) | (767,391) | (10,334,871) |
Net decrease | (2,557,111) | (38,834,080) | (202,938) | (3,584,971) |
Class R | ||||
Subscriptions | 191,977 | 2,957,196 | 45,268 | 595,446 |
Fund reorganization | 41,701 | 677,230 | — | — |
Distributions reinvested | 2,180 | 32,279 | 1,969 | 22,428 |
Redemptions | (51,467) | (798,147) | (5,945) | (78,973) |
Net increase | 184,391 | 2,868,558 | 41,292 | 538,901 |
Class T | ||||
Redemptions | — | — | (257) | (3,347) |
Net decrease | — | — | (257) | (3,347) |
Total net increase | 4,816,378 | 79,243,703 | 2,277,238 | 23,730,577 |
16 | Columbia Select Global Equity Fund | Annual Report 2020 |
Net asset value, beginning of period | Net investment income (loss) | Net realized and unrealized gain (loss) | Total from investment operations | Distributions from net investment income | Distributions from net realized gains | Total distributions to shareholders | |
Class A | |||||||
Year Ended 10/31/2020 | $14.34 | (0.06) | 2.76 | 2.70 | — | (0.45) | (0.45) |
Year Ended 10/31/2019 | $13.04 | (0.03) | 2.61 | 2.58 | — | (1.28) | (1.28) |
Year Ended 10/31/2018 | $12.65 | (0.02) | 0.46 | 0.44 | — | (0.05) | (0.05) |
Year Ended 10/31/2017 | $10.12 | (0.00)(e) | 2.53 | 2.53 | — | — | — |
Year Ended 10/31/2016 | $9.97 | 0.00(e) | 0.15 | 0.15 | — | — | — |
Advisor Class | |||||||
Year Ended 10/31/2020 | $14.74 | (0.04) | 2.87 | 2.83 | — | (0.45) | (0.45) |
Year Ended 10/31/2019 | $13.38 | 0.00(e) | 2.67 | 2.67 | — | (1.31) | (1.31) |
Year Ended 10/31/2018(g) | $13.39 | 0.01 | (0.02)(h) | (0.01) | — | — | — |
Class C | |||||||
Year Ended 10/31/2020 | $12.57 | (0.16) | 2.42 | 2.26 | — | (0.45) | (0.45) |
Year Ended 10/31/2019 | $11.58 | (0.11) | 2.28 | 2.17 | — | (1.18) | (1.18) |
Year Ended 10/31/2018 | $11.32 | (0.10) | 0.41 | 0.31 | — | (0.05) | (0.05) |
Year Ended 10/31/2017 | $9.12 | (0.08) | 2.28 | 2.20 | — | — | — |
Year Ended 10/31/2016 | $9.06 | (0.07) | 0.13 | 0.06 | — | — | — |
Institutional Class | |||||||
Year Ended 10/31/2020 | $14.54 | (0.03) | 2.82 | 2.79 | — | (0.45) | (0.45) |
Year Ended 10/31/2019 | $13.22 | 0.00(e) | 2.63 | 2.63 | — | (1.31) | (1.31) |
Year Ended 10/31/2018 | $12.81 | 0.01 | 0.48 | 0.49 | (0.03) | (0.05) | (0.08) |
Year Ended 10/31/2017 | $10.22 | 0.04 | 2.55 | 2.59 | — | — | — |
Year Ended 10/31/2016 | $10.05 | 0.02 | 0.15 | 0.17 | — | — | — |
Institutional 2 Class | |||||||
Year Ended 10/31/2020 | $14.61 | (0.03) | 2.85 | 2.82 | — | (0.46) | (0.46) |
Year Ended 10/31/2019 | $13.28 | 0.01 | 2.64 | 2.65 | — | (1.32) | (1.32) |
Year Ended 10/31/2018 | $12.87 | 0.02 | 0.48 | 0.50 | (0.04) | (0.05) | (0.09) |
Year Ended 10/31/2017 | $10.26 | 0.02 | 2.59 | 2.61 | — | — | — |
Year Ended 10/31/2016 | $10.07 | 0.04 | 0.15 | 0.19 | — | — | — |
Institutional 3 Class | |||||||
Year Ended 10/31/2020 | $14.44 | 0.00(e) | 2.77 | 2.77 | — | (0.46) | (0.46) |
Year Ended 10/31/2019 | $13.14 | 0.02 | 2.61 | 2.63 | — | (1.33) | (1.33) |
Year Ended 10/31/2018 | $12.74 | 0.03 | 0.47 | 0.50 | (0.05) | (0.05) | (0.10) |
Year Ended 10/31/2017(j) | $10.85 | 0.03 | 1.86 | 1.89 | — | — | — |
18 | Columbia Select Global Equity Fund | Annual Report 2020 |
Net asset value, end of period | Total return | Total gross expense ratio to average net assets(a) | Total net expense ratio to average net assets(a),(b) | Net investment income (loss) ratio to average net assets | Portfolio turnover | Net assets, end of period (000’s) | |
Class A | |||||||
Year Ended 10/31/2020 | $16.59 | 19.16% | 1.28%(c) | 1.28%(c),(d) | (0.40%) | 55% | $461,888 |
Year Ended 10/31/2019 | $14.34 | 22.30% | 1.31% | 1.31%(d) | (0.22%) | 46% | $359,804 |
Year Ended 10/31/2018 | $13.04 | 3.52% | 1.34% | 1.34%(d) | (0.15%) | 74% | $316,700 |
Year Ended 10/31/2017 | $12.65 | 25.00% | 1.37%(f) | 1.37%(d),(f) | (0.04%) | 72% | $322,569 |
Year Ended 10/31/2016 | $10.12 | 1.50% | 1.40% | 1.40%(d) | 0.01% | 66% | $303,338 |
Advisor Class | |||||||
Year Ended 10/31/2020 | $17.12 | 19.53% | 1.03%(c) | 1.02%(c),(d) | (0.24%) | 55% | $13,365 |
Year Ended 10/31/2019 | $14.74 | 22.52% | 1.07% | 1.07%(d) | 0.03% | 46% | $367 |
Year Ended 10/31/2018(g) | $13.38 | (0.07%) | 1.10%(i) | 1.10%(d),(i) | 0.11%(i) | 74% | $110 |
Class C | |||||||
Year Ended 10/31/2020 | $14.38 | 18.33% | 2.03%(c) | 2.03%(c),(d) | (1.19%) | 55% | $21,140 |
Year Ended 10/31/2019 | $12.57 | 21.27% | 2.06% | 2.06%(d) | (0.97%) | 46% | $9,918 |
Year Ended 10/31/2018 | $11.58 | 2.78% | 2.08% | 2.08%(d) | (0.79%) | 74% | $7,968 |
Year Ended 10/31/2017 | $11.32 | 24.12% | 2.12%(f) | 2.12%(d),(f) | (0.78%) | 72% | $12,686 |
Year Ended 10/31/2016 | $9.12 | 0.66% | 2.15% | 2.15%(d) | (0.75%) | 66% | $13,808 |
Institutional Class | |||||||
Year Ended 10/31/2020 | $16.88 | 19.54% | 1.03%(c) | 1.03%(c),(d) | (0.17%) | 55% | $109,949 |
Year Ended 10/31/2019 | $14.54 | 22.50% | 1.06% | 1.06%(d) | 0.03% | 46% | $52,178 |
Year Ended 10/31/2018 | $13.22 | 3.84% | 1.09% | 1.09%(d) | 0.10% | 74% | $29,191 |
Year Ended 10/31/2017 | $12.81 | 25.34% | 1.13% | 1.13%(d) | 0.33% | 72% | $24,854 |
Year Ended 10/31/2016 | $10.22 | 1.69% | 1.15% | 1.15%(d) | 0.24% | 66% | $2,945 |
Institutional 2 Class | |||||||
Year Ended 10/31/2020 | $16.97 | 19.64% | 0.99%(c) | 0.98%(c) | (0.16%) | 55% | $5,019 |
Year Ended 10/31/2019 | $14.61 | 22.57% | 1.00% | 1.00% | 0.11% | 46% | $3,017 |
Year Ended 10/31/2018 | $13.28 | 3.91% | 1.02% | 1.01% | 0.18% | 74% | $1,098 |
Year Ended 10/31/2017 | $12.87 | 25.44% | 1.03%(f) | 1.03%(f) | 0.20% | 72% | $452 |
Year Ended 10/31/2016 | $10.26 | 1.89% | 1.00% | 1.00% | 0.40% | 66% | $148 |
Institutional 3 Class | |||||||
Year Ended 10/31/2020 | $16.75 | 19.59% | 0.93%(c) | 0.93%(c) | 0.01% | 55% | $18,257 |
Year Ended 10/31/2019 | $14.44 | 22.68% | 0.94% | 0.94% | 0.16% | 46% | $52,662 |
Year Ended 10/31/2018 | $13.14 | 3.93% | 0.96% | 0.95% | 0.24% | 74% | $50,583 |
Year Ended 10/31/2017(j) | $12.74 | 17.42% | 0.97%(i) | 0.97%(i) | 0.43%(i) | 72% | $54,121 |
Columbia Select Global Equity Fund | Annual Report 2020 | 19 |
Net asset value, beginning of period | Net investment income (loss) | Net realized and unrealized gain (loss) | Total from investment operations | Distributions from net investment income | Distributions from net realized gains | Total distributions to shareholders | |
Class R | |||||||
Year Ended 10/31/2020 | $14.28 | (0.10) | 2.76 | 2.66 | — | (0.45) | (0.45) |
Year Ended 10/31/2019 | $12.99 | (0.06) | 2.60 | 2.54 | — | (1.25) | (1.25) |
Year Ended 10/31/2018 | $12.63 | (0.05) | 0.46 | 0.41 | — | (0.05) | (0.05) |
Year Ended 10/31/2017 | $10.13 | (0.04) | 2.54 | 2.50 | — | — | — |
Year Ended 10/31/2016 | $10.01 | (0.02) | 0.14 | 0.12 | — | — | — |
Notes to Financial Highlights | |
(a) | In addition to the fees and expenses that the Fund bears directly, the Fund indirectly bears a pro rata share of the fees and expenses of any other funds in which it invests. Such indirect expenses are not included in the Fund’s reported expense ratios. |
(b) | Total net expenses include the impact of certain fee waivers/expense reimbursements made by the Investment Manager and certain of its affiliates, if applicable. |
(c) | Ratios include interfund lending expense which is less than 0.01%. |
(d) | The benefits derived from expense reductions had an impact of less than 0.01%. |
(e) | Rounds to zero. |
(f) | Expenses have been reduced due to a reimbursement of expenses overbilled by a third party. If the reimbursement had been excluded, the expense ratios would have been higher by the percentages shown for each class in the table below. All fee waivers and expense reimbursements by the Investment Manager and its affiliates were applied before giving effect to this third party reimbursement. |
Year Ended | Class A | Class C | Institutional 2 Class | Class R |
10/31/2017 | 0.02% | 0.02% | 0.01% | 0.02% |
(g) | Advisor Class shares commenced operations on March 1, 2018. Per share data and total return reflect activity from that date. |
(h) | Calculation of the net gain (loss) per share (both realized and unrealized) does not correlate to the aggregate realized and unrealized gain (loss) presented in the Statement of Operations due to the timing of subscriptions and redemptions of Fund shares in relation to fluctuations in the market value of the portfolio. |
(i) | Annualized. |
(j) | Institutional 3 Class shares commenced operations on March 1, 2017. Per share data and total return reflect activity from that date. |
20 | Columbia Select Global Equity Fund | Annual Report 2020 |
Net asset value, end of period | Total return | Total gross expense ratio to average net assets(a) | Total net expense ratio to average net assets(a),(b) | Net investment income (loss) ratio to average net assets | Portfolio turnover | Net assets, end of period (000’s) | |
Class R | |||||||
Year Ended 10/31/2020 | $16.49 | 18.96% | 1.53%(c) | 1.53%(c),(d) | (0.66%) | 55% | $4,138 |
Year Ended 10/31/2019 | $14.28 | 21.95% | 1.57% | 1.57%(d) | (0.47%) | 46% | $951 |
Year Ended 10/31/2018 | $12.99 | 3.29% | 1.59% | 1.59%(d) | (0.40%) | 74% | $329 |
Year Ended 10/31/2017 | $12.63 | 24.68% | 1.62%(f) | 1.62%(d),(f) | (0.32%) | 72% | $197 |
Year Ended 10/31/2016 | $10.13 | 1.20% | 1.65% | 1.65%(d) | (0.24%) | 66% | $196 |
Columbia Select Global Equity Fund | Annual Report 2020 | 21 |
October 31, 2020
22 | Columbia Select Global Equity Fund | Annual Report 2020 |
October 31, 2020
Columbia Select Global Equity Fund | Annual Report 2020 | 23 |
October 31, 2020
24 | Columbia Select Global Equity Fund | Annual Report 2020 |
October 31, 2020
Columbia Select Global Equity Fund | Annual Report 2020 | 25 |
October 31, 2020
Effective rate (%) | |
Class A | 0.11 |
Advisor Class | 0.10 |
Class C | 0.11 |
Institutional Class | 0.11 |
Institutional 2 Class | 0.06 |
Institutional 3 Class | 0.01 |
Class R | 0.11 |
Front End (%) | CDSC (%) | Amount ($) | |
Class A | 5.75 | 0.50 - 1.00(a) | 288,354 |
Class C | — | 1.00(b) | 987 |
(a) | This charge is imposed on certain investments of between $1 million and $50 million redeemed within 18 months after purchase, as follows: 1.00% if redeemed within 12 months after purchase, and 0.50% if redeemed more than 12, but less than 18, months after purchase, with certain limited exceptions. |
(b) | This charge applies to redemptions within 12 months after purchase, with certain limited exceptions. |
26 | Columbia Select Global Equity Fund | Annual Report 2020 |
October 31, 2020
July 11, 2020 through February 28, 2023 | March 1, 2020 through July 10, 2020 | Prior to March 1, 2020 | |
Class A | 1.28% | 1.31% | 1.38% |
Advisor Class | 1.03 | 1.06 | 1.13 |
Class C | 2.03 | 2.06 | 2.13 |
Institutional Class | 1.03 | 1.06 | 1.13 |
Institutional 2 Class | 0.96 | 1.00 | 1.05 |
Institutional 3 Class | 0.91 | 0.95 | 1.00 |
Class R | 1.53 | 1.56 | 1.63 |
Excess of distributions over net investment income ($) | Accumulated net realized gain ($) | Paid in capital ($) |
1,905,844 | (2,242,023) | 336,179 |
Columbia Select Global Equity Fund | Annual Report 2020 | 27 |
October 31, 2020
Year Ended October 31, 2020 | Year Ended October 31, 2019 | ||||
Ordinary income ($) | Long-term capital gains ($) | Total ($) | Ordinary income ($) | Long-term capital gains ($) | Total ($) |
67,775 | 14,923,253 | 14,991,028 | 6,305,508 | 33,480,566 | 39,786,074 |
Undistributed ordinary income ($) | Undistributed long-term capital gains ($) | Capital loss carryforwards ($) | Net unrealized appreciation ($) |
4,860,028 | 52,207,541 | — | 201,516,871 |
Federal tax cost ($) | Gross unrealized appreciation ($) | Gross unrealized (depreciation) ($) | Net unrealized appreciation ($) |
432,134,527 | 206,496,720 | (4,979,849) | 201,516,871 |
No expiration short-term ($) | No expiration long-term ($) | Total ($) | Utilized ($) |
— | — | — | 275,003 |
28 | Columbia Select Global Equity Fund | Annual Report 2020 |
October 31, 2020
Borrower or lender | Average loan balance ($) | Weighted average interest rate (%) | Number of days with outstanding loans |
Borrower | 35,800,000 | 0.62 | 1 |
Columbia Select Global Equity Fund | Annual Report 2020 | 29 |
October 31, 2020
Shares | |
Class A | 2,223,020 |
Advisor Class | 171,636 |
Class C | 599,372 |
Institutional Class | 1,473,031 |
Institutional 2 Class | 35,780 |
Institutional 3 Class | 240,528 |
Class R | 41,701 |
($) | |
Net investment loss | (2,354,000) |
Net realized gain | 57,408,000 |
Net change in unrealized appreciation | 53,983,000 |
Net increase in net asset from operations | 109,037,000 |
30 | Columbia Select Global Equity Fund | Annual Report 2020 |
October 31, 2020
Columbia Select Global Equity Fund | Annual Report 2020 | 31 |
October 31, 2020
32 | Columbia Select Global Equity Fund | Annual Report 2020 |
Columbia Select Global Equity Fund | Annual Report 2020 | 33 |
Qualified dividend income | Dividends received deduction | Capital gain dividend |
100.00% | 99.98% | $54,912,534 |
Name, address, year of birth | Position held with the Trust and length of service | Principal occupation(s) during past five years and other relevant professional experience | Number of Funds in the Columbia Funds Complex overseen | Other directorships held by Trustee during the past five years |
George S. Batejan c/o Columbia Management Investment Advisers, LLC 225 Franklin Street Mail Drop BX32 05228 Boston, MA 02110 1953 | Trustee since 1/17 | Executive Vice President, Global Head of Technology and Operations, Janus Capital Group, Inc., 2010-2016 | 110 | Former Chairman of the Board, NICSA (National Investment Company Services Association) (Executive Committee, Nominating Committee and Governance Committee), 2014-2016; former Director, Intech Investment Management, 2011-2016; former Board Member, Metro Denver Chamber of Commerce, 2015-2016; former Advisory Board Member, University of Colorado Business School, 2015-2018 |
34 | Columbia Select Global Equity Fund | Annual Report 2020 |
Independent trustees (continued)
Name, address, year of birth | Position held with the Trust and length of service | Principal occupation(s) during past five years and other relevant professional experience | Number of Funds in the Columbia Funds Complex overseen | Other directorships held by Trustee during the past five years |
Kathleen Blatz c/o Columbia Management Investment Advisers, LLC 225 Franklin Street Mail Drop BX32 05228 Boston, MA 02110 1954 | Trustee since 1/06 for RiverSource Funds and since 6/11 for Nations Funds | Attorney; specializing in arbitration and mediation; Chief Justice, Minnesota Supreme Court, 1998-2006; Associate Justice, Minnesota Supreme Court, 1996-1998; Fourth Judicial District Court Judge, Hennepin County, 1994-1996; Attorney in private practice and public service, 1984-1993; State Representative, Minnesota House of Representatives, 1979-1993, which included service on the Tax and Financial Institutions and Insurance Committees; Member and Interim Chair, Minnesota Sports Facilities Authority, January 2017-July 2017; Interim President and Chief Executive Officer, Blue Cross and Blue Shield of Minnesota (health care insurance), February-July 2018 | 110 | Trustee, BlueCross BlueShield of Minnesota since 2009 (Chair of the Business Development Committee - 2014-2017; Chair of the Governance Committee, 2017-2020); Chair of the Robina Foundation since August 2013; former Member and Chair of the Board, Minnesota Sports Facilities Authority, January 2017-July 2017 |
Pamela G. Carlton c/o Columbia Management Investment Advisers, LLC 225 Franklin Street Mail Drop BX32 05228 Boston, MA 02110 1954 | Trustee since 7/07 for RiverSource Funds and since 6/11 for Nations Funds | President, Springboard — Partners in Cross Cultural Leadership (consulting company) since 2003; Managing Director of US Equity Research, JP Morgan Chase, 1999-2003; Director of US Equity Research, Chase Asset Management, 1996-1999; Co-Director Latin America Research, 1993-1996, COO Global Research, 1992-1996, Co-Director of US Research, 1991-1992, Investment Banker, Morgan Stanley, 1982-1991 | 110 | Trustee, New York Presbyterian Hospital Board (Executive Committee and Chair of Human Resources Committee) since 1996; Director, DR Bank (Audit Committee) since 2017; Director, Evercore Inc. (Audit Committee, Nominating and Governance Committee) since 2019 |
Patricia M. Flynn c/o Columbia Management Investment Advisers, LLC 225 Franklin Street Mail Drop BX32 05228 Boston, MA 02110 1950 | Trustee since 11/04 for RiverSource Funds and since 6/11 for Nations Funds | Trustee Professor of Economics and Management, Bentley University since 1976 (also teaches and conducts research on corporate governance); Dean, McCallum Graduate School of Business, Bentley University, 1992-2002 | 110 | Trustee, MA Taxpayers Foundation since 1997; Board of Governors, Innovation Institute, MA Technology Collaborative since 2010; Board of Directors, The MA Business Roundtable 2003-2019 |
Brian J. Gallagher c/o Columbia Management Investment Advisers, LLC 225 Franklin Street Mail Drop BX32 05228 Boston, MA 02110 1954 | Trustee since 12/17 | Retired; Partner with Deloitte & Touche LLP and its predecessors, 1977-2016 | 110 | Trustee, Catholic Schools Foundation since 2004 |
Catherine James Paglia c/o Columbia Management Investment Advisers, LLC 225 Franklin Street Mail Drop BX32 05228 Boston, MA 02110 1952 | Chair of the Board since 1/20; Trustee since 11/04 for RiverSource Funds and since 6/11 for Nations Funds | Director, Enterprise Asset Management, Inc. (private real estate and asset management company) since September 1998; Managing Director and Partner, Interlaken Capital, Inc., 1989-1997; Managing Director, Morgan Stanley, 1982-1989; Vice President, Investment Banking, 1980-1982, Associate, Investment Banking, 1976-1980, Dean Witter Reynolds, Inc. | 110 | Director, Valmont Industries, Inc. (irrigation systems manufacturer) since 2012; Trustee, Carleton College (on the Investment Committee); Trustee, Carnegie Endowment for International Peace (on the Investment Committee) |
Columbia Select Global Equity Fund | Annual Report 2020 | 35 |
Independent trustees (continued)
Name, address, year of birth | Position held with the Trust and length of service | Principal occupation(s) during past five years and other relevant professional experience | Number of Funds in the Columbia Funds Complex overseen | Other directorships held by Trustee during the past five years |
Anthony M. Santomero c/o Columbia Management Investment Advisers, LLC 225 Franklin Street Mail Drop BX32 05228 Boston, MA 02110 1946 | Trustee since 6/11 for RiverSource Funds and since 1/08 for Nations Funds | Richard K. Mellon Professor Emeritus of Finance, The Wharton School, University of Pennsylvania, since 2002; Senior Advisor, McKinsey & Company (consulting), 2006-2008; President, Federal Reserve Bank of Philadelphia, 2000- 2006; Professor of Finance, The Wharton School, University of Pennsylvania, 1972-2002 | 110 | Trustee, Penn Mutual Life Insurance Company since March 2008; Director, RenaissanceRe Holdings Ltd. since May 2008; former Director, Citigroup Inc. and Citibank, N.A., 2009-2019; former Trustee, BofA Funds Series Trust (11 funds), 2008-2011 |
Minor M. Shaw c/o Columbia Management Investment Advisers, LLC 225 Franklin Street Mail Drop BX32 05228 Boston, MA 02110 1947 | Trustee since 6/11 for RiverSource Funds and since 2003 for Nations Funds | President, Micco LLC (private investments) since 2011; President, Micco Corp. (family investment business), 1998-2011 | 110 | Director, BlueCross BlueShield of South Carolina since April 2008; Trustee, Hollingsworth Funds since 2016 (previously Board Chair from 2016-2019); Advisory Board member, Duke Energy Corp. since October 2016; Chair of the Duke Endowment; Chair of Greenville – Spartanburg Airport Commission; former Trustee, BofA Funds Series Trust (11 funds), 2003-2011; former Director, Piedmont Natural Gas, 2004-2016; former Director, National Association of Corporate Directors, Carolinas Chapter, 2013-2018 |
Sandra Yeager c/o Columbia Management Investment Advisers, LLC 225 Franklin Street Mail Drop BX32 05228 Boston, MA 02110 1964 | Trustee since 12/17 | Retired; President and founder, Hanoverian Capital, LLC (SEC registered investment advisor firm), 2008-2016; Managing Director, DuPont Capital, 2006-2008; Managing Director, Morgan Stanley Investment Management, 2004-2006; Senior Vice President, Alliance Bernstein, 1990-2004 | 110 | Director, NAPE Education Foundation since October 2016 |
36 | Columbia Select Global Equity Fund | Annual Report 2020 |
Interested trustee affiliated with Investment Manager*
Name, address, year of birth | Position held with the Trust and length of service | Principal occupation(s) during the past five years and other relevant professional experience | Number of Funds in the Columbia Funds Complex overseen | Other directorships held by Trustee during the past five years |
William F. Truscott c/o Columbia Management Investment Advisers, LLC 225 Franklin St. Boston, MA 02110 1960 | Trustee since 11/01 for RiverSource Funds and since 6/11 for Nations Funds; Senior Vice President since 2002 for RiverSource Funds and since 5/10 for Nations Funds | Chief Executive Officer, Global Asset Management, Ameriprise Financial, Inc. since September 2012; Chairman of the Board and President, Columbia Management Investment Advisers, LLC since July 2004 and February 2012, respectively; Chairman of the Board and Chief Executive Officer, Columbia Management Investment Distributors, Inc. since November 2008 and February 2012, respectively; Chairman of the Board and Director, Threadneedle Asset Management Holdings, Sàrl since March 2013 and December 2008, respectively; senior executive of various entities affiliated with Columbia Threadneedle | 162 | Trustee, Columbia Funds since November 2001 |
* | Interested person (as defined under the 1940 Act) by reason of being an officer, director, security holder and/or employee of the Investment Manager or Ameriprise Financial. |
Name, address and year of birth | Position and year first appointed to position for any Fund in the Columbia Funds Complex or a predecessor thereof | Principal occupation(s) during past five years |
Christopher O. Petersen 5228 Ameriprise Financial Center Minneapolis, MN 55474 Born 1970 | President and Principal Executive Officer (2015) | Vice President and Lead Chief Counsel, Ameriprise Financial, Inc. since January 2015 (previously Vice President and Chief Counsel, January 2010 - December 2014); officer of Columbia Funds and affiliated funds since 2007. |
Michael G. Clarke 225 Franklin Street Boston, MA 02110 Born 1969 | Chief Financial Officer, Principal Financial Officer (2009), and Senior Vice President (2019) | Vice President, Head of North American Operations, and Co-Head of Global Operations, – Accounting and Tax, Columbia Management Investment Advisers, LLC, since June 2019 (previously Vice President – Accounting and Tax, May 2010 – May 2019); senior officer of Columbia Funds and affiliated funds since 2002 (previously, Treasurer and Chief Accounting Officer, January 2009 – January 2019 and December 2015 – January 2019, respectively). |
Joseph Beranek 5890 Ameriprise Financial Center Minneapolis, MN 55474 Born 1965 | Treasurer, Chief Accounting Officer (Principal Accounting Officer) (2019), and Principal Financial Officer (2020) | Vice President – Mutual Fund Accounting and Financial Reporting, Columbia Management Investment Advisers, LLC, since December 2018 and March 2017, respectively (previously Vice President – Pricing and Corporate Actions, May 2010 - March 2017). |
Columbia Select Global Equity Fund | Annual Report 2020 | 37 |
Fund officers (continued)
Name, address and year of birth | Position and year first appointed to position for any Fund in the Columbia Funds Complex or a predecessor thereof | Principal occupation(s) during past five years |
Paul B. Goucher 485 Lexington Avenue New York, NY 10017 Born 1968 | Senior Vice President (2011) and Assistant Secretary (2008) | Senior Vice President and Assistant General Counsel, Ameriprise Financial, Inc. since January 2017 (previously Vice President and Lead Chief Counsel, November 2008 - January 2017 and January 2013 - January 2017, respectively); Vice President, Chief Legal Officer and Assistant Secretary, Columbia Management Investment Advisers, LLC since March 2015 (previously Vice President and Assistant Secretary, May 2010 – March 2015). |
Thomas P. McGuire 225 Franklin Street Boston, MA 02110 Born 1972 | Senior Vice President and Chief Compliance Officer (2012) | Vice President – Asset Management Compliance, Ameriprise Financial, Inc., since May 2010; Chief Compliance Officer, Ameriprise Certificate Company since September 2010; Chief Compliance Officer, Columbia Acorn/Wanger Funds since December 2015. |
Colin Moore 225 Franklin Street Boston, MA 02110 Born 1958 | Senior Vice President (2010) | Executive Vice President and Global Chief Investment Officer, Ameriprise Financial, Inc., since July 2013; Executive Vice President and Global Chief Investment Officer, Columbia Management Investment Advisers, LLC since July 2013. |
Ryan C. Larrenaga 225 Franklin Street Boston, MA 02110 Born 1970 | Senior Vice President (2017), Chief Legal Officer (2017), and Secretary (2015) | Vice President and Chief Counsel, Ameriprise Financial, Inc. since August 2018 (previously Vice President and Group Counsel, August 2011 - August 2018); Chief Legal Officer, Columbia Acorn/Wanger Funds, since September 2020; officer of Columbia Funds and affiliated funds since 2005. |
Daniel J. Beckman 225 Franklin Street Boston, MA 02110 Born 1962 | Senior Vice President (2020) | Vice President – Head of North America Product, Columbia Management Investment Advisers, LLC (since April 2015); previously, Senior Vice President of Investment Product Management, Fidelity Financial Advisor Solutions, a division of Fidelity Investments (January 2012 – March 2015). |
Michael E. DeFao 225 Franklin Street Boston, MA 02110 Born 1968 | Vice President (2011) and Assistant Secretary (2010) | Vice President and Chief Counsel, Ameriprise Financial, Inc. since May 2010. |
Lyn Kephart-Strong 5228 Ameriprise Financial Center Minneapolis, MN 55474 Born 1960 | Vice President (2015) | President, Columbia Management Investment Services Corp. since October 2014; Vice President & Resolution Officer, Ameriprise Trust Company since August 2009. |
38 | Columbia Select Global Equity Fund | Annual Report 2020 |
Columbia Select Global Equity Fund | Annual Report 2020 | 39 |
40 | Columbia Select Global Equity Fund | Annual Report 2020 |
Columbia Select Global Equity Fund | Annual Report 2020 | 41 |
columbiathreadneedleus.com/investor/. The Fund is distributed by Columbia Management Investment Distributors, Inc., member FINRA, and managed by Columbia Management Investment Advisers, LLC.
Item 2. Code of Ethics.
(a)The registrant has adopted a code of ethics that applies to the registrant's principal executive officer, principal financial officer, principal accounting officer or controller, or persons performing similar functions, regardless of whether these individuals are employed by the registrant or a third party.
(b)During the period covered by this report, there were not any amendments to a provision of the code of ethics that applies to the registrant's principal executive officer, principal financial officer, principal accounting officer or controller, or persons performing similar functions, regardless of whether these individuals are employed by the registrant or a third party, and that relates to any element of the code of ethics definition enumerated in paragraph (b) of this Item.
(c)During the period covered by this report, there were no waivers, including any implicit waivers, from a provision of the code of ethics to the registrant's principal executive officer, principal financial officer, principal accounting officer or controller, or persons performing similar functions, regardless of whether these individuals are employed by the registrant or a third party that relates to one or more of the items set forth in paragraph (b) of this Item.
Item 3. Audit Committee Financial Expert.
The registrant's Board of Trustees has determined that David M. Moffett, Brian J. Gallagher, J. Kevin Connaughton, and Sandra L. Yeager, each of whom are members of the registrant's Board of Trustees and Audit Committee, each qualify as an audit committee financial expert. Mr. Moffett, Mr. Gallagher, Mr. Connaughton, and Ms. Yeager are each independent trustees, as defined in paragraph (a)(2) of this item's instructions.
Item 4. Principal Accountant Fees and Services.
Fee information below is disclosed for the two series of the registrant whose reports to stockholders are included in this annual filing. Fiscal year 2020 includes fees for one fund that merged away and one fund that liquidated during the period. Fiscal Year 2019 includes fees for one fund that liquidated during the period.
(a)Audit Fees. Aggregate Audit Fees billed by the principal accountant for professional services rendered during the fiscal years ended October 31, 2020 and October 31, 2019 are approximately as follows:
20202019
$103,200 $116,000
Audit Fees include amounts related to the audit of the registrant's annual financial statements or services that are normally provided by the accountant in connection with statutory and regulatory filings or engagements for those fiscal years.
(b)Audit-Related Fees. Aggregate Audit-Related Fees billed to the registrant by the principal accountant for professional services rendered during the fiscal years ended October 31, 2020 and October 31, 2019 are approximately as follows:
20202019
$10,500 $1,500
Audit-Related Fees include amounts for assurance and related services by the principal accountant that are reasonably related to the performance of the audit of the registrant's financial statements and are not reported in Audit Fees above.
During the fiscal years ended October 31, 2020 and October 31, 2019, there were no Audit-Related Fees billed by the registrant's principal accountant to the registrant's investment adviser (not including any sub-adviser whose role is primarily portfolio management and is subcontracted with or overseen by another investment adviser) and any entity controlling, controlled by, or under common control with the adviser that provides ongoing services to the registrant for an engagement that related directly to the operations and financial reporting of the registrant.
(c)Tax Fees. Aggregate Tax Fees billed by the principal accountant to the registrant for professional services rendered during the fiscal years ended October 31, 2020 and October 31, 2019 are approximately as follows:
2020 | 2019 |
$1,200 | $25,600 |
Tax Fees include amounts for the review of annual tax returns, the review of required shareholder distribution calculations and typically include amounts for professional services by the principal accountant for tax compliance, tax advice and tax planning.
During the fiscal years ended October 31, 2020 and October 31, 2019, there were no Tax Fees billed by the registrant's principal accountant to the registrant's investment adviser (not including any sub-adviser whose role is primarily portfolio management and is subcontracted with or overseen by another investment adviser) and any entity controlling, controlled by, or under common control with the adviser that provides ongoing services to the registrant for an engagement that related directly to the operations and financial reporting of the registrant.
(d)All Other Fees. Aggregate All Other Fees billed by the principal accountant to the registrant for professional services rendered during the fiscal years ended October 31,
2020 and October 31, 2019 are approximately as follows:
2020 | 2019 |
$0 | $0 |
All Other Fees include amounts for products and services provided by the principal accountant, other than the services reported in paragraphs (a) through (c) above.
Aggregate All Other Fees billed by the registrant's principal accountant to the registrant's investment adviser (not including any sub-adviser whose role is primarily portfolio management and is subcontracted with or overseen by another investment adviser) and any entity controlling, controlled by, or under common control with the adviser that provides ongoing services to the registrant for an engagement that related directly to the operations and financial reporting of the registrant during the fiscal years ended October 31, 2020 and October 31, 2019 are approximately as follows:
20202019
$232,500 $225,000
In fiscal years 2020 and 2019, All Other Fees primarily consists of fees billed for internal control examinations of the registrant's transfer agent and investment adviser.
(e)(1) Audit Committee Pre-Approval Policies and Procedures
The registrant's Audit Committee is required to pre-approve the engagement of the
registrant's independent auditors to provide audit and non-audit services to the registrant and non-audit services to its investment adviser (excluding any sub-adviser whose role is primarily portfolio management and is sub-contracted or overseen by another investment adviser (the "Adviser") or any entity controlling, controlled by or under common control with the Adviser that provides ongoing services to the Fund (a "Control Affiliate") if the engagement relates directly to the operations and financial reporting of the registrant.
The Audit Committee has adopted a Policy for Engagement of Independent Auditors for Audit and Non-Audit Services (the "Policy"). The Policy sets forth the understanding of the Audit Committee regarding the engagement of the registrant's independent accountants to provide (i) audit and permissible audit-related, tax and other services to the registrant ("Fund Services"); (ii) non-audit services to the registrant's Adviser and any Control Affiliates, that relates directly to the operations and financial reporting of a Fund ("Fund-related Adviser Services"); and (iii) certain other audit and non-audit services to the registrant's Adviser and its Control Affiliates. A service will require specific pre-approval by the Audit Committee if it is to be provided by the Fund's independent auditor; provided, however, that pre-approval of non-audit services to the Fund, the Adviser or Control Affiliates may be waived if certain de minimis requirements set forth in the SEC's rules are met.
Under the Policy, the Audit Committee may delegate pre-approval authority to any pre- designated member or members who are independent board members. The member(s) to whom such authority is delegated must report, for informational purposes only, any pre- approval decisions to the Audit Committee at its next regular meeting. The Audit
Committee's responsibilities with respect to the pre-approval of services performed by the independent auditor may not be delegated to management.
On an annual basis, at a regularly scheduled Audit Committee meeting, the Fund's Treasurer or other Fund officer shall submit to the Audit Committee a schedule of the types of Fund Services and Fund-related Adviser Services that are subject to specific pre- approval. This schedule will provide a description of each type of service that is subject to specific pre-approval, along with total projected fees for each service. The pre- approval will generally cover a one-year period. The Audit Committee will review and approve the types of services and the projected fees for the next one-year period and may add to, or subtract from, the list of pre-approved services from time to time, based on subsequent determinations. This specific approval acknowledges that the Audit Committee is in agreement with the specific types of services that the independent auditor will be permitted to perform and the projected fees for each service.
The Fund's Treasurer or other Fund officer shall report to the Audit Committee at each of its regular meetings regarding all Fund Services or Fund-related Adviser Services provided since the last such report was rendered, including a description of the services, by category, with forecasted fees for the annual reporting period, proposed changes requiring specific pre-approval and a description of services provided by the independent auditor, by category, with actual fees during the current reporting period.
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(e)(2) None, or 0%, of the Audit-Related Fees, Tax Fees and All Other Fees paid by the Fund or affiliated entities relating directly to the operations and financial reporting of the Registrant disclosed above were approved by the audit committee pursuant to paragraphs (c)(7)(i)(C) of Rule 2-01 of Regulation S-X (which permits audit committee approval after the start of the engagement with respect to services other than audit, review or attest services, if certain conditions are satisfied).
(f)Not applicable.
(g)The aggregate non-audit fees billed by the registrant's accountant for services rendered to the registrant, and rendered to the registrant's investment adviser (not including any sub-adviser whose role is primarily portfolio management and is subcontracted with or overseen by another investment adviser), and any entity controlling, controlled by, or under common control with the adviser that provides ongoing services to the registrant for the fiscal years ended October 31, 2020 and October 31, 2019 are approximately as follows:
20202019
$244,200 $252,100
(h)The registrant's Audit Committee of the Board of Directors has considered whether the provision of non-audit services that were rendered to the registrant's adviser (not including any sub-adviser whose role is primarily portfolio management and is subcontracted with or overseen by another investment adviser), and any entity
controlling, controlled by, or under common control with the investment adviser that provides ongoing services to the registrant that were not pre-approved pursuant to paragraph (c)(7)(ii) of Rule 2-01 of Regulation S-X, is compatible with maintaining the principal accountant's independence.
Item 5. Audit Committee of Listed Registrants.
Not applicable.
Item 6. Investments
(a)The registrant's "Schedule I – Investments in securities of unaffiliated issuers" (as set forth in 17 CFR 210.12-12) is included in Item 1 of this Form N-CSR.
(b)Not applicable.
Item 7. Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies.
Not applicable.
Item 8. Portfolio Managers of Closed-End Management Investment Companies.
Not applicable.
Item 9. Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers.
Not applicable.
Item 10. Submission of Matters to a Vote of Security Holders.
There were no material changes to the procedures by which shareholders may recommend nominees to the registrant's board of directors.
Item 11. Controls and Procedures.
(a)The registrant's principal executive officer and principal financial officer, based on their evaluation of the registrant's disclosure controls and procedures as of a date within 90 days of the filing of this report, have concluded that such controls and procedures are adequately designed to ensure that information required to be disclosed by the registrant in Form N-CSR is accumulated and communicated to the registrant's management, including the principal executive officer and principal financial officer, or persons performing similar functions, as appropriate to allow timely decisions regarding required disclosure.
(b)There was no change in the registrant's internal control over financial reporting that occurred during the period covered by this report that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting.
Item 12. Disclosure of Securities Lending Activities for Closed-End Management Investment Companies
Not applicable.
Item 13. Exhibits.
(a)(3) Not applicable.
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) |
| Columbia Funds Series Trust II |
| |
By (Signature and Title) | /s/ Christopher O. Petersen | |||
|
|
| Christopher O. Petersen, President and Principal Executive Officer | |
Date |
| December 21, 2020 |
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/ Christopher O. Petersen | ||
|
| Christopher O. Petersen, President and Principal Executive Officer | |
Date |
| December 21, 2020 |
|
By (Signature and Title) | /s/ Michael G. Clarke | ||
|
| Michael G. Clarke, Chief Financial Officer, Principal Financial Officer | |
|
| and Senior Vice President | |
Date |
| December 21, 2020 |
|
By (Signature and Title) | /s/ Joseph Beranek | ||
|
| Joseph Beranek, Treasurer, Chief Accounting Officer and Principal | |
|
| Financial Officer | |
Date |
| December 21, 2020 |
|